Darling International Inc. Announces Profits Increase in Second Quarter
PRNewswire-FirstCall
IRVING, Texas

Darling International Inc. reported sales and earnings for its 2003 fiscal second quarter and six months ended June 28, 2003 as compared to the same periods of the prior year.

For the 2003 second quarter, the Company's net sales grew 30.4% to $78.5 million as compared to $60.2 million for the 2002 second quarter. Increases in finished product prices and finished products purchased for resale accounted for the majority of the $18.3 million net sales increase. For the 2003 second quarter, the Company reported net income of $3.2 million as compared to $1.2 million for the 2002 comparable period. The $2.0 million increase in net income for 2003 resulted from increases in net sales, a reduction in depreciation and amortization and interest expense, which more than offset increases in cost of sales, selling, general and administrative expense, other expenses, and income taxes.

For the six months ended June 28, 2003, the Company reported net sales grew 23.8% to $147.2 million as compared to $118.9 million for the 2002 comparable period. Increases in finished product prices and finished products purchased for resale accounted for the majority of the $28.3 million net sales increase. For the six months ended June 28, 2003, the Company reported net income of $6.6 million as compared to $1.8 million for the 2002 comparable period. The $4.8 million increase in net income for 2003 resulted from increases in net sales, a reduction in depreciation and amortization and interest expense, which more than offset increases in cost of sales, selling, general and administrative expense, income taxes, and a reduction in other income.

Darling International Inc. is the largest publicly traded, food processing by-products recycling company in the United States. The Company recycles used restaurant cooking oil and by-products from the beef, pork and poultry processing industries into useable products such as tallow, feed-grade fats and meat and bone meal. These products are primarily sold to animal feed and oleo-chemical manufacturers around the world. In addition, the Company provides grease trap collection services and sells equipment to restaurants.

The Company's shares are traded on the American Stock Exchange under the symbol DAR. In AMEX trading on August 11, 2003, Darling stock closed at $2.45 per share.

{This media release contains forward-looking statements regarding the business operations of Darling. These statements are identified by words such as "may," "will," "expect," "believe," "intend," "anticipate," "should", "estimate," continue," and other words referring to events to occur in the future. These statements reflect Darling's current view of future events and are based on its assessment of, and are subject to, a variety of risks and uncertainties, including business and economic conditions in its existing markets. Other risks and uncertainties regarding Darling, the industry in which it operates and the implementation of its business strategy are described in Darling's Form 10-Qs, the most recent filed August 12, 2003; Form 10-K filed March 26, 2003; Proxy Statement filed April 17, 2003 and Amendment No. 2 to the Registration Statement as filed on April 30, 2003. Darling undertakes no obligation to update any forward-looking statements made in this media release.}

                        Darling International Inc.
                      Consolidated Operating Results
          For the Periods Ended June 28, 2003 and June 29, 2002
             (Dollars in thousands, except per share amounts)
                               (Unaudited)

                         Three Months Ended         Six Months Ended
                     June 28, June 29, $Change  June 28, June 29,  $Change
                      2003     2002   Favorable  2003      2002   Favorable
                                    (Unfavorable)              (Unfavorable)
  Net sales          $78,536  $60,189  $18,347 $147,187  $118,868  $28,319
  Costs and
   expenses:
    Cost of sales
     and operating
     expenses         60,033   44,623  (15,410) 111,083    88,367  (22,716)
    Selling,
     general and
     administrative
     expenses          8,879    8,285     (594)  17,399    15,443   (1,956)
    Depreciation and
     amortization      3,623    3,937      314    7,280     8,025      745
       Total costs
        and expenses  72,535   56,845  (15,690) 135,762   111,835  (23,927)
  Operating income     6,001    3,344    2,657   11,425     7,033    4,392
  Other income (expense):
    Interest expense    (419)  (1,385)     966     (911)   (5,270)   4,359
    Other, net          (453)     746   (1,199)     130     1,493   (1,363)
       Total other
        expense         (872)    (639)    (233)    (781)   (3,777)   2,996
  Income from
   continuing
   operations before
   income taxes        5,129    2,705    2,424   10,644     3,256    7,388
  Income taxes        (1,949)  (1,358)    (591)  (4,045)   (1,372)  (2,673)
  Income from
   continuing
   operations          3,180    1,347    1,833    6,599     1,884    4,715
  Loss from
   discontinued
   operations, net
   of tax                ---      (98)      98      ---       (52)      52
  Net income           3,180    1,249    1,931    6,599     1,832    4,767
  Preferred dividends
   and accretion (A)    (342)    (255)     (87)    (697)     (255)    (442)
  Net income
   applicable
   to common
   shareholders      $ 2,838  $  994   $ 1,844 $  5,902  $  1,577  $ 4,325
  Basic income
   per share         $  0.05  $ 0.03   $  0.02 $   0.10  $   0.06  $  0.04
  Diluted income
   per share         $  0.05  $ 0.03   $  0.02 $   0.09  $   0.06  $  0.03

   (A) Preferred dividends accrued were $154,000 during the three months
       ended June 28, 2003.  Accretion of the preferred stock discount was
       $188,000 during the three months ended June 28, 2003.
       Preferred dividends accrued were $310,000 during the six months ended
       June 28, 2003.  Accretion of the preferred stock discount was
       $387,000 during the six months ended June 28, 2003.

   FOR MORE INFORMATION CONTACT:
   John O. Muse, Executive Vice President of
   Finance and Administration, or Brad Phillips, Treasurer
   Phone:  972-717-0300

SOURCE: Darling International Inc.

CONTACT: John O. Muse, Executive Vice President of Finance and
Administration, or Brad Phillips, Treasurer, both of Darling International
Inc., +1-972-717-0300