FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
(Mark One)
(X) Quarterly Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
For the quarterly period ended March 31, 1995
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 001-10109
BECKMAN INSTRUMENTS, INC.
(Exact name of registrant as specified in its charter)
Delaware 95-104-0600
(State of Incorporation) (I.R.S. Employer Identification No.)
2500 Harbor Boulevard, Fullerton, California 92634
(Address of principal executive offices) (Zip Code)
(714) 871-4848
(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 the past 90
days.
Yes (X) No ( ).
APPLICABLE ONLY TO CORPORATE ISSUERS:
Outstanding shares of common stock, $0.10 par value, as of April 20,
1995: 28,950,176 shares.
<PAGE>
PART I
FINANCIAL INFORMATION
Item 1. Financial Statements Page
Condensed Consolidated Statements of Earnings
for the three month periods ended March 31,
1995 and 1994 3
Condensed Consolidated Balance Sheets
as of March 31, 1995 and December 31, 1994 4
Condensed Consolidated Statements of Cash Flows
for the three month periods ended March 31, 1995
and 1994 5
Notes to Condensed Consolidated Financial
Statements 6
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 9
PART II
OTHER INFORMATION
Item 1. Legal Proceedings 12
Item 2. Changes In Securities 12
Item 3. Defaults Upon Senior Securities 12
Item 4. Submission of Matters to a Vote of
Security-Holders 13
Item 5. Other Information 13
Item 6. Exhibits and Reports on Form 8-K 13
<PAGE>
PART I
BECKMAN INSTRUMENTS, INC.
FIRST QUARTER REPORT
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(Dollars in Millions, Except Amounts Per Share)
Unaudited
<TABLE>
<CAPTION>
Three Months Ended
March 31,
1995 1994
------ ------
<S> <C> <C>
Sales $205.0 $198.6
Operating costs and expenses:
Cost of sales 97.2 95.1
Marketing, administrative and general 65.2 63.4
Research, development and engineering 22.1 21.6
Restructuring charge 3.1 1.2
----- -----
187.6 181.3
----- -----
Operating income 17.4 17.3
Nonoperating income (expense):
Interest income 1.3 1.1
Interest expense (2.8) (2.7)
Other, net (0.3) (0.7)
------ ------
(1.8) (2.3)
------ ------
Earnings before income taxes 15.6 15.0
Income tax provision 5.3 5.2
------ ------
Net earnings before cumulative effect of
change in accounting principles 10.3 9.8
------ ------
Cumulative effect of change in accounting principles:
Accounting for postemployment benefits
(net of tax benefit of $3.0) - (5.1)
------ ------
Net earnings $ 10.3 $ 4.7
======= ======
Weighted average common shares and common
share equivalents-(thousands) 28,825 27,917
Net earnings per share before cumulative effect
of change in accounting principles $0.36 $0.35
Cumulative effect of change in accounting principles:
Accounting for postemployment benefits
(net of tax benefit of $3.0) - (0.18)
------ ------
Net earnings per share $ 0.36 $ 0.17
======= ======
</TABLE>
See accompanying notes to condensed consolidated financial statements.
<PAGE>
BECKMAN INSTRUMENTS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in Millions)
Unaudited
<TABLE>
<CAPTION>
March 31, December 31,
1995 1994
<S> <C> <C>
Assets
Current assets:
Cash and equivalents $ 23.7 $ 44.2
Short-term investments 4.1 0.7
Trade receivables 257.0 265.9
Inventories 162.3 150.7
Deferred income taxes 38.4 37.8
Other current assets 13.2 12.7
------ ------
Total current assets 498.7 512.0
Property, plant and equipment, net 235.7 232.6
Deferred income taxes 56.8 56.6
Other assets 35.1 27.9
------ ------
Total assets $826.3 $829.1
====== ======
Liabilities and Stockholders' Equity
Current liabilities:
Notes payable $ 20.4 $ 12.2
Accounts payable and accrued expenses 189.7 202.9
Income taxes 56.3 53.7
------ ------
Total current liabilities 266.4 268.8
Long-term debt, less current maturities 117.3 117.3
Other liabilities 114.8 126.0
------ ------
Total liabilities 498.5 512.1
------ ------
Stockholders' equity 327.8 317.0
------ ------
Total liabilities and stockholders' equity $826.3 $829.1
====== ======
</TABLE>
See accompanying notes to condensed consolidated financial statements.
<PAGE>
BECKMAN INSTRUMENTS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in Millions)
Unaudited
<TABLE>
<CAPTION>
Three Months Ended
March 31,
1995 1994
------- -------
<S> <C> <C>
Cash Flows From Operating Activities
Net earnings $ 10.3 $ 4.7
Adjustments to reconcile net earnings to net
cash provided (used) by operating activities:
Depreciation and amortization 18.6 16.5
Deferred income taxes (0.6) (1.8)
Changes in assets and liabilities:
Trade receivables 11.3 (1.4)
Inventories (10.6) -
Accounts payable and accrued expenses (9.5) (6.7)
Restructuring reserve (4.5) (9.5)
Accrued income taxes 2.6 2.6
Other (19.3) 17.7
------- -------
Net cash provided (used)
by operating activities (1.7) 22.1
------- -------
Cash Flows from Investing Activities
Additions to property, plant and equipment (24.2) (19.5)
Net disposals of property, plant and equipment 3.3 3.4
Sale (Purchase) of short-term investments (3.4) (3.3)
------- -------
Net cash used by investing activities (24.3) (19.4)
------- -------
Cash Flows from Financing Activities
Dividends to stockholders (3.1) (2.8)
Proceeds from issuance of stock 4.4 2.4
Purchase of treasury stock (2.1) -
Notes payable borrowings 10.4 6.7
Notes payable reductions (3.0) (11.7)
Long-term debt borrowings - 4.7
Long-term debt reductions (0.5) (11.7)
Other (0.5) (0.3)
------- -------
Net cash provided (used)
by financing activities 5.6 (12.7)
------- -------
Effect of exchange rates on cash and
equivalents (0.1) 0.1
------- -------
Decrease in cash and equivalents (20.5) (9.9)
Cash and equivalents -- beginning of period 44.2 24.2
------- -------
Cash and equivalents -- end of period $ 23.7 $ 14.3
======= =======
Supplemental Disclosures of Cash Flow Information
Cash paid during the period for:
Interest $1.8 $1.4
Income taxes $3.4 $1.1
</TABLE>
See accompanying notes to condensed consolidated financial statements.
<PAGE>
BECKMAN INSTRUMENTS, INC.
Notes To
Condensed Consolidated Financial Statements
1 Report by Management
In the opinion of the Company, the accompanying unaudited condensed
consolidated financial statements reflect all adjustments, consisting
only of normal recurring accruals, necessary for a fair presentation
of the results for the periods. The statements are prepared in
accordance with the requirements of Form 10-Q and do not include all
disclosures required by generally accepted accounting principles or
those made in the annual Form 10-K for 1994 which is on file with the
Securities and Exchange Commission.
The results of operations for the three months ended March 31, 1995
are not necessarily indicative of the results to be expected for the
year ending December 31, 1995.
2 Earnings per share
In 1995, earnings per share is computed including common share
equivalents. Common share equivalents represent the dilutive effect
of outstanding stock options. Common share equivalents were excluded
in previous periods as they were less than three percent dilutive.
Primary earnings per share approximates fully diluted earnings per
share. Earnings per share are calculated as follows:
<TABLE>
<CAPTION>
Quarter ended Quarter ended
March 31, 1995 March 31, 1994
Earnings Earnings
(In thousands, except amounts per share) Shares Per Share Shares Per Share
------ ------- ------ ------
<S> <C> <C> <C> <C>
Weighted average shares of
common stock outstanding 28,083 $ 0.37 27,917 $0.17
Common share equivalents 742 (0.01) * *
Weighted average common and
common share equivalents 28,825 $ 0.36 27,917 $0.17
====== ======= ====== =====
* Less than 3% dilutive
</TABLE>
3 Inventories
Inventories are comprised of the following:
<TABLE>
<CAPTION>
March 31, December 31,
1995 1994
------ ------
<S> <C> <C>
Finished products $110.0 $104.1
Raw materials, parts
and assemblies 44.2 41.3
Work in-process 8.1 5.3
$162.3 $150.7
====== ======
</TABLE>
4 Investments
In March 1995, the Company formed a marketing and service alliance
with BioSepra Inc. ("BioSepra"), a biochromatography systems
manufacturer, to offer systems for high speed, high resolution
separation of biomolecules. The Company paid $3.0 million for the
exclusive rights to market and sell certain of BioSepra's products.
Also in March 1995, the Company made a $5.0 million investment in
Sepracor Inc. ("Sepracor"), receiving exchangeable preferred stock and
certain rights in regard to the disposition of Sepracor's shares of
its subsidiary, BioSepra.
5 Change in Accounting Principles
Postemployment benefits
Effective January 1, 1994 the Company adopted Statement of Financial
Accounting Standards No. 112 ("SFAS 112") "Employers' Accounting for
Postemployment Benefits". This statement requires the Company to
recognize an obligation for postemployment benefits provided to former
or inactive employees, their beneficiaries and covered dependents
after employment but before retirement. Accordingly, the Company
recognized a transition obligation of $8.1 million and a net expense
of $5.1 million (net of tax benefit of $3.0) as the cumulative effect
of the accounting change.
6 Contingencies
Environmental
The Company is involved in the investigation and remediation of soil
and groundwater contamination for property it sold in 1984. In 1990
the Company entered into an agreement with the purchaser for
settlement of a 1988 lawsuit and for sharing current and future costs
of investigation, remediation and other claims. In 1991 a lawsuit was
filed against the 1984 purchaser by a third party that had
subsequently purchased a portion of the above property, alleging
damages caused by the pollution of the property. Although the Company
is not a named defendant in the action, the Company is obligated to
contribute to any resolution of that action pursuant to its 1990
settlement agreement with the original purchaser.
During 1994 the County formally acknowledged completion of remediation
of a major portion of the soil, although there remain some areas of
soil contamination that may require further remediation. The Company
continues to operate a groundwater treatment system at the property
and expects to do so for the foreseeable future. The Company believes
it has established adequate reserves to complete the remediation of
any remaining soil contamination, operation and maintenance of the
groundwater treatment system and any necessary additional groundwater
investigations.
In September 1994, one of the tenants of the apartment houses built on
the above-mentioned property filed a lawsuit against the original
purchaser and a number of other defendants, not including the Company.
The lawsuit alleges damages caused by the pollution of the property.
Although the Company is not a named defendant at this time, the
Company is obligated to contribute to any resolution of this lawsuit.
Investigations on the property are continuing and there can be no
assurance that further investigation will not reveal additional
contamination or result in additional costs. The Company believes
additional remediation costs for the contamination discovered by the
current investigations and liability for the resolution of the 1991
and 1994 lawsuits, if any, beyond those already provided will not have
a material adverse effect on the Company's operations or financial
position.
Litigation
Local authorities in Palermo (Sicily), Italy are investigating the
activities of officials at a local government hospital and laboratory.
In addition to staff members in charge of the laboratory for the
Palermo hospital, a number of representatives of the principal
worldwide companies marketing diagnostic equipment in Italy were taken
into temporary custody as part of the investigation. Included were
three employees of the Company's Italian subsidiary (the
"Subsidiary"). The investigation, which is still underway, also
obtained documents from the Subsidiary and from other major diagnostic
companies. The inquiry of the Subsidiary focuses on past leasing
practices for placement of diagnostic equipment which were common
industrywide practices throughout Italy, but now are alleged to be
improper. Recently, new inquiries to the Subsidiary have been
initiated by prosecutors from some other regions of Italy. At the
present time the Company does not expect this matter to have a
material adverse effect on its operations or financial position.
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations
Operations
Sales for the three month period ended March 1995 were $205.0 million,
an increase of $6.4 million from the prior year. The impact of
changes in foreign currency exchange rates increased reported sales by
$4.9 million compared to last year. Sales, excluding the effect of
foreign currency fluctuations, increased approximately 1.0% versus the
prior year. Sales for the North American diagnostic and bioresearch
businesses increased over the prior year. The international
diagnostic and bioresearch markets continue to be impacted by the
European recession and cost containment initiatives in several
European health care systems. The weakness in the international
markets, particularly in Europe, is expected to continue.
Operating income for the first quarter of 1995, before restructuring
charges of $3.1 million and $1.2 million in 1995 and 1994,
respectively, increased by $2.0 million to $20.5 million. The
increase in operating income resulted from an increase in sales and an
improvement in the gross profit margin to 52.6% in 1995 from 52.1% in
1994. Marketing, administrative and general expenses in the first
quarter of 1995 increased, compared to the same period last year,
primarily as a result of foreign currency fluctuations. Research,
development and engineering expenses of $22.1 million were slightly
higher than the first quarter of last year but are comparable as a
percentage of sales, reflecting the Company's continued commitment to
future products. After giving effect to its 1995 restructuring
charges, the Company reported operating income of $17.4 million for
the first quarter.
The reorganization and restructuring plan announced in the fourth
quarter of 1993 has resulted in first quarter 1995 savings of about
$10.0 million which are mainly attributable to the reduction of
approximately 1,100 employees from 1993. The Company anticipates
savings from the restructuring program to be $45 million in 1995, but
not incremental to earnings due to certain transition costs, general
salary and cost increases, as well as fluctuating foreign currencies.
Nonoperating expenses of $1.8 million in 1995 decreased by $0.5
million from the prior year.
Earnings before income taxes for the first quarter 1995, excluding the
restructuring charge, increased by $2.5 million to $18.7 million.
Including the restructuring charge, the earnings before taxes were
$15.6 million. The effective tax rate decreased to 34% from 35% as a
result of increased income in lower tax rate jurisdictions. Net
earnings for the first three months of 1995 before restructuring
charges and change in accounting principles increased to $12.3
million, or $0.43 per share ($0.44 before the dilutive effect of
common share equivalents), compared to $10.6 million, or $0.38 per
share for the prior year's first quarter.
In the first quarter of 1994, the Company adopted Statement of
Financial Accounting Standard No. 112 ("SFAS 112") "Employers'
Accounting for Postemployment Benefits". This statement requires the
Company to recognize a prior service obligation resulting from the
Company's commitment to provide benefits to former or inactive
employees, their beneficiaries and covered dependents after employment
but before retirement. Adoption of SFAS 112 resulted in the Company
recording an after tax charge of $5.1 million in the first quarter of
1994.
Net earnings for the first quarter of 1995 were $10.3 million, or
$0.36 ($0.37 before the dilutive effect of common share
equivalents)per share compared to $4.7 million, or $0.17 per share in
1994.
The following table summarizes the impact of the dilutive effect of
common share equivalents, restructuring charges and the cumulative
effect of changes in accounting principles on net earnings and
earnings per share for the three months ended March 31, 1995 and 1994.
<TABLE>
<CAPTION>
1995 1994
------------------------ -------------------------
Per Per
Shares Amt Share Shares Amt Share
------ ----- ----- ------ ----- ------
<S> <C> <C> <C> <C> <C> <C>
Net earnings before restructuring
charge and cumulative effect of
change in accounting principles 28,083 $12.3 $0.44 27,917 $10.6 $0.38
Common share equivalents 742 12.3 (0.01) * - -
------ ------ ------ ------
Net earnings before restructuring
charge and cumulative effect of
change in accounting principles 28,825 12.3 0.43 27,917 10.6 0.38
Restructuring charge, net of tax
benefit 28,825 (2.0) (0.07) 27,917 (0.8) (0.03)
Cumulative effect of change in
accounting principles - - - 27,917 (5.1) (0.18)
------ ------ ------ ------
Net earnings 28,825 $10.3 $0.36 27,917 $ 4.7 $0.17
====== ====== ====== ====== ====== ======
* Less than 3% dilutive
</TABLE>
Financial Condition
For the three months ended March 31, 1995, the Company had negative
cash flow from operating and investing activities of $26.0 million.
This represents a decrease of $28.7 million from the same 1994 period.
Contributing to the decrease was increased pension plan funding,
incentive compensation payments and investments compared to 1994.
The ratio of debt to capitalization at March 31, 1995 was 29.6%
compared to 29.0% at December 31, 1994. The ratio of current assets
to current liabilities at March 31, 1995 of 1.87 has decreased from
1.90 at December 31, 1994. The Company believes it has adequate
financial resources to meet expected cash flow requirements for the
foreseeable future, including the negative short-term impact
associated with the Company's reorganization and restructuring plan.
In 1995 and beyond, the Company's restructuring plan will have a
positive impact on cash flow.
On March 2, 1995, the Company paid a quarterly cash dividend of $0.11
per share of common stock for a total of $3.1 million. On April 6,
1995, the Board of Directors declared a $0.11 per share dividend
payable on June 1, 1995 to shareholders of record on May 12, 1995.
<PAGE>
PART II
OTHER INFORMATION
Item 1. Legal Proceedings
As previously reported, the Company is obligated to
contribute to any resolution of a lawsuit filed by Forest
City Properties Corporation and FC Irvine, Inc.
(collectively, "Forest City") against The Prudential
Insurance Company of America ("Prudential") in 1991
concerning property in Irvine, California formerly owned by
the Company. The Company's obligation arises from its 1990
settlement of earlier litigation between the Company and
Prudential concerning the same property. Although the trial
of the Forest City lawsuit was scheduled to begin February
14, 1995, the case has been waiting for an available
courtroom since that date and is expected to begin as soon
as one is available. The trial is expected to continue for
approximately two months.
As previously reported, since 1992 four toxic tort lawsuits
have been filed in Maricopa County Superior Court, Arizona
by a number of residents of the Phoenix/Scottsdale area
against the Company and a number of other defendants,
including Motorola, Inc., Siemens Corporation, the cities of
Phoenix and Scottsdale, and others. The Company has
received a joint settlement offer from the plaintiffs in all
four cases who also contacted most of the other defendants
to discuss settlement. These discussions are in a very
early stage and there can be no assurance that a settlement
will be reached. The Court has set a tentative trial date
of September 9, 1996 for the three cases which have been
consolidated (Lofgren, Betancourt and Ford). The Company is
indemnified by SmithKline Beecham p.l.c., the successor of
its former controlling stockholder, for any costs incurred
in these matters in excess of applicable insurance, and thus
the outcome of these litigations, even if unfavorable to the
Company, should have no effect on the Company's earnings or
financial position.
Item 2. Changes In Securities
None.
Item 3. Defaults Upon Senior Securities
None.
Item 4. Submission of Matters to a Vote of Security-Holders
The Annual Meeting of the Stockholders of the Company (the
"Annual Meeting") was held on April 6, 1995. Four members
of the Board of Directors whose terms expired at the 1995
Annual Meeting were elected to new terms expiring at the
1998 Annual Meeting, with the number of shares voting as
follows:
VOTES FOR VOTES WITHHELD
--------- --------------
Carolyne K. Davis 24,613,471 217,620
Dennis C. Fill 24,619,862 211,229
William N. Kelley 24,621,089 210,002
Henry Wendt 24,578,497 252,594
The remaining members of the Board of Directors who will
continue in office and the year in which their terms expire
are: Term expiring in 1996: Francis P. Lucier, David S.
Tappan, Jr., John P. Wareham and Betty Woods; Term expiring
in 1997: Earnest H. Clark, Jr., Gavin S. Herbert, C.
Roderick O'Neil, and Louis T. Rosso.
Item 5. Other Information
None.
Item 6. Exhibits and Reports on Form 8-K
a) Exhibits
15. Independent Accountants' Review Report,
April 21, 1995
27. Financial Data Schedule
b) Reports on Form 8-K
None.
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.
BECKMAN INSTRUMENTS, INC.
(Registrant)
Date: April 21, 1995 by WILLIAM H. MAY
William H. May
Vice President, General
Counsel and Secretary
Date: April 21, 1994 by D. K. WILSON
Dennis K. Wilson
Vice President, Finance
and Chief Financial Officer
<PAGE>
EXHIBIT INDEX
FORM 10-Q, FIRST QUARTER, 1995
Exhibit
Number Description
- ------- -----------
15. Independent Accountants' Review Report, April 21, 1995
27. Financial Data Schedule
Exhibit 15
KPMG Peat Marwick LLP
Certified Public Accountants
Orange County Office
Center Tower
650 Town Center Drive
Costa Mesa, CA 92626
Independent Accountants' Review Report
The Stockholders and Board of Directors
Beckman Instruments, Inc:
We have reviewed the condensed consolidated balance sheet of Beckman
Instruments, Inc. and subsidiaries as of March 31, 1995, and the
related condensed consolidated statements of earnings and cash flows
for the three-month periods ended March 31, 1995 and 1994. These
condensed consolidated financial statements are the responsibility of
the Company's management.
We conducted our review in accordance with standards established by
the American Institute of Certified Public Accountants. A review of
interim financial information consists principally of applying
analytical review procedures to financial data and making inquiries of
persons responsible for financial and accounting matters. It is
substantially less in scope than an audit conducted in accordance with
generally accepted auditing standards, the objective of which is the
expression of an opinion regarding the financial statements taken as a
whole. Accordingly, we do not express such an opinion.
Based on our review, we are not aware of any material modifications
that should be made to the condensed consolidated financial statements
referred to above for them to be in conformity with generally accepted
accounting principles.
We have previously audited, in accordance with generally accepted
auditing standards, the consolidated balance sheet of Beckman
Instruments, Inc. and subsidiaries as of December 31, 1994, and the
related consolidated statements of operations and cash flows for the
year then ended (not presented herein); and in our report dated
January 19, 1995, we expressed an unqualified opinion on those
consolidated financial statements. In our opinion, the information
set forth in the accompanying condensed consolidated balance sheet as
of December 31, 1994, is fairly stated, in all material respects, in
relation to the consolidated balance sheet from which it has been
derived.
As discussed in Note 5 to the condensed consolidated financial
statements, the Company changed its method of accounting for
postemployment benefits in 1994.
(KPMG Peat Marwick LLP)
Orange County, California
April 21, 1995
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONDENSED CONSOLIDATED BALANCE SHEET AND THE CONDENSED CONSOLIDATED
STATEMENT OF EARNINGS AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO
SUCH FINANCIAL STATEMENTS.
(DOLLARS IN MILLIONS, EXCEPT AMOUNTS PER SHARE)
</LEGEND>
<MULTIPLIER> 1,000,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> MAR-31-1995
<CASH> 24
<SECURITIES> 4
<RECEIVABLES> 266
<ALLOWANCES> 9
<INVENTORY> 162
<CURRENT-ASSETS> 499
<PP&E> 591
<DEPRECIATION> 355
<TOTAL-ASSETS> 826
<CURRENT-LIABILITIES> 266
<BONDS> 117
<COMMON> 3
0
0
<OTHER-SE> 325
<TOTAL-LIABILITY-AND-EQUITY> 826
<SALES> 169
<TOTAL-REVENUES> 205
<CGS> 73
<TOTAL-COSTS> 97
<OTHER-EXPENSES> 0
<LOSS-PROVISION> (1)
<INTEREST-EXPENSE> 3
<INCOME-PRETAX> 15
<INCOME-TAX> 5
<INCOME-CONTINUING> 10
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 10
<EPS-PRIMARY> 0.36
<EPS-DILUTED> 0.36
</TABLE>
