Ethyl Polysilicate Market to Cross US$670 Mn by 2025: Global Market Insights, Inc.
SELBYVILLE, Delaware, June 20, 2019 /PRNewswire/ -- The ethyl polysilicate market share is predicted to rise from USD 485 million in 2018 to over USD 670 million by 2025, according to a 2019 Global Market Insights, Inc. report. Growing application potential in paints due to its high adhesive power and cross-linking properties will have positive impact on ethyl polysilicate market growth. These characteristics proves advantageous for wall surfaces to remain intact with paint thus providing stability along with moisture resistance which is likely to boost industry size by 2025.
Aeroflot Expands Route Network for Summer 2019
MOSCOW, June 20, 2019 /PRNewswire/ -- This summer Aeroflot has launched new flights to more destinations in Russia and abroad. From June 1, Aeroflot is operating five weekly flights from Moscow to Marseille, France's second largest city and a renowned cultural and historical centre. Another destination in the Mediterranean that was added to Aeroflot's route network is Palma de Mallorca - Aeroflot is now operating four weekly flights to the largest city of the Balearic Islands.
Almaz Capital Exited From Acumatica
PORTOLA VALLEY, California, June 20, 2019 /PRNewswire/ -- Almaz Capital exited from Acumatica, a fast-growing US-based provider of cloud-based ERP software systems. 100% of Acumatica is acquired by a leading PE firm EQT.
Gresham Strengthens Cyber-security Posture with PCI DSS 3.2 Accreditation
Latest industry recognition, ensures Clareti Platform customers continue to benefit from the most stringent security accreditations LONDON, June 20, 2019 /PRNewswire/ -- Gresham, the leading provider of real-time financial transaction control and enterprise data integrity solutions, announces that its Clareti Platform and associated software development processes has passed the world's highest safety standards for handling cardholder data. The Attestation of Compliance to PCI DSS 3.2 is essential for the firm's retail banking clients aiming to protect their customers' data from malicious cyber and other attacks. The certification comes as Gresham further enhances its cutting-edge security processes and commitment to world leading data integrity and enables customers to have complete confidence that their data will be completely secure within the Clareti Platform. The certification is designed to protect cardholder data from theft and applies to all entities that store, process or transmit cardholder data. It comes with strict requirements for developers and manufacturers of applications that deal with this data. Updates to the PCI DSS 3.2 include additional requirements around the use of multi-factor authentication and migration deadlines for removal of Secure Sockets Layer (SSL) /early Transport Layer Security (TLS). For certification, Gresham demonstrated it employs the required 300+ data protection processes and standards, as well as appropriate quarterly vulnerability assessments and scans. With Gresham's adaptive and flexible methodology being continuously applied in highly sensitive financial environments, being held to the world's highest security standards is a necessary mark of commitment to data integrity, a core focus for the firm. Commenting on the accreditation, Neil Vernon, Chief Technology Officer at Gresham said, "We recognise card data as being different from other data and apply specific encryption and masking algorithms to ensure confidentiality. From time to time, data integrity issues between the merchant and acquirer may lead to a legitimate and valid need for someone involved in the investigation of an issue to see the entire card data. However, we enforce several measures to protect data integrity including: providing a precise and clear audit of when this happens; time-limiting access to single cards; and securing the audit in at least two separate, persistent stores to eliminate the risk of tampering. We are pleased our processes are being recognised for the PCI DSS certification." Aligning any application to these high standards requires specialist knowledge and Gresham provides training and documentation to all of its clients, most of whom need the highest level of application security. Gresham has been PCI DSS certified since June 2016 and continues to update its certification as the standard evolves to address developments in how payment data can be exploited to the detriment of individuals and organisations. About Gresham Technologies plc: Gresham is a leading software and services company that specialises in providing real-time data integrity and control solutions. Listed on the main market of the London Stock Exchange (GHT.L) and headquartered in the City of London, its customers include some of the world's largest financial institutions, all of whom are served locally from offices located in Europe, North America and Asia Pacific. Gresham's award-winning Clareti software platform has been designed to provide financial institutions with complete certainty in their data processing. Clareti is a highly flexible and fully scalable platform for ensuring the integrity of data across an enterprise. It is designed to address today's most challenging financial control, risk management, data governance and regulatory compliance problems. Learn more at www.greshamtech.com Logo: https://mma.prnewswire.com/media/654184/Gresham_Tech_Logo.jpg
Alithya reports strong revenue growth and continued margin improvement in its Fiscal 2019 4th quarter and annual results
The accelerated and successful integration of the Edgewater Technology acquisition strongly contributed to revenue growth and gross margin expansion
Alithya reports strong revenue growth and continued margin improvement in its Fiscal 2019 4th quarter and annual results
The accelerated and successful integration of the Edgewater Technology acquisition strongly contributed to revenue growth and gross margin expansion
Kewaunee Scientific Reports Results for Fiscal Year and Fourth Quarter
STATESVILLE, N.C., June 18, 2019 /PRNewswire/ -- Kewaunee Scientific Corporation (NASDAQ: KEQU) today announced results for its fourth quarter and its fiscal year ended April 30, 2019.
Kroger Reports First Quarter 2019 Results
CINCINNATI, June 20, 2019 /PRNewswire/ --The Kroger Co. (NYSE: KR) today reported its first quarter 2019 results and provided a Restock Kroger progress update on the company's three-year transformation plan. Comments from Chairman and CEO Rodney McMullen "Because the retail industry is constantly transforming, we proactively launched Restock Kroger to deliver for our customers and shareholders. It all starts with our customer obsession, which is why Kroger is assembling a platform to deliver anything, anytime, anywhere. We are building momentum in the second year of Restock Kroger, which is off to a solid start. The entire company is focused on redefining the grocery customer experience, improved upon by exciting partnerships that will create value. We are on track to generate the free cash flow and incremental adjusted FIFO operating profit that we committed to in 2019 as part of Restock Kroger. We are confident in our ability to deliver on our plans for the year and our long-term vision to serve America through food inspiration and uplift." Financial Results Total company sales were $37.3 billion in the first quarter, compared to $37.7 billion for the same period last year. This decrease is due to the sale of Kroger's convenience store business unit. Total sales, excluding fuel and the effect of selling the convenience store business unit, increased 2.0% from the same period last year. Gross margin was 22.2% of sales for the first quarter. FIFO gross margin, excluding fuel, decreased 40 basis points from the same period last year, primarily due to industry-wide lower gross margin rates in pharmacy. The Operating, General & Administrative costs, excluding fuel and the 2019 and 2018 Adjustment Items (see Table 6), decreased 12 basis points as a rate of sales, due to execution of Restock Kroger initiatives and planned real estate transactions during the quarter. Operating profit was $901 million in the first quarter. Adjusted FIFO operating profit totaled $957 million in the first quarter (see Table 7). GAAP net earnings were $0.95 per diluted share compared to $2.37 per diluted share in the same period last year. Adjusted net earnings were $0.72 per diluted share, compared to $0.73 per diluted share in the same period last year (see Table 6). Kroger did not adjust the rates as a percent of sales described above for the divestitures of the convenience store, YouTech and Turkey Hill Dairy businesses and the merger with Home Chef, because the effect was insignificant. Financial Strategy Kroger's financial strategy is to use its free cash flow to drive growth while also maintaining its current investment grade debt rating and returning capital to shareholders. The company actively balances the use of its cash flow to achieve these goals. Over the last four quarters, Kroger has used cash to: Invest a combined $589 million in Ocado securities and Home Chef, Contribute an incremental $185 million pre-tax to company-sponsored pension plans, Repurchase five million common shares for $216 million, Pay $440 million in dividends, and Invest $3.0 billion in capital, excluding mergers, acquisitions, and purchases of leased facilities.Consistent with our financial strategy, Kroger reduced net total debt by $1.7 billion, since the end of fiscal year 2018. Kroger's net total debt to adjusted EBITDA ratio is 2.54, down from 2.83 at the end of 2018 (see Table 5). The company's net total debt to adjusted EBITDA ratio target range is 2.30 to 2.50. 2019 Guidance IDS (%) EPS ($) Operating Profit ($B) Tax Rate Cap Ex ($B) GAAP N/A $2.38 - $2.48 $2.9 - $3.0 23% $3.0 - $3.2 Adjusted* 2.0% - 2.25% $2.15 - $2.25 $2.9 - $3.0 22% N/A * Without adjusted items, if applicable; operating profit represents FIFO Operating Profit First Quarter 2019 Restock Kroger Highlights Redefine the Grocery Customer Experience Our Brands sales were up 3.3% vs. prior year, led by double digit growth in Simple Truth. Kroger also launched 219 new Our Brands items Expanded to 1,685 Pickup locations and 2,126 Delivery locations, covering over 93% of Kroger households Introduced test of new Home Chef retail meal solutions, including oven-ready options, Heat & Eat choices, and lunch kitsPartner for Customer Value Provided additional detail on Kroger's alternative profit stream portfolio Formed PearlRock Partners, a new platform to identify, invest in and help grow the next generation of leading consumer product brands, with private investment firm Lindsay Goldberg Broke ground on first Kroger-Ocado center in Monroe, Ohio and named the location of the second customer fulfillment center Completed sale of YouTech to Inmar and established a long-term service agreement Completed sale of Turkey Hill business Expanded Media business portfolio with new ad units, including a direct relationship with Pinterest to bridge the journey between inspiration and purchase for both customers and advertisersDevelop Talent Earned perfect score of 100% on the Human Rights Campaign's Corporate Equality Index and recognized as one of the Best Places to Work for LGBTQ Kroger Technology was named to Computerworld magazine's Top 100 Best Places to Work in IT Yael Cosset, senior vice president and chief information officer, recognized by Business Insider as a top industry executive who's transforming retail Colleen Lindholz, president of Kroger Health, recognized by Forbes for her leadership in the food industry to impact communities and improve lives Fry's President Monica Garnes named Progressive Grocer's 2019 TrailblazerLive Kroger's Purpose Announced relationship with sustainability innovator Loop to pilot new reusable packaging system Named a 2019 Engage for Good Gold Halo Award winner in the Best Environmental Initiative category for Zero Hunger | Zero Waste Eliminated single-use plastic grocery bags in the Pacific Northwest QFC division At The Kroger Co. (NYSE: KR), we are dedicated to our Purpose: to Feed the Human Spirit®. We are nearly half a million associates who serve over 11 million customers daily through a seamless digital shopping experience and 2,761 retail food stores under a variety of banner names, serving America through food inspiration and uplift, and creating #ZeroHungerZeroWaste communities by 2025. To learn more about us, visit our newsroom and investor relations site. Kroger's first quarter 2019 ended on May 25, 2019. Note: Fuel sales have historically had a low gross margin rate and operating expense rate as compared to corresponding rates on non-fuel sales. As a result, Kroger discusses the changes in these rates excluding the effect of fuel. Please refer to the supplemental information presented in the tables for reconciliations of the non-GAAP financial measures used in this press release to the most comparable GAAP financial measure and related disclosure. This press release contains certain statements that constitute "forward-looking statements" about the future performance of the company. These statements are based on management's assumptions and beliefs in light of the information currently available to it. The remarks contain certain forward-looking statements about the future performance of the Company. These statements are based on management's assumptions and beliefs in light of the information currently available to it. Such statements are indicated by words or phrases such as "ahead," "believe," "build," "committed," "confident," "continue," "contribute," "create," "deliver," "drive," "estimate," "expect," "future," "guidance," "headwind," "improve," "intend," "momentum," "optimistic," "on track," "proactive," "progress," "solid," "strategy," "strength," "tailwind," "target," "transformation," "trend," "upcoming," "vision," and "will." Various uncertainties and other factors could cause actual results to differ materially from those contained in the forward-looking statements. These include the specific risk factors identified in "Risk Factors" and "Outlook" in our annual report on Form 10-K for our last fiscal year and any subsequent filings, as well as the following: Kroger's ability to achieve sales, earnings, incremental FIFO operating profit, and free cash flow goals may be affected by: labor negotiations or disputes; changes in the types and numbers of businesses that compete with Kroger; pricing and promotional activities of existing and new competitors, including non-traditional competitors, and the aggressiveness of that competition; Kroger's response to these actions; the state of the economy, including interest rates, the inflationary and deflationary trends in certain commodities, changes in tariffs, and the unemployment rate; the effect that fuel costs have on consumer spending; volatility of fuel margins; changes in government-funded benefit programs; manufacturing commodity costs; diesel fuel costs related to Kroger's logistics operations; trends in consumer spending; the extent to which Kroger's customers exercise caution in their purchasing in response to economic conditions; the uncertain pace of economic growth; changes in inflation or deflation in product and operating costs; stock repurchases; Kroger's ability to retain pharmacy sales from third party payors; consolidation in the healthcare industry, including pharmacy benefit managers; Kroger's ability to negotiate modifications to multi-employer pension plans; natural disasters or adverse weather conditions; the potential costs and risks associated with potential cyber-attacks or data security breaches; the success of Kroger's future growth plans; the ability to execute on Restock Kroger; and the successful integration of merged companies and new partnerships. Our ability to achieve these goals may also be affected by our ability to manage the factors identified above. Our ability to execute our financial strategy may be affected by our ability to generate cash flow. Kroger's ability to achieve these goals may also be affected by Kroger's ability to manage the factors identified above. Kroger's ability to execute its financial strategy may be affected by its ability to generate cash flow. Kroger's effective tax rate may differ from the expected rate due to changes in laws, the status of pending items with various taxing authorities, and the deductibility of certain expenses.Kroger assumes no obligation to update the information contained herein. Please refer to Kroger's reports and filings with the Securities and Exchange Commission for a further discussion of these risks and uncertainties. Note: Kroger's quarterly conference call with investors will broadcast live at 10 a.m. (ET) on June 20, 2019 at ir.kroger.com. An on-demand replay of the webcast will be available at approximately 1 p.m. (ET) on Thursday, June 20, 2019. 1st Quarter 2019 Tables Include: Consolidated Statements of Operations Consolidated Balance Sheets Consolidated Statements of Cash Flows Supplemental Sales Information Reconciliation of Net Total Debt and Net Earnings Attributable to The Kroger Co. to Adjusted EBITDA Net Earnings Per Diluted Share Excluding the Adjustment Items Operating Profit Excluding the Adjustment Items 2018 Sales Reclassification Table 1. THE KROGER CO. CONSOLIDATED STATEMENTS OF OPERATIONS (in millions, except per share amounts) (unaudited) FIRST QUARTER 2019 2018 SALES $ 37,251 100.0% $ 37,722 100.0% OPERATING EXPENSES MERCHANDISE COSTS, INCLUDING ADVERTISING, WAREHOUSING AND TRANSPORTATION (a), AND LIFO CHARGE (b) 28,983 77.8 29,419 78.0 OPERATING, GENERAL AND ADMINISTRATIVE (a) 6,314 17.0 6,257 16.6 RENT 274 0.7 276 0.7 DEPRECIATION AND AMORTIZATION 779 2.1 741 2.0 OPERATING PROFIT 901 2.4 1,029 2.7 OTHER INCOME (EXPENSE) INTEREST EXPENSE (197) (0.5) (192) (0.5) NON-SERVICE COMPONENT OF COMPANY-SPONSORED PENSION PLAN COSTS 3 0.0 (10) (0.0) MARK TO MARKET GAIN ON OCADO SECURITIES 106 0.3 36 0.1 GAIN ON SALE OF BUSINESSES 176 0.5 1,771 4.7 NET EARNINGS BEFORE INCOME TAX EXPENSE 989 2.7 2,634 7.0 INCOME TAX EXPENSE 226 0.6 616 1.6 NET EARNINGS INCLUDING NONCONTROLLING INTERESTS 763 2.1 2,018 5.4 NET LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS (9) - (8) - NET EARNINGS ATTRIBUTABLE TO THE KROGER CO. $ 772 2.1% $ 2,026 5.4% NET EARNINGS ATTRIBUTABLE TO THE KROGER CO. PER BASIC COMMON SHARE $ 0.96 $ 2.39 AVERAGE NUMBER OF COMMON SHARES USED IN BASIC CALCULATION 798 839 NET EARNINGS ATTRIBUTABLE TO THE KROGER CO. PER DILUTED COMMON SHARE $ 0.95 $ 2.37 AVERAGE NUMBER OF COMMON SHARES USED IN DILUTED CALCULATION 805 846 DIVIDENDS DECLARED PER COMMON SHARE $ 0.140 $ 0.125 Note: Certain percentages may not sum due to rounding. Note: The Company defines First-In First-Out (FIFO) gross profit as sales minus merchandise costs, including advertising, warehousing and transportation, but excluding the Last-In First-Out (LIFO) charge. The Company defines FIFO gross margin, as described in the earnings release, as FIFO gross profit divided by sales. The Company defines FIFO operating profit as operating profit excluding the LIFO charge. The Company defines FIFO operating margin, as described in the earnings release, as FIFO operating profit divided by sales. The above FIFO financial metrics are important measures used by management to evaluate operational effectiveness. Management believes these FIFO financial metrics are useful to investors and analysts because they measure our day-to-day operational effectiveness. (a) Merchandise costs ("COGS") and operating, general and administrative expenses ("OG&A") exclude depreciation and amortization expense and rent expense which are included in separate expense lines. (b) LIFO charges of $15 were recorded in the first quarters of 2019 and 2018. Note: Products and services related primarily to Kroger Personal Finance and Media, which were historically accounted for as an offset to OG&A, are now classified as a component of sales, except for certain amounts in Media, which are netted against COGS. These prior-year amounts have been reclassified to conform to current-year presentation, which is consistent with our Restock Kroger initiative and view of the products and services as part of our core business strategy. This is also more consistent with industry practice. Table 2. THE KROGER CO. CONSOLIDATED BALANCE SHEETS (in millions) (unaudited) May 25, May 26, 2019 2018 ASSETS Current Assets Cash $ 365 $ 315 Temporary cash investments 44 376 Store deposits in-transit 1,066 1,053 Receivables 1,560 1,583 Inventories 6,707 6,387 Assets held for sale - 42 Prepaid and other current assets 420 530 Total current assets 10,162 10,286 Property, plant and equipment, net 21,661 21,195 Operating lease assets 6,819 - Intangibles, net 1,123 1,100 Goodwill 3,087 2,925 Other assets 1,467 1,055 Total Assets $ 44,319 $ 36,561 LIABILITIES AND SHAREOWNERS' EQUITY Current Liabilities Current portion of long-term debt including obligations under finance leases $ 1,453 $ 2,242 Current portion of operating lease liabilities 682 - Trade accounts payable 6,423 6,202 Accrued salaries and wages 1,078 1,011 Liabilities held for sale - 18 Other current liabilities 3,939 4,003 Total current liabilities 13,575 13,476 Long-term debt including obligations under finance leases 12,016 12,059 Noncurrent operating lease liabilities 6,420 - Deferred income taxes 1,484 1,590 Pension and postretirement benefit obligations 485 789 Other long-term liabilities 1,807 1,706 Total Liabilities 35,787 29,620 Shareowners' equity 8,532 6,941 Total Liabilities and Shareowners' Equity $ 44,319 $ 36,561 Total common shares outstanding at end of period 798 796 Total diluted shares year-to-date 805 846 Note: The Company adopted ASU 2016-02, "Leases," and related amendments as of February 3, 2019 under the modified retrospective approach and has not revised comparative periods. Table 3. THE KROGER CO. CONSOLIDATED STATEMENTS OF CASH FLOWS (in millions) (unaudited) YEAR-TO-DATE 2019 2018 CASH FLOWS FROM OPERATING ACTIVITIES: Net earnings including noncontrolling interests $ 763 $ 2,018 Adjustments to reconcile net earnings including noncontrolling interests to net cash provided by operating activities: Depreciation and amortization 779 741 Operating lease amortization 197 - LIFO charge 15 15 Stock-based employee compensation 48 45 Expense for Company-sponsored pension plans 11 27 Deferred income taxes (73) 17 Gain on sale of businesses (176) (1,771) Gain on the sale of property (57) - Mark to market gain on Ocado securities (106) (36) Other (29) - Changes in operating assets and liabilities, net of effects from mergers and disposals of businesses: Store deposits in-transit 115 108 Receivables 33 (123) Inventories 124 134 Prepaid and other current assets 86 307 Trade accounts payable 364 345 Accrued expenses (18) 43 Income taxes receivable and payable 63 558 Operating lease liabilities (146) - Proceeds from contract associated with the sale of business 295 - Other (20) (60) Net cash provided by operating activities 2,268 2,368 CASH FLOWS FROM INVESTING ACTIVITIES: Payments for property and equipment (901) (758) Proceeds from sale of assets 117 47 Purchases of stores - (44) Net proceeds from sale of businesses 326 2,142 Other (6) (38) Net cash (used) provided by investing activities (464) 1,349 CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from issuance of long-term debt 9 1,010 Payments on long-term debt including obligations under finance leases (1,013) (214) Net payments on commercial paper (700) (2,120) Dividends paid (113) (110) Proceeds from issuance of capital stock 12 10 Treasury stock purchases (15) (1,809) Other (4) (140) Net cash used by financing activities (1,824) (3,373) NET (DECREASE) INCREASE IN CASH AND TEMPORARY CASH INVESTMENTS (20) 344 CASH AND TEMPORARY CASH INVESTMENTS: BEGINNING OF YEAR 429 347 END OF PERIOD $ 409 $ 691 Reconciliation of capital investments: Payments for property and equipment $ (901) $ (758) Changes in construction-in-progress payables 25 (91) Total capital investments $ (876) $ (849) Disclosure of cash flow information: Cash paid during the year for interest $ 115 $ 124 Cash paid during the year for income taxes $ 231 $ 36 Table 4. Supplemental Sales Information (in millions, except percentages) (unaudited) Items identified below should not be considered as alternatives to sales or any other GAAP measure of performance. Identical sales is an industry-specific measure and it is important to review it in conjunction with Kroger's financial results reported in accordance with GAAP. Other companies in our industry may calculate identical sales differently than Kroger does, limiting the comparability of the measure. IDENTICAL SALES (a) FIRST QUARTER 2019 2018 EXCLUDING FUEL $ 32,133 $ 31,670 EXCLUDING FUEL 1.5% 1.9% (a) Kroger defines identical sales, excluding fuel, as sales to retail customers, including sales from all departments at identical supermarket locations, Kroger Specialty Pharmacy businesses, jewelry and ship-to-home solutions. Kroger defines a supermarket as identical when it has been in operation without expansion or relocation for five full quarters. Additionally, sales from all acquired businesses are treated as identical as if they were part of the Company in the prior year. Products and services related primarily to Kroger Personal Finance, which were historically accounted for as an offset to OG&A, are now classified as a component of sales. These prior-year amounts have been reclassified to conform to current-year presentation and included in identical sales in 2019 and 2018, which is consistent with our Restock Kroger initiative and view of the products and services as part of our core business strategy. This is also more consistent with industry practice. This change affected identical sales by 3 and 5 basis points in 2019 and 2018, respectively. Table 5. Reconciliation of Net Total Debt and Net Earnings Attributable to The Kroger Co. to Adjusted EBITDA (in millions, except for ratio) (unaudited) The items identified below should not be considered an alternative to any GAAP measure of performance or access to liquidity. Net total debt to adjusted EBITDA is an important measure used by management to evaluate the Company's access to liquidity. The items below should be reviewed in conjunction with Kroger's financial results reported in accordance with GAAP. The following table provides a reconciliation of net total debt. May 25, May 26, 2019 2018 Change Current portion of long-term debt including obligations under finance leases $ 1,453 $ 2,242 $ (789) Long-term debt including obligations under finance leases 12,016 12,059 (43) Total debt 13,469 14,301 (832) Less: Temporary cash investments 44 376 (332) Less: Prepaid employee benefits - 2 (2) Net total debt $ 13,425 $ 13,923 $ (498) The following table provides a reconciliation from net earnings attributable to The Kroger Co. to adjusted EBITDA, as defined in the Company's credit agreement, on a rolling four quarter 52 week basis. Rolling Four Quarters Ended May 25, May 26, 2019 2018 Net earnings attributable to The Kroger Co. $ 1,856 $ 3,630 LIFO charge (credit) 29 (18) Depreciation and amortization 2,503 2,441 Interest expense 625 614 Income tax expense 510 63 Adjustments for pension plan agreements 227 338 Adjustment for Kroger Specialty Pharmacy goodwill impairment - 110 Adjustment for company-sponsored pension plan termination - 502 Adjustment for mark to market gain on Ocado securities (298) (36) Adjustment for gain on sale of convenience store business (11) (1,771) Adjustment for gain on sale of Turkey Hill Dairy (106) - Adjustment for gain on sale of You Technology (70) - Adjustment for contingent consideration 9 - Adjustment for loss on settlement of financial instrument 42 - 53rd week EBITDA adjustment - (131) Other (23) (13) Adjusted EBITDA $ 5,293 $ 5,729 Net total debt to adjusted EBITDA ratio on a 52 week basis 2.54 2.43 Table 6. Net Earnings Per Diluted Share Excluding the Adjustment Items (in millions, except per share amounts) (unaudited) The purpose of this table is to better illustrate comparable operating results from our ongoing business, after removing the effects on net earnings per diluted common share for certain items described below. Items identified in this table should not be considered alternatives to net earnings attributable to The Kroger Co. or any other GAAP measure of performance. These items should not be reviewed in isolation or considered substitutes for the Company's financial results as reported in accordance with GAAP. Due to the nature of these items, as further described below, it is important to identify these items and to review them in conjunction with the Company's financial results reported in accordance with GAAP. The following table summarizes items that affected the Company's financial results during the periods presented. FIRST QUARTER 2019 2018 NET EARNINGS ATTRIBUTABLE TO THE KROGER CO. $ 772 $ 2,026 ADJUSTMENTS FOR PENSION PLAN AGREEMENTS (a)(b) 44 (10) ADJUSTMENT FOR GAIN ON SALE OF CONVENIENCE STORE BUSINESS (a)(c) - (1,352) ADJUSTMENT FOR GAIN ON SALE OF TURKEY HILL DAIRY (a)(d) (80) - ADJUSTMENT FOR GAIN ON SALE OF YOU TECHNOLOGY (a)(e) (52) - ADJUSTMENT FOR MARK TO MARKET GAIN ON OCADO SECURITIES (a)(f) (80) (27) ADJUSTMENT FOR DEPRECIATION RELATED TO HELD FOR SALE ASSETS (a)(g) - (11) ADJUSTMENT FOR CONTINGENT CONSIDERATION (a)(h) (18) - 2019 AND 2018 ADJUSTMENT ITEMS (186) (1,400) NET EARNINGS ATTRIBUTABLE TO THE KROGER CO. EXCLUDING THE ADJUSTMENT ITEMS ABOVE $ 586 $ 626 NET EARNINGS ATTRIBUTABLE TO THE KROGER CO. PER DILUTED COMMON SHARE $ 0.95 $ 2.37 ADJUSTMENTS FOR PENSION PLAN AGREEMENTS (i) 0.05 (0.01) ADJUSTMENT FOR GAIN ON SALE OF CONVENIENCE STORE BUSINESS (i) - (1.59) ADJUSTMENT FOR GAIN ON SALE OF TURKEY HILL DAIRY (i) (0.10) - ADJUSTMENT FOR GAIN ON SALE OF YOU TECHNOLOGY (i) (0.06) - ADJUSTMENT FOR MARK TO MARKET GAIN ON OCADO SECURITIES (i) (0.10) (0.03) ADJUSTMENT FOR DEPRECIATION RELATED TO HELD FOR SALE ASSETS (i) - (0.01) ADJUSTMENT FOR CONTINGENT CONSIDERATION (i) (0.02) - 2019 AND 2018 ADJUSTMENT ITEMS (0.23) (1.64) NET EARNINGS ATTRIBUTABLE TO THE KROGER CO. PER DILUTED COMMON SHARE EXCLUDING THE ADJUSTMENT ITEMS ABOVE $ 0.72 $ 0.73 AVERAGE NUMBER OF COMMON SHARES USED IN DILUTED CALCULATION 805 846 Table 6. Net Earnings Per Diluted Share Excluding the Adjustment Items (continued) (in millions, except per share amounts) (unaudited) (a) The amounts presented represent the after-tax effect of each adjustment. (b) The pre-tax adjustments for pension plan agreements were $59 and $(13) in the first quarters of 2019 and 2018, respectively. (c) The pre-tax adjustment for gain on sale of convenience store business was ($1,771). (d) The pre-tax adjustment for gain on sale of Turkey Hill Dairy was ($106). (e) The pre-tax adjustment for gain on sale of You Technology was ($70). (f) The pre-tax adjustment for mark to market gain on Ocado securities was ($106) and ($36) in the first quarters of 2019 and 2018, respectively. (g) The pre-tax adjustment for depreciation related to held for sale assets was ($14). (h) The pre-tax adjustment for contingent consideration was $(24). (i) The amounts presented represent the net earnings per diluted common share effect of each adjustment. Note: 2019 First Quarter Adjustment Items include adjustments for pension plan agreements, the gain on sale of Turkey Hill Dairy, the gain on sale of You Technology, the mark to market gain on Ocado securities and a contingent consideration adjustment. 2018 First Quarter Adjustment Items include adjustments for pension plan agreements, the gain on sale of convenience store business, the mark to market gain on Ocado securities and depreciation related to held for sale assets. Table 7. Operating Profit Excluding the Adjustment Items (in millions) (unaudited) The purpose of this table is to better illustrate comparable operating results from our ongoing business, after removing the effects on operating profit for certain items described below. Items identified in this table should not be considered alternatives to operating profit or any other GAAP measure of performance. These items should not be reviewed in isolation or considered substitutes for the Company's financial results as reported in accordance with GAAP. Due to the nature of these items, as further described below, it is important to identify these items and to review them in conjunction with the Company's financial results reported in accordance with GAAP. The following table summarizes items that affected the Company's financial results during the periods presented. FIRST QUARTER 2019 2018 Operating profit $ 901 $ 1,029 LIFO charge 15 15 FIFO Operating profit 916 1,044 Adjustments for pension plan agreements 59 (13) Adjustment for depreciation related to held for sale assets - (14) Adjustment for contingent consideration (24) - Other 6 5 2019 and 2018 Adjustment items 41 (22) Adjusted FIFO operating profit excluding the adjustment items above $ 957 $ 1,022 Table 8. 2018 Sales Reclassification (in millions) (unaudited) Products and services related primarily to Kroger Personal Finance and Media, which were historically accounted for as an offset to OG&A, are now classified as a component of sales, except for certain amounts in Media, which are netted against COGS. These prior-year amounts have been reclassified to conform to current-year presentation, which is consistent with our Restock Kroger initiative and view of the products and services as part of our core business strategy. This is also more consistent with industry practice. The following table summarizes the Company's 2018 sales reclassification: FIRST QUARTER AS PREVIOUSLY STATED RECLASSIFICATION RECLASSIFIED FIRST QUARTER 2018 2018 2018 SALES $ 37,530 $ 192 $ 37,722 OPERATING EXPENSES MERCHANDISE COSTS, INCLUDING ADVERTISING, WAREHOUSING AND TRANSPORTATION, AND LIFO CHARGE 29,362 57 29,419 OPERATING, GENERAL AND ADMINISTRATIVE 6,122 135 6,257 RENT 276 - 276 DEPRECIATION AND AMORTIZATION 741 - 741 OPERATING PROFIT $ 1,029 $ - $ 1,029 View original content to download multimedia:http://www.prnewswire.com/news-releases/kroger-reports-first-quarter-2019-results-300872001.html SOURCE The Kroger Co.
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Private equity refers to investments funds structured as limited partnerships that are not listed on a public exchange and its investors include large institutional investors, wealthy individuals, and university endowments.
Top 4 Best Commodities to Invest
Commodity trading involves trading in commodity derivatives and spots. Commodity trading is very volatile and so investors should take relevant precautions before they enter into it. Commodity trading can help an investor to diversify their portfolio. It is an ideal investment that can significantly hedge you against the risk of inflation. Commodities traded mostly include agricultural products, minerals, and fossils.
5 Common Types of Financial Swaps
A swap is an act of exchanging one thing for another. In finance, swaps are derivatives wherein two counterparties exchange financial instruments. The swaps can involve an exchange of a series of cash flows of one party’s financial instrument for those of the other party’s financial instrument over a specific period of time. Swaps are mutual agreements that are easy to design and customize over the counter. They offer great flexibility that leads to many swap variations with each serving a given purpose. Reasons why parties agree to such arrangements: If their investments or repayment objectives change If it is beneficial financially to switch, to a new or alternative stream of cash flows compared to the existing ones To hedge against risks such as mitigation risks associated with a floating rate loan repayment. Here are the 5 common types of financial swaps: 1. Interest Rate Swap This is the most popular type of swaps. An interest rate swap is a contract between two parties to exchange a stream of future interest payments based on the principal amount. The parties exchange floating interest rate for a fixed rate or vice versa to increase or reduce exposure to interest rates volatility to obtain a marginally lower rate than would have been possible without the swap. It can also involve the exchange of one floating rate for another and usually occurs only to change the type or tenor of the floating rate index usually called basis swap. It usually occurs if a company can obtain a loan easily at one type of interest rate but prefers a different type of rates. 2. Currency Swaps Currency swaps involve the exchange of interest and in some cases of full exchange of principal amounts in one currency for the same but in another currency. It is also referred to as cross-currency swap as it involves foreign exchange transaction. It is a very flexible method of foreign exchange as maturities of the currency swaps are negotiable for at least 10 years. The interest rates can be floating or fixed and the exchange can be fixed vs. fixed, floating vs. floating and fixed vs. floating. The swap helps to hedge against interest rates and forex rates fluctuations for long-term investments. 3. Commodity Swaps A commodity swap is a financial derivative agreement where two parties agree to exchange cash flows which are reliant on the underlying commodity price. This swap is most common among people who use raw materials to produce finished products. It is used to hedge against the price of a commodity. It consists of a floating-leg component and a fixed-leg component where the floating-leg component is attached to the market price of the underlying commodity or agreed upon commodity index and the fixed-leg component is specified in the contract. These swaps are settled in cash but the physical delivery is predetermined in the contract. 4. Credit Default Swaps The credit default swap offers insurance in the event that third-party borrower defaults. It helps transfer between two or more parties the credit exposure of fixed income products. The swap buyer makes payment to the swap seller until the date of the maturity of the contract. The seller in return agrees that they will pay the buyer the security premiums in addition to all interest payments that would have been paid between that time and the security maturity date in the event that the debt issuer defaults. 5. Equity Swaps An equity swap is a financial derivative contract where two counterparties agree to exchange a set of future cash flows at set date’s n the future. The two cash flows are known as legs of the swap. The legs of the swap include the floating leg which is pegged to a floating rate such as LIBOR and the other leg component is the equity leg which is based n the performance of either a share of stock or a stock market index. Equity swaps help avoid transaction costs such as tax, limitations on leverage and get around policy governing a particular type of investment that an institution can grasp. Summary Swaps can be designed and structured in different ways to meet the needs of all the parties as they are offered over the counter (OTC). However, they are unregulated and so every investor should fully understand the implications of the swap before they enter into the contract.
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