Insider Trading Alert: Olin Corporation (OLN)

Olin Corporation (NYSE:OLN) insider has recently participated in insider trading activity. VP – M&E, CAV/EPOXY/GCO, SAMPSON JOHN MAURICE bought 5,000 shares for $69,200 via one transaction Feb 16. Another notable insider trading was done by Dawson Pat D on Feb 11, who is the             Pres, Epoxy & International. The insider acquired 20,000 shares at an average price of $12.90. Moreover, an insider buying of 8,000 shares was carried out by LARRIMORE RANDALL W, Director, on Feb 11. Following the transaction, the insider now owns 54,905 shares in total. Director Benoist Gray G bought 5,000 shares for $62,700 through one transaction Feb 11. Following this sale, this insider’s stake in the company comprises 5,300 shares, priced at $76,002 as of Wednesday.

The stock has experienced a total of 9 insider trades in the past three months. These trades include 1 sell activities and 8 buy trades. Furthermore, over the past 12 months, the stock was traded 60 times by insiders. In 18 of these trades, the insider was a seller while an employee of the company was the buyer in just 42 instances.

Olin Corporation (OLN) on February 2, 2016 announced that its fourth quarter 2015 adjusted EBITDA was $207.0 million.  Adjusted EBITDA reflects depreciation and amortization expense of $124.0 million, acquisition-related costs of $84.6 million and a $24.0 million fair value adjustment related to the purchase accounting for inventory.

The fourth quarter 2015 loss from continuing operations was $59.3 million, or $0.37 per diluted share.  The fourth quarter loss per share includes an effective income tax rate of 28.1%, which reflects transaction costs that are not deductible for tax purposes.  Sales in the fourth quarter of 2015 were $1,267.4 million.

Joseph D. Rupp, Chairman and Chief Executive Officer said, “I am pleased with our fourth quarter results, which reflect positive cost performance across all businesses, including corporate expenses.  As we enter 2016, we forecast adjusted EBITDA in the range of $915 million to $985 million.  Our new, less cyclical portfolio includes the benefits of our long-term contracts with Dow, improved year-over-year results in Epoxy and Winchester and the realization of cost synergies.  Corporate and other costs for 2016, including pension income and environmental costs, are forecast to be in the $65 million to $85 million range, an increase from 2015 due to the build out of our corporate capabilities since the completion of the Dow transaction.  Improvement in chlor alkali products pricing from current levels represents an upside to our 2016 forecast.

“In the first quarter of 2016, we expect adjusted EBITDA to be in the $195 million to $215 million range, which includes approximately $35 million of maintenance turnaround costs, an increase of approximately $20 million from the fourth quarter 2015 levels.  During 2016, we expect approximately 35% of our annual maintenance turnaround costs to be incurred in the first quarter.  Chlor Alkali Products and Vinyls, Epoxy and Winchester segment earnings are expected to improve in the first quarter of 2016 compared with the fourth quarter of 2015, reflecting improved volumes.  This improvement will be partially offset by higher corporate and other costs.”