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UNIVERSAL CORPORATION REPORTS THIRD QUARTER EARNINGS

 RICHMOND, Va., May 6 /PRNewswire/ -- Universal Corporation (NYSE: UVV) reported that earnings for the third quarter ended March 31, 1993, were $19.1 million or $.58 per share on gross revenues of $837 million compared to earnings of $18.8 million or $.57 per share on gross revenues of $942 million for last year's third quarter. For the nine months ended March 31, 1993, earnings increased 15 percent to $78.1 million or $2.37 per share vs. $67.8 million or $2.07 per share for the same period last year. Gross revenues were $2.6 billion for the nine months compared to $2.5 billion through last year's third quarter.
 Domestic tobacco results for the nine months, which included shipments of prior year's crops, were up slightly over last year's comparable period. Customer requirements of burley tobacco for the current year were less than last year's record levels as reflected in lower domestic results for the third quarter.
 Results from the African and South American operations were up compared to the performance for last year's third quarter and comparable nine months, although partially offset by costs related to increased inventory levels in Europe. Overall performance is expected to be strong from foreign tobacco operations for the remainder of the fiscal year.
 While remaining ahead of last year's pace through the nine months, due principally to accelerated shipments, dark tobacco results in the quarter were down on reduced volumes caused principally by drought conditions in growing areas of Northern Brazil. Results from the agri- products operation for the quarter were similar to last year but for the nine months were up sharply. The comparative improvement was largely attributable to the sale last year of the peanut operations.
 In the third quarter, Universal sold its U.S. laminated flatboard finishing company which resulted in a gain on the sale. The finishing company's operations were profitable, but were not complementary to the long-rage strategy in lumber and building products distribution. Operating profits in the remaining lumber and building products were steady for the current quarter and the nine months in spite of the recessionary climate in Europe.
 In February 1993, the previously announced acquisition of The Casalee Group, S.A. was completed. Casalee has significant processing operations in Brazil and Africa and trading operations in Europe and the Far East, as well as in other key non-U.S. markets, including Russia. This important strategic acquisition has increased Universal's leaf processing and sales capabilities and has enhanced its competitive position in foreign markets. In March 1993, the company issued approximately 2.7 million shares of common stock, receiving net proceeds of $71 million for the purpose of repaying a portion of the borrowings incurred to acquire and fund Casalee and for general corporate purposes, including ongoing expansion and growth of the company's business. The acquisition of Casalee should increase earnings per share in fiscal year 1994 and future years.
 UNIVERSAL CORPORATION
 (Unaudited)
 Consolidated Statements of Income
 Third Quarter Ended March 31, 1993 and 1992
 Third Quarter Ended,
 March 31,
 1993 1992
 (In Thousands of Dollars)
 Sales and Other Operating Revenues $836,688 $941,548
 Cost and Expenses
 Cost of Goods Sold 741,305 839,775
 Selling, General & Administrative
 Expenses 56,113 59,229
 Interest 10,366 12,698
 Total 807,784 911,702
 Income Before Income Taxes and
 Other Items 28,904 29,846
 Income Taxes 11,565 11,951
 Minority Interests (477) 868
 Income From Consolidated Operations 17,816 17,027
 Equity of Unconsolidated Affiliates 1,266 1,786
 Net Income $ 19,082 $ 18,795
 Per Common Share:
 Net Income $.58 $.57
 Dividend Declared $.22 $.20
 Average Common Shares Outstanding 33,043,247 32,862,058
 UNIVERSAL CORPORATION
 (Unaudited)
 Condensed Consolidated Statements of Income
 Nine Months Ended March 31, 1993 and 1992
 Nine Months Ended
 March 31,
 1993 1992
 (In Thousands of Dollars)
 Sales and Other Operating Revenues $2,551,563 $2,511,187
 Cost and Expenses
 Cost of Goods Sold 2,219,783 2,196,996
 Selling, General & Administrative
 Expenses 179,387 174,792
 Interest 34,976 37,505
 Total 2,434,146 2,409,293
 Income Before Income Taxes and
 Other Items 117,417 101,894
 Income Taxes 42,270 36,447
 Minority Interests (312) 846
 Income From Consolidated Operations 75,459 64,601
 Equity of Unconsolidated Affiliates 2,648 3,229
 Net Income $ 78,107 $ 67,830
 Per Common Share:
 Net Income $2.37 $2.07
 Dividend Declared $.64 $.59
 Average Shares Outstanding 32,923,811 32,808,855
 NOTES:
 1. The results of operations for the nine-month period ended March 31, 1993, are not necessarily indicative of results to be expected for the year ending June 30, 1993. All adjustments necessary to fairly state the results for such period have been included and are of a normal recurring nature.
 2. On Feb. 12, 1993, the company completed the acquisition of The Casalee Group SA and certain of its subsidiaries. Casalee's results of operations will be reported on a March 31 fiscal year-end basis and will be included in the company's June 30 fiscal year. Therefore, consolidated results of operations for the nine months ended March 31, 1993, do not include any amounts for Casalee.
 -0- 5/6/93
 /CONTACT: O. Kemp Dozier of Universal Corporation, 804-359-9311/
 (UVV)


CO: Universal Corporation ST: Virginia IN: TOB SU: ERN

MH-TW -- DC021 -- 5529 05/06/93 14:06 EDT
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Publication:PR Newswire
Date:May 6, 1993
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