FGH logs massive non-cash writedowns for 2001
Friede Goldman Halter, Inc. yesterday filed its Form 10-K with the Securities and Exchange Commission.
The company reported a loss for the year ending December 31st 2001 of $401.6 million, or $8.24 per fully diluted common share. Of the total loss, $370.3 million relates to non-cash items including goodwill amortization and impairment, depreciation, loss provisions on disposition of assets, inventory write-downs, and subordinated note related write-offs. Additionally, $37.6 million relates to other items including professional fees, income tax provision adjustments and certain contract loss liabilities that were due to the company'sChapter 11 filing and subsequent events.
EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) before the unusual events described above and the gain from the sale of our French subsidiary equaled a positive $6.4 million.
Stone says the reorganization plan filed with the Bankruptcy Courtlast month reflects the latest company business plan that is believed to be in the best interest of creditors. Friede Goldman Offshore and Halter Marine will be returning to their core businesses with a positive attitude on the part of the officers and employees." He described these business units as "strong competitors in their markets" and said that as reorganized businesses, they "will be formidable competitors both operationally and financially."