IC Industries Inc said its board approveda second major step in the reorganization and restructuring of
the company.
    To implement the plan of sharpening its strategic focus on
consumer goods and services, the company will give serious
consideration to the sale of its Pneumo Abex, its aerospace and
defense company, if it can realize a price which will return
maximum value to shareholders.
    In 1986, Pneumo Abex had operating income of 118.1 mln dlrs
on sales of 900.5 mln dlrs.
    IC said it will use the proceeds of any asset sale to
invest in new high-return businesses in the consumer goods and
services field.
    The company said it authorized a program to repurchase
between 500 mln dlrs and 1.0 billion dlrs of IC's common stock
from time to time when conditions warrant.
    It also said it will begin an immediate cost-reduction
program to cust annual operating expenses by 50 mln dlrs.
    An IC spokesman said the cost-reduction program involved
"across-the-board" cuts rather than specific about targeted
areas.
    IC's board earlier approved a plan to spin off the
company's Illinois Central Gulf Railroad to shareholders. The
company's other major subsidiaries are Pet Inc, Pepsi-Cola
General Bottlers, Midas International Corp and Hussmann Corp.
 Reuter
