<PAGE> 1
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 September 30, 1995
[ ] 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: 1-16183
IDS/JONES GROWTH PARTNERS 87-A, LTD.
- --------------------------------------------------------------------------------
Exact name of registrant as specified in charter
Colorado 84-1060544
- --------------------------------------------------------------------------------
State of organization I.R.S. employer I.D.#
9697 East Mineral Avenue, P.O. Box 3309, Englewood, Colorado 80155-3309
------------------------------------------------------------------------
Address of principal executive office
(303) 792-3111
-----------------------------
Registrant's telephone number
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
----- -----
<PAGE> 2
IDS/JONES GROWTH PARTNERS 87-A, LTD.
(A Limited Partnership)
UNAUDITED BALANCE SHEETS
<TABLE>
<CAPTION>
September 30, December 31,
ASSETS 1995 1994
------ -------------- --------------
<S> <C> <C>
CASH $ 353,590 $ 407,610
TRADE RECEIVABLES, less allowance for doubtful
receivables of $21,516 and $17,015 at
September 30, 1995 and December 31, 1994,
respectively 468,011 498,516
INVESTMENT IN CABLE TELEVISION PROPERTIES:
Property, plant and equipment, at cost 34,561,831 31,848,280
Less- accumulated depreciation (14,576,902) (12,685,653)
-------------- --------------
19,984,929 19,162,627
Franchise costs, net of accumulated
amortization of $19,013,795 and $17,671,439
at September 30, 1995 and December 31, 1994,
respectively 9,854,997 11,195,969
Subscriber lists, net of accumulated amortization
of $4,310,429 and $4,177,945 at September 30, 1995
and December 31, 1994, respectively 65,472 197,955
Costs in excess of interests in net assets purchased,
net of accumulated amortization of $1,038,644 and
$924,122 at September 30, 1995 and
December 31, 1994, respectively 4,789,393 4,903,915
-------------- --------------
Total investment in cable television properties 34,694,791 35,460,466
DEPOSITS, PREPAID EXPENSES AND DEFERRED CHARGES 445,930 317,231
-------------- --------------
Total assets $ 35,962,322 $ 36,683,823
============== ==============
</TABLE>
The accompanying notes to unaudited financial statements
are an integral part of these unaudited balance sheets.
2
<PAGE> 3
IDS/JONES GROWTH PARTNERS 87-A, LTD.
(A Limited Partnership)
UNAUDITED BALANCE SHEETS
<TABLE>
<CAPTION>
September 30, December 31,
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT) 1995 1994
------------------------------------------- ------------- ------------
<S> <C> <C>
LIABILITIES:
Debt $ 23,145,265 $ 21,832,052
Accounts payable-
Trade 52,387 65,095
Managing General Partner 146,116 665,782
Accrued liabilities 756,856 828,923
Subscriber prepayments 46,909 38,681
------------ ------------
Total liabilities 24,147,533 23,430,533
------------ ------------
PARTNERS' CAPITAL (DEFICIT):
General Partners-
Contributed capital 500 500
Accumulated deficit (244,699) (230,314)
------------ ------------
(244,199) (229,814)
------------ ------------
Limited Partners-
Net contributed capital
(164,178 units outstanding at
September 30, 1995 and December 31, 1994) 35,824,200 35,824,200
Accumulated deficit (23,765,212) (22,341,096)
------------ ------------
12,058,988 13,483,104
------------ ------------
Total liabilities and partners'
capital (deficit) $ 35,962,322 $ 36,683,823
============ ============
</TABLE>
The accompanying notes to unaudited financial statements
are an integral part of these unaudited balance sheets.
3
<PAGE> 4
IDS/JONES GROWTH PARTNERS 87-A, LTD.
(A Limited Partnership)
UNAUDITED STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>
For the Three Months Ended For the Nine Months Ended
September 30, September 30,
---------------------------- -----------------------------
1995 1994 1995 1994
---------- ---------- ----------- -----------
<S> <C> <C> <C> <C>
REVENUES $3,670,797 $3,237,138 $10,689,958 $ 9,657,618
COSTS AND EXPENSES:
Operating expenses 2,039,597 1,843,471 5,965,856 5,337,723
Management fees and
allocated overhead
from General Partners 454,748 412,481 1,348,917 1,259,764
Depreciation and
amortization 948,968 1,388,603 3,509,361 4,224,232
---------- ---------- ----------- -----------
OPERATING INCOME (LOSS) 227,484 (407,417) (134,176) (1,164,101)
---------- ---------- ----------- -----------
OTHER INCOME (EXPENSE):
Interest expense (426,687) (382,840) (1,306,981) (967,984)
Other, net 1,561 (5,489) 2,656 (22,795)
---------- ---------- ----------- -----------
Total other income,
(expense), net (425,126) (388,329) (1,304,325) (990,779)
---------- ---------- ----------- -----------
NET LOSS $ (197,642) $ (795,746) $(1,438,501) $(2,154,880)
========== ========== =========== ===========
ALLOCATION OF NET LOSS:
General Partners $ (1,976) $ (7,957) $ (14,385) $ (21,549)
========== ========== =========== ===========
Limited Partners $ (195,666) $ (787,789) $(1,424,116) $(2,133,331)
========== ========== =========== ===========
NET LOSS PER LIMITED
PARTNERSHIP UNIT $ (1.19) $ (4.80) $ (8.67) $ (12.99)
========== ========== =========== ===========
WEIGHTED AVERAGE NUMBER
OF LIMITED PARTNERSHIP
UNITS OUTSTANDING 164,178 164,178 164,178 164,178
========== ========== =========== ===========
</TABLE>
The accompanying notes to unaudited financial statements
are an integral part of these statements.
4
<PAGE> 5
IDS/JONES GROWTH PARTNERS 87-A, LTD.
(A Limited Partnership)
UNAUDITED STATEMENTS OF CASH FLOWS
<TABLE>
<CAPTION>
For the Nine Months Ended
September 30,
-----------------------------------
1995 1994
----------- -----------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss $(1,438,501) $(2,154,880)
Adjustments to reconcile net loss to net cash
provided by operating activities:
Depreciation and amortization 3,509,361 4,224,232
Amortization of interest rate protection contract 25,002 25,002
Decrease in trade receivables 30,505 134,407
Increase in deposits, prepaid expenses and deferred charges (183,836) (71,380)
Decrease in accounts payable, accrued liabilities and
subscriber prepayments (76,547) (216,770)
Increase (decrease) in amount due Managing General Partner (519,666) 556,484
----------- -----------
Net cash provided by operating activities 1,346,318 2,497,095
----------- -----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment, net (2,713,551) (2,252,888)
----------- -----------
Net cash used in investing activities (2,713,551) (2,252,888)
----------- -----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from borrowings 1,368,638 -
Repayment of debt (55,425) (394,792)
----------- -----------
Net cash provided by (used in) financing activities 1,313,213 (394,792)
----------- -----------
Decrease in cash (54,020) (150,585)
Cash, beginning of period 407,610 969,416
----------- -----------
Cash, end of period $ 353,590 $ 818,831
=========== ===========
SUPPLEMENTAL CASH FLOW DISCLOSURE:
Interest paid $ 1,276,439 $ 848,676
=========== ===========
</TABLE>
The accompanying notes to unaudited financial statements
are an integral part of these statements.
5
<PAGE> 6
IDS/JONES GROWTH PARTNERS 87-A, LTD.
(A Limited Partnership)
NOTES TO UNAUDITED FINANCIAL STATEMENTS
(1) This Form 10-Q is being filed in conformity with the SEC requirements
for unaudited financial statements and does not contain all of the necessary
footnote disclosures required for a fair presentation of the Balance Sheets and
Statements of Operations and Cash Flows in conformity with generally accepted
accounting principles. However, in the opinion of management, this data
includes all adjustments, consisting only of normal recurring accruals,
necessary to present fairly the financial position of IDS/Jones Growth Partners
87-A, Ltd. (the "Partnership") at September 30, 1995 and December 31, 1994, its
Statements of Operations for the three and nine month periods ended September
30, 1995 and 1994 and its Statements of Cash Flows for the nine month periods
ended September 30, 1995 and 1994. Results of operations for these periods are
not necessarily indicative of results to be expected for the full year.
Certain prior year amounts have been reclassified to conform to the 1995
presentation.
The Partnership owns and operates the cable television systems serving
the areas in and around Carmel, Indiana (the "Carmel System") and Roseville,
California (the "Roseville System").
(2) Jones Cable Corporation (the "Managing General Partner"), a wholly
owned subsidiary of Jones Intercable, Inc. ("JIC"), manages the Partnership
and receives a fee for its services equal to 5 percent of the gross revenues of
the Partnership, excluding revenues from the sale of cable television systems
or franchises. Management fees paid to the Managing General Partner by the
Partnership for the three and nine month periods ended September 30, 1995 were
$183,540 and $534,498, respectively, compared to $161,857 and $482,881,
respectively, for the three and nine month periods ended September 30, 1994.
IDS Cable Corporation (the "Supervising General Partner") participates
in certain management decisions of the Partnership and receives a fee for its
services equal to one-half percent of the gross revenues of the Partnership,
excluding revenue from the sale of cable television systems or franchises.
Supervision fees paid to the Supervising General Partner by the Partnership for
the three and nine month periods ended September 30, 1995 were $18,354 and
$53,450, respectively, compared to $16,186 and $48,288, respectively, for the
three and nine month periods ended September 30, 1994.
The Partnership reimburses JIC for certain allocated overhead and
administrative expenses. These expenses represent the salaries and related
benefits paid for corporate personnel, rent, data processing services and other
corporate facilities costs. Such personnel provide engineering, marketing,
administrative, accounting, legal and investor relations services to the
Partnership. Allocations of personnel costs are based primarily on actual time
spent by employees of JIC with respect to each partnership managed. Remaining
overhead costs are allocated based on revenues of the Partnership as a
percentage of total revenues of owned and managed partnerships of JIC. Systems
owned by JIC and all other systems owned by partnerships for which JIC is the
general partner are also allocated a proportionate share of these expenses.
The Managing General Partner believes that the methodology used in allocating
overhead and administrative expense is reasonable. Reimbursements made to JIC
by the Partnership for allocated overhead and administrative expenses during
the three and nine month periods ended September 30, 1995 were $252,854 and
$760,969, respectively, compared to $234,438 and $728,595, respectively, for
the three and nine month periods ended September 30, 1994. The Supervising
General Partner may also be reimbursed for certain expenses incurred on behalf
of the Partnership. There were no reimbursements made to the Supervising
General Partner by the Partnership for allocated overhead and administrative
expenses during the three and nine month periods ended September 30, 1995 and
1994.
(3) In August 1995, the Partnership entered into a purchase and sale
agreement pursuant to which it agreed to sell the Carmel System to JIC for a
sales price of $44,235,333. This price is the average of three separate,
independent appraisals of the fair market value of the Carmel System. The
General Partner has assigned its rights and obligations under the purchase and
sale agreement to Jones Cable Holdings, Inc., a wholly owned subsidiary of the
General Partner. Based on the net book value of the Carmel System of
approximately $23,500,000 at September 30, 1995, the Partnership will recognize
a gain of approximately $20,700,000 on this transaction. Closing of this sale
is expected to occur during the first half of 1996. It is anticipated that a
portion of the sale proceeds will be used to reduce Partnership debt to
6
<PAGE> 7
approximately $9,000,000, with the remainder of the proceeds distributed to the
limited partners pursuant to the partnership agreement. Such distribution will
total approximately $30,000,000, or $730 per $1,000 invested in the
Partnership. No vote of the limited partners of the Partnership is required in
connection with this transaction because the assets of the Carmel System do not
constitute all or substantially all of the Partnership's assets. The
Supervising General Partner consented to the timing of the transaction and
participated in the selection of appraisers.
On August 11, 1995, the General Partner entered into an asset exchange
agreement (the "TWEAN Exchange Agreement") with Time Warner
Entertainment-Advance/Newhouse Partnership ("TWEAN"), an unaffiliated cable
television system operator. Pursuant to the TWEAN Exchange Agreement, Jones
Cable Holdings, Inc. will convey to TWEAN the Carmel System along with certain
other properties and cash in the amount of $3,500,000, subject to normal
closing adjustments. In return, Jones Cable Holdings, Inc. will receive from
TWEAN the cable television systems serving Andrews Air Force Base, Capitol
Heights, Cheltenham, District Heights, Fairmount Heights, Forest Heights,
Morningside, Seat Pleasant, Upper Marlboro, and portions of Prince George's
County, all in Maryland, and portions of Fairfax County, Virginia. The closing
of the Carmel System sale, however, is not contingent upon the closing of the
Time Warner exchange.
The pro forma effect of the sale of the Carmel System on the results
of the Partnership's operations for the nine months ended September 30, 1995
and 1994, assuming the transaction had occurred at the beginning of the period,
is presented in the following unaudited tabulation:
<TABLE>
<CAPTION>
For the Nine Months Ended September 30, 1995
--------------------------------------------
Pro Forma
As Reported Adjustments Pro Forma
------------ ----------- -----------
<S> <C> <C> <C>
Revenues $10,689,958 $(5,960,176) $4,729,782
=========== =========== ==========
Operating Income (Loss) $ (134,176) $ (32,368) $ (166,544)
=========== =========== ==========
Net Income (Loss) $(1,438,501) $ 458,683 $ (979,818)
=========== =========== ==========
<CAPTION>
For the Nine Months Ended September 30, 1994
--------------------------------------------
Pro Forma
As Reported Adjustments Pro Forma
------------ ----------- -----------
<S> <C> <C> <C>
Revenues $ 9,657,618 $(5,438,935) $ 4,218,683
=========== =========== ===========
Operating Income (Loss) $(1,164,101) $ 17,447 $(1,146,654)
=========== =========== ===========
Net Income (Loss) $(2,154,880) $ 589,044 $(1,565,836)
=========== =========== ===========
</TABLE>
7
<PAGE> 8
IDS/JONES GROWTH PARTNERS 87-A, LTD.
(A Limited Partnership)
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
FINANCIAL CONDITION
For the nine months ended September 30, 1995, the Partnership
generated net cash from operating activities totaling $1,346,318, which is
available to fund capital expenditures and non-operating costs. The
Partnership expended approximately $2,700,000 for capital improvements during
the first nine months of 1995. Of these improvements, approximately 43 percent
related to the construction of extensions to the cable television plant in the
Partnership's cable television systems and approximately 24 percent related to
service drops to homes. The remaining expenditures were for various system
enhancements. These additions were funded by cash generated from operations
and borrowings from the Partnership's credit facility. Budgeted capital
expenditures for the remainder of 1995 are approximately $833,000. Service
drops to homes are expected to account for approximately 37 percent of the
remaining expenditures and construction of cable plant extensions is expected
to account for approximately 36 percent of these expenditures. The balance of
the expenditures are for various enhancements in each of the Partnership's
systems. Funding for these expenditures is expected to be provided by cash on
hand and cash generated from operations.
In August 1995, the Partnership entered into a purchase and sale
agreement pursuant to which it agreed to sell the Carmel System to JIC for a
sales price of $44,235,333. This price is the average of three separate,
independent appraisals of the fair market value of the Carmel System. The
General Partner has assigned its rights and obligations under the purchase and
sale agreement to Jones Cable Holdings, Inc., a wholly owned subsidiary of the
General Partner. Based on the net book value of the Carmel System of
approximately $23,500,000 at September 30, 1995, the Partnership will recognize
a gain of approximately $20,700,000 on this transaction. Closing of this sale
is expected to occur during the first half of 1996. It is anticipated that a
portion of the sale proceeds will be used to reduce Partnership debt to
approximately $9,000,000, with the remainder of the proceeds distributed to the
limited partners pursuant to the partnership agreement. Such distribution will
total approximately $30,000,000, or $730 per $1,000 invested in the
Partnership. No vote of the limited partners of the Partnership is required in
connection with this transaction because the assets of the Carmel System do not
constitute all or substantially all of the Partnership's assets. The
Supervising General Partner consented to the timing of the transaction and
participated in the selection of appraisers.
On August 11, 1995, the General Partner entered into an asset exchange
agreement (the "TWEAN Exchange Agreement") with Time Warner
Entertainment-Advance/Newhouse Partnership ("TWEAN"), an unaffiliated cable
television system operator. Pursuant to the TWEAN Exchange Agreement, Jones
Cable Holdings, Inc. will convey to TWEAN the Carmel System along with certain
other properties and cash in the amount of $3,500,000, subject to normal
closing adjustments. In return, Jones Cable Holdings, Inc. will receive from
TWEAN the cable television systems serving Andrews Air Force Base, Capitol
Heights, Cheltenham, District Heights, Fairmount Heights, Forest Heights,
Morningside, Seat Pleasant, Upper Marlboro, and portions of Prince George's
County, all in Maryland, and portions of Fairfax County, Virginia. The closing
of the Carmel System sale, however, is not contingent upon the closing of the
Time Warner exchange. Refer to note 3 for the pro forma effect of the sale of
the Carmel System on the results of the Partnership's operations for the nine
months ended September 30, 1995 and 1994, assuming the transaction had occurred
at the beginning of the periods.
The Partnership will continue to own and operate the Roseville System
after the sale of the Carmel System. The operations of the Roseville System
will be sufficient to provide liquidity to meet the anticipated needs of the
Roseville System as well as service the anticipated debt balance of $9,000,000.
In January 1995, the Partnership and its lenders entered into an
amendment to its credit agreement which, among other things, reestablished the
lenders' revolving credit commitment in an amount up to $23,000,000. As
required by the amendment, the initial advance under the new revolving credit
commitment was used to repay the then outstanding principal balance of the term
loan under the credit agreement. At September 30, 1995, the outstanding
balance was $23,000,000, which converted to a term loan, payable in 13
consecutive quarterly installments beginning December 31, 1995. Interest is at
the Partnership's option of the Prime Rate plus .25 percent, London Interbank
Offered Rate plus 1.25 percent or Certificate of Deposit Rate plus 1.5 percent.
The effective interest rates on amounts outstanding as of September 30, 1995
and 1994 were 6.9 percent and 6.1 percent, respectively.
8
<PAGE> 9
On January 12, 1993, the Partnership entered into an interest rate cap
agreement covering outstanding debt obligations of $10,000,000. The agreement
protects the Partnership for interest rates that exceed 7 percent for three
years from the date of the agreement.
The General Partners believe that the Partnership has, and will
continue to have, sufficient sources of capital available in the form of cash
on hand and cash generated from operations until the Carmel System is sold.
Regulatory Matters
The FCC's rate regulations related to the 1992 Cable Act contain
provisions for increasing rates for added channels, external costs and
inflation. The Partnership has been able to adjust rates recently under such
provisions. Such adjustments, together with a reduction in the cost of
implementing the 1992 Cable Act compared to such costs in prior periods, are
expected to cause the Partnership's revenue and cash flow to increase in fiscal
1996.
Currently, there is legislation before Congress which, if enacted,
would significantly change the regulatory environment in which the cable
industry operates. Such legislation may eliminate rate regulation and allow
telephone companies and others much broader entry into the cable television
business and, in turn, may allow cable operators into the telephone and other
telecommunications businesses. While the General Partner is encouraged by
provisions of the legislation, it is too early to assess the impact such
legislation, if enacted, would have on the Partnership.
RESULTS OF OPERATIONS
Revenues of the Partnership increased $433,659, or approximately 13
percent, for the three months ended September 30, 1995 compared to the
comparable 1994 period, to $3,670,797 in 1995 from $3,237,138 in 1994.
Increases in basic subscribers and advertising sales revenue accounted for
approximately 40 percent and 23 percent, respectively, of the three month
increase in revenues. For the nine month periods ended September 30, 1995 and
1994, revenues increased $1,032,340, or approximately 11 percent, to
$10,689,958 in 1995 from $9,657,618 in 1994. Increases in advertising sales
revenue and basic subscribers accounted for approximately 31 percent and 49
percent, respectively, of the increase in revenues for the nine months ended
September 30, 1995. Since September 30, 1994, the Partnership has added
approximately 2,706 basic subscribers and approximately 802 pay subscriptions,
increases of approximately 8 percent and 4 percent, respectively. Basic
subscribers increased to 34,978 at September 30, 1995 from 32,272 at September
30, 1994. Pay subscriptions increased to 24,856 at September 30, 1995 from
24,054 at September 30, 1994. No other individual factor significantly
affected the increase in revenues.
Operating expenses consist primarily of costs associated with the
administration of the Partnership's cable television systems. The principal
cost components are salaries paid to system personnel, programming expenses,
professional fees, subscriber billing costs, rent for leased facilities, cable
system maintenance expenses and consumer marketing expenses.
Operating expenses increased $196,126, or approximately 11 percent, to
$2,039,597 in the third quarter of 1995 from $1,843,471 in the third quarter of
1994. Increases in programming fees and advertising sales expenses accounted
for approximately 64 percent and 32 percent, respectively, of the three month
increase in operating expenses. For the nine month periods ended September 30,
1995 and 1994, operating expenses increased $628,133, or approximately 12
percent, to $5,965,856 in 1995 from $5,337,723 in 1994. This increase was due
to increases in programming fees and advertising sales expenses which accounted
for approximately 64 percent and 32 percent of the increase, respectively. No
other single factor significantly affected the increase in operating expenses.
Operating expenses represented 56 percent of revenue for the respective three
month periods ended September 30, 1995 and 1994 and 56 percent and 55 percent,
respectively, of revenue during each of the nine months ended September 30,
1995 and 1994.
Management fees and allocated overhead from the General Partners
increased $42,267, or approximately 10 percent, to $454,748 for the three
months ended September 30, 1995 from $412,481 for the comparable 1994 period.
For the nine month periods ended September 30, 1995 and 1994, management fees
and allocated overhead from the General Partners increased $89,153, or
approximately 7 percent, to $1,348,917 in 1995 from $1,259,764 in 1994. These
increases were due to the increases in revenues, upon which such management
fees are based, as well as increases in allocated
9
<PAGE> 10
expenses from the Managing General Partner. The Managing General Partner has
experienced increases in expenses, a portion of which is allocated to the
Partnership.
Depreciation and amortization expense decreased $439,635, or
approximately 32 percent, for the three months ended September 30, 1995 to
$948,968 in 1995, from $1,388,603 in 1994. For the nine month periods ended
September 30, 1995 and 1994, depreciation and amortization expense decreased
$714,871, or approximately 17 percent, to $3,509,361 in 1995 from $4,224,232 in
1994. These decreases were due to the maturation of the Partnership's
intangible asset base.
The Partnership recorded operating income of $227,484 for the three
months ended September 30, 1995, compared to an operating loss of $407,417 for
the three months ended September 30, 1994. This change is a result of the
increase in revenues and the decrease in depreciation and amortization expense
exceeding the increase in operating expenses, management and supervision fees
and allocated overhead from the General Partners. For the nine month periods,
operating loss decreased $1,029,925, or approximately 88 percent, to $134,176
in 1995 from $1,164,101 in 1994. This decrease was a result of the increases
in revenues and the decrease in depreciation and amortization expense exceeding
the increase in operating expenses and management and supervision fees and
allocated overhead from the General Partners.
The cable television industry generally measures the performance of a
cable television system in terms of cash flow or operating income before
depreciation and amortization. The value of a cable television system is often
determined using multiples of cash flow. This measure is not intended to be a
substitute or improvement upon the items disclosed on the financial statements,
rather it is included because it is an industry standard. Operating income
before depreciation and amortization increased $245,266, or approximately 26
percent, to $1,176,452 from $931,186 for the three months ended September 30,
1995 as compared to 1994. This increase was the result of the increase in
revenues exceeding the increases in operating expenses, management and
supervision fees and allocated overhead from the General Partners. For the
nine month periods ended September 30, 1995 and 1994, operating income before
depreciation and amortization increased $315,054, or approximately 10 percent,
to $3,375,185 in 1995 from $3,060,131 in 1994. This increase was a result of
the increase in revenues exceeding the increases in operating expenses,
management and supervision fees and allocated overhead from the General
Partners.
Interest expense increased $43,847, or approximately 11 percent, to
$426,687 for the three months ended September 30, 1995 from $382,840 for the
three months ended September 30, 1994. Interest expense increased $338,997, or
approximately 35 percent, to $1,306,981 for the nine months ended September 30,
1995 from $967,984 for the nine months ended September 30, 1994. These
increases in interest expense are due to higher effective interest rates on
interest bearing obligations between the periods.
Net loss decreased $598,104, or approximately 75 percent, to $197,642
for the three month period ended September 30, 1995 from $795,746 for the three
month periods ended September 30, 1994. Net loss decreased $716,379, or
approximately 33 percent, to $1,438,501 for the nine month period ended
September 30, 1995 from $2,154,880 for the nine months ended September 30,
1994. These losses were due to the factors discussed above and are expected to
continue in the future.
10
<PAGE> 11
PART II - OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K.
a) Exhibits
27) Financial Data Schedule
b) Reports on Form 8-K
None
11
<PAGE> 12
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.
IDS/JONES GROWTH PARTNERS 87-A, LTD.
BY: JONES CABLE CORPORATION
Managing General Partner
By: /S/ Kevin P. Coyle
-----------------------------------
Kevin P. Coyle
Group Vice President/Finance
(Principal Financial Officer)
Dated: November 14, 1995
12
<PAGE> 13
EXHIBIT INDEX
<TABLE>
<CAPTION>
EXHIBIT
NUMBER EXHIBIT DESCRIPTION PAGE
- ------ ------------------- ----
<S> <C> <C>
27 Financial Data Schedule
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-START> JAN-01-1995
<PERIOD-END> SEP-30-1995
<CASH> 353,590
<SECURITIES> 0
<RECEIVABLES> 489,527
<ALLOWANCES> (21,516)
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 34,561,831
<DEPRECIATION> (14,576,902)
<TOTAL-ASSETS> 35,962,322
<CURRENT-LIABILITIES> 1,002,268
<BONDS> 23,145,265
<COMMON> 0
0
0
<OTHER-SE> 11,814,789
<TOTAL-LIABILITY-AND-EQUITY> 35,962,322
<SALES> 0
<TOTAL-REVENUES> 10,689,958
<CGS> 0
<TOTAL-COSTS> 10,824,134
<OTHER-EXPENSES> (2,656)
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 1,306,981
<INCOME-PRETAX> (1,438,501)
<INCOME-TAX> 0
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</TABLE>
