TECUMSEH PRODUCTS CO

CIK:0000096831|SEC Filings

Consolidated Statements of Operations (Unaudited) - USD ($)
shares in Thousands, $ in Millions

3 Months Ended

6 Months Ended

Jun. 30, 2015

Jun. 30, 2014

Jun. 30, 2015

Jun. 30, 2014

Income Statement [Abstract]

Net sales

$ 163.9

$ 193.0

$ 323.2

$ 372.3

Cost of sales

(137.5)

(175.9)

(276.8)

(338.1)

Gross profit

26.4

17.1

46.4

34.2

Selling and administrative expenses

(21.4)

(24.3)

(44.7)

(47.3)

Other income (expense), net

0.6

1.8

3.3

6.0

Impairments, restructuring charges, and other items

(3.7)

(0.8)

(5.2)

(4.9)

Operating income (loss)

1.9

(6.2)

(0.2)

(12.0)

Interest expense

(1.8)

(2.4)

(3.6)

(4.7)

Interest income

2.0

0.5

2.6

0.9

Income (loss) from continuing operations before taxes

2.1

(8.1)

(1.2)

(15.8)

Tax benefit (expense)

(0.1)

(0.3)

0.2

(0.4)

Income (loss) from continuing operations

2.0

(8.4)

(1.0)

(16.2)

Loss from discontinued operations, net of tax

(0.3)

(0.5)

(3.6)

Net income (loss)

$ 1.7

$ (8.7)

$ (1.5)

$ (19.8)

Basic income (loss) per share (a):

Loss from continuing operations (in dollars per share)

^[1]

$ 0.11

$ (0.46)

$ (0.05)

$ (0.88)

Loss from discontinued operations (in dollars per share)

^[1]

(0.02)

(0.01)

(0.03)

(0.19)

Net loss per share (in dollars per share)

^[1]

$ 0.09

$ (0.47)

$ (0.08)

$ (1.07)

Weighted average shares, basic (in thousands)

^[1]

18,563

18,480

18,563

18,480

Earnings Per Share, Diluted [Abstract]

Loss from discontinued operations (in dollars per share)

$ (0.02)

$ (0.01)

$ (0.03)

$ (0.19)

Income (loss) from continuing operations (in dollars per share)

0.11

(0.46)

(0.05)

(0.88)

Net income (loss) per share (in dollars per share)

$ 0.09

$ (0.47)

$ (0.08)

$ (1.07)

Weighted average shares, diluted (in thousands)

18,707

18,480

18,563

18,480

Cash dividends declared per share

$ 0

[1]

During second quarters of 2014 and 2015, we granted restricted stock units ("RSUs") to our non-employee directors and key employees. Also, during 2014 and 2015, we granted non-qualified stock options to our officers. For the six months ended June 30, 2015 and 2014 and the three months ended June 30, 2014, RSUs and options are not included in diluted earnings per share information, as the effect would be antidilutive.

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash Flows from Operating Activities:
Net income (loss)	$ (1.5)	$ (19.8)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	9.7	12.8
Non-cash employee retirement benefits	(0.5)	0.0
Deferred income taxes	(2.2)	0.0
Share-based compensation	0.3	(0.3)
Gain on disposal of property and equipment	(1.0)	(3.5)
Changes in operating assets and liabilities:
Accounts receivable	(18.4)	(8.7)
Inventories	(21.3)	(1.9)
Payables and accrued expenses	24.5	7.6
Employee retirement benefits	(0.5)	(0.4)
Recoverable non-income taxes	(6.1)	(0.2)
Other	(7.3)	(2.1)
Cash used in operating activities	(24.3)	(16.5)
Cash Flows from Investing Activities:
Capital expenditures	(6.0)	(6.2)
Change in restricted cash and cash equivalents	1.3	7.0
Proceeds from sale of assets	1.0	4.2
Cash (used in) provided by investing activities	(3.7)	5.0
Cash Flows from Financing Activities:
Proceeds from Short-term Debt	20.6	28.6
Repayments of Short-term Debt	(15.5)	(29.0)
Proceeds from long-term debt	2.7	1.5
Payments on long-term debt	(3.9)	(7.6)
Payments on capital leases	(0.3)	(0.2)
Debt issuance cost	(0.1)	(0.2)
Other	0.0	(0.1)
Cash provided by (used in) financing activities	3.5	(7.0)
Effect of Exchange Rate Changes on Cash and Cash Equivalents	(2.5)	0.5
Decrease in cash and cash equivalents	(27.0)	(18.0)
Cash and Cash Equivalents:
Beginning of Period	42.7	55.0
End of Period	15.7	37.0
Supplemental Schedule of Cash Flows and Non-cash Investing and Financing Activities:
Cash paid for interest	4.2	4.6
Cash paid for taxes	$ 0.4	$ 0.3

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Jun. 30, 2015	Dec. 31, 2014
Current Assets:
Cash and cash equivalents	$ 15.7	$ 42.7
Restricted cash and cash equivalents	4.9	6.2
Accounts receivable, trade, less allowance for doubtful accounts of $1.7 million in 2015 and $1.8 million in 2014	80.6	68.4
Inventories	110.8	95.6
Recoverable non-income taxes	1.9	0.5
Recoverable non-income taxes	22.1	19.8
Fair value of derivatives	0.3	0.4
Other current assets	19.6	17.8
Total current assets	255.9	251.4
Property, plant and equipment, net	92.9	103.7
Deferred income taxes	0.2	1.0
Recoverable non-income taxes	8.2	7.9
Deposits	21.6	24.2
Other assets	7.1	8.1
Total assets	385.9	396.3
Current Liabilities:
Accounts payable, trade	105.9	92.6
Short-term borrowings	31.5	29.4
Accrued liabilities:
Employee compensation	20.1	19.5
Product warranty and self-insured risks	11.4	12.3
Payroll taxes	12.9	11.8
Fair value of derivatives	1.9	1.8
Other current liabilities	6.7	8.0
Total current liabilities	190.4	175.4
Long-term borrowings	16.6	19.8
Product warranty and self-insured risks	3.7	3.6
Pension liabilities	27.9	29.9
Other liabilities	13.6	17.3
Total liabilities	252.2	246.0
Stockholders’ Equity
Common Shares	29.5	29.5
Paid in capital	0.6	0.3
Retained earnings	231.9	233.4
Accumulated other comprehensive loss	(128.3)	(112.9)
Total stockholders’ equity	133.7	150.3
Total liabilities and stockholders’ equity	$ 385.9	$ 396.3