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THIOKOL ANNUAL INCOME INCREASES 18 PERCENT

 THIOKOL ANNUAL INCOME INCREASES 18 PERCENT
 OGDEN, Utah, Aug. 4 /PRNewswire/ -- Thiokol Corp. (NYSE: TKC)


today reported an 18 percent increase in net income for its fiscal year ended June 30, 1992. Net income for fiscal year 1992 was $63.0 million or $3.12 per share compared to $53.4 million or $2.75 per share for the prior year.
 Annual sales of $1,311.7 million increased 4 percent over prior year's $1,255.4 million. The increase in sales was due to the inclusion of fastening systems sales of $106.9 million resulting from the purchase of Huck International Inc. in the second quarter. This was partially offset by a decline in aerospace sales of 4 percent from the prior year due primarily to reduced deliveries on several Tactical programs.
 Fourth quarter income of $20.0 million or 99 cents per share was 7 percent higher than last year's $18.6 million or 94 cents per share. Sales for the fourth quarter decreased 1 percent to $352.1 million.
 U. Edwin Garrison, chairman and chief executive officer said, "Our performance in 1992 was highlighted by record earnings and a significant acquisition in the commercial area. Continued emphasis on quality, improved productivity and cost reduction resulted in overall improved aerospace program profit margins. We are very pleased with our results."
 Space sales of $555.6 million were 1 percent lower than last year, principally due to reduced deliveries of Castor motors. Operating income increased 8 percent to $58.5 million from $54.2 million in the prior year. The increase in 1992 operating income resulted from higher income on STAR motor programs and a comparatively lower 1991 income resulting from a charge for Castor motor development costs. Space Shuttle solid rocket motor sales were flat in 1992 while program profit margins met the goals established for the year.
 Total Space Shuttle program income was 8 percent lower due to a favorable profit adjustment booked in the fourth quarter of last year on a contract nearing completion.
 Strategic sales increased 10 percent to $300.6 million during 1992. Operating income of $39.2 million represents a 58 percent increase over the prior year. The sales and income increases resulted primarily from greater Peacekeeper motor deliveries at higher profit margins. Trident programs sales were also higher than last year.
 Tactical sales declined 33 percent during 1992 to $128.9 million while operating income of $8.2 million decreased 53 percent from last year's $17.6 million. The sales decline was caused by a decrease in Standard Missile, Sidewinder, Hellfire and Maverick deliveries. The decline in income resulted from the sales decreases, reduced operating profit margins on several programs and recognition in the fourth quarter of a projected loss on the Standard Missile program.
 Ordnance sales of $219.6 million decreased 3 percent and operating income increased 56 percent to $13.8 million from $8.9 million in the prior year. The decline in sales resulted from lower operating levels at the government-owned, contractor-operated ammunition plants. The higher income results principally from higher operating margins on flare programs.
 Fastening systems sales for the eight month period beginning Nov. 1, 1991 were $106.9 million. Operating income for the like period, after allocation of Corporate expenses, was $6.7 million.
 Interest income decreased $3.8 million during the year as a result of lower interest rates and lower levels of cash and cash equivalents due to the use of approximately $150 million for the purchase of Huck in the second quarter.
 General and administrative expense for the year increased 46 percent to $59.6 million, all of which was due to the inclusion of Huck's general and administrative expense. For comparative purposes general and administrative expense for 1992, excluding Huck, was $34.5 million, a 16 percent decrease from 1991. The 1992 increase in interest expense and research and development costs are attributed to Huck operations.
 Thiokol is a major producer of solid propulsion systems, ordnance and composite products for the space and defense industries, and high technology, proprietary fastening systems.
 NOTE: Below are unaudited comparative results for the fourth quarter of fiscal year 1992, (in thousands, except per share data).
 THIOKOL CORP.
 CONSOLIDATED STATEMENTS OF INCOME
 FISCAL YEARS 1992 - 1991
 Three Months Ended Year Ended
 June 30, June 30,
 1992 1991 1992 1991
 Net sales $352,090 $355,509 $1,311,661 $1,255,433
 Interest and
 other income 2,002 3,813 10,562 14,340
 354,092 359,322 1,322,223 1,269,773
 Deductions from
 income:
 Cost of sales 293,543 307,748 1,122,419 1,108,157
 General and
 administrative
 expense 18,142 12,135 59,584 40,913
 Research and
 development
 expense 4,111 3,165 14,254 10,342
 Interest expense 6,372 5,594 24,172 22,348
 322,168 328,642 1,220,429 1,181,760
 Income before
 income taxes 31,924 30,680 101,794 88,013
 Income taxes 11,946 12,056 38,805 34,589
 Net income $19,978 $18,624 $62,989 $53,424
 Income per share $.99 $.94 $3.12 $2.75
 Average number of
 common and common
 equivalent shares
 outstanding 20,123 19,816 20,151 19,412
 -0- 8/4/92
 /CONTACT: Steve Lawson of Thiokol, 801-629-2257/
 (TKC) CO: Thiokol Corp. ST: Utah IN: ARO SU: ERN


BB -- DV001 -- 9249 08/04/92 11:19 EDT
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Date:Aug 4, 1992
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