Asia Pacific Wire & Cable Announces Financial Results for 2003.NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- Asia Pacific Wire & Cable Corporation Limited (OTC Bulletin Board OTC Bulletin Board An electronic quotation listing of the bid and asked prices of OTC stocks that do not meet the requirements to be listed on the NASDAQ stock-listing system. : AWRCF) --Net Income and Earnings Per Share Increase by Over 100% -- --APWC, PEWC PEWC Ponders End Wargaming Club (gaming) and Set Top Reach Settlement Agreement to End Litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. -- Asia Pacific Wire & Cable Corporation Limited (OTC Bulletin Board: AWRCF) today announced its financial results for the fiscal year 2003. For the fiscal year 2003, the Company reported net income and basic and 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. income per share of $10.0 million and $0.72, respectively, compared to $4.8 million and $0.35 for fiscal year 2002. Net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight for 2003 totaled $211 million compared to $241 million for 2002, while income from operations totaled $33 million for 2003 compared to $35 million for 2002. Charles Charles, archduke of Austria Charles, 1771–1847, archduke of Austria; brother of Holy Roman Emperor Francis II. Despite his epilepsy, he was the ablest Austrian commander in the French Revolutionary and Napoleonic wars; however, he was handicapped by Han Han, Chinese dynasty Han (hän), dynasty of China that ruled from 202 B.C. to A.D. 220. Liu Pang, the first Han emperor, had been a farmer, minor village official, and guerrilla fighter under the Ch'in dynasty. , Chairman of Asia Pacific Wire & Cable, stated, "We are very pleased with our financial results for 2003. The Company's strong earnings were driven in large part from the solid performance of the Company's operations in Thailand Thailand (tī`lănd, –lənd), Thai Prathet Thai [land of the free], officially Kingdom of Thailand, constitutional monarchy (2005 est. pop. 65,444,000), 198,455 sq mi (514,000 sq km), Southeast Asia. , China and 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. which experienced strong demand in the telecommunication telecommunication Communication between parties at a distance from one another. Modern telecommunication systems—capable of transmitting telephone, fax, data, radio, or television signals—can transmit large volumes of information over long distances. cable, power cable and enameled wire Enameled wire is a thin wire coated with an insulating layer, used in electric motor coils. It is placed in the motor slots in order to create magnetic flux when electricity flows through it. It is also used in the construction of electromagnets, transformers and inductors. sectors. Earnings were also helped by overall growth in the economies of East Asia East Asia A region of Asia coextensive with the Far East. East Asian adj. & n. . In 2004, we see continued strength in these areas and hope to continue the positive performance of the Company's operations by expanding market share and keeping tight control over costs." Mr. Han continued, "Sales of manufactured product increased by 3.5%, although overall net sales fell due to decrease in revenue from Distributed Products and project engineering services in supply, delivery and installation ("SDI (1) (Serial Digital Interface) A physical interface widely used for transmitting digital video in various formats. For electrical transmission, it uses a high grade of coaxial cable and a single BNC connector with Teflon insulation. ") of power cables. However, overall gross profit margins Gross profit margin Gross profit divided by sales, which is equal to each sales dollar left over after paying for the cost of goods sold. gross profit margin A measure calculated by dividing gross profit by net sales. have increased from 14.4% in 2002 to 15.7% in 2003 due to product mix and improved selling prices for electronic cable, Distributed Products and SDI project engineering. Our net results in 2003 were also aided by positive contributions from exchange gain, lower net interest expense and share of net gain of equity investees." The Company also announced today that Asia Pacific Wire & Cable, Pacific Electric Wire and Cable Co., Ltd ("PEWC") and Set Top International, Inc. ("Set Top") have entered into a settlement agreement pursuant to which PEWC has agreed to pay Set Top $25 million by August 30, 2004 (subject to extension) to purchase all of Set Top's interest in APWC's shares. In the event that PEWC fails to pay the settlement amount to Set Top by August 30, 2004 (subject to extension), under the settlement agreement the ownership of 10,074,102 shares of APWC will pass to Set Top. These shares represent a 72.8% controlling interest controlling interest The ownership of a quantity of outstanding corporate stock sufficient to control the actions of the firm. Controlling interest often involves ownership of significantly less than 51% of a firm's outstanding stock because many owners fail in APWC, and represent the shares of the Company owned indirectly by PEWC through its subsidiaries, Pacific USA Holdings Corp. ("PUSA") and Kinbong Holdings Limited. Pursuant to the settlement agreement, APWC, PEWC and Set Top have agreed to withdraw and dismiss dismiss v. the ruling by a judge that all or a portion (one or more of the causes of action) of the plaintiff's lawsuit is terminated (thrown out) at that point without further evidence or testimony. all claims in all litigation proceedings against each other, including the actions in New York, Singapore Singapore (sĭng`gəpôr, sĭng`ə–, sĭng'gəpôr`), officially Republic of Singapore, republic (2005 est. pop. 4,426,000), 240 sq mi (625 sq km). and Bermuda Bermuda (bûrmy  `də), British dependency (2005 est. pop. 65,400), 21 sq mi (53 sq km), comprising some 150 coral rocks, islets, and islands (of which some 20 are inhabited), in the , and Set Top has agreed to withdraw all of its claims in the
PUSA bankruptcy proceedings bankruptcy proceedings n. the bankruptcy procedure is: a) filing a petition (voluntary or involuntary) to declare a debtor person or business bankrupt, or, under Chapter 11 or 13, to allow reorganization or refinancing under a plan to meet the debts of the party . The settlement remains subject to
implementation by each of the parties and the establishment of an escrow escrowInstrument, such as a deed, money, or property, that constitutes evidence of obligations between two or more parties and is held by a third party. It is delivered by the third party only upon fulfillment of some condition. arrangement. As previously disclosed dis·close tr.v. dis·closed, dis·clos·ing, dis·clos·es 1. To expose to view, as by removing a cover; uncover. 2. To make known (something heretofore kept secret). , 50.44% of the shares in question had been pledged pledge n. 1. A solemn binding promise to do, give, or refrain from doing something: signed a pledge never to reveal the secret; a pledge of money to a charity. 2. a. by PUSA to Swiss Re Swiss Re is the world’s largest reinsurer, now that it has acquired GE Insurance Solutions (Ligi 2006). Founded in 1863, Swiss Re now operates in more than 30 countries. General Electric owns 8.9% of the firm. to secure a letter of credit reimbursement Reimbursement Payment made to someone for out-of-pocket expenses has incurred. agreement, upon which PUSA defaulted when it filed a voluntary petition petition Written instrument directed to an individual, government official, legislative body, or court in order to seek redress of grievances or to request a favour. for bankruptcy bankruptcy, in law, settlement of the liabilities of a person or organization wholly or partially unable to meet financial obligations. The purposes are to distribute, through a court-appointed receiver, the bankrupt's assets equitably among creditors and, in most protection under Chapter 11 of 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. Bankruptcy Code Bankruptcy Code may refer to:
tr.v. as·signed, as·sign·ing, as·signs 1. To set apart for a particular purpose; designate: assigned a day for the inspection. 2. its rights under the pledge A Bailment or delivery of Personal Property to a creditor as security for a debt or for the performance of an act. Sometimes called bailment, pledges are a form of security to assure that a person will repay a debt or perform an act under contract. agreement to Set Top. On December 4, 2003, PEWC and APWC commenced an action in the United States District Court United States District Court In the U.S., any of the 94 trial courts of general jurisdiction in the federal judicial system. Each state, as well as the District of Columbia and the Commonwealth of Puerto Rico, has at least one federal district court. for the Southern District of New York against Set Top and related parties, the central issue of which was the validity of the assignment from Swiss Re to Set Top of the pledge agreement and the rights it purported pur·port·ed adj. Assumed to be such; supposed: the purported author of the story. pur·port  ed·ly adv. to confer in the pledged shares of the Company.The settlement agreement announced today among APWC, PEWC and Set Top is intended to bring the litigations among the parties to a close and to provide to PEWC the opportunity to reclaim clean and uncontested title to a controlling interest in APWC. Attached to this release are the audited consolidated balance sheet consolidated balance sheet A balance sheet in which assets and liabilities of a parent company and its controlled subsidiaries are combined, thereby presenting balance sheet items for the parent and its subsidiaries as if they were a single firm. , income statement and cash flow statement of the Company. Conference Call Asia Pacific Wire & Cable has scheduled an investor conference call to discuss the Company's 2003 results for Monday Monday: see week. , July July: see month. 12, 2004 at 9:30 a.m. (New York time). To access the call by phone, participants should dial: (719) 457-2601 and ask to be connected to the Asia Pacific Wire & Cable conference call. A replay of the call will be available beginning at 12:30 p.m. (New York time) on Monday, July 12, 2004 and will run through midnight (New York time), July 19, 2004. To access the replay, please dial (719) 457-0820 and enter pass code 189039, followed by the # sign. About Asia Pacific Wire & Cable Asia Pacific Wire & Cable Corporation is a leading manufacturer of wire and cable products for the telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. and power industries in selected markets in the Asia Pacific Region. Except for statements of historical fact, this news release contains certain 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. about the Company. Such statements are subject to significant risks and uncertainties including changes in economic and market conditions, successful implementation of growth plans, and other risks noted in the Company's SEC filings which may cause actual results to differ materially.
ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands of US Dollars, except share data)
December 31,
2002 2003
ASSETS
Current assets:
Cash and cash equivalents $ 14,431 $ 25,032
Short-term bank deposits 3,892 3,567
Accounts receivable 53,740 58,867
Amounts due from related parties 4,675 3,108
Inventories
Distributed products 2,750 5,819
Finished products 15,188 18,172
Products in process 7,634 9,703
Raw materials and supplies 13,948 12,002
-------- ---------
39,520 45,696
Investments 541 1,041
Deferred tax assets 657 774
Other current assets 3,332 2,785
-------- ---------
Total current assets 120,788 140,870
-------- ---------
Property, plant and equipment:
Land 4,017 4,300
Land use rights 2,153 2,147
Buildings 33,191 37,282
Machinery and equipment 76,652 84,867
Motor vehicles 2,544 2,899
Office equipment 6,004 6,581
---------- ---------
124,561 138,076
Accumulated depreciation and
amortization (56,311) (70,115)
---------- ----------
68,250 67,961
---------- ----------
Other assets:
Long term investments 2,412 2,441
Investment in equity investees 8,735 10,249
Goodwill 7,607 8,324
Other assets 168 218
Deferred tax assets 233 2,113
--------- ----------
19,155 23,345
--------- ----------
Total assets $208,193 $232,176
======= =======
ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands of US Dollars, except share data)
December 31,
2002 2003
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Bank loans and overdrafts $ 36,808 $ 22,339
Accounts payable 12,767 16,508
Accrued expenses 2,408 2,562
Amounts due to related parties 16,052 22,515
Short-term loans from a related party 2,251 1,963
Income taxes 1,450 1,699
Current portion of long-term debt 1,125 -
Deferred income taxes - 449
Other current liabilities 1,481 1,694
----------- -----------
Total current liabilities 74,342 69,729
Long-term debt, less current portion 675 1,654
Long-term debt from related parties, less
current portion 8,822 7,824
Other liabilities 232 197
Deferred income taxes 2,336 1,774
---------- ---------
Total liabilities 86,407 81,178
---------- ---------
Minority interests 29,739 43,822
Commitments and contingencies
Shareholders' equity:
Common stock, $0.01 par value:
Authorized shares - 20,000,000
shares Issued and outstanding
shares - 13,830,769 in 2001
and 2002 138 138
Additional paid-in capital 111,541 111,541
Retained earnings 11,032 21,032
Accumulated other comprehensive
income (loss) (30,664) (25,535)
----------- -----------
Total shareholders' equity 92,047 107,176
----------- -----------
Total liabilities and shareholders' equity $208,193 $232,176
======= =======
ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands of US Dollars, except share data)
Year ended December 31,
2001 2002 2003
Net sales
Manufactured products $ 149,018 $ 185,742 $ 192,293
Distributed products 33,325 24,303 15,187
Sales, delivery and
installation of wires
and cables 14,968 31,134 3,919
----------- ----------- ----------
197,311 241,179 211,399
Costs of sales (purchases
from related parties amounted
to $51,469 in 2001, $81,910
in 2002 and $53,141 in 2003) (177,352) (206,435) (178,239)
------------ ----------- ----------
Gross profit 19,959 34,744 33,160
Other operating income - - 1,336
Selling, general and
administrative expenses (15,616) (19,282) (20,351)
Goodwill written off (506) - -
Impairment loss - (1,559) -
----------- ----------- ------------
Income from operations 3,837 13,903 14,145
Exchange (loss) gain (81) (16) 4,161
Interest income 901 715 285
Interest expense (4,074) (2,214) (1,407)
Share of net (loss) gain
of equity investees (2,535) (4,090) 1,475
Gain on share issuance by
subsidiaries and affiliates - 1,011 -
Gain (loss) on sale of investment 743 (557) (885)
Others 1,619 2,502 (214)
----------- ----------- -----------
Income before income taxes and
minority interests 410 11,254 17,560
Income taxes 1,411 (4,683) (2,477)
Minority interests (1,730) (1,780) (5,083)
----------- ----------- -----------
Net income 91 4,791 10,000
=========== =========== ===========
Basic and diluted
income per share 0.01 0.35 0.72
=========== =========== ===========
Basic and diluted weighted
average common shares
outstanding 13,830,769 13,830,769 13,830,769
========== ========== ==========
ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands of US Dollars, except share data)
Year ended December 31,
2001 2002 2003
Operating activities:
Net income $ 91 $ 4,791 $ 10,000
Adjustments to reconcile
net income to net cash
provided by operating
activities:
Gain on disposal of property,
plant and equipment - (7) (1,336)
Depreciation 11,210 9,805 9,217
Goodwill written off 506 - -
Deferred income taxes (2,247) 1,867 (2,110)
Provision for doubtful
accounts (255) 968 902
Provision for slow-moving
inventories 1,205 847 77
Undistributed loss of
equity investees 2,535 4,090 (1,475)
Impairment loss - 1,559 -
Gain on share issuance by
subsidiaries and
affiliates - (1,011) -
(Gain) loss on sale of
investment (743) 557 885
Minority interests 1,730 1,780 5,083
Foreign currency translation
adjustment 447 5,192 (1,405)
Changes in operating assets
and liabilities net of
acquisitions of businesses:
Accounts receivable (4,075) (8,836) (2,637)
Inventories 4,542 (7,746) (6,253)
Other current assets (1,662) 3,024 547
Amounts due to related
parties 715 1,404 8,030
Accounts payable, accrued
expenses and other
liabilities (2,958) 1,065 4,321
------- ---------- --------
Net cash provided by
operating activities 11,041 19,349 23,846
Investing activities:
Decrease in short-term
bank deposits 4,274 3,221 603
Investment in equity investees (2,857) (4,018) (183)
Advance to equity investees (1,380) (353) -
Purchases of property,
plant and equipment (9,116) (11,135) (4,877)
Proceeds from disposal of
property, plant and equipment 4,047 266 2,147
Acquisition of additional
investment in subsidiary (1,341) (1,998) (1,091)
Proceeds from disposal of
investment 743 - 6,013
Disposal of other assets 44 - 81
Purchases of other assets - (364) (218)
Investment in long-term
investments (97) (197) -
--------- -------- ---------
Net cash (used in) provided
by investing activities (5,683) (14,578) 2,475
Financing activities:
Additions of loans
from related parties - 459 -
Repayments of loans from
related parties (4,276) - (288)
Additions of long-term debt 8,223 - -
Repayments of long-term debt (7,598) (6,619) (1,750)
Repayments of bank loans (20,956) (5,719) (65,884)
Increase in bank loans 10,144 7,051 51,472
Net decrease in overdrafts (917) (50) (57)
-------- --------- ----------
Net cash used in financing
activities (15,380) (4,878) (16,507)
Effect of exchange rate
changes on cash and
cash equivalents (371) 297 787
--------- --------- ----------
Net (decrease) increase
in cash and cash equivalents (10,393) 190 10,601
Cash and cash equivalents
at beginning of year 24,634 14,241 14,431
--------- ---------- ---------
Cash and cash equivalents
at end of year $ 14,241 $ 14,431 $ 25,032
====== ====== ======
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion