EX-99.1 2 c17073exv99w1.htm PRESS RELEASE exv99w1
 

Exhibit 99.1
American Commercial Lines Announces Second Quarter Results
JEFFERSONVILLE, Ind., July 25, 2007 — American Commercial Lines Inc. (NASDAQ: ACLI) (“ACL” or the “Company”) today announced results for the second quarter ended June 30, 2007. Revenues for the quarter were $261.2 million, a 22.9% increase compared with $212.6 million for the second quarter of 2006. Net income for the quarter was $5.9 million or $0.09 per diluted share, compared to net income of $17.7 million or $0.28 per diluted share for the second quarter of 2006. Results for the quarter ended June 30, 2007 included after tax debt retirement expenses of $1.4 million on the replacement of the Company’s previous revolving credit facility which reduced earnings per share by $0.02.
For the six months ended June 30, 2007 revenues were $489.5 million, a 19.4% increase compared with $410.1 million for the first six months of 2006. Net income for the six months was $4.8 million or $0.08 per diluted share, compared to net income of $28.9 million or $0.46 per diluted share for the first six months of 2006. Results for the first six months of 2007 included after tax debt retirement expenses totaling $14.9 million on the retirement of the Company’s 9.5% senior notes and the Company’s previous revolving credit facility which reduced earnings per share by $0.24.
Mark R. Holden, President and Chief Executive Officer, stated “As previously announced, our second quarter was affected by further declines in our spot grain rates and grain loadings, in addition to lower than planned manufacturing results. We believe our results for the second quarter reaffirm our organic growth strategy of shifting more of our commodity mix away from volatile and seasonal spot grain commodities toward more ratable, predictable commodities, including liquids and coal. We are pleased with the completion of our share repurchase program of $200 million of Company stock, representing approximately 12% of the previously outstanding share total, while maintaining a strong balance sheet.”
The transportation segment’s revenues increased to $185.9 million in the second quarter of 2007. Revenues per Barge increased 12% to approximately $65,000 in the quarter. The average fuel neutral rate decreased 2.0% on the dry freight business and increased 13.0 % on the liquid freight business compared to the second quarter of 2006. The fuel neutral rate on the dry freight business was impacted by 12.5% lower spot grain rates in the quarter compared to the same period of the prior year. Volume measured in ton-miles declined in the second quarter to 10.8 billion from 11.1 billion in the same period of the prior year, a decrease of 3.0%. On average, 10.2% fewer ACL barges operated in the second quarter of this year compared to the second quarter of last year.
On a year-to-date basis, 2007 transportation segment revenues increased 1.6% to $362.0 million, driven by increased non-affreightment revenues. Revenues per Barge increased 10% to approximately $124,000 year-to-date. The average fuel neutral rate decreased 0.2% on the dry freight business and increased 14.9% on the liquid freight business compared to the first six months of 2006. The fuel neutral rate on our dry freight business was impacted by 11.6% lower spot grain rates in the first half of 2007 compared to the first six months of 2006. Volume

 


 

measured in ton-miles declined in the six months ended June 30, 2007 to 21.0 billion from 21.9 billion in the same period of the prior year, a decrease of 4.2%. On average, 8.4% fewer ACL barges operated in the first half of this year compared to the first half of last year. Last year’s first quarter and first half volumes benefited from extremely favorable weather conditions and carryover grain demand as a result of the 2005 hurricanes.
The manufacturing segment’s revenues, inclusive of barges manufactured for internal use by ACL, were $81.2 million in the quarter ended June 30, 2007 compared to $48.1 million during the same period last year. In the second quarter of 2007, $5.9 million of the barges produced were built for internal use compared to $20.1 million in the same period of the prior year, resulting in external revenue of $75.3 million compared to $28.0 million during the second quarter last year. For the six months ended June 30, 2007 the manufacturing segment’s revenues inclusive of barges manufactured for internal use by ACL were $133.9 million versus $98.7 million in the prior year. External revenues for the first six months of 2007 and 2006 were $127.5 million and $53.7 million, respectively.
Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) for the second quarter of 2007 was $26.9 million with an EBITDA margin of 10.3% compared to $45.1 million for the second quarter of 2006 with an EBITDA margin of 21.2%. EBITDA for the six months ended June 30, 2007 was $62.2 million with an EBITDA margin of 12.7% compared to $79.9 million for the first half of 2006 with an EBITDA margin of 19.5%. The attachment to this press release reconciles net income to EBITDA.
The company will conduct a conference call to review and discuss its second quarter financial results on July 26, 2007, at 10:00 a.m. eastern daylight time. The telephone numbers to access the ACL Conference Call are: Domestic (800) 561-2731; International (617) 614-3528; and the Participant Passcode is 10184837. The call may also be accessed live on the Company’s internet web site at www.aclines.com. 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 September 24, 2007.
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 $940 million in annual revenues and approximately 2,750 employees as of December 31, 2006. For more information about American Commercial Lines Inc. generally, visit http://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 for the year ended December 31, 2006. 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.
SOURCE: American Commercial Lines Inc.
CONTACT: Christopher A. Black, Sr. Vice President, Chief Financial
Officer of American Commercial Lines Inc., +1-812-288-1836
Web site: http://www.aclines.com

 


 

AMERICAN COMMERCIAL LINES INC.
CONDENSED CONSOLIDATED INCOME STATEMENTS
(Dollars in thousands, except shares and per share amounts)
(Unaudited)
                                 
    Quarter Ended June 30,     Six Months Ended June 30,  
    2007     2006     2007     2006  
Revenues
                               
Transportation Services
  $ 185,869     $ 184,622     $ 361,998     $ 356,369  
Manufacturing
    75,345       28,001       127,460       53,729  
 
                       
Revenues
    261,214       212,623       489,458       410,098  
 
                       
 
                               
Cost of Sales
                               
Transportation Services
    158,462       141,644       299,066       276,684  
Manufacturing
    70,355       25,114       119,568       47,154  
 
                       
Cost of Sales
    228,817       166,758       418,634       323,838  
 
                       
 
                               
Gross Profit
    32,397       45,865       70,824       86,260  
 
                               
Selling, General and Administrative Expenses
    18,407       15,263       34,838       31,342  
 
                               
 
                       
Operating Income
    13,990       30,602       35,986       54,918  
 
                       
 
                               
Other Expense (Income)
                               
Interest Expense
    2,818       4,932       5,999       9,708  
Debt Retirement Expenses
    2,189       50       23,938       50  
Other, Net
    (491 )     (989 )     (1,721 )     (2,289 )
 
                       
Other Expenses
    4,516       3,993       28,216       7,469  
 
                       
 
                               
Income from Continuing Operations before Income Taxes
    9,474       26,609       7,770       47,449  
 
                               
Income Taxes
    3,574       9,909       2,936       17,951  
 
                       
 
                               
Income from Continuing Operations
    5,900       16,700       4,834       29,498  
 
                               
Discontinued Operations, Net of Income Taxes
    (3 )     1,004       (49 )     (646 )
 
                               
 
                       
Net Income
  $ 5,897     $ 17,704     $ 4,785     $ 28,852  
 
                       
Basic earnings per common share:
                               
Income from continuing operations
  $ 0.10     $ 0.28     $ 0.08     $ 0.49  
Income from discontinued operations, net of tax
          0.01             (0.01 )
 
                       
Basic earnings per common share
  $ 0.10     $ 0.29     $ 0.08     $ 0.48  
 
                       
Earnings per common share — assuming dilution:
                               
Income from continuing operations
  $ 0.09     $ 0.27     $ 0.08     $ 0.47  
Income from discontinued operations, net of tax
          0.01             (0.01 )
 
                       
Earnings per common share — assuming dilution
  $ 0.09     $ 0.28     $ 0.08     $ 0.46  
 
                       
Weighted Average Shares Outstanding (2):
                               
Basic
    61,349,569       60,711,520       61,349,190       60,590,654  
Diluted
    62,645,171       62,786,662       62,858,400       62,644,890  
 
(1)   Restated reflecting International Operations of the Company as discontinued operations.
 
(2)   Gives effect to the two-for-one stock split to shareholders of record on February 6, 2007.

 


 

AMERICAN COMMERCIAL LINES INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands, except shares and per share amounts)
                 
    June 30,     December 31,  
    2007     2006 (1)  
    (Unaudited)          
ASSETS
               
Current Assets
               
Cash and Cash Equivalents
  $ 110     $ 5,113  
Accounts Receivable, Net
    101,086       102,228  
Inventory
    64,429       61,504  
Deferred Tax Asset
    18,992       2,355  
Assets Held for Sale
    325       406  
Other Current Assets
    27,829       25,579  
 
           
Total Current Assets
    212,771       197,185  
Properties-Net
    471,066       455,710  
Investment in Equity Investees
    3,963       3,527  
Other Assets
    18,849       14,581  
 
           
Total Assets
  $ 706,649     $ 671,003  
 
           
 
               
LIABILITIES
               
Current Liabilities
               
Accounts Payable
  $ 32,597     $ 53,607  
Bank Overdraft
    14,575        
Share Repurchase Settlement Payable
    56,445        
Accrued Payroll and Fringe Benefits
    15,665       28,267  
Deferred Revenue
    20,412       16,803  
Accrued Claims and Insurance Premiums
    17,562       15,754  
Accrued Interest
    836       4,466  
Customer Deposits
    8,587       9,145  
Other Liabilities
    28,543       24,892  
 
           
Total Current Liabilities
    195,222       152,934  
Long Term Debt
    231,100       119,500  
Pension Liability
    17,194       16,026  
Deferred Tax Liability
    21,481       14,014  
Other Long Term Liabilities
    9,621       9,876  
 
           
Total Liabilities
    474,618       312,350  
 
           
 
               
STOCKHOLDERS’ EQUITY
               
Common stock; authorized 250,000,000 shares at $.01 par value; 62,547,240 and 61,883,556 shares issued and outstanding as of June 30, 2007 and December 31, 2006, respectively
    626       619  
Treasury Stock; 5,973,588 and 172,320 shares at June 30, 2007 and December 31, 2006, respectively
    (151,280 )     (3,207 )
Other Capital
    276,068       259,409  
Retained Earnings
    108,850       104,065  
Accumulated Other Comprehensive Loss
    (2,233 )     (2,233 )
 
           
Total Stockholders’ Equity
    232,031       358,653  
 
           
Total Liabilities and Stockholders’ Equity
  $ 706,649     $ 671,003  
 
           
 
(1)   The Condensed Consolidated Balance Sheet at December 31, 2006 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 June 30,     Six Months Ended June 30,  
    2007     2006     2007     2006  
Net Income from Continuing Operations
  $ 5,900     $ 16,700     $ 4,834     $ 29,498  
Discontinued Operations, Net of Income Taxes
    (3 )     1,004       (49 )     (646 )
 
                       
Consolidated Net Income
  $ 5,897     $ 17,704     $ 4,785     $ 28,852  
 
                       
Adjustments from Continuing Operations:
                               
Interest Income
    (103 )     (6 )     (127 )     (20 )
Interest Expense
    2,818       4,932       5,999       9,708  
Debt Retirement Expenses
    2,189       50       23,938       50  
Depreciation and Amortization
    12,554       11,891       24,765       23,441  
Taxes
    3,574       9,909       2,936       17,951  
Adjustments from Discontinued Operations:
                               
Interest Income
    (32 )     (253 )     (86 )     (388 )
Depreciation and Amortization
          511             1,043  
Taxes
    (1 )     385       (29 )     (772 )
 
                               
EBITDA from Continuing Operations
    26,932       43,476       62,345       80,628  
EBITDA from Discontinued Operations
    (36 )     1,647       (164 )     (763 )
 
                       
Consolidated EBITDA
  $ 26,896     $ 45,123     $ 62,181     $ 79,865  
 
                       
 
                               
EBITDA from Continuing Operations by Segment:
                               
Transportation Net Income
  $ 1,981     $ 15,260     $ (1,379 )   $ 25,689  
Interest Income
    (103 )     (6 )     (127 )     (20 )
Interest Expense
    2,818       4,932       5,999       9,708  
Debt Retirement Expenses
    2,189       50       23,938       50  
Depreciation and Amortization
    11,922       11,431       23,553       22,542  
Taxes
    3,574       9,909       2,936       17,951  
 
                       
Transportation EBITDA
  $ 22,381     $ 41,576     $ 54,920     $ 75,920  
 
                       
 
                               
Manufacturing Net Income
  $ 4,821     $ 5,518     $ 7,267     $ 12,534  
Interest Income
                       
Interest Expense
                       
Depreciation and Amortization
    632       460       1,212       899  
Taxes
                       
 
                       
Total Manufacturing EBITDA
    5,453       5,978       8,479       13,433  
Intersegment Profit
    (902 )     (4,078 )     (1,054 )     (8,725 )
 
                       
External Manufacturing EBITDA
  $ 4,551     $ 1,900     $ 7,425     $ 4,708  
 
                       
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     Intersegment        
    Transportation     Manufacturing     Elimination     Total  
Quarter ended June 30, 2007
                               
Total revenue
  $ 186,057     $ 81,218     $ (6,061 )   $ 261,214  
Intersegment revenues
    188       5,873       (6,061 )      
 
                       
Revenue from external customers
    185,869       75,345             261,214  
Operating expense
                               
Materials, supplies and other
    67,932                   67,932  
Rent
    6,264                   6,264  
Labor and fringe benefits
    27,819                   27,819  
Fuel
    40,372                   40,372  
Depreciation and amortization
    11,922                   11,922  
Taxes, other than income taxes
    4,112                   4,112  
Loss on disposition of equipment
    41                   41  
Cost of goods sold
          70,355             70,355  
 
                       
Total cost of sales
    158,462       70,355             228,817  
Selling, general & administrative
    17,357       1,050             18,407  
 
                       
Total operating expenses
    175,819       71,405             247,224  
 
                       
Operating income
  $ 10,050     $ 3,940     $     $ 13,990  
 
                       
 
                               
Quarter ended June 30, 2006
                               
Total revenue
  $ 184,837     $ 48,142     $ (20,356 )   $ 212,623  
Intersegment revenues
    215       20,141       (20,356 )      
 
                       
Revenue from external customers
    184,622       28,001             212,623  
Operating expense
                               
Materials, supplies and other
    60,560                   60,560  
Rent
    5,288                   5,288  
Labor and fringe benefits
    21,694                   21,694  
Fuel
    38,511                   38,511  
Depreciation and amortization
    11,431                   11,431  
Taxes, other than income taxes
    4,173                   4,173  
Gain on disposition of equipment
    (13 )                 (13 )
Cost of goods sold
          25,114             25,114  
 
                       
Total cost of sales
    141,644       25,114             166,758  
Selling, general & administrative
    13,812       1,451             15,263  
 
                       
Total operating expenses
    155,456       26,565             182,021  
 
                       
Operating income
  $ 29,166     $ 1,436     $     $ 30,602  
 
                       

 


 

AMERICAN COMMERCIAL LINES INC.
Statement of Operating Income by Reportable Segment
(Dollars in thousands)
(Unaudited)
                                 
    Reportable Segments     Intersegment        
    Transportation     Manufacturing     Elimination     Total  
Six Months ended June 30, 2007
                               
Total revenue
  $ 362,307     $ 133,898     $ (6,747 )   $ 489,458  
Intersegment revenues
    309       6,438       (6,747 )      
 
                       
Revenue from external customers
    361,998       127,460             489,458  
Operating expense
                               
Materials, supplies and other
    129,715                   129,715  
Rent
    12,237                   12,237  
Labor and fringe benefits
    52,916                   52,916  
Fuel
    74,391                   74,391  
Depreciation and amortization
    23,553                   23,553  
Taxes, other than income taxes
    7,838                   7,838  
Gain on disposition of equipment
    (1,584 )                 (1,584 )
Cost of goods sold
          119,568             119,568  
 
                       
Total cost of sales
    299,066       119,568             418,634  
Selling, general & administrative
    32,891       1,947             34,838  
 
                       
Total operating expenses
    331,957       121,515             453,472  
 
                       
Operating income
  $ 30,041     $ 5,945     $     $ 35,986  
 
                       
 
                               
Six Months ended June 30, 2006
                               
Total revenue
  $ 356,715     $ 98,661     $ (45,278 )   $ 410,098  
Intersegment revenues
    346       44,932       (45,278 )      
 
                       
Revenue from external customers
    356,369       53,729             410,098  
Operating expense
                               
Materials, supplies and other
    116,174                   116,174  
Rent
    10,507                   10,507  
Labor and fringe benefits
    42,659                   42,659  
Fuel
    76,105                   76,105  
Depreciation and amortization
    22,542                   22,542  
Taxes, other than income taxes
    8,652                   8,652  
Loss on disposition of equipment
    45                   45  
Cost of goods sold
          47,154             47,154  
 
                       
Total cost of sales
    276,684       47,154             323,838  
Selling, general & administrative
    28,574       2,768             31,342  
 
                       
Total operating expenses
    305,258       49,922             355,180  
 
                       
Operating income
  $ 51,111     $ 3,807     $     $ 54,918  
 
                       

 


 

AMERICAN COMMERCIAL LINES INC.
SELECTED FINANCIAL AND NONFINANCIAL DATA
(Dollars in thousands except where noted)
(Unaudited)
                                 
    Quarter Ended June 30,     Six Months Ended June 30,  
    2007     2006     2007     2006  
Consolidated EBITDA
  $ 26,896     $ 45,123     $ 62,181     $ 79,865  
 
                               
Transportation Revenue and EBITDA
                               
 
                               
Revenue
  $ 185,869     $ 184,622     $ 361,998     $ 356,369  
EBITDA
    22,381       41,576       54,920       75,920  
 
                               
Manufacturing Revenue and EBITDA (External and Internal)
                               
Revenue
  $ 81,218     $ 48,142     $ 133,898     $ 98,661  
EBITDA
    5,453       5,978       8,479       13,433  
 
                               
Manufacturing External Revenue and EBITDA
                               
Revenue
  $ 75,345     $ 28,001     $ 127,460     $ 53,729  
EBITDA
    4,551       1,900       7,425       4,708  
 
                               
Average Domestic Barges Operated
                               
Dry
    2,485       2,802       2,543       2,809  
Liquid
    375       382       374       375  
 
                       
Total
    2,860       3,184       2,917       3,184  
 
                       
 
                               
Fuel Price (Average Dollars per gallon)
  $ 2.01     $ 2.02     $ 1.89     $ 1.93  
 
                               
Capital Expenditures (including software)
  $ 25,243     $ 22,392     $ 32,819     $ 47,326  
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.

 


 

AMERICAN COMMERCIAL LINES INC. OPERATING RESULTS by BUSINESS SEGMENT
Quarter Ended June 30, 2007 as compared with Quarter Ended June 30, 2006
(Dollars in thousands except where noted)
(Unaudited)
                                         
                            % of Consolidated
                            Revenue
    Quarter Ended June 30,           2nd Quarter
    2007   2006   Variance   2007   2006
               
REVENUE
                                       
Transportation
  $ 185,869     $ 184,622       1247.00       71.2 %     86.9 %
Manufacturing (external and internal)
    81,218       48,142       33076.00       31.1 %     22.6 %
Intersegment manufacturing elimination
    (5,873 )     (20,141 )     14268.00       (2.3 %)     (9.5 %)
               
Consolidated Revenue
    261,214       212,623       48591.00       100.0 %     100.0 %
 
                                       
OPERATING EXPENSE
                                       
Transportation
    175,819       155,456       20363.00                  
Manufacturing (external and internal)
    76,376       42,628       33748.00                  
Intersegment manufacturing elimination
    (4,971 )     (16,063 )     11092.00                  
               
Consolidated Operating Expense
    247,224       182,021       65203.00       94.6 %     85.6 %
 
                                       
OPERATING INCOME
                                       
Transportation
    10,050       29,166       (19116.00 )                
Manufacturing (external and internal)
    4,842       5,514       (672.00 )                
Intersegment manufacturing elimination
    (902 )     (4,078 )     3176.00                  
               
Consolidated Operating Income
    13,990       30,602       (16612.00 )     5.4 %     14.4 %
 
                                       
Interest Expense
    2,818       4,932       (2114.00 )                
Debt Retirement Expenses
    2,189       50       2139.00                  
Other Expense (Income)
    (491 )     (989 )     498.00                  
                         
Income Before Income Taxes
    9,474       26,609       (17135.00 )                
 
                                       
Income Taxes
    3,574       9,909       (6335.00 )                
Discontinued Operations
    (3 )     1,004       (1007.00 )                
 
                                       
                         
Net Income
  $ 5,897     $ 17,704       (11807.00 )                
                         
 
                                       
Domestic Barges Operated (average of period beginning and end)
    2,860       3,184       (324.00 )                
 
                                       
Revenue per Barge Operated (Actual)
  $ 65,001     $ 57,993       7008.00                  

 


 

AMERICAN COMMERCIAL LINES INC. OPERATING RESULTS by BUSINESS SEGMENT
Six Months Ended June 30, 2007 as compared with Six Months Ended June 30, 2006
(Dollars in thousands except where noted)
(Unaudited)
                                         
                            % of Consolidated
                            Revenue
    Six Months Ended June 30,           Six Months
    2007   2006   Variance   2007   2006
               
REVENUE
                                       
Transportation
  $ 361,998     $ 356,369       5629.00       74.0 %     86.9 %
Manufacturing (external and internal)
    133,898       98,661       35237.00       27.4 %     24.1 %
Intersegment manufacturing elimination
    (6,438 )     (44,932 )     38494.00       (1.3 %)     (11.0 %)
               
Consolidated Revenue
    489,458       410,098       79360.00       100.0 %     100.0 %
 
                                       
OPERATING EXPENSE
                                       
Transportation
    331,957       305,258       26699.00                  
Manufacturing (external and internal)
    126,899       86,129       40770.00                  
Intersegment manufacturing elimination
    (5,384 )     (36,207 )     30823.00                  
               
Consolidated Operating Expense
    453,472       355,180       98292.00       92.7 %     86.6 %
 
                                       
OPERATING INCOME
                                       
Transportation
    30,041       51,111       (21070.00 )                
Manufacturing (external and internal)
    6,999       12,532       (5533.00 )                
Intersegment manufacturing elimination
    (1,054 )     (8,725 )     7671.00                  
               
Consolidated Operating Income
    35,986       54,918       (18932.00 )     7.4 %     13.4 %
 
                                       
Interest Expense
    5,999       9,708       (3709.00 )                
Debt Retirement Expenses
    23,938       50       23888.00                  
Other Expense (Income)
    (1,721 )     (2,289 )     568.00                  
                         
Income before Income Taxes
    7,770       47,449       (39679.00 )                
 
                                       
Income Taxes
    2,936       17,951       (15015.00 )                
Discontinued Operations
    (49 )     (646 )     597.00                  
 
                                       
                         
Net Income
  $ 4,785     $ 28,852       (24067.00 )                
                         
 
                                       
Domestic Barges Operated (average of period beginning and end)
    2,917       3,184       (267.00 )                
 
                                       
Revenue per Barge Operated (Actual)
  $ 124,121     $ 111,943       12178.00