Sea Containers Ltd. reports first quarter net income of $1.9 million, reducing by two thirds the seasonal first quarter loss on common shares from first quarter 1996.HAMILTON Hamilton, city, Bermuda Hamilton, city (1990 est. pop. 3,100), capital of Bermuda, on Bermuda Island. It is a port at the head of Great Sound, a huge lagoon and deepwater harbor protected by coral reefs. , Bermuda--(BUSINESS WIRE)--May 15, 1997--Sea Containers Ltd., container lessor One who rents real property or Personal Property to another. A lessor of land is a landlord. Cross-references Landlord and Tenant. lessor n. the owner of real property who rents it to a lessee pursuant to a written lease. , passenger transport operator and hotels company today announced its results for the first quarter ended March 31, 1997. Net earnings were $1.9 million on revenue of $248 million compared with breakeven breakeven 1. The level of output or sales necessary to cover fixed expenses. Companies in industries that have high fixed costs and, consequently, high breakevens, such as automobile and steel manufacturing, are likely to exhibit large fluctuations on revenue of $106 million in the first quarter of 1996. Net loss on common shares (after payment of preferred share dividends) was $0.13 compared with a net loss of $0.34 per common share in the first quarter of 1996, reducing by two thirds the seasonal first quarter loss. The company's ferries incur To become subject to and liable for; to have liabilities imposed by act or operation of law. Expenses are incurred, for example, when the legal obligation to pay them arises. An individual incurs a liability when a money judgment is rendered against him or her by a court. losses in the first quarter when passenger travel is at its lowest ebb and many ships are out of service for refit. It is also the low period for European European emanating from or pertaining to Europe. European bat lyssavirus see lyssavirus. European beech tree fagussylvaticus. European blastomycosis see cryptococcosis. hotels and tourist trains. Mr. James James, person in the Bible James, in the Gospel of St. Luke, kinsman of St. Jude. The original does not specify the relationship. James, rivers, United States James. B. Sherwood, President, said he was pleased with the results which are in line with the company's forecast for a doubling of earnings on common shares for the year (from $1.20 per common share in 1996 to at least $2.40 per common share for 1997) as contained in the 1996 Annual Report which has now been mailed to all shareholders. In commenting on divisional earnings Mr. Sherwood said that Container Division results were still lagging Lagging Strategy used by a firm to stall payments, normally in response to exchange rate projections. due to lower utilization and lease rates in the first quarter of 1997 compared with the first quarter of 1996 (85% compared with 88%), however, the utilization trend is up. Operating profits Operating profit (or loss) Revenue from a firm's regular activities less costs and expenses and before income deductions. operating profit See operating income. in the first quarter of 1997 were $16 million compared with $17.6 million in the preceding quarter. The company has forecast a small reduction in Container Division results for 1997 compared with 1996 because of higher interest rates on container debt, continued soft lease rates and less than traditional utilization. The Ferry, Rail and Port Division reported a major swing in first quarter results from an operating loss 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. of $4.6 million in the first quarter of 1996 to a profit of $0.9 million in the first quarter of 1997. This swing was due in part to profits from rail operations (the company acquired the Great North Eastern Railway in the second quarter of 1996) plus lower winter losses from its Scottish and Scandinavian ferry services. Mr. Sherwood said that it appears the two new SuperSeaCats will be delivered from the yard this month, in time to take advantage of the peak summer season which starts in June June: see month. . Sea trials have been successful with quality of ride in rough seas excellent. Leisure Division operations continue to leap ahead with operating profits up 165% to $9.8 million from $3.7 million in the first quarter of 1996, due to the effect of the additional room stock at the Mount Nelson Hotel in Cape Town Cape Town or Capetown, city (1991 pop. 854,616), legislative capital of South Africa and capital of Western Cape, a port on the Atlantic Ocean. It was the capital of Cape Province before that province's subdivision in 1994. , the acquisition of La Samanna in St. Martin St. Martin in midwinter, gave his cloak to a freezing beggar. [Christian Hagiog.: Brewer Dictionary] See : Kindness and Reid's in Madeira Madeira, river, Bolivia and Brazil Madeira (mədā`rə), river, c.2,100 mi (3,380 km) long, formed by the junction of the Beni and Mamoré rivers on the Bolivia-Brazil border. It flows north along the border for c. and the complete room stock at the Copacabana Palace being available for the first time since completion of renovation. Mr. Sherwood said that its affiliated company, Orient-Express Hotels Properties Ltd. had acquired the Hotel de la Cit in Carcassone, France on April 30th as planned and Orient-Express Hotels Ltd. had taken over management of the Bora Bora Bo·ra Bo·ra A volcanic island of French Polynesia in the Leeward group of the Society Islands in the southern Pacific Ocean. Lagoon lagoon Area of relatively shallow, quiet water with access to the sea but separated from it by sandbars, barrier islands, or coral reefs. Coastal lagoons have low to moderate tides and constitute about 13% of the world's coastline. Resort in the Society Islands on April 21st. A number of additional hotel investments are under negotiation. The company is planning to bid on two government passenger transport privatizations This list of privatizations provides links to notable and/or major privatizations. See also: Privatization. Argentina
The annual meeting of shareholders of the company will be held at '21' Club in New York City New York City: see New York, city. New York City City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. (owned by the company) on June 3rd, 1997 starting at 2 p.m. Mr. Sherwood indicated that a film would be shown about the company's latest developments and the operating chief executives will make presentations and answer questions. This press release contains, in addition to historical information, 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 risks and uncertainties. These include statements regarding the company's earnings forecasts, its growth and expansion plans, and similar matters that are not historical facts. Such statements are based on management's current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements. Factors that may cause such a difference include, but are not limited to, those described in the press release, customer demand and competitive considerations, seasonality of certain of the company's businesses, interest rate and currency value fluctuations, adequate sources of new capital, global and regional economic conditions, and legislative, regulatory and political developments. Additional information regarding these and other factors is included in the company's reports filed with the U.S. Securities and Exchange Commission. -0-
SEA CONTAINERS LTD. AND SUBSIDIARIES
SUMMARY OF OPERATING RESULTS (UNAUDITED)
Three months ended March 31,
1997 1996
Container asset rental and sales revenue $ 44,649,000 $51,838,000
Ferry, Rail and Port operations revenue 154,019,000 21,790,000
Leisure operations revenue 46,975,000 29,530,000
Other revenue 2,396,000 2,966,000
Total revenue $248,039,000 $106,124,000
Earnings/(losses) before finance
costs and income taxes:
Container asset rental and sales $ 16,032,000 $ 22,255,000
Ferry, Rail and Port operations 853,000 (4,621,000)
Leisure operations 9,766,000 3,686,000
Other (105,000) 68,000
26,546,000 21,388,000
Corporate costs (3,262,000) (3,348,000)
Net finance costs (24,405,000) (21,080,000)
Losses before income taxes (1,121,000) (3,040,000)
Provision for income taxes (3,000,000) (3,050,000)
Net earnings 1,879,000 10,000
Preferred share dividends (3,561,000) (3,896,000)
Net losses on class A and
class B common shares $ (1,682,000) $ (3,886,000)
Net losses per class A and
class B common share:
Primary $ (0.13) $ (0.34)
Fully diluted $ - $ -
Weighted average number of
class A and class B common shares:
Primary 13,424,264 11,361,780
SEA CONTAINERS LTD. AND SUBSIDIARIES
CONSOLIDATED AND CONDENSED BALANCE SHEETS (UNAUDITED)
March 31, December 31,
1997 1996
Containers, Chassis and Ships,
net book value $ 947,603,000 $ 937,944,000
Real estate and other fixed assets,
net book value 532,976,000 532,405,000
Assets under capital leases, net
book value 12,517,000 17,669,000
Cash 54,923,000 102,961,000
Receivables 233,459,000 242,579,000
Inventories 31,542,000 34,277,000
Investments 39,113,000 33,231,000
Other assets 131,241,000 125,154,000
$1,983,374,000 $2,026,220,000
Liabilities with respect to Containers,
Chassis and Ships $ 690,353,000 $ 681,850,000
Bank loans with respect to real estate
and other fixed assets 269,642,000 272,210,000
Obligations under capital leases 11,238,000 14,859,000
Other liabilities 289,566,000 325,206,000
92% senior notes 100,000,000 100,000,000
102% senior notes 65,000,000 65,000,000
122% senior subordinated debentures 123,421,000 123,369,000
103% subordinated debentures 13,000,000 13,000,000
Redeemable preferred shares 44,100,000 44,100,000
Shareholders' equity 768,315,000 777,887,000
Class B common shares with voting
rights owned by subsidiaries (391,261,000) (391,261,000)
$1,983,374,000 $2,026,220,000
CONTACT: Jennifer Hawkins Jennifer Hawkins (born 22 December 1983 in Holmesville, New South Wales, Australia<ref name="holmesville" />) is a beauty queen, model and television presenter from Newcastle, Australia who held the Miss Universe 2004 title. Sea Containers Sea Containers may refer to:
212/302-5066 William W. Galvin 212/838-5454 |
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