ATG Announces Second Quarter 2000 Results.Business Editors FREMONT, Calif.--(BUSINESS WIRE)--Aug. 14, 2000 ATG ATG antithymocyte globulin. lymphocyte immune globulin (antithymocyte globulin equine, ATG, ATG equine, LIG) Atgam Pharmacologic class: Immunoglobulin Therapeutic class: Immunosuppressant Inc. (Nasdaq:ATGC ATGC Adenine,Thymine, Guanine, & Cytosine ATGC Asiantaeth Trwyddedu Hywyr A Cherbydau (Welsh: Driver and Vehicle Licensing Agency, UK) ), a leading provider of low-level radioactive ra·di·o·ac·tive adj. Of or exhibiting radioactivity. radioactive characterized by radioactivity. radioactive decay and low-level mixed waste treatment services, today announced results for its second quarter ended June 30, 2000. Revenues for the second quarter of 2000 were $11.1 million compared with $16.1 million in the comparable quarter of 1999. Excluding a $2.4 million restructuring charge restructuring charge The expense of reorganizing a company's operations. A restructuring charge is an infrequent expense that generally results from asset writedowns or facility closings. related to the plant consolidation and workforce reduction at the Company's Tennessee facility, ATG's net loss from continuing operations continuing operations Parts of a business that are expected to be maintained as an ongoing segment of an overall business operation. Income and losses from continuing operations are reported separately if any segments have been discontinued during the would have been approximately $460,000, or ($0.03) per share, for the second quarter of 2000. Including this charge, the Company recorded a net loss of $1.7 million, or ($0.12) per share, in the second quarter of 2000 compared with net income of $1.7 million, or $0.12 per fully diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, in the comparable quarter of 1999. The Tennessee plant consolidation and workforce reduction are anticipated to favorably fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. impact expense levels on a go forward basis. Net income for the second quarter of 2000 included a $420,000 gain on the sale-leaseback of the Company's Fremont, CA headquarters, and a tax benefit of $1.1 million. Revenues and gross margin in the 2000 second quarter were negatively impacted by the Company's shutdown shut·down n. A cessation of operations or activity, as at a factory. shutdown Noun the closing of a factory, shop, or other business Verb shut down of its older thermal resin resin, any of a class of amorphous solids or semisolids. Resins are found in nature and are chiefly of vegetable origin. They are typically light yellow to dark brown in color; tasteless; odorless or faintly aromatic; translucent or transparent; brittle, fracturing treatment process in order to transition to more cost-effective technology, called Resin Decon Technology (RDT RDT 1. Renal dialysis treatment 2. Retinal damage threshold ). Revenues were also negatively impacted by the continued deep discount program offered by the operator of the Barnwell waste disposal site in South Carolina South Carolina, state of the SE United States. It is bordered by North Carolina (N), the Atlantic Ocean (SE), and Georgia (SW). Facts and Figures Area, 31,055 sq mi (80,432 sq km). Pop. (2000) 4,012,012, a 15. . This will be the final quarter in which revenues are impacted by this deep discounted pricing due to South Carolina legislation that removes the site operator's ability to set pricing and places that authority with a multi-state appointed oversight
Oversight may refer to:
"As expected, our decreased revenues and gross margin in the second quarter reflect the impact of our transition to a more cost-effective treatment process and our efforts to increase capacity," said Doreen Chiu, President and Chief Executive Officer of ATG. "The transition is progressing nicely though, and we anticipate that the RDT treatment process will be operating at full commercial scale by the end of September. Once it reaches this level, we expect to begin seeing the benefits of this more cost-effective process, most notably the fact that we only need 10% of the man-power to run it as we did our former thermal resin treatment process. "We also reached a major milestone this quarter when we received the building occupancy permit for our new $28 million Low Level Mixed Waste (LLMW LLMW Low Level Mixed Waste ) treatment facility. We are currently in the process of equipment start-up and testing in the facility and we anticipate that we will commence commercial operations in mid-October. This facility will provide a non-thermal treatment capacity of 8,000 metric tons per year and a thermal capacity thermal capacity: see heat capacity. of 1,250 metric tons per year. We anticipate that this increased capacity will have a positive impact on our gross margin," said Chiu. "Once the RDT process and the LLMW treatment facility are fully operational, we anticipate much stronger financial and operational performance and look forward to success that will benefit the Company and our shareholders," added Chiu. For the six months ended June 30, 2000, revenues were $22.2 million compared with $29.0 million for the same period in 1999. ATG's year-to-date net loss was $1.6 million, or ($0.12) per share, compared with net income of $2.8 million, or $0.19 per fully diluted share, for the first six months of 1999. ATG will be holding an investor conference call to discuss the company's financial and operational results at 11:00 a.m. Eastern/8:00 a.m. Pacific on Aug. 14, 2000. Investors will have the opportunity to listen to the conference call over the Internet through Vcall at www.vcall.com. To listen to the live call, go to the Web site at least 15 minutes early to register, download To receive a file transmitted over a network. In any communications session, "download" means receive, and "upload" means send. The download/upload often implies a big/little scenario, in which data is being downloaded from the "big" server into the "little" user's computer. , and install any necessary audio software. For those who cannot listen to the live broadcast, a replay will be available shortly after the call at www.vcall.com. About ATG Inc. ATG Inc. is a radioactive and hazardous waste Hazardous waste Any solid, liquid, or gaseous waste materials that, if improperly managed or disposed of, may pose substantial hazards to human health and the environment. Every industrial country in the world has had problems with managing hazardous wastes. management company that offers comprehensive thermal and non-thermal treatment solutions for low-level radioactive and low-level mixed waste generated by commercial entities such as nuclear power plants, medical facilities and research institutions, both in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and overseas, and by the U.S. Departments of Defense and Energy. This news release may contain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results could differ materially from those projected in the forward-looking statements as a result of various factors set forth under "Factors Affecting Future Operating Results" in the Company's annual report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. and such other risks detailed from time to time in the Company's other reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements, which may be made to reflect events or circumstances CIRCUMSTANCES, evidence. The particulars which accompany a fact. 2. The facts proved are either possible or impossible, ordinary and probable, or extraordinary and improbable, recent or ancient; they may have happened near us, or afar off; they are public or after the date hereof here·of adv. Of this. hereof Adverb Formal or law of or concerning this Adv. 1. hereof - of or concerning this; "the twigs hereof are physic" or to reflect the occurrence of unanticipated events.
ATG Inc.
Condensed Consolidated Statements of Operations
(In thousands, except per share data)
(Unaudited)
Three Months Six Months
Ended June 30, Ended June 30,
2000 1999 2000 1999
Revenue $ 11,120 $ 16,060 $ 22,223 $ 29,004
Cost of revenue 7,186 9,808 13,873 17,550
Gross profit 3,934 6,252 8,350 11,454
Sales, general &
administrative
expenses 4,084 3,166 7,961 6,230
Stock-based
compensation
expense 2 30 32 60
Restructuring
charge 2,400 -- 2,400 --
Operating income (2,552) 3,056 (2,043) 5,164
Other income 420 -- 420 --
Net interest income
(expense) (618) (233) (1,117) (491)
Income before
provision for
taxes (2,750) 2,823 (2,740) 4,673
Provision for
income taxes (1,100) 1,129 (1,096) 1,869
Net income $ (1,650) $ 1,694 $ (1,644) $ 2,804
Net income per share
Basic $ (0.12) $ 0.12 $ (0.12) $ 0.20
Fully diluted $ (0.12) $ 0.12 $ (0.12) $ 0.19
Weighted average shares
Basic 14,133 14,048 14,109 14,033
Fully diluted 14,133 14,628 14,109 14,658
-0-
ATG Inc.
Condensed Consolidated Balance Sheets
(In thousands)
June 30, December 31,
2000 1999
(unaudited)
Current assets:
Cash and cash equivalents $ 4,532 $ 2,776
Accounts receivable, net 22,122 24,488
Prepayments and other current assets 4,467 5,396
Total current assets 31,121 32,660
Property and equipment, net 93,402 80,428
Restricted cash 3,627 16,014
Intangible assets, net 2,174 2,203
Other assets, net 4,976 4,774
Total assets $ 135,300 $ 136,079
Current liabilities:
Short-term borrowings $ 23,750 $ 1,721
Current portion of long-term debt
and capital leases 4,304 4,259
Accounts payable 10,968 11,649
Accrued liabilities 10,042 15,197
Total current liabilities 49,064 32,826
Long-term debt and capitalized leases,
net 36,298 56,595
Total liabilities 85,362 89,421
Common stock 47,029 42,137
Deferred compensation -- (32)
Retained earnings 2,909 4,553
Total shareholders' equity 49,938 46,658
Total liabilities and shareholders'
equity $ 135,300 $ 136,079
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