Business Context and Reporting Period
Company: Rayonier Advanced Materials Inc. (RYAM)
Filing Type: Form 8-K (Current Report)
Date: July 10, 2023
Purpose: Regulation FD Disclosure regarding potential refinancing of 5.5% senior unsecured notes maturing in June 2024. The Company is in active negotiations with prospective investors and is disclosing specific financial data related to its Tartas, France production facility.
Key Financial Metrics (Tartas Facility)
The following metrics pertain specifically to the Tartas, France facility for the twelve months ended April 1, 2023 (LTM), as disclosed in Item 7.01:
| Metric | Value (LTM) |
|---|---|
| Revenue | $193 million |
| Net Assets | $208 million (as of April 1, 2023) |
| Income from Continuing Operations | $14 million |
| EBITDA | $37 million |
| Adjusted EBITDA | $37 million |
Company Contribution: The Tartas facility represents approximately 11% of the Company's total LTM revenue, 17% of total LTM adjusted EBITDA, and 25% of total net assets.
Material Changes and Comparisons
This filing does not provide comparative financial data for the prior period or year-over-year changes. The disclosed figures represent a snapshot of the Tartas facility's performance over the twelve months ended April 1, 2023, specifically for investor due diligence regarding potential debt refinancing.
Outlook, Risks, and Unusual Items
- Refinancing Activity: The Company is monitoring capital markets and actively negotiating to refinance its 5.5% senior unsecured notes due in June 2024.
- Forward-Looking Statements: The document contains forward-looking statements regarding future financing outcomes, which are subject to risks and uncertainties. Actual results may differ materially.
- Non-GAAP Measures: The filing utilizes EBITDA and Adjusted EBITDA. For the Tartas facility, there were no adjustments (e.g., pension settlements, severance, or debt extinguishment gains/losses) between EBITDA and Adjusted EBITDA for the period.
- Legal Disclaimer: The information provided is not deemed "filed" for purposes of Section 18 of the Exchange Act and is not an offer to sell securities.
Investor Verification Checklist
- Verify the status of negotiations for the refinancing of the 5.5% senior unsecured notes maturing in June 2024.
- Confirm the total consolidated revenue and adjusted EBITDA of the Company to validate the 11% and 17% contribution ratios cited for the Tartas facility.
- Review the Company's most recent Form 10-K or 10-Q for comprehensive risk factors and full consolidated financial statements, as this 8-K only discloses facility-specific data.
- Monitor for subsequent filings regarding the outcome of the debt refinancing efforts.