Kirby Corporation (KEX)
Bank of America Merrill Lynch Global Transportation Conference Call
May 17, 2012 11:30 ET
Joe Pyne – President and Chief Executive Officer
Dave Grzebinski – Chief Financial Officer
So, up next, we've got Kirby Corporation. With us today from the company, we have got Joe Pyne, President and Chief Executive Officer and Chairman as well and Dave Grzebinski, Chief Financial Officer and in the audience is Greg Binion, President and Chief Operating Officer.
Kirby is about a $3.5 billion market cap company, just about $2 billion in sales. As you know, they provide inland tank barging for industry chemicals, petroleum products, agricultural chemicals. The company has been quite acquisitive over the past year with United and K-Sea Partners which are exciting new legs to the story for Joe to tell us about. With that, I am going to turn it over to Joe and appreciate your coming once again. Thank you.
Thanks (Chin). I am going to deviate a little bit from the presentation. We'll go through the presentation quickly, so there is hopefully it will be sometime for questions, after we are finished, but there is some volatility in our stock this morning, which I want to address. We had issued an 8-K to shed that we were going to use this opportunity, because it's webcast to give a little more color on our earnings for the year.
And I think that with that news that was issued maybe a half hour ago, the people jump to some conclusions. It maybe they shouldn’t have. So, I am going to just review kind of our latest perspective on our annual forecast, which we have set at $3.85 to $4.05 a share. And this forecast assumes continued improvement in the inland tank barge business and in our legacy marine diesel engine business, essentially flat performance with respect to K-Sea, now Kirby Offshore Marine, adjusted for some seasonality that's in that business and some deterioration in our United Engine business in the second half of the year principally in the manufacturing area and part of this deterioration will be partially offset by our implementation of the remanufacturing initiative that we have to remanufacture our service equipment.