<PAGE>
- --------------------------------------------------------------------------------
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
-----------------
FORM 8-K/A-1
-----------------
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) AUGUST 27, 1996 (JUNE 14, 1996)
-------------------------------
THE COLEMAN COMPANY, INC.
-------------------------------
(Exact name of registrant as specified in its charter)
DELAWARE 1-988 13-3639257
-------------- -------------- ------------------
(State or other (Commission (I.R.S. Employer
jurisdiction of File No.) Identification No.)
incorporation)
1526 COLE BLVD., SUITE 300, GOLDEN, COLORADO 80401
--------------------------------------------- -----------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: 303-202-2400
-------------
- --------------------------------------------------------------------------------
<PAGE>
THE COLEMAN COMPANY, INC.
The following financial statements of businesses acquired and pro forma
financial information is provided by The Coleman Company, Inc. ("Coleman" or the
"Company") in connection with its acquisition of Application des Gaz, S.A.
("ADG" or "Camping Gaz") as described in Coleman's Form 8-K dated June 28, 1996.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(a) FINANCIAL STATEMENTS OF BUSINESS ACQUIRED. The following historical
consolidated financial statements of ADG prepared in accordance with French
generally accepted accounting principles for the year ended December 31, 1995
are attached to this Form 8-K/A-1 as Exhibit 99.1:
Statutory Auditors' General Report
Consolidated Annual Accounts for the Year Ended December 31, 1995
(b) PRO FORMA FINANCIAL INFORMATION. The following pro forma financial
information is provided by the Company in connection with the acquisition of
Camping Gaz:
The unaudited balance sheet of the Company as of June 30, 1996 as reported
in the Company's Quarterly Report on Form 10-Q for the fiscal quarter ended June
30, 1996 (the "June 30, 1996 Form 10-Q") reflects the acquisition of
approximately 89% of the outstanding shares of ADG as of June 30, 1996. The pro
forma adjustments to the unaudited pro forma condensed combined balance sheet as
of June 30, 1996 relate entirely to the acquisition of the remaining outstanding
shares of ADG, approximately 11% of the outstanding shares, as if Coleman had
purchased those outstanding shares at June 30, 1996.
The unaudited Coleman condensed consolidated statement of earnings for the
six months ended June 30, 1996, as reported in the June 30, 1996 Form 10-Q,
includes the results of the Camping Gaz operations from March 1, 1996 through
June 30, 1996 and also includes recognition of minority interest in the earnings
of Camping Gaz related to the publicly traded shares for that same period.
Therefore, the pro forma adjustments to the unaudited pro forma condensed
combined statement of earnings for the six months ended June 30, 1996 relate to
the operations of Camping Gaz for the period January 1, 1996 through February
29, 1996 and to the elimination of the minority shareholders interest in the
earnings of Camping Gaz for the period March 1, 1996 through June 30, 1996 as if
Coleman had purchased 100% of the outstanding shares of Camping Gaz at January
1, 1996. The unaudited pro forma condensed combined statement of earnings for
the year ended December 31, 1995 has been prepared as if the purchase of 100% of
the outstanding shares of Camping Gaz had occurred as of the beginning of 1995.
The historical financial statements of Camping Gaz included in Item 7(a) as
Exhibit 99.1 are expressed in French Francs and prepared in accordance with
accounting principles generally accepted in France ("French GAAP"). Each of the
historical statements of earnings of Camping Gaz presented in the pro forma
statements of earnings in Item 7(b) have been adjusted so as to reflect pro
forma financial information prepared in accordance with accounting principles
generally accepted in the United States ("U.S. GAAP") and have been translated
into U.S. dollars at appropriate exchange rates. Net earnings for Camping Gaz
for the year ended December 31, 1995 prepared in accordance with U.S. GAAP are
$2.8 million and include a $0.4 million increase in net earnings as determined
in accordance with French GAAP for the year ended December 31, 1995. The $0.4
million increase in net earnings relates primarily to a reduction of
depreciation expense as determined in accordance with U.S. GAAP and the
associated increase in the provision for income taxes. The net loss for Camping
Gaz of $1.2 million included in the pro forma statement of earnings for the six
months ended June 30, 1996 is for the period January 1, 1996 through February
29, 1996 and includes primarily a $0.6 million after tax inventory write-off and
a $0.4 million after tax charge for litigation expense to adjust historical
earnings prepared in accordance with French GAAP to historical earnings prepared
in accordance with U.S. GAAP.
2
<PAGE>
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS (CONCLUDED)
The unaudited pro forma condensed combined financial statements reflect the
purchase method of accounting on an unaudited basis for the Camping Gaz
acquisition based upon preliminary purchase price allocations and reflect
certain other adjustments described in the notes. The pro forma results do not
purport to be indicative of what would have occurred had the acquisition of
Camping Gaz been consummated at the beginning of the periods presented.
Moreover, the pro forma information is not intended to be indicative of future
results of operations. The pro forma financial information should be read in
conjunction with the notes thereto and the historical financial statements and
the related notes thereto contained in the June 30, 1996 Form 10-Q incorporated
herein by reference and the 1995 Annual Report on Form 10-K of the Company.
See the unaudited pro forma condensed combined financial statements listed
in the accompanying Index to Unaudited Pro Forma Financial Statements on Page
F-1 herein.
(c) Exhibits
--------
Exhibit Number Description
-------------- -----------
23.1 Consent of Ernst & Young Audit and Claude Guit,
independent statutory auditors of Application des Gaz,
S.A.
99.1 Statutory Auditors' General Report and Consolidated
Annual Accounts for the Year Ended December 31, 1995 of
Application des Gaz, S.A.
3
<PAGE>
SIGNATURE
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.
THE COLEMAN COMPANY, INC.
(Registrant)
Date: August 27, 1996 By: /s/ George Mileusnic
---------------------- ----------------------------------
George Mileusnic
Executive Vice President and Chief
Financial Officer
4
<PAGE>
CURRENT REPORT ON FORM 8-K/A-1
ITEM 7(b)
INDEX TO UNAUDITED PRO FORMA FINANCIAL STATEMENTS
THE COLEMAN COMPANY, INC. AND SUBSIDIARIES
Page
----
The following unaudited condensed combined pro forma financial
statements of The Coleman Company, Inc. and Subsidiaries are
included in Item 7(b):
Unaudited Pro Forma Condensed Combined Balance Sheet as of
June 30, 1996.............................................. F-2
Unaudited Pro Forma Condensed Combined Statement of Earnings
for the Six Months Ended June 30, 1996..................... F-3
Unaudited Pro Forma Condensed Combined Statement of Earnings
for the Year Ended December 31, 1995....................... F-4
Notes to Unaudited Pro Forma Condensed Combined Financial
Statements................................................. F-5
F-1
<PAGE>
THE COLEMAN COMPANY, INC. AND SUBSIDIARIES
PRO FORMA CONDENSED COMBINED BALANCE SHEET
JUNE 30, 1996
(In thousands)
(Unaudited)
Pro Forma Pro Forma
Coleman Adjustments Combined
----------- ----------- -----------
ASSETS
Current assets:
Cash and cash equivalents............ $ 11,364 $ -- $ 11,364
Accounts receivable, net............. 370,409 -- 370,409
Inventories.......................... 291,995 -- 291,995
Deferred tax assets.................. 20,115 -- 20,115
Prepaid assets and other............. 20,788 -- 20,788
----------- ----------- -----------
Total current assets................. 714,671 -- 714,671
Property, plant and
equipment, net.................... 212,257 -- 212,257
Intangible assets related to
businesses acquired, net.......... 312,940 6,771 (1) 319,711
Deferred tax assets and other........ 41,885 (10,672)(1) 31,213
----------- ----------- -----------
$ 1,281,753 $(3,901) $ 1,277,852
----------- ----------- -----------
----------- ----------- -----------
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts and notes payable........... $ 203,519 $ -- $ 203,519
Other current liabilities............ 113,932 -- 113,932
----------- ----------- -----------
Total current liabilities......... 317,451 -- 317,451
Long-term debt....................... 558,537 -- 558,537
Other liabilities.................... 65,909 -- 65,909
Minority interest.................... 5,393 (3,901)(1) 1,492
Stockholders' equity................. 334,463 -- 334,463
----------- ----------- -----------
$ 1,281,753 $(3,901) $ 1,277,852
----------- ----------- -----------
----------- ----------- -----------
See Notes to Pro Forma Condensed Combined Financial Statements
F-2
<PAGE>
THE COLEMAN COMPANY, INC. AND SUBSIDIARIES
PRO FORMA CONDENSED COMBINED STATEMENT OF EARNINGS
SIX MONTHS ENDED JUNE 30, 1996
(In thousands, except share data)
(Unaudited)
<TABLE>
<CAPTION>
Camping Pro Forma Pro Forma
Coleman Gaz (a) Adjustments Combined
--------- -------- ----------- ---------
<S> <C> <C> <C> <C>
Net revenues.............................. $ 726,214 $ 26,154 $ -- $ 752,368
Cost of sales............................. 507,710 17,451 -- 525,161
--------- -------- ----------- ---------
Gross profit.............................. 218,504 8,703 -- 227,207
Selling, general
and administrative expenses............ 125,653 10,483 -- 136,136
Interest expense.......................... 18,813 173 1,730 (3) 20,716
Amortization of goodwill
and deferred charges................... 5,144 -- 347 (4) 5,491
Other expense, net........................ 657 (4) -- 653
--------- -------- ----------- ---------
Earnings (loss) before income taxes,
taxes, minority interest,
and extraordinary item................. 68,237 (1,949) (2,077) 64,211
Provision for income taxes................ 23,201 (731) (1,510)(5) 20,960
Minority interest......................... 1,951 (22) (1,602)(2) 327
--------- -------- ----------- ---------
Earnings (loss)
before extraordinary item.............. $ 43,085 $ (1,196) $ 1,035 $ 42,924
--------- -------- ----------- ---------
--------- -------- ----------- ---------
Earnings per share
before extraordinary item.............. $ 0.81 $ 0.81
--------- ---------
--------- ---------
Weighted average shares
outstanding............................ 53,178 53,178
--------- ---------
--------- ---------
</TABLE>
(a) For the period January 1, 1996 through February 29, 1996
See Notes to Pro Forma Condensed Combined Financial Statements
F-3
<PAGE>
THE COLEMAN COMPANY, INC. AND SUBSIDIARIES
PRO FORMA CONDENSED COMBINED STATEMENT OF EARNINGS
YEAR ENDED DECEMBER 31, 1995
(In thousands, except share data)
(Unaudited)
<TABLE>
<CAPTION>
Camping Pro Forma Pro Forma
Coleman Gaz Adjustments Combined
--------- --------- ----------- -----------
<S> <C> <C> <C> <C>
Net revenues............................ $ 933,574 $ 196,987 $ -- $ 1,130,561
Cost of sales........................... 649,427 121,930 -- 771,357
--------- --------- ----------- -----------
Gross profit............................ 284,147 75,057 -- 359,204
Selling, general
and administrative expenses.......... 174,688 67,515 -- 242,203
Asset impairment charge................. 12,289 -- -- 12,289
Interest expense........................ 24,545 1,903 7,281 (3) 33,729
Amortization of goodwill
and deferred charges................. 7,745 -- 1,688 (4) 9,433
Other expense, net...................... 334 605 -- 939
--------- --------- ----------- -----------
Earnings (loss) before income
taxes, minority interest,
and extraordinary item............... 64,546 5,034 (8,969) 60,611
Provision for income taxes.............. 24,479 1,799 (5,275)(5) 21,003
Minority interest....................... -- 405 -- 405
--------- --------- ----------- -----------
Earnings (loss)
before extraordinary item............ $ 40,067 $ 2,830 $ (3,694) $ 39,203
--------- --------- ----------- -----------
--------- --------- ----------- -----------
Earnings per share
before extraordinary item............ $ 0.75 $ 0.74
--------- -----------
--------- -----------
Weighted average shares
outstanding.......................... 53,226 53,226
--------- ---------
--------- ---------
</TABLE>
See Notes to Pro Forma Condensed Combined Financial Statements
F-4
<PAGE>
THE COLEMAN COMPANY, INC. AND SUBSIDIARIES
NOTES TO PRO FORMA CONDENSED COMBINED FINANCIAL STATEMENTS
(In thousands)
(Unaudited)
A. BASIS OF FINANCIAL STATEMENT PRESENTATION
On February 28, 1996, The Coleman Company, Inc. ("Coleman" or the
"Company") and Butagaz S.N.C. ("Butagaz"), a subsidiary of Societe de Petroles
Shell S.A., jointly announced they had entered into an agreement (the "Share
Purchase Agreement") in connection with the sale to Coleman of approximately 60
percent of the outstanding shares of Application des Gaz, S.A. ("ADG" or
"Camping Gaz"). Pursuant to the terms of the Share Purchase Agreement and other
related documents dated February 27, 1996, Coleman has the right to, and intends
to, acquire the remaining shares held by Butagaz, which represent approximately
10% of the outstanding shares of ADG, and accordingly considers this 10% stock
ownership as under the control of the Company. The Company obtained effective
control of Camping Gaz on March 1, 1996. Camping Gaz is the leading
manufacturer and distributor of camping appliances in Europe.
On June 24, 1996, Coleman commenced a public tender offer for the purchase
of all the publicly traded outstanding shares of ADG, or approximately 30% of
the outstanding shares. The tender offer period expired in July 1996 with
approximately 28% of the outstanding shares of ADG tendered for purchase. The
Company is currently completing the necessary steps to acquire the remaining
publicly held stock and expects to complete those actions during the third
quarter of 1996. The acquisition of Camping Gaz is being accounted for under
the purchase method. In connection with the preliminary allocation of purchase
price to the fair values of assets and liabilities acquired, the Company
recorded goodwill of approximately $60,682, which is being amortized over 40
years on the straight-line method. The Company has included the results of
operations of Camping Gaz in the historical consolidated financial statements of
the Company from March 1, 1996, the date on which the Company obtained effective
control of Camping Gaz, and has recognized minority interest related to the
publicly traded shares for the period March 1, 1996 through June 30, 1996.
The pro forma adjustments to the June 30, 1996 unaudited pro forma
condensed combined balance sheet relate entirely to the acquisition of the
remaining outstanding shares of ADG, or approximately 11% of the outstanding
shares, as if Coleman had purchased those outstanding shares at June 30, 1996.
The unaudited Coleman condensed consolidated statement of earnings for the
six months ended June 30, 1996, as reported in the Company's Quarterly Report on
Form 10-Q for the fiscal quarter ended June 30, 1996 (the "June 30, 1996 Form
10-Q"), includes the results of the Camping Gaz operations from March 1, 1996
through June 30, 1996 and also includes recognition of minority interest in the
earnings of Camping Gaz related to the publicly traded shares of Camping Gaz for
that same period. Therefore, the pro forma adjustments to the unaudited pro
forma condensed combined statement of earnings for the six months ended June
30, 1996 relate to the operations of Camping Gaz for the period January 1, 1996
through February 29, 1996 and to the elimination of the minority interest in the
earnings of Camping Gaz for the period March 1, 1996 through June 30, 1996 as if
Coleman had purchased 100% of the outstanding shares of Camping Gaz at January
1, 1996. The unaudited pro forma condensed combined statement of earnings for
the year ended December 31, 1995 has been prepared as if the purchase of 100% of
the outstanding shares of Camping Gaz had occurred as of the beginning of 1995.
F-5
<PAGE>
THE COLEMAN COMPANY, INC. AND SUBSIDIARIES
NOTES TO PRO FORMA CONDENSED COMBINED FINANCIAL STATEMENTS (CONTINUED)
(In thousands)
(Unaudited)
The historical statements of earnings of Camping Gaz presented in the pro
forma condensed combined statements of earnings are derived from the historical
financial statements of Camping Gaz expressed in French francs and prepared in
accordance with accounting principles generally accepted in France ("French
GAAP") and have been adjusted so as to reflect pro forma financial information
prepared in accordance with accounting principles generally accepted in the
United States ("U.S. GAAP") and translated into U.S. dollars at appropriate
exchange rates. Net earnings for Camping Gaz for the year ended December 31,
1995 prepared in accordance with U.S. GAAP are $2,830 and include a $445
increase in net earnings as determined in accordance with French GAAP for the
year ended December 31, 1995. The $445 increase in net earnings relates
primarily to a reduction of depreciation expense as determined in accordance
with U.S. GAAP and the associated increase in the provision for income taxes.
The net loss for Camping Gaz of $1,196 included in the pro forma statement of
earnings for the six months ended June 30, 1996 is for the period January 1,
1996 through February 29, 1996 and includes primarily a $570 after tax inventory
write-off and a $380 after tax charge for litigation expense to adjust
historical earnings prepared in accordance with French GAAP to historical
earnings prepared in accordance with U.S. GAAP.
The unaudited pro forma condensed combined financial statements reflect the
purchase method of accounting on an unaudited basis for the Camping Gaz
acquisition based upon preliminary purchase price allocations and reflect
certain other adjustments described in the notes. The pro forma results do not
purport to be indicative of what would have occurred had the acquisition of
Camping Gaz been consummated at the beginning of the periods presented.
Moreover, the pro forma information is not intended to be indicative of future
results of operations.
B. PRO FORMA ADJUSTMENTS
1. The acquisition cost of the remaining outstanding publicly traded shares of
Camping Gaz at June 30, 1996 was approximately $10,672. The acquisition
cost was financed with funds that had been placed in escrow at June 30,
1996 and classified as non-current assets in the June 30, 1996 consolidated
balance sheet. Pro forma adjustments are made to record the preliminary
purchase price allocation related to the acquisition of the remaining
outstanding publicly traded shares of Camping Gaz and to eliminate minority
interest related to the publicly traded shares of Camping Gaz at June 30,
1996 and reflected in the June 30, 1996 consolidated balance sheet.
2. Elimination of minority interest related to the publicly traded shares of
Camping Gaz at June 30, 1996 and reflected in the June 30, 1996
consolidated statement of earnings.
F-6
<PAGE>
THE COLEMAN COMPANY, INC. AND SUBSIDIARIES
NOTES TO PRO FORMA CONDENSED COMBINED FINANCIAL STATEMENTS (CONCLUDED)
(In thousands)
(Unaudited)
3. Interest on borrowings to finance the acquisition of 100% of the
outstanding shares of Camping Gaz using the approximate interest rates that
would have been incurred under Coleman's credit agreements would have
increased interest expense as follows:
Six Months Ended Year Ended
June 30, 1996 December 31, 1995
---------------- -----------------
Pro forma interest on
Camping Gaz acquisition $ 1,730 $ 7,281
-------- --------
-------- --------
A one-eighth (1/8) percentage point change in the assumed interest rate
would change the pro forma interest expense by approximately $62 and $123
for the six months ended June 30, 1996 and the year ended December 31,
1995, respectively.
4. To amortize goodwill associated with the Camping Gaz acquisition over 40
years.
5. Pro forma income tax adjustment to adjust the pro forma combined income tax
provision to the estimated annual effective tax rate for the six month
period ended June 30, 1996 and to adjust the pro forma income tax provision
for the year ended December 31, 1995.
F-7
<PAGE>
EXHIBIT 23.1
CONSENT OF INDEPENDENT AUDITORS
We consent to the incorporation by reference in the Registration Statement dated
February 25, 1993 (Form S-8, No. 33-58726) pertaining to The Coleman Company,
Inc.'s 1992 Stock Option Plan and in the Registration Statement dated January
18, 1994 (Form S-8, No. 33-74144) pertaining to The Coleman Company, Inc.'s
1993 Stock Option Plan, of our report dated March 20, 1996, with respect to the
consolidated financial statements of the Application des Gaz Company included
in the amendment to the Current Report on Form 8-K/A-1 of The Coleman Company,
Inc. to be filed with the Securities and Exchange Commission on or about August
28, 1996.
The Statutory Auditors
/s/ Claude GUIT /s/ Daniel Mary-Dauphin
- ---------------------- -----------------------
Claude GUIT ERNST & YOUNG Audit
Daniel Mary-Dauphin
Saint-Maur-des-Posses, France Villeurbanne, France
August 26, 1996
<PAGE>
APPLICATION DES GAZ, S.A.
STATUTORY AUDITORS' REPORT
CONSOLIDATED ACCOUNTS
YEAR ENDED DECEMBER 31, 1995
(Free translation of the French original)
[LETTERHEAD]
<PAGE>
[LETTERHEAD]
STATUTORY AUDITORS
MEMBERS OF THE REGIONAL COMPANY OF PARIS
APPLICATION DES GAZ, S.A.
AUDITORS' REPORT
CONSOLIDATED ACCOUNTS
YEAR ENDED DECEMBER 31, 1995
(Free translation of the French original)
In our capacity as statutory auditors, we have audited the accompanying
consolidated accounts of the Application des Gaz Company as of December 31,
1995.
These consolidated accounts are the responsibility of the Company's
management. Our responsibility is to express an opinion on these accounts
based on our audit.
We conducted our audit in accordance with French auditing standards. Those
standards require that we plan and perform the audit to obtain reasonable
assurance about whether the consolidated accounts are free of material
misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the consolidated accounts. An
audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall consolidated
account presentation. We believe that our audit provides a reasonable basis
for our opinion.
In our opinion, the consolidated accounts present fairly, in all material
respects, the financial position of the Group as of December 31, 1995 and the
results of the Group's operations included in the consolidation for the year
then ended.
<PAGE>
We have also reviewed the information relating to the Group contained in the
Directors' report.
We have nothing to report with respect to the fairness of such information.
The Statutory Auditors
Claude GUIT ERNST & YOUNG Audit
/s/ Claude GUIT /s/ Daniel Mary-Dauphin
- ---------------- -----------------------
March 20, 1996
ERNST & YOUNG AUDIT - FRANCE - LYON OFFICE 3
<PAGE>
GROUPE CAMPING GAZ
- ----------------------------------------------------------------------------
CONSOLIDATED BALANCE SHEET
DECEMBER 31, 1995
(in thousands of French francs)
- ----------------------------------------------------------------------------
ASSETS Notes 1995 1994
- ----------------------------------------------------------------------------
FIXED ASSETS, INVESTMENTS AND INTANGIBLE ASSETS
Intangible assets 3 1,844 2,815
Fixed assets 3 181,846 163,249
Financial assets 3 3,422 4,513
TOTAL 187,112 170,577
- ----------------------------------------------------------------------------
CURRENT ASSETS
Inventories 4 196,524 196,059
Accounts receivable 5 146,690 131,374
Other receivables 6 65,223 81,239
Marketable securities 9 1,927 5
Cash and cash equivalents 9 8,693 15,917
TOTAL 419,057 424,594
- ----------------------------------------------------------------------------
TOTAL ASSETS 606,169 595,171
- ----------------------------------------------------------------------------
- ----------------------------------------------------------------------------
LIABILITIES Notes 1995 1994
- ----------------------------------------------------------------------------
STOCKHOLDERS' EQUITY (before distribution of
current year net income)
Common stock 7 11,966 11,966
Statutory reserves 7 204,532 213,257
Income for the year 7 11,900 18,479
TOTAL 228,398 243,702
- ----------------------------------------------------------------------------
LIABILITIES - LONG-TERM
Minority interest 7,124 10,087
Provisions for losses and charges 8 23,016 21,892
Debt to financial institutions 9 4,047 7,540
TOTAL 34,187 39,519
- ----------------------------------------------------------------------------
LIABILITIES - CURRENT
Debt to financial institutions 9 102,462 79,652
Accounts payable 117,829 105,562
Other liabilities 10 123,293 126,736
TOTAL 343,584 311,950
- ----------------------------------------------------------------------------
TOTAL LIABILITIES 606,169 595,171
- ----------------------------------------------------------------------------
The notes to the consolidated financial statements are an integral part of
these statements.
<PAGE>
GROUPE CAMPING GAZ
- ----------------------------------------------------------------------------
CONSOLIDATED INCOME STATEMENT
FISCAL YEAR 1995
(in thousands of French francs)
- ----------------------------------------------------------------------------
Notes 1995 1994
- ----------------------------------------------------------------------------
Revenues 19-20 1,028,536 1,013,174
Cost of sales and operating expenses 11 -983,548 -962,338
OPERATING INCOME 44,988 50,836
Net interest expense 12 -17,600 -12,981
OPERATING INCOME AFTER NET INTEREST EXPENSE 27,388 37,855
Net extraordinary expense 13 -5,834 -7,385
NET INCOME BEFORE PROFIT-SHARING,
INCOME TAXES AND MINORITY INTEREST 21,554 30,470
Profit-sharing -3,581
Income taxes 14 -7,500 -6,833
Minority interest -2,019 -1,577
Amortization of acquisition difference -135
NET GROUP INCOME 11,900 18,479
- ----------------------------------------------------------------------------
EARNINGS PER SHARE (in French francs) 9.94 15.44
- ----------------------------------------------------------------------------
The notes to the consolidated financial statements are an integral part of
these statements.
<PAGE>
GROUPE CAMPING GAZ
- ----------------------------------------------------------------------------
1 - CONSOLIDATION ACCOUNTING PRINCIPLES (in thousands of French francs and
at December 31, 1995)
The consolidated financial statements have been prepared in accordance with
the applicable laws and regulations currently enacted in France.
The financial statements of those entities in the consolidated group which
have been prepared in accordance with accounting principles generally
accepted in the foreign country in which these entities are located have been
adjusted before consolidation to conform with the accounting principles used
by the Group.
1.1 PRINCIPLES OF CONSOLIDATION
All material subsidiaries under the direct or indirect control of ADG have
been consolidated. There were no material subsidiaries eligible to be
accounted for under the proportional method. The list of entities included
in the consolidation perimeter at December 31, 1995 is included in Note 2.
1.2 TRANSLATION OF FINANCIAL STATEMENTS, LIABILITIES AND RECEIVABLES
DENOMINATED IN FOREIGN CURRENCIES
The financial statements of foreign subsidiaries have been translated as
follows:
- - Balance sheet accounts have been translated at the year-end exchange rate.
- - Income statement accounts have been translated at the average exchange
rate for the year.
The effect of changes in exchange rates between fiscal years and the
difference between the end-of-year and average exchange rates are reflected
in Stockholders' Equity.
Liabilities and receivables denominated in foreign currencies have been
translated at the year-end exchange rate.
Unrealized translation gains have not been recognized in the financial
statements. Unhedged unrealized losses are reflected in provisions for
losses.
1.3 FIXED ASSETS
Fixed assets are stated at cost, except for those French entities whose
assets have been revalued under the provisions of the statutory revaluation
act of 1976.
Depreciation of fixed assets is computed on the straight-line method for all
Group entities. The useful lives are as follows:
- - Buildings 20 years
- - Improvements 10 years
- - Equipment 6 years
- - Tools 3 years
- - Tank tools 10 years
Fixed assets under leasing arrangements are not included in assets. The
leasing commitments under leasing arrangements are included in a separate
note.
1.4 INVENTORIES, TANKS AND WORK-IN-PROGRESS
Inventories, tanks and work-in-progress are stated at the lower of
acquisition or production cost, or net realizable value.
1.5 DEFERRED TAXES
Deferred taxes have been provided under the deferred method on the following
amounts:
- - all temporary differences,
- - consolidation adjustments,
- - net operating loss carryforwards and deferred tax depreciation realizable
in the near future.
In application of the rule of prudence, if total deferred tax assets exceed
total deferred tax liabilities, the amount of total deferred tax assets
recognized in the financial statements is limited to the amount of total
deferred tax liabilities.
1.6 LUMP-SUM RETIREMENT BENEFITS
Lump-sum retirement benefits are estimated based on current salaries and have
not been subjected to an actuarial calculation. They have not been recorded
in the accompanying balance sheets, except for those of the German, Japanese
and Austrian subsidiaries.
1.7 RESEARCH AND DEVELOPMENT EXPENSES
All research and development costs are expensed as incurred.
<PAGE>
GROUPE CAMPING GAZ
- -----------------------------------------------------------------------------
2 - CONSOLIDATED COMPANIES
- -----------------------------------------------------------------------------
COUNTRY 1995 1994
% %
OF CONTROL
Application des Gaz France Consolidating company
Camping Gaz International Deutschland GmbH Germany 100.00 100.00
Camping Gaz Italie SRL Italy 100.00 100.00
Camping Gas Great Britain Ltd Great Britain 100.00 100.00
Camping Gaz KK Japan 100.00 100.00
Camping Gaz International Portugal Ltda Portugal 99.96 51.00
Camping Gaz Suisse AG Switzerland 99.50 99.50
Neves Caria Portugal 99.68 99.68
PT Camping Gas Indonesia Indonesia 55.00 55.00
Camping Gaz Philippines Inc Philippines 75.99 75.99
Camping Gaz KFT Hungary 100.00 100.00
Camping Gaz CS SPOL SRO Czech Republic 70.00 70.00
Camping Gaz GmbH Austria 100.00 100.00
- -------------------------------------------------------------------------
3 - FIXED ASSETS
<TABLE>
- ----------------------------------------------------------------------------------------
GROSS VALUE EXCHANGE 1995 GROSS VALUE
AT 01/01/95 VARIATIONS INCREASES DECREASES AT 12/31/95
- ----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
INTANGIBLE ASSETS
Patents and trademarks 6,788 335 813 6,310
Intangible client base 9,554 48 9,602
CGID intangibles 8,400 135 8,535
Software 7,795 -200 623 497 7,721
TOTAL 32,537 -152 1,093 1,310 32,168
AMORTIZATION 29,723 -82 1,946 1,263 30,324
- ----------------------------------------------------------------------------------------
TANGIBLE ASSETS
Land 10,955 -197 72 31 10,799
Buildings 69,226 -972 3,907 415 71,746
Plant and equipment 230,512 -2,491 82,173 9,738 300,456
Container base inventory 23,192 -168 6,002 870 28,156
Fixed assets under
construction 48,450 -5,337 -22,739 20,374
Advance payments on
tangibles 8,878 -4,381 4,497
TOTAL 391,213 -9,165 65,034 11,054 436,028
DEPRECIATION 227,964 -2,200 37,837 9,419 254,182
- ----------------------------------------------------------------------------------------
FINANCIAL ASSETS
Investments 584 584
Amounts receivable from
related companies 321 22 343
Other equity securities 275 -3 272
Other financial assets 4,368 -272 796 3,300
TOTAL 5,548 -275 22 796 4,499
PROVISIONS 1,035 42 1,077
- ----------------------------------------------------------------------------------------
</TABLE>
<PAGE>
GROUPE CAMPING GAZ
- ----------------------------------------------------------------------------
4 - INVENTORIES
- ----------------------------------------------
1995 1994
- ----------------------------------------------
- - Raw materials 42,579 35,840
- - Work-in-progress 14,380 7,846
- - Finished goods 126,567 128,696
- - Containers 19,476 30,783
- - Inventory provisions 6,478 7,106
5 - ACCOUNTS RECEIVABLE
- -----------------------------------------------------------
1995 1994
- -----------------------------------------------------------
- - Accounts receivable 151,459 135,644
- - Provision for doubtful receivables 4,769 4,270
6 - OTHER ASSETS
- -----------------------------------------------------------
1995 1994
- -----------------------------------------------------------
- - Deferred tax assets 13,440 12,624
- - Prepaid expenses 4,705 4,899
- - Taxes receivable and other 47,078 63,716
7 - CHANGES IN STOCKHOLDERS' EQUITY
- -----------------------------------------------------------
1995 1994
- -----------------------------------------------------------
STOCKHOLDERS' EQUITY AT
BEGINNING OF YEAR 243,702 251,065
- - Dividends paid -25,023 -25,491
- - Net income 11,900 18,480
- - Changes in reserves 0 0
- - Exchange differences -2,228 -384
- - Other 47 32
STOCKHOLDERS' EQUITY AT END OF YEAR 228,398 243,702
8 - PROVISIONS FOR LOSSES AND CHARGES
- -----------------------------------------------------------
AT CHG. AT
12/31/94 12/31/95
- -----------------------------------------------------------
- - General provision for
doubtful receivables 3,000 3,000
- - Litigation and
miscellaneous 1,245 375 1,620
- - Guarantees 2,575 140 2,715
- - Unrealized translation losses 2,172 10 2,182
- - Personnel 2,000 227 2,227
- - Retirement 9,085 550 9,635
- - Other charges 1,815 -178 1,637
<PAGE>
GROUPE CAMPING GAZ
- ----------------------------------------------------------------------------
9 - CHANGE IN NET DEBT DUE TO FINANCIAL INSTITUTIONS
- ----------------------------------------------------------------------------
1995 1994
- ----------------------------------------------------------------------------
Loans and debt due to financial institutions - long term 4,047 7,540
Loans and debt due to financial institutions - current 102,462 79,652
- ----------------------------------------------------------------------------
A - GROSS DEBT DUE TO FINANCIAL INSTITUTIONS 106,509 87,192
- ----------------------------------------------------------------------------
Marketable securities 1,927 5
Cash and cash equivalents 8,693 15,917
- ----------------------------------------------------------------------------
B - FINANCIAL ASSETS 10,620 15,922
- ----------------------------------------------------------------------------
C - NET DEBT DUE TO FINANCIAL INSTITUTIONS AT
DECEMBER 31 (A MINUS B) 95,889 71,270
- ----------------------------------------------------------------------------
D - NET DEBT DUE TO FINANCIAL INSTITUTIONS AT JANUARY 1 71,270 75,779
- ----------------------------------------------------------------------------
E - INCREASE/DECREASE IN NET DEBT DUE TO
FINANCIAL INSTITUTIONS 24,619 -4,509
- ----------------------------------------------------------------------------
Fair value of marketable securities 1,927 5
- ----------------------------------------------------------------------------
<PAGE>
GROUPE CAMPING GAZ
- ----------------------------------------------------------------------------
10 - OTHER LIABILITIES
- ----------------------------------------------------------------------------
1995 1994
- ----------------------------------------------------------------------------
- - Taxes payable - current 3,347 1,094
- - Accrued payroll and taxes 36,978 41,296
- - Accounts payable to fixed assets vendors 6,733 10,178
- - Other accrued liabilities 59,498 57,522
- - Deferred taxes 16,737 16,645
11 - OPERATING REVENUES AND EXPENSES
- ----------------------------------------------------------------------------
1995 1994
- ----------------------------------------------------------------------------
- - Cost of sales 473,374 482,447
- - Payroll and payroll taxes 240,165 237,988
- - Other operating expenses 228,883 225,189
- - Depreciation, amortization and provisions 41,126 16,714
12 - FINANCIAL INCOME AND EXPENSES
- ----------------------------------------------------------------------------
1995 1994
- ----------------------------------------------------------------------------
- - Interest and financial expenses -19,743 -19,440
- - Interest and financial income 254 3,073
- - Exchange gains 1,889 3,386
13 - EXTRAORDINARY INCOME AND EXPENSE
- ----------------------------------------------------------------------------
1995 1994
- ----------------------------------------------------------------------------
- - Disposal of fixed assets -477 2,004
- - Termination payment -3,663 -4,926
- - Inventory returns -4,254
- - Litigation costs 346 -774
- - CGO goodwill amortization -787 0
- - ROSE/CGGB activity exit cost -1,087 0
- - Other -170 565
14 - INCOME TAXES
- ----------------------------------------------------------------------------
1995 1994
- ----------------------------------------------------------------------------
- - Income taxes - current 7,638 4,177
- - Income taxes - deferred -724 2,130
- - Excess dividends distribution 586 526
15 - COMMITMENTS
- ----------------------------------------------------------------------------
1995 1994
- ----------------------------------------------------------------------------
- - Leasing arrangements 9,598 12,882
- - Foreign currency forward contracts purchased 0 19,523
- - Foreign currency forward contracts sold 293 29,281
- - Consolidated liabilities secured by tangible assets 3,088 3,070
<PAGE>
GROUPE CAMPING GAZ
- ----------------------------------------------------------------------------
16 - COMPENSATION OF OFFICERS
- ----------------------------------------------------------------------------
This information is not supplied, as it would result in disclosing individual
compensation amounts.
- ----------------------------------------------------------------------------
17 - AVERAGE MONTHLY HEADCOUNT
- ----------------------------------------------------------------------------
- 1995 1,227
- 1994 1,235
- ----------------------------------------------------------------------------
18 - RETIREMENT BENEFIT COMMITMENTS
- ----------------------------------------------------------------------------
Commitments for retirement benefits not provided for and not covered by
retirement insurance is approximately 25,940,000 FRF. Such obligations
relating to the German, Japanese and Austrian subsidiaries are provided for
and amount to 9,635,000 FRF.
19 - EXCHANGE RATES USED
- ----------------------------------------------------------------------------
COUNTRY CURRENCY AVERAGE RATE END OF YEAR RATE
- ----------------------------------------------------------------------------
GERMANY 1 DEM 3.48 3.42
UNITED KINGDOM 1 GBP 7.87 7.60
ITALY 1,000 ITL 3.07 3.09
PORTUGAL 100 PTE 3.327 3.28
JAPAN 100 JPY 5.33 4.75
SWITZERLAND 1 CHF 4.22 4.26
HONG KONG 100 HKD 63.4
INDONESIA 1,000 IDR 2.20 2.11
PHILIPPINES 100 PHP 19.15 18.7
HUNGARY 100 HUF 3.94 3.51
CZECH REPUBLIC 100 CSK 18.75 18.40
AUSTRIA 100 ATS 49.60 48.60
<PAGE>
GROUPE CAMPING GAZ
- ----------------------------------------------------------------------------
20 - DISTRIBUTION OF CONSOLIDATED SALES
- ----------------------------------------------------------------------------
1995 1994 % CHANGE
- ----------------------------------------------------------------------------
GAS 299,572 292,980 +2.25
EQUIPMENT 728,964 720,194 +1.22
TOTAL 1,028,536 1,013,174 N.S.
- ----------------------------------------------------------------------------
21 - INFORMATION BY GEOGRAPHIC AREAS
- ----------------------------------------------------------------------------
EUROPE ASIA REST OF THE WORLD TOTAL
- ----------------------------------------------------------------------------
SALES
1995 822,156 160,613 45,767 1,028,536
1994 816,590 159,133 37,451 1,013,174
PAYROLL EXPENSES
1995 222,679 17,485 240,164
1994 218,142 19,846 237,988
AVERAGE HEADCOUNT
1995 965 262 1,227
1994 986 249 1,235
