|
|
|||||||||||||||||||||||||||||||
|
 |
|
December 12, 2003
Central European Distribution Corporation Announces Guidance for 2004 and Discusses Impact of the Enactment of the Corporate Income Tax Reduction of 27% to 19% Becoming Effective from January 1, 2004 Sarasota, Florida: Central European Distribution Corporation, today announced financial guidance for 2004. The Company is projecting net sales of $515-$525 million and net income per share of $1.83-$1.90 (which includes the tax reduction benefit) based on estimated diluted shares outstanding of approximately 11.2 million for full year 2004. This guidance does not take into account any acquisitions the Company may make in 2004. As mentioned in the Company's 2003 third quarter Form 10-Q, this one-time reduction in the corporate income tax rate (CIT) will be accretive for the Company in terms of increased profitability and cash flow and will add approximately $0.17 to earnings per share in 2004. Due to the revaluing of the deferred tax asset at the lower tax rate, there will be a one-time charge of approximately $0.05 per share for the fourth quarter 2003. As a result, the Company is adjusting its 2003 earnings per share guidance to $1.43-$1.46 from $1.48-$1.51. William Carey, President and CEO commented, "We applaud the Polish government for reducing the (CIT) as the overall effect for us is overwhelmingly positive. As we approach the end of our busiest quarter, we are in line with our full-year earnings estimates (net of the deferred tax effect) and are confident that we will continue to deliver strong operating profit and bottom-line results. We are pleased to see the economy strengthening as the Polish government has raised projections of GDP for the fourth quarter 2003 to 4.5% from 4.3%. We continue to have discussions with potential alcohol distribution acquisition candidates and are committed to achieving a 40% domestic vodka market share through acquisition and organic growth in the next 12-14 months, up from a 30% share today." CEDC is one of the leading importers of beers, wines and spirits, as well as the largest distributor of domestic vodka on a nationwide basis in Poland. The Company operates 9 distribution centers and 58 satellite branches throughout Poland. It distributes many of the world's leading brands, including brands such as Johnnie Walker Scotch, Stock Brandy, Jose Cuervo Tequila, Sutter Home, Torres, Mondavi and Concha y Toro wines, Corona, Beck's, Foster's, Budweiser Budvar and Guinness Stout beers. Contact: This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by forward-looking statements. Investors are cautioned that forward-looking statements are not guarantees of future performance and that undue reliance should not be placed on such statements. The Company undertakes no obligation to publicly update or revise any forward-looking statements or to make any other forward-looking statements, whether as a result of new information, future events or otherwise unless required to do so by the securities laws. Investors are referred to the full discussion of risks and uncertainties associated with forward-looking statements included in the Company's Form 10-K for the fiscal year ended December 31, 2001, and other periodic reports filed with the Securities and Exchange Commission. |
||||||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||
