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SEAGRAM ANNOUNCES RECORD SALES AND OPERATING INCOME; PROPOSES 4-1 STOCK SPLIT, DIVIDEND INCREASE

 SEAGRAM ANNOUNCES RECORD SALES AND OPERATING INCOME;
 PROPOSES 4-1 STOCK SPLIT, DIVIDEND INCREASE
 MONTREAL, March 18 /PRNewswire/ -- The Seagram Company Ltd. (NYSE: VO) today announced record sales and operating income for the 12 months ended Jan. 31, 1992.
 Sales rose 3.6 percent to $6.345 billion, while operating income, before reflecting a gain on divestitures net of restructuring charges, climbed 7.3 percent to $760 million.
 Operating income after the net gain reached $961 million, as compared with $708 million for the 12 months ended Jan. 31, 1991.
 After interest and taxes, income from beverage operations and dividends from E.I. du Pont de Nemours and Company (NYSE: DD) increased to $674 million or $7.11 per share. Net income fell 3.8 percent to $727 million or $7.67 per share as a result of a reduction in unremitted earnings of Du Pont.
 At a meeting held today, Seagram's board of directors unanimously voted to recommend to shareholders at the annual meeting to be held on May 20, 1992, a 4-for-1 split or division of the company's common shares. If approved, the split is expected to be effective for shares held of record at the close of business on June 1, 1992, and certificates for additional shares would be mailed as soon as practicable thereafter. Shareholders will not be required to return existing certificates.
 Edgar M. Bronfman, chairman and chief executive officer of the company, further announced that if shareholders approve the split, management will recommend to the board that the quarterly dividend on the new shares initially be set at U.S. 14 cents per share. Bronfman noted that this would represent a 12 percent increase over the previous quarterly dividend, providing a shareholder with U.S. 56 cents for each existing Seagram share, as compared to the current 50 cents.
 "It is obvious that economic conditions in a number of our key markets could be improved, but we make decisions for the longer term," Bronfman said. "We have enormous confidence in the long-term potential of our people and our brands. That is why we will continue to invest in the future and grow our business, and that is why today's board action is appropriate."
 Commenting on the year's performance, Edgar Bronfman Jr., president and chief operating officer, noted that the growth in operating income was achieved in a particularly difficult worldwide environment. He pointed out that, before the net gain on divestitures, Seagram's Spirits And Wine Group posted a 9.5 percent gain in operating income, largely as a result of margin improvements and overhead reductions.
 Spirits and wine revenues increased as a strong performance in Asia and Latin America was sufficient to overcome the effects of lower shipments in the United States and a stronger U.S. dollar which reduced local currency revenues upon translation. Despite increases in unit sales and revenues, the operating income of Tropicana Products declined primarily as a result of increased spending in support of international expansion.
 In the fourth quarter of the fiscal year, Seagram completed the sale of seven U.S. spirits brands to Jim Beam Brands Co., as well as dispositions of several small European spirits and wine operations. The gain on these divestitures was reduced by restructuring charges which principally related to reductions in work force in the United States and international spirits and wine operations. These charges included $29 million which was reflected in Seagram's reported results for the second fiscal quarter.
 In addition, $32.6 million of the amount received on the U.S. brand sale has been attributed to continuing supply and bottling arrangements and has accordingly been deferred for recognition in subsequent periods.
 The Seagram Company Ltd. is a leading global producer and marketer of distilled spirits, wines, fruit juices, coolers and mixers, and sells its brands in more than 150 countries. Seagram manages its worldwide beverage operations through two major business units and two U.S.-based specialized, premium wine operations. The Seagram Spirits And Wine Group has global responsibility for all production, brand management and marketing, sales and distribution of the company's beverage alcohol brands.
 Subsidiaries and affiliates in 30 countries comprise the largest distribution system in the spirits and wine industry. The brands include: Chivas Regal, Royal Salute and The Glenlivet Scotch Whiskies, Crown Royal and Seagram's V.O. Canadian Whiskies, Seagram's 7 Crown Blended Whiskey, Four Roses Bourbon, Seagram's Extra Dry Gin, Martell Cognacs, Janneau Armagnacs, Mumm and Perrier-Jout Champagnes, Sandeman Ports and Sherries, and Barton & Guestier Wines.
 The Seagram Beverage Group has responsibility for Tropicana Pure Premium Orange Juice, Tropicana Twister, Seagram's Coolers and Seagram's Mixers.
 The two Seagram U.S.-based premium wine operations are The Seagram Classics Wine Company and Seagram Chateau & Estate Wines Company.
 THE SEAGRAM COMPANY LTD.
 (U.S. dollars in millions, except shares and per share data)
 Periods ended Twelve Months Three Months
 Jan. 31 1992 1991 1992 1991
 (audited) (unaudited)
 Sales and other income $6,345 $6,127 $2,064 $1,929
 Operating inc. before net gain 760 708 240 209
 Gain on divestitures, net 201 -- 230 --
 Operating income 961 708 470 209
 Dividend income from E.I. du Pont
 de Nemours and Company 276 266 69 69
 Interest expense (334) (338) (86) (87)
 Provision for income taxes (229) (160) (124) (57)
 Income from beverage operations
 and Du Pont dividends 674 476 329 134
 Equity in unremitted Du Pont
 earnings 53 280 (132) 41
 Net income $727 $756 $197 $175
 Earnings per share:
 Income from beverage operations
 and Du Pont dividends $7.11 $5.06 $3.46 $1.43
 Equity in unremitted
 Du Pont earnings .56 2.97 (1.39) 0.44
 Net income $7.67 $8.03 $2.07 $1.87
 Excise taxes included in sales $1,067 $1,096 $362 $373
 Average common shares
 outstanding (thousands) 94,710 94,166 95,267 93,738
 Shares outstanding at end
 of period (thousands) 94,870 93,743 -- --
 -0- 3/18/92
 /CONTACT: Chris Tofalli of Seagram, 212-572-1118/
 (VO) CO: Seagram Company Ltd. ST: Quebec IN: FOD SU: ERN


CK -- NY051 -- 9258 03/18/92 12:57 EST
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Date:Mar 18, 1992
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