Arabian American Development Company reported earnings results for the third quarter and nine months ended September 30, 2009. Consolidated revenue for the quarter ended September 30, 2009 decreased 35.8% to $30.6 million, compared to revenue of $47.7 million in the third quarter of 2008 and a 7.2% sequential increase compared to revenue of $28.6 million in the second quarter of 2009. The Company reported net income attributable to Arabian American Development in the third quarter of 2009 of $528,000 or $0.02 per basic and diluted share (based on 23.7 million and 23.8 million weighted average number of shares outstanding, respectively). This compares to a net loss of $6.9 million, or $0.30 per basic and diluted share for third quarter of 2008 (based on 23.5 million weighted average number of shares outstanding, respectively). The company reported operating income of $1.705 million and income before income taxes of $1.459 million compared to the operating loss of $10.848 million and loss before income taxes of $10.904 million for the same period a year ago. Consolidated revenue for the nine months ended September 30, 2009 decreased 28.8% to $86.6 million, compared to revenue of $121.6 million in the same period in 2008. For the first nine months of 2009, net income of Arabian American Development increased to $7.3 million, or $0.31 per basic and diluted share (based on 23.7 million and 23.8 million weighted average shares outstanding, respectively) compared to a net loss of $2.3 million, or $0.10 per basic and diluted share (based on 23.4 million weighted average shares outstanding, respectively) for the year-ago period. The company reported operating income of $12.771 million and income before income taxes of $11.837 million compared to the operating loss of $3.902 million and loss before income taxes of $3.895 million for the same period a year ago.

Arabian American Development Company, Q3 2009 Earnings Call, Nov-05 2009

Arabian American Development Company announced that is has signed a new one-year contract with an existing customer with headquarters in Mexico. The contract is an increase over the original value of an existing contract based on current market conditions. The Company will deliver an estimated annual volume of approximately 3.6 million U.S. gallons of C5 pentanes, which will be used as a blowing agent for Expandable Polystyrene (EPS). The contract runs from August 2009 through July 2010.