Wabash National (WNC) 8-K Wabash National Corporation Announces First Quarter Results

Exhibit 99.1

Press Contact: Tom Rodak		Investor Relations:
Marketing and Communications Manager (765) 771-5535		(765) 771-5310

FOR IMMEDIATE RELEASE

WABASH NATIONAL CORPORATION ANNOUNCES FIRST QUARTER RESULTS

LAFAYETTE, Ind. — April 26, 2006 — Wabash National Corporation (NYSE: WNC) today announced results for the three months ended March 31, 2006. Net sales for the first quarter were $262.1 million compared to $256.1 million for the same period last year. Net income for the quarter was $4.3 million or $0.13 per diluted share, compared to $18.5 million or $0.52 per diluted share for the same period last year. Income for the 2006 first quarter was taxed at a 39% effective tax rate while the prior year was taxed at alternative minimum tax rates. The acquisition of Transcraft, completed March 3, 2006, added approximately $2.7 million to sales in the quarter.

Commenting on these results, Bill Greubel, Chief Executive Officer, stated, “While many aspects of the business were challenged during the quarter, we continue to gain momentum with our initiatives in plant automation, product standardization and alternative sourcing, and we expect this to be demonstrated in improved future results. These challenges included sales volumes being constrained by an unusually high percentage of customer equipment pick-up delays (versus factory deliveries), margin compression resulting from competitive pricing and higher raw materials costs. Also, during the quarter we made the decision to withdraw from the intermodal container market and completed all production by the end of the quarter. The current period includes a charge of $1.1 million to write-off related assets.”

“On a positive note, we continue to see strong quote and order activity throughout all buying segments and have booked approximately 85 percent of our sales target for 2006, ahead of last year’s pace,” added Mr. Greubel. “During the next two quarters we are planning to increase production by approximately 20% so as to better manage our backlog. A significant part of this planned build will be the ramping up of our new semi automated Alpha line to three shifts. We believe as our key initiatives are gaining traction, we have seen a bottom to our margin erosion and expect to see incremental improvement over the next several quarters.”

The Company achieved new trailer unit sales of 11,700 for the first quarter of 2006 compared to 11,200 the first quarter of 2005. Backlog at March 31, 2006 amounted to approximately $610 million, including $42 million related to Transcraft.

Headquartered in Lafayette, Ind., Wabash National^® Corporation (NYSE: WNC) is one of the leading manufacturers of semi trailers in North America. Established in 1985, the company specializes in the design and production of dry freight vans, refrigerated vans, flatbed trailers, drop deck trailers, and intermodal equipment. Its innovative core products are sold under the DuraPlate^®, ArcticLite^®, and

Eagle^® brand names. The company operates two wholly owned subsidiaries; Transcraft Corporation, a manufacturer of flatbed and drop deck trailers; and Wabash National Trailer Centers, a retail distributor of new and used trailers and aftermarket parts throughout the U.S. and Canada.

This press release contains certain forward-looking statements, as defined by the Private Securities Litigation Reform Act of 1995. These forward-looking statements including statements about our expectations for improvement in future results are, however, subject to certain risks and uncertainties that could cause actual results to differ materially from those implied by the forward-looking statements. Without limitation, these risks and uncertainties include increased competition, reliance on certain customers and corporate partnerships, risks of customer pick-up delays, shortages and costs of raw materials, risks in implementing and sustaining improvements in our manufacturing capacity and cost containment, and dependence on industry trends. Readers should review and consider the various disclosures made by the Company in this press release and in our reports to its stockholders and periodic reports on Forms 10-K and 10-Q.

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WABASH NATIONAL CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
(in thousands, except per share amounts)
Unaudited

	Three Months
	Ended March 31,
	2006			2005
NET SALES	$	262,119		$	256,105
COST OF SALES		239,328			221,707
Gross Profit		22,791			34,398
GENERAL AND ADMINISTRATIVE EXPENSES		10,703			9,218
SELLING EXPENSES		3,308			3,996
Income from operations		8,780			21,184
OTHER INCOME (EXPENSE):
Interest expense		(1,559	)		(1,618	)
Foreign exchange gains and losses, net		(117	)		(142	)
Other, net		57			(792	)
Income before income taxes		7,161			18,632
INCOME TAX EXPENSE		2,824			153
NET INCOME	$	4,337		$	18,479
COMMON STOCK DIVIDENDS DECLARED	$	0.045		$	0.045
BASIC NET INCOME SHARE	$	0.14		$	0.60
DILUTED NET INCOME PER SHARE	$	0.13		$	0.52
COMPREHENSIVE INCOME
Net income	$	4,337		$	18,479
Foreign currency translation adjustment		92			(198	)
NET COMPREHENSIVE INCOME	$	4,429		$	18,281

			Retail &
Three months ended	Manufacturing		Distribution		Eliminations			Total
2006
Net Sales	$	241,974	$	45,369	$	(25,224	)	$	262,119
Operating Income	$	10,593	$	185	$	(1,998	)	$	8,780
2005
Net Sales	$	231,665	$	62,033	$	(37,593	)	$	256,105
Operating Income	$	21,841	$	838	$	(1,495	)	$	21,184

	Three Months Ended
	March 31,
	2006		2005
Basic earnings per share:
Net income applicable to common stockholders	$	4,337	$	18,479
Weighted average common shares outstanding		31,114		30,914
Basic earnings per share	$	0.14	$	0.60
Diluted earnings per share:
Net income applicable to common stockholders	$	4,337	$	18,479
After-tax equivalent of interest on convertible notes		741		1,210
Diluted net income applicable to common stockholders	$	5,078	$	19,689
Weighted average common shares outstanding		31,114		30,914
Dilutive stock options		215		508
Convertible notes equivalent shares		6,578		6,510
Diluted weighted average common shares outstanding		37,907		37,932
Diluted earnings per share	$	0.13	$	0.52

WABASH NATIONAL CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
Unaudited

	March 31,		December 31,
	2006		2005
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	39,651	$	67,437
Accounts receivable, net		72,975		131,241
Current portion of finance contracts		1,237		1,472
Inventories		153,607		108,044
Deferred income taxes		40,720		40,550
Prepaid expenses and other		6,754		7,855
Total current assets		314,944		356,599
PROPERTY, PLANT AND EQUIPMENT, net		135,761		131,561
EQUIPMENT LEASED TO OTHERS, net		7,207		7,646
FINANCE CONTRACTS, net of current portion		—		32
DEFERRED INCOME TAXES		—		3,050
GOODWILL, net		76,951		33,018
INTANGIBLES, net		40,025		2,116
OTHER ASSETS		16,306		14,631
	$	591,194	$	548,653
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES:
Current maturities of long-term debt	$	—	$	500
Accounts payable		113,289		84,147
Other accrued liabilities		57,869		58,751
Total current liabilities		171,158		143,398
LONG-TERM DEBT, net of current maturities		125,000		125,000
DEFERRED INCOME TAXES		10,491		—
OTHER NONCURRENT LIABILITIES AND CONTINGENCIES		1,333		1,553
STOCKHOLDERS’ EQUITY		283,212		278,702
	$	591,194	$	548,653

WABASH NATIONAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in thousands)
Unaudited

	Three Months Ended
	March 31,
	2006			2005
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$	4,337		$	18,479
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization		4,122			4,243
Net (gain) loss on the sale of assets		(16	)		680
Deferred income taxes		2,812			—
Tax benefit from exercised stock options		(176	)		—
Stock based compensation		867			223
Change in operating assets and liabilities:
Accounts receivable		65,505			(14,774	)
Finance contracts		243			918
Inventories		(41,085	)		(42,552	)
Prepaid expenses and other		989			(521	)
Accounts payable and accrued liabilities		11,934			19,100
Other, net		942			67
Net cash provided by (used in) operating activities		50,474			(14,137	)
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures		(5,711	)		(6,348	)
Acquisitions, net of cash acquired		(71,550	)		—
Proceeds from the sale of property, plant and equipment		347			3,528
Net cash used in investing activities		(76,914	)		(2,820	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from exercise of stock options		385			2,558
Tax benefit from exercised stock options		176			—
Borrowings under revolving credit facilities		106			15,672
Payments under revolving credit facilities		(106	)		(15,672	)
Payments under long-term debt obligation		(500	)		(500	)
Common stock dividends paid		(1,407	)		—
Net cash provided by (used in) financing activities		(1,346	)		2,058
NET DECREASE IN CASH AND CASH EQUIVALENTS		(27,786	)		(14,899	)
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD		67,437			41,928
CASH AND CASH EQUIVALENTS AT END OF PERIOD	$	39,651		$	27,029