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BWIP HOLDING INC., ANNOUNCES THIRD QUARTER SALES AND EARNINGS RESULTS

 LONG BEACH, Calif., Oct. 19 /PRNewswire/ -- BWIP Holding Inc., (NASDAQ: BWIP), the parent company of BW/IP International Inc., today announced third quarter 1993 net income of $8.3 million, or $.34 per share, compared with 1992 net income of $9.1 million, or $.37 per share.
 Total sales for the quarter were $120.7 million compared with $103.2 million in the third quarter of 1992.
 Peter C. Valli, chairman and chief executive officer, said, "In spite of higher third quarter sales, operating margins continue to be lower than they were in 1992 because of the shift in the company's product mix to a higher proportion of original equipment and continuing weakness in the sale of higher-margin aftermarket products.
 "We share the views of most experts, who believe the outlook for our basic petroleum and power markets remains positive," said Valli. "However, for a variety of reasons order rates have not picked up in the short term. We view this as a continuing deferral of business on the part of our customers rather than a loss of market share.
 "Cusotmers in the United States market continue to feel the effects of sluggish economic growth and low profits. Sales to some of our more important markets in the Middle East, a region where we are very strong, are down compared with last year because of cash shortages which are reportedly to be temporary. Project activity in the Pacific Rim is good, but down from recent years and the competition is strong."
 Commenting on the outlook for the remainder of the year, Valli said, "We continue to expect record sales in the fourth quarter. Despite continued sluggishness in the rate of aftermarket orders, fourth quarter earnings are expected to be somewhat better than the first three quarters of this year. In addition, heavy shipments in the fourth quarter coupled with lower bookings are expected to further draw down our backlog."
 BW/IP's bookings in the third quarter were $93 million. Ending backlog at Sept. 30, 1993, stood at $202 million compared with $232 million on June 30 of this year.
 BW/IP International Inc. is a worldwide supplier of advanced- technology pump, seal and fluid control equipment and services. The Pump and Seal segment produces highly engineered pumps and pumping equipment, precision mechanical seals, seal systems and accessories. The Fluid Controls segment manufactures aerospace control systems for tactical missiles and aircraft.
 BWIP HOLDING INC.
 Condensed Consolidated Statements of Operations


(Unaudited. Dollar amounts in thousands except share and per share data)
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30, Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Net Sales $120,688 $103,240 $343,240 $327,251
 Cost of sales 77,663 61,161 215,001 190,785
 Gross profit 43,025 42,079 128,239 136,466
 Selling, administrative
 and operating expenses 28,658 26,910 85,696 77,337
 Operating income 14,367 15,169 42,543 59,129
 Interest expense, net 1,565 1,431 4,824 7,595
 Other expenses 152 7 559 653
 Income before income
 taxes, extraordinary
 items and cumulative
 effects of accounting
 changes 12,650 13,731 37,160 50,881
 Provision for income
 taxes 4,308 4,669 13,377 17,300
 Income before extra-
 ordinary items and
 cumulative effects of
 accounting changes 8,342 9,062 23,783 33,581
 Extraordinary items, net --- --- --- (8,186)
 Income before cumulative
 effects of accounting
 changes 8,342 9,062 23,783 25,395
 Cumulative effects of
 accounting changes:
 Income taxes --- --- --- 2,000
 Postretire, health
 care benefits, net --- --- --- (11,200)
 Postemployment
 benefits, net --- --- --- (1,080)
 Net Income $8,342 $9,062 $23,783 $15,115
 BWIP HOLDING INC.
 Condensed Consolidated Statements of Operations
 (Unaudited. Dollar amounts in thousands
 except share and per share data)
 Three Months Ended Nine Months Ended
 Sept. 30, Sept. 30, Sept. 30, Sept. 30,
 1993 1992 1993 1992
 Earnings per share:
 Before extraordinary
 items and cumulative
 effects of
 accounting changes $.34 $.37 $.98 $1.38
 Extraordinary items,
 net --- --- --- (.33)
 Cumulative effects of
 accounting changes:
 Income taxes --- --- --- .08
 Postretire, health
 care benefits, net --- --- --- (.46)
 Postemployment
 benefits, net --- --- --- (.05)
 Net income per share $.34 $.37 $.98 $.62
 Dividends declared per
 share $.08 $.06 $.24 $.1575
 Weighted average number
 of common shares
 outstanding 24,275,000 24,275,000 24,275,000 24,275,000
 Segment Data:
 (Unaudited. Dollar amounts in millions)
 Three Months Ended Sept. 30,
 Aftermarket
 $ $ Pct. Pct.
 Pump & Seal Segment: 1993 1992 1993 1992
 Sales $110.4 $94.2 56 pct. 68 pct.
 Operating income 13.5 14.3 --- ---
 Bookings 90.7 114.4 66 pct. 51 pct.
 Backlog 177.5 196.3 32 pct. 30 pct.
 Nine Months Ended Sept. 30,
 Aftermarket
 $ $ Pct. Pct.
 Pump & Seal Segment: 1993 1992 1993 1992
 Sales $314.5 $302.3 56 pct. 67 pct.
 Operating income 40.6 58.5 --- ---
 Bookings 291.7 342.4 62 pct. 55 pct.
 Backlog 177.5 196.3 32 pct. 30 pct.
 -0- 10/20/93
 /CONTACT: Dan Peoples of Peoples & Co., 310-435-3700 or 619-552-1456/
 (BWIP)


CO: BWIP Holding Inc.; BW/IP International Inc. ST: California IN: ARO SU: ERN

NY-LM -- SD003 -- 4357 10/20/93 08:07 EDT
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Date:Oct 20, 1993
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