JEFFERSONVILLE, IN--(Marketwire - February 9, 2010) - American Commercial Lines Inc. (
NASDAQ:
ACLI) ("ACL" or the "Company") today announced results for the fourth
quarter and year ended December 31, 2009.
Fourth Quarter 2009 Results
Revenues for the quarter were $226.9 million, a 16.4% decrease compared
with $271.6 million for the fourth quarter of 2008. The decrease in revenue
in 2009 was primarily due to changes in the mix of commodities shipped by
our transportation customers, decreased towing revenue, lower grain freight
rates and lower fuel prices (which are generally passed through to our
customers). Total ton-mile volume declined by 1.4% compared to the fourth
quarter 2008.
Income from continuing operations for the quarter was $14.2 million or
$1.09 per diluted share, compared to $22.9 million or $1.81 per diluted
share for the fourth quarter of 2008. Earnings Before Interest, Taxes,
Depreciation and Amortization (EBITDA) from continuing operations for the
fourth quarter of 2009 were $45.2 million with an EBITDA margin of 19.9%,
compared to $54.5 million for the fourth quarter of 2008 with an EBITDA
margin of 20.1%. The attachment to this press release reconciles net income
to EBITDA.
The impact of non-comparable items on income from continuing operations in
the respective quarters was insignificant. After-tax interest expense for
the fourth quarter 2009 increased $2.1 million or $0.16 per diluted share
despite lower average debt levels.
Net income for the fourth quarter 2009 was impacted by an after-tax loss of
$4.8 million or $0.37 per diluted share on the previously announced sale of
Summit Contracting. The results of operations and the sale of Summit
Contracting are reflected as discontinued operations for all periods
presented.
Full-Year 2009 Results
Revenues for the year ended December 31, 2009 were $846.0 million compared
with $1,159.9 million for 2008, a 27.1% decrease, due primarily to lower
transportation revenues largely attributable to the items noted in the
quarter discussion above. Manufacturing revenues were also lower as 81
fewer barges were built in 2009. The loss from continuing operations for
the year ended December 31, 2009 was $2.0 million or $0.16 per diluted
share, compared to income from continuing operations of $47.4 million or
$3.73 per diluted share for 2008. For the year ended December 31, 2009,
EBITDA from continuing operations was $107.8 million compared to $154.1
million for the year ended December 31, 2008. EBITDA margin declined by 0.6
points to 12.7% in 2009.
For the year ended December 31, 2009, significant non-comparable items
which impacted the loss from continuing operations included the following
after-tax items: (i) debt retirement expenses of $11.3 million or $0.89 per
diluted share related to the Company's third quarter debt refinancing, (ii)
charges of $2.7 million or $0.21 per diluted share related to manufacturing
segment contract disputes and settlements, (iii) non-cash charges related
to the Houston office closure of $2.3 million or $0.18 per diluted share,
(iv) severance charges of $2.0 million or $0.17 per diluted share and (v)
charges of $0.4 million or $0.04 per diluted share related to the
bankruptcy of a transportation customer. These charges were partially
offset by an accrued vacation reversal due to a change in vacation policy
of $1.0 million after-tax or $0.08 per diluted share.
For the full-year 2009, though average outstanding debt declined $42.6
million from the prior year levels, higher effective interest rates on
outstanding balances drove after-tax interest expenses $9.1 million higher,
negatively impacting 2009 compared to 2008 by $0.72 per diluted share. Full
year 2009 results also benefitted from higher after-tax net gains from
asset management actions of $4.9 million or $0.38 per diluted share as 2009
gains on asset sales exceeded the prior year, but were offset by lower 2009
income from scrapping surplus barges.
Net income for 2009 was additionally impacted by after-tax charges of $9.9
million or $0.78 per diluted share charge related to the sale of Summit
Contracting in November 2009. These charges include the loss on the sale of
Summit Contracting, the impairment charge recognized in the third quarter
2009 and Summit's operating losses in 2009. All of these items are
reflected in discontinued operations in the Statement of Operations.
Full-year income from continuing operations for 2008 included after-tax
debt retirement expenses of $1.5 million or $0.12 per diluted share on the
June 2008 amendment of the Company's credit facility, after-tax severance
related costs of $1.2 million or $0.10 per diluted share, an after-tax
charge of $1.0 million or $0.08 per diluted share for refinancing costs
unrelated to the Company's extension of its credit facility, an after-tax
goodwill impairment charge of $0.5 million or $0.04 per diluted share, an
after-tax charge of $0.3 million or $0.03 per diluted share related to a
customer's bankruptcy and an after-tax benefit of $1.4 million or $0.11 per
diluted share related to the reversal of the prior year charge for
withdrawal from a multi-employer pension plan.
Commenting on fourth quarter and full year results, Michael P. Ryan,
President and Chief Executive Officer, stated, "We are pleased with our
fourth quarter results, finishing 2009 on a positive note after a second
straight year of difficult economic conditions. Our earnings power was
greatly impacted this year as our clients shipped less to their customers,
and to their own production facilities. With the economy beyond our
control, we focused on improving the fundamentals of our business. We
aggressively improved our cost structure and productivity by realigning and
reducing our assets and personnel. These actions will stabilize our program
in the near term and position us to reap greater financial dividends in the
coming years. Despite all the economic turmoil, we were still able to pay
down debt in 2009 after successfully refinancing our bank loan facility. We
continue to be well positioned to pursue our long term strategy of business
mix improvement with aggressive cost control."
Transportation Results
The transportation segment's revenues were $177.5 million in the fourth
quarter 2009, a decrease of 23.3% over the fourth quarter of the prior
year. The revenue decrease was driven by 24.5% lower gross ton-mile pricing
on affreightment contracts, 9.8% lower non-grain affreightment ton-mile
volume, a 12.4% decline in towing ton-miles and $16.6 million in lower
grain pricing that more than offset a 20% increase in grain ton-mile
volume. Approximately three quarters of the overall affreightment rate
decrease was attributable to lower fuel-neutral pricing on the current year
mix of commodities when compared to the prior year. The remainder of the
decline was attributable to fuel de-escalations under the Company's
contracts. On average, compared to the fourth quarter of 2008, the
fuel-neutral rate on dry freight business decreased 17.5% and the liquid
freight business decreased 13.5%. Total volume measured in ton-miles
declined slightly in the fourth quarter of 2009 to 9.7 billion from 9.8
billion in the same period of the prior year, a decrease of 1.4%. On
average, 5.5% or 146 fewer barges operated in the fourth quarter of this
year compared to the fourth quarter of last year.
Operating income in the transportation segment decreased 37.3%, or $16.8
million, to $28.3 million in the quarter ended December 31, 2009 compared
to the fourth quarter 2008. The operating ratio, or the percentage of
revenue that all operating costs represent, in the fourth quarter was
84.1%, a substantial improvement over the prior quarters of 2009 and a
decrease of only 3.6 points from the 2008 quarter despite less favorable
price/volume/mix. The decrease in operating income was primarily due to the
$24.3 million margin impact of lower non-grain rate/volume/mix, $4.2
million in lower grain profitability as the 20% increase in grain volume
did not offset the $16.6 million decline in grain pricing, and the $2.2
million incremental cost of relocating empty barges. These negative factors
were partially offset by $5.3 million lower SG&A expenses and $8.6 million
in improved boat and crewing productivity and other cost reductions. The
lower SG&A is attributable to the lower salaried wage base in 2009 as a
result of reduction in force actions, decreases in bonus accruals,
decreased bank fees and less advertising spending. Fuel prices decreased
32% over fourth quarter 2008. The average cost of fuel in the fourth
quarter 2009 was $1.95 per gallon.
The transportation segment's revenues were $621.6 million in 2009, a
decrease of 30.8% over the prior year. The revenue decrease was driven by
30.0% lower gross ton-mile pricing on affreightment contracts, 17.2% lower
non-grain affreightment ton-mile volume, a 24.9% decline in towing
ton-miles and $56.4 million in lower grain pricing that more than offset a
34% increase in grain ton-mile volume. Approximately three quarters of the
overall affreightment rate decrease was attributable to lower fuel-neutral
pricing on the current year mix of commodities when compared to the prior
year. The remainder of the decline was attributable to fuel de-escalations
under the Company's contracts. On average, compared to 2008, the
fuel-neutral rate on dry freight business decreased 21.9% and the liquid
freight business decreased 2.0%. Total volume measured in ton-miles
declined in 2009 to 37.1 billion from 39.5 billion in the prior year, a
decrease of 6.0%. On average, 5.8% or 159 fewer barges operated during 2009
compared to 2008.
Operating income for the year ended December 31, 2009 in the transportation
segment decreased 65.7%, or $60.6 million, to $31.6 million. The decline in
operating income resulted primarily from an $84.9 million decline in
non-grain price/volume/mix as higher margin commodity volumes continued to
be weak throughout the year. The 34% increase in grain volume did not
offset the $56.4 million decline in grain pricing, lowering margins by
approximately $14.8 million. The incremental cost of relocating empty
barges during 2009 was estimated to be $18.3 million. These negative
impacts were partially offset by $37.3 million in improved boat
productivity, $8.5 million lower SG&A spending, $7.5 million in gains from
asset management transactions and $4.1 in other cost reductions. The lower
SG&A is attributable to the lower salaried wage base in 2009 as a result of
reduction in force actions, decreases in bonus accruals, decreased bank
fees and less advertising spending offset by the cost of the Houston office
closure and bad debt attributable to the bankruptcy of a customer. Fuel
prices decreased 39% over 2008. The average cost of fuel in 2009 was $1.95
per gallon.
Manufacturing Results
Manufacturing revenues were $45.2 million in the fourth quarter of 2009
compared to $37.9 million during the same period last year. Manufacturing
operating margin increased by $5.9 million or 14.5 points to 5.7% resulting
in an operating income of $2.6 million in the quarter. The revenue increase
was driven primarily by a change in mix of internal ACL barges and external
customer barges between years. During the fourth quarter 2009 manufacturing
sold to third parties 58 dry hopper barges, four tank barges and one
special vessel compared to no dry cargo barges, 15 tank barges and one
special vessel in the fourth quarter of 2008. The significant improvement
in operating margin was primarily driven by the accrual for the $5.5
million loss on one special vessel still under construction during the
fourth quarter of 2008.
Manufacturing revenues were $215.5 million for the full-year 2009 compared
to $254.8 million for 2008. This decrease was driven by sales of 81 fewer
barges and lower steel pricing. During the year manufacturing sold to third
parties 130 dry cargo barges, 43 tank barges and four special vessels
compared to 191 dry cargo barges, 53 tank barges, 10 hybrid barges and four
special vessels during 2008. Manufacturing operating income was $21.4
million for the full-year. This translates to a 9.9% operating margin
compared to 3.8% in 2008 as a result of improved pricing, productivity,
improved safety and the prior year loss on the special vessel. Our
manufacturing sales backlog was $49.4 million at December 31, 2009.
Cash Flow and Debt
At December 31, 2009, the Company had $354.6 million in total debt
outstanding. In 2009, the Company generated $129.3 million of cash flow
from operations, compared to $122.8 million in the prior year. The
increase, on lower net income, was primarily due to working capital
changes, mainly lower accounts receivable, lower inventory levels and
higher accrued interest. At December 31, 2009, the Company had
approximately $234 million in available liquidity under its revolver.
During 2009 the Company had $37.7 million of capital expenditures and other
investing activities, the cash flow impact of which was largely offset by
$31.1 million in proceeds from the disposition of vessels and the sale of
Summit Contracting. We reduced our total debt outstanding by $64.0 million.
In addition, the Company paid debt costs related to our refinancing
activities of $50.1 million, including the $9.6 million of original issue
discount on its Senior Notes in July 2009.
Fourth Quarter and Full Year 2009 Earnings Conference Call
ACL will conduct a conference call to discuss the Company's quarter and
year ended December 31, 2009 earnings on February 9, 2010 at 10:00 a.m.
Eastern time. ACL's live webcast, featuring a slide presentation, may be
accessed at
www.aclines.com. The telephone numbers to access the conference
call are: Domestic (866) 543-6403; International (617) 213-8896; and the
Participant Passcode is 68613623. For those unable to participate in the
live call or webcast, the ACL Conference Call will be archived at
www.aclines.com within three hours of the conclusion of the live call and
will remain available through April 9, 2010. The slide presentation will
remain archived at
www.aclines.com.
American Commercial Lines Inc., headquartered in Jeffersonville, Indiana,
is an integrated marine transportation and service company operating in the
United States Jones Act trades, with approximately $850 million in revenues
and approximately 2,570 employees as of December 31, 2009. For more
information about American Commercial Lines Inc., visit
www.aclines.com.
Forward-Looking Statements
This release includes certain "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are based on management's present expectations
and beliefs about future events. As with any projection or forecast, these
statements are inherently susceptible to risks, uncertainty and changes in
circumstance. Important factors could cause actual results to differ
materially from those expressed or implied by the forward-looking
statements and should be considered in evaluating the outlook of American
Commercial Lines Inc. Risks and uncertainties are detailed from time to
time in American Commercial Lines Inc.'s filings with the SEC, including
the Form 10-K, as amended, for the year ended December 31, 2008 and our
most recent Form 10-Q. American Commercial Lines Inc. is under no
obligation to, and expressly disclaims any obligation to, update or alter
its forward-looking statements, whether as a result of changes, new
information, subsequent events or otherwise.
AMERICAN COMMERCIAL LINES INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands, except shares and per share amounts)
(Unaudited)
Quarter Ended Dec. 31, Year Ended Dec. 31,
---------------------- ----------------------
2009 2008 2009 2008
---------- ---------- ---------- ----------
Revenues
Transportation and
Services $ 181,713 $ 233,657 $ 630,481 $ 905,126
Manufacturing 45,198 37,904 215,546 254,794
---------- ---------- ---------- ----------
Revenues 226,911 271,561 846,027 1,159,920
---------- ---------- ---------- ----------
Cost of Sales
Transportation and
Services 138,480 168,861 532,224 737,665
Manufacturing 42,068 40,868 189,565 242,309
---------- ---------- ---------- ----------
Cost of Sales 180,548 209,729 721,789 979,974
---------- ---------- ---------- ----------
Gross Profit 46,363 61,832 124,238 179,946
Selling, General and
Administrative Expenses 14,490 19,808 70,082 77,536
Goodwill Impairment - 855 - 855
---------- ---------- ---------- ----------
Operating Income 31,873 41,169 54,156 101,555
---------- ---------- ---------- ----------
Other Expense (Income)
Interest Expense 10,129 6,664 40,932 26,829
Debt Retirement Expenses - - 17,659 2,379
Other, Net (408) (764) (1,259) (2,279)
---------- ---------- ---------- ----------
Other Expenses 9,721 5,900 57,332 26,929
---------- ---------- ---------- ----------
Income (Loss) from
Continuing Operations
before Income Taxes 22,152 35,269 (3,176) 74,626
Income Taxes (Benefit) 8,001 12,363 (1,148) 27,243
---------- ---------- ---------- ----------
Income (Loss) from
Continuing Operations 14,151 22,906 (2,028) 47,383
Discontinued Operations,
Net of Tax (4,811) 787 (10,030) 628
---------- ---------- ---------- ----------
Net Income (Loss) $ 9,340 $ 23,693 $ (12,058) $ 48,011
========== ========== ========== ==========
Basic earnings (loss) per
common share:
Income (loss) from
continuing operations $ 1.11 $ 1.81 $ (0.16) $ 3.76
(Loss) income from
discontinued operations,
net of tax (0.38) 0.06 (0.79) 0.05
---------- ---------- ---------- ----------
Basic earnings (loss) per
common share $ 0.73 $ 1.87 $ (0.95) $ 3.81
========== ========== ========== ==========
Earnings (loss) per common
share - assuming dilution:
Income (loss) from
continuing operations $ 1.09 $ 1.81 $ (0.16) $ 3.73
(Loss) income from
discontinued operations,
net of tax (0.37) 0.06 (0.79) 0.05
---------- ---------- ---------- ----------
Earnings (loss) per common
share - assuming dilution $ 0.72 $ 1.87 $ (0.95) $ 3.78
========== ========== ========== ==========
Weighted Average Shares
Outstanding:
Basic 12,718,041 12,662,471 12,708,492 12,614,799
Diluted 12,939,401 12,662,471 12,708,492 12,708,074
AMERICAN COMMERCIAL LINES INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands, except shares and per share amounts)
December 31, December 31,
2009 2008 (1)
------------ ------------
ASSETS
Current Assets
Cash and Cash Equivalents $ 1,198 $ 1,217
Accounts Receivable, Net 93,295 138,695
Inventory 39,070 69,635
Deferred Tax Asset 3,791 5,173
Assets Held for Sale 3,531 4,577
Prepaid and Other Current Assets 23,879 39,002
------------ ------------
Total Current Assets 164,764 258,299
Properties, Net 521,068 554,580
Investment in Equity Investees 4,522 4,039
Other Assets 42,635 22,333
------------ ------------
Total Assets $ 732,989 $ 839,251
============ ============
LIABILITIES
Current Liabilities
Accounts Payable $ 34,163 $ 67,719
Accrued Payroll and Fringe Benefits 18,283 25,179
Deferred Revenue 13,928 13,986
Accrued Claims and Insurance Premiums 16,947 22,819
Accrued Interest 13,098 1,237
Current Portion of Long Term Debt 114 1,420
Customer Deposits 1,309 6,682
Other Liabilities 31,825 43,522
------------ ------------
Total Current Liabilities 129,667 182,564
Long Term Debt 354,518 418,550
Pension and Post Retirement Liabilities 31,514 44,140
Deferred Tax Liability 40,133 30,389
Other Long Term Liabilities 6,567 4,899
------------ ------------
Total Liabilities 562,399 680,542
------------ ------------
STOCKHOLDERS' EQUITY
Common stock; authorized 50,000,000 shares at
$.01 par value; 15,898,596 and 15,813,746
shares issued and outstanding as of December
31, 2009 and 2008, respectively 159 158
Treasury Stock; 3,179,274 and 3,150,906 shares
at December 31, 2009 and 2008, respectively (313,328) (312,886)
Other Capital 299,486 293,493
Retained Earnings 183,862 195,920
Accumulated Other Comprehensive Income (Loss) 411 (17,976)
------------ ------------
Total Stockholders' Equity 170,590 158,709
------------ ------------
Total Liabilities and
Stockholders' Equity $ 732,989 $ 839,251
============ ============
(1) The Consolidated Balance Sheet at December 31, 2008 has been derived
from the audited consolidated financial statements at that date, but does
not include 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 Dec. 31, Year Ended Dec. 31,
---------------------- ----------------------
2009 2008 2009 2008
---------- ---------- ---------- ----------
Net Income (Loss) from
Continuing Operations $ 14,151 $ 22,906 $ (2,028) $ 47,383
Discontinued Operations,
Net of Income Taxes (4,811) 787 (10,030) 628
---------- ---------- ---------- ----------
Consolidated Net Income
(Loss) $ 9,340 $ 23,693 $ (12,058) $ 48,011
---------- ---------- ---------- ----------
Adjustments from Continuing
Operations:
Interest Income (54) (61) (66) (148)
Interest Expense 10,129 6,664 40,932 26,829
Debt Retirement Expenses - - 17,659 2,379
Depreciation and
Amortization 12,960 12,646 52,475 50,446
Taxes 8,001 12,363 (1,148) 27,243
Adjustments from
Discontinued Operations:
Interest Income - (3) (1) (46)
Interest Expense - 11 30 35
Depreciation and
Amortization 214 470 1,363 1,430
Taxes (2,728) 508 (5,611) 388
EBITDA from Continuing
Operations 45,187 54,518 107,824 154,132
EBITDA from Discontinued
Operations (7,325) 1,773 (14,249) 2,435
---------- ---------- ---------- ----------
Consolidated EBITDA $ 37,862 $ 56,291 $ 93,575 $ 156,567
========== ========== ========== ==========
EBITDA from Continuing
Operations by Segment:
Transportation Net Income
(Loss) $ 10,468 $ 27,015 $ (24,761) $ 38,015
Interest Income (54) (60) (66) (145)
Interest Expense 10,129 6,654 40,932 26,788
Debt Retirment Expenses - - 17,659 2,379
Depreciation and
Amortization 11,993 11,778 48,615 47,255
Taxes 8,022 12,234 (1,148) 27,114
---------- ---------- ---------- ----------
Transportation EBITDA $ 40,558 $ 57,621 $ 81,231 $ 141,406
========== ========== ========== ==========
Manufacturing Net Income $ 2,610 $ 2,879 $ 21,582 $ 16,577
Depreciation and
Amortization 882 785 3,524 2,858
---------- ---------- ---------- ----------
Total Manufacturing EBITDA 3,492 3,664 25,106 19,435
Intersegment Profit - (6,299) - (6,839)
---------- ---------- ---------- ----------
External Manufacturing
EBITDA $ 3,492 $ (2,635) $ 25,106 $ 12,596
========== ========== ========== ==========
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
----------------------
Transport- Manufactu- All Other Intersegment
ation ring Segments Elimination Total
---------- ---------- ---------- ---------- ----------
Quarter ended
December 31,
2009
Total revenue $ 177,921 $ 55,726 $ 4,253 $ (10,989) $ 226,911
Intersegment
revenues 454 10,528 7 (10,989) -
---------- ---------- ---------- ---------- ----------
Revenue from
external
customers 177,467 45,198 4,246 - 226,911
Operating
expense
Materials,
supplies and
other 55,207 - - - 55,207
Rent 5,381 - - - 5,381
Labor and
fringe
benefits 29,506 - - - 29,506
Fuel 30,700 - - - 30,700
Depreciation
and
amortization 11,993 - - - 11,993
Taxes, other
than income
taxes 3,564 - - - 3,564
Gain on
disposition
of equipment 348 - - - 348
Cost of goods
sold - 42,068 1,781 - 43,849
---------- ---------- ---------- ---------- ----------
Total cost
of sales 136,699 42,068 1,781 - 180,548
Selling,
general &
administrative 12,507 571 1,412 - 14,490
---------- ---------- ---------- ---------- ----------
Total
operating
expenses 149,206 42,639 3,193 - 195,038
---------- ---------- ---------- ---------- ----------
Operating
income $ 28,261 $ 2,559 $ 1,053 $ - $ 31,873
========== ========== ========== ========== ==========
Quarter ended
December 31,
2008
Total revenue $ 231,281 $ 65,191 $ 2,451 $ (27,362) $ 271,561
Intersegment
revenues - 27,287 75 (27,362) -
---------- ---------- ---------- ---------- ----------
Revenue from
external
customers 231,281 37,904 2,376 - 271,561
Operating
expense
Materials,
supplies and
other 66,952 - - - 66,952
Rent 5,637 - - - 5,637
Labor and
fringe
benefits 32,394 - - - 32,394
Fuel 48,389 - - - 48,389
Depreciation
and
amortization 11,778 - - - 11,778
Taxes, other
than income
taxes 3,473 - - - 3,473
Gain on
disposition
of equipment (310) - - - (310)
Cost of goods
sold - 40,868 548 - 41,416
---------- ---------- ---------- ---------- ----------
Total cost
of sales 168,313 40,868 548 - 209,729
Selling,
general &
administrative 17,896 389 1,523 - 19,808
Goodwill
Impairment - - 855 - 855
---------- ---------- ---------- ---------- ----------
Total
operating
expenses 186,209 41,257 2,926 - 230,392
---------- ---------- ---------- ---------- ----------
Operating
income (loss) $ 45,072 $ (3,353) $ (550) $ - $ 41,169
========== ========== ========== ========== ==========
AMERICAN COMMERCIAL LINES INC.
Statement of Operating Income by Reportable Segment
(Dollars in thousands)
(Unaudited)
Reportable Segments
----------------------
Transport- Manufactu- All Other Intersegment
ation ring Segments Elimination Total
---------- ---------- ---------- ---------- ----------
Year ended
December 31,
2009
Total revenue $ 621,611 $ 239,885 $ 9,715 $ (25,184) $ 846,027
Intersegment
revenues 751 24,339 94 (25,184) -
---------- ---------- ---------- ---------- ----------
Revenue from
external
customers 620,860 215,546 9,621 - 846,027
Operating
expense
Materials,
supplies and
other 225,647 - - - 225,647
Rent 21,715 - - - 21,715
Labor and
fringe
benefits 115,998 - - - 115,998
Fuel 122,752 - - - 122,752
Depreciation
and
amortization 48,615 - - - 48,615
Taxes, other
than income
taxes 14,072 - - - 14,072
Gain on
disposition
of equipment (20,282) - - - (20,282)
Cost of goods
sold - 189,565 3,707 - 193,272
---------- ---------- ---------- ---------- ----------
Total cost
of sales 528,517 189,565 3,707 - 721,789
Selling,
general &
administrative 60,740 4,579 4,763 - 70,082
---------- ---------- ---------- ---------- ----------
Total
operating
expenses 589,257 194,144 8,470 - 791,871
---------- ---------- ---------- ---------- ----------
Operating
income $ 31,603 $ 21,402 $ 1,151 $ - $ 54,156
========== ========== ========== ========== ==========
Year ended
December 31,
2008
Total revenue $ 897,272 $ 284,274 $ 8,617 $ (30,243) $1,159,920
Intersegment
revenues - 29,480 763 (30,243) -
---------- ---------- ---------- ---------- ----------
Revenue from
external
customers 897,272 254,794 7,854 - 1,159,920
Operating
expense
Materials,
supplies and
other 304,858 - - - 304,858
Rent 23,345 - - - 23,345
Labor and
fringe
benefits 118,737 - - - 118,737
Fuel 227,489 - - - 227,489
Depreciation
and
amortization 47,255 - - - 47,255
Taxes, other
than income
taxes 14,855 - - - 14,855
Gain on
disposition
of equipment (954) - - - (954)
Cost of goods
sold - 242,309 2,080 - 244,389
---------- ---------- ---------- ---------- ----------
Total cost
of sales 735,585 242,309 2,080 - 979,974
Selling,
general &
administrative 69,493 2,798 5,245 - 77,536
Goodwill
Impairment - - 855 - 855
---------- ---------- ---------- ---------- ----------
Total
operating
expenses 805,078 245,107 8,180 - 1,058,365
---------- ---------- ---------- ---------- ----------
Operating
income (loss) $ 92,194 $ 9,687 $ (326) $ - $ 101,555
========== ========== ========== ========== ==========
AMERICAN COMMERCIAL LINES INC.
SELECTED FINANCIAL AND NONFINANCIAL DATA
(Dollars in thousands except where noted)
(Unaudited)
Quarter Ended Dec. 31, Year Ended Dec. 31,
----------------------- -----------------------
2009 2008 2009 2008
----------- ---------- ----------- -----------
Consolidated EBITDA $ 37,862 $ 56,291 $ 93,575 $ 156,567
Transportation Revenue and
EBITDA
Revenue $ 177,467 $ 231,281 $ 620,860 $ 897,272
EBITDA 40,558 57,621 81,231 141,406
Manufacturing Revenue and
EBITDA (External and
Internal)
Revenue $ 55,726 $ 65,191 $ 239,885 $ 284,274
EBITDA 3,492 3,664 25,106 19,435
Manufacturing External
Revenue and EBITDA
Revenue $ 45,198 $ 37,904 $ 215,546 $ 254,794
EBITDA 3,492 (2,635) 25,106 12,596
Average Domestic Barges
Operated
Dry 2,156 2,278 2,202 2,347
Liquid 362 386 376 390
----------- ---------- ----------- -----------
Total 2,518 2,664 2,578 2,737
=========== ========== =========== ===========
Fuel Price (Average Dollars
per gallon) $ 1.95 $ 2.86 $ 1.95 $ 3.17
Capital Expenditures
(including software) $ 15,847 $ 43,115 $ 36,007 $ 100,067
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