Owens-Illinois narrows loss on reduced costs

posted: 13 DAYS 8 HOURS AGO

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PERRYSBURG, Ohio -Glass manufactuer Owens-Illinois Inc. said Wednesday its losses narrowed in the fourth quarter on lower costs, including payouts from asbestos-related lawsuits.

For the period ended Dec. 31, 2009 the company reported a loss of $159.3 million, or 95 cents per share, compared with $228.6 million, or $1.38, in the prior-year period.

Adjusted for one-time charges the Owens-Illinois said it would have earned $84.2 million, or 49 cents per share, up from $76.2 million, or 45 cents per share.

Sales climbed to $1.9 billion from $1.7 billion on improved pricing and favorable foreign currency rates.

The company continued efforts to consolidate assets by closing plants, resulting in cost savings of $18 million in the quarter and $122 million for the year. The company said it reduced its glass inventory by 11 percent since Dec. 2008.

For the full-year, the Owens-Illinois earned $161.8 million, or 95 cents per share, down from $251.5 million, or $1.48 per share.

Chief Executive Al Stroucken said the company would incur restructuring costs in 2010 as it continues reducing production, though he added, "long-term profits will improve considerably once capacity has been realigned."

Company shares fell $1.15, or 3.9 percent, to $28.50 in regular trading, but rose $1 to $29.50 in afterhours trading.

2010-01-27 18:25:46