|Company Name:||Navistar International Corporation|
|Event Title:||Q3 2013 Earnings Call Transcript|
|Event Time:||09:00 AM ET|
Good day ladies and gentlemen and welcome to Navistar's Third Quarter 2013 Earnings Results Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct the question-and-answer session and instructions will follow at that time. [Operator Instructions]. As a reminder, this conference call is being recorded. I would now like to turn the conference over to Ms. Heather Kos.
Ma'am you may begin.
Vice President, Investor Relations
Good morning everyone and thank you for joining us for Navistar's third quarter 2013 conference call. With me today are Troy Clarke, our President and Chief Executive Officer; Walter Borst our Executive Vice President and Chief Financial Officer and Jack Allen our Executive Vice President and Chief Operating Officer.
Before we begin, I would like to cover a few items. A copy of this morning's press release and the presentation slides that we will be using today have been posted on our Investor Relations website for your reference. The non-GAAP financial measures discussed in this call are reconciled to the U.S GAAP equivalents as part of the appendix in the slide deck.
Finally, today's presentation includes the forward-looking statements about our expectations for future performance. Actual results could differ materially from those projected by our comments made here. For additional information concerning factors that could cause actual results to differ materially from those projected in today's presentation, please refer to our most recent reports on Form 10-K and 10-Q and our other SEC filings. We would also refer you to the Safe Harbor statement and other cautionary note disclaimers presented in today's material for more information on the subject.
With that, I'll turn the call over to - for opening remarks.
Thanks, Heather. And good morning, everyone. And thank you for joining our call. Our agenda today will follow the same process we established several quarters ago.
I will lead off with the high level overview of our third quarter performance and our progress on a strategic objectives. Dr. Boris will provide a deeper dive on the financial results, Jack Allen will provide more specific direction regarding our drive to deliver initiative and I will ramp up with some closing remarks on long-term EBITDA goals leading into Q&A.
Moving to slide six. Before I begin, I'm extremely pleased to introduced Walter Borst, our new CFO. Before joining us, Walter was a GM for 33 years and a wide array of key executive roles. His past experience as the Head of GM Asset Management, Treasurer of GM and CFO of - makes him the right person to lead our financial opreations here.
All though he has been only a month, he has already made significant contributions especially as it relates to our 2014 strategic plan. And you're going to hear directly from him in a few minutes.
Turning to slide six, you will see our roadmap. We remain focused on our drive-to-deliver and our guiding principals. We've referenced in the past that it will take us up to 18 months to execute our plan were one year in and we've made significant progress. As we pointed out last quarter we still face a few significant challenges but we have laid the ground work to solve them and obviously we want to accelerate our rate of progress.
Slide eight summarizing our results our EBITDA was less than we hoped for, for the quarter I consider the challenges that impacted our performance to fall in three buckets. First we continue to experience one-time cost and charges related to our ROIC divestitures and restructuring efforts. Second, we encountered some significant reversals and our results in Brazil and Latin America due to social issues that developed during the quarter. And third, we felt short of our sales volumes primarily due to medium-duty market share erosion.