-----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, ITyNGYWO4sUjuowA2SA3SzGmezQWe0UJPath1o6IwGE4zUgWDijNkJk7c3mF4WRM RTR1ns3tU9ZwvTmSxjZbhg== 0000096294-97-000004.txt : 19970129 0000096294-97-000004.hdr.sgml : 19970129 ACCESSION NUMBER: 0000096294-97-000004 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19970127 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 19970128 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: TANDYCRAFTS INC CENTRAL INDEX KEY: 0000096294 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-MISCELLANEOUS SHOPPING GOODS STORES [5940] IRS NUMBER: 751475224 STATE OF INCORPORATION: DE FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-07258 FILM NUMBER: 97512237 BUSINESS ADDRESS: STREET 1: 1400 EVERMAN PKWY CITY: FORT WORTH STATE: TX ZIP: 76140 BUSINESS PHONE: 8175519600 MAIL ADDRESS: STREET 1: 1400 EVERMAN PKWY CITY: FORT WORTH STATE: TX ZIP: 76140 8-K 1 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: January 28, 1997 Date of Earliest Event Reported: January 27, 1997 TANDYCRAFTS, INC. A DELAWARE CORPORATION 1-7258 75-1475224 ------ ---------- (Commission File Number) (IRS Employer Identification No.) 1400 Everman Parkway Fort Worth, Texas 76140 (817) 551-9600 ITEM 5. OTHER EVENTS ------------ (a) On January 27, 1997, Registrant issued a press release announcing the unaudited results of operations for the three- and six-month periods ended December 31, 1996. ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS --------------------------------- (c) Exhibits. --------- Exhibit Number Description ------- ------------------------------ 99 Copy of press release announcing the unaudited results of operations for the three- and six-month periods ended December 31, 1996. 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 of the undersigned thereunto duly authorized. TANDYCRAFTS, INC. Date: January 27, 1997 By:/s/ Michael J. Walsh ---------------------- Michael J. Walsh, President Date: January 27, 1997 By:/s/ James D. Allen ---------------------- James D. Allen Chief Financial Officer EX-99 2 TANDYCRAFTS, INC. REPORTS FOURTH CONSECUTIVE QUARTER OF SIGNIFICANTLY IMPROVED EARNINGS COMPARED TO PRIOR YEAR PERIODS Fort Worth, Texas. January 27, 1997 -- One year after announcing a major restructuring plan, TANDYCRAFTS, INC. (NYSE: TAC) announced today significantly improved results for its fiscal second quarter ended December 31, 1996. Net income for the quarter was $2,285,000, or $0.19 per share compared to a net loss of $12,379,000 or $1.04 per share for the same period of fiscal 1996. The results for the prior year quarter included restructuring charges of $12.6 million, after tax, or, $1.06 per share. Excluding those operations divested as part of the Company's strategic restructuring program, net sales increased 4.6% when compared to the same quarter last year, with both the retail and manufacturing segments achieving similar increases. Retail sales were curtailed by the shorter Christmas selling season this year as well as inclement weather, which primarily affected Tandy Leather stores in the Northwest; however, the Company's Sav-On Office Supplies and Joshua's Christian Stores chains still achieved same store sales gains of 23.4% and 9.4%, respectively, for the quarter. The manufacturing segment, particularly the Picture Frames and Framed Art division, experienced a strong surge of orders toward the end of the quarter and finished the quarter with a significantly higher backlog of orders than in the prior year. Consolidated net sales for the quarter were $73,246,000, a 1.5% decrease compared to the $74,347,000 reported for the comparable quarter last year. In commenting on the Company's performance, R. Earl Cox III, Chairman, stated "This quarter marks the one-year anniversary since the Company embarked on a major restructuring plan. The successful execution of that plan has led the company to four consecutive quarters with significantly improved results compared to the prior year periods. For the twelve months ended December 31, 1996, operating income, excluding restructuring charges, has more than tripled to approximately $10.8 million. The results for the quarter just ended continue to reflect that progress as operating income, excluding restructuring charges, increased 193.0% to $4,348,000. We are encouraged by the improvement in profitability during this period of transition as well as significant improvements in the Company's overall financial position and debt level. While we are pleased with the Company's progress to date, there remains much work during the remainder of fiscal 1997 to position the Company's various operating units to achieve the level of performance that we expect in the future." Tandycrafts, Inc. is a specialty retailer and manufacturer. Included in its Specialty Retail segment are Tandy Leather Company, Joshua's Christian Stores, Cargo Furniture & Accents, and Sav-On Office Supplies. The Specialty Manufacturing segment is comprised of two manufacturing divisions: Picture Frames and Framed Art and Tandy Wholesale International ("TWI"). Information disclosed in this news release which are forward-looking statements involve risks with uncertainties including, but not limited to, the performance of each operating unit, relationships with certain key customers, commodity price fluctuations, interest rate fluctuations, recessionary factors, seasonality, and other risks indicated in filings with the Securities and Exchange Commission such as Tandycrafts' most recent Form 10-Q and 10-K. (Table to follow) Three Months Ended Six Months Ended -------------------------- -------------------------- December 31, December 31, December 31, December 31, 1996 1995 1996 1995 ------------ ------------ ------------ ------------ Net sales $ 73,246 $ 74,347 $ 131,016 $ 136,696 Operating costs and expenses: Cost of goods sold 46,732 47,885 82,420 86,698 Selling, general and administrative 20,775 23,263 39,437 44,176 Depreciation and amortization 1,391 1,715 2,763 3,240 Restructuring charge - 18,818 - 18,818 ------------ ------------ ------------ ------------ Total operating costs and expenses 68,898 91,681 124,620 152,932 ------------ ------------ ------------ ------------ Operating income (loss) 4,348 (17,334) 6,396 (16,236) Interest expense, net 833 1,117 1,655 2,202 ------------ ------------ ------------ ------------ Income (loss) before income taxes 3,515 (18,451) 4,741 (18,438) Provision (benefit) for income taxes 1,230 (6,072) 1,659 (6,068) ------------ ------------ ------------ ------------ Net income (loss) $ 2,285 $ (12,379) $ 3,082 $ (12,370) ============ ============ ============ ============ Net income (loss) per share $0.19 ($1.04) $0.25 ($1.04) ===== ===== ===== ===== Weighted average common and common equivalent shares 12,346 11,935 12,272 11,852
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