(SitNews) - According to Sealaska's annual report mailed to tribal member shareholders this week, Sealaska is reporting net losses in the millions for 2013.

Part of the net loss was blamed on a Sealaska civil construction Hawaii business venture which significantly underperformed with an operational loss of $26 million negating the profits from other Sealaska subsidiaries. Quoting a news release, Sealaska said they made a responsible decision to fulfill the contract, with the understanding that the projects would conclude at a loss.

Sealaska also realized $24.6 million in accounting adjustments. Sealaska partially offset the losses with positive income from ANCSA Section 7(i) monies and investment funds.

Because of market changes, the value of Sealaska's subsidiaries also changed with the value of two companies decreasing by $10 million.

“Despite posting losses, Sealaska is a stable institution that continues to protect its Native land, support education and shareholder opportunities, while growing our investments and operations,” said Sealaska president and CEO Chris E. McNeil Jr. “Sealaska has strong cash flow and access to financing and we are well positioned to make new acquisitions.”

“The board has a long-term strategic plan to achieve sustainable profitability, while keeping our commitment to culture and shareholder opportunity,” said Sealaska board chair Albert Kookesh. “The experience of Sealaska’s board, while working with management, will lead Sealaska towards these long term goals.”

“Management and the board are aggressively moving forward to achieve our goal of sustainable profitability so that Sealaska continues to benefit future generations of tribal member shareholders,” said McNeil. “Sealaska will continue to meet challenges head on, and do everything in its power to contribute to the success of the Tlingit, Haida and Tsimshian people.”

However, the Juneau Empire reported that when each of the company’s five revenue-generating categories are added up, the total amount lost is about $56.7 million. If the interest gained on the company’s investments — about $16.6 million — is not considered, the business operations of Sealaska lost nearly $73 million last year reported the Juneau Empire.

The 2013 Sealaska annual report was mailed to tribal member shareholders on May 14, 2014. The annual report provides Sealaska tribal member shareholders the independently audited financial statements for the previous year.

Sealaska is the Regional Native institution established under the Alaska Native Claims Settlement Act of 1971 (ANCSA). More than 21,600 tribal member shareholders of the Tlingit, Haida and Tsimshian own Sealaska.

Edited by Mary Kauffman, SitNews

On the Web:

Sealaska posts huge financial loss in 2013; Loss would be bigger if not for help from other Native corporations By MATT WOOLBRIGHT, Juneau Empire
www.juneauempire.com

Download Pulling Together - 2013 Sealaska Annual Report
http://sealaska.com/docs/IO/2071/2013_Sealaska_Annual_Report.pdf

Source of News: 

Sealaska
www.sealaska.com

SitNews ©2014
Stories In The News
Ketchikan, Alaska

Articles & photographs that appear in SitNews may be protected by copyright and may not be reprinted without written permission from and payment of any required fees to the proper sources.