Multi-Color Corporation Announces Results for Second Quarter of Fiscal 2010

SHARONVILLE, Ohio, Nov. 2 /PRNewswire-FirstCall/ -- Multi-Color Corporation
(Nasdaq: LABL) announced diluted earnings per share of 28 cents for its second
quarter ended September 30, 2009, down 15% from the prior year.

Second quarter highlights included:
-- Net revenues decreased 11% to $72.0 million from $80.6 million. The
decrease in revenues was due to an 8% decline in sales volume, a 2%
unfavorable pricing impact and a 1% unfavorable foreign exchange
impact.
The majority of the sales volume decline was due to market share
declines experienced by our customers' brands.
-- Gross profit decreased 13% to $12.8 million from $14.7 million
primarily
due to the decline in revenues. However, gross margins were
maintained
at 18% of revenues due to improved operating efficiencies and fixed
cost
reductions.
-- Selling, general and administrative expenses decreased 4% to $6.7
million from $7.0 million and were held to 9% of revenues in both
periods.
-- Operating income decreased 21% to $6.1 million from $7.7 million due
to
the decline in revenues.
-- Interest expense decreased 32% to $1.3 from $1.9 million due to a
reduction in bank debt of $5.3 million and lower interest rates.
-- Net income from continuing operations decreased 17% to $3.4 million
from
$4.1 million.
-- Earnings Per Share (EPS) from continuing operations decreased 15% to
28
cents per diluted share from 33 cents.

-- The Company was recognized on the Forbes Listing of America's 200 Best
Small Companies for the third consecutive year.

"Despite the challenging environment, we generated a significant increase in
cash flow during the first half of the year which has allowed us to reduce
outstanding debt by approximately $10 million. We continue to focus on cost
reduction actions and improving operating efficiencies to mitigate the impacts
of lower revenues. Our view for the balance of the fiscal year remains
cautious as we continue to experience a weak revenue growth environment," said
Frank Gerace, President and CEO of Multi-Color Corporation.

For the six month period ended September 30, 2009, Multi-Color's net revenues
decreased 12% to $141.6 million from $160.1 million due to an 8% decline in
sales volume, a 3% unfavorable foreign exchange impact and a 1% unfavorable
pricing impact. Net income from continuing operations increased 6% to $ 7.4
million and EPS from continuing operations was 60 cents per diluted share for
the six months ended September 30, 2009.

In addition, the Company will relocate its Corporate Headquarters from
Sharonville, Ohio to its Batavia, Ohio facility during the third quarter
ending December 31, 2009. In connection with the relocation, the Company will
record an estimated charge of approximately $1.1 million to $1.5 million for
remaining lease obligations related to its Sharonville facility.

Fiscal Year 2010 Second Quarter Earnings Conference Call and Webcast

The Company will hold a conference call on November 2, 2009 at 11:00 a.m. (ET)
to discuss the news release. For domestic access to the conference call,
please dial 1-888-713-4215 (code 19267937) or for international access please
call 1-617-213-4867 (code 19267937) by 10:45 a.m. (ET). A replay of the
conference call will be available at 2:00 p.m. (ET) on November 2, 2009 until
midnight (ET) on November 9, 2009, by calling 1-888-286-8010 (code 24249483)
if domestic or for international access please call 1-617-801-6888 (code
24249483). In addition, the call will be broadcast over the Internet and can
be accessed from a link on the Company's home page at www.multicolorcorp.com.
Listeners should go to the web site prior to the call to register and to
download any necessary audio software.

Participants may pre-register for the call at
https://www.theconferencingservice.com/prereg/key.process?key=PPEGH44U6 (Due
to its length, this URL may need to be copied/pasted into your Internet
browser's address field. Remove the extra space if one exists.)
Pre-registrants will be issued a pin number to use when dialing into the live
call which will provide quick access to the conference by bypassing the
operator upon connection.

Safe Harbor Statement
The Company believes certain statements contained in this report that are not
historical facts constitute forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995, and are intended to be
covered by the safe harbors created by that Act. Reliance should not be
placed on forward-looking statements because they involve known and unknown
risks, uncertainties and other factors which may cause actual results,
performance or achievements to differ materially from those expressed or
implied. Any forward-looking statement speaks only as of the date made. The
Company undertakes no obligation to update any forward-looking statements to
reflect events or circumstances after the date on which they are made.

Statements concerning expected financial performance, on-going business
strategies, and possible future actions which the Company intends to pursue in
order to achieve strategic objectives constitute forward-looking information.
Implementation of these strategies and the achievement of such financial
performance are each subject to numerous conditions, uncertainties and risk
factors. Factors which could cause actual performance by the Company to
differ materially from these forward-looking statements include, without
limitation, factors discussed in conjunction with a forward-looking statement;
changes in general economic and business conditions; the ability to consummate
and successfully integrate acquisitions; ability to manage foreign operations;
currency exchange rate fluctuations; the success and financial condition of
the Company's significant customers; competition; acceptance of new product
offerings; changes in business strategy or plans; quality of management; the
Company's ability to maintain an effective system of internal control;
availability, terms and development of capital and credit; cost and price
changes; raw material cost pressures; availability of raw materials; ability
to pass raw material cost increases to its customers; business abilities and
judgment of personnel; changes in, or the failure to comply with, government
regulations, legal proceedings and developments; risk associated with
significant leverage; increases in general interest rate levels affecting the
Company's interest costs; ability to manage global political uncertainty; and
terrorism and political unrest. The Company undertakes no obligation to
publicly update or revise any forward-looking statements, whether as a result
of new information, future events or otherwise.

About Multi-Color (http://www.multicolorcorp.com)
Sharonville, Ohio based Multi-Color Corporation, established in 1916, is a
leader in global label solutions supporting the world's most prominent brands
including leading producers of home and personal care, wine and spirits, food
and beverage and specialty consumer products. Multi-Color acquired
Collotype International Holdings Pty. Ltd. on February 29, 2008. Collotype
was established in 1903 in Adelaide, South Australia and is the world's
leading and most awarded pressure sensitive wine & spirits label printer.
Multi-Color is the world's largest producer of in-mold labels and one of the
largest producers of pressure sensitive and heat transfer labels and a major
manufacturer of high-quality wet glue applied labels and shrink sleeves.
Multi-Color has 13 manufacturing locations worldwide; 7 in the U.S., 5 in
Australia and 1 in South Africa.

For additional information on Multi-Color, please visit
http://www.multicolorcorp.com.

Multi-Color Corporation
Condensed Consolidated Statements of Income
(in 000's except per share data) Unaudited

Three Months Ended Six Months Ended
September September September September
30, 2009 30, 2008 30, 2009 30, 2008
--------- --------- --------- ---------

Revenues $71,963 $80,637 $141,621 $160,087
Cost of Goods
Sold 59,142 65,950 115,845 130,430
------ ------ ------- -------
Gross Profit 12,821 14,687 25,776 29,657
Gross Margin 18% 18% 18% 19%
Selling,
General &
Administrative 6,697 6,952 12,977 15,405
----- ----- ------ ------
Operating
Income 6,124 7,735 12,799 14,252

Other (Income)
Expense (44) (293) (180) (378)
Interest
Expense 1,257 1,855 2,486 3,994
----- ----- ----- -----
Income from
Continuing
Operations
before Tax 4,911 6,173 10,493 10,636
Provision for
Taxes 1,479 2,033 3,076 3,659
----- ----- ----- -----
Income from
Continuing
Operations 3,432 4,140 7,417 6,977
Income (Loss)
from
Discontinued
Operations,
Net of Taxes - (27) - (170)
--- --- --- ----
Net Income $3,432 $4,113 $7,417 $6,807
====== ====== ====== ======

Basic Earnings
Per Share:
Income from
Continuing
Operations $0.28 $0.34 $0.61 $0.57
Income (Loss)
from
Discontinued
Operations $- $- $- $(0.01)
-- -- -- ------
Basic Earnings
Per Share $0.28 $0.34 $0.61 $0.56
===== ===== ===== =====

Diluted
Earnings Per
Share:
Income from
Continuing
Operations $0.28 $0.33 $0.60 $0.56
Income (Loss)
from
Discontinued
Operations $- $- $- $(0.01)
-- -- -- ------
Diluted
Earnings Per
Share $0.28 $0.33 $0.60 $0.55
===== ===== ===== =====

Basic Shares
Outstanding 12,202 12,133 12,201 12,122
Diluted Shares
Outstanding 12,359 12,444 12,328 12,399

Selected Balance Sheet
Information
(in 000's) Unaudited

September 30, March 31,
2009 2009
------------- ---------
Current Assets $59,617 $56,052
Total Assets $282,526 $258,208
Current Liabilities $44,409 $42,521
Total Liabilities $147,262 $155,176
Stockholders' Equity $135,264 $103,032
Total Debt $92,354 $102,319

Certain prior year amounts have been reclassified to conform to current year
reporting.

SOURCE Multi-Color Corporation

Dawn H. Bertsche, Senior Vice President-Finance and Chief Financial Officer,
Multi-Color Corporation, +1-513-345-1108