Glacier Water Announces Record Revenues and Year End Results

VISTA, Calif.–(BUSINESS WIRE)–Feb. 28, 2003–Glacier Water Services Inc. (Amex:HOO – News) announced results for the year ended Dec. 29, 2002.

Brian McInerney, chief executive officer of Glacier Water, said, “Glacier recorded record revenues of $71,029,000, representing growth of $10,684,000 versus last year. Good progress was made in returning the company to profitability. Operating income for the year improved to $2,822,000 (including restructuring costs related to acquisition activity of $1,364,000), compared to $268,000 in 2001.”

Revenues for the quarter ended Dec. 29, 2002 increased 16.0% to $16,460,000 as compared to the same quarter a year ago. For the year ended Dec. 29, 2002, revenues increased to $71,029,000, representing a 17.7% increase versus last year. The revenue improvement was driven by the acquisition of the assets of the Pure Fill Corp. and higher average revenues per location at existing Glacier locations during 2002 as compared to 2001.

For the quarter ended Dec. 29, 2002, the company’s income from operations was $358,000 as compared to a loss of $1,069,000 for the same period a year ago. Income from operations for the year ended Dec. 29, 2002, was $2,822,000, representing an improvement of $2,554,000 versus the same period last year. Improvement was driven by increased revenues, cost containment efforts and the impact of the integration of the Pure Fill assets.

The company’s net loss applicable to common stockholders for the quarter ended Dec. 29, 2002, was $980,000 or $0.34 per diluted share, compared to a loss of $2,540,000 or $0.90 per diluted share for the same period last year. The company’s net loss applicable to common stockholders for the year ended Dec. 29, 2002, was $2,701,000 or $0.95 per diluted share, compared to a loss of $5,560,000 or $1.96 per diluted share for the same period last year.

With approximately 14,000 machines located in 37 states throughout the United States, Glacier is the leading provider of high quality, low-priced drinking water dispensed to consumers through self-service vending machines located at supermarkets and other retail locations.

Statements in this announcement that are not purely historical are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements with respect to the financial condition and results of operations of the company which involve risks and uncertainties which are detailed further in the filings of the company with the Securities and Exchange Commission, including, but not limited to, the company’s Annual Report on Form 10-K for the year ended Dec. 30, 2001.


Glacier Water Services Inc., Vista
W. David Walters, 760/560-1111