EX-99.1 2 a07-31431_1ex99d1.htm EX-99.1

Exhibit 99.1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

BALLANTYNE OF OMAHA, INC. AND SUBSIDIARIES

 

 

UNAUDITED PRO FORMA CONSOLIDATED BALANCE SHEET

 

 

September 30, 2007

 

 

(Dollars in Thousands)

 

 

 

 

 

 

 

 

 

 

 

 

As

Reported

 

Pro Forma

Adjustments

 

Pro Forma

 

 

 

 

 

 

 

 

 

Assets:

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

18,655

 

1,714

(a)

20,369

 

Restricted Cash

 

251

 

—

 

251

 

Accounts Receivable

 

7,135

 

(290

)  (b)

6,845

 

Inventories

 

11,883

 

(698

)  (b)

11,186

 

Other Current Assets

 

4,237

 

(4

)  (b)

4,233

 

Total current assets

 

42,160

 

722

 

42,882

 

 

 

 

 

 

 

 

 

Investment in Joint Venture

 

2,667

 

—

 

2,667

 

Property, plant and equipment, net

 

4,528

 

(1,066

)  (b)

3,462

 

Goodwill, net

 

1,170

 

—

 

1,170

 

Other Intangibles, net

 

580

 

—

 

580

 

Other long-term assets

 

1,043

 

—

 

1,043

 

Total assets

 

$

52,149

 

(344

)

51,805

 

 

 

 

 

 

 

 

 

Liabilities and Stockholders’ Equity:

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

Accounts payable

 

$

4,250

 

(79

)  (b)

4,171

 

Other current liabilities

 

4,048

 

(116

)  (c)

3,933

 

total current liabilities

 

8,298

 

(195

)

8,104

 

Other accrued expenses, net of current portion

 

662

 

—

 

662

 

Total liabilities

 

8,961

 

(195

)

8,766

 

 

 

 

 

 

 

 

 

Stockholders’ Equity:

 

 

 

 

 

 

 

Common Stock

 

159

 

—

 

159

 

Additional Paid-In-Capital

 

34,510

 

—

 

34,510

 

Accumulated other comprehensive income

 

15

 

—

 

15

 

Retained earnings

 

23,819

 

(149

)  (d)

23,670

 

Treasury stock

 

(15,315

)

—

 

(15,315

)

 

 

 

 

 

 

 

 

EQUITY

 

43,188

 

(149

)

43,038

 

 

 

 

 

 

 

 

 

TOTAL LIABILITIES AND EQUITY

 

$

52,149

 

(344

)

$

51,805

 

(a) - Amount represents estimated sales price, net of disposal costs and Design and Manufacturing cash balances from reported amounts.

 

(b) - Removal of Design and Manufacturing assets and liabilities from reported amounts.

 

(c) - Amount represents the removal of Design and Manufacturing other current liabilities from reported amounts and the tax benefit recognized on the loss of the sale.

 

(d) - Loss on the sale of Design and Manufacturing, net of tax.

 

 


 

 

 

BALLANTYNE OF OMAHA, INC. AND SUBSIDIARIES

 

UNAUDITED PRO FORMA CONSOLIDATED STATEMENT OF OPERATIONS

 

For Nine Months Ended September 30, 2007

 

(Dollars in Thousands, except per share data)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As

Reported

 

Pro Forma

Adjustments

 

Pro Forma

 

 

 

 

 

 

 

 

 

Net revenues

 

$

38,206

 

(2,353

) (a)

35,854

 

Cost of revenues

 

30,914

 

(1,616

) (b)

29,298

 

Gross margin

 

7,293

 

(737

)

6,556

 

 

 

 

 

 

 

 

 

Selling and administrative expenses:

 

 

 

 

 

 

 

Selling

 

2,280

 

(21

) (a)

2,259

 

Administrative

 

4,340

 

(205

) (a)

4,135

 

Goodwill Impairment

 

639

 

(639

) (a)

—

 

Total selling and administrative expenses

 

7,259

 

(865

)

6,394

 

 

 

 

 

 

 

 

 

Gain on the transfer of assets

 

235

 

—

 

235

 

Gain (loss) on disposal of fixed assets, net

 

(11

)

11

  (a)

—

 

Income (loss) from operations

 

257

 

139

 

397

 

 

 

 

 

 

 

 

 

Net interest income

 

606

 

0

 

606

 

Equity in loss of joint venture

 

(153

)

—

 

(153

)

Other Income

 

(112

)

(5

) (a)

(117

)

Income from continuing operations before income taxes

 

598

 

135

  (c)

733

 

Provision for income taxes from continuing operations

 

(94

)

(21

) (a)

(115

)

Net income

 

$

504

 

114

 

618

 

 

 

 

 

 

 

 

 

Earnings per share

 

 

 

 

 

 

 

Basic

 

$

0.04

 

 

 

$

0.04

 

Diluted

 

$

0.04

 

 

 

$

0.04

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding

 

 

 

 

 

 

 

Basic

 

13,805,506

 

 

 

13,805,506

 

Diluted

 

14,096,263

 

 

 

14,096,263

 

(a)- Removal of Design and Manufacturing related income statement balances from reported amounts.

 

(b)- Amount represents cost of revenues of Design and Manufacturing, taking into consideration an adjustment to increase the cost of revenues for purchases that would have been made by the parent company from Design and Manufacturing at markup prices.

 

(c)- Income from continuing operations before income taxes does not take into consideration the loss of the sale of Design and Manufacturing of approximately $0.2 million.

 

 


 

 

 

BALLANTYNE OF OMHA, INC. AND SUBSIDIARIES

 

PRO FORMA STATEMENT OF OPERATIONS (Unaudited)

 

For the Year Ended December 31, 2006

 

(in thousands, except per share data)

 

 

 

 

 

 

 

 

 

 

 

As

Reported

 

Pro Forma

Adjustments

 

Pro Forma

 

 

 

 

 

 

 

 

 

Net revenues

 

$

49,732

 

(3,238

) (a)

46,494

 

Cost of revenues

 

38,907

 

(2,123

) (b)

36,783

 

Gross margin

 

10,826

 

(1,115

)

9,711

 

 

 

 

 

 

 

 

 

Selling and administrative expenses:

 

 

 

 

 

 

 

Selling

 

2,983

 

(21

) (a)

2,962

 

Administrative

 

5,121

 

(294

) (a)

4,827

 

Goodwill Impairment

 

1,251

 

(1,251

) (a)

—

 

Total selling and administrative expenses

 

9,354

 

(1,565

)

7,789

 

 

 

 

 

 

 

 

 

Gain (loss) on disposal of fixed assets, net

 

38

 

(11

) (a)

27

 

Income (loss) from operations

 

1,509

 

440

 

1,949

 

 

 

 

 

 

 

 

 

Net interest income

 

750

 

2

(a)

752

 

Other Income

 

40

 

(4

) (a)

36

 

Income from continuing operations before income taxes

 

2,300

 

438

  (c)

2,737

 

Provision for income taxes

 

(731

)

(139

) (a)

(871

)

Net income from continuing operations

 

$

1,568

 

299

 

1,867

 

 

 

 

 

 

 

 

 

Earnings per share

 

 

 

 

 

 

 

Basic

 

$

0.12

 

 

 

$

0.14

 

Diluted

 

$

0.11

 

 

 

$

0.13

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding

 

 

 

 

 

 

 

Basic

 

13,586,252

 

 

 

13,586,252

 

Diluted

 

14,018,682

 

 

 

14,018,682

 

 

 

 

 

 

 

 

 

(a)- Removal of Design and Manufacturing related income statement balances from reported amounts.

 

(b)- Amount represents cost of revenues of Design and Manufacturing, taking into consideration an adjustment to increase the cost of revenues for purchases that would have been made by the parent company from Design and Manufacturing at markup prices.

 

(c)- Income from continuing operations before income taxes does not take into consideration the loss of the sale of Design and Manufacturing of approximately $0.2 million.