Foster Wheeler Reports 2000 Results On Target.Business EditorsCLINTON Clinton. 1 Town (1990 pop. 12,767), Middlesex co., S Conn., on Long Island Sound; settled 1663, set off from Killingworth and inc. 1838. The school that later became Yale opened here in 1702. , N.J.--(BUSINESS WIRE)--Jan. 30, 2001 --New Orders Increase by 24 Percent for the Year --Net Earnings After Losses in Past Two Years --Net Debt Reduced by $109 Million in 2000 Foster Wheeler Corporation Foster-Wheeler (FWLT) is a global conglomerate with a focus on Engineering, Construction and Procurement (EPC) and power, which form two different groups of the company. The company was formed in 1927 by the merger of a power company (created by the Foster family) with Wheeler (NYSE NYSE See: New York Stock Exchange :FWC FWC Fish and Wildlife Conservation Commission (Florida) FWC Foster Wheeler Corporation (Clinton, NJ) FWC Family Winemakers of California FWC Fresh Water Cooling FWC Flight Warning Computer ) today reported fourth-quarter and year-end year-end also year·end n. The end of a year. adj. Occurring or done at the end of the year: a year-end audit. Noun 1. financial results for 2000. In the fourth quarter net earnings were $12.3 million, or $0.30 per share-diluted (ps-d). In the year-ago fourth quarter, the company reported a net loss of $141.5 million or $3.47 ps-d after a pre-tax pre-tax adj → anterior al impuesto pre-tax adj → avant impôt(s) pre-tax adj → al lordo d'imposta charge of $214 million ($154 million after tax) for the Robbins Rob·bins , Frederick Chapman 1916-2003. American microbiologist. He shared a 1954 Nobel Prize for work on the cultivation of the polio virus. Resource Recovery Facility exit agreement. For the full year ended December December: see month. 29, 2000 net earnings were $39.5 million or $.97 ps-d, compared to a net loss of $143.6 million or $3.53 ps-d for the year ended December 31, 1999. The results for 1999 included charges for the Robbins Resource Recovery Facility and a third-quarter cost realignment re·a·lign tr.v. re·a·ligned, re·a·lign·ing, re·a·ligns 1. To put back into proper order or alignment. 2. To make new groupings of or working arrangements between. . New orders booked for the full year increased 24 percent to $4.5 billion from $3.6 billion in 1999. New orders booked for the quarter ended December 29, 2000 amounted to $1.0 billion compared to $0.9 billion in 1999. The backlog Backlog The total value of sales orders waiting to be fulfilled. Notes: This figure is used mainly in the manufacturing industry. Increases or decreases in a company's backlog indicate the future direction of sales and earnings. of orders totaled $6.1 billion consistent with the backlog at the end of December 1999. In the fourth quarter, Foster Wheeler's Italian subsidiary, Foster Wheeler Italiana, Spa, sold 50 percent of its interest in Lomellina The Lomellina is a geographical and historical area in the Pianura Padana (Po River's valley) of northern Italy, located in south-western Lombardy between the Sesia, Po and Ticino rivers. Energia Energia also called RKK Energia formerly OKB-1 Russian aerospace company that is a major producer of spacecraft, rockets, and missiles. Energia originated in 1946 as a department within a Soviet institute conducting work on long-range missiles. Srl, a waste-to-energy Waste-to-energy (WtE) or energy-from-waste (EfW) in its strictest sense refers to any waste treatment that creates energy in the form of electricity and/or heat from a waste source that would have alternatively been disposed of in landfill, also called energy recovery facility. Including debt deconsolidation, the transaction reduced the company's net borrowings by approximately $130 million. The overall net debt reduction for the year was $109 million. "We reached the targets and objectives we had set ourselves at the outset of 2000 and have managed to lay some sound foundations for the company's financial development," said Richard Ri·chard , Joseph Henri Maurice Known as "Rocket." 1921-2000. Canadian hockey player. A right wing for the Montreal Canadiens (1942-1960), he led his team to eight Stanley Cup championships and was the first player to score 50 goals in a J. Swift, Foster Wheeler's chairman, president, and chief executive officer. "And we achieved these goals despite little investment growth from the oil and gas industry worldwide, a major element of our business. This market continued to be muted mut·ed adj. 1. a. Muffled; indistinct: a muted voice. b. Mute or subdued; softened: muted colors. 2. throughout 2000, although there are indications that a recovery could emerge in 2001. "The year saw growth in our Energy Equipment business, with bookings up 39 percent. National attention 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. is beginning to focus on energy sources, electricity generation, aging generating plants and the lack of natural gas supply to meet demand. Also, the new Administration in Washington Washington, town, England Washington, town (1991 pop. 48,856), Sunderland metropolitan district, NE England. Washington was designated one of the new towns in 1964 to alleviate overpopulation in the Tyneside-Wearside area. has indicated an interest in developing a national energy policy. These developments have positive implications for Foster Wheeler since we are ideally placed to provide both natural gas and solid fuel technologies to meet future needs." "We saw steady progress in 2000 with several strategies to rebuild the company's financial position," said Gilles
The Gilles are the oldest and principal participants in the Carnival of Binche. A. Renaud Renaud may refer to:
n. 1. Forward movement or the rate of forward movement, especially of a ship. 2. Progress toward a goal. 3. The clear vertical space beneath a ceiling or archway; clearance. 4. in reducing the company's net debt by approximately $109 million in the year primarily by selling 50 percent of our holdings in a waste-to-energy facility in Italy Italy (ĭt`əlē), Ital. Italia, officially Italian Republic, republic (2005 est. pop. 58,103,000), 116,303 sq mi (301,225 sq km), S Europe. . We will continue to pursue a variety of options to reduce our long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. even further in 2001. "Also, our board of directors agreed on a plan to change our legal domicile domicile (dŏm`əsīl'), one's legal residence. This may or may not be the place where one actually resides at any one time. The domicile is the permanent home to which one is presumed to have the intention of returning whenever the purpose to Bermuda from 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 , which will enable us to create more value for our stockholders because of the operational, regulatory and tax advantages this will create. This plan will be voted on by stockholders at our annual meeting in April," he said. Engineering and Construction Group New orders in the Engineering and Construction (E&C) Group during the fourth quarter were slightly down as we were more selective in choosing contracts with lower risk. Bookings for the quarter were $693 million compared to $702 million in the fourth quarter of 1999, making the Group's backlog $4.5 billion versus $4.7 billion at the end of 1999. The Group had revenues of $778 million, down from $848 million in the fourth quarter of 1999. For the year, E&C bookings increased 12 percent to $3.1 billion from $2.8 billion in 1999. Revenues were $2,979 million, compared to $3,016 million in the same period of last year. Energy Equipment Group During the fourth quarter 2000, the Energy Equipment Group's new orders continued to reflect the demand for its Heat Recovery Steam Generators A heat recovery steam generator or HRSG is a heat exchanger that recovers heat from a hot gas stream. It produces steam that can be used in a process or used to drive a steam turbine. and Selective Catalytic Reduction Selective catalytic reduction (SCR) is a means of removing nitrogen oxides, often the most abundant and polluting component in exhaust gases, through a chemical reaction between the exhaust gases, a (reductant) additive, and a catalyst. units as well as its Circulating cir·cu·late v. cir·cu·lat·ed, cir·cu·lat·ing, cir·cu·lates v.intr. 1. To move in or flow through a circle or circuit: blood circulating through the body. 2. Fluidized-Bed boilers. The Group's bookings increased 56 percent to $377 million from $242 million for the fourth quarter of 1999. Backlog at the end of the quarter was $1.7 billion, which was 20 percent up from the fourth quarter of 1999. For the year bookings rose 39 percent to $1,469 million from $1,057 million in 1999. Revenues for 2000 grew five percent to $1,094 million from $1,040 million in the same period of last year. Notes to Editors: 1. Consolidated Statements follow. 2. Foster Wheeler plans to hold a conference call tomorrow, January 31, at 11:00 a.m. EST EST electroshock therapy. EST abbr. electroshock therapy , to review its financial results for the fourth quarter and fiscal year ended December 29, 2000. The call will be accessible to the public by telephone or web cast. To listen to the call by telephone in the United States, dial (800) 370-0740 approximately ten minutes before the call. International access is available by dialing (973) 321-2002. The conference call will also be available over the Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the at www.fwc.com or through StreetEvents at www.streetevents.com. A replay of the call will be available on the company's web site as well as by telephone. To listen to the replay by telephone, dial (877) 318-5459 or (402) 220-0513 starting one hour after the conclusion of the call. The replay can also be accessed on the company's web site for two weeks following the call. 3. Foster Wheeler Corporation is a global company offering, through its subsidiaries, a broad range of design, engineering, construction, manufacturing, project development and management, research, plant operations and environmental services The various combinations of scientific, technical, and advisory activities (including modification processes, i.e., the influence of manmade and natural factors) required to acquire, produce, and supply information on the past, present, and future states of space, atmospheric, . The Corporation's headquarters are at Clinton, NJ. For more information about Foster Wheeler, visit our WorldWide Web site at www.fwc.com. 4. 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. Statement This news release contains 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 based on management's assumptions, expectations and projections about the various industries within which the Corporation operates. Such forward-looking statements by their nature involve a degree of risk and uncertainty. The Corporation cautions that a variety of factors, including but not limited to the following, could cause business conditions and results to differ materially from what is contained in forward-looking statements: changes in the rate of economic growth in the United States and other major international economies, changes in investment by the energy, power and environmental industries, changes in regulatory environment, changes in project schedules, changes in trade, monetary and fiscal policies worldwide, currency fluctuations, outcomes of pending and future 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. , protection and validity of patents and other intellectual property rights, and increasing competition by foreign and domestic companies. [FINANCIAL STATEMENTS ATTACHED]
FOSTER WHEELER CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF EARNINGS - SUMMARY
(In Thousands of Dollars, Except per Share Amounts)
Three Months Ended Year Ended
December December December December
2000 1999(a) 2000 1999(a,b)
Unfilled
orders $ 6,142,347 $ 6,050,525 $ 6,142,347 $ 6,050,525
New orders
booked $ 999,826 $ 943,173 $ 4,480,000 $ 3,623,202
Revenues:
Operating
revenues $ 1,055,997 $ 1,073,240 $ 3,891,362 $ 3,867,030
Other income 31,496 22,899 76,726 77,044
Total
revenues 1,087,493 1,096,139 3,968,088 3,944,074
Cost and Expenses:
Cost of operating
revenues 973,927 990,196 3,565,182 3,569,196
Selling, general &
administrative
expenses 57,034 60,408 219,324 235,549
Other deductions/minority
interest 36,476 20,982 111,790 100,674
Dividends on
preferred
security of
subsidiary
trust 3,938 3,938 15,750 15,181
Robbins facility
write-down -0- 214,000 -0- 214,000
Total costs and
expenses 1,071,375 1,289,524 3,912,046 4,134,600
Earnings/(loss) before
income taxes 16,118 (193,385) 56,042 (190,526)
Provision/(Benefit) for
income taxes 3,788 (51,872) 16,548 (46,891)
Net earnings/
(loss) $ 12,330 $ (141,513) $ 39,494 $ (143,635)
Earnings/(loss) per
share:
Basic and
Diluted .30 $ (3.47) $ .97 $ (3.53)
Cash dividends paid
per share $ .06 $ .06 $ .24 $ .54
Shares outstanding:
Basic:
Weighted average
number of shares
outstanding 40,814 40,760 40,798 40,742
Diluted:
Effect of stock
options (c) 7 (c)
Total diluted 40,814 40,760 40,805 40,742
a) Includes in the year and three months ended December 1999, a
pre-tax loss for the Robbins Resource Recovery facility of
$244,600 and $214,000 ($173,900 and $154,000 after tax)
respectively.
b) Includes in the year ended December 1999, a pre-tax charge of
$37,600 ($27,600 after tax) for cost realignment.
c) The effect of the stock options was not included in the
calculation of diluted earnings per share as these options were
antidilutive due to the loss.
Foster Wheeler Corporation and Subsidiaries
MAJOR BUSINESS GROUPS
(In Millions of Dollars)
FOR THE YEAR
Engineering Corporate and
Ended And Energy Financial
December 29, 2000 Total Construction Equipment Services(d)
Unfilled orders $ 6,142.3 $ 4,534.7 $ 1,727.4 $ (119.8)
New orders booked 4,480.0 3,094.6 1,468.7 (83.3)
Revenues 3,968.1 2,979.5 1,094.2 (105.6)
Interest expense (c) 83.2 7.1 35.9 40.2
Earnings/(loss)
before income taxes 56.0 87.9 45.1 (77.0)
Provision/(benefit)
for income taxes 16.5 27.7 18.0 (29.2)
Net earnings/(loss) $ 39.5 $ 60.2 $ 27.1 $ (47.8)
Engineering Corporate and
Ended and Energy Financial
December 31, 1999 Total Construction Equipment Services(d)
Unfilled orders $ 6,050.5 $ 4,741.5 $ 1,445.8 $ (136.8)
New orders booked 3,623.2 2,752.2 1,057.3 (186.3)
Revenues 3,944.1 3,015.9 1,039.7 (111.5)
Interest expense (c) 70.2 6.8 46.5 16.9
(Loss)/earnings before
income taxes (190.5) 92.0 (204.1) (78.4)
(Benefit)/provision for
income taxes (46.9) 35.2 (56.1) (26.0)
Net (loss)/earnings (a) $ (143.6) $ 56.8 $ (148.0)(b) $ (52.4)
a) Includes in 1999, a pre-tax charge for cost realignment of $37.6
($27.6 after tax), the charge by group is: Engineering and
Construction $19.6, Energy Equipment $2.5, Corporate and Financial
$15.5.
b) Includes pre-tax losses recorded for the Robbins facility in 1999
of $244.6 ($173.9 after tax).
c) Includes dividend of Trust Preferred Securities.
d) Includes Intersegment Eliminations
-3-
Foster Wheeler Corporation and Subsidiaries
MAJOR BUSINESS GROUPS
(In Millions of Dollars)
FOR THE THREE MONTHS
Engineering Corporate and
Ended and Energy Financial
December 29, 2000 Total Construction Equipment Services(c)
Unfilled orders $ 6,142.3 $ 4,534.7 $ 1,727.4 $(119.8)
New orders booked 999.8 693.5 377.2 (70.9)
Revenues 1,087.5 778.1 334.2 (24.8)
Interest expense (b) 23.7 2.5 10.2 11.0
Earnings/(loss) before
income taxes 16.1 24.5 14.0 (22.4)
Provision/(benefit) for
income taxes 3.8 7.0 5.7 (8.9)
Net earnings/(loss) $ 12.3 $ 17.5 $ 8.3 $ (13.5)
Engineering Corporate and
Ended and Energy Financial
December 31, 1999 Total Construction Equipment Services
Unfilled orders $ 6,050.5 $ 4,741.5 $ 1,445.8 $(136.8)
New orders booked 943.2 702.1 241.9 (0.8)
Revenues 1,096.2 848.4 294.5 (46.7)
Interest expense (b) 17.5 2.0 12.0 3.5
(Loss)/earnings before
income taxes (193.4) 31.4 (204.4) (20.4)
(Benefit)provision for
income taxes (51.9) 11.9 (56.4) (7.4)
Net (loss)/earnings $ (141.5) $ 19.5 $ (148.0)(a) $ (13.0)
a) Includes pre-tax losses recorded for the Robbins facility in 1999 of $214.0 ($154.0 after tax). b) Includes dividend of Trust Preferred Securities c) Includes Intersegment Eliminations |
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