EX-99.1 2 ish-20150429ex99146a39a.htm EX-99.1 Earnings Release

W:\CLIENTS\ISH\Client Files\Images & Logos\ISH Rebranding\ISH_Corporate_Identity_Version_2_RGB_0.1 Transparent Bkgrnd No Text.tif

 

INTERNATIONAL SHIPHOLDING CORPORATION REPORTS FIRST QUARTER 2015 RESULTS 

 

Declares first quarter dividend of $0.05 per share on its Common Stock

 

Mobile, Alabama, April 29, 2015 – International Shipholding Corporation (NYSE: ISH) today announced financial results for the quarter ended March 31, 2015.

 

First Quarter 2015 Highlights

·

Declared a first quarter dividend of $0.05 per share of Common Stock payable on June 3, 2015 to shareholders of record as of May 15, 2015

 

·

Will pay a $2.375 per share and $2.25 per share dividend on its Series A and Series B Preferred Stock, respectively, on April 30, 2015

 

·

Completed the sale of one Handysize vessel

 

Net Loss

The Company reported a net loss of $4.5 million for the three months ended March 31, 2015, which included a $2.8 million derivative loss associated with the refinancing to USD of the outstanding Yen based Facility.  Excluding the derivative loss, the loss of $1.7 million for the first quarter of 2015 compares to a $3.2 million loss for the first quarter ending March 31, 2014.

Mr. Niels M. Johnsen, Chairman and Chief Executive Officer, stated, “Despite difficult market conditions in our dry bulk segment, we continue to benefit from our strategic flexibility across niche markets, our strong relationships with high-quality counterparties, and our focus on medium to long-term contracts. While our diversified strategy insulates us from much of the volatility in individual market segments, our results in the first quarter were affected by the continuing weakness in the international dry bulk market. Adapting to emerging dynamics across maritime markets is a central component of our strategy, and we are exploring a number of opportunities to strengthen our financial results and position the Company for long-term success.”

 

Gross Voyage Profit

The Company’s gross voyage profit, representing the results of its six reporting segments, was $11.5 million, for the first quarter of 2015,  compared to $10 million in the 2014 three month period.  The comparable results by operating segment are shown below. 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(All Amounts in Millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Jones Act

 

Pure Car Truck Carriers

 

Dry Bulk

 

Rail-Ferry

 

Specialty Contracts

 

Other

 

Total

First Quarter, 2015

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Voyage Profit

 

$
2.2 

 

$
4.1 

 

$
1.1 

 

$
0.5 

 

$
3.2 

 

$
0.4 

 

$
11.5 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation

 

 
(1.7)

 

 
(2.2)

 

 
(0.9)

 

 
(0.4)

 

 
(0.4)

 

 
(0.1)

 

 
(5.7)

Gross Profit (After Depreciation)

 

$
0.5 

 

$
1.9 

 

$
0.2 

 

$
0.1 

 

$
2.8 

 

$
0.3 

 

$
5.8 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EBITDA

 

$
5.1 

 

$
3.0 

 

$
0.7 

 

$
0.6 

 

$
2.5 

 

$
0.2 

 

$
12.1 

Number of non-operating days

 

 
71 

 

 
20 

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 
91 

Number of operating days

 

 
559 

 

 
610 

 

 
1,864 

 

 
180 

 

 
1,440 

 

 

 -

 

 
4,653 

Number of Vessels

 

 
7 

 

 
7 

 

 
21 

 

 
2 

 

 
16 

 

 

 -

 

 
53 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Quarter, 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Voyage Profit

 

$
4.2 

 

$
2.4 

 

$
1.4 

 

$
0.9 

 

$
0.8 

 

$
0.3 

 

$
10.0 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation

 

 
(2.0)

 

 
(2.2)

 

 
(1.6)

 

 
(0.5)

 

 
(0.5)

 

 
(0.1)

 

 
(6.9)

Gross Profit (After Depreciation)

 

$
2.2 

 

$
0.2 

 

$
(0.2)

 

$
0.4 

 

$
0.3 

 

$
0.2 

 

$
3.1 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EBITDA

 

$
5.6 

 

$
1.6 

 

$
0.7 

 

$
0.6 

 

$
1.1 

 

$
1.0 

 

$
10.6 

Number of non-operating days

 

 
58 

 

 
5 

 

 
1 

 

 

 -

 

 

 -

 

 

 -

 

 
64 

Number of operating days

 

 
572 

 

 
625 

 

 
1,889 

 

 
180 

 

 
990 

 

 

 -

 

 
4,256 

Number of Vessels

 

 
7 

 

 
7 

 

 
21 

 

 
2 

 

 
11 

 

 

 -

 

 
48 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Variance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Voyage Profit

 

$
(2.0)

 

$
1.7 

 

$
(0.3)

 

$
(0.4)

 

$
2.4 

 

$
0.1 

 

$
1.5 

Depreciation

 

 
0.3 

 

 

 -

 

 
0.7 

 

 
0.1 

 

 
0.1 

 

 

 -

 

 
1.2 

Gross Profit (Loss)

 

$
(1.7)

 

$
1.7 

 

$
0.4 

 

$
(0.3)

 

$
2.5 

 

$
0.1 

 

$
2.7 

 

For a reconciliation of the gross voyage numbers presented above to GAAP figures, please see the attached Non-GAAP Reconciliation Statement.

 

The Jones Act’s gross voyage profit dropped year-over-year primarily due to an increase in non-operating days in its United Ocean Services (“UOS”) fleet.  One of the UOS Bulk Carriers experienced bottom contact damage while servicing a major customer.  While the Company’s insurance coverage offsets some of its voyage margins, and the vessel has since been successfully repaired, segment results were negatively impacted by deductibles and lost opportunity.  Gross voyage profit on the Pure Car Truck Carriers (“PCTC”) segment improved due to higher supplemental cargo volumes. In recent months, demand levels in this segment have trended back toward their historical levels, averaging $6-8 million of gross voyage profit annually. The Dry Bulk segment reported slightly lower gross voyage profit, driven primarily by lower rates on its two remaining Handysize vessels, partially offset by improved results from the Company’s equity position in a fleet of mini-bulkers. The Rail Ferry also reported slightly lower year-over-year gross voyage profit, as volume on its northbound cargoes was weaker than expected though improved on fourth quarter 2014 levels.  The Specialty segment reported higher results, primarily from its minority investments entered into in the latter part of 2014 in ventures owning chemical and asphalt tankers, as well as the final settlement with the US government on the early redelivery of its ice-strengthened vessel, which occurred in September of 2012. The settlement

 

contributed approximately $1.4 million to the segment’s first quarter 2015 results.  The Company’s Other segment reported similar results year-over-year.

 

Administrative and General (“A&G”)

A&G expenses in the first quarter of 2015 were approximately $400,000 lower when compared to the 2014 first quarter.  Amortization expense of Executive Stock Compensation was lower due primarily to the Company’s lower stock value and forfeiture of prior year stock units whose performance level triggers were not met.

 

Interest and Other

The higher interest expense reported in the first quarter of 2015 is due primarily to financing on one of the Company’s U.S. Flag PCTCs, which was purchased from its Lessor in the third quarter of 2014.  The derivative loss of $2.8 million was the product of unwinding a variable-to-fixed interest rate swap on its Yen loan facility.  The Yen was refinanced into a fixed U.S. dollar loan on April 24, 2015.  The $2.8 million loss was previously classified in the Company’s Other Accumulated Comprehensive Income of its Stockholders Equity and as such the unwinding of the interest rate swap had no negative impact to the Company’s Net Worth.

 

Taxes

The Company reported a tax provision of $39,000 in the 2015 first quarter, compared to a benefit of $882,000 in the comparable 2014 period.  The Company recorded valuation allowances on its deferred tax assets in the 2014 fourth quarter and has assessed and determined that a valuation allowance is still appropriate.  

 

Balance Sheet

The Company’s working capital at March 31, 2015 was $6.4 million, a decrease of $3.0 million from December 31, 2014.  Capital expenditures and common and preferred stock dividends were partially offset by operating cash flow generated in the first quarter.  Cash and cash equivalents were approximately $21.4 million with an available capacity under our Line  of Credit of approximately $1.4 million. 

 

Dividend Declarations

On April 2, 2015,  the Company’s Board of Directors approved per-share dividend payments payable on April 30, 2015,  of $2.375 and $2.25 on its Series A and Series B Preferred Stock, respectively, representing regular quarterly payments.  Additionally, the Board of Directors declared a $0.05 dividend payable on June  3, 2015 for each share of common stock owned on the record date of May 15, 2015.  All future dividend declarations remain subject to the discretion of International Shipholding Corporation’s Board of Directors.

 

Outlook

The Company has provided 2015 EBITDA guidance in the range of $55 to $63 million, and 2015 cash outlay on capital expenditures, including dry dock costs, but excluding its investment in its office building in New Orleans, LA, in the range of $35 - $40 million. The Company has eight (8) vessels scheduled to undergo regularly scheduled drydockings in 2015, including three (3) vessels in its Jones Act fleet.  The Company’s Board of Directors has set a $0.05 common stock dividend target for the second quarter of 2015 and remains committed to an ongoing dividend policy.  All dividend declarations remain subject to the discretion and approval of International Shipholding Corporation’s Board of Directors on a quarterly basis.

 

Conference Call

In connection with this earnings release, management will host an earnings conference call on Thursday, April 30, 2015, at 10:00 AM ET. To participate in the conference call, please dial (888) 587-0615 (domestic) or (719) 325-2323  (international). Participants can reference the International Shipholding Corporation First Quarter 2015 Earnings Call or passcode 7072183.  Please dial in approximately 5 minutes prior to the call.

 

 

The conference call will also be available via a live listen-only webcast and can be accessed through the Investor Relations section of the Company’s website, www.intship.com.  Please allow extra time prior to the call to visit the Company’s website and download any software that may be needed to listen to the webcast.

 

A replay of the conference call will be available through May 7, 2015 at (877) 870-5176 (domestic) or (858) 384-5517 (international).  The passcode for the replay is 7072183.         

 

About International Shipholding

International Shipholding Corporation, through its subsidiaries, operates a diversified fleet of U.S. and International flag vessels that provide worldwide and domestic maritime transportation services to commercial and governmental customers primarily under medium to long-term charters and contracts. www.intship.com

 

Caution concerning forward-looking statements

Except for historical and factual information, the matters set forth in this release and future oral or written statements made by us or our management, including statements regarding our 2015 guidance, and other statements identified by words such as “estimates,” “expects,” “anticipates,” “plans,” and similar expressions, are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current expectations only, and are subject to a number of assumptions, risks and uncertainties, many of which are beyond our control.  Actual events and results may differ materially from those anticipated, estimated, projected, expressed or implied by us if one or more of these risks or uncertainties materialize, or if our underlying assumptions prove incorrect. Factors that could affect actual results include, but are not limited to: our ability to maximize the usage of our vessels and other assets on favorable economic terms, including our ability to renew our time charters and contracts on favorable terms when they expire, to maximize our carriage of supplemental cargoes; and to improve the return on our dry bulk fleet if and when market conditions improve; our ability to effectively handle our leverage by servicing and complying with each of our debt instruments; changes in domestic or international transportation markets that reduce the demand for shipping generally or for our vessels in particular, including changes in the rates at which competitors add or scrap vessels; industry-wide changes in cargo freight rates, charter rates, vessel design, vessel utilization or vessel valuations, or in charter hire, fuel or other operating expenses; unexpected out-of-service days affecting our vessels, whether due to drydocking delays, unplanned maintenance, accidents, equipment failures, adverse weather, natural disasters, piracy or other causes; our ability to access the credit markets or sell assets on terms reasonable to us or at all, including our ability to sell our vessels held for sale; political events in the United States and abroad; the appropriation of funds by the U.S. Congress, including the impact of any future cuts to federal spending similar to the U.S. Congress’ recent “sequestration” cuts; terrorism, piracy, quarantines and trade restrictions; changes in foreign currency rates or interest rates; the effects of more general factors, such as changes in tax laws or rates in pension or benefits costs, or in general market, labor or economic conditions; and each of the other economic, competitive, governmental, and technological factors detailed in our reports filed with the Securities and Exchange Commission.  You should be aware that new factors may emerge from time to time and it is not possible for us to identify all such factors nor can we predict the impact of each such factors on our business or the extent to which any one or more factors may cause actual results to differ from those reflected in any forward-looking statements.  Accordingly, you are cautioned not to place undue reliance upon any of our forward-looking statements, which are inherently speculative and speak only as of the date made.  We undertake no obligation to update or revise, for any reason, any forward-looking statements made by us or on our behalf, whether as a result of new information, future events or developments, changed circumstances or otherwise.

 

Contact:

The IGB Group

Bryan Degnan

(646) 673-9701

bdegnan@igbir.com 

 

Leon Berman

(212) 477-8438

lberman@igbir.com 

 

International Shipholding Corporation

Niels M. Johnsen, Chairman (212) 943-4141

Erik L. Johnsen, President (251) 243-9221

Manny Estrada, V. P. and CFO (251) 243-9082

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-GAAP Reconciliation by Segment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Quarter ended March 31, 2015

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(All Amounts in Millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pure Car

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Jones Act

 

Truck Carriers

 

Dry Bulk

 

Rail-Ferry

 

Specialty Contracts

 

Other

 

Total

First Quarter, 2015

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Voyage Profit

$
2.2 

 

$
4.1 

 

$
1.1 

 

$
0.5 

 

$
3.2 

 

$
0.4 

 

$
11.5 

*Add Back: Amortization & Drydock

 
3.8 

 

 
0.7 

 

 
0.1 

 

 
0.3 

 

 
0.3 

 

 

 -

 

 
5.2 

A&G

 
(0.9)

 

 
(1.8)

 

 
(0.5)

 

 
(0.2)

 

 
(1.4)

 

 
(0.2)

 

 
(5.0)

Other Income from Vessel Financing

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 
0.4 

 

 

 -

 

 
0.4 

EBITDA

$
5.1 

 

$
3.0 

 

$
0.7 

 

$
0.6 

 

$
2.5 

 

$
0.2 

 

$
12.1 

Depreciation

 
(1.7)

 

 
(2.2)

 

 
(0.9)

 

 
(0.4)

 

 
(0.4)

 

 
(0.1)

 

 
(5.7)

Amortization

 
(3.8)

 

 
(0.7)

 

 
(0.1)

 

 
(0.3)

 

 
(0.3)

 

 

 -

 

 
(5.2)

Other Income from Vessel Financing

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 
(0.4)

 

 

 -

 

 
(0.4)

Loss on Sale of Assets

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 
(0.1)

 

 
(0.1)

*Add Back: Unconsolidated Entities

 

 -

 

 

 -

 

 
(0.7)

 

 
0.1 

 

 
(0.3)

 

 

 -

 

 
(0.9)

Operating Income (Loss)

$
(0.4)

 

$
0.1 

 

$
(1.0)

 

$

 -

 

$
1.1 

 

$

 -

 

$
(0.2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

First Quarter, 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Voyage Profit

$
4.2 

 

$
2.4 

 

$
1.4 

 

$
0.9 

 

$
0.8 

 

$
0.3 

 

$
10.0 

*Add Back: Amortization & Drydock

 
3.7 

 

 
0.5 

 

 
0.1 

 

 
0.2 

 

 
0.7 

 

 

 -

 

 
5.2 

A&G

 
(2.3)

 

 
(1.3)

 

 
(0.8)

 

 
(0.5)

 

 
(0.4)

 

 
(0.2)

 

 
(5.5)

Other

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 
0.9 

 

 
0.9 

EBITDA

$
5.6 

 

$
1.6 

 

$
0.7 

 

$
0.6 

 

$
1.1 

 

$
1.0 

 

$
10.6 

Depreciation

 
(2.0)

 

 
(2.2)

 

 
(1.6)

 

 
(0.5)

 

 
(0.5)

 

 
(0.1)

 

 
(6.9)

Amortization

 
(3.7)

 

 
(0.5)

 

 
(0.1)

 

 
(0.2)

 

 
(0.7)

 

 

 -

 

 
(5.2)

Other

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 

 -

 

 
(0.9)

 

 
(0.9)

*Add Back: Unconsolidated Entities

 

 -

 

 

 -

 

 
0.1 

 

 

 -

 

 

 -

 

 

 -

 

 
0.1 

Operating Income (Loss)

$
(0.1)

 

$
(1.1)

 

$
(0.9)

 

$
(0.1)

 

$
(0.1)

 

$

 -

 

$
(2.3)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

* To remove the effect of including the results of the unconsolidated entities, drydock, and amortization in Gross Voyage Profit

 

 

 

 

 

INTERNATIONAL SHIPHOLDING CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(All Amounts in Thousands Except Share Data)

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

 

 

 

 

 

 

2015

 

2014

Revenues

 

 

 

 

 

$
68,026 

 

$
72,694 

 

 

 

 

 

 

 

 

 

 

 

Operating Expenses

 

 

 

 

 

 

 

 

 

 

        Voyage Expenses

 

 

 

 

 

 
52,211 

 

 
57,433 

        Amortization Expense

 

 

 

 

 

 
5,187 

 

 
5,163 

        Vessel Depreciation

 

 

 

 

 

 
5,543 

 

 
6,721 

        Other Depreciation

 

 

 

 

 

 
184 

 

 
184 

        Administrative and General Expenses

 

 

 

 

 

 
5,022 

 

 
5,449 

        Loss on Sale of Other Assets

 

 

 

 

 

 
68 

 

 

 -

Total Operating Expenses

 

 

 

 

 

 
68,215 

 

 
74,950 

 

 

 

 

 

 

 

 

 

 

 

Operating Loss

 

 

 

 

 

 
(189)

 

 
(2,256)

 

 

 

 

 

 

 

 

 

 

 

Interest and Other

 

 

 

 

 

 

 

 

 

 

         Interest Expense

 

 

 

 

 

 
2,668 

 

 
2,145 

         Derivative Loss

 

 

 

 

 

 
2,810 

 

 
14 

         Loss on Extinguishment of Debt

 

 

 

 

 

 
95 

 

 

 -

         Other Income from Vessel Financing

 

 

 

 

 

 
(445)

 

 
(489)

         Investment Income

 

 

 

 

 

 
(7)

 

 
(19)

         Foreign Exchange Loss

 

 

 

 

 

 
45 

 

 
84 

 

 

 

 

 

 

 
5,166 

 

 
1,735 

Loss Before Provision (Benefit) for Income Taxes and Equity in Net Income (Loss) of Unconsolidated Entities

 

 

 

 

 

 
(5,355)

 

 
(3,991)

 

 

 

 

 

 

 

 

 

 

 

Provision (Benefit) for Income Taxes

 

 

 

 

 

 
39 

 

 
(882)

 

 

 

 

 

 

 

 

 

 

 

Equity in Net Income (Loss) of Unconsolidated Entities (Net of Applicable Taxes)

 

 

 

 

 

 
893 

 

 
(108)

 

 

 

 

 

 

 

 

 

 

 

Net Loss

 

 

 

 

 

$
(4,501)

 

$
(3,217)

 

 

 

 

 

 

 

 

 

 

 

Preferred Stock Dividends

 

 

 

 

 

 
1,305 

 

 
1,305 

 

 

 

 

 

 

 

 

 

 

 

Net Loss Attributable to Common Stockholders

 

 

 

 

 

$
(5,806)

 

$
(4,522)

 

 

 

 

 

 

 

 

 

 

 

Loss Per Common Share:

 

 

 

 

 

 

 

 

 

 

        Basic

 

 

 

 

 

$
(0.79)

 

$
(0.62)

        Diluted

 

 

 

 

 

$
(0.79)

 

$
(0.62)

 

 

 

 

 

 

 

 

 

 

 

Weighted Average Shares of Common Stock Outstanding:

 

 

 

 

 

 

 

 

 

 

        Basic

 

 

 

 

 

 
7,308,482 

 

 
7,252,075 

        Diluted

 

 

 

 

 

 
7,308,482 

 

 
7,252,075 

 

 

 

 

 

 

 

 

 

 

 

Common Stock Dividends Per Share

 

 

 

 

 

$
0.25 

 

$
0.25 

 

 

INTERNATIONAL SHIPHOLDING CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(All Amounts in Thousands)

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2015

 

December 31, 2014

ASSETS

 

 

 

Cash and Cash Equivalents

$
21,373 

 

$
21,133 

Restricted Cash

 
391 

 

 
1,394 

Accounts Receivable, Net of Allowance for Doubtful Accounts

 
28,653 

 

 
31,322 

Prepaid Expenses

 
8,639 

 

 
10,927 

Deferred Tax Asset

 
235 

 

 
408 

Other Current Assets

 
328 

 

 
370 

Notes Receivable

 
1,628 

 

 
3,204 

Material and Supplies Inventory

 
8,134 

 

 
9,760 

Assets Held for Sale

 
6,778 

 

 
6,976 

Total Current Assets

 
76,159 

 

 
85,494 

 

 

 

 

 

 

Investment in Unconsolidated Entities

 
22,697 

 

 
21,837 

 

 

 

 

 

 

Vessels, Property, and Other Equipment, at Cost:

 

 

 

 

 

Vessels

 
519,953 

 

 
520,026 

Building

 
1,780 

 

 
1,354 

Land

 
623 

 

 
623 

Leasehold Improvements

 
26,348 

 

 
26,348 

Construction in Progress

 
4,495 

 

 
2,371 

Furniture and Equipment

 
10,574 

 

 
10,461 

 

 
563,773 

 

 
561,183 

Less -  Accumulated Depreciation

 
(192,618)

 

 
(186,450)

 

 
371,155 

 

 
374,733 

Other Assets:

 

 

 

 

 

Deferred Charges, Net of Accumulated Amortization

 
28,960 

 

 
28,657 

Intangible Assets, Net of Accumulated Amortization

 
24,416 

 

 
25,042 

Due from Related Parties

 
1,567 

 

 
1,660 

Notes Receivable

 
25,361 

 

 
24,455 

Goodwill

 
2,735 

 

 
2,735 

Assets Held for Sale

 
32,486 

 

 
48,701 

Other

 
4,614 

 

 
4,843 

 

 
120,139 

 

 
136,093 

 

 

 

 

 

 

TOTAL ASSETS

$
590,150 

 

$
618,157 

 

 

INTERNATIONAL SHIPHOLDING CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(All Amounts in Thousands Except Share Data)

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2015

 

December 31, 2014

LIABILITIES AND STOCKHOLDERS' EQUITY

 

 

 

Current Liabilities:

 

 

 

 

 

Current Maturities of Long-Term Debt

$
22,412 

 

$
23,367 

Accounts Payable and Other Accrued Expenses

 
47,395 

 

 
52,731 

Total Current Liabilities

 
69,807 

 

 
76,098 

 

 

 

 

 

 

Long-Term Debt, Less Current Maturities

 
203,631 

 

 
219,521 

 

 

 

 

 

 

Other Long-Term Liabilities:

 

 

 

 

 

Incentive Obligation

 
4,456 

 

 
4,644 

Other

 
48,970 

 

 
50,284 

 

 

 

 

 

 

TOTAL LIABILITIES

 
326,864 

 

 
350,547 

 

 

 

 

 

 

Stockholders' Equity:

 

 

 

 

 

Preferred Stock, $1.00 Par Value, 9.50% Series A Cumulative Perpetual Preferred Stock, 650,000 Shares Authorized, 250,000 Shares Issued and Outstanding at March 31, 2015 and December 31, 2014, Respectively

 
250 

 

 
250 

Preferred Stock, $1.00 Par Value, 9.00% Series B Cumulative Perpetual Preferred Stock, 350,000 Shares Authorized, 316,250 Shares Issued and Outstanding at March 31, 2015 and December 31, 2014, Respectively

 
316 

 

 
316 

Common Stock, $1.00 Par Value, 20,000,000 Shares Authorized, 7,309,757 and 7,301,657 Shares Outstanding at March 31, 2015 and December 31, 2014, Respectively

 
8,753 

 

 
8,743 

Additional Paid-In Capital

 
140,952 

 

 
140,960 

Retained Earnings

 
151,466 

 

 
159,134 

Treasury Stock 1,388,078  Shares at March 31, 2015 and  December 31, 2014

 
(25,403)

 

 
(25,403)

Accumulated Other Comprehensive Loss

 
(13,048)

 

 
(16,390)

TOTAL STOCKHOLDERS' EQUITY

 
263,286 

 

 
267,610 

 

 

 

 

 

 

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY

$
590,150 

 

$
618,157 

 

 

INTERNATIONAL SHIPHOLDING CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(All Amounts in Thousands)

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

 

 

2015

 

 

2014

Cash Flows from Operating Activities:

 

 

 

 

 

   Net Loss

$
(4,501)

 

$
(3,217)

Adjustments to Reconcile Net Loss to Net Cash Provided by Operating Activities:

 

 

 

 

 

             Depreciation

 
5,727 

 

 
6,905 

             Amortization of Deferred Charges

 
4,840 

 

 
4,286 

             Amortization of Intangible Assets

 
626 

 

 
1,029 

             Deferred Tax

 

 -

 

 
(905)

             Non-Cash Share Based Compensation

 
2 

 

 
447 

             Equity in Net (Income) Loss of Unconsolidated Entities

 
(893)

 

 
108 

             Loss on Sale of Assets

 
68 

 

 

 -

             Loss on Extinguishment of Debt

 
95 

 

 

 -

             Loss on Foreign Currency Exchange

 
45 

 

 
84 

             Loss on Derivatives

 
2,810 

 

 
14 

            Other Reconciling Items, net

 
(838)

 

 
(1,387)

     Changes in operating assets and liabilities, net of acquisitions:

 

 

 

 

 

             Deferred Drydocking Charges

 
(5,515)

 

 
(1,775)

             Accounts Receivable

 
(878)

 

 
3,620 

             Inventory and Other Current Assets 

 
3,906 

 

 
2,006 

             Other Assets

 

 -

 

 
(500)

             Accounts Payable and Accrued Liabilities

 
(4,249)

 

 
(2,020)

             Other Long-Term Liabilities

 
250 

 

 
(1,197)

Net Cash Provided by Operating Activities

 
1,495 

 

 
7,498 

 

 

 

 

 

 

Cash Flows from Investing Activities:

 

 

 

 

 

             Purchases of and Capital Improvements to Property and Equipment

 
(3,250)

 

 
(5,884)

             Investment in Unconsolidated Entities

 

 -

 

 
(5,814)

             Net Change in Restricted Cash Account

 
1,003 

 

 
2,499 

             Cash Proceeds from the State of Louisiana

 
122 

 

 

 -

             Cash Proceeds from Sale of Assets

 
16,355 

 

 

 -

             Cash Proceeds from Receivable Settlement

 
3,890 

 

 

 -

             Proceeds from Payments on Note Receivables

 
670 

 

 
1,062 

Net Cash Provided by (Used In) Investing Activities

 
18,790 

 

 
(8,137)

 

 

 

 

 

 

Cash Flows from Financing Activities:

 

 

 

 

 

             Proceeds from Line of Credit

 
5,000 

 

 
8,000 

             Payments on Line of Credit

 
(2,500)

 

 
(8,000)

             Principal Payments on Long Term Debt

 
(19,384)

 

 
(4,755)

             Additions to Deferred Financing Charges

 
(28)

 

 
(62)

             Dividends Paid

 
(3,133)

 

 
(3,119)

Net Cash Used In Financing Activities

 
(20,045)

 

 
(7,936)

 

 

 

 

 

 

Net Increase (Decrease) in Cash and Cash Equivalents

 
240 

 

 
(8,575)

Cash and Cash Equivalents at Beginning of Period

 
21,133 

 

 
20,010 

 

 

 

 

 

 

Cash and Cash Equivalents at End of Period

$
21,373 

 

$
11,435