ICS Magazine

Armstrong Reports Weak Q4 Numbers; Names New S.V.P./CFO

March 29, 2001
Lancaster, Pa. (Reuters) -- Building materials company Armstrong Holdings Inc., which filed for bankruptcy protection in December due to rising asbestos-related liabilities, says weaker sales and higher raw material and energy costs helped cause a net loss of more than $100 million for the fourth quarter.

The Lancaster, Pa.-based company said it posted a net loss of $100.3 million, or $2.48 per share, in the quarter ended Dec. 31 vs. a steeper net loss of $178.5 million, or $4.46 per share, a year ago. Sales in the fourth quarter dropped to $659.1 million from $722.8 million a year ago, the company said, led by a 26 percent decline in floor coverings sales.

Chairman Michael Lockhart said in a statement that he expected volume and pricing pressure to continue into 2001.

Additionally, Armstrong has appointed Leonard Campanaro, 53, senior vice president and chief financial officer, replacing E. Follin Smith, who announced her resignation effective March 30th to pursue other professional opportunities.

Campanaro was the former president and chief operating officer of Harsco Corp., a $1.8 billion, publicly-traded industrial-products company based in Camp Hill, PA. Campanaro joined Harsco in 1980 and held a series of senior management posts including that of senior vice president and chief financial officer from 1992 to 1997.

He will begin his new duties at Armstrong on April 2nd.