Alliance Atlantis Announces Results For Fourth Quarter And Year Ended March 31, 2001.Business Editors TORONTO--(BUSINESS WIRE)--June 26, 2001 -- Q4 EBITDA up 45% -- Fiscal 2001 EBITDA grows 26% to $134 million -- CSI: Crime Scene Investigation commands record US sale -- Digital channel carriage agreements reached with Shaw Communications, Starchoice and Bell ExpressVu ALLIANCE ATLANTIS Alliance Atlantis Communications Inc. (formerly traded as TSX:AAC) is a Toronto-based media company, which now operates primarily as a specialty service operator in Canada. COMMUNICATIONS INC inc - /ink/ increment, i.e. increase by one. Especially used by assembly programmers, as many assembly languages have an "inc" mnemonic. Antonym: dec. . (Nasdaq:AACB AACB Australasian Association of Clinical Biochemists AACB Alliance Atlantis Communications Inc. AACB Aeronautics and Astronautics Coordinating Board AACB Aeronautics & Astronautics Coordinating Board AACB Ann Arbor Concert Band (Ann Arbor, MI) ) (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :AAC (Advanced Audio Coding) An audio compression technology that is part of the MPEG-2 and MPEG-4 standards. AAC, especially MPEG-4 AAC, provides greater compression and better sound quality than MP3, which also came out of the MPEG standard. .A) (TSE:AAC.B) today announced results for its fourth quarter and the year ended March 31, 2001. Year Ended March 31, 2001 Alliance Atlantis reported record revenue, gross profit and EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become for the year ended March 31, 2001. Revenue of $806.1 million represented an increase of $34.5 million or 4.5% over the prior year. Gross profit for the year increased 26.0% to $225.8 million compared to $179.2 million in the prior year. Gross margin increased to 28.0% from 23.2% over the same period. EBITDA for the year also rose sharply, growing 25.8% to $133.6 million from $106.2 million last year. This strong growth in the Company's operating earnings Operating Earnings Profits after subtracting expenses such as marketing, cost of goods sold, administration and general operating costs from revenue. Notes: Tax and interest expenses are not subtracted - operating earnings are synonymous with EBIT (earnings before is attributable to several factors including exceptional results from our Broadcasting Group, where EBITDA increased by 37.4% to approximately $41 million. This growth is after absorbing $4.5 million in operating losses operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. from our development channels - Series+ and Historia - demonstrating the continued strength and acceptance of our core operating channels - Showcase, Life Network, History Television, HGTV HGTV Home and Garden Television Canada Canada (kăn`ədə), independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of and Food Network Canada. The Motion Picture Group's results were buoyed by the performance of our wholly owned, UK based distribution company Momentum Pictures and we continued our keen focus on margin improvement with more profitable productions in our Television Group. Higher charges for amortization, interest and minority interest expense together with an equity accounting loss on our Headline Media Group investment offset by certain investment gains realized during the year resulted in net earnings for the year of $35.0 million compared with $37.0 million last year, or $1.10 per basic share compared to $1.31 per basic share a year ago. Fully diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of for the period were $1.09 compared to $1.25 per share recorded last year. Three Month Results Revenue for the fourth quarter increased by 24.4% over the prior year from $208.4 million to $259.2 million. The increase is primarily attributable to higher deliveries in the Television Group this year compared to last. In the quarter we delivered 71.5 hours of television series, MOW's and mini-series mini-series n → serie f de pocos capítulos; miniserie f mini-series n → téléfilm m en plusieurs parties compared to 55.0 hours last year. Included in these deliveries were 8.0 hours of the highly rated CBS (Cell Broadcast Service) See cell broadcast. hit series CSI CSI Crime Scene Investigator CSI CompuServe, Inc. CSI Commodity Systems, Inc. CSI Commodity Systems Inc. (Boca Raton, FL) CSI Crime Scene Investigation (CBS TV show) CSI Christian Schools International : Crime Scene Investigation Crime scene investigation may refer to:
Gross profit for the quarter was $67.9 million compared to $46.7 million, an increase of 45.4%. The increase is primarily attributable to higher deliveries as noted above and significant improvements in the profitability of our Television Group's production mix. EBITDA for the fourth quarter was $40.3 million compared to $27.7 last year, representing an increase of 45.5%. Net earnings for the quarter were $8.2 million or $0.25 per basic and 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 compared to $8.4 million or $0.26 per basic and fully diluted share last year. This difference is attributed to higher charges for amortization, interest and minority interest expense together with an equity accounting loss on our Headline Media Group investment offset by certain investment gains realized during the quarter. Recent Developments Subsequent to the end of the quarter we announced the US second window sale of CSI: Crime Scene Investigation to TNN TNN The National Network (formerly The Nashville Network) TNN The Nashville Network (now The National Network) TNN The Nerd Network (online gaming clan) - The National Network in what is essentially a two-tiered agreement. TNN will begin broadcasting episodes of CSI once per week - not in prime time - commencing in September September: see month. 2002 and extending for 104 weeks through September 2004. TNN is then permitted to broadcast episodes of CSI as a Monday Monday: see week. through Friday Friday: see Sabbath; week. Friday young Indian rescued by Crusoe and kept as servant and companion. [Br. Lit.: Robinson Crusoe] See : Servant "strip" - though not against the network timeslot - commencing in September 2004. The licence fee for these US second window rights is in excess of US$1.6 million per episode - including all episodes completed up to September 2004 as well as all future episodes. Alliance Atlantis and CBS Productions - who share worldwide revenues on a 50/50 basis after certain third party profit participations - have retained the right to sell an additional window for weekend US syndication See syndication format. for the period September 2004 through September 2006. Additionally, Alliance Atlantis, through the Company's international distribution network has sold and will continue to sell all the first and subsequent window broadcast rights of CSI to broadcasters around the world. With respect to the largest markets outside the US, each of CTV CTV Canadian Television (Network Limited) in Canada, Channel 5 in the UK, RTL/Vox in Germany Germany (jûr`mənē), Ger. Deutschland, officially Federal Republic of Germany, republic (2005 est. pop. 82,431,000), 137,699 sq mi (356,733 sq km). , TF1 in France and Nine Network in Australia Australia (ôstrāl`yə), smallest continent, between the Indian and Pacific oceans. With the island state of Tasmania to the south, the continent makes up the Commonwealth of Australia, a federal parliamentary state (2005 est. pop. have acquired broadcast rights to CSI. CSI's current production costs are covered by the first window licence fees already paid by CBS and other international broadcasters for the initial run of the series. Other sales, including the one to TNN, are incremental Additional or increased growth, bulk, quantity, number, or value; enlarged. Incremental cost is additional or increased cost of an item or service apart from its actual cost. to these first window licence fees. The "hit" status of CSI is clearly supported by the series' ratings success. CSI ended the 2000/2001 broadcast season as the third highest rated show on US network television - and was also the highest rated new drama series of the year. In April 2001 we completed the acquisition of Salter salt·er n. 1. One that manufactures or sells salt. 2. One that treats meat, fish, or other foods with salt. Noun 1. Street Films. The integration of systems, operations and personnel is proceeding as planned and on schedule. For the fiscal year beginning April 1, 2001 we expect to fully realize the synergies described at the time the acquisition was announced. In May 2001 we acquired a 29.9% ownership stake in One: The Body, Mind and Spirit Channel - previously called Wisdom. One, a Category 1 licence, is an excellent fit with our lifestyle core genre of channels including Life Network, HGTV Canada, Food Network Canada and the soon-to-be-launched Health Network Canada. We are very pleased today to announce that Alliance Atlantis has signed digital channel carriage agreements with Shaw Communications Shaw Communications Inc. (TSX: SJR.NV.B NYSE: SJR) is a Canadian telecomunications company headquartered in Calgary, Alberta. The company was founded by J.R. Shaw in 1966 as Capital Cable Television Co Ltd.. and Starchoice. The agreements cover the distribution of the following new digital services on Shaw's cable systems and Starchoice's direct-to-home See DTH. (DTH (Direct-To-Home) Typically refers to satellite TV broadcasting directly to a dish antenna on the roof of a house. See DBS. ) satellite service commencing in September 2001: -- Health Network Canada features compelling and entertaining programming about the wonders of medical science and the human body; -- The Independent Film Channel Canada (pending CRTC CRTC Canadian Radio-Television & Telecommunications Commission CRTC Combat Readiness Training Center CRTC Cathode Ray Tube Controller CRTC China Railway Telecommunications Center CRTC Cold Region Test Center CRTC Continuously Regenerated Trap Column approval) is dedicated to the best of independent film from Canada and around the world. From film festivals to indie in·die n. Informal 1. One, such as a studio or producer, that is unaffiliated with a larger or more commercial organization. 2. stars, IFCC IFCC International Federation of Clinical Chemistry and Laboratory Medicine IFCC Internet Fraud Complaint Center (US FBI) IFCC Interface Control Check IFCC International Federation of Christian Churches will offer an exclusive window on the world of independent filmmaking film·mak·ing n. The making of movies. ; -- National Geographic Channel
cinematography cinematography: see motion picture photography. cinematography Art and technology of motion-picture photography. It involves the composition of a scene, lighting of the set and actors, choice of cameras, camera angle, and integration of special and access to some of the world's most remote destinations. National Geographic Channel brings one of the world's best known brands into the homes of Canadian Canadian (kənā`dēən), river, 906 mi (1,458 km) long, rising in NE New Mexico. and flowing E across N Texas and central Oklahoma into the Arkansas River in E Oklahoma. viewers - 24 hours a day; -- BBC Canada BBC Canada is a Canadian English language category 2 digital cable specialty channel. It presents programming from the BBC. Along with BBC Kids, it is a joint venture between Alliance Atlantis and BBC Worldwide. presents the very best of British television British television broadcasting has a range of different broadcasters, broadcasting multiple channels over a variety of distribution media. Major broadcasters There are six major broadcasters: Free-to-air analogue terrestrial networks from the best known broadcaster on the planet - with a contemporary feast of edgy comedies, gritty grit·ty adj. grit·ti·er, grit·ti·est 1. Containing, covered with, or resembling grit. 2. Showing resolution and fortitude; plucky: a gritty decision. dramas, and classic favourites; -- BBC BBC in full British Broadcasting Corp. Publicly financed broadcasting system in Britain. A private company at its founding in 1922, it was replaced by a public corporation under royal charter in 1927. Kids features a high-quality and engaging lineup A criminal investigation technique in which the police arrange a number of individuals in a row before a witness to a crime and ask the witness to identify which, if any, of the individuals committed the crime. of children's programming from one of the world's leading broadcasters; -- Showcase Romance features a star-studded star-studded Adjective featuring many well-known performers: a star-studded premiere star-studded adj a star-studded cast → un elenco estelar lineup of heartthrobs and heroines in some of the best love stories of all time; and -- Showcase Action delivers an uncut and adrenaline-packed line-up line-up Noun 1. people or things assembled for a particular purpose: Christmas TV line-up 2. of high-speed high-speed adj. 1. Operated or designed for operation at high speed: a high-speed food processor. 2. Taking place at high speed: a high-speed chase. 3. action movies and explosive series. In addition, Alliance Atlantis is very pleased today to announce that we have entered into a digital channel carriage agreement with Bell ExpressVu Bell ExpressVu is the division of Bell Canada Enterprises that provides satellite television service across Canada. It launched on September 10, 1997 and as of 2004 it has been providing "ExpressVu TV for Condos", a VDSL service provided to select multidwelling units (condominiums for a number of the Company's new digital channels. Alliance Atlantis and Bell ExpressVu will announce further details at a later date in conjunction with Bell ExpressVu's comprehensive consumer marketing plan. Each of the carriage agreements referred to herein requires that other terms and conditions are to remain confidential. Alliance Atlantis is currently in negotiations with the remaining distributors. ALLIANCE ATLANTIS COMMUNICATIONS INC. is a leading vertically integrated broadcaster, creator and distributor of filmed entertainment with significant ownership interests in eight Canadian analogue (electronics) analogue - (US: "analog") A description of a continuously variable signal or a circuit or device designed to handle such signals. The opposite is "discrete" or "digital". specialty television networks. The Company's principal business activities are conducted through three operating groups: Broadcast, Motion Picture and Television. Headquartered in Toronto Toronto (tərŏn`tō), city (1998 est pop. 2,400,000), provincial capital, S Ont., Canada, on Lake Ontario. Toronto is the largest city in Canada and since the 1970s has been one of the fastest-changing cities in North America, experiencing , ALLIANCE ATLANTIS operates offices in Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. , Edmonton Edmonton (ĕd`məntən), city (1991 pop. 616,741), provincial capital, central Alta., Canada, on the North Saskatchewan River. The center of the largest metropolitan area in Alberta, Edmonton, known as the "Gateway to the North," is located , Montreal Montreal (mŏn'trēôl`), Fr. Montréal (môNrāäl`), city (1991 pop. 1,017,666), S Que., Canada, on Montreal island, surrounded by St. Lawrence River and Rivière des Prairies. , Halifax, Shannon, London and Sydney. The Company's common shares are listed on the Toronto Stock Exchange Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. - trading symbols Trading symbol See: Ticker symbol AAC.A, AAC.B and on NASDAQ - trading symbol AACB. The Company's website is www.allianceatlantis.com. This press release and attachments 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. that involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are market and general economic conditions and the risk factors detailed from time to time in the Company's periodic reports and registration statements filed with the Canadian securities regulatory authorities Noun 1. regulatory authority - a governmental agency that regulates businesses in the public interest regulatory agency administrative body, administrative unit - a unit with administrative responsibilities and the U.S. Securities and Exchange Commission. Please refer to the attached Consolidated Financial Statements Consolidated Financial Statements The combined financial statements of a parent company and its subsidiaries. Notes: Because consolidated financial statements present an aggregated look at the financial position of a parent and its subsidiaries, they enable you to gauge and Supplemental Information. Alliance Atlantis Communications Inc. Management Report The accompanying consolidated financial statements and supplemental information of Alliance Atlantis Communications Inc. are the responsibility of Management and have been approved by the Board of Directors. The consolidated financial statements and supplemental information have been prepared by Management in accordance Accordance is Bible Study Software for Macintosh developed by OakTree Software, Inc.[] As well as a standalone program, it is the base software packaged by Zondervan in their Bible Study suites for Macintosh. with generally accepted accounting principles The standard accounting rules, regulations, and procedures used by companies in maintaining their financial records. Generally accepted accounting principles (GAAP) provide companies and accountants with a consistent set of guidelines that cover both broad accounting . The consolidated financial statements and supplemental information include some figures and assumptions based on Management's best estimates which have been derived with careful judgement (the three month periods are prepared without audit). In fulfilling its responsibilities, Management of the Company has developed and maintains a system of internal accounting controls. These controls ensure that the financial records are reliable for preparing the financial statements. The Board of Directors of the Company carries out its responsibility for the financial statements through its Audit Committee. The Audit Committee reviews the Company's unaudited consolidated financial statements and recommends their approval by the Board of Directors. June 26, 2001 W. JUDSON MARTIN Executive Vice President and Chief Financial Officer
Alliance Atlantis Communications Inc.
Consolidated Balance Sheets
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(in millions of Canadian dollars-except per share amounts)
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March 31, March 31,
2001 2000
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Assets
Cash and cash equivalents - 1.0
Accounts receivable 461.1 476.8
Loans receivable 35.0 27.2
Income taxes 9.4 7.3
Investment in film and television
programs (note 1) 830.1 591.6
Development costs 47.4 30.7
Property and equipment 64.8 53.7
Broadcast licences 74.5 76.4
Goodwill (note 8) 91.0 80.0
Investments 65.3 38.1
Other Assets 56.9 27.3
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1,735.5 1,410.1
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Liabilities
Senior revolving credit
facility (note 2) 73.9 187.7
Accounts payable and accrued
liabilities 356.7 260.5
Deferred revenue 151.9 98.7
Term loans (note 3) 58.8 55.9
Senior subordinated
notes (note 4) 474.0 217.5
Convertible debentures 8.8 8.8
Minority interest 12.8 9.5
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1,136.9 838.6
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Shareholders' Equity
Share capital (note 5) 525.3 521.2
Retained earnings 85.1 50.1
Cumulative translation adjustments (11.8) 0.2
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598.6 571.5
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1,735.5 1,410.1
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The accompanying notes and supplemental information form an
integral part of these financial statements.
Alliance Atlantis Communications Inc.
Consolidated Statements of Earnings
For the periods ended March 31, 2001 and March 31, 2000 (the three
month periods are prepared without audit)
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(in millions of Canadian dollars)
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Three months ended Year ended
March 31, March 31,
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2001 2000 2001 2000
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Revenue 259.2 208.4 806.1 771.6
Direct operating expenses 191.3 161.7 580.3 592.4
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Gross Profit 67.9 46.7 225.8 179.2
Operating expenses 27.6 19.0 92.2 73.0
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Earnings Before Interest,
Taxes and Amortization 40.3 27.7 133.6 106.2
Amortization 7.4 3.6 26.7 14.5
Interest (note 6) 22.9 11.7 61.6 36.3
Minority interest 0.7 (0.5) 1.0 (0.5)
Investment gains 1.8 - 5.9 2.5
Equity interest in affiliate (1.4) - (1.6) -
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Earnings Before Income
Taxes 9.7 12.9 48.6 58.4
Provision for income taxes 1.5 4.5 13.6 19.3
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Net Earnings for the Period 8.2 8.4 35.0 39.1
Dividends on Preferred
Shares - - - (0.5)
Accretion of conversion
feature of Preferred Shares - - - (1.6)
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Net Earnings Available to
Common Shareholders 8.2 8.4 35.0 37.0
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Earnings Per Common Share
(note 7)
Basic 0.25 0.26 1.10 1.31
Fully Diluted 0.25 0.26 1.09 1.25
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Weighted Average Common
Shares
Outstanding (in millions)
Basic 31.8 31.4 31.7 28.2
Fully Diluted 32.5 32.7 32.4 30.8
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The accompanying notes and supplemental information form an
integral part of these financial statements.
Alliance Atlantis Communications Inc.
Consolidated Statements of Retained Earnings
For the periods ended March 31, 2001 and March 31, 2000
(the three month periods are prepared without audit)
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(in millions of Canadian dollars)
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Three months ended Year ended
March 31, March 31,
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2001 2000 2001 2000
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Retained Earnings-
Beginning of Period 76.9 41.7 50.1 13.1
Net earnings for the period 8.2 8.4 35.0 39.1
Dividends on Preferred Shares - - - (0.5)
Accretion of conversion
feature of Preferred Shares - - - (1.6)
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Retained Earnings-
End of Period 85.1 50.1 85.1 50.1
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The accompanying notes and supplemental information form an
integral part of these financial statements.
Alliance Atlantis Communications Inc.
Consolidated Statements of Cash Flows
March 31, 2001
(the three month periods are prepared without audit)
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(in millions of Canadian dollars-except per share amounts)
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3 months ended Year ended
March 31, March 31,
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2001 2000 2001 2000
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Cash and Cash Equivalents
Provided By (used in)
Operating Activities
Net earnings for the period 8.2 8.4 35.0 39.1
Items not affecting cash
Amortization of film and
television programs 181.5 115.9 557.6 569.7
Amortization of development
costs 1.8 1.4 9.1 4.5
Amortization of property
and equipment 3.0 1.5 11.3 7.7
Amortization of broadcasting
licences 0.5 0.5 1.9 1.9
Amortization of goodwill
and other assets 4.6 1.2 10.0 3.6
Investment gains (1.8) - (5.9) (2.5)
Equity interest in affiliate 1.4 - 1.6 -
Minority interest 0.7 (0.5) 1.0 (0.5)
Net changes in other non-cash
balances related to
operations 78.4 (59.1) 64.9 (65.3)
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278.3 69.3 686.5 558.2
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Investing Activities
Loans receivable (0.1) 0.3 (7.8) 12.7
Film and television
programs (167.2) (48.4) (720.9) (620.7)
Development costs (3.4) (4.2) (25.5) (11.8)
Property and equipment (6.7) (5.9) (22.0) (19.8)
Business acquisitions(Note 8) - (1.3) (7.0) (1.9)
Minority interest in
acquired businesses - (0.2) 3.0 1.2
Long term investments (0.2) (13.8) (23.2) (37.1)
Proceeds from sale of
investments - - 8.3 11.2
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(177.6) (73.5) (795.1) (666.2)
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Financing Activities
Senior revolving credit
facility (246.9) (21.0) (114.6) (251.6)
Term loans 3.5 17.7 (3.5) 4.5
Issue of senior
subordinated notes 141.9 3.5 222.7 219.5
Issue of share capital - 1.1 2.5 132.5
Redemption of Preferred Shares - - - (51.9)
Dividends paid on Preferred
Shares - - - (0.5)
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(101.5) 1.3 107.1 52.5
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Change in Cash and Cash
Equivalents (0.8) (2.9) (1.5) (55.5)
Cash and Cash Equivalents-
Beginning of Period 0.8 4.1 1.0 56.9
Cash in Acquired Businesses - - 0.4 -
Effect of Exchange Rates
on Cash - (0.2) 0.1 (0.4)
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Cash and Cash Equivalents-
End of Period - 1.0 - 1.0
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The accompanying notes and supplemental information form an
integral part of these financial statements.
Alliance Atlantis Communications Inc.
Supplemental Information
March 31, 2001
(unaudited)
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(in millions of Canadian dollars-except per share amounts)
The unaudited consolidated financial statements and supplemental information should be read in conjunction with the Company's audited consolidated financial statements contained in our 2000 Annual Report. Alliance Atlantis Communications Inc. (the "Company" or the "Corporation") is a leading vertically integrated Canadian broadcaster, creator and distributor of filmed entertainment content with significant ownership interests in eight specialty television networks. The Company's principal business activities are carried out through three operating groups: Broadcast, Motion Picture and Television.
1. Investment in film and television programs
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Broadcast Motion Picture Television Total
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2001
Produced - 34.7 229.1 263.8
Acquired - 256.6 77.6 334.2
Libraries - - 38.6 38.6
Programs in progress - 44.6 76.7 121.3
Broadcast rights 72.2 - - 72.2
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72.2 335.9 422.0 830.1
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Broadcast Motion Picture Television Total
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2000
Produced - 38.0 157.3 195.3
Acquired - 180.9 67.0 247.9
Libraries - - 36.2 36.2
Programs in progress - 10.4 57.3 67.7
Broadcast rights 44.5 - - 44.5
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44.5 229.3 317.8 591.6
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2. Senior revolving credit facility
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2001 2000
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Senior revolving credit facility - drawn 73.9 187.7
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Substantially all of the assets of the Company and certain of its subsidiaries have been pledged as security for borrowing under the senior revolving credit Revolving Credit A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customers current cash flow needs. facility. During the year, the Company modified its existing credit facility by increasing the authorized au·thor·ize tr.v. au·thor·ized, au·thor·iz·ing, au·thor·iz·es 1. To grant authority or power to. 2. To give permission for; sanction: principal amount from $440.0 to $500.0 and extending the term to January 2006. The senior revolving credit facility provides up to $500.0 in borrowings bearing interest at rates ranging from the prime rate to the prime rate plus 1.75%. In addition, a revolving swing line facility, due on demand, provides up to $25.0 in borrowings bearing interest at rates ranging from the prime rate to the prime rate plus 1.75%. As at March 31, 2001, the Company had unused credit facilities credit facilities npl → facilidades fpl de crédito credit facilities npl → facilités fpl de paiement credit facilities aggregating $405.0 (2000- $218.8). 3. Term loans
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2001 2000
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Limited-recourse term loans, bearing
interest at rates between the commercial
prime rate plus 0.5% to plus 1.5% 28.8 30.8
Mortgages payable, collateralized by certain property, bearing
interest at 9.99% and the commercial prime rates plus 3%, and
repayable
over terms extending to October 15, 2005 2.7 3.0
Industry and other term loans which are
unsecured and have no fixed terms of
repayment, bearing interest at various rates 20.1 17.7
Obligations under capital lease 7.2 4.4
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58.8 55.9
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Repayment of the term loans is expected as follows:
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2002 18.2
2003 16.5
2004 9.4
2005 4.9
2006 -
Due subsequent 9.8
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58.8
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4. Senior subordinated notes On November 15, 1999, the Company issued US$150.0 senior subordinated notes bearing interest at 13% per year and maturing on December 15, 2009. Interest is payable semi-annually on June 15 and December 15. The notes are redeemable Redeemable Eligible for redemption under the terms of an indenture. at the option of the Company, in whole or in part, at any time on or after December 15, 2004 at specified redemption rates ranging from 106.5% of the principal amount at December 15, 2004 to 100% of the principal amount after December 15, 2007, plus accrued ac·crue v. ac·crued, ac·cru·ing, ac·crues v.intr. 1. To come to one as a gain, addition, or increment: interest accruing in my savings account. 2. and unpaid interest. In addition, up to 35% of the notes are subject to redemption, at the Company's option at a redemption price Redemption price See: Call price redemption price 1. The price at which an open-end investment company will buy back its shares from the owners. In most cases, the redemption price is the net asset value per share. 2. of 113% of the principal amount of the notes plus accrued interest Accrued Interest The interest that has accumulated on a bond since the last interest payment up to but not including the settlement date. There are two methods for calculating accrued interest: 1) 360-day year method, used for corporate and municipal bonds. , prior to December 15, 2002, in the event that the Company issues its own common shares. The notes are subordinated to all indebtedness INDEBTEDNESS. The state, of being in debt, without regard to the ability or inability of the party to pay the same. See 1 Story, Eq. 343; 2 Hill. Ab. 421. 2. of the Company and all debt and liabilities of the Company's subsidiaries, including trade payables Payables Related: Accounts payable . On June 13, 2000 and January 18, 2001, the Company issued an additional US$55.0 and US$95.0 senior subordinated notes. The notes carry the same terms and conditions as the senior subordinated notes issued on November 15, 1999.
5. Share capital
As at March 31, 2001, the issued capital stock is as follows:
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2001 2000
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Class A Voting Shares -
3,806,452 (2000 - 4,838,302) 53.2 67.6
Class B Non-Voting Shares -
27,888,342 (2000 - 25,384,025) 470.5 421.1
Class C Special-Voting Shares -
3,025 (2000 -63,060) 1.6 32.5
Class D Special Non-Voting Share -
nil (2000 - 1) - -
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525.3 521.2
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The Class A Voting Shares Voting Shares Shares that give the stockholder the right to vote on matters of corporate policy making as well as who will compose the members of the board of directors. Notes: Different classes of shares, such as preferred stock, sometimes don't allow for voting rights. and the Class B Non-Voting Shares have identical attributes except that the Class B Non-Voting Shares are non-voting and each of the Class A Voting Shares are convertible at any time at the holder's option into one fully paid and non-assessable, Class B Non-Voting Share. The Class B Non-Voting Shares may be converted into Class A Voting Shares only in certain 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 . Each of the Class C Special Voting Shares are convertible at any time, at the holder's option, and automatically on September 21, 2001, into 20 fully paid and non-assessable Class B Non-Voting Shares. In June 2000, 100,000 Class B Non-Voting shares were issued in connection with the acquisition of Tattersal Sound Inc. valued at $1.6. |
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