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WASHINGTON SCIENTIFIC REPORTS FISCAL 1993 LOSS

 MINNEAPOLIS, Nov. 19 /PRNewswire/ -- Washington Scientific Industries, Inc. (NASDAQ: WSCI) today reported a net loss of $5,555,000, or $2.33 per share, for the fiscal year ended Aug. 29, 1993. This compares with a net loss of $1,264,000, or 53 cents per share, for fiscal 1992. Net sales for fiscal 1993 were $29,293,000, compared with $44,388,000 in fiscal 1992.
 The company's loss from continuing operations for fiscal 1993 was $4,021,000, or $1.69 per share, compared with a loss of $716,000, or 30 cents per share, from continuing operations in fiscal 1992. During fiscal 1993, the company incurred an after tax loss of $1,534,000, or 64 cents per share, relating to the operations and disposition of its Advanced Custom Molders subsidiary. The company's fiscal 1993 results reflect the adoption of the Financial Accounting Standards Board Statement No. 109, retroactive to the beginning of the year and the reversal of most previously recorded income tax benefits.
 Washington Scientific indicated that its losses from continuing operations in fiscal 1993 resulted from several factors, including lower production requirements from one of the company's major customers, under-utilization of the company's Owatonna, Minn., manufacturing facility and the establishment of reserves for excess inventory relating to one of the company's major programs. The company also indicated that several new projects for both new and continuing Contract Manufacturing customers have recently been initiated at the company's Owatonna manufacturing facility.
 Washington Scientific Industries is a Minnesota-based provider of high precision manufacturing services for a variety of industries. The company produces machined metal components and subassemblies in two Minnesota plants.
 WASHINGTON SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARIES
 CONSOLIDATED STATEMENT OF OPERATIONS (unaudited)
 (In thousands except share and per share data)
 Years Ended 13 Weeks Ended
 8/29/93 8/30/92 8/29/93 8/30/92
 Net sales $29,293 $44,388 $7,701 $10,136
 Cost of products sold 28,839 39,330 8,746 8,567
 Gross margin 454 5,058 (1,045) 1,569
 Selling and
 administrative expense 3,594 3,195 1,302 673
 Provision for costs related
 to restructuring and
 plant closing -- 1,713 -- (378)
 Interest and other income (16) (204) 4 (171)
 Interest expense 990 1,147 392 265
 Earnings (loss) from
 continuing operations
 before income
 taxes (benefit) (4,114) (793) (2,743) 1,180
 Income taxes (benefit) (93) (77) (93) 522
 Earnings (loss) from
 continuing operations (4,021) (716) (2,650) 658
 Discontinued operations:
 (Loss) from operations of
 discontinued Advanced Custom
 Molders segment, net of
 income tax benefit (847) (548) (271) (475)
 (Loss) on disposal of
 Advanced Custom Molders
 segment, net of income
 tax benefit (687) -- (507) --
 Net earnings (loss) ($5,555) ($1,264) ($3,428) $183
 Earnings (loss) per share:
 Earnings (loss) from
 continuing operations ($1.69) ($ .30) ($1.11) $.28
 (Loss) on discontinued
 operations (.64) (.23) (.33) (.20)
 Net earnings (loss)
 per share ($2.33) ( $.53) ($1.44) $.08
 Weighted average number of
 common shares outstanding 2,382 2,380 2,382 2,380
 (a) Prior quarters of FY 1993 have been restated.
 WASHINGTON SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARIES
 CONSOLIDATED BALANCE SHEETS (audited)
 (in thousands)
 8/29/93 8/30/93
 Assets:
 Total current assets $6,486 $8,046
 Property, plant and equipment, net 11,517 13,808
 Net assets of discontinued operations 4,511
 Other 693 168
 Total Assets $18,696 $26,533
 Liabilities and Stockholders' Equity:
 Total current liabilities $7,408 $8,663
 Long-term debt 5,491 6,500
 Deferred income taxes 129
 Long-term pension liability 842 718
 Stockholders' equity 4,955 10,523
 Total Liabilities and
 Stockholders' Equity $18,696 $26,533
 -0- 11/19/93
 /CONTACT: Jack Falker of Swenson Falker Associates, 612-371-0000, for Washington Scientific Industries; or Bill Lucke of Washington Scientific Industries, 612-473-1271/
 (WSCI)


CO: Washington Scientific Industries, Inc. ST: Minnesota IN: SU: ERN

DB-AL -- MN015 -- 4483 11/19/93 16:39 EST
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Date:Nov 19, 1993
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