Consumers Packaging Reports Fourth Quarter and Year End 1996 Financial Results
TORONTO, Canada--March 5, 1996--Consumers Packaging, Inc. (Toronto Stock Exchange:CGC) today reported results
for the fourth quarter and year ended December 31, 1996.
Total revenues in the fourth quarter were $106.3 million as compared to $105.1 million reported in the same period last year.
Net earnings for the quarter were $0.52 million, or $0.02 per share on a fully diluted basis, compared with net earnings of
$1.0 million, or $0.03 per share, for the fourth quarter of 1995.
For the year ended December 31, 1996, the Company reported revenues of $462.3 million, compared with $458.1 million for
the same period last year. Net earnings for the year ended were $14.8 million, or $0.46 per share on a fully diluted basis,
compared with $26.2 million, or $0.90 per share on a fully diluted basis for the comparable period in 1995.
Mr. John Ghaznavi, Chairman and Chief Executive Officer, stated, "Despite operating during a year of excess capacity and
uncertainty in the North American glass-container market, we are encouraged that Consumers not only maintained, but
increased its unit sales in 1996. Industry pressures, however, resulted in an overall price decrease of 5%. Our acquisition of
Anchor Glass will help stabilize the market, and during the first quarter of 1997 we are taking steps to adjust manufacturing
capacity in both Canada and the U.S. As a result, we expect the Company's financial performance, after costs of the
acquisition and restructuring have been absorbed, to show improvement as 1997 progresses."
Mr. Ghaznavi continued, "In addition to our significant accomplishment of acquiring 11 manufacturing plants, a mold shop and
a machine repair facility from Anchor Glass Container Corp., which had been operating under Chapter 11 of the U.S.
Bankruptcy Code, the Company expanded internationally. During 1996 the Company agreed to complete construction of a
glass manufacturing plant in Teramo, Italy which will begin production in late 1997, and also acquired a 25.1% interest in
Israel's Phoenicia Glass Works from Koor Industries. Consumers has also formed a joint venture with a partner in Belarus,
which will spearhead our entry into the emerging Eastern European Markets. All of these events were important milestones
towards achieving the Company's long-term goal of becoming a leading multinational manufacturer in the glass packaging
industry."
"I am very proud to announce that by a Company-wide effort, our employees have demonstrated their commitment to the
highest quality standards by implementing a program that has resulted in Consumers becoming the first glass-container
manufacturer in North America to be nominated for ISO-9001 certification for all of the Company's Canadian plants. This is
an important achievement for Consumers, our industry and our growing customer base," concluded Mr. Ghaznavi.
The Company also announced that Mr. Charles Rhodes, Consumers' President and Chief Operating Officer, will retire
effective March 31. His duties will be assumed by the members of Consumers' senior management team. Jack Smathers has
been appointed Vice President, Operations. David Jack has been appointed Vice President, Accounting and Treasurer,
Richard Lachapelle, Vice President, Sales and Marketing, Gordon Stewart, Vice President, Manufacturing and Gary Walters,
Corporate Secretary.
Consumers Packaging, Inc., headquartered in Canada, is a leading international designer and producer of high quality glass
containers, with manufacturing facilities and business interests in Canada, the U.S., Italy, Israel, and Belarus. Consumers is
Canada's only glass packaging producer and with six manufacturing facilities, commands more than 85% of the glass
packaging market, and distributes its products both domestically and abroad. Through its acquisition of Anchor Glass
Consumers is now recognized as the third largest producer of glass containers in North America.
CONSUMERS PACKAGING
INC.
(In thousands of dollars except profit
per share data)
Three Months
Year Ended
Ended December 31,
December 31,
1996 1995
1996 1995
Gross Sales $106,296
$105,121 $ 462,326 $458,064
Gross Margin 27,760
25,612 123,100 133,910
Earnings Before Interest 2,300
2,759 24,232 41,402
Interest & Other 1,785
1,778 9,475 15,258
Net Earnings $ 515 $
981 $ 14,757 $ 26,144
Net Earnings Per Share
Basic $0.02 $0.03
$0.46 $0.91
Fully Diluted $0.02 $0.03
$0.46 $0.90
CONTACT: M. William Lightner Vice President, Finance & Chief Financial Officer Consumers Packaging Inc. (416)
232-3150 or Investor Relations Contact: Donna N. Stein, APR/Keil Decker Morgen-Walke Associates, Inc. (212)
850-5600 or Press Contact: Stan Froelich Morgen-Walke Associates, Inc. (212) 850-5600
The Claridge Announces That the Past Due Interest on its Outstanding 11-3/4% Notes will be Paid on March 21, 1997 to
Holders of Record on March 20, 1997
ATLANTIC CITY, N.J., March 5, 1997 - The Claridge Hotel and Casino Corporation announced today that it will pay the
past due interest installment on its 11-3/4% First Mortgage Notes Due 2002, plus default interest thereon, on Friday, March
21, 1997 to holders of record on March 20, 1997. The total amount to be paid to each holder of Notes on such date is
$59.78 per $1,000 principal amount of Notes held. The interest installment was originally scheduled to be paid on Feb. 3,
1997.
The Claridge Hotel and Casino Corporation, through its subsidiary, The Claridge at Park Place, Incorporated, operates the
Claridge Casino Hotel in Atlantic City. The casino hotel opened in July 1981 and has 59,000 square feet of casino gaming
space. The Claridge Hotel and Casino Corporation is a closely-held public corporation. Its Corporate Bonds are publicly
traded on the New York Stock Exchange under the symbol CLAR02.
SOURCE The Claridge Hotel and Casino Corporation /CONTACT: Glenn Lillie of Claridge Hotel and Casino,
609-340-3501, or fax, 609-340-3589/
Country World Casinos Inc. Emerges From Bankruptcy; Moves Closer To Building Black Hawk Hotel/Casino Complex
DENVER, CO --March 5, 1997--The United States Bankruptcy Court, District of Colorado has ruled that COUNTRY
WORLD CASINOS INC. (OTC BB: CWRC) be dismissed from its pending Chapter 11 Bankruptcy case, subject only to
the submission and acceptance of a formal order by COUNTRY WORLD'S counsel. The judge's ruling, issued after a hearing
of evidence in court this past Monday, March 3rd, also denied the motion of TommyKnocker Casino Corporation/New Allied
Development Corporation to convert the case to a Chapter 7 proceeding. The ruling frees Country World to pay its creditors
and enter into financing transactions in order to begin construction of its parking structure casino and hotel property in Black
Hawk, Colorado.
COUNTRY WORLD CASINOS INC., a subsidiary of HOLLY HOLDINGS INC. (NASDAQ:HOPR, HOPRW,
HOPRP; BSE: HOP, HOPP), which is headquartered in Bala Cynwyd, Pa., is a casino and hotel development company
based in Denver, Colorado whose plan its to construct a parking structure, casino and hotel complex in Black Hawk,
Colorado.
CONTACT: Roger Leclerc, 303/989-0123 or Elliott Jacobson, 312/943-1100
Dow Chemical Breast Implant Trial: Jury Selection to Begin March 13; Judge Says Trial Necessary to Hear Fraud,
Conspiracy, Negligence Charges
WASHINGTON, DC - March 5, 1997 - Dow Chemical's (NYSE: DOW) attempt to avoid a trial was denied yesterday
when State District Court Judge Yada Magee ruled that the plaintiffs' claims deserved a fair hearing in court. This will mark the
first time a class action lawsuit has gone to trial against a silicone company in the U.S.
The judge turned down the giant chemical company's request for a summary judgment, saying there was enough merit to the
arguments of the nearly 1,700 women to take Dow Chemical to trial. Their claims include fraud, conspiracy, negligence,
responsibility for the product, and aiding and abetting manufacturer Dow Corning.
Jury selection will begin in Louisiana's unique class action trial on Thursday, March 13. Evidence is expected to be heard
beginning Monday, March 17.
For thirty years beginning in 1963 silicone breast implants were sold under a veritable lifetime guarantee even though internal
documents indicate that the manufacturers and the parent company were well aware of product defects and possible related
health problems. The outer shell of most implants degrades over time, allowing silicone to seep through tiny holes into the
body's systems. Researchers have reported that 35-70 percent of implants older than ten years are likely to break completely
apart, releasing toxic silicone into the body. Once the silicone gel escapes its silicone shell, the silicone has been found in such
vital organs as the liver, spleen and brain stem.
In addition to the well-documented and non-controversial product failure problems, tens of thousands of women around the
world have all reported similar debilitating symptoms after receiving breast implants. Doctors have termed this a new illness -
calling it Undifferentiated Connective Tissue Disease. These symptoms were documented as far back as the early 1960s in
Japanese prostitutes who had received direct injections of silicone to enlarge their breasts.
Louisiana has the only state-based class action against silicone companies in the country. The 1,700 women suing Dow
Chemical are the first of several groups of women slated to go to trial in the state. Approximately 7,500 to 10,000 women
who live in the state or who were implanted in Louisiana make up the entire class. The Bristol-Myers Squibb trial is scheduled
to begin on April 30, 1997. Trials against Baxter and 3M will follow in late 1997.
This trial marks only the third time Dow Chemical has been in court. In the other two instances, in Nevada and Texas, juries
awarded millions in damages against the giant chemical company. Dow Chemical conducted the original silicone safety testing
for implant manufacturers.
The national leader in implant manufacturing is Dow Corning, Inc., a company owned 50% by Dow Chemical. Dow Corning
has been able to avoid liability by seeking protection in bankruptcy in 1995 - although the company continues to post record
earnings. Virtually every other major implant maker, including Bristol-Myers Squibb, Baxter Healthcare and 3M, has been
named and remains a defendant in the unique Louisiana case filed in 1992.
SOURCE Command Trust Network, Inc. /CONTACT: Stephen Oakes or Suzanne Turner, both of Fenton
Communications, 202-745-0707, for Command Trust Network/ (DOW)
Needham Woman Charged With Bankruptcy And Credit Card Fraud, U.S. Attorney Reports
BOSTON, MA - March 5, 1997 - A Needham, Massachusetts woman was indicted today and charged with credit card
fraud for obtaining charge cards in the name of a friend, and for bankruptcy fraud for filing a bankruptcy in the friend's name in
order to discharge the debt on several credit cards obtained in her friend's name.
United States Attorney Donald K. Stern announced that a federal grand jury in Boston returned a three-count Indictment
today charging Ruth O. Scarbeau, 48, of 47 Rae Road, Needham, Massachusetts, with credit card fraud and bankruptcy
fraud. The Indictment alleges that in 1994, Scarbeau began applying for and obtaining credit cards in the name of a friend and
ultimately ran up a debt of more than $57,000. In order to discharge that credit card debt, according to the Indictment,
Scarbeau filed a bankruptcy petition in the friend's name, holding herself out as the friend in written filings with the bankruptcy
court and at a meeting of creditors held at the bankruptcy court. The Indictment also charges that Scarbeau obtained
MasterCard and American Express credit cards in the friend's name, by using the friend's name and social security number. It
is further alleged that in the MasterCard application, Scarbeau represented falsely that she was the friend's sister. The
Indictment alleges that Scarbeau ran up debts of more than $15,000 in one year using the MasterCard, and more than $3,000
using the American Express card.
Scarbeau faces five years in prison, a $250,000 fine, restitution, a $100 special assessment and three years supervised release
on the bankruptcy fraud charge, and ten years in prison, a $250,000 fine, restitution, a $100 special assessment and five years
of supervised release on each of the credit card fraud charges.
The case was investigated by the Needham Police Department and the Federal Bureau of Investigation and the United States
Secret Service, and is being prosecuted by Assistant U.S. Attorney Mark J. Balthazard of Stern's Economic Crimes Unit.
SOURCE U.S. Attorney's Office /CONTACT: Amy Rindskopf or Joy Fallon of U.S. Attorney's Office, 617-223-9445/