-----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, OmprU0zBRKlO/KA0FIQrxH0N56MDbrlu1slTzU3rHzHR+g0PCh3YrGY+in9kxyB7 gxKF2n0ELp5kF2tO5qpBhw== 0000950152-97-000956.txt : 19970222 0000950152-97-000956.hdr.sgml : 19970222 ACCESSION NUMBER: 0000950152-97-000956 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19961231 FILED AS OF DATE: 19970214 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: REYNOLDS & REYNOLDS CO CENTRAL INDEX KEY: 0000083588 STANDARD INDUSTRIAL CLASSIFICATION: MANIFOLD BUSINESS FORMS [2761] IRS NUMBER: 310421120 STATE OF INCORPORATION: OH FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-10147 FILM NUMBER: 97531763 BUSINESS ADDRESS: STREET 1: 115 S LUDLOW ST CITY: DAYTON STATE: OH ZIP: 45402 BUSINESS PHONE: 5134432000 MAIL ADDRESS: STREET 1: P.O. BOX 2608 CITY: DAYTON STATE: OH ZIP: 45401 10-Q 1 REYNOLDS & REYNOLDS 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 QUARTER ENDED DECEMBER 31, 1996 0-132 ----- (Commission file number) THE REYNOLDS AND REYNOLDS COMPANY --------------------------------- (Exact name of registrant as specified in its charter) OHIO 31-0421120 ---- ---------- (State or other jurisdiction (I.R.S. Employer Identification No.) of incorporation or organization) 115 SOUTH LUDLOW STREET, DAYTON, OHIO 45402 ------------------------------------------- (Address of principal executive offices) (513) 443-2000 -------------- (Registrant's telephone number) NONE ---- (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 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 --- --- On February 11, 1997, 81,188,443 Class A common shares and 20,000,000 Class B common shares were outstanding. 2 THE REYNOLDS AND REYNOLDS COMPANY TABLE OF CONTENTS
PAGE NUMBER ------ PART I. FINANCIAL INFORMATION Item 1. Financial Statements Statements of Consolidated Income For the Three Months Ended December 31, 1996 and 1995 3 Condensed Consolidated Balance Sheets As of December 31, 1996 and September 30, 1996 4 Condensed Statements of Consolidated Cash Flows For the Three Months Ended December 31, 1996 and 1995 5 Notes to Condensed Consolidated Financial Statements 6 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations For the Three Months Ended December 31, 1996 and 1995 8 PART II. OTHER INFORMATION Item 6. Exhibits and Reports on Form 8-K 11 SIGNATURES 12
2 3 PART I - FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS THE REYNOLDS AND REYNOLDS COMPANY STATEMENTS OF CONSOLIDATED INCOME FOR THE THREE MONTHS ENDED DECEMBER 31, 1996 AND 1995 (In thousands except per share data)
1996 1995 ------------ ------------ Net Sales and Revenues Information systems Products $ 220,337 $ 151,545 Services 86,846 75,588 --------- --------- Total information systems 307,183 227,133 Financial services 7,124 6,234 --------- --------- Total net sales and revenues 314,307 233,367 --------- --------- Costs and Expenses Information systems Cost of sales Products 129,852 86,953 Services 33,000 28,793 --------- --------- Total cost of sales 162,852 115,746 Selling, general and administrative expenses 102,317 77,487 Financial services 3,385 2,862 --------- --------- Total costs and expenses 268,554 196,095 --------- --------- Operating Income 45,753 37,272 --------- --------- Other Charges (Income) Interest expense 1,649 1,018 Interest income (413) (660) Other (288) (275) --------- --------- Total other charges 948 83 --------- --------- Income Before Income Taxes 44,805 37,189 Provision for Income Taxes 19,305 15,803 --------- --------- Net Income $ 25,500 $ 21,386 ========= ========= Earnings Per Common Share $ 0.30 $ 0.25 ========= ========= Average Number of Common Shares Outstanding 85,041 85,380 ========= ========= Cash Dividends Declared Per Common Share $ 0.08 $ 0.06 ========= =========
See Notes to Condensed Consolidated Financial Statements 3 4 THE REYNOLDS AND REYNOLDS COMPANY CONDENSED CONSOLIDATED BALANCE SHEETS AS OF DECEMBER 31, 1996 AND SEPTEMBER 30, 1996 (In thousands)
12/31/96 9/30/96 ------------ ------------ INFORMATION SYSTEMS ASSETS Current Assets Cash and equivalents $ 42,586 $ 11,130 Accounts receivable 188,153 161,278 Inventories 60,924 53,202 Other current assets 44,776 45,473 ----------- ----------- Total current assets 336,439 271,083 Property, Plant and Equipment, less accumulated depreciation of $180,039 at 12/31/96 and $173,587 at 9/30/96 185,888 167,667 Goodwill 104,088 94,969 Other Intangible Assets 26,341 25,784 Other Assets 43,266 50,859 ----------- ----------- Total Information Systems Assets 696,022 610,362 ----------- ----------- FINANCIAL SERVICES ASSETS Finance Receivables 333,539 311,576 Cash and Other Assets 361 1,706 ----------- ----------- Total Financial Services Assets 333,900 313,282 ----------- ----------- TOTAL ASSETS $ 1,029,922 $ 923,644 =========== =========== INFORMATION SYSTEMS LIABILITIES Current Liabilities $ 184,650 $ 167,278 Long-Term Debt 133,796 84,601 Other Liabilities 64,803 63,216 ----------- ----------- Total Information Systems Liabilities 383,249 315,095 ----------- ----------- FINANCIAL SERVICES LIABILITIES Notes Payable 174,639 161,911 Other Liabilities 78,770 73,643 ----------- ----------- Total Financial Services Liabilities 253,409 235,554 ----------- ----------- SHAREHOLDERS' EQUITY Capital Stock 51,308 51,226 Additional Paid-In Capital 1,359 Other Adjustments (6,308) (6,203) Retained Earnings 346,905 327,972 ----------- ----------- Total Shareholders' Equity 393,264 372,995 ----------- ----------- TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 1,029,922 $ 923,644 =========== ===========
See Notes to Condensed Consolidated Financial Statements. 4 5 THE REYNOLDS AND REYNOLDS COMPANY CONDENSED STATEMENTS OF CONSOLIDATED CASH FLOWS FOR THE THREE MONTHS ENDED DECEMBER 31, 1996 AND 1995 (In thousands)
1996 1995 ---------- --------- INFORMATION SYSTEMS Cash Flows Provided By Operating Activities $ 40,979 $ 18,997 -------- -------- Cash Flows Provided By (Used For) Investing Activities Business combinations (45,722) (117) Capital expenditures (12,808) (9,214) Net proceeds from asset sales 4,930 545 Capitalization of software licensed to customers (566) (824) Advances to financial services (80) (920) -------- -------- Net cash flows used for investing activities (54,246) (10,530) -------- -------- Cash Flows Provided By (Used For) Financing Activities Additional borrowings 99,510 Principal payments on debt (55,510) (178) Capital stock issued 828 314 Capital stock repurchased (9,073) -------- -------- Net cash flows provided by (used for) financing activities 44,828 (8,937) -------- -------- Effect of Exchange Rate Changes on Cash (105) (303) -------- -------- Increase (Decrease) in Cash and Equivalents 31,456 (773) Cash and Equivalents, Beginning of Period 11,130 18,366 -------- -------- Cash and Equivalents, End of Period $ 42,586 $ 17,593 ======== ======== FINANCIAL SERVICES Cash Flows Provided By Operating Activities $ 7,094 $ 3,400 -------- -------- Cash Flows Provided By (Used For) Investing Activities Finance receivables originated (42,784) (28,487) Collections on finance receivables 21,589 17,314 -------- -------- Net cash flows used for investing activities (21,195) (11,173) -------- -------- Cash Flows Provided By (Used For) Financing Activities Additional borrowings 24,440 15,250 Principal payments on debt (11,712) (8,125) Advances from information systems 80 920 -------- -------- Net cash flows provided by financing activities 12,808 8,045 -------- -------- Increase (Decrease) in Cash and Equivalents (1,293) 272 Cash and Equivalents, Beginning of Period 1,293 663 -------- -------- Cash and Equivalents, End of Period $ 0 $ 935 ======== ========
See Notes to Condensed Consolidated Financial Statements. 5 6 THE REYNOLDS AND REYNOLDS COMPANY NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Dollars in thousands except per share data) (1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The balance sheet as of September 30, 1996, is condensed financial information taken from the audited balance sheet. The interim financial statements are unaudited. In the opinion of management, the accompanying interim financial statements contain all significant adjustments (which consist only of normal recurring adjustments) necessary to present fairly the company's financial position, results of operations and cash flows for the periods presented. (2) INVENTORIES
12/31/96 9/30/96 ----------- ----------- Finished products $45,765 $42,953 Work in process 4,728 3,788 Raw materials and supplies 10,431 6,461 ------- ------- Total inventories $60,924 $53,202 ======= =======
(3) BUSINESS COMBINATIONS Effective December 31, 1996, the company purchased substantially all net assets of Vanier Graphics Corporation from American Business Products for about $47,000, subject to finalization of the purchase price. Vanier Graphics, a provider of business forms and related forms management and workflow analysis services, had 1996 sales of about $140,000. The purchase price was paid in cash using proceeds from the Company's issuance of notes in a public offering. This business combination was accounted for as a purchase. The total purchase price was preliminarily allocated to the assets and liabilities of the acquired company which were included in the company's condensed balance sheet as of December 31, 1996. Goodwill recorded in accounting for the Vanier transaction will be amortized on a straight-line basis over fifteen years. In fiscal year 1996, the company purchased Duplex Products Inc. and recorded liabilities for the costs to exit duplicate manufacturing, distribution and administrative facilities of Duplex. These liabilities included the cost of closing seven Duplex manufacturing plants, five distribution facilities and an administrative building. At December 31, 1996 the company had closed five of the manufacturing plants, two distribution facilities and the administrative building. The company plans to exit the remaining facilities by the third quarter of fiscal year 1997. As of May 20, 1996 key elements of the costs accrued for exiting duplicate facilities were involuntary termination benefits of $8,620, relocation costs of $1,346 and lease costs of $1,760. Involuntary termination benefits represent severance payments and outplacement services for 550 employees, comprised principally of manufacturing employees. Through December 31, 1996, $3,381 of involuntary termination benefits were paid to 335 employees and $581 of relocation costs and $69 of lease costs were paid. The company recorded the assets of the duplicate Duplex facilities as current assets held for sale. At May 20, 1996, these assets of $14,397 were recorded at their fair market value less disposal costs. At December 31, 1996, $8,595 of these assets had been sold. (4) FINANCING ARRANGEMENTS In December 1996, the company received proceeds of $99,510 in connection with the issuance of $100,000 of notes in a public offering. Interest on the notes is payable each June and December at an annual interest rate of 7%. Principal is due at the end of the ten year life of the notes. The proceeds were used to retire debt incurred in the purchase of Duplex Products and to fund the purchase of Vanier Graphics. 6 7 (5) CASH FLOW STATEMENTS Reconciliation of net income to net cash provided by operating activities.
1996 1995 ---------- --------- INFORMATION SYSTEMS Net Income $ 23,256 $ 19,360 Depreciation and Amortization 12,187 10,086 Deferred Income Taxes 993 (1,029) Deferred Income Taxes Transferred to Financial Services 735 417 Gains (Losses) on Sales of Assets (367) 6 Changes in Operating Assets and Liabilities Accounts receivable (11,540) 1,364 Inventories 2,403 (4,231) Prepaid expenses and other current assets 194 (2,646) Intangible and other assets 6,155 (2,350) Accounts payable (1,447) (4,257) Accrued liabilities 7,199 2,211 Other liabilities 1,211 66 -------- -------- Net Cash Provided by Operating Activities $ 40,979 $ 18,997 ======== ======== FINANCIAL SERVICES Net Income $ 2,244 $ 2,026 Deferred Income Taxes 1,557 1,871 Deferred Income Taxes Transferred from Information Systems (735) (417) Changes in Receivables, Other Assets and Other Liabilities 4,028 (80) -------- -------- Net Cash Provided by Operating Activities $ 7,094 $ 3,400 ======== ========
(6) CONTINGENCIES The U.S. Environmental Protection Agency (EPA) has designated the company as one of a number of potentially responsible parties (PRP) under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) at four environmental remediation sites. The EPA has contended that any company linked to a CERCLA site is potentially liable for all response costs under the legal doctrine of joint and several liability. The first site relates to a privately owned and operated solid waste disposal facility. The EPA has issued a record of decision mandating certain remediation activities. The company has shared costs with other PRPs for the remedial investigation and feasibility study of the site. During the fourth quarter of fiscal year 1996, the company accepted a de minimis settlement offer and has no future obligation with respect to this site. The second site involves a municipal waste disposal facility owned and operated by four municipalities. The company joined a PRP coalition and is sharing remedial investigation and feasibility study costs with other PRPs. During the quarter ended June 30, 1994, the PRP coalition received an engineering evaluation/cost analysis of the presumed remedy for the site from its private contractor. However, because the EPA has not yet selected a remedy, potential remediation costs remain uncertain. Remediation costs for a typical CERCLA site on the National Priorities List average about $30,000. The 7 8 engineering evaluation/cost analysis was consistent with this average. During the fourth quarter of fiscal year 1996, an agreement was reached whereby the state of Connecticut will contribute $8,000 towards remediation costs. In January 1994, by means of a special notice letter, the EPA notified the company that it was considered to be one of more than three hundred PRPs at a former drum reconditioning facility. A remedial investigation and feasibility study is complete. A record of decision has been issued, and a statement of work for the remedial design and remedial action is in circulation. The company was unable to substantiate any previous involvement with this facility. During the fourth quarter of fiscal year 1996, the company accepted a de minimis settlement offer and is awaiting final approval. Upon final approval, the company will have no further obligation with respect to this site. In connection with the acquisition of Duplex, the company became involved in one additional environmental remediation site. In 1994 Duplex was named a PRP as one of several thousand users of a solid waste landfill. At December 31, 1996 potential remediation costs are uncertain. The company has accrued its estimated share of response costs for all four environmental remediation sites as of December 31, 1996 and believes that the reasonably foreseeable resolution will not have a material adverse effect on the financial statements. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED DECEMBER 31, 1996 AND 1995 (Dollars in thousands except per share data) BUSINESS COMBINATION Effective December 31, 1996 the company purchased substantially all net assets of Vanier Graphics Corporation from American Business Products. Vanier provides business forms and related services including forms management and workflow analysis services and has an excellent sales force and customer base, particularly on the west coast. In 1996 Vanier reported annual sales of about $140,000. The company expects to retain about $100,000 of Vanier sales as the business is integrated with existing operations and sales of lower margin products are deemphasized. The results of Vanier's operations will be consolidated into the company's income statement beginning January 1, 1997. RESULTS OF OPERATIONS CONSOLIDATED SUMMARY
1996 1995 Change % Change -------- -------- --------- --------- Revenues $314,307 $233,367 $80,940 35% Gross profit $144,331 $111,387 $32,944 30% Operating income $45,753 $37,272 $8,481 23% Net income $25,500 $21,386 $4,114 19% Earnings per share $0.30 $0.25 $0.05 20%
Consolidated revenues increased significantly over last year in the first quarter, representing the highest first quarter in the company's history. About $57,000 of the sales growth can be attributed to the 1996 acquisitions of Duplex Products and Jordan Graphics. The balance of the revenue increase came from strong growth in computer systems, forms management and financial services. The consolidated gross profit percentage was 47.0% of information systems revenues in the first quarter, compared to 49.0% last year. Business forms gross profit percentage declined from last year, reflecting the lower margin products acquired in the Duplex and Jordan business combinations. Business forms gross profit margin improved over the fourth quarter of fiscal year 1996 as these acquired businesses were integrated into existing operations. Computer systems gross 8 9 profit percentage declined from last year because of investment in the healthcare business. Automotive gross profit margins remained strong during the first quarter. Selling, general and administrative (SG&A) expenses declined to 33.3% of revenues in the first quarter from 34.1% last year. SG&A expenses declined as a percentage of sales for both business forms and computer systems. Business forms SG&A percentage fell as a result of the Duplex acquisition and integration. Computer systems SG&A expenses declined in spite of the continued investment in healthcare systems. Consolidated operating income for the first quarter was higher than any quarter in the company's history. Business forms operating income increased 39% while financial services grew 11% and computer systems rose 8% over last year. Annualized return on average shareholders' equity was 24.8%, compared to 23.7% at December 31, 1995. COMPUTER SYSTEMS (excluding financial services)
1996 1995 Change % Change --------- --------- --------- --------- Revenues $126,412 $110,467 $15,945 14% Gross profit $61,438 $55,105 $6,333 11% % of revenues 48.6% 49.9% Operating income $18,029 $16,634 $1,395 8% % of revenues 14.3% 15.1%
Computer systems revenues grew for the first quarter primarily because of higher recurring service revenues and growing sales of newer products in the automotive businesses. Recurring service revenues continued to grow, primarily because of the increased number of ERA software applications supported. Sales of newer products and services such as SalesVision, Customer Marketing Services and a document management system continued to grow. Computer systems gross profit and operating income grew at a slower rate than revenues because of investments to support future sales growth in areas such as healthcare. SG&A expenses declined slightly from 34.8% to 34.3% of revenues in the quarter. Healthcare systems continued to operate at a loss because of continued aggressive investments in the organization's products and capabilities. BUSINESS FORMS
1996 1995 Change % Change ---------- ---------- --------- --------- Revenues $180,771 $116,666 $64,105 55% Gross profit $82,893 $56,282 $26,611 47% % of revenues 45.9% 48.2% Operating income $23,985 $17,266 $6,719 39% % of revenues 13.3% 14.8%
Business forms revenues rose for the first quarter primarily because of 1996 business combinations which contributed $57,000 of the sales increase. Excluding the effect of acquisitions, forms management revenues and automotive forms sales reported double digit percentage increases over last year while general printing's non forms management sales declined. The decline in gross profit margins, as compared to last year, resulted from lower gross profit margins of Duplex. Gross profit margins improved to 45.9% in the first quarter of fiscal year 1997 from 44.2% in the fourth quarter of fiscal year 1996 as the integration of the Duplex business progresses. The company's cost of paper was stable in the first quarter and is expected to remain stable during the second quarter of fiscal year 1997. Business forms operating income grew significantly, primarily as a result of higher sales. SG&A expenses declined as a percentage of sales from 33.4% last year to 32.6% for the first quarter primarily because of the effects of the business 9 10 combinations which provided strong revenue growth and lower SG&A expenses as a percentage of sales. The company further reduced SG&A expenses by eliminating duplicate administrative functions of the companies acquired. The operations of Vanier will be included in second quarter results and are expected to be additive to both operating income and net income. Including Vanier in the financial statements will change the revenue mix and lower, as a percentage of revenues, gross profit, SG&A expenses and operating income percentages. The company is in the process of integrating Duplex and Vanier into the company's business forms organization. The company expects that these steps will raise Duplex and Vanier profit margins to those of the company's other general business forms operations when the integration process is completed. FINANCIAL SERVICES
1996 1995 Change % Change --------- --------- --------- --------- Revenues $7,124 $6,234 $890 14% Operating income $3,739 $3,372 $367 11% % of revenues 52.5% 54.1%
Average finance receivables increased 19% over last year because of strong computer systems sales. Financial services revenues grew because of interest earned on the higher receivable balances. Financial services operating income grew solidly because of higher revenues and a slight decline in interest rates on borrowings. The company has entered into various interest rate management agreements to limit interest rate exposure on financial services variable rate debt. It is important to manage this interest rate exposure because the proceeds from these borrowings were invested in fixed rate finance receivables. The company believes that over time it has reduced interest expense by using interest rate management agreements and variable rate debt instead of directly obtaining fixed rate debt. During the first three months of fiscal year 1997 the company did not enter into any new interest rate management agreements because current market conditions made fixed rate debt more attractive. LIQUIDITY AND CAPITAL RESOURCES CASH FLOWS Information systems strong cash flows from operating activities of $40,979 resulted primarily from information systems net income. At the end of the first fiscal quarter the company completed the purchase of Vanier which accounted for the majority of cash spent on business combinations. Capital expenditures of $12,808 occurred in the normal course of business. Fiscal year 1997 capital expenditures in the ordinary course of business are anticipated to be about $45,000 to $50,000 in fiscal year 1997. Financial services operating cash flows and collections on finance receivables were invested in new finance receivables for the company's computer systems and used to make scheduled debt repayments. CAPITALIZATION The company's ratio of total debt (total information systems debt) to capitalization (total information systems debt plus shareholders' equity) was 26.7% at December 31, 1996 and 21.0% at September 30, 1996. The increase reflects the issuance of $100,000 of notes in a public offering and the retirement of debt issued to initially finance the Duplex transaction. Remaining credit available under existing revolving credit agreements was $89,560 at December 31, 1996. In addition to committed credit agreements, the company also has a variety of other short-term credit lines available. The company estimates that cash flow from operations and cash available from existing credit agreements will be sufficient to fund fiscal year 1997 normal operations. SHAREHOLDERS' EQUITY The company lists its Class A common shares on the New York Stock Exchange. There is no principal market for the Class B common shares. The company also has an authorized class of 60 million preferred shares with no par value. As of 10 11 February 12, 1997, no preferred shares were outstanding and there were no agreements or commitments with respect to the sale or issuance of these shares. Dividends are typically declared each November, February, May and August and paid in January, April, June and September, respectively. Dividends per Class A common share must be twenty times the dividends per Class B common share and all dividend payments must be simultaneous. In November 1996, the company's board of directors raised the quarterly dividend 14% to $.08 per Class A common share. The company has increased cash dividends per share eleven times since 1989 and paid dividends each year since the company's initial public offering in 1961. The company has conducted an active share repurchase program during recent years to provide increased returns to shareholders. During the first three months of fiscal year 1997, the company did not repurchase any Class A common shares. As of December 31, 1996 the company could repurchase an additional 3,539,000 Class A common shares under existing board of directors' authorizations. ENVIRONMENTAL MATTERS See Note 6 to the Consolidated Financial Statements for a discussion of the company's environmental contingencies. PART II - OTHER INFORMATION ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K (a) Exhibits (27) Financial Data Schedule (b) Reports on Form 8-K No reports on Form 8-K were filed during the quarter ended December 31, 1996. 11 12 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. THE REYNOLDS AND REYNOLDS COMPANY Date February 12, 1997 /s/ David R. Holmes ----------------- --------------------------------- David R. Holmes Chairman of the Board, President and Chief Executive Officer Date February 12, 1997 /s/ Dale L. Medford ----------------- --------------------------------- Dale L. Medford Vice President, Corporate Finance and Chief Financial Officer 12 EX-27 2 EXHIBIT 27 WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
5 1,000 U.S. 3-MOS SEP-30-1997 OCT-01-1996 DEC-31-1996 0 42,586 0 194,583 6,430 60,924 336,439 365,927 180,039 1,029,922 184,650 260,745 51,308 0 0 341,956 1,029,922 220,337 314,307 129,852 162,852 0 0 4,203 44,805 19,305 25,500 0 0 0 25,500 .30 .30
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