FOR IMMEDIATE RELEASE
For Further Information:
Howard N. Feist
Chief Financial Officer
AMERICAN BILTRITE REPORTS 2009 RESULTS
WELLESLEY HILLS, MA, MARCH 11, 2010 - American Biltrite Inc. (NYSE Amex: ABL) reported its results for 2009 today. Net sales for the year ended December 31, 2009 were $307.9 million, down 17.9% from $375.1 million for 2008. The net loss attributable to American Biltrite for the year ended December 31, 2009 was $12.2 million or $3.55 per share (basic and diluted) compared with a net loss attributable to American Biltrite of $29.1 million or $8.44 per share (basic and diluted) for 2008.
American Biltrite’s consolidated results include the results of its 55% owned subsidiary Congoleum Corporation, which is in Chapter 11 bankruptcy reorganization proceedings. Congoleum comprises American Biltrite's Flooring products segment. Under the terms of the pending proposed plan of reorganization for Congoleum, American Biltrite's ownership interest in Congoleum would be eliminated. Accordingly, American Biltrite believes its financial results excluding Congoleum to be a more meaningful presentation to investors.
Excluding the results of Congoleum, American Biltrite’s net sales for the year ended December 31, 2009 were $173.0 million, down 14.5% from $202.4 million for 2008, and the net loss attributable to American Biltrite for the year ended December 31, 2009 was $3.9 million compared with a net loss attributable to American Biltrite of $14.5 million for 2008. The 2008 loss included a $12.9 million non-cash impairment charge to write down the value of intangible assets of the jewelry segment and the Company’s investment in its Central American operation (Hulera Sula).
Roger S. Marcus, Chairman of the Board, commented, "Each of our divisions faced significant challenges in 2009, as evidenced by the sales decline from 2008 to 2009. We took steps early in 2009 to lower the breakeven point of all our operations and to generate cash. I am pleased to report that our second half performance improved considerably over the first half of 2009 thanks to the steps we took to reduce costs, coupled with increased sales from a combination of new business and seasonal factors.”
“In the first half of 2009, our net loss (excluding results of Congoleum) was $4.9 million. In the second half, excluding results of Congoleum, we were profitable, with $1.0 million in net income. In addition, during 2009 we generated $15.2 million in net cash from operations after capital expenditures, enabling us to reduce our debt by half, and we finished the year with $12 million unused borrowing capacity available under our credit line.”
The following information was filed by American Biltrite Inc (ABLT) on Tuesday, March 16, 2010 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.