Minuteman International First Quarter Affected by Economic Slowdown

Earnings Dip Slightly on Flat Sales





Apr 30, 2001, 01:00 ET from Minuteman International, Inc.

    ADDISON, Ill., April 30 /PRNewswire/ -- Minuteman International, Inc.
 (Nasdaq:   MMAN), the floor-care equipment manufacturer, reported that its
 operating results for the first quarter of 2001 were slightly affected by
 uneasiness in the general economy.  But sales in the period were only $69,000
 lower than those of its record quarter a year ago, a mere three-tenths of one
 percent decline.  Net income fell 3.2 percent for the quarter, contained by
 expense controls.
     Management cited reduced demand for commercial equipment from its North
 American dealers as the principal reason why revenues were essentially
 unchanged.  Gregory Rau, president and CEO, noted that this softness was
 partially offset by continued growth in the company's chemical floor-care
 products business, better demand for industrial floor cleaning and polishing
 equipment and a rebound in orders for its Parker brand of lawn-sweeping
 products.
     "Competition in the domestic marketplace along with the strength of the
 U.S. dollar in Europe put pressure on prices and, consequently, on our gross
 profit," Rau said.
     For the three months ended March 31, net income was $1,029,000, or
 $.29 per share, compared with $1,063,000, or $.30 per share, for the first
 quarter of 2000.  Sales were $23,014,000 versus $23,083,000.
     Rau's outlook for the next quarter is "guarded" because of the uncertain
 economic environment.  However, he did note that the company in mid-February
 instituted a price increase of approximately 3 percent across most product
 lines, "the full effect of which we expect to realize with shipments in the
 second quarter."  He also pointed out that selling, general and administrative
 expenses in the first three months declined 3 percent from last year, the
 consequence of continuing cost containment efforts, "which become even more
 important in these uncertain economic times.  We made a number of major
 expenditures in the past year that have increased our efficiency and improved
 our infrastructure greatly and which will not have to be repeated again for
 many years," he said.
     "New products set for introduction late in the second quarter coupled with
 an expected improvement in the economy will allow us to show better results
 during the last half of 2001," Rau predicted.
     The Board of Directors approved the 51st consecutive quarterly dividend in
 the amount of $.09 per share, payable May 15, 2001 to shareholders of record
 as of April 30, 2001.
     Minuteman International, Inc., headquartered in the Chicago suburb of
 Addison, Illinois, is a full-line manufacturer of Minuteman and PowerBoss
 commercial and industrial vacuums, floor and carpet-care equipment, Multi-
 Clean brand chemical products for cleaning and coating, litter pick-up
 machines, and lawn-sweeping equipment under the Parker Sweeper label.  The
 corporation has dealers in more than 40 countries.  More information can be
 found on the company's Web site at www.minutemanintl.com .
 
     This press release contains forward-looking statements that are made
 pursuant to the safe harbor provisions of the Private Securities Litigation
 Reform Act of 1995.  Investors are cautioned that all forward-looking
 statements involve risks and uncertainties.  The Company believes that
 forward-looking statements made by it are based upon reasonable expectations.
 However, no assurances can be given that actual results will not differ
 materially from those contained in such forward-looking statements.
 Additional information concerning these and other factors is contained in the
 Company's Securities and Exchange Commission filings, including its annual 10-
 K, Proxy Statement and quarterly 10-Q filings, copies of which are available
 from the Company without charge.
 
                 MINUTEMAN INTERNATIONAL, INC. AND SUBSIDIARIES
 
                       Consolidated Statements of Income
                (In thousands, except per share data, unaudited)
 
                                             Three Months Ended March 31,
                                       2001           2000            %Change
 
     Net Sales                       $23,014         $23,083          (0.3)
 
     Cost of Sales                    16,204          16,036           1.0
 
       Gross Profit                   $6,810          $7,047          (3.4)
 
     Selling Expenses                  3,944           4,032          (2.2)
 
     General and Administrative
      Expenses                         1,054           1,123          (6.1)
 
       Income from Operations         $1,812          $1,892          (4.2)
 
     Other Expense                     (123)            (141)        (12.8)
 
       Income before Income Taxes     $1,689          $1,751          (3.5)
 
     Income Tax Expense                  660             688          (4.1)
 
       Net Income                     $1,029          $1,063          (3.2)
 
     Net Income Per Share --
       Basic and diluted                $.29            $.30
 
     Average Number of Shares
       Outstanding                     3,568           3,568
 
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                http://tbutton.prnewswire.com/prn/11690X37443181
 
 

SOURCE Minuteman International, Inc.
    ADDISON, Ill., April 30 /PRNewswire/ -- Minuteman International, Inc.
 (Nasdaq:   MMAN), the floor-care equipment manufacturer, reported that its
 operating results for the first quarter of 2001 were slightly affected by
 uneasiness in the general economy.  But sales in the period were only $69,000
 lower than those of its record quarter a year ago, a mere three-tenths of one
 percent decline.  Net income fell 3.2 percent for the quarter, contained by
 expense controls.
     Management cited reduced demand for commercial equipment from its North
 American dealers as the principal reason why revenues were essentially
 unchanged.  Gregory Rau, president and CEO, noted that this softness was
 partially offset by continued growth in the company's chemical floor-care
 products business, better demand for industrial floor cleaning and polishing
 equipment and a rebound in orders for its Parker brand of lawn-sweeping
 products.
     "Competition in the domestic marketplace along with the strength of the
 U.S. dollar in Europe put pressure on prices and, consequently, on our gross
 profit," Rau said.
     For the three months ended March 31, net income was $1,029,000, or
 $.29 per share, compared with $1,063,000, or $.30 per share, for the first
 quarter of 2000.  Sales were $23,014,000 versus $23,083,000.
     Rau's outlook for the next quarter is "guarded" because of the uncertain
 economic environment.  However, he did note that the company in mid-February
 instituted a price increase of approximately 3 percent across most product
 lines, "the full effect of which we expect to realize with shipments in the
 second quarter."  He also pointed out that selling, general and administrative
 expenses in the first three months declined 3 percent from last year, the
 consequence of continuing cost containment efforts, "which become even more
 important in these uncertain economic times.  We made a number of major
 expenditures in the past year that have increased our efficiency and improved
 our infrastructure greatly and which will not have to be repeated again for
 many years," he said.
     "New products set for introduction late in the second quarter coupled with
 an expected improvement in the economy will allow us to show better results
 during the last half of 2001," Rau predicted.
     The Board of Directors approved the 51st consecutive quarterly dividend in
 the amount of $.09 per share, payable May 15, 2001 to shareholders of record
 as of April 30, 2001.
     Minuteman International, Inc., headquartered in the Chicago suburb of
 Addison, Illinois, is a full-line manufacturer of Minuteman and PowerBoss
 commercial and industrial vacuums, floor and carpet-care equipment, Multi-
 Clean brand chemical products for cleaning and coating, litter pick-up
 machines, and lawn-sweeping equipment under the Parker Sweeper label.  The
 corporation has dealers in more than 40 countries.  More information can be
 found on the company's Web site at www.minutemanintl.com .
 
     This press release contains forward-looking statements that are made
 pursuant to the safe harbor provisions of the Private Securities Litigation
 Reform Act of 1995.  Investors are cautioned that all forward-looking
 statements involve risks and uncertainties.  The Company believes that
 forward-looking statements made by it are based upon reasonable expectations.
 However, no assurances can be given that actual results will not differ
 materially from those contained in such forward-looking statements.
 Additional information concerning these and other factors is contained in the
 Company's Securities and Exchange Commission filings, including its annual 10-
 K, Proxy Statement and quarterly 10-Q filings, copies of which are available
 from the Company without charge.
 
                 MINUTEMAN INTERNATIONAL, INC. AND SUBSIDIARIES
 
                       Consolidated Statements of Income
                (In thousands, except per share data, unaudited)
 
                                             Three Months Ended March 31,
                                       2001           2000            %Change
 
     Net Sales                       $23,014         $23,083          (0.3)
 
     Cost of Sales                    16,204          16,036           1.0
 
       Gross Profit                   $6,810          $7,047          (3.4)
 
     Selling Expenses                  3,944           4,032          (2.2)
 
     General and Administrative
      Expenses                         1,054           1,123          (6.1)
 
       Income from Operations         $1,812          $1,892          (4.2)
 
     Other Expense                     (123)            (141)        (12.8)
 
       Income before Income Taxes     $1,689          $1,751          (3.5)
 
     Income Tax Expense                  660             688          (4.1)
 
       Net Income                     $1,029          $1,063          (3.2)
 
     Net Income Per Share --
       Basic and diluted                $.29            $.30
 
     Average Number of Shares
       Outstanding                     3,568           3,568
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X37443181
 
 SOURCE  Minuteman International, Inc.