SECURITIES AND EXCHANGE
COMMISSION
Washington,
D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of
Earliest Event Reported):
December
22, 2003
FLOWSERVE CORPORATION
(Exact name of registrant as specified in its charter)
New York |
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1-13179 |
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31-0267900 |
(State or other
jurisdiction of |
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(Commission File Number) |
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(I.R.S. Employer Identification No.) |
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222 W. Las Colinas Blvd., Suite 1500, Irving, Texas |
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75039 |
(Address of principal executive offices) |
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(Zip Code) |
Registrants telephone number, including area code: (972) 443 - 6500
Item 5. Other Events
On December 22, 2003, Flowserve Corporation (the Company) issued a press release regarding the Companys earnings outlook for 2003. A copy of the Companys press release is attached hereto as Exhibit 99.1 and incorporated by reference.
Exhibit Index
(99.1) Press release issued by the Company on December 22, 2003.
Signature
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
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FLOWSERVE CORPORATION |
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By: |
/s/ Ronald F. Shuff |
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Ronald F. Shuff |
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Vice President, Secretary and General Counsel |
Date: December 22, 2003.
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Exhibit 99.1
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Investor Contact: |
Michael E. Conley |
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(972) 443-6557 |
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Media Contact: |
Sean S. Clancy |
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(972) 443-6546 |
Flowserve Lowers Outlook For 2003
Still Expects To Hit Full Year Debt Reduction Target of $150 Million
DALLAS Dec. 22, 2003 Flowserve Corp. (NYSE: FLS) Monday reduced its earnings outlook for 2003 while reconfirming that it still expects to meet its current year debt reduction target of $150 million and its cash flow target.
The company now expects full year 2003 earnings per share, before special items, could be in the range of $1.10 to $1.15, which is about 8 to 13 cents below its previous forecast issued on Oct. 21, 2003.
The reduced outlook is primarily due to project-related delays, including some arising from customer requests and supplier delays, lower than anticipated parts shipments and some operational issues.
Of course, due to the nature of our business, it is difficult to predict actual shipments before month end. Therefore, it is possible there could be some
variation in earnings above or below these estimates, said Flowserve Chairman, President and Chief Executive Officer C. Scott Greer.
The company now expects that full year 2003 earnings per share, after special items, could be in the range of 83 to 88 cents, which is about 12 to 17 cents below its previous forecast issued on Oct. 21, 2003. Special items are projected to be about 4 cents higher than the prior estimate due to increased workforce reductions, non-cash asset impairments and currency impacts. Special items in 2003 include integration and restructuring costs related to the May 2002 acquisition of the Invensys Flow Control Division. Special items are expected to reduce earnings by about 27 cents a share for the year.
Despite the reduced earnings outlook, we still expect cash flow to hold up, Greer said. We are on target for debt reduction at the same level as was planned prior to todays earnings forecast reduction.
For 2004, we project improved results compared with 2003 based on our expected better backlog and anticipated improvement in our end markets. We plan to provide more specific guidance for 2004 during our regular quarterly conference call in February.
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Flowserve will announce fourth quarter and full year 2003 financial results on Feb. 3, 2004.
Flowserve Corp. is one of the worlds leading providers of industrial flow management services. Operating in 56 countries, the company produces engineered and industrial pumps for the process industries, precision mechanical seals, automated and manual quarter-turn valves, control valves and valve actuators, and provides a range of related flow management services.
SAFE HARBOR STATEMENT: This news release contains various forward-looking statements and includes assumptions about Flowserves future market conditions, operations and results. These statements are based on current expectations and are subject to significant risks and uncertainties. They are made pursuant to safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Among the many factors that could cause actual results to differ materially from the forward-looking statements are: material adverse events in the national financial markets; changes in the already competitive environment for the companys products or competitors responses to Flowserves strategies; the companys ability to integrate past and future acquisitions into its management operations; political risks, military actions or trade embargoes affecting customer markets, including continuing conflict in Iraq with its potential impact on Middle Eastern markets and global oil producers; the health of the companys various customer industries, including the petroleum, chemical, power and water industries; economic turmoil in areas outside the United States; global economic growth; unanticipated difficulties or costs associated with new systems, including software; the companys relative geographical profitability and its impact on the companys utilization of foreign tax credits; and the recognition of significant expenses associated with adjustments to realign the companys facilities and other capabilities with its strategies and business conditions, including, without limitation, expenses incurred in restructuring the companys operations and the cost of financing, including increases in interest costs. Flowserve undertakes no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise.
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