TRUMBULL COUNTY RTI International Metals reports net loss of $2.8M
Mill shipments increased in 2004 despite a yearlong labor dispute in Niles.
NILES -- RTI International Metals Inc. reported a net loss of $2.8 million for 2004, or 13 cents per share, on sales of $214.6 million.
The net loss compares with a net income of $4.7 million, or 23 cents per share, in 2003 on sales of $195 million.
Both 2004 and 2003 included payments under a supply agreement that required minimum purchases by The Boeing Co., resulting in other income of about $9 million and $8 million, respectively.
Pretax charges in 2004 included $6.5 million in expenses related to the implementation new Sarbanes-Oxley financial disclosure requirements, a $1.2 million charge related to inventory reductions made during the year and a $1.3 million charge related to the discontinuance of the company's welded tubing operations.
The company also reported a loss of $3.9 million, or 18 cents per share, on sales of $60.9 million in the fourth quarter of 2004.
The quarter included $6.1 million of the pretax expenses the company reported for the year. The same period in 2003 resulted in a net income of $1.9 million, or 9 cents per share, on sales of $45.7 million.
Mill product shipments for the year totaled 6.6 million pounds compared with 5.9 million in 2003. The company praised the management at its Niles plant who operated RTI's principal mill product facility during a yearlong labor dispute that was settled in December.
Lower product prices, partially offset by cost improvements, resulted in an $11.7 million operating loss for the titanium group in 2004.
Timothy G. Rupert, president and CEO, said RTI's 2004 results "reflect a mix of factors, some of which were anticipated and managed well, such as low order volumes from commercial aerospace at deteriorated prices and the work stoppage at the Niles plant, while others were largely outside of the company's control, like the high initial cost of Sarbanes-Oxley 404 compliance."