On The Block p. 34

By: MARK FITZGERALD TILL STRUGGLING AFTER two bankruptcies and rigorous downsizing, AM International is considering putting all or part of its company up for sale.
AM International officials announced last month that it asked financial adviser Bear, Sterns & Co. to study financial and strategic alternatives, including selling its remaining subsidiaries, or the entire company.
Earlier this year, AM sold three subsidiaries in Europe at a loss. In 1995, it eliminated subsidiaries in Germany and Australia. Closer to home, the company sold its headquarters and flagship factory in Mt. Prospect, Ill., and moved to more modest quarters in nearby Rosemont.
AM underwent bankruptcy reorganizations in 1981 and 1993. In an April 16 filing with the Securities and Exchange Commission, AM said it was negotiating to loosen some restrictions on the revolving credit agreement that ties spending to income goals.
It said "current projections indicate that the company may not meet future income-related restrictive financial covenants."
AM also disclosed in the filing that it had a loss of $12.9 million on sales of $177.4 million in the first half of its current fiscal year. A year ago, the company showed a $2.4 million profit on sales of $239 million.
# Editor & Publisher n June 15, 1996


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