Form 8-K

-----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, WglgvTw3YBU9Kwxdq0v393kmsrFH8klaMxqRufWOgS03FJXyKp2+hJuFrBLC69g1 8Dfy0LHl8bZ6NmhA5m0lpg== 0000922907-03-000563.txt : 20031112 0000922907-03-000563.hdr.sgml : 20031112 20031112170448 ACCESSION NUMBER: 0000922907-03-000563 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20031031 ITEM INFORMATION: Bankruptcy or receivership ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20031112 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ATCHISON CASTING CORP CENTRAL INDEX KEY: 0000911115 STANDARD INDUSTRIAL CLASSIFICATION: IRON & STEEL FOUNDRIES [3320] IRS NUMBER: 481156578 STATE OF INCORPORATION: KS FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-12541 FILM NUMBER: 03994716 BUSINESS ADDRESS: STREET 1: 400 S 4TH ST CITY: ATCHISON STATE: KS ZIP: 66002 BUSINESS PHONE: 9133672121 MAIL ADDRESS: STREET 1: 400 SOUTH 4TH STREET CITY: ATCHISON STATE: KS ZIP: 66002 8-K 1 form8k_110303.htm Form 8-K



                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D. C. 20549


                                 --------------


                                    FORM 8-K


                                 CURRENT REPORT
     Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

       Date of Report (date of earliest event reported): October 31, 2003

                          ATCHISON CASTING CORPORATION
- --------------------------------------------------------------------------------
               (Exact name of registrant as specified in charter)



        Kansas                     1-12541                    48-1156578
        ------                     -------                    ----------
(State of Incorporation)     (Commission File Number)      (I.R.S. Employer
                                                         Identification Number)



                   400 South Fourth Street, Atchison, KS 66002
- --------------------------------------------------------------------------------
               (Address of Principal Executive Offices) (Zip Code)

                                 (913) 367-2121
- --------------------------------------------------------------------------------
              (Registrant's telephone number, including area code)

                                 Not Applicable
- --------------------------------------------------------------------------------
          (Former name or former address, if changed since last report)


Item 3.  Bankruptcy or Receivership.

As previously reported on Form 8-K, on August 4, 2003, Atchison Casting
Corporation (the "Company") and certain U.S. subsidiaries filed a voluntary
petition for relief under Chapter 11 of Title 11 of the United States Code (the
"Bankruptcy Code"), in the United States Bankruptcy Court for the Western
District of Missouri (the "Bankruptcy Court") (Case No. ). The Company and its
subsidiaries (collectively, the "Debtors") remain in possession of their assets
and properties, and continue to operate their businesses as a
"debtors-in-possession" pursuant to Section 1107(a) and 1108 of the Bankruptcy
Code.

As a part of the bankruptcy proceedings, the Debtors are required to file with
the Bankruptcy Court a Monthly Operating Report Summary ("MOR"). On October 31,
2003, the Debtors filed with the Bankruptcy Court the MOR as of and for the
month ended September 30, 2003. A copy of certain financial information in the MOR
is attached hereto as Exhibit 99.1 and incorporated herein by reference.

At this time, it appears unlikely that any funds will be left for stockholders
of the Company, after payment of creditors.


Item 7.  Exhibits.

Exhibit 99.1 Financial information in the MOR as of and for the month ended
             September 30, 2003


                                    SIGNATURE

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 hereunto duly authorized.

Date: November 12, 2003



                                 Atchison Casting Corporation



                                 By:      /s/ Kevin T. McDermed
                                    --------------------------------
                                          Kevin T. McDermed
                                          Chief Financial Officer

EX-99 3 form8k_110303financials.htm Exhibit 99.1 to Form 8-K


ATCHISON CASTING CORPORATION SUBSIDIARIES AS DEBTORS AND DEBTORS-IN-POSSESSION
CONSOLIDATING BALANCE SHEET
(US $ IN 000s)
September 30, 2003

                                     ATCHISON       AMITE                                       MILWAUKEE       EMPIRE                       PENNSYLVANIA
                                     CASTING       FOUNDRY &      PROSPECT        QUAKER        IMPELLER        STEEL          LaGRANGE    STEEL FOUNDRY
ASSETS                             CORPORATION   MACHINE, INC.  FOUNDRY, INC.   ALLOY, INC.   CASTINGS, INC. CASTINGS, INC.  FOUNDRY, INC.  & MACHINE CO.
- --------------------------------- -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------

CASH                                    $3,986             $0             $0             $1             $0              $1             $0             $0

TRADE RECEIVABLES                        6,885          1,368          1,807          1,187              0             120              0              0
OTHER RECEIVABLES                          315              0              0              0              0              12              0              0
LESS ALLOWANCES                           (125)            (2)           (25)           (90)             0             (18)             0              0
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
NET ACCOUNT RECEIVABLES                  7,075          1,366          1,782          1,097              0             114              0              0

GROSS INVENTORY                          8,154          1,822            657            432              0           2,968              0              0
LIFO RESERVE                              (770)             0              0              0              0               0              0              0
VALUATION RESERVE                         (105)             0            (42)             0              0               0              0              0
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
NET INVENTORY                            7,279          1,822            615            432              0           2,968              0              0

DEFERRED INCOME TAXES                   (7,932)             0              0              0              0               0              0              0

OTHER CURRENT ASSETS                     1,478            413            194            251              0             104              0              4
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------

TOTAL CURRENT ASSETS                    11,886          3,601          2,591          1,781              0           3,187              0              4

PROPERTY, PLANT, & EQUIPMENT            54,735         19,060         15,186          7,446              0           3,412              0              0
ALLOWANCE FOR DEPRECIATION             (34,320)       (10,803)       (11,014)        (3,633)             0          (2,773)             0              0
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
NET PROPERTY, PLANT & EQUIPMENT          20,415          8,257          4,172          3,813              0             639              0              0

OTHER ASSETS - INTANGIBLES                   0              0              0              0              0               0              0              0
ACCUMULATED AMORTIZATION                     0              0              0              0              0               0              0              0
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
NET INTANGIBLES                              0              0              0              0              0               0              0              0

INVESTMENT IN SUBSIDIARIES              76,259              0              0              0              0               0              0              0

DEFERRED CHARGES                             0              0              0              0              0               0              0              0
ACCUMULATED AMORTIZATION                     0              0              0              0              0               0              0              0
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
NET DEFERRED CHARGES                         0              0              0              0              0               0              0              0

OTHER ASSETS                             2,580              0              0              0            656             186              0              0

                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------

TOTAL ASSETS                          $111,140        $11,858         $6,763         $5,594           $656          $4,012             $0             $4
                                  =============  =============  =============  =============  =============  ==============  =============  =============



ATCHISON CASTING CORPORATION SUBSIDIARIES AS DEBTORS AND DEBTORS-IN-POSSESSION
CONSOLIDATING BALANCE SHEET
(US $ IN 000s)
September 30, 2003

                                  SPRINGFIELD                    INVERNESS                                       NON -
                                     IRON         PRIMECAST       CASTINGS       ACC GLOBAL    CLAREMONT       DEBTOR
ASSETS                            CORPORATION    INCORPORATED   GROUP, INC.    CORPORATION   FOUNDRY, INC.   SUBSIDIARIES   ELIMINATIONS   CONSOLIDATED
- ------                            -----------    ------------   -----------    -----------   -------------   ------------   ------------   ------------
CASH                                       $0             $0             $17             $0             $0             $0             $0         $4,005

TRADE RECEIVABLES                           0              0           5,231            403              0          3,122              0         20,123
OTHER RECEIVABLES                           0              0               2              0              0             32              0            361
LESS ALLOWANCES                             0              0            (183)             0              0            (37)             0           (480)
                                  ------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
NET ACCOUNT RECEIVABLES                     0              0           5,050            403              0          3,117              0         20,004

GROSS INVENTORY                             0              0           2,130              0              0          2,478              0         18,641
LIFO RESERVE                                0              0             (76)             0              0              0              0           (846)
VALUATION RESERVE                           0              0               0              0              0           (215)             0           (362)
                                  ------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
NET INVENTORY                               0              0           2,054              0              0          2,263              0         17,433

DEFERRED INCOME TAXES                       0              0               0              0              0            100              0         (7,832)

OTHER CURRENT ASSETS                        0              0           1,819              3              0            208              0          4,474
                                  ------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------

TOTAL CURRENT ASSETS                        0              0           8,940            406              0          5,688              0         38,084

PROPERTY, PLANT, & EQUIPMENT                0              0          14,167              0              0         13,872              0        127,878
ALLOWANCE FOR DEPRECIATION                  0              0          (5,485)             0              0         (4,855)             0        (72,883)
                                  ------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
NET PROPERTY, PLANT, & EQUIPMENT            0              0           8,682              0              0          9,017              0         54,995

OTHER ASSETS - INTANGIBLES                  0              0               0              0              0          9,574              0          9,574
ACCUMULATED AMORTIZATION                    0              0               0              0              0         (7,747)             0         (7,747)
                                  ------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
NET INTANGIBLES                             0              0               0              0              0          1,827              0          1,827

INVESTMENT IN SUBSIDIARIES                  0              0               0              0              0              0        (76,259)             0

DEFERRED CHARGES                            0              0               0              0              0              0              0
ACCUMULATED AMORTIZATION                    0              0               0              0              0              0              0              0
                                  ------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
NET DEFERRED CHARGES                        0              0               0              0              0              0              0              0

OTHER ASSETS                               66              0               0              0              0            258              0
                                  ------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------

TOTAL ASSETS                              $66             $0         $17,622           $406             $0        $16,790       ($76,259)    $   98,652
                                  ============  =============  ==============  =============  =============  =============  =============  =============


ATCHISON CASTING CORPORATION SUBSIDIARIES AS DEBTORS AND DEBTORS-IN-POSSESSION
CONSOLIDATING BALANCE SHEET
(US $ IN 000s)
September 30, 2003

                                     ATCHISON       AMITE                                       MILWAUKEE       EMPIRE                       PENNSYLVANIA
                                    CASTING        FOUNDRY &       PROSPECT       QUAKER         IMPELLER        STEEL          LaGRANGE    STEEL FOUNDRY
LIABILITIES & NET WORTH            CORPORATION   MACHINE, INC.  FOUNDRY, INC.   ALLOY, INC.   CASTINGS, INC. CASTINGS, INC.  FOUNDRY, INC.  & MACHINE CO.
- --------------------------------  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------

ACCOUNTS PAYABLE                        $8,289         $1,610         $1,515         $1,572             $0            $149            $38             $0
ACCRUED EXPENSES                        16,974            731          1,703           (767)           648           3,823          1,091            566
CURRENT PORTION - LONG TERM DEBT         9,849              0              0              0              0               0              0              0
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
TOTAL CURRENT LIABILITIES               35,112          2,341          3,218            805            648           3,972          1,129            566

LONG TERM  LOAN                         73,132              0              0              0              0               0              0              0
LONG TERM  LOAN - INTRACOMPANY          (9,913)        11,888        (10,789)        17,817          8,205           7,689          2,644           (562)
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
TOTAL LOANS                             63,219         11,888        (10,789)        17,817          8,205           7,689          2,644           (562)

EXCESS ASSETS OVER COST                      0              0              0              0              0               0              0              0
ACCUMULATED AMORTIZATION                     0              0              0              0              0               0              0              0
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
NET EXCESS ASSETS OVER COST                  0              0              0              0              0               0              0              0

DEFERRED TAXES                           1,251              0              0              0              0               0              0              0

OTHER LONG TERM LIABILITIES                841             40              0              0              0               0              0              0

LONG TERM PENSION                        7,437              0              0              0              0           2,024              0              0

POST RETIREMENT OBLIGATION
   OTHER THAN PENSION                    5,748              0              0              0              0             465              0              0

MINORITY INTEREST IN SUBSIDIARY            188              0              0              0              0               0              0              0


                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
TOTAL LIABILITIES                      113,796         14,269         (7,571)        18,622          8,853          14,150          3,773              4

CAPITAL STOCK                           62,982         12,000          6,678          1,894          3,269           1,400          3,000              0
RETAINED EARNINGS                      (65,638)       (14,411)         7,656        (14,922)       (11,466)        (11,538)        (6,773)             0
                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
NET WORTH                               (2,656)        (2,411)        14,334        (13,028)        (8,197)        (10,138)        (3,773)             0

                                  -------------  -------------  -------------  -------------  -------------  --------------  -------------  -------------
TOTAL LIABILITIES &
NET WORTH                             $111,140        $11,858         $6,763         $5,594           $656          $4,012             $0             $4
                                  =============  =============  =============  =============  =============  ==============  =============  =============


ATCHISON CASTING CORPORATION SUBSIDIARIES AS DEBTORS AND DEBTORS-IN-POSSESSION
CONSOLIDATING BALANCE SHEET
(US $ IN 000s)
September 30, 2003
                                  SPRINGFIELD                     INVERNESS                                     NON -
                                     IRON         PRIMECAST       CASTINGS       ACC GLOBAL    CLAREMONT       DEBTOR
LIABILITIES & NET WORTH           CORPORATION    INCORPORATED    GROUP, INC.    CORPORATION   FOUNDRY, INC.  SUBSIDIARIES   ELIMINATIONS    CONSOLIDATED
- ----------------------------------------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------

ACCOUNTS PAYABLE                           $0             $0          $4,672           $216             $0         $1,945             $0         20,006
ACCRUED EXPENSES                            0              0           1,020            186              0          1,448              0         27,423
CURRENT PORTION - LONG TERM DEBT            0              0               0              0              0                             0          9,849
                                 -------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
TOTAL CURRENT LIABILITIES                   0              0           5,692            402              0          3,393              0         57,278

LONG TERM  LOAN                             0              0               0              0              0              0              0         73,132
LONG TERM  LOAN - INTRACOMPANY             66              0          10,322             86              0           (948)       (36,505)             0
                                 -------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
TOTAL LOANS                                66              0          10,322             86              0           (948)       (36,505)        73,132

EXCESS ASSETS OVER COST                     0              0               0              0              0              0              0              0
ACCUMMULATED AMORTIZATION                   0              0               0              0              0              0              0              0
                                 -------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
NET EXCESS ASSETS OVER COST                 0              0               0              0              0              0              0              0

DEFERRED TAXES                              0              0               0              0              0          1,962              0          3,213

OTHER LONG TERM LIABILITIES                 0              0             206              0              0              0              0          1,087

LONG TERM PENSION                           0              0               0              0              0              0              0          9,461

POST RETIREMENT OBLIGATION
   OTHER THAN PENSION                       0              0           3,566              0              0              0              0          9,779

MINORITY INTEREST IN SUBSIDIARY             0              0              64              0              0              0              0            252

                                 -------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
TOTAL LIABILITIES                          66              0          19,850            488              0          4,407        (36,505)       154,202

CAPITAL STOCK                               0              0           2,216            100              0          9,197        (39,754)        62,982
RETAINED EARNINGS                           0              0          (4,444)          (182)             0          3,186              0       (118,532)
                                 -------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
NET WORTH                                   0              0          (2,228)           (82)             0         12,383        (39,754)       (55,550)

                                 -------------  -------------  --------------  -------------  -------------  -------------  -------------  -------------
TOTAL LIABILITIES &
NET WORTH                                 $66             $0         $17,622           $406             $0        $16,790       ($76,259)       $98,652
                                 =============  =============  ==============  =============  =============  =============  =============  =============

ATCHISON CASTING CORPORATION SUBSIDIARIES AS DEBTORS AND DEBTORS-IN-POSSESSION
INCOME STATEMENT
FOR THE MONTH ENDED SEPTEMBER 30, 2003
(US $ IN 000s)
                                           ATCHISON          AMITE                                         MILWAUKEE         EMPIRE
                                            CASTING        FOUNDRY &        PROSPECT         QUAKER         IMPELLER         STEEL          LaGRANGE
                                          CORPORATION    MACHINE, INC.   FOUNDRY, INC.    ALLOY, INC.    CASTINGS, INC.  CASTINGS, INC.   FOUNDRY, INC.
                                         --------------  --------------- --------------- --------------- --------------- ---------------  --------------

SALES                                           $5,526           $1,252          $1,346            $226              $0            $164              $0

COST OF SALES :
    MATERIAL                                    (2,192)            (279)           (213)              0               0               0               0
    LABOR                                         (479)            (157)           (324)            (20)              0             (26)              0
    BURDEN                                      (2,399)            (774)           (625)           (131)              0            (175)              0
                                         --------------  --------------- --------------- --------------- --------------- ---------------  --------------
TOTAL STANDARD COST OF SALES                    (5,070)          (1,210)         (1,162)           (151)              0            (201)              0


                                         --------------  --------------- --------------- --------------- --------------- ---------------  --------------
STANDARD GROSS MARGIN                              456               42             184              75               0             (37)              0

MANUFACTURING VARIANCE                             106                0               0               0               0               0               0
                                         --------------  --------------- --------------- --------------- --------------- ---------------  --------------
TOTAL COST OF SALES                             (4,964)          (1,210)         (1,162)           (151)              0            (201)              0

GROSS PROFIT (LOSS)                                562               42             184              75               0             (37)              0

GENERAL AND ADMINISTRATIVE                      (1,473)             (55)           (120)            (22)            (21)            (19)            (49)
SALES AND MARKETING                                (56)             (12)            (30)             (2)              0              (4)              0
                                         --------------  --------------- --------------- --------------- --------------- ---------------  --------------

NET OPERATING PROFIT (LOSS)                       (967)             (25)             34              51             (21)            (60)            (49)
OTHER INCOME (EXPENSE)                              14                0               0               0               0               0               0
                                         --------------  --------------- --------------- --------------- --------------- ---------------  --------------

EARNINGS BEFORE INTEREST AND TAX                  (953)             (25)             34              51             (21)            (60)            (49)
INTEREST EXPENSE                                   185              (73)             62            (137)              0               0               0
MINORITY INTEREST                                   (1)               0               0               0               0               0               0
                                         --------------  --------------- --------------- --------------- --------------- ---------------  --------------

NET INCOME (LOSS) BEFORE TAX                      (769)             (98)             96             (86)            (21)            (60)            (49)
INCOME TAX                                         (41)              33             (38)             26               0              21               0
                                         --------------  --------------- --------------- --------------- --------------- ---------------  --------------

NET INCOME (LOSS)                                ($810)            ($65)            $58            ($60)           ($21)           ($39)           ($49)
                                         ==============  =============== =============== =============== =============== ===============  ==============

ATCHISON CASTING CORPORATION SUBSIDIARIES AS DEBTORS AND DEBTORS-IN-POSSESSION
INCOME STATEMENT
FOR THE MONTH ENDED SEPTEMBER 30, 2003
(US $ IN 000s)



                                         PENNSYLVANIA     SPRINGFIELD                      INVERNESS                                         NON -
                                         STEEL FOUNDRY       IRON          PRIMECAST        CASTINGS       ACC GLOBAL      CLAREMONT         DEBTOR
                                         & MACHINE CO.    CORPORATION     INCORPORATED    GROUP, INC.     CORPORATION    FOUNDRY, INC.    SUBSIDIARIES
                                         --------------  --------------  --------------- --------------- --------------- --------------- ---------------

SALES                                               $0              $0               $0          $3,358              $0              $0            $882

COST OF SALES :
    MATERIAL                                         0               0                0          (1,522)              0               0            (289)
    LABOR                                            0               0                0            (104)              0               0            (166)
    BURDEN                                          (9)              0                0          (1,400)            (21)              0            (462)
                                         --------------  --------------  --------------- --------------- --------------- --------------- ---------------
TOTAL STANDARD COST OF SALES                        (9)              0                0          (3,026)            (21)              0            (917)


                                         --------------  --------------  --------------- --------------- --------------- --------------- ---------------
STANDARD GROSS MARGIN                               (9)              0                0             332             (21)              0             (35)

MANUFACTURING VARIANCE                               0               0                0            (372)              0               0               0
                                         --------------  --------------  --------------- --------------- --------------- --------------- ---------------
TOTAL COST OF SALES                                 (9)              0                0          (3,398)            (21)              0            (917)

GROSS PROFIT (LOSS)                                 (9)              0                0             (40)            (21)              0             (35)

GENERAL AND ADMINISTRATIVE                           0               0                0            (160)            (10)              0            (121)
SALES AND MARKETING                                  0               0                0             (57)              0               0             (39)
                                         --------------  --------------  --------------- --------------- --------------- --------------- ---------------

NET OPERATING PROFIT (LOSS)                         (9)              0                0            (257)            (31)              0            (195)
OTHER INCOME (EXPENSE)                               0               0                0               0               0               0               1
                                         --------------  --------------  --------------- --------------- --------------- --------------- ---------------

EARNINGS BEFORE INTEREST AND TAX                    (9)              0                0            (257)            (31)              0            (194)
INTEREST EXPENSE                                     0               0                0             (63)             (1)              0               5
MINORITY INTEREST                                    0               0                0               4               0               0               0
                                         --------------  --------------  --------------- --------------- --------------- --------------- ---------------

NET INCOME (LOSS) BEFORE TAX                        (9)              0                0            (316)            (32)              0            (189)
INCOME TAX                                           0               0                0             128               0               0              61
                                         --------------  --------------  --------------- --------------- --------------- --------------- ---------------

NET INCOME (LOSS)                                  ($9)             $0               $0           ($188)           ($32)             $0           ($128)
                                         ==============  ==============  =============== =============== =============== =============== ===============

ATCHISON CASTING CORPORATION SUBSIDIARIES AS DEBTORS AND DEBTORS-IN-POSSESSION
INCOME STATEMENT
FOR THE MONTH ENDED SEPTEMBER 30, 2003
(US $ IN 000s)


                                        ELIMINATIONS    CONSOLIDATED
                                        --------------  --------------

SALES                                            ($14)        $12,740

COST OF SALES :
    MATERIAL                                        0          (4,495)
    LABOR                                           0          (1,276)
    BURDEN                                         14          (5,982)
                                        --------------  --------------
TOTAL STANDARD COST OF SALES                       14         (11,753)


                                        --------------  --------------
STANDARD GROSS MARGIN                               0             987

MANUFACTURING VARIANCE                              0            (266)
                                        --------------  --------------
TOTAL COST OF SALES                                14         (12,019)

GROSS PROFIT (LOSS)                                 0             721

GENERAL AND ADMINISTRATIVE                          0          (2,050)
SALES AND MARKETING                                 0            (200)
                                        --------------  --------------

NET OPERATING PROFIT (LOSS)                         0          (1,529)
OTHER INCOME (EXPENSE)                              0              15
                                        --------------  --------------

EARNINGS BEFORE INTEREST AND TAX                    0          (1,514)
INTEREST EXPENSE                                    0             (22)
MINORITY INTEREST                                   0               3
                                        --------------  --------------

NET INCOME (LOSS) BEFORE TAX                        0          (1,533)
INCOME TAX                                          0             190
                                        --------------  --------------

NET INCOME (LOSS)                                  $0         ($1,343)
                                        ==============  ==============

-----END PRIVACY-ENHANCED MESSAGE-----