American Standard Companies Inc., a manufacturer of plumbing products, announced third quarter earnings of $1.23 per diluted share, the same as third quarter last year, on revenues of $1.89 billion, down 4% from the record-setting quarter a year ago. These results are consistent with the company's September estimates. Free cash flow for the quarter was $101 million, compared with $18 million a year ago. The company's plumbing products division had second quarter sales of $453 million, up 1% (up 3% in local currencies) over last year. Segment income was $43 million, an increase of $3 million or 8%. In local currencies, segment income increased by $4 million or 10%. Margin increased .6 percentage points to 9.5%. Increased sales results in U.S. retail markets and improved productivity, particularly in Europe, contributed to the improved segment income.
In a related release, the company announced that due to the flat third-quarter earnings, it was cutting its work force by about 1,000 salaried employees.