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For: MELAMINE CHEMICALS, INC. Contact: RON COMO & ASSOCIATES, INC.
P.O. Box 748 74 Trinity Place
Donaldsonville, LA 70346 New York, NY 10006
Fred Huber, President & CEO Telephone: (212) 227-3010
Wayne D. DeLeo, Vice President & CFO
Telephone: (504) 473-3121
April 17, 1997
Immediate Release
MELAMINE CHEMICALS, INC. REPORTS
QUARTERLY EARNINGS INCREASE OF 64%
DONALDSONVILLE, LOUISIANA, APRIL 17, 1997--Melamine Chemicals, Inc.
(NASDAQ-MTWO) reported third quarter earnings of $1.3 million and nine month
earnings of $3.3 million. These are equivalent to 23c. and 59c. per share
respectively. For the same periods in the prior year, earnings for the quarter
were $781,000 (14c.) and $2.7 million (49c.) for the nine months.
Fred Huber, president and chief executive officer, said, "We are very
pleased with our results, especially given the very high cost of natural gas
which we endured at the beginning of the quarter. Both production and sales
continued at record levels, and raw material prices have declined from the very
high levels of fiscal 1996."
Not included in the year-to-date results is the effect of the
previously reported sale of technology to DSM, which closed in early April.
That sale resulted in net gain of approximately $10.7 million which will be
recognized in the fourth quarter of fiscal 1997.
Melamine Chemicals, Inc. is engaged in the production and marketing of
melamine. The Company is also active in the development of new melamine
process and application technology. The Company is one of only two producers
of melamine in North America and one of the three largest producers worldwide.
COMPARATIVE OPERATING RESULTS
(Thousands of dollars except share and per share data)
Quarter Ended Nine Months Ended
March 31, March 31,
----------------------- ---------------------
1997 1996 1997 1996
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Net Sales $ 14,998 14,787 44,908 38,082
Net Earnings $ 1,282 781 3,291 2,684
Earnings Per Share $ .23 .14 .59 .49
Average Shares Outstanding 5,455,633 5,455,300 5,455,411 5,453,078