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SOUTHDOWN REPORTS FIRST QUARTER RESULTS; COMPANY DECLARES DIVIDEND ON SERIES B PREFERRED STOCK

 SOUTHDOWN REPORTS FIRST QUARTER RESULTS; COMPANY DECLARES DIVIDEND
 ON SERIES B PREFERRED STOCK
 HOUSTON, May 14 /PRNewswire/ -- Southdown, Inc. (NYSE: SDW), today reported a net loss of $7.4 million, or $0.51 per share, for the three- month period ended March 31, 1992, compared with a net loss of $7.5 million, or $0.52 per share, for the three-month period ended March 31, 1991. In addition, the board of directors declared a dividend on its Series B preferred stock. A semi-annual dividend of $1.875 per share on the company's Series B preferred stock will be paid on June 30, 1992, to shareholders of record on June 16, 1992.
 In the first quarter of 1992, the company's operating loss was $100,000, compared with $2.0 million a year ago. The 1992 results include a nonrecurring pre-tax gain of $2.7 million.
 The cement segment's operating earnings increased 21 percent to $11.4 million in the first quarter of 1992, compared with $9.4 million a year ago. The increase in cement earnings is primarily the result of a 15 percent increase in sales volume. In addition, the profit margin per ton of cement increased as a reduction in average unit costs more than offset a slight decline in average unit prices.
 The concrete products segment generated an operating loss of $3.4 million in the first quarter of 1992, compared with a loss of $2.4 million a year ago. An improvement in Florida ready-mix operating results was more than offset by the decline in southern California ready-mix results.
 The environmental services business generated an operating loss of $2.3 million in the first quarter of 1992, compared with a loss of $800,000 a year ago, as higher losses at several of the hazardous waste processors more than offset an improvement in resource recovery results.
 The decline in corporate and other expenses to $5.8 million in the first quarter of 1992, from $8.2 million a year ago, is primarily attributable to a $2.7 million nonrecurring gain related to shipping operations formerly owned by Moore McCormack Resources Inc.
 In the first quarter of 1992, interest expense increased by $3.7 million to $12.3 million primarily because of the issuance of $125 million of 14 percent senior subordinated notes in October 1991. In addition, in the first quarter of last year, the company incurred a $2.0 million loss related to a joint venture which was sold on Jan. 6, 1992.
 Southdown is one of the leading U.S. cement and ready-mixed concrete companies. The company manufactures cement in eight plant locations around the country and markets ready-mixed concrete in Florida and southern California. In addition, the company has entered the environmental services business and is engaged in waste processing, recycling and resource recovery.
 SOUTHDOWN, INC., AND SUBSIDIARIES
 Consolidated Summary of Operations
 (In millions, except per share amounts - unaudited)
 Quarter ended March 31 1992 1991
 Revenues:
 Cement $ 66.8 $ 62.4
 Concrete products 37.9 41.2
 Environmental services 11.2 9.0
 Corporate and other 0.1 0.6
 Intersegment sales (8.4) (9.3)
 Total 107.6 103.9
 Earnings (loss) from opers.:
 Cement 11.4 9.4
 Concrete products (3.4) (2.4)
 Environmental services (2.3) (0.8)
 Corporate and other (5.8)(A) (8.2)
 Total (0.1) (2.0)
 Equity in net loss of
 unconsolidated joint venture -- (2.0)
 Interest expense (12.3) (8.6)
 Total (12.4) (12.6)
 Estimated income tax benefit 5.0 5.1
 Net loss $ (7.4) $ (7.5)
 Loss per common share (B):
 Primary $(0.51) $(0.52)
 Fully diluted $(0.51) $(0.52)
 Average shares outstanding:
 Primary 16.9 16.9
 Fully diluted 20.3 20.3
 (A) -- Includes a $2.7 million nonrecurring gain related to shipping operations formerly owned by Moore McCormack Resources, Inc.
 (B) -- During the three months ended March 31, 1992 and 1991, dividends on preferred stock amounted to $1.3 million and $1.4 million, respectively.
 -0- 5/14/92
 /CONTACT: James L. Persky or Karen A. Twitchell of Southdown, 713-650-6200/
 (SDW) CO: Southdown, Inc. ST: Texas IN: CST SU: ERN DIV


GK -- NY049 -- 0192 05/14/92 11:44 EDT
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Publication:PR Newswire
Date:May 14, 1992
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