For the fourth quarter of 2013 the Company expects to report record consolidated revenues of approximately
The Company expects earnings for the fourth quarter of 2013 to be negatively impacted by certain events amounting to after-tax costs of approximately
During the fourth quarter, the Company's Allentown pouch facility experienced downtime and costs associated with a voluntary product recall initiated by a customer, including delays in shipment of finished product in November and December. As the recall is still under investigation, the Company cannot be reasonably assured that receivable balances will be collected or that unshipped finished product inventory will be delivered, and thus expects to take a reserve against receivables and inventory in the fourth quarter of 2013. In aggregate, the financial impact of the recall on fourth quarter earnings is expected to be approximately
In addition, during the fourth quarter, the Company incurred after-tax costs of approximately
"Fiscal 2013 was a transformational year for
During the fourth quarter the Company continued to realize positive results in its core integrated aseptic beverage, value-added ingredients and internationally sourced raw materials operations. However, these were more than offset by margin challenges on domestic raw materials due primarily to the transition to lower new crop pricing plus continued cyclical weakness at Opta Minerals. The Company expects to benefit in the fourth quarter from a reduction in a contingent consideration liability related to a previous acquisition, offset by incremental non-cash tax expenses related to revaluation of Canadian deferred tax assets.
As a result of the items referenced above, the Company expects to report a GAAP loss from continuing operations for the fourth quarter of between
The results disclosed in this press release are preliminary and unaudited. All preliminary results provided in this release are subject to change pending the completion of the Company's annual audit. The Company does not currently intend to provide preliminary financial information with respect to future periods. The Company expects to report full fourth quarter and fiscal year 2013 financial results in early
Certain statements included in this press release may be considered "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation, which are based on information available to us on the date of this release. These forward-looking statements include, but are not limited to, the Company's expected revenues, earnings from continuing operations and after-tax loss for the fourth quarter of 2014 operations and its three core strategies. Terms and phrases such as "expects", "continues", "becoming", "growing" and "leveraging" and other similar terms and phrases are intended to identify these forward looking statements. Forward looking statements in this press release are based primarily on the Company's preliminary earnings information available to us on the date of this release and are based on estimates and assumptions made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments as well as other factors the Company believes are appropriate in the circumstances. The Company makes no representation that reasonable business people in possession of the same information would reach the same conclusions. Whether actual timing and results will be consistent with expectations and predications of the Company is subject to many risks and uncertainties that could cause actual results to differ materially from the Company's expectations and predictions, including receipt of more current financial information, additional on-going review of the financial information currently available by both management and the Company's auditors, potential claims or reserves as a result of the voluntary product recall initiated by a customer, additional delays in the Company's expansion plans and processing or other operational issues which might affect capacity, throughput and product quality, as well as other risks described from time to time under "Risk Factors" in the Company's Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q (available at www.sec.gov). Consequently all forward-looking statements made herein are qualified by these cautionary statements and there can be no assurance that the actual results or developments anticipated by the Company will be realized.