<PAGE> 1
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) June 15, 1998
-------------
THE GEON COMPANY
----------------
(Exact name of registrant as specified in its charter)
Delaware 1-11804 34-1730488
- --------------------------------------------------------------------------------
(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification No.)
incorporation)
One Geon Center, Avon Lake, Ohio 44012
-------------------------------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code 440-930-1001
--------------
Not Applicable
--------------
(Former name or former address, if changed since last report)
<PAGE> 2
Item 5. Other Events
- ---------------------
The Geon Company today announced that second-quarter earnings will
be lower than the previously estimated $0.40 to $0.45 per share. Geon
anticipates earnings will be between $0.20 and $0.25 per share. First-quarter
earnings were $0.25 per share. The Company cited an unsuccessful $0.03-per-pound
increase scheduled for May and lower resin market prices as primary causes of
the reduced earnings estimates.
Item 7(c). Financial Statements, Pro Forma Financial Information and Exhibits
- ---------- -----------------------------------------------------------------
Exhibit 99.1: Press Release of June 15, 1998
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.
THE GEON COMPANY
By /s/ Gregory L. Rutman
----------------------------
Secretary
Dated: June 18, 1998
<PAGE> 1
Exhibit 99.1
GEON EXPECTS LOWER QUARTERLY EARNINGS
CLEVELAND, OHIO - JUNE 15, 1998 -- The Geon Company (NYSE: GON) today announced
that second-quarter earnings will be lower than the previously estimated $0.40
to $0.45 per share. Geon anticipates earnings will be between $0.20 and $0.25
per share. First-quarter earnings were $0.25 per share.
The Company cited an unsuccessful $0.03-per-pound price increase scheduled for
May and lower resin market prices as the primary causes of the reduced earnings
estimates. Failure to realize the selling price increase will unfavorably affect
Geon's earnings by approximately $0.24 per share. Industry capacity additions
earlier this year, as well as a decline in Far East Asian demand, have reduced
industry capacity utilization despite improved North American customer demand.
In addition, the Company also noted second-quarter earnings were affected by
higher-than-anticipated costs for the scheduled LaPorte, Texas, vinyl chloride
monomer plant maintenance shutdown and Australian and Canadian currency
declines. Geon expects these factors will lower second-quarter earnings by about
$0.15 per share.
The other units of Geon, including vinyl compounds and specialty dispersion
resins, continue to perform well. The recent acquisitions of Plast-O-Meric, Inc.
and the Wilflex Ink Division of Flexible Products Company, however, will have
only a slight, positive impact on second-quarter earnings.
The Geon Company is a leading North American-based polymer service and
technology company with operations in compounds and other value-added products
and services, as well as in PVC resins. Headquartered in Avon Lake, Ohio, The
Geon Company and its subsidiaries employ more than 2,400 people and have 24
manufacturing plants in the United States, Canada, England and Australia, and
joint ventures in the United States, Europe, Australia and Southeast Asia. Geon
recorded revenues of $1.25 billion for the year ended December 31, 1997.
Information on the Company's products and services, as well as news releases,
EDGAR filings, Form 10-K, 10-Q, and more are available on the Internet at
http://www.geon.com.
*****
Media & Investor Contact: Dennis Cocco
Vice President, Corporate & Investor Affairs,
(440) 930-1538
