-----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, G2xclG7Cy5tbpR6NPoMnpYJvrszVan7r5xmT4ZvPlrQxta234wqnkYBY5Vv2om5P GD6P1JNsmiBlKKq1Qvtvnw== 0000831890-98-000004.txt : 19980518 0000831890-98-000004.hdr.sgml : 19980518 ACCESSION NUMBER: 0000831890-98-000004 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19980331 FILED AS OF DATE: 19980515 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: CSA INCOME FUND LIMITED PARTNERSHIP III CENTRAL INDEX KEY: 0000831890 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-COMPUTER RENTAL & LEASING [7377] IRS NUMBER: 043002909 STATE OF INCORPORATION: MA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 033-21267 FILM NUMBER: 98622671 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, 1998 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 33-21267 CSA Income Fund Limited Partnership III (Exact name of registrant as specified in its charter) Massachusetts 04-3002909 (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 III STATEMENTS OF FINANCIAL POSITION AS OF
(Unaudited) March 31, December 31, 1998 1997 Assets Cash and cash equivalents $ 118,894 $ 200,328 Rentals receivable 25,515 45,665 Accounts receivable- affiliates - 61,368 Notes receivable- lessee 3,708 14,641 Remarketing receivables - 56,010 Rental equipment, at cost 31,335,746 32,491,943 Less accumulated depreciation (15,301,209) (13,732,945) Net rental equipment 16,034,537 18,758,998 Total assets $ 16,182,654 $ 19,137,010 Liabilities and partners' capital Accounts payable $ 52,175 $ 78,738 Accounts payable- affiliates 188,632 - Accrued management fees 38,599 35,639 Deferred income 39,924 60,558 Notes Payable 10,320,988 12,629,981 Total liabilities 10,640,318 12,804,916 Partners' capital: General Partner: Capital contribution 1,000 1,000 Cumulative net income 346,567 267,020 Cumulative cash distributions (399,542) (391,966) (51,975) (123,946) Limited Partners (500,000 units): Capital contributions net of offering costs 44,539,778 44,539,778 Cumulative net income 653,748 765,477 Cumulative cash distributions (39,599,215) (38,849,215) 5,594,311 6,456,040 Partners' capital 5,542,336 6,332,094 Total liabilities and partners' capital $ 16,182,654 $ 19,137,010
CSA INCOME FUND LIMITED PARTNERSHIP III STATEMENTS OF OPERATIONS Quarters Ended March 31, (Unaudited)
1998 1997 Revenues: Rental income $ 2,374,208 $ 2,466,603 Interest income 1,041 13,030 Gain on sale of equipment 79,547 71,449 Gain on foreign currency 245 2,145 Total revenues 2,455,041 2,553,227 Costs and expenses: Depreciation 2,091,695 1,979,852 Interest expense 232,979 254,227 Management fees 118,711 123,330 Storage & Refurbishment - 2,000 General and administrative 43,838 44,209 Total expenses 2,487,223 2,403,618 Net income (loss) $ (32,182) $ 149,609 Net income (loss) allocation: General Partner $ 79,547 $ 71,449 Limited Partners (111,729) 78,160 $ (32,182) $ 149,609 Net income (loss) per Limited Partnership Unit $ ( .22) $ .16 Number of Limited Partnership Units 500,000 500,000
CSA INCOME FUND LIMITED PARTNERSHIP III STATEMENTS OF CASH FLOWS Quarters Ended March 31, (Unaudited)
1998 1997 Cash flows from operations: Cash received from rental of equipment $ 2,373,966 $ 2,456,146 Cash paid for operating and management expenses (186,149) (172,958) Interest paid (232,979) (254,227) Interest received 1,041 13,030 Net cash from operations 1,955,879 2,041,991 Cash flow from investments: Purchase of equipment - (5,470,922) Sale of equipment 768,323 378,712 Net cash from (used by) investments 768,323 (5,092,210) Cash flows from financing: Advances to/from affiliates 250,000 3,926,597 Payment from notes receivable 10,933 6,848 Proceeds from notes payable - 1,642,258 Repayment of notes payable (2,308,993) (1,995,729) Payment of cash distributions (757,576) (757,576) Net cash from (used by) financing (2,805,636) 2,822,398 Net change in cash and cash equivalents (81,434) (227,821) Cash and cash equivalents at beginning of period 200,328 450,785 Cash and cash equivalents at end of period $ 118,894 $ 222,964
CSA INCOME FUND LIMITED PARTNERSHIP III 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, 1997. 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 III as of March 31, 1998 and March 31, 1997 and the results of operations and cash flows for the periods presented therein. CSA INCOME FUND LIMITED PARTNERSHIP III FORM 10-Q GENERAL PARTNER'S DISCUSSION OF OPERATIONS Gross rental income was $2,374,208 and $2,446,603 for the quarters ended March 31, 1998 and 1997, respectively. Net loss for the quarter ended March 31, 1998 was $32,182 as compared to net income of $149,609 in the quarter ended March 31, 1997. The decrease in net income was primarily attributable to the increase in depreciation expense associated with the equipment purchased in 1996 and early 1997. The Partnership generated $2,724,202 in cash flow from operations and from the sale of equipment during the three months ended March 31, 1998. The Partnership used these funds,an advance of $250,000 from the General Partner and cash on hand to reduce notes payable by $2,308,994 and pay cash distributions to the Limited Partners of $750,000. The General Partner of CSA Income Fund Limited Partnership III informed the Limited Partners in the Partnership's 1997 10-K and Annual Report that it was in the best interest of the Limited Partners and the Partnership to complete the wind up of the Partnership in 1998. In accordance with the Partnership Agreement, pursuant to section 8.3(c), accounting profits from the sale of equipment that results in the dissolution of the Partnership, shall be allocated to each partner first in the amount equal to the negative balance in the capital Account of such partner. In connection with the wind up of the Partnership, certain accounting gains on the disposition of partnership assets were allocated during the first quarter of 1998 to the General Partner to reduce its Capital Account negative balance. The Partnership distributed $ .50 per limited partnership unit on the 15th of January, February and March 1998. To date, the Partnership has made cash distributions to the Limited Partners ranging from 72% to 88% of their initial investment, depending on when the Limited Partner entered the Partnership. As previously reported, certain revenues generated by the Partnership from lease renewals and remarketings after the initial lease terms have been lower than anticipated as a result of more rapid obsolescence in high technology equipment. Also as previously reported, the General Partner still 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 III
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 - There were no reports filed during the first quarter of 1998.
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 III (Registrant) By its General Partner, CSA Equity Funds, Inc. Date: 05/15/98 /s/ J. Frank Keohane J.Frank Keohane President Principal Executive Officer Date: 05/15/98 /s/ Richard P.Timmons Richard P. Timmons Corporate Controller Principal Accounting and Finance Officer EX-27 2
5 This schedule contains summary financial information extracted from CSA Income Fund Limited Partnership III's Statement of Financial Position as of March 31, 1998 and Statement of Operations for the three months then ended and is qualified in its entirely by reference to such financial statements. 3-MOS DEC-31-1998 MAR-31-1998 118,894 0 29,223 0 0 0 31,335,746 15,301,209 16,182,654 0 0 0 0 0 5,542,336 16,182,654 0 2,455,041 0 2,210,406 43,838 0 232,979 (32,182) 0 (32,182) 0 0 0 (32,182) (0.22) (0.22) The Registrant maintains an unclassified Statement of Financial Position.
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