-----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, GM6cDHA2zlPTCDDbegFBvH7CsSOjmIBPAabujxuLXH8Feibs01BIN8T5zSbwCmNx QESAB/ffV39MtjSR4I3Yig== 0000809224-96-000003.txt : 19960613 0000809224-96-000003.hdr.sgml : 19960613 ACCESSION NUMBER: 0000809224-96-000003 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19960331 FILED AS OF DATE: 19960510 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: CSA INCOME FUND LIMITED PARTNERSHIP II CENTRAL INDEX KEY: 0000809224 STANDARD INDUSTRIAL CLASSIFICATION: 7377 IRS NUMBER: 042932178 STATE OF INCORPORATION: MA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-17091 FILM NUMBER: 96560283 BUSINESS ADDRESS: STREET 1: 22 BATTERYMARCH ST CITY: BOSTON STATE: MA ZIP: 02109 BUSINESS PHONE: 6173571700 MAIL ADDRESS: STREET 1: 22 BATTERY MARCH STREET CITY: BOSTON STATE: MA ZIP: 02109 10-Q 1 FORM 10-Q SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (X) QUARTERLY REPORT UNDER SECTION 13 OR 15 (D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 1996 OR ( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission file number 0-17091 CSA Income Fund Limited Partnership II (Exact name of registrant as specified in its charter) Massachusetts 04-2932178 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 22 Batterymarch St., Boston, Massachusetts 02109 (Address of principal executive offices) (Zip Code) (617) 357-1700 (Registrant's telephone number, including area code) Former name, former address and former fiscal year, if changed since last report Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or 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: PART I - FINANCIAL INFORMATION CSA INCOME FUND LIMITED PARTNERSHIP II CSA INCOME FUND LIMITED PARTNERSHIP II STATEMENTS OF FINANCIAL POSITION AS OF MARCH 31, 1996 (UNAUDITED) AND DECEMBER 31, 1995 ______________________________________________________________________
(Unaudited) March 31, 1966 December 31, 1995 Assets Cash and cash equivalents $ 873,224 $ 1,021,366 Rentals receivable 25,318 21,109 Accounts receivable-affiliates 133,277 133,277 Sales proceeds receivable 729 46,367 Rental equipment, at cost 7,042,559 6,996,398 Less accumulated depreciation (5,404,050) (5,217,222) Net rental equipment 1,638,509 1,779,176 Total assets $ 2,671,057 $ 3,001,295 Liabilities and partners' capital Accrued management and reimbursable fees $ 16,239 $ 17,710 Accounts payable 17,343 12,904 Sales tax payable 2,791 1,591 Deferred income 8,164 4,836 Notes payable 673,473 803,137 Limited recourse notes payable 73,203 71,382 Total liabilities 791,213 911,560 Partners' capital (deficit): General Partner: Capital contributions 1,000 1,000 Cumulative net income (loss) 774 (613) Cumulative cash distributions (157,596) (154,111) (155,822) (153,724) Limited Partners (78,785 units): Capital contributions, net of offering costs 17,563,265 17,563,265 Cumulative net loss 76,670 (60,615) Cumulative cash distributions (15,604,269) (15,259,191) 2,035,666 2,243,459 Total Partners' capital 1,879,844 2,089,735 Total liabilities and partners' capital $ 2,671,057 $ 3,001,295
CSA INCOME FUND LIMITED PARTNERSHIP II STATEMENTS OF OPERATIONS (UNAUDITED) AS OF MARCH 31, 1996 AND 1995 _____________________________________________________________________
1996 1995 Revenue: Rental income $ 384,685 $ 676,999 Interest income 9,437 12,456 Gain on sale of equipment 424 20,579 Total revenues 394,546 710,034 Costs and expenses: Depreciation 190,873 422,485 Interest 22,022 19,104 Management fees 19,234 33,791 General and administrative 23,745 21,516 Total expenses 255,874 496,896 Net income $ 138,672 $ 213,138 Net income allocation: General Partner $ 1,387 $ 2,131 Limited Partners 137,285 211,007 $ 138,672 $ 213,138 Net income per Limited Partnership Unit $ 1.74 $ 2.68 Number of Limited Partnership Units 78,785 78,785
CSA INCOME FUND LIMITED PARTNERSHIP II STATEMENTS OF CASH FLOWS (UNAUDITED) AS OF MARCH 31, 1996 AND 1995 _____________________________________________________________________
1996 1995 Cash flows from operations: Cash received from rental of equipment $ 362,525 $ 599,873 Cash paid for operating and management expenses (38,811) (117,406) Interest paid (13,880) (12,301) Interest received 9,437 12,456 Net cash from operations 319,271 482,622 Cash flows from investments: Purchase of equipment (47,295) - Sale of equipment 56,289 563,180 Net cash from (used for) investments 8,994 563,180 Cash flows from financing: Repayment of notes payable (127,843) (381,336) Payment of cash distributions (348,564) (348,564) Net cash used for financing (476,407) (729,900) Net change in cash and cash equivalents (148,142) 315,902 Cash and cash equivalents at beginning of period 1,021,366 790,245 Cash and cash equivalents at end of period $ 873,224 $ 1,106,147
CSA INCOME FUND LIMITED PARTNERSHIP II NOTE TO FINANCIAL STATEMENTS ______________________________________________________________________ The quarterly financial statements have been prepared by the Partnership without audit. Certain information and footnote disclosures normally included in the annual financial statements have been condensed or omitted from the accompanying statements. For such information, reference should be made to the financial statements and notes thereto included in the Partnership's annual report on Form 10-K for the year ended December 31, 1995. In the General Partner's opinion, the unaudited financial statements reflect all adjustments necessary to present fairly the financial position of CSA Income Fund Limited Partnership II as of March 31, 1996 and December 31, 1995 and the results of operations and cash flows for the periods presented therein. CSA INCOME FUND LIMITED PARTNERSHIP II GENERAL PARTNER'S DISCUSSION OF OPERATIONS ______________________________________________________________________ Gross rental income was $384,685 and $676,999 and net income was $138,672 and $213,138 for the quarters ended March 31, 1996 and 1995, respectively. The decrease in gross rental income and net income is attributable to the expected occurrence of reduced rental rates for re-leased equipment and to the ongoing sale of equipment from the Partnership's portfolio. The effect of lower rental revenue on net income was partially offset by lower levels of depreciation as the result of the remarketing of fully depreciated equipment. The Partnership generated $375,560 in cash flow from operations and from the sale of equipment during the three months ended March 31, 1996. This cash and cash on hand were used primarily to make a cash distribution to the Limited Partners and pay down debt. Notes payable was reduced by $127,843 during the first quarter of 1996 and the cash distribution paid to Limited Partners was $345,078. The Partnership's results of operations and liquidity in future periods will be dependent upon the addition of leased equipment, the sale and/or release of equipment as it comes off lease and the level of debt service. Approximately 65% of the remaining leases in the Partnership's portfolio are scheduled to expire by December 31, 1996, with the balance expiring at various dates through 1998. The Partnership distributed $4.38 per Limited Partnership Unit on February 15, 1996. To date, the Partnership has made cash distributions to the Limited Partners ranging from 78% to 87% of their initial investment, depending on when the Limited Partner entered the Partnership. The objective of the Partnership is to return the Limited Partners' investment through current cash distributions and provide a return on the investment by continued distributions for as long as the equipment continues to be leased. However, revenue generated by the Partnership from lease renewals and remarketings after the initial lease term have been lower than anticipated as a result of rapid obsolescence in high technology equipment. As a result, the General Partner presently estimates that the continued cash distributions may not fully return the entire initial investment of the Limited Partners and/or a return thereon. The General Partner will continue to report on the Limited Partners' return of investment with each cash distribution. CSA INCOME FUND LIMITED PARTNERSHIP II PART II ______________________________________________________________________ Item 1 - Legal Proceedings None Item 2 - Changes in Securities None Item 3 - Defaults Upon Senior Securities None Item 4 - Submission of Matters to a Vote of Security Holders None Item 5 - Other Information None Item 6 - Exhibits and Reports on Form 8-K (a) Exhibits - none. (b) Reports on Form 8-K - none. 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. CSA Income Fund Limited Partnership II (Registrant) By its General Partner, CSA Income Funds, Inc. Date: /s/ J. Frank Keohane President and Principal Executive Officer Date: /s/ Richard F. Sullivan Vice President, Principal Accounting and Finance Officer EX-27 2 WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
5 This schedule contains summary financial information extracted from CSA Income Fund Limited Partnership II's Statement of Financial Position as of March 31, 1996 and Statement of Operations for the three months then ended and is qualified in its entirety by refere nce to such financial statements. 3-MOS DEC-31-1996 MAR-31-1996 873,224 0 158,595 0 0 0 7,042,559 5,404,050 2,671,057 0 0 0 0 0 1,879,844 2,671,057 0 394,546 0 210,107 23,745 0 22,022 138,672 0 138,672 0 0 0 138,672 1.74 1.74 The Registrant maintains an unclassified Statement of Financial Position.
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