- The Timken Company reported record sales of $5.2 billion for 2005, up 15% from the previous year, and net income increased sharply to a record $260.3 million.
- Strong demand across industrial markets drove the sales growth. The company made investments to improve operations and profitability through initiatives like Project ONE.
- For 2006, the company expects continued financial improvement, and estimates earnings per share of $2.65 to $2.80, excluding special items. Global industrial markets are expected to remain strong.
Full year earnings and operations update from Marcellus driller EQT, issued in Jan. 2013. The report shows a year over year large drop in revenue for the company, largely due to asset sales in 2011 making that year more profitable than it otherwise would have been, and taking some accounting write downs in 2012, along with lower natgas prices. The report says EQT drilled 135 natural gas wells in 2012 and all but 8 of them were in the Marcellus Shale. Marcellus production was up an astonishing 85% in 2012 over the previous year.
Full year earnings and operations update from Marcellus driller EQT, issued in Jan. 2013. The report shows a year over year large drop in revenue for the company, largely due to asset sales in 2011 making that year more profitable than it otherwise would have been, and taking some accounting write downs in 2012, along with lower natgas prices. The report says EQT drilled 135 natural gas wells in 2012 and all but 8 of them were in the Marcellus Shale. Marcellus production was up an astonishing 85% in 2012 over the previous year.
how to swap pi coins to foreign currency withdrawable.DOT TECH
As of my last update, Pi is still in the testing phase and is not tradable on any exchanges.
However, Pi Network has announced plans to launch its Testnet and Mainnet in the future, which may include listing Pi on exchanges.
The current method for selling pi coins involves exchanging them with a pi vendor who purchases pi coins for investment reasons.
If you want to sell your pi coins, reach out to a pi vendor and sell them to anyone looking to sell pi coins from any country around the globe.
Below is the contact information for my personal pi vendor.
Telegram: @Pi_vendor_247
how can i use my minded pi coins I need some funds.DOT TECH
If you are interested in selling your pi coins, i have a verified pi merchant, who buys pi coins and resell them to exchanges looking forward to hold till mainnet launch.
Because the core team has announced that pi network will not be doing any pre-sale. The only way exchanges like huobi, bitmart and hotbit can get pi is by buying from miners.
Now a merchant stands in between these exchanges and the miners. As a link to make transactions smooth. Because right now in the enclosed mainnet you can't sell pi coins your self. You need the help of a merchant,
i will leave the telegram contact of my personal pi merchant below. 👇 I and my friends has traded more than 3000pi coins with him successfully.
@Pi_vendor_247
Even tho Pi network is not listed on any exchange yet.
Buying/Selling or investing in pi network coins is highly possible through the help of vendors. You can buy from vendors[ buy directly from the pi network miners and resell it]. I will leave the telegram contact of my personal vendor.
@Pi_vendor_247
Poonawalla Fincorp and IndusInd Bank Introduce New Co-Branded Credit Cardnickysharmasucks
The unveiling of the IndusInd Bank Poonawalla Fincorp eLITE RuPay Platinum Credit Card marks a notable milestone in the Indian financial landscape, showcasing a successful partnership between two leading institutions, Poonawalla Fincorp and IndusInd Bank. This co-branded credit card not only offers users a plethora of benefits but also reflects a commitment to innovation and adaptation. With a focus on providing value-driven and customer-centric solutions, this launch represents more than just a new product—it signifies a step towards redefining the banking experience for millions. Promising convenience, rewards, and a touch of luxury in everyday financial transactions, this collaboration aims to cater to the evolving needs of customers and set new standards in the industry.
Currently pi network is not tradable on binance or any other exchange because we are still in the enclosed mainnet.
Right now the only way to sell pi coins is by trading with a verified merchant.
What is a pi merchant?
A pi merchant is someone verified by pi network team and allowed to barter pi coins for goods and services.
Since pi network is not doing any pre-sale The only way exchanges like binance/huobi or crypto whales can get pi is by buying from miners. And a merchant stands in between the exchanges and the miners.
I will leave the telegram contact of my personal pi merchant. I and my friends has traded more than 6000pi coins successfully
Tele-gram
@Pi_vendor_247
how to sell pi coins at high rate quickly.DOT TECH
Where can I sell my pi coins at a high rate.
Pi is not launched yet on any exchange. But one can easily sell his or her pi coins to investors who want to hold pi till mainnet launch.
This means crypto whales want to hold pi. And you can get a good rate for selling pi to them. I will leave the telegram contact of my personal pi vendor below.
A vendor is someone who buys from a miner and resell it to a holder or crypto whale.
Here is the telegram contact of my vendor:
@Pi_vendor_247
Empowering the Unbanked: The Vital Role of NBFCs in Promoting Financial Inclu...Vighnesh Shashtri
In India, financial inclusion remains a critical challenge, with a significant portion of the population still unbanked. Non-Banking Financial Companies (NBFCs) have emerged as key players in bridging this gap by providing financial services to those often overlooked by traditional banking institutions. This article delves into how NBFCs are fostering financial inclusion and empowering the unbanked.
USDA Loans in California: A Comprehensive Overview.pptxmarketing367770
USDA Loans in California: A Comprehensive Overview
If you're dreaming of owning a home in California's rural or suburban areas, a USDA loan might be the perfect solution. The U.S. Department of Agriculture (USDA) offers these loans to help low-to-moderate-income individuals and families achieve homeownership.
Key Features of USDA Loans:
Zero Down Payment: USDA loans require no down payment, making homeownership more accessible.
Competitive Interest Rates: These loans often come with lower interest rates compared to conventional loans.
Flexible Credit Requirements: USDA loans have more lenient credit score requirements, helping those with less-than-perfect credit.
Guaranteed Loan Program: The USDA guarantees a portion of the loan, reducing risk for lenders and expanding borrowing options.
Eligibility Criteria:
Location: The property must be located in a USDA-designated rural or suburban area. Many areas in California qualify.
Income Limits: Applicants must meet income guidelines, which vary by region and household size.
Primary Residence: The home must be used as the borrower's primary residence.
Application Process:
Find a USDA-Approved Lender: Not all lenders offer USDA loans, so it's essential to choose one approved by the USDA.
Pre-Qualification: Determine your eligibility and the amount you can borrow.
Property Search: Look for properties in eligible rural or suburban areas.
Loan Application: Submit your application, including financial and personal information.
Processing and Approval: The lender and USDA will review your application. If approved, you can proceed to closing.
USDA loans are an excellent option for those looking to buy a home in California's rural and suburban areas. With no down payment and flexible requirements, these loans make homeownership more attainable for many families. Explore your eligibility today and take the first step toward owning your dream home.
What price will pi network be listed on exchangesDOT TECH
The rate at which pi will be listed is practically unknown. But due to speculations surrounding it the predicted rate is tends to be from 30$ — 50$.
So if you are interested in selling your pi network coins at a high rate tho. Or you can't wait till the mainnet launch in 2026. You can easily trade your pi coins with a merchant.
A merchant is someone who buys pi coins from miners and resell them to Investors looking forward to hold massive quantities till mainnet launch.
I will leave the telegram contact of my personal pi vendor to trade with.
@Pi_vendor_247
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
Financial Assets: Debit vs Equity Securities.pptxWrito-Finance
financial assets represent claim for future benefit or cash. Financial assets are formed by establishing contracts between participants. These financial assets are used for collection of huge amounts of money for business purposes.
Two major Types: Debt Securities and Equity Securities.
Debt Securities are Also known as fixed-income securities or instruments. The type of assets is formed by establishing contracts between investor and issuer of the asset.
• The first type of Debit securities is BONDS. Bonds are issued by corporations and government (both local and national government).
• The second important type of Debit security is NOTES. Apart from similarities associated with notes and bonds, notes have shorter term maturity.
• The 3rd important type of Debit security is TRESURY BILLS. These securities have short-term ranging from three months, six months, and one year. Issuer of such securities are governments.
• Above discussed debit securities are mostly issued by governments and corporations. CERTIFICATE OF DEPOSITS CDs are issued by Banks and Financial Institutions. Risk factor associated with CDs gets reduced when issued by reputable institutions or Banks.
Following are the risk attached with debt securities: Credit risk, interest rate risk and currency risk
There are no fixed maturity dates in such securities, and asset’s value is determined by company’s performance. There are two major types of equity securities: common stock and preferred stock.
Common Stock: These are simple equity securities and bear no complexities which the preferred stock bears. Holders of such securities or instrument have the voting rights when it comes to select the company’s board of director or the business decisions to be made.
Preferred Stock: Preferred stocks are sometime referred to as hybrid securities, because it contains elements of both debit security and equity security. Preferred stock confers ownership rights to security holder that is why it is equity instrument
<a href="https://www.writofinance.com/equity-securities-features-types-risk/" >Equity securities </a> as a whole is used for capital funding for companies. Companies have multiple expenses to cover. Potential growth of company is required in competitive market. So, these securities are used for capital generation, and then uses it for company’s growth.
Concluding remarks
Both are employed in business. Businesses are often established through debit securities, then what is the need for equity securities. Companies have to cover multiple expenses and expansion of business. They can also use equity instruments for repayment of debits. So, there are multiple uses for securities. As an investor, you need tools for analysis. Investment decisions are made by carefully analyzing the market. For better analysis of the stock market, investors often employ financial analysis of companies.
how to sell pi coins on Bitmart crypto exchangeDOT TECH
Yes. Pi network coins can be exchanged but not on bitmart exchange. Because pi network is still in the enclosed mainnet. The only way pioneers are able to trade pi coins is by reselling the pi coins to pi verified merchants.
A verified merchant is someone who buys pi network coins and resell it to exchanges looking forward to hold till mainnet launch.
I will leave the telegram contact of my personal pi merchant to trade with.
@Pi_vendor_247
The secret way to sell pi coins effortlessly.DOT TECH
Well as we all know pi isn't launched yet. But you can still sell your pi coins effortlessly because some whales in China are interested in holding massive pi coins. And they are willing to pay good money for it. If you are interested in selling I will leave a contact for you. Just telegram this number below. I sold about 3000 pi coins to him and he paid me immediately.
Telegram: @Pi_vendor_247
1. NEWS RELEASE
The Timken Company Reports Strong 2005
Results; Positive Outlook for 2006
CANTON, Ohio – Feb. 1, 2006 – The Timken Company (NYSE: TKR)
today announced record sales of $5.2 billion, up 15 percent from a year ago.
Net income in 2005 increased sharply to a record $260.3 million, or $2.81
per diluted share, from $135.7 million, or $1.49 per diluted share, last year.
Excluding the impact of special items, the company reported adjusted 2005
net income of $234.2 million or $2.53 per diluted share, compared to $122.3
million or $1.35 per diluted share in 2004. These special items include the
benefits received under the Continued Dumping and Subsidy Offset Act
[CDSOA], partially offset by charges related to restructuring and
rationalization of operations.
“In 2005, demand across a broad range of industrial markets drove
record sales. The combination of strong markets and our execution
The Timken Company
translated into significantly improved results,” said James W. Griffith,
Media Conatact: Denise Bowler
Manager – Global Corporate & Financial
Communications president and CEO. “We have made considerable strides in our efforts to
Mail Code: GNW-37
1835 Dueber Avenue, S.W.
Canton, OH 44706 U.S.A. structurally improve Timken’s profitability. We continued that process in
Telephone: (330) 471-3485
Facsimile: (330) 471-4118
denise.bowler@timken.com 2005 by launching several key initiatives to position the company for
Investor Contact: Steve Tschiegg
Manager – Investor Relations
continued success.”
Mail Code: GNE-26
1835 Dueber Avenue, S.W.
Canton, OH 44706 U.S.A.
During 2005, the company:
Telephone: (330) 471-7446
Facsimile: (330) 471-2797
steve.tschiegg@timken.com
• Leveraged demand and implemented surcharges and price increases
For Additional Information:
to recover high raw material costs;
www.timken.com/media
www.timken.com/investors
2. -2-
• Improved the business mix and increased production capacity in
targeted areas, including significant investments in the U.S., China
and Romania;
• Launched a major growth initiative in Asia with the objective of
increasing market share, influencing major design centers and
expanding our network of sources of globally competitive friction
management products;
• Initiated Project ONE, a five-year program designed to improve
business processes and systems to deliver enhanced customer
service and financial performance. With an expected cost of $90
million, Project ONE is targeted to achieve annual savings of
approximately $75 million upon project completion, as well as
improved working capital management;
• Began restructuring automotive operations to address challenging
market issues, with expected costs of $80 to $90 million and targeted
annual savings of approximately $40 million by the end of 2007;
• Reached a new four-year agreement with the United Steelworkers
union, covering employees in the Canton, Ohio bearing and steel
plants. As a result of the contract settlement, the company has refined
its plans to rationalize the Canton bearing operations, with expected
costs of approximately $35 to $40 million over the next four years and
targeted annual savings of approximately $25 million;
• Improved the business portfolio. The company expanded its
presence in the aerospace aftermarket through acquisitions and
alliances, providing a broader range of engine bearing repair and
The Timken Company
3. -3-
reconditioning, while also completing the divestiture of several non-
strategic product lines; and
• Strengthened the balance sheet, reducing debt while contributing
$226 million to the company’s U.S. pension plans.
Fourth quarter results
For the quarter ended December 31, 2005, sales were $1.3 billion, an
increase of 8 percent from a year ago. Sales across all three business
groups improved from the fourth quarter of 2004. Earnings per diluted share
for the fourth quarter were $1.01, compared to $0.71 in the same period a
year ago.
Excluding special items, the company’s adjusted fourth quarter earnings
per diluted share were $0.54, versus $0.44 a year ago. Special items in the
fourth quarter included income from CDSOA, a gain on the sale of assets
and restructuring and rationalization charges.
“While adjusted fourth quarter earnings per diluted share were up 23
percent over the same period last year, they were lower than anticipated due
to higher manufacturing costs, a write-off of obsolete and slow-moving
inventory and increased reserves for automotive industry credit exposure,”
said Mr. Griffith.
Industrial Group Results
Industrial Group 2005 sales increased 13 percent from the prior year to a
record $1.9 billion. The increase was driven by higher volume and improved
product mix. Many end markets were strong, especially mining, metals, rail,
aerospace and oil and gas, which also drove strong distribution sales. The
Industrial Group also benefited from growth in emerging markets, especially
China.
The Timken Company
4. -4-
Industrial Group 2005 earnings before interest and taxes (EBIT)
increased to $199.9 million from $177.9 million in 2004, reflecting volume
growth and price increases, partially offset by investments in Project ONE
and Asia growth initiatives.
Industrial Group sales in the 2005 fourth quarter increased to $491.9
million, up 10 percent from the prior year with continued market strength.
EBIT was $41.9 million, down from $47.6 million a year ago. The positive
impact of improvements in volume and mix were more than offset by higher
manufacturing costs associated with the ramping up of capacity to meet
customer demand, investments in Project ONE and Asia growth initiatives,
and a write-off of obsolete and slow-moving inventory.
Automotive Group Results
Automotive Group 2005 sales increased 5 percent to a record $1.7
billion. Sales grew due to favorable pricing actions and growth in medium
and heavy truck markets. The Automotive Group had a loss in 2005 of $19.9
million, compared to EBIT of $15.9 million in 2004. Increased volume and
pricing were more than offset by higher manufacturing costs associated with
ramping up plants serving industrial customers and from reduced unit
volume from light vehicle customers. Automotive results were also impacted
by investments in Project ONE and an increase in accounts receivable
reserves. In the third quarter, the company announced a restructuring plan
as part of its effort to improve Automotive Group performance and address
challenges in the automotive markets.
In the fourth quarter, the Automotive Group had sales of $406.9 million, a
4 percent increase from a year ago. The Automotive Group had a loss of
$7.5 million in the fourth quarter of 2005, compared to a loss of $1.9 million
The Timken Company
5. -5-
for the same period a year ago. Despite higher pricing, fourth quarter
results were negatively impacted by higher manufacturing costs, investments
in Project ONE and an increase in accounts receivable reserves.
Steel Group Results
Steel Group 2005 sales, including inter-segment sales, were a record
$1.8 billion, up 27 percent from 2004. The sales growth reflected record
shipments, driven by strong industrial markets, as well as surcharges and
price increases to offset higher raw material and energy costs. For 2005,
EBIT increased to $219.8 million from $54.8 million in 2004, driven by higher
volume, raw material surcharges and price increases. High capacity
utilization and record productivity also improved the results.
Steel Group sales in the fourth quarter, including inter-segment sales,
were $419.7 million, an 8 percent increase from the prior year. Fourth-
quarter EBIT was $49.6 million, compared to $32.2 million a year ago. Both
sales and EBIT reflected the strong business performance experienced
throughout the year.
Outlook
The company expects continued financial improvement in 2006. Global
industrial markets are expected to remain strong, while improvements in
Timken’s operating performance will be partially constrained by investments
in Project ONE and Asia growth initiatives as well as the expensing of stock
options. Earnings per diluted share for 2006, excluding special items, are
estimated at $2.65 to $2.80 for the full year and $0.55 to $0.60 for the first
quarter.
The company will host a conference call for investors and analysts today
to discuss financial results.
The Timken Company
6. -6-
Conference Call: Wednesday, Feb. 1, 2006
11:00 a.m. Eastern Standard Time
All Callers: Live Dial-In: 706-634-0975
(Call in 10 minutes prior to be included)
Replay Dial-In through Feb. 8, 2006: 706-645-9291
Conference ID: 3960158
Live Webcast: www.timken.com
The Timken Company (NYSE: TKR; www.timken.com) keeps the world
turning, with innovative ways to make customers’ products run smoother,
faster and more efficiently. Timken’s highly engineered bearings, alloy steels
and related products and services turn up everywhere. With operations in 27
countries, sales of $5.2 billion in 2005 and 27,000 employees, Timken is
Where You Turn™ for better performance.
Certain statements in this news release (including statements regarding the
Company's forecasts, estimates and expectations) that are not historical in nature
are quot;forward-lookingquot; statements within the meaning of the Private Securities
Litigation Reform Act of 1995. In particular, the statements related to expected
savings and costs of the Company’s programs and initiatives and expectations
concerning the Company’s financial performance, as well as statements contained in
the paragraph under the heading “Outlook,” are forward-looking. The Company
cautions that actual results may differ materially from those projected or implied in
forward-looking statements due to a variety of important factors, including:
fluctuations in raw material and energy costs and the operation of the Company’s
surcharge mechanisms; the Company’s ability to respond to the changes in its end
markets; changes in the financial health of the Company’s customers; and the
impact on operations of general economic conditions, higher raw material and
energy costs, fluctuations in customer demand and the Company's ability to achieve
the benefits of its future and ongoing programs and initiatives, including the
implementation of its Automotive Group restructuring, the rationalization of the
Company’s Canton bearing operations, manufacturing transformation and
rationalization activities. These and additional factors are described in greater
detail in the Company's Annual Report on Form 10-K for the year ended December
31, 2004, in the Company's 2004 Annual Report, page 64 and in the Company’s
Form 10-Q for the quarter ended September 30, 2005. The Company undertakes no
obligation to update or revise any forward-looking statement.
#
The Timken Company
7. CONSOLIDATED STATEMENT OF INCOME AS REPORTED ADJUSTED (1)
(Thousands of U.S. dollars, except share data) 4Q 05 4Q 04 Year 05 Year 04 4Q 05 4Q 04 Year 05 Year 04
Net sales $1,281,083 $1,187,875 $5,168,434 $4,513,671 $1,281,083 $1,187,875 $5,168,434 $4,513,671
Cost of products sold 1,019,120 940,317 4,095,209 3,670,584 1,019,120 940,317 4,095,209 3,670,584
Manufacturing rationalization/Integration/Reorganization expenses -
cost of products sold 4,315 1,128 14,504 4,502 - - - -
Gross Profit $257,648 $246,430 $1,058,721 $838,585 $261,963 $247,558 $1,073,225 $843,087
Selling, administrative & general expenses (SG&A) 171,501 157,045 658,826 565,400 171,501 157,045 658,826 565,400
Manufacturing rationalization/Integration/Reorganization expenses -
SG&A 1,289 5,778 2,766 22,523 - - - -
Impairment and restructuring 1,686 9,436 26,093 13,434 - - - -
Operating Income $83,172 $74,171 $371,036 $237,228 $90,462 $90,513 $414,399 $277,687
Other expense (5,331) (11,964) (17,764) (30,964) (5,331) (11,964) (17,764) (30,964)
Special items - other income 82,435 36,876 85,422 42,952 - - - -
Earnings Before Interest and Taxes (EBIT) (2) $160,276 $99,083 $438,694 $249,216 $85,131 $78,549 $396,635 $246,723
Interest expense, net (10,991) (14,262) (48,148) (49,437) (10,991) (14,262) (48,148) (49,437)
Income Before Income Taxes $149,285 $84,821 $390,546 $199,779 $74,140 $64,287 $348,487 $197,286
Provision for income taxes 54,404 20,439 130,265 64,123 23,495 24,429 114,304 74,969
Net Income $94,881 $64,382 $260,281 $135,656 $50,645 $39,858 $234,183 $122,317
Earnings Per Share $1.03 $0.71 $2.84 $1.51 $0.55 $0.44 $2.56 $1.36
Earnings Per Share-assuming dilution $1.01 $0.71 $2.81 $1.49 $0.54 $0.44 $2.53 $1.35
Average Shares Outstanding 92,426,648 90,397,233 91,533,242 89,875,650 92,426,648 90,397,233 91,533,242 89,875,650
Average Shares Outstanding-assuming dilution 93,616,089 91,314,698 92,537,529 90,759,571 93,616,089 91,314,698 92,537,529 90,759,571
(1) quot;Adjustedquot; statements exclude the impact of impairment and restructuring, manufacturing rationalization/integration/reorganization and special charges and credits for
all periods shown.
8. BUSINESS SEGMENTS
(Thousands of U.S. dollars) 4Q 05 4Q 04 Year 05 Year 04
Industrial Group
Net sales to external customers $491,465 $448,496 $1,925,211 $1,709,770
Intersegment sales 386 454 1,847 1,437
Total net sales $491,851 $448,950 $1,927,058 $1,711,207
Adjusted earnings before interest and taxes (EBIT) * (2) $41,864 $47,636 $199,936 $177,913
Adjusted EBIT Margin (2) 8.5% 10.6% 10.4% 10.4%
Automotive Group
Net sales to external customers $406,875 $391,585 $1,661,048 $1,582,226
Adjusted (loss) earnings before interest and taxes (EBIT) * (2) ($7,529) ($1,863) ($19,886) $15,919
Adjusted EBIT (Loss) Margin (2) -1.9% -0.5% -1.2% 1.0%
Steel Group
Net sales to external customers $382,743 $347,794 $1,582,175 $1,221,675
Intersegment sales 36,909 40,794 178,157 161,941
Total net sales $419,652 $388,588 $1,760,332 $1,383,616
Adjusted earnings before interest and taxes (EBIT) * (2) $49,609 $32,246 $219,780 $54,756
Adjusted EBIT Margin (2) 11.8% 8.3% 12.5% 4.0%
*Industrial Group, Automotive Group and Steel Group EBIT do not equal Consolidated EBIT due to intersegment adjustments which are eliminated upon consolidation.
(2) EBIT is defined as operating income plus other income (expense). EBIT Margin is EBIT as a percentage of net sales. EBIT and EBIT margin on a segment basis
exclude certain special items set forth above. EBIT and EBIT Margin are important financial measures used in the management of the business, including decisions
concerning the allocation of resources and assessment of performance. Management believes that reporting EBIT and EBIT Margin best reflect the performance of
our business segments and EBIT disclosures are responsive to investors.
9. Reconciliation of Total Debt to Net Debt and the Ratio of Net Debt to Capital:
(Thousands of U.S. Dollars) Dec 31, 2005 Dec 31, 2004
Short-term debt $159,279 $158,690
Long-term debt 561,747 620,634
Total Debt 721,026 779,324
Less: cash and cash equivalents (65,417) (50,967)
Net Debt $655,609 $728,357
Shareholders' equity 1,497,067 1,269,848
Ratio of Total Debt to Capital 32.5% 38.0%
Ratio of Net Debt to Capital (Leverage) 30.5% 36.5%
This reconciliation is provided as additional relevant information about Timken's financial position. Capital is defined as debt plus shareholder's equity.
Management believes Net Debt is more representative of Timken's indicative financial position, due to a temporary increase in cash and cash equivalents.
Reconciliation of GAAP net income and EPS - Basic and Diluted as previously disclosed.
This reconciliation is provided as additional relevant information about the company's performance. Management believes adjusted net income and adjusted earnings
per share are more representative of the company's performance and therefore useful to investors. Management also believes that it is appropriate to compare GAAP
net income to adjusted net income in light of special items related to impairment and restructuring and manufacturing rationalization/integration/reorganization costs,
Continued Dumping and Subsidy Offset Act (CDSOA) receipts, and gain on the sale of non-strategic assets.
Fourth Quarter Year
05 04 05 04
(Thousands of U.S. dollars, except share data) $ EPS $ EPS $ EPS $ EPS
Net income $94,881 $1.01 $64,382 $0.71 $260,281 $2.81 $135,656 $1.49
Pre-tax special items:
Manufacturing rationalization/integration/reorganization expenses -
cost of products sold 4,315 0.05 1,128 0.01 14,504 0.16 4,502 0.05
Manufacturing rationalization/integration/reorganization expenses -
SG&A 1,289 0.01 5,778 0.06 2,766 0.03 22,523 0.25
Impairment and restructuring 1,686 0.02 9,436 0.10 26,093 0.28 13,434 0.15
Special items - other (income) expense:
Gain on sale of non-strategic assets/dissolution of British Timken (6,012) (0.06) (190) - (8,547) (0.09) (190) -
CDSOA receipts, net of expenses (77,069) (0.82) (36,686) (0.40) (77,069) (0.83) (44,429) (0.49)
Adoption of FIN 46 for investment in PEL - - - - - - 948 (3) 0.01
Other 646 0.01 - - 194 - 719 0.01
Tax effect of special items 30,909 $0.32 (3,990) (0.04) 15,961 $0.17 (10,846) (0.12)
Adjusted net income $50,645 $0.54 $39,858 $0.44 $234,183 $2.53 $122,317 $1.35
(3) In the first quarter of 2004, Timken adopted Interpretation No. 46, quot;Consolidation of Variable Interest Entities, an interpretation of Accounting Research
Bulletin No. 51quot; (FIN 46). Timken concluded that its investment in a joint venture, PEL, was subject to the provisions of FIN 46 and that Timken was the primary
beneficiary of PEL. Accordingly, Timken consolidated PEL, effective March 31, 2004, which resulted in a charge to earnings related to the cumulative effect of change
in accounting principle.
Reconciliation of Outlook Information -
Expected earnings per diluted share for the first quarter and the full year exclude special items. Examples of such special items include impairment and restructuring, manufacturing
rationalization/integration/reorganization expenses, gain on the sale of non-strategic assets, and payments under the CDSOA. It is not possible at this time to identify the potential amount or significance
of these special items. We cannot predict whether we will receive any additional payments under the CDSOA in 2006 and if so, in what amount. If we do receive any additional
CDSOA payments, they will most likely be received in the fourth quarter.
10. CONSOLIDATED BALANCE SHEET Dec 31 Dec 31
2005 2004
(Thousands of U.S. dollars)
ASSETS
Cash & cash equivalents $65,417 $50,967
Accounts receivable 711,783 717,425
Deferred income taxes 107,632 114,657
Inventories 998,368 874,833
Total Current Assets $1,883,200 $1,757,882
Property, plant & equipment 1,547,044 1,583,425
Goodwill 204,129 189,299
Other assets 359,056 415,056
Total Assets $3,993,429 $3,945,662
LIABILITIES
Accounts payable & other liabilities $500,939 $504,585
Short-term debt 159,279 158,690
Accrued expenses 411,298 370,101
Total Current Liabilities $1,071,516 $1,033,376
Long-term debt 561,747 620,634
Accrued pension cost 246,692 468,644
Accrued postretirement benefits cost 513,771 490,366
Other non-current liabilities 102,636 62,794
Total Liabilities $2,496,362 $2,675,814
SHAREHOLDERS' EQUITY 1,497,067 1,269,848
Total Liabilities and Shareholders' Equity $3,993,429 $3,945,662
11. CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS For the three months ended For the year ended
Dec 31 Dec 31 Dec 31 Dec 31
(Thousands of U.S. dollars) 2005 2004 2005 2004
Cash Provided (Used)
OPERATING ACTIVITIES
Net Income $94,881 $64,382 $260,281 $135,656
Adjustments to reconcile net income to net cash provided (used)
by operating activities:
Depreciation and amortization 57,294 52,515 218,059 209,431
Other 97,507 74,944 93,304 81,097
Changes in operating assets and liabilities:
Accounts receivable 80,836 7,067 (29,426) (114,264)
Inventories 1,819 (38,702) (160,287) (130,407)
Other assets 7,571 8,693 (21,099) 9,544
Accounts payable and accrued expenses (126,477) (23,170) (47,288) (73,218)
Foreign currency translation (gain) loss (424) 948 5,157 2,690
Net Cash Provided (Used) by Operating Activities $213,007 $146,677 $318,701 $120,529
INVESTING ACTIVITIES
Capital expenditures ($97,002) ($59,951) ($225,607) ($155,180)
Other 3,116 5,565 9,963 5,268
Proceeds from disposals of non-strategic assets 10,109 50,690 21,838 50,690
Acquisitions (42,367) 874 (48,996) (9,359)
Net Cash Used by Investing Activities ($126,144) ($2,822) ($242,802) ($108,581)
FINANCING ACTIVITIES
Cash dividends paid to shareholders ($13,911) ($11,753) ($55,149) ($46,767)
Proceeds from exercise of stock options 9,053 3,884 39,793 17,628
Net (payments) borrowings on credit facilities (79,337) (146,038) (40,938) 27,277
Net Cash (Used) Provided by Financing Activities ($84,195) ($153,907) ($56,294) ($1,862)
Effect of exchange rate changes on cash ($356) $8,148 ($5,155) $12,255
Increase (Decrease) in Cash and Cash Equivalents 2,312 (1,904) 14,450 22,341
Cash and Cash Equivalents at Beginning of Period $63,105 $52,871 $50,967 $28,626
Cash and Cash Equivalents at End of Period $65,417 $50,967 $65,417 $50,967