Exhibit 99.1
WALTER INDUSTRIES ANNOUNCES FIRST QUARTER 2006 RESULTS
- Earnings of $0.71 Per Diluted Share Reported -
- Income Growth Reflects Significantly Higher Metallurgical Coal Prices and
Mueller Acquisition -
TAMPA, Fla., April 27 /PRNewswire-FirstCall/ -- Walter Industries, Inc. (NYSE:
WLT) today reported first quarter earnings of $35.3 million, or $0.71 per
diluted share for the quarter ended March 31, 2006, compared with earnings of
$18.8 million, or $0.41 per diluted share in the first quarter last year.
Net income for the first quarter includes acquisition-related after-tax charges
of $13.5 million. This amount includes $7.0 million of purchase
accounting-related inventory step-up charges, $2.5 million of restructuring
charges related to the previously announced closure of U.S. Pipe's valve and
hydrant facility in Chattanooga, Tenn. and $4.0 million of ongoing amortization
of intangibles at Mueller and Anvil.
"We are very pleased with our first quarter results, which were in line with our
internal expectations," said Walter Industries Chairman and CEO Gregory E.
Hyland. "We generated significant income growth over the previous year,
reflecting the addition of Mueller's results in the current year, as well as
higher metallurgical coal prices and solid production in our Natural Resources
segment."
Hyland added, "Mueller and Anvil continue to deliver solid revenue growth and
strong operating income results. The integration plan with U.S. Pipe is ahead of
schedule and we remain on track to launch the initial public offering of our
Water Products business during the second quarter."
Net sales and revenues for the first quarter were $753.3 million, up from $366.3
million in the prior-year period. Current quarter results include the addition
of $320.8 million in revenues from Mueller and Anvil. First quarter 2006 results
also include revenue growth of 55.6 percent at Natural Resources due to higher
metallurgical coal pricing and 32.3 percent in the Homebuilding segment
principally as a result of increased unit completions versus the prior-year
period.
Operating income for the quarter totaled $96.0 million compared with operating
income in the first quarter of 2005 of $31.8 million. Current period results
include acquisition-related pre-tax charges of $23.3 million. This amount
includes $12.0 million of pre-tax purchase accounting-related inventory step-up
charges, $4.3 million of pre-tax restructuring charges at U.S. Pipe and $7.0
million of pre-tax ongoing amortization of intangibles at Mueller and Anvil.
The year-over-year growth in operating income primarily reflects the addition of
Mueller and Anvil results in the current year as well as increased operating
income from the Company's Natural Resources segment due to higher metallurgical
coal pricing.
First Quarter Segment Results by Operating Group
Water Products
Walter Industries acquired Mueller and Anvil on Oct. 3, 2005; therefore, Mueller
and Anvil financial results for the first quarter of 2005 are not included in
the reported consolidated first quarter 2005 results for Walter Industries.
However, in an effort to enhance comparability and evaluate first quarter
period-to-period performance, variances to pro forma calendar first quarter
prior year financial results for these segments are presented below.
"Our Water Products business continues to generate solid top-line growth,
primarily due to increasing orders for infrastructure products such as valves
and hydrants," Hyland said. "Excluding the acquisition-related charges discussed
below, overall profitability from this operating group has increased,
particularly with respect to our Mueller segment, and we are starting to see the
benefits from our synergy-related activities."
Mueller
Mueller reported revenues of $193.3 million for the first quarter of 2006,
compared to $170.1 million in the prior-year period. The 13.6 percent increase
versus the prior-year period was primarily due to solid demand for iron gate
valves and fire hydrants, and includes additional valve and hydrant volume
associated with the transfer of U.S. Pipe's valve and hydrant production to
Mueller's Chattanooga, Tenn. and Albertville, Ala. facilities, which began
Jan.1, 2006.
Operating income for Mueller was $33.9 million for the quarter, compared to
$32.7 million in last year's first quarter. Current year results include $6.8
million of expense related to acquisition-related inventory step-up and $6.0
million of incremental ongoing amortization of intangibles. Excluding those
expenses, operating income rose 42.8 percent due to improved valve volumes and
hydrant margins and the transfer of U.S. Pipe's valve and hydrant business,
partially offset by higher brass and scrap iron material costs.
Mueller has also taken another step in its facility rationalization program by
recently announcing the closure of its Milton, Ontario plant, scheduled for July
2006.
U.S. Pipe
U.S. Pipe reported $119.7 million in revenue for the first quarter of 2006,
compared to $124.7 million for the prior-year period. Revenue in the prior-year
period included $13.2 million of valve and hydrant revenues, which were
transferred to Mueller as of Jan. 1, 2006. Excluding the valve and hydrant
revenue from the prior period, revenues increased 7.4 percent.
U.S. Pipe reported an operating loss of $5.2 million for the first
quarter of 2006, compared to operating income of $5.5 million in the
prior-year period. Current year results include restructuring charges of
$4.3 million related to the previously announced closure of U.S. Pipe's
Chattanooga facility. Results for the prior-year period included
approximately $2.7 million in valve and hydrant operating income and
also included a $5.1 million favorable impact from a non-operating
insurance settlement. Excluding these items, operating income improved
by $1.4 million in the current quarter, reflecting improved margins,
partially offset by higher scrap costs.
Anvil
Anvil reported revenues of $127.5 million for the first quarter of 2006,
compared to $115.1 million in the prior-year period, reflecting a 10.8 percent
increase primarily due to stronger demand from commercial construction markets.
Operating income for Anvil was $1.4 million for the quarter, compared to $6.0
million in last year's first quarter. The current-year period includes $5.2
million of acquisition-related inventory step-up expense and $0.2 million of
incremental ongoing amortization of intangibles. Excluding these expenses,
operating income increased 13.3 percent on higher volume and stable margins,
partially offset by higher freight costs and depreciation expense in the
current-year period.
Natural Resources & Sloss
Natural Resources
The Natural Resources segment reported first quarter revenue of $169.1 million,
up 55.6 percent versus the same period last year, primarily driven by a 51.8
percent increase in metallurgical coal prices and 37.6 percent higher natural
gas prices.
Jim Walter Resources sold 1.5 million tons of coal at an average price of $97.78
per ton, compared to 1.5 million tons of coal at an average price of $64.05 per
ton during the same period last year. The natural gas operation sold 1.8 billion
cubic feet of gas at an average price of $9.29 per thousand cubic feet versus
1.8 billion cubic feet of gas at $6.75 per thousand cubic feet in the prior-year
quarter.
During the quarter, Jim Walter Resources satisfied the remainder of its steam
coal contract obligation with Alabama Power. All coal sales for the remainder of
2006 will be directed to the higher-priced metallurgical coal market. Steam coal
sales volume, which sold at virtually no margin, totaled 0.3 million tons in the
first quarter of 2006.
Operating income for the quarter totaled $63.9 million, compared to operating
income of $24.5 million in the prior-year period. The increase is primarily due
to higher metallurgical coal and natural gas pricing, partially offset by higher
production costs. Coal cost of sales was higher in the current-year period,
reflecting expected higher costs at Mine No. 5 as it nears the end of its useful
life. In addition, first quarter cost of sales were higher as a result of
adverse fourth quarter geological conditions encountered in Mine No. 7 that have
since been rectified.
First quarter mining production totaled 1.8 million tons compared to 1.9 million
tons in last year's first quarter. Production costs in the current quarter
increased compared to the prior-year period, principally due to the higher costs
at Mine No. 5 and slightly lower yields at Mine No. 4. Mine No. 7 performed well
in the current-year period, with production volumes up 30 percent over last
year's first quarter. Supplies and labor costs increased approximately $3 per
ton in the current-year period compared to the prior-year period.
Sloss Industries
Sloss Industries, included in the "Other" segment, reported revenues for the
first quarter of $33.2 million, up $2.1 million from the prior-year period.
Operating income for the quarter totaled $2.2 million, $0.4 million better than
the same period last year, reflecting higher product margins and improved plant
performance, partially offset by higher metallurgical coal costs.
Homebuilding & Financing
Homebuilding
The Homebuilding segment reported first quarter revenues of $64.4 million, an
increase of $15.7 million, or 32.2 percent over the same period last year.
Homebuilding completed 767 homes during the quarter, an increase of 117 homes
versus the same period last year. The average net selling price for the quarter
was $83,700, versus $74,800 for the prior-year period.
The segment reported an operating loss of $6.3 million for the first quarter
compared to an operating loss of $8.5 million during the same period last year.
This improvement in operating results for the quarter compared to the prior year
is a result of an 18.0 percent increase in unit completions, as well as lower
legal, advertising and consulting expenses.
Financing
The Financing segment reported first quarter revenue of $56.0 million, down 5.2
percent versus the prior-year period. The decline in revenue was primarily
attributed to $2.2 million of lower prepayment revenue and a lower instalment
note portfolio balance in the current year. Prepayment speeds were 9.1 percent
in the first quarter of 2006 versus 10.0 percent in the prior-year period.
Operating income for the segment totaled $13.0 million in the first quarter
versus $14.6 million for the prior-year period. Lower operating income for the
quarter primarily reflects the impact of lower prepayment income, partially
offset by lower interest expense, a favorable reduction in provision for losses
and a credit in the current-year period for estimated hurricane insurance
losses. At March 31, 2006, delinquencies (the percentage of amounts outstanding
more than 30 days past due) improved slightly to 3.7 percent from 3.9 percent at
March 31, 2005.
Other
Corporate expenses, included in the "Other" segment, increased by $0.8 million
in the first quarter, primarily reflecting $0.7 million in higher costs related
to expensing stock options associated with FAS 123(R), "Share- Based Payment".
Interest expense totaled $42.6 million in the first quarter versus $3.6 million
for the same period last year, reflecting the increased debt associated with the
Mueller acquisition. Interest expense also includes $1.6 million of inducement
costs related to the conversion of $26.6 million of the Company's Convertible
Senior Subordinated Notes and a $1.6 million write-off of unamortized term debt
expense. The unamortized debt expense write off was associated with the early
retirement of senior bank term debt, using proceeds from the Company's common
stock offering of 2.65 million shares during the first quarter.
Income tax expense recorded in the first quarter of 2006 reflects an effective
rate of 34.0 percent versus 32.0 percent in the first quarter of 2005.
Conference Call Web cast
Walter Industries Chairman and CEO Greg Hyland and members of the Company's
leadership team will discuss quarterly results and other general business
matters on a conference call and live Webcast to be held on Friday, April 28,
2006, at 9 a.m. Eastern Daylight Time. To listen to the event live or in
archive, visit the Company Web site at http://www.walterind.com.
About Walter Industries
Walter Industries, Inc. is a diversified company with annual revenues of
approximately $3.0 billion. The Company is a leader in water infrastructure,
flow control and water transmission products, with respected brand names such as
Mueller, U.S. Pipe, James Jones, Henry Pratt and Anvil. The Company is also a
significant producer of high-quality metallurgical coal and natural gas for
worldwide markets and is a leader in affordable homebuilding and financing.
Based in Tampa, Fla., the Company employs approximately 10,000 people. For more
information about Walter Industries, please visit the Company Web site at
http://www.walterind.com.
Safe Harbor Statement
Except for historical information contained herein, the statements in this
release are forward-looking and made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995. Forward-looking statements
involve known and unknown risks and uncertainties that may cause the Company's
actual results in future periods to differ materially from forecasted results.
Those risks include, among others, changes in customers' demand for the
Company's products, changes in raw material, labor, equipment and transportation
costs and availability, geologic and weather conditions, changes in extraction
costs and pricing in the Company's mining operations, changes in customer
orders, pricing actions by the Company's competitors, changes in law, the
collection of approximately $14 million of receivables associated with a working
capital adjustment arising from the sale of a subsidiary in 2003, potential
changes in the mortgage-backed capital markets, and general changes in economic
conditions. Those risks also include the timing of and ability to execute on the
initial public offering and spin-off of the Company's Water Products business
and any other strategic action that may be pursued. Risks associated with
forward-looking statements are more fully described in the Company's and
Mueller's filings with the Securities and Exchange Commission. The Company
assumes no duty to update its forward-looking statements as of any future date.
WALTER INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
($ in Thousands)
Unaudited
For the three months
ended March 31,
----------------------------
2006 2005
------------ ------------
Net sales and revenues:
Net sales $ 694,693 $ 307,678
Interest income on instalment
notes 50,530 53,493
Miscellaneous 8,046 5,110
753,269 366,281
Cost and expenses:
Cost of sales (exclusive of
depreciation) 493,981 238,900
Depreciation 25,693 14,320
Selling, general and administrative 90,362 42,570
Provision for losses on instalment
notes 2,305 3,185
Postretirement benefits 4,017 3,238
Interest expense -- mortgage-
backed/asset-backed notes 29,976 31,435
Interest expense -- other debt 42,552 3,612
Amortization of intangibles 7,690 1,063
Credit for estimated hurricane
insurance losses (1,046) (556)
Restructuring and impairment charges 4,261 305
699,791 338,072
Income from continuing operations
before income tax expense 53,478 28,209
Income tax expense (18,179) (9,027)
Income from continuing operations 35,299 19,182
Discontinued operations, net of
income taxes (1) -- (417)
Net income $ 35,299 $ 18,765
Basic income per share:
Income from continuing operations $ 0.86 $ 0.51
Discontinued operations -- (0.01)
Net income $ 0.86 $ 0.50
Weighted average number of shares
outstanding 40,881,505 37,719,968
Diluted income per share:
Income from continuing operations $ 0.71 $ 0.41
Discontinued operations -- --
Net income $ 0.71 $ 0.41
Weighted average number of dilutive
securities 50,980,495 48,799,982
(1) 2005 expenses resulted from the Company's sale of its AIMCOR subsidiary in
December 2003.
WALTER INDUSTRIES, INC. AND SUBSIDIARIES
RESULTS BY OPERATING SEGMENT
($ in Thousands)
Unaudited
For the three months
ended March 31,
----------------------------
2006 2005
------------ ------------
NET SALES AND REVENUES:
Homebuilding $ 64,389 $ 48,679
Financing 56,019 59,093
Mueller 193,339 --
Anvil 127,471 --
U.S. Pipe 119,734 124,689
Natural Resources 169,098 108,695
Other 36,448 33,277
Consolidating Eliminations (13,229) (8,152)
$ 753,269 $ 366,281
OPERATING INCOME (LOSS):
Homebuilding $ (6,308) $ (8,549)
Financing 12,992 14,586
Mueller 33,917 --
Anvil 1,355 --
U.S. Pipe (5,159) 5,480
Natural Resources 63,925 24,542
Other (3,132) (2,478)
Consolidating Eliminations (1,560) (1,760)
Operating income 96,030 31,821
Other debt interest expense (42,552) (3,612)
Income from continuing operations
before income tax expense $ 53,478 $ 28,209
WALTER INDUSTRIES, INC. AND SUBSIDIARIES
SUPPLEMENTAL INFORMATION
Unaudited
For the three months
ended March 31,
----------------------------
2006 2005
------------ ------------
Depreciation ($ in thousands):
Homebuilding $ 1,312 $ 1,196
Financing 342 360
Mueller 6,706 --
Anvil 5,001 --
U.S. Pipe 5,322 6,552
Natural Resources 5,845 5,047
Other 1,165 1,165
$ 25,693 $ 14,320
Amortization of intangibles ($ in
thousands):
Financing $ 697 $ 1,063
Mueller 6,269 --
Anvil 724 --
$ 7,690 $ 1,063
Restructuring and impairment charges
($ in thousands):
U.S. Pipe Chattanooga plant
shutdown costs $ 4,261 $ --
Mine No. 5 shutdown costs -- 305
$ 4,261 $ 305
Operating Data:
Homebuilding
New sales contracts 776 1,025
Cancellations 151 178
Unit completions 767 650
Average sale price $ 83,700 $ 74,800
Ending homes backlog 2,035 2,198
Financing
Delinquencies 3.7% 3.9%
Prepayment speeds 9.1% 10.0%
U.S. Pipe
Ending pipe & fittings backlog,
tons 80,418 94,794
Ending pipe & fittings backlog,
dollars ($ in thousands) $ 72,470 $ 85,050
Sloss Industries
Tons of foundry coke sold 27,746 34,924
Tons of furnace coke sold 73,264 62,250
Foundry coke average sale price
per ton $ 261.06 $ 253.81
Furnace coke average sale price
per ton $ 208.19 $ 206.00
WALTER INDUSTRIES, INC. AND SUBSIDIARIES
SUPPLEMENTAL INFORMATION
Unaudited
For the three months
ended March 31,
----------------------------
2006 2005
------------ ------------
Operating Data:
Natural Resources
Tons sold by type (in thousands):
Metallurgical coal, contracts 1,245 1,027
Metallurgical coal, spot sales -- 82
Steam coal 297 392
1,542 1,501
Average sale price per ton:
Metallurgical coal, contracts $ 112.70 $ 71.20
Metallurgical coal, spot sales $ -- $ 112.13
Steam coal $ 35.38 $ 35.27
Tons sold by mine (in thousands):
Mine No. 4 856 688
Mine No. 7 516 478
Mine No. 5 170 335
1,542 1,501
Coal cost of sales:
Mine No. 4 per ton $ 48.48 $ 33.04
Mine No. 7 per ton $ 50.28 $ 56.55
Mine No. 5 per ton $ 83.31 $ 45.86
Mine No. 7 idle costs ($ in
thousands) (1) $ 200 $ --
Other costs ($ in thousands) (2) $ 2,424 $ 1,027
Tons of coal produced (in thousands) 1,815 1,931
Coal production costs per ton: (3)
Mine No. 4 $ 34.43 $ 26.60
Mine No. 7 $ 34.79 $ 36.56
Mine No. 5 $ 61.53 $ 42.38
Total $ 38.56 $ 32.75
Natural gas sales, in mmcf
(in thousands) 1,831 1,756
Natural gas average sale price per
mmcf $ 9.29 $ 6.75
Natural gas cost of sales per mmcf $ 3.24 $ 2.62
(1) Idle costs are charged to period expense when incurred.
(2) Consists of charges (credits) not directly allocable to a specific mine.
(3) Coal production costs per ton are a component of inventoriable costs. Other
inventoriable costs not included in coal production costs per ton include
Company-paid outbound freight, postretirement benefits, asset retirement
obligation expenses, royalties and Black Lung excise taxes.
WALTER INDUSTRIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
($ in Thousands)
Unaudited
March 31, December 31,
2006 2005
------------ ------------
ASSETS
Cash and cash equivalents $ 146,216 $ 137,396
Short-term investments, restricted 84,442 124,573
Instalment notes receivable, net of
allowance of $12,708 and $12,489,
respectively 1,726,879 1,693,922
Receivables, net 363,237 334,322
Income tax receivable 20,883 16,793
Inventories 585,295 551,293
Prepaid expenses 27,365 31,320
Property, plant and equipment, net 617,402 603,350
Investments 6,000 6,056
Deferred income taxes -- --
Unamortized debt expense 70,694 75,062
Other long-term assets 83,288 73,247
Identifiable intangibles, net 857,155 858,122
Goodwill 866,392 867,556
$ 5,455,248 $ 5,373,012
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable $ 183,866 $ 161,215
Accrued expenses 192,966 213,596
Deferred income taxes 236,827 215,874
Debt:
Mortgage-backed/asset-backed notes 1,660,591 1,727,329
Other debt 2,042,818 2,172,453
Accrued interest 41,017 32,619
Accumulated postretirement benefits
obligation 273,917 275,336
Other long-term liabilities 288,095 285,974
Total liabilities 4,920,097 5,084,396
Stockholders' equity 535,151 288,616
$ 5,455,248 $ 5,373,012
WALTER INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY
AND COMPREHENSIVE INCOME
FOR THE THREE MONTHS ENDED MARCH 31, 2006
($ in Thousands)
Unaudited
Comprehensive Accumulated
Total Income Deficit
------------ -------------- --------------
Balance at December 31, 2005 $ 288,616 $ (602,002)
Comprehensive income:
Net income 35,299 $ 35,299 35,299
Other comprehensive income
(loss), net of tax:
Cumulative foreign
currency translation
adjustment (6) (6)
Net unrealized gain on
hedges 10,363 10,363
Comprehensive income $ 45,656
Sale of common stock 168,829
Stock issued upon conversion of
convertible notes 25,862
Stock issued upon exercise of
stock options 2,250
Tax benefit from the exercise of
stock options 4,051
Dividends paid, $0.04 per share (1,568)
Stock-based compensation 1,455
Balance at March 31, 2006 $ 535,151 $ (566,703)
Accumulated
Other Capital in
Comprehensive Excess
Income Common of Treasury
(Loss) Stock Par Value Stock
------------- ------------- ------------- -------------
Balance at December 31, 2005 $ (61,414) $ 598 $ 1,210,751 $ (259,317)
Comprehensive income:
Net income
Other comprehensive income
(loss), net of tax:
Cumulative foreign
currency translation
adjustment (6)
Net unrealized gain on
hedges 10,363
Comprehensive income
Sale of common stock 26 168,803
Stock issued upon conversion of
convertible notes 15 25,847
Stock issued upon exercise of
stock options 4 2,246
Tax benefit from the exercise of
stock options 4,051
Dividends paid, $0.04 per share (1,568)
Stock-based compensation 1,455
Balance at March 31, 2006 $ (51,057) $ 643 $ 1,411,585 $ (259,317)
WALTER INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
($ in Thousands)
Unaudited
For the three months
ended March 31,
----------------------------
2006 2005
------------ ------------
OPERATING ACTIVITIES
Net income $ 35,299 $ 18,765
Adjustments to reconcile income to
net cash provided by (used in)
continuing operations:
Discontinued operations, net of tax -- 417
Provision for losses on instalment
notes receivable 2,305 3,185
Depreciation 25,693 14,320
Provision for (benefit from) deferred
income taxes 16,558 (3,870)
Tax benefit on the exercise of
employee stock options (4,051) 12,995
Decrease in other long term assets 6,456 --
Increase in other long term
liabilities 2,121 3,041
Amortization of intangibles 7,690 1,063
Amortization of debt expense 4,345 1,626
Stock-based compensation expense 1,455 363
Other 2,949 (1,399)
Decrease (increase) in assets:
Receivables (28,710) (3,767)
Income tax receivable (4,093) (74)
Inventories (31,915) (52,906)
Prepaid expenses 3,968 (992)
Increase (decrease) in liabilities:
Accounts payable 3,378 10,569
Accrued expenses (21,200) (11,104)
Accrued interest 8,398 466
Cash flows provided by (used
in) continuing operations 30,646 (7,302)
Cash flows used in
discontinued operations -- (417)
Cash flows provided by (used
in) operating activities 30,646 (7,719)
INVESTING ACTIVITIES
Acquisitions, net of cash acquired (5,095) --
Notes from sales and resales of
homes, purchases of loans,
repossessions and write-offs (127,882) (93,812)
Cash collections on accounts and
payouts in advance of maturity 92,620 106,915
Decrease in short-term
investments, restricted 40,131 686
Additions to property, plant and
equipment (43,338) (23,323)
Cash proceeds from sale of
property, plant and equipment 2,699 366
Decrease in investments 56 328
Cash flows used in investing
activities (40,809) (8,840)
FINANCING ACTIVITIES
Issuances of mortgage-backed/
asset- backed notes -- 30,500
Retirements of mortgage-backed/
asset- backed notes (66,781) (70,260)
Proceeds from issuance of other
debt -- 16,900
Retirements of other debt (106,406) (10,000)
Increase in the dollar value of
bank checks outstanding 19,261 --
Cash dividends paid (1,568) (1,494)
Sale of common stock 168,829 --
Exercise of employee stock options 2,250 13,319
Tax benefit on the exercise of
employee stock options 4,051 --
Other (653) (583)
Cash flows provided by (used
in) financing activities 18,983 (21,618)
Net increase (decrease) in cash and
cash equivalents 8,820 (38,177)
Cash and cash equivalents at
beginning of period 137,396 46,924
Cash and cash equivalents at end of
period $ 146,216 $ 8,747
SOURCE Walter Industries, Inc.
-0- 04/27/2006
/CONTACT: Investors, Joseph J. Troy, Sr. Vice President, +1-813-871-4404,
or jtroy@walterind.com, or media, Michael A. Monahan, Director - Corporate
Communications, +1-813-871-4132, or mmonahan@walterind.com/
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