SECURITIES AND EXCHANGE COMMISSION
Washington, DC 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) : January 22, 1998
NATIONAL-STANDARD COMPANY
(Exact name of Registrant as specified in its charter)
Indiana 1-3940 38-1493458
State or other jurisdiction (Commission File Number) (IRS Employer
Identification No.)
1618 Terminal Rd., Niles, MI 49120
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (616) 683-8100
ITEM 5. OTHER EVENTS
On January 22, 1998, Registrant issued a press release announcing its First
Quarter Results. A copy of such press release is attached hereto as Exhibit
(99) and incorporated in this item by reference.
This press release contains forward looking statements, within the meaning of
the Private Securities Litigation Reform Act of 1995, relating to continued
improvement in U.K. operations, continued growth in weld wire sales, higher
sales of more value added products and cost reduction activities. These
statements are subject to risks and uncertainties, including, but not limited
to, the impact of competitive products and pricing, changes in product demand,
industry overcapacity, availability and cost of raw materials and changes in
economic conditions. Based upon changing conditions, should any one or more of
these risks or uncertainties materialize, actual performance results may vary
materially. The Company does not intend to update these forward looking
statements.
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.
NATIONAL-STANDARD COMPANY
By /s/ Timothy C. Wright
Its General Counsel and Secretary
Dated: January 22, 1998
EXHIBIT INDEX
Exhibit (99) - Registrant's press release dated January 22, 1998
Dated: January 22, 1998
National-Standard
Niles, Michigan 49120 (616) 683-8100
Niles, Michigan
Corporate Headquarters
For Additional Information
Contact W.D. Grafer
For Immediate Release
January 22, 1998
NATIONAL-STANDARD COMPANY
REPORTS FIRST QUARTER RESULTS
Niles, Mich., Jan. 22, 1998 National-Standard Company announced sales for the
first quarter ended December 31, 1997 of $56.9 million, compared to $59.9
million reported for the same period last year, according to M.B. Savitske,
President and Chief Executive Officer. The decrease was due in part to lower
sales in the U.K. subsidiary, a direct result of the restructuring in the U.K.
during Fiscal 1997. In North America, sales declined in the air bag inflator
filtration products and rubber reinforcement products. The decline in air bag
products follows the decision to discontinue the sale of certain unprofitable
wire cloth mesh products. The decline in rubber reinforcement is due primarily
to lower selling prices. These declines, however, were partially offset by a 13
percent increase in weld wire sales over the same period last year and an 18
percent increase in sales of fabricated filters for air bag inflators.
Net income for the quarter was $.2 million or 4 cents per share versus $.7
million or 14 cents per share last year. This year s net income was $.5 million
lower than last year as rubber reinforcement product margins declined due to
continued pricing pressure pushing selling prices down as the current market
supply of bead wire exceeds demand in the tire industry.
The restructuring taken in U.K. during Fiscal 1997 has had a positive impact on
1998 results to date. Operating profit in the U.K. improved $.2 million over
last year on $1.9 million lower sales over the comparable period last year.
Continued improvement is expected for the remainder of the year.
"There were four bright spots in our first quarter; improving margins in the
U.K., continued growth in weld wire sales, higher sales of more value added air
bag filtration products, and the successful QS-9000 registration audits at three
locations, Mesa, Arizona, Kidderminster, England, and the corporate office in
Niles, Michigan," said M.B. Savitske, President and Chief Executive Officer.
"While bead wire pricing remains extremely difficult, we believe that cost
reduction activities that are scheduled to be implemented during the remainder
of the year will mitigate this negative effect on the final nine months of
1998."
Founded in 1907, National-Standard is a Niles, Michigan based firm with annual
sales of approximately $250 million. In nine operating facilities throughout
the world, the Company manufactures and distributes a broad range of wire and
wire-related products, including tire bead wire and welding wire, in addition to
wire cloth and fabricated filters for the automotive air bag industry.
This press release may contain forward-looking statements as defined under the
Private Securities Litigation Reform Act of 1995. Cautionary statements
accompanying these forward-looking statements are set forth, along with this
release, in a Form 8-K filed with the Securities and Exchange Commission.
Financial Highlights
National-Standard Company and Subsidiaries
($000 except per share amounts)
For three months ended December 31:
1997 1996
Net Sales $ 56,941 $ 59,874
Operating Profit 925 1,645
Net Income 206 737
Basic and Diluted Earnings per Share .04 .14
Average Shares Outstanding 5,228,644 5,313,080
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