-----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, B7Qpbhw/U5VFtfBu0A/5pcRPtqsFI/eGRqNVX6bgan4NDubex1uWN3H86wPHaXq9 tRazQqY6t3VUQ4Lvk7AtmA== 0000950152-97-005423.txt : 19970731 0000950152-97-005423.hdr.sgml : 19970731 ACCESSION NUMBER: 0000950152-97-005423 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19970630 FILED AS OF DATE: 19970730 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: DIEBOLD INC CENTRAL INDEX KEY: 0000028823 STANDARD INDUSTRIAL CLASSIFICATION: CALCULATING & ACCOUNTING MACHINES (NO ELECTRONIC COMPUTERS) [3578] IRS NUMBER: 340183970 STATE OF INCORPORATION: OH FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-04879 FILM NUMBER: 97647535 BUSINESS ADDRESS: STREET 1: P.O. BOX 8230 STREET 2: 5995 MAYFAIR RD CITY: CANTON STATE: OH ZIP: 44711-8230 BUSINESS PHONE: 2164894000 MAIL ADDRESS: STREET 1: PO BOX 8230 CITY: CANTON STATE: OH ZIP: 44711-8230 10-Q 1 DIEBOLD, INCORPORATED 10-Q 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, 1997 OR ( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from .......... to .......... Commission file number 1-4879 ------ DIEBOLD, INCORPORATED - -------------------------------------------------------------------------------- (Exact name of registrant as specified in its charter) Ohio 34-0183970 - ----------------------------------- ------------------------------------ (State or other jurisdiction of (IRS Employer incorporation or organization) Identification Number) 5995 Mayfair Road, P.O. Box 3077, North Canton, Ohio 44720-8077 - ----------------------------------------------------- ------------------------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (330) 489-4000 - -------------------------------------------------------------------------------- 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 (or for 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. Yes X No --- --- Indicate the number of shares outstanding of each of the issuer's classes of Common Shares, as of the latest practicable date. Class Outstanding at July 28, 1997 ----- ---------------------------- Common Shares $1.25 Par Value 68,959,356 Shares - ------------------------------ ---------- ------ -1- 2 DIEBOLD, INCORPORATED AND SUBSIDIARIES FORM 10-Q INDEX
Page No. -------- PART I. FINANCIAL INFORMATION ITEM 1. Financial Statements Condensed Consolidated Balance Sheets - June 30, 1997 and December 31, 1996 3 Condensed Consolidated Statements of Income - Three Months and Six Months Ended June 30, 1997 and 1996 4 Condensed Consolidated Statements of Cash Flows - Six Months Ended June 30, 1997 and 1996 5 Notes to Condensed Consolidated Financial Statements 6 ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 7 PART II. OTHER INFORMATION ITEM 6. Exhibits and Reports on Form 8-K 8 SIGNATURES 10 INDEX TO EXHIBITS 11
-2- 3 DIEBOLD, INCORPORATED AND SUBSIDIARIES FORM 10-Q PART I - FINANCIAL INFORMATION ITEM 1. - FINANCIAL STATEMENTS CONDENSED CONSOLIDATED BALANCE SHEETS ----------------------------------------------- (Dollars in thousands except per share amounts)
(Unaudited) June 30, December 31, 1997 1996 ----------- ------------ ASSETS - ------ Current assets Cash and cash equivalents $ 23,925 $ 21,885 Short-term investments 36,766 43,249 Trade receivables 291,760 256,572 Inventories 123,262 109,432 Prepaid expenses and other current assets 53,233 56,385 --------- --------- Total current assets 528,946 487,523 Securities and other investments 151,992 138,403 Property, plant and equipment, at cost 239,176 203,103 Less accumulated depreciation and amortization 111,551 107,169 --------- ---------- 127,625 95,934 Finance receivables 41,546 38,099 Other assets 96,886 99,142 --------- ---------- $ 946,995 $ 859,101 ========= ========= LIABILITIES AND SHAREHOLDERS' EQUITY - ------------------------------------ Current liabilities Accounts payable and other current liabilities $ 155,931 $ 159,126 Deferred income 93,397 69,094 --------- --------- Total current liabilities 249,328 228,220 Bonds payable 20,800 -- Pensions 22,516 20,308 Postretirement benefits 22,060 21,863 Minority interest 18,397 13,140 Shareholders' equity Preferred Shares, no par value, authorized 1,000,000 shares, none issued Common Shares, par value $1.25, authorized 125,000,000, issued 69,213,478 and 68,997,276 shares, respectively; outstanding 68,942,602 and 68,840,591 shares, respectively 86,516 86,246 Additional capital 33,812 28,110 Retained earnings 515,254 478,667 Treasury shares, at cost (270,876 and 156,685 shares, respectively) (12,882) (7,170) Other (8,806) (10,283) ---------- ---------- Total shareholders' equity 613,894 575,570 --------- --------- $ 946,995 $ 859,101 ========= =========
See accompanying notes to condensed consolidated financial statements. -3- 4 DIEBOLD, INCORPORATED AND SUBSIDIARIES FORM 10-Q CONDENSED CONSOLIDATED STATEMENTS OF INCOME ------------------------------------------- (Unaudited) (In thousands except per share amounts)
Three Months Ended Six Months Ended June 30 June 30 ----------------------- ------------------------ Net sales 1997 1996 1997 1996 -------- -------- --------- -------- Products $203,721 $ 161,744 $375,481 $294,634 Services 99,481 86,593 192,329 169,589 -------- --------- -------- -------- 303,202 248,337 567,810 464,223 Cost of sales Products 126,182 99,510 228,928 181,064 Services 70,817 61,298 140,320 121,814 -------- -------- -------- -------- 196,999 160,808 369,248 302,878 -------- -------- -------- -------- Gross profit 106,203 87,529 198,562 161,345 Selling and administrative expense 46,848 39,825 90,401 76,935 Research, development and engineering expense 13,072 12,925 25,973 24,971 -------- -------- -------- -------- 59,920 52,750 116,374 101,906 -------- -------- -------- -------- Operating profit 46,283 34,779 82,188 59,439 Investment income 5,054 5,126 9,561 9,161 Miscellaneous, net (2,334) (2,342) (4,004) (3,836) Minority interest (2,473) (836) (5,256) (910) -------- -------- --------- -------- Income before taxes 46,530 36,727 82,489 63,854 Taxes on income 15,840 12,300 28,066 21,388 -------- -------- --------- -------- Net income $ 30,690 $ 24,427 $ 54,423 $ 42,466 ======== ======== ========= ======== Weighted average number of Common Shares outstanding 68,935 68,770 68,908 68,772 Net income per Common Share $ 0.45 $ 0.36 $ 0.79 $ 0.62 ======== ======== ========= ======== Cash dividends paid per Common Share $ 0.1250 $ 0.1133 $ 0.2500 $ 0.2267 ======== ======== ========= ========
See accompanying notes to condensed consolidated financial statements. -4- 5 DIEBOLD, INCORPORATED AND SUBSIDIARIES FORM 10-Q CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS ----------------------------------------------- (Unaudited) (Dollars in thousands)
Six months Ended June 30, 1997 1996 --------- -------- Cash flow from operating activities: Net income $ 54,423 $ 42,466 Adjustments to reconcile net income to cash provided by operating activities: Minority share of income 5,256 910 Depreciation and amortization 8,076 8,135 Other charges and amortization 5,014 5,366 Cash used by changes in certain current assets and liabilities (48,633) (25,656) Changes in deferred income 24,303 15,846 Other 3,468 6,353 -------- -------- Total adjustments (2,516) 10,954 -------- -------- Net cash provided by operating activities 51,907 53,420 Cash flow from investing activities: Proceeds from maturities of investments 26,085 35,344 Payments for purchases of investments (32,557) (50,105) Capital expenditures (40,015) (10,094) Increase in certain other assets (7,209) (2,255) -------- -------- Net cash used by investing activities (53,696) (27,110) Cash flow from financing activities: Dividends paid (17,231) (15,594) Proceeds from issuance of Common Shares 260 530 Proceeds from long-term borrowings 20,800 -- -------- -------- Net cash provided by (used by) financing activities 3,829 (15,064) -------- -------- Increase in cash and cash equivalents 2,040 11,246 Cash and cash equivalents at the beginning of the period 21,885 15,698 -------- -------- Cash and cash equivalents at the end of the period $ 23,925 $ 26,944 ======== ========
See accompanying notes to condensed consolidated financial statements. -5- 6 DIEBOLD, INCORPORATED AND SUBSIDIARIES FORM 10-Q NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS ---------------------------------------------------- (Unaudited) (Dollars in thousands) 1. The financial information included herein is unaudited; however, such information reflects all adjustments (consisting solely of normal recurring adjustments), which are, in the opinion of management, necessary for a fair statement of the results for the interim periods. The condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto together with management's discussion and analysis of financial condition and results of operations contained in the Registrant's Annual Report on Form 10-K for the year ended December 31, 1996. In addition, the Registrant's statements in this Form 10-Q report may be considered forward-looking and involve risks and uncertainties that could significantly impact expected results. A discussion of these risks and uncertainties is contained in the Registrant's Annual Report on Form 10-K for the year ended December 31, 1996. The results of operations for the six month period ended June 30, 1997 are not necessarily indicative of results to be expected for the full year. 2. The Net income per Common Share computations in the condensed consolidated statements of income are based on the weighted average number of shares outstanding during each period reported. On January 30, 1997, the Board of Directors declared a three-for-two stock split effected in the form of a stock dividend, distributed on February 19, 1997, to shareholders of record on February 7, 1997. Accordingly, all numbers of Common Shares, except authorized shares and treasury shares, and all per share data have been restated to reflect this stock split.
3. Inventory detail at: June 30, 1997 December 31, 1996 ------------- ----------------- Finished goods and service parts $ 47,489 $ 40,348 Work in process 75,598 68,967 Raw materials 175 117 -------- -------- Total inventory $123,262 $109,432 ======== ========
4. The Registrant has reclassified the presentation of certain prior-year information to conform with the current presentation format. 5. The Registrant announced on June 27, 1997, that it would discontinue its international marketing and distribution agreement with IBM. On July 2, 1997, IBM informed the Registrant that it was exercising its option to sell its 30 percent minority ownership in InterBold to the Registrant. The Registrant and IBM have begun discussions to assess the value of the minority stake. Any financial impact has not yet been determined. -6- 7 DIEBOLD, INCORPORATED AND SUBSIDIARIES FORM 1O-Q ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS As of June 30, 1997 (Unaudited) (Dollars in thousands except for per share data) Changes in Financial Condition - ------------------------------ The balance sheet of the Registrant continued to reflect a strong financial position at June 30, 1997. Cash, cash equivalents and short-term investments decreased to $60,691 at June 30, 1997 compared to $65,134 at December 31, 1996. These assets along with securities and other investments accounted for 22% and 24% of total assets at June 30, 1997 and December 31, 1996, respectively. Securities and other investments consist principally of tax-free municipal bonds, preferred stock, and other investments. Future capital expenditures and increases in working capital are expected to be financed primarily through internally generated funds. The Registrant's investment portfolio is available for any funding needs if required. External financing is also available if needed through the Registrant's lines of credit. At June 30, 1997, the Registrant had unused lines of credit approximating $60,000 and the Registrant is not restricted as to the use of funds borrowed under these credit agreements. Therefore, the lines of credit represent an additional and immediate source of liquidity. During the first and second quarters of 1997, the Registrant issued Industrial Development Revenue Bonds to finance the construction of its Danville and Staunton, Virginia and Lexington, North Carolina manufacturing facilities. The Company's strong financial position enhances its ability to obtain additional funds if required. Shareholders' equity per Common Share at June 30, 1997 improved to $8.90 from $8.36 at December 31, 1996. The second quarter cash dividend of $0.125 per share was paid on June 6, 1997 to shareholders of record on May 16, 1997. Diebold, Incorporated shares are listed on the New York Stock Exchange under the symbol of DBD. The market price during the first six months of 1997 fluctuated within the range of $28.00 and $44.875. On April 24, 1997, the Registrant announced that its Board of Directors authorized the repurchase of up to two million common shares of the Registrant's stock in the open market. The timing and actual amount repurchased will depend on prevailing share market prices and trading volume. The shares that are acquired will be held as treasury shares and will be available for general corporate purposes. Results of Operations - --------------------- Second Quarter 1997 Comparison to Second Quarter 1996 - ----------------------------------------------------- Net sales for the second quarter of 1997 increased from the same period in 1996 by $54,865 or 22%. Total gross profit increased $18,674 or 21% over the second quarter's performance in 1996. Product gross profit accounted for the majority of this increase as the result of increased sales volume of self-service terminals both domestically and internationally and continuing cost containment efforts. Operating expenses increased $7,170 or 14% over the same period in 1996 largely due to higher selling expenses resulting from the increases in sales volumes and expenditures from various new marketing programs. Operating profit increased $11,504 or 33% over second quarter 1996's performance. -7- 8 DIEBOLD, INCORPORATED AND SUBSIDIARIES FORM 1O-Q ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (Continued) As of June 30, 1997 (Unaudited/Dollars in thousands except for per share data) First Half 1997 Comparison to First Half 1996 - --------------------------------------------- Consolidated net sales for the first half of 1997 exceeded the same period in 1996 by $103,587 or 22%. Total gross profit increased $37,217 or 23% over 1996's first half performance. Product gross profit continued to account for the majority of this increase in total gross profit resulting from increased domestic and international sales volumes and reduction of costs. Operating expenses increased $14,468 or 14% over the same period in 1996 due to the higher selling and administrative expenses associated with the increase in sales activity. Operating profit for the first half 1997 exceeded the first half 1996 by $22,749 or 38%. The Company's backlog of unfilled orders was $253,305 at June 30, 1997, compared to $214,172 at June 30, 1996, an increase of $39,133 or 18%. The Company believes, however, that order backlog information is not, by itself, a meaningful indicator of future revenue streams. There are numerous factors which influence the amount and timing of revenue recognized in future periods. PART II. OTHER INFORMATION ITEM 6. Exhibits and Reports on Form 8-K (a) Exhibits 3.1(i) Amended and Restated Articles of Incorporation of Diebold, Incorporated -- incorporated by reference to Exhibit 3.1(i) of Registrant's Annual Report on Form 10-K for the year ended December 31, 1994. 3.1(ii) Code of Regulations -- incorporated by reference to Exhibit 4(c) to Registrant's Post-Effective Amendment No. 1 to Form S-8 Registration Statement No. 33-32960. 3.2 Certificate of Amendment by Shareholders to Amended Articles of Incorporation of Diebold, Incorporated -- incorporated by reference to Exhibit 3.2 to Registrant's Form 10-Q for the quarter ended March 31, 1996. 4. Rights Agreement dated as of February 10, 1989 between Diebold, Incorporated and Bank of New York -- incorporated by reference to Exhibit 2.1 to Registrant's Registration Statement on Form 8-A dated February 10, 1989. *10.1 Form of Employment Agreement as amended and restated as of September 13, 1990 -- incorporated by reference to Exhibit 10.1 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1990. *10.2 Schedule of Certain Officers who are Parties to Employment Agreements in the form of Exhibit 10.1. *10.3(i) Supplemental Retirement Benefit Agreement with William T. Blair -- incorporated by reference to Exhibit 10.3 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1995. *10.3(ii) Consulting Agreement with William T. Blair -- incorporated by reference to Exhibit 10.3(ii) to Registrant's Annual Report on Form 10-K for the year ended December 31, 1996. -8- 9 *10.5 Supplemental Employee Retirement Plan (as amended January 1, 1994) -- incorporated by reference to Exhibit 10.5 of Registrant's Annual Report on Form 10-K for the year ended December 31, 1994. 10.6 Amended and Restated Partnership Agreement dated as of September 12, 1990 -- incorporated by reference to Exhibit 10 to Registrant's Form 8-K dated September 26, 1990. *10.7 1985 Deferred Compensation Plan for Directors of Diebold, Incorporated -- incorporated by reference to Exhibit 10.7 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1992. *10.8 1991 Equity and Performance Incentive Plan as Amended and Restated -- incorporated by reference to Exhibit 10.8 to Registrant's Form 10-Q for the quarter ended March 31, 1997. *10.9 Long-Term Executive Incentive Plan -- incorporated by reference to Exhibit 10.9 of Registrant's Annual Report on Form 10-K for the year ended December 31, 1993. *10.10 1992 Deferred Incentive Compensation Plan (as amended and restated as of July 1, 1993) -- incorporated by reference to Exhibit 10.10 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1993. *10.11 Annual Incentive Plan -- incorporated by reference to Exhibit 10.11 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1992. *10.12 Employment Agreement with Robert P. Barone -- incorporated by reference to Exhibit 10.12 to Registrant's Form 10-Q for the quarter ended September 30, 1994. *10.13 Forms of Deferred Compensation Agreement and Amendment No. 1 to Deferred Compensation Agreement -- incorporated by reference to Exhibit 10.13 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1996. 27. Financial Data Schedule. (b) Reports on Form 8-K. A Form 8-K dated July 3, 1997 was filed with respect to the Company's decision to discontinue its international marketing and distribution agreement with IBM, and the announcement that IBM exercised its option to sell its 30 percent minority ownership in InterBold to Registrant. * Reflects management contract or other compensatory arrangement. -9- 10 DIEBOLD, INCORPORATED AND SUBSIDIARIES FORM 10-Q 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. DIEBOLD, INCORPORATED --------------------------------- (Registrant) Date: July 29, 1997 By: /s/ Robert W. Mahoney -------------- ----------------------------- Robert W. Mahoney Chairman of the Board and Chief Executive Officer Date: July 29, 1997 By: /s/ Gerald F. Morris -------------- ----------------------------- Gerald F. Morris Executive Vice President and Chief Financial Officer (Principal Accounting and Financial Officer) -10- 11 DIEBOLD, INCORPORATED FORM 10-Q INDEX TO EXHIBITS
EXHIBIT NO. PAGE NO. - ----------- -------- 3.1 (i) Amended and Restated Articles of Incorporation of Diebold, Incorporated -- incorporated by reference to Exhibit 3.1(i) of Registrant's Annual Report on Form 10-K for the year ended December 31, 1994. -- 3.1 (ii) Code of Regulations -- incorporated by reference to Exhibit 4(c) to Registrant's Post-Effective Amendment No. 1 to Form S-8 Registration Statement No. 33-32960. -- 3.2 Certificate of Amendment by Shareholders to Amended Articles of Incorporation of Diebold, Incorporated -- incorporated by reference to Exhibit 3.2 to Registrant's Form 10-Q for the quarter ended March 31, 1996. -- 4. Rights Agreement dated as of February 10, 1989 between Diebold, Incorporated and Ameritrust Company National Association -- incorporated by reference to Exhibit 2.1 to Registrant's Registration Statement on Form 8-A dated February 10, 1989. -- 10.1 Form of Employment Agreement as amended and restated as of September 13, 1990 -- incorporated by reference to Exhibit 10.1 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1990. -- 10.2 Schedule of Certain Officers who are Parties to Employment Agreements in the form of Exhibit 10.1. 13 10.3 (i) Supplemental Retirement Benefit Agreement with William T. Blair -- incorporated by reference to Exhibit 10.3 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1995. -- 10.3 (ii) Consulting Agreement with William T. Blair -- incorporated by reference to Exhibit 10.3(ii) to Registrant's Annual Report on Form 10-K for the year ended December 31, 1996. --
-11- 12
EXHIBIT NO. PAGE NO. - ----------- -------- 10.5 Supplemental Employee Retirement Plan (as amended January 1, 1994) -- incorporated by reference to Exhibit 10.5 of Registrant's Annual Report on Form 10-K for the year ended December 31, 1994. -- 10.6 Amended and Restated Partnership Agreement dated as of September 12, 1990 -- incorporated by reference to Exhibit 10 to Registrant's Form 8-K dated September 26, 1990. -- 10.7 1985 Deferred Compensation Plan for Directors of Diebold, Incorporated -- incorporated by reference to Exhibit 10.7 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1992. -- 10.8 1991 Equity and Performance Incentive Plan as Amended and Restated -- incorporated by reference to Exhibit 10.8 to Registrant's Form 10-Q for the quarter ended March 31, 1997. -- 10.9 Long-Term Executive Incentive Plan -- incorporated by reference to Exhibit 10.9 of Registrant's Annual Report on Form 10-K for the year ended December 31, 1993. -- 10.10 1992 Deferred Incentive Compensation Plan (as amended and restated as of July 1, 1993) -- incorporated by reference to Exhibit 10.10 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1993. -- 10.11 Annual Incentive Plan -- incorporated by reference to Exhibit 10.11 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1992. -- 10.12 Employment Agreement with Robert P. Barone -- incorporated by reference to Exhibit 10.12 to Registrant's Form 10-Q for the quarter ended September 30, 1994. -- 10.13 Forms of Deferred Compensation Agreement and Amendment No. 1 to Deferred Compensation Agreement -- incorporated by reference to Exhibit 10.13 to Registrant's Annual Report on Form 10-K for the year ended December 31, 1996. -- 27. Financial Data Schedule. 14
-12- EX-10.2 2 EXHIBIT 10.2 1 Exhibit 10.2 Schedule of Certain Officers Who Are Parties to Employment Agreements Robert P. Barone William T. Blair Charles J. Bechtel David Bucci Frank G. D'Angelo Warren W. Dettinger Reinoud G. J. Drenth Donald E. Eagon, Jr. Charee Francis-Vogelsang Bartholomew J. Frazzitta Michael J. Hillock Larry D. Ingram Robert W. Mahoney Gerald F. Morris Edgar N. Peterson Charles B. Scheurer Gregg A. Searle Robert L. Stockamp Alben W. Warf Robert J. Warren 13 EX-27 3 EXHIBIT 27
5 THIS SCHEDULE CONTAINS SUMMARY INFORMATION EXTRACTED FROM CONDENSED CONSOLIDATED BALANCE SHEET AT JUNE 30, 1997 AND CONDENSED CONSOLIDATED STATEMENTS OF INCOME FOR THE SIX MONTHS ENDED JUNE 30, 1997 (UNAUDITED) AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1,000 U.S. DOLLAR 6-MOS DEC-31-1997 JAN-01-1997 JUN-30-1997 1 23,925 36,766 291,760 0 123,262 528,946 239,176 111,551 946,995 249,328 20,800 86,516 0 0 527,378 946,995 375,481 567,810 228,928 369,248 116,374 0 0 82,489 28,066 54,423 0 0 0 54,423 .79 .79
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