x | Annual report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the fiscal year ended March 31, 2011 |
o | Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the transition period from to |
Texas
|
74-1504405 | |
(State or other jurisdiction of
incorporation or organization) |
(I.R.S. Employer Identification No.) |
|
4001 Homestead Road, Houston, Texas
|
77028 | |
(Address of principal executive offices)
|
(Zip Code) |
Name of each exchange |
||
Title of each class
|
on which registered
|
|
Common Stock, $1 Par Value
|
NYSE-Amex Stock Exchange |
2
Product and Service Groups
|
2011 | 2010 | ||||||
Coil Products
|
47 | % | 56 | % | ||||
Tubular Products
|
53 | % | 44 | % |
3
Position, Offices with the Company |
||||||
Name
|
Age |
and Family Relationships, if any
|
||||
William E. Crow
|
63 |
Chief Executive Officer since 2006 and President since 1995;
formerly Chief Operating Officer since 1995, Vice President
since 1981 and President of Texas Tubular Products Division
since August 1990
|
||||
Benny Harper
|
65 |
Senior Vice President Finance since 1995 (formerly
Vice President since 1990), Treasurer since 1980 and Secretary
since May 1992
|
||||
Thomas Thompson
|
60 |
Senior Vice President Sales and Marketing since
1995; formerly Vice President Sales since 1990
|
Item 1A. | Risk Factors |
4
5
Certain provisions of our articles of incorporation may discourage a third party from making a takeover proposal. |
Item 1B. | Unresolved Staff Comments |
6
Approximate |
||||
Location
|
Size
|
Ownership
|
||
Lone Star, Texas
|
||||
Plant Texas Tubular Products
|
118,260 sq. feet | Owned(1) | ||
Offices Texas Tubular Products
|
9,200 sq. feet | Owned(1) | ||
Land Texas Tubular Products
|
81.70 acres | Owned(1) | ||
Longview, Texas
|
||||
Offices
|
2,600 sq. feet | Leased(2) | ||
Houston, Texas
|
||||
Offices
|
4,000 sq. feet | Leased(3) | ||
Hickman, Arkansas
|
||||
Plant and Warehouse Coil Products
|
42,600 sq. feet | Owned(1) | ||
Offices Coil Products
|
2,500 sq. feet | Owned(1) | ||
Land Coil Products
|
26.19 acres | Owned(1) | ||
Decatur, Alabama
|
||||
Plant and Warehouse Coil Products
|
48,000 sq. feet | Owned(1) | ||
Offices Coil Products
|
2,000 sq. feet | Owned(1) | ||
Land Coil Products
|
47.3 acres | Owned(1) |
(1) | All of the Companys owned real properties, plants and offices are held in fee and are not subject to any mortgage or deed of trust. |
(2) | The office lease is with a non-affiliated party, expires April 30, 2013, and provides for an annual rental of $30,084. |
(3) | In September 2006, the Company sold real property in Houston, Texas and signed a 12-month lease agreement to rent office space at this location. The office lease is with Steelvest Property, LLC, a company affiliated with Max Reichenthal, a director of the Company. The lease is renewable on a quarterly basis and provides for a monthly rental payment of $1,400. |
7
Item 5. | Market for Registrants Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities |
Item 7. | Managements Discussion and Analysis of Financial Condition and Results of Operations |
8
Item 9. | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure. |
Item 9B. | Other Information |
9
Item 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters |
Equity Compensation Plan Information |
Security Ownership Information |
Item 14. | Principal Accountant Fees and Services |
10
Exhibit |
||||
No.
|
Description
|
|||
3 | .1 |
Articles of Incorporation of the Company, as amended
(filed as an exhibit to and incorporated by reference from the
Companys Annual Report on
Form 10-K
for the year ended March 31, 1982).
|
||
3 | .2 |
Articles of Amendment to the Articles of
Incorporation of the Company, as filed with the Texas Secretary
of State on September 22, 1987 (filed as an exhibit to and
incorporated by reference from the Companys Annual Report
on
Form 10-K
for the year ended March 31, 1988).
|
||
3 | .3 |
Amended and Restated Bylaws of the Company
(incorporated by reference from Exhibit 3.1 to the
Companys Current Report on
Form 8-K
filed on February 9, 2006).
|
||
10 | .1 |
Lease Agreement between Steelvest Property, LLC and
the Company dated September 8, 2006, regarding office space
(incorporated by reference from Exhibit 10.13 to the
Companys Annual Report on Form 10-K for the year
ended March 31, 2008).
|
||
**13 | .1 |
The Companys Annual Report to Shareholders for
the fiscal year ended March 31, 2011.
|
||
**14 | .1 |
Friedman Industries, Incorporated Code of Conduct
and Ethics.
|
||
**21 | .1 |
List of Subsidiaries.
|
||
**31 | .1 |
Certification Pursuant to Section 302 of the
Sarbanes-Oxley
Act of 2002, signed by William E. Crow.
|
||
**31 | .2 |
Certification Pursuant to Section 302 of the
Sarbanes-Oxley
Act of 2002, signed by Ben Harper.
|
||
**32 | .1 |
Certification Pursuant to 18 U.S.C.
Section 1350, as Adopted Pursuant to Section 906 of
the
Sarbanes-Oxley
Act of 2002, signed by William E. Crow.
|
||
**32 | .2 |
Certification Pursuant to 18 U.S.C.
Section 1350, as Adopted Pursuant to Section 906 of
the
Sarbanes-Oxley
Act of 2002, signed by Ben Harper.
|
** | Filed herewith. |
11
By: |
/s/ William
E. Crow
|
Signature
|
Title
|
Date
|
||
/s/ WILLIAM
E. CROW William E. Crow |
Chief Executive Officer and President and Director (Principal
Executive Officer)
|
June 24, 2011 | ||
/s/ BENNY
B. HARPER Benny B. Harper |
Senior Vice President Finance Secretary/Treasurer
(Principal Financial and Accounting Officer)
|
June 24, 2011 | ||
Durga D. Agrawal |
Director
|
June , 2011 | ||
/s/ CHARLES
W. HALL Charles W. Hall |
Director
|
June 24, 2011 | ||
/s/ ALAN
M. RAUCH Alan M. Rauch |
Director
|
June 24, 2011 | ||
/s/ MAX
REICHENTHAL Max Reichenthal |
Director
|
June 24, 2011 | ||
/s/ HERSHEL
M. RICH Hershel M. Rich |
Director
|
June 24, 2011 | ||
/s/ JOEL
SPIRA Joel Spira |
Director
|
June 24, 2011 | ||
/s/ JOE
L. WILLIAMS Joe L. Williams |
Director
|
June 24, 2011 |
12
Column A
|
Column B | Column C | Column D | Column E | ||||||||||||||||
Additions | ||||||||||||||||||||
Balance at |
Charged to |
Charged to |
||||||||||||||||||
Beginning |
Costs and |
Other Accounts |
Deductions |
Balance at |
||||||||||||||||
Description
|
of Period | Expenses | Describe(A) | Describe(B) | End of Period | |||||||||||||||
Year ended March 31, 2011
|
||||||||||||||||||||
Allowance for doubtful accounts receivable and cash discounts
(deducted from related asset account)
|
$ | 37,276 | $ | 7,867 | $ | 780,750 | $ | 788,617 | $ | 37,276 | ||||||||||
Year ended March 31, 2010
|
||||||||||||||||||||
Allowance for doubtful accounts receivable and cash discounts
(deducted from related asset account)
|
$ | 27,276 | $ | 0 | $ | 468,907 | $ | 458,907 | $ | 37,276 | ||||||||||
(A) | Cash discounts allowed on sales and charged against revenue. |
(B) | Accounts receivable written off and cash discounts allowed on sales. |
S-1
Exhibit |
||||
No.
|
Description
|
|||
3 | .1 |
Articles of Incorporation of the Company, as amended
(filed as an exhibit to and incorporated by reference from the
Companys Annual Report on
Form 10-K
for the year ended March 31, 1982).
|
||
3 | .2 |
Articles of Amendment to the Articles of
Incorporation of the Company, as filed with the Texas Secretary
of State on September 22, 1987 (filed as an exhibit to and
incorporated by reference from the Companys Annual Report
on
Form 10-K
for the year ended March 31, 1988).
|
||
3 | .3 |
Amended and Restated Bylaws of the Company
(incorporated by reference from Exhibit 3.1 to the
Companys Current Report on
Form 8-K
filed on February 9, 2006).
|
||
10 | .1 |
Lease Agreement between Steelvest Property, LLC and
the Company dated September 8, 2006, regarding office space
(incorporated by reference from Exhibit 10.13 to the
Companys Annual Report on Form 10-K for the year
ended March 31, 2008).
|
||
**13 | .1 |
The Companys Annual Report to Shareholders for
the fiscal year ended March 31, 2011.
|
||
**14 | .1 |
Friedman Industries, Incorporated Code of Conduct
and Ethics.
|
||
**21 | .1 |
List of Subsidiaries.
|
||
**31 | .1 |
Certification Pursuant to Section 302 of the
Sarbanes-Oxley
Act of 2002, signed by William E. Crow.
|
||
**31 | .2 |
Certification Pursuant to Section 302 of the
Sarbanes-Oxley
Act of 2002, signed by Ben Harper.
|
||
**32 | .1 |
Certification Pursuant to 18 U.S.C.
Section 1350, as Adopted Pursuant to Section 906 of
the
Sarbanes-Oxley
Act of 2002, signed by William E. Crow.
|
||
**32 | .2 |
Certification Pursuant to 18 U.S.C.
Section 1350, as Adopted Pursuant to Section 906 of
the
Sarbanes-Oxley
Act of 2002, signed by Ben Harper.
|
** | Filed herewith. |
2011 | 2010 | |||||||
Net sales
|
$131,709,492 | $65,132,170 | ||||||
Net earnings
|
$8,155,637 | $652,024 | ||||||
Net earnings per share (Basic)
|
$1.20 | $0.10 | ||||||
Cash dividends per share
|
$0.84 | $0.06 | ||||||
Stockholders equity
|
$58,802,514 | $56,358,410 | ||||||
Working capital
|
$45,094,969 | $41,126,841 |
William E. Crow Chief Executive Officer and President |
1
2
Fiscal 2011 | Fiscal 2010 | |||||||||||||||
High | Low | High | Low | |||||||||||||
First Quarter
|
$ | 6 | .39 | $5 | .13 | $ | 6 | .95 | $ | 4 | .47 | |||||
Second Quarter
|
6 | .90 | 5 | .24 | 6 | .67 | 5 | .00 | ||||||||
Third Quarter
|
8 | .94 | 6 | .50 | 6 | .22 | 4 | .21 | ||||||||
Fourth Quarter
|
10 | .45 | 7 | .82 | 6 | .10 | 5 | .43 |
Fiscal 2011 | Fiscal 2010 | |||||||
First Quarter
|
$ | .04 | $ | .03 | ||||
Second Quarter
|
.08 | .01 | ||||||
Third Quarter
|
.11 | .01 | ||||||
Special
|
.50 | | ||||||
Fourth Quarter
|
.11 | .01 |
3
March 31 | ||||||||
2011 | 2010 | |||||||
CURRENT ASSETS:
|
||||||||
Cash and cash equivalents
|
$ | 7,210,290 | $ | 19,812,881 | ||||
Accounts receivable, net of allowances for bad debts and cash
discounts of $37,276 at March 31, 2011 and 2010,
respectively
|
12,594,954 | 8,686,151 | ||||||
Inventories
|
34,679,270 | 20,122,296 | ||||||
Other
|
77,830 | 81,791 | ||||||
TOTAL CURRENT ASSETS
|
54,562,344 | 48,703,119 | ||||||
PROPERTY, PLANT AND EQUIPMENT:
|
||||||||
Land
|
1,082,331 | 1,082,331 | ||||||
Buildings and yard improvements
|
7,014,180 | 7,000,839 | ||||||
Machinery and equipment
|
29,876,767 | 29,374,766 | ||||||
Less accumulated depreciation
|
(23,841,491 | ) | (21,963,333 | ) | ||||
14,131,787 | 15,494,603 | |||||||
OTHER ASSETS:
|
||||||||
Cash value of officers life insurance and other assets
|
890,000 | 834,000 | ||||||
TOTAL ASSETS
|
$ | 69,584,131 | $ | 65,031,722 | ||||
March 31 | ||||||||
2011 | 2010 | |||||||
CURRENT LIABILITIES:
|
||||||||
Accounts payable and accrued expenses
|
$ | 7,338,762 | $ | 6,912,741 | ||||
Dividends payable
|
747,939 | 67,994 | ||||||
Current portion of long-term debt
|
| 13,507 | ||||||
Income taxes payable
|
350,961 | 94,563 | ||||||
Contribution to profit sharing plan
|
50,000 | 44,000 | ||||||
Employee compensation and related expenses
|
979,713 | 443,473 | ||||||
TOTAL CURRENT LIABILITIES
|
9,467,375 | 7,576,278 | ||||||
DEFERRED INCOME TAXES
|
536,699 | 414,403 | ||||||
POSTRETIREMENT BENEFITS OTHER THAN PENSIONS
|
777,543 | 682,631 | ||||||
COMMITMENTS AND CONTINGENCIES
|
| | ||||||
STOCKHOLDERS EQUITY:
|
||||||||
Common stock, par value $1:
|
||||||||
Authorized shares 10,000,000
|
||||||||
Issued shares 7,975,160 at March 31, 2011 and
2010, respectively
|
7,975,160 | 7,975,160 | ||||||
Additional paid-in capital
|
29,003,674 | 29,003,674 | ||||||
Treasury stock at cost (1,175,716 shares at March 31,
2011 and 2010, respectively)
|
(5,475,964 | ) | (5,475,964 | ) | ||||
Retained earnings
|
27,299,644 | 24,855,540 | ||||||
TOTAL STOCKHOLDERS EQUITY
|
58,802,514 | 56,358,410 | ||||||
TOTAL LIABILITIES AND STOCKHOLDERS EQUITY
|
$ | 69,584,131 | $ | 65,031,722 | ||||
4
Year Ended March 31 | ||||||||
2011 | 2010 | |||||||
Net sales
|
$ | 131,709,492 | $ | 65,132,170 | ||||
Costs and expenses:
|
||||||||
Cost of products sold
|
114,401,307 | 60,206,969 | ||||||
Selling, general and administrative
|
5,251,610 | 3,840,619 | ||||||
119,652,917 | 64,047,588 | |||||||
12,056,575 | 1,084,582 | |||||||
Interest and other income
|
57,138 | 86,490 | ||||||
EARNINGS BEFORE INCOME TAXES
|
12,113,713 | 1,171,072 | ||||||
Income taxes:
|
||||||||
Current
|
3,835,780 | 468,509 | ||||||
Deferred
|
122,296 | 50,539 | ||||||
3,958,076 | 519,048 | |||||||
NET EARNINGS
|
$ | 8,155,637 | $ | 652,024 | ||||
Weighted average number of common shares outstanding:
|
||||||||
Basic
|
6,799,444 | 6,799,444 | ||||||
Diluted
|
6,799,444 | 6,799,444 | ||||||
Net earnings per share:
|
||||||||
Basic
|
$ | 1.20 | $ | 0.10 | ||||
Diluted
|
$ | 1.20 | $ | 0.10 |
Additional |
||||||||||||||||
Common |
Paid-In |
Treasury |
Retained |
|||||||||||||
Stock | Capital | Stock | Earnings | |||||||||||||
BALANCE AT MARCH 31, 2009
|
$ | 7,975,160 | $ | 29,003,674 | $ | (5,475,964 | ) | $ | 24,611,482 | |||||||
Net earnings
|
| | | 652,024 | ||||||||||||
Cash dividends ($0.06)
|
| | | (407,966 | ) | |||||||||||
BALANCE AT MARCH 31, 2010
|
7,975,160 | 29,003,674 | (5,475,964 | ) | 24,855,540 | |||||||||||
Net earnings
|
| | | 8,155,637 | ||||||||||||
Cash dividends ($0.84)
|
| | | (5,711,533 | ) | |||||||||||
BALANCE AT MARCH 31, 2011
|
$ | 7,975,160 | $ | 29,003,674 | $ | (5,475,964 | ) | $ | 27,299,644 | |||||||
5
Year Ended March 31 | ||||||||
2011 | 2010 | |||||||
OPERATING ACTIVITIES
|
||||||||
Net earnings
|
$ | 8,155,637 | $ | 652,024 | ||||
Adjustments to reconcile net earnings to net cash provided by
operating activities:
|
||||||||
Depreciation
|
1,878,158 | 1,890,375 | ||||||
Deferred taxes
|
122,296 | 50,539 | ||||||
Change in post-retirement benefits other than pensions
|
94,912 | 67,303 | ||||||
Changes in operating assets and liabilities:
|
||||||||
Accounts receivable, net
|
(3,908,803 | ) | (3,694,912 | ) | ||||
Inventories
|
(14,556,974 | ) | (719,595 | ) | ||||
Prepaid income taxes
|
| 1,299,796 | ||||||
Other
|
3,961 | 17,740 | ||||||
Accounts payable and accrued expenses
|
426,021 | 4,250,532 | ||||||
Contribution to profit sharing plan
|
6,000 | 4,000 | ||||||
Employee compensation and related expenses
|
536,240 | 186,669 | ||||||
Income taxes payable
|
256,398 | 94,563 | ||||||
Net cash provided (used) by operating activities
|
(6,986,154 | ) | 4,099,034 | |||||
INVESTING ACTIVITIES
|
||||||||
Purchase of property, plant and equipment
|
(515,342 | ) | (374,291 | ) | ||||
Increase in cash value of officers life insurance
|
(56,000 | ) | (58,000 | ) | ||||
Net cash used in investing activities
|
(571,342 | ) | (432,291 | ) | ||||
FINANCING ACTIVITIES
|
||||||||
Cash dividends paid
|
(5,031,588 | ) | (679,944 | ) | ||||
Principal payments on long-term debt
|
(13,507 | ) | (54,028 | ) | ||||
Net cash used in financing activities
|
(5,045,095 | ) | (733,972 | ) | ||||
Increase (decrease) in cash and cash equivalents
|
(12,602,591 | ) | 2,932,771 | |||||
Cash and cash equivalents at beginning of year
|
19,812,881 | 16,880,110 | ||||||
Cash and cash equivalents at end of year
|
$ | 7,210,290 | $ | 19,812,881 | ||||
6
March 31 | ||||||||
2011 | 2010 | |||||||
Prime coil inventory
|
$ | 7,239,465 | $ | 4,643,951 | ||||
Non-standard coil inventory
|
1,722,224 | 504,351 | ||||||
Tubular raw material
|
6,086,291 | 3,698,531 | ||||||
Tubular finished goods
|
19,631,290 | 11,275,463 | ||||||
$ | 34,679,270 | 20,122,296 | ||||||
7
Buildings
|
20 years | |||
Machinery and equipment
|
10 years | |||
Yard improvements
|
5 to 10 years | |||
Loaders and other rolling stock
|
5 to 10 years |
8
9
2012
|
$ | 37,084 | ||
2013
|
30,084 | |||
2014
|
2,507 | |||
2015
|
| |||
2016
|
| |||
Total
|
$ | 69,675 | ||
Year Ended March 31 | ||||||||
2011 | 2010 | |||||||
Basic
|
||||||||
Net earnings
|
$ | 8,155,637 | $ | 652,024 | ||||
Weighted average common shares
|
6,799,444 | 6,799,444 | ||||||
Dilutive
|
||||||||
Net earnings
|
$ | 8,155,637 | $ | 652,024 | ||||
Weighted average common shares and common share equivalents
|
6,799,444 | 6,799,444 | ||||||
Year Ended March 31 | ||||||||
2011 | 2010 | |||||||
Federal
|
||||||||
Current
|
$ | 3,531,397 | $ | 536,886 | ||||
Deferred
|
122,296 | 50,539 | ||||||
3,653,693 | 587,425 | |||||||
State
|
||||||||
Current
|
304,383 | (68,377 | ) | |||||
304,383 | (68,377 | ) | ||||||
Total
|
$ | 3,958,076 | $ | 519,048 | ||||
10
Year Ended March 31 | ||||||||
2011 | 2010 | |||||||
Income Tax Expense at
U.S. federal statutory rate |
34.0 | % | 34.0 | % | ||||
Benefit of tax deduction allowed to manufacturing companies
|
(3.0 | ) | (2.0) | |||||
State and local income tax rates net of federal income tax
benefit
|
1.7 | 1.3 | ||||||
True-up of
income taxes on prior year filings
|
| 11.0 | ||||||
Provision for income taxes
|
32.7 | % | 44.3 | % | ||||
March 31 | ||||||||
2011 | 2010 | |||||||
Deferred tax liabilities:
|
||||||||
Depreciation
|
$ | (1,812,570 | ) | $ | (1,654,379 | ) | ||
Total deferred tax liabilities
|
(1,812,570 | ) | (1,654,379 | ) | ||||
Deferred tax assets:
|
||||||||
Inventory capitalization
|
169,092 | 172,438 | ||||||
LIFO Inventory
|
783,645 | 783,611 | ||||||
Postretirement benefits other than pensions
|
264,365 | 232,095 | ||||||
Other
|
58,769 | 51,832 | ||||||
Total deferred tax assets
|
1,275,871 | 1,239,976 | ||||||
Net deferred tax liability
|
$ | (536,699 | ) | $ | (414,403 | ) | ||
11
Year Ended March 31 | ||||||||
2011 | 2010 | |||||||
NET SALES:
|
||||||||
Coil
|
$ | 62,030,202 | $ | 36,359,462 | ||||
Tubular
|
69,679,290 | 28,772,708 | ||||||
TOTAL NET SALES
|
$ | 131,709,492 | $ | 65,132,170 | ||||
OPERATING PROFIT (LOSS):
|
||||||||
Coil
|
$ | 1,368,244 | $ | (841,082 | ) | |||
Tubular
|
13,391,903 | 3,728,236 | ||||||
TOTAL OPERATING PROFIT
|
14,760,147 | 2,887,154 | ||||||
General corporate expenses
|
(2,703,572 | ) | (1,802,572 | ) | ||||
Interest and other income
|
57,138 | 86,490 | ||||||
TOTAL EARNINGS BEFORE INCOME TAXES
|
$ | 12,113,713 | $ | 1,171,072 | ||||
IDENTIFIABLE ASSETS:
|
||||||||
Coil
|
$ | 25,150,156 | $ | 20,376,579 | ||||
Tubular
|
36,333,623 | 24,005,953 | ||||||
61,483,779 | 44,382,532 | |||||||
General corporate assets
|
8,100,352 | 20,649,190 | ||||||
TOTAL ASSETS
|
$ | 69,584,131 | $ | 65,031,722 | ||||
DEPRECIATION:
|
||||||||
Coil
|
$ | 1,210,800 | $ | 1,239,764 | ||||
Tubular
|
665,110 | 643,135 | ||||||
Corporate and other
|
2,248 | 7,476 | ||||||
$ | 1,878,158 | $ | 1,890,375 | |||||
CAPITAL EXPENDITURES:
|
||||||||
Coil
|
$ | 24,591 | $ | 188,002 | ||||
Tubular
|
490,751 | 186,289 | ||||||
$ | 515,342 | $ | 374,291 | |||||
12
Quarter Ended | ||||||||||||||||
June 30, |
September 30, |
December 31, |
March 31, |
|||||||||||||
2010 | 2010 | 2010 | 2011 | |||||||||||||
Net sales
|
$ | 29,222,232 | $ | 29,353,262 | $ | 31,135,887 | $ | 41,998,111 | ||||||||
Gross profit
|
3,437,938 | 3,887,713 | 3,770,753 | 6,211,781 | ||||||||||||
Net earnings (loss)
|
1,435,137 | 1,784,431 | 1,733,494 | 3,202,575 | ||||||||||||
Basic(1)
|
.21 | .26 | .25 | .47 | ||||||||||||
Diluted(1)
|
.21 | .26 | .25 | .47 |
Quarter Ended | ||||||||||||||||
June 30, |
September 30, |
December 31, |
March 31, |
|||||||||||||
2009 | 2009 | 2009 | 2010 | |||||||||||||
Net sales
|
$ | 12,246,219 | $ | 16,086,330 | $ | 13,470,721 | $ | 23,328,900 | ||||||||
Gross profit
|
587,580 | 625,958 | 866,022 | 2,845,641 | ||||||||||||
Net earnings (loss)
|
(162,748 | ) | (206,247 | ) | (41,239 | ) | 1,062,258 | |||||||||
Basic
|
(.02 | ) | (.03 | ) | (.01 | ) | .16 | |||||||||
Diluted
|
(.02 | ) | (.03 | ) | (.01 | ) | .16 |
(1) | The sum of the quarterly earnings per share does not equal the annual amount reported as per share amounts were computed independently for each quarter. |
13
14
15
16
17
18
Year Ended March 31 | ||||||||||||||||||||||||||||||||||||||||
2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | 2002 | |||||||||||||||||||||||||||||||
Net sales
|
$ | 131,709,492 | $ | 65,132,170 | $ | 208,779,750 | $ | 178,785,110 | $ | 199,726,619 | $ | 181,900,351 | $ | 188,022,253 | $ | 116,158,567 | $ | 106,082,738 | $ | 97,817,956 | ||||||||||||||||||||
Net earnings
|
$ | 8,155,637 | $ | 652,024 | $ | 13,673,406 | $ | 4,465,127 | $ | 7,018,318 | (1) | $ | 6,453,888 | $ | 6,246,043 | $ | 2,535,991 | $ | 1,432,017 | $ | 940,039 | |||||||||||||||||||
Current assets
|
$ | 54,562,344 | $ | 48,703,119 | $ | 42,673,377 | $ | 49,422,594 | $ | 51,731,369 | $ | 47,551,003 | $ | 43,498,759 | $ | 37,829,701 | $ | 34,769,500 | $ | 35,806,988 | ||||||||||||||||||||
Current liabilities
|
$ | 9,467,375 | $ | 7,576,278 | $ | 3,353,013 | $ | 14,784,366 | $ | 23,266,583 | $ | 18,383,193 | $ | 14,959,516 | $ | 12,639,763 | $ | 11,035,388 | $ | 10,797,106 | ||||||||||||||||||||
Working capital
|
$ | 45,094,969 | $ | 41,126,841 | $ | 39,320,364 | $ | 34,638,228 | $ | 28,464,786 | $ | 29,167,810 | $ | 28,539,243 | $ | 25,189,938 | $ | 23,734,112 | $ | 25,009,882 | ||||||||||||||||||||
Total assets
|
$ | 69,584,131 | $ | 65,031,722 | $ | 60,460,064 | $ | 66,958,392 | $ | 65,871,706 | $ | 55,930,889 | $ | 50,796,342 | $ | 46,028,123 | $ | 42,778,926 | $ | 43,986,455 | ||||||||||||||||||||
Stockholders equity
|
$ | 58,802,514 | $ | 56,358,410 | $ | 56,114,352 | $ | 44,956,741 | $ | 42,109,998 | $ | 37,097,335 | $ | 35,354,550 | $ | 33,031,604 | $ | 31,246,751 | $ | 30,491,351 | ||||||||||||||||||||
Net earnings as a percent of
|
||||||||||||||||||||||||||||||||||||||||
Net sales
|
6.2 | 1.0 | 6.5 | 2.5 | 3.5 | 3.5 | 3.3 | 2.2 | 1.3 | 1.0 | ||||||||||||||||||||||||||||||
Stockholders equity
|
13.9 | 1.2 | 24.4 | 9.9 | 16.7 | 17.4 | 17.7 | 7.7 | 4.6 | 3.1 | ||||||||||||||||||||||||||||||
Weighted average number of common shares outstanding: Basic
|
6,799,444 | 6,799,444 | 6,799,444 | 6,733,942 | 6,685,577 | 7,072,637 | 7,418,410 | 7,574,070 | 7,572,239 | 7,571,239 | ||||||||||||||||||||||||||||||
Per share
|
||||||||||||||||||||||||||||||||||||||||
Net earnings per share:
|
||||||||||||||||||||||||||||||||||||||||
Basic
|
$ | 1.20 | $ | 0.10 | $ | 2,01 | $ | 0.66 | $ | 1.05 | (1) | $ | 0.91 | $ | 0.84 | $ | 0.33 | $ | 0.19 | $ | 0.12 | |||||||||||||||||||
Stockholders equity
|
$ | 8.65 | $ | 8.29 | $ | 8.25 | $ | 6.68 | $ | 6.30 | $ | 5.25 | $ | 4.77 | $ | 4.36 | $ | 4.13 | $ | 4.03 | ||||||||||||||||||||
Cash dividends per common
share |
$ | 0.84 | $ | 0.06 | $ | 0.37 | $ | 0.27 | $ | 0.34 | $ | 0.32 | $ | 0.29 | $ | 0.10 | $ | 0.09 | $ | 0.11 |
(1) | Includes an after tax gain of $866,474 ($.13 per share basic) related to a gain on the sale of assets. |
| Carry out their duties honestly and with the highest degree of integrity. | |
| Avoid actual or apparent conflicts of interest between personal and professional relationships. | |
| Report promptly any transaction or relationship that could compromise ones ability to (i) adhere fully to the Code, other Company policies or applicable laws or (ii) make business decisions without regard to personal gain or benefit. | |
| Seek, at all times, to provide information to Company officials and its outside professionals (e.g. accountants, counsel, insurance providers, etc.) that is accurate, relevant, complete, objective, timely and understandable, and encourage others within the Company to do the same. | |
| Use reasonable efforts to assure full, fair, accurate, timely and understandable disclosure of information related to the Companys business and financial operations in Company reports and documents filed with the Securities and Exchange Commission (SEC) or the American Stock Exchange (AMEX) or in other public communications made by the Company. | |
| Use reasonable efforts to cause the Company to comply fully with the letter and spirit of all laws, rules and regulations applicable to the Company or its business. | |
| Promptly report to the Audit Committee of the Board of Directors (the Audit Committee) (i) any weakness or deficiency in the design or operation of the Companys internal controls or (ii) any fraud involving Company management or other employees having significant roles in the Companys operations, financial reporting, disclosures or internal controls. |
FRIEDMAN/DECATUR, L.L.C.
|
Alabama Limited Liability Company | 100% owned |
Senior Vice President Finance and |
By: |
/s/ William
E. Crow
|
By: |
/s/ Ben
Harper
|