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): October 24, 1995
NS GROUP, INC.
(Exact name of registrant as specified in its charter)
Kentucky 1-9838 61-0985936
(State or other (Commission (IRS Employer
jurisdiction of File No.) I.D. Number)
incorporation)
Ninth & Lowell Streets, Newport, Kentucky 41072
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code:
(606) 292-6809
Item 5. Other Events
On October 24, 1995, the Registrant issued a
press release announcing that it expects to
incur a loss before extraordinary charge for
its fiscal 1995 fourth quarter ending
September 30, 1995 in the range of $.40 to
$.45 per share. A copy of such press release
is filed as Exhibit 99 hereto and
incorporated
herein by reference.
Item 7. Financial Statements, Pro Forma Financial
Information and Exhibits
(c) Exhibits
99. Press release dated October 24, 1995.
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 hereunto
duly authorized.
NS Group, Inc.
(Registrant)
By:/s/John R. Parker
John R. Parker
Vice President and
Treasurer, Principal
Financial Officer
Date: November 3, 1995
(COMPANY LOGO HERE) EXHIBIT 99
FOR IMMEDIATE RELEASE - OCTOBER 24, 1995
Contact: Clifford R. Borland
President and Chief Executive Officer
NS Group, Inc.
(606) 292-6809
Newport, Kentucky -- NS Group, Inc. announced today
that it expects to incur a loss before extraordinary
charge for its fiscal 1995 fourth quarter ended
September 30, 1995 in the range of $.40 to $.45 per
share which would result in a loss for the full fiscal
year, before extraordinary charge, of $.32 to $.37 per
share. The Company incurred an extraordinary charge of
$5.2 million, or $.38 per share, as a result of
prepayment penalties incurred in connection with a
fourth quarter debt refinancing. Earnings before
interest, taxes, depreciation and amortization (EBITDA)
is estimated to be $0.5 million to $1.5 million for the
fourth fiscal quarter and $30 million to $31 million
for the full fiscal year.
As the Company previously announced on September 29,
1995, numerous unexpected operational problems were
encountered in the fourth quarter, principally at the
Company's welded tubular facilities at Newport. C.R.
Borland, President and Chief Executive Officer
commented "Newport's melt shop incurred an unusual
number of unplanned outages during the quarter related
to equipment breakdowns, lightning strikes and power
curtailments due to weather conditions. As a result,
steel production volume was significantly affected,
limiting availability of steel to the hot strip mill
and pipe mills. Downtime throughout all of Newport's
operations resulted in poor efficiencies, increased
maintenance costs and lost sales opportunities during
the quarter. Also impacting the quarter at Newport was
a write down of scrap inventory resulting from year end
physical inventory counts. While we believe certain of
the operational issues at Newport were unusual,
non-recurring and thus behind us, we will be continuing
to address maintenance issues in the first quarter of
fiscal 1996. The Company is also contracting for the
purchase of slabs to supplement Newport's melting
operations."
"In addition, a decline in shipments of bar product by
the Company's Koppel facilities also negatively
impacted the quarter. It currently appears, however,
that as the new fiscal year progresses, improvements in
the seamless tubular market will more than offset the
negative impact of a softer bar market."
"While the problems experienced in the fourth quarter
were disappointing, EBITDA for the full fiscal year
should result in an approximate 50% improvement over
fiscal 1994 EBITDA, excluding a one-time gain on the
sale of Kentucky Electric Steel in fiscal 1994. Year
over year shipments and margins were up in fiscal 1995,
and we remain optimistic that we will continue making
improvements in fiscal 1996. Further, the Company's
cash and liquidity position remains strong." The
Company plans to release final earnings results by the
second week of November.
NS Group, Inc. is a holding company which owns four
operating subsidiaries: Newport Steel Corporation, a
manufacturer of welded tubular steel products and hot
rolled coils; Koppel Steel Corporation, a manufacturer
of seamless tubular steel products, special bar
quality products and semifinished products; Erlanger
Tubular Corporation, a processor of tubular products;
and Imperial Adhesives, Inc., a manufacturer of
industrial adhesives products. NS Group, Inc.'s common
stock (symbol: NSS) is traded on the New York Stock
Exchange.
