-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Sva2ts2f7vrRPHnQ4F2c5lrq9zGFV0dJhOdYRg0ZisvfsCTQhk9vTZK1m6IMXZpy cYd27oLqUtc/glkqYbXrow== 0000950103-99-000308.txt : 19990421 0000950103-99-000308.hdr.sgml : 19990421 ACCESSION NUMBER: 0000950103-99-000308 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19990420 ITEM INFORMATION: FILED AS OF DATE: 19990420 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AES CORPORATION CENTRAL INDEX KEY: 0000874761 STANDARD INDUSTRIAL CLASSIFICATION: COGENERATION SERVICES & SMALL POWER PRODUCERS [4991] IRS NUMBER: 541163725 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 001-12291 FILM NUMBER: 99597692 BUSINESS ADDRESS: STREET 1: 1001 N 19TH ST STREET 2: STE 2000 CITY: ARLINGTON STATE: VA ZIP: 22209 BUSINESS PHONE: 7035221315 8-K 1 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (date of earliest event reported): April 20, 1999 THE AES CORPORATION (exact name of registrant as specified in its charter) DELAWARE 333-15487 54-1163725 (State of Incorporation) (Commission File No.) (IRS Employer Identification No.) 1001 North 19th Street, Suite 2000 Arlington, Virginia 22209 (Address of principal executive offices, including zip code) Registrant's telephone number, including area code: (703) 522-1315 NOT APPLICABLE (Former Name or Former Address, if changed since last report) Item 5. Other Events On April 20, 1999, the AES Corporation (the "Registrant") issued the press release attached as Exhibit 1 to this report and incorporated herein by reference. 2 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. THE AES CORPORATION Date: April 20, 1999 By: /s/ William Luraschi --------------------------- William Luraschi (signing officer) 3 EXHIBIT 1 4 EX-1 2 FOR IMMEDIATE RELEASE AES REPORTS FIRST QUARTER EARNINGS OF $0.39 PER SHARE BEFORE DEDUCTING FOREIGN CURRENCY TRANSACTION LOSSES ARLINGTON, VA, April 20, 1999 -- The AES Corporation (NYSE: AES) announced today that, before deducting the foreign currency transaction losses incurred during the quarter and discussed below, net income as adjusted for the exclusion was $74 million for the quarter ended March 31, 1999, representing an increase of 10% over net income of $67 million for the first quarter of 1998. Fully diluted earnings per share, excluding the effects of the transaction losses, were $0.39 for the quarter, compared to $0.38 for the same quarter in 1998. Revenues for the quarter were $638 million, up 11% compared to $575 million reported in the same period last year. However, primarily due to the effects of the devaluation of the Brazilian reais on the foreign currency denominated debt (primarily U.S. dollars) within AES's Brazilian subsidiaries and affiliates, AES has recorded a non-cash charge of $129 million ($87 million after income taxes) which is reflected as foreign currency transaction losses. Including these foreign currency transaction losses, the net loss for the first quarter was ($13) million, as compared to net income of $65 million in the first quarter of 1998. As a result, the fully diluted loss per share was ($0.07) for the quarter, as compared to earnings per share of $0.37 for the first quarter of 1998. Barry J. Sharp, Chief Financial Officer, commented, "We were pleased with the strong performance shown by several of our new businesses as well as the continued improvement in our consolidated operating margin during the quarter. These additions helped to offset the impact of the significant devaluation of the Brazilian reais on our operating income." Dennis W. Bakke, President and Chief Executive Officer, stated, "We were delighted to announce this quarter our agreement with Connecticut Light and Power on a partial prepayment of the contract at AES Thames. Moreover, we continued to expand our businesses around the world and did not allow events in Brazil to distract us from our commitment to provide clean, safe, reliable electricity. We are encouraged by recent events in Brazil and are cautiously optimistic about its strengthening economic conditions." Mr. Bakke also announced the appointment of four new group leaders in AES. The new leaders and their regions include: Dan Rothaupt (northeast United States); Ann Murtlow (northern Europe and part of the United Kingdom); Michael Armstrong (southern Europe and the remaining part of the United Kingdom); and Garry Levesley (AES Silk Road which covers most of the former Soviet Union). Paul Stinson, former head of AES Silk Road, now co-heads a new group in the central United States with David McMillen, President of AES Shady Point. Business development successes in the first quarter of 1999 include the following: o In February a subsidiary of AES executed a Power Purchase Agreement ("PPA") with Williams Energy Marketing and Trading Company, a subsidiary of The Williams Company, Inc., for the entire output of the planned 700 MW AES Ironwood power generating facility. o In February a subsidiary of AES was selected by the Hungarian utility, the MVM, to build, own and operate a 190 MW gas-fired combined cycle power plant in eastern Hungary. o In March, a subsidiary of AES won a bid for two gas-fired power stations in Australia totaling 966 MW. The AES Corporation is a leading global power company that currently owns or has an interest in ninety four power facilities, totaling over 28,000 MW, in the United States, Canada, Australia, Argentina, Brazil, Dominican Republic, Panama, India, Pakistan, the Netherlands, Hungary, Kazakhstan, Mexico, China, and the United Kingdom. AES also distributes electricity to over 13 million customers in Brazil, Argentina, El Salvador and Georgia. In addition to having assets in excess of $10 billion, the Company has more than $5 billion of projects in construction or late stages of development. The AES Corporation is dedicated to providing safe, clean, low-cost electricity worldwide in a socially responsible way. * * * * * THE AES CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE PERIODS ENDED MARCH 31, 1999 AND 1998 - --------------------------------------------------------------------------------------------------------------- Three Three Change Months % Months % From Ended of Ended of Previous % 03/31/99 Sales 03/31/98 Sales Year Change - --------------------------------------------------------------------------------------------------------------- ($ in millions, except per share amounts) REVENUES: Sales and services $ 638 100% $ 575 100% $ 63 11% OPERATING COSTS AND EXPENSES: Cost of sales and services 409 64% 397 68% (12) -3% Selling, general and administrative expenses 16 3% 15 3% (1) -7% Provision to reduce contract receivables 9 1% 15 3% 6 40% ------- ------- ------- Total operating costs and expenses 434 68% 427 74% (7) -2% ------- ------- ------- OPERATING INCOME 204 32% 148 26% 56 38% OTHER INCOME AND (EXPENSE): Interest expense (133) -21% (101) -18% (32) 32% Interest income 16 3% 14 2% 2 14% Foreign currency transaction gain (loss) 3 - (2) - 5 -250% Equity in (loss) earnings of affiliates (before income tax): Earnings of affiliates $41 Foreign currency transaction loss (132) ---- Total (91) (91) -14% 57 10% (148) -260% ------- ------- ------- (LOSS) INCOME BEFORE INCOME TAXES AND MINORITY INTEREST (1) - 116 20% (117) -101% Income tax (benefit) provision (6) -1% 33 6% 39 118% Minority interest 18 3% 18 3% - - ------- ------- ------- NET (LOSS) INCOME $ (13) -2% $ 65 11% $ (78) -120% ======= ======= ======= BASIC (LOSS) EARNINGS PER SHARE: $ (0.07) $ 0.37 $ (0.44) ======= ======= ======= DILUTED (LOSS) EARNINGS PER SHARE: $ (0.07) $ 0.37 $ (0.44) ======= ======= =======
****** THE AES CORPORATION--Supplemental Schedule (1) CONSOLIDATED SCHEDULE (Excluding Foreign Currency Transaction Loss) (1) FOR THE PERIODS ENDED MARCH 31, 1999 AND 1998 - ------------------------------------------------------------------------------------------------------------------- Three Three Change Months % Months % From Ended of Ended of Previous % 03/31/99 Sales 03/31/98 Sales Year Change - ------------------------------------------------------------------------------------------------------------------- ($ in millions, except per share amounts) REVENUES: Sales and services $ 638 100% $ 575 100% $ 63 11% OPERATING COSTS AND EXPENSES: Cost of sales and services 409 64% 397 68% (12) -3% Selling, general and administrative expenses 16 3% 15 3% (1) -7% Provision to reduce contract receivables 9 1% 15 3% 6 40% ------- ------- ------- Total operating costs and expenses 434 69% 427 74% (7) -2% ------- ------- ------- OPERATING INCOME 204 31% 148 26% 56 38% OTHER INCOME AND (EXPENSE) Excluding Foreign Currency Transaction Loss: Interest expense (133) -21% (101) -17% (32) 32% Interest income 16 3% 14 2% 2 14% Equity in earnings of affiliates (before income tax) 41 6% 57 10% (16) -28% ------- ------- ------- INCOME BEFORE INCOME TAXES AND MINORITY INTEREST, Excluding Foreign Currency Transaction Loss 128 20% 118 21% 10 8% Income taxes 36 6% 33 6% (3) -9% Minority interest 18 3% 18 3% - - ------- ------- ------- NET INCOME, Excluding Foreign Currency Transaction Loss $ 74 12% $ 67 12% $ 7 10% ======= ======= ======= BASIC EARNINGS PER SHARE, Excluding Foreign Currency Transaction Loss: $ 0.41 $ 0.38 $ 0.03 ======= ======= ======= DILUTED EARNINGS PER SHARE, Excluding Foreign Currency Transaction Loss: $ 0.39 $ 0.38 $ 0.01 ======= ======= ======= (1) Basis of presentation -- This schedule presents, on a proforma basis, the results of operations of AES excluding the aggregate foreign currency transaction losses of approximately $129 million ($87 million after income taxes) and $1.6 million ($1.1 million after income taxes) incurred during the first quarter of 1999 and 1998, respectively.
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