PETROPLUS HOLDINGS AG IN LIQUIDATION 
By
Petroplus Holdings AG Industriestrasse 24
CH-6304 Zug
Switzerland
Zug, Switzerland, November 2, 2011 - Petroplus Holdings AG
(SIX: PPHN) today reported an estimated clean net loss of
$(95) million, or $(1.02) per share, for the three months
ended September 30, 2011, compared to estimated clean net
loss of $(70) million, or $(0.74) per share, for the three
months ended September 30, 2010.
In accordance with the International Financial Reporting
Standards ("IFRS") presentation, Petroplus reported a net
loss of $(146.6) million, or $(1.54) per share, for the three
months ended September 30,
2011, compared to a net loss of $(93.8) million, or $(0.99)
per share, for the three months ended
September 30, 2010. For the nine months ended September 30,
2011, Petroplus reported a net loss of
$(413.3) million, or $(4.34) per share, as compared to a net
loss of $(250.3) million, or $(2.74) per share for the nine
months ended September 30, 2010. Included in the nine months
2011 results are non-cash impairment charges of $140.3
million and net restructuring charges totaling $133.5
million, pre-tax, due to the decision on March 31, 2011, to
cease refining operations at Reichstett and convert the site
to a terminal.
Presentation slides have been posted on the Investor
Relations section of our website at http://investors.petroplusholdings.com.
The slides include an example of the estimated impact of the
net change in the crude and product price environment on the
third quarter 2011 results, as well as fourth quarter and
2012 outlook information.
Jean-Paul Vettier, Petroplus' Chief Executive Officer, said,
"The third quarter was very difficult. Although European
refining margins initially showed some improvement over the
weak second quarter conditions, there was a severe
deterioration resulting in negative margins in September as
commodity prices plunged amid increasing concerns about the
European debt crisis. Crude differentials also worsened due
to the negative impact of the lost Libyan crude supply,
seasonal maintenance in the North Sea and tight supply of
sour barrels, especially Urals. Operationally, throughputs
increased compared to the previous quarter but were capped by
economics due to the extremely low margin environment in
September. We continue to make good progress on our 3-Year
Improvement Plan, with notable improvements in operational
reliability, gross margin capture and energy efficiency. As
evidence of the
benefits that the program is producing, we have already
generated, in the first nine months of 2011, more clean
EBITDA than in all of 2009, despite weaker market conditions.
We remain focused on continuing to improve the
competitiveness of our portfolio through the 3YIP and other
changes such as the recently proposed reconfiguration of the
Petit Couronne refinery."
Joseph D. Watson, Petroplus' Chief Financial Officer, said,
"We ended the quarter in a net cash position (cash, net of
short term borrowings) of approximately $168 million, no cash
borrowings under our Revolving Credit Facility, and with
approximately $550 million in headroom under the RCF. At
September 30, 2011, our clean Group EBITDA to net interest
expense coverage ratio was below the RCF covenant requirement
of 2.5 to 1.0 due to the weak second and third quarter
financial results owing to the very difficult refining margin
environment. On October 31, 2011, we received consent from
our RCF lenders granting us a waiver for this covenant
through the first quarter of 2012, in addition to a reduction
in the minimum consolidated tangible net worth covenant to
$1.0 billion and the current assets to current liabilities
covenant to 1.0:1 for the same period. We continue to work
closely with our RCF lenders, as well as other liquidity
providers, to ensure that we can meet our liquidity needs
through long-term, stable structures. Our net debt-to-net
capitalization ratio at September 30, 2011, was approximately
49 percent, compared to 43 percent at June 30, 2011."
Jean-Paul Vettier said, "Margins have remained weak during
the fourth quarter to date, but have recovered from the
extreme lows in September. As Libyan crude barrels have begun
to return to the market, premiums for light-sweet crudes are
starting to become more favorable for us, and we have also
seen supportive signs from the middle distillate market. The
current low margin environment has also increased the pace of
the industry's capacity rationalization process, with several
new announcements in the past months totaling nearly one
million barrels per day on the U.S. East Coast and in Europe.
This should be supportive to margins going forward."
The company's conference call concerning the third quarter
results will be available live via webcast today, November 2,
2011, at 2:00 p.m. CET on the investor relations section of
the Petroplus Holdings AG website at http://investors.petroplusholdings.comor by dialing the following phone number: +44
20
7136 2051.
Petroplus Holdings AG is the largest independent refiner and
wholesaler of petroleum products in Europe. Petroplus focuses
on refining and currently owns and operates five refineries
across Europe: the Coryton Refinery in the United Kingdom;
the Antwerp Refinery in Belgium; the Petit Couronne Refinery
in France; the Ingolstadt Refinery in Germany; and the
Cressier Refinery in Switzerland. The refineries have a
combined throughput capacity of approximately 667,000 barrels
per day.
This press release contains forward-looking statements,
including the company's current expectations with respect to
future market conditions, future operating results, the
future performance of its refinery operations, and other
plans. Words such as "expects," "intends," "plans,"
"projects," "believes," "estimates," "may," "will," "should,"
"shall," and similar expressions typically identify such
forward- looking statements. Even though Petroplus believes
the expectations reflected in such forward-looking statements
are based on reasonable assumptions, it can give no assurance
that its expectations will be attained.
Contact information:
Fredrik Olsson: +41 (0) 58 580 1244
INCOME STATEMENT DATA: Revenue 2) | $ 19,272.8 | $ 15,014.3 | $ 6,495.5 | $ 5,145.8 | |||
Materials cos t | (18,419.6) | (14,235.0) | (6,356.4) | (4,911.0) | |||
Gros s margin | 853.2 | 779.3 | 139.1 | 234.8 | |||
Other income 2) | 93.8 | 39.3 | 87.9 | 6.2 | |||
Pers onnel expens es | (290.1) | (267.0) | (88.6) | (91.3) | |||
Operating expens es | (407.9) | (312.4) | (164.5) | (107.0) | |||
Depreciation, amortization and impairment | (388.3) | (250.9) | (81.9) | (83.1) | |||
Res tructuring expens es , net | (133.5) | (6.4) | (1.8) | - | |||
Other adminis trative expens es | (35.3) | (35.3) | (12.1) | (12.9) | |||
Operating los s | (308.1) | (53.4) | (121.9) | (53.3) | |||
Financial expens e, net | (143.3) | (140.3) | (50.1) | (46.0) | |||
Foreign currency exchange (los s )/gain | (1.2) | (2.6) | (0.2) | 1.1 | |||
Los s on dis pos al of s ubs idiaries | - | (3.3) | - | - | |||
Share of los s from as s ociates | - | (8.0) | - | (4.2) | |||
Los s before income taxes | (452.6) | (207.6) | (172.2) | (102.4) | |||
Income tax benefit/(expens e) | 39.3 | (42.7) | 25.6 | 8.6 | |||
Net los s | $ (413.3) | $ (250.3) | $ (146.6) | $ (93.8) |
Earnings per s hare (in USD): Bas ic:
Net los s per s hare | $ (4.34) | $ (2.74) | $ (1.54) | $ (0.99) | |||
Weighted average s hares outs tanding (in millions ) | 95.3 | 91.1 | 95.3 | 95.2 | |||
Diluted: Net los s per s hare | $ (4.34) | $ (2.74) | $ (1.54) | $ (0.99) | |||
Weighted average s hares outs tanding (in millions ) | 95.3 | 91.1 | 95.3 | 95.2 |
1) The 2011 and 2010 financials have been res tated to comply with IFRS 5 Non-current Assets Held for Sale and
Discontinued Operations.
2) Certain prior period amounts have been reclas s ified to conform to current period pres entation.
Petroplus Holdings AG and Subs idiaries Earnings Releas e (in millions of USD) BALANCE SHEET DATA: September 30, 2011 December 31, 2010Cas h and s hort-term depos its
Total as s ets
Total interes t-bearing loans and s hort-term borrowings
Shareholders ' equity
$ 191.0 $
$ 7,054.5 $
$ 1,721.4 $
$ 1,592.9 $
179.0
6,769.6
1,692.0
2,003.9
