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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) December 18, 1998
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SCHWEITZER-MAUDUIT INTERNATIONAL, INC.
(Exact name of registrant as specified in its charter)
DELAWARE 1-13948 62-1612879
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(State or other jurisdiction of (Commission (I.R.S. Employer
incorporation or organization) File Number) Identification No.)
100 NORTH POINT CENTER EAST, SUITE 600 30022-8246
ALPHARETTA, GEORGIA ----------
- ------------------- (Zip Code)
(Address of principal executive offices)
(Registrant's telephone number, including area code): 1-800-514-0186
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Not Applicable
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(Former name or former address, if changed since last report.)
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ITEM 5. OTHER EVENTS
The information in the registrant's press release dated December 18, 1998
attached as Exhibit 99 incorporated in this Item 5 by reference.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits.
See the Index to Exhibits that appears at the end of this document and
which is incorporated by reference herein.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
SCHWEITZER-MAUDUIT INTERNATIONAL, INC.
(Registrant)
By: /s/ WILLIAM J. SHARKEY
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William J. Sharkey
General Counsel and Secretary
December 18, 1998
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SCHWEITZER-MAUDUIT INTERNATIONAL, INC.
CURRENT REPORT ON FORM 8-K
DATED DECEMBER 18, 1998
INDEX TO EXHIBITS
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EXHIBIT NO. DESCRIPTION
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99 Press Release of Schweitzer-Mauduit International, Inc. issued
December 18, 1998.
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EXHIBIT 99
PRESS RELEASE Contact: Bill Foust Paul Roberts
770-569-4203 770-569-4277
SCHWEITZER-MAUDUIT ANNOUNCES A ONE-TIME CHARGE,
EXPECTED FOURTH QUARTER EARNINGS AND
SHARE REPURCHASE PROGRAM
Alpharetta, GA, December 18, 1998. Schweitzer-Mauduit International, Inc. (NYSE:
SWM) today announced that it will incur a one-time pre-tax charge in the fourth
quarter of 1998 of approximately $4.0 million, which will have an unfavorable
impact on diluted earnings per share of $.13.
Wayne H. Deitrich, Chairman of the Board and Chief Executive Officer, said "the
one-time charge is being taken in recognition of current business conditions and
to implement organizational changes that will benefit future operations.
Approximately two-thirds of the one-time charge is a noncash write-off of assets
related to idle production equipment no longer expected to be used because of
market conditions. The balance of the one-time charge is primarily for labor
payments, the majority of which are related to a change in the operating shift
structure in the Brazilian operations. The modified shift structure in Brazil
will be implemented in January 1999 and is expected to provide approximately $1
million in annual pre-tax savings."
Mr. Deitrich added that, "excluding the one-time charge, diluted earnings per
share for the fourth quarter of 1998 are expected to be in the range of $.27 to
$.32. Results for the quarter will reflect the unfavorable impact of production
downtime necessary to manage inventory levels."
The Company also announced that its Board of Directors has authorized the
repurchase of shares of the Company's common stock during the period January 1,
1999 through December 31, 2000 in an amount not to exceed $20 million. The
Company's current share repurchase authorization is effective through December
31, 1998.
Schweitzer-Mauduit International, Inc. is a diversified producer of premium
specialty papers and the world's largest supplier of fine papers to the tobacco
industry. It also manufactures specialty papers for use in alkaline batteries,
vacuum cleaner bags, business forms, and printing and packaging applications.
Schweitzer-Mauduit and its subsidiaries conduct business in over 80 countries
and employ 3,400 people worldwide, with operations in the United States, France,
Brazil and Canada.
Certain comments contained in this news release concerning the business outlook
and anticipated financial and operating results of the Company constitute
"forward-looking statements" within the meaning of the Private Securities
Litigation Reform Act of 1995 and are subject to the safe harbor created by that
Act. The forward-looking statements are based upon management's expectations and
beliefs concerning future events impacting the Company. There can be no
assurances that such events will occur or that the Company's results will be as
estimated. Many factors outside the control of the Company also could impact the
realization of such estimates. Such factors are discussed in more detail in the
Company's SEC reports, including the Company's Annual Report on Form 10-K for
the year ended December 31, 1997.
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