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FORM 10-Q--QUARTERLY REPORT UNDER SECTION 13 OR 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
UNITED STATES
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 period ended June 30, 1996
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: 33-18089-A
HICKORY HILLS, LTD.
(Exact name of Registrant as specified in its charter)
Tennessee 62-1336904
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification)
One Belle Meade Place, 4400 Harding Road, Suite 500,
Nashville, Tennessee 37205
(Address of principal executive office)
(Zip Code)
(615) 292-1040
(Registrant's telephone number, including area code)
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 at least
the past 90 days.
YES X NO ___
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PART I. FINANCIAL INFORMATION
Item 1. FINANCIAL STATEMENTS
HICKORY HILLS, LTD.
(A Tennessee Limited Partnership)
FINANCIAL STATEMENTS
For The Six Months Ended June 30, 1996
INDEX
Financial Statements:
Consolidated Balance Sheets 3
Consolidated Statements of Operations 4
Consolidated Statements of Cash Flows 5
Notes to Financial Statements 6
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<TABLE>
HICKORY HILLS, LTD.
(A Limited Partnership)
CONSOLIDATED BALANCE SHEETS
(Unaudited)
<CAPTION>
June 30, December 31,
1996 1995
------------- -------------
<S> <C> <C>
ASSETS
CASH $ 159,141 $ 259,074
ESCROW DEPOSITS
- Restricted 325,482 336,112
LAND & IMPROVEMENTS HELD
FOR INVESTMENT 2,802,269 2,740,975
OTHER ASSETS 280 21,293
Total Assets 3,287,172 $3,357,454
========= ==========
LIABILITIES AND PARTNERS' EQUITY
ACCRUED INTEREST PAYABLE 1,581,033 $ 1,526,399
ACCRUED PROPERTY TAXES - 9,855
NOTE PAYABLE
TO AFFILIATE 3,454,300 3,454,300
OTHER ACCRUED EXPENSES 45,750 47,100
PARTNERS' DEFICIT (1,793,911) (1,680,200)
Total Liabilities &
Partners' Deficit $ 3,287,172 $ 3,357,454
=========== ===========
<FN>
See notes to financial statements.
/TABLE
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<TABLE>
HICKORY HILLS, LTD.
(A Limited Partnership)
CONSOLIDATED STATEMENTS OF OPERATIONS
<Unaudited)
<CAPTION>
Quarter to Date Year to Date
Ending June 30,
-------------------------------------
1996 1995 1996 1995
<S> <C> <C> <C> <C>
REVENUE:
Land Sales
Sale Proceeds - $117,000 365,500 175,500
Cost of Land Sold - (86,087) (258,179) (133,729)
Closing Costs - (6,526) (23,893) (9,985)
Gain(Loss) on Sale of Land - 24,387 83,428 31,786
Interest Income 9,034 8,548 12,944 9,815
Total Revenue 9,034 32,935 96,372 41,601
EXPENSES:
Management Fees 750 750 1,500 1,500
Legal & Accounting Fees 3,606 1,193 12,982 11,393
General & Admin. Exp 3,680 3,294 5,180 5,040
Land Maint. Fees 7,590 3,084 15,787 13,498
Interest Expense 87,317 87,317 174,634 173,675
Total Expenses 102,943 95,638 210,083 205,106
NET INCOME (LOSS) (93,909) (62,703) (113,711) (163,505)
<FN>
See notes to financial statements
</TABLE>
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<TABLE>
HICKORY HILLS, LTD.
(A Limited Partnership)
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
<CAPTION>
Year-to-date
JUNE 30,
__________________________
1996 1995
____ ____
<S> <C> <C>
Cash Flows from
Operating Activities:
Net Loss $ (113,711) $(163,505)
Adjustments to reconcile
Net Income to Net Cash used
in Operating Activities:
Interest payments
made on Note Pay. (120,000) -
Increase in Accrued
Interest Payable 174,634 173,675
Change in Accrued
Property Taxes (9,855) (35,441)
(Gain)Loss on
Sale of Land (83,428) (31,786)
Change in Other Assets 21,013 (5,615)
Change in Accrued Exp. (1,350) 2,302
Change in Escrow Dep. 10,630 -
Total Adjustments (8,356) 103,135
Net Cash (used in)provided by
Operating Activities (122,067) (60,370)
Cash Flows from Investing Activities:
Proceeds from Land Sale 341,607 165,515
Cost of Land Improvements (319,473) (25,957)
Net Cash provided by
Investing Activities 22,134 139,558
Net Increase in Cash
and Cash Equivalents(99,933) 79,188
CASH AT JANUARY 1, 259,074 387,330
CASH AT JUNE 30, 159,141 $466,518
======== ========
<FN>
See notes to financial statements.
/TABLE
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HICKORY HILLS, LTD.
(A Limited Partnership)
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
For the Six Months Ended June 30, 1996
(Unaudited)
A.ACCOUNTING POLICIES
The unaudited financial statements presented herein have been
prepared in accordance with the instructions to Form 10-Q and
do not include all of the information and note disclosures
required by generally accepted accounting principles. These
statements should be read in conjunction with the financial
statements and notes thereto included in the Partnership's Form
10-K for the year ended December 31, 1995. In the opinion of
management, such financial statements include all adjustments,
consisting only of normal recurring adjustments, necessary to
summarize fairly the Partnership's financial position and
results of operations. The results of operations for the six
month period ended June 30, 1996 may not be indicative of the
results that may be expected for the year ending December 31,
1996.
B.RELATED PARTY TRANSACTIONS
The General Partner and its affiliates have been actively
involved in managing the Partnership's operations. Compensation
earned for these services in the first six months were as follows:
<TABLE>
<CAPTION>
1996 1995
---- ----
<S> <C> <C>
Management Fees 1,500 1,500
Real Estate Brokerage
Commission 10,965 5,265
Accounting Fees 1,300 1,200
</TABLE>
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Item 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
RESULTS OF OPERATIONS
There were no sales during the second quarter of 1996. During the
first quarter of 1996, the Registrant sold 17 lots at the
Hendersonville Property for $21,500 per lot. From these sales
proceeds, $120,000 in accrued interest was paid to the Lender. The
remaining proceeds were retained to cover operating expenses.
Overall operations of the Registrant are comparable to prior
quarters with the exception of sales. The fluctuation in sales is
due to the number of lots sold, 17 in 1996 and 9 in 1995 and the
increase in price from $19,500 in 1995 to $21,500 in 1996.
FINANCIAL CONDITION
DEVELOPMENT
Phase IV development of the Hendersonville Property began in 1995.
The development is expected to cost approximately $275,000 and will
open up an additional 31 lots. $266,000 has been spent to date.
Phase V of the Hendersonville Property development, the final
phase, began during this quarter. It is expected to have a total
cost of $300,000 and should open up 45 lots. $200,000 has been
spent to date. The development in both phase IV and V includes
road and utility work. With the completion of Phase V, all
development will be complete and roads will extend from Rockland
Road through the Property to Old Hickory Lake.
LIQUIDITY
As of July 31, 1996 the Registrant had approximately $320,708 in
cash reserves. These funds are expected to be sufficient through
1996.
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PART II. OTHER INFORMATION
Item 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits
Exhibit 27 - Financial Data Schedule
(b) No 8-K's have been filed during this quarter.
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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.
HICKORY HILLS, LTD.
By: 222 HICKORY, LTD.
General Partner
By:222 PARTNERS, INC.
General Partner
Date: August 14, 1996 By:/s/ Steven D. Ezell
President
Date: August 14, 1996 By:/s/ Michael A. Hartley
Secretary/Treasurer
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<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> JUN-30-1996
<CASH> 159,141
<SECURITIES> 325,482
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 2,802,269
<DEPRECIATION> 0
<TOTAL-ASSETS> 3,287,172
<CURRENT-LIABILITIES> 45,750
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> (1,793,911)
<TOTAL-LIABILITY-AND-EQUITY> 3,287,172
<SALES> 365,000
<TOTAL-REVENUES> 96,372
<CGS> 258,179
<TOTAL-COSTS> 282,072
<OTHER-EXPENSES> 210,083
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 174,634
<INCOME-PRETAX> (113,711)
<INCOME-TAX> 0
<INCOME-CONTINUING> (113,711)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (113,711)
<EPS-PRIMARY> (63.17)
<EPS-DILUTED> 0
</TABLE>
