• Resources
  • Blog
  • Journalists
  • Log In
  • Sign Up
  • Data Privacy
  • Send a Release
Cision PR Newswire: news distribution, targeting and monitoring home
  • News
  • Products
  • Contact

 

When typing in this field, a list of search results will appear and be automatically updated as you type.

Searching for your content...

No results found. Please change your search terms and try again.
  • News in Focus
      • Browse News Releases

      • All News Releases
      • All Public Company
      • English-only
      • News Releases Overview

      • Multimedia Gallery

      • All Multimedia
      • All Photos
      • All Videos
      • Multimedia Gallery Overview

      • Trending Topics

      • All Trending Topics
  • Business & Money
      • Auto & Transportation

      • All Automotive & Transportation
      • Aerospace, Defense
      • Air Freight
      • Airlines & Aviation
      • Automotive
      • Maritime & Shipbuilding
      • Railroads and Intermodal Transportation
      • Supply Chain/Logistics
      • Transportation, Trucking & Railroad
      • Travel
      • Trucking and Road Transportation
      • Auto & Transportation Overview

      • View All Auto & Transportation

      • Business Technology

      • All Business Technology
      • Blockchain
      • Broadcast Tech
      • Computer & Electronics
      • Computer Hardware
      • Computer Software
      • Data Analytics
      • Electronic Commerce
      • Electronic Components
      • Electronic Design Automation
      • Financial Technology
      • High Tech Security
      • Internet Technology
      • Nanotechnology
      • Networks
      • Peripherals
      • Semiconductors
      • Business Technology Overview

      • View All Business Technology

      • Entertain­ment & Media

      • All Entertain­ment & Media
      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television
      • Entertain­ment & Media Overview

      • View All Entertain­ment & Media

      • Financial Services & Investing

      • All Financial Services & Investing
      • Accounting News & Issues
      • Acquisitions, Mergers and Takeovers
      • Banking & Financial Services
      • Bankruptcy
      • Bond & Stock Ratings
      • Conference Call Announcements
      • Contracts
      • Cryptocurrency
      • Dividends
      • Earnings
      • Earnings Forecasts & Projections
      • Financing Agreements
      • Insurance
      • Investments Opinions
      • Joint Ventures
      • Mutual Funds
      • Private Placement
      • Real Estate
      • Restructuring & Recapitalization
      • Sales Reports
      • Shareholder Activism
      • Shareholder Meetings
      • Stock Offering
      • Stock Split
      • Venture Capital
      • Financial Services & Investing Overview

      • View All Financial Services & Investing

      • General Business

      • All General Business
      • Awards
      • Commercial Real Estate
      • Corporate Expansion
      • Earnings
      • Environmental, Social and Governance (ESG)
      • Human Resource & Workforce Management
      • Licensing
      • New Products & Services
      • Obituaries
      • Outsourcing Businesses
      • Overseas Real Estate (non-US)
      • Personnel Announcements
      • Real Estate Transactions
      • Residential Real Estate
      • Small Business Services
      • Socially Responsible Investing
      • Surveys, Polls and Research
      • Trade Show News
      • General Business Overview

      • View All General Business

  • Science & Tech
      • Consumer Technology

      • All Consumer Technology
      • Artificial Intelligence
      • Blockchain
      • Cloud Computing/Internet of Things
      • Computer Electronics
      • Computer Hardware
      • Computer Software
      • Consumer Electronics
      • Cryptocurrency
      • Data Analytics
      • Electronic Commerce
      • Electronic Gaming
      • Financial Technology
      • Mobile Entertainment
      • Multimedia & Internet
      • Peripherals
      • Social Media
      • STEM (Science, Tech, Engineering, Math)
      • Supply Chain/Logistics
      • Wireless Communications
      • Consumer Technology Overview

      • View All Consumer Technology

      • Energy & Natural Resources

      • All Energy
      • Alternative Energies
      • Chemical
      • Electrical Utilities
      • Gas
      • General Manufacturing
      • Mining
      • Mining & Metals
      • Oil & Energy
      • Oil and Gas Discoveries
      • Utilities
      • Water Utilities
      • Energy & Natural Resources Overview

      • View All Energy & Natural Resources

      • Environ­ment

      • All Environ­ment
      • Conservation & Recycling
      • Environmental Issues
      • Environmental Policy
      • Environmental Products & Services
      • Green Technology
      • Natural Disasters
      • Environ­ment Overview

      • View All Environ­ment

      • Heavy Industry & Manufacturing

      • All Heavy Industry & Manufacturing
      • Aerospace & Defense
      • Agriculture
      • Chemical
      • Construction & Building
      • General Manufacturing
      • HVAC (Heating, Ventilation and Air-Conditioning)
      • Machinery
      • Machine Tools, Metalworking and Metallurgy
      • Mining
      • Mining & Metals
      • Paper, Forest Products & Containers
      • Precious Metals
      • Textiles
      • Tobacco
      • Heavy Industry & Manufacturing Overview

      • View All Heavy Industry & Manufacturing

      • Telecomm­unications

      • All Telecomm­unications
      • Carriers and Services
      • Mobile Entertainment
      • Networks
      • Peripherals
      • Telecommunications Equipment
      • Telecommunications Industry
      • VoIP (Voice over Internet Protocol)
      • Wireless Communications
      • Telecomm­unications Overview

      • View All Telecomm­unications

  • Lifestyle & Health
      • Consumer Products & Retail

      • All Consumer Products & Retail
      • Animals & Pets
      • Beers, Wines and Spirits
      • Beverages
      • Bridal Services
      • Cannabis
      • Cosmetics and Personal Care
      • Fashion
      • Food & Beverages
      • Furniture and Furnishings
      • Home Improvement
      • Household, Consumer & Cosmetics
      • Household Products
      • Jewelry
      • Non-Alcoholic Beverages
      • Office Products
      • Organic Food
      • Product Recalls
      • Restaurants
      • Retail
      • Supermarkets
      • Toys
      • Consumer Products & Retail Overview

      • View All Consumer Products & Retail

      • Entertain­ment & Media

      • All Entertain­ment & Media
      • Advertising
      • Art
      • Books
      • Entertainment
      • Film and Motion Picture
      • Magazines
      • Music
      • Publishing & Information Services
      • Radio & Podcast
      • Television
      • Entertain­ment & Media Overview

      • View All Entertain­ment & Media

      • Health

      • All Health
      • Biometrics
      • Biotechnology
      • Clinical Trials & Medical Discoveries
      • Dentistry
      • FDA Approval
      • Fitness/Wellness
      • Health Care & Hospitals
      • Health Insurance
      • Infection Control
      • International Medical Approval
      • Medical Equipment
      • Medical Pharmaceuticals
      • Mental Health
      • Pharmaceuticals
      • Supplementary Medicine
      • Health Overview

      • View All Health

      • Sports

      • All Sports
      • General Sports
      • Outdoors, Camping & Hiking
      • Sporting Events
      • Sports Equipment & Accessories
      • Sports Overview

      • View All Sports

      • Travel

      • All Travel
      • Amusement Parks and Tourist Attractions
      • Gambling & Casinos
      • Hotels and Resorts
      • Leisure & Tourism
      • Outdoors, Camping & Hiking
      • Passenger Aviation
      • Travel Industry
      • Travel Overview

      • View All Travel

  • Policy & Public Interest
      • Policy & Public Interest

      • All Policy & Public Interest
      • Advocacy Group Opinion
      • Animal Welfare
      • Congressional & Presidential Campaigns
      • Corporate Social Responsibility
      • Domestic Policy
      • Economic News, Trends, Analysis
      • Education
      • Environmental
      • European Government
      • FDA Approval
      • Federal and State Legislation
      • Federal Executive Branch & Agency
      • Foreign Policy & International Affairs
      • Homeland Security
      • Labor & Union
      • Legal Issues
      • Natural Disasters
      • Not For Profit
      • Patent Law
      • Public Safety
      • Trade Policy
      • U.S. State Policy
      • Policy & Public Interest Overview

      • View All Policy & Public Interest

  • People & Culture
      • People & Culture

      • All People & Culture
      • Aboriginal, First Nations & Native American
      • African American
      • Asian American
      • Children
      • Diversity, Equity & Inclusion
      • Hispanic
      • Lesbian, Gay & Bisexual
      • Men's Interest
      • People with Disabilities
      • Religion
      • Senior Citizens
      • Veterans
      • Women
      • People & Culture Overview

      • View All People & Culture

      • In-Language News

      • Arabic
      • español
      • português
      • Česko
      • Danmark
      • Deutschland
      • España
      • France
      • Italia
      • Nederland
      • Norge
      • Polska
      • Portugal
      • Россия
      • Slovensko
      • Suomi
      • Sverige
  • Overview
  • Distribution by PR Newswire
  • Cision Communications Cloud®
  • Cision IR
  • Sponsored Placement
  • All Products
  • General Inquiries
  • Request a Demo
  • Editorial Bureaus
  • Partnerships
  • Media Inquiries
  • Worldwide Offices
  • PR Newswire: news distribution, targeting and monitoring
  • Send a Release
    • ALL CONTACT INFO
    • Contact Us

      888-776-0942
      from 8 AM - 10 PM ET

  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR
  • News in Focus
    • Browse All News
    • Multimedia Gallery
    • Trending Topics
  • Business & Money
    • Auto & Transportation
    • Business Technology
    • Entertain­ment & Media
    • Financial Services & Investing
    • General Business
  • Science & Tech
    • Consumer Technology
    • Energy & Natural Resources
    • Environ­ment
    • Heavy Industry & Manufacturing
    • Telecomm­unications
  • Lifestyle & Health
    • Consumer Products & Retail
    • Entertain­ment & Media
    • Health
    • Sports
    • Travel
  • Policy & Public Interest
  • People & Culture
    • People & Culture
  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR
  • Overview
  • Distribution by PR Newswire
  • Cision Communications Cloud®
  • Cision IR
  • All Products
  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR
  • General Inquiries
  • Request a Demo
  • Editorial Bureaus
  • Partnerships
  • Media Inquiries
  • Worldwide Offices
  • Send a Release
  • Sign Up
  • Log In
  • Resources
  • Blog
  • Journalists
  • RSS
  • GDPR

Graham Packaging Announces Results for 2011 First Quarter


News provided by

Graham Packaging Company Inc.

Apr 28, 2011, 04:01 ET

Share this article

Share this article


YORK, Pa., April 28, 2011 /PRNewswire/ -- Graham Packaging Company Inc. (NYSE: GRM) today announced results for the first quarter ended March 31, 2011.

Highlights

  • Net sales increased to $756.5 million as compared to $585.6 million in the first quarter of 2010.
  • Operating income increased to $73.8 million as compared to $32.3 million in the first quarter of 2010.
  • Adjusted EBITDA(1) increased to $135.2 million from $115.6 million in the first quarter of 2010.  
  • Free Cash Flow (2) was $21.8 million for the first quarter of 2011.
  • The Company announced its commitment to acquire the assets of Techne – Technipack Engineering Italia S.r.l. ("Techne"), a manufacturer of blow molding machines, for total consideration of euro 8.8 million.
  • The Company reaffirms its Adjusted EBITDA guidance for 2011 of $583.0 million.

First Quarter 2011

Net sales improved to $756.5 million, an increase of $170.9 million over the first quarter of last year.  The acquisition of Liquid Container contributed $98.6 million to the increase, and the remainder was driven by an increase in resin costs (which are passed through to customers), higher volumes, and slightly favorable exchange rates.

Adjusted EBITDA increased to $135.2 million compared to $115.6 million in the first quarter of last year.  The increase was mainly due to the acquisition of Liquid Container and related synergies of approximately $3.0 million.  

"Our first quarter results are a terrific start to 2011," said CEO Mark Burgess.  "We achieved solid adjusted EBITDA growth despite headwinds associated with an inflating cost environment.  We were particularly successful in growing our Food and Beverage franchise in the quarter, and we remain pleased with our efforts and progress integrating Liquid Container. Finally, our intention to acquire the assets of Techne will enhance our proprietary machine technology platforms and enhance Graham's efforts to effectively expand internationally and in other adjacent markets."

By segment, sales in North America increased by $158.5 million, or 31.4%, due to the acquisition of Liquid Container, increases in resin costs mentioned above, higher volumes in the legacy business, and favorable exchange rates.  Sales in Europe improved by $0.7 million, or 1.2%, due primarily to higher resin costs but were offset by lower volumes.  Sales in South America increased by $6.2 million, or 27.7%, due to higher volumes, higher resin costs, and favorable exchange rates.  Sales in Asia Pacific were $5.5 million, reflecting our operation in China that was acquired in July 2010.

SG&A expenses decreased to $39.5 million, as compared to $67.5 million in the first quarter last year.  SG&A expenses last year included $39.0 million of expenses related to the Company's IPO.  This decrease was partially offset by acquisition integration expenses and the addition of Liquid Container's SG&A.

Operating income increased to $73.8 million from $32.3 million for the first quarter of last year. The increase was driven by the acquisition of Liquid Container, increased operating income in the legacy business due to volumes and lower SG&A expenses.

Net interest expense was $52.7 million, an increase of $7.4 million from the first quarter of last year, primarily due to the interest expense on the debt related to the acquisition of Liquid Container and the higher effective interest rate on the portion of our term loans which were extended in September 2011.

Net debt was $2,657.2 million, down $22.7 million from the beginning of the year.

2011 Outlook

For fiscal 2011, the Company reaffirms its Adjusted EBITDA expectation at $583.0 million.

Conference Call Information

The Company will hold a conference call to discuss first quarter 2011 results at 5:00 p.m. EDT this afternoon. The call will be web cast live over the Internet from the company's Web site at www.grahampackaging.com under "Investor Relations." Participants should follow the instructions provided on the Web site for downloading and installing the necessary audio applications. The conference call also is available by dialing 800-299-9086 (domestic) or 617-786-2903 (international) and entering passcode 21216957.

Following the live conference call, a replay will be available one hour after the call. The replay also will be available on the company's Web site or by dialing 888-286-8010 (domestic) or 617-801-6888 (international) and entering passcode 12563101. The telephonic replay will be available until May 5, 2011.

About Graham Packaging

Graham Packaging, based in York, Pennsylvania, is a worldwide leader in the design, manufacture and sale of technology-based, customized blow molded plastic containers for the branded food and beverage, household, personal care/specialty and automotive lubricants product categories. The Company has an extensive blue-chip customer base that includes many of the world's largest branded consumer products companies. It produces more than 20 billion container units annually at 97 plants in North America, Europe, South America and Asia.

Graham Packaging is a leading U.S. supplier of plastic containers for hot-fill juice and juice drinks, sports drinks, drinkable yogurt and smoothies, nutritional supplements, wide-mouth food, dressings, condiments and beers; the leading global supplier of plastic containers for yogurt drinks; a leading supplier of plastic containers for liquid fabric care products, dish care products and hard-surface cleaners; and the leading supplier in the U.S., Canada and Brazil of one-quart/liter plastic motor oil containers.

To learn more about Graham Packaging, please visit the Company's Web site at http://www.grahampackaging.com/. Graham Packaging uses its Web site as a channel of distribution for material Company information. Financial and other material information regarding Graham Packaging is routinely posted on the Company's Web site and is readily accessible.

Forward-Looking Statements

Information provided and statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act, Section 21E of the Exchange Act and the Private Securities Litigation Reform Act of 1995.  Such forward-looking statements only speak as of the date of this press release and Graham Packaging assumes no obligation to update the information included in this press release.  Such forward-looking statements include information concerning Graham Packaging's possible or assumed future results of operations.  These statements often include words such as "approximate," "believe," "expect," "anticipate," "outlook," "intend," "plan," "estimate," "guidance" or similar expressions.  These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about Graham Packaging's industry, management's beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond Graham Packaging's control.  Accordingly, readers are cautioned that any such forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict, including, without limitation, specific factors discussed herein and in other releases and public filings made by the Company (including the Company's filings with the Securities and Exchange Commission, more specifically the Risk Factors sections of the Company's Annual Report on Form 10-K and Quarterly Reports on Form 10-Q).  Although Graham Packaging believes that the expectations reflected in such forward-looking statements are reasonable as of the date made, expectations may prove to have been materially different from the results expressed or implied by such forward-looking statements.  Forward-looking statements only speak as of the date of this press release or the date they were made and, unless otherwise required by law, Graham Packaging disclaims any obligation to update its view of any such risks or uncertainties or to announce publicly the result of any revisions to the forward-looking statements made in this press release.

Adjusted EBITDA and free cash flow are not intended to represent, and should not be considered more meaningful than, or as an alternative to, net income (loss) and net cash provided by operating activities, respectively, in both cases as calculated in accordance with generally accepted accounting principles.  The Company believes that the presentation of adjusted EBITDA and free cash flow provides investors with useful analytical indicators of its performance. Additionally, the Company uses adjusted EBITDA and free cash flow as key internal metrics and two components, among several, of management incentive compensation.  Because not all companies use identical calculations, these presentations of adjusted EBITDA may not be comparable to other similarly titled measures of other companies.  A reconciliation of net income (loss) to adjusted EBITDA is as follows:

(1) Reconciliation of net income (loss) to EBITDA:




Three Months Ended


Four Quarters Ended





March 31,


March 31,





2011


2010


2011















(In millions)



Net income (loss)


$

8.1


$

(24.5)


$

94.4



Interest income



(0.2)



(0.1)



(0.7)



Interest expense



52.9



45.4



193.1



Income tax provision (benefit)



9.0



4.7



(46.4)



Depreciation and amortization



53.1



38.6



185.5















EBITDA


$

122.9


$

64.1


$

425.9




Reconciliation of EBITDA to adjusted EBITDA:




Three Months Ended


Four Quarters Ended





March 31,


March 31,





2011


2010


2011















(In millions)



EBITDA


$

122.9


$

64.1


$

425.9



Asset impairment charges



1.1



2.2



8.5



Increase in income tax receivable obligations



4.6



1.3



8.2



Other non-cash charges (a)



0.9



0.6



5.3



Fees related to monitoring agreements (b)



0.3



0.7



1.0



Net loss on debt extinguishment



—



2.7



28.5



Write-off of amounts in accumulated other comprehensive income related to interest rate swaps



—



—



7.0



Contract termination fee and IPO-related expenses (c)



—



39.0



0.6



Acquisition and integration expenses (d)



2.1



0.2



22.2



Transaction-related costs



1.2



—



1.2



Venezuelan hyper-inflationary accounting



(0.1)



2.7



(0.5)



Reorganization and other costs (e)



2.2



2.1



16.1



Adjusted EBITDA (f)


$

135.2


$

115.6


$

524.0

















(a)

Represents the net loss on disposal of fixed assets, stock-based compensation expense and equity income from unconsolidated subsidiaries.

(b)

Represents annual fees paid to Blackstone Management Partners III L.L.C., through the date of the Company's IPO, and a limited partner of Holdings pursuant to the Fifth Amended and Restated Limited Partnership Agreement, the Amended and Restated Monitoring Agreement and the Sixth Amended and Restated Limited Partnership Agreement.

(c)

Represents costs related to the termination of the Amended and Restated Monitoring Agreement, IPO bonus payments and other IPO-related costs.

(d)

Represents costs related to the acquisition and integration of Liquid Container, China Roots and other entities.

(e)

Represents costs recorded in the second half of 2010 related to a settlement to OnTech Operations, Inc. for claims against the Company, plant closures, employee severance and other costs defined in the senior secured credit agreement.

(f)

The Company uses adjusted EBITDA as one factor in the setting of incentive compensation.


(2) Reconciliation of cash flow from operations to free cash flow:




Three Months Ended

March 31,




2011


2010













(In millions)


Net cash provided by operating activities


$

55.1


$

16.6


Cash paid for property, plant and equipment



(38.2)



(37.7)


Acquisition and integration expenses



4.9



—


Contract termination fee and IPO-related expenses



—



39.0


Free cash flow


$

21.8


$

17.9












GRAHAM PACKAGING COMPANY INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)



March 31,

2011


December 31,

2010




(In thousands)


ASSETS








Current assets:








Cash and cash equivalents


$

171,987


$

152,964


Accounts receivable, net



308,114



216,368


Inventories



264,242



247,166


Deferred income taxes



33,158



14,616


Prepaid expenses and other current assets



42,451



42,363


Total current assets



819,952



673,477


Property, plant and equipment, net



1,207,464



1,203,142


Intangible assets, net



191,290



195,780


Goodwill



650,819



643,064


Other non-current assets



74,023



91,364


Total assets


$

2,943,548


$

2,806,827










LIABILITIES AND EQUITY (DEFICIT)








Current liabilities:








Current portion of long-term debt


$

34,563


$

34,007


Accounts payable



218,035



142,585


Accrued expenses and other current liabilities



211,649



196,432


Deferred revenue



42,630



32,471


Total current liabilities



506,877



405,495


Long-term debt



2,794,600



2,798,824


Deferred income taxes



36,544



32,428


Other non-current liabilities



106,979



100,804


Commitments and contingent liabilities








Equity (deficit):








    Graham Packaging Company Inc. stockholders' equity (deficit):








    Preferred stock, $0.01 par value, 100,000,000 shares authorized, 0 shares issued and outstanding



—



—


    Common stock, $0.01 par value, 500,000,000 shares authorized, shares issued and outstanding 65,692,799 and 63,311,512



657



633


    Additional paid-in capital



464,920



459,422


    Retained earnings (deficit)



(968,224)



(977,318)


    Notes and interest receivable for ownership interests



(4,938)



(4,838)


    Accumulated other comprehensive income (loss)



(7,572)



(22,508)


Graham Packaging Company Inc. stockholders' equity (deficit)



(515,157)



(544,609)


Noncontrolling interests



13,705



13,885


Equity (deficit)



(501,452)



(530,724)


Total liabilities and equity (deficit)


$

2,943,548


$

2,806,827



GRAHAM PACKAGING COMPANY INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)



Three Months Ended

March 31,




2011


2010




(In thousands, except share and per share data)


Net sales


$

756,497


$

585,576


Cost of goods sold



641,412



483,257


Gross profit



115,085



102,319


Selling, general and administrative expenses



39,500



67,528


Asset impairment charges



1,108



2,238


Net loss on disposal of property, plant and equipment



700



227


Operating income



73,777



32,326


Interest expense



52,929



45,384


Interest income



(193)



(119)


Net loss on debt extinguishment



—



2,664


Increase in income tax receivable obligations



4,574



1,300


Other (income) expense, net



(635)



2,862


Income (loss) before income taxes



17,102



(19,765)


Income tax provision



9,004



4,746


Net income (loss)



8,098



(24,511)


Net income (loss) attributable to noncontrolling interests



1,014



(2,290)


Net income (loss) attributable to Graham Packaging Company Inc. stockholders


$

7,084


$

(22,221)










Earnings per share:








Net income (loss) attributable to Graham Packaging Company Inc. stockholders per share:








Basic


$

0.11


$

(0.42)


Diluted


$

0.11


$

(0.42)


Weighted average shares outstanding:








Basic



65,283,076



52,951,056


Diluted



66,334,193



52,951,056











GRAHAM PACKAGING COMPANY INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)



Three Months Ended
March 31,




2011


2010






Operating activities:


(In thousands)


Net income (loss)


$

8,098


$

(24,511)


Adjustments to reconcile net income (loss) to net cash provided by operating activities:








Depreciation and amortization



53,032



38,573


Amortization of debt issuance fees



1,314



1,598


Accretion of senior unsecured notes



117



119


Net loss on debt extinguishment



—



2,664


Net loss on disposal of property, plant and equipment



700



227


Pension expense



748



790


Asset impairment charges



1,108



2,238


Unrealized (gain) loss on termination of cash flow hedge accounting



(3,202)



1,192


Stock compensation expense



246



361


Equity income from unconsolidated subsidiaries



(9)



(31)


Deferred tax provision



5,485



3,443


Increase in income tax receivable obligations



4,574



1,300


Foreign currency transaction (gain) loss



(465)



131


Interest receivable on loans to owners       



(100)



(31)


Changes in operating assets and liabilities



(16,516)



(11,445)


Net cash provided by operating activities



55,130



16,618


Investing activities:








Cash paid for property, plant and equipment



(38,206)



(37,724)


Proceeds from sale of property, plant and equipment



15



158


Net cash used in investing activities



(38,191)



(37,566)


Financing activities:








Proceeds from issuance of long-term debt



21,802



17,999


Payment of long-term debt



(26,062)



(214,211)


Debt issuance fees



(401)



(648)


Proceeds from the issuance of common stock, net of underwriting discount of $11.3 million



—



171,055


Payment of other expenses for the issuance of common stock



—



(4,541)


Proceeds from issuance of ownership interests



5,264



—


Net cash provided by (used in) financing activities



603



(30,346)


Effect of exchange rate changes on cash and cash equivalents



1,481



(1,134)


Increase (decrease) in cash and cash equivalents



19,023



(52,428)


Cash and cash equivalents at beginning of period



152,964



147,808


Cash and cash equivalents at end of period


$

171,987


$

95,380










Supplemental disclosures:








Cash paid for interest, net of amounts capitalized


$

35,781


$

29,493


Cash paid for income taxes (net of refunds)



3,389



4,678


Non-cash investing and financing activities:








Accruals for purchases of property, plant and equipment



14,012



8,173


Accruals for fees related to the initial public offering



—



254



.

The Company is organized and managed on a geographical basis in four operating segments:  North America, Europe, South America and Asia. The Company began accounting for its new Asian operations as a new operating segment as of July 1, 2010, with the acquisition of China Roots. Segment information for the three months ended March 31, 2011 and 2010, and as of March 31, 2011, and December 31, 2010, representing the reportable segments currently utilized by the chief operating decision makers, was as follows:







North
America



Europe



South
America



Asia



Eliminations



Total





























(In thousands)


Net sales


Three months ended March 31, 2011


$

663,976


$

58,978


$

28,604


$

5,485


$

(546)


$

756,497




Three months ended March 31, 2010



505,964



58,264



22,448



—



(1,100)



585,576
























Operating income (loss)


Three months ended March 31, 2011


$

69,150


$

6,936


$

(2,024)


$

(285)


$

—


$

73,777




Three months ended March 31, 2010



22,663



7,350



2,313



—



—



32,326
























Depreciation and


Three months ended March 31, 2011


$

44,921


$

3,923


$

3,734


$

454


$

—


$

53,032


amortization


Three months ended March 31, 2010



33,114



4,331



1,128



—



—



38,573
























Asset impairment charges


Three months ended March 31, 2011


$

732


$

376


$

—


$

—


$

—


$

1,108




Three months ended March 31, 2010



1,898



322



18



—



—



2,238
























Interest expense, net


Three months ended March 31, 2011


$

51,438


$

256


$

905


$

137


$

—


$

52,736




Three months ended March 31, 2010



44,469



332



464



—



—



45,265
























Other (income) expense, net


Three months ended March 31, 2011


$

(2,397)


$

1,885


$

(273)


$

150


$

—


$

(635)




Three months ended March 31, 2010



(1,343)



1,523



2,682



—



—



2,862
























Income tax provision (benefit)


Three months ended March 31, 2011


$

7,440


$

1,411


$

397


$

(244)


$

—


$

9,004




Three months ended March 31, 2010



3,178



1,334



234



—



—



4,746
























Identifiable assets  


As of  March 31, 2011


$

990,522


$

129,641


$

66,969


$

20,332


$

—


$

1,207,464




As of December 31, 2010



991,676



125,433



69,044



16,989



—



1,203,142
























Goodwill


As of March 31, 2011


$

633,002


$

16,344


$

7


$

1,466


$

—


$

650,819




As of December 31, 2010



626,156



15,449



7



1,452



—



643,064
























Cash paid for property,


Three months ended March 31, 2011


$

32,775


$

2,324


$

1,010


$

2,097


$

—


$

38,206


plant and equipment


Three months ended March 31, 2010



27,763



1,788



8,173



—



—



37,724

























Contact:
David Bullock
Chief Financial Officer
(717) 849-8500

Jeff Grossman
(717) 771-3220
[email protected]

SOURCE Graham Packaging Company Inc.

Modal title

Contact Cision

  • Cision Distribution 888-776-0942
    from 8 AM - 9 PM ET

  • Chat with an Expert
  • General Inquiries
  • Request a Demo
  • Editorial Bureaus
  • Partnerships
  • Media Inquiries
  • Worldwide Offices

Products

  • Cision Communication Cloud®
  • For Marketers
  • For Public Relations
  • For IR & Compliance
  • For Agency
  • For Small Business
  • All Products

About

  • About PR Newswire
  • About Cision
  • Become a Publishing Partner
  • Become a Channel Partner
  • Careers
  • COVID-19 Resources
  • Accessibility Statement
  • Asia
  • Brazil
  • Canada
  • Czech
  • Denmark
  • Finland
  • France
  • Germany
  • India
  • Israel
  • Italy
  • Mexico
  • Middle East
  • Middle East - Arabic
  • Netherlands
  • Norway
  • Poland
  • Portugal
  • Russia
  • Slovakia
  • Spain
  • Sweden
  • United Kingdom

My Services

  • All New Releases
  • Online Member Center
  • ProfNet

Contact Cision

Products

About

My Services
  • All News Releases
  • Online Member Center
  • ProfNet
Cision Distribution Helpline
888-776-0942
  • Terms of Use
  • Privacy Policy
  • Information Security Policy
  • Site Map
  • RSS
  • Cookie Settings
Copyright © 2023 Cision US Inc.