CUDAHY, Wis., July 29 /PRNewswire-FirstCall/ -- Ladish Co., Inc. (www.ladishco.com) (Nasdaq: LDSH) today reported 2009 second quarter sales of $84.7 million in comparison to $119 million of sales in the second quarter of 2008. The Company reported net income of $0.65 million, resulting in diluted earnings per share of $0.04 for the second quarter of 2009, versus a net income of $6.2 million, or $0.43 per share, in the same period of 2008.

"Ladish results for the second quarter of 2009 reflect the rapid decline in demand in virtually all of the markets we serve. The $84.7 million of net sales in the period was 19.9% lower than first quarter 2009 levels due to the production delays at the airframers, schedule adjustments and destocking of inventory from the jet engine manufacturers and a significant slowdown in the industrial portion of our business," says Kerry L. Woody, Ladish's President and CEO. "The step-down in sales placed severe pressure on second quarter earnings and the entire first half. In the first half of 2009, we have experienced a number of significant challenges to earnings, key of which include a $6.3 million decline in by-product sales, a $2.2 million increase in pension expense, a $1.0 million charge for employment reductions and separations, a $1.1 million increase in depreciation, and $1.5 million in added interest expense. On a positive note, through ongoing cost reductions and working capital improvements, we generated approximately $37.2 million in operating cash flow in the first half which allowed us to eliminate $30.6 million of short-term debt."

"Looking forward for the remainder of 2009, we expect our markets to remain challenging as world aerospace market demands remain anemic and we work our way through the current recession," remarked Woody. "In response to this challenge, we will continue our drive to reduce costs to stay ahead of the downturn and direct our focus to available opportunities. During the course of our 104-year history, Ladish has experienced a number of economic downturns and emerged from each one fully positioned to take advantage of the recovery which followed. We are confident that continued cost-out actions will provide incremental gains as the aerospace and industrial markets recover."

                                 For the Three Months     For the Six Months
                                     Ended June 30           Ended June 30
                                ---------------------------------------------
    (Dollars in thousands,
     except per share data)          2009        2008        2009        2008
                                     ----        ----        ----        ----
    Net sales                     $84,686    $118,959    $190,425    $236,156
    Cost of goods sold             78,349     103,452     176,764     205,828
                                   ------     -------     -------     -------
    Gross profit                    6,337      15,507      13,661      30,328
    SG&A expense                    4,273       4,841       8,315       9,244
                                    -----       -----       -----       -----
    Operating income                2,064      10,666       5,346      21,084
    Interest expense               (1,321)       (241)     (2,166)       (680)
    Other                             101        (475)       (333)       (884)
                                      ---       -----       -----       -----
    Pretax income                     844       9,950       2,847      19,520
    Income tax provision              205       3,711       1,008       7,281
    Noncontrolling interest in
     subsidiary                       (11)         20         (11)         37
                                     ----          --        ----          --
    Net income                       $650      $6,219      $1,850     $12,202
                                     ====      ======      ======     =======
    Basic earnings per share        $0.04       $0.43       $0.12       $0.84
    Basic weighted average
     shares outstanding        15,901,216  14,559,467  15,901,216  14,551,912
    Diluted earnings per share      $0.04       $0.43       $0.12       $0.84
    Diluted weighted average
     shares outstanding        15,901,539  14,562,338  15,901,393  14,554,954


    ---------------------------------------------------
                                   June 30 December 31
    (Dollars in thousands)           2009        2008
                                      ----        ----
     Cash and cash equivalents      $4,070      $4,903
     Accounts receivable, net       58,453      78,673
     Inventory                     107,936     129,307
     Net PP&E                      197,902     199,269
     Other                          94,132      97,314
                                    ------      ------
     Total assets                 $462,493    $509,466
    ---------------------------------------------------
     Accounts payable              $27,337     $39,020
     Accrued liabilities            17,702      23,388
     Senior bank debt                    -      28,900
     Senior notes                   90,000      90,000
     Pensions                       71,828      70,825
     Postretirement benefits        32,206      33,256
     Equity                        223,420     224,077
                                   -------     -------
     Total liabilities & equity   $462,493    $509,466

Ladish will host a conference call on Thursday, July 30, 2009 at 9:00 a.m. EDT to discuss the second quarter performance for 2009. The telephone number to call to participate in the conference call is (866) 551-3680, then enter PIN Code 5270297# when prompted.

Ladish Co., Inc. is a leading producer of highly engineered, technically advanced metal components for the jet engine, aerospace and general industrial markets. Ladish is headquartered in Cudahy, Wisconsin with operations in Wisconsin, California, Connecticut, Oregon and Poland. Ladish common stock trades on Nasdaq under the symbol LDSH.

This release includes forward-looking statements that are made pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected in them. These risks and uncertainties include, but are not limited to, uncertainties in the company's major markets, the impact of competition, the effectiveness of operational changes expected to increase efficiency and productivity, worldwide economic and political conditions and the effect of foreign currency fluctuations.

SOURCE Ladish Co., Inc.