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DEFIANCE, INC. REPORTS RECORD FOURTH QUARTER AND FISCAL YEAR; SIGNS NEW AGREEMENT WITH COMERICA BANK

 CLEVELAND, Aug. 26 /PRNewswire/ -- Defiance, Inc. (NASDAQ/NMS: DEFI) announced today that for its fourth fiscal quarter ended June 30, 1993, revenues reached a record $23,181,000 compared with $18,683,000 for the same period a year ago. The company reported record net earnings for the latest quarter of $1,398,000, or $0.22 per common share, compared with net earnings of $388,000, or $0.06 per common share, for the same period last year.
 For the twelve months ended June 30, 1993, revenues reached a record $79,217,000 compared with $69,559,000 for last year. Net income for the year was a record $3,432,000, or $0.54 per common share, compared with net income of $909,000, or $0.15 per common share, a year earlier.
 Jerry A. Cooper, president and C.E.O., noted, "Demand for automotive and transportation related products and services continued to grow in the fourth quarter, which is reflected by the 14 percent increase in sales over last year. Many factors contributing to strong results through the first three quarters continued through the fourth quarter, including strong engine build rates at auto and diesel customers, increased testing support for Big Three customers, and a higher level of tooling and prototyping activity. Also contributing to record net earnings were lower interest rates and cost reduction programs initiated early in the year. We are hopeful the present momentum in the automotive market will continue, which should permit our earnings improvement pattern to continue over comparable quarters of the prior fiscal year."
 The company also announced that it signed a new $17,000,000 banking agreement on August 25, 1993, with Comerica Bank, Detroit. The company's prior agreement with Comerica was scheduled to expire in October 1993. The new agreement provides a two-year revolving credit facility, a five-year term loan, and an equipment purchase facility, all at more favorable interest rates.
 Cooper noted, "We are pleased this agreement will help provide the working capital and capital expenditure funding needed to implement our operating plans for fiscal 1994."
 Defiance is a leading integrated supplier of products and engineering/design services to the O.E.M. manufacturers in the transportation industry, with headquarters in Cleveland.
 DEFIANCE, INC.
 Consolidated Earnings Summary
 Three Months Ended Twelve Months Ended
 6/30/93 6/30/92 6/30/93 6/30/92
 Revenues $23,181,000 $18,683,000 $79,217,000 $69,559,000
 Net earnings $ 1,398,000 $ 388,000 $ 3,432,000 $ 909,000
 Net earnings per
 common share $0.22 $0.06 $0.54 $0.15
 Weighted average
 number of
 common shares
 outstanding 6,482,466 6,292,413 6,380,441 6,151,400
 -0- 8/26/92
 /CONTACT: Stanley L. Ulchaker or Patrick Gallagher of Edward Howard & Co., 216-781-2400, for Defiance, Inc./
 (DEFI)


CO: Defiance, Inc. ST: Ohio IN: TRN SU: ERN

BM -- CL008 -- 6047 08/26/93 09:41 EDT
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Publication:PR Newswire
Date:Aug 26, 1993
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