clarinews@clarinet.com (02/02/90)
EDISON, N.J. (UPI) -- Englehard Corp. Thursday reported a 1989 fourth-quarter loss of $146 million compared with a net income of $19.25 million, or 43 cents a share, in the year-ago quarter. The company said the loss reflected a one-time after-tax $160.4 million charge taken in the fourth quarter and resulting from a major restructuring. The one-time charge included $110 million for discontinued operations and $50.4 million for restructuring, including reduction in the work force. Without the one-time charge, fourth-quarter earnings would have been $14.5 million, or 32 cents a share, the company said. Sales for the quarter were $626.3 million, down from $695.1 million in 1988's fourth quarter. For fiscal 1989, the one-time charge will result in a loss of $77.49million, compared with net income of $63.72 million, or $1.42 a share, for 1988. Without the charge, the company would have earned $61.4 million, or $1.37 a share, in 1989. Sales for 1989 were $2.402 billion, compared with sales of $2.351 in 1988, the company said. The company also said it was increasing its quarterly dividend to 17 cents a share from 14 cents a share. ``The plan reflects our determination to significantly improve Englehard's near- and long-term financial performance and to strengthen the company's ability to compete in its global markets,'' Orin Smith, the president and CEO said in a prepared statement. The increase in Englehard's dividend at the same time it is restricting its operations ``reflects confidence in our business plan and interest in sharing the prospect for future earnings growth with company stockholders,'' Smith said. ``Strategically, we will focus on further strengthening Englehard's leadership positions in catalysts, pigments and additives, platinum group metal products and precious metal management services.'' The company cited ``gold and silver product fabrication and refining, metal joining and crystals and electronics as among those businesses the company plans to exit.'' As a result of the restructuring, about 500 salaried positions worldwide will be eliminated, some operations will be consolidated and other operations ``will be closed,'' the company said. No details of the closings, or the operations the corporation will shed were immediately available. Englehard has 8,300 employees worldwide and 1,619 employees in New Jersey.