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DIBRELL BROTHERS REPORTS RESULTS

 DIBRELL BROTHERS REPORTS RESULTS
 DANVILLE, Va., Feb. 10 /PRNewswire/ -- Dibrell Brothers,


Incorporated (NASDAQ-NMS: DBRL) today reported significantly increased net income for its quarter and six-month period ended Dec. 31, 1991. For the quarter, Dibrell reported a 20.4 percent increase in net income to $7,173,129 or $.54 per share ($.49 fully-diluted) from $5,957,848 or $.45 per share in last year's second quarter. For the six-month period, net income increased by 33.9 percent to $13,379,085 or $1.01 per share ($.92 fully-diluted) from $9,990,169 or $.76 per share in last year's six-month period.
 For the second quarter net sales declined by less than 1 percent to $299.9 million from $301.6 million, while for the six-month period net sales increased by 12.1 percent to $519.1 million from $463.3 million in the same period last year.
 Net sales by Dibrell's tobacco operations decreased by 4.9 percent to $194.9 million in this year's December quarter even though the volume of tobacco sold increased slightly. A significantly higher percentage of lower priced foreign tobacco was delivered in this year's second quarter versus last year. For the six-month period, net sales by tobacco operations increased 14.8 percent to $353.0 million.
 Net sales by Dibrell's flower operations increased by 8.6 percent to $105.0 million for the second quarter and by 6.6 percent to $166.2 million for the six-month period.
 Operating income for the Company increased by 9.4 percent during the second quarter and 32.4 percent for the six-month period as higher gross profits from tobacco operations offset both lower profits from lower operations and higher sales, administrative and general expenses.
 Claude B. Owen, Jr., Dibrell's Chairman and Chief Executive Officer, said that Dibrell's highly profitable international tobacco business continues to drive the Company's growth in earnings. The volume of foreign tobacco sold increased from approximately one-third of total shipments in last year's second quarter to over one-half of shipments in this year's December quarter. While this shift in the mix of sales to a higher proportion of lower priced foreign tobacco caused sales in dollar terms to decline, the effect on profitability of increased sales of foreign tobacco was highly positive.
 Delayed shipments of U.S. flue-cured tobacco and lower purchases and shipments of U.S. burley tobacco caused sales by Dibrell's U.S. operations to decline in the second quarter which is a trend that is not expected to be reversed during the remainder of fiscal year 1992.
 Sales of flowers accounted for 35.0 percent of Dibrell's total sales and 24.3 percent of operating profits for the December quarter. While flower sales for the quarter were up 8.6 percent in U.S. dollar terms, actual sales in local European currencies were somewhat higher. The stronger U.S. dollar exchange rates in effect during the period resulted in European flower sales being translated into lower dollar values than during last year's comparable period. Owen noted that increased competition in certain emerging markets in Germany and elsewhere in Europe had caused Dibrell to defend its market share by reducing profit margins. Owen said that this short-term strategy was necessary to ensure the continued growth of Dibrell's European flower business and was expected to have long-term benefits through sustained higher sales volumes.
 Dibrell is engaged in two international businesses. The major business involves purchasing, processing and selling leaf tobacco worldwide. The other business involves the wholesale purchasing and selling of fresh cut flowers in Europe, North America and Japan. As both of the Company's lines of business are seasonal, the results of a single quarter are not necessarily indicative of the results to be expected for the full year.
 -0- 2/10/92
 /CONTACT: John Hunnicutt, Dibrell Brothers, Incorporated, 804-791-0151/
 (DBRL) CO: Dibrell Brothers, Incorporated ST: Virginia IN: TOB SU: ERN


DF -- CH007 -- 8470 02/10/92 16:44 EST
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Publication:PR Newswire
Date:Feb 10, 1992
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