PharMerica Corporation (Unaudited) Condensed Combined Statements of Operations

EX-99.1 2 dex991.htm PHARMERICA CORPORATION (UNAUDITED) CONDENSED COMBINED STATEMENTS OF OPERATIONS PharMerica Corporation (Unaudited) Condensed Combined Statements of Operations

Exhibit 99.1

PHARMERICA CORPORATION

(UNAUDITED) CONDENSED COMBINED STATEMENTS OF OPERATIONS

FOR THE THREE MONTH PERIODS ENDED


	March 31, 2007									June 30, 2007									September 30, 2007
	KPS ⁽¹⁾ (GAAP)			LTC⁽²⁾ (Reconciliation)			Combined⁽³⁾ (Non-GAAP)			KPS⁽¹⁾ (GAAP)			LTC ⁽²⁾ (Reconciliation)			Combined ⁽³⁾(Non-GAAP)			PMC ⁽⁴⁾ (GAAP)			LTC ⁽⁵⁾(Reconciliation)		Combined ⁽⁶⁾ (Non-GAAP)
Revenues	$	174,704		$	312,402		$	487,106		$	173,407		$	306,669		$	480,076		$	377,533		$	104,278	$	481,811
Cost of goods sold		152,801			266,962			419,763			153,026			261,220			414,246			321,055			91,758		412,813

Gross profit		21,903			45,440			67,343			20,381			45,449			65,830			56,478			12,520		68,998
Selling, general and administrative expenses		17,708			39,824			57,532			18,700			39,154			57,854			48,266			9,494		57,760

Operating income (loss)		4,195			5,616			9,811			1,681			6,295			7,976			8,212			3,026		11,238
Integration, merger related expenses and other charges		3,303			—			3,303			2,392			—			2,392			46,828			314		47,142
Interest (income) expense, net		(3	)		(2	)		(5	)		(5	)		(3	)		(8	)		3,064			—		3,064

Income (loss) before income taxes		895			5,618			6,513			(706	)		6,298			5,592			(41,680	)		2,712		(38,968	)
Provision (benefit) for income taxes		354			2,283			2,637			(277	)		2,601			2,324			(14,686	)		1,085		(13,601	)

Net income (loss)	$	541		$	3,335		$	3,876		$	(429	)	$	3,697		$	3,268		$	(26,994	)	$	1,627	$	(25,367	)

Statistical data:
Number of customer licensed beds at the end of the period		103,326			237,405			340,731			102,471			238,672			341,143			104,639			237,538		342,177
Number of prescriptions dispensed per period		3,441			6,791			10,232			3,470			6,659			10,129			3,407			4,391		7,798
Adjusted EBITDA Reconciliation:
Net income	$	541		$	3,335		$	3,876		$	(429	)	$	3,697		$	3,268		$	(26,994	)	$	1,627	$	(25,367	)
Adjustments:
Interest expense (income), net		(3	)		(2	)		(5	)		(5	)		(3	)		(8	)		3,064			—		3,064
Integration, merger related expenses and other charges		3,303			—			3,303			2,392			—			2,392			46,828			314		47,142
Change in accounting estimate		—			—			—			—			—			—			(3,102	)		—		(3,102	)
Provision (benefit) for income taxes		354			2,283			2,637			(277	)		2,601			2,324			(14,686	)		1,085		(13,601	)
Depreciation and amortization expense		2,816			3,751			6,567			2,760			3,595			6,355			5,879			1,132		7,011

Adjusted EBITDA	$	7,011		$	9,367		$	16,378		$	4,441		$	9,890		$	14,331		$	10,989		$	4,158	$	15,147

(1)

Amounts reflect the historical operating results of KPS for the period presented.

(2)

Amounts reflect the reconciliation of historical operating results of LTC for the periods presented to Non-GAAP.

(3)

Amounts reflect the historical operating results of KPS and reconciliation of the historical operating results of LTC for the periods presented on a combined basis. Combined financial statements are reflected as Non-GAAP as the necessary adjustments for consolidation for periods presented have not been performed for this presentation.

(4)

Amounts reflect the KPS third quarter operating results and the operating results of LTC for the periods of August 2007 and September 2007 and reported as PharMerica Corporation.

(5)

Amounts reflect the reconciliation of LTC operating results for the one month of July 2007 to Non-GAAP.

(6)

Amounts reflect the operating results of PharMerica Corporation for the three months ended September 30, 2007 and results of LTC for the one month period of July 2007 as Non-GAAP.