·	Net loss of $2.0 million on revenue of $320.4 million

·	American Centrifuge testing underway with completion of cascade construction

·	RD&D program incremental funding through September appropriated

·	Listing standards notice received from NYSE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

·	Our ability to reach an agreement for a potential short-term extension of enrichment at the Paducah GDP beyond May 31, 2013, and the terms of any such agreement;

 

·	The timing and amount of potential severance costs, pension and post-retirement benefit costs and other costs related to the transition of the Paducah GDP;

 

·	The timing of recognition of previously deferred revenue;

 

·	Movement and timing of customer orders; and

 

·	Changes to SWU and uranium price indicators, and changes in inflation that can affect the price of SWU billed to customers.

 

 

 

 

 

 

 

 

 

		Three Months Ended March 31,
		2013				2012
Revenue:
Separative work units		$	290.2			$	537.9
Uranium			27.6				-
Contract services			2.6				4.1
Total Revenue			320.4				542.0
Cost of Sales:
Separative work units and uranium			303.8				501.2
Contract services			3.3				4.1
Total Cost of Sales			307.1				505.3
Gross profit			13.3				36.7
Advanced technology costs			59.3				36.7
Selling, general and administrative			12.9				13.6
Special charge for workforce reductions and advisory costs			2.4				6.4
Other (income)			(47.6	)			-
Operating (loss)			(13.7	)			(20.0	)
Interest expense			13.3				12.7
Interest (income)			(0.3	)			(0.1	)
(Loss) from continuing operations before income taxes			(26.7	)			(32.6	)
Provision (benefit) for income taxes			(3.0	)			(3.3	)
Net (loss) from continuing operations			(23.7	)			(29.3	)
Net income from discontinued operations			21.7				0.5
Net (loss)		$	(2.0	)		$	(28.8	)
Net (loss) from continuing operations per share – basic and diluted		$	(.19	)		$	(.24	)
Net (loss) per share – basic and diluted		$	(.02	)		$	(.24	)
Weighted-average number of shares outstanding – basic and diluted			123.1				122.3

 

 
 

		March 31, 2013				December 31, 2012
ASSETS
Current Assets
Cash and cash equivalents		$	71.9			$	292.9
Restricted cash			15.1				-
Accounts receivable, net			153.2				134.8
Inventories			1,060.8				1,593.2
Deferred costs associated with deferred revenue			106.2				116.8
Other current assets			22.2				19.2
Total Current Assets			1,429.4				2,156.9
Property, Plant and Equipment, net			43.9				51.0
Other Long-Term Assets
Deposits for surety bonds			22.6				22.3
Goodwill			-				6.8
Other assets			28.9				29.4
Total Other Long-Term Assets			51.5				58.5
Total Assets		$	1,524.8			$	2,266.4
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Current Liabilities
Accounts payable and accrued liabilities		$	139.0			$	145.8
Payables under Russian Contract			-				209.8
Inventories owed to customers and suppliers			474.7				950.0
Deferred revenue and advances from customers			156.8				125.5
Credit facility term loan			-				83.2
Convertible preferred stock			103.7				100.5
Total Current Liabilities			874.2				1,614.8
Long-Term Debt			530.0				530.0
Other Long-Term Liabilities
Postretirement health and life benefit obligations			210.4				207.2
Pension benefit liabilities			322.4				321.7
Other liabilities			57.4				65.6
Total Other Long-Term Liabilities			590.2				594.5
Stockholders’ Equity (Deficit)
Total Liabilities and Stockholders’ Equity (Deficit)			(469.6	)			(472.9	)
		$	1,524.8			$	2,266.4

 

		Three Months Ended March 31,
		2013				2012
Cash Flows from Operating Activities
Net (loss)		$	(2.0	)		$	(28.8	)
Adjustments to reconcile net (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization			9.4				10.2
Deferred income taxes			(2.6	)			(2.3	)
Convertible preferred stock dividends payable-in-kind			3.2				2.9
Gain on sale of subsidiary			(35.6	)			-
Changes in operating assets and liabilities:
Accounts receivable – (increase)			(15.1	)			(36.0	)
Inventories, net – decrease			57.1				347.8
Payables under Russian Contract – (decrease)			(209.8	)			(206.9	)
Deferred revenue, net of deferred costs – increase (decrease)			41.9				(1.6	)
Accounts payable and other liabilities – increase (decrease)			(3.4	)			2.3
Accrued depleted uranium disposition – (decrease)			-				(45.2	)
Restricted cash – (increase)			(15.1	)			-
Other, net			(3.3	)			5.3
Net Cash Provided by (Used in) Operating Activities			(175.3	)			47.7
Cash Flows Provided by (Used in) Investing Activities
Capital expenditures			-				(2.9	)
Deposits for surety bonds			(0.3	)			-
Proceeds from sale of subsidiary			39.9				-
Net Cash Provided by (Used in) Investing Activities			39.6				(2.9	)
Cash Flows Used in Financing Activities
Borrowings under revolving credit facility			-				96.5
Repayments under revolving credit facility			-				(96.5	)
Repayment of credit facility term loan			(83.2	)			-
Payments for deferred financing costs			(2.0	)			(9.7	)
Common stock issued (purchased), net			(0.1	)			(0.4	)
Net Cash (Used in) Financing Activities			(85.3	)			(10.1	)
Net Increase (Decrease)			(221.0	)			34.7
Cash and Cash Equivalents at Beginning of Period			292.9				37.6
Cash and Cash Equivalents at End of Period		$	71.9			$	72.3
Supplemental Cash Flow Information:
Interest paid		$	3.2			$	3.0
Income taxes paid, net of refunds			0.4				0.3