Business
Algoma Central Corporation - Operating results to December 31, 2007 and 2006
TORONTO, Feb. 29 /CNW/ - ALGOMA CENTRAL CORPORATION Operating results to December 31, 2007 and 2006
About this update from Algoma Central Corporation
[{"type":"text","content":"\n\n\n\nTORONTO, Feb. 29 /CNW/ -\n\n\n ALGOMA CENTRAL CORPORATION\n Operating results to December 31, 2007 and 2006\n (in thousands of dollars except per share figures)\n\n\n Three Months Ended Twelve Months Ended\n December 31 December 31\n 2007 2006 2007 2006\n\nRevenues $185,134 $163,061 $580,546 $547,993\n\nNet earnings $26,077 $18,680 $52,443 $42,059\n\nEarnings per share $6.70 $4.80 $13.48 $10.81\n\nDividends paid per common share $0.35 $0.35 $1.40 $1.30\n\n\nThe Corporation is reporting net earnings for the three months ended\nDecember 31, 2007 of $26,077 compared to $18,680 for the same period in 2006.\nThis increase in net earnings of $7,397 was due principally to the following:\n\n- an improvement in earnings of the ocean shipping segment as a result\n of fewer out-of-service days in 2007 compared to 2006 due to reduced\n planned regulatory dry-dockings, the addition of the Honourable Henry\n Jackman which entered service on August 1, 2007 and strong earnings\n from a positioning cargo for a vessel going to a scheduled regulatory\n dry-docking in China.\n\n- a reduction in income tax expense due to lower future corporate\n income tax rates.\n\nThese increases were partially offset by a reduction in the earnings of\nthe domestic dry-bulk segment due to increased operating expenses and a\nreduction in the earnings of the product tanker segment from fewer operating\ndays largely as a result of the sale of the Algonova earlier in the year.\nNet earnings for the twelve months ended December 31, 2007 were $52,443\ncompared to net earnings of $42,059 for the same period in 2006, an increase\nof $10,384. This increase was primarily due to the following:\n\n- Improved earnings for the ocean shipping segment due mainly to fewer\n out-of-service days in 2007 compared to 2006 due to reduced planned\n regulatory dry-dockings, the addition of the Honourable Henry Jackman\n which entered service on August 1, 2007 and strong earnings from\n positioning cargos for two vessels going to and one vessel returning\n from scheduled regulatory dry-dockings in China.\n\n- Improved earnings for the domestic dry-bulk segment due mainly to\n improved revenue levels and fuel surcharge recoveries.\n\n- A reduction in amortization expense due to changes in the remaining\n estimated lives of certain capital assets.\n\n- Net foreign exchange gains due...