<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
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 JULY 31, 1997
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: 0-14082
MERRILL CORPORATION
(Exact name of Registrant as specified in its charter)
MINNESOTA 41-0946258
(State or other jurisdiction of
incorporation or organization) (I.R.S. Employer Identification No.)
ONE MERRILL CIRCLE
ST. PAUL, MINNESOTA 55108
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: 612-646-4501
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 (or for such shorter period that the Registrant was
required to file such reports), and (2) has been subject to filing requirements
for the past 90 days.
Yes X No
-------- --------
The number of shares outstanding of Registrant's Common Stock, par value $.01,
on September 3, 1997 was 8,110,693.
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<PAGE>
PART I.--FINANCIAL INFORMATION
<TABLE>
<CAPTION>
PAGE(S)
------
<S> <C>
ITEM 1. FINANCIAL STATEMENTS
Included herein is the following unaudited financial information:
Consolidated Balance Sheets as of July 31, 1997 and January 31, 1997................................. 3
Consolidated Statements of Operations for the three and six-month periods ended July 31, 1997 and
1996................................................................................................ 4
Consolidated Statements of Cash Flows for the six-month periods ended July 31, 1997
and 1996........................................................................................... 5
Notes to Consolidated Financial Statements........................................................... 6
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS........... 7-8
</TABLE>
2
<PAGE>
MERRILL CORPORATION
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS, EXCEPT SHARE DATA)
ASSETS
<TABLE>
<CAPTION>
JULY 31, JANUARY 31,
1997 1997
----------- -----------
(UNAUDITED)
<S> <C> <C>
Current assets
Cash and cash equivalents........................................................... $ 1,576 $ 5,161
Trade receivables, less allowance for doubtful accounts of $9,844 and $6,027,
respectively...................................................................... 101,458 81,733
Work-in-process inventories......................................................... 23,475 24,958
Other inventories................................................................... 5,303 4,878
Other current assets................................................................ 11,508 9,933
----------- -----------
Total current assets.............................................................. 143,320 126,663
Property, plant and equipment, net.................................................... 39,237 34,717
Goodwill, net......................................................................... 43,029 34,030
Other assets, net..................................................................... 6,955 6,587
----------- -----------
Total assets...................................................................... $ 232,541 $ 201,997
----------- -----------
----------- -----------
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Notes payable, banks................................................................ $ 7,300 $ 5,950
Current maturities of long-term debt................................................ 645 645
Current maturities of capital lease obligations..................................... 277 307
Accounts payable.................................................................... 30,231 20,387
Accrued expenses.................................................................... 32,835 30,154
----------- -----------
Total current liabilities......................................................... 71,288 57,443
Long-term debt, net of current maturities............................................. 40,880 40,880
Capital lease obligations, net of current maturities.................................. 1,717 1,849
Other liabilities..................................................................... 5,864 5,665
----------- -----------
Total liabilities................................................................. 119,749 105,837
----------- -----------
Shareholders' equity
Common stock, $.01 par value: 25,000,000 shares authorized; 8,102,646 shares and
7,932,524 shares, respectively, issued and outstanding............................ 81 79
Undesignated stock: 500,000 shares authorized; no shares issued.....................
Additional paid-in capital.......................................................... 20,903 17,858
Retained earnings................................................................... 91,808 78,223
----------- -----------
Total shareholders' equity........................................................ 112,792 96,160
----------- -----------
Total liabilities and shareholders' equity........................................ $ 232,541 $ 201,997
----------- -----------
----------- -----------
</TABLE>
The accompanying notes are an integral part
of the consolidated financial statements.
3
<PAGE>
MERRILL CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA)
(UNAUDITED)
<TABLE>
<CAPTION>
THREE-MONTHS ENDED SIX-MONTHS ENDED
JULY 31 JULY 31
----------------------------- ---------------------------
1997 1996 1997 1996
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
Revenues.................................................... $ 115,601 $ 87,569 $ 225,460 $ 158,769
Cost of revenues............................................ 74,535 54,878 140,809 100,908
------------ ------------ ------------ ------------
Gross profit.............................................. 41,066 32,691 84,651 57,861
Selling, general and administrative expenses................ 28,779 23,099 57,274 40,608
------------ ------------ ------------ ------------
Operating income.......................................... 12,287 9,592 27,377 17,253
Interest expense............................................ (1,136) (1,184) (2,130) (1,405)
Other, net.................................................. 223 85 98 225
------------ ------------ ------------ ------------
Income before provision for income taxes.................. 11,374 8,493 25,345 16,073
Provision for income taxes.................................. 5,062 3,822 11,279 7,157
------------ ------------ ------------ ------------
Net income................................................ $ 6,312 $ 4,671 $ 14,066 $ 8,916
------------ ------------ ------------ ------------
------------ ------------ ------------ ------------
Net income per common and common equivalent share:
Primary................................................... $.73 $.57 $1.67 $1.11
------------ ------------ ------------ ------------
------------ ------------ ------------ ------------
Fully diluted............................................. $.72 $.57 $1.65 $1.09
------------ ------------ ------------ ------------
------------ ------------ ------------ ------------
Dividends per common share.................................. $.03 $.03 $ .06 $.06
------------ ------------ ------------ ------------
------------ ------------ ------------ ------------
Weighted average number of common and common equivalent
shares outstanding:
Primary................................................... 8,601,868 8,214,770 8,441,291 8,067,014
------------ ------------ ------------ ------------
------------ ------------ ------------ ------------
Fully diluted............................................. 8,729,019 8,222,439 8,503,163 8,156,757
------------ ------------ ------------ ------------
------------ ------------ ------------ ------------
</TABLE>
The accompanying notes are an integral part
of the consolidated financial statements.
4
<PAGE>
MERRILL CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(IN THOUSANDS)
(UNAUDITED)
<TABLE>
<CAPTION>
SIX-MONTHS ENDED
JULY 31
------------------------
1997 1996
---------- ----------
<S> <C> <C>
Operating activities
Net income........................................................................... $ 14,066 $ 8,916
Adjustments to reconcile net income to net cash provided by (used in) operating
activities
Depreciation and amortization...................................................... 5,156 4,918
Amortization of intangible assets.................................................. 1,820 982
Provision for losses on trade receivables.......................................... 3,960 1,336
Change in deferred compensation.................................................... 845 (573)
Changes in operating assets and liabilities
Trade receivables................................................................ (23,640) (8,604)
Work-in-process inventories...................................................... 1,483 (19,896)
Other inventories................................................................ (136) 4,552
Other current assets............................................................. 1,173 (155)
Accounts payable................................................................. 424 (3,811)
Accrued expenses................................................................. 3,756 3,465
Accrued and deferred income taxes................................................ (4,741) (2,095)
---------- ----------
Net cash provided by (used in) operating activities............................ 4,166 (10,965)
---------- ----------
Investing activities
Business acquisitions, net of cash acquired.......................................... (1,406) (26,902)
Purchase of property, plant and equipment............................................ (9,270) (3,472)
Other, net........................................................................... (829) (814)
---------- ----------
Net cash used in investing activities.......................................... (11,505) (31,188)
---------- ----------
Financing activities
Borrowings on notes payable, banks................................................... 52,200 93,475
Repayments on notes payable, banks................................................... (50,850) (47,325)
Principal payments on long-term debt and capital lease obligations................... (162) (14,030)
Repurchase of common stock........................................................... (3,065)
Dividends paid....................................................................... (481) (473)
Tax benefit realized upon exercise of stock options.................................. 1,662 163
Exercise of stock options............................................................ 4,424 623
Other, net........................................................................... 26 108
---------- ----------
Net cash provided by financing activities...................................... 3,754 32,541
---------- ----------
Decrease in cash and cash equivalents.................................................. (3,585) (9,612)
Cash and cash equivalents, beginning of period......................................... 5,161 12,074
---------- ----------
Cash and cash equivalents, end of period............................................... $ 1,576 $ 2,462
---------- ----------
---------- ----------
</TABLE>
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING ACTIVITIES:
During the second quarter of fiscal year 1998, the Company recorded an
obligation of $8 million for additional consideration related to business
acquisitions.
The accompanying notes are an integral part
of the consolidated financial statements.
5
<PAGE>
MERRILL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
1. ACCOUNTING POLICIES
The consolidated financial statements as of July 31, 1997 and for the
periods ended July 31, 1997 and 1996 have been prepared by the Company, without
audit, pursuant to the rules and regulations of the Securities and Exchange
Commission. The consolidated financial statements reflect all adjustments,
consisting of normal recurring accruals, which the Company considers necessary
for a fair presentation of the results for the indicated periods. Certain
information and accounting policies and footnote disclosures normally included
in financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted pursuant to such rules and
regulations. These consolidated financial statements should be read in
conjunction with the financial statements and notes thereto included in the
Company's latest annual report on Form 10-K.
The preparation of the financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities and the reported amounts of
revenue and expenses during the reported periods. Actual results could differ
from those estimates. The most significant areas which require the use of
management's estimates relate to the determination of the allowance for
uncollectible trade receivables, sales credit reserves and reserves for
unbillable inventory.
2. BUSINESS ACQUISITIONS
On February 21, 1997, the Company completed an agreement under which the
Company received substantially all operating assets and assumed certain
liabilities of Roald Marth Learning Systems, Inc., doing business as Superstar
Computing, for $630,000. In addition, the agreement requires the Company to pay
contingent cash consideration of up to $5 million, based on the future
performance of Superstar Computing, as defined by the purchase agreement. This
acquisition was not significant to the financial position or results of
operations of the Company.
On April 15, 1996, the Company completed the acquisition of substantially
all of the operating assets and assumed certain liabilities of the Corporate
Printing Company, Inc. and Affiliated Group (CPC). The Company did not purchase
any assets relating to CPC's pressroom and shipping business. In accordance with
the CPC purchase agreement, additional contingent purchase consideration, in the
amount of $8 million, has been recognized as a component of accounts payable and
goodwill, net at July 31, 1997 in the accompanying consolidated balance sheet.
Payment of the $8 million was made in August 1997. On March 28, 1996, the
Company completed the acquisition of all outstanding common stock of FMC
Resource Management Corporation (FMC). Pro forma (unaudited) results for the six
month period ended July 31, 1996 as though the CPC and FMC acquisitions had been
effective on February 1, 1996 are as follows:
<TABLE>
<CAPTION>
SIX MONTHS
ENDED JULY
31, 1996
-------------
(IN THOUSANDS
EXCEPT PER
SHARE
AMOUNTS)
<S> <C>
Revenues......................................................... $ 174,011
-------------
-------------
Net income....................................................... $ 8,215
-------------
-------------
Net income per share--primary.................................... $ 1.01
-------------
-------------
</TABLE>
3. SHAREHOLDERS' EQUITY
The Company repurchased 132,000 shares of its Common Stock for approximately
$3.1 million during the first quarter of fiscal year 1998.
In August 1997, the Company's Board of Directors approved a 2-for-1 split of
its Common Stock. The split will be effected in the form of a 100% dividend of
the Company's Common Stock on October 15, 1997, for each common share owned by
shareholders of record at the close of business on September 30, 1997.
6
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Certain statements in Management's Discussion and Analysis of Financial
Condition and Results of Operations, constitute 'forward-looking' statements
within the meaning of the Private Securities Litigation Reform Act of 1995. Such
'forward-looking' statements involve known and unknown risks, uncertainties, or
achievements of the Company which may cause actual results to be materially
different from any future results, performance, or achievements expressed or
implied by such 'forward-looking' statements. These risks and uncertainties
include, but are not limited to, the effect of economic and financial market
conditions, government security reporting regulations, paper costs and the
integration and performance of recent acquisitions.
RESULTS OF OPERATIONS
The following table sets forth the percentage relationship to total revenues
of certain items in the Company's statements of operations for the three and
six-month periods ended July 31, 1997 and 1996, and the percentage change in
such items between the periods.
<TABLE>
<CAPTION>
THREE-MONTHS ENDED JULY 31, SIX-MONTHS ENDED JULY 31,
------------------------------------ ---------------------------------------
PERCENTAGE PERCENTAGE
INCREASE INCREASE
PERCENTAGE (DECREASE) PERCENTAGE (DECREASE)
OF REVENUES ---------- OF REVENUES ----------
--------------------- 1997 VS. ------------------------ 1997 VS.
1997 1996 1996 1997 1996 1996
-------- -------- ---------- -------- -------- ----------
<S> <C> <C> <C> <C> <C> <C>
Revenues
Financial.................................. 34.6% 38.4% 19% 36.5% 36.1% 42%
Corporate.................................. 38.0 31.9 57 34.8 31.1 60
Commercial and Other....................... 16.5 18.6 17 17.7 21.1 19
Document Management Services............... 10.9 11.1 30 11.0 11.7 34
-------- -------- -------- --------
Total revenues........................... 100.0 100.0 32 100.0 100.0 42
Cost of revenues............................. 64.5 62.7 36 62.5 63.6 40
-------- -------- -------- --------
Gross profit............................. 35.5 37.3 26 37.5 36.4 46
Selling, general and administrative
expenses.................................... 24.9 26.3 25 25.4 25.5 41
-------- -------- -------- --------
Operating income......................... 10.6 11.0 28 12.1 10.9 59
Interest expense............................. (1.0) (1.4) (4) (0.9) (0.9) 52
Other, net................................... 0.2 -- 158 -- 0.1 (56)
-------- -------- -------- --------
Income before provision for income
taxes.................................. 9.8 9.6 34 11.2 10.1 58
Provision for income taxes................... 4.4 4.3 32 5.0 4.5 58
-------- -------- -------- --------
Net income............................... 5.4% 5.3% 35 6.2% 5.6% 58
-------- -------- -------- --------
-------- -------- -------- --------
</TABLE>
REVENUES
Revenues for the second quarter of fiscal year 1998 and the six-month period
ended July 31, 1997, increased 32% and 42%, respectively, when compared to the
corresponding periods in the previous year. Financial revenue increased 19% for
the current quarter and 42% for the current six-month period when compared to
the same periods a year ago. The increases reflect strong mergers and
acquisition activity in financial market transactions during the first six
months of fiscal year 1998. The six-month period increase is also a result of
the Corporate Printing Company (CPC) business, which was acquired in April 1996.
The corporate revenue category increases of 57% and 60% for the current quarter
and six-month period, respectively, when compared to the same periods a year
ago, is attributed to strong corporate compliance work during the first half of
fiscal year 1998, continued demand for EDGAR services and strong growth in
7
<PAGE>
investment company services work. The increases in the commercial revenue
category of 17% and 19% for the current quarter and six-month period,
respectively, was primarily the result of increased business from our managed
communication programs. The six-month period increase is also a result of the
FMC Resource Management Corporation (FMC) business, which was acquired in March
1996. The document management services category for the current quarter and
six-month period increased 30% and 34%, respectively, when compared to the same
periods in fiscal year 1997. Leading the growth was a 45% increase in document
service center revenues for the current quarter. Five new document service
centers were opened during the quarter.
GROSS PROFITS
Gross profit decreased as a percentage of revenue for the current quarter
due to a change in the product mix and decreased utilization of facilities
compared to the prior year period. The prior year second quarter also included
more large deal transactions which resulted in higher margins. The six-month
period gross profit increased as a percentage of revenue primarily as a result
of strong volumes of activity generated by our financial and corporate revenue
categories during the first quarter of fiscal year 1998.
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES
During the current quarter and six-month period, selling, general and
administrative expenses decreased as a percent of revenues when compared to the
same periods a year ago. Overall selling, general and administrative expenses
increased as a result of our continued expansion of sales and marketing
activities, provisions for incentive compensation and increased provision for
losses on trade receivables.
PROVISION FOR INCOME TAXES
The effective income tax rate in the current quarter and six-month period
was 44.5%, compared to 45.0% and 44.5% for the second quarter and six-month
period ended July 31, 1996, respectively. Significant differences between the
effective income tax rate and federal statutory tax rate continue to be
attributable to state income taxes, net of federal benefits and non-deductible
business and entertainment expenses.
LIQUIDITY AND CAPITAL RESOURCES
Working capital at July 31, 1997, increased to $72.0 million from $69.2
million at January 31, 1997. Strong sales activity continued during the first
six months of fiscal year 1998, resulting in an increase in the trade
receivables balance when compared to the corresponding balance at January 31,
1997. Offsetting the impact of strong sales activity on the increase in working
capital was the repurchase of 132,000 shares of the Company's common stock for
approximately $3.1 million. Capital expenditures for the six-month period ended
July 31, 1997, approximated $9.3 million and were principally for leasehold
improvements and reprographic and computer-based production equipment. Cash and
cash equivalents decreased by approximately $3.6 million during the six-month
period ended July 31, 1997.
8
<PAGE>
PART II.--OTHER INFORMATION
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
(a) The Registrant's annual meeting was held on May 20, 1997.
(b) The following matters were submitted to a vote of security holders:
Proposal 1--Election of Directors
To elect eight directors to terms expiring in 1998:
<TABLE>
<CAPTION>
VOTES VOTES
DIRECTORS FOR WITHHELD
- ---------------------------------------------------------------------- ---------- ---------
<S> <C> <C>
Rick R. Atterbury..................................................... 5,795,310 232,778
James R. Campbell..................................................... 5,793,152 234,936
John W. Castro........................................................ 5,795,410 232,678
Ronald N. Hoge........................................................ 5,794,852 233,236
Frederick W. Kanner................................................... 5,793,152 234,936
Richard G. Lareau..................................................... 5,237,403 601,736
Paul G. Miller........................................................ 5,793,552 234,536
Robert F. Nienhouse................................................... 5,426,542 601,546
</TABLE>
Proposal 2--Proposal to increase by 500,000 the number of shares reserved
for issuance under the Company's 1993 Stock Incentive Plan, to a total of
1,500,000 shares:
<TABLE>
<S> <C>
Votes for:....................................................... 3,562,335
Votes against:................................................... 2,138,516
Votes to abstain:................................................ 327,237
</TABLE>
Proposal 3--Proposal to Ratify the Selection of Independent Public
Accountants:
<TABLE>
<S> <C>
Votes for:....................................................... 5,902,438
Votes against:................................................... 1,135
Votes to abstain:................................................ 3,022
</TABLE>
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits
11.1 Schedule of Computation of Per Share Earnings
(b) Reports on Form 8-K
None.
9
<PAGE>
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.
(REGISTRANT) MERRILL CORPORATION
BY (SIGNATURE) /s/ John W. Castro
(NAME AND TITLE) John W. Castro, President and Chief Executive Officer
(DATE) September 15, 1997
BY (SIGNATURE) /s/ Kay A. Barber
(NAME AND TITLE) Kay A. Barber, Chief Financial Officer
(DATE) September 15, 1997
10
<PAGE>
EXHIBIT INDEX
<TABLE>
<CAPTION>
EXHIBIT METHOD OF FILING
- ----------- -------------------------------
<C> <S> <C>
11.1 Schedule of Computation of Per Share Earnings.......................... Filed herewith electronically
27. Financial Data Schedules............................................... Filed herewith electronically
</TABLE>
<PAGE>
EXHIBIT 11.1
MERRILL CORPORATION
SCHEDULE OF COMPUTATION OF PER SHARE EARNINGS
(UNAUDITED)
<TABLE>
<CAPTION>
THREE MONTHS SIX MONTHS
ENDED JULY 31, ENDED JULY 31,
-------------------------- ---------------------------
1997 1996 1997 1996
------------ ------------ ------------- ------------
<S> <C> <C> <C> <C>
Primary:
Net income............................................ $ 6,311,735 $ 4,671,408 $ 14,065,949 $ 8,916,495
------------ ------------ ------------- ------------
------------ ------------ ------------- ------------
Weighted average number of common shares outstanding
during the period................................... 8,032,004 7,888,116 7,987,044 7,874,950
Add common equivalent shares relating to outstanding
options to purchase common stock using the treasury
stock method........................................ 569,864 326,654 454,247 192,064
------------ ------------ ------------- ------------
Weighted average number of common and common
equivalent shares outstanding................... 8,601,868 8,214,770 8,441,291 8,067,014
------------ ------------ ------------- ------------
------------ ------------ ------------- ------------
Primary income per common and common equivalent shares
outstanding............................................ $.73 $.57 $1.67 $1.11
------------ ------------ ------------- ------------
------------ ------------ ------------- ------------
Fully diluted:
Net income............................................ $ 6,311,735 $ 4,671,408 $ 14,065,949 $ 8,916,495
------------ ------------ ------------- ------------
------------ ------------ ------------- ------------
Weighted average number of common shares outstanding
during the period................................... 8,032,004 7,888,116 7,987,044 7,874,950
Add common equivalent shares relating to outstanding
options to purchase common stock using the treasury
stock method........................................ 697,015 334,323 516,119 281,807
------------ ------------ ------------- ------------
Weighted average number of common and common
equivalent shares outstanding................... 8,729,019 8,222,439 8,503,163 8,156,757
------------ ------------ ------------- ------------
------------ ------------ ------------- ------------
Fully diluted income per common and common equivalent
shares outstanding..................................... $.72 $.57 $1.65 $1.09
------------ ------------ ------------- ------------
------------ ------------ ------------- ------------
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> JAN-31-1998
<PERIOD-START> FEB-01-1997
<PERIOD-END> JUL-31-1997
<CASH> 1,576
<SECURITIES> 0
<RECEIVABLES> 111,302
<ALLOWANCES> 9,844
<INVENTORY> 28,778
<CURRENT-ASSETS> 143,320
<PP&E> 88,892
<DEPRECIATION> 49,655
<TOTAL-ASSETS> 232,541
<CURRENT-LIABILITIES> 71,288
<BONDS> 0
0
0
<COMMON> 81
<OTHER-SE> 112,711
<TOTAL-LIABILITY-AND-EQUITY> 232,841
<SALES> 225,460
<TOTAL-REVENUES> 225,460
<CGS> 140,809
<TOTAL-COSTS> 140,809
<OTHER-EXPENSES> 59,306
<LOSS-PROVISION> 3,960
<INTEREST-EXPENSE> 2,130
<INCOME-PRETAX> 25,345
<INCOME-TAX> 11,279
<INCOME-CONTINUING> 14,066
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 14,066
<EPS-PRIMARY> 1.67
<EPS-DILUTED> 1.65
</TABLE>
