General Cable sees no impact on FY12 results from Venezuelan currency The Venezuelan government announced the official exchange rate of its currency (Bolivars) would be adjusted from 4.3 Bolivars to each US Dollar to 6.3, effective February 13, 2013. These actions by the Venezuelan government are expected to result in a one-time charge in the first quarter of 2013 primarily related to the Company’s remeasurement of its local balance sheet on the date of the devaluation. The non-recurring pre-tax charge in the first quarter of 2013 is expected to be in the range of $42 million which will be recorded as other expense. The Company does not expect any impact to its 2012 results of operations or cash flows.
General Cable completes sale of Thailand operations General Cable announced it has completed the sale of its Thailand operations to MM Logistics Co. Ltd. for cash consideration of approximately $88M. The closing of the sale of the Thailand operations is the first of a two-step closing process. The company expects the second closing to complete the sale of the remaining Asia Pacific operations including China, New Zealand and Australia to occur at the end of September, subject to customary closing conditions. Upon completion, the company expects to generate approximately $205M of cash proceeds from the sale of Thailand, China, New Zealand and Australia. Proceeds will be used to reduce outstanding borrowings and pay related fees and expenses.