FORM 8-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 1, 1995
ROSE'S STORES, INC.
(Exact name of registrant as specified in its charter)
Delaware
(State or other jurisdiction of incorporation)
0-631 56-0382475
(Commission File Number) (IRS Employer Identification No.)
218 S. Garnett Street
Henderson, North Carolina 27536
(Address of principal executive offices) (Zip Code)
(919) 430-2600
(Registrant's telephone number, including area code)
<PAGE>
Item 5: OTHER EVENTS
Beginning July 27, 1995, the Company will distribute to its banks and other
lenders, principal trade vendors and factors, the monthly and year-to-date
financial results and other financial data for the period ended July 1, 1995
(fiscal June), together with projected financial information for similar periods
as contained in the Company's plan for the year ending January 27, 1996 (the
"Plan"). Such financial results are attached hereto as Exhibit 20, and are
incorporated by reference herein.
Such financial monthly results and other financial data and information
concerning the Plan are being reported publicly solely because they are being
distributed to a large number of the Company's principal trade vendors, banks,
and other lenders and factors to facilitate their credit analyses. These results
should not be relied upon for any other purpose and should be read in conjunc-
tion with the Company's Form 10-K for fiscal 1994 and Form 10-Q for the first
quarter of 1995. Although the Company is publicly reporting its monthly results
during fiscal 1995, the Company does not believe it is obligated to provide such
information indefinitely and may cease making such disclosures and updates at
any time. Moreover, the Company does not believe that it is obligated to update
monthly results to reflect subsequent events or developments.
For information concerning the Plan, including the limitations thereof and
certain assumptions made in its formulation, reference is made to the Company's
Current Report on Form 8-K, dated June 8, 1995.
Item 7: PROJECTIONS, FINANCIAL STATEMENTS
Exhibit: 20 Unaudited financial results for the four weeks and
22 weeks ended July 1, 1995 (fiscal June)
<PAGE>
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 hereunto duly authorized.
ROSE'S STORES, INC.
Date: July 26, 1995 By: /s/ Jeanette R. Peters
Jeanette R. Peters
Senior Vice President
Chief Financial Officer
<PAGE>
Exhibit 20
Page 1 of 4
ROSE'S STORES, INC. JUNE INCOME STATEMENTS
(Amounts in 000's)
<TABLE>
<CAPTION>
1995 1995 | 1994
JUNE JUNE | JUNE
ACTUAL PLAN | ACTUAL
|
<S> <C> <C> | <C>
Gross Sales 50,550 50,262 | 52,105
Less: Lease department sales 1,798 1,979 | 2,075
Net Sales 48,752 48,283 | 50,030
|
FIFO Gross Margin 12,500 12,606 | 12,055
% to Sales 25.64% 26.11% | 24.10%
|
Leased Department Income 353 351 | 365
SG&A 12,579 12,715 | 12,430
_________________________________________________________________________________________
EBITDA - PRE-LIFO 274 242 | (10)
_________________________________________________________________________________________
Depreciation & Amortization Expense (Benefit) (265) (246) | 803
Interest Expense 573 507 | 501
LIFO Expense (Benefit) (50) 100 | 50
Reorganization Costs - - | 1,210
Non-cash Income Tax Expense (Benefit) 6 (45) | -
________________________________________________________________________________________
NET INCOME (LOSS) 10 (74) | (2,574)
________________________________________________________________________________________
Note (1): The 1995 actual and planned results are for 106 stores. 1994 actual results
are for 113 stores.
Note (2): Beginning in May, 1995, the income statements reflect the application of Fresh
Start accounting as described in the Company's quarterly report on Form 10-Q,
dated April 29, 1995, and are therefore not comparable to the prior year.
</TABLE>
<PAGE>
Exhibit 20
Page 2 of 4
ROSE'S STORES, INC. JUNE YTD INCOME STATEMENTS
(Amounts in 000's)
<TABLE>
<CAPTION>
1995 1995 | 1994
JUNE JUNE | JUNE
YTD YTD | YTD
ACTUAL PLAN | ACTUAL
|
<S> <C> <C> | <C>
Gross Sales 277,862 276,380 | 294,125
Less: Lease department sales 9,225 9,469 | 9,995
Net Sales 268,637 266,911 | 284,130
|
FIFO Gross Margin 65,478 66,138 | 70,781
% to Sales 24.37% 24.78% | 24.91%
|
Leased Department Income 1,942 1,931 | 2,057
SG&A 63,429 63,656 | 67,629
____________________________________________________________________________________________
EBITDA - PRE-LIFO 3,991 4,413 | 5,209
____________________________________________________________________________________________
Depreciation & Amortization Expense (Benefit) 1,282 1,310 | 4,073
Interest Expense 1,903 1,713 | 2,928
LIFO Expense (Benefit) (364) (164) | 304
Reorganization Costs 3,847 3,847 | 61,668
Non-cash Income Tax Expense (Benefit) 239 385 | -
____________________________________________________________________________________________
NET INCOME (LOSS) (2,916) (2,678) | (63,764)
____________________________________________________________________________________________
Note (1): The 1995 actual and planned results are for 106 stores. 1994 actual results
are for 113 stores.
Note (2): Reorganization Costs for 1994 included a $55,000 provision to close 59 stores in
the second quarter of 1994.
Note (3): Beginning in May 1995, the income statements reflect the application of Fresh
Start accounting as described in the Company's quarterly report on Form 10-Q,
dated April 29, 1995, and are therefore not comparable to the prior year.
</TABLE>
<PAGE>
Exhibit 20
Page 3 of 4
ROSE'S STORES, INC. BALANCE SHEETS
(Amounts in 000's)
<TABLE>
<CAPTION>
1995 1995 | 1994
JUNE JUNE | JUNE
ACTUAL PLAN | ACTUAL
ASSETS |
<S> <C> <C> | <C>
CASH 646 700 | 4,169
INVENTORIES 181,842 171,014 | 178,050
OTHER CURRENT ASSETS 16,274 16,405 | 25,964
_______ _______ | ______
TOTAL CURRENT ASSETS 198,762 188,119 | 208,183
|
NET PROPERTY 678 1,534 | 39,299
|
LONG TERM ASSETS - - | 7,047
|
TOTAL ASSETS 199,440 189,653 | 254,529
======= ======= | =======
|
LIABILITIES & EQUITY |
ACCOUNTS PAYABLE 25,598 26,094 | 23,873
SHORT-TERM DEBT 70,947 62,695 | 3,117
OTHER CURRENT LIABILITIES 28,810 26,321 | 68,097
_______ _______ | _______
TOTAL CURRENT LIABILITIES 125,355 115,110 | 95,087
|
PRE-PETITION CLAIMS - - | 198,129
EXCESS OF ASSETS OVER VALUE 31,488 31,489 | -
OTHER LIABILITIES 5,601 5,695 | 7,310
DEFERRED INCOME 1,368 1,347 | 1,672
STOCKHOLDERS' EQUITY (DEFICIT) 35,628 36,012 | (47,669)
|
TOTAL DEBT & EQUITY 199,440 189,653 | 254,529
======= ======= | =======
Note (1): The 1995 actual and planned inventories are for 113 stores, including
7 that will be closed during the second quarter of 1995. The 1994
inventories are for 172 stores, including 59 stores that were closed in
the second quarter of 1994.
Note (2): The 1995 balance sheets reflect the application of Fresh Start accounting as
described in the Company's quarterly report on Form 10-Q, dated April 29, 1995,
and are therefore not comparable to the prior year.
</TABLE>
<PAGE>
Exhibit 20
Page 4 of 4
ROSE'S STORES, INC. JUNE YTD CHANGES IN CASH
(Amounts in 000's)
<TABLE>
<CAPTION>
1995 1995 | 1994
JUNE JUNE | JUNE
YTD YTD | YTD
ACTUAL PLAN | ACTUAL
<S> <C> <C> | <C>
Net earnings (loss) (2,916) (2,678) | (63,764)
Closed store provision - - | 55,000
Non-cash income tax expense (benefit) 239 385 | -
Other 918 1,021 | 4,072
_______ _______ | _______
CASH PROVIDED (USED) BY OPERATIONS |
BEFORE ASSET & LIABILITY CHANGES (1,759) (1,272) | (4,692)
|
(Inc.) dec. in Inventories (36,793) (25,663) | 24,796
Inc. (dec.) in Accounts Payable 2,090 2,813 | (16,678)
All other (5,887) (7,484) | 9,361
_______ _______ | _______
CASH PROVIDED (USED) BY OPERATIONS (42,349) (31,606) | 12,787
|
INVESTING ACTIVITIES (1,187) (1,869) | 65
|
FINANCING ACTIVITIES |
Proceeds (payments) of pre-petition claims (29,030) (33,016) | (22,759)
Proceeds (payments) of short-term debt 70,347 62,095 | 3,117
Capital lease payments (381) (506) | (995)
Other 1,896 4,252 | (1)
_______ _______ | _______
CASH PROVIDED (USED) BY FINANCING 42,832 32,825 | (20,638)
|
(DECREASE) INCREASE IN CASH (704) (650) | (7,786)
======== ======== | ========
Note (1): The 1995 actual and planned net losses are for 106 stores. The 1994 actual
net loss is for 113 stores.
Note (2): Beginning in May, 1995, the cash flows reflect the application of Fresh Start
accounting as described in the Company's quarterly report on Form 10-Q, dated
April 29, 1995, and are therefore not comparable to the periods prior to May,
1995.
</TABLE>
