For the three months ended June 30, 2013, net loss was $(10.3) million, of which $(10.4) million was attributable to common stockholders, and resulted in $(0.52) of loss per basic and diluted share. Adjusted EPS, on a non-GAAP basis, for the three months ended June 30, 2013, was a loss of $(0.28). A reconciliation of GAAP diluted earnings per share to Adjusted EPS is provided at the end of this news release.

Segment Information

Net sales and operating income in the company’s Printed Circuit Boards segment for the second quarter of 2013 were $240.7 million and $4.7 million, respectively, compared with Printed Circuit Boards segment net sales and operating income of $240.4 million and $15.1 million, respectively, for the second quarter of 2012, and compared with Printed Circuit Boards segment net sales and operating income of $241.0 million and $3.7 million, respectively, for the quarter ended March 31, 2013. Solid demand for PCBs used in the company’s automotive, telecom and military/aerospace end markets was offset by soft demand in the company’s computer/datacom and industrial & instrumentation end markets during the quarter ended June 30, 2013.

Net sales and operating loss in the company’s Assembly segment for the second quarter of 2013 were $44.9 million and $(0.1) million, respectively, compared with Assembly segment net sales and operating income of $56.5 million and $1.6 million, respectively, for the second quarter of 2012 and compared with Assembly segment net sales and operating loss of $31.9 million and $(1.0) million, respectively, for the quarter ended March 31, 2013. Compared to the second quarter of 2012, Assembly segment net sales decreased in the industrial & instrumentation end market, but increased or was flat in all of our other end markets. Compared to the immediately preceding three months ended March 31, 2013, increased Assembly segment net sales to customers in our industrial & instrumentation and telecommunication end markets were responsible for the segment’s sequential improvement.

Pro Forma Information

The company’s net sales of $285.6 million for the quarter ended June 30, 2013 declined by approximately 16.2% compared to approximately $341.0 million pro forma combined net sales of Viasystems and DDi for the three months ended June 30, 2012, which included approximately $44.1 million of net sales by DDi. Year-over-year, pro forma net sales decreased in all end markets.

Cash and Working Capital

Cash and cash equivalents at June 30, 2013 were $73.9 million, compared with $74.8 million at December 31, 2012. Cash provided by operating activities during the six months ended June 30, 2013, was $40.4 million. The company’s cash cycle metric of 34.7 days at June 30, 2013 was in line with expectations. During six months ended June 30, 2013, the company used a net of approximately $22.3 million cash for interest payments and used a net of approximately $3.9 million cash for payment of income taxes.

During the six months ended June 30, 2013, the company used a net $39.2 million of cash for investing activities. In particular, capital expenditures during the six months ended June 30, 2013, were $39.5 million. During the six months ended June 30, 2013, approximately $16.5 million of capital expenditures were incurred in connection with capacity expansion, relocation of facilities, replacement of fire-damaged equipment and other special projects.

During the six months ended June 30, 2013, financing activities used a net $2.2 million of cash, including approximately $1.6 million of cash used to make scheduled debt payments and $0.6 million cash used for withholding taxes related to net share settlements of vested stock compensation.

Use of Non-GAAP Financial Measures

In addition to the condensed consolidated financial statements presented in accordance with U.S. GAAP, management uses certain non-GAAP financial measures, including “Adjusted EBITDA” and “Adjusted EPS”.

Adjusted EBITDA is not a recognized financial measure under U.S. GAAP, and does not purport to be an alternative to operating income or an indicator of operating performance. Adjusted EBITDA is presented to enhance an understanding of operating results and is not intended to represent cash flows or results of operations. The Board of Directors, lenders and management use Adjusted EBITDA primarily as an additional measure of operating performance for matters including executive compensation and competitor comparisons. The use of this non-GAAP measure provides an indication of the company’s ability to service debt, and management considers it an appropriate measure to use because of the company’s leveraged position.

Adjusted EBITDA has certain material limitations, primarily due to the exclusion of certain amounts that are material to the company’s consolidated results of operations, such as interest expense, income tax expense, and depreciation and amortization. In addition, Adjusted EBITDA may differ from the Adjusted EBITDA calculations reported by other companies in the industry, limiting its usefulness as a comparative measure.

The company uses Adjusted EBITDA to provide meaningful supplemental information regarding operating performance and profitability by excluding from Adjusted EBITDA certain items that the company believes are not indicative of its ongoing operating results or will not impact future operating cash flows, which include restructuring and impairment charges, loss on early extinguishment of debt, stock compensation, costs associated with acquisitions and equity registrations, and other, net.

Adjusted EPS is not a recognized financial measure under U.S. GAAP, does not purport to be an indicator of the company’s financial performance, and might not be consistent with measures used by other companies. The company’s management believes this supplemental measure is useful in understanding underlying trends of the business and analyzing the effects of certain events that are infrequent or unusual for the company.