-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, AH7wlrozrhBuIVSgDrvT1UyKvWM7RmOTXLLQy5bMJtA/swz7zxH07E0xoJfO3YT7 pV2U2n5Vd+99fN4nrumREA== 0000912057-94-003362.txt : 19941018 0000912057-94-003362.hdr.sgml : 19941018 ACCESSION NUMBER: 0000912057-94-003362 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19940827 FILED AS OF DATE: 19941011 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: HILLENBRAND INDUSTRIES INC CENTRAL INDEX KEY: 0000047518 STANDARD INDUSTRIAL CLASSIFICATION: 3990 IRS NUMBER: 351160484 STATE OF INCORPORATION: IN FISCAL YEAR END: 1130 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-06651 FILM NUMBER: 94552319 BUSINESS ADDRESS: STREET 1: 1069 STATE ROUTE 46E CITY: BATESVILLE STATE: IN ZIP: 47006-9166 BUSINESS PHONE: 8129347000 10-Q 1 FORM 10-Q - - ------------------------------------------------------------------------------- - - ------------------------------------------------------------------------------- UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED AUGUST 27, 1994 COMMISSION FILE NO. 1-6651 HILLENBRAND INDUSTRIES, INC. (Exact name of registrant as specified in its charter) INDIANA 35-1160484 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 700 STATE ROUTE 46 EAST BATESVILLE, INDIANA 47006-8835 (Address of principal executive offices) (Zip Code) REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (812) 934-7000 NOT APPLICABLE (Former name, former address and former fiscal year, if changed since last report) 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 STOCK, AS OF THE LATEST PRACTICABLE DATE. Common Stock, without par value - 71,162,447 as of October 2, 1994. - - ------------------------------------------------------------------------------- - - ------------------------------------------------------------------------------- 1 HILLENBRAND INDUSTRIES, INC. INDEX TO FORM 10-Q Page ---- PART I - FINANCIAL INFORMATION Item 1 - Financial Statements Consolidated Cash Flows for the Nine Months Exhibit 1 Ended 8/27/94 and 8/28/93 Consolidated Income for the Three Months Exhibit 1 and Nine Months Ended 8/27/94 and 8/28/93 Consolidated Balance Sheet, Exhibit 1 8/27/94 and 11/27/93 Supplementary Financial Information 3-4 Item 2 - Management's Discussion and Analysis of Financial Condition and Results of Operations 4-8 PART II - OTHER INFORMATION Item 1 - Legal Proceedings 8 Item 6 - Exhibits and Reports on Form 8-K 8 SIGNATURES 9 2 PART I - FINANCIAL INFORMATION Item 1. FINANCIAL STATEMENTS The following unaudited, condensed consolidated financial statements appear in Exhibit 1 to this quarterly report on Form 10-Q which financial statements are attached hereto and incorporated herein by reference: Consolidated Balance Sheet, 8/27/94 and 11/27/93 Consolidated Income for the Three Months and Nine Months Ended 8/27/94 and 8/28/93 Consolidated Cash Flows for the Nine Months Ended 8/27/94 and 8/28/93 The unaudited, condensed consolidated financial statements appearing in Exhibit 1 to this quarterly report on Form 10-Q, which are incorporated herein by reference, should be read in conjunction with the financial statements and notes thereto included in the Company's latest annual report. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted. The statements herein have been prepared in accordance with the Company's understanding of the instructions to Form 10-Q. In the opinion of management, such financial statements include all adjustments necessary to present fairly the financial position, results of operations, and cash flows, for the interim periods. Filed as part of this report: Supplementary Balance Sheet Information (Pertaining to non-insurance assets and consolidated shareholders' equity)
(Dollars in Thousands) ---------------------- 8/27/94 11/27/93 ------- -------- Allowance for possible losses and discounts on trade receivables. . . . . . $ 10,708 $ 11,271 Accumulated depreciation of equipment leased to others and property . . . . . . 501,987 460,443 Accumulated amortization of intangible assets. . . . . . . . . . . . . . . . . . 130,436 119,258
3
8/27/94 11/27/93 ------- -------- Capital Stock: Preferred stock, without par value: Authorized 1,000,000 shares; Shares issued . . . . . . . . . . None None Common stock, without par value: Authorized 199,000,000 shares; Shares issued . . . . . . . . . . 80,323,912 80,323,912
Supplementary Income Statement Information Earnings per common share were computed by dividing net income by the average number of common shares, including restricted shares issued to employees, outstanding during each period (71,229,334 for the three months of 1994; 71,339,643 for the nine months of 1994; 71,295,830 for the three months of 1993; and 71,455,179 for the nine months of 1993). Under a program begun in 1983, the Company has acquired to date 10,584,817 shares of common stock of which 1,483,352 shares have been reissued for general corporate purposes. The remaining treasury stock has been excluded in determining the average number of shares outstanding during each period. Common share equivalents arising from shares awarded under the Senior Executive Compensation Program which was initiated in fiscal year 1978 have also been excluded from the computation because of their insignificant dilutive effect. Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS The integration of Hill-Rom and SSI Medical Services was organizationally completed effective August 1, 1994. The combined company (referred to henceforth as "Hill-Rom") remains in the Health Care segment with Block Medical and Medeco Security Locks for reporting purposes. FINANCIAL CONDITION THIRD QUARTER 1994 COMPARED TO YEAR END 1993 Liquidity: Funding of the patent infringement settlement (see the discussion of third quarter results of operations) occurred in the fourth quarter of 1994. The $84.8 million payment was funded entirely from the Company's cash and cash equivalents ($181.1 million at the end of the third quarter). The income tax benefit of $32.2 million will be realized through lower income tax payments in the fourth quarter of 1994 and the first quarter of 1995. 4 Net cash generated from operating activities and selected borrowings represent the Company's primary sources of funds for growth of the business, including capital expenditures and acquisitions. Cash and cash equivalents (excluding investments of the insurance operation) declined from $210.2 million at the end of fiscal 1993 to $181.1 million at the end of the third quarter of 1994. Net cash flows from operating activities in the first nine months of $119.9 million was down $26.8 million compared with the same period in 1993. Net working capital (excluding acquisitions and the accrued litigation settlement) increased $26.3 million versus a $16.5 million increase in 1993. Accounts receivable declined $4.1 million compared with a $9.7 million decrease in the first three quarters of 1993. Inventories were up $7.4 million in 1994 and up $4.9 million in 1993. The litigation settlement (paid subsequent to the August 27, 1994 balance sheet date) of $52.5 million, net of taxes, is reflected in accrued expenses. Excluding this item and acquisitions, current liabilities declined $23.8 million in 1994 and $24.8 million 1993. 'Other' adjustments reconciling net income to net cash flows from operating activities include deferred loan expense on debentures, the Company's corporate-owned life insurance program, non-current accrued expenses and accrued investment income from insurance operations. The variance between 1994 and 1993 primarily reflects the liability associated with Forethought's purchase of mortgage-backed dollar roll contracts in 1993, the cash flow effect of which was offset in the investment line. This item did not recur in 1994. The decline in accounts receivable (excluding acquisitions) from year-end was due to lower bed sales at Hill-Rom. Days sales outstanding (including the effect of acquisitions) was 69 at the end of the third quarter compared with 70 at year-end. Annualized inventory turns on revenues was 12.6 at quarter-end, down from 14.7 at year-end due to acquisitions occurring in the first quarter and, to a lesser extent, lower shipments at Hill-Rom. Capital spending of $83.7 million was $13.4 million higher than in the prior year. The growth in spending was primarily in the Health Care segment. Acquisition payments of $37.6 million represent the purchase in the first quarter of L. & C. Arnold AG, Industrias Arga, S.A. de C.V and Lincoln Casket Company. The initial purchase price of L. & C. Arnold was adjusted to reflect the sale of a portion of that business in the third quarter, as anticipated. The net cash flow represented by the change in insurance benefit reserves, unearned revenue and deferred acquisition costs is primarily a function of policy sales, which were up significantly in the first nine months of 1994 versus the comparable period in 1993. 5 Capital Resources: In the first quarter of 1994, the Company issued $100.0 million of its 7% Debentures due February 15, 2024, the proceeds of which are to be used for general corporate purposes. In the second quarter, a $75.0 million unsecured promissory note (which was classified as current debt at year end 1993) was prepaid without penalty. The long-term debt-to-equity ratio was 32.4% at the end of the third quarter compared with 16.9% at the end of 1993. Additional debt capacity affords the Company considerable flexibility in the funding of internal and external growth. As previously discussed, the Company utilized cash and cash equivalents on hand at August 27, 1994, to fund the $84.8 million litigation settlement in the fourth quarter. RESULTS OF OPERATIONS THIRD QUARTER 1994 COMPARED TO THIRD QUARTER 1993 Net revenues of $377.8 million were up $37.2 million, or 10.9%, with growth reported in both segments. In the Funeral Services segment, Batesville Casket's revenue growth was driven by higher casket unit volume, a moderate second quarter price increase and increased sales of cremation products. At Forethought, earned premium revenue was up due to increased insurance in force, and higher investment income was driven by a larger invested asset base and higher average yields. Revenue growth at Hill-Rom in the Health Care segment was due to increased bed sales in Europe, including sales by L. & C. Arnold AG which was acquired in the first quarter of this year, and increased therapy rental beds in service, offsetting the softness in sales orders for acute care products in the U.S. Sales at Block were up marginally in the third quarter as increased shipments of disposable infusion pumps offset lower electronic pump sales. Medeco reported sales essentially equal to last year's third quarter with higher door security business offsetting lower OEM shipments. Gross profit of $170.6 million was up $9.2 million, or 5.7%. As a percentage of revenues, gross profit was 45.2%, down from 47.4% in the third quarter of 1993. Profitability in the Funeral Services segment was negatively affected by increased sales of lower margin cremation products. In the Health Care segment, margins were down slightly from 1993. At Hill-Rom, increased sales in Europe and higher shipments of remanufactured furniture, both of which generate lower margins, were mostly offset by the growth in therapy bed rentals and the leveraging of the associated fixed expenses. 6 Administrative, distribution and selling expenses increased $7.3 million, or 6.7%, from the third quarter of 1993. As a percentage of revenues, these expenses declined from 32.2% to 31.0%. The Funeral Services segment reported improvement as the result of a moderate increase in these expenses combined with double-digit revenue growth. In the Health Care segment, lower depreciation expense relative to the acquisition of SSI was offset by costs associated with the acquisition and rationalization of operations in Europe, higher product development costs and expenses related to the integration of Hill-Rom and SSI. Incentive compensation expense was lower throughout the Company. On September 19, 1994, subsequent to trial on the issues, the Company settled a patent infringement suit brought by Kinetic Concepts, Inc. against Support Systems International, Inc. and SSI Medical Services, Inc., wholly owned subsidiaries of the Company, for a cash payment of $84.8 million. The settlement amount was reflected in third quarter results as an unusual charge and payment was made in the fourth quarter. From the date of the initial claim until the trial commencing August 29, 1994, the Company believed that the outcome of a trial or any settlement of the matter would not have a significant effect on the Company's financial condition or results of operations. The settlement of the patent infringement suit will not affect future operating results. Interest expense increased $576 thousand, or 11.6%, compared with the third quarter of 1993 due to the issuance of debentures in the first quarter of 1994, partially offset by the prepayment of the $75.0 million promissory note and lower debt associated with the acquisition of LeCouviour. Other income, net, consisting of investment income and miscellaneous income and expense, of $1.5 million was down $399 thousand from the third quarter of 1993. Investment income was up due to higher average levels of interest-earning assets and higher interest rates. This was offset by other miscellaneous items. The third quarter income tax credit of $13.7 million includes the $32.2 million tax benefit relative to the litigation settlement. Excluding this item, the Company's third quarter effective rate was 37.4%. The 40.7% rate reported in the third quarter of 1993 reflected the cumulative effect of the one percentage point increase in the Federal statutory rate which was retroactive to January 1, 1993. The 1994 rate includes the effect of certain state tax planning strategies. NINE MONTHS ENDED AUGUST 27, 1994 COMPARED TO NINE MONTHS ENDED AUGUST 28, 1993 Since many of the factors affecting third quarter results also affected first quarter, second quarter and year to date results, refer to the discussion of third quarter results for additional analysis. 7 Net revenues of $1.1 billion were up $83.5 million, or 7.9%, with both segments reporting increases. In the Funeral Services segment, Batesville Casket's casket unit volume growth in the first and third quarters more than offset the shortfall in the second quarter. Health Care segment revenues were higher than 1993 on a year to date basis due to increased bed sales in Europe and double- digit growth in therapy bed rental revenues at Hill-Rom. Medeco's sales remain ahead of 1993 on a year to date basis while Block was down. Gross profit of $527.7 million was up $24.5 million, or 4.9%. As a percentage of revenues, gross profit was 46.4% versus 47.7% in 1993. The issues affecting this percentage in the third quarter may continue in the fourth quarter. Administrative, distribution and selling expenses increased $20.3 million, or 6.1%, and as a percentage of revenues were 30.9% compared with 31.4% in 1993. Revenue growth in the first and third quarters, lower incentive compensation expense and prudent management of all expenses offset the higher European, acquisition, product development and integration costs. The Company's 1994 year to date effective income tax rate of 37.9% compares with 38.8% in 1993 and reflects the implementation of certain state tax planning strategies. Management believes that changes in the health care delivery system continue to affect the order patterns for capital products of Hill-Rom's customers. There has been no fundamental change in the Company's operations or market share. PART II - OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS On September 19, 1994, subsequent to trial on the issues, the Company settled a patent infringement suit brought by Kinetic Concepts, Inc. ("KCI") against Support Systems International, Inc. and SSI Medical Services, Inc., wholly owned subsidiaries of the Comapnay, for a cash payment of $84.8 million (KINETIC CONCEPTS, INC. V. SUPPORT SYSTEMS INTERNATIONAL, INC. and SSI MEDICAL SERVICES, INC., U.S District Court, Western District of Texas, originally filed September 6, 1991). KCI alleged that SSI's RESTCUE AND RESTCUE CC therapy units infringed certain patents owned by KCI. KCI sought an award of actual damages and sought to enjoin SSI from marketing the RESTCUE units. Before the trial, the RESTCUE products had been replaced by a next generation therapy product. From the date of the initial claim until the trial commencing August 29, 1994, the Company believed that the outcome of a trial or any settlement of the matter would not have a significant effect on the Company's financial condition or results of operations.The settlement of the patent infringement suit will not affect future operating results. The settlement amount was reflected in third quarter results as an unusual charge and payment was made in the fourth quarter. ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K A. Exhibits The unaudited, condensed consolidated financial statements for the third quarter ended August 27, 1994 are attached hereto as Exhibit 1. B. Reports on Form 8-K There were no reports filed on Form 8-K during the third quarter ended August 27, 1994. 8 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. HILLENBRAND INDUSTRIES, INC. DATE: October 10, 1994 BY: /s/ Tom E. Brewer ----------------------- Tom E. Brewer Senior Vice President and Chief Financial Officer DATE: October 10, 1994 BY: /s/ James D. Van De Velde ------------------------------- James D. Van De Velde Vice President - Controller 9 EX-1 2 EXHIBIT 1 HILLENBRAND INDUSTRIES, INC. AND SUBSIDIARIES EXHIBIT 1 FINANCIAL STATEMENTS (Unaudited) Consolidated Cash Flows
(In Thousands) Nine Months Ended 08/27/94 08/28/93 Cash flows from operating activities: Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 48,909 $100,921 Adjustments to reconcile net income to net cash flows from operating activities: Depreciation and amortization. . . . . . . . . . . . . . . . . . . 70,640 73,066 Change in noncurrent deferred income taxes . . . . . . . . . . . . (9,442) (14,332) Change in net working capital excluding cash, current debt, acquisitions and litigation settlement. . . . . . . . . . . . . . (26,257) (16,538) Accrued litigation settlement net of income taxes (Note) . . . . . 52,545 -- Change in insurance items: Benefit reserves. . . . . . . . . . . . . . . . . . . . . . . . . 170,947 132,283 Unearned revenue. . . . . . . . . . . . . . . . . . . . . . . . . 66,630 58,352 Deferred acquisition costs. . . . . . . . . . . . . . . . . . . . (47,228) (36,160) Investments, net. . . . . . . . . . . . . . . . . . . . . . . . . (187,556) (175,173) Other, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . (19,248) 24,303 -------- -------- Net cash flows from operating activities . . . . . . . . . . . . . . . 119,940 146,722 -------- -------- Cash flows from investing activities: Capital expenditures, net. . . . . . . . . . . . . . . . . . . . . . (83,654) (70,261) Acquisition of businesses. . . . . . . . . . . . . . . . . . . . . . (37,589) (21,205) Other investments. . . . . . . . . . . . . . . . . . . . . . . . . . (13,000) -- -------- -------- Net cash flows from investing activities . . . . . . . . . . . . . . . (134,243) (91,466) -------- -------- Cash flows from financing activities: Additions (reductions)to debt, net . . . . . . . . . . . . . . . . . 28,424 (24,078) Payment of cash dividends. . . . . . . . . . . . . . . . . . . . . . (30,507) (24,120) Treasury stock acquisitions. . . . . . . . . . . . . . . . . . . . . (12,646) (14,701) Other. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . -- 206 -------- -------- Net cash flows from financing activities . . . . . . . . . . . . . . . (14,729) (62,693) -------- -------- Total cash flows . . . . . . . . . . . . . . . . . . . . . . . . . . . (29,032) (7,437) Cash and cash equivalents: At beginning of period. . . . . . . . . . . . . . . . . . . . . . . . 210,157 149,989 -------- -------- At end of period. . . . . . . . . . . . . . . . . . . . . . . . . . . $181,125 $142,552 -------- -------- -------- --------
NOTE TO FINANCIAL STATEMENTS - UNUSUAL CHARGE On September 19, 1994, the Company settled a patent infringement suit brought by Kinetic Concepts, Inc. against Support Systems International, Inc. and SSI Medical Services, Inc., wholly owned subsidiaries of the Company, for a cash payment of $84.8 million. The settlement resulted in an unusual charge to operations of $84.8 million, or $52.5 million after taxes, in the third quarter. Payment was made in the fourth quarter of 1994. Consolidated Income
(In Thousands Except Per Share Data) Three Months Ended Nine Months Ended 08/27/94 08/28/93 08/27/94 08/28/93 Net revenues . . . . . . . . . . . . . . . . . . . $377,815 $340,599 $1,137,926 $1,054,429 Cost of revenues . . . . . . . . . . . . . . . . . 207,197 179,229 610,193 551,172 Administrative, dist. and selling expenses . . . . 117,046 109,738 351,269 330,924 Unusual charge (Note). . . . . . . . . . . . . . . 84,750 -- 84,750 -- -------- -------- ---------- ---------- Operating profit (loss). . . . . . . . . . . . . . (31,178) 51,632 91,714 172,333 Interest expense . . . . . . . . . . . . . . . . . (5,555) (4,979) (17,045) (15,860) Other income, net. . . . . . . . . . . . . . . . . 1,514 1,913 4,108 5,561 -------- -------- ---------- ---------- Income (loss) from continuing operations before income taxes . . . . . . . . . . . . . . . (35,219) 48,566 78,777 162,034 Income taxes . . . . . . . . . . . . . . . . . . . (13,679) 19,790 29,868 62,891 -------- -------- ---------- ---------- Income (loss) from continuing operations . . . . . (21,540) 28,776 48,909 99,143 Income from discontinued operations net of income taxes. . . . . . . . . . . . . . . . . . . -- 1,199 -- 1,778 -------- -------- ---------- ---------- Net income (loss). . . . . . . . . . . . . . . . . $(21,540) $ 29,975 $ 48,909 $ 100,921 -------- -------- ---------- ---------- -------- -------- ---------- ---------- Earnings/common share: Income (loss) from continuing operations . . . . . $ (.30) $ .41 $ .69 $ 1.39 Income from discontinued operations net of income taxes. . . . . . . . . . . . . . . . . . . -- .01 -- .02 -------- -------- ---------- ---------- Net income (loss)/common share . . . . . . . . . . $ (.30) $ .42 $ .69 $ 1.41 -------- -------- ---------- ---------- Dividends/common share . . . . . . . . . . . . . . $ .1425 $ .1125 $ .4275 $ .3375 -------- -------- ---------- ---------- -------- -------- ---------- ----------
Consolidated Balance Sheet
ASSETS (In Thousands) 08/27/94 11/27/93 Current assets: Cash and cash equivalents. . . . . . . . . . . . . $ 181,125 $ 210,157 Trade receivables. . . . . . . . . . . . . . . . . 257,782 253,818 Inventories. . . . . . . . . . . . . . . . . . . . 108,597 90,900 Other. . . . . . . . . . . . . . . . . . . . . . . 18,684 19,151 ---------- ---------- Total current assets. . . . . . . . . . . . . . . 566,188 574,026 Equipment leased to others, net. . . . . . . . . . . 71,857 58,405 Property, net. . . . . . . . . . . . . . . . . . . . 285,651 268,383 Other assets: Intangible assets, net . . . . . . . . . . . . . . 182,517 138,384 Other assets . . . . . . . . . . . . . . . . . . . 39,333 19,116 ---------- ---------- Total other assets. . . . . . . . . . . . . . . . 221,850 157,500 Insurance assets: Investments. . . . . . . . . . . . . . . . . . . . 1,133,118 934,029 Deferred acquisition costs . . . . . . . . . . . . 265,031 217,803 Deferred income taxes. . . . . . . . . . . . . . . 42,118 33,649 Other. . . . . . . . . . . . . . . . . . . . . . . 28,782 26,952 ---------- ---------- Total insurance assets. . . . . . . . . . . . . . 1,469,049 1,212,433 ---------- ---------- Total assets . . . . . . . . . . . . . . . . . . . . $2,614,595 $2,270,747 ---------- ---------- ---------- ---------- LIABILITIES (In Thousands) 08/27/94 11/27/93 Current liabilities: Short-term debt. . . . . . . . . . . . . . . . . . $ 17,466 $ 12,708 Current portion of long-term debt. . . . . . . . . 254 77,318 Trade accounts payable . . . . . . . . . . . . . . 44,213 47,768 Accrued expenses (Note). . . . . . . . . . . . . . 195,503 152,234 ---------- ---------- Total current liabilities . . . . . . . . . . . . 257,436 290,028 Other liabilities: Long-term debt . . . . . . . . . . . . . . . . . . 215,418 107,887 Other long-term liabilities. . . . . . . . . . . . 83,035 72,780 Deferred income taxes. . . . . . . . . . . . . . . 19,660 20,633 ---------- ---------- Total other liabilities . . . . . . . . . . . . . 318,113 201,300 Insurance liabilities: Benefit reserves . . . . . . . . . . . . . . . . . 998,762 827,815 Unearned revenue . . . . . . . . . . . . . . . . . 359,216 292,586 General liabilities. . . . . . . . . . . . . . . . 16,895 19,086 ---------- ---------- Total insurance liabilities . . . . . . . . . . . 1,374,873 1,139,487 ---------- ---------- Total liabilities. . . . . . . . . . . . . . . . . . 1,950,422 1,630,815 ---------- ---------- SHAREHOLDERS' EQUITY Common stock . . . . . . . . . . . . . . . . . . . 4,442 4,442 Additional paid-in capital . . . . . . . . . . . . 11,593 3,900 Retained earnings. . . . . . . . . . . . . . . . . 798,325 779,923 Foreign currency translation adjustment. . . . . . 4,426 (1,643) Treasury stock . . . . . . . . . . . . . . . . . . (154,613) (146,690) ---------- ---------- Total shareholders' equity. . . . . . . . . . . . 664,173 639,932 ---------- ---------- Total liabilities and shareholders' equity . . . . . $2,614,595 $2,270,747 ---------- ---------- ---------- ----------
EX-27 3 EXHIBIT 27
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE UNAUDITED, CONDENSED, CONSOLIDATED STATEMENT OF INCOME AND BALANCE SHEET IN EXHIBIT 1 OF THE COMPANY'S FORM 10-Q FOR THE QUARTERLY PERIOD ENDING AUGUST 27, 1994, AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1,000 9-MOS DEC-03-1994 NOV-28-1993 AUG-27-1994 181,125 0 268,490 (10,708) 108,597 566,188 859,495 (501,987) 2,614,595 257,436 215,418 4,442 0 0 659,731 2,614,595 0 1,137,926 0 (610,193) (436,019) 0 (17,045) 78,777 (29,868) 48,909 0 0 0 48,909 0.69 0.69 REFLECTS AN UNUSUAL CHARGE OF 84,750, OR 52,545 AFTER INCOME TAXES, FOR SETTLEMENT OF A PATENT INFRINGEMENT SUIT ON SEPTEMBER 19, 1994.
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