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GENERAL SIGNAL SECOND QUARTER EARNINGS PER SHARE RISES 18 PERCENT TO $.93

 GENERAL SIGNAL SECOND QUARTER EARNINGS PER SHARE RISES
 18 PERCENT TO $.93
 STAMFORD, Conn., July 22 /PRNewswire/ -- General Signal Corporation (NYSE: GSX) recorded second quarter net earnings of $18.1 million or 93 cents per share on sales of $420.6 million, it was announced today by Edmund M. Carpenter, chairman and chief executive officer. In the year- ago period, the company posted earnings of $15.2 million, or 79 cents per share on sales of $410.9 million.
 For the six months ended June 30, net earnings were $34.8 million or $1.79 per share on sales of $832.5 million. This compares to net earnings of $29.4 million or $1.53 per share on sales of $808.4 million a year ago.
 Orders for the quarter rose 8.7 percent to $425.7 million and for the six month period orders totaled $862.9 million for a gain of 10.8 percent.
 Operating earnings for the process controls sector declined modestly from year-ago levels and were essentially flat compared to first quarter levels. Operating earnings and margins for the six months were above year-ago levels aided by continued improvements at the Leeds & Northrup unit.
 The electrical controls sector's operating earnings for the three and six month periods also declined modestly from prior year results, reflecting continued softness in non-residential construction and a weaker computer equipment market.
 Industrial technology's operating earnings rose for the quarter and six months, reflecting reduced losses at the company's GCA unit and higher earnings from telecommunications and electronic farebox and vending equipment operations.
 "We continued to make progress toward our financial goals during the quarter," Carpenter added, "as our return on average equity improved to 14.5 percent from 12.3 percent a year ago. Our selling, general and administrative expense to sales ratio was 20.2 percent compared to 20.5 percent last year. Our working capital to sales ratio of 17.0 percent, though up from the 15.5 percent level of a year ago, remains very respectable and well within our targeted range. The long-term debt-to- capitalization ratio was 39.7 percent at the end of June compared to 40.7 percent last year. In addition, the company has completed six 'bolt-on' acquisitions this year, augmenting the market presence of key business units.
 "While several of our served markets remain soft within a slowly expanding economy, we view our first half results and second half expectations as generally favorable," Carpenter concluded.
 General Signal Corporation, with 1991 sales of $1.6 billion, is a leading manufacturer of equipment and instruments for the process control, electrical, semiconductor and telecommunications industries.
 GENERAL SIGNAL CORPORATION
 Consolidated Statement of Earnings
 (Unaudited)
 (In thousands except per-share data)
 Three months ended Six months ended
 6/30/92 6/30/91 6/30/92 6/30/91
 Net sales 420,554 410,862 832,499 808,362
 Cost of sales 305,389 298,516 602,528 586,508
 Gross margin 115,165 112,346 229,971 221,854
 Selling, general &
 administ. expenses 84,859 84,255 170,154 165,962
 Operating earnings 30,306 28,091 59,817 55,892
 Net interest expense 5,628 6,786 11,862 14,735
 Earnings before income
 taxes 24,678 21,305 47,955 41,157
 Income taxes 6,554 6,080 13,188 11,738
 Net earnings 18,124 15,225 34,767 29,419
 Earnings per share of
 common stock .93 .79 1.79 1.53
 Average common shares
 outstanding 19,534 19,270 19,460 19,267
 GENERAL SIGNAL CORPORATION
 Sector Performance
 (Unaudited)
 (In thousands)
 Three months ended June 30 1992 1991
 Net sales
 Process Controls $ 173,200 $ 180,400(A)
 Electrical Controls 140,000 128,600
 Industrial Technology 107,400 101,900(A)
 420,600 410,900
 Operating Earnings
 Process Controls 15,600 16,100(A)
 Electrical Controls 10,000 10,600
 Industrial Technology 6,800 3,600(A)
 Total operating earnings before
 unallocated expenses, equity income
 and interest 32,400 30,300
 Six months ended June 30 1992 1991
 Net sales
 Process controls 348,000 349,300(A)
 Electrical Controls 276,900 254,600
 Industrial Technology 207,600 204,500(A)
 832,500 808,400
 Operating Earnings
 Process Controls 31,300 29,700(A)
 Electrical Controls 20,700 21,100
 Industrial Technology 10,700 7,700(A)
 Total operating earnings before
 unallocated expenses, equity income
 and interest 62,700 58,500
 (A) 1991 sales and operating earnings have been restated to reflect the transfer of a unit to Industrial Technology from Process Controls.
 GENERAL SIGNAL CORPORATION
 Consolidated Balance Sheet
 (Unaudited)
 (In thousands)
 6/30/92 12/31/91
 Assets
 Current assets
 Cash and cash equivalents 11,844 18,352
 Accounts receivable, net 312,976 294,441
 Inventories 256,518 246,130
 Prepaid expenses and other current assets 32,456 26,640
 Deferred taxes 16,244 16,369
 630,038 601,932
 Property, plant and equipment, net 256,569 263,650
 Investments, intangibles and
 other assets, net 351,291 314,616
 1,237,898 1,180,198
 Liabilities and shareholders' equity
 Current liabilities
 Notes payable and current maturities
 of long-term debt 18,114 13,479
 Accounts payable 131,612 128,876
 Accrued expenses 155,010 179,264
 Income taxes 42,839 36,429
 347,575 358,048
 Long-term debt less current maturities 332,508 289,839
 Other noncurrent liabilities 52,875 55,875
 Shareholders' equity 504,940 476,436
 1,237,898 1,180,198
 -0- 7/22/92
 /CONTACT: Nino J. Fernandez vice president-investor relations, 203-357-8800/
 (GSX) CO: General Signal Corporation ST: Connecticut IN: CPR SU: ERN


LD-KW -- NY107 -- 2171 07/22/92 18:00 EDT
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Date:Jul 22, 1992
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