UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K/A
AMENDMENT TO CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
Amendment No. 1
The undersigned registrant hereby amends the following items, financial
statements, exhibits or other portions of its Current Report on Form 8-K, dated
May 5, 1998 and filed May 19, 1998, as set forth in the pages attached hereto:
Item 7 Financial Statements, Pro Forma Financial Information and
Exhibits
May 5, 1998
Date of Report (Date of earliest event reported)
1-12261
Commission File Number
SUPERIOR TELECOM INC.
(Exact name of registrant as specified in its charter)
Delaware
(State or other jurisdiction of incorporation or organization)
55-2248978
(I.R.S. Employer Identification Number)
1790 Broadway
New York, New York 10019-1412
(Address of Principal Executive Offices) (Zip Code)
(212) 757-3333
(Registrant's telephone number, including area code)
<PAGE>
Item 7. Financial Statements, Pro Forma Financial Information and
Exhibits.
Pro Forma Financial Information. The pro forma financial information
included herein reflects the pro forma effects of the acquisition of Cables of
Zion United Works Ltd. ("COZ"), which occurred on May 5, 1998. Such pro forma
financial statements (including appropriate pro forma adjustments) reflect (i)
the condensed pro forma historical statements of operations of Superior TeleCom
Inc. ("Superior") for the fiscal year ended April 30, 1997 (derived from
Superior's Consolidated Financial Statements as adjusted to reflect the impact
of the Reorganization and Offering on October 2, 1996 and October 17, 1996,
respectively, as if such Reorganization and Offering occurred as of May 1, 1996;
see note 1 to the Consolidated Financial Statements of Superior as well as the
Combined Unaudited Pro Forma Operating Data included in Item 7 of Superior's
April 30, 1997 Annual Report on Form 10-K) combined with the unaudited condensed
historical statements of operations of COZ for the 12-month period ended March
31, 1997, and (ii) the unaudited condensed historical balance sheet as of
January 31, 1998 and the statement of operations of Superior for the nine months
then ended combined with the unaudited condensed historical balance sheet as of
December 31, 1997 and the statement of operations of COZ for the nine months
then ended.
The unaudited pro forma condensed combined statements of operations for the
12 months ended April 30, 1997 and the nine months ended January 31, 1998 give
effect to the COZ acquisition as if it had occurred on May 1, 1996.
The unaudited balance sheet of Superior at January 31, 1998 and the pro
forma statements of operations are based upon preliminary estimates of values,
transaction costs and preliminary appraisals. The actual recording of the
transactions will be based on final appraisals, values and transactions costs.
Accordingly, the actual recording of the transaction can be expected to differ
from the financial statements presented herein.
The pro forma statements of operations do not necessarily represent the
results of operations that might have occurred had the COZ acquisition been
consummated as of the date referred to above, nor are they necessarily
indicative of future operations of Superior. Such pro forma statements should be
read in conjunction with the Consolidated Financial Statements of Superior,
together with the respective notes thereto.
2
(a) Not applicable
(b) Pro Forma Condensed Combined Financial Statements
(Unaudited)
(c) Exhibits
(1) Reference is made to Exhibit 1 in Item 7(c) of the
Current Report on Form 8-K, dated May 5, 1998 and filed May
19, 1998, which is incorporated herein by reference.
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 hereunto duly authorized.
Dated: July 20, 1998 SUPERIOR TELECOM INC.
By: /s/ David S. Aldridge
David S. Aldridge
Chief Financial Officer
3
<TABLE>
<CAPTION>
UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENTS OF OPERATIONS
FOR THE TWELVE MONTHS ENDED APRIL 30, 1997 (SUPERIOR) AND MARCH 31, 1997 (COZ)
Pro forma Historical Pro Forma
Superior (1) COZ Adjustments Pro Forma
----------------- ------------------ ----------------- --------------
(Dollars in Thousands)
<S> <C> <C> <C> <C>
Net Sales......................................... $ 463,840 $ 85,462 $ - $ 549,302
Cost of goods sold................................ 384,271 71,053 134 (a) 455,458
------- ------ ------ -------
Gross Profit................................... 79,569 14,409 (134) 93,844
Selling, general and administrative............... 17,166 7,950 (715 (b) 24,401
Amortization of goodwill.......................... 1,726 - - 1,726
------- ------ ------ -------
Operating income (loss)........................ 60,677 6,459 581 67,717
Interest income................................... - 157 - 157
Interest (expense)................................ (12,869) (1,955) (1,563) (c) (16,387)
Preferred stock dividends of subsidiary........... (319) - - (319)
Other income (expense), net....................... (24) 6,069 - 6,045
------- ------ ------ -------
Income (loss) from operations before income taxes 47,465
and minority interest in earnings of
subsidiaries 10,730 (981) 57,214
Provision for income taxes........................ (18,989) (1,101) (2,223) (22,313)
------- ------ ------ -------
Income before minority interest in earnings of
subsidiaries............................... 28,476 9,629 (3,204) 34,901
Minority interest in earnings of subsidiaries..... - (102) (3,630) (3,732)
------- ------ ------ -------
Income (loss) attributable to common stock..... 28,476 9,527 (6,834) 31,169
======= ====== ====== =======
Income (loss) per diluted share of common stock... $ 1.75 $ 1.91
------- ----------
Diluted shares outstanding........................ 16,293,370 16,293,370
---------- ----------
</TABLE>
(1) Derived from Superior's Consolidated Financial Statements as adjusted
to reflect the impact of the Reorganization and Offering on October 2, 1996 and
October 17, 1996, respectively, as if such Reorganization and Offering occurred
as of May 1, 1996; see note 1 to the Consolidated Financial Statements of
Superior as well as the Combined Unaudited Pro Forma Operating Data included in
Item 7 of Superior's April 30, 1997 Annual Report on Form 10-K.
<PAGE>
<TABLE>
<CAPTION>
UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENTS OF OPERATIONS
FOR THE NINE MONTHS ENDED JANUARY 31, 1998 (SUPERIOR) AND DECEMBER 31, 1997 (COZ)
Historical Historical Pro Forma
Superior COZ Adjustments Pro Forma
---------- ---------- ----------- ----------
(Dollars in Thousands)
<S> <C> <C> <C> <C>
Net Sales......................................... $ 384,106 $ 64,402 $ - $ 448,508
Cost of goods sold................................ 312,742 53,313 (100) (a) 366,155
---------- ----------- ----------- -----------
Gross Profit................................... 71,364 11,089 (100) 82,353
Selling, general and administrative............... 16,422 6,360 (536) (b) 22,246
Restructuring charge.............................. - -
Amortization of goodwill.......................... 1,288 - - 1,288
---------- ----------- ----------- -----------
Operating income (loss)........................ 53,654 4,729 436 58,819
Interest income................................... 83 388 - 471
Interest (expense)................................ (6,387) (1,971) (1,172) (c) (9,530)
Other income (expense), net....................... 66 (31) - 35
----------- ------------ ------------ -----------
Income (loss) from operations before income taxes
and minority interest in earnings of
subsidiaries 47,416 3,115 (736) 49,795
Provision for income taxes........................ (18,746) (1,235) 258 (d) (19,723)
----------- ------------ ------------ -----------
Income before minority interest in earnings of
subsidiaries............................... 28,670 1,880 (478) 30,072
Minority interest in earnings of subsidiaries..... - (621) (780) (1,401)
----------- ------------ ------------ -----------
Income (loss) attributable to common stock..... 28,670 1,259 (1,258) 28,671
=========== ============ ============ ===========
Income (loss) per diluted share of common stock... $ 1.72 $ 1.72
----------- -----------
Diluted shares outstanding........................ 16,661,000 16,661,000
----------- -----------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
UNAUDITED CONDENSED COMBINED BALANCE SHEET
AS OF JANUARY 31, 1998 (SUPERIOR) AND AS OF DECEMBER 31, 1997 (COZ)
ASSETS
Historical Historical Pro Forma
Superior COZ Adjustments Pro Forma
----------- ----------- ----------- -----------
Current assets: (Dollars in Thousands)
<S> <C> <C> <C> <C>
Cash and cash equivalents ..................... $ 1,879 $ 130 $ 2,009
Marketable securities ......................... - 2,072 2,072
Accounts receivable, net ...................... 45,336 25,107 70,443
Inventories, net .............................. 45,919 15,438 61,357
Prepaid expenses, deposits, other ............. 4,918 - 4,918
---------- --------- -----------
Total current assets ...................... 98,052 42,747 140,799
Property, plant and equipment ................. 76,519 32,006 7,612 (e) 116,137
Goodwill, net ................................. 44,788 - 44,788
Other assets .................................. 3,965 7,491 11,456
---------- --------- -------- -----------
Total assets ............................ $ 223,324 $ 82,244 $ 7,612 313,180
========== ========= ======== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Current portion of long-term debt ............. $ 129 $ 7,411 $ 7,540
Accounts payable .............................. 37,375 17,014 54,389
Accrued expenses .............................. 16,334 4,333 2,100 (e) 22,767
---------- --------- --------- -----------
Total current liabilities ................. $ 53,838 $ 28,758 2,100 84,696
Long-term debt, less current portion .......... 86,069 10,233 24,049 (e) 120,351
Other long term obligations ................... 12,490 6,852 19,342
Minority interest in subsidiaries ............. - 53 17,811 (e) 17,864
Stockholders' equity .......................... 70,927 36,348 (36,348) (e) 70,927
---------- --------- --------- -----------
Total liabilities and stockholders' equity $ 223,324 $ 82,244 7,612 313,180
========== ========= ======== ===========
</TABLE>
<PAGE>
Notes to Unaudited Pro Forma Condensed Combined Financial Statements -
Superior Telecom Inc.
(a) Reflects the changes to historical depreciation and amortization
resulting from the allocation of the COZ purchase price to property,
plant and equipment.
(b) Reflects the elimination of management fee allocated to COZ by former
parent company.
(c) Reflects the adjustment to interest expense resulting from debt
incurred as a result of the acquisition.
(d) Reflects the adjustment to income tax expense resulting from the
transaction.
(e) The following reflects the preliminary allocation of the purchase price
to the net assets of COZ based upon estimated fair values of such assets:
<TABLE>
<CAPTION>
Amount
------
(in millions)
<S> <C>
Estimated acquisition cost, including expenses 24,049
Less: Historical book values of net assets at
January 31, 1998 (36,348)
Write-up of property, plant and equipment (7,612)
Accrual of expenses 2,100
Minority interest in subsidiaries 17,811
--------
</TABLE>
