Aviation Sales Company Announced Fourth Quarter 1999 Results Will Fall Short of Expectations.Business Editors MIAMI--(BUSINESS WIRE)--Jan. 28, 2000 Aviation Sales Company (NYSE NYSE See: New York Stock Exchange : AVS (Audio Video Coding Standard) A video compression technique developed by Chinese companies and supported by the Chinese government. Expected to provide better compression than MPEG-2, AVS was created to avoid paying royalties to the MPEG licensors, which are outside ) today announced that it expects fourth quarter earnings to be significantly short of consensus earnings expectations. The Company stated that the preliminary estimate of fourth quarter 1999 earnings is between $.05 - $.15 per share. The Company further stated that its 1999 fourth quarter earnings were negatively impacted by higher than anticipated costs associated with Y2K See Y2K problem and Y2K compliant. Y2K - Year 2000 remediation, a one time charge of almost $3.0 million incurred as a result of a change in the Company's health care plans, unanticipated delays in receipt of aircraft from customers and overall lower gross margins in the Company's parts sales operation. Dale S. Baker, the Company's Chairman, stated, &uot;While we are disappointed with our fourth quarter results, which were impacted by several significant one time charges, we continue to be pleased with the performance of our core operations, which continue to grow and be profitable. During the fourth quarter, we sold one of our unconverted A-300 airplanes, and we continue to work to sell or lease our remaining A-300 airplanes. We also continue to explore opportunities to maximize results in and returns on our core parts distribution and aircraft maintenance operations. During 2000, our focus will be on the growth of our core business and on maximizing cash flow from the investments which we made during 1999.&uot; The Company stated that it expects to release its final 1999 results on or about February 18, 2000, and that it will comment further at that time. Aviation Sales Company is a leading independent provider of fully integrated aviation maintenance and inventory services, including aircraft heavy maintenance, component repair and overhaul, leasing, the distribution of aircraft spare parts Spare parts, also referred to as Service Parts is a term used to indicate extra parts available and in proximity to the mechanical item, such as a automobile, boat, engine, for which they might be used. Spare parts are also called “spares. and the manufacture of new components for major commercial airlines, original equipment manufacturers and maintenance and repair facilities. Except for historical information contained herein, this 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. that are made pursuant to the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions of the Private Securities Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to differ materially from forecasted results. A number of factors, including those identified below, could adversely affect the Company's ability to obtain these results: the Company's ability to acquire adequate inventory and to obtain favorable fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. pricing for such inventory, competitive pricing for the Company's products and services, increased competition in the aircraft spare parts redistribution re·dis·tri·bu·tion n. 1. The act or process of redistributing. 2. An economic theory or policy that advocates reducing inequalities in the distribution of wealth. and MRO MRO In currencies, this is the abbreviation for the Mauritanian Ouguiya. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. markets, the ability to consummate suitable acquisitions, the continuing ability to effectively integrate acquisitions, economic factors which affect the airline industry, and changes in government regulations. Certain of these risks are described in the Company's filings with the Securities and Exchange Commission (SEC). Copies of the Company's SEC filings are available from the SEC or may be obtained upon request from the Company. |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion