<PAGE> 1
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FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
/X/ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended October 1, 1995
OR
/ / TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
For the transition period from to
------------ -------------
Commission File No.: 0-14685
GENICOM CORPORATION
(Exact name of registrant as specified in its charter)
<TABLE>
<S> <C>
DELAWARE 51-0271821
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
14800 CONFERENCE CENTER DRIVE
SUITE 400, WESTFIELDS
CHANTILLY, VIRGINIA 22021-3806
(Address of principal executive offices) (Zip Code)
</TABLE>
Registrant's telephone number, including area code: (703) 802-9200
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months and (2) has been subject to such filing
requirements for the past 90 days. Yes X No -
-- --
As of October 20, 1995, there were 10,837,499 shares of Common Stock of
the Registrant outstanding.
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<PAGE> 2
FORM 10-Q INDEX
PART I - FINANCIAL INFORMATION
<TABLE>
<S> <C> <C>
Item 1. Financial Statements
Consolidated Balance Sheets - October 1, 1995 and January 1, 1995 3
Consolidated Statements of Income - Three and Nine Months Ended
October 1, 1995 and October 2, 1994 4
Consolidated Statements of Cash Flows - Nine Months Ended
October 1, 1995 and October 2, 1994 5
Notes to Consolidated Financial Statements 6 - 8
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations 9 - 13
PART II - OTHER INFORMATION
Item 1. Legal Proceedings 13
Item 2. Changes in Securities 13
Item 3. Defaults Upon Senior Securities 13
Item 4. Submission of Matters to a Vote of Security Holders 13
Item 5. Other Information 13
Item 6. Exhibits and Reports on Form 8-K 13
Signatures 14
</TABLE>
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<PAGE> 3
PART I. - FINANCIAL INFORMATION
Item 1. Financial Statements
GENICOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
OCTOBER 1, JANUARY 1,
(In thousands, except share data) 1995 1995
------------ -----------
(UNAUDITED)
<S> <C> <C>
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 534 $ 673
Accounts receivable, less allowance for
doubtful accounts of $2,451 and $1,479 52,229 37,846
Inventories 51,966 43,368
Prepaid expenses and other assets 5,280 5,040
---------- ---------
TOTAL CURRENT ASSETS 110,009 86,927
Property, plant and equipment 33,077 26,215
Intangibles and other assets 24,381 14,125
---------- ---------
$ 167,467 $ 127,267
========== =========
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Debt maturing within one year $ 8,245 $ 371
Accounts payable and accrued expenses 47,804 37,540
Deferred income 10,790 8,236
---------- ---------
TOTAL CURRENT LIABILITIES 66,839 46,147
Long-term debt, less current portion 59,950 47,192
Other non-current liabilities 7,611 5,845
---------- ---------
TOTAL LIABILITIES 134,400 99,184
STOCKHOLDERS' EQUITY:
Common stock, $0.01 par value; 18,000,000 and 15,000,000
shares authorized, 10,837,499 and 10,638,299 shares issued 108 106
Additional paid-in capital 26,021 25,760
Retained earnings 8,916 4,351
Foreign currency translation adjustment (1,279) (1,435)
Pension liability adjustment (699) (699)
---------- ---------
TOTAL STOCKHOLDERS' EQUITY 33,067 28,083
---------- ---------
$ 167,467 $ 127,267
========== =========
</TABLE>
The accompanying notes are an integral part of these financial statements.
PAGE 3
<PAGE> 4
GENICOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
<TABLE>
<CAPTION>
THREE MONTHS ENDED, NINE MONTHS ENDED,
OCTOBER 1, OCTOBER 2, OCTOBER 1, OCTOBER 2,
(In thousands, except per share data) 1995 1994 1995 1994
---------- ------------ ------------ -------------
<S> <C> <C> <C> <C>
REVENUES, NET:
Products $ 52,491 $ 38,983 $ 143,464 $ 123,957
Services 26,015 18,367 75,018 48,054
--------- ---------- ---------- -----------
78,506 57,350 218,482 172,011
--------- ---------- ---------- -----------
OPERATING COSTS AND EXPENSES:
Cost of revenues:
Products 37,457 28,796 100,223 90,394
Services 21,075 14,896 60,203 37,068
Selling, general and administration 13,738 9,460 39,111 31,801
Engineering, research and
product development 2,166 1,790 6,430 5,822
Acquisition related costs 1,204
--------- ---------- ---------- -----------
74,436 54,942 207,171 165,085
--------- ---------- ---------- -----------
OPERATING INCOME 4,070 2,408 11,311 6,926
Interest expense, net 2,069 1,823 5,714 5,731
Other income 1,635
--------- ---------- ---------- -----------
INCOME BEFORE INCOME TAXES 2,001 585 5,597 2,830
Income tax expense 298 99 1,034 748
--------- ---------- ---------- -----------
NET INCOME $ 1,703 $ 486 $ 4,563 $ 2,082
========= ========== ========== ===========
EARNINGS PER COMMON SHARE
AND COMMON SHARE EQUIVALENT
(primary and fully diluted) $ 0.14 $ 0.04 $ 0.38 $ 0.18
========= ========== ========== ===========
WEIGHTED AVERAGE NUMBER OF COMMON SHARES
AND COMMON SHARE EQUIVALENTS OUTSTANDING:
Primary 12,212 11,597 11,977 11,256
========= ========== ========== ===========
Fully diluted 12,212 11,597 11,992 11,332
========= ========== ========== ===========
</TABLE>
The accompanying notes are an integral part of these financial statements.
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GENICOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
<TABLE>
<CAPTION>
NINE MONTHS ENDED,
OCTOBER 1, OCTOBER 2,
(In thousands) 1995 1994
----------- -----------
<S> <C> <C>
Cash flows from operating activities:
Net income $ 4,563 $ 2,082
Adjustments to reconcile net income to cash provided
by operating activities:
Depreciation 10,360 6,976
Amortization 3,292 2,326
Effect of investment gain (901)
Effect of gain on early extinguishment of bonds (734)
Effect of acquisition related costs 1,204
Changes in assets and liabilities net of effects from acquisitions:
Accounts receivable (7,989) 799
Inventories (5,008) 8,273
Accounts payable and accrued expenses (1,546) (39)
Deferred income (571) 1,744
Other 1,984 1,159
--------- ----------
NET CASH PROVIDED BY OPERATING ACTIVITIES 6,289 21,685
--------- ----------
Cash flows from investing activities:
Payment for purchase of businesses, net of cash acquired (9,793)
Additions to property, plant and equipment (11,628) (9,133)
Proceeds from sale of investment 3,436
Other (208) (764)
--------- ----------
NET CASH USED IN INVESTING ACTIVITIES (21,629) (6,461)
--------- ----------
Cash flows from financing activities:
Borrowings from long-term debt 27,867 17,568
Payments on long-term debt (12,297) (27,134)
Purchases of senior subordinated notes (5,059)
--------- ----------
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES 15,570 (14,625)
--------- ----------
Effect of exchange rate changes on cash and cash equivalents (369) (522)
--------- ----------
Net (decrease) increase in cash and cash equivalents (139) 77
Cash and cash equivalents at beginning of period 673 1,797
--------- ----------
Cash and cash equivalents at end of period $ 534 $ 1,874
========= ==========
</TABLE>
The accompanying notes are an integral part of these financial statements
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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
1. In the opinion of management, the accompanying unaudited consolidated
financial statements of GENICOM Corporation and Subsidiaries (the
"Company" or "GENICOM") contain all adjustments (consisting only of
normal recurring accruals) necessary to present fairly the Company's
consolidated financial position as of October 1, 1995, and the results
of operations and cash flows for the periods indicated. Certain
information and footnote disclosures normally included in financial
statements prepared in accordance with generally accepted accounting
principles have been condensed or omitted. It is suggested that these
condensed consolidated financial statements be read in conjunction with
the financial statements and notes thereto included in the Company's
January 1, 1995 Annual Report. The results of operations for the nine
months ended October 1, 1995, are not necessarily indicative of the
operating results to be expected for the full year. Certain
reclassifications have been made to the 1994 condensed financial
statements in order to conform to the 1995 presentation.
2. Inventories are stated at the lower of cost, determined on the
first-in, first-out method, or market. Inventories consist of, in
thousands:
<TABLE>
<CAPTION>
OCTOBER 1, JANUARY 1,
1995 1995
------------ ----------
<S> <C> <C>
Raw materials $ 14,059 $ 14,354
Work in process 11,408 6,639
Finished goods 26,499 22,375
--------- ----------
$ 51,966 $ 43,368
========= ==========
</TABLE>
3. Earnings per share are based upon the weighted average number of common
shares and dilutive common share equivalents (using the treasury stock
method) outstanding during the period. Presentation is in thousands:
<TABLE>
<CAPTION>
THREE MONTHS ENDED NINE MONTHS ENDED
---------------------- --------------------------
OCTOBER 1, OCTOBER 2, OCTOBER 1, OCTOBER 2,
1995 1994 1995 1994
--------- ---------- ---------- ------------
<S> <C> <C> <C> <C>
SHARES USED IN COMPUTATION:
Weighted average common shares outstanding 10,809 10,631 10,733 10,627
Shares applicable to stock options, net of shares
assumed to be purchased from proceeds at
average market price 1,403 966 1,244 629
------ ------ ------ ------
Total shares for earnings per common share
and common share equivalent (primary) 12,212 11,597 11,977 11,256
Shares applicable to stock options in addition to
those used in primary computation due to the
use of period-end market price when higher
than average market price 15 76
------ ------ ------ ------
Total fully diluted shares 12,212 11,597 11,992 11,332
====== ====== ====== ======
</TABLE>
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4. During the first quarter ended April 2, 1995 the Company adopted the
provisions of SFAS No. 114 "Accounting by Creditors for Impairment of a
Loan" and SFAS No. 118 "Accounting by Creditors for Impairment of a
Loan - Income Recognition and Disclosure - Amendment of SFAS No. 114".
The implementation of SFAS Nos. 114 and 118 did not have a material
effect on the Company's financial condition or results of operations.
5. Business Acquisitions
Printer Systems Corporation
On February 16, 1995, the Company acquired Printer Systems Corporation
("PSC"), a privately held company whose primary business is the design,
manufacture, distribution and support of printer networking products
for commercial customers. PSC had 1994 revenues of $10.0 million.
Pursuant to the purchase agreement, the Company acquired substantially
all of PSC's outstanding common and preferred shares for consideration
aggregating to potentially $4.8 million. Of the consideration $0.8
million was payable at closing and $1.2 million is payable over the
three years subsequent to closing. The remaining balance of up to $2.8
million in consideration is contingent upon attainment of performance
objectives during the three years subsequent to closing, and will be
funded from the Company's cash flows from operations and credit
facilities. The acquisition has been accounted for as a purchase, and
the allocation of purchase price and related acquisition costs is
subject to adjustment based upon refinements in the application of
purchase method accounting and the final determination of the purchase
price.
Harris Adacom Network Services, Inc.
On March 1, 1995, the Company acquired substantially all of the assets
and certain liabilities of Harris Adacom Network Services, Inc.
("HANS"), including all of the stock of its Canadian subsidiary, Harris
Adacom Inc. for cash and notes totaling $7.3 million. The assets
acquired relate to HANS's service depot facility, field service
operations, systems integration business and network baselining and
monitoring operations. HANS had 1994 revenues of $36.1 million. The
purchase price was funded from the Company's cash flows from operations
and credit facilities and the acquisition has been accounted for as a
purchase. The allocation of the purchase price and related acquisition
costs is subject to adjustment based upon refinements in the
application of purchase method accounting and the final determination
of the purchase price.
Pro forma financial information
Presented below are the unaudited pro forma statements of operations as
if the acquired operations had been integrated into the Company
effective at January 3, 1994. Accounting adjustments have been made to
include estimated costs of the combinations and to reflect the
integration and consolidation of facilities and personnel. Included in
such integration costs are lease termination fees and relocation costs
associated with redundant facilities and employee severance expenses.
This pro forma information has been prepared for comparative purposes
only and does not purport to be indicative of the results that actually
would have been obtained if the acquired operations had been conducted
by the Company during the periods presented and is not intended to be a
projection of future results. Presentation is in thousands except for
earnings per share amounts.
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<TABLE>
<CAPTION>
THREE
MONTHS ENDED NINE MONTHS ENDED
------------------ -----------------------------------
OCTOBER 2, OCTOBER 1, OCTOBER 2,
1994 1995 1994
--------------- --------------- ---------------
<S> <C> <C> <C>
Revenue $ 68,393 $ 226,846 $ 206,539
Net income 790 4,430 3,953
========== =========== ============
Earnings per share $ 0.07 $ 0.37 $ 0.35
========== =========== ============
Weighted average shares outstanding 11,597 11,992 11,332
========== =========== ============
</TABLE>
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<PAGE> 9
Item 2. Management's Discussion and Analysis of Results of Operations and
Financial Condition:
RESULTS OF OPERATIONS
<TABLE>
<CAPTION>
=============================================================================================================
(in millions) THREE MONTHS NINE MONTHS
------------------------------- ------------------------------------------
1995 1994 CHANGE 1995 1994 CHANGE
--------- --------- ------ ---------- ---------- ------
<S> <C> <C> <C> <C> <C> <C>
Product Solutions $ 39,054 $ 35,401 10.3% $ 116,019 $ 113,113 2.6%
Multivendor Services 25,924 18,370 41.1% 74,848 47,861 56.4%
Integrated Network Services 10,645 nm 18,598 nm
Other 2,883 3,579 -19.4% 9,017 11,037 -18.3%
--------- --------- ---------- ----------
$ 78,506 $ 57,350 36.9% $ 218,482 $ 172,011 27.0%
========= ========= ====== ========== ========== =======
=============================================================================================================
</TABLE>
The Company achieved revenue growth of 36.9% and 27.0% in the three and nine
month periods ended October 1, 1995, respectively, as compared to the same
periods in fiscal year 1994. This growth reflects the strategic initiatives
undertaken during the past year in the Company's three business groups.
Product Solutions Group ("PSG")
Revenues in this business increased 10.3% and 2.6% in the three and nine month
periods ended October 1, 1995, respectively, as compared to the year-ago
periods. This growth is attributable to the favorable market acceptance of the
4800 Series and 3800 Series matrix printers, as well as the 7900 Series laser
printers. Additionally, through new marketing programs, these products are
experiencing growth in the value added markets of IBM environments and
industrial graphics. The Company continues to invest in new product
development directed at growing market share in its selectively chosen market.
Management anticipates that PSG 1995 revenues will be above fiscal year 1994
levels due to the sales of new laser printer products, a full year of volume
shipments of the Company's new shuttle matrix line impact printers and other
new impact printer offerings.
Multivendor Services Group ("MSG")
MSG experienced revenue growth of 41.1% and 56.4% in the three and nine month
periods ended October 1, 1995, respectively, as compared to the year-ago
periods. This growth primarily reflects the effects of the first quarter 1995
business acquisition of Harris Adacom Network Services, Inc., which was driven
by the Company's strategic initiative of expanding its capabilities in the
client server environment. In addition to the Company's field service growth,
the Company expanded its capabilities to include depot repair and unique
professional services through multiple channels directed at workstations, PCs,
networks, peripherals and copiers. In addition, the Company's peripherals
depot service business with IBM continues to increase year-over-year.
Management anticipates that MSG revenues will continue to show year-over-year
growth in future quarters.
Integrated Network Services Group ("INS")
This recently established business group reported that third quarter revenues
increased $4.9 million over the second quarter of 1995, reflecting the
completion of a significant Canadian contract. While the initial
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<PAGE> 10
margins on this contract were low, higher margins are expected on future
annuity business associated with the contract. This business is characterized
by larger contract values with long selling cycles. Accordingly, the Company
does not anticipate achieving consistency in revenue growth at this early
stage.
Management anticipates that INS fourth quarter revenues will approximate those
experienced in the second quarter.
Relay revenues decreased $0.7 million and $2.0 million in the three and nine
month periods ended October 1, 1995, respectively, as compared to the year-ago
periods. Management does not expect that 1995 relay revenues will meet those
of fiscal 1994.
<TABLE>
<CAPTION>
===============================================================================================
(in millions) 3RD QUARTER 4TH QUARTER 3RD QUARTER
1995 1994 1994
- -----------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Order backlog $ 49.3 $ 48.9 $ 40.0
Change - 3rd Quarter 1995 compared to:
Amount 0.4 9.3
Percentage 0.8 % 23.3 %
===============================================================================================
</TABLE>
The increase in order backlog from the 1994 fourth quarter is the result of
strong relay products orders during the 1995 third quarter, partially offset by
decreased order rates of certain customers in the PSG and MSG businesses. The
increase in order backlog from the 1994 third quarter is due to increased
multivendor services and relay products backlog.
<TABLE>
<CAPTION>
===============================================================================================================
THREE MONTHS ENDED NINE MONTHS ENDED
------------------------------------- -------------------------------------
(in millions) 3RD QUARTER 3RD QUARTER 3RD QUARTER 3RD QUARTER
1995 CHANGE 1994 1995 CHANGE 1994
- ---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Gross margin $ 20.0 $ 6.3 $ 13.7 $ 58.1 $ 13.6 $ 44.5
As a % of revenue 25.4 % 23.8 % 26.6 % 25.9 %
===============================================================================================================
</TABLE>
The Company's consolidated gross margin, as a percentage of revenue, increased
slightly during the periods. Management anticipates margins will continue to
show slight improvement, when compared to year-ago periods, due to improved
revenue mix and an improved ratio of revenue to fixed costs.
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<TABLE>
<CAPTION>
===============================================================================================================
THREE MONTHS ENDED NINE MONTHS ENDED
------------------------------------- -------------------------------------
(in millions) 3RD QUARTER 3RD QUARTER 3RD QUARTER 3RD QUARTER
1995 CHANGE 1994 1995 CHANGE 1994
- ---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Operating expenses:
Selling, general and
administrative $ 13.7 $ 4.2 $ 9.5 $ 39.1 $ 7.3 $ 31.8
Engineering, research and
product development 2.2 0.4 1.8 6.4 0.6 5.8
Acquistion related costs 1.2 1.2
------ ------ ------- -------- ------ -------
Total $ 15.9 $ 4.6 $ 11.3 $ 46.7 $ 9.1 $ 37.6
As a % of revenue 20.3 % 19.6 % 21.4 % 21.9 %
===============================================================================================================
</TABLE>
During the third quarter, the Company expended more on operating expenses, both
in actual dollars and as a percentage of revenues. This increase is primarily
attributable to PSG sales and marketing efforts, promotions, etc., directed at
revenue growth.
On a nine month year-over-year comparison, the Company expended more actual
dollars on operating expenses but less as a percentage of revenues. These
results were affected by the following non-recurring events; in the second
quarter of 1995, the Company recorded a charge against earnings of $1.2 million
for costs in connection with a proposed acquisition which was terminated plus
non-capitalized costs associated with the Company's 1995 business acquisitions;
and in January 1994, the Company initiated a cost reduction program which
included personnel, salary and benefit reductions for the Company's worldwide
operations.
<TABLE>
<CAPTION>
===============================================================================================================
THREE MONTHS ENDED NINE MONTHS ENDED
------------------------------------- -------------------------------------
(in millions) 3RD QUARTER 3RD QUARTER 3RD QUARTER 3RD QUARTER
1995 CHANGE 1994 1995 CHANGE 1994
- ---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Interest expense, net $ 2.1 $ 0.3 $ 1.8 $ 5.7 $ 5.7
Percentage change 16.7 %
Other income $ (1.6) $ 1.6
Percentage change (100.0) %
===============================================================================================================
</TABLE>
The increase in the Company's interest expense during the third quarter, as
compared to the year-ago period, is a result of the increase in the Company's
borrowings from its senior credit facility. This increase resulted from the
Company's 1995 business acquisition activities which increased the Company's
borrowings and an interest rate increase on the senior credit facility.
During 1994, the Company realized pre-tax gains of $0.7 million and $0.9
million on the early extinguishments of debt and the sale of an investment in a
Belgian company, respectively.
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<TABLE>
<CAPTION>
===============================================================================================================
THREE MONTHS ENDED NINE MONTHS ENDED
------------------------------------- -------------------------------------
(in millions) 3RD QUARTER 3RD QUARTER 3RD QUARTER 3RD QUARTER
1995 CHANGE 1994 1995 CHANGE 1994
- ---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Income tax expense $ 0.3 $ 0.2 $ 0.1 $ 1.0 $ 0.3 $ 0.7
Effective tax rate 14.9 % 16.9 % 18.5 % 26.4 %
===============================================================================================================
</TABLE>
The Company's effective income tax rate for the third quarter of 1995 was 14.9%
as compared to 16.9% for the year-ago period. These rates are significantly
affected by foreign income taxes and the utilization of net operating losses.
LIQUIDITY AND CAPITAL RESOURCES
<TABLE>
<CAPTION>
===============================================================================================
NINE MONTHS ENDED
----------------------------
(in millions) 3RD QUARTER 3RD QUARTER
1995 1994
- -----------------------------------------------------------------------------------------------
<S> <C> <C>
Cash provided by operations $ 6.3 $ 21.7
Cash used in investing activities (21.6) (6.5)
Cash provided by (used in) financing activities 15.6 (14.6)
===============================================================================================
</TABLE>
<TABLE>
<CAPTION>
=================================================================================================
(in millions) 3RD QUARTER 4TH QUARTER
1995 1994
- -------------------------------------------------------------------------------------------------
<S> <C> <C>
Working capital $ 43.2 $ 40.8
Inventories 52.0 43.4
Debt obligations 68.2 47.6
Debt to equity ratio 2.1 to 1 1.7 to 1
=================================================================================================
</TABLE>
The Company's working capital increased $2.4 million as of October 1, 1995 as
compared to January 1, 1995. This increase is primarily attributable to the
increase in the Company's accounts receivable, due to the significant growth in
revenues, partially offset by an increase in debt classified as current. As of
October 1, 1995, the Company had $3.4 million of the Notes in treasury, which
will be applied to the $9.0 million needed for the 1996 sinking fund
requirement.
On October 1, 1995, cash and cash equivalents were $0.5 million. Net cash
generated by operations in the first nine months of 1995 decreased $15.4
million compared to the year-ago period due to an increase in accounts
receivable, described above, and inventories. The increase in inventories is
related to the relocation and outsourcing to third parties of certain
manufacturing operations. Management believes that its investment in
receivables and inventories will be reduced during the fourth quarter of 1995.
The Company does not have any material commitments of funds for capital
expenditures other than to support the current level of operations.
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<PAGE> 13
In the first quarter of 1995, the Company retired $9.0 million principal amount
of its previously purchased Notes in fulfillment of its annual sinking fund
requirement. In addition to the above mentioned sinking fund requirements, on
February 15, 1997, $31.0 million of the Notes will mature. While the Company
expects that it will be able to satisfy the balance of the 1996 sinking fund
and the 1997 maturity, there is no assurance that the Company will have the
resources available to do so.
As of October 1, 1995, the Company had $27.5 million outstanding and $4.0
million available for borrowing under its senior credit facility. Management
believes that the Company has adequate resources, through its cash flows from
operations and credit facilities, to meet its future payment obligations.
Although management does not anticipate a material decline in sales volume, if
one should occur, management believes that it could have a material adverse
impact on the financial condition, results of operations, or liquidity of the
Company.
PART II. - OTHER INFORMATION
Item 1. Legal Proceedings:
Not applicable.
Item 2. Changes in Securities:
Not applicable.
Item. 3 Defaults Upon Senior Securities:
Not applicable.
Item 4. Submission of Matters to a Vote of Security Holders:
Not applicable.
Item 5. Other Information:
Not applicable.
Item 6. Exhibits and Reports on Form 8-K:
(a) Exhibits
NUMBER DESCRIPTION
------- ------------------------
27.1 Financial Data Schedule
(b) Reports on Form 8-K:
The Company did not file a Form 8-K during the quarter ended
October 1, 1995.
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<PAGE> 14
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.
<TABLE>
<S> <C>
GENICOM Corporation
-------------------
Registrant
Date: November 15, 1995
James C. Gale
-------------------
Signature
James C. Gale
Senior Vice President Finance and
Chief Financial Officer
(Mr. Gale is the Chief Financial
Officer and has been duly
authorized to sign on behalf of
the Registrant)
</TABLE>
PAGE 14
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-START> JUL-03-1995
<PERIOD-END> OCT-01-1995
<CASH> 534
<SECURITIES> 0
<RECEIVABLES> 53,767
<ALLOWANCES> (1,538)
<INVENTORY> 51,966
<CURRENT-ASSETS> 110,009
<PP&E> 102,731
<DEPRECIATION> (69,654)
<TOTAL-ASSETS> 167,467
<CURRENT-LIABILITIES> 66,839
<BONDS> 59,950
<COMMON> 108
0
0
<OTHER-SE> 32,959
<TOTAL-LIABILITY-AND-EQUITY> 167,467
<SALES> 143,464
<TOTAL-REVENUES> 218,482
<CGS> 100,223
<TOTAL-COSTS> 160,426
<OTHER-EXPENSES> 46,745
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 5,714
<INCOME-PRETAX> 5,597
<INCOME-TAX> 1,034
<INCOME-CONTINUING> 4,563
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 4,563
<EPS-PRIMARY> $0.38
<EPS-DILUTED> $0.38
</TABLE>
