19 February 1998: Owens-Illinois Inc. reported higher profits and sales for the fourth quarter, when it completed a refinancing program that will supposedly fuel acquisitions in the shrinking worldwid…
19 February 1998: Owens-Illinois Inc. reported higher profits and sales for the fourth quarter, when it completed a refinancing program that will supposedly fuel acquisitions in the shrinking worldwide packaging industry. The US company said net income before extraordinary items rose to US$ 39.1 million from US$ 22.9 million in the fourth quarter. After the charges, which totalled US$ 0.03 a share, net rose to US$ 0.25 a share on a diluted basis from US$ 0.19. Basic earnings per share before the special charges were US$ 0.28, versus US$ 0.19 in the 1996 quarter. Fourth quarter net sales rose 19% to US$ 1.14 billion, from US$ 962.1 million a year earlier, reflecting sales growth in plastics and glass. International glass container sales, excluding the effect of recent acquisitions, rose 10% in the year, as strong results in Colombia, Venezuela and the United Kingdom are said to have offset weaker markets in Brazil and Hungary. Owens-Illinois said it completed the refinancing of US$ 1.9 billion of debt in the fourth quarter by issuing more stock and borrowing more under an amended bank credit facility, among other measures. “We expect additional acquisition opportunities to result from the continuing trend of consolidation within the worldwide packaging industry,” said Chairman Joseph Lemieux. “As a result of our 1997 refinancing plan, we now have significant additional financial flexibility to expand in growing markets.”