VANCOUVER, June 14, 2011 /PRNewswire/ - Polaris Minerals Corporation (TSX: PLS) today reported financial results for the quarter ended March 31, 2011. All financial results are in US dollars unless otherwise noted. These are the first accounts the company has issued since transitioning to the International Financial Reporting Standards (IFRS).
The net loss attributable to shareholders was $3.7 million ($0.07 loss per share) in the quarter compared with a net loss of $6.0 million ($0.11 loss per share) in the comparative quarter last year. Sales of $3.7 million in the first quarter were 24% less than the $4.9 million recorded last year principally due to a 20% decrease in sales volume to 300,000 tons compared with 376,000 tons in 2010. This reduction in sales simply reflected that in this winter quarter the Company had ordered one less 80,000 ton shipment than in the prior year. At March 31, 2011, the Company had cash on hand of $2.6 million. The planned disposal of a non‐core asset is now expected to close before the end of June with net proceeds of $2.3 million.
Herb Wilson, President and CEO, commented: "This was the winter quarter which is always the slowest in the year and we had planned a conservative number of shipments for California. We were, however, delighted to find that our customers' requirements during this period exceeded the committed shipping capacity, resulting in terminal inventory levels at the end of the quarter that were the lowest since we began full operations. We are currently anticipating that demand for Orca quarry products in northern California this year will be of the order of 25-40% higher than in 2010, reflecting the commencement of major new infrastructure projects. We are therefore adding an appropriate number of shipments over the remainder of this year. Demand in our other markets remains relatively unchanged as this economic recession drags on."
He continued: "The Company's liquidity is a vital focus and we plan to realize capital from the disposal of any non-core assets, the first of which will soon be completed, to meet short term needs. This action is in recognition of the fact that, although negotiations continue for the sale of the Pier B freehold land in Long Beach, progress has been much slower than anticipated. The transition to IFRS required substantial additional work throughout the quarter and the results are clearly explained in the financial statements."
This summary should be read in conjunction with the Company's March 31, 2011, Consolidated Financial Statements and Management's Discussion and Analysis, both of which are available on www.sedar.com as well as the Company's website, www.polarmin.com.
Conference Call The Company will host a conference call on Wednesday June 15, 2011 at 11:00 am Pacific Standard Time. Details to access the call live are as follows:
- Via telephone by calling 888‐231‐8191 in North America or 647‐427‐7450 internationally
- Via webcast at: http://www.newswire.ca/en/webcast/viewEvent.cgi?eventID=3572140
The webcast will be archived for 90 days following the call at the above noted link. The conference call will also be recorded and available for replay at 2:00 pm PST and will be available until June 29, 2011. To access the replay, dial 1-800-642-1687 or 416-849-0833 and use access code 75352923 to hear the recording.
Polaris Minerals Corporation is exclusively focused on the development of quarries and the production of construction aggregates in British Columbia for marine transport to urban markets on the Pacific coasts of North America to meet growing local supply deficits. In 2007, Polaris began shipping sand and gravel from the Orca Quarry to San Francisco Bay, Vancouver and Hawaii.
This press release contains "forward-looking statements" and "forward-looking information" within the meaning of applicable securities laws. These statements and information appear in this document and include estimates, forecasts, information and statements as to management's expectations with respect to, among other things the future financial or operating performance of the Company, costs and timing of the development of the construction aggregate quarry, the timing and amount of estimated future production, costs of production, capital and operating expenditures, requirements for additional capital, government regulation of quarrying operations, environmental risks, reclamation expenses, and title disputes. Often, but not always, forward-looking statements and information can be identified by the use of words such as "may", "will", "should", "plans", "expects", "intends", "anticipates", "believes", "budget", and "scheduled" or the negative thereof or variations thereon or similar terminology. Forward‐looking statements and information are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Readers are cautioned that any such forward‐looking statements and information are not guarantees and there can be no assurance that such statements and information will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed under the heading "Risks and Uncertainties" in the Company's Annual Report and under the heading "Risk Factors" in the Company's Annual Information Form (AIF) in respect of its financial year-ended December 31, 2009, both of which are filed with Canadian regulators on SEDAR (www.sedar.com). The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements and information whether as a result of new information, future events or otherwise. All written and oral forward-looking statements and information attributable to us or persons acting on our behalf are expressly qualified in their entirety by the foregoing cautionary statements.
SOURCE Polaris Minerals Corporation