KEENE REPORTS LOWER SALES AND EARNINGS IN 1991
KEENE REPORTS LOWER SALES AND EARNINGS IN 1991 NEW YORK, Jan. 21 /PRNewswire/ -- Keene Corporation (NASDAQ: KEEN)
announced today that, as anticipated and previously reported, sales and earnings declined in 1991 primarily from a decline in defense-related orders for heat-absorbing composites at Keen's Reinhold Industries, Inc. subsidiary. Reinhold is a leading manufacturer of heat-absorbing composite materials, structural composite components and sheet molding compounds for a variety of aerospace, defense and commercial applications.
Sales for the full year declined 58 percent to $9,620,000 and net income declined 63 percent to $2,277,000 or 22 cents per share. Fourth quarter sales declined 63 percent to $1,837,000. Net income declined 61 percent to $446,000, or 4 cents per share, compared with $1,142,000, or 11 cents per share, in the 1990 fourth quarter. During the fourth quarter and for the full year, the average effective yield on Keene's portfolio of investments was 7.19 percent and 7.38 percent, respectively. Reinhold anticipates continued low order input from its defense- related markets and has approximately reduced headcount and taken other cost reduction actions. At the same time, it has continued to develop metals-replacement products for new commercial applications to reduce its dependence on the defense sector. Asbestos Litigation Keene has maintained its commitment to its Asbestos Compensation Program, making settlements only on meritorious cases in amounts based upon specific disease ailments and geographic locations. In the fourth quarter, Keene incurred $17.7 million for indemnities and defense legal fees. According to Keene Chairman Glenn W. Bailey, this reflects increased acceptance of the Asbestos Compensation Program and brings Keene's asbestos-related costs for 1991 to $52.3 million. This is a significant reduction compared with asbestos-related costs of $65.2 million for 1990 and $74.0 million for 1989. KEENE CORPORATION (Statements of Sales and Earnings) (In 000's except per share data) Period ended Three months Twelve months Dec. 31 1991 1990 1991 1990 Net sales $1,837 $4,995 $9,620 $22,786 Net income 446 1,142 2,277 6,193 EPS $.04 $.11 $.22 $.59 Shares outstanding 10,442 10,442 10,442 10,448 -0- 1/21/92 /CONTACT: Frances O'Brien of Keene, 212-557-1900/ (KEEN) CO: Keene Corporation ST: New York IN: SU: ERN SM-OS -- NY036 -- 1726 01/21/92 10:37 EST
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|Date:||Jan 21, 1992|
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