SEAGRAM REPORTS WIDER LOSSES THAN EXPECTED
Seagram, owner of Universal movie and music studios, posted wider losses than analysts predicted for the third quarter. The company lost $265 million, or 61 cents a share, compared to $199 million, or 50 cents a share, for the same period last year.
Seagram's operating losses narrowed from $163 million last year to just over $1 million this year.
In that same period of time, the Universal Music Group narrowed its losses from $87 million to $23 million. Seagram's struggling film division, bolstered by the box office success of "The Green Mile" and home video sales of "The Mummy" and "American Pie," narrowed its losses from $115 million last year to $32 million.
Seagram's beverage business—which includes Absolut vodka and Captain Morgan rum—continued to drive the company's profits, posting a 12 percent rise in operating profit to $77 million.
But the company also announced that its EBITDA more than doubled in the third quarter to $285 million on revenues of $3.4 billion.
"I am very pleased by the momentum in all of our businesses, and I am confident our pattern of growth will continue," said Seagram President/CEO edgar bronfman',390,400);">edgar bronfman',390,400);">Edgar Bronfman Jr. "Perhaps someone else agrees with my assessment? Someone with deep pockets? Someone who would like a film and music division? Please?"
