SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the 13 Weeks Ended March 31, 1995 Commission File Number 0-05083
HYDE ATHLETIC INDUSTRIES, INC.
(Exact name of registrant as specified in its charter)
Massachusetts 04-1465840
(State or other jurisdiction of (I.R.S. employer identification number)
incorporation or organization)
Centennial Industrial Park, 13 Centennial Drive, Peabody, MA 01960
(Address of principal executive offices)
508-532-9000
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 [ ]
Class Outstanding as of March 31, 1995
Class A Common Stock-$.33 1/3 Par Value 2,701,027
Class B Common Stock-$.33 1/3 Par Value 3,532,415
---------
6,233,442
HYDE ATHLETIC INDUSTRIES, INC.
INDEX
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
Condensed Consolidated Balance Sheets as of March 31, 1995
and December 30, 1994. 3
Condensed Consolidated Statements of Income for the
thirteen weeks ended March 31, 1995 and April 1, 1994 4
Condensed Consolidated Statements of Stockholders' Equity
for the thirteen weeks ended March 31, 1995 and April 1, 1994 5-6
Condensed Consolidated Statements of Cash Flows for the
thirteen weeks ended March 31, 1995 and April 1, 1994 . 7-8
Notes to Condensed Consolidated Financial Statements -
March 31, 1995. 9
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations 10
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K 12
Signature 13
<TABLE>
HYDE ATHLETIC INDUSTRIES, INC.
CONDENSED CONSOLIDATED BALANCE SHEET
(Unaudited)
ASSETS
<CAPTION>
March 31, December 30,
1995 1994
----- -----
<S> <C> <C>
CURRENT ASSETS
Cash and cash equivalents $ 1,711,879 $ 3,349,776
Accounts receivable 27,234,175 23,947,584
Inventories 29,995,045 31,863,443
Prepaid expenses and other current assets 3,731,547 2,460,953
------------ -----------
TOTAL CURRENT ASSETS 62,672,646 61,621,756
PROPERTY, PLANT, AND EQUIPMENT, NET 8,268,861 8,292,926
------------ -----------
OTHER ASSETS
Investments in limited partnerships 5,746,768 5,746,768
Other assets 1,329,810 1,420,882
------------ -----------
TOTAL OTHER ASSETS 7,076,578 7,167,650
------------ -----------
TOTAL ASSETS $78,018,085 $77,082,332
============ ============
LIABILITIES AND STOCKHOLDERS' EQUITY
<S> <C> <C>
CURRENT LIABILITIES
Notes payable $ 4,745,124 $ 2,825,120
Accounts payable 3,711,365 4,718,069
Accrued expenses and other current
liabilities 5,655,151 5,382,463
Current maturities of long term debt 2,787,280 2,732,208
------------ -----------
TOTAL CURRENT LIABILITIES 16,898,920 15,657,860
------------ -----------
LONG TERM DEBT 11,213,001 11,922,392
------------ -----------
DEFERRED INCOME TAXES 2,257,872 2,320,777
------------ -----------
MINORITY INTEREST 405,081 426,475
------------ -----------
STOCKHOLDERS' EQUITY
Common stock, $.33 1/3 par value 2,138,047 2,138,047
Additional paid in capital 15,592,805 15,592,805
Retained earnings 31,248,700 30,619,761
Accumulated translation (367,329) (171,471)
------------ -----------
Total 48,612,223 48,179,142
Less: Unearned compensation (391,909) (447,211)
Treasury stock (977,103) (977,103)
------------ -----------
TOTAL STOCKHOLDERS' EQUITY 47,243,211 46,754,828
------------ -----------
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY $78,018,085 $77,082,332
============ ============
See notes to condensed consolidated financial statements
</TABLE>
<TABLE>
HYDE ATHLETIC INDUSTRIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
FOR THE THIRTEEN WEEKS ENDED MARCH 31, 1995 AND APRIL 1, 1994
(Unaudited)
<CAPTION>
March 31, April 1,
1995 1994
------------ -----------
<S> <C> <C>
Net sales $30,237,901 $ 26,114,210
Other income 126,221 129,850
----------- -----------
Total revenue 30,364,122 26,244,060
----------- -----------
Costs and Expenses
Cost of sales 20,376,734 17,779,333
Selling, general and administrative
expenses 8,478,030 7,195,623
Interest expense 435,168 371,138
----------- -----------
Total Costs and Expenses 29,289,932 25,346,094
----------- -----------
Income before income taxes and
minority interest 1,074,190 897,966
Provision for income taxes 417,103 319,229
Minority interest in income of consolidated
subsidiaries 28,148 61,912
----------- -----------
Net income $ 628,939 $ 516,825
============ ============
Per share amounts:
Net income $0.10 $0.08
============ ===========
Weighted average common shares and
equivalents outstanding 6,252,746 6,501,071
============ ===========
Cash dividends per share of common stock 0 0
============ ===========
See notes to condensed consolidated financial statements
</TABLE>
<TABLE>
HYDE ATHLETIC INDUSTRIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY
FOR THE THIRTEEN WEEKS ENDED MARCH 31, 1995 AND APRIL 1, 1994
(Unaudited)
<CAPTION> Additional
Common Stock Paid-In Retained Treasury Stock
Class A Class B Capital Earnings Shares Amount
<S> <C> <C> <C> <C> <C> <C>
Balance, January 1, 1994 $ 915,937 $1,249,404 $16,287,197 $27,683,124 -- --
Issuance of 1,200 shares of
common stock, stock option
exercise 267 133 2,451 -- -- --
Retirement of 7,516 shares of
common stock (1,253) (1,253) (77,427) -- -- --
Issuance of below market options -- -- 41,000 -- -- --
Cancellation of below market
options -- -- (41,580) -- -- --
Amortization of unearned
compensation -- -- -- -- -- --
Net income -- -- -- 516,825 -- --
Foreign currency translation
adjustments -- -- -- -- -- --
Balance, April 1, 1994 914,951 1,248,284 16,211,641 28,199,949 -- --
Balance, December 31, 1994 901,342 1,236,705 15,592,805 30,619,761 180,700 (977,103)
Amortization of unearned
compensation -- -- -- -- -- --
Net income -- -- -- 628,939 -- --
Foreign currency translation
adjustments -- -- -- -- -- --
Balance, March 31, 1995 $ 901,342 $1,236,705 $15,592,805 $31,248,700 180,700 $(977,103)
<CAPTION>
Total
Unearned Notes Accumulated Stockholders'
Compensation Receivable Translation Equity
<S> <C> <C> <C> <C>
Balance, January 1, 1994 $(950,354) $(400,911) $ (74,573) $44,709,824
Issuance of 1,200 shares of
common stock, stock option
exercise -- -- -- 2,851
Retirement of 7,516 shares of
common stock 45,567 34,366 -- --
Issuance of below market options (41,000) -- -- --
Cancellation of below market
options 41,580 -- -- --
Amortization of unearned
compensation 54,724 -- -- 54,724
Net income -- -- -- 516,825
Foreign currency translation
adjustments -- -- (12,085) (12,085)
Balance, April 1, 1994 $(849,483) $ (366,545) $ (86,658) $45,272,139
Balance, December 31, 1994 $(447,211) -- $(171,471) $46,754,828
Amortization of unearned
compensation 55,302 -- -- 55,302
Net income -- -- -- 628,939
Foreign currency translation
adjustments -- -- (195,959) (195,858)
Balance, March 31, 1995 $ (391,909) -- $(367,329) $47,243,211
See notes to condensed consolidated financial statements.
</TABLE>
<TABLE>
HYDE ATHLETIC INDUSTRIES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THIRTEEN WEEKS ENDED MARCH 31, 1995 AND APRIL 1, 1994
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
(Unaudited)
<CAPTION>
March 31, April 1,
1995 1994
----- ------
<S> <C> <C>
Cash flows from operating activities:
Net income $ 628,939 $ 516,825
---------- -----------
Adjustments to reconcile net income to
net cash
Provided (used) by operating activities:
Depreciation 216,646 206,858
Amortization 57,834 23,912
Deferred income tax (benefit) expense (217,656) (40,437)
Provision for bad debts and discounts 1,652,867 1,328,747
Minority interest in income of
consolidated subsidiaries 28,148 61,912
Compensation from stock grants and
stock options 55,302 54,724
Unrealized loss on marketable securities 0 45,203
(Gain) loss on sale of equipment (1,179) 169
Changes in operating assets and liabilities:
Decrease (increase) in assets:
Marketable securities 0 1,989,760
Accounts receivable (4,892,398) (5,537,956)
Inventories 1,888,125 1,435,515
Prepaid expenses and other current
assets (1,093,658) 217,013
Increase (decrease) in liabilities:
Accounts payable (1,029,366) (350,572)
Accrued expenses 193,331 414,961
---------- -----------
Total adjustments (3,142,004) (150,191)
---------- -----------
Net cash provided (used) by
operating activities (2,513,065) 366,634
---------- -----------
Cash flows from investing activities:
Purchases of property, plant and
equipment (106,558) (106,568)
Increase in deferred charges,
deposits and other (9,273) (115,469)
Proceeds from sale of equipment 846 371
---------- -----------
Net cash used by investing activities (114,985) (221,666)
---------- -----------
Cash flows from financing activities:
Net short term borrowings 1,850,830 244,653
Repayment of long term debt
and capital lease obligation (665,357) (426,216)
Payment of termination benefit payable (26,866) (73,769)
Issuances of common stock, including
options 0 2,851
---------- -----------
Net cash provided (used) by financing
activities 1,158,607 (252,481)
Effect of exchange rate changes on cash
and cash equivalents (168,452) (48,736)
---------- -----------
Net decrease in cash and cash equivalents (1,637,895) (156,249)
Cash and equivalents at, beginning of
period 3,349,774 10,013,166
---------- -----------
Cash and equivalents at, end of period $ 1,711,879 $ 9,856,917
========== ===========
Supplemental disclosure of cash flow
information:
Cash paid during the period for:
Incomes taxes $ 427,385 $ 275,990
========== ===========
Interest $ 585,564 $ 146,278
========== ===========
See notes to condensed consolidated financial statements
</TABLE>
HYDE ATHLETIC INDUSTRIES, INC.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
March 31, 1995
(Unaudited)
NOTE A - BASIS OF PRESENTATION
The accompanying unaudited condensed consolidated financial statements have been
prepared in accordance with the instructions to Form 10-Q and, therefore, do not
include all information and footnotes necessary for a fair presentation of
financial position, results of operations, and cash flows in conformity with
generally accepted accounting principals. In the opinion of Management, all
adjustments (consisting solely of normal recurring adjustments) necessary for a
fair presentation have been included. Operating results for thirteen weeks
ended March 31, 1995, are not necessarily indicative of the results for the
entire year.
NOTE B - INVENTORIES
Inventories at March 31, 1995 and December 30, 1994, consisted of the following:
March 31, December 30,
1995 1994
-------- --------
Finished Goods $ 24,037,945 $ 24,722,893
Work in Process 55,362 71,700
Raw Materials and Supplies 5,901,738 7,068,850
--------------- ---------------
$ 29,995,045 $ 31,863,443
=============== ==============
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
THIRTEEN WEEKS ENDED MARCH 31, 1995 COMPARED TO THIRTEEN WEEKS ENDED APRIL 1,
1994
The Company's net sales increased by 15.8% to $30,238,000 for the thirteen weeks
ended March 31, 1995 compared to $26,114,000 for the thirteen weeks ended April
1, 1994. Net sales of the Company's Saucony products increased by 12% to
$23,292,000 in the first quarter of 1995 over the comparable fiscal period in
1994, due to both a greater volume of units shipped and higher selling prices.
Saucony domestic sales were up 9.4% in the first quarter of 1995 over the
comparable 1994 period, due to a greater volume of units sold at higher selling
prices, while foreign sales increased by 18.6% in the first quarter of 1995 over
the comparable 1994 period. The increase in foreign sales was attributable to a
shift in product mix towards more expensive models and favorable foreign
currency translation.
Net sales of the Company's Brookfield products increased by 28% to $4,723,000
for the quarter ended March 31, 1995 compared with the first quarter of 1994.
Domestic sales increased by 18.6%, primarily as a result of increased unit sales
of the Company's Barbie, Playskool and Franklin licensed products. Brookfield's
foreign sales increased by 150%, reflecting expansion of product distribution to
18 countries as of March 31, 1995 compared with 8 countries at the end of the
first quarter of 1994.
The Company's gross profit increased by 18.3% to $9,862,000 in the first quarter
of 1995 in comparison with the 1994 quarterly period. The gross margin was
32.6%, which was 0.7% higher than the gross margin of 31.9% in the comparable
period in 1994. Margin increase at Saucony was due primarily to increased
operating efficiencies at the Company's Bangor, Maine assembly plant and a shift
in product mix to higher margin products. The margin increase at Brookfield
resulted primarily from improved product cost, increased sales of higher margin
licensed products and a reduction in returned goods.
Selling, general and administrative expenses as a percentage of net sales
increased by 0.4% to 28% of net sales for the thirteen weeks ended March 31,
1995 from 27.6% in the comparable 1994 fiscal quarter. Advertising and
promotion increased by approximately $250,000, primarily to increase Saucony
brand awareness overseas through the use of athletes and athletic events.
Selling expenses increased by approximately $500,000, primarily as a result of
growth in commission dollars reflecting higher net sales, selling expenses
related to the Company's new subsidiary in Germany, which did not exist in the
prior comparable 1994 period, and a higher level of spending for trade shows and
sales meetings. In addition, general and administrative expenses increased by
approximately $525,000, primarily as a result of a higher level of professional
expenses, the bankruptcy of a multi-store customer for Saucony products,
expenses associated with Saucony's new subsidiary in Germany, and a higher
level of professional fees and office expense at Saucony Europe, the Company's
European sales and marketing office.
Interest expense increased by approximately 17% in the first quarter of 1995
over the comparable period in 1994, reflecting increased borrowings by the
Company's foreign subsidiaries due to increased working capital needs.
The provision for income tax of 38.8% in the first quarter of 1995 grew from
35.5% for the comparable quarter in 1994, reflecting a shift in the composition
of foreign and domestic pretax profits.
LIQUIDITY AND CAPITAL RESOURCES
As of March 31, 1995, the Company's cash and cash equivalents totalled
$1,700,000, a decrease of approximately $1,600,000 from December 30, 1994.
For the thirteen weeks ended March 31, 1995, the Company used $2,513,000 of net
cash in operating activities, expended $106,000 for capital expenditures,
expended $692,000 to reduce long-term debt and other long-term commitments and
borrowed $1,851,000 on a short-term basis. Principal factors (other than net
income) affecting the Company's cash flow from operations in this period
included an increase in accounts receivable, net of the increase provision for
bad debts and discounts of $1,653,000 as a result of higher sales volume. A
decrease in inventories of $1,868,000, (due to lower inventory purchasing), an
increase in prepaid expenses and other current assets of $1,094,000 (due to
advance payments for advertising and promotions), a decrease in accounts payable
of $1,029,000 (due to decreased inventory purchasing and the paydown of fourth
quarter 1994 expenses) and an increase in accrued expenses of $193,000 (due to
increased commissions payable as a result of first quarter sales increases).
The declining value of the U.S. dollar decreased the value of cash and cash
equivalents by $168,000 during this period.
INFLATION AND CURRENCY RISK
The Company has experienced minimal impact of inflation over the past three
years. The Company has also experienced minimal impact due to currency
fluctuations because substantially all purchases from foreign suppliers and
sales to customers to date have been denominated in United States dollars.
PART II
OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
a. Exhibits
10.01 - Letter Agreement, dated March 30, 1995, between the Company
and Principal Mutual Life Insurance Company.
11.00 - Computation of Earnings Per Share
27.00 - Financial Data Schedule
b. Reports on Form 8-K.
None.
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.
HYDE ATHLETIC INDUSTRIES, INC.
Date: May 12, 1995 By: /s/Charles A. Gottesman
-------------------------
Charles A. Gottesman
Executive Vice President
Chief Operating Officer
(Duly authorized officer and
principal financial officer)
Exhibit 10.01
The Principal Financial Group
Principal Mutual
Life Insurance Company
Des Moines, Iowa 50392-0001
(515) 247-5111 Phone
(515-247-5930 Fax
March 30, 1995
Airborne
Hyde Athletic Industries, Inc.
13 Centennial Drive
Peabody, Massachusetts 01961
Dear Ms. or Sir:
Reference is made to the Note Purchase Agreement, dated April 29, 1988 (herein
the "Note Agreement"), by and between Hyde Athletic Industries, Inc. (the
"Company) and Principal Mutual Life Insurance Company ("Principal Mutual").
Pursuant to the Note Agreement, the Company issued, and Principal Mutual
purchased, 9.70% Senior Notes of the Company (collectively, the "Notes") in the
original aggregate principal amount of $12,000,000 due April 29, 1998.
Capitalized terms used but not defined herein shall have the meanings described
to them in the Note Agreement.
By their execution hereof as provided below, the Company and Principal Mutual
agree and consent to the following waiver, but only as to the extent expressly
provided herein, and subject to the terms and conditions set forth below.
1. INSURANCE. Principal Mutual hereby waives the requirements of Section
10.2(b) of the Note Agreement to the extent that such requirements apply to
insurance coverage obtained by the Company from Arkwright Mutual Insurance
Company ("Arkwright") for so long as Arkwright maintains A.M. Best Company
ratings with respect to size and financial strength of no less than A plus X.
2. CONDITIONS PRECEDENT. The waiver made and granted by Principal Mutual
herein is expressly subject to and shall be effective only upon the satisfaction
of the following conditions.
2.1 The Company and Principal Mutual each shall have executed this letter
agreement.
2.2 As of the date of execution hereof by the Company, no Default or Event
of Default under the Note Agreement shall exist or be continuing, after giving
effect to the waiver set forth herein.
2.3 The representations and warranties of the Company referred to in
Section 7 of the Note Agreement, shall be true and complete in all material
respects, as if made on and as of the date hereof (except as to those
representations and warranties which are made as of a specific date, which shall
be true and complete in all material respects as of such specific date, and
except for changes resulting from transactions or occurrences permitted under
the Note Agreement).
2.4 The representations of the Company referred to in Section 3 hereof
shall be true and complete in all material respects.
3. REPESENTATIONS OF THE COMPANY. The Company, by its execution and delivery
of this letter agreement, hereby represents and warrants to Principal Mutual as
follows:
3.1 As of the date of this letter agreement, no Default or Event of
Default under the Note Agreement, or under any other agreement to which the
Company is subject, exists or is continuing, after giving effect to the waiver
set forth herein.
3.2 The representations and warranties of the Company referred to in
Section 7 of the Note Agreement are true and correct and complete in all
material respects as if made on the date hereof, except as to those
representations and warranties made as of a specific date, which are true and
correct and materially complete as of such date and except for changes resulting
from transactions or occurrences permitted under the Note Agreement.
3.3 No dissolution proceedings with respect to the Company have been
commenced or are contemplated, and there had been no material adverse change in
the business, conditions or operations (financial or otherwise) of the Company
and its Restricted Subsidiaries, taken as a whole since April 29, 1988, except
as previously disclosed to Principal Mutual.
3.4 This Agreement has been duly authorized, executed and delivered by the
Company and constitutes a legal, valid and binding obligation of the Company.
4. MISCELLANEOUS
4.1 It is expressly understood and agreed that the waiver contained herein
shall not constitute either (a) a modification, alteration or amendment of the
terms, conditions, and covenants of the Note Agreement or the Notes, both of
which shall remain unchanged and in full force and effect, except as otherwise
specifically set forth herein, or (b) a waiver, release or limitation upon the
exercise by Principal Mutual of any of the rights, legal or equitable,
thereunder except as to matters as to which Principal Mutual herein expressly
consent or waive compliance and only for the relevant time period set forth
herein. Nothing herein is intended or shall be construed to release or relieve
the Company in any way or to any extent from any of the obligations, covenants
or agreements imposed upon the Company by the Note Agreement or the Notes or
otherwise, or from the consequences of any default thereunder, except as to
matters as to which the undersigned expressly agree herein.
4.2 The Note Agreement and the Notes are in all respects ratified and
confirmed, and all the terms, conditions and provisions thereof shall be and
remain in full force and effect.
4.3 The execution of this letter agreement by Principal Mutual shall not
in any way constitute, or be construed as, a waiver of any provision of, or of
any Default or Event of Default under, the Note Agreement except as expressly
provided herein, nor shall it constitute an agreement or obligation of Principal
Mutual to give its consent to any future waiver, consent or amendment of the
Note Agreement or to any future transaction which would, absent consent of
Principal Mutual, constitute a Default or Event of Default under the Note
Agreement.
4.4 This letter agreement may be executed in as many counterparts as may
be deemed necessary or convenient and by the different parties hereto on
separate counterparts (provided that the Company will execute each counterpart),
and each of which, when so executed, shall be deemed to be an original, but all
such counterparts shall constitute but one and the same agreement.
4.5 This letter agreement shall be deemed effective as of December 30,
1994, provided that the provisions and the conditions precedent set forth in
Section 2 hereof have been completely satisfied.
4.6 This letter agreement (a) shall be binding on the parties hereto and
their respective successors and assigns and shall inure to the benefit of the
parties hereto and their respective successors and assigns, (b) constitutes the
entire agreement among the parties hereto with respect to the matters addressed
herein, and (c) shall be governed by and construed and enforced in accordance
with the laws of the Commonwealth of Massachusetts.
Hyde Athletic Industries, Inc.
By: /s/ Charles Gottesman
----------------------
Its:
Principal Mutual Life Insurance Company
By: /s/ Mark J. Burns
----------------------
Its:
By: /s/ Clint Woods
----------------------
Its:
<TABLE>
HYDE ATHLETIC INDUSTRIES, INC. AND SUBSIDIARIES
EXHIBIT 11 - COMPUTATION OF EARNINGS PER SHARE
<CAPTION>
For the
Thirteen Weeks Ended
---------------------
March 31, April 1,
1995 1994
------ ------
<S> <C> <C>
PRIMARY
Net income applicable to common stock $ 628,939 $ 516,825
---------- ------------
Weighted average shares:
Average shares outstanding 6,233,442 6,493,605
Dilutive stock options based upon
application of the treasury stock
method using average market price 19,304 7,466
---------- ------------
Total shares 6,252,746 6,501,071
========== ===========
Net income per share $ 0.10 $ 0.08
========== ===========
FULLY DILUTED
Net income applicable to common stock $ 628,939 $ 516,825
---------- ------------
Weighted average shares
Average shares outstanding 6,233,442 6,493,605
Dilutive stock options based upon
application of the treasury stock method
using market price at end of period or
average market price, if greater 19,789 7,385
---------- ------------
Total shares 6,253,231 6,500,990
========== ============
Net income per share $ 0.10 $ 0.08
========== ============
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information from Hyde Athletic
Industries, Inc.'s first quarter 1995 10Q and is qualified in its entirety by
such financial statements.
</LEGEND>
<MULTIPLIER> 1
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> JAN-05-1996
<PERIOD-END> MAR-31-1995
<CASH> 1,711,879
<SECURITIES> 0
<RECEIVABLES> 27,234,175
<ALLOWANCES> 642,288
<INVENTORY> 29,995,045
<CURRENT-ASSETS> 62,672,646
<PP&E> 14,156,272
<DEPRECIATION> 5,887,411
<TOTAL-ASSETS> 78,018,085
<CURRENT-LIABILITIES> 16,898,920
<BONDS> 11,213,001
<COMMON> 2,138,047
0
0
<OTHER-SE> 45,105,164
<TOTAL-LIABILITY-AND-EQUITY> 78,018,085
<SALES> 30,237,901
<TOTAL-REVENUES> 30,364,122
<CGS> 20,376,734
<TOTAL-COSTS> 20,376,734
<OTHER-EXPENSES> 8,478,030
<LOSS-PROVISION> 627,993
<INTEREST-EXPENSE> 435,168
<INCOME-PRETAX> 1,074,190
<INCOME-TAX> 417,103
<INCOME-CONTINUING> 628,939
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 628,939
<EPS-PRIMARY> .10
<EPS-DILUTED> .10
</TABLE>
