UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the Quarter Ended September 25, 1999
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
Commission File Number: 2-62681
GOLD KIST INC
(Exact name of registrant as specified in its charter)
GEORGIA 58-0255560
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
244 Perimeter Center Parkway, N.E., Atlanta, Georgia 30346
(Address of principal executive offices) (Zip Code)
(Registrant's telephone number, including area code)(770) 393-
5000
N/A
(Former name, former address and former fiscal year, if
changed since last report.)
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 X No
GOLD KIST INC.
INDEX
Page No.
Part I. Financial Information
Item 1. Financial Statements
Consolidated Balance Sheets -
September 25, 1999 and June 26, 1999 1
Consolidated Statements of Operations
Three Months Ended September 25, 1999
and September 26, 1998 2
Consolidated Statements of Cash Flows -
Three Months Ended September 25, 1999
and September 26, 1998 3
Notes to Consolidated Financial
Statements 4 - 5
Item 2. Management's Discussion and Analysis of
Results of Operations and Financial
Condition 6 - 10
Part II. Other Information
Item 6. Exhibits and reports on Form 8-K 11
<TABLE>
Page 1
Item 1. Financial GOLD KIST INC.
Statements CONSOLIDATED BALANCE SHEETS
(Amounts in Thousands)
(Unaudited)
<CAPTION>
Sept. 25, June 26,
1999 1999
<S> <C> <C>
ASSETS
Current assets:
Cash and cash equivalents $ 13,445 20,810
Receivables, principally trade,
less allowance for doubtful
accounts of $3,271 at
Sept. 25, 1999 and $3,261
at June 26, 1999 112,763 109,060
Inventories (note 3) 184,713 182,799
Deferred income taxes 17,842 17,842
Other current assets 41,247 28,999
Total current assets 370,010 359,510
Investments 98,359 106,199
Property, plant and equipment, net 242,353 248,016
Other assets 87,831 87,499
$798,553 801,224
LIABILITIES AND EQUITY
Current liabilities:
Notes payable and current maturities of
long-term debt:
Short-term borrowings $ 68,085 58,085
Subordinated loan certificates 1,881 10,095
Current maturities of long-term debt 16,688 16,820
86,654 85,000
Accounts payable 94,828 95,985
Accrued compensation and related expenses 29,512 36,165
Other current liabilities 28,024 42,212
Total current liabilities 239,018 259,362
Long-term debt, excluding current maturities 203,672 186,913
Accrued postretirement benefit costs 54,632 53,432
Other liabilities 22,677 22,150
Total liabilities 519,999 521,857
Patrons' and other equity:
Common stock, $1.00 par value - Authorized
500 shares; issued and outstanding 31 at
Sept. 25, 1999 and June 26, 1999 31 31
Patronage reserves 205,158 204,080
Unrealized gain on marketable equity
security (net of deferred income taxes
of $7,454 at Sept. 25, 1999 and $10,238
at June 26, 1999) 13,844 19,015
Retained earnings 59,521 56,241
Total patrons' and other equity 278,554 279,367
Contingencies (note 5)
$798,553 801,224
See Accompanying Notes to Consolidated Financial Statements.
</TABLE>
<TABLE>
Page 2
GOLD KIST INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in Thousands)
(Unaudited)
<CAPTION>
Three Months Ended
Sept. 25, Sept. 26,
1999 1998
<S> <C> <C>
Net sales volume $430,815 480,855
Cost of sales 397,042 395,733
Gross margins 33,773 85,122
Distribution, administrative and
general expenses 19,716 22,593
Net operating margins 14,057 62,529
Other income (deductions):
Interest income 464 645
Interest expense (6,585) (9,512)
Equity in earnings (loss) of
partnership (note 4) (1,054) 1,193
Miscellaneous, net 1,371 1,174
Total other deductions (5,804) (6,500)
Margins before income taxes 8,253 56,029
Income taxes 2,818 20,199
Net margins $ 5,435 35,830
See Accompanying Notes to Consolidated Financial Statements.
</TABLE>
<TABLE>
Page 3
GOLD KIST INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands)
(Unaudited)
<CAPTION>
Three Months Ended
Sept. 25, Sept. 26,
1999 1998
<S> <C> <C>
Cash flows from operating activities:
Net margins $ 5,435 35,830
Non-cash items included in net margins:
Depreciation and amortization 10,561 9,996
Equity in (earnings) loss of partnership 1,054 (1,193)
Deferred income tax expense 595 20,344
Other 1,802 (2,909)
Changes in operating assets and liabilities:
Receivables (3,703) (16,408)
Inventories (1,914) 10,225
Other current assets 4,500 (13,125)
Accounts payable and accrued expenses (13,015) 9,172
Net cash provided by (used in) operating
activities of continuing operations 5,315 51,932
Net cash provided by operating activities of
discontinued operations - 28,707
Net cash provided by operating activities 5,315 80,639
Cash flows from investing activities:
Acquisitions of property, plant and equipment (4,342) (7,953)
Other 56 3,500
Net cash used in investing activities of
continuing operations (4,286) (4,453)
Net cash used in investing activities of
discontinued operations - Repurchase of
accounts and crop notes receivable (25,730) -
Net cash used in investing activities (30,016) (4,453)
Cash flows from financing activities:
Short-term borrowings (repayments), net 1,785 (114,159)
Proceeds from long-term debt` 20,000 79,897
Principal payments of long-term debt (3,372) (28,766)
Patronage refunds and other equity paid in cash (1,077) (1,093)
Net cash provided by (used in) financing activities 17,336 (64,121)
Net change in cash and cash equivalents (7,365) 12,065
Cash and cash equivalents at beginning of period 20,810 11,789
Cash and cash equivalents at end of period $ 13,445 23,854
Supplemental disclosure of cash flow data:
Cash paid during the periods for:
Interest (net of amounts capitalized) $ 5,620 15,623
Income taxes $ 155 -
See Accompanying Notes to Consolidated Financial Statements.
</TABLE>
Page 4
GOLD KIST INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Amounts in Thousands)
(Unaudited)
1. The accompanying unaudited consolidated financial
statements reflect the accounts of Gold Kist Inc. and
its subsidiaries ("Gold Kist" or the "Association").
These consolidated financial statements should be read
in conjunction with Management's Discussion and Analysis
of Consolidated Results of Operations and Financial
Condition and the Notes to Consolidated Financial
Statements on pages 12 through 18 and pages 22 through
37, respectively, of Gold Kist's Annual Report in the
previously filed Form 10-K for the year ended June 26,
1999.
2. In the opinion of management, the accompanying
unaudited consolidated financial statements contain all
adjustments (consisting of normal recurring accruals)
necessary to present fairly the financial position, the
results of operations, and the cash flows. All
significant intercompany balances and transactions have
been eliminated in consolidation. Results of operations
for interim periods are not necessarily indicative of
results for the entire year.
3. Inventories consist of the following:
<TABLE>
<CAPTION>
Sept. 25, 1999 June 26, 1999
<S> <C> <C>
Live poultry and hogs $ 93,887 93,999
Marketable products 57,215 56,097
Raw materials and supplies 33,611 32,703
$184,713 182,799
</TABLE>
4. Gold Kist has a 33% interest in Golden Peanut Company, a
Georgia general partnership. Gold Kist's investment in the
partnership was $18.6 million at September 25, 1999 and $19.7
million at June 26, 1999.
Summarized operating statement information of Golden Peanut
Company is shown below:
<TABLE>
<CAPTION>
Three Months Ended
Sept. 30, Sept. 30,
1999 1998
<S> <C> <C>
Net sales and other operating
income $82,954 94,049
Costs and expenses 85,502 90,471
Net earnings (loss) $(2,548) 3,578
</TABLE>
Page 5
5. In October 1998, the Association completed the sale
of assets of the Inputs business to Southern States.
Proceeds of $218.3 million from the sale represented an
amount equal to $39.9 million plus 100% of estimated
net current asset value less the remaining obligations
under an industrial development bond and a lease
obligation assumed by Southern States. Also, the
proceeds reflected a $10.0 million hold back deduction
provided for in the asset purchase agreement. In order
to resolve the post-closing valuation process, the
Association agreed in September 1999 to repurchase from
Southern States approximately $25.7 million of accounts
and crop notes receivable. The agreement resulted in a
final settlement payment to Southern States of
approximately $21.2 million in September 1999.
In order to complete the transaction with Southern
States, the Association committed to purchase, subject to
certain terms and conditions, from Southern States up to
$100 million principal amount of preferred securities if
Southern States was unable to market the securities to
other purchasers. In October 1999, the Company purchased
the $100 million principal amount of preferred securities
as required under the commitment. The preferred
securities carry an initial weighted average dividend
rate of 7.8%. To the extent Southern States places with
other purchasers capital and/or equity securities similar
to the preferred securities in an amount less than $100
million, the preferred securities owned by the
Association shall be reduced correspondingly on a dollar-
for-dollar basis. Gold Kist must hold the preferred
securities for a period of at least nine months from the
purchase date. Upon expiration of that period, Gold Kist
may give Southern States notice of its intention to sell
the preferred securities. Upon the later of the
expiration of a 120-day waiting period or the termination
of a placement of the preferred securities or similar
securities commenced by Southern States prior to the end
of the waiting period, Gold Kist will be permitted to
sell the preferred securities.
6. Effective June 28, 1998, the Association adopted SFAS No.
130, "Reporting Comprehensive Income." This statement
establishes items that are required to be recognized under
accounting standards as components of comprehensive income.
SFAS No. 130 requires, among other things, that an enterprise
report a total for comprehensive income in condensed financial
statements of interim periods. For the three month period
ended September 25, 1999, the Association's consolidated
comprehensive income was $264 thousand. For the three month
period ended September 26, 1998, the Association's
consolidated comprehensive income was $31.5 million. The
difference between consolidated comprehensive income, as
disclosed here, and traditionally-determined consolidated net
margins, as set forth on the accompanying Condensed
Consolidated Statements of Operations, results from unrealized
holding gains (losses) on the marketable security less
applicable income taxes.
Page 6
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS
OF RESULTS OF OPERATIONS
AND FINANCIAL CONDITION
RESULTS OF OPERATIONS
Net Sales Volume
For the three month period ended September 25, 1999, net sales
volume declined 10.4% to $430.8 million from $480.9 million in
the comparable period last year. The decrease in net sales
volume was due primarily to a 12.3% decrease in average
poultry selling prices. The decline in sales prices is a
result of an increase in poultry production within the
industry and the weakness in export markets due to the poor
economic conditions in Russia. Also, large supplies of
competing meats (pork and beef) have contributed to the
decline in market prices for chicken. The impact of the
decline in sales prices on net sales volume was partially
offset by an increase in pounds of chicken sold. In response
to these market conditions, the Association announced a five
percent reduction in its production of live broilers in
October 1999.
Net Operating Margins
The Association had net operating margins of $14.1 million for
the quarter ended September 25, 1999 as compared to $62.5
million in the comparable period last year. The decline in
operating margins was due primarily to the decrease in poultry
market prices discussed above. The impact of the decrease in
broiler sales prices on net operating margins was partially
offset by lower feed ingredient costs. Feed ingredient costs
for the quarter ended September 25, 1999 declined 13% as
compared to the quarter ending September 26, 1998. Low feed
ingredient prices reflect the continuation of weak U.S. grain
exports and favorable grain harvests the past three years.
The decrease in distribution, administrative and general
expenses for the three months ended September 25, 1999
reflected the decrease in incentive compensation expenses
related to the decline in net margins.
Other Income (Deductions)
Interest expense was $6.6 million for the quarter ended
September 25, 1999 as compared to $9.5 million for the
comparable period last year. The decrease in interest expense
was principally due to lower average borrowings.
Equity in loss of partnership of approximately $1.1 million
represented the Association's pro rata share of Golden Peanut
Company's loss for the quarter ended September 30, 1999 in
accordance with the partnership agreement. This compared to a
$1.2 million pro rata share of the partnership's earnings for
the same quarter a year ago. The partnership's loss for the
quarter ended September 30, 1999 reflected litigation related
expense accruals.
Page 7
Miscellaneous, net was $1.4 million for the three months ended
September 25, 1999 as compared to $1.2 million for the same
period last year. For the quarter ended September 25, 1999,
miscellaneous, net included a $669,000 gain from the
Association's ownership interest in a peanut processing and
marketing company as compared to a $353,000 gain for the
quarter ended September 26, 1998.
For the three months ended September 25, 1999 and September
26, 1998, the Association's combined federal and state
effective income tax rates were 34% and 36%, respectively.
Income tax expense for the periods presented reflects income
taxes at statutory rates adjusted for available tax credits.
LIQUIDITY AND CAPITAL RESOURCES
The Association's liquidity is dependent upon funds from
operations and external sources of financing. The principal
source of external short-term financing is a secured committed
credit facility with a commercial bank. The Company has a
$250 million secured committed credit facility with seven
commercial banks. The facility includes a three-year $125
million revolving credit commitment and a $125 million 364-day
line of credit commitment. As of September 25, 1999,
outstanding borrowings under the revolving credit and the 364-
day line-of-credit commitments were $20 million and $10
million, respectively.
Covenants under the terms of the loan agreements with lenders
include conditions that could limit short-term and long-term
financing available from various external sources. The terms
require a ratio of current assets to current liabilities of
not less than 1.25:1 and the ratio of total funded debt to
total capitalization not to exceed 65%. Also, the terms
require a minimum tangible net worth of approximately $275.1
million, which is adjusted quarterly based upon net margins.
At September 25, 1999, the Association's current ratio, ratio
of total funded debt to capitalization and tangible net worth,
determined under the loan agreements, were 1.55:1, 53% and
$278.6 million, respectively. The terms of the $250 million
credit facility require specific quarterly fixed charge
coverage ratios during fiscal 2000 and a fixed charge ratio
for fiscal 2000 of 175%. In addition, the terms place a
limitation on capital expenditures, equity distribution, cash
patronage refunds and commodity hedging contracts that include
cash forward purchases, as well as futures and options
contracts. At September 25, 1999, the Association was in
compliance with the agreements.
Working capital and patrons equity were $131.0 million and
$278.6 million, respectively, at September 25, 1999 as
compared to $100.1 million and $279.4 million, respectively,
at June 26, 1999. The increase in working capital reflected
the repurchase of accounts and crop notes receivable from
Southern States. The decline in patrons equity at September
25, 1999, as compared to June 26, 1999, reflected the $5.2
million unrealized holding loss on a marketable equity
security and equity redemptions of $1.1 million. Net cash
used in operating activities reflected modest increases in
marketable products and raw material inventories and
receivables, as well as, lower accrued compensation and
related liabilities. Existing cash balances and additional
short-term and long-term borrowings were used to repurchase
accounts and crop notes receivable, fund acquisitions of
property, plant and equipment and redeem subordinated loan
certificates.
Page 8
In October 1998, the Association completed the sale of assets
of the Agri-Services segment to Southern States. Proceeds of
$218.3 million from the sale represented an amount equal to
$39.9 million plus 100% of estimated net current asset value
less the remaining obligations under an industrial development
bond, a lease obligation assumed by Southern States and a
$10.0 million hold back deduction provided for in the asset
purchase agreement. In connection with the sale of assets
transaction, Southern States delivered to the Association a
post-closing statement of net asset value (the "post-closing
valuation") prepared pursuant to the terms of the purchase
agreement. The Association subsequently objected to Southern
States' post-closing valuation principally with regard to the
valuation of accounts and crop notes receivable. In order to
resolve the post-closing valuation, the Association agreed in
September 1999 to repurchase from Southern States
approximately $25.7 million of accounts and crop notes
receivable. The agreement resulted in a final settlement
payment to Southern States of approximately $21.2 million in
September 1999.
In order to complete the transaction with Southern States, the
Association committed to purchase, subject to certain terms
and conditions, from Southern States up to $100 million
principal amount of preferred securities if Southern States
was unable to market the securities to other purchasers. In
October 1999, the Company purchased the $100 million
principal amount of preferred securities as required under the
commitment. The Association used its revolving credit facility
to fund the purchase of the preferred securities. Gold Kist
must hold the securities for a period of at least nine months
from the purchase date.
The Association plans capital expenditures of approximately
$59.0 million in 2000 that primarily include expenditures for
expansion and technological advances in poultry production and
processing. In addition, planned capital expenditures include
other asset improvements and necessary replacements.
Management intends to finance planned 1999 capital
expenditures and related working capital needs with existing
cash balances and net margins adjusted for non-cash items and
additional long-term borrowings, as needed. In 2000,
management expects cash expenditures to approximate $7.0
million for patronage refunds and equity distributions less
insurance proceeds. The Association believes cash on hand and
cash equivalents at September 25, 1999 and cash expected to be
provided from operations, in addition to borrowings available
under existing credit arrangements, will be sufficient to
maintain cash flows adequate for the Association's projected
growth and operational objectives during 2000.
Year 2000 Disclosure Statement
The year 2000 problem is the result of computer programs
written using two digits (rather than four) to define the
applicable year. Any of the Association's programs that have
time-sensitive software may recognize a date using "00" as the
year 1900 rather than the year 2000, which could result in
miscalculations or system failures.
The Association has completed its identification of
information technology systems that are not year 2000
compliant and is in the process of implementing a
comprehensive initiative to make its information technology
systems ("IT" systems) and its non-information technology
systems ("non-IT"
Page 9
systems), including embedded microprocessors in equipment,
refrigeration systems, feed mills, hatcheries and
environmental controls, year 2000 compliant. The initiative
covers the following three phases: (1) identification of all
IT and non-IT systems and an assessment of repair
requirements, (2) repair of the identified IT and non-IT
systems, and (3) testing of the IT and non-IT systems repaired
to determine correct manipulation of dates and date-related
data. As of September 1, 1999, the Association has completed
phase (1) of its initiative and substantially completed phase
(2). The Association is scheduled to complete phase (2) by
the end of November 1999. The Association expects the final
testing phase to be complete by the end of November 1999. The
Association believes that it has allocated sufficient
resources to resolve all significant year 2000 issues in the
above time frame.
As part of its year 2000 initiative, the Association is also
contacting key suppliers and business partners to evaluate
their year 2000 compliance plans and state of readiness and
determine whether a year 2000 problem will impede the ability
of such suppliers and business partners to provide goods and
services as the year 2000 is approached and reached. The
Association has received responses from a majority of its key
trading partners and is currently assessing their state of
compliance. As a general matter, the Association is
vulnerable to key suppliers' inability to remedy their own
year 2000 issues and there can be no assurance that all date-
handling problems in the IT systems of those suppliers will be
identified in advance of their occurrence.
The Association estimates that its cost of repairing the IT
systems and non-IT systems will range from $750,000 to $1.0
million. The Association believes such costs will not have a
material effect on liquidity or its financial condition or
results of operations.
To date, the Association has not identified any IT or non-IT
system that presents a material risk of not being year 2000
ready or for which a suitable alternative cannot be
implemented. However, as the Association completes the
testing phase, it is possible that the Association may
identify potential risks of year 2000 disruption. It is also
possible that such a disruption could have a material adverse
effect on the financial condition and results of operations.
In addition, if any third parties who provide goods or
services that are critical to the Association's business
activities fail to appropriately address their year 2000
issues, there could be a material adverse effect on the
Association's financial condition and results of operations.
Because the Association has not completed the testing phase of
its initiative, and, accordingly, has not fully assessed its
risks from potential year 2000 failures, the Association has
not yet fully developed year 2000 specific contingency plans.
These plans will be developed as appropriate, if the results
of testing identify a material business function that is
substantially at risk. The Association expects to complete a
contingency plan by the end of November 1999.
Page 10
Important Considerations Related to Forward-Looking Statements
This Report contains statements which to the extent they are
not recitations of historical fact, may constitute "forward
looking statements" within the meaning of applicable federal
securities law. All forward looking statements in this Report
are intended to be subject to the safe harbor protection
provided by the Private Securities Litigation Reform Act of
1995 and Section 21E of the Securities Exchange Act of 1934,
as amended. It should be noted that this discussion contains
forward-looking statements which are subject to substantial
risks and uncertainties. There are many factors which could
cause actual results to differ materially from those
anticipated by statements made herein. Such factors include,
but are not limited to, changes in general economic conditions,
weather, the growth rate of the market for the Company's
products and services, the availability of raw inputs, global
political events, the ability of the Association to implement
changes in sales strategies and organization on a timely basis,
the affect of competitive products and pricing, seasonal
revenues, as well as a number of other risk factors which could
effect the future performance of the Association.
Effects of Inflation
The major factor affecting the Association's net sales volume
and cost of sales is the change in commodity market prices for
broilers, hogs and feed grains. The prices of these
commodities are affected by world market conditions and are
volatile in response to supply and demand, as well as
political and economic events. The price fluctuations of
these commodities do not necessarily correlate with the
general inflation rate. Inflation has, however, affected
operating costs such as labor, energy and material costs.
Future Accounting Requirements
In June 1998, the Financial Accounting Standards Board (FASB)
issued Statement No. 133 "Accounting for Derivative
Instruments and Hedging Activities." The Statement requires
the recognition of all derivatives on the balance sheet at
fair value. The Company's derivatives, which include
agricultural related futures and options, are specifically
designated as hedges. Changes in the fair value of these
derivatives will either be offset against the change in fair
value of the corresponding hedged assets, liabilities, or firm
commitments through earnings or reflected as other
comprehensive income until the hedged item is recognized in
earnings. The disclosure requirements of the Standard will be
reflected in the Association's 2001 consolidated financial
statements. If the Association were to adopt the new
Statement as of September 25, 1999, the effect of adoption
would not be significant to the financial statements.
Page 11
PART II: OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibit
Designation of Exhibit
in this Report Description of Exhibit
27 Financial Data Schedule
(b) Reports on Form 8-K. Gold Kist has not filed any
reports on Form 8-K during the three months ended
September 25, 1999.
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.
GOLD KIST INC.
(Registrant)
Date November 9, 1999
Gaylord O. Coan
Chief Executive Officer
(Principal Executive Officer)
Date November 9, 1999
Walter F. Pohl, Jr.
Controller
(Principal Accounting Officer)
Page 11
PART II: OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibit
Designation of Exhibit
in this Report Description of Exhibit
27 Financial Data Schedule
(b) Reports on Form 8-K. Gold Kist has not filed any
reports on Form 8-K during the three months ended
September 25, 1999.
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.
GOLD KIST INC.
(Registrant)
Date November 9, 1999 /s/ Gaylord O. Coan
Gaylord O. Coan
Chief Executive Officer
(Principal Executive Officer)
Date November 9, 1999 /s/ Walter F. Pohl, Jr.
Walter F. Pohl, Jr.
Controller
(Principal Accounting Officer)
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> JUL-01-2000
<PERIOD-END> SEP-25-1999
<CASH> 13,445
<SECURITIES> 0
<RECEIVABLES> 116,034
<ALLOWANCES> 3,271
<INVENTORY> 184,713
<CURRENT-ASSETS> 370,010
<PP&E> 622,633
<DEPRECIATION> 380,280
<TOTAL-ASSETS> 798,553
<CURRENT-LIABILITIES> 239,018
<BONDS> 203,672
0
0
<COMMON> 31
<OTHER-SE> 278,523
<TOTAL-LIABILITY-AND-EQUITY> 798,553
<SALES> 430,815
<TOTAL-REVENUES> 432,650
<CGS> 397,042
<TOTAL-COSTS> 397,042
<OTHER-EXPENSES> 1,054
<LOSS-PROVISION> 100
<INTEREST-EXPENSE> 6,585
<INCOME-PRETAX> 8,353
<INCOME-TAX> 2,818
<INCOME-CONTINUING> 5,435
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 5,435
<EPS-BASIC> 0
<EPS-DILUTED> 0
</TABLE>
