Armstrong posts $1.8 million Q4 operating profit
LANCASTER, Pa.--Ceiling and flooring maker Armstrong Holdings Inc. (NYSE:ACK) posted a 17 percent increase in operating earnings, spurred in part by demand for its easy-to-clean vinyl and laminate flooring. Fourth quarter sales ticked up 2 percent to $736.5 million, with flooring sales climbing 12.5 percent, cabinet sales moving 11.5 percent and wood flooring sales rising 1.8 percent.
The Lancaster, Pa.-based Armstrong said fourth-quarter operating earnings hit $1.8 million, which compares to a $2.1 million operating loss a year ago. Armstrong posted a net loss of $800,000, or 2 cents a share in the quarter compared with a net loss, which included reorganization costs, of $100.3 million, or $2.48 a share a year ago.
Armstrong took a $5.5 million charge for a revision of management's expectation for workers' compensation claims in the current fourth quarter, which included $6.3 million in Chapter 11 reorganization costs, compared to $103.3 million in the fourth quarter of 2000.
Armstrong World Industries (www.armstrong.com), an Armstrong Holdings unit that makes floor coverings and acoustical ceilings, filed for bankruptcy in Dec. 2000 in order to resolve its liability for asbestos personal injury claims.