Form 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
|X| Quarterly Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934.
For the quarterly period ended September 30, 1996
|_| 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 000-21552
ATEL Cash Distribution Fund IV, L.P.
(Exact name of registrant as specified in its charter)
California 94-3145429
(State or other jurisdiction of (I. R. S. Employer
incorporation or organization) Identification No.)
235 Pine Street, 6th Floor, San Francisco, California 94104
(Address of principal executive offices)
Registrant's telephone number, including area code: (415)989-8800
Indicate by a 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 |_|
DOCUMENTS INCORPORATED BY REFERENCE
None
Page 1 of 16
<PAGE>
Part I FINANCIAL INFORMATION
Item 1. Financial Statements.
Page 2
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
BALANCE SHEETS
SEPTEMBER 30, 1996 AND DECEMBER 31, 1995
(Unaudited)
ASSETS
1996 1995
---- ----
Cash and cash equivalents $563,565 $1,355,258
Accounts receivable 610,284 682,207
Notes receivable 33,755 135,022
Investment in leases 55,850,615 63,967,204
---------------- -----------------
$57,058,219 $66,139,691
================ =================
LIABILITIES AND PARTNERS' CAPITAL
Non-recourse debt $22,216,345 $25,298,767
Lines of credit 1,000,000 -
Accounts payable:
General Partner 265,393 216,347
Equipment purchases - 42,227
Other 267,963 201,642
Accrued interest 116,390 123,629
Deposit due to lessee 126,318 984,213
Unearned operating lease income 289,918 413,106
---------------- -----------------
Total liabilities 24,282,327 27,279,931
Partners' capital:
General Partner 61,755 44,831
Limited Partners 32,714,137 38,814,929
---------------- -----------------
Total partners' capital 32,775,892 38,859,760
---------------- -----------------
$57,058,219 $66,139,691
================ =================
See accompanying notes.
Page 3
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
INCOME STATEMENTS
NINE AND THREE MONTH PERIODS ENDED
SEPTEMBER 30, 1996 AND 1995
(Unaudited)
<TABLE>
<CAPTION>
Nine Months Ended Three Months Ended
September 30, September 30,
Revenues: 1996 1995 1996 1995
Lease revenues:
<S> <C> <C> <C> <C>
Operating $7,853,459 $8,763,057 $2,665,750 $2,965,288
Direct financing 927,152 684,979 333,657 227,613
Leveraged 141,398 146,187 47,132 48,729
Gain on sales of assets 1,221,635 507,971 431,245 452,374
Other 9,285 3,104 6,684 823
Interest income 17,507 44,656 5,842 8,776
---------------- ----------------- ---------------- -----------------
10,170,436 10,149,954 3,490,310 3,703,603
Expenses:
Depreciation and amortization 5,992,865 6,522,581 1,945,759 2,211,022
Interest 1,389,409 1,432,634 402,743 514,790
Management fees 793,726 656,026 310,428 130,326
Administrative cost reimbursements 192,711 237,528 76,017 81,959
Professional fees 41,723 67,753 18,462 12,970
Provision for losses 102,796 100,290 36,000 36,838
Other 77,399 79,038 19,011 21,075
---------------- ----------------- ---------------- -----------------
8,590,629 9,095,850 2,808,420 3,008,980
---------------- ----------------- ---------------- -----------------
Income before extraordinary item 1,579,807 1,054,104 681,890 694,623
Extraordinary gain on early
extinguishment of debt 112,546 - 112,546 -
---------------- ----------------- ---------------- -----------------
Net income $1,692,353 $1,054,104 $794,436 $694,623
================ ================= ================ =================
Net income:
General Partner $16,924 $10,541 $7,944 $6,946
Limited Partners 1,675,429 1,043,563 786,492 687,677
---------------- ----------------- ---------------- -----------------
$1,692,353 $1,054,104 $794,436 $694,623
================ ================= ================ =================
Income before extraordinary item per
limited partnership unit $0.21 $0.14 $0.09 $0.09
Extraordinary gain on early
extinguishment of debt per limited
partnership unit 0.01 - 0.01 -
---------------- ----------------- ---------------- -----------------
Net income per Limited Partnership unit $0.22 $0.14 $0.10 $0.09
================ ================= ================ =================
Weighted average number of units
outstanding 7,487,350 7,492,550 7,487,850 7,493,883
================ ================= ================ =================
</TABLE>
See accompanying notes.
Page 4
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
STATEMENT OF CHANGES IN PARTNERS' CAPITAL
NINE MONTH PERIOD ENDED
SEPTEMBER 30, 1996
(Unaudited)
<TABLE>
<CAPTION>
Limited Partners General
Units Amount Partner Total
----- ------ ------- -----
<S> <C> <C> <C> <C>
Balance December 31, 1995 7,488,850 $38,814,929 $44,831 $38,859,760
Distributions to limited partners (7,773,292) - (7,773,292)
Repurchase of limited partnership units (1,500) (2,929) - (2,929)
Net income 1,675,429 16,924 1,692,353
---------------- ----------------- ---------------- -----------------
Balance September 30, 1996 7,487,350 $32,714,137 $61,755 $32,775,892
================ ================= ================ =================
</TABLE>
See accompanying notes.
Page 5
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
STATEMENTS OF CASH FLOWS
NINE AND THREE MONTH PERIODS ENDED
SEPTEMBER 30, 1996
(Unaudited)
<TABLE>
<CAPTION>
Nine Months Ended Three Months Ended
September 30, September 30,
1996 1995 1996 1995
---- ---- ---- ----
<S> <C> <C> <C> <C>
Operating activities:
Net income $1,692,353 $1,054,104 $794,436 $694,623
Adjustments to reconcile net income to
net cash provided by operations:
Depreciation and amortization 5,992,865 6,522,581 1,945,759 2,211,022
Leveraged lease income (141,398) (146,187) (47,132) (48,729)
Gain on sales of assets (1,221,635) (507,971) (431,245) (452,374)
Provision for losses 102,796 100,290 36,000 36,838
Extraordinary gain on early extinguishment of
non-recourse debt (112,546) - (112,546) -
Changes in operating assets and liabilities:
Accounts receivable 71,923 (181,033) (88,738) (201,619)
Accounts payable, General Partner 49,046 (995,630) 108,625 (129,120)
Accounts payable, other 66,321 22,528 153,115 (77,251)
Accrued interest (7,239) 16,837 (24,604) 26,319
Deposits due to lessees (857,895) - (86,871) -
Unearned operating lease income (123,188) (154,774) (27,743) (214,985)
---------------- ----------------- ---------------- -----------------
Net cash from operations 5,511,403 5,730,745 2,219,056 1,844,724
---------------- ----------------- ---------------- -----------------
Investing activities:
Purchase of equipment on operating leases (199,481) (7,764,150) 1,370,272 (439,312)
Purchase of equipment on direct financing leases (2,274,344) (1,068,937) (1,375,395) (452,630)
Purchase of residual value interests - (175,974) - -
Reduction of net investment in direct financing leases 2,183,351 1,541,829 463,883 525,878
Reduction of net investment in leveraged leases 16,725 397,764 3,718 4,462
Proceeds from sales of lease assets 3,615,483 2,244,191 1,463,263 1,845,427
Payments of initial direct costs to General Partner - (258,268) - (21,404)
Principal payments received on notes receivable 101,267 101,266 33,756 33,756
Initial direct costs paid to others - (64,940) - -
---------------- ----------------- ---------------- -----------------
Net cash (used in) provided by investing
activities 3,443,001 (4,982,279) 1,959,497 1,496,177
---------------- ----------------- ---------------- -----------------
</TABLE>
Page 6
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
STATEMENTS OF CASH FLOWS
(CONTINUED)
NINE AND THREE MONTH PERIODS ENDED
SEPTEMBER 30, 1996
(Unaudited)
<TABLE>
<CAPTION>
Nine Months Ended Three Months Ended
September 30, September 30,
1996 1995 1996 1995
---- ---- ---- ----
<S> <C> <C> <C> <C>
Financing activities:
Proceeds of non-recourse debt 2,847,801 7,851,380 2,847,801 7,851,380
Repayment of non-recourse debt (5,817,677) (4,815,053) (2,650,037) (3,167,088)
Borrowings under lines of credit 4,000,000 3,798,001 1,500,000 -
Repayments of lines of credit (3,000,000) (2,600,000) (3,000,000) (2,600,000)
Distributions to limited partners (7,773,292) (7,302,706) (2,623,777) (2,433,918)
Repurchase of units (2,929) (15,501) - -
Payment of syndication costs - (5,368) - -
---------------- ----------------- ---------------- -----------------
Net cash used in financing activities (9,746,097) (3,089,247) (3,926,013) (349,626)
---------------- ----------------- ---------------- -----------------
Net increase (decrease) in cash and cash
equivalents (791,693) (2,340,781) 252,540 2,991,275
Cash and cash equivalents at beginning of
period 1,355,258 7,152,081 311,025 1,820,025
---------------- ----------------- ---------------- -----------------
Cash and cash equivalents at end of period $563,565 $4,811,300 $563,565 $4,811,300
================ ================= ================ =================
Supplemental disclosures of cash flow information:
Cash paid for interest $1,396,648 $1,415,797 $427,347 $488,471
================ ================= ================ =================
Supplemental disclosure of non-cash transactions:
Gain on extinguishment of non-recourse debt $112,546 $112,546
================ ================
</TABLE>
See accompanying notes.
Page 7
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1996
(Unaudited)
1. Interim financial statements:
The unaudited interim financial statements reflect all adjustments which are, in
the opinion of the general partners, necessary to a fair statement of financial
position and results of operations for the interim periods presented. All such
adjustments are of a normal recurring nature. These unaudited interim financial
statements should be read in conjunction with the most recent report on Form
10K.
2. Investment in leases:
The Partnership's investment in leases consists of the following:
<TABLE>
<CAPTION>
Depreciation
Expense or Reclass-
December 31, Amortization ifications & September 30,
1995 Additions of Leases Dispositions 1996
---- --------- --------- ------------ ----
<S> <C> <C> <C> <C> <C>
Net investment in operating
leases $45,593,701 $157,254 ($5,564,936) ($4,079,923) $36,106,096
Net investment in direct
financing leases 11,948,261 2,274,344 (2,183,351) 835,994 12,875,248
Net investment in leveraged
leases 4,675,926 - 124,673 - 4,800,599
Equipment held for sale or lease - - (11,949) 305,955 294,006
Residual value interests 610,878 - - - 610,878
Initial direct costs, net of
accumulated amortization of
$1,318,238 in 1995 and
$1,460,180 in 1996 1,852,577 - (415,980) - 1,436,597
Reserve for losses (714,139) (102,796) - 544,126 (272,809)
------------------- ------------------ ----------------- ---------------- -----------------
$63,967,204 $2,328,802 ($8,051,543) ($2,393,848) $55,850,615
=================== ================== ================= ================ =================
</TABLE>
Page 8
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1996
(Unaudited)
2. Investment in lease assets (continued):
At September 30, 1995, equipment on operating leases consists of the following:
<TABLE>
<CAPTION>
Balance Balance
December 31, Acquisitions, Dispositions & Reclassifications September 30,
1995 1st Quarter 2nd Quarter 3rd Quarter 1996
---- ----------- ----------- ----------- ----
<S> <C> <C> <C> <C> <C>
Transportation $24,984,962 ($1,847,200) ($210,277) ($545,047) $22,382,438
Corporate aircraft 9,635,969 - - - 9,635,969
Printing 5,523,249 - - - 5,523,249
Construction equipment 4,985,297 - - - 4,985,297
Other 4,726,040 - - - 4,726,040
Mining 6,570,460 - (2,222,500) - 4,347,960
Materials handling 3,915,999 - - - 3,915,999
Ground support equipment 1,127,988 - - - 1,127,988
Data processing 694,308 157,254 - - 851,562
Manufacturing 1,587,670 - - (1,130,000) 457,670
Office equipment 216,080 - - - 216,080
Furniture and fixtures 2,353,608 - - (2,353,608) -
-------------------- ---------------- ----------------- ---------------- -----------------
66,321,630 (1,689,946) (2,432,777) (4,028,655) 58,170,252
Accumulated depreciation (20,727,929) (790,028) (218,066) (328,133) (22,064,156)
-------------------- ---------------- ----------------- ---------------- -----------------
$45,593,701 ($2,479,974) ($2,650,843) ($4,356,788) $36,106,096
==================== ================ ================= ================ =================
</TABLE>
All of the equipment on operating leases was acquired during 1992, 1993, 1994,
1995 and 1996.
At September 30, 1996, the aggregate amounts of future minimum lease payments
are as follows:
<TABLE>
<CAPTION>
Direct
Operating Financing Total
--------- --------- -----
<S> <C> <C> <C>
Three months ending December 31, 1996 $2,579,070 $1,092,317 $3,671,387
Year ending December 31, 1997 8,783,188 4,010,850 12,794,038
1998 6,993,866 3,536,444 10,530,310
1999 6,142,265 2,390,141 8,532,406
2000 2,547,270 1,410,221 3,957,491
Thereafter 3,790,590 1,256,433 5,047,023
---------------- ----------------- ----------------
$30,836,249 $13,696,406 $44,532,655
================ ================= ================
</TABLE>
Page 9
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1996
(Unaudited)
4. Non-recourse debt:
Notes payable to financial institutions are due in varying monthly, quarterly
and semi-annual installments of principal and interest. The notes are secured by
assignments of lease payments and pledges of the assets which were purchased
with the proceeds of the particular notes. Interest rates on the notes vary from
7.04% to 13.3%.
Future minimum principal payments of non-recourse debt as of September 30, 1996
are as follows:
<TABLE>
<CAPTION>
Principal Interest Total
--------- -------- -----
<S> <C> <C> <C>
Three months ending December 31, 1996 $1,765,4246 $443,276 $2,208,700
Year ending December 31, 1997 5,828,339 1,425,131 7,253,470
1998 5,167,306 992,328 6,159,634
1999 5,055,577 585,451 5,641,028
2000 2,324,358 276,272 2,600,630
Thereafter 2,075,341 160,506 2,235,847
---------------- ----------------- ----------------
$22,216,345 $3,882,964 $26,099,309
================ ================= ================
</TABLE>
5. Related party transactions:
The terms of the Agreement of Limited Partnership provide that the General
Partners and/or Affiliates are entitled to receive certain fees for equipment
acquisition, management and resale and for management of the Partnership.
The General Partners and/or Affiliates earned the following fees and
commissions, pursuant to the Agreement of Limited Partnership as follows:
1996 1995
---- ----
Incentive and equipment management fees $793,726 $656,026
Administrative cost reimbursements 192,711 237,528
---------------- -----------------
$986,437 $893,554
================ =================
Page 10
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1996
(Unaudited)
6. Partner's capital:
The Fund is authorized to issue up to 7,500,000 Units of Limited Partnership
interest in addition to the Initial Limited Partners.
The Fund's Net Profits, Net Losses and Tax Credits are to be allocated 99% to
the Limited Partners and 1% to the General Partner.
As more fully described in the Partnership Agreement, available Cash from
Operations and Cash from Sales or Refinancing shall be distributed as follows:
First, 5% of Distributions of Cash from Operations to the General Partner
as Incentive Management Fees.
Second, the balance to the Limited Partners until the Limited Partners have
received aggregate Distributions, as defined, in an amount equal to
their Original Invested Capital, as defined, plus a 10% per annum
cumulative (compounded daily) return on their Adjusted Invested
Capital, as defined.
Third,the General Partner will receive as Incentive Management Fees, the
following: (A) 10% of remaining Cash from Operations, as defined, (B)
15% of remaining Cash from Sales or Refinancing, as defined.
Fourth, the balance to the Limited Partners.
7. Line of credit:
The Partnership participates with the General Partner and certain of its
affiliates in a $70,000,000 revolving line of credit with a financial
institution. The line of credit expires on July 18, 1997.
The facility, when used by the Partnership, is collateralized by (i) leases and
equipment owned by the Partnership and financed by the lines and (ii) all other
assets owned by the Partnership except equipment, lease receipts and residual
values specifically pledged to other equipment funding sources.
Page 11
<PAGE>
ATEL CASH DISTRIBUTION FUND IV, L.P.
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 1996
(Unaudited)
8. Extraordinary gain on extinguishment of debt:
In January 1996, Barney's, Inc., one of the Partnership's lessees filed for
reorganization under Chapter 11 of the United States Bankruptcy Code. The
Partnership determined that the assets under an operating lease to this
particular lessee were impaired as of December 31, 1995. The Partnership
estimated that only a portion of the contractual cash flows would be received
under the lease. Under Financial Accounting Standards Board Statement No. 121
(FAS 121), the estimated cash flows were discounted at the effective rate of the
non-recourse debt related to the lease and the assets were written down to the
present value of those cash flows.
Assets and liabilities related to the lease transaction were as follows as of
December 31, 1995:
Assets at cost $2,353,608
Accumulated depreciation (900,255)
-----------------
Book value of lease assets 1,453,353
Deposits from lessee (86,870)
Non-recourse debt (1,212,302)
-----------------
Net assets included in the Partnership's balance sheet as of
December 31, 1995 before provision for impairment 154,181
Reserve for impairment (544,126)
-----------------
Excess of non-recourse debt over net assets ($389,945)
=================
On July 19, 1996, the assets subject to the lease were purchased by a third
party. As part of the purchase and transaction restructure, the related
non-recourse debt was extinguished by the lender and the Partnership received a
small amount of cash proceeds. The sale resulted in a gain on the sale of the
assets and a gain on the extinguishment of the related non-recourse debt. The
following summarizes this transaction:
Assets at cost $2,353,608
Accumulated depreciation at June 30, 1996 (1,100,312)
-----------------
Book value of lease assets at June 30, 1996 1,253,296
Reserve for impairment (544,126)
-----------------
Carrying value at June 30, 1996 709,170
Deposits from lessee retained by Partnership (86,870)
-----------------
Excess of carrying value over deposits from lessee 622,300
Gross sales proceeds 1,104,241
-----------------
Gain on sale of assets $481,941
=================
Non-recourse debt $1,212,302
Gross sales proceeds used to extinguish non-recourse debt (1,099,756)
-----------------
Extraordinary gain on extinguishment of debt $112,546
=================
Gross sales proceeds $1,104,241
Gross sales proceeds used to extinguish non-recourse debt (1,099,756)
-----------------
Net cash proceeds to Partnership $4,485
=================
Page 12
<PAGE>
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Capital Resources and Liquidity
The Partnership's primary source of liquidity during 1996 was lease revenues.
The liquidity of the Partnership will vary in the future, increasing to the
extent cash flows from leases exceed expenses, and decreasing as lease assets
are acquired, as distributions are made to the Limited Partners and to the
extent expenses exceed cash flows from leases.
The Partnership currently has available adequate reserves to meet contingencies,
but in the event those reserves were found to be inadequate, the Partnership
would likely be in a position to borrow against its current portfolio to meet
such requirements. The General Partner envisions no such requirements for
operating purposes.
As of September 30, 1996, the Partnership had borrowed approximately
$40,280,000, with a remaining unpaid balance of approximately $22,216,000.
Borrowings are to be non-recourse to the Partnership, that is, the only recourse
of the lender will be to the equipment or corresponding lease acquired or
secured with the loan proceeds. The General Partner expects that aggregate
borrowings in the future will be approximately 40% of aggregate equipment cost.
In any event, the Agreement of Limited Partnership limits such borrowings to 40%
of the total cost of equipment, in aggregate.
The Partnership participates with the General Partner and certain of its
affiliates in a $70,000,000 revolving line of credit with a financial
institution. The line of credit expires on July 18, 1997.
The facility, when used by the Partnership, is collateralized by (i) leases and
equipment owned by the Partnership and financed by the lines and (ii) all other
assets owned by the Partnership except equipment, lease receipts and residual
values specifically pledged to other equipment funding sources.
No commitments of capital have been or are expected to be made other than for
the acquisition of additional equipment. As of September 30, 1996, such
commitments totaled $80,000.
If inflation in the general economy becomes significant, it may affect the
Partnership inasmuch as the residual (resale) values and rates on re-leases of
the Partnership's leased assets may increase as the costs of similar assets
increase. However, the Partnership's revenues from existing leases would not
increase, as such rates are generally fixed for the terms of the leases without
adjustment for inflation.
If interest rates increase significantly, the lease rates that the Partnership
can obtain on future leases will be expected to increase as the cost of capital
is a significant factor in the pricing of lease financing. Leases already in
place, for the most part, would not be affected by changes in interest rates.
1996 vs. 1995:
Nine months:
During the first nine months of 1996, operating lease revenues were the primary
source of operating cash flows. Total lease revenues decreased by $672,214.
In 1996 and 1995, the proceeds from the sales of assets was the most significant
source cash flows from investing activities. Proceeds from asset sales and the
use of cash for asset acquisitions are not comparable to prior periods nor are
they expected to be comparable to future periods.
In 1996 and 1995, proceeds from non-recourse debt and borrowings under the line
of credit were the only sources of financing cash flows. The proceeds of debt
are used to purchase lease assets and as such, are not expected to be comparable
from one period to another. Cash used to repay non-recourse debt has increased
due to both scheduled and unscheduled debt reductions. (See discussion below
regarding the Barney's, Inc. lease transaction and the related extinguishment of
debt under the caption "Results of Operations".) Distributions to Limited
Partners have increased due to the higher per Unit distribution rate commencing
in February 1994.
Page 13
<PAGE>
Three months:
The primary source of cash from operations for the third quarter was lease
rents. Lease rents have decreased from the prior year due to asset sales during
the preceding twelve months.
The investing sources of cash in 1995 were the same as noted above for the nine
month period. Amounts of cash used for purchases of assets is not comparable nor
is it expected to be comparable from one period to another.
In 1996, proceeds from non-recourse debt and borrowings under the line of credit
were the Partnership's only financing sources of cash. In 1995, proceeds from
non-recourse debt was the only source of financing cash flows. As noted above
for the nine month period, these amounts are not expected to be comparable from
one period to another. Distributions to Limited Partners have increased for the
reasons noted above for the nine month period.
Results of Operations
Operations in 1996 resulted in net income of $1,692,353 for the nine month
period and $794,436 for the three month period. In 1995, operations resulted in
net income of $1,054,104 for the nine month period and $694,623 for the three
month period.
1996 vs. 1995:
Operating lease revenues have decreased due to sales of leased assets during the
last twelve months.
Effective January 1, 1996, the Partnership suspended the recognition of income
under its lease with Barney's, Inc. The non-recourse debt related to this
transaction was also put in a non-accrual status, that is, interest expense was
no longer accrued. In July 1996, the underlying assets were sold to an unrelated
third party and the related debt was extinguished as a part of the transaction.
The Partnership recorded a gain on the sale of the assets of $481,942. The sale
resulted in the debt being extinguished for less than its carrying amount,
resulting in an extraordinary gain of $112,546.
The non-accrual of lease revenues on the Barney's lease contributed $370,485 to
the decline in operating lease revenues over the nine month period ($123,495 for
the three month period).
Depreciation and amortization expenses are directly related to the amounts of
leased assets and have also decreased from 1995 to 1996. Management fees are
related to the amounts of lease revenues and distributions to Limited Partners.
In 1995, a larger part of the distributions were from sales proceeds, on which
no fees are currently paid. Other expenses have not changed significantly from
1995 to 1996 for the nine month period.
Page 14
<PAGE>
PART II OTHER INFORMATION
Item 1. LEGAL PROCEEDINGS.
Inapplicable.
Item 2. CHANGES IN SECURITIES.
Inapplicable.
Item 3. DEFAULTS UPON SENIOR SECURITIES.
Inapplicable.
Item 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY
HOLDERS.
Inapplicable.
Item 5. OTHER INFORMATION.
Inapplicable.
Item 6. EXHIBITS AND REPORTS ON FORM 8-K.
(a) Documents filed as a part of this report
1. Financial Statements
Included in Part I of this report:
Balance Sheets, September 30, 1996 and December
31, 1995.
Income statements for the nine and three month
periods ended September 30, 1996 and 1995.
Statement of changes in partners' equity for the
nine month period ended September 30, 1996.
Statements of cash flows for the nine and three
month periods ended September 30, 1996 and 1995.
Notes to the Financial Statements
2. Financial Statement Schedules
All other schedules for which provision is made
in the applicable accounting regulations of the
Securities and Exchange Commission are not
required under the related instructions or are
inapplicable, and therefore have been omitted.
(b) Report on Form 8-K
None
Page 15
<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 thereunto duly authorized.
Date:
November 11, 1996
ATEL CASH DISTRIBUTION FUND IV, L.P.
(Registrant)
By: ATEL Financial Corporation
General Partner of Registrant
By: /s/ A. J. BATT
-----------------------------------
A. J. Batt
President and Chief Executive Officer
of General Partner
By: /s/ DEAN L. CASH
-----------------------------------
Dean L. Cash
Executive Vice President
of General Partner
By: /s/ F. RANDALL BIGONY
---------------------------------------
F. Randall Bigony
Principal financial officer of
registrant
By: /s/ DONALD E. CARPENTER
---------------------------------------
Donald E. Carpenter
Principal accounting officer of
registrant
Page 16
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0
0
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