SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
April 17, 1996
Date of Report (Date of earliest event reported)
CAMBRIDGE BIOTECH CORPORATION
(Exact name of registrant as specified in its charter)
Delaware 0-12081 04-2726626
(State or other (Commission File (IRS Employer
jurisdiction of Number) Identification Number)
incorporation)
365 Plantation Street, Biotechnology Research Park
Worcester, Massachusetts 01605
(Address of principal executive offices)
(508) 797-5777
(Registrant's telephone number, including area code)
Not applicable
(Former name or former address, if changed since last report)
Item 5. Other Events.
Attached hereto as Exhibit A is a copy of the Registrant's
amended monthly operating report dated April 17, 1996 (the "Monthly
Operating Report"), to the United States Bankruptcy Court Trustee
for the District of Massachusetts, Western Division, relating to
the Registrant's petition under Chapter 11 of the United States
Bankruptcy Code, Case No. 94-43054-JFQ.
The Monthly Operating Report has not been audited by the
Registrant's independent, certified public accountants, nor does
the Monthly Operating Report contain complete consolidated
information relating to the Company's subsidiaries and affiliates
or adjustments which may be required as a result of an independent
audit of the Registrant's financial statements, including
adjustments relating to the special investigation described in the
Company's reports on Form 8-K filed with the Securities and
Exchange Commission on April 6, 1994 and May 13, 1994,
respectively.
Item 7. Exhibits.
The Registrant's Monthly Operating Report dated April 17, 1996
filed with the United States Bankruptcy Court Trustee for the
District of Massachusetts, Western Division, Case No. 94-43054-JFQ.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on
behalf by the undersigned thereunto duly authorized.
CAMBRIDGE BIOTECH CORPORATION
Dated: April 17, 1996 By: \s\ Alison Taunton-Rigby
Alison Taunton-Rigby, President
UNITED STATES BANKRUPTCY COURT
EASTERN DISTRICT OF MASSACHUSETTS
IN RE: CAMBRIDGE BIOTECH CORPORATION CASE NO.: 94-43054-JFQ
365 PLANTATION STREET JUDGE: J.F. QUEENAN
WORCESTER, MA 01605-2376
DEBTOR(S): CAMBRIDGE BIOTECH CORPORATION, CHAPTER: 11
DEBTOR-IN-POSSESSION
MONTHLY OPERATING REPORT FOR MONTH ENDING: DECEMBER 31, 1995
COMES NOW, CAMBRIDGE BIOTECH CORPORATION
Debtor-in-Possession, and hereby submits its Monthly Operating
Report for the period commencing December 1, 1995 and ending December 31,
1995 as shown by the report and exhibits consisting of twenty-two pages
and containing the following, as indicated:
____X____ Monthly Reporting Questionnaire (Attachment 1)
____X____ Comparative Balance Sheets (Forms OPR-1 & OPR-2)
____X____ Summary of Accounts Receivable (Form OPR-3)
____X____ Schedule of Post-petition Liabilities (Form OPR-4)
____X____ Income Statement (Form OPR-5)
____X____ Statement of Sources and Uses of Cash (Form OPR-6)
I declare under penalty of perjury that this report and all attachments
are true and correct to the best of my knowledge and belief.
Date: April 17, 1996 DEBTOR(S)-IN-POSSESSION
By: /s/ Alison Taunton-Rigby
Name & Title: Alison Taunton-Rigby
President & CEO
Address: 365 Plantation Street
Worcester, MA 01605-2376
Telephone No.:508-797-5777
Footnote:
As Debtor-in-Possession commenced filing on July 7, 1994
___________________________________________________________________________
Attachment 1 (Page 1)
Rev. 1/92
CHAPTER 11
MONTHLY OPERATING REPORT
MONTHLY REPORTING QUESTIONNAIRE
Case Name: CAMBRIDGE BIOTECH CORPORATION
Case Number: 94-43054
Month of: DECEMBER 1, 1995 THROUGH DECEMBER 31, 1995
1. Payroll: State the amount of all executive wages paid and taxes
withheld and paid.
See Attached
2. Insurance: Is worker's compensation and other insurance in effect? YES.
Are payments current? YES.
If any policy has lapsed, been replaced or renewed, state so
in the schedule below. Attach a copy of the new policy's
binder or cover page.
Date
Coverage
Carrier Coverage Expiration Premium Pd.
TYPE Name Amount Policy # Date Amounts Through
Homeowners
Rental
Property
Product
Liability Pacific
Adjuvant Ins.Co. $1,000,000 ADT 000431 12/01/96 $67,376 12/1/96
Vehicle
Workers Comp.
Workers Comp.
(TX, FL, & CO)
Other
---------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054 SCHEDULE #1
Month of: December, 1995
Monthly Operating Report - Wages - Executives
December 1 through December 31, 1995
Taxes Taxes Taxes
Name Title Gross Net Withheld Paid Due
A.Taunton-Rigby Pres./CEO 17,307.70 14,003.26 3,304.44 3,304.44 0.00
Jeffrey Beaver Chairman 7,692.32 4,888.92 2,803.40 2,803.40 0.00
Gary Long VP.Corp.Operations 9,615.40 6,794.41 2,820.99 2,820.99 0.00
Deborah Grabbe VP. Reg.Affairs 10,000.00 6,983.77 3,016.23 3,016.23 0.00
Gerald Beltz VP.R & D 10,769.23 7,971.52 2,797.71 2,797.71 0.00
Robert Kammer VP.Medical Aff. 11,538.46 4,062.96 7,475.50 7,475.50 0.00
--------- --------- --------- --------- ----
Total Executive Payroll: 66,923.11 44,704.84 22,218.27 22,218.27 0.00
___________________________________________________________________________
ACORD. INSURANCE BINDER Issue Date (MM/DD/YY)
____ 11/30/95
THIS BINDER IS A TEMPORARY INSURANCE CONTRACT, SUBJECT TO THE CONDITIONS
SHOWN ON THE REVERSE SIDE OF THIS FORM.
- ------------------------------------------------------------------------------
PRODUCER | COMPANY BINDER NO.
Minet Gallagher Associates B09 | Pacific Insurance Co. 000007126
|----------------------------------------
| EFFECTIVE EFFECTIVE
CODE SUB-CODE | DATE TIME DATE TIME
-----------------------------------------
- -------------------------------------| 12/01/95 12:01 PM 12/1/96 12:01 AM
INSURED ----------------------------------------
| X THIS BINDER IS ISSUED TO EXTEND
Cambridge Biotech Corporation | COVERAGE IN THE ABOVE NAMED COMPANY
365 Plantation Street | PER EXPIRING POLICY NO: ADT 000431
Worcester, MA 01605 ----------------------------------------
| DESCRIPTION OF OPERATIONS/VEHICLES/
| PROPERTY (Including Location)
| Product Liability - Adjuvants
| Cancel & re-write available at no
| penalty if requested by insured.
- ------------------------------------ |---------------------------------------
COVERAGES LIMIT
- -----------------------------------------------------------------------------
TYPE OF INSURANCE |COVERAGE/FORMS | AMOUNT | DEDUCTIBLE | COINSUR.
- ---------------------|---------------|-----------|--------------|------------
PROPERTY | | | |
CAUSE OF LOSS | | | |
_ BASIC_ BROAD_ SPEC.| | | |
___ _____________ | | | |
___ | | | |
- ---------------------|---------------|-----------|--------------|-------------
GENERAL LIABILITY |Product Liability-Adjuvants|GN'L AGGREGATE $1,000,000
___Comm. Gen'l |$5,000 per incident ded; |PROD.COMP/OP AGG.$1,000,000
Liability |Adjust premium if more |PERSONAL & ADV.
__X Claims Made |than 920 test subjects at | INJURY $
__Occur |$20 per subject ** (see |EACH OCCURRENCE
__Owner's & Cont- |below) |FIRE DAMAGE
ractor's Prot. | | (Any one fire) $
X Products-only |RETRO DATE FOR CLAIMS |MED.EXP.(Any one
adjuvants |MADE: 04/08/92 | person) $
- -----------------------------------------------------------------------------
AUTOMOBILE LIABILITY | |COMBINED SINGLE LIMIT $
__ Any Auto | |BODILY INJURY $
__ All Owned Autos | | (Per Person)
__ Scheduled Autos | |BODILY INJURY $
__ Hired Autos | | (Per Accident)
__ Non-Owned Autos | |PROPERTY DAMAGE $
__ Garage Liability | |MEDICAL PAYMENTS $
| |PERSONAL INJURY PROT. $
| |UNINSURED MOTORIST $
_____________________|___________________________|___________________________
Auto Physical Damage | |__ Actual Cash Value
Deductible | ___ All Vehicles |__ Stated Amount $
__ Collision | ___ Scheduled Vehicles |__ Other
__ Other than Col. | |
- ---------------------|---------------------------|---------------------------
Excess Liability | |Each Occurrence $
__ Umbrella Form | |Aggregate $
__ Other than | |Self-Insured
umbrella form |RETRO DATE FOR CLAIMS MADE:| Retention $
- ---------------------|---------------------------|---------------------------
Worker's Compensation| | ___ Statutory Limits
and Employer's | | Each Accident $
Liability | | Disease-Policy Limit $
| | Disease-Each Employee$
- ---------------------|---------------------------|---------------------------
SPECIAL CONDITIONS/OTHER COVERAGES It is hereby agreed and understood that
coverage is bound: Deductible: $5,000 per claim; Per expiring policy except-
protocols and data not required if insured is only supplying QS21; Interna-
tional Addendum added; excludes all sold products except QS21.
Premium $64,785 min & dep plus tax **
- --------------------------------------|--------------------------------------
NAME & ADDRESS | __Mortgagee __Additional Insured
| __Loss Payee __
|--------------------------------------
| Loan #
---------------------------------------
| Authorized Representative
| Minet Gallagher Associates by:
| Betsey Tan
- -----------------------------------------------------------------------------
ACORD 75-S (7/90) ACORD CORPORATION 1990
- -----------------------------------------------------------------------------
Attachment 1 (Page 2)
Rev. 1/92
CHAPTER 11
MONTHLY OPERATING REPORT
DETAILED LISTING OF DISBURSEMENTS
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Month of: DECEMBER 1 Through DECEMBER 31, 1995
3. Bank Accounts Monthly Operating Report
ACCOUNT TYPE
OPERATING OPERATING OPERATING OPERATING
Bank Fleet Dependent CAC First N'tl
Name Care BOM
G/L number 1.1113 1.1116 5.1130 2.1129
Account number 9372562275 551-50574 175-8828-5
Beginning Book
Balance $74,747.60 $2,433.70 $0.00 $327.55
PLUS: Deposits 3,036,362.69
LESS:Disbursements (1,216,064.15) ($1,355.33) (2,140.40)
Other:
Transfers In(Out) (575,811.05) $ 862.00 4,897.00 3,250.00
Investments (1,191,901.00)
------------ -------- -------- ----------
Ending Book
Balance (1) $127,334.09 $ 1,940.37 $ 4,897.00 $1,437.15
========== ========= ======== ==========
___________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
As of: DECEMBER 31, 1995
--------------------------------
Monthly Operating Report
3. Bank Accounts
------------- Payroll Payroll Escrow
-------- ------- ------
Bank Name Flagship Nations Bank CBL Escrow
G/L Number 1.1119.1 2.1127 1.1131
Account Number 1023381112 3933333731 N/A
Beginning Bk Bal. $17,134.27 $5,211.04 $100,000.00
PLUS: Deposits
LESS: Disburs. (530,740.85) (36,162.35)
Other:
Transfers In (Out) 529,855.85 36,092.65
Investments
---------- --------- ----------
Ending Book Balance (1) $16,249.27 $5,141.34 $100,000.00
========== ========= ===========
- -------------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
As of: DECEMBER 31, 1995
--------------------------------
Monthly Operating Report
3. Bank Accounts Petty
------------- Cash Total
----- -----
Bank Name N/A
G/L Number xx.1150
Account Number N/A
Beginning Bk Bal. $1,646.45 $201,500.61
PLUS: Deposits 3,036,362.69
LESS: Disburs. (732.01) (1,787,195.09)
Other:
Transfers In (Out) 853.55 0.00
Investments (1,191,901.00)
-------- ------------
Ending Book Balance (1) $1,767.99 $258,767.21
========= ===========
(1) Cash balances exclude short term investments of
excess cash which totals $6,596,984 for the month.
The total cash and short term investments increased
for the month of December by $1,249,167 and increased
since the 7/7/94 filing date by $4,246,011.
- ----------------------------------------------------------------------------
ATTACHMENT 1(Page 2)
REV. 1/92
CHAPTER 11
MONTHLY OPERATING REPORT
DETAILED LISTING OF DISBURSEMENTS
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Month of: DECEMBER 1, through DECEMBER 31, 1995
MONTHLY OPERATING REPORT
4. Post Petition Payments: Amount Date Check #
Professionals:
Bowditch & Dewey $ 31,800.60 12/06/95 73659
Bromberg & Sunstein 1,218.97 12/28/95 74088
Brown, Rudnick (Chapt.11) 51,059.28 12/13/95 73846
Hale & Dorr 30,540.29 12/06/95 73671
Hale & Dorr 7,497.23 12/11/95 73951
Keystone Consulting 10,807.00 12/18/95 73925
Mehtra & Islay 50,000.00 12/19/95 73956
Poorman-Douglas 687.00 12/21/95 74022
Seder & Chandler 39,582.06 12/22/95 74039
Sterne, Kessler,Goldstein & Fox 8,693.67 12/05/95 73645
Sterne, Kessler,Goldstein & Fox 8,717.08 12/05/95 73645
Sterne, Kessler, Goldstein & Fox 1,990.00 12/07/95 73717
Sterne, Kessler,Goldstein & Fox 1,990.00 12/22/95 74035
Venable, Baetjer & Howard 163.95 12/01/95 73576
----------
Total (Professionals) $244,747.13
==========
Pre-Petition Debts:
For Priority Debt:(1.3104):
None $0.00
--------
0.00
For Secured Debt:
Norwest Capital Lease Payment (2.3505) 354.13 12/13/95 73865
-------
354.13
For Unsecured Debt:(1.3106):
Accrued vacation taken 1,143.78
-------
1,143.78
For Accrued Restructuring:(1.3145):
Rockville Retention Bonus Payments(TMS) 3,514.75 12/15/95 Wire Transfer
Total Management Solutions 280.00 12/20/95 73989
----------
3,794.75
---------
Total (Pre-petition) $5,292.66
========
_____________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-1
Comparative Balance Sheets
As of: December 31, 1995
FILING
DATE 7/31/94 8/31/94 9/30/94
ASSETS
CURRENT ASSETS:
Cash $1,287,187 $771,969 $863,230 $744,627
Marketable Securities 1,322,553 2,925,553 3,235,553 2,001,807
Accounts Receivable
(See OPR-3) 2,813,217 2,798,473 2,426,792 3,072,351
Less: Allowance for
doubtful accounts (159,413) (153,957) (156,702) (156,702)
Inventory, at lower
of cost or market 4,771,316 4,727,916 4,588,153 3,989,809
Prepaid Expenses and
Deposits 540,318 758,112 724,877 917,900
Other Receivables 38,793 68,301 19,737 81,504
---------- ---------- ---------- ----------
TOTAL CURRENT ASSETS 10,613,971 11,896,367 11,701,640 10,651,296
PROPERTY, PLANT AND
EQUIPMENT, AT COST 27,437,762 27,440,087 27,443,284 27,400,776
Less: Accumulated
Depreciation (13,006,471)(13,250,916) (13,518,839)(13,794,569)
NET PROPERTY, PLANT ---------- ---------- ---------- ----------
& EQUIP. 14,431,291 14,189,171 13,924,445 13,606,207
OTHER ASSETS
Investment in Foreign
Subsidiary & Interco.
Receivables 7,303,275 7,226,960 7,334,353 7,321,297
Equity Investments in
Minority Interests 949,801 949,801 949,801 699,801
Long term Notes
Receivable 120,000 120,000 120,000 120,000
Patents & Purchased
Technology, net 2,645,753 2,588,888 2,519,249 2,449,611
Misc. other assets 83,666 83,543 85,921 103,250
----------- ---------- ---------- ----------
NET OTHER ASSETS 11,102,495 10,969,192 11,009,324 10,693,959
---------- ---------- ---------- ----------
TOTAL ASSETS $36,147,757 $37,054,730 $36,635,409 $34,951,462
========== ========== ========== ==========
See Accompanying Notes to Financial Statements
________________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-1
Comparative Balance Sheets
As of: December 31, 1995
10/31/94 11/30/94 12/31/94 1/31/95
ASSETS
CURRENT ASSETS:
Cash $121,108 $1,978,464 $141,017 $170,469
Marketable Securities 2,744,989 6,518,489 8,396,774 8,171,774
Accounts Receivable
(See OPR-3) 2,456,055 2,020,214 3,025,812 2,712,218
Less: Allowance for
doubtful accounts (154,965) (154,988) (150,200) (150,754)
Inventory, at lower
of cost or market 4,144,276 4,313,167 3,965,668 4,066,730
Prepaid Expenses and
Deposits 843,827 1,049,251 836,285 857,048
Other Receivables 112,983 65,389 92,624 81,742
---------- ---------- ---------- ----------
TOTAL CURRENT ASSETS 10,268,273 15,789,986 16,307,980 15,909,227
PROPERTY, PLANT AND
EQUIPMENT, AT COST 27,395,379 27,392,289 24,776,430 24,782,465
Less: Accumulated
Depreciation (14,056,613) (14,318,428)(14,892,611) (15,141,494)
NET PROPERTY, PLANT ---------- ---------- ---------- ----------
& EQUIP. 13,338,766 13,073,861 9,883,819 9,640,971
OTHER ASSETS
Investment in Foreign
Subsidiary & Interco.
Receivables 7,320,594 2,180 510 0
Equity Investments in
Minority Interests 699,801 644,200 110,075 110,075
Long term Notes
Receivable 120,000 120,000 0 0
Patents & Purchased
Technology, net 2,400,000 2,328,114 2,094,494 2,034,338
Misc. other assets 110,888 72,832 105,791 106,768
---------- --------- --------- ---------
NET OTHER ASSETS 10,651,283 3,167,326 2,310,870 2,251,181
---------- ---------- ---------- ----------
TOTAL ASSETS $34,258,322 $32,031,173 $28,502,669 $27,801,379
========== ========== ========== ==========
See Accompanying Notes to Financial Statements
________________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-1
Comparative Balance Sheets
As of: December 31, 1995
2/28/95 3/31/95 4/30/95
ASSETS
CURRENT ASSETS:
Cash ($55,657) $214,214 $173,689
Marketable Securities 8,159,683 6,479,683 6,162,566
Accounts Receivable (See OPR-3) 2,721,157 3,221,150 3,111,506
Less: Allowance for doubtful accounts (151,583) (148,773) (155,829)
Inventory, at lower of cost or market 3,909,665 3,742,508 3,829,830
Prepaid Expenses and Deposits 931,831 1,198,892 1,229,568
Other Receivables 64,335 77,139 80,229
---------- ---------- ----------
TOTAL CURRENT ASSETS 15,579,431 14,784,813 14,431,559
PROPERTY, PLANT AND EQUIPMENT, AT COST 24,794,255 24,943,037 24,942,408
Less: Accumulated Depreciation (15,376,953) (15,809,227) (16,039,124)
---------- ---------- ----------
NET PROPERTY, PLANT & EQUIP. 9,417,302 9,133,810 8,903,284
OTHER ASSETS
Investment in Foreign
Subsidiary & Interco. Receivables 0 0 0
Equity Investments in
Minority Interests 110,075 110,075 110,075
Long term Notes Receivable 0 0 0
Patents & Purchased Technology, net 1,980,640 1,812,398 1,766,695
Miscellaneous other assets 106,646 106,524 106,401
--------- --------- ---------
NET OTHER ASSETS 2,197,361 2,028,997 1,983,171
---------- ---------- ----------
TOTAL ASSETS $27,194,094 $25,947,620 $25,318,014
========== ========== ==========
See Accompanying Notes to Financial Statements
- -------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-1
Comparative Balance Sheets
As of: DECEMBER 31, 1995
ASSETS 5/31/95 6/30/95 7/31/95
CURRENT ASSETS:
Cash $157,900 $138,077 $344,437
Marketable Securities 6,051,807 5,976,957 5,973,454
Accounts Receivable (See OPR-3) 3,123,410 3,557,453 3,407,884
Less: Allowance for doubtful accounts (159,019) (166,019) (173,017)
Inventory, at lower of cost or market 3,697,107 3,880,519 3,721,499
Prepaid Expenses and Deposits 1,261,826 1,234,929 1,163,646
Other Receivables 78,432 75,165 76,573
---------- ---------- ----------
TOTAL CURRENT ASSETS 14,211,463 14,697,081 14,514,476
PROPERTY, PLANT AND EQUIPMENT, AT COST 24,961,145 24,999,063 25,022,178
Less: Accumulated Depreciation (16,267,078) (16,669,411) (16,887,830)
---------- ---------- ----------
NET PROPERTY, PLANT & EQUIP. 8,694,067 8,329,652 8,134,348
OTHER ASSETS
Investment in Foreign
Subsidiary & Interco. Receivables 0 0 0
Equity Investments in
Minority Interests 110,075 110,075 110,075
Long term Notes Receivable 0 0 0
Patents & Purchased Technology, net 1,724,305 1,634,189 1,571,552
Miscellaneous other assets 106,279 106,156 106,034
--------- --------- ---------
NET OTHER ASSETS 1,940,659 1,850,420 1,787,661
---------- --------- ---------
TOTAL ASSETS $24,846,189 $24,877,153 $24,436,485
========== ========== ==========
See Accompanying Notes to Financial Statements
- ---------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-1
Comparative Balance Sheet
As of: DECEMBER 31, 1995
ASSETS 8/31/95 9/30/95 10/31/95
CURRENT ASSETS:
Cash $431,722 $111,722 $162,718
Marketable Securities 6,215,932 6,040,001 5,232,590
Accounts Receivable (See OPR-3) 3,179,522 3,606,157 4,344,761
Less:Allowance for doubtful
accounts (180,037) (187,342) (194,793)
Inventory, at lower of cost or
market 3,659,442 4,100,697 3,920,959
Prepaid Expenses and Deposits 1,360,141 1,388,231 779,179
Other Receivables 79,128 85,007 87,124
--------- --------- ---------
TOTAL CURRENT ASSETS 14,745,850 15,144,473 14,332,538
PROPERTY, PLANT AND EQUIPMENT, AT COST 25,040,586 25,110,807 25,178,598
Less: Accumulated Depreciation (17,105,893) (17,525,164)(17,809,440)
----------- ----------- -----------
NET PROPERTY, PLANT & EQUIP. 7,934,693 7,585,643 7,369,158
OTHER ASSETS:
Investment in Foreign Subsidiary
& Interco. Receivables 0 0 0
Equity Investments in Minority
Interests 110,075 110,075 110,075
Long Term Notes Receivable 0 0 0
Patents & Purchased Technology, net 1,527,563 1,339,284 1,246,871
Miscellaneous other assets 105,912 105,790 105,667
--------- --------- ---------
NET OTHER ASSETS 1,743,550 1,555,149 1,462,613
--------- --------- ---------
TOTAL ASSETS $24,424,093 $24,285,265 $23,164,309
========== ========== ==========
See Accompanying Notes to Financial Statements.
- ---------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-1
Comparative Balance Sheet
As of: DECEMBER 31, 1995
ASSETS 11/30/95 12/31/95
CURRENT ASSETS:
Cash $201,501 $258,767
Marketable Securities 5,405,083 6,813,146
Accounts Receivable (See OPR-3) 4,514,457 2,798,024
Less:Allowance for doubtful
accounts (201,822) (160,000)
Inventory, at lower of cost or
market 3,813,935 4,367,831
Prepaid Expenses 719,167 695,455
Other Receivables 88,328 125,831
--------- ---------
TOTAL CURRENT ASSETS 14,540,649 14,899,054
PROPERTY, PLANT AND EQUIPMENT, AT COST 25,023,436 25,120,689
Less: Accumulated Depreciation (17,878,752) (18,135,166)
----------- -----------
NET PROPERTY, PLANT & EQUIP. 7,144,684 6,985,523
OTHER ASSETS:
Investment in Foreign Subsidiary
& Interco. Receivables 0 0
Equity Investments in Minority
Interests 110,075 0
Long Term Notes Receivable 0 0
Patents & Purchased Technology, net 1,153,241 1,054,579
Miscellaneous other assets 105,545 105,423
--------- ---------
NET OTHER ASSETS 1,368,861 1,160,002
--------- ---------
TOTAL ASSETS $23,054,194 $23,044,579
========== ==========
See Accompanying Notes to Financial Statements.
- -----------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-2
Comparative Balance Sheets
As of: DECEMBER 31, 1995
FILING
DATE 7/31/94 8/31/94 9/30/94
LIABILITIES
POSTPETITION LIABILITIES (OPR-4) $0 $650,373 $1,141,051 $1,497,470
PRE PETITION LIABILITIES:
Priority Debt 223,302 182,012 182,012 68,035
Secured Debt 5,034,218 5,033,952 5,033,605 4,026,027
Unsecured Debt 5,523,250 5,524,993 5,524,993 5,555,313
TOTAL PRE PETITION ---------- ---------- ---------- ---------
LIABILITIES 10,780,770 10,740,957 10,740,610 9,649,375
Accrued Restructuring 1,844,180 1,842,293 1,838,952 1,838,649
Deferred Revenue & Taxes 5,254,300 5,247,862 5,224,541 4,432,191
---------- ---------- ---------- ----------
TOTAL LIABILITIES 17,879,250 18,481,485 18,945,154 17,417,685
MINORITY INTEREST
SHAREHOLDERS' EQUITY (DEFICIT):
PREFERRED STOCK 0 0 0 0
COMMON STOCK 260,570 260,570 260,570 260,570
PAID - IN CAPITAL 119,978,714 119,985,005 119,993,131 120,001,257
ACCUMULATED DEFICIT:
Through Filing Date (101,970,777)(101,970,777)(101,970,777)(101,970,777)
Post Filing Date - 1994 298,447 (592,669) (757,273)
Post Filing Date - 1995
---------- ---------- ---------- ----------
TOTAL ACCUMULATED DEFICIT(101,970,777)(101,672,330)(102,563,446)(102,728,050)
---------- ---------- ---------- ----------
TOTAL SHAREHOLDERS' EQUITY 18,268,507 18,573,245 17,690,255 17,533,777
TOTAL LIABILITIES AND ---------- ---------- ---------- ----------
SHAREHOLDERS' EQUITY $36,147,757 $37,054,730 $36,635,409 $34,951,462
========== ========== ========== ==========
See Accompanying Notes to Financial Statements.
______________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-2
Comparative Balance Sheets
As of: DECEMBER 31, 1995
10/31/94 11/30/94 12/31/94
LIABILITIES
POSTPETITION LIABILITIES (OPR-4) $2,082,362 $2,755,184 $2,953,193
PRE PETITION LIABILITIES:
Priority Debt 68,035 67,035 41,405
Secured Debt 4,025,674 4,025,320 4,024,962
Unsecured Debt 5,557,217 5,554,724 5,648,205
TOTAL PRE PETITION --------- --------- ---------
LIABILITIES 9,650,926 9,647,079 9,714,572
Accrued Restructuring 1,818,204 1,818,204 378,170
Deferred Revenue & Taxes 4,478,161 7,969,504 6,788,574
Income Taxes Payable 479
---------- ---------- ----------
TOTAL LIABILITIES 18,029,653 22,189,971 19,834,988
MINORITY INTEREST
SHAREHOLDERS' EQUITY (DEFICIT):
PREFERRED STOCK 0 0 0
COMMON STOCK 260,570 260,570 260,570
PAID - IN CAPITAL 120,009,383 120,017,509 120,024,635
ACCUMULATED DEFICIT:
Through Filing Date (101,970,777)(101,539,684)(101,539,684)
Post Filing Date - 1994 (2,070,507) (8,897,193) (10,077,840)
Post Filing Date - 1995
---------- ----------- -----------
TOTAL ACCUMULATED DEFICIT (104,041,284) (110,436,877)(111,617,524)
---------- ---------- ----------
TOTAL SHAREHOLDERS' EQUITY 16,228,669 9,841,202 8,667,681
TOTAL LIABILITIES AND ---------- ---------- ----------
SHAREHOLDERS' EQUITY $34,258,322 $32,031,173 $28,502,669
========== ========== ==========
See Accompanying Notes to Financial Statements.
____________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-2
Comparative Balance Sheets
As of: DECEMBER 31, 1995
1/31/95 2/28/95 3/31/95
LIABILITIES
POST PETITION LIABILITIES (OPR-4) $3,406,350 $3,711,705 $3,938,176
PRE PETITION LIABILITIES:
Priority Debt 41,405 41,405 37,685
Secured Debt 4,024,601 4,024,238 4,023,872
Unsecured Debt 5,607,221 5,609,144 5,864,724
--------- --------- ---------
TOTAL PRE PETITION LIABILITIES 9,673,227 9,674,787 9,926,281
Accrued Restructuring 378,170 374,564 371,904
Deferred Revenue & Taxes 6,481,588 6,092,576 5,720,237
Income Taxes Payable 479 479 1,299
---------- ---------- ----------
TOTAL LIABILITIES 19,939,814 19,854,111 19,957,897
MINORITY INTEREST 1,193 1,193 2,800
SHAREHOLDERS' EQUITY (DEFICIT):
PREFERRED STOCK 0 0 0
COMMON STOCK 260,570 260,570 260,570
PAID - IN CAPITAL 120,032,761 120,040,887 120,049,013
ACCUMULATED DEFICIT:
Through Filing Date (101,539,684)(101,539,684)(101,539,684)
Post Filing Date - 1994 (10,077,840) (10,077,840) (10,077,840)
Post Filing Date - 1995 (815,435) (1,345,143) (2,705,136)
----------- ----------- -----------
TOTAL ACCUMULATED DEFICIT (112,432,959)(112,962,667)(114,322,660)
---------- ---------- ----------
TOTAL SHAREHOLDERS' EQUITY 7,860,372 7,338,790 5,986,923
TOTAL LIABILITIES AND ---------- ---------- ----------
SHAREHOLDERS' EQUITY $27,801,379 $27,194,094 $25,947,620
========== ========== ==========
See Accompanying Notes to Financial Statements.
____________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-2
Comparative Balance Sheets
As of: DECEMBER 31, 1995
4/30/95 5/31/95 6/30/95
LIABILITIES
POST PETITION LIABILITIES (OPR-4) $4,143,015 $4,438,511 $5,061,071
PRE PETITION LIABILITIES:
Priority Debt 36,319 36,319 34,954
Secured Debt 4,023,502 4,023,130 4,022,755
Unsecured Debt 5,849,925 5,849,925 5,855,781
--------- --------- ---------
TOTAL PRE PETITION LIABILITIES 9,909,746 9,909,374 9,913,490
Accrued Restructuring 370,929 370,929 366,089
Deferred Revenue 5,401,416 5,083,970 4,753,389
Income Taxes Payable 1,299 1,299 2,335
---------- ---------- ----------
TOTAL LIABILITIES 19,826,405 19,804,083 20,096,374
MINORITY INTEREST 2,800 2,800 4,832
SHAREHOLDERS' EQUITY (DEFICIT):
PREFERRED STOCK 0 0 0
COMMON STOCK 260,570 260,570 260,570
PAID - IN CAPITAL 120,057,139 120,065,265 120,073,391
ACCUMULATED DEFICIT:
Through Filing Date (101,539,684)(101,539,684)(101,539,684)
Post Filing Date - 1994 (10,077,840) (10,077,840) (10,077,840)
Post Filing Date - 1995 (3,211,376) (3,669,005) (3,940,490)
----------- ----------- -----------
TOTAL ACCUMULATED DEFICIT (114,828,900)(115,286,529)(115,558,014)
---------- ---------- ----------
TOTAL SHAREHOLDERS' EQUITY 5,488,809 5,039,306 4,775,947
TOTAL LIABILITIES AND ---------- ---------- ----------
SHAREHOLDERS' EQUITY $25,318,014 $24,846,189 $24,877,153
========== ========== ==========
See Accompanying Notes to Financial Statements.
- -----------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-2
Comparative Balance Sheets
As of: DECEMBER 31, 1995
7/31/95 8/31/95 9/30/95
LIABILITIES
POST PETITION LIABILITIES (OPR-4) $5,609,610 $5,781,984 $6,655,767
PRE PETITION LIABILITIES:
Priority Debt 36,319 36,319 36,319
Secured Debt 4,022,376 4,021,995 4,021,611
Unsecured Debt 5,858,755 5,858,755 5,858,755
--------- --------- ---------
TOTAL PRE PETITION LIABILITES 9,917,450 9,917,069 9,916,685
Accrued Restructuring 364,055 321,395 274,694
Deferred Revenue 4,444,846 4,132,160 3,798,366
Income Taxes Payable 2,335 2,335 3,128
---------- --------- ---------
TOTAL LIABILITES 20,338,296 20,154,943 20,648,640
MINORITY INTEREST 4,832 4,832 6,386
SHAREHOLDERS' EQUITY (DEFICIT):
PREFERRED STOCK 0 0 0
COMMON STOCK 260,570 260,570 260,570
PAID - IN CAPITAL 120,073,391 120,073,391 120,073,391
ACCUMULATED DEFICIT:
Through Filing Date (101,539,684)(101,539,684) (101,539,684)
Post Filing Date - 1994 (10,077,840) (10,077,840) (10,077,840)
Post Filing Date - 1995 (4,623,080) (4,452,119) (5,086,198)
----------- ------------ ------------
TOTAL ACCUMULATED DEFICIT (116,240,604)(116,069,643) (116,703,722)
---------- ------------ ------------
TOTAL SHAREHOLDERS' EQUITY 4,093,357 4,264,318 3,630,239
TOTAL LIABILITIES AND ---------- ----------- -----------
SHAREHOLDERS' EQUITY $24,436,485 $24,424,093 $24,285,265
========== =========== ==========
See Accompanying Notes to Financial Statements.
____________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-2
Comparative Balance Sheets
As Of: DECEMBER 31, 1995
10/31/95 11/30/95 12/31/95
LIABILITIES
POST PETITION LIABILITIES (OPR-4) $5,831,674 $6,002,608 $6,250,489
PRE-PETITION LIIABILITIES:
Priority Debt 36,319 36,319 14,870
Secured Debt 4,021,223 4,020,833 4,021,221
Unsecured Debt 5,859,060 5,858,915 5,844,218
--------- --------- ---------
TOTAL PRE-PETITION LIABILITIES 9,916,602 9,916,067 9,880,309
Accrued Restructuring 255,755 242,820 256,766
Deferred Revenue 3,513,689 3,131,233 2,698,054
Income Taxes Payable 3,128 3,128 4,456
--------- --------- ---------
TOTAL LIABILITIES 19,520,848 19,295,856 19,090,074
MINORITY INTEREST 6,386 6,386 8,989
SHAREHOLDERS' EQUITY (DEFICIT):
PREFERRED STOCK 0 0 0
COMMON STOCK 260,570 260,570 260,570
PAID-IN CAPITAL 120,073,391 120,073,391 120,244,016
ACCUMULATED DEFICIT:
Through Filing Date (101,539,684) (101,539,684)(101,539,684)
Post Filing Date-1994 (10,077,840) (10,077,840) (10,077,840)
Post Filing Date-1995 (5,079,362) (4,964,485) (4,941,546)
--------- ------------- ------------
TOTAL ACCUMULATED DEFICIT (116,696,886) (116,582,009)(116,559,070)
------------- ----------- -----------
TOTAL SHAREHOLDERS' EQUITY 3,637,075 3,751,952 3,945,516
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY $23,164,309 $23,054,194 $23,044,579
========== ========== ==========
- ----------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation Form: OPR-3
Case Number: 94-43054
Summary of Accounts Receivable
As of: DECEMBER 31, 1995
0 - 30 31 - 60
TOTAL DAYS DAYS
----------- ---------- ------------
Date of Filing:July 7, 1994 2,813,216.84 2,110,219.71 452,069.57
Allowance for doubtful accts (159,413.23)
Net 2,653,803.61 2,110,219.71 452,069.57
Month: July 31, 1994 2,798,472.98 1,289,104.11 1,238,841.68
Allowance for doubtful accts (153,956.56)
Net 2,644,516.42 1,289,104.11 1,238,841.68
Month: August 31, 1994 2,426,792.24 1,669,036.84 267,054.03
Allowance for doubtful accts (156,701.89)
Net 2,270,090.35 1,669,036.84 267,054.03
Month: Sept. 30, 1994 3,072,351.16 2,402,728.52 365,353.30
Allowance for doubtful accts (156,701.89)
Net 2,915,649.27 2,402,728.52 365,353.30
Month: October 31, 1994 2,456,054.54 1,406,348.28 750,784.77
Allowance for doubtful accts (154,964.89)
Net 2,301,089.65 1,406,348.28 750,784.77
Month: Nov. 30, 1994 2,020,214.59 1,322,881.77 350,696.71
Allowance for doubtful accts (154,988.00)
Net 1,865,226.59 1,322,881.77 350,696.71
Month: Dec. 31, 1994 3,025,812.46 2,407,489.50 389,515.89
Allowance for doubtful accts (150,200.00)
Net 2,875,612.46 2,407,489.50 389,515.89
Month: January 31, 1995 2,712,217.41 1,602,468.56 854,807.89
Allowance for doubtful accts (150,753.71)
Net 2,561,463.70 1,602,468.56 854,807.89
Month: Feb. 28, 1995 2,721,156.82 1,972,020.47 187,953.54
Allowance for doubtful accts (151,582.78)
Net 2,569,574.04 1,972,020.47 187,953.54
Month: March 31, 1995 3,221,150.56 2,380,366.33 671,660.83
Allowance for doubtful accts (148,773.14)
Net 3,072,377.42 2,380,366.33 671,660.83
Month: April 30, 1995 3,111,505.76 1,660,592.76 1,250,431.86
Allowance for doubtful accts (155,829.15)
Net 2,955,676.61 1,660,592.76 1,250,431.86
Month: May 31, 1995 3,123,410.36 2,153,951.07 257,035.14
Allowance for doubtful accts (159,019.25)
Net 2,964,391.11 2,153,951.07 257,035.14
Month: June 30, 1995 3,557,453.25 2,902,109.40 332,562.82
Allowance for doubtful accts (166,019.26)
Net 3,391,433.99 2,902,109.40 332,562.82
Month: July 31, 1995 3,407,884.36 2,212,905.66 982,984.93
Allowance for doubtful accts (173,017.12)
Net 3,234,867.24 2,212,905.66 982,984.93
Month: August 31, 1995 3,179,522.37 2,183,815.66 281,811.74
Allowance for doubtful accts. (180,037.08)
Net 2,999,485.29 2,183,815.66 281,811.74
Month: September 30, ,1995 3,246,157.13 2,482,719.49 515,865.14
Allowance for doubtful accts. (187,341.75)
Net 3,058,815.38 2,482,719.49 515,865.14
Month: October 31, 1995 4,344,760.98 2,458,054.64 1,491,457.97
Allowance for doubtful accts. (194,793.10)
Net 4,149,967.88 2,458,054.64 1,491,457.97
Month: November 30, 1995 4,514,456.69 2,632,421.11 1,045,556.05
Allowance for doubtful accts. (201,821.98)
Net 4,312,634.71 2,632,421.11 1,045,556.05
Month: December 31, 1995 2,711,497.21 1,880,971.19 626,927.87
Allowance for doubtful accts. (160,000.00)
2,551,497.21 1,880,971.19 626,927.87
_________________________________________________________________________
Case Name: Cambridge Biotech Corporation Form: OPR-3
Case Number: 94-43054
Summary of Accounts Receivable
As of: DECEMBER 31, 1995
61 - 90 OVER
TOTAL DAYS 90 DAYS
----------- --------- ----------
Date of Filing:July 7, 1994 2,813,216.84 56,398.93 194,528.63
Allowance for doubtful accts (159,413.23) (159,413.23)
Net 2,653,803.61 56,398.93 35,115.40
Month: July 31, 1994 2,798,472.98 128,524.10 142,003.09
Allowance for doubtful accts (153,956.56) (11,953.47) (142,003.09)
Net 2,644,516.42 116,570.63 0.00
Month: August 31, 1994 2,426,792.24 297,637.99 193,063.38
Allowance for doubtful accts (156,701.89) (156,701.89)
Net 2,270,090.35 297,637.99 36,361.49
Month: Sept. 30, 1994 3,072,351.16 77,168.82 227,100.52
Allowance for doubtful accts (156,701.89) (156,701.89)
Net 2,915,649.27 77,168.82 70,398.63
Month: October 31, 1994 2,456,054.54 87,405.93 211,515.56
Allowance for doubtful accts (154,964.89) (154,964.89)
Net 2,301,089.65 87,405.93 56,550.67
Month: Nov. 30, 1994 2,020,214.59 188,381.49 158,254.62
Allowance for doubtful accts (154,988.00) (154,988.00)
Net 1,865,226.59 188,381.49 3,266.62
Month: Dec. 31, 1994 3,025,812.46 65,733.45 163,073.62
Allowance for doubtful accts (150,200.00) (150,200.00)
Net 2,875,612.46 65,733.45 12,873.62
Month: January 31, 1995 2,712,217.41 92,582.75 162,358.21
Allowance for doubtful accts (150,753.71) (150,753.71)
Net 2,561,463.70 92,582.75 11,604.50
Month: Feb. 28, 1995 2,721,156.82 407,769.97 153,412.84
Allowance for doubtful accts (151,582.78) (151,582.78)
Net 2,569,574.04 407,769.97 1,830.06
Month: March 31, 1995 3,221,150.56 45,696.46 123,426.94
Allowance for doubtful accts (148,773.14) (25,346.20) (123,426.94)
Net 3,072,377.42 20,350.26 0.00
Month: April 30, 1995 3,111,505.76 103,220.04 97,261.10
Allowance for doubtful accts (155,829.15) (58,568.05) (97,261.10)
Net 2,955,676.61 44,651.99 0.00
Month: May 31, 1995 3,123,410.36 631,903.39 80,520.76
Allowance for doubtful accts (159,019.25) (78,498.49) (80,520.76)
Net 2,964,391.11 553,404.90 0.00
Month: June 30, 1995 3,557,453.25 52,189.56 270,591.47
Allowance for doubtful accts (166,019.26) (166,019.26)
Net 3,391,433.99 52,189.56 104,572.21
Month: July 31, 1995 3,407,884.36 125,622.71 86,371.06
Allowance for doubtful accts (173,017.12) (86,646.06) (86,371.06)
Net 3,234,867.24 38,976.65 0.00
Month: August 31, 1995 3,179,522.37 559,210.76 154,684.21
Allowance for doubtful accts. (180,037.08) (25,352.87) (154,684.21)
Net 2,999,485.29 533,857.89 0.00
Month: September 30, 1995 3,246,157.13 84,128.64 163,443.86
Allowance for doubtful accts. (187,341.75) (23,897.89) (163,443.86)
Net 3,058,815.38 60,230.75 0.00
Month: October 31, 1995 4,344,760.98 230,772.04 164,476.33
Allowance for doubtful accts. (194,793.10) (30,316.77) (164,476.33)
Net 4,149,967.88 200,455.27 0.00
Month: November 30, 1995 4,514,456.69 583,493.54 252,985.99
Allowance for doubtful accts. (201,821.98) 0.00 (201,821.98)
Net 4,312,634.71 583,493.54 51,164.01
Month: December 31, 1995 2,711,497.21 88,083.38 115,514.77
Allowance for doubtful accts. (160,000.00) (44,485.23) (115,514.77)
Net 2,551,497.21 43,598.15 0.00
________________________________________________________________________
Case Name: Cambridge Biotech Corporation Form OPR-4
Case Number: 94-43054
Schedule of Post Petition Liabilities
As of: DECEMBER 31, 1995
DATE DATE TOTAL 0-30 31-60
INCURRED DUE DUE DAYS DAYS
TAXES PAYABLE:
Federal Income Taxes W/H 0
FICA-Employer's Share 0
FICA-Employee's Share W/H 0
Unemployment Tax 0
State Income Tax Withheld 0
State Sales & Use Tax Various Various 3,552 2,052 1,000
State Franchise Tax Various Various 4,284 1,434 1,000
Real Estate and
Personal Property Tax Various Various 67,984 23,984 9,000
------ ------ -----
TOTAL TAXES PAYABLE 75,820 27,470 11,000
POST PETITION
SECURED DEBT 0 0
POST PETITION
UNSECURED DEBT 0 0
ACCRUED INTEREST
PAYABLE Various Various 27,650 6,650 3,000
TRADE ACCOUNTS
PAYABLE & OTHER:
Accounts Payable Various Various 770,835 728,099 696
Accrued Expenses Various Various 3,971,062 1,674,062 450,000
Accrued Stock
Incentive Plan 7/8/94 Emerge
from
Ch. 11 1,405,122 1,405,122
TOTAL ACCOUNTS --------- --------- -------
PAYABLE & OTHER 6,147,019 3,807,283 450,696
--------- --------- -------
TOTAL POST PETITION LIABILITIES $6,250,489 $3,841,403 $464,696
========= ========= =======
_______________________________________________________________________________
Case Name: Cambridge Biotech Corporation Form OPR-4
Case Number: 94-43054
Schedule of Post Petition Liabilities
As of: DECEMBER 31, 1995
DATE DATE TOTAL 61-90 OVER 90
INCURRED DUE DUE DAYS DAYS
TAXES PAYABLE:
Federal Income Taxes W/H 0
FICA-Employer's Share 0
FICA-Employee's Share W/H 0
Unemployment Tax 0
State Income Tax Withheld 0
State Sales & Use Tax Various Various 3,552 500
State Franchise Tax Various Various 4,284 1,000 850
Real Estate and
Personal Property Tax Various Various 67,984 9,000 26,000
------ ----- -----
TOTAL TAXES PAYABLE 75,820 10,500 26,850
POST PETITION
SECURED DEBT 0 0
POST PETITION
UNSECURED DEBT 0 0
ACCRUED INTEREST
PAYABLE Various Various 27,650 3,000 15,000
TRADE ACCOUNTS
PAYABLE & OTHER:
Accounts Payable Various Various 770,835 42,040
Accrued Expenses Various Various 3,971,062 380,000 1,467,000
Accrued Stock
Incentive Plan 7/8/94 Emerge
from
Ch. 11 1,405,122
TOTAL ACCOUNTS --------- ------- ---------
PAYABLE & OTHER 6,147,019 380,000 1,509,040
--------- ------- ---------
TOTAL POST PETITION LIABILITIES $6,250,489 $393,500 $1,550,890
========= ======= =========
_____________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-5
Income Statement
Period: July 8, 1994 - December 31, 1995
7/8-31/94 August September
NET REVENUE (INCOME) $1,990,463 $1,297,330 $2,870,689
COST OF GOODS SOLD:
Materials
Labor - Direct
Manufacturing Overhead
TOTAL COST OF GOODS SOLD 677,628 872,451 1,424,705
--------- ------- -------
GROSS PROFIT 1,312,835 424,879 1,445,984
OPERATING EXPENSES:
Selling and Marketing 86,253 117,890 129,345
General and Administrative 330,964 404,626 548,839
Research and Development 223,590 359,735 288,595
Other: Regulatory 18,336 22,767 18,815
Other: Misc. (Income)/Expense (13,655) (8,693) (45,076)
------- ------- --------
TOTAL OPERATING EXPENSES 645,488 896,325 940,518
INCOME BEFORE INTEREST,
DEPRECIATION, TAXES OR ------- ------- -------
EXTRAORDINARY EXPENSES 667,347 (471,446) 505,466
CHAPTER 11 EXPENSES (97,310) (113,110) (112,501)
INTEREST EXPENSE (27,145) (38,638) (31,839)
DEPRECIATION (244,445) (267,922) (275,730)
INCOME TAX EXPENSE 0 0 0
MINORITY INTEREST 0 0 0
EXTRAORDINARY
INCOME(EXPENSE) 0 0 (250,000)
------- ------- -------
NET INCOME (LOSS) $298,447 ($891,116) ($164,604)
======= ======= =======
See Accompanying Notes to Financial Statements.
_______________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-5
Income Statement
Period: July 8, 1994 - December 31, 1995
October November December
NET REVENUE (INCOME) $1,089,394 $1,073,137 $3,369,904
COST OF GOODS SOLD:
Materials
Labor - Direct
Manufacturing Overhead
TOTAL COST OF GOODS SOLD 781,526 637,644 1,201,755
------- ------- ---------
GROSS PROFIT 307,868 435,493 2,168,149
OPERATING EXPENSES:
Selling and Marketing 130,164 137,154 157,174
General and Administrative 503,279 497,797 931,930
Research and Development 526,086 376,756 871,580
Other: Regulatory 41,259 26,668 32,231
Other: Misc. (Income)/Expense 1,583 (28,619) 929,547
--------- --------- ---------
TOTAL OPERATING EXPENSES 1,202,371 1,009,756 2,922,462
INCOME BEFORE INTEREST,
DEPRECIATION, TAXES OR ------- ------- -------
EXTRAORDINARY EXPENSES (894,503) (574,263) (754,313)
CHAPTER 11 EXPENSES (130,808) (105,473) (42,975)
INTEREST EXPENSE (25,880) (34,149) 131,775
DEPRECIATION (262,043) (261,816) (611,521)
INCOME TAX EXPENSE 0 0 8,493
MINORITY INTEREST 0 0 0
EXTRAORDINARY
INCOME(EXPENSE) 0 (5,850,985) 87,894
--------- --------- ---------
NET INCOME (LOSS) ($1,313,234)($6,826,686) ($1,180,647)
======== =========== =========
See Accompanying Notes to Financial Statements.
______________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-5
Income Statement
Period: July 8, 1994 - December 31, 1995
January 1995 February March
NET REVENUE (INCOME) $1,396,377 $1,766,809 $2,685,115
COST OF GOODS SOLD:
Materials
Labor - Direct
Manufacturing Overhead
TOTAL COST OF GOODS SOLD 757,549 920,742 1,803,550
------- --------- ---------
GROSS PROFIT 638,828 846,067 881,565
OPERATING EXPENSES:
Selling and Marketing 120,148 116,908 189,619
General and Administrative 502,352 451,508 992,244
Research and Development 404,257 395,094 789,295
Other: Regulatory 33,717 31,186 35,613
Other: Misc.
(Income)/Expense (53,404) (44,031) (91,447)
------- ------- ---------
TOTAL OPERATING EXPENSES 1,007,070 950,665 1,915,324
INCOME BEFORE INTEREST,
DEPRECIATION, TAXES OR ------- ------- -------
EXTRAORDINARY EXPENSES (368,242) (104,598) (1,033,759)
CHAPTER 11 EXPENSES (98,405) (96,420) (78,629)
INTEREST EXPENSE (32,384) (31,021) 58,559
DEPRECIATION (315,211) (301,785) (299,621)
INCOME TAX EXPENSE 0 4,116 (4,936)
MINORITY INTEREST (1,193) 0 (1,607)
EXTRAORDINARY
INCOME(EXPENSE) 0 0 0
------- ------- -------
NET INCOME (LOSS) ($815,435) ($529,708) ($1,359,993)
======= ======= =========
See Accompanying Notes to Financial Statements.
_____________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-5
Income Statement
Period: July 8, 1994 - December 31, 1995
April May June
NET REVENUE (INCOME) $1,642,292 $2,188,446 $2,865,917
COST OF GOODS SOLD:
Materials
Labor - Direct
Manufacturing Overhead
TOTAL COST OF GOODS SOLD 726,804 1,086,787 1,441,608
------- --------- ---------
GROSS PROFIT 915,488 1,101,659 1,424,309
OPERATING EXPENSES:
Selling and Marketing 139,342 152,110 172,675
General and Administrative 490,893 572,129 824,781
Research and Development 392,539 408,496 430,260
Other: Regulatory 17,577 29,652 41,658
Other: Misc.
(Income)/Expense (48,350) (46,132) (131,250)
------- --------- -------
TOTAL OPERATING EXPENSES 992,001 1,116,255 1,338,124
INCOME BEFORE INTEREST,
DEPRECIATION, TAXES OR ------ ------ -------
EXTRAORDINARY EXPENSES (76,513) (14,596) 86,185
CHAPTER 11 EXPENSES (99,270) (113,541) (123,086)
INTEREST EXPENSE (32,995) (33,974) 63,298
DEPRECIATION (297,462) (295,518) (294,814)
INCOME TAX EXPENSE 0 0 (1,036)
MINORITY INTEREST 0 0 (2,032)
EXTRAORDINARY
INCOME(EXPENSE) 0 0 0
------- ------- -------
NET INCOME (LOSS) ($506,240) ($457,629) ($271,485)
======= ======= =======
See Accompanying Notes to Financial Statements.
- ----------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR - 5
Income Statement
Period: July 8, 1994 - December 31, 1995
July August September
NET REVENUE (INCOME) $1,938,622 $2,373,327 $2,996,664
COST OF GOODS SOLD:
Materials
Labor - Direct
Manufacturing Overhead
TOTAL COST OF GOODS SOLD 1,101,074 946,529 1,337,384
--------- --------- ----------
GROSS PROFIT 837,548 1,426,798 1,659,280
OPERATING EXPENSES:
Selling and Marketing 134,861 135,741 103,055
General and Administrative 446,284 330,294 918,735
Research and Development 498,460 397,805 1,014,180
Other:Regulatory 29,266 22,144 29,693
Other:Misc.(Inc)/Exp. (15,202) (7,476) (166,235)
------- ------- ---------
TOTAL OPERATING EXPENSES 1,093,669 878,508 1,899,428
INCOME BEFORE INTEREST,
DEPRECIATION, TAXES OR ------- ------- ---------
EXTRAORDINARY EXPENSES (256,121) 548,290 (240,148)
CHAPTER 11 EXPENSES (138,916) (97,785) (105,820)
INTEREST EXPENSE (1,589) 6,064 (1,583)
DEPRECIATION (285,964) (285,608) (284,181)
INCOME TAX EXPENSE 0 0 (793)
MINORITY INTEREST 0 0 (1,554)
EXTRAORDINARY
INCOME (EXPENSE) 0 0 0
------- -------- -------
NET INCOME (LOSS) ($682,590) $170,961 ($634,079)
======= ======== =========
See Accompanying Notes to Financial Statements.
_____________________________________________________________________________
CASE NAME: Cambridge Biotech Corporation
CASE NUMBER: 94-43054
Form OPR-5
Consolidated Income Statement
Period: July 8, 1994 - December 31, 1995
October November December
NET REVENUE (INCOME) $2,435,039 $2,791,697 $ 2,788,103
COST OF GOODS SOLD:
Materials
Labor - Direct
Manufacturing Overhead
TOTAL COST OF GOODS SOLD 1,242,412 1,208,096 1,000,956
--------- --------- ----------
GROSS PROFIT 1,192,627 1,583,601 1,787,147
OPERATING EXPENSES:
Selling and Marketing 81,641 118,817 109,470
General & Administrative 442,043 476,452 1,045,040
Research & Development 364,558 460,261 535,812
Other:Regulatory 27,568 29,775 27,261
Other: Misc. (Income)/Expense (41,313) (41,058) (308,488)
-------- --------- ---------
TOTAL OPERATING EXPENSES 874,497 1,044,247 1,409,095
INCOME BEFORE INTEREST, DEPRECIATION, -------- --------- ---------
TAXES/EXTRAORDINARY EXPENSES 318,130 539,354 378,052
CHAPTER 11 EXPENSES (25,411) (138,570) (84,334)
INTEREST EXPENSE (1,607) (1,577) (3,771)
DEPRECIATION (284,276) (284,330) (263,077)
INCOME TAX EXPENSE 0 0 (1,328)
MINORITY INTEREST 0 0 (2,603)
EXTRAORDINARY INCOME (EXPENSE) 0 0 0
-------- ---------- ---------
NET INCOME (LOSS) $6,836 $114,877 $22,939
========= =========== ===========
- ---------------------------------------------------------------------------
CASE NAME: Cambridge Biotech Corporation
CASE NUMBER: 94-43054
Form OPR-5
Consolidated Income Statement
Period: July 8, 1994 - December 31, 1995
FILING TO
DATE
NET REVENUE (INCOME) $39,559,325
COST OF GOODS SOLD:
Materials
Labor - Direct
Manufacturing Overhead
TOTAL COST OF GOODS SOLD 19,169,200
---------
GROSS PROFIT 20,390,125
OPERATING EXPENSES:
Selling and Marketing 2,332,367
General & Administrative 10,710,190
Research & Development 8,737,359
Other:Regulatory 515,186
Other: Misc. (Income)/Expense (159,299)
---------
TOTAL OPERATING EXPENSES 22,135,803
INCOME BEFORE INTEREST, DEPRECIATION, --------
TAXES/EXTRAORDINARY EXPENSES (1,745,678)
CHAPTER 11 EXPENSES (1,802,364)
INTEREST EXPENSE (38,456)
DEPRECIATION (5,415,324)
INCOME TAX EXPENSE 4,516
MINORITY INTEREST (8,989)
EXTRAORDINARY INCOME (EXPENSE) (6,013,091)
----------
NET INCOME (LOSS) ($15,019,386)
=========
- ----------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-6
Statement of Sources and Uses of Cash
Period of: July 8, 1994 - December 31, 1995
July 8 -
July 31
1994 August September
SOURCES OF CASH:
Income (Loss) From Operations $298,447 ($891,116) ($164,604)
Add: Depreciation, Amortization
& Other Non-Cash Items 301,164 322,366 542,532
------- ------- -------
CASH GENERATED FROM OPERATIONS 599,611 (568,750) 377,928
Add: Decrease in Assets:
Accounts Receivable 9,288 374,426
Other Receivables 48,564
Inventory 43,400 139,763 598,344
Prepaid Expenses & Deposits 33,235
Property, Plant & Equipment
Patents & Purchased Technology 18,612
Intercompany Receivables 76,315 13,056
Short Term Investments 1,233,746
Proceeds on sale of foreign
subsidiary
Proceeds on sale of minority interest
Proceeds on note receivable
Other non-current assets 123
Increase in Liabilities:
Pre-Petition Liabilities 1,742 52,055
Post-Petition Liabilities 650,372 490,679 356,419
Deferred Revenue
--------- ------- ---------
TOTAL SOURCES OF CASH (A) 1,380,851 517,917 2,650,160
USES OF CASH:
Increase in Assets:
Accounts Receivable 565,559
Other Receivables 29,508 61,767
Intercompany Receivables 107,393
Inventory
Prepaid Expenses & Deposits 217,794 193,023
Patents & Purchased Technology
Property, Plant & Equipment 2,325 3,197 37,492
Other non-current assets 2,378 17,329
Short Term Investments 1,603,000 310,000
Decrease in Liabilities:
Pre-Petition Liabilities 41,290 135,711
Post-Petition Liabilities
Accrued Restructuring 1,886 3,341 304
Deferred Revenue 750,000
Secured Debt and Capital Leases 266 347 1,007,578
--------- ------- ---------
TOTAL USES OF CASH (B) 1,896,069 426,656 2,768,763
------- ------- -------
NET SOURCE (USE) OF CASH (A-B=NET) (515,218) 91,261 (118,603)
CASH - BEGINNING BALANCE (See OPR-1) 1,287,187 771,969 863,230
------- ------- -------
CASH - ENDING BALANCE (See OPR-1) $771,969 $863,230 $744,627
======= ======= =======
See Accompanying Notes to Financial Statements
_____________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-6
Statement of Sources and Uses of Cash
Period of: July 8, 1994 - December 31, 1995
October November December
SOURCES OF CASH:
Income (Loss) From Operations ($1,313,234)($6,826,686) ($1,180,647)
Add: Depreciation, Amortization
& Other Non-Cash Items 695,379 5,591,211 813,729
------- ------- -------
CASH GENERATED FROM OPERATIONS (617,855) (1,235,475) (366,918)
Add: Decrease in Assets:
Accounts Receivable 539,309 435,863
Other Receivables 47,594
Inventory 347,499
Prepaid Expenses & Deposits 74,073 212,966
Property, Plant & Equipment 80,647 3,090 2,585,034
Patents & Purchased Technology 449,705
Intercompany Receivables 703 1,670
Short Term Investments
Proceeds on sale of foreign
subsidiary 1,982,685 100,000
Proceeds on sale of minority interest 534,125
Proceeds on note receivable 120,000
Other non-current assets 38,056
Increase in Liabilities:
Pre-Petition Liabilities 1,904 230,000 120,000
Post-Petition Liabilities 168,807 557,512 101,997
Minority Interests
Deferred Revenue 88,212 3,528,549 152,057
------- --------- --------
TOTAL SOURCES OF CASH (A) 335,800 6,037,579 3,908,430
USES OF CASH:
Increase in Assets:
Accounts Receivable 1,006,666
Other Receivables 31,479 30,955
Intercompany Receivables 28,561
Inventory 154,467 168,891
Prepaid Expenses & Deposits 205,424
Patents & Purchased Technology 1,756 93,988
Property, Plant & Equipment 6,513
Other non-current assets 7,638 34,059
Short Term Investments 743,182 3,773,500 1,878,285
Decrease in Liabilities:
Pre-Petition Liabilities 3,492 52,419
Post-Petition Liabilities
Accrued Restructuring 20,445 0 1,440,034
Deferred Revenue 1,202,600
Secured Debt and Capital Leases 352 355 358
------- --------- ---------
TOTAL USES OF CASH (B) 959,319 4,180,223 5,745,877
------- --------- ---------
NET SOURCE (USE) OF CASH (A-B=NET) (623,519) 1,857,356 (1,837,447)
CASH - BEGINNING BALANCE (See OPR-1) 744,627 121,108 1,978,464
------- --------- -------
CASH - ENDING BALANCE (See OPR-1) $121,108 $1,978,464 $141,017
======= ========= =======
See Accompanying Notes to Financial Statements
____________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-6
Statement of Sources and Uses of Cash
Period of: July 8, 1994 - December 31, 1995
January February March
SOURCES OF CASH:
Income (Loss) From
Operations ($815,435) ($529,708) ($1,359,993)
Add: Depreciation,
Amortization & Other
Non-Cash Items 110,375 140,458 376,297
CASH GENERATED FROM ------- ------- ---------
OPERATIONS (705,060) (389,250) (983,696)
Add: Decrease in Assets:
Accounts Receivable 310,429
Other Receivables 14,602 17,407
Inventory 157,065 223,663
Prepaid Expenses &
Deposits
Property, Plant &
Equipment
Patents & Purchased
Technology
Intercompany Receivables 510
Short Term Investments 225,000 12,091 1,680,000
Proceeds on sale of
foreign subsidiary
Proceeds on sale of
minority interest
Proceeds on note receivable
Other non-current assets
Increase in Liabilities:
Pre-Petition Liabilities 1,923 259,116
Post-Petition
Liabilities 351,983 194,519 161,602
Accrued Restructuring
Minority Interests 1,193 1,607
Deferred Revenue
------- ------ --------
TOTAL SOURCES OF CASH (A) 198,657 (6,245) 1,342,292
USES OF CASH:
Increase in Assets:
Accounts Receivable 122,838 502,803
Other Receivables 12,804
Intercompany Receivables
Inventory 101,062 56,506
Prepaid Expenses &
Deposits 20,763 74,783 267,061
Patents & Purchased
Technology 6,500 17,442
Property, Plant &
Equipment 6,035 11,790 100,880
Other non-current assets
Short Term Investments
Decrease in Liabilities:
Pre-Petition Liabilities 40,984 7,256
Post-Petition Liabilities 104,642
Accrued Restructuring 0 3,607 2,660
Secured Debt and
Capital Leases 361 363 367
------- ------- -------
TOTAL USES OF CASH (B) 169,205 219,881 1,072,421
------- ------- -------
NET SOURCE (USE) OF CASH
(A-B=NET) 29,452 (226,126) 269,871
CASH-BEGINNING BALANCE
(See OPR-1) 141,017 170,469 (55,657)
CASH-ENDING BALANCE ------ ------- -------
(See OPR-1) $170,469 ($55,657) $214,214
====== ======= =======
See Accompanying Notes to Financial Statements.
_____________________________________________________________________________
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR-6
Statement of Sources and Uses of Cash
Period of: July 8, 1994 - December 31, 1995
April May June
SOURCES OF CASH:
Income (Loss) From
Operations ($506,240) ($457,629) ($271,485)
Add: Depreciation,
Amortization & Other
Non-Cash Items 171,744 166,848 359,165
CASH GENERATED FROM ------- ------- -------
OPERATIONS (334,496) (290,781) 87,680
Add: Decrease in Assets:
Accounts Receivable 116,700
Other Receivables 1,797 3,267
Inventory 132,723 17,228
Prepaid Expenses &
Deposits 26,897
Property, Plant &
Equipment 630
Patents & Purchased
Technology
Intercompany Receivables
Short Term Investments 317,117 110,759 74,850
Proceeds on sale of
foreign subsidiary
Proceeds on sale of
minority interest
Proceeds on note receivable
Other non-current assets
Increase in Liabilities:
Pre-Petition Liabilities 4,491
Post-Petition Liabilities 95,350 112,840 512,105
Accrued Restructuring
Minority Interests 2,032
Deferred Revenue
------- ------ -------
TOTAL SOURCES OF CASH (A) 195,301 67,338 728,550
USES OF CASH:
Increase in Assets:
Accounts Receivable 8,714 427,043
Other Receivables 3,090
Intercompany Receivables
Inventory 87,322 200,640
Prepaid Expenses &
Deposits 30,676 32,257
Patents & Purchased
Technology 14,994 18,615 97,846
Property, Plant &
Equipment 18,737 17,629
Other non-current assets
Short Term Investments
Decrease in Liabilities:
Pre-Petition Liabilities 16,165
Post-Petition Liabilities 82,235 4,431
Accrued Restructuring 975 4,840
Secured Debt and
Capital Leases 369 373 375
------- ------ -------
TOTAL USES OF CASH (B) 235,826 83,127 748,373
NET SOURCE (USE) OF CASH ------ ------ ------
(A-B=NET) (40,525) (15,789) (19,823)
CASH-BEGINNING BALANCE
(See OPR-1) 214,214 173,689 157,900
CASH-ENDING BALANCE ------ ------ ------
(See OPR-1) $173,689 $157,900 $138,077
====== ====== ======
See Accompanying Notes to Financial Statements.
- -----------------------------------------------------------------------------
Case Name: Cambridge Biotech Corporation
Case Number: 94-43054
Form OPR - 6
Statement of Sources and Uses of Cash
Period of: July 8, 1994 - December 31, 1995
July August September
SOURCES OF CASH: ------ ------- ---------
Operations $(682,590) $170,961 ($634,079)
Amortization & Other
Non-Cash Items 1,241 (31,548) 225,977
CASH GENERATED FROM ------- -------- ---------
OPERATIONS (681,349) 139,413 (408,102)
Add: Decrease in Assets:
Accounts Receivables 156,567 235,382 44,430
Other Receivables 3,364
Inventory 159,020 62,057
Prepaid Expenses &
Deposits 71,283
Property, Plant &
Equipment
Patents & Purchased
Technology
Intercompany Receivables
Short Term Investments 3,503 175,931
Proceeds on sale of
foreign subsidiary
Proceeds on sale of
minority interest
Proceeds on note receivable
Other non-current assets
Increase in Liabilities:
Pre-Petition Liabilities 4,339
Post-Petition Liabilities 519,932 172,374 874,576
Accrued Restructuring
Minority Interests 1,554
Deferred Revenue
------- ------- -------
TOTAL SOURCES OF CASH (A) 233,295 609,226 691,753
USES OF CASH:
Increase in Assets:
Accounts Receivable 463,760
Other Receivables 1,408 2,555 9,243
Intercompany Receivables
Inventory 441,255
Prepaid Expenses &
Deposits 196,495 28,090
Patents & Purchased
Technology 18,964
Property, Plant &
Equipment 23,114 18,408 22,319
Other non-current assets
Short Term Investments 242,478
Decrease in Liabilities:
Pre-Petition Liabilities
Post-Petition Liabilities
Accrued Restructuring 2,035 42,660 46,702
Secured Debt and
Capital Leases 378 381 384
------ ------- -------
TOTAL USES OF CASH (B) 26,935 521,941 1,011,753
NET SOURCE (USE) OF CASH ------- ------- -------
(A-B=NET) 206,360 87,285 (320,000)
CASH - BEGINNING BALANCE
(See OPR-1) 138,077 344,437 431,722
CASH - ENDING BALANCE ------- ------- -------
(See OPR-1) $344,437 $431,722 $111,722
======= ======== =======
See Accompanying Notes to Financial Statements.
_____________________________________________________________________________
CASE NAME: Cambridge Biotech Corporation
CASE NUMBER: 94-43054
Form OPR-6
Statement of Sources and Uses of Cash
Period of: July 8, 1994 - December 31, 1995
October November December
SOURCES OF CASH:
Income (Loss) From Operations $ 6,836 $114,877 $ 22,939
Add: Depreciation, Amortization
& Other Non-Cash Items 101,327 (12,091) 478,456
------- --------- --------
CASH GENERATED FROM OPER. 108,163 102,786 501,395
Add: Decrease in Assets:
Accounts Receivable 360,000
Other Receivables 1,674,611
Inventory 179,738 355,472
Prepaid Expenses & Deposits 609,052 60,012 23,712
Property, Plant & Equipment
Patents & Purchased Tech.
Intercompany Receivables
Short-Term Investments 807,411
Proceeds on sale of
Foreign subsidiary
Proceeds on sale of
minority interest
Proceeds on note receivable
Other non-current assets 110,197
Increase in Liabilities:
Pre-Petition Liabilities 305
Post-Petition Liabilities 190,149 249,209
Accrued Restructuring 13,946
Minority Interest 2,603
Deferred Revenue
------- -------- ---------
TOTAL SOURCES OF CASH (A) 2,064,669 708,419 2,575,673
USES OF CASH:
Increase in Assets:
Accounts Receivable 1,091,153 162,667
Other Receivables 2,117 1,204 37,503
Intercompany Receivables
Inventory 248,448 553,896
Prepaid Expenses & Deposits
Patents & Purchased Technology 12,524 11,498 6,542
Property, Plant & Equipment 67,791 59,856 43,466
Other non-current assets
Short Term Investments 172,493 1,408,063
Decrease in Liabilities:
Pre-Petition Liabilities 145 36,146
Post-Petition Liabilities 820,761
Accrued Restructuring 18,939 12,935
Deferred Revenue 433,179
Secured Debt & Capital
Leases 388 390 (388)
------- -------- ---------
TOTAL USES OF CASH (B) 2,013,673 669,636 2,518,407
------- ------- ---------
NET SOURCE (USE) OF CASH (A-B=NET) 50,996 38,783 57,266
CASH-BEGINNING BALANCE (See OPR-1) 111,722 162,718 201,501
------- ------- ---------
CASH-ENDING BALANCE (See OPR-1) 162,718 $201,501 $258,767
======= ======= =======
- ----------------------------------------------------------------------------
CASE NAME: Cambridge Biotech Corporation
CASE NUMBER: 94-43054
Form OPR-6
Statement of Sources and Uses of Cash
Period of: July 8, 1994 - December 31, 1995
07/08/94-
12/31/95
SOURCES OF CASH:
Income (Loss) From Operations ($15,019,386)
Add: Depreciation, Amortization
& Other Non-Cash Items 10,354,630
----------
CASH GENERATED FROM OPER. (4,664,756)
Add: Decrease in Assets:
Accounts Receivable 2,582,394
Other Receivables 1,811,206
Inventory 2,415,972
Prepaid Expenses & Deposits 1,111,230
Property, Plant & Equipment 2,669,401
Patents & Purchased Tech. 468,317
Intercompany Receivables 92,254
Short-Term Investments 4,640,408
Proceeds on sale of
Foreign subsidiary 2,082,685
Proceeds on sale of
minority interest 534,125
Proceeds on note receivable 120,000
Other non-current assets 148,376
Increase in Liabilities:
Pre-Petition Liabilities 675,875
Post-Petition Liabilities 5,760,425
Accrued Restructuring 13,946
Minority Interest 8,989
Deferred Revenue 3,768,818
----------
TOTAL SOURCES OF CASH (A) 24,239,665
USES OF CASH:
Increase in Assets:
Accounts Receivable 4,351,203
Other Receivables 223,633
Intercompany Receivables 135,954
Inventory 2,012,487
Prepaid Expenses & Deposits 1,266,366
Patents & Purchased Technology 300,669
Property, Plant & Equipment 439,552
Other non-current assets 61,404
Short Term Investments 10,131,001
Decrease in Liabilities:
Pre-Petition Liabilities 333,608
Post-Petition Liabilities 1,012,069
Accrued Restructuring 1,601,363
Deferred Revenue 2,385,779
Secured Debt & Capital
Leases 1,012,997
---------
TOTAL USES OF CASH (B) 25,268,085
---------
NET SOURCE (USE) OF CASH (A-B=NET) (1,028,420)
CASH-BEGINNING BALANCE (See OPR-1) 1,287,187
-------
CASH-ENDING BALANCE (See OPR-1) $258,767
=======
- -----------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS
1. The Company's auditors have completed the December 31, 1995 year end
audit. The Company has restated its 1995 Monthly Operating Reports
to reflect the 1995 audit adjustments.
2. During 1992, the Company paid $2,300,000 to Alfa-Laval, a Swedish
company, to acquire its fibronectin binding technology for use in
mastitis vaccines and certain other products. In 1995 the Company
recorded $700,000 in expenses for the granting of certain patents
on this technology. The agreement provides for additional payments
to Alfa-Laval conditioned upon the first commercial sale of future
vaccines at $1,333,000 per vaccine, and up to $1,300,000 conditioned
upon the granting of additional patents in the United States and
Europe on the technology acquired.
3. In November 1993, five civil actions were commenced in the United States
District Court, District of Massachusetts, against the Company, certain
of its officers, and in three of the actions, the Company's former
auditors. The actions were instituted by persons alleging to be share-
holders of the Company and to be representative of a class of shareholders
claiming damages resulting from alleged violations of securities laws by
defendants in connection with the 1992 results of the Company and the
restatement thereof. The actions have been consolidated under the caption
In Re: Cambridge Biotech Corporation Securities Litigation, Civil Action
No. 93-12486-REK. In February, 1996 the plaintiffs agreed to settle all
claims against the Company and the individual defendants and pleadings
were filed with the United States District Court for the District of
Massachusetts for the purpose of approving the settlement. Under the
terms of the Settlement, the class members will be entitled to receive
their pro rata share of: 25% of the shares of a new company which will
be formed under "the Company's" Chapter 11 reorganization plan, and 90%
of any recoveries from prosecution of claims, if any, against the Company's
former accountants. The Company shall be entitled to receive 10% of any
recoveries from prosecution of such claims. These agreements preliminarily
have been approved by the United States District Court and will be incorpor-
ated into the Company's plan of reorganization. The settlement is subject
to the confirmation of a plan of reorganization by the U.S. Bankruptcy Court.
4. In March 1995, an Adversary Proceeding No. 95-4074 was commenced in the
Bankruptcy court, by Institut Pasteur and Genetic Systems Corporation
alleging patent infringement and asking for damages and injunctive relief.
The Company filed an answer and counterclaim denying the plaintiff's
allegations and alleging a breach by Institut Pasteur of its license
agreement with the Company. On September 1, 1995, the Bankruptcy Court
issued a summary judgement upholding the Company's license under two
patents issued to Institut Pasteur to commercialize diagnostics tests for
the HIV-2 strain of the AIDS virus. The Bankruptcy Court also ruled that
the Company's HIV-1 Western Blot confirmatory test infringes a third
patent issued to Institut Pasteur, and enjoined the Company from the
manufacture and sale of the HIV-1 Western Blot test. On January 5, 1996,
the Bankruptcy Court lifted its injunction with respect to the Company's
production and sale of the HIV-1 Western Blot kits. The Court ruled that
the Company has a license for the HIV-1 patent and must pay a royalty on
related sales. Institut Pasteur has appealed the Bankruptcy Court's
rulings. While the final outcome of these patent issues cannot be
determined with certainty, if the Bankruptcy Court rulings are sustained,
management believes that the outcome will not have a material adverse
effect on the Company's results of operations or its financial position.
