-----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, FtMKV7mRSbias/MyE6voG26WrremRFFd8vabM/yVEcOVCaqriEMqeJcxrQ1Y23gH fUkkLq0GRw5csVsIYnnScQ== 0000950124-00-000989.txt : 20000307 0000950124-00-000989.hdr.sgml : 20000307 ACCESSION NUMBER: 0000950124-00-000989 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19991130 FILED AS OF DATE: 20000302 FILER: COMPANY DATA: COMPANY CONFORMED NAME: KNUSAGA CORP CENTRAL INDEX KEY: 0000225544 STANDARD INDUSTRIAL CLASSIFICATION: PUBLIC BUILDING AND RELATED FURNITURE [2531] IRS NUMBER: 621004034 STATE OF INCORPORATION: DE FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: 10QSB SEC ACT: SEC FILE NUMBER: 000-07795 FILM NUMBER: 559305 BUSINESS ADDRESS: STREET 1: 3578 S VAN DYKE HWY CITY: ALMONT STATE: MI ZIP: 48003 BUSINESS PHONE: 8107988567 FORMER COMPANY: FORMER CONFORMED NAME: AMERICANADA LTD DATE OF NAME CHANGE: 19600201 10QSB 1 FORM 10QSB 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-QSB ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarter Ended November 30, 1999 Commission File Number 0-7795 KNUSAGA CORPORATION (Exact name of Registrant as specified in its charter) DELAWARE (State or other jurisdiction of incorporation or organization) 62-1004034 (I.R.S.) Employer Identification Number 3578 S. VAN DYKE ALMONT, MI 48803 (Address of principal executive office and zip code) Registrant's telephone number (include area code): (810) 798-8567 Indicate by check mark whether the 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 twelve months (or such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days. X YES NO ----- ----- Shares of Common Stock Par Value $.01, outstanding: 7,000,000. -1- 2 RESULTS OF OPERATIONS Net Sales increased 35.8% in the first quarter of the fiscal year ending August 2000 to $3,343,517 from $2,462,657 a year ago. Tubing sales increased 52.7% to $2,352,984 from $1,541,310 in the year ago quarter. This is a result of Ford Medium Truck production in their Mexican plant and Freightliner's production at their St. Thomas plant returning to normal levels from the depressed levels of a year ago. In addition the tubing business is now the exclusive tube supplier for the St. Thomas plant winning business from a competitor. The seat track business sales increased 7.5% to $990,533 in the first quarter from $921,347 a year ago as a result of growth in recreational vehicle motor home sales. Profit declined 73.5% in the first quarter to $10,185 from $38,446 in the year ago quarter. The tube sector loss increased 149.6% to $126,462 from $50,662 in the year ago quarter. This was a result of two factors: start up problems on the new tubing business acquired and start up expenses for the new sequencing operation in St. Thomas. Seat track profits increased 53.3% to $136,648 from $89,108 in the year ago quarter as a result of cost savings from re-sourcing component parts. Selling and Administrative expenses of $302,724 increased 40.1% from the year ago quarter expense of $216, 59 due to the 35.8% increase is sales. LIQUIDITY AND SOURCES OF CAPITAL The company generated $302,575 of cash from operations during the quarter. Equipment purchases consumed $89,605. There was a reduction in long term debt of $36,174 resulting in a net positive cash flow of $176,796 for the quarter. CONTINGENT MATTERS There are no contingencies or consequential uncertainties known that will materially affect the financial information as presented. -2- 3 KNUSAGA CORPORATION BALANCE SHEET (UNAUDITED) NOVEMBER 30, 1999
ASSETS November 30, 1999 CASH $ 672,541 ACCOUNTS RECEIVABLE $1,611,193 ACCOUNTS RECEIVABLE - OTHER $ 170,051 INVENTORIES $ 772,954 PREPAID EXPENSE $ 50,807 ---------- TOTAL CURRENT ASSETS $3,277,547 NET PROPERTY, PLANT AND EQUIPMENT $2,580,693 OTHER ASSETS $ 17,209 ---------- TOTAL ASSETS $5,875,450 LIABILITIES ACCOUNTS PAYABLE $1,356,343 NOTES PAYABLE $1,288,315 ACCRUED LIABILITIES $ 295,085 ---------- TOTAL CURRENT LIABILITIES $2,939,745 LONG TERM DEBT $1,467,028 ---------- TOTAL LIABILITIES $4,406,773 STOCKHOLDERS EQUITY (DEFICIENCY) Common Stock, par value $.01 per share authorized $ 70,006 7,000,000 shares issued and outstanding. Preferred stock, par value $.01 per share $ 175,000 authorized 500,000 shares, issued and outstanding 175,000 of Class A $1.00 stated value, 4% non-cumulative, non-voting. ADDITIONAL PAID-IN CAPITAL $ 366,365 RETAINED EARNINGS $ 857,305 --------- TOTAL STOCKHOLDERS EQUITY $1,468,677 ---------- TOTAL LIABILITIES AND STOCKHOLDERS EQUITY $5,875,450
-3- 4 KNUSAGA CORPORATION STATEMENT OF INCOME (UNAUDITED) THREE MONTHS ENDED NOVEMBER 30, 1999 AND NOVEMBER 30, 1998
(UNAUDITED) THREE MONTHS ENDED NOVEMBER 30, 1999 NOVEMBER 30, 1998 NET SALES $3,343,516 $2,462,657 COST OF GOODS SOLD $2,959,677 $2,136,670 ---------- ---------- GROSS PROFIT $ 383,839 $ 325,987 SELLING, GENERAL AND ADMINISTRATIVE EXPENSES $ 302,724 $ 216,059 MISC. INCOME (EXPENSE) ($ 50,421) ($ 44,485) ---------- ---------- INCOME (LOSS) BEFORE TAXES $ 30,694 $ 65,443 PROVISION FOR FEDERAL INCOME TAXES $ 20,508 $ 26,997 ---------- ---------- NET INCOME BEFORE EXTRAORDINARY ITEMS $ 10,185 $ 38,446 EXTRAORDINARY ITEMS: $ -0- $ -0- TAX BENEFIT OF OPERATING LOSS CARRYFORWARD ---------- ---------- NET INCOME $ 10,185 $ 38,446 PAR SHARE OF COMMON STOCK AND COMMON STOCK EQUIVALENTS: AVERAGE OUTSTANDING SHARES 7,000,000 7,000,000 .00 .00
7,000,000 THE FINANCIAL STATEMENTS INCLUDED IN THIS REPORT REFLECT ALL ADJUSTMENTS, WHICH, IN THE OPINION OF MANAGEMENT, .00 ARE NECESSARY FOR FAIR PRESENTATION. -4- 5 KNUSAGA CORPORATION STATEMENT OF CASH FLOW (UNAUDITED) THREE MONTHS ENDED NOVEMBER 30, 1999 AND NOVEMBER 30, 1998
(UNAUDITED) THREE MONTHS ENDED NOVEMBER 30, 1999 NOVEMBER 30, 1998 CASH PROVIDED BY (USED FOR) OPERATIONS NET INCOME (LOSS) BEFORE EXTRAORDINARY ITEMS, $ 10,185 $ 38,446 EXCHANGE LOSS ( 94) NON-CASH EXPENSE INCLUDED IN NET INCOME $ 85,270 $ 82,686 DEPRECIATION (INCREASE) DECREASE IN: ACCOUNTS RECEIVABLE $427,439 ($475,725) INVENTORIES ($ 55,888) $ 51,785 PREPAID EXPENSES $ 3,702 ($ 4,472) OTHER ASSETS $ 7,773 --- INCREASE (DECREASE) IN: ACCOUNTS PAYABLE ($ 50,054) $267,179 ACCRUED LIABILITIES ($125,757) $ 12,905 ---------- -------- NET CASH PROVIDED BY (USED FOR) $302,575 ($ 27,196) OPERATING ACTIVITIES CASH PROVIDED BY (USED FOR) INVESTING ACTIVITIES PURCHASES OF EQUIPMENT $ 89,604 $107,470 CASH PROVIDED BY (USED FOR) BEFORE ($134,666) FINANCING ACTIVITIES CASH PROVIDED BY (USED FOR) FINANCING ACTIVITIES DEBT INCREASE (DECREASE) SHORT-TERM $ 9,863 LONG-TERM ($36,174) ($94,043) --------- --------- NET CASH PROVIDED BY (USED FOR) ($36,174) ($84,180) FINANCING ACTIVITIES INCREASE (DECREASE) IN CASH $176,796 ($218,840) BALANCE AT BEGINNING OF PERIOD $495,744 $364,781 BALANCE AT END OF PERIOD $672,541 $145,935
-5- 6 Exhibit Index -------------
Exhibit No. Description - ----------- ----------- 27 Financial Data Schedule
EX-27 2 FINANCIAL DATA SCHEDULE
5 3-MOS AUG-31-2000 SEP-01-1999 NOV-30-1999 672,541 0 1,611,194 0 722,954 3,277,548 4,108,426 1,514,857 5,875,451 2,939,745 1,467,028 0 175,000 70,000 1,223,670 5,875,451 3,343,516 3,343,516 2,959,677 3,261,588 (501) 0 50,733 30,694 20,509 10,185 0 0 0 10,185 0 0
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