View:
Download DOC
Download PDF
Download XLS
form_8-k.htm

 

 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549


FORM 8-K
 
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported): December 16, 2009
 
THE BRINK’S COMPANY
(Exact name of registrant as specified in its charter)
 
Virginia
001-09148
54-1317776
(State or other jurisdiction of incorporation)
(Commission File Number)
(IRS Employer Identification No.)

1801 Bayberry Court
P. O. Box 18100
Richmond, VA 23226-8100
(Address and zip code of
principal executive offices)

Registrant’s telephone number, including area code: (804) 289-9600


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2.):

[    ]
  
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
     
[    ]
  
Soliciting materials pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
     
[    ]
  
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))
 

 

 
 
 

Item 7.01.                      Regulation FD Disclosure.

On December 16, 2009, The Brink’s Company updated the slides that it uses for meetings with investors and analysts.  A copy of the updated slides is furnished as Exhibit 99.1 hereto, and is incorporated herein by reference.

Item 9.01.                      Financial Statements and Exhibits.

(d)           Exhibits

99.1           Updated slide presentation of The Brink’s Company.

 
2
 


 
SIGNATURE
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
 

 
THE BRINK’S COMPANY
(Registrant)
   
   
Date: December 16, 2009
By:
/s/ Joseph W. Dziedzic
   
Joseph W. Dziedzic
   
Vice President and Chief Financial Officer

 
 

 
3
 

EXHIBIT INDEX

 
EXHIBIT                                                    DESCRIPTION
 
99.1
Updated slide presentation of The Brink’s Company.

 
4
 

exhibit_99-1.htm
Management Presentation
Management Presentation
December 16, 2009
December 16, 2009
Exhibit 99.1
 
 
 
2
Forward-looking Statements
This presentation, including questions and answers, may contain both
historical and forward-looking information within the meaning of the Private
Securities Litigation Reform Act of 1995. Actual results could differ materially
from projected results. Additional information regarding factors that could
affect financial performance is readily available in our press release dated
October 29, 2009 and in our filings with the Securities and Exchange Commission,
including our most recent forms 10-K and 10-Q. Information included in this
presentation is representative as of the date of the presentation only and The
Brink’s Company assumes no obligation to update any forward-looking
statements made.
 
 
 
n Introduction
n Brink’s Business Overview
n Financial Highlights
n Summary
3
Agenda
Edward A. Cunningham
Director of Investor Relations &
Corporate Communications
Joseph W. Dziedzic
Vice President &
Chief Financial Officer
 
 
 
4
Brink’s Company Overview
World’s premier security company
n Founded in 1859, Brink’s is
 the oldest and largest secure
 logistics company
n Approximately 57,000 employees,
 900 branches and 9,400 vehicles
 worldwide
n Diversified operations with revenue
 of $3.2 billion in 2008
 
 
 
5
The Brink’s Company
n Solid core industry dynamics
n Premier brand
n Leader in business segments
n Proven operational excellence
n Global footprint
n Growth strategy
n Financial performance
 
 
 
6
Solid Core Industry Dynamics
Global Outsourced Cash Logistics Market
Source: Central Banks, Internal Company Estimates
($Bn)
$2.3 - - $2.8Bn
Notes in Circulation
¢ Cash use growing with
 GDP in developed markets
¢ Faster growth in
 developing economies
¢ Customer outsourcing
 (Cash Logistics) increasing
¢ Opportunities vary by
 region
 
 
 
7
Premier Brand
n Globally recognized brand
n A brand built on
 – Trust and integrity
 – Quality of our people
 – Safety and security
 – Operational excellence
 – History and heritage
 – Global network
n 150th Anniversary in 2009
 
 
 
8
Leader in Business Segments
Secure Logistics
Total: $14.5 billion
Brink’s
Loomis
G4S
Others
Prosegur
Leading Share in Fragmented Secure Logistics Market
Estimated Global Secure Logistics Market Share
Source: Internal Company Estimates based on most recently available data
 
 
 
9
2008 Revenue
(% of Total)
Description
High Value Services
Cash-in-Transit
Security Services
n Armored car transportation
n Point-to-point pick-up and
 delivery of cash, coins, checks
 and other valuables
n ATM services
n Provides infrastructure for
 High Value Services
$1.7 Billion (53%)
$1.1 Billion (35%)
$0.4 Billion (12%)
n Global Services
 – Secure long-distance
 transport of valuables
 – International shipping
 by air / sea / land
n Cash Logistics Services
 – Money processing
 – Virtual vaulting
 – CompuSafe® Service
n New Services
 – Payment Services
n High-value niche guarding
 services in select E.U. countries
n Protection of
 – Airports
 – Embassies
 – Public venues
 – Stores
Source: Internal Company Estimates
Leader in Business Segments
Business Lines, Products and Services
 
 
 
Cash Logistics
Retailer
Bank
Brink’s
Facility
(Virtual
Vault)
 l Builds on CIT & IT
 capabilities
 l Money processing (sorting,
 counterfeit checking,
 packing, distribution)
 l Virtual vaulting (processing &
 storage of cash for banks)
 l Intelligent safes (counting,
 counterfeit checking and
 networking with banks)
 – CompuSafe® Service /
 I-Cash / I-Deposit
CompuSaf
e®
Leader in Business Segments
Cash Logistics: Features & Benefits
Benefits
Banks
Retailers
Brink’s
 l Outsourcing and
 cost reduction
 l Reduced assets
 invested in vaults
 l Improved customer
 service
 l Expanded vaulting
 capacity extends
 geographic reach
 l Enhanced safety
 and security
 l Better cash
 management,
 same-day credit
 l Lower bank fees
 l Enhanced safety
 and security
 l Reduced cash
 administration /
 more productive
 employees
 l Improved customer
 service
 l Reduced theft,
 counterfeiting
 l Improved
 customer service
 l Revenue growth,
 higher margins
 l Longer contracts
 (“sticky”)
 l Lower
 transportation
 costs
 l Enables “full-
 service” offering
10
 
 
 
11
Leader in Business Segments
CompuSafe® Service
Leader in Business Segments
CompuSafe® Service
¢ CompuSafe® Service
 gaining traction
¢ Installed base expected to
 grow 40% in 2009
Est
 
 
 
Leader in Business Segments
Relative Growth and Margins
12
Security Services
Cash-in-Transit
High Value Services
n Global Services
n Cash Logistics
n New Services
 
 
 
13
Proven Operational Excellence
n Demonstrated global expertise
 – Security
 – Risk management
 – Logistics
 – Pricing discipline
 – Human resource management
 – IT capabilities
 
 
 
Global Footprint
14
North America
Asia Pacific
Latin America
Europe, Middle East, Africa
Approximately 900 branches in 50 countries plus 66 additional
countries served by Global Services
Canada
54 Branches
United States
197 Branches
EMEA
269 Branches
26 Countries
Asia Pacific
91 Branches
12 Countries
Latin America
262 Branches
9 Countries
 
 
 
15
Global Footprint
Brink’s Segment Revenue and Operating Profit
Revenue
Segment Operating Profit
North America
Asia Pacific
Latin
America
Europe, Middle East and Africa
Total: $3.2 billion
International
Total: $272 million
December 31, 2008
December 31, 2008
 
 
 
16
Growth Strategy
n Core
 1. Continue to develop and grow high-margin products and services
 – Cash Logistics, CompuSafe® Service, Global Services
 2. Penetrate new geographies with strong growth potential
n Plus
 1. Enter new security-related markets where we can create value for
 customers with our brand and other competitive advantages
 – Payment Processing, Commercial Security
n Acquisitions to supplement organic growth
 
 
 
17
Revenue
($MM)
Financial Performance
Revenue Growth
Last 12
Months
9/30/09
 
 
 
18
Operating Profit
($MM
 )
Financial Performance
Profit Growth
Segment Operating Profit
149
120
184
223
272
227
Corporate/Former Ops
(87)
(82)
(73)
(62)
(43)
(28)
Operating Profit
62
38
111
161
229
199
Last 12 Months
9/30/09
 
 
 
19
Financial Performance
Enhancing Margins
1. Grow high-margin business
 – Global Services, Cash Logistics
 – Continue developing IT, sales & marketing capabilities
2. Grow in high-margin, high-growth geographies
 – BRIC, Latin America, Asia-Pacific, Africa
3. Improve or exit underperforming assets
 – Challenges in Europe
 – U.K. ground operations sold in 2007
 
 
 
20
Financial Performance
Balance Sheet
n $35 million net debt at September 30, 2009
n Solid cash flow from operations
n Over $260 million of available borrowing capacity
n Investment grade credit rating
Cash
$234
Debt
(269)
Net cash/(debt)(1)
($ 35)
Note: (1) See Non-GAAP reconciliation on page 18 of the Third-Quarter
earnings release dated October 29, 2009
 
 
 
Financial Performance
Execution Creates Value
($)
Note: (1) $100 invested on December 31, 2001 in stock or index. Includes reinvestment of dividends
Cumulative Stock Total Return (1)
21
 
 
 
22
Financial Performance
2009 versus 2008
n Currency conversion complete
n Foreign exchange impact
n Higher pension expenses
n Global economic weakness
 – Pressure on pricing and service
 frequency
 – BGS Diamond & Jewelry and
 Europe
Difficult Comparisons with 2008
Positive Factors in 2009
n More outsourcing by banks and
 retailers, CompuSafe® Service
 accelerating
n Corporate expenses lower
n Continued disciplined execution
n Strong balance sheet
n Proactively addressing pension
 funding
n Attractive acquisitions at more
 reasonable values
 
 
 
23
Summary
n Solid core industry dynamics
n Premier brand
n Leader in business segments
n Proven operational excellence
n Global footprint
n Clear growth strategy
n Strong financial performance