Summa Industries Announces Quarterly Cash Dividend; Extension of Line of Credit; Further Delay in Real Estate Deal
August 09 2006 - 8:00AM
PR Newswire (US)
TORRANCE, Calif., Aug. 9 /PRNewswire-FirstCall/ -- DIVIDEND Summa
Industries (NasdaqGM:SUMX) announces that its Board of Directors
has declared a quarterly cash dividend of $.06 per share on the
Company's common stock, payable on or about September 20, 2006 to
stockholders of record at the close of business on September 8,
2006. LINE OF CREDIT Summa's principal bank has extended the
expiration date of the Company's line of credit to June 1, 2008.
The outstanding balance on the line, which was reported as a
current liability in the Company's report on Form 10-Q for the
quarter ended May 31, 2006, will be reported as a long-term
liability at August 31, 2006. REAL ESTATE Summa previously
announced that it entered into an agreement to sell a vacant
factory site in Orange County, California to a real estate
developer for approximately $5 million. After numerous delays, the
sale was most recently scheduled to close in August 2006. The
developer has encountered further delays, as a consequence of
which, the sale has been further delayed until November 2006. As
the transaction is subject to several contingencies, primarily
governmental approvals and rezoning for residential use, there can
be no assurance that this particular sale will be completed or the
timing thereof, if it is completed. Statements in this news release
which relate to future plans, financial results or projections,
events or performance are forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended,
and fall under the safe harbor. These forward-looking statements
include, but are not limited to, statements or implications
regarding future dividends, the future indebtedness and the
classification thereof on the Company's balance sheets, and the
plans of the Company to sell real estate and the timing of and
expected value to be realized from such a sale. Actual results
could differ materially from those anticipated in the
forward-looking statements as a result of a number of factors,
including, but not limited to, the inability of the Company to pay
dividends or the subsequent decision not to declare dividends, a
breach or default by the Company of any loan obligations, the
inability of the Company to divest the real estate, further delays
in the sale process, the discovery of unanticipated contingencies,
unforeseen changes in financial markets or real estate markets and
other risks and uncertainties described in detail under "Risk
Factors" in Summa's Annual Report on Form 10-K for the fiscal year
ended August 31, 2005. Summa Industries manufactures proprietary
plastic components for industrial and commercial markets. For
further information, contact James R. Swartwout, (310) 792-7024; ;
http://www.summaindustries.com/ DATASOURCE: Summa Industries
CONTACT: James R. Swartwout of Summa Industries, +1-310-792-7024 or
Web site: http://www.summaindustries.com/
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