Due to the ongoing process of preparing revised financial statements for these prior periods, the Company has provided only selected financial data tables in this press release.
Third Quarter Results
Adjusted operating income in the third quarter of 2012 of $75.4 million reflects seasonally lower results in many of the businesses in North America and Europe as well as the impact of planned seasonal inventory reductions. Partially offsetting these decreases were operating results in ROW where the Company benefited from pre-election spending on housing and electrical infrastructure in Venezuela; the ongoing recovery in Thailand; strong construction activity in the Philippines and increased submarine and land based turnkey project activity in Europe.
Gregory B. Kenny, President and Chief Executive Officer of General Cable, said, “Despite the ongoing challenging macro environment in Europe and a weak recovery in the US, we are pleased to have delivered solid results for the third quarter as results in ROW exceeded expectations and our North American and Europe & Mediterranean segments generally performed as expected. The Americas remain a source of relative stability as our businesses throughout this region represent more than half of our global volume shipped and around 75% of earnings for 2012 year to date. The recently completed acquisitions of Alcan Cable North America and Procables of Colombia together with maturing greenfield investments in Brazil, Mexico and Peru further enhances our industry leading position in the Americas. In Europe, our submarine and land based turnkey project businesses reported better third quarter results following the intermittent delays experienced in the second quarter and our businesses in France and the Mediterranean continue to perform at or above expectations following a very strong second quarter. While recessionary conditions and declining demand persists in Spain, our ongoing efforts to further improve our cost position coupled with commercial initiatives targeting business opportunities internationally is the path forward as we expect Spain to bottom next year and recover at a slow pace. We continue to diversify our business in Spain with a growing export business; nearly 70% of the products manufactured in our Spanish facilities are leaving the country.”