UNITED STATES
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 16, 1996
ESSEX GROUP, INC.
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(Exact name of registrant as specified in its charter)
MICHIGAN 1-7418 35-1313928
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(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
1601 WALL STREET, FORT WAYNE, INDIANA 46802
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(Address of principal executive offices) Zip Code
Registrant's telephone number, including area code: (219) 461-4000
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(Former name or former address, if changed since last report.)
Item 5. Other Events.
On October 16, 1996 the registrant issued the press release attached
hereto as Exhibit 20.1, which is incorporated herein by reference.
Item 7. Financial Statements and Exhibits.
(a) Financial Statements of Business Acquired:
Not applicable
(b) Pro Forma Financial Information:
Not applicable
(c) Exhibits:
Number Exhibit Description
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20.1 Press release by the registrant on
October 16, 1996
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.
ESSEX GROUP, INC.
(Registrant)
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October 16, 1996 /s/ James D. Rice
Senior Vice President
Corporate Controller
(Principal Accounting Officer)
Contact: Tom Castaldi
(219) 461-4381
NEWS RELEASE
ESSEX GROUP, INC. ANNOUNCES RESULTS
FORT WAYNE, Ind., October 16, 1996 -- Essex Group, Inc. (the "Company"),
today announced results for the three-month and nine-month periods ended
September 30, 1996.
Net sales and net income for the three-month period ended
September 30, 1996, were $328.8 million and $11.5 million, respectively.
Despite a 29% decline in the average price of copper, net sales were 6.6
percent greater than third quarter 1995 sales of $308.3 million
resulting primarily from increased sales volumes across most of the
Company's business operations and the acquisition of a distribution
operation in September 1995. Net income improved $5.4 million from
third quarter 1995 net income of $6.1 million due primarily to improved
margins, higher sales volumes and reduced interest expense partially
offset by increased overhead expenses attributable to the distribution
operation acquired in September 1995.
Net sales and net income for the nine-month period ended
September 30, 1996, were $974.7 million and $25.6 million, respectively.
Net sales were 9.9 percent greater than the comparable period last year
due to increased sales volumes and the acquisition of a distribution
operation in September 1995, partially offset by lower copper prices.
Improved sales volumes reflected increased demand for the Company's wire
products within most of its major markets. Net income improved $9.2
million from the comparable period last year due primarily to higher
sales volumes and improved margins and a second quarter 1995
extraordinary charge of $3.0 million ($5.0 million before applicable tax
benefit), partially offset by increased interest expense and higher
overhead expenses. The increase in overhead expense was primarily
attributable to the distribution operation acquired in September 1995
while the additional interest expense was related to increased bank debt
for the May 1995 repurchase of the parent company's (BCP/Essex Holdings
Inc. ("Holdings")) 16% Senior Discount Debentures due 2004 (the
"Debentures"). The Company entered into new credit facilities which
provided the funds used by Holdings to repurchase all of the Debentures.
The extraordinary charge was taken in connection with the retirement of
bank debt under Essex' previous credit facility.
Essex Group, Inc. is one of the world's largest producers of
electrical wire and cable products and is included in the Fortune 1000
list of industrial and service companies and the Forbes 500 list of
privately held companies. The Company's business operations are
supported by 24 manufacturing facilities in 12 states producing a broad
range of products that include magnet wire, building wire, automotive
wire, appliance wire, industrial wire, electronic wire, specialty wiring
assemblies, communication wire and electrical insulation materials.