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SEASONALLY LOW SALES VOLUME OF ROOM AIR CONDITIONERS CAUSES NORMAL FIRST QUARTER LOSS AT FEDDERS

 SEASONALLY LOW SALES VOLUME OF ROOM AIR CONDITIONERS
 CAUSES NORMAL FIRST QUARTER LOSS AT FEDDERS
 PEAPACK, N.J., Dec. 20 /PRNewswire/ -- Fedders Corporation (NYSE: FJQ), the room air conditioner manufacturer, today announced results for the first quarter of fiscal 1992, having changed to an Aug. 31 fiscal year during 1991. In the three months ended Nov. 30, 1991, sales totaled $13.9 million vs. $9.6 million a year ago. The net loss in the quarter was $6.3 million, or 34 cents per share, compared with a loss of $10.0 million, or 54 cents per share, one year earlier.
 The company previously forecast a loss for the first quarter. In seasonally slow sales periods, Fedders' low volume does not offset year-round fixed costs for overhead expenses and non-cash charges for depreciation and amortization.
 Chief Executive Officer Sal Giordano Jr. said, "Conditions in the industry are favorable, because normal summer weather in 1991 cleared away room air conditioner inventories, and retailers must restock for the 1992 season. Fedders' profitability should improve in 1992, including the benefits from our acquisition of Emerson Quiet Kool and increased use of our own compressors."
 The company also reported it has finalized short-term financing for the current season in the amount of $69 million. Fedders and its banks amended a March 1991 revolving credit facility, eliminating defaults that previously existed and providing a current commitment of $29 million in addition to a short-term commitment of $40 million from NYCOR, Inc. (NASDAQ: NYCOA).
 FEDDERS CORPORATION
 First Quarter Results of Fiscal Year 1992
 for the Three Months ended Nov. 30, 1991
 1st Quarter Fiscal 1992 Prior-Year Period (A)
 Net sales $13,887 $ 9,613
 Net loss $(6,324) $(9,983)
 Loss per share $ (0.34) $ (0.54)
 Weighted average shares 18,573 18,515
 (A) -- Prior-year data on the new fiscal year basis is presented for comparative purposes only and has not been previously reported.
 -0- 12/20/91
 /CONTACT: Barbara VanBlarcum of Fedders, 908-234-2100/
 (FJQ) CO: Fedders Corporation ST: New Jersey IN: SU: ERN


GK-TS -- NY050 -- 4402 12/20/91 13:20 EST
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Publication:PR Newswire
Date:Dec 20, 1991
Words:348
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