Owens-Illinois quarterly profit down

On 25 October 2006, Owens-Illinois Inc. (O-I) posted a sharply lower profit for the 3Q 2006, citing a charge to close a plant, refinancing costs, and a higher tax rate.
Net earnings dropped from USD …

On 25 October 2006, Owens-Illinois Inc. (O-I) posted a sharply lower profit for the 3Q 2006, citing a charge to close a plant, refinancing costs, and a higher tax rate. Net earnings dropped from USD 119.6 million, or USD 0.75 per share to USD 8.4 million, or USD 0.02 per share, the Perrysburg, Ohio-based packaging company said. O-I said it had earnings from operations before items, which management considers not representative of ongoing operations, of USD 0.26 per share in the latest quarter, compared with USD 0.34 per share a year ago. Revenue rose 10.6% to USD 1.93 billion. The company said it took a charge in the 3Q 2006 of USD 0.18 per share for the closure by the end of 2006 of its machine parts-making plant in Godfrey, Illinois. As part of its programme to reduce working capital and improve system costs, machine parts manufacturing will be outsourced to third-party suppliers, the company said.