OKLAHOMA CITY, Aug. 20 /PRNewswire-FirstCall/ -- The Beard Company
(OTC Bulletin Board: BRCO) today reported its operating results for
the second quarter and first half of 2009. Net earnings
attributable to common shareholders totaled $4,850,000, or $0.46
per diluted share, in the six months ended June 30, 2009, compared
with net earnings attributable to common shareholders of
$2,538,000, or $0.26 per diluted share, in the comparable 2008
period. Revenues approximated $350,000 in the first half of 2009,
versus $751,000 in the year-earlier period. For the quarter ended
June 30, 2009, the Company reported net earnings of $5,123,000, or
$0.49 per diluted share, versus a net loss of ($339,000), or
($0.05) per share, in the second quarter of 2008. Revenues totaled
approximately $43,000 in the most recent quarter, versus $373,000
in the prior-year period. Operating results for the second quarter
and first half of 2009 benefited from pre-tax gains of (i)
$4,897,000 attributable to the sale of the Company's remaining
interest in the McElmo Dome CO2 Unit and (ii) $832,000 from the
settlement of the Visa litigation. The first six months of 2008
included a pre-tax gain of $3,339,000 from the sale of 35% of the
Company's interest in McElmo Dome. No gain on sale was recorded in
the second quarter of 2008. "Our improved bottom-line results in
the second quarter and first half of 2009 were entirely
attributable to the McElmo sale and the Visa settlement," stated
Herb Mee, Jr., Beard's President. "During the remainder of the year
we will focus our efforts on the commencement of secondary oil
recovery operations in the Dilworth Field and securing at least
one, and hopefully two, of the coal reclamation projects that are
currently in the negotiation stage. At the same time, we will
devote considerable time and resources to our Geohedral mining
investment, where we believe the results of our activities during
the past 15 months should enable us to attract a major mining
partner for the development of our Alaska project." "We have
already made considerable progress since we and our partners
assumed operating control of the Dilworth Field in late April, and
we expect to commence secondary recovery operations during the
month of October. As we indicated in earlier news releases, we
believe the Company is in the midst of a major turnaround, with
progress evident on a number of fronts." "There is ample evidence
of the turnaround. Last year we made considerable progress in
cleaning up our balance sheet when we reduced the Company's total
debt by approximately $6.6 million and improved shareholders'
equity by approximately $6.2 million. We are pleased to report that
such progress continued during the first half of 2009, when we
reduced total debt by another $1.3 million and added an additional
$4.9 million to shareholders' equity," Mee concluded. About The
Beard Company The Beard Company creates, acquires, and/or invests
in businesses, primarily related to natural resources, that
management believes have high growth and/or above-average profit
potential and can enhance shareholder value. The Company is
involved in oil and gas activities; coal reclamation activities;
and minerals exploration and development through its Geohedral
investment. The Company is headquartered in Oklahoma City and its
common stock trades on the OTC Bulletin Board under the symbol
"BRCO". Forward-Looking Statements This document may include
statements that constitute "forward-looking" statements, usually
containing the words "believe", "estimate", "project", "expect",
"anticipate", or similar expressions. Forward-looking statements
inherently involve risks and uncertainties that could cause actual
results to differ materially from the forward-looking statements.
Factors that could cause or contribute to such differences include,
but are not limited to, the ability to negotiate and execute
contracts in connection with the Company's coal reclamation
activities; future trends in commodities prices; financial,
geological or mechanical difficulties affecting Geohedral's or
Beard Dilworth's planned geological work programs; uncertainties
surrounding estimates of mineralized material; and other risks
associated with the Company's business. By making these
forward-looking statements, Beard undertakes no obligation to
update these statements for revisions or changes in the future. For
Additional Information, Please Contact: Herb Mee, Jr., President,
at (405) 842-2333 or via email at or RJ Falkner & Company,
Inc., Investor Relations Counsel, at (800) 377-9893 or via email at
(Financial Highlights Follow) THE BEARD COMPANY AND SUBSIDIARIES
Balance Sheets June 30, 2009 (Unaudited) and December 31, 2008 June
30, December 31, Assets 2009 2008 ------ ---- ---- Current assets:
Cash and cash equivalents $3,094,000 $182,000 Accounts receivable,
less allowance for doubtful receivables of $31,000 in 2009 and 2008
103,000 185,000 Prepaid expenses and other assets 15,000 5,000
Assets of discontinued operations held for resale 20,000 26,000
------ ------ Total current assets 3,232,000 398,000 ---------
------- Restricted certificate of deposit 50,000 50,000 Investments
and other assets 804,000 87,000 Property, plant and equipment, at
cost 2,065,000 2,561,000 Less accumulated depreciation, depletion
and amortization 1,086,000 1,340,000 --------- --------- Net
property, plant and equipment 979,000 1,221,000 ------- ---------
Intangible assets, at cost 75,000 75,000 Less accumulated
amortization 69,000 66,000 ------ ------ Net intangible assets
6,000 9,000 ----- ----- $5,071,000 $1,765,000 ========== ==========
Liabilities and Shareholders' Equity (Deficiency)
------------------------------------ Current liabilities: Trade
accounts payable $60,000 $97,000 Accrued expenses 231,000 431,000
Short-term debt 45,000 - Short-term debt - related entities -
57,000 Current maturities of long-term debt 95,000 895,000 Current
maturities of long-term debt - related entities - 390,000
Liabilities of discontinued operations held for resale 54,000
65,000 ------ ------ Total current liabilities 485,000 1,935,000
------- --------- Long-term debt less current maturities 409,000
420,000 Long-term debt - related entities 2,150,000 2,250,000 Other
long-term liabilities 168,000 172,000 Shareholders' equity
(deficiency): Convertible preferred stock of $100 stated value;
5,000,000 shares authorized; 27,838 shares issued and outstanding
889,000 889,000 Common stock of $.0006665 par value per share;
15,000,000 authorized; 9,912,457 and 9,830,586 shares issued and
outstanding in 2009 and 2008, respectively 7,000 7,000 Capital in
excess of par value 42,676,000 42,655,000 Accumulated deficit
(39,128,000) (43,978,000) Accumulated other comprehensive income
24,000 25,000 Total shareholders' equity (deficiency) attributable
to The Beard Company 4,468,000 (402,000) --------- --------
Noncontrolling interests (2,609,000) (2,610,000) ----------
---------- Total shareholders' equity (deficiency) 1,859,000
(3,012,000) --------- ---------- Commitments and contingencies
$5,071,000 $1,765,000 ========== ========== THE BEARD COMPANY
Results of Operations (Unaudited) For the Three Months For the Six
Months Ended June 30, Ended June 30, -------------- --------------
2009 2008 2009 2008 ---- ---- ---- ---- Revenues $43,000 $373,000
$350,000 $751,000 Expenses 470,000 500,000 965,000 925,000 -------
------- ------- ------- Operating loss (427,000) (127,000)
(615,000) (174,000) Other income (expense) 5,644,000 (185,000)
5,553,000 2,942,000 --------- -------- --------- --------- Earnings
(loss) from continuing operations before income taxes 5,217,000
(312,000) 4,938,000 2,768,000 Income tax benefit (expense) (80,000)
29,000 (80,000) (25,000) ------- ------ ------- ------- Earnings
(loss) from continuing operations 5,137,000 (283,000) 4,858,000
2,743,000 Loss from discontinued operations (6,000) (233,000) -
(491,000) ------ -------- --------- -------- Net earnings (loss)
5,131,000 (516,000) 4,858,000 2,252,000 Amounts attributable to
noncontrolling interests (Income) loss from continuing operations
(8,000) 1,000 (8,000) 1,000 Loss from discontinued operations -
176,000 - 285,000 --------- ------- -------- ------- Net earnings
(loss) attributable to The Beard Company common shareholders
$5,123,000 $(339,000) $4,850,000 $2,538,000 ========== =========
========== ========== Net earnings (loss) per average common share
outstanding(B): Basic: Earnings (loss) from continuing operations
$0.52 $(0.04) $0.49 $0.43 Loss from discontinued operations $-
$(0.01) $- $(0.03) ----- ------ ----- ------ Net earnings (loss)
$0.52 $(0.05) $0.49 $0.40 ===== ====== ===== ===== Net earnings
(loss) per average common share outstanding(B): Diluted: Earnings
(loss) from continuing operations $0.49 $(0.04) $0.46 $0.28 Loss
from discontinued operations $- $(0.01) $- $(0.02) ----- ------
----- ------ Net earnings (loss) $0.49 $(0.05) $0.46 $0.26 =====
====== ===== ===== Weighted average common shares outstanding:
Basic 9,912,000 6,416,000 9,906,000 6,289,000 ========= =========
========= ========= Diluted 10,543,000 6,416,000 10,537,000
9,655,000 ========== ========= ========== ========= DATASOURCE: The
Beard Company CONTACT: Herb Mee, Jr., President of The Beard
Company, +1-405-842-2333, ; or Investor Relations Counsel of RJ
Falkner & Company, Inc., 1-800-377-9893, , for The Beard
Company
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