WICHITA, Kan., Feb. 10, 2011 /PRNewswire/ -- Spirit AeroSystems
Holdings, Inc. (NYSE: SPR) reported fourth quarter and full-year
2010 financial results reflecting solid core operating performance
across the company as demand for large commercial aircraft remains
strong.
Spirit's fourth quarter 2010 revenues were $1.071 billion, stable from $1.078 billion for the same period of 2009, as
fewer large commercial aircraft deliveries were offset with
non-production revenues. Operating income was $96 million, compared to $85 million for the same period in 2009.
Net income for the quarter was $62
million, or $0.44 per fully
diluted share, compared to $50
million, or $0.36 per fully
diluted share, in the same period of 2009. (Table 1)
Table 1. Summary Financial
Results (unaudited)
|
|
|
4th
Quarter
|
|
Twelve
Months
|
|
|
($ in millions, except per share
data)
|
2010
|
2009
|
Change
|
2010
|
2009
|
Change
|
|
|
|
|
|
|
|
|
|
Revenues
|
$1,071
|
$1,078
|
~0%
|
$4,172
|
$4,079
|
2%
|
|
Operating Income
|
$96
|
$85
|
13%
|
$357
|
$303
|
18%
|
|
Operating Income as a % of
Revenues
|
9.0%
|
7.9%
|
110
BPS
|
8.6%
|
7.4%
|
120
BPS
|
|
Net Income
|
$62
|
$50
|
24%
|
$219
|
$192
|
14%
|
|
Net Income as a % of
Revenues
|
5.8%
|
4.6%
|
120
BPS
|
5.2%
|
4.7%
|
50
BPS
|
|
Earnings per Share (Fully
Diluted)
|
$0.44
|
$0.36
|
22%
|
$1.55
|
$1.37
|
13%
|
|
Fully Diluted Weighted Avg Share
Count
|
141.8
|
140.2
|
|
141.0
|
139.8
|
|
|
|
|
|
|
|
|
|
Fourth quarter pre-tax earnings were reduced by approximately
($3) million for the quarter, or
($0.02) per share, related to the
award of stock to eligible union employees as part of the new
ten-year agreement with the United Automobile, Aerospace, &
Agricultural Implement Workers of America (UAW).
Revenue for the full-year reached $4.172
billion. Operating income for the full-year increased
to $357 million, up 18 percent from
the full-year in 2009. Full-year net income increased 14
percent to $219 million, or
$1.55 per fully diluted share,
compared to $192 million, or
$1.37 per fully diluted share in
2009.
"We continued to execute well on our core programs and made good
progress on our development programs in 2010," said President and
Chief Executive Officer Jeff Turner.
"The operating engine of the company continues to improve
while the global demand for large commercial aircraft remains
strong and new products are brought to the market."
"During the fourth quarter, we delivered over two-hundred forty
core products to our customers as well as making our first delivery
of the composite CH-53K helicopter fuselage to the customer.
We also reached agreement with the UAW on a new ten-year
labor contract in Oklahoma, and
established a path forward on the 787 program with Boeing," Turner
added.
"Looking forward, our company is financially strong and in a
solid competitive position as our core product volumes increase and
our development programs mature. With a substantial backlog
supporting Spirit's future, we are implementing plans to expand
capacity for our core business. With this growth outlook and
our focus on performance, we are positioned to drive long-term
value," Turner concluded.
Spirit's backlog at the end of the fourth quarter of 2010 was
$28.3 billion. Spirit
calculates its backlog based on contractual prices for products and
volumes from the published firm order backlogs of Airbus and
Boeing, along with firm orders from other customers.
Spirit updated its contract profitability estimates during the
fourth quarter of 2010, resulting in a net pre-tax $10 million ($0.05
per share) unfavorable cumulative catch-up adjustment primarily
associated with changes in contract profitability estimates on the
787 program. In comparison, Spirit recognized a $34 million unfavorable cumulative catch-up
adjustment for the fourth quarter of 2009.
Cash flow from operations was a $364
million source of cash for the fourth quarter of 2010,
compared to a $197 million source of
cash for the fourth quarter of 2009. The current quarter
compared to the same period of 2009 reflects relatively stable
working capital while performance is largely the result of an
increase in deferred revenue, partially offset by current and
deferred tax effects. (Table 2)
Table 2. Cash Flow and
Liquidity
|
|
|
4th
Quarter
|
Twelve
Months
|
|
($ in millions)
|
2010
|
2009
|
2010
|
2009
|
|
|
|
|
|
|
|
Cash Flow from
Operations
|
$364
|
$197
|
$125
|
($14)
|
|
Purchases of Property, Plant
& Equipment
|
($105)
|
($70)
|
($288)
|
($228)
|
|
|
|
|
|
|
|
|
|
|
December
31,
|
December
31,
|
|
Liquidity
|
|
|
2010
|
2009
|
|
|
|
|
|
|
|
Cash
|
|
|
$482
|
$369
|
|
Total Debt
|
|
|
$1,197
|
$894
|
|
|
|
|
|
|
Cash balances at the end of the year were $482 million, up $113
million from a year ago, largely reflecting the proceeds
generated from the issuance of the $300
million senior unsecured notes in November of 2010, and
receipt of non-recurring contract payments associated with our
development programs, partially offset by continued investment in
our new programs. At the end of the fourth quarter of 2010,
the company's $650 million revolving
credit facility remained undrawn. Approximately $19 million of the credit facility is reserved
for financial letters of credit. Debt balances at the end of
the fourth quarter were $1,197
million, up $303 million from
the end of 2009, primarily reflecting the associated debt for the
unsecured notes, issued in fourth quarter of 2010.
During the quarter, the company's credit rating was affirmed by
Standard & Poor's with a BB rating while Moody's upgraded its
rating to a Ba2.
Financial Outlook
Spirit revenue guidance for the full-year 2011 is expected to be
between $4.5 and $4.7 billion
based on Boeing's 2011 delivery guidance of 485 to 500 aircraft;
expected B787 deliveries; expected Airbus deliveries in 2011 of
approximately 520 to 530 aircraft; internal Spirit forecasts for
non-OEM production activity and other customers; and foreign
exchange rates consistent with those in the second half of
2010.
Fully diluted earnings per share guidance for 2011 is expected
to be between $1.70 and $1.90 per
share, reflecting continued growth in core programs and
transitioning new programs to initial production.
Cash flow from operations, less capital expenditures, is
expected to be approximately ($250)
million use of cash in the aggregate, with capital
expenditures of approximately $325 million.
The effective tax rate for 2011 is forecasted to be between 31
and 32 percent. (Table 3)
Risk to our financial guidance includes, among other factors:
787 delivery volumes; higher than forecasted non-recurring and
recurring costs on our development programs; mid-range business jet
market risks; and our ability to achieve anticipated productivity
and cost improvements; and assumes completion of the 787 contract
amendment.
Table 3. Financial
Outlook
|
2010
Actual
|
|
2011
Guidance
|
|
|
|
|
|
|
Revenues
|
$4.2
billion
|
|
$4.5 - $4.7
billion
|
|
|
|
|
|
|
Earnings Per Share (Fully
Diluted)
|
$1.55
|
|
$1.70 -
$1.90
|
|
|
|
|
|
|
Effective Tax
Rate
|
26.3%
|
|
31% -
32%
|
|
|
|
|
|
|
Cash Flow from
Operations
|
$125
million
|
|
~$75
million
|
|
|
|
|
|
|
Capital
Expenditures
|
$288
million
|
|
~$325
million
|
|
|
|
|
|
Cautionary Statement Regarding Forward-Looking
Statements
This press release contains "forward-looking statements."
Forward-looking statements reflect our current expectations or
forecasts of future events. Forward-looking statements generally
can be identified by the use of forward-looking terminology such as
"may," "will," "expect," "anticipate," "intend," "estimate,"
"believe," "project," "continue," "plan," "forecast," or other
similar words, or the negative thereof, unless the context requires
otherwise. These statements reflect management's current views with
respect to future events and are subject to risks and
uncertainties, both known and unknown. Our actual results may vary
materially from those anticipated in forward-looking statements. We
caution investors not to place undue reliance on any
forward-looking statements. Important factors that could cause
actual results to differ materially from those reflected in such
forward-looking statements and that should be considered in
evaluating our outlook include, but are not limited to, the
following: our ability to continue to grow our business and execute
our growth strategy, including the timing and execution of new
programs; our ability to perform our obligations and manage costs
related to our new commercial and business aircraft development
programs and the related recurring production; potential reduction
in the build rates of certain Boeing aircraft including, but not
limited to, the B737 program, the B747 program, the B767 program
and the B777 program, and build rates of the Airbus A320 and A380
programs, which could be negatively impacted by continuing weakness
in the global economy and economic challenges facing commercial
airlines, and by a lack of business and consumer confidence and the
impact of continuing instability in the global financial and credit
markets, including, but not limited to, sovereign debt concerns in
Europe; the inability to resolve
significant claims with Boeing related to non-recurring and
recurring costs on the B787 program; declining business jet
manufacturing rates and customer cancellations or deferrals as a
result of the weakened global economy; the success and timely
execution of key milestones such as certification and delivery of
Boeing's new B787 and Airbus' new A350 XWB aircraft programs,
including receipt of necessary regulatory approvals and customer
adherence to their announced schedules; our ability to enter into
supply arrangements with additional customers and the ability of
all parties to satisfy their performance requirements under
existing supply contracts with Boeing and Airbus, our two major
customers, and other customers and the risk of nonpayment by such
customers; any adverse impact on Boeing's and Airbus' production of
aircraft resulting from cancellations, deferrals or reduced orders
by their customers or from labor disputes or acts of terrorism; any
adverse impact on the demand for air travel or our operations from
the outbreak of diseases or epidemic or pandemic outbreaks; returns
on pension plan assets and impact of future discount rate changes
on pension obligations; our ability to borrow additional funds or
refinance debt; competition from original equipment manufacturers
and other aerostructures suppliers; the effect of governmental
laws, such as U.S. export control laws, the Foreign Corrupt
Practices Act, environmental laws and agency regulations, both in
the U.S. and abroad; the cost and availability of raw materials and
purchased components; our ability to successfully extend or
renegotiate our primary collective bargaining contracts with our
labor unions; our ability to recruit and retain highly skilled
employees and our relationships with the unions representing many
of our employees; spending by the U.S. and other governments on
defense; the possibility that our cash flows and borrowing
facilities may not be adequate for our additional capital needs or
for payment of interest on and principal of our indebtedness and
the possibility that we may be unable to borrow additional funds or
refinance debt; our exposure under our revolving credit facility to
higher interest payments should interest rates increase
substantially; the outcome or impact of ongoing or future
litigation and regulatory actions; and our exposure to potential
product liability and warranty claims. These factors are not
exhaustive and it is not possible for us to predict all factors
that could cause actual results to differ materially from those
reflected in our forward-looking statements. These factors
speak only as of the date hereof, and new factors may emerge or
changes to the foregoing factors may occur that could impact our
business. As with any projection or forecast, these statements are
inherently susceptible to uncertainty and changes in circumstances.
Except to the extent required by law, we undertake no obligation
to, and expressly disclaim any obligation to, publicly update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise. You should review
carefully the section captioned "Risk Factors" in our 2009 Form
10-K for a more complete discussion of these and other factors that
may affect our business.
Appendix
Segment Results
Fuselage Systems
Fuselage Systems segment revenues for the fourth quarter of 2010
were $519.1 million, up 2.6 percent
over the same period last year, largely driven by additional
non-production revenues. Operating margin for the fourth
quarter of 2010 was 13.1 percent as compared to 11.5 percent during
the same period of 2009. During the fourth quarter of 2010,
the segment realized an unfavorable pre-tax $2 million cumulative catch-up adjustment.
In comparison, a pre-tax $21
million unfavorable cumulative catch-up adjustment was
realized during the fourth quarter of 2009.
Propulsion Systems
Propulsion Systems segment revenues for the fourth quarter of
2010 were $262.8 million, up 1.9
percent over the same period last year, primarily driven by
additional non-production revenues and product mix. Operating
margin for the fourth quarter of 2010 was 15.2 percent as compared
to 9.8 percent in the fourth quarter of 2009, largely driven by
favorable product mix. During the fourth quarter of 2010, the
segment realized an unfavorable pre-tax $5
million cumulative catch-up adjustment. In comparison,
the segment experienced lower aftermarket sales and a pre-tax
$8 million unfavorable cumulative
catch-up adjustment during the fourth quarter of 2009.
Wing Systems
Wing Systems segment revenues for the fourth quarter of 2010
were $287.7 million, down 7.6 percent
over the same period last year, as the previous quarter included
additional non-production revenues. Operating margin for the
fourth quarter of 2010 was 9.7 percent as compared to 10.7 percent
during the same period of 2009. During the fourth quarter of
2010, the segment realized an unfavorable pre-tax $3 million cumulative catch-up adjustment.
In comparison, a pre-tax $5
million unfavorable cumulative catch-up adjustment was
realized during the fourth quarter of 2009.
Table 4. Segment
Reporting
|
(unaudited)
|
(unaudited)
|
|
|
4th
Quarter
|
Twelve
Months
|
|
($ in millions)
|
2010
|
2009
|
Change
|
2010
|
2009
|
Change
|
|
|
|
|
|
|
|
|
|
Segment Revenues
|
|
|
|
|
|
|
|
Fuselage
Systems
|
$519.1
|
$506.0
|
2.6%
|
$2,035.1
|
$2,003.6
|
1.6%
|
|
Propulsion
Systems
|
$262.8
|
$257.9
|
1.9%
|
$1,061.8
|
$1,030.0
|
3.1%
|
|
Wing Systems
|
$287.7
|
$311.5
|
(7.6%)
|
$1,067.4
|
$1,024.4
|
4.2%
|
|
All Other
|
$1.5
|
$2.3
|
(34.8%)
|
$8.1
|
$20.5
|
(60.5%)
|
|
Total Segment
Revenues
|
$1,071.1
|
$1,077.7
|
(0.6%)
|
$4,172.4
|
$4,078.5
|
2.3%
|
|
|
|
|
|
|
|
|
|
Segment Earnings from
Operations
|
|
|
|
|
|
|
|
Fuselage
Systems
|
$67.9
|
$58.2
|
16.7%
|
$292.3
|
$287.6
|
1.6%
|
|
Propulsion
Systems
|
$39.9
|
$25.4
|
57.1%
|
$137.5
|
$122.6
|
12.2%
|
|
Wing Systems
|
$27.9
|
$33.4
|
(16.5%)
|
$101.0
|
$20.7
|
387.9%
|
|
All Other
|
$0.5
|
($0.4)
|
225.0%
|
($1.8)
|
($1.4)
|
(28.6%)
|
|
Total Segment Operating
Earnings
|
$136.2
|
$116.6
|
16.8%
|
$529.0
|
$429.5
|
23.2%
|
|
|
|
|
|
|
|
|
|
Unallocated Corporate
SG&A
|
($35.6)
|
($29.8)
|
19.5%
|
($139.7)
|
($122.7)
|
13.9%
|
|
Unallocated Research &
Development
|
($1.4)
|
($1.9)
|
(26.3%)
|
($3.6)
|
($3.5)
|
2.9%
|
|
Unallocated Cost of Sales
(1)(2)
|
($3.3)
|
$0.0
|
NA
|
($28.7)
|
$0.0
|
NA
|
|
Total Earnings from
Operations
|
$95.9
|
$84.9
|
13.0%
|
$357.0
|
$303.3
|
17.7%
|
|
|
|
|
|
|
|
|
|
Segment Operating
Margins
|
|
|
|
|
|
|
|
Fuselage
Systems
|
13.1%
|
11.5%
|
160
BPS
|
14.4%
|
14.4%
|
0
BPS
|
|
Propulsion
Systems
|
15.2%
|
9.8%
|
540
BPS
|
12.9%
|
11.9%
|
100
BPS
|
|
Wing Systems
|
9.7%
|
10.7%
|
(100)
BPS
|
9.5%
|
2.0%
|
750
BPS
|
|
All Other
|
33.3%
|
(17.4%)
|
5,070
BPS
|
(22.2%)
|
(6.8%)
|
(1,540) BPS
|
|
Total Segment Operating
Margins
|
12.7%
|
10.8%
|
190
BPS
|
12.7%
|
10.5%
|
220
BPS
|
|
|
|
|
|
|
|
|
|
Total Operating
Margins
|
9.0%
|
7.9%
|
110
BPS
|
8.6%
|
7.4%
|
120
BPS
|
|
|
|
|
|
|
|
|
(1)
|
Charges in the fourth quarter of
2010 are associated with the grant of shares to represented
employees of the UAW in connection with the ratification of a new
ten-year labor contract.
|
|
(2)
|
Year-to-date charges include the
fourth quarter charge related to the grant of shares to UAW
represented employees; the third quarter charge for the IAM Early
Retirement Incentive; and the second quarter charge related to the
grant of shares to represented employees of the IAM in connection
with the ratification of their ten-year labor
contract.
|
|
|
|
Spirit Ship
Set Deliveries
|
|
(One Ship
Set equals One Aircraft)
|
|
|
|
|
|
|
|
|
2009 Spirit
AeroSystems Deliveries
|
|
|
|
|
1st
Qtr
|
2nd
Qtr
|
3rd
Qtr
|
4th
Qtr
|
Total
2009
|
|
B737
|
74
|
96
|
93
|
87
|
350
|
|
B747
|
3
|
1
|
3
|
4
|
11
|
|
B767
|
3
|
3
|
3
|
3
|
12
|
|
B777
|
21
|
21
|
21
|
19
|
82
|
|
B787
|
2
|
2
|
2
|
5
|
11
|
|
Total
|
103
|
123
|
122
|
118
|
466
|
|
|
|
|
|
|
|
|
A320 Family
|
105
|
101
|
94
|
108
|
408
|
|
A330/340
|
26
|
23
|
28
|
23
|
100
|
|
A380
|
-
|
2
|
5
|
4
|
11
|
|
Total
|
131
|
126
|
127
|
135
|
519
|
|
|
|
|
|
|
|
|
Hawker 850XP
|
18
|
13
|
6
|
7
|
44
|
|
|
|
|
|
|
|
|
Total Spirit
|
252
|
262
|
255
|
260
|
1,029
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2010 Spirit
AeroSystems Deliveries
|
|
|
|
|
1st
Qtr
|
2nd
Qtr
|
3rd
Qtr
|
4th
Qtr
|
Total
2010
|
|
B737
|
94
|
96
|
93
|
89
|
372
|
|
B747
|
3
|
1
|
2
|
4
|
10
|
|
B767
|
3
|
4
|
3
|
5
|
15
|
|
B777
|
21
|
18
|
14
|
14
|
67
|
|
B787
|
5
|
4
|
4
|
3
|
16
|
|
Total
|
126
|
123
|
116
|
115
|
480
|
|
|
|
|
|
|
|
|
A320 Family
|
102
|
95
|
75
|
96
|
368
|
|
A330/340
|
25
|
23
|
5
|
19
|
72
|
|
A380
|
1
|
5
|
7
|
5
|
18
|
|
Total
|
128
|
123
|
87
|
120
|
458
|
|
|
|
|
|
|
|
|
Hawker 850XP
|
5
|
4
|
4
|
6
|
19
|
|
|
|
|
|
|
|
|
Total Spirit
|
259
|
250
|
207
|
241
|
957
|
|
|
|
|
|
|
|
Spirit
AeroSystems Holdings, Inc.
|
|
Condensed
Consolidated Statements of Operations
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
For the
Three Months Ended
|
|
For the
Twelve Months Ended
|
|
|
|
|
December 31,
2010
|
|
December 31,
2009
|
|
December 31,
2010
|
|
December 31,
2009
|
|
|
|
($ in
millions, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenues
|
$
|
1,071.1
|
$
|
1,077.7
|
$
|
4,172.4
|
$
|
4,078.5
|
|
Operating costs and
expenses:
|
|
|
|
|
|
|
|
|
|
Cost of sales
|
|
918.7
|
|
944.2
|
|
3,607.9
|
|
3,581.4
|
|
Selling, general and
administrative
|
|
40.1
|
|
33.5
|
|
156.0
|
|
137.1
|
|
Research and
development
|
|
16.4
|
|
15.1
|
|
51.5
|
|
56.7
|
|
|
Total
operating costs and expenses
|
|
975.2
|
|
992.8
|
|
3,815.4
|
|
3,775.2
|
|
|
Operating
income
|
|
95.9
|
|
84.9
|
|
357.0
|
|
303.3
|
|
Interest expense and financing
fee amortization
|
|
(18.5)
|
|
(14.5)
|
|
(59.1)
|
|
(43.6)
|
|
Interest income
|
|
0.1
|
|
0.8
|
|
0.3
|
|
7.0
|
|
Other income (expense),
net
|
|
(0.1)
|
|
0.9
|
|
(0.4)
|
|
6.1
|
|
|
Income
before income taxes and equity in net loss of
affiliate
|
|
77.4
|
|
72.1
|
|
297.8
|
|
272.8
|
|
Income tax provision
|
|
(15.4)
|
|
(22.1)
|
|
(78.2)
|
|
(80.9)
|
|
|
Income
before equity in net loss of affiliate
|
|
62.0
|
|
50.0
|
|
219.6
|
|
191.9
|
|
Equity in net loss of
affiliate
|
|
(0.1)
|
|
-
|
|
(0.7)
|
|
(0.2)
|
|
|
Net
income
|
$
|
61.9
|
$
|
50.0
|
$
|
218.9
|
$
|
191.7
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
|
|
|
|
|
|
|
|
|
|
Basic
|
$
|
0.44
|
$
|
0.36
|
$
|
1.56
|
$
|
1.39
|
|
Shares
|
|
138.4
|
|
137.2
|
|
137.9
|
|
138.3
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted
|
$
|
0.44
|
$
|
0.36
|
$
|
1.55
|
$
|
1.37
|
|
Shares
|
|
141.8
|
|
140.2
|
|
141.0
|
|
139.8
|
|
|
|
|
|
|
|
|
|
|
|
Spirit
AeroSystems Holdings, Inc.
|
|
Condensed
Consolidated Balance Sheets
|
|
(unaudited)
|
|
|
|
December 31,
2010
|
|
December 31,
2009
|
|
|
|
($ in
millions)
|
|
Current assets
|
|
|
|
|
|
Cash and cash
equivalents
|
$
|
481.6
|
$
|
369.0
|
|
Accounts receivable,
net
|
|
200.2
|
|
160.4
|
|
Inventory, net
|
|
2,507.9
|
|
2,206.9
|
|
Other current assets
|
|
105.0
|
|
116.6
|
|
Total current
assets
|
|
3,294.7
|
|
2,852.9
|
|
Property, plant and equipment,
net
|
|
1,470.0
|
|
1,279.3
|
|
Pension assets
|
|
172.4
|
|
171.2
|
|
Other assets
|
|
164.9
|
|
170.4
|
|
Total
assets
|
$
|
5,102.0
|
$
|
4,473.8
|
|
Current
liabilities
|
|
|
|
|
|
Accounts payable
|
$
|
443.5
|
$
|
441.3
|
|
Accrued expenses
|
|
220.3
|
|
165.5
|
|
Current portion of long-term
debt
|
|
9.5
|
|
9.1
|
|
Advance payments,
short-term
|
|
169.4
|
|
237.4
|
|
Deferred revenue,
short-term
|
|
302.6
|
|
107.1
|
|
Other current
liabilities
|
|
19.5
|
|
21.8
|
|
Total current
liabilities
|
|
1,164.8
|
|
982.2
|
|
Long-term debt
|
|
1,187.3
|
|
884.7
|
|
Advance payments,
long-term
|
|
655.2
|
|
727.5
|
|
Deferred revenue and other
deferred credits
|
|
29.0
|
|
46.0
|
|
Pension/OPEB
obligation
|
|
72.5
|
|
62.6
|
|
Other liabilities
|
|
182.3
|
|
197.0
|
|
Equity
|
|
|
|
|
|
Preferred stock, par value
$0.01, 10,000,000 shares authorized, no shares
issued
|
|
-
|
|
-
|
|
Common stock, Class A par
value $0.01, 200,000,000 shares authorized, 107,201,314 and
105,064,561 issued, respectively
|
|
1.1
|
|
1.0
|
|
Common stock, Class B par
value $0.01, 150,000,000 shares authorized, 34,897,388 and
35,669,740 shares issued, respectively
|
|
0.3
|
|
0.4
|
|
Additional paid-in
capital
|
|
983.6
|
|
949.8
|
|
Accumulated other comprehensive
loss
|
|
(75.3)
|
|
(59.7)
|
|
Retained earnings
|
|
900.7
|
|
681.8
|
|
Total shareholders’
equity
|
|
1,810.4
|
|
1,573.3
|
|
Noncontrolling
interest
|
|
0.5
|
|
0.5
|
|
Total
equity
|
|
1,810.9
|
|
1,573.8
|
|
Total liabilities
and equity
|
$
|
5,102.0
|
$
|
4,473.8
|
|
|
|
|
|
|
Spirit
AeroSystems Holdings, Inc.
|
|
Condensed
Consolidated Statements of Cash Flows
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
For the
Twelve Months Ended
|
|
|
|
December 31,
2010
|
|
December 31,
2009
|
|
|
|
($ in
millions)
|
|
Operating
activities
|
|
|
|
|
|
Net income
|
$
|
218.9
|
$
|
191.7
|
|
Adjustments to reconcile net
income to net cash provided by (used in) operating
activities
|
|
|
|
|
|
Depreciation
expense
|
|
115.3
|
|
123.0
|
|
Amortization
expense
|
|
12.7
|
|
11.0
|
|
Accretion of
long-term receivable
|
|
-
|
|
(6.5)
|
|
Employee stock
compensation expense
|
|
28.8
|
|
10.1
|
|
Excess tax
benefits from share-based payment arrangements
|
|
(5.0)
|
|
-
|
|
(Gain) Loss from
foreign currency transactions
|
|
4.8
|
|
(4.5)
|
|
Loss on
disposition of assets
|
|
0.7
|
|
0.1
|
|
Deferred
taxes
|
|
48.6
|
|
28.7
|
|
Long-term tax
benefit
|
|
(9.7)
|
|
-
|
|
Pension and other
post-retirement benefits, net
|
|
(8.9)
|
|
2.2
|
|
Grant
income
|
|
(3.1)
|
|
(1.9)
|
|
Equity in net loss
of affiliate
|
|
0.7
|
|
0.2
|
|
Changes in assets and
liabilities
|
|
|
|
|
|
Accounts
receivable
|
|
(41.6)
|
|
(8.2)
|
|
Inventory,
net
|
|
(300.3)
|
|
(320.7)
|
|
Accounts payable
and accrued liabilities
|
|
26.8
|
|
125.7
|
|
Advance
payments
|
|
(140.3)
|
|
(97.5)
|
|
Deferred revenue
and other deferred credits
|
|
181.8
|
|
(14.8)
|
|
Other
|
|
(5.1)
|
|
(52.5)
|
|
Net
cash provided by (used in) operating activities
|
|
125.1
|
|
(13.9)
|
|
Investing
activities
|
|
|
|
|
|
Purchase of property, plant and
equipment
|
|
(288.1)
|
|
(228.2)
|
|
Long-term receivable
|
|
-
|
|
115.4
|
|
Other
|
|
(0.3)
|
|
0.4
|
|
Net
cash (used in) investing activities
|
|
(288.4)
|
|
(112.4)
|
|
Financing
activities
|
|
|
|
|
|
Proceeds from revolving credit
facility
|
|
150.0
|
|
300.0
|
|
Payments on revolving credit
facility
|
|
(150.0)
|
|
(300.0)
|
|
Proceeds from issuance of
debt
|
|
-
|
|
6.9
|
|
Proceeds from issuance of
bonds
|
|
300.0
|
|
293.4
|
|
Proceeds from government
grants
|
|
-
|
|
0.7
|
|
Principal payments of
debt
|
|
(9.6)
|
|
(7.6)
|
|
Debt issuance and financing
costs
|
|
(18.0)
|
|
(17.3)
|
|
Excess tax benefits from
share-based payment arrangements
|
|
5.0
|
|
-
|
|
Net
cash provided by financing activities
|
|
277.4
|
|
276.1
|
|
Effect of exchange rate changes
on cash and cash equivalents
|
|
(1.5)
|
|
2.7
|
|
Net
increase in cash and cash equivalents for the period
|
|
112.6
|
|
152.5
|
|
Cash and cash equivalents,
beginning of the period
|
|
369.0
|
|
216.5
|
|
Cash and cash equivalents, end
of the period
|
$
|
481.6
|
$
|
369.0
|
|
|
|
|
|
|
SOURCE Spirit AeroSystems Holdings, Inc.