Alliance Nine-Months Income Up

Source from:  Tobacco Reporter 02/22/2010

Alliance One International's operating income for the nine months ended December 31, at $179.3 million, was up by 10.0 per cent on that of the nine months to the end of 2008. The increase was said to have been driven by stable revenues and reduced direct costs. At the same time, net income, at $60.3 million or $0.68 per basic share, was down by about 37 per cent. During the year to date, the company incurred a one time $40.4 million pre-tax debt retirement expense resulting from the July-August 2009 debt refinancing, as against only $1.0 million the previous year. For the third quarter, net income, at $47.3 million or $0.53 per basic share, was down by about 20.5 per cent on that of the previous third quarter. CEO, Robert E. Harrison, said volumes and sales were in line with expectations and the year to date operating margin remained strong despite some third quarter slippage. The global debt markets had improved further and the company's order book was solid. "Global production for the next crop cycle is currently stable, though recent flooding in Brazil and dryer weather in Malawi will impact those markets," he said. Enditem