<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
Quarterly Report Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
For Quarter ended March 31, 1999 Commission file number 333-23435
CHORUS COMMUNICATIONS GROUP, LTD.
(Exact Name of Registrant as Specified in its Charter)
WISCONSIN 39-1880843
(State or Other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification No.)
8501 Excelsior Drive, Madison, Wisconsin 53717
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code (608) 828-2000
Indicate by checkmark whether the 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 requirements for the past 90 days. Yes X No
As of May 1, 1999, there were 5,410,565 shares of Common Stock outstanding.
<PAGE>
CHORUS COMMUNICATIONS GROUP, LTD.
1ST QUARTER REPORT ON FORM 10-Q
INDEX
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
Consolidated Balance Sheets -
March 31, 1999 and December 31, 1998
Consolidated Statements of Income -
Three Months Ended March 31, 1999 and 1998
Consolidated Statements of Cash Flow -
Three Months Ended March 31, 1999 and 1998
Notes to Consolidated Financial Statements
Item 2. Management's Discussion and Analysis of
Financial Condition and Results
of Operations
Item 3. Quantitative and Qualitative Disclosures about Market Risk
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
Item 4. Submission of Matters to a Vote of Security Holders
Item 6. Exhibits and Reports on Form 8-K
Signatures
All other schedules and compliance information called for by the instructions
to Form 10-Q have been omitted since the required information is not present
or not present in amounts sufficient to require submission.
<PAGE>
PART 1
FINANCIAL INFORMATION
Item 1. Financial Statements
CHORUS COMMUNICATIONS GROUP, LTD.
CONSOLIDATED BALANCE SHEETS
<TABLE>
MARCH 31, DECEMBER 31,
1999 1998
In Thousands
<S> <C> <C>
ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 3,604 $ 5,327
Temporary investments 1,200 1,300
Accounts receivable
Due from customers 4,294 4,511
Other, principally connecting
companies 2,311 2,472
Inventories
Plant materials and supplies 724 689
Systems and parts 1,203 1,231
Other 1,721 1,606
Total Current Assets 15,057 17,136
PROPERTY, PLANT AND EQUIPMENT, Net 45,515 45,421
CELLULAR LIMITED PARTNERSHIP INTERESTS 3,715 3,715
PERSONAL COMMUNICATION SERVICES LICENSE 3,621 3,580
GOODWILL, Net 1,334 1,373
OTHER 1,423 1,452
TOTAL ASSETS $ 70,665 $ 72,677
</TABLE>
<PAGE>
CHORUS COMMUNICATIONS GROUP, LTD.
CONSOLIDATED BALANCE SHEETS
<TABLE>
MARCH 31, DECEMBER 31,
1999 1998
In Thousands Except For Share Amounts
<S> <C> <C>
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
Current maturities of long-term debt $ 1,263 $ 1,260
Notes payable to banks 216 2,630
Accounts payable 4,914 4,790
Other 1,512 1,064
Total Current Liabilities 7,905 9,744
LONG-TERM DEBT 25,207 25,551
DEFERRED INCOME TAXES 3,562 3,579
OTHER LIABILITIES 1,866 1,877
Total Liabilities 38,540 40,751
MINORITY INTEREST 375 374
SHAREHOLDERS' EQUITY
Common stock, no par value;
authorized 25 million shares;
issued and outstanding 5,410,565
and 5,408,606 shares, respectively 14,704 14,668
Retained earnings 17,046 16,884
Total Shareholders' Equity 31,750 31,552
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 70,665 $ 72,677
See Notes to Consolidated Financial Statements
</TABLE>
<PAGE>
CHORUS COMMUNICATIONS GROUP, LTD.
CONSOLIDATED STATEMENTS OF INCOME
<TABLE>
THREE MONTHS ENDED
MARCH 31, MARCH 31,
1999 1998
In Thousands Except For Per Share Data
<S> <C> <C>
REVENUES AND SALES
Local exchange carrier services $ 6,449 $ 6,595
System sales and services 3,088 2,645
Other services and sales 2,119 1,698
Total Revenues and Sales 11,656 10,938
OPERATING COSTS AND EXPENSES
Cost of goods sold 2,328 1,818
Cost of services 2,157 1,815
Selling, general & administrative 3,794 3,456
Depreciation & amortization 1,402 1,290
Total Operating Costs and Expenses 9,681 8,379
OPERATING INCOME 1,975 2,559
Other income 74 77
Interest Expense (423) (408)
Minority Interest (2) (1)
INCOME BEFORE INCOME TAXES 1,624 2,227
Income tax expense 624 850
NET INCOME $ 1,000 $ 1,377
BASIC AND DILUTED EARNINGS PER SHARE $ .18 $ .26
Average common shares outstanding 5,409 5,399
Dividends per share .155 .145
See Notes to Consolidated Financial Statements
</TABLE>
<PAGE>
CHORUS COMMUNICATIONS GROUP, LTD.
CONSOLIDATED STATEMENTS OF CASH FLOWS
<TABLE>
THREE MONTHS ENDED
MARCH 31, MARCH 31,
1999 1998
In Thousands
<S> <C> <C>
OPERATIONS
Net income $ 1,000 $ 1,377
Adjustments to reconcile net income
to net cash from operations:
Depreciation and amortization 1,402 1,290
Deferred income taxes (17) -
Changes in current assets and
current liabilities excluding
effects of acquisitions:
Receivables 378 (649)
Inventories (7) 39
Payables 124 (941)
Other 352 2,194
Net cash from operations 3,232 3,310
INVESTING
Capital expenditures (1,467) (1,249)
Personal Communication Services license (41) (47)
Acquisitions (net of cash acquired) - (282)
Net decrease in short-term investments 100 100
Other 10 (25)
Net cash (used in) investing (1,398) (1,503)
FINANCING
Common stock issued 36 -
Dividends paid (838) (784)
Long-term debt repaid (341) (338)
Net repayment of short-term bank notes (2,414) (5)
Net cash (used in) financing (3,557) (1,127)
(Decrease) Increase in cash and cash equivalents (1,723) 680
Cash and cash equivalents:
Beginning of period 5,327 2,736
End of period $ 3,604 $ 3,416
Cash paid during the period:
Interest $ 437 $ 409
Income Tax $ 252 $ 63
See Notes to Consolidated Financial Statements
</TABLE>
<PAGE>
CHORUS COMMUNICATIONS GROUP, LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. The unaudited financial statements included herein have been prepared
pursuant to the rules and regulations of the Securities and Exchange
Commission. Certain information in footnote disclosures normally
included in financial statements prepared in accordance with generally
accepted accounting principles have been condensed or omitted pursuant
to such rules and regulations, although the Company believes the
disclosures are adequate to make the information presented not
misleading. It is suggested that these financial statements be read in
conjunction with the financial statements and the notes thereto
included in the Company's Form 10-K for the year ended December 31,
1998.
In the opinion of the Company, the accompanying financial statements
contain all adjustments (consisting of normal recurring accruals)
necessary to present fairly the financial position as of March 31, 1999
and December 31, 1998, and the results of operations and cash flows for
the three months ended March 31, 1999 and 1998. The results for the
three months ended March 31, 1999 are not necessarily indicative of the
results of operations which may be expected for the entire year ending
December 31, 1999.
2. OPERATING SEGMENTS
Chorus organizes its business into two reportable segments: local
exchange carrier (LEC) services and system sales and services. The LEC
services segment provides telephone and data services to customers in
local exchanges located in Southern Wisconsin. The system sales and
services segment sells, installs and services business telephone
systems, computers and computer networks. Chorus also has operations in
long distance, Internet services, and directory publishing that do not
meet the quantitative thresholds for reportable segments.
<TABLE>
(In Thousands) LOCAL EXCHANGE SYSTEMS SALES
CARRIERS AND SERVICES OTHER TOTAL
<S> <C> <C> <C> <C>
MARCH 31, 1999
Revenues and sales
External customers $ 6,449 $ 3,088 $ 2,119 $ 11,656
Intersegment 200 0 315 515
Segment profit (loss) 1,265 (266) 30 1,029
MARCH 31, 1998
Revenues and sales
External customers $ 6,595 $ 2,645 $ 1,698 $ 10,938
Intersegment 179 0 27 206
Segment profit 1,333 14 45 1,392
</TABLE>
<TABLE>
Reconciliation of Segment Information
(In Thousands) MARCH 31, 1999 MARCH 31, 1998
<S> <C> <C>
PROFIT
Total profit for reportable segments $ 999 $ 1,347
Other profit 30 45
Unallocated amounts:
Non-operating segment (27) (14)
Minority interest (2) (1)
Net Income $ 1,000 $ 1,377
</TABLE>
<PAGE>
3. CONTINGENCIES
As further described in the Company's Form 10-K for the year ended
December 31, 1998, the Company has filed a petition for judicial review
in Dane County Circuit Court regarding various rulings made by the
Public Service Commission of Wisconsin. There has been no change in
the status of this litigation as reported in the Company's Form 10-K as
of the date of this report.
4. RECLASSIFICATION
Certain amounts previously reported for the prior year have been
reclassified to conform to the 1999 presentation.
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations
RESULTS OF OPERATIONS
OVERVIEW
Chorus' reported net income decreased $0.4 million to $1.0 million for the
quarter ended March 31, 1999, as compared to the same period in 1998.
Revenues increased $0.7 million for the first quarter of 1999 as compared to
the first quarter of 1998. The increase is primarily due to the growth in
Internet customers as well as an increase in system sales and service
revenues.
Operating costs and expenses increased $1.3 million for the first quarter of
1999 as compared to the first quarter of 1998. This was primarily due to the
cost of services to the Company's growing Internet subscriber base and an
increase in costs related to the system sales and services segment, which
experienced higher costs of goods sold and labor expenses for the quarter.
RESULTS OF OPERATIONS OF THE BUSINESS SEGMENT
Chorus' primary operations are local exchange carrier services and system
sales and services.
LOCAL EXCHANGE CARRIER SERVICES
LEC services provide telephone and data services to customers in local
exchanges located in Southern Wisconsin. LEC services operating income
consisted of the following:
<TABLE>
For the First Quarter Ended
1999 1998
In Thousands
<S> <C> <C>
Revenues and Sales $6,649 $6,774
Operating Costs and Expenses 4,375 4,339
LEC Services Operating Income 2,274 2,435
Intercompany Eliminations (27) (179)
Operating Income $2,247 $2,256
</TABLE>
LEC services revenues are derived from local network services, interstate
network access, intrastate network access and other services. Local service
revenues are based on fees charged to customers for providing local telephone
exchange service within designated franchise areas. Local service revenues
increased $0.2 million for the first quarter of 1999 as compared to the
similar period in 1998. This was principally due to an increase in local
service rates.
Interstate revenues declined $0.4 million in the first quarter of 1999 as
compared to the first quarter of 1998, primarily due to a reduction in
interstate access rates and settlements received from the interexchange
carriers. Intrastate network access revenues remained level at $1.1 million
for both 1999 and 1998.
<PAGE>
Operating costs and expenses were level for the first quarter of 1999 as
compared to the same time period in 1998. Increases in training costs related
to implementation of new billing, customer service and financial reporting
software as well as an increase in occupancy costs were offset by a reduction
in costs related to regulatory proceedings.
SYSTEM SALES AND SERVICES
This segment sells, installs and services business telephone systems,
computers and computer networks.
System sales and services operating income consisted of the following:
<TABLE>
For the First Quarter Ended
1999 1998
In Thousands
<S> <C> <C>
Revenues and Sales $3,088 $2,645
Operating Costs and Expenses 3,500 2,612
System Sales & Services Operating Income (Loss) (412) 33
Intercompany Eliminations 72 9
Operating Income $ (340) $ 42
</TABLE>
System sales and services revenues increased $0.4 million in the first
quarter of 1999 as compared the similar period in 1998. The increase in
revenues is due to higher customer demand. Additionally, the acquisition of
The ComputerPlus whose operations are included in the financials statements
and related data from January 29, 1998, the date of the acquisition,
contributed to the increase.
Operating costs and expenses increased $0.9 million in the first quarter of
1999 as compared to the first quarter of 1998. This was due to the cost of
goods sold which increased by $0.5 million, primarily from the increase in
sales volume as well as an increase due to labor costs. Additionally,
selling, general and administrative expenses rose $0.4 million, primarily due
to higher labor and occupancy costs.
OTHER SERVICES AND SALES
Other services and sales include operations from long distance, Internet,
competitive local exchange carrier and directory publishing operations.
Other services and sales operating income consisted of the following:
<TABLE>
For the First Quarter Ended
1999 1998
In Thousands
<S> <C> <C>
Revenues and Sales $2,434 $1,725
Operating Costs and Expenses 2,321 1,634
Other Services & Sales Operating Income 113 91
Intercompany Eliminations (45) 170
Operating Income $ 68 $ 261
</TABLE>
Revenues from other services and sales increased $0.7 million in the first
quarter of 1999 as compared to the first quarter of 1998 which was the result
of the growth in number of the Company's Internet subscribers. Additionally
the Company's expansion into competitive local exchange carrier operations
contributed to the increase. Correspondingly, the increase in operating
costs and expenses in the first quarter of 1999 as compared to the first
quarter of 1998 were directly related to the increase in revenues noted above.
<PAGE>
LIQUIDITY AND CAPITAL RESOURCES
OVERVIEW
Chorus requires funds primarily for its construction programs, the maturity
and retirement of long-term debt, dividend payments and investments. The
capital resources available to meet these requirements are provided through
operating and financing activities. Net cash from operating activities of
Chorus and its subsidiaries for the first quarter of 1999 was $3.2 million.
INVESTING ACTIVITIES AND CAPITAL REQUIREMENTS
The primary capital requirement of Chorus has historically consisted of
expenditures under its construction program. Total construction expenditures
for the first quarter of 1999 were $1.5 million.
FINANCING ACTIVITIES
During the first quarter of 1999, Chorus repaid $0.3 million of long-term
debt and $2.4 million of short-term debt.
It is anticipated that the capital requirements for Chorus' construction
programs, maturity and retirement of long-term debt, and dividend payments
will be provided for with cash flow from operating activities and the
issuance of debt.
At May 7, 1999, Chorus has available unused lines-of-credit of $12.5 million.
Chorus has experienced no difficulty in obtaining funds for its construction
programs or other purposes. However, competition could have a negative
impact on Chorus' future operations and cash flows.
REGULATION AND COMPETITION
As more fully discussed in the Company's Form 10-K for 1998, Mid-Plains is
subject to competition, which Mid-Plains expects will have some adverse
effect upon its future revenues. The full extent of that effect is unknown at
this time.
YEAR 2000 (Y2K)
The Year 2000 compliance issue exists because many computerized information
systems use two-digit data fields to designate a year and cannot process
date-sensitive information beyond December 31, 1999. Chorus has established
a Year 2000 Project Team, to coordinate and monitor the Company's Year 2000
compliance efforts. Begun in 1997, Chorus' Year 2000 effort covers its
network and supporting infrastructure for the provisioning of local switched
and data telecommunications services. Additionally, within the scope of this
initiative are the Company's operational and financial information technology
systems and applications, end-user computing resources and building systems,
such as security, elevator and environmental control systems. The project
also includes a review of the Year 2000 compliance efforts of the Company's
key vendors and suppliers. While this initiative is broad in scope, it has
been structured to identify and prioritize the Company's efforts for mission
critical systems, network elements and products and key vendors and
suppliers.
Work is progressing in the following phases: inventory, assessment, planning
deployment and monitoring. The inventory and assessment phases have been
substantially completed as of April 1998. The planning stage was
substantially completed as of December 31, 1998, except for the Company's
contingency plan (see below). The deployment phase is in progress and the
Company has established a target date for completing this phase of
September 1, 1999 for billing and customer service support systems and July
1, 1999 for network elements, products and financial information technology
systems. The ability to meet these target dates is dependent upon the timely
provision of the necessary upgrades and modifications by the Company's
vendors and suppliers. Additionally, the Company is dependent on vendors'
and suppliers' assurances that their upgrades will be Year 2000 compliant.
Also, the Company cannot guarantee that third parties on whom it depends for
essential services (such as electric utilities, interexchange carriers, etc.)
will convert their critical systems and processes in a timely manner.
Failure or delay by any of these parties could significantly disrupt the
Company's business. However, the Company has established a vendor and
supplier compliance program, and is working with key vendors and suppliers to
minimize such risks.
<PAGE>
Chorus currently estimates that it will incur expenses of approximately $.2
million through 1999 in connection with anticipated Year 2000 efforts.
Chorus anticipates that a portion of Year 2000 expenses will not be
incremental costs, but rather will represent the redeployment of existing
resources. Chorus also expects to incur certain capital improvement costs
(totaling approximately $.4 million) to support this project. Such capital
costs are being incurred sooner than originally planned, but, for the most
part, would have been required in the normal course of business.
As part of our Year 2000 initiative, Chorus is evaluating scenarios that may
occur as a result of the century change and is in the process of developing
contingency plans tailored for the Year 2000 related occurrences. Chorus has
established a target date of June 1, 1999 for the completion of these plans.
In management's view, the most reasonable worst case scenario for Year 2000
failure prospects faced by Chorus is that a limited number of important
operational and financial information technology systems and applications may
unexpectedly fail. In addition, no assurance can be given that there may not
be problems with the Company's network and supporting infrastructure for
provisioning of local switched and data telecommunications services relating
to Year 2000. Failure by Chorus or by certain of its vendors and suppliers
to remediate Year 2000 compliance issues in advance of the Year 2000 and to
execute appropriate contingency plans in event that a critical failure is
experienced, could result in disruption of Chorus' operations, possibly
impacting the Company's network and impairing Chorus' ability to bill and
collect revenues.
The above information is based on the Company's current best estimates, which
was derived using numerous assumptions of future events, including the
availability and future costs of certain technological and other resources,
third party modification actions and other factors. Given the complexity of
these issues and possible as yet unidentified risks, actual results may vary
materially from those anticipated and discussed above. Specific factors that
might cause such differences include, among others, the availability and cost
of personnel trained in this area, the ability to locate and correct all
affected computer code, the timing and success of remedial efforts of the
Company's third party vendor and suppliers and similar uncertainties.
This communication constitutes a "Year 2000 Readiness Disclosure" as provided
in Section 3 (9) of the Year 2000 Information and Readiness Disclosure Act of
1998.
FORWARD-LOOKING STATEMENTS
This Management's Discussion and Analysis of Financial Condition and Results
of Operations includes, and future filings by the Company on Form 10-K, Form
10-Q and Form 8-K, and future oral and written statements by the Company and
its management may include, certain forward-looking statements, including
(without limitation) statements with respect to anticipated future operating
and financial performance, growth opportunities and growth rates, acquisition
opportunities, Year 2000 compliance and other similar forecasts and
statements of expectation. Words such as expects, anticipates, plans,
believes, estimates, could, and should, and variations of these words and
similar expressions, are intended to identify these forward-looking
statements. Forward-looking statements by the Company and its management are
based on estimates, projections, beliefs and assumptions of management and
are not guarantees of future performance. The Company disclaims any
obligation to update or revise any forward-looking statement based on the
occurrence of future events, the receipt of new information, or otherwise.
Actual future performance, outcomes and results may differ materially from
those expressed in forward-looking statements made by the Company and its
management as a result of a number of important factors. Representative
examples of these factors include (without limitation) rapid technological
developments and changes in the telecommunications and information services
industries; ongoing deregulation (and the resulting likelihood of
significantly increased price and product/service competition) in the
telecommunications industry as a result of the Telecommunications Act of 1996
and other federal and state rules and regulations enacted pursuant to that
legislation and regulatory limitations on the Company's ability to change its
pricing for communications services. In addition to these factors, actual
future outcomes and results may differ materially because factors including
(without limitation) market conditions and growth rates, economic conditions,
policy changes and the continued availability of financing in the amounts, at
the terms, and on the conditions necessary to support the Company's future
business.
<PAGE>
Item 3. Quantitative and Qualitative Disclosures about Market Risk
The Company does not have market exposure relating to foreign currency
exchange rates or derivative financial instruments. Additionally, the
Company is not exposed to material earnings, cash flow or changes in fair
value exposures from changes in interest rates on its long-term obligations.
<PAGE>
PART II.
OTHER INFORMATION
Item 1. Legal Proceedings
As described more fully in the Company's Form 10-K for the year ended
December 31, 1998, in June 1997, the PSCW issued orders authorizing two
companies, KMC Telecom, Inc. ("KMC") and TDS Datacom, Inc., n/k/a TDS
Metrocom, Inc. ("TDS"), to provide local exchange service in the Mid-Plains,
Inc. service territory. As part of these orders, the PSCW held that Mid-Plains
was no longer entitled to either an exclusive franchise under state law or a
rural telephone company exemption under federal law. Mid-Plains disagreed and
filed a petition for judicial review in Dane County Circuit Court. The
disposition of this petition by the Circuit Court is still currently on appeal
with the Wisconsin Court of Appeals and the Dane County Circuit Court and has
not been settled.
Item 4. Submission of Matters to a Vote of Security Holders
The annual meeting of shareholders was held April 21, 1999. At the meeting
the following were elected to serve as company directors for a three-year
term:
<TABLE>
FOR WITHHELD
<S> <C> <C>
Carrie L. Bennett-Barndt 3,632,491 85,769
Charles Maulbetsch 3,660,755 57,505
</TABLE>
Directors of the Company who are continuing their terms are Howard L. (Lee)
Swanson, Douglas J. Timmerman and Dean W. Voeks.
Additionally at the annual meeting, the shareholders approved the 1998 Chorus
Communications Group, Ltd. Employee Stock Purchase Plan. The number of
shares cast were as follows:
<TABLE>
<S> <C>
For 3,218,761
Against 306,460
Abstain 189,985
</TABLE>
Item 6. Exhibits and Reports on Form 8-K
(a) List of Exhibits
3(i) Articles of Incorporation (incorporated by reference to
Form 8-12G, reporting under Exchange Act Section 12(g), filed
on December 2, 1997, File No. 000-23443)
3(ii) By-Laws (incorporated by reference to Form 10-K, reporting
under Exchange Act Section 12(g), filed on March 30, 1999,
File No. 000-23443)
(27) Financial Data Schedule
(b) Reports on Form 8-K
There were no Form 8-Ks filed during the period covered by this report.
<PAGE>
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 thereunto duly authorized.
CHORUS COMMUNICATIONS GROUP, LTD.
(Registrant)
Date: May 14, 1999 /s/DEAN W. VOEKS
Dean W. Voeks
Chief Executive Officer
Date: May 14, 1999 /s/HOWARD G. HOPEMAN
Howard G. Hopeman
Executive Vice-President and Chief Financial Officer
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 3,604
<SECURITIES> 0
<RECEIVABLES> 6,605
<ALLOWANCES> 0
<INVENTORY> 1,927
<CURRENT-ASSETS> 15,057
<PP&E> 76,080
<DEPRECIATION> 30,565
<TOTAL-ASSETS> 70,665
<CURRENT-LIABILITIES> 7,905
<BONDS> 0
0
0
<COMMON> 14,704
<OTHER-SE> 17,046
<TOTAL-LIABILITY-AND-EQUITY> 70,665
<SALES> 0
<TOTAL-REVENUES> 11,656
<CGS> 2,328
<TOTAL-COSTS> 9,681
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 423
<INCOME-PRETAX> 1,624
<INCOME-TAX> 624
<INCOME-CONTINUING> 1,000
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,000
<EPS-PRIMARY> .18
<EPS-DILUTED> .18
</TABLE>
