<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported) MAY 28, 1996
WHITTAKER CORPORATION
(Exact Name of Registrant as Specified in Its Charter)
DELAWARE
(State or Other Jurisdiction of Incorporation)
1-5407 95-4033076
(Commission File Number) (I.R.S. Employer Identification No.)
1955 N. SURVEYOR AVENUE, SIMI VALLEY, CA 93063
(Address of Principal Executive Offices)
(805) 526-5700
(Registrant's Telephone Number, Including Area Code)
<PAGE>
ITEM 5. OTHER EVENTS
On May 28, 1996, the Registrant announced its earnings for its second
fiscal quarter, ended April 30, 1996. A copy of the press release is
attached hereto as Exhibit 99.1.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(C) EXHIBITS
Exhibit No. Description
----------- -----------
99.1 Press Release, dated May 28, 1996
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.
WHITTAKER CORPORATION
By: /S/ Richard B. Levin
---------------------
Richard B. Levin
Vice President, Secretary
and Chief Financial Officer
Dated: May 28, 1996
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EXHIBIT INDEX
-------------
Exhibit No. Description
- ----------- -----------
99.1 Press Release, dated May 28, 1996.
<PAGE>
EXHIBIT 99.1
------------
[WHITTAKER LOGO] NEWS RELEASE
WHITTAKER CORPORATION
1955 N. Surveyor Avenue, Simi Valley, California 93063
805/526-5700
Release: May 28, 1996
Contact: Richard Levin
(805) 526-5700, ext. 641
James Schultz
(805) 526-5700, ext. 638
WHITTAKER REPORTS SECOND QUARTER RESULTS
CONFIRMS PREVIOUSLY ANNOUNCED SECOND QUARTER COMMUNICATIONS SEGMENT LOSS
SIMI VALLEY, CA., MAY 28, 1996-- Whittaker Corporation (NYSE: WKR) today
announced the results of its operations for the second quarter, ended April 30,
1996.
The net loss for the quarter was $4,890,000, or $0.52 per share, after a
one-time charge of $11,700,000 ($0.75 per share after taxes) resulting from the
write-off of acquired in-process research and development resulting from the
Company's acquisition of Xyplex, Inc. on April 10, 1996. Net income for the
quarter ended April 30, 1995 was $155,000 or $0.02 per share, after a charge for
acquired in-process research and development of $3,250,000 ($0.20 per share
after taxes) resulting from the Company's acquisition of Hughes LAN Systems,
Inc. on April 24, 1995. Sales for the quarter were $47,605,000, compared to
$31,682,000 for the second quarter of fiscal year 1995.
As previously announced, the net loss reflected a loss for the quarter at
the Company's Communications segment of $3,398,000, not including the charge for
acquired in-process research and development. The Company's Aerospace Group
reported increased sales and an operating profit of $6,079,000, after a
previously announced charge of $540,000 ($0.03 per share after taxes) related to
the streamlining of the Company's defense electronics unit. Also included in
the results for the quarter was interest income of $5,200,000 ($0.33 per share
after taxes) on an income tax refund received in the second quarter.
For the six-month periods ended April 30, after charges for acquired in-
process research and development, the net loss for 1996 was $3,000,000 or $0.33
per share, compared to net income of $1,875,000, or $0.20 per share in 1995.
Sales for the first six months were $92,025,000, compared to $58,368,000 the
previous year.
"As we tackle the challenges of integrating Whittaker Xyplex, we remain
confident that our strategy for growth in our communications segment remains
sound," said Thomas A. Brancati, President and Chief Executive Officer. "We are
excited about our internetworking and
(more)
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remote access products and the contribution they will make." Whittaker Xyplex
contributed $14,209,000 in sale in the quarter, $29,519,000 for the first six
months.
"Our Aerospace Group continues to perform well and to grow," Mr. Brancati
added, "and we look forward to further improvements." During the second quarter
of fiscal 1996, the Whittaker Aerospace Group contributed $33,396,000 to total
sales, up from $31,682,000 in sales from the same quarter in the previous year.
The Aerospace Group consists of Whittaker Controls, Whittaker Safety Systems and
Whittaker Electronic Systems divisions.
Whittaker Corporation, based in Simi Valley, Ca., provides products and
services with a high technology and engineering content to the aerospace and
communications industries, through its two principal operating segments. For
additional information on Whittaker, contact the Internet Home Page at URL
address: http://www.whittaker.com.
# # #
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WHITTAKER CORPORATION
Consolidated Statements of Income
($ in 000)
(Unaudited)
<TABLE>
<CAPTION>
For the Three Months For the Six Months
Ended April 30, Ended April 30,
1996 1995 1996 1995
---------- ---------- ---------- ----------
<S> <C> <C> <C> <C>
Sales ............................................... $ 47,605 $ 31,682 $ 92,025 $ 58,368
Costs and expenses
Cost of sales .................................... 27,484 19,057 52,384 35,087
Engineering and development....................... 3,882 865 6,977 1,109
Selling, general and administrative............... 15,280 7,117 27,015 13,623
Acquired in-process research and development...... 11,700 3,250 11,700 3,250
Restructuring costs............................... 540 540
--------- ---------- --------- ---------
Operating profit (loss).............................. (11,281) 1,393 (6,591) 5,299
Interest expense ................................. 2,031 1,192 3,686 2,414
Interest income .................................. (5,460) (202) (5,622) (330)
Other expense (income)............................ 45 159 46 152
--------- ---------- --------- ---------
Income (loss) before provision for taxes............. (7,897) 244 (4,701) 3,063
Provision (benefit) for taxes ....................... (3,007) 89 (1,701) 1,188
--------- --------- --------- ---------
Net income (loss).................................... $ (4,890) $ 155 $ (3,000) $ 1,875
========= ========= ========= =========
Average common and common
equivalent shares outstanding (000)............... 9,471 9,582 9,136 9,585
--------- --------- --------- ---------
Net income (loss) per share.......................... $ (0.52) $ 0.02 $ (0.33) $ 0.20
========= ========= ========= =========
</TABLE>
Note:
Certain reclassifications have been made to 1995 numbers to conform to 1996
presentation.
<PAGE>
WHITTAKER CORPORATION
Consolidated Balance Sheets
($ in 000)
<TABLE>
<CAPTION>
At April 30, At October 31,
1996 1995
------------ -------------
ASSETS (Unaudited)
- ------
<S> <C> <C>
Current Assets
- --------------
Cash ............................................. $ 1,931 $ 161
Receivables ...................................... 78,540 64,708
Inventories ...................................... 52,206 38,975
Other current assets ............................. 4,553 2,053
Income taxes recoverable ......................... 4,196 1,452
Deferred income taxes ............................ 19,813 15,151
--------- ---------
Total Current Assets.............................. 161,239 122,500
Property and equipment, at cost .................. 108,819 78,059
Less accumulated depreciation and amortization ... (59,249) (36,641)
--------- ---------
Net Property and Equipment........................ 49,570 41,418
Other Assets
- ------------
Goodwill, net of amortization .................... 93,382 33,414
Other intangible assets, net of amortization ..... 48,801 10,585
Notes and other noncurrent receivables ........... 3,806 4,218
Other noncurrent assets .......................... 15,222 11,709
Net assets held for sale ......................... 29,284 27,115
--------- ---------
Total Other Assets ............................... 190,495 87,041
--------- ---------
Total Assets $ 401,304 $ 250,959
========= =========
LIABILITIES AND STOCKHOLDERS' EQUITY
- ------------------------------------
Current Liabilities
- -------------------
Current maturities of long-term debt ............. $ 9,669 $ 6,048
Accounts payable ................................. 18,360 14,650
Accrued liabilities .............................. 42,912 29,530
--------- ---------
Total Current Liabilities......................... 70,941 50,228
Other Liabilities
- -----------------
Long-term debt ................................... 141,568 70,694
Other noncurrent liabilities ..................... 11,240 11,340
Deferred income taxes ............................ 27,794 16,273
--------- ---------
Total Other Liabilities........................... 180,602 98,307
Stockholders' Equity
- --------------------
Capital stock
Preferred stock ............................... 1 1
Common stock .................................. 110 86
Additional paid-in capital........................ 74,818 19,261
Retained earnings ................................ 74,832 83,076
--------- ---------
Total Stockholders' Equity........................ 149,761 102,424
--------- ---------
Total Liabilities and Stockholders' Equity $ 401,304 $ 250,959
========= =========
</TABLE>
Note:
Certain reclassifications have been made to 1995 numbers to conform to 1996
presentation.
<PAGE>
WHITTAKER CORPORATION
Industry Segment Data
($ in 000)
(Unaudited)
<TABLE>
<CAPTION>
For the Three Months For the Six Months
Ended April 30, Ended April 30,
1996 1995 1996 1995
---------- --------- -------- --------
<S> <C> <C> <C> <C>
SALES:
Aerospace $ 33,396 $ 31,682 $ 62,506 $ 58,368
Communications 14,209 29,519
--------- -------- -------- ---------
$ 47,605 $ 31,682 $ 92,025 $ 58,368
========= ======== ======== =========
OPERATING PROFIT (LOSS):
Aerospace $ 6,079 $ 6,611 $ 12,254 $ 12,160
Communications (15,098) (3,250) (14,801) (3,250)
Corporate and Other (2,262) (1,968) (4,044) (3,611)
--------- -------- -------- --------
$ (11,281) $ 1,393 $ (6,591) $ 5,299
========= ======== ======== ========
</TABLE>
Operating profit for 1995 and 1996 were affected by write-offs of acquired in-
process research and development associated with purchase of communications
businesses. Results in the Aerospace segment for 1996 also included a
restructuring charge of $540,000. The following table provides a comparison of
segment operating profit to operating profit excluding these special charges:
<TABLE>
<CAPTION>
For the Three Months For the Six Months
Ended April 30, Ended April 30,
1996 1995 1996 1995
---------- --------- --------- ---------
<S> <C> <C> <C> <C>
Aerospace operating profit $ 6,079 $ 6,611 $ 12,254 $ 12,160
Restructuring 540 540
---------- --------- --------- ---------
6,619 6,611 12,794 12,160
---------- --------- --------- ---------
Communications operating loss (15,098) (3,250) (14,801) (3,250)
Acquired in-process
research and 11,700 3,250 11,700 3,250
development ---------- --------- --------- ---------
(3,398) (3,101)
---------- --------- --------- ---------
</TABLE>
