NACCO INDUSTRIES <NC> TO REPORT 2ND QTR GAIN
Nacco Industries Inc said it will
report a gain in the second quarter of about 11.5 mln dlrs or
1.25 dlrs a share from the sale of stock of a subsidiary.
    Nacco said its North American Coal Corp unit has received
notice that Consolidation Coal Co, a unit of Du Pont Co <DD>,
will exercise an option to buy all of the stock of Quarto
Mining Co, a subsidiary of North American Coal.
    For the stock, North American Coal will receive about 15.2
mln dlrs, 5.2 mln of which will be paid at closing April 10 and
the rest in installments, the company said.
    In addition, Quarto will pay a dividend to North American
Coal of about 10 mln dlrs from retained earnings before
closing. The funds were previously used to finance mining
operations.
    Consolidation Coal got the option from the Capco Group of
utilities, which received the option from Nacco in 1981.
    Nacco reported earnings of 10.8 mln dlrs or 1.11 dlrs a
share in last year's second quarter.
    In 1986, Quarto generated 5.9 mln dlrs in net income, equal
to 62 cts a share, of Nacco's total 1986 earnings of 3.48 dlrs
a share.
    Quarto produced about 3.6 mln short tons of the 24.3 mln
tons produced by North American Coal in 1986, Nacco said.
 Reuter
