2 County Firms Anticipate Losses : Wynn’s International Inc. Expects Year-End Loss

Wynn’s International Inc. said Friday it expects to post a fourth-quarter and year-end loss when it reports financial results for the 12 months ended Dec. 31.

The Fullerton-based auto products maker did not say how much its 1985 losses will total, but John Lillicrop, Wynn’s president, said they will consist primarily of write-downs on assets, including good will associated with the November purchase of Precision Rubber Products Corp. in Tennessee.

In addition to writing off the difference between the $31 million it paid for Precision and the company’s actual book value, Wynn will establish reserves for the write-off of some of its own obsolete inventory and old manufacturing equipment, he said.

Also affecting the fourth quarter was intense price competition in the automobile industry, which in turn lowered profit margins, Lillicrop said. However, he said, the fourth-quarter and year-end loss should be a one-time occurrence.

“We expect to be profitable during the first quarter,” he said. “In 1986 we expect the general economy to be good and we expect our business to be better than it was in 1985.”