EX-99.2 5 d374099dex992.htm FORM 10-K ITEM 6. SELECTED FINANCIAL DATA Form 10-K Item 6. Selected Financial Data

Exhibit 99.2

Item 6. Selected Financial Data

SELECTED CONSOLIDATED FINANCIAL AND OTHER DATA

(Dollar amounts in thousands, except per share data)

 

     Year Ended December 31,  
     2011(4)     2010
(As revised)
    2009     2008     2007  

Statement of Operations Data:

          

Contract revenue

   $ 1,615,040      $ 1,125,072      $ 1,185,809      $ 1,730,667      $ 928,927   

Operating expenses (income):

          

Contract

     1,472,420        995,332        1,046,144        1,499,084        823,526   

Amortization of intangibles

     15,681        9,724        6,515        10,420        794   

General and administrative

     134,745        112,371        79,971        110,034        66,708   

Goodwill impairment

     178,575        60,000        —          62,295        —     

Changes in fair value of

contingent earn-out liability

     (10,000     (45,340     —          —          —     

Settlement of project dispute

     8,236        —          —          —          —     

Other charges

     105        3,771        12,694        —          —     

Acquisition costs

     —          10,055        2,499        —          660   

Government fines

     —          —          —          —          22,000   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating income (loss)

     (184,722     (20,841     37,986        48,834        15,239   

Interest expense, net

     (45,117     (27,677     (8,360     (9,049     (6,096

Other, net

     (430     1,649        (674     861        (4,332

Loss on early extinguishment of debt

     (6,304     —          —          —          (15,375
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations before income taxes

     (236,573     (46,869     28,952        40,646        (10,564

Provision (benefit) for income taxes

     (32,293     (31,048     7,528        17,028        15,391   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from continuing operations

     (204,280     (15,821     21,424        23,618        (25,955

Income (loss) from discontinued operations net of provision for income taxes

     (88,541     (20,008     (1,784     21,850        (23,786
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

     (292,821     (35,829     19,640        45,468        (49,741

Less: Income attributable to noncontrolling interest

     (1,195     (1,207     (1,817     (1,836     (2,210
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) attributable to Willbros Group, Inc.

   $ (294,016   $ (37,036   $ 17,823      $ 43,632      $ (51,951
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Reconciliation of net income (loss) attributable to Willbros Group, Inc.

          

Income (loss) from continuing operations

   $ (205,475   $ (17,028   $ 19,607      $ 21,782      $ (28,165

Income (loss) from discontinued operations

     (88,541     (20,008     (1,784     21,850        (23,786
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) attributable to Willbros Group, Inc.

   $ (294,016   $ (37,036   $ 17,823      $ 43,632      $ (51,951
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Basic income (loss) per share attributable to Company shareholders:

          

Continuing operations

   $ (4.33   $ (0.40   $ 0.51      $ 0.57      $ (0.96

Discontinued operations

     (1.86     (0.47     (0.05     0.56        (0.81
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

   $ (6.19   $ (0.87   $ 0.46      $ 1.13      $ (1.77
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Diluted income (loss) per share attributable to Company shareholders:

          

Continuing operations

   $ (4.33   $ (0.40   $ 0.50      $ 0.56      $ (0.96

Discontinued operations

     (1.86     (0.47     (0.05     0.56        (0.81
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

   $ (6.19   $ (0.87   $ 0.45      $ 1.12      $ (1.77
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Cash Flow Data:

          

Cash provided by (used in):

          

Operating activities

   $ 11,713      $ 46,871      $ 47,304      $ 179,071      $ (15,793

Investing activities

     58,376        (404,651     (34,036     (11,725     (150,601

Financing activities

     (147,296     297,795        (28,481     (47,469     219,340   

Effect of exchange rate changes

     (449     2,402        6,135        (5,001     2,297   

Balance Sheet Data (at period end):

          

Cash and cash equivalents

   $ 58,686      $ 134,305      $ 196,903      $ 189,465      $ 91,053   

Working capital from continuing operations

     172,452        255,044        274,326        263,680        197,563   

Total assets(3)

     861,771        1,270,345        728,378        787,344        778,391   

Total liabilities(3)

     630,193        746,805        240,383        343,209        375,666   

Total debt

     268,794        387,928        103,875        119,988        136,793   

Stockholders’ equity

     231,578        523,540        487,995        444,135        402,725   

Other Financial Data (excluding discontinued operations):

          

12 Month Backlog (at period end)(1)

   $ 865,124      $ 809,632      $ 388,903      $ 588,898      $ 1,235,363   

Capital expenditures, excluding acquisitions

     10,864        16,121        11,082        46,695        66,622   

Adjusted EBITDA from continuing operations(2)

     45,106        67,797        99,138        157,049        20,192   

Number of employees (at period end):

     8,810        7,260        3,714        6,512        5,475   

 

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(1) Backlog is anticipated contract revenue from uncompleted portions of existing contracts and contracts whose award is reasonably assured. MSA backlog is estimated for the remaining terms of the contract. MSA backlog is determined based on historical trends inherent in the MSAs, factoring in seasonal demand and projecting customer needs based on ongoing communications.
(2) Adjusted EBITDA from continuing operations is included in this Form 10-K because it is one of the measures through which we assess our financial performance. Adjusted EBITDA from continuing operations is not calculated or presented in accordance with U.S. GAAP. For a definition of Adjusted EBITDA from continuing operations, a reconciliation of Adjusted EBITDA from continuing operations to income (loss) from continuing operations (its most directly comparable financial measure calculated and presented in accordance with U.S. GAAP), and additional information regarding this non-GAAP financial measure, see Item 7 “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Other Financial Measures – Adjusted EBITDA from Continuing Operations.”
(3) The Company revised its previously reported consolidated balance sheet as of December 31, 2010 to correct errors in the deferred income tax balances and associated goodwill recorded in connection with the acquisition of InfrastruX. In the aggregate, these errors resulted in an overstatement of goodwill and deferred income tax liabilities of approximately $15,157.
(4) The Company recorded adjustments during the year ended December 31, 2011 to correct errors primarily related to income taxes and revenue for years preceding 2011. The tax adjustments related to errors in the calculation of the income tax provision and the over-accrual of interest associated with uncertain tax positions for the years 2007 through 2010. Revenue was overstated as a result of the use of incorrect data for two contracts in the Company’s Oil & Gas segment in 2010. The net impact of these adjustments was an increase to pre-tax loss in the amount of $1,208, a decrease to the income tax benefit from continuing operations in the amount of $1,407 and an increase to net loss in the amount of $2,615 for the year ended December 31, 2011. These adjustments did not have any impact on the Company’s loss from discontinued operations. The Company does not believe these adjustments are material individually or in the aggregate to its consolidated financial statements for the year ended December 31, 2011, nor does it believe such items are material to any of its previously issued financial statements.

 

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