Onex Corporation
TSX : OCX

Onex Corporation

August 12, 2009 16:00 ET

Onex Reports Second Quarter 2009 Results

TORONTO, ONTARIO--(Marketwire - Aug. 12, 2009) -

All amounts in Canadian dollars unless otherwise stated

Onex Corporation (TSX:OCX) today announced its consolidated financial results for the second quarter and six months ended June 30, 2009.

Second Quarter 2009 Highlights

- Onex acquired a majority interest in the Tropicana Las Vegas Hotel and Casino with a total equity value of US$137 million. This is the first investment for Onex Partners III.

- Onex completed the sale of its investment in Cineplex Galaxy Income Fund for net proceeds of approximately $175 million.

- Available third-party committed capital for the Onex Partners and ONCAP funds totaled US$3.5 billion.

- Onex had approximately $670 million of cash and near-cash investments and no debt at the parent company.

Onex is a private equity investor and asset manager, generating value from (i) growth in the Company's $3.7 billion of proprietary capital; (ii) management fees based on the US$6.7 billion of third-party capital committed to its Funds, and (iii) a carried interest based on the performance of those Funds.

Private Equity Investing

"As we reflect on the first half of a year marked by considerable global economic decline, it is evident that none of our operating companies are immune to this challenging environment," said Gerald W. Schwartz, Chairman and Chief Executive Officer of Onex. "In the early stages of a recovery, business conditions tend to lag the capital markets and therefore we continue to position our companies for tough operating environments. Fortunately, by focusing on enhancing the productivity and profitability of our businesses, we believe these industry leaders are well positioned to take full advantage of the recovery with leaner cost structures and greater operating leverage."

Onex' fundamental investment strategy is to identify attractive businesses that will provide the opportunity for significant value creation. Part of this strategy is to partner with outstanding management teams, perform extensive due diligence, and optimize capital structures of our companies. Tropicana Las Vegas, a distressed-for-control opportunity, illustrates this strategy well.

Onex acquired the Tropicana Las Vegas with an ownership interest of 61% at July 31, 2009. This followed a significant period of time studying the gaming industry and working with Alex Yemenidjian, former President of MGM Mirage, to evaluate a number of opportunities. In July, the Tropicana Las Vegas emerged from bankruptcy protection and Mr. Yemenidjian was appointed Chairman and Chief Executive Officer. The Tropicana Las Vegas today has no debt, approximately US$10 million of cash, and commitments from Onex and certain other equity holders to invest at least US$75 million in a capital refurbishment program.

Located directly on the Las Vegas strip, the Tropicana Las Vegas is one of the best known and most storied casinos in the United States. The 34 acre property has more than 1,700 guestrooms, a 50,000 square-foot casino, multiple restaurants, an 850-seat showroom and a signature five-acre tropical pool area.

"We're very excited about this investment. We acquired the business during a cyclical low in the industry and have capitalized it with no debt, providing Alex and his team with significant operational flexibility to complete the turnaround," commented Mr. Schwartz.

During the quarter, Onex completed the sale of its investment in Cineplex Galaxy Income Fund with net proceeds of approximately $175 million. The sale brought to a close an investment platform in the theatre exhibition industry that the company established in 1999. Over the course of 10 years, Onex invested US$355 million and realized total proceeds of US$900 million from Cineplex and Loews.

In addition, a number of Onex operating companies repurchased debt at a significant discount. Most notably, Hawker Beechcraft, in the first and second quarters, repurchased US$497 million of bonds at face value for US$137 million, or an approximate 70% discount.

Earlier today, Onex announced that it has sold 9.2 million shares of Emergency Medical Services ("EMSC") through a secondary public offering. The shares were sold by Onex, Onex Partners I and certain limited partners, of which Onex' portion was approximately 3.5 million shares. The offering was completed at a price of US$40.00 per share before commissions and Onex' portion of the net proceeds was approximately US$137 million including carried interest. Based on a per-share cash cost of US$6.67 to acquire the business in 2005, this sale of shares resulted in a multiple of invested capital of almost 6 times. The Onex group continues to hold approximately 54% of EMSC's equity, of which Onex's share is approximately 20%. As well, the Onex group will continue to hold about 92% of the voting interest.

With its disciplined, active ownership approach to value-oriented investing, Onex has produced impressive returns over its 25-year history by transforming undervalued businesses into industry-leading companies across multiple economic and industry cycles. As of June 30, 2009, Onex had generated a 25-year gross IRR of 29% and an average multiple of 3.3 times invested capital from its private equity investing.

"We continue to believe that our success in building companies and our record of capital preservation and superior returns are direct results of the strong alignment of interests between Onex, the shareholders, our limited partners and our management team," said Mr. Schwartz. At June 30, 2009, Onex' management team had approximately $1 billion invested in Onex shares and in its operating companies.

"We expect that the present economic environment will create the greatest potential for value investors like Onex with experience in distressed-for-control investing, corporate carve-outs and restructurings," continued Mr. Schwartz. "With approximately $670 million of cash and near-cash investments, no debt and US$3.5 billion of uncalled third-party capital available, Onex is well positioned to act on these attractive opportunities."

Asset Management

Onex' asset management business continues to grow steadily through the predictable and increasing management fees it earns on third-party capital and the meaningful carried interest opportunity on that capital.

As of June 30, 2009, Onex had closed on US$3.1 billion of third-party capital for Onex Partners III and may receive additional commitments prior to the Fund's final closing scheduled for September 30, 2009. With the success of Onex Partners III, Onex has almost doubled its total fee-earning assets under management. As a result, the current annualized rate of management fees is approximately US$80 million for the Onex Partners and ONCAP funds, which more than offsets the Company's operating costs. In addition, the Company has an 8% carried interest opportunity on approximately US$2.9 billion of invested capital and on US$3.5 billion of uncalled capital.

Consolidated Second-Quarter Results

Onex' quarterly consolidated financial results do not follow any specific trends due to acquisitions and dispositions of businesses by Onex, the impact of foreign currency translation and varying business cycles at its operating companies.

On a consolidated basis for the quarter, revenues decreased 10% to $6.1 billion and operating earnings dropped 20% to $411 million compared to the second quarter in 2008. Net earnings for the period grew to $83 million from a net loss of $18 million in the same period last year. Onex reported cash generated from operations of $355 million compared to $395 million in the second quarter of 2008.

On a consolidated basis for the six months ended June 30, 2009, revenues were off 3% to $12.6 billion and operating earnings rose 7% to $934 million compared to the same period last year. Net earnings for the period grew to $252 million from $27 million and Onex reported cash generated from operations of $788 million compared to $670 million in the first half of 2008.

The Company paid a second-quarter dividend of $0.0275 per subordinate voting share on July 31, 2009 to shareholders of record on July 10, 2009.

Operating earnings as referred to in this press release are a non-GAAP measure. See Management's Discussion and Analysis for the definition and reconciliation to the consolidated statements of earnings.

Attached are the Consolidated Balance Sheets, Statements of Earnings, Statements of Cash Flows and information by industry segment for the three and six months ended June 30, 2009 and 2008. The complete financial statements, including Management's Discussion and Analysis of the results, are posted on Onex' website, www.onex.com, and are also available on SEDAR at www.sedar.com.

Webcast

Onex management will host a conference call to review the Company's second-quarter results at 4:30 p.m. today. A live webcast of this conference call will be available in listen-only mode on its website, www.onex.com.

About Onex

Onex is one of North America's oldest and most successful private equity firms. Onex makes private equity investments through the Onex Partners and ONCAP families of Funds. Onex also manages investment platforms focused on real estate and credit securities. In total, the Company manages approximately US$10 billion. Onex generates annual management fee income and is entitled to a carried interest on approximately US$7 billion of third-party capital, and also invests its own capital directly and as a substantial limited partner in its Funds.

Onex' businesses generate annual revenues of $33 billion, have assets of $40 billion and employ 211,000 people worldwide. Onex shares trade on the Toronto Stock Exchange under the stock symbol OCX. For more information on Onex, visit its website at www.onex.com. The Company's security filings can also be accessed at www.sedar.com.

This news release may contain forward-looking statements that are based on management's current expectations and are subject to known and unknown uncertainties and risks, which could cause actual results to differ materially from those contemplated or implied by such forward-looking statements. Onex is under no obligation to update any forward-looking statements contained herein should material facts change due to new information, future events or otherwise.



Onex Corporation

Consolidated Balance Sheets

----------------------------------------------------------------------------
(Unaudited)
As at June 30 As at December 31
(in millions of dollars) 2009 2008
----------------------------------------------------------------------------
Assets
Current assets
Cash and short-term investments $ 2,867 $ 2,921
Marketable securities 784 842
Accounts receivable 3,491 4,014
Inventories 3,351 3,471
Other current assets 1,567 1,695
----------------------------------------------------------------------------
12,060 12,943
Property, plant and equipment 3,839 4,066
Investments 3,976 3,897
Other long-term assets 2,883 3,125
Intangible assets 2,496 2,755
Goodwill 2,683 2,946
----------------------------------------------------------------------------
$ 27,937 $ 29,732
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Liabilities and Shareholders' Equity
Current liabilities
Accounts payable and accrued liabilities $ 3,813 $ 4,617
Other current liabilities 1,135 1,196
Current portion of long-term debt,
without recourse to Onex 234 532
Current portion of obligations under
capital leases, without recourse
to Onex 22 25
Current portion of warranty reserves
and unearned premiums 1,600 1,698
----------------------------------------------------------------------------
6,804 8,068
Long-term debt of operating companies,
without recourse to Onex 6,699 7,143
Long-term portion of obligations under
capital leases of operating companies,
without recourse to Onex 45 46
Long-term portion of warranty reserves
and unearned premiums 2,375 2,561
Other long-term liabilities 2,066 2,287
Future income taxes 1,282 1,450
----------------------------------------------------------------------------
19,271 21,555
Non-controlling interests 6,875 6,624
Shareholders' equity 1,791 1,553
----------------------------------------------------------------------------
$ 27,937 $ 29,732
----------------------------------------------------------------------------
----------------------------------------------------------------------------



Onex Corporation

Consolidated Statements of Earnings

----------------------------------------------------------------------------
Three months ended June 30 Six months ended June 30
(Unaudited) -----------------------------------------------------
(in millions of dollars,
except per share data) 2009 2008 2009 2008
----------------------------------------------------------------------------
Revenues $ 6,131 $ 6,815 $ 12,600 $ 13,041
Cost of sales (4,886) (5,501) (9,907) (10,549)
Selling, general and
administrative expenses (693) (671) (1,463) (1,359)
----------------------------------------------------------------------------
Earnings Before the
Undernoted Items 552 643 1,230 1,133
Amortization of property,
plant and equipment (160) (151) (330) (300)
Amortization of
intangible assets and
deferred charges (94) (86) (196) (186)
Interest expense of
operating companies (133) (122) (278) (253)
Debt prepayment income
(expense) 2 - (6) -
Interest income 19 20 34 40
Earnings (loss) from
equity-accounted
investments (56) 17 (46) (11)
Foreign exchange gains
(loss) (35) (13) (30) 33
Stock-based compensation
recovery (expense) (63) (18) (57) 32
Other income 85 20 68 16
Gains on dispositions of
operating investments,
net 184 - 184 -
Acquisition, restructuring
and other expenses (52) (65) (96) (113)
Writedown of goodwill,
intangible assets and
long-lived assets (114) (3) (114) (3)
----------------------------------------------------------------------------
Earnings before income
taxes, non-controlling
interests and
discontinued operations 135 242 363 388
Recovery of (provision for)
income taxes (32) (98) 9 (147)
Non-controlling interests (20) (162) (120) (219)
----------------------------------------------------------------------------
Earnings (loss) from
continuing operations 83 (18) 252 22
Earnings from discontinued
operations - - - 5
----------------------------------------------------------------------------
Net Earnings (Loss) for
the Period $ 83 $ (18) $ 252 $ 27
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Net Earnings (Loss) per
Subordinate Voting Share
Basic and Diluted:
Continuing operations $ 0.68 $ (0.14) $ 2.06 $ 0.18
Discontinued operations $ - $ - $ - $ 0.04
Net earnings (loss) $ 0.68 $ (0.14) $ 2.06 $ 0.22
----------------------------------------------------------------------------



Onex Corporation

Consolidated Statements of Cash Flows


----------------------------------------------------------------------------
Three months ended June 30 Six months ended June 30
----------------------------------------------------------------------------
(Unaudited)
(in millions of dollars) 2009 2008 2009 2008
----------------------------------------------------------------------------
Operating Activities
Net earnings (loss)
for the period $ 83 $ (18) $ 252 $ 27
Earnings from
discontinued operations - - - (5)
Items not affecting cash:
Amortization of
property, plant and
equipment 160 151 330 300
Amortization of
intangible assets and
deferred charges 94 86 196 186
Amortization of
deferred warranty
costs 22 (7) 41 (22)
Debt prepayment
expense (income) (2) - 6 -
Loss (earnings) from
equity-accounted
investments 56 (17) 46 11
Foreign exchange
loss (gains) 40 7 22 (15)
Stock-based
compensation expense
(recovery) 63 18 57 (32)
Gains on dispositions
of operating
investments, net (184) - (184) -
Writedown of goodwill
and long-lived assets 114 3 114 3
Non-controlling
interests 20 162 120 219
Future income taxes (36) 19 (141) (22)
Other (75) (9) (71) 20
----------------------------------------------------------------------------
355 395 788 670
Changes in non-cash
working capital items:
Accounts receivable 42 (158) 328 (233)
Inventories 42 (159) (66) (301)
Other current assets (118) 37 (16) 52
Accounts payable,
accrued liabilities
and other current
liabilities 3 189 (555) 204
----------------------------------------------------------------------------
Decrease in cash due to
changes in working
capital items (31) (91) (309) (278)
Increase (decrease) in
warranty reserves and
unearned premiums and
other liabilities (17) 3 (175) 56
----------------------------------------------------------------------------
307 307 304 448
----------------------------------------------------------------------------
Financing Activities
Issuance of long-term debt 397 272 706 503
Repayment of long-term debt (531) (447) (971) (597)
Cash dividends paid (4) (3) (7) (7)
Repurchase of share capital (1) - (1) (53)
Issuance of share capital
provided by L.P. investors
and operating companies 186 35 222 83
Distributions by operating
companies (2) (2) (4) (57)
Increase (decrease) due to
other financing activities 8 (3) 11 (1)
----------------------------------------------------------------------------
53 (148) (44) (129)
----------------------------------------------------------------------------
Investing Activities
Acquisition of operating
companies, net of cash in
acquired companies of nil
(2008 - $2) (2) (54) (2) (74)
Purchase of property,
plant and equipment (97) (168) (295) (314)
Proceeds from sales of
operating investments 175 - 175 -
Increase (decrease) due to
other investing activities (51) 79 (70) 3
Cash from discontinued
operations - - - 5
----------------------------------------------------------------------------
25 (143) (192) (380)
----------------------------------------------------------------------------
Increase (Decrease) in
Cash for the Period 385 16 68 (61)
Increase (decrease) in
cash due to changes in
foreign exchange rates (217) (14) (122) 64
Cash, beginning of the
period - continuing
operations 2,699 2,463 2,921 2,462
----------------------------------------------------------------------------
Cash, End of the Period 2,867 2,465 2,867 2,465
Short-term investments - - - -
----------------------------------------------------------------------------
Cash and Short-term
Investments Held by
Continuing Operations $ 2,867 $ 2,465 $ 2,867 $ 2,465
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Onex Corporation

Information by Industry Segment for the Three Months Ended June 30, 2009

(Unaudited)
(in millions of dollars)

Electronics
Manufac- Finan- Customer Consol-
turing Aerostr- Health- cial Support Metal idated
Services uctures care Services Services Services Other(a) Total
----------------------------------------------------------------------------
Rev-
enues $ 1,621 $ 1,240 $ 1,694 $ 342 $ 453 $ 276 $ 505 $ 6,131
Cost
of
sales (1,480) (1,156) (1,229) (170) (292) (244) (315) (4,886)
Selling,
general
and
admini-
strat-
ive
expenses (66) (50) (194) (125) (122) (9) (127) (693)
----------------------------------------------------------------------------
Earnings
before
the
under-
noted
items 75 34 271 47 39 23 63 552
Amortiz-
ation of
property,
plant
and
equipment (22) (35) (48) (4) (14) (18) (19) (160)
Amortiz-
ation of
intan-
gible
assets
and
deferred
charges (6) (1) (58) (6) (6) (4) (13) (94)
Interest
expense
of
operating
companies (12) (12) (63) (1) (21) (13) (11) (133)
Debt
prepayment
income - - - - - 2 - 2
Interest
income 1 3 1 - - - 14 19
Earnings
(loss)
from
equity-
accounted
invest-
ments - - 6 - - - (62) (56)
Foreign
exchange
gains
(loss) 1 4 4 - (5) - (39) (35)
Stock
-based
compen-
sation
expense (10) (3) (2) - - - (48) (63)
Other
income - 1 6 - 2 - 76 85
Gains on
dispos-
itions
of
operating
companies - - - - - - 184 184
Acquis-
ition,
restruc-
turing
and
other
expenses (24) (1) (10) - (7) - (10) (52)
Writedown
of
goodwill,
intangible
assets
and long-
lived
assets - - - - (52) (62) - (114)
----------------------------------------------------------------------------
Earnings
(loss)
before
income
taxes,
non-
control-
ling
interests
and
discon-
tinued
operations 3 (10) 107 36 (64) (72) 135 135
Recovery of
(provision
for) income
taxes 2 4 (30) (3) (2) 2 (5) (32)
Non-
controlling
interests (4) 6 (53) (23) - 46 8 (20)
----------------------------------------------------------------------------
Earnings
(loss)
from
continuing
operations 1 - 24 10 (66) (24) 138 83
Earnings
from
discon-
tinued
operations - - - - - - - -
----------------------------------------------------------------------------
Net earn-
ings
(loss) $ 1 $ - $ 24 $ 10 $ (66) $ (24) $ 138 $ 83
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(a) Includes Allison Transmission, Hawker Beechcraft, Husky, RSI, ONCAP II,
Onex Real Estate and the parent company.



Onex Corporation

Information by Industry Segment for the Three Months Ended June 30, 2008

(Unaudited)
(in millions of dollars)

Electronics
Manufac- Finan- Customer Consol-
turing Aerostr- Health- cial Support Metal idated
Services uctures care Services Services Services Other(a) Total
----------------------------------------------------------------------------
Rev-
enues $ 1,897 $ 1,073 $ 1,458 $ 334 $ 451 $ 1,015 $ 587 $ 6,815
Cost
of
sales (1,748) (858) (1,073) (158) (294) (965) (405) (5,501)
Selling,
general
and
admin-
istrative
expenses (66) (44) (172) (118) (124) (16) (131) (671)
----------------------------------------------------------------------------
Earnings
before
the
under-
noted
items 83 171 213 58 33 34 51 643
Amortiz-
ation
of
property,
plant
and
equip-
ment (23) (26) (48) (3) (14) (16) (21) (151)
Amortiz-
ation of
intang-
ible
assets
and
deferred
charges (4) (2) (55) (4) (5) (3) (13) (86)
Interest
expense
of
operating
companies (12) (10) (57) (2) (16) (10) (15) (122)
Interest
income 2 5 3 - - - 10 20
Earnings
from
equity-
accounted
invest-
ments - - 4 - - - 13 17
Foreign
exchange
gains
(loss) 2 (1) (6) - (1) - (7) (13)
Stock
-based
compen-
sation
expense (8) (4) (1) - - - (5) (18)
Other
income
(expense) - 1 - (1) 1 - 19 20
Acquis-
ition,
restruct-
uring
and
other
expenses (4) - (23) (2) (29) - (7) (65)
Writedown
of
goodwill,
intang-
ible
assets
and long-
lived
assets - - - - (3) - - (3)
----------------------------------------------------------------------------
Earnings
(loss)
before
income
taxes,
non-
control-
ling
interests
and
discon-
tinued
oper-
ations 36 134 30 46 (34) 5 25 242
Recovery
of
(provis-
ion for)
income
taxes 4 (47) (32) (14) (5) (2) (2) (98)
Non-
control-
ling
interests (35) (82) (4) (22) - (2) (17) (162)
----------------------------------------------------------------------------
Earnings
(loss)
from
continuing
operations 5 5 (6) 10 (39) 1 6 (18)
Earnings
from
discon-
tinued
operations - - - - - - - -
----------------------------------------------------------------------------
Net
earnings
(loss) $ 5 $ 5 $ (6) $ 10 $ (39) $ 1 $ 6 $ (18)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

(a) Includes Allison Transmission, CEI, Cineplex Entertainment, Hawker
Beechcraft, Husky, Radian, ONCAP II, Onex Real Estate and the parent
company.



Onex Corporation

Information by Industry Segment for the Six Months Ended June 30, 2009

(Unaudited)
(in millions of dollars)

Electronics
Manufac- Finan- Customer Consol-
turing Aerostr- Health- cial Support Metal idated
Services uctures care Services Services Services Other(a) Total
----------------------------------------------------------------------------
Rev-
enues $ 3,451 $ 2,345 $ 3,361 $ 707 $ 948 $ 659 $ 1,129 $12,600
Cost
of
sales (3,145) (2,042) (2,450) (349) (607) (590) (724) (9,907)
Selling,
general
and
admin-
istrative
expenses (141) (110) (395) (266) (256) (24) (271) (1,463)
Earnings
before
the
under-
noted
items 165 193 516 92 85 45 134 1,230
Amortiz-
ation
of
property,
plant
and
equipment (46) (67) (102) (7) (30) (36) (42) (330)
Amortiz-
ation of
intang-
ible
assets
and
deferred
charges (13) (2) (122) (12) (12) (8) (27) (196)
Interest
expense
of
operating
companies (25) (23) (130) (2) (44) (26) (28) (278)
Debt
prepayment
income
(expense) (8) - - - - 2 - (6)
Interest
income 1 6 3 - 1 - 23 34
Earnings
(loss)
from
equity-
accounted
invest-
ments - - 11 - - - (57) (46)
Foreign
exchange
gains
(loss) (2) 5 (4) - (6) 1 (24) (30)
Stock-based
compen-
sation
expense (18) (7) (4) - - - (28) (57)
Other
income
(expense) - 2 (9) (1) 1 - 75 68
Gains on
dispos-
itions
of
operating
companies - - - - - - 184 184
Acquisition,
restruct-
uring and
other
expenses (32) (1) (24) - (9) - (30) (96)
Writedown
of
goodwill,
intangible
assets and
long-lived
assets - - - - (52) (62) - (114)
----------------------------------------------------------------------------
Earnings
(loss)
before
income
taxes,
non-
control-
ling
interests
and
discon-
tinued
operations 22 106 135 70 (66) (84) 180 363
Recovery
of
(provision
for) income
taxes 7 (36) (42) (16) (6) 5 97 9
Non-
controlling
interests (25) (65) (71) (38) - 52 27 (120)
----------------------------------------------------------------------------
Earnings
(loss)
from
continuing
operations 4 5 22 16 (72) (27) 304 252
Earnings
from
discon-
tinued
operations - - - - - - - -
----------------------------------------------------------------------------
Net
earnings
(loss) $ 4 $ 5 $ 22 $ 16 $ (72) $ (27) $ 304 $ 252
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Total
assets $ 3,772 $ 4,945 $ 6,306 $ 5,855 $ 914 $ 920 $5,225 $27,937
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Long
-term
debt(b) $ 676 $ 828 $ 3,146 $ 225 $ 758 $ 454 $ 846 $ 6,933
----------------------------------------------------------------------------
----------------------------------------------------------------------------

(a) Includes Allison Transmission, CEI, Cineplex Entertainment, Hawker
Beechcraft, Husky, RSI, ONCAP II, Onex Real Estate and the parent
company.
(b) Long-term debt includes current portion, excludes capital leases and is
net of deferred charges.



Onex Corporation

Information by Industry Segment for the Six Months Ended June 30, 2008

(Unaudited)
(in millions of dollars)

Electronics
Manufac- Finan- Customer Consol-
turing Aerostr- Health- cial Support Metal idated
Services uctures care Services Services Services Other(a) Total
----------------------------------------------------------------------------
Rev-
enues $ 3,740 $ 2,114 $ 2,811 $ 664 $ 929 $ 1,629 $ 1,154 $13,041
Cost
of
sales (3,455) (1,694) (2,075) (316) (606) (1,538) (865)(10,549)
Selling,
general
and
adminis-
trative
expenses (132) (88) (357) (239) (260) (29) (254) (1,359)
----------------------------------------------------------------------------
Earnings
before
the
under-
noted
items 153 332 379 109 63 62 35 1,133
Amortiz-
ation of
property,
plant
and
equipment (45) (51) (94) (6) (27) (31) (46) (300)
Amortiz-
ation of
intangible
assets
and
deferred
charges (8) (3) (109) (9) (9) (6) (42) (186)
Interest
expense
of
operating
companies (28) (19) (115) (5) (30) (20) (36) (253)
Interest
income 9 11 4 - 1 - 15 40
Earnings
(loss)
from
equity-
accounted
invest-
ments - - 8 - - - (19) (11)
Foreign
exchange
gains
(loss) 8 (1) 8 - 4 - 14 33
Stock-based
compen-
sation
recovery
(expense) (13) (8) (2) - - - 55 32
Other
income
(expense) - 2 - (2) 1 - 15 16
Acquis-
ition,
restruct-
uring and
other
expenses (7) - (53) (4) (34) - (15) (113)
Writedown
of
goodwill,
intang-
ible
assets
and
long-lived
assets - - - - (3) - - (3)
----------------------------------------------------------------------------
Earnings
(loss)
before
income
taxes,
non-cont-
rolling
interests
and
discon-
tinued
operat-
ions 69 263 26 83 (34) 5 (24) 388
Recovery
of
(provis-
ion for)
income
taxes 1 (92) (48) (27) (10) (2) 31 (147)
Non-cont-
rolling
interests (61) (160) 3 (39) (1) (2) 41 (219)
----------------------------------------------------------------------------
Earnings
(loss)
from
continuing
operations 9 11 (19) 17 (45) 1 48 22
Earnings
from
discon-
tinued
operations - - - - - - 5 5
----------------------------------------------------------------------------
Net
earnings
(loss) $ 9 $ 11 $ (19) $ 17 $ (45) $ 1 $ 53 $ 27
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Total
assets
at
Dec-
ember
31,
2008 $ 4,612 $ 4,821 $ 6,660 $ 6,095 $ 1,020 $ 1,026 $ 5,498 $29,732
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Long
-term
debt
at
Dec-
ember
31,
2008(b) $ 892 $ 697 $ 3,367 $ 237 $ 796 $ 519 $ 1,167 $ 7,675
----------------------------------------------------------------------------
----------------------------------------------------------------------------

(a) Includes Allison Transmission, CEI, Cineplex Entertainment, Hawker
Beechcraft, Husky, Radian, ONCAP II, Onex Real Estate and the parent
company.

(b) Long-term debt includes current portion, excludes capital leases and
is net of deferred charges.


Contact Information

  • Onex Corporation
    Donald W. Lewtas
    Chief Financial Officer
    416.362.7711
    or
    Onex Corporation
    Christopher A. Govan
    Managing Director
    416.362.7711
    www.onex.com