-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, MxOkA/XspVDBMT4r0Px7DJvbK47tKbCbRcPQK0s4YGiTNmkzFMqnSDAL5T+657pv xYysK+MQ3l+b+Xtpahcexw== 0000912057-96-029175.txt : 19961216 0000912057-96-029175.hdr.sgml : 19961216 ACCESSION NUMBER: 0000912057-96-029175 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19961031 FILED AS OF DATE: 19961213 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: CANTEL INDUSTRIES INC CENTRAL INDEX KEY: 0000019446 STANDARD INDUSTRIAL CLASSIFICATION: WHOLESALE-MEDICAL, DENTAL & HOSPITAL EQUIPMENT & SUPPLIES [5047] IRS NUMBER: 221760285 STATE OF INCORPORATION: DE FISCAL YEAR END: 0731 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-06132 FILM NUMBER: 96680331 BUSINESS ADDRESS: STREET 1: 1135 BROAD STREET CITY: CLIFTON STATE: NJ ZIP: 07013 BUSINESS PHONE: 2014708700 MAIL ADDRESS: STREET 2: 1135 BROAD STREET CITY: CLIFTON STATE: NJ ZIP: 07013 FORMER COMPANY: FORMER CONFORMED NAME: STENDIG INDUSTRIES INC DATE OF NAME CHANGE: 19890425 FORMER COMPANY: FORMER CONFORMED NAME: CHARVOZ CARSEN CORP DATE OF NAME CHANGE: 19861215 10-Q 1 FORM 10-Q SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q / X / Quarterly Report pursuant to Section 13 or 15(d) of the Securities and Exchange Act of 1934 For the quarterly period ended October 31, 1996. or / / Transition Report pursuant to Section 13 or 15(d) of the Securities and Exchange Act of 1934 For the transition period from _____ to _____. Commission file number: 0-6132 CANTEL INDUSTRIES, INC. ----------------------- (Exact name of registrant as specified in its charter) DELAWARE 22-1760285 - ------------------------------- ---------------------------- (State or other jurisdiction of (I.R.S. employer incorporation or organization) identification no.) 1135 BROAD STREET, CLIFTON, NEW JERSEY 07013 - ------------------------------------------------------------------ (Address of principal executive offices) (Zip code) Registrant's telephone number, including area code (201) 470-8700 -------------- Indicate by check mark whether registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to the filing requirements for the past 90 days. Yes X No ----- ----- Number of shares of Common Stock outstanding as of December 9, 1996: 4,089,658. PART I - FINANCIAL INFORMATION CANTEL INDUSTRIES, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Dollar Amounts in Thousands, Except Share Data) (Unaudited) October 31, July 31, 1996 1996 ----------- ----------- ASSETS Current assets: Cash $ 716 $ 682 Accounts receivable, net 5,349 5,268 Inventories 8,867 8,196 Prepaid expenses and other current assets 402 308 ------- ------- Total current assets 15,334 14,454 Property and equipment, at cost: Furniture and equipment 1,937 1,796 Leasehold improvements 526 697 ------- ------- 2,463 2,493 Less accumulated depreciation and amortization 1,770 1,884 ------- ------- 693 609 Other assets 1,024 935 ------- ------- $17,051 $15,998 ------- ------- ------- ------- LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 2,919 $ 1,486 Compensation payable 598 722 Other accrued expenses 576 792 Income taxes payable 201 81 ------- ------- Total current liabilities 4,294 3,081 Long-term debt 2,772 3,419 Deferred income taxes 102 97 Stockholders' equity: Preferred Stock, par value $1.00 per share; authorized 1,000,000 shares; none issued - - Common Stock, $.10 par value; authorized 7,500,000 shares; issued and outstanding October 31 - 3,896,386 shares; July 31 - 3,888,695 shares 390 389 Additional capital 17,128 17,088 Accumulated deficit (6,526) (6,748) Cumulative foreign currency translation adjustment (1,109) (1,328) ------- ------- Total stockholders' equity 9,883 9,401 ------- ------- $17,051 $15,998 ------- ------- ------- ------- See accompanying notes. 1 CANTEL INDUSTRIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Dollar Amounts in Thousands, Except Per Share Data) (Unaudited) Three Months Ended October 31, 1996 1995 ------- ------- Net sales: Product sales $ 6,434 $ 5,373 Product service 981 879 ------- ------- Total net sales 7,415 6,252 ------- ------- Cost of sales: Product sales 4,251 3,691 Product service 628 576 ------- ------- Total cost of sales 4,879 4,267 ------- ------- Gross profit 2,536 1,985 Expenses: Shipping and warehouse 141 193 Selling 894 1,073 General and administrative 831 790 Research and development 111 87 Costs associated with the Merger - 68 ------ ------ Total operating expenses 1,977 2,211 ------ ------ Income (loss) from operations before interest expense and income taxes 559 (226) Interest expense 47 12 ------ ------ Income (loss) before income taxes 512 (238) Income taxes (benefit) 290 (200) ------ ------ Net income (loss) $ 222 $ (38) ------ ------ ------ ------ Earnings (loss) per common share: Primary $ .05 $ (.01) ------ ------ ------ ------ Fully diluted $ .05 $ (.01) ------ ------ ------ ------ See accompanying notes. 2 CANTEL INDUSTRIES, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Dollar Amounts in Thousands) (Unaudited) Three Months Ended October 31, 1996 1995 ------- ------- CASH FLOWS FROM OPERATING ACTIVITIES Net income (loss) $ 222 $ (38) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation and amortization 79 95 Imputed interest - 3 Deferred income taxes 5 5 Changes in assets and liabilities: Accounts receivable (81) 3,166 Inventories (671) (845) Prepaid expenses and other current assets (94) (732) Accounts payable and accrued expenses 1,093 (726) Income taxes payable 120 (364) ------- ------- Net cash provided by operating activities 673 564 ------- ------- CASH FLOWS FROM INVESTING ACTIVITIES Net additions to property and equipment (142) 7 Other, net 109 (14) ------- ------- Net cash used in investing activities (33) (7) ------- ------- CASH FLOWS FROM FINANCING ACTIVITIES Borrowings under credit facilities 4,089 4,244 Repayments under credit facilities (4,736) (5,052) Proceeds from exercise of stock options 41 - Deferred compensation payments - (33) ------- ------- Net cash used in financing activities (606) (841) ------- ------- Increase (decrease) in cash 34 (284) Cash at beginning of period 682 799 ------- ------- Cash at end of period $ 716 $ 515 ------- ------- ------- ------- See accompanying notes. 3 CANTEL INDUSTRIES, INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) Note 1. BASIS OF PRESENTATION The unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial reporting and the requirements of Form 10-Q and Rule 10.01 of Regulation S-X. Accordingly, they do not include certain information and note disclosures required by generally accepted accounting principles for annual financial reporting and should be read in conjunction with the consolidated financial statements and notes thereto included in the Annual Report of Cantel Industries, Inc. (the "Company" or "Cantel") on Form 10-K for the fiscal year ended July 31, 1996, and Management's Discussion and Analysis of Financial Condition and Results of Operations included elsewhere herein. The acquisition of MediVators, Inc., the Company's United States subsidiary ("MediVators"), which occurred on March 15, 1996 (the "Merger") has been accounted for as a pooling of interests in accordance with generally accepted accounting principles. Under this accounting treatment, the assets, liabilities and stockholders' equity of MediVators were consolidated at their historical amounts. Operating results of MediVators were consolidated for all periods presented, and previously issued financial statements for the Company are restated as though MediVators had always been consolidated as a wholly-owned subsidiary of the Company. The unaudited interim financial statements reflect all adjustments which management considers necessary for a fair presentation of the results of operations for these periods. The results of operations for the interim periods are not necessarily indicative of the results for the full year. The condensed consolidated balance sheet at July 31, 1996 was derived from the audited consolidated balance sheet of the Company at that date. Note 2. EARNINGS PER COMMON SHARE Primary earnings per common share are computed based upon the weighted average number of common shares outstanding during the period plus the dilutive effect of options and warrants using the treasury stock method and the average market price for the period. Fully diluted earnings per common share are computed based upon the weighted average number of common shares outstanding 4 during the period plus the dilutive effect of options and warrants using the treasury stock method and the higher of the period-end or average market price for the period. The following average shares were used for the computation of primary and fully diluted earnings per common share: For the three months ended October 31, --------------------- 1996 1995 --------- --------- Primary 4,321,142 3,765,352 --------- --------- --------- --------- Fully diluted 4,326,778 3,765,352 --------- --------- --------- --------- Note 3. FINANCING ARRANGEMENTS The Company has two credit facilities, a $7,500,000 revolving credit facility for Carsen Group Inc., its Canadian subsidiary ("Carsen" or "Canadian subsidiary") and a $2,000,000 revolving credit facility for MediVators. Pursuant to the terms of the Carsen revolving credit facility, the borrowing availability is subject to a potential reduction on January 1, 1998 to an amount which will be agreed to by both Carsen and the lender and borrowings must be paid in full no later than December 31, 1998. Borrowings outstanding at October 31, 1996 and July 31, 1996 are in Canadian dollars and bear interest at .75% above the lender's Canadian prime rate. The lender's Canadian prime rate was 5% at October 31, 1996. A commitment fee on the unused portion of this facility is payable in arrears at a rate of .25% per annum, with interest on borrowings payable monthly. There were $2,616,000 (U.S. dollars) of borrowings outstanding under this facility at October 31, 1996. Pursuant to the terms of the MediVators revolving credit facility, borrowings must be paid in full no later than December 3, 1998. Borrowings bear interest at 1.5% above the lender's United States prime rate. The lender's prime rate was 8.25% at October 31, 1996. A commitment fee on the unused portion of this facility is payable in arrears at a rate of .5% per annum, with interest on borrowings payable monthly. There were $156,000 of borrowings outstanding under this facility at October 31, 1996. Each of the credit facilities provides for restrictions on available borrowings based primarily upon percentages of eligible accounts receivable and inventories; requires the subsidiary to 5 meet certain financial covenants; are secured by substantially all assets of the subsidiary; and are guaranteed by Cantel. Note 4. INCOME TAXES Income taxes primarily consist of foreign income taxes provided on the Company's Canadian operations. The effective tax rate on Canadian operations was 44.6% for the three months ended October 31, 1996. For the three months ended October 31, 1995, income taxes include a benefit resulting from the loss from operations before income taxes at an effective rate of 43.9%, as well as a recovery of prior years' federal and provincial income taxes and withholding taxes. The recovery of prior years' federal and provincial income taxes and withholding taxes related to a notice of reassessment received by the Company's Canadian subsidiary during fiscal 1994, which notice was based upon the disallowance as a deduction for income tax purposes and treatment as a taxable dividend, of all of the payments made to Cantel by the Canadian subsidiary during the taxable years 1990 to 1992 with respect to a purchasing fee charged by Cantel for negotiating certain distribution agreements on behalf of the Canadian subsidiary. In prior years, the Company recorded the full amount of the reassessment, which aggregated approximately $413,000, in its provision for income taxes, and the related interest, of approximately $154,000, as interest expense. During fiscal 1995, the full amount of the reassessment, including interest, was paid under protest. During the three months ended October 31, 1995, the Company negotiated a settlement with Revenue Canada which resulted in the recovery of federal and provincial income taxes and withholding taxes of approximately $175,000 and interest of approximately $98,000. Of these amounts, approximately $218,000 has been received to date. 6 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. RESULTS OF OPERATIONS The results of operations described hereafter reflect, for the most part, those results of the Company's wholly-owned Canadian subsidiary, Carsen Group Inc. ("Carsen" or "Canadian subsidiary") and those of its wholly-owned U.S. subsidiary, MediVators, Inc. ("MediVators" or "United States subsidiary"). There was no significant impact upon the Company's results of operations for the three months ended October 31, 1996, as compared to the three months ended October 31, 1995, as a result of translating Canadian dollars into United States dollars. The ensuing discussion should also be read in conjunction with the Company's Annual Report on Form 10-K for the fiscal year ended July 31, 1996. The following table gives information as to the net sales from operations and the percentage to the total net sales accounted for by each operating segment of the Company. Three Months Ended October 31, -------------------------- 1996 1995 -------------------------- (Dollar amounts in thousands) $ % $ % ------ ---- ------ ---- Medical, Infection Control and Scientific Products: Medical and Infection Control Products $3,620 48.8 $2,797 44.7 Scientific Products 1,446 19.5 1,463 23.4 Product Service 981 13.2 879 14.1 Consumer Products 1,368 18.5 1,113 17.8 ------ ----- ------ ----- $7,415 100.0 $6,252 100.0 ------ ----- ------ ----- ------ ----- ------ ----- Net sales increased by $1,163,000, or 18.6%, to $7,415,000 for the three months ended October 31, 1996, from $6,252,000 for the three months ended October 31, 1995. The increase was principally attributable to increased sales of Medical and Infection Control Products and Consumer Products. The increased sales of Medical and Infection Control Products for the three months ended October 31, 1996 was primarily attributable to an increase in demand for both medical and infection control products. This increase includes the initial positive impact of the strategic alliance with Olympus America Inc. 7 for the sales of MediVators' endoscope disinfection equipment; expansion and improvement of the international distribution of MediVators' infection control products; and the improvement in economic conditions in Canada, where sales of medical products during the fiscal 1996 quarter were adversely impacted by certain cost control measures implemented by various provincial governments which decreased or delayed funding to hospitals, thereby reducing hospital spending for capital equipment. The increased sales of Consumer Products for the three months ended October 31, 1996 were due to stronger demand for certain camera models with reduced selling prices. Gross profit increased by $551,000, or 27.8%, to $2,536,000 for the three months ended October 31, 1996, from $1,985,000 for the three months ended October 31, 1995. Gross profit margins for the three months ended October 31, 1996 were 34.2%, as compared with 31.7% for the three months ended October 31, 1995. The higher gross profit margin was primarily attributable to changes in sales mix of medical products as well as increased selling prices of certain medical product accessories; reductions in the cost of certain camera models, which reductions were partially passed along to customers; and a more efficient method of repairing endoscopes. Shipping and warehouse expenses as a percentage of net sales were 1.9% and 3.1% for the three months ended October 31, 1996 and 1995, respectively. The percentage decrease was principally attributable to the impact of the increased sales, since most of the expenses in this category are of a fixed nature, as well as a reduction in certain fixed shipping and warehouse expenses. Selling expenses as a percentage of net sales were 12.1% and 17.2% for the three months ended October 31, 1996 and 1995, respectively. The percentage decrease was principally attributable to the impact of the increased sales against the fixed portion of selling expenses; a reduction in fixed selling expenses at both Carsen and MediVators; and the elimination of certain variable selling costs previously associated with the domestic distribution of MediVators endoscope disinfection equipment. General and administrative expenses increased by $41,000 to $831,000 for the three months ended October 31, 1996 from $790,000 for the three months ended October 31, 1995. This increase was primarily attributable to increased personnel costs. Costs associated with the Merger of $68,000 for the three months ended October 31, 1995 represented expenses incurred in connection with the MediVators acquisition, which was accounted for as a pooling of interests. Interest expense increased to $47,000 for the three months ended October 31, 1996 from $12,000 for the three months ended October 31, 1995. This increase was due to a recovery of interest 8 of approximately $98,000 during the three months ended October 31, 1995 related to the tax reassessments described in Note 4 to the Condensed Consolidated Financial Statements, partially offset by a reduction of interest expense for the three months ended October 31, 1996 attributable to a decrease in average borrowings and lower average interest rates under the Carsen revolving credit facility. Income (loss) before income taxes increased by $750,000 to income of $512,000 for the three months ended October 31, 1996 from a loss of $238,000 for the three months ended October 31, 1995. Income taxes primarily consist of foreign income taxes provided on the Company's Canadian operations. The effective tax rate on Canadian operations was 44.6% for the three months ended October 31, 1996. For the three months ended October 31, 1995, income taxes include a benefit resulting from the loss from operations before income taxes at an effective rate of 43.9%, as well as a recovery of prior years' federal and provincial income taxes and withholding taxes related to the tax reassessment described in Note 4 to the Condensed Consolidated Financial Statements. LIQUIDITY AND CAPITAL RESOURCES At October 31, 1996, the Company's working capital was $11,040,000, compared with $11,373,000 at July 31, 1996. This decrease primarily reflects an increase in accounts payable, partially offset by an increase in inventories. The decrease in working capital was partially attributable to net repayments of long-term debt, which decreased from $3,419,000 at July 31, 1996 to $2,772,000 at October 31, 1996. Net cash provided by operating activities was $673,000 for the three months ended October 31, 1996, compared with $564,000 for the three months ended October 31, 1995. For the three months ended October 31, 1996, the net cash provided by operating activities was primarily due to income from operations after adjusting for depreciation and amortization and an increase in accounts payable and accrued expenses, partially offset by an increase in inventories. For the three months ended October 31, 1995, the net cash provided by operating activities was primarily due to a decrease in accounts receivable, partially offset by increases in inventories and prepaid expenses and other current assets and decreases in accounts payable and accrued expenses and income taxes payable. Net cash used in investing activities was $33,000 for the three months ended October 31, 1996, and $7,000 for the three months ended October 31, 1995. Net cash used in financing activities was $606,000 for the three months ended October 31, 1996, and $841,000 for the three 9 months ended October 31, 1995. These changes were principally due to the reduction in outstanding borrowings under the Carsen revolving credit facility. The Company has two credit facilities, a $7,500,000 revolving credit facility for Carsen, and a $2,000,000 revolving credit facility for MediVators. Pursuant to the terms of the Carsen revolving credit facility, the borrowing availability is subject to a potential reduction on January 1, 1998 to an amount which will be agreed to by both Carsen and the lender and borrowings must be paid in full no later than December 31, 1998. Borrowings outstanding at October 31, 1996 and July 31, 1996 are in Canadian dollars and bear interest at .75% above the lender's Canadian prime rate. The lender's Canadian prime rate was 5% at October 31, 1996. A commitment fee on the unused portion of this facility is payable in arrears at a rate of .25% per annum, with interest on borrowings payable monthly. There were $2,616,000 (U.S. dollars) of borrowings outstanding under this facility at October 31, 1996. Pursuant to the terms of the MediVators revolving credit facility, borrowings must be paid in full no later than December 3, 1998. Borrowings bear interest at 1.5% above the lender's United States prime rate. The lender's prime rate was 8.25% at October 31, 1996. A commitment fee on the unused portion of this facility is payable in arrears at a rate of .5% per annum, with interest on borrowings payable monthly. There were $156,000 of borrowings outstanding under this facility at October 31, 1996. Each of the credit facilities provides for restrictions on available borrowings based primarily upon percentages of eligible accounts receivable and inventories; requires the subsidiary to meet certain financial covenants; are secured by substantially all assets of the subsidiary; and are guaranteed by Cantel. A decrease in the value of the Canadian dollar against the United States dollar could adversely affect the Company because the Company's Canadian subsidiary purchases substantially all of its products in United States dollars and sells its products in Canadian dollars. Such adverse currency fluctuations could also result in a corresponding adverse change in the United States dollar value of the Company's assets that are denominated in Canadian dollars. Under the Canadian credit facility, the Company's Canadian subsidiary has a foreign exchange hedging facility of up to $15,000,000 (U.S. dollars) which could be used to minimize future adverse currency fluctuations as they relate to purchases of inventories. The Company's Canadian subsidiary has foreign exchange forward contracts at December 9, 1996 aggregating approximately $10,132,000 (U.S. dollars) to hedge against possible declines in the value of 10 the Canadian dollar which would otherwise result in higher inventory costs. Such contracts represented the Canadian subsidiary's projected purchases of inventories through May 31, 1997. The average exchange rate of the contracts open at December 9, 1996 was $1.3534 Canadian dollar per United States dollar, or $.7389 United States dollar per Canadian dollar. The exchange rate published by the Wall Street Journal on December 9, 1996, was $1.3594 Canadian dollar per United States dollar, or $.7356 United States dollar per Canadian dollar. The Company believes that its anticipated cash flow from operations and the funds available under the credit facilities will be sufficient to satisfy the Company's cash operating requirements for its existing operations for the foreseeable future. At December 9, 1996, $5,407,000 was available under the credit facilities. Inflation has not significantly impacted the Company's operations. 11 PART II - OTHER INFORMATION ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS. There was no submission of matters to a vote during the quarter ended October 31, 1996. ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K (a) Exhibits Exhibit 11, Computation of Earnings Per Share Exhibit 27, Financial Data Schedule (b) Reports on Form 8-K There were no reports on Form 8-K filed for the three months ended October 31, 1996. 12 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. CANTEL INDUSTRIES, INC. Date: December 12, 1996 By: /s/ James P. Reilly ------------------------ James P. Reilly, President and Chief Executive Officer (Principal Executive Officer and Principal Financial Officer) By: /s/ Craig A. Sheldon ------------------------ Craig A. Sheldon, Vice President and Controller (Chief Accounting Officer) 13 EX-11 2 EARNINGS COMPUTATION EXHIBIT 11 CANTEL INDUSTRIES, INC. COMPUTATION OF EARNINGS PER SHARE Three Months Ended October 31, 1996 1995 --------- --------- PRIMARY Weighted average number of shares outstanding 3,891,803 3,765,352 Dilutive effect of options and warrants using the treasury stock method and average market price for the period 429,339 - --------- --------- Weighted average number of shares and common stock equivalents 4,321,142 3,765,352 --------- --------- --------- --------- Net income (loss) $ 222,000 $ (38,000) --------- --------- --------- --------- Net income (loss) per common share $ 0.05 $(0.01) ------ ------ ------ ------ EXHIBIT 11 CANTEL INDUSTRIES, INC. COMPUTATION OF EARNINGS PER SHARE Three Months Ended October 31, 1996 1995 --------- --------- FULLY DILUTED Weighted average number of shares outstanding 3,891,803 3,765,352 Dilutive effect of options and warrants using the treasury stock method and the higher of the period-end or average market price for the period 434,975 - --------- --------- Weighted average number of shares and common stock equivalents 4,326,778 3,765,352 --------- --------- --------- --------- Net income (loss) $ 222,000 $ (38,000) --------- --------- --------- --------- Net income (loss) per common share $ 0.05 $(0.01) ------ ------ ------ ------ EX-27 3 FDS
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONDENSED CONSOLIDATED BALANCE SHEET AT OCTOBER 31, 1996 AND THE CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS FOR THE THREE MONTHS ENDED OCTOBER 31, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1 3-MOS JUL-31-1997 OCT-31-1996 716,000 0 5,349,000 0 8,867,000 15,334,000 2,463,000 1,770,000 17,051,000 4,294,000 2,772,000 0 0 390,000 9,493,000 17,051,000 7,415,000 7,415,000 4,879,000 4,879,000 1,977,000 0 47,000 512,000 290,000 222,000 0 0 0 222,000 0.05 0.05
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