Libbey Posts Income Gain in Q4
TOLEDO, Ohio-An increase in business-to-business and foodservice sales helped lift glassmaker Libbey's net income in the fourth quarter, which ended Dec. 31, 2010.
Libbey reported net income of $2.8 million in the fourth quarter, compared to a net loss of $7.1 million in the prior-year quarter. Sales in the quarter were $222.8 million, compared to $208.1 million in the fourth quarter of 2009. Sales to U.S. and Canadian retail customers decreased 2.5 percent from the all-time record set in the fourth quarter of 2009, the company said. Shipments of Syracuse China products increased 16.3 percent, sales to World Tableware customers increased 8.8 percent and Traex sales increased 0.6 percent during the quarter.
The company is making debt payments. John Meier, chairman and chief executive officer, said, "We are pleased that as a result of our outstanding free cash flow generation of $49.4 million during the fourth quarter of 2010, we are in a position to reduce our outstanding debt by an additional $40 million. This follows our repayment of nearly $10 million of debt in China and Portugal during the fourth quarter of 2010. This $50 million of debt reduction represents significant progress in our ongoing efforts to reduce our leverage."