Reinhold Industries Announces First Quarter 2004 Financial Results

Reinhold Industries Announces First Quarter 2004 Financial
Results 


SANTA FE SPRINGS, Calif., May 6  /PRNewswire-FirstCall/ -- Reinhold Industries,
Inc.  of Santa Fe Springs, California, today announced results for the first
quarter 2004.

First quarter 2004 revenues were $16.9 million, up $0.5 million (3%) from first
quarter 2003.  Sales increased 18% in the Aerospace business unit due to
additional shipments of rocket nozzles related to the National Missile Defense
Program.  Sales for the CompositAir business unit decreased 26% compared to
2003 due to continuing severe economic problems in the commercial airline
industry.  Sales at NP Aerospace increased by 6% compared to 2003 due primarily
to favorable currency exchange rates. Sales increased 5% from 2003 in the
Commercial business unit due to additional shipments of in-ground lighting and
water filtration products.  Sales decreased 3% at the Bingham business unit.

Net income for the first quarter 2004 was $1.2 million, or $0.37 per share,
compared to net income of $1.5 million, or $0.50 per share in 2003.  Earnings
per share computations reflect a 10% stock dividend effective May 29, 2003.

"The change in profitability was due primarily to two factors," said Michael T.
Furry, President and CEO of Reinhold.  "In 2003, NP Aerospace recognized a
significant profit on a program that did not occur again in 2004. In addition,
CompositAir's sales were reflective of the airline industry's continuing
financial difficulties.  However, we exceeded our consolidated budget for the
quarter and expect full year 2004 results to be favorable."

This news release contains forward-looking statements as defined in the Private
Securities Litigation Reform Act of 1995.  Such forward-looking statements
involve risks and uncertainties, and Reinhold's actual experience may differ
materially from that anticipated in such statements.  Factors that might cause
such a difference include those discussed in Reinhold's filings with the
Securities and Exchange Commission, including but not limited to its most
recent proxy statement, Form 10-K and Form 10-Q.

Reinhold Industries, Inc. is a manufacturer of advanced custom composite
components, sheet molding compounds, and graphic arts and industrial rollers
for a variety of applications in the United States and Europe.

                Reinhold Industries, Inc. (NASDAQ:RNHDA)
              (Amounts in Thousands, Except Per Share Data)

                                  1st Quarter Ended     1st Quarter Ended
                                       03/31/04              03/31/03

   Sales                               $16,892               $16,375
   Net Income                           $1,179                $1,524
   EPS                                   $0.37                 $0.50


DATASOURCE: Reinhold Industries, Inc.



CONTACT: Judy Sanson of Reinhold Industries, Inc., [phone]

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