COVER SHEET - 2Go

ATS’ net Property and Equipment increased by P580.3 million. Assets of the company were being
refleeted and modernized to increase operating efficiencies. Slowly, ATS is increasing its capacities
after it sold vessels in the past to capitalize on high market rates. In 2009, internally generated funds
were used to purchase two freighters, two fast crafts, and one roro-passenger vessel at very
competitive rates. In addition to asset purchases, funds were also use for the regular maintenance of
its assets, including drydocking and vessel improvements.
Total liabilities amounted to P5.5 billion, a 13% increase from 2008. Total interest bearing debt was up
by P100.1 million from P1.3 billion in 2008. ATS continued to be committed in gearing towards a more
solid financial position and delivering positive cash flows.
Trade and other payables showed a P177.5 million or 5% addition from 2008 mainly from the increase
in trade payables.
Stockholders’ Equity likewise increased by 12% to P5.2 billion from P4.6 billion as of December 31,
2008 due to higher net income of December 31, 2009.
Cash generated from operations amounted to P1.1 billion. Total capital expenditures for the period
stood at P1.9 billion. Cash and cash equivalents at the end of the year was at P1.1 billion.
Material Changes (+/-5% or more) in the financial statement
Income Statement
• 2% higher total revenues due to:
o 20% increase in service fees from higher warehousing revenue.
o 49% increase in sale of goods due to full year operation of Scanasia Overseas, Inc.,
(Scanasia) a supply chain company acquired by Aboitiz One, Inc. in June 2008.
• 2% lower costs and expenses as a result of:
o 6% lower operating expense primarily due to 34% lower fuel price, 19% lower food and
subsistence, 41% lower sales concessions and 32 percent lower commissions.
o 27% lower terminal costs due to lower transshipment fees.
Balance Sheet
• 13% higher total assets due to:
o 18% higher net receivable primarily due to increase in non-trade receivables.
o 52% increase of inventories because of higher merchandise inventory and higher
materials, parts and supplies of spare parts.
o 11% higher prepaid expenses
o 328% higher investment in associates from MCCP’s improved results of operations and
additional investment with Kerry-Aboitiz Logistics Inc. (KALI), the joint venture with Kerry
Logistics Network of Hong Kong or KLN.
o 14% higher property and equipment from additional vessels purchased.
• 68% higher loans payable from additional bank borrowings
• 12% higher stockholders’ equity from higher retained earnings
Fiscal Year 2008 versus 2007
Consolidated Income Statement
ATS ended the year 2008 with consolidated revenues of P12.9 billion, a 16% increase versus P11.1
billion in 2007.
Freight business contributed P7.6 billion in revenues in 2008, a 9% or P616.1 million increase from
P7.0 billion in 2007. The Company’s freight rates per twenty-equivalent unit (TEU) rose 16% as freight
capacity is being filled up with its own supply chain and value added business. ATS has been reducing
its reliance on spot and market cargo which is more price driven. In 2008, capacity remained at the
same level as last year with close to 250,000 TEUs, at 88% utilization rate.
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