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: April 27, 1999
(Date of earliest event reported)
UNIVERSAL CORPORATION
(Exact Name of Registrant as Specified in its Charter)
Virginia 1-652 54-0414210
(State or Other Jurisdiction (Commission File Number) (IRS Employer
of Incorporation) Identification No.)
1501 North Hamilton Street
Richmond, Virginia 23230
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code:
(804) 359-9311
<PAGE>
Item 5. Other Events.
The press release issued by the Registrant on April 27, 1999
attached hereto as Exhibit 99.1 is incorporated herein by
reference.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
(c) Exhibits.
No. Description
--- -----------
99.1 Press Release announcing Universal Leaf North America
consolidating operations.
- -------------
*Filed Herewith
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the Registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.
UNIVERSAL CORPORATION
(Registrant)
Date: April 27, 1999 By: /s/ James M. White, III
---------------------------------------
James M. White, III
Vice President, General Counsel
and Secretary
<PAGE>
Exhibit Index
Exhibit
Number Document
- ------ --------
99.1 Press Release announcing Press Release announcing Universal Leaf North
America consolidating operations.
- -------------
*Filed Herewith
EXHIBIT 99.1
CONTACT: RELEASE:
KAREN M. L. WHELAN IMMEDIATELY
(804)359-9311
UNIVERSAL LEAF NORTH AMERICA TO CONSOLIDATE OPERATIONS
RICHMOND,VA APRIL 27, 1999/PRNEWSWIRE/---- Universal Leaf North
America, a subsidiary of Universal Leaf Tobacco Company, Inc., today announced
that it would take several actions to rationalize and consolidate its U.S.
operations. These actions, which management considers necessary in order for the
company to remain a strong competitor in the marketplace, are to close the leaf
stemming operations in the K. R. Edwards plant in Smithfield, North Carolina,
consolidate those processing activities into the Thorpe Greenville plant in
Rocky Mount, North Carolina, close its extruder activities in Danville,
Virginia, and Greeneville, Tennessee, and reduce the number of leaf buying
personnel for the upcoming season due to a reduction in the sets of buyers by
the U.S. Department of Agriculture.
R.E. Foy, Jr., President of Universal Leaf North America, noted, "The
tobacco industry in the United States has faced significant challenges during
the last few years, including a decline in U.S. cigarette consumption and a drop
in exports of U.S. tobacco. These reductions and a build-up of inventories in
the stabilization cooperatives have resulted in substantial reductions in the
amount of U.S. flue-cured and burley tobaccos that can be produced and marketed,
and we do not expect a near-term reversal in these trends."
Foy further stated, "We regret that today's actions are necessary.
Our processing, extruder, and leaf personnel in the affected operations have
long been loyal, dedicated and supportive employees, and thus, these decisions
have been extremely difficult."
In order to minimize the effect of these actions on the company's work
force, management intends to maintain as many operations in Smithfield as are
feasible, including tobacco storage and special projects. The company further
hopes that much of the necessary reduction in salaried personnel will be
accomplished through a voluntary early retirement plan. The total cost of the
consolidation is expected to be between $3 million and $4 million, before taxes,
with at least equivalent annual savings beginning in fiscal year 2000.
Universal Leaf Tobacco Company, Inc. is a subsidiary of Universal
Corporation (NYSE-UVV), a diversified company with operations in tobacco,
lumber, and agri-products. Universal Corporation's gross revenues for the fiscal
year that ended on June 30, 1998, were approximately $4.3 billion. For more
information on Universal Corporation, visit its web site at
www.universalcorp.com.
# # #
