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NEW YORK, Aug. 10, 2010 (GLOBE NEWSWIRE) -- Rand Logistics, Inc. (Nasdaq:RLOG) ("Rand") today announced financial and operational results for the first quarter of fiscal year 2011, ended June 30, 2010.
Quarter Ended June 30, 2010 Financial Highlights Versus Quarter Ended June 30, 2009
Marine freight revenue (excluding fuel and other surcharges, and outside charter revenue) was $28.4 million, an increase of $4.3 million or 17.6%, from $24.1 million. This increase was attributable to an increase in the number of sailing days, a continued product mix improvement, a stronger Canadian dollar, improved productivity by several vessels and price increases.
Marine freight revenue per sailing day increased by $1,292 or 4.9%, to $27,767 from $26,475.
Vessel operating expenses per sailing day increased by $3,484 or 17.8%, to $23,096 from $19,612. This increase was primarily attributable to increased fuel costs, increased costs from operating our vessels for 111 additional sailing days and a stronger Canadian dollar.
Operating income plus depreciation, amortization and a one-time amendment fee in fiscal 2010 increased by $1.9 million or 26.8%, to $8.8 million versus $6.9 million.
* Excludes a one-time loan amendment fee of $436,000 in fiscal 2010.
Scott Bravener, President of Lower Lakes, stated, "We experienced an overall increase in demand in our markets during the fiscal first quarter, as compared to the same period last year, when a weakened economy delayed the start of the 2009 sailing season. A stronger steel industry significantly increased shipments of ore, and to a lesser extent coal and aggregates used by the steel industry in our markets, offset by modest reductions in shipments in our grain and salt markets compared to last year. Overall, we are satisfied with our fiscal first quarter operating performance as we continued to achieve operational improvements within the fleet. We were, however, disappointed that these improvements were partially offset by a major mechanical incident on one of our vessels. We incurred approximately $400,000 in excess repair expenses related to this incident. Of greater impact to the quarterly financial performance was the foregone revenue and profit from the affected vessel not operating for approximately 43 days, as well as the inefficiencies created in our trade patterns resulting from our having to substitute other less optimal vessels into the trade routes."