-----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, HxUgMSnMrloi2U0sSerjh5t+tClgUwgjuW5ISA2i66JmP3pm6k5arxzkTr1tyext XrF+l6hGU/A0iaoTpP56lA== 0000913355-98-000039.txt : 19980514 0000913355-98-000039.hdr.sgml : 19980514 ACCESSION NUMBER: 0000913355-98-000039 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19980329 FILED AS OF DATE: 19980513 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: FARREL CORP CENTRAL INDEX KEY: 0000034645 STANDARD INDUSTRIAL CLASSIFICATION: SPECIAL INDUSTRY MACHINERY, NEC [3559] IRS NUMBER: 222689245 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 000-19703 FILM NUMBER: 98618236 BUSINESS ADDRESS: STREET 1: 25 MAIN STREET CITY: ANSONIA STATE: CT ZIP: 06401 BUSINESS PHONE: 2037365500 10-Q 1 FORM 10-Q FOR THE QUARTER ENDED MARCH 29, 1998 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 March 29, 1998 ----------------------------------- 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 0 -19703 ---------------- Farrel Corporation ------------------------------------------------------ (Exact name of registrant as specified in its charter) Delaware 22-2689245 ---------------------- ----------------------- (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 25 Main Street, Ansonia, Connecticut, 06401 --------------------------------------------------- (Address of principal executive offices) (Zip Code) (203) 736-5500 -------------------- (Registrant's telephone number, including area code) 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 --- --- APPLICABLE ONLY TO CORPORATE ISSUERS: ------------------------------------- Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date. CLASS OUTSTANDING AT May 8, 1998 - -------------------------------------------------------------------------------- Common Stock (Voting), $.01 par value 5,942,582 ------------------- Farrel Corporation ------------------ Index ----- Page ---- Part I. Financial Information --------------------- Consolidated Balance Sheets - March 29, 1998 and December 31, 1997 3 Consolidated Statements of Operations - Three Months Ended March 29, 1998 and March 30, 1997 4 Consolidated Statements of Cash Flows - Three Months ended March 29, 1998 and March 30, 1997 5 Notes to Consolidated Financial Statements 6 Management's Discussion and Analysis of Financial Condition and Results of Operations 7 Exhibit 11 - Computation of Earnings Per Share 10 Part II. Other Information 11 ----------------- Page 2 of 16 Part I - Financial Information FARREL CORPORATION CONSOLIDATED BALANCE SHEETS (In thousands, except share data)
March 29, December 31, 1998 1997 ASSETS (Unaudited) Current Assets: Cash and cash equivalents $3,533 $1,447 Accounts receivable, net of allowance for doubtful accounts of $224 and $179, respectively 13,613 14,423 Inventory (Note 2) 23,397 18,277 Other current assets 2,485 2,957 --------------- ------------------ Total current assets 43,028 37,104 Property, plant and equipment - net of accumulated depreciation of $10,319 and $9,786, respectively 12,602 12,416 Goodwill (Note 3) 4,351 5,295 Asset purchase agreement receivable (Note 3) 742 Other Assets 1,489 1,566 --------------- ------------------ Total Assets $62,212 $56,381 =============== ================== LIABILITIES & STOCKHOLDERS' EQUITY Current Liabilities: Accounts payable $10,328 $8,317 Accrued expenses & taxes 4,354 4,753 Advances from customers 8,627 6,412 Accrued installation & warranty costs 1,141 1,326 Dividends payable - 951 Short - term debt 4,275 1,527 --------------- ------------------ Total current liabilities 28,725 23,286 Long - term debt 5,386 5,283 Postretirement benefit obligation 1,202 1,213 Long term pension obligation 592 592 Deferred income taxes 193 225 Commitments and contingencies - - --------------- ------------------ Total Liabilities 36,098 30,599 --------------- ------------------ Stockholders' Equity: Preferred stock, par value $100, 1,000,000 shares authorized, no shares issued - - Common stock, par value $.01, 10,000,000 shares authorized, 6,142,106 shares issued 61 61 Paid in capital 19,295 19,295 Treasury stock, 199,524 shares at March 29, 1998 and December 31, 1997 (984) (984) Retained earnings 7,886 7,776 Accumulated other comprehensive expense (144) (366) --------------- ------------------ Total Stockholders' Equity 26,114 25,782 --------------- ------------------ Total Liabilities and Stockholders' Equity $62,212 $56,381 =============== ==================
See Accompanying Notes to Consolidated Financial Statements Page 3 of 16 FARREL CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share and share data)
Three Months Ended ------------------ March 29, March 30, 1998 1997 (unaudited) (unaudited) Net Sales $15,976 $16,123 Cost of sales 11,740 12,785 --------------- ----------------- Gross margin 4,236 3,338 Operating expenses: Selling 1,732 1,657 General & administrative 1,769 1,763 Research & development 318 390 --------------- ----------------- Total operating expenses 3,819 3,810 --------------- ----------------- Operating income/(loss) 417 (472) Interest income 157 54 Interest expense (315) (10) Other (expense) income, net (76) 256 --------------- ----------------- Income(loss) before income taxes 183 (172) (Provision) benefit for income taxes (73) 66 --------------- ----------------- Net income (loss) $110 ($106) =============== ================= Per share data: Basic and Diluted net income (loss) per common share $0.02 ($0.02) =============== ================= Average shares outstanding: Basic 5,942,582 5,942,382 =============== ================= Diluted 5,982,985 5,942,382 =============== =================
See Accompanying Notes to Consolidated Financial Statements Page 4 of 16 FARREL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands)
Three Months Ended ------------------ March 29, March 30, 1998 1997 (Unaudited) (Unaudited) Cash flows from operating activities: Net Income/(loss) $110 ($106) Adjustments to reconcile net (loss)/income to net cash provided/(used in) by operating activities: Gain on disposal of fixed assets - (299) Depreciation and amortization 484 413 Decrease in accounts receivable 956 4,751 (Increase) in inventory (4,539) (6,725) Increase in accounts payable 1,884 663 Increase in customer advances 3,143 1,736 (Decrease) in accrued expenses & taxes (712) (303) (Decrease) in accrued installation and warranty costs (195) (219) (Decrease)/increase in deferred income taxes (38) 133 Other (318) 191 -------------------- ----------------- Total adjustments 665 341 -------------------- ----------------- Net cash provided by operating activities 775 235 -------------------- ----------------- Cash flows from investing activities: Proceeds from disposal of fixed assets - 444 Purchases of property, plant and equipment (460) (67) -------------------- ----------------- Net cash provided by/(used in) investing activities (460) 377 Cash flows from financing activities: Proceeds from short-term borrowing, net 2,682 - Used for dividends paid (951) - -------------------- ----------------- Net cash provided by financing activities 1,731 0 Effect of foreign currency exchange rate changes on cash 40 (81) -------------------- ----------------- Net increase in cash and cash equivalents 2,086 531 Cash and cash equivalents - Beginning of period 1,447 3,832 -------------------- ----------------- Cash and cash equivalents - End of period $3,533 $4,363 ==================== ================= Income taxes paid $106 $45 ==================== ================= Interest paid $179 $1 ==================== =================
See Accompanying Notes to Consolidated Financial Statements Page 5 of 16 Farrel Corporation Notes to Consolidated Financial Statements (Unaudited) Note 1 - Basis Of Presentation In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments, consisting only of normal recurring adjustments, necessary to present fairly, in accordance with generally accepted accounting principles, the consolidated financial position of Farrel Corporation ("Farrel" or "the Company") as of March 29, 1998, and the consolidated results of its operations and cash flows for the three months ended March 29, 1998 and March 30, 1997. These results are not necessarily indicative of results to be expected for the full fiscal year. These statements should be read in conjunction with the financial statements and notes thereto included in the Company's Annual Report and Form 10-K for the year ended December 31, 1997. Note 2 - Inventory
Inventory is comprised of the following: March 29, December 31, 1998 1997 (In thousands) Stock and raw materials....................... $10,673 $9,459 Work-in process............................... 12,724 8,818 ------- ------- Total......................................... $23,397 $18,277 ======= =======
See also Note 3 regarding the valuation of the inventory acquired from EIS. Note 3 - Asset Purchase On December 19, 1997, the Company acquired certain assets of the Francis Shaw Rubber Machinery operations ("Shaw") from EIS Group PLC for approximately $10.9 million. The Asset Purchase Agreement ("Agreement") provides for a reduction in the purchase price to the extent that the value of the closing date inventory was less than the contract amount. The Company has objected to the inventory valuation. In addition, if the acquired assets do not generate at least an approximately $1.67 million pre-tax profit, as defined, the Agreement provides for a reduction in the purchase price. Included in total assets, with a corresponding reduction in goodwill, is an amount due from the seller calculated under the terms of the Agreement. The results of operations of Shaw are included in the consolidated results of operations of the Company. The seller did not maintain and the Company was not provided historical financial information for the Shaw operations. Based on the limited information available, the Company estimates that the pro forma revenues and net loss for the three months ended March 30, 1997 would not vary materially from the historical amounts recorded in the consolidated statements of operations. Note 4 - Comprehensive Income As of January 1, 1998, the Company adopted Financial Accounting Standard No. 130, "Reporting Comprehensive Income". Standard No. 130 establishes new rules for the reporting and display of comprehensive income and its components; however, the adoption of the statement had no impact on the Company's net income or stockholders equity. The components of comprehensive income (loss), for the three-month periods ended are as follows: March 29, March 30, 1998 1997 ---- ---- (In thousands) Net income (loss) $110 $(106) Foreign currency translation adjustments 222 (491) ----- ------ Comprehensive income (loss) $332 $(597) ===== ====== Page 6 of 16 The components of accumulated other comprehensive expense, net of related tax, are as follows: March 29, December 31, 1998 1997 ---- ---- (In thousands) Minimum pension liability $(303) $(303) Foreign currency translation adjustments 159 (63) ------ ------ Accumulated comprehensive expense $(144) $(366) ====== ====== Page 7 of 16 PART I - ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION & RESULTS OF OPERATIONS Safe Harbor Statements under Private Securities Litigation Reform Act of 1995 Certain statements contained in the Company's public documents, including in this report and in particular, in this "Management's Discussion and Analysis of Financial Condition and Results of Operations" may be forward looking and may be subject to a variety of risks and uncertainties. Various factors could cause actual results to differ materially from these statements. These factors include, but are not limited to pricing pressures from competitors and/or customers; continued economic and political uncertainty in certain of the Company's markets; the Company's ability to maintain and increase gross margin levels; the Company's ability to generate positive cash; changes in business conditions, in general, and, in particular, in the businesses of the Company's customers and competitors and; other factors which might be described from time to time in the Company's filings with the Securities and Exchange Commission. Results of Operations Three Months Ended March 29, 1998 Compared To The Three Months Ended March 30, 1997 Net sales for the first quarter of 1998 were $16.0 million compared to $16.1 million during the first quarter of 1997. The 1998 amount includes net sales of approximately $2.4 million from Farrel Shaw Limited ("Shaw") which was acquired on December 19, 1997. Excluding the net sales of Shaw, net sales would have declined approximately $2.5 million during the first quarter of 1998. The decrease is largely attributed to one large shipment of approximately $3.6 million included in the first quarter of 1997. Purchases by any single customer typically will vary significantly from period to period according to the customers' capital needs. Management believes the Company operates in markets which are extremely competitive. Many of our customers and markets operate at less than full capacity and certain markets, in particular, the Far East, remain particularly competitive and difficult to penetrate. During the first quarter of 1998 the Company received $30.2 million in orders including approximately $6.0 million from the Shaw operations compared to $15.4 million during the first quarter of fiscal 1997. In the case of major equipment orders, up to 12 months are required to complete the manufacturing process. Accordingly, revenues reported in the statement of operations may be recognized in a later accounting period than the one in which the order was received. In addition, the cyclical nature of industry demand and, therefore, order intake, may effect the Company's quarterly results of operations. The Company's ability to maintain and increase net sales depends upon a strengthening and stability in the Company's traditional markets. There can be no assurance that any such improvement will lead to increased orders for the Company's products. Firm backlog at the end of the first quarter of 1998 was $60.8 million compared to $46.5 million at December 31, 1997 and $50.2 million at the end of the first quarter of 1997. Firm backlog as of May 8, 1998 and 1997 was $59.0 million and $43.0 million, respectively. Gross margin in the first quarter of 1998 was $4.2 million compared to $3.3 million reported for the first quarter of 1997. The margin percentage increased to 26.5% from 20.7%. The increase in comparative gross margin is largely attributed to a higher proportion of spare parts, rebuild and repair business which generates a higher margin than new machine sales. In addition, the first quarter of 1997 included a large new machine shipment with relatively lower margin. Operating expenses in the first quarter of 1998 and 1997 were $3.8 million. The first quarter of 1998 includes selling expenses of $132,000 and general and administrative expenses of $239,000 at the newly acquired Shaw operations. Excluding the impact of the Shaw operations, operating expenses decreased by approximately $.3 million to $3.5 million for the first quarter of 1998. The decrease is largely attributed to reductions in marketing programs, professional fees, insurance and continuing efforts to steadily control expenses. The Company intends to consolidate the operation of Shaw into manufacturing and administrative facilities in Rochdale, England. The Company expects the consolidation to be accomplished in the first half of 1999. Research and Development decreased as a result of lower headcount and decrease in consumable operating supplies. Page 8 of 16 Interest expense, net of interest income, for the first quarter of 1998, was $158,000 an increase of $114,000 from the first quarter of 1997. The increase is due to borrowings associated with the acquisition of the Shaw operations. Other income, net of other expense, in the first quarter of 1997, includes approximately $.3 million of gains on the disposal of the excess machinery and equipment. No significant items occurred during the first quarter of 1998. The income tax rate in the first quarter of 1998 and 1997, as a percentage of pre-tax results of operations, was 40.1% and 38.4%, respectively. The Company provides for income taxes in the jurisdictions in which it pays for income taxes at the statutory rates in effect in each jurisdiction adjusted for differences in providing for income taxes between financial reporting and income tax purposes. Page 9 of 16 Material Contingencies The Company and The Black & Decker Corporation entered into a Settlement Agreement pursuant to which Black & Decker agreed to assume full responsibility for the investigation and remediation of any pre-May, 1986 environmental contamination at the Company's Ansonia and Derby facilities as required by the Connecticut Department of Environmental Protection (DEP). A preliminary environmental assessment of the Company's properties in Ansonia and Derby, Connecticut has been conducted by Black & Decker. On the basis of the preliminary data now available there is no reason to believe that any remediation activities which might be required as a result of the findings of the assessment will have a material effect upon the capital expenditures, earnings or the competitive position of the Company. This forward looking statement could, however, be influenced by the results of any further investigation which the DEP might require, by DEP's conclusions and requirements based upon its review of complete information when such is available, unanticipated discoveries, the possibility that new or different environmental laws might be adopted and the possibility that further regulatory review or litigation might become necessary or appropriate. Liquidity and Capital Resources; Capital Expenditures Working capital and the working capital ratio at March 29, 1998 were $14.3 million and 1.5 to 1, respectively, compared to $13.8 million and 1.6 to 1 at December 31, 1997, respectively. Subsequent to the end of the first quarter of 1998, the Company paid a dividend of $.04 per share. The Company's ability to pay dividends in the future is generally limited under its credit facility described below to the aggregate of (a) 25% of net income during the most recently completed four fiscal quarters after deducting distributions previously made and (b) purchases by the Company of its common stock during the same period, without the consent of and/or waiver by the Company's bank. The Company received a waiver from its bank with respect to dividends paid in 1998. Due to the nature of the Company's business, many sales are of a large dollar amount. Consequently, the timing of recording such sales may cause the balances in accounts receivable and/or inventory to fluctuate dramatically between quarters and may result in significant fluctuations in cash provided by operations. Historically, the Company has not experienced significant problems regarding the collection of accounts receivable. The Company has also generally financed its operations with cash generated by operations, with progress payments from customers and with borrowings under its bank credit facilities. Management anticipates that its cash balances, operating cash flows and available credit line will be adequate to fund anticipated capital commitments and working capital requirements for at least the next twelve months including the integration of the Shaw asset acquisition. The Company made capital expenditures of $.5 million and $.1 million during the first quarter of fiscal 1998 and 1997, respectively. The Company has a worldwide multi-currency credit facility with a major U.S. bank in an amount of $25.0 million consisting of an $18.5 million revolving credit facility and a five year term loan for direct borrowings and letters of credit and up to (pound)3.0 million for foreign exchange contracts. The facility contains limitations on direct borrowings and letters of credit combined based upon stipulated levels of accounts receivable, inventory and backlog. The facility also contains covenants specifying minimum and maximum thresholds for operating results and selected financial ratios. There were $9.6 million and $7.1 million in direct borrowings under this facility at March 29, 1998, and December 31, 1997, respectively. There were $ 5.9 million and $6.0 million of letters of credit outstanding at March 29, 1998 and December 31, 1997, respectively. The facility expires on January 28, 2003. RECENT ACCOUNTING PRONOUNCEMENTS As of January 1, 1998, the Company adopted Financial Accounting Standard No. 130, "Reporting Comprehensive Income". Standard No. 130 establishes new rules for the reporting and display of comprehensive income and its components; however, the adoption of this Statement had no impact on the Company's net income or stockholder's equity. Statement 130 requires the Company's foreign currency translation and minimum pension liability which, prior to adoption, were reported separately in stockholders' equity to be included in other comprehensive income. Prior year financial statements have been reclassified to conform to the requirements of Standard No. 130. Page 10 of 16 During the first quarter of 1998 and 1997, total comprehensive income (loss) amounted to $.3 million and ($.6) million, respectively. Item 2 - Quantitative and Qualitative Disclosures About Market Risk - Not applicable. Page 11 of 16 Exhibit 11 FARREL CORPORATION STATEMENT RE COMPUTATION OF PER SHARE EARNINGS (In thousands, except per share and share data)
Three Months Ended ------------------------------------------- March 29, March 30, 1998 1997 Net income (loss) applicable to common stock $110 ($106) ================= ================ Weighted average number of common shares outstanding - Basic earnings per share 5,942,582 5,942,382 Effect of dilutive stock and purchase options 40,403 - ----------------- ---------------- Weighted average number of common shares outstanding - Diluted earnings per share 5,982,985 5,942,382 ================= ================ Net income/(loss) per common share - Basic $0.02 ($0.02) ================= ================ share - Diluted $0.02 ($0.02) ================= ================
Page 12 of 16 PART II - OTHER INFORMATION ITEM 6 - EXHIBITS AND REPORTS ON FORM 8-K Exhibit 10(b) Amendment to Employment Agreement between Rolf K. Liebergesell and Farrel Corporation effective as of December 1, 1997. Exhibit 11 (Regulation S-K) Computation of Earnings Per Share. Exhibit 27 Financial Data Schedule Reports on Form 8-K No Reports on Form 8-K were filed by the registrant during the periods covered by this report. Page 13 of 16 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. FARREL CORPORATION REGISTRANT DATE: May 13, 1998 /s/ ROLF K. LIEBERGESELL ------------------------------------ ROLF K. LIEBERGESELL CHIEF EXECUTIVE OFFICER, PRESIDENT AND CHAIRMAN OF THE BOARD DATE: May 13, 1998 /s/ CATHERINE M. BOISVERT ------------------------------------ CATHERINE M. BOISVERT VICE PRESIDENT AND CONTROLLER (CHIEF ACCOUNTING OFFICER) Page 14 of 16 EX-10 2 FIRST AMENDMENT TO EMPLOYMENT AGREEMENT FIRST AMENDMENT TO EMPLOYMENT AGREEMENT This FIRST AMENDMENT TO EMPLOYMENT AGREEMENT ("First Amendment") is entered into effective as of December 1, 1997, by and between FARREL CORPORATION, a Delaware corporation (the "Company"), and ROLF K. LIEBERGESELL (the "Executive"). WHEREAS, the Company and the Executive are parties to an Employment Agreement (the "Agreement") dated as of November 1, 1991; and WHEREAS, the Agreement would, by its express terms, expire as of November 30, 1997, unless extended by mutual agreement of the Company and the Executive; WHEREAS, the Company and the Executive, by entering into this First Amendment, desire to extend the Agreement beyond November 30, 1997, and to amend certain provisions thereof regarding payment to the Executive in consideration of the non-compete provisions contained in the Agreement; NOW, THEREFORE, in consideration of the promises and of the mutual promises and covenants set forth herein and in the Agreement, the Company and the Executive hereby agree as follows. 1. Notwithstanding anything to the contrary in the Agreement, including but not limited to the provisions of "2. Term" and "8. Extension of Agreement", the Agreement is hereby extended for an indefinite term commencing December 1, 1997. 2. The following is added to "5. Termination". "(c) If this Agreement is extended beyond November 30, 1997, pursuant to the second sentence of `8. Extension of Agreement', then this Agreement shall be subject to termination by either the Company or the Executive, upon twelve (12) months prior written notice, provided, however, that: (a) such notice shall be given by the Company only upon the vote of a majority of the Directors then serving; and (b) nothing in this Section 5 (c) is intended to, nor shall it, in any way alter or limit the right of the Company, under proper circumstances, to proceed in accordance with the provisions of Section 5(a) of the Agreement." Page 15 of 16 3. In "7. Non-competition", the following is added to "(b) Consideration" as the last two -- i.e., the fifth and sixth -- sentences thereof. "Notwithstanding anything to the contrary in the first sentence of this Section 7(b), if the Agreement is extended beyond November 30, 1997, pursuant to the second sentence of "8. Extension of Agreement", then the total fee payable to the Executive over the course of the Covered Period shall be reduced by 12.5% for each full year the Executive's employment extends beyond December 1, 1997. By way of example, if the Executive's employment were to continue through and expire on December 2, 1999, then the total fee payable to the Executive over the course of the Covered Period would be reduced by 2 times 12.5% or 25%. 4. Except as and to the extent expressly amended by this First Amendment, all provisions of the Agreement remain in full force and effect as originally written. IN WITNESS WHEREOF, the parties hereto have executed this First Amendment as of the date and year first written above. FARREL CORPORATION By: /s/ Peter L. Hess ------------------------------ Name: Peter L. Hess Title: Secretary EXECUTIVE /s/ Rolf K. Liebergesell ------------------------------ Rolf K. Liebergesell Page 16 of 16 EX-27 3 FINANCIAL DATA SCHEDULE
5 This schedule contains summary financial information extracted from the financial statements of Farrel Corporation as of March 29, 1998 and for the three months then ended and is qualified in its entirety by reference to such statements 0000034645 FARREL 1,000 US$ 3-MOS DEC-31-1998 JAN-01-1998 MAR-29-1998 1 3,533 0 13,837 224 23,397 43,028 22,921 10,319 62,212 28,725 0 0 0 61 26,053 62,212 15,976 15,976 11,740 11,740 3,738 0 315 183 73 110 0 0 0 110 .02 .02
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