Reunion Resources Company announces third quarter results.Company (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on - RUNR; Pacific - RUN) reported Friday a loss of $3.1 million, or $.82 per share, on revenues of $3.3 million for the quarter ended Sept. 30, 1995, compared to a net loss of $3.6 million, or $.95 per share, on revenues of $3.3 million for the quarter ended Sept. 30, 1994. Results for the third quarter of 1995 include a $1.5 million charge for the impairment Impairment 1. A reduction in a company's stated capital. 2. The total capital that is less than the par value of the company's capital stock. Notes: 1. This is usually reduced because of poorly estimated losses or gains. 2. of oil and gas properties and a $1.1 million charge for severance The act of dividing, or the state of being divided. The term severance has unique meanings in different branches of the law. Courts use the term in both civil and criminal litigation in two ways: first, when dividing a lawsuit into two or more parts, and second, when expenses. For the first nine months of 1995, the company reported a net loss of $10.3 million, or $2.69 per share, on revenues of $6.1 million as compared to a net loss of $5.3 million, or $1.40 per share, on revenues of $6.0 million for the comparable period of 1994. Results for 1995 include $7.0 million in charges related to the impairment of oil and gas properties, a $1.1 million charge for severance expenses and a non-cash charge Non-Cash Charge A charge off, made by a company against earnings, that does not require an initial outlay of cash. Notes: Non-cash charges are typically against the depreciation, amortization, and depletion accounts on a company's balance sheet. of $0.5 million related to the extension of the period in which two warrants to purchase the company's common stock could be exercised. On Sept. 14, 1995, the company acquired Oneida Molded mold 1 n. 1. A hollow form or matrix for shaping a fluid or plastic substance. 2. A frame or model around or on which something is formed or shaped. 3. Something that is made in or shaped on a mold. Plastics Corporation, which manufactures precision plastic products and provides engineered plastics services. As a result of the acquisition of Oneida, the company's principal operations are in the plastics industry. Results for the third quarter and nine months ended Sept. 30, 1995 include 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. of $0.1 million on revenues of $1.8 million for Oneida subsequent to the September 14 acquisition date. The company is considering additional acquisitions to increase its customer base and expand its product offerings and service capabilities in the plastics industry. In addition, the company may consider acquisitions in other industries. In conjunction with this new strategic direction, the company is exploring the sale of its oil and gas operations which, prior to the acquisition of Oneida, represented its primary business. While the company is in the process of receiving indications of interest from various parties regarding the sale of its oil and gas operations, no understandings or agreements have been entered into as of the date hereof here·of adv. Of this. hereof Adverb Formal or law of or concerning this Adv. 1. hereof - of or concerning this; "the twigs hereof are physic" . Approximately 87 percent of the company's proved oil and gas reserves, on an equivalent barrel basis, are natural gas reserves, and decreases in natural gas prices have adversely affected the company's full cost ceiling. As a result, the company was required to take charges totaling $3.9 million, $1.6 million and $1.5 million against earnings in the quarterly periods ended March 31, June 30, and Sept. 30, 1995, respectively. Substantially all of the company's oil and gas sales are made on a spot basis and under short-term contracts, and the revenues which the company receives for its production are affected by fluctuations in the prices of these commodities in the market place. Should the currently depressed market Depressed market Market in which supply overwhelms demand, leading to weak and lower prices. for natural gas continue, or should there be a corresponding decline in the crude oil market, the company may continue to experience reduced cash flow from its oil and gas operations and may be required to record further writedowns. The third quarter results included an operating loss operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. from the company's agricultural joint venture, Juliana Preserve, of $34,000 on revenues of $1.5 million attributable to the company's participation in the joint venture for the crop year ended Sept. 30, 1995, compared to an operating loss of $57,000 on revenues of $1.6 million for the 1994 crop year. Increased prices for winegrapes offset production declines, principally resulting from the effects of phylloxera phylloxera (fĭlŏk`sĭrə), small, sap-eating, greenish insect of the genus Phylloxera, closely related to the aphid. Phylloxeras feed on leaves and roots, and many species produce galls on deciduous trees. on the performance of certain vineyard vineyard, land on which cultivation of the grape—known as viticulture—takes place. As many as 40 varieties of grape, Vitis vinifera, are known. blocks. At Sept. 30, 1995, the company had cash on hand of approximately $1.6 million. During the nine months ended Sept. 30, 1995, cash decreased $7.7 million, with $1.1 million provided by operations, $8.5 million used in investing activities and $0.3 million used in financing activities. In October 1995, the company received a payment of approximately $0.9 million for settlement of certain collection litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. . The company is considering additional acquisitions in the plastics industry, and may consider acquisitions in other industries. Unless the company sells its oil and gas assets, the company's ability to finance future growth from internally generated funds is limited. Any significant expansion of the company's activities may require financing from external sources. Reunion Resources Company is a Houston, Texas “Houston” redirects here. For other uses, see Houston (disambiguation). Houston (pronounced /'hjuːstən/) is the largest city in the state of Texas and the based corporation primarily engaged in manufacturing precision plastic products and providing engineered plastics services. Reunion is also engaged in oil and gas exploration, development and production in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and in real estate development and wine grape agricultural operations, including vineyard development and vineyard management in Napa County, California “Napa Valley” redirects here. For the wine country, see Napa Valley (Wine). Napa County is a county located north of the San Francisco Bay Area in the U.S. state of California. It is part of the Napa, California Metropolitan Statistical Area. . The company also holds undeveloped mineral properties in Utah. -0-
REUNION RESOURCES COMPANY AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In Thousands, Except Per Share Data)
Three Months Ended Nine Months Ended
September 30, September 30,
------------------- -------------------
1995 1994 1995 1994
-------- -------- -------- --------
Operating Revenue
Plastic Products (1) $ 1,804 $ -- $ 1,804 $ --
Oil and Gas 1,472 1,633 4,272 4,337
Agriculture (2) -- 1,619 -- 1,619
-------- -------- -------- --------
$ 3,276 $ 3,252 $ 6,076 $ 5,956
Operating Loss $ (3,023) $ (3,634) $(10,423) $ (5,633) Net Loss $ (3,144) $ (3,613) $(10,286) $ (5,234) Net Loss Per Common Share and Common Share Equivalent $ (.82) $ (.95) $ (2.69) $ (1.40) Weighted Average Number of Common Shares Outstanding Primary and Fully Diluted 3,845 3,804 3,825 3,804 (1) Acquired Sept. 14, 1995. (2) Accounted for on the equity method in 1995. CONTACT: Reunion Resources Company, Houston Richard L. Evans
Richard Louis Evans (b. March 23 1906, Salt Lake City, Utah – November 1 1971) was a member of the Quorum of the Twelve Apostles of the The Church of Jesus , executive vice president, 713/627-9277 |
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