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FORDGT - sounds like any price to you is a good price to buy in at. What happened last week?? thought is was supposed to explode?
LOAD UP ON THIS ONE BROTHERS IT'S GOING TO EXPLODE.....CHECH THE NEWSSS!!!!!!!!!!!!! .15 CENTS IS A STEAL..
GOT MORE THIS MORNING.... NEXT STOP .50 CENTS....
R.H. Donnelley Announces Continued Discussions With Its Bondholders and Agent Banks
May 13, 2009 4:31:00 PM
Email Story Discuss on ZenoBank
View Additional Profiles- Company seeking forbearance relating to interest payment default on one series of senior unsecured notes
CARY, N.C., May 13 /PRNewswire-FirstCall/ -- R.H. Donnelley, one of the nation's leading consumer and business-to-business local commercial search companies, today said it is continuing discussions with ad hoc steering committees representing its bondholders and bank lenders about a potential debt restructuring plan. In connection with such discussions, the company is seeking forbearance from certain of its bondholders and bank lenders with respect to the consequences of the expiration of the 30-day grace period relating to a $55 million interest payment on one series of the company's senior unsecured notes. The relevant interest payment was due April 15, 2009 and the 30-day grace period for such payment expires on May 15, 2009. Expiration of the 30-day grace period without making the interest payment would constitute an event of default under that series of notes and could potentially constitute an event of default under other debt obligations of the company or its subsidiaries. While the company currently expects to obtain forbearance agreements from certain of its bondholders and the requisite bank lenders under the company's and its subsidiaries' applicable debt agreements, it can give no assurances that it will be successful in doing so or as to the scope and breadth of any such forbearance agreement obtained.
While the company remains optimistic that it will be successful in its discussions with the ad hoc steering committees, there can be no guarantee of that outcome.
The company will have no further comment at this time about this matter beyond what is contained in this press release.
About R.H. Donnelley
R.H. Donnelley Corporation (OTC: RHDC) is one of the nation's leading consumer and business-to-business local commercial search companies. The company delivers relevant search results for consumers and leads to small- and medium-sized businesses through its Dex-branded print yellow and white pages directories, Internet yellow pages site, mobile and voice search platforms as well as one of the largest pay-per-click ad networks in the U.S. It also operates the nation's leading business search engine and online directory through its Business.com subsidiary. For more information, visit www.rhd.com and www.dexknows.com.
Safe Harbor Provision
Certain statements contained in this press release regarding R.H. Donnelley's future operating results or performance or business plans or prospects and any other statements not constituting historical fact are "forward-looking statements" subject to the safe harbor created by the Private Securities Litigation Reform Act of 1995. Where possible, the words "believe," "expect," "anticipate," "intend," "should," "will," "would," "planned," "estimated," "potential," "goal," "outlook," "may," "predicts," "could," or the negative of such terms, or other comparable expressions, as they relate to R.H. Donnelley or its management, have been used to identify such forward-looking statements. All forward-looking statements reflect only R.H. Donnelley's current beliefs and assumptions with respect to future business plans, prospects, decisions and results, and are based on information currently available to R.H. Donnelley. Accordingly, the statements are subject to significant risks, uncertainties and contingencies, which could cause R.H. Donnelley's actual operating results, performance or business plans or prospects to differ materially from those expressed in, or implied by, these statements.
Factors that could cause actual results to differ materially from current expectations include risks and other factors described in R.H. Donnelley's publicly available reports filed with the SEC, which contain a discussion of various factors that may affect R.H. Donnelley's business or financial results. Such risks and other factors, which in some instances are beyond R.H. Donnelley's control, include: our ability to generate sufficient cash to service our significant debt levels; our ability to comply with or obtain modifications or waivers of the financial covenants contained in our debt agreements, and the potential impact to operations and liquidity as a result of restrictive covenants in such debt agreements; our ability to refinance or restructure our debt on reasonable terms and conditions as might be necessary from time to time, particularly in light of the continuing instability in the global credit markets; increasing LIBOR rates; changes in directory advertising spend and consumer usage; regulatory and judicial rulings; competition and other economic conditions; changes in the Company's and the Company's subsidiaries credit ratings; changes in accounting standards; adverse results from litigation, governmental investigations or tax related proceedings or audits; the effect of labor strikes, lock-outs and negotiations; successful integration and realization of the expected benefits of acquisitions; the continued enforceability of the commercial agreements with Qwest, Embarq and AT&T; our reliance on third-party vendors for various services; and other events beyond our control that may result in unexpected adverse operating results. R.H. Donnelley is not responsible for updating the information contained in this press release beyond the published date, or for changes made to this document by wire services or Internet service providers.
SOURCE R.H. Donnelley
----------------------------------------------
Tyler Gronbach of R.H. Donnelley
+1-919-297-1541
tyler.gronbach@rhd.com
R.H. Donnelley Announces Continued Discussions With Its Bondholders and Agent Banks
* On Wednesday May 13, 2009, 4:31 pm EDT
CARY, N.C., May 13 /PRNewswire-FirstCall/ -- R.H. Donnelley, one of the nation's leading consumer and business-to-business local commercial search companies, today said it is continuing discussions with ad hoc steering committees representing its bondholders and bank lenders about a potential debt restructuring plan. In connection with such discussions, the company is seeking forbearance from certain of its bondholders and bank lenders with respect to the consequences of the expiration of the 30-day grace period relating to a $55 million interest payment on one series of the company's senior unsecured notes. The relevant interest payment was due April 15, 2009 and the 30-day grace period for such payment expires on May 15, 2009. Expiration of the 30-day grace period without making the interest payment would constitute an event of default under that series of notes and could potentially constitute an event of default under other debt obligations of the company or its subsidiaries. While the company currently expects to obtain forbearance agreements from certain of its bondholders and the requisite bank lenders under the company's and its subsidiaries' applicable debt agreements, it can give no assurances that it will be successful in doing so or as to the scope and breadth of any such forbearance agreement obtained.
While the company remains optimistic that it will be successful in its discussions with the ad hoc steering committees, there can be no guarantee of that outcome.
The company will have no further comment at this time about this matter beyond what is contained in this press release.
WE ARE READY TO FLY... gOOD NEWS SHOULD COME THIS WEEK... I CONTINUE TO ADD... .18 IS A FAIR RISK .... A GOOD BUY PRICE..
Awesome, an emailer will go out tonight with all the DD posts from the weekend :)
I agree that there are probably a few more years of profitable viability left. Seems like they should try and migrate to online. They could probably save more money by not printing as many books and also increase advertising revenue.
Nice board! Added it to my favs.
The loss in revenue seems to be similar to predictions made by Idearc on there Verizon Directory. The market share may be getting smaller but the phone book still has a few years of profitable viability left IMO.
Good Morning aquaspin!
You should go over to this new board that I started that may be of interest to you to help get the word out.
It is called the WHY BUY board.
http://investorshub.advfn.com/boards/board.aspx?board_id=13166
I do evening email alerts from that board so I invite everyone here to sign up for the email list there.
I would be happy to include this stock in any (and every) of my evening emails if someone comes over to the board and posts an all inclusive DD post about why to buy. I include whatever DD posts that were posted on the board within the last 24 hours.
You can get those emails for free by clicking this ihub link.
http://investorshub.advfn.com/boards/chairmail_sub.asp?board_id=13166
I also send out rumors that I am hearing by email too.
I hope someone will come over and post an all inclusive DD compilation so that I can shoot it out in the next email!
i see it made a run to .33 on march 31st but i dont see when it ran up to .42
I'm concerned that the advertising revenue continues to decline double digits. On the other hand, though, its good to see that the company continues to try and pay down their debt.
R.H. Donnelley Reports First Quarter 2009 Results
May 7, 2009 7:30:00 AM
Email Story Discuss on ZenoBank
View Additional Profiles- Net Revenue of $602 Million
- Adjusted EBITDA of $320 Million
CARY, N.C., May 7 /PRNewswire-FirstCall/ -- R.H. Donnelley Corporation, one of the nation's leading consumer and business-to-business local commercial search companies, today reported first quarter 2009 net revenue of $602 million, representing an 11 percent decline from first quarter 2008. Adjusted EBITDA(1) in the quarter was $320 million, down $37 million or 10 percent from first quarter 2008. Adjusted free cash flow in the quarter was $66 million - based on cash flow from operations of $56 million, capital expenditures of $4 million and $14 million of other adjustments that primarily relate to restructuring - down from $92 million in first quarter 2008. First quarter advertising sales were $598 million, down 17 percent from advertising sales in the first quarter 2008. Net loss was $401 million in the quarter, compared to a net loss of $1,623 million in first quarter 2008. Net debt during the quarter decreased by $61 million, resulting in quarter-end net debt outstanding of $9,344 million, excluding the purchase accounting fair value adjustment. As of March 31, 2009, the cash balance was $533 million.
(Logo: http://www.newscom.com/cgi-bin/prnh/20060731/NYM044LOGO)
"Results continue to be impacted by the recession and its effect on small- and medium-sized businesses and consumer spending," said David C. Swanson, chairman and CEO of R.H. Donnelley. "Our efforts to improve efficiency and eliminate non-mission critical costs helped to protect EBITDA and generated over $30 million of year-over-year cost savings."
Swanson continued, "As we previously announced, we are working to better position R.H. Donnelley for the future by establishing a more sustainable capital structure. We continue to discuss options for amending, refinancing or restructuring our debt obligations with our creditors."
During the first quarter, the Company underwent an ownership change as defined in Section 382 of the Internal Revenue Code. As a result, the Company believes it will be restricted in its ability to use some of its net operating losses and other corporate tax attributes in the future. The financials in the attached schedules contain the Company's best estimate of the impact related to the ownership change based on analysis performed to date; however, the analysis is not yet complete and there could be material changes in subsequent periods. As a result, deferred tax liability at quarter-end and deferred tax expense in the first quarter were each $375 million higher than they otherwise would have been. Such ownership change does not constitute a change in control under any of the Company's debt agreements.
Further important information regarding operating results and related reconciliations of non-GAAP financial measures to the most comparable GAAP measures can be found in the schedules and related footnotes of this press release, which should be thoroughly reviewed. Advertising sales is a statistical measure and consists of sales of advertising in print directories distributed during the period and Internet-based products and services with respect to which such advertising first appeared publicly during the period. It is important to distinguish advertising sales from net revenues, which is recognized under the deferral and amortization method.
Helping Local Small- and Medium-Sized Businesses Reach More Customers
R.H. Donnelley's integrated Dex(R) product solutions extend the marketing reach of local businesses. Through its unique Dex(R) Advantage, customers' business information is leveraged and marketed through a single profile, and efficiently distributed via a variety of local search products. Dex ensures advertisers' business content and messages are found wherever, whenever and however consumers choose to search. The Dex Advantage spans multiple media platforms for local advertisers including print with the Dex(R) directories; online and mobile devices with DexKnows.com; voice-activated directory search at 1-800-Call-Dex; and leading search engines and other online sites via Dex Net.
About R.H. Donnelley
R.H. Donnelley Corporation (OTC: RHDC) is one of the nation's leading consumer and business-to-business local commercial search companies. The company delivers relevant search results for consumers and leads to small- and medium-sized businesses through its Dex-branded print yellow and white pages directories, Internet yellow pages site, mobile and voice search platforms as well as one of the largest pay-per-click ad networks in the U.S. It also operates the nation's leading business search engine and online directory through its Business.com subsidiary. For more information, visit www.rhd.com and www.dexknows.com.
Safe Harbor Provision
Certain statements contained in this press release regarding R.H. Donnelley's future operating results or performance or business plans or prospects and any other statements not constituting historical fact are "forward-looking statements" subject to the safe harbor created by the Private Securities Litigation Reform Act of 1995. Where possible, the words "believe," "expect," "anticipate," "intend," "should," "will," "would," "planned," "estimated," "potential," "goal," "outlook," "may," "predicts," "could," or the negative of such terms, or other comparable expressions, as they relate to R.H. Donnelley or its management, have been used to identify such forward-looking statements. All forward-looking statements reflect only R.H. Donnelley's current beliefs and assumptions with respect to future business plans, prospects, decisions and results, and are based on information currently available to R.H. Donnelley. Accordingly, the statements are subject to significant risks, uncertainties and contingencies, which could cause R.H. Donnelley's actual operating results, performance or business plans or prospects to differ materially from those expressed in, or implied by, these statements.
Factors that could cause actual results to differ materially from current expectations include risks and other factors described in R.H. Donnelley's publicly available reports filed with the SEC, which contain a discussion of various factors that may affect R.H. Donnelley's business or financial results. Such risks and other factors, which in some instances are beyond R.H. Donnelley's control, include: our ability to generate sufficient cash to service our significant debt levels; our ability to comply with or obtain modifications or waivers of the financial covenants contained in our debt agreements, and the potential impact to operations and liquidity as a result of restrictive covenants in such debt agreements; our ability to refinance or restructure our debt on reasonable terms and conditions as might be necessary from time to time, particularly in light of the continuing instability in the global credit markets; increasing LIBOR rates; changes in directory advertising spend and consumer usage; regulatory and judicial rulings; competition and other economic conditions; changes in the Company's and the Company's subsidiaries credit ratings; changes in accounting standards; adverse results from litigation, governmental investigations or tax related proceedings or audits; the effect of labor strikes, lock-outs and negotiations; successful integration and realization of the expected benefits of acquisitions; the continued enforceability of the commercial agreements with Qwest, Embarq and AT&T; our reliance on third-party vendors for various services; and other events beyond our control that may result in unexpected adverse operating results. R.H. Donnelley is not responsible for updating the information contained in this press release beyond the published date, or for changes made to this document by wire services or Internet service providers. This press release is being furnished to the SEC through a Form 8-K. The Company's 2009 quarterly report on Form 10-Q for the period ended March 31, 2009 to be filed with the SEC may contain updates to the information included in this release.
(1) Before the following expenses: (a) restructuring, (b) FAS 123 R and
(c) restricted stock units related to the Business.com acquisition.
(See attached tables)
R.H. DONNELLEY CORPORATION Schedule 1
INDEX OF SCHEDULES
------------------
Schedule 1: Index of Schedules
Schedule 2: Unaudited Condensed Consolidated Statements of
Operations for the three months ended March 31,
2009 and 2008
Schedule 3: Unaudited Condensed Consolidated Balance
Sheets at March 31, 2009 and December 31, 2008
Schedule 4: Unaudited Condensed Consolidated Statements of
Cash Flows for the three months ended March 31,
2009 and 2008
Schedule 5: Reconciliation of Non-GAAP Measures
Schedule 6: Statistical Measure - Advertising Sales
Schedule 7: Notes to Unaudited Condensed Consolidated Financial
Statements and Non-GAAP Measures
------------------------------------------------------------------------
Note: These schedules are preliminary and subject to change pending the
Company's filing of its Form 10-Q.
------------------------------------------------------------------------
R.H. DONNELLEY CORPORATION
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
----------------------------------------------------------
Schedule 2
Amounts in millions, except loss per share
------------------
Three Months Ended
March 31,
------------------
2009 2008
-------------- ---- ----
Net revenue (1) $602.0 $674.7
Expenses 295.6 330.4
Depreciation and amortization 142.8 118.3
Impairment charges (2) - 2,463.6
----- -------
Operating income (loss) 163.6 (2,237.6)
Interest expense, net (198.8) (195.9)
------ ------
Pre-tax loss (35.2) (2,433.5)
Tax (provision) benefit (366.0) 810.4
------ -----
Net loss $(401.2) $(1,623.1)
======= =========
Loss per share (EPS):
Basic and Diluted $(5.83) $(23.60)
Shares used in computing EPS:
Basic and Diluted 68.8 68.8
See accompanying Notes to Unaudited Condensed Consolidated
Financial Statements and Non-GAAP Measures - Schedule 7.
------------------------------------------------------------
Note: These schedules are preliminary and subject to change
pending the Company's filing of its Form 10-Q.
------------------------------------------------------------
R.H. DONNELLEY CORPORATION Schedule 3
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
-----------------------------------------------
Amounts in millions
------------------- --------- ------------
March 31, December 31,
2009 2008
---- ----
Assets
Cash and cash equivalents $533.3 $131.2
Accounts receivable, net 998.6 1,027.0
Deferred directory costs 163.2 164.3
Other current assets 166.8 193.0
----- -----
Total current assets 1,861.9 1,515.5
Fixed assets and computer software, net 178.4 188.7
Intangible assets, net 9,880.9 10,009.3
Other non-current assets 154.4 167.2
----- -----
Total Assets $12,075.6 $11,880.7
========= =========
Liabilities and Shareholders' Deficit
Accounts payable and accrued liabilities $180.7 $216.1
Accrued interest 175.6 181.1
Deferred directory revenue 1,034.0 1,076.3
Current portion of long-term debt 408.6 113.6
----- -----
Total current liabilities 1,798.9 1,587.1
Long-term debt 9,550.0 9,508.7
Deferred income taxes, net 1,366.1 998.1
Other non-current liabilities 250.9 280.2
----- -----
Total liabilities 12,965.9 12,374.1
Shareholders' deficit (890.3) (493.4)
------ ------
Total Liabilities and Shareholders' Deficit $12,075.6 $11,880.7
========= =========
See accompanying Notes to Unaudited Condensed Consolidated Financial
Statements and Non-GAAP Measures - Schedule 7.
--------------------------------------------------------------------
Note: These schedules are preliminary and subject to change pending
the Company's filing of its Form 10-Q.
--------------------------------------------------------------------
R.H. DONNELLEY CORPORATION
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS Schedule 4
---------------------------------------------------------
Amounts in millions
-------------------
Three Months Ended
March 31,
-------------------
Operating activities: 2009 2008
---- ----
Net loss $(401.2) $(1,623.1)
Impairment charges (2) - 2,463.6
Depreciation and amortization 142.8 118.3
Deferred income taxes 366.7 (812.1)
Changes in working capital (55.6) (49.1)
Other 3.4 2.3
--- ---
Net cash provided by operating activities 56.1 99.9
Investment activities:
Additions to fixed assets and computer software (3.9) (10.1)
Equity investment disposition - 4.3
--- ---
Net cash used in investing activities (3.9) (5.8)
Financing activities:
Credit facilities repayments (22.0) (91.4)
Revolver repayments - (232.4)
Borrowings under the Revolver 361.0 215.3
Repurchase of common stock - (6.1)
Increase in checks not yet presented for payment 10.9 4.2
Proceeds from employee stock option exercises - 0.1
----- ------
Net cash provided by (used in) financing activities 349.9 (110.3)
Increase (decrease) in cash and cash equivalents 402.1 (16.2)
Cash and cash equivalents, beginning of period 131.2 46.1
------ -----
Cash and cash equivalents, end of period $533.3 $29.9
====== =====
See accompanying Notes to Unaudited Condensed Consolidated Financial Statements and Non-GAAP Measures - Schedule 7.
------------------------------------------------------------------------
Note: These schedules are preliminary and subject to change pending the Company's filing of its Form 10-Q.
------------------------------------------------------------------------
R.H. DONNELLEY CORPORATION
RECONCILIATION OF NON-GAAP MEASURES Schedule 5a
------------------------------------
(unaudited)
Amounts in millions
------------------
Three Months Ended
March 31,
------------------
2009 2008
---- ----
Reconciliation of net loss - GAAP to EBITDA and
Adjusted EBITDA (3)
Net loss - GAAP $(401.2) $(1,623.1)
Plus (less) tax provision (benefit) 366.0 (810.4)
Plus interest expense, net 198.8 195.9
Plus depreciation and amortization 142.8 118.3
----- -----
EBITDA $306.4 $(2,119.3)
------ ---------
Impairment charges (2) - 2,463.6
SFAS No. 123 R non-cash compensation expense 4.0 10.8
Restricted stock unit expense related to the
Business.com acquisition 0.2 2.0
Restructuring costs 9.1 -
------ ------
Adjusted EBITDA $319.7 $357.1
====== ======
See accompanying Notes to Unaudited Condensed Consolidated Financial Statements and Non-GAAP Measures - Schedule 7.
------------------------------------------------------------------------
Note: These schedules are preliminary and subject to change pending the Company's filing of its Form 10-Q.
------------------------------------------------------------------------
R.H. DONNELLEY CORPORATION Schedule 5b
RECONCILIATION OF NON-GAAP MEASURES (cont'd)
--------------------------------------------
(unaudited)
Amounts in millions
----------------------------
Three Months Ended March 31,
----------------------------
2009 2008
---- ----
Reconciliation of cash flow
from operations - GAAP to
adjusted free cash flow
Cash flow from operations - GAAP $56.1 $99.9
Add: Cash restructuring payments 13.9 -
Add: Cash restricted stock unit
payments related to the
Business.com acquisition 0.2 2.4
--- ---
Adjusted cash flow from operations 70.2 102.3
Less: Additions to fixed assets and
computer software - GAAP 3.9 10.1
--- ----
Adjusted free cash flow $66.3 $92.2
===== =====
----------------------------
Three Months Ended March 31,
----------------------------
2009 2008
---- ----
Reconciliation of interest
expense - GAAP to adjusted
interest expense (4)
Interest expense - GAAP $198.8 $195.9
Plus: Amortization of fair
value adjustment due to
purchase accounting 4.7 4.3
--- ---
Adjusted interest expense $203.5 $200.2
====== ======
----- -----
As of As of
----- -----
March 31, 2009 December 31, 2008
-------------- -----------------
Reconciliation of debt - GAAP to net
debt and net debt -excluding fair
value adjustment (4) (5)
Debt - GAAP $9,958.6 $9,622.3
Less: Cash and cash equivalents (533.3) (131.2)
------ ------
Net debt 9,425.3 9,491.1
Less: Fair value adjustment due to
purchase accounting (81.5) (86.2)
----- -----
Net debt - excluding fair value
adjustment $9,343.8 $9,404.9
======== ========
See accompanying Notes to Unaudited Condensed Consolidated Financial
Statements and Non-GAAP Measures - Schedule 7.
------------------------------------------------------------------------
Note: These schedules are preliminary and subject to change pending the
Company's filing of its Form 10-Q.
------------------------------------------------------------------------
R.H. DONNELLEY CORPORATION Schedule 6
STATISTICAL MEASURE
CALCULATION OF ADVERTISING SALES PERCENTAGE CHANGE OVER PRIOR YEAR PERIODS
--------------------------------------------------------------------------
(unaudited)
Amounts in millions, except percentages
--------------------------------------- ------------------
Three Months Ended
------------------
March 31 December 31 September 30 June 30
-------- ----------- ------------ -------
2009 Advertising sales (6) $598.1
2008 Advertising sales
disclosed in 2008 Form
10-K and Forms 10-Q 717.6 $618.4 $503.6 $678.4
2007 Advertising sales
disclosed in 2007 Form
10-K and Forms 10-Q - 700.3 541.6 729.0
Pro forma adjustments
related to Business.com
Acquisition - - - 14.2
Adjustments primarily
related to changes in
publication dates 1.0 0.1 7.7 (1.2)
--- --- --- ----
2008 Pro forma advertising
sales $718.6
2007 Pro forma advertising
sales $700.4 $549.3 $742.0
----- ----- ---- ----
Pro forma advertising
sales percentage change
over prior year periods (16.8%) (11.7%) (8.3%) (8.6%)
===== ===== ==== ====
See accompanying Notes to Unaudited Condensed Consolidated Financial
Statements and Non-GAAP Measures - Schedule 7.
------------------------------------------------------------------------
Note: These schedules are preliminary and subject to change pending the
Company's filing of its Form 10-Q.
------------------------------------------------------------------------
R.H. DONNELLEY CORPORATION Schedule 7
NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
--------------------------------------------------------------
AND NON-GAAP MEASURES
---------------------
(1) Our advertising revenues are earned primarily from the sale of
advertising in yellow pages directories that we publish. Revenue from
the sale of such advertising is deferred when a directory is
published, net of estimated sales claims, and recognized ratably over
the life of a directory, which is typically 12 months. Advertising
revenues also include revenues for Internet-based advertising
products, including our proprietary local search site, dexknows.com,
and Dex Net. Revenues with respect to our Internet-based advertising
products that are sold with print advertising are initially deferred
until the service is delivered or fulfilled and recognized ratably
over the life of the contract. Revenues with respect to Internet-
based services that are not sold with print advertising are
recognized as delivered or fulfilled.
(2) As a result of the decline in the trading value of our debt and
equity securities in the first quarter of 2008 and continuing
negative industry and economic trends that directly affected our
business, we performed impairment tests of our goodwill, definite
lived intangible assets and other long-lived assets as of March 31,
2008 in accordance with SFAS No. 142, Goodwill and Other Intangible
Assets ("SFAS No. 142") and SFAS No. 144, Accounting for the
Impairment or Disposal of Long-Lived Assets ("SFAS No. 144"),
respectively. Based upon our testing results, we recognized a non-
cash goodwill impairment charge of $2.5 billion during the three
months ended March 31, 2008. Given the ongoing global credit and
liquidity crisis and the significant negative impact on financial
markets and the overall economy, the continued decline in our
advertising sales and other operating results, downward revisions to
our forecasted results, the recent downgrade of certain of our credit
ratings and the continued decline in the trading value of our debt
securities, we performed impairment tests of our definite-lived
intangible assets and other long-lived assets in accordance with
SFAS No. 144 as of March 31, 2009. Our testing results of our
definite-lived intangible assets and other long-lived assets indicated
no impairment as of March 31, 2009.
(3) EBITDA and Adjusted EBITDA are not measurements of operating
performance computed in accordance with GAAP and should not be
considered as a substitute for net loss prepared in conformity with
GAAP. In addition, EBITDA may not be comparable to similarly titled
measures of other companies. Adjusted EBITDA is determined by
adjusting EBITDA for items such as (i) impairment charges, (ii)
stock-based compensation in accordance with SFAS No. 123 (R), Share-
Based Payment, (iii) restricted stock unit expense related to the
Business.com Acquisition and (iv) restructuring costs.
(4) As a result of purchase accounting, RHD was required to adjust the
carrying value of Dex Media's debt at January 31, 2006 to its fair
value. Adjusted interest expense eliminates the interest benefit
resulting from the amortization of the fair value adjustment to Dex
Media's debt.
(5) Net debt represents total debt less cash and cash equivalents on the
respective date. Net debt - excluding fair value adjustments
represents net debt adjusted to remove the remaining fair value
purchase accounting adjustment of Dex Media's debt noted in footnote
4 above.
(6) Advertising sales is a statistical measure and consists of sales of
advertising in print directories distributed during the period and
Internet-based products and services with respect to which such
advertising first appeared publicly during the period. It is
important to distinguish advertising sales from net revenue, which
is recognized under the deferral and amortization method. 2007 pro
forma advertising sales assumes the Business.com Acquisition occurred
on January 1, 2007.
Note: These schedules are preliminary and subject to change pending the
Company's filing of its Form 10-Q.
SOURCE R.H. Donnelley Corporation
----------------------------------------------
Investors
James M. Gruskin
1-800-497-6329
or Media
Tyler D. Gronbach
+1-919-297-1541
both for R.H. Donnelley Corporation
Only about 15 days to .50 cents look at the insider buying and the recent run up to .42 cents ... This is a very EZ read..
Are you still holding ..... Who knows we may make enough money here to buy the Cubs... We only need about 900 million ... Should be a piece of cake.. .50 cents is just days away..
Don't sweat the small suff... These guys know what they are doing .... From .08 to .33 ..... now the retrace to .12 and now the next leg up.... I have got a boat load now .... next stop will be .50.... http://stockcharts.com/h-sc/ui?s=RHDC&p=D&yr=0&mn=0&dy=28&id=p23437852999
Hopefully the company doesn't default on their bonds:
US CREDIT-RH Donnelley debt talks may be getting serious
Fri Apr 17, 2009 4:39pm EDT
By Karen Brettell
NEW YORK, April 17 (Reuters) - Yellow-pages publisher R.H.
Donnelley Corp's (RHDC.PK) decision not to make an interest
payment due on its bonds this week is likely a negotiating
tactic to show debtholders the company is serious about
restructuring its debt load, analysts say.
The company said on Wednesday it elected to exercise a
30-day grace period to make $55 million in interest due on its
bonds, adding that it continues to have discussions with
bondholders and bank lenders.
In its March earnings statement, R.H. Donnelley announced
plans to initiate discussions with its lenders about amending,
refinancing or debt restructuring.
The missed coupon "appears aimed at focusing the minds of
its noteholders on restructuring its debt," CreditSights
analyst Jake Newman said in a report.
"The company's body language makes us believe the company
wants to achieve a sustainable capital structure that will not
need further restructurings," he added.
R.H. Donnelley's debt totaled $9.4 billion as of the end of
2008, with around $1.4 billion coming due in 2010. Around a
third of its total debt is bank loans and about $1.4 billion of
the loans mature in 2010 and 2011.
"R.H. Donnelley's refinancing risks will be extraordinarily
high in 2010, and in the absence of a major debt restructuring,
the rate of its earnings decline will outpace attempts at
deleveraging," Thomas Ferguson, analyst at KDP Investment
Advisors said in a report.
"The risk of a bankruptcy or major restructuring has become
materially elevated," he said.
Credit default swaps insuring the company's debt are
trading at the deeply distressed level of around 92 percent
upfront, or $9.2 million to insure $10 million in debt for five
years, plus annual payments of $500,000, indicating strong
concerns over a near-term default.
The company's bonds traded on Friday at 6 cents on the
dollar, according to MarketAxess.
R.H. Donnelley has not publicly divulged specifics over
what it seeks to achieve in its debt negotiations and a
spokesman did not return a call for comment.
"If the company wants to achieve a restructuring that will
end all restructurings it seems to us the group could be in the
midst of a battle with its various bondholder constituencies,"
said CreditSights' Newman.
Different lenders including various groups of bondholders
and bank lenders often clash in a debt restructuring as they
seek to obtain the best value for the class of debt that they
hold.
"Management wants to achieve a more stable capital
structure going forward, we expect," Newman said. "That implies
debt relative to EBITDA and free cash flow that protects
creditors against cyclical declines and permits the company to
repay debt without having to refinance in the next few years."
R.H. Donnelley's earnings have suffered as revenue from
printed directories drops amid a shift to online search and
advertising.
Competitor Idearc Inc IDAR.PK filed for bankruptcy
protection last month and said it had agreed with its lenders
to reduce its total debt from around $9 billion to $3 billion
in secured bank loans. For details, see [ID:nN31427670]
CreditSights' Newman views the company as likely to want to
avoid restructuring its bank debt in a way that could
materially increase its interest expense, though a long term
restructuring will need to address the bank debt maturing in
2010 and 2011.
"A restructuring in- or out-of-court would not be
sustainable unless it addresses bank loans maturing in 2010 and
2011, we think," he said.
THIS IS THE LONG HOLD... NEXT STOP FOR THIS IS .50 ... THE BUY IF JUST SHOWED UP... up UPPPP http://americanbulls.com/StockPage.asp?CompanyTicker=RHDC&MarketTicker=OTC&TYP=S
Nice. Just keep playing the runs. :)
GOT MORE YESTERDAY AT .13 AND .14 I LOVE THIS STOCK ... GETTING A BIG POSITION NOW .. SHOULD BE ABLE TO RETIRE ON THIS STOCK ALONE...
--------------------------------------------------------------------------------
Seems to be on it's way back to .10
THIS IS THE BEST BUY IN THE MARKET... FROM .07 CENTS TO .25 NEXT LEG UP WILL BE .17 TO .50 CENTS..
Idearc files BK:
* Reaches agreement with lenders on elements of reorg plan
* Total debt to be cut to about $3 bln from about $9 bln
TORONTO, March 31 (Reuters) - U.S. telephone yellow-pages publisher Idearc Inc (IDAR.PK) filed for bankruptcy, as revenue for its printed directories business dwindled amid a shift to online search and advertising.
Idearc said on Tuesday that it filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code, and that it reached an agreement with lenders on some critical elements of a reorganization plan.
The company said that under the agreement with its lenders, its total debt will be reduced from around $9 billion to around $3 billion of secured bank debt, with a 12 percent interest rate and a 6-year term.
The company said it will not obtain debtor-in-possession (DIP) financing during the reorganization, and that it has substantial cash balances and generates positive cash flow.
"Essentially we have a company with good potential being held back by a terminally ill balance sheet," Chief Executive Scott Klein said in a statement.
Idearc said it expects to file a reorganization plan in around 30 days, and that it plans to operate business as usual throughout the restructuring process.
Upon emergence from bankruptcy, Idearc will have a cash balance of $150 million, it said. Lenders have agreed to continue funding its operations from Idearc's cash collateral balance of over $600 million, excluding $250 million of cash collateral that will be paid to the lenders as protection.
Idearc and rival R.H. Donnelley (RHDC.PK) had both announced earlier this month that they were undertaking restructuring efforts with bondholders as they grappled with debt and dwindling revenues.
Idearc was spun off from Verizon (VZ.N) in 2006. (Reporting by Ritsuko Ando; Editing by Tim Dobbyn)
From .10 to .30 cents and no one even knows we are alive... LOL
This is the silent runner.. Great hold don't shake out ...
R.H. Donnelley Reports Fourth Quarter and Full Year 2008 Results
Thursday March 12, 7:30 am ET
- Achieves Guidance for EBITDA and Free Cash Flow
- Retains Financial Advisor to Evaluate Capital Structure
CARY, N.C., March 12 /PRNewswire-FirstCall/ -- R.H. Donnelley Corporation, one of the nation's leading Yellow Pages and online local commercial search companies, today reported full year 2008 net revenues of $2,617 million, representing a 2 percent decline from the prior year. Adjusted EBITDA(1) in the year was $1,417 million, down $26 million or 2 percent from 2007. 2008 adjusted free cash flow was $510 million - based on cash flow from operations of $549 million, capital expenditures of $71 million and $32 million of other adjustments - down from $617 million in the prior year. Full year advertising sales were $2,518 million, down 8 percent from pro forma advertising sales for the prior year. Operating loss was $3,006 million in 2008. Excluding $3,870 million of impairment charges, operating income would have been $865 million in the year. Operating income in 2007 was $905 million. Net debt during 2008 decreased by $621 million, resulting in year-end net debt outstanding of $9,405 million, excluding the purchase accounting fair value adjustment.
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In the fourth quarter of 2008, net revenue declined 7 percent from the fourth quarter of the prior year to $630 million. Adjusted EBITDA(1) was $360 million, an increase of $8 million or 2 percent compared to fourth quarter 2007. Adjusted free cash flow during the quarter was $151 million compared to $208 million in the prior year period.
"During 2008, we took significant initiatives to address the challenging selling environment and advanced our strategic priorities," said David C. Swanson, chairman and CEO of R.H. Donnelley. "We dramatically improved our efficiency and eliminated non-essential operating costs, reducing headcount by 20% and achieving $100 million of cost savings. At the same time, we broadened and improved our Dex branded interactive local search solutions. We also completed a major, company-wide systems integration and upgrade project and reduced net debt by more than $600 million. These initiatives helped us to continue building a foundation for sustainable growth once the economy recovers."
Swanson continued, "Advertising sales declined 8 percent for the full year and 12 percent in the fourth quarter as trends weakened during the second half of the year. These disappointing results were primarily due to the impact that the recession had on small and medium sized businesses, including lower consumer spending, reduced liquidity and higher business failure rates. We continued to diversify advertisers into our online and mobile platforms in addition to our core print solutions, but could not overcome the extremely difficult economic conditions. Despite the challenging environment, our mission remains unchanged - to help local businesses grow. R.H. Donnelley continues to generate large volumes of ready-to-buy leads at an accessible price and attractive ROI for local advertisers. Our services will generate even more value as the market becomes more complex and fragmented."
During the fourth quarter, R.H. Donnelley recognized a $744 million non-cash, pre-tax impairment charge associated with its intangible assets that in large part reflects the decline in the market value of the Company's debt and equity securities and the impact that the overall economy has had on its operating results. Earlier in the year, the Company recorded $3.1 billion of non-cash, pre-tax charges associated with goodwill impairment to reflect the decline in the market value of the Company's debt and equity securities.
Further important information regarding operating results and related reconciliations of non-GAAP financial measures to the most comparable GAAP measures can be found in the schedules and related footnotes of this press release, which should be thoroughly reviewed. Advertising sales is a statistical measure and consists of sales of advertising in print directories distributed during the period and Internet-based products and services with respect to which such advertising first appeared publicly during the period. It is important to distinguish advertising sales from net revenues, which is recognized under the deferral and amortization method.
R.H. Donnelley is presently in the process of finalizing its 2008 year end income tax accounts, particularly as it relates to deferred income tax and net operating loss carryforwards. KPMG, the Company's independent registered public accounting firm, remains involved in finalizing its audit with respect to those income tax accounts. Because this analysis is not yet complete, the financial results provided in this release do not include tax related items and items affected by tax. The Company may need to file a Form 12b-25 with the SEC for an extension of the filing deadline with respect to its Form 10-K that the Company expects to file as soon as practicable and in any event by March 31, 2009.
Capital Structure
R.H. Donnelley has engaged Lazard as its financial advisor to assist in the evaluation of its capital structure, including various balance sheet restructuring alternatives.
"Our goal is to better position R.H. Donnelley for the future by establishing a more sustainable capital structure," said Steven M. Blondy, executive vice president and CFO. "We have significant debt maturities commencing in 2010 that we are working to address. Though we intended to refinance this debt prior to maturity, it may no longer be possible to do so given the current state of the capital markets. In the meantime, the company continues to generate robust EBITDA and has significant liquidity to meet all our financial and business obligations."
Blondy continued, "We plan to initiate discussions with our banks and bondholders about amending, refinancing or restructuring our debt obligations. Whichever path we choose to strengthen our balance sheet, R.H. Donnelley will continue to provide outstanding service and support to our customers, while also remaining committed to our employees and business partners. Our print and digital solutions continue to be the best way for local businesses to connect with ready-to-buy consumers, which should position R.H. Donnelley for healthy growth once the economy stabilizes."
As previously reported, R.H. Donnelley borrowed $361 million from the revolving credit facilities of three of its operating subsidiaries on February 17, 2009. The Company borrowed the cash in order to increase liquidity and financial flexibility given the continuing uncertainty in the global credit markets. As of February 28, 2009, the company had more than $500 million of cash and cash equivalents on hand.
Fourth Quarter and Full Year Conference Call
R.H. Donnelley will host a conference call to provide additional context regarding its performance in the fourth quarter and full year today at 10:00 a.m. (ET). Individuals within the United States can access the call by dialing 888-387-9606 - others should dial 517-645-6055. The pass code for the call is "RHD". Please dial into the call by 9:50 a.m. (ET) to ensure a prompt start time. The call will also be available through a Web cast, which can be accessed by visiting our Web site at www.rhd.com, clicking on "Investor Relations" and following the instructions provided. Those unable to participate at the scheduled time may access a recorded replay by dialing 866-382-4784, or for those outside of the United States, 203-369-0363. There is no pass code for the replay, which will be available through March 26, 2009. In addition, an archived version of the Web cast will be available on RHD's Web site for up to one year from the date of the call.
About R.H. Donnelley
R.H. Donnelley (OTC: RHDC - News) connects businesses and consumers through its portfolio of print and interactive marketing solutions. Small- and medium-sized businesses look to R.H. Donnelley's experienced team of marketing consultants to help them grow their companies and drive sales leads. Consumers depend on the Company's reliable, local business content to deliver the most relevant search results when they are seeking local goods and services. For more information, visit www.rhd.com and dexknows.com.
Helping Local Small and Medium Sized Businesses Reach More Customers
R.H. Donnelley's interactive offerings are essential to its Triple Play(TM) solution suite -- an integrated set of products and services that efficiently and effectively extend the marketing reach of local businesses. Spanning multiple media platforms -- print Yellow Pages directories, dexknows.com® search site and the major search engines (e.g., Yahoo!® and Google®) via the Company's Dex Search Network(TM) -- Triple Play delivers the advertisements of local businesses to a wider set of ready-to-buy consumers.
One of my favorites for some time ... Looking for .25 cents in the next two weeks... A lot of great deals in this market and RH DONNELLEY is one of the biggest and best.. http://stockcharts.com/h-sc/ui?s=RHDC&p=D&yr=0&mn=0&dy=28&id=p23437852999
Yikes!! This one's headin' to the lower bellows!!! Look out below!!! IMO
Idearc, RH Donnelley may seek bankruptcy-Moody's
Mon Feb 9, 2009 4:15pm EST
NEW YORK, Feb 9 (Reuters) - Moody's Investors Service on Monday warned that directory publishers R.H. Donnelley & Sons (RHDC.PK) and Idearc Inc (IDAR.PK) may be each likely to pursue a prepackaged bankruptcy or distressed debt exchange as they struggle to overcome high debt loads.
Moody's cut its R.H. Donnelley's corporate family rating to "Caa1," seven steps below investment grade and an extremely speculative rating, and cut the Cary, North Carolina-based company's probability of default rating to one step lower at "Caa2."
The corporate family rating of Idearc, the publisher of the Yellow Pages directories, was also cut two steps to "Caa2," eight levels below investment grade, and its probability of default rating was cut one step lower at "Caa3."
Both companies are suffering from a bigger drop in advertising revenues than was previously expected, Moody's said.
"Moody's had previously considered it likely that (R.H. Donnelley) would continue (but likely substantially expand) the scope of its recent debt repurchase activities to effect a reduced debt profile and improved credit metrics," Moody's said in a release.
However, "a pre-emptive restructuring now seems to be a more viable alternative given current market conditions, which are expected to facilitate a more expedient solution to alleviate the company's financial strain," Moody's said.
Prepackaged bankruptcies are filed when a company reaches an agreement with debtholders prior to filing for court protection.
Donnelley had $3.12 billion in long-term debt as of September 30, according to a regulatory filing.
The downgrade of Idearc also reflects an expectation that the company will need to put into effect a comprehensive restructuring.
Additionally, the downgrade "reflects our view that Idearc may experience declines in its advertising sales at a far greater pace than we had previously contemplated, reducing its free cash flow and increasing the likelihood that the company will fail to comply with its financial covenants over the near term," Moody's said.
Idearc had $8.93 billion in long-term debt as of September 30, a regulatory filing shows.
Credit default swaps insuring R.H. Donnelly and Idearc's debt against default are trading at extremely distressed levels, reflecting a view that a bankruptcy is highly likely.
R.H. Donnelley's credit default swaps cost 83 percent the sum insured upfront, or $8.3 million to insure $10 million in debt for five years, according to Markit Intraday.
Idearc's credit default swaps are also trading at 92.5 percent upfront, or $9.25 million to insure $10 million in debt, Markit data shows. (Reporting by Karen Brettell; Editing by Jonathan Oatis)
Last year the company reported on the whole previous year (2007) on Feb. 28, 2008. Last I heard they were paying down debt at a discount. They have had good cash flow in the past. If the company is "healthy" perhaps we'll get a better idea of what that means before the end of the month. Good news and this thing'll fly. all jmo.
It's going up? HAHA At least today!
THIS CHART IS A BEAUTIFUL THING...http://stockcharts.com/h-sc/ui?s=RHDC&p=D&yr=0&mn=0&dy=8&id=p28226512002
Folks, Yellow Pages are here to stay and much more valuable than Web Advertising.
I may be considered a traitor for posting this considering that I'm in the web advertising business and the co-founder of a web advertising company with a social networking twist based in the Bay Area. The name of my company is not important, however what is important is that you walk away from this understanding why the Yellow Pages always have and always will play an important role in advertising, much more so than the web. The key issues that everyone in the web advertising business has been trying to address and struggled with since its infancy is how to create a meaningful degree of relevance, community, and visibility for the advertiser and hence a reasonable ROI on their advertising dollars. Folks the ROI for web advertising just isn't there, at least not yet. For anyone who has ever bought online advertising, you know exactly what I'm talking about. The problem is clutter and massive amounts of it, which has been growing exponentially. That's not to say that online advertising is useless. Far from it. Craigslist for example is a great place for anyone to post a free Ad within a specific community and achieve visibility within that community for a short period of time. Of course, having a website to compliment your online ad also helps to make a compelling case to your audience about what you're offering, but more so as a background canvass than a direct method to produce sales. Then again, having a website (SEO friendly or not) is of no value, unless your customers are aware of your URL in the ever growing black hole called the world wide web. By the time you ad up the cost and time of designing, maintaining and hosting a website, making it SEO friendy, throwing money at AdWords or hoping that somehow your website will magically achieve high organic rankings amongst the search engines, Folks you're ROI from a local community yellow page ad will have produced real results. This is a fact of life and from someone in the online advertising business.
I HOPE WE BACK UP TO .30 IF WE DO I HAVE AN ORDER FOR 10,000 MORE SHARES.... I ALSO THINK THIS ONE IS FOR REAL...
Loving the move north this had made since the delisting. Reality is there is a monster short, wonder how high she can go?
Make that .32... Hope they're able to pay down their debt and we see this thing take back off north of $10.00. jmo
Good to see you here SP2023!
Thanks for the link! Its nice to see insiders are still picking up shares here. Its a good sign that this is way undervalued!
~ I bought .205's today.Oversold and primed to rebound high enough to really make out well on the trade.
GLTYA,
SP ~
Directors still loading shares...
see filings: http://phx.corporate-ir.net/phoenix.zhtml?c=74700&p=irol-SEC_RHDCorp
Unreal what a POS! Looking for a quote yesterday and when I couldnt get one I knew something shitty happened.
Feck!!!!!!!
This will not see .10 or below IMO. Many funds have already sold when this was trading on the NYSE. I think funds sold a lot of shares today as well so I don't think we will see any more major sell off days by funds. I had additional orders in to buy at .18 and .175 The .18 filled right before the close but the .175 didn't even get a partial fill. This is strange since the stock closed at .17 The bid and ask was .19 x .20 just before the close so I was surprised to see this close at .17. Look at IDAR.PK Its the same type of company that go delisted. It dropped big time when it got delisted just like RHDC did today. But on the next day the stock rebounded and still trades much higher than its low it reached when it was delisted from the NYSE.
http://finance.yahoo.com/echarts?s=IDAR.PK#chart1:symbol=idar.pk;range=3m;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined
RHDC.....
2,112,278 was for sale on the close option..$0.17 was the cross price and expect more tomorrow because there are many funds that must sell now that RHDC is delisted from NYSE.. Sub $0.10 could be an entry point that gives enough odds to own..hank
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08/05/09 http://biz.yahoo.com/e/090804/rhdc.pk10-q.html
R.H. Donnelley Wins Approval of 'First Day' Motions in Chapter 11 Restructuring | |||
05/29/2009 | 4:22PM | EDGAR (8-K) | - Current report filing |
05/29/2009 | 10:51AM | EDGAR (8-K) | - Current report filing |
About R.H. Donnelley
R.H. Donnelley Corporation (OTC: RHDC - News) is one of the nation's leading consumer and business-to-business local commercial search companies. The company delivers relevant search results for consumers and leads to small- and medium-sized businesses through its Dex-branded print yellow and white pages directories, Internet yellow pages
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