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 29, 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>
<PAGE>
Item 5: OTHER EVENTS
Beginning August 29, 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 29,
1995 (fiscal July), 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
26 weeks ended July 29, 1995 (fiscal July)
<PAGE>
<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: August 29, 1995 By: /s/ Jeanette R. Peters
Jeanette R. Peters
Senior Vice President
Chief Financial Officer
<PAGE>
<PAGE>
Exhibit 20
Page 1 of 4
ROSE'S STORES, INC. JULY INCOME STATEMENTS
(Amounts in 000's)
<TABLE>
<CAPTION>
1995 1995 | 1994
JULY JULY | JULY
ACTUAL PLAN | ACTUAL
<S> <C> <C> <C> <C>
|
Gross Sales 50,032 52,060 | 55,689
Less: Lease department sales 1,655 1,764 | 1,887
Net Sales 48,377 50,296 | 53,802
|
FIFO Gross Margin 11,863 12,902 | 12,344
% to Sales 24.52% 25.65% | 22.94%
|
Leased Department Income 350 364 | 393
SG&A 12,623 13,024 | 11,958
_________________________________________________________________________________________
EBITDA - PRE-LIFO (410) 242 | 779
_________________________________________________________________________________________
Depreciation & Amortization (262) (236) | 789
Interest Expense 572 515 | 477
LIFO Expense (Benefit) - 100 | (880)
Reorganization Costs - - | (10,858)
Non-cash Income Tax Expense (Benefit) (239) (52) | -
________________________________________________________________________________________
NET INCOME (LOSS) (481) (85) | 11,251
________________________________________________________________________________________
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.
Note (3): July, 1994 reorganization costs include a $12,000 reduction of a closed store
provision of $55,000 taken in the first quarter of 1994.
</TABLE>
<PAGE>
<PAGE>
Exhibit 20
Page 2 of 4
ROSE'S STORES, INC. JULY YTD INCOME STATEMENTS
(Amounts in 000's)
<TABLE>
<CAPTION>
1995 1995 | 1994
JULY JULY | JULY
YTD YTD | YTD
ACTUAL PLAN | ACTUAL
<S> <C> <C> <C> <C>
|
Gross Sales 327,896 328,440 | 349,814
Less: Lease department sales 10,881 11,233 | 11,882
Net Sales 317,015 317,207 | 337,932
|
FIFO Gross Margin 77,341 79,040 | 83,125
% to Sales 24.40% 24.92% | 24.60%
|
Leased Department Income 2,292 2,295 | 2,450
SG&A 76,083 76,680 | 79,587
____________________________________________________________________________________________
EBITDA - PRE-LIFO 3,550 4,655 | 5,988
____________________________________________________________________________________________
Depreciation & Amortization 1,020 1,074 | 4,862
Interest Expense 2,444 2,228 | 3,405
LIFO Expense (Benefit) (364) (64) | (576)
Reorganization Costs 3,847 3,847 | 50,810
Non-cash Income Tax Expense (Benefit) - 333 | -
____________________________________________________________________________________________
NET INCOME (LOSS) (3,397) (2,763) | (52,513)
____________________________________________________________________________________________
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. If the
Company had emerged from Chapter 11 at the beginning of the year, the application
of Fresh Start accounting would have resulted in year-to-date net income on a
proforma basis of approximately $1,900.
</TABLE>
<PAGE>
<PAGE>
Exhibit 20
Page 3 of 4
ROSE'S STORES, INC. BALANCE SHEETS
(Amounts in 000's)
<TABLE>
<CAPTION>
1995 1995 | 1994
JULY JULY | JULY
ACTUAL PLAN | ACTUAL
<S> <C> <C> <C> <C>
ASSETS |
CASH 641 700 | 11,009
INVENTORIES 178,551 168,329 | 144,302
OTHER CURRENT ASSETS 17,307 20,752 | 30,028
_______ _______ | ______
TOTAL CURRENT ASSETS 196,499 189,781 | 185,339
|
NET PROPERTY 1,566 2,286 | 38,411
|
LONG TERM ASSETS - - | 7,044
|
TOTAL ASSETS 198,065 192,067 | 230,794
======= ======= | =======
|
LIABILITIES & EQUITY |
ACCOUNTS PAYABLE 26,717 28,067 | 26,190
SHORT-TERM DEBT 72,094 62,528 | 595
OTHER CURRENT LIABILITIES 26,223 27,535 | 43,454
_______ _______ | _______
TOTAL CURRENT LIABILITIES 125,034 118,130 | 70,239
|
PRE-PETITION CLAIMS - - | 188,420
EXCESS OF ASSETS OVER VALUE 31,221 31,223 | -
OTHER LIABILITIES 5,590 5,559 | 7,005
DEFERRED INCOME 1,312 1,280 | 1,547
STOCKHOLDERS' EQUITY (DEFICIT) 34,908 35,875 | (36,417)
|
TOTAL DEBT & EQUITY 198,065 192,067 | 230,794
======= ======= | =======
Note (1): 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.
Note (2): The 1995 actual and planned inventories are for 106 stores. The 1994
inventories are for 113 stores and include a reserve for LIFO that was written
off as part of Fresh Start accounting.
</TABLE>
<PAGE>
<PAGE>
Exhibit 20
Page 4 of 4
ROSE'S STORES, INC. JULY YTD CHANGES IN CASH
(Amounts in 000's)
<TABLE>
<CAPTION>
1995 1995 | 1994
JULY JULY | JULY
YTD YTD | YTD
ACTUAL PLAN | ACTUAL
<S> <C> <C> | <C>
|
Net earnings (loss) (3,397) (2,763) | (52,513)
Closed store provision - - | 43,000
Non-cash income tax expense (benefit) - 333 | -
Other 655 823 | 3,986
_______ _______ | _______
CASH PROVIDED (USED) BY OPERATIONS |
BEFORE ASSET & LIABILITY CHANGES (2,742) (1,607) | (5,527)
|
(Inc.) dec. in Inventories (33,713) (23,078) | 59,424
Inc. (dec.) in Accounts Payable 3,436 4,786 | (14,327)
All other (10,511) (10,744) | (6,735)
_______ _______ | _______
CASH PROVIDED (USED) BY OPERATIONS (43,530) (30,643) | 32,835
|
INVESTING ACTIVITIES (2,079) (2,551) | (69)
|
FINANCING ACTIVITIES |
Proceeds (payments) of pre-petition claims (29,388) (33,016) | (33,134)
Proceeds (payments) of short-term debt 71,494 61,928 | 595
Capital lease payments (444) (620) | (1,173)
Other 3,238 4,252 | -
_______ _______ | _______
CASH PROVIDED (USED) BY FINANCING 44,900 32,544 | (33,712)
|
(DECREASE) INCREASE IN CASH (709) (650) | (946)
======== ======== | ========
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>
