<PAGE> 1
U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 10-QSB
Quarterly Report Under Section 13 or 15 (d) of the
Securities Exchange Act of 1934
For Quarter ended September 30, 1998 COMMISSION FILE NUMBER 0-10898
------------------ -------
MERCHANTS CAPITAL CORPORATION
-----------------------------
(Exact name of registrant as specified in charter)
MISSISSIPPI 64-0655603
- -------------------------------- --------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
820 South Street
Vicksburg, Mississippi 39180
- -------------------------------- --------------------
(address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (601) 636-3752
--------------------
Not Applicable
- ----------------------------------------------------------------------------
Former name, former address and former fiscal year; if changed since last
report
Indicate by check mark whether the registrants (1) has filed all reports
required to be filed by Sections 13 or 15 (d) of the Securities 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
742,651 common shares were outstanding as of September 30, 1998.
1
<PAGE> 2
MERCHANTS CAPITAL CORPORATION
INDEX
<TABLE>
<CAPTION>
Page
Number
<S> <C>
Part 1. Financial Information~
Item 1. Financial Statements~
Consolidated Statements of Financial Condition 3
September 30, 1998 (Unaudited) and December 31, 1997
(Unaudited)
Consolidated Statements of Income, Three Months 4
Ended and Nine Months Ended September 30, 1998 and
1997 (Unaudited)
Consolidated Statements of Changes in Stockholders' 5
Equity, Nine Months Ended September 30, 1998 and
1997 (Unaudited)
Consolidated Statements of Cash Flows 6
Nine Months Ended September 30, 1998 and 1997
(Unaudited)
Notes to Consolidated Financial Statements 7
(Unaudited)
Item 2. Management's Discussion and Analysis of Financial 9
Condition and Results of Operations
Part 2. Other Information
Item 1. Legal Proceedings 11
Item 6. Exhibits and Reports on Form 8-K 11
</TABLE>
2
<PAGE> 3
MERCHANTS CAPITAL CORPORATION
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
<TABLE>
<CAPTION>
Sept. 30, 1998 Dec. 31, 1997
(Unaudited) (Unaudited)
------------- -------------
<S> <C> <C>
ASSETS:
Cash & due from banks $ 9,106,463 $ 10,084,731
Federal funds sold 5,185,154 3,473,703
Investment securities:
Available-for-sale 53,386,583 68,151,857
Loans - net 137,594,614 136,238,338
Bank premises & equipment - net 2,461,973 2,698,060
Other real estate 92,924 181,280
Accrued interest receivable 2,421,799 1,997,240
Other assets 754,357 721,154
Premuim paid on purchased assets &
deposits less amortization 415,483 452,333
------------- -------------
TOTAL ASSETS $ 211,419,350 $ 223,998,696
============= =============
LIABILITIES & STOCKHOLDERS' EQUITY
LIABILITIES:
Deposits:
Non-interest bearing deposits $ 20,875,009 $ 25,378,217
Interest bearing deposits 152,620,739 165,757,406
------------- -------------
Total Deposits 173,495,748 191,135,623
Securities Sold Under Repurchase Agreement 16,216,338 11,921,483
Accrued interest payable 689,200 903,348
Accrued taxes and other liabilities 766,334 1,418,982
------------- -------------
TOTAL LIABILITIES 191,167,620 205,379,436
STOCKHOLDERS' EQUITY:
Common stock, $5 par value per share:
Authorized - 1,000,000 shares
Issued & outstanding 742,651 shares 3,713,255 3,713,255
Additional paid-in capital 13,877,419 13,877,419
Retained earnings 2,454,690 941,020
Accumulated other comprehensive income
Unrealized gain on securities 206,366 87,566
------------- -------------
TOTAL STOCKHOLDERS' EQUITY 20,251,730 18,619,260
------------- -------------
TOTAL LIABILITIES and STOCKHOLDERS' EQUITY $ 211,419,350 $ 223,998,696
============= =============
</TABLE>
See notes to consolidated financial statements.
3
<PAGE> 4
MERCHANTS CAPITAL CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
September 30, September 30,
1998 1997 1998 1997
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
Interest and fees on loans $ 3,297,886 $ 3,224,379 $ 9,851,531 $ 9,389,709
Interest on investment securities
Taxable interest income 797,083 859,346 2,482,426 2,500,347
Interest income exempt from
federal income taxes 52,611 43,540 153,773 135,139
Interest on federal funds sold 119,128 85,992 274,359 310,348
------------ ------------ ------------ ------------
TOTAL INTEREST INCOME 4,266,708 4,213,257 12,762,089 12,335,543
Interest Expense:
Interest on deposits 1,709,679 1,676,933 5,143,180 4,988,332
Interest on fed funds pur & sec sold u/repo 197,315 168,768 518,114 489,695
------------ ------------ ------------ ------------
TOTAL INTEREST EXPENSE 1,906,994 1,845,701 5,661,294 5,478,027
------------ ------------ ------------ ------------
NET INTEREST INCOME 2,359,714 2,367,556 7,100,795 6,857,516
Provision for loan losses 105,000 105,000 315,000 315,000
------------ ------------ ------------ ------------
NET INTEREST INCOME AFTER
PROVISION FOR LOAN LOSSES 2,254,714 2,262,556 6,785,795 6,542,516
Other Income:
Service charges on deposits 416,381 408,245 1,226,809 1,197,438
Trust service income 143,294 148,391 408,451 366,444
Insurance premium and commissions 89,927 136,754 361,933 426,046
Other 45,179 49,580 136,360 168,833
------------ ------------ ------------ ------------
TOTAL OTHER INCOME 694,781 742,970 2,133,553 2,158,761
Other Expenses:
Salaries 764,844 764,730 2,342,841 2,328,338
Employee benefits 153,370 142,870 478,810 503,358
Net occupancy expense 141,962 134,459 388,061 384,805
Equipment expense 134,630 146,758 428,581 426,017
Other 472,860 632,815 1,816,768 1,802,226
------------ ------------ ------------ ------------
TOTAL OTHER EXPENSES 1,667,666 1,821,632 5,455,061 5,444,744
------------ ------------ ------------ ------------
INCOME BEFORE INCOME TAXES 1,281,829 1,183,894 3,464,287 3,256,533
INCOME TAX PROVISION 517,340 497,285 1,245,098 1,123,193
------------ ------------ ------------ ------------
NET INCOME $ 764,489 $ 686,609 $ 2,219,189 $ 2,133,340
Other comprehensive income before tax:
Unrealized gains (losses) on securities:
Unrealized holding gains (losses)
arising during the period 105,058 (71,568) 194,755 (49,884)
Less: Reclassification adjustment for
gain included in net income 0 6,330 0 18,639
------------ ------------ ------------ ------------
OTHER COMPREHENSIVE INCOME BEFORE TAX 105,058 (77,898) 194,755 (68,523)
INCOME TAX (EXPENSE) BENEFIT (40,973) 30,380 (75,955) 26,724
------------ ------------ ------------ ------------
OTHER COMPREHENSIVE INCOME, NET OF TAX 64,085 (47,518) 118,800 (41,799)
------------ ------------ ------------ ------------
TOTAL COMPREHENSIVE INCOME $ 828,574 $ 639,091 $ 2,337,989 $ 2,091,541
============ ============ ============ ============
Basic earnings per common share (Note 5) $ 1.03 $ 0.92 $ 2.99 $ 2.87
Diluted earnings per common share (Note 5) $ 1.03 $ 0.92 $ 2.99 $ 2.87
Dividends per common share $ 0.325 $ 0.30 $ 0.95 $ 0.86
Average number of shares of common
stock outstanding 742,651 742,651 742,651 742,651
</TABLE>
See notes to consolidated financial statements.
4
<PAGE> 5
MERCHANTS CAPITAL CORPORATION
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
(Unaudited)
<TABLE>
<CAPTION>
Accumulated Other
Comprehensive Income
Additional --------------------
Common Paid-In Retained Unrealized Gain
Stock Capital Earnings (Loss) on Securities Total
------------ ------------ ------------ -------------------- ------------
<S> <C> <C> <C> <C> <C>
BALANCE, January 1, 1997 $ 3,537,580 $ 12,823,369 $ 596,516 $ 46,924 $ 17,004,389
Net income -- -- 2,133,340 -- 2,133,340
Cash dividends declared
(.86 per share) -- -- (640,157) -- (640,157)
Stock dividend (5%) 175,675 1,054,050 (1,229,725) -- --
Factional Shares
purchased (240.8 shares
@ $35.00 per share) -- -- (8,428) -- (8,428)
Other comprehensive income -- -- -- (41,799) (41,799)
------------ ------------ ------------ -------------------- ------------
BALANCE, Sept. 30, 1997 $ 3,713,255 $ 13,877,419 $ 851,546 $ 5,125 $ 18,447,345
============ ============ ============ ==================== ============
BALANCE, January 1, 1998 $ 3,713,255 $ 13,877,419 $ 941,020 $ 87,566 $ 18,619,260
Net income -- -- 2,219,189 -- 2,219,189
Cash dividends declared
(.95 per share) -- -- (705,519) -- (705,519)
Other comprehensive income -- -- -- 118,800 118,800
------------ ------------ ------------ -------------------- ------------
BALANCE, Sept. 30, 1998 $ 3,713,255 $ 13,877,419 $ 2,454,690 $ 206,366 $ 20,251,730
============ ============ ============ ==================== ============
</TABLE>
See notes to consolidated financial statements.
5
<PAGE> 6
MERCHANTS CAPITAL CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
<TABLE>
<CAPTION>
Nine Months Ended
September 30,
----------------------------
1998 1997
------------ ------------
<S> <C> <C>
OPERATING ACTIVITIES:
Net income $ 2,219,189 $ 2,133,340
Adjustments to reconcile net income to net cash provided by operating
activities:
Provision for loan losses 315,000 315,000
Provision for depreciation and amortization 344,272 347,766
Net accretion on AFS securities (355,431) (508,782)
Gain on sale of securities -- (18,639)
Loss (gain) on sale of real estate 20,101 (14,777)
Increase in accrued interest receivable (424,559) (340,464)
Increase in other assets (40,902) (30,023)
Decrease in accrued interest payable (214,148) (39,997)
Decrease in taxes and other liabilities (114,225) (84,469)
------------ ------------
NET CASH PROVIDED BY OPERATING ACTIVITIES 1,749,297 1,758,955
------------ ------------
INVESTING ACTIVITIES:
(Increase) decrease in federal funds sold (1,711,451) 10,251,066
Purchase of investment securities-AFS (25,920,270) (73,920,414)
Proceeds from maturities of investment securities-AFS 39,706,487 47,627,735
Proceeds from sales of investment securities-AFS -- 6,783,187
Prepayments on mortgage backed securities 1,529,241 2,102,550
Net increase in loans (1,671,276) (5,341,076)
Purchases of premises and equipment (71,335) (167,066)
------------ ------------
NET CASH PROVIDED (USED) BY INVESTING ACTIVITIES 11,861,396 (12,664,018)
------------ ------------
FINANCING ACTIVITIES:
Net (decrease) increase in deposits (17,639,875) 6,329,652
Cash dividends paid (1,243,941) (965,687)
Payment of fractional shares from stock dividend -- (8,428)
Net increase in Sec. sold-repurchase agreement 4,294,855 4,635,707
------------ ------------
NET CASH (USED) PROVIDED BY FINANCING ACTIVITIES (14,588,961) 9,991,244
------------ ------------
DECREASE IN CASH AND CASH EQUIVALENTS (978,268) (913,819)
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE YEAR 10,084,731 10,305,656
------------ ------------
CASH AND CASH EQUIVALENTS AT END OF YEAR $ 9,106,463 $ 9,391,837
============ ============
SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Dividends declared but not paid $ 241,362 $ 222,795
Total increase (decrease) in unrealized gain on
securities available for sale, net of deferred taxes $ 118,800 ($ 41,799)
</TABLE>
See notes to consolidated financial statements.
6
<PAGE> 7
MERCHANTS CAPITAL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
1. Basis of Consolidated Financial Statements
The consolidated financial statement include Merchants Capital Corporation
and its wholly owned subsidiary, Merchants Bank and its wholly owned
subsidiary Merchants Credit Company. All intercompany profits, transactions
and balances have been eliminated.
The consolidated financial statements have been prepared by the Company
without an audit. In the opinion of management, all adjustments (which
include only normal recurring adjustments) necessary to present fairly the
financial position, results of their operations and their cash flows as of
September 30, 1998, and for all periods presented have been made.
Certain information and footnote disclosures normally included in financial
statements prepared in accordance with generally accepted accounting
principles have been condensed or omitted. The results of operations for the
periods ended September 30, 1998, are not necessarily indicative of operating
results for the full year. It is suggested these financial statements be read
in conjunction with the Company's Annual Report and proxy statements filed
with its Form 10-KSB for the year ended December 31, 1997.
2. Nonperforming Assets
Nonperforming assets at September 30, 1998 and December 31, 1997, were as
follows:
<TABLE>
<CAPTION>
9-30-98 12-31-97
------------ ------------
<S> <C> <C>
Nonaccrual loans $ 1,066,660 $ 263,686
Ninety days or more past due 392,278 565,249
------------ ------------
Total nonperforming loans $ 1,458,938 $ 828,935
Other real estate owned (net) 92,924 181,280
------------ ------------
Total nonperforming assets $ 1,551,862 $ 1,010,215
============ ============
Nonperforming loans as a
percent of loans, net of
unearned interest 1.05% 0.60%
</TABLE>
7
<PAGE> 8
3. Allowance for Loan Losses
The following table reflects the transactions in the allowance for loan
losses for the nine month periods ended September 30, 1998 and 1997:
<TABLE>
<CAPTION>
1998 1997
------------ ------------
<S> <C> <C>
Balance at beginning of year $ 1,592,012 $ 1,545,820
Provision charged to operations 315,000 315,000
Charge offs (539,124) (414,456)
Recoveries 196,491 215,489
------------ ------------
Balance at end of period $ 1,564,379 $ 1,661,853
============ ============
Allowance for loan losses as a
percent of loans, net of unearned
interest 1.13% 1.21%
</TABLE>
4. Recent Accounting Pronouncements
The Financial Accounting Standards Board issued Statement of Financial
Accounting Standards No. 128, "Earnings per Share", which becomes effective
for periods ending after December 15, 1997. This statement requires companies
to present two types of earnings per share: "basic" and "diluted". It's
predecessor APB Opinion 15, only required companies with simple capital
structures to present earnings per common share and companies with complex
capital structures to present both the primary and fully diluted EPS.
The financial Accounting Standard Board also issued Statement No. 129,
"Disclosure of Information About Capital Structure" which becomes effective
for financial statements issued for periods ending after December 15, 1997.
This statement consolidates existing disclosures, many of which applied to
public companies. These disclosures will apply to rights and privileges of
outstanding securities, number of shares issued during an annual period and,
if applicable, the interim period presented, liquidation preferences of any
preferred stock and various aggregate and per share amounts upon redemption.
The financial Accounting Standard Board also issued Statement No. 130,
"Reporting Comprehensive Income", which becomes effective for fiscal years
beginning after December 15, 1997. This statement establishes standards for
reporting and display of comprehensive income and its components in a full
set of general-purpose financial statements. This statement requires that all
items that are required to be recognized under accounting standards as
components of comprehensive income be reported in a financial statement that
is displayed with the same prominence as other financial statements.
5. Earning Per Share of Common Stock
Basic earning per share of common stock is based on the weighted average
number of shares outstanding during each period, after giving retroactive
effect to stock dividends.
8
<PAGE> 9
Diluted earnings per share is computed by dividing income by the weighted
average number of common shares outstanding during the period plus the number
of additional common shares that would have been outstanding if any dilutive
potential common stock had been issued.
6. Regulatory Matters
BancorpSouth, Inc., (NYSE/BXS) holding company of BancorpSouth Bank which
does business in Mississippi as Bank of Mississippi, and Merchants Capital
Corporation, holding company of Merchants Bank, announced on May 4, 1998, the
signing of a definitive agreement to merge Merchants Capital Corporation into
BancorpSouth, subject to approval of the shareholders of Merchants Capital
Corporation and federal and state regulatory authorities. A special
shareholders meeting of Merchants Capital Corporation has been set for
November 19, 1998, to vote upon the merger.
ITEM 2. Management's Discussion and Analysis of Financial Condition and
Results of Operation
Changes In Financial Position and Liquidity
In the nine months ended September 30, 1998, assets decreased by
$12,579,346 or 5.62%. This resulted from decreases of $978,268 in cash and
due from banks, $14,765,274 in investment securities, $236,087 in bank
premises & equipment, $88,356 in other real estate, and $36,850 in premium
paid on purchased assets and deposits. These decreases were offset by
increases of $1,711,451 in federal funds sold, $1,356,276 in net loans,
$424,559 in accrued interest receivable, and $33,203 in other assets. The
decrease in assets was also a result of net decreases of $17,639,875 in
deposits, $214,148 in accrued interest payable, and $652,648 in accrued taxes
and other liabilities. These decreases were offset by an increase of
$4,294,855 in securities sold under repurchase agreement, and $1,513,670 in
retained earnings resulting from year-to-date net income of $2,219,189 less
cash dividends declared of $705,519. Also, assets and stockholders' equity
were increased by $118,800 due to an increase in net unrealized gain on
securities available for sale.
Nonperforming loans as of September 30, 1998 were $1,458,938 compared to
$828,935 as of Dec. 31, 1997. The nonaccrual loans increased by $802,974
while the ninety days or more past due decreased by $172,971 as compared to
Dec. 31, 1997. The nonperforming loans as a percent of loans, net of unearned
income, was 1.05% at September 30, 1998 compared to .60% at December 31,
1997.
The allowance for loan losses was $1,564,379 as of September 30, 1998
compared to $1,661,853 as of September 30, 1997. The ratio of the allowance
for possible losses to loans, net of unearned income, decreased to 1.13% as
of September 30, 1998 compared to 1.21% as of September 30, 1997. Management
regularly reviews the level of the allowance for possible loan losses and is
of the opinion that it is adequate at September 30, 1998.
9
<PAGE> 10
ITEM 2. (Continued)
Results of Operations
In the third quarter ended September 30, 1998, net income increased by
$77,880 which represented an increase of 11.34% over the third quarter income of
1997. Net interest income decreased by $7,842 or .33% as a result of an increase
of $53,451 or 1.27% in interest income and an increase of $61,293 or 3.32% in
interest expense. There was no change in the provision for loan losses. Other
income decreased by $48,189 or 6.49%; so did other expenses by $153,966 or
8.45%. The income tax provision increased by $20,055 or 4.03%. The total
comprehensive income, net of taxes, increased by $189,483 or 29.65% compared to
the third quarter in September 30, 1997.
In the nine months ended September 30, 1998, net income increased by
$85,849 which represented an increase of 4.02% over the first nine months income
of 1997. Net interest income increased by $243,279 or 3.55% as a result of an
increase of $426,546 or 3.46% in interest income and an increase of $183,267 or
3.35% in interest expense. There was no change in the provision for loan losses.
Other income decreased by $25,208 or 1.17; while other expenses increased by
$10,317 or .19%. The income tax provision increased by $121,905 or 10.85%. The
total comprehensive income, net of taxes, increased by $246,448 or 11.78%
compared to the nine months ended in September 30, 1997.
Capital Adequacy
The Company and the Bank must maintain certain levels of capitalization as
prescribed by the various regulators. The Company and the Bank must maintain
minimum amounts of capital to total "risk weighted" assets, as outlined under
the regulators' 1992 risk-based capital guidelines. The Company and the Bank are
required to have minimum Tier I and total capital ratios of 4% and 8%,
respectively. The actual ratios at September 30, 1998, were 13.62% and 14.71%
(Company) and 12.77% and 13.85% (Bank), respectively. The Company and the Bank's
leverage ratios at September 30, 1998, were 9.23% and 8.47%, respectively. The
minimum required leverage ratio is 3%-5% with an internal target ratio set at 6%
by management.
The main source of capital expansion for the Company and the Bank continues
to be the retention of earnings. However, if the need arises again, the Company
can use its borrowing ability to inject needed capital into the Bank. The net
change in stockholders' equity of $1,632,470 in the first nine months was the
result of the retention of earnings and by a increase of the unrealized gain on
securities available for sale. At the present time, there are no planned capital
expenditures which would materially restrict capital growth.
10
<PAGE> 11
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
The Bank is involved in certain litigations incurred in the normal course
of business. In the opinion of management and legal councel, liabilities arising
from such claims, if any, would not have a material effect upon the Bank's
consolidated financial statements.
Item 2. Exhibits and Reports on Form 8-K
(a) Exhibits
27 Financial Data Schedule
(b) Reports on Form 8-K
Filed May 13, 1998.
11
<PAGE> 12
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.
MERCHANTS CAPITAL CORPORATION
-----------------------------
Date November 12, 1998 /s/ Howell N. Gage
------------------------ ------------------------------
(Signature)
Howell N. Gage
Chairman of the Board and
Chief Executive Officer
Date November 12, 1998 /s/ James R. Wilkerson, Jr.
------------------------ ------------------------------
(Signature)
James R. Wilkerson, Jr.
Secretary
12
<PAGE> 13
INDEX TO EXHIBITS
Exhibit
Number Description
- ------ -----------
27 Financial Data Schedule
<TABLE> <S> <C>
<ARTICLE> 9
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> SEP-30-1998
<CASH> 9,032
<INT-BEARING-DEPOSITS> 74
<FED-FUNDS-SOLD> 5,185
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 53,387
<INVESTMENTS-CARRYING> 0
<INVESTMENTS-MARKET> 0
<LOANS> 139,159
<ALLOWANCE> 1,564
<TOTAL-ASSETS> 211,419
<DEPOSITS> 173,496
<SHORT-TERM> 16,216
<LIABILITIES-OTHER> 1,456
<LONG-TERM> 0
0
0
<COMMON> 3,713
<OTHER-SE> 16,538
<TOTAL-LIABILITIES-AND-EQUITY> 211,419
<INTEREST-LOAN> 9,852
<INTEREST-INVEST> 2,636
<INTEREST-OTHER> 274
<INTEREST-TOTAL> 12,762
<INTEREST-DEPOSIT> 5,143
<INTEREST-EXPENSE> 518
<INTEREST-INCOME-NET> 7,101
<LOAN-LOSSES> 315
<SECURITIES-GAINS> 0
<EXPENSE-OTHER> 5,455
<INCOME-PRETAX> 3,464
<INCOME-PRE-EXTRAORDINARY> 3,464
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 2,219
<EPS-PRIMARY> 2.99
<EPS-DILUTED> 2.99
<YIELD-ACTUAL> 4.24
<LOANS-NON> 1,067
<LOANS-PAST> 392
<LOANS-TROUBLED> 0
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 1,592
<CHARGE-OFFS> 539
<RECOVERIES> 196
<ALLOWANCE-CLOSE> 1,564
<ALLOWANCE-DOMESTIC> 1,564
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
</TABLE>
