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NORD RESOURCES CORPORATION ANNOUNCES FIRST QUARTER 1993 RESULTS AND SETTLEMENT OF SECURITIES LITIGATION

 DAYTON, Ohio, May 17 /PRNewswire/ -- Nord Resources Corporation (NYSE: NRD) today announced that attorneys for all parties in the Nord Resources Corporation securities litigation pending in the United States District Court for the Southern District of Ohio have agreed in principle on a settlement of the action. Under the settlement, the company will pay a total of $4,750,000, of which $500,000 would be in cash and $4,250,000 in the company's common stock, as well as costs of notice and administration not to exceed $100,000. The final terms of the settlement agreement are subject to approval by the board of directors of the company and by the Court. Final approval by the Court is not expected prior to the third quarter of 1993. A charge to earnings of $4,750,000 has been made to the company's 1993 first quarter results of operations and is reflected in the following financial information. The company has consistently maintained that it has meritorious defenses to the proceeding but agreed to the settlement to avoid the high costs of litigation and diversion of management time and attention required in defense of the action.
 Results of operations for the first quarter ended March 31, 1993 was a net loss of $7.2 million, or $.48 per share, compared to a net loss, before a change in accounting principle, of $2.2 million, or $.14 per primary share, in the first quarter of 1992. Included in the loss in the first quarter of 1993 is the charge of $4,750,000 ($.31 per share) related to the settlement of the securities litigation discussed above. Excluding this one-time charge, the company realized a loss from operations of $.17 per share for the first quarter of 1993. Net earnings for the first quarter of 1992, including earnings of $23,480,000 ($1.54 per primary share) related to the cumulative effect of a change in an accounting principle (Statement of Financial Accounting Standards No. 109 - "Accounting for Income Taxes"), were $21,296,000 ($1.40 per primary share). Revenues for the first quarter of 1993 were $21,575,000 compared to the 1992 first quarter revenues of $20,743,000.
 The rutile segment realized revenues of $13,523,000 in the first quarter of 1993 compared to $12,276,000 in the 1992 first quarter, due primarily to 29 percent more tons sold offset by a 13 percent decrease in average sales prices of rutile. The company expects rutile prices to remain lower throughout 1993 compared to 1992 prices. Included in the rutile segment first quarter revenues was $500,000 received as a partial settlement with a defendant of litigation instituted by SRL.
 Revenues from the kaolin segment increased to $7,958,000 in the first quarter of 1993 compared to $7,599,000 during the 1992 first quarter. During the first quarter of 1993, revenues from Norplex(R), the kaolin segment's new line of pigment products, more than doubled over 1992 levels as tons sold increased to 6,300 in the first quarter of 1993 compared to 1,800 tons sold in the 1992 first quarter. However, average Norplex(R) selling prices declined in 1993 due to product sales mix and pricing pressures from competitive products.
 A decline in prices for the company's products due to a worldwide economic slowdown continues to negatively impact its operations. In spite of the slowdown, however, rutile sales are strong and Norplex(R) sales have increased markedly in the first quarter of the year. The company anticipates the average quarterly level of Norplex(R) sales over the remainder of the year will improve over the level of Norplex(R) sales in the first quarter of 1993.
 A Consolidated Summary of Operations follows:
 FOR THE QUARTER ENDED MARCH 31, 1993 1992
 Revenues $21,575,000 $20,743,000
 (Loss) Before Cumulative
 Effect of Accounting
 Change ($7,213,000) ($2,184,000)
 Cumulative Effect of
 Accounting Change --- 23,480,000
 Net earnings (Loss) ($7,213,000) $21,296,000
 Earnings (loss) per
 Common Share:
 Primary:
 Before Cumulative Effect
 of Accounting Change ($.48) ($.14)
 Cumulative Effect of
 Accounting Change --- 1.54
 Net Earnings (Loss) ($.48) $1.40
 Average Shares 15,130 15,188
 Fully Diluted:
 Before Cumulative Effect
 of Accounting Change N.A. ($.12)
 Cumulative Effect of
 Accounting Change --- 1.29
 Net Earnings --- $1.17
 Average Shares --- 18,231
 Nord Resources Corporation is a major producer of kaolin and natural rutile (a premium titanium dioxide mineral), and holds a significant interest in Nord Pacific Limited (NASDAQ: NORPF), a company engaged in the exploration for and development of precious, strategic and base metals, particularly copper.
 -0- 5/17/93
 /CONTACT: Terence H. Lang, senior vice president-finance or Susan Shahan, director of shareholder relations, both of Nord Resources Corporation, 513-433-6307/
 (NRD NORPF)


CO: Nord Resources Corporation ST: Ohio IN: MNG SU: ERN

KL -- CL016 -- 9313 05/17/93 14:46 EDT
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Publication:PR Newswire
Date:May 17, 1993
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