AMERICAN COMMERCIAL LINES INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands, except shares and per share amounts)
(Unaudited)
Quarter Ended Nine Months Ended
Sept. 30, Sept. 30,
---------------------- ----------------------
2010 2009 2010 2009
---------- ---------- ---------- ----------
Revenues
Transportation and
Services $ 165,762 $ 143,690 $ 455,038 $ 448,768
Manufacturing 41,524 64,198 64,845 170,348
---------- ---------- ---------- ----------
Revenues 207,286 207,888 519,883 619,116
---------- ---------- ---------- ----------
Cost of Sales
Transportation and
Services 133,529 118,359 391,826 393,744
Manufacturing 41,486 57,172 63,480 147,497
---------- ---------- ---------- ----------
Cost of Sales 175,015 175,531 455,306 541,241
---------- ---------- ---------- ----------
Gross Profit 32,271 32,357 64,577 77,875
Selling, General and
Administrative Expenses 11,989 18,300 34,174 55,592
---------- ---------- ---------- ----------
Operating Income 20,282 14,057 30,403 22,283
---------- ---------- ---------- ----------
Other Expense (Income)
Interest Expense 9,815 10,470 29,434 30,803
Debt Retirement Expenses - 17,659 - 17,659
Other, Net (181) (364) (342) (851)
---------- ---------- ---------- ----------
Other Expense 9,634 27,765 29,092 47,611
---------- ---------- ---------- ----------
Income (Loss) from
Continuing Operations
before Income Taxes 10,648 (13,708) 1,311 (25,328)
Income Taxes (Benefit) 5,583 (4,940) 1,089 (9,149)
---------- ---------- ---------- ----------
Income (Loss) from
Continuing Operations 5,065 (8,768) 222 (16,179)
Discontinued Operations,
Net of Tax - (3,404) (2) (5,219)
---------- ---------- ---------- ----------
Net Income (Loss) $ 5,065 $ (12,172) $ 220 $ (21,398)
========== ========== ========== ==========
Basic earnings (loss) per
common share:
Earnings (loss) from
continuing operations $ 0.39 $ (0.69) $ 0.02 $ (1.27)
Loss from discontinued
operations, net of tax - (0.27) - (0.41)
---------- ---------- ---------- ----------
Basic loss per common share $ 0.39 $ (0.96) $ 0.02 $ (1.68)
========== ========== ========== ==========
Earnings (loss) per common
share - assuming dilution:
Earnings (loss) from
continuing operations $ 0.39 $ (0.69) $ 0.02 $ (1.27)
Loss from discontinued
operations, net of tax - (0.27) - (0.41)
---------- ---------- ---------- ----------
Earnings (loss) per common
share - assuming dilution $ 0.39 $ (0.96) $ 0.02 $ (1.68)
========== ========== ========== ==========
Weighted Average Shares
Outstanding:
Basic 12,836,041 12,715,120 12,802,889 12,705,308
Diluted 13,155,083 12,715,120 13,011,214 12,705,308
AMERICAN COMMERCIAL LINES INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands, except shares and per share amounts)
September 30, December 31,
2010 2009 (1)
------------- -------------
ASSETS
Current Assets
Cash and Cash Equivalents $ 10,341 $ 1,198
Accounts Receivable, Net 78,445 93,295
Inventory 47,790 39,070
Deferred Tax Asset 3,360 3,791
Assets Held for Sale 1,703 3,531
Prepaid Expenses and Other Current Assets 32,893 23,879
------------- -------------
Total Current Assets 174,532 164,764
Properties, Net 518,922 521,068
Investment in Equity Investees 4,641 4,522
Other Assets 29,272 33,536
------------- -------------
Total Assets $ 727,367 $ 723,890
============= =============
LIABILITIES
Current Liabilities
Accounts Payable $ 33,659 $ 34,163
Accrued Payroll and Fringe Benefits 19,722 18,283
Deferred Revenue 16,845 13,928
Accrued Claims and Insurance Premiums 12,175 16,947
Accrued Interest 5,929 13,098
Current Portion of Long Term Debt - 114
Customer Deposits 250 1,309
Other Liabilities 24,529 31,825
------------- -------------
Total Current Liabilities 113,109 129,667
Long Term Debt 344,788 345,419
Pension and Post Retirement Liabilities 32,490 31,514
Deferred Tax Liability 59,259 40,133
Other Long Term Liabilities 6,270 6,567
------------- -------------
Total Liabilities 555,916 553,300
------------- -------------
STOCKHOLDERS' EQUITY
Common stock; authorized 50,000,000 shares at
$.01 par value; 16,052,025 and 15,898,596
shares issued and outstanding as of
September 30, 2010 and December 31, 2009,
respectively 160 159
Treasury Stock; 3,210,897 and 3,179,274
shares at September 30, 2010 and
December 31, 2009, respectively (314,049) (313,328)
Other Capital 301,882 299,486
Retained Earnings 184,082 183,862
Accumulated Other Comprehensive (Loss) Income (624) 411
------------- -------------
Total Stockholders' Equity 171,451 170,590
------------- -------------
Total Liabilities and Stockholders'
Equity $ 727,367 $ 723,890
============= =============
(1) The Consolidated Balance Sheet at December 31, 2009 has been derived
from the audited consolidated financial statements at that date, but does
not included all the information and footnotes required by generally
accepted accounting principles.
AMERICAN COMMERCIAL LINES INC.
NET INCOME TO EBITDA RECONCILIATION
(Dollars in thousands)
(Unaudited)
Quarter Ended Nine Months Ended
Sept. 30, Sept. 30,
-------------------- --------------------
2010 2009 2010 2009
--------- --------- --------- ---------
Net Income (Loss) from
Continuing Operations $ 5,065 $ (8,768) $ 222 $ (16,179)
Discontinued Operations,
Net of Income Taxes - (3,404) (2) (5,219)
--------- --------- --------- ---------
Consolidated Net Income (Loss) $ 5,065 $ (12,172) $ 220 $ (21,398)
--------- --------- --------- ---------
Adjustments from Continuing
Operations:
Interest Income - (1) (1) (12)
Interest Expense 9,815 10,470 29,434 30,803
Debt Retirement Expenses - 17,659 - 17,659
Depreciation and
Amortization 11,207 13,042 35,118 39,515
Taxes 5,583 (4,940) 1,089 (9,149)
Adjustments from Discontinued
Operations:
Interest Income - - - (1)
Interest Expense - 10 - 30
Depreciation and
Amortization - 348 - 1,149
Taxes - (2,051) - (2,883)
EBITDA from Continuing
Operations 31,670 27,462 65,862 62,637
EBITDA from Discontinued
Operations - (5,097) (2) (6,924)
--------- --------- --------- ---------
Consolidated EBITDA $ 31,670 $ 22,365 $ 65,860 $ 55,713
========= ========= ========= =========
EBITDA from Continuing
Operations by Segment:
Transportation Net Income
(Loss) $ 5,527 $ (12,960) $ 553 $ (35,229)
Interest Income - (1) (1) (12)
Interest Expense 9,815 10,470 29,434 30,803
Debt Retirement Expenses - 17,659 - 17,659
Depreciation and Amortization 10,294 12,068 32,368 36,622
Taxes 5,583 (4,940) 1,089 (9,170)
--------- --------- --------- ---------
Transportation EBITDA $ 31,219 $ 22,296 $ 63,443 $ 40,673
========= ========= ========= =========
Manufacturing Net (Loss) Income $ (596) $ 4,224 $ (582) $ 18,972
Depreciation and Amortization 829 891 2,498 2,642
--------- --------- --------- ---------
Total Manufacturing EBITDA 233 5,115 1,916 21,614
Intersegment Profit - - - -
--------- --------- --------- ---------
External Manufacturing EBITDA $ 233 $ 5,115 $ 1,916 $ 21,614
========= ========= ========= =========
Management considers EBITDA to be a meaningful indicator of operating
performance and uses it as a measure to assess the operating performance of
the Company's business segments. EBITDA provides us with an understanding
of one aspect of earnings before the impact of investing and financing
transactions and income taxes. EBITDA should not be construed as a
substitute for net income or as a better measure of liquidity than cash
flow from operating activities, which is determined in accordance with
generally accepted accounting principles ("GAAP"). EBITDA excludes
components that are significant in understanding and assessing our results
of operations and cash flows. In addition, EBITDA is not a term defined by
GAAP and as a result our measure of EBITDA might not be comparable to
similarly titled measures used by other companies.
However, the Company believes that EBITDA is relevant and useful
information, which is often reported and widely used by analysts, investors
and other interested parties in our industry. Accordingly, the Company is
disclosing this information to permit a more comprehensive analysis of its
operating performance.
AMERICAN COMMERCIAL LINES INC.
Statement of Operating Income by Reportable Segment
(Dollars in thousands)
(Unaudited)
Reportable Segments Inter-
-------------------- segment
Transpor- Manufact- All Other Elimi-
tation uring Segments nation Total
--------- --------- --------- --------- ---------
Quarter ended
September 30, 2010
Total revenue $ 163,868 $ 41,617 $ 2,076 $ (275) $ 207,286
Intersegment
revenues 182 93 - (275) -
--------- --------- --------- --------- ---------
Revenue from
external customers 163,686 41,524 2,076 - 207,286
Operating expense
Materials,
supplies and
other 57,229 - - - 57,229
Rent 5,182 - - - 5,182
Labor and fringe
benefits 31,430 - - - 31,430
Fuel 29,726 - - - 29,726
Depreciation and
amortization 10,294 - - - 10,294
Taxes, other than
income taxes 2,612 - - - 2,612
Loss on
disposition of
equipment (3,764) - - - (3,764)
Cost of goods sold - 41,486 820 - 42,306
--------- --------- --------- --------- ---------
Total cost
of sales 132,709 41,486 820 - 175,015
Selling, general &
administrative 10,232 635 1,122 - 11,989
--------- --------- --------- --------- ---------
Total operating
expenses 142,941 42,121 1,942 - 187,004
--------- --------- --------- --------- ---------
Operating income
(loss) $ 20,745 $ (597) $ 134 $ - $ 20,282
========= ========= ========= ========= =========
Quarter ended
September 30, 2009
Total revenue $ 142,231 $ 68,304 $ 1,575 $ (4,222) $ 207,888
Intersegment
revenues 106 4,106 10 (4,222) -
--------- --------- --------- --------- ---------
Revenue from
external customers 142,125 64,198 1,565 - 207,888
Operating expense
Materials,
supplies and
other 58,939 - - - 58,939
Rent 5,379 - - - 5,379
Labor and fringe
benefits 28,249 - - - 28,249
Fuel 28,134 - - - 28,134
Depreciation and
amortization 12,068 - - - 12,068
Taxes, other than
income taxes 3,329 - - - 3,329
Gain on
disposition of
equipment (18,333) - - - (18,333)
Cost of goods sold - 57,172 594 - 57,766
--------- --------- --------- --------- ---------
Total cost
of sales 117,765 57,172 594 - 175,531
Selling, general &
administrative 14,444 2,853 1,003 - 18,300
--------- --------- --------- --------- ---------
Total operating
expenses 132,209 60,025 1,597 - 193,831
--------- --------- --------- --------- ---------
Operating income
(loss) $ 9,916 $ 4,173 $ (32) $ - $ 14,057
========= ========= ========= ========= =========
AMERICAN COMMERCIAL LINES INC.
Statement of Operating Income by Reportable Segment
(Dollars in thousands)
(Unaudited)
Reportable Segments Inter-
-------------------- segment
Transpor- Manufact- All Other Elimi-
tation uring Segments nation Total
--------- --------- --------- --------- ---------
Nine Months ended
September 30, 2010
Total revenue $ 449,510 $ 86,117 $ 6,032 $ (21,776) $ 519,883
Intersegment
revenues 504 21,272 - (21,776) -
--------- --------- --------- --------- ---------
Revenue from
external customers 449,006 64,845 6,032 - 519,883
Operating expense
Materials,
supplies and
other 159,652 - - - 159,652
Rent 15,571 - - - 15,571
Labor and fringe
benefits 91,507 - - - 91,507
Fuel 88,735 - - - 88,735
Depreciation and
amortization 32,368 - - - 32,368
Taxes, other than
income taxes 8,946 - - - 8,946
Gain on
disposition of
equipment (7,357) - - - (7,357)
Cost of goods sold - 63,480 2,404 - 65,884
--------- --------- --------- --------- ---------
Total cost
of sales 389,422 63,480 2,404 - 455,306
Selling, general &
administrative 28,873 1,924 3,377 - 34,174
--------- --------- --------- --------- ---------
Total operating
expenses 418,295 65,404 5,781 - 489,480
--------- --------- --------- --------- ---------
Operating income
(loss) $ 30,711 $ (559) $ 251 $ - $ 30,403
========= ========= ========= ========= =========
Nine Months ended
September 30, 2009
Total revenue $ 443,690 $ 184,159 $ 5,462 $ (14,195) $ 619,116
Intersegment
revenues 297 13,811 87 (14,195) -
--------- --------- --------- --------- ---------
Revenue from
external customers 443,393 170,348 5,375 - 619,116
Operating expense
Materials,
supplies and
other 170,440 - - - 170,440
Rent 16,334 - - - 16,334
Labor and fringe
benefits 86,492 - - - 86,492
Fuel 92,052 - - - 92,052
Depreciation and
amortization 36,622 - - - 36,622
Taxes, other than
income taxes 10,508 - - - 10,508
Gain on
disposition of
equipment (20,630) - - - (20,630)
Cost of goods sold - 147,497 1,926 - 149,423
--------- --------- --------- --------- ---------
Total cost
of sales 391,818 147,497 1,926 - 541,241
Selling, general &
administrative 48,233 4,008 3,351 - 55,592
--------- --------- --------- --------- ---------
Total operating
expenses 440,051 151,505 5,277 - 596,833
--------- --------- --------- --------- ---------
Operating income $ 3,342 $ 18,843 $ 98 $ - $ 22,283
========= ========= ========= ========= =========
AMERICAN COMMERCIAL LINES INC.
SELECTED FINANCIAL AND NONFINANCIAL DATA
(Dollars in thousands except where noted)
(Unaudited)
Quarter Ended Nine Months Ended
Sept. 30, Sept. 30,
------------------- -------------------
2010 2009 2010 2009
--------- --------- --------- ---------
Consolidated EBITDA $ 31,670 $ 22,365 $ 65,860 $ 55,713
Transportation Revenue and EBITDA
Revenue $ 163,686 $ 142,125 $ 449,006 $ 443,393
EBITDA 31,219 22,296 63,443 40,673
Manufacturing Revenue and EBITDA
(External and Internal)
Revenue $ 41,617 $ 68,304 $ 86,117 $ 184,159
EBITDA 233 5,115 1,916 21,614
Manufacturing External Revenue
and EBITDA
Revenue $ 41,524 $ 64,198 $ 64,845 $ 170,348
EBITDA 233 5,115 1,916 21,614
Average Domestic Barges Operated
Dry 2,109 2,173 2,116 2,209
Liquid 332 367 344 376
--------- --------- --------- ---------
Total 2,441 2,540 2,460 2,585
========= ========= ========= =========
Fuel Price (Average Dollars per
gallon) $ 2.19 $ 2.01 $ 2.16 $ 1.95
Capital Expenditures (including
software) $ 15,843 $ 6,754 $ 38,039 $ 20,160
Management considers EBITDA to be a meaningful indicator of operating
performance and uses it as a measure to assess the operating performance of
the Company's business segments. EBITDA provides us with an understanding
of the Company's revenues before the impact of investing and financing
transactions and income taxes. EBITDA should not be construed as a
substitute for net income or as a better measure of liquidity than cash
flow from operating activities, which is determined in accordance with
generally accepted accounting principles ("GAAP"). EBITDA excludes
components that are significant in understanding and assessing our results
of operations and cash flows. In addition, EBITDA is not a term defined by
GAAP and as a result our measure of EBITDA might not be comparable to
similarly titled measures used by other companies.
However, the Company believes that EBITDA is relevant and useful
information, which is often reported and widely used by analysts, investors
and other interested parties in our industry. Accordingly, the Company is
disclosing this information to permit a more comprehensive analysis of its
operating performance.
Contact Information: Contact: David T. Parker Vice President, Investor Relations and Corporate Communications (800) 842-5491