UNITED STATES
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 the Quarterly Period Ended September 30, 1997
Commission file number : 333-32041
---------------
PRECISE TECHNOLOGY, INC.
(Exact name of registrant as specified in its charter)
Delaware 25-1205268
(State or Other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification Number)
501 Mosside Boulevard
North Versailles, PA 15137-2553
(Address of principal executive offices) (Zip Code)
(412) 823-2100
(Registrant's telephone number, including area code)
Indicate by check mark 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 ____ No __X__
As of November 1, 1997, one share of the Company's Common Stock was
outstanding.
<PAGE>
TABLE OF CONTENTS
PART I - FINANCIAL INFORMATION
ITEM 1. Financial Statements 2
ITEM 2. Management's Discussion and Analysis
of Financial Condition and Results of 9
Operations
PART II - OTHER INFORMATION
ITEM 6. Exhibits and Reports on Form 8-K 12
(i)
<PAGE>
PART I - FINANCIAL INFORMATION
Item 1.
PRECISE TECHNOLOGY, INC.
(A WHOLLY OWNED SUBSIDIARY OF
PRECISE HOLDING CORPORATION)
CONSOLIDATED BALANCE SHEETS
September 30, December 31,
1997 1996
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 455,283 $ 1,310,564
Accounts receivable, net 12,545,547 13,121,818
Inventories 7,336,793 9,856,257
Prepaid expenses and other 369,776 440,356
Deferred income taxes 1,544,578 1,496,164
Assets held for sale - 900,000
------------- --------------
Total current assets 22,251,977 27,125,159
Property, plant and equipment, net 42,925,910 42,063,423
Intangible and other assets, net 28,574,566 29,870,714
============= ==============
Total assets $ 93,752,453 $99,059,296
============= ==============
LIABILITIES AND STOCKHOLDER'S (DEFICIT) EQUITY
Current Liabilities:
Line of credit $ - $ 300,000
Current maturities of long-term debt 2,702,363 7,641,105
Accounts payable 6,804,804 6,896,159
Accrued liabilities 5,980,985 4,865,381
Tooling deposits 1,693,136 2,063,833
------------- --------------
Total current liabilities 17,181,288 21,766,478
Long-term debt, less current maturities 84,142,641 56,570,692
Deferred income taxes 2,234,296 5,189,259
Payable to Sunderland - 330,000
Commitments and contingencies - -
Redeemable preferred stock - 8,250,000
Stockholder's (deficit) equity:
Common stock, no par value; 1,000 shares
authorized, and 1 share and 125 shares
issued and outstanding at September 30, 1,000 3,315,617
1997 and December 31, 1996, respectively.
Additional paid-in-capital 3,554,711 3,554,711
Retained (deficit) earnings (13,361,483) 82,539
------------- --------------
Total stockholder's (deficit) equity (9,805,772) 6,952,867
============= ==============
Total liabilities and stockholder's $ 93,752,453 $99,059,296
(deficit) equity
============= ==============
See accompanying notes
2
<PAGE>
PRECISE TECHNOLOGY, INC.
(A WHOLLY OWNED SUBSIDIARY OF
PRECISE HOLDING CORPORATION)
CONSOLIDATED STATEMENTS OF INCOME
Three Months Ended Nine Months Ended
September 30, September 30,
------------- -------------
1997 1996 1997 1996
---- ---- ---- ----
(unaudited) (unaudited)
<TABLE>
<S> <C> <C> <C> <C>
Net sales .......... $ 24,616,210 $ 28,397,025 $ 76,416,604 $ 65,739,843
Cost of sales ...... 20,144,786 23,908,463 63,018,240 54,665,450
------------ ------------ ------------ ------------
Gross profit ....... 4,471,424 4,488,562 13,398,364 11,074,393
Selling, general,
and administrative 2,205,417 2,219,388 6,377,536 5,380,126
Plant closure costs -- 109,600 -- 109,600
Amortization of
intangible assets 314,966 319,778 910,092 695,216
------------ ------------ ------------ ------------
Operating income ... 1,951,041 1,839,796 6,110,736 4,889,451
Other expense
(income):
Interest expense . 2,522,025 1,915,388 6,409,672 4,075,747
Other ............ (4,433) (13,765) 987,437 (9,187)
------------ ------------ ------------ ------------
(Loss) income
before income
taxes and ........ (566,551) (61,827) (1,286,373) 822,891
extraordinary item
(Benefit) provision
for income taxes . (111,787) 96,900 502,832 737,618
------------ ------------ ------------ ------------
Net (loss) income
before ........... (454,764) (158,727) (1,789,205) 85,273
extraordinary item
Extraordinary item,
net of tax ....... -- -- (4,840,500) --
- -----------------------------------------------------------------------------------
Net (loss) income .. $ (454,764) $(158,727) $(6,629,705) $85,273
===================================================================================
</TABLE>
See accompanying notes
3
<PAGE>
PRECISE TECHNOLOGY, INC.
(A WHOLLY OWNED SUBSIDIARY OF
PRECISE HOLDING CORPORATION)
CONSOLIDATED STATEMENTS OF CASH FLOWS
Nine months ended
September 30,
1997 1996
---- ----
Operating Activities (unaudited)
- -------------------- -----------
Net (loss) income $ (6,629,705) $ 85,273
Adjustments to reconcile net loss to net
cash provided by operating activities:
Extraordinary item, net of tax 4,840,500 -
Depreciation and amortization 4,942,798 3,652,669
Amortization of original issue discount 513,152 470,696
and financing fees
Loss on sale of equipment 229,466 13,581
Deferred income taxes 127,907 113,574
Changes in assets and liabilities:
Accounts receivable 576,271 33,213
Inventories 2,519,464 384,258
Prepaids and other assets (92,214) (381,671)
Accounts payable (91,355) 986,774
Tooling deposits (370,697) 596,055
Accrued liabilities 1,232,418 128,733
--------- -------
Net cash provided by operating activities 7,798,005 6,083,155
Investing Activities
- --------------------
Capital expenditures (3,918,714) (1,727,085)
Proceeds from sale of fixed assets 1,449,000 88,500
Net cash used in business acquisitions - (63,801,356)
---------- -----------
Net cash used in investing activities (2,469,714) (65,439,941)
Financing Activities
- --------------------
Borrowings on revolving line of credit 16,400,000 6,000,276
Payments on revolving line of credit (11,700,000) (6,884,523)
Proceeds from bond issuance 75,000,000 -
Repayment of long-term debt (60,813,389) (6,445,078)
Prepayment of debt premiums (2,398,940) -
Payment of financing costs (4,292,309) (4,743,748)
Redemption of common stock (3,314,617) -
Redemption of preferred stock (8,250,000) -
Dividends paid on common and preferred stock (6,814,317) (732,894)
Proceeds from senior term notes - 40,000,000
Proceeds from senior subordinated notes - 20,000,000
Proceeds from issuance of preferred stock - 8,250,000
Proceeds from term note - 3,585,000
Capital contribution - 750,000
---------- -----------
Net cash (used in) provided by financing (6,183,572) 59,779,033
activities
---------- -----------
Net (decrease) increase in cash (855,281) 422,247
Cash at beginning of period 1,310,564 25,676
============= ============
Cash at end of period $ 455,283 $ 447,923
============= ============
4
<PAGE>
CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)
Nine months ended
September 30,
1997 1996
---- ----
(unaudited)
Supplemental disclosures of cash flow
information:
Cash paid during the period for:
Interest $ 3,497,494 $ 3,033,091
============= ===============
Income taxes $ 390,461 $ 642,525
============= ===============
Supplemental schedule of noncash investing
and financing activities:
Capital lease agreements for equipment $ 1,644,541 $ 2,818,044
============= ===============
Assets acquired and liabilities assumed
in connection with acquisitions
Fair value of assets acquired $ $ 81,200,112
-
Liabilities assumed - (12,248,954)
------------- ---------------
Cash paid - 68,951,158
Less fees and expenses - (4,743,748)
Less cash acquired - (406,054)
------------- ---------------
Net cash used for business acquisitions $ - $ 63,801,356
============= ===============
See accompanying notes
5
<PAGE>
PRECISE TECHNOLOGY, INC.
(A WHOLLY OWNED SUBSIDIARY OF
PRECISE HOLDING CORPORATION)
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
1. Financial Statement Presentation
The consolidated balance sheet at September 30, 1997 and the consolidated
statements of income and consolidated statements of cash flows for the periods
ended September 30, 1997 and 1996 have been prepared by Precise Technology, Inc.
(the "Company"), without audit. In the opinion of Management, all adjustments
necessary to present fairly the financial position, results of operations and
changes in cash flows at September 30, 1997 and for the periods presented have
been made.
The accompanying condensed consolidated financial statements have been prepared
in accordance with generally accepted accounting principles for interim
financial information and with the instructions for Form 10-Q and Article 10 of
Regulation S-X. Accordingly, they do not include all of the information and
footnotes required for complete financial statements prepared in accordance with
generally accepted accounting principles. It is suggested that these
consolidated financial statements be read in conjunction with the Company's Form
S-4 Registration Statement as filed with the Securities and Exchange Commission
on October 17, 1997.
The results of operations for the period ended September 30, 1997 are not
necessarily indicative of the operating results to be expected for the full
year.
2. Inventories
The major components of inventories were as follows:
September 30, December 31,
1997 1996
(unaudited)
Finished products $ 2,347,728 $ 2,971,774
Raw materials 2,938,545 4,208,211
Tooling and dies 2,050,520 2,676,272
============== ============
$ 7,336,793 $ 9,856,257
============== ============
3. Acquisitions
There were two acquisitions during the 1996 fiscal year. On January 25, 1996,
the Company acquired all of the issued and outstanding common stock of Unity
Mold Corporation ("Unity") for $3.6 million plus $125,000 of fees and expenses
in connection with the acquisition. On March 29, 1996, the Company acquired all
of the issued and outstanding common stock of Tredegar Molded Products Company
("Tredegar") for $60.0 million plus $5.2 million of fees and expenses in
connection with the acquisition (the "Tredegar Acquisition"). The purchase price
in each acquisition exceeded the fair market value of the net assets acquired by
an aggregate amount of $26.0 million which was recognized as goodwill and is
being amortized over 25 years.
6
<PAGE>
3. Acquisitions (continued)
Both acquisitions have been accounted as purchases. The operating results of the
acquisitions are included in the Company's consolidated results of operations
from the respective dates of acquisition.
4. Long-Term Debt
On June 13, 1997, the Company issued $75,000,000 of 11-1/8% Senior Subordinated
Notes due 2007 ("Notes"). The Company used the net proceeds from the issuance of
the Notes and approximately $8,200,000 of borrowings under its New Credit
Agreement ("NCA") to extinguish certain existing indebtedness, redeem its
redeemable preferred stock, repurchase certain shares of its common stock, make
a distribution to its Parent, and pay related fees and expenses (the
"Refinancing"). The Refinancing resulted in the recording of an extraordinary
loss during June 1997 of approximately $4,841,000, net of tax.
The Notes are subordinate in right of payment to all existing and future senior
indebtedness of the Company and are guaranteed on a senior subordinated basis by
all of the Company's subsidiaries.
On June 13, 1997, as part of the Refinancing, the Company entered into a
$30,000,000 NCA with a financial institution. Borrowings under the NCA may be
used to fund the Company's working capital requirements, finance certain
permitted acquisitions and general corporate requirements of the Company and pay
fees and expenses related to the foregoing.
5. Commitments and Contingencies
The Company is involved from time to time in lawsuits that arise in the normal
course of business. The Company actively and vigorously defends all lawsuits.
Management believes that there are no lawsuits that will have a material affect
on the Company's financial position.
6. Financial Information for Subsidiary Guarantors
The Company's payment obligations under the Notes are fully and unconditionally
guaranteed on a joint and several basis (collectively, the "Subsidiary
Guarantees") by Precise Technology of Delaware, Inc., Precise Technology of
Illinois, Inc., Precise TMP, Inc., Precise Polestar, Inc., and Massie Tool, Mold
and Die, Inc. each a direct or indirect wholly-owned subsidiary of the Company
and each a "Guarantor." These subsidiaries represent substantially all of the
operations of the Company conducted in the United States. In accordance with
previous positions taken by the Securities and Exchange Commission, the
following summarized financial information illustrates the composition of the
combined Guarantors. Separate complete financial statements of the respective
Guarantors are not presented because management has determined that they would
not provide additional material information that would be useful in assessing
the financial composition of the Guarantors. No single Guarantor has any
significant legal restrictions on the ability of investors or creditors to
obtain access to its assets in the event of a default on its Subsidiary
Guarantee other than its subordination to senior indebtedness described in Note
4. The principal elimination entries eliminate investments in subsidiaries and
intercompany balances and transactions.
7
<PAGE>
6. Financial Information for Subsidiary Guarantors (continued)
Summarized Combined Financial Information
For the nine months ended September 30, 1997
(unaudited)
<TABLE>
<S> <C> <C> <C> <C>
Guarantor Consolidated
Parent Subsidiaries Elimination's Total
Current assets .............. $ 4,848,299 $ 55,659,446 $(38,255,768 $ 22,251,977
Non-current assets .......... 84,236,708 56,095,674 (68,831,906) 71,500,476
Current liabilities ......... 34,000,129 21,436,927 (38,255,768) 17,181,288
Non-current liabilities ..... 80,575,878 5,801,059 -- 86,376,937
Net sales ................... 13,554,517 63,168,581 (306,494) 76,416,604
Gross profit ................ 2,491,027 10,907,337 -- 13,398,364
(Loss) income from
continuing operations
before extraordinary item.. (11,234,203) 9,444,998 -- (1,789,205)
Net (loss) income ......... (12,245,975) 5,616,270 -- (6,629,705)
</TABLE>
8
<PAGE>
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS
The Company's operating data for the three and nine months ended September 30,
1997 and 1996 are set forth below as percentages of net sales:
<TABLE>
Three Months Nine Months
Ended Ended
September 30, September 30,
-------------- -------------
<S> <C> <C> <C> <C>
1997 1996 1997 1996
---- ---- ---- ----
Net sales 100.0% 100.0% 100.0% 100.0%
Cost of sales 81.8 84.2 82.5 83.2
-------- -------- --------- --------
Gross profit 18.2 15.8 17.5 16.8
Selling, general and administrative 9.0 7.8 8.3 8.2
Plant closure costs 0.0 0.4 0.0 0.2
Amortization of intangible assets 1.3 1.1 1.2 1.0
-------- -------- --------- --------
Operating income 7.9 6.5 8.0 7.4
Other expense (income):
Interest expense 10.2 6.7 8.4 6.2
Other 0.0 0.0 1.3 0.0
-------- -------- --------- --------
(Loss) income before income taxes
and extraordinary item (2.3) (0.2) (1.7) 1.2
(Benefit) provision for income taxes (0.5) 0.3 0.6 1.1
-------- -------- --------- --------
Net (loss) income before (1.8) (0.5) (2.3) 0.1
extraordinary item
Extraordinary item, net of tax 0.0 0.0 (6.3) 0.0
======== ======== ========= ========
Net (loss) income (1.8)% (0.5)% (8.7)% 0.1%
======== ======== ========= ========
</TABLE>
RESULTS OF OPERATIONS
Three Months Ended September 30, 1997 compared to Three Months Ended September
30, 1996
NET SALES. The Company's net sales decreased to $24.6 million for the
three months ended September 30, 1997, a decrease of $3.8 million, or 13.3%,
from the comparable period in the prior year. The decrease in net sales was
primarily attributable to lower volume requirements of certain customers'
end-products, the discontinuance of a low margin proprietary manufacturing
process, and the loss of a molding program.
GROSS PROFIT. The Company's gross profit remained constant at $4.5 million
in the three months ended September 30, 1997 from the comparable period in the
prior year. Gross profit margin, however, increased to 18.2% for the three
months ended September 30, 1997 from 15.8% in the comparable period in the prior
year. The increase in gross profit margin is the result of significant cost
improvement measures implemented during the transition phase of the Tredegar
Acquisition, increased sales volume at the Company's extensively automated
Delaware facility and the discontinuance of a low margin proprietary
manufacturing process, all of which was partially offset by lower overall sales
volume.
SELLING, GENERAL AND ADMINISTRATIVE. Selling, general and administrative
expenses for the three months ended September 30, 1997 remained level with the
comparable period in the prior year totaling approximately $2.2 million. Certain
increases in information technology expenditures included the hiring of two
specialists during 1997 and the incurrence of consulting fees relating to the
evaluation and implementation of a new MRP system which will begin its
installation and training phase during 1998. These increases in selling, general
and administrative expense were offset by lower sales and marketing costs
resulting from the elimination of an outside sales representative during the
fourth quarter of 1996 and the non-recurrence of production costs associated
with a new marketing brochure in 1996.
9
<PAGE>
INTEREST EXPENSE. Interest expense increased to $2.5 million for the three
months ended September 30, 1997 from $1.9 million in the comparable period in
the prior year primarily as a result of the increased level of indebtedness
incurred by the Company following the Refinancing in June 1997.
PROVISION FOR INCOME TAX. The Company's effective tax rates differed from
the applicable statutory rates for the nine months ended September 30, 1997 and
1996 primarily due to nondeductible goodwill amortization. In addition, the
September 30, 1997 tax rate was effected by the expiration of certain state tax
net operating losses.
NINE MONTHS ENDED SEPTEMBER 30, 1997 COMPARED TO NINE MONTHS ENDED SEPTEMBER 30,
1996
NET SALES. The Company's net sales increased to $76.4 million for the nine
months ended September 30, 1997, an increase of $10.7 million, or 16.2%, over
the comparable period in the prior year. The increase in net sales was
attributable to the non-comparability of nine month operating periods resulting
from the lack of inclusion of Tredegar sales for 1996 prior to the Tredegar
Acquisition. This increase in net sales was partially offset by lower volume
requirements of certain customers' end-products, the discontinuance of a low
proprietary manufacturing process, and the loss of a molding program.
GROSS PROFIT. The Company's gross profit increased to $13.4 million for
the nine months ended September 30, 1997, an increase of $2.3 million, or 21.0%,
over the comparable period in the prior year. The increase in gross profit is
primarily due to higher sales volume resulting from the Tredegar Acquisition.
Gross profit margin increased to 17.5% for the nine months ended September 30,
1997 from 16.8% in the comparable period in the prior year. The increase in
gross profit margin was primarily due to the positive impact on direct and
indirect manufacturing costs resulting from the overall cost improvement
measures implemented during the transition phase of the Tredegar Acquisition.
The overall improvement in gross profit margin was offset, however, by a lower
volume of sales during 1997 in comparison to 1996.
SELLING, GENERAL AND ADMINISTRATIVE. Selling, general and administrative
expenses increased to $6.4 million for the nine months ended September 30, 1997,
an increase of $1.0 million, or 18.5%, over the comparable period in the prior
year. The increase in selling, general and administrative expenses was primarily
due to incremental expenses related to the Tredegar Acquisition and the
subsequent hiring of additional sales persons.
AMORTIZATION. The Company's amortization of intangible assets increased to
$910,000 for the nine months ended September 30, 1997 from $695,000 in the
comparable period in the prior year. This increase resulted primarily from the
amortization of goodwill and non-compete agreements associated with the Tredegar
Acquisition.
INTEREST EXPENSE. Interest expense increased to $6.4 million for the nine
months ended September 30, 1997 from $4.1 million in the comparable period in
the prior year primarily as a result of the increased level of indebtedness
incurred by the Company following the Refinancing in June 1997.
OTHER EXPENSES (INCOME). Other expenses increased to $987,000 for the nine
months ended September 30, 1997 from income of $9,000 in the comparable period
in the prior year due primarily to non-recurring charges from related parties
totaling $555,000 for financial advisory fees and out-of-pocket expenses and
$300,000 in legal fees each related to the Refinancing.
PROVISION FOR INCOME TAX. The Company's effective tax rates differed from
the applicable statutory rates for the nine months ended September 30, 1997 and
1996 primarily due to nondeductible goodwill amortization. In addition, the
September 30, 1997 tax rate was effected by the expiration of certain state tax
net operating losses.
EXTRAORDINARY ITEM. The Company recorded an extraordinary loss of
approximately $4.8 million, net of tax benefits, for the nine months ended
September 30, 1997, due to the early extinguishment of indebtedness resulting
from the repayment of certain indebtedness incurred in connection with the
Tredegar Acquisition.
10
<PAGE>
LIQUIDITY AND CAPITAL RESOURCES
The Company generated cash flows from operations totaling $7.8 million and
$6.1 million in the nine months ended September 30, 1997 and 1996, respectively.
The increase in cash flows from operations was primarily impacted by a decrease
in accounts receivable due to an improved collection cycle, a decrease in
inventory due to increased levels being placed on consignment and an increase in
the level of accrued interest due to semi-annual payments under the Notes.
The Company's cash flows used in investing activities totaled $2.5 million
and $65.4 million, excluding capital lease agreements for equipment totaling
$1.6 million and $2.8 million, in the nine months ended September 30, 1997 and
1996, respectively. During the first nine months of 1997, the Company expended
$3.9 million in cash capital expenditures primarily for a new MRP system and
building improvements and ancillary equipment for a significant new molding
program expected to begin production in January 1998. These expenditures were
partially offset by proceeds received from the sale of its Rochester, New York
facility in the amount of $1.3 million.
The Company's cash flows (used in) provided by financing activities
totaled $(6.2) million and $59.8 million for the nine months ended September 30,
1997 and 1996, respectively. During the nine months ended September 30, 1997,
the extinguishment of certain indebtedness incurred in connection with the
Tredegar Acquisition with proceeds from the Notes contributed to the cash used
in financing activities. During the nine months ended September 30, 1996,
proceeds from indebtedness incurred in connection with the Tredegar Acquisition
contributed significantly to resulting cash provided.
Management believes that the Company's cash flow from operations, together
with borrowings under the NCA provides it with sufficient liquidity necessary to
fund capital improvements, service indebtedness and meet working capital
requirements for the Company's existing operations.
RECENT ACCOUNTING STANDARDS
In February 1997, the Financial Accounting Standards Board (FASB) issued
Statement of Financial Accounting Standards (SFAS) No. 129 Disclosure of
Information About Capital Structure. SFAS 129 requires the disclosure of certain
information about an entity's capital structure, which would include a brief
discussion of rights and privileges for securities outstanding. The
implementation of SFAS 129 in not expected to have an impact on the Company's
financial statements. The standard will be effective for financial statement
periods ending after December 15, 1997.
In June 1997, the FASB issued SFAS No. 130, Reporting Comprehensive
Income, which establishes standards for the reporting and display of
comprehensive income and its components in a full set of general-purpose
financial statements. SFAS No. 130 is expected to impact the Company in the
event that a minimum pension liability is required by SFAS No. 87, Employers'
Accounting for Pensions, in that separate disclosure of comprehensive income and
its components must be displayed in equal prominence with net income. The
standard will be effective for the Company for the year ended December 31, 1998.
In June 1997, the FASB issued SFAS No. 131, Disclosure about Segments of
an Enterprise and Related Information, which changes the way that public
business enterprises report information about operating segments in annual
financial statements and requires that those enterprises report selected
information about reportable segments in interim financial reports issued to
shareholders. In accordance with SFAS No. 131, the Company will be required to
make expanded disclosures relating to its products and markets. The standard
will be effective for the Company for the year ended December 31, 1998 and for
interim periods in the year ended December 31, 1999.
11
<PAGE>
Cautionary Statement on Forward-Looking Statements
This Report contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. Investors are cautioned that
any forward-looking statements, including statements regarding the intent,
belief, or current expectations of the Company or its management, are not
guarantees of future performance and involve risks and uncertainties, and that
actual results may differ materially from those in the forward-looking
statements as a result of various factors including, but not limited to (I)
reliance on key customers and supply contracts, (ii) volatility of customer
demand, (iii) exposure to fluctuations in resin cost and supply and (iv) other
risks detailed from time to time in the Company's Securities and Exchange
Commission filing. The Company does not intend to update these forward-looking
statements.
PART II - OTHER INFORMATION
Item 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibit 27
Financial Data Schedule
(b) Reports on Form 8-K
None
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.
Precise Technology, Inc.
Date: November 14, 1997 /s/John R. Weeks
----------------- ------------------------------
John R. Weeks
President and Chief Executive Officer
Date: November 14, 1997 /s/William L. Remley
----------------- ------------------------------
William L. Remley
Treasurer
12
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1000
<S> <C> <C>
<PERIOD-TYPE> 3-MOS 9-MOS
<FISCAL-YEAR-END> DEC-31-1997 DEC-31-1997
<PERIOD-END> SEP-30-1997 SEP-30-1997
<CASH> 455 455
<SECURITIES> 0 0
<RECEIVABLES> 12,603 12,603
<ALLOWANCES> 57 57
<INVENTORY> 7,337 7,337
<CURRENT-ASSETS> 22,252 22,252
<PP&E> 53,817 53,817
<DEPRECIATION> 10,891 10,891
<TOTAL-ASSETS> 93,752 93,752
<CURRENT-LIABILITIES> 17,181 17,181
<BONDS> 0 0
0 0
0 0
<COMMON> 1 1
<OTHER-SE> (9,806) (9,806)
<TOTAL-LIABILITY-AND-EQUITY> 93,752 93,752
<SALES> 24,616 76,417
<TOTAL-REVENUES> 24,616 76,417
<CGS> 20,145 63,018
<TOTAL-COSTS> 22,665 70,306
<OTHER-EXPENSES> (4) 987
<LOSS-PROVISION> 0 0
<INTEREST-EXPENSE> 2,522 6,410
<INCOME-PRETAX> (567) (1,286)
<INCOME-TAX> (112) 503
<INCOME-CONTINUING> (455) (1,789)
<DISCONTINUED> 0 0
<EXTRAORDINARY> 0 (4,841)
<CHANGES> 0 0
<NET-INCOME> (455) (6,630)
<EPS-PRIMARY> 0.0 0.0
<EPS-DILUTED> 0.0 0.0
</TABLE>
