-----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, Oc57dvQECMW/AJmD9nw1ykf1XvNK/LRkYEEZETsJBAJn9siQpLoiNntJ8DTUNUky gT+Bh3S/XmddCwI5MmnmOw== 0000858801-96-000003.txt : 19960816 0000858801-96-000003.hdr.sgml : 19960816 ACCESSION NUMBER: 0000858801-96-000003 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19960630 FILED AS OF DATE: 19960815 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: CSA INCOME FUND IV LIMITED PARTNERSHIP CENTRAL INDEX KEY: 0000858801 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-COMPUTER RENTAL & LEASING [7377] IRS NUMBER: 043072449 STATE OF INCORPORATION: MA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-19939 FILM NUMBER: 96616240 BUSINESS ADDRESS: STREET 1: 22 BATTERYMARCH STREET 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 June 30, 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 33-32744 CSA Income Fund IV Limited Partnership (Exact name of registrant as specified in its charter) Massachusetts 04-3072449 (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 IV LIMITED PARTNERSHIP CSA INCOME FUND IV LIMITED PARTNERSHIP STATEMENTS OF FINANCIAL POSITION AS OF JUNE 30, 1996 (UNAUDITED) AND DECEMBER 31, 1995 ______________________________________________________________________
(Unaudited) June 30, December 31, 1996 1995 Assets Cash and cash equivalents $ 1,780,647 $ 6,795,047 Rentals receivable 1,403,584 369,887 Value added tax deposits 80,894 89,913 Accounts receivable - affiliates 726,472 611,953 Remarketing receivable - 31,160 Rental equipment, at cost 79,348,544 77,469,983 Less accumulated depreciation (51,189,463) (51,633,820) Net rental equipment 28,159,081 25,836,163 Total assets $ 32,150,678 $ 33,734,123 Liabilities and partners' capital Accrued management fees $ 138,029 $ 40,781 Accrued interest expense 81,568 113,562 Accounts payable 30,095 37,968 Accounts payable - equipment 426,483 84,691 Accounts payable - affiliates 1,770,783 85,240 Deferred income 20,757 226,089 Notes payable 11,298,134 13,804,399 Limited recourse notes payable 571,704 580,901 Total liabilities 14,337,553 14,973,631 Partners' capital: General Partner: Capital contribution 1,000 1,000 Cumulative net loss (21,928) (32,930) Cumulative cash distributions (267,111) (246,635) (288,039) (278,565) Limited Partners (506,776 units): Capital contributions, net of offering costs 46,201,039 46,201,039 Cumulative net loss (2,170,954) (3,260,165) Cumulative cash distributions (25,928,921) (23,901,817) 18,101,164 19,039,057 Total partners' capital 17,813,125 18,760,492 Total liabilities and partners' capital $ 32,150,678 $ 33,734,123
STATEMENTS OF OPERATIONS (UNAUDITED) FOR THE THREE AND SIX MONTH PERIODS ENDED JUNE 30, 1996 AND 1995 ______________________________________________________________________
THREE MONTHS SIX MONTHS 1996 1995 1996 1995 Revenues: Rental income $ 5,649,629 $ 4,964,934 $10,060,502 $10,640,674 Interest income 8,093 85,173 56,958 173,585 Gain on sale of equipment 43,228 82,021 341,902 140,952 Net gain (loss) on foreign currency (7,676) 51,751 (5,639) 95,012 Total revenues 5,693,274 5,183,879 10,453,723 11,050,223 Costs and expenses: Depreciation and amortization 4,448,005 4,381,161 7,904,799 9,153,174 Interest 252,963 508,517 571,998 1,029,959 Management fees 423,892 356,035 735,927 686,285 General and administrative 53,436 120,209 140,787 220,659 Total expenses 5,178,296 5,365,922 9,353,511 11,090,077 Net income (loss) $ 514,978 $ (182,043) $ 1,100,212 $ (39,854) Net income (loss) allocation: General Partner $ 5,150 $ (1,821) $ 11,002 $ (399) Limited Partners 509,828 (180,222) 1,089,210 (39,455) $ 514,978 $(182,043) $ 1,100,212 $ (39,854) Net income (loss) per Limited Partnership Unit $ 1.01 $ ( .36) $ 2.15 $ ( .08) Number of Limited Partnership Units 506,776 506,776 506,776 506,776
CSA INCOME FUND IV LIMITED PARTNERSHIP STATEMENTS OF CASH FLOWS (UNAUDITED) FOR THE THREE AND SIX MONTH PERIODS ENDED JUNE 30, 1996 AND 1995 ______________________________________________________________________
THREE MONTHS SIX MONTHS 1996 1995 1996 1995 Cash flows from operations: Cash received from rental of equipment $ 4,475,271 $ 6,060,020 $ 8,775,500 $11,190,664 Cash paid for operating and management expenses (377,184) (609,513) (787,338) (992,214) Interest paid (209,766) (501,117) (494,906) (970,732) Interest received 8,093 85,173 56,958 173,585 Net cash from operations 3,896,414 5,034,563 7,550,214 9,401,303 Cash flow from investments: Value added tax 243 (26,420) 9,019 (130,580) Purchase of equipment (5,570,090) (288,071) (10,682,964) (1,443,507) Sale of equipment 233,806 132,262 841,141 2,885,681 Net cash from (used for) investments (5,336,041) (182,229) (9,832,804) 1,311,594 Cash flows from financing: Change in amounts due to/from affiliates 1,883,289 (603,432) 1,571,023 577,269 Accounts payable - equipment purchases 389,155 (17,906) 341,792 (437,809) Proceeds from notes payable 3,274,476 1,050,007 3,274,476 3,796,772 Repayment of notes payable (2,944,123) (4,495,541) (5,871,521)( 7,588,449) Payment of cash distributions (1,023,791) (1,023,789) (2,047,580) (2,047,579) Net cash from (used for) financing 1,579,006 (5,090,661) (2,731,810) (5,699,796) Net change in cash and cash equivalents 139,379 (238,327) (5,014,400) 5,013,101 Cash and cash equivalents at beginning of period 1,641,268 7,218,698 6,795,047 1,967,270 Cash and cash equivalents at end of period $ 1,780,647 $ 6,980,371 $1,780,647 $ 6,980,371
CSA INCOME FUND IV LIMITED PARTNERSHIP 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 IV Limited Partnership as of June 30, 1996 and December 31, 1995 and the results of operations and cash flows for the periods presented therein. CSA INCOME FUND IV LIMITED PARTNERSHIP GENERAL PARTNER'S DISCUSSION OF OPERATIONS ______________________________________________________________________ Rental income was $5,649,629 and $4,964,934 for the quarters ended June 30, 1996 and 1995, respectively. Net income for the second quarter of 1996 was $514,978 compared to a net loss of $182,043 for the same quarter in 1995. For the six months ended June 30, 1996 and 1995, rental income was $10,060,502 and $10,640,674, respectively. Net income for the six months ended June 30, 1996 was $1,100,212 compared to a net loss of $39,854 during the corresponding period in 1995. Rental income increased significantly in the second quarter of 1996 due, in part, to the finalization of certain lease negotiations resulting in the recognition of $490,403 in back rents which after provisions for depreciation and other related expenses increased net income for the second quarter by $78,678. The three and six month periods ended June 30,1996 also benefited from lower levels of depreciation which were the result of the use of accelerated methods of depreciation for a portion of the Partnership's portfolio in prior years and the remarketing of fully depreciated equipment. The Partnership generated $8,391,355 from operations and sales of equipment during the six months ended June 30, 1996. During this period, the Partnership used these funds, funds received from debt financings and cash on hand to acquire additional equipment of $10,682,964, make payments on notes payable of $5,871,521 and make distributions to partners of $2,047,580. The Partnership paid distributions of $.67 per Limited Partnership unit on the 15th of April, May, and June 1996. To date, the Partnership has made cash distributions to the Limited Partners ranging from 39% to 61% of their initial investment, depending on when the Limited Partners entered the Partnership. The objective of the Partnership is to return the Limited Partner's investment through current distributions and provide a return on this investment by continued distributions for as long as the equipment continues to be leased. Management, on a periodic basis, reviews the Partnership's projected performance. The most recent review indicates that revenues generated by the Partnership from certain 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. Based on an analysis of the remaining assets in the Partnership's portfolio, the General Partner presently estimates that the continued cash distributions will return the entire initial investment of the Limited Partners and a return thereon. However, the magnitude of the return may be lower than originally anticipated at the inception of the Partnership. The General Partner will continue to report on the Limited Partners' return of investment with each cash distribution and the General Partner intends to pursue additional lease investment opportunities to increase the Partnership's distributions. CSA INCOME FUND IV LIMITED PARTNERSHIP 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 - Exhibit 27. Financial Data Schedule. ( b) Reports on Form 8-K - No reports have been filed on Form 8-K during this quarter. 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 IV Limited Partnership Partnership (Registrant) By its General Partner, CSA Lease Funds, Inc. Date: August 13, 1996 /s/ J. Frank Keohane President and Principal Executive Officer Date: August 13, 1996 /s/ Richard F. Sullivan Vice President Principal Accounting and Finance Officer EX-27 2
5 This schedule contains summary financial information extracted from CSA Income Fund IV Limited Partnership's Statement of Financial Position as of June 30, 1996 and Statement of Operations for the six months then ended and is qualified in its entirety by reference to such financial statements. 6-MOS DEC-31-1996 JUN-30-1996 1,780,647 0 2,210,950 0 0 0 79,348,544 51,189,463 32,150,678 0 0 0 0 0 17,813,125 32,150,678 0 10,453,723 8,640,726 9,353,511 140,787 0 571,998 1,100,212 0 1,100,212 0 0 0 1,100,212 2.15 2.15 The Registrant maintains an unclassified Statement of Financial Position.
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