KHD Humboldt Wedag International Ltd. Updates Impacts of Economic Crisis on Order Backlog
08 Décembre 2008 - 6:24PM
PR Newswire (US)
HONG KONG, Dec. 8 /PRNewswire-FirstCall/ -- KHD Humboldt Wedag
International Ltd. (NYSE:KHD) today announced results of its
initial review of economic crisis impacts on its order backlog. As
mentioned in our third-quarter conference call, the rapid and
dramatic changes in world credit markets and the global recession
have had an impact on our customers' capital expenditure programs
and some have requested variations in their contractual
arrangements. We have now had an opportunity to evaluate the
effects of those changes on our order backlog. Our order backlog at
September 30, 2008 was $1.068 billion. As of December 5, 2008 we
can confirm that officially cancelled orders amounted to $50.8
million and orders officially postponed by more than one year
amount to $18.0 million. We have another $164.2 million of contract
value at risk, meaning we have had verbal indications from
customers that contract variations or cancellations are a
possibility. This is an interim report; there may be further
negative impacts of the economic crisis on our backlog. CEO Jim
Busche commented, "During this period of worldwide economic
volatility and uncertainty we will continue to focus on preserving
KHD's equity and cash. We will also continue to work closely with
our customers as they adjust their budgets and plans in reaction to
market demands. We will continue to target opportunities where we
judge the returns to be reasonable and the risks to be
controllable. This balanced approach to business opportunities has
resulted in improving gross profit margins and has allowed us to
maintain a balance sheet with low debt and high levels of
liquidity." CFO Alan Hartslief commented, "We have made it a
priority to focus on cash flow and the reduction of expenses
through cutting SG&A expenses, without affecting our ability to
service existing contracts and pursue new ones; allocating
resources depending on geographical needs; focusing on markets and
equipment that will return the highest gross profit margins; and
minimizing customer risk." About KHD Humboldt Wedag International
Ltd. KHD Humboldt Wedag International Ltd. owns companies that
operate internationally in the industrial plant engineering and
equipment supply industry, and specializes in the cement, coal and
minerals processing industries. To obtain further information on
the Company, please visit our website at
http://www.khdhumboldt.com/ Disclaimer for Forward-Looking
Information Certain statements in this release are forward-looking
statements, which reflect the expectations of management regarding
the Company's future growth, results of operations, performance and
business prospects and opportunities. Forward-looking statements
consist of statements that are not purely historical, including any
statements regarding beliefs, plans, expectations or intentions
regarding the future. Such statements are subject to risks and
uncertainties that may cause actual results, performance or
developments to differ materially from those contained in the
statements. No assurance can be given that any of the events
anticipated by the forward-looking statements will occur or, if
they do occur, what benefits the Company will obtain from them.
These forward-looking statements reflect management's current views
and are based on certain assumptions. These assumptions, which
include management's current expectations, estimates and
assumptions about certain projects and the markets the Company
operates in, are expressed or implied by the forward-looking
statements, including, but not limited to: (1) a continuing
downturn in general economic conditions in Russia, Asia, Europe,
the United States and internationally, including the worldwide
economic downturn resulting from the effects of the sub-prime
lending and general market causes, volatile energy costs,
decreasing consumer confidence and other factors, (2) a decreased
demand for the Company's products, (3) a decrease in the demand for
cement, minerals and related products, (4) the number of
competitors with competitively priced products and services, (5)
product development or other initiatives by the Company's
competitors, (6) shifts in industry capacity, (7) fluctuations in
foreign exchange and interest rates, (8) fluctuations in
availability and cost of raw materials or energy, (9) delays in the
start of projects included in our forecasts, (10) delays in the
implementation of projects included in our forecasts and disputes
regarding the performance of our services, (11) the uncertainty of
government regulation and politics in Russia, Asia and the Middle
East and other markets, (12) potential negative financial impact
from regulatory investigations, claims, lawsuits and other legal
proceedings and challenges, and (13) other factors beyond the
Company's control. Additional information about these and other
assumptions, risks and uncertainties are set out in the "Risks and
Uncertainties" section in our Form 6-K filed with the Securities
and Exchange Commission and our MD&A filed with Canadian
security regulators. Contact Information: Allen & Caron Inc.
Rene Randall Joseph Allen (investors) KHD Humboldt Wedag
International Ltd. 1 (212) 691-8087 1 (604) 683-8286 ex 224 or
Brian Kennedy (media) 1 (212) 691-8087 DATASOURCE: KHD Humboldt
Wedag International Ltd. CONTACT: Investors, Joseph Allen,
+1-212-691-8087, , or Media, Brian Kennedy, +1-212-691-8087, , both
of Allen & Caron Inc., for KHD Humboldt Wedag International
Ltd.; or Rene Randall of KHD Humboldt Wedag International Ltd.,
+1-604-683-8286, ext 224, Web site: http://www.khdhumboldt.com/
Copyright
Khd Humboldt Wedag International Ltd (NYSE:KHD)
Graphique Historique de l'Action
De Mai 2024 à Juin 2024
Khd Humboldt Wedag International Ltd (NYSE:KHD)
Graphique Historique de l'Action
De Juin 2023 à Juin 2024