Business
Algoma Central Corporation - Operating Results to March 31, 2007 and 2006
Algoma Central Corporation - Operating Results to March 31, 2007 and 2006.
About this update from Algoma Central Corporation
[{"type":"text","content":"\n\n\n\n(In thousand of dollars except per share data)\n\n\nST. CATHARINES, ON, May 9 /CNW/ -\n\n\n 2007 2006\n --------- ---------\nRevenue $ 52,028 $ 52,777\n\nNet loss $ 11,736 $ 12,889\n\nLoss per share $ 3.02 $ 3.31\n\nDividends paid per common share $ 0.35 $ 0.25\n\n\nThe Corporation is reporting a net loss for the three months ended\nMarch 31, 2007 of $11,736 compared to a net loss of $12,889 for the same\nperiod in 2006.\n\n\nThe decrease in the net loss for the three months ended March 31, 2007\nwhen compared to the same prior year period was due primarily to the\nfollowing:\n\n\n- Improved earnings for the ocean shipping segment due mainly to\n additional operating days as a result of a regulatory planned dry\n docking during the first quarter in 2006.\n\n- Reduction in amortization expense due to changes in the remaining\n estimated lives of certain capital assets.\n\n- Improved earnings for the product tanker fleet due primarily to\n additional operating days with the addition of the Amalienborg in\n April 2006.\n\n\nThe above increases in net earnings were partially offset with reductions\nin earnings of the domestic dry-bulk segment due mainly to a decrease in\nutilization due to reduced demand in the utility and salt sectors.\n\n\nThe nature of the Corporation's business is such that the earnings in the\nfirst quarter of each year is not indicative of the results for the other\nthree quarters in a year. Due to the closing of the canal system and the\nwinter weather conditions in the Great Lakes - St Lawrence Waterway, the\nmajority of the domestic dry-bulk fleet does not operate for much of the first\nquarter and significant repair and maintenance costs are incurred in the first\nquarter to prepare the domestic dry-bulk fleet for the upcoming navigation\nseason. As a result, the first quarter revenues and earnings are significantly\nlower than the remaining quarters in the year.\n\n\nOn May 9, 2007, the Board of Directors declared a dividend of $0.35 per\ncommon share payable on June 1, 2007 to shareholders of record on May 18,\n2007.\n\n\n","length":2496,"tagName":"div"}]