EX-99.1 2 c93720exv99w1.htm EXHIBIT 99.1 Exhibit 99.1
EXHIBIT 99.1
Technitrol, Inc. Unaudited Pro Forma Consolidated Statements of Operations
for Seven Consecutive Three-Month Periods Ended September 25, 2009
(dollars in thousands, except per-share data)
                                                         
    2008     2009  
    Q1     Q2     Q3     Q4     Q1     Q2     Q3  
Consolidated Statements of Operations
                                                        
 
                                                        
Net sales
   $ 158,452     $ 174,552     $ 168,974     $ 124,292     $ 99,973     $ 92,071     $ 101,381  
Cost of goods sold
     119,279       136,209       126,339       95,936       77,504       68,647       74,154  
 
                                          
Gross profit
     39,173       38,343       42,635       28,356       22,469       23,424       27,227  
 
                                                        
Selling, general and administrative expenses
     29,571       34,421       29,144       30,066       22,210       20,894       23,399  
Severance, impairment and other associated costs
     1,965       2,447       4,860       144,022       77,055       3,193       2,619  
 
                                          
Operating profit (loss)
     7,637       1,475       8,631       (145,732 )     (76,796 )     (663 )     1,209  
 
                                                        
Interest expense, net
     (68 )     (1,057 )     (1,022 )     (476 )     (679 )     (655 )     (757 )
Other income (expense), net
     6,759       125       (833 )     (1,979 )     3,924       (2,031 )     3,190  
 
                                          
Earnings (loss) before tax from continuing operations
     14,328       543       6,776       (148,187 )     (73,551 )     (3,349 )     3,642  
 
                                                        
Income tax expense (benefit)
     310       3,181       (2,902 )     (3,575 )     (56 )     1,544       1,368  
 
                                          
Earnings (loss) from continuing operations
     14,018       (2,638 )     9,678       (144,612 )     (73,495 )     (4,893 )     2,274  
 
                                                        
Earnings (loss) from discontinued operations, net of taxes
     800       2,427       (4,123 )     (150,571 )     (1,065 )     (103,100 )     (13,358 )
 
                                          
Net earnings (loss)
     14,818       (211 )     5,555       (295,183 )     (74,560 )     (107,993 )     (11,084 )
 
                                                        
Non-controlling (loss) interest
     (81 )     (313 )     (204 )     (140 )     12       (111 )     (352 )
 
                                          
Net earnings (loss) attributable to Technitrol, Inc.
   $ 14,737     $ (524 )   $ 5,351     $ (295,323 )   $ (74,548 )   $ (108,104 )   $ (11,436 )
 
                                          
 
                                                        
Basic earnings (loss) per share from continuing operations
   $ 0.34     $ (0.07 )   $ 0.23     $ (3.55 )   $ (1.80 )   $ (0.12 )   $ 0.05  
Basic earnings (loss) per share from discontinued operations
     0.02       0.06       (0.10 )     (3.69 )     (0.03 )     (2.53 )     (0.33 )
 
                                          
Basic earnings (loss) per share
   $ 0.36     $ (0.01 )   $ 0.13     $ (7.24 )   $ (1.83 )   $ (2.65 )   $ (0.28 )
 
                                          
 
                                                        
Diluted earnings (loss) per share from continuing operations
   $ 0.34     $ (0.07 )   $ 0.23     $ (3.55 )   $ (1.80 )   $ (0.12 )   $ 0.05  
Diluted earnings (loss) per share from discontinued operations
     0.02       0.06       (0.10 )     (3.69 )     (0.03 )     (2.53 )     (0.33 )
 
                                          
Diluted earnings (loss) per share
   $ 0.36     $ (0.01 )   $ 0.13     $ (7.24 )   $ (1.83 )   $ (2.65 )   $ (0.28 )
 
                                          
 
                                                        
Amounts attributable to Technitrol, Inc. common shareholders
                                                        
Net earnings (loss) from continuing operations
   $ 13,937     $ (2,951 )   $ 9,474     $ (144,752 )   $ (73,483 )   $ (5,004 )   $ 1,922  
Net earnings (loss) from discontinued operations
     800       2,427       (4,123 )     (150,571 )     (1,065 )     (103,100 )     (13,358 )
 
                                          
Net earnings (loss)
   $ 14,737     $ (524 )   $ 5,351     $ (295,323 )   $ (74,548 )   $ (108,104 )   $ (11,436 )
 
                                          
 
                                                        
Adjusted Earnings Before Interest, Taxes, Depreciation and Amorization (EBITDA)
                                                        
 
                                                        
Net earnings (loss) attributable to Technitrol, Inc.
   $ 14,737     $ (524 )   $ 5,351     $ (295,323 )   $ (74,548 )   $ (108,104 )   $ (11,436 )
(Earnings) loss from discontinued operations, net of taxes
     (800 )     (2,427 )     4,123       150,571       1,065       103,100       13,358  
Non-controlling loss (interest)
     81       313       204       140       (12 )     111       352  
Depreciation and amortization
     7,129       8,408       6,504       5,174       4,906       4,330       4,555  
Interest expense, net
     68       1,057       1,022       476       679       655       757  
Other (income) expense, net
     (6,759 )     (125 )     833       1,979       (3,924 )     2,031       (3,190 )
Income tax expense (benefit)
     310       3,181       (2,902 )     (3,575 )     56       1,544       1,368  
 
                                          
EBITDA
     14,766       9,883       15,135       (140,558 )     (71,778 )     3,667       5,764  
Severance, impairment and other associated costs
     1,965       2,447       4,860       144,022       77,055       3,193       2,619  
Other adjustments: impact of purchase accounting adjustments & inventory write downs
     436       940       —       —       —       —       —  
 
                                          
Adjusted EBITDA
   $ 17,167     $ 13,270     $ 19,995     $ 3,464     $ 5,277     $ 6,860     $ 8,383  
 
                                          
 
                                                        
Net earnings (loss) per diluted share excluding severance, impairment and other associated costs and other adjustments
                                                        
 
                                                        
Net earnings (loss) per diluted share
   $ 0.36     $ (0.01 )   $ 0.13     $ (7.24 )   $ (1.83 )   $ (2.65 )   $ (0.28 )
Diluted (earnings) loss per share from discontinued operations
     (0.02 )     (0.06 )     0.10       3.69       0.03       2.53       0.33  
After-tax severance, impairment and other associated costs
     0.04       0.05       0.10       3.52       1.86       0.07       0.06  
After-tax other adjustments: impact of purchase accounting adjustments & inventory write downs
     0.01       0.02       —       —       —       —       —  
 
                                          
Net earnings (loss) per diluted share excluding severance, impairment and other associated costs and other adjustments
   $ 0.39     $ 0.00     $ 0.33     $ (0.03 )   $ 0.06     $ (0.05 )   $ 0.11  
 
                                          
 
                                                        
Operating profit (loss) excluding severance, impairment and other associated costs and other adjustments
                                                        
 
                                                        
Operating profit (loss)
   $ 7,637     $ 1,475     $ 8,631     $ (145,732 )   $ (76,796 )   $ (663 )   $ 1,209  
Severance, impairment and other associated costs
     1,965       2,447       4,860       144,022       77,055       3,193       2,619  
Other adjustments: impact of purchase accounting adjustments & inventory write downs
     436       940       —       —       —       —       —  
 
                                          
Operating profit (loss) excluding severance, impairment and other associated costs and other adjustments
   $ 10,038     $ 4,862     $ 13,491     $ (1,710 )   $ 259     $ 2,530     $ 3,828