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VIDEO DISPLAY RESTATES THIRD QUARTER RESULTS DUE TO WRITE-DOWN ON EQUITY INVESTMENT

 ATLANTA, Feb. 12 /PRNewswire/ -- Video Display Corporation (NASDAQ: VIDE) today announced that it has restated results for the third fiscal quarter ended Nov. 30, 1992, to reflect a write-down associated with shares of a marketable stock it currently owns.
 The write-down, a one-time charge of $820,000 or $.14 per share, represents the difference between the cost of the stock and its current market value which has significantly declined. This equity position in CXR common stock (AMEX: CXR) is the result of a 1989 merger of Digilog, Video Display's original investment, and CXR, the surviving company.
 Video Display noted that in its original Form 10-Q filing for the quarter ended Nov. 30, 1992, the unrealized loss in CXR common stock had been reported in the company's balance sheet. The decision to restate third quarter and nine-month results and write down the investment is due in part to CXR's failure to report improved financial results as well as to the length of time over which market value of the stock has been less than the cost. Generally accepted accounting procedures require that an unrealized loss in a long-term investment be reported in the income statement as a realized loss when the reduction in the market value is considered "other than temporary."
 On Jan. 14, Video Display reported an operating profit of $1.2 million and net income of $490,000 or $.12 per share. As a result of the one-time charge, the adjusted net income is a loss of $330,000 or ($0.02) per share for the quarter.
 For the nine-month period ended Nov. 30, 1992, originally reported results were an operating profit of $3.9 million and net income of $1.7 million or $0.42 per share. Adjusted results for the nine months reflect net income of $900,000 or $0.22 per share.
 Atlanta-based Video Display Corporation, with CRT (cathode ray tube) recycling and component parts manufacturing facilities in seven U.S. locations, two in Mexico, one in the United Kingdom, and one in India, is the world's leader in its industry. The combination of Fox International and Vanco, divisions of Video Display Corporation, makes this segment of the company one of the largest domestic distributors of consumer electronics parts and accessories.
 VIDEO DISPLAY CORPORATION AND SUBSIDIARIES
 CONSOLIDATED STATEMENTS OF EARNINGS
 (Unaudited)
 Fiscal Qtr. ended 11/30/92 11/30/91
 Net sales $15,558,000 $13,384,000
 Operating profit 1,223,000 1,220,000
 Realized loss on marketable securities (820,000) ---
 Net income (loss) $ (330,000) $ 487,000
 Net income per share (loss) $ (0.02) $ 0.12
 Weighted average shares outstanding 4,120,000 4,119,000
 9 mos. ended 11/30/92 11/30/91
 Net sales $46,943,000 $39,924,000
 Operating profit 3,981,000 3,346,000
 Realized loss on marketable securities (820,000) ---
 Net income $ 900,000 $ 1,466,000
 Net income per share $ 0.22 $ 0.36
 Weighted average shares outstanding 4,120,000 4,119,000
 -0- 2/12/93
 /CONTACT: Edwin B. Cordell Jr., chief financial officer of Video Display, 404-938-2080, or Janice J. Kuntz of A. Brown-Olmstead Associates, 404-659-0919, for Video Display Corporation/
 (VIDE CXR)


CO: Video Display Corporation ST: Georgia IN: CPR SU: ERN

BN-BR -- AT007 -- 6256 02/12/93 15:46 EST
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Publication:PR Newswire
Date:Feb 12, 1993
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