Burlington Sets Sights On Future
George W. Henderson III, chairman and CEO of Burlington Industries Inc., Greensboro, N.C., reports
the company has made substantial progress in its restructuring initiatives over the past year. "We
believe we are on track to emerge from Chapter 11 in mid-2003," he stated.
In its year-end report for fiscal 2002, which ended September 28, Burlington stated it had exceeded its key financial goals, lowering net debt by $173.3 million over 2001 debt. Also, its $100 million credit line is fully available, and its year-end cash and cash equivalents totaled $151.5 million, compared to $87.5 million at the end of fiscal 2001.
A net loss for the year of $100.8 million reflects pre-tax restructuring and reorganization charges of $186.8 million, partially offset by tax benefits worth $146.5 million. Net sales of $993.3 million reflect Burlingtons divestiture of underperforming businesses and reductions in fabric manufacturing capacity, which resulted in higher capacity utilization and an improved product mix.
"Although we still have much work to do to develop our new business model,I am optimistic about the future of Burlington and the momentum we are building," said Henderson.