Western Energy Services Corp. Announces Q3 2007 Results

About this update from Western Energy Services Corp.

[{"type":"text","content":"\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES/\n\n\nCALGARY, Nov. 5 /CNW/ - Western Energy Services Corp. ("Western" or the\n"Company") is pleased to announce that during the third quarter of 2007 it\ndramatically improved its balance sheet and improved results from operations.\n\n\nThe third quarter results build upon the positives that were demonstrated\nin the second quarter of 2007 and are indicative of the success of the change\nin direction and turnaround plan adopted by the Company. Most importantly, the\nCompany continues to demonstrate an improvement in income from continuing\noperations before amortization, interest and income taxes ("EBITDA").\n\n\nHighlights for the third Quarter include:\n\n - Quarterly revenues are up 36% over 2006 and 49% over the previous\n quarter.\n - General and administrative expenses ("G&A") are down to 10% of\n revenue for the quarter. G&A is down 23% from the first quarter of\n 2007 and down 10% from the second quarter of 2007.\n - EBITDA for the nine months ended September 30, 2007 improved 440%\n over the same period in 2006.\n - Significant reductions in debt were achieved and interest expense\n decreased by $82,037 or 17% from the second quarter, 2007.\n\n\nDuring the later part of 2006 and into 2007 Western's new management team\ncontinued the implementation of a turnaround plan and change in direction for\nthe Company. The key components of the turnaround plan are: shifting the\ndirection of the Company's business to the less volatile production\noptimization though stimulation services; concentrating the Company's services\nin fewer operational bases; increasing efficiencies and reducing costs. The\nCompany's plan took a big step forward in the second quarter with the purchase\nof the assets of Grenville Energy Partnership ("Grenville") and by disposing\nof its non core well testing assets. During the third quarter of 2007 the\nCompany took additional steps in its plan by significantly reducing debt and\ninterest expense, disposing of additional non core assets (being the Company's\nPlata Inca mining property) and increasing EBITDA. Management's focus for the\nbalance of 2007 and into 2008 will be to continue to increase revenues and\nprofitability.\n\n\nQuarterly revenues for the third quarter increased by 36%, com...

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