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COMMERCIAL INTERTECH REPORTS RESULTS

 COMMERCIAL INTERTECH REPORTS RESULTS
 YOUNGSTOWN, Ohio, Feb. 25 /PRNewswire/ -- Commercial Intertech


(NYSE: TEC) today reported sales of $95,463,000 for the quarter ending Jan. 31, 1992, down 8 percent from fiscal 1991's $103,590,000. Net income is $4,134,000 in 1992 ($0.25 a share) versus a loss of $1,374,000 ($0.30 a share) last year (all per share information is fully diluted). The first quarters of both years are affected by accounting policy changes. In 1992 the company adopted FAS 109 Accounting for Income Taxes which added $3,391,000 to net income or $0.34 a share. In 1991 the company adopted FAS 106, Accounting for Postretirement Benefits, which reduced net income for the year by $9,015,000 or $0.91 a share. The first quarter of 1991 was also favorably impacted by nonrecurring gains of $0.51 a share while 1992 contains certain restructuring costs of $0.08 a share.
 Sales of each of the company's three operating groups declined in 1992 compared with the same quarter last year although small improvements have begun in the United States hydraulic and metal stamping units. Sales by these units increased about 3 percent. Sales in the European hydraulic and Astron metal building line declined, however, as the economic recession continues. Filtration product sales were generally lower except in Australia where the recession is moderating exports into the new Singapore subsidiary are climbing. Operating profit in Astron and the Fluid Purification group is down substantially due to volume deterioration. Fluid Purification recorded a small nonrecurring charge to operations for further plant restructuring in its Consumer division.
 Paul J. Powers, chairman, president and CEO, said, "As we look forward to the remainder of 1992, we see some hint of improvement in our markets. With lowered breakeven points, we should capitalize on increased sales volumes. Overall incoming order rates show a pick up in January and the unfilled order backlog is up 6 percent since the beginning of the fiscal year (11/1/91). However, compared with last year's position at this time the backlog is down 20 percent."
 At the annual shareholders meeting Powers announced new corporate finance developments. The board of directors authorized redemption of the Series C Senior Cumulative Convertible Preferred Shares, subject to the conclusion of refinancing agreements. There are 1,379,310 shares issued and outstanding with a par value of $40 million. The company expects to redeem the shares by April of 1992 with a $45 million issue of senior notes krivately placed with a group of insurance companies. As a result of favorable market interest rates this refinancing will substantially improve cash flow and earnings per share in the future. Coupon interst rates, fully tax deductible, are expected to be 8.2 percent with an average maturity of 7.5 years over a 10-year total life.
 Commercial Intertech is a leading manufacturer of hydraulic components, fluid purification products, pre-engineered metal buildings and stamped metal products.
 COMMERCIAL INTERTECH CORP. AND SUBSIDIARIES
 CONSOLIDATED CONDENSED STATEMENTS OF INCOME
 (Thousands of dollars) THREE MONTHS ENDED
 January 31,
 1992 1991
 Net sales $95,463 $103,590
 Less costs and expenses:
 Cost of products sold 67,544 72,034
 Selling, administrative and
 general expense 24,302 24,260
 Non-recurring items 500 (466)
 Total 92,346 95,828
 Operating income 3,117 7,762
 Non-operating income (expense):
 Interest income 378 404
 Interest expense (1,081) (1,733)
 Gain on insurance settlement 0 2,411
 Translation gain on liquidation
 of foreign investment 0 3,213
 Other (23) (654)
 Total (726) 3,641
 Income before income taxes 2,391 11,403
 Income taxes 1,648 3,762
 Income before accounting change 743 7,641
 Cumulative effect of change in
 accounting:
 Accounting for postretirement
 benefits 0 (9,015)
 Accounting for income taxes 3,391 0
 Net income (loss) $4,134 ($1,374)
 Preferred stock dividends and
 adjustments 1,574 1,575
 Net income (loss) applicable to
 common stock $2,560 ($2,949)
 Per share of common stock:
 Primary:
 (Loss) income before income
 taxes ($0.08) $0.61
 Net income (loss) 0.26 (0.30)
 Fully diluted:
 (Loss) income before income
 taxes ($0.08) 0.57
 Net income (loss) 0.25 (0.30)
 Cash dividends declared $0.17 $0.17
 -0- 2/25/92
 /CONTACT: James C. Cartwright of Commercial Intertech Corp., 216-746-8011/
 (TEK) CO: Commercial Intertech, Inc. ST: Ohio IN: MAC SU: ERN


KK -- CL015 -- 2449 02/25/92 15:00 EST
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Date:Feb 25, 1992
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