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For Immediate Release WEIRTON, W.VA. – Weirton Steel Corp. (OTCBB: WRTL) today reported a net loss of $12.7 million for the third quarter of 2002, or $0.30 per diluted share. The third quarter results included a legal settlement of $1.9 million. Excluding the effect of this item, the net loss for the third quarter of 2002 was $14.6 million, or $.34 per diluted share. This compares with a net loss of $60.2 million, or $1.45 per diluted share, for the third quarter of 2001. Net sales in the third quarter of 2002 were $273.8 million on shipments of 579,200 tons, compared to $241.5 million on 556,000 tons of shipments for the same period in 2001. The company recorded a net loss of $93.1 million for the first nine months of 2002, or $2.22 per diluted share. The first nine months results included a legal settlement of $1.9 million, an extraordinary gain of $0.2 million on the early extinguishment of debt, the sale of excess (NOX) allowances for $4.4 million, the sale of Prudential common stock for $3.2 million as a result of Prudential’s demutualization, and a tax refund of $3.5 million. Excluding the effects of these items, the net loss for the first nine months of 2002 was $106.3 million, or $2.53 per diluted share. Last year’s first nine months resulted in a net loss of $353.3 million, or $8.50 per diluted share, which included a non-cash charge of $153.8 million to fully reserve the company’s deferred tax assets, a restructuring charge of $12.3 million associated with an involuntary reduction program for exempt employees and the write-off of the company’s remaining interests in certain joint ventures totaling $18.0 million. Excluding the effects of these charges, the company’s net loss for the first nine months of 2001 would have been $169.1 million, or $4.07 per diluted share. Net sales for the first nine months of 2002 were $760.8 million on shipments of 1,724,200 tons compared to $733.8 million on shipments of 1,718,500 tons for the same period last year. "Results for the third quarter improved due to higher selling prices for sheet products and previously announced restructuring initiatives. The increased prices resulted from supply constraints from domestic shutdowns and a favorable Section 201 trade ruling earlier in the year," said John H. Walker, president and chief executive officer. "Looking ahead, sheet product selling prices are beginning to moderate due to the restart of domestic capacity," he added. On Oct. 31, the company announced a 4.8 percent increase for tin mill products in 2003. Total liquidity at Sept. 30, 2002, was $46.3 million compared to $38.5 million at June 30, 2002. As previously announced, proxy material has been mailed to Weirton Steel stockholders for an annual meeting scheduled for Dec. 11, 2002, to elect directors, ratify the appointment of independent public accountants, restructure the size and composition of the board of directors and approve fundamental changes to the charter contingent upon the completion of a significant transaction. Any statement contained in this release, other than historical information, is forward-looking. A variety of factors could cause business conditions and the company’s actual results and experience to differ materially from those expected by the company or expressed in the company’s forward-looking statements. Additional information concerning these factors is available in the company’s most recent Annual Report and filings with the Securities and Exchange Commission. Weirton Steel is a major integrated producer of flat rolled carbon steel with principal product lines consisting of tin mill products and sheet products. The company is the second largest domestic producer of tin mill products with approximately 25 percent of the domestic market share.
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