Florida East Coast Railway Corp.

CIK:0001519628|SEC Filings

Comprehensive Income

9 Months Ended

Sep. 30, 2011

9. Comprehensive Income

The following table reconciles net loss to comprehensive loss for the three and nine months ended September 30, 2011 and 2010:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2011			2010			2011			2010
	(in thousands)

Net loss	$	(4,838	)	$	(6,142	)	$	(18,538	)	$	(19,276	)
Other comprehensive loss
Actuarial gain associated with pension plan	5			20			19			20
Unrealized gain on marketable securities held for sale	(18		)	—			(6		)	—
Total comprehensive loss	$	(4,851	)	$	(6,122	)	$	(18,525	)	$	(19,256	)

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands	9 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands	Sep. 30, 2011	Sep. 30, 2010
CASH FLOW FROM OPERATING ACTIVITIES:
Net loss	$ (18,538)	$ (19,276)
Adjustments to reconcile net income (loss) to cash provided by operating activities:
Depreciation and amortization	20,408	20,712
Amortization of debt financing fees	2,335	3,739
Share based compensation costs	1,248	556
Deferred taxes	10,601
Net loss on sale and impairment of assets	1,773
Other	15	(13)
Changes in operating assets and liabilities:
Change in restricted cash		568
Accounts receivable	(4,076)	(2,218)
Prepaids and other current assets	665	(1,052)
Materials and supplies	(899)	(206)
Other assets and deferred charges	363	580
Accounts payable and accrued expenses	3,189	2,443
Taxes payable	(1,507)	(2,516)
Deferred revenue	402	3,436
Other current liabilities	(72)	(308)
Other long-term liabilities	(3,142)	6,869
Net cash provided by operating activities	12,765	13,314
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of properties and equipment	(16,286)	(10,168)
Release of interest reserve account	4,008
Funding of interest reserve account		(4,000)
Proceeds from disposition of assets	8,547	280
Net cash used in investing activities	(3,731)	(13,888)
CASH FLOWS FROM FINANCING ACTIVITIES:
Contributions from Florida East Coast Holdings Corp.	140,000
Payment on long-term debt	(601,185)
Proceeds from issuance of long-term debt	475,000
Purchase of common shares outstanding	(236)
Financing costs	(15,557)	(456)
Net cash used in financing activities	(1,978)	(456)
Net increase (decrease) in cash and cash equivalents	7,056	(1,030)
Cash and cash equivalents at beginning of period	9,306	8,242
Cash and cash equivalents at end of period	16,362	7,212
Supplemental cash flow information:
Cash paid for interest	$ 23,955	$ 44,018

CONSOLIDATED BALANCE SHEETS (USD $) In Thousands	Sep. 30, 2011	Dec. 31, 2010
Current assets:
Cash and cash equivalents	$ 16,362	$ 9,306
Restricted cash	125	4,133
Accounts receivable, net	30,651	25,760
Materials and supplies	3,749	2,850
Deferred income taxes	2,759	3,315
Prepaid and other current assets	1,682	2,347
Total current assets	55,328	47,711
Noncurrent assets:
Property, plant and equipment, less accumulated depreciation	780,862	796,077
Investments in nonaffiliates	88	110
Intangible assets, less accumulated amortization	290	332
Other assets	17,385	4,525
Total noncurrent assets	798,625	801,044
Total assets	853,953	848,755
Current liabilities:
Accounts payable and accrued expenses	25,806	22,617
Taxes payable	5,217	6,724
Deferred revenue	4,105	3,703
Other current liabilities	1,088	868
Total current liabilities	36,216	33,912
Deferred income taxes	13,360	3,315
Long-term debt	475,000	601,185
Other long-term liabilities	6,723	10,337
Series A Redeemable Preferred Stock		23,912
Total liabilities	531,299	672,661
Stockholders' equity:
Series A Perpetual Preferred Stock, $0.01 par value, 100,000 shares authorized, 19,809 shares issued and outstanding as of September 30, 2011 and none issued and outstanding as of December 31, 2010
Common stock, $0.01 par value, 500,000 shares authorized; 250,555 shares issued and outstanding as of September 30, 2011 and December 31, 2010	3	3
Additional paid-in capital	409,032	243,948
Accumulated deficit	(85,693)	(67,154)
Accumulated other comprehensive loss	(688)	(703)
Total stockholders' equity	322,654	176,094
Total liabilities and stockholders' equity	$ 853,953	$ 848,755