Viskase : Quarterly Report for the Quarter Ended June 30, 2021

VISKASE COMPANIES, INC.

Financial statements for the fiscal quarter ended June 30, 2021

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CONSOLIDATED FINANCIAL STATEMENTS OF VISKASE COMPANIES, INC. AND SUBSIDIARIES

1. Financial Statements:

Consolidated Balance Sheets as of June 30, 2021 (unaudited) and December 31, 2020

Consolidated Statements of Operations for the three and six months ended June 30, 2021 and June 30, 2020 (unaudited)

Consolidated Statements of Comprehensive Loss for the three and six months ended June 30, 2021 and June 30, 2020 (unaudited)

Consolidated Statements of Stockholders' Equity for the for the six months ended June 30, 2021 (unaudited) and year ended December 31, 2020

Consolidated Statements of Cash Flows for the six months ended June 30, 2021 and June 30, 2020 (unaudited)

VISKASE COMPANIES, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS

(In Thousands, Except for Number of Shares)

	June 30, 2021		December 31, 2020
ASSETS	(unaudited)
Current assets:
Cash and cash equivalents	$9,003	$15,848
Receivables, net	92,768	87,946
Inventories	93,474	89,254
Other current assets	47,784		46,649
Total current assets	243,029	239,697
Property, plant and equipment	406,693	405,199
Less accumulated depreciation	(255,993)		(245,162)
Property, plant and equipment, net	150,700	160,037
Right of use assets	29,922	31,700
Other assets, net	16,326	15,899
Intangible assets	21,266	22,787
Goodw ill	3,523	3,620
Deferred income taxes	29,168		29,383
Total Assets	$493,934	$503,123
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Short-term debt	$21,881	$12,134
Accounts payable	33,851	35,067
Accrued liabilities	38,599	42,176
Short-term portion lease liabilities	5,441		5,559
Total current liabilities	99,772	94,936
Long-term debt, net of current maturities	135,784	139,237
Long-term liabilities	6,678	6,906
Accrued employee benefits	68,259	78,643
Deferred income taxes	3,530	3,876
Long-term lease liabilities	28,129	29,705
Stockholders' equity:
Common stock, $0.01 par value; 103,995,935 shares issued and
103,190,665 outstanding	1,040	1,040
Paid in capital	182,343	182,343
Retained earnings	47,255	46,157
Less 805,270 treasury shares, at cost	(298)	(298)
Accumulated other comprehensive loss	(77,718)		(78,651)
Total Viskase stockholders' equity	152,622	150,591
Deficit attributable to non-controlling interest	(840)		(771)
Total stockholders' equity	151,782		149,820
Total Liabilities and Stockholders' Equity	$493,934	$503,123

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VISKASE COMPANIES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (In Thousands)

(Unaudited)

	3 Months		3 Months		6 Months		6 Months
	Ended		Ended		Ended		Ended
	June		June		June		June
	30,	2021		30,	2020		30,	2021		30,	2020
NET SALES	$105,355	$103,152	$206,640	$201,630
Cost of sales	87,392		81,130		167,477		159,359
GROSS MARGIN	17,963	22,022	39,163			42,271
Selling, general and administrative	10,564	11,898	23,319			24,152
Amortization of intangibles		445			387			890			793
Asset impairment		-			-			-			-
Restructuring expense		-			-			-			-
OPERATING INCOME		6,954			9,737	14,954			17,326
Interest income		-			(7)			-			(14)
Interest expense		1,569			3,267			3,274			7,055
Other expense, net		1,260			2,517			7,318			9,334
INCOME BEFORE INCOME TAXES		4,125			3,960			4,362			951
Income tax provision		2,172			1,503			3,333			1,975
NET LOSS	$1,953	$2,457	$1,029	($1,024)
Less: net loss attributable to noncontrolling interests		(46)			(138)			(69)			(76)
Net income (loss) attributable to Viskase Companies, Inc	$1,999	$2,595	$1,098			($948)

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VISKASE COMPANIES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (In Thousands)

(Unaudited)

	3 Months		3 Months		6 Months		6 Months
	Ended		Ended		Ended		Ended
	June		June		June		June
	30,	2021		30,	2020		30,	2021		30,	2020
Net income (loss)	$1,953	$2,457	$1,029	($1,024)
Other comprehensive income, net of tax
Pension liability adjustment		250			261			711			498
Foreign currency translation adjustment		1,814			3,277			222			(122)
Other comprehensive income, net of tax		2,064			3,538			933			376
Comprehensive loss	$4,017	$5,995	$1,962			($648)
Less: comprehensive loss attributable to noncontrolling interests		(138)			(138)			(69)			(76)
Net comprehensive loss attributable to Viskase Companies, Inc		4,155			6,133			2,031			(572)

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