PARK-OHIO ANNOUNCES 1991 RESULTS
PARK-OHIO ANNOUNCES 1991 RESULTS CLEVELAND, Feb. 25 /PRNewswire/ -- Park-Ohio Industries, Inc.
(NASDAQ: PKOH) today reported 1991 net sales of $115,497,000 and a net loss of $10,217,000, or $1.83 per share.
Discontinued operations and other nonrecurring charges accounted for the substantial portion of Park-Ohio's net loss. The company incurred a loss from discontinued operations of $6,216,000, or $1.11 a share, relating to its previously announced decision to leave the metal abrasives business. In addition, the company recorded $3,952,000, or $.71 a share, of business restructuring costs against continuing operations in 1991. Included in this amount was the previously announced charge of $800,000, in connection with the relocation of one of its Bennett Industries Division's plastic container plants. The amount also included a fourth-quarter write-off of $2,582,000 in unproductive assets at its Park Drop Forge Division and $570,000 for the early retirement of certain employees. Last year, Park-Ohio reported net sales of $125,152,000 and a net loss of $1,681,000, or $.31 a share. Included in the 1990 results was a net charge of $2,513,000, or $.45 a share, relating to discontinued operations of the metal abrasives business. Thomas E. McGinty, chairman and chief executive officer of Park-Ohio, said that all of the company's operating units were negatively impacted by the nationwide recession. The Park Drop Forge Division was particularlstic container plant in Valparaiso, Indiana will open later this spring, replacing its current plastic container facility in Peotone, Ill. Park-Ohio is a diversified manufacturer whose operations include plastic and steel containers, forged and machined products, induction heating systems and industrial rubber products. The company's common stock is publicly traded on the national over-the-counter market. Park-Ohio Industries, Inc. and Subsidiaries Consolidated Condensed Statements of Operations (Unaudited) (In Thousands, Except Per Share Data) For the Quarter Ended For the Year Ended December 31 December 31 1991 1990 1991 1990 Net sales $ 25,866 $ 30,728 $115,497 $125,152 Income (loss) from operations before business restructuring costs and discontinued operations (220) 576 (49) 832 Business restructuring costs - Note A (3,152) -0- (3,952) -0- Discontinued operations - Note B -0- (542) (6,216) (2,513) Net income (loss) $ (3,372) $ 34 $(10,217) $ (1,681) Net income (loss) per common share: Income (loss) from operations before business restructuring costs and discontinued operations $ (.04) $ .10 $ (.01) $ .14 Business restructuring costs (.56) -0- (.71) -0- Discontinued operations -0- (.09) (1.11) (.45) $ (.60) $ .01 $ (1.83) $ (.31) Common shares used in the computation 5,605 5,605 5,605 5,604 Note A - Business Restructuring Costs The company has decided to relocate its plastic container manufacturing operation in Peotone, Ill. and build a replacement facility in Valparaiso, Ind. The company estimates that it will incur approximately $800,000 in costs related to the relocation, primarily related to the write-off of the net book value of assets disposed, moving expenses and severance costs. In addition, in the fourth quarter of 1991, the company wrote- off unused facilities and idle equipment of $2,582,000 in its forged and machined products segment and provided for the early retirement of certain employees of $570,000. Note B - Discontinued Operations Effective July 1, 1991, the company decided to discontinue the operations of its Metal Abrasives business. As a result, a charge of $6,216,000 has been recorded for the year ended Dec. 31, 1991. -0- 2/25/92 /CONTACT: Harold A. Madorsky of Park-Ohio Industries, Inc., 216-991-9700; or William L. Dupuy of Edward Howard & Co., 216-781- 2400, for Park-Ohio Industries, Inc./ (PKOH) CO: Park-Ohio Industries, Inc. ST: Ohio IN: MAC SU: ERN
LC -- CL011 -- 2366 02/25/92 12:53 EST
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|Date:||Feb 25, 1992|
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