Empire Resources Announces 2009 Operating Results

FORT LEE, N.J., March 29 /PRNewswire-FirstCall/ -- Empire Resources, Inc. (Pink Sheets: ERSO), a distributor of value added, semi-finished metal products, today announced a 43% decrease in revenues from $428,997,000 in 2008 to $246,062,000 in 2009.  Net loss for 2009 was ($511,000) as compared to net income of $3,851,000 in 2008. Net income in 2009 decreased to $(0.05) per share on a fully diluted basis, as compared to net income in 2008 of $0.39 per share on a fully diluted basis.  Operating income before asset impairment decreased 42% from $13,424,000 in 2008 to $7,779,000 in 2009.  Interest expense decreased from $7,176,000 in 2008 to $5,622,000 in 2009.

Empire Resources, Inc., is a distributor of a wide range of semi-finished metal products to customers in the transportation, automotive, housing, appliance and packaging industries in the U.S., Canada, Australia, New Zealand and Europe.  It maintains supply contracts with mills in various parts of the world.

This press release contains forward-looking statements.  Such statements involve various risks that may cause actual results to differ materially.  These risks include, but are not limited to, the ability of the company to grow internally or by acquisition and to integrate acquired businesses, not being able to improve operating margins and efficiencies, changing industry and competitive conditions, and other risks referred to in the Company's publicly available statements and periodic reports.

    
    
                                    (Table Follows)
    
    
    
    Consolidated Statements of Income
    In thousands, except per share amounts
    
                                                   Year Ended December 31,
                                                   -----------------------
                                                        2009     2008
                                                        ----     ----
    Net sales                                      $246,062  $428,997
    Cost of goods sold                              229,513   404,864
                                                    -------   -------
    Gross profit                                     16,549    24,133
    Selling, general and administrative expenses      8,770    10,709
                                                      -----    ------
    Operating income before asset impairment          7,779    13,424
    Asset impairment                                  2,966         -
                                                      -----       ---
    Operating income                                  4,813    13,424
    Interest expense                                  5,622     7,176
                                                      -----     -----
    (Loss)/income before income taxes                  (809)    6,248
    Income taxes                                       (298)    2,397
                                                       ----     -----
    Net (loss)/ income                                $(511)   $3,851
                                                      =====    ======
    Weighted average shares outstanding:                             
         Basic                                        9,437     9,759
                                                      =====     =====
         Diluted                                      9,437     9,874
                                                      =====     =====
    Earnings (loss) per share:                                       
         Basic                                       ($0.05)    $0.39
                                                     ======     =====
         Diluted                                     ($0.05)    $0.39
                                                     ======     =====
                                                                     
    See notes to consolidated financial statements                   

SOURCE Empire Resources, Inc.