Delaware
|
36-2989662
|
|
(State or other jurisdiction of
|
(I.R.S. Employer Identification Number)
|
|
incorporation or organization)
|
11 North Water Street, Suite 18290
|
Mobile, Alabama
|
36602
|
(Address of principal executive offices)
|
(Zip Code)
|
(251) 243-9100
|
(Registrant’s telephone number, including area code)
|
(d)
|
Exhibit
|
|
99.1
|
Press Release dated October 25, 2012
|
·
|
Reported adjusted net income of $2.9 million for the three months ended September 30, 2012, excluding a non-cash foreign currency exchange loss of $1.1 million.
|
·
|
Declared a third quarter dividend of $0.25 per share payable on December 3, 2012 to stockholders of record as of November 16, 2012.
|
·
|
Acquired a railroad car repair facility in Mobile, Alabama for approximately $4.5 million in cash.
|
·
|
As previously announced, entered into a definitive agreement to acquire U.S. United Ocean Services, LLC for approximately $111 million cash with the closing expected to occur in the fourth quarter of 2012, subject to the satisfaction of closing conditions.
|
·
|
As previously announced, acquired a 1999-built Pure Car Truck Carrier (“PCTC”) in a transaction valued at $27.5 million to be reflagged under the U.S. Flag and deployed on a long-term time charter with a strong, creditworthy counterparty.
|
U.S. Flag
Time
Charter
|
International Flag
Time Charter
|
COA
|
Rail Ferry
Service
|
Other
|
Totals
|
|||||||||||||||||||
(all amounts in millions)
|
||||||||||||||||||||||||
Third Quarter 2012
|
||||||||||||||||||||||||
Gross Voyage Profit
|
$ | 9.124 | $ | 4.179 | $ | 1.278 | $ | .896 | $ | .291 | $ | 15.768 | ||||||||||||
Depreciation
|
(2.301 | ) | (2.789 | ) | (.304 | ) | (.715 | ) | -- | (6.109 | ) | |||||||||||||
Gross Profit
|
$ | 6.823 | $ | 1.390 | $ | .974 | $ | .181 | $ | .291 | $ | 9.659 | ||||||||||||
(After Depreciation)
|
||||||||||||||||||||||||
Third Quarter 2011
|
||||||||||||||||||||||||
Gross Voyage Profit
|
$ | 10.835 | $ | 7.437 | $ | .081 | $ | 1.436 | $ | .387 | $ | 20.176 | ||||||||||||
Depreciation
|
(2.707 | ) | (3.151 | ) | -- | (.915 | ) | (.002 | ) | (6.775 | ) | |||||||||||||
Gross Profit
|
$ | 8.128 | $ | 4.286 | $ | .081 | $ | .521 | $ | .385 | $ | 13.401 | ||||||||||||
(After Depreciation)
|
||||||||||||||||||||||||
INTERNATIONAL SHIPHOLDING CORPORATION
|
||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
|
||||||||||||||||
(All Amounts in Thousands Except Share Data)
|
||||||||||||||||
(Unaudited)
|
||||||||||||||||
Three Months Ended September 30,
|
Nine Months ended September 30,
|
|||||||||||||||
2012
|
2011
|
2012
|
2011
|
|||||||||||||
Revenues
|
$ | 61,162 | $ | 67,087 | $ | 186,686 | $ | 201,382 | ||||||||
Operating Expenses:
|
||||||||||||||||
Voyage Expenses
|
45,394 | 46,911 | 143,246 | 147,715 | ||||||||||||
Vessel Depreciation
|
6,100 | 6,775 | 18,180 | 18,244 | ||||||||||||
Other Depreciation
|
9 | - | 9 | - | ||||||||||||
Administrative and General Expenses
|
5,643 | 4,769 | 15,871 | 16,053 | ||||||||||||
Gain on Dry Bulk Transaction
|
- | - | - | (18,844 | ) | |||||||||||
(Gain) Loss on Sale/Purchase of Other Assets
|
3 | - | (4,463 | ) | - | |||||||||||
Total Operating Expenses
|
57,149 | 58,455 | 172,843 | 163,168 | ||||||||||||
Operating Income
|
4,013 | 8,632 | 13,843 | 38,214 | ||||||||||||
Interest and Other:
|
||||||||||||||||
Interest Expense
|
2,144 | 2,850 | 7,152 | 7,470 | ||||||||||||
Derivative Loss
|
129 | 124 | 97 | 109 | ||||||||||||
Gain on Sale of Investment
|
- | (67 | ) | (66 | ) | (181 | ) | |||||||||
Other Income from Vessel Financing
|
(588 | ) | (654 | ) | (1,815 | ) | (2,014 | ) | ||||||||
Investment Income
|
(117 | ) | (137 | ) | (391 | ) | (522 | ) | ||||||||
Foreign Exchange Loss (Gain)
|
1,143 | 2,664 | (771 | ) | 3,075 | |||||||||||
2,711 | 4,780 | 4,206 | 7,937 | |||||||||||||
Income Before Provision for Income Taxes and
|
||||||||||||||||
Equity in Net (Loss) Income of Unconsolidated Entities
|
1,302 | 3,852 | 9,637 | 30,277 | ||||||||||||
(Benefit) Provision for Income Taxes:
|
||||||||||||||||
Current
|
4 | 150 | 280 | 531 | ||||||||||||
Deferred
|
(400 | ) | - | (400 | ) | - | ||||||||||
(396 | ) | 150 | (120 | ) | 531 | |||||||||||
Equity in Net Income of Unconsolidated
|
||||||||||||||||
Entities (Net of Applicable Taxes)
|
84 | (852 | ) | 665 | 22 | |||||||||||
Net Income
|
$ | 1,782 | $ | 2,850 | $ | 10,422 | $ | 29,768 | ||||||||
Basic and Diluted Earnings Per Common Share:
|
||||||||||||||||
Continuing Operations
|
$ | 0.25 | $ | 0.40 | $ | 1.45 | $ | 4.18 | ||||||||
Discontinued Operations
|
- | - | - | - | ||||||||||||
Basic Earnings Per Common Share:
|
$ | 0.25 | $ | 0.40 | $ | 1.45 | $ | 4.18 | ||||||||
Continuing Operations
|
$ | 0.25 | $ | 0.40 | $ | 1.45 | $ | 4.15 | ||||||||
Discontinued Operations
|
- | - | - | - | ||||||||||||
Diluted Earnings Per Common Share:
|
$ | 0.25 | $ | 0.40 | $ | 1.45 | $ | 4.15 | ||||||||
Weighted Average Shares of Common Stock Outstanding:
|
||||||||||||||||
Basic
|
7,203,860 | 7,140,752 | 7,192,818 | 7,128,810 | ||||||||||||
Diluted
|
7,220,901 | 7,190,082 | 7,208,886 | 7,165,298 | ||||||||||||
Dividends Per Share
|
$ | 0.250 | $ | 0.375 | $ | 0.750 | $ | 1.125 |
INTERNATIONAL SHIPHOLDING CORPORATION
|
||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS
|
||||||||
(All Amounts in Thousands)
|
||||||||
(Unaudited)
|
||||||||
September 30,
|
December 31,
|
|||||||
ASSETS
|
2012
|
2011
|
||||||
|
||||||||
Cash and Cash Equivalents
|
$ | 12,714 | $ | 21,437 | ||||
Restricted Cash
|
- | 8,907 | ||||||
Marketable Securities
|
13,382 | 12,827 | ||||||
Accounts Receivable, Net of Allowance for Doubtful Accounts
|
||||||||
of $100 and $100 in 2012 and 2011:
|
19,511 | 20,553 | ||||||
Federal Income Taxes Receivable
|
- | 242 | ||||||
Net Investment in Direct Financing Leases
|
3,423 | 6,278 | ||||||
Other Current Assets
|
6,144 | 4,411 | ||||||
Notes Receivable
|
4,433 | 4,450 | ||||||
Material and Supplies Inventory
|
5,312 | 5,034 | ||||||
Total Current Assets
|
64,919 | 84,139 | ||||||
Investment in Unconsolidated Entities
|
13,524 | 12,800 | ||||||
Net Investment in Direct Financing Leases
|
14,391 | 43,837 | ||||||
Vessels, Property, and Other Equipment, at Cost:
|
||||||||
Vessels
|
561,207 | 581,705 | ||||||
Building
|
1,211 | - | ||||||
Land
|
623 | - | ||||||
Leasehold Improvements
|
26,348 | 26,128 | ||||||
Construction in Progress
|
602 | 20,729 | ||||||
Furniture and Equipment
|
11,053 | 9,372 | ||||||
601,044 | 637,934 | |||||||
Less - Accumulated Depreciation
|
(185,907 | ) | (171,820 | ) | ||||
415,137 | 466,114 | |||||||
Other Assets:
|
||||||||
Deferred Charges, Net of Accumulated Amortization
|
18,278 | 15,983 | ||||||
Intangible Assets, Net
|
2,050 | 3,219 | ||||||
Due from Related Parties
|
1,735 | 1,571 | ||||||
Notes Receivable
|
34,458 | 37,714 | ||||||
Other
|
5,761 | 202 | ||||||
62,282 | 58,689 | |||||||
TOTAL ASSETS
|
$ | 570,253 | $ | 665,579 | ||||
INTERNATIONAL SHIPHOLDING CORPORATION
|
||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS
|
||||||||
(All Amounts in Thousands)
|
||||||||
(Unaudited)
|
||||||||
September 30,
|
December 31,
|
|||||||
|
2012
|
2011
|
||||||
LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
|
||||||
Current Liabilities:
|
||||||||
Current Maturities of Long-Term Debt
|
$ | 27,951 | $ | 36,079 | ||||
Accounts Payable and Accrued Liabilities
|
34,620 | 30,498 | ||||||
Total Current Liabilities
|
62,571 | 66,577 | ||||||
Long-Term Debt, Less Current Maturities
|
185,660 | 286,014 | ||||||
Other Long-Term Liabilities:
|
||||||||
Deferred Income Taxes
|
- | - | ||||||
Lease Incentive Obligation
|
6,338 | 6,640 | ||||||
Other
|
62,073 | 57,153 | ||||||
TOTAL LIABILITIES
|
316,642 | 416,384 | ||||||
Stockholders' Equity:
|
||||||||
Common Stock, $1.00 par value, 20,000,000 shares authorized and
|
8,617 | 8,606 | ||||||
7,203,860 And 7,140,752 Shares Issued and Outstanding at
|
||||||||
September 30, 2012 and December 31, 2011, Respectively
|
||||||||
Additional Paid-In Capital
|
86,041 | 85,830 | ||||||
Retained Earnings
|
207,919 | 204,109 | ||||||
Treasury Stock, 1,388,066 shares at September 30, 2012 and
|
(25,403 | ) | (25,403 | ) | ||||
December 31, 2011, respectively
|
||||||||
Defined Benefits Plan
|
||||||||
Accumulated Other Comprehensive (Loss)
|
(23,563 | ) | (23,947 | ) | ||||
TOTAL STOCKHOLDERS' EQUITY
|
253,611 | 249,195 | ||||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
|
$ | 570,253 | $ | 665,579 | ||||
INTERNATIONAL SHIPHOLDING CORPORATION
|
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
|
||||||||
(All Amounts in Thousands)
|
||||||||
(Unaudited)
|
||||||||
|
Nine Months Ended September 30,
|
|||||||
2012
|
2011
|
|||||||
Cash Flows from Operating Activities:
|
||||||||
Net Income
|
$ | 10,422 | $ | 29,768 | ||||
Adjustments to Reconcile Net Income to Net Cash Provided by
|
||||||||
Operating Activities:
|
||||||||
Depreciation
|
18,394 | 18,988 | ||||||
Amortization of Deferred Charges and Other Assets
|
8,312 | 6,438 | ||||||
Deferred Tax Liability
|
(400 | ) | - | |||||
Gain on Dry Bulk Transaction
|
- | (18,844 | ) | |||||
Non-Cash Stock Based Compensation
|
881 | 1,404 | ||||||
Equity in Net Income of Unconsolidated Entities
|
(665 | ) | (22 | ) | ||||
Distributions from Unconsolidated Entities
|
- | 750 | ||||||
Gain on Purchase / Sale of Assets
|
(4,463 | ) | - | |||||
Gain on Sale of Investments
|
(66 | ) | (181 | ) | ||||
Gain (Loss) on Foreign Currency Exchange
|
(771 | ) | 3,075 | |||||
Changes in:
|
||||||||
Deferred Drydocking Charges
|
(8,021 | ) | (5,370 | ) | ||||
Accounts Receivable
|
1,057 | (2,570 | ) | |||||
Inventories and Other Current Assets
|
(3,168 | ) | (1,129 | ) | ||||
Other Assets
|
61 | 25 | ||||||
Accounts Payable and Accrued Liabilities
|
(5,076 | ) | (2,190 | ) | ||||
Other Long-Term Liabilities
|
(3,148 | ) | (174 | ) | ||||
Net Cash (Used In) Provided by Operating Activities
|
13,349 | 29,968 | ||||||
Cash Flows from Investing Activities:
|
||||||||
Principal payments received under Direct Financing Leases
|
3,064 | 4,132 | ||||||
Acquisition of Frascati Shops Inc and Tower, LLC
|
(620 | ) | - | |||||
Capital Improvements to Vessels and Other Assets
|
(45,992 | ) | (82,199 | ) | ||||
Proceeds from Sale of Assets
|
130,315 | - | ||||||
Proceeds from Sale of Marketable Securities
|
207 | 2,444 | ||||||
Investment in Unconsolidated Entities
|
(1,000 | ) | (2,046 | ) | ||||
Acquisition of Unconsolidated Entity
|
- | 7,092 | ||||||
Net Decrease/(Increase) in Restricted Cash Account
|
6,907 | (6,175 | ) | |||||
Proceeds from Note Receivables
|
3,610 | 3,101 | ||||||
Net Cash Provided by Investing Activities
|
96,491 | (73,651 | ) | |||||
Cash Flows from Financing Activities:
|
||||||||
Proceeds from Issuance of Debt
|
51,175 | 103,979 | ||||||
Repayment of Debt
|
(162,375 | ) | (57,748 | ) | ||||
Additions to Deferred Financing Charges
|
(751 | ) | (1,757 | ) | ||||
Common Stock Dividends Paid
|
(6,612 | ) | (8,303 | ) | ||||
Net Cash (Used In) Provided by Financing Activities
|
(118,563 | ) | 36,171 | |||||
Net (Decrease) / Increase in Cash and Cash Equivalents
|
(8,723 | ) | (7,512 | ) | ||||
Cash and Cash Equivalents at Beginning of Period
|
21,437 | 24,158 | ||||||
Cash and Cash Equivalents at End of Period
|
$ | 12,714 | $ | 16,646 |
NON-GAAP RECONCILIATION
|
|||||||||||||||||||||||||
(By segment)
|
|||||||||||||||||||||||||
U.S. Flag Time Charter
|
International Flag Time Charter
|
COA
|
Rail Ferry Service
|
Other
|
Totals
|
||||||||||||||||||||
(all amounts in millions)
|
|||||||||||||||||||||||||
Third Quarter 2012
|
|||||||||||||||||||||||||
Gross Profit
|
|||||||||||||||||||||||||
(After Depreciation)
|
$
|
6.823
|
$
|
1.390
|
$
|
0.974
|
$
|
0.181
|
$
|
0.291
|
$
|
9.659
|
|||||||||||||
Allocated Overhead
|
$
|
(1.882)
|
$
|
(2.635)
|
$
|
(0.188)
|
$
|
(0.376)
|
$
|
(0.565)
|
$
|
(5.646)
|
|||||||||||||
Operating Income
|
$
|
4.941
|
$
|
(1.245)
|
$
|
0.786
|
$
|
(0.195)
|
$
|
(0.274)
|
$
|
4.013
|
|||||||||||||
U.S. Flag Time Charter
|
International Flag Time Charter
|
COA
|
Rail Ferry Service
|
Other
|
Totals
|
||||||||||||||||||||
(all amounts in millions)
|
|||||||||||||||||||||||||
Third Quarter 2011
|
|||||||||||||||||||||||||
Gross Profit
|
|||||||||||||||||||||||||
(After Depreciation)
|
$
|
8.128
|
$
|
4.286
|
$
|
0.081
|
$
|
0.521
|
$
|
0.385
|
$
|
13.401
|
|||||||||||||
Allocated Overhead
|
$
|
(1.590)
|
$
|
(2.226)
|
$
|
(0.159)
|
$
|
(0.318)
|
$
|
(0.477)
|
$
|
(4.769)
|
|||||||||||||
Operating Income
|
$
|
6.538
|
$
|
2.060
|
$
|
(0.078)
|
$
|
0.203
|
$
|
(0.092)
|
$
|
8.632
|
|||||||||||||