Exhibit 99.1
Company Contacts:
Victoria M. Holt President and Chief Executive Officer (314) 721-4242 |
Randy C. Martin Executive Vice President and Chief Financial Officer (314) 721-4242 |
For Immediate Release Monday, March 7, 2011
SPARTECH ANNOUNCES FIRST QUARTER RESULTS
St. Louis, Missouri, March 7, 2011 — Spartech Corporation (NYSE:SEH), a leading producer of
plastic sheet, compounds, and packaging products, announced today operating results for its 2011
first quarter.
First Quarter 2011 Financial Results
| • | Net sales were $234.8 million, up 4% from the prior year first quarter, reflecting a 3% decrease in volume more than offset by the effects of higher prices due to the pass through of higher raw material costs. | ||
| • | Operating loss excluding special items was $1.0 million in the first quarter of 2011 compared to operating earnings excluding special items of $7.5 million in the same period of the prior year. This decrease in earnings reflects the continued impact of production inefficiencies that began in the second half of 2010, increased freight expense, margin compression from increased competition, and the impact of higher material costs that were not passed through timely as selling price increases. | ||
| • | Reported diluted (loss) earnings per share from continuing operations was $(0.06) in the first quarter of 2011 compared to $0.15 in the prior year first quarter. Excluding special items, diluted (loss) earnings per share from continuing operations was $(0.04) compared to $0.08 in the prior year first quarter. | ||
| • | Cash flows from operations were $7.7 million for the first quarter and the Company ended the quarter with $173.2 million of debt. |
Highlights
| • | We have completed the management restructuring of our business units, which has provided for direct responsibility for sales, marketing and operations to each business segment leader. We believe that this structure will provide for greater responsiveness to the needs of our customers and improve overall financial performance of the business units. We are encouraged by the early results of this management change as we are beginning to make progress in material formulation, yield enhancement, on-time deliveries and product quality. | ||
| • | On January 12, 2011, the Company entered into amendments on its credit facility and Senior Notes. These amendments were needed in the near term to complete the organizational restructurings and continue the actions to improve operations. | ||
| • | The Company started production at our Lockport, New York facility during our first quarter of 2011 to serve automotive customers in our compounds business. We expect to have this facility operating at normal production rates in the second quarter of 2011. | ||
| • | The Company has brought together the research and development teams of our three businesses into our new Spartech Technology and Innovation Center located near our corporate headquarters. Harnessing the collective technical capabilities of our material science, processing, and creative design groups is allowing us to bring greater focus on new product developments and sustainable customer solutions as well as supporting our promising new cross business unit selling initiative. |
SPARTECH CORPORATION
FIRST QUARTER 2011 EARNINGS
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FIRST QUARTER 2011 EARNINGS
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Note: Please see the reconciliation tables and the narrative below for adjustments to GAAP and
discussion of items affecting results.
Spartech’s President and Chief Executive Officer, Vicki Holt stated, “As we expected, our
first quarter results reflected gradual operational improvements from the inefficiencies
that began in the second half of 2010, seasonally low demand with moderate growth in most markets,
the continued impact from certain customer changes, and progress in completing the remaining two
asset consolidations and general organizational restructurings. Our key operational priorities
continue to focus on operating fundamentals to improve our on-time delivery, product quality, and
production yields while we manage overall costs, and we are beginning to see positive results in
these key metrics. We also completed the realignment of our operating businesses and leadership
team.”
Holt added “Our measured progress in this quarter is the start of a comprehensive plan to build the
foundation for operating and commercial excellence and accelerating new product developments. A
key focus in the quarter was developing a turnaround plan for our Color and Specialty Compounds
business which did not execute the final asset consolidations well during the automotive market
recovery last year. The turnaround efforts include specific actions to grow earnings by improving
yield and equipment uptime, and develop stronger linkage between operations and strategic
procurement.”
Additionally, Holt stated “We are prioritizing organic growth projects to deliver near term
results. In addition, we are re-engaging our customers in specific sustainable product development
programs. Our revitalized earnings growth programs focus on exceeding customer expectations and a
more efficient cost structure which will lead to improved returns for shareholders.”
Consolidated Results
Net sales increased 4% to $234.8 million in the three month period ended January 29, 2011 over the
same period in the prior year, representing a 7% increase in price/mix offset by a 3% decline in
volume. The largest increase in volume was from sales of compounds and sheet to the automotive
sector, related to the recovery experienced throughout 2010, and commercial construction.
Underlying volume in most other markets experienced a modest increase. Offsetting these increases
were a decline in sales of sheet for material handling applications due to a considerable slowdown
in orders from one of our largest customers, and a decline in food packaging sales due to a lower
share of a key customer’s product line. The price/mix increase was primarily related to increases
in selling prices to pass through increases in raw material costs.
Gross margin per pound sold declined from 12.8 cents in the first quarter of 2010 to 9.1 cents in
the first quarter of 2011 primarily reflecting the continued impact of production inefficiencies
that began in the second half of 2010, higher labor costs, increased freight expense, margin
compression from increased competition, and the impact of higher material costs. The decrease in
gross margin was partially offset by reduced depreciation expense due to the Company’s plant
consolidation efforts.
Selling, general and administrative expenses were $19.0 million in the first quarter of 2011
compared to $18.4 million in the same period of the prior year. The increase was mainly due to
higher employee compensation costs largely related to resource additions in the technology, sales
and marketing and procurement areas.
Amortization of intangibles was $0.4 million in the first quarter of 2011 compared to $1.0 million
in the same period of the prior year. The decrease reflects intangible assets which became fully
amortized coupled with the impact of intangible asset impairments recorded by the Company in the
fourth quarter of 2010.
Restructuring and exit costs were $0.8 million in the first quarter of 2011 compared to $0.7
million in the same period of the prior year. Restructuring and exit costs included employee
severance, facility consolidation and shutdown costs and fixed asset valuation adjustments.
SPARTECH
CORPORATION
FIRST QUARTER 2011 EARNINGS
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FIRST QUARTER 2011 EARNINGS
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Interest expense, net of interest income, was $2.6 million in the first quarter of 2011
compared to $3.5 million in the same period of the prior year. The decrease was primarily due to
the $24.6 million reduction in debt during the last 12 months, which included a reduction in higher
interest rate debt.
We reported a net loss from continuing operations of $1.8 million or $(0.06) per diluted share in
the first quarter of 2011, compared to earnings of $4.7 million or $0.15 per diluted share in the
same period of the prior year. Excluding special items (restructuring and exit costs, and tax
benefits from restructuring of foreign operations), we reported a net loss from continuing
operations of $1.3 million or $(0.04) per diluted share in the first quarter of 2011, compared to
net earnings from continuing operations of $2.4 million or $0.08 per diluted share in the same
period of the prior year. The decrease was mainly due to items previously discussed, partially
offset by the effects of income tax benefits.
The difference between the Company’s statutory rate and the Company’s effective rate for the three
months ended January 29, 2011, was primarily attributable to the reorganization of the Company’s
legal entities which resulted in a $0.8 million deferred tax benefit, coupled with the
reinstatement of the research and development tax credit. These benefits were partially offset by
adjustments to the Company’s FIN 48 reserves and the effects of permanent items.
Net earnings from discontinued operations were $2.9 million in the first quarter of 2011, which
mainly resulted from the settlement agreement for the breach of a contract by Chemtura that led to
$4.8 million in total cash proceeds.
Cash flows from operations in the
first quarter of 2011 of $7.7 million, which included the
benefit of an income tax refund of $5.7 million, were used along with credit
facility borrowings to fund $8.0 million of capital investments for additional capacity in
specialty sheet products, maintenance and cost reductions. We incurred $1.6 million in debt
issuance costs to amend our debt holder agreements during the first quarter of 2011.
Segment Results
The results of our three operating segments are discussed below. A table is presented at the end
of this release to reconcile amounts excluding special items to comparable GAAP measures.
Custom Sheet & Rollstock - Net sales were $125.1 million in the three month period ended January
29, 2011, representing flat year-over-year net sales, which consisted of a 9% decrease in volume
offset by a 9% increase in price/mix changes. The decrease in underlying volume reflects the
impact of a significant reduction in one customer’s business activity for a material handling
application. Absent this customer’s decline, we realized a modest increase in volume across most
of our end markets including the automotive, appliance and sign and advertising markets. The
price/mix increase was mostly caused by increases in selling prices and greater mix of higher
priced products. Operating earnings excluding special items were $4.8 million in the first quarter
of 2011 compared to $8.4 million in the same period of the prior year. The decrease in operating
earnings reflects lower sales volume to a material handling customer, increased competition,
production inefficiencies and increased freight expense.
Packaging Technologies — Net sales were $51.7 million in the three month period ended January 29,
2011, representing an 8% increase in net sales, which consisted of a 2% decrease in volume more
than offset by a 10% increase in price/mix changes. The decrease in underlying volume reflects the
impact of the loss of share at a food packaging customer. Partially offsetting this loss was an
increase in sales to the medical packaging and sign and advertising markets. Price/mix includes
increases in selling prices from the pass through of increases in raw materials costs. Operating
earnings excluding special items were $4.8 million in the first quarter of 2011 compared to $5.3
million in the same period of the prior year. The decrease in operating earnings was mainly due to
a higher mix of lower margin business and margin compression from increased competition, coupled
with higher employee compensation costs primarily related to resource additions in the technology
and sales and marketing areas.
SPARTECH CORPORATION
FIRST QUARTER 2011 EARNINGS
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FIRST QUARTER 2011 EARNINGS
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Color & Specialty Compounds — Net sales were $57.9 million in the three month period ended
January 29, 2011, representing a 12% increase in net sales, which consisted of a 5% increase in
volume coupled with a 7% increase in price/mix changes. The increase in underlying volume was due
to a significant increase in the automotive sector related to the recovery experienced throughout
2010, coupled with increased sales to the agricultural products and building and construction
markets. Offsetting these increases was a decline in sales to the appliance and electronics
market. The price/mix increase was mostly caused by increases in selling prices to pass through
increases in raw material costs. Operating loss excluding special items were $2.2 million in the
first quarter of 2011 compared to operating earnings of $2.2 million in the same period of the
prior year. The decrease in operating earnings reflects production inefficiencies which resulted
in higher labor and material costs, the impact of higher material costs that were not passed
through timely as selling price increases, a higher mix of lower margin sales, and increased
freight and employee severance costs.
Outlook
We are continuing to focus
on improving our operational performance, building a more customer-focused organization, and
investing in design, technology and equipment to enhance our growth
initiatives. Subject to raw material pricing, we expect these
operational and customer initiatives will result in gross margins
returning back to our peak levels by the first calendar quarter of
2012. We believe these improvements will be achieved during a period
when the overall market recovery continues at a slow pace and we
experience continued volatility in raw material pricing. We have made
organizational changes, continue to make operational improvements,
and have identified the levers to generate higher margins that we
believe will allow us to make steady progress during 2011.
Special Items and Discontinued Operations
Restructuring and exit costs totaled $0.8 million during the first quarter of 2011 compared to $0.7
million in the same period of the prior year. Restructuring and exit costs are comprised of
employee severance, facility consolidation and shut-down costs and fixed asset valuation
adjustments. These costs resulted from the Company’s improvement initiatives, which include an
objective of reducing the Company’s fixed portion of its cost structure. We expect to incur
approximately $1.0 million of additional restructuring expenses which mostly consist of employee
severance and shutdown costs for facility consolidation initiatives previously announced.
In the first quarter of 2010, we recognized a $2.8 million tax benefit related to tax
restructuring of foreign operations that was excluded from our presentation of net earnings from
continuing operations as a special, non-recurring item.
Discontinued operations include our former Marine business, sheet business in Donchery, France, and
toll compounding business in Arlington, Texas which were all shutdown in the 2009 and the Wheels
and Profiles businesses that were divested in 2009.
The Company reached agreement with Chemtura and the Bankruptcy Court approved the final settlement
of the claim for the breach of a contract by Chemtura for
$4.2 million in cash and equity in the newly
reorganized Chemtura. The equity was subsequently sold, resulting in
$4.8 million of total cash
proceeds. The associated gain was recorded in discontinued operations.
**********
Spartech will hold a conference call with investors and financial analysts at 11:00 a.m. EST on
Tuesday, March 8, 2011, to discuss Spartech’s first quarter 2011 financial results. Prior to this
call, the Company will provide supplemental slides on its website at www.spartech.com (under
Presentations in the Investor Relations menu). Investors can listen to the call live via a webcast
by logging onto www.spartech.com, or via phone by dialing 800-642-9809 and providing the Conference
ID #: 48506732. International callers may dial 706-679-7637.
Spartech Corporation is a leading producer of plastic products including polymeric compounds,
concentrates, custom extruded sheet and rollstock products and packaging technologies for a wide
spectrum of customers. The Company’s three business segments, which operate facilities in the
United States, Mexico, Canada, and France, annually process approximately one billion pounds of
plastic resins, specialty plastic alloys, and color and specialty compounds.
SPARTECH CORPORATION
FIRST QUARTER 2011 EARNINGS
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FIRST QUARTER 2011 EARNINGS
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Cautionary Statements Concerning Forward-Looking Statements
Statements in this Form 10-Q that are not purely historical, including statements that
express the Company’s belief, anticipation or expectation about future events, are forward-looking
statements. “Forward-looking statements” within the meaning of the Private Securities Litigation
Reform Act of 1995 relate to future events and expectations and include statements containing such
words as “anticipates,” “believes,” “estimates,” “expects,” “would,” “should,” “will,” “will
likely result,” “forecast,” “outlook,” “projects,” and similar expressions. Forward-looking
statements are based on management’s current expectations and include known and unknown risks,
uncertainties and other factors, many of which management is unable to predict or control, that
may cause actual results, performance or achievements to differ materially from those expressed or
implied in the forward-looking statements. Important factors that could cause actual results to
differ from our forward-looking statements are as follows:
| (a) | Adverse changes in economic or industry conditions, including global supply and demand conditions and prices for products of the types we produce | ||
| (b) | Our ability to compete effectively on product performance, quality, price, availability, product development, and customer service | ||
| (c) | Adverse changes in the markets we serve, including the packaging, transportation, building and construction, recreation and leisure, and other markets, some of which tend to be cyclical | ||
| (d) | Volatility of prices and availability of supply of energy and raw materials that are critical to the manufacture of our products, particularly plastic resins derived from oil and natural gas, including future impacts of natural disasters | ||
| (e) | Our inability to manage or pass through to customers an adequate level of increases in the costs of materials, freight, utilities, or other conversion costs | ||
| (f) | Our inability to achieve and sustain the level of cost savings, productivity improvements, gross margin enhancements, growth or other benefits anticipated from our improvement initiatives | ||
| (g) | Our inability to collect all or a portion of our receivables with large customers or a number of customers | ||
| (h) | Loss of business with a limited number of customers that represent a significant percentage of our revenues | ||
| (i) | Restrictions imposed on us by instruments governing our indebtedness, the possible inability to comply with requirements of those instruments and inability to access capital markets | ||
| (j) | Possible asset impairments | ||
| (k) | Our inability to predict accurately the costs to be incurred, time taken to complete, operating disruptions therefrom, potential loss of business or savings to be achieved in connection with announced production plant consolidations and line moves | ||
| (l) | Adverse findings in significant legal or environmental proceedings or our inability to comply with applicable environmental laws and regulations | ||
| (m) | Our inability to develop and launch new products successfully | ||
| (n) | Possible weaknesses in internal controls |
We assume no responsibility to update our forward-looking statements.
SPARTECH CORPORATION
FIRST QUARTER 2011 EARNINGS
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FIRST QUARTER 2011 EARNINGS
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Spartech Corporation and Subsidiaries
Consolidated Condensed Statements of Operations
Consolidated Condensed Statements of Operations
| Three Months Ended | ||||||||
| January 29, | January 30, | |||||||
| (Unaudited and dollars in thousands, except per share data) | 2011 | 2010 | ||||||
Net sales |
$ | 234,783 | $ | 225,164 | ||||
Costs and expenses |
||||||||
Cost of sales |
216,377 | 198,332 | ||||||
Selling, general and administrative expenses |
18,974 | 18,416 | ||||||
Amortization of intangibles |
422 | 966 | ||||||
Restructuring and exit costs |
828 | 671 | ||||||
Total costs and expenses |
236,601 | 218,385 | ||||||
Operating (loss) earnings |
(1,818 | ) | 6,779 | |||||
Interest, net of interest income |
2,571 | 3,516 | ||||||
(Loss) earnings from continuing operations before income taxes |
(4,389 | ) | 3,263 | |||||
Income tax benefit |
(2,551 | ) | (1,473 | ) | ||||
Net (loss) earnings from continuing operations |
(1,838 | ) | 4,736 | |||||
Net earnings from discontinued operations, net of tax |
2,871 | 8 | ||||||
Net earnings |
$ | 1,033 | $ | 4,744 | ||||
Basic (loss) earnings per share: |
||||||||
(Loss) earnings from continuing operations |
$ | (0.06 | ) | $ | 0.16 | |||
Earnings from discontinued operations, net of tax |
0.09 | — | ||||||
Net earnings per share |
$ | 0.03 | $ | 0.16 | ||||
Diluted (loss) earnings per share: |
||||||||
(Loss) earnings from continuing operations |
$ | (0.06 | ) | $ | 0.15 | |||
Earnings from discontinued operations, net of tax |
0.09 | — | ||||||
Net earnings per share |
$ | 0.03 | $ | 0.15 | ||||
SPARTECH CORPORATION
FIRST QUARTER 2011 EARNINGS
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FIRST QUARTER 2011 EARNINGS
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Spartech Corporation and Subsidiaries
Consolidated Condensed Balance Sheets
Consolidated Condensed Balance Sheets
| (Unaudited) | ||||||||
| January 29, | October 30, | |||||||
| (Dollars in thousands, except share data) | 2011 | 2010 | ||||||
Assets |
||||||||
Current assets: |
||||||||
Cash and cash equivalents |
$ | 3,535 | $ | 4,900 | ||||
Trade receivables, net of allowances of $3,359 and $3,404, respectively |
129,094 | 134,902 | ||||||
Inventories, net of inventory reserves of $7,689 and $6,539, respectively |
90,048 | 79,691 | ||||||
Prepaid expenses and other current assets, net |
30,282 | 35,789 | ||||||
Assets held for sale |
3,256 | 3,256 | ||||||
Total current assets |
256,215 | 258,538 | ||||||
Property, plant, and equipment, net |
210,904 | 211,844 | ||||||
Goodwill |
87,921 | 87,921 | ||||||
Other intangible assets, net |
14,136 | 14,559 | ||||||
Other long-term assets |
4,741 | 4,279 | ||||||
Total assets |
$ | 573,917 | $ | 577,141 | ||||
Liabilities and shareholders’ equity |
||||||||
Current liabilities: |
||||||||
Current maturities of long-term debt |
$ | 876 | $ | 880 | ||||
Accounts payable |
119,317 | 129,037 | ||||||
Accrued liabilities |
38,472 | 34,112 | ||||||
Total current liabilities |
158,665 | 164,029 | ||||||
Long-term debt, less current maturities |
172,283 | 171,592 | ||||||
Other long-term liabilities: |
||||||||
Deferred taxes |
41,514 | 42,648 | ||||||
Other long-term liabilities |
6,291 | 5,866 | ||||||
Total liabilities |
378,753 | 384,135 | ||||||
Shareholders’ equity |
||||||||
Preferred stock (authorized: 4,000,000 shares, par value $1.00) |
— | — | ||||||
Issued: None |
||||||||
Common stock (authorized: 55,000,000 shares, par value $0.75) |
24,849 | 24,849 | ||||||
Issued: 33,131,846 shares; outstanding: 30,865,820
and 30,884,503 shares, respectively |
||||||||
Contributed capital |
204,793 | 204,966 | ||||||
Retained earnings |
11,069 | 10,036 | ||||||
Treasury stock, at cost, 2,266,026 and 2,247,343 shares, respectively |
(51,844 | ) | (52,730 | ) | ||||
Accumulated other comprehensive income |
6,297 | 5,885 | ||||||
Total shareholders’ equity |
195,164 | 193,006 | ||||||
Total liabilities and shareholders’ equity |
$ | 573,917 | $ | 577,141 | ||||
SPARTECH CORPORATION
FIRST QUARTER 2011 EARNINGS
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FIRST QUARTER 2011 EARNINGS
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Spartech Corporation and Subsidiaries
Consolidated Condensed Statements of Cash Flows
Consolidated Condensed Statements of Cash Flows
| Three Months Ended | ||||||||
| January 29, | January 30, | |||||||
| (Unaudited and dollars in thousands) | 2011 | 2010 | ||||||
Cash flows from operating activities |
||||||||
Net earnings |
$ | 1,033 | $ | 4,744 | ||||
Adjustments to reconcile net earnings to net cash |
||||||||
provided by operating activities: |
||||||||
Depreciation and amortization |
8,101 | 9,555 | ||||||
Stock-based compensation expense |
893 | 1,081 | ||||||
Goodwill impairment |
— | 275 | ||||||
Restructuring and exit costs |
76 | 97 | ||||||
Gain (loss) on disposition of assets, net |
124 | (895 | ) | |||||
Provision for bad debt expense |
207 | (298 | ) | |||||
Deferred taxes |
(2,531 | ) | 125 | |||||
Change in current assets and liabilities |
(1,329 | ) | (5,214 | ) | ||||
Other, net |
1,137 | (522 | ) | |||||
Net cash provided by operating activities |
7,711 | 8,948 | ||||||
Cash flows from investing activities |
||||||||
Capital expenditures |
(7,986 | ) | (3,368 | ) | ||||
Proceeds from the disposition of assets |
— | 2,876 | ||||||
Net cash used by investing activities |
(7,986 | ) | (492 | ) | ||||
Cash flows from financing activities |
||||||||
Bank credit facility borrowings (payments), net |
800 | — | ||||||
Payments on notes and bank term loan |
— | (17,185 | ) | |||||
Payments on bonds and leases |
(119 | ) | (131 | ) | ||||
Debt issuance costs |
(1,595 | ) | — | |||||
Stock-based compensation exercised |
(180 | ) | — | |||||
Net cash used by financing activities |
(1,094 | ) | (17,316 | ) | ||||
Effect of exchnage rates on cash and cash equivalents |
4 | 21 | ||||||
Decrease in cash and cash equivalents |
(1,365 | ) | (8,839 | ) | ||||
Cash and cash equivalents at beginning of year |
4,900 | 26,925 | ||||||
Cash and cash equivalents at end of year |
$ | 3,535 | $ | 18,086 | ||||
SPARTECH CORPORATION
FIRST QUARTER 2011 EARNINGS
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FIRST QUARTER 2011 EARNINGS
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Non-GAAP Reconciliations
Within this press release we have included operating (loss) earnings (GAAP) to operating
(loss) earnings excluding special items (Non-GAAP), net (loss) earnings from continuing operations
(GAAP) to net (loss) earnings from continuing operations excluding special items (Non-GAAP) and net
(loss) earnings from continuing operations per diluted share (GAAP) to net (loss) earnings from
continuing operations per diluted share excluding special items (Non-GAAP). Special items include
restructuring and exit costs and a tax benefit on restructuring of foreign operations. We have
also excluded the operations of our discontinued wheels, profiles, marine, Donchery sheet and
Arlington, Texas compounding operations throughout this press release and in the presentation
below.
We use these measurements to assess our ongoing operating results without the effect of these
adjustments and compare such results to our historical and planned operating results. We believe
these measurements are useful to help investors to compare our results to previous periods and
provide an indication of underlying trends in the business. Such non-GAAP measurements are not
recognized in accordance with generally accepted accounting principles (GAAP) and should not be
viewed as an alternative to GAAP measures of performance.
The following tables reconcile (GAAP) to (Non-GAAP) measures:
| Three Months Ended | ||||||||
| January 29, | January 30, | |||||||
| (unaudited and in thousands, except per share data) | 2011 | 2010 | ||||||
Operating (loss) earnings (GAAP) |
$ | (1,818 | ) | $ | 6,779 | |||
Restructuring and exit costs |
828 | 671 | ||||||
Operating (loss) earnings excluding special items (Non-GAAP) |
$ | (990 | ) | $ | 7,450 | |||
Net (loss) earnings from continuing operations (GAAP) |
$ | (1,838 | ) | $ | 4,736 | |||
Restructuring and exit costs, net of tax |
513 | 422 | ||||||
Tax benefits from restructuring of foreign operations |
— | (2,770 | ) | |||||
Net (loss) earnings from continuing operations excluding special items (Non-GAAP) |
$ | (1,325 | ) | $ | 2,388 | |||
Net (loss) earnings from continuing operations
per diluted share (GAAP) |
$ | (0.06 | ) | $ | 0.15 | |||
Restructuring and exit costs, net of tax |
0.02 | 0.02 | ||||||
Tax benefit on restructuring of foreign operations |
— | (0.09 | ) | |||||
Net (loss) earnings from continuing operations per diluted share excluding
special items (Non-GAAP) |
$ | (0.04 | ) | $ | 0.08 | |||
The following table reconciles operating (loss) earnings (GAAP) to operating (loss) earnings
excluding special items (Non-GAAP) by segment (in thousands):
| Three Months Ended January 29, 2011 | Three Months Ended January 30, 2010 | |||||||||||||||||||||||
| Operating | Operating | |||||||||||||||||||||||
| (Loss) | (Loss) | |||||||||||||||||||||||
| Operating | Earnings | Operating | Earnings | |||||||||||||||||||||
| (Loss) | Excluding | (Loss) | Excluding | |||||||||||||||||||||
| Earnings | Special | Special Items | Earnings | Special | Special Items | |||||||||||||||||||
| Segment | (GAAP) | Items | (Non-GAAP) | (GAAP) | Items | (Non-GAAP) | ||||||||||||||||||
Custom Sheet and Rollstock |
$ | 4,483 | $ | 350 | $ | 4,833 | $ | 8,291 | $ | 84 | $ | 8,375 | ||||||||||||
Packaging Technologies |
4,642 | 116 | 4,758 | 6,004 | (729 | ) | 5,275 | |||||||||||||||||
Color & Specialty Compounds |
(2,598 | ) | 356 | (2,242 | ) | 898 | 1,316 | 2,214 | ||||||||||||||||
Corporate |
(8,345 | ) | 6 | (8,339 | ) | (8,414 | ) | — | (8,414 | ) | ||||||||||||||
Total |
$ | (1,818 | ) | $ | 828 | $ | (990 | ) | $ | 6,779 | $ | 671 | $ | 7,450 | ||||||||||