-----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, DUSdljRGFBicZQg8ZbN5UMmyyWJd/rp0/0dbHwb1sju9J2+9qiDFvaNLL1kqvy+F NswbYB1JAg5Z5ZMd+Wh2jA== 0000858801-01-500010.txt : 20020411 0000858801-01-500010.hdr.sgml : 20020411 ACCESSION NUMBER: 0000858801-01-500010 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20010930 FILED AS OF DATE: 20011119 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: 1795626 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 ivq301.txt PIF IV 10-Q 3RD QUARTER, 2001 FILING 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 September 30, 2001 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 fiscar 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 STATEMENTS OF FINANCIAL POSITION AS OF
(Unaudited) September 30, December 31, 2001 2000 Assets Cash and cash equivalents $ 1,589,656 $ 3,488,610 Short term investment 2,760,784 - Rentals receivable 144,609 206,146 Remarketing Receivable - 578,038 Accounts receivable - affiliates 18,449 20,585 Rental equipment, at cost 33,545,533 38,993,398 Less accumulated depreciation (30,748,109) (31,020,635) Net rental equipment 2,797,424 7,972,763 Total assets $ 7,310,922 $ 12,266,142 Liabilities and partners' capital Accrued management fees $ 24,981 $ 116,621 Accounts payable 28,448 32,800 Deferred income 157,831 127,957 Notes payable 357,109 2,284,571 Total liabilities 568,369 2,561,949 Partners' capital: General Partner: Capital contribution 1,000 1,000 Cumulative net income 180,544 61,643 Cumulative cash distributions (470,159) (431,769) (288,615) (369,126) Limited Partners (506,776 units): Capital contributions, net of offering costs 46,201,039 46,201,039 Cumulative net income 6,861,153 6,102,487 Cumulative cash distributions (46,031,024) (42,230,207) 7,031,168 10,073,319 Total partners' capital 6,742,553 9,704,193 Total liabilities and partners' capital $ 7,310,922 $ 12,266,142
CSA INCOME FUND IV LIMITED PARTNERSHIP STATEMENTS OF OPERATIONS (UNAUDITED) FOR THE THREE AND NINE MONTH PERIODS ENDED SEPTEMBER 30, 2001 AND 2000
Three Months Nine Months September 30, September 30, 2001 2000 2001 2000 Revenues: Rental income $ 1,654,356 $ 2,369,015 $ 5,533,248 $7,678,348 Interest income 66,272 55,535 188,686 157,805 Gain on sale of equipment 25,123 53,879 118,901 551,759 Net loss on foreign currency (3,832) (19,131) (69,959) (35,532) Total revenues 1,741,919 2,459,298 5,770,876 8,352,380 Costs and expenses: Depreciation 1,309,727 1,963,066 4,272,854 6,259,236 Interest 8,563 90,980 68,513 389,443 Management fees 84,499 178,230 286,063 584,554 General and administrative 84,167 111,782 265,879 340,400 Total expenses 1,486,956 2,344,058 4,893,309 7,573,633 Net income $ 254,963 $ 115,240 $ 877,567 $ 778,747 Net income allocation: General Partner $ 25,123 $ 1,152 $ 118,901 $ 7,787 Limited Partners 229,840 114,088 758,666 770,960 $ 254,963 $ 115,240 $ 877,567 $ 778,747 Net income per weighted average Limited Partnership Unit $ 0.46 $ 0.22 $ 1.50 $ 1.52 Number of weighted average 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 NINE MONTH PERIODS ENDED SEPTEMBER 30, 2001 AND 2000
Three Months Ended Nine Months Ended September 30, September 30, 2001 2000 2001 2000 Cash flows from operations: Cash received from rental of equipment $1,717,213 $ 2,319,535 $ 5,556,836 $7,844,466 Cash paid for operating and management expenses (165,505) (291,819) (647,934) (925,144) Interest paid (8,563) (100,101) (68,513) (401,005) Interest received 66,272 55,535 188,686 157,805 Net cash from operations 1,609,417 1,983,150 5,029,075 6,676,122 Cash flow from investments: Short term investment 655,149 - (2,760,784) - Purchase of equipment - - - (1,142,310) Sale of equipment 297,065 460,942 1,599,424 1,955,590 Net cash from (used for) investments 952,214 460,942 (1,161,360) 813,280 Cash flows from financing: Advances to/from affiliates - 74,827 - 135,100 Proceeds from notes payable - - - 485,037 Repayment of notes payable (131,429) (1,443,975) (1,927,462) (4,987,441) Payment of cash distributions (1,279,735) (1,194,420) (3,839,207) (3,241,994) Net cash used for financing (1,411,164) (2,563,568) (5,766,669) (7,609,298) Net change in cash and cash equivalents 1,150,467 (119,476) (1,898,954) (119,896) Cash and cash equivalents at beginning of period 439,189 3,678,988 3,488,610 3,679,408 Cash and cash equivalents at end of period $1,589,656 $3,559,512 $1,589,656 $3,559,512
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, 2000. In the General Partner's opinion, the unaudited financial statements reflect all adjustments, which are of a normal recurring nature, necessary to present fairly the financial position of CSA Income Fund IV Limited Partnership as of September 30, 2001 and the results of operations and cash flows for the three and nine month periods ended September 30, 2001 and September 30, 2000. CSA INCOME FUND IV LIMITED PARTNERSHIP FORM 10-Q GENERAL PARTNER'S DISCUSSION OF OPERATIONS Rental income was $1,654,356 and $2,369,015 and net income was $254,963 and $115,240 for the quarters ended September 30, 2001 and 2000, respectively. For the nine months ended September 30, 2001 and 2000, rental income was $5,533,248 and $7,678,348, and net income was $877,567 and $778,747, respectively. The decrease in Rental income was due to anticipated lease expirations as the partnership approaches wind-up. However, the increase in Net income was primarily due to a decrease in depreciation, interest and management fee expense on equipment leases that have expired. During the three months ended September 30, 2001, the Partnership generated $1,906,482 in cash flow from operations and from the sale of equipment. The Partnership utilized these funds to reduce outstanding notes payable by $131,429 and made cash distributions to the partners of $1,279,735. In the March 31, 2001, Quarterly Report, the General Partner indicated the Partnership purchased an interest, as an interim lender, in a short term investment secured by an equipment lease obligation which yields 7.75% interest. The Partnership's portion of the short-term loan participation has been reduced from $3,415,933 to $2,760,784 as of September 30, 2001 and will continue to be reduced monthly and should be paid in full by December 31, 2001. The Partnership paid distributions of $.83 per Limited Partnership unit on July 13th, August 15th, and September 14th, 2001. To date, the Partnership has made cash distributions to the Limited Partners ranging from 79% to 101% of their initial investment, depending on when the Limited Partner 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. The General Partner, as previously stated, anticipates that the wind-up of the Partnership will continue into calendar year 2002. As part of the wind-up process the distribution percentage was increased from 10% to 12% effective with the November 15th distribution. It is not expected that future distributions will be decreased from the current levels. In light of recent economic developments with regards to the overall Airline Industry, the General Partner is reviewing the Partnership's residuals position on three (3) Jet Airplane engines make up a substantial portion of the remaining residual value in the Partnership's equipment portfolio and their valuation could materially impact the wind-up distributions. However, it may be difficult to determine the equipment residual value until such time as the assets are actually sold. GENERAL PARTNER'S DISCUSSION OF OPERATIONS (continued) As indicated in the previously filed 2001 Quarterly 10-Q's, accounting profits from the sale of equipment that are generated as part of the Partnership's wind-up shall be allocated to each partner, first in the amount equal to the negative balance in the Capital Account until such time the Capital Accounts of the Partners are no longer negative. Therefore, certain gains on the disposition of partnership assets were allocated during the first three quarters of 2001 to the General Partner to reduce its Capital Account negative balance. Management reviews the Partnership's projected performance on a periodic basis. Based on that analysis the General Partner presently estimates that continued cash distributions will return the entire initial investment of the Limited Partners and a return thereon. The General Partner will continue to report on the Limited Partners' return of investment with each cash distribution. 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 the third quarter of 2001.
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: J. Frank Keohane President Principal Executive Officer Date: Richard P. Timmons Corporate Controller Principal Accounting and Finance Officer -----END PRIVACY-ENHANCED MESSAGE-----