SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 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): September 15, 1996
Sea Galley Stores, Inc.
(Exact name of Registrant as specified in its charter)
Delaware 1-10111 91-0838080
(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
14424 - 52nd Pl. W., Edmonds, WA 98026
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (206) 742-7042
Page 1 of 3
<PAGE>
Item 5. Other Events.
By letter dated March 24, 1995, the Commission staff granted the
Registrant's request for relief from the obligation to file reports on Form
10-K or Form 10-Q during the pendency of its bankruptcy proceedings in the
United States Bankruptcy Court for the Western District of Washington, at
Seattle (the "Court"). In lieu thereof, the Registrant had undertaken to
file with the Commission under cover of Form 8-K copies of certain periodic
reports that the Registrant is required by the United States Trustee to
file with the Court.
The report of the Registrant covering the month ended August 31,
1996 has been filed with the Court and is included as an exhibit to this
report. The due date for the filing of the report with the Court was
September 15, 1996. The report is available for public review and copying
in the Office of the Clerk of the Court.
Item 7(c). Exhibit.
99.19 Report to the U.S. Trustee for the month ended
August 31, 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 hereto duly authorized.
Registrant:
SEA GALLEY STORES, INC.
September 30, 1996 By: JAN F. YOUNG
-------------------------------
Jan F. Young, President
Page 2 of 3
<PAGE>
EXHIBIT INDEX
Sequentially
Exhibit Numbered
Number Description Page
- ------ ----------- -------------
99.19 Report to the U.S. Trustee for the month
ended August 31, 1996
Page 3 of 3
OFFICE OF THE U.S. TRUSTEE - REGION 18 UST-3
SEATTLE, WASHINGTON 12/1/91
MONTHLY REPORTING REQUIREMENTS
CORPORATIONS AND PARTNERSHIPS
All Chapter 11 debtors (other than individuals) must serve the U.S. Trustee
and the U.S. Bankruptcy Court with the documents and reports identified
below no later than the 15th day of the month following the end of the
month covered by the report.
Debtor Name: Sea Galley Stores, Inc.
Case Number: 94-08946 For the Month Ending August 31, 1996
========================================================================
Document Previously Explanation
Required Documents Attached Submitted Attached
------------------ -------- --------- --------
1. Income Statement (profit (x) ( ) ( )
and loss statement).
2. Comparative Balance Sheet. (x) ( ) ( )
3. Statement of Cash Receipts (x) ( ) ( )
and Disbursements.
4. Statement of Aged Receivables. (x) ( ) ( )
5. Statement of Aged Payables. (x) ( ) ( )
6. Statement of Operations, (x) ( ) ( )
Taxes, Insurance and
Personnel.
7. Copy of Bank Statements. (x) ( ) ( )
8. Quarterly Statement of
Disbursements and U.S. Trustee ( ) ( ) ( )
Quarterly Fees Paid.
The undersigned certifies under penalty of perjury (28 U.S.C. section 1746)
that the information contained in this and accompanying reports is
complete, true and correct to the best of my knowledge, information and
belief.
By: JAN F. YOUNG Dated: 9-25, 1996
President & C.E.O
Title of Debtor Representative
<PAGE>
OFFICE OF THE U.S. TRUSTEE - REGION 18 UST-4
SEATTLE, WASHINGTON 12/1/91
INCOME STATEMENT
Debtor Name: Sea Galley Stores, Inc.
Case Number: 94-08946 For the Month Ending August 31, 1996
(SEE ATTTACHED INCOME STATEMENT)
<PAGE>
<TABLE>
<CAPTION>
SEA GALLEY STORES INC.
STATEMENT OF EARNINGS AND RETAINED EARNINGS
AS OF 8/31/96
(UNAUDITED)
6/30/96 7/31/96 8/31/96
------- ------- -------
<S> <C> <C> <C>
INCOME:
MISCELLANEOUS 412.01 (412.91) (2) 639.13
REFUND FROM INSURANCE 0.00 0.00 0.00
REFUND FROM OLSENS (PREFERENCE PAYMENT) 0.00 0.00 0.00
REFUND FROM CBL(PREFERENCE PAYMENT) 0.00 0.00 0.00
REFUND FROM HASTINGS ESTATES (PREF PAY) 0.00 0.00 0.00
-------- -------- --------
GROSS INCOME 412.91 (412.91) 639.13
EXPENSES:
CONSULTING\PAYROLL 1,500.00 1,500.00 2,306.00
LEGAL\401K AUDIT 0.00 0.00 0.00
TRANSFER AGENT ADJUSTED FEES 0.00 0.00 0.00
RENT 500.00 500.00 500.00
INTEREST ON REALTORS FEES 0.00 0.00 0.00
WRITE OFF FOOD & RESTAURANT SERVICES 0.00 0.00 0.00
MAINTENANCE\PUMPHOUSE\ASCAP 0.00 0.00 (1) 0.00 (1)
PHONE 162.54 97.27 127.35
POSTAGE\OFFICE EXP\CASUAL LABOR 0.00 0.00 3.78
U.S.TRUSTEE FEES 0.00 0.00 500.00
-------- -------- --------
TOTAL PERIOD EXPENSE 2,162.54 2,097.27 3,439.13
NET INCOME FOR PERIOD (1,749.63) (2,510.18) (2,600.00)
ADJUST BALANCE SHEET TO ACTUAL 0.00 0.00 0.00
-------- -------- --------
ADJUSTED BALANCE SHEET
INCOME (LOSS) (1,749.63) (2,510.18) (2,600.00)
-------- -------- --------
<FN>
(1) Ascap and Industrial Services sent us final bills
</FN>
</TABLE>
<PAGE>
OFFICE OF THE U.S. TRUSTEE - REGION 18 UST-5
SEATTLE, WASHINGTON 12/1/91
COMPARATIVE BALANCE SHEET
As of August 31, 1996
Debtor Name: Sea Galley Stores, Inc.
Case Number: 94-08946
(SEE ATTACHED COMPARATIVE BALANCE SHEET)
FOOTNOTES:
* Explain significant events, including contingent liabilities and pending
lawsuits, which may have a major effect on the financial condition of the
debtor.
* Value assets at lower of cost or market and identify which method is
being used.
* Explain the method of inventory valuation if other than the lower of cost
or market is used.
* Identify any changes in stock holdings of "insiders" during
the reporting period.
* Insider is defined in 11 USC Section 101(30) as a general partner,
relative, officer, director, affiliate or person in control.
<PAGE>
<TABLE>
<CAPTION>
COMPARATIVE BALANCE SHEET
AS OF 8/31/96
DEBTOR NAME: SEA GALLEY STORES, INC.
ASSETS: 6/30/96 7/31/96 8/31/96
- ------- ------- ------- -------
<S> <C> <C> <C>
CURRENT ASSETS
CASH 334,029 331,538 328,617
ACCOUNTS RECEIVABLE 12,942 12,842 (1) 12,742 (1)
NOTES RECEIVABLE 93,675 93,853 (2) 93,675 (2)*
------- ------- -------
TOTAL CURRENT ASSETS 440,646 438,233 436,034
FIXED ASSETS:
LAND, BLDG, EQUIPMENT
LAND 0 0 (3) 0 (3)
BLDG 0 0 (3) 0 (3)
INT & IMPROV 0 0 (3) 0 (3)
OPERATING EQUIP 0 0 (3) 0 (3)
OTHER EQUIP & VEHICLES 0 0 (3) 0 (3)
PROP UNDER LEASE 0 0 (3) 0 (3)
------- ------- -------
TOTAL 0 0 (3) 0 (3)
------- ------- -------
ACCUM DEPRECIATION 0 0 (3) 0 (3)
------- ------- -------
NET 0 0 0
OTHER ASSETS:
DEPOSITS 202,865 202,865 202,865
INV IN AFFL 87,266 87,266 87,266
LIC. & L/H 0 0 (4) 0 (4)
BOND ISSUE 0 0 (4) 0 (4)
OTHER ASSETS 0 0 (4) 0 (4)
------- ------- -------
TOTAL OTHER ASSETS 290,131 290,131 290,131
TOTAL ASSETS 730,777 728,364 725,165
------- ------- -------
* See item 3 of Form UST-9.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
6/30/96 7/31/96 8/31/96
------- ------- -------
<S> <C> <C> <C>
LIABILITIES
POSTPETITION LIABILITIES
TRADE PAYABLES 349,362 349,709 349,310
TAXES PAYABLE 17,065 17,065 (5) 17,065 (5)
MISC RESERVES 6,043 5,793 (6) 5,793 (6)
---------- ---------- ----------
TOTAL POSTPETITION LIABILITIES 372,469 372,567 372,168
PREPETITION LIABILITIES:
UNSECURED DEBT 7,367,471 7,367,471 7,367,471
NOTES PAYABLE 479,972 479,972 (7) 479,972 (7)
TAXES 222,170 222,170 222,170
WAGES 41,164 41,164 41,164
GIFT CERTIFICATES 173,811 173,811 173,811
---------- ---------- ----------
TOTAL PREPETITION LIABILITIES 8,284,588 8,284,588 8,284,588
OWNER EQUITY (DEFICIT)
COMMON STOCK 785,921 785,921 785,921
PAID IN CAPITAL 18,479,444 18,479,444 18,479,444
RETAINED EARNINGS (21,805,800) (21,808,310) (21,811,111)
(2,540,435) (2,542,945) (2,545,746)
COMMON STOCK IN TREASURY 5,385,846 5,385,846 5,385,846
TOTAL S/H EQUITY (7,926,281) (7,928,791) (7,931,592)
---------- ---------- ----------
TOTAL LIABILITIES AND OWNERS EQUITY 730,777 728,364 725,165
---------- ---------- ----------
(1) Jan Young 7,930
THK (Tye Kinzer) 4,812
----------
TOTAL ACCOUNTS RECEIVABLE 12,742
----------
(2) J&B 50,000
Kalakis 14,492
Marchel 29,183
----------
TOTAL NOTES RECEIVABLE 93,675
----------
NOTE:
PERIOD 4, Wrote off Food and Rest Services note, company in bankruptcy
PERIOD 4, Finnerty's note paid in full
(3 & 4) Written off Period 01
(5) Reduced by 117 Per Prop, Pull tab, 940 Pen, FIWA XFER FEE
(6) Reduced by Centrals final electric bill
(7) Adjust Notes Payable for Pumphouse Notes
</TABLE>
<PAGE>
OFFICE OF THE U.S. TRUSTEE - REGION 18 UST-6
SEATTLE, WASHINGTON 12/1/91
STATEMENT OF CASH RECEIPTS AND DISBURSEMENTS
For the Month Ending August 31, 1996
Debtor Name: Sea Galley Stores, Inc.
Case Number: 94-08946 Account Name: Sea Galley Stores, Inc.
Depository:
=====================================================================
CASH RECEIPTS
(attach additional sheets as necessary)
Date Description (Source) Amount
---- -------------------- ------
8/1/96 Beginning Cash Balance $331,538.09
Add: (List)
Cash Receipts (see Attached) $ (816.88)
Total Cash Receipts $
Total Cash Available This Month $332,354.97
=====================================================================
CASH DISBURSEMENTS
(attach additional sheets as necessary)
Date Check No. Payee Description Amount
---- --------- ----- ----------- ------
(see Attached)
Less: Cash Disbursements $ 3,737.59
Adjustments (explain)
Ending Cash Balance (must be reconcilable to the bank
statement for account cited above) $328,617.38
<PAGE>
STATEMENT OF CASH RECEIPTS AND DISBURSEMENTS
For Period Four Ending: August 31, 1996
Debtor Name: Sea Galley Stores, Inc.
Case Number: 94-08946 Account Name: Sea Galley Stores, Inc.
- -----------------------------------------------------------------
<TABLE>
<CAPTION>
CASH RECEIPTS
Date Description (Source) Amount
---- -------------------- ------
<S> <C> <C> <C>
Begining Cash Balance 331,538.09
Concentration account 75,932.78
Holding account 255,310.65
Petty Cash/Office Equip 294.66
----------
331,538.09
ADD: (List)
Cash Receipts
Office Equipment\Supplies 0.00
Misc Deposits (adj. to JUN dep will be 816.88
dept in AUG)
Total Cash Receipts 816.88
Total Cash Available This Month 332,354.97
CASH DISBURSEMENTS
Date Account Payee Description Amount
- ---- ------- ----- ----------- ------
8/1-8/31/96 Petty Cash Post Office postage 19.78
Jan Young consulting fees 1,400.00
Shirley Vandermoon consulting fees 808.00
Verne Vandermoon office storate & rent 500.00
8/1-8/31/96 A/P Attached Accounts Payable 1,009.81
3,737.59
Concentration account 73,031.85
Holding account (Attached) 255,310.65
Petty Cash/Office Equip 274.88
----------
328,617.38
Ending Cash Balance 328,617.38
==========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Register Report
8/1/96 Through 8/31/96
9/4/96 Page 1
WORK-ACCTS PAYABLE
Date Num Description Memo Category Olr Amount
- -------------------------------------------------------------------------------------------
<C> <C> <C> <C> <C>
8/10/96 1105 FIRST INTERSTA... TERM SER -250.00
8/10/96 1106 GTE PHONE -226.23
8/10/96 1107 MCI LONG DISTANCE -33.58
8/10/96 1108 VERNE VANDERMOON OFFICE & STOR... -500.00
8/14/96 1112 US TRUSTEE 1ST Q FEES -500.00
8/16/96 1109 JAN YOUNG 8/1-8/15-LOAN-50 -700.00
8/19/96 1110 SHIRLEY VANDER... 8/12-8/18 -808.00
8/31/96 1111 JAN YOUNG 8/16-8/31-LOA... -700.00
---------
TOTAL 8/1/96 - 8/31/96 -3,717.81
TOTAL INFLOWS 0.00
TOTAL OUTFLOWS -3,717.81
---------
NET TOTAL -3,717.81
</TABLE>
<PAGE>
OFFICE OF THE U.S. TRUSTEE - REGION 18 UST-7
SEATTLE, WASHINGTON 12/1/91
STATEMENT OF AGED RECEIVABLES
For the Month Ending August 31, 1996
Debtor Name: Sea Galley Stores, Inc.
Case Number: 94-08946
- ------------------------------------------------------------------------
TOTAL CURRENT PAST DUE PAST DUE PAST DUE AMOUNT
DUE (0-30 DAYS) (31-60 DAYS) (61-90 DAYS) (91&OVER) Considered
Uncollectible
- ------------------------------------------------------------------------
TOTAL PREPETITION RECEIVABLES
$ 0 $ $ $ $ $
TOTAL POSTPETITION RECEIVABLES
$ 12,742 $ $ $ $12,742 $
TOTALS
$ 12,742 $ $ $ $12,742
NOTES:
1. List totals only, do not list each receivable.
2. Please explain what actions have been taken to collect receivables more
than 60 days past due.
3. Provide details on all receivables due from any related party
in an attachment. LOAN TO JAN YOUNG, PRESIDENT. CURRENT BALANCE
IS $8,030.
- --------------------------------------------------------------------------------
ACCOUNTS RECEIVABLE RECONCILIATION:
1. Opening Balance (total from Prior report) 12,842
2. New Accounts this Month 0
3. Balance (add lines 1 and 2 12,842
4. Amount collected on Prior Accounts 100
5. Closing Balance (subtract line 4 from line 3) 12,742
<PAGE>
OFFICE OF THE U.S. TRUSTEE - REGION 18 UST-8
SEATTLE, WASHINGTON 12/1/91
STATEMENT OF AGED PAYABLES
For the Month Ending August 31, 1996
Debtor Name: Sea Galley Stores, Inc.
Case Number: 94-08946
- -------------------------------------------------------------------------
VENDOR TOTAL CURRENT PAST DUE PAST DUE PAST DUE
NAME DESCRIPTION DUE (0-30 DAYS) (31-60 DAYS) (61-90 DAYS) (91 & OVER)
- -------------------------------------------------------------------------
You may combine all payables less than 30 days past due and show on one
line.
(SEE ATTACHED)
TOTALS 349,310 349,310
NOTE: Please include only postpetition debts and explain why accounts over
30 days past due have not been paid.
- --------------------------------------------------------------------------------
ACCOUNTS PAYABLE RECONCILIATION:
1. Opening Balance (total from Prior report) 349,708.78
2. Total New Indebtedness Incurred This Month 3,319.35
3. Balance (add lines 1 and 2) 353.028.13
4. Amount Paid on Prior Accounts Payable 3,717.81
5. Closing Balance (subtract line 4 from line 3) 349,310.32
<PAGE>
<TABLE>
<CAPTION>
Register Report by Payee
11/23/94 Through 8/31/96
9/4/96 Page 1
WORK-ACCOUNTS PAYABL
Date Num Description Memo Category Clr Amount
- ---- --- ----------- ---- -------- --- ------
<C> <C> <C> <C> <C>
11/1/95 11/1 AEI 148 -66.98
----------
TOTAL AEI -66.98
9/21/95 9/21 ALASKA RIVERWAYS -14,956.00
----------
TOTAL ALASKA RIVERWAYS -14,956.00
2/8/96 2/7 ASCAP -541.41
2/8/98 2/8 ASCAP -536.91
2/8/96 2/8 ASCAP -462.86
2/8/96 2/8 ASCAP -297.10
2/8/96 2/8 ASCAP -251.46
----------
TOTAL ASCAP -2,089.74
4/1/95 4/19 BMI 001 -1,526.50
----------
TOTAL BMI -1,526.50
5/8/95 5/8 BUSH STROUT &...CREDITORS LEGAL LEGAL -20,849.09
----------
TOTAL BUSH STROUT & KORNFELD -20,849.09
1/10/95 10267 CASH COMMUNICATIONS -56.06
----------
TOTAL CASH COMMUNICATIONS -56.06
7/1/95 7/1 CITICORP NORTH AME. . . -809.01
----------
TOTAL CITICORP NORTH AMERICA -809.01
8/23/95 8/23 CITY OF SPOKA... OVER PAY 25.38
----------
TOTAL CITY OF SPOKANE-DEPT OF TAX 25.38
8/10/95 8/10 DAN COFFEY LEGAL -748.50
----------
TOTAL DAN COFFEY -748.50
8/1/95 8/1 FINANCIAL PAC... 250-208.77,32... -783.95
----------
TOTAL FINANCIAL PACIFIC -783.95
4/7/96 4/7 FIRST INTERSTATE... NEG PRICE -4,862.47
7/10/96 7/10 FIRST INTERSTATE... TERM SER -250.00
8/1/96 1105 FIRST INTERSTATE... TERM SER 250.00
----------
TOTAL FIRST INTERSTATE BANK -4,862.47
7/16/96 6/16 GTE PHONE -113.18
7/16/96 7/16 GTE PHONE 113.05
8/10/96 1106 GTE PHONE 226.23
8/16/96 8/16 GTE PHONE Telephone -100.38
----------
TOTAL GTE -100.38
2/22/95 2/22 HAGE & ASSOCI... 205-APPRAISAL -425.00
----------
TOTAL HAGE & ASSOCIATES -425.00
8/1/95 8/1 HEATH SIGNS N... 250 -645.99
----------
TOTAL HEATH SIGNS NORTHWEST -645.99
8/4/95 8/4 HOSPITALITY M... 205-REG MAINT -647.00
----------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Register Report by Payee
11/23/94 Through 8/31/96
9/4/96 Page 2
WORK-ACCOUNTS PAYABLE
Date Num Description Memo Category Clr Amount
- ---- --- ----------- ---- -------- --- ------
<C> <C> <C> <C> <C>
TOTAL HOSPITALITY MAINTENANCE -647.00
2/19/95 8/30 INDUSTRIAL SERVICE CO -1,446.75
2/19/96 9/26 INDUSTRIAL SERVICE CO -321.01
2/19/96 9/27 INDUSTRIAL SERVICE CO -448.78
2/19/96 9/29 INDUSTRIAL SERVICE CO -958.00
----------
TOTAL INDUSTRIAL SERVICE CO. -3,174.54
8/16/96 8/16 JAN YOUNG 8/1-8/15-LOAN-50 -700.00
8/16/96 1109 JAN YOUNG 8/1-8/15-LOAN-50 700.00
8/31/96 8/31 JAN YOUNG 8/16-8/31-LOA... -700.00
8/31/96 1111 JAN YOUNG 8/16-8/31-LOA... 700.00
----------
TOTAL JAN YOUNG 0.00
7/19/96 6/19 MCI LONG DISTANCE -10.99
7/19/96 7/19 MCI LONG DISTANCE -22.59
8/10/96 1107 MCI LONG DISTANCE 33.58
8/19/96 8/19 MCI LONG DISTANCE -10.97
----------
TOTAL MCI -10.97
8/1/95 5TO8 PEPSI COLA BOTTLING -400.00
----------
TOTAL PEPSI COLA BOTTLING -400.00
8/18/96 1110 SHIRLEY VANDE... 8/12-8/18 -808.00
8/19/96 8/19 SHIRLEY VANDE... 8/12-8/18 808.00
----------
TOTAL SHIRLEY VANDERMOON 0.00
4/30/96 4/30 SPOKANE COUNTY TRE. . . -718.77
----------
TOTAL SPOKANE COUNTY TREASURER -718.77
12/18/95 12/18 STOEL RIVES B... THRU 12/18/95 -271,274.10
2/1/96 12/31 STOEL RIVES B... THRU 12/31/95 -7,446.22
2/7/96 1/31 STOEL RIVES B... THRU 1/31/96 -8,027.05
4/1/96 2/29 STOEL RIVES B... THRU 1/31/96 -5,148.30
----------
TOTAL STOEL RIVES BOLEY JONES & GREY -291,895.67
2/12/96 2/12 SWEENY CONRAD -4,300.00
----------
TOTAL SWEENY CONRAD -4,300.00
8/14/96 8/14 US TRUSTEE 1ST Q FEES -500.00
8/14/96 1112 US TRUSTEE 1ST Q FEES 500.00
----------
TOTAL US TRUSTEE 0.00
8/1/96 8/1 VERNE VANDERMOON OFFICE & STOR... -500.00
8/10/96 1108 VERNE VANDERMOON OFFICE & STOR... 500.00
----------
TOTAL VERNE VANDERMOON 0.00
5/31/95 3/19 WEST BOISE SE... 118-FINAL -269.08
----------
TOTAL WEST BOISE SEWER DISTRICT -269.08
OVERALL TOTAL -349,310.32
===========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Register Report by Payee
11/23/94 Through 7/31/96
8/14/96 Page 3
WORK-ACCOUNTS PAYABLE
Date Num Description Memo Category Clr Amount
- ---- --- ----------- ---- -------- --- ------
<C> <C> <C> <C> <C>
TOTAL WEST BOISE SEWER DISTRICT -269.08
OVERALL TOTAL -349,708.77
===========
</TABLE>
<PAGE>
OFFICE OF THE U.S. TRUSTEE - REGION 18 UST-9
SEATTLE, WASHINGTON 12/1/91
STATEMENT OF OPERATIONS, TAXES INSURANCE AND PERSONNEL
For the Month Ending August 31, 1996
Debtor Name: Sea Galley Stores, Inc.
Case Number: 94-08946
1. What efforts have been made toward presentation of a plan to
the creditors?
Despite significant reductions in general and administrative overhead
expenses, Sea Galley determined that its operations could not be
sustained at a profitable level and an orderly liquidation of its
assets was in the best interest of creditors. Accordingly, Sea Galley
has liquidated its operating assets (i.e., its restaurants) and is
working with the Creditor's Committee to develop a plan for the
liquidation and distribution of its remaining assets.
Sea Galley presently is engaged in discussions with appropriate
parties in interest, including the State of Washington Department
of Revenue and the holders of certain administrative expense claims,
concerning the terms of the plan to be proposed by Sea Galley.
2. Has the Debtor in Possession, subsequent to the filing of the petition,
made any payments on its prepetition unsecured debt, except as have been
authorized by the Court?
: Yes
X : No Identify amount, who was paid and date paid:
3. Provide a narrative report of significant events and events
out of the ordinary course of business: (attach separate sheet if
necessary)
Subsequent to the end of the period covered by this report,
Sea Galley received payment, with $6,000 simple interest, of
the $50,000 promissory note paid by the purchasers in
consideration for the sale of the Kennewick Sea Galley restaurant.
4. List any payments during this period on debt that has been personally
guaranteed by any principal, partner or officer of the business.
N/A
<PAGE>
UST-9
12/1/91
5. If assets have been sold in other than the ordinary course of business,
please provide details as to the asset sold, date of sale, total sales
price, deductions (ie. commissions), and net amount received (if the sale
was of real estate include the closing statement.
N/A
6. STATUS OF TAXES
AMOUNT WITHHELD AMOUNT DATE POSTPETITION TAXES
FEDERAL TAXES OR ACCRUED PAID PAID PAST DUE
- ------------- --------------- ------ ---- ------------------
FICA 0 0
--------------- ------ ---- ------------------
Withholding 0 0
--------------- ------ ---- ------------------
Unemployment 0 0
--------------- ------ ---- ------------------
Income 0 0
--------------- ------ ---- ------------------
Other 0 0
--------------- ------ ---- ------------------
STATE TAXES
Dept of Labor
and Industries 0 0
--------------- ------ ---- ------------------
Income 0 0
--------------- ------ ---- ------------------
Employment Sec 0 0
--------------- ------ ---- ------------------
Dept of Rev
B&O 0 0
--------------- ------ ---- ------------------
Sales 0 0
--------------- ------ ---- ------------------
Excise 0 0
--------------- ------ ---- ------------------
OTHER TAXES
City Business/
License 0 0
--------------- ------ ---- ------------------
Personal
Property 718.77 0 Spokane Valley
--------------- ------ ---- ------------------
Real Property 0 0
--------------- ------ ---- ------------------
Other (List) 0 0
--------------- ------ ---- ------------------
<PAGE>
UST-9
12/1/91
Explain reason for any past due postpetition taxes:
- ----------------------------------------------------------------------------
- ----------------------------------------------------------------------------
7. SCHEDULE OF SALARY AND OTHER PAYMENTS TO PRINCIPALS/EXECUTIVES/INSIDERS*
Payee Name Position Nature of Payment Amount
Jan Young President Consulting fees $1,500
- ------------- ------------- ----------------------- per month
- ------------- ------------- ----------------------- -----------
*List accrued salaries whether or not paid and any draws of any kind
or perks such as car etc. made to or for the benefit of any
proprietor, owner, partner, shareholder, officer, director or insider.
8. SCHEDULE OF PAYMENTS TO ATTORNEYS AND OTHER PROFESSIONALS
Sea Galley has reported certain accrued unpaid bankruptcy attorneys'
fees in the "Expenses: Legal" line of its Statement of Earnings and
Retained Earnings (Form UST-4) and in the Postpetition Trade Payables
line of its Balance Sheet (Form UST-5). The total and most recent
months' attorneys ' fees for services provided by Stoel Rives LLP to
Sea Galley and for services provided by Bush Strout & Kornfeld to the
Official Unsecured Creditors Committee are shown in the "Register
Report by Payee" attached to Sea Galley's Statement of Aged Payables
(Form UST-8).
All such attorneys' fees must be allowed by the Bankruptcy Court and
approved for payment after notice and hearing. On June 16, 1995 the
Bankruptcy Court allowed fees and costs of $134,657.75 of Stoel Rives
and fees and costs of $20,849.09 of Bush Strout. Although substantial
additional attorneys fees and costs have been accrued by Sea Galley
and the Official Unsecured Creditors Committee since April 30, 1995,
no applications for allowance of attorneys fees and costs have been
made since such date, and no such amounts have been approved for
payment.
Sea Galley also has advanced payment of legal fees to Dieter G.
Struzyna, its Court-approved outside general counsel, in the ordinary
course pursuant to the terms of the Order appointing Mr. Struzyna.
<PAGE>
UST-9
12/1/91
9. Please explain any changes in insurance coverage that took place this
month.
N/A
10. PERSONNEL
Full Time Part Time
Total number of employees at beginning of period 0 2
Number hired during the period 0 0
Number terminated or resigned during period 0 0
Total number of employees on payroll at period end 0 2
Total payroll for the period $ * see note
* Sea Galley is paying Jan Young consultant fees at the rate of $1,500
per month. Shirley Vandermoon, who recently returned from a two-month
unpaid leave of absence, presently is working full-time for one week a
month at the rate of $808.00. Sea Galley's last formal payroll, with
payroll taxes being withheld, was on 12/07/95.
<PAGE>
ACCOUNT STATEMENT
SEA GALLEY STORES, INC. ACCOUNT NUMBER
HOLDING ACCOUNT 69745818
7116 - 220TH ST. SW STATEMENT PERIOD
MOUNTLAKE TER, WA 98043-2130 8-01-96 TO 8-31-96
CHECKING
CORPORATE CHECKING 69745818
BEGINNING BALANCE 255,310.65
TOTAL CREDITS .00
TOTAL MISC DEBITS .00
TOTAL CHECKS .00
SERVICE CHARGES/FEES .00
ENDING BALANCE 255,310.65
NUMBER OF CREDITS 0
NUMBER OF MISC DEBITS 0
NUMBER OF CHECKS 0
<PAGE>
ACCOUNT STATEMENT
SEA GALLEY STORES, INC. ACCOUNT NUMBER
CONCENTRATION ACCOUNT 67237016
7116 - 220TH ST. SW STATEMENT PERIOD
MOUNTLAKE TER, WA 98043-2130 8-01-96 TO 8-31-96
CHECKING
CORPORATE CHECKING 67237016
BEGINNING BALANCE 75,932.78
TOTAL CREDITS 816.88
TOTAL MISC DEBITS 3,717.81
TOTAL CHECKS .00
SERVICE CHARGES/FEES .00
ENDING BALANCE 73,031.85
NUMBER OF CREDITS 1
NUMBER OF MISC DEBITS 2
NUMBER OF CHECKS 0
<PAGE>
ACCOUNT STATEMENT
SEA GALLEY PAYROLL ACCOUNT ACCOUNT NUMBER
DEBTOR IN POSSESSION, CASE 940 67697706
7116 - 220TH ST. SW STATEMENT PERIOD
MOUNTLAKE TER, WA 98043-2130 8-01-96 TO 8-31-96
CHECKING
CORPORATE CHECKING 67697706
BEGINNING BALANCE 35.09
TOTAL CREDITS 3,717.81
TOTAL MISC DEBITS .00
TOTAL CHECKS 3,757.81
SERVICE CHARGES/FEES .00
ENDING BALANCE 985.08
NUMBER OF CREDITS 2
NUMBER OF MISC DEBITS 0
NUMBER OF CHECKS 8
<PAGE>
ACCOUNT STATEMENT
SEA GALLEY PAYROLL ACCOUNT ACCOUNT NUMBER
DEBTOR IN POSSESSION, CASE 94 67697607
7116 - 220TH ST. SW STATEMENT PERIOD
MOUNTLAKE TER, WA 98043-2130 8-01-96 TO 8-31-96
CHECKING
CORPORATE CHECKING 67697607
BEGINNING BALANCE 1,674.72
TOTAL CREDITS .00
TOTAL MISC DEBITS .00
TOTAL CHECKS 18.54
SERVICE CHARGES/FEES .00
ENDING BALANCE 1,556.18
NUMBER OF CREDITS 0
NUMBER OF MISC DEBITS 0
NUMBER OF CHECKS 1
