Western Atlas to Take $203-Million Charge

Western Atlas Inc. said it will post a $203-million charge in the second quarter for research and development costs at Norand Corp. and United Barcode Industries, the mobile computing and automated data-collection companies it bought earlier this year. Western Atlas also said it will record an additional $5-millioncharge in the second quarter for estimated costs of the planned spinoff of its industrial automation unit. Based in Beverly Hills, Western Atlas supplies oil field services and industrial automation products. Its shares gained 81 cents to close at $76.19 on the New York Stock Exchange. Western Atlas is expected to post earnings of 68 cents a share in the second quarter, based on the average estimate of 11 analysts surveyed by IBES International Inc. The company announced in May its plans to spin off its industrial automation unit, which accounts for about half of Western Atlas’ $3.1-billion annual revenue. The new company will be based in Beverly Hills. The Western Atlas name and senior management will remain with the company’s Houston-based oil field services unit. Western Atlas itself was spun off from Litton Industries Inc. three years ago.