Seed company to post 1-year loss of $47 mil.

Wednesday, Sept. 29, 1999 | 11:04 a.m.

HENDERSON -- AgriBioTech Inc. said it will report a loss of about $47 million to $51 million, or $1.15 to $1.25 per share, on sales of about $370 million for the fiscal year ended June 30.

This compares to net earnings for grass the seed company of $400,000 or 1 cent per share on sales of $205 million for fiscal 1998. Agribiotech said $35 million to $39 million of the loss occurred in the fourth quarter because of a restructuring charge, merger integration costs, an extraordinary loss on debt redemption and write-offs on inventory and receivables.

"This 1999 loss is not indicative of future results due to the significant amount of unusual items," said Chairman and Chief Executive Richard Budd. "Fiscal 1999 was a year of integration and significant organizational change, which prepared us for the future."

In a bid to consolidate its industry, AgriBioTech has acquired 34 companies the past few years. In a bid to cut expenses by $14 million per year and return to profitability, AgriBioTech this summer said it's closing 33 facilities around the country and cutting 300 jobs.