KANSAS CITY — A month after posting its first profit in more than a year, Interstate Bakeries Corp. once again finished lower, posting a loss of $3,655,393 in the four weeks ended July 28, which compared with net income of $1,052,155 in the four weeks ended June 30, according to an 8-K filed Sept. 12 with the Securities and Exchange Commission.
Sales in the four weeks ended July 28 were $224,767,832, down 5% from $237,073,331 in the previous four-week period. It marked the first time in seven months that I.B.C. posted month-over-month decreasing sales.
Operating expenses finished at $110,153,080, down 4% from $112,964,439 in the previous period. Ingredients, packaging and outside purchasing costs fell 5% to $55,944,248 from $58,631,493, while direct and indirect labor costs fell 4% to $39,751,914 from $41,282,066 in the previous period.
I.B.C. recorded charges of $2,428,630 during the most recent period from restructuring and reorganization. Charges for professional fees of approximately $2,455,960, adjustments to lease rejection expense of $91,150 and "other" charges of $13,467 offset interest income of $40,646 and a gain on the sale of assets of $97,301.
I.B.C. posted earnings before interest, taxes, depreciation and amortization of $7,293,066, down sharply from $11,844,534 in the prior period.
In the S.E.C. filing, I.B.C. said capital expenditures for the four-week period ended July 28 totaled approximately $1.7 million, boosting year-to-date capital spending through July 28 to $33.7 million.
As of July 28, I.B.C. still had not borrowed under its $200 million debtor-in-possession credit facility. The company said it has $114.1 million of letters of credit outstanding. The amount of the credit facility available for borrowing was $85.9 million as of July 28.