PRESS RELEASE

Full Year 2011 Financial Results                                                              

 

March 28, 2012. Athens, Greece The M.J. Maillis Group, a global leader in the field of secondary packaging listed, on the Athens Stock Exchange (ATHEX: MAIK), announces its results for the period from 1 January to 31 December 2011.

 

Highlights:

 

The Group's performance for 2011 continues to be positive and improved compared with the corresponding period in 2010. The key drivers of this performance were the increase in sales, the improvement in gross profit and operating expenses and a positive EBITDA.

• ·      Sales during 2011 increased by 6.5% compared with the corresponding period of 2010, thereby confirming the Group's upward trend.
• ·      Gross Profit Margin improved by 1.6 percentage points compared with the same period in 2010.
• ·      Total ΕΒΙΤDA amounted to €6,908 million compared with negative EBITDA of €11,243 million in 2010.

Key figures for 2011:

 

 

 

Financial Performance 2011:

 

The M. J. Maillis Group achieved a turnover of €279 million in 2011, up 6.5% compared with 2010, as a result of the Group's on-going economic recovery.

 

The gross profit margin at 18.32% increased by 1.6 percentage points in comparison to the previous year, as a result of the improved production cost and  the increased sales volume, even though the Group, due to limited cash availability, continued to purchase raw materials at non competitive prices and terms.

 

Excluding extraordinary income and expenditure principally arising from foreign exchange differences and non recurring income and expenses, operating EBITDA for 2011 amounted to €8,867 million (compared with €4,018 million in 2010).

 

Total EBITDA, with upward trend, amounted to €6,908 million (compared with -€11,243 million for 2010) as a result of improved gross profit margin and lower operating expenses. It is noted that the EBITDA of 2010 had been burdened with impairment of assets and know how amounting to €10 million.

 

Profit before tax amounted to €1.8 million compared with a loss of €58.5 million for the corresponding period of 2010 while profit after tax amounted to €1.7 million compared with losses of €63.5 million for the corresponding period of 2010. Profitability in 2011 was the result of positive EBITDA, as it is described above, extraordinary gain arising from the debt restructuring, as it is described in detail in Note 19 of the financial statements, lower extraordinary provisions compared with 2010 and the positive impact of deferred taxes there was an adverse effect from foreign exchange differences.

 

Restructuring:

 

As announced on 30 September 2011, the Group has completed the negotiations with its lenders with respect to the debt restructuring and on that date signed the final agreements with its debt providers.   Furthermore, as announced on 7 October 2011, the Group completed the financial restructuring process resulting in:

 

• The refinancing of existing loans amounting to 190,27 million Euros,
• New financing of working capital amounting to 16 million Euros, and
• The completion of a debt-to-equity conversion (capitalization) of existing debt amounting to 74.9 million Euros. With the completion of the restructuring process and as a result of the debt-to-equity share capital increase that resulted in the issuing of 249,748,542 new ordinary, registered shares, with a par value of EUR 0.30 per share, the Company's lenders acquired a total participation of 77.4% in the Company.

 

The financial statement impact of the finalisation of the debt restructuring was accounted for as of 6 October 2011, the effective date of completion of the restructuring process. 

Group's Management considers that the signing of the debt restructuring will enable a new positive era of sustainable growth for the Group.

Outlook

 

2012 will be a difficult year due to the on-going recession in the European economy coupled with the domestic financial and liquidity crisis. The Group nonetheless aims to further improve its performance through the continued restructuring of its cost base and recovery of market share in selected key markets.

 

About the M.J. Maillis Group

The M.J. Maillis Group is a leader in the secondary industrial packaging, providing its clients globally with complete, high technology and cost effective packaging solutions (one-stop-shopping) that combine packaging equipment, packaging materials, service and support. The Group employs 1,460 people and maintains physical presence in 18 countries in Europe, North America and Asia, while its products are sold in more than 80 countries worldwide. The Group's customer base covers the food and beverage, aluminum, steel, construction and timber and bailing industries. The Group is the exclusive or preferred global supplier to an increasing number of major industrial and consumer products multinationals such as US Steel, Nestlé, Coca-Cola, P&G, Henkel, Pepsi, Mars, Lafarge, ArcelorMittal, Tata, Walmart, etc. The shares of the M.J. Maillis Group are listed on the Athens Stock Exchange under the ticker symbol "MAIK".

 

For more information please contact:

Company Contact:

Group's Investor Relations Department

Tel. +30-210-6285-000

   E-mail investor.relations@maillis.gr