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WHEELING-PITTSBURGH CORPORATION REPORTS EARNINGS

 WHEELING-PITTSBURGH CORPORATION REPORTS EARNINGS
 WHEELING, W.Va., Feb. 5 /PRNewswire/ -- Wheeling-Pittsburgh


Corporation (NYSE: WHX) today reported 1991 net income of $4,717,000 or $.27 per share of common stock, on shipments of steel products totaling 2,093,000 tons.
 The 1991 net income is not directly comparable to net income of the prior year due to the reorganization consummated on Jan. 3, 1991. The corporation reported a 1990 net loss of $51,007,000 on shipments of 2,205,000 tons. Included in the 1990 net loss was a charge due to reorganization items of $130,984,000.
 Net sales revenue in 1991 decreased 13 percent to $957,307,000 compared to net sales revenue of $1,102,527,000 in 1990. The decrease in sales revenue reflects a 5 percent reduction in volume of steel product shipped, a lower valued mix of products reflecting export shipments of hot rolled sheet and a 6.2 percent decrease in steel sales prices.
 Operating costs decreased 7.5 percent compared to the prior year due to the lower volume and lower value mix of shipments and lower cost of raw materials, partially offset by higher labor costs and higher levels of purchased semi-finished steel related to the planned blast furnace reline.
 The 1991 results include a tax benefit of $7,642,000, consisting of a current year provision of $1,058,000 of Alternative Minimum Tax (AMT), and a reduction of $8,700,000 in federal income tax reserves.
 The corporation reported a net profit of $2,100,000, or $.12 per share of common stock, for the 1991 fourth quarter on shipments of 503,288 tons. The net profit includes the $8,700,000 tax benefit discussed above. Shipments decreased 8 percent from the 1990 fourth quarter.
 Net sales in the 1991 fourth quarter decreased by 13.6 percent to $235,045,000 compared to the fourth quarter of the prior year. The decrease in net sales reflects a lower volume of tons shipped, a lower valued product mix and a 6.6 percent steel sales price decrease.
 Operating costs decreased 3.4 percent due to the lower volume of shipments, lower valued mix of products and lower cost of raw materials, partially offset by higher labor costs and higher levels of purchased semi-finished steel.
 Order backlog is holding steady, but the uncertain economic environment is expected to continue through the first quarter of 1992, resulting in little expectation for improvement in operating income in the near future.
 WHEELING-PITTSBURGH CORPORATION AND SUBSIDIARY COMPANIES
 Condensed Consolidated Statement of Income
 ($ in thousands except per share amounts)
 Period Ended Quarter Year
 Dec. 31, 1991 1990(A) 1991 1990(A)
 Net sales $235,045 $272,021 $957,307 $1,102,527
 Operating costs
 Cost of goods sold,
 administrative and
 selling expenses 227,832 235,440 899,253 971,821
 Depreciation 10,853 11,608 44,982 48,933
 238,685 247,048 944,235 1,020,754
 Operating income
 (loss) (3,640) 24,973 13,072 81,773
 Interest expense(C) 5,457 -- 24,679 --
 Other income 2,648 914 8,682 8,409
 Income (loss) before
 reorganization items,
 taxes and extraordinary
 items (6,449) 25,887 (2,925) 90,182
 Reorganization items(E) -- (317,392) -- (289,547)
 Income (loss) before
 taxes and extraordinary
 items (6,449) (291,505) (2,925) (199,365)
 Tax provision
 (benefit)(D) (8,549) 1,865 (7,642) 10,205
 Income (loss) before
 extraord. items 2,100 (293,370) 4,717 (209,570)
 Extraord. gain on
 discharge of petition
 liabilities(E) -- 158,563 -- 158,563
 Net income (loss) 2,100 (134,807) 4,717 (51,007)
 Earnings per share $.12 (B) $.27 (B)
 Shipments of steel
 products - tons 503,288 548,384 2,093,119 2,204,971
 Raw steel
 production - tons 524,895 610,356 2,222,222 2,486,884
 (A) Restated. See footnote E.
 (B) Earnings per share for the fourth quarter and year end of 1990 are not comparable due to the reorganization.
 Notes to Condensed Consolidated Statement of Income (Unaudited)
 (C) The corporation emerged from bankruptcy on Jan. 3, 1991. As a result of the reorganized debt structure, interest expense totaled $5,457,000 and $24,679,000 in the fourth quarter and year ended 1991, respectively. While operating under the protection of Chapter 11, the corporation did not accrue interest on debt not considered fully secured. Also, while in bankruptcy, the corporation earned interest on substantial cash balances accumulated as part of the reorganization process, which has been distributed pursuant to the plan.
 The corporation adopted "Fresh Start Reporting" in accordance with the American Institute of Certified Public Accountants Statement of Position 90-7, Financial Reporting by Entities in Reorganization Under the Bankruptcy Code. The financial statements have been prepared as if the corporation is a new reporting entity. Therefore, the current period results and the results of the prior period were not prepared on a comparable basis.
 (D) The 1991 tax benefit of $7,642,000 includes a current year provision $1,058,000 of Alternative Minimum Tax (AMT), and a reduction of $8,700,000 in federal income tax reserves. The company has a pre-reorganization tax basis AMT net operating loss carryforward of appproximately $145 million. The use of pre-reorganization net operating loss (NOL) carryforwards to reduce taxes payable are not recognized in the income statement under SOP 90-7, but are direct additions to equity accounts. The use of NOL carryforwards resulted in a $948,000 addition to equity in 1991.
 (E) The corporation restated its financial statements for the year ended Dec. 31, 1990, to account for certain common stock issued pursuant to the reorganization plan as redeemable common stock, to provide for the costs of refinancing 16 percent senior secured debt issued pursuant to the plan, and to restate other reorganization accounts. The restatement caused equal and offsetting adjustments to "Reorganization items" and "Extraordinary gain on discharge of prepetition liabilities" and had no effect on the 1990 net loss.
 -0- 2/5/92
 /CONTACT: R.A. Johnson of Wheeling-Pittsburgh Corporation, 304-234-2440/
 (WHX) CO: Wheeling-Pittsburgh Corporation ST: West Virginia IN: MNG SU: ERN


CD -- PG008 -- 7214 02/05/92 13:06 EST
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Date:Feb 5, 1992
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