-----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, FxeEjyArYHK3olHgIXq7+baYuYdRsZY2SrR0ALHF3PMNRr4nXnJLfkni83t8pEKs Lp79YAVRiqF0BZ9K3kPWZg== 0000949111-96-000050.txt : 19960816 0000949111-96-000050.hdr.sgml : 19960816 ACCESSION NUMBER: 0000949111-96-000050 CONFORMED SUBMISSION TYPE: 10-Q/A PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19960331 FILED AS OF DATE: 19960814 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: OREGON METALLURGICAL CORP CENTRAL INDEX KEY: 0000074856 STANDARD INDUSTRIAL CLASSIFICATION: ROLLING DRAWING & EXTRUDING OF NONFERROUS METALS [3350] IRS NUMBER: 930448167 STATE OF INCORPORATION: OR FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q/A SEC ACT: 1934 Act SEC FILE NUMBER: 000-01339 FILM NUMBER: 96613534 BUSINESS ADDRESS: STREET 1: 530 W 34TH AVE STREET 2: P O BOX 580 CITY: ALBANY STATE: OR ZIP: 97321 BUSINESS PHONE: 5039264281 MAIL ADDRESS: STREET 1: 530 34TH AVENUE SW STREET 2: PO BOX 580 CITY: ALBANY STATE: OR ZIP: 97321 10-Q/A 1 =========================================================================== UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Amendment No. 1 to Form 10-Q (Form 10-Q/A) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended MARCH 31, 1996 ______________ Commission File Number 0-1339 ______ OREGON METALLURGICAL CORPORATION (Exact name of registrant as specified in its charter) Oregon 93-0448167 _______________________________ ________________ (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification Number) 530 34th Avenue S.W. Albany, Oregon 97321 __________________________________ _____ (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (541) 967-9000 ______________ NONE ______________________________________________________ (Former name or address, if changed since last report) =========================================================================== Pursuant to Rule 12b-15, promulgated under the Securities Exchange Act of 1934, as amended ("Exchange Act"), Oregon Metallurgical Corporation hereby amends each of the following Items of its Quarterly Report on Form 10-Q for the period ended March 31, 1996, so that, as amended, such Items read as set forth herein: Part I Financial Information Item 1. Financial Statements Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations Exhibit 27.1 Restated Financial Data Schedule. As used in this Form 10-Q/A, the terms "OREMET" or "Company" mean Oregon Metallurgical Corporation and its consolidated subsidiaries, taken as a whole, unless the context indicates otherwise. OREMET is a registered trademark of the Company. - -1- PART I: FINANCIAL INFORMATION ITEM 1: FINANCIAL STATEMENTS OREGON METALLURGICAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (Dollars in thousands, except per share data) Unaudited
Three Months ________________ For the period ended March 31, 1996 1995 ____ ____ Net sales $ 51,309 $ 30,838 Cost of sales 40,948 25,506 ________ ________ GROSS PROFIT 10,361 5,332 Research, technical and product development expenses 617 365 Selling, general and administrative expenses 4,290 3,400 ________ ________ INCOME FROM OPERATIONS 5,454 1,567 Interest expense 634 575 Minority interests 225 106 ________ ________ INCOME BEFORE INCOME TAXES 4,595 886 Provision for income taxes 1,250 351 ________ ________ NET INCOME $ 3,345 $ 535 ======== ======== Net income per share $ 0.30 $ 0.05 ======== ======== Weighted average common shares and equivalents outstanding 11,327 11,055 ======== ========
The accompanying notes are an integral part of these consolidated financial statements. - -2- OREGON METALLURGICAL CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (dollars in thousands except par value)
Unaudited March 31, December 31, 1996 1995 _________ ____________ ASSETS Current assets: Cash and cash equivalents $ 1,154 $ 572 Accounts receivable, net 33,038 25,894 Inventories 71,163 66,010 Prepayments 1,035 689 Deferred tax assets 4,201 3,242 __________ __________ Total current assets 110,591 96,407 Property, plant and equipment, net 34,973 35,138 Other assets, net 1,473 1,532 __________ __________ TOTAL ASSETS $ 147,037 $ 133,077 ========== ========== LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Current portion of long-term debt $ 1,406 $ 616 Book overdraft 3,657 2,014 Accounts payable 17,603 16,973 Accrued payroll and employee benefits 6,924 6,659 Accrued loss on long-term agreements 2,781 2,781 Other accrued expenses 5,793 3,595 __________ __________ Total current liabilities 38,164 32,638 Long-term debt, less current portion 28,644 26,746 Deferred tax liabilities 4,044 3,149 Deferred compensation payable 508 678 Accrued postretirement benefit 1,608 1,563 Accrued loss on long-term agreements, less current portion 1,353 1,636 Minority interests 1,019 780 __________ __________ Total liabilities 75,340 67,190 __________ __________ Shareholders' equity: Common stock, $1.00 par value; shares authorized, 25,000; shares issued: 1996 11,214, 1995, 11,018 11,214 11,018 Additional paid-in capital 40,653 38,340 Retained earnings 19,890 16,545 Cumulative foreign currency translation adjustment (60) (16) __________ __________ Total shareholders' equity 71,697 65,887 __________ __________ TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 147,037 $ 133,077 ========== ==========
The accompanying notes are an integral part of these consolidated financial statements. - -3- OREGON METALLURGICAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) Unaudited
Three Months ____________________ For the period ended March 31, 1996 1995 ____ ____ CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 3,345 $ 535 Adjustments to reconcile net income to cash used in operating activities: Depreciation and amortization 1,381 1,126 Deferred income tax expense 545 177 Employee benefits paid or payable in common stock 1,307 473 Provision for loss on long-term agreements (283) ---- Minority interests 225 106 Decrease (increase) in: Accounts receivable (7,144) (2,340) Inventories (5,153) (7,140) Prepayments (346) 491 Increase (decrease) in: Accounts payable 630 1,897 Accrued payroll and employee benefits 760 513 Other accrued expenses 2,198 283 Other (24) 45 __________ ________ Net cash used in operating activities (2,559) (3,834) __________ ________ CASH FLOWS FROM INVESTING ACTIVITIES Additions to properties, plant and equipment (1,142) (219) Other (20) (383) _________ ________ Net cash used in investing activities (1,162) (602) __________ ________ CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from revolving credit agreement 46,660 23,537 Payments on revolving credit agreement (44,118) (20,222) Proceeds from long-term debt 177 ---- Payments on long-term debt (31) (3) Book overdraft 1,643 ---- Other ---- 20 __________ ________ Net cash provided by financing activities 4,331 3,332 __________ ________ Effect of exchange rates on cash and cash equivalents (28) (7) __________ ________ NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 582 (1,111) CASH AND CASH EQUIVALENTS: Beginning of period 572 1,636 __________ ________ End of period $ 1,154 $ 525 ========== ========
The accompanying notes are an integral part of these consolidated financial statements. - -4- NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (DOLLARS IN THOUSANDS) NOTE 1. BASIS OF PRESENTATION The interim consolidated financial statements have been prepared by Oregon Metallurgical Corporation ("OREMET") and its subsidiaries (the "Company") without audit. In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments, consisting only of normal recurring adjustments, necessary to present fairly the financial position of the Company as of March 31, 1996, and December 31, 1995, the results of operations; and the cash flows of the Company for the three months ended March 31, 1996 and 1995. The interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto appearing in the Company's Annual Report to Shareholders. The results for the first quarter of 1996 are not necessarily indicative of the operating results of a full year or future years. NOTE 2. ORGANIZATION AND OPERATIONS The Company is one of two U.S. integrated producers and distributors of titanium sponge, ingot, mill products and castings for use in the aerospace, industrial, golf and military markets. As of March 31, 1996, the Company is 32%-owned by the Oregon Metallurgical Corporation Employee Stock Ownership Plan (the "ESOP"). NOTE 3. BASIS OF CONSOLIDATION Titanium Industries, Inc. ("TI") an eighty percent (80%) owned subsidiary operates full-line titanium metal service centers in the United States, Canada, United Kingdom and Germany and produces small diameter bar, weld wire and fine wire. The consolidated financial statements of the Company include the accounts of TI and the Company's wholly-owned subsidiary, OREMET France S.a.r.l. TI's accounts reflect the activities of its wholly-owned subsidiaries, Titanium International, LTD., Titanium Wire Corporation and Titanium International GmbH. All material intercompany accounts and transactions have been eliminated in consolidation. NOTE 4. INVENTORIES
March 31, December 31, 1996 1995 _________ ____________ Finished goods $ 20,243 $ 18,141 Work-in-progress 21,222 19,837 Raw materials 29,698 28,032 ________ ________ $ 71,163 $ 66,010 ======== ========
- -5- NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (DOLLARS IN THOUSANDS) NOTE 5. PROPERTY, PLANT AND EQUIPMENT
March 31, December 31, 1996 1995 _________ ____________ Land $ 1,189 $ 1,189 Buildings and improvements 11,431 11,455 Machinery and equipment 42,453 42,248 Integrated sponge facility 45,641 45,641 Construction in progress 1,737 846 ________ ________ 102,451 101,379 Less accumulated depreciation (67,478) (66,241) ________ ________ $ 34,973 $ 35,138 ======== ========
- -6- PART 1: FINANCIAL INFORMATION ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS The following discussion should be read in conjunction with the Company's 1995 Annual Report on Form 10-K, as amended and the Consolidated Financial Statements and Notes thereto of the Company. The following information contains forward-looking statements which involve certain risks and uncertainties. Actual results and events may differ significantly from those discussed in the forward-looking statements. OVERVIEW The Company reported net income of $3.3 million, or $0.30 per share, for the first quarter of 1996. This level of earnings represents a major breakthrough in the Company's efforts to return to profitability. During the fourth quarter of 1995, the Company reported a net loss of $3.0 million, or $0.26 per share. Increased shipments and pricing across all of the Company's product lines were the primary factors in the Company's improved performance. The Company's financial performance was consistent with the results of other major U.S. titanium producers. The Company's twelve-month order backlog has increased from $48 million as of March 31, 1995 to $134 million as of March 31, 1996. OREMET's backlog is based on firm purchase orders scheduled for delivery during the subsequent twelve-month period. Beginning in the second half of 1995 and continuing to the present, the Company has experienced a significant increase in requests for quotations as well as increased orders and prices on accepted orders. The increase in demand is primarily a result of the recovery in the commercial aerospace market and the growth of the golf clubhead market. Because of the strong demand, the Company has been increasingly selective in the new orders that it accepts. In addition, the Company has delayed opening its first quarter 1997 order book in order to better assess future raw material costs. The twelve-month sales backlog reflects recent customer order placements, but may not be an accurate indicator of annual or quarterly sales volume. RESULTS OF OPERATIONS The following table sets forth certain operating items of the Company's consolidated results of operations as a percentage of net sales for each of the years in the five-year period ended December 31, 1995, and for the quarters ended March 31, 1995 and March 31, 1996.
Year Ended Three Months Ended December 31, March 31, ________________________________________ _____________ (unaudited) 1991 1992 1993 1994 1995 1995 1996 ____ ____ ____ ____ ____ ____ ____ Net sales 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % 100.0 % Gross profit (loss)(1) (5.9) (1.0) 4.9 9.3 10.8 17.3 20.2 Income (loss) from operations(1) (15.7) (10.4) (11.2) (3.5) (0.2) 5.1 10.6 Net income (8.6)% (7.4)% (7.4)% (2.8)% (1.6)% 1.7 % 6.5 % ______________ A provision for a loss on LTAs of $4.4 million was recorded in the fourth quarter of 1995. Gross profit and income from operations, exclusive of this provision, as a percentage of net sales would have been 13.8% and 2.8% in 1995, respectively.
- -7- Quarterly Results of Operations The following table presents the Company's unaudited consolidated quarterly financial data for fiscal years 1994 and 1995, and the first quarter of 1996. Although the Company's business is not seasonal, growth rates of sales have varied from quarter to quarter as a result of the purchase of TI in September 1994, the timing of new products, industry cyclicality and general U.S. and international economic conditions.
1996 1994 Quarters 1995 Quarters Quarter First Second Third Fourth First Second(1) Third Fourth(1) First _____ ______ _____ ______ _____ _________ _____ _________ _____ (in millions) Net sales $ 13.3 $ 14.5 $ 17.0 $ 26.4 $ 30.8 $ 35.2 $ 41.2 $ 39.7 $ 51.3 Gross profit 0.1 0.6 1.7 4.2 5.3 5.3 4.1 1.2 10.4 Income (loss) from operations (1.7) (0.9) (0.6) 0.7 1.6 1.4 0.1 (3.4) 5.5 Net income (loss) $ (1.1) $ (0.6) $ (0.4) $ 0.1 $ 0.5 $ 0.5 $ (0.4) $ (3.0) $ 3.3 ___________________ During the second quarter of 1995, the Company reported a pre-tax charge to income of $1.3 million to reflect the impact of projected conversion costs on long-term agreements which were in excess of selling price. During the fourth quarter of 1995, the Company reported a pre-tax charge to income of $4.4 million to reflect the impact of increased raw material costs on long-term agreements.
Comparison of First Quarter 1996 to First Quarter 1995 Net Sales. Net sales increased $20.5 million, or 66% to $51.3 million in the first quarter of 1996, compared to $30.8 million in 1995. The increase in sales was primarily driven by increased demand and higher prices for both the Company's manufactured and service center products. Of the $20.5 million net sales increase, $10.9 million was the result of volume increases and $9.6 from higher average selling prices. Titanium Sponge. During the first quarter of 1996, the Company's integrated sponge facility operated at near capacity, primarily supplying the Company's internal demand for titanium sponge as well as sales to RMI under a long-term titanium sponge conversion agreement. Sales of titanium sponge and sponge conversion services increased 48% to $3.2 million from $2.2 million for the first quarter of 1996 compared to the first quarter of 1995. Sponge shipments increased 42% and the average sponge price per pound increased 4%. The increase in the average price per pound can be attributed to sales of high purity sponge, which the Company started commercially producing in limited quantities in 1995. The Company projects that it will continue to operate its sponge facility at near capacity with substantially all production being utilized for internal consumption and for supply to RMI (approximately 39% of capacity in 1996). The Company is presently supplementing its sponge production with purchases from other producers. Ingot. Sales of ingot increased 118% to $9.1 million for the first quarter of 1996 compared to $4.2 million for the first quarter of 1995. Ingot shipments increased 79% and the average ingot price per pound increased 22%. The Company operated its melt facilities at near capacity during the first quarter of 1996 and expects to continue to do so for the remainder of 1996. The Company produces ingot for both internal use in its mill products division and for sale primarily to aerospace customers. Mill Products. The Company produces or contracts for outside production a variety of mill products including: billet, bar, plate, sheet and engineered parts. Mill product sales increased 107% to $18.6 million for the first quarter of 1996 compared to $9.0 million for the first quarter of 1995. Shipments of mill products increased 46% and the average price per pound increased 42%. Sales to producers of aerospace components and golf clubheads are responsible for a substantial portion of the growth in mill product sales. Castings. Sales of castings increased 40% to $2.2 million for the first quarter of 1996 compared to $1.5 million for the first quarter of 1995. The Company is operating at a higher production rate in 1996 and is expanding its casting facilities. - -8- Distribution. The Company's service centers market a wide variety of mill products including engineered parts that are manufactured by various producers. During the first quarter of 1996, sales of service center products increased 27% to $16.7 million compared to $13.1 million for the first quarter of 1995. The increase in sales was due to increased shipments and favorable pricing and product mix. Cost of Sales and Gross Profit. Cost of sales for the first quarter of 1996 increased 61% to $40.9 million, compared to $25.5 million in the first quarter of 1995. The primary reason for the increase in cost of sales was increased shipments. The Company's gross profit margin increased to 20.2% for the first quarter of 1996 from 17.3% for the first quarter of 1995, as a result of higher prices and improved production efficiencies. Research, Technical and Product Development Expenses. Research, technical and product development expenses ("RT&D") increased by $0.3 million for the first quarter of 1996 to $0.6 million from the comparable quarter of 1995. The increase is primarily a result of additional employees hired to support the increase in operating activity. The main focus of RT&D is to develop enhanced production procedures, provide customers with required technical support and develop new products and markets. RT&D works jointly on projects with customers, research agencies and universities. Selling, General and Administrative Expenses. Selling, general and administrative expenses ("SG&A") increased $0.9 million, or 26%, for the first quarter of 1996 to $4.3 million from $3.4 million in the comparable quarter of 1995. As a percentage of sales, SG&A decreased to 8.4% in the first quarter of 1996 from 11.0% in the first quarter of 1995. Interest Expense. Interest expense increased $0.1 million to $0.6 million in the first quarter of 1996 compared to the first quarter of 1995, resulting from an increase in borrowing needed to fund expanded operating levels. Provision for Income Taxes. The Company reported a provision for income taxes of $1.3 million, or an effective tax rate of 26% (on income before income taxes and minority interests) for the first quarter of 1996 compared to $0.4 million, or an effective tax rate of 35% for the comparable period in 1995. The difference between the federal and state combined statutory tax rate of 39% and the effective tax rate of 26% for the first quarter of 1996 is primarily due to a change in the Company's deferred tax asset valuation allowance, reflecting the belief that it is more likely than not that the deferred tax assets will be realized by the Company. Net Income. The Company reported net income of $3.3 million, $0.30 per share, for the first quarter of 1996 compared to a net income of $0.5 million, $0.05 per share, for the comparable period in 1995. LIQUIDITY AND CAPITAL RESOURCES Overview Net cash used in operating activities totaled $2.6 million for the first quarter of 1996, compared to $3.8 million for the comparable period of 1995. Increases in sales and the sales backlog accounted for the increased levels of accounts receivable and inventory, which represented the primary uses of cash for the quarter. Working capital increases required to support the sharp increase in operating levels were responsible for the most significant portion of the cash used by the Company's operating activities in 1995. The increase in the amount of cash flow used in operating activities is a trend which began in the second quarter of 1994, consistent with the Company's experience of increasing sales, sales order backlog and production. During the first quarter of 1996, the Company incurred $1.3 million in expenses relating to its Stock Compensation Plans and Savings Plan. Liabilities arising under these plans are satisfied by issuing shares of the Company's common stock. See note 10 to the Company's Consolidated Financial Statements filed with the 1995 Annual Report on Form 10-K. - -9- Net cash used in investing activities totaled $1.2 million for the first quarter of 1996 compared to $0.6 million for the first quarter of 1995. The Company had additions to property, plant and equipment of $1.1 million in the first quarter of 1996. Net cash provided by financing activities totaled $4.3 million for the first quarter of 1996, compared to $3.3 million for the comparable period of 1995. For the first quarter of 1996, $4.2 million was provided from net borrowings on the Company's credit agreements and book overdraft. Review of Significant Working Capital Accounts Inventories. Inventories increased by $5.2 million, or 8% to $71.2 million at March 31, 1996, compared to $66.0 million at December 31, 1995. In addition to an increase in finished goods inventory, increases in raw materials and work-in-process have been made in support of higher production levels. In response to a growing sales backlog, the Company is continuing to raise its production levels. The Company is also experiencing higher raw material and conversion costs, which have increased the cost of the Company's inventory. Accounts Receivable. Accounts receivable increased by $7.1 million, or 28% to $33.0 million at March 31, 1996, compared to $25.9 million at December 31, 1995. The increase in accounts receivable is consistent with the Company's increase in sales volume. Book Overdraft. The Company had a book overdraft at March 31, 1996 of $3.7 million. The book overdraft represents Company checks which have been disbursed and are in transit as of the end of the reporting period. When the checks clear the Company's bank, they are funded by draws on the Company's U.S. credit facility to the extent they are not funded by deposits. Accounts Payable. Accounts payable at March 31, 1996 were $17.6 million, which are comparable to the December 31, 1995 balance of $17.0 million. Accrued Payroll and Employee Benefits. Accrued payroll and employee benefits of $6.9 million at March 31, 1996 was essentially unchanged from the balance at December 31, 1995. Credit Agreement The Company may borrow up to $35 million under the terms of a revolving credit agreement with BankAmerica Business Credit, Inc. ("BABC"). The credit agreement expires in September 1997. The balance outstanding under the credit agreement as of March 31, 1996 was $23.3 million. As of March 31, 1996, interest charged under the credit agreement is at BABC's reference rate plus 1.5% or a borrowing base option based on LIBOR plus 2.5%. As of December 31, 1995, the Company was not in compliance with certain of its financial covenants contained in its BABC credit agreement. The Company obtained a written waiver from BABC on these matters. The U.S. credit agreement was amended as of March 14, 1996 and May 1, 1996 to, among other things, modify the debt to equity ratio covenant and certain other restrictive covenants and to increase the line from $25 to $35 million. The amendments to the covenants were needed for the Company to remain in compliance with certain financial covenants in the U.S. credit agreement in light of increased working capital growth. Titanium International Limited, a subsidiary of TI, has a short-term credit facility with Midland Bank plc, in the U.K., permitting borrowings of approximately L2.3 million (approximately $3.6 million at current exchange rates). The U.K. credit agreement is subject to renewal on December 31, 1996. The balance outstanding under the U.K. credit agreement as of March 31, 1996 was $1.0 million (at current exchange rates). - -10- Capital Expenditures The Company has no material open commitments which obligate it to make future capital expenditures. The Company's 1996 capital plan anticipates that expenditures will approximate $9.0 million. Capital expenditures required to maintain compliance with applicable environmental regulations are included in the Company's capital expenditure plan to the extent that they can be determined. The Company's capital expenditures will be funded by a combination of internally generated cash and external financing. The Company's credit facility with BABC provides that capital expenditures may not exceed $7.0 million for any fiscal year. A change in the covenant to reflect the higher budgeted capital spending amount is currently being discussed with BABC. Income Taxes The Company anticipates that in 1996 it will fully utilize its federal net operating loss carryforwards of $3.5 million and will pay federal taxes on any remaining balance of its federal taxable income. The Company has a State of Oregon net operating loss carryforward of $30.0 million which will limit the amount of state taxes paid in 1996. In addition, the Company pays minimal franchise and income taxes in various states and foreign jurisdictions. Adequacy of Liquidity and Capital Resources The Company's access to borrowing facilities, internally generated cash and capital markets are expected to provide the resources necessary to support increased operating needs and to finance continued growth, capital expenditures and repayment of long-term debt obligations. Non-U.S. Operations and Monetary Assets Approximately 8% of the Company's net sales for the first quarter of 1996 were derived from its service centers in the U.K. and France. Changes in the value of foreign currencies relative to the U.S. dollar cause fluctuations in the U.S. dollar financial position and operating results. The impact of foreign currency fluctuations on the Company was not significant during the first quarter of 1996. Impact of Inflation Inflation can be expected to have an effect on many of the Company's operating costs and expenses. Due to worldwide competition in the titanium industry, the Company may not be able to pass through such increased costs to its customers. - -11- SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this amendment to the report to be signed on its behalf by the undersigned thereunto duly authorized. OREGON METALLURGICAL CORPORATION Registrant Date: August 14, 1996 /s/ Dennis P. Kelly ________________________________________ Dennis P. Kelly Vice President, Finance and Chief Financial Officer* * Signing on behalf of the Registrant and as Chief Accounting Officer EX-27 2
5 This schedule contains summary financial information extracted from the Company's report on Form 10-Q for the period ended March 31, 1996, and is qualified in its entirety by reference to such financial statements. 1,000 3-MOS DEC-31-1996 JAN-01-1996 MAR-31-1996 1,154 0 34,220 (1,182) 71,163 110,591 102,451 67,478 147,037 37,864 28,644 0 0 11,214 60,483 147,037 51,309 51,309 40,948 40,948 5,132 0 634 4,595 1,250 3,345 0 0 0 3,345 .30 .30
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