(Source: Business Wire)
Macquarie Infrastructure Company (NYSE: MIC) reported financial
performance in the third quarter that puts the Company on track to
generate cash for the full-year 2009 in excess of that generated in
2008. The Company also reported progress against key strategic
initiatives including disposition of its airport parking business and
reduction of debt levels. Third quarter results include:
Gas production/distribution and district energy businesses generate
$10.2 million available to reduce holding company debt
Upswing in general aviation flight activity supports sequential
improvement in airport services quarterly results - airport services
pre-pays $12.0 million of primary debt facility principal during
quarter
Net loss of $0.41 per share on non-cash losses on interest rate swap
contracts
Letter of intent executed regarding sale of airport parking business
"Our third quarter results clearly reflect the positive steps we have
taken and continue to take in addressing our highest priority issues,"
said James Hooke, Chief Executive Officer of MIC. "We continue to see
attractive amounts of cash being generated by our businesses and a
significant reduction in net debt levels and the risk profile of MIC,"
he added.
Strong results for the Company's gas production and distribution
business include the mid-year implementation of a rate increase by the
utility segment of the business. A lower cost of propane products sold
through the non-utility segment also contributed to the improved results.
MIC's gas production and distribution and district energy businesses
generated a combined $10.2 million of estimated cash available before
debt reduction in the third quarter. A total of $27.4 million of CADR
has been generated by the businesses year to date. The cash will be
applied to the reduction of MIC's holding company revolving credit
facility balance at an appropriate time.
The $66.4 million holding company revolving credit facility is due on
March 31, 2010. Assuming seasonally normal performance by the gas
production and distribution and district energy businesses in the fourth
quarter of 2009 and first quarter of 2010, MIC expects to have less than
$30.0 million of net holding company debt at the March maturity date.
The Company is in discussions with its lenders to convert the revolver
to a term loan and would then expect to fully repay the facility over
the remainder of 2010. MIC continues to consider various other options
for repayment of the facility including improving business performance,
expense reductions, sale of assets sufficient to cover the remaining
principal balance at maturity, or other sources of capital. The Company
remains confident that it will be able to refinance or repay the
outstanding borrowings under the facility by the current maturity date.
Results for the Company's airport services business improved with the
increase in general aviation jet flight activity during the quarter. The
improved performance contributed to the $13.2 million of cash that was
used to prepay a portion of the business' term loan facility and related
swap breakage fees. On November 4 the business made an additional $9.0
million debt pre-payment which reduced the proforma debt to EBITDA
(leverage) ratio for the business at September 30 to 7.79 times versus a
debt covenant of 8.25 times. The $9.0 million pre-payment also resulted
in the business paying swap breakage fees of $0.9 million.
"An improved environment for general aviation flight movements suggests
that the airport services business has stabilized and should remain in
compliance with its debt covenants and continue to delever," said Hooke.
Efforts by the airport parking business have resulted in its engaging a
financial advisor to actively solicit a sale of the business and the
execution of a letter of intent. A letter of intent was signed during
the quarter with a third party, which is conducting due diligence and
with which the business is currently negotiating an asset purchase
agreement. The business expects to close a sale transaction in 2010,
which will likely occur in connection with a bankruptcy filing and
consummation of a Chapter 11 plan. Proceeds generated as a result of the
sale would be payable to lenders of the business and not to MIC. As
previously indicated, MIC has no intention of committing additional
capital to this business and its ongoing liabilities are expected to be
no more than $5.3 million in guarantees of a single parking facility
lease.
MIC has a 50% equity interest in one of the largest operators of bulk
liquid storage terminals in the U.S. MIC's interest in the CADR
generated by the business totaled $6.0 million for the quarter. The
result was supported by a 9% increase in average storage rates and lower
than forecast capital expenditures.
MIC reported a net loss of $18.3 million for the quarter. The loss
primarily reflects a net non-cash derivative-related loss of $21.4
million (including MIC's proportional interest in swap contracts of bulk
liquid storage terminal business). Through nine months of 2009 MIC
reported a net loss of $100.3 million including a net $19.6 million of
derivative-related losses, a $71.2 million write-down of goodwill and a
$37.2 million stemming from the write-down of fixed assets and
intangibles related to underperformance of certain entities. All of
these expenses are non-cash items.
The Company recorded consolidated revenue of $202.5 million for the
third quarter of 2009 compared with $277.0 million in the third quarter
of 2008. The majority of the 27% decrease was attributed to lower jet
fuel costs in 2009 versus 2008. Fuel costs, along with a dollar based
margin on fuel sales, are recovered in revenue. Year to date revenue
through September 30, 2009 totaled $567.5 million, down 33% compared
with the nine month period in 2008, also primarily on lower jet fuel
costs.
An analysis of gross profit removes the volatility in revenue associated
with costs that are typically passed through to customers. Gross profit
for the quarter decreased 7.5% to $95.2 million from $103.0 million in
2008. The decline in gross profit was driven by a reduction in the
volume of jet fuel sold compared with the third quarter in 2008,
partially offset by margin expansion in certain businesses. Gross profit
for the nine months ended September 30, 2009 of $274.1 million was 15%
lower than the comparable period in 2008.
Cash Generation
MIC believes that its financial results under Generally Accepted
Accounting Principles ("GAAP") alone do not reflect all of the items
that management considers in estimating the amount of cash it has
available to reduce debt, make distributions or reinvest in growth
projects. Therefore, the Company discloses estimated cash available
before debt reduction ("CADR"), a non-GAAP measure, to provide better
insight into its future ability to deploy cash.
The estimation of CADR for MIC's consolidated businesses begins with
cash from operations and adjusts for changes in working capital and
certain items including dividend income and cash capital expenditures
for the quarter and year to date periods. Consistent with the terms of
the shareholder agreement between MIC and the other shareholders of the
bulk liquid storage business, CADR for the business is determined as
cash from operations and cash from investing activities less maintenance
and environmental capital expenditures. Results for the Company's
airport parking business have been excluded from CADR in both the
current and prior comparable periods given the sales process underway
for that business.
In 2008, MIC reported its 50% interest in the dividend generated by the
bulk liquid storage business as CADR of MIC. For purposes of the table
below, the results for the bulk liquid storage business in 2008 have
been conformed to the current period's presentation and reflect MIC's
50% interest in the CADR generated by the business.
MIC's CADR for the third quarter of 2009 totaled $24.2 million compared
with $28.0 million in the third quarter of 2008. The decrease in CADR is
primarily the result of a reduction in cash from operating activities
generated by the airport services business and a decrease in gross
profit generated by the environmental response unit of the bulk liquid
storage terminal business. The table below summarizes CADR, by ongoing
business, for the quarter and year to date periods ended September 30,
2009 and September 30, 2008.
Entity 3Q'09 3Q'08 % Change YTD'09 YTD'08 % Change
($ Millions)
Bulk Liquid Storage 6.0 11.2 (46.4) 31.0 21.0 47.6
Gas Production 4.4 3.8 15.8 16.7 12.4 34.7
District Energy 5.8 4.9 18.4 10.7 9.9 8.1
Airport Services 11.1 14.8 (25.0) 30.1 57.5 (47.7)
MIC LLC (3.1) (6.7) (53.7) (8.4) (10.5) (20.0)
Total 24.2 28.0 (13.6) 80.1 90.3 (11.3)
See attached tables for a reconciliation of CADR to cash from operations
-------------------------------------------------------------------------------
CADR generated by the bulk liquid storage business declined in the third
quarter versus the prior comparable period as a result of the business'
environmental response unit generating an outsized contribution in the
third quarter of 2008 stemming from an oil spill on the Mississippi
River in August. The cash generated by the bulk liquid storage business
through three quarters in 2009 has been retained to fund growth capital
expenditures.
CADR generated by the gas production and district energy businesses has
been accumulated and is available to repay a portion of the outstanding
borrowings under the MIC LLC holding company debt facility.
CADR generated by the airport services business has been used to reduce
that business' term loan facility principal and to pay associated swap
breakage fees. The decline in CADR versus the 2008 comparable periods
reflects reduced flight activity in the general aviation sector broadly,
partially offset by reduced operating expenses.
Operating Businesses
The Company discloses EBITDA excluding non-cash items for each of its
operating segments, individually and in consolidation, as it is a key
metric relied on by management in evaluating the performance of its
businesses. EBITDA excluding non-cash items is defined as earnings
before interest, taxes, depreciation and amortization and non-cash
items, principally goodwill impairments and unrealized gains and losses
on derivative instruments. The presentation of EBITDA excluding non-cash
items provides additional insight into the performance of the operating
companies and their ability to service or reduce debt, to fund existing
growth capital projects and/or support distributions up to the MIC
holding company.
For the quarter and nine months ended September 30, 2008, MIC reported
EBITDA alone. The following tables reflect results of operations for the
Company's businesses for the quarter and nine months ended September 30,
2008 and 2009. The results for the 2008 periods have been conformed to
the current period's presentation of EBITDA excluding non-cash items.
Energy-Related Businesses
Bulk Liquid Storage Terminal Business
To enable meaningful analysis of the performance of the bulk liquid
storage terminal business across periods, the table and discussion below
refers to the business' overall results rather than its contribution to
MIC's consolidated results.
($Millions) 3Q'09 3Q'08 %Change YTD'09 YTD'08 %Change
Terminal Revenue 81.0 76.1 6.4 242.5 223.2 8.7
Terminal Gross Profit 42.8 40.0 7.2 127.9 109.1 17.2
EBITDA excluding non-cash items* 36.8 40.9 (10.1) 108.7 100.4 8.2
* See attached tables for a reconciliation of EBITDA excluding non-cash items to net income
-------------------------------------------------------------------------------
Terminal revenue and terminal gross profit grew primarily as a result of
a 9% increase in average storage rental rates for both the quarter and
nine month periods ended September 30. Terminal revenue and gross profit
also benefited from increases in rented storage capacity resulting from
tank construction projects completed in late 2008 and the first nine
months of 2009. EBITDA excluding non-cash items declined as a result of
an oil spill and related environmental response revenue in the third
quarter of 2008 that did not recur in 2009.
Cash flow from operating activities for the nine month period increased
to $92.7 million from $76.5 million in the comparable 2008 period. CADR
generated in both the quarter and year to date periods were retained for
reinvestment in approved growth projects.
Maintenance and environmental capital expenditures totaled $10.2 million
and $26.9 million for the quarter and year to date 2009 periods,
respectively. The business has revised its forecast for maintenance
capital expenditures for the full-year 2009 to between $35.0 million and
$40.0 million from $55.0 million at the end of the second quarter. The
decrease reflects primarily the deferral of certain
infrastructure-related projects, as well as a deferral of a small number
of tank cleanings and inspections. Maintenance and environmental capital
expenditures in 2010 are expected to be in a range of between $55.0
million and $65.0 million.
The business expects to spend an additional $67.5 million to complete a
total of $138.2 million of growth projects currently underway. Financing
for these projects is in place. These projects are expected to produce
an incremental estimated $19.7 million of annualized gross profit and
EBITDA. The storage portion of these projects is expected to be in
service in the fourth quarter of 2009 and early 2010. The
infrastructure-related (pumps, pipes and docks) portion of these
projects enhances the marketability of the related storage and is
expected to support sustained increases in average storage rates in 2010.
Gas Production and Distribution Business
($Millions) 3Q'09 3Q'08 % Change YTD'09 YTD'08 % Change
Revenue 44.7 59.6 (24.9) 125.8 167.5 (24.9)
Gross Profit 13.8 11.5 20.3 41.9 34.2 22.6
EBITDA excluding non-cash items* 8.3 7.1 16.6 25.9 21.1 22.7
* See attached tables for a reconciliation of EBITDA excluding non-cash items to net income
-------------------------------------------------------------------------------
The gas production and distribution business continued to implement the
utility rate increases for which it received interim approval in June
2009. The majority of its utility customers were billed at the new rates
during the quarter. Approximately two thirds of the quarterly
improvement in gross profit and EBITDA excluding non-cash items compared
with the third quarter in 2008 was attributable to the rate increase.
Approximately one third of the quarterly improvement in gross profit and
EBITDA excluding non-cash items was attributable to improved performance
in the unregulated portion of the business. Lower costs of propane
resulted in both margin expansion and reduced costs to consumers during
the quarter and year to date in 2009.
District Energy Business
($Millions) 3Q'09 3Q'08 % Change YTD'09 YTD'08 % Change
Revenue 16.6 17.4 (4.4) 38.3 38.7 (1.1)
Gross Profit 6.1 6.2 (1.0) 13.1 13.5 (3.2)
EBITDA excluding non-cash items* 7.2 6.8 7.3 15.6 15.1 3.1
* See attached tables for a reconciliation of EBITDA excluding non-cash items to net income
-------------------------------------------------------------------------------
Capacity revenue, based on the number of tons of cooling under contract,
grew with an increase in the number of customers connected to the system
and the step-up in inflation-linked rate escalators over the prior
comparable periods.
A cooler second and third quarter this year compared with 2008 reduced
cooling demand and consumption revenue and contributed to a modest
decrease in gross profit for the quarter and year to date periods.
However, EBITDA excluding non-cash items increased versus the prior
comparable periods primarily as a result of the receipt of a termination
payment made by one customer who left the system during the third
quarter of 2009.
Aviation-Related Businesses
Airport Services
($Millions) 3Q'09 3Q'08 % Change YTD'09 YTD'08 % Change
Revenue 124.2 181.3 (31.5) 352.4 579.0 (39.1)
Gross Profit 71.4 82.0 (12.9) 215.2 265.2 (18.9)
EBITDA excluding non-cash items* 27.9 32.0 (12.9) 80.2 108.6 (26.2)
* See attached tables for a reconciliation of EBITDA excluding non-cash items to net income
-------------------------------------------------------------------------------
A decline in general aviation activity (flight movements) in both the
quarter and year to date periods compared with 2008 resulted in a
decrease in gross profit and EBITDA excluding non-cash items. A portion
of the decrease in EBITDA was offset by reductions in expenses stemming
from acquisition integration and staffing reductions. The business has
recorded sequential improvement in EBITDA excluding non-cash items in
each of the three quarters of 2009 reflective of the stabilizing
environment for general aviation and increases in flight activity.
The volume of general aviation jet fuel sold by the business declined by
13% in the third quarter of 2009 compared with the third quarter of 2008
and by 19% on a year to date basis. An increase in average margins on
fuel sales offset a portion of the quarterly volume decline. Average
margins on fuel sales were flat through nine months. The volume of fuel
sold in the third quarter of 2009 increased modestly compared with the
second quarter.
The airport services business generated cash in excess of its operating
requirements for the third quarter and the cash was used to reduce the
business' term loan principal and pay related swap breakage costs. The
business paid down a total of $12.0 million of debt in the quarter and
paid swap breakage costs of $1.2 million. The business paid down an
additional $9.0 million of loan principal and incurred $0.9 million of
swap breakage costs during the first week of November that will be
recorded in the fourth quarter.
Including the November payment the proforma ratio of debt to EBITDA at
September 30, (leverage, as defined in the term loan agreement) was 7.79
times compared with a maximum allowable under its debt facility of 8.25
times. Assuming the current level of flight activity at the business' 72
locations continues, the business will remain in compliance with its
debt covenants and continue to reduce its debt balance without further
equity contributions from MIC.
Airport Parking Business
($Millions) 3Q'09 3Q'08 % Change YTD'09 YTD'08 % Change
Revenue 17.0 18.7 (9.2) 51.0 57.0 (10.5)
Gross Profit 3.9 3.3 17.9 3.9 10.7 (63.4)
EBITDA excluding non-cash items* 1.6 2.6 (38.4) 6.2 7.7 (19.6)
* See attached tables for a reconciliation of EBITDA excluding non-cash items to net income
-------------------------------------------------------------------------------
Lot utilization, as measured by the number of cars exiting the airport
parking business' facilities, declined 6% compared with the third
quarter in 2008 and 12% year to date. The decline in volume and the
resulting decline in revenue were partially offset by an increase in
average revenue per car in the quarter and year to date periods of 6%
and 9%, respectively.
The airport parking business does not have sufficient capital and
liquidity with which to service and/or support the refinancing of its
long-term debt. A letter of intent was signed during the quarter with a
third party, which is conducting due diligence and with which the
business is currently negotiating an asset purchase agreement. The
business expects to close a sale transaction in 2010, which will likely
occur in connection with a bankruptcy filing and consummation of a
Chapter 11 plan.
MIC has no intention of contributing additional capital to this business
and is in negotiations with a potential acquirer of the assets of the
business. Creditors of this business do not have recourse to any of
MIC's assets or the assets of its other businesses, other than
approximately $5.3 million in lease payments guaranteed by MIC.
Conference Call and WEBCAST
When: Management has scheduled a conference call for 11:00 a.m.
Eastern Time on Thursday, November 5, 2009 to review the Company's
results.
How: To listen to the conference call please dial +1(888)
490-2763 (domestic) or +1(719) 457-2626 (international) at least 10
minutes prior to the scheduled start time. Interested parties can also
listen to a live webcast of the call. The webcast will be accessible via
the Company's website at www.macquarie.com/mic.
Please allow extra time prior to the call to visit the site and download
the necessary software to listen to the webcast.
Slides: The Company will prepare materials in support of its
conference call presentation. The materials will be available for
downloading from the Company website the morning of November 5, 2009
prior to the conference call. A link to the materials will be located on
the homepage of the MIC website.
Replay: For interested individuals unable to participate in the
conference call, a replay will be available after 2:00 p.m. on November
5, 2009 through November 19, 2009, at +1(888) 203-1112 (domestic) or
+1(719) 457-0820 (international), Passcode: 7642770. An online archive
of the webcast will be available on the Company's website for one year
following the call.
About Macquarie Infrastructure Company
Macquarie Infrastructure Company owns, operates and invests in a
diversified group of infrastructure businesses providing basic, everyday
services, to customers in the United States. Its ongoing businesses
consist of three energy-related businesses including a 50% indirect
interest in a bulk liquid storage terminal business (International-Matex
Tank Terminals), a gas production and distribution business (The Gas
Company in Hawaii) and a district energy business (Thermal Chicago) as
well as an aviation-related airport services business (Atlantic
Aviation). The Company is managed by a wholly-owned subsidiary of the
Macquarie Group. For additional information, please visit the Macquarie
Infrastructure Company website at www.macquarie.com/mic.
Forward-Looking Statements
This filing contains forward-looking statements. We may, in some cases,
use words such as "project", "believe", "anticipate", "plan", "expect",
"estimate", "intend", "should", "would", "could", "potentially", or
"may" or other words that convey uncertainty of future events or
outcomes to identify these forward-looking statements. Forward-looking
statements in this report are subject to a number of risks and
uncertainties, some of which are beyond our control including, among
other things: changes in general economic or business conditions, our
ability to service, comply with the terms of and refinance debt,
successfully integrate and manage acquired businesses, retain or replace
qualified employees, manage growth, make and finance future
acquisitions, and implement our strategy, our shared decision-making
with co-investors over investments including the distribution of
dividends, our regulatory environment establishing rate structures and
monitoring quality of service, demographic trends, the political
environment, the economy, tourism, construction and transportation
costs, air travel, environmental costs and risks, fuel and gas costs,
our ability to recover increases in costs from customers, reliance on
sole or limited source suppliers, foreign exchange fluctuations, risks
or conflicts of interests involving our relationship with the Macquarie
Group and changes in U.S. federal tax law.
Our actual results, performance, prospects or opportunities could differ
materially from those expressed in or implied by the forward-looking
statements. Additional risks of which we are not currently aware could
also cause our actual results to differ. In light of these risks,
uncertainties and assumptions, you should not place undue reliance on
any forward-looking statements. The forward-looking events discussed in
this release may not occur. These forward-looking statements are made as
of the date of this release. We undertake no obligation to publicly
update or revise any forward-looking statements, whether as a result of
new information, future events or otherwise, except as required by law.
"Macquarie Group" refers to the Macquarie Group of companies, which
comprises Macquarie Group Limited and its worldwide subsidiaries and
affiliates. Macquarie Infrastructure Company LLC is not an authorized
deposit-taking institution for the purposes of the Banking Act 1959
(Commonwealth of Australia) and its obligations do not represent
deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583
542 (MBL). MBL does not guarantee or otherwise provide assurance in
respect of the obligations of Macquarie Infrastructure Company LLC. MIC-G
MACQUARIE INFRASTRUCTURE COMPANY LLC
CONSOLIDATED CONDENSED BALANCE SHEETS
($ In Thousands, Except Share Data)
September 30, 2009 December 31, 2008
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 56,217 $ 68,231
Restricted cash 2,452 1,063
Accounts receivable, less allowance for doubtful accounts of$2,167 and $2,230, respectively 54,495 62,240
Dividends receivable - 7,000
Other receivables 20 132
Inventories 14,762 15,968
Prepaid expenses 9,096 9,156
Deferred income taxes 3,774 3,774
Land - available for sale - 11,931
Income tax receivable - 489
Other 11,203 13,440
Total current assets 152,019 193,424
Property, equipment, land and leasehold improvements, net 663,555 673,981
Restricted cash 16,016 19,939
Equipment lease receivables 34,031 36,127
Investment in unconsolidated business 201,585 184,930
Goodwill 516,182 586,249
Intangible assets, net 760,050 812,184
Deferred financing costs, net of accumulated amortization 18,385 23,383
Other 3,052 4,033
Total assets $ 2,364,875 $ 2,534,250
LIABILITIES AND MEMBERS'/STOCKHOLDERS' EQUITY
Current liabilities:
Due to manager - related party $ 1,696 $ 3,521
Accounts payable 49,173 47,886
Accrued expenses 27,750 29,448
Current portion of notes payable and capital leases 9,585 2,724
Current portion of long-term debt 315,549 201,344
Fair value of derivative instruments 50,228 51,441
Customer deposits 5,673 5,457
Other 9,382 10,785
Total current liabilities 469,036 352,606
Notes payable and capital leases, net of current portion 1,990 2,274
Long-term debt, net of current portion 1,152,985 1,327,800
Deferred income taxes 51,998 65,042
Fair value of derivative instruments 64,507 105,970
Other 46,869 46,297
Total liabilities 1,787,385 1,899,989
Commitments and contingencies - -
Members'/stockholders' equity:
LLC interests, no par value; 500,000,000 authorized; 45,112,604 LLC interests issued and outstanding at September 30, 2009 and 44,948,694 LLC interests issued and outstanding at December 31, 2008 958,258 956,956
Accumulated other comprehensive loss (53,630) (97,190)
Accumulated deficit (331,260) (230,928)
Total members'/stockholders' equity 573,368 628,838
Noncontrolling interests 4,122 5,423
Total equity 577,490 634,261
Total liabilities and equity $ 2,364,875 $ 2,534,250
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MACQUARIE INFRASTRUCTURE COMPANY LLC
CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)
($ In Thousands, Except Share and per Share Data)
Quarter Ended Nine Months Ended
September 30, 2009 September 30, 2008 September 30, 2009 September 30, 2008
Revenue
Revenue from product sales $ 103,017 $ 152,060 $ 281,639 $ 478,219
Revenue from product sales - utility 26,056 36,060 67,637 97,317
Service revenue 72,264 87,714 214,614 263,171
Financing and equipment lease income 1,190 1,164 3,587 3,537
Total revenue 202,527 276,998 567,477 842,244
Costs and expenses
Cost of product sales 61,349 109,801 160,624 337,819
Cost of product sales - utility 19,406 31,161 50,016 82,175
Cost of services 26,562 33,070 82,701 98,615
Selling, general and administrative 54,782 57,426 167,468 182,928
Fees to manager - related party 1,639 2,737 2,952 11,872
Goodwill impairment - - 71,200 -
Depreciation 7,177 7,101 29,597 20,139
Amortization of intangibles 9,126 10,563 51,923 32,206
Total operating expenses 180,041 251,859 616,481 765,754
Operating income (loss) 22,486 25,139 (49,004) 76,490
Other income (expense)
Interest income 8 268 116 1,038
Interest expense (24,639) (26,114) (81,861) (77,616)
Equity in earnings and amortization charges of investees 1,178 4,051 16,655 10,603
Loss on derivative instruments (17,371) (765) (29,872) (1,651)
Other income, net 269 6 1,693 661
Net (loss) income before income taxes and noncontrolling interests (18,069) 2,585 (142,273) 9,525
(Provision) benefit for income taxes (327) (2,254) 41,021 (3,254)
Net (loss) income before noncontrolling interests (18,396) 331 (101,252) 6,271
Net loss attributable to noncontrolling interests (48) (167) (920) (575)
Net (loss) income $ (18,348) $ 498 $ (100,332) $ 6,846
Basic (loss) earnings per share: $ (0.41) $ 0.01 $ (2.23) $ 0.15
Weighted average number of shares outstanding: basic 45,006,771 44,948,694 44,969,093 44,942,859
Diluted (loss) earnings per share: $ (0.41) $ 0.01 $ (2.23) $ 0.15
Weighted average number of shares outstanding: diluted 45,006,771 44,962,809 44,969,093 44,955,236
Cash distributions declared per share $ - $ 0.645 $ - $ 1.925
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MACQUARIE INFRASTRUCTURE COMPANY LLC
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
(Unaudited)
($ In Thousands)
Nine Months Ended
September 30, 2009 September 30, 2008
Operating activities
Net (loss) income before noncontrolling interests $ (101,252) $ 6,271
Adjustments to reconcile net (loss) income before noncontrolling interests to net cash provided by operating activities:
Non-cash goodwill impairment 71,200 -
Depreciation and amortization of property and equipment 43,227 28,359
Amortization of intangible assets 51,923 32,206
Equity in earnings and amortization charges of investees (16,655) (10,603)
Equity distributions from investees 7,000 10,603
Amortization of debt financing costs 4,998 4,941
Non-cash derivative loss, net of non-cash interest expense 29,872 1,897
Base management fee to be settled in LLC interests 1,639 -
Equipment lease receivable, net 2,009 1,621
Deferred rent 1,265 1,535
Deferred taxes (41,892) 1,904
Other non-cash expenses, net 167 658
Changes in other assets and liabilities, net of acquisitions:
Restricted cash (756) 24
Accounts receivable 7,188 (3,436)
Inventories 776 (2,027)
Prepaid expenses and other current assets 2,830 4,944
Due to manager - related party (2,613) (2,958)
Accounts payable and accrued expenses 1,655 (110)
Income taxes payable (537) (1,530)
Other, net (2,635) 828
Net cash provided by operating activities 59,409 75,127
Investing activities
Acquisitions of businesses and investments, net of cash acquired - (53,338)
Proceeds from sale of investment, net of cash divested - 1,861
Purchases of property and equipment (19,981) (52,587)
Return of investment in unconsolidated business - 10,397
Other 115 223
Net cash used in investing activities (19,866) (93,444)
Financing activities
Proceeds from long-term debt 10,000 5,000
Proceeds from line of credit facilities 9,250 87,800
Offering and equity raise costs paid - (65)
Distributions paid to holders of LLC interests - (86,520)
Distributions paid to noncontrolling interests (381) (363)
Payment of long-term debt (72,859) (120)
Debt financing costs paid - (1,874)
Change in restricted cash 3,292 (501)
Payment of notes and capital lease obligations (859) (1,629)
Net cash (used in) provided by financing activities (51,557) 1,728
Net change in cash and cash equivalents (12,014) (16,589)
Cash and cash equivalents, beginning of period 68,231 57,473
Cash and cash equivalents, end of period $ 56,217 $ 40,884
Supplemental disclosures of cash flow information:
Non-cash investing and financing activities:
Accrued purchases of property and equipment $ 209 $ 1,226
Acquisition of equipment through capital leases $ 129 $ 490
Issuance of LLC interests to manager for payment of base management fee $ 851 $ -
Issuance of LLC interests to independent directors $ 450 $ 450
Taxes paid $ 1,167 $ 3,044
Interest paid $ 72,265 $ 73,148
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CONSOLIDATED STATEMENT OF OPERATIONS
Quarter Ended September 30, Change Favorable/(Unfavorable) Nine Months Ended September 30, Change Favorable/(Unfavorable)
A service of YellowBrix, Inc.
