Dura Automotive Reports First-Quarter Results; Earnings Exceed First Call Consensus Estimate

Apr 23, 2001, 01:00 ET from Dura Automotive

    ROCHESTER HILLS, Mich., April 23 /PRNewswire Interactive News Release/ --
     Dura Automotive Systems, Inc. (Nasdaq:   DRRA), today reported financial
 results for the first quarter ended March 31, 2001.  Earnings for the quarter,
 excluding the impact of restructuring activities, were $0.60 per diluted
 share, exceeding First Call consensus estimate of $0.41.
     First-quarter revenues were $661.9 million, a decrease of $20.9 million
 compared to the first-quarter of 2000.  Revenues for the quarter as compared
 to first-quarter 2000 were unfavorably impacted by the continued weakness in
 the North American automotive and recreational vehicle industries as well as
 foreign exchange.  Offsetting the quarter-over-quarter decrease was the
 fourth-quarter 2000 acquisition of Reiche GmbH (Germany) and new business in
 both the Cockpit Systems and Body & Glass Divisions.
     First-quarter 2001 operating income was $44.6 million.  Excluding the
 impact of restructuring activities, first-quarter operating income was
 $47.3 million, down $10.9 million compared to the first quarter of 2000.  The
 company recorded a pre-tax restructuring charge of $2.6 million during the
 quarter.  This charge is a continuation of the company's 2000 restructuring
 plan to reduce its cost base and address capacity issues given the reduced
 demand in the North American automotive and recreational vehicle markets.
     Net income was $9.2 million, or $0.52 per diluted share outstanding,
 versus $16.5 million, or $0.90 per diluted share, in the comparable 2000
 period.  Excluding the impact of restructuring activities, first-quarter net
 income was $10.8 million, or $0.60 per diluted share.  First-quarter diluted
 shares outstanding were 19.1 million as compared to 19.0 million in the
 first-quarter of 2000.
     Karl Storrie, president and chief executive officer of Dura Automotive,
 stated, "We are pleased with our first-quarter results.  The instability in
 our industry has created a challenging environment that our management team
 continues to address through cost reduction and tight cash management.  We
 feel the actions that we have taken over the past two quarters have positioned
 us well to get us through these tough times, however, we will continue to
 closely monitor the market conditions."
     Dura Automotive Systems, Inc., is the world's largest independent designer
 and manufacturer of cockpit sub-systems and a leading global supplier of door
 modules, seat mechanisms and structures, glass systems and engineered
 assemblies for the global automotive industry.  The company is also a leading
 supplier of similar products to the North American recreational vehicle and
 mass transit market.  The company's products include door modules, parking
 brake systems, automotive cables, transmission shifter systems, encapsulated
 and sliding windows, window regulators, hinges, latches, seating systems,
 engine control products, underbody tire carriers, jacks, brake, clutch and
 accelerator pedals and other mechanical assemblies.  The company's products
 are sold to every North American, European and Japanese original equipment
 manufacturers, including Ford, General Motors, DaimlerChrysler, Volkswagen,
 BMW, Toyota, Honda, Nissan, PSA (Peugeot and Citroen) and Renault.  Dura's
 operating headquarters is in Rochester Hills, Mich., and its corporate office
 is in Minneapolis, Minn.
     This press release contains forward-looking statements that are subject to
 risks and uncertainties.  These statements often include words such as
 "believe," "expect," "anticipate," "intend," "plan," "estimate," or similar
 expressions.  These statements are based on certain assumptions that the
 company has made in light of its experience in the industry as well as its
 perspective of historical trends, current conditions, expected future
 developments and other factors it believes are appropriate in the
 circumstances.  Actual results may differ materially from the anticipated
 results because of certain risks and uncertainties, including but not limited
 to (i) expected synergies, economies of scale and cost savings from the
 company's acquisitions not being fully realized or realized within the
 expected times frames; (ii) unanticipated difficulties servicing the
 substantially higher level of indebtedness at the company, (iii) costs or
 operational difficulties related to integrating the operations of the acquired
 entities with those of the company being greater than expected; (iv) labor
 disputes involving the company or its significant customers, (v) risks
 associated with conducting business in foreign countries, and (vi) general
 economic or business conditions affecting the automotive industry, either
 nationally or regionally, being less favorable than expected.
 
                 DURA AUTOMOTIVE SYSTEMS, INC. AND SUBSIDIARIES
                CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
         (Amounts in thousands, except per share amounts -- unaudited)
 
                                                   Three Months Ended March 31,
                                                        2001          2000
     Revenues                                        $661,853       $682,769
     Cost of sales                                    569,946        573,654
       Gross profit                                    91,907        109,115
     Selling, general and administrative expenses      37,633         43,918
     Facility Consolidation and other charges           2,629             --
     Amortization expense                               6,999          7,041
       Operating income                                44,646         58,156
     Interest expense, net                             28,533         27,921
     Income before provision for income taxes,
      equity in losses of affiliates and
      minority interest                                16,113         30,235
     Provision for income taxes                         6,284         12,366
     Minority interest and equity in losses
      of affiliates, net                                   --            798
     Minority interest -- dividends on trust
      preferred securities, net                           611            611
       Net income                                      $9,218        $16,460
     Basic earnings per common share                    $0.52          $0.94
     Basic shares outstanding                          17,715         17,430
     Diluted earnings per common share:                 $0.52          $0.90
     Diluted shares outstanding                        19,076         18,956
     Capital expenditures                             $15,176        $27,771
     Depreciation                                     $16,696        $14,747
 
 
                 DURA AUTOMOTIVE SYSTEMS, INC. AND SUBSIDIARIES
                     CONDENSED CONSOLIDATED BALANCE SHEETS
                             (Amounts in thousands)
 
                                                     March 31,     December 31,
                   Assets                              2001           2000
                                                    (Unaudited)
     Current assets:
       Cash and cash equivalents                      $10,080        $30,438
       Accounts receivable, net                       420,544        367,505
       Inventories                                    130,166        148,919
       Other current assets                           151,814        170,083
         Total current assets                         712,604        716,945
 
     Property, plant and equipment, net               516,789        533,912
     Goodwill, net                                    996,727      1,028,113
     Deferred income taxes and other assets, net       78,494         78,077
                                                   $2,304,614     $2,357,047
 
        Liabilities and Stockholders' Investment
 
     Current liabilities:
       Accounts payable                              $263,146       $258,895
       Accrued liabilities                            242,657        225,032
       Current maturities of long-term debt            57,166         64,013
         Total current liabilities                    562,969        547,940
 
     Long-term debt, net of current maturities        717,662        766,961
     Subordinated notes                               388,308        394,240
     Other noncurrent liabilities                     138,349        139,262
 
     Mandatorily redeemable convertible trust
      preferred securities                             55,250         55,250
 
     Stockholders' investment:
       Common stock - Class A                             144            143
       Common stock - Class B                              33             33
       Additional paid-in capital                     341,580        341,472
       Treasury stock                                  (1,383)        (1,505)
       Retained earnings                              159,267        150,049
       Accumulated other comprehensive loss           (57,565)       (36,798)
         Total stockholders' investment               442,076        453,394
                                                   $2,304,614     $2,357,047
 
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                http://tbutton.prnewswire.com/prn/11690X25850033
 
 

SOURCE Dura Automotive
    ROCHESTER HILLS, Mich., April 23 /PRNewswire Interactive News Release/ --
     Dura Automotive Systems, Inc. (Nasdaq:   DRRA), today reported financial
 results for the first quarter ended March 31, 2001.  Earnings for the quarter,
 excluding the impact of restructuring activities, were $0.60 per diluted
 share, exceeding First Call consensus estimate of $0.41.
     First-quarter revenues were $661.9 million, a decrease of $20.9 million
 compared to the first-quarter of 2000.  Revenues for the quarter as compared
 to first-quarter 2000 were unfavorably impacted by the continued weakness in
 the North American automotive and recreational vehicle industries as well as
 foreign exchange.  Offsetting the quarter-over-quarter decrease was the
 fourth-quarter 2000 acquisition of Reiche GmbH (Germany) and new business in
 both the Cockpit Systems and Body & Glass Divisions.
     First-quarter 2001 operating income was $44.6 million.  Excluding the
 impact of restructuring activities, first-quarter operating income was
 $47.3 million, down $10.9 million compared to the first quarter of 2000.  The
 company recorded a pre-tax restructuring charge of $2.6 million during the
 quarter.  This charge is a continuation of the company's 2000 restructuring
 plan to reduce its cost base and address capacity issues given the reduced
 demand in the North American automotive and recreational vehicle markets.
     Net income was $9.2 million, or $0.52 per diluted share outstanding,
 versus $16.5 million, or $0.90 per diluted share, in the comparable 2000
 period.  Excluding the impact of restructuring activities, first-quarter net
 income was $10.8 million, or $0.60 per diluted share.  First-quarter diluted
 shares outstanding were 19.1 million as compared to 19.0 million in the
 first-quarter of 2000.
     Karl Storrie, president and chief executive officer of Dura Automotive,
 stated, "We are pleased with our first-quarter results.  The instability in
 our industry has created a challenging environment that our management team
 continues to address through cost reduction and tight cash management.  We
 feel the actions that we have taken over the past two quarters have positioned
 us well to get us through these tough times, however, we will continue to
 closely monitor the market conditions."
     Dura Automotive Systems, Inc., is the world's largest independent designer
 and manufacturer of cockpit sub-systems and a leading global supplier of door
 modules, seat mechanisms and structures, glass systems and engineered
 assemblies for the global automotive industry.  The company is also a leading
 supplier of similar products to the North American recreational vehicle and
 mass transit market.  The company's products include door modules, parking
 brake systems, automotive cables, transmission shifter systems, encapsulated
 and sliding windows, window regulators, hinges, latches, seating systems,
 engine control products, underbody tire carriers, jacks, brake, clutch and
 accelerator pedals and other mechanical assemblies.  The company's products
 are sold to every North American, European and Japanese original equipment
 manufacturers, including Ford, General Motors, DaimlerChrysler, Volkswagen,
 BMW, Toyota, Honda, Nissan, PSA (Peugeot and Citroen) and Renault.  Dura's
 operating headquarters is in Rochester Hills, Mich., and its corporate office
 is in Minneapolis, Minn.
     This press release contains forward-looking statements that are subject to
 risks and uncertainties.  These statements often include words such as
 "believe," "expect," "anticipate," "intend," "plan," "estimate," or similar
 expressions.  These statements are based on certain assumptions that the
 company has made in light of its experience in the industry as well as its
 perspective of historical trends, current conditions, expected future
 developments and other factors it believes are appropriate in the
 circumstances.  Actual results may differ materially from the anticipated
 results because of certain risks and uncertainties, including but not limited
 to (i) expected synergies, economies of scale and cost savings from the
 company's acquisitions not being fully realized or realized within the
 expected times frames; (ii) unanticipated difficulties servicing the
 substantially higher level of indebtedness at the company, (iii) costs or
 operational difficulties related to integrating the operations of the acquired
 entities with those of the company being greater than expected; (iv) labor
 disputes involving the company or its significant customers, (v) risks
 associated with conducting business in foreign countries, and (vi) general
 economic or business conditions affecting the automotive industry, either
 nationally or regionally, being less favorable than expected.
 
                 DURA AUTOMOTIVE SYSTEMS, INC. AND SUBSIDIARIES
                CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
         (Amounts in thousands, except per share amounts -- unaudited)
 
                                                   Three Months Ended March 31,
                                                        2001          2000
     Revenues                                        $661,853       $682,769
     Cost of sales                                    569,946        573,654
       Gross profit                                    91,907        109,115
     Selling, general and administrative expenses      37,633         43,918
     Facility Consolidation and other charges           2,629             --
     Amortization expense                               6,999          7,041
       Operating income                                44,646         58,156
     Interest expense, net                             28,533         27,921
     Income before provision for income taxes,
      equity in losses of affiliates and
      minority interest                                16,113         30,235
     Provision for income taxes                         6,284         12,366
     Minority interest and equity in losses
      of affiliates, net                                   --            798
     Minority interest -- dividends on trust
      preferred securities, net                           611            611
       Net income                                      $9,218        $16,460
     Basic earnings per common share                    $0.52          $0.94
     Basic shares outstanding                          17,715         17,430
     Diluted earnings per common share:                 $0.52          $0.90
     Diluted shares outstanding                        19,076         18,956
     Capital expenditures                             $15,176        $27,771
     Depreciation                                     $16,696        $14,747
 
 
                 DURA AUTOMOTIVE SYSTEMS, INC. AND SUBSIDIARIES
                     CONDENSED CONSOLIDATED BALANCE SHEETS
                             (Amounts in thousands)
 
                                                     March 31,     December 31,
                   Assets                              2001           2000
                                                    (Unaudited)
     Current assets:
       Cash and cash equivalents                      $10,080        $30,438
       Accounts receivable, net                       420,544        367,505
       Inventories                                    130,166        148,919
       Other current assets                           151,814        170,083
         Total current assets                         712,604        716,945
 
     Property, plant and equipment, net               516,789        533,912
     Goodwill, net                                    996,727      1,028,113
     Deferred income taxes and other assets, net       78,494         78,077
                                                   $2,304,614     $2,357,047
 
        Liabilities and Stockholders' Investment
 
     Current liabilities:
       Accounts payable                              $263,146       $258,895
       Accrued liabilities                            242,657        225,032
       Current maturities of long-term debt            57,166         64,013
         Total current liabilities                    562,969        547,940
 
     Long-term debt, net of current maturities        717,662        766,961
     Subordinated notes                               388,308        394,240
     Other noncurrent liabilities                     138,349        139,262
 
     Mandatorily redeemable convertible trust
      preferred securities                             55,250         55,250
 
     Stockholders' investment:
       Common stock - Class A                             144            143
       Common stock - Class B                              33             33
       Additional paid-in capital                     341,580        341,472
       Treasury stock                                  (1,383)        (1,505)
       Retained earnings                              159,267        150,049
       Accumulated other comprehensive loss           (57,565)       (36,798)
         Total stockholders' investment               442,076        453,394
                                                   $2,304,614     $2,357,047
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X25850033
 
 SOURCE  Dura Automotive