NEW YORK -- March 1, 1996 -- Chic by H.I.S. Inc.
(NYSE:JNS) today reported that net income for the first quarter
ended Feb. 3, 1996 before a restructuring charge of $15 million was
$1,228,000 or 13 cents per share.
Net income for the first quarter last year was $1,424,000 or 15
cents per share.
Previously the company announced that it would take a non cash
restructuring charge of $15 million primarily attributable to the
continuing downturn in the retail market. This charge is expected
to include the closing of certain manufacturing facilities and an
accompanying reduction in the workforce. The company believes that
these actions will result in cost savings to the company in excess
of $3.6 million over the next 12 months.
Net loss for the first quarter ended Feb. 3, 1996 after the
restructuring charge of $15 million was $13,772,000, or $1.41 per
share.
Financial Table Quarter Ended February 3
1996 1995
Net sales 70,829,000 76,307,000
Less:
Cost of goods sold 54,656,000 59,423,000
Gross profit 16,173,000 16,884,000
Gross profit % 22.8% 22.1%
Add:
Licensing income 1,619,000 1,202,000
----------- -----------
17,792,000 18,086,000
Less:
Sell. Gen. & Admin. expenses 13,416,000 14,509,000
Non-cash restructuring charge 15,000,000 0
----------- -----------
Operating income (loss) (10,624,000) 3,577,000
Less:
Interest expense 1,863,000 1,048,000
----------- -----------
Pretax income (loss) (12,487,000) 2,529,000
Less:
Taxes 1,285,000 1,105,000
Net income (loss) (13,772,000) 1,424,000
Outstanding shares 9,753,868 9,753,868
E.P.S. - before restructuring charge $0.13 $0.15
E.P.S. - net income (loss) ($1.41) $0.15
CONTACT: Chic by H.I.S., New York
John Chin, 212/302-6400
ATLANTA, GA -- March 1, 1996 -- Atlantis Plastics Inc.
(ASE:AGH) Friday announced its operating results for the fiscal year
ended Dec. 31, 1995.
In 1995, net sales were $281.1 million, compared to $260.8
million in 1994. Net loss in 1995 was $13.1 million, or $1.83 per
share, compared to net income of $6.4 million, or $0.83 per share,
in 1994. Year-end results include previously announced
restructuring charges of $11.0 million, net of taxes, or $1.53 per
share, of which $9.9 million was non-cash and related to the write-
down of fixed assets and goodwill.
Gross margin in 1995 was 14.2% of sales, compared to 19.8% in
1994. This decline was caused by several factors including an
inventory correction in plastic films which resulted in competitive
pricing pressures and decreased demand, as well as production
inefficiencies in the injection molding unit.
Selling, general and administrative expense ("SG&A") decreased
from $29.2 million, or 11.2% of sales in 1994 to $28.4 million, or
10.1% of sales in 1995. Net interest expense increased from $13.1
million in 1994 to $14.3 million in 1995, due to increasing debt
balances through mid-May 1995. For the remainder of the year, total
debt dropped by $26.3 million. As a result, net interest expense in
the fourth quarter of 1995 was $3.3 million, compared to net
interest expense of $3.4 million in the fourth quarter of 1994.
Net sales declined from $73.6 million in the fourth quarter of
1994 to $64.0 million in the fourth quarter of 1995, primarily due
to a 29% drop in plastic resin prices from year-end 1994 to year-end
1995. Including restructuring charges, net loss in the fourth
quarter of 1995 was $11.2 million, net of taxes, or $1.59 per share,
compared to net income of $2.5 million, or $0.33 per share in the
1994 fourth quarter.
In January 1996, Atlantis announced plans to sell its Plastic
Containers Inc. subsidiary, which is a manufacturer of blow molded
polyethylene containers. This action is part of the company's
strategic operating plan to focus its resources on the manufacture
of polyethylene stretch and custom films and selected molded plastic
products, and to dispose of product groups that are not part of
these operations. In 1995, Atlantis sold its 50% interest in the
CKS/Rigal blow molding joint venture, as the planned first step in
exiting its blow molding business. Also in 1995, Atlantis sold its
remaining discontinued operation, Western Pioneer Insurance Co.
Anthony F. Bova, president and chief executive officer,
commented: "Atlantis faced a difficult operating environment in
1995, which was caused, in large part, by an inventory correction in
our plastic films business and our need to lower operating costs and
improve productivity in the injection molding operations. In
response to these challenges, we developed and implemented a
strategic operating plan which we expect will reduce the company's
overall cost structure by over $5 million by the end of 1996. Our
cost reduction efforts have already made a meaningful impact in
lowering production and overhead costs in the injection molding unit
and company-wide SG&A expense. We remain confident that the
strategic operating plan will favorably impact our profitability,
with results becoming increasingly apparent in 1996."
Bova concluded: "Our asset management program is an example of
our initial restructuring success. In 1995, we retired $4.8 million
of our 11% Senior Notes, which will result in lower annual interest
expense. We reduced our total debt from $129.2 million at year-end
1994 and a 1995 high of $142.8 million to $116.5 million at year-end
1995. Net working capital decreased from $33.0 million at year-end
1994 to $23.2 million at year-end 1995. Reflective of its
confidence in Atlantis' long-term performance, the executive
management team and a related party purchased 280,000 shares of
common stock from an institutional holder in December 1995."
Atlantis Plastics Inc. is a leading U.S. manufacturer of
polyethylene stretch and custom films and molded plastic products.
Stretch films are used principally to stretchwrap pallets of
materials for shipping or storage, and custom film products, which
include high-grade laminating films, embossed films, and specialty
film products, are marketed to the industrial and agricultural
markets. Atlantis' molded plastic products are distributed
primarily to original equipment manufacturers in the appliance,
automotive, agricultural, dairy, recreational vehicle, and other
commercial industries.
Additional information on Atlantis Plastics Inc. is available on
the Internet World Wide Web at this address:
http://www.cfonews.com/agh" target=_new>http://www.cfonews.com/agh">http://www.cfonews.com/agh
; or interested parties may dial by modem to 718/279-3590, or send
E-mail to cfo@panix.com, with the subject agh.
ATLANTIS PLASTICS INC.
CONSOLIDATED INCOME STATEMENTS
(In thousands)
Three Months Ended Twelve Months Ended
Dec. 31, Dec. 31,
1995 1994 1995 1994
Net sales $ 63,953 $ 73,584 $281,064 $260,818
Cost of sales 55,674 58,123 241,149 209,245
Gross Profit 8,279 15,461 39,915 51,573
Selling, general and
administrative
expenses 6,156 9,057 28,390 29,200
Restructuring charges 11,468 -- 12,453 --
Operating income
(loss) (9,345) 6,404 (928) 22,373
Interest expense (3,394) (3,490) (14,490) (13,213)
Interest income 55 44 186 135
Income (loss) from
continuing operations
before income
taxes (12,684) 2,957,715 (15,232) 9,295
Income tax (provision)
benefit 1,186 (1,219) 1,674 (4,136)
Income (loss) from
continuing
operations (11,498) 1,739 (13,558) 5,159
Income (loss) from
discontinued operations,
less applicable taxes -- 727 (251) 1,207
Gain on Sale of Western
Pioneer, less applicable
taxes -- -- 483 --
Extraordinary gain on
earnly extinguishment
of debt, net 255 -- 254 --
Net income (loss) (11,243) 2,466 (13,072) 6,366
Preferred stock
dividends (36) (36) (145) (145)
Income (loss) applicable
to common shares and
equivalents $(11,279) $ 2,430 $(13,217) $ 6,221
INCOME (LOSS) PER COMMON
SHARE:
Continuing operations
(see note) $(1.63) $0.23 $(1.90) $0.67
Discontinued
operations -- 0.10 (0.04) 0.16
Gain on Sale of Western
Pioneer -- -- 0.07 --
Extraordinary item, net 0.04 -- 0.04 --
Net income (loss) $(1.59) $0.33 $(1.83) $0.53
Weighted average shares
outstanding 7,092,800 7,475,525 7,208,173 7,509,979
DIVIDENDS DECLARED PER
COMMON SHARE $0.00 $0.00 $0.08 $0.08
NOTE: In 1995, loss from continuing operations per common share
includes amounts relating to restructuring charges of $1.47
and $1.53 per share for the fourth quarter and year-to-date
periods, respectively.
ATLANTIS PLASTICS INC.
CONSOLIDATED BALANCE SHEETS
(In thousands)
Dec. 31, Dec. 31,
1995 1994
ASSETS
Cash and equivalents $ 1,255 $ 1,433
Accounts receivable, net 28,250 36,585
Inventories 18,544 22,855
Other current assets 7,044 6,353
Current assets 55,093 67,226
Property and equipment, net 64,333 61,255
Investment in WinsLoew Furniture
Inc. stock 4,798 5,097
Net assets of discontinued operations 0 9,378
Goodwill, net of amortization 52,680 63,467
Other assets 3,557 5,099
$180,461 $211,522
LIABILITIES AND SHAREHOLDERS' EQUITY
Accounts payable and accrued
expenses $ 28,725 $ 32,398
Current portion of long-term debt 3,168 1,860
Current liabilities 31,893 34,258
Long-term debt, net of current
portion 113,294 127,374
Deferred income taxes 6,610 7,842
Other liabilities 1,372 1,626
Total liabilities 153,169 171,100
Commitments and contingencies
Shareholders' equity:
Series A convertible preferred
stock, $1.00 par value, 20,000
shares authorized, issued and
outstanding in 1995 and 1994 2,000 2,000
Class A common stock, $.10 par
value, 20,000 shares
authorized, 4,129,823 and
4,082,437 shares issued and
outstanding in 1995 and 1994 419 408
Class B common stock, $.10 par
value, 7,000,000 shares authorized,
2,899,977 and 3,002,363 shares
issued and outstanding in 1995
and 1994 290 300
Additional paid-in capital 6,828 6,781
Unrealized holding gains (losses),
net of tax 287 (284)
Retained earnings 17,468 31,217
Total shareholders' equity 27,292 40,422
$180,461 $211,522
CONTACT: Atlantis Plastics Inc.
A. Richard Hurwitz, Vice President
Corporate Communications, 305/858-2200
LAS VEGAS, NV -- March 1, 1996 -- href="chap11.elsinore.html">Elsinore Corp.
(ASE/PSE:ELS) Friday announced that it has filed with the U.S.
Bankruptcy Court for the District of Nevada a proposed plan of
reorganization and accompanying disclosure statement related to the
company's filing for Chapter 11 protection on Oct. 31, 1995, under
the U.S. Bankruptcy Code.
The plan was filed in accordance with a settlement that Elsinore
recently reached with the holders of the 12.5 percent first mortgage
notes who assert a $60 million claim against the company.
Under the terms of the plan, the 12.5 percent first mortgage
noteholders will receive 87.5 percent of the common shares of the
reorganized Elsinore in consideration for a reduction of their claim
from approximately $60 million to $30 million.
In addition, the company's 20 percent senior mortgage
noteholders would retain their $3 million in outstanding principal
plus accrued interest and would be paid at an interest rate of 10
percent per annum or other appropriate interest rate approved by the
Bankruptcy Court.
The company's convertible subordinated noteholders, who
currently assert claims for approximately $1.5 million, would
receive 2.5 percent of the common shares of the reorganized
Elsinore.
The U.S. Internal Revenue Service (IRS), which asserts a claim
of approximately $3 million, would be paid in accordance with the
Bankruptcy Code or in such manner as otherwise agreed by the IRS.
Also as part of the plan, $1.5 million will be placed in a pool
for payment to unsecured creditors over a two-year period. Existing
Elsinore shareholders will hold 10 percent of the common stock of
the reorganized Elsinore.
Moreover, after implementation of the plan, a rights offering
will be made to the shareholders to raise $5 million to provide
additional funding for Elsinore's operations and capital
improvements.
Frank L. Burrell Jr., chairman of the board, will remain as an
officer until June 15, 1996, or the confirmation date of the plan,
whichever is earlier. Thomas E. Martin, president and chief
executive officer, will remain in his position until the
confirmation date. Gary Acord, senior vice president and chief
financial officer, will remain in his position until April 1, 1996.
Subsequent to the confirmation of the plan, management of the
reorganized Elsinore will be as designated by the first mortgage
noteholders.
The plan is subject to approval by the Bankruptcy Court which is
presiding over the Chapter 11 cases involving the company and
certain of its subsidiaries. The approval process likely will take
several months, and there is no assurance that the plan will be
approved by the Bankruptcy Court. Also, the plan and disclosure
statement may be amended by the company prior to its approval by the
court.
Trading in the company's common stock continues to be halted by
the American Stock Exchange. As previously reported, the exchange
intends to review the company's continued listing eligibility
concurrently with its progress in the Chapter 11 proceeding.
Elsinore owns and operates the Four Queens, a downtown Las Vegas
Hotel and Casino offering 690 rooms, meeting facilities, four
restaurants, 1,050 slot machines and numerous blackjack, craps and
other table games.
For information on Elsinore via facsimile at no cost, simple
call 800/PRO-INFO and dial company code 177.
CONTACT: Elsinore Corp., Las Vegas
Thomas E. Martin, 702/387-5110
Gary Acord, 702/387-5146
or
The Financial Relations Board Inc., Los Angeles
Daniel Saks, 310/442-0599 (general info)
LIVERPOOL, N.Y., March 1, 1996 - Fay's Incorporated
(NYSE: FAY) reported today that fourth quarter results to be
released next week will include an after-tax charge of approximately
$12.5 million or $.60 per share to cover the costs associated with
the repositioning of certain undersized and underperforming stores.
Fay's expects to report that fourth quarter earnings from continuing
operations, exclusive of the restructuring charge, will be below net
income earned in the fourth quarter of last year.
The restructuring charge will be taken in connection with Fay's
plan to reposition 50 drug stores it has identified as undersized or
underperforming. The process of closing and relocating these stores
is underway and is targeted to be completed within a eighteen month
time frame. The charge will include all costs associated with the
store repositioning process, including a reserve for dark store
occupancy costs and the write-down of abandoned fixed assets. The
majority of the stores targeted for repositioning are former
independent pharmacies acquired by Fay's, many of which operate
under the Cornerdrug tradename. The Company plans to relocate these
stores, wherever possible, to prototype freestanding locations,
featuring drive through pharmacy windows and expanded convenience
food departments. The Company believes that the repositioning of
these stores will have a positive impact on profits going forward.
Fay's also announced that as part of its restructuring, it has
adopted a plan to sell the assets comprising its Paper Cutter
Division. Paper Cutter operates 29 stores selling office products,
party supplies, greeting cards and books. Fay's is presently in
negotiations with a party interested in acquiring Paper Cutter and
anticipates that the sale will be consummated within six months.
This follows the sale in November 1995 of the Company's Wheels
Discount Auto Supply Stores to Western Auto Supply Company and is in
line with the Company's strategy of refocusing on its core drug
store and pharmacy related businesses. In addition to the
restructuring charge for store relocations, the Company will record,
in the fourth quarter, a loss on the sale of these discontinued
operations of approximately $3.6 million, after tax, including
fiscal 1997 operating losses for Paper Cutter through the
anticipated date of sale.
Fay's operates the 12th largest chain of drug stores in the
United States, with 273 drug stores located in New York,
Pennsylvania, Vermont and New Hampshire.
CONTACT: Henry A. Panasci, Jr., Chairman of the Board of Fay's
Incorporated, 315-451-8000
LEXINGTON, Mass. -- March 1, 1996 -- The DeWolfe
Companies Inc. (AMEX:DWL), the largest residential real estate firm
in New England, today announced quarterly and year-end financial
results for the fiscal year ending Dec. 31, 1995.
Fourth quarter net revenues increased by 39 percent to
$6,973,000 in 1995, from $5,010,000 in 1994. Annual net revenues
increased by 38 percent to $32,525,000 in 1995, from $23,528,000 in
1994. Total revenues increased by 30 percent in the fourth quarter,
to $17,435,000 from $13,406,000 a year ago, and increased by 33
percent in the year, to $82,951,000 from $62,375,000 a year ago.
Total revenues increased by a smaller percentage than net revenues,
due primarily to a different method of accounting for real estate
commissions in Connecticut, in which most cooperative brokerage fees
are deducted from the total commission prior to receipt by the
company, rather than being paid out by the company after the
receipt.
The company incurred a net loss of $604,000 in the fourth
quarter of 1995, as compared to a net loss of $351,000 in the fourth
quarter of 1994. For the year the company had net income of
$115,000 in 1995, down from net income of $534,000 in 1994. Fourth
quarter and annual results in 1995 include pretax restructuring
charges of $281,000 as a result of severance costs and the writedown
of nonperforming assets. Per share amounts were ($0.18) for the
fourth quarter of 1995, compared to ($0.12) for the fourth quarter
of 1994 and earnings per share of $0.03 for the year in 1995,
compared to $0.18 for the year in 1994. Weighted average shares
outstanding increased 15 percent for the year to 3,382,000 in 1995
from 2,942,000 in 1994.
Richard B. DeWolfe, chairman and CEO, stated, "Our rapid growth
of over 60 percent during the last two years, combined with the
decreased real estate activity of the past eighteen months, eroded
our profitability. We have taken corrective actions by
restructuring corporate operations and eliminating unproductive
sales centers. We expect that these actions, along with other cost
controls that have been enacted, will improve our profit margins."
DeWolfe continued, "The Connecticut market was particularly
impacted by declining real estate activity in 1995, just as we faced
the challenge of conducting our first year of operations in that
market. I am pleased that we have completed this necessary
transition and expect our Connecticut business to improve as that
region's economy continues to recover. With lower interest rates
and modest economic growth predicted, our real estate markets appear
ready for a good year in 1996. We are prepared to take advantage of
whatever market conditions prevail."
DeWolfe also said, "Our mortgage business improved significantly
in 1995 with $250 million of closed loans compared to $195 million
in 1994, an increase of 28 percent. As an approved Seller/Servicer
for the Federal National Mortgage Association ("Fannie Mae") and the
Federal Home Loan Mortgage Corp. ("Freddie Mac"), DeWolfe Mortgage
can operate more efficiently as a mortgage banking entity and begin
to build a servicing portfolio. We intend to continue this kind of
vertical integration of services as a way to enhance revenues,
improve profitability and increase shareholder value. At the same
time, we remain committed to our growth strategy through
acquisitions, but will balance our rate of growth with the need to
improve profit margins."
The DeWolfe Companies, Inc. is a provider of integrated
homeownership services, including residential real estate services,
mortgage banking and specialized services to corporations
facilitating employee homeownership, including relocation services.
The Company offers these services throughout eastern Massachusetts,
New Hampshire, Connecticut, southern Maine and northern Rhode
Island.
The DeWolfe Companies, Inc.
(000's except per share amounts)
Fourth Quarter Twelve Mos. Ended Dec. 31
1995 1994 1995 1994
Revenues $17,435 $13,406 $82,951 $62,375
Net revenues $6,973 $5,010 $32,525 $23,528
Net income ($604)-(a) ($351) ($115)-(a)
($534)
Earnings per share ($0.18) ($0.12) $0.03 $0.18
Average shares
outstanding 3,292 3,046 3,382 2,942
CONTACT: DeWolfe Companies Inc.,
Kathy Keenan, 617-863-5858
NEW YORK, NY -- March 1, 1996 -- You are hereby
notified that a class action has been commenced in the United States
District Court for the Eastern District of New York by plaintiff
Charles T. Labozzetta and other investors in Health Management Inc.
("Health Management") on behalf of purchasers of Health Management
common stock during the period of June 14, 1995 to February 23,
1996.
The complaint charges Health Management and certain of its
officers and directors with violations of the federal securities
laws by, inter alia, misrepresenting and concealing material facts
concerning the company's accounts receivable and inventory.
Specifically, the complaint asserts that the company's reported
financial results for its fourth quarter 1995 ended April 30, 1995,
its first quarter 1996 ended July 31, 1995, and its second quarter
1996 ended October 31, 1995 were materially misstated and, as first
reported on February 27, 1996, a Special Committee formed by the
company's Board of Directors has discovered certain "accounting
irregularities" or intentional misstatements of reported financial
results. The company believes it may have to restate its financial
statements for the subject quarterly periods and expects that it
will be in default under its loan agreements. At the same time, the
company announced the resignations of its chairman and president and
former chief financial officer, who are also named as defendants in
the action.
Plaintiffs who have sued and who intend to bring additional
actions seek to recover damages on behalf of all purchasers of
Health Management common stock during the Class Period, and are
represented by the law firms of Kaplan Kilsheimer & Fox LLP and
Bernstein Litowitz Berger & Grossmann LLP, having expertise in
prosecuting investor class actions and extensive experience in
actions involving financial reporting and management fraud.
If you are a member of the Class described above, you may, not
later than 60 days from today, move the Court to serve as lead
plaintiff of the Class, if you so choose. In order to serve as lead
plaintiff, however, you must meet certain legal requirements. If
you wish to discuss this Action or have any questions concerning
this notice or your rights or interests, please contact plaintiffs'
counsel, Frederic S. Fox or Robert N. Kaplan of Kaplan Kilsheimer &
Fox LLP at (212) 687-1980 or, Vincent R. Cappucci of Bernstein
Litowitz Berger & Grossmann LLP at (212) 554-1400, or by Bloomberg E-
Mail to Cappucci, a partner in that firm.
CONTACT: Frederic S. Fox or Robert N. Kaplan
Kaplan Kilsheimer & Fox LLP
(212) 687-1980
or
Vincent R. Cappucci
Bernstein Litowitz Berger & Grossmann LLP
(212) 554-1400
While Applied Computing Devices has generated significant
revenue in the past, it has been in bankruptcy since September, 1995
and has not generated significant revenue in recent months. At this
time it is not possible to determine what the effect of the purchase
of the assets of Applied Computing Devices may be on either ADA's
1996 revenue or its earnings. As ADA invests in product
development, marketing, and sales support for the acquired products,
expenses could have a negative effect on future operating results.
Additionally, ADA expects to incur a one- time charge associated
with the acquisition in the first quarter of this year.
ADA is a leading provider of test and performance monitoring
systems that enable telephone companies to manage their high-
bandwidth networks from centralized locations. ADA's products are
designed to allow rapid restoral of service and reduce costs by
remotely detecting and isolating problems in telephone networks.
The Company is headquartered in San Diego, California.
CONTACT: Pete Savage or Rich Carter, both of Applied Digital
Access, 619-623-2200; Rolf Rudestam of The Rudestam Group,
909-585-2012
MESA, Ariz., March 1, 1996 - href="chap11.megafoods.html">MEGAFOODS STORES, INC. (OTC
BULLETIN BOARD: MEGFQ) a supermarket chain with operations in
Arizona and Texas that has been operating in Chapter 11 since August
17, 1994, today filed with the Bankruptcy Court its First Amended
Joint Plan of Reorganization and Proposed Disclosure Statement. A
hearing on the Disclosure Statement is scheduled for April 9, 1996.
If approved by the Court, the Disclosure Statement, Amended Joint
Plan and ballots will be sent to the Company's creditors. If the
Disclosure Statement is approved on or shortly after April 9, a
confirmation hearing will be set for as early as late June, 1996.
Under the Amended Joint Plan, each of the Company's pre-petition
secured creditors will receive cash and/or notes or other property
in the full amount of its allowed secured claim. General unsecured
creditors, including the holders of approximately $100 million in 10-
1/4% notes due in 2000, will receive stock in the Reorganized
Company. Vendors with valid reclamation claims and claims under the
Perishable Agricultural Commodities Act have or will receive cash in
the full amount of those claims. In addition, all priority and
administrative claims will be paid in full, either in cash or notes,
as provided by the Bankruptcy Code.
The Reorganized Company will operate 17 stores in Arizona under
the "Megafoods" name and 21 stores in the greater San Antonio, Texas
area under the "Handy Andy" tradename. The Amended Joint Plan
anticipates that the Reorganized Company will enter into a three
year revolving line of credit for its working capital needs. The
Company is also in negotiations with its two major suppliers for
post-confirmation trade credit, as well as additional financing for
anticipated growth and other capital needs. The Company is
confident that all of these financing arrangements will be
successfully concluded well in advance of the confirmation hearing.
As set forth in the Disclosure Statement, the Official Committee
of Unsecured Creditors, which is comprised of vendors and other
creditors, but not shareholders, supports the Joint Plan.
Megafoods operates a chain of supermarkets, with 17 stores in
Arizona and 21 stores in greater San Antonio, Texas. For further
information, contact Archie C. Fitzgerald at (602) 545-3227,
extension 224.
CONTACT: Archie C. Fitzgerald, Investor Relations of Megafoods,
602-545-3227, ext. 224
VALDESE, N.C., March 1, 1996 - Alba-Waldensian, Inc.
(AMEX: AWS), a manufacturer of women's hosiery and intimate apparel,
men's socks and sweaters, and medical specialty products, announced
today a loss of ($1,655,844) for 1995 versus a profit of $1,945,876
for 1994. Net sales for the company increased 12.8% over 1994, from
$56,505,566 to $63,717,716.
Net sales for the 4th quarter increased 19.4% over the prior
year's 4th quarter, from $13,667,488 to $16,318,263. The 4th
quarter resulted in a loss of $1,016,606, as compared to earnings of
$263,057 in 1994.
Thomas F. Schuster, president and CEO, said "Sales in all of our
consumer businesses were down, while our Health Products division's
sales were up - primarily due to our acquisition of Balfour early in
the year."
Schuster noted that, for the quarter, the Consumer Products and
Byford Division's gross margins were lower, as they continued to
sell discontinued product, which was marked down to market prices in
previous quarters. The company also continued to experience
unfavorable manufacturing variances, as a result of lower sales in
Alba's Valdese, NC operations and additional training and over-time
costs in the Rockwood, TN facility.
Schuster said, "we are optimistic about 1996. Our bookings have
picked up and Alba will begin to see the benefits of a restructuring
of the Valdese, NC operations and the consolidation of Health
Products manufacturing in Rockwood, TN."
Alba-Waldensian, Inc. (American Stock Exchange) manufactures and
markets women's hosiery and intimate apparel under such brand names
as harve benard, While-You-Wait(R), All Day Long(R) and Big
Beautiful Woman(R). In the men's area, Alba markets Byford socks
and sweaters. The company's medical specialty products group
manufactures and markets its products throughout America and Europe.
All together, the company employs approximately 900 people in
Valdese, North Carolina and Rockwood, Tennessee.
ALBA-WALDENSIAN, INC.
CONSOLIDATED EARNINGS
Three Month Period Twelve Month Period
Ended Ended
December 31 December 31 December 31 December 31
1995 1994 1995 1994
Net Sales $16,318,263 $13,667,488 $63,717,716 $56,506,566
Income Before
Income Taxes ($1,438,486) $ 478,401 ($2,469,515) $ 3,149,543
Provision for
Income Taxes ($ 421,880) $ 215,344 ($ 813,671) $ 1,203,667
Net Income ($1,016,606) $ 263,057 ($1,655,844) $ 1,945,876
Income Per Share ($0.54) $0.14 ($0.89) $1.05
Weighted Average
number of
Common Stock
Outstanding 1,866,194 1,854,625 1,864,618 1,848,671
ATLANTA, GA -- March 1, 1996 -- Metromedia
International Group Inc. (MIG) (ASE:MMG) Friday issued its financial
report for the 12 months ended Dec. 31, 1995.
This is the first financial report since the company (formerly
known as Actava) merged on Nov. 1, 1995, with Orion Pictures Corp.,
MCEG Sterling Inc. and Metromedia International Telecommunications
Inc. (MITI).
To enhance its position as a global entertainment, media and
communications company, MIG reclassified certain non-strategic
assets into discontinued operations, which resulted in a
nonrecurring loss of $294 million. In addition, the company
incurred a loss of $87 million from continuing operations and an
extraordinary loss of $32 million due to the early repayment and
termination of certain Orion debt, resulting in an aggregate net
loss of approximately $413 million.
The loss from continuing operations was equal to $3.54 per
share, and the loss before the extraordinary item was equal to
$15.51 per common share. The net loss was equal to $16.83 per
common share. Total shares outstanding at Dec. 31, 1995, were
42,613,738.
Calendar 1995 is the first year the company presented
consolidated results of operations. The company's historical
financial statements for the periods prior to the Nov. 1 merger are
the four combined statements of Orion and MITI.
For the fiscal year ended Feb. 28, 1995, revenues were $194.8
million, and there was a net loss of $69.4 million equal to a net
loss of $3.43 per common share. The loss per share amount for
fiscal 1995 represents combined Orion and MITI's common shares
converted at the exchange ratios.
"We believe that results from continuing operations are not
indicative of the opportunities that exist in the company's
communications businesses or in the extensive film library whose
value will be enhanced by resuming film production," said Jack
Phillips, president and chief executive officer of MIG. "The
current results reflect the developmental stage of the company's
communications businesses in Eastern Europe and other emerging
markets, along with the fact that the company, prior to the merger,
was prohibited from producing motion pictures."
Metromedia International Group is a global entertainment, media
and communications company whose primary operations are focused on
two business groups: the Entertainment Group, through Orion Pictures
Corp., which is engaged primarily in the development, production,
acquisition and worldwide distribution of motion pictures,
television programming and pre-recorded video cassettes; and the
Communications Group, operated through Metromedia International
Telecommunications Inc., which owns interests in, and participates
along with local partners in the management of, joint ventures which
operate wireless cable television systems, paging systems, an
international toll call service, a Trunked Mobile Radio service and
radio stations in several Eastern European countries and former
Soviet Republics.
MIG previously announced a definitive merger agreement with
Alliance Entertainment Corp. (NYSE:CDS). It also is in the process
of acquiring Motion Picture Corp. of America and has entered into an
agreement to acquire The Samuel Goldwyn Co. (ASE:SG).
Metromedia International Group Inc.
Consolidated Statements of Operations
(in thousands except per-share amounts)
Years Ended
Dec. 31, Feb. 28, Feb. 28,
1995 1995 1994
Revenues $ 138,871 $ 194,789 $ 175,713
Costs and expenses:
Cost of rentals and operating
expenses 132,762 187,256 242,996
Selling, general and
administrative 50,029 40,391 26,976
Management fee 742 175 75
Depreciation and amortization 2,795 1,916 882
Operating loss (47,457) (34,949) (95,216)
Interest expense, including
amortization of debt discount of
$10,436 at Dec. 31, 1995,
$12,153 at Feb. 28, 1995,
and $12,314 at Feb. 28, 1994 33,114 32,389 33,415
Interest income 3,575 3,094 771
Interest expense, net 29,539 29,295 32,644
Chapter 11 reorganization items 1,280 1,610 1,793
Loss before provision for income
taxes, equity in losses of joint
ventures, discontinued operations
and extraordinary item (78,276) (65,854) (129,653)
Provision for income taxes 767 1,300 2,100
Equity in losses of joint ventures 7,981 2,257 777
Loss from continuing operations
and before extraordinary item (87,024) (69,411) (132,530)
Discontinued operations:
Loss on disposal (293,570) -- --
Loss before extraordinary item (380,594) (69,411) (132,530)
Extraordinary item:
Early extinguishment of debt,
net of tax (32,382) -- --
Net loss $(412,976) $ (69,411) $(132,530)
Loss per common share:
Primary:
Continuing operations $ (3.54) $ (3.43) $ (7.71)
Discontinued operations $ (11.97) $ -- $ --
Extraordinary item $ (1.32) $ -- $ --
Net loss $ (16.83) $ (3.43) $ (7.71)
CONTACT: Metromedia International Group
Jennefer Hirshberg, 202/467-3905
Phil Myers, 310/282-2572
Tod Chmar, 404/261-6190
OAK BROOK, Ill., March 1, 1996 - href="chap11.growth.html">Growth Environmental,
Inc. announced that on Feb. 27, 1996, the United States
Bankruptcy
Court for the Northern District of Illinois approved the motion of
its two operating subsidiaries, Growth Environmental Services, Inc.
(GES) and Growth Energy Services, Inc. (GEN) to sell substantially
all of their assets. At an auction held on Feb. 27, 1996, Growth
Resources, Inc. (GRI) was the successful bidder for GES' and GEN's
assets. GRI will continue to operate the businesses formerly
operated by GES and GEN.
In addition, Growth Environmental, Inc. announced that its
general counsel resigned from the company, effective Feb. 29, 1996,
and that its chief financial officer resigned from the Company,
effective Feb. 28, 1996. Both executives resigned to pursue other
opportunities.
The Company further announced that it will very likely seek
protective relief under Chapter 11 of the Bankruptcy Code in the
very near future.
Effective at the close of business on Dec. 11, 1995, the
Company's common stock no longer trades on the Nasdaq SmallCap
Market.
CONTACT: Al Eaton, CEO of Growth Environmental, Inc.,
708-990-2751