Record Year in 2011; Revenues up 16.2% in Q4 and 13.8% in FY11; Net Income (Non-GAAP) up 13.5% in Q4 and 13.9% in FY11; Expects Double-Digit Revenue Growth and Increased Profitability in 2012

RA’ANANA, Israel, Feb. 29, 2012 (CRWENEWSWIRE) — Retalix(R) Ltd. (Nasdaq:RTLX), a leading global provider of software and services to high volume, high complexity retailers, today announced results for the fourth quarter and year ended December 31, 2011.

Summarized financial highlights for the fourth quarter and twelve-month period ended December 31, 2011:

* Total Revenues for the full year were a record $236.0 million compared to $207.4 million in 2010. Total revenues for the fourth quarter of 2011 were a Company record $62.5 million compared to $53.8 million in the fourth quarter of 2010.
* Adjusted Income from Operations (Non-GAAP)* for the full year was $20.3 million compared to $19.8 million in 2010. In the fourth quarter of 2011 adjusted income from operations (non-GAAP) was $5.0 million compared to $4.5 million in the fourth quarter of 2010.
* Income from Operations (GAAP) for the full year was $13.2 million compared to $12.4 million in 2010. In the fourth quarter of 2011 income from operations (GAAP) was $3.0 million compared to $2.7 million in the fourth quarter of 2010.
* Financial Income for the full year was $1.8 million compared to $3.5 million in 2010. In the fourth quarter of 2011 financial income was $0.6 million compared to $2.0 million in the fourth quarter of 2010. Included in the 2010 financial income was $0.8 million in the fourth quarter of 2010 and a total of approximately $2 million for the full year 2010 in interest income related to tax refunds.
* Adjusted Net Income (Non-GAAP)* for the full year grew to a record level of $19.4 million, or $0.79 per diluted share, compared to $17.1 million, or $0.70 per diluted share in 2010. In the fourth quarter of 2011 the adjusted net income (non-GAAP) was $4.5 million, or $0.19 per diluted share, compared to $4.0 million, or $0.16 per diluted share, in the fourth quarter of 2010.
* GAAP Net Income for the year was $13.7 million, or $0.55 per diluted share, compared to $10.8 million, or $0.44 per diluted share, in 2010. For the fourth quarter of 2011, GAAP net income was $3.1 million, or $0.13 per diluted share, compared to $2.6 million, or $0.11 per diluted share, in the fourth quarter of 2010.
* Cash Flow from Operating Activities generated for the full year was $20.1 million, of which $1.7 million was generated during the fourth quarter of 2011.
* Balance Sheet remained strong with $135.7 million in cash and cash equivalents, deposits and marketable securities as of December 31, 2011, after the $18.95 million cash used in the acquisition of MTXEPS, and with no debt.

Shuky Sheffer, Chief Executive Officer of Retalix, said, “We had a strong finish to 2011, posting record revenues in the fourth quarter and strong financial results in all our parameters. This completed a strong year for Retalix in which we achieved solid double digit growth through the execution of our strategy, delivered on our promises and made good progress with each of our growth engines. We are winning multiple new customers across our business lines and geographies. The Retalix 10 Store Suite is being recognized as the leading platform for high volume high complexity retailers, and we are growing our service business, and expanding our software-as-a-service offerings including through an acquisition. We identified the market trends and positioned Retalix with the best solutions to address the multi-channel retailing environment and ensure a consistent shopping experience while also enhancing retailers’ operations. All of the achievements in 2011 demonstrate that our strategy is creating strong results for Retalix and highlight that we have successfully positioned the business future growth.”

Hugo Goldman, the Company’s Chief Financial Officer, said, “We continued our good financial performance reporting strong growth and record total revenues and Non-GAAP net income for 2011. Profitability was maintained while we proceeded with our investments in our operations, growth engines and strategic projects for our customers and prospects. We also continued our strong collections and efficient cash management, generating over $20 million in operating cash in 2011, and improved our DSO. Our balance sheet is strong. We have no debt. These strengths will continue to help us to pursue opportunities in the market in 2012.”

Business Highlights for 2011

* Retalix 10 Store Suite is being recognized as the leading platform for retailers and winning major customers, including Target Corporation, which selected Retalix 10 as its next-generation store platform for Target’s new retail operations in Canada.
* In the fourth quarter Retalix had another new Retalix 10 win with a leading Tier 0 retailer.
* Successfully achieving significant customer milestones as demonstrated in the January 2012 press release that announced that Tesco Plc. will commence the deployment of its next generation store platform following a successful initial pilot of the Retalix 10 Store Suite.
* Achieving adjacent markets and international business wins including Walgreens, a leading drug store chain in the United States, Russian grocery chain DIXY and a Chinese grocery chain. During 2011 PetroChina completed a rollout of Retalix’s systems to more than 16,000 convenience store and fuel locations across China.
* Winning a broad range of customers for value-added product-led services and successfully integrating services into Retalix’s offering to grow the Company’s share of wallet with its customers.
* Expanding Software-as-a-Service offerings with the acquisition of MTXEPS and numerous customer wins for Retalix’s connected payments products.
* Continuing to penetrate the regional retail markets with numerous wins in 2011, including Tops Markets, a grocery chain based in New York, Weis Markets, a grocery chain based in Pennsylvania, Family Express, a Valparaiso, Indiana-based convenience store chain, and The Southern Co-Operative, a chain of grocery stores in southern England.
* Adding significant differentiators to Retalix’s offerings, including the recently launched Retalix 10 Mobile Shopper applications and the announcement that the Retalix 10 Store Suite is “cloud ready” with the solutions to meet retailers’ future needs.

Outlook for FY 2012

Sheffer added, “We are excited by the opportunities we see in the market. Our goal for 2012 is to leverage what we have built and take advantage of Retalix’s lead achieved through our unique products and services. To increase our market share we will continue to execute on our strategy of innovative products and product-led services, growing our Software-as-a-Service offerings including connected payments, and expanding in our geographies and adjacent markets. We will also continue to explore the opportunities for non-organic growth through M&A designed to support our strategy.

“For 2012 we expect to continue double digit growth and improve profitability. Today we are announcing guidance of total revenues in the range of $260 to $270 million and 9 to 10 percent profitability from operations for 2012. Our guidance for 2012 is based on organic revenue growth for Retalix’s products and services. As in 2011, we expect to build on our results as the year progresses.”

Conference Call and Webcast Information

Retalix will be holding a conference call to discuss results for the full year and fourth quarter of 2011 on Wednesday, February 29th at 9:00 am Eastern Time (4:00 pm Israel Time). This conference can be accessed by all interested parties through the Company’s web site at http://www.retalix.com/conference-call.cfm, which web site is not part of this press release. For those unable to participate during the live broadcast, a replay will be available shortly after the call on Retalix’s web site.

About Retalix

Retalix is a leading global provider of innovative software and services to high volume, high complexity retailers, including supermarkets, convenience stores, fuel stations, drugstores and department stores. The company’s products and services help its customers to manage and optimize their retail operations, differentiate their brand and build consumer loyalty, while providing retailers with the flexibility and scalability to support ongoing business transformation and growth. Retalix offers solutions for point-of-sale (POS), sales channels and in-store management (including mobile and e-commerce), customer management and marketing, merchandising, and logistics. By leveraging a multitude of deployment options, including Software-As-A-Service (SaaS), Retalix serves a large customer base of approximately 70,000 stores across more than 50 countries worldwide. The Company’s headquarters are located in Ra’anana, Israel, and its North America headquarters are located in Plano, Texas. Retalix stock trades on the NASDAQ and the Tel Aviv Stock Exchange.

For more information, visit http://www.retalix.com, the contents of which are not part of this press release. Follow Retalix on Twitter: @Retalix.

Retalix is a registered trademark of Retalix Ltd. in the United States and in other countries. The names of actual companies, products and services mentioned herein may be the trademarks of their respective owners.

* Note Regarding the Use of Non-GAAP Financial Information

In addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, Retalix uses Non-GAAP measures of operating income, operating margin, net income and earnings per diluted share, which are adjustments from results based on GAAP to exclude non-cash equity based compensation, acquisition related costs and amortization of intangibles related to acquisitions when applicable. Retalix’s management believes the Non-GAAP financial information provided in this release is useful to investors’ understanding and assessment of the Company’s on-going core operations and prospects for the future. The presentation of this Non-GAAP financial information is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. Management also uses both GAAP and Non-GAAP information in evaluating and operating business internally and as such deemed it important to provide this information to investors. Reconciliations between GAAP measures and Non-GAAP measures are contained following the GAAP financial statements in this press release.

Safe Harbor for Forward-Looking Statements:

Except for statements of historical fact, the information presented herein constitutes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other U.S. federal securities laws. For example, the statements regarding our “Outlook for FY 2012″ including our expected financial results, expected demand and opportunities, future expansion of product offerings and services, and future strategic plans, growth and positioning, all involve forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Retalix, including revenues, income and expenses, to be materially different from any future results, performance or achievements or other guidance or outlooks expressed or implied by such forward-looking statements. Such factors include risks relating to Retalix’s anticipated future financial performance and growth, the performance of the US dollar relative to other currencies, continued roll-outs with existing customers, continued interest in Retalix’s new platforms, the perception by leading retailers of Retalix’s reputation, the potential benefits to food and fuel retailers and distributors, expansion into new geographic markets, the availability of acquisition candidates on reasonable terms, and other factors over which Retalix may have little or no control. This list is intended to identify only certain of the principal factors that could cause actual results to differ. Readers are referred to the reports and documents filed by Retalix with the Securities and Exchange Commission, including Retalix’s Annual Report on Form 20-F for the year ended December 31, 2010, for a discussion of these and other important risk factors. Except as required by law, Retalix undertakes no obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events.

Source: Retalix Ltd.

Contact:

Retalix Ltd.
Hugo Goldman
+972-9-776-6677
investors@retalix.com

Supplemental information on investing activities not involving cash flows:

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* Bluegreen Resorts (“Resorts”) system-wide sales of VOIs, including sales made on behalf of third parties, were $91.0 million.
* Total fee-based service revenues (including sales and marketing commissions, resort management services, title and other services) rose 30% to $42.3 million for Q3 2011 from $32.6 million for Q3 2010.
* Income from continuing operations attributable to Bluegreen shareholders rose to $9.7 million, or $0.30 per diluted share, from a loss of $0.6 million, or $0.02 per diluted share, in Q3 2010.
* Q3 2010 included a significant non-cash charge associated with increased reserve for loan losses on VOI notes receivable generated prior to December 15, 2008.
* Net income in Q3 2011 was $7.1 million, or $0.22 per diluted share, which included a loss from discontinued operations of $2.6 million, or $0.08 per diluted share, compared to a net loss in Q3 2010 of $16.7 million, or $0.54 per diluted share, which included a loss from discontinued operations of $16.1 million, or $0.52 per diluted share.
* Cash flow from operating and investing activities (“Free Cash Flow”) of $116.7 million for the nine-months ended September 30, 2011.
* Unrestricted cash and cash equivalents at September 30, 2011 of $70.4 million.

BOCA RATON, FL–(CRWENEWSWIRE)– Bluegreen Corporation (NYSE: BXG), a leading timeshare sales, marketing and resort management company, today announced financial results for the three and nine months ended September 30, 2011.

John M. Maloney Jr., President and Chief Executive Officer of Bluegreen, commented, “We believe that our results from continuing operations for the third quarter of 2011 validate our strategy of utilizing our core product, the points-based Bluegreen Vacation Club, as a platform to support three potential sources of revenue: our traditional timeshare (VOI) business; a growing fee-based services business; and a finance business. During the third quarter, we increased system-wide sales, generated higher income from continuing operations than in the comparable 2010 period, and produced Free Cash Flow of $41.1 million. During Q3 2011, fee-based services contributed 81% of total Resorts operating profit. Additionally, during the nine months ended September 30, 2011 we reduced our debt by more $100 million from December 31, 2010. We believe that our business model continues to move toward our goal of growing our fee-based services business, which has low capital requirements and which generates significant Free Cash Flow.”

Additional operating highlights included:

* In connection with its fee-based services business, Resorts sold $34.0 million of third-party VOI inventory in Q3 2011, generating sales and marketing commissions of approximately $23.5 million and contributing an estimated $6.2 million to Resorts operating profit. This compares to sales of $22.1 million of third-party VOI inventory, which generated sales and marketing commissions of $15.1 million and contributed an estimated $4.7 million to Resorts operating profit in Q3 2010. In Q3 2011, Bluegreen provided sales and marketing services to 7 resorts under fee-based service arrangements, as compared to 5 such arrangements during Q3 2010;
* Total revenues from fee-based services rose 30% to $42.3 million in Q3 2011. As of September 30, 2011, Bluegreen managed 45 timeshare resort properties and hotels compared to 43 as of September 30, 2010;
* Cash received from Resorts sales - either at closing or within 30 days of closing and including down payments received on financed sales - represented 55% of Resorts sales for the first nine months of 2011;
* Debt-to-equity (recourse and non-recourse) declined to 2.32:1 at September 30, 2011 from 2.58:1 at December 31, 2010. Debt-to-equity (recourse only) declined to 1.08:1 at September 30, 2011 from 1.22:1 at December 31, 2010;
* In September 2011, Bluegreen entered into a $30.0 million revolving timeshare receivables hypothecation facility with CapitalSource Bank; and
* In October 2011, Bluegreen amended, restated, and extended by one year its existing timeshare receivables purchase facility with BB&T. The amended revolving facility allows for maximum outstanding borrowings of $50.0 million. As of September 30, 2011, $20.6 million was outstanding under this facility.

Income from continuing operations attributable to Bluegreen shareholders (defined as income from continuing operations less net income attributable to non-controlling interest) rose to $9.7 million, or $0.30 per diluted share, compared to a loss of $0.6 million, or $0.02 per diluted share in Q3 2010. Income from continuing operations for Q3 2010 included a non-cash charge of $24.5 million to increase the reserve for loan losses on VOI notes receivable generated prior to December 15, 2008 (the date Bluegreen implemented credit underwriting standards), partially offset by a related $8.7 million non-cash reduction of cost of sales.

As previously disclosed, Bluegreen’s Board of Directors made a determination during June 2011 to seek to sell Bluegreen Communities or all or substantially all of its assets. As a consequence, Bluegreen Communities is accounted for as a discontinued operation for all periods in the accompanying consolidated financial statements. On October 12, 2011, the Company entered into a Purchase and Sale Agreement (the “Agreement”) with a third-party (the “Buyer”), providing for the sale of substantially all of the assets that comprise Bluegreen Communities for a purchase price of i) $31.5 million in cash, and ii) a cash amount equal to 20% of the net proceeds (as calculated in accordance with the terms of the Agreement) the Buyer receives upon its sale, if any, of two specified parcels of real estate to be purchased by the Buyer under the Agreement. The Buyer has advised Bluegreen that they need to obtain debt and/or equity financing in order to close the transaction, but obtaining such financing is not a Buyer condition of closing. There can be no assurance that the transaction will be consummated on the contemplated terms, including the contemplated time frame, or at all. Additional information regarding this proposed transaction is available in Bluegreen’s filings with the Securities and Exchange Commission.

The loss from discontinued operations, net of income taxes, for Q3 2011 was $2.6 million, or $0.08 per diluted share, compared to a loss of $16.1 million, or $0.52 per diluted share, in Q3 2010. The loss from discontinued operations for Q3 2010 included non-cash pre-tax inventory impairment charges of $20.8 million.

As a result of the above-referenced items, net income for Q3 2011 was $7.1 million, or $0.22 per diluted share, as compared to a net loss of $16.7 million, or $0.54 per diluted share, in Q3 2010.

System-wide sales of VOIs rose to $91.0 million in Q3 2011 from $89.5 million in Q3 2010, the result of a higher number of sales transactions, partially offset by a decline in average sales price per transaction. Total VOI sales transactions rose to 7,662 in Q3 2011 from 7,361 in Q3 2010, with a deliberate decrease in Bluegreen VOIs sales transactions (traditional timeshare business) offset by an increase in the number of sales made on behalf of third parties (fee-based services business). Total prospect tours in Q3 2011 rose to 48,773 from 47,750 in Q3 2010, with new prospect tours increasing to 29,125 in Q3 2011 from 28,463 in Q3 2010. Total sale-to-tour conversion ratio in Q3 2011 rose to 15.7% from 15.4% in Q3 2010, and the new prospect sale-to-tour conversion ratio was 11.1% in Q3 2011 compared to 10.1% in Q3 2010. Average sales price per transaction declined to $11,851 for Q3 2011 from $12,240 for Q3 2010.

Charges for estimated uncollectible VOI notes receivable decreased by 68% in Q3 2011 from Q3 2010. The Company updates its estimates of uncollectible VOI notes receivable each quarter, and consequently, the charge against sales in a particular quarter for such uncollectibles may be impacted, favorably or unfavorably, by a change in expected losses on prior periods’ financed sales. In Q3 2010 and, to a lesser extent, in Q3 2011, we increased our allowance for loan losses for loans generated prior to December 15, 2008, the date on which we implemented our FICO score-based credit standards.

As a percentage of system-wide sales of VOIs, net, selling and marketing expenses rose to 45% in Q3 2011 from 42% in Q3 2010, due to the fluctuations in the mix of marketing programs, including a reduced proportion of sales to existing owners, which carry a relatively lower marketing cost, and changes in sales deferred under timeshare accounting rules. Selling and marketing expenses during the nine months ended September 30, 2011 were consistent with such expenses for the nine months ended September 30, 2010, at 46% of system-wide sales in both periods.

Operating profit from the fee-based services business rose to $14.5 million in Q3 2011 from $12.9 million in Q3 2010, reflecting an increase in sales of third-party inventory.

Operating profit at Resorts rose to $17.9 million, or 20% of system-wide sales of VOI’s, net, for Q3 2011 from $1.6 million, or 2% of system-wide sales of VOI’s, net, for Q3 2010. Resorts operating profit for Q3 2010 included the previously discussed non-cash charge to increase the reserve for loan losses on VOI notes receivable generated prior to December 15, 2008, partially offset by the related non-cash reduction of cost of sales.

INTEREST INCOME AND INTEREST EXPENSE

Net interest spread is the excess of interest income primarily earned on $635.9 million of VOI notes receivable held as of September 30, 2011, net of interest expense incurred on $497.0 million of receivable-backed debt and $214.8 million of other debt as of September 30, 2011. Pre-tax income from net interest spread in Q3 2011 was $10.3 million as compared to $11.3 million in Q3 2010, due to the continued decrease in Bluegreen’s VOI notes receivable portfolio, reflecting continuing efforts to increase the amount of sales that are realized in cash, and growth in sales on behalf of fee-based services clients, as such sales typically do not result in a Bluegreen note receivable.

DEFINITIVE MERGER AGREEMENT WITH BFC FINANCIAL CORPORATION

As Bluegreen announced today, it has entered into a definitive merger agreement with BFC Financial Corporation (“BFC”) (Pink Sheets:BFCF.PK) which provides for a merger that will, subject to the terms and conditions of the agreement, result in Bluegreen becoming a wholly-owned subsidiary of BFC.

ABOUT BLUEGREEN CORPORATION

Founded in 1966 and headquartered in Boca Raton, FL, Bluegreen Corporation is a leading timeshare sales, marketing and resort management company. Bluegreen Resorts manages, markets and sells the Bluegreen Vacation Club, a flexible, points-based, deeded vacation ownership plan with more than 160,000 owners, over 59 owned or managed resorts, and access to more than 4,000 resorts worldwide. Bluegreen also offers a portfolio of comprehensive, turnkey, fee-based service resort management, financial services, and sales and marketing on behalf of third parties. For more information, visit www.bluegreencorp.com.

Statements in this release may constitute forward looking statements and are made pursuant to the Safe Harbor Provision of the Private Securities Litigation Reform Act of 1995. Forward looking statements are based largely on expectations and are subject to a number of risks and uncertainties including, but not limited to, the risks and uncertainties associated with economic, credit market, competitive and other factors affecting the Company and its operations, markets, products and services; risks relating to the merger with BFC, including the potential benefits of the merger and the risk that the merger may not be consummated in accordance with the contemplated terms, including in the contemplated timeframe, or at all; the general risks associated with strategic transactions, including the Company’s decision to sell Bluegreen Communities; additional impairment charges may be required with respect to the assets of Bluegreen Communities; the agreement to sell Bluegreen Communities may not be consummated on the terms of the agreement or at all; the sale of Communities may not result in anticipated improvements in our operating results and financial condition; the Company’s efforts to improve its liquidity through cash sales and larger down payments on financed sales may not be successful; the performance of the Company’s vacation ownership notes receivable may deteriorate, and the FICO® score-based credit underwriting standards may not have the expected effects on the performance of the receivables; the Company may not be in a position to draw down on its existing credit lines or may be unable to renew, extend, or replace such lines of credit; the Company may require new credit lines to provide liquidity for its operations, including facilities to sell or finance its notes receivable; the Company may not be able to successfully securitize additional timeshare loans and/or obtain adequate receivable credit facilities in the future; risks relating to pending or future litigation, regulatory proceedings, claims and assessments; sales and marketing strategies may not be successful; marketing costs may increase and not result in increased sales; sales to existing owners may not continue at current levels or decrease; fee-based service initiatives may not be successful and may not grow or generate profits as anticipated; deferred sales may not be recognized to the extent or at the time anticipated; and the risks and other factors detailed in the Company’s SEC filings, including those contained in the “Risk Factors” sections of such filings.

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Disclaimer: Never invest in any stock featured on our site or emails unless you can afford to lose your entire investment. CRWENewswire.com publisher and its affiliates and contractors are not registered investment advisers or broker/dealers. Our disclaimer is to be read and fully understood before using our site, reading our newsletter or joining our email list. Release of Liability: Through use of this website viewing or using, you agree to hold CRWENewswire.com report and Crown Equity Holdings Inc. CRWE, its operators, shareholders, employees and/or contractors harmless and to completely release them from any and all liability due to any and all loss (monetary or otherwise), damages (monetary or otherwise) that you may occur. (Read more at http://crwenewswire.com/disclaimer). Rule 17B requires disclosure of payment for investor relations. Crown Equity Holdings Inc. (CRWE.OB) is a media-advertisement and newswire company. Crown Equity Holdings Inc. (CRWE.OB), in some cases, provides media advertising and public awareness for both public and private companies, as well as disseminating news. As such, in some cases, when Crown Equity Holdings Inc. (CRWE.OB) advertises for a particular client, Crown Equity Holdings Inc. (CRWE.OB) charges an advertising fee which it must disclose under 17B. The fee may be in cash, in free trading stock or in restricted stock. Crown Equity Holdings Inc. (CRWE.OB), if paid in stock, can and may sell those securities during the advertising period.