Lincoln Electric Distributes 70th Consecutive Profit-Sharing Bonus
December 12 2003 - 3:53PM
PR Newswire (US)
Lincoln Electric Distributes 70th Consecutive Profit-Sharing Bonus
- Bonus pool totals $27.5 million - Order volumes increased in
September through November - Restores 401(k) match, effective
January 1, 2004 CLEVELAND, Dec. 12 /PRNewswire-FirstCall/ --
Lincoln Electric today distributed employee bonuses totaling
$27,470,500, marking its 70th consecutive year of profit-sharing
bonuses. The annual bonus ceremony was held at the Company's
headquarters here and attended by approximately 2,600 employees in
person or via satellite feed. The year-end bonus has been a key
component of Lincoln Electric's unique culture since 1934, when it
was first instituted by James F. Lincoln, the architect of the
Company's renowned incentive management system. The 2003 bonus was
paid to all eligible employees and represents an average bonus of
approximately $10,800 per employee. In remarks to employees at the
bonus ceremony, John M. Stropki, Executive Vice President and Chief
Operating Officer, said the Company remains committed to its
incentive system that recognizes and rewards outstanding
performance. Mr. Stropki said, "Your individual contributions
continue to drive excellence at every level of our organization.
Our remarkable record of 70 consecutive profit-sharing bonus
distributions is a great tribute to the success of our Company, our
culture, and our talented and dedicated employees worldwide.
Because of your efforts, we continue to successfully expand our
leadership position in the global welding industry." Addressing
recent business activity and the overall economic outlook, Mr.
Stropki said, "Our sales continue to expand with the overall
rebound in the North American industrial economy. This September,
we saw a double-digit sales increase at our Cleveland operations,
resulting in the first quarter-to- quarter sales increase in our
U.S. business in the last several years. October and November
incoming orders continue to exceed prior-year results. The U.S. and
key global manufacturing economies appear to be strengthening. The
sales increase for the fourth quarter of 2003 is not expected to be
strong enough to offset raw material, energy and pension costs and
bring positive profit comparisons for the quarter, however, we
anticipate our profitability in 2004 will improve as markets
continue to recover. Thus, we are beginning to see evidence
supporting a more optimistic view of the future." Mr. Stropki also
announced that the Company will restore its 35% 401(k) match,
effective January 1, 2004. Lincoln Electric is the world leader in
the design, development and manufacture of arc-welding products,
robotic welding systems, plasma and oxyfuel cutting equipment.
Headquartered in Cleveland, Ohio, the Company has operations,
manufacturing alliances and joint ventures in 18 countries and a
worldwide network of distributors and sales offices covering more
than 160 countries. The Company's expectations and beliefs
concerning the future contained in this news release are
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. These statements reflect
management's current expectations and involve a number of risks and
uncertainties. Actual results may differ materially from such
statements due to a variety of factors that could adversely affect
the Company's operating results. The factors include, but are not
limited to: the effectiveness of operating initiatives; currency
exchange and interest rates; adverse outcome of pending or
potential litigation; possible acquisitions; the strength and
duration of the increase in U.S. demand for the Company's products;
and the possible effects of international terrorism and hostilities
on the Company or its customers, suppliers and the economy in
general. DATASOURCE: Lincoln Electric Holdings, Inc. CONTACT: Roy
L. Morrow of Lincoln Electric Holdings, Inc., +1-216-383-4893, or
Web site: http://www.lincolnelectric.com/
Copyright