Lorimar Posts $62.7-Million Quarterly Loss

Lorimar Telepictures issued official figures Monday on its previously forecast net losses, recording them at $62.7 million in the fourth quarter and $58.6 million in the fiscal year ended March 31.

The firm, a major producer of network television programs, last week disclosed the approximate size of the losses while announcing a restructuring and sale of some major assets outside its “core” movie and TV-related businesses.

While the loss attributed to Lorimar’s troubled home-video operation was $31 million, the company said writedowns in that unit actually totaled $42 million before being partly offset by income.

A Lorimar official Monday identified a “blockbuster package” of five theatrical movies as having been involved in what the company said were unexpected returns of videocassettes totaling $13 million in fourth-quarter sales, which had to be reversed.

Those pictures were “Blue Velvet,” “Manhunter,” “My Beautiful Laundrette,” “The Boy Who Could Fly” and “Nobody’s Fool.”

‘Overestimates’ Found

That in turn led the company to re-examine its entire inventory of hundreds of home-video titles and, consequently, to write down another $23 million attributed to “overestimates” of sales by former management. The unit’s remaining $6 million of writeoffs was for expenses previously capitalized.

In March, the company replaced Stuart Karl, the unit’s founder and chief executive, and two other executives for owning an interest in a supplier. Lorimar continued Monday to withhold comment on whether it will pursue action against the Karl management. Karl could not be reached for comment.

In its earnings report, the company said it posted revenue of $766.2 million for the year and $240.5 million for the quarter.