Printer Friendly

IMC FERTILIZER ANNOUNCES WRITE-DOWN OF OIL AND GAS INVESTMENT

 NORTHBROOK, Ill., Jan. 7 /PRNewswire/ -- IMC Fertilizer Group, Inc. (NYSE: IFL) announced today that because of the recent decline in oil prices, the value using current prices of the proved reserves of the Company's oil and gas partnership is less than the carrying value of its investment in the partnership. As a result, the company expects to record a non-cash, non-operating pre-tax charge to its second quarter fiscal 1993/94 financial results of approximately $19 million (based on Jan. 5, 1994 closing oil prices) in accordance with SEC guidelines.
 The amount of the charge will be adjusted based on the price of oil at the time IFL closes its second fiscal quarter books later in January.
 The writedown will reflect the calculation of proved reserve values pursuant to SEC guidelines for successful-efforts oil and gas producers that require future net revenues reflect current contract prices.
 Wendell F. Bueche, President and Chief Executive Officer of IFL, said: "The write-down of our oil and gas investment is required by financial reporting requirements solely to reflect the impact of the recent decline in oil prices."
 IMC Fertilizer is a leading producer of potash and, through its IMC- Agrico joint venture, also is one of the world's largest producers of phosphate rock and concentrated phosphates. The Company also produces sulphur, oil and natural gas.
 -0- 1/7/94
 /CONTACT: John E. Galvin (investors), 708-205-4814; or Thomas C. Pasztor, 708-205-4801, both of IMC Fertilizer Group/
 (IFL)


CO: IMC Fertilizer Group, Inc. ST: Illinois IN: AGR CHM SU:

MP-SH -- NY010 -- 0055 01/07/94 09:39 EST
COPYRIGHT 1994 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1994 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jan 7, 1994
Words:261
Previous Article:NYSEG PRICES SOLID WASTE DISPOSAL REVENUE BONDS
Next Article:ACS ENTERPRISES SIGNS AGREEMENTS TO ACQUIRE WIRELESS CHANNEL RIGHTS AND SYSTEMS IN 3 MARKETS FOR $30MM; FILES S-3 REGISTRATION STATEMENT
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters