UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
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QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the quarterly period ended June 30, 2004 |
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OR |
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the transition period from to |
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Commission file number 1-13948 |
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SCHWEITZER-MAUDUIT INTERNATIONAL, INC.
(Exact name of registrant as specified in its charter)
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Delaware |
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62-1612879 |
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(State or other jurisdiction of |
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(I.R.S. Employer |
100
North Point Center East
Suite 600
Alpharetta,
Georgia
30022-8246
(Address of principal executive offices)
(Zip Code)
1-800-514-0186
(Registrant’s telephone number, including area code)
No
change
(Former name, former address and former fiscal year,
if changed since last report)
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes ý. No o.
Indicate by checkmark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Act).
Yes ý. No o.
As of July 31, 2004, 14,877,116 shares of the Corporation’s common stock, par value $.10 per share, together with preferred stock purchase rights associated therewith, were outstanding.
PART I - FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
SCHWEITZER-MAUDUIT
INTERNATIONAL, INC.
CONSOLIDATED STATEMENTS OF INCOME
U.S. $ in millions, except per share amounts
(Unaudited)
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For the
three months |
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For the
six months |
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2004 |
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2003 |
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2004 |
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2003 |
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Net Sales |
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$ |
161.6 |
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$ |
141.7 |
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$ |
321.5 |
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$ |
277.4 |
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Cost of products sold |
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132.0 |
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116.1 |
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262.8 |
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225.9 |
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Gross Profit |
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29.6 |
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25.6 |
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58.7 |
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51.5 |
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Selling expense |
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6.8 |
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5.7 |
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14.1 |
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11.1 |
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Research expense |
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2.2 |
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2.2 |
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4.6 |
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4.2 |
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General expense |
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6.6 |
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6.2 |
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13.8 |
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12.1 |
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Operating Profit |
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14.0 |
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11.5 |
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26.2 |
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24.1 |
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Interest expense |
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1.0 |
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0.6 |
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2.0 |
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1.3 |
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Other income (expense), net |
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0.3 |
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(1.0 |
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0.3 |
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(0.7 |
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Income Before Income Taxes and Minority Interest |
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13.3 |
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9.9 |
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24.5 |
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22.1 |
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Provision for income taxes |
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3.5 |
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1.4 |
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6.4 |
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5.4 |
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Income Before Minority Interest |
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9.8 |
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8.5 |
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18.1 |
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16.7 |
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Minority interest in earnings of subsidiaries |
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1.1 |
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1.0 |
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2.9 |
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2.3 |
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Net Income |
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$ |
8.7 |
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$ |
7.5 |
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$ |
15.2 |
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$ |
14.4 |
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Net Income per Common Share: |
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Basic |
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$ |
.58 |
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$ |
.52 |
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$ |
1.02 |
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$ |
.98 |
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Diluted |
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$ |
.56 |
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$ |
.50 |
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$ |
.98 |
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$ |
.95 |
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Cash Dividends Declared per Common Share |
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$ |
.15 |
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$ |
.15 |
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$ |
.30 |
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$ |
.30 |
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See Notes to Unaudited Consolidated Financial Statements
2
SCHWEITZER-MAUDUIT
INTERNATIONAL, INC.
CONSOLIDATED BALANCE SHEETS
U.S. $ in millions, except per share amounts
(Unaudited)
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June 30, |
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December
31, |
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ASSETS |
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Current Assets |
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Cash and cash equivalents |
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$ |
11.1 |
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$ |
3.7 |
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Accounts receivable |
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94.6 |
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91.9 |
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Inventories |
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101.3 |
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97.5 |
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Current income tax refunds receivable |
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2.1 |
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0.8 |
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Deferred income tax benefits |
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4.2 |
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5.5 |
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Prepaid expenses |
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5.5 |
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2.9 |
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Total Current Assets |
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218.8 |
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202.3 |
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Gross Property, at cost |
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723.3 |
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712.9 |
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Less accumulated depreciation |
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309.8 |
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301.4 |
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Net Property |
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413.5 |
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411.5 |
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Noncurrent Deferred Income Tax Benefits |
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5.5 |
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2.3 |
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Deferred Charges and Other Assets |
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21.4 |
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19.8 |
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Total Assets |
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$ |
659.2 |
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$ |
635.9 |
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LIABILITIES AND STOCKHOLDERS’ EQUITY |
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Current Liabilities |
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Current portion of long-term debt |
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$ |
29.8 |
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$ |
11.7 |
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Other short-term debt |
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36.3 |
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19.0 |
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Accounts payable |
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60.7 |
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68.8 |
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Accrued expenses |
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69.0 |
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74.1 |
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Current deferred revenue |
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6.0 |
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6.0 |
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Total Current Liabilities |
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201.8 |
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179.6 |
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Long-Term Debt |
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64.8 |
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66.2 |
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Noncurrent Deferred Income Tax Liabilities |
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32.1 |
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26.3 |
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Noncurrent Deferred Revenue |
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38.7 |
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41.6 |
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Noncurrent Pension and Other Postretirement Benefits |
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42.5 |
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47.9 |
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Other Noncurrent Liabilities |
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16.0 |
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14.6 |
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Minority Interest |
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8.2 |
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