-----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, WaRIitrh/IsAqPkKVLMGBwJ+g5YJk9oJ+UvKuMZpY2EcfrzUQMSOVykNDFk8xCt/ mFHuZUyKJ+Xf/tzvjhp+HQ== 0000802851-99-000009.txt : 19990812 0000802851-99-000009.hdr.sgml : 19990812 ACCESSION NUMBER: 0000802851-99-000009 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19990630 FILED AS OF DATE: 19990811 FILER: COMPANY DATA: COMPANY CONFORMED NAME: LOGIC DEVICES INC CENTRAL INDEX KEY: 0000802851 STANDARD INDUSTRIAL CLASSIFICATION: SEMICONDUCTORS & RELATED DEVICES [3674] IRS NUMBER: 942893789 STATE OF INCORPORATION: CA FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 000-17187 FILM NUMBER: 99683949 BUSINESS ADDRESS: STREET 1: 1320 ORLEANS DR CITY: SUNNYVALE STATE: CA ZIP: 94086 BUSINESS PHONE: 4085425400 MAIL ADDRESS: STREET 1: 1320 ORLEANS DRIVE CITY: SUNNYVALE STATE: CA ZIP: 94089 10-Q 1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended June 30, 1999 Commission File Number 0-17187 Logic Devices Incorporated (Exact name of registrant as specified in its charter) California 94-2893789 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification Number) 1320 Orleans Drive, Sunnyvale, California 94089 (Address of principal executive offices) (Zip Code) (408) 542-5400 (Registrant's telephone number, including area code) Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days. Yes X No Indicate the number of shares outstanding of the issuer's classes of common stock, as of the latest practicable date. On July 31, 1999, 6,648,238 shares of Common Stock, without par value, were outstanding. Logic Devices Incorporated INDEX Page Number Part I. Financial Information Item 1. Financial Statements Consolidated Balance Sheets as of June 30, 1999 3 and September 30, 1998 Consolidated Statements of Income for the three months ended June 30, 1999 and 1998 4 Consolidated Statements of Income for the nine months 5 ended June 30, 1999 and 1998 Consolidated Statements of Cash Flows for the nine months ended June 30, 1999 and 1998 6 Notes to Consolidated Financial Statements 7 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 8 Part II. Other Information Item 6. Exhibits and Reports on Form 8-K 15 Signatures 16 Exhibit 10 18 Exhibit 11 19 Exhibit 27 20 Part I - FINANCIAL INFORMATION Item 1. Financial Statements Logic Devices Incorporated Consolidated Balance Sheets
June 30, September 30, 1999 1998 (unaudited) Assets Current assets: Cash and cash equivalents $ 165,000 $ 142,900 Accounts receivable, net of allowance 4,301,300 4,553,400 Inventories 11,719,600 12,535,600 Prepaid expenses 294,600 372,100 Income taxes receivable 90,000 90,000 Total current assets 16,570,500 17,694,000 Equipment and leasehold improvements 3,805,300 4,935,500 Other assets 635,800 969,400 $21,011,600 $23,598,900 Liabilities and Shareholders' Equity Current liabilities: Bank borrowings 3,500,000 5,350,000 Notes payable 257,600 - Current portion of long-term debt obligations 268,300 562,400 Accounts payable 731,100 1,585,400 Accrued expenses 331,000 565,700 Total current liabilities 5,088,000 8,063,500 Long-term debt obligations, less current portion 226,500 392,100 Total liabilities 5,314,500 8,455,600 Shareholders' equity: Common stock, 10,000,000 shares authorized; 6,632,388 and 6,121,750 shares issued and outstanding 18,091,900 18,091,900 Common stock subscribed - (307,500) Retained earnings (2,394,800) (2,641,100) Total shareholders' equity 15,697,100 15,143,300 $21,011,600 $23,598,900
Logic Devices Incorporated Consolidated Statements of Income Three months ended June 30, 1999 and 1998 (unaudited)
1999 1998 Net sales $ 3,532,100 $ 3,298,700 Cost of sales 1,797,000 1,724,300 Gross margin 1,735,100 1,574,400 Operating expenses: Research and development 372,000 332,800 Selling, general and administrative 1,037,200 1,077,200 Operating expenses 1,409,200 1,410,000 Income from operations 325,900 164,400 Other expense 126,500 163,700 Income before taxes 199,400 700 Income taxes - - Net income $ 199,400 $ 700 Basic and diluted earnings per common share $ 0.03 $ 0.00 Weighted average shares of common stock outstanding 6,632,388 6,121,750
Logic Devices Incorporated Consolidated Statements of Income Nine months ended June 30, 1999 and 1998 (unaudited)
1999 1998 Net sales $ 9,859,100 $10,055,800 Cost of sales 5,289,800 5,797,300 Gross margin 4,569,300 4,258,500 Operating expenses: Research and development 1,101,000 973,900 Selling, general and administrative 2,832,100 2,848,100 Operating expenses 3,933,100 3,822,000 Income from operations 636,200 436,500 Other expense 389,100 508,000 Income (loss) before taxes 247,100 (71,500) Income tax expense (benefit) 800 (84,200) Net income $ 246,300 $ 12,700 Basic and diluted earnings per common share $ 0.04 $ 0.00 Weighted average shares of common stock outstanding 6,632,388 6,121,750
Logic Devices Incorporated Consolidated Statements of Cash Flows Nine months ended June 30, 1999 and 1998 (unaudited)
1999 1998 Cash flows from operating activities: Net income $ 246,300 $ 12,700 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 1,306,300 1,252,000 Change in operating assets and liabilities: Accounts receivable, net 252,100 (1,358,100) Inventories 816,000 (980,700) Prepaid expenses and other assets 77,500 618,700 Income taxes receivable - (522,000) Deferred income taxes - 299,000 Accounts payable (854,300) 1,311,000 Accrued expenses (234,700) (49,700) Net cash provided by operating activities 1,609,200 582,900 Cash flows from investing activities: Capital expenditures (153,200) (1,922,300) Decrease (increase) in other assets 310,700 (548,300) Net cash provided by (used in) investing activities 157,500 (2,470,600) Cash flows from financing activities: Bank borrowings, net (1,850,000) 1,725,000 Notes payable 257,600 - Common stock subscribed 307,500 - Repayment of long-term obligations (459,700) (191,900) Net cash (used in) provided by financing activities (1,744,600) 1,533,100 Net increase (decrease) in cash 22,100 (354,600) Cash and cash equivalents at beginning of period $ 142,900 $ 365,700 Cash and cash equivalents at end of period $ 165,000 $ 11,100
Logic Devices Incorporated Notes to Consolidated Financial Statements June 30, 1999 and September 30, 1998 (unaudited) (A) Basis of Presentation The accompanying unaudited interim financial statements reflect all adjustments which are, in the opinion of management, necessary to present fairly the financial position, results of operations and cash flows for the periods indicated. The accompanying unaudited interim financial statements have been prepared in accordance with the instructions for Form 10-Q and, therefore, do not include all information and footnotes necessary for a complete presentation of the financial position, results of operations, and cash flows, in conformity with generally accepted accounting principles. The Company has filed audited financial statements which include all information and footnotes necessary for such a presentation of the financial position, results of operations and cash flows for the years ended September 30, 1998 and December 31, 1997, with the Securities and Exchange Commission. It is suggested that the accompanying unaudited interim financial statements be read in conjunction with the aforementioned audited financial statements. The unaudited interim financial statements contain all normal and recurring entries. The results of operations for the interim period ended June 30, 1999 are not necessarily indicative of the results to be expected for the full year. (B) Inventories A summary of inventories follows:
June 30, September 30, 1999 1998 Raw materials $ 3,629,300 $ 2,599,900 Work-in-process 5,286,000 5,373,600 Finished goods 2,804,300 4,562,100 $11,719,600 $12,535,600
Based on forecasted 1999 sales levels, the Company has on hand inventories aggregating approximately twelve months of sales. Logic Devices Incorporated Notes to Consolidated Financial Statements June 30, 1999 and September 30, 1998 (unaudited) (C) Financing As of June 30, 1999, the Company had $3,500,000 in outstanding borrowings under a revolving line of credit facility with Sanwa Bank. The Company was not in compliance with certain repayment obligations under such facility. See "Part II. Item 3. Defaults Upon Senior Securities." On July 27, 1999, the Company repaid all of its outstanding indebtedness with Sanwa Bank utilizing funds from operations and the proceeds from borrowings with Silicon Valley Bank under a new revolving line of credit facility. See "Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations." Certain additional borrowings in the aggregate principal amount of $250,000 were extended prior to their maturity on May 31, 1999 to July 31, 1999 and again to September 30, 1999. See "Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations." Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. Results of Operations Revenues Net revenues were $3,532,100 for the three months ended June 30, 1999, an increase of 7% from $3,298,700 for the three months ended June 30, 1998. The increase in revenues for the period was attributed to an increase in sales on the Company's digital signal processing (DSP) products. Expenses Cost of revenues increased 4%, from $1,724,300 in the three months ended June 30, 1998 to $1,797,000 in the three months ended June 30, 1999. Gross profit increased by 10%, from $1,574,400 in the 1998 period to $1,735,100 in the 1999 period. This increase was the result of increased sales volume for the 1999 period, which spreads fixed overhead costs over more units. As a percentage of net revenues, gross profit margin increased from 48% in the three months ended June 30, 1998 to 49% in the three months ended June 30, 1999. This improvement in gross profit margin was the result of increased sales volume, which spreads fixed overhead costs over more units. Research and development expense increased slightly from $332,800 (10% of net revenues) in the 1998 period to $372,000 (11% of net revenues) in the 1999 period. The Company is continuing its efforts to develop new products. In 1998, the Company invested heavily in new product development. The Company plans to continue its substantial investments in new product research and development throughout 1999. Selling, general and administrative expense decreased from $1,077,200 (33% of net revenues) in the 1998 period to $1,037,200 (29% of net revenues) in the 1999 period. This decrease was the result of continuous cost cutting measures pursued by the Company. The Company had income from operations for the 1999 period of $325,900 versus income of $164,400 in 1998, due to the above mentioned factors. For the 1999 period, the Company incurred $126,500 in other expense, consisting mainly of interest expense versus other expense of $163,700 in 1998. As a result of the foregoing, the Company enjoyed net income of $199,400 in the 1999 period versus net income of $700 in the 1998 period. Liquidity and Capital Resources Cash Flows For the nine months ended June 30, 1999, the Company had after-tax cash earnings (defined as net income plus non- cash depreciation charges) of $1,552,600 versus $1,264,700 for the comparable 1998 period. Although the Company has historically relied on after-tax earnings as the Company's primary source of financing for working capital needs and for capital expenditures, the Company used borrowings during the 1998 and 1999 period. During the 1999 period, after-tax cash earnings of $1,552,600, decreases in accounts receivable of $252,100, inventories of $816,000 and prepaid expenses of $77,500, funded decreases in accounts payable of $854,300 and accrued expenses of $234,700 and a reduction in bank debt of $1,850,000. This resulted in total net cash provided by operations of $1,609,200. The Company invested $153,200 in capital expenditures and increased notes payable by $250,000 during the period. The Company also received $307,500 from repayment of director loans. The Company expects to receive an income tax refund of approximately $90,000 in the third quarter of 1999. During the 1998 nine-month period, after-tax cash earnings of $1,264,700, increases in bank borrowings of $1,725,000 and accounts payable of $1,311,000 and decreases in prepaid expenses of $618,700 and deferred income taxes of $299,000, funded increases in accounts receivable of $1,358,100, inventory of $980,700 and income taxes receivable of $522,000 and decreases in accrued expenses of $49,700, which resulted in net cash provided by operations of $582,900. The Company invested $2,470,600 in capital expenditures and other assets during the period. Working Capital The Company's investment in inventories and accounts receivable has been significant and will continue to be significant in the future. Over prior periods, the Company, as a nature of its business, has maintained these high levels of inventories and accounts receivable. The Company relies on third party suppliers for raw materials and as a result maintains substantial inventory levels to protect against disruption in supplies. The Company has historically maintained inventory turnover of approximately 225 days to 365 days, since 1990. The low point in inventory levels came in 1992 and 1993 when the Company had supply disruptions from one of its major suppliers. The Company looks at its inventories in relationship to its sales which have ranged from 140 days to 365 days between 1998 and 1992. This inventory to sales ratio is a more stable measure of inventory levels, versus the traditional inventory turnover measure because, at the times when the Company is experiencing supply disruptions, and therefore lower inventory levels, the Company is also experiencing increased costs of goods due to inefficiencies in its operations stemming from sporadic deliveries which skews the numerator and denominator in different directions for inventory turns calculations. The lowest days on hand of inventory to sales has been experienced when the Company has had supply disruptions as in 1992 and 1993. The Company provides reserves for product material that is over one year old with no backlog or sales activity and reserves for future obsolescence. The Company also takes physical inventory write-downs for obsolescence. The Company has been actively reducing inventory levels over the past several quarters. The Company's accounts receivable level has been consistently correlated to the Company's previous quarter revenue level. Because of the Company's customer scheduled backlog requirements, up to 80% of the quarterly revenues may be shipped in the last month of the quarter. This has the effect of placing a large portion of the quarterly shipments reflected in accounts receivable not yet due per the Company's net 30 day terms. This, combined with the fact that the Company's distributor customers (which made up 46% and 66% of the Company revenues in the first nine months of 1999 and 1998, respectively), generally pay 90 days and beyond, results in the accounts receivable balance at the end of the quarterly period being at its highest point for the period. This has been consistent over prior periods. The Company is currently working to accelerate accounts receivable collections. Although current levels of inventory and accounts receivable impact the Company's liquidity, the Company believes that it is a cost of doing business given the Company's fabless operation. The Company has begun to make progress in reducing inventory and accounts receivable levels during the current fiscal year. Financing The Company had a $6,000,000 revolving line of credit with Sanwa Bank, with a maturity date of May 31, 1999. The line of credit bore interest at the Bank's prime rate plus 1.00% and was secured by all the assets of the Company. On March 11, 1999, the Company accepted the Bank's demand to amend the terms of its revolving line of credit facility so that its maximum borrowing amount was $4,500,000 from March 11, 1999 through March 30, 1999, $4,250,000 from March 31, 1999 through June 29, 1999, and $3,000,000 from June 30, 1999 through August 1, 1999, the scheduled date of maturity of such facility. The amended line of credit bore interest at the Bank's prime rate (7.75 percent as of 6/30/99) plus 2.00%. On June 30, 1999, the Company reduced the principal amount of its borrowings to $3,500,000. See "Part II. Item 3. Defaults Upon Senior Securities." On July 27, 1999, the Company terminated its revolving credit facility with Sanwa Bank, paying all principal and interest then owing using funds from operations and the proceeds of loans from new revolving credit facilities provided by Silicon Valley Bank. Under the terms of its line of credit facility with Silicon Valley Bank, the Company is precluded (as it was under the terms of its revolving credit facility with Sanwa Bank) from paying any cash dividends without the consent of the lender even if the Company is in compliance with all of the financial covenants. Regardless of any such restrictions in its bank loan agreements, the Company does not intend to pay cash dividends in the near future and anticipates reinvesting its cash flow back into operations. As discussed in the Company's Form 10-Q for the quarter ended March 31, 1999, the Company borrowed, in addition to its bank borrowings, an aggregate principal amount of $250,000 on February 24, 1999. The loans are unsecured and bear interest to maturity at the rate which is the reference or equivalent rate of interest quoted, published or announced by Sanwa Bank plus 2.00%. The loans had an original maturity of March 31, 1999, but the holders of the loans have successively extended the maturity date through September 30, 1999. The holders have agreed to subordinate their loans to those of Silicon Valley Bank in certain circumstances but are permitted to receive scheduled payments of principal and interest so long as the Company is not in default under its revolving credit facility with Silicon Valley Bank at the time of such payment. While the Company will continue to evaluate debt and equity financing opportunities, it believes its financing arrangements and cash flow generated from operations provide a sufficient base of liquidity for funding operations and capital needs to support the Company's operations. Year 2000 Compliance The year 2000 creates the potential for date related data to cause computer processing errors or system shut- downs because computer-controlled systems have historically used two digits rather than four to define years. For example, computer programs that contain time data sensitive software may recognize a date using two digits of "00" as the year 1900 rather than the year 2000. The miscalculations and systems failures that may be caused by such date misrecognition could disrupt the operations of the Company. Since the risk relates to computer-controlled systems, the year 2000 issue affects computer software, computer hardware, and any other equipment with imbedded technology that involves date sensitive functions. The Company has determined to assess the scope of its Year 2000 problems, to remediate the problem, and to plan for the contingency of remediation failure separately for each of its internal computer software programs, its computer hardware, its machinery which includes imbedded computer technology, its suppliers and its products. The Company completed its assessment of all aspects of its operations other than its customers and suppliers prior to the beginning of the fiscal quarter ending December 31, 1998. As a result of its assessment, the Company has determined that none of its products have date sensitive functions and, accordingly, that no products will require modification or replacement. The Company is still in the process of determining the extent to which its customers and suppliers may be impacted by year 2000 computer processing problems. This assessment has been slower than the Company's other assessment efforts since it necessarily involves obtaining information from third parties, and the Company's suppliers are foreign operations which may have local customs or attitudes regarding disclosure which differ from those in the United States. Conversely, because the Company relies on third parties to manufacture its chips and assemble its products, the Company's production may be slowed or other of its operations may be adversely impacted by the Year 2000 problems of its suppliers. The Company has received assurances from its major suppliers, including the silicon foundaries supplying the Company with silicon wafers, that they are Year 2000 compliant. The Company does not believe it has any technological interfaces with customers that will be affected by the Year 2000 issue. The Company completed remediation of its computer hardware, internal computer software programs and equipment with imbedded technology in March 1998. Through December 31, 1998, the Company has spent approximately $50,000 modifying or replacing its internal computer software programs, its computer hardware, and machinery with embedded computer technology, primarily to upgrade software and to modify maintenance agreements. Since it believes remediation of such systems has been completed, the Company does not expect to expend any material amounts on such remediation in the future. However, if the Company has failed to properly assess any of the year 2000 problems or failed to fully remedy any identified year 2000 problems of its computer hardware, computer software programs, or machinery with embedded technology, the Company may be forced to spend more than anticipated on such remediation in the future. Until its assessment efforts are complete, the Company will not be able to reasonably estimate the future costs of eliminating problems caused by the Year 2000 problems of its suppliers, whether by investing in new technology or software to interface with these parties or finding alternative sources of supply. Beginning June 1, 1999, the Company expects to shift production away from suppliers that have not demonstrated Year 2000 compliance to the Company's satisfaction and to the Company's current suppliers that are Year 2000 compliant. If such current suppliers are unable to satisfy increased production burdens, the Company expects to engage new suppliers that are Year 2000 compliant. There can be no assurance that the Company will be able to shift additional production to any of its current suppliers or to new suppliers without additional costs or at all. Shifts to new suppliers typically require capital outlays and increased time requirements for production, either of which may adversely affect the results of operations of the Company. Item 3. Quantitative and Qualitative Disclosures about Market Risk. The Company conducts all of its transactions, including those with foreign suppliers and customers, in United States dollars. It is therefore not directly subject to the risks of foreign currency fluctuations and does not hedge or otherwise deal in currency instruments in an attempt to minimize such risks. Of course, demand from foreign customers and the ability or willingness of foreign suppliers to perform their obligations to the Company may be affected by the relative change in value of such customer or supplier's domestic currency to the value of the United States dollar. Furthermore, changes in the relative value of the U. S. dollar may change the price of the Company's prices relative to the prices of its foreign competitors. The Company also does not hold any market risk sensitive instruments that are not considered cash under generally accepted accounting principles. Part II - OTHER INFORMATION Item 1. Legal Proceedings. Not Applicable. Item 2. Changes in Securities and Use of Proceeds. On April 5, 1999, the Company issued to a party which purchased certain products during the quarter from the Company and which agreed to act as a distributor for the Company, a five-year warrant to purchase 150,000 shares of the Company's common stock. The warrant is fully vested and has an initial exercise price of $2.875 per share, which was the closing price of the Company's common stock on such date. This exercise price will be reduced to $1.875 per share if, by November 30, 1999, Company has not registered under the Securities Act of 1933 the resale of the shares of the Company's common stock for which the warrant is exercisable. The issuance of the warrant was not registered under the Securities Act of 1933 in reliance on an exemption from registration under Section 4(2) of such Act and rules promulgated thereunder. No underwriters participated in this transaction. Item 3. Defaults Upon Senior Securities. On June 30, 1999, the Company failed to achieve a principal reduction covenant required under its amended revolving credit facility with Sanwa Bank. Under the terms of the facility as amended on March 17, 1999, the Company's maximum borrowing amount was $4,500,000 from March 11, 1999 through March 30, 1999, reduced to $4,250,000 from March 31, 1999 through June 29, 1999, and further reduced to $3,000,000 from June 30, 1999 through August 1, 1999, the scheduled date of maturity of such facility. By June 30, 1999, the Company reduced the principal amount of its borrowings from $4,250,000 to $3,500,000, which was $500,000 less than required. Sanwa Bank did not waive the failure by the Company to comply with this obligation under the revolving credit facility. The Company terminated this revolving credit facility on July 27, 1999 and paid all principal and interest required thereunder. See "Part I. Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations." Item 4. Submission of Matters to a Vote of Security Holders. Not Applicable. Item 5. Other Information. Not Applicable. Item 6. Exhibits and Reports on Form 8-K. (a) (1) Exhibit 10 - Promissory Note Extension (2) Exhibit 11 - Computation of Earnings Per Common Share (3) Exhibit 27 - Financial Data Schedule (b) No reports on Form 8-K have been filed during the quarter for which this report is filed. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. Logic Devices Incorporated (Registrant) Date: August 11, 1999 By /s/ William J.Volz William J. Volz President and Principal Executive Officer Date: August 11, 1999 By /s/ Mary C. deRegt Mary C. deRegt Chief Financial Officer Principal Financial and Accounting Officer INDEX TO EXHIBITS Exhibit Number Description 10 Extension to Notes Payable 11 Computation of Earnings Per Common Share 27 Financial Data Schedule EXHIBIT 10 PROMISSORY NOTE EXTENSION The undersigned, William J. Volz and The Holding Company, being the holders of promissory notes (the "Notes") from Logic Devices Incorporated dated February 24, 1999 in the principal amounts of $100,000 and $150,000, respectively, hereby agree to the extension of the Maturity Date, as defined in the Notes, to September 30, 1999. June 30, 1999 /s/ William J. Volz William J. Volz The Holding Company By: /s/ Burton W. Kanter President EXHIBIT 11 Logic Devices Incorporated Computation of Earnings per Common Share (unaudited) Nine months ended June 30, 1999 and 1998
1999 1998 Weighted average shares of common stock outstanding 6,632,388 6,121,750 Dilutive effect of common stock options - - Dilutive effect of common stock warrants 38,100 - Weighted average common and common share equivalents 6,670,488 6,121,750 Net income (loss) $ 246,300 $ 12,700 Basic and diluted earnings per common share $ 0.04 $ 0.00
EX-27 2 FDS FOR 3RD QUARTER 10-Q WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
5 9-MOS SEP-30-1998 JUN-30-1999 165,000 4,440,700 139,400 11,719,600 16,570,500 10,903,100 7,097,800 21,011,600 5,088,000 0 18,091,900 0 0 0 21,011,600 9,859,100 9,859,100 5,289,800 9,222,900 0 0 389,100 247,100 800 246,300 0 0 0 246,300 0.04 0.04
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