SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C.
20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For Quarter Ended: Commission File Number:
March 31, 1997 0-13174
THE MARINA LIMITED PARTNERSHIP
(Exact name of registrant as specified in its charter)
Indiana 35-1689935
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification
Number)
11691 Fall Creek Road, 46256
Indianapolis, IN (Zip Code)
(Address of principal executive
offices)
Registrant's telephone number, including area code:
(317) 845-0270
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 such filing requirements
for the past 90 days.
YES X NO
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THE MARINA LIMITED PARTNERSHIP
FORM 10-Q
Table of Contents
PART I. FINANCIAL INFORMATION Page No.
Item 1. Financial Statements (unaudited)
A. Balance Sheets - March 31, 1997,
and December 31, 1996. 3
B. Statements of Earnings - Comparative
three months ended March 31, 1997,
and 1996. 4
C. Statements of Cash Flows - Comparative
three months ended March 31, 1997,
and 1996. 5
D. Note to Interim Financial Statements 6
Item 2. Management's Discussion and Analysis
of Financial Condition and Results of
Operations. 7
PART II. OTHER INFORMATION
(The items of Part II are inapplicable or the answers
thereto are negative and, accordingly, no reference
is made to said items in this report.)
Signature 8
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PART I - FINANCIAL INFORMATION
THE MARINA LIMITED PARTNERSHIP
ITEM 1. FINANCIAL STATEMENTS (UNAUDITED)
The financial information incorporated in this form
reflects all adjustments which are, in the opinion of
management, necessary to a fair statement of the
results for the interim period.
A. THE MARINA LIMITED PARTNERSHIP
Balance Sheets
March 31, 1997, and December 31, 1996
(Unaudited)
<TABLE>
<CAPTION>
1997 1996
<S> <C> <C>
ASSETS
Cash and cash equivalents $ 4,763,108 4,591,103
Investment in U.S. Treasury note 996,875 996,875
Receivables from homesite sales 1,260,539 1,460,990
Other receivables and assets 1,039,541 612,229
Prepaid sewer connections -
Flatfork Creek Utility 74,976 -
Home and homesites available for sale 2,056,139 2,107,566
Land and land improvements 1,561,122 1,537,940
Marina property and equipment, net 2,231,353 2,080,772
Commercial properties, net 2,523,375 2,562,076
Recreational facilities, net 427,085 362,461
Other investments:
Marina I 1,935,943 1,931,943
Dockside Cafe 190,846 205,651
Flatfork Creek Utility (1,775) -
------------- ----------
$ 19,059,127 18,449,606
============ ==========
LIABILITIES AND PARTNERS'
EQUITY
Accounts payable 338,908 383,372
Construction costs payable - 128,014
Accrued bonuses 22,645 56,305
Deferred revenues and sale deposits 900,597 137,223
Amount payable to Flatfork Creek Utility - 107,778
Amount payable as trustee 7,265 7,265
--------- -------
1,269,415 819,957
--------- -------
Partners' equity:
General partner - 201,188 units 5,317,716 5,270,017
Limited partners - 473,947 units 12,471,996 12,359,632
---------- ----------
Total Partners' Equity 17,789,712 17,629,649
------------ ----------
$ 19,059,127 18,449,606
============ ==========
</TABLE>
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B. THE MARINA LIMITED PARTNERSHIP
Statements of Earnings
Three Months Ended March 31, 1997, and 1996
(Unaudited)
<TABLE>
<CAPTION>
1997 1996
<S> <C> <C>
Revenues:
Homesite sales $ 564,492 163,000
Marina operations 245,361 134,709
Equity in earnings of investee companies (22,775) 109,460
Interest income 107,680 103,133
Rental income, net 53,898 50,106
Recreational facilities, net (26,771) (27,133)
------- -------
921,885 533,275
------- -------
Expenses:
Cost of homesites sold
and related expenses 167,567 76,406
Marina operations 356,769 248,831
General and administrative 231,771 226,570
Management fees paid to general partner 5,715 3,725
------- -------
761,822 555,532
------- -------
Net earnings (loss) 160,063 (22,257)
Net earnings (loss) attributable to
general partner 47,699 (6,485)
------- --------
Net earnings (loss) attributable to
limited partners $ 112,364 (15,772)
========= ========
Weighted average number of limited
partner units outstanding 473,947 478,421
======= =======
Net earnings (loss) per limited partner unit $ .24 (.03)
========= =======
</TABLE>
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C. THE MARINA LIMITED PARTNERSHIP
Statements of Cash Flows
Three Months Ended March 31, 1997, and 1996
(Unaudited)
<TABLE>
<CAPTION>
1997 1996
<S> <C> <C>
Cash flows from operating activities:
Net earnings (loss) $ 160,063 (22,257)
Adjustments to reconcile net earnings to net
cash provided by operating activities:
Depreciation of properties 87,001 67,940
Equity in earnings of investee companies 22,775 (109,460)
Collection of receivables relating to prior
years' homesite sales 200,451 655,678
Receivables on current year's homesite sales - -
Homes and homesite development costs (152,317) (51,747)
Cost of homesites sold 89,258 25,851
Deferred revenues and sale deposits 763,374 624,065
Change in operating assets and liabilities (688,190) (600,299)
--------- ---------
Net cash provided by
operating activities 482,415 589,771
--------- ---------
Cash flows from investing activities:
Investment in Marina I - 397,630
Investment in Dockside Cafe,
net of distributions received (10,195) (25,333)
Additions to marina property and equipment (195,969) (104,320)
Land and land development costs (36,710) (161,607)
Cost of commercial properties 2,044 (119,362)
Additions to recreational facilities (69,580) -
-------- ---------
Net cash used by
investing activities (310,410) (12,992)
--------- --------
Cash flows from financing activities:
Utility refunds received - 4,514
--------- --------
Net cash used in
financing activities - 4,514
--------- --------
Net increase in cash
and cash equivalents 172,005 581,293
Cash and cash equivalents at
beginning of period 4,591,103 5,307,824
--------- ---------
Cash and cash equivalents at
end of period $ 4,763,108 5,889,117
=========== =========
</TABLE>
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D. THE MARINA LIMITED PARTNERSHIP
Note to Interim Financial Statements
Three Months Ended March 31, 1997, and 1996
(Unaudited)
Note (1) Basis of Presentation
A summary of significant accounting policies used by
The Marina Limited Partnership is set forth in Note 1
of Notes to Financial Statements included in the
December 31, 1996 Annual Report Form 10-K.
The interim financial statements have been prepared in
accordance with instructions to Form 10-Q, and
therefore, do not include all information and footnotes
necessary for a fair presentation of financial
position, results of operations and cash flows in
conformity with generally accepted accounting
principles.
The interim financial statements at March 31, 1997, and
for the three months ended March 31, 1997 and 1996,
have not been audited by independent accountants, but
reflect, in the opinion of management, all adjustments
(which include only normal recurring adjustments)
necessary to present fairly the financial position,
results of operations and cash flows for such periods.
ITEM 2. THE MARINA LIMITED PARTNERSHIP
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS FOR THE THREE
MONTHS ENDED MARCH 31, 1997, AND 1996.
The Partnership's net earnings for the first
quarter of 1997 were $160,000, as compared to a net
loss of $22,000 for the first quarter of 1996.
Revenues for the first quarter of 1997 were $922,000,
compared to $533,000 for the first quarter of 1996.
The increase in net earnings and revenues for the first
quarter of 1997, when compared to the first quarter of
1996, was primarily due to an increase in homesite sale
revenue.
The Partnership sold six homesites during the
first quarter of 1997. Two waterfront homesites were
sold from Bridgewater and four homesites from
Cambridge. This compares with one waterfront homesite
sold by the Partnership in the first quarter of 1996.
Earnings from homesite sales were $397,000 in the first
quarter of 1997, compared with $87,000 in the first
quarter of 1996.
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The Partnership is the general partner of The
Marina I L.P., an Indiana limited partnership ("Marina
I"), which has developed homesites in the first four
sections of Cambridge. There were no homesites sold in
Marina I during the first quarter of 1997. This
compares with 10 homesites sold in Cambridge in the
first quarter of 1996. The Partnership recognized
$4,000 in equity earnings from Marina I in the first
quarter of 1997, compared to $160,000 recognized from
its homesites sales in the first quarter of 1996.
There were no distributions received from Marina I in
the first quarter of 1997.
The Partnership is a limited partner of Dockside
Cafe L.P., an Indiana limited partnership ("Dockside
Cafe"), which operates the Blue Heron restaurant at
Marina Village, and the Carrigan Crossing restaurant at
Morse Marina. The Partnership recognized an equity
loss from Dockside Cafe of $25,000 in the first quarter
of 1997, compared to an equity loss of $48,000 in the
first quarter of 1996.
As of March 31, 1997, the Partnership collected
$670,000 of advance dock rental toward the 1997 boating
season. This compared to $579,000 collected as of
March 31, 1996. The rental payments are deferred when
received and recognized as earned during the April to
September boating season.
On April 17, 1997, the Partnership made a cash
distribution to the partners of record on April 3,
1997, of $3.25 per unit of partnership interest, for a
total distribution of $2,194,000. This compares to a
partnership distribution of $3.25 per unit made on
April 18, 1996.
<PAGE>
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SIGNATURE
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.
THE MARINA LIMITED PARTNERSHIP
(Registrant)
By: /s/ Jane E. Nold Shriner
Jane E. Nold Shriner
Vice President and
Chief Financial Officer
The Marina II Corporation
General Partner of
The Marina Limited Partnership
DATE: May 12, 1997
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
FINANCIAL STATEMENTS CONTAINED IN THE FILER'S FORM 10-Q FOR THE QUARTER ENDED
MARCH 31, 1997, AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.
</LEGEND>
<CIK> 0000803605
<NAME> THE MARINA LIMITED PARTNERSHIP
<MULTIPLIER> 1
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> MAR-31-1997
<CASH> 4,763,108
<SECURITIES> 996,875
<RECEIVABLES> 2,300,080
<ALLOWANCES> 0
<INVENTORY> 2,056,139
<CURRENT-ASSETS> 0
<PP&E> 6,742,935
<DEPRECIATION> 0
<TOTAL-ASSETS> 19,059,127
<CURRENT-LIABILITIES> 0
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 17,789,712
<TOTAL-LIABILITY-AND-EQUITY> 19,059,127
<SALES> 809,853
<TOTAL-REVENUES> 921,885
<CGS> 524,336
<TOTAL-COSTS> 761,822
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 160,063
<EPS-PRIMARY> .24
<EPS-DILUTED> .24
</TABLE>
