8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 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) November 17, 2005

Lexington Precision Corporation

(Exact Name of Registrant as Specified in Its Charter)

Delaware

(State or Other Jurisdiction of Incorporation)

0-3252		22-1830121
(Commission File Number)	(IRS Employer Identification No.)
40 East 52nd Street, New York, NY		10022
(Address of Principal Executive Offices)	(Zip Code)

(212) 319-4657

(Registrant’s Telephone Number, Including Area Code)

(Former Name or Former Address, if Changed Since Last Report)

     Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

     o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

     o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

     o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

     o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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TABLE OF CONTENTS

	Section 2 — Financial Information
	Item 2.02 Results of Operations and Financial Condition.
	Section 9 — Financial Statements and Exhibits
	Item 9.01 Financial Statements and Exhibits.
SIGNATURES
EX-99.1 Press Release

Section 2 — Financial Information

     Item 2.02 Results of Operations and Financial Condition.

          The information in this Form 8-K, including Exhibit 99.1 attached hereto, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and shall not be incorporated by reference into any filing of Lexington Precision Corporation (the “Company”) under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing.

          On November 17, 2005, the Company issued a press release announcing financial results for the quarter ended September 30, 2005. A copy of the press release is attached hereto as Exhibit 99.1.

          The press release discusses a non-GAAP financial measure known as earnings before interest, taxes, depreciation, amortization, and other non-operating items of income and expense (“EBITDA”). EBITDA is not a measure of performance under U.S. generally accepted accounting principles (“GAAP”) and should not be considered in isolation or used as a substitute for income from operations, net income, net cash provided by operating activities, or other operating or cash flow statement data prepared in accordance with GAAP. EBITDA is referenced in the attached press release and elsewhere in the Company’s financial reporting because investors and the Company’s management use this measure to evaluate the operating performance of the Company, including the Company’s ability to service debt. In the press release, the Company has provided quantitative reconciliations of EBITDA to income (loss) from operations and net income (loss), two GAAP financial measures.

Section 9 — Financial Statements and Exhibits

          Item 9.01 Financial Statements and Exhibits.

          Exhibit 99.1       Press release dated November 17, 2005

SIGNATURES

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.

	LEXINGTON PRECISION CORPORATION
		(Registrant)
	/s/ Dennis J. Welhouse
	Name: Title:	Dennis J. Welhouse Senior Vice President and Chief Financial Officer
Date: November 17, 2005

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EX-99.1

Exhibit 99.1

LEXINGTON PRECISION CORPORATION
40 East 52^nd Street
New York, NY 10022

FOR IMMEDIATE RELEASE

LEXINGTON PRECISION REPORTS SECOND QUARTER RESULTS

NEW YORK, November 17, 2005 — Lexington Precision Corporation reported a net loss of $1,446,000, or 29 cents per diluted common share, for the third quarter ended September 30, 2005, compared to a net loss of $2,719,000, or 55 cents per diluted common share, for the third quarter of 2004.

The loss from continuing operations totaled $1,857,000, or 37 cents per diluted common share, for the third quarter of 2005, compared to a loss from continuing operations of $1,194,000, or 24 cents per diluted common share, for the third quarter of 2004. Income from discontinued operations totaled $411,000, or 8 cents per diluted common share, compared to a loss from discontinued operations of $1,525,000, or 31 cents per diluted common share, for the third quarter of 2004. Income from discontinued operations for the third quarter of 2005, included a pre-tax gain of $568,000 on the sale of long-lived assets. The loss from discontinued operations for the third quarter of 2004, included a non-cash impairment charge of $928,000 to reduce the carrying value of long-lived assets to estimated fair value.

Net sales for the third quarter of 2005 were $23,502,000, compared to $25,880,000 for the third quarter of 2004, a decrease of 9%. Net sales of the Rubber Group decreased by 12% to $20,760,000, while net sales of the Metals Group increased by 15% to $2,742,000.

During the third quarter of 2005, income from operations totaled $414,000, compared to $1,032,000 for the third quarter of 2004. Income from operations at the Rubber Group decreased to $1,266,000 from $2,253,000. The Metals Group reported a loss from operations of $340,000, compared to a loss from operations of $579,000 for the third quarter of 2004. The loss from operations at the Corporate Office decreased to $512,000 from $642,000.

Earnings before interest, taxes, depreciation, and amortization (EBITDA) from continuing operations for the third quarter of 2005, totaled $2,491,000, compared to EBITDA from continuing operations of $3,157,000 for the third quarter of 2004, a decrease of 21%. EBITDA for the Rubber Group decreased to $3,074,000 from $3,992,000. EBITDA for the Metals Group improved to negative $73,000 from negative $204,000. EBITDA for the Corporate Office improved to negative $510,000 from negative $631,000. For more information about EBITDA, please see the section of the press release captioned “Notice Relating to Use of Non-GAAP Measure.”

Net cash provided by operating activities of continuing operations for the third quarter of 2005 totaled $3,853,000, compared to $2,321,000 for the third quarter of 2004, an increase of 66%.

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Lexington Precision Corporation
November 17, 2005

The company reported a net loss of $2,129,000, or 43 cents per diluted common share, for the first nine months of 2005, compared to a net loss of $1,593,000, or 32 cents per diluted common share, for the first nine months of 2004.

The loss from continuing operations totaled $3,001,000, or 61 cents per diluted common share, for the first nine months of 2005, compared to income from continuing operations of $1,048,000, or 22 cents per diluted common share, for the first nine months of 2004. Income from discontinued operations totaled $872,000, or 18 cents per diluted common share, compared to a loss from discontinued operations of $2,641,000, or 54 cents per diluted common share, for the first nine months of 2004.

The loss from continuing operations for the first nine months of 2005, included a pre-tax gain of $1,100,000 on the sale of a vacant manufacturing facility in Casa Grande, Arizona, which was part of the company’s Metals Group. Income from continuing operations the first nine months of 2004, included a pre-tax gain of $3,252,000 on the repurchase of the company’s $7,500,000 senior, unsecured note.

Income from discontinued operations for the first nine months of 2005, included a pre-tax gain of $542,000 to record an increase in the estimated carrying value of long-lived assets that had been written down in 2004 and a pre-tax gain of $568,000 on the sale of long-lived assets.

Net sales for the first nine months of 2005 were $75,080,000, compared to $85,961,000 for the first nine months of 2004. Net sales of the Rubber Group decreased by 16% to $65,982,000, while net sales of the Metals Group increased by 19% to $9,098,000.

During the first nine months of 2005, income from operations totaled $3,873,000, compared to $4,302,000 for the first nine months of 2004. Income from operations at the Rubber Group decreased to $5,654,000 from $8,402,000. The Metals Group reported a loss from operations of $14,000 for the first nine months of 2005, compared to a loss from operations of $2,132,000 for the first nine months of 2004. The improved results at the Metals Group resulted in part from the $1,100,000 pre-tax gain on the sale of the Casa Grande, Arizona, real estate. The loss from operations at the Corporate Office decreased to $1,767,000 for the first nine months of 2005, from $1,968,000 for the first nine months of 2004.

EBITDA for the first nine months of 2005 totaled $10,222,000, compared to EBITDA of $10,617,000 for the first nine months of 2004, a decrease of 4%. EBITDA for the Rubber Group decreased 18% to $11,107,000. EBITDA for the Metals Group improved to $874,000 from negative $1,011,000. EBITDA for the Corporate Office improved to negative $1,759,000 from negative $1,937,000.

Net cash provided by operating activities of continuing operations for the first nine months of 2005 totaled $6,009,000, compared to $4,394,000 for the first nine months of 2004, an increase of 37%.

Attached to this press release are tables setting forth our condensed consolidated statements of operations and selected consolidated and segment financial data, including information concerning our cash flows from operations and reconciliations of income from continuing operations to EBITDA from continuing operations.

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Lexington Precision Corporation
November 17, 2005

Notice Relating to Use of Non-GAAP Measure

EBITDA is not a measure of performance under U.S. generally accepted accounting principles (GAAP) and should not be considered in isolation or used as a substitute for income from operations, net income, net cash provided by operating activities, or other operating or cash flow statement data prepared in accordance with GAAP. We have presented EBITDA because this measure is used by investors, as well as our own management, to evaluate the operating performance of our business, including its ability to incur and to service debt. Nevertheless, EBITDA has distinct limitations as compared to a GAAP number such as net income. By excluding interest and tax payments, for example, an investor may not see that both represent a reduction in cash available to the company. Likewise, depreciation and amortization, while non-cash items, represent generally the devaluation of assets that produce revenue for the company. Our definition of EBITDA may not be the same as the definition of EBITDA used by other companies.

Lexington Precision Corporation manufactures rubber and metal components that are used primarily by manufacturers of automobiles, automotive replacement parts, and medical devices.

Contact: Warren Delano, President (212) 319-4657

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LEXINGTON PRECISION CORPORATION

Condensed Consolidated Statement of Operations
(in thousands, except per share amounts)
(unaudited)

	Quarter Ended						Nine Months Ended
	September 30						September 30
	2005			2004			2005			2004
Net sales	$	23,502		$	25,880		$	75,080		$	85,961
Cost of sales		21,524			23,063			67,239			75,905
Gross profit		1,978			2,817			7,841			10,056
Selling and administrative expenses		1,564			1,785			5,068			5,754
Gain on sale of assets held for sale		—			—			1,100			—
Income from operations		414			1,032			3,873			4,302
Other income (expense):
Interest expense		(2,250	)		(2,211	)		(6,888	)		(6,420	)
Gain on repurchase of debt		—			—			77			3,252
Income (loss) from continuing operations before income taxes		(1,836	)		(1,179	)		(2,938	)		1,134
Income tax provision		21			15			63			86
Income (loss) from continuing operations		(1,857	)		(1,194	)		(3,001	)		1,048
Income (loss) from discontinued operations		411			(1,525	)		872			(2,641	)
Net loss	$	(1,446	)	$	(2,719	)	$	(2,129	)	$	(1,593	)
Basic and diluted income (loss) per share of common stock:
Continuing operations	$	(0.37	)	$	(0.24	)	$	(0.61	)	$	0.22
Discontinued operations		0.08			(0.31	)		0.18			(0.54	)
Net loss	$	(0.29	)	$	(0.55	)	$	(0.43	)	$	(0.32	)
Reconciliation of net income (loss) from continuing operations to EBITDA from continuing operations:
Income (loss) from continuing operations	$	(1,857	)	$	(1,194	)	$	(3,001	)	$	1,048
Add back (deduct):
Depreciation and amortization		2,077			2,125			6,349			6,315
Gain on repurchase of debt		—			—			(77	)		(3,252	)
Interest expense		2,250			2,211			6,888			6,420
Income tax provision		21			15			63			86
EBITDA from continuing operations	$	2,491		$	3,157		$	10,222		$	10,617
Net cash provided by operating activities	$	3,853		$	2,321		$	6,009		$	4,394

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LEXINGTON PRECISION CORPORATION

Select Consolidated and Segment Financial Data
Continuing Operations
(in thousands)
(unaudited)

	Quarter Ended						Nine Months Ended
	September 30						September 30
	2005			2004			2005			2004
Net sales:
Rubber Group	$	20,760		$	23,499		$	65,982		$	78,346
Metals Group		2,742			2,381			9,098			7,615
Total net sales	$	23,502		$	25,880		$	75,080		$	85,961
Income (loss) from operations:
Rubber Group	$	1,266		$	2,253		$	5,654		$	8,402
Metals Group		(340	)		(579	)		(14	)		(2,132	)
Corporate Office		(512	)		(642	)		(1,767	)		(1,968	)
Total income from operations		414			1,032			3,873			4,302
Depreciation and amortization included in income from operations:
Rubber Group		1,808			1,739			5,453			5,163
Metals Group		267			375			888			1,121
Corporate Office		2			11			8			31
Total depreciation and amortization		2,077			2,125			6,349			6,315
Earnings (loss) before interest, taxes, depreciation, and amortization (EBITDA):
Rubber Group		3,074			3,992			11,107			13,565
Metals Group		(73	)		(204	)		874			(1,011	)
Corporate Office		(510	)		(631	)		(1,759	)		(1,937	)
Total EBITDA	$	2,491		$	3,157		$	10,222		$	10,617
Capital expenditures:
Rubber Group	$	568		$	1,039		$	2,690		$	3,521
Metals Group		28			80			194			707
Corporate Office		—			7			3			7
Total capital expenditures	$	596		$	1,126		$	2,887		$	4,235

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