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SEALRIGHT REPORTS RECORD YEAR; EARNINGS REBOUND IN FOURTH QUARTER

SEALRIGHT REPORTS RECORD YEAR; EARNINGS REBOUND IN FOURTH QUARTER
 OVERLAND PARK, Kan., Jan. 20 /PRNewswire/ -- Sealright Co. Inc. (NASDAQ: SRCO), a manufacturer of packaging and packaging systems for the grocery and dairy industries, reported higher sales and earnings for the fourth quarter and the year ended Dec. 31, 1991, according to preliminary figures released today.
 As expected, net income rebounded in the fourth quarter, reversing a third-quarter shortfall. Sealright ended the year with record earnings of $15.9 million, or $1.44 a share, eclipsing 1990's results by 2 cents a share.
 Sales in the final quarter of 1991 increased 28.7 percent to $58.5 million from $45.5 million in the fourth quarter of 1990. Net income for the quarter increased 21.6 percent to $2.3 million from $1.9 million in the final quarter of 1990. Per-share earnings in the fourth quarter increased to 21 cents from 17 cents in 1990.
 Unaudited sales for the year were $258.3 million, an increase of 25.5 percent from $205.9 million in 1990. Net income increased 1.4 percent to $15.9 million from $15.7 million in 1990. Earnings per share, which were two cents off of last year's pace after the third quarter, increased to $1.44 for the year versus $1.42 for 1990.
 "This was the ninth consecutive year for record growth," Chairman and Chief Executive Officer Marvin W. Ozley said. "This past year's results are especially noteworthy in light of the current economic climate. Our people continue to be dedicated and committed to improving the performance of the company."
 Figures for 1991 include sales by Jaite Packaging, an Ohio-based flexible-film converter, which Sealright acquired at year end 1990. "Jaite made a positive contribution to Sealright earnings in 1991 and will continue to play a strategically important role as we serve new packaging customers and markets," Ozley said.
 Sales increased in most product lines during the fourth quarter. In particular, sales of frozen dairy dessert packaging showed gains in the eastern U.S. where Sealright's round packaging continues to gain favor.
 Operating costs at Sealright's rigid-plastics plant in California were reduced in the fourth quarter. Meanwhile, sales of flexible packaging to the California dried-fruit industry showed some recovery from the effects of a late harvest.
 As announced earlier, Sealright refinanced its long-term debt in the fourth quarter, exchanging variable-rate secured debt for unsecured fixed-rate term loans. At the same time, the company increased its revolving credit line to provide additional working capital and temporary funding of potential acquisitions. Also in the fourth quarter, Sealright raised its regular quarterly dividend to 10 cents a share from 9 cents.
 Sealright is North America's leading supplier of packaging and packaging systems for ice cream and other frozen dairy desserts. The company also produces paperboard and plastic food and dairy packaging and, through wholly owned subsidiaries Packaging Industries and Jaite Packaging, flexible packaging and labeling for grocery products.
 SEALRIGHT CO. INC.
 4TH QUARTER COMPARISONS, 1991-1990
 For the period ended Dec. 31, 1991
 (in thousands, except per-share data)
 1991 1990
 Net Sales $58,517 $45,482
 Cost of Sales 44,675 36,172
 Gross Profit 13,842 9,310
 Selling, General & Admin. Expense 7,465 5,552
 Operating Income 6,377 3,758
 Interest Expense 803 320
 Other Expense 180 132
 Income Before Income Taxes 4,955 3,306
 Provisions for Income Taxes 2,615 1,381
 Net Income $ 2,340 $ 1,925
 NET INCOME PER SHARE $0.21 $0.17
 NUMBER OF SHARES OUTSTANDING 11,058 11,045
 SEALRIGHT CO. INC.
 12-MONTH COMPARISONS, 1991-1990
 For the period ended Dec. 31, 1991
 (in thousands, except per-share data)
 1991 1990
 Net Sales $258,349 $205,861
 Cost of Sales 195,853 152,546
 Gross Profit 62,496 53,315
 Selling, General & Admin. Expense 29,932 25,057
 Operating Income 32,564 28,258
 Interest Expense 3,730 1,407
 Other Expense 1,289 789
 Income Before Income Taxes 27,545 26,062
 Provisions for Income Taxes 11,624 10,365
 Net Income $ 15,921 $ 15,697
 NET INCOME PER SHARE $1.44 $1.42
 NUMBER OF SHARES OUTSTANDING 11,058 11,045
 -0-
 /CONTACT: David Burket or Larry Pfautsch, for Sealright, 816-474-9407/
 (SRCO) CO: Sealright ST: Kansas IN: SU: ERN


RM -- SF007 -- 1542 01/20/92 17:04 EST
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Date:Jan 20, 1992
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