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JLG INDUSTRIES REPORTS FOURTH QUARTER AND YEAR-END RESULTS

 JLG INDUSTRIES REPORTS FOURTH QUARTER AND YEAR-END RESULTS
 McCONNELLSBURG, Pa., Sept. 3 /PRNewswire/ -- JLG Industries, Inc. (NASDAQ-NMS: JLGI) today reported results for its fourth quarter and fiscal year ended July 31, 1992.
 For the fourth quarter of fiscal 1992, the company reported sales of $30.7 million, an increase of 15 percent over the $26.7 million reported in the year ago quarter. The company earned operating profit before restructuring charges of $816,000, compared to an operating loss before restructuring charges of $159,000 for the fourth quarter of fiscal 1991. Taking into account restructuring charges, the operating loss was $3.3 million compared to $2.3 million in last year's fourth quarter. The net loss was $1.2 million or $.33 per share in the fourth quarter of fiscal 1992, compared to a net loss of $458,000 or $.12 per share in the same fiscal quarter of 1991.
 For the 1992 fiscal year, sales were $110.5 million, a 17 percent increase over fiscal 1991 sales of $94.4 million. Operating profit before restructuring charges was $518,000 vs. a loss of $1.4 million for fiscal 1991. Taking into account restructuring charges, the operating loss for the year was $4.4 million compared to $4.2 million last year. The net loss for the year was $3.0 million or $.85 per share compared to a net loss of $3.2 million or $.91 per share incurred in the fiscal year ended July 31, 1991.
 The restructuring charges of $4.1 million and $4.9 million for the quarter and year ended July 31, 1992, respectively, relate to the cessation of production in the company's European and Australian operations, culminating the downsizing of our foreign manufacturing capacity begun in fiscal 1991. These charges, net of tax benefits and credits were $1.3 million and $2.0 million for the quarter and year, respectively.
 Commenting on fourth quarter and year-end results, John L. Grove, chairman of the board, said, "We are pleased with the fourth quarter improvement in operating profit before the effects of restructuring charges. The stronger demand in certain domestic market sectors, aided by new product introductions and gains in market share, helped counter the continued sluggishness in other markets."
 "The leading factor in our fourth quarter and year-end net losses was our decision to cease manufacturing operations at both of our foreign plants." Grove continued, "As you know, we have tried for a number of years to make our foreign manufacturing operations solidly and consistently profitable. The Australian economy has been depressed for two years, and as we reported in our third quarter press release, our European operation incurred a loss after two consecutive profitable quarters. The continued weakening in the European economy offered little hope that JLG (Europe) would return to a profitable status in the near future as a manufacturer. And given our ability to compete effectively with U.S. sourced products, this prompted the decision to discontinue production in the U.K., mirroring the decision on Australia announced earlier."
 "We believe these actions will be of significant long-term benefit to the company. The increased manufacturing efficiency we have achieved during the last few years in our U.S. operations, coupled with our program to standardize designs, has given us the ability to manufacture machines in the U.S. to worldwide standards. Therefore, manufacturing in the U.S. and shipping finished machines overseas is now the most logical course of action. Other attendant benefits will be standardized quality, improved profitability and more flexibility in meeting price competition, as well as a more stable base of employment for our work force."
 "As we have said in the past," Grove continued, "we remain committed to serving our customers in the European Community, just as we remain committed to serving those in Australia. We will continue to provide complete sales and service support to these markets through our overseas facilities."
 L. David Black, president and chief executive officer, said, "Since the start of the current recession two years ago, JLG has increased its domestic and worldwide market share for many of its products. This success is attributable to the continual introduction of new products as well as our efforts to expand JLG's customer base and seek out and develop new distribution channels."
 "In addition, during this period we have strengthened our financial condition. Operations generated $11.4 million of cash during 1992. At July 31, 1992, we had accumulated $4.9 million in cash and had unused sources of capital of $12.0 million. As of the same date, we had no short-term debt and total debt as a percent of total capitalization was 25 percent, its lowest year-end standing since 1987."
 "The $11.8 million in reduced inventory levels, which was the major source of cash in 1992, was made possible through programs begun in fiscal 1991. And as we continue these programs in fiscal 1993, we expect to realize further inventory reductions and cost savings. These comprehensive plans involve improved materials planning and forecasting techniques, increased manufacturing efficiencies, improved factory processes, refined purchasing techniques and the standardization of designs. Assuming reasonable levels of product demand, we estimate that cost reductions realized from these programs, coupled with savings expected from discontinuing manufacturing in the U.K. and Australia, will total approximately $8 million over the next two years. Considering these significant savings and the other steps we have taken to improve our performance, you can readily see why we are bullish about JLG's future."
 "Now that the difficult decisions relating to our foreign operations are behind us," Grove concluded, "we look forward to the new fiscal year with a feeling of renewed confidence and the knowledge that our efforts to increase market share in North America and to expand into new foreign markets will be fully recognized in our financial results. We are encouraged by our improved sales performance and positive operating income before the effects of restructuring charges. Our general optimism for the new year as a whole remains somewhat tempered in the short-term due to softness in our current order rate and continued uncertainty as to the timing and strength of the economic recovery, particularly with respect to the construction industry, which is a major user of our products."
 JLG Industries, Inc. is a manufacturer and international marketer of aerial work platforms and a leading producer of truck-mounted materials- handling equipment. Sales are made principally to independent distributors who sell and rent the company's products to a broad customer base which includes users in the industrial, commercial, institutional and construction markets.
 The company is headquartered in McConnellsburg, with additional manufacturing facilities in Fort Littleton, Bedford and York, Pa., and Medley, Fla., and sales and service facilities in Scotland, France and Australia.
 JLG INDUSTRIES, INC. AND SUBSIDIARIES
 Operating Results
 (In thousands, except per-share data)
 Periods ended Three months Fiscal year
 July 31 1992 1991 1992 1991
 Net sales $30,673 $26,715 $110,479 $94,439
 Operating income (loss)
 before restructuring costs 816 (159) 518 (1,407)
 Restructuring costs 4,071 2,113 4,922 2,781
 Operating loss (3,255) (2,272) (4,404) (4,188)
 Loss before income tax benefit (3,474) (2,939) (5,771) (6,362)
 Income tax benefit (2,294) (2,481) (2,733) (3,122)
 Net loss (1,180) (458) (3,038) (3,240)
 Net loss per share ($.33) ($.12) ($.85) ($.91)
 Dividends per share --- .0625 .0625 .25
 Weighted average
 shares outstanding 3,608 3,565 3,590 3,545
 /delval/
 -0- 9/3/92
 /CONTACT: Charles H. Diller Jr., executive vp and cfo of JLG Industries, 717-485-5161/ CO: JLG Industries, Inc. ST: Pennsylvania IN: SU: ERN


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Date:Sep 3, 1992
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