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REYNOLDS METALS REPORTS THIRD QUARTER RESULTS

 RICHMOND, Va., Oct. 14 /PRNewswire/ -- Reynolds Metals Company (NYSE: RLM) today reported a third quarter net loss of $28 million, or 47 cents per share, which includes an after-tax charge of $8.0 million, or 13 cents per share, to cover the costs of the company's previously announced curtailment of primary aluminum production. This compares with net income of $12.7 million, or 21 cents per share, in the third quarter of 1992.
 Revenues were $1.34 billion, compared with $1.48 billion in the 1992 third quarter. Shipments of aluminum products were 386,100 metric tons, compared with 388,300 metric tons in 1992.
 For the first nine months of the year, Reynolds reported a net loss of $83.5 million, or $1.40 per share, compared with net income of $42.9 million, or 72 cents per share in 1992. After including the cumulative effects of accounting changes, Reynolds 1992 nine-month results were a net loss of $596.7 million, or $10.01 per share.
 Nine-month revenues were $3.94 billion, compared with $4.30 billion in 1992. Aluminum shipments were 1,124,700 metric tons, compared with 1,115,400 metric tons in 1992.
 "Reynolds results continue to be adversely affected by the lowest aluminum prices, on an inflation-adjusted basis, in the history of the industry, and the ongoing recession in Europe and Japan," said Richard G. Holder, chairman and chief executive officer.
 "The grim pricing situation is the result of a severe global aluminum supply-demand imbalance caused by continuing CIS exports and depressed worldwide demand growth of 1 to 1-1/2 percent per year.
 "In this economic environment, Reynolds continues to focus on what we can control, such as reducing costs and improving operations. We expect to exceed our 1993 performance improvement goal of $250 million, pretax, on an annualized basis and have set a similar target of an additional $200 million by the end of 1994," said Holder.
 A tabulation of the company's results follows:
 REYNOLDS METALS CORPORATION
 Statement of Consolidated Income
 (In millions, except per share amounts)
 (Unaudited)
 Quarter ended Six months ended
 Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Net sales $1,336.2 $1,472.9 $3,922.9 $4,246.9
 Equity, interest
 and other income 6.4 5.2 18.1 20.1
 Gain on sale
 of investment -- -- -- 36.1
 Total Revenues 1,342.6 1,478.1 3,941.0 4,303.1
 Cost of products sold 1,190.4 1,259.5 3,472.7 3,604.6
 Selling/administrative/
 general expenses 86.4 92.7 265.6 274.4
 Depreciation and
 amortization 71.0 71.5 213.8 213.0
 Interest expense 39.7 43.0 120.6 126.0
 Provision for estimated
 environmental costs -- -- -- 10.0
 Operational restructuring
 and asset revaluation
 costs -- -- -- 21.0
 Total Costs and
 Expenses 1,387.5 1,466.7 4,072.7 4,249.0
 Income (loss) before
 income taxes and
 cumulative effects of
 accounting changes (44.9) 11.4 (131.7) 54.1
 Taxes on income (credit) (16.9) (1.3) (48.2) 11.2
 Income (loss) before
 cumulative effects of
 accounting changes (28.0) 12.7 (83.5) 42.9
 Cumulative effects of
 accounting changes -- -- -- (639.6)
 Net Income (Loss) $(28.0) $12.7 $(83.5) $(596.7)
 Earnings (Loss)
 Per Common Share
 Average shares
 outstanding 59.8 59.7 59.8 59.6
 Income (loss) before
 cumulative effects of
 accounting changes $(0.47) $0.21 $(1.40) $0.72
 Cumulative effects of
 accounting changes -- -- -- $(10.73)
 Net income (loss) $(0.47) $0.21 $(1.40) $(10.01)
 Cash dividends per
 common share $0.25 $0.45 $0.95 $1.35
 NOTE: Third quarter 1993 results include an after-tax charge of $8.0 million (13 cents per share) to cover the costs of the temporary curtailment of 88,000 metric tons of primary aluminum capacity.
 REYNOLDS METALS COMPANY
 Condensed Consolidated Balance Sheet
 (In millions)
 (Unaudited)
 Sept. 30, Dec. 31,
 1993 1992
 ASSETS
 Current assets
 Cash and short-term investments $ 85.5 $ 80.4
 Receivables - net 778.5 797.6
 Inventories 801.7 818.1
 Prepaid expenses 76.3 60.7
 Total current assets 1,742.0 1,756.8
 Unincorporated joint ventures
 and associated companies 821.6 849.8
 Property, plant and equipment 968.4 5,902.3
 Less allowances for depreciation
 and amortization 2,837.1 2,692.1
 Total 3,131.3 3,210.2
 Deferred taxes and other assets 1,137.4 1,080.2
 Total assets $6,832.3 $6,897.0
 LIABILITIES AND STOCKHOLDERS' EQUITY
 Current liabilities
 Accounts payable, accrued and
 other liabilities $ 880.7 $ 824.3
 Short-term obligations 160.2 191.2
 Long-term debt 61.6 169.8
 Total current liabilities 1,102.5 1,185.3
 Long-term debt 1,980.2 1,797.7
 Postretirement benefits 1,230.0 1,196.5
 Environmental, deferred taxes
 and other liabilities 642.0 657.5
 Stockholders' equity
 Common stock 754.5 750.2
 Retained earnings 1,207.4 1,347.8
 Cumulative currency translation
 adjustments (48.0) (1.7)
 Pension liability adjustment (36.3) (36.3)
 Total stockholders' equity 1,877.6 2,060.0
 Total liabilities and
 stockholders' equity $6,832.3 $6,897.0
 REYNOLDS METALS COMPANY
 Shipments and Net Sales
 (Ton in thousands, dollars in millions)
 3rd Quarter
 1993 1992
 Metric Metric
 Tons Amounts Tons Amounts
 Production and processing
 Primary aluminum 88.4 $109.4 75.7 $102.9
 Flat rolled 112.2 255.1 113.4 295.3
 Extruded & drawn 47.8 134.7 50.1 192.5
 Other aluminum 38.5 86.6 50.3 110.4
 Other nonaluminum -- 69.0 -- 74.7
 Gold -- 34.6 -- 26.0
 Total 286.9 689.4 289.5 801.8
 Finished products and
 other sales
 Packaging & containers:
 Aluminum 66.2 315.4 69.1 353.3
 Nonaluminum -- 130.5 -- 130.0
 Other aluminum 33.0 95.8 29.7 92.1
 Other nonaluminum -- 105.1 -- 95.7
 Total 99.2 646.8 98.8 671.1
 Net sales 386.1 $1,336.2 388.3 $1,472.9
 Revenues per pound
 Primary aluminum -- $0.56 -- $0.62
 Fabricated aluminum
 products -- $1.43 -- $1.64
 REYNOLDS PRINCIPAL MARKETS
 3Q 93 3Q 92
 Packaging & Containers 44 pct. 44 pct.
 Distributors and Fabricators 13 pct. 15 pct.
 Architectural, Building and
 Construction 13 pct. 13 pct.
 Transportation, Aircraft and
 Automotive 11 pct. 10 pct.
 Electrical 3 pct. 5 pct.
 Other 16 pct. 13 pct.
 Total 100 pct. 100 pct.
 REYNOLDS METALS COMPANY
 Shipments and Net Sales
 (Ton in thousands, dollars in millions)
 Nine Months
 1993 1992
 Metric Metric
 Tons Amounts Tons Amounts
 Production and processing
 Primary aluminum 232.6 $288.6 202.0 $271.9
 Flat rolled 344.4 813.5 342.5 893.4
 Extruded & drawn 137.5 398.1 146.8 548.8
 Other aluminum 126.9 274.5 136.9 309.2
 Other nonaluminum -- 212.0 -- 209.9
 Gold -- 92.5 -- 76.0
 Total 841.4 2,079.2 828.2 2,309.2
 Finished products and
 other sales
 Packaging & containers:
 Aluminum 190.5 910.2 203.6 1,031.1
 Nonaluminum -- 365.4 -- 380.6
 Other aluminum 92.8 270.7 83.6 257.2
 Other nonaluminum -- 297.4 -- 268.8
 Total 283.3 1,843.7 287.2 1,937.7
 Net sales 1,124.7 $3,922.9 1,115.4 $4,246.9
 Revenues per pound
 Primary aluminum -- $0.56 -- $0.61
 Fabricated aluminum -- $1.45 -- $1.62
 products
 -0- 10/14/93
 /CONTACT: Drew Lybrook of Reynolds Metals, 804-281-2965, or home, 804-360-5736/
 (RLM)


CO: Reynolds Metals Company ST: Virginia IN: MNG SU: ERN

MH-DC -- DC030 -- 2272 10/14/93 13:11 EDT
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Date:Oct 14, 1993
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