This document provides an overview of Waste Management, Inc. and the waste management industry. Some key points:
- Waste Management is the largest waste management company in North America with $13.4 billion in annual revenues and a 26% market share.
- The waste management industry generates $52 billion annually in North America. Key assets are disposal facilities and landfills which Waste Management has a large share of.
- Waste Management operates in 48 US states, Canada, and Puerto Rico, serving nearly 20 million customers with over 360 collection operations and 273 landfills.
- The company focuses on operational excellence, cost cutting, and consistent strategies around profitable revenue growth and uses of
- The company reported earnings per share of $1.13 for the second quarter of 2006, up 15% from the previous year, with operating revenue increasing 6%.
- All business segments saw revenue growth, with Supply Chain Solutions seeing the largest increase at 34% and Fleet Management Solutions revenue up 8%.
- The earnings outlook and capital expenditure expectations for the remainder of 2006 were positive with strong new lease sales expected.
- Revenue and earnings for the company increased in the first quarter compared to the prior year.
- Earnings per share were $0.77, up 20% from the prior year.
- The company is increasing its full year 2006 earnings forecast to a range of $3.82 to $3.97 per share.
The document provides an earnings presentation for Xerox's first quarter 2009 results. Key points include:
- Revenue was down 18% due to challenging economic conditions negatively impacting hardware and supplies sales.
- EPS was $0.05, in line with previous guidance.
- Cost reductions helped drive a $120 million decline in selling, administrative and general expenses.
- The company maintained a strong balance sheet and cash flow.
Sanjiv Khattri, Executive Vice President and CFO of GMAC Financial Services 2...finance8
This document provides a summary of GMAC's preliminary second quarter 2007 earnings results. Key points include:
- Net income of $293 million, down from $787 million in Q2 2006. Excluding ResCap, net income doubled year-over-year.
- ResCap results improved due to reducing nonprime exposure and production, though credit quality continues to weaken with the housing market.
- Auto finance continues to perform well with improving margins and originations up.
- Insurance had favorable underwriting results.
- GMAC and ResCap maintain strong liquidity positions with $17.5 billion in cash and marketable securities.
- The company reported third quarter 2006 earnings per share of $1.06, up 8% from the prior year. Excluding a pension accounting charge, EPS was $1.12, up 14%.
- All business segments saw revenue growth. Fleet Management Solutions revenue was up 5% and Supply Chain Solutions revenue increased 19%.
- The company's debt to equity ratio was 160% at the end of the third quarter 2006, an increase from 143% at the end of 2005 but still below the long-term target range.
1) The document provides an earnings conference call forecast for Q4 2007 and full year 2008. It includes details on Q4 2007 results, 2008 forecasts, and questions and answers.
2) Key highlights of Q4 2007 results include earnings per share of $1.24, up 15% from prior year. Operating revenue was up 4% and total revenue up 5%.
3) The forecast expects continued growth in 2008 from contractual revenue increases and favorable foreign exchange rates across all business segments.
- The document provides a summary of the company's 4th quarter 2008 and full year 2008 financial results and forecasts for 2009.
- 4th quarter earnings per share were $0.19 compared to $1.24 in 4Q07 due to restructuring charges. Excluding charges, earnings were $1.09 compared to $1.18.
- For the full year, earnings per share were $3.52 compared to $4.24 in 2007. Excluding items, earnings were $4.49 compared to $4.21.
- Ryder reported earnings per share of $1.08 for the fourth quarter of 2006, up 17% from $0.92 in the fourth quarter of 2005. Revenue increased 3% to $1.594 billion.
- For the full year 2006, Ryder reported earnings per share of $4.04, up 15% from $3.52 in 2005. Revenue increased 10% to $6.307 billion.
- Ryder's Fleet Management Solutions segment saw a 2% increase in operating revenue and a 3% increase in net earnings before tax for the fourth quarter. For the full year, FMS operating revenue rose 2% and net earnings before tax increased 4%.
- The company reported earnings per share of $1.13 for the second quarter of 2006, up 15% from the previous year, with operating revenue increasing 6%.
- All business segments saw revenue growth, with Supply Chain Solutions seeing the largest increase at 34% and Fleet Management Solutions revenue up 8%.
- The earnings outlook and capital expenditure expectations for the remainder of 2006 were positive with strong new lease sales expected.
- Revenue and earnings for the company increased in the first quarter compared to the prior year.
- Earnings per share were $0.77, up 20% from the prior year.
- The company is increasing its full year 2006 earnings forecast to a range of $3.82 to $3.97 per share.
The document provides an earnings presentation for Xerox's first quarter 2009 results. Key points include:
- Revenue was down 18% due to challenging economic conditions negatively impacting hardware and supplies sales.
- EPS was $0.05, in line with previous guidance.
- Cost reductions helped drive a $120 million decline in selling, administrative and general expenses.
- The company maintained a strong balance sheet and cash flow.
Sanjiv Khattri, Executive Vice President and CFO of GMAC Financial Services 2...finance8
This document provides a summary of GMAC's preliminary second quarter 2007 earnings results. Key points include:
- Net income of $293 million, down from $787 million in Q2 2006. Excluding ResCap, net income doubled year-over-year.
- ResCap results improved due to reducing nonprime exposure and production, though credit quality continues to weaken with the housing market.
- Auto finance continues to perform well with improving margins and originations up.
- Insurance had favorable underwriting results.
- GMAC and ResCap maintain strong liquidity positions with $17.5 billion in cash and marketable securities.
- The company reported third quarter 2006 earnings per share of $1.06, up 8% from the prior year. Excluding a pension accounting charge, EPS was $1.12, up 14%.
- All business segments saw revenue growth. Fleet Management Solutions revenue was up 5% and Supply Chain Solutions revenue increased 19%.
- The company's debt to equity ratio was 160% at the end of the third quarter 2006, an increase from 143% at the end of 2005 but still below the long-term target range.
1) The document provides an earnings conference call forecast for Q4 2007 and full year 2008. It includes details on Q4 2007 results, 2008 forecasts, and questions and answers.
2) Key highlights of Q4 2007 results include earnings per share of $1.24, up 15% from prior year. Operating revenue was up 4% and total revenue up 5%.
3) The forecast expects continued growth in 2008 from contractual revenue increases and favorable foreign exchange rates across all business segments.
- The document provides a summary of the company's 4th quarter 2008 and full year 2008 financial results and forecasts for 2009.
- 4th quarter earnings per share were $0.19 compared to $1.24 in 4Q07 due to restructuring charges. Excluding charges, earnings were $1.09 compared to $1.18.
- For the full year, earnings per share were $3.52 compared to $4.24 in 2007. Excluding items, earnings were $4.49 compared to $4.21.
- Ryder reported earnings per share of $1.08 for the fourth quarter of 2006, up 17% from $0.92 in the fourth quarter of 2005. Revenue increased 3% to $1.594 billion.
- For the full year 2006, Ryder reported earnings per share of $4.04, up 15% from $3.52 in 2005. Revenue increased 10% to $6.307 billion.
- Ryder's Fleet Management Solutions segment saw a 2% increase in operating revenue and a 3% increase in net earnings before tax for the fourth quarter. For the full year, FMS operating revenue rose 2% and net earnings before tax increased 4%.
- Third quarter earnings per share were $1.25 compared to $1.11 in the prior year, though comparable earnings were $1.22 versus $1.14 due to lower than expected rental revenue.
- Fleet Management Solutions revenue grew 11% due to acquisitions and contractual growth, though earnings were impacted by lower commercial rental results.
- Supply Chain Solutions earnings declined 27% due to international operations and a new U.S. start-up, while Dedicated Contract Carriage earnings grew 7% on improved performance.
- Year-to-date comparable earnings per share were $3.40 compared to $3.04 in the prior year, with segment earnings growth across most business
FMS operating revenue was up 5% year-over-year to $747.6 million due to 6% growth in contractual revenue including full service lease and contract maintenance revenue. FMS net before tax earnings increased 13% to $91.4 million and the net before tax earnings percent of operating revenue increased 90 basis points to 12.2%. FMS earnings benefited from improved contractual business performance, lower sales and marketing costs, and acquisitions.
- Fleet Management Solutions operating revenue increased 2% to $713.9 million driven by a 6% increase in contractual revenue, while commercial rental revenue declined 13% and fuel services revenue declined 3%.
- Net before tax earnings for FMS increased 8% to $80.8 million and net before tax earnings as a percentage of operating revenue increased to 11.3% from 10.7% in the prior year.
- The company reaffirmed its full year 2007 earnings forecast of $4.30 to $4.40 per share, with second quarter earnings forecasted to be $1.04 to $1.07 per share.
Leggett & Platt reported first quarter 2009 earnings of $0.06 per share, down from $0.23 per share in Q1 2008. Sales were $718 million, a 28% decrease from the prior year due to weak demand. Cash flow from operations was $115 million, up 116% from prior year due to working capital reductions. For 2009, the company estimates EPS of $0.60-$0.90 on $2.9-3.3 billion in sales, down from prior guidance due to continued weak demand.
This document provides comparative highlights and financial data for Omnicom for 1999 and 1998. It summarizes that worldwide billings increased 19% to $35.7 billion in 1999. Net income increased 30% to $362.9 million and earnings per share increased 29% to $2.07. It also provides an overview of the strong performance of Omnicom's advertising and marketing services brands in 1999.
This document is a news release from Ameriprise Financial reporting their fourth quarter and full year 2008 financial results. Some key points:
1) Ameriprise reported a net loss of $369 million for Q4 2008 due to losses from investments and charges related to declining markets, compared to net income of $255 million in Q4 2007.
2) Excluding one-time impacts, core operating earnings were $176 million for Q4 2008, down from $262 million in the prior year period.
3) For the full year, Ameriprise reported a net loss of $38 million compared to net income of $814 million in 2007, while core operating earnings declined modestly.
3
This document is Textron's 1999 Annual Report. The key points are:
1) Textron achieved record financial results in 1999 with revenues increasing 20% to $11.6 billion and earnings per share increasing 51%.
2) Textron's four business segments - Aircraft, Automotive, Industrial, and Finance - saw strong growth and profitability in 1999.
3) Textron is focused on consistent growth through strategic investments, acquisitions, driving operational excellence, and leveraging e-business.
Computer Sciences Corporation (CSC) reported financial results for the third quarter of fiscal year 2001, ended December 29, 2000. Revenues increased 12.9% to $2.7 billion due to growth in the federal government vertical market and commercial outsourcing. Earnings before special items increased 9.6% to $122.9 million. Major new business awards totaled $1.8 billion for the quarter. For the nine-month period, revenues increased 12.2% to $7.6 billion and earnings before special items increased 13.1% to $327.9 million, though results were impacted by currency effects and restructuring costs. CSC also discussed several new contracts and engagements.
David Walker, Group Vice President - Global Borrowings, GMAC LLC Bank of Amer...finance8
The document discusses GMAC's performance in Q3 2007. It reports a loss of $1.6 billion, driven by disappointing results at ResCap due to the unprecedented disruption in global capital markets and mortgage sector. Auto finance and insurance segments remained strong. ResCap is restructuring its mortgage operations in response to fundamental changes in the mortgage market. GMAC and ResCap maintained strong liquidity and capital positions in Q3.
FIS Bank of America Conference September 2008finance48
Fidelity National Information Services is a leading global provider of payment processing and core banking services. It generates $2.9 billion in annual revenue, with 86% coming from recurring sources. It has a large diverse customer base including community banks, mid-sized and large U.S. banks, and financial institutions in over 80 countries. The company has the most comprehensive product portfolio in the industry and strong positions across various market segments.
This presentation provides an overview of the company to investors. It discusses the company's two-brand strategy with Avis as a premium brand and Budget as a value brand. It highlights opportunities to optimize this strategy and expand revenue sources such as the Where2 ancillary rental product. Financial projections estimate Where2 can generate $15 million in EBITDA in 2008 growing to $70 million as the take rate increases.
- The document presents information to investors about the company's business overview, strategic overview, and outlook for 2008.
- It highlights the company's two-brand strategy, opportunities to expand revenue sources and maximize profits, and expectations for revenue and earnings growth in 2008.
- Key metrics provided include over 6,900 locations, $5.9 billion in annual revenues, and targets to increase earnings through initiatives like performance excellence projects.
- Pepco Holdings, Inc. reported on its 2006 financial and operational performance in its annual report and proxy statement. It noted lower earnings compared to 2005 due to mild weather but continued growth in shareholder value.
- Key accomplishments in 2006 included implementing balanced rate mitigation plans, filing rate cases to cover increased delivery costs, proposing a major transmission line project, agreeing to sell remaining regulated generation assets, and achieving strong performance in wholesale energy and retail energy businesses.
- Looking ahead, the company plans to focus on growth through regulatory outcomes, infrastructure investments, environmental leadership programs, and improving wholesale energy market conditions.
- Pepco Holdings, Inc. reported on its 2006 financial and operational performance in its annual report and proxy statement. It noted lower earnings compared to 2005 due to mild weather but continued growth in shareholder value.
- Key accomplishments in 2006 included implementing balanced rate mitigation plans, filing rate cases to cover increased delivery costs, proposing a major transmission line project, agreeing to sell remaining regulated generation assets, and achieving strong performance in wholesale energy and retail energy businesses.
- Looking ahead, the company plans to focus on growth through regulatory outcomes, infrastructure investments, environmental leadership programs, and improving wholesale energy market conditions.
1) Amazon's Q1 2009 financial results showed increases in key metrics such as net sales, operating income, net income, and free cash flow compared to Q1 2008. Net sales grew 18% to $4.9 billion while free cash flow increased 82% to $1.4 billion.
2) The international segment saw the strongest growth with net sales increasing 34% year-over-year to $1.2 billion. Electronics and other general merchandise also experienced strong growth with net sales rising 42% to $1.2 billion.
3) While actual results could differ from projections, Amazon expects to continue optimizing free cash flow and achieving long term goals such as triple digit return on invested capital.
ONEOK and ONEOK Partners to Present at Houston Energy Financial finance20
This document provides an agenda and overview for the Houston Energy Financial Forum on November 18, 2008. The presentation discusses ONEOK, Inc. and ONEOK Partners, L.P. as premier energy companies with diversified assets across the natural gas value chain. Key points include ONEOK Partners' $2 billion growth plan through internal projects between 2008-2009 focused on natural gas gathering and processing and natural gas liquids infrastructure in the Rockies. The presentation also highlights ONEOK's strategy of creating value through vertical integration and growth at ONEOK Partners, which benefits ONEOK through increasing distributions.
This document summarizes a presentation by Ameren, a regional electric and gas utility, at the Morgan Stanley Energy & Electricity Conference in April 2008. It discusses Ameren's business plan to achieve operational excellence, improve customer service, demonstrate environmental leadership, and maximize shareholder value. Financially, Ameren expects near-term regulatory lag due to rising costs but significant longer-term earnings growth from rate cases and increasing regulated investments. Regulated returns currently support earnings growth and regulated investment plans are expected to grow rate base and earnings.
air products & chemicals Q1 FY 09 earningsfinance26
- Air Products reported net income of $69 million for the fiscal first quarter ended December 31, 2008, down from $263.7 million in the prior year. Excluding one-time charges, income was $206 million, down 21% from the prior year.
- Revenues declined 9% to $2.195 billion due to weaker volumes across segments from deteriorating economic conditions. Operating income fell 24% to $288 million.
- The company expects second quarter EPS to be between $0.80-$0.90 and full year EPS to be between $4.00-$4.30, excluding one-time charges.
United Stationers focuses on six value drivers to achieve profitable growth:
1) Deliver profitable sales growth through product initiatives, marketing capabilities, and new channels
2) Drive out waste through cost reduction programs like WOW 2 to lower expenses
3) Expand private brand sales which offer higher margins for United and customers
4) Optimize assets like inventory and accounts payable to improve cash flow
5) Unlock value from acquisitions like ORS Nasco which expands into industrial supplies
6) Enhance marketing capabilities with technology improvements to catalogs and customer tools
United made progress in 2007 on these drivers through category growth, cost savings, higher private brand sales, and the ORS Nasco acquisition, helping
United Stationers focuses on six value drivers to achieve profitable growth:
1) Deliver profitable sales growth through product initiatives, marketing capabilities, and new channels
2) Drive out waste through cost reduction programs like WOW 2 to lower expenses
3) Expand private brand sales which offer higher margins for United and customers
4) Optimize assets like inventory and accounts payable to improve cash flow
5) Unlock value from acquisitions like ORS Nasco to enter new markets
6) Enhance marketing capabilities with technology improvements to catalogs and customer tools
United made progress in 2007 on these drivers through category growth, cost savings, higher private brand sales, and the ORS Nasco acquisition, helping deliver
CPFL reported its 3Q18 results, highlighting increases in net operating revenue (+4.4%), EBITDA (+21.4%), and net income (+60.5%). Energy sales in the concession area grew 2.0% due to increases in the residential (+2.0%) and industrial (+2.4%) segments. Net debt was R$15.5 billion with a leverage ratio of 2.92x. The company won projects in the 28th energy auction, including the Cherobim SHPP (28 MW) and Gameleira Wind Complex (69.3 MW). CPFL also discussed its renewable generation projects totaling 127.2 MW of installed capacity by 2024 and provided an update on its
This document provides an overview of a Midwest Utilities Seminar held in April 2008. It discusses Ameren Corporation, a regional electric and gas utility operating in Missouri and Illinois. The presentation outlines Ameren's business segments and strategy to achieve operational excellence and regulatory frameworks that support earnings growth. Financial projections through 2012 indicate a target of 4-6% annual EPS growth through rate cases and investment in regulated infrastructure. Non-regulated generation is also positioned for potential earnings growth depending on power and fuel prices.
- Third quarter earnings per share were $1.25 compared to $1.11 in the prior year, though comparable earnings were $1.22 versus $1.14 due to lower than expected rental revenue.
- Fleet Management Solutions revenue grew 11% due to acquisitions and contractual growth, though earnings were impacted by lower commercial rental results.
- Supply Chain Solutions earnings declined 27% due to international operations and a new U.S. start-up, while Dedicated Contract Carriage earnings grew 7% on improved performance.
- Year-to-date comparable earnings per share were $3.40 compared to $3.04 in the prior year, with segment earnings growth across most business
FMS operating revenue was up 5% year-over-year to $747.6 million due to 6% growth in contractual revenue including full service lease and contract maintenance revenue. FMS net before tax earnings increased 13% to $91.4 million and the net before tax earnings percent of operating revenue increased 90 basis points to 12.2%. FMS earnings benefited from improved contractual business performance, lower sales and marketing costs, and acquisitions.
- Fleet Management Solutions operating revenue increased 2% to $713.9 million driven by a 6% increase in contractual revenue, while commercial rental revenue declined 13% and fuel services revenue declined 3%.
- Net before tax earnings for FMS increased 8% to $80.8 million and net before tax earnings as a percentage of operating revenue increased to 11.3% from 10.7% in the prior year.
- The company reaffirmed its full year 2007 earnings forecast of $4.30 to $4.40 per share, with second quarter earnings forecasted to be $1.04 to $1.07 per share.
Leggett & Platt reported first quarter 2009 earnings of $0.06 per share, down from $0.23 per share in Q1 2008. Sales were $718 million, a 28% decrease from the prior year due to weak demand. Cash flow from operations was $115 million, up 116% from prior year due to working capital reductions. For 2009, the company estimates EPS of $0.60-$0.90 on $2.9-3.3 billion in sales, down from prior guidance due to continued weak demand.
This document provides comparative highlights and financial data for Omnicom for 1999 and 1998. It summarizes that worldwide billings increased 19% to $35.7 billion in 1999. Net income increased 30% to $362.9 million and earnings per share increased 29% to $2.07. It also provides an overview of the strong performance of Omnicom's advertising and marketing services brands in 1999.
This document is a news release from Ameriprise Financial reporting their fourth quarter and full year 2008 financial results. Some key points:
1) Ameriprise reported a net loss of $369 million for Q4 2008 due to losses from investments and charges related to declining markets, compared to net income of $255 million in Q4 2007.
2) Excluding one-time impacts, core operating earnings were $176 million for Q4 2008, down from $262 million in the prior year period.
3) For the full year, Ameriprise reported a net loss of $38 million compared to net income of $814 million in 2007, while core operating earnings declined modestly.
3
This document is Textron's 1999 Annual Report. The key points are:
1) Textron achieved record financial results in 1999 with revenues increasing 20% to $11.6 billion and earnings per share increasing 51%.
2) Textron's four business segments - Aircraft, Automotive, Industrial, and Finance - saw strong growth and profitability in 1999.
3) Textron is focused on consistent growth through strategic investments, acquisitions, driving operational excellence, and leveraging e-business.
Computer Sciences Corporation (CSC) reported financial results for the third quarter of fiscal year 2001, ended December 29, 2000. Revenues increased 12.9% to $2.7 billion due to growth in the federal government vertical market and commercial outsourcing. Earnings before special items increased 9.6% to $122.9 million. Major new business awards totaled $1.8 billion for the quarter. For the nine-month period, revenues increased 12.2% to $7.6 billion and earnings before special items increased 13.1% to $327.9 million, though results were impacted by currency effects and restructuring costs. CSC also discussed several new contracts and engagements.
David Walker, Group Vice President - Global Borrowings, GMAC LLC Bank of Amer...finance8
The document discusses GMAC's performance in Q3 2007. It reports a loss of $1.6 billion, driven by disappointing results at ResCap due to the unprecedented disruption in global capital markets and mortgage sector. Auto finance and insurance segments remained strong. ResCap is restructuring its mortgage operations in response to fundamental changes in the mortgage market. GMAC and ResCap maintained strong liquidity and capital positions in Q3.
FIS Bank of America Conference September 2008finance48
Fidelity National Information Services is a leading global provider of payment processing and core banking services. It generates $2.9 billion in annual revenue, with 86% coming from recurring sources. It has a large diverse customer base including community banks, mid-sized and large U.S. banks, and financial institutions in over 80 countries. The company has the most comprehensive product portfolio in the industry and strong positions across various market segments.
This presentation provides an overview of the company to investors. It discusses the company's two-brand strategy with Avis as a premium brand and Budget as a value brand. It highlights opportunities to optimize this strategy and expand revenue sources such as the Where2 ancillary rental product. Financial projections estimate Where2 can generate $15 million in EBITDA in 2008 growing to $70 million as the take rate increases.
- The document presents information to investors about the company's business overview, strategic overview, and outlook for 2008.
- It highlights the company's two-brand strategy, opportunities to expand revenue sources and maximize profits, and expectations for revenue and earnings growth in 2008.
- Key metrics provided include over 6,900 locations, $5.9 billion in annual revenues, and targets to increase earnings through initiatives like performance excellence projects.
- Pepco Holdings, Inc. reported on its 2006 financial and operational performance in its annual report and proxy statement. It noted lower earnings compared to 2005 due to mild weather but continued growth in shareholder value.
- Key accomplishments in 2006 included implementing balanced rate mitigation plans, filing rate cases to cover increased delivery costs, proposing a major transmission line project, agreeing to sell remaining regulated generation assets, and achieving strong performance in wholesale energy and retail energy businesses.
- Looking ahead, the company plans to focus on growth through regulatory outcomes, infrastructure investments, environmental leadership programs, and improving wholesale energy market conditions.
- Pepco Holdings, Inc. reported on its 2006 financial and operational performance in its annual report and proxy statement. It noted lower earnings compared to 2005 due to mild weather but continued growth in shareholder value.
- Key accomplishments in 2006 included implementing balanced rate mitigation plans, filing rate cases to cover increased delivery costs, proposing a major transmission line project, agreeing to sell remaining regulated generation assets, and achieving strong performance in wholesale energy and retail energy businesses.
- Looking ahead, the company plans to focus on growth through regulatory outcomes, infrastructure investments, environmental leadership programs, and improving wholesale energy market conditions.
1) Amazon's Q1 2009 financial results showed increases in key metrics such as net sales, operating income, net income, and free cash flow compared to Q1 2008. Net sales grew 18% to $4.9 billion while free cash flow increased 82% to $1.4 billion.
2) The international segment saw the strongest growth with net sales increasing 34% year-over-year to $1.2 billion. Electronics and other general merchandise also experienced strong growth with net sales rising 42% to $1.2 billion.
3) While actual results could differ from projections, Amazon expects to continue optimizing free cash flow and achieving long term goals such as triple digit return on invested capital.
ONEOK and ONEOK Partners to Present at Houston Energy Financial finance20
This document provides an agenda and overview for the Houston Energy Financial Forum on November 18, 2008. The presentation discusses ONEOK, Inc. and ONEOK Partners, L.P. as premier energy companies with diversified assets across the natural gas value chain. Key points include ONEOK Partners' $2 billion growth plan through internal projects between 2008-2009 focused on natural gas gathering and processing and natural gas liquids infrastructure in the Rockies. The presentation also highlights ONEOK's strategy of creating value through vertical integration and growth at ONEOK Partners, which benefits ONEOK through increasing distributions.
This document summarizes a presentation by Ameren, a regional electric and gas utility, at the Morgan Stanley Energy & Electricity Conference in April 2008. It discusses Ameren's business plan to achieve operational excellence, improve customer service, demonstrate environmental leadership, and maximize shareholder value. Financially, Ameren expects near-term regulatory lag due to rising costs but significant longer-term earnings growth from rate cases and increasing regulated investments. Regulated returns currently support earnings growth and regulated investment plans are expected to grow rate base and earnings.
air products & chemicals Q1 FY 09 earningsfinance26
- Air Products reported net income of $69 million for the fiscal first quarter ended December 31, 2008, down from $263.7 million in the prior year. Excluding one-time charges, income was $206 million, down 21% from the prior year.
- Revenues declined 9% to $2.195 billion due to weaker volumes across segments from deteriorating economic conditions. Operating income fell 24% to $288 million.
- The company expects second quarter EPS to be between $0.80-$0.90 and full year EPS to be between $4.00-$4.30, excluding one-time charges.
United Stationers focuses on six value drivers to achieve profitable growth:
1) Deliver profitable sales growth through product initiatives, marketing capabilities, and new channels
2) Drive out waste through cost reduction programs like WOW 2 to lower expenses
3) Expand private brand sales which offer higher margins for United and customers
4) Optimize assets like inventory and accounts payable to improve cash flow
5) Unlock value from acquisitions like ORS Nasco which expands into industrial supplies
6) Enhance marketing capabilities with technology improvements to catalogs and customer tools
United made progress in 2007 on these drivers through category growth, cost savings, higher private brand sales, and the ORS Nasco acquisition, helping
United Stationers focuses on six value drivers to achieve profitable growth:
1) Deliver profitable sales growth through product initiatives, marketing capabilities, and new channels
2) Drive out waste through cost reduction programs like WOW 2 to lower expenses
3) Expand private brand sales which offer higher margins for United and customers
4) Optimize assets like inventory and accounts payable to improve cash flow
5) Unlock value from acquisitions like ORS Nasco to enter new markets
6) Enhance marketing capabilities with technology improvements to catalogs and customer tools
United made progress in 2007 on these drivers through category growth, cost savings, higher private brand sales, and the ORS Nasco acquisition, helping deliver
CPFL reported its 3Q18 results, highlighting increases in net operating revenue (+4.4%), EBITDA (+21.4%), and net income (+60.5%). Energy sales in the concession area grew 2.0% due to increases in the residential (+2.0%) and industrial (+2.4%) segments. Net debt was R$15.5 billion with a leverage ratio of 2.92x. The company won projects in the 28th energy auction, including the Cherobim SHPP (28 MW) and Gameleira Wind Complex (69.3 MW). CPFL also discussed its renewable generation projects totaling 127.2 MW of installed capacity by 2024 and provided an update on its
This document provides an overview of a Midwest Utilities Seminar held in April 2008. It discusses Ameren Corporation, a regional electric and gas utility operating in Missouri and Illinois. The presentation outlines Ameren's business segments and strategy to achieve operational excellence and regulatory frameworks that support earnings growth. Financial projections through 2012 indicate a target of 4-6% annual EPS growth through rate cases and investment in regulated infrastructure. Non-regulated generation is also positioned for potential earnings growth depending on power and fuel prices.
ONEOK to Present at Bank of America Conference finance20
John Gibson, CEO of ONEOK, Inc., gave a presentation at the Bank of America Conference in Key Biscayne, Florida on November 14, 2008. The presentation outlined ONEOK's vision as a premier energy company, its diversified assets across the natural gas value chain, and its financial highlights. ONEOK is executing a strategy of rebundling services across the value chain through vertical integration and growth projects at its midstream subsidiary, ONEOK Partners.
Global Corporate and Investment Banking President Gene Taylor presented on the division's strategy for growth between 2006-2011. The goals are to increase revenues by $10 billion and earnings by $3 billion through deepening client relationships, increasing market share internationally, and strategically deploying capital. Global Investment Banking Head Brian Brille then discussed the strategic themes of integrated delivery of Bank of America's capabilities, capturing largest fee pool opportunities including becoming a top 3 investment bank in the US, and growing the international presence including becoming a top 10 investment bank in Europe.
The document provides an overview of Pepco Holdings Inc.'s (PHI) power delivery business and regulatory environment. It summarizes PHI's sales and customer growth projections, infrastructure investment strategy including the proposed Mid-Atlantic Power Pathway transmission project and Blueprint for the Future initiative. Recent distribution rate case outcomes for PHI's utilities are also summarized. The document is intended as a presentation for investors on PHI's positioned for success through its regulated electric and gas delivery business.
DTE Energy reported its business and financial results for 2007. Key points include:
- Operating earnings for 2007 were $2.82 per share, driven by strong results across utility and non-utility segments.
- Detroit Edison and MichCon earned near their authorized returns on equity despite challenges from new computer systems.
- Non-utility segments like coal/gas midstream and energy trading significantly contributed to earnings.
- The company is making investments to grow its utilities and pipelines, with plans to file an updated rate case for Detroit Edison.
DTE Energy reported its business and financial results for 2007. Key points include:
- Operating earnings for 2007 were $2.82 per share, driven by strong results across utility and non-utility segments.
- Detroit Edison and MichCon earned near their authorized returns on equity despite challenges from new computer systems.
- Non-utility segments like coal/gas midstream and energy trading significantly contributed to earnings.
- The company is making investments to grow its utilities and pipelines, with plans to file an updated rate case for Detroit Edison.
Textron delivered consistent growth in 1998 through leveraging existing strengths, building on past accomplishments, and focusing on a clear future vision. Key highlights included 12% revenue growth, 22% earnings per share growth, and strong financial discipline. Looking ahead, Textron is well-positioned for continued growth with a balanced mix of market-leading businesses, commitment to acquisitions and innovation, and a strong leadership team.
The Most Inspiring Entrepreneurs to Follow in 2024.pdfthesiliconleaders
In a world where the potential of youth innovation remains vastly untouched, there emerges a guiding light in the form of Norm Goldstein, the Founder and CEO of EduNetwork Partners. His dedication to this cause has earned him recognition as a Congressional Leadership Award recipient.
SATTA MATKA DPBOSS KALYAN MATKA RESULTS KALYAN CHART KALYAN MATKA MATKA RESULT KALYAN MATKA TIPS SATTA MATKA MATKA COM MATKA PANA JODI TODAY BATTA SATKA MATKA PATTI JODI NUMBER MATKA RESULTS MATKA CHART MATKA JODI SATTA COM INDIA SATTA MATKA MATKA TIPS MATKA WAPKA ALL MATKA RESULT LIVE ONLINE MATKA RESULT KALYAN MATKA RESULT DPBOSS MATKA 143 MAIN MATKA KALYAN MATKA RESULTS KALYAN CHART INDIA MATKA KALYAN SATTA MATKA 420 INDIAN MATKA SATTA KING MATKA FIX JODI FIX FIX FIX SATTA NAMBAR MATKA INDIA SATTA BATTA
Efficient PHP Development Solutions for Dynamic Web ApplicationsHarwinder Singh
Unlock the full potential of your web projects with our expert PHP development solutions. From robust backend systems to dynamic front-end interfaces, we deliver scalable, secure, and high-performance applications tailored to your needs. Trust our skilled team to transform your ideas into reality with custom PHP programming, ensuring seamless functionality and a superior user experience.
The report *State of D2C in India: A Logistics Update* talks about the evolving dynamics of the d2C landscape with a particular focus on how brands navigate the complexities of logistics. Third Party Logistics enablers emerge indispensable partners in facilitating the growth journey of D2C brands, offering cost-effective solutions tailored to their specific needs. As D2C brands continue to expand, they encounter heightened operational complexities with logistics standing out as a significant challenge. Logistics not only represents a substantial cost component for the brands but also directly influences the customer experience. Establishing efficient logistics operations while keeping costs low is therefore a crucial objective for brands. The report highlights how 3PLs are meeting the rising demands of D2C brands, supporting their expansion both online and offline, and paving the way for sustainable, scalable growth in this fast-paced market.
Discover the Beauty and Functionality of The Expert Remodeling Serviceobriengroupinc04
Unlock your kitchen's true potential with expert remodeling services from O'Brien Group Inc. Transform your space into a functional, modern, and luxurious haven with their experienced professionals. From layout reconfiguration to high-end upgrades, they deliver stunning results tailored to your style and needs. Visit obriengroupinc.com to elevate your kitchen's beauty and functionality today.
Adani Group's Active Interest In Increasing Its Presence in the Cement Manufa...Adani case
Time and again, the business group has taken up new business ventures, each of which has allowed it to expand its horizons further and reach new heights. Even amidst the Adani CBI Investigation, the firm has always focused on improving its cement business.
High-Quality IPTV Monthly Subscription for $15advik4387
Experience high-quality entertainment with our IPTV monthly subscription for just $15. Access a vast array of live TV channels, movies, and on-demand shows with crystal-clear streaming. Our reliable service ensures smooth, uninterrupted viewing at an unbeatable price. Perfect for those seeking premium content without breaking the bank. Start streaming today!
https://rb.gy/f409dk
Ellen Burstyn: From Detroit Dreamer to Hollywood Legend | CIO Women MagazineCIOWomenMagazine
In this article, we will dive into the extraordinary life of Ellen Burstyn, where the curtains rise on a story that's far more attractive than any script.
SATTA MATKA DPBOSS KALYAN MATKA RESULTS KALYAN CHART KALYAN MATKA MATKA RESULT KALYAN MATKA TIPS SATTA MATKA MATKA COM MATKA PANA JODI TODAY BATTA SATKA MATKA PATTI JODI NUMBER MATKA RESULTS MATKA CHART MATKA JODI SATTA COM INDIA SATTA MATKA MATKA TIPS MATKA WAPKA ALL MATKA RESULT LIVE ONLINE MATKA RESULT KALYAN MATKA RESULT DPBOSS MATKA 143 MAIN MATKA KALYAN MATKA RESULTS KALYAN CHART
2. Cautionary Statement
Certain statements provided in this presentation are “forward-looking statements” within
the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. When we use words like “may,” “should,” “could,”
“will,” “likely,” “believe,” “expect,” “anticipate,” “estimate,” “project,” “plan,” “goal,”
“target,” or “outlook,” or references to future time periods, strategies, designs,
objectives, schedules, projections, intentions, desires, or beliefs, we are making forward-
looking statements. We make these statements in an effort to keep stockholders and the
public informed about our business. You should view these statements with caution.
They are not guarantees of future performance or events. All phases of our business are
subject to uncertainties, risks and other influences, many of which we have no control
over. These risks and uncertainties are described in greater detail in Waste
Management’s Form 10-K for the year ended December 31, 2008, as filed with the
Securities and Exchange Commission. We assume no obligation to update any forward-
looking statements as a result of future events or developments.
2
3. Non-GAAP Financial Measures
This presentation contains non-GAAP financial measures under Regulation G of the
Securities Exchange Act of 1934, as amended. The Company believes that providing
investors with these non-GAAP financial measures gives investors additional
information to enable them to assess, in the way management assesses, the Company’s
current and continuing results of operations and cash available for the Company’s
capital allocation program. These non-GAAP measures are meant to supplement, not
substitute for, comparable GAAP measures. A reconciliation of these non-GAAP
financial measures to their corresponding GAAP financial measures are included in
slides 38 through 41 of this presentation, which you are urged to consider.
3
4. Industry Overview
• Waste Business Journal estimates that the North American waste
industry generates $52 billion in annual revenue
– WMI holds about a 26% market share on that basis; publicly traded companies ~60%
• Industry characteristics include:
– Key assets are disposal facilities
• Top 2 publicly traded companies own over 60% of landfill capacity
– Cash flows are strong and consistent
• ~413 million tons of municipal solid waste generated in U.S.
– 65% landfilled, 7% combusted in waste to energy plants, 28% recycled
Source: Waste Business Journal, BioCycle and Company reports
4
5. Waste Management’s Footprint
• 2008 annual revenues of $13.4 billion
– Waste Management ranked 199th on the April 2008 Fortune 500 list
– $20.2 billion in total assets and $5.9 billion in stockholders’ equity
• We serve nearly 20 million customers and employ
approximately 45,000 people
• We remain focused on operational excellence and disciplined
pricing models
Note: as of 12/31/2008
5
6. Waste Management’s Footprint
• Waste Management has the largest and best collection of
assets in the industry:
– Operate in 48 states, Canada, and Puerto Rico
– Over 360 collection operations & a fleet of ~21,000 collection vehicles
– 273 landfills receive 108 million tons per year with an average permitted capacity of 32
years
Largest provider of recycling services in North America with 104 recycling facilities;
–
Waste Management Recycling markets 8 million tons per year
16 waste-to-energy plants process 7 million tons per year and generate 836 megawatts
–
of electricity
Leading developer and operator of landfill gas to energy projects, with over 100 energy
–
plants at our landfills, generating about 500 megawatts of electricity
Provide power to the equivalent of over one million homes
–
Note: as of 12/31/2008
6
7. Waste Management Company Overview
Revenue by Reportable Segments and Dynamics
• Largest provider of integrated
WMRA &
waste services in North
Other
Eastern
America
Group
Wheelabrator
• Recession resistant business
9%
with balanced geographic
6% footprint
20%
• Consistency driven by
essential nature of service and
Western
diverse customer base
Group
21% • Over $3.7 billion in annual
20% revenue from public sector
contracts including:
Midwest
Franchise markets
–
Group
24% Municipal contracts
–
Southern
Group
As of 12-31-08; reportable segments based on gross revenues; industry revenues based on company reports
7
8. Mix of Business
Recycling &
Waste-to- Other 11%
Energy 5%
Residential 31%
Collection 55% Roll-off 29%
Transfer 10%
Approximate
Collection
Landfill 19%
Mix Commercial 40%
Based on 2008 gross revenues
8
9. Consistent Operating Strategies
• Operating strategies are linked to primary financial objectives
Margin expansion
–
Earnings growth
–
Strong free cash flow
–
Increasing return on invested capital
–
• Profitable Revenue Growth
Minimum pricing targets are being set for each of our Areas, Groups and the Corporation that must be
–
met in order for eligible employees to receive the financial performance portion of their 2009 annual
bonus
Sales force and customer service initiatives designed to increase customer retention
–
Sales force will also focus on selective acquisition of new accounts
–
Organize sales programs around customer segments
–
• Cost Cutting through Operational Excellence
Continued focus on productivity, maintenance and safety
–
9
10. Consistent Operating Strategies
Continued
• Uses of Free Cash Flow
2009 Capital allocation program authorizes up to $1.3 billion
–
• ~ $570 million expected to be returned to shareholders as dividends
• Remainder is available for acquisitions, stock repurchases or debt reduction
• Acquisitions
Always looking for tuck-ins or bolt-ons that compliment our existing assets and service offerings
–
Current Economy and financial markets may result in new opportunities at attractive prices
–
• Growth opportunities in the alternate energy space
Wheelabrator Technologies through new projects to design, build and operate or design, build, own
–
and operate
Landfill gas to energy projects
–
10
12. Operational Excellence
Continue Productivity, Maintenance and Safety Improvements
• Improve operating costs per hour by increasing productivity and
flexing down costs as volumes decline
– Maximize routing efficiencies and asset utilization through use of existing standard
tools, applications and processes
– In 2008 we saw the continuation of productivity improvements in our commercial and
residential lines of business
• Improve our maintenance and customer service performance by
using our standard maintenance system and processes
– Our collection fleet improved its costs per driver hour and drove-out $35 million in
operating costs during 2008
• Safety remains a cornerstone to our operating success
– Improved TRIR by over 17% for full-year 2008
– Primary driver of year-over-year improvement in Risk Management costs
– Ended 2008 with a 4Q TRIR score of 2.9, a historic low for WMI
12
13. Driver Hour Trend
Driver Hours per Workday
190,000
180,000
170,000
160,000
150,000
140,000
130,000
120,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2006 2007 2008
13
15. Operating Costs as Adjusted*
(as a % of revenue)
2008 2007 Change
Labor 17.8% 18.1% 0.3
Disposal 7.8% 8.6% 0.8
Maintenance & Repairs 8.0% 8.1% 0.1
Subcontractor 6.7% 6.8% 0.1
COGS 6.1% 5.8% (0.3)
Fuel 5.3% 4.4% (0.9)
Fees & Taxes 4.5% 4.5% -
LF Operating Costs 1.9% 2.0% 0.1
Risk Management 1.6% 1.6% -
Other 2.9% 3.0% 0.1
Total Operating Costs 62.6% 62.9% 0.3
BLACK = Favorable RED = Unfavorable
*See slide 40 for the reconciliation of this non-GAAP financial measure to its corresponding GAAP financial measure.
15
16. Operating Costs as a % of Revenue*
68%
66.0%
as a % of Revenue
Operating Costs
66% 64.3%
62.9%
64% 62.6%
62%
60%
2005 2006 2007 2008
*See slide 40 for the reconciliation of this non-GAAP financial measure to its corresponding GAAP financial measure.
16
17. Reorganization
• In February 2009, we announced a reorganization as part of our
continuing efforts to improve efficiencies
• Restructured our field operations through consolidation by reducing
from 45 Market Areas to 25 Areas
• Additionally, we realigned our corporate staff to more efficiently
support the new field operations
• We expect restructuring charges to be approximately $50mm, primarily
in 1Q 2009
• We expect the reorganization will result in annualized savings in excess
of $100mm, with approximately 70% of this in SG&A
17
19. Recycling Update
• Market Update
– Commodity markets appear to have hit bottom in January
• Generation is down and export demand has started to return. Domestic markets have
stabilized overall but with weak pockets in the Midwest
– Overall pricing stabilized in February
• Prices have improved in the export market
• Domestically, plastic pricing has gradually moved up. Aluminum and steel pricing
remains low
• Our Response
– New contracts will reflect the new market environment
• A minimum processing fee for inbound material to cover our processing cost
• No floor pricing to the supplier of material unless outbound protection is secured
19
20. Recycling Update Continued
• Other Actions
– We are analyzing each processing plant for possible mothballing or closure
– Opportunities for new business are appearing where third party processors did not honor
their contracts with their customers
– We are attempting to renegotiate existing contracts early, but the opportunities are limited
• Guidance
– We expect a negative year over year impact of $0.15 to $0.20 in earnings per
diluted share from the decline in commodity prices
• Consistent with our announcement on the year end earnings call
• Most of the impact is expected during the first half of the year
20
22. Profitable Revenue Growth
We continue to focus on a disciplined price management process
• The Pricing Excellence programs are driving significant return through disciplined
price increase activities and service fee execution
• We will benefit from our environmental fee increase to 6.0% from 4.2%
• New business pricing and maintaining price leadership is paramount
• Emphasis on disposal customer price quality and service charge capture
• The Profitable Growth initiative places emphasis on retention of current customer
base and targeting of sales efforts to identify and gain our fair share of growth
• Roll out of the Profitable Growth initiative to be completed mid-year
• Profitable Growth initiative leverages the local knowledge of operations, sales and price management
to identify growth opportunities
• Segmentation efforts underway in five areas – Manufacturing/Industrial, Healthcare,
Construction, Commercial Property and Public Sector
• Minimum pricing targets are being set for each of our Areas, Groups and the
Corporation
22
23. Management Incentive Programs
Annual Incentive Plan
• 2009 Annual Management Incentive Plan
– Rewards all employees on the same Company-wide financial measures
– Rewards for output and results, not input and effort
• 35% EBIT margin
• 35% EBITDA dollars
• 30% Individual Performance (goals set at individual level that link to overall Company
strategy)
• However, it is imperative that we maintain our focus on our pricing
programs in 2009. To ensure we do, we are setting minimum pricing
targets for each of our Areas, Groups and the Corporation. Overall
pricing targets must be met in order for eligible employees to receive the
financial performance portion of their 2009 annual bonuses
23
24. Consistency of Pricing Excellence
Pricing Excellence begins Same Store Price
Increases and Pricing
Roll-out of Price Excellence continues
Levers Begins
3.9% 3.9% 3.9%
4.0%
3.6%
3.3%3.4%3.3% 3.3% 3.2%
3.1%
2.9%
2.7%
2.7%
2.1%
2.1%2.1%
2.0%
0.0%
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
05 05 05 05 06 06 06 06 07 07 07 07 08 08 08 08
IRG From Yield on Base Business
Excludes impact of fuel surcharge, recycling commodity prices and mandated fees and taxes
24
26. 2009 Guidance
Free Cash Flow (a)
• ~$1.3 to $1.4 billion
• Capital expenditures ~$1.2 billion
• Capital allocation program Up to $1.3 billion
• $1.16 per share dividend payments ~$570 million
(BOD authorized 2009 capital allocation program of up to $1.3 billion in cash
available for dividends, stock repurchases, debt reduction and acquisitions)
(a) See slide 41 for the reconciliation of this non-GAAP financial measure to its corresponding GAAP financial
measure.
26
28. Growth Potential of Renewable
Energy from Waste
Through our Wheelabrator subsidiary, Waste Management is the
second largest player in the U.S. Waste-to-Energy market
• Wheelabrator owns or operates 16 WTE facilities
Strong margins due to level of disposal and energy prices and excellent plant operating
–
performance
• Several communities are starting to look at WTE as a new disposal and
energy generation alternative
Policies, public acceptance and desire to develop renewable energy alternatives are moving in a
–
positive direction
• Responded to 4 RFPs in the U.S. and pre-qualified for 6 in the United
Kingdom
Selected as preferred vendor to construct and operate a regional waste-to-energy facility in
–
Maryland
Tracking the development of others throughout North America and Europe
–
28
29. Growth Potential of Renewable
Energy from Waste
Waste Management is leading developer and operator of landfill
gas to energy projects
• Landfill gas is a natural byproduct of decomposing waste, providing
us with a renewable energy resource related to our core business
– Concept is readily accepted by host communities
• Landfill gas has been put to beneficial use at 110 WM landfills
– 8 projects brought on line during 2008 with plans to break-ground on 13 more in 2009
– Projects are accretive to earnings and operating margins
– Beginning to leverage our expertise to develop LFGE projects for third parties
• Project to convert landfill gas to approximately 13,000 gallons per
day of LNG expected to be operational this summer in California
29
31. 2008 Financial Overview
• Solid performance for the first three quarters
• Economic impact was felt in the fourth quarter
– Recycling commodity markets deteriorated rapidly
– Industrial collection and post collection volumes declined
• Residential and commercial volumes held in the range
of prior quarters
• Cash flow remained robust
31
32. Income before Taxes
$ in Millions
$2,000
$1,756
$1,703
Income before Taxes
$1,474
$1,500
$1,092
$1,000
2005 2006 2007 2008
32
33. Return on Invested Capital*
18.0%
16.8%
16.6%
15.2%
16.0%
ROIC
13.7%
14.0%
12.0%
Year
2005 2006 2007 2008
*See slides 38 and 39 for the calculation of ROIC.
33
35. Update on 2009 Financing Plan
• Completed issuance of $800mm senior notes in February 2009
Issuance split into two tranches
–
$350mm of bonds have a 6-year maturity and a coupon of 6.375%
–
$450mm of bonds have a 10-year maturity and a coupon of 7.375%
–
• Use of proceeds from senior notes
Will repay $500mm of 6.875% senior notes that mature in May 2009
–
Remaining proceeds for general corporate purposes, including repayment of all or a portion of
–
$300mm of outstanding borrowings on revolver
Note that we repaid $385mm of senior notes that matured in November 2008
–
Next senior note maturity is $600mm due in August 2010
–
• Expect to issue up to $150mm of industrial revenue bonds in 2009,
depending on market conditions, while repaying $80mm of maturities. We
also expect to remarket approximately $350mm of tax exempt fixed rate
put bonds in 2009
35
36. Maturities – Senior Notes
$600
$600 $400
$ Millions
$500
$200
$ Millions
$400
$0
29
32
26
28
20
20
20
20
$300 Maturity Date
$200
$100
$0
*
10
11
12
13
14
15
16
17
18
19
09
20
20
20
20
20
20
20
20
20
20
20
Maturity Date
* Includes $500mm of senior notes that mature in May 2009 and will be repaid with Feb 2009 note
issuance that matures in 2015 and 2019
36
38. Reconciliation of Certain Non-GAAP Measures
ROIC as Adjusted*
2005 2006 2007 2008
ROIC Numerator
Operating revenues $ 13,074 $ 13,363 $ 13,310 $ 13,388
Less: Operating costs and expenses (8,631) (8,587) (8,402) (8,466)
Selling, general and administrative expenses (1,276) (1,388) (1,432) (1,477)
Depreciation and amortization expenses (1,361) (1,334) (1,259) (1,238)
$ 1,806 $ 2,054 $ 2,217 $ 2,207
Less: Tax expense at 38.9% (note 1, pg 41) $ (701) $ (797) $ (860) $ (856)
$ 1,105 $ 1,257 $ 1,357 $ 1,351
NOPAT
ROIC Denominator
Current portion of long term debt 522 822 329 835
Long term debt, less portion 8,165 7,495 8,008 7,491
Stockholders' Equity 6,121 6,222 5,792 5,902
Less: Cash & Cash Equivalents (966) (798) (348) (480)
Goodwill (5,364) (5,292) (5,406) (5,462)
8,478 8,449 8,375 8,286
Invested Capital
Adjustment to Invested Capital for effect of tax audit
settlements on stockholders' equity (note 2, pg 41) (398) (158) (198) (224)
$ 8,080 $ 8,291 $ 8,177 $ 8,062
Adjusted Invested Capital
Adjusted ROIC 13.7% 15.2% 16.6% 16.8%
*We define ROIC as Net Operating Profit after Taxes divided by Invested Capital. See slide 39 for additional explanation
38
39. Reconciliation of Certain Non-GAAP Measures
ROIC as Adjusted Continued
• Management discloses the Company’s Return on Invested Capital because it believes that
ROIC is a measure of how effectively we allocate capital in our operations. ROIC also is
used as one of the measures for our executives’ long-term incentive awards because
profitable allocation of capital is critical to the long-term success of the Company. However,
ROIC should not be used in isolation or as an alternative to net income as an indicator of
performance or cash flows from operating activities as an indicator of liquidity.
• Note 1: The tax rate used is not the Company’s effective tax rate for the periods disclosed.
In calculating ROIC, the Company uses 38.8%, which is the rate required for the calculation
under the Company’s Long Term Incentive Plan for awards granted prior to 2009. The
38.8% rate represents an estimation of the combined statutory state and federal taxes
applicable to the Company’s income. The Company has used this rate for its calculations
because it believes it gives a better indication of the tax adjusted operating profit of the
Company than using the actual rate, which can be effected by tax credits and other items.
• Note 2: The Company has adjusted Invested Capital for the periods presented for the effect
that large tax audit settlements had on the Company’s stockholders’ equity for those
periods. These adjustments are the same adjustments made by the Management
Development and Compensation Committee of the Board of Directors to the calculations for
the purposes of the Company’s long-term incentive awards. These adjustments were
deemed appropriate because the effect of the audit settlements was not reflective of
operating performance.
39
40. Reconciliation of Certain Non-GAAP
Measures
Adjusted Operating Expenses as a Years Ended December 31,
Percent of Revenue 2008 2007
As reported:
Operating revenues $ 13,388 $ 13,310
Operating expenses $ 8,466 $ 8,402
Operating expenses as a percent of revenue 63.2% 63.1%
Adjustments to operating expenses:
Labor disputes $ (8) $ (35)
Pension withdrawal costs $ (39) $ -
Present value of remediation liabilities, int. rate change $ (33) $ -
As adjusted:
Operating revenues $ 13,388 $ 13,310
Operating expenses $ 8,386 $ 8,367
Adjusted operating expenses as a percent of revenue 62.6% 62.9%
2007 and 2008 adjusted to exclude the impacts of labor disruptions in Oakland, LA and Milwaukee; withdrawal from union
related pension plans in 2008; and discount rate adjustments to remediation accruals in 2008. ($ in Millions Un-audited)
40
41. Reconciliation of Certain Non-GAAP Measures
Full Year 2009 Free Cash Flow Reconciliation
Scenario 1 Scenario 2
Net cash provided by operating activities $ 2,310 $ 2,510
Capital expenditures (1,100) (1,200)
Proceeds from divestitures of businesses (net of
cash divested) and other sales of assets 90 90
Free cash flow $ 1,300 $ 1,400
($ in Millions Un-audited)
41