<PAGE>
Exhibit 99.1
UNAUDITED PRO FORMA CONDENSED CONSOLIDATED FINANCIAL STATEMENT
INFORMATION
The unaudited pro forma condensed consolidated financial statements give
effect to the sale by Aztec Technology Partners, Inc. ("Aztec" or the
"Company") of it's equity interests in Compel LLC, Fortran Corp., and Mahon
Communications Corporation (together, the "Voice and Data Subsidiaries") on
June 7, 2000 for $34.5 million in cash. Aztec used $30 million of the
proceeds from the sale to reduce it's long-term debt. The pro forma condensed
consolidated balance sheet gives effect to the sale of the Voice and Data
Subsidiaries as if the sale had been completed as of March 31, 2000. The pro
forma condensed consolidated statements of operations give effect to the sale
of the Voice and Data Subsidiaries as if the sale had been completed at the
beginning of the period presented.
The pro forma condensed consolidated statement of operations for the year ended
December 31, 1999 includes the audited consolidated financial information of the
Company for the year ended December 31, 1999 and the unaudited financial
information of the Voice and Data Subsidiaries for the year ended December 31,
1999.
The pro forma condensed consolidated statement of operations for the three
months ended March 31, 2000 includes the unaudited consolidated financial
information of the Company for the three months ended March 31, 2000 and the
unaudited financial information of the Voice and Data Subsidiaries for the three
months ended March 31, 2000.
The unaudited pro forma condensed consolidated financial information is based on
the historical consolidated financial statements of the Company and the
historical financial information of the Voice and Data subsidiaries and reflects
certain pro forma adjustments based upon preliminary estimates, available
information and certain assumptions that management deems appropriate.
The unaudited pro forma condensed consolidated financial information is not
necessarily indicative of the financial position or results of operations which
would have actually been reported had the sale been consummated as presented, or
which may be reported in the future. The unaudited pro forma condensed
consolidated financial information should be read in conjunction with the
Company's Annual Report on Form 10-K/A for the year ended December 31, 1999 and
Quarterly Report on Form 10-Q for the three months ended March 31, 2000.
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AZTEC TECHNOLOGY PARTNERS, INC.
UNAUDITED PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET
MARCH 31, 2000
(In Thousands)
<TABLE>
<CAPTION>
HISTORICAL PRO FORMA
-------------------------------- ---------------------------------
VOICE & DATA
AZTEC SUBSIDIARIES NOTES ADJUSTMENTS CONSOLIDATED
-------------- ---------------- ----- ----------- ------------
<S> <C> <C> <C> <C> <C>
ASSETS
Current assets:
Cash and cash equivalents $ 3,315 $ 405 1 $ 2,500 $ 5,410
Accounts receivable, net 60,431 13,254 47,177
Inventories 8,670 1,084 7,586
Prepaid expenses and other current assets 20,720 6,431 1 1,250 15,539
-------------- ---------------- ----------- ------------
Total current assets 93,136 21,174 3,750 75,712
Property and equipment, net 10,475 2,044 8,431
Intangibles, net 55,158 15,107 40,051
Other assets 4,445 466 1 750 4,729
-------------- ---------------- ----------- ------------
Total assets $ 163,214 $ 38,791 $ 4,500 $ 128,923
============== ================ =========== ============
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Current maturities of long-term debt $ 70,456 $ 100 1 $ (30,000) $ 40,356
Accounts payable 28,316 5,796 22,520
Deferred revenue 10,426 2,087 8,339
Other accrued liabilities 17,885 3,964 2 1,200 15,121
-------------- ---------------- ----------- ------------
Total current liabilities 127,083 11,947 (28,800) 86,336
Long-term debt 160 54 106
Other long-term liabilities 2,217 80 2,137
-------------- ---------------- ----------- ------------
Total liabilities 129,460 12,081 (28,800) 88,579
Stockholders' equity:
Common stock 23 23
Additional paid-in capital 95,006 95,006
Retained earnings (deficit) (61,275) 26,710 1,2 33,300 (54,685)
-------------- ---------------- ----------- ------------
Total stockholders' equity 33,754 26,710 33,300 40,344
-------------- ---------------- ----------- ------------
Total liabilities and stockholders' equity $ 163,214 $ 38,791 $ 4,500 $ 128,923
============== ================ =========== ============
The following is a description of each of the pro forma adjustments:
1. Represents the allocation of the gross proceeds of $34.5 million as follows:
Amount used to reduce current maturities of long-term debt $ 30,000
Escrow amount recorded as a current other receivable 1,250
Escrow amount recorded as a non-current other receivable 750
Net cash received 2,500
----------------
$ 34,500
================
2. Reflects legal, accounting, investment banking and other direct costs incurred in connection with the sale.
</TABLE>
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AZTEC TECHNOLOGY PARTNERS, INC.
UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2000
(In Thousands, Except Per Share Amounts)
<TABLE>
<CAPTION>
HISTORICAL PRO FORMA
---------------------------- ----------------------------------
VOICE & DATA
AZTEC SUBSIDIARIES NOTES ADJUSTMENTS CONSOLIDATED
---------- --------------- ----- ------------- ------------
<S> <C> <C> <C> <C> <C>
Revenues $ 81,517 $ 17,996 $ 63,521
Gross profit 18,603 5,266 13,337
Selling, general and administrative expenses 18,081 3,644 14,437
Amortization of intangibles 623 623
---------- --------------- ------------- ------------
Operating income (loss) (101) 1,622 (1,723)
Other (income) expense 1,309 (71) 1 (687) 693
---------- --------------- ------------- ------------
Income (loss) before provision for (benefit from) income taxes (1,410) 1,693 687 (2,416)
Income tax provision (benefit) (575) 711 2 289 (997)
---------- --------------- ------------- ------------
Net income (loss) $ (835) $ 982 $ 398 $ (1,419)
========== =============== ============= ============
Weighted-average shares outstanding:
Basic 22,518 22,518
Diluted 22,518 22,518
Per share amounts:
Basic $ (0.04) $ (0.06)
Diluted $ (0.04) $ (0.06)
</TABLE>
The following is a description of each of the pro forma adjustments:
1. Represents the decrease in interest expense due to the $30 million
debt reduction at an average rate during the period of 9.2%.
2. Represents the recording of a tax provision resulting from the
effect of the pro forma adjustment No. 1 above.
<PAGE>
AZTEC TECHNOLOGY PARTNERS, INC.
UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
YEAR ENDED DECEMBER 31, 1999
(In Thousands, Except Per Share Amounts)
<TABLE>
<CAPTION>
HISTORICAL PRO FORMA
--------------------------- ---------------------------------
VOICE & DATA
AZTEC SUBSIDIARIES NOTES ADJUSTMENTS CONSOLIDATED
----------- ------------- ----- ----------- ------------
<S> <C> <C> <C> <C> <C>
Revenues $ 361,628 $ 66,414 $ 295,214
Gross profit 78,151 19,091 59,060
Selling, general and administrative expenses 71,725 12,758 58,967
Amortization of intangibles 4,828 901 3,927
Strategic restructuring costs 3,643 3,643
Write-off of goodwill 69,123 19,200 49,923
----------- ------------- ----------- -----------
Operating loss (71,168) (13,768) (57,400)
Other (income) expense 6,459 (127) 1 (2,327) 4,259
----------- ------------- ----------- -----------
Income (loss) before provision for (benefit from) income taxes (77,627) (13,641) 2,327 (61,659)
Income tax provision (benefit) (3,827) 2,590 2 977 (5,440)
----------- ------------- ----------- -----------
Net income (loss) $ (73,800) $ (16,231) $ 1,350 $ (56,219)
=========== ============= =========== ===========
Weighted-average shares outstanding:
Basic 22,107 22,107
Diluted 22,107 22,107
Per share amounts:
Basic $ (3.34) $ (2.54)
Diluted $ (3.34) $ (2.54)
</TABLE>
The following is a description of each of the pro forma adjustments:
1. Represents the decrease in interest expense due to the $30 million
debt reduction at an average rate during the period of 7.8%.
2. Represents the recording of a tax provision resulting from the
effect of the pro forma adjustment No. 1 above.
