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Balance sheet.

GRAND RAPIDS, Mich. -- Ameriwood Industries International, a maker of flat-packed furniture here, sharply reduced its loss in the fourth quarter as sales rose 17 percent. Ameriwood posted a net loss of $152,600 in the quarter ended Dec. 31, compared with a net loss of $2.5 million. Sales were $31.3 million, compared with $26.8 million.

Furniture sales increased 25 percent to $23.8 million in the fourth quarter of 1996, fueled by strong sell-through of Ameriwood products in the office superstore and warehouse club channels, as well as increased penetration in home centers.

The company also owns BIC America, which markets stereo speakers.

The 1996 quarter includes a non-recurring pre-tax charge of $1.15 million, related to the replacement of a defective futon cushion that was shipped primarily to regional retailers in the northeastern U.S. The 1995 results included a pre-tax charge of approximately $2.6 million for a management reorganization and estimated costs to complete environmental remediation at the company's Dowagiac, Mich., facility.

"Our fourth-quarter results, though hurt by the non-recurring charge, show some of the positive impact of our focus on productivity, process improvements and cost reductions, as well as our investments in capabilities for added features and styling," president and CEO Charles Foley said.

For its fiscal year, Ameriwood posted a net income of $479,900, or 11 cents per share, on net sales of $106.0 million.

Excluding the fourth-quarter charges, Ameriwood would have posted a pre-tax operating profit of $2.3 million for fiscal 1996, versus an operating loss of $1.7 million in 1995.
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Title Annotation:furniture maker Ameriwood Industries International financial report for 4th qtr 1996
Publication:HFN The Weekly Newspaper for the Home Furnishing Network
Article Type:Brief Article
Date:Mar 3, 1997
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