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KINARK REPORTS IMPROVED SECOND QUARTER EARNINGS

 KINARK REPORTS IMPROVED SECOND QUARTER EARNINGS
 TULSA, Okla., July 16 /PRNewswire/ -- Kinark Corporation (AMEX: KIN)


today reported sales and net earnings for the second quarter ended June 30, while down from the record 1991 quarter, improved substantially from the first quarter.
 Net earnings for the second quarter increased 21 percent to $625,000, or 17 cents a share, from $516,000, or 14 cents a share, in the first quarter. Sales increased 5 percent from $7,045,000 to $7,409,000. Kinark earned $1,327,000, or 37 cents a share, in 1991 on sales of $8,450,000.
 In the six-month period, Kinark earned $1,141,000, or 31 cents a share, compared to $2,610,000, or 73 cents a share, a year earlier, reflecting the impact of the recession on construction projects requiring galvanized steel. Sales of $14,454,000 for the first six months of 1992 compared to $16,675,000 in the prior year.
 Paul R. Chastain, chairman and chief executive officer, said revenues from its largest business, Boyles Galvanizing Company, showed modest improvement over the first quarter, "but profit was flat due to the continuing weak economy and an unfavorable pricing environment in the Texas galvanizing market." Despite the slippage from record profits in 1991, Boyles is doing well in other markets outside of Texas with the volume of tonnage for non-building construction projects up 17 percent in the second quarter.
 The Lake River Terminal subsidiary in Chicago reported excellent results for the second quarter. Sales and operating profits exceeded the record attained last year due to increased demand for specialty chemical storage services. Lake River's full service operations providing bulk liquid storage, specialty chemicals blending, bagging, drumming and warehousing reflect the recession-resistant nature of this business. Sales increased 3 percent over 1991 and operating profit increased 15 percent.
 The Kinpak antifreeze subsidiary in Montgomery, Ala. started its seasonal packing in June, turning a profit for the first time in 1992. For the first six months, antifreeze volume is up 9 percent over the year earlier period.
 Chastain said that Kinark continues to generate strong cash flow. He added, "Capital spending for plant and machinery reached $2,100,000 in the first six months supporting the company's strategy to improve operating efficiencies and build our businesses. We expect business will increase in the second half due to a strong contribution from Kinpak and galvanizing improving as the economy recovers," Chastain commented. The current level of customer activity indicates that Lake River will continue its record pace in 1992.
 Kinark Corporation (AMEX and PSE), with corporate headquarters in Tulsa, operates chemical facilities in Chicago and Montgomery, and supports industrial/commercial construction and metals corrosion protection with galvanizing plants in Denver. Louisville, Nashville, St. Louis, Houston and Hurst, Texas.
 KINARK CORPORATION
 Consolidated Statements of Earnings (A)
 (In thousands of dollars, except per share)
 Periods ended Quarter Six Months
 June 30 1992 1991 1992 1991
 Net sales $7,409 $8,450 $14,454 $16,675
 Cost of sales 5,174 5,567 10,152 10,930
 Selling, admin. exp. 974 1,016 1,899 2,054
 Depreciation 407 427 802 848
 Income from
 operations $ 854 $1,440 $ 1,601 $ 2,843
 Int. exp., net 160 106 324 155
 Income taxes 69 7 136 78
 Net Earnings $ 625 $1,327 $ 1,141 $ 2,610
 Earnings Per Share $ .17 $ .37 $ .31 $ .73
 Avg. Shares
 Outstanding 3,711,417 3,595,770 3,716,015 3,590,770
 (Includes the
 dilutive effect of
 stock options, if
 applicable)
 (A) Unaudited interim statement.
 -0- 7/16/92
 /CONTACT: Carolyn A. Fredrich of Kinark, 918-494-0964, or Carl Thompson of Carl Thompson Associates, 303-494-5472, for Kinark/
 (KIN) CO: Kinark Corporation ST: Oklahoma IN: CHM SU: ERN


SH-TQ -- NY084 -- 9893 07/16/92 15:21 EDT
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Date:Jul 16, 1992
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