FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
[X] Quarterly Report under Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the quarterly period ended March 31, 2000
[ ] 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: 0-16195
II-VI INCORPORATED
(Exact name of registrant as specified in its charter)
PENNSYLVANIA 25-1214948
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
375 Saxonburg Boulevard
Saxonburg, PA 16056
(Address of principal (Zip Code)
executive offices)
Registrant's telephone number, including area code: 724-352-4455
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
--- ---
Indicate the number of shares outstanding of each of the issuer's
classes of common stock as of the latest practicable date:
At May 5, 2000, 6,432,273 shares of Common Stock, no par value,
of the registrant were outstanding.
II-VI INCORPORATED AND SUBSIDIARIES
INDEX
Page No.
PART 1 - FINANCIAL INFORMATION
Item 1. Financial Statements:
Condensed Consolidated Balance Sheets -
March 31, 2000 and June 30, 1999. . . . . . . . . . 3
Condensed Consolidated Statements of Earnings -
Three and nine months ended
March 31, 2000 and 1999 . . . . . . . . . . . . . . 4
Condensed Consolidated Statements of Cash Flows -
Nine months ended March 31, 2000 and 1999 . . . . . 6
Notes to Condensed Consolidated
Financial Statements. . . . . . . . . . . . . . . . 7
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations . . . 11
Item 3. Quantitative and Qualitative Disclosures
about Market Risk no significant changes
since June 30, 1999)
PART II - OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K. . . . . . . . . . 13
2
PART 1 - FINANCIAL INFORMATION
Item 1. FINANCIAL STATEMENTS:
--------------------
II-VI Incorporated and Subsidiaries
Condensed Consolidated Balance Sheets (Unaudited)
($000)
March 31, June 30,
Assets 2000 1999
------------ --------
Current Assets
Cash and cash equivalents $ 5,221 $ 5,558
Accounts receivable - net 14,461 13,070
Inventories 11,881 9,096
Other current assets 1,911 1,289
------------ --------
Total Current Assets 33,474 29,013
Property, Plant and Equipment, net 38,744 36,955
Other Assets 11,424 4,875
------------ --------
$ 83,642 $ 70,843
============ ========
Liabilities and Shareholders' Equity
Current Liabilities
Notes payable $ 4,000 $ 4,082
Accounts payable 2,413 1,934
Accrued salaries, wages and bonuses 3,764 2,836
Income taxes payable 589 367
Accrued profit sharing contribution 589 580
Other current liabilities 1,773 1,581
Current portion of long-term debt 44 43
------------ --------
Total Current Liabilities 13,172 11,423
Long-Term Debt--less current portion 2,788 2,549
Other Liabilities,
primarily deferred income taxes 3,951 2,378
Commitments & Contingencies - -
Shareholders' Equity
Preferred stock, no par value;
authorized - 5,000,000 shares;
unissued - -
Common stock, no par value;
authorized - 30,000,000 shares;
issued - 6,946,913 shares
at March 31, 2000; 6,875,766
shares at June 30, 1999 19,723 18,746
Accumulated other
comprehensive income 3,073 272
Retained earnings 42,845 37,385
------------ --------
65,641 56,403
Less treasury stock, at cost -
534,440 shares at
March 31, 2000 and June 30, 1999 1,910 1,910
------------ --------
63,731 54,493
------------ --------
$ 83,642 $ 70,843
============ ========
- -See notes to condensed consolidated financial statements.
3
II-VI Incorporated and Subsidiaries
Condensed Consolidated Statements of Earnings (Unaudited)
($000 except per share data)
Three Months Ended
March 31,
2000 1999
Revenues -------- --------
Net sales:
Domestic $ 9,212 $ 8,109
International 10,026 7,151
-------- --------
19,238 15,260
Contract research and development 543 278
-------- --------
19,781 15,538
-------- --------
Costs, Expenses & Other Income
Cost of goods sold 10,905 8,792
Contract research and development 410 146
Internal research and development 744 617
Selling, general and administrative 4,933 3,592
Interest expense 79 61
Other income - net 85 107
-------- --------
17,156 13,315
-------- --------
Earnings Before Income Taxes 2,625 2,223
Income Taxes 574 725
-------- --------
Net Earnings $ 2,051 $ 1,498
======== ========
Basic Earnings Per Share $ 0.32 $ 0.24
======== ========
Diluted Earnings Per Share $ 0.31 $ 0.23
======== ========
- -See notes to condensed consolidated financial statements.
4
II-VI Incorporated and Subsidiaries
Condensed Consolidated Statements of Earnings (Unaudited)
($000 except per share data)
Nine Months Ended
March 31,
2000 1999
Revenues -------- --------
Net sales:
Domestic $ 26,004 $ 23,833
International 26,009 19,732
-------- --------
52,013 43,565
Contract research and development 840 976
-------- --------
52,853 44,541
-------- --------
Costs, Expenses & Other Income
Cost of goods sold 29,609 26,838
Contract research and development 636 686
Internal research and development 1,969 1,769
Selling, general and administrative 12,947 10,035
Interest expense 258 341
Other income - net (46) (173)
-------- --------
45,373 39,496
-------- --------
Earnings Before Income Taxes 7,480 5,045
Income Taxes 2,020 1,616
-------- --------
Net Earnings $ 5,460 $ 3,429
======== ========
Basic Earnings Per Share $ 0.86 $ 0.54
======== ========
Diluted Earnings Per Share $ 0.83 $ 0.53
======== ========
- -See notes to condensed consolidated financial statements.
5
II-VI Incorporated and Subsidiaries
Condensed Consolidated Statements of Cash Flows (Unaudited)
($000)
Nine Months Ended
March 31,
2000 1999
-------- --------
Cash Flows from Operating Activities
Net earnings $ 5,460 $ 3,429
Adjustments to reconcile
net earnings to net cash
provided by operating activities:
Depreciation and amortization 3,934 3,645
Gain (loss) on foreign
currency transactions 47 (877)
Net loss on disposal or writedown
of property, plant and equipment - 200
Deferred income taxes 80 240
Increase (decrease) in cash
from changes in:
Accounts receivable (1,997) 692
Inventories (2,634) 810
Accounts payable 353 (1,930)
Other operating net assets 1,786 155
-------- --------
Net cash provided by
operating activities 7,029 6,364
-------- --------
Cash Flows from Investing Activities
Additions to property,
plant and equipment (5,674) (4,051)
Investments in unconsolidated businesses (2,894) -
Disposals (additions) of other assets 619 (600)
-------- --------
Net cash used in investing activities (7,949) (4,651)
-------- --------
Cash Flows from Financing Activities
Proceeds on short-term borrowings, net (91) (729)
Payments on long-term borrowings (35) (22)
Proceeds from sale of common stock 408 151
Purchases of treasury stock - (1,148)
-------- --------
Net cash provided by financing activities 282 (1,748)
Effect of exchange rate changes
on cash and cash equivalents 301 358
-------- --------
Net (decrease) increase in cash
and cash equivalents (337) 323
Cash and Cash Equivalents
at Beginning of Period 5,558 4,160
-------- --------
Cash and Cash Equivalents
at End of Period $ 5,221 $ 4,483
======== ========
- -See notes to condensed consolidated financial statements.
6
II-VI Incorporated and Subsidiaries
Notes to Condensed Consolidated Financial Statements (Unaudited)
Note A - Basis of Presentation
---------------------
The consolidated financial statements for the three and nine month
periods ended March 31, 2000 and 1999 are unaudited. In the opinion
of management, all adjustments (consisting of normal recurring
accruals) considered necessary for a fair presentation for the
periods presented have been included. These interim statements should
be read in conjunction with the audited consolidated financial
statements and footnotes thereto contained in the Company's 1999 Annual
Report to shareholders. The consolidated results of operations for
the three and nine month periods ended March 31, 2000 and 1999 are not
necessarily indicative of the results to be expected for the full year.
Certain reclassifications were made to the prior period financial
statements in order for them to be in conformity with current period
presentation.
Note B - Inventories ($000)
-------------------
The components of inventories are as follows:
March 31, June 30,
2000 1999
--------- --------
Raw materials $ 3,095 $ 3,014
Work in progress 5,624 3,731
Finished goods 3,162 2,351
--------- --------
$11,881 $ 9,096
========= ========
Note C - Property, Plant and Equipment ($000)
------------------------------------
Property, plant and equipment (at cost) consist of the following:
March 31, June 30,
2000 1999
--------- --------
Land and land improvements $ 1,525 $ 1,501
Buildings and improvements 20,403 19,559
Machinery and equipment 45,564 40,758
--------- --------
67,492 61,818
Less accumulated depreciation 28,748 24,863
--------- --------
$38,744 $36,955
========= ========
7
II-VI Incorporated and Subsidiaries
Notes to Consolidated Financial Statements (Unaudited), Continued
Note D - Debt
----
On March 25, 2000, the Company renewed its $15.0 million unsecured line
of credit agreement with PNC Bank through March 24, 2001. This line
of credit may be extended upon the mutual agreement of the Company and
PNC Bank for an additional year. The average interest rate in effect
as of March 31, 2000 was 6.76%. As of March 31, 2000, the total
borrowings under this line of credit were $4.0 million. The Company
is subject to certain restrictive covenants under this agreement.
Note E - Earnings Per Share
------------------
The following table sets forth the computation of earnings per share
for the periods indicated:
Three Months Ended Nine Months Ended
March 31, March 31,
(000 except per share data) 2000 1999 2000 1999
- ---------------------------------------------------------------------
Net earnings $2,051 $1,498 $5,460 $3,429
Divided by:
Weighted average shares 6,382 6,323 6,361 6,368
- ---------------------------------------------------------------------
Basic earnings per share $0.32 $0.24 $0.86 $0.54
- ---------------------------------------------------------------------
Net earnings $2,051 $1,498 $5,460 $3,429
Divided by:
Weighted average shares 6,382 6,323 6,361 6,368
Dilutive effect of
common stock equivalents 266 137 199 138
- ---------------------------------------------------------------------
Diluted weighted average
common shares 6,648 6,460 6,560 6,506
- ---------------------------------------------------------------------
Diluted earnings per share $0.31 $0.23 $0.83 $0.53
Note F - Other Comprehensive Income
--------------------------
The Company adopted Statement of Financial Accounting Standards (SFAS)
No. 130, "Reporting Comprehensive Income" which requires the Company to
report and disclose a measure ("comprehensive income") of all changes
in shareholders' equity that result from transactions and other economic
events of the period other than transactions with owners.
Accumulated other comprehensive income on the condensed consolidated
balance sheets consists of unrealized gains on investments and foreign
currency translation adjustments.
The components of comprehensive income were as follows for the periods
indicated ($000):
8
II-VI Incorporated and Subsidiaries
Notes to Consolidated Financial Statements (Unaudited), Continued
Three Months Ended Nine Months Ended
March 31, March 31,
2000 1999 2000 1999
- ---------------------------------------------------------------------
Net earnings $2,051 $1,498 $5,460 $3,429
Change in unrealized
gain on investment 2,376 - 2,933 -
Foreign currency
translation adjustments (1) (133) (132) (632)
- ---------------------------------------------------------------------
Comprehensive income $4,426 $1,365 $8,261 $2,797
- ---------------------------------------------------------------------
Note G - Segment Reporting
-----------------
The Company adopted SFAS No. 131, "Disclosures About Segments of an
Enterprise and Related Information" (SFAS No. 131), which requires
the use of the 'management approach' model for segment reporting.
The Company has two reportable segments: Optical Components, which
is an aggregation of the Company's infrared optics and material
products business and the Company's VLOC subsidiary under the
guidelines of SFAS No. 131, and Radiation Detectors.
The accounting policies of the segments are the same as those of
the Company. Substantially all of the Company's corporate expenses
are allocated to the segments. The Company evaluates segment
performance based upon reported segment profit or loss from
operations. Inter-segment sales and transfers are insignificant.
The following table summarizes selected financial information of
the Company's operations by segment ($000's):
Three Months Ended March 31, 2000
-----------------------------------
Optical Radiation
Components Detectors Totals
- ---------------------------------------------------------------
Net revenues $18,052 $1,729 $19,781
Income (loss) from operations 3,305 (516) 2,789
Interest expense - - 79
Other expense (income), net - - 85
Earnings before income taxes - - 2,625
Segment assets 75,129 8,513 83,642
Three Months Ended March 31, 1999
-----------------------------------
Optical Radiation
Components Detectors Totals
- ---------------------------------------------------------------
Net revenues $14,126 $1,412 $15,538
Income (loss) from operations 2,621 (230) 2,391
Interest expense - - 61
Other expense (income), net - - 107
Earnings before income taxes - - 2,223
Segment assets 59,261 8,383 67,644
9
II-VI Incorporated and Subsidiaries
Notes to Consolidated Financial Statements (Unaudited), Continued
Nine Months Ended March 31, 2000
-----------------------------------
Optical Radiation
Components Detectors Totals
- ---------------------------------------------------------------
Net revenues $48,561 $4,292 $52,853
Income (loss) from operations 9,113 (1,421) 7,692
Interest expense - - 258
Other expense (income), net - - (46)
Earnings before income taxes - - 7,480
Segment assets 75,129 8,513 83,642
Nine Months Ended March 31, 1999
-----------------------------------
Optical Radiation
Components Detectors Totals
- ---------------------------------------------------------------
Net revenues $40,508 $4,033 $44,541
Income (loss) from operations 6,091 (878) 5,213
Interest expense - - 341
Other expense (income), net - - (173)
Earnings before income taxes - - 5,045
Segment assets 59,261 8,383 67,644
Note H - Investment in Laser Power Corporation
-------------------------------------
On September 21, 1999, the Company purchased 1,250,000 shares of
Laser Power Corporation common stock for a total purchase price of
approximately $2.8 million. As of March 31, 2000, the Company owned
a total of 1,252,100 shares of Laser Power Corporation common stock.
Based on information available to the Company, as of March 31, 2000,
the Company owned approximately 12.8% of the outstanding common stock
of Laser Power Corporation. Laser Power Corporation is a competitor
of the Company which produces infrared and CO2 laser optics.
This investment is being accounted for under the cost method of
accounting. This investment is included in "Other Assets" in the
accompanying condensed consolidated balance sheet as of March 31, 2000.
10
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
---------------------------------------------------------------
RESULTS OF OPERATIONS
---------------------
Results of Operations
- ---------------------
Net earnings for the third quarter of fiscal 2000 were $2,051,000
($0.31 per share-diluted) on revenues of $19,781,000. This compares
to net earnings of $1,498,000 ($0.23 per share-diluted) on revenues
of $15,538,000 in the third quarter of fiscal 1999. For the nine
months ended March 31, 2000, net earnings were $5,460,000 ($0.83
per share-diluted) on revenues of $52,853,000. This compares with
net earnings of $3,429,000 ($0.53 per share-diluted) on revenues
of $44,541,000 for the same period last fiscal year.
Order bookings for the third quarter of fiscal 2000 were $23,473,000
compared to $14,655,000 for the same period last fiscal year, an
increase of 60%. Bookings for contract research and development
for the third quarter of fiscal year 2000 were $1,902,000, including
a booking for approximately $450,000 for silicon carbide research and
development. There were no contract research and development
bookings during the same period last fiscal year. Excluding these
long-term research and development contract bookings, manufacturing
bookings increased 47%. For the quarter, bookings for laser optics
and component products increased approximately 50% and included
bookings of approximately $700,000 for telecommunication products
while bookings for the eV PRODUCTS division increased approximately
300%.
Order bookings for the nine months ended March 31, 2000 were
$60,329,000 compared to $43,959,000 for the same period last
fiscal year, an increase of 37%. Bookings for contract research
and development for the nine months ended March 31, 2000 were
$2,350,000 compared to $241,000 for the same period last fiscal
year. Excluding these long-term research and development contract
bookings, manufacturing bookings increased 33%. For the year-to-date,
bookings for laser optics and component products increased approximately
35% and included bookings of approximately $700,000 for
telecommunication products while bookings for the eV PRODUCTS division
increased approximately 70%.
Revenues for the third quarter of fiscal 2000 increased 27% to
$19,781,000 compared to $15,538,000 for the same period last fiscal year.
For the nine months ended March 31, 2000, revenues increased 19% to
$52,853,000 from $44,541,000 for the same period last fiscal year.
For the quarter, revenues from laser optics and products increased by
approximately 30% while revenues from the eV PRODUCTS division
increased by approximately 20%. For the year-to-date, revenues from
laser optics and products increased by approximately 20% while revenues
from the eV PRODUCTS division increased by approximately 5%.
Manufacturing gross margin for the third quarter of fiscal 2000 was
$8,333,000 or 43% of revenues compared to $6,468,000 or 42% of
revenues for the same period last fiscal year. For the nine months
ended March 31, 2000, manufacturing gross margin was $22,404,000 or
43% of revenues compared to $16,727,000 or 38% of revenues for the
same period last fiscal year. The higher gross margin percentage for
the quarter and year-to-date reflects productivity gains and cost
control programs, lower per unit cost associated with higher production
volume for laser optics and component products and a strengthened
Japanese Yen.
Company-funded internal research and development expenses for the
third quarter of fiscal 2000 were $744,000 or 4% of revenues compared
to $617,000 or 4% of revenues for the same period last fiscal year.
For the nine months ended March 31, 2000, internal research and
development expenses were $1,969,000 or 4% of revenues compared to
$1,769,000 or 4% of revenues for the same period last fiscal year.
The increased expenses for the quarter and year-to-date reflect
projects associated with developing nuclear radiation detectors,
infrared optics and materials and silicon carbide.
Selling, general and administrative expenses for the third quarter
of fiscal 2000 were $4,933,000 or 25% of revenues compared to
$3,592,000 or 23% of revenues for the same period last fiscal year.
For the nine months ended March 31, 2000, selling, general and
administrative expenses were $12,947,000 or 24% of revenues compared
to $10,035,000 or 23% of revenues for the same period last fiscal
year. The quarter and year-to-date dollar and percentage increases
are attributable to increased compensation expense associated with
the Company's worldwide profit-driven bonus programs and increased
professional service expenses.
11
Interest expense for the third quarter of fiscal 2000 was $79,000
compared to $61,000 for the same period last fiscal year. For the
nine months ended March 31, 2000, interest expense was $258,000
compared to $341,000 for the same period last fiscal year. The
quarter and year-to-date fluctuations in interest expense are the
direct result of changes in average borrowings over the corresponding
periods.
For fiscal 2000, the Company's year-to-date effective income tax rate
is 27% compared to an effective income tax rate of 32% for the same
period last fiscal year. The decrease in the effective income tax
rate is primarily attributable to an increase in the utilization of
the tax savings available to the Company from its foreign sales
corporation. The Company currently expects the effective income
tax rate for fiscal 2001 to be approximately 30%.
Liquidity and Capital Resources
- -------------------------------
Cash decreased during the first nine months of fiscal 2000 by
$337,000 primarily due to capital expenditures, the purchase of
1,252,000 shares of Laser Power Corporation common stock and
increases in inventory and accounts receivable. These items were
offset by net earnings before depreciation and amortization of
$9,394,000 and decreases in other assets. The Company generated
$7,029,000 in cash from operations during the first nine months of
fiscal 2000.
The Company believes internally generated funds, existing cash
reserves and available borrowing capacity will be sufficient to
fund its working capital needs, capital expenditures and scheduled
debt payments for fiscal 2000.
This Management's Discussion and Analysis contains forward looking
statements as defined by Section 21E of the Securities Exchange Act
of 1934, as amended, including the statements regarding the Company's
ability to fund future working capital needs, capital expenditures
and scheduled debt payments. Forward-looking statements are also
identified by words such as "expects," "anticipates," "intends,"
"plans," "projects" or similar expressions.
Actual results could materially differ from such statements if
worldwide economic conditions change, competitive conditions
intensify, and/or technology problems emerge. There are additional
risk factors that could affect the Company's business, results of
operations or financial condition. Investors are encouraged to
review the risk factors set forth in the Company's 1999 Form 10-K
as filed with the Securities and Exchange Commission on
September 28, 1999.
Other Matters
- -------------
The Company experienced no material problems with its information
and non-information systems, or those of its vendors, customers or
financial institutions, as a result of the date change to the
Year 2000.
12
PART II - OTHER INFORMATION
Item 6. EXHIBITS AND REPORTS ON FORM 8-K.
- ------ ---------------------------------
(a) Exhibits.
10.01 Extension Letter Agreement Filed herewith.
by and between
PNC Bank, National
Association and II-VI
Incorporated for Amended
and Restated Letter
Agreement for Committed
Line of Credit
27.01 Financial Data Schedule Filed herewith.
(b) Reports on Form 8-K.
None.
13
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.
II-VI INCORPORATED
(Registrant)
Date: May 11, 2000 By: /s/ Carl J. Johnson
------------------------------------
Carl J. Johnson
Chairman and Chief Executive Officer
Date: May 11, 2000 By: /s/ James Martinelli
------------------------------------
James Martinelli
Treasurer & Chief Financial Officer
14
EXHIBIT INDEX
Exhibit No.
10.01 Extension Letter Agreement. . . . . Filed herewith.
by and between PNC Bank,
National Association and II-VI
Incorporated for Amended and
Restated Letter Agreement for
Committed Line of Credit
27.01 Financial Data Schedule. . . . . . .Filed herewith.
15
PNC Bank, N.A.
Pittsburgh, PA 15265
EXTENSION LETTER PNC BANK
March 23, 2000
II-VI Incorporated
375 Saxonburg Boulevard
Saxonburg, Pennsylvania 16056
Attention: James Martinelli
Treasurer and Chief Financial Officer
Re: Extension of Expiration Date for $15,000,000 Committed
Line of Credit
Ladies and Gentleman:
Pursuant to your request, we hereby agree to extend the Expiration
Date (as such term is defined in that certain Amended and Restated
Letter Agreement between us, dated March 26, 1999 (the "Credit
Agreement")) from its current date of March 25, 2000 to March 24, 2001,
effective on March 26, 2000. All other terms and conditions of the
Credit Agreement and the other Loan Documents (as defined in the
Credit Agreement) shall remain in full force and effect and are hereby
ratified and reaffirmed.
Very truly yours,
PNC BANK, NATIONAL ASSOCIATION
By: /s/ Enrico Della Corna
----------------------------------
Enrico Della Corna, Vice President
The foregoing terms are hereby agreed to and accepted as of the date
of this letter.
II-VI INCORPORATED
By: /s/ Francis J. Kramer
-------------------------------------
Francis J. Kramer,
President and Chief Operating Officer
Cc: II-VI Delaware, Incorporated, Guarantor
VLOC Incorporated, Guarantor
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C> <C>
<PERIOD-TYPE> 3-MOS 9-MOS
<FISCAL-YEAR-END> JUN-30-2000 JUN-30-2000
<PERIOD-START> JAN-01-2000 JUL-01-1999
<PERIOD-END> MAR-31-2000 MAR-31-2000
<CASH> 5,221 5,221
<SECURITIES> 0 0
<RECEIVABLES> 15,032 15,032
<ALLOWANCES> 571 571
<INVENTORY> 11,881 11,881
<CURRENT-ASSETS> 33,474 33,474
<PP&E> 67,492 67,492
<DEPRECIATION> 28,748 28,748
<TOTAL-ASSETS> 83,642 83,642
<CURRENT-LIABILITIES> 13,172 13,172
<BONDS> 2,788 2,788
0 0
0 0
<COMMON> 19,723 19,723
<OTHER-SE> 44,008 44,008
<TOTAL-LIABILITY-AND-EQUITY> 83,642 83,642
<SALES> 19,781 52,853
<TOTAL-REVENUES> 19,781 52,853
<CGS> 11,315 30,245
<TOTAL-COSTS> 11,315 30,245
<OTHER-EXPENSES> 5,762 14,870
<LOSS-PROVISION> 0 0
<INTEREST-EXPENSE> 79 258
<INCOME-PRETAX> 2,625 7,480
<INCOME-TAX> 574 2,020
<INCOME-CONTINUING> 2,051 5,460
<DISCONTINUED> 0 0
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> 2,051 5,460
<EPS-BASIC> 0.32 0.86
<EPS-DILUTED> 0.31 0.83
</TABLE>
