Farrel Corporation Reports 2000 Year End Results

Apr 03, 2001, 01:00 ET from Farrel Corporation

    ANSONIA, Conn., April 3 /PRNewswire/ -- Farrel Corporation reported a net
 loss of $983,000, equivalent to $0.19 per share, on sales of $64.2 million for
 the year ended December 31, 2000, compared to net income of $1.8 million,
 equivalent to $0.32 per share, on sales of $74.4 million for the year ended
 December 31, 1999.  The results for the year ended December 31, 1999, include
 a net after-tax gain of $1.1 million on the sale of excess real estate in
 Derby, Connecticut, which was recorded in the first quarter of 1999.
     Firm order backlog was $28 million at December 31, 2000 compared to
 $29 million at December 31, 1999.
     Rolf K. Liebergesell, Chairman and Chief Executive Officer of Farrel,
 stated "the results for 2000 reflect a significant decline in sales due to
 weak market conditions in Europe and the detrimental effect of the strength of
 the U.S. dollar and British Pound Sterling versus the Euro.  The weakness of
 the Euro provides substantial advantages to our competitors located in the
 Euro-zone.  During 2000, the Company's sales in Europe declined approximately
 $10 million.  The current year results also reflect pretax costs of
 approximately $417,000 incurred related to headcount reductions and the
 recruitment of several new members of management.  Headcount was reduced by
 56 people, or 13% in 2000."
     Additionally, Mr. Liebergesell stated "in light of the operating results
 for 2000, the Board of Directors has not declared dividends for the third and
 fourth quarters of 2000.  Management is focused on cutting costs in order to
 maximize its operating results.  The Company believes that its product quality
 and strong customer service capabilities provide it with competitive
 advantages which the Company is utilizing to manage through the difficult
 market conditions it is facing."
     Farrel Corporation is a leading designer and manufacturer of machinery
 used to process rubber and plastic materials.  The Company's products include
 BANBURY(R) and INTERMIX(R) mixers, continuous mixers, single and twin screw
 extruders, plastic compounders, pelletizers, gear pumps, calenders and mills.
 Farrel also provides repair, refurbishment and machinery upgrade services.
 
                               FARREL CORPORATION
                              FINANCIAL HIGHLIGHTS
 
                                                     Year Ended
                                      December 31, 2000       December 31, 1999
 
     Net Sales                          $64,223,000              $74,455,000
 
     Net Income (Loss)                   $(983,000)               $1,760,000
 
     Net Income (Loss)
     Per Share                              $(0.19)                    $0.32
 
 

SOURCE Farrel Corporation
    ANSONIA, Conn., April 3 /PRNewswire/ -- Farrel Corporation reported a net
 loss of $983,000, equivalent to $0.19 per share, on sales of $64.2 million for
 the year ended December 31, 2000, compared to net income of $1.8 million,
 equivalent to $0.32 per share, on sales of $74.4 million for the year ended
 December 31, 1999.  The results for the year ended December 31, 1999, include
 a net after-tax gain of $1.1 million on the sale of excess real estate in
 Derby, Connecticut, which was recorded in the first quarter of 1999.
     Firm order backlog was $28 million at December 31, 2000 compared to
 $29 million at December 31, 1999.
     Rolf K. Liebergesell, Chairman and Chief Executive Officer of Farrel,
 stated "the results for 2000 reflect a significant decline in sales due to
 weak market conditions in Europe and the detrimental effect of the strength of
 the U.S. dollar and British Pound Sterling versus the Euro.  The weakness of
 the Euro provides substantial advantages to our competitors located in the
 Euro-zone.  During 2000, the Company's sales in Europe declined approximately
 $10 million.  The current year results also reflect pretax costs of
 approximately $417,000 incurred related to headcount reductions and the
 recruitment of several new members of management.  Headcount was reduced by
 56 people, or 13% in 2000."
     Additionally, Mr. Liebergesell stated "in light of the operating results
 for 2000, the Board of Directors has not declared dividends for the third and
 fourth quarters of 2000.  Management is focused on cutting costs in order to
 maximize its operating results.  The Company believes that its product quality
 and strong customer service capabilities provide it with competitive
 advantages which the Company is utilizing to manage through the difficult
 market conditions it is facing."
     Farrel Corporation is a leading designer and manufacturer of machinery
 used to process rubber and plastic materials.  The Company's products include
 BANBURY(R) and INTERMIX(R) mixers, continuous mixers, single and twin screw
 extruders, plastic compounders, pelletizers, gear pumps, calenders and mills.
 Farrel also provides repair, refurbishment and machinery upgrade services.
 
                               FARREL CORPORATION
                              FINANCIAL HIGHLIGHTS
 
                                                     Year Ended
                                      December 31, 2000       December 31, 1999
 
     Net Sales                          $64,223,000              $74,455,000
 
     Net Income (Loss)                   $(983,000)               $1,760,000
 
     Net Income (Loss)
     Per Share                              $(0.19)                    $0.32
 
 SOURCE  Farrel Corporation