-----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, BJQ/pIe3gF18TEGa9hvtDQkdhuH5Mko188Df5XLx7zUbbytP6nS7OahavbiqAWPd JeQa2ETKAyiC2a5jav/aKw== 0000858801-02-000006.txt : 20020814 0000858801-02-000006.hdr.sgml : 20020814 20020814110552 ACCESSION NUMBER: 0000858801-02-000006 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20020630 FILED AS OF DATE: 20020814 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: 02732424 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 ivq202.txt CSA INCOME FUND IV LTD PARTNERSHIP 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, 2002 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 STATEMENTS OF FINANCIAL POSITION AS OF
(Unaudited) June 30, December 31, 2002 2001 Assets Cash and cash equivalents $ 2,605,580 $ 1,999,033 Short term investment - 2,124,290 Rentals receivable 16,723 195,805 Accounts receivable - affiliates - 3,950 Rental equipment, at cost 11,819,984 18,678,320 Less accumulated depreciation (11,462,423) (17,550,682) Net rental equipment 357,561 1,127,638 Total assets $ 2,979,864 $ 5,450,716 Liabilities and partners' capital Accrued management fees $ 15,728 $ 36,250 Accounts payable and accrued expenses 14,293 16,000 Deferred income 21,917 88,784 Notes payable 241,756 316,992 Total liabilities 293,694 458,026 Partners' capital: General Partner: Capital contribution 1,000 1,000 Cumulative net income 435,819 177,549 Cumulative cash distributions (515,379) (484,665) (78,560) (306,116) Limited Partners (506,776 units): Capital contributions, net of offering costs 46,201,039 46,201,039 Cumulative net income 7,071,237 6,564,657 Cumulative cash distributions (50,507,546) (47,466,890) 2,764,730 5,298,806 Total partners' capital 2,686,170 4,992,690 Total liabilities and partners' capital $ 2,979,864 $ 5,450,716
CSA INCOME FUND IV LIMITED PARTNERSHIP UNAUDITED STATEMENTS OF OPERATIONS FOR THE THREE AND SIX MONTH PERIODS ENDED JUNE 30, 2002 AND 2001
Three Months Six Months June 30, June 30, 2002 2001 2002 2001 Revenues: Rental income $ 432,965 $ 1,747,390 $ 1,088,045 $ 3,878,892 Interest income 18,510 87,673 77,217 122,414 Gain on sale of equipment 181,657 28,829 258,270 93,778 Net gain (loss) on foreign currency 48,302 2,179 31,318 (66,127) Total revenues 681,434 1,866,071 1,454,850 4,028,957 Costs and expenses: Depreciation 175,960 1,243,324 451,202 2,963,127 Interest 4,575 17,737 9,790 59,950 Management fees 24,132 90,150 57,065 201,564 General and administrative 88,905 88,444 171,943 181,712 Total expenses 293,572 1,439,655 690,000 3,406,353 Net income $ 387,862 $ 426,416 $ 764,850 $ 622,604 Net income allocation: General Partner $ 181,657 $ 28,829 $ 258,270 $ 93,778 Limited Partners 206,205 397,587 506,580 528,826 $ 387,862 $ 426,416 $ 764,850 $ 622,604 Net income per weighted average Limited Partnership Unit $ 0.41 $ 0.78 $ 1.00 $ 1.04 Number of weighted average Limited Partnership Units 506,776 506,776 506,776 506,776
CSA INCOME FUND IV LIMITED PARTNERSHIP UNAUDITED STATEMENTS OF CASH FLOWS FOR THE THREE AND SIX MONTH PERIODS ENDED JUNE 30, 2002 AND 2001
Three Months Ended Six Months Ended June 30, June 30, 2002 2001 2002 2001 Cash flows from operations: Cash received from rental of equipment $ 472,986 $1,752,697 $1,235,528 $3,839,623 Cash paid for operating and management expenses (109,300) (202,425) (251,237) (482,429) Interest paid (4,575) (17,737) (9,790) (59,950) Interest received 18,510 87,673 77,217 122,414 Net cash from operations 377,621 1,620,208 1,051,718 3,419,658 Cash flow from investments: Short term investment - 84,067 2,124,290 (3,415,933) Sale of equipment 404,881 538,638 577,145 1,302,359 Net cash from (used for) investments 404,881 622,705 2,701,435 (2,113,574) Cash flows from financing: Repayment of notes payable (37,939) (696,325) ( 75,236) (1,796,033) Payment of cash distributions (1,535,685) (1,279,735) (3,071,370) (2,559,472) Net cash used for financing (1,573,624) (1,976,060) (3,146,606) (4,355,505) Net change in cash and cash equivalents (791,122) 266,853 606,547 (3,049,421) Cash and cash equivalents at beginning of period 3,396,702 172,336 1,999,033 3,488,610 Cash and cash equivalents at end of period $2,605,580 $ 439,189 $2,605,580 $ 439,189
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, 2001. 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 June 30, 2002 and the results of operations and cash flows for the three and six month periods ended June 30, 2002 and June 30, 2001. CSA INCOME FUND IV LIMITED PARTNERSHIP GENERAL PARTNER'S DISCUSSION OF OPERATIONS Rental income was $432,965 and $1,747,390 and net income was $387,862 and $426,416 for the quarters ended June 30, 2002 and 2001, respectively. For the six months ended June 30, 2002 and 2001, Rental income was $1,088,045 and $3,878,892, and net income was $764,850 and $622,604. The decrease in net income for the quarter ended June 30, 2002 was primarily due to lease expirations as the partnership approaches wind-up. The increase in net income for the six months ended June 30, 2002 was primarily due to lower depreciation expense recorded of $471,202 as compared to $2,963,127 for the same period in 2001. The depreciation expense is significantly lower in 2002 primarily due to a majority of the remaining leases in the Partnership's portfolio being nearly or fully depreciated. The Partnership generated $782,502 in cash flow from operations and from the sale of equipment during the three months ended June 30, 2002. The Partnership utilized these funds and cash on hand to reduce outstanding notes payable by $37,939 and made cash distributions to the partners of $1,535,685. The Partnership paid distributions of $1.00 per Limited Partnership unit on the April 15th, May 15th, and June 14th 2002. To date, the Partnership has made cash distributions to the Limited Partners ranging from 88% to 110% 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. As noted previously, the General Partner of CSA Income Fund IV Limited Partnership is in the process of completing the wind-up of the Partnership. In finalizing the sale of the remaining Partnership assets certain Partnership aircraft engines, are requiring additional General Partner effort in order to maximize the value of these assets to the Limited Partners. As soon as the remarketing of these Partnership assets has been completed, the Partnership will make a Final Distribution to the Limited Partners. GENERAL PARTNER'S DISCUSSION OF OPERATIONS (continued) In accordance with the Partnership Agreement, pursuant to section 8.3 (c), 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 of such partner; and secondly, 99% to the Limited Partners and 1% to the General Partner. Therefore, certain gains on the disposition of partnership assets were allocated during the first two quarters of 2002 and 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 second quarter of 2002.
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 (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 Form 10-Q page 7 -----END PRIVACY-ENHANCED MESSAGE-----