Business
Algoma Central Corporation - Operating Results For the Three and Six Months Ended June 30, 2009 and 2008
ALC-T TORONTO, Aug. 5 /CNW/ - ALGOMA CENTRAL CORPORATION
About this update from Algoma Central Corporation
[{"type":"text","content":"\n\n\n\nALC-T\n\n\nTORONTO, Aug. 5 /CNW/ -\n\n\n ALGOMA CENTRAL CORPORATION\n\n Operating Results\n For the Three and Six Months Ended June 30, 2009 and 2008\n\n (In thousand of dollars except per share data)\n\n Three Months Ended Six Months Ended\n June 30 June 30\n 2009 2008 2009 2008\n\nRevenue $ 141,199 $ 196,969 $ 201,634 $ 265,676\n\nNet earnings (loss) $ 13,509 $ 14,196 $ (4,944) $ 5,925\n\nEarnings (loss) per share $ 3.47 $ 3.65 $ (1.27) $ 1.52\n\nDividends paid per\n common share $ 0.45 $ 0.35 $ 0.90 $ 0.80\n\nSecond Quarter Results\n\n\nThe Corporation is reporting net earnings for the three months ended June\n30, 2009 of $13,509 compared to $14,196 for the same period in 2008.\n\n\nThe decrease in net earnings for the quarter ended June 30, 2009 of $687\nwhen compared to the same prior year period was due primarily to a decrease in\noperating earnings net of income tax of the Domestic Dry-Bulk segment which\nwas partially offset with the improvements in operating earnings net of income\ntax of the Product Tanker and Ocean Shipping segments and net foreign exchange\ngains.\n\n\nThe Domestic Dry-Bulk segment's operating earnings net of income tax\ndecreased by $7,847 due to significantly fewer operating days as a result of\nthe current economic conditions and higher spending on repairs and\nmaintenance.\n\n\nThe Product Tankers segment operating earnings net of income tax\nincreased by $4,005 due to reduced repair and maintenance costs in 2009 when\ncompared to 2008 as a result of a regulatory dry-docking in 2008 and the\naddition of the two new product tankers, the Algonova and AlgoCanada, in late\n2008.\n\n\nThe Ocean Shipping segment operating earnings net of income tax increased\nby $1,581 due to lower earnings in the 2008 second quarter because of higher\ncosts for regulatory dry-dockings. There were two planned regulatory\ndry-dockings in each period.\n\n\nNet foreign exchange gains on the translation of foreign denominated\nassets and liabilities were higher in the second quarter of 2009 by $3,581 due\nmainly to the translation of foreign-denominated net liabilities from the\nstrengthening of the Canadian dollar against the U.S. dollar. In the second\nquarter of 2008 the Corporation incurred net foreign exchange losses due\nmainly to the translation to Canadian dollars of Euro denominated short-term\ncash deposi...