Greenbrier announces new railcar orders for 2,000 units valued at $135 million
Lake Oswego, Oregon, December 10, 2010 – The Greenbrier Companies [NYSE:GBX] today announced that it has recently received orders for 2,000 new railcars with an aggregate value of approximately $135 million. The new orders are for covered hopper cars of various types, which are scheduled to be delivered principally in calendar 2011.
The orders were received in November and December, and are in addition to the previously disclosed orders for 3,200 railcars with an aggregate value of approximately $200 million received in September and October, subsequent to the Company’s August 31, 2010 fiscal year end. The Company’s August 31, 2010 new railcar manufacturing backlog was 5,300 units valued at $420 million.
To support the increase in demand, the Company intends to ramp up its production rates commencing in January 2011, and open an additional production line late in the second calendar quarter of 2011. Based on current production plans and scheduled delivery dates, new railcar deliveries are expected to be significantly higher in the second half of the current fiscal year than the first half.
Separately, the Company today announced preliminary unaudited selected financial results for its first quarter ended November 30, 2010. Based on the Company’s initial closing for the quarter, preliminary revenues are expected to be approximately $200 million. As previously disclosed, Greenbrier anticipates reporting a net loss for the quarter. Greenbrier currently anticipates that the net loss will be in the range of approximately $0.09 to $0.14 per diluted share.
These results for the quarter are currently anticipated to include a gain of $1.9 million on a pre-tax basis, or $1.1 million net of taxes, or approximately $0.05 per diluted share from insurance proceeds received by the Company associated with a fire in January 2009 at one of the Company’s wheel services facilities. The preliminary quarterly results announced today are subject to further review by the Company and should be considered preliminary and subject to change.
Greenbrier currently expects to hold its regularly scheduled earnings conference call on January 7, 2011. The Company anticipates filing its Form 10-Q for the first quarter of fiscal 2011
on or before January 7, 2011.
About Greenbrier Companies
Greenbrier (www.gbrx.com), headquartered in Lake Oswego, Oregon, is a leading supplier of transportation equipment and services to the railroad industry. The Company builds new railroad freight cars in its three manufacturing facilities in the U.S. and Mexico and marine barges at its U.S. facility. It also repairs and refurbishes freight cars and provides wheels and railcar parts at 38 locations across North America. Greenbrier builds new railroad freight cars and refurbishes freight cars for the European market through both its operations in Poland and various subcontractor facilities throughout Europe. Greenbrier owns approximately 8,000 railcars, and performs management services for approximately 225,000 railcars.
The orders were received in November and December, and are in addition to the previously disclosed orders for 3,200 railcars with an aggregate value of approximately $200 million received in September and October, subsequent to the Company’s August 31, 2010 fiscal year end. The Company’s August 31, 2010 new railcar manufacturing backlog was 5,300 units valued at $420 million.
To support the increase in demand, the Company intends to ramp up its production rates commencing in January 2011, and open an additional production line late in the second calendar quarter of 2011. Based on current production plans and scheduled delivery dates, new railcar deliveries are expected to be significantly higher in the second half of the current fiscal year than the first half.
Separately, the Company today announced preliminary unaudited selected financial results for its first quarter ended November 30, 2010. Based on the Company’s initial closing for the quarter, preliminary revenues are expected to be approximately $200 million. As previously disclosed, Greenbrier anticipates reporting a net loss for the quarter. Greenbrier currently anticipates that the net loss will be in the range of approximately $0.09 to $0.14 per diluted share.
These results for the quarter are currently anticipated to include a gain of $1.9 million on a pre-tax basis, or $1.1 million net of taxes, or approximately $0.05 per diluted share from insurance proceeds received by the Company associated with a fire in January 2009 at one of the Company’s wheel services facilities. The preliminary quarterly results announced today are subject to further review by the Company and should be considered preliminary and subject to change.
Greenbrier currently expects to hold its regularly scheduled earnings conference call on January 7, 2011. The Company anticipates filing its Form 10-Q for the first quarter of fiscal 2011
on or before January 7, 2011.
About Greenbrier Companies
Greenbrier (www.gbrx.com), headquartered in Lake Oswego, Oregon, is a leading supplier of transportation equipment and services to the railroad industry. The Company builds new railroad freight cars in its three manufacturing facilities in the U.S. and Mexico and marine barges at its U.S. facility. It also repairs and refurbishes freight cars and provides wheels and railcar parts at 38 locations across North America. Greenbrier builds new railroad freight cars and refurbishes freight cars for the European market through both its operations in Poland and various subcontractor facilities throughout Europe. Greenbrier owns approximately 8,000 railcars, and performs management services for approximately 225,000 railcars.