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K-TRON EXPECTS THIRD QUARTER LOSS

 CHERRY HILL, N.J., Oct. 15 /PRNewswire/ -- K-Tron International, Inc. (NASDAQ: KTII), citing the recession in Europe, said today that it expects to report a loss for the third quarter resulting primarily from a drop in revenues of over 30 percent in Germany and France.
 The size of the loss has not yet been determined. For the same period last year, net income was $757,000, or 25 cents per share, including a foreign exchange gain.
 K-Tron has undertaken major cost saving and reorganization initiatives, including the sale of its Spanish subsidiary to local management, sale of a building and outsourcing of metalwork in Germany and consolidation of certain operations in Germany, France, Switzerland and Singapore. These and other actions which have been taken will reduce worldwide employment and annual fixed costs by approximately 15 percent.
 According to Marcel O. Rohr, president and chief executive officer, the company has implemented these initiatives without compromising either R&D efforts or previously announced growth strategies.
 Rohr added, "As a result of the 1992 acquisition of the German company Colortronic GmbH, we currently do about one-third of our business in Germany and France, so the recession there has had a severe impact on our results. While we have responded with strong actions to reduce costs, the full effect of many of our programs will not be seen for several months."
 Rohr continued, "We expect the fourth quarter and the year overall to be down from last year. Nevertheless, our cash flow is good and the steps we have taken to cut costs and focus our operations should result in a return to profitability next year."
 K-Tron International, Inc., through its subsidiaries, is a major producer of gravimetric and volumetric feeders, blenders and related process control and material handling equipment, with facilities and customers throughout the world.
 /delval/
 -0- 10/15/93
 /CONTACT: Ronald G. Larson, senior vp, CFO and treasurer, of K-Tron International, 609-661-6240/
 (KTII)


CO: K-Tron International ST: New Jersey IN: SU: ERP

MK-LJ -- PH001 -- 2624 10/15/93 09:41 EDT
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Publication:PR Newswire
Date:Oct 15, 1993
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