-----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, BQJe6s1y0clRQeHKYmgASlbV5p6HladTYfVvqYDcD1WDXRRFBCGkNIuFDIQPeQ++ 3HtBgIRdYPOu+3lazAkwGw== 0000950134-97-003854.txt : 19970515 0000950134-97-003854.hdr.sgml : 19970515 ACCESSION NUMBER: 0000950134-97-003854 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19970331 FILED AS OF DATE: 19970514 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: GULF SOUTH MEDICAL SUPPLY INC CENTRAL INDEX KEY: 0000889885 STANDARD INDUSTRIAL CLASSIFICATION: WHOLESALE-MEDICAL, DENTAL & HOSPITAL EQUIPMENT & SUPPLIES [5047] IRS NUMBER: 640831411 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-23540 FILM NUMBER: 97603615 BUSINESS ADDRESS: STREET 1: 426 CHRISTINE DR CITY: RIDGELAND STATE: MS ZIP: 39157 BUSINESS PHONE: 6018565900 MAIL ADDRESS: STREET 1: 426 CHRISTINE DR CITY: RIDGELAND STATE: MS ZIP: 39157 10-Q 1 FORM 10-Q FOR QUARTER ENDED MARCH 31, 1997 1 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 March 31, 1997 [ ] 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: 0-23540 GULF SOUTH MEDICAL SUPPLY, INC. -------------------------------------------------------- (Exact name of registrant as specified in its charter) DELAWARE 64-0831411 (State or other jurisdiction (I.R.S. Employer of incorporation or organization) Identification No.) ONE WOODGREEN PLACE, MADISON, MISSISSIPPI 39110 -------------------------------------------------------- (Address of principal executive offices) (Zip Code) (601) 856-5900 -------------------------------------------------------- (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 reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No --- --- As of March 31, 1997 there were 16,308,564 shares of common stock outstanding. 2 GULF SOUTH MEDICAL SUPPLY, INC. INDEX PART I FINANCIAL INFORMATION PAGE ---- ITEM 1. FINANCIAL STATEMENTS Condensed Consolidated Balance Sheets as of March 31, 1997 (unaudited) and December 31, 1996 1 Condensed Consolidated Statements of Income (unaudited) for the three-months ended March 31, 1997 and 1996 2 Condensed Consolidated Statements of Cash Flows (unaudited) for the three-months ended March 31, 1997 and 1996 3 Notes to Condensed Consolidated Financial Statements (unaudited) 4 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 6 PART II OTHER INFORMATION 11 ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K SIGNATURES 12 3 GULF SOUTH MEDICAL SUPPLY, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (IN THOUSANDS, EXCEPT SHARE DATA)
March 31, December 31, 1997 1996 -------------- -------------- (unaudited) ASSETS Current assets: Cash and cash equivalents ........................... $ 44,380 $ 76,054 Trade accounts receivable, less allowance for doubtful accounts of $1,713 in 1997 and $1,651 in 1996 ................................ 48,660 48,404 Inventories ......................................... 26,221 27,189 Prepaid income taxes ................................ -- 1,501 Prepaid expenses and other .......................... 1,911 1,113 Deferred income taxes ............................... 1,485 1,485 -------------- -------------- Total current assets .............................. 122,657 155,746 Property and equipment: Land ................................................ 567 567 Building ............................................ 1,276 1,270 Equipment ........................................... 3,352 3,127 -------------- -------------- 5,195 4,964 Accumulated depreciation ............................ (1,250) (1,092) -------------- -------------- 3,945 3,872 Other assets: Goodwill ........................................... 35,165 34,824 Deferred income taxes .............................. 1,965 1,965 Other assets........................................ 1,513 1,564 -------------- -------------- 38,643 38,353 -------------- -------------- Total assets ........................................ $ 165,245 $ 197,971 ============== ============== LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Notes payable to others ............................. $ -- $ 25,321 Trade accounts payable .............................. 11,713 14,381 Accrued expenses and other current liabilities ...... 5,395 8,970 Current portion of long-term debt ................... -- 5,000 -------------- -------------- Total current liabilities ......................... 17,108 53,672 Stockholders' equity: Preferred stock, $.01 par value: Authorized shares -- 1,000,000 Issued and outstanding shares - none Common stock, $.01 par value: Authorized shares -- 30,000,000 Issued and outstanding shares - 16,308,564 in 1997 and 16,264,923 in 1996 ................................ 163 163 Paid-in capital ........................................ 115,706 115,679 Retained earnings ...................................... 32,268 28,457 -------------- -------------- Total stockholders' equity ......................... 148,137 144,299 -------------- -------------- Total liabilities and stockholders' equity .............................. $ 165,245 $ 197,971 ============== ==============
See accompanying notes. Note: The balance sheet at December 31, 1996 has been derived from the audited financial statements at that date but does not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. 1 4 GULF SOUTH MEDICAL SUPPLY, INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME (IN THOUSANDS, EXCEPT PER SHARE DATA) (UNAUDITED)
Three Months Ended March 31, -------------------------------- 1997 1996 -------------- -------------- Net sales ........................................ $ 64,609 $ 40,235 Cost of sales .................................... 49,919 30,647 -------------- -------------- Gross profit ..................................... 14,690 9,588 Selling, general and administrative expenses ..... 8,804 5,159 Intangible amortization expense .................. 294 30 Acquisition and merger expenses .................. -- 512 -------------- -------------- Operating income ................................. 5,592 3,887 Interest expense ................................. (12) (52) Interest income .................................. 477 -- -------------- -------------- Income before income taxes ....................... 6,057 3,835 Income tax expense ............................... 2,246 1,513 -------------- -------------- Net income ....................................... $ 3,811 $ 2,322 ============== ============== Net income per share (Note 4) .................... $ 0.23 $ 0.17 ============== ============== Weighted average shares outstanding (Note 4) ..... 16,538 14,047 ============== ==============
See accompanying notes. 2 5 GULF SOUTH MEDICAL SUPPLY, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (IN THOUSANDS) (UNAUDITED)
Three Months Ended March 31, -------------------------------- 1997 1996 -------------- -------------- OPERATING ACTIVITIES Net cash provided by (used in) operating activities .................. $ 404 $ (2,990) INVESTING ACTIVITIES Purchase of building and equipment ................................... (200) (146) Purchase of operating assets of American Medical Products, Inc. ..... (1,633) -- (Increase) decrease in other assets .................................. 51 (92) -------------- -------------- Net cash used in investing activities ................................ (1,782) (238) FINANCING ACTIVITIES Principal payment on notes payable-others ............................ (25,321) -- Net borrowings (payments) under revolving line of credit ............. (5,000) 1,997 Proceeds from exercise of stock options .............................. 25 171 -------------- -------------- Net cash provided by (used in) financing activities .................. (30,296) 2,168 -------------- -------------- Net decrease in cash and cash equivalents ............................ (31,674) (1,060) Cash and cash equivalents at beginning of period ..................... 76,054 2,147 -------------- -------------- Cash and cash equivalents at end of period ........................... $ 44,380 $ 1,087 ============== ============== NON-CASH TRANSACTIONS: Tax benefit of stock options exercised ............................... $ -- $ 105 ============== ==============
See accompanying notes. 3 6 GULF SOUTH MEDICAL SUPPLY, INC. NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS (UNAUDITED) MARCH 31, 1997 (IN THOUSANDS, EXCEPT SHARE DATA) 1. BASIS OF PRESENTATION The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, these condensed consolidated financial statements do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for fair presentation have been included. All intercompany transactions have been eliminated in consolidation. Operating results for the three-month period ended March 31, 1997 are not necessarily indicative of the results that may be expected for the year ended December 31, 1997. For further information, refer to the consolidated financial statements and footnotes thereto for the year ended December 31, 1996 included in the Gulf South Medical Supply, Inc.'s Annual Report on Form 10-K. 2. ACQUISITIONS On March 24, 1997, the Company acquired certain operating assets and liabilities of American Medical Products, Inc. for $1,633 in a transaction accounted for using the purchase method of accounting. The purchase price has been allocated on the basis of fair values of the assets acquired and liabilities assumed. Accordingly, the results of operations of the Company include American Medical Products, Inc. from the date acquired. 3. CREDIT FACILITIES AND NOTES PAYABLE The Company has a $15,000 revolving credit facility which matures September 25, 1998, all of which was available at March 31, 1997. Borrowings bear interest, at the option of the Company, at prime or at LIBOR plus 1% to 2.5% per annum. A facility fee of .125% per annum is charged on the unused portion of the revolving credit facility. Substantially all of the Company's assets would collateralize any borrowings in excess of $7,500. The revolving credit facility contains numerous restrictive covenants and financial ratio requirements. 4. NET INCOME PER COMMON SHARE Net income per common share is computed by dividing net income applicable to common stock based on the weighted average number of shares outstanding during the three months ended March 31, 1997 and 1996 (16,538,354 and 14,047,309 shares, respectively). Common equivalent shares 4 7 relating to the stock options and warrants outstanding during the three months ended March 31, 1997 and 1996, when dilutive, have been calculated using the treasury stock method based on the higher of the average or the ending market value of the common stock during the three month periods ended March 31, 1997 and 1996. In February 1997, the Financial Accounting Standards Board issued Statement No. 128, Earnings per Share, which is required to be adopted on December 31, 1997. At that time, the Company will be required to change the method currently used to compute earnings per share and to restate all prior periods. Under the new requirements for calculating primary earnings per share, the dilutive effects of stock options will be excluded. The impact of Statement No. 128 on the calculation of primary and fully diluted earnings per share for the three months ended March 31, 1997 and 1996 is not expected to be material. 5 8 ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS The following discussion and analysis of the Company's financial condition and results of operations should be read in conjunction with the Company's Condensed Consolidated financial statements included elsewhere herein. Certain of the statements contained herein are forward-looking statements and involve risks and uncertainties, and the Company's actual experience may differ materially from that discussed below. Factors that may cause such a difference include, but are not limited to, those discussed in "Factors Affecting Future Performance" as well as future events that have the effect of reducing the Company's available cash balances, such as unanticipated operating losses or capital expenditures related to possible future acquisitions. GENERAL The Company completed a third public offering on June 12, 1996 pursuant to which the Company received net proceeds of approximately $91.5 million from the sale by the Company of 2,223,276 shares of its common stock. The net proceeds from the offering were used to repay the outstanding balance under the Company's revolving credit facility ($9.6 million), with the remaining balance used for, and continuing to be used for, general corporate purposes, including the possible acquisition of one or more medical supply distributors that serve complementary markets or supplement the Company's presence in existing markets. As part of the Company's growth strategy, the Company continually evaluates potential acquisition candidates. However, the Company presently has no specific agreements or commitments with respect to any acquisition. Pending such uses, the net proceeds of the offering are invested in short-term interest-bearing cash equivalents. Management of the Company anticipates further downward pressures on gross margin because of continued price competition influenced primarily by large chain customers, and continued implementation of the Company's long-term strategy to expand sales with aggressive pricing. The Company expects that these pressures on gross margin may be offset to some extent by reducing selling, general and administrative expenses as a percentage of increased net sales, and by increasing as a percentage of net sales the sales volume to the Company's independent and home health customers, which sales have historically yielded higher gross margins due to the nature of the services involved. To date, the Company has also offset the decrease in gross margin in part by participation in volume-based rebate programs offered by vendors. Notwithstanding these strategies, there can be no assurance that the Company will be able to offset reductions in gross margin to a significant extent. Management has determined that certain existing distribution facilities are non-essential for the Company's distribution activities, and do not meet the Company's strategic objectives. The Company plans to consolidate such distribution facilities into its existing larger regional distribution centers. Management does not anticipate charges related to such distribution facility closures to be material to the Company's operations or financial position. Such charges would 6 9 consist of, among other matters, asset write-offs, relocation and employment severance costs, and facility lease costs. The following discussion and analysis compares the results of operations of the Company for the three months ended March 31, 1997 to the three months ended March 31, 1996. RESULTS OF OPERATIONS Net sales increased by $24.4 million, or 60.6%, to $64.6 million for the three months ended March 31, 1997 compared to $40.2 million for the same period in 1996. This increase was primarily attributable to the purchase of Gateway Healthcare Corporation in December 1996 and the purchases of other regional medical supply distributors subsequent to March 31, 1996, and internal sales growth through the addition of new customers and increased sales penetration in existing customer facilities. Gross profit increased by $5.1 million, or 53.2%, to $14.7 million for the three months ended March 31, 1997 compared to $9.6 million for the three months ended March 31, 1996, while gross margin decreased to 22.7% from 23.8% over the same period. The decrease in gross margin was primarily due to a greater sales mix of high volume, large chain customers that require more competitive pricing, offset in part by lower selling and servicing costs associated with such business, and a continuation of the Company's long-term strategy to increase sales penetration in existing customer facilities and to expand the Company's market reach to new customers. Both factors were offset in part by vendor performance incentives earned by the Company through the achievement of certain predetermined sales and purchase levels, and the taking of prompt pay discounts with certain vendors. Selling, general and administrative expenses increased by $3.9 million, or 75.3%, to $9.1 million for the three months ended March 31, 1997 compared to $5.2 million for the three months ended March 31, 1996, and as a percentage of net sales increased to 14.1% from 12.9% over the same period. The increase in the amount of selling, general and administrative expenses in whole and as a percentage of net sales, was primarily attributable to salaries, commissions and other costs associated with increased staffing levels throughout the Company to support the expansion of the Company's business during the period, and to costs associated with the operating activities of Gateway Healthcare Corporation and other regional medical supply distributors purchased subsequent to March 31, 1996. The Company incurred acquisition and merger expenses of $512,000 during the three months ended March 31, 1996 in connection with the acquisition of Bayer Medical Service Systems, Inc. Interest expense was $12,000 for the three months ended March 31, 1997, compared to $52,000 for the same period a year ago. This decrease was a result of a portion of the net proceeds of the public offering in June 1996 being used to repay the outstanding balance under the Company's revolving credit facility. 7 10 Interest income was $477,000 for the three months ended March 31, 1997 compared to no interest income in the same period a year ago. This increase was attributable to the net proceeds of the public offering in June 1996, in excess of the amounts used to pay the Company's outstanding long-term debt, being invested in short-term interest-bearing cash equivalents. Income taxes increased by $733,000 to $2.2 million for the three months ended March 31, 1997 compared to $1.5 million for the same period in 1996. This increase was attributable to higher taxable income, which was partially offset by a decrease in the effective tax rate of 37.1% for the three months ended March 31, 1997, as compared to 39.5% for the same period in 1996. The decrease in the effective tax rate was primarily due to tax-exempt interest income as a percentage of pre-tax income being higher in the three months ended March 31, 1997 as compared to the same period in 1996. LIQUIDITY AND CAPITAL RESOURCES The Company's principal cash requirements to date have been to fund working capital in order to support growth of net sales. During the three months ended March 31, 1997, the Company funded its working capital requirements principally with cash generated from operations and the sale of equity securities. The Company's working capital was $105.5 million and its current ratio was 7.2 at March 31, 1997 as compared to working capital of $102.1 million and a current ratio of 2.9 at December 31, 1996. Included in working capital are cash and cash equivalents from the Company's public offering in June 1996. The Company has a revolving credit facility of $15.0 million, all of which was available at March 31, 1997. Borrowings bear interest, at the option of the Company, at prime or LIBOR plus an amount ranging from 1% to 2.5% per annum. A facility fee of .125% per annum is charged on the unused portion of the revolving credit facility. Substantially all of the Company's assets would collateralize any borrowings in excess of $7.5 million under the revolving credit facility, which contains numerous restrictive covenants and financial ratio requirements. The Company has consolidated, and plans to consolidate, certain distribution facilities into its larger regional distribution centers which has resulted, and may continue to result, in cash expenditures in excess of those required in the ordinary course of business. See "Factors Affecting Future Performance". The Company expects that available cash, borrowings available under its existing revolving credit facility and funds generated from operations will be sufficient to fund its operations through the first quarter of 1998. The Company made capital expenditures totaling $200,000 for the three months ended March 31, 1997, primarily to purchase additional telephone and computer equipment, and to fund various warehouse improvements. 8 11 FACTORS AFFECTING FUTURE PERFORMANCE The Company's future operating results may be affected by various trends and factors which are beyond the Company's control. These include adverse changes in general economic conditions and changes in federal and state regulation affecting the Company's customers. Accordingly, past trends should not be used to anticipate future results and trends. Further, the Company's prior performance should not be presumed to be an accurate indicator of future performance. The Company faces intense competition from a variety of regional, local and national distributors. Barriers to entry in the long-term care distribution industry are relatively low, and the risk of new competitors entering the market, particularly on a local level, is high. In response to competitive pressures, the Company has in the past lowered, and may in the future lower, selling prices in order to maintain or increase market share, which has resulted, and may in the future result, in lower gross margins. Certain of the Company's current competitors, including many national distributors, have substantially greater capital resources, sales and marketing experience, and distribution capabilities than the Company. Certain of these national distributors may have cost advantages over the Company due to their ability to purchase products in large volumes. The Company may experience significant pricing pressures from these and other competitors which could adversely affect the Company's operating results. A key element of the Company's growth strategy is to augment its internal growth with the acquisition of medical supply distributors, and inventory and facilities of such distributors, that serve complementary markets or that supplement the Company's presence in existing markets. Certain of these businesses may be marginally profitable or unprofitable. In order to achieve anticipated benefits from these acquisitions, the Company must successfully integrate the acquired businesses with its existing operations, and no assurance can be given that the Company will be successful in this regard. In the past the Company has incurred one-time costs and expenses in connection with acquisitions and it is likely that similar one-time costs and expenses may be incurred in connection with future acquisitions, including the write-off of unsold inventory and unused assets. In addition, attractive acquisitions are difficult to identify and complete for a number of reasons, including competition among prospective buyers and the possible need to obtain regulatory approval. There can be no assurance that the Company will be able to complete future acquisitions. In order to finance such acquisitions, it may be necessary for the Company to raise additional funds either through public or private financings, including bank borrowings. Any financing, if available at all, may be on terms which are not favorable to the Company. The Company may also issue shares of its Common Stock to acquire such businesses, which may result in dilution to the Company's existing stockholders. The Company depends on a limited number of large customers for a significant portion of its net sales, including Beverly Enterprises which accounted for 19.6% of net sales for the year ended December 31, 1996. Consolidation among long-term care providers and the growth of the Company's business with large chains could increase such dependence. The loss of, or significant declines in the level of purchases by, one or more of these customers would have a material adverse effect on the Company's operating results. Although the Company has not to date experienced any failure to collect accounts receivable from its largest customers, an adverse 9 12 change in the financial condition of any of these customers, including as a result of a change in governmental or private reimbursement programs, could have a material adverse effect upon the Company's operating results. In addition, the expansion of the Company's business with large chains has in the past resulted in competitive pricing pressures and lower operating margins and such pressure on margins may continue in the future. A key element of the Company's growth strategy is to increase sales to existing and new customers, including large chains and independent operators, by adding one or more new strategic distribution centers or expanding existing distribution centers and by hiring additional direct sales or other personnel and through national account sales efforts. Such efforts will result in increased operating expenses. There can be no assurance that the establishment of new strategic distribution centers, the expansion of existing distribution centers, the addition of new sales or other personnel or national account sales efforts will result in additional revenues or operating income. As a result of changes occurring in the long-term care market, both the nature of the Company's customer base as well as products and services required by its customers are changing. The failure of the Company's management to effectively respond to and manage changing business conditions, including changes in customer requirements and changes to the Company's overall product mix, could have an adverse effect on the Company's operating results. Because the Company believes that its success to date is dependent in part upon its ability to provide prompt, accurate and complete service to its customers on a price-competitive basis, any disruption in its day-to-day operations or material increases in its cost of procuring and delivering products could have an adverse effect on its operating results. In order to provide prompt and complete service to its customers, the Company maintains a significant investment in product inventory. Although the Company closely monitors its inventory exposure through a variety of inventory control procedures and policies, there can be no assurance that such procedures and policies will continue to be effective or that unforeseen product developments or price changes will not adversely affect the Company's operating results. 10 13 PART II. OTHER INFORMATION ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K (a) The following exhibits are included herein: (11) Statement re: Computation of Earnings per Share (27) Financial Data Schedule (b) Amended Current Report on Form 8-K, dated December 26, 1996, as amended on March 21, 1997, amending and restating Item 7 to report the financial statements of Gateway Healthcare Corporation and the pro forma combined financial statements of the Company giving effect to the acquisition of all the outstanding capital stock of Gateway Healthcare Corporation. 11 14 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. GULF SOUTH MEDICAL SUPPLY, INC. Date: May 14, 1997 By: /s/ Guy W. Edwards ----------------------------------- Guy W. Edwards Senior Vice President and Chief Financial Officer 12 15 INDEX TO EXHIBITS EXHIBIT NO. 11 Statement re: Computation of Earnings per Share 27 Financial Data Schedule EX-11 2 COMPUTATION OF EARNINGS PER SHARE 1 EXHIBIT 11 GULF SOUTH MEDICAL SUPPLY, INC. EXHIBIT (11) - STATEMENT RE: COMPUTATION OF EARNINGS PER SHARE THREE MONTHS ENDED MARCH 31, 1997 AND 1996 (IN THOUSANDS, EXCEPT PER SHARE DATA) (UNAUDITED)
Three Months Ended March 31, 1997 1996 ------------ ------------ Average common shares outstanding .............................................. 16,286 13,832 Net effect of common stock options - based on the treasury method using assumed fair market value equal to the higher of the average or the ending market value of the common stock during the three months ended March 31, 1997 and 1996 .................................................... 252 215 ------------ ------------ Weighted average number of common shares ....................................... 16,538 14,047 ============ ============ Net income ..................................................................... $ 3,811 $ 2,322 ============ ============ Net income per share ........................................................... $ 0.23 $ 0.17 ============ ============
EX-27 3 FINANCIAL DATA SCHEDULE
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE COMPANY'S FINANCIAL STATEMENTS FOR THE THREE-MONTH PERIODS ENDED MARCH 31, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1,000 3-MOS DEC-31-1997 JAN-01-1997 MAR-31-1997 44,380 0 50,373 1,713 26,221 122,657 5,195 1,250 165,245 17,108 0 0 0 163 147,974 165,245 64,609 64,609 49,919 49,919 0 0 12 6,057 2,246 3,811 0 0 0 3,811 .23 .23
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