Key Developments For ATC Technology Corp.
ATC Technology Corp. (ATAC.O) (Nasdaq)
Aftermarket Technology Corp. Updates FY 2009 Revenue Guidance To A Range Below Analysts' Estimates; Raises FY 2009 EPS Guidance
Aftermarket Technology Corp. updated fiscal 2009 guidance for revenues of $485-$492 million and earnings per share (EPS) to be $2.12-$2.18 on an adjusted basis. According to Reuters Estimates, analysts on an average were expecting the Company to report EPS of $2.07 on revenue of $496 million for fiscal 2009.
Aftermarket Technology Corp. Updates FY 2009 Guidance To A Range Above Analysts' Estimates
Aftermarket Technology Corp. updated fiscal 2009 guidance and expects revenue to be in the range of $485-$505 million and earnings per share (EPS) on an adjusted basis to be in the range of $2.05-$2.15. According to Reuters Estimates, analysts were expecting the Company to report revenue of $476 million and EPS of $1.78 for the same period.
Aftermarket Technology Corp. Updates Restructuring Actions For Drivetrain Business
Aftermarket Technology Corp. announced additional restructuring actions to reduce operating costs of its Drivetrain business resulting from the pending loss of the Honda transmission remanufacturing program that include additional workforce reductions and consolidation of certain warehousing activities. The Company expects these actions to result in pre-tax charges of approximately $1.5 million or $0.05 per diluted share after tax in the second half of the year for severance and related costs
Aftermarket Technology Corp. Expects Pre-Tax Goodwill Impairment Charge of $37 Million in Q2 2009
Aftermarket Technology Corp. announced that it expects to record a pre-tax goodwill impairment charge of $37 million, or $1.32 per share after tax, in the second quarter of 2009.
Aftermarket Technology Corp. Withdraws FY 2009 Guidance
Aftermarket Technology Corp. announced that late May 21, 2009, it received verbal indication from Honda of their intention to in-source the remanufacturing of automatic transmissions as early as year-end. The remanufacturing of automatic transmissions for Honda accounted for approximately $52 million of the Company's 2008 revenues (approximately 10% of Company revenues and 29% of Drivetrain segment revenues). As a result of this development, the Company is withdrawing its guidance for 2009 until the Company can assess its impact on its operations, including the carrying value of its assets.
