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):
April 24, 1997
FiberMark, Inc.
Delaware 0-20231 82-0429330
(State or other (Commission File (IRS Employer
jurisdiction of Number) Identification No.)
incorporation)
Brudies Road, Brattleboro, Vermont 05302
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code:
(802) 257-0365
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Item 5. Other Events
On April 24, 1997 FiberMark, Inc. (the "Company") announced a three-for-
two stock split (the "Stock Split") on its common stock in the form of a
stock dividend. The stock split will be effective May 13, 1997, for
shareholders of record at the close of business on May 6, 1997. The
Board of Directors of the Company authorized the Executive Committee of
the Company to declare the Stock Split on February 20, 1997, and the
Executive Committee adopted resolutions on April 24, 1997 authorizing the
Stock Split.
Item 7. Financial Statements and Exhibits
(c) Exhibits.
99.3 Press Release dated April 24, 1997.
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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.
FIBERMARK, INC.
Date 5/05/97 By:/s/ Bruce P. Moore
Bruce P. Moore
Vice President and
Chief Financial Officer
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FOR IMMEDIATE RELEASE Contact: Janice C. Warren
Corporate Communications
Manager
FiberMark, Inc.
(802) 257-5981
FIBERMARK ANNOUNCES
RECORD EARNINGS FOR THE FIRST QUARTER 1997
THREE FOR TWO STOCK SPLIT EFFECTIVE MAY 13, 1997
____________________________________________________________
BRATTLEBORO, VERMONT (April 24, 1997) -- FiberMark, Inc. (NYSE:FMK) today
announced record results for the quarter ended March 31, 1997.
The Company also announced a three for two stock split on its common stock to
be effective May 13, 1997, for shareholders of record at the close of business
on May 6, 1997. This split will increase the outstanding shares of FiberMark
to 6,064,638 from its current level of 4,043,092 shares. Alex Kwader,
President and Chief Executive Officer of FiberMark, commented that "this stock
split should facilitate investment in FiberMark and result in improved
liquidity".
Net earnings for the first quarter of 1997 were $2.7 million or $.68 per
share--a record high in Company quarterly earnings. First quarter results
represent an 8% increase over the previous earnings record established in the
fourth quarter of 1996 and are more than two and one-half times the level for
the comparable quarter of 1996, during which the Company earned $1.0 million
or $.26 per share.
Net sales for the quarter were $59.4 million as compared to $24.9 million for
the comparable quarter in 1996. $32.3 million of this increase is
attributable to the October 31, 1996 acquisition of Custom Papers Group and
Arcon Coating Mills. First quarter sales for the markets in which the Company
was established prior to the acquisitions were $27.1 million, up 8.8% from the
comparable quarter in 1996. Sales in the office products market increased
12.5% to $14.4 million, compared to $12.8 million in the first quarter of
1996. Durable specialty sales increased 7.7% to $8.4 million versus $7.8
million in the comparable 1996 quarter. The book cover component of our
technical specialty sales increased 2.5% to $3.9 million as compared to $3.8
million in the first quarter of 1996.
"Strong earnings were helped by stable raw material costs, productivity
improvements, and overall market strength," according to Kwader. "Looking
ahead, we anticipate continued strength, despite some selective softening of
order levels relative to the strong conditions experienced during the last two
quarters. On the raw material side, prices may increase slightly during both
the second and third quarters. Relative to the acquisitions we made last
fall, we are moving forward with elimination of redundant corporate overhead,
consolidation of facilities, and reconfiguration of our production to optimize
manufacturing efficiencies".
FiberMark is recognized as a leader in the use of recycled materials and is a
leading manufacturer and converter of specialty fiber-based materials serving
a wide range of industrial and consumer needs. Key products include
pressboard and edge binding tapes used in filing products and report covers
for office and school use, filtration materials for car and truck engines,
insulation materials for power transformers and printed circuit boards, and
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saturated base materials for masking tapes and book covers. The Company has
ten manufacturing locations throughout the United States which focus on niche
markets worldwide, applying its specialty fibers expertise and versatile
manufacturing capabilities.
(Tables to follow.)
FIBERMARK IS NOW ON-LINE AT ITS NEW ADDRESS: "HTTP://WWW.FIBERMARK.COM".
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FIBERMARK, INC.
CONSOLIDATED STATEMENTS OF INCOME
(IN THOUSANDS EXCEPT PER SHARE AMOUNTS)
UNAUDITED
<TABLE>
THREE MONTHS ENDED MARCH 31
1997 1996
Actual Actual
<S> <C> <C>
Net Sales $ 59,442 $ 24,859
Cost of Sales 48,177 21,356
Gross Profit 11,265 3,503
General and Administrative Expenses 4,416 1,961
Income from Operations 6,849 1,542
Other (Income) Expenses, Net 72 (328)
Interest Expense 2,258 180
Income Before Income Taxes 4,519 1,690
Provision for Income Taxes 1,786 642
Net Income Applicable to Common Shares $ 2,733 $ 1,048
Net Income Per Common Share $ 0.68 $ 0.26
Average Number of Shares Outstanding 4,042 4,033
</TABLE>
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FIBERMARK, INC.
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS)
UNAUDITED
<TABLE>
March 31, March 31,
1997 1996
<S> <C> <C>
ASSETS
CURRENT ASSETS:
Cash 10,651 488
Accounts Receivable 24,235 10,583
Cogen Receivable 1,785 1,680
Inventories 31,137 16,814
Other 1,879 753
Deferred Income Taxes 2,090
TOTAL CURRENT ASSETS 71,777 30,318
LONG TERM COGEN RECEIVABLE - 1,832
PROPERTY, PLANT AND EQUIPMENT, NET 91,801 34,863
GOODWILL, NET 46,553 496
ORGANIZATIONAL AND FINANCING COSTS 5,915 2,012
DEFERRED INCOME TAXES - 4,128
TOTAL ASSETS 216,046 73,649
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts Payable 17,835 6,808
Accrued Liabilities 23,681 5,978
Current Portion of Long Term Debt 1,750
TOTAL CURRENT LIABILITIES 41,516 14,536
LONG TERM LIABILITIES:
Senior Term Debt 100,000 3,411
TOTAL LONG TERM DEBT 100,000 3,411
Deferred Gain 12,174 13,892
Deferred Income Tax 11,510
TOTAL LONG TERM
LIABILITIES 123,684 17,303
STOCKHOLDERS' EQUITY:
Common Stock 4 4
Additional Paid in Capital 44,753 44,698
Unearned Compensation (79)
Accumulated Earnings (Deficit) 6,089 (2,813)
TOTAL STOCKHOLDERS' EQUITY 50,846 41,810
TOTAL LIABILITY AND STOCKHOLDERS' EQUITY 216,046 73,649
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