Westinghouse says it plans no more layoffs $171 million profit reported for quarter

January 18, 1992|By Timothy J. Mullaney

Westinghouse Electric Corp.'s profits stayed weak during the last three months of 1991, but the Pittsburgh-based giant -- Maryland's biggest manufacturing employer -- told analysts it is finished with the layoffs that have eliminated 2,500 jobs in Maryland.

"They told us this morning that the layoffs are completed, that they're finished," said Judy Meehan, an analyst who follows Westinghouse for Parker Hunter Inc., a Pittsburgh-based brokerage firm.

Westinghouse Chairman Paul E. Lego tried to bring out the bright side of the company's results. "Despite the adverse conditions of 1991, the corporation produced close to a billion dollars in operating profit exclusive of special charges," Mr. Lego said in a statement.

Westinghouse said it earned $171 million in the fourth quarter of 1991, or 51 cents a share, and lost $1.086

billion for the year. In 1990, the company lost $449 million in the fourth quarter, also because of real estate problems, but made a $268 million profit for the year.

The company's operating results for all of last year -- excluding the billion-dollar-plus loss on bad real estate loans in the third quarter -- were off sharply because of recessions in the United States and abroad.

"I don't think there were any real surprises" in the fourth-quarter report, Ms. Meehan said. She had expected Westinghouse to earn about

45 cents a share for the quarter.

But other analysts had been more optimistic, according to Zacks Corporate Earnings Estimator, a data base publishing service. The mean estimate of nine analysts who had shared their forecasts with Zacks had been 60 cents a share, with a high estimate at 68 cents.

Wall Street took out its disappointment on Westinghouse's stock, which fell 75 cents to close at $18.75.

Fourth-quarter results for Westinghouse's Electronic Systems Group, which is based in Linthicum,were down "substantially," Westinghouse said. Specific figures for the division weren't released.

The group, which gets about 70 percent of its revenue from defense contracts, employs about 12,800 people in Maryland.

Three months ended 12/31/91

.. .. Revenue .. ... ... ..Net .. ... ... .. Share

'91 3,417,000,000 .. .. .171,000,000 .. ..0.51

'90 3,703,000,000 .. .. (449,000,000) .. (1.53)

change..-7.7 .. .. .. .. ..N/A .. .. .. .. ..N/A

12 months ended 12/31/91

.. .. Revenue .. ... .. .. Net .. .. .. .. ..Share

'91 12,794,000,000 .. .. (1,086,000,000) .(3.46)

'90 12,915,000,000 .. .. 268,000,000 .. ..0.91

% change -0.9 .. .. ... .. N/A .. .. .. .. ..N/A

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