CLEVELAND (AP) ¿ Nacco Industries Inc. said Friday that it lost $428.2 million in the fourth quarter as it took a hefty write-down. Nacco, which markets household goods under the Hamilton Beach and Proctor Silex names, reported a loss of $51.69 per share. That compares with a profit of $51.9 million, or $6.27 per share, a year earlier. The company said the retail markets for its Hamilton Beach and Kitchen Collection have declined as consumers have reduced purchases to save money during the recession. However, it expects the segments' results will improve over the course of 2009, especially at Kitchen Collection, where the new Le Gourmet Chef store format is in place and no further large product clearance program is needed, it said. Nacco said it took a $435.7 million write-down of goodwill and some other intangible assets because its stock price at the end of the year was "significantly below" its book value of tangible assets and book value of equity. Quarterly results also included a $15.3 million charge related to the deferred tax assets for the European operations of its wholesale and retail units.
Excluding the charges, earnings were $18.7 million, or $2.26 per share. For the period ended Dec. 31, revenue dropped about 13 percent to $949.4 million from $1.09 billion amid a deepening recession. Nacco posted a full-year loss of $437.6 million, or $52.84 per share, compared with profit of $90.4 million, or $10.93 per share, in the previous year. Adjusted profit was $23.8 million, or $2.87 per share. Annual revenue edged up 2 percent to $3.68 billion from $3.6 billion. Nacco, which also provides industrial and other services, said it has taken several steps to meet the challenges of the weak economic conditions, including eliminating jobs, freezing wages and reducing salaries for employees at its consumer and capital-goods subsidiaries and its headquarters in Cleveland.