-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, X1AbV9/IJgNRLD/Y8s8Uhg3xB1khoUcjC71bqMk3OA2OBTRZhEL0YXJVAHLqeCzY jFLOsVvy4SYgR6jC94YpUA== 0000023675-95-000009.txt : 19950814 0000023675-95-000009.hdr.sgml : 19950814 ACCESSION NUMBER: 0000023675-95-000009 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 4 CONFORMED PERIOD OF REPORT: 19950630 FILED AS OF DATE: 19950811 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: CONSOLIDATED FREIGHTWAYS INC CENTRAL INDEX KEY: 0000023675 STANDARD INDUSTRIAL CLASSIFICATION: TRUCKING (NO LOCAL) [4213] IRS NUMBER: 941444798 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-05046 FILM NUMBER: 95561043 BUSINESS ADDRESS: STREET 1: 3240 HILLVIEW AVE CITY: PALO A LTO STATE: CA ZIP: 94304 BUSINESS PHONE: 4154942900 10-Q 1 PAGE 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q X QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 1995 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from N/A to N/A COMMISSION FILE NUMBER 132-3 CONSOLIDATED FREIGHTWAYS, INC. Incorporated in the State of Delaware I.R.S. Employer Identification No. 94-1444798 3240 Hillview Avenue, Palo Alto, California 94304 Telephone Number (415) 494-2900 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 12 months and (2) has been subject to such filing requirements for the past 90 days. Yes xx No Number of shares of Common Stock, $.625 par value, outstanding as of July 31, 1995 : 43,503,403 PAGE 2 CONSOLIDATED FREIGHTWAYS, INC. FORM 10-Q Quarter Ended June 30, 1995 _________________________________________________________________ _________________________________________________________________ INDEX PART I. FINANCIAL INFORMATION Page Item 1. Financial Statements Consolidated Balance Sheets - June 30, 1995 and December 31, 1994 3 Statements of Consolidated Income - Three and Six Months Ended June 30, 1995 and 1994 5 Statements of Consolidated Cash Flows - Six Months Ended June 30, 1995 and 1994 6 Notes to Consolidated Financial Statements 7 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 8 PART II. OTHER INFORMATION Item 1. Legal Proceedings 11 Item 6. Exhibits and Reports on Form 8-K 11 SIGNATURES 12 PAGE 3 PART I. FINANCIAL INFORMATION ITEM 1. Financial Statements CONSOLIDATED FREIGHTWAYS, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS June 30, December 31, 1995 1994 (Dollars in thousands) ASSETS CURRENT ASSETS Cash and cash equivalents $ 99,657 $ 95,711 Trade accounts receivable, net of allowances 709,178 659,191 Other accounts receivable 30,890 37,021 Operating supplies, at lower of average cost or market 49,282 41,719 Prepaid expenses 86,980 71,277 Deferred income taxes 127,330 126,546 Total Current Assets 1,103,317 1,031,465 PROPERTY, PLANT AND EQUIPMENT, at cost Land 172,441 163,965 Buildings and improvements 534,792 510,568 Revenue equipment 1,058,104 979,002 Other equipment and leasehold improvements 377,037 368,809 2,142,374 2,022,344 Accumulated depreciation and amortization (1,107,614) (1,077,752) 1,034,760 944,592 OTHER ASSETS Restricted funds 12,777 12,861 Deposits and other assets 83,892 80,626 Unamortized aircraft maintenance, net 113,428 81,010 Costs in excess of net assets of businesses acquired, net of accumulated amortization 317,274 322,169 527,371 496,666 TOTAL ASSETS $2,665,448 $2,472,723 The accompanying notes are an integral part of these statements. PAGE 4 CONSOLIDATED FREIGHTWAYS, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS June 30, December 31, 1995 1994 (Dollars in thousands) LIABILITIES AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable and accrued liabilities $ 828,012 $ 796,381 Accrued claims costs 138,542 138,800 Current maturities of long-term debt and capital leases 4,170 3,712 Short-term borrowings 8,000 -- Federal and other income taxes 11,975 6,275 Total Current Liabilities 990,699 945,168 LONG-TERM LIABILITIES Long-term debt and guarantees 384,520 286,833 Long-term obligations under capital leases 110,997 111,024 Accrued claims costs 164,171 163,849 Deferred income taxes 42,976 38,034 Other liabilities and deferred credits 253,034 254,186 Total Liabilities 1,946,397 1,799,094 SHAREHOLDERS' EQUITY Preferred stock, no par value; authorized 5,000,000 shares: Series A, designated 600,000 shares; none issued -- -- Series B, 8.5% cumulative, convertible, $.01 stated value; designated 1,100,000 shares; issued 958,150 and 962,748 shares, respectively 10 10 Series C, 8.738% cumulative, convertible, $.01 stated value; designated and issued none and 690,000 shares, respectively -- 7 Additional paid-in capital, preferred stock 145,725 264,284 Deferred TASP compensation (117,687) (120,646) Total Preferred Shareholders' Equity 28,048 143,655 Common stock, $.625 par value; authorized 100,000,000 shares; issued 51,034,547 and 43,955,510 shares, respectively 31,897 27,472 Additional paid-in capital, common stock 232,025 116,209 Cumulative translation adjustment 3,309 (1,170) Retained earnings 610,466 574,885 Cost of repurchased common stock (7,571,871 and 7,601,382 shares, respectively) (186,694) (187,422) Total Common Shareholders' Equity 691,003 529,974 Total Shareholders' Equity 719,051 673,629 TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $2,665,448 $2,472,723 The accompanying notes are an integral part of these statements. PAGE 5
CONSOLIDATED FREIGHTWAYS, INC. AND SUBSIDIARIES STATEMENTS OF CONSOLIDATED INCOME (Dollars in thousands except per share amounts) Three Months Ended Six Months Ended June 30 June 30 1995 1994 1995 1994 REVENUES CF MotorFreight $599,092 $396,113 $1,207,517 $928,496 Con-Way Transportation Services 288,122 273,913 563,012 504,321 Emery Worldwide 433,372 389,749 846,144 730,179 1,320,586 1,059,775 2,616,673 2,162,996 COSTS AND EXPENSES CF MotorFreight Operating Expenses 519,416 364,832 1,041,695 811,987 Selling and Administrative Expenses 60,809 54,609 120,141 116,176 Depreciation 16,539 18,816 33,230 38,564 596,764 438,257 1,195,066 966,727 Con-Way Transportation Services Operating Expenses 216,338 196,419 419,878 370,192 Selling and Administrative Expenses 33,841 32,257 67,060 59,913 Depreciation 9,705 8,488 18,988 16,543 259,884 237,164 505,926 446,648 Emery Worldwide Operating Expenses 353,459 305,718 692,634 580,960 Selling and Administrative Expenses 55,548 54,352 109,486 102,542 Depreciation 6,711 6,312 13,308 12,663 415,718 366,382 815,428 696,165 1,272,366 1,041,803 2,516,420 2,109,540 OPERATING INCOME (LOSS) CF MotorFreight 2,328 (42,144) 12,451 (38,231) Con-Way Transportation Services 28,238 36,749 57,086 57,673 Emery Worldwide 17,654 23,367 30,716 34,014 48,220 17,972 100,253 53,456 OTHER INCOME (EXPENSE) Investment income 397 706 522 1,221 Interest expense (8,217) (6,783) (15,418) (13,659) Miscellaneous, net 762 (1,090) 556 (1,455) (7,058) (7,167) (14,340) (13,893) Income Before Income Taxes 41,162 10,805 85,913 39,563 Income Taxes 18,935 5,598 39,520 19,100 Net Income 22,227 5,207 46,393 20,463 Preferred Stock Dividends 2,141 4,763 6,465 9,497 NET INCOME AVAILABLE TO COMMON SHAREHOLDERS $20,086 $444 $39,928 $10,966 Primary average shares outstanding (1) 44,390,346 37,314,476 44,276,122 37,217,462 PRIMARY EARNINGS PER SHARE $0.45 $0.01 $0.95 $0.29 FULLY DILUTED EARNINGS PER SHARE $0.42 $0.01 $0.89 $0.26 (1) Includes the dilutive effect of stock options. The three and six months ended June 30, 1995 also reflect the conversion of Series C Preferred stock to Common stock.
The accompanying notes are an integral part of these statements. PAGE 6 CONSOLIDATED FREIGHTWAYS, INC. AND SUBSIDIARIES STATEMENTS OF CONSOLIDATED CASH FLOWS Six Months Ended June 30, 1995 1994 (Dollars in thousands) CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD $ 95,711 $ 139,044 CASH FLOWS FROM OPERATING ACTIVITIES Net income 46,393 20,463 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 71,039 73,223 Increase (decrease) in deferred income taxes 4,275 (5,047) (Gains) losses from property disposals, net (821) 475 Changes in assets and liabilities: Receivables (43,856) (33,880) Prepaid expenses (15,703) (20,265) Accrued claims costs 64 (6,013) Accounts payable 12,963 6,074 Accrued liabilities 18,668 80,577 Federal and other income taxes 5,700 (5,949) Other (27,643) (14,648) Net Cash Provided by Operating Activities 71,079 95,010 CASH FLOWS FROM INVESTING ACTIVITIES Capital expenditures (162,475) (98,690) Purchases of marketable securities -- (309) Proceeds from sale of property 4,347 2,122 Net Cash Used by Investing Activities (158,128) (96,877) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from issuance of long-term debt 98,890 -- Repayment of long-term debt and capital lease obligations (1,884) (532) Net borrowings under revolving line of credit 8,000 -- Proceeds from issuance of common stock 2,402 7,969 Payments of common dividends (7,982) -- Payments of preferred dividends (8,431) (11,572) Net Cash Provided (Used) by Financing Activities 90,995 (4,135) Increase (decrease) in Cash and Cash Equivalents 3,946 (6,002) CASH AND CASH EQUIVALENTS, END OF PERIOD $ 99,657 $ 133,042 The accompanying notes are an integral part of these statements. PAGE 7 CONSOLIDATED FREIGHTWAYS, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 1. The accompanying consolidated financial statements of Consolidated Freightways, Inc. and subsidiaries (the Company) have been prepared by the Company, without audit by independent public accountants, pursuant to the rules and regulations of the Securities and Exchange Commission. In the opinion of management, the consolidated financial statements include all normal recurring adjustments necessary to present fairly the information required to be set forth therein. Certain information and note disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted from these statements pursuant to such rules and regulations and, accordingly, should be read in conjunction with the consolidated financial statements included in the Company's 1994 Annual Report to Shareholders. There have been no significant changes in the accounting policies of the Company. There were no significant changes in the Company's commitments and contingencies as previously described in the 1994 Annual Report to Shareholders and related annual report to the Securities and Exchange Commission on Form 10-K. 2. On March 15, 1995, the Company's 6,900,000 depository shares, each representing one-tenth of a share of Series C Conversion Preferred stock, were converted to 6,900,000 shares of the Company's Common stock. 3. On June 1, 1995, the Company issued $100 million of unsecured, unsubordinated notes in a private placement. The notes bear interest at 7.35%, payable semiannually, and are due June 1, 2005. The proceeds of the private placement notes were used to retire short-term debt, for capital expenditures and other general corporate purposes. In accordance with the terms of the private placement, on June 27, 1995, the Company filed a registration statement with the Securities and Exchange Commission to register $100 million of unsecured, unsubordinated notes which will be offered in exchange for a like principal amount of the privately placed notes and which will have essentially the same terms as the privately placed notes. 4. Also on June 27, 1995, the Company filed a shelf registration statement with the Securities and Exchange Commission covering $150 million of debt and equity securities for future issuance with terms to be decided at time of issuance. The $150 million of securities includes $45 million of securities registered under a prior registration statement and $105 million of newly registered securities. PAGE 8 5. The Company and its subsidiaries are defendants in various lawsuits incidental to their businesses. It is the opinion of management that the ultimate outcome of these actions will not have a material impact on the Company's financial position or results of operations. CONSOLIDATED FREIGHTWAYS, INC. AND SUBSIDIARIES ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS GENERAL The Company's second quarter and six months ended June 30, 1995 revenues increased 24.6% and 21.0%, respectively, over the comparable periods in 1994, with both period's revenues representing record levels. This increase reflects revenue improvements at all three operating units, CF MotorFreight (CFMF), Con-Way Transportation Services (Con-Way) and Emery Worldwide (Emery). Comparative results were affected by the 24- day strike against CFMF and other national carriers in April 1994, the slowdown in domestic economic growth in the second quarter of 1995 and extensive price discounting throughout the freight transportation industry. Operating income of $48.2 million for the second quarter 1995 was a $30.2 million improvement over the $18.0 million of operating income in the second quarter 1994. Year-to-date 1995, operating income increased 87.5% over the prior year. The 1994 second quarter and six month operating income levels include the operating losses incurred by CFMF due to the April 1994 strike. Significant variations in segment revenues and operating income are as follows: CF MOTORFREIGHT CFMF revenues for the second quarter and six months ending June 30, 1995, increased 51.2% and 30.1%, respectively, over the comparable strike-affected periods in 1994. Tonnage for April and May 1995 is not directly comparable to the prior year due to the April 1994 strike. However, CFMF was able to increase LTL tonnage in June 1995 by 11.2% over the same month in 1994 despite a slowing U.S. economy in the second quarter of 1995. CFMF reported operating income of $2.3 million for the second quarter 1995 compared to an operating loss of $42.1 million in the strike-impacted second quarter in 1994. Six month operating income for 1995 was $12.5 million, a $50.7 million improvement over the prior year. The improvement reflects the absence of PAGE 9 losses incurred during the 1994 strike, increased income from the Canadian and non-carrier logistics operations and an improvement in the LTL operations, despite a 3.3% contractual labor cost increase which went into effect April 1, 1995. In light of intensified competition in a slowing economy and the impact of a labor cost increase, CFMF expects to continue to initiate further changes to operations. These changes include increasing point-to-point loading in an effort to reduce freight handling and transit times. The slowing economy also contributed to extensive price discounting, depressing rates to about 1990 levels. To address yield deterioration, CFMF is seeking to implement a rate increase of approximately 3.5% effective as of August 1, 1995 for certain of its customers. However, CFMF's ability to sustain the rate increase may be impaired by the continued rate discounting. CON-WAY TRANSPORTATION SERVICES Con-Way's second quarter 1995 revenues increased 5.2% over the same period last year on LTL and total tonnage decreases of 5.9% and 1.1%, respectively. Six month revenues for 1995 were up 11.6% on total tonnage improvements of 2.9%, with LTL tonnage up only marginally. The quarter and six months ended June 30, 1994 include business obtained during the April 1994 strike against CFMF and other unionized LTL carriers. Operating income was down 23.2% for the second quarter and 1.0% for the six month period compared to the same strike-benefited periods in 1994. This decline reflects costs associated with Con-Way's expansion into the northwest United States including western Canada, the New York Metropolitan area and New Jersey, the merger of the southern and southwest regional carriers, expansion of its intermodal truckload group, pressure on rates and labor rate increases. Con-Way management expects to begin realizing the long-term benefits from its expansion into the new regions. Management will continue emphasizing cost control measures throughout the organization and refinement of its services. EMERY WORLDWIDE Emery revenues for the second quarter 1995 increased 11.2% over the same quarter last year while the six month revenue results increased 15.9%. Domestic business in the 1994 second quarter and first half was favorably impacted by the strike against CFMF and other unionized LTL carriers. Emery's revenue improvement for the 1995 second quarter was driven primarily by strong tonnage gains in the international markets. During the second quarter 1995, commercial domestic revenue and tonnage were down 10.7% and 10.5%, respectively, while international revenue and PAGE 10 tonnage increased 58.3% and 52.6%, respectively. For the first six months of 1995, domestic revenue and tonnage decreased 2.0% and 1.0%, respectively, while international revenue and tonnage increased 56.6% and 55.0%, respectively. Operating income for the second quarter and year-to-date 1995 declined 24.4% and 9.7%, respectively, compared to the same periods in 1994. Operating income declined despite revenue increases as margins on increased international tonnage were lower than margins on the lower domestic tonnage. Emery's margins on international freight are generally lower as Emery primarily utilizes commercial lift internationally versus a dedicated fleet for domestic volumes. The 1994 operating income also reflects the benefits of enhanced utilization of the domestic dedicated system associated with the business gained during the April 1994 strike. Emery management is increasing its marketing efforts to gain additional domestic business, in part to offset the decline in the domestic automotive sector, while continuing the programs that have been successful in the international arena. Cost controls are still at the forefront as Emery management seeks further to improve operations and agent relationships in international locations. LIQUIDITY AND CAPITAL RESOURCES At June 30, 1995 the Company had $99.7 million in cash and cash equivalents. Net cash flow from operations during the first half of 1995 of $70.0 million was primarily the result of income from operations, depreciation and amortization, after payments for incentive compensation. Capital expenditures were $162.5 million, an increase of $63.8 million over 1994, due primarily to purchases of revenue equipment and real property by CFMF and Con- Way. The Company intends to finance the remaining capital requirements for the year with cash from operations supplemented by financing arrangements. The Company issued $100 million of notes in June 1995. The net proceeds were used to retire $71 million of short-term borrowings under various bank facilities that were used to finance a portion of the capital expenditures in the first six months of 1995. The remaining net proceeds of $27.9 million were used for capital expenditures and for other general corporate purposes. Also in June 1995, the Company filed a shelf registration statement with the Securities and Exchange Commission covering $150 million of debt and equity securities for future issuance with terms to be decided at time of issuance. The $150 million of securities includes $45 million of securities registered under a prior registration statement and $105 million of newly registered securities. Proceeds will be used for general PAGE 11 corporate purposes which may include repayment of indebtedness, capital expenditures and working capital needs. At June 30, 1995, $117.8 million of letters of credit were issued under the Company's $300 million unsecured credit facility. In addition, $70.3 million of letters of credit were issued and secured with Emery receivables under the $100 million Emery receivables sale facility. Also at June 30, 1995, $40.4 million of letters of credit were issued under several unsecured letter of credit facilities. OTHER The Company's operations necessitate the storage of fuel in underground tanks as well as the disposal of substances regulated by various federal and state laws. The Company adheres to a stringent site-by-site tank testing and maintenance program performed by a qualified independent party to protect the environment and comply with regulations. Where the need for clean-up is necessary, the Company takes appropriate action. PART II. OTHER INFORMATION ITEM 1. Legal Proceedings As previously reported, the Company has been designated a Potentially Responsible Party (PRP) by the Environmental Protection Agency (EPA) with respect to the disposal of hazardous substances at various sites. The Company expects its share of the total cleanup costs of all sites to be immaterial. Certain legal matters are discussed in Note 5 in the Notes to Consolidated Financial Statements in Part I of this form. ITEM 6. Exhibits and Reports on Form 8-K (a) Exhibits (11) Computation of Per Share Earnings (12) Computation of Earnings to Fixed Charges (27) Financial Data Schedule (b) Reports on Form 8-K No reports on Form 8-K were filed during the quarter ended June 30, 1995. PAGE 12 SIGNATURES Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Company (Registrant) has duly caused this Form 10-Q Quarterly Report to be signed on its behalf by the undersigned, thereunto duly authorized. CONSOLIDATED FREIGHTWAYS,INC. (Registrant) August 11, 1995 /s/Gregory L. Quesnel Gregory L. Quesnel Executive Vice President and Chief Financial Officer August 11, 1995 /s/Gary D. Taliaferro Gary D. Taliaferro Vice President and Controller EX-11 2 Exhibit 11 COMPUTATION OF PER SHARE EARNINGS The following is the computation of fully-diluted earnings per share: Three Months Ended Six Months Ended June 30 June 30 1995 1994 1995 1994 (Dollars in thousands except per share data) Net income available to common shareholders $20,086 $444 $39,928 $10,966 Non-discretionary adjustments under the if-converted method: Addback: Series C, preferred dividends 0 0 2,207 0 Addback: Series B, preferred dividends, net of tax benefits 2,141 2,106 4,258 4,184 Less: Replacement of funding adjustment, net of tax benefits (1) (1,655) (2,106) (3,286) (4,184) Net income available to common shareholders $20,572 $444 $43,107 $10,966 WEIGHTED AVERAGE SHARES OUTSTANDING: Common shares (2) 43,417,331 36,213,566 43,346,424 36,088,779 Equivalents - stock options 973,015 1,100,910 929,698 1,128,683 Series B, Preferred stock if-converted method 4,364,104 4,228,495 4,364,104 4,228,495 48,754,450 41,542,971 48,640,226 41,445,957 FULLY DILUTED EARNINGS PER SHARE $0.42 $0.01 $0.89 $0.26 (1) Additional payment to the TASP to replace the funding lost under the if-converted method. (2) The three and six months ended June 30, 1995 reflect the conversion of Series C Preferred stock to Common stock.
EX-12 3
Exhibit 12 COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES Six Months Ended June 30, Year Ended December 31, 1995 1994 1994 1993 1992 1991 1990 (unaudited) (dollars in thousands) Fixed Charges: Interest Expense $15,418 $13,659 $27,945 $30,333 $38,893 $46,703 $40,178 Capitalized Interest 475 729 1,042 1,224 543 1,703 2,470 Preferred Dividends 6,224 6,259 12,475 12,551 12,618 12,691 12,746 Total Interest 22,117 20,647 41,462 44,108 52,054 61,097 55,394 Interest Component of Rental Expense 37,429 30,328 62,304 57,585 55,773 58,052 54,016 Fixed Charges 59,546 50,975 103,766 101,693 107,827 119,149 109,410 Less: Capitalized Interest 475 729 1,042 1,224 543 1,703 2,470 Preferred Dividends 6,224 6,259 12,475 12,551 12,618 12,691 12,746 Net Fixed Charges $52,847 $43,987 $90,249 $87,918 $94,666 $104,755 $94,194 Earnings: Income Before Taxes $85,913 $39,563 $111,920 $91,441 ($10,733) ($43,337) ($32,678) Add: Net Fixed Charges 52,847 43,987 90,249 87,918 94,666 104,755 94,194 Total Earnings $138,760 $83,550 $202,169 $179,359 $83,933 $61,418 $61,516 Ratio of Earnings to Fixed Charges: Total Earnings $138,760 $83,550 $202,169 $179,359 $83,933 $61,418 $61,516 Fixed Charges (1) 59,546 50,975 103,766 101,693 107,827 119,149 109,410 Ratio 2.3 x 1.6 x 1.9 x 1.8 x 0.8 x(2) 0.5 x(2) 0.6 x(2) (1) Fixed Charges represents interest on capital leases and short-term and long-term debt, capitalized interest, dividends on shares of the Series B Cumulative Convertible Preferred Stock used to pay debt service on notes issued by the Company's Thrift and Stock Plan (the "TASP"), and the applicable portion of the consolidated rent expense which approximates the interest portion of lease payments. (2) Earnings were inadequate to cover fixed charges for the periods shown; the deficiency was $23.9 million, $57.7 million and $47.9 million for the years ended December 31, 1992, 1991 and 1990, respectively.
EX-27 4
5 6-MOS DEC-31-1995 JUN-30-1995 99,657 0 735,815 (26,637) 49,282 1,103,317 2,142,374 (1,107,614) 2,665,448 990,699 495,517 263,922 0 145,735 309,394 2,665,448 0 2,616,673 0 2,516,420 14,340 6,554 15,418 85,913 39,520 46,393 0 0 0 39,928 .95 .89
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