Trimac Announces First Quarter Results
CALGARY, May 14 /CNW/ - Trimac Income Fund (TSX Symbol TMA.UN) (the "Fund") today released the financial results of the Fund and Trimac Transportation Services Limited Partnership ("Trimac" or the "Partnership") for the first quarter ended March 31, 2010.
Three months ended March 31, Partnership 2010 2009 ------------------------- (millions of dollars) Transportation revenue 60.1 60.3 Fuel surcharges 5.4 4.7 ------------------------- Total revenue 65.5 65.0 EBITDA(1) 5.7 5.5 Net earnings (loss) 0.6 (0.7) Three months ended March 31, The Fund 2010 2009 ------------------------- (millions of dollars, except per unit amounts and numbers of units) Distributable cash per unit(1)(2) $0.1183 $0.1106 Distributions per unit(1) $0.1200 $0.1200 Basic earnings (loss) per unit $0.0294 $(0.0050) Fully diluted earnings (loss) per unit $0.0118 $(0.0449) Weighted average number of units used in computing basic earnings (loss) per unit 12,584,679 12,584,679 Number of units outstanding used in computing diluted earnings (loss) per unit 26,090,257 25,304,697 (1) EBITDA, distributable cash per unit and distributions per unit are not recognized measures under generally accepted accounting principles (GAAP) and do not have a standardized meaning prescribed by GAAP. Therefore, these amounts may not be comparable to similar measures presented by other issuers. Management considers EBITDA and distributable cash to be key measures that indicate the ability of the Fund to meet its capital and financing commitments. (2) Distributable cash available will fluctuate on a monthly basis due to seasonal cash flows, sustaining capital incurred, income taxes, and interest paid. See "Distributable Cash" for additional commentary.
Trimac's revenue, including fuel surcharges, for the three-month period ended March 31, 2010 ("current period") increased by $0.5 million or 0.8 percent as compared to March 31, 2009 ("prior period"). This increase was primarily the result of a $0.7 million increase in fuel surcharge revenue as transportation revenue was substantially the same as that obtained in the prior period. EBITDA increased by $0.2 million or 3.6 percent over the prior period to $5.7 million. As a percentage of revenue EBITDA was 8.7 percent, a slight increase of 0.2 percent from the prior period. Net earnings increased by $1.3 million. This was primarily as a result of reduced depreciation due to a change in the estimated useful life of certain rolling stock.
Trimac Receives Safety Award
Trimac is also pleased to announce that on April 8, 2010 for the 12th time in the last 13 years Trimac was awarded with the National Tank Truck Carriers (NTTC) (high mileage) safety award.
In commenting on the results for the first quarter, Jeffrey J. McCaig, Chairman and CEO of Trimac, said:
"We are very proud of our safety record and appreciate the recognition we received through the NTTC award. Safety is our core value and this award proves it. With regard to our financial results, our cost reduction programs initiated in 2009 have allowed Trimac to maintain a consistent EBITDA for the quarter. We are well positioned to balance capacity and costs with appropriate business activity. With our new credit facilities we have the flexibility to respond to changes quickly and to take advantage of opportunities when they arise. An opportunity did arise in the first quarter of 2010 and we were able to acquire the assets of a transportation company based out of Calgary, Alberta at the end of our first quarter. The acquisition included 17 tractors and 22 pneumatic trailers. This company fits extremely well with our existing dry bulk operations and increases our customer base in this geographic area."
For comments regarding management's outlook for 2010 please see Trimac's Management's Discussion and Analysis for the three-month period ended March 31, 2010.
Financial Highlights for the Partnership Three months ended March 31 2010 2009 ------------------------- (millions of dollars) Revenues Transportation revenue 60.1 60.3 Fuel surcharges 5.4 4.7 ------------------------- 65.5 65.0 Direct costs 49.7 48.9 Selling and administrative 10.1 10.6 ------------------------- EBITDA(1) 5.7 5.5 Depreciation net of gains on disposal of capital assets(2) 4.1 5.0 ------------------------- Operating earnings 1.6 0.5 Interest expense (net) 0.9 1.0 ------------------------- Earnings (loss) before taxes 0.7 (0.5) Income tax expense 0.1 0.2 ------------------------- Net earnings (loss) 0.6 (0.7) ------------------------- ------------------------- As a percentage of revenue ---------------------------------------------- Direct costs 75.9% 75.2% Selling and administrative 15.4% 16.3% EBITDA(1) 8.7% 8.5% Depreciation(2) 6.3% 7.7% Operating earnings 2.4% 0.8% As at As at March 31 December 31 (millions of dollars) 2010 2009 ------------------------- Total assets 143.1 140.1 Total long-term liabilities 53.6 45.3
The above selected financial and operating information has been derived from, and should be read in conjunction with, the unaudited interim consolidated financial statements of the Partnership.
(1) EBITDA (earnings before interest, taxes, depreciation and amortization) is not a recognized measure under GAAP, does not have a standardized meaning prescribed by GAAP and, therefore, may not be comparable to similar measures presented by other issuers. Management believes that EBITDA is a useful complementary measure of cash available for distribution before debt servicing expense, capital expenditures and income taxes. (2) Effective January 1, 2010 the Partnership has revised its estimate of useful life on certain of its trailers. The change was adopted prospectively and has resulted in lower depreciation expense of $0.6 million during the current period.
Distributable Cash
The table below illustrates distributable cash to unitholders beginning with net cash provided by the Partnership's operations.
Three months ended March 31, 2010 2009 ------------------------------------------------------------------------- (millions of dollars except unit amounts, certain percentages and number of units) Net cash (used in) provided by operations (0.9) 5.0 Net change in non-cash working capital(1) 5.6 (0.7) ------------------------- Cash provided by operations 4.7 4.3 Less adjustments for: Net sustaining capital expenditures (net of proceeds)(2)(3) (1.1) (1.2) Provision for long-term unfunded contractual operational obligations(4) (0.1) 0.1 ------------------------- Total estimated cash available for distribution (before public expenses) 3.5 3.2 Percentage of available cash distributable to unitholders(5) 48% 50% ------------------------- Cash available for distribution to unitholders (before public expenses) 1.7 1.6 Public expenses(6) (0.2) (0.2) ------------------------- Distributable cash from operations(2)(7) 1.5 1.4 Distributions declared and payable 1.5 1.5 Distributable cash per unit(2)(7) 0.1183 0.1106 Distributions declared per unit 0.1200 0.1200 Payout ratio(2)(7) 101.5% 108.5% Weighted average number of units outstanding 12,584,679 12,584,679 Net capital expenditures Sustaining capital expenditures(2) 1.4 2.1 Proceeds on disposal of replaced assets (0.3) (0.9) ------------------------- Net sustaining capital expenditures(2)(3) 1.1 1.2 Growth capital expenditures(2)(8) 0.3 0.7 ------------------------- 1.4 1.9 ------------------------- ------------------------- (1) Changes in non-cash operating assets and liabilities are not included in the calculation of distributable cash. Working capital investments are funded through a combination of cash flow not distributed and the use of credit facilities available to the Partnership. (2) Distributable cash from operations, sustaining capital expenditures, net sustaining capital expenditures, payout ratio, and growth capital expenditures are not measures recognized by GAAP, do not have standardized meanings prescribed by GAAP and may not be comparable to similarly named measures presented by other issuers. (3) Net sustaining capital expenditures refers to capital expenditures, net of proceeds on disposal of assets replaced, which are necessary to sustain current revenue levels. (4) Represents a provision for cash requirements relating to a long-term incentive plan and an executive pension liability. (5) Percentage is equal to weighted average number of units outstanding of 12,584,679 divided by fully diluted units of 26,090,257. (6) Represents expenses associated with the Fund's status as a reporting issuer. (7) Distributable cash available will fluctuate on a monthly basis due to seasonal cash flows, sustaining capital expenditures incurred, income taxes paid and interest costs on outstanding debt. (8) Cash used to fund growth capital expenditures does not affect distributable cash to unitholders where financing is available for these purposes. The Partnership funds growth capital from undistributed cash from operations, cash available from distributions on non-cash exchangeable shares and, to the extent available, existing lines of credit.
During the current period, the Partnership's cash provided by operations increased by $0.4 million and net sustaining capital expenditures decreased by $0.1 million. This was partially offset by a $0.2 million increase in the provision for long-term unfunded executive compensation plans. The Fund's distributable cash from operations of $1.5 million in the current period was higher than that recorded in the prior period by $0.1 million, as a result of its share of the aforementioned Partnership changes in cash provided by operations, sustaining capital expenditures and provisions for executive compensation plans.
Distributions in the current period were paid using cash generated from operations including cash retained in the business relating to non-cash exchangeable shares. Due to the seasonal nature of the Partnership's business and the timing of sustaining capital purchases, the amount of distributable cash may vary from quarter to quarter. Trimac's Board of Directors approves the level of monthly distributions based upon estimated annual cash flows, less estimated cash required for debt service, cash taxes, and other amounts (including sustaining capital expenditures, current expenses and provisions) and reserves to stabilize the monthly amount of distributions to unitholders as may be considered appropriate by the Board of Directors. Growth capital expenditures are funded from undistributed cash from operations, cash available from notional distributions on non-cash exchangeable shares, and, to the extent available, cash and existing lines of credit.
Distributable cash from operations is not a defined term under GAAP but is determined by the Partnership as net cash provided by operations for the period, adjusted to remove specific non-cash items, including changes in working capital, and reduced by sustaining capital expenditures, provisions for funding long-term liabilities, provisions for committed capital purchases in progress, and public costs.
Management believes that distributable cash from operations is a useful supplemental measure of performance as it provides investors with an indication of the amount of cash available for distribution to unitholders. Investors are cautioned, however, that distributable cash from operations should not be construed as an alternative to using net income as a measure of profitability or as an alternative to the statement of cash flows. In addition, the Fund's method of calculating distributable cash from operations may not be comparable to calculations used by other issuers.
Quarterly results
Effective January 1, 2010 Trimac set up a separate industrial services division called National Tank Services (NTS). This division which was previously included in the bulk trucking division does routine repairs and maintenance and washrack services to rolling stock for both the Trimac fleet and for other non-related trucking companies. As these operations are an integral part of Trimac, it was determined that its operations should be separately reported. Prior period comparatives have been restated to present this division separately.
Revenue ------------------------------------------------------------------------- Three months ended March 31 ------------------------------------------------------------------------- (millions of dollars) 2010 2009 Gross revenue Net revenue ------------------------------------------------------------------------- Net Net Trans- Trans- Fuel porta- Fuel porta- Total Sur- tion Total Sur- tion Rev- char- Rev- Rev- char- Rev- Var- Var- enue ges enue enue ges enue iance % iance % ------------------------------------------------------------------------- Bulk trucking ---------- Western division 36.2 3.2 33.0 36.6 3.0 33.6 (0.4) -1.1% (0.6) -1.8% Eastern division 24.3 2.2 22.1 22.2 1.7 20.5 2.1 9.5% 1.6 7.8% ------------------------------------------------------------------------- Total bulk trucking 60.5 5.4 55.1 58.8 4.7 54.1 1.7 2.9% 1.0 1.8% ------------------------------------------------------------------------- BPL 2.1 - 2.1 3.3 - 3.3 (1.2) -36.4% (1.2) -36.4% ------------------------------------------------------------------------- NTS 7.2 - 7.2 8.0 - 8.0 (0.8) -10.0% (0.8) -10.0% less: interco. revenue (4.3) - (4.3) (5.1) - (5.1) 0.8 0.8 ------------------------------------------------------------------------- Other - - - - - - - - ------------------------------------------------------------------------- Total revenue 65.5 5.4 60.1 65.0 4.7 60.3 0.5 0.8% (0.2) -0.3% ------------------------------------------------------------------------- -------------------------------------------------------------------------
For the current period, total revenue increased by $0.5 million or 0.8 percent from the prior period. Fuel surcharges as a percentage of bulk trucking revenue totalled approximately 9.8 percent in comparison to 8.7 percent in the prior period, resulting in an increase of $0.7 million. Revenue net of fuel surcharges decreased by $0.2 million or 0.3 percent from the prior period.
The western division's revenue decreased by $0.4 million or 1.1 percent. Fuel surcharge revenue was $0.2 million higher than the prior period. Revenue net of fuel surcharges decreased by $0.6 million or 1.8 percent compared to the prior period. Increased revenue from the dry bulk and resource commodities product lines were offset by decreased revenue in the petroleum product line. The reduction in volumes was primarily due to the business losses experienced in 2009.
The eastern division's revenue increased by $2.1 million or 9.5 percent. Fuel surcharge revenue was $0.5 million higher than the prior period. Revenue net of fuel surcharges increased by $1.6 million or 7.8 percent compared to the prior period. Revenue from all product lines increased due to increased volumes from existing and new customers.
For the current period, Bulk Plus Logistics' (BPL) revenue decreased by $1.2 million or 36.4 percent. This decrease was primarily due to rate concessions in our third party logistics operations and lower volumes in the Canadian freight brokerage operations as fewer loads of bunker fuel were required due to the warmer winter conditions in Eastern Canada.
NTS revenue for the current period decreased by $0.8 million or 10 percent. This decrease was primarily due to fewer repairs and maintenance requirements for the western division.
EBITDA ------------------------------------------------------------------------- Three months ended March 31 ------------------------------------------------------------------------- (millions of dollars) 2010 % Rev. 2009 % Rev. Variance % % Rev. ------------------------------------------------------------------------- Bulk trucking -------------- Western division 3.9 10.8% 3.5 9.6% 0.4 11.4% 1.2% Eastern division 1.2 4.9% 0.9 4.1% 0.3 33.3% 0.9% ------------------------------------------------------------------------- Total bulk trucking 5.1 8.4% 4.4 7.5% 0.7 15.9% 0.9% ------------------------------------------------------------------------- BPL - 0.0% 0.9 27.3% (0.9) -100.0% -27.3% ------------------------------------------------------------------------- NTS 0.5 6.9% 0.4 5.0% 0.1 25.0% 1.9% ------------------------------------------------------------------------- Other 0.1 (0.2) 0.3 ------------------------------------------------------------------------- Total EBITDA 5.7 8.7% 5.5 8.5% 0.2 3.6% 0.2% -------------------------------------------------------------------------
EBITDA for the current period totaled $5.7 million, a $0.2 million or 3.6 percent increase over the prior period. The western division experienced a $0.4 million or 11.4 percent increase in the current period. This increase was primarily the result of cost reduction programs that were implemented during 2009. The eastern division had increased EBITDA of $0.3 million or 33.3 percent. This increase was partly due to increased revenue volumes and partly due to cost reduction programs implemented during 2009. BPL's EBITDA was $0.9 million lower than in the prior period primarily due to lower volumes in the freight brokerage operations, discontinuance of certain transload operations, and rate concessions in our third party logistics operations. NTS's EBITDA increased by $0.1 million or 25%. This increase was due to the cost reduction programs that were implemented during 2009.
Capital Expenditures Three months ended March 31, 2010 2009 ------------------------------------------------------------------------- (millions of dollars) Gross sustaining capital expenditures 1.4 2.1 Less: proceeds on disposal of capital assets (0.3) (0.9) ------------------------- Net sustaining capital expenditures 1.1 1.2 Growth capital expenditures 0.3 0.7 ------------------------- Net capital expenditures 1.4 1.9 ------------------------- -------------------------
The Partnership's net capital expenditures, including growth and sustaining capital, totalled $1.4 million in the current period as compared to $1.9 million in the prior period. The decrease of $0.5 million compared to the prior period was due to decreased net sustaining capital expenditures of $0.1 million and lower growth capital expenditures of $0.4 million.
Gross sustaining capital purchases of $1.4 million included replacement tractors and trailers which accounted for approximately 57 percent of the total gross sustaining capital purchases, facility upgrades which accounted for approximately 18 percent of total gross sustaining capital purchases and the balance applicable to other operating assets. Proceeds on the disposal of capital assets were $0.6 million less than that recorded in the prior period due primarily to reduced equipment sales during the current period and a property sale of $0.3 million that occurred during the prior period.
Growth capital expenditures of $0.3 million in the current period consisted of trailer purchases which accounted for all of the growth capital expenditures. Growth capital purchases are funded from undistributed cash from operations, cash available from notional distributions on non-cash exchangeable shares and, to the extent required, available cash and existing lines of credit.
Net annual capital expenditures relating to sustaining capital requirements will vary from year to year based on: the economic life of the capital assets; historical purchase dates; the mix of life cycles expiring in a given year; other factors affecting equipment cost; disposal proceeds of replaced assets; and, annual equipment utilization. Sustaining capital purchases are funded from the Partnership's net cash provided by operations in the year, cash available from notional distributions on non-cash exchangeable shares and, thereafter, to the extent required, available credit facilities.
You are invited to join us on a conference call at 2:30 p.m. Eastern Time on Friday, May 14, 2010. For North American participants, please dial 1-888-300-0053 or for international participants, please dial ++1-647-427-3420 at least 10 minutes prior to the start time of the call.
A playback of the call will be available starting at 5:30 p.m. Eastern Time on Friday, May 14, 2010 until midnight May 21, 2010. To hear the playback dial 1-800-642-1687 or for international participants, please dial ++1-706-645-9291 and give the conference ID number: 72954740.
Trimac Income Fund Consolidated Balance Sheet (Unaudited) ------------------------------------------------------------------------- (thousands of dollars) As at As at March 31, December 31, 2010 2009 $ $ ------------------------- Assets Current assets Cash 15 180 Interest receivable 241 241 Distributions receivable 324 172 Prepaid expenses 59 85 ------------------------- 639 678 Investment in Trimac Transportation Services Limited Partnership 61,973 63,136 Note receivable from Trimac Transportation Services Inc. 35,438 35,438 ------------------------- 98,050 99,252 ------------------------- ------------------------- Liabilities Current liabilities Accounts payable and accrued liabilities 66 60 Due to associated companies and partnerships 25 107 Distributions payable 504 504 ------------------------- 595 671 Deferred compensation plan 161 144 ------------------------- 756 815 Unitholders' equity 97,294 98,437 ------------------------- 98,050 99,252 ------------------------- -------------------------
The Fund commenced business operations on February 25, 2005 and earnings of the Fund's investment in Trimac Transportation Services Limited Partnership ("Partnership") have been accounted for using the equity method of accounting since commencement. Under this method, the Fund's share of earnings of the Partnership, adjusted for the amortization of certain tangible and intangible assets arising from the use of purchase accounting is reflected in the statement of earnings of the Fund as "Share of adjusted loss of the Partnership". The results of operations of the Fund are predominately dependent on the performance of the Partnership.
Trimac Income Fund Consolidated Statement of Earnings, Comprehensive Income and Unitholders' Equity (Unaudited) ------------------------------------------------------------------------- (thousands of dollars, except per unit amounts and number of units) Three months ended March 31, 2010 2009 ------------------------- $ $ Share of adjusted loss of the Partnership(1) (166) (562) Interest income (net) 699 682 Administrative costs (163) (183) ------------------------- Net earnings (loss) 370 (63) Other comprehensive (loss) income - share of Partnership other comprehensive (loss) income (3) 25 ------------------------- Comprehensive income (loss) 367 (38) Opening unitholders' equity 98,437 102,824 Issue of additional units - - Distributions declared (1,510) (1,511) ------------------------- Closing unitholders' equity 97,294 101,275 ------------------------- ------------------------- Basic earnings (loss) per unit(2) $ 0.0294 $ (0.0050) Fully diluted earnings (loss) per unit(2) $ 0.0118 $ (0.0449) Weighted average number of units outstanding used in computing basic earnings (loss) per unit 12,584,679 12,584,679 Number of units outstanding used in computing diluted earnings (loss) per unit 26,090,257 25,304,697 (1) The net earnings (loss) of the Partnership are allocated between TTSI and the Fund based on the terms of the partnership agreement. The following is a reconciliation of net earnings (loss) in the unaudited interim consolidated financial statements of the Partnership to the amount recorded by the Fund. Three months ended March 31, 2010 2009 $ $ ------------------------- Net earnings (loss) of the Partnership 611 (683) Add: Interest expense on TTSI debt included in Partnership earnings 336 671 ------------------------- Adjusted Partnership earnings (loss) 947 (12) Less: Purchase price allocation adjustments: Increase in amortization of capital assets and loss on disposal of capital assets (277) (612) Amortization of intangible assets (898) (1,010) ------------------------- Adjusted Partnership loss after purchase price adjustments (228) (1,634) ------------------------- ------------------------- Share of adjusted Partnership loss (166) (562) ------------------------- ------------------------- (2) Pursuant to an investor liquidity agreement, holders of TTSI Exchangeable Shares have the right to effectively liquidate their 10,230,538 shares of TTSI and receive units in the Fund. Following the full exercise of such liquidation rights, the Fund would own 100 percent of the Partnership. The number of units used in the calculation of diluted earnings per unit assumes full liquidation at the beginning of the period. Trimac Income Fund Consolidated Statement of Cash Flows (Unaudited) ------------------------------------------------------------------------- (thousands of dollars) Three months ended March 31, 2010 2009 ------------------------- $ $ Cash provided (used) Operations Net earnings (loss) 370 (63) Add items not affecting cash: Share of adjusted loss from the Partnership 166 562 Distributions from the Partnership - - Deferred compensation costs 17 6 ------------------------- Cash provided by operations 553 505 Net change in non-cash working capital (50) (788) ------------------------- Net cash provided by (used in) operations 503 (283) ------------------------- Investments Distributions from the Partnership 842 1,416 ------------------------- Cash provided by investing activities 842 1,416 ------------------------- Financing Distributions paid (1,510) (1,978) ------------------------- Cash used in financing activities (1,510) (1,978) ------------------------- Decrease in cash (165) (845) Cash, beginning of period 180 970 ------------------------- Cash, end of period 15 125 ------------------------- ------------------------- Supplemental information Cash received from interest (net) 699 682
The financial statements included in this news release do not contain the notes to the statements. Financial statements with note disclosure are filed with securities regulators.
Trimac Transportation Services Limited Partnership Consolidated Balance Sheet (Unaudited) ------------------------------------------------------------------------- (thousands of dollars) As at As at March 31, December 31, 2010 2009 $ $ ------------------------- Assets Current assets Cash 418 406 Accounts receivable 30,827 28,217 Materials and supplies 1,372 1,389 Due from related parties 2,051 1,479 Income taxes recoverable - - Prepaid expenses 9,516 10,352 ------------------------- 44,184 41,843 Capital assets 87,939 87,482 Intangible assets 2,883 2,701 Goodwill 6,182 6,182 Other 1,903 1,870 ------------------------- 143,091 140,078 ------------------------- ------------------------- Liabilities Current liabilities Bank indebtedness 1,344 716 Accounts payable and accrued liabilities 23,727 27,072 Distributions payable 1,894 1,953 Income taxes payable 6 23 Due to related parties 749 1,095 Current maturities of long-term debt 18,667 18,667 ------------------------- 46,387 49,526 Long-term debt 51,567 43,392 Future income taxes 516 507 Other long-term liabilities 1,473 1,439 ------------------------- 99,943 94,864 Partnership equity 43,148 45,214 ------------------------- 143,091 140,078 ------------------------- -------------------------
The Partnership provides bulk trucking services throughout Canada and complementary logistics services in Canada and the United States. Effective January 1, 2005, the Partnership purchased substantially all of the assets of Trimac Transportation Services Inc. ("TTSI") relating to its Canadian bulk trucking business and its North American logistics business. TTSI and certain of its subsidiaries conducted the business operations of the Partnership prior to January 1, 2005.
Trimac Transportation Services Limited Partnership Consolidated Statement of Earnings, Comprehensive Income and Partnership Equity (Unaudited) ------------------------------------------------------------------------- (thousands of dollars) Three months ended March 31, 2010 2009 ------------------------- $ $ Revenue Transportation revenue 60,055 60,257 Fuel surcharges 5,418 4,718 ------------------------- 65,473 64,975 ------------------------- Operating costs and expenses Direct 49,705 48,833 Selling and administrative 10,061 10,621 Depreciation and amortization 4,087 5,218 Gain on sale of assets, net (21) (190) ------------------------- Operating expense 63,832 64,482 ------------------------- Operating earnings 1,641 493 Interest on long-term debt 909 984 Other interest expense 64 23 ------------------------- 973 1,007 ------------------------- Earnings (loss) before income taxes 668 (514) Income tax expense Current 48 161 Future 9 8 ------------------------- 57 169 ------------------------- Net earnings (loss) 611 (683) Other comprehensive (loss) income - net change in cumulative translation adjustments (10) 100 ------------------------- Comprehensive income (loss) 601 (583) Opening partnership equity 45,214 50,763 Distributions declared (2,667) (3,232) ------------------------- Closing partnership equity 43,148 46,948 ------------------------- ------------------------- Accumulated other comprehensive (losses) income (included in partnership equity) ---------------------------------------------- Opening balance (186) 264 Other comprehensive (loss) income (10) 100 ------------------------- Closing balance (196) 364 ------------------------- ------------------------- Trimac Transportation Services Limited Partnership Consolidated Statement of Cash Flows (Unaudited) ------------------------------------------------------------------------- (thousands of dollars) Three months ended March 31, 2010 2009 ------------------------- $ $ Cash provided (used) Operations Net earnings (loss) 611 (683) Add back (deduct) items not affecting cash: Depreciation and amortization 4,087 5,218 Gain on sale of assets, net (21) (190) Future income tax expense 9 8 Other non-cash items (11) 14 ------------------------- Cash provided by operations 4,675 4,367 Net change in non-cash working capital (5,637) 671 ------------------------- Net cash (used in) provided by operations (962) 5,038 ------------------------- Investments Purchases of capital assets (1,655) (2,830) Proceeds on sale of capital assets 289 960 ------------------------- Net capital expenditures delivered (1,366) (1,870) (Decrease) increase in accounts payable and accrued liabilities relating to investing activities (394) 1,345 Decrease in accounts receivable relating to investing activities - 5 ------------------------- Net cash expended on capital expenditures (1,760) (520) ------------------------- Acquisition of transportation businesses (3,340) - Other (2) 65 ------------------------- Cash used in investing activities (5,102) (455) ------------------------- Financing Increase in long-term debt 8,175 1,557 Repayments of long-term debt - - Distributions paid (2,727) (3,304) ------------------------- Cash provided by (used in) financing activities 5,448 (1,747) ------------------------- ------------------------- (Decrease) increase in net cash (616) 2,836 (Bank indebtedness) cash, beginning of period (310) 381 ------------------------- (Bank indebtedness) cash, end of period (926) 3,217 ------------------------- ------------------------- Supplemental information Income taxes paid 65 665 Interest paid 1,474 1,741 Net cash consists of the following: Cash 418 3,217 Bank indebtedness (1,344) - ------------------------- (926) 3,217 ------------------------- -------------------------
The financial statements included in this news release do not contain the notes to the statements. Financial statements with note disclosure are filed with securities regulators.
For further information: Jeffrey J. McCaig, Chairman & Chief Executive Officer, Trimac Transportation Services Inc., Telephone: (403) 298-5100, Facsimile: (403) 298-5258; Scott D. Calver, Vice President & Chief Financial Officer, Trimac Transportation Services Inc., Telephone: (403) 298-5100, Facsimile: (403) 298-5146; Investor Relations: [email protected]
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