EX-99.1 CHARTER 2 exhibit_99-1.htm exhibit_99-1.htm


Exhibit 99.1
FOR IMMEDIATE RELEASE
Rick Abshire  (713) 881-3609

ADAMS RESOURCES ANNOUNCES SECOND QUARTER EARNINGS

Houston (August 13, 2007)--Adams Resources & Energy, Inc. (AMEX-AE) announced second quarter 2007 unaudited net earnings of $11,286,000 or $2.67 per common share.  Revenues for the quarter totaled $569,748,000. Current earnings compare to unaudited second quarter 2006 net earnings of $4,038,000 or $.96 per common share.  For the six months ended June 30, 2007, net earnings were $12,198,000 or $2.89 per common share.

Chairman and Chief Executive Officer, K.S. "Bud" Adams, Jr., attributed the earnings improvement to a $7.2 million after tax gain from the sale of certain producing oil and gas properties.  Mr. Adams noted that the Company’s marketing and transportation segments also turned in improved results for the current period.

A summary of operating results is as follows:

   
Second Quarter
 
   
2007
   
2006
 
             
Operating Earnings (Expense)
           
Marketing
  $
5,216,000
    $
3,706,000
 
Transportation
   
2,433,000
     
1,974,000
 
Oil and gas
   
12,528,000
     
2,140,000
 
General & administrative expenses
    (2,582,000 )     (2,004,000 )
     
17,595,000
     
5,816,000
 
Interest, net
   
424,000
     
120,000
 
Income tax provision
    (6,733,000 )     (1,898,000 )
                 
Net earnings
  $
11,286,000
    $
4,038,000
 

……………………………………………….


The information in this release includes certain forward-looking statements that are based on assumptions that in the future may prove not to have been accurate.  A number of factors could cause actual results or events to differ materially from those anticipated. Such factors include, among others, (a) general economic conditions, (b) fluctuations in hydrocarbon prices and margins, (c) variations between crude oil and natural gas contract volumes and actual delivery volumes, (d) unanticipated environmental liabilities or regulatory changes, (e) counterparty credit default, (f) inability to obtain bank and/or trade credit support, (g) availability and cost of insurance, (h) changes in tax laws, (i) the availability of capital, (j) changes in regulations, (k) results of current items of litigation, (l) uninsured items of litigation or losses, (m) uncertainty in reserve estimates and cash flows, (n) ability to replace oil and gas reserves, (o) security issues related to drivers and terminal facilities, (p) commodity price volatility, (q) demand for chemical based trucking services, and (r) successful completion of drilling activity.  These and other risks are described in the Company’s reports that are on file with the Securities and Exchange Commission.

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
 
(In thousands, except per share data)
 
   
   
Six Months Ended
   
Three Months Ended
 
   
June 30,
   
June 30,
 
   
2007
   
2006
   
2007
   
2006
 
                         
Revenues
  $
1,056,114
    $
1,083,028
    $
569,748
    $
595,000
 
                                 
Costs, expenses and other
    (1,036,932 )     (1,071,538 )     (551,729 )     (589,064 )
Income tax provision
    (6,984 )     (3,808 )     (6,733 )     (1,898 )
                                 
Net earnings
  $
12,198
    $
7,682
    $
11,286
    $
4,038
 
                                 
Earnings per share
                               
Basic and diluted net earnings per
                               
common share
  $
2.89
    $
1.82
    $
2.67
    $
.96
 
                                 
Dividends per common share
  $
-
    $
-
    $
-
    $
-
 



UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET
 
(In thousands)
 
   
June 30,
   
December 31,
 
   
2007
   
2006
 
             
ASSETS
           
Cash
  $
21,811
    $
20,668
 
Other current assets
   
233,047
     
221,122
 
Total current assets
   
254,858
     
241,790
 
                 
Net property & equipment
   
42,123
     
43,316
 
Other assets
   
5,965
     
4,181
 
    $
302,946
    $
289,287
 
                 
LIABILITIES AND EQUITY
               
Total current liabilities
  $
209,099
    $
206,582
 
Long-term debt
   
-
     
3,000
 
Deferred taxes and other
   
7,281
     
5,337
 
Shareholders’ equity
   
86,566
     
74,368
 
    $
302,946
    $
289,287