Western Resources Announces Third-Quarter Results;Announces Plans to Purchase Protection One Debt.
TOPEKA, Kan.--(BUSINESS WIRE)--Nov. 13, 1999--
Western Resources (NYSE:WR) today announced third-quarter operating earnings, excluding one-time and non-operating charges, of $1.02 in 1999 versus $1.03 in the third quarter of 1998. Earnings for the quarter were $0.72 per share for 1999 versus $1.08 per share for third quarter 1998. Business line results follow:
Electric Operations
Electric operations contributed operating income of $1.28 per share in the 1999 third quarter versus $1.08 per share a year earlier.
Natural Gas Holdings
The natural gas business, represented by Western Resources' 45% ownership in ONEOK (NYSE:OKE), contributed $0.12 in earnings in the 1999 third quarter compared with $0.10 per share of earnings in the 1998 third quarter.
Monitored Services
Monitored services operations, represented by the company's 85 percent ownership of Protection One (NYSE:POI), resulted in a $0.27 per share loss from operations in Western Resources' third-quarter 1999 earnings.
The monitored services results for the third quarter were impacted by a change in the accounting principle used to amortize customer accounts, a gain recorded on the sale of the Mobile Services Division and other non-recurring or non-operating items. The net impact of these items reduced third-quarter earnings per share by an additional approximate $0.26.
Protection One has received an extension of the covenant waiver on its revolving credit facility to December 3. Protection One continues to work closely with the banks on additional waivers or amendments to its revolving credit agreement.
Other
Other operations, net of unallocated debt, resulted in an $0.11 per share loss for the company in the third quarter compared to an $0.11 per share loss in the same category in the third quarter 1998.
In addition to operating earnings, Western Resources incurred a $0.02 per share loss from corporate-owned life insurance in the third- quarter 1999 compared to a $0.01 gain in third-quarter 1998. Western Resources also recognized $0.02 per share non-operating loss primarily related to its other investments, which was consistent with 1998 third-quarter results.
Purchase of Protection One Debt
Western Resources also today announced that it may, from time to time, repurchase Protection One non-convertible debt. Western Resources indicated that it may spend up to $50 million for this purpose.
