OKLAHOMA CITY, May 21 /PRNewswire-FirstCall/ -- The Beard Company
(OTC Bulletin Board: BRCO) today announced that it recorded a net
loss attributable to common shareholders of $266,000, or $0.03 per
share, for the first quarter of 2009, compared with net earnings
attributable to common shareholders of $2,884,000, or $0.41 per
diluted share, in the quarter ended March 31, 2008. Operating
results for the first quarter of 2008 included an after-tax gain of
$3,290,000, or $0.47 per diluted share, attributable to the sale of
35% of the Company's interest in the McElmo Dome CO2 Unit. No such
comparable gain on sale was recorded in the first quarter of 2009.
"Our first quarter results do not begin to reflect the potential of
the strategic initiatives announced by the Company in recent
months," stated Herb Mee, Jr., President of The Beard Company. "On
April 20, 2009, we announced the purchase by our subsidiary, Beard
Dilworth, LLC ("BDLLC"), of the Dilworth Field in northern
Oklahoma. BDLLC is in the process of raising a total of $7 million
from private investors to finance the purchase of, and the enhanced
oil recovery program planned for, the Dilworth Field." "Our second
quarter results will reflect an after-tax gain of more than $4.8
million from the recently completed sale of our remaining 65%
interest in the McElmo Dome Unit, thereby allowing our financial
results for the first half of 2009 to comfortably exceed prior-year
levels. As a result of this gain and the payoff of additional debt,
we will have a significantly improved balance sheet as of June 30,
2009 that will include a positive shareholders' equity for the
first time in a number of years. We also hope that two of the
projects we have under development in our Coal Segment will come to
fruition this year and are extremely excited about the potential of
our Geohedral LLC investment. We continue to look forward to major
improvements in our operating results in coming years," 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; minerals exploration and development through its
Geohedral investment, and e-commerce activities conducted through
its starpay(TM) subsidiary. 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; the outcome of a lawsuit
against Visa; 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
THE BEARD COMPANY AND SUBSIDIARIES Balance Sheets March 31, 2009
(Unaudited) and December 31, 2008 March 31, December 31, Assets
2009 2008 ------ ---- ---- Current assets: Cash and cash
equivalents $115,000 $182,000 Accounts receivable, less allowance
for doubtful receivables of $31,000 in 2009 and 2008 160,000
185,000 Prepaid expenses and other assets 7,000 5,000 Assets of
discontinued operations held for resale 21,000 26,000 ------ ------
Total current assets 303,000 398,000 ------- ------- Restricted
certificate of deposit 50,000 50,000 Investments and other assets
94,000 87,000 Property, plant and equipment, at cost 2,554,000
2,561,000 Less accumulated depreciation, depletion and amortization
1,336,000 1,340,000 --------- --------- Net property, plant and
equipment 1,218,000 1,221,000 --------- --------- Intangible
assets, at cost 75,000 75,000 Less accumulated amortization 68,000
66,000 ------ ------ Net intangible assets 7,000 9,000 ----- -----
TOTAL ASSETS $1,672,000 $1,765,000 ========== ==========
Liabilities and Shareholders' Equity (Deficiency)
----------------------------- Current liabilities: Trade accounts
payable $168,000 $97,000 Accrued expenses 322,000 431,000
Short-term debt 95,000 - Short-term debt - related entities 80,000
57,000 Current maturities of long-term debt 996,000 895,000 Current
maturities of long-term debt - related entities 390,000 390,000
Liabilities of discontinued operations held for resale 51,000
65,000 ------ ------ Total current liabilities 2,102,000 1,935,000
--------- --------- Long-term debt less current maturities 420,000
420,000 Long-term debt - related entities 2,250,000 2,250,000 Other
long-term liabilities 169,000 172,000 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 42,672,000 42,655,000 Accumulated deficit
(44,053,000) (43,787,000) Accumulated other comprehensive income
24,000 25,000 Total The Beard Company shareholders' equity
(deficiency) (461,000) (211,000) -------- -------- Noncontrolling
interests (2,808,000) (2,801,000) ---------- ---------- Total
shareholders' equity (deficiency) (3,269,000) (3,012,000)
---------- ---------- TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
$1,672,000 $1,765,000 ========== ========== THE BEARD COMPANY AND
SUBSIDIARIES Results of Operations (Unaudited) For the Three Months
Ended March 31, ---------------- 2009 2008 ---- ---- Revenues
$307,000 $378,000 Expenses 495,000 425,000 ------- -------
Operating loss (188,000) (47,000) Other income (expense) (91,000)
3,127,000 ------- --------- Earnings (loss) from continuing
operations before income taxes (279,000) 3,080,000 Income taxes -
(54,000) ------- ------- Earnings (loss) from continuing operations
(279,000) 3,026,000 Earnings (loss) from discontinued operations
6,000 (258,000) ----- -------- Net earnings (loss) $(273,000)
$2,768,000 Losses attributable to noncontrolling interests:
Continuing operations 7,000 7,000 Discontinued operations - 109,000
------- ------- Net earnings (loss) attributable to The Beard
Company common shareholders $(266,000) $2,884,000 =========
========== Net earnings (loss) per average common share
outstanding: Basic: Earnings (loss) from continuing operations
$(0.03) $0.49 Loss from discontinued operations 0.00 (0.02) ------
----- Net earnings (loss) $(0.03) $0.47 ====== ===== Diluted:
Earnings (loss) from continuing operations $(0.03) $0.42 Loss from
discontinued operations 0.00 (0.02) ------ ----- Net earnings
(loss) $(0.03) $0.41 ====== ===== Weighted average common shares
outstanding: Basic 9,900,000 6,162,000 ========= ========= Diluted
9,900,000 6,989,000 ========= ========= DATASOURCE: The Beard
Company CONTACT: Herb Mee, Jr., President of The Beard Company,
+1-405-842-2333, ; or RJ Falkner & Company, Inc., Investor
Relations Counsel, 1-800-377-9893, , for The Beard Company
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