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COMMERCIAL INTERTECH REPORTS THIRD QUARTER SALES AND EARNINGS

 COMMERCIAL INTERTECH REPORTS
 THIRD QUARTER SALES AND EARNINGS
 YOUNGSTOWN, Ohio, Aug. 26 /PRNewswire/ -- Commercial Intertech Corp. (NYSE: TEC) today reported sales of $119,552,000 for the third fiscal quarter ended July 31, 1992, up 10 percent from $108,440,000 in the same period last year.
 Third quarter net income was $4,801,000, an increase of 10 percent over last year. Per share income, after accounting for dividends on Series B preferred shares, an integral element of the Company's Employee Stock Ownership Plan, was $0.41 (fully diluted) versus $0.27 last year. Earnings per share in the 1992 third quarter were positively impacted by the retirement of the Series C preferred shares in April and the accompanying discontinuance of its dividend impact. Additionally, the effective tax rate in 1992 was 35 percent compared with the rate of 46 percent in 1991 as a result of adjustments to address future tax payments.
 Sales for the first nine months of 1992 were $319,527,000, down slightly from the $320,494,000 posted in 1991. Net income was $10,427,000, or $0.65 a share, and included a favorable accounting adjustment of $3.3 million, or $0.34 a share, in the first quarter for FAS 109 Accounting for Income Taxes. Net income in 1991 was $5,457,000 or $0.07 a share, but included an accounting charge of $9.0 million, or $0.91 a share, when the company adopted FAS 106 Accounting for Post Retirement Benefits.
 The company indicated that a number of operations particularly in its Hydraulic Components Group, experienced increased demand and improved shipments during the third quarter of 1992. Domestic shipments of standard hydraulic products were up from earlier quarters while delivery increases were reported on units associated with a military contract in the United Kingdom. Operating income in two of the company's business groups, Hydraulic Components and Metal Products, was up substantially from earlier 1992 quarters as well as the third quarter of 1991.
 Commenting on the latest results, Paul J. Powers, chairman, president and chief executive officer, said, "Month-to-month orders have been erratic. Bookings in our U.S. Hydraulic divisions are up slightly compared with previous quarters. However, overseas Hydraulic operations continue to experience depressed demand. Astron, the leading manufacturer of pre-engineered metal structures in Europe, is having a good year, however, we do not expect Astron to equal last year's record performance. Although it would be premature to conclude that a sustained recovery is underway, we are encouraged to note that the $143 million backlog of unfilled orders represents a 9 percent increase from the position at the beginning of Commercial Intertech's 1992 fiscal year."
 Commercial Intertech is a leading manufacturer of hydraulic components, fluid purification products, pre-engineered buildings and stamped metal products.
 COMMERCIAL INTERTECH CORP. AND SUBSIDIARIES
 CONSOLIDATED CONDENSED STATEMENTS OF INCOME
 NINE MONTHS ENDED
 (Thousands of dollars) July 31,
 1992 1991
 Net sales $319,527 $320,494
 Less costs and expenses:
 Cost of products sold 225,544 222,730
 Selling, administrative and
 general expenses 75,652 72,829
 Non-recurring items 500 (466)
 Total 301,696 295,093
 Operating income 17,831 25,401
 Non-operating income (expense):
 Interest income 1,013 842
 Interest expense (4,537) (4,751)
 Gain on insurance settlement 0 2,411
 Translation gain on liquidation of
 foreign investment 0 3,213
 Other (1,083) (2,103)
 Total (4,607) (388)
 Income before income taxes 13,224 25,013
 Income taxes 6,188 10,541
 Income before accounting changes 7,036 14,472
 Cumulative effect of changes in
 accounting:
 Accounting for income taxes 3,391 0
 Accounting for postretirement
 benefits 0 (9,015)
 Net income $10,427 $ 5,457
 Preferred stock dividends and
 adjustments 3,884 4,724
 Net income applicable to common
 stock $ 6,543 $ 733
 Per share of common stock:
 Primary:
 Income before accounting changes $.32 $.98
 Net income $.66 $.07
 Fully diluted:
 Income before accounting changes $.32 $.93
 Net income $.65 $.07
 Cash dividends declared $.51 $.51
 THREE MONTHS ENDED
 (Thousands of dollars) July 31,
 1992 1991
 Net sales $119,552 $108,440
 Less costs and expenses:
 Cost of products sold 83,613 74,363
 Selling, administrative and
 general expenses 26,368 24,276
 Non-recurring items 0 0
 Total 109,981 98,639
 Operating income 9,571 9,801
 Non-operating income (expense):
 Interest income 310 171
 Interest expense (2,341) (1,415)
 Gain on insurance settlement 0 0
 Translation gain on liquidation of
 foreign investment 0 0
 Other (128) (508)
 Total (2,159) (1,752)
 Income before income taxes 7,412 8,049
 Income taxes 2,611 3,686
 Income before accounting changes 4,801 4,363
 Cumulative effect of changes in
 accounting:
 Accounting for income taxes 0 0
 Accounting for postretirement
 benefits 0 0
 Net income $ 4,801 $ 4,363
 Preferred stock dividends and
 adjustments 528 1,575
 Net income applicable to common
 stock $ 4,273 $ 2,788
 Per share of common stock:
 Primary:
 Income before accounting changes $.43 $.28
 Net income $.43 $.28
 Fully diluted:
 Income before accounting changes $.41 $.27
 Net income $.41 $.27
 Cash dividends declared $.17 $.17
 COMMERCIAL INTERTECH CORP. AND SUBSIDIARIES
 CONSOLIDATED CONDENSED BALANCE SHEET
 (Thousands of dollars)
 ASSETS July 31, October 31,
 CURRENT ASSETS: 1992 1991
 Cash and cash equivalents $19,246 $13,459
 Accounts receivable, less allowance
 (1992-$2,365,000; 1991-$1,535,000) 80,518 81,834
 Inventories 56,596 51,777
 Deferred income tax benefits 8,612 6,241
 Prepaid expenses 3,497 4,961
 TOTAL CURRENT ASSETS 168,469 158,272
 PROPERTY, PLANT AND EQUIPMENT 238,359 223,781
 Less allowance for depreciation 115,467 102,956
 INTANGIBLE ASSETS 33,266 33,722
 OTHER ASSETS 26,266 22,243
 TOTAL ASSETS $350,893 $335,062
 LIABILITIES AND SHAREHOLDERS' EQUITY
 CURRENT LIABILITIES:
 Accounts and notes payable $89,414 $75,129
 Accrued income taxes 13,980 15,635
 Dividends payable 2,211 3,270
 TOTAL CURRENT LIABILITIES 105,605 94,034
 NONCURRENT LIABILITIES:
 Long-term debt 88,880 54,718
 Deferred income taxes 16,192 16,290
 Postretirement benefit 15,646 15,185
 TOTAL NONCURRENT LIABILITIES 120,718 86,193
 REDEEMABLE PREFERRED STOCK:
 Series C senior increasing rate
 cumulative convertible preferred
 shares, no par value:
 Redeemed April 1992 0 38,491
 SHAREHOLDERS' EQUITY:
 Preferred stock, no par value:
 Authorized: 10,000,000 shares
 Series A participating preferred shares 0 0
 Series B ESOP convertible preferred
 shares
 Issued: 1992 - 1,070,353 shares
 1991 - 1,073,098 shares 24,886 24,950
 Common stock, $1 par value:
 Authorized: 30,000,000 shares
 Issued: 1992 - 9,896,558 shares
 (excluding 42,980 in treasury);
 1991 - 9,790,720 shares (excluding
 108,664 in treasury) 9,897 9,791
 Capital surplus 37,314 36,665
 Retained earnings 64,204 66,177
 Deferred compensation (22,495) (23,856)
 Translation adjustment 10,764 2,617
 Total 124,570 116,344
 TOTAL LIABILITIES AND
 SHAREHOLDERS' EQUITY $350,893 $335,062
 -0- 8/26/92
 /CONTACT: P.N. Winkelstern of Commercial Intertech, 216-748-8011/
 (TEC) CO: Commercial Intertech Corp. ST: Ohio IN: MAC SU: ERN


BM -- CL009 -- 3575 08/26/92 15:22 EDT
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