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FARREL CORPORATION REPORTS THIRD QUARTER RESULTS

 ANSONIA, Conn., Nov. 12 /PRNewswire/ -- Farrel Corporation reported a net loss of $0.3 million for the quarter ended Oct. 3, 1993, equivalent to $0.04 per share, on sales revenue of $14.7 million. In the comparable quarter a year ago, the net loss was $0.5 million, or $0.08 per share, on sales of $22.6 million.
 At the end of the third quarter 1993, firm order backlog was $42.9 million, representing a 34 percent increase since the end of 1992. The improvement in order intake is largely the result of the company's marketing activities in Asia, which the company considers to be its major growth area for the remainder of the decade, and improved market conditions in the U.S. and South America.
 Earnings for the nine months ended Oct. 3, 1993, were $0.3 million, or $0.05 per share, on sales revenue of $51.2 million. For the comparable nine months ended Sept. 27, 1992, the company incurred a loss of $0.8 million, or $0.13 per share, on sales of $64.8 million.
 Earnings in the 1992 year-to-date period were reduced by $0.23 per share due to a mandated non-recurring charge of $1.4 million after-tax to establish a post-retirement medical benefits reserve required by a new accounting standard (FAS 106).
 Removing the impact of FAS 106 previously referred to on 1992 results, management attributes lower 1993 year-to-date earnings primarily to reduced sales volume due to continued softness in the markets served by the company's products and to higher legal costs associated with litigation against the former owner of the company.
 The company generated net year-to-date income despite the lower sales volume due to the cost reduction efforts implemented by management earlier in 1993.
 FARREL CORPORATION
 Financial Highlights
 Three months ended 10/3/93 9/27/92
 Net sales $ 14,728,000 $ 22,620,000
 Net loss ($254,000) ($495,000)
 Net loss per share ($0.04) ($0.08)
 Nine months ended 10/3/93 9/27/92
 Net sales $ 51,238,000 $ 64,835,000
 Net income/(loss) $288,000 ($759,000)
 Net income/(loss) per share $0.05 ($0.13)
 -0- 11/12/93
 /CONTACT: Joseph R. Carvalko Jr. of Farrel Corporation, 203-736-5514/


CO: Farrel Corporation ST: Connecticut IN: SU: ERN

TW-MP -- NY085 -- 3883 11/12/93 16:42 EST
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Publication:PR Newswire
Date:Nov 12, 1993
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