Exhibit 99.2
------------
UNAUDITED PRO FORMA FINANCIAL STATEMENTS OF TRANSPRO, INC.
The following unaudited pro forma financial information is based on the
historical financial statements of Transpro (as adjusted by the sale of the OEM
business):
1. Unaudited Pro Forma Consolidated Statements of Operations for the
years ended December 31, 2003, 2002 and 2001 and the nine months ended
September 30, 2004 and 2003, which are presented as if the sale of the
OEM business occurred on January 1, 2003. The OEM business will be
treated as a discontinued operation in Transpro's financial
statements.
2. Unaudited Pro Forma Consolidated Balance Sheet as of September 30,
2004, which is presented as if the sale of the OEM business occurred
on September 30, 2004.
These pro forma results of operations are not intended to be indicative of
the actual operating results that might have occurred had the sale of the OEM
business taken place on the date indicated above.
Page 1 of 7
Exhibit 99.2
------------
TRANSPRO, INC.
UNAUDITED CONSOLIDATED PRO FORMA STATEMENT OF OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 2003
(in thousands, except per share amounts)
Discontinued Transpro
Transpro, Inc. Heavy Duty OEM Continuing
As reported Operation Operations
----------- --------- ----------
Net sales $228,704 $29,842 $198,862
Cost of sales 191,037 26,639 164,398
------------------------------------------------
Gross margin 37,667 3,203 34,464
Selling,general and administrative expenses 38,137 1,954 36,183
Restructuring and other special charges 1,490 1,490
------------------------------------------------
Operating (loss) income (1,960) 1,249 (3,209)
Interest expense 3,739 - 3,739
------------------------------------------------
(Loss) income before taxes (5,699) 1,249 (6,948)
Income tax (benefit) (1,163) 478 (1,641)
------------------------------------------------
(Loss) income ($4,536) $ 771 ($5,307)
================================================
(Loss) income per common share:
Basic $ (0.65) ($0.76)
============== =============
Diluted $ (0.65) ($0.76)
============== =============
Weighted average common shares:
Basic 7,106 7,106
============== =============
Diluted 7,106 7,106
============== =============
Page 2 of 7
Exhibit 99.2
------------
TRANSPRO, INC.
UNAUDITED CONSOLIDATED PRO FORMA STATEMENT OF OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 2002
(in thousands, except per share amounts)
Discontinued Transpro
Transpro, Inc. Heavy Duty OEM Continuing
As reported Operation Operations
----------- --------- ----------
Net sales $230,565 $31,800 $198,765
Cost of sales 184,315 28,004 156,311
--------------------------------------------------
Gross margin 46,250 3,796 42,454
Selling,general and administrative expenses 38,866 2,277 36,589
Restructuring and other special charges 1,334 - 1,334
--------------------------------------------------
Operating income 6,050 1,519 4,531
Interest expense 3,744 - 3,744
--------------------------------------------------
Income before taxes 2,306 1,519 787
Income tax (benefit) provision (4,353) 60 (4,413)
--------------------------------------------------
Income $6,659 $1,459 $5,200
==================================================
Income per common share:
Basic $ 0.94 $0.73
============ ===========
Diluted $ 0.94 $0.73
============ ===========
Weighted average common shares :
Basic 7,001 7,001
============ ===========
Diluted 7,121 7,121
============ ===========
Page 3 of 7
Exhibit 99.2
------------
TRANSPRO, INC.
UNAUDITED CONSOLIDATED PRO FORMA STATEMENT OF OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 2001
(in thousands, except per share amounts)
Discontinued Transpro
Transpro, Inc. Heavy Duty OEM Continuing
As reported Operation Operations
----------- --------- ----------
Net sales $203,312 $29,922 $173,390
Cost of sales 175,911 31,948 143,963
-----------------------------------------------
Gross margin 27,401 (2,026) 29,427
Selling,general and administrative expenses 36,840 2,881 33,959
Restructuring and other special charges 3,632 - 3,632
-----------------------------------------------
Operating (loss) (13,071) (4,907) (8,164)
Interest expense 4,527 - 4,527
Loss on debt extinguishment 530 - 530
-----------------------------------------------
(Loss) before taxes (18,128) (4,907) (13,221)
Income tax provision (benefit) 2,710 (196) 2,906
-----------------------------------------------
(Loss) ($20,838) ($4,711) ($16,127)
===============================================
(Loss) per common share:
Basic $ (3.17) $ (2.45)
============== ============
Diluted $ (3.17) $ (2.45)
============== ============
Weighted average common shares :
Basic 6,624 6,624
============== ============
Diluted 6,624 6,624
============== ============
Page 4 of 7
Exhibit 99.2
------------
TRANSPRO, INC.
UNAUDITED CONSOLIDATED PRO FORMA STATEMENT OF OPERATIONS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2004
(in thousands, except per share amounts)
Discontinued Transpro
Heavy Duty OEM Continuing
Transpro, Inc. Operation Operations
-------------- --------- ----------
Net sales $204,128 $36,289 $167,839
Cost of sales 166,030 30,953 135,077
-------------------------------------------------
Gross margin 38,098 5,336 32,762
Selling,general and administrative expenses 31,898 2,275 29,623
-------------------------------------------------
Operating income 6,200 3,061 3,139
Interest expense 3,111 - 3,111
-------------------------------------------------
Income before taxes 3,089 3,061 28
Income tax provision 271 122 149
-------------------------------------------------
Income (loss) $2,818 $2,939 ($121)
=================================================
Income (loss) per common share:
Basic $ 0.39 $ (0.02)
=============== ================
Diluted $ 0.38 $ (0.02)
=============== ================
Weighted average common shares:
Basic 7,106 7,106
=============== ================
Diluted 7,343 7,106
=============== ================
Page 5 of 7
Exhibit 99.2
------------
TRANSPRO, INC.
UNAUDITED CONSOLIDATED PRO FORMA STATEMENT OF OPERATIONS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2003
(in thousands, except per share amounts)
Discontinued Transpro
Heavy Duty OEM Continuing
Transpro, Inc. Operation Operations
-------------- --------- ----------
Net sales $176,631 $21,223 $155,408
Cost of sales 147,228 19,315 127,913
------------------------------------------------
Gross margin 29,403 1,908 27,495
Selling,general and administrative expenses 29,413 1,552 27,861
Restructuring and other special charges 1,260 1,260
------------------------------------------------
Operating (loss) income (1,270) 356 (1,626)
Interest expense 2,854 - 2,854
------------------------------------------------
(Loss) income before taxes (4,124) 356 (4,480)
Income tax (benefit) provision (1,143) 15 (1,158)
------------------------------------------------
(Loss) income ($2,981) $341 ($3,322)
================================================
(Loss) income per common share:
Basic $ (0.43) $ (0.48)
=============== ===============
Diluted $ (0.43) $ (0.48)
=============== ===============
Weighted average common shares:
Basic 7,106 7,106
=============== ===============
Diluted 7,106 7,106
=============== ===============
Page 6 of 7
Exhibit 99.2
------------
TRANSPRO, INC.
UNAUDITED CONSOLIDATED PRO FORMA BALANCE SHEET
SEPTEMBER 30, 2004
(in thousands, except per share amounts)
Heavy Duty OEM Pro forma Transpro
Transpro, Inc. Business Adjustment Adjusted
-------------- -------- ---------- --------
ASSETS
Current assets:
Cash and equivalents $474 $227 $ - $247
Accounts receivable 48,473 6,162 42,311
Inventories:
Raw material and component parts 19,099 3,291 15,808
Work in process 1,272 1,245 27
Finished goods 55,638 369 55,269
-----------------------------------------------------------------
Total inventories 76,009 4,905 71,104
-----------------------------------------------------------------
Other current assets 4,781 213 4,568
-----------------------------------------------------------------
Total current assets 129,737 11,507 - 118,230
-----------------------------------------------------------------
Property, plant and equipment 69,794 21,995 47,799
Accumulated depreciation and amortization (46,721) (15,590) (31,131)
-----------------------------------------------------------------
Net property, plant and equipment 23,073 6,405 - 16,668
-----------------------------------------------------------------
Other assets 8,708 1 - 8,707
-----------------------------------------------------------------
Total assets $161,518 $17,913 $ - $143,605
=================================================================
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Revolving credit debt and current portion of long-term debt $43,278 - ($17,000) $26,278
Accounts payable 39,372 6,827 32,545
Accrued liabilities 21,277 2,597 18,680
-----------------------------------------------------------------
Total current liabilities 103,927 9,424 (17,000) 77,503
-----------------------------------------------------------------
Long-term liabilities:
Long-term debt 746 - 746
Other long-term liabilities 10,455 - 10,455
-----------------------------------------------------------------
Total long-term liabilities 11,201 - - 11,201
-----------------------------------------------------------------
Commitments and contingent liabilities Stockholders' equity:
Preferred stock - - -
Common stock 71 - 71
Paid in capital 55,041 - 55,041
Accumulated (deficit) earnings (4,197) - 8,511 4,314
Accumulated other comprehensive loss (4,510) - (4,510)
Parent equity 8,489 8,489 -
Treasury stock (15) - (15)
-----------------------------------------------------------------
Total stockholders' equity 46,390 8,489 17,000 54,901
-----------------------------------------------------------------
Total liabilities and stockholders' equity $161,518 $17,913 $ - $143,605
=================================================================
Note-The pro forma adjustment reflects utilization of the $17 million of cash
proceeds to pay down debt and recording the estimated gain in accumulated
(deficit) earnings, based upon the September 30, 2004 balance sheet. The actual
gain, which will be recorded during the first quarter of 2005 and be based upon
the closing date balance sheet, is expected to approximate $6 million.
Page 7 of 7
