<PAGE>
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
-----------------------
FORM 10-Q
(Mark one)
[X] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the quarterly period ended June 30, 1995
-------------
or
[ ] Transition Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the transition period from _______ to _______
Commission file number 1-8246
SOUTHWESTERN ENERGY COMPANY
(Exact name of registrant as specified in its charter)
Arkansas 71-0205415
(State of incorporation (I.R.S. Employer
or organization) Identification No.)
1083 Sain Street, P.O. Box 1408, Fayetteville, Arkansas 72702-1408
(Address of principal executive offices, including zip code)
(501) 521-1141
(Registrant's telephone number, including area code)
No Change
(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 twelve 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:
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date:
Class Outstanding at August 4,1995
---------------------------- ------------------------------
Common Stock, Par Value $.10 24,690,965
===========================================================================
- 1 -<PAGE>
<PAGE>
PART I
FINANCIAL INFORMATION
- 2 - <PAGE>
<PAGE>
SOUTHWESTERN ENERGY COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)
ASSETS
<TABLE>
<CAPTION>
June 30, December 31,
1995 1994
--------- ---------
($ in thousands)
<S> <C> <C>
Current Assets
Cash $ 694 $ 1,152
Accounts receivable 19,078 32,325
Inventories, at average cost 13,642 12,199
Other 1,386 2,353
--------- ---------
Total current assets 34,800 48,029
--------- ---------
Investments 5,495 4,877
--------- ---------
Property, Plant and Equipment, at cost
Gas and oil properties, using the
full cost method 470,798 435,570
Gas distribution systems 184,934 176,728
Gas in underground storage 33,906 36,629
Other 19,122 18,541
--------- ---------
708,760 667,468
Less: Accumulated depreciation,
depletion and amortization 260,956 242,008
--------- ---------
447,804 425,460
--------- ---------
Other Assets 6,694 6,216
--------- ---------
Total Assets $ 494,793 $ 484,582
========= =========
</TABLE>
The accompanying notes are an integral part
of the financial statements.
- 3 -<PAGE>
<PAGE>
SOUTHWESTERN ENERGY COMPANY AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)
LIABILITIES AND SHAREHOLDERS' EQUITY
<TABLE>
<CAPTION>
June 30, December 31,
1995 1994
--------- ---------
($ in thousands)
<S> <C> <C>
Current Liabilities
Current portion of long-term debt $ 6,071 $ 6,071
Accounts payable 14,239 18,670
Taxes payable 1,079 716
Customer deposits 4,282 4,232
Current portion of deferred income taxes 1,482 1,482
Over-recovered purchased gas costs, net 8,072 3,627
Other 4,053 4,345
--------- ---------
Total current liabilities 39,278 39,143
--------- ---------
Long-Term Debt, less current portion above 146,029 136,229
--------- ---------
Other Liabilities
Deferred income taxes 104,014 100,288
Deferred investment tax credits 2,327 2,416
Other 3,566 3,050
--------- ---------
109,907 105,754
--------- ---------
Commitments and Contingencies
Shareholders' Equity
Common stock, $.10 par value; authorized
75,000,000 shares, issued 27,738,084
shares 2,774 2,774
Additional paid-in capital 21,252 21,231
Retained earnings 203,902 199,430
Less: Unamortized cost of 27,358
restricted shares in 1995
and 21,499 restricted shares
in 1994, issued under stock
incentive plan 306 262
Common stock in treasury, at cost 28,043 19,717
--------- ---------
199,579 203,456
--------- ---------
Total Liabilities and Shareholders' Equity $ 494,793 $ 484,582
========= =========
</TABLE>
The accompanying notes are an integral part
of the financial statements.
- 4 - <PAGE>
<PAGE>
SOUTHWESTERN ENERGY COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
<TABLE>
<CAPTION>
Quarter Ended Six Months Ended
June 30, June 30,
1995 1994 1995 1994
---------- ---------- ---------- ----------
($ in thousands, except per share amounts)
<S> <C> <C> <C> <C>
Operating Revenues
Gas sales $ 28,071 $ 32,203 $ 77,284 $ 95,158
Oil sales 861 794 1,695 1,324
Gas transportation 1,361 1,183 2,542 2,519
Other 349 425 872 1,034
---------- ---------- ---------- ---------
30,642 34,605 82,393 100,035
---------- ---------- ---------- ---------
Operating Costs and Expenses
Purchased gas costs 5,738 4,276 21,333 25,570
Operating and general 10,997 10,414 21,583 20,620
Depreciation, depletion and amortization 8,954 8,544 18,308 17,970
Taxes, other than income taxes 1,026 900 2,152 1,879
---------- ---------- ---------- ---------
26,715 24,134 63,376 66,039
---------- ---------- ---------- ---------
Operating Income 3,927 10,471 19,017 33,996
---------- ---------- ---------- ---------
Interest Expense 2,548 2,120 5,146 4,053
---------- ---------- ---------- ---------
Other Income (Expense) (655) (490) (1,600) (954)
---------- ---------- ---------- ---------
Income Before Provision for Income Taxes 724 7,861 12,271 28,989
---------- ---------- ---------- ---------
Income Tax Provision (Benefit)
Current (845) 2,094 2,040 10,207
Deferred 1,124 933 2,684 954
---------- ---------- ---------- ---------
279 3,027 4,724 11,161
---------- ---------- ---------- ---------
Net Income $ 445 $ 4,834 $ 7,547 $ 17,828
========== ========== ========== ==========
Weighted Average Common Shares Outstanding 25,422,842 25,684,110 25,550,370 25,684,110
========== ========== ========== ==========
Earnings Per Share $ .02 $ .18 $ .30 $ .69
===== ===== ===== =====
Dividends Declared Per Share Payable 8/4/95
and 8/5/94 $ .06 $ .06 $ .06 $ .06
===== ===== ===== =====
</TABLE>
The accompanying notes are an integral part
of the financial statements.
- 5 -<PAGE>
<PAGE>
SOUTHWESTERN ENERGY COMPANY AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
<TABLE>
<CAPTION>
Six Months Ended
June 30,
1995 1994
-------- --------
($ in thousands)
<S> <C> <C>
Cash Flows From Operating Activities
Net income $ 7,547 $ 17,828
Adjustments to reconcile net income to
net cash provided by operating activities:
Depreciation, depletion and amortization 18,448 18,109
Deferred income taxes 2,684 954
Equity in loss of partnership 1,737 928
Change in assets and liabilities:
Decrease in accounts receivable 13,247 15,814
(Increase) Decrease in inventories (1,443) 674
Decrease in accounts payable (4,431) (2,111)
(Increase) decrease in taxes payable 363 (965)
Increase (decrease) in customer deposits 50 (67)
Increase (decrease) in over-recovered
purchased gas costs 4,445 (3,515)
Net change in other current assets
and liabilities 675 (107)
-------- --------
Net cash provided by operating activities 43,322 47,542
-------- --------
Cash Flows From Investing Activities
Capital expenditures (44,188) (27,132)
Investment in partnership (2,340) -
Decrease in gas stored underground 2,723 2,999
Other items 1,626 1,236
-------- --------
Net cash used in investing activities (42,179) (22,897)
-------- --------
Cash Flows From Financing Activities
Net increase (decrease) in revolving
long-term debt 9,800 (22,100)
Purchase of treasury stock (8,326) -
Dividends paid (3,075) (3,082)
-------- --------
Net cash used in financing activities (1,601) (25,182)
-------- --------
Decrease in cash (458) (537)
Cash at beginning of year 1,152 834
-------- --------
Cash at end of period $ 694 $ 297
======== ========
</TABLE>
The accompanying notes are an integral part
of the financial statements.
- 6 -<PAGE>
<PAGE>
SOUTHWESTERN ENERGY COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
JUNE 30, 1995
1. BASIS OF PRESENTATION
The financial statements included herein are unaudited; however, such
information reflects all adjustments (consisting solely of normal
recurring adjustments) which are, in the opinion of management, necessary
for a fair presentation of the results for the interim periods. The
Company's accounting policies are summarized in the 1994 Annual Report to
Shareholders, Notes to Financial Statements.
Certain reclassifications have been made to the June 30, 1994, financial
statements in order to conform with the 1995 presentation. These
reclassifications had no effect on previously reported net income.
2. DIVIDEND PAYABLE
A dividend of $.06 per share was declared July 7, 1995, payable August 4,
1995.
3. TREASURY STOCK
The Company's Board of Directors authorized during the first quarter of
1995 the repurchase of up to $30,000,000 of the Company's Common Stock.
The stock repurchases have been funded by cash flows from operations and
the Company's revolving credit facilities. The following table reconciles
changes in treasury stock during the six months ended June 30, 1995 ($ in
thousands).
Shares Amount
Balance at December 31, 1994 2,053,974 $19,717
Shares repurchased 562,845 8,326
--------- -------
Balance at June 30, 1995 2,616,819 $28,043
========= =======
4. INTEREST AND INCOME TAXES PAID
The following table provides interest and income taxes paid
during each period presented.
Three months Six months
Periods Ended June 30 1995 1994 1995 1994
-------------------------------------------------------------
(in thousands)
Interest payments $3,574 $3,009 $5,509 $4,854
Income tax payments $579 $7,481 $800 $10,672
- 7 -<PAGE>
<PAGE>
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
The following updates information as to the Company's financial condition
provided in the Company's Form 10-K for the year ended December 31, 1994, and
analyzes the changes in the results of operations between the three and six
month periods ended June 30, 1995, and the comparable periods of 1994.
RESULTS OF OPERATIONS
Net income for the three months ended June 30, 1995, was $.4 million, or $.02
per share, compared to $4.8 million, or $.18 per share, for the same period in
1994. For the six months ended June 30, 1995, net income was $7.5 million, or
$.30 per share, compared to $17.8 million, or $.69 per share, for the same
period in 1994.
The comparative decreases in net income for the second quarter and year to date
1995 were primarily the result of lower gas prices and a decrease in gas
production. The following tables compare operating revenues and operating
income by business segment for the three and six month periods ended June 30,
1995 and 1994:
<TABLE>
<CAPTION>
Quarter Ended Six Months Ended
June 30, June 30,
1995 1994 1995 1994
-------- -------- -------- --------
(in thousands)
<S> <C> <C> <C> <C>
Revenues
Exploration and
production $ 14,482 $ 19,687 $ 32,206 $ 44,631
Gas distribution 21,056 23,134 66,393 76,040
Other 95 81 193 151
Eliminations (4,991) (8,297) (16,399) (20,787)
-------- -------- -------- --------
$ 30,642 $ 34,605 $ 82,393 $100,035
======== ======== ======== ========
Operating Income
Exploration and
production $ 3,973 $ 9,951 $ 10,873 $24,325
Gas distribution 69 616 8,397 9,897
Corporate expenses (115) (96) (253) (226)
-------- -------- -------- -------
$ 3,927 $ 10,471 $ 19,017 $33,996
======== ======== ======== =======
</TABLE>
Revenues of the exploration and production segment were down 26% and 28%,
respectively, for the three and six month periods ended June 30, 1995, as
compared to the same periods in 1994. Gas production during the second quarter
of 1995 was 8.5 billion cubic feet (Bcf), down
- 8 -<PAGE>
<PAGE>
from 8.8 Bcf for the same period in 1994. For the six months ended June 30,
1995, gas production was 17.7 Bcf, down 8% from 19.2 Bcf for the same period in
1994. The decreases were primarily the result of lower sales from the
Company's offshore Gulf of Mexico properties. The Company is in process of
connecting new production from onshore areas, but was not able to bring on new
production fast enough to offset the normal decline from its other properties.
Sales from the Company's offshore properties were .7 Bcf during the second
quarter of 1995 and 1.5 Bcf for the first six months of 1995, down from 1.4 Bcf
and 3.2 Bcf, respectively, for the same periods in 1994. Sales in the first
half of 1994 were helped by the start of production from a new offshore
platform late in 1993. Sales of the Company's onshore gas production were 7.8
Bcf during the second quarter of 1995 and 16.2 Bcf for the six months ended
June 30, 1995, up from 7.3 Bcf and 16.0 Bcf, respectively, for the same periods
in 1994. Sales of Arkansas production to unaffiliated purchasers totaled 6.7
Bcf for the first six months of 1995, down from 8.0 Bcf for the same period in
1994, but the decline was largely offset by increased sales to the Company's
utility subsidiary. Most of that increase was under the terms of a settlement
agreement approved by the Arkansas Public Service Commission (APSC) to resolve
a dispute concerning the pricing of intersegment sales. The settlement, which
was effective July 1, 1994, increased the volumes which could be sold by the
Company's exploration and production segment to its utility segment, but made
the sales price equal to a spot market index plus a premium. The index based
pricing has to date resulted in a lower sales price under the contract affected
by the settlement.
As a result of the settlement, the Company's sales to Arkansas Western Gas
Company (AWG), which operates its northwest Arkansas gas distribution system,
increased to 4.6 Bcf during the six months ended June 30, 1995, compared to 4.1
Bcf for the same period in 1994. The Company sold 1.3 Bcf to AWG during the
second quarter of 1995, down from 1.6 Bcf for the same period in 1994. Sales
in the second quarter of 1994 were helped by increased demands for storage
injection during that period. Associated Natural Gas Company (Associated),
which operates the Company's gas distribution systems in northeast Arkansas and
parts of Missouri, purchased .9 Bcf of the Company's gas production during the
second quarter of 1995 and 2.8 Bcf during the first six months of 1995,
compared to 1.1 Bcf and 2.7 Bcf, respectively, for the same periods in 1994.
The Company's average sales price for its gas production was $1.61 per thousand
cubic feet (Mcf) for the second quarter of 1995, down from $2.15 per Mcf for
the same period in 1994. The average price was $1.73 per Mcf for the first six
months of 1995, down from $2.26 per Mcf for the same period of 1994. The
decreases reflected both the general decline in spot market prices for natural
gas and the effect of the pricing settlement approved by the APSC.
The Company's oil production increased to 95,731 barrels for the six months
ended June 30, 1995, up from 87,703 barrels for the same period in 1994. The
increase was due primarily to additional production from properties acquired in
Oklahoma and in the Gulf Coast area during the last half of 1994 and the first
half of 1995.
- 9 -<PAGE>
<PAGE>
Operating revenues of the gas distribution segment decreased 9% in the second
quarter of 1995 and 13% in the six months ended June 30, 1995, both as compared
to the same periods in 1994. The decreases were due both to a decrease in the
average utility rate and warmer weather. Weather during the first half of 1995
was 6% warmer than normal and 7% warmer than in the same period of the prior
year. Deliveries by the Company's gas distribution systems to sales and end-
use transportation customers were 5.4 Bcf for the second quarter of 1995 and
17.9 Bcf for the six months ended June 30, 1995, compared to 5.6 Bcf and 18.0
Bcf, respectively, for the same periods in 1994. Growth of 3% in the average
number of utility customers substantially offset the effect of the warmer
weather in 1995. AWG delivered a total of 11.8 Bcf to its sales and end-use
transportation customers during the first half of 1995, up from 11.7 Bcf in
1994. AWG also transported 4.8 Bcf for delivery off its system during the
first half of 1995, down from 6.3 Bcf for the same period in 1994. Associated
delivered a total of 6.1 Bcf to its customers during the first half of 1995,
down from 6.3 Bcf for the same period in 1994.
The Company's average rate for its utility sales decreased to $4.12 per Mcf
during the first half of 1995, down from $4.65 per Mcf for the same period in
1994. The decrease reflected lower prices paid for purchases of natural gas
which are passed through to customers under automatic adjustment clauses.
On July 14, 1995, Associated received an order from the Missouri Public Service
Commission (MPSC) disallowing the recovery of $2.2 million of gas costs. The
order was the result of audits by the Staff of the MPSC (Staff) for the five-
year period ending August 31, 1993. The MPSC disallowed recovery of $1.5
million in gas costs, representing a portion of the difference between the
price paid by Associated under a long-term firm contract with one of the
Company's gas producing subsidiaries and a spot market index price for gas
delivered into an interstate pipeline operating in the Arkoma Basin. Staff had
recommended disallowance of approximately $3.1 million of such costs. In
making its recommendation, Staff acknowledged that Associated had lowered its
gas costs and saved its ratepayers money by purchasing gas from its affiliate.
The Arkansas Public Service Commission had previously reviewed the costs
charged to Arkansas ratepayers under this contract and found them to be proper
and allowable for recovery. The MPSC also disallowed the recovery of $.7
million of take-or-pay charges passed through to Associated by its interstate
suppliers and allocable to transportation customers of Associated. The Company
expects to file a petition for rehearing with the MPSC and pursue additional
appeals if that petition is not granted. The Company does not expect the
ultimate outcome of this matter to have a material adverse impact on the
results of operations or the financial position of the Company.
Operating costs and expenses increased $2.6 million, or 11%, in the second
quarter of 1995 and decreased $2.7 million, or 4%, for the six months ended
June 30, 1995, both as compared to the same periods in 1994. The increase in
the second quarter of 1995, as compared to 1994, was due primarily to higher
purchased gas costs of the Company s gas distribution systems. The increase in
purchased gas costs resulted from a decrease in the elimination of gas
purchases related to intercompany transactions. The intercompany purchases of
gas were lower in the second quarter of 1995, as compared to 1994, due to a
decrease in the utility segment's
- 10 -<PAGE>
<PAGE>
requirements for delivery to storage. The decrease in operating costs and
expenses for the six months ended June 30, 1995, was due primarily to lower
purchased gas costs related to lower prices paid for gas supplies, partially
offset by increases in both operating and general expenses and depreciation,
depletion and amortization expense.
Total interest expense for the six months ended June 30, 1995, was up 27%,
compared to the same period in 1994. The increase was due to both higher
average borrowings and higher average interest rates on the Company's revolving
credit facilities.
The Company's share of the NOARK Pipeline System s (NOARK) pre-tax loss
included in other income was $.7 million for the second quarter of 1995 and
$1.7 million for the six months ended June 30, 1995, compared to $.5 million
and $.9 million, respectively, for the same periods in 1994. The increases in
NOARK's pre-tax loss resulted primarily from a decrease in firm demand revenues
and from an increase in interest expense. The Company, through a subsidiary,
holds a 47.93% general partnership interest in NOARK and is the pipeline's
operator.
The changes in the provisions for current and deferred income taxes recorded in
the three and six month periods ended June 30, 1995, as compared to the same
periods in 1994, resulted primarily from the level of taxable income and from
the deduction of intangible drilling costs in the year incurred for tax
purposes, netted against the turnaround of intangible drilling costs deducted
for tax purposes in prior years. Intangible drilling costs are capitalized and
amortized over future years for financial reporting purposes under the full
cost method of accounting.
CHANGES IN FINANCIAL CONDITION
Changes in the Company's financial condition at June 30, 1995, as compared to
December 31, 1994, primarily reflect the seasonal nature of the gas
distribution segment of the Company's business and changes in prices received
for gas production of the Company's exploration and production segment.
Routine capital expenditures, cash dividends and scheduled debt retirements are
predominately funded through cash provided by operations. For the first six
months of 1995 and 1994, net cash provided by operating activities was $43.3
million and $47.5 million, respectively, and exceeded the total of these
routine requirements. The decrease in net cash provided by operating
activities during the first six months of 1995, as compared to the same period
in 1994, was primarily due to lower net income and the timing of both cash
receipts and expenditures. The Company expects its outstanding borrowings to
increase during the upcoming months of 1995 as cash generated from operations
will be less than the requirements for routine capital expenditures and cash
dividends due to lower levels of heating-generated revenues and seasonally
higher capital expenditures resulting from favorable drilling and construction
weather.
The Company's capital expenditures for the first six months of 1995 were $44.2
million, compared to $27.1 million for the same period in 1994. The
comparative increase was the result of additional oil and gas exploration
expenditures, primarily on the onshore Louisiana and Texas
- 11 -<PAGE>
<PAGE>
Gulf Coast combined with expenditures of $8.5 million to purchase oil and gas
producing properties in the same area. The Company originally budgeted $55.2
million in 1995 for the exploration and production segment, approximately level
with the total spent in 1994, but currently expects total spending for this
segment to be approximately $65.0 - $70.0 million based on current projections
of activity through the end of 1995. Total capital spending for the
exploration and production segment could be affected by oil and gas property
acquisitions which might be identified later in 1995.
At June 30, 1995, the Company had access to $80.0 million of medium to long-
term capital at current market lending rates through two floating rate credit
facilities. Of this amount, $62.1 million was outstanding at June 30, 1995,
all of which was classified as long-term debt. The Company also had available
short-term lines of credit totaling $3.5 million, none of which was outstanding
at June 30, 1995. During the first six months of 1995, the Company's revolving
long-term debt increased by $9.8 million. The increase was a result of both
higher capital expenditures and repurchases of the Company's Common Stock under
a program authorized by the Company's Board of Directors in the first quarter
of 1995. As a result, long-term debt at June 30, 1995, accounted for 43% of
the Company's capitalization, up from 41% at December 31, 1994.
Subsequent to June 30, 1995, the Company fully drew down the remaining capital
available under its medium to long-term floating rate facilities. The Company
is evaluating its options to obtain additional debt financing and presently
expects to issue $100.0 - $125.0 million of long-term, fixed rate debt during
the last half of 1995. The proceeds will be used to repay currently
outstanding indebtedness and to fund a portion of the Company's capital
spending program. The Company is in process of arranging increases in the
amount available under its existing floating rate facilities to provide
additional debt financing until a long term issue can be completed.
Accounts receivable has declined since December 31, 1994, due to both
seasonally lower gas deliveries of the gas distribution segment and a decrease
in amounts due from unaffiliated purchasers of gas production in the
exploration and production segment caused by lower average gas prices and the
timing of cash receipts. The increase in inventories since December 31, 1994,
is the result of injections to the Company's unregulated underground gas
storage facility. Accounts payable has declined since December 31, 1994, due
primarily to seasonally lower gas purchases of the gas distribution segment.
Other changes in current assets and current liabilities between periods
resulted primarily from the timing of expenditures.
The Company had over-recovered $8.1 million of purchased gas costs at June 30,
1995, which will be refunded to its utility customers through automatic cost of
gas adjustment clauses included in its filed rate tariffs. At December 31,
1994, the Company had over-recovered purchased gas costs in the amount of $3.6
million. These amounts are classified as current liabilities.
- 12 -<PAGE>
<PAGE>
PART II
OTHER INFORMATION
Items 1 - 6(b)
--------------
No developments required to be reported under Items 1 - 6(b) occurred during
the quarter ended June 30, 1995, that have not been previously reported.
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.
SOUTHWESTERN ENERGY COMPANY
---------------------------
Registrant
DATE: August 14, 1995 /s/ GREGORY D. KERLEY
------------------------------
Gregory D. Kerley
Vice President - Treasurer and Secretary,
and Chief Accounting Officer
- 13 -<PAGE>
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> JUN-30-1995
<CASH> 694
<SECURITIES> 0
<RECEIVABLES> 19,078
<ALLOWANCES> 0
<INVENTORY> 13,642
<CURRENT-ASSETS> 34,800
<PP&E> 708,760
<DEPRECIATION> (260,956)
<TOTAL-ASSETS> 494,793
<CURRENT-LIABILITIES> 39,278
<BONDS> 146,029
<COMMON> 2,774
0
0
<OTHER-SE> 196,805
<TOTAL-LIABILITY-AND-EQUITY> 494,793
<SALES> 78,979
<TOTAL-REVENUES> 82,393
<CGS> 0
<TOTAL-COSTS> 63,376
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 5,146
<INCOME-PRETAX> 12,271
<INCOME-TAX> 4,724
<INCOME-CONTINUING> 7,547
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 7,547
<EPS-PRIMARY> .30
<EPS-DILUTED> 0
<PAGE>
<PAGE>
</TABLE>
