Exhibit 99.1
NEWS RELEASE |
Skyline Corporation
2520 By-Pass Road
P.O. Box 743
Elkhart, Indiana 46515-0743
(574) 294-6521
2520 By-Pass Road
P.O. Box 743
Elkhart, Indiana 46515-0743
(574) 294-6521
Subject: FIRST QUARTER REPORT | Approved by: JON S. PILARSKI |
ELKHART, INDIANA — OCTOBER 8, 2010
SKYLINE REPORTS FISCAL 2011 FIRST QUARTER RESULTS
Skyline’s sales for the first quarter of fiscal year 2011 were $45,827,000 as compared to $35,874,000 in the first quarter of fiscal 2010.
Sales for Skyline’s manufactured housing segment were $30,629,000 as compared to $25,782,000 for the first quarter a year ago. Sales for Skyline’s recreational vehicle segment were $15,198,000 for the first three months of fiscal 2011 as compared to prior year’s total of $10,092,000.
Fiscal 2011’s first quarter loss before income taxes was $6,065,000 as compared to fiscal 2010’s first quarter loss before income taxes of $6,113,000. Included in prior year’s pretax loss is $412,000 of income from life insurance proceeds.
Skyline established in the fourth quarter of fiscal 2010 a full valuation allowance against its deferred tax assets, and continued to maintain a full valuation allowance during the first quarter of fiscal 2011. As a result, Skyline did not recognize any benefit for income taxes. Skyline, however, did recognize in prior year a benefit for income taxes of $2,206,000. If the Corporation, after considering future negative and positive evidence regarding the realization of deferred tax assets, determines that a lesser valuation allowance is warranted, it would record a reduction to income tax expense and the valuation allowance in the period of determination.
Net loss for fiscal 2011’s first quarter was $6,065,000 as compared to prior year’s net loss of $3,907,000. On a per share basis, net loss for the first quarter was $.72 versus a net loss of $.47 for a year ago.
Bringing America Home. Bringing America Fun.
NEWS RELEASE |
Skyline Corporation
2520 By-Pass Road
P.O. Box 743
Elkhart, Indiana 46515-0743
(574) 294-6521
2520 By-Pass Road
P.O. Box 743
Elkhart, Indiana 46515-0743
(574) 294-6521
Subject: FIRST QUARTER REPORT | Approved by: JON S. PILARSKI |
Skyline continues to maintain its traditionally strong balance sheet with no bank debt and a healthy position in cash and U.S. Treasury Bills. This financial strength, along with a seasoned management team, should help the corporation meet the challenges ahead.
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Bringing America Home. Bringing America Fun.
SKYLINE CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
(Dollars in thousands, except per share and per share data)
Three Months Ended | ||||||||
August 31, (Unaudited) | ||||||||
2010 | 2009 | |||||||
Sales | $ | 45,827 | $ | 35,874 | ||||
Loss before income taxes | (6,065 | ) | (6,113 | ) (A) | ||||
Benefit for income taxes | — | 2,206 | ||||||
Net loss | $ | (6,065 | ) | $ | (3,907 | ) | ||
Basic loss per share | $ | (.72 | ) | $ | (.47 | ) | ||
Number of weighted average common shares outstanding | 8,391,244 | 8,391,244 | ||||||
(A) | Includes $412,000 of income from life insurance proceeds. |
SKYLINE CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED CONDENSED BALANCE SHEETS
CONSOLIDATED CONDENSED BALANCE SHEETS
(Dollars in thousands)
August 31, (Unaudited) | ||||||||
2010 | 2009 | |||||||
ASSETS | ||||||||
Cash and temporary cash investments | $ | 72,073 | $ | 89,081 | ||||
Accounts receivable | 8,976 | 5,887 | ||||||
Inventories | 6,833 | 6,306 | ||||||
Other current assets | 4,472 | 13,840 | ||||||
Total Current Assets | 92,354 | 115,114 | ||||||
Property, Plant and Equipment, net | 26,160 | 30,220 | ||||||
Noncurrent Deferred Tax Assets | — | 12,171 | ||||||
Other Assets | 5,712 | 5,459 | ||||||
Total Assets | $ | 124,226 | $ | 162,964 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Accounts payable, trade | $ | 3,231 | $ | 1,669 | ||||
Accrued liabilities | 11,240 | 13,980 | ||||||
Total Current Liabilities | 14,471 | 15,649 | ||||||
Other Deferred Liabilities | 7,623 | 7,991 | ||||||
Common stock | 312 | 312 | ||||||
Additional paid-in capital | 4,928 | 4,928 | ||||||
Retained earnings | 162,636 | 199,828 | ||||||
Treasury stock, at cost | (65,744 | ) | (65,744 | ) | ||||
Total Shareholders’ Equity | 102,132 | 139,324 | ||||||
Total Liabilities and Shareholders’ Equity | $ | 124,226 | $ | 162,964 | ||||