ERICKSON INC.

CIK:0001490165|SEC Filings

Condensed Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Income Statement [Abstract]
Revenues, net	$ 50,838	$ 67,019	$ 95,667	$ 130,981
Cost of revenues	52,168	59,101	101,071	122,076
Gross (loss) profit	(1,330)	7,918	(5,404)	8,905
Operating expenses:
General and administrative	6,161	5,847	12,653	12,398
Research and development	699	583	1,330	1,461
Selling and marketing	2,646	1,330	4,528	3,085
Loss on idle aircraft	7,815	0	7,815	0
Impairment of goodwill	4,523	0	4,523	49,823
Impairment of other assets	6,127	0	6,127	7,143
Total operating expenses	27,971	7,760	36,976	73,910
Operating (loss) income	(29,301)	158	(42,380)	(65,005)
Interest expense, net	(9,475)	(9,375)	(18,722)	(18,587)
Other expense, net	(28)	(331)	(1,039)	(1,656)
Net loss before income tax (benefit) expense	(38,804)	(9,548)	(62,141)	(85,248)
Income tax (benefit) expense	(92)	691	2,578	74
Net loss	(38,712)	(10,239)	(64,719)	(85,322)
Less: net (income) loss related to noncontrolling interests	(286)	118	(263)	231
Net loss attributable to Erickson Incorporated	$ (38,998)	$ (10,121)	$ (64,982)	$ (85,091)
Net loss per share attributable to Erickson Incorporated common shareholders—Basic and Diluted (in dollars per share)	$ (2.81)	$ (0.73)	$ (4.68)	$ (6.15)
Weighted average shares outstanding—basic and diluted	13,895,421	13,831,127	13,895,421	13,827,493

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash flows from operating activities:
Net loss	$ (64,719)	$ (85,322)
Adjustments to reconcile loss to net cash used in operating activities:
Depreciation and amortization	19,088	18,716
Impairment of goodwill	4,523	49,823
Impairment of other assets	6,127	7,143
Deferred income taxes	1,797	(1,687)
Amortization of debt issuance costs	1,238	1,254
Amortization of debt discount	277	406
Stock-based compensation	137	97
Loss (gain) on sale of aircraft and other property and equipment	1,155	(271)
Changes in operating assets and liabilities:
Accounts receivable	(1,111)	(4,472)
Prepaid expenses and other current assets	(1,103)	210
Aircraft parts, net	(3,859)	731
Aircraft held for sale	(3,683)	0
Other assets	983	(1,615)
Accounts payable	14,661	25
Accrued expenses and other current liabilities	3,355	(266)
Other liabilities	1,825	138
Net cash used in operating activities	(19,309)	(15,090)
Cash flows from investing activities:
Purchases of aircraft and property, plant and equipment	(6,085)	(11,839)
Proceeds from sales of aircraft and other property and equipment	6,868	4,500
Restricted cash	155	124
Net cash provided by (used in) investing activities	938	(7,215)
Cash flows from financing activities:
Credit facility borrowings	79,891	97,553
Credit facility payments	(56,643)	(73,182)
Long-term debt principal payments, including capital lease payments	(4,337)	(3,340)
Other long-term borrowings	0	(84)
Debt issuance costs	(276)	(137)
Shares withheld for payment of taxes	0	(32)
Net cash provided by financing activities	18,635	20,778
Effect of foreign currency exchange rates on cash and cash equivalents	890	(1,804)
Net increase (decrease) in cash and cash equivalents	1,154	(3,331)
Cash and cash equivalents at beginning of period	2,129	5,097
Cash and cash equivalents at end of period	3,283	1,766
Supplemental disclosure of cash flow information:
Cash paid for interest	16,695	18,097
Cash paid for income taxes, net	511	1,267
Supplemental disclosure of non-cash investing and financing activities:
Note payable incurred for the purchase of aircraft parts	$ 0	$ 9,356

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 3,283	$ 2,129	$ 1,766	$ 5,097
Restricted cash	222	373
Accounts receivable, net	41,861	40,520
Prepaid expenses and other current assets	6,204	5,233
Total current assets	51,570	48,255
Aircraft, net	144,989	155,917
Aircraft parts, net	173,655	169,824
Aircraft held for sale	6,200	12,348
Property, plant and equipment, net	23,590	25,553
Other assets	9,291	10,261
Other intangible assets, net	14,714	15,787
Goodwill, net	159,770	163,708
Total assets	583,779	601,653
Current liabilities:
Accounts payable	28,225	13,660
Current portion of long-term debt	8,421	8,205
Accrued expenses and other current liabilities	22,360	17,828
Total current liabilities	59,006	39,693
Credit facility	119,523	96,165
Long-term debt, less current portion	361,357	364,782
Other liabilities	17,949	11,720
Total liabilities	557,835	512,360
Equity:
Common stock; $0.0001 par value; 110,000,000 shares authorized; 13,895,421 issued and outstanding as of June 30, 2016 and December 31, 2015	1	1
Additional paid-in capital	181,396	181,259
Accumulated deficit	(149,883)	(84,901)
Accumulated other comprehensive loss, net of tax	(6,543)	(7,789)
Total Erickson Incorporated shareholders’ equity	24,971	88,570
Noncontrolling interests’ equity	973	723
Total equity	25,944	89,293
Total liabilities and equity	$ 583,779	$ 601,653