-----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, LHj9+8/vPiB6YvOgf+yqjswCoAKlDABBjmbqR/E0t97gp9EQbZQYaA0Gi6dw/nYP c5hyMrprwMTwIvJWbOTVfQ== 0000950129-01-504430.txt : 20020412 0000950129-01-504430.hdr.sgml : 20020412 ACCESSION NUMBER: 0000950129-01-504430 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 9 CONFORMED PERIOD OF REPORT: 20011120 ITEM INFORMATION: Financial statements and exhibits ITEM INFORMATION: FILED AS OF DATE: 20011210 FILER: COMPANY DATA: COMPANY CONFORMED NAME: STERLING CHEMICAL INC CENTRAL INDEX KEY: 0001014669 STANDARD INDUSTRIAL CLASSIFICATION: INDUSTRIAL ORGANIC CHEMICALS [2860] IRS NUMBER: 760502785 STATE OF INCORPORATION: DE FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 333-04343-01 FILM NUMBER: 1810261 BUSINESS ADDRESS: STREET 1: 1200 SMITH STREET STREET 2: SUITE 1900 CITY: HOUSTON STATE: TX ZIP: 77002-4312 BUSINESS PHONE: 7136503700 MAIL ADDRESS: STREET 1: C/O STERLING GROUP INC STREET 2: EIGHT GREENWAY PLAZA, SUITE 702 CITY: HOUSTON STATE: TX ZIP: 77046 FORMER COMPANY: FORMER CONFORMED NAME: STX CHEMICALS CORP DATE OF NAME CHANGE: 19960516 FILER: COMPANY DATA: COMPANY CONFORMED NAME: STERLING CHEMICALS HOLDINGS INC /TX/ CENTRAL INDEX KEY: 0000795662 STANDARD INDUSTRIAL CLASSIFICATION: INDUSTRIAL ORGANIC CHEMICALS [2860] IRS NUMBER: 760502785 STATE OF INCORPORATION: DE FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-10059 FILM NUMBER: 1810262 BUSINESS ADDRESS: STREET 1: 1200 SMITH ST, SUITE 1900 CITY: HOUSTON STATE: TX ZIP: 77002-4312 BUSINESS PHONE: 7136503700 MAIL ADDRESS: STREET 1: 1200 SMITH ST SUITE 1900 CITY: HOUSTON STATE: TX ZIP: 77002-4312 FORMER COMPANY: FORMER CONFORMED NAME: STERLING CHEMICALS HOLDINGS INC DATE OF NAME CHANGE: 19960828 FORMER COMPANY: FORMER CONFORMED NAME: STERLING CHEMICALS INC DATE OF NAME CHANGE: 19920703 FORMER COMPANY: FORMER CONFORMED NAME: STERLING CHEMICALS INC /TX/ DATE OF NAME CHANGE: 19961218 8-K 1 h92775e8-k.txt STERLING CHEMICALS HOLDINGS, INC. - 11/20/2001 ================================================================================ UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ------------------------ FORM 8-K CURRENT REPORT FILED PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): NOVEMBER 20, 2001 STERLING CHEMICALS HOLDINGS, INC. (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER) DELAWARE 1-00059 76-0185186 (STATE OR OTHER (COMMISSION (I.R.S. EMPLOYER JURISDICTION OF INCORPORATION FILE NUMBER) IDENTIFICATION NO.) OR ORGANIZATION) 1200 SMITH STREET, SUITE 1900 HOUSTON, TEXAS 77002-4312 (ADDRESS OF PRINCIPAL EXECUTIVE OFFICES AND ZIP CODE) (713) 650-3700 (REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE) ------------------------ STERLING CHEMICALS INC. (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER) DELAWARE 333-04343-01 76-0502785 (STATE OR OTHER (COMMISSION (I.R.S. EMPLOYER JURISDICTION OF INCORPORATION FILE NUMBER) IDENTIFICATION NO.) OR ORGANIZATION) 1200 SMITH STREET, SUITE 1900 HOUSTON, TEXAS 77002-4312 (ADDRESS OF PRINCIPAL EXECUTIVE OFFICES AND ZIP CODE) (713) 650-3700 (REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE) ------------------------ ================================================================================ ITEM 7. EXHIBITS Exhibit 99.1 -- Monthly Operating Report for Sterling Chemicals Holdings, Inc. for October 2001. Exhibit 99.2 -- Monthly Operating Report for Sterling Chemicals, Inc. for October 2001. Exhibit 99.3 -- Monthly Operating Report for Sterling Chemicals Energy, Inc. for October 2001. Exhibit 99.4 -- Monthly Operating Report for Sterling Fibers, Inc. for October 2001. Exhibit 99.5 -- Monthly Operating Report for Sterling Chemicals International, Inc. for October 2001. Exhibit 99.6 -- Monthly Operating Report for Sterling Canada, Inc. for October 2001. Exhibit 99.7 -- Monthly Operating Report for Sterling Pulp Chemicals US, Inc. for October 2001. Exhibit 99.8 -- Monthly Operating Report for Sterling Pulp Chemicals, Inc. for October 2001. ITEM 9. REGULATION FD DISCLOSURE On July 16, 2001, Sterling Chemicals Holdings, Inc. and its subsidiaries Sterling Chemicals Inc., Sterling Chemicals Energy, Inc., Sterling Fibers, Inc., Sterling Chemicals International, Inc., Sterling Canada Inc., Sterling Pulp Chemicals US, Inc. and Sterling Pulp Chemicals Inc. filed voluntary petitions for reorganization under Chapter 11 of the United States Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Texas, Houston Division, in Houston, Texas (the "Bankruptcy Court"). These petitions were styled as In re Sterling Chemicals Holdings, Inc., In re Sterling Chemicals Inc., In re Sterling Chemicals Energy, Inc., In re Sterling Fibers, Inc., In re Sterling Chemicals International, Inc., In re Sterling Canada Inc., In re Sterling Pulp Chemicals US, Inc. and In re Sterling Pulp Chemicals Inc., respectively, Case Numbers 01-378[05-12]-H4-11, (05-12 being the different case numbers). Each of Sterling Chemicals Holdings, Inc. and these other entities are being operated as debtors-in-possession under the Bankruptcy Code. Attached are exhibits containing monthly operating reports filed by the debtors with the Bankruptcy Court for October 2001. The monthly operating reports filed herewith contain unaudited financial information that is subject to future reconciliations and adjustments that may materially affect stockholder's equity (deficit). -2- SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, each of the Registrants has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. STERLING CHEMICALS HOLDINGS, INC. Date: December 10, 2001 By: /s/ DAVID G. ELKINS ------------------------------------- David G. Elkins, President STERLING CHEMICALS INC. Date: December 10, 2001 By: /s/ DAVID G. ELKINS ------------------------------------- David G. Elkins, President -3- EXHIBIT INDEX Exhibit 99.1 -- Monthly Operating Report for Sterling Chemicals Holdings, Inc. for October 2001. Exhibit 99.2 -- Monthly Operating Report for Sterling Chemicals, Inc. for October 2001. Exhibit 99.3 -- Monthly Operating Report for Sterling Chemicals Energy, Inc. for October 2001. Exhibit 99.4 -- Monthly Operating Report for Sterling Fibers, Inc. for October 2001. Exhibit 99.5 -- Monthly Operating Report for Sterling Chemicals International, Inc. for October 2001. Exhibit 99.6 -- Monthly Operating Report for Sterling Canada, Inc. for October 2001. Exhibit 99.7 -- Monthly Operating Report for Sterling Pulp Chemicals US, Inc. for October 2001. Exhibit 99.8 -- Monthly Operating Report for Sterling Pulp Chemicals, Inc. for October 2001. EX-99.1 3 h92775ex99-1.txt MONTHLY OPERATING RPT. STERLING CHEMICALS HOLDINGS EXHIBIT 99.1 UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF TEXAS HOUSTON DIVISION CASE NAME: STERLING CHEMICALS HOLDINGS, INC. PETITION DATE: 07/16/01 CASE NUMBER: 01-37805-H4-11 MONTHLY OPERATING REPORT SUMMARY FOR MONTH: OCTOBER YEAR: 2001
MONTH 7/16/01-8/31/01 9/30/2001 10/31/2001 - -------------------------------------------------------------------------------------------------------- REVENUES (MOR-6) $ -- $ -- $ -- $ -- $ -- $ -- INCOME BEFORE INT. DEPREC./TAX (MOR-6) $ (1,772) $ 990 $(61,848) $ -- $ -- $ -- NET INCOME (LOSS) (MOR-6) $(66,942) $74,944 $(56,126) $ -- $ -- $ -- PAYMENTS TO INSIDERS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- PAYMENTS TO PROFESSIONALS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- TOTAL DISBURSEMENTS (MOR-7) $ -- $ -- $ -- $ -- $ -- $ --
***The original of this document MUST BE FILED with the United States Bankruptcy Court and a COPY MUST BE SENT to the United States Trustee*** REQUIRED INSURANCE MAINTAINED AS OF SIGNATURE DATE EXP. See attachment 2 DATE - ------------------------------- CASUALTY YES (x) NO ( ) 08-01-02 LIABILITY YES (x) NO ( ) 07-01-02 VEHICLE YES (x) NO ( ) 07-01-02 WORKER'S YES (x) NO ( ) 07-01-02 OTHER YES (x) NO ( ) various ATTORNEY NAME: Jeff Spiers FIRM: Andrews & Kurth LLP ADDRESS: 600 Travis ADDRESS: Suite 4200 CITY, STATE ZIP: Houston, TX 77002 TELEPHONE: 713-220-4103 Are all accounts receivable being collected within terms? NO Are all post-petition liabilities, including taxes, being paid with terms? YES Have any pre-petition liabilities been paid? NO If so, describe - -------------------------------------------------------------------------------- Are all funds received being deposited into DIP bank accounts? YES Were any assets disposed of outside the normal course of business? NO If so, describe ---------------------------------------------------------------- Are all U.S. Trustee Quarterly Fee Payments current? YES What is the status of your Plan of Reorganization? A Plan of Reorganization is currently being developed. - -------------------------------------------------------------------------------- I certify under penalty of perjury that the following complete Monthly Operating Report (MOR), consisting of MOR-1 through MOR-9 plus attachments, is true and correct. SIGNED /s/ PAUL VANDERHOVEN ----------------------------------------------- (ORIGINAL SIGNATURE) TITLE VP Finance, CFO ----------------------------------------------- MOR-1 CASE NAME: STERLING CHEMICALS HOLDINGS, INC. CASE NUMBER: 01-37805-H4-11
PAID COVERAGE POLICY PERIOD POLICY NO. LIMITS CARRIER THROUGH - ------------------------------------------------------------------------------------------------------------------------------------ See Attachment 2
MOR-1 ATTACHMENT 2 Page 3 of 15 11/19/01 SUMMARY OF COVERAGES FOR STERLING CHEMICALS HOLDINGS, INC.
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE --- ----------------- -------------- ------------- ---- ------ ------------- 1 Workers Compensation Statutory - $1,000,000 Employers American Guar. 1 year 7/1/02 Total annual Liability. Zurich US remuneration Ded. $250,000 per accident. 2 Automobile Liability $2,000,000 ea. occurrence. American Guar. 1 year 7/1/02 Number of vehicles Ded. $25,000 per occurrence. Zurich Amer. owned and leased 3 Excess Liability $5,000,000 ea. occurrence and Primex, Ltd 1 year 7/1/02 Annual revenues and Excess to $1 Million SIR aggregate. Excess $1,000,000 GL remuneration $2,000,000 AL. 4 Excess Liability $20,000,000 ea. loss and Primex, Ltd. 1 year 7/1/02 Included aggregate. (Reinsured through AIG.) 5 Excess Liability $50,000,000 ea. loss and Gerling Global 1 year 7/1/02 Flat charge - based aggregate. on exposures and risk potential 6 Excess Liability $100,000,000 ea. loss and Lloyd's 1 year 7/1/02 Flat charge - based aggregate. Lore on exposures and risk potential 7 Excess Liability $50,000,000 Zurich 1 year 7/1/02 Flat charge 8 Excess Liability $50,000,000 AIG 1 year 7/1/02 Flat Charge NO. TYPE OF INSURANCE ANNUAL PREMIUM --- ----------------- -------------- 1 Workers Compensation $195,653 - Audit at (AFCO) expiration. Plus all losses within deductible. 2 Automobile Liability $92,955 (AFCO) 3 Excess Liability $451,090 Annual - Half on 7/1/01; Excess to $1 Million SIR 1/2 on 1/1/02. 4 Excess Liability Included 5 Excess Liability $295,000 6 Excess Liability $241,886 7 Excess Liability $109,210 8 Excess Liability $80,938
Page 4 of 15 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE --- ----------------- -------------- ------------- ---- ------ ------------- 9 Excess Liability $50,000,000 Starr Excess 1 year 7/1/02 Flat Charge 10 Marine Terminal $50,000,000 ea. occurrence. New Hampshire Ins. 1 year 7/1/02 Based on volume Operators Liability and Ded. $25,000 per occurrence Co. thru Marsh throughput and no. Charterer's Legal $100,000 pollution London chartered vessels. Liability per occurrence. 11 Excess Marine Liability $24,000,000 excess of MTO, CLL, XL Specialty 1 year 7/1/02 Volume thru put & P&L Brockbank & vessels docked. Liberty Und. 12 Excess Marine Liability $25,000,000 excess $24,000,000 XL Specialty 1 year 7/1/02 Flat Brockbank & N.Y. Marine Gen. Ins. 13 Property Damage, $ Total insured values combined Munich Re: et. al. 1 year 8/1/02 Property Values - PD Business Interruption all-risk. Sublimits: Flood - Income values - BI and Boiler & Machinery $100 mil., Earthquake - $100 PML, fire protection mil., $10 mil extra expense. available; many Ded.: Petrochem $1,000,000 PD, other factors. 10 day - BI. Pulp & Fibers - $1 mil. PD/BI. 14 Directors & Officers $15,000,000 each loss and each National Union 1 year 8/21/02 Various Liability policy year. Ded. $1,000,000 Indemnity Corp. Reimb. 15 Excess Directors & $10,000,000 excess of Primary D&O Hartford 1 year 8/21/02 Various Officers Liability 16 Directors & Officers $10,000,000 XL Specialty Ins. 1 year 8/21/02 Various Liability Co. NO. TYPE OF INSURANCE ANNUAL PREMIUM --- ----------------- -------------- 9 Excess Liability $62,500 10 Marine Terminal $27,000 (AFCO) Min. premium & deposit. Operators Liability and Charterer's Legal Liability 11 Excess Marine Liability $57,375 12 Excess Marine Liability $21,250 13 Property Damage, Annual - Financed through AFCO. Business Interruption $4.0M (est.) and Boiler & Machinery 14 Directors & Officers $316,000 (15 mos.) Liability 15 Excess Directors & $223,700 (15 mos.) Officers Liability 16 Directors & Officers $115,000 (15 mos.) Liability
Page 5 of 15 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE --- ----------------- -------------- ------------- ---- ------ ------------- 17 Employee Dishonesty & $5,000,000 each Insuring Texas Pacific 1 year 10/1/02 Various Depositor's Forgery Agreement. Ded. $50,000. Chubb 18 Hull & Machinery and Barge Hull Value Zurich-American 1 year 7/1/02 Hull & Machinery Protection & Indemnity (M-25 = $1,500,000) Insurance Co. values Ded. $5,000 per loss. $1,000,000 P&I 19 Pollution Insurance Section A - $250,000 Water Quality 1 year 7/1/02 Hull gross Section B - $5,000,000 Insurance Syndicate registered tonnage CERCLA - $5,000,000 20 Marine and Railroad Cargo $12,000,000 any one vessel Mutual Marine 1 year Continuing Declared shipment $1,000,000 any one barge values $1,000,000 any one rail ship. $100,000 any one truck 21 Duty Drawback Bond $1,000,000 Washington 1 year Continuing Limit International 22 Fiduciary $10,000,000 National Union 1 year 8/21/02 Various Ded. $250,000 per occurrence 23 Environmental Impairment $4,000,000 per loss ECS 1 year 1/15/02 Loss Potential Liability (Petrochem & $8,000,000 aggregate (Indian Harbor) Fibers) 24 Closure/Post Closure $1,995,222 Combined Underwriters 1 year Continuous Estimated Bonds - Petrochem Indemnity Closure/Post Closure Costs NO. TYPE OF INSURANCE ANNUAL PREMIUM --- ----------------- -------------- 17 Employee Dishonesty & $14,450 Depositor's Forgery 18 Hull & Machinery and $29,378 (AFCO) Protection & Indemnity 19 Pollution Insurance $4,258 (AFCO) 20 Marine and Railroad Cargo $40,000 Annual Approx. 21 Duty Drawback Bond $2,875 22 Fiduciary $22,000 - Financed through Imperial. 23 Environmental Impairment $106,200 - Financed through AFCO. Liability (Petrochem & Fibers) 24 Closure/Post Closure $40,610 Bonds - Petrochem ANNUAL TOTAL: $3,459,260 *
* Total fluctuates due to cargo premiums dependence upon volume of CIF export shipments and annual audits of Worker's Compensation and Marine Terminal policies. STERLING CHEMICALS HOLDINGS, INC. (ALL DEBTORS) CONSOLIDATING BALANCE SHEET FOR THE PERIOD ENDED OCTOBER 31, 2001 (In Thousands) (Unaudited)
-------------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS HOLDINGS INC. INC. ENERGY, INC. INC. ASSETS 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 -------------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ 1,365 $ 926 $ - $ 298 Trade accounts receivable, net - 42,481 (2) 3,165 Other Receivables - 2,577 - - Due from affiliates - 20,172 12,392 3,977 Inventories - 26,722 - 8,921 Prepaid expenses 29 3,319 - 69 Deferred income tax benefit - - - - ------------------------------------------------------------------------------------ TOTAL CURRENT ASSETS 1,394 96,197 12,390 16,430 Property, plant and equipment, net - 126,224 3,262 6,263 Deferred income taxes - - - - Investments-Third Party - 1,500 - - Investments in Subs 35,060 95,072 4,556 - Other assets 7,337 23,831 - 1,404 ------------------------------------------------------------------------------------ TOTAL ASSETS $ 43,791 $ 342,824 $ 20,208 $ 24,097 ==================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 63 103,386 1,645 5,964 Pre-Petition liabilities: Notes Payable - Secured * - 227,848 - 57,221 Secured Debt Accrued Interest * - 22,400 - 5,645 Unsecured debt 192,878 278,365 1,110 70,981 Other / Intercompany - 201,020 - - Deferred income taxes - - - - Common stock held by new ESOP - 254 - 35 Less: Unearned compensation - (458) - 458 Redeemable preferred stock 27,567 (15,894) - 15,891 STOCKHOLDERS' EQUITY: Common stock, $.01 par value - 75 1 - Additional paid-in capital (367,555) (232,797) - 9,339 Retained earnings-Filing Date 191,923 (212,503) 15,333 (137,929) Retained earnings-Post Filing Date (1,085) (26,197) 2,119 (3,508) Pension adjustment - (135) - - Accumulated translation adj. - - - - Deferred compensation - (3) - - ------------------------------------------------------------------------------------ (176,717) (471,560) 17,453 (132,098) Treasury stock at cost - (2,537) - - ------------------------------------------------------------------------------------ TOTAL STOCKHOLDERS' EQUITY (176,717) (474,097) 17,453 (132,098) TOTAL LIABILITIES AND EQUITY $ 43,791 $ 342,824 $ 20,208 $ 24,097 ====================================================================================
------------------------------------------------------------------------------------------ STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. ASSETS 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------------------------------------------------------------------------------ Current Assets: Cash and cash equivalents $ - $ 329 $ - $ 239 Trade accounts receivable, net - 2,254 938 4,681 Other Receivables - 4,357 - - Due from affiliates 2,717 46,929 1,389 6,729 Inventories - - 163 1,403 Prepaid expenses (283) - - - Deferred income tax benefit - - - - ----------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 2,434 53,869 2,490 13,052 Property, plant and equipment, net - - - 43,965 Deferred income taxes - - - - Investments-Third Party - - - - Investments in Subs - 297,229 3,119 - Other assets 2,731 6,822 - - ---------------------------------------------------------------------------------- TOTAL ASSETS $ 5,165 $ 357,920 $ 5,609 $ 57,017 ================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 24 19,946 1,157 2,438 Pre-Petition liabilities: Notes Payable - Secured * 3,652 67,152 - - Secured Debt Accrued Interest * 361 6,625 - - Unsecured debt 840 265,155 170 62,478 Other / Intercompany - 5,655 - Deferred income taxes - - - - Common stock held by new ESOP - - - - Less: Unearned compensation - - - - Redeemable preferred stock - - - - STOCKHOLDERS' EQUITY: Common stock, $.01 par value - 48 - - Additional paid-in capital - 83,348 5,438 3,118 Retained earnings-Filing Date 779 (90,594) (877) (10,909) Retained earnings-Post Filing Date (491) 585 (279) (108) Pension adjustment - - - - Accumulated translation adj. - - - - Deferred compensation - - - - ---------------------------------------------------------------------------------- 288 (6,613) 4,282 (7,899) Treasury stock at cost - - - - ---------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY 288 (6,613) 4,282 (7,899) TOTAL LIABILITIES AND EQUITY $ 5,165 $ 357,920 $ 5,609 $ 57,017 ==================================================================================
------------------------------------ DEBTORS ASSETS ELIMINATIONS CONSOLIDATED ------------------------------------ Current Assets: Cash and cash equivalents $ - $ 3,157 Trade accounts receivable, net - 53,517 Other Receivables - 6,934 Due from affiliates (87,992) 6,313 Inventories - 37,209 Prepaid expenses - 3,134 Deferred income tax benefit - - -------------------------------- TOTAL CURRENT ASSETS (87,992) 110,264 Property, plant and equipment, net - 179,714 Deferred income taxes - - Investments-Third Party - 6,056 Investments in Subs (385,026) 45,454 Other assets (1) 42,124 -------------------------------- TOTAL ASSETS $(473,019) $ 383,612 ================================ LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) (29,772) 104,851 Pre-Petition liabilities: Notes Payable - Secured * (60,873) 295,000 Secured Debt Accrued Interest * (6,006) 29,025 Unsecured debt (131,744) 740,233 Other / Intercompany (201,020) 5,655 Deferred income taxes - - Common stock held by new ESOP - 289 Less: Unearned compensation - - Redeemable preferred stock - 27,564 STOCKHOLDERS' EQUITY: Common stock, $.01 par value (1) 123 Additional paid-in capital (43,603) (542,712) Retained earnings-Filing Date - (244,777) Retained earnings-Post Filing Date - (28,964) Pension adjustment - (135) Accumulated translation adj. - - Deferred compensation - (3) -------------------------------- (43,604) (816,468) Treasury stock at cost - (2,537) -------------------------------- TOTAL STOCKHOLDERS' EQUITY (43,604) (819,005) TOTAL LIABILITIES AND EQUITY $(473,019) $ 383,612 ================================
* Senior Secured Notes were issued by Sterling Chemicals, Inc., but a percentage is pushed down to the subsidiaries. MOR 2 - 3 CASE NAME: STERLING CHEMICALS HOLDINGS, INC. CASE NUMBER: 01-37805-H4-11 SCHEDULE OF POST-PETITION LIABILITIES
---------------------------------------------------------------------------------------------- 8/31/2001(1) 9/30/2001 10/31/2001 MONTH MONTH MONTH ---------------------------------------------------------------------------------------------- TRADE ACCOUNTS PAYABLE $ 2 $ 1 $ 63 $ $ $ ROYALTY AND REVENUE PAYABLE -- -- -- NOTES PAYABLE - INSURANCE -- -- -- TAX PAYABLE: -- -- -- Federal Payroll Taxes -- -- -- State Payroll & Sales -- -- -- Ad Valorem Taxes -- -- -- Other Taxes -- -- -- TOTAL TAXES PAYABLE $ -- $ -- $ -- $ $ $ SECURED DEBT POST-PETITION -- -- -- ACCRUED INTEREST PAYABLE -- -- -- *ACCRUED PROFESSIONAL FEES: -- -- -- OTHER ACCRUED LIABILITIES: 1. General and Administrative Costs -- -- -- 2. Lease Operating Expenses/Capital -- -- -- TOTAL POST-PETITION LIABILITIES (MOR-3) $ 2 $ 1 $ 63 $ $ $ ====================================================================================================================================
*Payment Requires Court Approval (1) Represents the period 07/17/01 thru 08/31/01 MOR-4 CONSOLIDATED DEBTORS(1)
AGING OF POST-PETITION LIABILITIES MONTH 10/31/2001 ------------------ AD-VALOREM, ROYALTY DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES AND INSURANCE ---- -------- ----------- --------- ----------- ----------- ------------- 0-30 $104,850 $102,518 $ -- $ 44 $ 2,288 $ -- 31-60 -- 61-90 -- 91 + -- -------- --------- --------- ----------- ----------- ------------- TOTAL $104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- ======== ========= ========= =========== =========== =============
AGING OF ACCOUNTS RECEIVABLE(1)
MONTH --------- 0-30 $ 45,074 $ 45,074 $ -- $ -- $ -- $ -- 31-60 1,353 1,353 -- -- -- -- 61-90 2,793 2,793 -- -- -- -- 91 + 13,412 13,412 -- -- -- -- -------- ----------- -------- -------- -------- -------- TOTAL $ 62,632 $ 62,632 $ -- $ -- $ -- $ -- ======== =========== ======== ======== ======== ========
(1) MOR 5 is presented only on a consolidated debtor basis. (2) Days aging from due date. (3) Days aging from invoice due date. MOR-5 CASE NAME: STERLING CHEMICALS HOLDINGS, INC (ALL DEBTORS) FOR THE MONTH ENDING OCTOBER 31, 2001 STATEMENT OF INCOME (LOSS)
STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS, HOLDINGS, INC. INC. ENERGY, INC. INC. MONTH 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 ------------------ ------------------ ------------------ ------------------ REVENUES (MOR-1) $ -- $ 21,691,268 $ 155,612 $ 1,891,936 TOTAL COST OF REVENUES -- 20,932,563 155,612 2,007,647 GROSS PROFIT $ -- $ 758,705 $ -- $ (115,711) =================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 61,848 $ 506,893 $ -- $ 193,547 Insiders Compensation -- 156,110 -- -- Professional Fees -- 1,045,068 -- -- Other (Earnings in Joint Venture) -- 600,671 (600,671) -- TOTAL OPERATING EXPENSE $ 61,848 $ 2,308,742 $ (600,671) $ 193,547 ==================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ (61,848) $ (1,550,037) $ 600,671 $ (309,258) INTEREST EXPENSE (includes amort of debt fees) (5,722) 2,401,351 -- 614,434 DEPRECIATION -- 1,899,369 -- 48,077 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ (5,722) $ 4,300,720 $ -- $ 662,511 ==================================================================================================================================== NET INCOME BEFORE TAXES $ (56,126) $ (5,850,757) $ 600,671 $ (971,769) INCOME TAXES -- -- 28,531 -- ==================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ (56,126) $ (5,850,757) $ 572,140 $ (971,769) ==================================================================================================================================== STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. MONTH 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------ ------------------ ------------------ ------------------ REVENUES (MOR-1) $ 83,333 $ 1,076,560 $ 289,723 $ 3,168,738 TOTAL COST OF REVENUES -- 46,938 530,074 2,134,415 GROSS PROFIT $ 83,333 $ 1,029,622 $ (240,351) $ 1,034,323 =================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 10,994 $ 242,991 $ (106,553) $ 628,398 Insiders Compensation -- -- -- -- Professional Fees -- -- -- -- Other (Earnings in Joint Venture) -- -- -- -- TOTAL OPERATING EXPENSE $ 10,994 $ 242,991 $ (106,553) $ 628,398 =================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 72,339 $ 786,631 $ (133,798) $ 405,925 INTEREST EXPENSE (includes amort of debt fees) 37,665 160,379 -- -- DEPRECIATION 23,000 485,795 -- 405,189 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 60,665 $ 646,174 $ -- $ 405,189 =================================================================================================================================== NET INCOME BEFORE TAXES $ 11,674 $ 140,457 $ (133,798) $ 736 INCOME TAXES -- -- -- -- =================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ 11,674 $ 140,457 $ (133,798) $ 736 =================================================================================================================================== DEBTORS MONTH ELIMINATIONS CONSOLIDATED ------------------ ------------------ REVENUES (MOR-1) $ (83,333) $ 28,273,837 TOTAL COST OF REVENUES (83,333) 25,723,916 GROSS PROFIT $ -- $ 2,549,921 ========================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ (452,308) 1,085,810 Insiders Compensation -- 156,110 Professional Fees -- 1,045,068 Other (Earnings in Joint Venture) -- -- TOTAL OPERATING EXPENSE $ (452,308) $ 2,286,988 ========================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 452,308 262,933 INTEREST EXPENSE (includes amort of debt fees) 452,308 3,660,415 DEPRECIATION -- 2,861,430 OTHER (INCOME) EXPENSES* -- -- OTHER ITEMS** -- -- TOTAL INT. DEPR & OTHER ITEMS $ 452,308 $ 6,521,845 ========================================================================================== NET INCOME BEFORE TAXES $ -- $ (6,258,912) INCOME TAXES -- 28,531 ========================================================================================== NET INCOME (LOSS) (MOR-1) $ -- $ (6,287,443) ==========================================================================================
Accrual Accounting Required, Otherwise Footnote With Explanation * Footnote Mandatory ** Unusual and/or frequent item(s) outside the ordinary course of business; requires footnote MOR-6 CASE NAME: STERLING CHEMICALS HOLDINGS, INC. CASE NUMBER: 01-37805-H4-11
CASH RECEIPTS AND FILING TO DISBURSEMENTS 8/31/2001(1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 DATE - ----------------- ------------ ------------ ------ ------ ------ ------ ---------- 1. CASH-BEGINNING OF MONTH 1,362,081 1,368,676 1,370,865 -- -- -- 1,362,081 ========= ========= ========= ====== ====== ====== ========= RECEIPTS: 2. CASH SALES -- -- -- -- -- -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE -- -- -- -- -- -- -- 4. LOANS & ADVANCES (attach list) -- -- -- -- -- -- -- 5. SALE OF ASSETS -- -- -- -- -- -- -- 6. OTHER (attach list) 6,595 2,189 (5,722) -- -- -- 3,063 --------- --------- --------- ------ ------ ------ --------- TOTAL RECEIPTS 6,595 2,189 (5,722) -- -- -- 3,063 --------- --------- --------- ------ ------ ------ --------- (Withdrawal) Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A N/A N/A ========= ========= ========= ====== ====== ====== ========= DISBURSEMENTS: 7. NET PAYROLL -- -- -- -- -- -- -- 8. PAYROLL TAXES PAID -- -- -- -- -- -- -- 9. SALES, USE & OTHER TAXES PAID -- -- -- -- -- -- -- 10. SECURED/RENTAL/LEASES -- -- -- -- -- -- -- 11. UTILITIES -- -- -- -- -- -- -- 12. INSURANCE -- -- -- -- -- -- -- 13. INVENTORY PURCHASES -- -- -- -- -- -- -- 14. VEHICLE EXPENSES -- -- -- -- -- -- -- 15. TRAVEL & ENTERTAINMENT -- -- -- -- -- -- -- 16. REPAIRS, MAINTENANCE & SUPPLIES -- -- -- -- -- -- -- 17. ADMINISTRATIVE & SELLING -- -- -- -- -- -- -- 18. OTHER (attach list) -- -- -- -- -- -- -- --------- --------- --------- ------ ------ ------ --------- TOTAL DISBURSEMENTS FROM OPERATIONS -- -- -- -- -- -- -- ========= ========= ========= ====== ====== ====== ========= 19. PROFESSIONAL FEES -- -- -- -- -- -- -- 20. U.S. TRUSTEE FEES -- -- -- -- -- -- -- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- -- -- -- --------- --------- --------- ------ ------ ------ --------- TOTAL DISBURSEMENTS -- -- -- -- -- -- -- ========= ========= ========= ====== ====== ====== ========= 22. NET CASH FLOW 6,595 2,189 (5,722) -- -- -- 3,063 23. CASH - END OF MONTH (MOR-2) 1,368,676 1,370,865 1,365,144 -- -- -- 1,365,144
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING CHEMICALS HOLDINGS, INC. CASE NUMBER: 01-37805-H4-11
OTHER CASH RECEIPTS AND FILING TO DISBURSEMENTS: 8/31/2001 (1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 DATE ----------------------- ------------- -------- ------ ------ ------ ------ --------- 6. OTHER RECEIPTS: Interest Income 6,595 2,189 (5,722) -- -- -- 3,063 401(k) Plan Refund -- -- -- -- -- -- -- Cobra Insurance Payment -- -- -- -- -- -- -- Miscellaneous -- -- -- -- -- -- -- Royalty Owners Trust Account -- -- -- -- -- -- -- Emission Credits -- -- -- -- -- -- -- ------------- -------- ------ ------ ------ ------ -------- TOTAL OTHER RECEIPTS 6,595 2,189 (5,722) -- -- -- 3,063 ============= ======== ====== ====== ====== ====== ======== 18. OTHER DISBURSEMENTS: Lease Operating Expense -- -- -- -- -- -- -- Workover Expense -- -- -- -- -- -- -- Capital Expenditures -- -- -- -- -- -- -- Revenue & Royalties -- -- -- -- -- -- -- Interest Payment -- -- -- -- -- -- -- Restricted Cash - Bond Funding -- -- -- -- -- -- -- Severance tax -- -- -- -- -- -- -- Pre-petition checks voided in current period -- -- -- -- -- -- -- ------------- -------- ------ ------ ------ ------ -------- TOTAL OTHER DISBURSEMENTS -- -- -- -- -- -- -- ============= --====== ====== ====== ====== ====== ========
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 ATTACHMENT CASE NAME: STERLING CHEMICALS HOLDINGS, INC. CASE NUMBER: 01-37805-H-11
CASH RECEIPTS AND Chase Chase Total DISBURSEMENTS 00100547125 00100535021 Debtor - ----------------- ----------- ------------ ------------ 1. CASH-BEGINNING OF MONTH -- 1,370,865 1,370,865 =========== ============ ============ RECEIPTS: 2. CASH SALES -- -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE -- -- -- 4. LOANS & ADVANCES (attach list) -- -- -- 5. SALE OF ASSETS -- -- -- 6. OTHER (attach list) -- (5,722) (5,722) ----------- ------------ ------------ TOTAL RECEIPTS -- (5,722) (5,722) ----------- ------------ ------------ (Withdrawal) Contribution by Individual Debtor MFR-2* N/A N/A N/A =========== ============ ============ DISBURSEMENTS: 7. NET PAYROLL -- -- -- 8. PAYROLL TAXES PAID -- -- -- 9. SALES, USE & OTHER TAXES PAID -- -- -- 10. SECURED/RENTAL/LEASES -- -- -- 11. UTILITIES -- -- -- 12. INSURANCE -- -- -- 13. INVENTORY PURCHASES -- -- -- 14. VEHICLE EXPENSES -- -- -- 15. TRAVEL & ENTERTAINMENT -- -- -- 16. REPAIRS, MAINTENANCE & SUPPLIES -- -- -- 17. ADMINISTRATIVE & SELLING -- -- -- 18. OTHER (attach list) -- -- -- ----------- ------------ ------------ TOTAL DISBURSEMENTS FROM OPERATIONS -- -- -- =========== ============ ============ 19. PROFESSIONAL FEES -- -- -- 20. U.S. TRUSTEE FEES -- -- -- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- ----------- ------------ ------------ TOTAL DISBURSEMENTS -- -- -- =========== ============ ============ 22. NET CASH FLOW -- (5,722) (5,722) 23. CASH - END OF MONTH (MOR-2) -- 1,365,144 1,365,144
MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING CHEMICALS HOLDINGS, INC. CASE NUMBER: 01-37805-H-11
OTHER CASH RECEIPTS AND Chase Chase Total DISBURSEMENTS: 00100547125 00100535021 Debtor - ----------------------- ----------- ----------- -------- 6. OTHER RECEIPTS: Interest Income -- (5,722) (5,722) 401(k) Plan Refund -- -- -- Cobra Insurance Payment -- -- -- Miscellaneous -- -- -- Royalty Owners Trust Account -- -- -- Emission Credits -- -- -- -- -- -- -- -- ----------- ----------- -------- TOTAL OTHER RECEIPTS -- (5,722) (5,722) =========== =========== ======== 18. OTHER DISBURSEMENTS: Lease Operating Expense Workover Expense Capital Expenditures -- -- -- Revenue & Royalties Interest Payment -- -- -- Restricted Cash - Bond Funding -- -- -- Severance tax Pre-petition checks voided in current period -- -- -- ----------- ----------- -------- TOTAL OTHER DISBURSEMENTS -- -- -- =========== =========== ========
MOR-7 ATTACHMENT CASE NAME: Sterling Chemicals Holdings, Inc. CASE NUMBER: 01-37805-H4-11 CASH ACCOUNT RECONCILIATION MONTH OF OCTOBER 2001 ----------------
BANK NAME Chase Bk of TX Chase Bk of TX ACCOUNT NUMBER 00100547125 0010535021 ACCOUNT TYPE Concentration Concentration TOTAL - -------------- ------------- -------------- ---------- BANK BALANCE $ -- $ 1,373,042 $1,373,042 DEPOSIT IN TRANSIT -- OUTSTANDING CHECKS -- OTHER (7,898) (7,898) ------------- -------------- ------ ------ ------ ------ ------ ------ ---------- ADJUSTED BANK BALANCE $ -- $ 1,365,144 $ -- $ -- $ -- $ -- $ -- $ -- $1,365,144 ============= ============== ====== ====== ====== ====== ====== ====== ========== BEGINNING CASH - PER BOOKS $ -- $ 1,370,865 $1,370,865 RECEIPTS (5,721) (5,721) TRANSFERS BETWEEN ACCOUNTS -- (WITHDRAWAL) CONTRIBUTION- -- BY INDIVIDUAL DEBTOR MFR-2 -- CHECKS/OTHER DISBURSEMENTS -- ------------- -------------- ------ ------ ------ ------ ------ ------ ---------- ENDING CASH - PER BOOKS $ -- $ 1,365,144 $ -- $ -- $ -- $ -- $ -- $ -- $1,365,144 ============= ============== ====== ====== ====== ====== ====== ====== ==========
MOR-8 CASE NAME: STERLING CHEMICALS HOLDINGS, INC. CASE NUMBER: 01-37805-H4-11 PAYMENT TO INSIDERS AND PROFESSIONALS Of the total disbursements shown for the month, list the amount paid to insiders (as defined in Section 101(31)(A)-(F) of the U.S. Bankruptcy Code) and the professionals. Also, for insiders identify the type of compensation paid (e.g., salary, commission, bonus, etc.) (Attach additional pages as necessary.)
FILING TO INSIDERS: NAME/POSITION/COMP TYPE(2) 8/31/2001(1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE - ----------------------------------------- ------------ -------- -------- -------- -------- -------- --------- 1. $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2. -- -- -- -- -- -- -- 3. -- -- -- -- -- -- -- 4. -- -- -- -- -- -- -- 5. -- -- -- -- -- -- -- 6. -- -- -- -- -- -- -- 7. -- -- -- -- -- -- -- 8. -- -- -- -- -- -- -- 9. -- -- -- -- -- -- -- ------------ -------- -------- -------- -------- -------- --------- TOTAL INSIDERS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ -- ============ ======== ======== ======== ======== ======== =========
PROFESSIONALS FILING TO NAME/ORDER DATE 8/31/2001(1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE - ------------------------- ------------ -------- -------- -------- -------- -------- --------- 1. $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2. -- -- -- -- -- -- -- 3. -- -- -- -- -- -- -- 4. -- -- -- -- -- -- -- 5. -- -- -- -- -- -- -- 6. -- -- -- -- -- -- -- ------------ -------- -------- -------- -------- -------- --------- TOTAL PROFESSIONALS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ -- ============ ======== ======== ======== ======== ======== =========
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01. (2) THE DEBTOR HAS LIMITED THE SCOPE OF ITS ANSWER TO (i) DIRECTORS, (ii) OFFICERS DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SECURITIES AND EXCHANGE ACT OF 1934, (iii) AFFILIATES; AND (iv) PARTIES TO THE VOTING AGREEMENT GRANTING AUTHORITY TO DESIGNATED THE NOMINEES WHO BENEFIT FROM THE VOTING AGREEMENT. INFORMATION AS TO OFFICERS WHO ARE NOT DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SEC ACT OF 1934 HAS BEEN COMPLIED BY THE DEBTOR AND WILL BE PROVIDED TO THE OFFICE OF THE UNITED STATES TRUSTEE AND TO THE COUNCIL FOR THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS UPON REQUEST. SUCH INFORMATION PRIMARILY RELATES TO COMPENSATION, BENEFITS AND EXPENSE REIMBURSEMENTS PAYMENTS MADE TO SUCH OFFICERS AS EMPLOYEES OF THE DEBTOR. IT IS THE POLICY OF THE DEBTOR TO PRESERVE THE CONFIDENTIALITY OF SUCH INFORMATION ON BEHALF OF ITS EMPLOYEES. (3) ALL PAYMENTS TO DIRECTORS AND OFFICERS, AS DEFINED IN FOOTNOTE (2) ABOVE, ARE MADE BY STERLING CHEMICALS, INC., A JOINTLY ADMINISTERED DEBTOR (CASE #01-37806-H4-11. MOR-9 EX-99.2 4 h92775ex99-2.txt MONTHLY OPERATING RPT. STERLING CHEMICALS, INC. EXHIBIT 99.2 UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF TEXAS HOUSTON DIVISION CASE NAME: STERLING CHEMICALS, INC. PETITION DATE: 07/16/01 CASE NUMBER: 01-37806-H4-11 MONTHLY OPERATING REPORT SUMMARY FOR MONTH: OCTOBER YEAR: 2001
MONTH 7/16/01-8/31/01 9/30/01 10/31/2001 - -------------------------------------------------------------------------------------------------------------------------------- REVENUES (MOR-6) $ 36,458,061 $ 23,943,367 $ 21,691,268 $ -- $ -- $ -- INCOME BEFORE INT. DEPREC./TAX (MOR-6) $ (5,663,895) $ (6,254,090) $ (1,550,037) $ -- $ -- $ -- NET INCOME (LOSS) (MOR-6) $ (12,537,900) $ (10,767,435) $ (5,850,757) $ -- $ -- $ -- PAYMENTS TO INSIDERS (MOR-9) $ 173,179 $ 188,763 $ 156,110 $ -- $ -- $ -- PAYMENTS TO PROFESSIONALS (MOR-9) $ -- $ 11,243 $ 1,408,481 $ -- $ -- $ -- TOTAL DISBURSEMENTS (MOR-7) $ 98,519,611 $ 60,972,958 $ 72,465,946 $ -- $ -- $ --
***The original of this document MUST BE FILED with the United States Bankruptcy Court and a COPY MUST BE SENT to the United States Trustee*** REQUIRED INSURANCE MAINTAINED AS OF SIGNATURE DATE EXP. See attachment 2 DATE - ----------------------------- CASUALTY YES (x) NO ( ) 08 - 01 - 02 LIABILITY YES (x) NO ( ) 07 - 01 - 02 VEHICLE YES (x) NO ( ) 07 - 01 - 02 WORKER'S YES (x) NO ( ) 07 - 01 - 02 OTHER YES (x) NO ( ) various ATTORNEY NAME: Jeff Spiers FIRM: Andrews & Kurth LLP ADDRESS: 600 Travis ADDRESS: Suite 4200 CITY, STATE ZIP: Houston, TX 77002 TELEPHONE: 713-220-4103 Are all accounts receivable being collected within terms? NO Are all post-petition liabilities, including taxes, being paid with terms? YES Have any pre-petition liabilities been paid? YES If so, describe See Attachment 3 - -------------------------------------------------------------------------------- Are all funds received being deposited into DIP bank accounts? YES Were any assets disposed of outside the normal course of business? NO If so, describe ---------------------------------------------------- Are all U.S. Trustee Quarterly Fee Payments current? YES What is the status of your Plan of Reorganization? A Plan of Reorganization is currently being developed. - -------------------------------------------------------------------------------- I certify under penalty of perjury that the following complete Monthly Operating Report (MOR), consisting of MOR-1 through MOR-9 plus attachments, is true and correct. SIGNED /s/ PAUL VANDERHOVEN --------------------------------------------------- (ORIGINAL SIGNATURE) TITLE VP Finance, CFO --------------------------------------------------- MOR-1 CASE NAME: STERLING CHEMICALS, INC. CASE NUMBER: 01-37806-H4-11
PAID COVERAGE POLICY PERIOD POLICY NO. LIMITS CARRIER THROUGH - ------------------------------------------------------------------------------------------------------------------------------------ See Attachment 2
MOR-1 ATTACHMENT 2 Page 3 of 16 11/19/01 SUMMARY OF COVERAGES FOR STERLING CHEMICALS HOLDINGS, INC.
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE - --- ----------------- -------------- ------------- ---- ------ ------------- 1 Workers Compensation Statutory - $1,000,000 Employers American Guar. 1 year 7/1/02 Total annual Liability. Zurich US remuneration Ded. $250,000 per accident. 2 Automobile Liability $2,000,000 ea. occurrence. American Guar. 1 year 7/1/02 Number of vehicles Ded. $25,000 per occurrence. Zurich Amer. owned and leased 3 Excess Liability $5,000,000 ea. occurrence and Primex, Ltd 1 year 7/1/02 Annual revenues and Excess to $1 Million SIR aggregate. Excess $1,000,000 GL remuneration $2,000,000 AL. 4 Excess Liability $20,000,000 ea. loss and Primex, Ltd. 1 year 7/1/02 Included aggregate. (Reinsured through AIG.) 5 Excess Liability $50,000,000 ea. loss and Gerling Global 1 year 7/1/02 Flat charge - based aggregate. on exposures and risk potential 6 Excess Liability $100,000,000 ea. loss and Lloyd's 1 year 7/1/02 Flat charge - based aggregate. Lore on exposures and risk potential 7 Excess Liability $50,000,000 Zurich 1 year 7/1/02 Flat charge 8 Excess Liability $50,000,000 AIG 1 year 7/1/02 Flat Charge NO. TYPE OF INSURANCE ANNUAL PREMIUM - --- ----------------- -------------- 1 Workers Compensation $195,653 - Audit at (AFCO) expiration. Plus all losses within deductible. 2 Automobile Liability $92,955 (AFCO) 3 Excess Liability $451,090 Annual - Half on 7/1/01; Excess to $1 Million SIR 1/2 on 1/1/02. 4 Excess Liability Included 5 Excess Liability $295,000 6 Excess Liability $241,886 7 Excess Liability $109,210 8 Excess Liability $80,938
Page 4 of 16 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE - --- ----------------- -------------- ------------- ---- ------ ------------- 9 Excess Liability $50,000,000 Starr Excess 1 year 7/1/02 Flat Charge 10 Marine Terminal $50,000,000 ea. occurrence. New Hampshire Ins. 1 year 7/1/02 Based on volume Operators Liability and Ded. $25,000 per occurrence Co. thru Marsh throughput and no. Charterer's Legal $100,000 pollution per London chartered vessels. Liability occurrence. 11 Excess Marine Liability $24,000,000 excess of MTO, CLL, XL Specialty 1 year 7/1/02 Volume thru put & P&L Brockbank & vessels docked. Liberty Und. 12 Excess Marine Liability $25,000,000 excess $24,000,000 XL Specialty 1 year 7/1/02 Flat Brockbank & N.Y. Marine Gen. Ins. 13 Property Damage, $ Total insured values combined Munich Re: et. al. 1 year 8/1/02 Property Values - PD Business Interruption all-risk. Sublimits: Flood - Income values - BI and Boiler & Machinery $100 mil., Earthquake - $100 PML, fire protection mil., $10 mil extra expense. available; many Ded.: Petrochem $1,000,000 PD, other factors. 10 day - BI. Pulp & Fibers - $1 mil. PD/BI. 14 Directors & Officers $15,000,000 each loss and each National Union 1 year 8/21/02 Various Liability policy year. Ded. $1,000,000 Indemnity Corp. Reimb. 15 Excess Directors & $10,000,000 excess of Primary D&O Hartford 1 year 8/21/02 Various Officers Liability 16 Directors & Officers $10,000,000 XL Specialty Ins. 1 year 8/21/02 Various Liability Co. NO. TYPE OF INSURANCE ANNUAL PREMIUM - --- ----------------- -------------- 9 Excess Liability $62,500 10 Marine Terminal $27,000 (AFCO) Min. premium & deposit. Operators Liability and Charterer's Legal Liability 11 Excess Marine Liability $57,375 12 Excess Marine Liability $21,250 13 Property Damage, Annual - Financed through AFCO. Business Interruption $4.0M (est.) and Boiler & Machinery 14 Directors & Officers $316,000 (15 mos.) Liability 15 Excess Directors & $223,700 (15 mos.) Officers Liability 16 Directors & Officers $115,000 (15 mos.) Liability
Page 5 of 16 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE - --- ----------------- -------------- ------------- ---- ------ ------------- 17 Employee Dishonesty & $5,000,000 each Insuring Texas Pacific 1 year 10/1/02 Various Depositor's Forgery Agreement. Ded. $50,000. Chubb 18 Hull & Machinery and Barge Hull Value Zurich-American 1 year 7/1/02 Hull & Machinery Protection & Indemnity (M-25 = $1,500,000) Insurance Co. values Ded. $5,000 per loss. $1,000,000 P&I 19 Pollution Insurance Section A - $250,000 Water Quality 1 year 7/1/02 Hull gross Section B - $5,000,000 Insurance registered tonnage CERCLA - $5,000,000 Syndicate 20 Marine and Railroad Cargo $12,000,000 any one vessel Mutual Marine 1 year Continuing Declared shipment $1,000,000 any one barge values $1,000,000 any one rail ship. $100,000 any one truck 21 Duty Drawback Bond $1,000,000 Washington 1 year Continuing Limit International 22 Fiduciary $10,000,000 National Union 1 year 8/21/02 Various Ded. $250,000 per occurrence 23 Environmental $4,000,000 per loss 1 year 1/15/02 Loss Potential Impairment Liability $8,000,000 aggregate ECS (Petrochem & Fibers) (Indian Harbor) 24 Closure/Post Closure $1,995,222 Combined Underwriters 1 year Continuous Estimated Bonds - Petrochem Indemnity Closure/Post Closure Costs NO. TYPE OF INSURANCE ANNUAL PREMIUM - --- ----------------- -------------- 17 Employee Dishonesty & $14,450 Depositor's Forgery 18 Hull & Machinery and $29,378 (AFCO) Protection & Indemnity 19 Pollution Insurance $4,258 (AFCO) 20 Marine and Railroad Cargo $40,000 Annual Approx. 21 Duty Drawback Bond $2,875 22 Fiduciary $22,000 - Financed through Imperial. 23 Environmental $106,200 - Financed through AFCO. Impairment Liability (Petrochem & Fibers) 24 Closure/Post Closure $40,610 Bonds - Petrochem
ANNUAL TOTAL: $3,459,260 * *Total fluctuates due to cargo premiums dependence upon volume of CIF export shipments and annual audits of Worker's Compensation and Marine Terminal policies. ATTACHMENT 3 POSTPETITION PAYMENT OF PREPETITION LIABILITIES STERLING CHEMICALS, INC. CASE #01-37806-H4-11
VENDOR AMOUNT ORDER Wells Fargo Bank $592,277.25 Letter of Credit Draw Crawford $ 11,785.08 workers comp insurance Unicare $ 1,948.08 benefit admin expenses Bank One $ 1,403.55 bank fees drafted out of lockbox acct ----------- TOTAL $607,413.96 =========== SUMMARY CIT Revolving Credit Facility $ -- Employee Benefits $ 1,948.08 Insurance $ 11,785.08 Other $593,680.80 ----------- TOTAL $607,413.96 ===========
STERLING CHEMICALS HOLDINGS, INC. (ALL DEBTORS) CONSOLIDATING BALANCE SHEET FOR THE PERIOD ENDED OCTOBER 31, 2001 (In Thousands) (Unaudited)
-------------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS HOLDINGS INC. INC. ENERGY, INC. INC. ASSETS 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 -------------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ 1,365 $ 926 $ - $ 298 Trade accounts receivable, net - 42,481 (2) 3,165 Other Receivables - 2,577 - - Due from affiliates - 20,172 12,392 3,977 Inventories - 26,722 - 8,921 Prepaid expenses 29 3,319 - 69 Deferred income tax benefit - - - - ------------------------------------------------------------------------------------ TOTAL CURRENT ASSETS 1,394 96,197 12,390 16,430 Property, plant and equipment, net - 126,224 3,262 6,263 Deferred income taxes - - - - Investments-Third Party - 1,500 - - Investments in Subs 35,060 95,072 4,556 - Other assets 7,337 23,831 - 1,404 ------------------------------------------------------------------------------------ TOTAL ASSETS $ 43,791 $ 342,824 $ 20,208 $ 24,097 ==================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 63 103,386 1,645 5,964 Pre-Petition liabilities: Notes Payable - Secured * - 227,848 - 57,221 Secured Debt Accrued Interest * - 22,400 - 5,645 Unsecured debt 192,878 278,365 1,110 70,981 Other / Intercompany - 201,020 - - Deferred income taxes - - - - Common stock held by new ESOP - 254 - 35 Less: Unearned compensation - (458) - 458 Redeemable preferred stock 27,567 (15,894) - 15,891 STOCKHOLDERS' EQUITY: Common stock, $.01 par value - 75 1 - Additional paid-in capital (367,555) (232,797) - 9,339 Retained earnings-Filing Date 191,923 (212,503) 15,333 (137,929) Retained earnings-Post Filing Date (1,085) (26,197) 2,119 (3,508) Pension adjustment - (135) - - Accumulated translation adj. - - - - Deferred compensation - (3) - - ------------------------------------------------------------------------------------ (176,717) (471,560) 17,453 (132,098) Treasury stock at cost - (2,537) - - ------------------------------------------------------------------------------------ TOTAL STOCKHOLDERS' EQUITY (176,717) (474,097) 17,453 (132,098) TOTAL LIABILITIES AND EQUITY $ 43,791 $ 342,824 $ 20,208 $ 24,097 ====================================================================================
------------------------------------------------------------------------------------------ STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. ASSETS 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------------------------------------------------------------------------------ Current Assets: Cash and cash equivalents $ - $ 329 $ - $ 239 Trade accounts receivable, net - 2,254 938 4,681 Other Receivables - 4,357 - - Due from affiliates 2,717 46,929 1,389 6,729 Inventories - - 163 1,403 Prepaid expenses (283) - - - Deferred income tax benefit - - - - ----------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 2,434 53,869 2,490 13,052 Property, plant and equipment, net - - - 43,965 Deferred income taxes - - - - Investments-Third Party - - - - Investments in Subs - 297,229 3,119 - Other assets 2,731 6,822 - - ---------------------------------------------------------------------------------- TOTAL ASSETS $ 5,165 $ 357,920 $ 5,609 $ 57,017 ================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 24 19,946 1,157 2,438 Pre-Petition liabilities: Notes Payable - Secured * 3,652 67,152 - - Secured Debt Accrued Interest * 361 6,625 - - Unsecured debt 840 265,155 170 62,478 Other / Intercompany - 5,655 - Deferred income taxes - - - - Common stock held by new ESOP - - - - Less: Unearned compensation - - - - Redeemable preferred stock - - - - STOCKHOLDERS' EQUITY: Common stock, $.01 par value - 48 - - Additional paid-in capital - 83,348 5,438 3,118 Retained earnings-Filing Date 779 (90,594) (877) (10,909) Retained earnings-Post Filing Date (491) 585 (279) (108) Pension adjustment - - - - Accumulated translation adj. - - - - Deferred compensation - - - - ---------------------------------------------------------------------------------- 288 (6,613) 4,282 (7,899) Treasury stock at cost - - - - ---------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY 288 (6,613) 4,282 (7,899) TOTAL LIABILITIES AND EQUITY $ 5,165 $ 357,920 $ 5,609 $ 57,017 ==================================================================================
------------------------------------ DEBTORS ASSETS ELIMINATIONS CONSOLIDATED ------------------------------------ Current Assets: Cash and cash equivalents $ - $ 3,157 Trade accounts receivable, net - 53,517 Other Receivables - 6,934 Due from affiliates (87,992) 6,313 Inventories - 37,209 Prepaid expenses - 3,134 Deferred income tax benefit - - -------------------------------- TOTAL CURRENT ASSETS (87,992) 110,264 Property, plant and equipment, net - 179,714 Deferred income taxes - - Investments-Third Party - 6,056 Investments in Subs (385,026) 45,454 Other assets (1) 42,124 -------------------------------- TOTAL ASSETS $(473,019) $ 383,612 ================================ LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) (29,772) 104,851 Pre-Petition liabilities: Notes Payable - Secured * (60,873) 295,000 Secured Debt Accrued Interest * (6,006) 29,025 Unsecured debt (131,744) 740,233 Other / Intercompany (201,020) 5,655 Deferred income taxes - - Common stock held by new ESOP - 289 Less: Unearned compensation - - Redeemable preferred stock - 27,564 STOCKHOLDERS' EQUITY: Common stock, $.01 par value (1) 123 Additional paid-in capital (43,603) (542,712) Retained earnings-Filing Date - (244,777) Retained earnings-Post Filing Date - (28,964) Pension adjustment - (135) Accumulated translation adj. - - Deferred compensation - (3) -------------------------------- (43,604) (816,468) Treasury stock at cost - (2,537) -------------------------------- TOTAL STOCKHOLDERS' EQUITY (43,604) (819,005) TOTAL LIABILITIES AND EQUITY $(473,019) $ 383,612 ================================
* Senior Secured Notes were issued by Sterling Chemicals, Inc., but a percentage is pushed down to the subsidiaries. MOR 2 - 3 CASE NAME: STERLING CHEMICALS, INC. CASE NUMBER: 01-037806-H4-11 SCHEDULE OF POST-PETITION LIABILITIES
-------------------------------------------------------------------------------------------- 8/31/2001(1) 9/30/2001 10/31/2001 MONTH MONTH MONTH -------------------------------------------------------------------------------------------- TRADE ACCOUNTS PAYABLE $ 28,667 $ 34,262 $ 29,556 $ -- $ -- $ -- ROYALTY AND REVENUE PAYABLE -- -- -- -- -- -- NOTES PAYABLE - INSURANCE -- -- -- -- -- -- TAX PAYABLE: -- -- -- -- -- Federal Payroll Taxes -- -- -- -- -- -- State Payroll & Sales 48 33 45 -- -- -- Ad Valorem Taxes -- -- -- -- -- -- Other Taxes 925 1,550 2,175 -- -- -- TOTAL TAXES PAYABLE $ 973 $ 1,583 $ 2,220 $ -- $ -- $ -- SECURED DEBT POST-PETITION 41,472 42,229 44,780 -- -- -- ACCRUED INTEREST PAYABLE 234 263 299 -- -- -- *ACCRUED PROFESSIONAL FEES: 2,000 4,000 4,802 -- -- -- OTHER ACCRUED LIABILITIES: 1. General and Administrative Costs 22,593 21,744 21,729 -- -- -- 2. Lease Operating Expenses/Capital -- -- -- -- -- TOTAL POST-PETITION LIABILITIES (MOR-3) $ 95,939 $ 104,081 $ 103,386 $ -- $ -- $ -- ==================================================================================================================================
*Payment Requires Court Approval (1) Represents the period 07/17/01 thru 08/31/01 MOR-4 CONSOLIDATED DEBTORS(1) AGING OF POST-PETITION LIABILITIES MONTH 10/31/2001 -----------------------
AD-VALOREM, ROYALTY DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES AND INSURANCE - ---- -------- ----------- --------- ----------- ----------- ------------- 0-30 $104,850 $102,518 $ -- $ 44 $ 2,288 $ -- 31-60 -- -- 61-90 -- -- 91 + -- -- -------- -------- --------- ----------- ----------- ------------- TOTAL $104,850 $102,518 $ -- $ 44 $ 2,288 $ -- ======== ======== ========= =========== =========== =============
AGING OF ACCOUNTS RECEIVABLE(1)
MONTH - ----- 0-30 $ 45,074 $ 45,074 $ -- $ -- $ -- $ -- 31-60 1,353 1,353 -- -- -- 61-90 2,793 2,793 -- -- -- 91 + 13,412 13,412 -- -- -- -------- -------- --------- ----------- ----------- ------------- TOTAL $ 62,632 $ 62,632 -- $ -- $ -- $ -- ======== ======== ========= =========== =========== =============
(1) MOR 5 is presented only on a consolidated debtor basis. (2) Days aging from due date. (3) Days aging from invoice due date. MOR-5 CASE NAME: STERLING CHEMICALS HOLDINGS, INC (ALL DEBTORS) FOR THE MONTH ENDING OCTOBER 31, 2001 STATEMENT OF INCOME (LOSS)
------------------------------------------------------------------------------- STERLING STERLING STERLING STERLING STERLING CHEMICALS CHEMICALS, CHEMICALS FIBERS, CHEMICALS HOLDINGS, INC. INC. ENERGY, INC. INC. INT'L, INC. 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 01-37809-H4-11 ------------------------------------------------------------------------------- MONTH REVENUES (MOR-1) $ -- $ 21,691,268 $ 155,612 $ 1,891,936 $ 83,333 TOTAL COST OF REVENUES -- 20,932,563 155,612 2,007,647 -- GROSS PROFIT $ -- $ 758,705 $ -- $ (115,711) $ 83,333 =============================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 61,848 $ 506,893 $ -- $ 193,547 $ 10,994 Insiders Compensation -- 156,110 -- -- -- Professional Fees -- 1,045,068 -- -- -- Other (Earnings in Joint Venture) -- 600,671 (600,671) -- -- TOTAL OPERATING EXPENSE $ 61,848 $ 2,308,742 $ (600,671) $ 193,547 $ 10,994 ================================================================================================================================ INCOME BEFORE INT. DEPR/TAX (MOR-1) $ (61,848) $ (1,550,037) $ 600,671 $ (309,258) $ 72,339 INTEREST EXPENSE (includes amort of debt fees) (5,722) 2,401,351 -- 614,434 37,665 DEPRECIATION -- 1,899,369 -- 48,077 23,000 OTHER (INCOME) EXPENSES* -- -- -- -- -- OTHER ITEMS** -- -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ (5,722) $ 4,300,720 $ -- $ 662,511 $ 60,665 ================================================================================================================================ NET INCOME BEFORE TAXES $ (56,126) $ (5,850,757) $ 600,671 $ (971,769) $ 11,674 INCOME TAXES -- -- 28,531 -- -- ================================================================================================================================ NET INCOME (LOSS) (MOR-1) $ (56,126) $ (5,850,757) $ 572,140 $ (971,769) $ 11,674 ================================================================================================================================
---------------------------------------------------------------------------- STERLING STERLING PULP STERLING PULP CANADA, CHEMICALS US, CHEMICALS, INC. INC. INC. DEBTORS 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ELIMINATIONS CONSOLIDATED ---------------------------------------------------------------------------- MONTH REVENUES (MOR-1) $ 1,076,560 $ 289,723 $ 3,168,738 $ (83,333) $ 28,273,837 TOTAL COST OF REVENUES 46,938 530,074 2,134,415 (83,333) 25,723,916 GROSS PROFIT $ 1,029,622 $ (240,351) $ 1,034,323 $ -- $ 2,549,921 ============================================================================================================================= OPERATING EXPENSES: Selling, General & Administrative $ 242,991 $ (106,553) $ 628,398 $ (452,308) 1,085,810 Insiders Compensation -- -- -- -- 156,110 Professional Fees -- -- -- -- 1,045,068 Other (Earnings in Joint Venture) -- -- -- -- -- TOTAL OPERATING EXPENSE $ 242,991 $ (106,553) $ 628,398 $ (452,308) $ 2,286,988 ============================================================================================================================= INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 786,631 $ (133,798) $ 405,925 $ 452,308 262,933 INTEREST EXPENSE (includes amort of debt fees) 160,379 -- -- 452,308 3,660,415 DEPRECIATION 485,795 -- 405,189 -- 2,861,430 OTHER (INCOME) EXPENSES* -- -- -- -- -- OTHER ITEMS** -- -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 646,174 $ -- $ 405,189 $ 452,308 $ 6,521,845 ============================================================================================================================= NET INCOME BEFORE TAXES $ 140,457 $ (133,798) $ 736 $ -- $ (6,258,912) INCOME TAXES -- -- -- -- 28,531 ============================================================================================================================= NET INCOME (LOSS) (MOR-1) $ 140,457 $ (133,798) $ 736 $ -- $ (6,287,443) =============================================================================================================================
Accrual Accounting Required, Otherwise Footnote With Explanation * Footnote Mandatory ** Unusual and/or frequent item(s) outside the ordinary course of business; requires footnote MOR-6 CASE NAME: STERLING CHEMICALS, INC. CASE NUMBER: 01-37806-H-11
CASH RECEIPTS AND FILING TO DISBURSEMENTS 8/31/2001(1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 DATE ------------- ------------ ---------- ----------- ------ ------ ------ ----------- 1. CASH-BEGINNING OF MONTH 9,346,548 1,430,565 1,217,400 -- -- -- 9,346,546 ========== ========== =========== ====== ====== ====== =========== RECEIPTS: 2. CASH SALES -- -- -- -- -- -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 40,926,868 20,950,661 23,372,230 -- -- -- 85,249,759 4. LOANS & ADVANCES - CIT REVOLVER 32,400,000 30,000,000 35,600,000 -- -- -- 98,000,000 5. SALE OF ASSETS -- -- -- -- -- -- -- 6. OTHER (attach list) 17,276,763 9,809,132 12,435,815 -- -- -- 39,521,709 ---------- ---------- ---------- ------ ------ ------ ----------- TOTAL RECEIPTS 90,603,630 60,759,793 71,408,045 -- -- -- 222,771,468 ---------- ---------- ---------- ------ ------ ------ ----------- (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A N/A N/A ========== ========== =========== ====== ====== ====== =========== DISBURSEMENTS: 7. NET PAYROLL 2,731,080 1,885,987 1,820,918 -- -- -- 6,437,985 8. PAYROLL TAXES PAID 1,296,961 929,631 898,310 -- -- -- 3,124,901 9. SALES, USE & OTHER TAXES PAID 32,514 59,392 54,688 -- -- -- 146,595 10.SECURED/RENTAL/LEASES 150,961 223,715 267,731 -- -- -- 642,407 11.UTILITIES 2,879,979 2,190,006 5,169,539 -- -- -- 10,239,525 12.INSURANCE 1,469,518 830,148 452,349 -- -- -- 2,752,015 13.INVENTORY PURCHASES 11,912,436 10,899,473 12,316,618 -- -- -- 35,128,527 14.VEHICLE EXPENSES -- -- -- -- -- -- -- 15.TRAVEL & ENTERTAINMENT 39,341 31,508 48,462 -- -- -- 119,312 16.REPAIRS, MAINTENANCE & SUPPLIES 1,279,095 1,162,418 1,519,414 -- -- -- 3,960,928 17.ADMINISTRATIVE & SELLING 2,731,486 1,698,951 3,178,324 -- -- -- 7,608,761 18.OTHER (attach list) 73,996,239 41,050,486 45,331,111 -- -- -- 160,377,835 TOTAL DISBURSEMENTS FROM OPERATIONS 98,519,611 60,961,714 71,057,466 -- -- -- 230,538,791 19.PROFESSIONAL FEES -- 11,243 1,368,231 -- -- -- 1,379,474 20.U.S. TRUSTEE FEES -- -- 40,250 -- -- -- 40,250 21.OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- -- -- -- ---------- ---------- ---------- ------ ------ ------ ----------- TOTAL DISBURSEMENTS 98,519,611 60,972,958 72,465,946 -- -- -- 231,958,515 ========== ========== =========== ====== ====== ====== =========== 22.NET CASH FLOW (7,915,980) (213,165) (1,057,901) -- -- -- (9,187,046) 23.CASH - END OF MONTH (MOR-2) 1,430,565 1,217,400 159,499 -- -- -- 159,499
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 *Applies to Individual debtor's only. per MOR-7 1,430,565.35 1,217,400.33 159,499.29 per 211 trial balance 2,156,824.40 1,222,225.02 926,043.98 ------------ ------------ ---------- difference 726,259.05 4,824.69 766,544.69 g/l acct 10123 - not a good account, s/b zero 794.70 794.70 794.70 g/l acct 10131 - account was closed before filing, bal s/b zero 4,029.99 4,029.99 4,029.99 g/l acct 10199 - cash overdraft reclass of outstanding checks 721,434.36 0.00 761,720.00 ------------ ------------ ---------- reconciled difference 726,259.05 4,824.69 766,544.69
CASE NAME: STERLING CHEMICALS, INC. CASE NUMBER: 01-37806-H-11
OTHER CASH RECEIPTS AND FILING TO DISBURSEMENTS: 8/31/2001(1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 DATE ----------------------- ------------- ------------- --------- ------- ------- ------ ------------ 6. OTHER RECEIPTS: Interest Income -- 80,302 -- 80,302 401(k) Plan Refund -- -- -- -- Cobra Insurance Payment -- -- -- -- Miscellaneous 323,832 156,450 1,147,947 1,628,229 Royalty Owners Trust Account -- -- -- -- Emission Credits -- -- -- -- Account Transfers 16,952,931 8,360,380 11,197,868 36,511,178 Intercompany Transfers -- 1,212,000 90,000 1,302,000 ----------- ---------- ---------- ------- ------- ------ ----------- TOTAL OTHER RECEIPTS 17,276,763 9,809,132 12,435,815 -- -- -- 39,521,709 =========== ========== ========== ======= ===== ======= =========== 18. OTHER DISBURSEMENTS: Lease Operating Expense -- -- -- -- Workover Expense -- -- -- -- Capital Expenditures 157,217 352,420 408,428 918,065 Revenue & Royalties -- -- -- -- Interest Payment -- -- 97,161 97,161 Employee Benefits 1,716,761 1,923,632 2,430,056 6,070,449 Severance tax -- -- -- -- Pre-petition checks voided in current period (30,000) -- -- (30,000) Account Transfers 16,952,931 8,360,380 11,197,868 36,511,178 CIT Revolver Payments 51,857,690 24,100,472 24,983,680 100,941,842 Intercompany Transfers 3,341,640 6,313,582 6,213,918 15,869,140 ---------- ---------- ---------- ------- ------- ------ ----------- TOTAL OTHER DISBURSEMENTS 73,996,239 41,050,486 45,331,111 -- -- -- 160,377,835 ========== ========== ========== ======= ======= ======= ===========
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 ATTACHMENT CASE NAME: STERLING CHEMICALS, INC. CASE NUMBER: 01-37806-H-11
CASH RECEIPTS AND Chase Chase Chase Chase Chase DISBURSEMENTS 00103275427 00101824317 00103316882 103405743 6301810002508 ----------------- --------------- --------------- --------------- --------------- --------------- 1. CASH-BEGINNING OF MONTH -- 1,252,299 326,364 731,872 (1,310,115) =============== =============== =============== =============== =============== RECEIPTS: 2. CASH SALES -- -- -- -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 20,324,997 4. LOANS & ADVANCES - CIT REVOLVER 35,600,000 5. SALE OF ASSETS 6. OTHER (attach list) -- -- 1,137,101 2,900,000 7,584,485 --------------- --------------- --------------- --------------- --------------- TOTAL RECEIPTS -- 20,324,997 36,737,101 2,900,000 7,584,485 --------------- --------------- --------------- --------------- --------------- (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A =============== =============== =============== =============== =============== DISBURSEMENTS: 7. NET PAYROLL -- 1,820,918 -- 8. PAYROLL TAXES PAID 898,310 9. SALES, USE & OTHER TAXES PAID 54,688 10. SECURED/RENTAL/LEASES 267,731 11. UTILITIES 5,169,539 12. INSURANCE 6,075 446,275 13. INVENTORY PURCHASES 12,194,717 121,901 14. VEHICLE EXPENSES 15. TRAVEL & ENTERTAINMENT 48,462 16. REPAIRS, MAINTENANCE & SUPPLIES 1,519,414 17. ADMINISTRATIVE & SELLING 99,394 3,078,930 18. OTHER (attach list) -- 21,577,196 19,063,193 -- 620,855 --------------- --------------- --------------- --------------- --------------- TOTAL DISBURSEMENTS FROM OPERATIONS -- 21,577,196 36,587,606 2,719,228 6,103,569 =============== =============== =============== =============== =============== 19. PROFESSIONAL FEES -- -- -- -- 1,368,231 20. U.S. TRUSTEE FEES -- -- -- -- 40,250 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- -- --------------- --------------- --------------- --------------- --------------- TOTAL DISBURSEMENTS -- 21,577,196 36,587,606 2,719,228 7,512,049 =============== =============== =============== =============== =============== 22. NET CASH FLOW -- (1,252,199) 149,495 180,772 72,436 23. CASH - END OF MONTH (MOR-2) -- 100 475,859 912,644 (1,237,679) CASH RECEIPTS AND Chase Chase Wells Fargo Bank One Total DISBURSEMENTS 6301810036508 6301810028508 4496870106 5561833 Debtor ----------------- --------------- --------------- --------------- --------------- --------------- 1. CASH-BEGINNING OF MONTH -- -- -- 216,980 1,217,400 =============== =============== =============== =============== =============== RECEIPTS: 2. CASH SALES -- -- -- -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 3,047,234 23,372,230 4. LOANS & ADVANCES - CIT REVOLVER 35,600,000 5. SALE OF ASSETS -- 6. OTHER (attach list) 658,908 4,474 -- 150,846 12,435,815 --------------- --------------- --------------- --------------- --------------- TOTAL RECEIPTS 658,908 4,474 -- 3,198,080 71,408,045 --------------- --------------- --------------- --------------- --------------- (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A =============== =============== =============== =============== =============== DISBURSEMENTS: 7. NET PAYROLL -- -- -- -- 1,820,918 8. PAYROLL TAXES PAID 898,310 9. SALES, USE & OTHER TAXES PAID 54,688 10. SECURED/RENTAL/LEASES 267,731 11. UTILITIES 5,169,539 12. INSURANCE 452,349 13. INVENTORY PURCHASES 12,316,618 14. VEHICLE EXPENSES -- 15. TRAVEL & ENTERTAINMENT 48,462 16. REPAIRS, MAINTENANCE & SUPPLIES 1,519,414 17. ADMINISTRATIVE & SELLING 3,178,324 18. OTHER (attach list) 658,908 4,474 -- 3,406,485 45,331,111 --------------- --------------- --------------- --------------- --------------- TOTAL DISBURSEMENTS FROM OPERATIONS 658,908 4,474 -- 3,406,485 71,057,466 =============== =============== =============== =============== =============== 19. PROFESSIONAL FEES -- -- -- -- 1,368,231 20. U.S. TRUSTEE FEES -- -- -- -- 40,250 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- -- --------------- --------------- --------------- --------------- --------------- TOTAL DISBURSEMENTS 658,908 4,474 -- 3,406,485 72,465,946 =============== =============== =============== =============== =============== 22. NET CASH FLOW -- -- -- (208,405) (1,057,901) 23. CASH - END OF MONTH (MOR-2) -- -- -- 8,576 159,499
MOR-7 * Applies to Individual debtor's only. CASE NAME: STERLING CHEMICALS, INC. CASE NUMBER: 01-37806-H4-11
OTHER CASH RECEIPTS AND Chase Chase Chase Chase Chase DISBURSEMENTS: 00103275427 00101824317 00103316882 103405743 6301810002508 - -------------- ----------- ----------- ----------- --------- ------------- 6. OTHER RECEIPTS: Interest Income 401(k) Plan Refund Cobra Insurance Payment Miscellaneous 997,101 Royalty Owners Trust Account Emission Credits Account Transfers 50,000 2,900,000 7,584,485 Intercompany Transfers 90,000 ----------- ---------- ---------- --------- --------- TOTAL OTHER RECEIPTS -- -- 1,137,101 2,900,000 7,584,485 =========== ========== ========== ========= ========= 18. OTHER DISBURSEMENTS: Lease Operating Expense Workover Expense Capital Expenditures 408,428 Revenue & Royalties Interest Payment 97,161 Employee Benefits 1,554,246 212,427 Severance tax Pre-petition checks voided in current period Account Transfers 11,197,868 CIT Revolver Payments 21,577,196 Intercompany Transfers 6,213,918 ----------- ---------- ---------- --------- --------- TOTAL OTHER DISBURSEMENTS -- 21,577,196 19,063,193 -- 620,855 =========== ========== ========== ========= ========= OTHER CASH RECEIPTS AND Chase Chase Wells Fargo Bank One Total DISBURSEMENTS: 6301810036508 6301810028508 4496870106 5561833 Debtor - -------------- ------------- ------------- -------------- ------------ ------------- 6. OTHER RECEIPTS: Interest Income -- 401(k) Plan Refund -- Cobra Insurance Payment -- Miscellaneous 150,846 1,147,947 Royalty Owners Trust Account -- Emission Credits -- Account Transfers 658,908 4,474 11,197,868 Intercompany Transfers 90,000 ------- --------- ------------ ---------- ---------- TOTAL OTHER RECEIPTS 658,908 4,474 -- 150,846 12,435,815 ======= ========= ============ ========== ========== 18. OTHER DISBURSEMENTS: Lease Operating Expense -- Workover Expense -- Capital Expenditures 408,428 Revenue & Royalties -- Interest Payment 97,161 Employee Benefits 658,908 4,474 2,430,056 Severance tax -- Pre-petition checks voided in current period -- Account Transfers 11,197,868 CIT Revolver Payments 3,406,485 24,983,680 Intercompany Transfers 6,213,918 ------- --------- ------------ ---------- ---------- TOTAL OTHER DISBURSEMENTS 658,908 4,474 -- 3,406,485 45,331,111 ======= ========= ============ ========== ==========
MOR-7 ATTACHMENT CASE NAME: Sterling Chemicals, Inc. CASE NUMBER: 01-37806-H4-11 CASH ACCOUNT RECONCILIATION MONTH OF OCTOBER 2001 ---------------------------------
BANK NAME Chase Bk of TX Chase Bk of TX Chase Bk of TX Chase Bk of TX Chase Bk of DE ACCOUNT NUMBER 00103275427 00101824317 00103316882 00103405743 6301810036508 - -------------- ACCOUNT TYPE Special Disb Fund AR Wires Concentration Payroll Contr. Disb. - -------------- ------------------ --------------- --------------- --------------- --------------- BANK BALANCE $ -- $ 100 $ 396,740 $ 244,882 $ -- DEPOSIT IN TRANSIT OUTSTANDING CHECKS (126,636) (1,216,418) OTHER 79,119 794,397 (21,261) --------------- --------------- --------------- --------------- --------------- ADJUSTED BANK BALANCE $ -- $ 100 $ 475,859 $ 912,644 $ (1,237,679) =============== =============== =============== =============== =============== BEGINNING CASH - PER BOOKS $ -- $ 1,252,299 $ 326,364 $ 731,872 $ (1,310,115) RECEIPTS 20,324,997 35,600,000 TRANSFERS BETWEEN ACCOUNTS -- (16,274,685) 2,900,000 7,584,485 (WITHDRAWAL) CONTRIBUTION- BY INDIVIDUAL DEBTOR MFR-2 CHECKS/OTHER DISBURSEMENTS -- (21,577,196) (19,175,820) (2,719,228) (7,512,049) --------------- --------------- --------------- --------------- --------------- ENDING CASH - PER BOOKS $ -- $ 100 $ 475,859 $ 912,644 $ (1,237,679) =============== =============== =============== =============== =============== BANK NAME Chase Bk of Del Chase Bk of Del Wells Fargo Bank One ACCOUNT NUMBER 6301810036508 6301810028508 4496870106 5561833 - -------------- ACCOUNT TYPE Sal Ben Disb Flex Ben Disb Concentration Lockbox TOTAL - -------------- --------------- --------------- --------------- --------------- --------------- BANK BALANCE $ -- $ -- $ -- $ 1,000 $ 642,722 DEPOSIT IN TRANSIT -- OUTSTANDING CHECKS (1,343,054) OTHER 7,575 859,831 --------------- --------------- --------------- --------------- --------------- ADJUSTED BANK BALANCE $ -- $ -- $ -- $ 8,575 $ 159,499 =============== =============== =============== =============== =============== BEGINNING CASH - PER BOOKS $ -- $ -- $ -- $ 216,980 $ 1,217,400 RECEIPTS 3,198,080 59,123,077 TRANSFERS BETWEEN ACCOUNTS 658,908 4,474 (5,126,818) (WITHDRAWAL) CONTRIBUTION- -- BY INDIVIDUAL DEBTOR MFR-2 -- CHECKS/OTHER DISBURSEMENTS (658,908) (4,474) (3,406,485) (55,054,160) --------------- --------------- --------------- --------------- --------------- ENDING CASH - PER BOOKS $ -- $ -- $ -- $ 8,575 $ 159,498 =============== =============== =============== =============== ===============
MOR-8 CASE NAME: STERLING CHEMICALS, INC. CASE NUMBER: 01-37806-H4-11 PAYMENT TO INSIDERS AND PROFESSIONALS Of the total disbursements shown for the month, list the amount paid to insiders (as defined in Section 101(31)(A)-(F) of the U.S. Bankruptcy Code) and the professionals. Also, for insiders identify the type of compensation paid (e.g., salary, commission, bonus, etc.) (Attach additional pages as necessary.)
FILING TO INSIDERS: NAME/POSITION/COMP TYPE(2) 8/31/2001(1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE - ------------------------------------------------ ------------ -------- ---------- --------- --------- --------- --------- 1. Frank Diassi/Chairman of Board/Salary $ 46,875 31,250 $ 31,250 $-- $-- $-- $ 109,375 2. Frank Diassi/Chairman of Board/Bonus -- 23,438 -- 3. Frank Diassi/Chairman of Board/Expenses 521 1,741 -- -- -- -- 2,262 4. David Elkins/President/Salary 43,750 29,167 29,167 -- -- -- 102,084 5. David Elkins/President/Bonus -- 21,875 -- 6. David Elkins/President/Expenses 5,013 35 410 -- -- -- 5,458 7. Richard Crump/Exec VP Opers/Salary 37,500 25,000 25,000 -- -- -- 87,500 8. Richard Crump/Exec VP Opers/Bonus -- 18,750 -- 9. Richard Crump/Exec VP Opers/Expense 2,192 2,939 642 -- -- -- 5,773 10. Paul Vanderhoven/VP Finance & CFO/Salary 25,000 16,667 16,667 -- -- -- 58,334 11. Paul Vanderhoven/VP Finance & CFO/Bonus -- 10,000 -- 12. Paul Vanderhoven/VP Finance & CFO/Expense -- 5,573 974 13. Robert Roten/Former Pres & Board Member/SERP 2,328 2,328 -- -- -- -- 4,656 14. Robert Roten/Former Pres & Board Member/Consulting fee 10,000 -- -- -- -- -- 10,000 15. Robert Roten/Former Pres & Board Member/BOD fee -- -- 17,550 16. Rolf Towe/Board Member -- -- 10,150 17. Hunter Nelson/Board Member -- -- 13,550 18. Frank Hevrdejs/Board Member -- -- 10,750 -------- -------- ---------- --- --- --- --------- TOTAL INSIDERS (MOR-1) $173,179 $188,763 $ 156,110 $-- $-- $-- $ 385,442 ======== ======== ========== === === === =========
PROFESSIONALS FILING TO NAME/ORDER DATE 8/31/2001(1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE - --------------------------------- ------------ --------- ---------- --------- --------- --------- ---------- 1. Logan & Company, Inc. $ -- $ 11,243 $ 15,330 $ -- $ -- $ -- $26,573.32 2. Andrews & Kurth LLP -- -- 324,139 -- -- -- 324,139 3. US Trustee -- -- 40,250 -- -- -- 40,250 4. Skadden, Arps, Slate, Meagher & Flom LLP -- -- 751,593 -- -- -- 751,593 5. Akin Gump Strauss -- -- 277,168 -- -- -- 277,168 6. -- -- -- -- -- -- -- ------------ --------- ---------- --------- --------- --------- --------- TOTAL PROFESSIONALS (MOR-1) $ -- $ 11,243 $1,408,481 $ -- $ -- $ -- $1,419,724 ============ ========= ========== ========= ========= ========= ==========
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01. (2) THE DEBTOR HAS LIMITED THE SCOPE OF ITS ANSWER TO (i) DIRECTORS, (ii) OFFICERS DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SECURITIES AND EXCHANGE ACT OF 1934, (iii) AFFILIATES; AND (iv) PARTIES TO THE VOTING AGREEMENT GRANTING AUTHORITY TO DESIGNATED THE NOMINEES WHO BENEFIT FROM THE VOTING AGREEMENT. INFORMATION AS TO OFFICERS WHO ARE NOT DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SEC ACT OF 1934 HAS BEEN COMPLIED BY THE DEBTOR AND WILL BE PROVIDED TO THE OFFICE OF THE UNITED STATES TRUSTEE AND TO THE COUNCIL FOR THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS UPON REQUEST. SUCH INFORMATION PRIMARILY RELATES TO COMPENSATION, BENEFITS AND EXPENSE REIMBURSEMENTS PAYMENTS MADE TO SUCH OFFICERS AS EMPLOYEES OF THE DEBTOR. IT IS THE POLICY OF THE DEBTOR TO PRESERVE THE CONFIDENTIALITY OF SUCH INFORMATION ON BEHALF OF ITS EMPLOYEES. MOR-9 EX-99.3 5 h92775ex99-3.txt MONTHLY OPERATING RPT. STERLING CHEMICALS ENERGY EXHIBIT 99.3 UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF TEXAS HOUSTON DIVISION CASE NAME: STERLING CHEMICALS ENERGY, INC. PETITION DATE: 07/16/01 CASE NUMBER: 01-37807-H4-11 MONTHLY OPERATING REPORT SUMMARY FOR MONTH: OCTOBER YEAR: 2001
MONTH 7/16/01-8/31/01 9/30/2001 10/31/01 - -------------------------------------------------------------------------------------------------------------- REVENUES (MOR-6) $ 327,939 $ 158,149 $ 155,612 $ -- $ -- $ -- INCOME BEFORE INT. DEPREC./TAX (MOR-6) $ 539,842 $ 616,375 $ 600,671 $ -- $ -- $ -- NET INCOME (LOSS) (MOR-6) $ 539,842 $ 616,375 $ 572,140 $ -- $ -- $ -- PAYMENTS TO INSIDERS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- PAYMENTS TO PROFESSIONALS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- TOTAL DISBURSEMENTS (MOR-7) $1,045,517 $ 2,311,319 $ 2,625,313 $ -- $ -- $ --
***The original of this document MUST BE FILED with the United States Bankruptcy Court and a COPY MUST BE SENT to the United States Trustee*** REQUIRED INSURANCE MAINTAINED AS OF SIGNATURE DATE EXP. See attachment 2 DATE - ------------------------------- CASUALTY YES (x) NO ( ) 08-01-02 LIABILITY YES (x) NO ( ) 07-01-02 VEHICLE YES (x) NO ( ) 07-01-02 WORKER'S YES (x) NO ( ) 07-01-02 OTHER YES (x) NO ( ) various ATTORNEY NAME: Jeff Spiers FIRM: Andrews & Kurth LLP ADDRESS: 600 Travis ADDRESS: Suite 4200 CITY, STATE ZIP: Houston, TX 77002 TELEPHONE: 713-220-4103 Are all accounts receivable being collected within terms? NO Are all post-petition liabilities, including taxes, being paid with terms? YES Have any pre-petition liabilities been paid? NO If so, describe - -------------------------------------------------------------------------------- Are all funds received being deposited into DIP bank accounts? YES Were any assets disposed of outside the normal course of business? NO If so, describe ---------------------------------------------------------------- Are all U.S. Trustee Quarterly Fee Payments current? YES What is the status of your Plan of Reorganization? A Plan of Reorganization is currently being developed. - -------------------------------------------------------------------------------- I certify under penalty of perjury that the following complete Monthly Operating Report (MOR), consisting of MOR-1 through MOR-9 plus attachments, is true and correct. SIGNED /s/ PAUL VANDERHOVEN ----------------------------------------------- (ORIGINAL SIGNATURE) TITLE VP Finance, CFO ----------------------------------------------- MOR-1 CASE NAME: STERLING CHEMICALS ENERGY, INC. CASE NUMBER: 01-37807-H4-11
PAID COVERAGE POLICY PERIOD POLICY NO. LIMITS CARRIER THROUGH - ------------------------------------------------------------------------------------------------------------------------------------ See Attachment 2
MOR-1 ATTACHMENT 2 Page 3 of 15 11/19/01 SUMMARY OF COVERAGES FOR STERLING CHEMICALS HOLDINGS, INC.
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE --- ----------------- -------------- ------------- ---- ------ ------------- 1 Workers Compensation Statutory - $1,000,000 Employers American Guar. 1 year 7/1/02 Total annual Liability. Zurich US remuneration Ded. $250,000 per accident. 2 Automobile Liability $2,000,000 ea. occurrence. American Guar. 1 year 7/1/02 Number of vehicles Ded. $25,000 per occurrence. Zurich Amer. owned and leased 3 Excess Liability $5,000,000 ea. occurrence and Primex, Ltd 1 year 7/1/02 Annual revenues and Excess to $1 Million SIR aggregate. Excess $1,000,000 GL remuneration $2,000,000 AL. 4 Excess Liability $20,000,000 ea. loss and Primex, Ltd. 1 year 7/1/02 Included aggregate. (Reinsured through AIG.) 5 Excess Liability $50,000,000 ea. loss and Gerling Global 1 year 7/1/02 Flat charge - based aggregate. on exposures and risk potential 6 Excess Liability $100,000,000 ea. loss and Lloyd's 1 year 7/1/02 Flat charge - based aggregate. Lore on exposures and risk potential 7 Excess Liability $50,000,000 Zurich 1 year 7/1/02 Flat charge 8 Excess Liability $50,000,000 AIG 1 year 7/1/02 Flat Charge NO. TYPE OF INSURANCE ANNUAL PREMIUM --- ----------------- -------------- 1 Workers Compensation $195,653 - Audit at (AFCO) expiration. Plus all losses within deductible. 2 Automobile Liability $92,955 (AFCO) 3 Excess Liability $451,090 Annual - Half on 7/1/01; Excess to $1 Million SIR 1/2 on 1/1/02. 4 Excess Liability Included 5 Excess Liability $295,000 6 Excess Liability $241,886 7 Excess Liability $109,210 8 Excess Liability $80,938
Page 4 of 15 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE --- ----------------- -------------- ------------- ---- ------ ------------- 9 Excess Liability $50,000,000 Starr Excess 1 year 7/1/02 Flat Charge 10 Marine Terminal $50,000,000 ea. occurrence. New Hampshire Ins. 1 year 7/1/02 Based on volume Operators Liability and Ded. $25,000 per occurrence Co. thru Marsh throughput and no. Charterer's Legal $100,000 pollution London chartered vessels. Liability per occurrence. 11 Excess Marine Liability $24,000,000 excess of MTO, CLL, XL Specialty 1 year 7/1/02 Volume thru put & P&L Brockbank & vessels docked. Liberty Und. 12 Excess Marine Liability $25,000,000 excess $24,000,000 XL Specialty 1 year 7/1/02 Flat Brockbank & N.Y. Marine Gen. Ins. 13 Property Damage, $ Total insured values combined Munich Re: et. al. 1 year 8/1/02 Property Values - PD Business Interruption all-risk. Sublimits: Flood - Income values - BI and Boiler & Machinery $100 mil., Earthquake - $100 PML, fire protection mil., $10 mil extra expense. available; many Ded.: Petrochem $1,000,000 PD, other factors. 10 day - BI. Pulp & Fibers - $1 mil. PD/BI. 14 Directors & Officers $15,000,000 each loss and each National Union 1 year 8/21/02 Various Liability policy year. Ded. $1,000,000 Indemnity Corp. Reimb. 15 Excess Directors & $10,000,000 excess of Primary D&O Hartford 1 year 8/21/02 Various Officers Liability 16 Directors & Officers $10,000,000 XL Specialty Ins. 1 year 8/21/02 Various Liability Co. NO. TYPE OF INSURANCE ANNUAL PREMIUM --- ----------------- -------------- 9 Excess Liability $62,500 10 Marine Terminal $27,000 (AFCO) Min. premium & deposit. Operators Liability and Charterer's Legal Liability 11 Excess Marine Liability $57,375 12 Excess Marine Liability $21,250 13 Property Damage, Annual - Financed through AFCO. Business Interruption $4.0M (est.) and Boiler & Machinery 14 Directors & Officers $316,000 (15 mos.) Liability 15 Excess Directors & $223,700 (15 mos.) Officers Liability 16 Directors & Officers $115,000 (15 mos.) Liability
Page 5 of 15 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE --- ----------------- -------------- ------------- ---- ------ ------------- 17 Employee Dishonesty & $5,000,000 each Insuring Texas Pacific 1 year 10/1/02 Various Depositor's Forgery Agreement. Ded. $50,000. Chubb 18 Hull & Machinery and Barge Hull Value Zurich-American 1 year 7/1/02 Hull & Machinery Protection & Indemnity (M-25 = $1,500,000) Insurance Co. values Ded. $5,000 per loss. $1,000,000 P&I 19 Pollution Insurance Section A - $250,000 Water Quality 1 year 7/1/02 Hull gross Section B - $5,000,000 Insurance Syndicate registered tonnage CERCLA - $5,000,000 20 Marine and Railroad Cargo $12,000,000 any one vessel Mutual Marine 1 year Continuing Declared shipment $1,000,000 any one barge values $1,000,000 any one rail ship. $100,000 any one truck 21 Duty Drawback Bond $1,000,000 Washington 1 year Continuing Limit International 22 Fiduciary $10,000,000 National Union 1 year 8/21/02 Various Ded. $250,000 per occurrence 23 Environmental Impairment $4,000,000 per loss ECS 1 year 1/15/02 Loss Potential Liability (Petrochem & $8,000,000 aggregate (Indian Harbor) Fibers) 24 Closure/Post Closure $1,995,222 Combined Underwriters 1 year Continuous Estimated Bonds - Petrochem Indemnity Closure/Post Closure Costs NO. TYPE OF INSURANCE ANNUAL PREMIUM --- ----------------- -------------- 17 Employee Dishonesty & $14,450 Depositor's Forgery 18 Hull & Machinery and $29,378 (AFCO) Protection & Indemnity 19 Pollution Insurance $4,258 (AFCO) 20 Marine and Railroad Cargo $40,000 Annual Approx. 21 Duty Drawback Bond $2,875 22 Fiduciary $22,000 - Financed through Imperial. 23 Environmental Impairment $106,200 - Financed through AFCO. Liability (Petrochem & Fibers) 24 Closure/Post Closure $40,610 Bonds - Petrochem ANNUAL TOTAL: $3,459,260 *
* Total fluctuates due to cargo premiums dependence upon volume of CIF export shipments and annual audits of Worker's Compensation and Marine Terminal policies. STERLING CHEMICALS HOLDINGS, INC. (ALL DEBTORS) CONSOLIDATING BALANCE SHEET FOR THE PERIOD ENDED OCTOBER 31, 2001 (IN THOUSANDS) (UNAUDITED)
-------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS HOLDINGS INC. INC. ENERGY, INC. INC. ASSETS 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 -------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ 1,365 $ 926 $ - $ 298 Trade accounts receivable, net - 42,481 (2) 3,165 Other Receivables - 2,577 - - Due from affiliates - 20,172 12,392 3,977 Inventories - 26,722 - 8,921 Prepaid expenses 29 3,319 - 69 Deferred income tax benefit - - - - ------------------------------------------------------------------------------------ TOTAL CURRENT ASSETS 1,394 96,197 12,390 16,430 Property, plant and equipment, net - 126,224 3,262 6,263 Deferred income taxes - - - - Investments-Third Party - 1,500 - - Investments in Subs 35,060 95,072 4,556 - Other assets 7,337 23,831 - 1,404 ------------------------------------------------------------------------------------ TOTAL ASSETS $ 43,791 $ 342,824 $ 20,208 $ 24,097 ==================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 63 103,386 1,645 5,964 Pre-Petition liabilities: Notes Payable - Secured * - 227,848 - 57,221 Secured Debt Accrued Interest * - 22,400 - 5,645 Unsecured debt 192,878 278,365 1,110 70,981 Other / Intercompany - 201,020 - - Deferred income taxes - - - - Common stock held by new ESOP - 254 - 35 Less: Unearned compensation - (458) - 458 Redeemable preferred stock 27,567 (15,894) - 15,891 STOCKHOLDERS' EQUITY: Common stock, $.01 par value - 75 1 Additional paid-in capital (367,555) (232,797) - - Retained earnings-Filing Date 191,923 (212,503) 15,333 9,339 Retained earnings-Post Filing Date (1,085) (26,197) 2,119 (137,929) Pension adjustment - (135) - (3,508) Accumulated translation adj - - - - Deferred compensation - (3) - - ------------------------------------------------------------------------------------ (176,717) (471,560) 17,453 (132,098) Treasury stock at cost - (2,537) - - ------------------------------------------------------------------------------------ TOTAL STOCKHOLDERS' EQUITY (176,717) (474,097) 17,453 (132,098) TOTAL LIABILITIES AND EQUITY $ 43,791 $ 342,824 $ 20,208 $ 24,097 ====================================================================================
-------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS HOLDINGS INC. INC. ENERGY, INC. INC. ASSETS 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 -------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ - $ 329 $ - $ 239 Trade accounts receivable, net - 2,254 938 4,681 Other Receivables - 4,357 - - Due from affiliates 2,717 46,929 1,389 6,729 Inventories - - 163 1,403 Prepaid expenses (283) - - - Deferred income tax benefit - - - - ----------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 2,434 53,869 2,490 13,052 Property, plant and equipment, net - - - 43,965 Deferred income taxes - - - - Investments-Third Party - - - - Investments in Subs - 297,229 3,119 - Other assets 2,731 6,822 - - ---------------------------------------------------------------------------------- TOTAL ASSETS $ 5,165 $ 357,920 $ 5,609 $ 57,017 ================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 24 19,946 1,157 2,438 Pre-Petition liabilities: Notes Payable - Secured * 3,652 67,152 - - Secured Debt Accrued Interest * 361 6,625 - - Unsecured debt 840 265,155 170 62,478 Other / Intercompany - 5,655 - Deferred income taxes - - - - Common stock held by new ESOP - - - - Less: Unearned compensation - - - - Redeemable preferred stock - - - - STOCKHOLDERS' EQUITY: Common stock, $.01 par value - 48 - - Additional paid-in capital - 83,348 5,438 3,118 Retained earnings-Filing Date 779 (90,594) (877) (10,909) Retained earnings-Post Filing Date (491) 585 (279) (108) Pension adjustment - - - - Accumulated translation adj - - - - Deferred compensation - - - - ---------------------------------------------------------------------------------- 288 (6,613) 4,282 (7,899) Treasury stock at cost - - - - ---------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY 288 (6,613) 4,282 (7,899) TOTAL LIABILITIES AND EQUITY $ 5,165 $ 357,920 $ 5,609 $ 57,017 ==================================================================================
--------------------------------- DEBTORS ELIMINATIONS CONSOLIDATED ASSETS --------------------------------- Cash and cash equivalents $ - $ 3,157 Trade accounts receivable, net - 53,517 Other Receivables - 6,934 Due from affiliates (87,992) 6,313 Inventories - 37,209 Prepaid expenses - 3,134 Deferred income tax benefit - - -------------------------------- TOTAL CURRENT ASSETS (87,992) 110,264 Property, plant and equipment, net - 179,714 Deferred income taxes - - Investments-Third Party - 6,056 Investments in Subs (385,026) 45,454 Other assets (1) 42,124 -------------------------------- TOTAL ASSETS $(473,019) $ 383,612 ================================ LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) (29,772) 104,851 Pre-Petition liabilities: Notes Payable - Secured * (60,873) 295,000 Secured Debt Accrued Interest * (6,006) 29,025 Unsecured debt (131,744) 740,233 Other / Intercompany (201,020) 5,655 Deferred income taxes - - Common stock held by new ESOP - 289 Less: Unearned compensation - - Redeemable preferred stock - 27,564 STOCKHOLDERS' EQUITY: Common stock, $.01 par value (1) 123 Additional paid-in capital (43,603) (542,712) Retained earnings-Filing Date - (244,777) Retained earnings-Post Filing Date - (28,964) Pension adjustment - (135) Accumulated translation adj - - Deferred compensation - (3) -------------------------------- (43,604) (816,468) Treasury stock at cost - (2,537) -------------------------------- TOTAL STOCKHOLDERS' EQUITY (43,604) (819,005) TOTAL LIABILITIES AND EQUITY $(473,019) $ 383,612 ================================
* Senior Secured Notes were issued by Sterling Chemicals, Inc., but a percentage is pushed down to the subsidiaries. MOR 2 - 3 CASE NAME: STERLING CHEMICALS ENERGY, INC. CASE NUMBER: 01-37807-H4-11 SCHEDULE OF POST-PETITION LIABILITIES
---------------------------------------------------------------------------------------------- 8/31/2001(1) 9/30/01 10/31/01 MONTH MONTH MONTH ---------------------------------------------------------------------------------------------- TRADE ACCOUNTS PAYABLE $ 2,240 $ 1,676 $ 1,645 $ -- $ -- $ -- ROYALTY AND REVENUE PAYABLE -- -- -- -- -- -- NOTES PAYABLE - INSURANCE -- -- -- -- -- -- TAX PAYABLE: -- -- -- -- -- -- Federal Payroll Taxes -- -- -- -- -- -- State Payroll & Sales -- -- -- -- -- -- Ad Valorem Taxes -- -- -- -- -- -- Other Taxes -- -- -- -- -- -- TOTAL TAXES PAYABLE $ -- $ -- $ -- $ -- $ -- $ -- SECURED DEBT POST-PETITION -- -- -- -- -- -- ACCRUED INTEREST PAYABLE -- -- -- -- -- -- *ACCRUED PROFESSIONAL FEES: -- -- -- -- -- -- OTHER ACCRUED LIABILITIES: 1. General and Administrative Costs -- -- -- -- -- -- 2. Lease Operating Expenses/Capital -- -- -- -- -- TOTAL POST-PETITION LIABILITIES (MOR-3) $ 2,240 $ 1,676 $ 1,645 $ -- $ -- $ -- ====================================================================================================================================
*Payment Requires Court Approval. (1) Represents the period 07/17/01 thru 08/31/01 MOR-4 CONSOLIDATED DEBTORS(1) AGING OF POST-PETITION LIABILITIES MONTH 10/31/01
AD-VALOREM, ROYALTY DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES AND INSURANCE ---- ----- ----------- --------- ----------- ----------- ------------- 0-30 $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- 31-60 -- 61-90 -- 91 + -- ---------- ---------- ---------- ---------- ---------- ---------- TOTAL $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- ========== ========== ========== ========== ========== ==========
AGING OF ACCOUNTS RECEIVABLE(1)
MONTH ----- 0-30 $ 45,074 $ 45,074 $ -- $ -- $ -- $ -- 31-60 1,353 1,353 -- -- -- 61-90 2,793 2,793 -- -- -- 91 + 13,412 13,412 -- -- -- ---------- ----------- ---------- ---------- ---------- ---------- TOTAL $ 62,632 $ 62,632 $ -- $ -- $ -- $ -- ========== =========== ========== ========== ========== ==========
(1) MOR 5 is presented only on a consolidated debtor basis. (2) Days aging from due date. (3) Days aging from invoice due date. MOR-5 CASE NAME: STERLING CHEMICALS HOLDINGS, INC (ALL DEBTORS) FOR THE MONTH ENDING OCTOBER 31, 2001 STATEMENT OF INCOME (LOSS)
------------------------------------------------------------------------------- STERLING STERLING STERLING STERLING STERLING CHEMICALS CHEMICALS, CHEMICALS FIBERS, CHEMICALS HOLDINGS, INC. INC. ENERGY, INC. INC. INT'L, INC. 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 01-37809-H4-11 ------------------------------------------------------------------------------- MONTH REVENUES (MOR-1) $ -- $ 21,691,268 $ 155,612 $ 1,891,936 $ 83,333 TOTAL COST OF REVENUES -- 20,932,563 155,612 2,007,647 -- GROSS PROFIT $ -- $ 758,705 $ -- $ (115,711) $ 83,333 =============================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 61,848 $ 506,893 $ -- $ 193,547 $ 10,994 Insiders Compensation -- 156,110 -- -- -- Professional Fees -- 1,045,068 -- -- -- Other (Earnings in Joint Venture) -- 600,671 (600,671) -- -- TOTAL OPERATING EXPENSE $ 61,848 $ 2,308,742 $ (600,671) $ 193,547 $ 10,994 ================================================================================================================================ INCOME BEFORE INT. DEPR/TAX (MOR-1) $ (61,848) $ (1,550,037) $ 600,671 $ (309,258) $ 72,339 INTEREST EXPENSE (includes amort of debt fees) (5,722) 2,401,351 -- 614,434 37,665 DEPRECIATION -- 1,899,369 -- 48,077 23,000 OTHER (INCOME) EXPENSES* -- -- -- -- -- OTHER ITEMS** -- -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ (5,722) $ 4,300,720 $ -- $ 662,511 $ 60,665 ================================================================================================================================ NET INCOME BEFORE TAXES $ (56,126) $ (5,850,757) $ 600,671 $ (971,769) $ 11,674 INCOME TAXES -- -- 28,531 -- -- ================================================================================================================================ NET INCOME (LOSS) (MOR-1) $ (56,126) $ (5,850,757) $ 572,140 $ (971,769) $ 11,674 ================================================================================================================================
---------------------------------------------------------------------------- STERLING STERLING PULP STERLING PULP DEBTORS CANADA, CHEMICALS US, CHEMICALS, INC. INC. INC. 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ELIMINATIONS CONSOLIDATED ---------------------------------------------------------------------------- MONTH REVENUES (MOR-1) $ 1,076,560 $ 289,723 $ 3,168,738 $ (83,333) $ 28,273,837 TOTAL COST OF REVENUES 46,938 530,074 2,134,415 (83,333) 25,723,916 GROSS PROFIT $ 1,029,622 $ (240,351) $ 1,034,323 $ -- $ 2,549,921 ============================================================================================================================= OPERATING EXPENSES: Selling, General & Administrative $ 242,991 $ (106,553) $ 628,398 $ (452,308) 1,085,810 Insiders Compensation -- -- -- -- 156,110 Professional Fees -- -- -- -- 1,045,068 Other (Earnings in Joint Venture) -- -- -- -- -- TOTAL OPERATING EXPENSE $ 242,991 $ (106,553) $ 628,398 $ (452,308) $ 2,286,988 ============================================================================================================================= INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 786,631 $ (133,798) $ 405,925 $ 452,308 262,933 INTEREST EXPENSE (includes amort of debt fees) 160,379 -- -- 452,308 3,660,415 DEPRECIATION 485,795 -- 405,189 -- 2,861,430 OTHER (INCOME) EXPENSES* -- -- -- -- -- OTHER ITEMS** -- -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 646,174 $ -- $ 405,189 $ 452,308 $ 6,521,845 ============================================================================================================================= NET INCOME BEFORE TAXES $ 140,457 $ (133,798) $ 736 $ -- $ (6,258,912) INCOME TAXES -- -- -- -- 28,531 ============================================================================================================================= NET INCOME (LOSS) (MOR-1) $ 140,457 $ (133,798) $ 736 $ -- $ (6,287,443) =============================================================================================================================
Accrual Accounting Required, Otherwise Footnote With Explanation * Footnote Mandatory ** Unusual and/or frequent item(s) outside the ordinary course of business; requires footnote MOR-6 CASE NAME: STERLING CHEMICALS ENERGY, INC. CASE NUMBER: 01-37807-H-11
CASH RECEIPTS AND FILING TO DISBURSEMENTS 8/31/2001 (1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 DATE - ----------------- ------------ --------- --------- ------ ------ ------ --------- 1. CASH-BEGINNING OF MONTH 100 100 100 -- -- -- 100 ============ ========= ========= ===== ====== ===== ========= RECEIPTS: 2. CASH SALES -- -- -- -- -- -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 120,876 98,737 46,395 266,008 4. LOANS & ADVANCES (attach list) -- -- -- -- 5. SALE OF ASSETS -- -- -- -- 6. OTHER (attach list) 924,640 2,212,582 2,578,918 5,716,140 ------------ --------- --------- ----- ------ ----- --------- TOTAL RECEIPTS 1,045,517 2,311,319 2,625,313 -- -- -- 5,982,148 ------------ --------- --------- ----- ------ ----- --------- (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A N/A N/A ============ ========= ========= ===== ====== ===== ========= DISBURSEMENTS: 7. NET PAYROLL -- -- -- -- -- -- -- 8. PAYROLL TAXES PAID -- -- -- -- 9. SALES, USE & OTHER TAXES PAID -- -- -- -- 10. SECURED/RENTAL/LEASES -- -- -- -- 11. UTILITIES 924,640 2,212,582 1,578,918 4,716,140 12. INSURANCE -- -- -- -- 13. INVENTORY PURCHASES -- -- -- -- 14. VEHICLE EXPENSES -- -- -- -- 15. TRAVEL & ENTERTAINMENT -- -- -- -- 16. REPAIRS, MAINTENANCE & SUPPLIES -- -- -- -- 17. ADMINISTRATIVE & SELLING -- -- -- -- 18. OTHER (attach list) 120,876 98,737 1,046,395 1,266,008 ------------ --------- --------- ----- ------ ----- --------- TOTAL DISBURSEMENTS FROM OPERATIONS 1,045,517 2,311,319 2,625,313 -- -- -- 5,982,148 ============ ========= ========= ===== ====== ===== ========= 19. PROFESSIONAL FEES -- -- -- -- -- -- -- 20. U.S. TRUSTEE FEES -- -- -- -- -- -- -- ------------ --------- --------- ----- ------ ----- --------- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- -- -- -- ------------ --------- --------- ----- ------ ----- --------- TOTAL DISBURSEMENTS 1,045,517 2,311,319 2,625,313 -- -- -- 5,982,148 ============ ========= ========= ===== ====== ===== ========= 22. NET CASH FLOW -- -- -- -- -- -- -- 23. CASH - END OF MONTH (MOR-2) 100 100 100 -- -- -- 100
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING CHEMICALS ENERGY, INC. CASE NUMBER: 01-37807-H4-11
OTHER CASH RECEIPTS AND FILING TO DISBURSEMENTS: 8/31/2001(1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 DATE ------------- ---------- --------- -------- --------- ------- --------- 6. OTHER RECEIPTS: Interest Income -- -- -- -- 401(k) Plan Refund -- -- -- -- Cobra Insurance Payment -- -- -- -- Dividend -- -- 1,000,000 1,000,000 Royalty Owners Trust Account -- -- -- -- Emission Credits -- -- -- -- Intercompany Funding 924,640 2,212,582 1,578,918 4,716,140 -- -- -- -- ------------- ---------- --------- -------- --------- ------- --------- TOTAL OTHER RECEIPTS 924,640 2,212,582 2,578,918 -- -- -- 5,716,140 ============= ========== ========= ======== ========= ======= ========= 18. OTHER DISBURSEMENTS: Lease Operating Expense -- -- -- -- Workover Expense -- -- -- -- Capital Expenditures -- -- -- -- Revenue & Royalties -- -- -- -- Interest Payment -- -- -- -- Restricted Cash - Bond Funding -- -- -- -- Severance tax -- -- -- -- Pre-petition checks voided in current period -- -- -- -- Revolver payment to CIT 120,876 98,737 1,046,395 1,266,008 -- -- ------------- ---------- --------- -------- --------- ------- --------- TOTAL OTHER DISBURSEMENTS 120,876 98,737 1,046,395 -- -- -- 1,266,008 ============= ========== ========= ======== ========= ======= =========
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 ATTACHMENT CASE NAME: STERLING CHEMICALS ENERGY, INC. CASE NUMBER: 01-37807-H-11 FOR THE PERIOD 10/01/01 - 10/31/01
CASH RECEIPTS AND Chase Chase DISBURSEMENTS 00103317203 00101818459 - ----------------- -------------- ----------- ------------ ----------- 1. CASH-BEGINNING OF MONTH -- 100 -- -- ============== =========== ============ =========== RECEIPTS: 2. CASH SALES -- -- -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE -- 46,395 4. LOANS & ADVANCES (attach list) -- -- 5. SALE OF ASSETS -- -- 6. OTHER (attach list) 1,578,918 1,000,000 -- -------------- ----------- ------------ ----------- TOTAL RECEIPTS 1,578,918 1,046,395 -- -- -------------- ----------- ------------ ----------- (Withdrawal) Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A ============== =========== ============ =========== DISBURSEMENTS: 7. NET PAYROLL -- -- -- -- 8. PAYROLL TAXES PAID -- -- 9. SALES, USE & OTHER TAXES PAID -- -- 10. SECURED/RENTAL/LEASES -- -- 11. UTILITIES 1,578,918 -- 12. INSURANCE -- -- 13. INVENTORY PURCHASES -- -- 14. VEHICLE EXPENSES -- -- 15. TRAVEL & ENTERTAINMENT -- -- 16. REPAIRS, MAINTENANCE & SUPPLIES -- -- 17. ADMINISTRATIVE & SELLING -- -- 18. OTHER (attach list) -- 1,046,395 -------------- ----------- ------------ ----------- TOTAL DISBURSEMENTS FROM OPERATIONS 1,578,918 1,046,395 -- -- ============== =========== ============ =========== 19. PROFESSIONAL FEES -- -- -- -- 20. U.S. TRUSTEE FEES -- -- -- -- -------------- ----------- ------------ ----------- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- TOTAL DISBURSEMENTS 1,578,918 1,046,395 -- -- ============== =========== ============ =========== 22. NET CASH FLOW -- -- -- -- 23. CASH - END OF MONTH (MOR-2) -- 100 -- -- CASH RECEIPTS AND Total DISBURSEMENTS Debtor - ----------------- ------------ ----------- ------------- 1. CASH-BEGINNING OF MONTH -- -- 100 ============ =========== ============= RECEIPTS: 2. CASH SALES -- -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 46,395 4. LOANS & ADVANCES (attach list) -- 5. SALE OF ASSETS -- 6. OTHER (attach list) 2,578,918 ------------ ----------- ------------- TOTAL RECEIPTS -- -- 2,625,313 ------------ ----------- ------------- (Withdrawal) Contribution by Individual Debtor MFR-2* N/A N/A N/A ============ =========== ============= DISBURSEMENTS: 7. NET PAYROLL -- -- -- 8. PAYROLL TAXES PAID -- 9. SALES, USE & OTHER TAXES PAID -- 10. SECURED/RENTAL/LEASES -- 11. UTILITIES 1,578,918 12. INSURANCE -- 13. INVENTORY PURCHASES -- 14. VEHICLE EXPENSES -- 15. TRAVEL & ENTERTAINMENT -- 16. REPAIRS, MAINTENANCE & SUPPLIES -- 17. ADMINISTRATIVE & SELLING -- 18. OTHER (attach list) 1,046,395 ------------ ----------- ------------- TOTAL DISBURSEMENTS FROM OPERATIONS -- -- 2,625,313 ============ =========== ============= 19. PROFESSIONAL FEES -- -- -- 20. U.S. TRUSTEE FEES -- -- -- ------------ ----------- ------------- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- TOTAL DISBURSEMENTS -- -- 2,625,313 ============ =========== ============= 22. NET CASH FLOW -- -- -- 23. CASH - END OF MONTH (MOR-2) -- -- 100
MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING CHEMICALS ENERGY, INC. CASE NUMBER: 01-37807-H-11 FOR THE PERIOD 10/01/01 - 10/31/01
OTHER CASH RECEIPTS AND Chase Chase Total DISBURSEMENTS: 00103317203 00101818459 Debtor - -------------- ------------ ------------ ------------ 6. OTHER RECEIPTS: Interest Income -- -- -- 401(k) Plan Refund -- -- -- Cobra Insurance Payment -- -- -- Dividend -- 1,000,000 1,000,000 Royalty Owners Trust Account -- -- Emission Credits -- -- -- Intercompany Transfer 1,578,918 -- 1,578,918 ------------ --------- ------------ TOTAL OTHER RECEIPTS 1,578,918 1,000,000 2,578,918 ============ ========= ============ 18. OTHER DISBURSEMENTS: Lease Operating Expenses -- Workover Expense -- Capital Expenditures -- -- -- Revenue & Royalties -- Interest Payment -- -- -- Restricted Cash - Bond Funding -- -- -- Severance tax -- Pre-petition checks voided in current period -- -- -- CIT Revolver Payments -- 1,046,395 1,046,395 ------------ --------- ------------ TOTAL OTHER DISBURSEMENTS -- 1,046,395 1,046,395 ============ ========= ============
MOR-7 ATTACHMENT CASE NAME: STERLING CHEMICALS ENERGY, INC. CASE NUMBER: 01-37807-H4-11 CASH ACCOUNT RECONCILIATION MONTH OF OCTOBER 2001
BANK NAME Chase Bk of TX Chase Bk of TX ACCOUNT NUMBER 00103317203 00101818459 ACCOUNT TYPE Concentration Concentration TOTAL - -------------- ---------------- --------------- ----------- BANK BALANCE $ -- $ 100 $ 100 DEPOSIT IN TRANSIT -- OUTSTANDING CHECKS -- OTHER -- ---------------- --------------- ----------- ADJUSTED BANK BALANCE $ -- $ 100 $ 100 ================ =============== =========== BEGINNING CASH - PER BOOKS $ -- $ 100 $ 100 RECEIPTS 1,046,395 1,046,395 TRANSFERS BETWEEN ACCOUNTS 1,578,918 1,578,918 (WITHDRAWAL)CONTRIBUTION- -- BY INDIVIDUAL DEBTOR MFR-2 -- CHECKS/OTHER DISBURSEMENTS (1,578,918) (1,046,395) (2,625,313) ---------------- --------------- ----------- ENDING CASH - PER BOOKS $ -- $ 100 $ 100 ================ =============== ===========
MOR-8 CASE NAME: STERLING CHEMICALS ENERGY, INC. CASE NUMBER: 01-37807-H4-11 PAYMENT TO INSIDERS AND PROFESSIONALS Of the total disbursements shown for the month, list the amount paid to insiders (as defined in Section 101(31)(A)-(F) of the U.S. Bankruptcy Code) and the professionals. Also, for insiders identify the type of compensation paid (e.g., salary, commission, bonus, etc.) (Attach additional pages as necessary.)
FILING TO INSIDERS: NAME/POSITION/COMP TYPE(2) 8/31/2001(1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE - ------------------------------------ ------------ -------- -------- -------- -------- -------- --------- 1 $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2 -- -- -- -- -- -- -- 3 -- -- -- -- -- -- -- 4 -- -- -- -- -- -- -- 5 -- -- -- -- -- -- -- 6 -- -- -- -- -- -- -- 7 -- -- -- -- -- -- -- 8 -- -- -- -- -- -- -- 9 -- -- -- -- -- -- -- --------- --------- --------- --------- --------- --------- --------- TOTAL INSIDERS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ -- ========= ========= ========= ========= ========= ========= =========
PROFESSIONALS FILING TO NAME/ORDER DATE 8/31/2001(1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE --------------- ------------ -------- -------- -------- -------- -------- --------- 1 $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2 -- -- -- -- -- -- -- 3 -- -- -- -- -- -- -- 4 -- -- -- -- -- -- -- 5 -- -- -- -- -- -- -- 6 -- -- -- -- -- -- -- --------- --------- --------- --------- --------- --------- --------- TOTAL PROFESSIONALS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ -- ========= ========= ========= ========= ========= ========= =========
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01. (2) THE DEBTOR HAS LIMITED THE SCOPE OF ITS ANSWER TO (i) DIRECTORS, (ii) OFFICERS DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SECURITIES AND EXCHANGE ACT OF 1934, (iii) AFFILIATES ; AND (iv) PARTIES TO THE VOTING AGREEMENT GRANTING AUTHORITY TO DESIGNATED THE NOMINEES WHO BENEFIT FROM THE VOTING AGREEMENT. INFORMATION AS TO OFFICERS WHO ARE NOT DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SEC ACT OF 1934 HAS BEEN COMPLIED BY THE DEBTOR AND WILL BE PROVIDED TO THE OFFICE OF THE UNITED STATES TRUSTEE AND TO THE COUNCIL FOR THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS UPON REQUEST. SUCH INFORMATION PRIMARILY RELATES TO COMPENSATION, BENEFITS AND EXPENSE REIMBURSEMENTS PAYMENTS MADE TO SUCH OFFICERS AS EMPLOYEES OF THE DEBTOR. IT IS THE POLICY OF THE DEBTOR TO PRESERVE THE CONFIDENTIALITY OF SUCH INFORMATION ON BEHALF OF ITS EMPLOYEES. (3) ALL PAYMENTS TO DIRECTORS AND OFFICERS, AS DEFINED IN FOOTNOTE (2) ABOVE, ARE MADE BY STERLING CHEMICALS, INC., A JOINTLY ADMINISTERED DEBTOR (CASE #01-37806-H4-11. MOR-9 EX-99.4 6 h92775ex99-4.txt MONTHLY OPERATING RPT. STERLING FIBERS EXHIBIT 99.4 UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF TEXAS HOUSTON DIVISION CASE NAME: STERLING FIBERS, INC. PETITION DATE: 07/16/01 CASE NUMBER: 01-37808-H4-11 MONTHLY OPERATING REPORT SUMMARY FOR MONTH: OCTOBER YEAR: 2001
MONTH 7/16/01-8/31/01 9/30/01 10/31/01 - ---------------------------------------------------------------------------------------------------------------- REVENUES (MOR-6) $ 4,472,168 $ 1,311,018 $1,891,936 $ -- $ -- $ -- INCOME BEFORE INT. DEPREC./TAX (MOR-6) $ (209,403) $ (228,529) $ (309,258) $ -- $ -- $ -- NET INCOME (LOSS) (MOR-6) $ (1,202,563) $ (891,256) $ (971,769) $ -- $ -- $ -- PAYMENTS TO INSIDERS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- PAYMENTS TO PROFESSIONALS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- TOTAL DISBURSEMENTS (MOR-7) $ 6,063,610 $ 4,412,856 $3,673,189 $ -- $ -- $ --
***The original of this document MUST BE FILED with the United States Bankruptcy Court and a COPY MUST BE SENT to the United States Trustee*** REQUIRED INSURANCE MAINTAINED AS OF SIGNATURE DATE EXP. See attachment 2 DATE - ----------------------------- ---- CASUALTY YES (x) NO ( ) 08 - 01 - 02 LIABILITY YES (x) NO ( ) 07 - 01 - 02 VEHICLE YES (x) NO ( ) 07 - 01 - 02 WORKER'S YES (x) NO ( ) 07 - 01 - 02 OTHER YES (x) NO ( ) various ATTORNEY NAME: Jeff Spiers FIRM: Andrews & Kurth LLP ADDRESS: 600 Travis ADDRESS: Suite 4200 CITY, STATE ZIP: Houston, TX 77002 TELEPHONE: 713-220-4103 Are all accounts receivable being collected within terms? NO Are all post-petition liabilities, including taxes, being paid with terms? YES Have any pre-petition liabilities been paid? YES If so, describe See Attachment 3 - -------------------------------------------------------------------------------- Are all funds received being deposited into DIP bank accounts? YES Were any assets disposed of outside the normal course of business? NO If so, describe ---------------------------------------------------------------- Are all U.S. Trustee Quarterly Fee Payments current? YES What is the status of your Plan of Reorganization? A Plan of Reorganization is currently being developed. - -------------------------------------------------------------------------------- I certify under penalty of perjury that the following complete Monthly Operating Report (MOR), consisting of MOR-1 through MOR-9 plus attachments, is true and correct. SIGNED /s/ PAUL VANDERHOVEN ---------------------------------------------- (ORIGINAL SIGNATURE) TITLE VP Finance, CFO ---------------------------------------------- MOR-1 CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H4-11
PAID COVERAGE POLICY PERIOD POLICY NO. LIMITS CARRIER THROUGH - ------------------------------------------------------------------------------------------------------------------------------------ See Attachment 2
MOR-1 ATTACHMENT 2 Page 3 of 16 11/19/01 SUMMARY OF COVERAGES FOR STERLING CHEMICALS HOLDINGS, INC.
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE - --- ----------------- -------------- ------------- ---- ------ 1 Workers Compensation Statutory - $1,000,000 American Guar. 1 year 7/1/2002 Employers Liability. Ded. Zurich US $250,000 per accident. 2 Automobile Liability $2,000,000 ea. occurrence. American Guar. 1 year 7/1/2002 Ded. $25,000 per occurrence. Zurich Amer. 3 Excess Liability $5,000,000 ea. occurrence and Primex, Ltd 1 year 7/1/2002 Excess to $1 Million SIR aggregate. Excess $1,000,000 GL $2,000,000 AL. 4 Excess Liability $20,000,000 ea. loss and Primex, Ltd. (Reinsured 1 year 7/1/2002 aggregate. through AIG.) 5 Excess Liability $50,000,000 ea. loss and Gerling Global 1 year 7/1/2002 aggregate. 6 Excess Liability $100,000,000 ea. loss and Lloyd's 1 year 7/1/2002 aggregate. Lore 7 Excess Liability $50,000,000 Zurich 1 year 7/1/2002 8 Excess Liability $50,000,000 AIG 1 year 7/1/2002 NO. TYPE OF INSURANCE EXPOSURE BASE ANNUAL PREMIUM - --- ----------------- ------------- -------------- 1 Workers Compensation Total annual remuneration $195,653 - Audit at (AFCO) expiration. Plus all losses within deductible. 2 Automobile Liability Number of vehicles owned $92,955 (AFCO) and leased 3 Excess Liability Annual revenues and $451,090 Annual - Half on Excess to $1 Million SIR remuneration 7/1/01; 1/2 on 1/1/02. 4 Excess Liability Included Included 5 Excess Liability Flat charge - based on $295,000 exposures and risk potential 6 Excess Liability Flat charge - based on $241,886 exposures and risk potential 7 Excess Liability Flat charge $109,210 8 Excess Liability Flat Charge $80,938
Page 4 of 16 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE - --- ----------------- -------------- ------------- ---- ------ 9 Excess Liability $50,000,000 Starr Excess 1 year 7/1/2002 10 Marine Terminal Operators $50,000,000 ea. occurrence. New Hampshire Ins. Co. 1 year 7/1/2002 Liability and Charterer's Ded. $25,000 per occurrence thru Marsh London Legal Liability $100,000 pollution per occurrence. 11 Excess Marine Liability $24,000,000 excess of MTO, XL Specialty 1 year 7/1/2002 CLL, P&L Brockbank & Liberty Und. 12 Excess Marine Liability $25,000,000 excess $24,000,000 XL Specialty 1 year 7/1/2002 Brockbank & N.Y. Marine Gen. Ins. 13 Property Damage, Business $ Total insured values Munich Re: et. al. 1 year 8/1/2002 Interruption and Boiler & combined all-risk. Sublimits: Machinery Flood - $100 mil., Earthquake - $100 mil., $10 mil extra expense. Ded.: Petrochem $1,000,000 PD, 10 day - BI. Pulp & Fibers - $1 mil. PD/BI. 14 Directors & Officers $15,000,000 each loss and each National Union 1 year 8/21/2002 Liability policy year. Ded. $1,000,000 Indemnity Corp. Reimb. 15 Excess Directors & $10,000,000 excess of Primary Hartford 1 year 8/21/2002 Officers Liability D&O 16 Directors & Officers $10,000,000 XL Specialty Ins. Co. 1 year 8/21/2002 Liability NO. TYPE OF INSURANCE EXPOSURE BASE ANNUAL PREMIUM - --- ----------------- ------------- -------------- 9 Excess Liability Flat Charge $62,500 10 Marine Terminal Operators Based on volume $27,000 (AFCO) Min. premium & deposit. Liability and Charterer's throughput and no. Legal Liability chartered vessels. 11 Excess Marine Liability Volume thru put & $57,375 vessels docked. 12 Excess Marine Liability Flat $21,250 13 Property Damage, Business Property Values - Annual - Financed through Interruption and Boiler & PD Income values - AFCO. $4.0M (est.) Machinery BI PML, fire protection available; many other factors. 14 Directors & Officers Various $316,000 (15 mos.) Liability 15 Excess Directors & Various $223,700 (15 mos.) Officers Liability 16 Directors & Officers Various $115,000 (15 mos.) Liability
Page 5 of 16 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE - --- ----------------- -------------- ------------- ---- ------ 17 Employee Dishonesty & $5,000,000 each Insuring Texas Pacific 1 year 10/1/2002 Depositor's Forgery Agreement. Ded. $50,000. Chubb 18 Hull & Machinery and Barge Hull Value Zurich-American 1 year 7/1/2002 Protection & Indemnity (M-25 = $1,500,000) Insurance Co. Ded. $5,000 per loss. $1,000,000 P&I 19 Pollution Insurance Section A - $250,000 Water Quality 1 year 7/1/2002 Section B - $5,000,000 Insurance CERCLA - $5,000,000 Syndicate 20 Marine and Railroad Cargo $12,000,000 any one vessel Mutual Marine 1 year Continuing $1,000,000 any one barge $1,000,000 any one rail ship. $100,000 any one truck 21 Duty Drawback Bond $1,000,000 Washington 1 year Continuing International 22 Fiduciary $10,000,000 National Union 1 year 8/21/2002 Ded. $250,000 per occurrence 23 Environmental Impairment $4,000,000 per loss ECS 1 year 1/15/2002 Liability (Petrochem & $8,000,000 aggregate (Indian Harbor) Fibers) 24 Closure/Post Closure $1,995,222 Combined Underwriters 1 year Continuous Bonds - Petrochem Indemnity NO. TYPE OF INSURANCE EXPOSURE BASE ANNUAL PREMIUM - --- ----------------- ------------- -------------- 17 Employee Dishonesty & Various $14,450 Depositor's Forgery 18 Hull & Machinery and Hull & Machinery $29,378 (AFCO) Protection & Indemnity values 19 Pollution Insurance Hull gross registered $4,258 (AFCO) tonnage 20 Marine and Railroad Cargo Declared shipment $40,000 Annual Approx. values 21 Duty Drawback Bond Limit $2,875 22 Fiduciary Various $22,000 - Financed through Imperial. 23 Environmental Impairment Loss Potential $106,200 - Financed through AFCO. Liability (Petrochem & Fibers) 24 Closure/Post Closure Estimated $40,610 Bonds - Petrochem Closure/Post Closure Costs ANNUAL TOTAL: $3,459,260 *
*Total fluctuates due to cargo premiums dependence upon volume of CIF export shipments and annual audits of Worker's Compensation and Marine Terminal policies. ATTACHMENT 3 POSTPETITION PAYMENT OF PREPETITION LIABILITIES
VENDOR AMOUNT ORDER STERLING FIBERS, INC. CASE #01-37808-H4-11 CSX Transportation $ 15,592.50 Shippers Prior Energy $114,290.67 Letter of Credit Draw ----------- TOTAL $129,883.17 =========== SUMMARY Shippers $ 15,592.50 Employee Benefits $ -- Insurance $ -- Other $114,290.67 ----------- TOTAL $129,883.17 ===========
STERLING CHEMICALS HOLDINGS, INC. (ALL DEBTORS) CONSOLIDATING BALANCE SHEET FOR THE PERIOD ENDED OCTOBER 31, 2001 (In Thousands) (Unaudited)
-------------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS HOLDINGS INC. INC. ENERGY, INC. INC. ASSETS 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 -------------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ 1,365 $ 926 $ -- $ 298 Trade accounts receivable, net -- 42,481 (2) 3,165 Other Receivables -- 2,577 -- -- Due from affiliates -- 20,172 12,392 3,977 Inventories -- 26,722 -- 8,921 Prepaid expenses 29 3,319 -- 69 Deferred income tax benefit -- -- -- -- ---------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 1,394 96,197 12,390 16,430 Property, plant and equipment, net -- 126,224 3,262 6,263 Deferred income taxes -- -- -- -- Investments-Third Party -- 1,500 4,556 -- Investments in Subs 35,060 95,072 -- -- Other assets 7,337 23,831 -- 1,404 ---------------------------------------------------------------------------------- TOTAL ASSETS $ 43,791 $ 342,824 $ 20,208 $ 24,097 ================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 63 103,386 1,645 5,964 Pre-Petition liabilities: Notes Payable - Secured * -- 227,848 -- 57,221 Secured Debt Accrued Interest * -- 22,400 -- 5,645 Unsecured debt 192,878 278,365 1,110 70,981 Other / Intercompany -- 201,020 -- -- Deferred income taxes -- -- -- -- ---------------------------------------------------------------------------------- Common stock held by new ESOP -- 254 -- 35 Less: Unearned compensation -- (458) -- 458 Redeemable preferred stock 27,567 (15,894) -- 15,891 STOCKHOLDERS' EQUITY: -- Common stock, $.01 par value -- 75 1 -- Additional paid-in capital (367,555) (232,797) -- 9,339 Retained earnings-Filing Date 191,923 (212,503) 15,333 (137,929) Retained earnings-Post Filing Date (1,085) (26,197) 2,119 (3,508) Pension adjustment -- (135) -- -- Accumulated translation adj. -- -- -- -- Deferred compensation -- (3) -- -- ---------------------------------------------------------------------------------- (176,717) (471,560) 17,453 (132,098) Treasury stock at cost -- (2,537) -- -- ---------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY (176,717) (474,097) 17,453 (132,098) TOTAL LIABILITIES AND EQUITY $ 43,791 $ 342,824 $ 20,208 $ 24,097 ==================================================================================
------------------------------------------------------------------------------------------ STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. ASSETS 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------------------------------------------------------------------------------ Current Assets: Cash and cash equivalents $ -- $ 329 $ -- $ 239 Trade accounts receivable, net -- 2,254 938 4,681 Other Receivables -- 4,357 -- -- Due from affiliates 2,717 46,929 1,389 6,729 Inventories -- -- 163 1,403 Prepaid expenses (283) -- -- -- Deferred income tax benefit -- -- -- -- --------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 2,434 53,869 2,490 13,052 Property, plant and equipment, net -- -- -- 43,965 Deferred income taxes -- -- -- -- Investments-Third Party -- -- -- -- Investments in Subs -- 297,229 3,119 -- Other assets 2,731 6,822 -- -- --------------------------------------------------------------------------------- TOTAL ASSETS $ 5,165 $ 357,920 $ 5,609 $ 57,017 ================================================================================= LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 24 19,946 1,157 2,438 Pre-Petition liabilities: Notes Payable - Secured * 3,652 67,152 -- -- Secured Debt Accrued Interest * 361 6,625 -- -- Unsecured debt 840 265,155 170 62,478 Other / Intercompany -- 5,655 -- Deferred income taxes -- -- -- -- --------------------------------------------------------------------------------- Common stock held by new ESOP -- -- -- -- Less: Unearned compensation -- -- -- -- Redeemable preferred stock -- -- -- -- STOCKHOLDERS' EQUITY: Common stock, $.01 par value -- 48 -- -- Additional paid-in capital -- 83,348 5,438 3,118 Retained earnings-Filing Date 779 (90,594) (877) (10,909) Retained earnings-Post Filing Date (491) 585 (279) (108) Pension adjustment -- -- -- -- Accumulated translation adj. -- -- -- -- Deferred compensation -- -- -- -- --------------------------------------------------------------------------------- 288 (6,613) 4,282 (7,899) Treasury stock at cost -- -- -- -- --------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY 288 (6,613) 4,282 (7,899) TOTAL LIABILITIES AND EQUITY $ 5,165 $ 357,920 $ 5,609 $ 57,017 =================================================================================
------------------------------------ DEBTORS ASSETS ELIMINATIONS CONSOLIDATED ------------------------------------ Current Assets: Cash and cash equivalents $ -- $ 3,157 Trade accounts receivable, net -- 53,517 Other Receivables -- 6,934 Due from affiliates (87,992) 6,313 Inventories -- 37,209 Prepaid expenses -- 3,134 Deferred income tax benefit -- -- ---------------------------------- TOTAL CURRENT ASSETS (87,992) 110,264 Property, plant and equipment, net -- 179,714 Deferred income taxes -- -- Investments-Third Party -- 6,056 Investments in Subs (385,026) 45,454 Other assets (1) 42,124 ---------------------------------- TOTAL ASSETS $(473,019) $ 383,612 ================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) (29,772) 104,851 Pre-Petition liabilities: Notes Payable - Secured * (60,873) 295,000 Secured Debt Accrued Interest * (6,006) 29,025 Unsecured debt (131,744) 740,233 Other / Intercompany (201,020) 5,655 Deferred income taxes -- -- Common stock held by new ESOP -- 289 Less: Unearned compensation -- -- Redeemable preferred stock -- 27,564 STOCKHOLDERS' EQUITY: -- Common stock, $.01 par value (1) 123 Additional paid-in capital (43,603) (542,712) Retained earnings-Filing Date -- (244,777) Retained earnings-Post Filing Date -- (28,964) Pension adjustment -- (135) Accumulated translation adj. -- -- Deferred compensation -- (3) ---------------------------------- (43,604) (816,468) Treasury stock at cost -- (2,537) ---------------------------------- TOTAL STOCKHOLDERS' EQUITY (43,604) (819,005) TOTAL LIABILITIES AND EQUITY $(473,019) $ 383,612 ==================================
* Senior Secured Notes were issued by Sterling Chemicals, Inc., but a percentage is pushed down to the subsidiaries. MOR 2 - 3 CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H4-11 SCHEDULE OF POST-PETITION LIABILITIES
---------------------------------------------------------------------------------------------- 8/31/2001(1) 9/30/01 10/31/01 MONTH MONTH MONTH ---------------------------------------------------------------------------------------------- TRADE ACCOUNTS PAYABLE $ 3,026 $ 3,514 $ 5,878 $ -- $ -- ROYALTY AND REVENUE PAYABLE -- -- -- -- -- NOTES PAYABLE - INSURANCE -- -- -- -- -- TAX PAYABLE: -- -- Federal Payroll Taxes 5 5 -- -- -- State Payroll & Sales 13 1 (1) -- -- Ad Valorem Taxes -- -- -- -- -- Other Taxes 389 62 87 -- -- TOTAL TAXES PAYABLE $ 407 $ 68 $ 86 $ -- $ -- $ -- SECURED DEBT POST-PETITION -- -- -- -- -- ACCRUED INTEREST PAYABLE -- -- -- -- -- *ACCRUED PROFESSIONAL FEES: -- -- -- -- -- OTHER ACCRUED LIABILITIES: 1. General and Administrative Costs -- -- -- -- -- 2. Lease Operating Expenses/Capital -- -- -- -- -- TOTAL POST-PETITION LIABILITIES (MOR-3) $ 3,433 $ 3,582 $ 5,964 $ -- $ -- $ -- ====================================================================================================================================
*Payment Requires Court Approval (1) Represents the period 07/17/01 thru 08/31/01. MOR-4 CONSOLIDATED DEBTORS(1) AGING OF POST-PETITION LIABILITIES MONTH 10/31/01
AD-VALOREM, ROYALTY DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES AND INSURANCE ---- -------- ----------- --------- ----------- ----------- ------------- 0-30 $104,850 $102,518 $ -- $ 44 $ 2,288 $ -- 31-60 -- -- -- -- -- -- 61-90 -- -- -- -- -- -- 91 + -- -- -- -- -- -- -------- -------- -------- -------- -------- -------- TOTAL $104,850 $102,518 $ -- $ 44 $ 2,288 $ -- ======== ======== ======== ======== ======== ========
AGING OF ACCOUNTS RECEIVABLE(1)
MONTH ----- 0-30 $ 45,074 $45,074 $ -- $ -- $ -- $ -- 31-60 1,353 1,353 -- -- -- 61-90 2,793 2,793 -- -- -- 91 + 13,412 13,412 -- -- -- -------- ------- -------- -------- -------- -------- TOTAL $ 62,632 $62,632 $ -- $ -- $ -- $ -- ======== ======= ======== ======== ======== ========
(1) MOR 5 is presented only on a consolidated debtor basis. (2) Days aging from due date. (3) Days aging from invoice due date. MOR-5 CASE NAME: STERLING CHEMICALS HOLDINGS, INC (ALL DEBTORS) FOR THE MONTH ENDING OCTOBER 31, 2001 STATEMENT OF INCOME (LOSS)
STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS, HOLDINGS, INC. INC. ENERGY, INC. INC. 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 ------------------ ------------------ ------------------ ------------------ MONTH REVENUES (MOR-1) $ -- $ 21,691,268 $ 155,612 $ 1,891,936 TOTAL COST OF REVENUES -- 20,932,563 155,612 2,007,647 GROSS PROFIT $ -- $ 758,705 $ -- $ (115,711) ==================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 61,848 $ 506,893 $ -- $ 193,547 Insiders Compensation -- 156,110 -- -- Professional Fees -- 1,045,068 -- -- Other (Earnings in Joint Venture) -- 600,671 (600,671) -- TOTAL OPERATING EXPENSE $ 61,848 $ 2,308,742 $ (600,671) $ 193,547 ==================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ (61,848) $ (1,550,037) $ 600,671 $ (309,258) INTEREST EXPENSE (includes amort of debt fees) (5,722) 2,401,351 -- 614,434 DEPRECIATION -- 1,899,369 -- 48,077 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ (5,722) $ 4,300,720 $ -- $ 662,511 ==================================================================================================================================== NET INCOME BEFORE TAXES $ (56,126) $ (5,850,757) $ 600,671 $ (971,769) INCOME TAXES -- -- 28,531 -- ==================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ (56,126) $ (5,850,757) $ 572,140 $ (971,769) ==================================================================================================================================== STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------ ------------------ ------------------ ------------------ MONTH REVENUES (MOR-1) $ 83,333 $ 1,076,560 $ 289,723 $ 3,168,738 TOTAL COST OF REVENUES -- 46,938 530,074 2,134,415 GROSS PROFIT $ 83,333 $ 1,029,622 $ (240,351) $ 1,034,323 =================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 10,994 $ 242,991 $ (106,553) $ 628,398 Insiders Compensation -- -- -- -- Professional Fees -- -- -- -- Other (Earnings in Joint Venture) -- -- -- -- TOTAL OPERATING EXPENSE $ 10,994 $ 242,991 $ (106,553) $ 628,398 =================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 72,339 $ 786,631 $ (133,798) $ 405,925 INTEREST EXPENSE (includes amort of debt fees) 37,665 160,379 -- -- DEPRECIATION 23,000 485,795 -- 405,189 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 60,665 $ 646,174 $ -- $ 405,189 =================================================================================================================================== NET INCOME BEFORE TAXES $ 11,674 $ 140,457 $ (133,798) $ 736 INCOME TAXES -- -- -- -- =================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ 11,674 $ 140,457 $ (133,798) $ 736 =================================================================================================================================== DEBTORS ELIMINATIONS CONSOLIDATED ---------------- ------------------ MONTH REVENUES (MOR-1) $ (83,333) $ 28,273,837 TOTAL COST OF REVENUES (83,333) 25,723,916 GROSS PROFIT $ -- $ 2,549,921 ======================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ (452,308) 1,085,810 Insiders Compensation -- 156,110 Professional Fees -- 1,045,068 Other (Earnings in Joint Venture) -- -- -- -- TOTAL OPERATING EXPENSE $ (452,308) $ 2,286,988 ======================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 452,308 262,933 INTEREST EXPENSE (includes amort of debt fees) 452,308 3,660,415 DEPRECIATION -- 2,861,430 OTHER (INCOME) EXPENSES* -- -- OTHER ITEMS** -- -- TOTAL INT. DEPR & OTHER ITEMS $ 452,308 $ 6,521,845 ======================================================================================== NET INCOME BEFORE TAXES $ -- $ (6,258,912) INCOME TAXES -- 28,531 ======================================================================================== NET INCOME (LOSS) (MOR-1) $ -- $ (6,287,443) ========================================================================================
Accrual Accounting Required, Otherwise Footnote With Explanation * Footnote Mandatory ** Unusual and/or frequent item(s) outside the ordinary course of business; requires footnote MOR-6 CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H4-11
CASH RECEIPTS AND DISBURSEMENTS 8/31/2001(1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 ----------------- ------------ ------------ ---------- ------- ------- ------- 1. CASH-BEGINNING OF MONTH $ 714,483 $ 361,051 $ 295,511 $ -- $ -- $ -- ------------ ------------ ---------- ------- ------- ------- RECEIPTS: 2. CASH SALES $ -- $ -- $ -- $ -- $ -- $ -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 4,481,633 2,962,072 1,914,342 4. LOANS & ADVANCES (attach list) -- -- -- 5. SALE OF ASSETS -- -- -- 6. OTHER (attach list) 1,228,545 1,385,244 1,761,204 TOTAL RECEIPTS $ 5,710,178 $ 4,347,316 $3,675,546 $ -- $ -- $ -- (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A N/A DISBURSEMENTS: 7. NET PAYROLL $ 319,807 $ 156,419 $ 165,492 $ -- $ -- $ -- 8. PAYROLL TAXES PAID 142,508 64,049 68,457 9. SALES, USE & OTHER TAXES PAID -- -- 2,686 10. SECURED/RENTAL/LEASES -- 4,000 -- 11. UTILITIES 122,540 -- 236,879 12. INSURANCE -- 280,148 -- 13. INVENTORY PURCHASES 47,098 162,287 257,863 14. VEHICLE EXPENSES -- -- -- 15. TRAVEL & ENTERTAINMENT 208 14,891 9,766 16. REPAIRS, MAINTENANCE & SUPPLIES 26,090 58,632 78,051 17. ADMINISTRATIVE & SELLING -- 5,339 -- 18. OTHER (attach list) 5,405,358 3,667,091 2,853,995 TOTAL DISBURSEMENTS FROM OPERATIONS $ 6,063,610 $ 4,412,856 $3,673,189 $ -- $ -- $ -- 19. PROFESSIONAL FEES $ -- $ -- $ -- $ -- $ -- $ -- 20. U.S. TRUSTEE FEES -- -- -- -- -- -- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- -- -- TOTAL DISBURSEMENTS $ 6,063,610 $ 4,412,856 $3,673,189 $ -- $ -- $ -- 22. NET CASH FLOW $ (353,432) $ (65,540) $ 2,357 $ -- $ -- $ -- 23. CASH - END OF MONTH (MOR-2) $ 361,051 $ 295,511 $ 297,869 $ -- $ -- $ -- CASH RECEIPTS AND FILING TO DISBURSEMENTS DATE ----------------- ------------ 1. CASH-BEGINNING OF MONTH $ 714,483 ------------ RECEIPTS: 2. CASH SALES $ -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 9,358,046 4. LOANS & ADVANCES (attach list) -- 5. SALE OF ASSETS -- 6. OTHER (attach list) 4,374,994 TOTAL RECEIPTS $ 13,733,040 (Withdrawal)Contribution by Individual Debtor MFR-2* N/A DISBURSEMENTS: 7. NET PAYROLL $ 641,718 8. PAYROLL TAXES PAID 275,014 9. SALES, USE & OTHER TAXES PAID 2,686 10. SECURED/RENTAL/LEASES 4,000 11. UTILITIES 359,419 12. INSURANCE 280,148 13. INVENTORY PURCHASES 467,248 14. VEHICLE EXPENSES -- 15. TRAVEL & ENTERTAINMENT 24,866 16. REPAIRS, MAINTENANCE & SUPPLIES 162,772 17. ADMINISTRATIVE & SELLING 5,339 18. OTHER (attach list) 11,926,445 TOTAL DISBURSEMENTS FROM OPERATIONS $ 14,149,655 19. PROFESSIONAL FEES $ -- 20. U.S. TRUSTEE FEES -- 21. OTHER REORGANIZATION EXPENSES (attach list) -- TOTAL DISBURSEMENTS $ 14,149,655 22. NET CASH FLOW $ (416,614) 23. CASH - END OF MONTH (MOR-2) $ 297,869
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H4-11
OTHER CASH RECEIPTS AND 8/31/2001 (1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 DISBURSEMENTS: ----------------------- ------------- ------------- ---------- ------ ------ ------ 6. OTHER RECEIPTS: Interest Income $ 545 $ -- $ -- 401(k) Plan Refund -- -- -- Cobra Insurance Payment 6,083 3,806 7,928 Miscellaneous 80,917 42,438 1,276 Royalty Owners Trust Account -- -- -- Emission Credits -- -- -- Intercompany Transfers 871,000 1,139,000 1,512,000 Account Transfers 270,000 200,000 240,000 TOTAL OTHER RECEIPTS $ 1,228,545 $ 1,385,244 $1,761,204 $ -- $ -- $ -- 18. OTHER DISBURSEMENTS: Lease Operating Expense $ -- $ -- $ -- Workover Expense -- -- -- Capital Expenditures 13,000 4,812 -- Revenue & Royalties -- -- -- Interest Payment -- -- -- Employee Benefits 55,027 27,405 27,144 Severance tax -- -- -- Pre-petition checks voided in current period (3,215) (2,000) -- Insiders -- -- -- Restricted Cash Transactions -- -- -- Contract Services 473,664 431,305 468,686 Licenses / Fees / Permits 1,439 -- 19,878 Freight 87,551 101,650 87,536 Account Transfers 270,000 200,000 240,000 Outstanding checks to Balance to G/L (183,381) (150,611) 72,328 CIT Revolver Payments 4,691,274 3,054,530 1,938,423 TOTAL OTHER DISBURSEMENTS $ 5,405,358 $ 3,667,091 $2,853,995 $ -- $ -- $ -- OTHER CASH RECEIPTS AND FILING TO DISBURSEMENTS: DATE ----------------------- ----------- 6. OTHER RECEIPTS: Interest Income $ 545 401(k) Plan Refund -- Cobra Insurance Payment 17,817 Miscellaneous 124,632 Royalty Owners Trust Account -- Emission Credits -- Intercompany Transfers 3,522,000 Account Transfers 710,000 TOTAL OTHER RECEIPTS $ 4,374,994 18. OTHER DISBURSEMENTS: Lease Operating Expense $ -- Workover Expense -- Capital Expenditures 17,812 Revenue & Royalties -- Interest Payment -- Employee Benefits 109,576 Severance tax -- Pre-petition checks voided in current period (5,215) Insiders -- Restricted Cash Transactions -- Contract Services 1,373,655 Licenses / Fees / Permits 21,317 Freight 276,738 Account Transfers 710,000 Outstanding checks to Balance to G/L (261,664) CIT Revolver Payments 9,684,227 TOTAL OTHER DISBURSEMENTS $11,926,445
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 ATTACHMENT CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H4-11 OCTOBER 2001
CASH RECEIPTS AND Chase Chase Chase Chase DISBURSEMENTS 00100547117 00103316965 103405768 630181003508 ----------------- ----------- ----------- ----------- ------------ 1. CASH-BEGINNING OF MONTH $ 100 $ 1,495 $ 53,909 $ -- RECEIPTS: 2. CASH SALES $ -- $ -- $ -- $ -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 628,827 4. LOANS & ADVANCES (attach list) 5. SALE OF ASSETS 6. OTHER (attach list) -- 1,512,000 240,000 -- TOTAL RECEIPTS $ 628,827 $ 1,512,000 $ 240,000 $ -- (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A DISBURSEMENTS: 7. NET PAYROLL $ -- $ (240,000) $ 165,492 $ -- 8. PAYROLL TAXES PAID 68,457 9. SALES, USE & OTHER TAXES PAID 2,686 10. SECURED/RENTAL/LEASES 11. UTILITIES 236,879 12. INSURANCE 13. INVENTORY PURCHASES 257,863 14. VEHICLE EXPENSES 15. TRAVEL & ENTERTAINMENT 9,766 16. REPAIRS, MAINTENANCE & SUPPLIES 78,051 17. ADMINISTRATIVE & SELLING 18. OTHER (attach list) 628,827 1,155,572 -- -- TOTAL DISBURSEMENTS FROM OPERATIONS $ 628,827 $ 1,500,817 $ 233,949 $ -- 19. PROFESSIONAL FEES $ -- $ -- $ -- $ -- 20. U.S. TRUSTEE FEES -- -- -- -- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- TOTAL DISBURSEMENTS $ 628,827 $ 1,500,817 $ 233,949 $ -- 22. NET CASH FLOW $ -- $ 11,183 $ 6,051 $ -- 23. CASH - END OF MONTH (MOR-2) $ 100 $ 12,677 $ 59,961 $ -- CASH RECEIPTS AND Bank One Bank of America FILING TO DISBURSEMENTS 5577659 1171987307 DATE ----------------- ----------- --------------- ----------- 1. CASH-BEGINNING OF MONTH $ 48,050 $ 191,956 $ 295,510 RECEIPTS: 2. CASH SALES $ -- $ -- $ -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 1,285,514 1,914,342 4. LOANS & ADVANCES (attach list) -- 5. SALE OF ASSETS -- 6. OTHER (attach list) 7,928 1,276 1,761,204 TOTAL RECEIPTS $ 1,293,442 $ 1,276 $ 3,675,546 (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A DISBURSEMENTS: 7. NET PAYROLL $ -- $ -- $ (74,508) 8. PAYROLL TAXES PAID 68,457 9. SALES, USE & OTHER TAXES PAID 2,686 10. SECURED/RENTAL/LEASES -- 11. UTILITIES 236,879 12. INSURANCE -- 13. INVENTORY PURCHASES 257,863 14. VEHICLE EXPENSES -- 15. TRAVEL & ENTERTAINMENT 9,766 16. REPAIRS, MAINTENANCE & SUPPLIES 78,051 17. ADMINISTRATIVE & SELLING -- 18. OTHER (attach list) 1,309,596 -- 3,093,995 TOTAL DISBURSEMENTS FROM OPERATIONS $ 1,309,596 $ -- $ 3,673,189 19. PROFESSIONAL FEES $ -- $ -- $ -- 20. U.S. TRUSTEE FEES -- -- -- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- TOTAL DISBURSEMENTS $ 1,309,596 $ -- $ 3,673,189 22. NET CASH FLOW $ (16,153) $ 1,276 $ 2,357 23. CASH - END OF MONTH (MOR-2) $ 31,897 $ 193,233 $ 297,868
MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H4-11 October 2001
OTHER CASH RECEIPTS AND Chase Chase Chase Chase DISBURSEMENTS: 00100547117 00103316965 103405768 630181003508 ----------------------- ----------- ----------- ----------- -------------- 6. OTHER RECEIPTS: Interest Income 401(k) Plan Refund Cobra Insurance Payment Miscellaneous Royalty Owners Trust Account Emission Credits Intercompany Transfers 1,512,000 240,000 Account Transfers TOTAL OTHER RECEIPTS $ -- $ 1,512,000 $ 240,000 $ -- 18. OTHER DISBURSEMENTS: Lease Operating Expense Workover Expense Capital Expenditures Revenue & Royalties Interest Payment Employee Benefits 27,144 Severance tax Pre-petition checks voided in current period Insiders Restricted Cash Transactions Contract Services 468,686 Licenses / Fees / Permits 19,878 Freight 87,536 Account Transfers Outstanding checks to Balance to G/L 552,328 CIT Revolver Payments 628,827 TOTAL OTHER DISBURSEMENTS $ 628,827 $ 1,155,572 $ -- $ -- OTHER CASH RECEIPTS AND Bank One Bank of America FILING TO DISBURSEMENTS: 5577659 1171987307 DATE ----------------------- --------------------------------------- 6. OTHER RECEIPTS: Interest Income $ -- 401(k) Plan Refund 0 Cobra Insurance Payment 7,928 7,928 Miscellaneous 1,276 1,276 Royalty Owners Trust Account 0 Emission Credits 0 Intercompany Transfers 1,752,000 Account Transfers 0 0 -- TOTAL OTHER RECEIPTS $ 7,928 $ 1,276 $ 1,761,204 18. OTHER DISBURSEMENTS: Lease Operating Expense $ -- Workover Expense -- Capital Expenditures -- Revenue & Royalties -- Interest Payment -- Employee Benefits 27,144 Severance tax -- Pre-petition checks voided in current period -- Insiders -- Restricted Cash Transactions -- Contract Services 468,686 Licenses / Fees / Permits 19,878 Freight 87,536 Account Transfers -- Outstanding checks to Balance to G/L 552,328 CIT Revolver Payments 1,309,596 TOTAL OTHER DISBURSEMENTS $ 1,309,596 $ -- $ 1,155,572
MOR-7 ATTACHMENT CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H4-11 CASH ACCOUNT RECONCILIATION MONTH OF OCTOBER 2001
BANK NAME Chase Bk of TX Bank One Bank of America Chase Bk of TX Chase Bk of TX Chase Bk of Del ACCOUNT NUMBER 00103316965 5577659 0011 7198 7307 00103405768 00100547117 630181003508 ACCOUNT TYPE AP Trade Lockbox Petty Cash Payroll AR Wires Contr. Disb. - -------------- --------------- ---------- ---------------- -------------- --------------- --------------- BANK BALANCE $ 12,677 $ 31,897 $ 193,233 $ 59,961 $ 100 $ -- DEPOSIT IN TRANSIT OUTSTANDING CHECKS -- ADJUSTED BANK BALANCE $ 12,677 $ 31,897 $ 193,233 $ 59,961 $ 100 $ -- ================================================================================================================================= BEGINNING CASH - PER BOOKS $ 1,494 $ 48,052 $ 191,955 $ 53,910 $ 99 $ -- RECEIPTS 1,293,441 1,278 628,827 TRANSFERS BETWEEN ACCOUNTS 1,272,000 240,000 (WITHDRAWAL)CONTRIBUTION- BY INDIVIDUAL DEBTOR MFR-2 CHECKS/OTHER DISBURSEMENTS (1,260,817) (1,309,596) (233,949) (628,827) ENDING CASH - PER BOOKS $ 12,677 $ 31,897 $ 193,233 $ 59,961 $ 99 $ -- ================================================================================================================================= BANK NAME ACCOUNT NUMBER ACCOUNT TYPE TOTAL - -------------- ---------- BANK BALANCE $ 297,868 DEPOSIT IN TRANSIT -- OUTSTANDING CHECKS -- ADJUSTED BANK BALANCE $ 297,868 ========================================== BEGINNING CASH - PER BOOKS $ 295,510 RECEIPTS 1,923,546 TRANSFERS BETWEEN ACCOUNTS 1,512,000 (WITHDRAWAL)CONTRIBUTION- -- BY INDIVIDUAL DEBTOR MFR-2 -- CHECKS/OTHER DISBURSEMENTS (3,433,189) ENDING CASH - PER BOOKS $ 297,866 ==========================================
MOR-8 CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H4-11 PAYMENT TO INSIDERS AND PROFESSIONALS Of the total disbursements shown for the month, list the amount paid to insiders (as defined in Section 101(31)(A)-(F) of the U.S. Bankruptcy Code) and the professionals. Also, for insiders identify the type of compensation paid (e.g., salary, commission, bonus, etc.) (Attach additional pages as necessary.)
FILING TO INSIDERS: NAME/POSITION/COMP TYPE (2) 8/31/2001 (1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE - ------------------------------------- ------------- -------- -------- -------- -------- -------- --------- 1. $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2. -- -- -- -- -- -- -- 3. -- -- -- -- -- -- -- 4. -- -- -- -- -- -- -- 5. -- -- -- -- -- -- -- 6. -- -- -- -- -- -- -- 7. -- -- -- -- -- -- -- 8. -- -- -- -- -- -- -- 9. -- -- -- -- -- -- -- TOTAL INSIDERS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ --
PROFESSIONALS FILING TO NAME/ORDER DATE 8/31/2001 (1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE --------------- ------------- -------- -------- -------- -------- -------- --------- 1. $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2. -- -- -- -- -- -- -- 3. -- -- -- -- -- -- -- 4. -- -- -- -- -- -- -- 5. -- -- -- -- -- -- -- 6. -- -- -- -- -- -- -- TOTAL PROFESSIONALS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ --
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01. (2) THE DEBTOR HAS LIMITED THE SCOPE OF ITS ANSWER TO (i) DIRECTORS, (ii) OFFICERS DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SECURITIES AND EXCHANGE ACT OF 1934, (iii) AFFILIATES ; AND (iv) PARTIES TO THE VOTING AGREEMENT GRANTING AUTHORITY TO DESIGNATED THE NOMINEES WHO BENEFIT FROM THE VOTING AGREEMENT. INFORMATION AS TO OFFICERS WHO ARE NOT DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SEC ACT OF 1934 HAS BEEN COMPLIED BY THE DEBTOR AND WILL BE PROVIDED TO THE OFFICE OF THE UNITED STATES TRUSTEE AND TO THE COUNCIL FOR THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS UPON REQUEST. SUCH INFORMATION PRIMARILY RELATES TO COMPENSATION, BENEFITS AND EXPENSE REIMBURSEMENTS PAYMENTS MADE TO SUCH OFFICERS AS EMPLOYEES OF THE DEBTOR. IT IS THE POLICY OF THE DEBTOR TO PRESERVE THE CONFIDENTIALITY OF SUCH INFORMATION ON BEHALF OF ITS EMPLOYEES. (3) ALL PAYMENTS TO DIRECTORS AND OFFICERS, AS DEFINED IN FOOTNOTE (2) ABOVE, ARE MADE BY STERLING CHEMICALS, INC., A JOINTLY ADMINISTERED DEBTOR (CASE #01-37806-H4-11. MOR-9 EX-99.5 7 h92775ex99-5.txt MONTHLY OPERATING RPT. STERLING CHEMICALS INT'L EXHIBIT 99.5 UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF TEXAS HOUSTON DIVISION CASE NAME: STERLING CHEMICALS INTERNATIONAL, INC. PETITION DATE: 07/16/01 CASE NUMBER: 01-37809-H4-11 MONTHLY OPERATING REPORT SUMMARY FOR MONTH: OCTOBER YEAR: 2001
MONTH 7/16/01-8/31/01 9/30/01 - ------------------------------------------------------------------------------------------------------------------------------------ REVENUES (MOR-6) $ 123,655 $ (460,327) $ 83,333 $ -- $ -- $ -- INCOME BEFORE INT. DEPREC./TAX (MOR-6) $ 110,646 $ (460,327) $ 72,339 $ -- $ -- $ -- NET INCOME (LOSS) (MOR-6) $ 19,648 $ (520,992) $ 11,674 $ -- $ -- $ -- PAYMENTS TO INSIDERS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- PAYMENTS TO PROFESSIONALS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- TOTAL DISBURSEMENTS (MOR-7) $ -- $ -- $ -- $ -- $ -- $ --
***The original of this document MUST BE FILED with the United States Bankruptcy Court and a COPY MUST BE SENT to the United States Trustee*** REQUIRED INSURANCE MAINTAINED AS OF SIGNATURE DATE EXP. See attachment 2 DATE - ----------------------------- CASUALTY YES (x) NO ( ) 08-01-02 LIABILITY YES (x) NO ( ) 07-01-02 VEHICLE YES (x) NO ( ) 07-01-02 WORKER'S YES (x) NO ( ) 07-01-02 OTHER YES (x) NO ( ) various ATTORNEY NAME: Jeff Spiers FIRM: Andrews & Kurth LLP ADDRESS: 600 Travis ADDRESS: Suite 4200 CITY, STATE ZIP: Houston, TX 77002 TELEPHONE: 713-220-4103 Are all accounts receivable being collected within terms? NO Are all post-petition liabilities, including taxes, being paid with terms? YES Have any pre-petition liabilities been paid? NO If so, describe - -------------------------------------------------------------------------------- Are all funds received being deposited into DIP bank accounts? YES Were any assets disposed of outside the normal course of business? NO If so, describe ----------------------------------------------------------------- Are all U.S. Trustee Quarterly Fee Payments current? YES What is the status of your Plan of Reorganization? A Plan of Reorganization is currently being developed. - -------------------------------------------------------------------------------- I certify under penalty of perjury that the following complete Monthly Operating Report (MOR), consisting of MOR-1 through MOR-9 plus attachments, is true and correct. SIGNED /s/ PAUL VANDERHOVEN ------------------------------------------- (ORIGINAL SIGNATURE) TITLE VP Finance, CFO ------------------------------------------- MOR-1 CASE NAME: STERLING CHEMICALS INTERNATIONAL, INC. CASE NUMBER: 01-37809-H4-11
PAID COVERAGE POLICY PERIOD POLICY NO. LIMITS CARRIER THROUGH - ------------------------------------------------------------------------------------------------------------------------------------ See Attachment 2
MOR-1 ATTACHMENT 2 Page 3 of 13 11/19/01 SUMMARY OF COVERAGES FOR STERLING CHEMICALS HOLDINGS, INC.
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE - --- ----------------- -------------- ------------- ---- ------ 1 Workers Compensation Statutory - $1,000,000 Employers American Guar. 1 year 7/1/02 Liability. Zurich US Ded. $250,000 per accident. 2 Automobile Liability $2,000,000 ea. occurrence. Ded. American Guar. 1 year 7/1/02 $25,000 per occurrence. Zurich Amer. 3 Excess Liability $5,000,000 ea. occurrence and Primex, Ltd 1 year 7/1/02 Excess to $1 Million SIR aggregate. Excess $1,000,000 GL $2,000,000 AL. 4 Excess Liability $20,000,000 ea. loss and Primex, Ltd. 1 year 7/1/02 aggregate. (Reinsured through AIG.) 5 Excess Liability $50,000,000 ea. loss and Gerling Global 1 year 7/1/02 aggregate. 6 Excess Liability $100,000,000 ea. loss and Lloyd's 1 year 7/1/02 aggregate. Lore 7 Excess Liability $50,000,000 Zurich 1 year 7/1/02 8 Excess Liability $50,000,000 AIG 1 year 7/1/02 NO. TYPE OF INSURANCE EXPOSURE BASE ANNUAL PREMIUM - --- ----------------- ------------- -------------- 1 Workers Compensation Total annual $195,653 - Audit at (AFCO) remuneration expiration. Plus all losses within deductible. 2 Automobile Liability Number of vehicles $92,955 (AFCO) owned and leased 3 Excess Liability Annual revenues and $451,090 Annual - Half on 7/1/01; 1/2 Excess to $1 Million SIR remuneration on 1/1/02. 4 Excess Liability Included Included 5 Excess Liability Flat charge - based $295,000 on exposures and risk potential 6 Excess Liability Flat charge - based $241,886 on exposures and risk potential 7 Excess Liability Flat charge $109,210 8 Excess Liability Flat Charge $80,938
Page 4 of 13 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE - --- ----------------- -------------- ------------- ---- ------ 9 Excess Liability $50,000,000 Starr Excess 1 year 7/1/02 10 Marine Terminal $50,000,000 ea. occurrence New Hampshire Ins. 1 year 7/1/02 Operators Liability and Ded. $25,000 per occurrence Co. thru Marsh Charterer's Legal $100,000 pollution per London Liability occurrence. 11 Excess Marine Liability $24,000,000 excess of MTO, CLL, XL Specialty 1 year 7/1/02 P&L Brockbank & Liberty Und. 12 Excess Marine Liability $25,000,000 excess $24,000,000 XL Specialty 1 year 7/1/02 Brockbank & N.Y. Marine Gen. Ins. 13 Property Damage, $ Total insured values combined Munich Re: et. al. 1 year 8/1/02 Business Interruption all-risk. Sublimits: Flood - and Boiler & Machinery $100 mil., Earthquake - $100 mil., $10 mil extra expense. Ded.: Petrochem $1,000,000 PD, 10 day - BI. Pulp & Fibers - $1 mil. PD/BI. 14 Directors & Officers $15,000,000 each loss and each National Union 1 year 8/21/02 Liability policy year. Ded. $1,000,000 Indemnity Corp. Reimb. 15 Excess Directors & $10,000,000 excess of Primary D&O Hartford 1 year 8/21/02 Officers Liability 16 Directors & Officers $10,000,000 XL Specialty Ins. 1 year 8/21/02 Liability Co. NO. TYPE OF INSURANCE EXPOSURE BASE ANNUAL PREMIUM - --- ----------------- ------------- -------------- 9 Excess Liability Flat Charge $62,500 10 Marine Terminal Based on volume $27,000 (AFCO) Min. premium & deposit. Operators Liability and throughput and no. Charterer's Legal chartered vessels. Liability 11 Excess Marine Liability Volume thru put & $57,375 vessels docked. 12 Excess Marine Liability Flat $21,250 13 Property Damage, Property Values - Annual - Financed through AFCO. Business Interruption PD Income values - $4.0M (est.) and Boiler & Machinery BI PML, fire protection available; many other factors. 14 Directors & Officers Various $316,000 (15 mos.) Liability 15 Excess Directors & Various $223,700 (15 mos.) Officers Liability 16 Directors & Officers Various $115,000 (15 mos.) Liability
Page 5 of 13 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE - --- ----------------- -------------- ------------- ---- ------ 17 Employee Dishonesty & $5,000,000 each Insuring Texas Pacific 1 year 10/1/02 Depositor's Forgery Agreement. Ded. $50,000. Chubb 18 Hull & Machinery and Barge Hull Value Zurich-American 1 year 7/1/02 Protection & Indemnity (M-25 = $1,500,000) Insurance Co. Ded. $5,000 per loss. $1,000,000 P&I 19 Pollution Insurance Section A - $250,000 Water Quality 1 year 7/1/02 Section B - $5,000,000 Insurance Syndicate CERCLA - $5,000,000 20 Marine and Railroad Cargo $12,000,000 any one vessel Mutual Marine 1 year Continuing $1,000,000 any one barge $1,000,000 any one rail ship. $100,000 any one truck 21 Duty Drawback Bond $1,000,000 Washington 1 year Continuing International 22 Fiduciary $10,000,000 National Union 1 year 8/21/02 Ded. $250,000 per occurrence 23 Environmental Impairment $4,000,000 per loss ECS 1 year 1/15/02 Liability (Petrochem & $8,000,000 aggregate (Indian Harbor) Fibers) 24 Closure/Post Closure $1,995,222 Combined Underwriters 1 year Continuous Bonds - Petrochem Indemnity NO. TYPE OF INSURANCE EXPOSURE BASE ANNUAL PREMIUM - --- ----------------- ------------- -------------- 17 Employee Dishonesty & Various $14,450 Depositor's Forgery 18 Hull & Machinery and Hull & Machinery $29,378 (AFCO) Protection & Indemnity values 19 Pollution Insurance Hull gross $4,258 (AFCO) registered tonnage 20 Marine and Railroad Cargo Declared shipment $40,000 Annual Approx. values 21 Duty Drawback Bond Limit $2,875 22 Fiduciary Various $22,000 - Financed through Imperial. 23 Environmental Impairment Loss Potential $106,200 - Financed through AFCO. Liability (Petrochem & Fibers) 24 Closure/Post Closure Estimated $40,610 Bonds - Petrochem Closure/Post Closure Costs ANNUAL TOTAL: $3,459,260 *
*Total fluctuates due to cargo premiums dependence upon volume of CIF export shipments and annual audits of Worker's Compensation and Marine Terminal policies. STERLING CHEMICALS HOLDINGS, INC. (ALL DEBTORS) CONSOLIDATING BALANCE SHEET FOR THE PERIOD ENDED OCTOBER 31, 2001 (In Thousands) (Unaudited)
-------------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS HOLDINGS INC. INC. ENERGY, INC. INC. ASSETS 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 -------------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ 1,365 $ 926 $ -- $ 298 Trade accounts receivable, net -- 42,481 (2) 3,165 Other Receivables -- 2,577 -- -- Due from affiliates -- 20,172 12,392 3,977 Inventories -- 26,722 -- 8,921 Prepaid expenses 29 3,319 -- 69 Deferred income tax benefit -- -- -- -- ---------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 1,394 96,197 12,390 16,430 Property, plant and equipment, net -- 126,224 3,262 6,263 Deferred income taxes -- -- -- -- Investments-Third Party -- 1,500 4,556 -- Investments in Subs 35,060 95,072 -- -- Other assets 7,337 23,831 -- 1,404 ---------------------------------------------------------------------------------- TOTAL ASSETS $ 43,791 $ 342,824 $ 20,208 $ 24,097 ================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 63 103,386 1,645 5,964 Pre-Petition liabilities: Notes Payable - Secured * -- 227,848 -- 57,221 Secured Debt Accrued Interest * -- 22,400 -- 5,645 Unsecured debt 192,878 278,365 1,110 70,981 Other / Intercompany -- 201,020 -- -- Deferred income taxes -- -- -- -- ---------------------------------------------------------------------------------- Common stock held by new ESOP -- 254 -- 35 Less: Unearned compensation -- (458) -- 458 Redeemable preferred stock 27,567 (15,894) -- 15,891 STOCKHOLDERS' EQUITY: -- Common stock, $.01 par value -- 75 1 -- Additional paid-in capital (367,555) (232,797) -- 9,339 Retained earnings-Filing Date 191,923 (212,503) 15,333 (137,929) Retained earnings-Post Filing Date (1,085) (26,197) 2,119 (3,508) Pension adjustment -- (135) -- -- Accumulated translation adj. -- -- -- -- Deferred compensation -- (3) -- -- ---------------------------------------------------------------------------------- (176,717) (471,560) 17,453 (132,098) Treasury stock at cost -- (2,537) -- -- ---------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY (176,717) (474,097) 17,453 (132,098) TOTAL LIABILITIES AND EQUITY $ 43,791 $ 342,824 $ 20,208 $ 24,097 ==================================================================================
------------------------------------------------------------------------------------------ STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. ASSETS 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------------------------------------------------------------------------------ Current Assets: Cash and cash equivalents $ -- $ 329 $ -- $ 239 Trade accounts receivable, net -- 2,254 938 4,681 Other Receivables -- 4,357 -- -- Due from affiliates 2,717 46,929 1,389 6,729 Inventories -- -- 163 1,403 Prepaid expenses (283) -- -- -- Deferred income tax benefit -- -- -- -- --------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 2,434 53,869 2,490 13,052 Property, plant and equipment, net -- -- -- 43,965 Deferred income taxes -- -- -- -- Investments-Third Party -- -- -- -- Investments in Subs -- 297,229 3,119 -- Other assets 2,731 6,822 -- -- --------------------------------------------------------------------------------- TOTAL ASSETS $ 5,165 $ 357,920 $ 5,609 $ 57,017 ================================================================================= LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 24 19,946 1,157 2,438 Pre-Petition liabilities: Notes Payable - Secured * 3,652 67,152 -- -- Secured Debt Accrued Interest * 361 6,625 -- -- Unsecured debt 840 265,155 170 62,478 Other / Intercompany -- 5,655 -- Deferred income taxes -- -- -- -- --------------------------------------------------------------------------------- Common stock held by new ESOP -- -- -- -- Less: Unearned compensation -- -- -- -- Redeemable preferred stock -- -- -- -- STOCKHOLDERS' EQUITY: Common stock, $.01 par value -- 48 -- -- Additional paid-in capital -- 83,348 5,438 3,118 Retained earnings-Filing Date 779 (90,594) (877) (10,909) Retained earnings-Post Filing Date (491) 585 (279) (108) Pension adjustment -- -- -- -- Accumulated translation adj. -- -- -- -- Deferred compensation -- -- -- -- --------------------------------------------------------------------------------- 288 (6,613) 4,282 (7,899) Treasury stock at cost -- -- -- -- --------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY 288 (6,613) 4,282 (7,899) TOTAL LIABILITIES AND EQUITY $ 5,165 $ 357,920 $ 5,609 $ 57,017 =================================================================================
------------------------------------ DEBTORS ASSETS ELIMINATIONS CONSOLIDATED ------------------------------------ Current Assets: Cash and cash equivalents $ -- $ 3,157 Trade accounts receivable, net -- 53,517 Other Receivables -- 6,934 Due from affiliates (87,992) 6,313 Inventories -- 37,209 Prepaid expenses -- 3,134 Deferred income tax benefit -- -- ---------------------------------- TOTAL CURRENT ASSETS (87,992) 110,264 Property, plant and equipment, net -- 179,714 Deferred income taxes -- -- Investments-Third Party -- 6,056 Investments in Subs (385,026) 45,454 Other assets (1) 42,124 ---------------------------------- TOTAL ASSETS $(473,019) $ 383,612 ================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) (29,772) 104,851 Pre-Petition liabilities: Notes Payable - Secured * (60,873) 295,000 Secured Debt Accrued Interest * (6,006) 29,025 Unsecured debt (131,744) 740,233 Other / Intercompany (201,020) 5,655 Deferred income taxes -- -- Common stock held by new ESOP -- 289 Less: Unearned compensation -- -- Redeemable preferred stock -- 27,564 STOCKHOLDERS' EQUITY: -- Common stock, $.01 par value (1) 123 Additional paid-in capital (43,603) (542,712) Retained earnings-Filing Date -- (244,777) Retained earnings-Post Filing Date -- (28,964) Pension adjustment -- (135) Accumulated translation adj. -- -- Deferred compensation -- (3) ---------------------------------- (43,604) (816,468) Treasury stock at cost -- (2,537) ---------------------------------- TOTAL STOCKHOLDERS' EQUITY (43,604) (819,005) TOTAL LIABILITIES AND EQUITY $(473,019) $ 383,612 ==================================
* Senior Secured Notes were issued by Sterling Chemicals, Inc., but a percentage is pushed down to the subsidiaries. MOR 2 - 3 CASE NAME: STERLING CHEMICALS INTERNATIONAL, INC. CASE NUMBER: 01-37809-H4-11 SCHEDULE OF POST-PETITION LIABILITIES
---------------------------------------------------------------------------------------------- 8/31/2001(1) 9/30/01 10/31/01 MONTH MONTH MONTH ---------------------------------------------------------------------------------------------- TRADE ACCOUNTS PAYABLE $ 13 $ 13 $ 24 $ -- $ -- $ -- ROYALTY AND REVENUE PAYABLE -- -- -- -- -- -- NOTES PAYABLE -- -- -- -- -- -- TAX PAYABLE: -- -- -- -- -- -- Federal Payroll Taxes -- -- -- -- -- -- State Payroll & Sales -- -- -- -- -- -- Ad Valorem Taxes -- -- -- -- -- -- Other Taxes -- -- -- -- -- -- TOTAL TAXES PAYABLE $ -- $ -- $ -- $ -- $ -- $ -- SECURED DEBT POST-PETITION -- -- -- -- -- -- ACCRUED INTEREST PAYABLE -- -- -- -- -- -- *ACCRUED PROFESSIONAL FEES: -- -- -- -- -- -- OTHER ACCRUED LIABILITIES: 1. General and Administrative Costs -- -- -- -- -- -- 2. Lease Operating Expenses/Capital -- -- -- -- -- -- TOTAL POST-PETITION LIABILITIES (MOR-3) $ 13 $ 13 $ 24 $ -- $ -- $ -- ====================================================================================================================================
*Payment Requires Court Approval (1) Represents the period 7/17/01 thru 08/31/01 MOR-4 CONSOLIDATED DEBTORS(1) AGING OF POST-PETITION LIABILITIES MONTH 10/31/2001 -------
AD-VALOREM, ROYALTY DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES AND INSURANCE - ----- ----------- ------------- -------------- -------------- -------------- --------------- 0-30 $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- 31-60 -- -- -- -- -- -- 61-90 -- -- -- -- -- -- 91 + -- -- -- -- -- -- TOTAL $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ --
AGING OF ACCOUNTS RECEIVABLE(1)
MONTH - ----- ----------- ------------- -------------- -------------- -------------- --------------- 0-30 $ 45,074 $ 45,074 $ -- $ -- $ -- $ -- 31-60 1,353 1,353 -- -- -- -- 61-90 2,793 2,793 -- -- -- -- 91 + 13,412 13,412 -- -- -- -- TOTAL $ 62,632 $ 62,632 $ -- $ -- $ -- $ --
(1) MOR 5 is presented only on a consolidated debtor basis. (2) Days aging from due date. (3) Days aging from invoice due date. MOR-5 CASE NAME: STERLING CHEMICALS HOLDINGS, INC (ALL DEBTORS) FOR THE MONTH ENDING OCTOBER 31, 2001 STATEMENT OF INCOME (LOSS)
STERLING STERLING STERLING STERLING STERLING CHEMICALS CHEMICALS, CHEMICALS FIBERS, CHEMICALS HOLDINGS, INC. INC. ENERGY, INC. INC. INT'L, INC. 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 01-37809-H4-11 ---------------------------------------------------------------------------------- MONTH REVENUES (MOR-1) $ -- $ 21,691,268 $ 155,612 $ 1,891,936 $ 83,333 TOTAL COST OF REVENUES -- 20,932,563 155,612 2,007,647 -- GROSS PROFIT $ -- $ 758,705 $ -- $ (115,711) $ 83,333 =================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 61,848 $ 506,893 $ -- $ 193,547 $ 10,994 Insiders Compensation -- 156,110 -- -- -- Professional Fees -- 1,045,068 -- -- -- Other (Earnings in Joint Venture) -- 600,671 (600,671) -- -- TOTAL OPERATING EXPENSE $ 61,848 $ 2,308,742 $ (600,671) $ 193,547 $ 10,994 =================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ (61,848) $ (1,550,037) $ 600,671 $ (309,258) $ 72,339 INTEREST EXPENSE (includes amort of debt fees) (5,722) 2,401,351 -- 614,434 37,665 DEPRECIATION -- 1,899,369 -- 48,077 23,000 OTHER (INCOME) EXPENSES* -- -- -- -- -- OTHER ITEMS** -- -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ (5,722) $ 4,300,720 $ -- $ 662,511 $ 60,665 =================================================================================================================================== NET INCOME BEFORE TAXES $ (56,126) $ (5,850,757) $ 600,671 $ (971,769) $ 11,674 INCOME TAXES -- -- 28,531 -- -- =================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ (56,126) $ (5,850,757) $ 572,140 $ (971,769) $ 11,674 =================================================================================================================================== STERLING STERLING PULP STERLING PULP CANADA, CHEMICALS US, CHEMICALS, INC. INC. INC. DEBTORS 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ELIMINATIONS CONSOLIDATED ---------------------------------------------------------------------------------- MONTH REVENUES (MOR-1) $ 1,076,560 $ 289,723 $ 3,168,738 $ (83,333) $ 28,273,837 TOTAL COST OF REVENUES 46,938 530,074 2,134,415 (83,333) 25,723,916 GROSS PROFIT $ 1,029,622 $ (240,351) $ 1,034,323 $ -- $ 2,549,921 =================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 242,991 $ (106,553) $ 628,398 $ (452,308) 1,085,810 Insiders Compensation -- -- -- -- 156,110 Professional Fees -- -- -- -- 1,045,068 Other (Earnings in Joint Venture) -- -- -- -- -- -- -- TOTAL OPERATING EXPENSE $ 242,991 $ (106,553) $ 628,398 $ (452,308) $ 2,286,988 =================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 786,631 $ (133,798) $ 405,925 $ 452,308 262,933 INTEREST EXPENSE (includes amort of debt fees) 160,379 -- -- 452,308 3,660,415 DEPRECIATION 485,795 -- 405,189 -- 2,861,430 OTHER (INCOME) EXPENSES* -- -- -- -- -- OTHER ITEMS** -- -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 646,174 $ -- $ 405,189 $ 452,308 $ 6,521,845 =================================================================================================================================== NET INCOME BEFORE TAXES $ 140,457 $ (133,798) $ 736 $ -- $ (6,258,912) INCOME TAXES -- -- -- -- 28,531 =================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ 140,457 $ (133,798) $ 736 $ -- $ (6,287,443) ===================================================================================================================================
Accrual Accounting Required, Otherwise Footnote With Explanation * Footnote Mandatory ** Unusual and/or frequent item(s) outside the ordinary course of business; requires footnote MOR-6 CASE NAME: STERLING CHEMICALS INTERNATIONAL CASE NUMBER: 01-37809-H4-11 Chase Bank of Texas - #00100551903
CASH RECEIPTS AND FILING TO DISBURSEMENTS 8/31/2001(1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 DATE - ----------------- ------------ ---------- ---------- ---------- ---------- ---------- ---------- 1. CASH-BEGINNING OF MONTH -- -- -- -- -- -- -- RECEIPTS: 2. CASH SALES -- -- -- -- -- -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE -- -- -- -- -- -- -- 4. LOANS & ADVANCES (attach list) -- -- -- -- -- -- -- 5. SALE OF ASSETS -- -- -- -- -- -- -- 6. OTHER (attach list) -- -- -- -- -- -- -- TOTAL RECEIPTS -- -- -- -- -- -- -- (Withdrawal) Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A N/A N/A DISBURSEMENTS: 7. NET PAYROLL -- -- -- -- -- -- -- 8. PAYROLL TAXES PAID -- -- -- -- -- -- -- 9. SALES, USE & OTHER TAXES PAID -- -- -- -- -- -- -- 10. SECURED/RENTAL/LEASES -- -- -- -- -- -- -- 11. UTILITIES -- -- -- -- -- -- -- 12. INSURANCE -- -- -- -- -- -- -- 13. INVENTORY PURCHASES -- -- -- -- -- -- -- 14. VEHICLE EXPENSES -- -- -- -- -- -- -- 15. TRAVEL & ENTERTAINMENT -- -- -- -- -- -- -- 16. REPAIRS, MAINTENANCE & SUPPLIES -- -- -- -- -- -- -- 17. ADMINISTRATIVE & SELLING -- -- -- -- -- -- -- 18. OTHER (attach list) -- -- -- -- -- -- -- TOTAL DISBURSEMENTS FROM OPERATIONS -- -- -- -- -- -- -- 19. PROFESSIONAL FEES -- -- -- -- -- -- -- 20. U.S. TRUSTEE FEES -- -- -- -- -- -- -- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- -- -- -- TOTAL DISBURSEMENTS -- -- -- -- -- -- -- 22. NET CASH FLOW -- -- -- -- -- -- -- 23. CASH - END OF MONTH (MOR-2) -- -- -- -- -- -- --
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING CHEMICALS INTERNATIONAL CASE NUMBER: 01-37809-H4-11 Chase Bank of Texas - #00100551903
OTHER CASH RECEIPTS AND FILING TO DISBURSEMENTS: 8/31/2001(1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 DATE ----------------------- ------------ ---------- ---------- ---------- ---------- ---------- ---------- 6. OTHER RECEIPTS: Interest Income -- -- -- -- -- -- -- 401(k) Plan Refund -- -- -- -- -- -- -- Cobra Insurance Payment -- -- -- -- -- -- -- Miscellaneous -- -- -- -- -- -- -- Royalty Owners Trust Account Emission Credits -- -- -- -- -- -- -- TOTAL OTHER RECEIPTS -- -- -- -- -- -- -- 18. OTHER DISBURSEMENTS: Lease Operating Expense Workover Expense Capital Expenditures -- -- -- -- -- -- -- Revenue & Royalties Interest Payment -- -- -- -- -- -- -- Restricted Cash - Bond Funding -- -- -- -- -- -- -- Severance Tax Pre-petition checks voided in current period -- -- -- -- -- -- -- TOTAL OTHER DISBURSEMENTS -- -- -- -- -- -- --
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 ATTACHMENT CASE NAME: Sterling Chemicals International, Inc. CASE NUMBER: 01-37809-H4-11 CASH ACCOUNT RECONCILIATION MONTH OF OCTOBER 2001
BANK NAME Chase Bk of TX ACCOUNT NUMBER 00100551903 ACCOUNT TYPE Concentration TOTAL - ------------ -------------- ----- BANK BALANCE $ -- DEPOSIT IN TRANSIT -- OUTSTANDING CHECKS -- OTHER ADJUSTED BANK BALANCE $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- BEGINNING CASH - PER BOOKS $ -- RECEIPTS -- TRANSFERS BETWEEN ACCOUNTS -- (WITHDRAWAL) CONTRIBUTION- -- BY INDIVIDUAL DEBTOR MFR-2 -- CHECKS/OTHER DISBURSEMENTS -- ENDING CASH - PER BOOKS $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ --
Note: Bank statements have not been received in time to complete this report. Future reports will include reconciliations for the prior month. MOR-8 CASE NAME: STERLING CHEMICALS INTERNATIONAL, INC. CASE NUMBER: 01-37809-H4-11 PAYMENT TO INSIDERS AND PROFESSIONALS Of the total disbursements shown for the month, list the amount paid to insiders (as defined in Section 101(31)(A)-(F) of the U.S. Bankruptcy Code) and the professionals. Also, for insiders identify the type of compensation paid (e.g., salary, commission, bonus, etc.) (Attach additional pages as necessary.)
FILING TO INSIDERS: NAME/POSITION/COMP TYPE (2) 8/31/2001(1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE ------------------------------------- ------------ ---------- ---------- ---------- ---------- ---------- ---------- 1. $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2. -- -- -- -- -- -- -- 3. -- -- -- -- -- -- -- 4. -- -- -- -- -- -- -- 5. -- -- -- -- -- -- -- 6. -- -- -- -- -- -- -- 7. -- -- -- -- -- -- -- 8. -- -- -- -- -- -- -- 9. -- -- -- -- -- -- -- TOTAL INSIDERS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ --
PROFESSIONALS FILING TO NAME/ORDER DATE 8/31/2001(1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 DATE --------------- ------------ ---------- ---------- ---------- ---------- ---------- ---------- 1. $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2. -- -- -- -- -- -- -- 3. -- -- -- -- -- -- -- 4. -- -- -- -- -- -- -- 5. -- -- -- -- -- -- -- 6. -- -- -- -- -- -- -- TOTAL PROFESSIONALS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ --
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01. (2) THE DEBTOR HAS LIMITED THE SCOPE OF ITS ANSWER TO (i) DIRECTORS, (ii) OFFICERS DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SECURITIES AND EXCHANGE ACT OF 1934, (iii) AFFILIATES; AND (iv) PARTIES TO THE VOTING AGREEMENT GRANTING AUTHORITY TO DESIGNATED THE NOMINEES WHO BENEFIT FROM THE VOTING AGREEMENT. INFORMATION AS TO OFFICERS WHO ARE NOT DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SEC ACT OF 1934 HAS BEEN COMPLIED BY THE DEBTOR AND WILL BE PROVIDED TO THE OFFICE OF THE UNITED STATES TRUSTEE AND TO THE COUNCIL FOR THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS UPON REQUEST. SUCH INFORMATION PRIMARILY RELATES TO COMPENSATION, BENEFITS AND EXPENSE REIMBURSEMENTS PAYMENTS MADE TO SUCH OFFICERS AS EMPLOYEES OF THE DEBTOR. IT IS THE POLICY OF THE DEBTOR TO PRESERVE THE CONFIDENTIALITY OF SUCH INFORMATION ON BEHALF OF ITS EMPLOYEES. (3) ALL PAYMENTS TO DIRECTORS AND OFFICERS, AS DEFINED IN FOOTNOTE (2) ABOVE, ARE MADE BY STERLING CHEMICALS, INC., A JOINTLY ADMINISTERED DEBTOR (CASE #01-37806-H4-11. MOR-9 EX-99.6 8 h92775ex99-6.txt MONTHLY OPERATING RPT. STERLING CANADA, INC. EXHIBIT 99.6 UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF TEXAS HOUSTON DIVISION CASE NAME: STERLING CANADA, INC. PETITION DATE: 07/16/01 CASE NUMBER: 01-37810-H4-11 MONTHLY OPERATING REPORT SUMMARY FOR MONTH: OCTOBER YEAR: 2001
MONTH 7/16/01-8/31/01 9/30/2001 10/31/2001 - -------------------------------------------------------------------------------------------------------------- REVENUES (MOR-6) $ 1,688,935 $ 1,122,478 $ 1,076,560 $-- $-- $-- INCOME BEFORE INT. DEPREC./TAX (MOR-6) $ 1,252,362 $ 884,743 $ 786,631 $-- $-- $-- NET INCOME (LOSS) (MOR-6) $ 282,441 $ 162,907 $ 140,457 $-- $-- $-- PAYMENTS TO INSIDERS (MOR-9) $ -- $ -- $ -- $-- $-- $-- PAYMENTS TO PROFESSIONALS (MOR-9) $ -- $ -- $ -- $-- $-- $-- TOTAL DISBURSEMENTS (MOR-7) $22,340,404 $ 1,289,890 $ 2,681,498 $-- $-- $--
***The original of this document MUST BE FILED with the United States Bankruptcy Court and a COPY MUST BE SENT to the United States Trustee*** REQUIRED INSURANCE MAINTAINED AS OF SIGNATURE DATE EXP. See attachment 2 DATE - ------------------------------ CASUALTY YES (x) NO ( ) 08-01-02 LIABILITY YES (x) NO ( ) 07-01-02 VEHICLE YES (x) NO ( ) 07-01-02 WORKER'S YES (x) NO ( ) 07-01-02 OTHER YES (x) NO ( ) various ATTORNEY NAME: Jeff Spiers FIRM: Andrews & Kurth LLP ADDRESS: 600 Travis ADDRESS: Suite 4200 CITY, STATE ZIP: Houston, TX 77002 TELEPHONE: 713-220-4103 Are all accounts receivable being collected within terms? NO Are all post-petition liabilities, including taxes, being paid with terms? YES Have any pre-petition liabilities been paid? NO If so, describe - -------------------------------------------------------------------------------- Are all funds received being deposited into DIP bank accounts? YES Were any assets disposed of outside the normal course of business? NO If so, describe ----------------------------------------------------------------- Are all U.S. Trustee Quarterly Fee Payments current? YES What is the status of your Plan of Reorganization? A Plan of Reorganization is currently being developed. - -------------------------------------------------------------------------------- I certify under penalty of perjury that the following complete Monthly Operating Report (MOR), consisting of MOR-1 through MOR-9 plus attachments, is true and correct. SIGNED /s/ PAUL VANDERHOVEN ------------------------------------------------------- (ORIGINAL SIGNATURE) TITLE VP Finance, CFO ------------------------------------------------------- MOR-1 CASE NAME: STERLING CANADA, INC. CASE NUMBER: 01-37810-H4-11
PAID COVERAGE POLICY PERIOD POLICY NO. LIMITS CARRIER THROUGH - ------------------------------------------------------------------------------------------------------------------------------------ See Attachment 2
MOR-1 ATTACHMENT 2 Page 3 of 14 11/19/01 SUMMARY OF COVERAGES FOR STERLING CHEMICALS HOLDINGS, INC.
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE - --- ----------------- -------------- ------------- ---- ------ 1 Workers Compensation Statutory - $1,000,000 Employers American Guar. 1 year 7/1/02 Liability. Zurich US Ded. $250,000 per accident. 2 Automobile Liability $2,000,000 ea. occurrence. American Guar. 1 year 7/1/02 Ded. $25,000 per occurrence. Zurich Amer. 3 Excess Liability $5,000,000 ea. occurrence and Primex, Ltd 1 year 7/1/02 Excess to $1 Million SIR aggregate. Excess $1,000,000 GL $2,000,000 AL. 4 Excess Liability $20,000,000 ea. loss and aggregate. Primex, Ltd. 1 year 7/1/02 (Reinsured through AIG.) 5 Excess Liability $50,000,000 ea. loss and aggregate. Gerling Global 1 year 7/1/02 6 Excess Liability $100,000,000 ea. loss and aggregate. Lloyd's 1 year 7/1/02 Lore 7 Excess Liability $50,000,000 Zurich 1 year 7/1/02 8 Excess Liability $50,000,000 AIG 1 year 7/1/02 NO. TYPE OF INSURANCE EXPOSURE BASE ANNUAL PREMIUM - --- ----------------- ------------- -------------- 1 Workers Compensation Total annual $195,653 - Audit at (AFCO) expiration. remuneration Plus all losses within deductible. 2 Automobile Liability Number of vehicles $92,955 (AFCO) owned and leased 3 Excess Liability Annual revenues and $451,090 Annual - Half on 7/1/01; 1/2 on Excess to $1 Million SIR remuneration 1/1/02. 4 Excess Liability Included Included 5 Excess Liability Flat charge - based $295,000 on exposures and risk potential 6 Excess Liability Flat charge - based $241,886 on exposures and risk potential 7 Excess Liability Flat charge $109,210 8 Excess Liability Flat Charge $80,938
Page 4 of 14 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE - --- ----------------- -------------- ------------- ---- ------ 9 Excess Liability $50,000,000 Starr Excess 1 year 7/1/02 10 Marine Terminal Operators $50,000,000 ea. occurrence. New Hampshire Ins. 1 year 7/1/02 Liability and Charterer's Ded. $25,000 per occurrence $100,000 Co. thru Marsh London Legal Liability pollution per occurrence. 11 Excess Marine Liability $24,000,000 excess of MTO, CLL, P&L XL Specialty 1 year 7/1/02 Brockbank & Liberty Und. 12 Excess Marine Liability $25,000,000 excess $24,000,000 XL Specialty 1 year 7/1/02 Brockbank & N.Y. Marine Gen. Ins. 13 Property Damage, Business $ Total insured values combined Munich Re: et. al. 1 year 8/1/02 Interruption and Boiler & all-risk. Sublimits: Flood - $100 Machinery mil., Earthquake - $100 mil., $10 mil extra expense. Ded.: Petrochem $1,000,000 PD, 10 day - BI. Pulp & Fibers - $1 mil. PD/BI. 14 Directors & Officers $15,000,000 each loss and each policy National Union 1 year 8/21/02 Liability year. Ded. $1,000,000 Corp. Reimb. Indemnity 15 Excess Directors & Officers $10,000,000 excess of Primary D&O Hartford 1 year 8/21/02 Liability 16 Directors & Officers $10,000,000 XL Specialty Ins. Co. 1 year 8/21/02 Liability NO. TYPE OF INSURANCE EXPOSURE BASE ANNUAL PREMIUM - --- ----------------- ------------- -------------- 9 Excess Liability Flat Charge $62,500 10 Marine Terminal Operators Based on volume $27,000 (AFCO) Min. premium & deposit. Liability and Charterer's throughput and no. Legal Liability chartered vessels. 11 Excess Marine Liability Volume thru put & $57,375 vessels docked. 12 Excess Marine Liability Flat $21,250 13 Property Damage, Business Property Values - Annual - Financed through AFCO. $4.0M Interruption and Boiler & PD Income values - (est.) Machinery BI PML, fire protection available; many other factors. 14 Directors & Officers Various $316,000 (15 mos.) Liability 15 Excess Directors & Officers Various $223,700 (15 mos.) Liability 16 Directors & Officers Various $115,000 (15 mos.) Liability
Page 5 of 14 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE - --- ----------------- -------------- ------------- ---- ------ 17 Employee Dishonesty & $5,000,000 each Insuring Agreement. Texas Pacific 1 year 10/1/02 Depositor's Forgery Ded. $50,000. Chubb 18 Hull & Machinery and Barge Hull Value (M-25 = $1,500,000) Zurich-American 1 year 7/1/02 Protection & Indemnity Ded. $5,000 per loss. $1,000,000 P&I Insurance Co. 19 Pollution Insurance Section A - $250,000 Section B - Water Quality 1 year 7/1/02 $5,000,000 CERCLA - $5,000,000 Insurance Syndicate 20 Marine and Railroad Cargo $12,000,000 any one vessel $1,000,000 Mutual Marine 1 year Continuing any one barge $1,000,000 any one rail ship. $100,000 any one truck 21 Duty Drawback Bond $1,000,000 Washington 1 year Continuing International 22 Fiduciary $10,000,000 Ded. $250,000 per National Union 1 year 8/21/02 occurrence 23 Environmental $4,000,000 per loss $8,000,000 ECS (Indian Harbor) 1 year 1/15/02 Impairment Liability aggregate (Petrochem & Fibers) 24 Closure/Post Closure Bonds - $1,995,222 Combined Underwriters 1 year Continuous Petrochem Indemnity NO. TYPE OF INSURANCE EXPOSURE BASE ANNUAL PREMIUM - --- ----------------- ------------- -------------- 17 Employee Dishonesty & Various $14,450 Depositor's Forgery 18 Hull & Machinery and Hull & Machinery $29,378 (AFCO) Protection & Indemnity values 19 Pollution Insurance Hull gross $4,258 (AFCO) registered tonnage 20 Marine and Railroad Cargo Declared shipment $40,000 Annual Approx. values 21 Duty Drawback Bond Limit $2,875 22 Fiduciary Various $22,000 - Financed through Imperial. 23 Environmental Loss Potential $106,200 - Financed through AFCO. Impairment Liability (Petrochem & Fibers) 24 Closure/Post Closure Bonds - Estimated $40,610 Petrochem Closure/Post Closure Costs ANNUAL TOTAL: $3,459,260 *
*Total fluctuates due to cargo premiums dependence upon volume of CIF export shipments and annual audits of Worker's Compensation and Marine Terminal policies. STERLING CHEMICALS HOLDINGS, INC. (ALL DEBTORS) CONSOLIDATING BALANCE SHEET FOR THE PERIOD ENDED OCTOBER 31, 2001 (IN THOUSANDS) (UNAUDITED)
---------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS HOLDINGS INC. INC. ENERGY, INC. INC. ASSETS 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 ---------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ 1,365 $ 926 $ -- $ 298 Trade accounts receivable, net -- 42,481 (2) 3,165 Other Receivables -- 2,577 -- -- Due from affiliates -- 20,172 12,392 3,977 Inventories -- 26,722 -- 8,921 Prepaid expenses 29 3,319 -- 69 Deferred income tax benefit -- -- -- -- ---------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 1,394 96,197 12,390 16,430 Property, plant and equipment, net -- 126,224 3,262 6,263 Deferred income taxes -- -- -- -- Investments-Third Party -- 1,500 4,556 -- Investments in Subs 35,060 95,072 -- -- Other assets 7,337 23,831 -- 1,404 ---------------------------------------------------------------------------------- TOTAL ASSETS $ 43,791 $ 342,824 $ 20,208 $ 24,097 ================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 63 103,386 1,645 5,964 Pre-Petition liabilities: Notes Payable - Secured * -- 227,848 -- 57,221 Secured Debt Accrued Interest * -- 22,400 -- 5,645 Unsecured debt 192,878 278,365 1,110 70,981 Other / Intercompany -- 201,020 -- -- Deferred income taxes -- -- -- -- ---------------------------------------------------------------------------------- -- 254 -- 35 Common stock held by new ESOP -- (458) -- 458 Less: Unearned compensation 27,567 (15,894) -- 15,891 Redeemable preferred stock -- STOCKHOLDERS' EQUITY: -- 75 1 -- Common stock, $.01 par value (367,555) (232,797) -- 9,339 Additional paid-in capital 191,923 (212,503) 15,333 (137,929) Retained earnings-Filing Date (1,085) (26,197) 2,119 (3,508) Retained earnings-Post Filing Date -- (135) -- -- Pension adjustment -- -- -- -- Accumulated translation adj. -- (3) -- -- Deferred compensation ---------------------------------------------------------------------------------- (176,717) (471,560) 17,453 (132,098) -- (2,537) -- -- Treasury stock at cost ---------------------------------------------------------------------------------- (176,717) (474,097) 17,453 (132,098) TOTAL STOCKHOLDERS' EQUITY $ 43,791 $ 342,824 $ 20,208 $ 24,097 ================================================================================== TOTAL LIABILITIES AND EQUITY
--------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. ASSETS 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 --------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ -- $ 329 $ -- $ 239 Trade accounts receivable, net -- 2,254 938 4,681 Other Receivables -- 4,357 -- -- Due from affiliates 2,717 46,929 1,389 6,729 Inventories -- -- 163 1,403 Prepaid expenses (283) -- -- -- Deferred income tax benefit -- -- -- -- --------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 2,434 53,869 2,490 13,052 Property, plant and equipment, net -- -- -- 43,965 Deferred income taxes -- -- -- -- Investments-Third Party -- -- -- -- Investments in Subs -- 297,229 3,119 -- Other assets 2,731 6,822 -- -- --------------------------------------------------------------------------------- TOTAL ASSETS $ 5,165 $ 357,920 $ 5,609 $ 57,017 ================================================================================= LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 24 19,946 1,157 2,438 Pre-Petition liabilities: Notes Payable - Secured * 3,652 67,152 -- -- Secured Debt Accrued Interest * 361 6,625 -- -- Unsecured debt 840 265,155 170 62,478 Other / Intercompany -- 5,655 -- Deferred income taxes -- -- -- -- --------------------------------------------------------------------------------- Common stock held by new ESOP -- -- -- -- Less: Unearned compensation -- -- -- -- Redeemable preferred stock -- -- -- -- STOCKHOLDERS' EQUITY: Common stock, $.01 par value -- 48 -- -- Additional paid-in capital -- 83,348 5,438 3,118 Retained earnings-Filing Date 779 (90,594) (877) (10,909) Retained earnings-Post Filing Date (491) 585 (279) (108) Pension adjustment -- -- -- -- Accumulated translation adj. -- -- -- -- Deferred compensation -- -- -- -- --------------------------------------------------------------------------------- 288 (6,613) 4,282 (7,899) Treasury stock at cost -- -- -- -- --------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY 288 (6,613) 4,282 (7,899) $ 5,165 $ 357,920 $ 5,609 $ 57,017 TOTAL LIABILITIES AND EQUITY =================================================================================
------------------------------------ DEBTORS ASSETS ELIMINATIONS CONSOLIDATED ------------------------------------ Current Assets: Cash and cash equivalents $ -- $ 3,157 Trade accounts receivable, net -- 53,517 Other Receivables -- 6,934 Due from affiliates (87,992) 6,313 Inventories -- 37,209 Prepaid expenses -- 3,134 Deferred income tax benefit -- -- ---------------------------------- TOTAL CURRENT ASSETS (87,992) 110,264 Property, plant and equipment, net -- 179,714 Deferred income taxes -- -- Investments-Third Party -- 6,056 Investments in Subs (385,026) 45,454 Other assets (1) 42,124 ---------------------------------- TOTAL ASSETS $(473,019) $ 383,612 ================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) (29,772) 104,851 Pre-Petition liabilities: Notes Payable - Secured * (60,873) 295,000 Secured Debt Accrued Interest * (6,006) 29,025 Unsecured debt (131,744) 740,233 Other / Intercompany (201,020) 5,655 Deferred income taxes -- -- Common stock held by new ESOP -- 289 Less: Unearned compensation -- -- Redeemable preferred stock -- 27,564 STOCKHOLDERS' EQUITY: -- Common stock, $.01 par value (1) 123 Additional paid-in capital (43,603) (542,712) Retained earnings-Filing Date -- (244,777) Retained earnings-Post Filing Date -- (28,964) Pension adjustment -- (135) Accumulated translation adj. -- -- Deferred compensation -- (3) ---------------------------------- (43,604) (816,468) Treasury stock at cost -- (2,537) ---------------------------------- TOTAL STOCKHOLDERS' EQUITY (43,604) (819,005) TOTAL LIABILITIES AND EQUITY $(473,019) $ 383,612 ==================================
* Senior Secured Notes were issued by Sterling Chemicals, Inc., but a percentage is pushed down to the subsidiaries. MOR 2 - 3 CASE NAME: STERLING CANADA, INC. CASE NUMBER: 01-37810-H4-11 SCHEDULE OF POST-PETITION LIABILITIES
---------------------------------------------------------------------------------------------- 8/31/2001(1) Sep-2001 10/31/01 MONTH MONTH MONTH ---------------------------------------------------------------------------------------------- TRADE ACCOUNTS PAYABLE $ 807 $ 257 $ 467 $ -- $ -- $ -- ROYALTY AND REVENUE PAYABLE -- -- -- -- -- -- NOTES PAYABLE - INSURANCE 19,409 19,409 19,409 -- -- -- TAX PAYABLE: -- -- -- -- -- -- Federal Payroll Taxes -- -- -- -- -- -- State Payroll & Sales -- -- -- -- -- -- Ad Valorem Taxes -- -- -- -- -- -- Other Taxes -- -- -- -- -- -- TOTAL TAXES PAYABLE $ -- $ -- $ -- $ -- $ -- $ -- SECURED DEBT POST-PETITION -- -- -- -- -- -- ACCRUED INTEREST PAYABLE -- -- -- -- -- -- *ACCRUED PROFESSIONAL FEES: -- -- -- -- -- -- OTHER ACCRUED LIABILITIES: 1. General and Administrative Costs -- 108 70 -- -- -- 2. Lease Operating Expenses/Capital -- -- -- -- -- -- TOTAL POST-PETITION LIABILITIES (MOR-3) $ 20,216 $ 19,774 $ 19,946 $ -- $ -- $ -- ====================================================================================================================================
*Payment Requires Court Approval (1) Represents the period 07/17/01 thru 08/31/01. MOR-4 CONSOLIDATED DEBTORS(1) AGING OF POST-PETITION LIABILITIES MONTH 10/31/01
AD-VALOREM, ROYALTY DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES AND INSURANCE ---- ----- ----------- --------- ----------- ----------- ------------- 0-30 $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- 31-60 -- 61-90 -- 91 + -- ---------- ---------- ---------- ---------- ---------- ---------- TOTAL $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- ========== ========== ========== ========== ========== ==========
AGING OF ACCOUNTS RECEIVABLE(1)
MONTH ----- 0-30 $ 45,074 $ 45,074 $ -- $ -- $ -- $ -- 31-60 1,353 1,353 -- -- -- 61-90 2,793 2,793 -- -- -- 91 + 13,412 13,412 -- -- -- ---------- ----------- ---------- ---------- ---------- ---------- TOTAL $ 62,632 $ 62,632 $ -- $ -- $ -- $ -- ========== =========== ========== ========== ========== ==========
(1) MOR 5 is presented only on a consolidated debtor basis. (2) Days aging from due date. (3) Days aging from invoice due date. MOR-5 CASE NAME: STERLING CHEMICALS HOLDINGS, INC (ALL DEBTORS) FOR THE MONTH ENDING OCTOBER 31, 2001 STATEMENT OF INCOME (LOSS)
STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS, HOLDINGS, INC. INC. ENERGY, INC. INC. 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 ------------------ ------------------ ------------------ ------------------ MONTH REVENUES (MOR-1) $ -- $ 21,691,268 $ 155,612 $ 1,891,936 TOTAL COST OF REVENUES -- 20,932,563 155,612 2,007,647 GROSS PROFIT $ -- $ 758,705 $ -- $ (115,711) ==================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 61,848 $ 506,893 $ -- $ 193,547 Insiders Compensation -- 156,110 -- -- Professional Fees -- 1,045,068 -- -- Other (Earnings in Joint Venture) -- 600,671 (600,671) -- TOTAL OPERATING EXPENSE $ 61,848 $ 2,308,742 $ (600,671) $ 193,547 ==================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ (61,848) $ (1,550,037) $ 600,671 $ (309,258) INTEREST EXPENSE (includes amort of debt fees) (5,722) 2,401,351 -- 614,434 DEPRECIATION -- 1,899,369 -- 48,077 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ (5,722) $ 4,300,720 $ -- $ 662,511 ==================================================================================================================================== NET INCOME BEFORE TAXES $ (56,126) $ (5,850,757) $ 600,671 $ (971,769) INCOME TAXES -- -- 28,531 -- ==================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ (56,126) $ (5,850,757) $ 572,140 $ (971,769) ==================================================================================================================================== STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------ ------------------ ------------------ ------------------ MONTH REVENUES (MOR-1) $ 83,333 $ 1,076,560 $ 289,723 $ 3,168,738 TOTAL COST OF REVENUES -- 46,938 530,074 2,134,415 GROSS PROFIT $ 83,333 $ 1,029,622 $ (240,351) $ 1,034,323 =================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 10,994 $ 242,991 $ (106,553) $ 628,398 Insiders Compensation -- -- -- -- Professional Fees -- -- -- -- Other (Earnings in Joint Venture) -- -- -- -- TOTAL OPERATING EXPENSE $ 10,994 $ 242,991 $ (106,553) $ 628,398 =================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 72,339 $ 786,631 $ (133,798) $ 405,925 INTEREST EXPENSE (includes amort of debt fees) 37,665 160,379 -- -- DEPRECIATION 23,000 485,795 -- 405,189 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 60,665 $ 646,174 $ -- $ 405,189 =================================================================================================================================== NET INCOME BEFORE TAXES $ 11,674 $ 140,457 $ (133,798) $ 736 INCOME TAXES -- -- -- -- =================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ 11,674 $ 140,457 $ (133,798) $ 736 =================================================================================================================================== DEBTORS ELIMINATIONS CONSOLIDATED ---------------- ------------------ MONTH REVENUES (MOR-1) $ (83,333) $ 28,273,837 TOTAL COST OF REVENUES (83,333) 25,723,916 GROSS PROFIT $ -- $ 2,549,921 ======================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ (452,308) 1,085,810 Insiders Compensation -- 156,110 Professional Fees -- 1,045,068 Other (Earnings in Joint Venture) -- -- -- -- TOTAL OPERATING EXPENSE $ (452,308) $ 2,286,988 ======================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 452,308 262,933 INTEREST EXPENSE (includes amort of debt fees) 452,308 3,660,415 DEPRECIATION -- 2,861,430 OTHER (INCOME) EXPENSES* -- -- OTHER ITEMS** -- -- TOTAL INT. DEPR & OTHER ITEMS $ 452,308 $ 6,521,845 ======================================================================================== NET INCOME BEFORE TAXES $ -- $ (6,258,912) INCOME TAXES -- 28,531 ======================================================================================== NET INCOME (LOSS) (MOR-1) $ -- $ (6,287,443) ========================================================================================
Accrual Accounting Required, Otherwise Footnote With Explanation * Footnote Mandatory ** Unusual and/or frequent item(s) outside the ordinary course of business; requires footnote MOR-6 CASE NAME: STERLING CANADA INC. CASE NUMBER: 01-37810-H4-11
CASH RECEIPTS AND FILING TO DISBURSEMENTS 8/31/2001(1) 9/30/01 10/31/01 MONTH MONTH DATE - ------------------------------------------------------------------------------------------------------------------------------- 1. CASH-BEGINNING OF MONTH $ 271,082 $ 507,515 $ 915,961 $ -- $ -- $ 271,082 RECEIPTS: 2. CASH SALES $ -- $ -- $ -- $ -- $ -- $ -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 2,837,627 961,439 2,094,812 5,893,878 4. LOANS & ADVANCES (attach list) -- -- 5. SALE OF ASSETS -- -- 6. OTHER (attach list) 19,739,210 736,897 216 20,476,323 TOTAL RECEIPTS $ 22,576,837 $ 1,698,336 $2,095,028 $ -- $ -- $26,370,201 (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A N/A DISBURSEMENTS: 7. NET PAYROLL $ -- $ -- $ -- $ -- $ -- $ -- 8. PAYROLL TAXES PAID -- -- 9. SALES, USE & OTHER TAXES PAID 1,840 72,245 5,916 80,002 10. SECURED/RENTAL/LEASES -- -- 11. UTILITIES -- -- 12. INSURANCE -- -- 13. INVENTORY PURCHASES -- -- 14. VEHICLE EXPENSES -- -- 15. TRAVEL & ENTERTAINMENT -- -- 16. REPAIRS, MAINTENANCE & SUPPLIES -- -- 17. ADMINISTRATIVE & SELLING 21,145 35 14,940 36,120 18. OTHER (attach list) 22,317,418 1,217,610 2,660,642 26,195,670 TOTAL DISBURSEMENTS FROM OPERATIONS $ 22,340,404 $ 1,289,890 $2,681,498 $ -- $ -- $26,311,792 19. PROFESSIONAL FEES $ -- $ -- $ -- $ -- $ -- $ -- 20. U.S. TRUSTEE FEES -- -- -- -- -- -- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- -- -- TOTAL DISBURSEMENTS $ 22,340,404 $ 1,289,890 $2,681,498 $ -- $ -- $26,311,792 22. NET CASH FLOW $ 236,433 $ 408,446 $ (586,470) $ -- $ -- $ 58,409 23. CASH - END OF MONTH (MOR-2) $ 507,515 $ 915,961 $ 329,491 $ -- $ -- $ 329,491
(1) Represents the period 7/17/01 through 8/31/01. MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING CANADA, INC. CASE NUMBER: 01-37810-H4-11
OTHER CASH RECEIPTS AND DISBURSEMENTS: 8/31/2001 (1) 9/30/01 10/31/01 - -------------------------------------------------------------------------------------------------------------------- 6. OTHER RECEIPTS: Interest Income $ 1,107 $ 185 $ 204 401(k) Plan Refund Cobra Insurance Payment Miscellaneous 3,887 12 Emission Credits Loan Advance from a subsidiary - Sterling NRO 19,409,155 -- Funds belonging to Sterling Pulp Chemicals Ltd. rec'd in error and to be returned in Sep 01. 328,947 (328,947) cash receipts re Inter company AR 827,114 -- rec'd in error and to be returned in Nov 01. 234,658 TOTAL OTHER RECEIPTS $ 19,739,210 $ 736,897 $ 216 18. OTHER DISBURSEMENTS: Workover Expense Capital Expenditures Interest Payment Pre-petition checks voided in current period Advance to Parent company - Sterling Chemicals 22,317,418 329,798 78,000 cash disbursements re Inter company AP 663,621 CIT revolver cash sweep 155,838 2,582,642 Capital contribution to SPCUS 68,353 TOTAL OTHER DISBURSEMENTS $ 22,317,418 $ 1,217,610 $2,660,642 OTHER CASH RECEIPTS AND MONTH MONTH FILING TO DISBURSEMENTS: DATE - --------------------------------------------------------------------------- ----------------------------------------- 6. OTHER RECEIPTS: Interest Income $ 1,497 401(k) Plan Refund -- Cobra Insurance Payment -- Miscellaneous 3,899 Emission Credits -- Loan Advance from a subsidiary - Sterling NRO 19,409,155 Funds belonging to Sterling Pulp Chemicals Ltd. -- rec'd in error and to be returned in Sep 01. -- cash receipts re Inter company AR 827,114 rec'd in error and to be returned in Nov 01. 234,658 TOTAL OTHER RECEIPTS $ -- $ -- $ 20,476,323 18. OTHER DISBURSEMENTS: Workover Expense -- Capital Expenditures -- Interest Payment -- Pre-petition checks voided in current period -- Advance to Parent company - Sterling Chemicals -- 22,725,216 cash disbursements re Inter company AP 663,621 CIT revolver cash sweep 2,738,480 Capital contribution to SPCUS 68,353 TOTAL OTHER DISBURSEMENTS $ -- $ -- $ 26,195,670
(1)Represents the period 7/17/01 through 8/31/01. MOR-7 ATTACHMENT CASE NAME: Sterling Canada, Inc. CASE NUMBER: 01-37810-H4-11 CASH ACCOUNT RECONCILIATION MONTH OF OCTOBER 31, 2001
BANK NAME Bank One Chase Manhattan Chase Manhattan CIBC ACCOUNT NUMBER 5561841 001-00526970 001-03317054 77-01713 ACCOUNT TYPE Lock Box General Checking Consolidated Checking TOTAL - ------------ ------------ --------------- --------------- ------------ ---------- ------------ BANK BALANCE $ 323,171 $ 100 $ 795 $ 324,066 $ 5,426 $ 329,492 DEPOSIT IN TRANSIT -- -- OUTSTANDING CHECKS -- -- -- -- ADJUSTED BANK BALANCE $ 323,171 $ 100 $ 795 $ 324,066 $ 5,426 $ -- $ -- $ 329,492 BEGINNING CASH - PER BOOKS $ 1,000 $ 810,000 $ 90,983 $ 901,983 $ 13,979 $ 915,962 RECEIPTS 1,963,196 131,616 -- 2,094,812 216 $ 2,095,028 TRANSFERS BETWEEN ACCOUNTS -- -- -- -- (WITHDRAWAL)CONTRIBUTION- -- BY INDIVIDUAL DEBTOR MFR-2 -- CHECKS/OTHER DISBURSEMENTS (1,641,025) (941,516) (90,188) (2,672,729) (8,769) $ (2,681,498) ENDING CASH - PER BOOKS $ 323,171 $ 100 $ 795 $ 324,066 $ 5,426 $ -- $ -- $ 329,491
MOR-8 CASE NAME: STERLING CANADA, INC. CASE NUMBER: 01-37810-H4-11 PAYMENT TO INSIDERS AND PROFESSIONALS Of the total disbursements shown for the month, list the amount paid to insiders (as defined in Section 101(31)(A)-(F) of the U.S. Bankruptcy Code) and the professionals. Also, for insiders identify the type of compensation paid (e.g., salary, commission, bonus, etc.) (Attach additional pages as necessary.)
INSIDERS: NAME/POSITION 8/31/2001 (1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 FILING TO /COMP TYPE (2) DATE - ------------------------------------------------------------------------------------------------------------------------------------ 1. $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2. -- -- -- -- -- -- -- 3. -- -- -- -- -- -- -- 4. -- -- -- -- -- -- -- 5. -- -- -- -- -- -- -- 6. -- -- -- -- -- -- -- 7. -- -- -- -- -- -- -- 8. -- -- -- -- -- -- -- 9. -- -- -- -- -- -- -- TOTAL INSIDERS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ --
PROFESSIONALS 8/31/2001 (1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 FILING TO NAME/ORDER DATE DATE - ------------------------------------------------------------------------------------------------------------------------------------ 1. $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2. -- -- -- -- -- -- -- 3. -- -- -- -- -- -- -- 4. -- -- -- -- -- -- -- 5. -- -- -- -- -- -- -- 6. -- -- -- -- -- -- -- TOTAL PROFESSIONALS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ --
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01. (2) THE DEBTOR HAS LIMITED THE SCOPE OF ITS ANSWER TO (i) DIRECTORS, (ii) OFFICERS DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SECURITIES AND EXCHANGE ACT OF 1934, (iii) AFFILIATES; AND (iv) PARTIES TO THE VOTING AGREEMENT GRANTING AUTHORITY TO DESIGNATED THE NOMINEES WHO BENEFIT FROM THE VOTING AGREEMENT. INFORMATION AS TO OFFICERS WHO ARE NOT DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(a) OF THE SEC ACT OF 1934 HAS BEEN COMPLIED BY THE DEBTOR AND WILL BE PROVIDED TO THE OFFICE OF THE UNITED STATES TRUSTEE AND TO THE COUNCIL FOR THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS UPON REQUEST. SUCH INFORMATION PRIMARILY RELATES TO COMPENSATION, BENEFITS AND EXPENSE REIMBURSEMENTS PAYMENTS MADE TO SUCH OFFICERS AS EMPLOYEES OF THE DEBTOR. IT IS THE POLICY OF THE DEBTOR TO PRESERVE THE CONFIDENTIALITY OF SUCH INFORMATION ON BEHALF OF ITS EMPLOYEES. (3) ALL PAYMENTS TO DIRECTORS AND OFFICERS, AS DEFINED IN FOOTNOTE (2) ABOVE, ARE MADE BY STERLING CHEMICALS, INC., A JOINTLY ADMINISTERED DEBTOR (CASE #01-37806-H4-11. MOR-9 EX-99.7 9 h92775ex99-7.txt MONTHLY OPERATING RPT. STERLING PULP CHEMICALS US EXHIBIT 99.7 UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF TEXAS HOUSTON DIVISION CASE NAME: STERLING PULP CHEMICALS US, INC. PETITION DATE: 07/16/01 CASE NUMBER: 01-37811-H4-11 MONTHLY OPERATING REPORT SUMMARY FOR MONTH: OCTOBER YEAR: 2001
MONTH 7/16/01-8/31/01 9/30/01 10/31/01 - ----------------------------------------------------------------------------------------------------------------------------- REVENUES (MOR-6) $ 595,406 $ 358,476 $ 289,723 $ - $ - $ - INCOME BEFORE INT. DEPREC./TAX (MOR-6) $ (61,516) $ (82,781) $(133,798) $ - $ - $ - NET INCOME (LOSS) (MOR-6) $ (61,516) $ (82,781) $(133,798) $ - $ - $ - PAYMENTS TO INSIDERS (MOR-9) $ - $ - $ - $ - $ - $ - PAYMENTS TO PROFESSIONALS (MOR-9) $ - $ - $ - $ - $ - $ - TOTAL DISBURSEMENTS (MOR-7) $ - $ - $ - $ - $ - $ -
***The original of this document MUST BE FILED with the United States Bankruptcy Court and a COPY MUST BE SENT to the United States Trustee*** REQUIRED INSURANCE MAINTAINED AS OF SIGNATURE DATE EXP. See attachment 2 DATE - ----------------------------------- CASUALTY YES ( x) NO ( ) 08-01-02 LIABILITY YES ( x) NO ( ) 07-01-02 VEHICLE YES ( x) NO ( ) 07-01-02 WORKER'S YES ( x) NO ( ) 07-01-02 OTHER YES ( x) NO ( ) various ATTORNEY NAME: Jeff Spiers FIRM: Andrews & Kurth LLP ADDRESS: 600 Travis ADDRESS: Suite 4200 CITY, STATE ZIP: Houston, TX 77002 TELEPHONE: 713-220-4103 Are all accounts receivable being collected within terms? NO Are all post-petition liabilities, including taxes, being paid with terms? YES Have any pre-petition liabilities been paid? NO If so, describe - -------------------------------------------------------------------------------- Are all funds received being deposited into DIP bank accounts? YES Were any assets disposed of outside the normal course of business? NO If so, describe ----------------------------------------------------------------- Are all U.S. Trustee Quarterly Fee Payments current? YES What is the status of your Plan of Reorganization? A Plan of Reorganization is currently being developed. - -------------------------------------------------------------------------------- I certify under penalty of perjury that the following complete Monthly Operating Report (MOR), consisting of MOR-1 through MOR-9 plus attachments, is true and correct. SIGNED /s/ PAUL VANDERHOVEN --------------------------------------------------- (ORIGINAL SIGNATURE) TITLE VP Finance, CFO --------------------------------------------------- MOR-1 CASE NAME: STERLING PULP CHEMICALS US, INC. CASE NUMBER: 01-37811-H4-11
PAID COVERAGE POLICY PERIOD POLICY NO. LIMITS CARRIER THROUGH - ------------------------------------------------------------------------------------------------------------------------------------ See Attachment 2
MOR-1 ATTACHMENT 2 Page 3 of 13 11/19/01 SUMMARY OF COVERAGES FOR STERLING CHEMICALS HOLDINGS, INC.
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE - --- ----------------- -------------- ------------- ---- ------ ------------- 1 Workers Compensation Statutory - $1,000,000 Employers American Guar. 1 year 07/01/2002 Total annual Liability. Zurich US remuneration Ded. $250,000 per accident. 2 Automobile Liability $2,000,000 ea. occurrence. American Guar. 1 year 07/01/2002 Number of vehicles Ded. $25,000 per occurrence. Zurich Amer. owned and leased 3 Excess Liability $5,000,000 ea. occurrence and Primex, Ltd 1 year 07/01/2002 Annual revenues and Excess to $1 Million SIR aggregate. Excess $1,000,000 GL remuneration $2,000,000 AL. 4 Excess Liability $20,000,000 ea. loss and Primex, Ltd. 1 year 07/01/2002 Included aggregate. (Reinsured through AIG.) 5 Excess Liability $50,000,000 ea. loss and Gerling Global 1 year 07/01/2002 Flat charge - based aggregate. on exposures and risk potential 6 Excess Liability $100,000,000 ea. loss and Lloyd's 1 year 07/01/2002 Flat charge - based aggregate. Lore on exposures and risk potential 7 Excess Liability $50,000,000 Zurich 1 year 07/01/2002 Flat charge 8 Excess Liability $50,000,000 AIG 1 year 07/01/2002 Flat Charge
NO. TYPE OF INSURANCE ANNUAL PREMIUM - --- ----------------- -------------- 1 Workers Compensation $195,653 - Audit at (AFCO) expiration. Plus all losses within deductible. 2 Automobile Liability $92,955 (AFCO) 3 Excess Liability $451,090 Annual - Half on 7/1/01; 1/2 Excess to $1 Million SIR on 1/1/02. 4 Excess Liability Included 5 Excess Liability $295,000 6 Excess Liability $241,886 7 Excess Liability $109,210 8 Excess Liability $80,938
Page 4 of 13 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE - --- ----------------- -------------- ------------- ---- ------ ------------- 9 Excess Liability $50,000,000 Starr Excess 1 year 07/01/2002 Flat Charge 10 Marine Terminal $50,000,000 ea. occurrence. New Hampshire 1 year 07/01/2002 Based on volume Operators Liability and Ded. $25,000 per occurrence Ins. Co. thru Marsh throughput and no. Charterer's Legal Liability $100,000 pollution per occurrence. London chartered vessels. 11 Excess Marine Liability $24,000,000 excess of MTO, CLL, XL Specialty 1 year 07/01/2002 Volume thru put & P&L Brockbank & vessels docked. Liberty Und. 12 Excess Marine Liability $25,000,000 excess $24,000,000 XL Specialty 1 year 07/01/2002 Flat Brockbank & N.Y. Marine Gen. Ins. 13 Property Damage, $ Total insured values combined all Munich Re: et. al. 1 year 08/01/2002 Property Values - PD Business Interruption and -risk. Sublimits: Flood - $100 mil., Income values - BI Boiler & Machinery Earthquake - $100 mil., $10 mil PML, fire protection extra expenses. Ded.: Petrochem available; many other $1,000,000 PD, 10 day - BL Pulp & factors. Fibers - $1 mil. PD/BI. 14 Directors & Officers $15,000,000 each loss and each National Union 1 year 08/21/2002 Various Liability policy year. Ded. $1,000,000 Corp. Indemnity 15 Excess Directors & Officers $10,000,000 excess of Primary Hartford 1 year 08/21/2002 Various Liability D&O 16 Directors & Officers $10,000,000 XL Specialty Ins. 1 year 08/21/2002 Various Liability Co.
NO. TYPE OF INSURANCE ANNUAL PREMIUM - --- ----------------- -------------- 9 Excess Liability $62,500 10 Marine Terminal $27,000 (AFCO) Min. premium & Operators Liability and deposit. Charterer's Legal Liability 11 Excess Marine Liability $57,375 12 Excess Marine Liability $21,250 13 Property Damage, Annual - Financed through AFCO. Business Interruption and $4.0M (est.) Boiler & Machinery 14 Directors & Officers $316,000 (15 mos.) Liability 15 Excess Directors & Officers $223,700 (15 mos.) Liability 16 Directors & Officers $115,000 (15 mos.) Liability
Page 5 of 13 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE - --- ----------------- -------------- ------------- ---- ------ ------------- 17 Employee Dishonesty & $5,000,000 each Insuring Texas Pacific 1 year 10/01/2002 Various Depositor's Forgery Agreement. Ded. $50,000. Chubb 18 Hull & Machinery and Barge Hull Value Zurich-American 1 year 07/01/2002 Hull & Machinery Protection & Indemnity (M-25 = $1,500,000) Insurance Co. values Ded. $5,000 per loss. $1,000,000 P&I 19 Pollution Insurance Section A - $250,000 Water Quality 1 year 07/01/2002 Hull gross registered Section B - $5,000,000 Insurance tonnage SCERCLA - $5,000,000 Syndicate 20 Marine and Railroad $12,000,000 any one vessel Mutual Marine 1 year Continuing Declared shipment Cargo $1,000,000 any one barge values $1,000,000 and one rail ship. $100,000 any one truck 21 Duty Drawback Bond $1,000,000 Washington 1 year Continuing Limit International 22 Fiduciary $10,000,000 National Union 1 year 08/21/2002 Various Ded. $250,000 per occurrence 23 Environmental $4,000,000 per loss ECS 1 year 01/15/2002 Loss Potential Impairment Liability $8,000,000 aggregate (Indian Harbor) (Petrochem & Fibers) 24 Closure/Post Closure $1,995,222 Combined Underwriters 1 year Continuous Estimated Bonds - Petrochem Indemnity Closure/Post Closure
NO. TYPE OF INSURANCE ANNUAL PREMIUM - --- ----------------- -------------- 17 Employee Dishonesty & $14,450 Depositor's Forgery 18 Hull & Machinery and $29,378 (AFCO) Protection & Indemnity 19 Pollution Insurance $4,258 (AFCO) 20 Marine and Railroad $40,000 Annual Approx. Cargo 21 Duty Drawback Bond $2,875 22 Fiduciary $22,000 - Financed through Imperial. 23 Environmental $106,200 - Financed through AFCO. Impairment Liability (Petrochem & Fibers) 24 Closure/Post Closure $40,610 Bonds - Petrochem
ANNUAL TOTAL: $3,459,260 * *Total fluctuates due to cargo premiums dependence upon volume of CIF export shipments and annual audits of Worker's Compensation and Marine Terminal policies. STERLING CHEMICALS HOLDINGS, INC. (ALL DEBTORS) CONSOLIDATING BALANCE SHEET FOR THE PERIOD ENDED OCTOBER 31, 2001 (In Thousands) (Unaudited)
---------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS HOLDINGS INC. INC. ENERGY, INC. INC. ASSETS 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 ---------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ 1,365 $ 926 $ -- $ 298 Trade accounts receivable, net -- 42,481 (2) 3,165 Other Receivables -- 2,577 -- -- Due from affiliates -- 20,172 12,392 3,977 Inventories -- 26,722 -- 8,921 Prepaid expenses 29 3,319 -- 69 Deferred income tax benefit -- -- -- -- ---------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 1,394 96,197 12,390 16,430 Property, plant and equipment, net -- 126,224 3,262 6,263 Deferred income taxes -- -- -- -- Investments-Third Party -- 1,500 4,556 -- Investments in Subs 35,060 95,072 -- -- Other assets 7,337 23,831 -- 1,404 ---------------------------------------------------------------------------------- TOTAL ASSETS $ 43,791 $ 342,824 $ 20,208 $ 24,097 ================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 63 103,386 1,645 5,964 Pre-Petition liabilities: Notes Payable - Secured * -- 227,848 -- 57,221 Secured Debt Accrued Interest * -- 22,400 -- 5,645 Unsecured debt 192,878 278,365 1,110 70,981 Other / Intercompany -- 201,020 -- -- Deferred income taxes -- -- -- -- ---------------------------------------------------------------------------------- Common stock held by new ESOP -- 254 -- 35 Less: Unearned compensation -- (458) -- 458 Redeemable preferred stock 27,567 (15,894) -- 15,891 STOCKHOLDERS' EQUITY: -- Common stock, $.01 par value -- 75 1 -- Additional paid-in capital (367,555) (232,797) -- 9,339 Retained earnings-Filing Date 191,923 (212,503) 15,333 (137,929) Retained earnings-Post Filing Date (1,085) (26,197) 2,119 (3,508) Pension adjustment -- (135) -- -- Accumulated translation adj -- -- -- -- Deferred compensation -- (3) -- -- ---------------------------------------------------------------------------------- (176,717) (471,560) 17,453 (132,098) Treasury stock at cost -- (2,537) -- -- ---------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY (176,717) (474,097) 17,453 (132,098) TOTAL LIABILITIES AND EQUITY $ 43,791 $ 342,824 $ 20,208 $ 24,097 ==================================================================================
--------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. ASSETS 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 --------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ -- $ 329 $ -- $ 239 Trade accounts receivable, net -- 2,254 938 4,681 Other Receivables -- 4,357 -- -- Due from affiliates 2,717 46,929 1,389 6,729 Inventories -- -- 163 1,403 Prepaid expenses (283) -- -- -- Deferred income tax benefit -- -- -- -- --------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 2,434 53,869 2,490 13,052 Property, plant and equipment, net -- -- -- 43,965 Deferred income taxes -- -- -- -- Investments-Third Party -- -- -- -- Investments in Subs -- 297,229 3,119 -- Other assets 2,731 6,822 -- -- --------------------------------------------------------------------------------- TOTAL ASSETS $ 5,165 $ 357,920 $ 5,609 $ 57,017 ================================================================================= LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 24 19,946 1,157 2,438 Pre-Petition liabilities: Notes Payable - Secured * 3,652 67,152 -- -- Secured Debt Accrued Interest * 361 6,625 -- -- Unsecured debt 840 265,155 170 62,478 Other / Intercompany -- 5,655 -- Deferred income taxes -- -- -- -- --------------------------------------------------------------------------------- Common stock held by new ESOP -- -- -- -- Less: Unearned compensation -- -- -- -- Redeemable preferred stock -- -- -- -- STOCKHOLDERS' EQUITY: Common stock, $.01 par value -- 48 -- -- Additional paid-in capital -- 83,348 5,438 3,118 Retained earnings-Filing Date 779 (90,594) (877) (10,909) Retained earnings-Post Filing Date (491) 585 (279) (108) Pension adjustment -- -- -- -- Accumulated translation adj -- -- -- -- Deferred compensation -- -- -- -- --------------------------------------------------------------------------------- 288 (6,613) 4,282 (7,899) Treasury stock at cost -- -- -- -- --------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY 288 (6,613) 4,282 (7,899) TOTAL LIABILITIES AND EQUITY $ 5,165 $ 357,920 $ 5,609 $ 57,017 =================================================================================
------------------------------------ DEBTORS ASSETS ELIMINATIONS CONSOLIDATED ------------------------------------ Current Assets: Cash and cash equivalents $ -- $ 3,157 Trade accounts receivable, net -- 53,517 Other Receivables -- 6,934 Due from affiliates (87,992) 6,313 Inventories -- 37,209 Prepaid expenses -- 3,134 Deferred income tax benefit -- -- ---------------------------------- TOTAL CURRENT ASSETS (87,992) 110,264 Property, plant and equipment, net -- 179,714 Deferred income taxes -- -- Investments-Third Party -- 6,056 Investments in Subs (385,026) 45,454 Other assets (1) 42,124 ---------------------------------- TOTAL ASSETS $(473,019) $ 383,612 ================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) (29,772) 104,851 Pre-Petition liabilities: Notes Payable - Secured * (60,873) 295,000 Secured Debt Accrued Interest * (6,006) 29,025 Unsecured debt (131,744) 740,233 Other / Intercompany (201,020) 5,655 Deferred income taxes -- -- Common stock held by new ESOP -- 289 Less: Unearned compensation -- -- Redeemable preferred stock -- 27,564 STOCKHOLDERS' EQUITY: -- Common stock, $.01 par value (1) 123 Additional paid-in capital (43,603) (542,712) Retained earnings-Filing Date -- (244,777) Retained earnings-Post Filing Date -- (28,964) Pension adjustment -- (135) Accumulated translation adj -- -- Deferred compensation -- (3) ---------------------------------- (43,604) (816,468) Treasury stock at cost -- (2,537) ---------------------------------- TOTAL STOCKHOLDERS' EQUITY (43,604) (819,005) TOTAL LIABILITIES AND EQUITY $(473,019) $ 383,612 ==================================
* Senior Secured Notes were issued by Sterling Chemicals, Inc., but a percentage is pushed down to the subsidiaries. MOR 2 - 3 CASE NAME: STERLING PULP CHEMICALS US, INC. CASE NUMBER: 01-37811-H4-11 SCHEDULE OF POST-PETITION LIABILITIES
---------------------------------------------------------------------------------------------- 8/31/2001(1) 9/30/01 10/31/01 MONTH MONTH MONTH ---------------------------------------------------------------------------------------------- TRADE ACCOUNTS PAYABLE $ 779 $ 426 $ 1,043 $ -- $ -- $ -- ROYALTY AND REVENUE PAYABLE -- -- -- -- -- -- NOTES PAYABLE - INSURANCE -- -- -- -- -- -- TAX PAYABLE: -- -- -- -- -- -- Federal Payroll Taxes -- -- -- -- -- -- State Payroll & Sales -- -- -- -- -- -- Ad Valorem Taxes -- -- -- -- -- -- Other Taxes -- -- -- -- -- -- TOTAL TAXES PAYABLE $ -- $ -- $ -- $ -- $ -- $ -- SECURED DEBT POST-PETITION -- -- -- -- -- -- ACCRUED INTEREST PAYABLE -- -- -- -- -- -- *ACCRUED PROFESSIONAL FEES: -- -- -- -- -- -- OTHER ACCRUED LIABILITIES: 1. General and Administrative Costs 1 37 114 -- -- -- 2. Lease Operating Expenses/Capital -- -- -- -- -- -- TOTAL POST-PETITION LIABILITIES (MOR-3) $ 780 $ 463 $ 1,157 $ -- $ -- $ -- ====================================================================================================================================
*Payment Requires Court Approval (1) Represents the period 07/17/01 thru 08/31/01. MOR-4 CONSOLIDATED DEBTORS(1) AGING OF POST-PETITION LIABILITIES MONTH 10/31/01 -----------------------
================================================================================================================================ AD-VALOREM, ROYALTY DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES AND INSURANCE ================================================================================================================================ 0-30 $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- -------------------------------------------------------------------------------------------------------------------------------- 31-60 -- -------------------------------------------------------------------------------------------------------------------------------- 61-90 -- -------------------------------------------------------------------------------------------------------------------------------- 91 + -- -------------------------------------------------------------------------------------------------------------------------------- TOTAL $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- ================================================================================================================================
AGING OF ACCOUNTS RECEIVABLE(1)
================================================================================================================================ MONTH ================================================================================================================================ 0-30 $ 45,074 $ 45,074 $ -- $ -- $ -- $ -- -------------------------------------------------------------------------------------------------------------------------------- 31-60 1,353 1,353 -- -- -- -------------------------------------------------------------------------------------------------------------------------------- 61-90 2,793 2,793 -- -- -- -------------------------------------------------------------------------------------------------------------------------------- 91 + 13,412 13,412 -- -- -- -------------------------------------------------------------------------------------------------------------------------------- TOTAL $ 62,632 $ 62,632 $ -- $ -- $ -- $ -- ================================================================================================================================
(1) MOR 5 is presented only on a consolidated debtor basis. (2) Days aging from due date. (3) Days aging from invoice due date. MOR-5 CASE NAME: STERLING CHEMICALS HOLDINGS, INC (ALL DEBTORS) FOR THE MONTH ENDING OCTOBER 31, 2001 STATEMENT OF INCOME (LOSS)
STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS, HOLDINGS, INC. INC. ENERGY, INC. INC. 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 ------------------ ------------------ ------------------ ------------------ MONTH REVENUES (MOR-1) $ -- $ 21,691,268 $ 155,612 $ 1,891,936 TOTAL COST OF REVENUES -- 20,932,563 155,612 2,007,647 GROSS PROFIT $ -- $ 758,705 $ -- $ (115,711) ==================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 61,848 $ 506,893 $ -- $ 193,547 Insiders Compensation -- 156,110 -- -- Professional Fees -- 1,045,068 -- -- Other (Earnings in Joint Venture) -- 600,671 (600,671) -- TOTAL OPERATING EXPENSE $ 61,848 $ 2,308,742 $ (600,671) $ 193,547 ==================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ (61,848) $ (1,550,037) $ 600,671 $ (309,258) INTEREST EXPENSE (includes amort of debt fees) (5,722) 2,401,351 -- 614,434 DEPRECIATION -- 1,899,369 -- 48,077 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ (5,722) $ 4,300,720 $ -- $ 662,511 ==================================================================================================================================== NET INCOME BEFORE TAXES $ (56,126) $ (5,850,757) $ 600,671 $ (971,769) INCOME TAXES -- -- 28,531 -- ==================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ (56,126) $ (5,850,757) $ 572,140 $ (971,769) ==================================================================================================================================== STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------ ------------------ ------------------ ------------------ MONTH REVENUES (MOR-1) $ 83,333 $ 1,076,560 $ 289,723 $ 3,168,738 TOTAL COST OF REVENUES -- 46,938 530,074 2,134,415 GROSS PROFIT $ 83,333 $ 1,029,622 $ (240,351) $ 1,034,323 =================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 10,994 $ 242,991 $ (106,553) $ 628,398 Insiders Compensation -- -- -- -- Professional Fees -- -- -- -- Other (Earnings in Joint Venture) -- -- -- -- TOTAL OPERATING EXPENSE $ 10,994 $ 242,991 $ (106,553) $ 628,398 =================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 72,339 $ 786,631 $ (133,798) $ 405,925 INTEREST EXPENSE (includes amort of debt fees) 37,665 160,379 -- -- DEPRECIATION 23,000 485,795 -- 405,189 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 60,665 $ 646,174 $ -- $ 405,189 =================================================================================================================================== NET INCOME BEFORE TAXES $ 11,674 $ 140,457 $ (133,798) $ 736 INCOME TAXES -- -- -- -- =================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ 11,674 $ 140,457 $ (133,798) $ 736 =================================================================================================================================== DEBTORS ELIMINATIONS CONSOLIDATED ---------------- ------------------ MONTH REVENUES (MOR-1) $ (83,333) $ 28,273,837 TOTAL COST OF REVENUES (83,333) 25,723,916 GROSS PROFIT $ -- $ 2,549,921 ======================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ (452,308) 1,085,810 Insiders Compensation -- 156,110 Professional Fees -- 1,045,068 Other (Earnings in Joint Venture) -- -- -- -- TOTAL OPERATING EXPENSE $ (452,308) $ 2,286,988 ======================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 452,308 262,933 INTEREST EXPENSE (includes amort of debt fees) 452,308 3,660,415 DEPRECIATION -- 2,861,430 OTHER (INCOME) EXPENSES* -- -- OTHER ITEMS** -- -- TOTAL INT. DEPR & OTHER ITEMS $ 452,308 $ 6,521,845 ======================================================================================== NET INCOME BEFORE TAXES $ -- $ (6,258,912) INCOME TAXES -- 28,531 ======================================================================================== NET INCOME (LOSS) (MOR-1) $ -- $ (6,287,443) ========================================================================================
Accrual Accounting Required, Otherwise Footnote With Explanation * Footnote Mandatory ** Unusual and/or frequent item(s) outside the ordinary course of business; requires footnote MOR-6 CASE NAME: STERLING PULP CHEMICALS US, INC. CASE NUMBER: 01-37811-H4-11
==================================================================================================================================== CASH RECEIPTS AND 8/31/2001 (1) 9/30/01 10/31/01 11/30/01 12/31/01 MONTH FILING TO DISBURSEMENTS DATE - ------------------------------------------------------------------------------------------------------------------------------------ 1. CASH-BEGINNING OF MONTH $ - $ - $ - $ - $ - $ - $ - - ------------------------------------------------------------------------------------------------------------------------------------ RECEIPTS: - ------------------------------------------------------------------------------------------------------------------------------------ 2. CASH SALES $ - $ - $ - $ - $ - $ - $ - - ------------------------------------------------------------------------------------------------------------------------------------ 3. COLLECTION OF ACCOUNTS RECEIVABLE - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 4. LOANS & ADVANCES (attach list) - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 5. SALE OF ASSETS - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 6. OTHER (attach list) - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ TOTAL RECEIPTS $ - $ - $ - $ - $ - $ - $ - - ------------------------------------------------------------------------------------------------------------------------------------ (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A N/A N/A - ------------------------------------------------------------------------------------------------------------------------------------ DISBURSEMENTS: - ------------------------------------------------------------------------------------------------------------------------------------ 7. NET PAYROLL $ - $ - $ - $ - $ - $ - $ - - ------------------------------------------------------------------------------------------------------------------------------------ 8. PAYROLL TAXES PAID - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 9. SALES, USE & OTHER TAXES PAID - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 10. SECURED/RENTAL/LEASES - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 11. UTILITIES - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 12. INSURANCE - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 13. INVENTORY PURCHASES - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 14. VEHICLE EXPENSES - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 15. TRAVEL & ENTERTAINMENT - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 16. REPAIRS, MAINTENANCE & SUPPLIES - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 17. ADMINISTRATIVE & SELLING - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 18. OTHER (attach list) - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ TOTAL DISBURSEMENTS FROM OPERATIONS $ - $ - $ - $ - $ - $ - $ - - ------------------------------------------------------------------------------------------------------------------------------------ 19. PROFESSIONAL FEES $ - $ - $ - $ - - $ - - - ------------------------------------------------------------------------------------------------------------------------------------ 20. U.S. TRUSTEE FEES - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 21. OTHER REORGANIZATION EXPENSES (attach list) - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ TOTAL DISBURSEMENTS $ - $ - $ - $ - - $ - - - ------------------------------------------------------------------------------------------------------------------------------------ 22. NET CASH FLOW $ - $ - $ - $ - - $ - - - ------------------------------------------------------------------------------------------------------------------------------------ 23. CASH - END OF MONTH (MOR-2) $ - $ - $ - $ - - $ - - ====================================================================================================================================
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING PULP CHEMICALS US, INC. CASE NUMBER: 01-37811-H4-11
=============================================================================================================================== OTHER CASH RECEIPTS AND 8/31/2001 (1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 FILING TO DISBURSEMENTS: DATE - -------------------------------------------------------------------------------------------------------------------------------- 6. OTHER RECEIPTS: - -------------------------------------------------------------------------------------------------------------------------------- Interest Income $ - $ - $ - $ - $ - $ - $ - - -------------------------------------------------------------------------------------------------------------------------------- 401(k) Plan Refund - - - - - - - - -------------------------------------------------------------------------------------------------------------------------------- Cobra Insurance Payment - - - - - - - - -------------------------------------------------------------------------------------------------------------------------------- Miscellaneous - - - - - - - - -------------------------------------------------------------------------------------------------------------------------------- Emission Credits - - - - - - - - -------------------------------------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------------------------------------------------------- TOTAL OTHER RECEIPTS $ - $ - $ - $ - $ - $ - $ - - -------------------------------------------------------------------------------------------------------------------------------- 18. OTHER DISBURSEMENTS: - -------------------------------------------------------------------------------------------------------------------------------- Capital Expenditures $ - $ - $ - $ - $ - $ - - - -------------------------------------------------------------------------------------------------------------------------------- Interest Payment - - - - - - - - -------------------------------------------------------------------------------------------------------------------------------- Restricted Cash - Bond Funding - - - - - - - - -------------------------------------------------------------------------------------------------------------------------------- Pre-petition checks voided in current period - - - - - - - - -------------------------------------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------------------------------------------------------- - -------------------------------------------------------------------------------------------------------------------------------- TOTAL OTHER DISBURSEMENTS $ - $ - $ - $ - $ - $ - $ - ================================================================================================================================
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 ATTACHMENT CASE NAME: Sterling Pulp Chemicals US, Inc. CASE NUMBER: 01-37811-H4-11 CASH ACCOUNT RECONCILIATION MONTH OF OCTOBER 2001 --------------------------------- =========================================================================================================================== BANK NAME N/A - --------------------------------------------------------------------------------------------------------------------------- ACCOUNT NUMBER - --------------------------------------------------------------------------------------------------------------------------- ACCOUNT TYPE TOTAL - ------------ ----- - --------------------------------------------------------------------------------------------------------------------------- BANK BALANCE $ - - --------------------------------------------------------------------------------------------------------------------------- DEPOSIT IN TRANSIT - - --------------------------------------------------------------------------------------------------------------------------- OUTSTANDING CHECKS - - --------------------------------------------------------------------------------------------------------------------------- ADJUSTED BANK BALANCE $ - $ - $ - $ - $ - $ - $ - $ - $ - - --------------------------------------------------------------------------------------------------------------------------- BEGINNING CASH - PER BOOS $ - - --------------------------------------------------------------------------------------------------------------------------- RECEIPTS - - --------------------------------------------------------------------------------------------------------------------------- TRANSFERS BETWEEN ACCOUNTS - - --------------------------------------------------------------------------------------------------------------------------- (WITHDRAWAL)CONTRIBUTION- - - --------------------------------------------------------------------------------------------------------------------------- BY INDIVIDUAL DEBTOR MFR-2 - - --------------------------------------------------------------------------------------------------------------------------- CHECKS/OTHER DISBURSEMENTS - - --------------------------------------------------------------------------------------------------------------------------- ENDING CASH - PER BOOKS $ - $ - $ - $ - $ - $ - $ - $ - $ - ===========================================================================================================================
Note: Bank statements have not been received in time to complete this report. Future reports will include reconciliations for the prior month. MOR-8 CASE NAME: STERLING PULP CHEMICALS US, INC. CASE NUMBER: 01-37811-H4-11 PAYMENT TO INSIDERS AND PROFESSIONALS Of the total disbursements shown for the month, list the amount paid to insiders (as defined in Section 101(31)(A)-(F) of the U.S. Bankruptcy Code) and the professionals. Also, for insiders identify the type of compensation paid (e.g., salary, commission, bonus, etc.) (Attach additional pages as necessary.)
==================================================================================================================================== 8/31/2001 (1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 FILING TO INSIDERS: NAME/POSITION/COMP TYPE (2) DATE - ------------------------------------------------------------------------------------------------------------------------------------ 1. $ - $ - $ - $ - $ - $ - $ - - ------------------------------------------------------------------------------------------------------------------------------------ 2. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 3. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 4. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 5. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 6. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 7. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 8. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 9. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ - ------------------------------------------------------------------------------------------------------------------------------------ - ------------------------------------------------------------------------------------------------------------------------------------ TOTAL INSIDERS (MOR-1) $ - $ - $ - $ - $ - $ - $ - ====================================================================================================================================
==================================================================================================================================== 8/31/2001 (1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 FILING TO PROFESSIONALS DATE NAME/ORDER DATE - ------------------------------------------------------------------------------------------------------------------------------------ 1. $ - $ - $ - $ - $ - $ - $ - - ------------------------------------------------------------------------------------------------------------------------------------ 2. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 3. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 4. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 5. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ 6. - - - - - - - - ------------------------------------------------------------------------------------------------------------------------------------ TOTAL PROFESSIONALS (MOR-1) $ - $ - $ - $ - $ - $ - $ - ====================================================================================================================================
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01. (2) THE DEBTOR HAS LIMITED THE SCOPE OF ITS ANSWER TO (I) DIRECTORS, (II) OFFICERS DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(A) OF THE SECURITIES AND EXCHANGE ACT OF 1934, (III) AFFILIATES ; AND (IV) PARTIES TO THE VOTING AGREEMENT GRANTING AUTHORITY TO DESIGNATED THE NOMINEES WHO BENEFIT FROM THE VOTING AGREEMENT. INFORMATION AS TO OFFICERS WHO ARE NOT DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(A) OF THE SEC ACT OF 1934 HAS BEEN COMPLIED BY THE DEBTOR AND WILL BE PROVIDED TO THE OFFICE OF THE UNITED STATES TRUSTEE AND TO THE COUNCIL FOR THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS UPON REQUEST. SUCH INFORMATION PRIMARILY RELATES TO COMPENSATION, BENEFITS AND EXPENSE REIMBURSEMENTS PAYMENTS MADE TO SUCH OFFICERS AS EMPLOYEES OF THE DEBTOR. IT IS THE POLICY OF THE DEBTOR TO PRESERVE THE CONFIDENTIALITY OF SUCH INFORMATION ON BEHALF OF ITS EMPLOYEES. (3) ALL PAYMENTS TO DIRECTORS AND OFFICERS, AS DEFINED IN FOOTNOTE (2) ABOVE, ARE MADE BY STERLING CHEMICALS, INC., A JOINTLY ADMINISTERED DEBTOR (CASE #01-37806-H4-11. MOR-9 EX-99.8 10 h92775ex99-8.txt MONTHLY OPERATING RPT. STERLING PULP CHEMICALS,INC EXHIBIT 99.8 UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF TEXAS HOUSTON DIVISION CASE NAME: STERLING PULP CHEMICALS, INC. PETITION DATE: 07/16/01 CASE NUMBER: 01-37812-H4-11 MONTHLY OPERATING REPORT SUMMARY FOR MONTH: OCTOBER YEAR: 2001
MONTH 7/16/01-8/31/01 9/30/01 10/31/01 - --------------------------------------------------------------------------------------------------- REVENUES (MOR-6) $ 4,044,462 $2,936,623 $3,168,738 $-- $-- $-- INCOME BEFORE INT. DEPREC./TAX (MOR-6) $ 503,539 405,982 $ 405,925 $-- $-- $-- NET INCOME (LOSS) (MOR-6) $ (109,322) 400 $ 736 $-- $-- $-- PAYMENTS TO INSIDERS (MOR-9) $ -- -- $ -- $-- $-- $-- PAYMENTS TO PROFESSIONALS (MOR-9) $ -- -- $ -- $-- $-- $-- TOTAL DISBURSEMENTS (MOR-7) $ 6,975,175 $5,097,690 $6,563,984 $-- $-- $--
***The original of this document MUST BE FILED with the United States Bankruptcy Court and a COPY MUST BE SENT to the United States Trustee*** REQUIRED INSURANCE MAINTAINED AS OF SIGNATURE DATE EXP. See attachment 2 DATE - ------------------------------ CASUALTY YES ( x) NO ( ) 08-01-02 LIABILITY YES ( x) NO ( ) 07-01-02 VEHICLE YES ( x) NO ( ) 07-01-02 WORKER'S YES ( x) NO ( ) 07-01-02 OTHER YES ( x) NO ( ) various ATTORNEY NAME: Jeff Spiers FIRM: Andrews & Kurth LLP ADDRESS: 600 Travis ADDRESS: Suite 4200 CITY, STATE ZIP: Houston, TX 77002 TELEPHONE: 713-220-4103 Are all accounts receivable being collected within terms? NO Are all post-petition liabilities, including taxes, being paid with terms? YES Have any pre-petition liabilities been paid? NO If so, describe - ------------------------------------------------------------------------------- Are all funds received being deposited into DIP bank accounts? YES Were any assets disposed of outside the normal course of business? NO If so, describe --------------------------------------------------------------- - ------------------------------------------------------------------------------- Are all U.S. Trustee Quarterly Fee Payments current? YES What is the status of your Plan of Reorganization? A Plan of Reorganization is currently being developed. - ------------------------------------------------------------------------------- I certify under penalty of perjury that the following complete Monthly Operating Report (MOR), consisting of MOR-1 through MOR-9 plus attachments, is true and correct. SIGNED /s/ PAUL VANDERHOVEN --------------------------------------------------- (ORIGINAL SIGNATURE) TITLE VP Finance, CFO -------------------------------------------------- MOR-1 CASE NAME: STERLING PULP CHEMICALS, INC. CASE NUMBER: 01-37812-H4-11
PAID COVERAGE POLICY PERIOD POLICY NO. LIMITS CARRIER THROUGH - ------------------------------------------------------------------------------------------------------------------------------------ See Attachment 2
MOR-1 ATTACHMENT 2 Page 3 of 14 11/19/01 SUMMARY OF COVERAGES FOR STERLING CHEMICALS HOLDINGS, INC.
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE - --- ----------------- -------------- ------------- ---- ------ ------------- 1 Workers Compensation Statutory - $1,000,000 Employers American Guar. 1 year 07/01/2002 Total annual Liability. Zurich US remuneration Ded. $250,000 per accident. 2 Automobile Liability $2,000,000 ea. occurrence. American Guar. 1 year 07/01/2002 Number of vehicles Ded. $25,000 per occurrence. Zurich Amer. owned and leased 3 Excess Liability $5,000,000 ea. occurrence and Primex, Ltd 1 year 07/01/2002 Annual revenues and Excess to $1 Million SIR aggregate. Excess $1,000,000 GL remuneration $2,000,000 AL. 4 Excess Liability $20,000,000 ea. loss and Primex, Ltd. 1 year 07/01/2002 Included aggregate. (Reinsured through AIG.) 5 Excess Liability $50,000,000 ea. loss and Gerling Global 1 year 07/01/2002 Flat charge - based aggregate. on exposures and risk potential 6 Excess Liability $100,000,000 ea. loss and Lloyd's 1 year 07/01/2002 Flat charge - based aggregate. Lore on exposures and risk potential 7 Excess Liability $50,000,000 Zurich 1 year 07/01/2002 Flat charge 8 Excess Liability $50,000,000 AIG 1 year 07/01/2002 Flat Charge
NO. TYPE OF INSURANCE ANNUAL PREMIUM - --- ----------------- -------------- 1 Workers Compensation $195,653 - Audit at (AFCO) expiration. Plus all losses within deductible. 2 Automobile Liability $92,955 (AFCO) 3 Excess Liability $451,090 Annual - Half on 7/1/01; 1/2 Excess to $1 Million SIR on 1/1/02. 4 Excess Liability Included 5 Excess Liability $295,000 6 Excess Liability $241,886 7 Excess Liability $109,210 8 Excess Liability $80,938
Page 4 of 14 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE - --- ----------------- -------------- ------------- ---- ------ ------------- 9 Excess Liability $50,000,000 Starr Excess 1 year 07/01/2002 Flat Charge 10 Marine Terminal $50,000,000 ea. occurrence. New Hampshire 1 year 07/01/2002 Based on volume Operators Liability and Ded. $25,000 per occurrence Ins. Co. thru Marsh throughput and no. Charterer's Legal $100,000 pollution per occurrence. London chartered vessels. Liability 11 Excess Marine Liability $24,000,000 excess of MTO, CLL, XL Specialty 1 year 07/01/2002 Volume thru put & P&L Brockbank & vessels docked. Liberty Und. 12 Excess Marine Liability $25,000,000 excess $24,000,000 XL Specialty 1 year 07/01/2002 Flat Brockbank & N.Y. Marine Gen. Ins. 13 Property Damage, $ Total insured values combined all- Munich Re: et. al 1 year 08/01/2002 Property Values.-PD Business Interruption and risk. Sublimits: Flood - $100 mil., Income values - BI Boiler & Machinery Earthquake - $100 mil., $10 mil PML, fire protection extra expense. Ded.: Petrochem available; many other $1,000,000 PD, 10 day - BI. Pulp & factors. Fibers - $1 mil. PD/BI. 14 Directors & $15,000,000 each loss and each National Union 1 year 08/21/2002 Various Officers Liability policy year. Ded. $1,000,000 Corp. Indemnity 15 Excess Directors & $10,000,000 excess of Primary Hartford 1 year 08/21/2002 Various Officers Liability D&O 16 Directors & Officers $10,000,000 XL Specialty Ins. 1 year 08/21/2002 Various Liability Co.
NO. TYPE OF INSURANCE ANNUAL PREMIUM - --- ----------------- -------------- 9 Excess Liability $62,500 10 Marine Terminal $27,000 (AFCO) Min. premium & Operators Liability and deposit Charterer's Legal Liability 11 Excess Marine Liability $57,375 12 Excess Marine Liability $21,250 13 Property Damage, Annual - Financed through AFCO. Business Interruption and $4.0M (est.) Boiler & Machinery 14 Directors & $316,000 (15 mos.) Officers Liability 15 Excess Directors & $223,700 (15 mos.) Officers Liability 16 Directors & Officers $115,000 (15 mos.) Liability
Page 5 of 14 11/19/01
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE - --- ----------------- -------------- ------------- ---- ------ ------------- 17 Employee Dishonesty & $5,000,000 each Insuring Texas Pacific 1 year 10/01/2002 Various Depositor's Forgery Agreement. Ded. $50,000. Chubb 18 Hull & Machinery and Barge Hull Value Zurich-Americano 1 year 07/01/2002 Hull & Machinery Protection & Indemnity (M-25 = $1,500,000) Insurance Co. values Ded. $5,000 per loss. $1,000,000 P&I 19 Pollution Insurance Section A - $250,000 Water Quality 1 year 07/01/2002 Hull gross registered Section B - $5,000,000 Insurance tonnage CERCLA - $5,000,000 Syndicate 20 Marine and Railroad $12,000,000 any one vessel Mutual Marine 1 year Continuing Declared shipment Cargo $1,000,000 any one barge values $1,000,000 any one rail ship. $100,000 any one truck 21 Duty Drawback Bond $1,000,000 Washington 1 year Continuing Limit International 22 Fiduciary $10,000,000 National Union 1 year 08/21/2002 Various Ded. $250,000 per occurrence 23 Environmental $4,000,000 per loss ECS 1 year 01/15/2002 Loss Potential Impairment Liability $8,000,000 aggregate (Indian Harbor) (Petrochem & Fibers) 24 Closure/Post Closure $1,995,222 Combined Underwriters 1 year Continuous Estimated Bonds - Petrochem Indemnity Closure/Post Closure Costs
NO. TYPE OF INSURANCE ANNUAL PREMIUM - --- ----------------- -------------- 17 Employee Dishonesty & $14,450 Depositor's Forgery 18 Hull & Machinery and $29,378 (AFCO) Protection & Indemnity 19 Pollution Insurance $4,258 (AFCO) 20 Marine and Railroad $40,000 Annual Approx. Cargo 21 Duty Drawback Bond $2,875 22 Fiduciary $22,000 - Financed through Imperial. 23 Environmental $106,200 - Financed through AFCO. Impairment Liability (Petrochem & Fibers) 24 Closure/Post Closure $40,610 Bonds - Petrochem
ANNUAL TOTAL: $3,459,260 * *Total fluctuates due to cargo premiums dependence upon volume of CIF export shipments and annual audits of Worker's Compensation and Marine Terminal policies. STERLING CHEMICALS HOLDINGS, INC. (ALL DEBTORS) CONSOLIDATING BALANCE SHEET FOR THE PERIOD ENDED OCTOBER 31, 2001 (In Thousands) (Unaudited)
-------------------------------------------------------------------------------------------- STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS HOLDINGS INC. INC. ENERGY, INC. INC. ASSETS 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 -------------------------------------------------------------------------------------------- Current Assets: Cash and cash equivalents $ 1,365 $ 926 $ -- $ 298 Trade accounts receivable, net -- 42,481 (2) 3,165 Other Receivables -- 2,577 -- -- Due from affiliates -- 20,172 12,392 3,977 Inventories -- 26,722 -- 8,921 Prepaid expenses 29 3,319 -- 69 Deferred income tax benefit -- -- -- -- ---------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 1,394 96,197 12,390 16,430 Property, plant and equipment, net -- 126,224 3,262 6,263 Deferred income taxes -- -- -- -- Investments-Third Party -- 1,500 4,556 -- Investments in Subs 35,060 95,072 -- -- Other assets 7,337 23,831 -- 1,404 ---------------------------------------------------------------------------------- TOTAL ASSETS $ 43,791 $ 342,824 $ 20,208 $ 24,097 ================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 63 103,386 1,645 5,964 Pre-Petition liabilities: Notes Payable - Secured * -- 227,848 -- 57,221 Secured Debt Accrued Interest * -- 22,400 -- 5,645 Unsecured debt 192,878 278,365 1,110 70,981 Other / Intercompany -- 201,020 -- -- Deferred income taxes -- -- -- -- ---------------------------------------------------------------------------------- Common stock held by new ESOP -- 254 -- 35 Less: Unearned compensation -- (458) -- 458 Redeemable preferred stock 27,567 (15,894) -- 15,891 STOCKHOLDERS' EQUITY: -- Common stock, $.01 par value -- 75 1 -- Additional paid-in capital (367,555) (232,797) -- 9,339 Retained earnings-Filing Date 191,923 (212,503) 15,333 (137,929) Retained earnings-Post Filing Date (1,085) (26,197) 2,119 (3,508) Pension adjustment -- (135) -- -- Accumulated translation adj. -- -- -- -- Deferred compensation -- (3) -- -- ---------------------------------------------------------------------------------- (176,717) (471,560) 17,453 (132,098) Treasury stock at cost -- (2,537) -- -- ---------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY (176,717) (474,097) 17,453 (132,098) TOTAL LIABILITIES AND EQUITY $ 43,791 $ 342,824 $ 20,208 $ 24,097 ==================================================================================
------------------------------------------------------------------------------------------ STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. ASSETS 01-37809-H4-11 0-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------------------------------------------------------------------------------ Current Assets: Cash and cash equivalents $ -- $ 329 $ -- $ 239 Trade accounts receivable, net -- 2,254 938 4,681 Other Receivables -- 4,357 -- -- Due from affiliates 2,717 46,929 1,389 6,729 Inventories -- -- 163 1,403 Prepaid expenses (283) -- -- -- Deferred income tax benefit -- -- -- -- --------------------------------------------------------------------------------- TOTAL CURRENT ASSETS 2,434 53,869 2,490 13,052 Property, plant and equipment, net -- -- -- 43,965 Deferred income taxes -- -- -- -- Investments-Third Party -- -- -- -- Investments in Subs -- 297,229 3,119 -- Other assets 2,731 6,822 -- -- --------------------------------------------------------------------------------- TOTAL ASSETS $ 5,165 $ 357,920 $ 5,609 $ 57,017 ================================================================================= LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 24 19,946 1,157 2,438 Pre-Petition liabilities: Notes Payable - Secured * 3,652 67,152 -- -- Secured Debt Accrued Interest * 361 6,625 -- -- Unsecured debt 840 265,155 170 62,478 Other / Intercompany -- 5,655 -- Deferred income taxes -- -- -- -- --------------------------------------------------------------------------------- Common stock held by new ESOP -- -- -- -- Less: Unearned compensation -- -- -- -- Redeemable preferred stock -- -- -- -- STOCKHOLDERS' EQUITY: Common stock, $.01 par value -- 48 -- -- Additional paid-in capital -- 83,348 5,438 3,118 Retained earnings-Filing Date 779 (90,594) (877) (10,909) Retained earnings-Post Filing Date (491) 585 (279) (108) Pension adjustment -- -- -- -- Accumulated translation adj. -- -- -- -- Deferred compensation -- -- -- -- --------------------------------------------------------------------------------- 288 (6,613) 4,282 (7,899) Treasury stock at cost -- -- -- -- --------------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY 288 (6,613) 4,282 (7,899) TOTAL LIABILITIES AND EQUITY $ 5,165 $ 357,920 $ 5,609 $ 57,017 =================================================================================
------------------------------------ DEBTORS ASSETS ELIMINATIONS CONSOLIDATED ------------------------------------ Current Assets: Cash and cash equivalents $ -- $ 3,157 Trade accounts receivable, net -- 53,517 Other Receivables -- 6,934 Due from affiliates (87,992) 6,313 Inventories -- 37,209 Prepaid expenses -- 3,134 Deferred income tax benefit -- -- ---------------------------------- TOTAL CURRENT ASSETS (87,992) 110,264 Property, plant and equipment, net -- 179,714 Deferred income taxes -- -- Investments-Third Party -- 6,056 Investments in Subs (385,026) 45,454 Other assets (1) 42,124 ---------------------------------- TOTAL ASSETS $(473,019) $ 383,612 ================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) (29,772) 104,851 Pre-Petition liabilities: Notes Payable - Secured * (60,873) 295,000 Secured Debt Accrued Interest * (6,006) 29,025 Unsecured debt (131,744) 740,233 Other / Intercompany (201,020) 5,655 Deferred income taxes -- -- Common stock held by new ESOP -- 289 Less: Unearned compensation -- -- Redeemable preferred stock -- 27,564 STOCKHOLDERS' EQUITY: -- Common stock, $.01 par value (1) 123 Additional paid-in capital (43,603) (542,712) Retained earnings-Filing Date -- (244,777) Retained earnings-Post Filing Date -- (28,964) Pension adjustment -- (135) Accumulated translation adj. -- -- Deferred compensation -- (3) ---------------------------------- (43,604) (816,468) Treasury stock at cost -- (2,537) ---------------------------------- TOTAL STOCKHOLDERS' EQUITY (43,604) (819,005) TOTAL LIABILITIES AND EQUITY $(473,019) $ 383,612 ==================================
* Senior Secured Notes were issued by Sterling Chemicals, Inc., but a percentage is pushed down to the subsidiaries. MOR 2 - 3 CASE NAME: STERLING PULP CHEMICALS, INC. CASE NUMBER: 01-37812-H4-11 SCHEDULE OF POST-PETITION LIABILITIES
---------------------------------------------------------------------------------------------- 8/31/2001(1) Sep-2001 10/31/01 MONTH MONTH MONTH ---------------------------------------------------------------------------------------------- TRADE ACCOUNTS PAYABLE $ 1,029 $ 2,220 $ 2,039 $ -- $ -- ROYALTY AND REVENUE PAYABLE -- -- -- -- -- NOTES PAYABLE - INSURANCE -- -- -- -- -- TAX PAYABLE: -- -- Federal Payroll Taxes -- -- -- -- -- State Payroll & Sales -- -- -- -- -- Ad Valorem Taxes -- -- -- -- -- Other Taxes 40 50 76 -- -- TOTAL TAXES PAYABLE $ 40 $ 50 $ 76 $ -- $ -- $ -- SECURED DEBT POST-PETITION -- -- -- -- -- ACCRUED INTEREST PAYABLE -- -- -- -- -- *ACCRUED PROFESSIONAL FEES: -- -- -- -- -- OTHER ACCRUED LIABILITIES: 1208 1. General and Administrative Costs 343 447 323 -- -- 2. Lease Operating Expenses/Capital -- -- -- TOTAL POST-PETITION LIABILITIES (MOR-3) $ 2,620 $ 2,716 $ 2,438 $ -- $ -- $ -- ====================================================================================================================================
*Payment Requires Court Approval (1) Represents the period 07/17/01 thru 08/31/01. MOR-4 CONSOLIDATED DEBTORS(1) AGING OF POST-PETITION LIABILITIES MONTH 10/31/01 -----------------------
================================================================================================================================ AD-VALOREM, ROYALTY DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES AND INSURANCE ================================================================================================================================ 0-30 $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- -------------------------------------------------------------------------------------------------------------------------------- 31-60 -- -------------------------------------------------------------------------------------------------------------------------------- 61-90 -- -------------------------------------------------------------------------------------------------------------------------------- 91 + -- -------------------------------------------------------------------------------------------------------------------------------- TOTAL $ 104,850 $ 102,518 $ -- $ 44 $ 2,288 $ -- ================================================================================================================================
AGING OF ACCOUNTS RECEIVABLE
================================================================================================================================ MONTH ================================================================================================================================ 0-30 $ 45,074 $ 45,074 $ -- $ -- $ -- $ -- -------------------------------------------------------------------------------------------------------------------------------- 31-60 1,353 1,353 -- -- -- -------------------------------------------------------------------------------------------------------------------------------- 61-90 2,793 2,793 -- -- -- -------------------------------------------------------------------------------------------------------------------------------- 91 + 13,412 13,412 -- -- -- -------------------------------------------------------------------------------------------------------------------------------- TOTAL $ 62,632 $ 62,632 $ -- $ -- $ -- $ -- ================================================================================================================================
(1) MOR 5 is presented only on a consolidated debtor basis. (2) Days aging from due date. (3) Days aging from invoice due date. MOR-5 CASE NAME: STERLING CHEMICALS HOLDINGS, INC (ALL DEBTORS) FOR THE MONTH ENDING OCTOBER 31, 2001 STATEMENT OF INCOME (LOSS)
STERLING CHEMICALS STERLING CHEMICALS, STERLING CHEMICALS STERLING FIBERS, HOLDINGS, INC. INC. ENERGY, INC. INC. 01-37805-H4-11 01-37806-H4-11 01-37807-H4-11 01-37808-H4-11 ------------------ ------------------ ------------------ ------------------ MONTH REVENUES (MOR-1) $ -- $ 21,691,268 $ 155,612 $ 1,891,936 TOTAL COST OF REVENUES -- 20,932,563 155,612 2,007,647 GROSS PROFIT $ -- $ 758,705 $ -- $ (115,711) ==================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 61,848 $ 506,893 $ -- $ 193,547 Insiders Compensation -- 156,110 -- -- Professional Fees -- 1,045,068 -- -- Other (Earnings in Joint Venture) -- 600,671 (600,671) -- TOTAL OPERATING EXPENSE $ 61,848 $ 2,308,742 $ (600,671) $ 193,547 ==================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ (61,848) $ (1,550,037) $ 600,671 $ (309,258) INTEREST EXPENSE (includes amort of debt fees) (5,722) 2,401,351 -- 614,434 DEPRECIATION -- 1,899,369 -- 48,077 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ (5,722) $ 4,300,720 $ -- $ 662,511 ==================================================================================================================================== NET INCOME BEFORE TAXES $ (56,126) $ (5,850,757) $ 600,671 $ (971,769) INCOME TAXES -- -- 28,531 -- ==================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ (56,126) $ (5,850,757) $ 572,140 $ (971,769) ==================================================================================================================================== STERLING CHEMICALS STERLING CANADA, STERLING PULP STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. CHEMICALS, INC. 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 01-37812-H4-11 ------------------ ------------------ ------------------ ------------------ MONTH REVENUES (MOR-1) $ 83,333 $ 1,076,560 $ 289,723 $ 3,168,738 TOTAL COST OF REVENUES -- 46,938 530,074 2,134,415 GROSS PROFIT $ 83,333 $ 1,029,622 $ (240,351) $ 1,034,323 =================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 10,994 $ 242,991 $ (106,553) $ 628,398 Insiders Compensation -- -- -- -- Professional Fees -- -- -- -- Other (Earnings in Joint Venture) -- -- -- -- TOTAL OPERATING EXPENSE $ 10,994 $ 242,991 $ (106,553) $ 628,398 =================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 72,339 $ 786,631 $ (133,798) $ 405,925 INTEREST EXPENSE (includes amort of debt fees) 37,665 160,379 -- -- DEPRECIATION 23,000 485,795 -- 405,189 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 60,665 $ 646,174 $ -- $ 405,189 =================================================================================================================================== NET INCOME BEFORE TAXES $ 11,674 $ 140,457 $ (133,798) $ 736 INCOME TAXES -- -- -- -- =================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ 11,674 $ 140,457 $ (133,798) $ 736 =================================================================================================================================== DEBTORS ELIMINATIONS CONSOLIDATED ---------------- ------------------ MONTH REVENUES (MOR-1) $ (83,333) $ 28,273,837 TOTAL COST OF REVENUES (83,333) 25,723,916 GROSS PROFIT $ -- $ 2,549,921 ======================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ (452,308) 1,085,810 Insiders Compensation -- 156,110 Professional Fees -- 1,045,068 Other (Earnings in Joint Venture) -- -- -- -- TOTAL OPERATING EXPENSE $ (452,308) $ 2,286,988 ======================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 452,308 262,933 INTEREST EXPENSE (includes amort of debt fees) 452,308 3,660,415 DEPRECIATION -- 2,861,430 OTHER (INCOME) EXPENSES* -- -- OTHER ITEMS** -- -- TOTAL INT. DEPR & OTHER ITEMS $ 452,308 $ 6,521,845 ======================================================================================== NET INCOME BEFORE TAXES $ -- $ (6,258,912) INCOME TAXES -- 28,531 ======================================================================================== NET INCOME (LOSS) (MOR-1) $ -- $ (6,287,443) ========================================================================================
Accrual Accounting Required, Otherwise Footnote With Explanation * Footnote Mandatory ** Unusual and/or frequent item(s) outside the ordinary course of business; requires footnote MOR-6 CASE NAME: STERLING PULP CHEMICALS, INC. CASE NUMBER: 01-37812-H4-11
===================================================================================================================== CASH RECEIPTS AND Month Month Month Month Month Month DISBURSEMENTS 8/31/2001(1) 9/30/01 10/31/01 --------------------------------------------------------------------------------------------------------------------- 1. CASH-BEGINNING OF MONTH $ 308,953 $ (78,711) $ 170,374 $ -- $ -- $ -- ------------ ----------- ---------- ----- ----- ------ RECEIPTS: 2. CASH SALES $ -- $ -- $ -- $ -- $ -- $ -- ------------ ----------- ---------- ----- ----- ------ 3. COLLECTION OF ACCOUNTS RECEIVABLE 4,593,479 2,187,309 3,520,713 -- -- -- ------------ ----------- ---------- ----- ----- ------ 4. LOANS & ADVANCES (attach list) -- -- -- -- -- -- ------------ ----------- ---------- ----- ----- ------ 5. SALE OF ASSETS -- -- -- -- -- -- ------------ ----------- ---------- ----- ----- ------ 6. OTHER (attach list) 1,994,032 3,159,466 3,111,505 -- -- -- ------------ ----------- ---------- ----- ----- ------ TOTAL RECEIPTS $ 6,587,511 $ 5,346,775 $6,632,218 $ -- $ -- $ -- ------------ ----------- ---------- ----- ----- ------ (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A N/A ------------ ----------- ---------- ----- ----- ------ DISBURSEMENTS: 7. NET PAYROLL $ -- $ -- $ -- $ -- $ -- $ -- ------------ ----------- ---------- ----- ----- ------ 8. PAYROLL TAXES PAID -- -- -- -- -- -- ------------ ----------- ---------- ----- ----- ------ 9. SALES, USE & OTHER TAXES PAID -- -- -- -- -- -- ------------ ----------- ---------- ----- ----- ------ 10. SECURED/RENTAL/LEASES 4,002 2,538 3,198 -- -- -- ------------ ----------- ---------- ----- ----- ------ 11. UTILITIES 548,000 1,077,734 2,383,745 -- -- -- ------------ ----------- ---------- ----- ----- ------ 12. INSURANCE -- -- -- -- -- -- ------------ ----------- ---------- ----- ----- ------ 13. INVENTORY PURCHASES 188,215 251,647 291,355 -- -- -- ------------ ----------- ---------- ----- ----- ------ 14. VEHICLE EXPENSES -- -- -- -- -- -- ------------ ----------- ---------- ---- ----- ------ 15. TRAVEL & ENTERTAINMENT 1,606 487 8,200 -- -- -- ------------ ----------- ---------- ----- ----- ------ 16. REPAIRS, MAINTENANCE & SUPPLIES 135,944 71,367 82,154 -- -- -- ------------ ----------- ---------- ----- ----- ------ 17. ADMINISTRATIVE & SELLING 254,459 228,571 202,541 -- -- -- ------------ ----------- ---------- ----- ----- ------ 18. OTHER (attach list) 5,842,948 3,465,346 3,592,791 -- -- -- ------------ ----------- ---------- ----- ----- ------ TOTAL DISBURSEMENTS FROM OPERATIONS $ 6,975,175 $ 5,097,690 $6,563,984 $ -- $ -- $ -- ------------ ----------- ---------- ----- ----- ------ 19. PROFESSIONAL FEES $ -- $ -- $ -- $ -- $ -- $ -- ------------ ----------- ---------- ----- ----- ------ 20. U.S. TRUSTEE FEES -- -- -- -- -- -- ------------ ----------- ---------- ----- ----- ------ 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- -- -- -- ------------ ----------- ---------- ----- ----- ------ TOTAL DISBURSEMENTS $ 6,975,175 $ 5,097,690 $6,563,984 $ -- $ -- $ -- ------------ ----------- ---------- ----- ----- ------ 22. NET CASH FLOW $ (387,664) $ 249,085 $ 68,234 $ -- $ -- $ -- ------------ ----------- ---------- ----- ----- ------ 23. CASH - END OF MONTH (MOR-2) $ (78,711) $ 170,374 $ 238,608 $ -- $ -- $ -- ============ =========== ========== ===== ===== ====== =================================================================== CASH RECEIPTS AND FILING TO DISBURSEMENTS DATE ------------------------------------------------------------------- 1. CASH-BEGINNING OF MONTH $ 308,953 ----------- RECEIPTS: 2. CASH SALES $ -- ----------- 3. COLLECTION OF ACCOUNTS RECEIVABLE 10,301,501 ----------- 4. LOANS & ADVANCES (attach list) -- ----------- 5. SALE OF ASSETS -- ----------- 6. OTHER (attach list) 8,265,003 ----------- TOTAL RECEIPTS $18,566,504 ----------- (Withdrawal)Contribution by Individual Debtor MFR-2* N/A ----------- DISBURSEMENTS: 7. NET PAYROLL $ -- ----------- 8. PAYROLL TAXES PAID -- ----------- 9. SALES, USE & OTHER TAXES PAID -- ----------- 10. SECURED/RENTAL/LEASES 9,738 ----------- 11. UTILITIES 4,009,479 ----------- 12. INSURANCE -- ----------- 13. INVENTORY PURCHASES 731,217 ----------- 14. VEHICLE EXPENSES -- ----------- 15. TRAVEL & ENTERTAINMENT 10,294 ----------- 16. REPAIRS, MAINTENANCE & SUPPLIES 289,466 ----------- 17. ADMINISTRATIVE & SELLING 685,571 ----------- 18. OTHER (attach list) 12,901,085 ----------- TOTAL DISBURSEMENTS FROM OPERATIONS $18,636,848 ----------- 19. PROFESSIONAL FEES $ -- ----------- 20. U.S. TRUSTEE FEES -- ----------- 21. OTHER REORGANIZATION EXPENSES (attach list) -- ----------- TOTAL DISBURSEMENTS $18,636,848 ----------- 22. NET CASH FLOW $ (70,345) ----------- 23. CASH - END OF MONTH (MOR-2) $ 238,608 ===========
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING PULP CHEMICALS, INC. CASE NUMBER: 01-37812-H4-11
=================================================================================================================================== OTHER CASH RECEIPTS AND 8/31/2001 (1) Sep-01 Oct-01 Nov-01 Dec-01 Jan-02 FILING TO DISBURSEMENTS: DATE - ----------------------------------------------------------------------------------------------------------------------------------- 6.OTHER RECEIPTS: Interest Income $ -- $ -- $ -- $ -- $ -- $ -- $ -- ---------- ---------- ---------- ---- ---- ---- ----------- 401(k) Plan Refund -- -- -- -- -- -- -- ---------- ---------- ---------- ---- ---- ---- ----------- Cobra Insurance Payment -- -- -- -- -- -- -- ---------- ---------- ---------- ---- ---- ---- ----------- Miscellaneous -- -- -- -- -- -- -- ---------- ---------- ---------- ---- ---- ---- ----------- Emission Credits -- -- -- -- -- -- -- ---------- ---------- ---------- ---- ---- ---- ----------- Trade AR receipts of an affiliated co. SPC LTD 448,032 120,020 505 -- -- -- 568,557 ---------- ---------- ---------- ---- ---- ---- ----------- Cash advance from Sterling Chemicals 1,546,000 1,750,000 3,111,000 -- -- -- 6,407,000 ---------- ---------- ---------- ---- ---- ---- ----------- cash receipts re Inter company AR -- 1,289,446 ---------- ---------- ---------- ---- ---- ---- ----------- TOTAL OTHER RECEIPTS $1,994,032 $3,159,466 $3,111,505 $ -- $ -- $ -- $ 6,975,557 ---------- ---------- ---------- ---- ---- ---- ----------- 18.OTHER DISBURSEMENTS: Capital Expenditures $ -- $ 73,370 $ 81,005 $ -- $ -- $ -- $154,375.10 ---------- ---------- ---------- ---- ---- ---- ----------- Interest Payment -- -- -- -- -- -- -- ---------- ---------- ---------- ---- ---- ---- ----------- Restricted Cash - Bond Funding -- -- -- -- -- -- -- ---------- ---------- ---------- ---- ---- ---- ----------- Pre-petition checks voided in current period -- -- -- -- -- -- -- ---------- ---------- ---------- ---- ---- ---- ----------- Trade AR receipts of an affiliated co. SPC LTD 596,035 -- -- -- -- -- 596,035 ---------- ---------- ---------- ---- ---- ---- ----------- CIT revolver cash sweep 5,246,912 2,102,530 3,511,786 ---------- ---------- ---------- ---- ---- ---- ----------- Return of investment to SPCUS 81,069 -- -- -- -- 81,069 ---------- ---------- ---------- ---- ---- ---- ----------- cash disbursements re Inter company AP 1,208,377 ---------- ---------- ---------- ---- ---- ---- ----------- TOTAL OTHER DISBURSEMENTS $5,842,948 $3,465,346 $3,592,791 $ -- $ -- $ -- $ 831,479 ========== ========== ========== ==== ==== ==== ===========
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01 MOR-7 ATTACHMENT CASE NAME: STERLING PULP CHEMICALS INC. CASE NUMBER: 01-37812-H3-11 CASH ACCOUNT RECONCILIATION MONTH OF OCTOBER 31, 2001 --------------------------------- BANK NAME Bank One Chase Manhattan Chase Manhattan First State Bank - ---------------------------------------------------------------------------------------------------------------------------------- ACCOUNT NUMBER 5589665 001-00546119 001-03317146 Consolidated 011-077-220-1 - ---------------------------------------------------------------------------------------------------------------------------------- ACCOUNT TYPE Lock Box General Checking Checking TOTAL - ---------------------------------------------------------------------------------------------------------------------------------- BANK BALANCE $ 256,145 $ 100 $ 579 $ 256,824 $ 41,358 $ 298,181 - ---------------------------------------------------------------------------------------------------------------------------------- DEPOSIT IN TRANSIT 17,213 $ 17,213 17,213 - ---------------------------------------------------------------------------------------------------------------------------------- OUTSTANDING CHECKS (74,527) (74,527) (2,259) (76,786) - ---------------------------------------------------------------------------------------------------------------------------------- ADJUSTED BANK BALANCE $ 256,145 $ 100 $ (56,736) $ 199,509 $ 39,099 $ - $ - $ 238,608 - ---------------------------------------------------------------------------------------------------------------------------------- BEGINNING CASH - PER BOOKS $ 246,711 $ 100 $ (123,240) $ 123,571 $ 46,801 170,372 - ---------------------------------------------------------------------------------------------------------------------------------- RECEIPTS 3,001,144 520,076 3,111,000 6,632,220 - 6,632,220 - ---------------------------------------------------------------------------------------------------------------------------------- TRANSFERS BETWEEN ACCOUNTS - - - - - ---------------------------------------------------------------------------------------------------------------------------------- (WITHDRAWAL)CONTRIBUTION- - - ---------------------------------------------------------------------------------------------------------------------------------- BY INDIVIDUAL DEBTOR MFR-2 - - ---------------------------------------------------------------------------------------------------------------------------------- CHECKS/OTHER DISBURSEMENTS (2,991,710) (520,076) (3,044,495) (6,556,281) (7,702) (6,563,983) - ---------------------------------------------------------------------------------------------------------------------------------- ENDING CASH - PER BOOKS $ 256,145 $ 100 $ (56,735) $ 199,510 $ 39,099 $ - $ - $ 238,608 ==================================================================================================================================
MOR-8 CASE NAME: STERLING PULP CHEMICALS, INC. CASE NUMBER: 01-37812-H4-11 PAYMENT TO INSIDERS AND PROFESSIONALS Of the total disbursements shown for the month, list the amount paid to insiders (as defined in Section 101(31)(A)-(F) of the U.S. Bankruptcy Code) and the professionals. Also, for insiders identify the type of compensation paid (e.g., salary, commission, bonus, etc.) (Attach additional pages as necessary.)
================================================================================================================================= 8/31/2001 (1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 FILING TO INSIDERS: NAME/POSITION/COMP TYPE (2) DATE 1. $-- $-- $-- $-- $-- $-- $-- --- --- --- --- --- --- --- 2. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 3. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 4. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 5. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 6. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 7. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 8. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 9. -- -- -- -- -- -- -- --- --- --- --- --- --- --- TOTAL INSIDERS (MOR-1) $-- $-- $-- $-- $-- $-- $-- === === === === === === ===
================================================================================================================== 8/31/2001 (1) Sep-2001 Oct-2001 Nov-2001 Dec-2001 Jan-2002 FILING TO PROFESSIONALS DATE NAME/ORDER DATE 1. $-- $-- $-- $-- $-- $-- $-- --- --- --- --- --- --- --- 2. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 3. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 4. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 5. -- -- -- -- -- -- -- --- --- --- --- --- --- --- 6. -- -- -- -- -- -- -- --- --- --- --- --- --- --- TOTAL PROFESSIONALS (MOR-1) $-- $-- $-- $-- $-- $-- $-- === === === === === === ===
(1) REPRESENTS THE PERIOD 07/17/01 THRU 08/31/01. (2) THE DEBTOR HAS LIMITED THE SCOPE OF ITS ANSWER TO (I) DIRECTORS, (II) OFFICERS DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(A) OF THE SECURITIES AND EXCHANGE ACT OF 1934, (III) AFFILIATES ; AND (IV) PARTIES TO THE VOTING AGREEMENT GRANTING AUTHORITY TO DESIGNATED THE NOMINEES WHO BENEFIT FROM THE VOTING AGREEMENT. INFORMATION AS TO OFFICERS WHO ARE NOT DESIGNATED AS INSIDERS FOR PURPOSES OF SECTION 16(A) OF THE SEC ACT OF 1934 HAS BEEN COMPLIED BY THE DEBTOR AND WILL BE PROVIDED TO THE OFFICE OF THE UNITED STATES TRUSTEE AND TO THE COUNCIL FOR THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS UPON REQUEST. SUCH INFORMATION PRIMARILY RELATES TO COMPENSATION, BENEFITS AND EXPENSE REIMBURSEMENTS PAYMENTS MADE TO SUCH OFFICERS AS EMPLOYEES OF THE DEBTOR. IT IS THE POLICY OF THE DEBTOR TO PRESERVE THE CONFIDENTIALITY OF SUCH INFORMATION ON BEHALF OF ITS EMPLOYEES. (3) ALL PAYMENTS TO DIRECTORS AND OFFICERS, AS DEFINED IN FOOTNOTE (2) ABOVE, ARE MADE BY STERLING CHEMICALS, INC., A JOINTLY ADMINISTERED DEBTOR (CASE #01-37806-H4-11. MOR-9 -----END PRIVACY-ENHANCED MESSAGE-----