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FIBREBOARD CORP. REPORTS RECORD FIRST-QUARTER EARNINGS

 CONCORD, Calif., April 14 /PRNewswire/ -- Fibreboard Corp. (AMEX: FBD) today reported record earnings of $6.4 million, or $1.49 per share ($1.47 fully diluted), for the quarter ended March 31, 1993, on sales of $74.9 million. Earnings improved 17 percent over last year's previous record first quarter earnings of $5.5 million, or $1.35 per share, on sales of $70.9 million.
 Significant improvement in first-quarter pre-tax operating profit was achieved by each of Fibreboard's three business groups -- Wood Products, Industrial Insulation Products and Resort Operations -- with record-setting first-quarter performances from Wood Products and Resort Operations.
 Wood Products operating profit improved 20 percent to $6.4 million on sales of $47.0 million, compared with $5.3 million on sales of $45.6 million in the first quarter of 1992. Lumber prices were at record levels during much of the first quarter of 1993. Sales price increases and resulting improved margins apparently reflected concerns about timber supply constraints for the industry as demand, particularly in California, has not increased significantly.
 Resort Operations (Northstar-at-Tahoe) operating profit increased 9 percent to a record $5.5 million on sales of $15.0 million, compared to operating profit of $5.0 million on sales of $13.2 million for the first quarter of 1992. Northstar experienced increased skier visits and significantly greater natural snowfall during the first quarter of 1993 compared with the prior year.
 Operating profit for Industrial Insulation Products (Pabco) increased 21 percent to $1.4 million on sales of $12.9 million compared to an operating profit of $1.1 million on sales of $12.0 million during the first quarter of 1992. The improvement resulted largely from reduced operating costs in a continuing flat market with modest volume improvement in molded insulation and metals.
 Fibreboard Chairman and Chief Executive Officer John D. Roach said, "The continued improvement of all of our business groups including the record performances of Wood Products and our Northstar-at-Tahoe resort follows the decisive actions taken during the past year to lower operating costs, improve productivity and increase profits while meeting the dynamic conditions of a changing marketplace.
 "Our wood products operations were also able to benefit from rising lumber prices and performed very well during a period of soft market demand. The improved results may largely be attributed to the consolidations and restructuring achieved over the past several years that now give us added flexibility in handling our ever more valuable timber resource. A winter of greatly increased natural snowfall assisted Northstar-at-Tahoe in attracting the third-highest number of skier visits during any quarter since its opening in 1972. This excellent performance resulted from Northstar's focus on providing increased care and services for its skiers and guests coupled with an aggressive marketing effort that led to an increase in the resort's regional market share," Roach continued.
 He added, "Fibreboard's wood products and resort operations are inherently seasonal. While all of our businesses performed well in the first quarter, they are always dependent on either seasonal weather patterns or business cycles in the housing, capital goods, refining and petrochemical segments of our economy. Of course, seasonal and cyclical factors can be offset by dramatic short-term price movements, such as those that occurred during the first quarters of both 1992 and 1993.
 "The reduced interest expense for the quarter is an indicator of our ability to generate cash. Our strong operating performance is currently generating more cash than is needed for investment in existing operations. Consequently, we are evaluating acquisition opportunities within the three core businesses to further enhance shareholder value," Roach concluded.
 Fibreboard Corp., headquartered in Concord, manufactures lumber, hardwood plywood, moulding and millwork, agricultural container components, precision molded industrial insulation and fireproofing materials. It also owns and operates Northstar-at-Tahoe, a ski resort and year-round vacation and conference center in California.
 FIBREBOARD CORP. AND SUBSIDIARIES
 Summary of Sales and Earnings
 (Unaudited, Dollar Amounts in Thousands Except Per Share)
 Periods ended March 31 Quarter
 1993 1992
 Net sales $74,894 $70,860
 Income before taxes 10,881 9,461
 Net income 6,420 5,487
 Income per share - fully diluted 1.47 1.35
 Sales and Operating Profit
 By Major Product Groups (Unaudited)
 Periods ended March 31 Quarter
 1993 1992
 Outside sales
 Wood products $47,029 $45,575
 Insulation products 12,851 12,045
 Resort operations 15,014 13,240
 Total outside sales $74,894 $70,860
 Segment profit
 Wood products $ 6,367 $ 5,288
 Insulation products 1,391 1,149
 Resort operations 5,472 5,002
 Total operations 13,230 11,439
 Unallocated expense (3,301) (2,664)
 Interest expense (881) (1,302)
 Interest and other income 1,833 1,988
 Income before taxes $10,881 $ 9,461
 FIBREBOARD CORP. AND SUBSIDIARIES
 Consolidated Statements of Income
 (Unaudited, Dollar Amounts In Thousands Except Per Share)
 Periods ended March 31 Quarter
 1993 1992
 Net sales $74,894 $70,860
 Cost of sales 58,153 56,581
 Gross margin 16,741 14,279
 Selling and administrative
 expenses 6,812 5,504
 Income from operations 9,929 8,775
 Interest expense (881) (1,302)
 Interest and other income 1,833 1,988
 Income before income taxes 10,881 9,461
 Income taxes (4,461) (3,974)
 Net income $ 6,420 $ 5,487
 Earnings per share
 Primary $1.49 $1.35
 Fully diluted $1.47 $1.35
 Common equivalent shares
 (thousands)(Weighted
 average)
 Primary 4,317 4,059
 Fully diluted 4,371 4,059
 -0- 4/14/93
 /CONTACT: Stephen L. DeMaria of Fibreboard, 510-686-0700/
 (FBD)


CO: Fibreboard Corp. ST: California IN: PAP CST SU: ERN

TM-GT -- SF007 -- 5502 04/14/93 07:56 EDT
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Date:Apr 14, 1993
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