A. M. Castle & Co. (NYSE: CAS) (“the Company” or “Castle”), a
global distributor of specialty metal and plastic products, value-added
services and supply chain solutions, today reported financial results
for the three months ended March 31, 2015.
Newly appointed President and CEO Steve Scheinkman commented, “A. M.
Castle was founded 125 years ago and has been a key leader in the metal
service center industry throughout that time. The Company is built on
its key pillars of market leadership, customer focus, competitive cost,
and people. Having served in the industry for 27 years, including as
President of Castle’s aerospace business, I am well aware of the
Company’s strong capability to provide metal and plastic products,
services and processing capabilities at the highest levels of quality
and customer satisfaction on a global basis. It is for this reason that
I was very excited to accept the position as President and CEO. While
only rejoining Castle less than two weeks ago, I have a clear vision of
how to proceed to empower our employees and utilize the expertise and
creativity of our team to provide complete and customized solutions that
position Castle as the go-to integral growth partner to all levels of
the supply chain.”
Regarding the Company’s plan going forward, Scheinkman commented,
“Castle’s financial results over the past several quarters clearly
demonstrate that changes are necessary in how we operate in order to
achieve profitability and ensure that we properly manage our assets. Our
plan has two essential thrusts – (i) improve the value proposition we
provide our customers by increasing customer intimacy, service and
support, and (ii) improve the financial position of the Company through
better balance sheet management and a reduced, more efficient cost
structure.
Scheinkman continued, “Regarding the first thrust, we will be improving
the value proposition by driving more resources, capabilities,
responsibility and accountability down to our branches so they may be
closer to our customers, and more responsive to the customer’s evolving
needs. While we plan to accomplish this with fewer branches, each will
have more complete product lines and capabilities for value added
services to our customers. We will continue to offer our full product
line throughout our current geographic coverage and maintain the highest
level of quality, service and safety that we are known for. Regarding
the second thrust, we plan to generate cash by more efficiently managing
our inventory, selling some of our real estate and other non-core
assets, and ultimately driving to profitability. In order to return
Castle to profitability, we will take immediate action to reduce our
cost structure.
Regarding Conway MacKenzie, Scheinkman noted, “Prior to my arrival, the
management team began a rigorous analysis, with the assistance of Conway
MacKenzie, to evaluate the Company’s current facility and resource
footprint to determine how to best optimize its operational performance
and reduce costs. I would like to thank Conway MacKenzie for their
excellent work. We will be implementing a facility consolidation and
down-sizing based on their recommendations that will significantly
reduce our cost structure and pave the way to improved cash flow and
financial performance. We will be phasing out Conway MacKenzie’s
consulting assignment and Jeff Zappone will no longer need to serve as
the Company’s Interim Chief Operating Officer. During this phase out
period, Conway MacKenzie will continue to provide assistance in an as
required supporting role as we implement our plan.”
Scheinkman continued, “I believe that our balanced and complementary
strategy of continuously improving customer focus while simultaneously
improving the Company’s financial position will enable us to both
strengthen Castle today while positioning us to return to long term,
profitable growth.”
Highlights of the Plan Framework
-
Consolidation of up to 10 facilities by first quarter 2016 into
geographically overlapping facilities
-
Strategic delayering through headcount reductions via efficiency gains
and consolidation of facilities
-
Cost savings to begin in the middle of second quarter 2015
-
Measured against annualized first quarter 2015 run rate revenue and
upon full implementation of these initial activities, the Company
anticipates approximately $48 million of annualized cost improvement;
additional cost savings are in the process of being evaluated
-
Cash flows from consolidation and downsizing:
-
Sales of facilities expected to generate approximately $28 million
estimated to be realized by first quarter 2016
-
Cash costs of $12.1 - $21.4 million expected to be incurred
through the first quarter of 2016 including up to $6 million of
cost which if incurred, is payable in approximately level
installments over a 20 year period
-
Net non-cash charge of $12.8 million - $14.5 million
-
New facility footprint and organizational changes based on local
accountability with a focus on inventory management intended to reduce
days sales in inventory (DSI) to be in line with industry averages
-
All facility consolidation activities substantially completed by the
end of the first quarter 2016
Scheinkman added, “I have led successful turnarounds in the past and I
am confident that we are implementing the right strategy now to
strengthen Castle and position the Company for long term success. I
really appreciate the strong support from the Castle Board, Executive
Team and talented employees throughout our organization as we implement
our strategy to continuously enhance the value we deliver to our
customers while improving the Company’s financial position and long term
opportunities for growth and sustainable profitability.”
Brian Anderson, Chairman of the Board of Castle, added, “The Board of
Directors strongly supports Steve and his team. We are optimistic that
we now have the right leadership and the right plan in place to drive
the future success of Castle.”
First Quarter 2015 Results:
Consolidated net sales were $222.2 million for first quarter 2015
compared to $253.4 million in first quarter 2014. The Company reported a
first quarter 2015 net loss of $20.7 million, or a loss of $0.88 per
diluted share, compared to a net loss of $16.0 million, or a loss of
$0.69 per diluted share, in the prior year quarter. Adjusted non-GAAP
net loss for first quarter 2015 was $21.8 million compared to adjusted
non-GAAP net loss of $15.7 million in first quarter 2014. The Company
reported first quarter 2015 EBITDA loss of $4.6 million, compared to
EBITDA of $0.4 million in first quarter 2014. First quarter 2015 results
were negatively impacted by $6.2 million foreign currency transaction
losses and first quarter 2014 results included $0.7 million of foreign
currency transaction losses. Adjusted EBITDA net loss for first quarter
2015 was $5.7 million compared with adjusted EBITDA of $0.9 million in
first quarter 2014.
“Our cost structure and inventory investment are clearly too high in
light of the conditions in the market,” said Pat Anderson, Interim CFO.
“Going forward, we expect to see improvement in our quarterly operating
expense performance. Successful execution of the plan developed by the
management team is expected to result in improved liquidity and
profitability thereby expanding our available options regarding our
capital structure and long-term financing.”
Net sales from the Metals segment during first quarter 2015 were $188.5
million, which was 13.9% lower than first quarter 2014 and 4.0% lower
than the fourth quarter 2014. Average selling price per ton sold was
down 1.5% from the first quarter 2014 and down 2.2% from the fourth
quarter 2014. Tons sold were down 12.0% compared to first quarter 2014
and down 3.3% compared to fourth quarter 2014. In the Plastics segment,
first quarter 2015 net sales were $33.7 million which was 1.9% lower
compared to first quarter 2014 and flat compared to fourth quarter 2014.
Gross margins were 24.4% in first quarter 2015 compared to 25.6% in
first quarter 2014. Gross margins included provisions for excess
inventory of $1.3 million and LIFO income of $0.5 million in first
quarter 2015 compared to LIFO income of $1.2 million in first quarter
2014. Metals segment gross margins were 23.6% in the first quarter 2015
compared to 24.9% in the prior year period. Aerospace and industrial
product margins remained stable, but were not enough to overcome the
weakness seen in oil & gas product margins.
Including a $5.6 million gain on sale of the Company’s Blaine, MN
facility, operating expenses were $59.8 million in first quarter 2015
compared to $72.2 million in first quarter 2014 and $69.4 million in
fourth quarter 2014.
Net cash used in operations was $2.8 million during the first quarter,
compared to net cash used in operations of $2.9 million during first
quarter 2014. The Company had $62.0 million of borrowings outstanding
under its revolving credit facility at March 31, 2015 and $38.1 million
of additional unrestricted borrowing capacity available under the terms
of the revolving credit facility. There were $59.2 million borrowings
under the revolving credit facility at December 31, 2014. The Company’s
net debt-to-capital ratio was 68.2% at March 31, 2015 compared to 65.5%
at December 31, 2014. Total debt outstanding, net of unamortized
discount, was $314.0 million at March 31, 2015 and $310.1 million at
December 31, 2014. Refer to the ‘Total Debt’ table below for details
related to the Company’s outstanding debt obligations.
Webcast Information
Management will hold a conference call at 11:00 a.m. ET today to review
the Company's results for the first quarter and year ended March 31,
2015 and discuss business conditions and outlook. The call can be
accessed via the internet live or as a replay. Those who would like to
listen to the call may access the webcast through a link on the investor
relations page of the Company’s website at http://www.amcastle.com/investors/default.aspx
or by calling (800) 774-6070 or (630) 691-2753 and citing code 7608
998#. A supplemental presentation accompanying the webcast can also be
accessed at the link provided at the investor relations page of the
Company's website.
An archived version of the conference call webcast will be available for
replay at the link above approximately three hours following its
conclusion, and will remain available until the next earnings conference
call.
About A. M. Castle & Co.
Founded in 1890, A. M. Castle & Co. is a global distributor of specialty
metal and plastic products and supply chain services, principally
serving the producer durable equipment, oil and gas, commercial
aircraft, heavy equipment, industrial goods, construction equipment,
retail, marine and automotive sectors of the global economy. Its
customer base includes many Fortune 500 companies as well as thousands
of medium and smaller-sized firms spread across a variety of industries.
Within its metals business, it specializes in the distribution of alloy
and stainless steels; nickel alloys; aluminum and carbon. Through its
wholly-owned subsidiary, Total Plastics, Inc., the Company also
distributes a broad range of value-added industrial plastics. Together,
Castle and its affiliated companies operate out of 47 service centers
located throughout North America, Europe and Asia. Its common stock is
traded on the New York Stock Exchange under the ticker symbol "CAS".
Regulation G Disclosure
This release and the financial statements included in this release
include non-GAAP financial measures. The non-GAAP financial information
should be considered supplemental to, and not as a substitute for, or
superior to, financial measures calculated in accordance with GAAP.
However, we believe that non-GAAP reporting, giving effect to the
adjustments shown in the reconciliation contained in this release and in
the attached financial statements, provides meaningful information and
therefore we use it to supplement our GAAP reporting and guidance.
Management often uses this information to assess and measure the
performance of our business. We have chosen to provide this supplemental
information to investors, analysts and other interested parties to
enable them to perform additional analyses of operating results, to
illustrate the results of operations giving effect to the non-GAAP
adjustments shown in the reconciliations and to assist with
period-over-period comparisons of such operations. The exclusion of the
charges indicated herein from the non-GAAP financial measures presented
does not indicate an expectation by the Company that similar charges
will not be incurred in subsequent periods.
In addition, the Company believes that the use and presentation of
EBITDA, which is defined by the Company as income before provision for
income taxes plus depreciation and amortization, and interest expense,
less interest income, is widely used by the investment community for
evaluation purposes and provides investors, analysts and other
interested parties with additional information in analyzing the
Company’s operating results. Adjusted non-GAAP net income and adjusted
EBITDA, which are defined as reported net income and EBITDA adjusted for
non-cash items and items which are not considered by management to be
indicative of the underlying results, are presented as the Company
believes the information is important to provide investors, analysts and
other interested parties additional information about the Company’s
financial performance. Management uses EBITDA, adjusted non-GAAP net
income and adjusted EBITDA to evaluate the performance of the business.
Cautionary Statement on Risks Associated with Forward Looking
Statements
Information provided and statements contained in this release that are
not purely historical are forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933, as amended (“Securities
Act”), Section 21E of the Securities Exchange Act of 1934, as amended
(“Exchange Act”), and the Private Securities Litigation Reform Act of
1995. Such forward-looking statements only speak as of the date of this
release and the Company assumes no obligation to update the information
included in this release. Such forward-looking statements include
information concerning our possible or assumed future results of
operations, including descriptions of our business strategy, and the
cost savings and other benefits that we expect to achieve from our
facility closures and organizational changes. These statements often
include words such as “believe,” “expect,” “anticipate,” “intend,”
“predict,” “plan,” "should," or similar expressions. These statements
are not guarantees of performance or results, and they involve risks,
uncertainties, and assumptions. Although we believe that these
forward-looking statements are based on reasonable assumptions, there
are many factors that could affect our actual financial results or
results of operations and could cause actual results to differ
materially from those in the forward-looking statements, including our
ability to effectively manage our operational initiatives, the impact of
volatility of metals and plastics prices, the cyclical and seasonal
aspects of our business, our ability to effectively manage inventory
levels and the impact of our substantial level of indebtedness, as well
as including those risk factors identified in Item 1A “Risk Factors” of
our Annual Report on Form 10-K for the fiscal year ended December 31,
2014. All future written and oral forward-looking statements by us or
persons acting on our behalf are expressly qualified in their entirety
by the cautionary statements contained or referred to above. Except as
required by the federal securities laws, we do not have any obligations
or intention to release publicly any revisions to any forward-looking
statements to reflect events or circumstances in the future, to reflect
the occurrence of unanticipated events or for any other reason.
|
|
|
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
|
(Dollars in thousands, except per share data)
|
Unaudited
|
|
For the Three Months Ended
|
|
|
|
|
March 31,
|
|
|
2015
|
|
2014
|
Net sales
|
|
$
|
222,228
|
|
|
$
|
253,410
|
|
Costs, expenses and (gains):
|
|
|
|
|
Cost of materials (exclusive of depreciation and amortization)
|
|
168,111
|
|
|
188,531
|
|
Warehouse, processing and delivery expense
|
|
27,031
|
|
|
35,381
|
|
Sales, general, and administrative expense
|
|
25,535
|
|
|
29,624
|
|
Restructuring activity, net
|
|
831
|
|
|
739
|
|
Depreciation and amortization expense
|
|
6,355
|
|
|
6,457
|
|
Operating loss
|
|
(5,635
|
)
|
|
(7,322
|
)
|
Interest expense, net
|
|
(10,546
|
)
|
|
(9,952
|
)
|
Other expense, net
|
|
(6,225
|
)
|
|
(682
|
)
|
Loss before income taxes and equity in earnings of joint venture
|
|
(22,406
|
)
|
|
(17,956
|
)
|
Income taxes
|
|
825
|
|
|
51
|
|
Loss before equity in earnings of joint venture
|
|
(21,581
|
)
|
|
(17,905
|
)
|
Equity in earnings of joint venture
|
|
875
|
|
|
1,907
|
|
Net loss
|
|
$
|
(20,706
|
)
|
|
$
|
(15,998
|
)
|
Basic loss per share
|
|
$
|
(0.88
|
)
|
|
$
|
(0.69
|
)
|
Diluted loss per share
|
|
$
|
(0.88
|
)
|
|
$
|
(0.69
|
)
|
EBITDA (a)
|
|
$
|
(4,630
|
)
|
|
$
|
360
|
|
(a) Earnings (loss) before interest, taxes, and depreciation and
amortization. See reconciliation to net loss below.
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of EBITDA and of adjusted
EBITDA to net loss:
|
|
For the Three Months Ended
|
|
(Dollars in thousands)
|
|
March 31,
|
Unaudited
|
|
2015
|
|
2014
|
Net loss
|
|
$
|
(20,706
|
)
|
|
$
|
(15,998
|
)
|
Depreciation and amortization expense
|
|
6,355
|
|
|
6,457
|
|
Interest expense, net
|
|
10,546
|
|
|
9,952
|
|
Income taxes
|
|
(825
|
)
|
|
(51
|
)
|
EBITDA
|
|
(4,630
|
)
|
|
360
|
|
Non-GAAP net loss adjustments (b)
|
|
(1,070)
|
|
|
531
|
|
Adjusted EBITDA
|
|
$
|
(5,700
|
)
|
|
$
|
891
|
|
|
(b) Non-GAAP net loss adjustments relate to restructuring activity,
foreign exchange losses on intercompany loans, and unrealized (gains)
losses for commodity hedges and gain on sale of property, plant and
equipment for both periods presented. Refer to 'Reconciliation of
Adjusted Non-GAAP Net Loss to Reported Net Loss' table for additional
details on these amounts. Unrealized foreign exchange losses on
intercompany loans were not included in Adjusted EBITDA in prior year
period presented as the amount was not significant; had losses been
included, Adjusted EBITDA would have been $1,453 for the three-month
period ended March 31, 2014.
|
CONDENSED CONSOLIDATED BALANCE SHEETS
|
|
As of
|
(In thousands, except par value data)
|
|
March 31,
|
|
December 31,
|
Unaudited
|
|
2015
|
|
2014
|
ASSETS
|
|
|
|
|
Current assets
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
13,366
|
|
|
$
|
8,454
|
|
Accounts receivable, less allowances of $3,161 and $3,375
|
|
129,204
|
|
|
131,003
|
|
Inventories, principally on last-in first-out basis (replacement
cost higher by $129,279 and $129,779)
|
|
243,331
|
|
|
236,932
|
|
Prepaid expenses and other current assets
|
|
13,156
|
|
|
9,458
|
|
Deferred income taxes
|
|
752
|
|
|
685
|
|
Income tax receivable
|
|
2,264
|
|
|
2,886
|
|
Total current assets
|
|
402,073
|
|
|
389,418
|
|
Investment in joint venture
|
|
38,003
|
|
|
37,443
|
|
Goodwill
|
|
12,973
|
|
|
12,973
|
|
Intangible assets, net
|
|
52,695
|
|
|
56,555
|
|
Prepaid pension cost
|
|
7,494
|
|
|
7,092
|
|
Other assets
|
|
10,502
|
|
|
11,660
|
|
Property, plant and equipment
|
|
|
|
|
Land
|
|
3,594
|
|
|
4,466
|
|
Buildings
|
|
50,528
|
|
|
52,821
|
|
Machinery and equipment
|
|
182,817
|
|
|
183,923
|
|
Property, plant and equipment, at cost
|
|
236,939
|
|
|
241,210
|
|
Less - accumulated depreciation
|
|
(168,403
|
)
|
|
(168,375
|
)
|
Property, plant and equipment, net
|
|
68,536
|
|
|
72,835
|
|
Total assets
|
|
$
|
592,276
|
|
|
$
|
587,976
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
|
|
|
Current liabilities
|
|
|
|
|
Accounts payable
|
|
$
|
85,998
|
|
|
$
|
68,782
|
|
Accrued and other liabilities
|
|
36,034
|
|
|
27,670
|
|
Income taxes payable
|
|
505
|
|
|
328
|
|
Current portion of long-term debt
|
|
734
|
|
|
737
|
|
Total current liabilities
|
|
123,271
|
|
|
97,517
|
|
Long-term debt, less current portion
|
|
313,239
|
|
|
309,377
|
|
Deferred income taxes
|
|
6,585
|
|
|
8,360
|
|
Other non-current liabilities
|
|
3,393
|
|
|
3,655
|
|
Pension and postretirement benefit obligations
|
|
18,775
|
|
|
18,747
|
|
Commitments and contingencies
|
|
|
|
|
Stockholders' equity
|
|
|
|
|
Preferred stock, $0.01 par value—9,988 shares authorized (including
400 Series B Junior Preferred $0.00 par value shares); no shares
issued and outstanding at March 31, 2015 and December 31, 2014
|
|
—
|
|
|
—
|
|
Common stock, $0.01 par value—60,000 shares authorized and 23,700
shares issued and 23,572 outstanding at March 31, 2015 and 23,630
shares issued and 23,559 outstanding at December 31, 2014
|
|
236
|
|
|
236
|
|
Additional paid-in capital
|
|
226,853
|
|
|
225,953
|
|
(Accumulated deficit) retained earnings
|
|
(50,130
|
)
|
|
(29,424
|
)
|
Accumulated other comprehensive loss
|
|
(48,857
|
)
|
|
(45,565
|
)
|
Treasury stock, at cost—128 shares at March 31, 2015 and 71 shares
at December 31, 2014
|
|
(1,089
|
)
|
|
(880
|
)
|
Total stockholders' equity
|
|
127,013
|
|
|
150,320
|
|
Total liabilities and stockholders' equity
|
|
$
|
592,276
|
|
|
$
|
587,976
|
|
|
|
|
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|
For the Three Months Ended
|
(Dollars in thousands)
|
|
March 31,
|
Unaudited
|
|
2015
|
|
2014
|
Operating activities:
|
|
|
|
|
Net loss
|
|
$
|
(20,706
|
)
|
|
$
|
(15,998
|
)
|
Adjustments to reconcile net loss to net cash (used in) from
operating activities:
|
|
|
|
|
Depreciation and amortization
|
|
6,355
|
|
|
6,457
|
|
Amortization of deferred financing costs and debt discount
|
|
2,167
|
|
|
1,927
|
|
Gain on sale of property, plant and equipment
|
|
(5,622
|
)
|
|
0
|
|
Unrealized (gains) losses on commodity hedges
|
|
(102
|
)
|
|
(208
|
)
|
Unrealized foreign currency transaction losses
|
|
3,823
|
|
|
0
|
|
Equity in earnings of joint venture
|
|
(875
|
)
|
|
(1,907
|
)
|
Dividends from joint venture
|
|
315
|
|
|
607
|
|
Deferred tax expense (benefit)
|
|
(1,538
|
)
|
|
571
|
|
Other Net
|
|
711
|
|
|
243
|
|
Increase (decrease) from changes in:
|
|
|
|
|
Accounts receivable
|
|
(874
|
)
|
|
(17,930
|
)
|
Inventories
|
|
(10,819
|
)
|
|
904
|
|
Prepaid expenses and other current assets
|
|
(3,921
|
)
|
|
(1,365
|
)
|
Other assets
|
|
(242
|
)
|
|
1,972
|
|
Prepaid pension costs
|
|
620
|
|
|
173
|
|
Accounts payable
|
|
18,668
|
|
|
18,423
|
|
Income taxes payable and receivable
|
|
643
|
|
|
(1,454
|
)
|
Accrued liabilities
|
|
8,775
|
|
|
4,818
|
|
Postretirement benefit obligations and other liabilities
|
|
(158
|
)
|
|
(102
|
)
|
Net cash (used in) from operating activities
|
|
(2,780
|
)
|
|
(2,869
|
)
|
Investing activities:
|
|
|
|
|
Capital expenditures
|
|
(2,061
|
)
|
|
(2,012
|
)
|
Proceeds from sale of property, plant and equipment
|
|
7,541
|
|
|
46
|
|
Net cash used in investing activities
|
|
5,480
|
|
|
(1,966
|
)
|
Financing activities:
|
|
|
|
|
Proceeds from long-term debt
|
|
206,900
|
|
|
11,506
|
|
Repayments of long-term debt
|
|
(204,357
|
)
|
|
(11,605
|
)
|
Net cash from (used in) financing activities
|
|
2,543
|
|
|
(54
|
)
|
Effect of exchange rate changes on cash and cash equivalents
|
|
(331
|
)
|
|
(232
|
)
|
Net change in cash and cash equivalents
|
|
4,912
|
|
|
(5,121
|
)
|
Cash and cash equivalents—beginning of year
|
|
8,454
|
|
|
30,829
|
|
Cash and cash equivalents—end of year
|
|
$
|
13,366
|
|
|
$
|
25,708
|
|
|
|
|
Reconciliation of Adjusted Non-GAAP Net
Loss to Reported Net Loss:
|
|
(Dollars in thousands, except per share data)
|
Unaudited
|
|
For the Three Months Ended
|
|
|
|
|
March 31,
|
|
|
2015
|
|
2014
|
Net loss, as reported
|
|
$
|
(20,706
|
)
|
|
$
|
(15,998
|
)
|
Restructuring activity (a)
|
|
831
|
|
|
739
|
|
Foreign exchange losses on intercompany loans(b)
|
|
3,823
|
|
|
—
|
|
Unrealized gains on commodity hedges
|
|
(102
|
)
|
|
(208
|
)
|
Gain on sale of property, plant and equipment
|
|
(5,622)
|
|
|
—
|
|
Tax effect of adjustments
|
|
—
|
|
|
(203
|
)
|
Adjusted non-GAAP net loss
|
|
$
|
(21,776
|
)
|
|
$
|
(15,670
|
)
|
Adjusted non-GAAP basic loss per share
|
|
$
|
(0.93
|
)
|
|
$
|
(0.67
|
)
|
Adjusted non-GAAP diluted loss per share
|
|
$
|
(0.93
|
)
|
|
$
|
(0.67
|
)
|
|
(a) Restructuring activity includes costs associated with the costs
recorded to the restructuring activity line item within the condensed
consolidated statements of operations and comprehensive loss for all
periods presented.
(b) Unrealized foreign exchange losses on intercompany loans were not
included in the prior year period presented as an adjustment to GAAP
results as the amount was not significant; had the losses been included,
Adjusted non-GAAP net loss, adjusted non-GAAP loss per share and
adjusted non-GAAP diluted loss per share would have been $(15,108),
$(0.65), and $(0.65), respectively, for the three-month period ended
March 31, 2014.
Total Debt:
|
|
As of
|
(Dollars in thousands)
|
|
March 31,
|
|
December 31,
|
Unaudited
|
|
2015
|
|
2014
|
LONG-TERM DEBT
|
|
|
|
|
12.75% Senior Secured Notes due December 15, 2016
|
|
$
|
210,000
|
|
|
$
|
210,000
|
|
7.0% Convertible Notes due December 15, 2017
|
|
57,500
|
|
|
57,500
|
|
Revolving Credit Facility due December 10, 2019
|
|
62,000
|
|
|
59,200
|
|
Other, primarily capital leases
|
|
993
|
|
|
1,257
|
|
Total long-term debt
|
|
330,493
|
|
|
327,957
|
|
Less: unamortized discount
|
|
(16,520
|
)
|
|
(17,843
|
)
|
Less: current portion
|
|
(734
|
)
|
|
(737
|
)
|
Total long-term portion
|
|
313,239
|
|
|
309,377
|
|
TOTAL DEBT
|
|
$
|
313,973
|
|
|
$
|
310,114
|
|
|
|
|
|
|
|
Reconciliation of Total Debt to Net Debt
and Net Debt-to-Capital:
|
|
As of
|
(Dollars in thousands)
|
|
March 31,
|
|
December 31,
|
Unaudited
|
|
2015
|
|
2014
|
Total Debt
|
|
$
|
313,973
|
|
|
$
|
310,114
|
|
Less: Cash and Cash Equivalents
|
|
(13,366
|
)
|
|
(8,454
|
)
|
NET DEBT
|
|
$
|
300,607
|
|
|
$
|
301,660
|
|
|
|
|
|
|
Stockholders' Equity
|
|
$
|
127,013
|
|
|
$
|
150,320
|
|
Total Debt
|
|
313,973
|
|
|
310,114
|
|
CAPITAL
|
|
$
|
440,986
|
|
|
$
|
460,434
|
|
|
|
|
|
|
NET DEBT-TO-CAPITAL
|
|
68.2
|
%
|
|
65.5
|
%
|
Copyright Business Wire 2015