EAST RUTHERFORD, NJ--(Marketwire - May 16, 2011) - The Alpine Group, Inc. ("Alpine") (
For the three months ended March 31, 2011 revenues increased $27.0 million from $23.1 million in 2010 to $50.1 million in 2011, due primarily to higher copper and silver prices and increased volumes in the manufacture and sale of copper/silver alloys and joining materials under a toll agreement with a subsidiary of Wolverine Tube, Inc. Average silver and copper prices were 87% and 34% higher in the first quarter of 2011, respectively, compared to the first quarter of 2010. In addition, Posterloid's revenues tripled in the first quarter of 2011 compared to the same period in 2010.
For the three month period ended March 31, 2011 Alpine had net income of $0.5 million compared to a net loss of $0.2 million for the same period in 2010 (after excluding certain non-cash charges for both periods). The first quarter 2011 loss of $1.8 million on a GAAP basis was due primarily to a net of $2.2 million of after-tax non-cash LIFO and hedge mark-to-market charges. The first quarter 2011 earnings before interest, taxes and depreciation (EBITDA) was $1.0 million, an improvement of $1.2 million from an EBITDA loss of ($0.2 million) for the first quarter of 2010. The comparative quarterly improvement in the 2011 results reflects increased profitability in Exeon's scrap reclamation and metals' operations and improved earnings in Posterloid's signage business.
Steven S. Elbaum, Alpine's Chairman and Chief Executive Officer, stated that "positive first quarter operating results, before non-cash LIFO inventory and related adjustments, reflect continuing improvements at Exeon and Posterloid and extend EBITDA improvements posted in the second half of 2010. Additionally, Alpine's majority owned Synergy Cables' revenue, volumes and EBITDA all improved markedly in the first quarter. The completion of the sale of non-core assets by Synergy in the first quarter has reduced Synergy's debt and increased stockholders equity at March 31, 2011. Alpine carries its equity investment in and subordinated loan to Synergy on our balance sheet at zero. Wolverine Tube is expected to emerge from bankruptcy in June as a strengthened and recapitalized company. Alpine will have financial incentives linked to Wolverine's future performance and I will continue to be Chairman of the Board of the reorganized Wolverine."
All statements in this press release other than statements of historical fact are forward-looking statements within the meaning of the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and beliefs and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in this press release. The forward-looking statements speak only as of the date of this press release, and the Company expressly disclaims any obligations to release publicly any update or revision to any forward-looking statement contained herein if there are any changes in conditions or circumstances on which any such forward-looking statement is based.
The Alpine Group, Inc. (APNI.PK) hassubstantial experience in operating and actively managing companies in which it invests capital. Alpine has focused on industrial and other businesses that are underperforming, experiencing financial constraints and will benefit from operational improvements consolidation and an improved capital structure. Alpine has actively invested in and operated leading domestic and global manufacturers of specialty materials, coatings, wire and cable products and electronic components.