Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!americast.com!americast.com!americast-post Newsgroups: americast.ibd From: americast-post@AmeriCast.Com Organization: American Cybercasting Approved: americast-post@AmeriCast.com Subject: Companies In The News Date: Fri, 20 Nov 92 13:33:51 EST Message-ID: <5.1992Nov20.133351@AmeriCast.com> 11/20/92 TITLE Companies In The News #m#gm#m##m#Photo Sam Moore here#m#Thomas Nelson Expands With Christian Music Acquisition John A. Jones Improved translations of the Bible have made new products out of the world's all-time best-seller, which accounted for 47% of total sales last year for Thomas Nelson Inc. Nelson is the world's largest Bible publisher and a leading independent publisher of Christian and inspirational books and some general trade books. The Nashville-based company also develops and mark- ets gift and music products, including audio and video record- ings, and has expanded those lines with several acquisitions. Investor's Business Daily, Publishing - Books ranks 31st, based on six-month stock-price performance with added weight given to recent months. In this series, leading companies within the group are reviewed. This month#m#cq#m#, the company is wrapping up a major acquisition that will more than double its sales and great- ly expand its strength in inspirational music recordings. Nelson agreed to pay $72 million to buy World Inc. from Capital Cities- ABC Inc. Financing Deal With Notes Last week#m#cq#m#, Nelson announced a private placement of $50 million in convertible subordinated notes, expected to close at the end of November, and said it will use the proceeds to finance part of its purchase of World Inc. Before the deal was an- nounced, Nelson ended its fiscal year last March with long-term debt of $10 million, or 17.5% of total capitalization - half the year-earlier level. Nelson reported earnings for its fiscal second quarter ended Sept. 30 rose 12% to 28 cents a share from 25 cents a year earlier, adjusted for a 3-for-2 stock split Sept. 30. Net income was up 24% to $2.94 million from $2.37 million. Revenue rose 26% to $31 million from $24.6 million. For the fiscal year ended March 31, earnings rose 15% to 60 cents a share from 52 cents a year earlier, adjusted for the split. Net income was up 37% to $5.91 million from $4.32 million. Revenue rose 26% to $93.1 million from Sam Moore $73.6 million. President Sam Moore reported the leading Bible products in the latest quarter included The Spirit Filled Life Bible, developed in consultation with scholars representing the broad Pentecoastal and Charismatic community, and the proprietary Precious Moments Bibles. Moore has headed the company since its founding in 1961, when Moore's original company, Royal Publishers, went public. In 1969, Royal merged with the U.S. division of Thomas Nelson & Sons, a leading British Bible publisher. The merger made Thomas Nelson the largest publisher in the field. The New King James Version, first published in 1982, is Nelson's proprietary publication based on a translation the company commissioned from 150 Biblical scholars. Last year it continued to lead the list of best-selling Bibles. The company owns two other translations: the Today's En- glish Version, first published in 1976, and the Contemporary En- glish Version introduced in 1991. Nelson publishes over 650 dif- ferent Bibles and Bible products, based on seven of the nine ma- jor translations, ranging from paperbacks to leather-bound books. Different editions of a particular translation are created by in- corporating textual material, such as study guides and outlines, into the Biblical text. Nelson's book division, which brought 33% of fiscal 1992 revenue, includes titles from leading Chris- tian and inspirational authors such as Robert Schuller, and "cross-over" titles such as Ziglar on Selling by Zig Ziglar. Over 300 Active Titles The division published 150 new titles last year and plans to pub- lish about 200 this year. It has a backlist of more than 300 ac- tive titles. Before the latest acquisition, Nelson's gifts and music division had boosted its sales with the purchase a year ago of the World Bible Society/Silver Bells Music unit, a distributor of Christmas music and Bibles on cassettes. Besides recordings, the gift line includes 27 collections and 350 separate items such as journals and diaries, desk calendars, photo albums and baby gift products. To keep up with expansion, the company nearly tripled the size of its central warehouse with a $5 million addition completed last June. Alan Gottesman of PaineWebber Inc. said World Inc. is actually a little bigger than Nelson in sales, with a range of products that make it "a dovetail fit" with Nelson's existing music operations. "Their competitive position will be enhanced by this deal," Gottesman said. He said the company has "a very conscientious management" which has helped it survive the recession. "They have come through a period where other companies have found weak- ness, because of the recession or whatever, but they've come through it without missing a beat," Gottesman said. Monday: Health Care & Retirement This article is copyright 1992 Investors Business Daily. Redis- tribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM