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MANVILLE REPORTS INCOME FROM CONTINUING OPERATIONS IS UP "DRAMATICALLY" IN 2ND QUARTER

 MANVILLE REPORTS INCOME FROM CONTINUING
 OPERATIONS IS UP "DRAMATICALLY" IN 2ND QUARTER
 DENVER, July 23 /PRNewswire/ -- Manville Corporation (NYSE: MVL) second quarter income from continuing operations "is up dramatically from last year, $15.4 million versus $2.2 million in 1991," Manville Chairman Tom Stephens said.
 For the second quarter sales are up 7 percent over last year, $555.3 million versus $519.1 million.
 "The second quarter reflects a significant improvement from last year in both of our operating companies: Schuller International and Riverwood International (NYSE: RVW)," Stephens said. "The recovery in operating earnings plus the very successful public equity and debe year."
 In the second quarter of this year, Manville agreed in principle to prepay $150 million of bonds held by the Manville Personal Injury Settlement Trust and to grant the Trust an option to exchange up to another $100 million in Manville bonds that it holds for Riverwood International notes held by Manville. In accounting for this proposed transaction Manville recorded an extraordinary non-cash charge of $9.4 million net of income tax, to reflect that the company was prepaying bonds using an assumed market rate of 11.8 percent, which were originally recorded at a 13 percent interest rate. Earnings per share before this extraordinary loss are $.09 for the second quarter and $.12 for the first six months of 1992. Earnings per share for the second quarter, after this extraordinary loss, are $.01 in 1992 versus $.01 in 1991.
 Year-to-date sales for 1992 are $1,052.3 million compared to $987.1 million in 1991. Income from continuing operations is $24.7 million for the first half of 1992 which is 72 percent better than the $14.3 million last year. Earnings per share in 1992 are $.04 compared to $.48 last year. Last year's results included a $40 million pre-tax gain from the settlement of a patent infringement lawsuit against Guardian Industries. The 1991 results also included a net gain of $47.4 million from the cumulative effect of accounting changes as well as $4.3 million income from discontinued operations. These items increased 1991 earnings per share by $.43.
 Tom Johnson, Riverwood International's CEO said that "in addition to continued strong performance in the second quarter and first half of 1992, on July 1, we consummated the Macon Kraft acquisition which was financed with a portion of the proceeds from our public offerings. While demand for commodity paperboard grades has still not recovered from the recession and our international markets are somewhat soft, our coated board system business as a whole is on target.
 "The prefunding of the Macon Kraft conversion to coated board will result in a negative interest rate spread between the cost of the debt and interest income from short-term cash investments that will dilute our earnings during the construction process," Johnson said. "We also expect a dilutive effect from the Macon Kraft operations until the linerboard price increases anticipated for this fall become effective. However, the mill acquisition and the $250 million conversion of Macon Kraft to our coated board product is a major element in our plan to continue to grow our unique paperboard and packaging business. We are convinced that the prefunding is the prudent way to finance a project of this nature even though it will lower short-term earnings."
 Johnson also said that the U.S. timberlands/wood products segment benefited from selling price improvements and showed an 80 percent increase in operating profits.
 Dick Kashnow, president of Schuller International, said that he is "pleased that our continuing drive for productivity improvements in our fiber glass businesses has resulted in sharply higher earnings compared to last year. While volume has picked up, prices in the first half continued to be soft in most of our businesses. Looking forward, however, prices are firming up in our construction-intensive businesses as industry capacity utilization is tightening." Schuller International, Manville's fiber glass-based subsidiary, is comprised of both the engineered products and the building products segments.
 Manville also stated that sufficient cash is on hand to pay the first two dividends to common shareholders which total $2.08 per common share. The dividends to all common shareholders will begin as soon as a final order is issued with respect to the class action lawsuit involving the Manville Personal Injury Settlement Trust and its proposed settlement of claims.
 Manville Corporation is an international holding company with two principal subsidiaries - wholly-owned Schuller International, Inc. and Riverwood International Corporation. Products sold by Schuller International, Inc. include insulation, reinforcements, filtration and building products. Many of its products are marketed under the Manville brand name. Riverwood International Corporation is a global packaging systems and paper products company. Founded in 1858, Manville Corporation and its subsidiaries employ approximately 16,000 people at more than 50 locations worldwide. Manville and its subsidiaries had approximately $3 billion in assets as of December 31, 1991.
 -0- 7/23/92 R
 /CONTACT: Donald Ferguson, 303-978-3255 or Charles Lemons (Financial), 303-978-4694, both of Manville/
 (MVL RVW) CO: Manville Corporation; Schuller International, Inc.; Riverwood
 International Corporation ST: Colorado IN: PAP SU: ERN


BB -- DV007 -- 2574 07/23/92 13:32 EDT
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Date:Jul 23, 1992
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