SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C.
FORM 10-Q
Quarterly Report under Section 13 or 15 (d) of the
Securities Exchange Act of 1934
For Quarter Ended __DECEMBER 31, 1995______Commission File No. 0-1957
UPTOWNER INNS, INC.
Exact name of registrant as specified in its charter
West Virginia 55-0457171
State or other jusrisdiction of I.R.S. Employer
incorporation or organization Identification Number
1415 4th Avenue, Huntington, West Virginia 25701
Address of principal executive office Zip Code
Registrants telephone number, including area code (304) 525-7741
Indicate by check mark whether registrant:
(1) Has filed all reports required to be filed by
Section 13 or 15 (d) of the Securities Exchange
Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant
was required to file such reports), and
(2) Has been subject to such filing requirement for
the past 90 days.
_x_Yes ___No
Indicate the number of Shares outstanding of each of the Issuer's
classes of Common Stock, as of the close of the period covered
by this report.
_________Class___________ Outstanding at _DECEMBER 31, 1995_________
Common Stock-$.50 par value 1,583,563 Shares
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UPTOWNER INNS, INC., AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
DECEMBER 31, 1995 AND 1994
ASSETS
DECEMBER 31, JUNE 30 ,
1995 1994 1995
(Unaudited) (Unaudited)
CURRENT ASSETS:
Cash $ 220,014 $ 284,226 $ 298,380
Investments 392,997 583,597 576,470
Accounts & Notes Rec. 76,464 53,451 80,132
Acct. Rec.--Shareholder 451 96 5,931
Inventories 11,377 9,182 10,703
Prepaid Expenses 12,783 15,382 18,710
TOTAL CURRENT ASSETS 714,086 945,934 990,326
PROPERTY, PLANT AND EQUIPMENT
Land 1,058,921 808,921 808,921
Building & Improvement 5,322,204 5,381,975 5,322,204
Furniture & Equipment 1,412,285 1,313,745 1,387,244
Construction in Progress 10,000 -0- -0-
TOTAL 7,803,410 7,504,641 7,518,369
Less: Accumulated Depreciation
and Amortization 3,504,196 3,338,107 3,393,773
TOTAL PROPERTY, PLANT
AND EQUIPMENT 4,299,214 4,166,534 4,124,596
OTHER ASSETS:
Franchise Fee 65,000 -0- -0-
Deposits and Other 4,185 11,960 4,185
TOTAL OTHER ASSETS 69,185 11,960 4,185
TOTAL ASSETS 5,082,485 5,124,428 5,119,107
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UPTOWNER INNS, INC., AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
LIABILITIES AND STOCKHOLDERS' EQUITY
DECEMBER 31, JUNE 30,
1995 1994 1995
(Unaudited) (Unaudited)
CURRENT LIABILITIES:
Accounts Payable $ 26,536 $ 24,961 $ 32,592
Accrued Liabilities 88,547 176,511 89,634
Taxes Other Than Federal
Income Taxes 94,038 15,275 158,236
Current Portion of
Long-Term Debt. 261,946 250,000 261,946
TOTAL CURRENT LIABILITIES 471,067 466,747 542,408
LONG-TERM LIABILITIES
Notes & Mortgages
Payable 2,420,969 2,667,459 2,527,941
Notes Payable -
Stockholders -0- 90,182 -0-
TOTAL LONG-TERM LIABILITIES 2,420,969 2,757,641 2,527,941
TOTAL LIABILITIES 2,892,036 3,224,388 3,070,349
STOCKHOLDER'S EQUITY
Common Stock, par value $0.50 per
share; authorized -
shares; 791,782 791,782 791,782
Additional Paid-In
Capital 1,032,290 1,032,290 1,032,290
Retained Earnings 366,377 75,968 224,686
TOTAL STOCKHOLDERS
EQUITY 2,190,449 1,900,040 2,048,758
TOTAL LIABILITIES AND
STOCKHOLDERS EQUITY 5,082,485 5,124,428 5,119,107
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UPTOWNER INNS, INC., AND SUBSIDIARIES
CONSOLIDATED INCOME STATEMENT (UNAUDITED)
THREE MONTHS ENDED SIX MONTHS ENDED
12/31/95 12/31/94 12/31/95 12/31/94
REVENUES:
Rooms $ 311,467 $ 382,734 $ 714,364 $ 800,804
Food & Beverage 131,291 137,906 242,806 227,310
Telephone 11,511 13,772 20,078 24,808
Rents 60,985 50,775 115,013 110,016
Other 28,491 8,045 46,135 20,054
TOTAL REVENUE: 543,745 593,232 1,138,396 1,182,992
COSTS AND EXPENSES:
Operating Departments
Cost of Sales 70,526 70,309 129,065 127,112
Salaries & Wages 117,124 120,907 231,157 241,930
Other 52,447 49,566 100,954 112,542
General & Admin. 25,958 36,250 61,234 80,141
Advertising 15,193 17,401 34,371 37,461
Utilites 29,985 28,653 65,257 67,404
Repair & Maint. 25,071 43,138 48,316 71,521
Interest 50,874 58,079 103,416 122,556
Taxes & Licenses 51,520 44,124 90,977 108,657
Insurance 4,025 8,319 17,158 25,174
Depreciation 51,773 62,138 110,423 124,276
TOTAL COST AND EXPENSE 494,496 538,884 992,328 1,118,774
OPERATING INCOME (LOSS) 49,249 54,348 146,068 64,218
OTHER INCOME
Gain on sale of
Property -0- -0- -0- 281,664
NET INCOME BEFORE TAXES 49,249 54,348 146,068 345,882
FEDERAL INCOME TAXES
Provision for taxes
on Income -0- -0- 4,377 -0-
Deferred Federal
Income Taxes -0- -0- -0- -0-
TOTAL FEDERAL INCOME TAXES -0- -0- 4,377 -0-
TOTAL NET INCOME(LOSS) 49,249 54,348 141,691 345,882
EARNINGS PER SHARE .03 .03 .09 .22
DIVIDENDS PER SHARE -0- -0- -0- -0-
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UPTOWNER INNS, INC., AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)
FOR THE SIX MONTHS ENDED DECEMBER 31,
1995 1994
CASH FLOW FROM OPERATING ACTIVITIES:
Net Income (Accrual Basis) from
Statement of Income $ 141,691 $ 64,218
Add (Deduct) to Reconcile Net Income to
Net Cash Flow:
Accts. Receivables (Increase) Decrease 9,148 (1,223)
Inventories (Increase) Decrease (674) 9,424
Prepaid Expenses Decrease (Increase) 5,927 5,872
Accounts Payable (Decrease) Increase (6,056) (6,347)
Accrued Liabilities (Decrease) Increase (1,087) (59,911)
Taxes Other Than Federal Income Tax
Increase (Decrease) (64,198) 373
Depreciation Expense 110,423 124,276
NET CASH INFLOWS FROM OPERATIONS 195,174 136,682
CASH FLOW FROM INVESTING ACTIVITIES:
From Sale of Investments 183,473 -0-
From Sale of Operational Assets -0- 750,000
From Purchase of Operational Assets (350,041) (6,025)
From Purchase of Investments -0- (576,470)
NET CASH INFLOW (OUTFLOW) FROM INVESTING
ACTIVITIES (166,568) 167,505
CASH FLOW FROM FINANCING ACTIVITIES:
Payment on Notes and Mortgages (106,972) (132,033)
NET CASH INFLOW (OUTFLOW) FROM FINANCING
ACTIVITIES (106,972) (132,033)
Net Increases (Decreases) in Cash Plus Cash
Equivalents for the Six Months (78,366) 172,154
Cash Plus Cash Equivalents at July 1 298,380 119,199
Cash Plus Cash Equivalents--Dec. 31 220,014 291,353
Cash Paid for Interest in the Six Months 101,026 121,362
Cash Paid for Income Taxes in Six Months 4,377 -0-
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UPTOWNER INNS, INC., AND SUBSIDAIRIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
DECEMBER 31, 1993
1. The financial statements presented reflect Uptowner Inns, Inc.,
and its consolidated subsidiary: Motel and Restaurant Supply.
2. The foregoing statements are unaudited; however, in the opinion
of management, all adjustments (comprising only normal recurring
accruals) necessary for a fair presentation of the financial
statements have been included. A summary of the Corporation's
significant accounting policies is set forth in Note 1 to the
Consolidated Financial Statements in the Corporation's Annual
Report to shareholders and Form 10-K for June 30, 1995.
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UPTOWNER INNS, INC., AND SUBSIDIARIES
MANAGEMENTS DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
DECEMBER 31, 1995
Revenues in the current six month period decreased 3.8% due to a general
decline in demand for rooms (down 10.8%), offset by an increase in Food &
Beverage (6.8%), Rents (4.5%), and Other (130%). Management has continued a
close monitoring of costs and reduced the total costs by 11.3%, resulting in
an increase in operating income of $81,850 (up 127%) from the six months ended
in the previous year. Major decreases occurred in Other (10.3%), General &
Administrative (23.6%), Repairs and Maintenance (32.4%), Interest Expense
(15.6%), Taxes and Licenses (16.3%), Insurance (31.8%), and Depreciation
(11.1%). Interest rate declines by lenders accounted for most of the decline
in interest expense and the efforts of management to contain costs was the
major cause of the other decreases.
The company liquidity declined from 1.83 current ratio at June 30, 1995,
to 1.52 at December 31, 1995, due to the down payment on property to be used
to build a motel in the next several months. An additional decline resulted
from paying $65,000 to renew the Holiday Inn franchise.
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UPTOWNER INNS, INC., AND SUBSIDIARIES
SIGNATURES
DECEMBER 31, 1995
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 thereunto duly authorized.
UPTOWNER INNS, INC.
(Registrant)
Date: By
Violet Midkiff
President
Date: By
James R. Camp
Treasurer
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