PITTSBURGH--(BUSINESS WIRE)--Aug. 15, 2001--Reunion Industries, Inc. (AMEX
-RUN), reported a net loss of $0.5 million, or $0.03 per share (basic and
diluted), on sales of $43.7 million for the three months ended June 30, 2001.
Second quarter 2001 sales includes $33.0 million from the Company's Metals
Group and $10.8 million from its Plastics Group. The Company had an operating
profit of $1.6 million for the second quarter of 2001 on such sales. For the
first half of 2001, the Company had net income of $0.3 million, or $0.02 per
share (basic and diluted), on sales of $93.3 million and generated an operating
profit of $5.2 million.
Although not strictly comparable due to the merger of Reunion and Chatwins
Group, Inc. and the acquisition of Kingway Material Handling Company, both on
March 16, 2000, and the acquisition of NPS Acquisition Corp. in January 2001,
sales for the second quarter of 2000 were $52.3 million which resulted in an
operating profit of $4.1 million and net income of $0.3 million. For the six
months ended June 2000, sales were $89.9 million with an operating profit of
$6.6 million and a net loss of $0.6 million. The first half of 2000 results
include losses from extraordinary items totaling $1.8 million related to the
write-offs of deferred financing costs as the result of the refinancing of the
Company in the merger.
Company President Kimball Bradley, in his comments on the second quarter,
said "second quarter results reflect a continuing economic downturn in
several of the key markets served by the company. We have been reducing costs,
improving processes and streamlining operations for the last twelve months in
response to these conditions. These actions include headcount reductions in both
the labor and administrative areas. Though regrettable, it was necessary to
right-size the business while markets recover. The company remains committed to
our customers, shareholders and employees."
Reunion Industries is headquartered at 11 Stanwix Street, Suite 1400,
Pittsburgh, Pennsylvania, 15222.
This press release contains forward-looking statements as defined by Section
21E of the Securities Act of 1934, as amended, concerning the Company's
expectations about the sales of businesses and estimated proceeds, future
results of operations, financial position and cash flows, which are dependent on
future events, including events beyond the control of the Company. Additional
information on potential factors and risks that could affect the company's
future operations are contained in the Company's reports and filings with the
Securities and Exchange Commission.
REUNION INDUSTRIES, INC.
CONSOLIDATED SUMMARY OF OPERATIONS
(in thousands, except per share information)
(unaudited)
3 Months Ended 6 Months Ended
June 30, June 30,
2001 2000 2001 2000
-------- -------- -------- --------
Net sales $ 43,717 $ 52,340 $ 93,340 $ 89,897
======== ======== ======== ========
Operating profit $ 1,623 $ 4,094 $ 5,185 $ 6,571
======== ======== ======== ========
Income (loss) from
Continuing operations $ (500) $ 704 $ 261 $ 1,573
======== ======== ======== ========
Net income (loss) $ (500) $ 348 $ 261 $ (629)
======== ======== ======== ========
Income (loss) per share
From continuing operations
(basic and diluted) $ (0.03) $ 0.06 $ 0.02 $ 0.13
======== ======== ======== ========
Net income (loss) per share
(basic and diluted) $ (0.03) $ 0.03 $ 0.02 $ (0.06)
======== ======== ======== ========
Weighted average shares
outstanding (basic) 15,585 12,489 15,585 11,214
======== ======== ======== ========
Weighted average shares
outstanding (diluted) 15,646 12,489 15,661 11,214
======== ======== ======== ========
*T
