Navigation Links
Westaim announces 2007 third quarter results
Date:11/13/2007

Company to seek buyer for iFire Technology Corp.

CALGARY, Nov. 13 /PRNewswire-FirstCall/ - The Westaim Corporation announced today that for the third quarter ended September 30, 2007, it recorded a net loss of $17.1 million or 18 cents per share, on revenues of $7.8 million. In the same quarter last year, the company recorded a net loss of $9.6 million, or 10 cents per share, on revenues of $8.2 million.

In the third quarter of 2007, the Company recorded reorganization costs including severance, of $2.3 million related to operational changes that will significantly reduce the Company's annual operating costs. In addition, in the third quarter, the Company wrote down its investment in Canadian third-party asset-backed commercial paper (ABCP) by $3.0 million.

For the nine months ended September 30, 2007, the Company posted a net loss of $31.2 million or 33 cents per share on revenues of $20.7 million. For the same period in 2006, Westaim reported a net loss of $39.5 million or 42 cents per share on revenues of $22.5 million. Results in 2007 benefited from an $8.6 million gain on the sale of real estate and a dilution gain of $4.5 million reported earlier in the year. These benefits have been partially offset by corporate restructuring costs of $6.6 million incurred in 2007.

At September 30, 2007, Westaim had $32.6 million in consolidated cash and short-term investments. Westaim's cash position, excluding cash and short-term investments held by its 74.6 per cent owned affiliate NUCRYST Pharmaceuticals Corp., was $12.2 million. In addition, Westaim held third-party ABCP with a book value of $14.1 million. As previously reported, the market for $35 billion of third-party ABCP has been frozen since mid-August and until the paper is restructured, or a market otherwise forms for this ABCP, Westaim cannot be certain of the ultimate value it will realize for its holdings.

The Company announced on November 2, 2007 the receipt of an offer, subject to final documentation, for a credit line of $12.6 million from a major financial institution. The credit facility will be available for one year and will be secured by the equivalent value of ABCP held by the Company.

Westaim also announced today that it will actively seek a buyer for its iFire subsidiary. The Company will immediately freeze the development effort on iFire's thick dielectric electroluminescent (TDEL) technology during the sale process, which will reduce iFire's operating costs by approximately 50 percent.

"Despite continued progress in certain aspects of its development plan, iFire's overall progress has been slower than expected. With increasingly demanding specification improvement targets in the flat panel TV market in general, our product development timeline has been extended past the timeframe we had originally expected," said Drew Fitch, President and CEO of The Westaim Corporation. "Westaim continues to believe in the potential of iFire's TDEL technology; however, we do not have the financial resources required to complete the development work necessary for commercialization. We will continue to assess the structure of the Company as the sale process develops."

The Westaim Corporation's technology investments include iFire Technology Corp., which is developing a low-cost flat panel display, and a 74.6 per cent interest in NUCRYST Pharmaceuticals Corp. (NASDAQ: NCST; TSX; NCS), which develops, manufactures and commercializes medical products that fight infection and inflammation based on its nanocrystalline silver technology. Westaim's common shares are listed on The Toronto Stock Exchange under the trading symbol WED.

This news release contains forward-looking statements. These statements are based on current expectations that are subject to risks and uncertainties, and Westaim can give no assurance that these expectations are correct. Various factors could cause actual results to differ materially from those projected in such statements, including but not limited to statements regarding the ultimate value of Westaim's asset-backed commercial paper, the availability of credit, reduction of operating costs, product development timelines and the work necessary for the commercialization of iFire's technology, the potential of iFire's technology, Westaim's financial resources, and the potential sale of iFire. Westaim disclaims any intention or obligation to revise forward-looking statements whether as a result of new information, future developments or otherwise. Accordingly, readers are advised not to place undue reliance on forward-looking statements, and should not rely on this information at any date other than the date of this news release. All forward-looking statements are expressly qualified in their entirety by this cautionary statement.

THE WESTAIM CORPORATION

Financial Highlights

(unaudited)

(thousands of dollars except per share data)

-------------------------------------------------------------------------

Three Months Ended Nine Months Ended

September 30 September 30

Consolidated Statements --------------------- ---------------------

of Operations 2007 2006 2007 2006

-------------------------------------------------------------------------

Revenue $ 7,839 $ 8,203 $ 20,656 $ 22,451

Net loss (17,138) (9,552) (31,226) (39,538)

Net loss per common share

- basic and diluted (0.18) (0.10) (0.33) (0.42)

Weighted average number of

common shares outstanding

(thousands) 94,098 93,944 94,047 93,369

-------------------------------------------------------------------------

Three Months Ended Nine Months Ended

September 30 September 30

--------------------- ---------------------

Segmented Information 2007 2006 2007 2006

-------------------------------------------------------------------------

Revenue

Nucryst Pharmaceuticals $ 7,839 $ 8,203 $ 20,656 $ 22,451

-------------------------------------------------------------------------

-------------------------------------------------------------------------

Operating loss

Nucryst Pharmaceuticals $ (195) $ (2,638) $ (4,167) $ (9,016)

iFire Technology (8,358) (8,443) (26,982) (28,731)

Other (including

corporate costs) (4,194) 229 (8,979) (4,817)

-------------------------------------------------------------------------

Operating loss $ (12,747) $ (10,852) $ (40,128) $ (42,564)

-------------------------------------------------------------------------

-------------------------------------------------------------------------

Consolidated September December

Balance Sheets 30, 2007 31, 2006

------------------------------------------------

Cash and short-term

investments $ 32,645 $ 62,832

Current assets 51,247 80,256

Other assets 64,099 68,083

Current liabilities 13,701 15,797

Shareholders' equity 82,680 112,977


'/>"/>
SOURCE Westaim Corporation
Copyright©2007 PR Newswire.
All rights reserved

Related medicine news :

1. The Westaim Corporation update on status of short-term investments
2. Webcast Advisory - The Westaim Corporation Webcast of Conference Call to Discuss 2007 Third Quarter Results
3. HHS Announces $75 Million in Supplemental Funding to States for Pandemic Flu Preparedness
4. CRC Health Group Announces Acquisition of Bayside Marin Recovery Center, San Rafael
5. UHW Announces: Antelope Valley Hospital Caregivers and Board Vote to Ratify First Union Contract With SEIU UHW-West
6. HEI, Inc. Announces Sale of RFID Division Assets
7. Caraco Pharmaceutical Laboratories, Ltd. Announces FDA Approval to Market Generic Version of Zyloprim(R)
8. Mettler-Toledo International Inc. Announces Webcast of Presentation at Thomas Weisel Partners 2007 Healthcare Conference
9. Z Trim Announces Revocation of Gregory Halpern Severence Agreement
10. Brooke Franchise Corporation Announces Selected July Results
11. Manor Care, Inc. Announces Record Date for Special Stockholder Meeting
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:2/17/2017)... ... ... Smiles by Seese is a comprehensive family dental practice located ... practice as a skilled and highly credentialed dentist who is qualified to perform a ... all ages with excellence in general, restorative, and cosmetic dentistry . Their services ...
(Date:2/17/2017)... (PRWEB) , ... February 17, 2017 , ... ... on foundational and sustainable systems change designed to further positively impact the health ... Board of Trustees has long considered it our duty to seriously consider releasing ...
(Date:2/17/2017)... ... 17, 2017 , ... For the first time, International Scholarship ... exhibit floor for the 2017 HIMSS Conference & Exhibition at the ... more than 40,000 healthcare industry professionals are expected at the conference, where they ...
(Date:2/17/2017)... ... February 17, 2017 , ... ... Carol Francis' goals for each and every seminar, session and class she ... demonstrate five different brainwave tools which help energize creativity, focus mental functions, enhance ...
(Date:2/17/2017)... (PRWEB) , ... February 17, 2017 , ... ... organizations, has been named a finalist in the 8th Annual DecisionHealth Platinum Awards ... healthcare delivery system. Qualis Health’s work is recognized across multiple award categories, highlighting ...
Breaking Medicine News(10 mins):
(Date:2/20/2017)... , February 20, 2017 According to a new ... Suspension, Dry powder), Device Type (Metered dose, Dry Powder, Nebulizer)), Canister (Plain, ... by MarketsandMarkets, The market is projected to reach USD 52.37 Billion by ... during the forecast period. Continue Reading ... ...
(Date:2/20/2017)...   Alberty   Drugs , a ... has announced a significant shift in focus by ... to servicing local Veteran Affairs Centers (VA) and other ... increased need to secure cost effective treatments for their ... for their goods & services. "The opportunity ...
(Date:2/20/2017)... , February 20, 2017 Acute, Chronic and ... expected to grow at a CAGR of 7% from 2016-2021 and CAGR ... CAGR of 6% from 2016 to 2027. The market is estimated at ... ... Read on to discover how you can exploit the future business opportunities ...
Breaking Medicine Technology: