FORM 10-QSB--QUARTERLY OR TRANSITIONAL REPORT UNDER SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Quarterly or Transitional Report
U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-QSB
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the quarterly period ended September 30, 2000
[ ] 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 0-14283
ANGELES INCOME PROPERTIES, LTD. IV
(Exact name of small business issuer as specified in its charter)
California 95-3974194
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
55 Beattie Place, PO Box 1089
Greenville, South Carolina 29602
(Address of principal executive offices)
(864) 239-1000
(Issuer's telephone number)
Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act during the preceding 12 months (or for such
shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days. Yes X No___
<PAGE>
PART I - FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
a)
ANGELES INCOME PROPERTIES, LTD. IV
CONSOLIDATED BALANCE SHEET
(Unaudited)
(in thousands, except unit data)
September 30, 2000
<TABLE>
<CAPTION>
Assets
<S> <C>
Cash and cash equivalents $ 250
Receivables and deposits, net of $104 allowance
for doubtful accounts 240
Restricted escrows 793
Other assets 404
Investment property:
Land $ 2,414
Buildings and related personal property 18,173
20,587
Less accumulated depreciation (13,113) 7,474
$ 9,161
Liabilities and Partners' Deficit
Liabilities
Accounts payable $ 36
Tenant security deposit liabilities 16
Accrued property taxes 129
Other liabilities 220
Mortgage note payable 14,710
Partners' Deficit
General partner $ (135)
Limited partners (131,585 units issued and
outstanding) (5,815) (5,950)
$ 9,161
</TABLE>
See Accompanying Notes to Consolidated Financial Statements
<PAGE>
b)
ANGELES INCOME PROPERTIES, LTD. IV
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(in thousands, except unit data)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
September 30, September 30,
2000 1999 2000 1999
Revenues:
<S> <C> <C> <C> <C>
Rental income $ 824 $ 887 $ 2,565 $ 2,853
Other income 19 66 61 183
Gain on sale of property -- -- -- 3,565
Total revenues 843 953 2,626 6,601
Expenses:
Operating 449 417 1,208 1,264
General and administrative 63 75 143 162
Depreciation 237 235 711 766
Interest 376 373 1,102 1,121
Property taxes 30 40 108 151
Bad debt (recovery) expense, net (18) (23) 51 233
Total expenses 1,137 1,117 3,323 3,697
Net (loss) income $ (294) $ (164) $ (697) $ 2,904
Net (loss) income allocated to general
partner $ (6) $ (3) $ (14) $ 1,323
Net (loss) income allocated to
limited partners (288) (161) (683) 1,581
$ (294) $ (164) $ (697) $ 2,904
Net (loss) income per limited
partnership unit $ (2.19) $ (1.22) $ (5.19) $ 12.02
Distributions per limited partnership
unit $ -- $ 49.90 $ 7.08 $ 49.90
</TABLE>
See Accompanying Notes to Consolidated Financial Statements
<PAGE>
c)
ANGELES INCOME PROPERTIES, LTD. IV
CONSOLIDATED STATEMENT OF CHANGES IN PARTNERS' DEFICIT
(Unaudited)
(in thousands, except unit data)
<TABLE>
<CAPTION>
Limited
Partnership General Limited
Units Partner Partners Total
<S> <C> <C> <C> <C>
Original capital contributions 131,800 $ 1 $65,900 $65,901
Partners' deficit at
December 31, 1999 131,585 $ (102) $(4,201) $(4,303)
Distributions to partners -- (19) (931) (950)
Net loss for the nine months
ended September 30, 2000 -- (14) (683) (697)
Partners' deficit at
September 30, 2000 131,585 $ (135) $(5,815) $(5,950)
</TABLE>
See Accompanying Notes to Consolidated Financial Statements
<PAGE>
d)
ANGELES INCOME PROPERTIES, LTD. IV
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(in thousands)
<TABLE>
<CAPTION>
Nine Months Ended
September 30,
2000 1999
Cash flows from operating activities:
<S> <C> <C>
Net (loss) income $ (697) $ 2,904
Adjustments to reconcile net (loss) income to net
cash provided by operating activities:
Gain on sale of property -- (3,565)
Depreciation 711 766
Amortization of loan costs and leasing commissions 86 88
Bad debt expense 51 233
Change in accounts:
Receivables and deposits 295 69
Other assets 40 75
Accounts payable 1 (7)
Tenant security deposit liabilities 10 (1)
Accrued property taxes (32) (25)
Other liabilities (9) (396)
Net cash provided by operating activities 456 141
Cash flows from investing activities:
Lease commissions paid (59) (45)
Property improvements and replacements (69) (8)
Net deposits to restricted escrows (144) (97)
Net proceeds from sale of investment property -- 4,588
Net cash (used in) provided by investing activities (272) 4,438
Cash flows from financing activities:
Payments on mortgage note payable (154) (140)
Distribution to partners (950) (6,700)
Net cash used in financing activities (1,104) (6,840)
Net decrease in cash and cash equivalents (920) (2,261)
Cash and cash equivalents at beginning of period 1,170 3,637
Cash and cash equivalents at end of period $ 250 $ 1,376
Supplemental disclosure of cash flow information:
Cash paid for interest $ 1,082 $ 1,095
Supplemental disclosure of non-cash transaction:
Distribution payable to general partner $ -- $ 144
</TABLE>
See Accompanying Notes to Consolidated Financial Statements
<PAGE>
e)
ANGELES INCOME PROPERTIES, LTD. IV
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
Note A - Basis of Presentation
The accompanying unaudited consolidated financial statements of Angeles Income
Properties, Ltd. IV (the "Partnership" or "Registrant") have been prepared in
accordance with generally accepted accounting principles for interim financial
information and with the instructions to Form 10-QSB and Item 310(b) of
Regulation S-B. Accordingly, they do not include all of the information and
footnotes required by generally accepted accounting principles for complete
financial statements. In the opinion of Angeles Realty Corporation II ("ARC II"
or the "General Partner"), all adjustments (consisting of normal recurring
accruals) considered necessary for a fair presentation have been included.
Operating results for the three and nine month periods ended September 30, 2000,
are not necessarily indicative of the results that may be expected for the
fiscal year ending December 31, 2000. For further information, refer to the
consolidated financial statements and footnotes thereto included in the
Partnership's Annual Report on Form 10-KSB for the fiscal year ended December
31, 1999.
Principles of Consolidation
The consolidated financial statements of the Partnership include its
wholly-owned limited partnership interest in Factory Merchants, AIP IV, L.P. and
AIP IV GP, LP. The Partnership may remove the general partner of Factory
Merchants, AIP IV, L.P. and AIP IV GP, LP; therefore, the partnerships are
controlled and consolidated by the Partnership. All significant interpartnership
balances have been eliminated. Minority interest is immaterial and not shown
separately in the consolidated financial statements.
Note B - Transfer of Control
Pursuant to a series of transactions which closed on October 1, 1998 and
February 26, 1999, Insignia Financial Group, Inc. and Insignia Properties Trust
merged into Apartment Investment and Management Company ("AIMCO"), a publicly
traded real estate investment trust, with AIMCO being the surviving corporation
(the "Insignia Merger"). As a result, AIMCO acquired 100% ownership interest in
the General Partner. The General Partner does not believe that this transaction
has had or will have a material effect on the affairs and operations of the
Partnership.
Note C - Transactions with Affiliated Parties
The Partnership has no employees and is dependent on the General Partner and its
affiliates for the management and administration of all Partnership activities.
The Partnership Agreement provides for certain payments to affiliates for
services and reimbursement of certain expenses incurred by affiliates on behalf
of the Partnership.
The following amounts were paid or accrued to the General Partner and affiliates
during the nine months ended September 30, 2000 and 1999:
2000 1999
(in thousands)
Reimbursement for services of affiliates (included
in general and administrative expense) $ 36 $ 54
Real estate commission -- 144
An affiliate of the General Partner received reimbursement of accountable
administrative expenses amounting to approximately $36,000 and $54,000 for the
nine months ended September 30, 2000 and 1999, respectively.
Pursuant to the Partnership Agreement, the General Partner is entitled to
receive a distribution equal to 3% of the aggregate disposition price of sold
properties. Pursuant to this provision, during the nine months ended September
30, 1999, the Partnership declared a distribution of approximately $144,000
payable to the General Partner related to the sale of Eastgate Mall. However,
this fee is subordinate to the limited partners receiving a preferred return, as
specified in the Partnership Agreement. In January 2000, the General Partner
determined the limited partners preferred return would not be met and repaid
approximately $144,000 to the Partnership.
In addition to its indirect ownership of the general partner interest in the
Partnership, AIMCO and its affiliates currently own 28,042 limited partnership
units in the Partnership representing 21.319% of the outstanding units. A number
of these units were acquired pursuant to tender offers made by AIMCO or its
affiliates. It is possible that AIMCO or its affiliates will make one or more
additional offers to acquire additional limited partnership interests in the
Partnership for cash or in exchange for units in the operating partnership of
AIMCO. Under the Partnership Agreement, unitholders holding a majority of the
Units are entitled to take action with respect to a variety of matters, which
would include without limitation, voting on certain amendments to the
Partnership Agreement and voting to remove the General Partner. When voting on
matters, AIMCO would in all likelihood vote the Units it acquired in a manner
favorable to the interest of the General Partner because of their affiliation
with the General Partner.
Note D - Distribution
During the nine months ended September 30, 2000, the Partnership declared a cash
distribution from operations of approximately $950,000, of which approximately
$931,000 ($7.08 per limited partnership unit) was paid to the limited partners.
Subsequent to September 30, 2000, the Partnership declared a distribution from
operations of approximately $89,000 of which approximately $87,000 ($0.66 per
limited partnership unit) is allocable to the limited partners.
During the nine months ended September 30, 1999, the Partnership distributed
approximately $6,700,000 (approximately $6,566,000 to the limited partners,
$49.90 per limited partnership unit) to the partners. Approximately $2,112,000
(approximately $2,070,000 to the limited partners, $15.73 per limited
partnership unit) of the distribution was from operations and approximately
$4,588,000 (approximately $4,496,000 to the limited partners, $34.17 per limited
partnership unit) was from the sale of Eastgate Mall in June 1999.
Note E - Sale of Investment Property
On June 16, 1999, the Partnership sold Eastgate Mall to Pearce-Woodfield
Development Co., LLC, an unrelated party, for net proceeds of approximately
$4,588,000 after payment of closing costs. The Partnership recognized a gain of
approximately $3,565,000 on the sale during the second quarter of 1999.
Note F - Segment Reporting
Description of the types of products and services from which reportable segment
derives its revenues:
The Partnership has one reportable segment: commercial properties. The
Partnership's commercial property segment consists of one retail shopping center
in Tennessee at September 30, 2000. This property leases space to various
specialty retail outlets and fast food enterprises at terms ranging from 1 to 9
years. The Partnership's other commercial property was sold on June 16, 1999.
Measurement of segment profit or loss:
The Partnership evaluates performance based on segment profit (loss) before
depreciation. The accounting policies of the reportable segment are the same as
those of the Partnership as described in the Partnership's Annual Report on Form
10-KSB for the fiscal year ended December 31, 1999.
Segment information for the three and nine month periods ended September 30,
2000 and 1999 is shown in the tables below (in thousands). The "Other" column
includes Partnership administration related items and income and expense not
allocated to the reportable segment.
Three Months Ended September 30, 2000 Commercial Other Totals
Rental income $ 824 $ -- $ 824
Other income 16 3 19
Interest expense 376 -- 376
Depreciation 237 -- 237
General and administrative expense -- 63 63
Segment loss (234) (60) (294)
Nine Months Ended September 30, 2000 Commercial Other Totals
Rental income $ 2,565 $ -- $ 2,565
Other income 37 24 61
Interest expense 1,102 -- 1,102
Depreciation 711 -- 711
General and administrative expense -- 143 143
Segment loss (578) (119) (697)
Total assets 9,048 113 9,161
Capital expenditures for investment
property 69 -- 69
Three Months Ended September 30, 1999 Commercial Other Totals
Rental income $ 887 $ -- $ 887
Other income 11 55 66
Interest expense 373 -- 373
Depreciation 235 -- 235
General and administrative expense -- 75 75
Segment loss (144) (20) (164)
Nine Months Ended September 30, 1999 Commercial Other Totals
Rental income $ 2,853 $ -- $ 2,853
Other income 69 114 183
Interest expense 1,121 -- 1,121
Depreciation 766 -- 766
General and administrative expense -- 162 162
Gain on sale of property 3,565 -- 3,565
Segment profit (loss) 2,952 (48) 2,904
Total assets 10,037 1,089 11,126
Capital expenditures for investment
property 8 -- 8
Note G - Legal Proceedings
In March 1998, several putative unit holders of limited partnership units of the
Partnership commenced an action entitled Rosalie Nuanes, et al. v. Insignia
Financial Group, Inc., et al. in the Superior Court of the State of California
for the County of San Mateo. The plaintiffs named as defendants, among others,
the Partnership, its General Partner and several of their affiliated
partnerships and corporate entities. The action purports to assert claims on
behalf of a class of limited partners and derivatively on behalf of a number of
limited partnerships (including the Partnership) which are named as nominal
defendants, challenging the acquisition of interests in certain general partner
entities by Insignia Financial Group, Inc. ("Insignia") and entities which were,
at one time, affiliates of Insignia; past tender offers by the Insignia
affiliates to acquire limited partnership units; the management of partnerships
by the Insignia affiliates; and the Insignia Merger. The plaintiffs seek
monetary damages and equitable relief, including judicial dissolution of the
Partnership. On June 25, 1998, the General Partner filed a motion seeking
dismissal of the action. In lieu of responding to the motion, the plaintiffs
have filed an amended complaint. The General Partner filed demurrers to the
amended complaint which were heard February 1999.
Pending the ruling on such demurrers, settlement negotiations commenced. On
November 2, 1999, the parties executed and filed a Stipulation of Settlement,
settling claims, subject to final court approval, on behalf of the Partnership
and all limited partners who owned units as of November 3, 1999. Preliminary
approval of the settlement was obtained on November 3, 1999 from the Court, at
which time the Court set a final approval hearing for December 10, 1999. Prior
to the December 10, 1999 hearing, the Court received various objections to the
settlement, including a challenge to the Court's preliminary approval based upon
the alleged lack of authority of prior lead counsel to enter the settlement. On
December 14, 1999, the General Partner and its affiliates terminated the
proposed settlement. In February 2000, counsel for some of the named plaintiffs
filed a motion to disqualify plaintiff's lead and liaison counsel who negotiated
the settlement. On June 27, 2000, the Court entered an order disqualifying them
from the case. The Court is considering applications for lead counsel and has
currently scheduled a hearing on the matter for November 20, 2000. The General
Partner does not anticipate that costs associated with this case will be
material to the Partnership's overall operations.
The Partnership is unaware of any other pending or outstanding litigation that
is not of a routine nature arising in the ordinary course of business.
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION
The matters discussed in this Form 10-QSB contain certain forward-looking
statements and involve risks and uncertainties (including changing market
conditions, competitive and regulatory matters, etc.) detailed in the
disclosures contained in this Form 10-QSB and the other filings with the
Securities and Exchange Commission made by the Registrant from time to time. The
discussions of the Registrant's business and results of operations, including
forward-looking statements pertaining to such matters, does not take into
account the effects of any changes to the Registrant's business and results of
operation. Accordingly, actual results could differ materially from those
projected in the forward-looking statements as a result of a number of factors,
including those identified herein.
The Partnership's investment property consists of one commercial property. The
following table sets forth the average occupancy of the property for the nine
months ended September 30, 2000 and 1999:
Average Occupancy
Property 2000 1999
Factory Merchants Mall 90% 91%
Pigeon Forge, Tennessee
Results from Operations
The Partnership realized a net loss of approximately $697,000 for the nine
months ended September 30, 2000 as compared to a net income of approximately
$2,904,000 for the comparable period in 1999. The Partnership realized a net
loss of approximately $294,000 for the three months ended September 30, 2000, as
compared to a net loss of approximately $164,000 for the comparable period in
1999. The increase in net loss for the nine months ended September 30, 2000 is
primarily due to the gain recognized on the sale of Eastgate Mall of
approximately $3,565,000 in 1999. Excluding Eastgate Mall's operations, total
expenses and total revenues decreased at Factory Merchant Mall, the
Partnership's remaining investment property, for the three and nine months ended
September 30, 2000.
The decrease in total expenses is primarily due to decreases in operating, bad
debt, general and administrative, and property tax expenses. Operating expenses
decreased primarily due to a decrease in hazard insurance and management fees,
which are based on the collection of cash based on rents partially offset by an
increase in contract security at the property. Bad debt expense decreased due to
write-offs from tenants that have vacated without paying all of their expenses.
General and administrative expenses have decreased primarily due to a decrease
in reimbursements to the General Partner. Property tax expense has decreased
primarily due to a decrease in the assessed value for Factory Merchants Mall.
Total revenues for Factory Merchants Mall decreased primarily due to a decrease
in other income. Other income decreased primarily due to a decrease in the
average cash balance held in interest bearing accounts and a decrease in late
charges collected. Rental income decreased due to several tenants converting
over to a percentage rent on their sales which is less than in previous years
due to the competition among retailers in the area.
Included in general and administrative expenses for the nine months ended
September 30, 2000 and 1999, are reimbursements to the General Partner allowed
under the Partnership Agreement associated with its management of the
Partnership. In addition, costs associated with the quarterly and annual
communications with investors and regulatory agencies and the annual audit
required by the Partnership Agreement are also included.
On June 16, 1999, the Partnership sold Eastgate Mall to Pearce-Woodfield
Development Co., LLC, an unrelated party, for net proceeds of approximately
$4,588,000 after payment of closing costs. The Partnership recognized a gain of
approximately $3,565,000 on the sale during the second quarter of 1999.
As part of the ongoing business plan of the Partnership, the General Partner
monitors the rental market environment of its investment property to assess the
feasibility of increasing rents, maintaining or increasing occupancy levels and
protecting the Partnership from increases in expenses. As part of this plan, the
General Partner attempts to protect the Partnership from the burden of
inflation-related increases in expenses by increasing rents and maintaining a
high overall occupancy level. However, due to changing market conditions, which
can result in the use of rental concessions and rental reductions to offset
softening market conditions, there is no guarantee that the General Partner will
be able to sustain such a plan.
Liquidity and Capital Resources
At September 30, 2000, the Partnership had cash and cash equivalents of
approximately $250,000 as compared to approximately $1,376,000 at September 30,
1999. For the nine months ended September 30, 2000, cash and cash equivalents
decreased approximately $920,000 from the Partnership's year ended December 31,
1999. This decrease in cash and cash equivalents is due to approximately
$1,104,000 of cash used in financing activities and approximately $272,000 of
cash used in investing activities partially offset by approximately $456,000 of
cash provided by operating activities. Cash used in financing activities
consists of a distribution to the partners and, to a lesser extent, payments of
principal made on the mortgage encumbering Factory Merchants Mall. The cash used
in investing activities consists of net deposits to restricted escrows
maintained by the mortgage lender, as well as property improvements and
replacements and lease commissions. The Partnership invests its working capital
reserves in a money market account.
The sufficiency of existing liquid assets to meet future liquidity and capital
expenditure requirements is directly related to the level of capital
expenditures required at the property to adequately maintain the physical asset
and other operating needs of the Registrant and to comply with Federal, state,
and local legal and regulatory requirements. Capital improvements planned for
the Partnership's property are detailed below.
Factory Merchants Mall
During the nine months ended September 30, 2000, the Partnership expended
approximately $69,000 for capital improvements consisting of tenant
improvements, curbs, sidewalk and parking lot improvements, and roof
replacement. These improvements were funded from operating cash flow and
replacement reserves. Capital improvements budgeted for 2000 are expected to be
$138,000, which include, but are not limited to, tenant improvements, parking
lot improvements, roof replacement, and curbs and sidewalk improvements. As the
property is currently being marketed for sale, capital improvements will be made
only as needed.
The Registrant's current assets are thought to be sufficient for any near-term
needs (exclusive of capital improvements) of the Registrant. The mortgage
indebtedness of approximately $14,710,000 matures in October 2006. The General
Partner will attempt to refinance such indebtedness and/or sell the property
prior to such maturity date. Although the property is currently being marketed
for sale, there is no guarantee when, or if, a buyer and the Partnership will
agree to terms that are mutually acceptable to complete a sale transaction. If
the property cannot be refinanced or sold for a sufficient amount, the
Registrant will risk losing such property through foreclosure.
During the nine months ended September 30, 2000, the Partnership paid a cash
distribution from operations of approximately $950,000, of which approximately
$931,000 ($7.08 per limited partnership unit) was paid to the limited partners.
Subsequent to September 30, 2000, the Partnership declared a distribution from
operations of approximately $89,000 of which approximately $87,000 ($0.66 per
limited partnership unit) is allocable to the limited partners. During the nine
months ended September 30, 1999, the Partnership distributed approximately
$6,700,000 (approximately $6,566,000 to the limited partners, $49.90 per limited
partnership unit) to the partners. Approximately $2,112,000 (approximately
$2,070,000 to the limited partners, $15.73 per limited partnership unit) of the
distribution was from operations and approximately $4,588,000 (approximately
$4,496,000 to the limited partners, $34.17 per limited partnership unit) was
from the sale of Eastgate Mall in June 1999. The Registrant's distribution
policy is reviewed on a quarterly basis. Future cash distributions will depend
on the levels of net cash generated from operations, the availability of cash
reserves, and the timing of the debt maturity, refinancing and/or property sale.
There can be no assurance, however, that the Registrant will generate sufficient
funds from operations after required capital expenditures to permit additional
distributions to its partners during the remainder of 2000 or subsequent
periods.
<PAGE>
PART II - OTHER INFORMATION
ITEM 1. LEGAL PROCEDINGS
In March 1998, several putative unit holders of limited partnership units of the
Partnership commenced an action entitled Rosalie Nuanes, et al. v. Insignia
Financial Group, Inc., et al. in the Superior Court of the State of California
for the County of San Mateo. The plaintiffs named as defendants, among others,
the Partnership, its General Partner and several of their affiliated
partnerships and corporate entities. The action purports to assert claims on
behalf of a class of limited partners and derivatively on behalf of a number of
limited partnerships (including the Partnership) which are named as nominal
defendants, challenging the acquisition of interests in certain general partner
entities by Insignia Financial Group, Inc. ("Insignia") and entities which were,
at one time, affiliates of Insignia; past tender offers by the Insignia
affiliates to acquire limited partnership units; the management of partnerships
by the Insignia affiliates; and the Insignia Merger. The plaintiffs seek
monetary damages and equitable relief, including judicial dissolution of the
Partnership. On June 25, 1998, the General Partner filed a motion seeking
dismissal of the action. In lieu of responding to the motion, the plaintiffs
have filed an amended complaint. The General Partner filed demurrers to the
amended complaint which were heard February 1999.
Pending the ruling on such demurrers, settlement negotiations commenced. On
November 2, 1999, the parties executed and filed a Stipulation of Settlement,
settling claims, subject to final court approval, on behalf of the Partnership
and all limited partners who owned units as of November 3, 1999. Preliminary
approval of the settlement was obtained on November 3, 1999 from the Court, at
which time the Court set a final approval hearing for December 10, 1999. Prior
to the December 10, 1999 hearing, the Court received various objections to the
settlement, including a challenge to the Court's preliminary approval based upon
the alleged lack of authority of prior lead counsel to enter the settlement. On
December 14, 1999, the General Partner and its affiliates terminated the
proposed settlement. In February 2000, counsel for some of the named plaintiffs
filed a motion to disqualify plaintiff's lead and liaison counsel who negotiated
the settlement. On June 27, 2000, the Court entered an order disqualifying them
from the case. The Court is considering applications for lead counsel and has
currently scheduled a hearing on the matter for November 20, 2000. The General
Partner does not anticipate that costs associated with this case will be
material to the Partnership's overall operations.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
a) Exhibits:
Exhibit 27, Financial Data Schedule, is filed as an exhibit to
this report.
b) Reports on Form 8-K:
None filed during the quarter ended September 30, 2000.
<PAGE>
SIGNATURES
In accordance with the requirements of the Exchange Act, the Registrant caused
this report to be signed on its behalf by the undersigned, thereunto duly
authorized.
ANGELES INCOME PROPERTIES, LTD. IV
By: Angeles Realty Corporation II
General Partner
By: /s/Patrick J. Foye
Patrick J. Foye
Executive Vice President
By: /s/Martha L. Long
Martha L. Long
Senior Vice President
and Controller
Date:
