FORM 10-Q AMENDMENT #1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C.
_________
QUARTERLY REPORT UNDER SECTION 13 OR 15 (D) OF
THE SECURITIES EXCHANGE ACT OF 1934
_________
For the Quarter ended October 31, 1995 Commission file No. 0-0767
_________
LINCOLN INTERNATIONAL CORPORATION
(Exact Name of Registrant as specified in its charter)
Kentucky 61-0575092
(State of other Jurisdiction (I.R.S. Employer
incorporation or organization) Identification Number)
P.O. Box 43129
120 Village Square
Louisville, Kentucky 40243
(Address or principal executive offices) (Zip Code)
(Registrants Telephone Number, Including Area Code) (502) 245-8814
Indicate by check 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 of 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
Indicate the numbers of shares outstanding of each of the issuer' classes of
common stock, as of the close of the period covered by this report: 1532320
of the (no-par) nonvoting common and 100000 of the (no-par) voting common
stock.
LINCOLN INTERNATIONAL CORPORATION
CONSOLIDATED BALANCE SHEETS
ASSETS 10-31-95 7-31-95
Current assets:
Cash 280089 332682
Account receivable 10299 22708
Prepaid expenses 9700 7091
Total current assets 300088 362481
Net property, plant and equipment 1246003 1260885
Total assets 1546091 1623366
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable 41985 66610
Accrued expenses 91479 93609
Current maturities of long-term debt 319241 318809
Total current liabilities 452705 479028
Long-term debt, less current maturities 729190 733640
Stockholders equity
Common stock:
Voting 100000 shares O/S 50000 50000
Nonvoting 1532320 shares O/S 766160 766160
Additional paid in capital 471300 471300
Retained earnings -912393 -865891
Less: Treasury stock -10871 -10871
Total stockholders' equity 364196 410698
Total liabilities and stockholders' equity 1546091 1623366
LINCOLN INTERNATIONAL CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDING OCTOBER 31
10-31-95 10-31-94
Revenues:
Net service and operating revenues 74931 295394
Net product sales 0 27458
Finance charges and other finance income 0 58242
74931 381094
Cost and expenses:
Cost of service and operating revenues 18600 227004
Cost of products sold 0 23240
Operating, general and administrative expenses 80728 98393
Provision for credit losses on finance receivables 0 7565
Interest expense related to finance subsidiary 4537 5025
103865 361227
Income - Loss from operations -28934 19867
Other income - expense:
Gain on sale of assets 0 3947
Interest expense -23000 -21045
Miscellaneous 5432 2222
-17568 -14876
Income - Loss before income taxes -46502 4991
Provision for income taxes 0 493
Net income - loss -46502 4498
Net income - loss per common share -0.03 0.00
LINCOLN INTERNATIONAL CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOW
FOR THE YEAR TO DATE TO OCTOBER 31
1995 1994
Cash flows from operating activities:
Net income (loss) -46502 4498
Adjustments to reconcile net income
to net cash provided by (used in)
operating activities:
Depreciation and amortization 14882 17950
Provision for credit losses on
finance receivables 0 7565
Other receivables 12409 -27047
Inventories 0 -751
Prepaid expenses -2609 -1706
Accounts payable -24625 -1981
Accrued expenses -2130 15436
Deferred insurance commissions 0 288
Total adjustments -2073 9754
Net Cash provided by (used in) operating activities -48575 14252
Cash flows from investing activities:
Loans originated 0 -154342
Loans repaid or sold 0 140548
Purchases of property and equipment 0 -1985
Net cash provided by (used in) investing activities 0 -15779
Cash flows from financing activities:
Net borrowings (repayments) under
short term notes payable 0 -3049
Net borrowings (repayments) under
long term notes payable -4018 -7137
Net cash provided by (used in) financing activities -4018 -10186
Net increase (-decrease) in cash -52593 -11713
Cash, beginning of year 332682 21238
Cash, end of period 280089 9525
Supplemental disclosure of cash flow information:
Cash paid during the year for interest 18681 14734
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
OCTOBER 31, 1995
Agri-Business
Bourbon Stockyard
The revenues of Bourbon Stockyard are based primarily on the number
of livestock handled during the year, and the number of livestock handled is
determined by the cash price being paid for livestock, and various factors
which influence farming conditions. Operating costs generally are influenced
directly by the number of livestock received since additional labor is
required to handle additional cattle.
Net revenue from stockyard operations decreased by approximately
$236,000 or 76% during the quarter ended October 31, 1995 as compared to the
quarter ended October 31, 1994. Operating costs for the quarter ended
October 31, 1995 were down approximately $201,000 or 92% as compared to the
quarter ended October 31, 1994.
During the last month of fiscal year 1995 the Bourbon Stock Yard
operations were leased to Michigan Livestock Exchange. This was the reason
for decreased revenues and operating costs for the current quarter. Net
profits for the stockyard property were down by approximately $27,000 or 39%
for the quarter as compared to the quarter ended October 31, 1994.
Net revenue from stockyard operations decreased by approximately
$28,000 or 8% during the quarter ended October 31, 1994 as compared to the
quarter ended October 31, 1993. This decrease is a result of a decrease of
approximately 6,000 head of cattle received during the period. Operating
costs for the quarter ended October 31, 1994 was down approximately $10,000
as compared to the quarter ended October 31, 1993.
Bourbon Stock Yard did not have any capital commitments at
October 31, 1995.
The stockyard had approximately $38,000 in accounts payable and
accrued liabilities at October 31, 1995. This is a normal amount at this
time of the year and is well within its cash flow ability to handle these
obligations as they become due. All funds in excess of expenses are
available to the parent.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
OCTOBER 31, 1995
Consolidated Operations
Net revenues decreased by approximately $280,000 or 78% for the
quarter ended October 31, 1995 as compared to the quarter ended October 31,
1994. Costs for the same period were down approximately $233,000 or 65% as
compared to 1994. This reduction in revenues and expenses is due to the
leasing of the Bourbon Stock Yard property and to the sale of the small loan
office of Lincoln Finance Co. in November of 1994.
Net revenues decreased by approximately $28,000 or 7% for the
quarter ended October 31, 1994 as compared to the quarter ended October 31,
1993. This decrease is due primarily to decreased revenue at Bourbon. Costs
for the same period were up approximately $20,000 or 6% as compared to 1993.
This increase is due primarily to increased administrative costs in the
company.
Working capital at July 31, 1995 was approximately -$117,000. At
October 31, 1995 working capital was approximately $-152,000. The Company
expects a positive cash flow during the current fiscal year.
There were no capital commitments at October 31, 1995.
NO DIVIDENDS WERE PAID BY THE COMPANY DURING THE INTERIM PERIOD.
The unaudited consolidated financial statements include the
accounts of the Company and all of its subsidiaries after eliminating all
material intercompany accounts and transactions. They reflect all
adjustments which are necessary in the opinion of management to fairly state
the financial position of the Company at October 31, 1995 and the result of
its operations and cash flow for the period then ended.
-SIGNATURES-
Pursuant to the requirement 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.
LINCOLN INTERNATIONAL CORPORATION
Lee Sisney, President
Ronald Osborn, Treasurer
Dated this 15th day of December 1995
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
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