Welcome!

.NET Authors: Srinivasan Sundara Rajan, Nitin Bandugula, Pat Romanski, Yakov Fain, Elizabeth White

News Feed Item

Western Wind Energy Reports Net Earnings of $0.13 per Share for the Third Quarter Ended September 30, 2012

VANCOUVER, November 29, 2012 /PRNewswire/ --

TSX.V Symbol: "WND"

OTCQX Symbol: "WNDEF"

Issued and Outstanding: 69,449,541

Western Wind Energy Corp. (the "Company") reported today, its unaudited condensed interim consolidated financial results for the three and nine months ended September 30, 2012. For complete details of the third quarter Condensed Interim Consolidated Financial Statements and related Management's Discussion and Analysis, please see the Company's filings on SEDAR (http://www.sedar.com) or on EDGAR (http://www.sec.gov).  All amounts herein are reported in U.S. dollars unless otherwise specified.

RECENT DEVELOPMENTS

  • On July 30, 2012, the Company announced that it would be seeking a buyer for the Company and its assets.  On August 10, 2012, the Company announced that it had engaged Rothschild (Canada) Inc. as its lead financial advisor to manage and structure a comprehensive and efficient auction process, with PI Financial Corp. engaged as a co-advisor. On October 24, 2012, the Company announced that the auction process was progressing as planned, with a limited number of bidders having been invited to conduct a second round of very extensive due diligence, as well as the addition of new participants as the proxy battle caused at least 8 weeks of delay in the auction process due to the uncertainty caused by a proxy battle. On November 23, 2012, Brookfield Renewable Energy Partners L.P. ("Brookfield"), announced Brookfield's intention to make an offer to acquire all of the outstanding common shares of the Company for cash consideration of C$2.50 per share (the "Brookfield Offer"). On November 26, 2012, the Company issued an announcement to highlight that some of the initial expressions received from auction participants that are currently conducting due diligence in the second round of the process, would imply a value significantly greater than the Brookfield Offer. There is no guarantee that any of the initial expressions of interest received by the Company will result in a formal offer being made or a binding agreement being entered into at this time.
  • The Company's generating facilities produced operating revenues of $8,353,723 (2011 - $747,281) and $27,641,941 (2011 - $2,305,843) for the three and nine months ended September 30, 2012, respectively.
  • For the three months ended September 30, 2012, net earnings improved significantly to $8,524,018, or $0.13 per share, compared to a net loss of ($1,581,610) (negative $0.03 per share) for the same period in 2011.  For the nine months, net earnings increased to $10,254,631, or $0.16 per share compared to a net loss of ($3,214,675) (negative $0.06 per share) for the same period in 2011.
  • For the three and nine months ended September 30, 2012, adjusted earnings before interest, income taxes, depreciation and amortization, and other expenses or income ("Adjusted EBITDA"[1]) increased to a loss of $(788,828), or a negative $0.01 per share[1],compared to loss of $(1,282,278) (negative $0.02 per share), and increased to $12,121,114, or a positive $0.19 per share,[1] compared to a loss of $(2,842,028) (negative $0.04 per share) the 2011 comparative periods.
  • On July 16, 2012, the Company received $78,334,713 in tax free cash grant under the U.S. Internal Revenue Code Section 1603 in connection with its 120MW Windstar project.  $68,933,897 was used to repay Windstar bridge financing, $5,248,127 was used to increase the debt service reserve account and $4,710,468 was set aside in restricted cash for the ongoing arbitration between the Company and its deferred financing vendor.  The amount awarded was $12,221,994 less than the $90,556,707 included in the Company's application and the Company has subsequently provided further supporting documentation to the Department of Treasury to support and request this shortfall.  Ongoing communication and numerous discussions with the Department of Treasury have been positive to-date.  While the Company is hopeful that an additional amount will be received, the timing and amount are uncertain and therefore the Company has not accrued this shortfall in its financial statements as at September 30, 2012.
  • On October 31, 2012, the Company was in compliance with its Windstar senior secured notes agreement covenants and received its first distribution of $2,307,622.
  • On November 16, 2012, the Company's subsidiary Western Wind Energy US Corporation closed a $25,000,000 corporate loan.  The corporate loan is structured in two parts, with the first draw of $15,000,000 being available immediately for repayment of the Company's existing corporate bridge financing, and is secured by a lien on future Windstar cash distributions and an equity interest in its direct borrowing subsidiaries.  The term of the loan will be for five (5) years and with an interest rate hedge, the annual interest rate will not exceed 11.5% for the term of the loan. The second commitment of $10,000,000 would be available to partially fund the Company's equity contribution and/or the REC promissory note to the Yabucoa solar project and to facilitate financial close of project financing, and will be secured by a lien on future Yabucoa cash distributions and an equity interest in its direct borrowing subsidiaries.  The Yabucoa commitment under the corporate loan agreement expires May 16, 2013 and a commitment fee of 4% per annum is charged on the undrawn amount.  As partial consideration for advancing the loan, the Company issued to the Lender an aggregate of 400,000 share purchase warrants for a five (5) year term and an exercise price of $2.50 per share for a period of five (5) years after the date the Lender's Warrants are issued.  In addition, the Company will grant the Lender a security interest in and to certain of its projects and assets as security for the facility.
  • On November 16, 2012 the Company received $15,000,000 from its first draw on the corporate loan.  These proceeds were used to pay the arrangement fee, transactions costs and to repay the following corporate bridge financing, extinguishing all terms and conditions of the respective agreements; the $778,287 loan was repaid; the $2,220,000 loan was repaid, the $2,764,395 loan was repaid, and a partial payment of $4,373,498 was paid on the $5,070,840 loan.
                                              SELECTED QUARTERLY INFORMATION
 
                                     Three Months Ended              Nine Months Ended
                                         September 30                   September 30
                                  2012              2011        2012              2011
                                    $                 $           $                 $
    Total operating revenues    8,353,723          747,281    27,641,941        2,305,843
    Adjusted EBITDA[1]           (788,828)      (1,282,278)   12,121,114       (2,842,028)
    Net earnings (loss)         8,524,018       (1,581,610)   10,254,631       (3,214,675)
      Adjusted EBITDA per share
            - Basic              $ (0.01)         $ (0.02)      $ 0.19          $ (0.05)
            - Diluted            $ (0.01)         $ (0.02)      $ 0.19          $ (0.05)
      Earnings (loss) per share
            - Basic               $ 0.13          $ (0.03)      $ 0.16          $ (0.06)
            - Diluted             $ 0.13          $ (0.03)      $ 0.16          $ (0.06)
    Weighted average commons shares outstanding
            - Basic            65,745,516       59,850,396    63,519,756       58,180,213
            - Diluted          67,163,980       59,850,396    64,709,149       58,180,213


RESULTS OF OPERATIONS

Operating Revenues

For the three and nine months ended September 30, 2012, operating revenues increased from $747,281 to $8,353,723,  and from $2,305,843 to $27,641,941, compared to operating revenues for the 2011 comparative periods, respectively.  This increase in operating revenues was driven by a 408% increase in energy production to 63,944MWh (2011 - 12,591MWh) and by a 389% increase in energy production to 234,202MWh (2011 - 47,914MWh) for the three and nine months ended September 30, 2012, respectively, due to the additional energy production and sales from the newly operational Windstar and Kingman generating facilities.

Adjusted EBITDA

For the three and nine months ended September 30, 2012, adjusted earnings before interest, income taxes, depreciation and amortization, and other expenses or income ("Adjusted EBITDA"[1]) increased to a loss of $(788,828), or a negative $0.01 per share,[1] compared to a loss of $(1,282,278) (negative $0.01 per share) and increased to $12,121,114, or a positive $0.19 per share,[1] compared to a loss of $(2,842,028) (negative $0.05 per share) the 2011 comparative periods.

Net Earnings (Loss)

For the three and none months ended September 30, 2012, net earnings increased to $8,524,018, or a positive $0.13 per share, compared to a net loss of $(1,581,610), or a loss of $(0.03) per share, and to $10,254,621, or a positive $0.16 per share, compared to a net loss of $(3,214,675), or a loss of $(0.06) per share.

NON-GAAP PERFORMANCE MEASURES

Adjusted EBITDA, and Adjusted EBITDA per share, are non-GAAP performance measures that management uses to assess the amount of cash generated by the Company, and to measure the operating performance of the Company, excluding the effects of interest, income taxes, depreciation and amortization, and other expenses or income.  Management measures performance, excluding these items, as they may be non-cash, unusual in nature, and/or are not factors used by management for evaluating the operating performance of the Company.  Adjusted EBITDA, and Adjusted EBITDA per share, are not recognized measures under GAAP, and therefore, may not be comparable with those presented by other reporting issuers.  Further, Adjusted EBITDA is not intended to be representative of cash flows from operating activities or the results of operations as determined in accordance with GAAP.  However, the Company believes that these measures are important, as they provide management and the reader with additional information about its operating, and cash generating capabilities, and facilitates the comparison of results over different periods.

ABOUT WESTERN WIND ENERGY CORP.

Western Wind Energy is a vertically integrated renewable energy production company that currently owns wind and solar generation facilities with 165MW of rated capacity in production, in the States of California and Arizona.  Western Wind further owns substantial development assets for both solar and wind energy in the U.S. and Canada.  The Company is headquartered in Vancouver, BC and has branch offices in Scottsdale, Arizona and Tehachapi, California.  Western Wind trades on the Toronto Venture Exchange under the symbol "WND", and in the United States on the OTCQX under the symbol "WNDEF".

The Company owns and operates three wind energy generation facilities in California, and one fully integrated combined wind and solar energy generation facility in Arizona.  The three operating wind generation facilities in California are comprised of the 120MW Windstar, 4.5MW Windridge facilities in Tehachapi, and the 30MW Mesa wind generation facility near Palm Springs.  The facility in Arizona is the Company's 10.5MW Kingman integrated solar and wind facility. The Company is further developing wind and solar energy projects in California, Arizona, and Puerto Rico.

ON BEHALF OF THE BOARD OF DIRECTORS

"SIGNED"

Jeffrey J. Ciachurski
President & Chief Executive Officer

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION

This news release contains certain statements that may be considered "forward-looking statements, such as references to the intended sale of Western Wind Energy Corp. and its assets. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur.  The forward-looking statements in this press release include statements regarding the intention of the Company to complete the sale of the Company or its assets.  The forward-looking statements included in this press release are based on reasonable assumptions, including that the Company will be able to successfully identify a prospective buyer, negotiate the terms of sale and satisfy all conditions required to complete the sale. Factors that may cause results to vary from anticipations include the risk that the proxy dispute with Sativr may disrupt and impede the sale process, the risk that the Company may not be able to successfully identify a buyer, negotiate acceptable terms or obtain all applicable government, regulatory and shareholder consents required to complete the sale, that the terms of those consents may not be acceptable to the Company, or, assuming the Company is able to successfully complete the sale, the Company is not able to achieve expected results following such sale.  Although Western Wind Energy Corp. believes the expectations expressed in the forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those contained in forward looking statements.  Forward looking statements are based on the beliefs, estimates and opinions of Western Wind Energy Corp.'s management on the date the statements are made. Western Wind Energy Corp. undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change, except as required by law.

[1] Refer to "Non-GAAP Performance Measures" 

For further information:
Investor Relations Contact:
Lawrence Casse
AlphaEdge
Tel:  +1(416) 992-7227
Email:  [email protected]


More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
Code Halos - aka "digital fingerprints" - are the key organizing principle to understand a) how dumb things become smart and b) how to monetize this dynamic. In his session at @ThingsExpo, Robert Brown, AVP, Center for the Future of Work at Cognizant Technology Solutions, outlined research, analysis and recommendations from his recently published book on this phenomena on the way leading edge organizations like GE and Disney are unlocking the Internet of Things opportunity and what steps your organization should be taking to position itself for the next platform of digital competition.
In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect at GE, and Ibrahim Gokcen, who leads GE's advanced IoT analytics, focused on the Internet of Things / Industrial Internet and how to make it operational for business end-users. Learn about the challenges posed by machine and sensor data and how to marry it with enterprise data. They also discussed the tips and tricks to provide the Industrial Internet as an end-user consumable service using Big Data Analytics and Industrial Cloud.
SYS-CON Media announced that Splunk, a provider of the leading software platform for real-time Operational Intelligence, has launched an ad campaign on Big Data Journal. Splunk software and cloud services enable organizations to search, monitor, analyze and visualize machine-generated big data coming from websites, applications, servers, networks, sensors and mobile devices. The ads focus on delivering ROI - how improved uptime delivered $6M in annual ROI, improving customer operations by mining large volumes of unstructured data, and how data tracking delivers uptime when it matters most.
SYS-CON Events announced today that ActiveState, the leading independent Cloud Foundry and Docker-based PaaS provider, has been named “Silver Sponsor” of SYS-CON's DevOps Summit New York, which will take place June 9-11, 2015, at the Javits Center in New York City, NY. ActiveState believes that enterprises gain a competitive advantage when they are able to quickly create, deploy and efficiently manage software solutions that immediately create business value, but they face many challenges that prevent them from doing so. The Company is uniquely positioned to help address these challenges thro...
The Industrial Internet revolution is now underway, enabled by connected machines and billions of devices that communicate and collaborate. The massive amounts of Big Data requiring real-time analysis is flooding legacy IT systems and giving way to cloud environments that can handle the unpredictable workloads. Yet many barriers remain until we can fully realize the opportunities and benefits from the convergence of machines and devices with Big Data and the cloud, including interoperability, data security and privacy.
SYS-CON Media announced that Cisco, a worldwide leader in IT that helps companies seize the opportunities of tomorrow, has launched a new ad campaign in Cloud Computing Journal. The ad campaign, a webcast titled 'Is Your Data Center Ready for the Application Economy?', focuses on the latest data center networking technologies, including SDN or ACI, and how customers are using SDN and ACI in their organizations to achieve business agility. The Cisco webcast is available on-demand.
IoT is still a vague buzzword for many people. In his session at @ThingsExpo, Mike Kavis, Vice President & Principal Cloud Architect at Cloud Technology Partners, discussed the business value of IoT that goes far beyond the general public's perception that IoT is all about wearables and home consumer services. He also discussed how IoT is perceived by investors and how venture capitalist access this space. Other topics discussed were barriers to success, what is new, what is old, and what the future may hold. Mike Kavis is Vice President & Principal Cloud Architect at Cloud Technology Pa...
The Internet of Things (IoT) is rapidly in the process of breaking from its heretofore relatively obscure enterprise applications (such as plant floor control and supply chain management) and going mainstream into the consumer space. More and more creative folks are interconnecting everyday products such as household items, mobile devices, appliances and cars, and unleashing new and imaginative scenarios. We are seeing a lot of excitement around applications in home automation, personal fitness, and in-car entertainment and this excitement will bleed into other areas. On the commercial side, m...
Dale Kim is the Director of Industry Solutions at MapR. His background includes a variety of technical and management roles at information technology companies. While his experience includes work with relational databases, much of his career pertains to non-relational data in the areas of search, content management, and NoSQL, and includes senior roles in technical marketing, sales engineering, and support engineering. Dale holds an MBA from Santa Clara University, and a BA in Computer Science from the University of California, Berkeley.
The Internet of Things (IoT) promises to evolve the way the world does business; however, understanding how to apply it to your company can be a mystery. Most people struggle with understanding the potential business uses or tend to get caught up in the technology, resulting in solutions that fail to meet even minimum business goals. In his session at @ThingsExpo, Jesse Shiah, CEO / President / Co-Founder of AgilePoint Inc., showed what is needed to leverage the IoT to transform your business. He discussed opportunities and challenges ahead for the IoT from a market and technical point of vie...
Things are being built upon cloud foundations to transform organizations. This CEO Power Panel at 15th Cloud Expo, moderated by Roger Strukhoff, Cloud Expo and @ThingsExpo conference chair, addressed the big issues involving these technologies and, more important, the results they will achieve. Rodney Rogers, chairman and CEO of Virtustream; Brendan O'Brien, co-founder of Aria Systems, Bart Copeland, president and CEO of ActiveState Software; Jim Cowie, chief scientist at Dyn; Dave Wagstaff, VP and chief architect at BSQUARE Corporation; Seth Proctor, CTO of NuoDB, Inc.; and Andris Gailitis, C...
SYS-CON Events announced today that CodeFutures, a leading supplier of database performance tools, has been named a “Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. CodeFutures is an independent software vendor focused on providing tools that deliver database performance tools that increase productivity during database development and increase database performance and scalability during production.
Today’s enterprise is being driven by disruptive competitive and human capital requirements to provide enterprise application access through not only desktops, but also mobile devices. To retrofit existing programs across all these devices using traditional programming methods is very costly and time consuming – often prohibitively so. In his session at @ThingsExpo, Jesse Shiah, CEO, President, and Co-Founder of AgilePoint Inc., discussed how you can create applications that run on all mobile devices as well as laptops and desktops using a visual drag-and-drop application – and eForms-buildi...
"People are a lot more knowledgeable about APIs now. There are two types of people who work with APIs - IT people who want to use APIs for something internal and the product managers who want to do something outside APIs for people to connect to them," explained Roberto Medrano, Executive Vice President at SOA Software, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Performance is the intersection of power, agility, control, and choice. If you value performance, and more specifically consistent performance, you need to look beyond simple virtualized compute. Many factors need to be considered to create a truly performant environment. In his General Session at 15th Cloud Expo, Harold Hannon, Sr. Software Architect at SoftLayer, discussed how to take advantage of a multitude of compute options and platform features to make cloud the cornerstone of your online presence.
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity.
Advanced Persistent Threats (APTs) are increasing at an unprecedented rate. The threat landscape of today is drastically different than just a few years ago. Attacks are much more organized and sophisticated. They are harder to detect and even harder to anticipate. In the foreseeable future it's going to get a whole lot harder. Everything you know today will change. Keeping up with this changing landscape is already a daunting task. Your organization needs to use the latest tools, methods and expertise to guard against those threats. But will that be enough? In the foreseeable future attacks w...
As enterprises move to all-IP networks and cloud-based applications, communications service providers (CSPs) – facing increased competition from over-the-top providers delivering content via the Internet and independently of CSPs – must be able to offer seamless cloud-based communication and collaboration solutions that can scale for small, midsize, and large enterprises, as well as public sector organizations, in order to keep and grow market share. The latest version of Oracle Communications Unified Communications Suite gives CSPs the capability to do just that. In addition, its integration ...
“The age of the Internet of Things is upon us,” stated Thomas Svensson, senior vice-president and general manager EMEA, ThingWorx, “and working with forward-thinking companies, such as Elisa, enables us to deploy our leading technology so that customers can profit from complete, end-to-end solutions.” ThingWorx, a PTC® (Nasdaq: PTC) business and Internet of Things (IoT) platform provider, announced on Monday that Elisa, Finnish provider of mobile and fixed broadband subscriptions, will deploy ThingWorx® platform technology to enable a new Elisa IoT service in Finland and Estonia.
From telemedicine to smart cars, digital homes and industrial monitoring, the explosive growth of IoT has created exciting new business opportunities for real time calls and messaging. In his session at @ThingsExpo, Ivelin Ivanov, CEO and Co-Founder of Telestax, shared some of the new revenue sources that IoT created for Restcomm – the open source telephony platform from Telestax. Ivelin Ivanov is a technology entrepreneur who founded Mobicents, an Open Source VoIP Platform, to help create, deploy, and manage applications integrating voice, video and data. He is the co-founder of TeleStax, a...