FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
Quarterly Report Under Section 13 or 15 (d)
of the Securities Exchange Act of 1934
For Quarter Ending March 31, 1999 Commission file number 0-7832
(3 Accounting Periods)
JOURNAL EMPLOYEES' STOCK TRUST
(Exact name of registrant as specified in its charter)
WISCONSIN 39-6153189
(State or other jurisdiction of (I.R. S. Employer Identification No.)
incorporation or organization)
P.O. Box 661, 333 W. State St., Milwaukee, Wisconsin 5320l
(Address of principal executive offices) (Zip Code)
414-224-2728
(Registrant's telephone number, including area code)
(Former name, former address and former fiscal year,
if changed since last report)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15 (d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period
that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days. YES X NO
<PAGE>
FORM 10-Q
JOURNAL EMPLOYEES' STOCK TRUST
For Quarter Ending March 31, 1999 Commission file number 0-7832
(3 Accounting Periods)
INDEX
Page No.
--------
Part I. Financial Information
Item 1. Financial Statements (Unaudited)
Statement of Cash and Liabilities 3
Statement of Trust Income 4
Statement of Cash Flow 5
Notes to Financial Statements 6
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations 7
Item 3. Quantitative and Qualitative Disclosure
of Market Risk 7
Part II. Other Information
Item 6. Exhibits and Reports on Form 8-K 8
2
<PAGE>
FORM 10-Q
JOURNAL EMPLOYEES' STOCK TRUST
For Quarter Ending March 31, 1999 Commission file number 0-7832
(3 Accounting Periods)
Part 1, Item 1. Financial Information (Unaudited)
Statement of Cash and Liabilities
3/31/99 12/31/98
------- --------
(Unaudited)
Assets:
Cash in bank $ 0 $ 0
--------- ---------
$ 0 $ 0
========= =========
Liabilities:
Note payable to Journal Communications, Inc. $ 0 $ 0
--------- ---------
$ 0 $ 0
========= =========
Note: The Statement of Cash and Liabilities at December 31, 1998, has been
derived from the audited financial statements at that date.
See notes to financial statements
3
<PAGE>
FORM 10-Q
JOURNAL EMPLOYEES' STOCK TRUST
For Quarter Ending March 31, 1999 Commission file number 0-7832
(3 Accounting Periods)
Statement of Trust Income
-------------------------
Three Months Ended
------------------
3/31/99 3/31/98
------- -------
(Unaudited) (Unaudited)
Dividends on common stock
of Journal Communications, Inc.
held by the Trust $ 6,921,514 $ 7,051,634
----------- -----------
$ 6,921,514 $ 7,051,634
=========== ===========
Per Share $ 0.28 $ 0.275
----------- -----------
$ 0.28 $ 0.275
=========== ===========
Dividends to holders of Units of
Beneficial Interest $ 6,921,514 $ 7,051,634
----------- -----------
$ 6,921,514 $ 7,051,634
=========== ===========
Per Unit $ 0.28 $ 0.275
----------- -----------
$ 0.28 $ 0.275
=========== ===========
See notes to financial statements
4
<PAGE>
FORM 10-Q
JOURNAL EMPLOYEES' STOCK TRUST
For Quarter Ending March 31, 1999 Commission file number 0-7832
(3 Accounting Periods)
Statement of Cash Flow
----------------------
Three Months Ended
------------------
3/31/99 3/31/98
------- -------
(Unaudited) (Unaudited)
Source of cash:
Receipts from purchasers of Units
of Beneficial Interest (Note 3) $ 29,515,975 $ 65,901,908
Dividends received from
Journal Communications, Inc. 6,921,514 7,051,634
------------ ------------
36,437,489 72,953,542
Uses of cash:
Disbursements to sellers of
Units of Beneficial Interest (29,515,975) (65,901,908)
Dividends paid to holders of
Units of Beneficial Interest (6,921,514) ( 7,051,634)
Reduction of note payable to
Journal Communications, Inc. 0 ( 100)
------------ ------------
Net decrease in cash 0 ( 100)
Cash at beginning of year 0 100
------------ ------------
Cash at March 31 $ 0 $ 0
============ ============
See notes to financial statements
5
<PAGE>
FORM 10-Q
JOURNAL EMPLOYEES' STOCK TRUST
For Quarter Ending March 31, 1999 Commission file number 0-7832
(3 Accounting Periods)
Notes to Financial Statements
(Unaudited)
l. The only business of Journal Employees' Stock Trust (Trust), under
agreement dated May 15, 1937, as amended, is the record holding of common
stock of Journal Communications, Inc. ("Company"), the issuance of Units
of Beneficial Interest in such shares ("Units"), and in limited
instances, the voting of shares of the Company's common stock held by it.
The Trust is administered by five trustees who are officer/directors of
the Company and receive no remuneration for services performed for the
Trust. The trustees are required to distribute all Trust income
(consisting solely of dividends paid by the Company), less such amounts
as the trustees deem necessary for payment of taxes and administrative
expenses, as soon as practicable after receipt. Since its origination,
substantially all expenses of the Trust have been paid by the Company,
and cash dividends payable to the Trust have been paid directly to the
unitholders by the Company. The Trust distributes all of its income and,
therefore, pays no income taxes.
2. Common Stock of the Company
Upon deposit by the Company of shares of common stock, the Trust issues a
like number of Units and the Company offers such Units to employees of
the Company ("Employees"). Sales of Units by the Trust are made the
formula price determined in accordance with the Trust Agreement.
3. Unitholders' Sales of Units of Beneficial Interest
Unitholders may sell all or a portion of their Units only to other
Employees designated by the President of the Company or, under certain
circumstances, to shareholders of the Company, at the current formula
price under the terms and conditions of the Trust Agreement. If the Units
are not sold in this manner, the Units are freely transferable, subject
to a five-year right of the Company to purchase the Units at any time at
the formula price. Payments for Units sold by employees are deposited
with the Trust by the purchaser and remitted by the Trust to the seller.
6
<PAGE>
FORM 10-Q
JOURNAL EMPLOYEES' STOCK TRUST
For Quarter Ending March 31, 1999 Commission file number 0-7832
(3 Accounting Periods)
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations
Income is based solely on dividends from Journal Communications, Inc.
Item 3. Quantitative and Qualitative Disclosure of Market Risk
None.
7
<PAGE>
FORM 10-Q
JOURNAL EMPLOYEES' STOCK TRUST
For Quarter Ending March 31, 1999 Commission file number 0-7832
(3 Accounting Periods)
Part II. Other Information
Item 6 - Exhibits and Reports on Form 8-K
(b) Reports on Form 8-K - There were no reports on Form 8-K filed for
the three months ended March 31, 1999.
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.
JOURNAL EMPLOYEES' STOCK TRUST
------------------------------
Date: May 11, 1999 By: /s/Steven J. Smith
Steven J. Smith
Trustee
Date: May 11, 1999 By: /s/Richard A. Williams
Richard A. Williams
Trustee
8
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE FINANCIAL
STATEMENTS OF JOURNAL EMPLOYEES' STOCK TRUST AS OF AND FOR THE THREE MONTHS
ENDED MARCH 31, 1999 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 0
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 0
<CURRENT-LIABILITIES> 0
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 0
<SALES> 0
<TOTAL-REVENUES> 6,922 <F1>
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 6,922 <F1>
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 0
<EPS-PRIMARY> 0 <F2>
<EPS-DILUTED> 0 <F2>
<FN>
<F1> The only revenue and expense associated with the trust pertains to
dividends received and paid out. All dividends received are in turn paid out,
accounting for net income of zero($0)
<F2> Earnings per share is not applicable as net income is zero($0)
</FN>
</TABLE>
