Business
Algoma Central Corporation - Operating Results For the Three and Twelve Months Ended December 31, 2009 and 2008
Algoma Central Corporation - Operating Results For the Three and Twelve Months Ended December 31,...
About this update from Algoma Central Corporation
[{"type":"text","content":"\n\n\n\nFeb. 17, 2010 (Canada NewsWire Group) -- TORONTO, Feb. 17 /CNW/ --(In thousand of dollars except per share data)Three Months Ended Twelve Months EndedDecember 31 December 312009 2008 2009 2008Revenue $167,059 $196,402 $520,147 $688,914Net earnings $ 23,169 $ 16,832 $ 38,845 $ 41,280Earnings per share $ 5.95 $ 4.33 $ 9.98 $ 10.61Dividends paid per commonshare $ 0.45 $ 0.45 $ 1.80 $ 1.70Fourth Quarter ResultsThe Corporation is reporting net earnings for the three months ended December 31, 2009 of $23,169 compared to $16,832 for the same period in 2008. This increase in net earnings of $6,337 was due primarily to the following:- Decreases in earnings of Ocean Shipping segment due primarily tofewer operating days as a result of a vessel dry-docking.- Increase in earnings of the Product Tanker segment due primarily anincrease in operating days.- Increase in net foreign exchange gains of $3,162 resulting primarilyfrom gains on the translation to Canadian dollars of U.S. dollardenominated debt due to the strengthening of the Canadian dollar.- A reduction of income tax expense in 2009 of $6,127 due primarily tolower future corporate income tax rates and a special deductionrelating to costs incurred on pollution control equipment.Twelve-Month ResultsIn 2009, the Corporation is reporting net earnings of $38,845 compared to net earnings of $41,280 for 2008. The decrease in earnings of $2,435 was due primarily to reductions in operating earnings net of income tax and an increase in financial expense. The decreases were a result of the following:- The Domestic Dry-Bulk segment's operating earnings net of income taxin 2009 were $3,230 compared to earnings of $12,797 for thecomparable 2008 period. The decrease in earnings was due primarily tofewer operating days of the fleet due to the economic conditions in2009 and an increase in repair and maintenance costs. These decreaseswere partially offset by gains on disposal of assets which consistedprimarily of the gain on the insurance proceeds on the loss of theAlgoport.- The operating earnings net of income tax of the Ocean Shippingsegment decreased from $21,135 in 2008 to $15,943 in 2009 dueprimarily to a reduction in results of the international commercialarrangement and higher operating costs.- The Real Estate segment operating earnings net of income taxdecreased from $5,256 in 2008 to ...