UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): March 12, 2013
MRC GLOBAL INC.
(Exact name of registrant as specified in its charter)
| Delaware | 001-35479 | 20-5956993 | ||
| (State or other jurisdiction of incorporation) |
(Commission File Number) |
(I.R.S. Employer Identification Number) |
2 Houston Center, 909 Fannin, Suite 3100,
Houston, TX 77010
(Address of principal executive offices, including zip code)
Registrant’s telephone number, including area code: (877) 294-7574
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
| Item 7.01 | Regulation FD Disclosure. |
MRC Global Inc. (“MRC”) executive management will make a presentation on March 14, 2013 to attendees of the Stephens 5th Annual West Coast 1x1 Conference regarding, among other things, MRC’s operations and performance. A copy of the materials to be used at the presentation (the “Presentation Materials”) is included as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated herein by reference. The Presentation Materials, possibly with modifications, will also be used from time to time after March 12, 2013 in presentations about MRC’s operations and performance to current and potential investors, lenders, creditors, insurers, vendors, customers, employees and others with an interest in MRC and its business.
The information contained in the Presentation Materials is summary information that should be considered in the context of MRC’s filings with the Securities and Exchange Commission and other public announcements that MRC may make by press release or otherwise from time to time. The Presentation Materials speak as of the date of this Current Report on Form 8-K. While MRC may elect to update the Presentation Materials in the future or reflect events and circumstances occurring or existing after the date of this Current Report on Form 8-K, MRC specifically disclaims any obligation to do so. The Presentation Materials will also be posted in the Investor Relations section of MRC’s website, http://www.mrcglobal.com for 90 days.
The information referenced under Item 7.01 (including Exhibit 99.1 referenced in the Item 9.01 below) of this Current Report on Form 8-K is being “furnished” under “Item 7.01. Regulation FD Disclosure” and, as such, shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section. The information set forth in this Current Report on Form 8-K (including Exhibit 99.1 referenced in Item 9.01 below) shall not be incorporated by reference into any registration statement, report or other document filed by MRC pursuant to the Securities Act of 1933, as amended (the “Securities Act”), except as shall be expressly set forth by specific reference in such filing.
| Item 9.01 | Financial Statements and Exhibits. |
| (d) | Exhibits. |
| 99.1 | Presentation Materials, dated March 12, 2013 | |
2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: March 12, 2013
| MRC GLOBAL INC. | ||
| By: | /s/ James E. Braun | |
| James E. Braun | ||
| Executive Vice President and Chief Financial Officer | ||
3
INDEX TO EXHIBITS
| Exhibit No. |
Description | |
| 99.1 | Presentation Materials, dated March 12, 2013 | |
4
 Stephens
Non-Deal Road Show March 2013
1
MRC Global Inc. //
Stephens Non-Deal Road Show
Andrew Lane
Chairman, President & CEO
Jim Braun
EVP & CFO
Exhibit 99.1
March 2013 |
 2
Stephens Non-Deal Road Show
March 2013
2
This presentation contains forward-looking statements within the meaning of
Section 21E of the Securities Exchange Act of 1934, as amended, and Section
27A of the Securities Act, as amended, including, for example, statements about the Company’s business strategy, its industry, its future
profitability, growth in the Company’s various markets, and the Company’s
expectations, beliefs, plans, strategies, objectives, prospects and
assumptions. These forward-looking statements are not guarantees of
future performance. These statements involve known and unknown risks,
uncertainties
and
other
factors
that
may
cause
the
Company’s
actual
results
and
performance
to
be
materially
different
from
any
future
results
or
performance
expressed
or
implied
by
these
forward-looking
statements.
For
a
discussion
of
key
risk
factors,
please
see
the
risk
factors
disclosed
in
the
Company’s annual report on Form 10-K for the year ended December 31, 2012
and the registration statement (including a prospectus and prospectus
supplement)
for
the
offering
to
which
this
communication
relates,
which
are
available
on
the
SEC’s
website
at
www.sec.gov
and
on
the
Company’s
website, www.mrcglobal.com.
Undue reliance should not be placed on the Company’s forward-looking
statements. Although forward-looking statements reflect the Company’s good
faith
beliefs,
reliance
should
not
be
placed
on
forward-looking
statements
because
they
involve
known
and
unknown
risks,
uncertainties
and
other
factors, which may cause our actual results, performance or achievements to differ
materially from anticipated future results, performance or achievements
expressed or implied by such forward-looking statements. The Company undertakes no obligation to publicly update or revise any
forward-looking statement, whether as a result of new information, future
events, changed circumstances or otherwise. Statement Regarding Use of
Non-GAAP Measures: The Non-GAAP financial measures contained in this
presentation (EBITDA, Adjusted EBITDA, Adjusted EPS and variations thereof) are not measures of
financial performance calculated in accordance with GAAP and should not be
considered as alternatives to net income (loss) or any other performance
measure derived in accordance with GAAP or as alternatives to cash flows from
operating activities as a measure of our liquidity. They should be viewed
in addition to, and not as a substitute for, analysis of our results reported in
accordance with GAAP, or as alternative measures of liquidity. Management
believes that certain non-GAAP financial measures provide a view to measures
similar to those used in evaluating our compliance with certain financial
covenants under our credit facilities and provide financial statement users
meaningful comparisons between current and prior year period results. They
are also used as a metric to determine certain components of performance-based
compensation. The adjustments and Adjusted EBITDA are based on
currently available information and certain adjustments that we believe are
reasonable and are presented as an aid in understanding our operating
results. They are not necessarily indicative of future results of operations that
may be obtained by the Company. Forward Looking Statements and Non-GAAP
Disclaimer |
 3
Stephens Non-Deal Road Show
March 2013
By the Numbers
Industry Sectors
Product Categories
Business Model
2012 Sales
$5.57 B
Upstream
Line Pipe / OCTG
Locations
400+
Countries
44+
Midstream
Valves
Customers
18,000+
Suppliers
18,000+
Downstream/
Industrial
Fittings / Flanges
SKU’s
175,000+
Employees
4,750+
Company Snapshot
MRO
70%
Projects
30%
U.S.
76%
Canada
14%
Europe / Asia Pacific
10%
MRC is the largest global distributor of pipe, valves and fittings (PVF) to the
energy industry |
 Founded
1921
1989
Acquires
Appalachian
Pipe & Supply
2007
Goldman Sachs
Capital Partners
Strategic
Investment
1977
Founded
2005
Acquires
Midfield
Supply
2007
Merger of
McJunkin
and Red Man
to form
MRC
2009
MRC opens
Houston HQ
2011
MRC
acquires
SPF
2011
MRC
acquires
VSC
2012
MRC
acquires
OneSteel
Piping
Systems
2009
MRC
acquires
Transmark
2010
MRC
acquires
South
Texas
Supply
2010
MRC
acquires
Dresser
Oil Tools
MRC’s 92 Year History // The Road to the Fortune 500
2012
MRC
Global
IPO;
begins
trading
on NYSE
2012
MRC
listed on
Fortune 500
2012
MRC
signs the
industry’s
first global
valve
contract with
Shell
2008
MRC
acquires
LaBarge
2012
MRC
acquires
Chaparral
Supply
2012
MRC
acquires
Production
Specialty
Services
4
Stephens Non-Deal Road Show
March 2013 |
 5
Stephens Non-Deal Road Show
March 2013
Clear Market Leader Globally and in the Shales
Leading
industrial
distributor
of
PVF
globally
to
the
energy
and
industrials
sectors
Note: As of 31-Dec-2012
1
Including contracts and pricing arrangements.
2
International locations include sales offices and pipe yards at MRC locations.
North America
International
Branches
190+
50+
Distribution Centers
8 = U.S.
1 = Canada
1 = U.K.
1 = Singapore
1 = Netherlands
1 = Australia
Valve Automation Centers
12
12
Pipe Yards
120
10
Ecuador
Equatorial Guinea
Finland
France
Germany
India
Indonesia
Iraq
Italy
Kazakhstan
Kuwait
Malaysia
Mexico
Netherlands
New Zealand
Nigeria
Norway
Pakistan
Peru
Poland
Russia
Saudi Arabia
44+ Countries & 400+ Locations
Angola
Aruba
Australia
Austria
Belgium
Brunei
Cameroon
Canada
China
Colombia
Denmark
Branch operations and significant direct export sales
Singapore
South Africa
South Korea
Spain
Sweden
Thailand
Trinidad
Turkey
United Arab Emirates
United Kingdom
United States
2
•
~2/3
of
sales
are
under
contracts
with
a
95%
renewal rate since 2000
•
Continue to grow “share”
and “size of wallet”
with
major existing customers while adding new ones
•
North American Shales as much as 5x PVF
intensive as conventional activity |
 6
Stephens Non-Deal Road Show
March 2013
By Geography
Note: Business mix based on fiscal year 2012.
By Product Line
By Industry Sector
MRC Diversification
1 -
Approximately 17% (or $200 M) of total
for valves is valve automation
Industry leading product, end market and geographic diversification
Canada
14%
Europe/
Asia
Pacific
10%
Western
US
26%
Gulf Coast
25%
Eastern
US
25%
OCTG
13%
Line Pipe
21%
Valves
26%
Fittings &
Flanges
21%
Other
19%
Chemical
6%
Refining
7%
Other/
Industrial
14%
Gas Utility
10%
Production
Infrastructure,
Materials &
Supplies
33%
Transmission
17%
Drilling &
Completion
Tubulars
13% |
 7
Stephens Non-Deal Road Show
March 2013
Core Distribution Processes
•
Cost Savings and Efficiencies
•
Order Management and Product
Bundling
•
Quality Assurance
•
Supplier Registration
•
Logistics Management
•
Customer Reporting
Integrated Services
•
Technical Assistance / Product
Recommendation
•
Inventory Consignment / Just-in-
Time Delivery
•
Customized IT Solutions
•
Warehouse Management
Service Offerings
Products
Delivery of Mission Critical Products and Value Added Services
Generating savings and efficiencies for our customers
while enabling them to focus on their core competencies
•
175,000+ unique, mission-critical products
used in high pressure, high stress or
abrasive operating environments
•
Low cost relative to overall cost of
maintenance or project spend so service is
paramount |
 Supplier
Benefits •
•
•
Customer Benefits
•
•
•
•
MRC plays a critical role in the complex, technical, global energy supply chain
Strong
Long-Term
Relationships
with
“Blue
Chip”
Customers
and
Suppliers
Mutual Benefits
•
•
•
8
Access to over 18,000+
customers
Manufacturing and scale
efficiencies
Leverage MRC’s technical
sales force
MRC Approved Supplier List /
Quality Program
Financial stability
Trusted long-term partnerships
Access to over 18,000+ suppliers
worldwide
Efficiencies and inventory
management
Access to a broad product offering
(~$1B inventory)
Access to global sourcing from 35
countries
Stephens Non-Deal Road Show
March 2013 |
 Upstream:
Increasing E&P Spending Source:
Spears
and
Associates
(Drilling
and
Production
Outlook
–
December,
2012)
Positive Energy and Industrial Spending Trends
Downstream: Continued MRO & Project Activity
•
Global:
Energy demand continues to grow with sizable
MRO/project opportunities given the age of global energy
infrastructure and slowly improving global economy
•
Upstream:
Shales extremely active, shift to Oil/NGL E&P, Natural
Gas MRO production, Oil Sands activity seeing strong growth
•
Coal-to-gas substitution at historically high levels
•
Midstream:
Shale activity in new unsupported areas; increased
pipeline integrity regulation plus aging pipeline infrastructure
accelerating MRO rates; gas utilities continue to outsource PVF
procurement
$ billions
Source: Industrial Information Resources
Midstream: NA Pipeline Spending to Increase
Source: Stifel Nicolaus Diversified industrial Infrastructure Report August 28,
2012 $ billions
$ 236
$ 240
$ 294
$ 329
$ 338
$ 368
$ 393
$ 419
2009A
2010A
2011A
2012A
2013E
2014E
2015E
2016E
9
2011A
2012E
1H12A
1H13E
Maintenance
Projects
$0
$2
$4
$6
$8
$10
$12
$14
$16
$18
$20
Nat Gas
NGL
Oil
2011A Estimate 2012E Forecast 2013E Forecast
Stephens Non-Deal Road Show
March 2013
$0
$2
$4
$6
$8
$10
$12
$14
$16
$18
$20
•
Downstream:
MRO and infrastructure projects accelerating; strong
growth in chemical/industrial with low natural gas prices and steady
PMI; rebound in refinery utilization / margins |
 10
Stephens Non-Deal Road Show
March 2013
(US$ in millions)
1
Reflects reported revenues for the year of acquisition
M&A Driven Growth: Track Record of Success
MRC has completed and successfully acquired $3 billion of revenues since 2007
|
 11
Today
10 –
15 Years Ago
Next 1 to 5 Years
Changing PVF Energy Distribution Landscape
Consolidating energy industry benefits global players
•
Upstream
•
Midstream
•
Downstream
•
Pipe
•
Valves
•
Fittings
•
Flanges
•
Supplies
•
PVF purchasing
handled locally
•
Facility-by-facility
basis
•
Separate contracts
by product class:
•
Purchasing more
consolidated
•
Contracts by end
segment:
•
Contracts cover PVF
•
Customers align with
suppliers with size/scale
•
Global upstream /
midstream /
downstream PVF
contracts
Decentralized
Procurement
Centralized
Procurement
Global
Procurement
Stephens Non-Deal Road Show
March 2013 |
 12
MRC & Shell // Global Valve Contract for MRO and Projects
Industry’s first valve and combined North American PFF contract
Deepwater
GOM
NA Tight Gas
& Liquids
Brazil
Offshore
BC-10
West
Africa
Future
Middle
East
RDC
FLNG
/ LNG
Oceania
Sakhalin
Shell
Offshore
Shell has one of the top 5 global CAPEX budgets
Coal Bed
Methane
China
Tight Gas
Tar Sands
Kashagan
Ph1
Alaska
Offshore
North America
Includes PFF
LNG
Salym
Development
LNG /
GTL
Cracker Unit
Pittsburgh, PA
Stephens Non-Deal Road Show
March 2013 |
 13
Global E&P Spending Growth –
Positive Secular Trends
(Target 6 –
7% Annually)
•
Global
Energy Demand Favorable:
Continued
general economic recovery, commodity price
environment, global supply constraints and
increased energy consumption
•
Shale
Activity
Unprecedented:
Shale
gas,
as
a
percentage of total natural gas production, has
rapidly increased from less than 2% of total U.S.
natural gas production in 2001 to 30% in 2011 and
is projected to increase to 49% by 2035
•
Accelerating
MRO:
Increased
utilization
of
processing facilities and decreasing quality of
energy feedstocks accelerating PVF replacement
rates
•
Recovering
Project
Outlook:
Infrastructure
and
E&P projects rebounding with economic growth and
need for capacity expansions
Large,
Fragmented
Market
with
Significant
Growth
Opportunities
Organic Growth –
Leverage Scale
(Target: 8 –
9% Annually)
•
One-Stop
Solution:
Leverage
extensive product offering and be
“one-stop”
PVF solution
•
Cross-Selling:
Introduce existing
customers to complete PVF product
portfolio
•
Projects:
Further
penetrate
existing
customer’s project activity
•
Investments:
Add
incremental
branches, DCs and sales people
•
International:
Expand
further
globally with existing customers
•
Adjacencies:
Add new products to
existing PVF “bundle”
or target new
complimentary end markets
Acquisitions –
Accretive Expansion
(Target: 2 –
3% Annually)
•
Core
Competency:
Proven
ability to identify, execute and
integrate strategic and tuck-in
acquisitions
•
Highly Fragmented:
Opportunities to extend product
offering, end markets and/or
geographic coverage
MRC is in an excellent position to continue to exceed industry growth
Long-term Targets:
Revenue
Growth:
10-12%
|
Adjusted
EBITDA
Margin:
10+%
|
Leverage:
2.0
–
3.0x
Note: All targets are long term.
Stephens Non-Deal Road Show
March 2013 |
 14
Stephens Non-Deal Road Show
March 2013
Financial Overview |
 15
Stephens Non-Deal Road Show
March 2013
•
Revenue
•
Total revenue was impacted by strategic OCTG
reduction
•
Top line remained strong despite slowed customer
activity in the last two months of Q4
•
Adjusted EBITDA and Margins
•
Q4 2012 Adjusted EBITDA remained relatively flat
vs. Q4 2011
•
FY 2012 year-on-year margin expansion of ~80
bps due to continued emphasis on higher margin
products
•
Adjusted EPS
•
Q4 2012 GAAP EPS includes loss on retirement of
debt and pension settlement costs
•
Strong year-on-year growth in Adjusted EPS for
both Q4 and the full-year
Q4 2012 Earnings Review
(In millions except per share data)
Q4
Fiscal Year
2011
2012
2011
2012
OCTG
$216
$114
$809
$715
All Other
1,090
1,193
9%
4,023
4,856
21%
Total
$1,306
$1,307
$4,832
$5,571
Q4
Fiscal Year
Q4
Fiscal Year
$ 0.04
$ (0.06)
GAAP EPS:
$ 0.34
$ 1.22
17.8%
19.0%
Adjusted
Gross Profit:
17.6%
19.0%
$ 100
$ 99
Q4 2011
Q4 2012
7.7%
7.6%
$ 360
$ 463
FY 2011
FY 2012
7.5%
8.3%
$ 0.04
$ 0.55
Q4 2011
Q4 2012
$ 0.34
$ 2.02
FY 2011
FY 2012 |
 16
Stephens Non-Deal Road Show
March 2013
$218
$224
$360
$463
2009
2010
2011
2012
$493
$663
$850
$1,058
2009
2010
2011
2012
Strong Growth and Margin Drive Attractive Returns
Sales
Adjusted Gross Profit and % Margin
1
Y-o-Y Growth
5%
26%
15%
(US$ in millions)
Y-o-Y Growth
34%
28%
24%
Y-o-Y Growth
3%
61%
29%
6.0%
5.8%
7.5%
8.3%
Strong growth and continued improving profitability
18.6%
19.6%
24.1%
28.9%
2009
2010
2011
2012
$3,662
$3,846
$4,832
$5,571
2009
2010
2011
2012
13.5%
17.2%
17.6%
19.0%
Adjusted EBITDA RONA
1
Adjusted EBITDA and % Margin
Source: Company management; Company Filings Adjusted
EBITDA RONA calculation = Adjusted EBITDA / (EOY Inventory + EOY LIFO reserve + EOY Receivables + EOY PP&E – Payables). |
 17
Significant Cash Flow for Deleveraging and Growth Investments
Adjusted EBITDA –
Capex and % Margin
Capital Structure
(US$ in millions)
Strong cash flows allow for continued deleveraging
($ in millions)
December 31, 2012
Cash and Cash Equivalents
$ 37.1
Total Debt (including current portion):
Term Loan B due 2019, net of discount
642.0
Global ABL Facility due 2017
608.0
Other
6.6
Total Debt
$ 1,256.6
Total Equity
1,185.9
Total Capitalization
$ 2,442.5
$495
$597
$479
$695
2009
2010
2011
2012
6.4 x
5.8 x
4.1 x
2.6 x
2009
2010
2011
2012
7.8%
Cumulative FCF
1
Net Leverage
Free Cash Flow defined as cash from operations, less fixed asset purchases (net of disposals). 1
Stephens Non-Deal Road Show
March 2013 |
 18
Stephens Non-Deal Road Show
March 2013
Year Over Year Results
In millions, except per share data or where otherwise noted
2011
2012
Sales
$ 4,832
$ 5,571
15%
Adjusted gross profit
850
1,058
% Margin
17.6%
19.0%
Diluted EPS
$ 0.34
$ 1.22
Adjusted EBITDA
$ 360
$ 463
29%
% Margin
7.5%
8.3%
Commentary -
MRC performing
strongly across end
markets
•
Midstream is strongest and fastest growing
end market.
•
Oil/NGL activity more than compensating for
more challenging upstream natural gas
trends
•
Chemical / industrial strong with refinery
outlook improving for 2013
•
Europe flat but strong Southeast Asia and
Australia activity
•
Global Shell contract is industry first and
reaffirmation of investment thesis.
•
MRC believes it will continue to experience
above market growth.
Financial Update
|
 19
Stephens Non-Deal Road Show
March 2013
Appendix |
 20
Stephens Non-Deal Road Show
March 2013
December 31
($ in millions)
2012
2011
2010
2009
Net income (loss)
$ 118.0
$
29.0
$(51.8)
$(339.8)
Income taxes
63.7
26.8
(23.4)
(15.0)
Interest expense
112.5
136.8
139.6
116.5
Write off of debt issuance costs
1.7
9.5
—
—
Depreciation and amortization
18.6
17.0
16.6
14.5
Amortization of intangibles
49.5
50.7
53.9
46.6
Amortization of purchase price accounting
—
—
—
15.7
Change in fair value of derivative instruments
(2.2)
(7.0)
4.9
(8.9)
Closed locations
—
—
(0.7)
1.4
Share based compensation
8.5
8.4
3.7
7.8
Franchise taxes
—
0.4
0.7
1.4
Loss (gain) on early extinguishment of debt
114.0
—
—
(1.3)
Goodwill and intangibles impairment
—
—
—
386.1
Inventory write-down
—
—
0.4
46.5
IT system conversion costs
—
—
—
2.4
M&A transaction & integration expenses
—
0.5
1.4
17.5
Pension settlement
4.4
—
—
—
Legal and consulting expenses
(1.2)
9.9
4.2
1.9
Joint venture termination
—
1.7
—
—
Provision for uncollectible accounts
—
0.4
(2.0)
1.0
Severance and related costs
—
1.1
3.2
4.4
MRC Transmark pre-Acquisition contribution
—
—
—
38.5
LIFO
(24.1)
73.7
74.6
(115.6)
Other expenses
(0.2)
1.6
(1.1)
(3.1)
Adjusted EBITDA
$
463.2
$
360.5
$
224.2
$
218.5
EBITDA Adjustments |
 21
Stephens Non-Deal Road Show
March 2013
December 31
($ in millions)
EBITDA
$
463.2
$
360.5
$
224.2
$
218.5
AR
$
823.2
$
791.3
$
596.4
$
506.2
Inventory at AC
1,121.2
1,074.2
866.8
898.5
Fixed Assets
122.5
107.4
104.7
111.5
(-) AP
(438.4)
(479.6)
(426.6)
(338.5)
PSS Adjustment
(28.0)
—
—
—
Total Adjusted Net Assets
$
1,600.5
$
1,493.3
$
1,141.3
$
1,177.7
Inventory at LIFO
970.2
899.1
765.4
871.6
(+) LIFO reserve
151.0
175.1
101.4
26.9
Total Inventory
$
1,121.2
$
1,074.2
$
866.8
$
898.5
RONA
28.9
%
24.1
%
19.6
%
18.6
%
2011
2010
2009
2012
December 31
($ in millions)
Stockholders' Equity
$
1,185.9
$
720.8
$
689.8
$
743.9
Long term debt
1,256.6
1,526.7
1,360.2
1,452.6
Deferred taxes
334.5
357.2
373.7
377.9
Other liabilities
147.7
143.3
140.8
170.2
Intangible assets
(1,359.7)
(1,333.1)
(1,366.5)
(1,425.7)
LIFO reserve
151.0
175.1
101.4
26.9
Other assets
(50.4)
(50.6)
(101.9)
(111.9)
Cash
(37.1)
(46.1)
(56.2)
(56.2)
PSS Adjustment
(28.0)
—
—
—
Total Adjusted Net Assets
$
1,600.5
$
1,493.3
$
1,141.3
$
1,177.7
Net income (loss)
$
118.0
$
29.0
$(51.8)
$(339.8)
Stockholders' equity
1,185.9
720.8
689.8
743.9
Net income / stockholders'equity
10.0
%
4.0
%
(7.5)%
(45.7)%
2012
2011
2010
2009
Adjusted EBITDA RONA
Calculation
Total Adjusted Net Assets
GAAP Reconciliation |
 22
Stephens Non-Deal Road Show
March 2013
December 31
($ in millions)
2012
2011
2010
2009
Cash from operations
$
240.1
$(102.9)
$
112.7
$
505.5
Fixed asset purchases
(26.2)
(18.1)
(14.3)
(16.7)
Disposal of fixed assets
2.3
3.1
3.1
6.5
Free cash flow
$
216.2
$(117.9)
$
101.5
$
495.3
Cummulative free cash flow
$
695.1
$
478.9
$
596.8
$
495.3
December 31
($ in millions)
2012
2011
2010
2009
Gross Profit
$
1,013.7
$
708.2
$
518.1
$
548.0
Depreciation and amortization
18.6
17.0
16.6
14.5
Amortization of intangibles
49.5
50.7
53.9
46.6
(Decrease) increase in LIFO reserve
(24.1)
73.7
74.6
(115.6)
Adjusted Gross Profit
$
1,057.7
$
849.6
$
663.2
$
493.5
Adjusted Gross Profit GAAP Reconciliation Free Cash
Flow Calculation |
 23
Stephens Non-Deal Road Show
March 2013
FY 2012
Q4 2012
($ in thousands,
except per share data)
Profit Before
Taxes
Tax
Net Income
Per Share
Profit Before
Taxes
Tax
Net Income
Per Share
GAAP Reported Amounts
$
181,696
$
63,738
$
117,958
$
1.22
$(10,487)
$(4,045)
$(6,442)
$(0.06)
Loss on extinguishment of debt
113,961
39,886
74,075
0.76
$
92,215
$
32,275
$
59,940
0.58
Write off of debt issuance costs
1,685
590
1,095
0.01
Pension settlement
4,420
1,547
2,873
0.03
4,420
1,547
2,873
0.03
Adjusted GAAP Amounts
$
301,762
$
105,761
$
196,001
$
2.02
$
86,148
$
29,777
$
56,371
$
0.55
Adjusted EPS Calculation |