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RESTRUCTURING CHARGE LEADS TO PREMARK LOSS

 RESTRUCTURING CHARGE LEADS TO PREMARK LOSS
 DEERFIELD, Ill., Oct. 23 /PRNewswire/ -- Following the announcement


Oct. 9 of a major restructuring charge, Premark International, Inc. today reported a third-quarter 1992 net loss of $94.7 million, or $2.89 per share, down from net income of $18.3 million, or 58 cents per share in 1991. Sales rose nearly 7 percent to $713 million.
 The loss was due to a $137 million pretax charge primarily to restructure the company's Tupperware U.S. unit. Without this charge and the effect of adopting a new accounting rule pertaining to retiree welfare benefits, net income would have been $18.0 million, or comparable with last year. Improvement in Premark's U.S. Food Equipment Group, Ralph Wilson Plastics, and Tupperware Europe, as well as lower interest expense, was offset by declines at Tupperware's U.S. and Latin America operations and the Consumer Products Group.
 "Looking beyond the impact of the charge, Premark's balance sheet remains solid, and we continue to be encouraged by the improvement underway in key segments of our business," said Warren L. Batts, chairman and chief executive officer. "Profit for the quarter more than doubled in the Food Equipment Group's domestic operations, Ralph Wilson Plastics reported record high volume, and strength continued in Tupperware Europe.
 "We are approaching our year-end prospects with caution, however, because of the softening economies in many of our key markets worldwide and continued sales declines in the Tupperware U.S. business. Longer term, we expect the restructuring of Tupperware U.S. to save about $20 million in 1993 and $40 million annually thereafter. This should improve Tupperware's profitability and make our progress elsewhere more apparent."
 For the first nine months of 1992, Premark reported a net loss of $130.1 million, or $3.95 per share, which included the restructuring charge and the adoption of two new accounting rules. Net income for the prior year period was $54.7 million, or $1.75 cents per share. Sales for the first three quarters of 1992 increased nearly 5 percent to $2.1 billion.
 Excluding the restructuring charge and the effects of adopting the new accounting rules, net income for the nine-month period would have been up 26 percent to $69.2 million, or $2.10 per share. This improvement was driven by significant increases in the U.S. Food Equipment Group, Tupperware's Europe and Asia Pacific operations, and Ralph Wilson Plastics, as well as a substantial decline in net interest expense. This was partially offset by a $22 million loss at Tupperware U.S. and significant declines in Tupperware's Latin America operations and the Consumer Products Group.
 The new accounting rules, which were retroactive to the beginning of the year, include SFAS 106, "Employers' Accounting for Postretirement Benefits Other Than Pensions" and SFAS 109, "Accounting for Income Taxes." Most companies must adopt these rules by the first quarter of 1993.
 Adoption of SFAS 106 resulted in a one-time pretax charge of $140 million, or $98.9 million after tax, and an increase in annual expense of $8 million. Results for the first three quarters also included a pro rata amount of the $8 million. Adoption of SFAS 109 resulted in a one- time benefit of $15.0 million and lowered the after-tax charge for the Tupperware restructuring to $111 million from the previously reported $129 million. Adoption of these rules had no effect on cash flows.
 Premark International, Inc. is a $2.8 billion multinational company that markets premium products under leading brand names such as Tupperware, Hobart, Wilsonart, West Bend, Vulcan, Florida Tile, Precor and Hartco. Premark stock is listed on the New York, Pacific and London Stock Exchanges.
 PREMARK INTERNATIONAL, INC.
 CONDENSED CONSOLIDATED STATEMENT OF INCOME
 (UNAUDITED)
 (In Millions 13 Weeks 13 Weeks
 Except Per Share) Ended Ended Pct Inc.
 Sept 26, Sept 28, (Dec.)
 1992 1991 SALES
 Tupperware $241.9 $232.4 4.1
 Food Equipment 273.4 249.7 9.5
 Consumer and Decorative Products 197.6 187.3 5.5
 Total $712.9 $669.4 6.5
 SEGMENT PROFIT (LOSS)
 Tupperware ($128.6) $ 15.0 (-)
 Food Equipment 10.8 9.3 15.9
 Consumer and Decorative Products 17.1 17.5 (2.6)
 Total (100.7) 41.8 (-)
 Unallocated Expenses (4.6) (5.8) (20.2)
 Interest Expense, Net (7.0) (9.2) (24.1)
 Income (loss) before income taxes (112.3) 26.8 (-)
 Provision (Benefit) for Income Taxes (17.6) 8.5 (-)
 Net income (loss) ($94.7) $18.3 (-)
 Net Income (Loss) Per Common Share ($2.89) $0.58 (-)
 Average Number of Common Shares 32.8 31.8
 PREMARK INTERNATIONAL, INC.
 CONDENSED CONSOLIDATED STATEMENT OF INCOME
 (UNAUDITED)
 (In Millions 39 Weeks 39 Weeks
 Except Per Share) Ended Ended Pct Inc.
 Sept 26, Sept 28, (Dec.)
 1992 1991
 SALES
 Tupperware $779.6 $771.1 1.1
 Food Equipment 787.6 736.2 7.0
 Consumer and Decorative Products 555.6 523.7 6.1
 Total $2,122.8 $2,031.0 4.5
 SEGMENT PROFIT (LOSS)
 Tupperware ($76.6) $75.2 (-)
 Food Equipment 32.5 19.7 64.4
 Consumer and Decorative Products 39.7 42.3 (6.1)
 Total (4.4) 137.2 (-)
 Unallocated Expenses (14.0) (15.5) (9.7)
 Interest Expense, Net (19.8) (33.5) (41.0)
 Income (loss) before income taxes and
 cumulative effect of accounting changes(38.2) 88.2 (-)
 Provision for Income Taxes 8.0 33.5 (76.0)
 Income (loss) before cumulative
 effect of accounting changes (46.2) 54.7 (-)
 Cumulative Effect of Change
 in Accounting for:
 Income Taxes 15.0 -- NM
 Post-Retirement Benefits
 (net of tax effect of $41.1) (98.9) -- NM
 Net income (loss) ($130.1) $54.7 (-)
 Net income (loss) per common share:
 Before Cumulative Effect of
 Accounting Changes ($1.40) $1.75 (-)
 Cumulative Effect of Change
 in Accounting for:
 Income Taxes 0.45 -- NM
 Post-Retirement Benefits (3.00) -- NM
 Net Income (Loss) Per Common Share ($3.95) $1.75 (-)
 Average Number of Common Shares 32.9 31.3
 -0- 10/23/92
 /CONTACT: George Shafer of Premark, 708-405-6252/
 (PMI) CO: Premark International, Inc. ST: Illinois IN: HOU SU: ERN


KD -- NY052 -- 4222 10/23/92 14:03 EDT
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Date:Oct 23, 1992
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