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OCE-VAN DER GRINTEN NV REPORTS SECOND QUARTER RESULTS

 VENLO, the Netherlands, July 9 /PRNewswire/ -- Oce-van der Grinten NV (NASDAQ: OCENY), the Dutch copying equipment group, reported that for the second quarter ended May 31, net income was US$8.9 million, or $0.56 per share based on 15,905,842 shares outstanding, compared to $16.9 million, or $1.06 per share based on 15,895,242 shares outstanding at the fiscal 1992 year end.
 Revenues in the second quarter declined 8 percent to $360 million. Absent exchange rate effects, the decline of 3 percent equaled that in the first quarter. European revenues were especially impacted by the low level of economic activity in Europe.
 Largely reflecting the lower revenues, operating income, including interest income from financial leases, fell 28 percent to $24 million. This decline is largely due to lower revenues. The depreciation against the Dutch guilder of a number of currencies of importance to Oce also had a particularly negative impact on margins and hence on operating income. Cost reductions are being implemented throughout the group to compensate as much as possible for the stronger guilder and lower margins.
 In the United States, revenues continued to grow, and results continued to improve.
 Interest income from financial leases went up in line with the growth in the lease portfolio.
 Net financial expense (aggregate of interest incurred and `other interest received') rose by $2 million to $13 million. This is mainly attributable to higher financing requirements as a consequence of the growth in financial leases since the second quarter of 1992. Since the end of last year, however, total net financial expense has clearly stabilized under the influence of the decline in interest rates.
 Interest income from financial leases is virtually at the same level as the group's total net financial expense.
 The ongoing shift to financial leases from rentals continued to result in lowered depreciation, with the result that cash flow (net income and depreciation) declined 25 percent to $44.3 million.
 First Half Results
 Consolidated first half net income amounted to $15 million or $0.94 per share based on 15,905,842 shares outstanding, compared to $28.7 million or $1.81 per share based on 15,895,242 shares outstanding at the fiscal 1992 year end.
 Revenues declined 7 percent to $702 million. Absent exchange rate effects, revenues declined 3 percent.
 Operating income, including interest income from financial leases, declined 27 percent to $44 million.
 Cash flow (net income and depreciation) declined 24 percent to $86 million.
 Engineering systems (copying and plotting): revenues declined 11 percent to $314 million. The internal sales decline of 6 percent was the same as that of the first quarter. Large format plain paper copier revenues increased further, but insufficiently to offset the decline in Diazo and supplies revenues.
 Office systems (copying and printing): revenues declined 4 percent to $389 million. The internal sales advance of 1 percent was the same as that of the first quarter.
 Half Year Balance Sheet
 Largely reflecting retained income, shareholders' equity increased $17 million to $561 million, equaling 35 percent of total assets (34 percent at the end of fiscal 1992).
 Prospects for the Full 1993 Year
 Looking ahead in last year's annual report to prospects for 1993, the company stated that, given heightened economic activity, lower interest rates and stable exchange rates, an improvement of net income would be possible during the 1993 second half. At present, however, only interest rates are conforming. Greater economic activity in the second half is now thought to be increasingly unlikely, whilst instability reigns in the foreign exchange markets. Thus, the company does not expect that second half net income will be substantially higher than the first half's.
 Note: The company reports in Dutch guilders/florins (NLG). As a convenience for U.S. readers, the results for 1993 and 1992 have been converted at NLG 1.7809 equals $1, the noon buying rate of May 28, 1993. This compares with 1.8096 equals $1 used at this time last year.
 -0- 7/9/93
 /CONTACT: Freek Meijer or Huub Meertens of Oce-van der Grinten NV, 011-31-77-592222/
 (OCENY)


CO: Oce-van der Grinten NV ST: IN: SU: ERN

CK-MP -- NY016 -- 9840 07/09/93 10:33 EDT
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Date:Jul 9, 1993
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