Commercial Metals Company announced today guidance for its first quarter ended November 30 , 2011. CMC expects first quarter earnings to be in the range of $0.87 to $0.97 per diluted share, which represents a substantial increase over the $0.01 earnings per share recorded for the first quarter of fiscal 2011 and the $1.04 loss per share reported for the fourth quarter of fiscal 2011. Earnings per share from continuing operations are expected to be in the range of $1.01 to $1.11 . The loss per share from discontinued operations is expected to be approximately $0.14 .
Continuing operations are profitable and include a tax benefit of $102 million ( $0.87 per share) related to ordinary worthless stock and bad debt deductions from the investment in the Company’s Croatian subsidiary. Discontinued operations include a charge of approximately $18 million for severance costs related to the closing of the Company’s Croatian pipe mill. On October 7, 2011 , CMC announced its decision to exit the Croatian pipe mill business by way of sale and/or closure. At the end of the first quarter of fiscal 2012, production in the melt shop and rolling mill ceased. Final shipments will be made in the second quarter of fiscal 2012.
As previously announced, CMC will release its first quarter earnings on Friday, January 6 , 2012. In conjunction with its earnings release, CMC will have a conference call that will be broadcast live over the internet at 11:00 a.m. Eastern Time with Joe Alvarado , President and CEO, and Barbara Smith , Senior Vice President and CFO.
Commercial Metals Company and subsidiaries manufacture, recycle and market steel and metal products, related materials and services through a network including steel minimills, steel fabrication and processing plants, construction-related product warehouses, a copper tube mill, metal recycling facilities and marketing and distribution offices in the United States and in strategic international markets.