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RTI Announces Record Results for 2006.


NILES, Ohio Niles is a city in Trumbull County, Ohio, United States. Located in the nation's former industrial belt, the city's economy focused initially on iron manufacturing but later diversified to include steel and glass production.  -- RTI International RTI International was established in 1958 as Research Triangle Institute, the founding tenant of North Carolina’s Research Triangle Park. RTI was founded as part of a larger effort to harness the intellectual capital of the area’s three major universities— North  Metals, Inc., (NYSE NYSE

See: New York Stock Exchange
:RTI RTI - Return from interrupt ) released results today for the fourth quarter and year of 2006.

RTI reported net income for the year of $75.7 million, or $3.34 per share, on sales of $505.4 million. Both income and sales were the highest ever achieved by the Company. By comparison, results for the year 2005 were net income of $38.9 million, or $1.75 per share, on sales of $346.9 million.

The fourth quarter of 2006 also set new records for the Company, generating net income of $26.8 million, or $1.18 per share, on sales of $143.8 million. The same period in 2005 resulted in net income of $11.3 million, or $0.50 per share, on sales of $99.9 million.

Mill product shipments for the fourth quarter were 3.9 million pounds at an average realized price of $22.45 per pound versus 3.1 million pounds in the year earlier period at an average realized price of $16.92 per pound. As a result, the Titanium titanium (tītā`nēəm, tĭ–) [from Titan], metallic chemical element; symbol Ti; at. no. 22; at. wt. 47.88; m.p. 1,675°C;; b.p. 3,260°C;; sp. gr. 4.54 at 20°C;; valence +2, +3, or +4.  Group posted operating profit Operating profit (or loss)

Revenue from a firm's regular activities less costs and expenses and before income deductions.


operating profit

See operating income.
 in the fourth quarter of 2006 of $25.2 million on sales of $97.2 million, including intergroup in·ter·group  
adj.
Being or occurring between two or more social groups: intergroup relations; intergroup violence. 
 sales of $46.3 million. Fourth quarter 2005 results were an operating profit of $11.2 million on sales of $66.9 million, including intergroup sales of $29.7 million.

Full year 2006 mill product shipments increased 37% to 15.2 million pounds as compared to 11.1 million in 2005. Average realized prices rose 35% in 2006 to $20.78 per pound versus $15.37 per pound in 2005. Titanium Group operating income Operating Income

The profit realized from a business' own operations.

Notes:
This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit.
 increased to $78.5 million for the year on sales of $356.9 million, including intergroup sales of $152.0 million. In 2005, the Group had operating income of $40.8 million on sales of $226.2 million, including intergroup sales of $96.1 million.

The Company's Fabrication fabrication (fab´rikā´shn),
n the construction or making of a restoration.
 & Distribution Group posted an exceptionally good fourth quarter, generating a 16.6% operating margin Operating Margin

A ratio used to measure a company's pricing strategy and operating efficiency.

Calculated by:
 of $15.4 million on sales of $92.9 million. The strong performance was due to greater than expected spot sales of titanium sheet and the completion of several projects at RTI Energy Systems during the quarter. During the same period in 2005, the Group had operating income of $3.4 million on net sales Net Sales

The amount a seller receives from the buyer after costs associated with the sale are deducted.

Notes:
This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight
 of $62.6 million.

For the full year 2006 Fabrication & Distribution generated an operating profit of $36.8 million on net sales of $300.5 million. The Group had operating income of $15.3 million in 2005 on net sales of $216.7 million.

Commenting on the Company's results, Timothy G. Rupert, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , said, "RTI had its best year ever in 2006, and the future continues to look promising. Demand for titanium is strong from all consuming markets, particularly commercial aerospace. Aircraft build rates continue to grow and backlogs for new planes at Boeing and Airbus are at record levels, now standing at nearly 5,000. The newer model aircraft being built have increased titanium usage in their design. As a result, world wide demand for titanium is expected to increase significantly in the coming years, perhaps doubling by 2015. The long term supply contracts announced earlier this year in support of Boeing's 787 and the family of Airbus aircraft, as well as the current capacity expansions, will enable RTI to participate in this growing demand.

"Looking forward to 2007, we anticipate another excellent year. Our order backlog at the end of the year stood at $606 million, up 35% from the prior year end. We expect to ship over 80% of those orders in 2007. Growth in titanium mill product volumes will be limited by mill capacity until our current expansion is completed late in the year. However, we expect mill product prices to continue to improve. The Fabrication & Distribution Group should also see increases in both volume and prices. On a consolidated basis we expect RTI's sales to grow 20-25% over 2006. Operating income is expected to increase by approximately 35-40%."

The statements in this release relating to relating to relate prepconcernant

relating to relate prepbezüglich +gen, mit Bezug auf +acc 
 matters that are not historical facts are forward-looking statements forward-looking statement

A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections.
 that may involve risks and uncertainties. These include, but are not limited to, the impact of global events on the commercial aerospace industry, military spending, global economic conditions, the competitive nature of the markets for specialty metals, the ability of the Company to obtain an adequate supply of raw materials, successful completion of the Company's capital expansion projects, the design and effectiveness of the Company's internal control over financial reporting, and other risks and uncertainties included in the Company's filings with the Securities and Exchange Commission. Actual results can differ materially from those forecasted or expected. The information contained in this release is qualified by and should be read in conjunction with the statements and notes filed with the Securities and Exchange Commission on Forms 10-K and 10-Q, as may be amended from time to time.

RTI International Metals([R]), headquartered in Niles, Ohio, is a leading U.S. producer of titanium mill products and fabricated fab·ri·cate  
tr.v. fab·ri·cat·ed, fab·ri·cat·ing, fab·ri·cates
1. To make; create.

2. To construct by combining or assembling diverse, typically standardized parts:
 metal components for the global market. Through its various subsidiaries, RTI manufactures and distributes titanium and specialty metal mill products, extruded shapes, formed parts and engineered systems for aerospace, industrial, defense, energy, chemical and consumer applications for customers around the world. To learn more about RTI International Metals, Inc., visit our website at www.rtiintl.com.

NOTE: RTI International Metals, Inc. has scheduled a conference call for Friday, February 23, 2007 at 10:00 a.m., Eastern Time, to discuss this press release. To participate in the call, please dial toll free (USA/Canada) 800-938-0653 or (International) 973-935-2408 a few minutes prior to the start time and specify the RTI International Metals Conference Call. Replay of the call will be available until 11:59 p.m., Eastern Time, on Friday, March 2, 2007, by dialing (USA/Canada) 877-519-4471 or (International) 973-341-3080 and Digital Pin Code 8331257.
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Copyright 2007, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Article Type:Financial report
Date:Feb 22, 2007
Words:1003
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