Reptron Electronics, Inc. reports Q3
Nov 10, 2004
Company announces new board member
Reptron Electronics, Inc. (OTC Bulletin Board: RPRN) reported financial results for its third-quarter and nine months ended September 30, 2004. As previously reported, Reptron sold certain identified assets of its electronic components distribution division on June 13, 2003. Additionally, the Company sold certain assets of its memory module division on October 27, 2003. The 2003 results have been adjusted to reflect the remaining operations while segregating and summarizing the electronic components distribution and memory module divisions as discontinued operations.
Reptron filed a voluntary petition for reorganization under Chapter 11 of the U.S. Bankruptcy Code on October 28, 2003. The Plan of Reorganization was confirmed by the U.S. Bankruptcy Court on January 14, 2004 and became effective on February 3, 2004 allowing the Company to emerge from bankruptcy. Expenses incurred through the reorganization process have been segregated and summarized as Reorganization Costs. Additionally, the difference between the fair market value of new common stock issued and new debt issued when compared to the debt discharged as outlined in the Plan of Reorganization has been summarized as a Reorganization Gain on Debt Discharge. Also, as a result of the reorganization, January 2004 operations are presented as "Predecessor" while the eight month period ended September 30, 2004 is presented as "Reorganized." The accompanying financial tables provide financial information relative to these periods. However, for discussion purposes below, the nine months of operations ending September 30, 2004 have been combined and are collectively referred to as the "nine months."
Reptron recorded third quarter 2004 net sales from continuing operations of $34.4 million, an 11.8% decline from the same period a year ago and a 3.4% decline from the second quarter of 2004. The Company recorded a third quarter 2004 loss from continuing operations totaling $90,000, or $0.02 per fully diluted share, excluding reorganization expenses. This compares to an $845,000 loss from continuing operations, or $0.13 per fully diluted share, in the same period a year ago.
During the third quarter of 2004, Reptron also recorded additional activity from its 2003 discontinued operations and reorganization costs which collectively resulted in net earnings of $45,000. These items, when combined with the results from continuing operations, resulted in a third quarter 2004 net loss of $45,000 compared to a net loss of $4.1 million in the same period a year ago.