UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-Q
Quarterly Report Under Section 13
or 15 (d) of the Securities
Exchange Act of 1934
------------------------------------
For the Quarter Ended
June 30, 1996 Commission File Number 0-21260
- --------------------- -------------------------------
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
(Exact name of Registrant as specified in its charter)
Delaware 36-3763539
- -------------------- ---------------------------
State or other IRS Employer Identification
jurisdiction of Number
incorporation or
organization
1300 E. Woodfield Road, Suite 312 Schaumburg, Illinois 60173
- --------------------------------- --------------------------
Address of principal City, State, Zip Code
executive offices
Registrant's telephone number: (847) 240-6200
----------------------------
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.
(1) Yes x No
---- ----
(2) Yes x No
---- ----
<PAGE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
FORM 10-Q
---------
FOR THE QUARTER ENDED JUNE 30, 1996
-----------------------------------
PART I - FINANCIAL INFORMATION
Item 1.
- -------
Index to Financial Statements
Balance Sheets
June 30, 1996 (unaudited)
December 31, 1995
Statements of Revenue and Expenses (unaudited)
For the three months ended June 30, 1996
For the three months ended June 30, 1995
For the six months ended June 30, 1996
For the six months ended June 30, 1995
Statements of Changes in Partners' Equity
For the six months ended June 30, 1996
(unaudited)
Statements of Cash Flows (unaudited)
For the six months ended June 30, 1996
For the six months ended June 30, 1995
Notes to Financial Statements
Item 2.
- -------
Management's Discussion and Analysis of
Financial Condition and Results of Operations
PART II - OTHER INFORMATION
Items 1-6.
- ----------
<PAGE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
BALANCE SHEETS
--------------
June 30, 1996 - Unaudited
--------------------------
Liquidating Continuing
Limited Limited
Partners Partners Total
----------- ---------- ----------
ASSETS
- ------
Cash and cash equivalents $106,963 $1,320,763 $1,427,726
Installment contract
receivable, net 53,752 741,396 795,148
Net investment in direct
financing leases 47,101 3,646,901 3,694,002
Diverted and other assets,
net 15,325 211,382 226,707
Organization costs, net of
accumulated amortization 11,690 161,242 172,932
Acquisition costs, net of
accumulated amortization 11,743 161,964 173,707
-------- ---------- ----------
$246,574 $6,243,648 $6,490,222
======== ========== ==========
LIABILITIES AND PARTNERS' EQUITY
- --------------------------------
Accounts payable and
accrued expenses $ 600 $ 40,114 $ 40,714
Lessee rental deposits 5,158 73,569 78,727
Due to management company 23 1,843 1,866
-------- ---------- ----------
Total liabilities 5,781 115,526 121,307
-------- ---------- ----------
Total partners' equity 240,793 6,128,122 6,368,915
-------- ---------- ----------
$246,574 $6,243,648 $6,490,222
======== ========== ==========
See accompanying notes to financial statements.
<PAGE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
BALANCE SHEETS
--------------
December 31, 1995
-----------------
Liquidating Continuing
Limited Limited
Partners Partners Total
----------- ---------- ----------
ASSETS
- ------
Cash and cash equivalents $253,297 $2,470,149 $2,723,446
Installment contract
receivable, net 70,792 976,434 1,047,226
Net investment in direct
financing leases 122,399 4,547,783 4,670,182
Diverted and other assets,
net 15,325 211,382 226,707
Organization costs, net of
accumulated amortization 18,066 249,193 267,259
Acquisition costs, net of
accumulated amortization 18,148 250,308 268,456
-------- ---------- ----------
$498,027 $8,705,249 $9,203,276
======== ========== ==========
LIABILITIES AND PARTNERS' EQUITY
- --------------------------------
Accounts payable and
accrued expenses $ 2,975 $ 75,779 $ 78,754
Lessee rental deposits 5,675 80,762 86,437
Due to management company 8 25,908 25,916
-------- ---------- ----------
Total liabilities 8,658 182,449 191,107
Total partners' equity 489,369 8,522,800 9,012,169
-------- ---------- ----------
$498,027 $8,705,249 $9,203,276
======== ========== ==========
See accompanying notes to financial statements.
<PAGE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
STATEMENTS OF REVENUE AND EXPENSES
----------------------------------
For the three months ended June 30, 1996
----------------------------------------
(Unaudited)
Liquidating Continuing
Limited Limited
Partners Partners Total
----------- ---------- ----------
Revenue:
Lease income (Note 5) $ 24,188 $ 433,364 $457,552
Interest income 3,034 47,560 50,594
-------- --------- --------
27,222 480,924 508,146
-------- --------- --------
Expenses:
Amortization of
organization and
equipment acquisition
costs 6,390 88,148 94,538
Management fees-New Era 12,332 239,829 252,161
General Partner's expense
reimbursement credit
(Note 5) (890) (12,268) (13,158)
Professional fees 3,123 43,457 46,580
Other operating expenses 169 2,967 3,136
-------- --------- --------
21,124 362,133 383,257
-------- --------- --------
Net earnings $ 6,098 $ 118,791 $124,889
======== ========= ========
Net earnings -
General Partner $ 61 $ 1,189 $ 1,250
======== ========= ========
Net earnings -
Limited Partners $ 6,037 $ 117,602 $123,639
======== ========= ========
Net earnings per Limited
Partnership Unit $1.18 $ 1.67
===== ======
Weighted average number
of Limited Partnership
Units outstanding 5,100 70,396
===== ======
See accompanying notes to financial statements.
<PAGE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
--------------------------------------
STATEMENTS OF REVENUE AND EXPENSES
----------------------------------
For the three months ended June 30, 1995
----------------------------------------
(Unaudited)
Liquidating Continuing
Limited Limited
Partners Partners Total
----------- ---------- ----------
Revenue:
Lease income $ 12,555 $314,283 $326,838
Interest income 6,523 90,096 96,619
-------- -------- --------
19,078 404,379 423,457
-------- -------- --------
Expenses:
Amortization of
organization and
equipment acquisition
costs 6,390 88,148 94,538
Management fees-New Era 14,146 254,016 268,162
General Partner's
expense reimbursement 3,569 49,233 52,802
Professional fees 6,471 89,334 95,805
Other operating expenses 337 8,044 8,381
-------- -------- --------
30,913 488,775 519,688
-------- -------- --------
Net loss $(11,835) $(84,396) $(96,231)
======== ======== ========
Net loss -
General Partner $ (118) $ (844) $ (962)
======== ======== ========
Net loss -
Limited Partners $(11,717) $(83,552) $(95,269)
======== ======== ========
Net loss per Limited
Partnership Unit $(2.30) $(1.19)
====== ======
Weighted average number
of Limited Partnership
Units outstanding 5,100 70,396
====== ======
See accompanying notes to financial statements.
<PAGE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
STATEMENTS OF REVENUE AND EXPENSES
----------------------------------
For the six months ended June 30, 1996
--------------------------------------
(Unaudited)
Liquidating Continuing
Limited Limited
Partners Partners Total
----------- ---------- ----------
Revenue:
Lease income (Note 5) $ 29,798 $ 612,665 $ 642,463
Interest income 8,271 123,774 132,045
-------- --------- ---------
38,069 736,439 774,508
-------- --------- ---------
Expenses:
Amortization of
organization and
equipment acquisition
costs 12,781 176,295 189,076
Management fees-New Era 25,674 610,027 635,701
General Partner's
expense reimbursement
(Note 5) 6,793 93,702 100,495
Professional fees 7,865 109,957 117,822
Other operating expenses 867 19,959 20,826
-------- --------- ---------
53,980 1,009,940 1,063,920
-------- --------- ---------
Net loss $(15,911) $ (273,501) $(289,412)
======== ========== =========
Net loss - General Partner $ (159) $ (2,735) $ (2,894)
======== ========== =========
Net loss - Limited Partners $(15,752) $ (270,766) $(286,518)
======== ========== =========
Net loss per Limited
Partnership Unit $(3.09) $(3.85)
====== ======
Weighted average number
of Limited Partnership
Units outstanding 5,100 70,396
====== ======
See accompanying notes to financial statements.
<PAGE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
STATEMENTS OF REVENUE AND EXPENSES
----------------------------------
For the six months ended June 30, 1995
--------------------------------------
(Unaudited)
Liquidating Continuing
Limited Limited
Partners Partners Total
----------- ---------- ----------
Revenue:
Lease income $ 29,027 $ 661,789 $ 690,816
Interest income 11,205 154,645 165,850
-------- ---------- ---------
40,232 816,434 856,666
-------- ---------- ---------
Expenses:
Amortization of
organization and
equipment acquisition
costs 12,781 176,295 189,076
Management fees-New Era 30,793 619,343 650,136
General Partner's
expense reimbursement 10,657 146,997 157,654
Professional fees 11,699 161,450 173,149
Other operating expenses 669 14,155 14,824
Credit for losses on
installment contracts
receivable (6,084) (83,916) (90,000)
-------- ---------- ---------
60,515 1,034,324 1,094,839
-------- ---------- ---------
Net loss $(20,283) $ (217,890) $(238,173)
======== ========== =========
Net loss -
General Partner $ (203) $ (2,179) $ (2,382)
======== ========== =========
Net loss -
Limited Partners $(20,080) $ (215,711) $(235,791)
======== ========== =========
Net loss per Limited
Partnership Unit $(3.94) $(3.06)
====== ======
Weighted average number
of Limited Partnership
Units outstanding $5,100 70,396
====== ======
See accompanying notes to financial statements.
<PAGE>
<TABLE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
STATEMENT OF CHANGES IN PARTNERS' EQUITY
----------------------------------------
(Unaudited)
<CAPTION>
Liquidating Continuing
General Limited Limited Total
Partner's Partners' Partners' Partners'
Equity Equity Equity Equity
------------ ------------ ----------- -----------
<S> <C> <C> <C> <C>
Balance, December 31, 1995 $(278,256)* $504,666 $ 8,785,759 $9,012,169
Distributions to partners (Note 3) (16,750) (231,999) (2,105,093) (2,353,842)
Net loss (2,894) (15,752) (270,766) (289,412)
Allocation of General
Partner's equity 297,900 (16,122) (281,778) -
--------- -------- ----------- ----------
Balance, June 30, 1996 $ - $240,793 $ 6,128,122 $6,368,915
========= ======== =========== ==========
<FN>
* Balance as previously reported was $0 due to allocation of $15,297 and $262,959 to
Liquidating and Continuing Limited Partners' Equity, respectively.
<FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
STATEMENTS OF CASH FLOWS
------------------------
For the six months ended June 30, 1996
--------------------------------------
(Unaudited)
<CAPTION>
Liquidating Continuing
Limited Limited
Partners Partners Total
<S> <C> <C> <C>
Cash flows from operating activities:
Net loss $ (15,911) $ (273,501) $ (289,412)
Adjustments to reconcile net loss
to net cash used in operating
activities:
Amortization expense 12,781 176,295 189,076
Changes in assets and liabilities:
Accounts payable and accrued
expenses (2,375) (35,665) (38,040)
Lessee rental deposits (517) (7,193) (7,710)
Due to management company 15 (24,065) (24,050)
--------- ------------ ----------
(6,007) (164,129) (170,136)
--------- ------------ ----------
Cash flows from investing activities:
Purchases of lease receivables - (1,375,398) (1,375,398)
Principal collections on lease 72,893 1,696,030 1,768,923
Sale of leases (Note 4) 2,405 580,250 582,655
Principal collections on
installment contract receivable 17,040 235,038 252,078
--------- ------------ ----------
92,338 1,135,920 1,228,258
--------- ------------ ----------
Cash flows from financing activities:
Distributions to Limited Partners (a) (231,999) (2,105,093) (2,337,092)
Distributions to General Partner (666) (16,084) (16,750)
--------- ------------ ----------
(232,665) (2,121,177) (2,353,842)
--------- ------------ ----------
Net decrease in cash and
cash equivalents (146,334) (1,149,386) (1,295,720)
Cash and cash equivalents:
Beginning of year 253,297 2,470,149 2,723,446
--------- ------------ ----------
End of second quarter $ 106,963 $1,320,763 $1,427,726
========= ============ ==========
<FN>
(a) Distributions during the period were $45.49 per unit for Liquidating Limited Partners and $29.90
per unit for Continuing Limited Partners.
<FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
---------------------------------------
STATEMENTS OF CASH FLOWS
------------------------
For the six months ended June 30, 1995
--------------------------------------
(Unaudited)
<CAPTION>
Liquidating Continuing
Limited Limited
Partners Partners Total
----------- ------------- ------------
<S> <C> <C> <C>
Cash flows from operating activities:
Net loss $ (20,283) $ (217,890) $ (238,173)
Adjustments to reconcile net loss
to net cash used in operating
activities:
Amortization expense 12,781 176,295 189,076
Credit for losses on installment
contracts receivable (6,084) (83,916) (90,000)
Changes in assets and liabilities:
Accounts payable and accrued
expenses (1,695) (25,632) (27,327)
Lessee rental deposits 275 6,693 6,968
Due to management company 45 7,851 7,896
----------- ------------ -----------
(14,961) (136,599) (151,560)
----------- ------------ -----------
Cash flows from investing activities:
Purchases of lease receivables - (2,339,116) (2,339,116)
Principal collections on leases 133,519 2,427,220 2,560,739
Sale of leases (Note 4) 48,452 897,772 946,224
Distribution of diverted and other assets 5,622 77,541 83,163
Distribution of Datronic assets 2,710 37,377 40,087
Principal collections on
installment contracts receivable 21,545 297,172 318,717
Repayments of commercial lease paper 2,730 37,653 40,383
----------- ------------ -----------
214,578 1,435,619 1,650,197
----------- ------------ -----------
Cash flows from financing activities:
Distributions to Limited Partners (a) (157,006) (2,105,778) (2,262,784)
Distributions to General Partner (2,421) (45,028) (47,449)
----------- ------------ -----------
(159,427) (2,150,806) (2,310,233)
----------- ------------ -----------
Net increase (decrease) in cash
and cash equivalents 40,190 (851,786) (811,596)
Cash and cash equivalents:
Beginning of year 222,562 2,063,899 2,286,461
----------- ------------ -----------
End of second quarter $ 262,752 $ 1,212,113 $ 1,474,865
=========== =========== ===========
<FN>
(a)Distributions during the period were $30.79 per unit for Liquidating Limited Partners and $29.91
per unit for Continuing Limited Partners.
<FN>
See accompanying notes to financial statements.
</TABLE>
<PAGE>
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
--------------------------------------
NOTES TO FINANCIAL STATEMENTS
-----------------------------
June 30, 1996
-------------
(Unaudited)
NOTE 1 - ORGANIZATION:
- ----------------------
Datronic Equipment Income Fund XX, L.P., a Delaware Limited
Partnership (the "Partnership"), was formed on April 30, 1991 for
the purpose of acquiring and leasing both high- and low-technology
equipment. The offering of limited partnership units terminated on
May 1, 1992. Reference is made to Notes 4, 5, 6 and 7 to the
Partnership's financial statements included in the 1995 Form 10-K
for a discussion of the alleged diversion of Partnership assets in
1991 and 1992 and the subsequent litigation and settlement, change
in general partner, new classes of limited partners established and
amendments to the Partnership Agreement which occurred.
NOTE 2 - BASIS OF FINANCIAL STATEMENTS:
- ---------------------------------------
The accompanying financial statements should be read in conjunction
with the Partnership's financial statements included in the 1995
Form 10-K. The financial information furnished herein is unaudited
but in the opinion of Management includes all adjustments necessary
(all of which are normal recurring adjustments) for a fair
presentation of financial condition and results of operations. See
Note 3 to the Partnership's financial statements included in the
1995 Form 10-K.
NOTE 3 - LIMITED PARTNERSHIP DISTRIBUTIONS:
- -------------------------------------------
Distributions to Liquidating Limited Partners were suspended after
payment of the July 1, 1996 distribution and distributions to
Continuing Limited Partners were reduced from 12% annually to an
annual rate of 6% effective after the July 1, 1996 distribution.
NOTE 4 - LEASE PORTFOLIO SALES:
- -------------------------------
During the six months ended June 30, 1996, the Partnership and
Datronic Equipment Income Fund XIX, L.P. each entered into separate
lease purchase agreements with Linc Anthem Corporation to sell
equipment leases at a discount rate of 11.75% which resulted in
aggregate net proceeds of approximately $1.5 million. The
Partnership's proceeds were approximately $583,000. Of this
amount, approximately $580,000 was allocable to Continuing Limited
Partners of which, approximately $410,000 has been invested in new
leases.
During the six months ended June 30, 1995, the Partnership,
Datronic Equipment Income Fund XVIII, L.P., Datronic Equipment
Income Fund XIX, L.P., and Datronic Finance Income Fund I, L.P.
each entered into separate lease purchase agreements with Southern
Pacific Thrift & Loan Association to sell equipment leases at
discount rates ranging from 10.75% to 11.75% which resulted in
aggregate net proceeds of approximately $4.8 million. The
Partnership's proceeds were approximately $946,000. Of this
amount, approximately $898,000 was allocable to Continuing Limited
Partners and invested in new leases.
NOTE 5 - PCR TRANSACTIONS:
- --------------------------
During the second quarter of 1996 the Partnership received $352,225
of cash in full and complete satisfaction of a certain master
sublease agreement with PCR further described in Note 11 to the
Partnership's financial statements included in the 1995 Form 10-K.
Included in lease income is $288,530 related to the payoff of the
PCR sublease comprised of previously unrecognized lease income of
$261,137 and the recognition of previously unearned lease income of
$27,393.
The Partnership also received during the second quarter of 1996,
$83,507 of cash representing the Partnership's share of remittances
received by LRC in full and complete satisfaction of certain note
obligations issued by PCR in connection with the sale of PCR stock
as further described in Note 12 to the Partnership's financial
statements included in the 1995 Form 10-K. A gain on the sale of
PCR stock of $19,018 has been included in lease income.
Further, during the second quarter of 1996 LRC received $69,492
representing the Partnership's share of cash remittances from PCR
in full and complete satisfaction of a management and consulting
contract entered into in connection with the sale of PCR stock as
further described in Note 12 to the Partnership's financial
statements included in the 1995 Form 10-K. The amount has been
recorded as a reduction of the General Partner's expense
reimbursement and a due from General Partner in the second quarter.
The due from General Partner will be used to offset future expenses
which would otherwise be payable by the Partnership.
<PAGE>
PART I
- ------
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
- -----------------------------------------------------------
The following discussion and analysis of liquidity and capital
resources covers material changes in the Partnership's financial
condition from December 31, 1995 through June 30, 1996. The
discussion and analysis of results of operations is for the three
and six month periods ended June 30, 1996 as compared to the
corresponding periods in 1995.
Financial Condition, Liquidity and Capital Resources
- ----------------------------------------------------
During the six months ended June 30, 1996, Partnership assets
continued to be converted to cash in order to pay Partnership
operating expenses, acquire new leases for the Continuing Limited
Partners and make distributions to Limited Partners and the General
Partner.
Installment contract receivable decreased approximately $252,000
during the six months ended June 30, 1996 due to scheduled
principal collections.
Net investment in direct financing leases decreased approximately
$976,000 during the six months ended June 30, 1996. This decrease
is primarily attributable to principal collections of approximately
$1,769,000 and sales of leases of approximately $583,000 (see Note
4 to the financial statements included in Item 1) partially offset
by investments in new leases for the Continuing Limited Partners of
approximately $1,375,000.
In the aggregate, partners' equity decreased approximately $2.6
million during the six months ended June 30, 1996 due to a net loss
of approximately $289,000 and distributions to partners of
approximately $2,354,000.
During the six months ended June 30, 1996, the Partnership's
operating activities resulted in an approximate use of $170,000 of
cash. This was due principally to a net loss of approximately
$289,000, a decrease in accounts payable and accrued expenses of
approximately $38,000 and a decrease in due to management company
of approximately $24,000 partially offset by a non-cash
amortization expense of approximately $189,000. During the period,
cash flows from investing activities aggregated approximately
$1,228,000 relating primarily to principal collections on leases of
approximately $1,769,000 and sales of leases of approximately
$583,000, net of purchases of lease receivables for the benefit of
the Continuing Limited Partners of approximately $1,375,000. Cash
flows used for financing activities of approximately $2,354,000,
consisted of distributions to Limited Partners of approximately
$2,337,000 and to the General Partner of approximately $17,000.
The Partnership's principal sources of liquidity on both a
long-term and short-term basis are cash on hand and receipts from
leases and an installment contract receivable. In addition, the
Partnership's sources of liquidity on a long-term basis are
expected to include proceeds from the sale of diverted and other
assets and, possibly, portions of the Partnership's lease portfolio
which may be sold in bulk. Management believes that its sources of
liquidity in the short and long-term are sufficient to meet its
operating cash obligations. Distributions to the Liquidating
Limited Partners were suspended after payment of the July 1, 1996
distribution and distributions to Continuing Limited Partners were
reduced from 12% annually to an annual rate of 6% effective after
the July 1, 1996 distribution. Distributions to Liquidating
Limited Partners were suspended and distributions to Continuing
Limited Partners were reduced to ensure that sufficient cash will
be available to pursue recoveries under pending litigation with the
Partnership's former accountants and others and to liquidate the
Partnership in an orderly manner.
The provisions of the Amended Partnership Agreement require the
Partnership to enter its liquidating phase if the full Target
Distributions are not met for four consecutive calendar quarters.
In addition, lease reinvestment activity is prohibited during the
liquidating phase and in any period in which full Target
Distributions have not been paid.
The continued operation and eventual liquidation of the Partnership
involves numerous complex issues which have to be resolved. These
issues relate to the timing and realizability of lease-related
assets, diverted and other assets, Datronic assets, litigation and
the liquidation of the other Datronic Partnerships (see Notes 4, 5
and 8 to the financial statements included in the 1995 Form 10-K).
These issues make it difficult to predict the time and costs
necessary to operate and liquidate the Partnership in an orderly
manner. As a result of these uncertainties, it is not possible to
predict the timing and availability of cash for future
distributions to Limited Partners. However, it is likely that the
amount of future distributions to the Limited Partners will
ultimately be significantly less than the amount of Partner's
Equity reflected in the June 30, 1996 Balance Sheets (see financial
statement included in Item 1).
Results of Operations
- ---------------------
Lease income increased approximately $131,000 and decreased
approximately $48,000 for the three and six months ended June 30,
1996 as compared to the corresponding periods in 1995. The
increase for the three month period is primarily due to
approximately $308,000 of income resulting from transactions with
PCR recorded in the second quarter of 1996 (see Note 5 of the
financial statements included in Item 1) partially offset by a
decline in the lease portfolios. The decrease in the six month
period is primarily due to the decline in the lease portfolios
partially offset by the $308,000 of income resulting from PCR
transactions mentioned above.
Interest income decreased approximately $46,000 and $34,000 for the
three and six months ended June 30, 1996 as compared to the
corresponding periods in 1995. The decreases are primarily due to
the recognition in the second quarter of 1995 of previously
deferred income related to an installment contract receivable which
had not been deemed collectible as well as an overall decline in
the installment contract receivable balance.
Management fees-New Era represent amounts paid New Era for managing
the Partnership on a day-to-day basis and for acquiring leases for
the Continuing Limited Partners. These fees amounted to
approximately $252,000 and $636,000, respectively, for the three
and six months ended June 30, 1996 as compared to $268,000 and
$650,000 for the same periods in 1995. See Note 7 to the
Partnership's financial statements included in the 1995 Form 10-K.
The General Partner's expense reimbursement represents the amount
paid to LRC in excess of LRC's 1% share of cash flow available for
distribution. Total amounts paid to LRC are primarily a function
of the amount of time LRC spends on the activities of the
Partnership and the timing of certain LRC expenses. Total amounts
charged by LRC for the three and six months ended June 30, 1996
were
approximately $13,000 (credit) and $117,000 ($13,000 (credit) and
$100,000, respectively, representing the General Partner's expense
reimbursement and zero and $17,000, respectively, representing
LRC's 1% of cash flow available for distribution) as compared to
approximately $68,000 and $205,000 ($52,000 and $158,000,
respectively, representing the General Partner's expense
reimbursement and $16,000 and $47,000, respectively, representing
LRC's 1% cash flow available for distribution) for the
corresponding periods ended June 30, 1995. The decreases are
primarily attributable to a credit of $69,000 recorded in the
second quarter of 1996 representing the Partnership's share of
certain remittances received by LRC from PCR as described in Note
5 to the financial statements in Item 1. See Note 6 to the
Partnership's financial statements included in the 1995 Form 10-K.
Professional Fees-decreased approximately $49,000 and $55,000 for
the three and six months ended June 30, 1996 as compared to the
corresponding periods in 1995 primarily due to decreased consulting
fees, legal fees related to collections and Partnership claims
against former accountants and others.
The 1995 credit for losses on installment contracts receivable is
due to a recovery of an installment contract receivable which had
previously been reserved 100%.<PAGE>
PART II - OTHER INFORMATION
- ---------------------------
ITEM 1. LEGAL PROCEEDINGS
- --------------------------
Reference is made to Item 3 - Legal Proceedings in the
Partnership's December 31, 1995 Form 10-K for a discussion of
material legal proceedings involving the Partnership.
Reference is made to Part II, Item 1 - Legal Proceedings in the
Partnership's March 31, 1996 Form 10-Q for a discussion of legal
proceedings involving claims against diverted and other assets.
ITEM 2. CHANGES IN SECURITIES
- ------------------------------
None.
ITEM 3.
- -------
Not applicable.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
- ------------------------------------------------------------
None.
ITEM 5. OTHER INFORMATION
- --------------------------
Not applicable.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
- -----------------------------------------
(a) Exhibits
- -------------
See Exhibit Index.
(b) Reports on Form 8-K
- ------------------------
None.
SIGNATURES
Pursuant to the requirements of the Securities Act of 1934, the
Registrant has duly caused this report to be signed on its behalf
by the undersigned thereunto duly authorized, on the 12th day of
August 1996.
DATRONIC EQUIPMENT INCOME FUND XX, L.P.
Registrant
By: DONALD D. TORISKY
Donald D. Torisky
Chairman and Chief Executive Officer
Lease Resolution Corporation
General Partner of
Datronic Equipment Income Fund XX, L.P.
By: DOUGLAS E. VAN SCOY
Douglas E. Van Scoy
Chief Financial Officer and Director
New Era Funding Corp.
Managing Agent of
Datronic Equipment Income Fund XX, L.P.
EXHIBIT INDEX
EXHIBIT NO. DESCRIPTION
27 Financial Data Schedule, which is
submitted electronically to the
Securities and Exchange Commission
for Information only and not
filed.
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the Balance
Sheet and the Statements of Revenue and Expenses and is qualifed in its entirety
by reference to such Report on Form 10-Q.
</LEGEND>
<CIK> 0000875272
<NAME> DATRONIC EQUIPMENT INCOME FUND XX, L.P.
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> JUN-30-1996
<CASH> 1,427,726
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 6,490,222
<CURRENT-LIABILITIES> 0
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 6,368,915
<TOTAL-LIABILITY-AND-EQUITY> 6,490,222
<SALES> 0
<TOTAL-REVENUES> 774,508
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 20,826
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (289,412)
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
