Reddy Ice Reports Fourth Quarter and Full Year 2009 ResultsFont size: A | A | A7:30 AM ET 2/19/10 | PR Newswire
Reddy Ice Holdings, Inc. (NYSE: FRZ) today reported financial results for the fourth quarter and full year ended December 31, 2009.
Revenues for the fourth quarter of 2009 were $54.7 million, compared to $57.9 million in the same quarter of 2008. The Company's net loss was $2.0 million in the fourth quarter of 2009, compared to a net loss of $9.8 million in the same period of 2008. Net loss per share was $0.09 in the fourth quarter of 2009 compared to a net loss per share of $0.44 in the same period of 2008. Included in the fourth quarter 2009 results are a $5.0 million insurance recovery, net of costs, related to the ongoing antitrust investigations and related litigation and a $0.6 million net gain realized in connection with an acquisition. Included in the fourth quarter 2008 results were $3.6 million of costs related to the antitrust investigations and related litigation.
Adjusted EBITDA, defined as earnings before interest, taxes, depreciation and amortization, and the effects of certain other items was $1.9 million in the fourth quarter of 2009 versus $2.0 million in the same period of 2008. Available Cash for the fourth quarter of 2009 was negative $3.4 million compared to negative $2.1 million in the same period of 2008. A discussion regarding the presentation of Adjusted EBITDA and Available Cash in this press release, including reconciliations of Adjusted EBITDA to EBITDA and net income (loss) and the calculation of Available Cash, is set forth below in the section titled, "SUPPLEMENTAL DISCLOSURE REGARDING NON-GAAP FINANCIAL INFORMATION."
"Our fourth quarter results continued to be adversely impacted by general economic conditions and unfavorable weather patterns," commented Chairman of the Board, Chief Executive Officer and President Gilbert M. Cassagne. "However, we are continuing to pursue growth and efficiency opportunities and expect those efforts to contribute to our results in 2010."
Revenues for the full year of 2009 were $312.3 million, compared to $329.3 million in 2008. The Company's net income was $4.2 million for the full year 2009, compared to a net loss of $120.4 million in 2008. Diluted net income per share was $0.19 for the full year 2009, compared to a net loss per share of $5.47 in 2008. Included in the full year 2009 results are a $0.9 million insurance recovery, net of costs, related to the ongoing antitrust investigations and related litigation and a $0.6 million net gain realized in connection with an acquisition. Included in the results for the full year 2008 are a gain of $17.0 million related to the termination of the merger agreement between the Company and affiliates of GSO Capital Partners LP ("GSO") on January 31, 2008, a gain of $1.0 million related to the settlement of a property insurance claim, $15.5 million of costs related to the ongoing antitrust investigations and related civil litigation, $0.8 million of costs related to the GSO transaction and the related stockholder litigation and a non-cash charge of $149.9 million related to the impairment of assets in the third quarter. The non-cash asset impairment charge is comprised primarily of $149.7 million reduction in the value of the Company's goodwill recognized in the three months ended September 30, 2008. The evaluation of the Company's goodwill and resulting write-down was triggered by the decline in the Company's stock price during the three months ended September 30, 2008.
Adjusted EBITDA was $65.8 million for the full year of 2009 versus $68.5 million in 2008. Available Cash for the full year of 2009 was $28.7 million compared to $50.8 million in 2008.
In the fourth quarter of 2009, one acquisition was completed with an aggregate acquisition cost of approximately $1.1 million. Annual revenues and Adjusted EBITDA associated with this acquisition were approximately $1.7 million and $0.4 million, respectively. The Company continues to evaluate acquisition opportunities as part of its ongoing acquisition strategy.
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