VANCOUVER, BRITISH COLUMBIA—(Marketwire – Oct. 24, 2012) – Methanex Corporation (TSX:MX)(NASDAQ:MEOH) –
For the third quarter of 2012, Methanex reported Adjusted EBITDA1 of $104 million and Adjusted net income1 of $36 million ($0.38 per share on a diluted basis1). This compares with Adjusted EBITDA1 of $113 million and Adjusted net income1 of $44 million ($0.47 per share on a diluted basis1) for the second quarter of 2012.
Bruce Aitken, President and CEO of Methanex commented, “We reported a decline in EBITDA compared to last quarter as we realized a lower methanol price. Entering the fourth quarter, steady methanol demand and supply outages across the industry have resulted in upward pressure on spot methanol prices, and today, we announced an increase of $43 per tonne to our North-American non-discounted price. Longer term, the outlook for the industry and pricing environment looks very attractive, as demand growth is expected to significantly outpace new capacity additions over the next few years.”
Mr. Aitken added, “We continue to make good progress on the initiatives to increase production in New Zealand and Medicine Hat, which could add up to one million tonnes of annual capacity by the end of 2013. The Louisiana project is also progressing well and is on track to add an additional one million tonnes of annual capacity by the end of 2014. In total, these projects have the potential to increase our operating capacity by approximately 2 million tonnes over the next couple of years and improve cash generation significantly.”
Mr. Aitken concluded, “With over US$400 million of cash on hand, an undrawn credit facility, a robust balance sheet, and strong cash flow generation, we are well positioned to invest in the Louisiana project and other strategic growth opportunities and continue to deliver on our commitment to return excess cash to shareholders.”
A conference call is scheduled for October 25, 2012 at 12:00 noon ET (9:00 am PT) to review these third quarter results. To access the call, dial the Conferencing operator ten minutes prior to the start of the call at (416) 340-8527, or toll free at (877) 240-9772. A playback version of the conference call will be available for three weeks at (905) 694-9451, or toll free at (800) 408-3053. The passcode for the playback version is 6328000. There will be a simultaneous audio-only webcast of the conference call, which can be accessed from our website at www.methanex.com. The webcast will be available on the website for three weeks following the call.
Methanex is a Vancouver-based, publicly traded company and is the world’s largest supplier of methanol to major international markets. Methanex shares are listed for trading on the Toronto Stock Exchange in Canada under the trading symbol “MX”, on the NASDAQ Global Market in the United States under the trading symbol “MEOH”, and on the foreign securities market of the Santiago Stock Exchange in Chile under the trading symbol “Methanex”. Methanex can be visited online at www.methanex.com.
FORWARD-LOOKING INFORMATION WARNING
This Third Quarter 2012 press release contains forward-looking statements with respect to us and the chemical industry. Refer to Forward-Looking Information Warning in the attached Third Quarter 2012 Management’s Discussion and Analysis for more information.
| (1) | Adjusted EBITDA, Adjusted net income and Adjusted diluted net income per common share are non-GAAP measures which do not have any standardized meaning prescribed by GAAP. These measures represent the amounts that are attributable to Methanex Corporation shareholders and are calculated by excluding amounts associated with the 40% non-controlling interest in the methanol facility in Egypt, the mark-to-market impact of items which impact the comparability of our earnings from one period to another, which currently include only the mark-to-market impact of share-based compensation as a result of changes in our share price, and Louisiana project relocation expenses and charges. Refer to Additional Information – Supplemental Non-GAAP Measures on the attached Interim Report for the three months ended September 30, 2012 for reconciliations to the most comparable GAAP measures. |
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For further information, contact:
Sandra Daycock
Director, Investor Relations
Methanex Corporation
604-661-2600
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