SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20459
FORM 10-Q
[X] QUARTERLY REPORT UNDER SECTION 13 or 15 (d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For quarterly period ended June 30, 2000
or
[ ] 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 1-8254
THACKERAY CORPORATION
--------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 04-2446697
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
509 Madison Ave.
Suite 1714
New York, New York 10022
(Address of principal executive offices) (Zip Code)
(212) 759-3695
(Registrant's telephone number, including area code)
Unchanged
(Former name, former address and former fiscal year,
if changed since last report)
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 latest practicable date: 5,107,401 shares of common
stock, $.10 par value, as of August 8, 2000.
69555.0001
<PAGE>
PART 1 - FINANCIAL INFORMATION
ITEM 1 - FINANCIAL STATEMENTS
THACKERAY CORPORATION AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
JUNE 30, 2000 AND DECEMBER 31, 1999
<TABLE>
<CAPTION>
2000 1999
---- ----
<S> <C> <C>
ASSETS: (UNAUDITED)
CASH AND CASH EQUIVALENTS $ 4,920,000 $ 5,155,000
INVESTMENT IN REAL ESTATE PARTNERSHIP 4,085,000 4,304,000
INVESTMENTS IN REAL ESTATE 1,860,000 1,860,000
OTHER ASSETS, NET 150,000 114,000
---------------- ----------------
TOTAL ASSETS $ 11,015,000 $ 11,433,000
================ ================
LIABILITIES AND STOCKHOLDERS' EQUITY:
ACCOUNTS PAYABLE AND ACCRUED EXPENSES $ 0 $ 31,000
ACCRUED INCOME AND OTHER TAXES 264,000 280,000
OTHER LIABILITIES 121,000 121,000
---------------- ----------------
TOTAL LIABILITIES 385,000 432,000
---------------- ----------------
STOCKHOLDERS' EQUITY
COMMON STOCK, $.10 PAR VALUE
(20,000,000 SHARES AUTHORIZED;
5,107,401 SHARES ISSUED AND OUTSTANDING 511,000 511,000
CAPITAL IN EXCESS OF PAR VALUE 43,542,000 43,542,000
ACCUMULATED DEFICIT (33,423,000) (33,052,000)
---------------- ----------------
TOTAL STOCKHOLDERS' EQUITY 10,630,000 11,001,000
---------------- ----------------
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY $ 11,015,000 $ 11,433,000
================ ================
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE BALANCE SHEETS.
2
<PAGE>
THACKERAY CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
2000 1999
---- ----
<S> <C> <C>
REVENUES FROM REAL ESTATE OPERATIONS $ 0 $ 16,000
EQUITY IN NET LOSS FROM REAL ESTATE PARTNERSHIP (118,000) $ 0
GENERAL AND ADMINISTRATIVE EXPENSE (156,000) (162,000)
INTEREST INCOME 77,000 52,000
------------- -------------
LOSS BEFORE INCOME TAXES (197,000) (94,000)
INCOME TAXES 0 0
------------- -------------
NET LOSS ($197,000) ($94,000)
============= =============
LOSS PER SHARE ($0.04) ($0.02)
============= =============
NUMBER OF SHARES 5,107,401 5,107,401
============= =============
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE STATEMENTS.
3
<PAGE>
THACKERAY CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
2000 1999
---- ----
<S> <C> <C>
REVENUE FROM REAL ESTATE OPERATIONS $ 0 $ 32,000
EQUITY IN NET LOSS FROM REAL ESTATE PARTNERSHIP (232,000) 0
GENERAL AND ADMINISTRATIVE EXPENNSES (288,000) (294,000)
INTEREST INCOME 149,000 111,000
----------- -----------
LOSS BEFORE INCOME TAXES (371,000) (151,000)
INCOME TAXES - -
----------- -----------
NET LOSS ($371,000) ($151,000)
=========== ===========
LOSS PER SHARE ($0.07) (0.03)
=========== ===========
NUMBER OF SHARES 5,107,401 5,107,401
=========== ===========
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE STATEMENTS
4
<PAGE>
THACKERAY CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
2000 1999
---- ----
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
NET LOSS ($371,000) ($151,000)
ADJUSTMENTS TO RECONCILE NET
LOSS TO NET CASH USED IN OPERATING
ACTIVITIES:
EQUITY IN NET LOSS FROM REAL ESTATE
PARTNERSHIP 232,000 0
CHANGES IN ASSETS AND LIABILITIES:
INCREASE IN RECEIVABLES FROM REAL ESTATE
PARTNERSHIP 0 (118,000)
INCREASE (DECREASE) IN ACCOUNTS PAYABLE
AND ACCRUED LIABILITIES (47,000) 102,000
OTHER, NET (36,000) (34,000)
----------------- -----------------
NET CASH USED IN OPERATING ACTIVITIES (222,000) (201,000)
---------------- -----------------
CASH FLOWS FROM INVESTING ACTIVITIES:
INVESTMENT IN REAL ESTATE PARTNERSHIP (13,000) (3,000)
----------------- -----------------
NET CASH USED IN INVESTING ACTIVITIES (13,000) (3,000)
----------------- -----------------
NET DECREASE IN CASH AND CASH
EQUIVALENTS (235,000) (204,000)
----------------- -----------------
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD 5,155,000 4,683,000
---------------- ----------------
CASH AND CASH EQUIVALENTS - END OF PERIOD $4,920,000 $4,479,000
================ ================
</TABLE>
THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE STATEMENTS.
5
<PAGE>
THACKERAY CORPORATION AND SUBSIDIARY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
June 30, 2000 and 1999
1. BASIS OF PRESENTATION
The significant accounting policies followed by the Company in the
preparation of these unaudited interim financial statements are
consistent with the accounting policies followed in the audited
annual financial statements. In the opinion of management, all
adjustments (consisting of normal recurring accruals) considered
necessary for a fair presentation have been included.
Certain information and footnote disclosures included in the audited
financial statements have been omitted. For additional information,
reference is made to the financial statements and notes thereto
included in the Company's Annual Report to Stockholders for the year
ended December 3l, 1999.
The net loss applicable to common stock for the three months ended
June 30, 2000 and 1999 was divided by the number of shares
outstanding during the period to determine per share data.
2. INCOME TAXES
The Company anticipates it will generate a Federal taxable loss for
the year ending December 31, 2000, and therefore it expects that no
Federal income taxes will be payable for the year ending December 31,
2000. The Company reported taxable income for the year ended December
31, 1999. However, the Company had capital loss carryforwards and net
operating loss carryforwards in excess of the reported taxable income
and therefore no Federal income tax provision was required for the
year then ended. Accordingly, no Federal income tax provisions have
been made for the six month and three month periods ended June 30,
2000 and 1999.
3. STATEMENTS OF CASH FLOWS
There were no interest payments for the six months and three months
ended June 30, 2000 and 1999.
There were no income tax payments during the six months and three
months ended June 30, 2000 and 1999.
6
<PAGE>
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations
(1) Material Changes in Financial Condition
The Company anticipates that its current cash and cash
equivalent balance will be sufficient to fund its requirements for
the foreseeable future.
At June 30, 2000 the Company had no commitments for capital
expenditures.
(2) Material Changes in Results of Operations
In November 1999, the Company sold its leasehold property,
which was the only source of revenues from real estate operations
in 1999.
Operations of the real estate partnership commenced in
December 1999.
General and administrative expenses were $6,000 or 2% lower
for the six months ended June 30, 2000 versus the same period in
1999.
Interest income for the six months ended June 30, 2000 was
$149,000, which was $38,000 higher than the amount for the six
months ended June 30, 1999. The increase results from the Company's
maintaining larger cash investment balances.
Item 3. Quantitative and Qualitative Disclosures About Market Risk
Not applicable.
7
<PAGE>
Part II. Other Information
Item 6. Exhibits and Reports on Form 8-K
(a)
27 Financial data schedule
(b) Reports on Form 8-K
The Company did not file any Current Reports on Form 8-K
during the quarter ended June 30, 2000.
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 thereunto duly authorized.
THACKERAY CORPORATION
By: /s/ Jules Ross
----------------------------------
Jules Ross
Vice President, Finance,
(Principal Financial Officer)
Date: August 8, 2000
8
<PAGE>
EXHIBIT INDEX
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Exhibit No. Description
----------- -----------
27 Financial data schedule
9
