Operating and Other Financial Data:
Historical | Pro Forma | |||||||||||||||||||||||||||
Year Ended December 31, | Nine Months Ended September 30, | Year Ended December 31, | Nine Months Ended | |||||||||||||||||||||||||
2006 | 2007 | 2008 | 2008 | 2009 | 2008 | 2009 | ||||||||||||||||||||||
(In millions, except per unit data) | ||||||||||||||||||||||||||||
Consolidated revenues: | ||||||||||||||||||||||||||||
Investment Management | $ | 1,104 | $ | 588 | $ | (2,783 | ) | $ | (1,290 | ) | $ | 1,575 | $ | (2,783 | ) | $ | 1,575 | |||||||||||
Automotive(1) | — | — | 5,727 | 4,392 | 3,976 | 5,727 | 3,976 | |||||||||||||||||||||
Metals | 715 | 834 | 1,243 | 1,144 | 273 | 1,243 | 273 | |||||||||||||||||||||
Real Estate | 137 | 113 | 103 | 75 | 71 | 103 | 71 | |||||||||||||||||||||
Home Fashion | 898 | 706 | 438 | 328 | 270 | 438 | 270 | |||||||||||||||||||||
Holding Company | 152 | 250 | 299 | 142 | 6 | 299 | 6 | |||||||||||||||||||||
Railcar | — | — | — | — | — | 821 | 348 | |||||||||||||||||||||
Food/Packaging | — | — | — | — | — | 289 | 222 | |||||||||||||||||||||
$ | 3,006 | $ | 2,491 | $ | 5,027 | $ | 4,791 | $ | 6,171 | $ | 6,137 | $ | 6,741 | |||||||||||||||
Adjusted EBITDA before | ||||||||||||||||||||||||||||
non-controlling interest(3) : | ||||||||||||||||||||||||||||
Investment Management | $ | 1,035 | $ | 503 | $ | (2,837 | ) | $ | (1,338 | ) | $ | 1,474 | $ | (2,837 | ) | $ | 1,474 | |||||||||||
Automotive(1) | — | — | 635 | 536 | 345 | 635 | 345 | |||||||||||||||||||||
Metals | 55 | 47 | 122 | 134 | (20 | ) | 122 | (20 | ) | |||||||||||||||||||
Real Estate | 37 | 30 | 35 | 21 | 34 | 35 | 34 | |||||||||||||||||||||
Home Fashion | (60 | ) | (73 | ) | (35 | ) | (26 | ) | (19 | ) | (35 | ) | (19 | ) | ||||||||||||||
Holding Company | 126 | 213 | 119 | 122 | (5 | ) | 119 | (5 | ) | |||||||||||||||||||
Railcar | — | — | — | — | — | 91 | 40 | |||||||||||||||||||||
Food/Packaging | — | — | — | — | — | 39 | 40 | |||||||||||||||||||||
$ | 1,193 | $ | 720 | $ | (1,961 | ) | $ | (551 | ) | $ | 1,809 | $ | (1,831 | ) | $ | 1,889 | ||||||||||||
Adjusted EBITDA | ||||||||||||||||||||||||||||
attributable to Icahn | ||||||||||||||||||||||||||||
Enterprises(3) : | ||||||||||||||||||||||||||||
Investment Management | $ | 260 | $ | 172 | $ | (334 | ) | $ | (157 | ) | $ | 460 | $ | (334 | ) | $ | 460 | |||||||||||
Automotive(1) | — | — | 478 | 401 | 255 | 478 | 255 | |||||||||||||||||||||
Metals | 55 | 47 | 122 | 134 | (20 | ) | 122 | (20 | ) | |||||||||||||||||||
Real Estate | 37 | 30 | 35 | 21 | 34 | 35 | 34 | |||||||||||||||||||||
Home Fashion | (43 | ) | (55 | ) | (22 | ) | (17 | ) | (12 | ) | (22 | ) | (12 | ) | ||||||||||||||
Holding Company | 126 | 213 | 119 | 122 | (5 | ) | 119 | (5 | ) | |||||||||||||||||||
Railcar | — | — | — | — | — | 49 | 22 | |||||||||||||||||||||
Food/Packaging | — | — | — | — | — | 28 | 29 | |||||||||||||||||||||
$ | 435 | $ | 407 | $ | 398 | $ | 504 | $ | 712 | $ | 475 | $ | 763 | |||||||||||||||
Other financial data: | ||||||||||||||||||||||||||||
Capital expenditures | $ | 30 | $ | 60 | $ | 794 | $ | 699 | $ | 158 | $ | 859 | $ | 188 | ||||||||||||||
Cash distributions | ||||||||||||||||||||||||||||
declared per LP unit | 0.40 | 0.55 | 1.00 | 0.75 | 0.75 | 1.00 | 0.75 |
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The following table reconciles, on a basis attributable to Icahn Enterprises, net income attributable to Icahn Enterprises to EBITDA and EBITDA to Adjusted EBITDA for the periods indicated:
Historical | Pro Forma | |||||||||||||||||||||||||||
Year Ended December 31, | Nine Months Ended September 30, | Year Ended December 31, | Nine Months Ended | |||||||||||||||||||||||||
2006 | 2007 | 2008 | 2008 | 2009 | 2008 | 2009 | ||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||
Attributable to | ||||||||||||||||||||||||||||
Icahn Enterprises: | ||||||||||||||||||||||||||||
Net income (loss) | $ | 1,108 | $ | 308 | $ | (43 | ) | $ | 425 | $ | 241 | $ | (119 | ) | $ | 217 | ||||||||||||
Interest expense | 134 | 157 | 273 | 216 | 184 | 344 | 239 | |||||||||||||||||||||
Income tax expense (benefit) | (8 | ) | 23 | 308 | 357 | (24 | ) | 326 | (20 | ) | ||||||||||||||||||
Depreciation, depletion and | ||||||||||||||||||||||||||||
amortization | 158 | 32 | 248 | 174 | 215 | 268 | 231 | |||||||||||||||||||||
EBITDA attributable to | ||||||||||||||||||||||||||||
Icahn Enterprises | $ | 1,392 | $ | 520 | $ | 786 | $ | 1,172 | $ | 616 | $ | 819 | $ | 667 | ||||||||||||||
Impairments of assets(a) | $ | 7 | $ | 19 | $ | 337 | $ | 6 | $ | 21 | $ | 337 | $ | 21 | ||||||||||||||
Restructuring costs(b) | 8 | 13 | 117 | 22 | 38 | 117 | 38 | |||||||||||||||||||||
Purchase accounting inventory | ||||||||||||||||||||||||||||
adjustment(c) | — | — | 54 | 54 | — | 54 | — | |||||||||||||||||||||
Non-cash pension expenses(d) | — | — | 3 | 3 | 38 | 3 | 38 | |||||||||||||||||||||
Discontinued operations(e) | (972 | ) | (145 | ) | (753 | ) | (753 | ) | (1 | ) | (753 | ) | (1 | ) | ||||||||||||||
Gain/loss on extinguishment | ||||||||||||||||||||||||||||
of debt(f) | — | — | (146 | ) | — | — | (102 | ) | — | |||||||||||||||||||
Adjusted EBITDA attributable | ||||||||||||||||||||||||||||
to Icahn Enterprises | $ | 435 | $ | 407 | $ | 398 | $ | 504 | $ | 712 | $ | 475 | $ | 763 |
(a) | Represents asset impairment charges, primarily relating to our Automotive segment in 2008, related to goodwill and other indefinite-lived intangible assets. |
(b) | Restructuring costs represent expenses incurred primarily by our Automotive and Home Fashion segments, relating to efforts to integrate and rationalize businesses and to relocate manufacturing operations to best- cost countries. |
(c) | In connection with the application of purchase accounting upon the acquisition of Federal-Mogul, effective March 1, 2008, we adjusted Federal-Mogul’s inventory balance as of March 1, 2008 to fair value. This resulted in an additional non-cash charge to cost of goods sold during the fiscal year ended December 31, 2008 which is reflected net of non-controlling interest. |
(d) | Represents non-cash expense associated with Federal-Mogul’s U.S. based pension plans, net of non-controlling interest. |
(e) | Discontinued operations primarily include the operating results of and gains on sales of our former oil and gas operations which were sold in November 2006 and our former gaming segment, ACEP, which was sold in February 2008. |
(f) | During the fourth quarter of the fiscal year ended December 31, 2008, we purchased outstanding debt of entities in our consolidated financial statements in the principal amount of $352 million and recognized an aggregate gain of $146 million. The pro forma amount also includes $44 million of expenses, primarily representing the net effect of the consent payments and the write- off of the unamortized deferred financing costs and debt discounts associated with the repayment of our Existing Notes. |
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