Business
FreightCar America, Inc. Reports Third Quarter 2020 Results
Company remains focused on completing final steps to reposition business Castaños, Mexico manufacturing operation received industry certifications and is now
About this update from Freightcar America, Inc.
[{"type":"text","content":"Company remains focused on completing final steps to reposition business\n Castaños, Mexico manufacturing operation received industry certifications and is now shipping railcars Second half delivery guidance narrowed to range between 750 and 850 railcars CHICAGO, Nov. 09, 2020 (GLOBE NEWSWIRE) -- FreightCar America, Inc. (NASDAQ: RAIL) today reported results for the third quarter ended September 30, 2020. Business Highlights Third quarter revenue of $25.2 million on deliveries of 163 railcarsThird quarter net loss attributed to Freight Car America. Inc. (“FCA”) of $40.3 million, or $3.03 per share, including $30.1 million, or $2.26 per share, of restructuring and impairment charges, $26.6 million of which is non-cashTotal cash, cash equivalents, restricted cash equivalents, marketable securities and restricted certificates of deposit of $32.9 million as of September 30, 2020Backlog on September 30, 2020 totaled 1,776 railcars, including 100 railcars ordered during the quarter, with an aggregate value of approximately $195 millionFinalized early termination of the lease at Cherokee, Alabama (“Shoals”) manufacturing facility effective February 28, 2021Now owns 100% of its new Castaños, Mexico manufacturing operation (“Castaños”), where all future railcar manufacturing is expected to be based by February 2021Obtained new asset-backed credit facility to support the business and repositioningEntered into new $40 million secured term loan agreement with a global investment management firm (“Lender”), with funding subject to stockholder approval, to strengthen balance sheet and drive future growth strategyBegan shipping cars from Castaños, Mexico facility in early November and received several small orders for the new facility post quarter-endSecond half 2020 delivery outlook narrowed to range between 750 and 850 railcars “During the third quarter, FreightCar America made substantial progress towards the final steps of its business transformation. We completed the acquisition of the remaining portion of the Castaños joint venture, successfully started production, achieved our Association of American Railroads (“AAR”) plant certifications, and are starting to ship to customers this week. By moving all production to Mexico by early 2021, we have reset our cost-base and are multiple steps closer to reaching our goal to become the highest ...