-----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, UxCLeTPR9edeOV7aV460M8nY/rEoKyOteb2TVRf6vqdxAJHds1xjNZZOI6P9LQaq 6LLwLAMtnI//yyb9gCyRPA== 0000950134-96-000752.txt : 19960318 0000950134-96-000752.hdr.sgml : 19960318 ACCESSION NUMBER: 0000950134-96-000752 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19960131 FILED AS OF DATE: 19960315 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: XETA CORP CENTRAL INDEX KEY: 0000742550 STANDARD INDUSTRIAL CLASSIFICATION: TELEPHONE & TELEGRAPH APPARATUS [3661] IRS NUMBER: 731130045 STATE OF INCORPORATION: OK FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: 10QSB SEC ACT: 1934 Act SEC FILE NUMBER: 000-16231 FILM NUMBER: 96535534 BUSINESS ADDRESS: STREET 1: 4500 S GARNETT STE 1000 CITY: TULSA STATE: OK ZIP: 74146 BUSINESS PHONE: 9186648200 MAIL ADDRESS: STREET 1: 4500 S GARNETT SUITE 1000 CITY: TULSA STATE: OK ZIP: 74146 10QSB 1 FORM 10-QSB FOR QUARTER ENDED JANUARY 31, 1996 1 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-QSB [X] QUARTERLY REPORT UNDER SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR QUARTER ENDED JANUARY 31, 1996 or [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 0-16231 XETA Corporation - -------------------------------------------------------------------------------- (Exact name of registrant as specified in its charter) Oklahoma 73-1130045 - -------------------------------------------------------------------------------- (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 4500 S. Garnett, Suite 1000, Tulsa, Oklahoma 74146 - -------------------------------------------------------------------------------- (Address of principal executive offices) (Zip Code) 918-664-8200 - -------------------------------------------------------------------------------- (Registrant's telephone number, including area code) Not Applicable - -------------------------------------------------------------------------------- (Former name, former address and former fiscal year, if changed since last report) Check whether the registrant (1) filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the past 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 each of the registrant's classes of common stock, as of the latest practicable date. Class Outstanding at March 1, 1996 - --------------------------------- ----------------------------- Common Stock, $.10 par value 2,169,820 2 PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS Page No. ------- Consolidated Balance Sheets - January 31, 1996 3 and October 31, 1995 Consolidated Statements of Operations - For the 4 Three Months Ended January 31, 1996 and 1995 Consolidated Statements of Shareholders' Equity - 5 November 1, 1995 through January 31, 1996 Consolidated Statements of Cash Flows - For the 6 Three Months Ended January 31, 1996 and 1995 Notes to Consolidated Financial Statements 7
2 3 XETA CORPORATION CONSOLIDATED BALANCE SHEETS ASSETS
January 31, 1996 October 31, 1995 ---------------- ----------------- (Unaudited) Current Assets: Cash and cash equivalents $2,595,603 $ 2,788,709 Current portion of net investment in sales-type leases 1,801,389 1,472,249 Other receivables, net 1,405,111 1,328,445 Inventories, net (Note 3) 654,054 884,764 Current deferred tax asset, net (Note 6) 206,871 282,185 Prepaid expenses and other assets 189,666 94,755 ----------- ------------ Total current assets 6,852,694 6,851,107 ----------- ------------ Noncurrent Assets: Net investment in sales-type leases, less current portion above 3,351,743 3,018,142 Property, plant, & equipment, net (Note 4) 335,535 329,525 Capitalized software production costs, net of accumulated amortization of $227,730 at Jan. 31, 1996 and $214,002 at Oct. 31, 1995 214,560 184,013 Other assets 216,904 213,917 ----------- ------------ Total noncurrent assets 4,118,742 3,745,597 ----------- ------------ Total assets $10,971,436 $ 10,596,704 =========== ============ LIABILITIES & SHAREHOLDERS' EQUITY Current liabilities: Accounts payable $ 381,299 $ 441,581 Unearned revenue (Note 5) 2,079,317 1,968,019 Accrued liabilities 364,445 661,363 Accrued federal and state income taxes 21,361 538,566 ----------- ------------ Total current liabilities 2,846,422 3,609,529 ----------- ------------ Unearned service revenue (Note 5) 1,810,511 1,687,817 ----------- ------------ Noncurrent deferred tax liability, net (Note 6) 497,050 475,921 ----------- ------------ Commitments (Note 10) Shareholders' equity: Common stock; $.10 par value; 10,000,000 shares authorized, 2,169,820 and 2,003,320 issued at January 31, 1996 and October 31, 1995, respectively 216,982 200,332 Paid-in capital 4,627,614 4,092,291 Retained earnings 1,232,597 790,554 ----------- ------------ 6,077,193 5,083,177 Less treasury stock, at cost (259,740) (259,740) ----------- ------------ Total shareholders' equity 5,817,453 4,823,437 ----------- ------------ Total liabilities & shareholders' equity $10,971,436 $ 10,596,704 =========== ============
The accompanying notes are an integral part of these statements. 3 4 XETA CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
For the Three Months Ended -------------------------- January 31, 1996 January 31, 1995 ---------------- ---------------- Sales of systems $2,039,216 $1,839,926 Installation and service revenues 1,542,781 1,221,003 ---------- ---------- Net sales and service revenues 3,581,997 3,060,929 ---------- ---------- Cost of sales 1,242,814 853,800 Installation and service cost 989,401 756,948 ---------- ---------- Total cost of sales and service 2,232,215 1,610,748 ---------- ---------- Gross profit 1,349,782 1,450,181 ---------- ---------- Operating expenses: Selling, general and administrative 689,285 664,508 Engineering, research and development, and amortization of capitalized software production costs 97,357 120,690 ---------- ---------- Total operating expenses 786,642 785,198 ---------- ---------- Income from operations 563,140 664,983 Interest and other income 139,903 78,349 ---------- ---------- Income before provision for income taxes 703,043 743,332 Provision for income taxes (261,000) (205,450) ---------- ---------- Net income $ 442,043 $ 537,882 ========== ========== Income per common and common equivalent share Primary $ .19 $ .24 ========== ========== Fully diluted $ .19 $ .23 ========== ========== Weighted average shares outstanding 1,923,241 1,776,593 ========== ========== Weighted average share equivalents Primary 2,347,865 2,259,993 ========== ========== Fully diluted 2,347,865 2,295,645 ========== ==========
The accompanying notes are an integral part of these statements. 4 5 XETA CORPORATION CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY NOVEMBER 1, 1995 THROUGH JANUARY 31, 1996 (Unaudited)
Common Stock Treasury Stock --------------------------- ----------------------- Number of Retained Shares Issued Paid-in Earnings & Outstanding Par Value Shares Amount Capital (Deficit) ------------- --------- ------ ------ ------- ---------- Balance - October 31, 1995 2,003,320 $200,332 (189,747) $(259,740) $4,092,291 $790,554 Stock options exercised 166,500 16,650 149,850 Tax benefit of stock options 385,473 Net Income 442,043 --------- -------- ------- --------- ---------- ---------- Balance - January 31, 1996 2,169,820 $216,982 (189,747) $(259,740) $4,627,614 $1,232,597 ========= ======== ======== ========= ========== ==========
The accompanying notes are an integral part of these statements. 5 6 XETA CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
For The Three Months Ending --------------------------- January 31, 1996 January 31, 1995 ---------------- ---------------- Cash flows from operating activities: Net income $ 442,043 $ 537,882 ----------- ----------- Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 32,815 36,725 Amortization of capitalized software production costs 13,728 13,728 (Gain) loss on sale of assets 5,064 (16,081) Provision for doubtful accounts receivable 15,000 15,000 Provision for excess and obsolete inventory -- 22,060 Change in assets and liabilities: (Increase) in net investment in sales-type leases (662,741) (711,439) (Increase) in other receivables (91,666) (546,209) (Increase) decrease in inventories 230,710 (91,749) (Increase) decrease in prepaid income taxes -- 80,817 (Increase) decrease in deferred tax asset 58,786 (90,405) (Increase) decrease in prepaid expenses and other assets (97,898) (117,213) Increase (decrease) in accounts payable (60,282) 12,069 Increase (decrease) in unearned revenue 233,992 684,701 Increase (decrease) in accrued liabilities (503,569) 458,601 Increase (decrease) in deferred tax liabilities 112,578 (84,323) ----------- ----------- Total adjustments (713,483) (333,718) ----------- ----------- Net cash provided by (used in) operating activities (271,440) 204,164 ----------- ----------- Cash flows from investing activities: Additions to capitalized software (44,276) -- Additions to property, plant & equipment (43,890) (25,456) Proceeds from sale of assets -- 21,256 ----------- ----------- Net cash provided by (used in) investing activities (88,166) (4,200) ----------- ----------- Cash flows from financing activities: Exercise of stock options 166,500 10,000 ----------- ----------- Net cash used in financing activities 166,500 10,000 ----------- ----------- Net increase (decrease) in cash and cash equivalents (193,106) 209,964 Cash and cash equivalents, beginning of period 2,788,709 1,630,531 ----------- ----------- Cash and cash equivalents, end of period $ 2,595,603 $ 1,840,495 =========== =========== Supplemental disclosure of cash flow information: Cash paid during the period for interest $ -- $ -- Cash paid during the period for income taxes $ 296,286 $ --
The accompanying notes are an integral part of these statements. 6 7 XETA CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS January 31, 1996 (Unaudited) (1) BASIS OF PRESENTATION The consolidated financial statements included herein include the accounts of XETA Corporation and its wholly- owned subsidiary, Xetacom, Inc. Xetacom's operations have been insignificant to date. All significant intercompany accounts and transactions have been eliminated. The consolidated financial statements have been prepared by the Company, without an audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. The Company believes that the disclosures made in these financial statements are adequate to make the information presented not misleading when read in conjunction with the consolidated financial statements and the notes thereto included in the Company's latest financial statements filed as part of the Company's Annual Report on Form 10-KSB, Commission File No. 0-16231. Management believes that the financial statements contain all adjustments necessary for a fair statement of the results for the interim periods presented. All adjustments made were of a normal recurring nature. (2) REVOLVING CREDIT AGREEMENT The Company maintains a $350,000 revolving line of credit with its bank. To date, no advances have been made under this agreement. (3) INVENTORIES The following are the components of inventories:
January 31, October 31, 1996 1995 ---------- ----------- (Unaudited) Raw materials $ 345,871 $ 447,090 Finished goods and spare parts 443,512 573,307 ---------- ---------- 789,383 1,020,397 Less reserve for excess and obsolete inventory 135,329 135,633 ---------- ---------- $ 654,054 $ 884,764 ========== ==========
7 8 (4) PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment consist of the following:
January 31, October 31, 1996 1995 ----------- ------------ (Unaudited) Computer field equipment $666,422 $661,473 Office furniture 111,642 108,731 Other 128,878 106,277 -------- --------- 906,942 876,481 Less accumulated depreciation 571,407 (546,956) -------- --------- $335,535 $ 329,525 ======== =========
(5) UNEARNED INCOME Unearned income consists of the following:
January 31, October 31, 1996 1995 ----------- ----------- (Unaudited) Service contracts $1,319,838 $1,177,599 Warranty service 500,403 487,673 Systems shipped, but not installed 9,976 44,305 Customer deposits 199,682 208,065 Other deferred revenues 49,418 50,377 ---------- ---------- Total current deferred revenue 2,079,317 1,968,019 Noncurrent unearned service revenues 1,810,511 1,687,817 ---------- ---------- $3,889,828 $3,655,836 ========== ==========
(6) INCOME TAXES The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below:
January 31, October 31, 1996 1995 ----------- ----------- (Unaudited) Deferred tax assets: Prepaid service contracts $ 111,108 $ 128,397 Nondeductible reserves 278,946 299,873 Book depreciation in excess of tax 7,597 23,780 Other 32,364 44,036 --------- --------- Total deferred tax asset 430,015 496,086 --------- --------- Deferred tax liabilities: Unamortized capitalized software development costs (72,951) (62,564) Tax income to be recognized on sales-type lease contracts (555,794) (535,808) Other (91,449) (91,450) --------- --------- Total deferred tax liability (720,194) (689,822) --------- --------- Net deferred tax liability $(290,179) $(193,736) ========= =========
8 9 (7) INTEREST AND OTHER INCOME Interest and other income for the quarter ending January 31, 1996, consists primarily of interest income earned from sales-type leases and cash investments. (8) FOOTNOTES INCORPORATED BY REFERENCE Certain footnotes are applicable to the consolidated financial statements, but would be substantially unchanged from those presented in the Company's Annual Report on Form 10-KSB, Commission File No. 0-16231, filed with the Securities and Exchange Commission on January 29, 1996. Accordingly, reference should be made to those statements for the following:
Note Description ---- ----------- 1 Business and summary of significant accounting policies 3 Cash and cash equivalents 4 Income taxes 5 Xeta Reservation Systems, Inc. 7 Accrued liabilities 9 Stock options 10 Commitments 11 Major customers 13 Other receivables 14 Employment agreements 15 Contingency 16 Earnings per share 18 Retirement plan
9 10 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS During the first quarter of fiscal 1996, XETA Corporation, ("the Company") recorded net income of $442,000 on total revenues of $3,582,000. These results represent a 17% increase in total revenues and a 18% decrease in net income when compared to the first quarter of fiscal 1995. During the quarter, two significant, but offsetting trends continued. First, the acceptance of the Company's PBX product and service offering continued to increase, resulting in substantial increases in the revenues earned from PBX related activities compared to a year ago. Second, revenues from orders resulting from the mandated changes in the dialing patterns of telephone numbers used in most of North America ("North American Numbering Plan or NANP")continued to decline as this upgrade program draws to a conclusion. This surge in orders, primarily for higher margin call accounting systems, began in the fourth quarter of fiscal 1994, reached their peak during the first quarter of fiscal 1995 and have declined steadily since. Management expects the remaining backlog of orders to be installed and recognized as revenues during the second quarter. A third important factor affecting the comparison of the first quarter results is the difference in the effective income tax rates between the two periods. The effective tax rate realized in the first quarter of fiscal 1995 reflected the realization of $107,000 in tax benefits of reversing temporary timing differences. Such unrealized benefits are no longer available to the Company. FINANCIAL CONDITION The Company's financial strength continues to be an important factor in all phases of its business. The surge in revenues related to the changes in the NANP was due in part to the Company's ability to internally finance these transactions through the XETAPLAN program. As a result of the Company's ability to offer this turnkey financing program, one of the Company's major customers, Marriott International/Marriott Host, was able to upgrade all of its XETA call accounting systems. The Company's financial strength has also played an important role in the Company's successful entry into the PBX market. By having the necessary working capital to fund additional sales and service locations and to fully support those locations with spare parts and administrative services, the Company has been able to maintain a rapid rate of growth. Furthermore, the Company's financial strength sometimes is an important factor in negotiations with major customers who want the assurance that their PBX service provider can fully support multiple locations across the country. During the first fiscal quarter of fiscal 1996, the Company continued to invest heavily in research and development activities. Most of this activity centered around the development of the Company's new PBX 10 11 related product, XPANDER. (See "Results of Operations" for a further discussion of this product.) Management anticipates that investment in engineering and research and development activities will continue at the current pace for the foreseeable future. In addition to the activities described above, the Company continues to actively evaluate various strategies for effective use of its cash reserves. These strategies include, but are not limited to, stock repurchases, synergistic acquisitions and continued expansion of the XETAPLAN program possibly to include PBX or XPANDER systems. RESULTS OF OPERATIONS Net sales and service revenues increased 17% to $3,582,000 compared to the first quarter of fiscal 1995. This increase consisted of an 11% increase in sales of new systems and a 26% increase in installation and service revenues. When analyzed by product line, PBX related revenues, both systems sales and service revenues, increased $973,000 or 91% compared to the first quarter of fiscal 1995. Call accounting related revenues declined 23% in total. This decrease included a $469,000 or 41% decrease in sales of new call accounting systems, highlighting the impact of the decline in NANP related sales. Sales of new call accounting systems are expected to decrease during the second quarter and then decline significantly beginning in the third quarter of fiscal 1996. Revenues earned from call accounting service activities increased $17,000 or 2% in the first quarter of fiscal 1996 compared to the first quarter of fiscal 1995. Gross margins decreased from 47% during the first quarter of fiscal 1995 to 38% during the first quarter of fiscal 1996. This decrease in gross margins was expected and reflects the decrease in sales of higher margin call accounting systems. The decreasing trend in overall gross margins is expected to continue through the third quarter and then stabilize during the fourth quarter. As a result, even though management expects PBX related revenues to continue to increase sufficiently to produce a modest increase in overall fiscal 1996 revenues, the magnitude of the decline in sales of higher margin call accounting systems will make it challenging to surpass fiscal 1995's total net income. The expected increase in fiscal 1996 revenues is dependent primarily on the continued acceptance of the Company's PBX product and service offerings, and to a much lesser degree, the successful completion of development of the Company's new XPANDER product. Operating expenses were relatively unchanged during the first quarter of fiscal 1996 compared to the same period in fiscal 1995. Increases in costs related to additional sales and administrative personnel were partially offset by decreases in bad debt expense and in executive bonuses, which are directly related to profitability. Also, engineering related expenses decreased due to the fact that a greater portion of the expenses incurred during the first quarter of fiscal 1996 qualified for 11 12 capitalization under the applicable accounting rules than in the same period of fiscal 1995. Interest and other income increased $62,000 or 79% during the first quarter of fiscal 1996 compared to the first quarter of fiscal 1995. This increase primarily reflects the increase in interest income earned from the Company's portfolio of sales-type leases. During fiscal 1995, many of the Company's sales related to the NANP activity were recorded as sale- type leases which, under the applicable accounting rules, resulted in the recording of a system sale and an offsetting sales-type lease receivable. Each month, as these sales-type lease receivables are amortized, a portion of each payment is recorded as interest income. The original term of these contracts ranged from three to five years and the majority of these contracts are with a single customer, Marriott International/Marriott Host. Because of the Company's long- standing relationship with Marriott and because the Company's products are essential, revenue-producing assets for the customer, management considers the Company's credit risk to be satisfactorily diversified and the allowance for doubtful accounts to be adequate to absorb estimated losses at January 31, 1996. The Company has recorded a provision for federal and state income taxes of $261,000 for the quarter ending January 31, 1996 compared to a provision for taxes of $205,000 for the first quarter of fiscal 1995. As discussed above, the effective tax rate for the first quarter of last year was reduced substantially as a result of the recognition of $107,000 in tax benefits relating to reversing timing differences. Management expects the effective rate realized in the first quarter of fiscal 1996 to be indicative of the effective rate for the remainder of the year. 12 13 PART II. OTHER INFORMATION Item 1. Legal Proceedings Phonometrics Since the filing of its report on Form 10-KSB for its 1995 fiscal year, the Company learned that a ruling was issued against Phonometrics, Inc. in favor of Northern Telecom on Northern Telecom's motion for summary judgment of non- infringement. The court held that the accused products manufactured and sold by Northern Telecom during the relevant time period of the lawsuit did not infringe on Phonometrics' patent. Critical to the court's decision was the fact that the accused products did not contain an instantaneous digital display of the cost of the call, a call- completion signal, and a settable charge selector (thumbwheels), all of which, the court concluded, are necessary elements of the Claims in Phonometrics' patent and therefore must be present to support a claim of infringement under the Doctrine of Equivalents. While the court's language in the Northern Telecom order granting Northern Telecom's motion for summary judgment was not broad enough to automatically dispose of all other pending Phonometrics cases, the Company believes that the same arguments advanced by Northern Telecom can be made with respect to the Company's equipment and that the Northern Telecom decision provides strong, favorable precedent in favor of the Company's equipment and its customers. Northern Telecom is appealing the court's decision. The Company continues to monitor these cases. Several Phonometrics cases are set for trial later this year. As of March 14, 1996, the Company has not been named as a party in any of these cases. ABTS There have been no material developments in the action brought by Associated Business Telephone Company ("ABTS") against the Company, since the Company's description of this action in its 1995 Form 10-KSB. The court-ordered settlement conference originally scheduled for March 7, 1996, was indefinitely postponed, pending completion of further discovery by the parties. The Court has set a July 31, 1996 date for completion of discovery and an October 15, 1996 trial date in this matter. Items 2 through 5 of Part II have been omitted because they are inapplicable or the response thereto is negative. Item 6. (a) Exhibits - See the Exhibit Index at Page 15. (b) Reports on Form 8-K - During the quarter for which this report is filed, the Registrant did not file any reports with the Securities and Exchange Commission on Form 8-K. 13 14 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. XETA CORPORATION (Registrant) Dated: March 15, 1996 By: /s/ JACK R. INGRAM ------------------------------------ Jack R. Ingram President Dated: March 15, 1996 By: /s/ ROBERT B. WAGNER ------------------------------------ Robert B. Wagner Vice President of Finance 14 15 EXHIBIT INDEX
SEC. NO. Description Page - ------- ----------- ---- (2) Plan of acquisition, reorganization, arrangement, liquidation or succession - (4) Instruments defining rights of security holders, including indentures - previously filed as Exhibits 3.1, 3.2 and 3.3 to the Registrant's Registration Statement on Form S-1, Registration No. 33-7841. - (11) Statement re: computation of per share earnings - Inapplicable. - (15) Letter re: unaudited interim financial information - Inapplicable. - (18) Letter re: change in accounting principles - Inapplicable. - (19) Previously unfiled documents - Indicated by asterisk (*). - (20) Report furnished to security holders - None. - (23) Published report regarding matters submitted to a vote of security holders - None. - (24) Consents of experts and counsel 16 24.1 Consent of Arthur Andersen LLP (25) Power of attorney - None. (27) Financial Data Schedule - (28) Additional exhibits - None. -
15 EX-24.1 2 CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS 1 EXHIBIT 24.1 CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS As independent public accountants, we hereby consent to the use of our report and to all references to our Firm included in or made a part of the Form S-8 made by Xeta Corporation on August 28, 1995. It should be noted that we have not audited any financial statements of the Company subsequent to October 31, 1995 or performed any audit procedures subsequent to the date of our report. ARTHUR ANDERSEN LLP Tulsa, Oklahoma March 11, 1996 EX-27 3 FINANCIAL DATA SCHEDULE
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONSOLIDATED BALANCE SHEETS AND CONSOLIDATED STATEMENTS OF OPERATIONS FOUND ON PAGES 3 AND OF THE COMPANY'S 10QSB FOR THE YEAR TO DATE AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 3-MOS OCT-31-1996 NOV-01-1995 JAN-31-1996 2,595,603 0 1,405,111 0 654,054 6,852,694 335,535 0 10,971,436 2,846,422 0 216,982 0 0 5,860,211 10,971,436 3,581,997 3,581,997 2,232,215 2,232,215 0 0 0 703,043 261,000 0 0 0 0 442,043 .19 .19
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