ATI Posts 980% Increase in Income for Jul-Sept

November 18, 1999 PSE CIRCULAR FOR BROKERS NO. 2952-99 ATI posts 980% increase in income for Jul-Sept Port operator and logistics company Asian Terminals Inc. posted a consolidated net income of P107 million for the three months ended September 30, 1999, exceeding targeted results for the same period by 9.45% and increasing by 980% from the results of the same period in the previous fiscal year. ATI, which operates the South Harbor in the Port of Manila, Mariveles Grain Terminal in Bataan, the Logistics Center in Calamba, Laguna and the Port of Batangas through its subsidiary Aries Arrastre Service Inc., also ended the quarter with gross revenues amounting to P752 million, an 18% improvement brought about by better results from arrastre stevedoring storage and other sectors of the Company's operations. At the South Harbor, ATI handled a total of 144,013 TEUs for its containerized operations and 1,448,523 metric tons for its non-containerized operations, up 29.21% and 27.46%, respectively, from the same period last year. MGT handled a total 456,113 metric tons for the period. With company-wide cost-cutting measures implemented as early as 1997 and adopted as one of the long-term operational strategies, the Company kept cost of operations and administration for the quarter within budgeted figures. Consolidated expenses totaled P415 million, a relatively minimal 13% increase from the same period last year largely brought about by the corresponding costs of handling the incremental volume. Operating margin for the three-month period was 45%. It was disclosed that the continued support and belief of its shareholders further enhanced ATI's financial performance through a capital infusion via a P1 billion stock rights offering within the year. This move significantly reduced outstanding loans by about P1 billion thereby reducing the Company's capital costs. Also substantially enhancing the bottomline were interest saving achieved through a significantly lower overall loan level. Compared with the same period last year, interest expense incurred declined by 51%. llcd Meanwhile, the Company sees a continued turnaround due to the increased pace in the country's trade activities, buoyed by the robust demand in consumer items and the resumption of construction and other related activities. The Company is presently evaluating several expansion projects that it would undertake in the near term.