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FORM 10-Q
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES
EXCHANGE ACT OF 1934
For Quarterly Period Ended MARCH 31, 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 No. 0-8301
GOLDEN TRIANGLE INDUSTRIES, INC.
(Exact Name of Registrant as Specified in its Charter)
State of Colorado 25-1302097
(State or Other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification #)
6314 Aspen Cove Court Sugar Land, TX 77479
(Address of Principal Executive Offices) (Zip Code)
(281) 565-7300
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 [X] Yes [ ] NO
Indicate the number of shares outstanding of each of the issuer's classes
of common stock, as of the latest practicable date.
There were 767,897 Shares, Common Stock, $.001 Par Value March 31, 2000
1
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INDEX
Page
Part I. Financial Information
Item 1. Financial Statements . . . . . . . . . . 3
Item 2. Management's Discussion and Analysis . . . . 12
Part II: Other information
Item 6: Exhibits and Reports on Form 8-K . . . . . . 14
Signatures . . . . . . . . . . . . . . . . . 14
2
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PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
GOLDEN TRIANGLE INDUSTRIES, INC.
CONSOLIDATED BALANCE SHEETS
March 31 December 31
2000 1999
---------- ----------
(Unaudited)
ASSETS
CURRENT ASSETS
Cash $1,138,529 $ 66,199
Accounts receivable - trade 440,848 380,928
Accounts receivable - other 10,060 10,060
Amounts receivable - related parties 63,051 213,636
Inventory 217,560 238,930
Marketable securities 63,975 270,587
Deferred income taxes 160,800 557,288
Prepaid expenses 22,000 15,000
---------- ----------
Total Current Assets 2,116,823 1,752,628
---------- ----------
PROPERTY AND EQUIPMENT 5,179,538 5,144,010
Accumulated depreciation, depletion
and amortization (1,356,706) (1,287,649)
---------- ----------
Net Property and Equipment 3,822,832 3,856,361
---------- ----------
OTHER ASSETS
Notes receivable - long term 328,024 328,024
Accounts receivable - related parties 368,212 302,295
Deferred income tax assets 251,200 126,306
Other 17,708 16,152
---------- ----------
Total Other Assets 965,144 772,777
---------- ----------
TOTAL ASSETS $6,904,799 $6,381,766
========== ==========
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable $ 5,644 $ 67,827
Accrued expenses 10,793 11,050
Line of credit - 266,200
---------- ----------
Total Current Liabilities 16,437 345,077
---------- ----------
STOCKHOLDERS' EQUITY
Preferred stock, $.10 par value (1,000,000
shares authorized)
Class A (622 &1,057 outstanding) 62 106
Class B (40,440 and 40,432 outstanding) 4,043 4,044
Common stock, $.001 par value (100,000,000
shares authorized; 767,897 and 761,030
outstanding) 768 761
Additional paid-in capital 7,557,429 7,547,562
Unrealized (loss) on marketable securities (3,122) 55,676
Accumulated deficit (670,818) (1,571,460)
---------- ----------
Total Stockholders' Equity 6,888,362 6,036,689
---------- ----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $6,904,799 $6,381,766
========== ==========
See accompanying selected information.
3
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GOLDEN TRIANGLE INDUSTRIES, INC.
CONSOLIDATED INCOME STATEMENTS
(Unaudited)
Three Months Ended
March 31
-------------------------
2000 1999
---------- ----------
OPERATING REVENUES
Disposal and service fees $ 105,253 $ 186,000
Oil reclamation, sand and water sales 181,392 178,417
Oil and gas production 82,845 50,349
Gain on sale of operating assets - 16,500
Miscellaneous 58 150
---------- ----------
Total Operating Revenues 369,548 431,416
COST OF REVENUES 264,527 311,806
---------- ----------
GROSS PROFIT 105,021 119,610
SELLING AND ADMINISTRATIVE EXPENSES 197,903 375,875
---------- ----------
INCOME/(LOSS) FROM OPERATIONS (92,882) (256,265)
OTHER INCOME/(EXPENSES)
Interest and dividend income 6,631 3,422
Interest expense (6,492) (5,602)
Transfer fees 1,435 2,175
Gain/(loss) on sale of assets 1,317,753 -
---------- ----------
INCOME/(LOSS) BEFORE INCOME TAXES 1,226,445 (256,270)
Income tax benefit/(expense) 325,803 1,358
---------- ----------
NET INCOME/(LOSS) 900,642 (254,912)
Other comprehensive income, net of tax:
Unrealized gains/(losses) on securities (58,797) (4,389)
---------- ----------
COMPREHENSIVE INCOME $ 841,845 $(259,301)
========== ==========
Basic Earnings per Common Share $ 1.18 $ (0.42)
Diluted Earnings per Common Share 1.12 (0.42)
See accompanying selected information.
4
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GOLDEN TRIANGLE INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
Increase/(Decrease) in Cash and Cash Equivalents
(Unaudited)
Three Months Ended March 31
2000 1999
---------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES
Net income/(loss) $ 900,642 $ (254,912)
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation, depletion and amortization 69,576 120,196
(Gain) on sale of assets and securities (1,317,753) (16,500)
Allowance for bad debts adjustment - 115,257
Receivables (59,920) (132,882)
Inventory 21,370 (22,777)
Amounts due from/to related parties - (6,849)
Other assets (9,100) (21,000)
Accounts payable (62,440) 51,232
Accrued and deferred taxes 316,000 (18,107)
---------- ----------
NET CASH PROVIDED/(USED) BY OPERATING ACTIVITIES (141,625) (186,342)
---------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment (35,529) (52,351)
Purchase of marketable securities 15,079 (11,203)
Investment in subsidiaries - (2,112)
Proceeds from sale of assets 1,406,082 16,500
---------- ----------
NET CASH USED IN INVESTING ACTIVITIES 1,385,632 (49,166)
---------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuing stock 9,855 9,457
Loan to related parties - (8,347)
Repayment from related parties 84,668 26,699
Borrowing under line of credit - 70,000
Repayments on line of credit (266,200) -
---------- ----------
NET CASH PROVIDED BY FINANCING ACTIVITIES (171,677) 97,809
---------- ----------
Increase/(Decrease) in Cash 1,072,330 (137,699)
Cash at Beginning of Year 66,199 160,204
---------- ----------
CASH AT END OF PERIOD $ 1,138,529 $ 22,505
========== ==========
Supplemental Disclosures - Non-cash Investing and Financing Transactions
Cash paid for interest $ 6,492 $ 5,602
Cash paid for income taxes - -
See accompanying selected information.
5
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GOLDEN TRIANGLE INDUSTRIES, INC.
SELECTED INFORMATION FOR CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
March 31, 2000
NOTE 1: BASIS OF PRESENTATION
The accompanying unaudited financial statements have been prepared in
accordance with generally accepted accounting principles for interim
financial information and with instructions to Form 10-01 of Regulation
S-X. They do not include all information and footnotes required by
generally accepted accounting principles for complete financial
statements. However, except as disclosed herein, there has been no
material change in the information included in the Company's Annual Report
on Form 10-K for the year ended December 31, 1999. In the opinion of
Management, all adjustments (consisting of normal recurring accruals)
considered necessary for a fair presentation have been included.
Operating results for the three month period ended March 31, 2000, are not
necessarily indicative of the results that may be expected for the year
ending December 31, 2000.
NOTE 2: SALE OF MARKETABLE SECURITIES
During the first quarter of 2000, the Company sold all of its holdings in
Broadband Wireless Communications, Inc. (formerly known as Black Giant Oil
Company). These holdings were acquired during the early 1980's prior to a
period of dormancy. A group took control of the dormant entity during
1999 and began the combination of several communications entities under
the Broadband name. The Company took the opportunity during the first
quarter to convert its holdings to cash as indicated in the Statements of
Operations and Cash Flows.
The Company also sold approximately 60% of its holdings in Clearworks.net,
Inc. during the first quarter.
NOTE 3: STOCK TRANSACTIONS
The Company has issued 2,449 common shares under its Dividend Reinvestment
Plan during 2000 for proceeds of $9,855.
The Company has also accepted the conversion of 435 shares of Class A and
8 shares of Class B preferred into 4,430 common shares on the basis of ten
common shares for each preferred share tendered.
NOTE 4: COMPREHENSIVE INCOME
Other comprehensive income is comprised of unrealized gains/losses on
marketable securities and dividends paid. Changes in unrealized
gains/losses on marketable securities for 1999 are as follows:
Balance at December 31, 1998 $ 55,676
Change during 1999 (58,797)
----------
Current balance $ (3,121)
==========
6
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NOTE 5: EARNINGS PER SHARE
The following table sets forth the computation of basic and diluted
earnings per common share (EPS) for the three months ended March 31 as
indicated.
Three Months
2000 1999
---------- ----------
Numerator:
Net income $ 900,642 $ (254,912)
Less preferred stock dividends - -
---------- ----------
Numerator for basic EPS 900,642 (254,912)
Effect of dilutive preferred stock dividends - -
---------- ----------
Numerator for diluted EPS $ 900,642 $ (254,912)
========== ==========
Denominator:
Basic weighted average shares
outstanding 764,504 606,389
Convertible preferred shares (1) 41 054 -
---------- ----------
Denominator for diluted EPS 805,558 606,389
=========== ==========
Basic EPS $ 1.18 $ (0.42)
Diluted EPS 1.12 (0.42)
(1) Convertible preferred shares of 60,152 were determined to be
anti-dilutive during 1999, respectively.
NOTE 6: SEGMENT AND GEOGRAPHICAL DATA
Three Months Ended March 31,
Segment Data: 2000 1999
---------- ----------
Revenues:
Oil field services $ 105,253 $ 186,000
Oil reclamation and other sales 181,392 178,417
Oil and gas 82,845 50,349
Other 58 16,650
---------- ----------
Totals $ 369,548 $ 431,416
========== ==========
Operating profit:
Oil field rentals and services $ (120,831) $ (317,483)
Oil reclamation and other sales 4,449 45,181
Oil and gas 23,442 (613)
Other 58 16,650
---------- ----------
Totals (92,882) (256,265)
Other income and expense 1,319,327 (5)
---------- ----------
Income before income taxes $1,226,445 $ (256,270)
========== ==========
7
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Three Months Ended March 31,
Geographical Data: 2000 1999
---------- ----------
Revenues:
United States $ 320,831 $ 394,725
Australia 48,717 36,691
Canada - -
---------- ----------
Totals $ 369,548 $ 431,416
========== ==========
Operating profit:
United States $ (105,959) $ (279,738)
Australia 13,077 23,473
Canada - -
---------- ----------
Totals (92,882) (256,265)
Other income and expense 1,319,327 (5)
---------- ----------
Income before income taxes $1,226,445 $ (256,270)
========== ==========
NOTE 7: SUBSEQUENT EVENTS
During May 2000, the Company finalized an agreement, subject to the
approval of the Company's stockholders, calling for the simultaneous
acquisition of Whitemark Homes, Inc. through the issuance of common shares
and the exchange of most of the Company's current assets for the preferred
shares held by the Company's current President. This transaction, once
approved, will move the Company out of its association with the oil and
gas industry into the business of land development through new home
construction. This transaction will be treated as a purchase for
accounting purposes. However, due to the retention of significant control
by the current owners of Whitemark, the assets and liabilities acquired by
the Company will not be adjusted to current fair values.
PRO FORMA FINANCIAL DATA REGARDING ACQUISITION OF WHITEMARK HOMES, INC.
The following tables set forth summarized historical financial statements
as of December 31, 1999, adjustments to reflect the effects of the
proposed acquisition of Whitemark Homes and exchange of assets to Kenneth
Owens. Pro forma adjustments include the removal of the Company's oil and
gas properties, the Altair property, and all of the Company's oil and gas
service business. Adjustments also include estimated income tax
adjustments to reflect estimated income taxes on Whitemark Homes' earnings
and anticipated reduced benefit from tax loss carry-forwards due the
change in control.
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Pro Forma Balance Sheets
As of December 31, 1999
Historical Pro Forma Pro Forma
GTII Whitemark Adjustments Combined
----------- ----------- ----------- -----------
ASSETS
CURRENT ASSETS:
Cash $ 66,199 $ 181,187 $ - $ 247,386
Marketable securities 270,587 - - 270,587
Accounts & notes receivable 1,376,824 182,820 (1,372,800) 186,844
Allowance for uncollectible
accounts (985,836) - 985,836 -
Inventories 238,930 7,696,360 (238,930) 7,696,360
Related party receivables 213,636 - (213,636) -
Other current assets 572,288 393,691 - 965,979
----------- ----------- ----------- -----------
Total Current Assets 1,752,628 8,454,058 (839,530) 9,367,156
----------- ----------- ----------- -----------
FIXED ASSETS:
Property & equipment 2,677,531 60,682 (2,482,548) 255,665
Oil & Gas properties 2,466,479 - (2,466,479) -
Accumulated depreciation &
depletion (1,287,649) (26,853) 1,286,284 (28,218)
----------- ----------- ----------- -----------
Net Fixed Assets 3,856,361 33,829 (3,662,743) 227,447
----------- ----------- ----------- -----------
OTHER ASSETS:
Related party receivables 302,295 - (302,295) -
Accounts & notes receivable-
Long-term 328,024 - (196,814) 131,210
Other assets 142,458 - (16,152) 126,306
----------- ----------- ----------- -----------
Total Other Assets 772,777 - (515,261) 257,516
----------- ----------- ----------- -----------
TOTAL ASSETS $ 6,381,766 $ 8,487,887 $(5,017,534) $ 9,852,119
=========== =========== =========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts & notes payable $ 334,027 $ 7,598,428 $ (334,027) $ 7,598,428
Other current liabilities 11,050 226,977 - 238,027
Related party debt - 37,975 - 37,975
----------- ----------- ----------- -----------
Total Current Liabilities 345,077 7,863,380 (334,027) 7,874,430
----------- ----------- ----------- -----------
STOCKHOLDERS' EQUITY:
Preferred stock:
Class A 106 - - 106
Class B 4,044 - (3,992) 52
Common stock 761 100 434 1,295
Other stockholders' equity 7,603,238 99,684 (4,155,226) 3,547,696
Retained earnings (1,571,460) 524,723 (524,723) (1,571,460)
----------- ----------- ----------- -----------
Total Stockholders' Equity 6,036,689 624,507 (4,683,507) 1,977,689
----------- ----------- ----------- -----------
TOTAL LIABILITIES &
STOCKHOLDERS' EQUITY $ 6,381,766 $ 8,487,887 $(5,017,534) $ 9,852,119
=========== =========== =========== ===========
9
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Pro Forma Income Statements
For the Year Ended December 31, 1999
Historical Pro Forma Pro Forma
GTII Whitemark Adjustments Combined
----------- ----------- ----------- -----------
Net sales & revenue $ 2,337,162 $13,395,922 $(2,337,162) $13,395,922
Cost of goods sold 1,757,934 11,070,753 (1,757,934) 11,070,753
----------- ----------- ----------- -----------
Gross profit 579,228 2,325,169 (579,228) 2,325,169
Selling, general &
administrative expenses 1,016,389 1,355,793 (1,016,389) 1,355,793
----------- ----------- ----------- -----------
Income/(loss) from
operations (437,161) 969,376 437,161 969,376
Other income/(expense) (481,863) (568,246) 502,465 (547,644)
----------- ----------- ----------- -----------
Income/(loss) before
income taxes (919,024) 401,130 939,626 421,732
Income tax expense/(benefit) (362,809) - 527,383 164,574
----------- ----------- ----------- -----------
Net income/loss $ (556,215) $ 401,130 $ 412,243 $ 257,158
=========== =========== =========== ===========
Earnings per share:
Basic $ (0.89) $ 4,011.30 $ 0.22
Diluted (0.89) 4,011.30 0.22
Weighted average shares
outstanding:
Basic 627,366 100 1,161,126
Diluted 627,366 100 1,161,126
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Pro Forma Income Statement
Three Months Ended March 31, 2000
Historical Pro Forma Pro Forma
GTII Whitemark Adjustments Combined
----------- ---------- ----------- ----------
Net sales & revenue $ 369,548 $2,962,814 $ (369,548) $2,962,814
Cost of goods sold 264,527 2,492,819 (264,527) 2,492,819
----------- ---------- ----------- ----------
Gross profit 105,021 469,995 (105,021) 469,995
Selling, general &
administrative expenses 197,903 255,056 (197,903) 255,056
----------- ---------- ----------- ----------
Income from operations (92,882) 214,939 92,882 214,939
Other income and expenses 1,319,327 (114,538) (1,319,327) (114,538)
----------- ---------- ----------- ----------
Income/(loss) before
income taxes 1,226,445 100,401 (1,226,445) 100,401
Income tax expense 325,803 - (359,939) (34,136)
----------- ---------- ----------- ----------
Net income $ 900,642 $ 100,401 $ (866,506) $ 134,537
=========== ========== =========== ==========
Earnings per share:
Basic $ 1.18 $ 1,004.01 $ 0.10
Diluted 1.18 1,004.01 0.10
Weighted average shares
outstanding:
Basic 764,504 100 1,298,264
Diluted 764,504 100 1,298,264
Note 1: Adjustments as noted above include the removal of assets and business
activities being exchanged with Kenneth Owens for his preferred stock. These
business activities consist of the Company's oil and gas services, oil and gas
producing properties, and the Altair property which contains the sand and
gravel sales. The following unaudited financial statements for these
activities were extracted from the financial statements of the Company as of
the dates indicated.
Note 2: The financial statements of the Whitemark Homes Group did not
include a provision for income taxes due to the nature and makeup of the
entities that are to be combined into Whitemark Homes, Inc. prior to this
acquisition. Adjustments include the estimation of income tax at corporate
rates on the net income reported in the underlying financial statements.
11
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Item 2: Management's Discussion and Analysis of Financial Condition and
Results of Operations.
During the first quarter of 2000, the Company sold all of its holdings in
Broadband Wireless Communications, Inc. (formerly known as Black Giant Oil
Company) and approximately 60% of its holdings in Clearworks.net, Inc.
The Broadband holdings were acquired during the early 1980's prior to a
period of dormancy. A group took control of the dormant entity during
1999 and began the combination of several wireless communications entities
under the Broadband entity. Clearworks.net's share price showed quite
favorable appreciation also. The Company took the opportunity during the
first quarter to convert its holdings to cash as indicated in the
Statements of Operations and Cash Flows.
Other operations of the Company compare fairly similarly with the first
quarter of 1999. Oil and gas revenues increased with price improvements
while oil field services were reduced due to the sale of the salt water
disposal operations around Zapata, Texas during the third quarter of 1999.
The most significant occurrence for the Company was finalized in May 2000
as discussed in the notes to the financial statements and below.
LIQUIDITY AND CAPITAL RESOURCES
Management has reported total assets of $6,904,799 at March 31, 2000, an
increase of $523,033 from the $6,381,766 total at December 31, 1999. This
increase is due to the cash generated from the sales of securities
mentioned above. The gain in cash was offset to a large extent by an
decrease in deferred income taxes being utilized to offset the capital
gains from those securities sales. As indicated by the Statement of Cash
Flows, these securities sales generated $1,406,082 in cash while
utilization of the net operating loss carry-forward and recognition of
tax benefits due to the settlement of TransTexas Gas Corporation's
bankruptcy and saved the Company from having to pay taxes on this gain.
Total current assets were also up when comparing March 31, 2000 to both
December 31, 1999 and March 31, 1999. Current assets increased mostly
because of the cash flow from the securities sales. Current liabilities
were down significantly when comparing the current balances to the
balances at both December 31, 1999 and March 31, 1999 because readily
available cash was used to pay of the $266,200 outstanding balances under
the lines of credit.
Historically, the Company's oil field services revenues have been derived
largely from only a few customers. During the first quarter of 2000,
business with TransTexas represented 28% of operating revenues. Superior
Crude Gathering Corp. purchases all of the Company's reclaimed oil. This
represented 40% of operating revenues while sand and gravel sales (all
made to Mike Arnold Trucking, Inc.) represented 9% of operation revenues.
12
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RESULTS OF OPERATIONS
The Company's financial statements present total operating revenues of
$369,548 for the first quarter of 2000, which is a decrease of $61,868
from the first quarter of 1999. This decrease is primarily attributable
to the removal of the South Texas salt water disposal operations. Oil and
gas revenues increased in the first quarter with improvement in prices.
Costs of revenues decreased when comparing the first quarter of 2000 to
the first quarter of 1999 primarily due to reduced lease costs and
depreciation. These decreases, once again, were costs associated with the
South Texas operations.
Selling and Administrative Expenses consists of personnel, advertising,
professional fees, taxes, and other corporate overhead expenses. In 1999,
these costs also include the valuation allowance of $115,257 recorded
against the Company's receivables from TransTexas. During the first
quarter of 2000, these costs declined $62,715 from the first quarter of
1999 (after removing the valuation allowance from 1999). This decline in
costs reflects lower overhead due to the elimination of the office in
Zapata, Texas along with other cost savings as management continued its
efforts to eliminate nonessential expenses.
As mentioned above, the Company was able to take very good advantage of
the stock market performance of two stocks holdings. Both of these
holdings had significantly low cost bases. However, net operating losses
offset a portion of the gain. Another tax benefit, while not good for
the Company's cash flow, resulted from the settlement of TransTexas Gas
Corporation's bankruptcy. Without getting highly technical, the valuation
allowance was previously not deductible for tax purposes. However, the
settlement resulted in the Company owning stock in TransTexas that is
currently worth significantly less than the outstanding receivables that
were erased. With the reduction in value being converted to a known
amount, the loss becomes deductible for tax purposes, at an opportune time
for the Company.
The Company showed a $1.18 per common share profit the first 2000 quarter
compared to a $0.42 per share loss for 1999. This is the net result after
recognizing the a benefit from the reversal of deferred income taxes
during the current quarter as discussed above. The write-down on
receivables (net of tax effects) represented $0.13 of the loss in 1999.
Cash flows from operations shows another decline during the first quarter
of 2000 from those of 1999. However, the change in deferred taxes shown
as part of operations is actually related largely to the offset created
from the gains from the sales of the securities. The most significant
other cash flow event was the repayment of the balances lines of credit
which have accumulated over the past two years.
ACQUISITION AND DISPOSITION AGREEMENTS
In May 2000, the Company finalized an agreement to simultaneously acquire
Whitemark Homes, Inc. in a stock for stock transaction while exchanging
assets which have created auditing problems for the Company for preferred
stock held by the Company's President. The agreement calls for the
issuance of stock to Larry White of Whitemark and the relinquishment of
stock by the Company's President, Kenneth Owens. These stock transactions
13
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will cause a change in control of the Company as Kenneth Owens has agreed to
resign his position. It is expected that Larry White will be elected
President. The notes to the financial statements contain pro forma financial
statements regarding these simultaneous transactions. In addition, the
Company is preparing a Form 8-K which will contain other required disclosures
and audited financial statements of the Whitemark Homes Group.
DISCLOSURE REGARDING FORWARD-LOOKING STATEMENTS
Where this Form 10-Q includes "forward-looking" statements within the meaning
of Section 27A of the Securities Act, the Company desires to take advantage of
the "safe harbor" provisions thereof. Therefore, the Company is including
this statement for the express purpose of availing itself of the protections
of such safe harbor provisions with respect to all of such forward-looking
statements. The forward-looking statements in this Form 10-Q reflect the
Company's current views with respect to future events and financial
performance. These forward-looking statements are subject to certain risks
and uncertainties that could cause actual results to differ from those
anticipated. In this Form 10-Q, the words "anticipates," "believes,
"expects," "intends," "future" and similar expressions identify
forward-looking statements. The Company undertakes no obligation to publicly
revise these forward-looking statements to reflect events or circumstances
that may arise after the date hereof. All subsequent written and oral
forward-looking statements attributable to the Company or persons acting on
its behalf are expressly qualified in their entirety by this section.
PART II: OTHER INFORMATION
Item 6: Exhibits and Reports on Form 8-K
a. Exhibits
Exhibit 27. Financial Data Schedule
b. Reports on Form 8-K
None
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 hereunto duly authorized.
GOLDEN TRIANGLE INDUSTRIES, INC.
May 22, 2000 /s/ Shawna Owens
Shawna Owens, Treasurer
May 22, 2000 /s/ Robert B. Early
Robert B. Early, Chief Financial Officer
14
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<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the
financial statements of Golden Triangle Industries, Inc. for the period
ended March 31, 2000, and is qualified in its entirety by reference to
such financial statements.
</LEGEND>
<CIK> 0000042284
<NAME> GOLDEN TRIANGLE INDUSTRIES, INC.
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-2000
<PERIOD-START> JAN-01-2000
<PERIOD-END> MAR-31-2000
<CASH> 1,138,529
<SECURITIES> 63,975
<RECEIVABLES> 1,499,855
<ALLOWANCES> (985,896)
<INVENTORY> 217,560
<CURRENT-ASSETS> 2,116,823
<PP&E> 5,179,538
<DEPRECIATION> (1,356,706)
<TOTAL-ASSETS> 6,904,799
<CURRENT-LIABILITIES> 16,437
<BONDS> 0
0
4,105
<COMMON> 768
<OTHER-SE> 6,883,489
<TOTAL-LIABILITY-AND-EQUITY> 6,904,799
<SALES> 369,490
<TOTAL-REVENUES> 369,548
<CGS> 264,527
<TOTAL-COSTS> 105,021
<OTHER-EXPENSES> 197,903
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> (6,492)
<INCOME-PRETAX> 1,226,445
<INCOME-TAX> 325,803
<INCOME-CONTINUING> 900,642
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 900,642
<EPS-BASIC> 1.18
<EPS-DILUTED> 1.12
