CB&I Announces Third Quarter 2008 Results.THE WOODLANDS, Texas -- CB&I (NYSE NYSE See: New York Stock Exchange :CBI CBI abbr. cumulative book index CBI Confederation of British Industry CBI n abbr (= Confederation of British Industry) → C.E.O.E. ) today reported net income of $8.6 million, or $0.09 per 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, for the third quarter 2008, compared with third quarter 2007 net income of $58.7 million, or $0.61 per diluted share. CB&I announced previously that it is taking a pre-tax charge of approximately $86 million, or $0.85 per share, for forecasted cost overruns Noun 1. cost overrun - excess of cost over budget; "the cost overrun necessitated an additional allocation of funds in the budget" cost - the total spent for goods or services including money and time and labor associated with two major LNG LNG (liquefied natural gas): see under natural gas. projects in the U.K. Revenue for the quarter was $1.56 billion, a 33% increase over third quarter 2007 revenue of $1.17 billion. "The additional charge taken this quarter was due to further schedule delays forecasted to meet critical project milestones on the U.K. projects," said Philip K. Asherman, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "However, the remainder of our backlog is performing very well. Excluding the charge for these two projects, our third quarter gross profit and income from operations were approximately 12% and 8.8% of revenue respectively, which highlights the performance of the balance of our projects around the world." New awards for the quarter were $703.7 million, bringing CB&I's total backlog to $6.2 billion as of September 30, 2008. Third quarter awards included a variety of Steel Plate Structure, Energy Process, LNG and Technology contracts. "We remain confident in our new award prospects in the fourth quarter and into 2009 despite the current global financial crisis," said Asherman. "Major producers have reaffirmed their commitment to maintaining capital expenditures for meeting future energy demand around the world. Considering the growing base load of our steel plate structure business, the recurring re·cur intr.v. re·curred, re·cur·ring, re·curs 1. To happen, come up, or show up again or repeatedly. 2. To return to one's attention or memory. 3. To return in thought or discourse. profitability of our technology business, our long-duration construction contracts, and new orders in nuclear, offshore and our core industry segments, we can achieve sustained earnings growth." CB&I is adjusting its 2008 revenue guidance to $5.9 billion to $6.1 billion, its full-year earnings guidance to a $0.10 to $0.30 loss per share, and its new awards guidance to $6.5 billion. Conference Call & Webcast CB&I will host a webcast, including a slide presentation, on Tuesday, October 28 at 4:00 p.m. Central time (5:00 p.m. Eastern time) to discuss financial and operating results and answer questions from investors. The webcast is available at www.CBI.com Investor Relations/Company Highlights. About CB&I CB&I combines proven process technology with global capabilities in engineering, procurement and construction  The introduction to this article is vague. To comply with Wikipedia's guidelines, it should be improved. to deliver
comprehensive solutions to customers in the energy and natural resource
industries. With more than 70 proprietary licensed technologies and
1,500 patents and patent applications, CB&I is uniquely positioned
to take projects from conceptual design, through technology licensing,
engineering and construction and final commissioning. Drawing upon the
global expertise and local knowledge of approximately 18,000 employees
in more than 80 locations, CB&I safely and reliably executes
projects worldwide. For more information visit www.CBI.com. If you would
like to be added to CB&I's news release email distribution
list, click here.
Forward-Looking Statement 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. Any statements made in this release that are not based on historical fact are forward-looking statements and represent management's best judgment as to what may occur in the future. The actual outcome and results are not guaranteed, are subject to risks, uncertainties and assumptions, and may differ materially from those expressed or implied by any forward-looking statements. A variety of factors could cause business conditions and results to differ materially from what is contained in the forward-looking statements including, but not limited to, the impact of the current, and the potential worsening wors·en tr. & intr.v. wors·ened, wors·en·ing, wors·ens To make or become worse. Noun 1. worsening - process of changing to an inferior state decline in quality, deterioration, declension of, turmoil in worldwide financial markets or current weakness in the credit markets on the Company, its backlog and prospects, or any aspect of its credit facility; the Company's ability to realize cost savings from its expected performance of contracts; the uncertain timing and the funding of new contract awards, and project cancellations Project cancellation hits around half of U.S. software development projects, whether developed for in-house corporate use or for sale as retail software. When a project is cancelled early on, it has little financial impact but if project sponsors wait until the project has gone and operating risks Operating risk The inherent or fundamental risk of a firm, without regard to financial risk. The risk that is created by operating leverage. Also called business risk. ; cost overruns on fixed price or similar contracts whether as the result of improper estimates or otherwise; risks associated with labor productivity; risks associated with percentage-of-completion accounting; the Company's ability to settle or negotiate unapproved un·ap·proved adj. Not approved or sanctioned: an unapproved vaccine; an unapproved protest march. change orders and claims; changes in the costs or availability of, or delivery schedule for, equipment, components, materials, labor or subcontractors; adverse impacts from weather may affect the Company's performance and timeliness of completion, which could lead to increased costs and affect the costs or availability of, or delivery schedule for, equipment, components, materials, labor or subcontractors; increased competition; fluctuating fluc·tu·ate v. fluc·tu·at·ed, fluc·tu·at·ing, fluc·tu·ates v.intr. 1. To vary irregularly. See Synonyms at swing. 2. To rise and fall in or as if in waves; undulate. v. revenue resulting from a number of factors, including the cyclical cyclical Of or relating to a variable, such as housing starts, car sales, or the price of a certain stock, that is subject to regular or irregular up-and-down movements. nature of the individual markets in which the Company's customers operate; lower than expected activity in the hydrocarbon hydrocarbon (hī'drōkär`bən), any organic compound composed solely of the elements hydrogen and carbon. The hydrocarbons differ both in the total number of carbon and hydrogen atoms in their molecules and in the proportion of hydrogen industry, demand from which is the largest component of the Company's revenue; lower than expected growth in the Company's primary end markets, including but not limited to LNG and energy processes; risks inherent in acquisitions and the Company's ability to obtain financing for proposed acquisitions; the Company's ability to integrate and successfully operate acquired businesses and the risks associated with those businesses; the weakening, non-competitiveness, unavailability of, or lack of demand for, our intellectual property rights; failure to keep pace with technological changes; failure of our patents or licensed technologies to perform as expected or to remain competitive, current, in demand, profitable or enforceable; adverse outcomes of pending claims or 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. or the possibility of new claims or litigation, and the potential effect on the Company's business, financial condition and results of operations; the ultimate outcome or effect of the pending Federal Trade Commission order on the Company's business, financial condition and results of operations; lack of necessary liquidity to finance expenditures prior to the receipt of payment for the performance of contracts and to provide bid and performance bonds and letters of credit securing the Company's obligations under its bids and contracts; proposed and actual revisions to U.S. and non-U.S. tax laws, and interpretation of said laws, Dutch tax treaties with foreign countries, and U.S. tax treaties with non-U.S. countries (including, but not limited to The Netherlands), that seek to increase income taxes payable; political and economic conditions including, but not limited to, war, conflict or civil or economic unrest in countries in which the Company operates; and a downturn or disruption in the economy in general. Additional factors which could cause actual results to differ materially from such forward-looking statements are described under "Risk Factors" as set forth in the Company's 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. filed with the SEC for the year ended Dec. 31, 2007. The Company does not undertake to update any forward-looking statements contained herein, whether as a result of new information, future events or otherwise. [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] |
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