SEACOR Holdings Inc. Provides Historical Financial Information to Present Era Group Inc. as a Discontinued Operation

Seacor Holdings Press Release Apr 11 2013

FORT LAUDERDALE, FL -- (Marketwired) -- 04/11/13 -- On January 31, 2013, SEACOR Holdings Inc. ("SEACOR") (NYSE: CKH) completed the spin-off of its former aviation services business segment by means of a dividend to SEACOR's stockholders of all the issued and outstanding common stock (the "Spin-off") of Era Group Inc. ("Era Group"). Era Group filed a Registration Statement on Form 10 with the Securities and Exchange Commission ("SEC") that was declared effective on January 14, 2013. Prior to the Spin-off, SEACOR and Era Group entered into a Distribution Agreement and several other agreements that govern the post-Spin-off relationship. Era Group is now an independent public company whose common stock is listed on the New York Stock Exchange under the symbol "ERA."

For informational purposes, the accompanying consolidated balance sheets of SEACOR as of December 31, 2012, 2011, 2010, 2009 and 2008, and the related consolidated statements of income and cash flows for each of the five years in the period ended December 31, 2012, present Era Group as a discontinued operation in addition to the operations previously reported as discontinued in SEACOR's most recent Annual Report on Form 10-K filed with the SEC on February 27, 2013.

SEACOR is a global provider of equipment and services primarily supporting the offshore oil and gas and marine transportation industries. SEACOR offers customers a diversified suite of services including offshore marine, inland river and shipping. SEACOR is focused on providing highly responsive local service combined with the highest safety standards, innovative technology, modern, efficient equipment and dedicated professional employees. SEACOR is publicly traded on the New York Stock Exchange (NYSE) under the symbol CKH.

Certain statements discussed in this release as well as in other reports, materials and oral statements that the Company releases from time to time to the public constitute "forward-looking statements"within the meaning of the Private Securities Litigation Reform Act of 1995. Generally, words such as "anticipate,""estimate,""expect,""project,""intend,""believe,""plan,""target,""forecast"and similar expressions are intended to identify forward-looking statements. Such forward-looking statements concern management's expectations, strategic objectives, business prospects, anticipated economic performance and financial condition and other similar matters. These statements are not guarantees of future performance and actual events or results may differ significantly from these statements. Actual events or results are subject to significant known and unknown risks, uncertainties and other important factors, including decreased demand and loss of revenues as a result of U.S. government implemented moratoriums directing operators to cease certain drilling activities and any extension of such moratoriums (the "Moratoriums"), weakening demand for the Company's services as a result of unplanned customer suspensions, cancellations, rate reductions or non-renewals of vessel charters or failures to finalize commitments to charter vessels in response to Moratoriums, increased government legislation and regulation of the Company's businesses could increase cost of operations, increased competition if the Jones Act is repealed, liability, legal fees and costs in connection with the provision of emergency response services, including the Company's involvement in response to the oil spill as a result of the sinking of the Deepwater Horizon in April 2010, decreased demand for the Company's services as a result of declines in the global economy, declines in valuations in the global financial markets and a lack of liquidity in the credit sectors, including, interest rate fluctuations, availability of credit, inflation rates, change in laws, trade barriers, commodity prices and currency exchange fluctuations, the cyclical nature of the oil and gas industry, activity in foreign countries and changes in foreign political, military and economic conditions, changes in foreign and domestic oil and gas exploration and production activity, safety record requirements related to Offshore Marine Services and Shipping Services, decreased demand for Shipping Services due to construction of additional refined petroleum product, natural gas or crude oil pipelines or due to decreased demand for refined petroleum products, crude oil or chemical products or a change in existing methods of delivery, compliance with U.S. and foreign government laws and regulations, including environmental laws and regulations, the dependence of Offshore Marine Services and Shipping Services on several customers, consolidation of the Company's customer base, the ongoing need to replace aging vessels, industry fleet capacity, restrictions imposed by the Shipping Acts on the amount of foreign ownership of the Company's Common Stock, operational risks of Offshore Marine Services and Shipping Services, effects of adverse weather conditions and seasonality, the level of grain export volume, the effect of fuel prices on barge towing costs, variability in freight rates for inland river barges, the effect of international economic and political factors in Inland River Services' operations, sudden and unexpected changes in commodity prices, futures and options, global weather conditions, political instability, changes in currency exchanges rates, and product availability in agriculture commodity trading and logistics activities, adequacy of insurance coverage, the attraction and retention of qualified personnel by the Company, and various other matters and factors, many of which are beyond the Company's control as well as those discussed in Item 1A (Risk Factors) of the Company's Annual report on Form 10-K. In addition, these statements constitute the Company's cautionary statements under the Private Securities Litigation Reform Act of 1995. It should be understood that it is not possible to predict or identify all such factors. Consequently, the following should not be considered to be a complete discussion of all potential risks or uncertainties. Forward-looking statements speak only as of the date of the document in which they are made. The Company disclaims any obligation or undertaking to provide any updates or revisions to any forward-looking statement to reflect any change in the Company's expectations or any change in events, conditions or circumstances on which the forward-looking statement is based, except as required by law. It is advisable, however, to consult any further disclosures the Company makes on related subjects in its filings with the Securities and Exchange Commission, including Quarterly Reports on Form 10-Q and Current Reports on Form 8-K (if any).

(in thousands, unaudited)
December 31,
Current Assets:
Cash and cash equivalents$248,204$381,482$354,563$451,041$264,761
Restricted cash28,28521,28112,65134,01420,787
Marketable securities21,66866,898147,40968,13953,817
Trade, net of allowance for doubtful accounts224,944231,288216,297231,698204,814
Deferred income taxes3,5309,0074,1273,1584,363
Prepaid expenses and other12,7197,3117,7296,4706,559
Discontinued operations108,153266,691328,657143,743115,981
Total current assets718,6241,040,5471,144,8021,043,917749,478
Property and Equipment:
Historical cost2,238,3831,986,7311,873,0012,050,7131,988,093
Accumulated depreciation(763,803)(665,553)(620,161)(586,118)(473,571)
Construction in progress110,296119,47970,12357,73897,145
Net property and equipment1,584,8761,440,6571,322,9631,522,3331,611,667
Investments, at Equity, and Advances to 50% or Less Owned Companies272,535199,490152,315158,306120,808
Construction Reserve Funds & Title XI Reserve Funds195,629259,974323,885289,750305,757
Intangible Assets, Net15,30521,52819,74523,43028,250
Other Assets55,12386,96150,25637,70433,148
Discontinued Operations840,724822,275693,010601,974567,427
Current Liabilities:
Current portion of long-term debt$21,920$38,304$11,928$36,231$33,257
Current portion of capital lease obligations2,9002,3681,030966907
Accounts payable and accrued expenses107,892133,743146,479113,04980,819
Accrued wages and benefits19,30326,92427,05321,16426,187
Accrued interest5,2267,7227,6118,3649,938
Accrued income taxes8,08915,84215,04216,97716,862
Short sales of marketable securities8,27722,61236,07618,4422,938
Accrued capital, repair and maintenance expenditures8,0137,4907,4627,52215,528
Deferred revenues6,5929,84520,82912,9063,083
Other current liabilities37,59347,11249,00337,72344,052
Discontinued operations39,83689,564213,00041,76843,230
Total current liabilities265,641401,526535,513315,112276,801
Long-Term Debt655,309710,352661,542748,503895,296
Capital Lease Obligations593,0685,4936,6247,685
Deferred Income Taxes426,027420,591434,043486,724459,683
Deferred Gains and Other Liabilities120,342134,925147,477103,568112,738
Discontinued Operations490,741449,609178,95697,19765,223
Total liabilities1,958,1192,120,0711,963,0241,757,7281,817,426
SEACOR Holdings Inc. stockholders' equity:
Preferred stock----------
Common stock367364361356324
Additional paid-in capital1,330,3241,256,2091,225,2961,182,023956,457
Retained earnings1,473,5091,512,6791,471,6231,546,5811,402,771
Shares held in treasury, at cost(1,088,560)(971,687)(903,004)(768,438)(724,357)
Accumulated other comprehensive loss, net of tax(1,986)(7,958)(7,039)(3,260)(5,045)
Noncontrolling interests in subsidiaries29,02118,45610,1288,62912,078
Total equity1,742,6751,808,0631,797,3651,965,8911,642,228
(in thousands, except share data, unaudited)
For the years ended December 31,
Operating Revenues$1,308,297$1,032,497$1,173,502$1,109,641$1,218,013
Costs and Expenses:
Administrative and general166,743131,772140,665119,728134,619
Depreciation and amortization131,667106,873113,774117,419114,910
Gains on Asset Dispositions and Impairments, Net23,98718,83943,97727,55784,256
Operating Income56,40567,138243,099195,131324,534
Other Income (Expense):
Interest income17,36012,8798,7404,14819,470
Interest expense(37,891)(39,759)(43,776)(58,939)(59,729)
Debt extinguishment gains (losses), net(160)(99)(1,460)(5,587)6,265
Marketable security gains (losses), net12,891(7,893)(2,159)24,05930,105
Derivative gains (losses), net(2,812)(30,055)6,8427,288(13,433)
Foreign currency gains (losses), net1,631540(4,551)6,569(7,798)
Other, net7,1481,0183,659244275
Income from Continuing Operations Before Income Tax Expense (Benefit) and Equity in Earnings (Losses) of 50% or Less Owned Companies54,5723,769210,394172,913299,689
Income Tax Expense (Benefit):
Income from Continuing Operations Before Equity in Earnings (Losses) of 50% or Less Owned Companies30,391459130,589106,428196,049
Equity in Earnings (Losses) of 50% or Less Owned Companies, Net of Tax(5,764)9,90812,63312,84311,914
Income from Continuing Operations24,62710,367143,222119,271207,963
Income from Discontinued Operations, Net of Tax35,83231,783102,76225,83211,460
Net Income60,45942,150245,984145,103219,423
Net Income (Loss) attributable to Noncontrolling Interests in Subsidiaries(756)1,0941,2601,293880
Net Income attributable to SEACOR Holdings Inc.$61,215$41,056$244,724$143,810$218,543
Net Income attributable to SEACOR Holdings Inc.:
Continuing operations$25,343$9,273$141,962$117,978$207,083
Discontinued operations35,87231,783102,76225,83211,460
Basic Earnings Per Common Share of SEACOR Holdings Inc.:
Continuing operations$1.24$0.44$6.63$5.91$9.91
Discontinued operations1.761.504.801.300.55
Diluted Earnings Per Common Share of SEACOR Holdings Inc.:
Continuing operations$1.22$0.43$6.52$5.47$8.79
Discontinued operations1.731.484.731.100.46
Weighted Average Common Shares Outstanding:
Common Shares Outstanding at Period End19,887,93320,933,11621,399,50822,612,82620,017,547
Special Cash Dividend Declared and Paid Per Common Share of SEACOR Holdings Inc.$5.00$--$15.00$--$--
(in thousands, unaudited)
For the years ended December 31,
Cash Flows from Operating Activities of Continuing Operations:
Income from Continuing Operations$24,627$10,367$143,222$119,271$207,963
Adjustments to reconcile income from continuing operations to net cash provided by operating activities of continuing operations:
Depreciation and amortization131,667106,873113,774117,419114,910
Amortization of deferred gains on sale and leaseback transactions(16,652)(22,191)(17,819)(16,960)(16,552)
Debt discount amortization, net1,2668287687,4485,852
Amortization of share awards32,93021,58919,25412,99312,199
Director stock awards357359303380450
Bad debt expense (income)1,311(56)3042,1941,446
Gains on asset dispositions and impairments, net(23,987)(18,839)(43,977)(27,557)(84,256)
Debt extinguishment (gains) losses, net160991,4605,587(6,265)
Marketable security (gains) losses, net(12,891)7,8932,159(24,059)(30,105)
Purchases of marketable securities(40,396)(117,145)(107,716)(35,523)(60,288)
Proceeds from sale of marketable securities36,537178,01644,99261,59524,168
Derivative (gains) losses, net2,81230,055(6,842)(7,288)13,433
Cash settlements on derivative transactions, net(11,868)(20,636)(6,858)5,956(11,310)
Foreign currency (gains) losses, net(1,631)(540)4,551(6,569)7,798
Deferred income tax expense (benefit)(23,401)(27,259)(53,929)30,05619,218
Equity in (earnings) losses of 50% or less owned companies, net of tax5,764(9,908)(12,633)(12,843)(11,914)
Dividends received from 50% or less owned companies6,6068,34617,91215,92010,384
Other, net542484(280)1,0681,041
Changes in operating assets and liabilities:
(Increase) decrease in receivables18,775(18,562)25,147(55,029)8,518
(Increase) decrease in prepaid expenses and other assets6,655(1,672)26,53611,61819,271
Increase (decrease) in accounts payable, accrued expenses and other liabilities(57,696)(13,473)67,02021,1566,644
Net cash provided by operating activities of continuing operations81,487114,628217,348226,833232,605
Cash Flows from Investing Activities of Continuing Operations:
Purchases of property and equipment(239,350)(165,264)(112,629)(82,407)(198,913)
Proceeds from disposition of property and equipment114,03275,733359,41477,124154,520
Purchases of marketable securities--------(212,590)
Proceeds from sale of marketable securities--------141,886
Cash settlements on derivative transactions, net--------(1,245)
Investments in and advances to 50% or less owned companies(45,572)(41,313)(55,462)(27,453)(14,043)
Return of investments and advances from 50% or less owned companies87,27522,42214,1601,9222,212
Proceeds on sale of investments in 50% or less owned companies------136--
Net advances on revolving credit line to 50% or less owned companies(300)(4,339)(9,067)----
(Advances) principal payments on third party notes receivable, net32,634(35,724)(5,342)2,433(6,222)
Net (increase) decrease in restricted cash(7,004)(8,630)21,363(13,227)9,837
Net (increase) decrease in construction reserve funds and title XI funds64,34563,911(34,135)16,00799,243
Repayments on (investments in) leases, net3,3998,982(15,031)(1,667)59
Business acquisitions, net of cash acquired(148,088)(90,588)(5,602)(4,112)(5,622)
Cash disposed on sale of subsidiary, net of cash proceeds on sale------(154)--
Net cash provided by (used in) investing activities of continuing operations(138,629)(174,810)157,669(31,398)(30,878)
Cash Flows from Financing Activities of Continuing Operations:
Payments on long-term debt and capital lease obligations(484,153)(36,898)(92,755)(311,814)(177,030)
Net borrowings (repayments) under inventory financing arrangements(14,600)20,210(21,647)2,200--
Proceeds from issuance of long-term debt, net of offering costs414,05152,877--349,297111,250
Purchase of conversion option in convertible debt------(2,030)--
Proceeds from issuance of conversion option in convertible debt, net of offering costs48,245--------
Special Cash Dividend(100,385)--(319,682)----
Common stock acquired for treasury(119,551)(71,290)(137,068)(45,854)(240,069)
Proceeds and tax benefits from share award plans11,68311,88826,2255,7426,655
Purchase of subsidiary shares from noncontrolling interests--(1,149)(39)(1,210)--
Cash received from (dividends paid to) noncontrolling interests, net(2,818)(915)285(2,257)1,632
Net cash used in financing activities of continuing operations(247,528)(25,277)(544,681)(5,926)(297,562)
Effects of Exchange Rate Changes on Cash and Cash Equivalents2,0871,517(6,314)2,169(8,355)
Net Increase (Decrease) in Cash and Cash Equivalents from Continuing Operations(302,583)(83,942)(175,978)191,678(104,190)
Cash Flows from Discontinued Operations:
Operating Activities189,21621,305181,46766,60354,693
Investing Activities(7,665)(157,146)(138,441)(70,302)(215,546)
Financing Activities(12,919)246,26038,170(401)(898)
Effect of Exchange Rate Changes on Cash and Cash Equivalents673442(1,696)(1,298)(248)
Net Increase (Decrease) in Cash and Cash Equivalents from Discontinued Operations169,305110,86179,500(5,398)(161,999)
Net Increase (Decrease) in Cash and Cash Equivalents(133,278)26,919(96,478)186,280(266,189)
Cash and Cash Equivalents, Beginning of Year381,482354,563451,041264,761530,950
Cash and Cash Equivalents, End of Year$248,204$381,482$354,563$451,041$264,761

For additional information, contact:
Molly Hottinger
(954) 627-5278

Source: SEACOR Holdings Inc.

Date released: Apr 11 2013