EX-99.4 5 y04075exv99w4.htm EX-99.4 exv99w4
Exhibit 99.4
Asia Pacific Wire & Cable Corporation Limited
Room B 7/Fl., No. 132, Sec. 3, Min-sheng East Road, Taipei, 105, Taiwan, ROC
Tel: (886) 2-2712-2558, Fax: (886) 2-2712-3557
     
 
FOR IMMEDIATE RELEASE
September 2, 2010

-1-


 

UPDATED: Asia Pacific Wire & Cable Corporation Announces First Half year 2010 Financial Results and AGM
— Revenues Increase by 39.9% and Net Income Increases by More than 95% Versus Year-Ago
     TAIPEI, Taiwan, Sept. 2 / PRNewswire-Asia-First Call/ — Asia Pacific Wire & Cable Corporation Limited (OTC Bulletin Board: AWRCF) (“APWC” or the “Company”) updates its unaudited consolidated results for the 1H ended June 30, 2010. The original release was issued earlier today.
     1H 2010 Financial Highlights
     The Company reported that the strong momentum in the first quarter of 2010 continued through the second quarter, and demand for our products continued to remain strong-particularly for enameled wire and power cable. During the first half of the year, the copper price has remained within a stable range. The majority of our products and services are used in industrial, power and telecommunications infrastructure in the growing Asia-Pacific region.
    Revenues in the first half ended June 30, 2010 were $210.9 million, a 39.9% increase over the year-ago period
 
    Gross profit was $25.6 million in the first half of 2010, versus $20.4 million in the year-ago period
 
    Net income attributable to APWC shareholders was $7.4 million, versus $3.8 million in the year-ago period
     First-Half 2010 Results

-2-


 

     Revenues in the first half ended June 30, 2010 were $210.9 million, a 39.9% increase over the year-ago period. Gross profit was $25.6 million in the first half of 2010, versus $20.4 million in the year-ago period, representing a gross margin of 12.2% versus 13.5%, respectively. Operating income in the first half of 2010 was $12.2 million, versus $4.7 million in the year-ago period, an increase of 259.6%. SG&A expenses were down by 1.2 million, when compared with same period last year at 14.2 million. Bad debt allowances were also reduced by 1 million. This is primarily due to the fact that the Company continued to tighten cost controls into second quarter, particularly in the areas of inventory, expenses, and account receivable collections. Net income attributable to APWC shareholders was $7.4 million versus $3.8 million in the year-ago period, an increase of 94.7%. Net income per basic and diluted share was $0.54 in the first half of 2010, versus $0.27 in the year-ago period, a 200% increase.
     Financial Conditions
     As of June 30, 2010, the Company had $43.2 million in cash and cash equivalents, compared to $41.5 million as of December 31, 2009. Total current assets were $266.0 million as of June 30, 2010, compared to $239.0 million at the end of 2009, and total current liabilities were $126.5 million as of June 30, 2010, compared to $111.9 million at the end of 2009. Working capital was $139.5 million as of June 30, 2010, versus $127.1 million at the end of 2009. Shareholders’ equity attributable to APWC was $134.7 million, compared to $127.4 million at the end of 2009. Net book value per share attributable to APWC increased from $9.21 in the year ago to $9.74 by $0.53, an improvement of 5.8%.
     Annual General Meeting
     In addition, the Company announces its annual general meeting of shareholders as follows:
     Date: Friday, September 3, 2010
     Time: 9:00 p.m. (Taipei time) / 9:00 a.m. (New York time)
     Location: 132 Min-Sheng East Road, Section 3, Room B, 7th Fl., Taipei, 105 Taiwan, ROC
     The Meeting is being held for the purposes below, and additional details will be provided in the Notice of Meeting and related proxy statement that will be provided to shareholders.
  1.   To read and approve the written record of the last Annual General Meeting of the Shareholders held on September 29, 2009;
 
  2.   To approve the reappointment of Ernst & Young LLP as the independent auditor for the current fiscal year;
 
  3.   To elect ten (10) members of the Board of Directors, each for a term ending on the date of the next Annual General Meeting;
 
  4.   To approve the compensation to be paid to the Directors; and
 
  5.   To transact such other business as may properly come before the Meeting or any adjournment or postponement thereof.
     The Company is announcing a record date of July 30, 2010 for shareholders who wish to vote at the Annual General Meeting. All

-3-


 

shareholders of record as of July 30th shall be entitled to one vote per share on all matters put to shareholders at the Annual General Meeting, all as more fully described in the Notice of Meeting and related proxy statement that will be provided to shareholders of record.
     Shareholders not able to attend the Meeting in person will be invited to participate by conference telephone by dialing into the Meeting on one of the conference call-in numbers that will be provided in the Notice of Meeting.
     Upcoming Events
     The Company will attend the Brean Hurray, Carret & Co. 2010 China Growth Conference in New York, City from November 17 — 18, 2010. Management will be available for one-on-one meetings at the conference.
     About Asia Pacific Wire & Cable Corporation
     Asia Pacific Wire & Cable Corporation is a leading manufacturer and distributor of telecommunications (copper and fiber-optic) and power cable and enameled-wire products in the Asia-Pacific region, primarily in China, Thailand, Singapore and Australia. For more information on the Company, visit http:/www.apwcc.com. Information on the Company’s Web site or any other Web site does not constitute a portion of this release.
     Safe Harbor Statement
     This release contains certain “forward-looking statements” relating to the Company, and its business, and its subsidiary companies. These forward looking statements are often identified by the use of forward-looking terminology such as “believes”, “expects” or similar expressions. Such forward looking statements involve known and unknown risks and uncertainties that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company’s periodic reports that are filed with the Securities and Exchange Commission and available on its website (www.sec.gov). All forward-looking statements attributable to the Company or to persons acting on its behalf are expressly qualified in their entirety by these factors other than as required under the securities laws. The Company does not assume a duty to update these forward-looking statements.
(financial tables follow)

-4-


 

ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AKD SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousand U.S. Dollars)
                 
    (Audited)     (Unaudited)  
    June 30,     December 31,  
    2010     2009  
ASSETS
               
CURRENT ASSETS:
               
Cash and cash equivalents
  $ 43,220     $ 41,534  
Unrestricted short-term bank deposits
           
Restricted short-term bank deposits
    20,139       13,145  
Accounts receivable
    106,685       101,849  
Amounts due from related parties
    8,887       5,664  
Inventories
    79,554       69,047  
Investments
    65       106  
Deferred tax assets
    1,951       2,595  
Prepaid expenses
    4,594       3,928  
Other current assets
    912       1,180  
 
               
Total current assets
    266,007       239,048  
 
               
Total property, plant and equipment (net)
    42,876       43,640  
 
               
OTHER ASSETS:
               
Long term investments
    598       580  
Investment in equity investees
    3,238       3,263  
Goodwill
    8,801       8,801  
Other assets
    141       107  
Deferred tax assets
    1,971       613  
 
    14,749       13,364  
 
               
TOTAL ASSETS
  $ 323,632     $ 296,052  
 
               
LIABILITIES AND SHAREHOLDERS’ EQUITY
               
 
               
CURRENT LIABILITIES:
               
Bank loans and overdrafts
  $ 58,689     $ 37,185  
Accounts payable
    27,076       33,706  
Accrued expenses
    8,873       9,244  
Amounts due to related parties
    17,175       17,487  
Short-term loans from immediate holding
    1,732       1,732  
Income taxes
    7,173       7,059  
Current portion of long-term debt
           
Deferred tax liabilities
    35        
Other current liabilities
    5,795       5,496  
 
               
Total current liabilities
    126,548       111,909  
 
               
Other liabilities
    889       546  
Deferred tax liabilities
    1,352       1,005  
 
               
Total liabilities
    128,789       113,460  
 
               
SHAREHOLDERS’ EQUITY:
               
Common stock, $0.01 par value; Authorized shares - 50,000,000 shares
               
Issued and outstanding shares -13,830,769 in 2008 and 2009
    138       138  
Additional paid-in capital
    111,541       111,541  
Retained earnings
    33,346       25,909  
Accumulated other comprehensive loss
    (10,313 )     (10,196 )
 
               
Total APWC shareholders’ equity
    134,712       127,392  
 
               
Non-controlling Interests
    60,131       55,200  
 
               
Total shareholders’ Equity
  $ 194,843     $ 182,592  
 
               
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY
  $ 323,632     $ 296,052  
 
               
NET BOOK VALUE PER SHARE
  $ 9.74     $ 9.21  
 
               
ISSUED AND OUTSTANDING SHARES
    13,830,769       13,830,769  

-5-


 

ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND
SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousand U.S. Dollars, except share data)
                 
    Six Months Ending  
    June 30,  
    (unaudited)  
    2010     2009  
Net Sales
  $ 210,875     $ 150,684  
Cost of Sales
    (185,245 )     (130,308 )
Gross Profit
    25,630       20,376  
 
               
Selling, general and administrative expenses
    (13,058 )     (14,210 )
Provision for doubtful debts
    (400 )     (1,414 )
Impairment loss of long-lived assets
          (76 )
Income from Operations
    12,172       4,676  
Exchange gain (loss), net
    1,141       (120 )
Interest income
    249       218  
Interest expense
    (1,200 )     (1,433 )
Share of net gain (loss) of equity investees
    (25 )     13  
Gain on share issuance by subsidiaries and affiliates
           
Impairment of investment
           
Gain on disposal of subsidiaries
          554  
Other income
    469       640  
Income Before Taxes and Noncontrolling
               
Interest
    12,806       4,548  
 
               
Income taxes
    (1,588 )     1,958  
 
               
Net Income
    11,218       6,506  
 
               
Less: Income attributable to the non-controlling interests
    (3,780 )     (2,709 )
 
               
Net Income Attributable to APWC
    7,438       3,797  
 
               
Basic and Diluted Income Per Share
  $ 0.54     $ 0.27  
 
               
Basic and Diluted Weighted Average Common Shares Outstanding
    13,830,769       13,830,769  

-6-


 

ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands of US Dollars)
                 
    Audited     (Unaudited)  
    December 31,     June 30,  
    2009     2010  
Net cash provided by (used in) operating activities
    18,407       (9,906 )
Net cash provided by investing activities
    7,877       (8,753
Net cash provided by (used in) financing activities
    (21,710 )     20,981  
Effect of exchange rate changes on cash and cash equivalents
    (550 )     (636 )
Net increase in cash and cash equivalents
    4,024       1,686  
Cash and cash equivalents at beginning of period
    37,510       341,534  
Cash and cash equivalents at end of period
  $ 41,534     $ 43,220  

-7-


 

For more information, please contact:
Company Contact:
Asia Pacific Wire & Cable Corporation Limited
Mr. Frank Tseng, CFO
Phone: +886-2-2712-2558 x66
Email: frank.tseng@apwcc.com
Web:  http://www.apwcc.Com
Investor Relations Contact:
CCG Investor Relations
Mr. John Harmon, Senior Account Manager
Phone; +1-646-333-3424 (New York)
Email:   john.harmon@ccgir.com
Web:   http://www.ccgir.com
SOURCE Asia Pacific Wire & Cable Corporation Limited
-0- 09/02/2010
/CONTACT; Frank Tseng, CFO of Asia Pacific Wire & Cable Corporation Limited, +886-2-2712-2558 x66, frank.tsengaapwcc.com; or Investor Relations,
John Harmon, Senior Account Manager of CCG Investor Relations, +1-645-833-3424
[New York), john.harmon@ccgir.com/
/Web site: http://www.apwcc.com/
(AWRCF AWRCF.OB)

-8-