Wabash National Corporation Announces First Quarter Results

Apr 24, 2001, 01:00 ET from Wabash National Corporation

    LAFAYETTE, Ind., April 24 /PRNewswire Interactive News Release/ --
 Wabash National Corporation (NYSE:   WNC) announced today results for the first
 quarter ended March 31, 2001.  Net sales for the first quarter were
 $242.6 million, compared to $352.8 million for the same period last year.  Net
 loss for the quarter was $10.4 million before inventory and other nonrecurring
 charges of $7.3 million (after tax), compared to $9.1 million in net income
 for the same period last year.  Diluted earnings per share were ($.45) for the
 quarter before inventory and other nonrecurring charges of ($.34) compared to
 $.38 for the same period last year.
     Commenting on these results, Jerry Ehrlich, Chairman, President and Chief
 Executive Officer, stated, "The transportation market continued to be severely
 impacted by the reduced level of freight demand during the first quarter.  As
 previously announced, we have taken various actions to address this rapidly
 changing environment, including the restructuring of our international
 operations and the elimination of approximately 500 jobs.  While these actions
 had little affect on the first quarter, we believe these actions will reduce
 our costs by over $35 million annually, beginning in the second quarter.  In
 addition, due to the deterioration in the market conditions, we believe we
 must actively adjust our inventory levels to continue to reduce our total
 costs.  As a result, the Company will take an inventory charge on new and used
 trailers held for sale through our retail distribution network of
 approximately $9 million, pre-tax.  We believe these actions will accelerate
 the reduction of our retail stock inventories.  We have recently seen some
 signs of encouragement in industry conditions; therefore we are increasing our
 production rate of DuraPlate trailers to meet current demand.  However, we
 remain cautious and will continue to pursue opportunities to further reduce
 our costs.   Our backlog as of March 31, 2001 was approximately $550 million,
 which includes approximately $400 million for our proprietary DuraPlate(R)
 composite trailer."
     Wabash National Corporation designs, manufactures and markets standard and
 customized truck trailers under the Wabash and Fruehauf trademarks.  The
 Company believes it is the world's largest manufacturer of truck trailers, the
 leading manufacturer of composite trailers and through its RoadRailer(R)
 products, the leading manufacturer of bimodal vehicles.  The Company's wholly
 owned subsidiary, Fruehauf Trailer Services, Inc., is one of the leading
 retail distributors of new and used trailers and aftermarket parts, including
 its Fruehauf and Pro-Par(R) brand products with approximately 45 locations
 throughout the U.S. and Canada.
 
     This press release contains certain forward-looking statements, as defined
 by the Private Securities Litigation Reform Act of 1995.  These
 forward-looking statements include specifically the statements about expected
 future benefits from cost reductions and inventory charges taken and our
 outlook for industry conditions and current demand.  These statements are
 subject to certain risks and uncertainties that could cause actual results to
 differ materially from those implied by the forward looking statements.
 Without limitation, these risks and uncertainties include increased
 competition, dependence on key management, reliance on certain customers and
 corporate partnerships, shortages of raw materials, dependence on industry
 trends, export sales and new markets, acceptance of new technology and
 products, and government regulation.  Readers should review and consider the
 various disclosures made by the Company in this press release and in its
 reports to its stockholders and periodic reports on Forms 10-K and 10-Q.  We
 specifically disclaim any duty to update any forward-looking statements made
 herein, and the statements made herein speak only as the date of this release.
 
 
     WABASH NATIONAL CORPORATION
     RESULTS OF OPERATIONS
     (Dollars in Thousands, except per share amounts)
 
                                                         Three Months Ended
                                                               March  31,
                                                          2001          2000
 
     Net Sales                                       $   242,629   $   352,848
 
     Less:
       Cost of Sales                                 $   235,274   $   318,425
       Inventory Charge                              $     9,098   $        --
       S, G&A                                        $    16,168   $    13,140
       Interest Expense                              $     5,800   $     4,129
       Other (Income) Expense                        $     1,954   $     2,184
       Equity in Losses of Wholly-Owned Subsidiary   $     2,489   $        --
     Income (Loss) Before Taxes                      $   (28,154)  $    14,971
     Net Income (Loss)                               $   (17,730)  $     9,132
     Preferred Stock Dividends                       $       476   $       476
     Net Income (Loss) Available to
      Common Shareholders                            $   (18,206)  $     8,656
     Basic Earnings Per Share                        $     (0.79)  $      0.38
     Average Shares Outstanding                       23,002,000    22,985,000
     Diluted Earnings Per Share                      $     (0.79)  $      0.38
     Average Shares and
      Equivalents Outstanding                         23,002,000    23,808,000
 
     Results Before Inventory
      and Other Nonrecurring Charges:
 
     Income (Loss) Before Income Taxes              $    (16,567)  $    14,971
     Net Income (Loss)                              $    (10,437)  $     9,132
     Diluted Earnings per Share                     $      (0.45)  $      0.38
 
 
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SOURCE Wabash National Corporation
    LAFAYETTE, Ind., April 24 /PRNewswire Interactive News Release/ --
 Wabash National Corporation (NYSE:   WNC) announced today results for the first
 quarter ended March 31, 2001.  Net sales for the first quarter were
 $242.6 million, compared to $352.8 million for the same period last year.  Net
 loss for the quarter was $10.4 million before inventory and other nonrecurring
 charges of $7.3 million (after tax), compared to $9.1 million in net income
 for the same period last year.  Diluted earnings per share were ($.45) for the
 quarter before inventory and other nonrecurring charges of ($.34) compared to
 $.38 for the same period last year.
     Commenting on these results, Jerry Ehrlich, Chairman, President and Chief
 Executive Officer, stated, "The transportation market continued to be severely
 impacted by the reduced level of freight demand during the first quarter.  As
 previously announced, we have taken various actions to address this rapidly
 changing environment, including the restructuring of our international
 operations and the elimination of approximately 500 jobs.  While these actions
 had little affect on the first quarter, we believe these actions will reduce
 our costs by over $35 million annually, beginning in the second quarter.  In
 addition, due to the deterioration in the market conditions, we believe we
 must actively adjust our inventory levels to continue to reduce our total
 costs.  As a result, the Company will take an inventory charge on new and used
 trailers held for sale through our retail distribution network of
 approximately $9 million, pre-tax.  We believe these actions will accelerate
 the reduction of our retail stock inventories.  We have recently seen some
 signs of encouragement in industry conditions; therefore we are increasing our
 production rate of DuraPlate trailers to meet current demand.  However, we
 remain cautious and will continue to pursue opportunities to further reduce
 our costs.   Our backlog as of March 31, 2001 was approximately $550 million,
 which includes approximately $400 million for our proprietary DuraPlate(R)
 composite trailer."
     Wabash National Corporation designs, manufactures and markets standard and
 customized truck trailers under the Wabash and Fruehauf trademarks.  The
 Company believes it is the world's largest manufacturer of truck trailers, the
 leading manufacturer of composite trailers and through its RoadRailer(R)
 products, the leading manufacturer of bimodal vehicles.  The Company's wholly
 owned subsidiary, Fruehauf Trailer Services, Inc., is one of the leading
 retail distributors of new and used trailers and aftermarket parts, including
 its Fruehauf and Pro-Par(R) brand products with approximately 45 locations
 throughout the U.S. and Canada.
 
     This press release contains certain forward-looking statements, as defined
 by the Private Securities Litigation Reform Act of 1995.  These
 forward-looking statements include specifically the statements about expected
 future benefits from cost reductions and inventory charges taken and our
 outlook for industry conditions and current demand.  These statements are
 subject to certain risks and uncertainties that could cause actual results to
 differ materially from those implied by the forward looking statements.
 Without limitation, these risks and uncertainties include increased
 competition, dependence on key management, reliance on certain customers and
 corporate partnerships, shortages of raw materials, dependence on industry
 trends, export sales and new markets, acceptance of new technology and
 products, and government regulation.  Readers should review and consider the
 various disclosures made by the Company in this press release and in its
 reports to its stockholders and periodic reports on Forms 10-K and 10-Q.  We
 specifically disclaim any duty to update any forward-looking statements made
 herein, and the statements made herein speak only as the date of this release.
 
 
     WABASH NATIONAL CORPORATION
     RESULTS OF OPERATIONS
     (Dollars in Thousands, except per share amounts)
 
                                                         Three Months Ended
                                                               March  31,
                                                          2001          2000
 
     Net Sales                                       $   242,629   $   352,848
 
     Less:
       Cost of Sales                                 $   235,274   $   318,425
       Inventory Charge                              $     9,098   $        --
       S, G&A                                        $    16,168   $    13,140
       Interest Expense                              $     5,800   $     4,129
       Other (Income) Expense                        $     1,954   $     2,184
       Equity in Losses of Wholly-Owned Subsidiary   $     2,489   $        --
     Income (Loss) Before Taxes                      $   (28,154)  $    14,971
     Net Income (Loss)                               $   (17,730)  $     9,132
     Preferred Stock Dividends                       $       476   $       476
     Net Income (Loss) Available to
      Common Shareholders                            $   (18,206)  $     8,656
     Basic Earnings Per Share                        $     (0.79)  $      0.38
     Average Shares Outstanding                       23,002,000    22,985,000
     Diluted Earnings Per Share                      $     (0.79)  $      0.38
     Average Shares and
      Equivalents Outstanding                         23,002,000    23,808,000
 
     Results Before Inventory
      and Other Nonrecurring Charges:
 
     Income (Loss) Before Income Taxes              $    (16,567)  $    14,971
     Net Income (Loss)                              $    (10,437)  $     9,132
     Diluted Earnings per Share                     $      (0.45)  $      0.38
 
 
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 SOURCE  Wabash National Corporation