ADVANSIX INC. (NYSE:ASIX) Files An 8-K Results of Operations and Financial Condition
ITEM 2.02 Results of Operations and Financial Condition.
On May 3, 2019, AdvanSix Inc. (the Company) issued a press release announcing its financial results for the quarter ended March 31, 2019. A copy of the press release is furnished herewith as Exhibit 99.1.
The information furnished to this Item 2.02, including Exhibit 99.1, shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the Exchange Act), or otherwise subject to the liabilities under that Section and shall not be deemed to be incorporated by reference into any filing of the Company under the Securities Act of 1933, as amended, or the Exchange Act.
ITEM 2.05 Costs Associated With Exit Or Disposal Activities.
On May 2, 2019, the Company approved the closure of its Pottsville, Pennsylvania films plant as part of its broader strategic efforts associated with the films product line in North America to improve the Companys competitive position in providing quality products and services for its customers. The Company has also announced a strategic alliance with a third-party producer of films for the flexible packaging industry, combining the Companys channel to North America with their new state-of-the-art manufacturing facility. The Company expects the closure to be completed during the third quarter of 2019. Subject to the finalization of certain estimates, the Company expects to take a pre-tax repositioning charge associated with the closure of approximately $10 to 12 million in the second quarter of 2019. The expected charge consists of approximately $6 million associated with a non-cash impairment of plant and business related assets. Future cash expenses associated with the charge are anticipated to be approximately $2 million for employee separation benefits and $3 million of other exit and removal costs.
ITEM 2.06 Material Impairments.
The disclosure included under Item 2.05 is incorporated by reference into this Item 2.06.
Forward Looking Statements
This Current Report on Form 8-K contains certain statements that may be deemed forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, that address activities, events or developments that our management intends, expects, projects, believes or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements may be identified by words like expect, anticipate, estimate, outlook, project, strategy, intend, plan, target, goal, may, will, should and believe or other variations or similar terminology. Although we believe forward-looking statements are based upon reasonable assumptions, such statements involve known and unknown risks, uncertainties and other factors, many of which are beyond our control and difficult to predict, which may cause the actual results or performance of the company to be materially different from any future results or performance expressed or implied by such forward-looking statements. Such risks and uncertainties include, but are not limited to general economic and financial conditions in the U.S. and globally growth rates and cyclicality of the industries we serve the impact of scheduled turnarounds and significant unplanned downtime and interruptions of production or logistics operations as a result of mechanical issues or other unanticipated events such as fires, severe weather conditions, and natural disasters price fluctuations and supply of raw materials our operations requiring substantial capital risks associated with our indebtedness including with respect to restrictive covenants failure to develop and commercialize new products or technologies loss of significant customer relationships adverse trade and tax policies extensive environmental, health and safety laws that apply to our operations hazards associated with chemical manufacturing, storage and transportation litigation associated with chemical manufacturing and our business operations generally inability to acquire and integrate businesses, assets, products or technologies protection of our intellectual property and proprietary information prolonged work stoppages as a result of labor difficulties cybersecurity and data privacy incidents failure to maintain effective internal controls disruptions in transportation and logistics our inability to achieve some or all of the anticipated benefits of the spin-off from Honeywell including uncertainty regarding qualification for expected tax treatment fluctuations in our stock price and changes in laws or regulations applicable to our business. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this Current Report
on Form 8-K. Such forward-looking statements are not guarantees of future performance, and actual results, developments and business decisions may differ from those envisaged by such forward-looking statements. We identify the principal risks and uncertainties that affect our performance in our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2018.
ITEM 9.01 Financial Statements and Exhibits.
AdvanSix Inc. Exhibit
EX-99.1 2 exhibit991q12019prearn.htm Q1 EARNINGS 2019 PR DocumentExhibit 99.1 AdvanSix.com News ReleaseADVANSIX ANNOUNCES FIRST QUARTER 2019 FINANCIAL RESULTSSales of $315 million,…
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About ADVANSIX INC. (NYSE:ASIX)
AdvanSix Inc. is an integrated manufacturer of Nylon 6. The Company also sells a variety of other products, all of which are produced as part of the Nylon 6 resin manufacturing process primarily, including caprolactam, ammonium sulfate fertilizers and other chemical intermediates. The Company operates primarily through its integrated manufacturing sites located in Frankford, Pennsylvania, Hopewell, Virginia, and Chesterfield, Virginia. The Company offers ammonium sulfate, which is used by customers as a nitrogen-based fertilizer. It produces ammonium sulfate fertilizer as part of its manufacturing process. The Company manufactures ammonium sulfate fertilizers including Sulf-N and Sulf-N 26. The Company provides AdvanSix Aegis nylon resins and Aegis barrier nylon resins. Its nylon resins are a preferred choice in food, liquid, and consumer packaging along with mono/multifilament products, carpet fibers, automotive compounding and more. It offers Capran biaxially oriented nylon films.
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