EX-99.4 6 h99399exv99w4.txt MONTHLY OPERATING RPT.-STERLING FIBERS, INC. 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: JULY YEAR: 2002
MONTH 1/31/02 2/28/02 3/31/02 4/30/02 5/31/02 6/30/02 7/31/02 Revised Revised Revised Revised ----------------------------------------------------------------------------------------------------------------------------------- REVENUES (MOR-6) $ 1,578,891 $ 1,141,971 $ 1,554,279 $1,707,430 $1,769,204 $ 1,693,508 $ 1,861,900 INCOME BEFORE INT. DEPREC./TAX (MOR-6) $ (339,192) $ (604,191) $ (421,580) $ (127,852) $ (180,394) $ (511,621) $ (513,676) NET INCOME (LOSS) (MOR-6) $(1,001,244) $(1,266,289) $(1,083,585) $ (789,902) $ (842,445) $(1,173,671) $(1,175,772) PAYMENTS TO INSIDERS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- PAYMENTS TO PROFESSIONALS (MOR-9) $ -- $ -- $ -- $ -- $ -- $ -- TOTAL DISBURSEMENTS (MOR-7)(1) $ 2,724,120 $ 2,573,236 $ 2,738,115 $3,182,878 $2,867,783 $ 2,703,564 $ 3,117,479 (1) Excludes intercompany transfers as follows: $ 393,386 $ 200,000 $ 210,000 $ 230,000 $ 205,000 $ 190,000 $ 325,000
***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 proposed Plan of Reorganization was filed with the U.S. Bankruptcy Court on May 14, 2002. -------------------------------------------------------------------------------- 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 14 8/19/02 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 7/1/03 Total annual Liability. Zurich US remuneration Ded. $250,000 per accident. 2 Automobile Liability $2,000,000 ea. occurrence. American Guar. 1 year 7/1/03 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 7/1/03 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 7/1/03 Included aggregate. (Reinsured through Munich Re:) 5 Excess Liability $50,000,000 ea. loss and Gerling Global 1 year 7/1/03 Flat charge - based aggregate. on exposures and risk potential 6 Excess Liability $50,000,000 ea. loss and Zurich Energy - 1 year 7/1/03 Flat charge - based aggregate. London on exposures and 7 Excess Liability $50,000,000 Swiss Re: 1 year 7/1/03 Flat charge 8 Excess Liability $50,000,000 Zurich Ins. 1 year 7/1/03 Flat Charge 9 Excess Liability $100,000,000 Starr Excess 1 year 7/1/03 Flat Charge 10 Marine Terminal $50,000,000 ea. occurrence. New Hampshire Ins. 1 year 7/1/03 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 7/1/03 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 7/1/03 Flat Brockbank & N.Y. Marine Gen. Ins.
Page 4 of 14 8/19/02
NO. TYPE OF INSURANCE AMOUNTS/LIMITS INSURANCE CO. TERM EXPIRE EXPOSURE BASE --- ----------------- -------------- ------------- ---- ------ ------------- 13 Property Damage, $500 million combined FM Global, 1 year 8/1/03 Property Values - PD Business Interruption all-risk. Sublimits: Flood - Munich Re:, et. al. Income values - BI and Boiler & Machinery $100 mil., Earthquake - $100 PML, fire protection mil., $10 mil extra expense. available; many other factors. 14 Directors & Officers $15,000,000 each loss and each National Union 1 year 8/21/03 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 8/21/03 Various Officers Liability 16 Directors & Officers $10,000,000 XL Specialty Ins. 1 year 8/21/03 Various Liability Co. 17 Employee Dishonesty & $5,000,000 each Insuring Texas Pacific 1 year 10/1/04 Various Depositor's Forgery Agreement. Ded. $25,000. Chubb 18 Hull & Machinery and Barge Hull Value Great-American 1 year 7/1/03 Hull & Machinery Protection & Indemnity (M-25 = $1,500,000) Insurance Co. values Ded. $5,000 per loss. of NY $1,000,000 P&I 19 Pollution Insurance Section A - $250,000 Water Quality 1 year 7/1/03 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 8/21/03 Various Ded. $250,000 per occurrence 23 Environmental Impairment $4,000,000 per loss Chubb 1 year 2/20/03 Loss Potential Liability (Petrochem & $8,000,000 aggregate Fibers) 24 Closure/Post Closure $1,995,222 Combined Underwriters 1 year Continuous Estimated Bonds - Petrochem Indemnity Closure/Post Closure Costs ANNUAL TOTAL: *
* 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 JULY 31, 2002 (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 $ 808 $ - $ 139 Trade accounts receivable, net - 63,159 65 2,912 Other Receivables - 500 - 3,048 Due from affiliates 1,375 25,754 13,785 - Inventories - 30,182 - 7,926 Prepaid expenses 33 4,422 - 92 Deferred income tax benefit - - - - ------------------------------------------------------------------------------------ TOTAL CURRENT ASSETS 1,409 124,825 13,850 14,117 Property, plant and equipment, net - 117,553 2,699 5,835 Deferred income taxes - - - - Investments-Third Party - 1,500 5,332 - Investments in Subs 35,060 94,735 - - Other assets 865 33,798 - 1,185 ------------------------------------------------------------------------------------ TOTAL ASSETS $ 37,334 $ 372,411 $ 21,881 $ 21,137 ==================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 219 170,644 1,298 7,220 Pre-Petition liabilities: Notes Payable - Secured * - 227,848 - 57,221 Secured Debt Accrued Interest * - 43,548 - 10,956 Secured - Other 410 Unsecured debt 186,538 258,981 1,110 70,859 Other / Intercompany - 201,020 - - Deferred income taxes - - - - Common stock held by new ESOP - 254 - 35 Less: Unearned compensation - - - - Redeemable preferred stock 27,297 (15,794) - 15,769 STOCKHOLDERS' EQUITY: Common stock, $.01 par value - 75 1 - Additional paid-in capital (367,555) (235,013) - 7,874 Retained earnings-Filing Date 191,923 (212,503) 15,333 (137,929) Retained earnings-Post Filing Date (1,088) (61,124) 4,139 (10,868) Pension adjustment - (3,398) - - Accumulated translation adj. - - - - Deferred compensation - - - - ------------------------------------------------------------------------------------ (176,720) (511,963) 19,473 (140,923) Treasury stock at cost - (2,537) - - ------------------------------------------------------------------------------------ TOTAL STOCKHOLDERS' EQUITY (176,720) (514,500) 19,473 (140,923) TOTAL LIABILITIES AND EQUITY $ 37,334 $ 372,411 $ 21,881 $ 21,137 ====================================================================================
-------------------------------------------------------------------------------- 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 $ - $ 170 $ - $ 212 Trade accounts receivable, net - 2,372 1,076 4,678 Other Receivables - 4,406 - - Due from affiliates 3,467 58,291 676 8,733 Inventories - - 117 1,609 Prepaid expenses - - - 1 Deferred income tax benefit - - - - ---------------------------------------------------------------------------- TOTAL CURRENT ASSETS 3,467 65,239 1,869 15,233 Property, plant and equipment, net - - - 41,446 Deferred income taxes - - - - Investments-Third Party - - - - Investments in Subs - 295,811 1,451 - Other assets 2,524 2,208 - - --------------------------------------------------------------------------- TOTAL ASSETS $ 5,991 $ 363,258 $ 3,320 $ 56,679 =========================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) 86 24,650 799 1,542 Pre-Petition liabilities: Notes Payable - Secured * 3,652 67,152 - - Secured Debt Accrued Interest * 700 12,857 - - Secured - Other Unsecured debt 1,123 265,052 170 62,343 Other / Intercompany - - - 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 4,020 1,451 Retained earnings-Filing Date 779 (90,594) (877) 1,518 Retained earnings-Post Filing Date (349) 745 (792) (10,175) Pension adjustment - - - - Accumulated translation adj. - - - - Deferred compensation - - - - --------------------------------------------------------------------------- 430 (6,453) 2,351 (7,206) Treasury stock at cost - - - - --------------------------------------------------------------------------- TOTAL STOCKHOLDERS' EQUITY 430 (6,453) 2,351 (7,206) TOTAL LIABILITIES AND EQUITY $ 5,991 $ 363,258 $ 3,320 $ 56,679 ===========================================================================
------------------------------------ DEBTORS ASSETS ELIMINATIONS CONSOLIDATED ------------------------------------ Current Assets: Cash and cash equivalents $ - $ 1,330 Trade accounts receivable, net - 74,262 Other Receivables - 7,954 Due from affiliates (112,357) (276) Inventories - 39,834 Prepaid expenses - 4,548 Deferred income tax benefit - - -------------------------------- TOTAL CURRENT ASSETS (112,357) 127,652 Property, plant and equipment, net - 167,533 Deferred income taxes - - Investments-Third Party - 6,832 Investments in Subs (381,604) 45,453 Other assets (1) 40,579 -------------------------------- TOTAL ASSETS $(493,962) $ 388,049 ================================ LIABILITIES AND STOCKHOLDERS' EQUITY Post Petition liabilities (MOR-4) (47,094) 159,364 Pre-Petition liabilities: Notes Payable - Secured * (60,873) 295,000 Secured Debt Accrued Interest * (11,656) 56,405 Secured - Other 410 Unsecured debt (133,138) 713,038 Other / Intercompany (201,020) - Deferred income taxes - - Common stock held by new ESOP - 289 Less: Unearned compensation - - Redeemable preferred stock - 27,272 STOCKHOLDERS' EQUITY: Common stock, $.01 par value (1) 123 Additional paid-in capital (40,180) (546,055) Retained earnings-Filing Date - (232,350) Retained earnings-Post Filing Date - (79,512) Pension adjustment - (3,398) Accumulated translation adj. - - Deferred compensation - - -------------------------------- (40,181) (861,192) Treasury stock at cost - (2,537) -------------------------------- TOTAL STOCKHOLDERS' EQUITY (40,181) (863,729) TOTAL LIABILITIES AND EQUITY $(493,962) $ 388,049 ================================
* 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
----------------------------------------------------------------------------------------- 1/31/02 2/28/02 3/31/02 4/30/02 5/31/02 6/30/02 7/31/01 ----------------------------------------------------------------------------------------- TRADE ACCOUNTS PAYABLE $ 5,479 $ 5,821 $ 6,096 $ 6,168 $ 6,443 $ 6,794 $ 6,905 ROYALTY AND REVENUE PAYABLE -- -- -- NOTES PAYABLE - INSURANCE -- -- -- TAX PAYABLE: -- Federal Payroll Taxes -- -- -- State Payroll & Sales (3) -- (1) (1) (2) (3) (4) Ad Valorem Taxes -- -- -- -- Other Taxes 162 232 220 245 270 295 320 TOTAL TAXES PAYABLE $ 159 $ 232 $ 219 $ 244 $ 268 $ 292 $ 316 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) $ 5,638 $ 6,053 $ 6,315 $ 6,412 $ 6,711 $ 7,086 $ 7,221 ================================================================================================================================
*Payment Requires Court Approval MOR-4 CONSOLIDATED DEBTORS(1) (000s)
AGING OF POST-PETITION LIABILITIES MONTH JULY 2002 ------------------ AD-VALOREM, ROYALTY DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES AND INSURANCE ---- -------- ----------- --------- ----------- ----------- ------------- 0-30 $159,364 $ 149,287 $ -- $ 415 $ 4,816 $ 4,846 31-60 61-90 91 + -------- --------- --------- ----------- ----------- ------------- TOTAL $159,364 $ 149,287 $ -- $ 415 $ 4,816 $ 4,846 ======== ========= ========= =========== =========== =============
AGING OF ACCOUNTS RECEIVABLE(1)
MONTH --------- 0-30 $ 59,395 $ 59,395 $ -- $ -- $ -- $ -- 31-60 122 122 -- -- -- -- 61-90 859 859 -- -- -- -- 91 + 28,749 28,749 -- -- -- -- -------- -------- -------- -------- -------- -------- TOTAL $ 89,125 $ 89,125 $ -- $ -- $ -- $ -- ======== ======== ======== ======== ======== ========
(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 JULY 31, 2002 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) $ -- $ 31,375,535 $ 212,365 $ 1,861,900 TOTAL COST OF REVENUES -- 28,776,747 212,365 2,239,380 GROSS PROFIT $ -- $ 2,598,788 $ -- $ (377,480) ==================================================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 41,359 $ 995,615 $ -- $ 136,196 Insiders Compensation -- -- -- -- Professional Fees -- 1,574,317 -- -- Other (Earnings in Joint Venture) -- 433,509 (50,511) -- TOTAL OPERATING EXPENSE $ 41,359 $ 3,003,441 $ (50,511) $ 136,196 ==================================================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ (41,359) $ (404,653) $ 50,511 $ (513,676) INTEREST EXPENSE (includes amort of debt fees) -- 2,545,388 -- 614,434 DEPRECIATION -- 1,959,389 -- 47,662 OTHER (INCOME) EXPENSES* -- -- -- -- OTHER ITEMS** -- -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ -- $ 4,504,777 $ -- $ 662,096 ==================================================================================================================================== NET INCOME BEFORE TAXES $ (41,359) $ (4,909,430) $ 50,511 $ (1,175,772) INCOME TAXES -- -- 2,385 -- ==================================================================================================================================== NET INCOME (LOSS) (MOR-1) $ (41,359) $ (4,909,430) $ 48,126 $ (1,175,772) ==================================================================================================================================== STERLING CHEMICALS STERLING CANADA, STERLING PULP INT'L, INC. INC. CHEMICALS US, INC. MONTH 01-37809-H4-11 01-37810-H4-11 01-37811-H4-11 ------------------- ------------------ ------------------ REVENUES (MOR-1) $ 83,333 $ 938,666 $ 578,568 TOTAL COST OF REVENUES -- 75,015 695,045 GROSS PROFIT $ 83,333 $ 863,651 $ (116,477) ============================================================================================================== OPERATING EXPENSES: Selling, General & Administrative $ 10,652 $ 253,095 $ (96,072) Insiders Compensation -- -- -- Professional Fees -- -- -- Other (Earnings in Joint Venture) -- -- -- TOTAL OPERATING EXPENSE $ 10,652 $ 253,095 $ (96,072) ============================================================================================================== INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 72,681 $ 610,556 $ (20,405) INTEREST EXPENSE (includes amort of debt fees) 37,665 160,534 -- DEPRECIATION 23,000 485,795 -- OTHER (INCOME) EXPENSES* -- -- -- OTHER ITEMS** -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 60,665 $ 646,329 $ -- ============================================================================================================== NET INCOME BEFORE TAXES $ 12,016 $ (35,773) $ (20,405) INCOME TAXES -- -- -- ============================================================================================================== NET INCOME (LOSS) (MOR-1) $ 12,016 $ (35,773) $ (20,405) ============================================================================================================== STERLING PULP CHEMICALS, INC. DEBTORS MONTH 01-37812-H4-11 ELIMINATIONS CONSOLIDATED ------------------ ------------------ ------------------ REVENUES (MOR-1) $ 3,407,217 $ (83,333) $ 38,374,251 TOTAL COST OF REVENUES 2,326,294 (83,333) 34,241,513 GROSS PROFIT $ 1,080,923 $ -- $ 4,132,738 ================================================================================================================= OPERATING EXPENSES: Selling, General & Administrative $ 625,505 $ (558,910) 1,407,440 Insiders Compensation -- -- -- Professional Fees -- -- 1,574,317 Other (Earnings in Joint Venture) -- -- 382,998 TOTAL OPERATING EXPENSE $ 625,505 $ (558,910) $ 3,364,755 ================================================================================================================= INCOME BEFORE INT. DEPR/TAX (MOR-1) $ 455,418 $ 558,910 767,983 INTEREST EXPENSE (includes amort of debt fees) -- 558,910 3,916,931 DEPRECIATION 325,962 -- 2,841,808 OTHER (INCOME) EXPENSES* -- -- -- OTHER ITEMS** -- -- -- TOTAL INT. DEPR & OTHER ITEMS $ 325,962 $ 558,910 $ 6,758,739 ================================================================================================================= NET INCOME BEFORE TAXES $ 129,456 $ -- $ (5,990,756) INCOME TAXES -- -- 2,385 ================================================================================================================= NET INCOME (LOSS) (MOR-1) $ 129,456 $ -- $ (5,993,141) =================================================================================================================
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-H3-11
CASH RECEIPTS AND DISBURSEMENTS Jan-02 Feb-02 Mar-02 ----------------- ------------ ------------ ------------ 1. CASH-BEGINNING OF MONTH $ 412,443 $ 123,772 $ 165,556 ------------ ------------ ------------ RECEIPTS: 2. CASH SALES -- $ -- -- 3. COLLECTION OF ACCOUNTS RECEIVABLE $ 1,582,440 1,349,186 1,657,321 4. LOANS & ADVANCES (attach list) -- -- -- 5. SALE OF ASSETS -- -- -- 6. OTHER (attach list) 1,246,396 1,465,834 1,292,880 TOTAL RECEIPTS $ 2,828,836 $ 2,815,019 $ 2,950,201 (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A DISBURSEMENTS: 7. NET PAYROLL $ 211,662 $ 142,024 $ 157,720 8. PAYROLL TAXES PAID 81,238 61,762 66,433 9. SALES, USE & OTHER TAXES PAID 802 567 4,742 10. SECURED/RENTAL/LEASES -- -- -- 11. UTILITIES 242,028 192,360 254,704 12. INSURANCE $ 1,582,440 -- -- 13. INVENTORY PURCHASES 61,262 151,616 73,403 14. VEHICLE EXPENSES -- -- -- 15. TRAVEL & ENTERTAINMENT 546 6,593 5,975 16. REPAIRS, MAINTENANCE & SUPPLIES 84,536 55,567 39,635 17. ADMINISTRATIVE & SELLING -- -- 2,710 18. OTHER (attach list) 2,435,431 2,162,748 2,345,504 TOTAL DISBURSEMENTS FROM OPERATIONS $ 3,117,506 $ 2,773,236 $ 2,948,115 19. PROFESSIONAL FEES $ -- $ -- $ -- 20. U.S. TRUSTEE FEES -- -- -- 21. OTHER REORGANIZATION EXPENSES (attach list) -- -- -- TOTAL DISBURSEMENTS $ 3,117,506 $ 2,773,236 $ 2,948,115 22. NET CASH FLOW $ (288,670) $ 41,783 $ 2,086 23. CASH - END OF MONTH (MOR-2) $ 123,772 $ 165,556 $ 167,642 CASH RECEIPTS AND FILING TO DISBURSEMENTS Apr-02 May-02 Jun-02 Jul-02 DATE ----------------- ------------ ------------ ------------ ------------ ------------ 1. CASH-BEGINNING OF MONTH $ 167,642 $ 151,768 $ 155,565 $ 120,211 $ 714,483 ------------ ------------ ------------ ------------ ------------ RECEIPTS: 2. CASH SALES -- $ -- $ -- $ -- $ -- 3. COLLECTION OF ACCOUNTS RECEIVABLE 1,655,125 1,652,762 1,514,756 1,840,100 23,794,673 4. LOANS & ADVANCES (attach list) -- -- -- -- -- 5. SALE OF ASSETS -- -- -- -- -- 6. OTHER (attach list) 1,741,879 1,423,818 1,343,454 1,620,968 17,287,710 TOTAL RECEIPTS $ 3,397,004 $ 3,076,580 $ 2,858,210 $ 3,461,068 $ 41,082,383 (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A N/A DISBURSEMENTS: 7. NET PAYROLL $ 184,218 $ 146,485 $ 144,066 $ 211,714 $ 2,284,252 8. PAYROLL TAXES PAID 71,168 56,463 56,059 62,035 878,340 9. SALES, USE & OTHER TAXES PAID 3,914 1,958 2,976 1,618 22,070 10. SECURED/RENTAL/LEASES -- -- -- -- 4,486 11. UTILITIES 223,466 193,003 153,563 169,922 2,329,113 12. INSURANCE -- -- -- -- 280,148 13. INVENTORY PURCHASES 192,570 224,244 149,137 178,957 1,728,687 14. VEHICLE EXPENSES -- -- -- -- -- 15. TRAVEL & ENTERTAINMENT -- 6,019 3,207 2,903 61,839 16. REPAIRS, MAINTENANCE & SUPPLIES 48,832 88,852 67,749 54,578 730,926 17. ADMINISTRATIVE & SELLING 2,775 2,775 -- -- 15,521 18. OTHER (attach list) 2,685,999 2,352,984 2,316,805 2,760,752 33,322,683 TOTAL DISBURSEMENTS FROM OPERATIONS $ 3,412,878 $ 3,072,783 $ 2,893,564 $ 3,442,479 $ 41,658,065 19. PROFESSIONAL FEES $ -- $ -- $ -- $ -- $ -- 20. U.S. TRUSTEE FEES -- -- -- -- -- 21. OTHER REORGANIZATION EXPENSES -- -- (attach list) -- -- -- -- -- TOTAL DISBURSEMENTS $ 3,412,878 $ 3,072,783 $ 2,893,564 $ 3,442,479 $ 41,658,065 22. NET CASH FLOW $ (15,874) $ 3,797 $ (35,353) $ 18,589 $ (575,682) 23. CASH - END OF MONTH (MOR-2) $ 151,768 $ 155,565 $ 120,211 $ 138,800 $ 138,801
MOR-7 CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H3-11
OTHER CASH RECEIPTS AND DISBURSEMENTS: 8/31/2001(1) Sep-01 Oct-01 Nov-01 ----------------------- ------------ ---------- ---------- ---------- 6. OTHER RECEIPTS: Interest Income $ 545 $ -- $ -- 401(k) Plan Refund -- -- -- Cobra Insurance Payment 6,083 3,806 7,928 5,259 Miscellaneous 80,917 42,438 1,276 12,065 Royalty Owners Trust Account -- -- -- Emission Credits -- -- -- Intercompany Transfers 871,000 1,139,000 1,512,000 1,294,000 Account Transfers 270,000 200,000 240,000 TOTAL OTHER RECEIPTS $1,228,545 $1,385,244 $1,761,204 $1,311,323 18. OTHER DISBURSEMENTS: Lease Operating Expense $ -- $ -- $ -- Workover Expense -- -- -- Capital Expenditures 13,000 4,812 -- Revenue & Royalties -- -- -- 10,150 Interest Payment -- -- -- Employee Benefits 55,027 27,405 27,144 13,438 Severance tax -- -- -- Pre-petition checks voided in current period (3,215) (2,000) -- Insiders -- -- -- Restricted Cash Transactions -- -- -- Contract Services 473,664 431,305 468,686 481,869 Licenses / Fees / Permits 1,439 -- 19,878 89 Freight 87,551 101,650 87,536 100,851 Account Transfers 270,000 200,000 240,000 Outstanding checks to Balance to G/L (183,381) (150,611) 72,328 (59,844) CIT Revolver Payments 4,691,274 3,054,530 1,938,423 1,728,878 TOTAL OTHER DISBURSEMENTS $5,405,358 $3,667,091 $2,853,995 $2,275,432
OTHER CASH RECEIPTS AND DISBURSEMENTS: Dec-01 Jan-02 Feb-02 ----------------------- ---------- ---------- ---------- 6. OTHER RECEIPTS: Interest Income -- -- 401(k) Plan Refund -- -- Cobra Insurance Payment 3,764 -- 4,834 Miscellaneous -- 32,396 Royalty Owners Trust Account -- Emission Credits -- Intercompany Transfers 1,462,400 1,214,000 1,461,000 Account Transfers -- TOTAL OTHER RECEIPTS $1,466,164 $1,246,396 $1,465,834 18. OTHER DISBURSEMENTS: Lease Operating Expense -- -- Workover Expense -- -- Capital Expenditures -- -- Revenue & Royalties -- -- Interest Payment -- -- Employee Benefits 26,485 27,352 27,296 Severance tax -- -- Pre-petition checks voided in current period -- -- Insiders -- -- Restricted Cash Transactions -- -- Contract Services 367,969 464,117 463,768 Licenses / Fees / Permits -- 14,645 2,190 Freight 59,460 73,970 56,410 Account Transfers -- 393,386 200,000 Outstanding checks to Balance to G/L 168,807 (160,665) 104,132 CIT Revolver Payments 1,437,861 1,622,626 1,308,951 TOTAL OTHER DISBURSEMENTS $2,060,583 $2,435,431 $2,162,748
OTHER CASH RECEIPTS AND FILING TO DISBURSEMENTS: Mar-02 Apr-02 May-02 Jun-02 Jul-02 DATE ----------------------- ---------- ------------- ---------- ---------- ---------- ----------- 6. OTHER RECEIPTS: Interest Income $ -- $ 13,960.67 $ -- -- $ -- $ 14,505 401(k) Plan Refund -- -- -- -- -- -- Cobra Insurance Payment -- 3,398 2,886 2,640 4,426 45,024 Miscellaneous 1,880 70,520 8,931 15,814 5,542 271,781 Royalty Owners Trust Account -- -- -- -- -- -- Emission Credits -- -- -- -- -- -- Intercompany Transfers 1,291,000 1,424,000 1,412,000 1,324,000 1,286,000 15,690,400 Account Transfers -- 230,000 -- -- 325,000 1,265,000 TOTAL OTHER RECEIPTS $1,292,880 $ 1,741,879 $1,423,818 $1,342,454 $1,620,968 $17,286,710 18. OTHER DISBURSEMENTS: Lease Operating Expense $ -- $ -- $ -- -- -- $ -- Workover Expense -- -- -- -- -- -- Capital Expenditures -- -- -- -- -- 17,812 Revenue & Royalties -- -- -- -- -- 10,150 Interest Payment -- -- -- -- -- -- Employee Benefits 41,037 27,032 26,130 25,870 25,249 349,465 Severance tax -- -- -- -- -- -- Pre-petition checks voided in current period -- -- -- -- -- (5,215) Insiders -- -- -- -- -- -- Restricted Cash Transactions -- -- -- -- -- -- Contract Services 502,800 434,528 554,635 429,682 377,737 2,687,610 Licenses / Fees / Permits 1,000 25 14,615 10,257 82 36,051 Freight 74,185 67,647 83,977 79,432 70,833 511,018 Account Transfers 210,000 230,000 205,000 190,000 325,000 1,103,386 Outstanding checks to Balance to G/L (125,520) 195,350 (193,585) 23,441 78,719 (313,366) CIT Revolver Payments 1,642,003 1,734,416 1,662,211 1,558,123 1,883,133 14,473,592 TOTAL OTHER DISBURSEMENTS $2,345,504 $ 2,688,999 $2,352,984 $2,316,805 $2,760,753 $18,870,504
(1) Represents the period 7/17/01 thru 8/31/01 MOR-7 ATTACHMENT CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H3-11 JULY 2002
CASH RECEIPTS AND Chase Chase Chase Chase DISBURSEMENTS 00100547117 00103316965 103405768 630181003508 ----------------- ----------- ------------- ----------- ------------- 1. CASH-BEGINNING OF MONTH $ 12,363.40 $ 45.49 $ 2,824.47 $ 0.00 RECEIPTS: 2. CASH SALES $ 0.00 $ 0.00 $ 0.00 $ 0.00 3. COLLECTION OF ACCOUNTS RECEIVABLE 465,546.17 4. LOANS & ADVANCES (attach list) 5. SALE OF ASSETS 6. OTHER (attach list) 0.00 1,286,000.00 325,000.00 0.00 TOTAL RECEIPTS $465,546.17 $1,286,000.00 $325,000.00 $ 0.00 (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A N/A DISBURSEMENTS: 7. NET PAYROLL $ $ $211,713.71 $ 8. PAYROLL TAXES PAID 62,035.35 9. SALES, USE & OTHER TAXES PAID 1,617.84 10. SECURED/RENTAL/LEASES 11. UTILITIES 169,922.32 12. INSURANCE 13. INVENTORY PURCHASES 178,957.21 14. VEHICLE EXPENSES 15. TRAVEL & ENTERTAINMENT 2,903.48 16. REPAIRS, MAINTENANCE & SUPPLIES 54,577.63 17. ADMINISTRATIVE & SELLING 18. OTHER (attach list) 477,809.57 877,594.54 25.00 0.00 TOTAL DISBURSEMENTS FROM OPERATIONS $477,809.57 $1,285,573.02 $273,774.06 $ 0.00 19. PROFESSIONAL FEES $ 0.00 $ 0.00 $ 0.00 $ 0.00 20. U.S. TRUSTEE FEES 0.00 0.00 0.00 0.00 21. OTHER REORGANIZATION EXPENSES (attach list) 0.00 0.00 0.00 0.00 TOTAL DISBURSEMENTS $477,809.57 $1,285,573.02 $273,774.06 $ 0.00 22. NET CASH FLOW $-12,263.40 $ 426.98 $ 51,225.94 $ 0.00 23. CASH - END OF MONTH (MOR-2) $ 100.00 $ 472.47 $ 54,050.41 $ 0.00 CASH RECEIPTS AND Bank One Bank of America FILING TO DISBURSEMENTS 5577659 1171987307 DATE ----------------- ------------- --------------- ------------- 1. CASH-BEGINNING OF MONTH $ 28,351.90 $ 76,626.03 120,211.29 RECEIPTS: 2. CASH SALES $ 0.00 $ 0.00 0.00 3. COLLECTION OF ACCOUNTS RECEIVABLE 1,374,554.01 1,840,100.18 4. LOANS & ADVANCES (attach list) 0.00 5. SALE OF ASSETS 0.00 6. OTHER (attach list) 4,425.69 5,542.27 1,620,967.96 TOTAL RECEIPTS $1,378,979.70 $ 5,542.27 3,461,068.14 (Withdrawal)Contribution by Individual Debtor MFR-2* N/A N/A N/A DISBURSEMENTS: 7. NET PAYROLL $ $ 211,713.71 8. PAYROLL TAXES PAID 62,035.35 9. SALES, USE & OTHER TAXES PAID 1,617.84 10. SECURED/RENTAL/LEASES 0.00 11. UTILITIES 169,922.32 12. INSURANCE 0.00 13. INVENTORY PURCHASES 178,957.21 14. VEHICLE EXPENSES 0.00 15. TRAVEL & ENTERTAINMENT 2,903.48 16. REPAIRS, MAINTENANCE & SUPPLIES 54,577.63 17. ADMINISTRATIVE & SELLING 0.00 18. OTHER (attach list) 1,405,323.60 0.00 2,760,752.71 TOTAL DISBURSEMENTS FROM OPERATIONS $1,405,323.60 $ 0.00 3,442,480.25 19. PROFESSIONAL FEES $ 0.00 $ 0.00 0.00 20. U.S. TRUSTEE FEES 0.00 0.00 0.00 21. OTHER REORGANIZATION EXPENSES (attach list) 0.00 0.00 0.00 TOTAL DISBURSEMENTS $1,405,323.60 $ 0.00 3,442,480.25 22. NET CASH FLOW $ -26,343.90 $ 5,542.27 18,587.89 23. CASH - END OF MONTH (MOR-2) $ 2,008.00 $ 82,168.30 138,799.18
MOR-7 *Applies to Individual debtor's only. CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H3-11 JULY 2002
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 1,286,000.00 Account Transfers 325,000.00 TOTAL OTHER RECEIPTS $ 0.00 $1,286,000.00 $ 325,000.00 $ 0.00 18. OTHER DISBURSEMENTS: Lease Operating Expense Workover Expense Capital Expenditures Revenue & Royalties Interest Payment Employee Benefits 25,248.62 Severance tax Pre-petition checks voided in current period Insiders Restricted Cash Transactions Contract Services 377,736.66 Licenses / Fees / Permits 57.00 25.00 Freight 70,833.37 Account Transfers 325,000.00 Outstanding checks to Balance to G/L 78,718.89 CIT Revolver Payments 477,809.57 TOTAL OTHER DISBURSEMENTS $477,809.57 $ 877,594.54 $ 25.00 $ 0.00 OTHER CASH RECEIPTS AND Bank One Bank of America FILING TO DISBURSEMENTS: 5577659 1171987307 DATE ----------------------- ---------------------------------------------------- 6. OTHER RECEIPTS:$ 13 Interest Income $ 0.00 401(k) Plan Refund 0.00 Cobra Insurance Payment 4,425.69 4,425.69 Miscellaneous 5,542.27 5,542.27 Royalty Owners Trust Account 0.00 Emission Credits 0.00 Intercompany Transfers 1,286,000.00 Account Transfers 325,000.00 0.00 0.00 TOTAL OTHER RECEIPTS $ 4,425.69 $ 5,542.27 $1,620,967.96 18. OTHER DISBURSEMENTS: Lease Operating Expense $ 0.00 Workover Expense 0.00 Capital Expenditures 0.00 Revenue & Royalties 0.00 Interest Payment 0.00 Employee Benefits 25,248.62 Severance tax 0.00 Pre-petition checks voided in current period 0.00 Insiders 0.00 Restricted Cash Transactions 0.00 Contract Services 377,736.66 Licenses / Fees / Permits 82.00 Freight 70,833.37 Account Transfers 325,000.00 Outstanding checks to Balance to G/L 78,718.89 CIT Revolver Payments $1,405,323.60 1,883,133.17 TOTAL OTHER DISBURSEMENTS $1,405,323.60 $ 0.00 $2,760,752.71
MOR-7 ATTACHMENT CASE NAME: STERLING FIBERS, INC. CASE NUMBER: 01-37808-H-11 CASH ACCOUNT RECONCILIATION MONTH OF JULY 2002
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 $ 472 $ 2,008 $ 82,168 $ 54,050 $ 100 $ -- DEPOSIT IN TRANSIT OUTSTANDING CHECKS -- ADJUSTED BANK BALANCE $ 472 $ 2,008 $ 82,168 $ 54,050 $ 100 $ -- ================================================================================================================================= BEGINNING CASH - PER BOOKS $ 45 $ 28,352 $ 76,626 $ 2,824 $ 12,363 $ -- RECEIPTS 1,378,980 5,542 465,546 TRANSFERS BETWEEN ACCOUNTS 961,000 -- 325,000 (WITHDRAWAL) CONTRIBUTION- BY INDIVIDUAL DEBTOR MFR-2 CHECKS/OTHER DISBURSEMENTS (960,573) (1,405,324) (273,774) (477,810) ENDING CASH - PER BOOKS $ 472 $ 2,008 $ 82,168 $ 54,050 $ 100 $ -- ================================================================================================================================= BANK NAME ACCOUNT NUMBER ACCOUNT TYPE TOTAL -------------- ----------- BANK BALANCE $ 138,799 DEPOSIT IN TRANSIT -- OUTSTANDING CHECKS -- ADJUSTED BANK BALANCE $ 138,799 =========================================== BEGINNING CASH - PER BOOKS $ 120,211 RECEIPTS 1,850,068 TRANSFERS BETWEEN ACCOUNTS 1,286,000 (WITHDRAWAL) CONTRIBUTION- -- BY INDIVIDUAL DEBTOR MFR-2 -- CHECKS/OTHER DISBURSEMENTS (3,117,480) ENDING CASH - PER BOOKS $ 138,799 ===========================================
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) Jan-2002 Feb-2002 Mar-2002 Apr-2002 May-2002 Jun-2002 Jul-2002 DATE ------------------------------------- -------- -------- -------- --------- -------- -------- -------- --------- 1. $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ -- 2. -- -- -- -- -- -- -- -- 3. -- -- -- -- -- -- -- -- 4. -- -- -- -- -- -- -- -- 5. -- -- -- -- -- -- -- -- 6. -- -- -- -- -- -- -- -- 7. -- -- -- -- -- -- -- -- 8. -- -- -- -- -- -- -- -- 9. -- -- -- -- -- -- -- -- TOTAL INSIDERS (MOR-1) $ -- $ -- $ -- $ -- $ -- $ -- $ -- $ --
PROFESSIONALS FILING TO NAME/ORDER DATE Jan-2002 Feb-2002 Mar-2002 Apr-2002 May-2002 Jun-2002 Jul-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