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): January 25, 1996
NL INDUSTRIES, INC.
(Exact name of registrant as specified in charter)
New Jersey 1-640 13-5267260
(State or other (Commission File No.) (Employer ID No.)
jurisdiction of
incorporation)
16825 Northchase Dr., Suite 1200, Houston, Texas 77060
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (713) 423-3300
Not Applicable
(Former name or former address, if changed since last report)
Item 5. Other Events.
On January 25, 1996, the Registrant issued the press release attached
hereto as Exhibit 99.1 and incorporated herein in its entirety by this
reference.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
(c) Exhibits
(i) Exhibit 99.1. Press Release dated January 25, 1996.
* * * * *
SIGNATURE
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 thereunto duly authorized.
NL INDUSTRIES, INC.
(Registrant)
/s/ Dennis G. Newkirk
Dennis G. Newkirk
Vice President & Controller
Dated: January 26, 1996
Dennis G. Newkirk
(713) 423-3332
EXHIBIT 99.1
FOR IMMEDIATE RELEASE
NL POSTS 1995 EARNINGS OF $1.66 PER SHARE
HOUSTON, TEXAS January 25, 1996 -- NL Industries, Inc. (NYSE:NL) announced net
income for 1995 of $85.6 million, or $1.66 per share, on sales of $1 billion.
NL's net income for the fourth quarter of 1995 was $34.1 million, or $.66 per
share, on sales of $234 million compared to net income in the fourth quarter of
1994 of $2.5 million, or $.05 per share, on sales of $224 million. The improved
results were primarily driven by higher titanium dioxide pigments (TiO2) selling
prices and by $17 million of tax-related benefits.
J. Landis Martin, President and CEO, stated, "We are pleased to report an
improved fourth quarter that reflects higher TiO2 prices compared with 1994.
Sales volumes in 1995 were below the record levels in 1994 due to softening
demand in the second half of 1995 and customers building inventories in 1994."
Looking ahead, Mr. Martin said, "We anticipate demand for TiO2 to remain soft
during the first half of 1996. However, we expect industry capacity
utilization rates to increase during the next several years."
Operating income of Kronos' TiO2 business in 1995 was $161.2 million, a
$80.6 million increase over 1994 on a 16% increase in sales. Kronos' operating
income in the fourth quarter of 1995 of $40.8 million was $12.1 million higher
than the 1994 period. Average TiO2 selling prices for the quarter were 14%
higher than the fourth quarter of 1994 but 1% lower than the third quarter of
1995. Kronos' fourth quarter sales volumes were 7% below the fourth quarter of
1994 and sales volumes for full year 1995 were 3% lower than sales volumes for
1994.
Rheox's operating income for 1995 rose $7.7 million from the year-earlier period
to a record $38.5 million on higher sales volumes and selling prices. Operating
income for the fourth quarter of 1995 was $8.8 million, an improvement of $1.8
million over the 1994 period due to higher selling prices and lower operating
costs.
Income taxes for the fourth quarter of 1995 include $17 million of tax benefits
resulting from changes in the U.S.-Canada income tax treaty and the expected
future realization of certain tax credits due to the Company's return to
profitability.
NL Industries, Inc. is a major international producer of titanium dioxide
pigments and specialty chemicals.
The statements in this release relating to matters that are not historical facts
are forward looking statements that involve risks and uncertainties, including,
but not limited to, future global economic conditions, global TiO2 productive
capacity, competitive products and prices and other risks and uncertainties
detailed in the Company's Securities and Exchange Commission filings.
NL INDUSTRIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In millions, except per share data)
(Unaudited)
<TABLE>
<CAPTION>
Quarter ended Year ended
December 31, December 31,
1994 1995 1994 1995
<S> <C> <C> <C> <C>
NET SALES
Kronos $195.3 $204.7 $770.1 $ 894.1
Rheox 28.5 29.6 117.9 129.8
$223.8 $234.3 $888.0 $1,023.9
OPERATING INCOME
Kronos $ 28.7 $ 40.8 $ 80.6 $ 161.2
Rheox 7.0 8.8 30.8 38.5
OPERATING INCOME 35.7 49.6 111.4 199.7
General corporate income (expense):
Securities earnings 1.8 1.5 3.9 7.4
Expenses, net (16.3) (6.6) (44.8) (26.6)
Interest expense (20.9) (19.6) (83.9) (81.6)
Income (loss) before income taxes .3 24.9 (13.4) 98.9
Income tax benefit (expense) 2.4 9.5 (9.8) (12.7)
Minority interest (.2) (.3) (.8) (.6)
NET INCOME (LOSS) $ 2.5 $ 34.1 $(24.0) $ 85.6
Per share of common stock $ .05 $ .66 $ (.47) $ 1.66
Weighted average common shares
and common share equivalents
outstanding 51.0 51.5 51.0 51.5
</TABLE>
