0001140361-18-033591.txt : 20180726 0001140361-18-033591.hdr.sgml : 20180726 20180726114137 ACCESSION NUMBER: 0001140361-18-033591 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20180726 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20180726 DATE AS OF CHANGE: 20180726 FILER: COMPANY DATA: COMPANY CONFORMED NAME: STANDARD MOTOR PRODUCTS INC CENTRAL INDEX KEY: 0000093389 STANDARD INDUSTRIAL CLASSIFICATION: MOTOR VEHICLE PARTS & ACCESSORIES [3714] IRS NUMBER: 111362020 STATE OF INCORPORATION: NY FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-04743 FILM NUMBER: 18970877 BUSINESS ADDRESS: STREET 1: 37 18 NORTHERN BLVD CITY: LONG ISLAND CITY STATE: NY ZIP: 11101 BUSINESS PHONE: 7183920200 MAIL ADDRESS: STREET 1: 3718 NORTHERN BLVD CITY: LONG ISLAND CITY STATE: NY ZIP: 11101 8-K 1 form8k.htm 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): July 26, 2018

STANDARD MOTOR PRODUCTS, INC.
(Exact Name of Registrant as Specified in its Charter)

New York
1-4743
11-1362020
(State or Other Jurisdiction of Incorporation)
(Commission File Number)
(I.R.S. Employee Identification Number)

37-18 Northern Boulevard, Long Island City, New York 11101
(Address of Principal Executive Offices, including Zip Code)

Registrant’s Telephone Number, including Area Code:  718-392-0200

Not Applicable
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425).
☐
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12).
☐
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)).
☐
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)).

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
 
 
Emerging growth company ☐
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
 
Item 2.02.
Results of Operations and Financial Condition

On July 26, 2018, Standard Motor Products, Inc. (the “Company”) issued a press release announcing its financial results for the three months and six months ended June 30, 2018. A copy of such press release is furnished as Exhibit 99.1 hereto.

Such press release shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01.
Financial Statements and Exhibits

 
(d)
Exhibits.

  99.1
Press release dated July 26, 2018 announcing Standard Motor Products, Inc.’s financial results for the three months and six months ended June 30, 2018.
 
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.

 
STANDARD MOTOR PRODUCTS, INC.
     
 
By:
/s/ James J. Burke
   
James J. Burke
   
Executive Vice President Finance and
   
Chief Financial Officer
 
Date: July 26, 2018
 
2
Exhibit Index
 
Exhibit No.
  
Description
     
     
99.1
  

 
3
 EX-99.1 2 ex99_1.htm EXHIBIT 99.1
Exhibit 99.1
 
 
For Immediate Release
 
For more information, contact:
James J. Burke
Standard Motor Products, Inc.
(718) 392-0200

Standard Motor Products, Inc. Announces

Second Quarter 2018 Results and a Quarterly Dividend
 
New York, NY, July 26, 2018......Standard Motor Products, Inc. (NYSE: SMP), an automotive replacement parts manufacturer and distributor, reported today its consolidated financial results for the three months and six months ending June 30, 2018.

Consolidated net sales for the second quarter of 2018 were $286.6 million, compared to consolidated net sales of $312.7 million during the comparable quarter in 2017. Earnings from continuing operations for the second quarter of 2018 were $16.8 million or 73 cents per diluted share, compared to $18.3 million or 78 cents per diluted share in the second quarter of 2017. Excluding non-operational gains and losses identified on the attached reconciliation of GAAP and non-GAAP measures, earnings from continuing operations for the second quarter of 2018 were $17 million or 74 cents per diluted share, compared to $18.8 million or 81 cents per diluted share in the second quarter of 2017.
 
37-18 Northern Blvd., Long Island City, NY  11101
(718) 392-0200
www.smpcorp.com
 
Consolidated net sales for the six month period ended June 30, 2018, were $548.5 million, compared to consolidated net sales of $595.1 million during the comparable period in 2017.  Earnings from continuing operations for the six month period ended June 30, 2018, were $25.4 million or $1.11 per diluted share, compared to $34.6 million or $1.48 per diluted share in the comparable period of 2017.  Excluding non-operational gains and losses identified on the attached reconciliation of GAAP and non-GAAP measures, earnings from continuing operations for the six months ended June 30, 2018, and 2017 were $27.5 million or $1.20 per diluted share and $36 million or $1.54 per diluted share, respectively.

Mr. Eric P. Sills, Standard Motor Products’ Chief Executive Officer and President stated, “We are obviously not pleased with our financial results so far this year. However, as we said in our last conference call, the shortfall was the result of temporary or timing-related issues, which were expected to continue into the second quarter.  We anticipate improvement over the balance of the year as these issues move behind us.

“Engine Management sales were down for both the quarter and the half. A portion of the decrease stems from our Wire and Cable business, which is an older technology used on fewer cars, and is experiencing, as anticipated, a gradual decline.

“The balance of the shortfall is related to large pipeline orders placed in the first half of 2017 by certain accounts, which were not repeated this year. Excluding these pipelines, our Engine Management business experienced increases in the low single digits, in line with our long term forecast for the division.  Meanwhile, our customers are reporting increases in Engine Management sell-through, showing sequential improvement over the last few quarters, which bodes well for the future.
 
“As stated in our first quarter commentary, Engine Management gross margin continues to be impacted by temporary costs associated with plant moves. The largest of these is the transfer of General Cable’s ignition wire assembly operation from Nogales, Mexico to Reynosa, Mexico, which has required the hiring and training of hundreds new employees. We are almost fully staffed, and have begun to see improvement in efficiencies as these new employees gain experience.

“Turning to Temperature Control, sales remained depressed through April and May, the result of a poor selling season in 2017 followed by a cool early spring. However, in mid-May, the weather finally turned warm, and we began to see a large influx of orders in June. A portion of these were shipped in June, with the balance carrying over into July.

“Due to the continuing warm weather, our customers are experiencing substantial POS increases over 2017. Incoming business remains robust, and we anticipate healthy Temperature Control sales in the third quarter.

“As expected, our Temperature Control gross margins bounced back in the second quarter, and with sales remaining strong, we anticipate this to continue for the balance of the year.
 
“Finally, a point about tariffs. As with much of our industry, certain of our products are included in the tariffs recently applied to imports from China. We are confident that we will be able to pass the increases on to our customers.

“To summarize, while we are not satisfied with our results for the first six months, with the steps we have taken, and with most of the one-time events behind us, we are optimistic for the balance of the year.”

The Board of Directors has approved payment of a quarterly dividend of 21 cents per share on the common stock outstanding. The dividend will be paid on September 4, 2018 to stockholders of record on August 15, 2018.

Standard Motor Products, Inc. will hold a conference call at 11:00 AM, Eastern Time, on Thursday, July 26, 2018.  The dial-in number is 866-342-8591 (domestic) or 203-518-9822 (international). The playback number is 800-839-2434 (domestic) or 402-220-7211 (international). The conference ID # is STANDARD.

Under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Standard Motor Products cautions investors that any forward-looking statements made by the company, including those that may be made in this press release, are based on management’s expectations at the time they are made, but they are subject to risks and uncertainties that may cause actual results, events or performance to differ materially from those contemplated by such forward looking statements. Among the factors that could cause actual results, events or performance to differ materially from those risks and uncertainties discussed in this press release are those detailed from time-to-time in prior press releases and in the company’s filings with the Securities and Exchange Commission, including the company’s annual report on Form 10-K and quarterly reports on Form 10-Q.  By making these forward-looking statements, Standard Motor Products undertakes no obligation or intention to update these statements after the date of this release.
 
STANDARD MOTOR PRODUCTS, INC.
Consolidated Statements of Operations
 
(In thousands, except per share amounts)
 
   
THREE MONTHS ENDED
JUNE 30,
    
SIX MONTHS ENDED
JUNE 30,
  
   
2018
    
2017
    
2018
    
2017
  
   
(Unaudited)
    
(Unaudited) 
  
NET SALES
  
$
286,636
    
$
312,729
    
$
548,462
    
$
595,107
  
                                 
COST OF SALES
    
205,347
      
222,063
      
394,584
      
420,331
  
                                 
GROSS PROFIT
    
81,289
      
90,666
      
153,878
      
174,776
  
                                 
SELLING, GENERAL & ADMINISTRATIVE EXPENSES
    
57,750
      
60,346
      
115,467
      
117,763
  
RESTRUCTURING AND INTEGRATION EXPENSES
    
231
      
1,235
      
3,067
      
2,782
  
OTHER INCOME, NET
    
42
      
314
      
313
      
630
  
                                 
OPERATING INCOME
    
23,350
      
29,399
      
35,657
      
54,861
  
                                 
OTHER NON-OPERATING INCOME, NET
    
480
      
1,010
      
449
      
1,890
  
                                 
INTEREST EXPENSE
    
1,251
      
722
      
1,883
      
1,190
  
                                 
EARNINGS FROM CONTINUING OPERATIONS BEFORE TAXES
    
22,579
      
29,687
      
34,223
      
55,561
  
                                 
PROVISION FOR INCOME TAXES
    
5,752
      
11,426
      
8,799
      
20,933
  
                                 
EARNINGS FROM CONTINUING OPERATIONS
    
16,827
      
18,261
      
25,424
      
34,628
  
                                 
LOSS FROM DISCONTINUED OPERATION, NET OF INCOME TAXES
    
(882
)
    
(497
)
    
(1,490
)
    
(1,130
)
                                 
NET EARNINGS
  
$
15,945
    
$
17,764
    
$
23,934
    
$
33,498
  
                                 
NET EARNINGS PER COMMON SHARE:
                                
                                 
BASIC EARNINGS FROM CONTINUING OPERATIONS
  
$
0.75
    
$
0.80
    
$
1.13
    
$
1.52
  
DISCONTINUED OPERATION
    
(0.04
)
    
(0.02
)
    
(0.07
)
    
(0.05
)
NET EARNINGS PER COMMON SHARE - BASIC
  
$
0.71
    
$
0.78
    
$
1.06
    
$
1.47
  
                                 
                                 
DILUTED EARNINGS FROM CONTINUING OPERATIONS
  
$
0.73
    
$
0.78
    
$
1.11
    
$
1.48
  
DISCONTINUED OPERATION
    
(0.04
)
    
(0.02
)
    
(0.07
)
    
(0.04
)
NET EARNINGS PER COMMON SHARE - DILUTED
  
$
0.69
    
$
0.76
    
$
1.04
    
$
1.44
  
                                 
WEIGHTED AVERAGE NUMBER OF COMMON SHARES
    
22,471,428
      
22,820,079
      
22,484,894
      
22,833,263
  
WEIGHTED AVERAGE NUMBER OF COMMON AND DILUTIVE SHARES
    
22,958,469
      
23,329,082
      
22,962,049
      
23,332,480
  
 
STANDARD MOTOR PRODUCTS, INC.
Segment Revenues and Operating Income
(In thousands)

   
THREE MONTHS ENDED
          
SIX MONTHS ENDED
          
   
JUNE 30,
          
JUNE 30,
          
   
2018
          
2017
          
2018
          
2017
          
   
(Unaudited)
          
(Unaudited) 
          
Revenues
                                                  
Ignition, Emission and Fuel System Parts
  
$
162,462
          
$
178,105
          
$
323,539
          
$
343,258
          
Wire and Cable
    
40,967
            
45,244
            
79,378
            
91,405
          
Engine Management
    
203,429
            
223,349
            
402,917
            
434,663
          
                                                           
Compressors
    
46,940
            
49,644
            
76,838
            
87,545
          
Other Climate Control Parts
    
33,430
            
37,747
            
63,763
            
70,136
          
Temperature Control
    
80,370
            
87,391
            
140,601
            
157,681
          
                                                           
All Other
    
2,837
            
1,989
            
4,944
            
2,763
          
Revenues
  
$
286,636
          
$
312,729
          
$
548,462
          
$
595,107
          
                                                           
Gross Margin
                                                          
Engine Management
  
$
57,782
    
28.4
%
  
$
65,599
    
29.4
%
  
$
114,252
    
28.4
%
  
$
129,723
    
29.8
%
  
Temperature Control
    
20,800
    
25.9
%
    
23,111
    
26.4
%
    
34,467
    
24.5
%
    
40,818
    
25.9
%
  
All Other
    
2,707
            
1,956
            
5,159
            
4,235
          
Gross Margin
  
$
81,289
    
28.4
%
  
$
90,666
    
29.0
%
  
$
153,878
    
28.1
%
  
$
174,776
    
29.4
%
  
                                                           
Selling, General & Administrative
                                                          
Engine Management
  
$
34,598
    
17.0
%
  
$
38,180
    
17.1
%
  
$
70,862
    
17.6
%
  
$
74,208
    
17.1
%
  
Temperature Control
    
15,721
    
19.6
%
    
14,544
    
16.6
%
    
28,550
    
20.3
%
    
27,550
    
17.5
%
  
All Other
    
7,431
            
7,622
            
16,055
            
16,005
          
Selling, General & Administrative
  
$
57,750
    
20.1
%
  
$
60,346
    
19.3
%
  
$
115,467
    
21.1
%
  
$
117,763
    
19.8
%
  
                                                           
Operating Income                                                          
Engine Management
  
$
23,184
    
11.4
%
  
$
27,419
    
12.3
%
  
$
43,390
    
10.8
%
  
$
55,515
    
12.8
%
  
Temperature Control
    
5,079
    
6.3
%
    
8,567
    
9.8
%
    
5,917
    
4.2
%
    
13,268
    
8.4
%
  
All Other
    
(4,724
)
          
(5,666
)
          
(10,896
)
          
(11,770
)
        
Subtotal
    
23,539
    
8.2
%
    
30,320
    
9.7
%
    
38,411
    
7.0
%
    
57,013
    
9.6
%
  
Restructuring & Integration
    
(231
)
  
-0.1
%
    
(1,235
)
  
-0.4
%
    
(3,067
)
  
-0.6
%
    
(2,782
)
  
-0.5
%
  
Other Income, Net
    
42
    
0.0
%
    
314
    
0.1
%
    
313
    
0.1
%
    
630
    
0.1
%
  
Operating Income
  
$
23,350
    
8.1
%
  
$
29,399
    
9.4
%
  
$
35,657
    
6.5
%
  
$
54,861
    
9.2
%
  
 
STANDARD MOTOR PRODUCTS, INC.
Reconciliation of GAAP and Non-GAAP Measures

(In thousands, except per share amounts)

   
THREE MONTHS ENDED
    
SIX MONTHS ENDED
  
   
JUNE 30,
    
JUNE 30,
  
   
2018
    
2017
    
2018
    
2017
  
   
(Unaudited)
    
(Unaudited)
  
EARNINGS FROM CONTINUING OPERATIONS
                        
                         
GAAP EARNINGS FROM CONTINUING OPERATIONS
  
$
16,827
    
$
18,261
    
$
25,424
    
$
34,628
  
                                 
RESTRUCTURING AND INTEGRATION EXPENSES
    
231
      
1,235
      
3,067
      
2,782
  
GAIN FROM SALE OF BUILDINGS
    
-
      
(262
)
    
(218
)
    
(524
)
INCOME TAX EFFECT RELATED TO RECONCILING ITEMS
    
(60
)
    
(389
)
    
(741
)
    
(903
)
                                 
NON-GAAP EARNINGS FROM CONTINUING OPERATIONS
  
$
16,998
    
$
18,845
    
$
27,532
    
$
35,983
  
                                 
DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS
                                
                                 
GAAP DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS
  
$
  0.73    
$
0.78
    
$
1.11
    
$
1.48
  
                                 
RESTRUCTURING AND INTEGRATION EXPENSES
    
0.01
      
0.05
      
0.13
      
0.12
  
GAIN FROM SALE OF BUILDINGS
    
-
      
(0.01
)
    
(0.01
)
    
(0.02
)
INCOME TAX EFFECT RELATED TO RECONCILING ITEMS
    
-
      
(0.01
)
    
(0.03
)
    
(0.04
)
                                 
NON-GAAP DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS
  
$
 0.74    
$
0.81
    
$
1.20
    
$
1.54
  
                                 
OPERATING INCOME
                                
                                 
GAAP OPERATING INCOME
  
$
23,350
    
$
29,399
    
$
35,657
    
$
54,861
  
                                 
RESTRUCTURING AND INTEGRATION EXPENSES
    
231
      
1,235
      
3,067
      
2,782
  
OTHER INCOME, NET
    
(42
)
    
(314
)
    
(313
)
    
(630
)
                                 
NON-GAAP OPERATING INCOME
  
$
23,539
    
$
30,320
    
$
38,411
    
$
57,013
  

MANAGEMENT BELIEVES THAT EARNINGS FROM CONTINUING OPERATIONS, DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS, AND OPERATING INCOME, EACH OF WHICH ARE NON-GAAP MEASUREMENTS AND ARE ADJUSTED FOR SPECIAL ITEMS, ARE MEANINGFUL TO INVESTORS BECAUSE THEY PROVIDE A VIEW OF THE COMPANY WITH RESPECT TO ONGOING OPERATING RESULTS. SPECIAL ITEMS REPRESENT SIGNIFICANT CHARGES OR CREDITS THAT ARE IMPORTANT TO AN UNDERSTANDING OF THE COMPANY'S OVERALL OPERATING RESULTS IN THE PERIODS PRESENTED. SUCH NON-GAAP MEASUREMENTS ARE NOT RECOGNIZED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AND SHOULD NOT BE VIEWED AS AN ALTERNATIVE TO GAAP MEASURES OF PERFORMANCE.
 
STANDARD MOTOR PRODUCTS, INC.
Condensed Consolidated Balance Sheets

(In thousands)
 
    
June 30,
2018
      
December 31,
2017
   
   
(Unaudited)
        
             
ASSETS
            
             
CASH
  
$
18,573
    
$
17,323
  
                 
ACCOUNTS RECEIVABLE, GROSS
    
179,394
      
145,024
  
ALLOWANCE FOR DOUBTFUL ACCOUNTS
    
5,533
      
4,967
  
ACCOUNTS RECEIVABLE, NET
    
173,861
      
140,057
  
                 
INVENTORIES
    
331,453
      
326,411
  
UNRETURNED CUSTOMER INVENTORIES
    
18,246
      
-
  
OTHER CURRENT ASSETS
    
16,458
      
12,300
  
                 
TOTAL CURRENT ASSETS
    
558,591
      
496,091
  
                 
PROPERTY, PLANT AND EQUIPMENT, NET
    
91,277
      
89,103
  
GOODWILL
    
67,360
      
67,413
  
OTHER INTANGIBLES, NET
    
52,216
      
56,261
  
DEFERRED INCOME TAXES
    
31,842
      
32,420
  
INVESTMENT IN UNCONSOLIDATED AFFILIATES
    
34,725
      
31,184
  
OTHER ASSETS
    
15,934
      
15,095
  
                 
TOTAL ASSETS
  
$
851,945
    
$
787,567
  
                 
LIABILITIES AND STOCKHOLDERS' EQUITY
                
                 
NOTES PAYABLE
  
$
88,528
    
$
57,000
  
CURRENT PORTION OF OTHER DEBT
    
5,169
      
4,699
  
ACCOUNTS PAYABLE
    
94,988
      
77,990
  
ACCRUED CUSTOMER RETURNS
    
42,536
      
35,916
  
ACCRUED CORE LIABILITY
    
26,138
      
11,899
  
OTHER CURRENT LIABILITIES
    
84,394
      
98,393
  
                 
TOTAL CURRENT LIABILITIES
    
341,753
      
285,897
  
                 
OTHER LONG-TERM DEBT
    
34
      
79
  
ACCRUED ASBESTOS LIABILITIES
    
32,339
      
33,376
  
OTHER LIABILITIES
    
15,449
      
14,561
  
                 
 TOTAL LIABILITIES
    
389,575
      
333,913
  
                 
 TOTAL STOCKHOLDERS' EQUITY
    
462,370
      
453,654
  
                 
 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
  
$
851,945
    
$
787,567
  
 
STANDARD MOTOR PRODUCTS, INC.
Condensed Consolidated Statements of Cash Flows

(In thousands)
 
 
  
SIX MONTHS ENDED
  
 
  
JUNE 30,
  
 
  
2018
    
2017
  
 
  
(Unaudited)
  
       
CASH FLOWS FROM OPERATING ACTIVITIES
            
NET EARNINGS
  
$
23,934
    
$
33,498
  
ADJUSTMENTS TO RECONCILE NET EARNINGS TO NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES:
                
DEPRECIATION AND AMORTIZATION
    
11,706
      
11,316
  
OTHER
    
8,641
      
7,498
  
CHANGE IN ASSETS AND LIABILITIES:
                
ACCOUNTS RECEIVABLE
    
(34,524
)
    
(53,069
)
INVENTORIES
    
(6,650
)
    
(27,048
)
ACCOUNTS PAYABLE
    
15,684
      
17,475
  
PREPAID EXPENSES AND OTHER CURRENT ASSETS
    
(2,988
)
    
(943
)
SUNDRY PAYABLES AND ACCRUED EXPENSES
    
(9,115
)
    
5,663
  
OTHER
    
(2,502
)
    
(1,225
)
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES
    
4,186
      
(6,835
)
 
                
CASH FLOWS FROM INVESTING ACTIVITIES
                
ACQUISITIONS OF AND INVESTMENTS IN BUSINESSES
    
(8,572
)
    
-
  
CAPITAL EXPENDITURES
    
(11,325
)
    
(8,843
)
OTHER INVESTING ACTIVITIES
    
16
      
2
  
NET CASH USED IN INVESTING ACTIVITIES
    
(19,881
)
    
(8,841
)
 
                
CASH FLOWS FROM FINANCING ACTIVITIES
                
NET CHANGE IN DEBT
    
32,287
      
24,113
  
PURCHASE OF TREASURY STOCK
    
(7,640
)
    
(5,176
)
DIVIDENDS PAID
    
(9,437
)
    
(8,674
)
OTHER FINANCING ACTIVITIES
    
1,990
      
1,488
  
NET CASH PROVIDED BY FINANCING ACTIVITIES
    
17,200
      
11,751
  
 
                
EFFECT OF EXCHANGE RATE CHANGES ON CASH
    
(255
)
    
518
  
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
    
1,250
      
(3,407
)
CASH AND CASH EQUIVALENTS at beginning of Period
    
17,323
      
19,796
  
CASH AND CASH EQUIVALENTS at end of Period
  
$
18,573
    
$
16,389
  
 
 
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