NATIONAL DISTILLERS <DR> SEES SECOND QTR GAIN
National Distillers and Chemical Corp
expects to realize a second quarter after-tax gain of four dlrs
per share from the 545 mln dlr sale of its spirits business to
American Brands Inc <AMB>.
    National Distillers' stock rose 1-1/8 to 65-1/2, after an
opening delay on the New York Stock exchange for an imbalance
of orders.
    "I think the sales price was higher than most people
expected," said John Henry of E.F. Hutton Group.
    A company spokeswoman said the four dlr per share gain will
be included in second quarter net, which compares with 31 cts
per share last year, including the spirits and wine business
    "They netted over 700 mln dlrs for spirits and wine. That
will ease their interest cost burden," said Henry.
    National Distillers sold its wine business last month to
Grand Metropolitan PLC's Heublein Inc for 128 mln dlrs.
    Henry said he had anticipated National Distillers would net
only 600 mln dlrs at the most from the sale of the two liquor
businesses.
    Henry said the company recovered from the sales the cost of
buying Enron Chemicals in the fourth quarter last year.
National Distillers paid 570 mln dlrs cash for Enron and
assumed 34 mln dlrs in debt. National Distillers said at the
time it bought Enron it would sell the spirits and wine
businesses, moving more into the chemical area.
    For 1986, two thirds of income were from chemicals and
propane. National Distillers earned, excluding the liquor
businesses, 2.21 dlrs per share for 1986. Income from
discontinued operations, including the liquor businesses, was
67 cts per share.
 Reuter
