VAN BUREN TOWNSHIP, Mich.,
Feb. 27, 2012 /PRNewswire/ --
Full-Year 2011 Highlights
- Product sales of $8.05
billion, up $724 million from
prior year
- Net income of $80 million;
includes $66 million non-cash
impairment charge
- All-time high adjusted EBITDA of $685 million
- New business wins exceed $1
billion – highest ever as a percentage of sales
- Year-end cash balances of $746
million; total debt of $599
million
Fourth Quarter 2011 Highlights
- Product sales of $1.86
billion; includes deconsolidation, divestiture and plant
closure reductions of $105
million
- Net loss of $26 million,
reflects $66 million non-cash
impairment charge
- Adjusted EBITDA of $154
million, up 12 percent from 2010 fourth quarter
- Cash generated by operating activities of $120 million – up $169
million year-over-year
Visteon Corporation (NYSE: VC) today announced financial results
for 2011, reporting full-year product sales of $8.05 billion, an increase of $724 million or 10 percent compared with 2010.
Net income for the full year 2011 was $80
million, or $1.54 per diluted
share. Visteon's net income of $80
million in 2011 included $66
million of non-cash impairment charges, while net income of
$1.03 billion in 2010 included
$933 million of net reorganization
gains in connection with the company's emergence from Chapter 11 on
Oct. 1, 2010.
(Logo:
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Adjusted EBITDA, as defined below, for full-year 2011 reached an
all-time high of $685 million, an
increase of $71 million compared with
2010. For full-year 2011, customers awarded Visteon more than
$1 billion in new business, a record
as a percentage of current year revenue.
For the fourth quarter of 2011, Visteon reported a net loss of
$26 million, or 51 cents per share, on sales of $1.86 billion. For the fourth quarter of 2010,
Visteon's net income was $1.13
billion, on sales of $1.89
billion, and included reorganization gains of $1.06 billion. Adjusted EBITDA for the fourth
quarter of 2011 was $154 million, a
12 percent improvement over the same period a year earlier. Visteon
generated $120 million in cash from
operations in the fourth quarter, up $169
million from the fourth quarter of 2010.
"For the third consecutive year, we improved our sales and
adjusted EBITDA, and our customers recognized our competitive
strengths by awarding Visteon a record level of new business," said
Donald J. Stebbins, chairman, chief
executive officer and president. "With our competitive cost
structure and global manufacturing and engineering footprint, we
are focused on delivering value for our customers and our
shareholders."
Full-Year 2012 Outlook Reaffirmed
Visteon reaffirmed the full-year 2012 guidance it provided at a
Jan. 11 analyst conference. Visteon
projects 2012 product sales ranging from $7.1 billion to $7.5 billion, adjusted EBITDA in
the range of $650 million to $690
million, and free cash flow of $25
million to $50 million.
Net New Business
Visteon reported new business wins of $1.06 billion for the full-year 2011 – an
all-time high as a percentage of sales. Visteon has an expected
backlog of approximately $1 billion
of consolidated net new business for the period 2012 through 2014,
with about 85 percent attributable to the climate business.
Customers in Asia account for
approximately 48 percent of this backlog, while Europe represents 28 percent, North America 16 percent and South America 8 percent.
Other Developments
On Nov. 30, 2011, Visteon and YFV
signed a non-binding memorandum of understanding with respect to a
potential transaction to combine the majority of Visteon's global
interiors business with YFV.
Visteon announced Jan. 10, 2012,
that it contributed shares of company stock valued at approximately
$70 million into its two largest U.S.
pension plans. This followed a cash contribution of approximately
$15.1 million to one of the plans on
Dec. 27, 2011, after the return of
funds previously held by the Pension Benefit Guaranty Corporation
(PBGC).
Fourth Quarter 2011 Results
Fourth quarter 2011 product sales were $1.86 billion, down $27
million year-over-year, primarily due to an $83 million decrease in sales relating to the
deconsolidation of Duckyang Industry Co. Ltd. from the company's
financial statements effective Oct. 31,
2011. Divestitures and closures had an additional
$22 million impact on product sales.
These impacts were partially offset by higher vehicle production
volumes.
Approximately 31 percent and 26 percent of fourth quarter 2011
product sales were to Hyundai-Kia and Ford, respectively.
Renault-Nissan and PSA Peugeot-Citroen collectively accounted for
13 percent of sales. On a regional basis, Asia Pacific and Europe accounted for 41 percent and 37 percent
of total product sales, respectively, while North America accounted for 17 percent and
South America 5 percent.
Gross margin of $149 million for
the fourth quarter of 2011 represented a year-over-year decrease of
$98 million. Gross margin in the
fourth quarter of 2010 included $133
million of lower costs associated with the termination of
certain U.S. other post retirement employee benefit (OPEB) plans.
Gross margin improvements during the fourth quarter of 2011
associated with favorable cost performance and slightly higher
vehicle production volumes were partially offset by unfavorable
currency.
Selling, general and administrative expenses for the fourth
quarter of 2011 totaled $98 million,
up $9 million from the fourth quarter
of 2010.
The company recorded non-cash impairment charges of $66 million during the fourth quarter of 2011.
Other income of $24 million for the
fourth quarter of 2011 included $18
million of recoveries from the estate of one of the
company's former subsidiaries.
During the fourth quarter of 2011, Visteon recognized
$38 million of equity in the net income of non-consolidated
affiliates, primarily attributable to Visteon's 50 percent
ownership interest in Yanfeng Visteon Automotive Trim Systems Ltd.
(YFV) and related affiliate interests.
For the fourth quarter of 2011, the company reported a net loss
of $26 million. This compares to net
income of $1.13 billion in the fourth
quarter of 2010, which included reorganization gains of
$1.06 billion. Adjusted EBITDA for
the fourth quarter of 2011 was $154
million, an improvement of $16
million from the same quarter a year earlier.
Full-Year 2011 Results
Product sales for full year 2011 were $8.05 billion, up $724
million, or nearly 10 percent, from 2010, reflecting higher
customer vehicle production volumes and favorable currency. The
improved production environment was partially offset by
$249 million related to divestitures
and plant closures completed in 2010 and the first half of 2011,
and the deconsolidation of Duckyang. Approximately 31 percent and
27 percent of 2011 product sales were to Hyundai-Kia and Ford,
respectively. Renault-Nissan and PSA Peugeot-Citroen collectively
accounted for 14 percent of sales. On a regional basis,
Asia Pacific and Europe accounted for 42 percent and 36 percent
of total product sales, respectively, while North America accounted for 16 percent and
South America 6 percent.
Gross margin for 2011 was $643
million, decreasing $166
million from full year 2010. Gross margin for full year 2010
included $192 million of savings
related to OPEB terminations.
Selling, general and administrative expenses for 2011 totaled
$398 million compared with
$381 million for 2010, an increase of
$17 million. Year-over-year,
intangibles amortization costs associated with the adoption of
fresh-start accounting increased $10
million.
Full-year 2011 results include a $24 million loss on debt
extinguishment associated with the refinancing of the company's
$500 million term loan, which was completed in April. The
company also recorded restructuring charges of $24 million in
connection with the announced closure of an electronics plant in
Spain. Negotiations with local
unions, works council committee and appropriate public authorities
regarding specific closure arrangements were completed in
February 2012. The company
anticipates recording about $47
million of additional costs in the first quarter of 2012
associated with these arrangements.
Equity in net income of non-consolidated affiliates of
$168 million for full year 2011
represented a $22 million increase
over 2010. The increase in 2011 reflects significantly higher
vehicle production in China and
continued growth of YFV.
Visteon reported net income of $80
million for full year 2011 which included $66 million of non-cash impairment charges. In
2010, Visteon reported reorganization gains of $933 million, including $956 million related to the settlement of
obligations previously recorded as liabilities subject to
compromise and $106 million related
to the adoption of fresh-start accounting, partially offset by
reorganization costs of $129
million.
Adjusted EBITDA of $685 million
for 2011 represented an increase of $71
million, or 12 percent, over full year 2010.
Cash and Debt Balances
As of Dec. 31, 2011, Visteon had
global cash balances totaling $746
million, including restricted cash of $23 million, and total debt of $599 million.
For full year 2011, Visteon generated $175 million of cash from operations, including a
use of about $50 million for Chapter
11-related items. Capital expenditures of $258 million in 2011 were $49 million higher than in 2010. For 2011, free
cash flow, as defined below, was negative $83 million, compared with negative $35 million for 2010.
For the fourth quarter of 2011, Visteon generated $120 million of cash from operations, compared
with a use of $49 million in the same
period a year earlier. Capital expenditures in the fourth quarter
of 2011 were $73 million, down from
$92 million in the fourth quarter of
2010. Free cash flow was $47 million
in the fourth quarter of 2011, compared with a use of $141 million in the fourth quarter of 2010.
Fresh-Start Accounting
The company adopted fresh-start accounting in connection with
the Oct. 1, 2010, emergence from
Chapter 11 bankruptcy proceedings. Accordingly, for illustrative
purposes, the company has combined certain predecessor periods with
successor periods to derive combined results for the three and 12
months ended Dec. 31, 2010 (the
"Combined Company"). However, because of various financial
statement adjustments in connection with the adoption of
fresh-start accounting, including adjustments necessary to give
effect to the plan of reorganization and adjustments of assets and
liabilities to fair value, the results of operations for the
Successor Company are not comparable to those of the Combined
Company.
Visteon is a leading global automotive supplier that designs,
engineers and manufactures innovative climate, electronic, interior
and lighting products for vehicle manufacturers, and also provides
a range of products and services to aftermarket customers. With
corporate offices in Van Buren Township,
Mich. (U.S.); Shanghai,
China; and Chelmsford, UK;
the company has facilities in 27 countries and employs
approximately 26,000 people. Learn more at www.visteon.com.
Use of Non-GAAP Financial Information
This press release contains information about Visteon's
financial results which is not presented in accordance with
accounting principles generally accepted in the United States ("GAAP"). Such non-GAAP
financial measures are reconciled to their closest GAAP financial
measures at the end of this press release. The provision of these
comparable GAAP financial measures for full-year 2012 is not
intended to indicate that Visteon is explicitly or implicitly
providing projections on those GAAP financial measures, and actual
results for such measures are likely to vary from those presented.
The reconciliations include all information reasonably available to
the company at the date of this press release and the adjustments
that management can reasonably predict.
Forward-looking Information
This press release contains "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of
1995. Forward-looking statements are not guarantees of future
results and conditions but rather are subject to various factors,
risks and uncertainties that could cause our actual results to
differ materially from those expressed in these forward-looking
statements, including, but not limited to: (1) our ability to
satisfy future capital and liquidity requirements; including our
ability to access the credit and capital markets at the times and
in the amounts needed and on terms acceptable to us; our ability to
comply with financial and other covenants in our credit agreements;
and the continuation of acceptable supplier payment terms; (2) our
ability to satisfy pension and other post-employment benefit
obligations; (3) our ability to access funds generated by foreign
subsidiaries and joint ventures on a timely and cost-effective
basis; (4) conditions within the automotive industry, including (i)
the automotive vehicle production volumes and schedules of our
customers, and in particular Ford's and Hyundai-Kia's vehicle
production volumes, (ii) the financial condition of our customers
or suppliers and the effects of any restructuring or reorganization
plans that may be undertaken by our customers or suppliers or work
stoppages at our customers or suppliers, and (iii) possible
disruptions in the supply of commodities to us or our customers due
to financial distress, work stoppages, natural disasters or civil
unrest; (5) new business wins, re-wins and backlog do not represent
firm orders or firm commitments from customers, but are based on
various assumptions, including the timing and duration of product
launches, vehicle productions levels, customer price reductions and
currency exchange rates; (6) general economic conditions, including
changes in interest rates, currency exchange rates and fuel prices;
the timing and expenses related to internal restructurings,
employee reductions, acquisitions or dispositions and the effect of
pension and other post-employment benefit obligations; (7)
increases in raw material and energy costs and our ability to
offset or recover these costs, increases in our warranty, product
liability and recall costs or the outcome of legal or regulatory
proceedings to which we are or may become a party; and (8) those
factors identified in our filings with the SEC (including our
Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2011).
Caution should be taken not to place undue reliance on our
forward-looking statements, which represent our view only as of the
date of this release, and which we assume no obligation to
update.
VISTEON
CORPORATION AND SUBSIDIARIES
CONSOLIDATED
STATEMENTS OF OPERATIONS
(Dollars in Millions, Except Per
Share Data)
(Unaudited)
|
|
|
|
Three Months
Ended
|
|
Twelve
Months Ended
|
|
|
|
December
31
|
|
December
31
|
|
|
|
2011
|
|
2010
|
|
2010
|
|
2011
|
|
2010
|
|
|
|
Successor
|
|
Combined
|
|
Successor
|
|
Combined
|
|
Net sales
|
|
|
|
|
|
|
|
|
|
|
|
Products
|
|
$
|
1,859
|
|
|
$
|
1,886
|
|
|
$
|
1,886
|
|
|
$
|
8,047
|
|
|
$
|
7,323
|
|
|
Services
|
|
—
|
|
|
1
|
|
|
1
|
|
|
—
|
|
|
143
|
|
|
|
|
1,859
|
|
|
1,887
|
|
|
1,887
|
|
|
8,047
|
|
|
7,466
|
|
|
Cost of sales
|
|
|
|
|
|
|
|
|
|
|
|
Products
|
|
$
|
1,710
|
|
|
$
|
1,642
|
|
|
$
|
1,639
|
|
|
$
|
7,404
|
|
|
$
|
6,516
|
|
|
Services
|
|
—
|
|
|
1
|
|
|
1
|
|
|
—
|
|
|
141
|
|
|
|
|
1,710
|
|
|
1,643
|
|
|
1,640
|
|
|
7,404
|
|
|
6,657
|
|
|
Gross margin
|
|
149
|
|
|
244
|
|
|
247
|
|
|
643
|
|
|
809
|
|
|
Selling, general and
administrative expenses
|
|
98
|
|
|
110
|
|
|
89
|
|
|
398
|
|
|
381
|
|
|
Asset impairments
|
|
66
|
|
|
—
|
|
|
—
|
|
|
66
|
|
|
4
|
|
|
Restructuring
expenses
|
|
6
|
|
|
28
|
|
|
28
|
|
|
24
|
|
|
48
|
|
|
Other (income) expense,
net
|
|
(24)
|
|
|
13
|
|
|
13
|
|
|
(11)
|
|
|
34
|
|
|
Reorganization items,
net
|
|
—
|
|
|
—
|
|
|
(1,056)
|
|
|
—
|
|
|
(933)
|
|
|
Operating income
|
|
3
|
|
|
93
|
|
|
1,173
|
|
|
166
|
|
|
1,275
|
|
|
Interest expense
|
|
12
|
|
|
16
|
|
|
16
|
|
|
50
|
|
|
186
|
|
|
Interest income
|
|
5
|
|
|
6
|
|
|
6
|
|
|
21
|
|
|
16
|
|
|
Loss on debt
extinguishment
|
|
—
|
|
|
—
|
|
|
—
|
|
|
24
|
|
|
—
|
|
|
Equity in net income of
non-consolidated affiliates
|
|
38
|
|
|
41
|
|
|
46
|
|
|
168
|
|
|
146
|
|
|
Income before income
taxes
|
|
34
|
|
|
124
|
|
|
1,209
|
|
|
281
|
|
|
1,251
|
|
|
Provision for income
taxes
|
|
40
|
|
|
19
|
|
|
56
|
|
|
127
|
|
|
150
|
|
|
Net (loss) income
|
|
(6)
|
|
|
105
|
|
|
1,153
|
|
|
154
|
|
|
1,101
|
|
|
Net income attributable to
non-controlling interests
|
|
20
|
|
|
19
|
|
|
19
|
|
|
74
|
|
|
75
|
|
|
Net (loss) income attributable
to Visteon
|
|
$
|
(26)
|
|
|
$
|
86
|
|
|
$
|
1,134
|
|
|
$
|
80
|
|
|
$
|
1,026
|
|
|
Per share data:
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income attributable
to Visteon
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
|
(0.51)
|
|
|
$
|
1.71
|
|
|
|
|
$
|
1.56
|
|
|
|
|
Diluted
|
|
$
|
(0.51)
|
|
|
$
|
1.66
|
|
|
|
|
$
|
1.54
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average shares outstanding (in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
50.7
|
|
|
50.2
|
|
|
|
|
51.2
|
|
|
|
|
Diluted
|
|
50.7
|
|
|
51.7
|
|
|
|
|
52.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
VISTEON
CORPORATION AND SUBSIDIARIES
CONSOLIDATED
BALANCE SHEETS
(Dollars in
Millions)
|
|
|
December
31
|
|
|
2011
|
|
|
2010
|
|
ASSETS
|
|
|
|
|
Cash and equivalents
|
$
|
723
|
|
|
|
$
|
905
|
|
|
Restricted cash
|
23
|
|
|
|
74
|
|
|
Accounts receivable,
net
|
1,067
|
|
|
|
1,092
|
|
|
Inventories, net
|
381
|
|
|
|
364
|
|
|
Other current assets
|
304
|
|
|
|
267
|
|
|
Total current
assets
|
2,498
|
|
|
|
2,702
|
|
|
|
|
|
|
|
|
Property and equipment,
net
|
1,412
|
|
|
|
1,576
|
|
|
Equity in net assets of
non-consolidated affiliates
|
644
|
|
|
|
439
|
|
|
Intangible assets,
net
|
353
|
|
|
|
402
|
|
|
Other non-current
assets
|
66
|
|
|
|
89
|
|
|
Total assets
|
$
|
4,973
|
|
|
|
$
|
5,208
|
|
|
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS'
EQUITY
|
|
|
|
|
Short-term debt, including
current portion of long-term debt
|
$
|
87
|
|
|
|
$
|
78
|
|
|
Accounts payable
|
1,004
|
|
|
|
1,203
|
|
|
Accrued employee
liabilities
|
189
|
|
|
|
196
|
|
|
Other current
liabilities
|
277
|
|
|
|
365
|
|
|
Total current
liabilities
|
1,557
|
|
|
|
1,842
|
|
|
|
|
|
|
|
|
Long-term debt
|
512
|
|
|
|
483
|
|
|
Employee benefits
|
495
|
|
|
|
526
|
|
|
Deferred tax
liabilities
|
187
|
|
|
|
190
|
|
|
Other non-current
liabilities
|
225
|
|
|
|
217
|
|
|
|
|
|
|
|
|
Shareholders' equity
|
|
|
|
|
|
Preferred stock
|
—
|
|
|
|
—
|
|
|
Common stock
|
1
|
|
|
|
1
|
|
|
Stock warrants
|
13
|
|
|
|
29
|
|
|
Additional paid-in
capital
|
1,165
|
|
|
|
1,099
|
|
|
Retained earnings
|
166
|
|
|
|
86
|
|
|
Accumulated other comprehensive
(loss) income
|
(25)
|
|
|
|
50
|
|
|
Treasury stock
|
(13)
|
|
|
|
(5)
|
|
|
Total Visteon Corporation
shareholders' equity
|
1,307
|
|
|
|
1,260
|
|
|
Non-controlling
interests
|
690
|
|
|
|
690
|
|
|
Total shareholders'
equity
|
1,997
|
|
|
|
1,950
|
|
|
Total liabilities and
shareholders' equity
|
$
|
4,973
|
|
|
|
$
|
5,208
|
|
|
|
|
|
|
|
|
|
|
|
|
|
VISTEON
CORPORATION AND SUBSIDIARIES
CONSOLIDATED
STATEMENTS OF CASH FLOWS
(Dollars in
Millions)
(Unaudited)
|
|
|
|
Three Months
Ended
|
|
Twelve
Months Ended
|
|
|
|
December
31
|
|
December
31
|
|
|
|
2011
|
|
2010
|
|
2010
|
|
2011
|
|
2010
|
|
|
|
Successor
|
|
Combined
|
|
Successor
|
|
Combined
|
|
Operating
Activities
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income
|
|
$
|
(6)
|
|
|
$
|
105
|
|
|
$
|
1,153
|
|
|
$
|
154
|
|
|
$
|
1,101
|
|
|
Adjustments to reconcile net
(loss) income to net cash provided from operating
activities:
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
68
|
|
|
73
|
|
|
73
|
|
|
316
|
|
|
280
|
|
|
Asset impairments
|
|
66
|
|
|
—
|
|
|
—
|
|
|
66
|
|
|
4
|
|
|
Equity in net income of
non-consolidated affiliates, net of dividends remitted
|
|
(34)
|
|
|
(41)
|
|
|
(46)
|
|
|
(122)
|
|
|
(133)
|
|
|
Loss on debt
extinguishment
|
|
—
|
|
|
—
|
|
|
—
|
|
|
24
|
|
|
—
|
|
|
Pension and OPEB, net
|
|
—
|
|
|
(146)
|
|
|
(146)
|
|
|
—
|
|
|
(187)
|
|
|
Reorganization items
|
|
—
|
|
|
—
|
|
|
(1,056)
|
|
|
—
|
|
|
(933)
|
|
|
Other non-cash items
|
|
1
|
|
|
44
|
|
|
80
|
|
|
27
|
|
|
105
|
|
|
Changes in assets and
liabilities:
|
|
—
|
|
|
|
|
|
|
|
|
|
|
Accounts receivable
|
|
26
|
|
|
(53)
|
|
|
(53)
|
|
|
(106)
|
|
|
(132)
|
|
|
Inventories
|
|
17
|
|
|
5
|
|
|
5
|
|
|
(33)
|
|
|
(70)
|
|
|
Accounts payable
|
|
(12)
|
|
|
174
|
|
|
174
|
|
|
(29)
|
|
|
229
|
|
|
Other
|
|
(6)
|
|
|
(7)
|
|
|
(233)
|
|
|
(122)
|
|
|
(90)
|
|
|
Net cash provided from (used by)
operating activities
|
|
120
|
|
|
154
|
|
|
(49)
|
|
|
175
|
|
|
174
|
|
|
Investing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditures
|
|
(73)
|
|
|
(92)
|
|
|
(92)
|
|
|
(258)
|
|
|
(209)
|
|
|
Deconsolidation of
Duckyang
|
|
(52)
|
|
|
—
|
|
|
—
|
|
|
(52)
|
|
|
—
|
|
|
Acquisition of joint venture
interests
|
|
(22)
|
|
|
—
|
|
|
—
|
|
|
(29)
|
|
|
(3)
|
|
|
Proceeds from asset
sales
|
|
3
|
|
|
16
|
|
|
16
|
|
|
14
|
|
|
61
|
|
|
Other
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(6)
|
|
|
—
|
|
|
Net cash used by investing
activities
|
|
(144)
|
|
|
(76)
|
|
|
(76)
|
|
|
(331)
|
|
|
(151)
|
|
|
Financing
Activities
|
|
|
|
|
|
|
|
|
|
|
|
Short-term debt, net
|
|
6
|
|
|
6
|
|
|
6
|
|
|
17
|
|
|
(3)
|
|
|
Cash restriction, net
|
|
(1)
|
|
|
16
|
|
|
121
|
|
|
51
|
|
|
59
|
|
|
Debt proceeds, net
|
|
—
|
|
|
—
|
|
|
472
|
|
|
503
|
|
|
481
|
|
|
Principal payments on
debt
|
|
—
|
|
|
(61)
|
|
|
(1,688)
|
|
|
(513)
|
|
|
(1,787)
|
|
|
Rights offering proceeds,
net
|
|
—
|
|
|
—
|
|
|
1,201
|
|
|
(33)
|
|
|
1,190
|
|
|
Other
|
|
(2)
|
|
|
(1)
|
|
|
(1)
|
|
|
(28)
|
|
|
(22)
|
|
|
Net cash from (used by)
financing activities
|
|
3
|
|
|
(40)
|
|
|
111
|
|
|
(3)
|
|
|
(82)
|
|
|
Effect of exchange rate changes
on cash
|
|
(14)
|
|
|
1
|
|
|
1
|
|
|
(23)
|
|
|
2
|
|
|
Net (decrease) increase in cash
and equivalents
|
|
(35)
|
|
|
39
|
|
|
(13)
|
|
|
(182)
|
|
|
(57)
|
|
|
Cash and equivalents at
beginning of period
|
|
758
|
|
|
866
|
|
|
918
|
|
|
905
|
|
|
962
|
|
|
Cash and equivalents at end of
period
|
|
$
|
723
|
|
|
$
|
905
|
|
|
$
|
905
|
|
|
$
|
723
|
|
|
$
|
905
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
VISTEON
CORPORATION AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP
FINANCIAL MEASURES
(Dollars in
Millions)
(Unaudited)
In this press release the
Company has provided information regarding certain non-GAAP
financial measures including "Adjusted EBITDA" and "free cash
flow." Such non-GAAP financial measures are reconciled to
their closest GAAP financial measure in the schedules
below.
Adjusted EBITDA:
Adjusted EBITDA is presented as
a supplemental measure of the Company's performance that management
believes is useful to investors because the excluded items may vary
significantly in timing or amounts and/or may obscure trends useful
in evaluating and comparing the Company's continuing operating
activities across reporting periods. The Company defines Adjusted
EBITDA as net income attributable to Visteon, plus net interest
expense, provision for income taxes and depreciation and
amortization, as further adjusted to eliminate the impact of asset
impairments, gains or losses on divestitures, net restructuring
expenses and other reimbursable costs, certain non-recurring
employee charges and benefits, reorganization items, and other
non-operating gains and losses. Because not all companies use
identical calculations this presentation of Adjusted EBITDA may not
be comparable to other similarly titled measures of other
companies.
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Twelve
Months Ended
|
|
Estimated
|
|
|
|
December
31
|
|
December
31
|
|
Full
Year
|
|
|
|
2011
|
|
2010
|
|
2010
|
|
2011
|
|
2010
|
|
2012
|
|
|
|
Successor
|
|
Combined
|
|
Successor
|
|
Combined
|
|
Successor
|
|
Net (loss) income attributable
to Visteon
|
|
$
|
(26)
|
|
|
$
|
86
|
|
|
$
|
1,134
|
|
|
$
|
80
|
|
|
$
|
1,026
|
|
|
$25 - $65
|
|
Interest expense, net
|
|
7
|
|
|
10
|
|
|
10
|
|
|
29
|
|
|
170
|
|
|
40
|
|
Provision for income
taxes
|
|
40
|
|
|
19
|
|
|
56
|
|
|
127
|
|
|
150
|
|
|
150
|
|
Depreciation and
amortization
|
|
68
|
|
|
73
|
|
|
73
|
|
|
316
|
|
|
280
|
|
|
310
|
|
Restructuring
expenses
|
|
6
|
|
|
28
|
|
|
28
|
|
|
24
|
|
|
48
|
|
|
65
|
|
Asset impairments
|
|
66
|
|
|
—
|
|
|
—
|
|
|
66
|
|
|
4
|
|
|
—
|
|
Loss on debt
extinguishment
|
|
—
|
|
|
—
|
|
|
—
|
|
|
24
|
|
|
—
|
|
|
—
|
|
Reorganization items,
net
|
|
—
|
|
|
—
|
|
|
(1,056)
|
|
|
—
|
|
|
(933)
|
|
|
—
|
|
Other (income) expense,
net
|
|
(24)
|
|
|
13
|
|
|
13
|
|
|
(11)
|
|
|
34
|
|
|
25
|
|
OPEB termination and other
employee charges
|
|
5
|
|
|
(146)
|
|
|
(146)
|
|
|
11
|
|
|
(176)
|
|
|
—
|
|
Other non-operating costs,
net
|
|
12
|
|
|
26
|
|
|
26
|
|
|
19
|
|
|
11
|
|
|
35
|
|
Adjusted EBITDA
|
|
$
|
154
|
|
|
$
|
109
|
|
|
$
|
138
|
|
|
$
|
685
|
|
|
$
|
614
|
|
|
$650 - $690
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA is not a
recognized term under GAAP and does not purport to be a substitute
for net income as an indicator of operating performance or cash
flows from operating activities as a measure of liquidity. Adjusted
EBITDA has limitations as an analytical tool and is not intended to
be a measure of cash flow available for management's discretionary
use, as it does not consider certain cash requirements such as
interest payments, tax payments and debt service requirements.
In addition, the Company uses Adjusted EBITDA (i) as a factor
in incentive compensation decisions, (ii) to evaluate the
effectiveness of the Company's business strategies, and (iii) the
Company's credit agreements use measures similar to Adjusted EBITDA
to measure compliance with certain covenants.
Free Cash
Flow: Free cash flow is presented as
a supplemental measure of the Company's liquidity that management
believes is useful to investors in analyzing the Company's ability
to service and repay its debt. The Company defines free cash flow
as cash flow from operating activities less capital expenditures.
Because not all companies use identical calculations, this
presentation of free cash flow may not be comparable to other
similarly titled measures of other companies.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Twelve
Months Ended
|
|
Estimated
|
|
|
|
December
31
|
|
December
31
|
|
Full
Year
|
|
|
|
2011
|
|
2010
|
|
2010
|
|
2011
|
|
2010
|
|
2012
|
|
|
|
Successor
|
|
Combined
|
|
Successor
|
|
Combined
|
|
Successor
|
|
Cash from (used by) operating
activities
|
|
$
|
120
|
|
|
$
|
154
|
|
|
$
|
(49)
|
|
|
$
|
175
|
|
|
$
|
174
|
|
|
$275 - $300
|
|
|
|
(73)
|
|
|
(92)
|
|
|
(92)
|
|
|
(258)
|
|
|
(209)
|
|
|
250
|
|
|
|
$
|
47
|
|
|
$
|
62
|
|
|
$
|
(141)
|
|
|
$
|
(83)
|
|
|
$
|
(35)
|
|
|
$25 - $50
|
|
Free cash flow is not a
recognized term under GAAP and does not purport to be a substitute
for cash flows from operating activities as a measure of liquidity.
Free cash flow has limitations as an analytical tool and does not
reflect cash used to service debt and does not reflect funds
available for investment or other discretionary uses. In
addition, the Company uses free cash flow (i) as a factor in
incentive compensation decisions, and (ii) for planning and
forecasting future periods.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SOURCE Visteon Corporation