FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
X OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended July 26, 1998
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 1-7699
FLEETWOOD ENTERPRISES, INC.
(Exact name of registrant as specified in its charter)
Delaware 95-1948322
_______________________ ___________________________________
(State or other jurisdiction of (I.R.S. Employer Identification Number)
incorporation or organization)
3125 Myers Street, Riverside, California 92503-5527
_____________________________________________________________________
(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code (909) 351-3500
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 _____
Indicate the number of shares outstanding of each of the issuer's classes
of Common stock as of the close of the period covered by this report.
Class Outstanding at July 26, 1998
_________________________ ______________________________
Common stock, $1 par value 32,034,309 shares
Preferred share purchase rights --
CONDENSED FINANCIAL STATEMENTS
The following unaudited interim condensed financial statements have
been prepared by the Company pursuant to the rules and regulations of the
Securities and Exchange Commission. Such financial statements have been
reviewed by Arthur Andersen LLP in accordance with standards established by
the American Institute of Certified Public Accountants. As indicated in
their report included herein, Arthur Andersen LLP does not express an
opinion on these statements.
Certain information and note disclosures normally included in annual
financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted pursuant to those
rules and regulations, although the Company believes that the disclosures
made are adequate to make the information presented not misleading. In the
Company's opinion, the statements reflect all adjustments (which include
only normal recurring adjustments) necessary to present fairly the results
of operations for the periods ending July 26, 1998 and July 27, 1997, and
the balances as of July 26, 1998 and April 26, 1998. It is suggested that
these condensed financial statements be read in conjunction with the
financial statements and the notes thereto included in the Company's latest
annual report on Form 10-K.
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
To the board of directors and shareholders of Fleetwood Enterprises, Inc.:
We have reviewed the accompanying condensed consolidated balance sheet
of FLEETWOOD ENTERPRISES, INC. (a Delaware Corporation) and subsidiaries as
of July 26, 1998, and the related condensed consolidated statements of
income for the thirteen-week periods ended July 26, 1998 and July 27, 1997,
respectively, the condensed consolidated statements of cash flows for the
thirteen-week periods ended July 26, 1998 and July 27, 1997, and the
condensed statement of changes in shareholders' equity for the thirteen-
week period ended July 26, 1998 in accordance with Statements on Standards
for Accounting and Review Services issued by the American Institute of
Certified Public Accountants. All information included in these financial
statements is the representation of the management of Fleetwood
Enterprises, Inc. and subsidiaries.
A review of interim financial information consists principally of
inquiries of Company personnel and analytical procedures applied to
financial data. It is substantially less in scope than an audit in
accordance with generally accepted auditing standards, the objective of
which is the expression of an opinion regarding the financial statements
taken as a whole. Accordingly, we do not express such an opinion.
Based on our review, we are not aware of any material modifications
that should be made to the condensed consolidated financial statements
referred to above for them to be in conformity with generally accepted
accounting principles.
We have previously audited, in accordance with generally accepted
auditing standards, the consolidated balance sheet of Fleetwood
Enterprises, Inc. and subsidiaries as of April 26, 1998, and the related
consolidated statements of income, cash flows and changes in shareholders'
equity for the year then ended (not presented herein), and, in our report
dated June 22, 1998, we expressed an unqualified opinion on those
consolidated financial statements. In our opinion, the information set
forth in the accompanying condensed consolidated balance sheet as of April
26, 1998, is fairly stated, in all material respects, in relation to the
consolidated balance sheet from which it has been derived.
ARTHUR ANDERSEN LLP
Orange County, California
August 25, 1998
FLEETWOOD ENTERPRISES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME (CONDENSED)
(Amounts in thousands except per share data)
(UNAUDITED)
<TABLE>
13 Weeks Ended 13 Weeks Ended
July 26, 1998 July 27, 1997
<S> <C> <C>
Net sales:
Manufacturing $839,761 $728,454
Retail 1,878 --
Less: intercompany (1,484) --
------- --------
840,155 728,454
Cost of products sold 666,365 594,785
------- --------
Gross profit 173,790 133,669
Operating expenses 123,539 84,595
------- --------
Operating income 50,251 49,074
Other income (expense):
Investment income 5,095 2,293
Interest expense (868) (879)
Distribution on preferred securities (4,380) --
Other (125) (144)
------ ------
(278) 1,270
------- ------
Income before provision for income taxes 49,973 50,344
Provision for income taxes (19,748) (19,402)
-------- --------
Net income $ 30,225 $ 30,942
======== ========
Net income per Common share:
Basic EPS $.96 $.86
Diluted EPS .86 .84
======== ========
Dividends declared per share of Common
stock outstanding $.18 $.17
======== ========
Weighted average Common shares:
Basic 31,621 35,843
Diluted 38,242 36,668
======== ========
See accompanying notes to financial statements.
FLEETWOOD ENTERPRISES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
JULY 26,1998
(UNAUDITED)
(Amounts in thousands)
</TABLE>
<TABLE>
<S> <C>
Net income $30,225
-------
Other comprehensive income, net of tax:
Foreign currency translation adjustments, net
of income taxes of $631 ( 756)
Unrealized loss on securities, net of income
taxes of $64 (110)
-------
Other comprehensive income (866)
-------
Comprehensive income $29,384
=======
</TABLE>
See accompanying notes to financial statements.
FLEETWOOD ENTERPRISES INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (CONDENSED)
ASSETS (Amounts in thousands)
July 26, 1998 April 26, 1998
Current assets: (Unaudited)
Cash $ 30,306 $ 28,143
Marketable investments 303,764 255,919
Receivables 196,882 195,388
Inventories 178,668 153,746
Deferred tax benefits - current 32,441 30,212
Other current assets 26,544 19,443
-------- ---------
Total current assets 768,605 682,851
Property, plant and equipment 277,255 277,211
Marketable investments maturing after
one year 20,429 21,660
Deferred tax benefits 47,322 45,042
Cash value of Company-owned life insurance 63,827 63,355
Goodwill and intangible assets 63,156 13,745
Other assets 21,257 25,616
------- ---------
$1,261,851 $1,129,480
========== ==========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 123,653 $ 118,481
Employee compensation and benefits 74,090 74,435
Federal and state taxes on income 31,952 8,800
Other liabilities 180,086 124,086
---------- ----------
Total current liabilities 409,781 325,802
Deferred compensation and benefits 62,752 58,272
Insurance reserves 27,276 26,880
Long-term debt 55,000 55,000
Company-obligated mandatorily redeemable convertible preferred
securities of Fleetwood Capital Trust holding solely 6% convertible
subordinated debentures of the Company 287,500 287,500
Contingent liabilities
Shareholders' equity:
Preferred stock, $1 par value, authorized 10,000,000 shares,
none outstanding
Common stock, $1 par value, authorized
75,000,000 shares, outstanding 32,034,000 at July 26, 1998
and 31,451,000 at April 26, 1998 32,034 31,451
Capital surplus 73,680 54,340
Retained earnings 316,155 291,696
Accumulated other comprehensive
income (loss) (2,327) (1,461)
-------- --------
419,542 376,026
-------- --------
$1,261,851 $1,129,480
========== ==========
See accompanying notes to financial statements.
[/TABLE]
FLEETWOOD ENTERPRISES INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS (CONDENSED)
(UNAUDITED)
(Amounts in thousands)
<TABLE>
13 Weeks 13 Weeks
Ended Ended
July 26, July 27,
1998 1997
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $30,225 $30,942
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation expense 6,703 6,761
Amortization of intangibles and goodwill 65 65
Losses on sales of property, plant and equipment 125 144
Non-recurring insurance gain -- (16,180)
Changes in assets and liabilities:
(Increase) decrease in receivables 1,948 (3,552)
(Increase) decrease in inventories 5,707 (15,439)
(Increase) decrease in deferred tax benefits (4,509) 2,947
Increase in cash value of Company-owned
life insurance (472) (143)
Increase in goodwill and intangible assets (8,919) --
Decrease in other assets (2,180) (3,962)
Increase in accounts payable 2,127 2,358
Increase in employee compensation and benefits 4,135 1,892
Increase in Federal and state income taxes 23,152 12,297
Increase in other liabilities 23,308 10,773
------- -------
Net cash provided by operating activities 81,415 28,903
------- -------
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of investment securities:
Held-to-maturity (1,600,835) (1,550,024)
Available-for-sale (24,578) (3,839)
Proceeds from maturity of investment securities:
Held-to-maturity 1,554,921 1,507,950
Available-for-sale 12,990 --
Proceeds from sale of available-for-sale
investment securities 10,778 2,716
Acquisition of retail companies, net of $1,262
cash acquired (22,218) --
Purchases of property, plant and equipment (3,831) (8,403)
------- ------
Net cash used in investing activities (72,773) (51,600)
------- -------
CASH FLOWS FROM FINANCING ACTIVITIES:
Dividends to shareholders (5,766) (6,101)
Proceeds from exercise of stock options 43 6,534
------- -------
Net cash provided by (used in)
financing activities (5,723) 433
------- -------
Foreign currency translation adjustment (756) 406
------- -------
Increase (decrease) in cash 2,163 (21,858)
Cash at beginning of period 28,143 37,890
------ ------
Cash at end of period $30,306 $16,032
======= ======
SUPPLEMENTAL DISCLOSURES OF CASH FLOW
INFORMATION:
Cash paid during the period for -
Interest $5,349 $884
Income taxes 2,130 1,094
======== =====
DETAILS OF ACQUISITIONS:
Fair value of assets $79,493 --
Liabilities assumed 36,133 --
-------- ------
Acquisitions price 43,360 --
Less cash acquired (1,262) --
Less Common stock issued for acquisitions (19,880) --
------- ------
Net cash paid for acquisitions $22,218 --
======= ======
NON-CASH FINANCING ACTIVITIES:
Common stock issued for acquisitions $19,880 --
======= =======
See accompanying notes to financial statements.
</TABLE>
FLEETWOOD ENTERPRISES INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CHANGES
IN SHAREHOLDERS' EQUITY (CONDENSED)
(UNAUDITED)
(Amounts in thousands)
Accumulated
Other
Common Stock Compre- Total
Number Capital Retained hensive Shareholders'
of Shares Amount Surplus Earnings Income Equity
<TABLE>
<S> <C> <C> <C> <C> <C> <C>
Balance April 26,
1998 31,451 $31,451 $54,340 $291,696 $(1,461) $376,026
Add (deduct) -
Net income -- -- -- 30,225 -- 30,225
Other comprehensive
income -- -- -- -- (866) (866)
Cash dividends
declared on
Common stock -- -- -- (5,766) -- (5,766)
Stock options exercised
(including related tax
benefits) 1 1 42 -- -- 43
Stock issued for
acquisitions 582 582 19,298 -- -- 19,880
---- ---- ------ ------ ----- ------
Balance July 26,
1998 32,034 $32,034 $73,680 $316,155 $(2,327) $419,542
====== ======= ======= ======== ======= ========
</TABLE>
See accompanying notes to financial statements
FLEETWOOD ENTERPRISES, INC. AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
JULY 26, 1998
1) Reference to Annual Report
Reference is made to the Notes to Consolidated Financial Statements
included in the Company's Form 10-K annual report for the year ended
April 26, 1998.
2) Industry Segment Information
Information with respect to industry segments for the periods ending
July 26, 1998 and July 27, 1997 is shown below (amounts in
thousands):
<TABLE>
13 Weeks Ended 13 Weeks Ended
July 26, 1998 July 27, 1997
<S> <C> <C>
OPERATING REVENUES:
Manufactured housing -
Manufacturing $400,412 $366,649
Less: intercompany (1,484) --
-------- ------
398,928 366,649
Retail 1,878 --
-------- -------
400,806 366,649
Recreational vehicles 428,766 350,693
Supply operations 10,583 11,112
$840,155 $728,454
======== ========
OPERATING INCOME:
Manufactured housing $25,496 $ 15,830
Housing - retail (1,094) --
Recreational vehicles 26,637 16,113
Supply operations 3,583 3,392
Corporate and other* (4,371) 13,739**
------ --------
$50,251 $ 49,074
======= ========
</TABLE>
* Including adjustments and eliminations.
** Includes non-recurring insurance gain of $16.2 million.
3) Earnings Per Share
Basic earnings per share is computed by dividing income available to
Common stockholders by the weighted average number of Common shares
outstanding. Diluted earnings per share includes the effect of
potential shares outstanding from dilutive stock options and dilutive
preferred securities. After-tax distributions on preferred
securities are added to net income to arrive at earnings used in the
diluted earnings per share calculation. The table below shows the
calculation components of earnings per share for both basic and
diluted earnings per share (amounts in thousands):
<TABLE>
13 Weeks Ended 13 Weeks Ended
July 26, 1998 July 27, 1997
Weighted Weighted
Average Average
Income Shares Income Shares
<S> <C> <C> <C> <C>
Basic earnings per share $30,225 31,621 $30,942 35,843
Effect of dilutive securities:
Stock options -- 720 -- 825
Preferred securities 2,781 5,90 -- --
Diluted earnings per share $33,006 38,242 $30,942 36,668
======= ====== ======= ======
</TABLE>
4) Accumulated Other Comprehensive Income Balances
The Company has adopted SFAS 130 "Reporting Comprehensive Income"
which establishes standards for reporting and displaying comprehensive
income and its components in a full set of general purpose financial
statements. The following reflects the activity in the accumulated
other comprehensive income balance for the period (amounts in
thousands):
<TABLE>
Foreign Unrealized Accumulated Other
Currency Gains on Comprehensive
Items Securities Income
<S> <C> <C> <C>
Beginning balance $(1,759) $298 $(1,461)
Current period change (756) (110) (866)
Ending balance $(2,515) $188 $(2,327)
======= ==== =======
</TABLE>
FLEETWOOD ENTERPRISES INC. AND SUBSIDIARIES
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(Amounts in thousands)
The following is an analysis of changes in key items included in the
consolidated statements of income for the 13-week period ended July 26,
1998 compared to the 13-week period ended July 27, 1997.
Thirteen Weeks Ended
July 26, 1998
Increase %
(Decrease) Change
Sales $111,701 15.3%
Cost of products sold 71,580 12.0
Gross profit 40,121 30.0
Selling expenses 16,089 34.3
General and administrative expenses 22,855* 60.7
Operating expenses 38,944* 46.0
Operating income 1,177* 2.4
Other income (expense) (1,548) (121.9)
Income before taxes (371) (.7)
Provision for income taxes 346 1.8
Net income $ (717) (2.3)%
========= =====
[/TABLE]
* Prior year included $16.2 million non-recurring insurance gain which
reduced operating costs and increased operating income. Excluding the
insurance gain from prior year results, percentage increases would
have been 12.4% for general and administrative expenses 22.6% for
operating expenses and 52.8% for operating income.
Current Quarter Compared to Same Quarter Last Year
Consolidated Results:
Net income for the first quarter of fiscal 1999 was $30.2 million or 86
cents per share on a diluted basis compared to $30.9 million or 84 cents
per diluted share a year ago. Prior year earnings included a non-recurring
gain of $10.4 million or 28 cents per share from certain insurance
transactions. Excluding the insurance gain from prior year results,
earnings per share improved 54% as a result of operating gains from both
manufactured housing and recreational vehicles.
In last year's first quarter, the Company recorded a change in estimate of
products liability insurance reserves and concurrently lowered its self-
insured retention (i.e. deductible) by placing a portion of its insurance
risk in the commercial insurance market. The net effect of these actions
was an increase in operating income of $16.2 million and an improvement to
net earnings of $10.4 million or 28 cents per share.
Higher sales of both manufactured housing and recreational vehicles led to
a 15% increase in consolidated revenues to a record $840.2 million from
$728.5 million in last year's first quarter.
Both of the Company's core manufacturing businesses posted strong earnings
gains for the quarter primarily as a result of record sales and improved
operating efficiencies. Gross profit margin for fiscal 1999 rose to 20.7%
from 18.4% last year as both housing and recreational vehicles experienced
margin improvements.
Operating expenses rose 46.0% to $123.5 million, and also increased as a
percentage of sales from 11.6% to 14.7%. Excluding the effect of the non-
recurring $16.2 million insurance gain from prior year results, operating
expenses were up 23% from an adjusted $100.8 million and 13.8% of sales
last year. As a percentage of sales, selling expenses were up from 6.4% a
year ago to 7.5%, while general and administrative expenses, adjusted to
exclude the insurance gain, declined from 7.4% to 7.2% this year. Selling
expenses increased 34% to $63.0 million, primarily reflecting higher costs
for advertising, sales compensation and product warranty and service.
General and administrative expenses, as adjusted, were up 12% to $60.5
million, reflecting higher management incentive compensation stemming from
improved profits.
Non-operating items totaled a loss of $278,000 in the July quarter compared
to income of $1.3 million a year ago. The loss resulted from the $4.4
million distribution on convertible preferred securities, which included
amortization of related underwriting costs. Income from investments of
$5.1 million was more than double last year's $2.3 million, largely due
to the significantly higher cash balances that were available for
investment this year. The large balance of invested funds this year mainly
resulted from a combination of cash flow from operations, proceeds from the
convertible preferred securities offering and the exercise of stock
options.
The effective income tax rate rose to 39.5% in the first quarter compared
to 38.5% a year ago due to an increase in state tax accruals. Last year,
the reinsurance gain was taxed at a lower rate for state tax purposes
versus a typically higher rate for manufacturing income.
Manufactured Housing:
Manufactured housing revenues rose nine percent to a record $398.9 million
on a five percent gain in unit sales to 17,158 homes. A higher mix of
multi-section homes, which rose from 55% to 56% of sales, resulted in a six
percent increase in sections and a higher realization per home sold.
First quarter operating income increased 61% from $15.8 million to $25.5
million, and also rose as a percentage of sales from 4.3% to 6.4%. The
higher profits resulted from higher sales volume, along with improved gross
profit margins due to selling price increases and lower material costs.
Recreational Vehicles:
Recreational Vehicle sales in the first quarter surged 22% to a record
$428.8 million compared to $350.7 million in last year's first period. A
rising RV market and Fleetwood market share gains led to the strong sales
performance. Motor home sales increased 25% to $259.4 million, which
represented the highest first quarter revenues ever recorded by the motor
home division. This reflects a 14% increase in motor home shipments to
3,780 units. Both towable divisions produced record first quarter sales
with travel trailer sales rising 17% to $139.9 million and folding trailer
revenues increasing 23% to $29.5 million. Healthy unit volume gains were
posted by both towable divisions, with travel trailers rising 19% to
10,153 and folding trailers up 13% to 5,324.
RV operating income climbed 65% to $26.6 million as a result of the
increase in sales and higher gross margins. As a percentage of sales,
operating income rose to 6.2% from 4.6% a year ago. RV results were
particularly driven by improved profitability from the Company's motor
home division which made a significant recovery from operational
difficulties encountered last year in connection with a plant production
realignment initiative. All three RV divisions, however, produced better
margins than were experienced last year, primarily as a result of
productivity gains and raw material cost reductions.
Supply Operations:
The Company's supply group recorded sales of $10.6 million in the July
quarter compared to $11.1 million in last year's similar period.
Operating income increased six percent to $3.6 million, despite the
decline in outside sales.
Retail Housing Operations:
The Company's retail housing division posted first quarter sales of $1.9
million generated from three sales centers owned and operated during the
quarter. Fleetwood's previously announced acquisition of HomeUSA, Inc.,
the nation's largest independent retailer of manufactured homes, was
completed on August 10, 1998, and thus, didn't have an impact on first
quarter results. This acquisition, combined with five smaller
acquisitions completed since June 1998, resulted in the Company having a
total of 116 retail sales centers nationwide as of August 31, 1998 and an
estimated full-year sales volume of more than $380 million. Some portion
of future manufactured housing revenues will be eliminated in
consolidation because homes sold by Fleetwood manufacturing centers to
Company-owned retailers cannot be recognized as sales on a consolidated
basis until homes are sold at retail. Based on the fact that the majority
of retail sales are expected to be Fleetwood product, the Company
estimates that approximately 50% of incremental retail volume will be
eliminated in consolidation against future manufacturing revenues. For
financial reporting purposes, the retail division is on a calendar quarter
basis. Accordingly, none of the five smaller acquisitions had any income
statement impact in the Company's first quarter, despite the fact that the
investment was included in the July 1998 balance sheet.
Liquidity and Capital Resources
The Company generally relies upon internally generated cash flows to
satisfy working capital needs and to fund capital expenditures. Cash
generated from operations improved to $81.4 million compared to $28.9
million last year as a result of profitable operations and a reduction in
working capital investment.
Cash totaling $22.2 million was used for the acquisition of five retail
housing companies during the first quarter. This was in addition to $19.9
million in Common stock issued as part of the consideration. The retail
acquisitions resulted in some significant changes in assets and
liabilities as of July 26, 1998, which included $30.6 million for
inventories, $40.5 million for goodwill and $28.7 million for floor plan
financing liability.
Cash outlays in the current year included $5.8 million in dividends to
shareholders and $3.8 million for capital expenditures. This compares
with $6.1 million and $8.4 million, respectively, last year.
Year 2000 Compliance
The Company is dependent on a cluster of centralized computers to provide
data in support of vital company-wide operational and accounting
functions. Many of the computer routines used to generate this data were
programmed in-house, following the common practice of using only two
digits to designate a year. As a consequence, as we approach the year
2000, programs with date-related logic would not be able to distinguish
between the years 1900 and 2000, potentially causing software and hardware
to fail, generate erroneous calculations or present information in an
unusable form. In recognition of this potential, the Company launched a
"Year 2000" conversion project in February 1996 to correct and fully test
all offending computer code by mid-1998. At this date, the project is
substantially complete and in a testing phase. It is expected that all
systems will be Year 2000 compliant and operational by the early part of
calendar 1999. Given these efforts, management does not anticipate any
appreciable impact on company operations consequent to the use of the
Company's computer systems in the new millennium. The estimated amount
the Company plans to spend on the year 2000 project will not have a
material effect on results of operations, liquidity and capital resources.
Other
The Financial Accounting Standards Board ("FASB") Statement No. 130,
"Reporting Comprehensive Income," was adopted by the Company in the first
quarter. This statement establishes standards for the reporting and
display of comprehensive income and its components (revenues, expenses,
gains and losses) in a full set of general-purpose financial statements.
FASB Statement No. 131, "Disclosures About Segments of an Enterprise and
Related Information," was also adopted this quarter. This statement
establishes standards for the way that companies report information about
operating segments in annual financial statements, and requires that
companies report selected information about operating segments in interim
financial reports issued to shareholders.
PART II OTHER INFORMATION
There are no other items to be reported or exhibits to be filed.
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.
FLEETWOOD ENTERPRISES, INC.
____________________________
Paul M. Bingham
Senior Vice President - Finance
and Chief Financial Officer
August 31, 1998
FLEETWOOD ENTERPRISES, INC.
CONSOLIDATED FINANCIAL INFORMATION
FINANCIAL DATA SCHEDULE
[SROS] NYSE
[SROS] PCX
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> APR-25-1999
<PERIOD-END> JUL-26-1998
<CASH> 30,306
<SECURITIES> 324,193
<RECEIVABLES> 196,882
<ALLOWANCES> 0
<INVENTORY> 178,668
<CURRENT-ASSETS> 768,605
<PP&E> 467,673
<DEPRECIATION> 190,418
<TOTAL-ASSETS> 1,261,851
<CURRENT-LIABILITIES> 409,781
<BONDS> 0
287,500
0
<COMMON> 32,034
<OTHER-SE> 387,508
<TOTAL-LIABILITY-AND-EQUITY> 1,261,851
<SALES> 840,155
<TOTAL-REVENUES> 840,155
<CGS> 666,365
<TOTAL-COSTS> 789,904
<OTHER-EXPENSES> 125
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 5,248
<INCOME-PRETAX> 49,973
<INCOME-TAX> 19,748
<INCOME-CONTINUING> 30,225
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 30,225
<EPS-PRIMARY> .96
<EPS-DILUTED> .86
</TABLE>
