-----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, Bo78Z9u/026RC62B/qE3GsB5tGdoEXDDf3fqFDeRth3ldaNN7UTfpKdBT2mJu0BG 2+yXugCYVWUOuYn2IVsTkQ== 0000893877-98-000562.txt : 19980817 0000893877-98-000562.hdr.sgml : 19980817 ACCESSION NUMBER: 0000893877-98-000562 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19980630 FILED AS OF DATE: 19980814 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: RADISYS CORP CENTRAL INDEX KEY: 0000873044 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-COMPUTER INTEGRATED SYSTEMS DESIGN [7373] IRS NUMBER: 930945232 STATE OF INCORPORATION: OR FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 000-26844 FILM NUMBER: 98687345 BUSINESS ADDRESS: STREET 1: 5445 NE DAWSON CREEK DR CITY: HILLSBORO STATE: OR ZIP: 97124 BUSINESS PHONE: 5036461800 10-Q 1 QUARTERLY REPORT SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (X) Quarterly report pursuant to section 13 or 15(d) of the Securities Exchange Act of 1934 for the quarterly period ended June 30, 1998 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: 0-26844 RADISYS CORPORATION (Exact name of registrant as specified in its charter) Oregon 93-0945232 (State or other jurisdiction (I.R.S. Employer of organization or incorporation) Identification Number) 5445 NE Dawson Creek Drive Hillsboro, OR 97124 (Address of principal executive offices, including zip code) (503) 615-1100 (Registrant's telephone number, including area code) 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 report), and (2) has been subject to such filing requirements for the past 90 days. Yes [X] No [ ] Number of shares of common stock outstanding as of August 10, 1998 was 7,899,070. RADISYS CORPORATION PART I. FINANCIAL INFORMATION Page No. Item 1. Consolidated Financial Statements Consolidated Balance Sheet - June 30, 1998 and December 31, 1997 3 Consolidated Statement of Operations - Three months ended June 30, 1998 and 1997, and six months ended June 30, 1998 and 1997 4 Consolidated Statement of Changes In Shareholders' Equity - December 31, 1995 through June 30, 1998 5 Consolidated Statement of Cash Flows - Six months ended June 30, 1998 and 1997 6 Notes to Consolidated Financial Statements 7 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 9 PART II. OTHER INFORMATION Item 4. Submission of Matters to a Vote of Security Holders 13 Item 5. Other Information 14 Item 6. Exhibits and Reports on Form 8-K 14 Signatures 15 2
RadiSys Corporation Consolidated Balance Sheet (in thousands, except share amounts) ASSETS June 30, December 31, 1998 1997 ------------- ------------- (unaudited) Current assets Cash and cash equivalents $ 33,185 $ 23,993 Accounts receivable 19,790 27,983 Other receivables 471 503 Inventories 18,653 22,830 Other current assets 1,369 1,910 Deferred income taxes 238 251 ------------- ------------- Total current assets 73,706 77,470 Equipment, net of accumulated depreciation of $9,730 and $8,265 12,812 12,174 Other assets 6,169 5,299 ------------- ------------- Total assets $ 92,687 $ 94,943 ============= ============= LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Accounts payable $ 6,546 $ 10,840 Income taxes payable 531 1,558 Accrued wages and bonuses 2,181 2,893 Accrued sales discounts 981 1,211 Deferred revenue 1,181 1,234 Other accrued liabilities 998 712 Current portion of capital lease obligation 270 214 ------------- ------------- Total current liabilities 12,688 18,662 ------------- ------------- Obligations under capital lease 231 399 ------------- ------------- Total liabilities 12,919 19,061 ------------- ------------- Commitments and contingent liabilities Shareholders' equity Common stock, 50,000,000 shares authorized, 7,892,491 and 7,803,595 shares issued and outstanding 51,967 50,788 Cumulative translation adjustment (1,918) (1,177) Retained earnings 29,719 26,271 ------------- ------------- Total shareholders' equity 79,768 75,882 ------------- ------------- Total liabilities and shareholders' equity $ 92,687 $ 94,943 ============= ============= See accompanying notes to consolidated financial statements.
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RadiSys Corporation Consolidated Statement of Operations (in thousands, except per share amounts) (unaudited) Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 1998 1997 1998 1997 ----------- ----------- ----------- ----------- Revenues $ 24,125 $ 29,796 $ 57,788 $ 57,626 Cost of sales 16,640 17,875 38,184 34,060 ----------- ----------- ----------- ----------- Gross Profit 7,485 11,921 19,604 23,566 Research and development 3,323 2,742 6,859 5,549 Selling, general and administrative 3,952 3,757 8,054 7,595 ----------- ----------- ----------- ----------- Income from operations 210 5,422 4,691 10,422 Interest income, net 280 270 606 534 ----------- ----------- ----------- ----------- Income before income tax provision 490 5,692 5,297 10,956 Income tax provision 167 1,992 1,849 3,834 ----------- ----------- ----------- ----------- Net income $ 323 $ 3,700 $ 3,448 $ 7,122 =========== =========== =========== =========== Net income per share (basic) $ 0.04 $ 0.48 $ 0.44 $ 0.94 =========== =========== =========== =========== Net income per share (diluted) $ 0.04 $ 0.46 $ 0.43 $ 0.89 =========== =========== =========== =========== See accompanying notes to consolidated financial statements.
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RadiSys Corporation Consolidated Statement of Changes in Shareholders' Equity (in thousands, except share amounts) Common stock Cumulative ----------------------- translation Retained Shares Amount Warrants adjustment earnings Total ---------- ---------- ------------ ------------ ---------- --------- Balances, December 31, 1995 6,014,709 $ 33,627 $ $ (108) $ 1,300 $ 34,819 Shares issued pursuant to benefit plans 73,701 365 365 Tax effect of options exercised 569 569 Translation adjustment (221) (221) Stock issued for acquisition 1,300,000 10,500 10,500 Warrants issued for acquisition 1,200 1,200 Net income for the year 9,546 9,546 ---------- ---------- ------------ ------------ ---------- --------- Balances, December 31, 1996 7,388,410 45,061 1,200 (329) 10,846 56,778 Exercise of warrants 166,667 1,200 (1,200) Shares issued pursuant to benefit plans 165,018 1,605 1,605 Tax effect of options exercised 513 513 Translation adjustment (848) (848) Stock issued for acquisition 83,500 2,409 2,409 Net income for the year 15,425 15,425 ---------- ---------- ------------ ------------ ---------- --------- Balances, December 31, 1997 7,803,595 50,788 - (1,177) 26,271 75,882 Shares issued pursuant to benefit plans 88,896 1,179 1,179 Translation adjustment (741) (741) Net income for the period 3,448 3,448 ---------- ---------- ------------ ------------ ---------- --------- Balances, June 30, 1998 (unaudited) 7,892,491 $ 51,967 $ - $ (1,918) $ 29,719 $ 79,768 ========== ========== ============ ============ ========== ========= See accompanying notes to consolidated financial statements.
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RadiSys Corporation Consolidated Statement of Cash Flows (in thousands) (unaudited) Six Months Ended June 30, June 30 1998 1997 ------------- ------------- Cash flows from operating activities: Net Income $ 3,448 $ 7,122 Adjustments to reconcile net income to net cash provided by (used for) operating activities: Depreciation and amortization 2,391 1,472 Deferred income taxes 13 131 Net changes in current assets and current liabilities: Decrease (increase) in accounts receivable 8,193 (2,241) Decrease (increase) in other receivables 32 2,478 Decrease (increase) in inventories 4,177 (1,576) Decrease (increase) in other current assets 541 (641) Increase (decrease) in accounts payable (4,294) (307) Increase (decrease) in income taxes payable (1,027) (1,605) Increase (decrease) in accrued wages and bonuses (712) 123 Increase (decrease) in accrued sales discounts (230) (451) Increase (decrease) in deferred revenue (53) 79 Increase (decrease) in other accrued liabilities 286 (1,296) ------------- ------------- Net cash provided by (used for) operating activities 12,765 3,288 ------------- ------------- Cash flows from investing activities: Business acquisitions - (1,060) Capital expenditures (2,451) (2,665) Capitalized software production costs and other assets (1,448) (230) ------------- ------------- Net cash used for investing activities (3,899) (3,955) ------------- ------------- Cash flows from financing activities: Issuance of common stock, net 1,179 686 Payments on notes payable - (2,532) Payments on capital lease obligation (112) (123) ------------- ------------- Net cash provided by (used for) financing activities 1,067 (1,969) ------------- ------------- Effect of exchange rate changes on cash (741) (109) ------------- ------------- Net increase (decrease) in cash and cash equivalents 9,192 (2,745) Cash and cash equivalents, beginning of period 23,993 24,626 ------------- ------------- Cash and cash equivalents, end of period $ 33,185 $ 21,881 ============= ============= See accompanying noets to consolidated financial statements.
6 RADISYS CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (in thousands, except share amounts) (unaudited) 1. Basis of Presentation The accompanying consolidated financial statements are unaudited and have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission and in the opinion of management include all adjustments, consisting only of normal recurring adjustments, necessary for the fair statement of results for the interim periods. Certain information and footnote disclosure normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. These consolidated financial statements should be read in conjunction with the audited financial statements and notes thereto included in the Company's annual report on Form 10-K for the year ended December 31, 1997. The results of operations for interim periods are not necessarily indicative of the results for the entire year. Reclassifications have been made to amounts in prior years to conform to current year presentation. These changes had no impact on previously reported results of operations or shareholders' equity. 2. Accounts Receivable Trade accounts receivable are net of an allowance for doubtful accounts of $468 and $663 at June 30, 1998 and December 31, 1997, respectively. The Company's customers are concentrated in the technology industry. 3. Inventories Inventories consist of the following: Jun 30, Dec 31, 1998 1997 ---------- ---------- Raw Materials $ 10,627 $ 15,388 Work in Process 2,665 1,844 Finished Goods 5,361 5,598 ---------- ---------- $ 18,653 $ 22,830 ========== ========== 7 4. Property and Equipment Property and equipment consists of the following: Jun 30, Dec 31, 1998 1997 ---------- ---------- Land $ 1,391 $ 1,387 Manufacturing Equipment 10,427 9,996 Office Equipment 8,202 7,255 Leasehold Improvements 2,522 1,801 ---------- ---------- 22,542 20,439 Less: Accum. Depr. 9,730 8,265 ---------- ---------- $ 12,812 $ 12,174 ========== ========== 5. Earnings Per Share Net income per share is based on the weighted average number of shares of common stock and common stock equivalents (stock options and warrants) outstanding during the periods, computed using the treasury stock method for stock options and warrants. Weighted average shares consist of the following:
For the three For the six months ended months ended Jun 30, Jun 30, Jun 30, Jun 30, 1998 1997 1998 1997 ------- ------- ------- ------- Weighted Average Shares (basic) 7,883 7,685 7,860 7,580 Effect of Dilutive Stock Options 137 408 178 414 ------- ------- ------- ------- Weighted Average Shares (diluted) 8,020 8,093 8,038 7,994 ======= ======= ======= =======
6. Comprehensive Income In June 1997, the Financial Accounting Standards Board (FASB) issued SFAS No. 130, "Reporting Comprehensive Income." The Company has adopted the standard as of January 1, 1998. Total comprehensive income consists of the following:
For the three For the six months ended months ended Jun 30, Jun 30, Jun 30, Jun 30, 1998 1997 1998 1997 ------- ------- ------- ------- Net Income $ 323 $ 3,700 $ 3,448 $ 7,122 Translation Adjustment (132) 145 (741) (109) ------- ------- ------- ------- Total Comprehensive Income $ 191 $ 3,845 $ 2,707 $ 7,013 ======= ======= ======= =======
Translation adjustment represents the Company's only Other Comprehensive Income item. Translation adjustment comprises unrealized gains/losses in accordance with SFAS No. 52, "Foreign Currency Translation". The Company has no intention of liquidating the assets of the foreign subsidiaries in the foreseeable future. 8 Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS OVERVIEW Total revenue was $24.1 million for the three months ended June 30, 1998 compared to $29.8 million for the three months ended June 30, 1997, and $57.8 million for the six months ended June 30, 1998 compared to $57.6 million for the six months ended June 30, 1997. Net income was $.3 million for the three months ended June 30, 1998 compared to $3.7 million for the three months ended June 30, 1997, and $3.4 million for the six months ended June 30, 1998 compared to $7.1 million for the six months ended June 30, 1997. Information contained in this Quarterly Report on Form 10-Q and statements that may be made in the future by the Company's management regarding future industry trends, the Company's expected revenues, earnings and anticipated gross margins, the Company's future development and introduction of products, and the Company's future liquidity, development, and business activities constitute forward looking statements that involve a number of risks and uncertainties. The following are among the factors that could cause actual results to differ materially from the forward looking statements: business conditions and growth in the electronics industry and general economies, both domestic and international, including conditions precipitated by the Asian economies; uncertainty of market development; dependence on a limited number of OEM customers; dependence on limited or sole source suppliers; dependence on the relationship with Intel Corporation ("Intel"); dependence on Intel's support of the embedded computer market; lower than expected customer orders or variations in customer order patterns due to changes in demand for customers' products and customer and channel inventory levels; competitive factors, including increased competition, new product offerings by competitors and price pressures; the availability of parts and components at reasonable prices; changes in product mix; dependence on proprietary technology; technological difficulties and resource constraints encountered in developing new products; and product shipment interruptions due to manufacturing difficulties. The forward looking statements contained in this MD&A regarding industry trends, product development and introductions, and liquidity and future business activities should be considered in light of these factors. REVENUES
Three Months Ended Six Months Ended ------------------------------- ------------------------------- (in thousands except % amounts) (in thousands except % amounts) June 30, % June 30, June 30, % June 30, 1998 Change 1997 1998 Change 1997 -------- ------ -------- -------- ------ -------- Revenues $ 24,125 (19%) $ 29,796 $ 57,788 0% $ 57,626
The decrease in revenues for the three months ended June 30, 1998 compared to the three months ended June 30, 1997 was primarily caused by customers delaying or canceling orders precipitated by the effects of the global economic conditions in the electronics market. The lack of an increase in revenues for the six months ended June 30, 1998 compared to the six months ended June 30, 1997 resulted primarily from the lower revenue levels in the three months ended June 30, 1998. 9 COST OF GOODS SOLD
Three Months Ended Six Months Ended ------------------------------- ------------------------------- (in thousands except % amounts) (in thousands except % amounts) June 30, % June 30, June 30, % June 30, 1998 Change 1997 1998 Change 1997 -------- ------ -------- -------- ------ -------- Cost of Goods Sold $ 16,640 (7%) $ 17,875 $ 38,184 12% $ 34,060 As a % of Revenues 69% 60% 66% 59%
As a percentage of revenues, cost of goods sold increased for the three and six months ended June 30, 1998 compared to the three and six months ended June 30, 1997 primarily as a result of the product mix consisting of a larger portion of lower margin product relative to higher margin product shipped and higher manufacturing costs relative to revenue levels during the three and six months ended June 30, 1997. RESEARCH AND DEVELOPMENT
Three Months Ended Six Months Ended --------------------- -------------------- (in thousands except % amounts) (in thousands except % amounts) June 30, June 30, June 30, June 30, 1998 1997 1998 1997 -------- -------- -------- -------- Research and Development $ 3,323 $ 2,742 $ 6,859 $ 5,549 As a % of Revenues 14% 9% 12% 10%
The dollar increases in research and development expenses for the three and six months ended June 30, 1998 compared to the three and six months ended June 30, 1997, were primarily the result of increased investment in new product development and costs of enhancements to existing products. The Company continues to invest in new design wins for OEM customers and the dollar increases reflect increases in the number of employees working in research and development. Research and development increased as a percentage of revenues due to lower relative levels of revenue in 1998 compared to 1997. SELLING, GENERAL AND ADMINISTRATIVE
Three Months Ended Six Months Ended --------------------- -------------------- (in thousands except % amounts) (in thousands except % amounts) June 30, June 30, June 30, June 30, 1998 1997 1998 1997 -------- -------- -------- -------- Selling, General & Admin. $ 3,952 $ 3,757 $ 8,054 $ 7,595 As a % of Revenues 16% 13% 14% 13%
Selling, general and administrative expenses have modestly increased in dollar amount in the three and six months ended June 30, 1998 compared to the three and six months ended June 30, 1997, primarily as a result of increased personnel, facilities and travel costs to support higher levels of design win efforts. Selling, general and administrative increased as a percentage of revenue due to lower relative levels of revenue in 1998 compared to 1997. 10 INTEREST INCOME, NET AND INCOME TAX PROVISION
Three Months Ended Six Months Ended ------------------------------- ------------------------------- (in thousands except % amounts) (in thousands except % amounts) June 30, % June 30, June 30, % June 30, 1998 Change 1997 1998 Change 1997 -------- ------ -------- -------- ------ -------- Interest Income, net $ 280 4% $ 270 $ 606 13% $ 534 Income Tax Provision $ 167 (92%) $ 1,992 $ 1,849 (52%) $ 3,834
Interest income, net includes interest income, interest expense, bank charges, capital asset losses and foreign currency transaction gains or losses. The percentage and dollar amount decrease in the income tax provision is attributable to decreased net income before taxes in 1998 and a decrease in the effective tax rate for the three months ended June 30, 1998. YEAR 2000 Issues As the Company's products are based on computer technology, the Company recognizes the importance to its operations of Year 2000 issues and is working to maintain the availability and integrity of its financial systems and the reliability of its operational systems. In that regard, the Company has already attempted to identify all internal information technology ("IT") and non-IT systems which may be affected by the Year 2000 issues, as well as, third party IT and non-IT that the Company relies upon and the third parties' Year 2000 readiness. Within the last two years the Company has upgraded or replaced the software packages underlying the Company's financial systems, major manufacturing systems, internal and external communication systems, and desktop systems, as appropriate, to address Year 2000 readiness issues. The Company has also performed an in-depth analysis of all of its products and have provided, via the Company's web page, an analysis by product of the products' Year 2000 readiness. In addition, the Company has been in contact with all major external third party providers to assess their Year 2000 readiness; this includes third parties who provide financial, payroll, communications, component, and integration services to the Company. Subsequent to performing the above steps, the Company has and will continue to make certain investments in its systems, applications and products to address Year 2000 issues. Expenditures to make these investments have not been financially material to-date and are not anticipated to be material. The Company believes that it has completed all of the basic analysis of its Year 200 readiness, has completed the majority of system upgrades and replacements it requires to be Year 2000 ready, and is now in the process of evaluating non-material and non-mission critical applications. The Company expects that it will continue to address Year 2000 readiness issues up to and including the year 2000, and will react as appropriate to newly identified issues. The Company is in the process of establishing contingency plans for material IT systems and third party providers that the Company relies upon. At this time, the Company does not believe that these contingency plans will be needed based upon preliminary diagnoses and testing of upgraded or replaced systems. 11 The above statements contain certain risks and uncertainties. Although the Company has endeavored to thoroughly examine its Year 2000 readiness, there is no assurance that it has identified all Year 2000 issues. These risks and uncertainties could include the risk of unidentified bugs in the source code of prepackaged or custom software, misrepresentation by third party vendors, unidentified dependency upon a system that is not Year 2000 ready, unidentified non-IT systems, or misdiagnosed Year 2000 readiness in existing systems. LIQUIDITY AND CAPITAL RESOURCES At June 30, 1998, the Company had $33.2 million in cash and cash equivalents, which represents the Company's principal source of liquidity. The Company had working capital of approximately $60.8 million. The Company maintains a $10.0 million line of credit with a bank which expires October 1998. The Company has not drawn any funds under this line of credit. Net cash provided by operating activities for the six months ended June 30, 1998 was $12.8 million as compared with $3.3 million for the six months ended June 30, 1997 primarily as a result of an increase in depreciation and amortization, decreases in accounts receivable, inventories and other current assets, and increases in income taxes payable, accrued sales discounts and other accrued liabilities. These increases were offset by decreases in net income, other receivables and increases in accounts payable and accrued wages and bonuses. Capital expenditures were $2.5 million in the six months ended June 30, 1998 and $2.7 million for the six months ended June 30, 1997. Capital expenditures for the six months ended June 30, 1998 were primarily for the purchase of leasehold improvements and office furniture related to the Company's corporate headquarters and manufacturing equipment. The Company believes that existing cash and cash equivalents and cash from operations will be sufficient to fund its operations for at least the next 12 months. 12 PART II OTHER INFORMATION Item 4. Submission of Matters to a Vote of Security Holders At the Company's Annual Meeting on May 19, 1998, the holders of the Company's outstanding Common Stock took the actions described below. At the Annual Meeting 7,886,294 shares of Common Stock were issued and outstanding and entitled to vote. 1. The shareholders elected each of Dr. Glenford J. Myers, James F. Dalton, Richard J. Faubert, C. Scott Gibson, Jean-Claude Peterschmitt and Dr. William W. Lattin to the company's Board of Directors, by the votes indicated below, to serve for the ensuing year. Dr. Glenford J. Myers --------------------- 6,775,492 shares in favor 28,466 shares against or withheld 0 abstentions 0 broker nonvotes James F. Dalton --------------- 6,773,642 shares in favor 30,316 shares against or withheld 0 abstentions 0 broker nonvotes Richard J. Faubert ------------------ 6,772,292 shares in favor 31,666 shares against or withheld 0 abstentions 0 broker nonvotes C. Scott Gibson --------------- 6,774,892 shares in favor 29,066 shares against or withheld 0 abstentions 0 broker nonvotes 13 Jean-Claude Peterschmitt ------------------------ 6,773,892 shares in favor 30,066 shares against or withheld 0 abstentions 0 broker nonvotes Dr. William W. Lattin --------------------- 5,708,350 shares in favor 1,095,608 shares against or withheld 0 abstentions 0 broker nonvotes Item 5. Other Information In accordance with amendments adopted on May 21, 1998 to Rule 14a-4 under the Securities Exchange Act of 1934, if notice of a shareholder proposal to be raised at the annual meeting of shareholders is received at the principal executive offices of the Company after February 25, 1999, proxy voting on that proposal when and if raised at the 1999 annual meeting will be subject to the discretionary voting authority of the designated proxy holders. Any shareholder proposal to be considered for inclusion in proxy materials for the Company's 1999 annual meeting must be received at the principal executive offices of the Company no later than December 2, 1998. Item 6. Exhibits and Reports on Form 8-K (a) Exhibits 27 Financial Data Schedule 14 SIGNATURES Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. RADISYS CORPORATION BRIAN V. TURNER ----------------------------------------- Date: August 11, 1998 Brian V. Turner Vice President of Finance and Administration and Chief Financial Officer (Principal Financial Officer) 15 EXHIBIT INDEX Exhibit No. Description - ----------- ----------- 27 Financial Data Schedule EX-27 2 FINANCIAL DATA SCHEDULE
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE COMPANY'S CONSOLIDATED FINANCIAL STATEMENTS AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1,000 6-MOS DEC-31-1998 JAN-01-1998 JUN-30-1998 33,185 0 19,790 468 18,653 73,706 12,812 8,881 92,687 12,688 0 0 0 51,967 27,801 92,687 57,788 57,788 38,184 14,913 0 0 606 5,297 1,849 3,448 0 0 0 3,448 0.44 0.43
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