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DOSKOCIL'S THIRD QUARTER OPERATING RESULTS ARE IMPROVED AND BETTER THAN COMPANY FORECASTS

 DOSKOCIL'S THIRD QUARTER OPERATING RESULTS
 ARE IMPROVED AND BETTER THAN COMPANY FORECASTS
 HUTCHINSON, Kan., Oct. 20 /PRNewswire/ -- Doskocil Companies Incorporated (NASDAQ: DOSK) announced significantly improved third quarter and first nine months operating results for 1992 compared to the same periods in 1991. For the third quarter of 1992, operating income totaled $7.5 million and was $1.8 million better than the $5.7 million operating income of the third quarter of 1991. For the first nine months of 1992, operating income was approximately $15.2 million versus 1991 operating income of $13.0 million. Both the third quarter and nine month operating income figures for 1992 exceed the amounts projected in the company's announcement of Aug. 31, 1992.
 Net income for the third quarter of 1992 was $2.7 million, or $.47 per share, and for the first nine months of 1992 was $1.8 million, or $.30 per share. As a result of the company's Chapter 11 reorganization, the third quarter of 1992 included an extraordinary gain from forgiveness of debt of $113.8 million and Chapter 11-related reorganization expenses totaling $33.9 million. The nine month period was also impacted by the extraordinary gain referred to above and by Chapter 11-related expenses totaling $41.0 million. Consequently, comparisons of 1992 results to those of corresponding 1991 periods may not be meaningful. Net income figures for the third quarter and first nine months of 1991, including the extraordinary gain and reorganization expenses referred to above, were $78.9 million, or $15.42 per share, and $65.4 million, or $12.78 per share, respectively.
 Sales for the third quarter were $192.3 million versus $200.6 million for the same 1991 period and $552.6 million for the first nine months of 1992 versus $611.5 million for the same period in 1991. The decline in sales for both periods is primarily attributable to a decrease in raw material and selling prices offset by increased sales volume.
 John T. Hanes, chairman and chief executive officer, in reflecting on the company's progress since emerging from bankruptcy said, "We are proud of the company's achievements during the first year after reorganization. Our ongoing program of operating efficiencies has resulted in our company's being profitable for its first full year out of Chapter 11."
 Mr. Hanes added, "Without the distractions of reorganizing the company, we have been better able to focus on our customers' needs. As a result, we are experiencing increases in sales volumes and market share. These increases have occurred despite a major fire at one of our distribution centers in January 1992 and a four week labor strike in May 1992, both of which resulted in unavoidable disruptions to our customer service. We look forward to our second year when we will be able to focus fully on satisfying our customers' expectations without such unfortunate incidents."
 Doskocil specializes in processing and marketing boneless hams, sausage, bacon, and other branded and processed meat products for the foodservice, delicatessen and retail markets. The company also supplies pepperoni, beef and pork toppings to the pizza industry.
 DOSKOCIL COMPANIES INCORPORATED AND SUBSIDIARIES
 Condensed Consolidated Statement of Operations
 (Unaudited -- In thousands, except per share figures)
 Three Months Ended 9/26/92 9/28/91
 (Post- (Pre-
 confirmation) confirmation)
 Net sales $192,258 $200,569
 Cost of sales 164,136 173,513
 Gross profit 28,122 27,056
 Operating expenses:
 Selling 13,943 14,740
 General & administrative 6,670 6,636
 Total operating expenses 20,613 21,376
 Operating income 7,509 5,680
 Other income (expense):
 Interest and financing costs (2,871) (5,422)
 Amortization of intangible assets (1,547) (1,321)
 Other, net (58) 56
 Inc. (loss) bef. reorganization items 3,033 (1,007)
 Reorganization items -- (33,892)
 Inc. (loss) bef. income taxes 3,033 (34,899)
 Provision for income taxes (289) --
 Inc. (loss) bef. extraord. item 2,744 (34,899)
 Extraord. gain - forgiveness of debt -- 113,794
 Net income 2,744 78,895
 Earns. (loss) per shr. - primary &
 fully diluted(A)
 Inc. (loss) bef. extraord. item $0.47 $(6.82)
 Extraord. gain - forgiveness of debt -- 22.24
 Net income $0.47 15.42
 Weighted avg. no. of com. & com.
 equiva. shrs. outstdng. - primary
 and fully diluted 5,841 5,116
 (A) -- The per share amounts for periods prior to Sept. 28, 1991, may not be meaningful due to the company's Chapter 11 reorganization.
 DOSKOCIL COMPANIES INCORPORATED AND SUBSIDIARIES
 Condensed Consolidated Statement of Operations
 (Unaudited -- In thousands, except per share figures)
 Nine Months Ended 9/26/92 9/28/91
 (Post- (Pre-
 confirmation) confirmation)
 Net sales $552,556 $611,529
 Cost of sales 474,567 533,543
 Gross profit 77,989 77,986
 Operating expenses:
 Selling 42,109 44,201
 General & administrative 20,669 20,762
 Total operating expenses 62,778 64,963
 Operating income 15,211 13,023
 Other income (expense):
 Interest and financing costs (8,674) (16,594)
 Amortization of intangible assets (4,641) (3,963)
 Other, net 187 62
 Inc. (loss) bef. reorganization items 2,083 (7,472)
 Reorganization items -- (40,952)
 Inc. (loss) bef. income taxes 2,083 (48,424)
 Provision for income taxes (333) --
 Inc. (loss) bef. extraord. item 1,750 (48,424)
 Extraord. gain - forgiveness of debt -- 113,794
 Net income 1,750 65,370
 Earns. (loss) per shr. - primary &
 fully diluted(A)
 Inc. (loss) bef. extraord. item $0.30 $(9.46)
 Extraord. gain - forgiveness of debt -- 22.24
 Net income $0.30 12.78
 Weighted avg. no. of com. & com.
 equiva. shrs. outstdng. - primary
 and fully diluted 5,850 5,116
 (A) -- The per share amounts for periods prior to Sept. 28, 1991, may not be meaningful due to the company's Chapter 11 reorganization.
 -0- 10/20/92
 /CONTACT: Theodore A. Myers, senior vice president and chief financial officer of Doskocil, 316-663-1005, or J. Desmond Towey or Bernadette McLaughlin of Desmond Towey & Associates, 212-888-7600, for Doskocil/
 (DOSK) CO: Doskocil Companies Incorporated ST: Kansas IN: FOD SU: ERN


TS-PS -- NY009 -- 2046 10/20/92 09:18 EDT
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Date:Oct 20, 1992
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