SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
Commission File No.: 0-9503
Current Report
March 16, 1998
(Date of Report - Date of Earliest Event Reported)
DIGITAL PRODUCTS CORPORATION
Florida 59-1141879
(State or other jurisdiction of (IRS Employer
Incorporation or organization) Identification No)
3001 SW 10th Street
Pompano Beach, Florida 33069
(Address of Principal Executive Offices)
(800) 670-7790
(Registrant's Telephone Number)
(Former Name, Former Address and Former Fiscal Year,
if changed since last report)
<PAGE>
ITEM 3. BANKRUPTCY OR RECEIVERSHIP
On April 3, 1997, the Company filed a voluntary petition under Chapter 11
of the U.S. Bankruptcy Act in the U.S. District Court for the Southern
District of Florida. Since that date, the Company has continued its
day-to-day business under the protection of the Bankruptcy Court as
Debtor-In-Possession. The following Monthly Financial Report for Business for
the month of February was filed with the Bankruptcy Court on March 16, 1998.
<PAGE>
UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF FLORIDA
MIAMI DIVISION
IN RE: CASE NUMBER
97-21987BKC-RBR
JUDGE RAYMOND B. RAY
DEBTOR. CHAPTER 11
DEBTOR'S MONTHLY FINANCIAL REPORTS (BUSINESS)
FOR THE PERIOD
FROM 2/1/98 TO 2/28/98
Comes now the above-named debtor and files its Periodic Financial Reports in
accordance with the Guidelines established by the United States Trustee and
FRBP 2015.
Robert Furr
Attorney for Debtor
Debtor's Address Attorney's Address
And Phone Number: and Phone Number:
3001 SW 10th Street 1499 W Palmetto Road
Pompano Beach, FL 33069 Boca Raton, FL 33486
(800) 670-7790 (561) 395-0500
<PAGE>
Monthly Financial Report for Business
For the Period Beginning: 2/1/98 and Ending: 2/28/98
Name of Debtor: Digital Products Corporation
Case Number 97-21987 BKC RBR
Date of Petition: 4/3/97
<TABLE>
<CAPTION>
Current Cumulative
Month Petition to Date
<S> <C> <C>
1. Cash at Beginning of Period $ 23,156.28 $ 60,846.09
2. Receipts:
A. Cash Sales - -
Less: Cash Refunds - -
Net Cash Sales - -
B. Collections on Post Petition A/R 186,716.27 2,145,122.92
C. Collections on Pre Petition A/R - 382,998.55
D. Other Receipts 8,850.00 59,076.29
3. TOTAL RECEIPTS 195,566.27 2,587,197.76
4. TOTAL CASH AVAILABLE FOR
OPERATIONS (Line 1 + Line 3) 218,722.55 2,648,043.85
5. DISBURSEMENTS
A. U.S. Trustee Quarterly Fees - 7,500.00
B. Net Payroll 64,092.80 633,659.31
C. Payroll Taxes Paid 32,288.09 289,813.32
D. Sales and Use Taxes - -
E. Other Taxes - 10,190.85
F. Rent 5,000.00 63,084.71
G. Other Leases 1,908.34 72,237.16
H. Telephone 2,687.00 238,194.48
I. Utilities - -
J. Travel & Entertainment 14,231.63 148,721.19
K. Vehicle Expenses - -
L. Office Supplies 3,033.79 20,656.03
M. Advertising - 13,850.57
N. Insurance (Attachment 7) 4,700.82 113,743.47
O. Purchases of Fixed Assets - 63,324.62
P. Purchases of Inventory 17,737.39 353,902.05
Q. Manufacturing supplies - -
R. Repairs and Maintenance - 1,559.21
S. Payments to Secured Creditors - -
T. Other Operating Expenses 47,007.63 591,571.82
(Attach List)
6. TOTAL CASH DISBURSEMENTS 192,687.49 2,622,008.79
7. ENDING CASH BALANCE
(LINE 4 - LINE 6) $ 26,035.06 $ 26,035.06
</TABLE>
I declare under penalty of perjury that this statement and the accompanying
documents and reports are true and correct to the best of my knowledge and
belief.
This 13th day of March 1998. ____________________
<PAGE>
Monthly Financial Report for Business
For the Period Beginning: 2/1/98 and Ending: 2/28/98
Name of Debtor: Digital Products Corporation
Case Number 97-21987 BKC RBR
Date of Petition: 4/3/97
<TABLE>
<CAPTION>
OTHER RECEIPTS
Current Cumulative
Month to Date
<S> <C> <C>
IL Unemployment Refund - 701.08
Employees Shipping - 22.25
AT&T Refund - 172.98
Various Misc Income - 1,197.38
Genesee County Payment in Error - 1,622.00
COD Supplies/Other - 2,357.37
EMS Cash Advance - 24,900.00
APT Refund deposit - 10,000.00
Various Tax refunds - 257.51
State of Utah Receipt in error - 4,750.20
Void Checks - 245.52
NASDAQ Refund - 4,000.00
Judy Sundberg Advance 8,850.00 -
$8,850.00 $59,076.29
</TABLE>
<PAGE>
Monthly Financial Report for Business
For the Period Beginning: 2/1/98 and Ending: 2/28/98
Name of Debtor: Digital Products Corporation
Case Number 97-21987 BKC RBR
Date of Petition: 4/3/97
<TABLE>
<CAPTION>
OTHER OPERATING EXPENSES
Current Cumulative
Month to Date
<S> <C> <C>
Tax Acct Bank Charge Service Charges 67.46 255.96
Barnett Bank Bank Charge Wire Transfer Fees - 75.00
Operating Acct Bank Charge Service Charges 242.21 984.28
Payroll Acct Bank Charges Service Charges 17.80 188.86
Kinko's Copies for Tracking - 654.67
Postage Next Day Mailing - 56.75
Subcontractors Installers 1,784.70 27,880.38
Corporate License Fees - 330.00
Computer Programmer 1,525.00 41,237.98
Subcontractors Labor 33,171.74 148,488.62
Freight 3,030.46 73,924.82
Transfer Agent/Other 171.00 29,075.25
Patent Renewals - 13,289.00
Refund (ck Rec in Error) - 6,362.20
Advance Payment Repayment - 24,900.00
Various Medical Claims 616.00 2,451.88
Subcontractors Computer Supplies - 498.18
S. Kapila Interim CFO - 10,469.05
L. Martin Commission - 1,000.00
T. Snellings Consult/Comm 4,583.32 18,979.15
Various Network Support - 10,534.33
Various Move Expense - 7,006.60
SGSG Advance - 18,786.09
Competatech/Others Training 447.94 2,729.39
Employees Mileage - 168.44
Employees 125s Reimbursement - 2,588.00
Corporate Systems CCSN Deposit - 61,612.96
Mike Luther Expense Advance 1,350.00 12,556.10
Peggy Conway Expense Advance - 2,000.00
USCF Fees - 500.00
Various Deposits - 40,500.00
EMS Commission - 2,843.25
Bank of Kaukauna Utah lease - 15,044.63
Argentina Consultants consulting __________ 13,600.00
Total $ 47,007.63 591,571.82
</TABLE>
<PAGE>
ATTACHMENT 1
MONTHLY ACCOUNTS RECEIVABLE AGING AND RECONCILIATION
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
ACCOUNTS RECEIVABLE AT PETITION DATE: $534,314.00
ACCOUNTS RECEIVABLE RECONCILIATION (Includes all accounts receivable,
pre-petition and post-petition, including charge card sales, which have not
been received):
Beginning of Month Balance $ 611,371.82
Plus: Current Month New Billings 272,530.64
Less: Collections during the Month 186,716.27
End of Month Balance $ 697,186.19
Aging: (Show the total amount for each age group of accounts
Incurred since filing the petition)
0-30 days 31-60 days 61-90 days Over 90 Total
Days
$265,234.50 100,859.96 51,372.68 95,146.76 $512,613.90
<PAGE>
ATTACHMENT 2
MONTHLY ACCOUNTS PAYABLE AND SECURED PAYMENTS REPORT
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
In the space below list all invoices or bills incurred and not paid since the
filing of the petition. Do not include amounts owed prior to the filing of
the petition.
<TABLE>
<CAPTION>
Date Days
Incurred Outstanding Vendor Description Amount
<S> <C> <C> <C> <C>
24-Apr-97 Millward & Co. Audit 150.00
dispute
9-Feb-98 19 Constant Elec. Serv. Wiring 116.50
28-Feb-98 1 Competatech Training 168.75
16-Feb-98 12 Stock Elec. Freight 224.28
26-Feb-98 2 Carl Marjolis Consulting 693.75
2-Feb-98 26 AT&T Phones 3,053.88
28-Feb-98 1 TCG Telephone 2,308.25
23-Feb-98 5 LCI Long Distance 593.96
3-Feb-98 25 LCI Long Distance 14,502.58
11-Feb-98 17 American Design Contract Labor 3,132.17
18-Feb-98 10 American Design Contract Labor 3,133.61
25-Feb-98 3 American Design Contract Labor 3,072.43
2-Feb-98 26 xiNETix Contract Labor 6,287.87
7-Feb-98 21 United Parcel Service Freight 550.84
14-Feb-98 14 United Parcel Service Freight 785.53
21-Feb-98 7 United Parcel Service Freight 649.53
28-Feb-98 1 United Parcel Service Freight 2,769.24
27-Feb-98 2 Accounting Resources Contract Labor 690.31
25-Feb-98 3 Liberty Court Travel Airfare 6,173.28
15-Feb-98 13 Frank Garner Installer 265.00
15-Feb-98 13 Albani LaPorte Installer 393.23
15-Feb-98 13 Triple S Trans. Freight 2,140.17
28-Feb-98 1 Frank Garner Installer 275.00
28-Feb-98 1 Albani Laporte Installer 240.82
28-Feb-98 1 Employees Reimburse Exp. 10,964.30
$ 63,335.28
</TABLE>
ACCOUNTS PAYABLE RECONCILIATION (Post Petition Only):
Opening Balance (total from prior report $ 6,708.57
Plus: New Indebtedness Incurred This Month 3,185.28
Less: Amount Paid on Prior Accounts Payable 6,558.57
End of Month Balance $63,335.28
Secured: List the status of Payments to Secured Creditors and Lessors (Post
Petition Only)
Number Total
of Post Amount of
Secured Date Petition Post Petition
Creditor/ Payment Payment Payments Payments
Lessor Due Amount Delinquent Delinquent
None
<PAGE>
ATTACHMENT 3
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
INVENTORY REPORT
INVENTORY BALANCE AT PETITION DATE: $148,780.63
INVENTORY RECONCILIATION:
Inventory Balance at Beginning of Month $142,801.55
Inventory Purchased during Month 17,737.39
Inventory Used or Sold 25,631.25
Inventory on Hand at End of Month $134,907.69
METHOD OF COSTING INVENTORY: Inventory is stated at lower of cost or
market using first-in, first-out method in determining cost, and replacement
cost or net realizable value in determining market.
FIXED ASSETS FAIR MARKET VALUE AT PETITION DATE: $ 716,000
(Includes Property, Plant and Equipment)
BRIEF DESCRIPTION (First Report Only):
FIXED ASSETS RECONCILIATION:
Fixed Assets Book Value at Beginning of Month $720,062.29
Less: Depreciation Expense 34,963.00
Plus: New Purchases ___________
Ending Monthly Balance $685,099.29
BRIEF DESCRIPTION OF FIXED ASSETS PURCHASED OR DISPOSED OF DURING THE
REPORTING PERIOD:
<PAGE>
ATTACHMENT 4
MONTHLY BANK RECONCILIATIONS
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
BANK: Comerica Bank & Trust BRANCH: Boca Raton
ACCT NAME: Digital Products Corporation
ACCT NUMBER: 1811006533
PURPOSE OF ACCOUNT: Operating Account
Beginning Balance $ 22,662.38
Total of Deposits Made 195,566.27
Total Amount of Checks/Wires 95,979.13
Service Charges 242.21
Transfers to Other Accounts 96,491.24
Closing Balance $ 25,516.07
Number of First Check Written This Period 1831
Number of Last Check Written This Period 1908
Total Number of Checks Written This Period 74
Total Number of Wire Transfers 4
Voided Checks This Period 4
Total 82
BANK: Comerica Bank & Trust BRANCH: Boca Raton
ACCT NAME: Digital Products Corporation
ACCT NUMBER: 1811006541
PURPOSE OF ACCOUNT: Payroll Account
Beginning Balance $ 310.13
Total of Deposits Made 64,203.15 Transfers in
Total Amount of Checks Written 63,795.20
Service Charges Payroll Depot 297.60
Service Charges 17.80
Transfers to Other Accounts 0.00
Closing Balance $ 402.68
Number of First Check Written This Period 670
Number of Last Check Written This Period 719
Total Number of Checks Written This Period 50
Plus Manual Checks 0
Total 50
Plus Direct Deposits 56 Items
Total 106 Items
<PAGE>
ATTACHMENT 4
MONTHLY BANK RECONCILIATION
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
BANK: Comerica Bank & Trust BRANCH: Boca Raton
ACCT NAME: Digital Products Corporation
ACCT NUMBER: 1811006558
PURPOSE OF ACCOUNT: Tax Account
Beginning Balance $ 183.77
Total of Deposits Made 32,288.09 Transfers in
Total Amount of Checks Written 32,288.09 Transfers out
Service Charges 67.46
Transfers to Other Accounts 0.00
Closing Balance $ 116.31
<PAGE>
ATTACHMENT 5
CHECK REGISTER
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
BANK: Comerica Bank & Trust BRANCH: Boca Raton
ACCT NAME: Digital Products Corporation
ACCOUNT #: 1811006533
PURPOSE OF ACCOUNT: Operating Account
<TABLE>
<CAPTION>
Date Check # Payee Purpose Amount
<S> <C> <C> <C> <C>
2/2/98 1831 Travis Snellings Consulting/Expenses 1,306.64
1832 Void
2/2/98 wire Dale Conrad Inventory HMU-4's 5,202.24
2/3/98 1833 Dadan Packaging Boxes 1,058.00
2/3/98 1834 Dadan Packaging Boxes 83.95
1835 Void
1836 Void
2/3/98 1837 Frank Garner Installer 300.00
2/3/98 1838 Dan Farley Installer 285.00
2/3/98 1839 Albani Laporte Installer 974.70
2/3/98 1840 Colleen McCoy Office Supplies 259.78
2/3/98 1841 US West Telephone 2,271.63
2/3/98 1842 Self Storage Offsite Storage 1,142.00
2/3/98 1843 American Design Contract Labor 2,175.40
2/1/98 1844 Trammel Crow Travel 939.00
2/3/98 1845 Liberty Court Travel Airfare 3,090.04
2/3/98 1846 Frank Garner Installer 225.00
2/3/98 1847 Annette Chandler Supplies 24.99
2/3/98 1848 The Packaging Store Freight 451.00
2/4/98 1849 US Postmaster Postage 96.00
2/5/98 1850 Dr George Williams Medical claim 616.00
1851 Void
2/6/98 1852 Ken Virgillito Travel expense 346.12
2/6/98 wire SMA, Inc. Consulting 12,500.00
2/6/98 1853 Office Depot Office Supplies 164.93
2/6/98 1854 Industrial Assembly Straps 2,380.00
2/6/98 1855 Telnet Data Group Repair Parts 827.50
2/6/98 1856 Marshall Industries Repair Parts 38.00
2/9/98 1857 Key Leasing Furniture Rent 500.00
2/9/98 1858 Travis Snellings Consulting/Expenses 1,225.19
2/9/98 1859 Big Sam's Lock & Safe Repairs 118.72
2/9/98 1860 Data Duplicating Corp. Shipping charges 222.25
2/9/98 1861 KBS, Inc. Rent 5,000.00
2/9/98 1862 Accounting Resources Contract labor 500.00
2/9/98 1863 Competatech Support 204.19
2/9/98 1864 Competatech Support 243.75
2/9/98 1865 General Furniture Travel 134.90
2/9/98 1866 United Parcel Service Freight 2,322.61
2/9/98 1867 Gevalia Cafe Office Supplies 31.85
2/9/98 1868 Brian Deutch Travel 702.73
2/9/98 1869 Interactive Microsys. Repair Supplies 200.00
2/9/98 1870 Reliance Stand. Ins. Employee Insurance 46.22
</TABLE>
<PAGE>
ATTACHMENT 5
CHECK REGISTER
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
BANK: Comerica Bank & Trust BRANCH: Boca Raton
ACCT NAME: Digital Products Corporation
ACCOUNT #: 1811006533
PURPOSE OF ACCOUNT: Operating Account
<TABLE>
<CAPTION>
Date Check # Payee Purpose Amount
<S> <C> <C> <C> <C>
2/9/98 1871 CarnoTel, Inc Telephone 74.51
2/9/98 1872 American Design Contract Labor 2,370.42
2/9/98 1873 FedEx Freight 12.00
2/9/98 1874 Riscorp of Florida Workcomp 1,009.58
2/9/98 1875 Midwest Benefit Health Insurance 3,129.02
2/9/98 1876 Charles Nora Contract Labor 1,019.70
2/9/98 1877 Peggy Conway Expenses 2,253.43
2/9/98 1878 Office Depot Supplies 67.89
2/9/98 1879 Judy Sundberg Travel 119.65
2/10/98 1880 Doug Hogmire Travel 1,286.47
2/10/98 1881 Electronic Filings SEC Filing 171.00
2/10/98 1882 Telnet Data Group Repair Parts 1,900.00
2/11/98 1883 Tele-Solutions Phone lines 65.00
2/11/98 1884 Time Ins. Co. Health Insurance 516.00
2/12/98 1885 Ken Virgillito Office Supplies 79.00
2/13/98 1886 Liberty Court Telemarketing 650.00
2/24/98 1887 Travis Snellings Consulting 1,145.83
2/24/98 wire SMA, Inc. Consulting 12,500.00
2/24/98 1888 Liberty Court Airfare 5,604.77
2/16/98 1889 Travis Snellings Consulting 1,145.83
2/16/98 1890 Sandra Umana Repairs 120.00
2/16/98 1891 Victor Flores Programming 1,525.00
2/16/98 1892 Peggy Conway Expenses 230.16
2/16/98 1893 Charles P Nora Consulting/Expenses 234.14
2/16/98 1894 Telogy Equipment Rent 131.44
2/16/98 1895 PageNet Pagers 275.86
2/16/98 1896 Acme Typewriter Repairs 50.00
2/16/98 1897 DHL Worldwide Freight 22.60
2/16/98 1898 Annette Chandler Supplies 10.60
2/16/98 1899 Penny Woods Expenses 34.07
2/17/98 1900 Industrial Assembly Straps 2,380.00
2/17/98 wire Craig Shipp Website 2,200.00
2/19/98 1901 Mike Luther Expense Advance 1,350.00
2/26/98 1902 US West Advertising 35.00
2/27/98 1903 Tom Harmon Expenses 7.75
2/27/98 1904 Dadan Packaging Boxes 520.00
2/27/98 1905 Renata Batteries Batteries 3,010.40
<PAGE>
ATTACHMENT 5
CHECK REGISTER
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
BANK: Comerica Bank & Trust BRANCH: Boca Raton
ACCT NAME: Digital Products Corporation
ACCOUNT #: 1811006533
PURPOSE OF ACCOUNT: Operating Account
</TABLE>
<TABLE>
<CAPTION>
Date Check # Payee Purpose Amount
<S> <C> <C> <C> <C>
2/27/98 1906 Marshall Parts 38.00
2/27/98 1907 Precision Dynamics Repair Parts 299.30
2/27/98 1908 Office Depot Supplies 174.38
Total $95,979.13
ATTACHMENT 5
CHECK REGISTER
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
BANK: Comerica Bank & Trust BRANCH: Boca Raton
ACCT NAME: Digital Products Corporation
ACCOUNT #: 1811005541
PURPOSE OF ACCOUNT: Payroll Account
</TABLE>
<TABLE>
<CAPTION>
Date Check # Payee Purpose Amount
<S> <C> <C> <C> <C>
2/6/98 670-683+15 direct dep Employees Payroll $17,705.62
2/13/98 684-694+14 direct dep Employees Payroll 15,011.22
2/20/98 695-705+14 direct dep Employees Payroll 14,956.58
2/27/98 706-719+13 direct dep Employees Payroll 16,121.78
Sub Total Payroll 63,795.20
February Payroll Depot Serv. Chg. 297.60
Grand Total $64,092.80
<PAGE>
ATTACHMENT 5
CHECK REGISTER
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
BANK: Comerica Bank & Trust BRANCH: Boca Raton
ACCT NAME: Digital Products Corporation
ACCOUNT #: 1811006558
PURPOSE OF ACCOUNT: Tax Account
Date Check # Payee Purpose Amount
2/6/98 transfer Payroll Depot payroll taxes $ 8,610.47
2/13/98 transfer Payroll Depot payroll taxes 7,790.29
2/20/98 transfer Payroll Depot payroll taxes 7,720.35
2/27/98 transfer Payroll Depot payroll taxes 8,166.98
$32,288.09
<PAGE>
ATTACHMENT 6a
Monthly Tax Report
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
</TABLE>
<TABLE>
<CAPTION>
TAXES PAID and ACCRUED DURING MONTH
Date Bank Description Amount
<S> <C> <C> <C>
2/6/98 Comerica Bank FED WH $ 3,837.79
FICA 3,060.73
MEDICARE 715.81
FUTA 96.13
IN WH 75.69
MN WH 21.58
NE WH 314.14
FL SUTA 301.18
MN SUTA 12.93
NE SUTA 84.03
WA SUTA 90.46
$ 8,610.47
2/13/98 Comerica Bank FED WH $ 3,474.03
FICA 2,700.32
MEDICARE 631.53
FUTA 87.65
IN WH 75.69
MN WH 21.58
NE WH 314.14
FL SUTA 356.08
MN SUTA 12.93
NE SUTA 84.03
WA SUTA 32.31
$ 7,790.29
2/20/98 Comerica Bank FED WH $ 3,426.42
FICA 2,649.20
MEDICARE 619.57
FUTA 84.35
IN WH 140.29
MI WH 30.80
MN WH 21.58
NE WH 314.14
FL SUTA 290.19
MI SUTA 14.54
MN SUTA 12.93
NE SUTA 84.03
WA SUTA 32.31
$ 7,720.35
2/27/98 Comerica Bank FED WH $ 3,637.60
FICA 2,822.08
MEDICARE 659.98
FUTA 91.20
IN WH 75.69
MD WH 42.66
MI WH 30.80
MN WH 21.58
NE WH 314.14
FL SUTA 315.64
MD SUTA 21.23
MI SUTA 14.54
MN SUTA 12.93
NE SUTA 74.60
WA SUTA 32.31
$ 8,166.98
Total $32,288.09
</TABLE>
<PAGE>
ATTACHMENT 6b
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
TAXES OWED AND DUE
Report all unpaid post-petition taxes including Federal & State withholding,
FICA, state sales tax, property tax, unemployment taxes and State WC. Date
last tax returns filed 1/31/98. Period: 4th Quarter returns
<TABLE>
<CAPTION>
Name of Taxing Date Payment Description Amount
Authority Due
<S> <C> <C> <C>
Fed Taxes 02/11/98 Fed WH/Fica/Medicare $7,614.33 Pd
Fed Taxes 02/18/98 Fed WH/Fica/Medicare 6,805.88 Pd
Fed Taxes 02/25/98 Fed WH/Fica/Medicare 6,695.19 Pd
Fed Taxes 03/04/98 Fed WH/Fica/Medicare 7,119.66 Pd
FUTA 04/30/98 Fed unemployment tax 999.14
IN WH 03/15/98 IN WH 367.36
MD WH 03/15/98 MD WH 42.66
MI WH 03/15/98 MI WH 61.60
MN WH 03/15/98 MN WH 86.32
NE WH 03/15/98 NE WH 1,256.56
FL SUTA 04/30/98 FL unemployment 3,581.54
IN SUTA 04/30/98 IN unemployment 189.01
MD SUTA 04/30/98 MD unemployment 21.23
MI SUTA 04/30/98 MI unemployment 29.08
MN SUTA 4/30/98 MN unemployment 116.37
NE SUTA 04/30/98 NE unemployment 1,236.81
WA SUTA 04/30/98 WA unemployment 187.39
</TABLE>
<PAGE>
ATTACHMENT 7
SUMMARY OF PERSONNEL & INSURANCE COVERAGES
Name of Debtor: Digital Products Corporation
Case Number: 97-21987 BKC RBR
Reporting Period Beginning: 2/1/98 and Ending: 2/28/98
Report all compensation received during the month. Do not include
reimbursement for expenses incurred for which you have receipts.
Name of Officer: Title Amount Paid Travel Adv.
Richard Angulo Pres/COO $ 14,769.20 $ -
Michael Luther CEO/Chairman 9,230.80 1,350.00
Bryan Brown CFO/Secy 6,153.84 -
PERSONNEL REPORT
Full Time Part Time
Number of employees at beginning of period 23 1
Number hired during the period 1 1
Number converted to full time - -
Number terminated during the period - -
Number of employees on payroll at the
end of period 24 2
CONFIRMATION OF INSURANCE
List all policies of insurance in effect, including but not limited to
workers' compensation, liability, fire, theft, comprehensive, vehicle, health
& life.
<TABLE>
<CAPTION>
Carrier Agent & Phone # Policy # Coverage Expiration Date
Type Date Premium
Due
<S> <C> <C> <C> <C> <C>
Riscorp of FL Alexander & Alex 12924 WC 4/1/98 2/2/98
305-279-7870
VA Riscorp Dade Underwriters 40076 WC 3/1/98 2/2/98
954-462-1304
Reliance Stand. Mahoney & Asso. LTD097814 LTD 8/1/97 2/2/98
Life Insurance 954-763-7971
Gotham Ins. Seitlin Ins. MM014842LP296 Comp. Gen'l 6/1/98 paid
305-591-0090 Liability
Nat'l Union Fire Seitlin Ins. BE9327676 Umbrella 6/1/98 paid
Ins. Co. of Pitt. 305-591-0090 Liability
Pacific Ins. Co. Seitlin Ins. ZG0008872 Property 5/1/98 paid
305-591-0090
Fidelity & Dep. Seitlin Ins. CCP0033867 Crime 5/1/98 paid
305-591-0090
Mutual of Midwest Emp. Ben. 266 MBPT Health & Dental 10/1/98 2/2/98
Omaha
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<PAGE>
ATTACHMENT 8
SIGNIFICANT DEVELOPMENTS DURING REPORTING PERIOD
The Company filed its Second Plan of Reorganization and Disclosure Statement
on February 18, 1998.
