Tr aT 8 oe 88 eecent Paice ‘oy 0 18 {Bo NMIF (rae Tis tea go ae ea ae '97 "oe tan Te oy ea 3 105 cabo ge alee sn Ee Rea NME[88°. 3.7.94 FETED ae ie Storaspit Tea TY [Seve | Mitt Ln Although earlier it had appeared that 1986 Factual material is obtained from sources believed to be reliable, Ls. Pe he re Ee fauna en oe ee ewe Bk ARERR me ie dk Bys i6 32 ih a RTE rt he th aS 1983) 772 895 919 938 | 352.4 Becjae Ss 6 a [uy Belts fe 9 ons lana Se is mnt 1a Js [ges ier i! it i as" |e cr maar er [si nn rg | ae ie3/ 422322838 | ae) bale Boe Ra ben 8 kb [i Be 3 ain ae x [Se ul Soc a Yo fe [ao oe fa mle oe |e (oP els BB he PA aa : matt [ee 8 thar ft ae 140{ meas System. This is now bucked ‘was going to be a reasonably good year, but for costs related to mismanagement of the company's German operations, what seemed to be a cyst has turned out ‘to be a turmor. ‘One such problem is in the Wilson Ma- chine subsidiary, which ran up a big loss while handling a sizable job for General Motors. Wilson apparently was so interested in getting the contract thatit didn't take full account of its complexity. ‘Another is in the truck cab operations, which were shut down during the fourth quarter, thanks to a delayed model intro- duction at Ford, This also wiped out much output during the current quarter. ‘Third, but less important, is a further delay in the rollout of the Smart Busi pt midyear the earliest duet dificultis in {ing the software up to snuff. We suspect fat the SBS won tbe the big hit that Smart: Scope was several years ago. Management's plan to get the company back on its feet suggests that In ings, Excludes onire] Dividend payment dates ln. 6 Apr. sf anoibon iv 5, $78 ll, Bagh TO) Company "70. 6. Nest earnings) July, Get. © Stock dvicende: B74 '82} millions, May, (B) Next videnal 83, 84,'85: au. °73, 72; 3, 70, (Cnc vider BETAS inettonal Becinne 145.7 PROIEETONS SERN aos ane soe fe eal Boe 8 F ot] we 25 isang Be i coo all ulna ald la tk —] i 970 TS7TTS7E TOTS To7a, 19751976, 19771578. 1979 1980, 1941 1982, 1983, 1986, 1985, 1986, 1987] « VAIUEUNE We [65 7E) D318 24647 2850 9741 4205, 424 4951 8145) 6489 5619) 5077) S258 48.27) 4240) 41.16) 44.11 40.0 (595 | Sale perch 7130 N05 124123, 169) 148) 145, 189, 211) 226 243 196) 212 870) 157) 228) 261 a5 | 245 "Cuhflow'pwah | 350 76285 -BO 8487.19, AST) 145, 169 1.40) 1841 dL.77) 7B 143, 1:82 41.23 | 1.40 | Earingspersh §— wl 2.20 og 2a, neat 50, |_| 88) 30,40) 80) 56) 58 | Dv teDectdpersh | 0 Tino “or Beam MeyTge 203 117) “89) ~ Sef aet 1.61” 385" 795 | cap Sogo || | aa 74 af0, 884, $03, 950, 971, 1069, 1179, 1228 y189) 1308, 189, 1181, 1237" 1295 9190 1255 | Bok aveperah ml 1740 494,501,624) 5255.19, 518” 532 545° 548° 6.11) G87, O78 681 812 842) 9.05 B50 7.70 | CommonShsOutsty wi 7.70 1387160" 177/78 eal Gs) 7 O83) 79 83)! U7! 08) 8a hho Ral | S102, 121) 78 a1) a7) ft} 7) a8 05143) ~~) 150) 88) 8) ee PE Ra aN UE UE) gs, cot 548) 40x) 08) 95%. 97% 62%, 578i SoM. 228) 26%) 2% 27%) __| ANAM Ove ld ee tee sir sso. mus. | 2053 2004) 3008; 343.2) 3488) 362.8) 818;3) 982.4 3485) 999.2 423.2 460] Sales (Sil) eta Bett sas: Due inSYress00 mil | Tay) ‘ges, 798, 89% 74%, 78K 8K, 62%, 83%/ Aas 20m | 43% | Opnlng Magn inc 8253 rl capitalized leases. ag” ay 40” ey!” ae S770) 66" 63! 7.0) 76) #2! Depreciation Smil) imran oreo: 8x tot tore 8s G0 Gs) 10206 67 a118\ 62) 128) 166) 096 _ sn, Ne Prot (Sil) |coverage: 3.3%) 117% of Cap't) 39.5% 27.8%) 95.3% 96.3% 111% ae —~— /271K!2E9% 260% NMF 90.0% | Income Tax ate isses UapiazeeAnnualeniss oomu | 25% 28%, 288, 0% 25% 24% WME LEK, 37% 42% NMF 29% Nel Pro epee Lepela 61 bani. e962. mnain'84 | 95 856 722) 791) 75.2 684 622 694) 775 97.4) 66.0, 86.0| Working C: Pia Seen senda a Bveseorms. | S33 350) 472, 52, 486 465) 560) 125) 283, 620] 57.0/ aR0) Leen tn k eure on seve 2 ann aa.si75 PM: | 565 877. 660) 752, 317.887, 716 968) 1041. 116mg | _yrq| Re Math Cat) liner 51887) ea cr Cant | 87% 102% 100% 100% 62% 77K NMF 58% 104% 10.1%) AME 7.5%] % tamed Total Cap Meeartan Sack .320,000 she, terscot canis 117%. 128% 12.68 126% 108% 98%) NMF 6.4%. 1248 16.3%1 NM jgm.0ng | Earned Met Worth ‘gomiliuiyditessee| | 92% 99% 87x B18 BOR 47% NWF 39% SO8/1D4%| AME GO% 5 Raed Comma) 80% POSTON see rows sows] 29% 364 (0% 424525 NMF,_ 388 “0%, SM Divas Net Prt 36% I 3 14 19.6] BUSINE: en Group, we. produces online test nat Svide 2756 al iota. Insiders own about 10% | 73 583 | cqupment for OEM apolcasot,sograats equipment for_cfeammon. Wagecorts 310 saler Het 8 0Demptovees, ivenoryet 821 1008 100.8 he ahermer, garage tool reslacament port, two¥ey 4087 Blochoers. "8 deprecation rly: 7.7 Eeumated omer 733 33] todrontnnss eters and vsator ces tuckeavs and pit oe: 8 years Chima, Prencore & CEO. WererB euront Assets 1327 167 “Zan | Lowen carwash sytem ie whos bleicnrs and aig Kesinger ne Deleware, Adress: 83 Boas Hollow Roe, Neca Poetic. aro srg 201 [ mortoqipmaen Helo domeste pate, 24 orign ita Mele, NY T1247. Tel. 5162983800. cer | be ve 383 [Allen Group's problems seem to be alot efficiencies are widespread. The plan Ress ~ E 29| worse than we had previously believed. includes # Overhead reductions that are expected to save almost $2 million per quarter. ® Shutdown of five marginal facilities. ‘An undefined restructuring that appears to emphasize operations with at least near- leadership positions and prune those not likely to be better than also-rans. * ® A buyback of common shares that will reduce the size of the issue about 20% from the mid-1986 peak. Allen's taken on a tough assignment, one whose payoff is neither assured nor likely to be of great magnitude. As we see ‘the significant components are the poten- tial elimination of weak operations and the reduction in common shares. If operations fare gotten rid of, growth will depend on whats lefl and what, ifanything, Allen adds by internal development or acquisition. ‘That, at best, is vague. By contrast, the buy- back i fie, bu it's going to take money, which most likely will mean one or more trips to the debt market and could well delay corporate growth. All this considered, we advise: Look, but don't touch, ‘N.Russell Wayne 7 B B io Financial Swength Stock’s Brice Seay Price Growin Persitance Enminge Predictabiy publisher is not resconsible fer any errors or omissions contained herein. ce CCCCééééeé........ ee