Delaware
|
333-145588
|
26-0097459
|
(State
or other jurisdiction of incorporation)
|
(Commission
File Number)
|
(IRS
Employer Identification Number)
|
|
Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
|
|
Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
|
|
TABLE
OF CONTENTS
|
Item
9.01
|
Financial
Statements and Exhibits
|
|
SIGNATURES
|
|
EXHIBIT
INDEX
|
Exhibit 2.01 | |
Exhibit 10.1.1 | |
|
Exhibit
99.2
|
|
Exhibit
99.3
|
|
EXPLANATORY
NOTE
|
2.01*
|
Purchase
Agreement by and among Lance Young and Orion Marine Group, Inc., dated
February 29, 2008 (previously filed as an
exhibit to this Current Report on Form 8-K on March 4,
2008)
|
10.1.1*
|
First
Amendment to Loan Agreement dated February 29, 2008, among the Company,
the lenders party thereto and Amegy National Association, a national
banking association, as agent (previously filed as an
exhibit to the Company’s Quarterly Report on Form 10-Q for the quarter
ended March 31, 2008 filed on May 8,
2008)
|
10.22
|
Lease
Agreement dated February 29, 2008 between Subaqueous Services, LLC and
Hill Street, LLC (to be filed by
amendment)
|
99.1
|
Orion
Marine Group, Inc. press release dated February 29, 2008 announcing the
acquisition of substantially all of the assets of Subaqueous Services,
Inc. (previously filed
as an exhibit to this Current Report on Form 8-K on March 4,
2008)
|
99.2*
|
Audited
financial statements of Subaqueous Services, Inc. as of December 31, 2007
and for the year then ended.
|
99.3*
|
Unaudited
pro forma condensed combined balance sheet as of December 31, 2007 and
unaudited pro forma condensed combined statements of income for the year
ended December 31, 2007 of Orion Marine Group, Inc. and Subaqueous
Services, Inc.
|
|
|
*
filed herewith
|
2.01*
|
Purchase
Agreement by and among Lance Young and Orion Marine Group, Inc., dated
February 29, 2008 (previously filed as an
exhibit to this Current Report on Form 8-K on March 4,
2008)
|
10.1.1*
|
First
Amendment to Loan Agreement dated February 29, 2008, among the Company,
the lenders party thereto and Amegy National Association, a national
banking association, as agent (previously filed as an
exhibit to the Company’s Quarterly Report on Form 10-Q for the quarter
ended March 31, 2008 filed on May 8,
2008)
|
|
|
99.2*
|
Audited
financial statements of Subaqueous Services, Inc. as of December 31, 2007
and for the year then ended.
|
99.3*
|
Unaudited
pro forma condensed combined balance sheet as of December 31, 2007 and
unaudited pro forma condensed combined statements of income for the year
ended December 31, 2007 of Orion Marine Group, Inc. and Subaqueous
Services, Inc.
|
DEFINITIONS
|
1
|
ARTICLE
2
|
CLOSING
|
1
|
ARTICLE
3
|
THE
TRANSACTION
|
1
|
|
3.1
|
Assets
|
1
|
|
3.2
|
Purchase
Price
|
1
|
|
3.3
|
Assumed
Liabilities
|
3
|
|
3.4
|
Excluded
Liabilities
|
4
|
ARTICLE
4
|
REPRESENTATIONS
AND WARRANTIES OF SELLER AND THE
SHAREHOLDER
|
4
|
|
4.1
|
Organization,
Qualification and Corporate Power
|
4
|
|
4.2
|
Authorization
of Transaction
|
4
|
|
4.3
|
Non-contravention
|
4
|
|
4.4
|
Governmental
Consent
|
5
|
|
4.5
|
Stock
Ownership; Other Interests
|
5
|
|
4.6
|
Financial
Statements
|
5
|
|
4.7
|
Indebtedness;
Undisclosed Liabilities
|
6
|
|
4.8
|
Inventory
|
6
|
|
4.9
|
Recent
Events
|
6
|
|
4.10
|
Real
Property
|
7
|
|
4.11
|
Tangible
Personal Property
|
8
|
|
4.12
|
Compliance
with Laws
|
8
|
|
4.13
|
Affiliate
Agreements
|
8
|
|
4.14
|
Agreements,
Encumbrances
|
8
|
|
4.15
|
Intellectual
Property
|
9
|
|
4.16
|
Employee
Benefits
|
10
|
|
4.17
|
Labor,
Employee Relations
|
10
|
|
4.18
|
Litigation
|
10
|
|
4.19
|
Environmental
Matters
|
11
|
|
4.20
|
Tax
Matters
|
11
|
|
4.21
|
Brokers
Fees
|
12
|
|
4.22
|
Approvals
and Consents
|
12
|
|
4.23
|
Sufficiency
of Assets
|
12
|
|
4.24
|
Disclosures
|
12
|
ARTICLE
5
|
REPRESENTATIONS
AND WARRANTIES OF BUYER
|
13
|
|
5.1
|
Organization
|
13
|
|
5.2
|
Authorization
of Transaction
|
13
|
|
5.3
|
Non-contravention
|
13
|
|
5.4
|
Broker’s
Fees
|
14
|
|
5.5
|
Governmental
Consent
|
14
|
ARTICLE
6
|
CLOSING
DELIVERIES
|
14
|
|
6.1
|
Deliveries
by Seller at the Closing
|
14
|
|
6.2
|
Deliveries
by Buyer at the Closing
|
15
|
|
6.3
|
Deliveries
after Closing
|
15
|
ARTICLE
7
|
INDEMNIFICATION
|
15
|
|
7.1
|
Indemnification
by Seller and the Shareholder
|
15
|
|
7.2
|
Certain
Limits on Indemnification by Seller;Offset 16
|
|
7.3
|
Indemnification
by Buyer
|
16
|
ARTICLE
8
|
CERTAIN
POST-CLOSING COVENANTS AND AGREEMENTS
|
17
|
|
8.3
|
Payroll
Taxes
|
18
|
|
8.4
|
Certain
Provisions Related to Consents
|
18
|
|
8.5
|
Post-Closing
Assistance
|
19
|
|
8.6
|
Buyer/Shareholder
Confidentiality
|
19
|
|
8.7
|
Tax
Return Cooperation
|
20
|
|
8.8
|
Litigation
Support
|
20
|
|
8.9
|
Books
and Records
|
20
|
|
8.10
|
Receivables;
Certain Payables
|
20
|
|
8.11
|
Non-competition
|
21
|
ARTICLE
9
|
EMPLOYMENT
|
22
|
|
9.1
|
Offer
to hire
|
22
|
|
9.2
|
Terms
of Employment
|
22
|
|
9.3
|
Severance
|
22
|
|
9.4
|
Health
and Welfare Benefits
|
22
|
|
9.5
|
Employee
Benefit Plans
|
23
|
|
9.6
|
Wage
Reporting
|
23
|
|
9.8
|
Employee
Rights
|
23
|
|
ARTICLE
10SURVIVAL24
|
|
10.1
|
Survival
|
24
|
11.1
|
Assignment
or Transfer………………………………………………….24
|
11.2
|
Bond
Indemnity
Obligations…………………………………………….24
|
11.3
|
Cooperative
Efforts……………………………………………………...24
|
11.4
|
Additional
Insureds……………………………………………………...24
|
|
ARTICLE
12MISCELLANEOUS25
|
|
12.1
|
Press
Releases and Announcements
|
25
|
|
12.2
|
Third
Party Beneficiaries
|
25
|
|
12.3
|
Entire
Agreement
|
25
|
|
12.4
|
Succession
and Assignment
|
25
|
|
12.5
|
Counterparts
|
25
|
|
12.6
|
Headings
|
25
|
|
12.7
|
Notices
|
25
|
|
12.8
|
Governing
Law
|
27
|
|
12.9
|
Amendments
and Waivers
|
27
|
|
12.10Severability 27<
/font>
|
|
12.11Expenses;
Transfer Taxes 27
|
|
12.12Construction
60; 28
|
|
12.13Incorporation
of Annexes, Exhibits and Schedules
28
|
|
12.14Certain
Remedies 28
|
|
12.15Business
Days
28
|
Exhibit
A –
|
Form
of Assignment and Assumption
Agreement
|
Exhibit
B –
|
Form
of Bill of Sale
|
Exhibit
C –
|
Form
of Consulting Agreement with Lance
Young
|
|
Exhibit
D – Form of Comfort Letter From Project
Owners
|
|
Exhibit
E – Form of Trademarks and Copyrights
Assignment
|
|
Exhibit
F – Allocation of Purchase Price
|
8.5
|
Post-Closing
Assistance. In case at any time after the Closing any
further action is reasonably necessary or desirable to carry out the
purposes of this Agreement and to effect, consummate, confirm or evidence
the consummation of the transactions contemplated hereby, each of the
Parties will take such further action (including, without limitation, the
execution and delivery of such further instruments and documents) as any
other Party reasonably may request. Without limiting the generality of the
foregoing, Seller and Shareholder will cooperate with Buyer and OMGI in
the provision of any and all information requested by Buyer or OMGI in
connection with (i) the administration of this Agreement, or (ii) the
filing or provision of financial or other information with or to the
federal Securities and Exchange Commission or other authorities, and
filings with any such authority that contain any such
information.
|
1.
|
All
capitalized terms used in this Assignment and not otherwise defined herein
shall have the meanings ascribed to them in the
Agreement.
|
2.
|
The
Assignor hereby (and pursuant to the Agreement) assigns and transfers to
the Assignee all of its rights, title, interest and benefits in, to and
under the Assumed Contracts set forth on Schedule 1
hereto, pursuant and subject to the terms, conditions and provisions of
the Agreement. The Assignee hereby assumes (i) only those specific
obligations of the Assignor under the Assumed Contracts set forth on Schedule 1
hereto that are included within Assumed Liabilities; and (ii) other
Assumed Liabilities, in each case pursuant and subject to the terms,
conditions and provisions of the Agreement. Notwithstanding anything in
this Assignment or otherwise to the contrary, the Assignee does not assume
any responsibility, liability, obligation, or Loss, and the Assignor shall
retain and be responsible for all liabilities, obligations and Losses with
respect to, arising out of, or related to the Excluded
Liabilities.
|
3.
|
The
Parties and their respective successors and assigns, hereby covenant and
agree to sign, do, execute, acknowledge and deliver or cause to be done,
executed, acknowledged and delivered, all such further acts, deeds,
instruments, transfers and assurances as may be reasonably requested by
the in order to assign, transfer, grant, convey and deliver to the
Assignee the full and complete benefit of the Assumed Contracts, and to
effect the assumption of the Assumed Liabilities, in each case pursuant
and subject to the terms, conditions and provisions of the
Agreement.
|
4.
|
This
instrument is executed and delivered pursuant to the terms and conditions
of the Agreement, including but not limited to, the representations and
warranties made by the Parties
therein.
|
5.
|
THIS ASSIGNMENT SHALL BE
GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF
FORIDA, WITHOUT REFERENCE TO THE CHOICE OF LAW PRINCIPLES
THEREOF.
|
|
Lance
Young
|
|
President
|
|
|
Notary
Public in and for Said County and
State
|
|
|
(Type,
print or stamp the Notary's name below his or her
signature.)
|
Exhibit F
Purchase
of Subaqueous Services Assets
|
|
Exhibit
F---ALLOCATION OF PURCHASE PRICE:
PP&E
|
$18,500,000
|
Intangible-contracts
|
$ 7,000,000
|
Intangible-non-compete
|
$ 100,000
|
Goodwill
|
$ 9,400,000
|
$35,000,000
|
--
|
Page
|
|
INDEPENDENT
AUDITORS’ REPORT
|
1
|
FINANCIAL
STATEMENTS
|
|
Balance
Sheet
|
2
|
Statement
of Income
|
3
|
Statement
of Stockholder’s Equity
|
4
|
Statement
of Cash Flows
|
5
|
Notes
to Financial Statements
|
6
|
SUPPLEMENTAL
INFORMATION
|
|
Statement
of General and Administrative Expenses
|
12
|
Schedule
of Contracts and Earnings from Contracts
|
13
|
Schedule
of Uncompleted Contracts
|
14
|
Cash
and equivalents
|
$ | 863,716 | ||
Contract
receivables
|
7,655,950 | |||
Costs
and estimated earnings in excess of
billings
on uncompleted contractsbillings on uncompleted contractsbillings on
uncompleted contracts
|
2,338,585 | |||
Total
current assets
|
10,858,251 | |||
Property
and equipment, net
|
6,423,661 | |||
Deposits
|
79,217 | |||
Total
assets
|
$ | 17,361,129 |
Accounts
payable and accrued expenses
|
$ | 2,469,414 | ||
Current
portion of notes payable
|
1,805,453 | |||
Billings
in excess of costs and estimated
earnings
on uncompleted contracts
|
99,172 | |||
Total
current liabilities
|
4,374,039 | |||
Notes
payable, non-current portion
|
2,954,189 | |||
Total
liabilities
|
7,328,228 |
Common
stock, $1.00 par value, 500 shares
authorized,
issued and outstanding
|
500 | |||
Additional
paid-in capital
|
- | |||
Retained
earnings
|
10,032,401 | |||
Total
stockholder's equity
|
10,032,901 | |||
Total
liabilities and stockholder's equity
|
$ | 17,361,129 |
CONTRACT
REVENUES EARNED
|
$ | 49,051,892 | ||
COST
OF CONTRACT REVENUES
|
36,333,601 | |||
Gross
margin
|
12,718,291 | |||
General
and administrative expenses
|
5,995,315 | |||
Operating
income
|
6,722,976 | |||
Other
income (expense):
|
||||
Miscellaneous
income, net
|
430,127 | |||
Interest
expense
|
(484,648 | ) | ||
Gain
on disposal of equipment
|
133,928 | |||
Total
other income (expense)
|
79,407 | |||
Net
income
|
$ | 6,802,383 |
Common
Stock
|
Additional
Paid-in
Capital
|
Retained
Earnings
|
Total
|
|||||||||||||
DECEMBER
31, 2006
|
$ | 500 | $ | 1,802,500 | $ | 3,585,713 | $ | 5,388,713 | ||||||||
Net
income
|
- | - | 6,802,383 | 6,802,383 | ||||||||||||
Return
of capital
|
- | (1,802,500 | ) | - | (1,802,500 | ) | ||||||||||
Distributions
|
- | - | (355,695 | ) | (355,695 | ) | ||||||||||
DECEMBER
31, 2007
|
$ | 500 | $ | - | $ | 10,032,401 | $ | 10,032,901 |
Net
income
|
$ | 6,802,383 | ||
Adjustments
to reconcile net income
to
net cash provided by operations
|
||||
Depreciation
|
3,663,684 | |||
Amortization
|
16,875 | |||
Gain
on disposal of equipment
|
(133,928 | ) | ||
Changes
in operating assets and liabilities:
|
||||
Increase
in contract receivables
|
(1,406,725 | ) | ||
Increase
in cost and estimated earnings in excess
of
billings on uncompleted contracts
|
(228,933 | ) | ||
Increase
in other current assets
|
(55,325 | ) | ||
Decrease
in accounts payable and accrued expenses
|
(2,158,391 | ) | ||
Decrease
in billing in excess of costs and estimated
earnings
on uncompleted contracts
|
(70,666 | ) | ||
Net
cash provided by operating activities
|
6,428,974 |
Purchase
of property and equipment
|
(2,842,682 | ) | ||
Proceeds
from sale of equipment
|
1,277,859 | |||
Net
cash used by investing activities
|
(1,564,823 | ) |
Payments
on notes payable
|
(9,223,020 | ) | ||
Proceeds
from notes payable
|
6,556,366 | |||
Distributions
to stockholder
|
(355,695 | ) | ||
Return
of capital
|
(1,802,500 | ) | ||
Net
cash used by financing activities
|
(4,824,849 | |||
Increase
in cash and equivalents
|
39,302 | |||
Cash
and equivalents, Beginning of period
|
824,414 | |||
Cash
and equivalents, End of period
|
$ | 863,716 | ||
Supplemental
cash flow information:
Cash
paid during the period for interest
|
$ | 484,648 |
Amount
|
%
|
|||||||
Current
|
$ | 2,515,431 | 42 | % | ||||
Over
30 days
|
2,483,425 | 42 | ||||||
Over
60 days
|
904,452 | 15 | ||||||
Over
90 days
|
-- | -- | ||||||
Over
120 days
|
28,489 | 1 | ||||||
5,931,797 | 100 | % | ||||||
Plus:
retainage
|
1,724,153 | |||||||
$ | 7,655,950 |
The
Company considers contract receivables at December 31, 2007 to be fully
collectible; accordingly, no allowance for doubtful accounts has been
established.
|
Marine
and diving equipment
|
$ | 12,993,721 | ||
Heavy
equipment
|
1,903,786 | |||
Transportation
equipment
|
522,973 | |||
Fixtures
and equipment
|
219,551 | |||
Computer
software
|
50,463 | |||
15,690,494 | ||||
Less
– accumulated depreciation
|
(9,266,833 | ) | ||
$ | 6,423,661 | |||
Costs
incurred on uncompleted contracts
|
$ | 34,749,793 | ||
Estimated
earnings
|
14,237,763 | |||
48,987,556 | ||||
Less
– billings to date
|
46,748,143 | |||
$ | 2,239,413 |
Costs
and estimated earnings in excess
of billings on uncompleted
contracts
|
$ | 2,338,585 | ||
Billings
in excess of costs and estimated
earnings on uncompleted
contracts
|
(99,172 | ) | ||
$ | 2,239,413 |
TOTAL
|
PRIOR
YEARS
|
December
31, 2007
|
||||||||||
REVENUES
|
COSTS
|
GROSS
|
REVENUES
|
COSTS
|
GROSS
|
REVENUES
|
COSTS
|
GROSS
|
||||
DESCRIPTION
|
EARNED
|
INCURRED
|
PROFIT
|
EARNED
|
INCURRED
|
PROFIT
|
EARNED
|
INCURRED
|
PROFIT
|
|||
2005-032
|
C-23
Canal Hurricane Damage
|
$ 3,437,682
|
$ 3,109,849
|
$ 327,833
|
$ 3,437,269
|
$ 3,107,787
|
$ 329,482
|
$ 413
|
$ 2,062
|
$ (1,649)
|
||
2006-002
|
South
Marco Beach Renourishment
|
1,551,313
|
1,256,201
|
295,112
|
1,281,130
|
972,938
|
308,192
|
270,183
|
283,263
|
(13,080)
|
||
2006-005
|
Indian
River Beach Dredging
|
2,201,248
|
1,308,624
|
892,624
|
17,980
|
11,364
|
6,616
|
2,183,268
|
1,297,260
|
886,008
|
||
2006-007
|
Battle
Bend Aquatic Restoration
|
1,959,502
|
1,971,866
|
(12,364)
|
1,866,488
|
1,669,776
|
196,712
|
93,014
|
302,090
|
(209,076)
|
||
2006-008
|
Rattlesnake
Island
|
2,248,244
|
2,445,410
|
(197,166)
|
2,266,196
|
2,429,274
|
(163,078)
|
(17,952)
|
16,136
|
(34,088)
|
||
2006-014
|
Katie
Street Canal Dredging
|
187,966
|
134,840
|
53,126
|
187,966
|
134,726
|
53,240
|
-
|
114
|
(114)
|
||
2006-016
|
C-4
Canal - Belen
|
3,369,000
|
1,812,689
|
1,556,311
|
1,524,678
|
485,599
|
1,039,079
|
1,844,322
|
1,327,090
|
517,232
|
||
2006-017
|
JaxPort
Maintenance FY07
|
702,226
|
831,172
|
(128,946)
|
211,818
|
211,818
|
-
|
490,408
|
619,354
|
(128,946)
|
||
2006-019
|
Sutherland
Bayou
|
512,315
|
225,877
|
286,438
|
153,625
|
67,587
|
86,038
|
358,690
|
158,290
|
200,400
|
||
2006-022
|
Wiggins
Pass
|
654,003
|
511,156
|
142,847
|
-
|
-
|
-
|
654,003
|
511,156
|
142,847
|
||
2006-025
|
Atlantic
Dry Dock
|
335,672
|
523,844
|
(188,172)
|
298,795
|
448,121
|
(149,326)
|
36,877
|
75,723
|
(38,846)
|
||
2006-026
|
Sebastian
Inlet District Intercoastal Dredging
|
1,646,640
|
712,978
|
933,662
|
-
|
-
|
-
|
1,646,640
|
712,978
|
933,662
|
||
2006-028
|
Halifax
Harbor
|
730,719
|
538,370
|
192,349
|
226,301
|
140,265
|
86,036
|
504,418
|
398,105
|
106,313
|
||
2006-029
|
South
End Hookers Point Dredging-TPA
|
10,607,283
|
10,029,024
|
578,259
|
378,038
|
258,943
|
119,095
|
10,229,245
|
9,770,081
|
459,164
|
||
2006-030
|
Queen's
Harbour Dredging
|
231,000
|
243,981
|
(12,981)
|
-
|
-
|
-
|
231,000
|
243,981
|
(12,981)
|
||
2007-001
|
Sailfish
Point Marina
|
375,000
|
362,830
|
12,170
|
-
|
-
|
-
|
375,000
|
362,830
|
12,170
|
||
2007-003
|
BP
Oil
|
504,000
|
167,319
|
336,681
|
-
|
-
|
-
|
504,000
|
167,319
|
336,681
|
||
2007-004
|
Arlington
Marina
|
202,600
|
68,358
|
134,242
|
-
|
-
|
-
|
202,600
|
68,358
|
134,242
|
||
2007-005
|
USCG
Mayport
|
18,972
|
14,375
|
4,597
|
-
|
-
|
-
|
18,972
|
14,375
|
4,597
|
||
2007-099
|
Misc.
Dredging
|
1,968
|
2,053
|
(85)
|
-
|
-
|
-
|
1,968
|
2,053
|
(85)
|
||
TOTAL
COMPLETED
|
31,477,353
|
26,270,816
|
5,206,537
|
11,850,284
|
9,938,198
|
1,912,086
|
19,627,069
|
16,332,618
|
3,294,451
|
TOTAL
|
PRIOR
YEARS
|
December
31, 2007
|
||||||||||
REVENUES
|
COSTS
|
GROSS
|
REVENUES
|
COSTS
|
GROSS
|
REVENUES
|
COSTS
|
GROSS
|
||||
DESCRIPTION
|
EARNED
|
INCURRED
|
PROFIT
|
EARNED
|
INCURRED
|
PROFIT
|
EARNED
|
INCURRED
|
PROFIT
|
|||
2003-007
|
Lake
Panasoffkee
|
18,512,979
|
14,397,091
|
4,115,888
|
16,117,512
|
12,076,668
|
4,040,844
|
2,395,467
|
2,320,423
|
75,044
|
||
2006-006
|
Sebastian
River Dredging
|
9,816,622
|
4,450,742
|
5,365,880
|
2,460,982
|
1,917,604
|
543,378
|
7,355,640
|
2,533,138
|
4,822,502
|
||
2006-020
|
Lake
Trafford
|
2,315,886
|
2,091,419
|
224,467
|
984,239
|
754,538
|
229,701
|
1,331,647
|
1,336,881
|
(5,234)
|
||
2006-023
|
Dames
Point Terminal
|
11,592,968
|
8,665,922
|
2,927,046
|
-
|
-
|
-
|
11,592,968
|
8,665,922
|
2,927,046
|
||
2006-024
|
Miami-Dade
BEAR
|
2,140,641
|
1,142,842
|
997,799
|
-
|
-
|
-
|
2,140,641
|
1,142,842
|
997,799
|
||
2007-002
|
Goodby's
Creek Dredging
|
1,005,706
|
700,474
|
305,232
|
-
|
-
|
-
|
1,005,706
|
700,474
|
305,232
|
||
2007-007
|
Port
Everglades Berth 29
|
606,900
|
568,767
|
38,133
|
-
|
-
|
-
|
606,900
|
568,767
|
38,133
|
||
2007-009
|
Indian
Bay Dredging
|
810,678
|
666,388
|
144,290
|
-
|
-
|
-
|
810,678
|
666,388
|
144,290
|
||
2007-011
|
TPA
FY07 Maintenance Dredging
|
1,771,853
|
922,604
|
849,249
|
-
|
-
|
-
|
1,771,853
|
922,604
|
849,249
|
||
2007-012
|
JaxPort
Maintenance FY08
|
413,323
|
1,143,544
|
(730,221)
|
-
|
-
|
-
|
413,323
|
1,143,544
|
(730,221)
|
||
TOTAL
UNCOMPLETE
|
48,987,556
|
34,749,793
|
14,237,763
|
19,562,733
|
14,748,810
|
4,813,923
|
29,424,823
|
20,000,983
|
9,423,840
|
|||
TOTAL
ALL JOBS
|
$ 80,464,909
|
$ 61,020,609
|
$ 19,444,300
|
$ 31,413,017
|
$ 24,687,008
|
$ 6,726,009
|
$ 49,051,892
|
$ 36,333,601
|
$ 12,718,291
|
ESTIMATED
|
ESTIMATED
|
COST
& ESTIMATED
|
BILLINGS
IN EXCESS
|
||||||||
CONTRACT
|
BILLED
|
COSTS
|
COSTS
TO
|
TOTAL
|
GROSS
|
PERCENTAGE
|
REVENUE
|
EARNINGS
IN EXCESS
|
OF
COST & ESTIMATED
|
||
JOB
NO.
|
DESCRIPTION
|
AMOUNT
|
TO
DATE
|
TO
DATE
|
COMPLETE
|
COSTS
|
PROFIT
|
COMPLETE
|
EARNED
|
OF
BILLINGS
|
EARNINGS
|
2003-007
|
Lake
Panasoffkee
|
$
22,897,838
|
$18,556,811
|
$
14,397,091
|
$ 3,409,998
|
$
17,807,089
|
$ 5,090,749
|
80.85%
|
$
18,512,979
|
$ -
|
$ 43,832
|
2006-006
|
Sebastian
River Dredging
|
12,888,203
|
9,612,744
|
4,450,742
|
1,392,619
|
5,843,361
|
7,044,842
|
76.17%
|
9,816,622
|
203,878
|
-
|
2006-020
|
Lake
Trafford
|
2,317,161
|
2,317,161
|
2,091,419
|
1,151
|
2,092,570
|
224,591
|
99.94%
|
2,315,886
|
-
|
1,275
|
2006-023
|
Dames
Point Terminal
|
14,478,396
|
10,492,946
|
8,665,922
|
2,156,902
|
10,822,824
|
3,655,572
|
80.07%
|
11,592,968
|
1,100,022
|
-
|
2006-024
|
Miami-Dade
BEAR
|
2,194,462
|
2,194,462
|
1,142,842
|
28,734
|
1,171,576
|
1,022,886
|
97.55%
|
2,140,641
|
-
|
53,821
|
2007-002
|
Goodby's
Creek Dredging
|
1,005,950
|
1,005,950
|
700,474
|
170
|
700,644
|
305,306
|
99.98%
|
1,005,706
|
-
|
244
|
2007-007
|
Port
Everglades Berth 29
|
610,335
|
587,665
|
568,767
|
3,219
|
571,986
|
38,349
|
99.44%
|
606,900
|
19,235
|
-
|
2007-009
|
Indian
Bay Dredging
|
834,274
|
807,773
|
666,388
|
19,396
|
685,784
|
148,490
|
97.17%
|
810,678
|
2,905
|
-
|
2007-011
|
TPA
FY07 Maintenance Dredging
|
6,259,096
|
896,738
|
922,604
|
2,336,507
|
3,259,111
|
2,999,985
|
28.31%
|
1,771,853
|
875,115
|
-
|
2007-012
|
JaxPort
Maintenance FY08
|
1,973,569
|
275,893
|
1,143,544
|
1,560,246
|
2,703,790
|
(730,221)
|
20.94%
|
413,323
|
137,430
|
-
|
$
65,459,284
|
$46,748,143
|
$
34,749,793
|
$10,908,942
|
$
45,658,735
|
$
19,800,549
|
$
48,987,556
|
$ 2,338,585
|
$ 99,172
|
Orion
Marine Group, Inc.
|
Subacqeous
Services,
Inc.
|
Pro
Forma Adjustments
|
Pro
Forma Combined
|
|||||||||||||||||
ASSETS
|
||||||||||||||||||||
Current
assets:
|
||||||||||||||||||||
Cash
and cash equivalents
|
$ | 12,584 | $ | 863 | $ | (2,561 | ) | a,b,c | $ | 10,886 | ||||||||||
Accounts
receivable, including retentions
|
39,797 | 7,656 | (7,040 | ) | c | 40,413 | ||||||||||||||
Costs
and estimated earnings in excess of billings on uncompleted
contracts
|
7,676 | 2,339 | (1,109 | ) | c | 8,906 | ||||||||||||||
Other
current assets
|
1,490 | -- | 60 | c | 1,550 | |||||||||||||||
Total
current assets
|
61,547 | 10,858 | (11,525 | ) | 61,755 | |||||||||||||||
Property
and equipment, net
|
68,746 | 6,424 | 12,076 | c | 87,246 | |||||||||||||||
Goodwill
and other intangible assets
|
2,481 | -- | 16,500 | c | 18,981 | |||||||||||||||
Investment
in SSLLC
|
-- | -- | -- | b,d | -- | |||||||||||||||
Other
assets
|
760 | 79 | (79 | ) | c | 760 | ||||||||||||||
Total
assets
|
$ | 133,534 | $ | 17,361 | $ | 17,847 | $ | 168,742 | ||||||||||||
LIABILITIES
AND STOCKHOLDERS’ EQUITY
|
||||||||||||||||||||
Current
liabilities:
|
||||||||||||||||||||
Current
portion of long-term debt
|
$ | -- | $ | 1,805 | $ | (1,805 | ) | c | $ | -- | ||||||||||
Accounts
payable
|
11,817 | 2,470 | (2,470 | ) | c | 11,817 | ||||||||||||||
Billings
in excess of costs and estimated earnings on uncompleted
contracts
|
7,408 | 99 | 83 | c | 7,590 | |||||||||||||||
Other
current liabilities
|
9,870 | -- | 26 | c | 9,896 | |||||||||||||||
Total
current liabilities
|
29,095 | 4,374 | (4,166 | ) | 29,303 | |||||||||||||||
Long-term
debt
|
-- | 2,954 | 32,046 | a,c | 35,000 | |||||||||||||||
Deferred
income taxes
|
13,928 | -- | 13,928 | |||||||||||||||||
Other
long-term liabilities
|
427 | -- | -- | 427 | ||||||||||||||||
Total
liabilities
|
43,450 | 7,328 | 27,880 | 78,658 | ||||||||||||||||
Stockholders’
equity
|
||||||||||||||||||||
Common
stock
|
216 | -- | 216 | |||||||||||||||||
Additional
paid in capital
|
54,336 | -- | 54,336 | |||||||||||||||||
Retained
earnings
|
35,532 | 10,033 | (10,033 | ) | c,d | 35,532 | ||||||||||||||
Total
stockholders’ equity
|
90,084 | 10,033 | 90,084 | |||||||||||||||||
Total
liabilities and stockholders’ equity
|
$ | 133,534 | $ | 17,361 | $ | 17,847 | $ | 168,742 |
Orion
Marine Group, Inc.
|
Subacqeous
Services,
Inc.
|
Pro
Forma Adjustments
|
Pro
Forma Combined
|
|||||||||||||||||
Revenues
|
$ | 210,360 | $ | 49,052 | -- | $ | 259,412 | |||||||||||||
Cost
of contract revenues
|
159,927 | 36,334 | 196,261 | |||||||||||||||||
Gross
profit
|
50,433 | 12,718 | 63,151 | |||||||||||||||||
Selling,
general and administrative expenses
|
22,985 | 5,995 | 3,679 | a,b | 32,659 | |||||||||||||||
Operating
income
|
27,448 | 6,723 | (3,679 | ) | 30,492 | |||||||||||||||
Other
(income) expense:
|
||||||||||||||||||||
Interest
(income) expense, net
|
(90 | ) | 485 | 2,188 |
c
|
2,583 | ||||||||||||||
Other
income
|
(39 | ) | (564 | ) | -- | (603 | ) | |||||||||||||
Other
(income) expense, net
|
(129 | ) | (79 | ) | 2,188 | 1,980 | ||||||||||||||
Income
before income taxes
|
27,577 | 6,802 | (5,867 | ) | 28,512 | |||||||||||||||
Income
tax expense
|
10,178 | -- | 346 | d | 10,524 | |||||||||||||||
Net
income
|
$ | 17,399 | $ | 6,802 | $ | (6,213 | ) | $ | 17,988 | |||||||||||
Net
income
|
$ | 17,399 | $ | 17,988 | ||||||||||||||||
Preferred
dividends
|
782 | 782 | ||||||||||||||||||
Net
income available to common shareholders
|
$ | 16,617 | $ | 17,206 | ||||||||||||||||
Basic
earnings per share
|
$ | 0.86 | $ | 0.89 | ||||||||||||||||
Diluted
earnings per share
|
$ | 0.83 | $ | 0.86 | ||||||||||||||||
Weighted
average shares used to compute earnings per share
|
||||||||||||||||||||
Basic
|
19,400,942 | 19,400,942 | ||||||||||||||||||
Diluted
|
19,976,317 | 19,976,317 |
Cash
borrowed under the Company’s credit facility
|
$ | 35,000 | ||
Cash
from available cash balances
|
1,698 | |||
Total
purchase price
|
$ | 36,698 |
Working
capital
|
$ | 1,698 | ||
Property
and equipment
|
18,500 | |||
Intangible
assets
|
7,100 | |||
Goodwill
|
9,400 | |||
Total
preliminary purchase price allocation
|
$ | 36,698 | ||