##### Table of Contents



SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549
 FORM 10-Q
 (Mark One)
 þ
    
    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the quarterly period ended September 30, 2009
 OR
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 for the transition period from  To
 Commission File Number 001-12505
 CORE MOLDING TECHNOLOGIES, INC.
  Delaware
    
    31-1481870(State or other jurisdiction
    
    (I.R.S. Employer Identification No.)incorporation or organization)800 Manor Park DriveColumbus, Ohio
    
    43228-0183(Address of principal executive office)
    
    (Zip Code)
 614) 870-5000
  Former name, former address and former fiscal year, if changed since last report.
 þ o
 o o
  Large accelerated filer o
    
    Accelerated filer o
    
    Non-accelerated filer o
(Do not check if a smaller reporting company)
    
    Smaller reporting company þ
 o þ




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##### 



Table of Contents
 Part I  Financial InformationItem 1. Financial StatementsConsolidated Balance Sheets
    
    
    3Consolidated Statements of Operations
    
    
    4Consolidated Statement of Stockholders Equity
    
    
    5Consolidated Statements of Cash Flows
    
    
    6Notes to Consolidated Financial Statements
    
    
    7Item 2. Managements Discussion and Analysis of Financial Condition and Results
of Operations
    
    
    16Item 3. Not required for smaller reporting companyItem 4T. Controls and Procedures
    
    
    23Part II  Other Information
    
    
    24Item 1. Legal Proceedings
    
    
    24Item 1A. Risk Factors
    
    
    24Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
    
    
    24Item 3. Defaults Upon Senior Securities
    
    
    24Item 4. Submission of Matters to a Vote of Security Holders
    
    
    24Item 5. Other Information
    
    
    24Item 6. Exhibits
    
    
    24Signatures
    
    
    25Index to Exhibits
    
    
    26Exhibit 31(a)Exhibit 31(b)Exhibit 32(a)Exhibit 32(b)
   2




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##### Table of Contents



Part 1  Financial Information
Core Molding Technologies, Inc. and Subsidiaries
 
 Unaudited Consolidated Balance Sheets
 September 30,
    
    
    December 31,2009
    
    
    2008AssetsCurrent Assets:Cash
    
    $
    841,004
    
    
    $
    Accounts receivable (less allowance for doubtful accounts:September 30, 2009 and December 31, 2008 - $109,000)
    
    
    14,391,492
    
    
    
    15,435,103Inventories:Finished goods
    
    
    1,257,238
    
    
    
    3,533,246Work in process
    
    
    1,214,718
    
    
    
    1,458,602Stores
    
    
    4,297,981
    
    
    
    4,740,375Total inventories
    
    
    6,769,937
    
    
    
    9,732,223Current portion of deferred tax asset
    
    
    1,869,198
    
    
    
    1,869,198Foreign sales tax receivable
    
    
    623,995
    
    
    
    584,230Income tax receivable
    
    
    84,604
    
    
    
    Prepaid expenses and other current assets
    
    
    1,332,660
    
    
    
    876,094Total current assets
    
    
    25,912,890
    
    
    
    28,496,848Property, plant and equipment
    
    
    81,456,271
    
    
    
    71,970,638Accumulated depreciation
    
    
    (35,796,500
    )
    
    
    (33,155,187
    )Property, plant and equipment -net
    
    
    45,659,771
    
    
    
    38,815,451Deferred tax asset
    
    
    5,297,840
    
    
    
    5,318,623Goodwill
    
    
    1,097,433
    
    
    
    1,097,433Other assets
    
    
    46,336
    
    
    
    102,737Total
    
    $
    78,014,270
    
    
    $
    73,831,092Liabilities and Stockholders EquityLiabilities:Current liabilitiesCurrent portion of long-term debt
    
    $
    3,660,005
    
    
    $
    2,905,716Notes payable line of credit
    
    
    
    
    
    
    1,193,965Current portion of postretirement benefit liability
    
    
    520,000
    
    
    
    520,000Accounts payable
    
    
    4,355,224
    
    
    
    6,866,388Tooling in progress
    
    
    978,292
    
    
    
    212,065Accrued liabilities:Compensation and related benefits
    
    
    3,898,063
    
    
    
    4,715,884Interest payable
    
    
    125,670
    
    
    
    96,103Taxes
    
    
    
    
    
    
    427,972Other
    
    
    825,433
    
    
    
    928,080Total current liabilities
    
    
    14,362,687
    
    
    
    17,866,173Long-term debt
    
    
    18,657,842
    
    
    
    11,129,184Interest rate swaps
    
    
    309,247
    
    
    
    502,381Postretirement benefit liability
    
    
    16,101,864
    
    
    
    15,357,897Commitments and ContingenciesStockholders Equity:Preferred stock  $0.01 par value, authorized shares  10,000,000;
Outstanding shares: September 30, 2009 and December 31, 2008 - 0
    
    
    
    
    
    
    Common stock  $0.01 par value, authorized shares - 20,000,000;
Outstanding shares: 6,794,005 at September 30, 2009 and
6,765,790 at December 31, 2008
    
    
    67,940
    
    
    
    67,658Paid-in capital
    
    
    23,268,988
    
    
    
    23,002,472Accumulated other comprehensive loss, net of income tax benefit
    
    
    (1,052,634
    )
    
    
    (1,092,977
    )Treasury stock
    
    
    (26,179,054
    )
    
    
    (26,179,054
    )Retained earnings
    
    
    32,477,390
    
    
    
    33,177,358Total stockholders equity
    
    
    28,582,630
    
    
    
    28,975,457Total
    
    $
    78,014,270
    
    
    $
    73,831,092
   3




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##### Table of Contents



Core Molding Technologies, Inc. and Subsidiaries
 
 Consolidated Statements of Operations
 (Unaudited)
 Three Months Ended
    
    
    Nine Months EndedSeptember 30,
    
    
    September 30,2009
    
    
    2008
    
    
    2009
    
    
    2008Net sales:Products
    
    $
    19,801,193
    
    
    $
    29,497,102
    
    
    $
    54,275,278
    
    
    $
    84,875,561Tooling
    
    
    4,624,339
    
    
    
    533,461
    
    
    
    5,834,479
    
    
    
    4,179,133Total sales
    
    
    24,425,532
    
    
    
    30,030,563
    
    
    
    60,109,757
    
    
    
    89,054,694Total cost of sales
    
    
    20,441,551
    
    
    
    23,992,701
    
    
    
    53,568,170
    
    
    
    73,079,663Gross margin
    
    
    3,983,981
    
    
    
    6,037,862
    
    
    
    6,541,587
    
    
    
    15,975,031Total selling, general and
administrative expense
    
    
    2,131,030
    
    
    
    3,186,040
    
    
    
    6,886,771
    
    
    
    8,994,194Income (loss) before interest and taxes
    
    
    1,852,951
    
    
    
    2,851,822
    
    
    
    (345,184
    )
    
    
    6,980,837Interest expense
    
    
    (516,904
    )
    
    
    (179,395
    )
    
    
    (657,298
    )
    
    
    (540,866
    )Income (loss) before income taxes
    
    
    1,336,047
    
    
    
    2,672,427
    
    
    
    (1,002,482
    )
    
    
    6,439,971Income tax expense (benefit)
    
    
    509,026
    
    
    
    984,500
    
    
    
    (302,514
    )
    
    
    2,171,630Net income (loss)
    
    $
    827,021
    
    
    $
    1,687,927
    
    
    $
    (699,968
    )
    
    $
    4,268,341Net income (loss) per common share:Basic
    
    $
    0.12
    
    
    $
    0.25
    
    
    $
    (0.10
    )
    
    $
    0.63Diluted
    
    $
    0.12
    
    
    $
    0.24
    
    
    $
    (0.10
    )
    
    $
    0.61Weighted average shares outstanding:Basic
    
    
    6,794,005
    
    
    
    6,748,590
    
    
    
    6,768,467
    
    
    
    6,740,225Diluted
    
    
    6,838,815
    
    
    
    7,048,520
    
    
    
    6,811,515
    
    
    
    7,054,157
   4




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##### Table of Contents



Core Molding Technologies, Inc. and Subsidiaries
 
 Consolidated Statement of Stockholders Equity
 (Unaudited)
 AccumulatedCommon Stock
    
    
    
    
    
    
    
    
    
    
    Other
    
    
    
    
    
    
    TotalOutstanding
    
    
    Paid-In
    
    
    Retained
    
    
    Comprehensive
    
    
    Treasury
    
    
    StockholdersShares
    
    
    Amount
    
    
    Capital
    
    
    Earnings
    
    
    Income (Loss)
    
    
    Stock
    
    
    EquityBalance at January 1,
2009
    
    
    6,765,790
    
    
    $
    67,658
    
    
    $
    23,002,472
    
    
    $
    33,177,358
    
    
    $
    (1,092,977
    )
    
    $
    (26,179,054
    )
    
    $
    28,975,457Net loss
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (699,968
    )
    
    
    
    
    
    
    
    
    
    
    (699,968
    )Hedge accounting
effect of the interest
rate swaps, net of
deferred income tax
expense of $18,424
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    40,343
    
    
    
    
    
    
    
    40,343Comprehensive
loss
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (659,625
    )Restricted stock
    
    
    28,215
    
    
    
    282
    
    
    
    145,365
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    145,647Share-based
compensation
    
    
    
    
    
    
    
    
    
    
    121,151
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    121,151Balance at September
30, 2009
    
    
    6,794,005
    
    
    $
    67,940
    
    
    $
    23,268,988
    
    
    $
    32,477,390
    
    
    $
    (1,052,634
    )
    
    $
    (26,179,054
    )
    
    $
    28,582,630
   5




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##### Table of Contents



Core Molding Technologies, Inc. and Subsidiaries
 
 Consolidated Statements of Cash Flows
 (Unaudited)
 Nine Months EndedSeptember 30,2009
    
    
    2008Cash flows from operating activities:Net (loss) income
    
    $
    (699,968
    )
    
    $
    4,268,341Adjustments to reconcile net (loss) income to net cash
provided by operating activities:Depreciation and amortization
    
    
    2,858,169
    
    
    
    2,683,383Deferred income taxes
    
    
    2,359
    
    
    
    (42,162
    )Changes in fair value of swaps
    
    
    (134,365
    )
    
    
    54,573Share based compensation
    
    
    266,797
    
    
    
    254,154Loss on disposal of assets
    
    
    31,405
    
    
    
    Gain on translation of foreign currency financial statements
    
    
    (70,908
    )
    
    
    (26,077
    )Change in operating assets and liabilities:Accounts receivable
    
    
    1,043,611
    
    
    
    (7,436,212
    )Inventories
    
    
    2,962,286
    
    
    
    380,083Prepaid and other assets
    
    
    (335,728
    )
    
    
    (172,882
    )Accounts payable
    
    
    (2,295,039
    )
    
    
    (185,845
    )Accrued and other liabilities
    
    
    (637,250
    )
    
    
    2,304,415Postretirement benefits liability
    
    
    743,967
    
    
    
    1,078,013Net cash provided by operating activities
    
    
    3,735,336
    
    
    
    3,159,784Cash flows from investing activities:Purchase of property, plant and equipment
    
    
    (9,776,993
    )
    
    
    (7,794,907
    )Proceeds from sale of property, plant and equipment
    
    
    18,000
    
    
    
    Net cash used in investing activities
    
    
    (9,758,993
    )
    
    
    (7,794,907
    )Cash flows from financing activities:Financing costs for new credit agreement
    
    
    (224,321
    )
    
    
    Gross repayments on line of credit
    
    
    (34,389,061
    )
    
    
    (33,752,230
    )Gross borrowings on line of credit
    
    
    33,195,096
    
    
    
    39,691,140Payments of principal on long term debt
    
    
    (1,995,716
    )
    
    
    (1,394,287
    )Borrowing on construction loans
    
    
    10,278,663
    
    
    
    Proceeds from issuance of common stock
    
    
    
    
    
    
    90,500Net cash provided by financing activities
    
    
    6,864,661
    
    
    
    4,635,123Net change in cash and cash equivalents
    
    
    841,004
    
    
    
    Cash and cash equivalents at beginning of period
    
    
    
    
    
    
    Cash and cash equivalents at end of period
    
    $
    841,004
    
    
    $
    Cash paid for:Interest
    
    $
    738,121
    
    
    $
    463,650Income taxes (net of tax refunds)
    
    $
    275,884
    
    
    $
    1,561,622Non Cash:Fixed asset purchases in accounts payable
    
    $
    58,218
    
    
    $
    143,827
   6




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Core Molding Technologies, Inc. and Subsidiaries
 
 Notes to Consolidated Financial Statements
 (Unaudited)
 1. Basis of Presentation
   2. Net Income (Loss) per Common Share
   Three Months Ended
    
    
    Nine Months EndedSeptember 30,
    
    
    September 30,2009
    
    
    2008
    
    
    2009
    
    
    2008Net income (loss)
    
    $
    827,021
    
    
    $
    1,687,927
    
    
    $
    (699,968
    )
    
    $
    4,268,341Weighted average common shares
outstanding
    
    
    6,794,005
    
    
    
    6,748,590
    
    
    
    6,768,467
    
    
    
    6,740,225Plus: dilutive options assumed exercised
    
    
    85,600
    
    
    
    550,225
    
    
    
    
    
    
    
    550,225Less: shares assumed repurchased with
proceeds from exercise
    
    
    (82,114
    )
    
    
    (283,037
    )
    
    
    
    
    
    
    (281,788
    )Plus: dilutive effect of nonvested
restricted
stock grants
    
    
    41,324
    
    
    
    32,742
    
    
    
    43,048
    
    
    
    45,495Weighted average common and potentially
issuable common shares outstanding
    
    
    6,838,815
    
    
    
    7,048,520
    
    
    
    6,811,515
    
    
    
    7,054,157Basic net income (loss) per common share
    
    $
    0.12
    
    
    $
    0.25
    
    
    $
    (0.10
    )
    
    $
    0.63Diluted net income (loss) per common share
    
    $
    0.12
    
    
    $
    0.24
    
    
    $
    (0.10
    )
    
    $
    0.61
   7




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##### Table of Contents



3. Sales
  Three Months Ended
    
    
    Nine Months EndedSeptember 30,
    
    
    September 30,2009
    
    
    2008
    
    
    2009
    
    
    2008Navistar product sales
    
    $
    10,435,844
    
    
    $
    17,434,140
    
    
    $
    29,472,716
    
    
    $
    47,533,592Navistar tooling sales
    
    
    1,985,183
    
    
    
    74,750
    
    
    
    2,459,931
    
    
    
    2,868,221Total Navistar sales
    
    
    12,421,027
    
    
    
    17,508,890
    
    
    
    31,932,647
    
    
    
    50,401,813PACCAR product sales
    
    
    6,638,196
    
    
    
    7,350,397
    
    
    
    16,312,744
    
    
    
    22,424,684PACCAR tooling sales
    
    
    281,200
    
    
    
    380,818
    
    
    
    488,020
    
    
    
    840,964Total PACCAR sales
    
    
    6,919,396
    
    
    
    7,731,215
    
    
    
    16,800,764
    
    
    
    23,265,648Daimler product sales
    
    
    1,055,855
    
    
    
    1,969,850
    
    
    
    2,808,550
    
    
    
    6,063,210Daimler tooling sales
    
    
    1,790,805
    
    
    
    16,500
    
    
    
    1,790,805
    
    
    
    101,650Total Daimler sales
    
    
    2,846,660
    
    
    
    1,986,350
    
    
    
    4,599,355
    
    
    
    6,164,860Other product sales
    
    
    1,671,298
    
    
    
    2,742,715
    
    
    
    5,681,268
    
    
    
    8,854,075Other tooling sales
    
    
    567,151
    
    
    
    61,393
    
    
    
    1,095,723
    
    
    
    368,298Total other sales
    
    
    2,238,449
    
    
    
    2,804,108
    
    
    
    6,776,991
    
    
    
    9,222,373Total product sales
    
    
    19,801,193
    
    
    
    29,497,102
    
    
    
    54,275,278
    
    
    
    84,875,561Total tooling sales
    
    
    4,624,339
    
    
    
    533,461
    
    
    
    5,834,479
    
    
    
    4,179,133Total sales
    
    $
    24,425,532
    
    
    $
    30,030,563
    
    
    $
    60,109,757
    
    
    $
    89,054,694
 4. Comprehensive Income (Loss)
  Three Months Ended
    
    
    Nine Months EndedSeptember 30,
    
    
    September 30,2009
    
    
    2008
    
    
    2009
    
    
    2008Net income (loss)
    
    $
    827,021
    
    
    $
    1,687,927
    
    
    $
    (699,968
    )
    
    $
    4,268,341Hedge accounting effect of
interest rate swaps, net
of deferred income tax
expense of $8,394 and
$18,424 for the three and
nine months ended
September 30, 2009 and
deferred income tax
expense of $11,996 and
$9,209 for the three and
nine months ended
September 30, 2008,
respectively
    
    
    19,729
    
    
    
    23,286
    
    
    
    40,343
    
    
    
    17,877Amortization of previously
unrecognized
postretirement plan loss,
net of deferred income tax
benefit of $11,361 and
$34,083 for the three and
nine months ended
September 30, 2008,
respectively.
    
    
    
    
    
    
    20,639
    
    
    
    
    
    
    
    61,916Comprehensive income (loss)
    
    $
    846,750
    
    
    $
    1,731,852
    
    
    $
    (659,625
    )
    
    $
    4,348,134
  8




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##### Table of Contents



5. Postretirement Benefits
  Three Months Ended
    
    
    Nine Months EndedSeptember 30,
    
    
    September 30,2009
    
    
    2008
    
    
    2009
    
    
    2008Pension expense:Defined contribution plan
contributions
    
    $
    77,000
    
    
    $
    66,000
    
    
    $
    253,000
    
    
    $
    315,000Multi-employer plan
contributions
    
    
    109,000
    
    
    
    126,000
    
    
    
    304,000
    
    
    
    389,000Total pension expense
    
    
    186,000
    
    
    
    192,000
    
    
    
    557,000
    
    
    
    704,000Health and life insurance:Service cost
    
    
    152,000
    
    
    
    159,000
    
    
    
    456,000
    
    
    
    477,000Interest cost
    
    
    237,000
    
    
    
    263,000
    
    
    
    711,000
    
    
    
    788,000Amortization of net loss
    
    
    
    
    
    
    32,000
    
    
    
    
    
    
    
    96,000Net periodic benefit cost
    
    
    389,000
    
    
    
    454,000
    
    
    
    1,167,000
    
    
    
    1,361,000Total postretirement
benefits expense
    
    $
    575,000
    
    
    $
    646,000
    
    
    $
    1,724,000
    
    
    $
    2,065,000
  6. Debt
 Credit Agreement; Amendments
     9




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##### Table of Contents



Bank Covenants
   Interest Rate Swaps
     10




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##### Table of Contents



Line of Credit
  7. Income Taxes
    8. Stock Based Compensation
  Stock Options
  Number
    
    
    Weightedof
    
    
    AverageShares
    
    
    Exercise PriceOutstanding at December 31, 2008
    
    
    570,225
    
    
    $
    3.30Exercised
    
    
    
    
    
    
    Granted
    
    
    
    
    
    
    Forfeited
    
    
    (11,400
    )
    
    
    3.21Outstanding at September 30, 2009
    
    
    558,825
    
    
    $
    3.30Exercisable at September 30, 2009
    
    
    487,115
    
    
    $
    3.29
  11




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##### Table of Contents



Number
    
    
    Weightedof
    
    
    AverageShares
    
    
    Exercise PriceUnvested at December 31, 2008
    
    
    88,830
    
    
    $
    3.37Granted
    
    
    
    
    
    
    Vested
    
    
    (17,120
    )
    
    
    3.24Forfeited
    
    
    
    
    
    
    Unvested at September 30, 2009
    
    
    71,710
    
    
    $
    3.40
  Restricted Stock
   WeightedNumber
    
    
    Averageof
    
    
    Grant DateShares
    
    
    Fair ValueUnvested balance at December 31, 2008
    
    
    85,106
    
    
    $
    7.01Granted
    
    
    150,210
    
    
    
    2.56Vested
    
    
    (28,215
    )
    
    
    5.16Forfeited
    
    
    
    
    
    
    Unvested at September 30, 2009
    
    
    207,101
    
    
    $
    4.04
  9. Fair Value of Financial Instruments
    12




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##### Table of Contents




    
    Level 1 inputs are quoted prices (unadjusted) in active markets for
identical asset or liabilities that the company has the ability to
access as of the reporting date.
    
    Level 2 inputs are inputs other than quoted prices included within
Level 1 that are observable for the asset or liability, either
directly or indirectly through corroboration with observable market
data.
    
    Level 3 inputs are unobservable inputs, such as internally developed
pricing models for the asset or liability due to little or no market
activity for the asset or liability.
  Quoted Prices in
    
    
    SignificantActive Markets
    
    
    Other
    
    
    Significantfor Identical
    
    
    Observable
    
    
    Unobservable
    
    
    Balance as ofAssets
    
    
    Inputs
    
    
    Inputs
    
    
    September 30,Recurring Fair Value Measurements
    
    (Level 1)
    
    
    (Level 2)
    
    
    (Level 3)
    
    
    2009LiabilitiesInterest rate swaps
    
    $
    
    
    
    $
    309,247
    
    
    $
    
    
    
    $
    309,247Total
    
    $
    
    
    
    $
    309,247
    
    
    $
    
    
    
    $
    309,247December 31,(Level 1)
    
    (Level 2)
    
    (Level 3)
    
    
    2008LiabilitiesInterest rate swaps
    
    $
    
    
    
    $
    502,381
    
    
    $
    
    
    
    $
    502,381Total
    
    $
    
    
    
    $
    502,381
    
    
    $
    
    
    
    $
    502,381
    September 30,
    
    
    December 31,2009
    
    
    2008Balance Sheet Location
    
    
    Fair Value
    
    
    Fair ValueDerivatives designated as hedging instrumentsInterest rate risk activities
    
    Interest rate swaps
    
    $
    268,244
    
    
    $
    502,381Derivatives not designated as hedging instrumentsInterest rate risk activities
    
    Interest rate swap
    
    $
    41,003
    
    
    $
    Total Derivatives
    
    
    
    
    
    $
    309,247
    
    
    $
    502,381
  13




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##### Table of Contents



Derivatives in Cash Flow Hedging Relationships
 Location of Gain (Loss)Derivatives in
    
    Amount of Gain (Loss)
    
    
    Reclassified from
    
    
    Amount of Gain (Loss)Cash Flow Hedging
    
    Recognized in OCI on
    
    
    AOCI into Income
    
    
    Reclassified from AOCI intoRelationships
    
    Derivative (Effective Portion)
    
    
    (Effective Portion)
    
    
    Expense (Effective Portion)September 30,
    
    
    September 30,
    
    
    
    
    
    
    September 30,
    
    
    September 30,Three months ended
    
    2009
    
    
    2008
    
    
    
    
    
    2009
    
    
    2008Interest rate swaps
    
    $
    27,363
    
    
    $
    (7,741
    )
    
    Interest expense, net
    
    $
    (50,705
    )
    
    $
    (39,269
    )September 30,
    
    September 30,
    
    
    
    
    
    September 30,
    
    September 30,Nine months ended
    
    
    2009
    
    
    
    2008
    
    
    
    
    
    
    
    2009
    
    
    
    2008Interest rate swaps
    
    $
    88,453
    
    
    $
    (27,488
    )
    
    Interest expense, net
    
    $
    (159,745
    )
    
    $
    (87,400
    )
 Location of Gain (Loss)
    
    
    Amount of Gain (Loss) RecognizedRecognized in Income on
    
    
    in Income of DerivativeDerivative (Ineffective Portion
    
    
    (Ineffective Portion and AmountDerivatives in Cash Flow Hedging
    
    and Amount Excluded from
    
    
    Excluded from EffectivenessRelationships
    
    Effectivness Testing)
    
    
    Testing)September 30,
    
    
    September 30,Three months ended
    
    
    
    
    2009
    
    
    2008Interest rate swaps
    
    Interest income (expense)
    
    $
    2,673
    
    
    $
    (43,022
    )September 30,
    
    September 30,Nine months ended
    
    
    
    
    
    
    2009
    
    
    
    2008Interest rate swaps
    
    Interest income (expense)
    
    $
    34,264
    
    
    $
    (54,574
    )
 Derivatives not designated as hedging instruments
 Amount ofRealized/Unrealized GainDerivatives Not Designated as Hedging
    
    Location of Gain (Loss) Recognized in
    
    
    (Loss) Recognized in IncomeInstruments
    
    Income on Derivatives
    
    
    on DerivativesSeptember 30,
    
    
    September 30,Three months ended
    
    
    
    
    2009
    
    
    2008Interest rate swap
    
    Interest income (expense)
    
    $
    (120,769
    )
    
    $
    September 30,
    
    September 30,Nine months ended
    
    
    
    
    
    
    2009
    
    
    
    2008Interest rate swap
    
    Interest income (expense)
    
    $
    100,102
    
    
    $
    
  14




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10. Recent Accounting Pronouncements
 TM
       15




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##### Table of Contents



Part I  Financial Information
 
 Item 2
 Managements Discussion and Analysis of Financial Condition and Results of Operations
 This Managements Discussion and Analysis of Financial Condition and Results of Operations
contains forward-looking statements within the meaning of the federal securities laws. As a
general matter, forward-looking statements are those focused upon future plans, objectives or
performance as opposed to historical items and include statements of anticipated events or trends
and expectations and beliefs relating to matters not historical in nature. Such forward-looking
statements involve known and unknown risks and are subject to uncertainties and factors relating to
Core Molding Technologies operations and business environment, all of which are difficult to
predict and many of which are beyond Core Molding Technologies control. These uncertainties and
factors could cause Core Molding Technologies actual results to differ materially from those
matters expressed in or implied by such forward-looking statements.
 Core Molding Technologies believes that the following factors, among others, could affect its
future performance and cause actual results to differ materially from those expressed or implied by
forward-looking statements made in this report: business conditions in the plastics,
transportation, watercraft and commercial product industries; federal and state regulations
(including engine emission regulations); general economic conditions in the countries in which Core
Molding Technologies operates; dependence upon three major customers as the primary source of Core
Molding Technologies sales revenues; recent efforts of Core Molding Technologies to expand its
customer base; the actions of competitors; failure of Core Molding Technologies suppliers to
perform their contractual obligations; the availability of raw materials; inflationary pressures;
new technologies; regulatory matters; labor relations; the loss or inability of Core Molding
Technologies to attract and retain key personnel; changes to federal, state and local environmental
laws and regulations; the availability of capital; the ability of Core Molding Technologies to
provide on-time delivery to customers, which may require additional shipping expenses to ensure
on-time delivery or otherwise result in late fees; risk of cancellation or rescheduling of orders;
inefficiencies related to the transfer and start up of Core Molding Technologies new Matamoros
production facility; managements decision to pursue new products or businesses which involve
additional costs, risks or capital expenditures; and other risks identified from time-to-time in
Core Molding Technologies other public documents on file with the Securities and Exchange
Commission, including those described in Item 1A of the 2008 Annual Report to Shareholders on Form
10-K.
 Overview
    16




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##### Table of Contents



Results of Operations
 Three Months Ended September 30, 2009, As Compared To Three Months Ended September 30, 2008
         17




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##### Table of Contents



Nine Months Ended September 30, 2009, As Compared To Nine Months Ended September 30, 2008
       18




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##### Table of Contents



Liquidity and Capital Resources
      19




---



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Recent Accounting Pronouncements
 TM
  20




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##### Table of Contents



Critical Accounting Policies and Estimates
   Accounts receivable allowances:
  21




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##### Table of Contents



Inventories:
 Goodwill and Long-Lived Assets:
 Self-Insurance:
 Postretirement benefits:
 Revenue Recognition:
 Income taxes:
  22




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##### Table of Contents



Part I  Financial Information
 
 Item 4T
 Controls and Procedures
    23




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##### Table of Contents



Part II  Other Information
 
 Item 1.
    
    Legal Proceedings
  
 Item 1A.
    
    Risk Factors
  
 Item 2.
    
    Unregistered Sales of Equity Securities and Use of Proceeds
  
 Item 3.
    
    Defaults Upon Senior Securities
  
 Item 4.
    
    Submission of Matters to a Vote of Security Holders
  
 Item 5.
    
    Other Information
  
 Item 6.
    
    Exhibits
   24




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##### Table of Contents



SIGNATURES
  CORE MOLDING TECHNOLOGIES, INC.Date:      November 13, 2009
    By:
    /s/ Kevin L. BarnettKevin L. BarnettPresident, Chief Executive Officer,
 and
DirectorDate:      November 13, 2009
    By:
    /s/ Herman F. Dick, Jr.Herman F. Dick, Jr.Vice President, Secretary, Treasurer and Chief Financial Officer  25




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##### Table of Contents



INDEX TO EXHIBITS
 Exhibit No.
    
    Description
    
    Location2(a
    )(1)
    
    Asset Purchase Agreement
Dated as of September 12, 1996,
As amended October 31, 1996,
between Navistar and RYMAC Mortgage
Investment Corporation1
    
    Incorporated by
reference to
Exhibit 2-A to
Registration
Statement on Form
S-4 (Registration
No. 333-15809)2(a
    )(2)
    
    Second Amendment to Asset Purchase
Agreement dated December 16, 19961
    
    Incorporated by
reference to
Exhibit 2(a)(2) to
Annual Report on
Form 10-K for the
year-ended December
31, 20012(b
    )(1)
    
    Agreement and Plan of Merger dated as of
November 1, 1996, between Core Molding
Technologies, Inc. and RYMAC Mortgage
Investment Corporation
    
    Incorporated by
reference to
Exhibit 2-B to
Registration
Statement on Form
S-4 (Registration
No. 333-15809)2(b
    )(2)
    
    First Amendment to Agreement and Plan
of Merger dated as of December 27, 1996
Between Core Molding Technologies, Inc. and
RYMAC Mortgage Investment Corporation
    
    Incorporated by
reference to
Exhibit 2(b)(2) to
Annual Report on
Form 10-K for the
year ended December
31, 20022
    (c)
    
    Asset Purchase Agreement dated as of October
10, 2001, between Core Molding Technologies,
Inc. and Airshield Corporation
    
    Incorporated by
reference to
Exhibit 1 to Form
8-K filed October
31, 20013(a
    )(1)
    
    Certificate of Incorporation of
Core Molding Technologies, Inc.
as filed with the Secretary of State
of Delaware on October 8, 1996
    
    Incorporated by
reference to
Exhibit 4(a) to
Registration
Statement on Form
S-8 (Registration
No. 333-29203)3(a
    )(2)
    
    Certificate of Amendment of
Certificate of Incorporation
of Core Molding Technologies, Inc.
as filed with the Secretary of State
of Delaware on November 6, 1996
    
    Incorporated by
reference to
Exhibit 4(b) to
Registration
Statement on Form
S-8 (Registration
No. 333-29203)3(a
    )(3)
    
    Certificate of Amendment of Certificate of
Incorporation as filed with the Secretary of
State of Delaware on August 28, 2002
    
    Incorporated by
reference to
Exhibit 3(a)(4) to
Quarterly Report on
Form 10-Q for the
quarter ended
September 30, 20023(a
    )(4)
    
    Certificate of Designation, Preferences and
Rights of Series A Junior Participating
Preferred Stock as filed with the Secretary
of State of Delaware on July 18, 2007
    
    Incorporated by
reference to
Exhibit 3.1 to Form
8-k filed July 19,
20073
    (b)
    
    Amended and Restated By-Laws of Core Molding
Technologies, Inc.
    
    Incorporated by
reference to
Exhibit 3.1 to
Current Report on
Form 8-K filed
January 4, 2008
  26




---



##### Table of Contents



Exhibit No.
    
    Description
    
    Location4(a
    )(1)
    
    Certificate of Incorporation of Core
Molding Technologies, Inc. as filed with
the Secretary of State of Delaware on
October 8, 1996
    
    Incorporated by
reference to
Exhibit 4(a) to
Registration
Statement on Form
S-8 (Registration
No. 333-29203)4(a
    )(2)
    
    Certificate of Amendment of Certificate
of Incorporation of Core Materials
Corporation as filed with the Secretary of
State of Delaware on November 6, 1996
    
    Incorporated by
reference to
Exhibit 4(b) to
Registration
Statement on Form
S-8 (Registration
No. 333-29203)4(a
    )(3)
    
    Certificate of Amendment of Certificate
of Incorporation as filed with the
Secretary of State of Delaware on August
28, 2002
    
    Incorporated by
reference to
Exhibit 3(a)(4) to
Quarterly Report on
Form 10-Q for the
quarter ended
September 30, 20024(a
    )(4)
    
    Certificate of Designation, Preferences
and Rights of Series A Junior
Participating Preferred Stock as filed
with the Secretary of State of Delaware
on July 18, 2007
    
    Incorporated by
reference to
Exhibit 3.1 to Form
8-K filed July 19,
20074
    (b)
    
    Stockholder Rights Agreement dated as of
July 18, 2007, between Core Molding
Technologies, Inc. and American Stock
Transfer & Trust Company
    
    Incorporated by
reference to
Exhibit 4.1 to
Current Report From
8-k filed July 19,
200710
    (a)
    
    First Amendment Agreement, dated March
31, 2009, to the Credit Agreement dated
December 9, 2008, among Core Molding
Technologies, Inc., Core Composites de
Mexico, S. De R.L. de C.V. and Keybank
National Association.
    
    Incorporated by
reference to
Exhibit 10.1 to
Current Report on
Form 8-K filed
April 2, 200910
    (b)
    
    Second Amendment Agreement, dated June
30, 2009, to the Credit Agreement dated
December 9, 2008, among Core Molding
Technologies, Inc., Core Composites de
Mexico, S. De R.L. de C.V. and Keybank
National Association.
    
    Incorporated by
reference to
Exhibit 10.1 to
Current Report on
Form 8-K filed July
2, 200911
    
    
    Computation of Net Income per Share
    
    Exhibit 11 omitted
because the
required
information is
Included in Notes
to Financial
Statements31
    (a)
    
    Section 302 Certification by Kevin L.
Barnett, President, Chief Executive
Officer, and Director
    
    Filed Herein31
    (b)
    
    Section 302 Certification by Herman F.
Dick, Jr., Vice President, Secretary,
Treasurer, and Chief Financial Officer
    
    Filed Herein32
    (a)
    
    Certification of Kevin L. Barnett, Chief
Executive Officer of Core Molding
Technologies, Inc., dated November 13,
2009, pursuant to 18 U.S.C. Section 1350
    
    Filed Herein32
    (b)
    
    Certification of Herman F. Dick, Jr.,
Chief Financial Officer of Core Molding
Technologies, Inc., dated November 13,
2009, pursuant to 18 U.S.C. Section 1350
    
    Filed Herein
 1
    
    The Asset Purchase Agreement, as filed with the Securities and Exchange Commission at
Exhibit 2-A to Registration Statement on Form S-4 (Registration No. 333-15809), omits the exhibits
(including, the Buyer Note, Special Warranty Deed, Supply Agreement, Registration Rights Agreement
and Transition Services Agreement, identified in the Asset Purchase Agreement) and schedules
(including, those identified in Sections 1, 3, 4, 5, 6, 8 and 30 of the Asset Purchase Agreement).
Core Molding Technologies, Inc. will provide any omitted exhibit or schedule to the Securities and
Exchange Commission upon request.  27