Seaboard Corp (SEB, Financial) filed Quarterly Report for the period ended 2009-04-04.
Seaboard Corporation is a diversified international agribusiness andtransportation company. In the United States Seaboard is primarily engaged in pork production and processing poultry production and processing oceantransportation and commodity merchandising. Overseas they are engaged in flour milling citrus and produce farming shrimp production andprocessing sugar production and refining power generation and polypropylene bag manufacturing. Seaboard Corp has a market cap of $1.22 billion; its shares were traded at around $987 with a P/E ratio of 8.3 and P/S ratio of 0.3. The dividend yield of Seaboard Corp stocks is 0.3%. Seaboard Corp had an annual average earning growth of 32.6% over the past 10 years. GuruFocus rated Seaboard Corp the business predictability rank of 4-star.
April 4, March 29,
2009 2008
Net sales:
Products (includes sales to foreign
affiliates of $140,916 and $109,694) $ 681,513 $ 745,900
Services 214,883 218,849
Other 21,172 28,919
Total net sales 917,568 993,668
Available-for-sale securities $265,090 $ 60,666 $204,424 $ -
Total Assets $326,824 $ 90,386 $236,438 $ -
Total Liabilities - Derivatives $ 20,712 $ 11,180 $ 9,532 $ -
As of April 4, 2009, Seaboard had outstanding letters of credit
("LCs") with various banks which reduced its borrowing capacity
under its committed and uncommitted credit facilities by $58,121,000
and $1,924,000, respectively. Included in these amounts are LCs
totaling $42,688,000, which support the Industrial Development
Revenue Bonds included as long-term debt and $15,208,000 of LCs
related to insurance coverages.
On March 2, 2009, an agreement became effective under which Seaboard
agreed to sell its two power barges in the Dominican Republic for
$70,000,000. The agreement calls for the sale to occur on or around
January 1, 2011. During March 2009, $15,000,000 was paid to
Seaboard (recorded as long-term deferred revenue) and the
$55,000,000 balance of the purchase price was paid into escrow and
will be paid to Seaboard at the closing of the sale. The book value
of the two barges was $22,935,000 as of April 4, 2009. Seaboard
will continue to operate these two barges until the closing date of
the sale, with an estimated annual depreciation cost of
approximately $3,600,000. Seaboard will be responsible for the wind
down and decommissioning costs of the barges. Completion of the
sale is dependent upon several issues, including meeting certain
baseline performance and emission tests. Failure to satisfy or cure
any deficiencies could result in the agreement being terminated and
the sale abandoned. Seaboard could be responsible to pay liquidated
damages of up to approximately $15,000,000 should it fail to perform
its obligations under the agreement, after expiration of applicable
cure and grace periods. Seaboard will retain all other physical
properties of this business and is considering options to continue
its power business in the Dominican Republic after the sale of these
assets is completed.
Read the The complete ReportSEB is in the portfolios of Irving Kahn of Kahn Brothers & Company Inc., Irving Kahn of Kahn Brothers & Company Inc..
Seaboard Corporation is a diversified international agribusiness andtransportation company. In the United States Seaboard is primarily engaged in pork production and processing poultry production and processing oceantransportation and commodity merchandising. Overseas they are engaged in flour milling citrus and produce farming shrimp production andprocessing sugar production and refining power generation and polypropylene bag manufacturing. Seaboard Corp has a market cap of $1.22 billion; its shares were traded at around $987 with a P/E ratio of 8.3 and P/S ratio of 0.3. The dividend yield of Seaboard Corp stocks is 0.3%. Seaboard Corp had an annual average earning growth of 32.6% over the past 10 years. GuruFocus rated Seaboard Corp the business predictability rank of 4-star.
Highlight of Business Operations:
Three Months EndedApril 4, March 29,
2009 2008
Net sales:
Products (includes sales to foreign
affiliates of $140,916 and $109,694) $ 681,513 $ 745,900
Services 214,883 218,849
Other 21,172 28,919
Total net sales 917,568 993,668
Available-for-sale securities $265,090 $ 60,666 $204,424 $ -
Total Assets $326,824 $ 90,386 $236,438 $ -
Total Liabilities - Derivatives $ 20,712 $ 11,180 $ 9,532 $ -
As of April 4, 2009, Seaboard had outstanding letters of credit
("LCs") with various banks which reduced its borrowing capacity
under its committed and uncommitted credit facilities by $58,121,000
and $1,924,000, respectively. Included in these amounts are LCs
totaling $42,688,000, which support the Industrial Development
Revenue Bonds included as long-term debt and $15,208,000 of LCs
related to insurance coverages.
On March 2, 2009, an agreement became effective under which Seaboard
agreed to sell its two power barges in the Dominican Republic for
$70,000,000. The agreement calls for the sale to occur on or around
January 1, 2011. During March 2009, $15,000,000 was paid to
Seaboard (recorded as long-term deferred revenue) and the
$55,000,000 balance of the purchase price was paid into escrow and
will be paid to Seaboard at the closing of the sale. The book value
of the two barges was $22,935,000 as of April 4, 2009. Seaboard
will continue to operate these two barges until the closing date of
the sale, with an estimated annual depreciation cost of
approximately $3,600,000. Seaboard will be responsible for the wind
down and decommissioning costs of the barges. Completion of the
sale is dependent upon several issues, including meeting certain
baseline performance and emission tests. Failure to satisfy or cure
any deficiencies could result in the agreement being terminated and
the sale abandoned. Seaboard could be responsible to pay liquidated
damages of up to approximately $15,000,000 should it fail to perform
its obligations under the agreement, after expiration of applicable
cure and grace periods. Seaboard will retain all other physical
properties of this business and is considering options to continue
its power business in the Dominican Republic after the sale of these
assets is completed.
Read the The complete ReportSEB is in the portfolios of Irving Kahn of Kahn Brothers & Company Inc., Irving Kahn of Kahn Brothers & Company Inc..
