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R.G. BARRY POSTS RECORD FOURTH QUARTER DESPITE LOSS FOR 1991

 R.G. BARRY POSTS RECORD FOURTH QUARTER DESPITE LOSS FOR 1991
 PICKERINGTON, Ohio, Feb. 18 /PRNewswire/ -- Gordon Zacks, chairman and president, R.G. Barry Corporation (AMEX: RGB) said today that the fourth quarter of 1991 was a record quarter for the company in both pretax and after tax earnings. "Clearly the turnaround quarter for the company and a key indicator that prior restructuring actions were correct and are yielding significant cost and expense reductions," said Zacks.
 "1991 was a year of both achievement and major disappointment for the company," said Zacks. "We will report a loss for the year due to losses generated in the first nine months as a result of previously reported problems at our Laredo, Texas plant.
 "The loss was a direct result of unanticipated costs due to problems with the consolidation of cutting and lamination operations from Goldsboro, N.C., San Angelo, Texas, and a small facility in Laredo, Texas to a new 165,000 square foot facility in Laredo. The problems have been corrected and the plant is now operating at the level required to provide an on-time flow of quality materials to our assembly plants at the expected cost," said Zacks.
 "Historically our first half results are weak due to the seasonal nature of our business and we report a loss. We had excellent sales and shipments in January and the actual loss for the month was less than planned and less than last year," said Zacks.
 In the fourth quarter ended Dec. 28, 1991 the company had sales of $57,321,000, and net income of $5,078,000 or $1.33 a share against sales of $61,023,000, and net income of $315,000, or 9 cents a share after a pretax restructuring charge of $4.2 million in 1990 fourth quarter. The company's pretax income was $8.9 million in the quarter compared to pretax income of $5.8 million, before a restructuring charge of $4.4 million, in the same quarter a year earlier.
 For the year sales were $102,791,000, and a net loss of $1,264,000, or 33 cents a share. In 1990 the company posted a net loss of $7 million or $1.89 a share after a pretax restructuring charge of $5.1 million.
 In early 1991, the company launched a major restructuring deemed essential for competing in a global economy. The strategies were successfully implemented with the exception of the Laredo consolidation.
 Major actions were the closing of a manufacturing plant inGoldsboro, N.C. in April 1991 transferring production to lower cost plants in Mexico and China, and transfer of boxed-giftable product warehousing and distribution from Goldsboro to San Angelo, Texas to take advantage of lower freight cost as a result of closeness to Mexico manufacturing plants.
 In addition inventory investment was reduced sharply at year-end from $18.5 million in 1990 to $14.4 million in 1991; an integrated database system will replace customized computer systems using lower cost prepackaged software systems; the sales force was reorganized in response to increased consolidations in the retail industry; and the administrative support staff was reduced.
 R.G. Barry Corporation is the world's largest manufacturer and marketer of soft washable slippers and footwear for at and aroung the home for men, women and children. Brand lines include Dearfoams(R), Madye's(R), Snug Treds(R) and slipper products under the licensed Capezio(R) and Cannon(R) names.
 R.G. BARRY CORPORATION CONSOLIDATED QUARTERLY REPORT
 4th Quarter and Year 1991 & 1990
 (In thousands, except Earnings Per Share)
 4th Quarter Year
 14 Weeks 14 Weeks Year Ended Year Ended
 12/28/91 12/29/90 12/28/91 12/29/90
 Net Sales $57,321 $61,023 $102,791 $108,929
 Net Earnings (Loss)
 Before Income Taxes 8,943 1,396 (1,288) (10,514)
 Income Taxes
 (Benefit) 3,865 1,081 (24) (3,470)
 Net Earnings (Loss) 5,078 315 (1,264) (7,044)
 Earnings (Loss)
 Per Share $ 1.33 $ 0.09 $ (0.33) $ (1.89)
 Average Number of
 Shares Outstanding --- --- 3,824 3,726
 -0- 2/18/92
 /CONTACT: Dennis Drummond, vice president, communications (media) or Richard Burrell, senior vice president, finance (financial), both of the R.G. Barry Corporation, 614-864-6400/
 (RGB) CO: R.G. Barry Corporation ST: Ohio IN: REA SU: ERN


DA -- CL011 -- 9932 02/18/92 12:16 EST
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Date:Feb 18, 1992
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