<PAGE>
=============================================================================
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-Q
QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For Quarter Ended March 25, 1994
--------------------------------
Commission file number 0-14140
First Albany Companies Inc.
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(Exact name of registrant as specified in its charter)
New York 22-2655804
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(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
41 State Street, Albany, NY 12207
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(Address of principal executive offices) (Zip Code)
(518) 447-8500
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(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Sections 13 or 15(d) of the Securities
Exchange Act of 1934 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 (1) No
--------- --------
Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practicable date.
3,636,916 Shares of Common Stock were outstanding as of the close of
business on April 21, 1994.
- - ----------------------------------------------------------------------------
============================================================================
<PAGE>
FIRST ALBANY COMPANIES INC. AND SUBSIDIARIES
FORM 10-Q
INDEX
PAGE
Part I - Financial Information
Item 1. Financial Statements
Condensed Consolidated Statements of Financial
Condition at March 25, 1994 and
September 24, 1993.......................................3
Condensed Consolidated Statements of Operations
for the Three Months and Six Months Ended
March 25, 1994 and March 26, 1993........................4
Condensed Consolidated Statements of Cash Flows
for the Six Months Ended March 25, 1994
and March 26, 1993.......................................5
Notes to Condensed Consolidated Financial
Statements.................................................6-7
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of
Operations..........................................8-13
Part II - Other Information
Item 1. Legal Proceedings.....................................14
Item 4. Submission of matters to a vote of security
holders...............................................14
Item 6. Exhibits and Reports on Form 8-K.................14 & 16
2
<PAGE>
FIRST ALBANY COMPANIES INC.
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
============================================================================
March 25, September 24,
1994 1993
(In thousands of dollars) (Unaudited)
- - ----------------------------------------------------------------------------
Assets
Cash and cash equivalents $ 2,664 $ 6,971
Cash and securities segregated under
federal regs. 250 250
Securities purchased under agreements
to resell 7,880 2,806
Securities borrowed 195,337 374,319
Receivables from
Brokers, dealers and clearing agencies 4,214 902
Customers 89,576 96,718
Others 5,695 1,863
Securities owned 44,847 21,445
Office equipment and leasehold
improvements, net 3,787 3,619
Other assets 5,640 5,901
- - ----------------------------------------------------------------------------
Total assets $ 359,890 $ 514,794
============================================================================
Liabilities and Stockholders' Equity
Liabilities
Short-term bank loans $ 20,481 $ 9,931
Securities sold under agreements to
repurchase 7,880 2,825
Securities loaned 190,862 374,229
Payables to
Brokers, dealers and clearing agencies 10,184 6,465
Customers 75,127 69,201
Others 5,324 1,752
Securities sold but not yet purchased 5,398 1,826
Accounts payable 1,744 1,580
Accrued compensation 7,619 10,263
Accrued expenses 3,178 3,928
Notes payable 141 456
Subordinated debt 2,250
- - ----------------------------------------------------------------------------
Total liabilities 327,938 484,706
- - ----------------------------------------------------------------------------
Commitments and Contingencies
Stockholders' Equity
Common stock $ 40 $ 40
Additional paid-in-capital 13,142 13,142
Retained earnings 21,277 18,719
Less treasury stock at cost (2,507) (1,813)
- - ----------------------------------------------------------------------------
Total stockholders' equity $ 31,952 $ 30,088
- - ----------------------------------------------------------------------------
Total liabilities and stockholders' equity $ 359,890 $ 514,794
============================================================================
See notes to the condensed consolidated financial statements.
3
<PAGE>
FIRST ALBANY COMPANIES INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
============================================================================
(In thousands of dollars Three Months Ended Six Months Ended
except for per share and out- March 25, March 26, March 25, March 26,
standing share amounts) 1994 1993 1994 1993
- - ----------------------------------------------------------------------------
Revenues
Commissions $ 8,016 $ 7,493 $16,876 $13,807
Principal transactions 9,210 7,804 19,041 16,140
Investment banking 5,107 6,092 10,815 10,077
Interest 3,297 2,024 7,077 4,087
Fees and other 1,524 1,654 3,094 3,293
- - ----------------------------------------------------------------------------
Total revenues 27,154 25,067 56,903 47,404
Interest expense 2,133 1,115 4,561 2,175
- - ----------------------------------------------------------------------------
Net revenues 25,021 23,952 52,342 45,229
- - ----------------------------------------------------------------------------
Expenses excluding interest
Compensation and benefits 16,885 15,994 35,336 29,993
Clearing, settlement and
brokerage costs 453 509 983 986
Communications and data
processing 1,761 1,519 3,468 2,967
Occupancy and depreciation 1,413 1,307 2,746 2,766
Selling 1,203 919 2,337 1,896
Other 1,278 1,071 2,466 2,101
- - ----------------------------------------------------------------------------
Total expenses excluding interest 22,993 21,319 47,336 40,709
- - ----------------------------------------------------------------------------
Income before income taxes 2,028 2,633 5,006 4,520
- - ----------------------------------------------------------------------------
Income tax expense 820 1,043 2,036 1,714
- - ----------------------------------------------------------------------------
Net income $ 1,208 $ 1,590 $ 2,970 $ 2,806
============================================================================
Net income per common and
common equivalent share:
Primary $ 0.30 $ 0.39 $ 0.73 $ 0.69
Fully diluted 0.30 0.38 0.73 0.69
============================================================================
Weighted average common
and common equivalent
shares outstanding:
Primary 4,065,687 4,081,989 4,086,103 4,054,349
Fully diluted 4,065,687 4,135,291 4,086,103 4,081,000
============================================================================
Dividend per common share
outstanding $ 0.05 $ 0.05 $ 0.10 $ 0.10
============================================================================
See notes to the condensed consolidated financial statements.
4
<PAGE>
FIRST ALBANY COMPANIES INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
============================================================================
Six Months Ended
March 25, March 26,
(In thousands of dollars) 1994 1993
- - ----------------------------------------------------------------------------
Cash flows from operating activities:
Net income $ 2,970 $ 2,806
Adjustments to reconcile net income to net
cash used in operating activities:
Depreciation and amortization 688 675
(Increase) decrease in operating assets:
Cash and securities segregated under
federal regs. 24
Securities purchased under agreement to
resell (5,074)
Securities borrowed, net (4,387) 269
Net receivable from customers 13,068 1,990
Net receivable from others (260) 1,745
Securities owned, net (19,830) (109,297)
Other assets 261 (876)
Increase (decrease) in operating liabilities:
Net payable to brokers and dealers 407 1,237
Securities sold under agreement to
repurchase 5,056
Accounts payable and accrued expenses (3,229) (3,391)
- - ----------------------------------------------------------------------------
Net cash used in operating activities (10,330) (104,818)
- - ----------------------------------------------------------------------------
Cash flows from investing activities:
Purchase of furniture, equipment,
and leaseholds (856) (497)
- - ----------------------------------------------------------------------------
Net cash used in investing activities (856) (497)
- - ----------------------------------------------------------------------------
Cash flows from financing activities:
Proceeds from short-term bank loans 10,550 42,750
Repurchase agreements 62,669
Payments of long-term notes payable (315) (447)
Payments of subordinated loan (2,250) (250)
Proceeds from issuance of common stock
from treasury 332 83
Purchase of common stock from treasury (1,073)
Proceeds from issuance of restricted stock 14
Dividends paid (365) (327)
- - ----------------------------------------------------------------------------
Net cash provided by financing activities 6,879 104,492
- - ----------------------------------------------------------------------------
Increase (Decrease) in cash (4,307) (823)
Cash at beginning of the year 6,971 2,650
- - ----------------------------------------------------------------------------
Cash at end of period $ 2,664 $ 1,827
============================================================================
Supplemental disclosures of cash flow information: Income tax payments
totaled $2,139 in 1994 and $1,078 in 1993. Interest payments totaled $2,200
in 1994 and $2,006 in 1993.
See notes to the condensed consolidated financial statements.
5
<PAGE>
FIRST ALBANY COMPANIES INC.
NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
1. Basis of Presentation
In the opinion of management, the accompanying unaudited consolidated
financial statements contain all adjustments, consisting of only normal,
recurring adjustments, necessary for a fair presentation of results for such
periods. The results for any interim period are not necessarily indicative
of results for the full year. Certain information and footnote disclosures
normally included in financial statements prepared in accordance with
generally accepted accounting principles have been omitted. These
consolidated financial statements should be read in conjunction with
financial statements and notes for the year ended September 24, 1993.
2. Cash and Securities Under Federal Regulations
Cash and resale agreements collateralized by U.S. Government securities
have been segregated in special reserve bank accounts for the exclusive
benefit of customers under Rule 15c3-3 of the Securities and Exchange
Commission.
3. Notes Payable
Notes payable consist of:
An unsecured note for $141,000 is payable in quarterly installments of
$15,625 plus interest at the prime rate (6% at March 25, 1994) plus 1/2%.
The note matures March 25, 1996.
4. Contingencies
In the normal course of business, the Company has been named a
defendant, or otherwise has possible exposure, in several claims arising in
the ordinary course of its business. Certain of these actions are class
actions which seek unspecified damages which could be substantial. Although
there can be no assurance as to the eventual outcome of litigation in which
the Company has been named as a defendant or otherwise has possible exposure,
the Company has provided for those actions most likely of adverse
dispositions. Although further liabilities of undeterminable amounts are
possible, in the opinion of management, based upon the advice of its general
counsel and outside counsel, such litigation in the aggregate, will not have
a material adverse effect on the Company's financial position, although it
could have a material effect on quarterly or annual operating results when
resolved in a future period.
5. Stockholders' Equity
On October 21, 1993, the Board of Directors declared the regular
quarterly dividend of $0.05 per share for the fourth quarter along with a 5%
stock dividend. Both were payable on November 15, 1993 to shareholders of
record on November 1, 1993.
On January 18, 1994, the Board of Directors declared the regular
quarterly dividend of $0.05 per share for the first quarter, ended December
31, 1993, payable on February 18, 1994 to shareholders of record on February
4, 1994.
On February 1, 1994, the Company completed a purchase of 130,000 shares
of its common stock, representing 3.5% of the shares then outstanding, for
$1,072,500. The purchase was internally financed.
6
<PAGE>
FIRST ALBANY COMPANIES INC.
NOTES to CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
(Continued)
On April 21, 1994, the Board of Directors declared the regular quarterly
dividend of $0.05 per share for the second quarter, ended March 25, 1994,
along with a 5% stock dividend. Both are payable on May 23, 1994 to
shareholders of record on May 9, 1994.
6. Net Income Per Common and Common Equivalent Share
Net income per common and common equivalent share for both the primary
and fully diluted computation have been based upon the weighted average
number of common shares and the dilutive common stock equivalents
outstanding. The dilutive effect of the common stock equivalents was
determined using the treasury stock method.
Net income per common and common equivalent share, along with both the
primary and fully dilutive weighted average common and common equivalent
shares outstanding, have been adjusted to reflect all of the 5% stock
dividends declared, including the 5% stock dividend declared on April 21,
1994, payable on May 23, 1994.
7. Net Capital Requirements
The Company's broker-dealer subsidiary, First Albany Corporation, is
subject to the Securities and Exchange Commission's Uniform Net Capital Rule
which requires the maintenance of a minimum net capital as calculated and
defined in the Rule. As of March 25, 1994, the broker-dealer subsidiary had
aggregate net capital, as defined, of $14,195,000 exceeding the required net
capital by $12,358,000.
8. Other
On January 4, 1994, one of the Company's subsidiaries, First Albany
Asset Management, entered into an agreement for the sale of certain assets
relating to the management of Investors Preference Fund For Income, Inc. and
Investors Preference New York Tax-Free Fund Inc. The sales price is
contingent upon the asset value of the funds on the closing date and the
first anniversary of the closing date. Accordingly, the ultimate sales price
to be realized is not yet determinable.
7
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FIRST ALBANY COMPANIES INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS COMPARISON OF 1994 VS. 1993
=============================================================================
1994 vs.
Three Months Ended 1993 Percentage
March 25, March 26, Increase Increase
(In thousands of dollars) 1994 1993 (Decrease) (Decrease)
- - ----------------------------------------------------------------------------
Revenues
Commissions $ 8,016 $ 7,493 $ 523 7%
Principal transactions 9,210 7,804 1,406 18%
Investment banking 5,107 6,092 (985) (16)%
Interest income 3,297 2,024 1,273 63%
Fees and others 1,524 1,654 (130) (8)%
- - ----------------------------------------------------------------------------
Total revenues 27,154 25,067 2,087 8%
Interest expense 2,133 1,115 1,018 91%
- - ----------------------------------------------------------------------------
Net revenues 25,021 23,952 1,069 4%
- - ----------------------------------------------------------------------------
Expenses excluding interest
Compensation and benefits 16,885 15,994 891 6%
Clearing, settlement and
brokerage cost 453 509 (56) (11)%
Communications and
data processing 1,761 1,519 242 16%
Occupancy and depreciation 1,413 1,307 106 8%
Selling 1,203 919 284 31%
Other 1,278 1,071 207 19%
- - ----------------------------------------------------------------------------
Total expenses excluding interest 22,993 21,319 1,674 8%
- - ----------------------------------------------------------------------------
Income before income taxes 2,028 2,633 (605) (23)%
- - ----------------------------------------------------------------------------
Income tax expense 820 1,043 (223) (21)%
- - ----------------------------------------------------------------------------
Net income $ 1,208 $ 1,590 $ (382) (24)%
============================================================================
Net interest income
Interest income $ 3,297 $ 2,024 $ 1,273 63%
Interest expense 2,133 1,115 1,018 91%
- - ----------------------------------------------------------------------------
Net interest income $ 1,164 $ 909 $ 255 28%
============================================================================
8
<PAGE>
FIRST ALBANY COMPANIES INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
The following is management's discussion and analysis of certain
significant factors which have affected the Company's financial position and
results of operations during the periods included in the accompanying
condensed consolidated financial statements.
Business Environment
First Albany Corporation, a wholly owned subsidiary of First Albany
Companies Inc. (the Company), is a full service investment banking and
brokerage firm. Its primary business includes the underwriting,
distribution, and trading of fixed income and equity securities. The
investment banking and brokerage business earns revenues in direct
correlation with the general level of trading activity in the stock and bond
markets. This level of activity cannot be controlled by the Company;
however, many of the Company's costs are fixed. Therefore, the Company's
earnings, like those of others in the industry, reflect the activity in the
markets and can fluctuate accordingly.
Results of Operations
Three Months Periods Ended March 25, 1994 and March 26, 1993
Net Income
Net income for the quarter ended March 25, 1994 was $1.2 million or
$0.30 per share compared to $1.6 million or $0.39 per share a year ago. The
Company's retail brokerage business made a solid contribution in the second
quarter along with growth in institutional equity and corporate finance.
Although revenues increased, earnings declined because falling bond prices
had a negative effect on fixed income product sales and trading and because
municipal securities refinancings declined.
Commissions
Commission revenues increased $0.5 million or 7% in this year's second
quarter, resulting primarily from an increase in mutual funds commission
revenues of $0.4 million or 17%.
Principal Transactions
Principal transactions increased $1.4 million or 18% in this year's
second quarter. This increase was comprised of an increase in equities
securities of $1.2 million, a decrease in taxable fixed income securities of
$0.9 million, and an unrealized gain of $1.1 million due to the Company's
investment in a firm which completed an initial public offering in February
1994.
Investment Banking
Investment banking revenues decreased $1.0 million or 16% in this year's
second quarter. Revenues from selling concessions remained constant,
underwriting fees decreased $0.3 million (primarily municipal bonds), and
investment banking fees decreased $0.7 million (municipal finance fees
decreased $1.5 million while corporate finance fees increased $0.8 million).
9
<PAGE>
FIRST ALBANY COMPANIES INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
(Continued)
Net Interest Income
Net interest income increased $0.3 million due primarily to increased
revenues from customer margin balances.
Compensation and Benefits
Compensation and benefits increased $0.9 million. Sales-related
compensation increased $0.1 million, salaries increased $0.4 million, and
benefits increased $0.3 million.
Selling Expense
Selling expense increased $0.3 million reflecting increased promotional
related activities and other expenses.
10
<PAGE>
FIRST ALBANY COMPANIES INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS COMPARISON OF 1994 VS. 1993
=============================================================================
1994 vs.
Six Months Ended 1993 Percentage
March 25, March 26, Increase Increase
(In thousands of dollars) 1994 1993 (Decrease) (Decrease)
- - ----------------------------------------------------------------------------
Revenues
________
Commissions $16,876 $13,807 $ 3,069 22%
Principal transactions 19,041 16,140 2,901 18%
Investment banking 10,815 10,077 738 7%
Interest income 7,077 4,087 2,990 73%
Fees and others 3,094 3,293 (199) (6)%
- - ----------------------------------------------------------------------------
Total revenues 56,903 47,404 9,499 20%
Interest expense 4,561 2,175 2,386 110%
- - ----------------------------------------------------------------------------
Net revenues 52,342 45,229 7,113 16%
- - ----------------------------------------------------------------------------
Expenses excluding interest
Compensation and benefits 35,336 29,993 5,343 18%
Clearing, settlement and
brokerage cost 983 986 (3) 0%
Communications and
data processing 3,468 2,967 501 17%
Occupancy and depreciation 2,746 2,766 (20) (1)%
Selling 2,337 1,896 441 23%
Other 2,466 2,101 365 17%
- - ----------------------------------------------------------------------------
Total expenses excluding
interest 47,336 40,709 6,627 16%
- - ----------------------------------------------------------------------------
Income before income taxes 5,006 4,520 486 11%
- - ----------------------------------------------------------------------------
Income tax expense 2,036 1,714 322 19%
- - ----------------------------------------------------------------------------
Net income $ 2,970 $ 2,806 $ 164 6%
============================================================================
Net interest income
Interest income $ 7,077 $ 4,087 $ 2,990 73%
Interest expense 4,561 2,175 2,386 110%
- - ----------------------------------------------------------------------------
Net interest income $ 2,516 $ 1,912 $ 604 32%
============================================================================
11
<PAGE>
FIRST ALBANY COMPANIES INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
Six Months Period Ended March 25, 1994 and March 26, 1993
Net Income
Net income for the six months ended March 25, 1994 was $3 million or
$0.73 per share compared to $2.8 million or $.69 per share earned in last
year's same six month period.
Commissions
Commission revenues increased $3.1 million or 22% in this year's first
six months. This increase was comprised primarily of increases in listed
and over-the-counter agency stock commissions of $1.2 million or 14% and from
mutual funds commission revenues of $1.7 million or 37%.
Principal Transactions
Principal transactions increased $3.0 million or 18% in this year's
first six months. This increase was comprised of an increase in equities of
$2.1 million and an unrealized gain of $1.1 million due to the Company's
investment in a firm which completed an initial public offering in February
1994.
Investment Banking
Investment banking revenues were up $0.7 million or 7% in this year's
six months. Revenues from selling concessions increased $1.0 million
(primarily equities), underwriting fees decreased $0.3 million (primarily
municipal bonds), and investment banking fees remained constant (corporate
finance fees increased $1.3 million, while municipal finance fees decreased
$1.3 million).
Net Interest Income
Net interest income increased $0.6 million due primarily to increased
revenues from customer margin balances.
Compensation and Benefits
Compensation and benefits increased $5.3 million due primarily to the
increase in revenues. Sales-related compensation increased $3.6 million,
salaries increased $1.1 million, and benefits increased $0.6 million.
12
<PAGE>
FIRST ALBANY COMPANIES INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
Liquidity and Capital Resources
A substantial portion of the company's assets, similar to other
brokerage and investment banking firms, is liquid, consisting of cash and
assets readily convertible into cash. These assets are financed primarily by
the Company's interest-bearing and non-interest-bearing payables to customers
and payables to brokers and dealers secured by loaned securities and bank
lines-of-credit. Securities borrowed and securities loaned will fluctuate
due primarily to the current level of business activity in this area.
Securities owned increased due to an increase in municipal underwriting at
March's month end. The Company's broker-dealer subsidiaries First Albany
Corporation and Northeast Brokerage Services Corp. at March 25, 1994 were in
compliance with the net capital requirements of the Securities and Exchange
Commission (SEC) and had capital in excess of the minimum required.
Management believes that funds provided by operations and a variety of
committed and uncommitted bank lines-of-credit totaling $85,000,000 of which
approximately $64,519,000 were unused as of March 25, 1994 will provide
sufficient resources to meet present and reasonably foreseeable short-term
financial needs.
On October 21, 1993, the Board of Directors declared the regular
quarterly dividend of $0.05 per share for the fourth quarter along with a 5%
stock dividend, both payable on November 15, 1993 to shareholders of record
on November 1, 1993.
On January 18, 1994, the Board of Directors declared the regular
quarterly dividend of $0.05 per share for the first quarter, ended December
31, 1993, payable on February 18, 1994 to shareholders of record on February
4, 1994.
On April 21, 1994, the Board of Directors declared the regular quarterly
dividend of $0.05 per share for the second quarter, ended March 25, 1994,
along with a 5% stock dividend. Both payable on May 23, 1994 to shareholders
of record on May 9, 1994.
The Company believes that funds provided by operations will also provide
sufficient resources to fund the acquisition of office equipment and
leasehold improvements, current long-term loan repayment requirements, and
other long-term requirements.
13
<PAGE>
Part II Other Information
Item 1. Legal Proceedings
In the normal course of business, the Company has been named a
defendant, or otherwise has possible exposure, in several claims arising in
the ordinary course of its business. Certain of these actions are class
actions which seek unspecified damages which could be substantial. Although
there can be no assurance as to the eventual outcome of litigation in which
the Company has been named as a defendant or otherwise has possible exposure,
the Company has provided for those actions most likely of adverse
dispositions. Although further liabilities of undeterminable amounts are
possible, in the opinion of management, based upon the advice of its general
counsel and outside counsel, such litigation in the aggregate, will not have
a material adverse effect on the Company's financial position, although it
could have a material effect on quarterly or annual operating results when
resolved in a future period.
Item 4. Submission of matters to a vote of security holders.
A. Annual meeting was held on February 15, 1994
B. Elected as Directors:
George C. McNamee
Alan P. Goldberg
Daniel V. McNamee, III
Robert F. Vagt
J. Anthony Boeckh
Honorable Hugh L. Carey
Hugh A. Johnson, Jr.
Benaree P. Wiley
C. Other matters voted on at Annual Meeting
1. Ratified the selection of Coopers & Lybrand as independent
auditors of the Company for the fiscal year ending September
30, 1994.
2. Approved amendment to the Company's 1989 Stock Incentive Plan
which increased the number of shares of common stock available
for issuance under the Plan. As amended, the Company is
authorized to issue up to 1,056,050 shares under the Plan.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibits.
(11) Statement Re: Computations of per share earnings.
(b) Reports on Form 8-K.
There were no reports on Form 8-K filed during the quarter ended
March 25, 1994.
14
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Act of 1934, the registrant
has duly caused this report to be signed on its behalf by the undersigned
hereunto duly authorized.
First Albany Companies Inc.
----------------------------------------
(Registrant)
Date: 5/2/94 /s/ Alan P. Goldberg
-------- ----------------------------------------
Alan P. Goldberg
President/Director
Date: 5/2/94 /s/ David J. Cunningham
-------- ----------------------------------------
David J. Cunningham
Vice President and Chief Financial Officer
(Principal Accounting Officer)
15
<PAGE>
(Exhibit 11)
FIRST ALBANY COMPANIES INC.
COMPUTATION OF PER SHARE EARNINGS
============================================================================
Three Months Ended Six Months Ended
(In thousands of dollars, March 25, March 26, March 25, March 26,
except per share amounts) 1994 1993 1994 1993
- - ----------------------------------------------------------------------------
Primary:
- - ----------------------------------------------------------------------------
Net income $ 1,208 $ 1,590 $ 2,970 $ 2,806
============================================================================
Weighted average number of
shares outstanding during
the period** 3,869 3,881 3,880 3,880
Incremental shares under
stock options computed under
the treasury stock method
using the average market
price of the issuer's stock
during the period 197 201 206 174
- - ----------------------------------------------------------------------------
Weighted average shares and
common equivalent shares
outstanding 4,066 4,082 4,086 4,054
============================================================================
Net income per share $ 0.30 $ 0.39 $ 0.73 $ 0.69
============================================================================
Fully Diluted:
- - ----------------------------------------------------------------------------
Net income $ 1,208 $ 1,590 $ 2,970 $ 2,806
============================================================================
Weighted average number of
shares outstanding during
the period** 3,869 3,883 3,880 3,880
Incremental shares under
stock options computed
under the treasury stock
method using the higher of
the average or ending market
price of the issuer's stock
at the end of the period 197 252 206 201
- - ----------------------------------------------------------------------------
Weighted average shares and
common equivalent shares
outstanding 4,066 4,135 4,086 4,081
============================================================================
Net income per share $ 0.30 $ 0.38 $ 0.73 $ 0.69
============================================================================
**(Per share figures and shares outstanding have been restated for all
dividends declared.)
