WEST CHESTER, Ohio,
July 23, 2013 /PRNewswire/ -- AK
Steel (NYSE: AKS) today reported its financial results for the
second quarter of 2013.
2nd Quarter 2013 Performance Summary
- Shipments of 1,323,700 tons
- Sales of $1.4 billion
with an average selling price of $1,061 per ton
- Net loss of $40.4
million, or $0.30 per diluted
share
- Adjusted EBITDA of $47.5
million
- Strong liquidity in excess of $900 million
- Middletown (OH) Works
blast furnace restarted successfully on July
12, 2013
AK Steel reported a net loss of $40.4
million, or $0.30 per diluted
share of common stock, for the second quarter ended June 30, 2013, compared to a net loss of
$724.2 million, or $6.55 per diluted share, for the second quarter
of 2012. The results for the second quarter of 2012 included a
non-cash income tax charge of $735.6
million, or $6.65 per diluted
share, as a result of a change in a deferred tax asset valuation
allowance. The company reported adjusted EBITDA (as defined in the
"Non-GAAP Financial Measures" section below) of $47.5 million, or $36 per ton, for the second quarter of 2013
compared to adjusted EBITDA of $88.3
million, or $66 per ton, for
the year-ago second quarter and adjusted EBITDA of $66.8 million, or $52 per ton, for the first quarter of 2013.
Net sales for the second quarter of 2013 were $1,404.5 million on shipments of 1,323,700 tons,
compared to net sales of $1,538.4
million on shipments of 1,335,800 tons for the year-ago
second quarter and net sales of $1,369.8
million on shipments of 1,289,800 tons for the first quarter
of 2013. The lower shipments for the second quarter of 2013
compared to the year-ago period were primarily due to lower
shipments to the carbon spot market and electrical steel market,
partially offset by increased shipments to the automotive market.
The unplanned outage of the Middletown Works blast furnace also
contributed to a decline in shipments in the second quarter of
2013. The higher shipments in the second quarter of 2013 compared
to the first quarter of 2013 were primarily due to higher shipments
to the automotive market, partially offset by lower shipments to
the carbon spot market.
The company said its average selling price for the second
quarter of 2013 was $1,061 per ton,
an 8% decrease from the second quarter of 2012 and flat with the
first quarter of 2013. The average selling price for the second
quarter of 2013 improved over the first quarter of the year as a
result of the favorable mix of shipments, but was offset by lower
spot market prices for carbon steel products. The lower average
selling price for the second quarter of 2013 compared to the second
quarter of 2012 was primarily due to lower spot market prices for
carbon steel products, reduced raw material surcharges and lower
selling prices for electrical steel products globally.
The decrease in adjusted EBITDA from the prior quarter was
primarily the result of planned major maintenance outages. As
previously announced, the Middletown blast furnace underwent a planned
seven-day maintenance outage during the second quarter of 2013.
This was the first major maintenance outage to the blast furnace
since the furnace was relined in 2009. The company recorded
expenses of $21.6 million during the
second quarter of 2013 for planned outages, compared to
$1.0 million in expenses in each of
the second quarter of 2012 and the first quarter of 2013. The
2013 second quarter results also include expenses of approximately
$6.2 million, or pre-tax $0.05 per share, for costs related to an
unplanned blast furnace outage at the company's Middletown (OH) Works, as discussed more fully
below.
The 2013 second quarter results include a LIFO credit of
$12.4 million, compared to a LIFO
credit of $18.3 million in the second
quarter of 2012 and a LIFO credit of $6.0
million for the first quarter of 2013.
"Excluding the blast furnace repair costs, both planned and
unplanned, AK Steel's second quarter performance improved compared
to our first quarter," said James L.
Wainscott, Chairman, President and CEO of AK Steel. "We will
continue to drive the company for improved results on every front
on behalf of our shareholders and all of our constituents."
The company ended the second quarter of 2013 with total
liquidity of $905.3 million,
consisting of cash and cash equivalents and $857.7 million of availability under the
company's revolving credit facility. There were $40.0 million of outstanding borrowings under the
company's revolving credit facility as of June 30, 2013.
Six-Month Results
For the first six months of 2013,
the company reported a net loss of $50.3
million, or $0.37 per diluted
share. For the corresponding six months of 2012, the company
reported a net loss of $736.0
million, or $6.66 per diluted
share. The results for the first six months of 2012 include a
non-cash income tax charge of $735.6
million, or $6.66 per diluted
share, as a result of a change in a deferred tax asset valuation
allowance in the second quarter.
Sales for the first six months of 2013 were $2,774.3 million compared to $3,047.1 million in the first half of 2012.
Shipments for the first half of 2013 were 2,613,500 tons compared
to 2,661,700 tons in the first half of 2012. The company recorded
expenses of $22.6 million during the
first six months of 2013 for planned outages, compared to expenses
of $1.6 million during the first six
months of 2012.
The company reported adjusted EBITDA of $114.3 million, or $44 per ton, for the first six months of 2013,
compared to $137.2 million, or
$52 per ton, for the first six months
of 2012. The decrease in earnings in the first six months of 2013
was primarily a result of higher planned maintenance outage
costs.
Middletown Works Unplanned Blast Furnace Outage
As
previously announced, the company's blast furnace at its
Middletown (OH) Works experienced
an unexpected mechanical failure in the charging apparatus internal
to the furnace on June 22, 2013. The
company executed its contingency plan and the blast furnace was
taken off-line to prevent any damage to the furnace and to position
it for start-up once the repairs were completed. During the period
in which the blast furnace was off-line, the company utilized its
existing inventory together with its Butler (PA) Works electric arc furnace and its
Ashland (KY) Works blast furnace
and purchased some merchant carbon slabs to help service its
customers. The company restarted the blast furnace on July 12, 2013.
The company's second quarter results for 2013 included a charge
of $6.2 million for the unplanned
outage. The company maintains property damage and business
interruption insurance, and it currently expects that its total
uninsured portion of losses in the second half of 2013 will be
between $12.0 million and $17.0
million.
Third Quarter 2013 Outlook
Consistent with its current
practice, the company said that it will provide detailed guidance
for its third quarter results in September. However, the company
noted that it expects to incur additional expenses related to the
unplanned Middletown blast furnace
outage in the third quarter. Further, the timing and amount of any
insurance recovery cannot be accurately predicted at this time and
could occur after the third quarter, thus resulting in a mismatch
of expenses and insurance recovery.
Safe Harbor Statement
The statements in this release
with respect to future results reflect management's estimates and
beliefs and are intended to be, and hereby are identified as
"forward-looking statements" for purposes of the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995.
Words such as "expects," "anticipates," "believes," "intends,"
"plans," "estimates" and other similar references to future periods
typically identify such forward-looking statements.
The company cautions readers that such forward-looking
statements, including those estimates with respect to the timing
and cost of repairing the blast furnace at the Middletown (OH) Works, involve risks and
uncertainties that could cause actual results to differ materially
from those currently expected by management, including those risks
and uncertainties discussed in the company's Annual Report on Form
10-K for the year ended December 31,
2012, as updated in subsequent Quarterly Reports on Form
10-Q and Current Reports on Form 8-K filed with or furnished to the
Securities and Exchange Commission. Except as required by law, the
company disclaims any obligation to update any forward-looking
statements to reflect future developments or events.
AK Steel
AK Steel produces flat-rolled carbon,
stainless and electrical steels, primarily for automotive,
infrastructure and manufacturing, construction and electrical power
generation and distribution markets. The company employs about
6,100 men and women in Middletown,
Mansfield, Coshocton and Zanesville, Ohio; Butler, Pennsylvania; Ashland, Kentucky; Rockport, Indiana; and its corporate
headquarters in West Chester,
Ohio. Additional information about AK Steel is available on
the company's web site at www.aksteel.com.
AK Tube LLC, a wholly-owned subsidiary of AK Steel, employs
about 300 men and women in plants in Walbridge, Ohio and Columbus, Indiana. AK Tube produces carbon and
stainless electric resistance welded (ERW) tubular steel products
for truck, automotive and other markets. Additional information
about AK Tube LLC is available on its web site at
www.aktube.com.
AK Coal Resources, Inc., another wholly-owned subsidiary of AK
Steel, controls and is developing metallurgical coal reserves in
Somerset County, Pennsylvania. AK
Steel also owns 49.9% of Magnetation LLC, a joint venture
headquartered in Grand Rapids,
Minnesota, which produces iron ore concentrate from
previously mined ore reserves.
AK STEEL HOLDING
CORPORATION
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
(Unaudited)
|
(Dollars and shares
in millions, except per share and per ton data)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June
30,
|
|
June
30,
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
Shipments (000
tons)
|
|
1,323.7
|
|
|
1,335.8
|
|
|
2,613.5
|
|
|
2,661.7
|
|
Selling price per
ton
|
|
$
|
1,061
|
|
|
$
|
1,152
|
|
|
$
|
1,061
|
|
|
$
|
1,145
|
|
|
|
|
|
|
|
|
|
|
Net
sales
|
|
$
|
1,404.5
|
|
|
$
|
1,538.4
|
|
|
$
|
2,774.3
|
|
|
$
|
3,047.1
|
|
|
|
|
|
|
|
|
|
|
Cost of products
sold
|
|
1,309.2
|
|
|
1,392.4
|
|
|
2,561.5
|
|
|
2,801.4
|
|
Selling and
administrative expenses
|
|
50.2
|
|
|
50.8
|
|
|
101.8
|
|
|
106.6
|
|
Depreciation
|
|
47.9
|
|
|
48.4
|
|
|
96.5
|
|
|
96.7
|
|
Pension and OPEB
expense (income)
|
|
(16.5)
|
|
|
(9.9)
|
|
|
(32.4)
|
|
|
(18.4)
|
|
Total
operating costs
|
|
1,390.8
|
|
|
1,481.7
|
|
|
2,727.4
|
|
|
2,986.3
|
|
|
|
|
|
|
|
|
|
|
Operating
profit
|
|
13.7
|
|
|
56.7
|
|
|
46.9
|
|
|
60.8
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
32.0
|
|
|
21.8
|
|
|
63.0
|
|
|
38.0
|
|
Other income
(expense)
|
|
2.5
|
|
|
(4.7)
|
|
|
4.3
|
|
|
(3.8)
|
|
|
|
|
|
|
|
|
|
|
Income (loss)
before income taxes
|
|
(15.8)
|
|
|
30.2
|
|
|
(11.8)
|
|
|
19.0
|
|
|
|
|
|
|
|
|
|
|
Income tax
provision
|
|
9.7
|
|
|
747.8
|
|
|
6.9
|
|
|
743.5
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
(25.5)
|
|
|
(717.6)
|
|
|
(18.7)
|
|
|
(724.5)
|
|
Less: Net income
attributable to noncontrolling interests
|
|
14.9
|
|
|
6.6
|
|
|
31.6
|
|
|
11.5
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
attributable to AK Steel Holding Corporation
|
|
$
|
(40.4)
|
|
|
$
|
(724.2)
|
|
|
$
|
(50.3)
|
|
|
$
|
(736.0)
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted
earnings per share:
|
|
|
|
|
|
|
|
|
Net
income (loss) attributable to AK Steel Holding
Corporation
|
|
$
|
(0.30)
|
|
|
$
|
(6.55)
|
|
|
$
|
(0.37)
|
|
|
$
|
(6.66)
|
|
|
|
|
|
|
|
|
|
|
Weighted-average
shares outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
|
135.8
|
|
|
110.2
|
|
|
135.8
|
|
|
110.1
|
|
Diluted
|
|
135.8
|
|
|
110.2
|
|
|
135.8
|
|
|
110.1
|
|
|
|
|
|
|
|
|
|
|
Dividends declared
and paid per share
|
|
$
|
—
|
|
|
$
|
0.05
|
|
|
$
|
—
|
|
|
$
|
0.10
|
|
AK STEEL HOLDING
CORPORATION
|
CONSOLIDATED
BALANCE SHEETS
|
(Unaudited)
|
(Dollars in millions,
except per share amounts)
|
|
|
|
|
|
|
|
June 30,
2013
|
|
December 31,
2012
|
ASSETS
|
|
|
|
|
Current
assets:
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
58.4
|
|
|
$
|
227.0
|
|
Accounts receivable,
net
|
|
515.8
|
|
|
473.9
|
|
Inventory,
net
|
|
677.0
|
|
|
609.2
|
|
Other current
assets
|
|
105.0
|
|
|
132.6
|
|
Total current
assets
|
|
1,356.2
|
|
|
1,442.7
|
|
Property, plant and
equipment
|
|
5,966.7
|
|
|
5,943.9
|
|
Accumulated
depreciation
|
|
(4,028.0)
|
|
|
(3,931.6)
|
|
Property, plant and
equipment, net
|
|
1,938.7
|
|
|
2,012.3
|
|
Other non-current
assets
|
|
477.8
|
|
|
448.1
|
|
TOTAL
ASSETS
|
|
$
|
3,772.7
|
|
|
$
|
3,903.1
|
|
|
|
|
|
|
LIABILITIES AND
EQUITY (DEFICIT)
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
Short-term borrowings
under credit facility
|
|
$
|
40.0
|
|
|
$
|
—
|
|
Accounts
payable
|
|
595.3
|
|
|
538.3
|
|
Accrued
liabilities
|
|
141.7
|
|
|
164.8
|
|
Current portion of
long-term debt
|
|
0.7
|
|
|
0.7
|
|
Current portion of
pension and other postretirement benefit obligations
|
|
105.2
|
|
|
108.6
|
|
Total current
liabilities
|
|
882.9
|
|
|
812.4
|
|
Long-term
debt
|
|
1,414.7
|
|
|
1,411.2
|
|
Pension and other
postretirement benefit obligations
|
|
1,548.1
|
|
|
1,661.7
|
|
Other non-current
liabilities
|
|
108.0
|
|
|
108.8
|
|
TOTAL
LIABILITIES
|
|
3,953.7
|
|
|
3,994.1
|
|
|
|
|
|
|
Equity
(deficit):
|
|
|
|
|
Common
stock, authorized 200,000,000 shares of $.01 par value each; issued
149,610,870 and 149,094,571 shares in 2013 and 2012; outstanding
136,301,925 and 135,944,172 shares in 2013 and 2012
|
|
1.5
|
|
|
1.5
|
|
Additional paid-in
capital
|
|
2,075.4
|
|
|
2,069.7
|
|
Treasury
stock, common shares at cost, 13,308,945 and 13,150,399 shares in
2013 and 2012
|
|
(174.0)
|
|
|
(173.3)
|
|
Accumulated
deficit
|
|
(2,454.6)
|
|
|
(2,404.3)
|
|
Accumulated other
comprehensive income (loss)
|
|
(47.5)
|
|
|
1.1
|
|
Total
stockholders' equity (deficit)
|
|
(599.2)
|
|
|
(505.3)
|
|
Noncontrolling
interests
|
|
418.2
|
|
|
414.3
|
|
TOTAL EQUITY
(DEFICIT)
|
|
(181.0)
|
|
|
(91.0)
|
|
TOTAL LIABILITIES
AND EQUITY (DEFICIT)
|
|
$
|
3,772.7
|
|
|
$
|
3,903.1
|
|
AK STEEL HOLDING
CORPORATION
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
(Unaudited)
|
(Dollars in
millions)
|
|
|
|
|
|
Six Months
Ended
|
|
|
June
30,
|
|
|
2013
|
|
2012
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
|
|
|
Net income
(loss)
|
|
$
|
(18.7)
|
|
|
$
|
(724.5)
|
|
Depreciation
|
|
89.6
|
|
|
90.0
|
|
Depreciation—SunCoke
Middletown
|
|
6.9
|
|
|
6.7
|
|
Amortization
|
|
10.7
|
|
|
9.6
|
|
Deferred income
taxes
|
|
5.5
|
|
|
735.0
|
|
Pension and OPEB
expense (income)
|
|
(32.4)
|
|
|
(18.4)
|
|
Contributions to
pension trust
|
|
(71.3)
|
|
|
(170.2)
|
|
Other postretirement
benefit payments
|
|
(32.5)
|
|
|
(33.2)
|
|
Changes in working
capital
|
|
(62.7)
|
|
|
(240.1)
|
|
Changes in working
capital—SunCoke Middletown
|
|
1.1
|
|
|
5.2
|
|
Other operating
items, net
|
|
(0.7)
|
|
|
29.8
|
|
Net cash flows
from operating activities
|
|
(104.5)
|
|
|
(310.1)
|
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES:
|
|
|
|
|
Capital
investments
|
|
(31.0)
|
|
|
(17.9)
|
|
Capital
investments—SunCoke Middletown
|
|
(1.4)
|
|
|
(17.6)
|
|
Investments in
acquired businesses
|
|
(50.0)
|
|
|
—
|
|
Other investing
items, net
|
|
4.8
|
|
|
0.7
|
|
Net cash flows
from investing activities
|
|
(77.6)
|
|
|
(34.8)
|
|
|
|
|
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES:
|
|
|
|
|
Net borrowings under
credit facility
|
|
40.0
|
|
|
75.0
|
|
Proceeds from
issuance of long-term debt
|
|
31.9
|
|
|
373.3
|
|
Redemption of
long-term debt
|
|
(27.0)
|
|
|
(73.7)
|
|
Debt issuance
costs
|
|
(2.4)
|
|
|
(8.4)
|
|
Purchase of treasury
stock
|
|
(0.7)
|
|
|
(1.7)
|
|
Common stock
dividends paid
|
|
—
|
|
|
(11.0)
|
|
SunCoke
Middletown distributions to noncontrolling interest
owners
|
|
(27.6)
|
|
|
(12.8)
|
|
Other financing
items, net
|
|
(0.7)
|
|
|
(0.4)
|
|
Net cash flows
from financing activities
|
|
13.5
|
|
|
340.3
|
|
|
|
|
|
|
Net increase
(decrease) in cash and cash equivalents
|
|
(168.6)
|
|
|
(4.6)
|
|
Cash and cash
equivalents, beginning of period
|
|
227.0
|
|
|
42.0
|
|
Cash and cash
equivalents, end of period
|
|
$
|
58.4
|
|
|
$
|
37.4
|
|
AK STEEL HOLDING
CORPORATION
NON-GAAP FINANCIAL
MEASURES
(Unaudited)
(Dollars in millions)
In certain of its disclosures in this news release, the company
has reported adjusted EBITDA and adjusted net income (loss). The
company has made these adjustments because management believes that
doing so enhances the understanding of the company's financial
results.
EBITDA is an acronym for earnings before interest, taxes,
depreciation and amortization. It is a metric that is sometimes
used to compare the results of companies by removing the effects of
different factors that might otherwise make comparisons inaccurate
or inappropriate. For purposes of this news release, the company
has made an adjustment to EBITDA in order to exclude the effect of
noncontrolling interests. For purposes of this report, "adjusted
EBITDA" is defined as net income (loss) attributable to AK Holding,
plus income tax provision (benefit), net interest expense,
depreciation and amortization. Adjusted EBITDA is presented because
the company believes it is a useful indicator of its performance
and ability to meet debt service and capital expenditure
requirements. It is not, however, intended as an alternative
measure of operating results or cash flow from operations as
determined in accordance with generally accepted accounting
principles. Adjusted EBITDA is not necessarily comparable to
similarly titled measures used by other companies.
Management believes that reporting adjusted net income (loss),
as a total and on a per share basis, which is defined as net income
(loss) with the charge for deferred tax asset valuation allowance
excluded, more clearly reflects the company's current operating
results and provides investors with a better understanding of the
company's overall financial performance. In addition, the adjusted
results, although not a financial measure under GAAP, facilitate
the ability to analyze the company's financial results in relation
to those of its competitors and to the company's prior financial
performance by excluding items which otherwise would distort the
comparison. Also, although the tax valuation charge reduces
reported net income (loss), it is a non-cash charge.
Management views the reported results of adjusted EBITDA and
adjusted net income (loss) as important operating performance
measures and believes that the GAAP financial measure most directly
comparable is net income (loss) (as a total and on a per share
basis). Adjusted EBITDA and adjusted net income (loss) are used by
management as a supplemental financial measure to evaluate the
performance of the business. Management believes that these
non-GAAP measures, when analyzed in conjunction with the company's
GAAP results and the accompanying reconciliations, provide
additional insight into the financial trends of the company's
business versus the GAAP results alone.
Neither current nor potential investors in the company's
securities should rely on the adjusted EBITDA and adjusted net
income (loss) results as a substitute for any GAAP financial
measure and the company encourages current and potential investors
to review the reconciliations of adjusted EBITDA and adjusted net
income (loss) to the comparable GAAP financial measure.
The following schedules reflect the reconciliations of the
non-GAAP quarterly financial measures discussed in this
release:
Reconciliation of
Adjusted EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
Three Months
Ended
|
|
|
June
30,
|
|
June
30,
|
|
Mar
31,
|
(dollars in
millions)
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
2013
|
Net income (loss)
attributable to AK Holding
|
|
$
|
(40.4)
|
|
|
$
|
(724.2)
|
|
|
$
|
(50.3)
|
|
|
$
|
(736.0)
|
|
|
$
|
(9.9)
|
|
Net income
attributable to noncontrolling interests
|
|
14.9
|
|
|
6.6
|
|
|
31.6
|
|
|
11.5
|
|
|
16.7
|
|
Income tax provision
(benefit)
|
|
9.7
|
|
|
747.8
|
|
|
6.9
|
|
|
743.5
|
|
|
(2.8)
|
|
Interest
expense
|
|
32.0
|
|
|
21.8
|
|
|
63.0
|
|
|
38.0
|
|
|
31.0
|
|
Interest
income
|
|
(0.2)
|
|
|
(0.1)
|
|
|
(0.9)
|
|
|
(0.2)
|
|
|
(0.7)
|
|
Depreciation
|
|
47.9
|
|
|
48.4
|
|
|
96.5
|
|
|
96.7
|
|
|
48.6
|
|
Amortization
|
|
2.0
|
|
|
2.3
|
|
|
6.1
|
|
|
9.2
|
|
|
4.1
|
|
EBITDA
|
|
65.9
|
|
|
102.6
|
|
|
152.9
|
|
|
162.7
|
|
|
87.0
|
|
Less: EBITDA of
noncontrolling interests (a)
|
|
18.4
|
|
|
14.3
|
|
|
38.6
|
|
|
25.5
|
|
|
20.2
|
|
Adjusted
EBITDA
|
|
$
|
47.5
|
|
|
$
|
88.3
|
|
|
$
|
114.3
|
|
|
$
|
137.2
|
|
|
$
|
66.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a)
|
The reconciliation of
EBITDA of noncontrolling interests to net income attributable to
noncontrolling interests is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
Three Months
Ended
|
|
|
|
|
|
June
30,
|
|
June
30,
|
|
Mar
31,
|
|
|
|
(dollars in
millions)
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
2013
|
|
|
|
Net income
attributable to noncontrolling interests
|
|
$
|
14.9
|
|
|
$
|
6.6
|
|
|
$
|
31.6
|
|
|
$
|
11.5
|
|
|
$
|
16.7
|
|
|
|
|
Income tax
provision
|
|
—
|
|
|
4.1
|
|
|
—
|
|
|
7.1
|
|
|
—
|
|
|
|
|
Depreciation
|
|
3.5
|
|
|
3.6
|
|
|
7.0
|
|
|
6.9
|
|
|
3.5
|
|
|
|
|
EBITDA of
noncontrolling interests
|
|
$
|
18.4
|
|
|
$
|
14.3
|
|
|
$
|
38.6
|
|
|
$
|
25.5
|
|
|
$
|
20.2
|
|
Reconciliation of
Adjusted Net Income (Loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
Three Months
Ended
|
|
|
June
30,
|
|
June
30,
|
|
Mar
31,
|
(dollars in millions,
except per share)
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
2013
|
Reconciliation to
Net Income (Loss) Attributable to AK Steel Holding
|
|
|
|
|
|
|
|
|
|
|
Adjusted net income
(loss) attributable to AK Steel Holding Corporation
|
|
$
|
(19.7)
|
|
|
$
|
11.4
|
|
|
$
|
(28.5)
|
|
|
$
|
(0.4)
|
|
|
$
|
(8.8)
|
|
Non-cash
income tax charge from change in deferred tax asset valuation
allowance
|
|
(20.7)
|
|
|
(735.6)
|
|
|
(21.8)
|
|
|
(735.6)
|
|
|
(1.1)
|
|
Net income (loss)
attributable to AK Steel Holding Corporation, as
reported
|
|
$
|
(40.4)
|
|
|
$
|
(724.2)
|
|
|
$
|
(50.3)
|
|
|
$
|
(736.0)
|
|
|
$
|
(9.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation to
Basic and Diluted Earnings (Losses) per Share
|
|
|
|
|
|
|
|
|
|
|
Adjusted basic and
diluted earnings (losses) per share
|
|
$
|
(0.15)
|
|
|
$
|
0.10
|
|
|
$
|
(0.21)
|
|
|
$
|
—
|
|
|
$
|
(0.07)
|
|
Non-cash
income tax charge from change in deferred tax asset valuation
allowance
|
|
(0.15)
|
|
|
(6.65)
|
|
|
(0.16)
|
|
|
(6.66)
|
|
|
—
|
|
Basic and diluted
earnings (losses) per share, as reported
|
|
$
|
(0.30)
|
|
|
$
|
(6.55)
|
|
|
$
|
(0.37)
|
|
|
$
|
(6.66)
|
|
|
$
|
(0.07)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AK STEEL HOLDING
CORPORATION
|
STEEL
SHIPMENTS
|
(Unaudited)
|
(Tons in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June
30,
|
|
June
30,
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
Tons Shipped by
Product
|
|
|
|
|
|
|
|
|
Stainless/electrical
|
|
215.1
|
|
|
227.5
|
|
|
419.5
|
|
|
442.4
|
|
Coated
|
|
639.1
|
|
|
597.9
|
|
|
1,216.2
|
|
|
1,181.1
|
|
Cold-rolled
|
|
262.1
|
|
|
277.1
|
|
|
539.5
|
|
|
563.1
|
|
Tubular
|
|
31.5
|
|
|
35.7
|
|
|
63.0
|
|
|
72.0
|
|
Subtotal
value-added shipments
|
|
1,147.8
|
|
|
1,138.2
|
|
|
2,238.2
|
|
|
2,258.6
|
|
Hot-rolled
|
|
151.8
|
|
|
171.6
|
|
|
324.1
|
|
|
342.1
|
|
Secondary
|
|
24.1
|
|
|
26.0
|
|
|
51.2
|
|
|
61.0
|
|
Subtotal non
value-added shipments
|
|
175.9
|
|
|
197.6
|
|
|
375.3
|
|
|
403.1
|
|
Total
shipments
|
|
1,323.7
|
|
|
1,335.8
|
|
|
2,613.5
|
|
|
2,661.7
|
|
|
|
|
|
|
|
|
|
|
Shipments by
Product (%)
|
|
|
|
|
|
|
|
|
Stainless/electrical
|
|
16.2
|
%
|
|
17.0
|
%
|
|
16.1
|
%
|
|
16.6
|
%
|
Coated
|
|
48.3
|
%
|
|
44.8
|
%
|
|
46.5
|
%
|
|
44.4
|
%
|
Cold-rolled
|
|
19.8
|
%
|
|
20.7
|
%
|
|
20.6
|
%
|
|
21.2
|
%
|
Tubular
|
|
2.4
|
%
|
|
2.7
|
%
|
|
2.4
|
%
|
|
2.7
|
%
|
Subtotal
value-added shipments
|
|
86.7
|
%
|
|
85.2
|
%
|
|
85.6
|
%
|
|
84.9
|
%
|
Hot-rolled
|
|
11.5
|
%
|
|
12.8
|
%
|
|
12.4
|
%
|
|
12.9
|
%
|
Secondary
|
|
1.8
|
%
|
|
2.0
|
%
|
|
2.0
|
%
|
|
2.2
|
%
|
Subtotal non
value-added shipments
|
|
13.3
|
%
|
|
14.8
|
%
|
|
14.4
|
%
|
|
15.1
|
%
|
Total
shipments
|
|
100.0
|
%
|
|
100.0
|
%
|
|
100.0
|
%
|
|
100.0
|
%
|
SOURCE AK Steel