CHARLOTTE, N.C., Jan. 31 /PRNewswire-FirstCall/ --
- Fourth quarter 2007 sales of $1,668 million increased 12 percent over
fourth quarter 2006 sales of $1,495 million.
- Fourth quarter 2007 income per diluted share of $1.04, a 33 percent
increase over fourth quarter 2006 income per diluted share of $0.78.
- Total segment operating income margin increased to 15.9 percent, from
13.0 percent in the fourth quarter 2006.
- Full year 2007 sales of $6.4 billion, an increase of 12 percent over
full year 2006 sales of $5.7 billion.
- Full year 2007 income per diluted share from continuing operations of
$3.89.
- Full year 2008 sales and earnings per diluted share expectations
unchanged at $7.1 - $7.2 billion and $4.15 - $4.30, respectively. Net
cash provided by operating activities, minus capital expenditures,
expected to exceed 75 percent of net income in 2008.
Goodrich Corporation (NYSE: GR) announced results today for the fourth
quarter and full year 2007, and reaffirmed its outlook for full year 2008
results.
Commenting on the company's performance, Marshall Larsen , Chairman,
President and Chief Executive Officer said, "Overall, 2007 was an excellent
year for Goodrich, reflecting strong growth in all of our major market
channels and improving margins and cash flow. Our strong fourth quarter
results provide us with significant momentum as we look forward to 2008."
Larsen continued, "We anticipate strong sales growth in 2008, led by
expected double-digit growth in sales to the large commercial airplane
original equipment manufacturers. Our commercial aftermarket sales are
expected to continue their strong growth, with the majority of our sales
coming from non-U.S. customers. We do not believe that right-sizing of U.S.
airlines' domestic fleets will affect our aftermarket sales since we have far
less content on the airplanes that are likely to be retired over the next
several years than we have on the airplanes that will remain in service, such
as the Airbus A320 and Boeing 737NG aircraft. We believe steady growth in
defense and space sales will continue to support our broad and balanced
portfolio. In 2008, these sales are expected to drive strong, double-digit
growth in earnings per diluted share and continued improvement in cash flow as
we near completion of key development programs and focus on improving working
capital performance."
Goodrich reported fourth quarter 2007 net income of $132 million, or $1.04
per diluted share, on sales of $1,668 million. In the fourth quarter 2006,
the company reported net income of $99 million, or $0.78 per diluted share, on
sales of $1,495 million. Fourth quarter 2007 sales increased 12 percent and
net income per diluted share increased 33 percent compared with the fourth
quarter 2006. The company reported an effective tax rate of 33 percent for
the fourth quarter of 2007, compared with an effective tax rate of 14 percent
during the fourth quarter 2006.
The increased sales for the quarter reflected continued strong growth in
the company's major market channels. For the fourth quarter 2007 compared
with the fourth quarter 2006, sales increases by market channel were as
follows:
- Large commercial airplane original equipment sales increased by
12 percent,
- Regional, business and general aviation airplane original equipment
sales increased by 29 percent,
- Large commercial, regional, business and general aviation airplane
aftermarket sales increased by 11 percent, and
- Defense and space sales of both original equipment and aftermarket
products and services increased by 6 percent.
Net income in the fourth quarter 2007, compared with the fourth quarter
2006, was positively affected by increased sales and improved operational
performance in most business units. The fourth quarter results included pre-
tax income of $18.5 million, $11.6 million after-tax or $0.09 per diluted
share, related to the resolution of an A380 claim against Northrop Grumman.
Net cash provided by operating activities during the fourth quarter 2007
was $188 million, a decrease of $58 million from the same period in 2006.
During the fourth quarter 2007, the company contributed $22 million to its
worldwide pension plans, compared with $15 million during the fourth quarter
2006. Capital expenditures were $122 million in the fourth quarter 2007
compared with capital expenditures of $102 million in the fourth quarter 2006.
For the full year 2007, the company reported income from continuing
operations of $497 million or $3.89 per diluted share, on sales of $6,392
million. The effective tax rate for 2007 was approximately 31 percent.
During the full year 2006, income from continuing operations was $478 million,
or $3.78 per diluted share, on sales of $5,719 million. Included in the
results for 2006 was $145 million, or $1.15 per diluted share, related to tax
settlements that were completed in 2006.
Net income for the full year 2007 was $484 million, or $3.79 per diluted
share, including an after-tax loss from discontinued operations of $13
million, or $0.10 per diluted share, primarily associated with the sale of the
company's Aviation Technical Services business. During the full year 2006,
net income was $482 million, or $3.81 per diluted share, on sales of $5,719
million. Included in the results for 2006 was $145 million, or $1.15 per
diluted share, related to tax settlements that were completed in 2006.
The $673 million increase in sales is primarily attributable to sales
growth in the company's major market channels, which experienced full year
2007 growth as follows:
- Large commercial airplane original equipment sales increased by
8 percent,
- Regional, business and general aviation airplane original equipment
sales increased by 20 percent,
- Large commercial, regional, business and general aviation airplane
aftermarket sales increased by 16 percent, and
- Defense and space sales of both original equipment and aftermarket
products and services increased by 7 percent.
Net cash provided by operating activities during the full year 2007 was
$594 million, an increase of $328 million over 2006. The increase was
primarily due to higher 2007 pre-tax income of $262 million and the impact of
unwinding the company's $97 million accounts receivable securitization program
in 2006. Capital expenditures were $283 million for the full year 2007
compared with capital expenditures for the full year 2006 of $255 million.
Business Highlights
- On January 18, 2008, Goodrich announced that it enhanced its presence
in the high-growth helicopter market through the acquisition of Skyline
Industries. The acquisition is expected to be accretive to earnings in
2008.
- Goodrich continues to invest in its growing aftermarket business. In
January 2008, Goodrich announced that it is expanding its Customer
Services maintenance, repair and overhaul (MRO) campus in Monroe, NC.
This expansion will increase the company's capabilities and allow for
additional services, including complex repairs of helicopter actuation
products and large aircraft cargo systems. In November 2007, Goodrich
unveiled its new 115,000-square-foot aircraft component and systems
maintenance and repair campus in Dubai. As well as providing MRO
services to the region's airlines, the facility is planning to support
military fleets with spares and repair capabilities for programs such
as the F-16, F-18 and Tornado aircraft.
- On November 15, 2007, Goodrich announced that it had completed the sale
of its airframe heavy maintenance business, Goodrich Aviation Technical
Services, Inc. (ATS), to a subsidiary of Macquarie Group Limited.
2008 Outlook
The company's 2008 sales outlook and market assumptions for each of its
major market channels have not changed materially from those provided in
October 2007 . The current market assumptions for the full year 2008, compared
with the full year 2007, include:
- Large commercial airplane original equipment sales are expected to
increase by approximately 20 percent,
- Regional, business and general aviation airplane original equipment
sales are expected to increase by about 13 percent,
- Large commercial, regional, business and general aviation airplane
aftermarket sales are expected to increase by about 8 - 10 percent, and
- Defense and space sales of both original equipment and aftermarket
products and services are expected to increase by about 5 - 8 percent.
The company's full year 2008 sales expectations are for sales of $7.1 -
$7.2 billion, representing expected growth of about 11 - 13 percent from 2007
results. The outlook for 2008 net income per diluted share is for a range of
$4.15 - $4.30, an expected increase of 10 - 14 percent compared with the
company's net income per diluted share for 2007.
While Goodrich has not completed discussions with Boeing regarding the
impact of the latest delay in the 787 Dreamliner development and delivery
schedules, the company does not believe it will have a material impact on
earnings or cash flow in 2008 or 2009.
The 2008 outlook assumes, among other factors, a full-year effective tax
rate of 33 - 35 percent, which includes the benefit of an extension of the
U.S. research tax credit. This compares with an effective tax rate of 31
percent for 2007.
For 2008, Goodrich expects net cash provided by operating activities,
minus capital expenditures, to exceed 75 percent of net income. This outlook
reflects a continuation of working capital investments to support the Boeing
787 Dreamliner and Airbus A350 XWB programs and capital expenditures for low-
cost country manufacturing and productivity initiatives that are expected to
enhance margins over the near and long term. The company expects capital
expenditures for 2008 to be in a range of $250 - $270 million.
The current sales, net income and net cash provided by operating
activities outlooks for 2008 do not include the impact of potential
acquisitions or divestitures.
----------------------
The supplemental discussion and tables that follow provide more detailed
information about the fourth quarter 2007 segment results.
----------------------
Goodrich will hold a conference call on January 31, 2008 at 10:00 AM U.S.
Eastern Time to discuss this announcement. Interested parties can listen to a
live webcast of the conference call, and view the related presentation
materials, at www.goodrich.com, or listen via telephone by dialing
913-312-0401.
----------------------
Goodrich Corporation, a Fortune 500 company, is a global supplier of
systems and services to aerospace, defense and homeland security markets.
With one of the most strategically diversified portfolios of products in the
industry, Goodrich serves a global customer base with significant worldwide
manufacturing and service facilities. For more information visit
http://www.goodrich.com.
----------------------
FORWARD-LOOKING INFORMATION IS SUBJECT TO RISK AND UNCERTAINTY
Certain statements made in this document are forward-looking statements
within the meaning of the Private Securities Litigation Reform Act of 1995
regarding our future plans, objectives and expected performance. Specifically,
statements that are not historical facts, including statements accompanied by
words such as "believe," "expect," "anticipate," "intend," "should,"
"estimate," or "plan," are intended to identify forward-looking statements and
convey the uncertainty of future events or outcomes. We caution readers that
any such forward-looking statements are based on assumptions that we believe
are reasonable, but are subject to a wide range of risks, and actual results
may differ materially.
Important factors that could cause actual results to differ from expected
performance include, but are not limited to:
- demand for and market acceptance of new and existing products, such as
the Airbus A350 XWB and A380, the Boeing 787 Dreamliner, the EMBRAER
190, the Dassault Falcon 7X and the Lockheed Martin F-35 Lightning II
and F-22 Raptor;
- our ability to extend our commercial original equipment contracts
beyond the initial contract periods;
- cancellation or delays of orders or contracts by customers or with
suppliers, including delays or cancellations associated with the Boeing
787 Dreamliner and the Airbus A380 aircraft programs;
- successful development of products and advanced technologies;
- the health of the commercial aerospace industry, including the impact
of bankruptcies and/or consolidations in the airline industry;
- global demand for aircraft spare parts and aftermarket services;
- changing priorities or reductions in the defense budgets in the U.S.
and other countries, U.S. foreign policy and the level of activity in
military flight operations;
- the possibility of restructuring and consolidation actions;
- threats and events associated with and efforts to combat terrorism;
- the extent to which expenses relating to employee and retiree medical
and pension benefits change;
- competitive product and pricing pressures;
- our ability to recover under contractual rights of indemnification for
environmental and other claims arising out of the divestiture of our
tire, vinyl and other businesses;
- possible assertion of claims against us on the theory that we, as the
former corporate parent of Coltec Industries Inc, bear some
responsibility for the asbestos-related liabilities of Coltec and its
subsidiaries, or that Coltec's dividend of its aerospace business to us
prior to the EnPro spin-off was made at a time when Coltec was
insolvent or caused Coltec to become insolvent;
- the effect of changes in accounting policies or tax legislation;
- cumulative catch-up adjustments or loss contract reserves on long-term
contracts accounted for under the percentage of completion method of
accounting;
- domestic and foreign government spending, budgetary and trade policies;
- economic and political changes in international markets where we
compete, such as changes in currency exchange rates, inflation,
deflation, recession and other external factors over which we have no
control; and
- the outcome of contingencies including completion of acquisitions,
divestitures, tax audits, litigation and environmental remediation
efforts.
We caution you not to place undue reliance on the forward-looking
statements contained in this document, which speak only as of the date on
which such statements are made. We undertake no obligation to release publicly
any revisions to these forward-looking statements to reflect events or
circumstances after the date on which such statements were made or to reflect
the occurrence of unanticipated events.
Supplemental Data
Segment Review
Quarter Ended December 31, 2007 Compared with Quarter Ended December 31, 2006
Quarter Ended December 31,
% % of Sales
2007 2006 Change 2007 2006
(Dollars in millions)
NET CUSTOMER SALES
Actuation and Landing Systems $636.5 $546.0 16.6%
Nacelles and Interior Systems $543.2 $510.6 6.4%
Electronic Systems $488.1 $438.5 11.3%
Total Sales $1,667.8 $1,495.1 11.6%
SEGMENT OPERATING INCOME
Actuation and Landing Systems $67.5 $34.0 98.5% 10.6% 6.2%
Nacelles and Interior Systems $126.3 $94.4 33.8% 23.3% 18.5%
Electronic Systems $72.1 $65.4 10.2% 14.8% 14.9%
Segment Operating Income $265.9 $193.8 37.2% 15.9% 13.0%
Actuation and Landing Systems: Actuation and Landing Systems segment sales
of $637 million for the quarter ended December 31, 2007 increased $91 million,
or 17 percent, from $546 million for the quarter ended December 31, 2006 . The
increase was primarily due to the following:
- Higher large commercial airplane OE sales of approximately $39 million,
primarily in our landing gear business unit;
- Higher large commercial, regional, business and general aviation
airplane aftermarket sales of approximately $23 million, primarily in
our aircraft wheels and brakes, landing gear and engine components
business units;
- Higher regional, business and general aviation OE sales of
approximately $15 million, primarily in our landing gear and actuation
business units; and
- Higher defense and space OE and aftermarket sales of approximately $6
million, primarily in our actuation and landing gear business units.
Actuation and Landing Systems segment operating income of $68 million for
the quarter ended December 31, 2007 increased $34 million, or 99 percent, from
$34 million for the quarter ended December 31, 2006 . This increase in
operating income was primarily due to the following:
- Higher sales volume and favorable product mix across all business
units, which resulted in higher income of approximately $11 million;
- Higher operating income of approximately $11 million, driven primarily
by higher pricing across most business units and improved brake-life
performance in the aircraft wheels and brakes business unit, partially
offset by increased costs;
- Settlement of the Northrop Grumman claim which resulted in higher
income of approximately $16 million; partially offset by
- Unfavorable foreign exchange impact of approximately $5 million.
Nacelles and Interior Systems: Nacelles and Interior Systems segment sales
of $543 million in the quarter ended December 31, 2007 increased $32 million,
or 6 percent, from $511 million in the quarter ended December 31, 2006 . The
increase was primarily due to the following:
- Higher large commercial, regional, business and general aviation
airplane aftermarket sales, including spare parts and MRO volume, of
approximately $24 million, primarily in our aerostructures and
interiors business units; and
- Higher regional, business and general aviation aircraft OE sales,
primarily from our aerostructures business unit, of approximately $7
million.
Nacelles and Interior Systems segment operating income of $126 million in
the quarter ended December 31, 2007 increased $32 million, or 34 percent, from
$94 million in the quarter ended December 31, 2006 . The increased segment
operating income was primarily due to the following:
- Higher sales volume, primarily in our aerostructures and interiors
business units, which resulted in higher income of approximately
$32 million;
- Favorable changes in estimates for certain long-term contracts at our
aerostructures business unit, resulting in higher income of
approximately $15 million; partially offset by
- Higher research and development and other costs, primarily in our
aerostructures and interiors business units.
Electronic Systems: Electronic Systems segment sales of $488 million in
the quarter ended December 31, 2007 increased $50 million, or 11 percent, from
$438 million in the quarter ended December 31, 2006 . The increase was
primarily due to the following:
- Higher defense and space OE and aftermarket sales of approximately
$15 million across all business units;
- Higher large commercial, regional, business and general aviation
airplane aftermarket sales of approximately $11 million in our sensors
and integrated systems and engine control and electrical power systems
business units;
- Higher large commercial airplane OE sales of approximately $8 million
in our sensors and integrated systems and engine control and electrical
power systems business units;
- Higher regional, business and general aviation airplane OE sales of
approximately $8 million in our sensors and integrated systems and
engine control and electrical power systems business units; and
- Higher sales of products to the commercial helicopter market of
approximately $8 million in our sensors and integrated systems and
engine control and electrical power systems business units.
Electronic Systems segment operating income of $72 million in the quarter
ended December 31, 2007 increased $7 million, or 10 percent, from $65 million
in the quarter ended December 31, 2006 . The increased segment operating
income was primarily due to the following:
- Higher sales volume and pricing partially offset by unfavorable product
mix across most business units, which resulted in higher operating
income of approximately $10 million; partially offset by
- Higher costs of approximately $3 million, primarily in our sensors and
integrated systems and intelligence, surveillance and reconnaissance
systems business units.
PRELIMINARY
GOODRICH CORPORATION
CONSOLIDATED STATEMENT OF INCOME (UNAUDITED)
(DOLLARS IN MILLIONS EXCEPT PER SHARE AMOUNTS)
Three Months Year
Ended Ended
December 31, December 31,
2007 2006 2007 2006
Sales $1,667.8 $1,495.1 $6,392.2 $5,719.1
Operating costs and expenses:
Cost of sales 1,188.2 1,079.6 4,481.6 4,143.4
Selling and administrative costs 250.6 256.7 1,027.6 935.9
1,438.8 1,336.3 5,509.2 5,079.3
Operating Income 229.0 158.8 883.0 639.8
Interest expense (31.1) (32.0) (124.9) (126.0)
Interest income 3.7 1.5 9.2 5.0
Other income (expense) - net (3.1) (14.1) (48.7) (62.0)
Income from continuing operations
before income taxes 198.5 114.2 718.6 456.8
Income tax (expense) benefit (64.6) (15.9) (221.5) 21.2
Income From Continuing Operations 133.9 98.3 497.1 478.0
Income (loss) from discontinued
operations (1.6) 0.6 (13.4) 3.5
Cumulative effect of change in
accounting - - - 0.6
Net Income $132.3 $98.9 $483.7 $482.1
Basic Earnings per Share:
Continuing operations $1.07 $0.78 $3.97 $3.84
Discontinued operations (0.01) 0.01 (0.10) 0.03
Cumulative effect of change in
accounting - - - 0.01
Net Income $1.06 $0.79 $3.87 $3.88
Diluted Earnings per Share:
Continuing operations $1.05 $0.77 $3.89 $3.78
Discontinued operations (0.01) 0.01 (0.10) 0.02
Cumulative effect of change in
accounting - - - 0.01
Net Income $1.04 $0.78 $3.79 $3.81
Dividends Declared per Common
Share $0.225 $0.20 $0.825 $0.80
Weighted - Average Number of
Shares Outstanding
(in millions)
Basic 124.8 124.9 125.1 124.4
Diluted 127.7 127.2 127.8 126.4
PRELIMINARY
GOODRICH CORPORATION
SEGMENT REPORTING (UNAUDITED)
(DOLLARS IN MILLIONS)
Three Months Year
Ended Ended
December 31, December 31,
2007 2006 2007 2006
Sales:
Actuation and Landing Systems $636.5 $546.0 $2,400.6 $2,083.8
Nacelles and Interior Systems 543.2 510.6 2,169.0 1,983.5
Electronic Systems 488.1 438.5 1,822.6 1,651.8
Total Sales $1,667.8 $1,495.1 $6,392.2 $5,719.1
Operating Income:
Actuation and Landing Systems $67.5 $34.0 $249.5 $137.3
Nacelles and Interior Systems 126.3 94.4 531.0 416.3
Electronic Systems 72.1 65.4 247.8 218.6
Total Segment Operating Income (1) 265.9 193.8 1,028.3 772.2
Corporate General and
Administrative Costs (33.2) (31.0) (129.1) (105.1)
ERP Implementation Costs (3.7) (4.0) (16.2) (16.4)
Pension Curtailment Expenses - - - (10.9)
Total Operating Income $229.0 $158.8 $883.0 $639.8
Segment Operating Income as a
Percent of Sales:
Actuation and Landing Systems 10.6% 6.2% 10.4% 6.6%
Nacelles and Interior Systems 23.3% 18.5% 24.5% 21.0%
Electronic Systems 14.8% 14.9% 13.6% 13.2%
Total Segment Operating Income as
a Percent of Sales 15.9% 13.0% 16.1% 13.5%
(1) Segment operating income is total segment revenue reduced by operating
expenses directly identifiable with our business segments except for
certain enterprise ERP implementation expenses and pension curtailment
expenses in 2006, which were not allocated to the segments. Segment
operating income is used by management to assess the operating performance
of the segments. See reconciliation of total segment operating income to
total operating income above.
PRELIMINARY
GOODRICH CORPORATION
CONSOLIDATED BALANCE SHEET (UNAUDITED)
(DOLLARS IN MILLIONS EXCEPT SHARE AMOUNTS)
December 31, December 31,
2007 2006
Current Assets
Cash and cash equivalents $406.0 $201.3
Accounts and notes receivable - net 1,006.2 897.6
Inventories - net 1,775.6 1,520.1
Deferred income taxes 178.2 247.3
Prepaid expenses and other assets 108.0 91.1
Assets from discontinued operations - 124.8
Income taxes receivable 74.4 -
Total Current Assets 3,548.4 3,082.2
Property, plant and equipment - net 1,387.4 1,256.0
Prepaid pension 16.1 2.3
Goodwill 1,363.2 1,341.3
Identifiable intangible assets - net 452.1 472.0
Deferred income taxes 11.1 35.5
Other assets 755.3 711.9
Total Assets $7,533.6 $6,901.2
Current Liabilities
Short-term debt $21.9 $11.8
Accounts payable 586.7 576.7
Accrued expenses 928.8 798.7
Income taxes payable 11.1 212.5
Deferred income taxes 29.7 3.3
Current maturities of long-term debt
and capital lease obligations 162.9 1.4
Liabilities from discontinued
operations - 29.7
Total Current Liabilities 1,741.1 1,634.1
Long-term debt and capital lease
obligations 1,562.9 1,721.7
Pension obligations 417.8 612.1
Postretirement benefits other than
pensions 358.9 379.1
Long-term income taxes payable 146.0 -
Deferred income taxes 170.2 55.8
Other non-current liabilities 556.2 521.7
Commitments and contingent
liabilities - -
Shareholders' Equity
Common stock - $5 par value
Authorized 200,000,000 shares; issued
142,372,162 shares at
December 31,2007 and 139,041,884
shares at December 31, 2006
(excluding 14,000,000 shares held by
a wholly owned subsidiary) 711.9 695.2
Additional paid-in capital 1,453.1 1,313.3
Income retained in the business 1,055.9 666.5
Accumulated other comprehensive
income (loss) 14.4 (260.8)
Common stock held in treasury, at
cost (17,761,696 shares at
December 31, 2007 and 14,090,913
shares at December 31, 2006) (654.8) (437.5)
Total Shareholders' Equity 2,580.5 1,976.7
Total Liabilities And Shareholders'
Equity $7,533.6 $6,901.2
PRELIMINARY
GOODRICH CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)
(DOLLARS IN MILLIONS)
Three Months Year
Ended Ended
December 31, December 31,
2007 2006 2007 2006
Operating Activities
Net income $132.3 $98.9 $483.7 $482.1
Adjustments to reconcile net income
to net cash provided by operating
activities:
(Income) loss from discontinued
operations 1.6 (0.6) 13.4 (3.5)
Cumulative effect of change in
accounting - - - (0.6)
Restructuring and consolidation:
Expenses (0.5) (0.1) 1.0 4.3
Payments (1.5) (1.9) (4.4) (6.6)
Pension and postretirement benefits:
Expenses 20.7 27.9 116.3 126.7
Contributions and benefit
payments (26.3) (19.5) (163.7) (145.5)
Asset impairments 1.8 0.3 1.8 3.6
Depreciation and amortization 61.6 61.5 250.2 233.8
Excess tax benefits related to share-
based payment arrangements (4.9) (0.8) (16.6) (5.0)
Share-based compensation expense 14.7 20.1 70.0 56.2
Loss on exchange or extinguishment of
debt - - - 2.0
Deferred income taxes 149.7 (64.5) 137.8 (67.7)
Change in assets and liabilities, net
of effects of acquisitions and
divestitures:
Receivables 12.1 47.2 (81.4) (97.5)
Change in receivables sold, net - - - (97.1)
Inventories, net of pre-
production and excess-over-
average 30.8 0.7 (89.2) (91.6)
Pre-production and excess-over-
average inventories (29.6) (21.7) (116.3) (122.5)
Other current assets (1.7) (15.9) 6.1 (5.9)
Accounts payable (22.3) 1.0 (10.5) 37.6
Accrued expenses 16.2 (8.2) 93.0 20.7
Income taxes payable/receivable (152.3) 91.6 (84.0) (50.8)
Other non-current assets and
liabilities (14.8) 29.8 (13.5) (7.2)
Net Cash Provided By Operating
Activities 187.6 245.8 593.7 265.5
Investing Activities
Purchases of property, plant and
equipment (122.0) (101.9) (282.6) (254.6)
Proceeds from sale of property, plant
and equipment 2.5 2.3 3.3 4.0
Net Cash Used In Investing Activities (119.5) (99.6) (279.3) (250.6)
Financing Activities
Increase (decrease) in short-term
debt, net 9.5 (79.2) 9.2 (11.6)
Loss on exchange or extinguishment of
debt - - - (4.5)
Proceeds from issuance of long-term
debt - - - 512.7
Repayment of long-term debt and
capital lease obligations (0.3) (0.3) (1.4) (534.5)
Proceeds from issuance of common
stock 17.0 19.1 95.9 66.1
Purchases of treasury stock (62.1) (18.1) (214.6) (20.2)
Dividends paid (25.3) (25.4) (101.2) (100.5)
Excess tax benefits related to share-
based payment arrangements 4.9 0.8 16.6 5.0
Distributions to minority interest
holders (3.8) (0.5) (7.0) (2.9)
Net Cash Used In Financing Activities (60.1) (103.6) (202.5) (90.4)
Discontinued Operations
Net cash (used in) provided by
operating activities (5.3) 19.2 1.3 21.7
Net cash provided by (used in)
investing activities 90.2 (1.2) 88.8 (2.2)
Net cash provided by financing
activities - - - -
Net cash provided by discontinued
operations 84.9 18.0 90.1 19.5
Effect of exchange rate changes on
cash and cash equivalents (1.2) 0.6 2.7 6.0
Net increase (decrease) in cash and
cash equivalents 91.7 61.2 204.7 (50.0)
Cash and cash equivalents at
beginning of period 314.3 140.1 201.3 251.3
Cash and cash equivalents at end of
period $406.0 $201.3 $406.0 $201.3
PRELIMINARY
GOODRICH CORPORATION
SUPPLEMENTARY FINANCIAL INFORMATION (UNAUDITED)
(DOLLARS IN MILLIONS)
Three Months Year
Ended Ended
December 31, December 31,
Preliminary Income Statement Data: 2007 2006 2007 2006
Net Interest Expense $(27.4) $(30.5) $(115.7) $(121.0)
Other Income (Expense), Net: $(3.1) $(14.1) $(48.7) $(62.0)
- Divested Business Retiree Health
Care (4.6) (4.5) (18.4) (18.0)
- Loss on Extinguishment or
Exchange of Debt - - - (4.8)
- Income (Expense) related to
previously owned businesses 8.4 (4.5) (7.7) (18.5)
- Minority interest and equity in
affiliated companies (6.7) (3.8) (24.3) (14.8)
- Other Income (Expense) (0.2) (1.3) 1.7 (5.9)
Preliminary Cash Flow Data:
Dividends $(25.3) $(25.4) $(101.2) $(100.5)
Depreciation and Amortization $61.6 $61.5 $250.2 $233.8
- Depreciation 44.2 43.6 179.4 162.4
- Amortization 17.4 17.9 70.8 71.4
December 31, December 31,
Preliminary Balance Sheet Data: 2007 2006
Preproduction and Excess-Over-Average
Inventory $515.4 $399.0
Short-term Debt $21.9 $11.8
Current Maturities of Long-term
Debt and Capital Lease
Obligations 162.9 1.4
Long-term Debt and Capital Lease
Obligations 1,562.9 1,721.7
Total Debt(1) $1,747.7 $1,734.9
Cash and Cash Equivalents 406.0 201.3
Net Debt(1) $1,341.7 $1,533.6
(1) Total Debt (defined as short-term debt plus current maturities of
long-term debt and capital lease obligations plus long-
term debt and capital lease obligations) and Net Debt (defined as
Total Debt minus cash and cash equivalents) are non-
GAAP financial measures that the Company believes are useful to
rating agencies and investors in understanding the
Company's capital structure and leverage. Because all companies do
not calculate these measures in the same manner,
the Company's presentation may not be comparable to other similarly
titled measures reported by other companies.
SOURCE Goodrich Corporation
