MDA reports fourth quarter and full year 2008 results



    
    MDA ends fiscal year 2008 with solid results

    -  Annual consolidated revenues were $1,168 million compared to
       $1,204 million for 2007
    -  Adjusted EPS was $2.28 compared to $2.47 for 2007
    -  Total order backlog at year-end was $745 million (December 31, 2007 -
       $641 million)
    

    RICHMOND, BC, Feb. 26 /CNW/ - MacDonald, Dettwiler and Associates Ltd.
(TSX:MDA), a provider of essential information solutions, today reported
financial results for the fourth quarter and year ended December 31, 2008.
    Consolidated revenues for the fourth quarter of 2008 were $278 million
compared to $294 million for the same period last year. In the financial
services sector, the Company's property insurance information business
realized robust growth which partially offset lower volume of activity in the
conveyancing and lending markets. The Company's geospatial information
business and its Information Systems group continued to perform well. These
results collectively led to Information Products revenues of $174 million for
the fourth quarter of 2008 compared to $203 million for the same period in
2007, and Information Systems revenues of $105 million for the fourth quarter
of 2008 compared to $91 million for the same period a year ago.
    Diluted adjusted EPS for the fourth quarter of 2008 was 52 cents compared
to 72 cents for the same period last year. Reported on a GAAP basis, diluted
EPS for the fourth quarter of 2008 was 22 cents compared to 70 cents for the
same period a year ago. Adjusted net earnings exclude the impact of items
affecting comparability, including costs relating to restructuring,
stock-based compensation expense and fair value adjustments on equity forward
contracts and interest rate swap contracts.
    For the full year ended December 31, 2008, consolidated revenues were
$1,168 million compared to $1,204 million for 2007. Information Products
revenues were $768 million compared to $845 million for 2007. Information
Systems revenues increased to $401 million from $359 million a year ago.
Diluted adjusted EPS for 2008 was $2.28 compared to $2.47 for the prior year.
Adjusted net earnings for the full year excluded the non-recurring costs
related to the terminated divestiture of the Information Systems business, in
addition to the impact of costs related to restructuring, stock-based
compensation, forward contracts and other items affecting comparability. After
accounting for all transactions, diluted EPS for 2008 was $1.19 compared to
$2.18 for the prior year.

    
    Results of Operations

    -------------------------------------------------------------------------
                                Three months ended      Twelve months ended
                                    December 31,            December 31,
                                    2008        2007        2008        2007
    -------------------------------------------------------------------------
    ($ thousands, except per common share amounts)

    Consolidated revenues     $  278,327  $  294,143  $1,168,491  $1,204,239
    Adjusted net earnings(1)      21,218      30,916      92,497     107,664
    Adjusted net earnings per
     common share(1):
      Basic                         0.53        0.75        2.30        2.61
      Diluted                       0.52        0.72        2.28        2.47

    Net earnings                   8,750      30,270      48,490      94,967
    Net earnings per common
     share:
      Basic                         0.22        0.74        1.20        2.30
      Diluted                       0.22        0.70        1.19        2.18

    Weighted average number of
     common shares outstanding:
     (thousands)
      Basic                       40,363      41,011      40,284      41,307
      Diluted                     40,431      43,113      40,655      43,636
    Average exchange rates:
      1 US dollar to Canadian
       dollar                      1.213       0.982       1.067       1.074
      1 British pound to
       Canadian dollar             1.898       2.007       1.961       2.148
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    (1) Adjusted net earnings and adjusted net earnings per common share are
        non-GAAP financial measures.


    Reconciliation of net earnings to adjusted net earnings

    -------------------------------------------------------------------------
                                Three months ended      Twelve months ended
                                    December 31,            December 31,
                                    2008        2007        2008        2007
    -------------------------------------------------------------------------
    ($ thousands)

    Net earnings                   8,750      30,270      48,490      94,967

    Items affecting
     comparability:
    Costs related to
     terminated divestiture of
     Information Systems
     business, net of taxes            -           -       4,552           -
    Accelerated amortization
     of capital assets related
     to restructuring, net of
     taxes                         7,000           -       7,000           -
    Other restructuring costs,
     net of taxes                  1,948           -       2,854           -
    Reversal of self-insurance
     provision following launch
     of RADARSAT-2, net of
     taxes                             -      (4,186)          -      (4,186)
    Settlement of claim for
     unauthorized use of
     Company data, net of
     taxes                             -      (1,896)          -      (1,896)
    Stock-based compensation
     expense (recovery), net
     of taxes                       (215)      1,064        (469)     11,869
    Fair value loss (gain) on
     equity forward contracts,
     net of taxes                   (959)      5,452      25,376       6,703
    Fair value loss on
     interest rate swap
     contracts, net of taxes       4,694         212       4,694         207
    -------------------------------------------------------------------------
    Adjusted net earnings         21,218      30,916      92,497     107,664
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------
    

    MDA's audited consolidated financial statements and management's
discussion and analysis for the year ended December 31, 2008 are available at:
http://www.mdacorporation.com/corporate/investor/financial_reports.cfm

    About MDA

    MDA provides advanced information solutions that capture and process vast
amounts of data, produce essential information, and improve the decision
making and operational performance of business and government organizations
worldwide.
    Focused on markets and customers with strong repeat business potential,
MDA delivers a broad spectrum of information solutions, ranging from complex
operational systems, to tailored information services, to electronic
information products.
    MDA employs more than 3,200 people in locations across the United States,
the United Kingdom, and Canada. The Company's common shares trade on the
Toronto Stock Exchange under the symbol TSX:MDA.

    Investor/Analyst Conference Call Today

    MDA President and CEO Daniel Friedmann and Executive Vice President and
CFO Anil Wirasekara will be available on a Conference Call today, February 26,
2009 at 2:30 p.m. Pacific (5:30 p.m. Eastern) to explain the financial results
of the Company and to answer questions.

    
    To participate, dial 1-877-323-2010 in Canada or the United States
    In Toronto, dial 416-695-6320

    The Conference Call will also be Webcast live and archived at:
    http://www.mdacorporation.com/investor/events.cfm

    Telephone replay will be available until March 5, 2009 at the following
    numbers:
    Toll free, International, dial 1-800-408-3053
    In Toronto, dial 416-695-5800
    Pass Code 3277961

    Related Websites:
    www.mdacorporation.com
    

    Forward-Looking Statements

    This release and the associated earnings conference call and webcast
contains certain forward-looking statements and information, which reflect the
current view of MacDonald, Dettwiler and Associates Ltd. ("MDA") with respect
to future events and financial performance and are based on MDA's current
expectations, estimates, projections and assumptions made in light of its
experience and its perception of historical trends. Any such forward-looking
statements are subject to risks and uncertainties and MDA's actual results of
operations could differ materially from historical results or current
expectations. You are referred to the risk factors described in MDA's most
recent annual Management's Discussion and Analysis, Annual Information Form
and other documents on file with the Canadian securities regulatory
authorities, available online at www.sedar.com/ or www.mdacorporation.com. The
forward-looking statements and information contained in this release, and the
associated earnings conference call and webcast represent MDA's views only as
of the date of this release, and the associated earnings conference call and
webcast. MDA disclaims any intention or obligation to update or review any
forward-looking statements, whether as a result of new information, future
events or otherwise, other than as required by law, rule or regulation. You
should not place undue reliance on forward-looking statements.

    
    The Toronto Stock Exchange has neither approved nor disapproved the form
    or content of this release.
    

    %SEDAR: 00014148E




For further information:

For further information: Wendy Keyzer, MDA External Relations, (604)
231-2743, wendy@mdacorporation.com


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