Avalon Holdings Sees Expanded First Quarter Loss

Date: May 14, 2009

Source: Avalon Holdings Corporation

Avalon Holdings Corporation Announces First Quarter Results

Avalon Holdings Corporation (NYSE Amex: AWX) today announced financial results for the first quarter of 2009.

Net operating revenues decreased to $8.8 million in the first quarter of 2009 compared with $10.4 million in the first quarter of 2008. The Company recorded a net loss of $.4 million in the first quarter of 2009 or $.11 per share compared with a net loss of $.1 million or $.02 per share for the first quarter of 2008.

Avalon Holdings Corporation provides waste management services to industrial, commercial, municipal and governmental customers in selected northeastern and midwestern U.S. markets. Avalon Holdings Corporation also owns the Avalon Golf and Country Club, which operates golf courses and related facilities.

 

                     AVALON HOLDINGS CORPORATION AND SUBSIDIARIES
              Condensed Consolidated Statements of Operations (Unaudited)
                     (in thousands, except for per share amounts)

                                                 Three Months Ended
                                                      March 31,
                                           ------------------------------
                                            2009                    2008
                                           ------                  ------
    Net operating revenues                 $8,843                 $10,354

    Costs and expenses:
       Costs of operations                  7,697                   8,845
       Selling, general and
        administrative expenses             1,609                   1,661
                                           ------                  ------
    Operating loss                           (463)                   (152)

    Other income (expense):
       Interest expense                        (3)                     (4)
       Interest income                          3                      29
       Other income, net                       59                      67
                                           ------                  ------
    Loss before taxes                        (404)                    (60)

    Provision (benefit) for income taxes        -                       -
                                           ------                  ------
    Net loss                                $(404)                   $(60)
                                           ------                  ------
    Net loss per share                      $(.11)                  $(.02)
                                           ------                  ------
    Weighted average shares outstanding     3,803                   3,803
                                           ------                  ------



    AVALON HOLDINGS CORPORATION AND SUBSIDIARIES
    Condensed Consolidated Balance Sheets
    (in thousands)
                                    March 31,            December 31,
                                      2009                   2008
                                   -----------           ------------
    Assets:                        (Unaudited)
    Current Assets:
       Cash and cash equivalents     $5,350                 $3,061
       Accounts receivable, net       6,626                  9,304
       Prepaid expenses                 294                    309
       Other current assets             679                    636
                                    -------                -------
         Total current assets        12,949                 13,310

    Property and equipment, net      29,126                 29,437
    Leased property under
     capital leases, net              5,785                  5,882
    Noncurrent deferred tax asset        25                     25
    Other assets, net                    59                     59
         Total assets               $47,944                $48,713
                                    -------                -------

    Liabilities and Shareholders' Equity
    Current Liabilities:
       Current portion of
        obligations under
        capital leases                   $1                     $1
       Accounts payable               4,537                  4,831
       Accrued payroll and
        other compensation              432                    711
       Accrued income taxes               6                     19
       Other accrued taxes              213                    281
       Other liabilities and
        accrued expenses              2,755                  2,466
                                    -------                -------
         Total current liabilities    7,944                  8,309

    Obligations under capital leases    230                    230

    Total shareholders' equity       39,770                 40,174
                                    -------                -------
         Total liabilities and
          shareholders' equity      $47,944                $48,713
                                    -------                -------

Sign up to receive our free Weekly News Bulletin