-----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, M9sgeHGhGv89E5YQbwHsPj0fMppRtb3PIWdpfi2xZTwlzYc9Hk5eUXDV/tdr3hJg L9UllXzzhC6CHnPJKt46kQ== 0000950170-98-000343.txt : 19980224 0000950170-98-000343.hdr.sgml : 19980224 ACCESSION NUMBER: 0000950170-98-000343 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19971231 FILED AS OF DATE: 19980223 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: MEDICAL TECHNOLOGY & INNOVATIONS INC /FL/ CENTRAL INDEX KEY: 0000847464 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-AMUSEMENT & RECREATION SERVICES [7900] IRS NUMBER: 652954561 STATE OF INCORPORATION: FL FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 10QSB SEC ACT: SEC FILE NUMBER: 333-01950 FILM NUMBER: 98546885 BUSINESS ADDRESS: STREET 1: 3125 NOLT RD CITY: LANCASTER STATE: PA ZIP: 17631 BUSINESS PHONE: 7178926770 MAIL ADDRESS: STREET 1: 3125 NOLT RD CITY: LANCASTER STATE: PA ZIP: 17601 10QSB 1 U.S. SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-QSB (Mark One) [ X ] QUARTERLY REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended DECEMBER 31, 1997 [ ] TRANSITION REPORT UNDER SECTION 13 OR 15(D) OF THE EXCHANGE ACT OF 1934 For the transition period from ______________ to _____________ COMMISSION FILE NUMBER: 33-27610-A MEDICAL TECHNOLOGY & INNOVATIONS, INC. (Exact name of small business issuer as specified in its charter) FLORIDA 65-2954561 (State or other jurisdiction of (I.R.S. Employer Identification No.) incorporation or organization) 3125 NOLT ROAD, LANCASTER, PA 17601 (Address of principal executive offices) (Zip Code) (717) 892-6770 (Issuer's telephone number, including area code) Check whether the issuer (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 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 [ ] As of December 31, 1997 25,092,010 shares of Common Stock, no par value, of the registrant were outstanding. DOCUMENTS INCORPORATED BY REFERENCE: Portions of the registrant's annual report filed with the Securities and Exchange Commission on Form 10-KSB, filed December 2, 1997.
MEDICAL TECHNOLOGY & INNOVATIONS, INC. TABLE OF CONTENTS PART I. FINANCIAL INFORMATION Item 1. Financial Statements Condensed Consolidated Balance Sheets December 31, 1997 and June 30, 1997 4 Condensed Consolidated Income Statements For the Three and Six Months ended December 31, 1997 and 1996 (Unaudited) 5 Condensed Consolidated Statements of Stockholders' Equity (Unaudited) 6 Condensed Consolidated Statements of Cash Flows For the Six Months ended December 31, 1997 and 1996 (Unaudited) 7 Notes to Condensed Consolidated Financial Statements 8 Item 2. Management's Discussion and Analysis or Plan of Operation 9 PART II. OTHER INFORMATION Item 6. Exhibits and Reports on Form 8-K 11 SIGNATURES 13
2 PART I - FINANCIAL INFORMATION 3
MEDICAL TECHNOLOGY & INNOVATIONS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS DECEMBER 31 AND JUNE 30, 1997 ASSETS December 31, June 30, (Unaudited) 1997 ----------- --------- CURRENT ASSETS Cash and cash equivalents $ 196,923 $58,090 Accounts Receivable, less allowances of $36,367 540,799 407,633 Inventory 621,549 692,273 Prepaid Expenses 28,310 36,477 ---------- ---------- Total Current Assets 1,387,581 1,194,473 ---------- ---------- FIXED ASSETS Land 382,000 382,000 Equipment, less accumulated depreciation of $292,129 and $223,881, respectively 893,237 956,388 ---------- ---------- Fixed Assets, net 1,275,237 1,338,388 OTHER ASSETS Intangible and Other Assets 2,603,886 2,716,280 ---------- ---------- TOTAL ASSETS $5,266,704 $5,249,141 ========== ========== LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Accounts Payable $568,272 $418,341 Accrued Liabilities 617,399 384,995 Current Maturities of Long-Term Debt 701,880 732,997 ---------- ---------- Total Current Liabilities 1,887,551 1,536,333 LONG-TERM DEBT, NET OF CURRENT MATURITIES 1,627,390 1,020,040 ---------- ---------- TOTAL LIABILITIES 3,514,941 2,556,373 ---------- ---------- STOCKHOLDERS' EQUITY Common Stock, no par value, authorized 700,000,000 shares, outstanding 25,092,010 and 16,730,729 shares, respectively 9,310,170 6,755,260 Series A Convertible Preferred Stock, $100 par value, authorized 70,000 shares, outstanding nil and 496 shares, respectively - 0 - 4,407,810 Series B Convertible Preferred Stock, $100 par value, authorized 1000 shares, 267 outstanding 1,602,000 - 0 - Preferred Stock, authorized 100,000,000 shares $1,000 par value, 12%, noncumulative, Outstanding 22.5 shares 22,500 22,500 Treasury Stock, at cost (309,742) (309,742) Accumulated Deficit (8,873,165) (8,183,060) ---------- ---------- Total Stockholders' Equity 1,751,763 2,692,768 ---------- ---------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $5,266,704 $5,249,141 ========== ==========
The accompanying notes are an integral part of the condensed financial statements. 4
MEDICAL TECHNOLOGY & INNOVATIONS, INC. CONDENSED CONSOLIDATED INCOME STATEMENTS FOR THE THREE MONTHS AND SIX MONTHS ENDED DECEMBER 31, 1997 AND 1996 (UNAUDITED) Three Months Ended Six Months Ended December 31, December 31, 1997 1996 1997 1996 ---------- ---------- ---------- ---------- Revenues $1,425,376 $1,014,945 $2,410,000 $1,847,037 Cost of Goods Sold 908,102 771,914 1,650,173 1,389,261 ---------- ---------- ---------- ---------- Gross Profit 517,274 243,031 759,827 457,776 ---------- ---------- ---------- ---------- Operating Expenses Advertising 33,680 238,441 70,746 304,646 Selling, General, and Administrative 612,175 881,336 1,253,870 1,660,396 ---------- ---------- ---------- ---------- Total Operating Expenses 645,855 1,119,777 1,324,616 1,965,042 ---------- ---------- ---------- ---------- (Loss) from Operations (128,581) (876,746) (564,789) (1,507,266) Interest expense, net 75,908 31,009 125,316 79,637 ---------- ---------- ---------- ---------- Net (Loss) from Operations ($204,489) ($907,755) ($690,105) ($1,586,903) Add: Gain on Restructuring of Series A Preferred Stock 948,163 - 0 - 948,163 - 0 - ---------- ---------- ---------- ---------- Net Income (Loss) Attributable to Common Stock $743,674 ($907,755) $258,058 ($1,586,903) ======== ========= ======== =========== Basic Earnings Per Share Net Operating (Loss) per common share ($.011) ($.032) ($.039) ($.124) ======== ========== ========= =========== Net Income (Loss) per common share after Gain on Restructuring of Series A Preferred Stock $.042 ($.032) $.014 ($.124) ======== ========== ========= ===========
Note: In accordance with Financial Accounting Standards No. 128, "Earnings per Share" the difference between basic earnings per share and diluted earnings per share is not material. The accompanying notes are an integral part of the condensed financial statements. 5
MEDICAL TECHNOLOGY & INNOVATIONS, INC. CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED) Series A Series B Convertible Convertible Common Common Preferred Preferred Shares Stock Stock Stock ---------- ---------- ----------- ----------- BALANCE AT JUNE 30, 1995 11,205,036 $1,435,407 Issuance of Common Stock 1,306,409 1,147,076 Exercise of Stock Options 735,084 1,102,427 Stock Issued for Services 217,520 462,230 Purchase of Treasure Shares (1,316,750) Net Loss ---------- ---------- BALANCE AT JUNE 30, 1996 12,147,299 $4,147,140 ---------- ---------- Sale of 70,000 Series A Convertible Preferred Stock, Net of issuance costs $6,220,700 Conversions of Preferred Stock Into Common Stock 3,697,576 $1,846,390 (1,812,890) Exercise of Stock Options 194,737 292,105 Issuance of Common Stock 532,898 270,250 Stock Issued for Services 215,000 199,375 Purchase of Treasury Shares (56,781) Net Loss ---------- ---------- ---------- BALANCE AT JUNE 30, 1997 16,730,729 $6,755,260 $4,407,810 ---------- ---------- ---------- Net Loss Issuance of Common Stock 144,509 $25,000 Conversion of Series A Preferred Stock into common stock 8,216,772 1,581,747 ($1,581,747) Gain on Restructuring of Series A Preferred Stock 948,163 (1,224,063) Issuance of Series B Preferred In exchange for Series A (1,602,000) $ 1,602,000 ---------- ---------- ----------- ----------- BALANCE AT DECEMBER 31, 1997 25,092,010 $9,310,170 - 0 - $1,602,000 ========== ========== =========== ===========
Total Preferred Treasury Accumulated Stockholders' Stock Stock Deficit Equity --------- -------- ------------ ------------- BALANCE AT JUNE 30, 1995 $56,000 ($2,781,730) ($1,290,323) Issuance of Common Stock 1,147,076 Exercise of Stock Options 1,102,427 Stock Issued for Services 462,230 Purchase of Treasure Shares ($250,000) (250,000) Net Loss (1,893,771) (1,893,771) --------- --------- ----------- ----------- BALANCE AT JUNE 30, 1996 $ 56,000 ($250,000) ($4,675,501) ($722,361) --------- --------- ----------- ----------- Sale of 70,000 Series A Convertible Preferred Stock, Net of issuance costs $6,220,700 Conversions of Preferred Stock Into Common Stock ($33,500) Exercise of Stock Options 292,105 Issuance of Common Stock 270,250 Stock Issued for Services 199,375 Purchase of Treasury Shares ($59,742) (59,742) Net Loss ($3,507,559) (3,507,559) --------- --------- ----------- ----------- BALANCE AT JUNE 30, 1997 $22,500 ($309,742) ($8,183,060) $2,692,768 --------- --------- ----------- ----------- Net Loss ($690,105) ($690,105) Issuance of Common Stock 25,000 Conversion of Series A Preferred Stock into common stock Gain on Restructuring of Series A Preferred Stock (275,900) Issuance of Series B Preferred In exchange for Series A --------- --------- ----------- ----------- BALANCE AT DECEMBER 31, 1997 $22,500 ($309,742) ($8,873,165) $1,751,763 ========= ========= =========== ===========
The accompanying notes are an integral part of the condensed financial statements. 6
MEDICAL TECHNOLOGY & INNOVATIONS, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) FOR THE SIX MONTHS ENDED DECEMBER 31, 1997 AND 1996 Six Months Ended December 31, 1997 1996 ---- ---- CASH FLOWS FROM OPERATING ACTIVITIES: Net Loss ($690,105) ($1,586,903) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation and Amortization 180,135 149,789 (Increase) Decrease in Accounts Receivable (133,166) 53,169 (Increase) Decrease in Inventory 70,726 (277,935) Decrease in Prepaid Expenses 8,167 91,149 Increase in Accounts Payable 149,929 29,038 Increase in Accrued Liabilities 232,404 155,346 Stock issued for services - 0 - 112,500 ------------ ---------- Net cash used in operating activities (181,910) (1,273,847) CASH FLOWS FROM INVESTING ACTIVITIES: Purchase of Net Assets of Steridyne (4,436,635) Purchase of Fixed Assets (4,590) (151,447) ------------ ---------- Net cash used in investing activities (4,590) (4,588,082) CASH FLOWS FROM FINANCING ACTIVITIES: Costs incurred for restructuring of Series A Preferred Stock (275,900) - 0 - Proceeds from issuance of Series A preferred stock, net - 0 - 6,220,700 Proceeds from issuance of stock, net 25,000 150,000 Proceeds from exercise of stock options, net - 0 - 292,106 Acquisition of Treasury Stock - 0 - (57,357) Proceeds from issuance of notes payable 730,729 241,529 Repayment of notes payable (154,496) (577,042) --------- -------- Net cash from financing activities 325,333 6,269,936 Net increase in cash and cash equivalents 138,833 408,007 Cash and cash equivalents at beginning of period 58,090 273,942 ------------ ---------- Cash and cash equivalents at end of period $ 196,923 $ 681,949 ============ ==========
The accompanying notes are an integral part of the condensed financial statements. 7 MEDICAL TECHNOLOGY & INNOVATIONS, INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 1. CONDENSED FINANCIAL STATEMENTS. The unaudited condensed consolidated financial information contained in this report reflects all adjustments (consisting of normal recurring accruals) considered necessary, in the opinion of management, for a fair presentation of results for the interim periods presented. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted. These financial statements should be read in conjunction with the financial statements and notes thereto included in the Company's June 30, 1997 Annual Report on Form 10-KSB. The results of operations for periods ended December 31 are not necessarily indicative of operations for the full year. 2. STOCK OPTION PLANS. In October of 1995 officers of the Company were granted options to acquire up to 2.0 million shares of common stock at an exercise price of $1.50 per share. The options are exercisable ratably over a three year period commencing with the quarter ending June 30, 1996. In April of 1996 the Company's shareholders approved the 1996 Stock Option Plan, which allows the board of directors to grant up to 3.0 million options. During fiscal 1997, 1,250,000 options have been granted. In September of 1997, the Board of Directors reduced the exercise price on all options granted to the Chief Executive Officer, President and Executive Vice President of the Company to $.25. The following is a summary of stock option transactions: Outstanding, July 1, 1997 3,239,936 Options granted 0 Options exercised 0 Options cancelled (500,000) --------- Outstanding, December 31, 1997 2,739,936 ========= Exercisable, end of period 1,163,397 ========= 3. PREFERRED STOCK. The Company has three classes of preferred stock. The $1,000 par value convertible preferred stock is convertible into 14,985 shares of the Company's common stock The Series A convertible preferred stock was convertible into approximately 30 million shares of the Company's common stock as of September 30, 1997. The Series A preferred stock conversion rate was the lower of the approximate market rate or $2.72. During September of 1997, the Company renegotiated terms with the Series A Preferred Shareholders and as a result, all Series A Preferred Shares were exchanged for a combination of cash, common stock, a new Series B Preferred stock and an amended warrant certificate with an exercise price of $1.00 per share in cash. Series A Preferred shareholders owning 217 outstanding shares elected to receive $3,800 in cash in exchange for their Series A Preferred shares with a face value of $10,000. Series A Preferred shareholders owing 267 outstanding shares agreed to exchange their Series A Preferred shares for a new Series B Preferred share with a $100 par value, a face value of $6000 with accretion at 8% from October 1, 1997 plus 10,000 shares of the Company's common stock. The new Series B Preferred stock is convertible into common stock beginning October 1, 1998 at a fixed conversion price of $1.00 per share. 8 Conversion is limited to 10% per month of the shares held until February 28, 1999 and 20% per month thereafter. The conversion feature doubles provided the Company's common stock closing bid price for ten consecutive days is greater than $2.00 per share. The Company has the option of redeeming the Series B Preferred shares at any time in cash, at 110% of the original face value of the Series B Preferred shares including accretion, or in the Company's common stock valued at the average closing bid price for the 30 days prior to the redemption at 120% of the original face value of the Series B Preferred shares including accretion. The Company is required to redeem the Series B Preferred stock on September 30, 2000. The common stock issued to Series B Preferred shareholders is subject to the following lockup schedule: Maximum Date Tradeable ---- --------- December 1, 1997 250 shares January 1, 1998 750 shares February 1, 1998 1,500 shares April 1, 1998 2,500 shares July 1, 1998 5,500 shares October 1, 1998 10,000 shares As a result of the restructuring of the Series A Preferred Stock, the common stock holders have received a gain of approximately $948,000. 4. WARRANTS. The Company has issued warrants to purchase 4.3 million shares of common stock as of December 31, 1997. The warrants relate to grants made in connection with an equity issuance and various services rendered. The warrants can be exercised at prices ranging from $.25 to $2.72 per share. 3.1 million warrants expire in July 2001. Pursuant to terms renegotiated in September of 1997 between the Company and holders of Series A Preferred Shares issued in July of 1996, the exercise price of approximately 1.8 million warrants will be reduced from $2.72 to $1.00. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION This analysis should be read in conjunction with the condensed consolidated financial statements, the notes thereto, and the financial statements and notes thereto included in the Company's June 30, 1997 Annual Report on Form 10-KSB. All nonhistorical information contained in this Form 10-QSB is a forward-looking statement. The forward looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in the forward looking statements. Factors that might cause such differences include, but are not limited to the following, a slower acceptance of the MTI PhotoscreenerTM in the marketplace, increased foreign competition putting pricing pressures on Steridyne products, changes in economic trends and other unforeseen situations or developments. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's analysis only as of the date hereof. RESULTS OF OPERATIONS COMPARISON OF SIX MONTH PERIODS ENDED DECEMBER 31, 1997 AND 1996 Revenues for the first half of fiscal 1998 increased by $562,963 or a 30% increase. This increase results because of increased demand for the MTI PhotoScreener(TM) from retail optical chains, service clubs and schools 9 combined with good growth in the core Steridyne business. Gross profit for the first half of fiscal 1998 increased by 66% versus the comparable period in fiscal 1997 mostly due to sales increases and mix as overall margins are comparable between the two periods. MTI products generally have higher profit margins than Steridyne products. Operating expense decreased by 33% from $1,965,042 in the first half of fiscal 1997 to $1,324,616 in the comparable period in fiscal 1998. This reduction is evident in almost all expense categories with the greatest savings in the employment and public relations areas. Exclusive of Steridyne, the number of full time employees has been cut back by over one-third from the first half of fiscal 1998 versus 1997. Management expects general and administrative costs to continue at the same rate for the third quarter of fiscal 1998. Interest expense has increased 57% to $125,316 for the first six months of fiscal 1998 versus 1997 because of the debt incurred to fund the restructuring of the Series A Preferred shares and higher interest costs associated with factoring the Company's receivables to increase cash flow. Management expects a lower net loss from operations for the third fiscal quarter of 1998 because of increased sales and continued cost controls. LIQUIDITY AND CAPITAL RESOURCES At December 31, 1997 the Company had cash of $196,923 and working capital of ($499,970) as compared to $58,090 and ($341,860) at June 30, 1997. The increase in the working capital deficit is partially due to the inclusion of $343,750 of subordinated convertible notes in the current liabilities. Assuming the subordinated notes are put to the Company for conversion, the Company intends to honor the put by issuing common stock. In September of 1997 the Company reached an agreement with the holders of the Series A Preferred shares issued in July of 1996 to amend certain term and conditions of the issue subject to the Company completing the required financing. All Series A Preferred shareholders were given the option of electing ("Option 1") a cash payment of $3,800 per share or ("Option 2") 10,000 shares of the Company's common stock and a new Series B Preferred share with a $6,000 face in exchange for 1 share of the original Series A Preferred. All Series A Preferred shareholders will also have the exercise price reduced on all warrants applicable to tendered Series A Preferred Shares from $2.72 to $1.00. The new Series B Preferred Stock is convertible into common stock of the Company from October 1, 1998 at a fixed price of $1.00. Conversion is limited to 10% of the holding for the first four months following October 1, 1998 then it is increased to 20% per month thereafter. The Series B Preferred stock can be redeemed by the Company at any time but is mandatory on September 30, 2000. Common stock issued to Series A Preferred Stockholders electing Option 2 is subject to a lock-up which ends on October 1, 1998. In connection with securing financing for Option 1 of the Series A Preferred restructuring, the Company raised an additional $719,000 for general working capital purposes. The Company recruited new senior management who instituted significant reductions in employees, inventory management programs and cutbacks in operating expenses in all parts of the business. Management also broadened its sales and marketing emphasis to target large retailers and national public service organizations rather than individual healthcare professionals. Management believes these actions will improve operating performance and cash flow in the near term. For the past several years the Company has financed its operations primarily through private sales of securities and revenues from the sale of its products. Since June of 1993 the company has received net proceeds of approximately $10.0 million from the private sale of securities and debt. The Company may raise additional capital through private and/or public sales of securities in the future. 10 PART II. OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS In March, 1997, the Company was sued by Lehman Millet Incorporated ("LMI") in Suffolk County Superior Court in Boston, Massachusetts concerning an alleged agreement to provide public relations and promotional assistance with respect to the MTI PhotoScreener(TM). The suit alleges that monies are owed by the Company to LMI for services provided. The Company answered the complaint and vigorously contests the claims, and has asserted counterclaims for breach of contract and deceit alleging damages, including lost revenues as a result of LMI's failure to provide the appropriate professional services as represented. The lawsuit is presently in the discovery phase and the parties anticipate attempting to resolve this matter by mediation within the next several months. On November 24, 1997, the Company filed suit against Faisal Finance (Switzerland) SA in the United States District Court, Eastern District of Pennsylvania, Case No. 97-CV-7191. The suit alleges that Faisal breached its contract with the Company with respect to the Company's restructuring of the Company's Series A Preferred Stock Regulation S offering. The complaint also alleges that Faisal engaged in a scheme to defraud the Company and requests that the court award it, as of this date, an unspecified amount of damages. Prior to the filing of the complaint Faisal demanded conversion of its Series A stock. The Company has refused to agree to that request. In response thereto, Faisal filed suit against the Company in the United States District Court, Southern District of Florida, Case No. 97-3813 for Breach of Contract and Quantum Meruit in regard to the same transaction and seeks damages in excess of $50,000 and that the Company be required to convert Faisal's preferred stock. It is anticipated that these actions will be consolidated into one case in Florida. With respect to the suit filed by Faisal, the Company believes that the suit is without merit and the Company will vigorously defend this action. MTI, the Company and Steridyne are also parties to other pending legal proceedings in the ordinary course of their business. The Company does not expect these legal proceedings to have a material adverse effect on the Company's financial condition. ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K (a) EXHIBITS: 3.1 Amendment to the Articles of Incorporation for SouthStar Productions, Inc., which changed its name to Medical Technology & Innovations, Inc. [Incorporated by reference to the Company's Current Report on Form 8-K for an event on September 21, 1995] 3.2 Restated Articles of Incorporation for Medical Technology & Innovations, Inc.[Incorporated by reference to Exhibit 3.3 to the Company's Annual Report on Form 10-KSB (File No. 33-27610-A), filed September 30, 1996] 3.3 By-laws [Incorporated by reference to Exhibit 3.2 to the Company's Registration Statement on Form S-18 (File No. 33-27610-A), filed March 17, 1989] SIGNATURES In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. AND BY: BY: /S/ DENNIS A. SUROVCIK /s/ ROBERT D. BRENNAN ------------------------------------------ ------------------------------------- Dennis A. Surovcik, Senior Vice President Robert D. Brennan, President Chief Financial Officer Chief Operating Officer
Date: February 15, 1998. 11 EXHIBIT INDEX Exhibit Description - ------- ----------- 27 Financial Data Schedule EX-27 2
5 3-MOS JUN-30-1997 JUL-01-1997 DEC-31-1997 196,923 0 577,166 36,367 621,549 1,387,581 1,567,366 292,129 5,266,704 1,887,551 0 0 1,602,000 9,310,170 (309,742) 5,266,704 2,410,000 2,410,000 1,650,153 1,324,616 0 0 125,316 (690,105) 0 (690,105) 0 948,163 0 258,058 .014 0
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