New York
(State or Other Jurisdiction of Incorporation)
|
0-01989
(Commission File Number)
|
16-0733425
(IRS Employer Identification No.)
|
o
|
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
o
|
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
o
|
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
o
|
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
Exhibit 99.1
|
Press Release dated October 23, 2014 announcing Seneca Foods Corporation's results of operations for second quarter and six months ended Septmber 27, 2014.
|
|
|
|
Quarter Ended
|
|||||||||||||||
|
September 27, 2014
|
September 28, 2013
|
||||||||||||||
|
Income
|
Diluted
|
Income
|
Diluted
|
||||||||||||
|
(in millions)
|
EPS
|
(in millions)
|
EPS
|
||||||||||||
|
||||||||||||||||
Net (loss) earnings, as reported:
|
$
|
(0.6
|
)
|
$
|
(0.05
|
)
|
$
|
6.6
|
$
|
0.59
|
||||||
|
||||||||||||||||
LIFO charge, after tax at statutory federal rate
|
$
|
3.9
|
$
|
0.35
|
$
|
5.6
|
$
|
0.50
|
||||||||
|
||||||||||||||||
Net earnings, excluding LIFO impact
|
$
|
3.3
|
$
|
0.30
|
$
|
12.2
|
$
|
1.09
|
||||||||
|
||||||||||||||||
Diluted weighted average common shares outstanding
|
||||||||||||||||
(in thousands)
|
10,845
|
10,819
|
||||||||||||||
|
||||||||||||||||
|
||||||||||||||||
|
Six Months Ended
|
|||||||||||||||
|
September 27, 2014
|
September 28, 2013
|
||||||||||||||
|
Income
|
Diluted
|
Income
|
Diluted
|
||||||||||||
|
(in millions)
|
EPS
|
(in millions)
|
EPS
|
||||||||||||
|
||||||||||||||||
Net (loss) earnings, as reported:
|
$
|
(0.7
|
)
|
$
|
(0.06
|
)
|
$
|
8.0
|
$
|
0.71
|
||||||
|
||||||||||||||||
LIFO charge, after tax at statutory federal rate
|
$
|
3.6
|
$
|
0.33
|
$
|
9.3
|
$
|
0.84
|
||||||||
|
||||||||||||||||
Net earnings, excluding LIFO impact
|
$
|
2.9
|
$
|
0.27
|
$
|
17.3
|
$
|
1.55
|
||||||||
|
||||||||||||||||
Diluted weighted average common shares outstanding
|
||||||||||||||||
(in thousands)
|
10,858
|
10,821
|
|
|
Six Months Ended
|
||
EBITDA and FIFO EBITDA:
|
|
September 27, 2014
|
|
September 28, 2013
|
|
|
(In thousands)
|
||
|
||||
Net (loss) earnings
|
$
|
(685)
|
$
|
7,950
|
Income tax (benefit) expense
|
|
169
|
|
(754)
|
Interest expense, net of interest income
|
|
2,486
|
|
3,375
|
Depreciation and amortization
|
|
11,142
|
|
11,679
|
Interest amortization
|
|
(149)
|
|
(150)
|
EBITDA
|
|
12,963
|
|
22,100
|
LIFO charge (credit)
|
|
5,570
|
|
14,435
|
FIFO EBITDA
|
$
|
18,533
|
$
|
36,535
|
|
general economic and business conditions;
|
|
cost and availability of commodities and other raw materials such as vegetables, steel and packaging materials;
|
|
transportation costs;
|
|
climate and weather affecting growing conditions and crop yields;
|
|
availability of financing;
|
|
leverage and the Company's ability to service and reduce its debt;
|
|
foreign currency exchange and interest rate fluctuations;
|
|
effectiveness of the Company's marketing and trade promotion programs;
|
|
changing consumer preferences;
|
|
competition;
|
|
product liability claims;
|
|
the loss of significant customers or a substantial reduction in orders from these customers;
|
|
changes in, or the failure or inability to comply with, United States, foreign and local governmental regulations, including environmental and health and safety regulations; and
|
|
other risks detailed from time to time in the reports filed by the Company with the SEC.
|
Seneca Foods Corporation
|
||||||||||||||||
Unaudited Condensed Consolidated Statements of Net Earnings
|
||||||||||||||||
For the Periods Ended September 27, 2014 and September 28, 2013
|
||||||||||||||||
(In thousands of dollars, except share data)
|
|
||||||||||||||||
|
Quarter
|
Year-to-Date
|
||||||||||||||
|
Fiscal 2015
|
Fiscal 2014
|
Fiscal 2015
|
Fiscal 2014
|
||||||||||||
|
||||||||||||||||
Net sales
|
$
|
312,161
|
$
|
336,628
|
$
|
552,204
|
$
|
568,755
|
||||||||
|
||||||||||||||||
Plant restructuring expense (note 2)
|
$
|
-
|
$
|
347
|
$
|
-
|
$
|
501
|
||||||||
|
||||||||||||||||
Other operating (loss) income net (note 3)
|
$
|
(85
|
)
|
$
|
(607
|
)
|
$
|
194
|
$
|
(788
|
)
|
|||||
|
||||||||||||||||
Operating income (note 1)
|
$
|
686
|
$
|
6,783
|
$
|
1,684
|
$
|
10,571
|
||||||||
(Loss) earnings from equity investment
|
80
|
-
|
(286
|
)
|
-
|
|||||||||||
Interest expense, net
|
1,417
|
1,548
|
|
2,486
|
|
3,375
|
||||||||||
(Loss) earnings before income taxes
|
$
|
(811
|
)
|
$
|
5,235
|
$ |
(516
|
)
|
$ |
7,196
|
||||||
|
||||||||||||||||
Income taxes (benefit) expense
|
(233
|
)
|
(1,368
|
)
|
169
|
(754
|
)
|
|||||||||
|
||||||||||||||||
Net (loss) earnings
|
$
|
(578
|
)
|
$
|
6,603
|
$
|
(685
|
)
|
$
|
7,950
|
||||||
|
||||||||||||||||
(Loss) earnings attributable to common stock (note 4)
|
$
|
(576
|
)
|
$
|
6,387
|
$
|
(684
|
)
|
$
|
7,685
|
||||||
|
||||||||||||||||
Basic (loss) earnings per share
|
$
|
(0.05
|
)
|
$
|
0.59
|
$
|
(0.06
|
)
|
$
|
0.71
|
||||||
|
||||||||||||||||
Diluted (loss) earnings per share
|
$
|
(0.05
|
)
|
$
|
0.59
|
$
|
(0.06
|
)
|
$
|
0.71
|
||||||
|
||||||||||||||||
Weighted average shares outstanding basic
|
10,773,646
|
10,747,729
|
10,787,129
|
10,750,166
|
||||||||||||
|
||||||||||||||||
Weighted average shares outstanding diluted
|
10,845,566
|
10,819,217
|
10,858,331
|
10,821,604
|
||||||||||||
|
||||||||||||||||
Note 1: The effect of the LIFO inventory valuation method on second quarter pre-tax results was to decrease operating earnings by $5,919,000 for
|
||||||||||||||||
the three month period ended September 27, 2014 and decrease operating earnings by $8,637,000 for the three month period ended September
|
||||||||||||||||
28, 2013. The effect of the LIFO inventory valuation method on year-to-date pre-tax results was to decrease operating earnings by
|
||||||||||||||||
$5,570,000 for the six month period ended September 27, 2014 and decrease operating earnings by $14,435,000 for the six month period
|
||||||||||||||||
ended September 28, 2013.
|
||||||||||||||||
Note 2: The six month period ended September 28, 2013 included a restructuring charge for product rationalization costs of $501,000.
|
||||||||||||||||
Note 3: Other loss for the current year of $194,000 represents a $250,000 charge related to environmental accrual and net gain on the sale of
|
||||||||||||||||
unused fixed assets of $56,000.
|
||||||||||||||||
Other income for the prior year of $788,000 represents a net gain on the sale of unused fixed assets of $869,000 partially offset by a
|
||||||||||||||||
loss of $81,000 to adjust the bargain purchase gain on the Sunnyside acquisition.
|
||||||||||||||||
Note 4: The Company uses the "two-class" method for basic earnings per share by dividing the earnings attributable to common shareholders
|
||||||||||||||||
by the weighted average of common shares outstanding during the period. The diluted earnings per share includes the effect of
|
||||||||||||||||
convertible shares for each period presented. Common and participating shares totaled 10,945,541 as of September 27, 2014.
|
||||||||||||||||
########
|