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NEW ACCOUNTING RULES MAGNIFY SELAS LOSS IN 1992

 DRESHER, Pa., Feb. 12 /PRNewswire/ -- Selas Corporation of America (AMEX: SLS) reported a loss from continuing operations in 1992 of $1,367,000 or $.43 per share on consolidated net sales of $27,566,000, but said this was magnified by new accounting rules that caused an additional $3,566,000 charge, bringing the net loss for the year to $4,933,000 or $1.56 per share.
 This compares to net income in 1991 of $4,444,000 or $1.41 per share on consolidated net sales of $40,316,000. The 1991 figures include a one-time, after-tax gain of $2,010,000 or $.64 per share for the early buy-out of the occupancy lease of the company's French subsidiary.
 For the quarter ended Dec. 31, 1992, the company reported a loss of $119,000 or $.04 per share on sales of $7,571,000 compared to net income of $325,000 or $.10 per share on consolidated net sales of $9,973,000 for the fourth quarter of 1991.
 Stephen F. Ryan, president and chief executive officer of Selas, said that the cumulative effect of accounting changes do not involve any immediate cash outlay. They were required to comply with FAS 106, accruing for postretirement benefits, and FAS 109, accounting for income taxes.
 Ryan said that the company's operations in 1992 were adversely affected by the depressed world economy and by the lengthening delays in many large orders. These factors resulted in an approximate 50 percent fall off in sales of the heat processing segment of the company's business.
 "Losses in 1992 came primarily from our engineered systems business, which is mostly in Europe, and from our parts and standard equipment business in Dresher, Deuer Manufacturing, our subsidiary in Dayton, Ohio, that supplies original equipment parts to the automotive industry, continued to perform well and increased its earnings over 1991," Ryan said.
 "We are encouraged by the record backlog of $44.9 million in our heat processing segment at year end, compared to $6 million in the prior year," he said. "Order delays are easing and that, along with our backlog, makes us optimistic about our prospects in 1993."
 Selas Corporation is an international design, development, engineering and manufacturing company.
 SELAS CORPORATION OF AMERICA
 Comparative Operating Results
 (Audited)
 Three months ended Dec. 31 1992 1991
 Net sales $7,571,000 $ 9,973,000
 Income (loss) before income taxes
 and cumulative effect of changes
 in accounting principles (306,000) 387,000
 Provision for income taxes
 (benefit) (187,000) 62,000
 Income (loss) before cumulative
 effect of changes in accounting
 principles (119,000) 325,000
 Cumulative effect at Jan. 1, 1992
 of changes in accounting principles --- ---
 Net income (loss) (119,000) 325,000
 Earnings (loss) per common and
 common equivalent share:
 Income (loss) before cumulative
 effect of changes in accounting
 principles $ (.04) $.10
 Cumulative effect of changes in
 accounting principles --- ---
 Net income (loss) $ (.04) $.10
 Weighted average common shares
 outstanding 3,159,000 3,159,000
 Twelve months ended Dec. 31 1992 1991
 Net sales $27,566,000 $40,316,000
 Income (loss) before income taxes
 and cumulative effect of changes
 in accounting principles (1,765,000) 6,025,000
 Provision for income taxes
 (benefit) (398,000) 1,581,000
 Income (loss) before cumulative
 effect of changes in accounting
 principles (1,367,000) 4,444,000
 Cumulative effect at Jan. 1, 1992
 of changes in accounting
 principles (3,566,000) ---
 Net income (loss) (4,933,000) 4,444,000
 Earnings (loss) per common and
 common equivalent share:
 Income (loss) before cumulative
 effect of changes in accounting
 principles $(.43) $1.41
 Cumulative effect of changes in
 accounting principles (1.13) ---
 Net income (loss) $(1.56) $1.41
 Weighted average common shares
 outstanding 3,159,000 3,158,000
 Note: Included in net (loss) for the 12 months ended Dec. 31, 1992 is the cumulative effect on prior periods of accounting changes for postretirement benefits of $3,255,000 and income and income taxes of $311,000.
 Included in net income for the 12 months ended Dec. 31, 1991 is a net of tax gain of $2,010,000 for the early buy out of the occupancy lease of the firm's French subsidiary.
 /delval/
 -0- 2/12/93
 /CONTACT: R.W. Ross of Selas, 215-283-8253/
 (SLS)


CO: Selas Corporation of America ST: Pennsylvania IN: SU: ERN

MP-JS -- PH022 -- 6261 02/12/93 15:53 EST
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Date:Feb 12, 1993
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