<PAGE>
2000
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (D) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal quarter ended March 25, 2000 Commission file number 1-6770
MUELLER INDUSTRIES, INC.
(Exact name of registrant as specified in its charter)
Delaware 25-0790410
(State or other jurisdiction (I.R.S. Employer
of incorporation or organization) Identification No.)
8285 TOURNAMENT DRIVE, SUITE 150
MEMPHIS, TENNESSEE 38125
(Address of principal executive offices)
Registrant's telephone number, including area code: (901) 753-3200
Securities registered pursuant to Section 12(b) of the Act:
Name of each exchange
Title of each class on which registered
Common Stock, $ 0.01 Par Value New York Stock Exchange
Securities registered pursuant to Section 12(g) of the Act: None
Indicate by a check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15 (d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days. Yes /X/ No / /
The number of shares of the Registrant's common stock outstanding as of
April 26, 2000, was 34,463,396.
-1-
<PAGE>
MUELLER INDUSTRIES, INC.
FORM 10-Q
For the Period Ended March 25, 2000
INDEX
Part I. Financial Information Page
Item 1. Financial Statements (Unaudited)
a.) Consolidated Statements of Income
for the quarters ended March 25, 2000
and March 27, 1999 3
b.) Consolidated Balance Sheets
as of March 25, 2000 and December 25, 1999 4
c.) Consolidated Statements of Cash Flows
for the quarters ended March 25, 2000
and March 27, 1999 6
d.) Notes to Consolidated Financial Statements 7
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 8
Part II. Other Information
Item 6. Exhibits and Reports on Form 8-K 11
Signatures 12
-2-
<PAGE>
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
<TABLE>
MUELLER INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(In thousands, except per share data)
<CAPTION>
For the Quarter Ended
March 25, 2000 March 27, 1999
<S> <C> <C>
Net sales $ 302,350 $ 287,840
Cost of goods sold 226,514 221,740
---------- ----------
Gross profit 75,836 66,100
Depreciation and amortization 9,042 8,990
Selling, general, and
administrative expense 24,290 25,179
---------- ----------
Operating income 42,504 31,931
Interest expense (2,627) (2,861)
Other income, net 2,224 2,129
---------- ----------
Income before income taxes 42,101 31,199
Current income tax expense (13,721) (5,023)
Deferred income tax expense (1,814) (4,493)
---------- ----------
Total income tax expense (15,535) (9,516)
---------- ----------
Net income $ 26,566 $ 21,683
========== ==========
Weighted average shares
for basic earnings per share 34,844 35,833
Effect of dilutive stock options 3,909 3,782
---------- ----------
Adjusted weighted average shares
for diluted earnings per share 38,753 39,615
---------- ----------
Basic earnings per share $ 0.76 $ 0.61
========== ==========
Diluted earnings per share $ 0.69 $ 0.55
========== ==========
<FN>
See accompanying notes to consolidated financial statements.
</TABLE>
-3-
<PAGE>
<TABLE>
MUELLER INDUSTRIES, INC.
CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands)
<CAPTION>
March 25, 2000 December 25, 1999
<S> <C> <C>
Assets
Current assets:
Cash and cash equivalents $ 125,575 $ 149,454
Accounts receivable, less allowance
for doubtful accounts of $4,770 in
2000 and $5,367 in 1999 199,087 167,858
Inventories:
Raw material and supplies 24,352 28,337
Work-in-process 16,934 14,423
Finished goods 80,348 76,884
---------- ----------
Total inventories 121,634 119,644
Other current assets 10,047 3,790
---------- ----------
Total current assets 456,343 440,746
Property, plant, and equipment, net 345,230 347,846
Goodwill, net 93,540 94,530
Other assets 20,055 20,958
---------- ----------
$ 915,168 $ 904,080
========== ==========
<FN>
See accompanying notes to consolidated financial statements.
</TABLE>
-4-
<PAGE>
<TABLE>
MUELLER INDUSTRIES, INC.
CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands, except share data)
<CAPTION>
March 25, 2000 December 25, 1999
<S> <C> <C>
Liabilities and Stockholders' Equity
Current liabilities:
Current portion of long-term debt $ 25,979 $ 31,012
Accounts payable 51,414 49,958
Accrued wages and other employee costs 24,683 30,182
Other current liabilities 56,603 41,909
---------- ----------
Total current liabilities 158,679 153,061
Long-term debt 117,215 118,858
Pension and postretirement liabilities 12,555 13,591
Environmental reserves 11,712 12,965
Deferred income taxes 26,089 24,275
Other noncurrent liabilities 13,123 11,546
---------- ----------
Total liabilities 339,373 334,296
---------- ----------
Minority interest in subsidiaries 297 354
Stockholders' equity:
Preferred stock - shares authorized
4,985,000; none outstanding - -
Series A junior participating preferred
stock - $1.00 par value; shares
authorized 15,000; none outstanding - -
Common stock - $.01 par value; shares
authorized 100,000,000; issued
40,091,502; outstanding 34,459,596
in 2000 and 34,918,646 in 1999 401 401
Additional paid-in capital, common 259,568 259,977
Retained earnings (Since
January 1, 1991) 399,043 372,477
Cumulative translation adjustment (8,535) (8,112)
Treasury common stock, at cost (74,979) (55,313)
---------- ----------
Total stockholders' equity 575,498 569,430
---------- ----------
Commitments and contingencies (Note 2) - -
---------- ----------
$ 915,168 $ 904,080
========== ==========
<FN>
See accompanying notes to consolidated financial statements.
</TABLE>
-5-
<PAGE>
<TABLE>
MUELLER INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(In thousands)
<CAPTION>
For the Quarter Ended
March 25, 2000 March 27, 1999
<S> <C> <C>
Cash flows from operating activities
Net income $ 26,566 $ 21,683
Reconciliation of net income to net
cash provided by operating activities:
Depreciation and amortization 9,042 8,990
Minority interest in subsidiaries,
net of dividend paid (57) -
Deferred income taxes 1,814 4,493
Gain on disposal of properties (48) (110)
Changes in assets and liabilities:
Receivables (32,223) (27,264)
Inventories (2,392) 10,277
Other assets (4,100) 4,626
Current liabilities 11,290 (2,297)
Other liabilities (481) (3,649)
Other, net 194 (216)
---------- ----------
Net cash provided by operating activities 9,605 16,533
---------- ----------
Cash flows from investing activities
Capital expenditures (6,723) (7,730)
Proceeds from sales of properties 80 175
Escrowed IRB proceeds - 4,946
---------- ----------
Net cash used in investing activities (6,643) (2,609)
---------- ----------
Cash flows from financing activities
Acquisition of treasury stock (22,377) -
Proceeds from issuance of long-term debt - 125,000
Repayments of long-term debt (6,676) (7,203)
Net repayments on lines of credit - (122,840)
Proceeds from the sale of treasury stock 2,302 470
---------- ----------
Net cash used in financing activities (26,751) (4,573)
---------- ----------
Effect of exchange rate changes on cash (90) 214
---------- ----------
(Decrease) increase in cash
and cash equivalents (23,879) 9,565
Cash and cash equivalents at the
beginning of the period 149,454 80,568
---------- ----------
Cash and cash equivalents at the
end of the period $ 125,575 $ 90,133
========== ==========
<FN>
See accompanying notes to consolidated financial statements.
</TABLE>
-6-
<PAGE>
MUELLER INDUSTRIES, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
General
Certain information and footnote disclosures normally included in
financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted. Results of
operations for the interim periods presented are not necessarily
indicative of results which may be expected for any other interim period
or for the year as a whole. This quarterly report on Form 10-Q should be
read in conjunction with the Company's Annual Report on Form 10-K,
including the annual financial statements incorporated therein by
reference.
The accompanying unaudited interim financial statements include all
adjustments which are, in the opinion of management, necessary to a fair
statement of the results for the interim periods presented.
Note 1 - Earnings Per Common Share
Basic per share amounts have been computed based on the average
number of common shares outstanding. Diluted per share amounts reflect
the increase in average common shares outstanding that would result from
the assumed exercise of outstanding stock options, computed using the
treasury stock method.
Note 2 - Commitments and Contingencies
The Company is subject to normal environmental standards imposed by
federal, state, local, and foreign environmental laws and regulations.
Based upon information currently available, management believes that the
outcome of pending environmental matters will not materially affect the
overall financial position and results of operations of the Company.
In addition, the Company is involved in certain litigation as either
plaintiff or defendant as a result of claims that arise in the ordinary
course of business which management believes will not have a material
effect on the Company's financial condition or results of operations.
Note 3 - Comprehensive Income
Comprehensive income for the Company consists of net income and
foreign currency translation adjustments. Total comprehensive income was
$26,143,000 and $19,173,000 for the quarters ending March 25, 2000, and
March 27, 1999, respectively.
-7-
<PAGE>
Note 4 - Industry Segments
Summarized segment information is as follows:
(In thousands)
[CAPTION]
For the Quarter Ended
March 25, 2000 March 27, 1999
[S] [C] [C]
Net sales:
Standard Products Division $ 219,734 $ 206,558
Industrial Products Division 75,369 75,867
Other Businesses 7,385 5,438
Elimination of intersegment sales (138) (23)
---------- ----------
$ 302,350 $ 287,840
========== ==========
Operating income:
Standard Products Division $ 36,063 $ 26,106
Industrial Products Division 8,321 8,527
Other Businesses 1,618 564
Unallocated expenses (3,498) (3,266)
--------- ----------
$ 42,504 $ 31,931
========= ==========
Note 5 - Subsequent Event
On April 20, 2000, the Company acquired all of the outstanding shares
of Micro Gauge, Inc. and a related business, Microgauge Machining Inc. The
acquired businesses are machining suppliers to the Company's Industrial
Products Division, as well as other industries, primarily the automotive
industry. The combined purchase price for both businesses including the
pay-off of outstanding debt was approximately $9.6 million. The
transactions will be accounted for as a purchase.
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations
General Overview
The Company is a leading manufacturer of copper, brass, plastic, and
aluminum products. The range of these products is broad: copper tube and
fittings; brass and copper alloy rod, bar, and shapes; aluminum and brass
forgings; aluminum and copper impact extrusions; plastic fittings and
valves; refrigeration valves and fittings; and fabricated tubular
products. Mueller's plants are located throughout the United States, and
in Canada, France, and Great Britain. The Company also owns a short line
railroad in Utah and natural resource properties in the Western U.S.
-8-
<PAGE>
The Company's businesses are managed and organized into three
segments: (i) Standard Products Division ("SPD"); (ii) Industrial Products
Division ("IPD"); and (iii) Other Businesses. SPD manufactures and sells
copper tube, copper and plastic fittings, and valves. Outside of the
United States, SPD manufactures copper tube in Europe and copper fittings
in Canada. SPD sells these products to wholesalers in the HVAC (heating,
ventilation, and air-conditioning), plumbing, and refrigeration markets,
and to distributors to the manufactured housing and recreational vehicle
industries. IPD manufactures and sells brass and copper alloy rod, bar,
and shapes; aluminum and brass forgings; aluminum and copper impact
extrusions; refrigeration valves and fittings; fabricated tubular
products; and gas valves and assemblies. IPD sells its products primarily
to original equipment manufacturers ("OEMs"), many of which are in the
HVAC, plumbing, and refrigeration markets. Other Businesses include Utah
Railway Company and other natural resource properties and interests. SPD
and IPD account for more than 98 percent of consolidated net sales and
more than 81 percent of consolidated net assets.
New housing starts and commercial construction are important
determinants of the Company's sales to the HVAC, refrigeration and
plumbing markets because the principal end use of a significant portion of
the Company's products is in the construction of single and multi-family
housing and commercial buildings.
Profitability of certain of the Company's product lines depends upon
the "spreads" between the cost of raw material and the selling prices of
its completed products. The open market prices for copper cathode and
scrap, for example, influence the selling price of copper tubing, a
principal product manufactured by the Company. The Company attempts to
minimize the effects of fluctuations in material costs by passing through
these costs to its customers. Spreads fluctuate based upon competitive
market conditions.
Results of Operations
Net income was $26.6 million, or 69 cents per diluted share, for the
first quarter of 2000, which compares with net income of $21.7 million, or
55 cents per diluted share, for the same period of 1999.
During the first quarter of 2000, the Company's net sales were $302.4
million, which compares to net sales of $287.8 million, or a five percent
increase over the same period of 2000. The average price of copper was 29
percent higher in the first quarter of 2000 compared with the first
quarter of 1999, which contributed to the increase in net sales. Pounds
shipped totaled 193.9 million compared with shipments of 207.9 million in
the first quarter of 1999. This decline in volume was due primarily to
production interruptions at the Company's copper tube and fittings
operations. The Company is pursuing a business interruption insurance claim
for the loss of earnings at these operations. At this time, the amount to
be recovered from our insurer cannot be determined.
First quarter operating income increased primarily due to spread
improvements in the Standard Products Division. Increased operating
income was partially offset by losses at our European operations.
Selling, general, and administrative expense decreased primarily due to
reduced expenses at businesses acquired in the second half of 1998.
-9-
<PAGE>
Interest expense in the first quarter of 2000 totaled $2.6 million,
which was $0.3 million less than the first quarter of 1999. The Company
capitalized $0.4 million of interest related to capital improvement
programs in the first quarter of 1999 while none was capitalized in 2000.
Total interest in the first quarter of 2000 decreased due to repayments
during 1999 on the Company's lines of credit and scheduled repayments in
other long-term debt.
The Company's effective income tax rate for the first quarter of 2000
was 36.9 percent compared with 30.5 percent for the first quarter of last
year. The tax rate increase was due to the Company having recognized the
majority of historical tax benefits in prior years.
Liquidity and Capital Resources
Cash provided by operating activities in the first quarter of 2000
totaled $9.6 million which is primarily attributable to net income,
depreciation and amortization, deferred income taxes and increased current
liabilities, offset by increased receivables, inventories and other
assets.
During the first quarter of 2000, the Company used $6.6 million for
investing activities, consisting primarily of $6.7 million for capital
expenditures. The Company also used $26.8 million for financing
activities during the quarter, consisting of $22.4 million for acquisition
of treasury stock and $6.7 million for repayments of long-term debt,
offset by $2.3 million of proceeds from the sale of treasury stock. Existing
cash balances and cash from operations were used to fund the first quarter
investing and financing activities.
On October 18, 1999, the Company's Board of Directors authorized the
repurchase of up to four million shares of the Company's common stock from
time to time over the next year through open market transactions or
through privately negotiated transactions. The Company will have no
obligation to purchase any shares and may cancel, suspend, or extend the
time period for the purchase of shares at any time. The purchases are being
funded primarily through existing cash and cash from operations. The
Company may hold such shares in treasury or use a portion of the
repurchased shares for employee benefit plans, as well as for other
corporate purposes. Through March 25, 2000, the Company has repurchased
approximately 1,156,000 shares under this program.
The Company has a $100.0 million unsecured line of credit agreement
(the Credit Facility) which expires in May 2001, but which may be extended
for successive one-year periods by agreement of the parties. Borrowings
under the Credit Facility bear interest, at the Company's option, at (i)
prime rate less .50 percent, (ii) LIBOR plus .27 percent subject to
adjustment, or (iii) Federal Funds Rate plus .65 percent. There are no
outstanding borrowings under the Credit Facility. At March 25, 2000,
funds available under the Credit Facility was reduced by $5.5 million for
outstanding letters of credit. At March 25, 2000, the Company's total
debt was $143.2 million or 19.9 percent of its total capitalization.
The Company's financing obligations contain various covenants which
require, among other things, the maintenance of minimum levels of working
capital, tangible net worth, and debt service coverage ratios. The
Company is in compliance with all debt covenants.
-10-
<PAGE>
The Company's capital expenditures and/or commitments may total as
much as $90 million in 2000 including the projects described below.
During the year, we will complete the capital improvement project for
approximately $24 million at our Wynne, Arkansas, copper tube mill, which
will update the extrusion and drawing equipment employed at the mill. The
project, when completed, will significantly improve the mill's conversion
costs as well as yield. At our Port Huron, Michigan, brass rod mill, we
began installation of a horizontal continuous caster. This investment,
totaling approximately $10 million, is expected to be completed near the
end of 2000, and will increase our casting capacity, improve yield, and
reduce conversion costs.
Approximately $40 million has been authorized for the modernization
of the Company's European factories. This investment will upgrade the
casting, extrusion, drawing, and finishing processes at our facility in the
United Kingdom. The project is expected to be completed near the end
of 2001. During the first quarter, the Company received confirmation of
Regional Selective Assistance financial support from the Department of Trade
and Industry (United Kingdom) of approximately $3.6 million for this project.
Management believes that cash provided by operations and currently
available cash of $125.6 million will be adequate to meet the Company's
normal future capital expenditure and operational needs. The Company's
current ratio remains strong at 2.9 to 1.
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
19.1 Mueller Industries, Inc.'s Quarterly Report to
Stockholders for the quarter ended March 25, 2000.
Such report is being furnished for the information
of the Securities and Exchange Commission only and
is not to be deemed filed as part of this Quarterly
Report on Form 10-Q.
(b) During the quarter ended March 25, 2000, the Registrant filed
no Current Reports on Form 8-K.
Items 1, 2, 3, 4, and 5 are not applicable and have been omitted.
-11-
<PAGE>
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) 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, on May 5, 2000.
MUELLER INDUSTRIES, INC.
/s/ Kent A. McKee
Kent A. McKee
Vice President and
Chief Financial Officer
/s/ Richard W. Corman
Richard W. Corman
Corporate Controller
-12-
<PAGE>
EXHIBIT INDEX
Exhibits Description
19.1 Mueller Industries, Inc.'s Quarterly Report to
Stockholders for the quarter ended March 25, 2000.
Such report is being furnished for the
information of the Securities and Exchange
Commission only and is not to be deemed filed as a
part of this Quarterly Report on Form 10-Q.
27.1 Financial Data Schedule (EDGAR filing only)
-13-
TO OUR STOCKHOLDERS, CUSTOMERS AND EMPLOYEES
The first quarter of 2000 was another record-setting quarter for Mueller.
Net earnings rose 23 percent to $26.6 million, or 69 cents per diluted
share, compared with 55 cents per diluted share for the same quarter last
year.
Net sales for the first quarter were $302.4 million, an increase of five
percent over sales of $287.8 million for the first quarter of 1999. We
shipped 194 million pounds of product, versus 208 million pounds in the
first quarter of 1999. This decline in volume was due primarily to
production interruptions at our copper tube and fittings operations. We
appreciate the efforts of our employees, which minimized the downtime and
its impact on our customer service.
It is significant that Mueller's earnings increase was achieved despite a
marked rise in the effective tax rate applicable to our earnings. In the
first quarter of 1999, our tax rate was 30.5 percent contrasted with 36.9
percent for the first quarter of 2000. The tax rate increase was due to
our having recognized the majority of various historical tax benefits in
prior years. Income before taxes for the first quarter was $42.1 million;
a 35 percent increase compared with the same quarter of 1999.
Over the years, Mueller's policy of investing in capital programs has
yielded excellent results. In 1999, our capital investments totaled $40.1
million; however, in 2000, we plan on committing $90 million (the most
ever) for capital projects, which should allow us to further reduce costs,
improve yields and increase efficiencies. During 2000, our Wynne,
Arkansas, tube mill modernization project will be completed, and by year-
end, our $40 million project to sharply reduce conversion costs at our
European tube mills should be well advanced.
In October 1999, Mueller initiated a program to repurchase up to four
million shares of its outstanding common stock. Since then, we have
acquired 1,156,000 shares at an average cost of $31.22 per share. We may
repurchase additional shares from time to time subject to market
conditions and management discretion regarding the alternative uses of
funds.
The U.S. housing industry continues to show strength with housing starts
currently at a seasonally adjusted annual rate of 1.78 million units.
There appears to be little evidence of any pullback in demand so far,
despite the five interest rate increases imposed by the Federal Reserve
Bank since last June. Pricing in the housing market remains strong, as
both existing and new homes are in short supply. Moreover, the U.S.
economy continues to grow rapidly, with stunning productivity increases
and low inflation. We believe these factors signal a positive environment
for our business.
-1-
<PAGE>
Our Annual Stockholders' Meeting will be held at Mueller's headquarters in
Memphis, Tennessee, on May 12, 2000. You should have already received the
notice of meeting, as well as proxy material and the 1999 Annual Report.
We hope you can attend, but if you cannot, we urge you to sign and return
your proxy card.
Sincerely,
/S/HARVEY L. KARP
Harvey L. Karp
Chairman of the Board
/S/WILLIAM D. O'HAGAN
William D. O'Hagan
President and Chief Executive Officer
April 13, 2000
-2-
<PAGE>
Historical Analysis (1994-2000) of Quarterly
Earnings Before Tax and Earnings Per Share
Mueller's earnings have grown substantially over the past six years. In
the first quarter of 2000, our Company earned $42.1 million before tax,
compared with $6.7 million for the same quarter of 1994, an increase of 528
percent. Diluted earnings per share have risen 590 percent, from $0.10 to
$0.69.
[GRAPH]
First Quarter Diluted Earnings Per Share
1994 $0.10
1995 0.27
1996 0.34
1997 0.40
1998 0.49
1999 0.55
2000 0.69
<TABLE>
Earnings Before Tax (in millions)
<CAPTION>
Quarter
------------------------------------------------ Total
1st 2nd 3rd 4th Year
<S> <C> <C> <C> <C> <C>
1994 $ 6.7 $ 9.1 $ 12.0 $ 13.0 $ 40.8
1995 14.7 15.6 17.0 17.2 64.5
1996 19.3 20.1 23.4 25.6 88.4
1997 23.1 23.6 25.8 28.3 100.8
1998 28.5 29.0 26.1 25.7 109.3
1999 31.2 37.4 38.2 38.9 145.7
2000 42.1
</TABLE>
<TABLE>
Diluted Earnings Per Share
<CAPTION>
Quarter
------------------------------------------------ Total
1st 2nd 3rd 4th Year
<S> <C> <C> <C> <C> <C>
1994 $ 0.10 $ 0.14 $ 0.22 $ 0.25 $ 0.71
1995 0.27 0.28 0.30 0.32 1.17
1996 0.34 0.36 0.41 0.46 1.57
1997 0.40 0.42 0.46 0.50 1.78
1998 0.49 0.50 0.47 0.45 1.90
1999 0.55 0.64 0.66 0.66 2.51
2000 0.69
</TABLE>
-3-
<PAGE>
<TABLE>
MUELLER INDUSTRIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(In thousands, except per share data)
<CAPTION>
For the Quarter Ended
March 25,2000 March 27,1999
<S> <C> <C>
Net sales $ 302,350 $ 287,840
Cost of goods sold 226,514 221,740
Depreciation and amortization 9,042 8,990
Selling, general, and
administrative expense 24,290 25,179
---------- ----------
Operating income 42,504 31,931
Interest expense (2,627) (2,861)
Other income, net 2,224 2,129
---------- ----------
Income before taxes 42,101 31,199
Income tax expense (15,535) (9,516)
---------- ----------
Net income $ 26,566 $ 21,683
========== ==========
Earnings per share:
Basic:
Weighted average shares outstanding 34,844 35,833
========== ==========
Basic earnings per share $ 0.76 $ 0.61
========== ==========
Diluted:
Weighted average shares outstanding 38,753 39,615
========== ==========
Diluted earnings per share $ 0.69 $ 0.55
========== ==========
</TABLE>
-4-
<PAGE>
<TABLE>
MUELLER INDUSTRIES, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands)
<CAPTION>
March 25, 2000 Dec. 25, 1999
<S> <C> <C>
ASSETS
Cash and cash equivalents $ 125,575 $ 149,454
Accounts receivable, net 199,087 167,858
Inventories 121,634 119,644
Other current assets 10,047 3,790
---------- ----------
Total current assets 456,343 440,746
Property, plant, and equipment, net 345,230 347,846
Other assets 113,595 115,488
---------- ----------
$ 915,168 $ 904,080
========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current portion of long-term debt $ 25,979 $ 31,012
Accounts payable 51,414 49,958
Other current liabilities 81,286 72,091
---------- ----------
Total current liabilities 158,679 153,061
Long-term debt 117,215 118,858
Other noncurrent liabilities 63,479 62,377
---------- ----------
Total liabilities 339,373 334,296
Minority interest in subsidiaries 297 354
Stockholders' equity 575,498 569,430
---------- ----------
$ 915,168 $ 904,080
========== ==========
-5-
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
COMPANY'S FORM 10-Q FOR THE FISCAL QUARTER ENDED MARCH 25, 2000 AND IS
QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS
</LEGEND>
<CIK> 0000089439
<NAME> MUELLER INDUSTRIES, INC.
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-30-2000
<PERIOD-END> MAR-25-2000
<CASH> 125,575
<SECURITIES> 0
<RECEIVABLES> 203,857
<ALLOWANCES> 4,770
<INVENTORY> 121,634
<CURRENT-ASSETS> 456,343
<PP&E> 483,941
<DEPRECIATION> 138,711
<TOTAL-ASSETS> 915,168
<CURRENT-LIABILITIES> 158,679
<BONDS> 117,215
0
0
<COMMON> 401
<OTHER-SE> 575,097
<TOTAL-LIABILITY-AND-EQUITY> 915,168
<SALES> 302,350
<TOTAL-REVENUES> 302,350
<CGS> 226,514
<TOTAL-COSTS> 226,514
<OTHER-EXPENSES> 33,332
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 2,627
<INCOME-PRETAX> 42,101
<INCOME-TAX> 15,535
<INCOME-CONTINUING> 26,566
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 26,566
<EPS-BASIC> 0.76
<EPS-DILUTED> 0.69
