h.b. fuller co. (FUL) Key Developments
H.B. Fuller Approves Job Reductions
Nov 26 14
H.B. Fuller announced that it approved a termination and exit plan whereby it will lay off an undisclosed number of workers across all operating segments and take $3.7 million in after-tax charges, which will be spread across the next several quarters.
H.B. Fuller Company Enters Credit Agreement with JP Morgan Chase Bank, N.A., U.S. Bank National Association, Citibank, N.A., Morgan Stanley MUFG Loan Partners, LLC and Various Financial Institutions
Nov 6 14
On October 31, 2014, H.B. Fuller Company entered into a credit agreement with JP Morgan Chase Bank, N.A., as administrative agent, U.S. Bank National Association, Citibank, N.A. and Morgan Stanley MUFG Loan Partners, LLC, as co-syndication agents, and various financial institutions. The Credit Agreement establishes a $300 million multi-currency revolving credit facility and a $300 million term credit facility that the company can use to repay existing indebtedness, finance working capital needs, and for general corporate purposes of the company and its subsidiaries, including the acquisition of Tonsan Adhesive Inc. pursuant to an Equity Purchase Agreement dated June 24, 2014. The term credit facility may be drawn in not more than two tranches through the date that is 270 days after the effective date of the Credit Agreement. The credit facility replaces the company’s existing revolving credit facilities and expires on October 31, 2019, at which time the revolving credit loans mature. The company must repay the term loans on a quarterly basis (on the last day of each of March, June, September, and December), ending on June 30, 2019, in an aggregate amount equal to between 42.50% and 46.25% of the term loans, depending on the timing and amount of the Term Loan advances. The remaining amount of the term loans is due and payable on October 31, 2019. Subject to certain conditions, the company may prepay amounts due under the Credit Agreement. The Credit Agreement allows the company to borrow at interest rates that include, at the company’s option, (i) a spread over a floating rate equal to the great of the prime rate, the federal funds effective rate from time to time plus one-half of 1%, and the Adjusted LIBO Rate for a one month interest period plus 1%, or (ii) a spread over a fixed rate equal to the 1-, 2-, 3 or 6-month Adjusted LIBO Rate. The interest rate spread is determined by the rating of the company’s senior, unsecured, long-term debt.
H.B. Fuller Company Declares Regular Quarterly Cash Dividend, Payable on October 30, 2014
Oct 2 14
H.B. Fuller Company announced that its Board of Directors declared a regular quarterly cash dividend of $0.12 per share of common stock. The dividend is payable on October 30, 2014 to shareholders of record at the close of business on October 16, 2014.
HB Fuller Co. Announces Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended August 30, 2014; Provides Earnings Guidance for the Fourth Quarter of 2014; Revises Capital Expenditure Guidance for the Full Year of 2014
Sep 24 14
HB Fuller Co. announced unaudited consolidated earnings results for the third quarter and nine months ended August 30, 2014. For the quarter, the company reported net revenue of $526,765,000 compared to $514,579,000 a year ago. Income from continuing operations before income taxes and income from equity method investments was $10,451,000 compared to $35,503,000 a year ago. Income from continuing operations was $4,084,000 or $0.08 per diluted share compared to $27,150,000 or $0.53 per diluted share a year ago. Net income attributable to the company was $3,987,000 or $0.08 per diluted share compared to $28,269,000 or $0.55 per diluted share a year ago. EBITDA was $45,314,000 compared to $68,288,000 a year ago. Adjusted income before income taxes and income from equity method investments was $32,674,000. Adjusted net income attributable to the company was $21,679,000 or $0.42 per diluted share compared to $37,669,000 or $0.74 per diluted share a year ago. Cash flow from operations was positive $21 million in the third quarter. Capital expenditures were $34 million in the third quarter, with the bulk of this spending related to ongoing business integration activities and to support Project ONE.
For the nine months, the company reported net revenue of $1,556,780,000 compared to $1,513,437,000 a year ago. Income from continuing operations before income taxes and income from equity method investments was $57,568,000 compared to $96,226,000 a year ago. Income from continuing operations was $39,359,000 or $0.76 per diluted share compared to $73,972,000 or $1.44 per diluted share a year ago. Net income attributable to the company was $39,095,000 or $0.76 per diluted share compared to $74,875,000 or $1.47 per diluted share a year ago. EBITDA was $159,008,000 compared to $186,017,000 a year ago. Adjusted income before income taxes and income from equity method investments was $117,707,000. Adjusted net income attributable to the company was $86,823,000 or $1.69 per diluted share compared to $96,884,000 or $1.90 per diluted share a year ago.
The company is establishing fourth quarter 2014 adjusted diluted EPS guidance at a range of between $0.60 and $0.70. Forward projection of core tax rate remains at 29%; however, due to the shift in geographic mix of profitability, The company expects core tax rate in fourth quarter of this year to be about 32%.
The company revised full year capital expenditure forecast to $135 million.
HB Fuller Co. to Report Q3, 2014 Results on Sep 24, 2014
Sep 22 14
HB Fuller Co. announced that they will report Q3, 2014 results After-Market on Sep 24, 2014