Encompass Reports Quarterly Losses
July 3, 2002
Encompass Services Corp. reported a loss of $450.9 million ($7.13 per share) for the first quarter of 2002, compared to a profit of $13.8 million the previous year's first quarter. The loss was partly due to discontinued operations and a $452 million charge for a change in accounting for goodwill. First-quarter revenues fell 13 percent, from $992.9 million in 2001 to $863 million.
The company expects its performance in 2002 to be less than previously reported, partly from the weakened economy and significant debt reduction.