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) October 25, 1995
E. I. du Pont de Nemours and Company
(Exact Name of Registrant as Specified in Its Charter)
Delaware 1-815 51-0014090
(State or Other Jurisdiction (Commission (I.R.S Employer
of Incorporation) File Number) Identification No.)
1007 Market Street
Wilmington, Delaware 19898
(Address of principal executive offices)
Registrant's telephone number, including area code: (302) 774-1000
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Item 7. Financial Statements and Exhibits
In connection with Debt and/or Equity Securities that may be offered
on a delayed or continuous basis under Registration Statements on Form S-3
(No. 33-48128, No. 33-53327 and No. 33-61339), we hereby file the following
press release.
Exhibit
Number Description of Exhibit
------- -------------------------------------------------
99 Copy of the Registrant's Earnings Press Release,
dated October 25, 1995
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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.
E. I. DU PONT DE NEMOURS AND COMPANY
(Registrant)
/s/ D. B. Smith
------------------------------------
D. B. Smith
Assistant Controller
October 25, 1995
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EXHIBIT INDEX
Exhibit
Number Description
- ------- -------------------------------------------------------
99 Copy of the Registrant's Earnings Press Release, dated
October 25, 1995.
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EXHIBIT 99
Contact: Susan Gaffney
(302) 774-2698
WILMINGTON, Del., October 25 -- DuPont reported record
earnings for a third quarter of $1.38 per share, exceeding by
45 percent the $.95 earned in the third quarter of 1994. Net
income totaled $769 million compared to $647 million earned in
1994.
"The business climate in the third quarter was diffi-
cult, as growth in key global economies slowed," said President
John A. Krol. "This slowdown translated into flat to marginally
positive volume gains in our chemicals and specialties busi-
nesses, and continued downward pressure on prices and margins in
our energy businesses. In spite of these conditions, emphasis
on cost control allowed us to generate solid earnings gains and
to continue our ongoing progress in achieving sustained profit-
able growth worldwide."
Average shares outstanding for the quarter were
18 percent less than last year's levels due to the redemption of
DuPont common stock from Seagram earlier this year. Excluding
the related accretion effect, net income increased 28 percent.
The current quarter's results also reflect insurance recoveries
5
related to environmental remediation that resulted in a benefit
of $.12 per share, and a more favorable allocation of DuPont
Merck joint venture operating income to DuPont.
Sales for the third quarter were $10.2 billion, up
4 percent from the prior year. Chemicals and specialties
segments sales were up 6 percent, due principally to higher
selling prices. Worldwide sales volume was marginally higher,
as increases outside the United States were essentially offset
by lower U.S. volumes. Petroleum segment sales were up
1 percent.
The following information compares third quarter 1995
results with third quarter 1994 for each industry segment,
excluding the impact of nonrecurring items described in the
accompanying segment footnotes. Chemicals and specialties
segments reflect an allocation, approximately in proportion to
each segment's sales, of the environmental remediation insurance
recoveries discussed above.
Chemicals segment earnings were $159 million, up
$55 million, or 53 percent, reflecting better results for white
pigments and specialty chemicals. Segment sales increased
7 percent reflecting 10 percent higher selling prices, partly
offset by 3 percent lower sales volume.
Fibers segment earnings of $194 million were up
$30 million, or 18 percent, principally due to a significant
6
earnings improvement in aramids. Segment sales increased
3 percent, as 4 percent higher selling prices were partly offset
by 1 percent lower volume.
Polymers segment earnings were $198 million, up
$21 million, or 12 percent, reflecting improved results in
fluoropolymers and packaging & industrial polymers. Segment
sales grew 8 percent, reflecting 6 percent higher selling
prices, and 2 percent higher volume.
Petroleum segment earnings were $182 million, up
$10 million, or 6 percent from last year. Upstream's results
were $90 million, up 8 percent largely due to lower operating
and exploration costs offsetting the impact of lower gas prices.
Downstream earnings, also benefitting from improved costs, were
$92 million, 3 percent higher.
Diversified Businesses segment earnings totaled
$192 million, up $57 million or 42 percent, principally reflect-
ing higher earnings from the DuPont Merck pharmaceutical joint
venture. This resulted, in part, from a more favorable alloca-
tion of the joint venture's operating income to DuPont to
recognize the performance of assets initially contributed to the
venture by DuPont. These improved results were partly offset by
higher costs incurred by DuPont for the new hypertension drug,
"Cozaar." Segment sales were up 6 percent due to 3 percent
higher sales volume, and 3 percent higher prices.
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For the first nine months of 1995, earnings per share
totaled $4.47 and exceeded 1994 previous record first nine
months earnings per share by 47 percent. Net income for the
first nine months of 1995 was $2.7 billion compared to
$2.1 billion in the same period last year. Year-to-date sales
totaled $31.8 billion versus $29.2 billion last year, up
9 percent.
"Outstanding year-to-date financial results attest to
our commitment to grow profitably through a combination of
innovation and productivity," Krol said. "It's clear that our
global presence and market diversity are contributing to
DuPont's success as a preferred partner throughout the value
chain."
10/25/95
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E. I. DU PONT DE NEMOURS AND COMPANY AND CONSOLIDATED SUBSIDIARIES
Three Months Ended Nine Months Ended
CONSOLIDATED INCOME STATEMENT September 30 September 30
- -----------------------------------------------------------------------------------------------------
(Dollars in millions, except per share) 1995 1994 1995 1994
- ----------------------------------------------------------------------------------------------------
SALES ............................................. $10,200 $ 9,845 $31,778 $29,196
Other Income ...................................... 220 184 805 667
------- ------- ------- -------
Total ......................................... 10,420 10,029 32,583 29,863
------- ------- ------- -------
Cost of Goods Sold and Other Expenses ............. 7,502 7,373 23,136 21,540
Selling, General and Administrative Expenses ...... 723 708 2,245 2,081
Depreciation, Depletion and Amortization .......... 647 797<Fa> 1,937 2,170<Fa>
Exploration Expenses, Including Dry Hole Costs
and Impairment of Unproved Properties ........... 79 92 221 204
Interest and Debt Expense ......................... 205 145 561 435
------- ------- ------- -------
Total ......................................... 9,156 9,115 28,100 26,430
------- ------- ------- -------
EARNINGS BEFORE INCOME TAXES ...................... 1,264 914 4,483 3,433
Provision for Income Taxes ........................ 495 267<Fb> 1,817 1,352<Fb>
------- ------- ------- -------
NET INCOME ........................................ $ 769 $ 647 $ 2,666 $ 2,081
======= ======= ======= =======
EARNINGS PER SHARE OF COMMON STOCK<Fc> ............ $ 1.38 $ .95 $ 4.47 $ 3.05
======= ======= ======= =======
DIVIDENDS PER SHARE OF COMMON STOCK ............... $ .52 $ .47 $ 1.51 $ 1.35
======= ======= ======= =======
<FN>
<Fa>Includes $115 related to write-down of certain North Sea oil properties
held for sale.
<Fb>Includes a benefit of $127 principally related to a favorable change in
tax status resulting from a transfer of properties among certain North Sea
affiliates.
<Fc>Earnings per share are calculated on the basis of the following number of
common shares outstanding:
Three Months Ended Nine Months Ended
September 30 September 30
------------------ -----------------
1995 554,978,850 595,129,571
1994 680,634,456 679,686,654
Earnings per share for the nine months ended September 30, 1995 of $4.47,
do not equal the sum of the first quarter's earnings per share ($1.40),
the second quarter's earnings per share ($1.70), and the third quarter's
earnings per share ($1.38) due to the significant changes in average
common shares outstanding beginning with the second quarter. During the
second quarter, the Company redeemed 156 million shares of its common
stock from Seagram and subsequently sold, through public and private
offerings, 27,339,375 shares of newly-issued common stock.
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E. I. DU PONT DE NEMOURS AND COMPANY AND CONSOLIDATED SUBSIDIARIES
Three Months Ended Nine Months Ended
CONSOLIDATED INDUSTRY SEGMENT INFORMATION September 30 September 30
- -----------------------------------------------------------------------------------------------------
(Dollars in millions, except per share) 1995 1994 1995 1994
- ----------------------------------------------------------------------------------------------------
SALES
- -----
Chemicals ........................................... $ 1,052 $ 983 $ 3,175 $ 2,790
Fibers .............................................. 1,728 1,677 5,414 5,044
Polymers ............................................ 1,700 1,577 5,321 4,679
Petroleum ........................................... 4,383 4,344 13,192 12,345
Diversified Businesses .............................. 1,337 1,264 4,676 4,338
------- ------- ------- -------
Total ........................................... $10,200 $ 9,845 $31,778 $29,196
======= ======= ======= =======
AFTER-TAX OPERATING INCOME<Fa><Fb>
- --------------------------
Chemicals ........................................... $ 162 $ 77 $ 508<Fc>$ 261
Fibers .............................................. 198 164 638<Fc> 485
Polymers ............................................ 201 193 666 523
Petroleum ........................................... 182 146 566 562
Diversified Businesses .............................. 180 169 674<Fd> 525<Fd>
------- ------- ------- -------
Total ........................................... 923 749 3,052 2,356
Interest and Other Corporate
Expenses Net of Tax ............................... (154) (102) (386) (275)
------- ------- ------- -------
NET INCOME .......................................... $ 769 $ 647 $ 2,666 $ 2,081
- ---------- ======= ======= ======= =======
<FN>
<Fa>Third quarter 1995 includes a charge of $24 for printing and publishing
operations, principally for employee separation costs in Europe, a
litigation provision of $13 related to a previously sold business, and
adjustments in estimates associated with the third quarter 1993
restructuring charge, which result in the following net (charges)/
benefits:
Chemicals $ 3
Fibers 4
Polymers 3
Diversified Businesses (12)
----
$ (2)
----
10
[FN]
<Fb>1994 includes the following third-quarter (charges)/benefits:
Chemicals $(27)(1)
Polymers 16 (2)
Petroleum (26)(2)
Diversified Businesses 34 (2)
----
$ (3)
----
(1) Associated with discontinuation of certain products and asset sales
and write-downs.
(2) Reflects adjustments in estimates associated with the third quarter
1993 restructuring charge. In addition, the Petroleum segment also
includes additional charges for employee separation costs, a loss of
$95 from write-down of certain North Sea oil properties held for sale
and a benefit of $127 principally related to a favorable change in tax
status resulting from a transfer of properties among certain North Sea
affiliates.
<Fc>The Chemicals and Fibers segments reflect an additional benefit of $7 and
$27, respectively, principally an adjustment of estimates associated with
the third quarter 1993 restructuring charge.
<Fd>Also includes charges of $63 and $47 associated with "Benlate" DF 50
fungicide recall from the quarters ended June 30, 1995 and 1994,
respectively.
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E. I. DU PONT DE NEMOURS AND COMPANY AND CONSOLIDATED SUBSIDIARIES
After-Tax Operating Income
-------------------------------------------
CONSOLIDATED INDUSTRY SEGMENT INFORMATION Three Months Ended Nine Months Ended
EXCLUDING IMPACT OF NONRECURRING ITEMS September 30 September 30
- -----------------------------------------------------------------------------------------------------
(Dollars in millions) 1995 1994 1995 1994
- ----------------------------------------------------------------------------------------------------
Chemicals ........................................... $ 159 $ 104 $ 498 $ 288
Fibers .............................................. 194 164 607 485
Polymers ............................................ 198 177 663 507
Petroleum ........................................... 182 172 566 588
Diversified Businesses .............................. 192 135 749 538
------ ------ ------ ------
Total ........................................... $ 925 $ 752 $3,083 $2,406
====== ====== ====== ======
Less: Interest and Other Corporate Expenses
Net of Tax ........................................ (154) (102) (386) (275)
------ ------ ------ ------
Total ........................................... $ 771 $ 650 $2,697 $2,131
====== ====== ====== ======
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