News Column

Tredegar Reports Fourth Quarter and Full Year 2013 Results

February 25, 2014



ENP Newswire - 25 February 2014

Release date- 24022014 - RICHMOND, Va - Tredegar Corporation (NYSE:TG) today reported fourth quarter and full year 2013 financial results for the periods ended December 31, 2013.

Fourth Quarter Financial Results Highlights

Net income from continuing operations was $9.4 million, or 29 cents per share.

Net income from ongoing operations, which excludes special items, was $8.8 million, or 27 cents per share.

Bonnell Aluminum's operating profit from ongoing operations increased to $5.9 million in the quarter, up $4.3 million from the same period of 2012.

Film Products' operating profit from ongoing operations was $15.6 million in the quarter, compared to $20.0 million in the same period of 2012.

Full Year 2013 Financial Results Highlights

Net income from continuing operations was $35.9 million, or $1.10 per share.

Net income from ongoing operations, which excludes special items, was $37.3 million, or $1.15 per share.

Cash flows from operating activities of $77 million funded investments for long-term growth.

Bonnell Aluminum's operating profit from ongoing operations increased to $18.3 million in 2013, up $9.3 million versus 2012.

Film Products' operating profit from ongoing operations was $71.0 million in 2013, compared to $70.0 million in 2012.

Further details regarding the special items that reconcile operating profit from ongoing operations and income from ongoing operations to net income from continuing operations are provided in the financial tables to this press release.

Nancy M. Taylor, Tredegar's president and chief executive officer, said: 'The 2013 operating environment was challenging, but we overcame some industry headwinds and improved our competitive positioning throughout the geographies in which we operate. The execution of our strategy delivered year-over-year growth in operating profit from ongoing operations, and it was our third consecutive year of over $70 million in cash flows from operations.'

'While we expect market dynamics to remain challenging in the first half of 2014,' Taylor said, 'we have market-leading products and innovative solutions that continue to attract customers. We believe we can achieve sales and volume improvements for the year even after a soft start.'

Ms. Taylor continued, 'With respect to Bonnell Aluminum, we had a strong finish to the year, with significant growth in profitability, as we successfully executed on several strategic initiatives, including the acquisition of AACOA, Inc. ('AACOA') and cost savings associated with the 2012 shutdown of our Kentland manufacturing facility. AACOA is proving to be a meaningful contributor to Tredegar, as its presence in non-construction end-use markets has allowed us to reduce our concentration in nonresidential building and construction. Despite the lagging growth dynamics in the nonresidential building and construction market in 2013, we have successfully maintained our market share and we anticipate achieving modest growth in 2014 as the market improves. Overall, we are pleased with the opportunities ahead for Bonnell. The North American automotive market dynamics are shifting in our favor, and we expect that our new press and equipment will begin to serve this demand by the end of the first quarter.'

Ms. Taylor added, 'Our Film Products division grew full year 2013 operating profit from ongoing operations by 1.5% compared to 2012, partially driven by the volume rebound we saw in surface protection films and personal care materials. That rebound was muted by challenges in flexible packaging films, which continued to face difficult market dynamics and production shortfalls in Brazil, which impacted operating results. We are putting several new initiatives in place to overcome production inefficiencies in Brazil, and we expect to start up new production capacity during the second quarter.'

Tredegar Corporation

OPERATIONS REVIEW & Condensed Consolidated Statements of Income

See full Press Release at:

http://ir.tredegar.com/phoenix.zhtml?c=90262&p=irol-newsArticle&ID=1902926&highlight=


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Source: ENP Newswire


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