TODD SHIPYARDS CORPORATION 

ANNOUNCES QUARTERLY FINANCIAL RESULTS FOR 

DECEMBER 27, 2009

VIA FACSIMILE
CONTACT: HILARY PICKEREL
TOTAL PAGES - 3
SHAREHOLDER RELATIONS 
(206) 623-1635 Ext. 106

SEATTLE, WASHINGTON...February 4, 2010...Todd Shipyards Corporation (NYSE:TOD) announced financial results for the third quarter ended December 27, 2009.  For the quarter, we reported net income of $1.6 million or $0.27 per diluted share on revenue of $47.1 million.  For the prior year third quarter ended December 28, 2008, we reported net income of $2.6 million or $0.45 per diluted share on revenue of $33.5 million.

Our third quarter revenue of $47.1 million reflects an increase of $13.7 million or 41% from the same period last fiscal year.  The quarter to quarter increase largely results from higher volumes of Coast Guard and Navy work and new construction activity for Washington State Ferries. 

For the quarter ended December 27, 2009, we reported operating income of $2.3 million.  In the prior year quarter ended December 28, 2008, we reported operating income of $2.7million.  The decrease in operating income in the third quarter of fiscal 2010 versus the third quarter of the prior year primarily results from a $1.3 million charge against cost of revenue resulting from the contingent settlement of a lawsuit for contribution to an environmental clean up where one of our subsidiaries operated a shipyard during World War II.  
We reported investment and other income of $0.1 million and $1.3 million for the quarters ended December 27, 2009 and December 28, 2008, respectively. The decrease in investment and other income versus the prior year is due primarily to the completion of contracts to lease certain facilities and provide related services to Kiewit-General in connection with their construction of the Hood Canal Floating Bridge.  

For the third quarter ended December 27, 2009, we reported income before income taxes of $2.4 million and recorded $0.8 million of federal income tax expense, resulting in net income for the period of $1.6 million.  For the prior year third quarter ended December 28, 2008, we reported net income before income taxes of $3.9 million and recorded federal income tax expense of $1.3 million, resulting in net income for the period of $2.6 million.

 

 

"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

Statements contained in this Release which are not historical facts or information are "forward-looking statements."  Words such as "believe," "expect," "intend," "will," "should," and other expressions that indicate future events and trends identify such forward-looking statements.  These forward-looking statements involve risks and uncertainties, which could cause the outcome to be materially different than stated.  Such risks and uncertainties include matters which relate directly to the Company's operations and properties and are discussed in the Company's filings with the Securities & Exchange Commission, as well as general economic risks and uncertainties.  The Company cautions that any forward-looking statement reflects only the belief of the Company or its management at the time the statement was made.  Although the Company believes such forward-looking statements are based upon reasonable assumptions, such assumptions may ultimately prove to be inaccurate or incomplete.  The Company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement was made.

 

The results of operations are as follows:
**TODD SHIPYARDS CORPORATION**