COCA-COLA ENTERPRISES INC. Exhibit 99
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS Page 1 of 4
(Unaudited; In Millions Except Per Share Data)
First-Quarter
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2000 1999 Change
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Net Operating Revenues $ 3,293 $ 3,269 1 %
Cost of Sales 2,012 2,043 (2)%
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Gross Profit 1,281 1,226 4 %
Selling, Delivery, and Administrative
Expenses 1,137 1,131 1 %
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Operating Income 144 95 52 %
Interest Expense, Net 196 187 5 %
Other Nonoperating Income, Net (1) (1)
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Loss Before Income Taxes (51) (91)
Income Tax Benefit (17) (30)
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Net Loss (34) (61)
Preferred Stock Dividends 1 1
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Net Loss Applicable to
Common Shareowners $ (35) $ (62)
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Basic and Diluted Average Common
Shares Outstanding 421 423 0 %
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Basic and Diluted Net Loss Per Share
Applicable to Common Shareowners (a) $ (0.08) $ (0.15)
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Cash Operating Profit Data:
Operating Income $ 144 $ 95 52 %
Depreciation 204 211 (3)%
Amortization 114 111 3 %
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Cash Operating Profit $ 462 $ 417 11 %
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(a) Per share data calculated prior to rounding to millions.
COCA-COLA ENTERPRISES INC. Exhibit 99
PRELIMINARY CONDENSED CONSOLIDATED BALANCE SHEETS Page 2 of 4
(In Millions)
March 31, December 31,
2000 1999
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(Unaudited)
ASSETS
Current
Cash and cash investments $ 81 $ 141
Trade accounts receivable, net 1,290 1,347
Inventories 632 669
Prepaid expenses and other current assets 443 424
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Total Current Assets 2,446 2,581
Net Property, Plant, and Equipment 5,561 5,594
Franchises and Other Noncurrent Assets, Net 14,332 14,555
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$22,339 $22,730
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LIABILITIES AND SHAREOWNERS' EQUITY
Current
Accounts payable and accrued expenses $ 2,001 $ 2,389
Current portion of long-term debt 1,399 1,225
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Total Current Liabilities 3,400 3,614
Long-Term Debt, Less Current Maturities 10,169 10,153
Retirement and Insurance Programs and
Other Long-Term Obligations 1,104 1,088
Long-Term Deferred Income Tax Liabilities 4,874 4,951
Shareowners' Equity 2,792 2,924
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$22,339 $22,730
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COCA-COLA ENTERPRISES INC. Exhibit 99
Other Key Financial Information Page 3 of 4
(Unaudited)
Reported Comparable
First-Quarter 2000 Change Change(a)
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Cash Operating Profit - Consolidated 11 % NA
Physical Case Bottle and Can Volume
Consolidated (3)% (2)%
North America (4)% (3)%
Europe <1 % Flat
Fountain Gallon Volume 2 % 3 %
Net Revenues Per Case to Retailers -
Bottle and Can 4 % NA
Cost of Sales Per Case - Bottle and Can 1 % NA
(a) To determine the comparable results, 1999 results have been adjusted
to include the same number of fiscal days as 2000.
COCA-COLA ENTERPRISES INC. Exhibit 99
Other Key Financial Information Page 4 of 4
Operating results for the quarter were unfavorably impacted by: (i) the
shift of Easter selling activity from the first quarter in 1999 to the second
quarter of this year, (ii) one fewer selling day in the first quarter of 2000
than the first quarter of 1999, and (iii) unfavorable foreign currency
comparisons between the first quarters of 2000 and 1999. Also, we began our
pricing initiatives in the future consumption sector of our business in March
1999 and, therefore, the impact of these initiatives were not present for the
entire first quarter of 1999.
Effective January 1, 2000, the Company prospectively revised the estimated
useful lives and residual values of certain fixed assets based on the results
of a comprehensive analysis of the Company's historical fixed asset experience
completed in late 1999. The study confirmed that these programs have extended
the useful lives of certain fixed assets, principally vehicles and cold drink
equipment, and increased the value of certain assets upon disposition. These
changes in accounting estimates generally result in certain of the Company's
operating assets being depreciated over longer useful lives, although the
Company's asset life ranges generally did not change. The impact of the
changes in estimates was to decrease the Company's net loss during the three
month period ended March 31, 2000 by approximately $31 million or $0.05 per
share. Had the changes not been made, depreciation expense for full-year
2000 would have been higher by approximately $160 million.
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This Form 8-K contains forward-looking statements concerning management's
current outlook for future periods and should be read in conjuction with
cautionary statements found on page 48 of the Company's 1999 Annual Report.
