<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-Q
QUARTERLY REPORT
Under Section 13 or 15(d) of the Securities Exchange Act of 1934
FOR THE QUARTER ENDED AUGUST 30, 1997
Commission File No. 0-3488
H. B. FULLER COMPANY
A Minnesota Corporation
IRS Employer Identification No. 41-0268370
1200 Willow Lake Boulevard, P.O. Box 64683, St. Paul, Minnesota 55164-0683
Telephone - (612) 415-5900
Common Stock, $1.00 par value
13,838,773 shares outstanding
as of September 30, 1997
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
----- -----
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<PAGE>
H. B. FULLER COMPANY
THIRD QUARTER 1997 Form 10-Q
Quarterly Report
Table of Contents
PART I. FINANCIAL INFORMATION
------------------------------
Item 1. Financial Statements:
Consolidated Condensed Statements of
Earnings - Thirty-nine weeks ended
August 30, 1997 and August 31, 1996
Consolidated Condensed Balance Sheets -
August 30, 1997 and November 30, 1996
Consolidated Condensed Statements of
Cash Flows - Thirty-nine weeks ended
August 30, 1997 and August 31, 1996
Notes to Consolidated Condensed
Financial Statements
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of
Operations
PART II. OTHER INFORMATION
---------------------------
Item 1. Legal Proceedings
Item 6. Exhibits and Reports on Form 8-K
Signatures
-2-
<PAGE>
H.B. FULLER COMPANY AND CONSOLIDATED SUBSIDIARIES
Consolidated Condensed Statements of Earnings
(Unaudited)
(In Thousands Except Per Share Amounts)
<TABLE>
<CAPTION>
Thirteen Weeks Ended Thirty-Nine Weeks Ended
--------------------------------- ----------------------------------
August 30, 1997 August 31, 1996 August 30, 1997 August 31, 1996
--------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C>
Net sales $323,460 $318,100 $956,423 $941,894
--------------- --------------- --------------- ---------------
Costs and expenses:
Cost of sales 220,700 215,642 653,462 646,109
Selling, administrative
and other expenses 80,814 75,469 243,419 241,694
Interest expense 4,856 4,306 14,755 14,521
(Gain) from sale of assets (1,094) (16,568) (2,619) (17,803)
Other (income) expense, net 850 2,410 2,034 2,010
--------------- --------------- --------------- ---------------
306,126 281,259 911,051 886,531
--------------- --------------- --------------- ---------------
Earnings before income taxes and
minority interests 17,334 36,841 45,372 55,363
Income taxes (7,072) (14,887) (18,511) (22,367)
Net earnings of consolidated subsidiaries
applicable to minority interests 407 61 485 104
Earnings from equity investments 94 - 349 -
--------------- --------------- --------------- ---------------
Net earnings 10,763 22,015 27,695 33,100
Dividends on preferred stock (4) (4) (12) (12)
--------------- --------------- --------------- ---------------
Net earnings applicable to common stock $ 10,759 $ 22,011 $ 27,683 $ 33,088
=============== =============== =============== ===============
Average number of common and common
equivalent shares outstanding 14,068 14,110 14,152 14,100
=============== =============== =============== ===============
Net earnings per common share $0.77 $1.56 $1.96 $2.35
=============== =============== =============== ===============
Cash dividend per common share $0.19 $0.16 $0.54 $0.49
=============== =============== =============== ===============
</TABLE>
* See accompanying Notes to Consolidated Condensed Financial Statements.
-3-
<PAGE>
H.B. FULLER COMPANY AND CONSOLIDATED SUBSIDIARIES
Consolidated Condensed Balance Sheets
(Unaudited)
(In Thousands)
<TABLE>
<CAPTION>
August 30, 1997 November 30, 1996
--------------- -----------------
<S> <C> <C>
ASSETS
Current assets:
Cash and cash equivalents $ 4,283 $ 3,515
Trade receivables 198,520 199,786
Allowance for doubtful accounts (6,412) (7,043)
Inventories 156,539 151,212
Other current assets 58,013 40,728
--------------- -----------------
Total current assets 410,943 388,198
Property, plant and equipment, net of
accumulated depreciation of $293,851
in 1997 and $272,991 in 1996 392,350 391,201
Equity investments 29,660 19,128
Deposits and miscellaneous assets 7,266 6,298
Other long-term assets 19,085 13,031
Other intangibles 14,133 15,383
Excess cost 33,555 36,036
--------------- -----------------
Total assets $906,992 $869,275
=============== =================
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Notes payable $ 53,122 $ 47,920
Current installments of long-term debt 10,558 11,141
Accounts payable 113,520 118,181
Accrued expenses 63,184 61,210
Income taxes payable 11,101 8,129
--------------- -----------------
Total current liabilities 251,485 246,581
Long-term debt,
excluding current installments 200,618 172,779
Accrued pension cost 86,038 89,735
Deferred income taxes, postretirement
costs, and other liabilities 18,415 22,685
Minority interest 15,543 2,755
Stockholders' equity:
Preferred stock 306 306
Common stock 13,840 14,066
Additional paid-in capital 24,951 22,493
Retained earnings 298,294 292,828
Foreign currency translation adjustment 3,023 9,097
Unearned compensation (5,521) (4,050)
--------------- -----------------
Total stockholders' equity 334,893 334,740
--------------- -----------------
Total liabilities and
stockholders' equity $906,992 $869,275
=============== =================
</TABLE>
See accompanying Notes to Consolidated Condensed Financial Statements.
-4-
<PAGE>
H.B. FULLER COMPANY AND CONSOLIDATED SUBSIDIARIES
Consolidated Condensed Statement of Cash Flows
(Unaudited)
(In Thousands)
<TABLE>
<CAPTION>
Thirty-Nine Weeks Thirty-Nine Weeks
Ended Ended *
August 30, 1997 August 31, 1996
---------------- -----------------
<S> <C> <C>
Cash flows from operating activities:
Net earnings $ 27,695 $ 33,100
Adjustments to reconcile net income
to net cash provided by operating activities:
Depreciation and amortization 34,112 34,781
Pension costs 7,994 10,071
Deferred income tax (9,373) 1,638
Gain on sale of assets (2,619) (10,833)
Other items 795 3,998
Change in current assets and liabilities:
Accounts receivable (7,397) (12,249)
Inventory (8,129) 8,074
Prepaid assets (6,680) (3,930)
Accounts payable (29) (4,373)
Accrued expense 7,319 1,309
Income taxes payable (505) 1,074
---------------- -----------------
Net cash provided by operating activities 43,183 62,660
Cash flows from investing activities:
Purchased property, plant and equipment (41,292) (60,475)
Purchased business, net of cash acquired (7,618) (7,625)
Proceeds from sale of assets 6,411 29,551
---------------- -----------------
Net cash used in investing activities (42,499) (38,549)
Cash flows from financing activities:
Increase in long-term debt 40,748 52,848
Current installments and payments of long-term debt (8,746) (56,470)
Notes payable 7,811 (7,093)
Repurchase common stock (15,524) -
Dividends paid (7,504) (6,885)
Other (16,424) (6,527)
---------------- -----------------
Net cash provided (used) by financing
activities 361 (24,127)
Effect of exchange rate changes on cash (277) (188)
---------------- -----------------
Net change in cash and cash equivalents 768 (204)
Cash and cash equivalents at beginning of year 3,515 9,061
---------------- -----------------
Cash and cash equivalents at end of period $ 4,283 $ 8,857
================ =================
Supplemental disclosures of cash flow
information:
Cash paid during the year for:
Interest expense (net of amount capitalized) $ 17,708 $ 19,399
Income taxes $ 21,127 $ 7,598
Noncash investing and financing activities:
Assets acquired by incurring long-term debt $ 0 $ 3,748
</TABLE>
For purposes of this statement, the Company considers all highly liquid debt
instruments purchased with a maturity of three months or less to be cash
equivalents.
* Includes the thirty-nine weeks ended August 31, 1996 for all entities and the
two month stub period for Non-U.S. entities.
-5-
<PAGE>
H.B. FULLER COMPANY AND CONSOLIDATED SUBSIDIARIES
Notes to Consolidated Condensed Financial Statements
(Amounts in Thousands)
(Unaudited)
1. In the opinion of the Company, the accompanying unaudited Consolidated
Condensed Financial Statements include all adjustments necessary to
present fairly the financial position as of August 30, 1997 and
November 30, 1996, the results of its operations for the thirty-nine
weeks ended August 30, 1997 and August 31, 1996 and its cash flows for
the thirty-nine weeks ended August 30, 1997 and August 31, 1996. All
adjustments were of a normal recurring nature.
2. The results of operations for the thirty-nine week period ended August
30, 1997 are not necessarily indicative of the results to be expected
for the full year.
3. The composition of inventories is presented below:
August 30, 1997 November 30, 1996
---------------- ------------------
Raw materials $ 73,742 $ 67,562
Finished goods 94,064 94,642
LIFO reserve (11,267) (10,992)
-------- --------
$156,539 $151,212
======== ========
4. Net earnings per common share is determined by dividing the net
earnings applicable to common stock by the weighted average number of
common and common equivalent shares outstanding (stock options).
5. The Company enters into foreign exchange forward contracts as a hedge
against firm commitment foreign currency intercompany accounts
receivable/payable/debt. Market value gains and losses are recognized,
and the resulting credit or debit offsets foreign exchange gains or
losses on those receivables/payables/debt. At August 30, 1997, the
aggregate contract value of instruments used to sell 4,823 pound
sterling and $4,286 to buy foreign currency (primarily 22,112 Dutch
guilders) and to sell foreign currency (primarily 3,509 Canadian
dollars, 1,370 deutsche marks and 68,000 yen) was $14,955. The
contracts mature between August 31, 1997 and November 20, 2000.
6. The carrying amounts and estimated fair values of the Company's
significant other financial instruments at August 30, 1997, are as
follows:
Carrying Fair
Amount Value
-------- --------
Cash and short-term investments $ 4,283 $ 4,283
Notes payable 53,122 53,122
Long-term debt 211,176 220,785
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<PAGE>
Fair values of short-term financial instruments approximate their
carrying values due to their short maturity.
The fair value of long-term debt is based on quoted market prices for
the same or similar issues or on the current rates offered to the
Company for debt of similar maturities. The estimates presented above
on long-term financial instruments are not necessarily indicative of
the amounts that would be realized in a current market exchange.
7. The Company and EMS-Chemie Holding AG combined their automotive
adhesives, sealants and coatings businesses into an equity-based joint
venture called EFTEC. See footnotes 8 and 9 for the ownership
percentages.
8. The Company acquired 30% of the European and 38% of the Asia/Pacific
EFTEC automotive business for $7,618 cash.
9. The Company sold 30% of its North American and 38% of the Latin
American EFTEC automotive business and sold its construction product
line in Europe for $18,200 cash and assets resulting in a pretax gain
of $4,375.
10. In the third quarter, the Company borrowed 6,000 deutsche marks under
its revolving lines of credit. This loan is a hedge against the
Company's investment in Germany.
11. Certain prior years' amounts have been reclassified to conform to the
1997 presentation.
-7-
<PAGE>
Item 2.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
- ---------------------------------------
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
- ---------------------------------------------
(Dollars in Thousands)
The following discussion includes comments and data relating to the Company's
financial condition and results of operations during the periods included in the
accompanying Consolidated Condensed Financial Statements.
Results of Operations
- ---------------------
Net sales for the third quarter of 1997 increased $5,360, or 1.7%, when compared
to the same quarter in 1996. Adjusting the 1996 sales for the $5,281 sales of
Monarch Division, which was divested in third quarter 1996, sales increased
$10,641, or 3.4%. Net sales for nine months of 1997, increased $14,529, or
1.5%, when compared to nine months of 1996. Adjusting the 1996 sales for the
$19,804 sales of Monarch Division, sales for nine months increased $34,333, or
3.7%.
A comparison of sales increases by operating area is as follows:
Quarter Ended Nine Months Ended
August 30, 1997 August 30, 1997
Operating Area August 31, 1996 August 31, 1996
- ---------------- ---------------- -----------------
North America $ 7,072 4% $ 22,191 4%
Latin America 2,670 6% 3,802 3%
Europe (7,644) (12%) (17,532) (9%)
Asia/Pacific 3,262 16% 6,068 10%
------- --------
Total $ 5,360 2% $ 14,529 2%
======= ========
In North America, the 4% third quarter sales increase was composed of 5
percentage points relating to increased volume and changes in product mix and 2
percentage points resulting from a second quarter 1997 joint venture, and a
negative 3 percentage points from the third quarter 1996 divestiture of Monarch
Division. The Adhesives, Sealants and Coatings Group had a 4% increase in
sales. The growth occurred primarily in the paper/converting, graphic arts and
nonwoven markets of the industrial adhesives group and in the engineered systems
market of the structural adhesives group. A slow down in key sectors had a
negative impact on our polymer sales. The EFTEC (Automotive) Group, our new
joint venture, had a 13% increase in sales, a result of adding the sales of our
new joint venture partner. Excluding the impact of the joint venture, a
slowdown in car production caused a decrease in automotive sales compared to the
prior period. In the Specialty Group, sales increased 11%, excluding the impact
of the Monarch Division divestiture. The sales growth occurred evenly
throughout the Group. North American operating earnings decreased 24% from
$23,155 to $17,672. In 1996, operating earnings were favorably impacted by
$7,111 from reversals of previous quarter accruals and non-accrual of bonuses
and profit-sharing. Excluding this benefit, operating earnings improved $1,628
in 1997 or 10%.
-8-
<PAGE>
For nine months of 1997, North American sales increased 4% and was composed of 5
percentage points resulting from increased volume and changes in product mix, 3
percentage points resulting from sales of a business acquired late in the second
quarter of 1996 and a second quarter 1997 joint venture, and a negative 4
percentage points resulting from the divestiture of the Monarch Division. The
Adhesives, Sealants and Coatings Group had a 7% increase in 1997 sales, with 3
percentage points resulting from a second quarter 1996 acquisition and the other
4 percentage points of growth occurring primarily in the paper/converting and
graphic arts units of the industrial adhesives group and in engineered systems
market of the structural adhesives group. The EFTEC (Automotive) Group, our new
joint venture, had a 5% increase in sales, with a 12 percentage point increase
resulting from adding the sales of our new joint venture partner. Excluding the
impact of the joint venture, a slowdown in car production and competitive
pricing pressures caused a decrease in automotive sales compared to the prior
period. The Specialty Group, excluding the impact of the sale of Monarch
Division, had an 11% sales growth with the primary growth occurring in the
Industrial Coatings Division and TEC Incorporated. North American operating
earnings decreased 5% from $44,049 in 1996 to $41,933 for nine months of 1997.
Excluding the $7,111 favorable impact of bonus and profit-sharing reversals and
non-accruals in 1996, operating earnings were $36,938 and the 1997 increase was
$4,995 or 14%.
Latin American third quarter 1997 sales increased 6% from 1996. The increase in
sales is composed of 7 percentage points relating to increased volume and
changes in product mix partially offset by a 1 percentage point decrease in
pricing. Latin American operating earnings increased 21% when compared to 1996,
increasing from $2,235 to $2,704.
In Europe, the 12% third quarter 1997 sales decrease was composed of 12
percentage points resulting from unfavorable foreign currency translations due
to the strengthening of the U.S. dollar, a negative 3 percentage points due to
pricing, a negative 4 percentage points due to the sale of the construction
business, and a positive 7 percentage points due to increased volume and changes
in product mix. Operating earnings decreased from $2,313 in third quarter 1996
to $1,675 in 1997. Increased raw material costs and competitive pricing were
the primary reasons for the decrease in operating earnings.
Asia/Pacific sales increased 16% from the sales of the same period last year.
The strengthening of the U.S. dollar, compared to local currencies, caused a 6
percentage point decrease. A positive 23 percentage point increase due to
increased volume and changes in product mix was partially offset by a negative 1
percentage point in pricing. Operating earnings improved from ($714) in 1996
to ($105) in 1997.
For nine months of 1997, Latin American sales increased 3% over the same period
in 1996 with 4 percentage points accounted for by increased volume and changes
in product mix, and 1 percentage point resulting from decreased pricing.
Operating earnings increased from $9,044 in 1996 to $10,651 in 1997. European
sales were down 9% from nine months of 1996 sales with the strengthening of the
U.S. dollar causing 9 percentage points of the decrease. Local currency sales
approximated the sales of 1996 with a 6 percentage point increase resulting from
increased volume and changes in product mix being offset by a negative 2
percentage point decrease resulting from the sale of the construction business
-9-
<PAGE>
and 4 percentage points in decreased pricing. Operating earnings increased from
$2,446 in 1996 to $7,181 in 1997. 1996 operating earnings were adversely
impacted by a $2,800 restructuring charge in the second quarter. Asia/Pacific
sales increased 10% with a 5 percentage point decrease resulting from a
strengthened U.S. dollar. A 17 percentage point increase resulting from volume
and changes in product mix was partially offset by a 2 percentage point decrease
in pricing. Operating earnings increased from ($1,448) in 1996 to ($223) in
1997.
Cost of sales for the third quarter increased 2.3% ($5,058) over the same
quarter in 1996. Consolidated gross margins, as a percent of sales, decreased
from 32.2% in 1996 to 31.8% in 1997. Third quarter 1996 cost of goods sold was
favorably impacted $2,200 by non-accrual and reversal of profit-sharing
accruals. Excluding the 1996 profit-sharing impact, 1996 gross margin, as a
percent to sales, would have been 31.5%. Excluding Monarch Division, which was
divested in the third quarter of 1996, from this comparable gross margin, 1996
gross margin, as a percent of sales, would have been 31.3%. Generally stable
raw material costs compared to third quarter 1996, increased pricing to cover
raw material increases in specific areas where increases occurred, improved
volumes, and cost control measures were the reason for the improved gross
margins.
Year-to-date, cost of sales was up 1.1% ($7,353) when compared to the same
period in 1996. Consolidated gross margins, as a percent of sales, increased
from 31.4% in 1996 to 31.7% in 1997. Excluding the profit-sharing impact of
$2,200 from 1996, 1996 gross margin, as a percent of sales, would have been
31.1%. Excluding Monarch Division, which was divested in the third quarter of
1996, from this comparable gross margin, 1996 gross margin, as a percent of
sales, would have been 30.9%.
Selling, administrative, and other expenses for the quarter were up 7.1%
($5,345) when compared to the prior year. This category of expense, as a
percent of sales, increased from 23.7% in 1996 to 25.0% in 1997. Excluding
the impact of a $4,911 profit-sharing and bonus accrual adjustment in 1996, this
category of expense, as a percent of sales, would have been 25.3%.
Selling, administrative, and other expenses for nine months of 1997 increased
0.7% ($1,725) when compared to the prior year. This category of expense, as a
percent of sales, decreased from 25.7% in 1996 to 25.5% in 1997. Adjusting for
a one-time $2,800 restructuring in the second quarter of 1996 and the profit-
sharing and bonus non-accrual of $4,911 in the third quarter of 1996, the 1996
expense was down 0.2% ($386) and the percent of sales for 1996 would be 25.9%.
Year-to-date other (expense)/income, net decreased from an income of $15,793 in
1996 to income of $585 in 1997. The income in 1996 was primarily the result of
a gain on the sale of property in Munich, Germany, income generated from the
sale of equity investments in the United States, and the sale of Monarch
Division. The income in 1997 was primarily the result of gains from the sale of
the construction business in Germany and from the Automotive joint venture in
North America. These gains were partially offset by expenses incurred in the
pursuit of a major acquisition opportunity which was not successful, currency
losses in Asia/Pacific and outside consulting expense.
-10-
<PAGE>
Income taxes for nine months of 1997 decreased $3,856 (17.2%) when compared to
nine months of 1996, primarily as a result of decreased earnings. The effective
tax rate increased from 40.4% in nine months of 1996 to 40.8% for nine months of
1997. The tax rate for nine months of 1997 reflects the 40.8% annual effective
tax rate of 1996.
Net earnings decreased from $33,100 in nine months of 1996 to $27,695 in nine
months of 1997.
Liquidity and Capital Resources
- -------------------------------
The cash flows as presented in this section have been calculated by comparison
of the Consolidated Condensed Balance Sheets at August 30, 1997 and November 30,
1996 and August 31, 1996 and November 30, 1995.
During nine months of 1997, the Company generated $43,183 of cash to finance
operations as compared to $62,660 in nine months of 1996. The decreased
generation of cash was primarily the result of $14,072 increase in cash required
to fund working capital and other non-cash expenses in nine months of 1997
compared to the same period in 1996.
Working capital was $159,458 at August 30, 1997 compared to $141,617 at November
30, 1996. The current ratio at August 30, 1997 was 1.6, equal to the ratio at
November 30, 1996. The number of days sales in trade accounts receivable was 53
days at August 30, 1997 compared to 51 days sales at August 31, 1996. The
average day sales in inventory on hand was 63 days compared to 62 days sales at
August 31, 1996. Trade accounts payable was at 46 days, equal to the days at
August 31, 1996.
The Company's long-term debt to total capitalization ratio was 37.5% at August
30, 1997 compared to 34.0% at November 30, 1996. The primary reason for this
increase in the capitalization ratio was the repurchase of 300,000 shares of
Company stock during the third quarter of 1997.
Capital expenditures for property, plant and equipment of $41,292 in nine months
of 1997 were primarily for continued construction of a manufacturing facility in
Georgia, the investment in Information Technology, for general improvements in
manufacturing productivity and operating efficiency and for environmental
projects. Environmental capital expenditures, less than 10% of total
expenditures, are not a material portion of overall Company expenditures.
Safe Harbor Statement under the Private Securities Litigation Act of 1995
- -------------------------------------------------------------------------
Statements in this Form 10-Q that are forward-looking statements are subject to
various risks and uncertainties including but not limited to economic
conditions, product demand and industry capacity, competitive products and
pricing, manufacturing efficiencies, new product development, availability and
price of raw materials and critical manufacturing equipment, new plant startups,
the regulatory and trade environment and other risks indicated in the
corporation's 10-K report and other SEC filings. Such information contained
herein represents management's best judgment as of the date hereof based on
information currently available.
-11-
<PAGE>
H.B. FULLER COMPANY AND CONSOLIDATED SUBSIDIARIES
(Dollars in Thousands)
A summary of the period to period changes in the principal items included in the
Consolidated Condensed Statements of Earnings is presented below:
<TABLE>
<CAPTION>
Comparison of Thirteen Comparison of Thirty-Nine
Weeks Ended August 30, 1997 Weeks Ended August 30, 1997
and August 31, 1996 and August 31, 1996
--------------------------- ------------------------------
<S> <C> <C>
Net sales $ 5,360 1.7% $ 14,529 1.5%
Cost of sales (5,058) -2.3% (7,353) -1.1%
Selling, administrative and
other expenses (5,345) -7.1% (1,725) -0.7%
Interest expense (550) -12.8% (234) -1.6%
Gain from sale of assets (16,568) * (15,184) -85.3%
Other income (expense), net 2,654 * (24) -1.2%
--------- --------
Earnings before income taxes and
minority interests ($19,507) -52.9% ($9,991) -18.0%
Income taxes 7,815 52.5% 3,856 17.2%
Net earnings of consolidated
subsidiaries applicable to
minority interests 346 * 381 *
Earnings from equity investments 94 * 349 *
--------- --------
Net earnings ($11,252) -51.1% ($5,405) -16.3%
========= ========
</TABLE>
* Change of 100% or more.
-12-
<PAGE>
PART II OTHER INFORMATION
Item 1.
Legal Proceedings.
- -----------------
On August 30, 1995, the Company was named one of 94 defendants, including
numerous other chemical companies, in a purported class action filed in Federal
District Court for the District of Texas on behalf of approximately 114
plaintiffs that worked at the Army Depot in Corpus Christi, Texas. The
plaintiffs seek $100 million in compensatory damages and $400 million in
punitive damages for injuries allegedly resulting from exposure to various
chemicals manufactured by the 94 defendants.
The Plaintiffs and Fuller reached a settlement for a nominal amount. Fuller
will be dismissed from the action in the near future.
-13-
<PAGE>
Item 6.
Exhibits and reports on Form 8-K
- --------------------------------
(a) Exhibits to Part I
27 Financial Data Schedule
(b) Reports on Form 8-K. No reports on Form 8-K were filed for the thirteen
weeks ended August 30, 1997.
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.
H. B. Fuller Company
Dated: October 13, 1997 /S/ Jorge Walter Bolanos
------------------------
Jorge Walter Bolanos
Senior Vice President,
Treasurer and
Chief Financial Officer
Dated: October 13, 1997 /S/ David J. Maki
-----------------------
David J. Maki
Vice President
and Controller
-14-
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY INFORMATION EXTRACTED FROM BALANCE SHEET, INCOME
STATEMENT AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> NOV-29-1997
<PERIOD-START> DEC-01-1996
<PERIOD-END> AUG-30-1997
<CASH> 4,283
<SECURITIES> 0
<RECEIVABLES> 198,520
<ALLOWANCES> 6,412
<INVENTORY> 156,539
<CURRENT-ASSETS> 410,943
<PP&E> 686,201
<DEPRECIATION> 293,851
<TOTAL-ASSETS> 906,992
<CURRENT-LIABILITIES> 251,485
<BONDS> 200,618
0
306
<COMMON> 13,840
<OTHER-SE> 320,747
<TOTAL-LIABILITY-AND-EQUITY> 906,992
<SALES> 956,423
<TOTAL-REVENUES> 956,423
<CGS> 653,462
<TOTAL-COSTS> 243,419
<OTHER-EXPENSES> (585)
<LOSS-PROVISION> 428
<INTEREST-EXPENSE> 14,755
<INCOME-PRETAX> 45,372
<INCOME-TAX> 18,511
<INCOME-CONTINUING> 27,695
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 27,695
<EPS-PRIMARY> 1.96
<EPS-DILUTED> 1.96
</TABLE>
