Remy International, Inc. Announces 2009 Results

PENDLETON, Ind., April 19 /PRNewswire/ -- Remy International, Inc., a leading worldwide manufacturer, remanufacturer, and distributor of heavy duty systems, starters and alternators, locomotive products and hybrid/electric motors, announced today its operating results for 2009.  Sales for the year were $910.7 million compared to $1,100.8 million a year earlier.  Earnings before interest, taxes, depreciation, amortization, and restructuring charges (EBITDAR) for the year was $121.2 million compared to $103.5 million in 2008.  Gross profit less SG&A was $88.2 million in 2009 compared to $74.7 million in 2008. Net income attributable to Remy International for the year was $10.8 million, compared to 2008's net loss of $5.8 million.

Remy's 2009 EBITDAR included a non-cash gain from GM relating to their bankruptcy and associated liabilities, and a one-time product sale in our aftermarket business.  Without these one-time events, EBITDAR would have been $102.6 million for 2009 versus $103.5 million for 2008.  Remy is forecasting EBITDAR for 2010 in the range of $120.0 million to $130.0 million.

"2009 was a challenging year with a sudden and dramatic decline in Original Equipment (OE) light duty and heavy duty sales midway through the year," stated John Weber, Remy International President and Chief Executive Officer.

"We experienced encouraging improvement in OE sales as the year progressed, and are seeing improved OE sales continue into the first part of 2010.  Remy Power Product sales in 2009 benefited from our strong and increasing position with retailers, in addition to winning select new Warehouse Distributor (WD) customers.

"I am confident the Remy team will build on the successful results of 2009, responding to improving markets, while maintaining our cost discipline.  Simultaneously we are making significant investments in our Hybrid motor technology, where our market and technology leadership is reinforced by the steady rhythm of new customer agreements. Those customers are recognizing the value we can bring to their applications, speeding their development and delivering world class performance.  We have over a billion miles of on the road proven reliability with our Hybrid products. 

"In 2009 Remy met all financial covenant requirements. We made significant improvements in cash flow and working capital which drove improvement in our liquidity. In 2010 we expect to have more than sufficient liquidity to meet our needs and also to exceed all financial covenants.  Working capital will continue to be a focus for the company in 2010."

This press announcement contains forecasts, projections, expectations, or opportunities regarding Remy that are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995 (Forward-looking statements in this announcement include projected EBITDAR for 2010 and the availability and ability to meet debt covenants in 2010). Such forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from anticipated results, including, but not limited to, future financial results and liquidity, development of new products and services, the effect of competitive products or pricing, the effect of commodity and raw material prices, the impact of supply chain cost management initiatives, restructuring risks, customs duty claims, litigation uncertainties and warranty claims, conditions in the automotive industry, foreign currency fluctuations, costs related to re-sourcing and outsourcing products, the effect of economic conditions, and other factors identified in Remy International statements (Remy International disclaims any intent or obligation to update these forward-looking statements). 

A copy of the 2009 Financial Report is available on the Remy International Website at http://www.remyinc.com under Investor Relations.

Web site: http://www.remyinc.com

SOURCE Remy International, Inc.