YOUNGSTOWN, Ohio, Oct. 24, 1995 -- href="chap11.pharmor.html">Phar-Mor, Inc.
announced today that it has filed a Registration Statement on Form
10 with the Securities and Exchange Commission in order to register
its securities. The National Association of Securities Dealers has
informed the Company that it will be listed on Nasdaq's Small Cap
market concurrent with the filing. Upon completion of the SEC's
review of Form 10, the Company expects to be listed on the Nasdaq
National Market listing.
For the 52-week period ended July 1, 1995, earnings before
interest, taxes, depreciation and amortization (EBITDA) for the 102
stores operating at the time the Company emerged from Chapter 11 on
September 11, 1995, were $48.1 million, compared to $34.6 million
for the 53 weeks ended July 2, 1994 (a 39% increase), while
comparable store sales declined 4.5% for the same period. EBITDA
for all stores during the 52-week period ended July 1, 1995 was
$55.9 million, compared with $52.6 million for all stores operating
during the 53 weeks ended July 2, 1994.
On a pro forma basis (including all adjustments for fresh start
accounting, elimination of non-recurring reorganization costs and
interest expense for the new debt of the reorganized Company) net
earnings for the 102 stores for the 52 weeks ended July 1, 1995 were
$7.6 million, or $.63 per share.
The audited balance sheet of the reorganized Company was also
included in the Form 10. The reorganized Company has $89.5 million
in tangible net worth, $80.9 million in cash (net of reorganization
costs and distributions) and approximately $158.1 million in long-
term debt and capital lease obligations. In addition, the Company
has established a $100 million revolving credit facility with
BankAmerica, which has not been drawn upon.
The Company said it expects to announce its results for the 13
weeks ended September 30, 1995 in early November.
Phar-Mor improved EBITDA performance by eliminating a number of
unprofitable product lines, repositioning other categories and
enhancing the overall efficiency of its operations.
Phar-Mor, headquartered in Youngstown, Ohio, is a deep-discount
retail chain with 102 stores in 18 states.
/CONTACT: Gary Holmes of Robinson Lake Sawyer Miller, 212-484-7736/
SECAUCUS, N.J.--Oct. 24, 1995--href="chap11.jamesway.html">The Jamesway
Corporation announced today that the U.S. Bankruptcy Court
for the
Southern District of New York has approved, on an interim basis, use
of its $25 million debtor-in- possession financing facility, to be
provided by a group of banks led by CIT Group/Business Credit, Inc.
A hearing for final approval of the DIP financing is scheduled for
November 7.
Separately, Jamesway informed the Court that it is soliciting
bids from liquidators for the sale of the company's inventory.
Michael J. Sherman, a member of the Board of Directors and
Executive Vice President-Special Projects, said, "We are committed
to following a course of action that will generate the greatest
return to creditors and equity holders. That commitment will guide
our decision making as we explore our options."
Jamesway continues to operate 90 retail stores throughout New
York, New Jersey, Pennsylvania, Delaware, Maryland, Virginia, and
West Virginia. All stores are currently open for business.
CONTACT: Kekst and Company,
Jim Fingeroth/Jason Lynch, 212/593-2655
CLEVELAND, Ohio--October 24,
1995--Cleveland-Cliffs Inc today reported third quarter earnings of
$17.3 million, or $1.45 a share. Earnings in the third quarter of
1994 were $14.8 million, or $1.23 a share.
The $2.5 million
increase in third quarter earnings was principally due to increased
North American sales volume, higher Australian earnings, and lower
costs, partially offset by a higher effective income tax rate and a
$1.8 million after-tax reserve against accounts receivable.
Net
income for the first nine months of 1995 was $43.2 million, or $3.61
a share, including two large special items recorded in the second
quarter: a $12.2 million tax credit resulting from the settlement
of prior years' tax issues, and a $6.7 million after-tax increase in
the reserve for environmental expenditures.
Excluding the
special items, earnings for the first nine months of 1995 were $37.7
million, or $3.15 a share. In the first nine months of 1994,
earnings were $27.4 million, or $2.27 a share. The $10.3 million
increase in nine month earnings (excluding the special items) was
mainly due to increased North American sales volume, higher
royalties and management fees, lower costs, and higher Australian
earnings, partially offset by the higher effective income tax rate
and the reserve for accounts receivable.
Earnings in the third
quarter and first nine months of 1995 were favorably impacted by the
acquisition of Northshore Mining Company onSeptember 30, 1994.
Cliffs-managed mines in North America produced 10.6 million tons of
iron ore in the third quarter of 1995 compared with 9.3 million tons
in 1994. Nine month production was 29.4 million tons in 1995 versus
25.7 million tons in 1994. Full year production is expected to be
approximately 40.0 million tons, a 4.8 million ton increase from
1994. Cliffs' share of scheduled production is approximately 10.0
million tons in 1995 compared with 6.8 million tons in 1994. Higher
production in 1995 principally reflects the acquisition of
Northshore. Cliffs' North American pellet sales in the third
quarter of 1995 were 3.2 million tons compared with 2.2 million tons
in 1994. Nine month sales were 7.0 million tons versus 4.6 million
tons in 1994. Higher sales in 1995 reflect the acquisition of
Northshore and shipment timing. Cliffs' pellet sales for the year
1995 are estimated to be approximately 10.5 million tons versus 8.2
million tons in 1994. Sales volume in both years includes resale of
purchased ore.
On September 29, 1995, href="chap11.mclouth.html">McLouth Steel Products
Company, a significant customer, petitioned for protection under
Chapter 11 of the U.S. Bankruptcy Code. At the time of the filing,
Cliffs had an unreserved receivable from McLouth of $5.0 million,
secured by liens on certain McLouth fixed assets. A $2.7 million
reserve against the receivable was recorded in September, resulting
in a $1.8 million after-tax charge.
Since the petition,
McLouth
has maintained operations and obtained access to debtor-in-
possession financing and Cliffs has continued pellet shipments. WCI
Steel Inc., another significant customer, has reached a tentative
settlement of its strike. Cliffs' total expected shipments for 1995
have not been affected by developments at McLouth or WCI.
Cleveland-Cliffs Inc subsidiaries manage seven iron ore mines in
North America and Australia. The Company has equity interests in
six of the mines, holds a substantial iron ore reserve position in
the United States, is a major iron ore merchant, and is pursuing
development of a direct reduced iron business.
CONTACT: Cleveland-Cliffs Inc,
Cleveland. Media: David L. Gardner, Manager-Public
Relations, 216/694-5407; Financial
Community: Fred B. Rice, Manager-Investor
Relations, 800/214-0739
BOSTON, Mass., Oct. 24, 1995 -- MGI Properties ("MGI")
(NYSE:
MGI), today reported that a subsidiary has entered into a
conditional agreement to sell to Jordan's Furniture for $11,500,000
the approximate 105,000 square-foot building previously constructed
for and leased to Bradlees in Peabody, Massachusetts. The sale is
conditioned upon Bradlees' formal rejection of its lease with MGI on
or before December 31, 1995, subject to bankruptcy court approval,
in the pending Bradlees'
Chapter 11 bankruptcy proceeding. Bradlees
filed for bankruptcy June 23, 1995.
/CONTACT: Phillip C. Vitali, Executive Vice President and Treasurer
of MGI, 617-330-5335/
CONSHOHOCKEN, Pa., Oct. 24, 1995 -- Quaker Chemical
Corporation (Nasdaq: QCHM), a producer of industrial chemical
specialty products, today announced record sales for the third
quarter and nine months ended September 30, 1995.
For the quarter, record net sales of $57.8 million were 15%
higher than the third quarter of 1994. Earnings for the quarter of
$.24 per share, which were reduced by a one-time charge of
approximately $.02 per share associated with a recently declared
bankruptcy of [McLouth Steel Co.,]
one of the company's U.S. steel
customers, declined $.02 per share when compared to the third
quarter of 1994. Through nine months, net sales increased 20% to
$171.4 million, while earnings of $.74 per share were even with
last year.
Remarking on the company's third quarter performance, Ronald J.
Naples, Quaker's recently named President and Chief Executive
Officer, noted that the company generated another solid quarter in
terms of net sales, particularly in Europe. He also indicated,
however, that pricing conditions in the company's major markets
remained highly competitive thus making it difficult to fully
recover gross margin losses resulting from significant year-to-year
raw material cost inflation.
Quaker Chemical Corporation, headquartered in Conshohocken,
Pennsylvania, is one of the largest companies in the world devoted
primarily to the production of chemical specialty products for the
aerospace, automotive, bearing, can, fluid power, metalworking, pulp
and paper, and steel industries. Through its worldwide family of
affiliates and licensees, Quaker manufactures and markets high
quality performance products and provides total fluid management
services to industrial customers around the globe.
QUAKER CHEMICAL CORPORATION
Consolidated Statement Of Income
For The Period Ended September 30
Unaudited
Dollars in thousands except per share data
Third Quarter Nine Months
1995 1994 1995 1994
Net sales $ 57,872 $ 50,117 $ 171,434 $ 142,557
Other income, net 585 355 1,485 1,294
Total 58,457 50,472 172,919 143,851
Costs and expenses:
Cost of goods sold 34,434 28,220 102,269 80,352
Selling, administrative
and general expenses 20,030 18,143 58,705 51,882
Total 54,464 46,363 160,974 132,234
Income from operations 3,993 4,109 11,945 11,617
Interest expense (472) (373) (1,207) (1,107)
Interest income 52 50 202 346
Income before taxes 3,573 3,786 10,940 10,856
Taxes on income 1,429 1,539 4,354 4,332
Total 2,144 2,247 6,586 6,524
Equity in net income of
associated companies 23 231 220 555
Minority interest in net
income of subsidiaries (68) (125) (321) (286)
Net income $2,099 $2,353 $6,485 $6,793
Per share data:
Net income $0.24 $0.26 $0.74 $0.74
Based on weighted average
number of shares
outstanding 8,812,074 9,182,098 8,813,387 9,229,236
DALLAS, Texas--Oct. 24, 1995--PC Service
Source Inc.
(NASDAQ:PCSS) Tuesday announced third quarter results for the three
months ended Sept. 30, 1995.
Net revenues for the quarter increased 49 percent to $16.3
million, compared with net revenues of $10.9 million for the quarter
ended Sept. 30, 1994. The company reported a net loss of $1,667,000
($.38 per share) compared with net earnings of $465,000 ($.11 per
share) for the quarter ended Sept. 30, 1994.
For the nine months ended Sept. 30, 1995 net revenues increased
59 percent to $48.4 million compared with net revenues of $30.5
million for the nine months ended Sept. 30, 1994. The year-to-date
loss of $1,537,000 ($.35 per share) compares to net earnings of
$1,377,000 ($.34 per share) in 1994.
The loss for the quarter included one-time after tax charges
totaling $1,156,000. The one-time charges include certain items
resulting from the bankruptcy of href="chap11.intelogic.html">Intelogic Trace.
The company has reached a settlement with Intelogic Trace
pursuant to which the company will receive funds held in escrow of
approximately $900,000 and release its remaining claims against the
bankrupt estate of Intelogic Trace. The company recognized a pretax
charge to earnings of $340,000 for the unreserved portion of the
Intelogic Trace receivable.
In addition, during the quarter, the company recognized a one-
time pretax charge of $931,000 in connection with the write down of
assets which were acquired from Intelogic Trace relating to the
remanufacturing business that was consolidated into Cyclix
Engineering (PCSS's remanufacturing subsidiary).
The company also recognized a pretax charge totaling $575,000
due to items unrelated to Intelogic Trace, inHR, I+W0Dallas, is the
leading supplier of outsourcing services, parts, parts exchanges and
parts remanufacturing to service providers and original equipment
manufacturers (OEMs) in the personal computing industry. PCSS is
providing parts from over 20 OEMs to more than 20,000 service center
accounts worldwide.
PC Service Source Inc.
Comparative Financial Data
(Unaudited)
(Amounts in thousands except share and per share amounts)
Three Months Ended Year-to-date
Sept. 30 Sept. 30
1995 1994 1995 1994
Net revenues $16,301 $10,952 $48,357
$30,523 Net earnings (loss) $(1,667) $465 $(1,537)
$1,377 Earnings (loss) per share
- Primary $(0.38) $0.11 $(0.35)
$0.34
- Fully diluted $(0.38) $0.11 $(0.35)
$0.34 Average common
shares outstanding
- Primary 4,382,000 4,333,000 4,401,000
4,008,000
- Fully diluted 4,394,000 4,352,000 4,394,000
4,008,000
CONTACT: PC Service Source Inc., Dallas,
Avery More, 214/373-9996
or
Jeffrey A. Nick, 214/406-8583
NEW YORK, N.Y.--October 24, 1995--SLM
International, Inc. (Electronic Bulletin Board: "SLMI"),
announced
today that it has filed a voluntary petition for reorganization
under Chapter 11 of the Federal Bankruptcy Code in the United States
Bankruptcy Court for the District of Delaware. Under Chapter 11,
SLM International will continue to operate its business in the
ordinary course under Court protection from creditors, while seeking
to work out a plan of reorganization.
SLM International, Inc. designs, develops, manufactures and
markets a broad range of sporting goods products on a worldwide
basis.
CONTACT: SLM International, Inc.,
Howard Zunenshine,
Chief Executive Officer,
514/331-5150
or
John Sarto,
Chief Financial Officer,
212/675-0070
or
David Walke/Melissa Garelick,
Suzanne Miller (media),
Morgen-Walke Associates,
212/850-5600
SKOKIE, Ill.--Oct. 24, 1995--U.S. Robotics
Corporation (NASDAQ:USRX) today announced that it is seeking to
acquire Hayes Microcomputer Products,
Inc. (Hayes), a leading
manufacturer of computer modems that filed for Chapter 11 Bankruptcy
in November of 1994. Because Hayes is in Chapter 11, the
acquisition of Hayes would require approval by the United States
Bankruptcy Court.
U.S. Robotics has submitted a bid for Hayes to the Official
Committee of Unsecured Creditors, pursuant to the bidding procedures
approved by the United States Bankruptcy Court for the Northern
District of Georgia (Bankruptcy Court) in connection with a pending
plan of reorganization that the creditors committee has proposed for
Hayes.
The bid proposes a transaction in which U.S. Robotics will pay
100% of creditor's claims (including interest) and up to $97.5
million in U.S. Robotics common stock to Hayes equity holders.
The acquisition would be accomplished through a merger of a
wholly owned subsidiary of U.S. Robotics and Hayes, with Hayes
becoming a wholly owned subsidiary of U.S. Robotics. All common
stock of Hayes outstanding prior to this merger would be converted
into common stock of U.S. Robotics.
The acquisition would be subject to approval by the United
States Bankruptcy Court, negotiation of definitive agreements and
receipt of all necessary governmental and third party approvals and
consents. U.S. Robotics contemplates that the merger would qualify
for pooling-of-interests accounting treatment.
U.S. Robotics is one of the world's leading suppliers of
products and systems that provide access to information. The
company designs, manufactures, markets and supports remote access
servers, enterprise communications systems, desktop/mobile client
products and modems that connect computers and other equipment over
analog, digital and switched cellular networks, enabling users to
gain access to, manage and share data, fax and voice information.
Its customers include Internet service providers, regional Bell
operating companies and a wide range of other large corporations,
businesses, institutions and individuals. The company's 1994 sales
were $499.0 million; sales for the first nine months of fiscal 1995
were $596.0 million.
CONTACT: U.S. Robotics, Skokie,
Karen J. Novak, 708/982-5244 (Media Relations),
C. David Hall, 708/982-5162 (Investor Relations)