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COMMERCIAL METALS COMPANY REPORTS EARNINGS OF $21.7 MILLION

 DALLAS, Oct. 21 /PRNewswire/ -- Commercial Metals Company (NYSE: CMC) today reported net earnings of $21.7 million or $1.95 per share on sales of $1.6 billion for the year ended August 31, 1993. This compares with earnings of $12.5 million or $1.16 per share, on sales of $1.2 billion for the same period last year. Cash flow from operations was a record $53.6 million compared with $39.7 million last year.
 CMC President and Chief Executive Officer Stanley A. Rabin said, "We had a significant improvement over last year, and both net income and cash flow significantly exceeded our expectations even though several key markets weakened. The Manufacturing segment made the biggest contribution to earnings led by the CMC Steel Group. CMC steel mill shipments were a record 1.1 million tons, but average prices increased only slightly. The Copper Tube division also had an excellent year."
 According to Rabin, "The Marketing and Trading segment generated very good results, the best since 1990, highlighted by increased sales in the Pacific Rim. The Recycling segment achieved a good turnaround as a result of the improvement in ferrous metals prices and was profitable."
 Concerning the outlook Rabin said, "We expect domestic steel demand to continue strong, but steel markets in Europe and Japan will probably remain weak until mid-1994. Other Asian markets should be firm. The prognosis for nonferrous metal markets is a continued surplus of supply with no recovery until 1995. We are very well positioned in our core business markets to take advantage of the increase in infrastructure spending and industrial production around the world and the economic recovery that will follow the recession."
 Commercial Metals Company and subsidiaries manufacture, recycle and market steel and metal products, related materials and services through a network of over seventy locations including steel minimills, steel fabrication plants, a copper tube mill, recycling facilities and trading offices in the United States and strategic overseas markets.
 COMMERCIAL METALS COMPANY
 Fourth Quarter Operating Results
 (in thousands except share data)
 Three months ended August 31,
 1993 1992
 Revenues:
 Net sales $ 387,216 $ 346,305
 Other revenues 3,268 1,915
 Total 390,484 348,220
 Costs and Expenses:
 Costs of goods sold 353,292 310,784
 Selling, general and administrative
 expenses 21,653 22,582
 Interest expense 1,901 2,810
 Employees' retirement plans 1,403 1,451
 Total 378,249 337,627
 Earnings Before Income Taxes 12,235 10,593
 Income Taxes 4,726 4,099
 Net Earnings $ 7,509 $ 6,494
 Net earnings per share $ .66 $ .60
 Cash dividends per share $ .13 $ .13
 Average shares outstanding 11,341,859 10,898,018
 Fiscal Year Ended August 31,
 1993 1992
 Revenues:
 Net sales $ 1,558,349 $ 1,156,203
 Other revenues 10,157 9,589
 Total 1,568,506 1,165,792
 Costs and Expenses:
 Costs of goods sold 1,424,707 1,043,428
 Selling, general and administrative
 expenses 92,679 87,083
 Interest expense 9,397 9,951
 Employees' retirement plans 6,662 5,033
 Total 1,533,445 1,145,495
 Earnings Before Income Taxes 35,061 20,297
 Income Taxes 13,400 7,787
 Net Earnings $ 21,661 $ 12,510
 Net earnings per share $ 1.95 $ 1.16
 Cash dividends per share $ .52 $ .52
 Average shares outstanding 11,115,624 10,828,052
 Note: The LIFO method of inventory valuation had the effect of increasing net earnings for the quarter $610 thousand (5 cents per share) compared to $583 thousand (5 cents per share) last year, and for the fiscal year earnings were $143 thousand higher (1 cent per share) compared to $1.1 million (10 cents per share) last year.
 CONSOLIDATED CONDENSED BALANCE SHEETS
 (in thousands)
 August 31,
 1993 1992
 Assets
 Current Assets:
 Cash and temporary
 investments $ 47,439 $ 47,426
 Accounts receivable 163,387 164,126
 Financial services
 loans and advances 35,768 45,168
 Inventories 136,601 106,213
 Other 15,300 15,330
 Total Current Assets 398,495 378,263
 Other Assets 4,143 6,785
 Net Property, Plant and
 Equipment 139,323 130,690
 Total $ 541,961 $ 515,738
 Liabilities and Stockholders' Equity
 Current Liabilities:
 Commercial paper $ -- $ --
 Financial services notes
 payable 41,003 51,898
 Accounts payable 100,587 87,823
 Other payables and accrued
 expenses 64,507 55,592
 Income taxes payable 4,109 1,357
 Current maturities of
 long-term debt 4,824 7,251
 Total Current Liabilities 215,030 203,921
 Deferred Income Taxes 14,773 12,492
 Long-Term Debt 76,737 87,221
 Stockholders' Equity 235,421 212,104
 Total $ 541,96 $ 515,738
 BUSINESS SEGMENTS
 (in thousands)
 Marketing Financial
 Mfg. Recycling & Trading Services
 Fiscal Year 1993
 Total Revenues $ 487,410 $ 290,172 $ 817,919 $ 3,661
 Operating profit
 (loss) 32,536 603 14,271 1,790(A)
 Interest Expense -- -- -- --
 Earnings before
 income taxes -- -- -- --
 Fiscal Year 1992
 Total revenues $ 451,610 $ 235,840 $ 496,511 $ 4,101
 Operating profit
 (loss) 33,024 (8,120) 7,975 1,819(A)
 Interest Expense -- -- -- --
 Earnings before
 income taxes -- -- -- --
 Adjust
 Corp. & Elim. Consolidated
 Fiscal Year 1993
 Total Revenues $ 1,288 $ (31,944) $ 1,568,506
 Operating profit
 (loss) (6,541) -- 42,659
 Interest Expense -- -- (7,598)(A)
 Earnings before income
 taxes -- -- $ 35,061
 Fiscal Year 1992
 Total revenues $ 1,449 $ (23,719) $ 1,165,792
 Operating profit
 (loss) (6,374) -- 28,324
 Interest Expense -- -- (8,027)(A)
 Earnings before income
 taxes -- -- $ 20,297
 1993 1992
 Steel Mill Tons Shipped 1,138 1,032
 (A) Interest expense of the financial services segment has been included in operating profit in the amounts of $1,799 and $1,924 in fiscal year 1993 and 1992, respectively.
 -0- 10/21/93
 /CONTACT: Bob Davis of Commercial Metals, 214-689-4354/
 (CMC)


CO: Commercial Metals Company ST: Texas IN: MNG SU: ERN

LG -- NY021 -- 5022 10/21/93 09:28 EDT
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