Collins & Aikman Corporation has reported a loss of US67 cents per share in the third quarter of 2004, which included after-tax charges for restructuring and long-lived asset impairments and loss on early extinguishment of debt of $25.1 million (or 30 cents per share).

In the comparable 2003 quarter, the company made a loss of 38 cents per share, which included after-tax charges for restructuring and long-lived asset impairments of $16.0 million (or 19 cents per share).

Third quarter 2004 net sales were $864.8 million.

C&A chairman and CEO David Stockman said in a statement: "For the fifth consecutive quarter our EBITDA performance, excluding restructuring and impairment charges, was up from the prior year on a comparable basis.

"This was achieved despite the headwinds from increased commodity costs and OEM production cuts. The savings from the restructuring programme that began in the third quarter of 2003 has generated significant fixed cost reductions."

The third quarter 2004 pre-tax restructuring charge of $9.0 million included costs associated with additional actions to reduce overheads, further reduce salaried staff and streamline the senior management team world-wide.

This restructuring is expected to further reduce the company's costs by approximately $20 million when fully implemented.

For the nine months ended September 30, 2004, the company reported sales of $2,968 million compared to $2,971 million for the comparable period of 2003 and a net loss of $108.6 million or $1.30 per share, which included $61.7 million (or 74 cents per share) of after-tax charges for restructuring and long-lived asset impairments and loss on early extinguishment of debt.

For the comparable 2003 period, the net loss was $47.6 million or 57 cents per share, which included after-tax charges for restructuring and long-lived asset impairments of $33.1 million (or 40 cents per share).

During the third quarter of 2004, the company completed the refinancing of its senior subordinated debt and senior credit facilities.

Primarily due to lower third and fourth quarter Big Three NAFTA production, C&A now expects full year 2004 sales to be approximately $3,875 million, reflecting a $25 million decline from plan in the third quarter and an approximate $100 million reduction in fourth quarter revenue.

Earnings per share before restructuring and impairment charges and loss on early extinguishment of debt is now projected at a loss of $0.60 to $0.65 per share. Full year 2004 capital spending levels are now projected at approximately $155 million.

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