UPDATE 1-Dresser-Rand says flood disrupts Kansas plant

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Fri May 20, 2011 9:50pm BST

* Sees Q2 op income hit by $12-15 mln

* Sees full operations to resume by mid-June (Follows alerts)

May 20 (Reuters) - Oil services company Dresser-Rand Group Inc said operations at its Wellsville plant in Kansas have been hit by flooding of a nearby creek, and it expects a dent in second-quarter income.

Dresser-Rand, which makes equipment for the oil and gas industry, expects its second-quarter operating income to be reduced by $12-$15 million.

The company had forecast operating income of $260-$300 million for the full year and second-quarter operating income to be 20-25 percent of it.

Certain parts of the plant have already resumed operations and most of the manufacturing centers are expected to be operational by mid-June, the company said.

The company said all personnel have been evacuated from the facility.

Houston-based Dresser-Rand's shares closed at $48.38 on Friday on Nasdaq. (Reporting by Vaishnavi Bala in Bangalore; Editing by Don Sebastian) ((vaishnavi.bala@thomsonreuters.com within U.S. +1 646 223 8780 outside U.S. +91 80 4135 5800 Reuters Messaging:vaishnavi.bala.reuters.com@reuters.net)

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