Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - PRAXAIR INC | y88454ce8vk.htm |
Exhibit 99.1
| News Release |
 |
| Contacts: Nigel Muir, Media (203) 837-2240 - nigel_muir@praxair.com Elizabeth Hirsch, Investors (203) 837-2354 - liz_hirsch@praxair.com |
Praxair, Inc. 39 Old Ridgebury Road Danbury, CT 06810, U.S.A www.praxair.com |
PRAXAIR WILL TAKE CHARGE TO
FOURTH-QUARTER EARNINGS; REAFFIRMS EARNINGS GUIDANCE EX-CHARGE
DANBURY, Conn., December 15, 2010 — Praxair, Inc. (NYSE: PX) announced that it will take a charge
to its earnings in the fourth quarter. The charge is expected to reduce fourth-quarter and
full-year 2010 net income and earnings per share by approximately $290 million and 93 cents,
respectively. Excluding the charge, the company reaffirms its previous fourth-quarter diluted
earnings per share guidance of $1.18 to $1.23 on an adjusted basis*, and its ongoing effective
tax rate of about 28%.
The charge is primarily the result of a decision to settle various income tax disputes with the
Spanish Government which is expected to result in a charge to earnings of approximately $250
million and cash payments of approximately $500 million. Additionally, the company intends to sell
the U.S. homecare portion of its North American healthcare business, which is expected to result in
an earnings charge of approximately $40 million, representing an adjustment to estimated fair
value.
Praxair is the largest industrial gases company in North and South America, and one of the largest
worldwide, with 2009 sales of $9 billion. The company produces, sells and distributes atmospheric
and process gases, and high-performance surface coatings. Praxair products, services and
technologies bring productivity and environmental benefits to a wide variety of industries,
including aerospace, chemicals, food and beverage, electronics, energy, healthcare, manufacturing,
metals and others. More information on Praxair is available on the Internet at
www.praxair.com.
# # #
| * | Adjusted diluted earnings per share (EPS) guidance is a non-GAAP measure that excludes the impact of the charges described above. The adjusted diluted EPS is a measure used by investors, financial analysts and management to help evaluate on-going historical and future business trends on a consistent basis. Definitions of non-GAAP measures may not be comparable to similar definitions used by other companies and are not a substitute for similar GAAP measures. Following is a calculation of the fourth-quarter adjusted diluted EPS guidance: |
| Low End | High End | |||||||
Expected fourth-quarter 2010 diluted EPS |
$ | 0.25 | $ | 0.30 | ||||
Add: Spain settlement and other charges |
0.93 | 0.93 | ||||||
Adjusted diluted EPS guidance |
$ | 1.18 | $ | 1.23 | ||||