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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowWabash National Corp. capped a dismal 2008 with an even worse fourth quarter, the Lafayette-based truck-trailer manufacturer reported late yesterday.
The company lost $110.7 million, or $3.69 per share, in the fourth quarter, which ended Dec. 31, on revenue of $230.7 million. It made $5.6 million in the same period of 2007 on revenue of $257.8 million.
For the year, Wabash lost $124.7 million, or $4.16 per share, on revenue of $836.2 million. The previous year, the company reported a profit of $16.3 million on net sales of $1.1 billion.
Fourth quarter and full-year 2008 results include previously announced non-cash charges related to a goodwill impairment of $66.3 million and a charge to income tax expense of approximately $23.1 million, the company said.
“Today’s operating environment within the markets we serve is as challenging as any in the history of Wabash National and the broader industry,” said Dick Giromini, the company’s president and CEO. “As expected, the fourth quarter proved to be the most difficult quarter of the year, as margins were adversely impacted by the overhang of high raw material costs from prior periods, combined with a challenging pricing environment.”
Wabash has made several previously announced cost-cutting moves to help it weather the recession, including staff reductions of 180 salaried employees. That lay-off brought total salaried headcount reductions to more than 30 percent since early 2007.
The company has also reduced base salaries of all officers and remaining salaried employees by 10 percent, and delayed non-critical development and capital projects.
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