<PAGE 1>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
:hp3.F O R M 1 0 - Q:ehp3.
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
:hp3.FOR THE QUARTERLY PERIOD ENDED:ehp3.
:hp3.MARCH 31, 1994:ehp3.
1-8175
________________________
(Commission file number)
:hp3.IBM CREDIT CORPORATION:ehp3.
______________________________________________________
(Exact name of registrant as specified in its charter)
Delaware 22-2351962
_______________________________ ____________________
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
290 Harbor Drive
P. O. Box 10399
Stamford, Connecticut
06904-2399
________________________________________
(Address of principal executive offices)
203-973-5100
____________________________________________________
(Registrant's telephone number, including area code)
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
___ ___
As of April 30, 1994, 750 shares of capital stock, par value $1.00
per share, were outstanding and held by International Business Machines
Corporation. Aggregate market value of voting stock held by
non-affiliates of registrant at April 30, 1994: NONE.
The registrant meets the conditions set forth in General Instruction
H(1)(a) and (b) of Form 10-Q and is therefore filing this Form with
the reduced disclosure format.
<PAGE 2>
INDEX
_____
Part I - Financial Information: Page
____
Item 1. Financial Statements:
Consolidated Statement of Financial Position
at March 31, 1994 and December 31, 1993 . . . . . . . . . . . . 1
Consolidated Statement of Earnings for the three
months ended March 31, 1994 and 1993 . . . . . . . . . . . . . 2
Consolidated Statement of Cash Flows
for the three months ended March 31, 1994 and 1993 . . . . . . 3
Notes to Consolidated Financial Statements . . . . . . . . . . 4
Item 2. Management's Discussion and Analysis
of Financial Condition and Results of Operations . . . . 5
Part II - Other Information . . . . . . . . . . . . . . . . . . . . . 12
<PAGE 3>
<TABLE>
:hp3.
IBM CREDIT CORPORATION
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
:ehp3.
(Dollars in thousands)
<CAPTION>
At At
March 31, December 31,
1994 1993
____________ ____________
<S> <C> <C>
:hp3.ASSETS::ehp3.
Cash and cash equivalents. . . . . . . . $ 548,506 $ 609,891
Net investment in capital leases . . . . 4,266,358 4,437,257
Equipment on operating leases, net . . . 1,665,614 1,753,121
Loans receivable . . . . . . . . . . . . 975,906 1,037,864
Working capital financing receivables. . 1,317,411 1,425,781
Investments and other assets . . . . . . 538,273 531,737
Due and deferred from receivable sales . 229,605 245,892
__________ ___________
Total Assets $9,541,673 $10,041,543
========== ===========
:hp3.LIABILITIES AND STOCKHOLDER'S EQUITY::ehp3.
Liabilities:
Short-term debt. . . . . . . . . . . . . $4,132,380 $ 4,227,724
Short-term debt, IBM Corporation . . . . 300,000 -
Due to IBM Corporation and affiliates. . 812,616 1,259,547
Interest and other accruals. . . . . . . 344,063 312,464
Deferred income taxes. . . . . . . . . . 751,677 811,283
Long-term debt . . . . . . . . . . . . . 2,141,147 2,279,796
__________ ___________
Total liabilities. . . . . . . . . . . . 8,481,883 8,890,814
__________ ___________
Stockholder's equity:
Capital stock, par value $1 per share
Shares authorized: 10,000;
Shares issued and outstanding: 750. . 438,811 438,811
Retained earnings. . . . . . . . . . . . 620,979 711,918
__________ ___________
Total stockholder's equity . . . . . . . 1,059,790 1,150,729
__________ ___________
Total Liabilities & Stockholder's Equity $9,541,673 $10,041,543
========== ===========
<FN>
The accompanying notes are an integral part of this statement.
</TABLE>
- 1 -
<PAGE 4>
<TABLE>
:hp3.
IBM CREDIT CORPORATION
CONSOLIDATED STATEMENT OF EARNINGS
FOR THE THREE MONTHS ENDED MARCH 31:
:ehp3.
(Dollars in thousands)
<CAPTION>
1994 1993
________ ________
<S> <C> <C>
:hp3.FINANCE AND OTHER INCOME::ehp3.
Income from leases:
Capital leases . . . . . . . . . . . . . . . $ 89,623 $125,050
Operating leases (net of depreciation:
1994- $156,528 and 1993- $160,211) . . . . 38,788 35,006
________ ________
128,411 160,056
Income from loans . . . . . . . . . . . . . . . 21,063 31,290
Income from working capital financing . . . . . 30,488 22,979
Equipment sales . . . . . . . . . . . . . . . . 150,530 164,746
Other income . . . . . . . . . . . . . . . . . 29,642 26,586
________ ________
Total finance and other income . . . . . . . 360,134 405,657
________ ________
:hp3.COST AND EXPENSES::ehp3.
Interest. . . . . . . . . . . . . . . . . . . . 75,425 93,931
Cost of equipment sales . . . . . . . . . . . . 138,086 148,143
Selling, general, and administrative . . . . . 40,208 50,596
Provision for receivable losses . . . . . . . . 9,004 19,642
________ ________
Total cost and expenses. . . . . . . . . . . 262,723 312,312
________ ________
:HP3.EARNINGS BEFORE INCOME TAXES:ehp3. 97,411 93,345
Provision for income taxes . . . . . . . . . . . 38,350 35,094
________ ________
:hp3.NET EARNINGS:ehp3. . . . . . . . . . . . . . . . . . $ 59,061 $ 58,251
======== ========
<FN>
The accompanying notes are an integral part of this statement.
</TABLE>
- 2 -
<PAGE 5>
<TABLE>
:hp3.
IBM CREDIT CORPORATION
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31:
:ehp3.
(Dollars in thousands) 1994 1993
<CAPTION> _________ _________
<S> <C> <C>
:hp3.CASH FLOW FROM OPERATING ACTIVITIES::ehp3.
Net earnings . . . . . . . . . . . . . . . . . . . $ 59,061 $ 58,251
Adjustments to net earnings:
Depreciation and amortization. . . . . . . . . . 156,106 161,122
Provision for receivable losses. . . . . . . . . 9,004 19,642
Change in deferred income taxes. . . . . . . . . (59,606) 287,527
Change in interest and other accruals. . . . . . 31,599 (43,960)
Gross profit on equipment sales. . . . . . . . . (12,444) (16,603)
________ _________
Cash provided by net earnings. . . . . . . . . . . 183,720 465,979
Proceeds from equipment sales. . . . . . . . . . . 150,530 164,746
Decrease in amounts due to IBM Corporation and
affiliates . . . . . . . . . . . . . . . . . . . (446,931) (618,077)
________ _________
Cash (used in) provided by operating activities . . . (112,681) 12,648
________ _________
:hp3.CASH FLOW FROM INVESTING ACTIVITIES::ehp3.
Investment in capital leases . . . . . . . . . . . (251,025) (277,745)
Collection of capital leases, net
of income earned. . . . . . . . . . . . . . . . . 308,990 390,257
Investment in equipment on operating leases. . . . (87,312) (55,777)
Investment in loans receivable . . . . . . . . . . (81,775) (96,837)
Collection of loans receivable, net
of interest earned. . . . . . . . . . . . . . . . 127,205 204,318
Investment in working capital financing
receivables, net of cash collected. . . . . . . . 108,370 160,628
Other changes, net . . . . . . . . . . . . . . . . 9,136 (21,834)
________ _________
Cash provided by investing activities . . . . . . . . 133,589 303,010
________ _________
:hp3.CASH FLOW FROM FINANCING ACTIVITIES::ehp3.
Proceeds from issuance of long-term debt . . . . . 41,640 162,584
Repayment of debt:
Original maturities of one year or more . . . . . (383,350) (128,950)
Original maturities within one year (net
of debt issued). . . . . . . . . . . . . . . . . 409,417 (91,635)
Cash dividends paid to IBM Corporation . . . . . . (150,000) (175,000)
________ _________
Cash used in financing activities . . . . . . . . . . (82,293) (233,001)
________ _________
Change in cash and cash equivalents . . . . . . . . . (61,385) 82,657
Cash and cash equivalents at January 1 . . . . . . . 609,891 598,557
________ _________
Cash and cash equivalents at March 31 . . . . . . . . $548,506 $ 681,214
======== =========
:hp3.TOTAL CASH PROVIDED BEFORE DIVIDENDS:EHP3. . . . . $ 88,615 $ 257,657
======== =========
<FN>
The accompanying notes are an integral part of this statement.
</TABLE>
- 3 -
<PAGE 6>
:hp3.
IBM CREDIT CORPORATION
Notes to Consolidated Financial Statements
:ehp3.
1. In the opinion of the management of IBM Credit Corporation (the
Company), all adjustments necessary for a fair statement of the
unaudited results for the three-month periods have been made.
These adjustments are of a normal and recurring nature.
2. The ratio of earnings to fixed charges, calculated in accordance
with applicable Securities and Exchange Commission requirements,
was 2.28 and 1.98 for the three months ended March 31, 1994
and 1993, respectively.
3. Related Party Transactions:
The Company provides capital equipment financing to International
Business Machines Corporation (IBM) affiliated companies for
both IBM and non-IBM products. During the first three months
of 1994, the Company originated $60.4 million of such financing,
compared with $11.6 million for the first three months of 1993.
These financings are included primarily in the Company's
operating lease portfolio.
The Company borrowed $300 million from IBM in the first quarter
of 1994. The borrowing is at market terms and conditions.
4. Subsequent Events:
On April 5, 1994, the Company and Fleet Financial Group (Fleet)
announced that a Fleet bank subsidiary had agreed in principle
to purchase 100 percent of the stock of IBM Credit Investment
Management Corporation, a wholly owned subsidiary of the
Company that provides investment management and administrative
services for the IBM Mutual Funds. It is anticipated that this
transaction will also result in the redemption of the IBM Money
Market Account notes, which are currently a source of short-term
funding for the Company. These transactions are expected to
be completed in the second quarter of 1994.
On April 20, 1994, the amount the Company was authorized to
borrow increased from $1.0 billion to $1.6 billion under a
$10.0 billion IBM Global Credit Facility. The Company has
not drawn any amounts under this credit facility.
On April 29, 1994, the Company's Board of Directors declared
a $145 million dividend, payable to IBM on May 25, 1994.
<PAGE 7>
-4-
Item 2.
:hp3.
IBM CREDIT CORPORATION
______________________
MANAGEMENT'S DISCUSSION AND ANALYSIS
____________________________________
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
________________________________________________
:ehp3.
:hp3.OVERVIEW:ehp3.
For the three months ended March 31, 1994, the Company originated
financing for $2.1 billion of equipment, software and services. Net
earnings for the three months ended March 31, 1994 were $59.1 million,
yielding an annualized return on average equity of 22.2 percent.
:hp3.FINANCING ORIGINATED:ehp3.
The Company originated financing for $2.1 billion of equipment,
software and services in the first three months of 1994, compared with
$1.7 billion in the same 1993 period. Capital equipment financing for
end users decreased by 8 percent to $557.0 million. The decrease in
capital equipment financing originated is primarily the result of
fewer IBM shipments in the first three months of 1994 compared with
the same 1993 period, offset in part by an increase in the proportion
of IBM products and services financed by the Company. Working capital
financing for dealers and remarketers of information industry products
increased by 48 percent to $1,579.0 million. This improvement
reflects increased shipments of IBM's personal computer and
workstation products during the first three months of 1994 compared
with the same 1993 period, as well as the Company's on-going efforts
to provide working capital financing that meets the full range of
financing requirements of IBM authorized resellers.
Capital equipment financings for end users comprises purchases of
$321.1 million of information handling systems from IBM, financing
originated for installment receivables of $31.9 million, other
financing primarily for IBM software and services of $50.2 million,
installment and lease financing for state and local government
customers of $69.1 million for the account of IBM, and other financing
of $84.7 million for equipment and services, as well as selected
complementary non-IBM equipment that meets IBM customers' total
solution requirements. The purchases of $321.1 million from IBM
consisted of $241.7 million for capital leases and $79.4 million for
operating leases.
<PAGE 8>
-5-
:HP3.REMARKETING ACTIVITIES:EHP3.
In addition to originating new financing, the Company remarkets used
IBM equipment. This equipment is primarily sourced from the
termination of lease transactions and is generally remarketed through
retail channels in cooperation with the IBM sales force. The
equipment is leased to end users or sold outright. These transactions
may be with existing lessees or, when equipment is returned, with a
new customer. At March 31, 1994, the investment in remarketed
equipment on capital and operating leases totaled $573.1 million, a
decrease of 8 percent from the 1993 year-end investment of $619.8
million. Included in remarketing activities are income from leases
and gross profit on equipment sales, net of the reduction in income to
recognize the write-down in residual values of certain leased
equipment. The remarketing contributions amounted to $37.2 million
for the first three months of 1994, an increase of 21 percent compared
with $30.8 million for the same 1993 period.
:hp3.ASSETS:ehp3.
Total assets decreased to $9.5 billion at March 31, 1994, compared
with $10.0 billion at December 31, 1993. This decrease is primarily
the result of cash collections on loans, capital lease investments and
working capital financing receivables exceeding financings originated
during the first quarter of 1994.
Approximately 80 percent of the Company's total assets at March 31,
1994 related to the financing of IBM products and services.
:hp3.LIABILITIES AND STOCKHOLDER'S EQUITY:ehp3.
The assets of the business were financed with $6,573.5 million of debt
at March 31, 1994. Total debt, which includes short-term and
long-term debt, increased by $66.0 million, from $6,507.5 million at
December 31, 1993. This increase was primarily the result of increases
in commercial paper outstanding of $307.7 million and short-term debt
of $300.0 million, payable to IBM and having market terms and
conditions, offset in part by decreases in long-term debt of $138.6
million, floating and fixed medium-term notes of $96.1 million, and a
matured $300.0 million bond.
<PAGE 9>
-6-
At March 31, 1994, the Company had available $1.7 billion of a shelf
registration with the Securities and Exchange Commission. This shelf
registration allows the Company to quickly access domestic financial
markets. In addition, a subsidiary of the Company had available
$750.0 million of a separate shelf registration for asset backed
securities. The Company also has a commercial paper program, a
medium-term note program, and the IBM money market program. As
described in note 4 of Notes to Consolidated Financial Statements, it
is anticipated that the Company will redeem the IBM Money Market
Account notes in the second quarter of 1994. The Company is an
authorized borrower of up to $1.6 billion under a $10.0 billion IBM
Global Credit Facility (as described in note 4 of Notes to
Consolidated Financial Statements, the authorization was increased
from $1.0 billion to $1.6 billion on April 20, 1994), and has a
liquidity agreement with IBM for $500.0 million. The Company has no
borrowings outstanding under the credit facility and the liquidity
agreement. The Company also has the option, as approved by the Board
of Directors on July 29, 1993, to sell, assign, pledge, or transfer up
to an additional $2.6 billion of assets to third parties through
December 31, 1994. These financing sources, along with the Company's
internally generated cash, medium-term note, and commercial paper
programs, provide the flexibility to the Company to grow its lease and
loan portfolio, service debt, and fund working capital requirements.
Amounts due to IBM Corporation and affiliates decreased by $446.9
million to $812.6 million at March 31, 1994, from $1,259.5 million at
December 31, 1993. This reduction was primarily attributable to lower
volume of capital equipment purchases from IBM in the first quarter of
1994, compared with the fourth quarter of 1993 and the payment to IBM
of $254.0 million of current tax liability. Amounts due to IBM
Corporation and affiliates represent trade payables arising from
purchases of equipment for term leases and installment receivables,
working capital financing receivables for dealers and remarketers, and
software license fees, with payment terms comparable to those offered
to other IBM customers. Also included in due to IBM Corporation and
affiliates are income taxes currently payable under the intercompany
tax allocation agreement.
Total stockholder's equity at March 31, 1994 was $1,059.8 million,
down $90.9 million from year-end 1993. The decline in stockholder's
equity reflects the payment of a $150.0 million dividend to IBM in the
first quarter of 1994, offset by net earnings of $59.1 million for the
quarter.
At March 31, 1994, the Company's debt to equity ratio was 6.2:1,
compared with 5.7:1 at year-end 1993, and 6.8:1 at March 31, 1993.
<PAGE 10>
-7-
:hp3.TOTAL CASH PROVIDED BEFORE DIVIDENDS:ehp3.
Total cash provided before dividends was $88.6 million for the three
months ended March 31, 1994, compared with $257.7 million for the same
1993 period. Cash and cash equivalents at March 31, 1994 totaled
$548.5 million, a decrease of $61.4 million compared with the balance
at December 31, 1993.
Total cash provided before dividends reflects $201.3 million of cash
provided by investing and financing activities, reduced by $112.7
million of cash used in operating activities.
:hp3.INCOME FROM LEASES:ehp3.
Income from leases decreased by 20 percent to $128.4 million for the
three months ended March 31, 1994, from $160.1 million for the same
period in 1993. The decline is the result of the securitization and
sale of capital leases during the fourth quarter of 1993, and a
decrease in financing originated during 1993 and the first three
months of 1994.
Income from leases includes lease income resulting from remarketing
transactions. For the three months ended March 31, 1994, this income
increased 16 percent from the comparable 1993 period. Lease income
from remarketing transactions amounted to $24.6 million for the
three-month period ended March 31, 1994.
On a periodic basis, the Company reassesses the future residual values
of its portfolio of leases. In accordance with generally accepted
accounting principles, anticipated increases in specific future
residual values may not be recognized before realization, and are thus
a source of potential future profits. Anticipated decreases in
specific future residual values, considered to be other than
temporary, must be recognized currently.
A review of the Company's $700.0 million residual value portfolio at
March 31, 1994, indicated that the overall estimated future value of
the portfolio continues to be greater than the value currently
recorded. No declines in the future residual values of leased
equipment were identified, nor reductions recorded, in the first
quarter of 1994, compared with a $7.0 million reduction to income from
leases to recognize declines in the same 1993 period.
:hp3.INCOME FROM LOANS:ehp3.
Income from loans decreased by 33 percent to $21.1 million for the
three months ended March 31, 1994, compared with the respective 1993
period. This decline was primarily the result of the securitization
and sale of loans during the fourth quarter of 1993, and a decrease in
financing originated during 1993 and the first quarter of 1994.
<PAGE 11>
-8-
:hp3.INCOME FROM WORKING CAPITAL FINANCING:ehp3.
Income from working capital financing increased 33 percent to $30.5
million for the three months ended March 31, 1994, compared with $23.0
million in the same period in 1993. This increase was primarily due
to generally higher interest rates charged and growth in the size of
the average working capital financing receivables outstanding during
the first three months of 1994, compared with the same 1993 period,
despite the securitization and sale of such receivables during the
fourth quarter of 1993. The growth reflects increased volumes of IBM
personal computer and workstation products financed by the Company
throughout the first quarter of 1994, as well as an increase in the
volume of financing provided for non-IBM products for IBM-authorized
resellers.
:hp3.EQUIPMENT SALES:ehp3.
Equipment sales amounted to $150.5 million for the first quarter of
1994, compared with $164.7 million for the same period in 1993.
Included in these amounts is revenue from outright sales and
sales-type leases of Company-owned equipment with either existing
lessees or, when equipment is returned, with a new customer.
Gross profit on equipment sales for the first quarter of 1994 was
$12.4 million, a decrease of 25 percent compared with the same 1993
period. The gross profit margin for the first quarter of 1994 was 8.3
percent, down from 10.1 percent for the first quarter of 1993 and up
from 7.6 percent for the 1993 full year. This decrease from the first
quarter of 1993 reflects reduced equipment sales, as well as higher
refurbishment charges.
:hp3.OTHER INCOME:ehp3.
Other income increased by 11 percent to $29.6 million for the three
months ended March 31, 1994.
Included in other income is interest income earned on cash and cash
equivalents, fees for managing IBM's state and local government
installment and lease financing receivables portfolio, and fees for
the servicing of financing receivables sold.
:hp3.TOTAL FINANCE AND OTHER INCOME:ehp3.
For the three months ended March 31, 1994, total finance and other
income decreased by 11 percent to $360.1 million, compared with the
same 1993 period. The decline was largely due to reductions in income
from leases, income from loans and equipment sales, offset by
increases in income from working capital financing and other income.
<PAGE 12>
-9-
:hp3.INTEREST EXPENSE:ehp3.
Interest expense declined as the Company's average outstanding debt
decreased and the average cost of debt was reduced. Interest expense
decreased by 20 percent to $75.4 million for the three months ended
March 31, 1994, compared with $93.9 million for the same period in
1993. The Company's year-to-date average cost of debt through March
31, 1994, decreased to 4.66 percent from 4.91 percent for the same
period in 1993.
:hp3.SELLING, GENERAL, AND ADMINISTRATIVE EXPENSES:ehp3.
Selling, general, and administrative expenses were $40.2 million for
the first quarter of 1994, a decrease of 21 percent compared with the
same 1993 period. The decrease is a direct result of the continuing
efforts to manage expenses and reflects savings realized from the
Company's actions in the second quarter of 1993 to reduce its
infrastructure and bring its resources in line with current market
conditions.
:hp3.PROVISION FOR RECEIVABLE LOSSES:ehp3.
The Company's portfolio of capital equipment leases and loans is
predominantly with investment grade customers. The Company generally
takes a security interest in any underlying equipment financed. The
portfolio is diversified by geography, industry and individual
unaffiliated customer. Working capital financing receivables are
secured by the underlying inventory and accounts receivable financed.
The provision for receivable losses decreased to $9.0 million for the
quarter ended March 31, 1994, compared with $19.6 million for the same
period in 1993. This decrease reflects the reduction in the amount of
capital equipment financed for the first three months of 1994 and an
economic environment that continues to improve. Additionally, the
Company continues to effectively manage credit risk and contain
losses.
:hp3.NET EARNINGS:ehp3.
Net earnings increased to $59.1 million for the first quarter of 1994,
compared with $58.3 million for the same 1993 period.
The Company's expanding working capital financing business, large and
profitable capital equipment remarketing operations, credit risk
management, lower average cost of borrowing, and the containment of
operating expenses contributed to the favorable performance during the
first quarter of 1994.
<PAGE 13>
:hp3.RETURN ON AVERAGE EQUITY:ehp3.
The results for the first three months of 1994 yielded an annualized
return on average equity of 22.2 percent, compared with 20.2 percent
for the comparable 1993 period.
:hp3. NEW ACCOUNTING STANDARD:ehp3.
In May 1993, the Financial Accounting Standards Board issued Statement
of Financial Accounting Standards 115, "Accounting for Certain
Investments in Debt and Equity Securities," which prescribes the
accounting for debt and equity securities held as assets. This
statement is effective for fiscal years beginning after December 15,
1993.
The Company implemented this statement, effective January 1, 1994.
The implementation had no material impact to the Company's financial
position and results of operations.
:hp3.CLOSING DISCUSSION:ehp3.
The Company's resources continue to be sufficient to enable it to
carry out its mission of supporting customers in their acquisition of
IBM products and services by providing competitive financing, and
contributing to the growth and stability of IBM earnings.
<PAGE 14>
[SIGNATURE]
Part II - Other Information
___________________________
Item 1. Legal Proceedings
__________________________
None material.
Item 6(b). Reports on Form 8-K
_______________________________
No reports on Form 8-K have been filed during the first three months
of 1994.
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.
IBM CREDIT CORPORATION
______________________
(Registrant)
Date: May 11, 1994 By: A. R. Schleicher
_________________ _____________________
A. R. Schleicher
Vice President &
Assistant General Manager,
Finance & Risk Management
and Chief Financial Officer
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<PAGE 1>
Data Stated in Thousands
Voluntary Schedule - Certain Financial Information
<CAPTION> First First Year to Year to
Regulation Statement Caption Quarter Quarter Date Date
1994 1993 1994 1993
<S> <S> <C> <C><C>
5-02(1) Cash and cash equivalents 548,506 681,214 - -
5-02(18) Total assets 9,541,673 10,900,900 - -
5-02(22) Long-term debt 2,141,147 2,179,706 - -
5-02(30) Capital stock 438,811 438,811 - -
5-02(31)(a)(3)(ii) Retained earnings 620,979 699,949 - -
5-03(b)(1)(a) Equipment sales 150,530 164,746 150,530 164,746
5-03(b)(1)(c) Income from rentals, net 38,788 35,006 38,788 35,006
5-03(b)(1)(d) Income from capital leases 89,623 125,050 89,623 125,050
5-03(b)(1)(d) Income from loans 21,063 31,290 21,063 31,290
5-03(b)(1)(d) Income from working capital financing 30,488 22,979 30,488 22,979
5-03(b)(1)(d) Other income 29,642 26,586 29,642 26,586
5-03(b)(2)(a) Cost of equipment sales 138,086 148,143 138,086 148,143
5-03(b)(8) Interest expense 75,425 93,931 75,425 93,931
5-03(b)(10) Earnings before income taxes 97,411 93,345 97,411 93,345
5-03(b)(11) Provision for income taxes 38,350 35,094 38,350 35,094
5-03(b)(19) Net earnings 59,061 58,251 59,061 58,251
</TABLE>
