Exhibit 99
SESA and Subsidiaries
Statement of Operations
Three-Months Ended March 31, 2004
(in Millions and USD)
Consolidated
Entity 1 Entity 2 Entity 3 Entity 4 Entity 5 Eliminations SESA
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Net sales $ 98 $ 3 $ 3 $ 7 $ - $ - $111
Cost of goods sold 79 2 3 6 - - 90
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Gross Profit 19 1 - 1 - - 21
MAT expense 9 1 1 1 - - 12
Amortization expense - - - - - - -
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Operating Income (Loss) 10 - (1) - - - 9
Interest income - - - - 1 - 1
Other income 1 - - 1 - - 2
Loss on debt modification (15) - - - - - (15)
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Earnings before interest and
taxes (4) - (1) 1 1 - (3)
Interest expense 8 - - - - - 8
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Income (Loss) Before Taxes (12) - (1) 1 1 - (11)
Income tax expense (benefit) (4) - - - - - (4)
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Net Income (Loss) $ (8) $ - $(1) $ 1 $ 1 $ - $ (7)
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SESA and Subsidiaries
Statement of Operations
Three-Months Ended March 31, 2003
(in Millions and USD)
Consolidated
Entity 1 Entity 2 Entity 3 Entity 4 Entity 5 Eliminations SESA
----------------------------------------------------------------------------------------
Net sales $83 $ 2 $ 6 $ 7 $ - $ - $ 98
Cost of goods sold 70 1 4 7 - - 82
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Gross Profit 13 1 2 - - - 16
MAT expense 8 1 1 1 - - 11
Amortization expense - - - - - - -
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Operating Income (Loss) 5 - 1 (1) - - 5
Interest income - - - - 3 (2) 1
Other income 4 - - - - - 4
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Earnings before interest and
taxes 9 - 1 (1) 3 (2) 10
Interest expense 6 - - 1 - (2) 5
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Income (Loss) Before Taxes 3 - 1 (2) 3 - 5
Income tax expense (benefit) 2 - - - - - 2
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Net Income (Loss) $ 1 $ - $ 1 $(2) $ 3 $ - $ 3
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SESA and Subsidiaries
Statement of Financial Position
As of March 31, 2004
(in Millions and USD)
Consolidated
Entity 1 Entity 2 Entity 3 Entity 4 Entity 5 Eliminations SESA
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Current Assets:
Cash and cash equivalents $ 14 $ - $ 1 $ 1 $ 1 $ - $ 17
Trade and notes receivable, net 57 2 1 1 - - 61
Miscellaneous receivables 20 - 1 1 12 (7) 27
Inventories 31 2 6 12 - - 51
Prepaid expenses 2 - - - - - 2
Current deferred taxes 2 - - - - - 2
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Total Current Assets 126 4 9 15 13 (7) 160
Investments in affiliates 489 - - - 354 (621) 222
Property, plant and equipment, net 49 - 30 13 - - 92
Intangible assets, net - 4 10 24 - - 38
Non-current deferred taxes 4 - - 4 - - 8
Other assets 19 - - - 1 - 20
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Total Assets $687 $ 8 $49 $56 $368 $(628) $540
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Current Liabilities:
Accounts payable $ 11 $ - $ 2 $ 2 $ - $ - $ 15
Accrued liabilities 81 2 3 13 3 (7) 95
Short-term debt 218 1 1 4 2 (226) -
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Total Current Liabilities 310 3 6 19 5 (233) 110
Long-term debt 407 - - - - - 407
Non-current deferred taxes - - 2 3 - - 5
Postretirement liabilities 3 - - - - - 3
Other liabilities - - 3 4 - - 7
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Total Liabilities 720 3 11 26 5 (233) 532
Shareholders' Equity (Deficit) (33) 5 38 30 363 (395) 8
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Total Liabilities and Shareholders'
Equity (Deficit) $687 $ 8 $49 $56 $368 $(628) $540
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SESA and Subsidiaries
Statement of Financial Position
As of March 31, 2003
(in Millions and USD)
Consolidated
Entity 1 Entity 2 Entity 3 Entity 4 Entity 5 Eliminations SESA
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Current Assets:
Cash and cash equivalents $ 4 $ - $ - $ 1 $ 37 $ - $ 42
Trade and notes receivable, net 62 2 3 3 - - 70
Miscellaneous receivables 17 - - 3 7 (4) 23
Inventories 26 2 4 9 - - 41
Prepaid expenses - - - 1 - - 1
Current deferred taxes 2 - - - - - 2
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Total Current Assets 111 4 7 17 44 (4) 179
Investments in affiliates 438 - - 3 302 (599) 144
Property, plant and equipment, net 47 - 27 42 - - 116
Intangible assets, net - 2 20 86 - - 108
Other assets 15 - - - - - 15
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Total Assets $611 $ 6 $54 $148 $346 $(603) $562
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Current Liabilities:
Accounts payable $ 20 $ - $ 1 $ 1 $ 4 $ - $ 26
Accrued liabilities 42 1 3 15 2 (4) 59
Short-term debt 195 2 1 5 3 (205) 1
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Total Current Liabilities 257 3 5 21 9 (209) 86
Long-term debt 351 - - 23 - (23) 351
Non-current deferred taxes 3 - 3 8 - - 14
Postretirement liabilities - - - - - - -
Other liabilities - - 4 - - - 4
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Total Liabilities 611 3 12 52 9 (232) 455
Shareholders' Equity - 3 42 96 337 (371) 107
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Total Liabilities and Shareholders'
Equity $611 $ 6 $54 $148 $346 $(603) $562
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SESA and Subsidiaries
Statement of Cash Flows
Three-Months Ended March 31, 2004
(in Millions and USD)
Consolidated
Entity 1 Entity 2 Entity 3 Entity 4 Entity 5 Eliminations SESA
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Operating Activities:
Net income (loss) $ (8) $ - $(1) $ 1 $ 1 $ - $ (7)
Income and deferred taxes (4) - - - - - (4)
Depreciation and amortization 2 - 1 1 - - 4
Amortization of debt issue costs and debt
discount/premium - - - - - - -
Restructuring expenses and other charges 15 - - - - - 15
Equity affiliate - - - - - - -
Accounts Receivable 12 - 4 2 - - 18
Inventories 3 - (2) (5) - - (4)
Accounts Payable (1) - - (1) (1) - (3)
Reorganization items - - - - - - -
Pretax gain/loss from asset disposals - - - - - - -
Other assets and liabilities (16) (1) (1) 2 - - (16)
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Cash Provided by (Used in) Operations 3 (1) 1 - - - 3
Investing Activities:
Property, plant and equipment purchases - - (1) - - - (1)
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Cash Used in Investing Activities - - (1) - - - (1)
Financing Activities:
Debt issuance costs (4) - - - - - (4)
Net intercompany transactions 4 1 1 (1) - - 5
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Cash Provided by (Used in) Financing
Activities - 1 1 (1) - - 1
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Increase (Decrease) in Cash and Cash
Equivalents 3 - 1 (1) - - 3
Cash and Cash Equivalents:
Beginning of period 11 - - 2 1 - 14
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End of period $ 14 $ - $ 1 $ 1 $ 1 $ - $ 17
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SESA and Subsidiaries
Statement of Cash Flows
Three-Months Ended March 31, 2003
(in Millions and USD)
Consolidated
Entity 1 Entity 2 Entity 3 Entity 4 Entity 5 Eliminations SESA
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Operating Activities:
Net income (loss) $ 1 $ - $ 1 $ (2) $ 3 $ - $ 3
Income and deferred taxes 2 - - - - - 2
Depreciation and amortization 2 - 1 2 - - 5
Amortization of debt issue costs and debt
discount/premium - - - - - - -
Restructuring expenses and other charges (4) - - - - - (4)
Accounts Receivable (13) (1) (2) 3 - - (13)
Inventories 1 - - - - - 1
Accounts Payable 7 - 1 - 3 - 11
Pretax gain/loss from asset disposals (1) - - - - - (1)
Other assets and liabilities (7) - - - 1 - (6)
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Cash Provided by (Used in) Operations (12) (1) 1 3 7 - (2)
Investing Activities:
Property, plant and equipment purchases - - (1) - - - (1)
Property disposals and investment proceeds 1 - - - - - 1
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Cash Provided by (Used in) Investing
Activities 1 - (1) - - - -
Financing Activities:
Net change in short-term debt obligations - - - - - - -
Net change in long-term debt obligations - - (12) (13) - - (25)
Net intercompany transactions (3) 1 12 11 6 - 27
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Cash Provided by (Used in) Financing
Activities (3) 1 - (2) 6 - 2
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Increase (Decrease) in Cash and Cash
Equivalents (14) - - 1 13 - -
Cash and Cash Equivalents:
Beginning of period 18 - - - 24 - 42
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End of period $ 4 $ - $ - $ 1 $37 $ - $ 42
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