-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, WJ4Xvp87LipT3TjhsVy8yn9VEFJ6X0TW/CCUAFINtGcb7lXxO8OD/1/KlVDa8A7s t8Rl4ymAps/ifQ2torz/Tg== 0000950131-98-002983.txt : 19980505 0000950131-98-002983.hdr.sgml : 19980505 ACCESSION NUMBER: 0000950131-98-002983 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19980429 ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 19980504 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: NATIONAL STEEL CORP CENTRAL INDEX KEY: 0000070578 STANDARD INDUSTRIAL CLASSIFICATION: STEEL WORKS, BLAST FURNACES ROLLING MILLS (COKE OVENS) [3312] IRS NUMBER: 250687210 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 001-00983 FILM NUMBER: 98609103 BUSINESS ADDRESS: STREET 1: 4100 EDISON LAKES PARKWAY CITY: MISHAWAKA STATE: IN ZIP: 46545-3440 BUSINESS PHONE: 2192737000 MAIL ADDRESS: STREET 1: 4100 EDISON LAKE PARKWAY CITY: MISHAWAKA STATE: IN ZIP: 46545-3440 8-K 1 FORM 8-K 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): April 29, 1998 NATIONAL STEEL CORPORATION (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation) 1-983 25-0687210 (Commission File Number) (IRS Employer Identification No.) 4100 Edison Lakes Parkway, Mishawaka, IN 46545-3440 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: 219-273-7000 ITEM 5. OTHER EVENTS National Steel Corporation issued a press release on April 29, 1998 announcing first quarter 1998 results, quarterly common stock dividend and Board of Director approval for construction of a new coating line. A copy of this press release is attached hereto as Exhibit 99.1. ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS Exhibit 99.1 Press release dated April 29, 1998. 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. NATIONAL STEEL CORPORATION Date: April 30, 1998 By: /s/John A. Maczuzak ------------------- John A. Maczuzak President and Chief Operating Officer EX-99.1 2 PRESS RELEASE DATED 4/29/98 Exhibit 99.1 News Release - ------------ Media Contact: Leon L. Judd (219) 273-7631 Analyst/Investor Contact: Joseph A. Rainis (219) 273-7158 NATIONAL STEEL ANNOUNCES FIRST QUARTER 1998 RESULTS, DIVIDEND PAYMENT AND NEW COATING LINE Mishawaka, IN, April 29, 1998--National Steel Corporation (NYSE: NS) today reported net income of $5.9 million for the first quarter of 1998, or $0.14 per diluted common share, compared to first quarter of 1997 net income of $26.7 million, or $0.55 per diluted common share. Earnings in the current period were negatively impacted by a planned major blast furnace reline and associated lower shipping volumes, lower sales prices, the effects of a late winter storm that negatively affected operations, particularly at the Midwest Steel Division, and an unplanned outage at National Steel Pellet Company. The blast furnace reline contributed to reduced operating levels in the first quarter of 1998 as both shipments and raw steel production fell compared to the same 1997 period. Shipments fell by approximately 100,000 tons to 1.42 million tons while raw steel production totaled 1.57 million tons in this year's first quarter. For the same period of 1997, shipments totaled 1.52 million tons and raw steel production totaled 1.63 million tons. Operating income totaled $1.8 million in the first quarter of 1998 compared to the year-earlier level of $36.9 million as the reduced shipping level and higher costs associated with the items mentioned earlier significantly impacted results. The effects from these higher costs were primarily confined to the first quarter although the blast furnace reline will also impact the second quarter as it resumed production earlier this week. "Our performance in the first quarter was disappointing as the effects from the planned blast furnace reline at our Great Lakes Division significantly impacted our results in the first quarter," said Osamu Sawaragi, National's chairman and chief executive officer. "We remain very confident about the future, however, as demand for our products continues at a strong level and we expect improved performance for the balance of 1998," concluded the chief executive. -more- The Company also announced that its Board of Directors has approved funds for the construction of a new coating line that will serve the automotive market. Mr. Sawaragi said the Company is presently studying possible sites and finalizing design for the facility. The facility will produce hot dip galvanized product and will have an annual capacity of approximately 450,000 tons. "Our continued good performance and strong financial position gives us the opportunity to continue our strategy of growing our value added products. At the same time, the addition of this line will enable us to better serve our critical automotive customers," Mr. Sawaragi said. In addition, construction of a new coating line at the Midwest Steel Division has progressed on schedule. Cold runs were completed earlier this month and prime production is expected to begin in early May. The facility will serve the construction market with approximately 270,000 tons of coated product and enable National to increase its mix of value-added products. The Company also said its board of directors declared a quarterly common stock dividend of $0.07 per share, payable on June 10, 1998, to shareholders of record on May 22, 1998. All statements contained in this release, other than historical information, are forward-looking statements. A variety of factors could cause business conditions and the Company's actual results and experience to differ materially from those expected by the Company or expressed in the Company's forward-looking statements. Additional information concerning these factors is available in the Company's most recent Form 10-K for the year ended December 31, 1997. Headquartered in Mishawaka, Indiana, National Steel is the nation's fourth largest integrated steel company, with annual shipments of approximately six million tons of flat rolled products. National Steel employs approximately 9,400 people. Visit National Steel's website at: www. nationalsteel.com. The Company's consolidated income statement and condensed balance sheets and cash flows follow: National Steel Corporation Consolidated Statements of Income (Unaudited) (In millions, except per share data)
Three Months Ended March 31, 1998 1997 ------------------ ------------------ Net Sales $ 708.4 $ 757.6 Cost of products sold 637.4 653.2 Selling, general and administrative expense 38.0 32.4 Depreciation 31.1 35.2 Equity (income) loss of affiliates 0.1 (0.1) ------------------ ------------------ Income from Operations 1.8 36.9 Financing costs (net) 0.8 8.2 ------------------ ------------------ Income before Income Taxes 1.0 28.7 Income tax provision (credit) (4.9) 2.0 ------------------ ------------------ Net Income 5.9 26.7 Less preferred stock dividends --- 2.7 ------------------ ------------------ Net Income Applicable to Common Stock $ 5.9 $ 24.0 ================== ================== Basic Earnings Per Share: Net Income Applicable to Common Stock $ 0.14 $ 0.55 Weighted average shares outstanding (in thousands) 43,288 43,288 Diluted Earnings Per Share: Net Income Applicable to Common Stock $ 0.14 $ 0.55 ================== ================== Weighted average shares outstanding (in thousands) 43,325 43,306 Operating Statistics (in thousands of tons) Shipments 1,419 1,521 Production 1,573 1,634
NATIONAL STEEL CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (In millions)
March 31, December 31, 1998 1997 ----------- ------------ Assets Cash and cash equivalents and investments $ 291.9 $ 337.6 Receivables - net 269.7 284.3 Inventories 387.1 374.2 Deferred tax assets 8.6 8.6 ------------ ----------- Total current assets 957.3 1,004.7 Property, plant and equipment - net 1,235.2 1,229.0 Other assets 229.3 219.8 ------------ ----------- Total Assets $2,421.8 $2,453.4 ============ =========== March 31, December 31, 1998 1997 ------------ ----------- Liabilities and Stockholders' equity Current liabilities $ 607.9 $ 637.4 Long term debt 304.2 311.0 Other long term liabilities 669.8 668.0 --------- -------- Total liabilities 1,581.9 1,616.4 Stockholders' equity 839.9 837.0 --------- -------- Total Liabilities and Equity $2,421.8 $2,453.4 ========= ========
CONDENSED STATEMENTS OF CONSOLIDATED CASH FLOWS (Unaudited) (In millions)
Three Months Ended March 31, 1998 1997 --------- --------- Cash from operations $ 27.0 $90.4 Investing Activities: Purchases of property, plant and equipment (net) (37.3) (43.0) Financing Activities: Repayment of debt (14.6) (15.6) Borrowings 7.2 -- Preferred stock dividends -- (1.2) Common stock dividends (3.0) -- Other -- (4.6) --------- --------- (10.4) (21.4) --------- --------- Increase (Decrease) in Cash and Cash Equivalents (20.7) 26.0 Cash and cash equivalents at the beginning of the period 312.6 109.0 --------- --------- Cash and cash equivalents at the end of the Period $291.9 $135.0 ========= =========
-----END PRIVACY-ENHANCED MESSAGE-----