-----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, LFKLB0lie7Zj22irtl9K91no2AWqEtCRmupSspQq7emzyLLL/4b10HtlQM5R9Lk1 G3wO22jWPNaXhDToBTojmA== 0000054187-99-000006.txt : 19991209 0000054187-99-000006.hdr.sgml : 19991209 ACCESSION NUMBER: 0000054187-99-000006 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19991031 FILED AS OF DATE: 19991208 FILER: COMPANY DATA: COMPANY CONFORMED NAME: MAYS J W INC CENTRAL INDEX KEY: 0000054187 STANDARD INDUSTRIAL CLASSIFICATION: OPERATORS OF NONRESIDENTIAL BUILDINGS [6512] IRS NUMBER: 111059070 STATE OF INCORPORATION: NY FISCAL YEAR END: 0731 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 001-03647 FILM NUMBER: 99770453 BUSINESS ADDRESS: STREET 1: 9 BOND ST CITY: BROOKLYN STATE: NY ZIP: 11201-5805 BUSINESS PHONE: 7186247400 MAIL ADDRESS: STREET 1: 9 BOND STREET CITY: BROOKLYN STATE: NY ZIP: 11201-5805 10-Q 1 SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 [ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended October 31, 1999 [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________________ to ________________ Commission file number 1-3647 J.W. Mays, Inc. (Exact name of registrant as specified in its charter) New York 11-1059070 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 9 Bond Street, Brooklyn, New York 11201-5805 (Address of principal executive offices) (Zip Code) (Registrant's telephone number, including area code) 718-624-7400 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 . Number of shares outstanding of the issuer's common stock as of the latest practicable date. Class Outstanding at December 7, 1999 Common Stock, $1 par value 2,135,780 shares This report contains 15 pages. J. W. MAYS, INC. INDEX Page No. Part I - Financial Information: Consolidated Balance Sheet 3 Consolidated Statement of Income and Retained Earnings 4 Consolidated Statement of Comprehensive Income 4 Consolidated Statement of Cash Flows 5 Notes to Consolidated Financial Statements 6 - 11 Management's Discussion and Analysis of Results of Operations and Financial Condition 12 - 13 Part II - Other Information 14
J. W. MAYS, INC. CONSOLIDATED BALANCE SHEET October 31, July 31, ASSETS 1999 1999 --------------------------------------------------------------- --------------- --------------- (Unaudited) (Audited) Property and Equipment - Net (Notes 5 and 7) $29,018,255 $28,786,035 ------------- ------------- Current Assets: Cash and cash equivalents 2,022,942 1,489,843 Marketable securities (Note 4) 40,394 39,993 Receivables (Note 8) 309,226 415,243 Income taxes refundable 10,670 38,727 Deferred income taxes 88,000 79,000 Security deposits 6,197 6,165 Prepaid expenses 508,738 960,614 ------------- ------------- Total current assets 2,986,167 3,029,585 ------------- ------------- Other Assets: Deferred charges 2,568,283 2,562,715 Less accumulated amortization 1,388,588 1,341,887 ------------- ------------- Net 1,179,695 1,220,828 Security deposits 637,138 633,424 Unbilled receivables (Note 8) 4,500,509 4,423,417 Unbilled receivables - affiliated company (Note 8) 500,328 545,812 Receivables 9,256 12,534 Marketable securities (Note 4) 2,998,570 3,005,401 ------------- ------------- Total other assets 9,825,496 9,841,416 ------------- ------------- TOTAL ASSETS $41,829,918 $41,657,036 ============= ============= LIABILITIES AND SHAREHOLDERS ' EQUITY --------------------------------------------------------------- Long-Term Debt: Mortgages payable (Note 5) $6,254,280 $6,439,933 Other (Note 6) 467,243 490,716 ------------- ------------- Total long-term debt 6,721,523 6,930,649 ------------- ------------- Deferred Income Taxes 1,838,000 1,740,000 ------------- ------------- Current Liabilities: Accounts payable 57,341 29,728 Payroll and other accrued liabilities 440,820 380,140 Other taxes payable 3,989 2,205 Current portion of long-term debt - mortgages payable (Note 5) 1,382,941 1,396,711 Current portion of long-term debt - other (Note 6) 110,197 110,165 ------------- ------------- Total current liabilities 1,995,288 1,918,949 ------------- ------------- Total liabilities 10,554,811 10,589,598 ------------- ------------- Shareholders' Equity: Common stock, par value $1 each share (shares - 5,000,000 authorized; 2,178,297 issued) 2,178,297 2,178,297 Additional paid in capital 3,346,245 3,346,245 Unrealized gain on available for sale securities 50,167 136,998 Retained earnings 25,990,500 25,696,000 ------------- ------------- 31,565,209 31,357,540 Less common stock held in treasury, at cost - 42,517 shares at October 31, 1999 and July 31, 1999 290,102 290,102 ------------- ------------- Total shareholders' equity 31,275,107 31,067,438 ------------- ------------- Contingencies (Note 12) TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $41,829,918 $41,657,036 ============= ============= See Notes to Consolidated Financial Statements. -3-
J. W. MAYS, INC. CONSOLIDATED STATEMENT OF INCOME AND RETAINED EARNINGS Three Months Ended October 31, --------------- ---------------- 1999 1998 -------------- -------------- (Unaudited) (Unaudited) Revenues Rental income (Note 8) $2,601,502 $2,576,502 Rental income - affiliated company 103,403 103,403 -------------- -------------- Total revenues 2,704,905 2,679,905 -------------- -------------- Expenses Real estate operating expenses 1,358,842 1,315,137 Administrative and general expenses 542,313 519,499 Depreciation and amortization 246,241 246,203 -------------- -------------- Total expenses 2,147,396 2,080,839 -------------- -------------- Income from operations before investment income, interest expense and income taxes 557,509 599,066 -------------- -------------- Investment income and interest expense: Investment income 64,395 64,098 Interest expense (Notes 5 and 10) (160,404) (172,849) -------------- -------------- (96,009) (108,751) -------------- -------------- Income before income taxes 461,500 490,315 Income taxes provided 167,000 169,000 -------------- -------------- Net income 294,500 321,315 Retained earnings, beginning of period 25,696,000 24,532,178 -------------- -------------- Retained earnings, end of period $25,990,500 $24,853,493 ============== ============== Net income per common share (Note 2) $.14 $.15 ============== ============== Dividends per share $- $- ============== ============== Average common shares outstanding 2,135,780 2,135,780 ============== ============== See Notes to the Consolidated Financial Statements. CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME Three Months Ended October 31, --------------- ---------------- 1999 1998 -------------- -------------- (Unaudited) (Unaudited) Net Income $294,500 $321,315 -------------- -------------- Other comprehensive income, net of tax (Note 3) Unrealized (loss) on available-for-sale securities: Net of tax benefits, $45,000 and $11,000 for the three months ended October 31, 1999 and 1998, respectively. (86,831) (58,905) -------------- -------------- -------------- -------------- Comprehensive Income $207,669 $262,410 ============== ============== See Notes to Consolidated Financial Statements. -4-
J. W. MAYS, INC. CONSOLIDATED STATEMENT OF CASH FLOWS Three Months Ended October 31, --------------- --------------- 1999 1998 --------------- --------------- (Unaudited) (Unaudited) Cash Flows From Operating Activities: Net income $294,500 $321,315 Adjustments to reconcile income to net cash provided by operating activities: Amortization of premium on marketable debt securities - (167) Realized loss on marketable securities - 4 Depreciation and amortization 246,241 246,203 Amortization of deferred expenses 53,181 56,505 Other assets - deferred expenses (12,048) (6,480) - unbilled receivables (77,092) (99,297) - unbilled receivables - affiliated company 45,484 45,484 - receivables 3,278 53,699 - receivables - affiliated company - 40,625 Deferred income taxes 134,000 132,000 Changes in: Receivables 106,017 125,886 Prepaid expenses 451,876 444,957 Income taxes refundable 28,057 - Accounts payable 27,613 6,707 Payroll and other accrued liabilities 60,680 (20,271) Income taxes payable - (63,142) Other taxes payable 1,784 1,389 ------------- ------------- Cash provided by operating activities 1,363,571 1,285,417 ------------- ------------- Cash Flows From Investing Activities: Capital expenditures (478,461) (415,772) Security deposits (3,746) 5,093 Marketable securities: available for sale Receipts from sales or maturities 50,000 50,000 Payments for purchases (175,401) (224,434) ------------- ------------- Cash (used) by investing activities (607,608) (585,113) ------------- ------------- Cash Flows From Financing Activities: Increase - security deposits 2,559 607 Payments - mortgage and other debt (225,423) (228,868) ------------- ------------- Cash (used) by financing activities (222,864) (228,261) ------------- ------------- Increase in cash 533,099 472,043 Cash and cash equivalents at beginning of period 1,489,843 1,047,979 ------------- ------------- Cash and cash equivalents at end of period $2,022,942 $1,520,022 ============= ============= See Notes to Consolidated Financial Statements. -5-
J. W. MAYS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 1. Accounting Records: The accounting records are maintained in accordance with generally accepted accounting principles (GAAP). The preparation of the Company's financial statements in accordance with GAAP, requires management to make estimates that affect the reported consolidated balance sheets, consolidated statements of income and retained earnings and consolidated statements of comprehensive income, and related disclosures. Actual results could differ from those estimates. The interim financial statements are prepared pursuant to the requirements for reporting on Form 10-Q. The July 31, 1999 balance sheet was derived from audited financial statements but does not include all disclosures required by GAAP. The interim financial statements and notes thereto should be read in conjunction with the financial statements and notes included in the Company's latest Annual Report on Form 10-K for the year ended July 31, 1999. In the opinion of management, the interim financial statements reflect all adjustments of a normal recurring nature necessary for a fair statement of the results for interim periods. The results of operations for the current period are not necessarily indicative of the results for the entire year ending July 31, 2000. 2. Income Per Share of Common Stock: Income per share has been computed by dividing the net income for the periods by the weighted average number of shares of common stock outstanding during the periods, adjusted for the purchase of treasury stock. Shares used in computing income per share were 2,135,780 in each of the three month periods ended October 31, 1999 and October 31, 1998. The Company's adoption of Statement of Financial Standards No. 128 ("SFAS 128"), "Earnings Per Share", has had no effect on the computation of previously reported earnings per share. 3. Recent Accounting Pronouncements: In June 1997, SFAS No. 130, "Reporting Comprehensive Income" ("SFAS 130"), was issued. SFAS 130 establishes standards for the reporting of comprehensive income and its components. It requires all items that are required to be recognized as components of comprehensive income be reported in a financial statement that is displayed with the same prominence as other income statement information. SFAS 130 is effective for financial statements for periods beginning after December 15, 1997. Reclassification of financial statements for earlier periods presented for comparative purposes was required upon adoption. In June 1997, SFAS No 131, "Disclosures about Segments of an Enterprise and Related Information" ("SFAS 131"), was issued. SFAS 131 establishes standards for the way that public business enterprises report information about operating segments in annual financial statements and requires that those enterprises report selected information about operating segments in annual financial statements and in interim financial reports issued to shareholders. SFAS 131 is effective for financial statements for periods beginning after December 15, 1997. In February 1998, the Financial Accounting Standards Board issued Statement of Financial Standards No. 132, "Employers' Disclosures about Pensions and Other Postretirement Benefits", ("SFAS 132"), effective for fiscal years beginning after December 15, 1997. The Company's Retirement Plan is 100% funded, with Company contributions made quarterly, and there will be no additional liability recognized by the Company. The adoption of SFAS 131 and SFAS 132 did not have an effect on the Company's financial statements, and SFAS 130 is reflected in the October 31, 1999 financial statements.
4. Marketable Securities: The Company categorizes marketable securities as either trading, available for sale or held to maturity. Trading securities are carried at fair value with unrealized gains and losses included in income. Available for sale securities are carried at fair value with unrealized gains and losses recorded as a separate component of shareholders' equity. Held to maturity securities are carried at amortized cost. Dividends and interest income are accrued as earned. As of October 31, 1999, the Company's marketable securities were classified as follows: Gross Gross Unrealized Unrealized Fair Cost Gains Losses Value ------------- ------------- ------------- ------------- Current: Certificate of deposit $40,394 $- $- $40,394 ============= ============= ============= ============= Noncurrent: Available for sale: Equity securities $2,923,403 $75,167 $- $2,998,570 ============= ============= ============= ============= Investment income consists of the following: Three Months Ended October 31, ------------- ------------- 1999 1998 ------------ ------------ Interest income $18,355 $21,126 Dividend income 46,040 42,976 (Loss) on sale of securities - (4) ------------- ------------- Total $64,395 $64,098 ============= ============= -7-
5. Long-Term Debt:
October 31, 1999 July 31, 1999 -------------------------------- -------------------------- Current Annual Final Due Due Due Due Interest Payment Within After Within After Rate Date One Year One Year One Year One Year ------- -------- -------------- -------------- -------------- ---------- Mortgages: Jamaica, New York property (a) 8 1/2 % 4/01/07 $266,666 $3,066,667 $266,667 $3,133,333 Jowein building, Brooklyn, N.Y. (b) 9 % 3/31/00 652,976 - 675,050 - Fishkill, New York property (c) 8 1/4 % 7/01/04 83,971 2,231,168 82,263 2,252,812 Circleville, Ohio property (d) 7 % 9/30/02 369,419 784,344 363,029 879,130 Other 8 1/2 % 5/01/01 9,909 172,101 9,702 174,658 -------------- -------------- -------------- ---------- Total $1,382,941 $6,254,280 $1,396,711 $6,439,933 ============== ============== ============== ==========
(a) The Company, on September 11, 1996, closed a loan with a bank in the amount of $4,000,000. The loan is secured by a first mortgage lien covering the entire leasehold interest of the Company, as tenant, in a certain ground lease and building in the Jamaica property. The loan proceeds were utilized by the Company toward (i) payment in full of the outstanding term loan by the Company, in favor of the same bank, in the amount of $1,500,000 plus interest and (ii) its costs for the renovations to the portions of the premises in connection with the Company's sublease of a significant portion of the building. Although the loan was closed on September 11, 1996, the entire $4,000,000 was not drawn down until March 31, 1997. The interest rate on the loan is 8 1/2% for a period of five (5) years and six (6) months, with such rate to change on the first day of the sixty-seventh (67th) month of the term to a rate equal to the then prime rate plus 1/4%, fixed for the balance of the term. The loan is to become due and payable on the first day of the month following the expiration of ten (10) years and six (6) months from the closing date. (b)Mortgage is held by an affiliated corporation owned by members, including certain directors of the Company, of the family of the late Joe Weinstein, former Chairman of the Board of Directors. Interest and amortization of principal are paid quarterly. Effective April 1, 1997, the maturity date of the mortgage which was scheduled to be on March 31, 1998 was extended to March 31, 2000. The interest rate increased from 7 3/8% to 9% commencing April 1, 1997. During the extended period there will be no change in the constant quarterly payments of interest and principal in the amount of $37,263. (c)On June 2, 1999, the existing first mortgage loan balance on the Fishkill property was extended for a period of five years. The annual interest rate was reduced from 9% to 8 1/4% and the interest and principal payments are to be made in constant monthly amounts based upon a fifteen (15) year payout period. (d)The mortgage loan, which is self-amortizing, matures September 30, 2002. The loan is payable at an annual interest rate of 7%. Under the terms of the loan, constant monthly payments, including interest and principal, commenced April 1, 1994 in the amount of $33,767, until October 1, 1997, at which time the monthly payments of interest and principal increased to $36,540. 6. Long-Term Debt - Other: Long-Term debt - Other consists of the following:
October 31, 1999 July 31, 1999 ------------------------------- ------------------------------- Due Due Due Due Within After Within After One Year One Year One Year One Year ------------- ------------- ------------- ------------- Deferred compensation * $104,000 $121,333 $104,000 $147,333 Lease security deposits ** 6,197 345,910 6,165 343,383 ------------- ------------- ------------- ------------- Total $110,197 $467,243 $110,165 $490,716 ============= ============= ============= =============
* In fiscal 1964 the Company entered into a deferred compensation agreement with Max L. Shulman, its then Chairman of the Board. This agreement, as amended, provides for a total of $520,000 to be paid in monthly installments of $8,666.67 for a period of 60 months, payable upon the expiration of his employment, retirement or permanent disability as defined in the agreement, or death. Mr. Shulman retired as an employee on December 31, 1996 and the monthly payments commenced January, 1997. **Does not include three irrevocable letters of credit totaling $275,000 at October 31, 1999 and at July 31, 1999, provided by three tenants. 7. Property and Equipment - at cost:
October 31, July 31, 1999 1999 --------------- --------------- Property: Buildings and improvements $37,103,738 $36,775,251 Improvements to leased property 9,158,009 9,143,369 Land 4,008,835 4,008,835 Construction in progress 809,010 694,042 ------------- ------------- 51,079,592 50,621,497 Less accumulated depreciation 22,269,298 22,035,879 ------------- ------------- Property - net 28,810,294 28,585,618 ------------- ------------- Fixtures and equipment and other: Fixtures and equipment 569,395 567,057 Other fixed assets 209,223 208,775 ------------- ------------- 778,618 775,832 Less accumulated depreciation 570,657 575,415 ------------- ------------- Fixtures and equipment and other - net 207,961 200,417 ------------- ------------- Property and equipment - net $29,018,255 $28,786,035 ============= =============
8. Unbilled Receivables and Rental Income: Unbilled receivables represent the excess of scheduled rental income recognized on a straight-line basis over rental income as it becomes receivable according to the provisions of each lease. Rental income includes $103,403 for each of the quarters ended October 31, 1999 and October 31, 1998, representing rentals from an affiliated company. Amounts due from the affiliated company are as follows:
October 31, July 31, 1999 1999 ------------------------------ $500,328 $545,812 ============= =============
9. Employees' Retirement Plan: The Company sponsors a noncontributory Money Purchase Plan covering substantially all of its employees. Operations were charged $54,040 and $50,500 as contributions to the Plan for the three months ended October 31, 1999 and October 31, 1998, respectively. 10. Cash Flow Information: For purposes of reporting cash flows, the Company considers cash equivalents to consist of short-term highly liquid investments with maturities of three months or less, which are readily convertible into cash. Supplemental disclosure:
Three Months Ended October 31, ------------------------------ 1999 1998 __________ __________ Interest paid $161,727 $174,212 Income taxes paid $4,943 $100,100
11. Financial Instruments and Credit Risk Concentrations: Financial instruments that are potentially subject to concentrations of credit risk consist principally of marketable securities, cash and cash equivalents and receivables. Marketable securities and cash and cash equivalents are placed with high credit quality financial institutions and instruments to minimize risk. The Company derives rental income from thirty-eight tenants, of which one tenant accounted for more than 10% of rental income during the three months ended October 31, 1999. That tenant accounted for 15.82%. 12. Contingencies: McCrory Stores Corporation ("McCrory"), which occupied space in the Company's Jowein building in the Fulton Mall in downtown Brooklyn, New York, and whose lease, as amended, extended to April 29, 2010, filed for relief under Chapter 11 of the Bankruptcy Code in February 1992. McCrory rejected its lease, as amended, with the Company with the approval of the Bankruptcy Court, effective January 31, 1994 Jamesway Corporation ("Jamesway"), which occupied retail space in the Fishkill, New York property and whose lease extended to January 31, 2005, filed for relief under Chapter 11 of the Bankruptcy Code on October 18, 1995. Jamesway rejected its lease for the Fishkill location with the approval of the Bankruptcy Court, effective February 29, 1996, but continued occupancy until March 22, 1996. The Company has realized from Jamesway $465,811, or 49% on account of its unsecured claim, and 100% of its allowed administrative claim of $54,887, for a total of $520,698. The Company has realized from McCrory $36,602, or 21.53% on account of its administrative claim of $170,000. McCrory sold substantially all of its assets and the proceeds of sale were insufficient to make any distribution to unsecured creditors. The Company has made no provision in its financial statements for the balance of its claims filed against Jamesway and McCrory due to the fact that there are not likely to be any further distributions by either company. There are various lawsuits and claims pending against the Company. It is the opinion of management that the resolution of these matters will not have a material adverse effect on the Company's Consolidated Financial Statements. 13. Subsequent Event: The Company's common stock has been listed on the Nasdaq National Market. The Company was notified by Nasdaq Amex that the Company's market value of its public float relating to its common stock has not been sufficient to maintain the listing on The Nasdaq National Market. The Company applied for listing on The Nasdaq SmallCap Market which application was approved. The Company's securities were transferred from The Nasdaq National Market to The Nasdaq SmallCap Market, effective November 8, 1999. J. W. MAYS, INC. MANAGEMENT'S DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS AND FINANCIAL CONDITION Results of Operations: Three Months Ended October 31, 1999 Compared to the Three Months Ended October 31, 1998: In the three months ended October 31, 1999, the Company reported net income of $294,500, or $.14 per share. In the comparable three months ended October 31, 1998, the Company reported net income of $321,315, or $.15 per share Revenues in the current three months increased to $2,704,905 from $2,679,905 in the comparable 1998 three months. Real estate operating expenses in the current three months increased to $1,358,842 from $1,315,137 in the comparable 1998 three months primarily due to an increase in real estate taxes, electric costs and licenses and permits, partially offset by an decrease in payroll and maintenance costs. Administrative and general expenses in the current three months increased to $542,313 from $519,499 in the comparable 1998 three months primarily due to an increase in payroll and medical costs, partially offset by a decrease in legal and professional costs. Depreciation and amortization expense in the current three months increased to $246,241 from $246,203 in the three months ended October 31, 1998. Interest expense in the current three months exceeded investment income by $96,009 and by $108,751 in the comparable 1998 three months. The decrease was primarily due to scheduled repayments. Liquidity and Capital Resources: The Company has been operating as a real estate enterprise since the discontinuance of the retail department store segment of its operations on January 3, 1989. Management considers current working capital and borrowing capabilities adequate to cover the Company's planned operating and capital requirements. The Company's cash and cash equivalents amounted to $2,022,942 at October 31, 1999. Cash Flows From Operating Activities: Prepaid expenses: Cash expenditures for the three months ended October 31, 1999 increased by $14,944 compared to the comparable three months ended October 31, 1998, due primarily to an increase in real estate taxes. Cash Flows From Investing Activities: Capital Expenditures: The Company had expenditures of approximately $91,830 for the three months ended October 31, 1999 for renovations at its Jamaica, New York building. The expenditures at the Jamaica building are part of the exterior facade renovation which the Company anticipates will cost approximately $1,200,000. As of October 31, 1999, the Company has expended a total of $1,148,890. The renovations were completed during November 1999. The Company had expenditures of $103,888 for renovations at its Brooklyn, New York building for the three months ended October 31, 1999. The Company is building a new lobby at this location to enable the Company to attract additional tenants to the property. The cost of the new lobby is estimated to be approximately $620,000. Work commenced in April 1999 and is expected to be completed by January 2000. As of October 31, 1999, the Company has expended a total of $332,679 for the lobby. The Company had expenditures of $200,971 for the three months ended October 31, 1999 for the installation of heating, ventilating and air conditioning units at its Fishkill, New York building. The cost of the equipment was approximately $320,000. The work was completed in November 1999. As of October 31, 1999, the Company expended a total of $300,971. Year 2000 Compliance: The Company uses a computerized accounting system purchased from a vendor. The vendor has released a Year 2000 compliant version of the accounting system which the Company is in the process of implementing. No material expenditures will be required to resolve the Year 2000 issue. Much of the Company's internal software programs have been purchased from third parties. Failure of the third parties' computer systems would not have a material impact on the Company's ability to conduct business. Furthermore, the Company is not dependant on third party computer systems and applications. The Company has no suppliers or significant customers that "link" up to its computer systems. The Company does not anticipate any problems with its hardware or its software. The Company has communicated with its major tenants, financial institutions, contractors and utility companies to determine the extent to which the Company is vulnerable to third parties' failures to resolve their Year 2000 issues. Based on the representations received to date from these third parties, the Company does not believe this represents a material risk to the Company. Nevertheless, the Company has no guarantee that such third party systems will operate as represented. In the event significant systems of one of these third parties fails, the Company's operations and financial results could be adversely affected. Part II - Other Information Item 6 - Exhibits and Reports on Form 8-K (a) List of Exhibits: Sequentially Exhibit Numbered Number Exhibit Page (2) Plan of acquisition, reorganization, arrangement, liquidation or succession. N/A (4) Instruments defining the rights of security holders, including indentures. N/A (10) Material contracts. N/A (11) Statement re computation of per share earnings. N/A (15) Letter re unaudited interim financial information. N/A (18) Letter re change in accounting principles. N/A (19) Report furnished to security holders. N/A (22) Published report regarding matters submitted to vote of security holders. N/A (24) Power of attorney. N/A (27) Financial data schedule. N/A (99) Additional exhibits. N/A (b) Reports on Form 8-K - No report on Form 8-K was required to be filed by the Company during the three months ended October 31, 1999. 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. J.W. MAYS, Inc. (Registrant) Date December 7, 1999 Lloyd J. Shulman ---------------------------- Lloyd J. Shulman Chairman Date December 7, 1999 Alex Slobodin ---------------------------- Alex Slobodin Exec. Vice-President (Principal Financial Officer) EX-27 2 ARTICLE 5 FIN. DATA SCHEDULE FOR 3RD QTR 10-Q
5 This schedule contains summary financial information extracted from the contained quarterly 10-Q and is qualified in its entirety by reference to such Form 10-Q. 1 3-MOS Jul-31-2000 Aug-01-1999 Oct-31-1999 2,022,942 40,394 309,226 0 0 2,986,167 51,858,210 22,839,955 41,829,918 1,995,288 0 2,178,297 0 0 0 41,829,918 0 2,704,905 0 0 2,147,396 0 160,404 461,500 167,000 294,500 0 0 0 294,500 0.14 .00
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