-----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, DO8DVp5ERtXqDo7s3H+hWH5P1zp7YPCNt6DFxiY6Iao7Qm06TJflek4rbYO/VvBJ dwh/Y2wH2w1yPJxraLaEUw== 0000950144-98-008043.txt : 19980703 0000950144-98-008043.hdr.sgml : 19980703 ACCESSION NUMBER: 0000950144-98-008043 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19980331 FILED AS OF DATE: 19980702 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: GOLF HOST RESORTS INC CENTRAL INDEX KEY: 0000042429 STANDARD INDUSTRIAL CLASSIFICATION: HOTELS & MOTELS [7011] IRS NUMBER: 840631130 STATE OF INCORPORATION: CO FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 002-64309 FILM NUMBER: 98659499 BUSINESS ADDRESS: STREET 1: P O DRAWER 3131 CITY: DURANGO STATE: CO ZIP: 81302 BUSINESS PHONE: 3032592000 MAIL ADDRESS: STREET 1: P O BOX 1088 CITY: TARPON SPRINGS STATE: FL ZIP: 34688-1088 FORMER COMPANY: FORMER CONFORMED NAME: TAMARRON INC DATE OF NAME CHANGE: 19870405 FORMER COMPANY: FORMER CONFORMED NAME: GOLF HOST WEST INC /D/B/A/ TAMARRON DATE OF NAME CHANGE: 19840330 10-Q 1 GOLF HOST RESORTS, INC. FORM 10-Q 1 F O R M 10-Q SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 ____________________ Quarterly Report Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934 ____________________ For Quarter Ended March 31, 1998 Commission File No. 2-64309 GOLF HOST RESORTS, INC. ----------------------- (Exact name of registrant as specified in its charter) Colorado 84-0631130 - ------------------------------- ------------------ (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 36750 US Hwy 19, N, Palm Harbor, FL 34684 - -------------------------------------------------------- (Address of principal executive offices) (Zip Code) (970)-259-2000 - -------------- (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 twelve months, and (2) has been subject to the filing requirements for the past 90 days. - Yes X No ----- ----- Issuer has no common stock subject to this report. Page 1 of 17 2 GOLF HOST RESORTS, INC. AND SUBSIDIARY (A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.) BALANCE SHEETS MARCH 31, 1998 AND DECEMBER 31, 1997 ASSETS (Substantially all pledged)
MARCH 31, DECEMBER 31, 1998 1997 ------------- ------------- (unaudited) CURRENT ASSETS: Cash $ 57,490 $ 56,090 Restricted cash 1,554,036 2,238,767 Accounts receivable, net 8,658,833 5,472,228 Inventories and supplies 1,624,809 1,899,598 Prepaid expenses and other assets 1,033,672 684,497 Intercompany receivables 2,645,546 2,857,240 ------------- ------------- 15,574,386 13,208,420 Assets held for sale 9,441,836 9,038,309 ------------- ------------- Total current assets 25,016,222 22,246,729 INTANGIBLES, net 32,661,540 32,879,352 PROPERTY AND EQUIPMENT, at cost, less accumulated depreciation and amortization 36,595,714 35,725,251 OTHER ASSETS 1,749,691 1,996,301 ------------- ------------- $ 96,023,167 $ 92,847,633 ============= =============
The accompanying notes are an integral part of these financial statements Page 2 3 GOLF HOST RESORTS, INC. AND SUBSIDIARY (A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.) BALANCE SHEETS MARCH 31, 1998 AND DECEMBER 31, 1997 LIABILITIES AND SHAREHOLDERS' (DEFICIT)
MARCH 31, DECEMBER 31, 1998 1997 ------------ ------------- (unaudited) CURRENT LIABILITIES: Accounts payable $ 6,702,770 $ 7,854,720 Accrued expenses 6,611,276 5,552,488 Deposits and prepaid fees 2,595,712 2,907,472 ------------ ------------ Total current liabilities 15,909,758 16,314,680 ------------ ------------ LONG-TERM OBLIGATIONS 78,650,309 77,999,163 DEFERRED INCOME TAXES 14,127,687 13,134,558 ------------ ------------ Total liabilities 108,687,754 107,448,401 ------------ ------------ SHAREHOLDER'S (DEFICIT) Common stock, $1 par, 5,000 shares authorized, issued, and outstanding 5,000 5,000 5.6% cumulative preferred stock, $1 par, 4,577,000 shares authorized, issued, and outstanding 4,577,000 4,577,000 Paid-in capital (13,557,000) (13,557,000) Retained (deficit) (3,689,587) (5,625,768) ------------- ------------ Total shareholder's (deficit) (12,664,587) (14,600,768) ------------ ------------ Total liabilities and shareholder's (deficit) $ 96,023,167 $ 92,847,633 ============ ============
The accompanying notes are an integral part of these financial statements Page 3 4 GOLF HOST RESORTS, INC. AND SUBSIDIARY (A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.) STATEMENTS OF INCOME FOR THE QUARTERS ENDED MARCH 31, 1998 AND 1997
Quarters Ended March 31, --------------------------------------- 1998 1997 ------------- -------------- REVENUES: Resort facilities $ 7,819,476 $ 6,669,099 Food and beverage 5,005,803 4,620,490 Golf 6,148,105 5,602,045 Other 2,004,526 1,898,109 Real estate activities - 180,000 ------------ ----------- 20,977,910 18,969,743 ------------ ----------- COSTS AND OPERATING EXPENSES: Resort facilities 5,316,594 5,278,027 Food and beverage 3,230,373 3,115,654 Golf 1,978,194 1,708,712 Other 3,895,340 3,965,077 General and administrative 1,116,676 1,153,385 Real estate activities - 88,629 ------------ ----------- 15,537,177 15,309,484 ------------ ----------- OPERATING INCOME 5,440,733 3,660,259 INTEREST, NET 2,240,317 465,338 ------------ ----------- INCOME BEFORE INCOME TAX 3,200,416 3,194,921 PARENT INCOME TAX CHARGE 1,200,157 1,202,200 ------------ ----------- INCOME BEFORE DIVIDEND REQUIREMENTS ON PREFERRED STOCK 2,000,259 1,992,721 DIVIDEND REQUIREMENTS ON PREFERRED STOCK 64,078 64,078 ------------ ----------- NET INCOME AVAILABLE TO COMMON SHAREHOLDERS $ 1,936,181 $ 1,928,643 ============ =========== EARNINGS PER COMMON SHARE $ 387.24 $ 385.73 ============ ===========
The accompanying notes are an integral part of these statements Page 4 5 GOLF HOST RESORTS, INC. AND SUBSIDIARY (A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.) CONSOLIDATED STATEMENTS OF SHAREHOLDER'S (DEFICIT) EQUITY FOR THE FIFTEEN MONTHS ENDED MARCH 31, 1998
$1 Par Value 5.6% Cumulative Common Stock Preferred Stock Retained Total ----------------- ----------------------- Paid-In (Deficit) Shareholders' Shares Amount Shares Amount Capital Earnings (Deficit) Equity ------ ------ --------- ---------- ------------ ----------- ---------------- Balance, December 31, 1996 5,000 $5,000 4,577,000 $4,577,000 $ 2,329,447 $ 8,157,197 $ 15,068,644 ------ ------ --------- ---------- ------------ ----------- ------------ Notes receivable distribution - - - - - (3,941,666) (3,941,666) Net change in equity - - - - - 1,364,889 1,364,889 ------ ------ --------- ---------- ------------ ----------- ------------ Balance, June 23, 1997 5,000 $5,000 4,577,000 $4,577,000 $ 2,329,447 $ 5,580,420 $ 12,491,867 ===== ====== ========= ========== ============ =========== ============ Balance, June 24, 1997 5,000 $5,000 4,577,000 $4,577,000 $ (4,582,000) $ - $ - Distribution to shareholder - - - - (8,975,000) - (8,975,000) Net change in deficit - - - - - (5,625,768) (5,625,768) ----- ------ --------- ---------- ------------ ----------- ------------ Balance, December 31, 1997 5,000 $5,000 4,577,000 $4,577,000 $(13,557,000) $(5,625,768) $(14,600,768) Net income available to common shareholder - - - - - 1,936,181 (1,936,181) ----- ------ --------- ---------- ------------ ----------- ------------ Balance, March 31, 1998 5,000 $5,000 4,577,000 $4,577,000 $(13,557,000) $(3,689,587) $(12,664,587) ===== ====== ========= ========== ============ =========== ============
The accompanying notes are an integral part of these financial statements. Page 5 6 GOLF HOST RESORTS, INC. AND SUBSIDIARY (A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.) STATEMENTS OF CASH FLOWS FOR THE QUARTERS ENDED MARCH 31, 1998 AND 1997
1998 1997 ----------- ----------- CASH FLOWS FROM OPERATING ACTIVITIES: Net income before dividend requirements on preferred stock $ 2,000,259 $ 1,992,721 Noncash items included in income: Depreciation and amortization 837,264 645,000 Increase in deferred tax 993,129 (163,912) Changes in operating working capital (2,833,567) (504,349) ----------- ----------- Cash provided by operations 997,085 1,969,460 ----------- ----------- CASH FLOWS FROM INVESTING ACTIVITIES: (Decreases) increases in other assets 125,485 - Purchases of property and equipment (1,350,353) (585,174) Net recovery of cost of property and equipment sold or retired (18,435) 13,562 Increase in assets held for sale (403,527) - Additions to notes receivable - (605) Reductions in notes receivable - 69,245 ----------- ----------- Cash (used in) investing (1,646,830) (502,972) ----------- ----------- CASH FLOWS FROM FINANCING ACTIVITIES: Net change in notes payable - (734,329) Increases in long-term obligations - 59,592 Decreases in long-term obligations (355,987) (795,613) Increase in long-term contingency - 38,505 Additional borrowings 1,007,132 - ----------- ----------- Cash provided by (used for) financing 651,145 (1,431,845) ----------- ----------- NET INCREASE (DECREASE) IN CASH 1,400 34,643 CASH, BEGINNING OF QUARTER 56,090 488,685 ----------- ----------- CASH, END OF QUARTER $ 57,490 $ 523,328 =========== =========== NONCASH FINANCING AND INVESTING ACTIVITIES: The Company satisfied it preferred stock dividend liability to GHI through the intercompany account $ 64,078 $ 64,078
The accompanying notes are an integral part of these financial statements. Page 6 7 GOLF HOST RESORTS, INC. AND SUBSIDIARY (A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.) NOTES TO FINANCIAL STATEMENTS MARCH 31, 1998 AND 1997 (1) ORGANIZATION, BUSINESS, LIQUIDITY AND ACCOUNTING POLICIES During the quarter, there was no significant change from the 10-K filing on December 31, 1997. Financial Statement Presentation Certain reclassifications have been made to the March, 1997 financial statements to conform to the December 1997 presentation. (2) LONG-TERM OBLIGATIONS Long-term obligations consist of the following:
MARCH 31, DECEMBER 31, 1998 1997 ------------ ------------ Participating mortgage note at varying pay rates maturing in 2027 $ 69,725,000 $ 69,975,000 $9,000,000 participating mortgage note credit facility 4,031,295 3,024,163 Mortgage note at 6.34%, maturing in 2002. 4,894,014 5,000,000 ------------ ------------ $ 78,650,309 $ 77,999,163 ============ ============
Page 7 8 GOLF HOST RESORTS, INC. AND SUBSIDIARY (A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.) MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS RESULTS OF OPERATIONS For purposes of discussing comparative results of operations for 1998 and 1997, the results of operations of Tamarron, which are included in Assets Held for Sale at March 31, 1998, are included. Guest occupancy for the quarter, measured in room nights, increased 7.4% from the level of the prior year. On a divisional basis, Innisbrook's occupancy rose 17.3% while Tamarron experienced a decline in occupancy of 34.9%. The sharp decline in Tamarron's occupancy is primarily due to the record snowfalls in New Mexico, which is normally a significant contributor to Tamarron's ski-related winter occupancy. Revenues from resort operations on a per occupied room basis increased 8.8%, from $376.62 to $409.68. The improved guest spending is primarily attributable to a nearly 20% increase in Innisbrook's average room rate while Tamarron's lower average rate winter occupancy levels declined. Food and beverage and golf revenues also reflected improved spending per occupied room. On a divisional basis, Innisbrook's and Tamarron's revenue per occupied room for the first quarter of 1998 and 1997 were $437.72 and $197.99 as compared to $419.19 and $177.77, respectively. As a result of the improved occupancy and guest spending, total resort operations revenues rose nearly $3.4 million, or 18%. Real estate activities revenue increased to $400,000 in 1998 as compared with $180,000 in 1997. The 1997 amount results from the sale of the last Estates at Tamarron-Highpoint homesite while the 1998 revenue results from the sale of one Estates at Tamarron - Pine Ridge homesite. Six Pine Ridge homesites remain unsold. Relative to total resort operations revenues, costs and operating expenses declined slightly to 80.6% as compared to 1997's 81.0%. At Innisbrook, increased management fees resulting from the change in the management were offset by the economies of scale attributable to higher occupancy and the reduction in the costs associated with resort facilities revenue. The cost reduction resulted from the new master lease agreement, which yielded an increase in rental pool distribution expense of 3.5% while related resort facilities revenue rose 31.4%. These improvements at Innisbrook were somewhat offset by the decline in operating levels at Tamarron. While Tamarron's resort operations revenues declined 27%, costs and operating expenses as a percentage of revenues rose from 130% to 177%. In addition to lost economies of scale resulting from lower occupancy levels, additional costs were incurred relative to the installation of Troon Golf as manager of the golf course and increased permanent staff in food and beverage and golf. FINANCIAL CONDITION AND LIQUIDITY The Company's working capital position (exclusive of Assets Held for Sale) was a deficit of $335,000, as compared to a deficit of $3,106,000 at December 31, 1997. The Company typically experiences seasonal fluctuations in its net working capital position without normally impairing its ability to pay trade creditors in a timely manner and satisfy its financial obligations in an orderly fashion. However, due to the seasonal nature of the Company's business, the Company expects cash flow deficits from operations during the third and fourth quarters of 1998. The Company has evaluated the cash needs with respect to these deficits and planned capital expenditures and has reason to believe that cash flow generated from operations during the first half of the year will not be sufficient to meet the expected cash needs of the second half of 1998. Management recognizes that the Company must generate additional cash resources to ensure the continuation of operations and anticipates funding any cash flow deficits by obtaining additional financing from lending institutions, deferring certain capital expenditures, sales of investments under appropriate market conditions, sales of certain significant operating and non-operating assets, additional cash advances by the Company's parent and Westin, and the infusion of additional capital by the shareholders of the Company's parent. Management expects these efforts to generate enough cash to cover any cash deficiency experienced during the year. In this vein, the Company has entered into an unsecured capital expenditure sharing agreement with Westin whereby Westin will fund 50% of capital expenditures incurred subsequent to the June 23, 1997 merger transaction in excess of $6,000,000, plus capital reserve requirements as defined. In addition, the Company is negotiating an accounts receivable line of credit with major financial institutions. While the Company has a substantial retained deficit, based on existing cash levels and the additional cash sources discussed above, the Company assesses its liquidity as satisfactory. Page 8 9 PART II - OTHER INFORMATION Item 1. Legal Proceedings Registrant is not currently involved in material legal proceedings other than ordinary routine litigation incidental to its business. Item 2. Changes in Securities Not applicable. Item 3. Defaults Upon Senior Securities Not applicable. Item 4. Submission of Matters to a Vote of Security Holders Not applicable. Item 5. Other Information Pursuant to an agreement with the SEC staff, included in this 10-Q filing are unaudited financial statements of the Innisbrook Rental Pool Lease Operation and the Tamarron Rental Pool Lease Operation for the quarters ended March 31, 1998 and 1997. Item 6. Exhibits and Reports on Form 8-K (a) Exhibits 27 - Financial Data Schedule (for SEC use only) (b) Reports on Form 8-K None Page 9 10 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. GOLF HOST RESORTS, INC. Date: 7/1/98 By: /s/ Merrick Kleeman ----------------------------- ------------------------------ Merrick Kleeman President Date: 7/1/98 By: /s/ Richard L. Akin ----------------------------- ------------------------------ Richard L. Akin Vice President and Treasurer Page 10 11 RENTAL POOL LEASE OPERATIONS The following unaudited financial statements of the Innisbrook Rental Pool Lease Operation and the Tamarron Rental Pool Lease Operation (the Rental Pools) are for the quarters ended March 31, 1998 and 1997. The operations of the Rental Pools are tied closely to that of Golf Host Resorts, Inc. (the Company), and provide for distribution of a percentage of the Company's room revenues, as defined in the Rental Pool Master Lease Agreements, to participating condominium owners (Participants). The operations of the Rental Pools are more fully discussed in Form 10-K, for the fiscal year ended December 31, 1997 (File No. 2-64309). Page 11 12 INNISBROOK RENTAL POOL LEASE OPERATION BALANCE SHEETS MARCH 31, 1998 AND 1997 DISTRIBUTION FUND
1998 1997 ------------ ---------- ASSETS RECEIVABLE FROM GOLF HOST RESORTS, INC. FOR DISTRIBUTION - FULLY SECURED $ 3,081,390 $ 3,093,103 INTEREST RECEIVABLE FROM MAINTENANCE ESCROW FUND 20,976 22,062 ------------ ----------- $ 3,102,366 $ 3,115,165 ============ =========== LIABILITIES AND PARTICIPANTS' FUND BALANCES DUE TO PARTICIPANTS FOR DISTRIBUTION 2,583,088 2,561,534 DUE TO MAINTENANCE ESCROW FUND 519,278 371,665 RESERVE FOR ESTIMATED LIFE-SAFETY REIMBURSEMENT - 181,966 PARTICIPANTS' FUND - - ------------ ----------- $ 3,102,366 $ 3,115,165 ============ =========== MAINTENANCE ESCROW FUND ASSETS CASH AND CASH EQUIVALENTS $ 1,786,060 $ 2,017,075 RECEIVABLE FROM DISTRIBUTION FUND 519,278 371,665 INTEREST RECEIVABLE 36,785 25,196 ------------ ----------- $ 2,342,123 $ 2,413,936 ============ =========== LIABILITIES AND PARTICIPANTS' FUND BALANCES ACCOUNTS PAYABLE $ 60,674 $ 20,641 INTEREST PAYABLE TO DISTRIBUTION FUND 20,976 22,062 CARPET CARE RESERVE 29,007 41,812 PARTICIPANTS' FUND BALANCES 2,231,466 2,329,421 ------------ ----------- $ 2,342,123 $ 2,413,936 ============ ===========
These statements were prepared from the books and records of the Rental Pool without audit and, in the opinion of management, include all adjustments which are necessary for a fair presentation. Page 12 13 INNISBROOK RENTAL POOL LEASE OPERATION STATEMENTS OF OPERATIONS FOR THE QUARTERS ENDED MARCH 31, 1998 AND 1997 DISTRIBUTION FUND
1998 1997 ----------- ----------- GROSS REVENUES $ 7,744,819 $ 5,881,665 ----------- ----------- DEDUCTIONS: Agents' commissions 250,789 102,617 Credit Card Fees 82,301 - Audit fees 3,249 3,100 ----------- ----------- 336,339 105,717 ----------- ----------- ADJUSTED GROSS REVENUES 7,408,480 5,775,938 MANAGEMENT FEE (3,689,868) (2,714,690) ----------- ----------- GROSS INCOME DISTRIBUTION 3,718,612 3,061,248 ADJUSTMENTS TO GROSS INCOME DISTRIBUTION: Management Fee (398,722) - Marketing Fee (217,484) - Miscellaneous pooled expense (25,343) - Corporate complimentary occupancy fees 7,009 3,920 Occupancy fees (583,307) (495,550) Advisory Committee expenses (9,525) (28,712) Life-safety reimbursement - (181,966) ----------- ----------- NET INCOME DISTRIBUTION 2,491,240 2,358,940 ADJUSTMENTS TO NET INCOME DISTRIBUTION: Occupancy fees 583,307 495,550 Hospitality suite fees - 3,022 Greens fees 5,523 35,790 Additional participation credit 1,320 17,835 ----------- ----------- AMOUNT AVAILABLE FOR DISTRIBUTION TO PARTICIPANTS $ 3,081,390 $ 2,911,137 =========== =========== Average daily distribution $ 42.76 $ 39.33 Average room rate $ 161.52 $ 143.92 Occupied room nights 47,951 40,867 Available room nights 72,061 74,022 Occupancy percentage 66.5% 55.2% Average number of available units 801 822
These statements were prepared from the books and records of the Rental Pool without audit and, in the opinion of management, include all adjustments which are necessary for a fair presentation. Page 13 14 INNISBROOK RENTAL POOL LEASE OPERATION STATEMENTS OF CHANGES IN PARTICIPANTS' FUND BALANCES FOR THE QUARTERS ENDED MARCH 31, 1998 AND 1997 DISTRIBUTION FUND
1998 1997 ------------ ------------ BALANCE, beginning of period $ - $ - ADDITIONS: Amounts available for distribution before life-safety reimbursement 3,081,390 3,093,103 Interest received or receivable from Maintenance Escrow Fund 20,976 22,062 REDUCTIONS: Amounts withheld for Maintenance Escrow Fund (519,278) (371,665) Amounts held in reserve for estimated life-safety reimbursement - (181,966) Amounts accrued or paid to participants (2,583,088) (2,561,534) ------------ ------------ BALANCE, end of period $ - $ - ============ ============ MAINTENANCE ESCROW FUND BALANCE, beginning of period $ 1,901,616 $ 1,734,415 ADDITIONS: Amounts withheld from occupancy fees 519,278 371,665 Interest earned 20,976 22,062 Charges to participants to establish or restore escrow balances 83,803 453,323 REDUCTIONS: Maintenance charges (194,214) (211,600) Carpet care reserve deposit (11,666) (14,497) Interest accrued or paid to Distribution Fund (20,976) (22,062) Refunds to participants as prescribed by the Master Lease Agreement (67,351) (3,885) ------------ ------------ BALANCE, end of period $ 2,231,466 $ 2,329,421 ============ ============
These statements were prepared from the books and records of the Rental Pool without audit and, in the opinion of management, include all adjustments which are necessary for a fair presentation. Page 14 15 TAMARRON RENTAL POOL LEASE OPERATION BALANCE SHEETS MARCH 31, 1998 AND 1997 DISTRIBUTION FUND
1998 1997 ------------ ------------ ASSETS CASH $ 1,000 $ 1,000 RECEIVABLE FROM GOLF HOST RESORTS, INC. FOR DISTRIBUTION 196,299 288,983 INTEREST RECEIVABLE FROM MAINTENANCE ESCROW FUND 402 253 ------------ ------------ $ 197,701 $ 290,236 ============ ============ LIABILITIES AND PARTICIPANTS' FUND BALANCES DUE TO PARTICIPANTS FOR DISTRIBUTION $ 148,299 $ 220,765 DUE TO MAINTENANCE ESCROW FUND 49,402 69,471 PARTICIPANTS' FUND BALANCES - - ------------ ------------ $ 197,701 $ 290,236 ============ ============ MAINTENANCE ESCROW FUND ASSETS CASH AND CASH EQUIVALENTS $ 62,030 $ 17,588 DUE FROM DISTRIBUTION FUND 49,402 69,471 INTEREST RECEIVABLE - - INVENTORY: Linen 51,905 124,704 Materials and supplies 16,483 9,642 DEPOSITS - - ------------ ------------ $ 179,820 $ 221,405 ============ ============= LIABILITIES AND PARTICIPANTS' FUND BALANCES ACCOUNTS PAYABLE $ 7,000 $ 10,781 INTEREST PAYABLE TO DISTRIBUTION FUND 402 253 PARTICIPANTS' FUND BALANCES 172,418 210,371 ------------ ------------ $ 179,820 $ 221,405 ============ ============
These statements were prepared from the books and records of the Rental Pool without audit and, in the opinion of management, include all adjustments which are necessary for a fair presentation. Page 15 16 TAMARRON RENTAL POOL LEASE OPERATION STATEMENTS OF OPERATIONS FOR THE QUARTERS ENDED MARCH 31, 1998 AND 1997 DISTRIBUTION FUND
1998 1997 ----------- ----------- GROSS REVENUES $ 486,608 $ 701,690 ----------- ----------- DEDUCTIONS: Agents' commissions 49,672 58,047 Sales and marketing expenses 36,496 56,135 Audit fees 2,601 2,600 ----------- ----------- 88,769 116,782 ----------- ----------- ADJUSTED GROSS REVENUES 397,839 584,908 MANAGEMENT FEE (198,919) (292,454) ----------- ----------- GROSS INCOME DISTRIBUTION 198,920 292,454 ADJUSTMENTS TO GROSS INCOME DISTRIBUTION: Corporate complimentary occupancy fees 307 622 Occupancy fees (63,563) (95,117) Designated items (16,619) (20,911) Advisory Committee expenses (2,927) (4,093) ----------- ----------- POOLED INCOME 116,118 172 955 ADJUSTMENTS TO POOLED INCOME: Hospitality suite fees - - Occupancy fees 63,563 95,117 ----------- ----------- NET INCOME DISTRIBUTION $ 179,681 $ 268,072 =========== =========== Average daily distribution $ 7.00 $ 10.44 Average room rate $ 78.24 $ 73.40 Room nights 6,219 9,559 Occupancy percentage 24.2% 37.2% Average number of available units 285 285 Number of units in Rental Pool at end of period 295 297
These statements were prepared from the books and records of the Rental Pool without audit and, in the opinion of management, include all adjustments which are necessary for a fair presentation. Page l6 17 TAMARRON RENTAL POOL LEASE OPERATION STATEMENTS OF CHANGES IN PARTICIPANTS' FUND BALANCES FOR THE QUARTERS ENDED MARCH 31, 1998 AND 1997 DISTRIBUTION FUND
1998 1997 ------------ ------------ BALANCE, beginning of period $ - $ - ADDITIONS: Amounts available for distribution 179,681 268,072 Interest received or receivable from Maintenance Escrow Fund 402 253 REDUCTIONS: Amounts withheld for Maintenance Escrow Fund (31,784) (47,560) Amounts accrued or paid to participants (148,299) (220,765) ------------ ------------ BALANCE, end of period $ - $ - ============ ============ MAINTENANCE ESCROW FUND BALANCE, beginning of period $ 165,522 $ 197,548 ADDITIONS: Amounts withheld from occupancy fees 31,784 47,560 Interest earned 402 253 Reimbursement of designated items 16,619 20,911 Charges to participants to establish or restore escrow balances 105,272 12,086 REDUCTIONS: Maintenance and inventory charges (33,076) (19,472) Refurbishing charges (91,254) (22,431) Interest accrued or paid to Distribution Fund (402) (253) Designated items (16,619) (20,911) Refunds to participants as prescribed by Master Lease Agreement (5,830) (4,920) ------------- ---------- BALANCE, end of period $ 172,418 $ 210,371 ============= ==========
These statements were prepared from the books and records of the Rental Pool without audit and, in the opinion of management, include all adjustments which are necessary for a fair presentation. Page 17 EX-27 2 FINANCIAL DATA SCHEDULE (FOR SEC USE ONLY)
5 3-MOS DEC-31-1998 JAN-01-1998 MAR-31-1998 54,490 1,554,036 8,717,483 58,650 1,624,809 25,016,222 55,334,464 17,538,750 96,023,167 15,909,758 78,650,309 0 4,577,000 5,000 (17,246,587) 96,023,167 6,348,200 20,977,910 1,921,982 15,537,177 0 38,500 2,240,317 3,200,416 1,200,157 2,000,259 0 0 0 1,936,181 387.24 387.24
-----END PRIVACY-ENHANCED MESSAGE-----