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TBC will reveal its restated financial statements Aug. 15

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TBC Corp. says it will release results for the second quarter -- and its restated historical financial statements -- after the close of the market on Monday, Aug. 15, 2005.

The company's second quarter 2005 earnings conference call, which will be held Tuesday, Aug. 16, at 9 a.m. Eastern time, will be Webcast on the company's Web site at http://www.tbccorp.com/.

The Webcast will be archived on the company's Web site until September 14, 2005. A telephonic replay of the conference call also will be available through Aug. 23, 2005, by calling (973) 341-3080, passcode 4697433.

TBC has finalized the impact of the restatement of its historical financial statements due to an error in lease accounting as announced in its press release on July 25, 2005. The company will restate its financial statements beginning with the 2002 fiscal year though the first quarter of fiscal 2005.

The effect on TBC's fiscal 2002 opening retained earnings includes the cumulative effect for the periods 2000 and 2001. The restated financial statements will include the application of SFAS 143, "Accounting for Asset Retirement Obligations," as clarified by FASB Interpretation No. 47, "Accounting for Conditional Asset Retirement Obligations" as the company has determined that certain leases require that the premises be returned to its original condition upon lease termination.

(FIN 47 is effective no later than the end of calendar years ending after December 31, 2005, but early adoption is encouraged.)

The cumulative effect of the restatement from fiscal 2000 through the end of the first quarter 2005 is a reduction of retained earnings of $2.5 million. SG&A expense for fiscal years ended 2002, 2003 and 2004 increased by approximately $0.5 million, $1.4 million and $0.6 million, respectively.

The restatement will decrease diluted earnings per share by approximately $0.01, $0.05 and $0.02 for the fiscal years ended 2002, 2003 and 2004, respectively. For the first quarter of 2005, SG&A expenses increased by approximately $0.2 million and earnings per diluted share decreased by $0.01.

TBC will report earnings in line with its previously announced guidance for the second quarter of 2005.

The restated financial statements will be reflected in the fiscal 2004 10-K as amended by Form 10-K/A and in the first quarter 2005 10-Q as amended by Form 10-Q/A. Both amended filings will be filed as soon as possible but no later than August 31, 2005.

Further information regarding this restatement can be found in the second quarter 2005 Form 10-Q that will be filed with the SEC on Aug. 15, 2005.

TBC's stock was selling for $27.64 a share at the close of NASDAQ on Friday, Aug. 12. That compares to a 52-week high of $30.44 and low of $18.80.

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