June

DETREX CORPORATION - (DTRX:PK) Contact: Thomas E. Mark
Phone: (248) 358-5800 FAX: (248) 799-7192

 

May 9, 2016

PRESS RELEASE

Detrex Corporation Reports First Quarter Results
And Announces a Second Quarter Dividend of $0.25 Per Share


Southfield, Michigan – May 9, 2016 - Detrex Corporation (OTCQX:DTRX), today announced 2016 first quarter net income of $234,317, or $0.14 per fully diluted share, compared to 2015 first quarter net income of $712,951, or $0.41 per fully diluted share. The Company also announced that it will pay a second quarter dividend of $0.25 per share on June 22, 2016, to shareholders of record on June 8, 2016.

First quarter 2016 revenues of $8.9 million improved from the fourth quarter 2015 level of $8.2 million and were below the $10.9 million in the year ago first quarter. The weak sales in the last two quarters reflect poor industrial demand specifically from the metalworking and energy markets. The weakness has been particularly pronounced in the Americas. The earnings were impacted by lower sales volume, partially offset by reduced manufacturing costs.

President and CEO Tom Mark said “Elco is demonstrating resilience in a very challenging industrial market. Our products continue to generate market interest and gain approval from a wide variety of customers, and we believe that Elco is poised for a rebound when economic conditions improve. In the meantime, we remain in the process of evaluating strategic opportunities to generate shareholder value and will keep you informed of our progress.”

About Detrex Corporation
Founded in 1925, Detrex Corporation through its subsidiary The Elco Corporation is a leading manufacturer of high performance specialty chemicals including additives for industrial petroleum products and high purity hydrochloric acid.

Forward Looking Statements
Statements included in this press release that are not historical in nature are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 (the “1995 Act”). The words “believe,” “expect,” “anticipate,” “estimate,” “guidance,” “target” and similar expressions identify forward-looking statements. The Company cautions readers that forward-looking statements are subject to certain risks and uncertainties, which could cause actual results to differ materially from those projected in the forward-looking statements. Certain risks and uncertainties are identified from time to time in the Company’s reports. Some factors that could cause results to differ materially from those projected in the forward-looking statements include: market conditions, environmental remediation costs, pension expense and funding requirements, liquidation value of assets, and marketability of real estate and the market value and future liquidity of Detrex stock. The Company claims the protection of the safe harbor for forward-looking statements contained in the 1995 Act.

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