SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-Q
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15 (D) OF
THE SECURITIES EXCHANGE ACT OF 1934
FOR THE QUARTERLY PERIOD ENDED OCTOBER 31, 1998
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF
THE SECURITIES EXCHANGE ACT OF 1934
Commission File Number 0-21764
SUPREME INTERNATIONAL CORPORATION
(Exact Name of Registrant as Specified in its Charter)
FLORIDA 59-1162998
(State or other jurisdiction of (IRS Employer Identification
Incorporation or organization) Number)
3000 N.W. 107 AVENUE
MIAMI, FLORIDA 33172
(Address of principle executive offices) (Zip Code)
Registrant's telephone number, including area code: (305) 592-2830
Former name, former address and fiscal year, if changed since last report
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 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_______
The number of shares outstanding of the registrant's common stock is 6,712,374
(as of December 14, 1998).
<PAGE>
SUPREME INTERNATIONAL CORPORATION
INDEX
PART I: FINANCIAL INFORMATION
ITEM 1:
Consolidated Balance Sheets
as of October 31, 1998 (Unaudited) and January 31, 1998 1
Consolidated Statements of Operations (Unaudited)
for the three and nine months ended October 31, 1998
and October 31, 1997 2
Consolidated Statements of Cash Flows (Unaudited)
for the nine months ended October 31, 1998
and October 31, 1997 3
Notes to Consolidated Financial Statements 4
ITEM 2:
Management's Discussion and Analysis
of Financial Condition and Results of Operations 5
PART II: OTHER INFORMATION 10
Signature 11
<PAGE>
<TABLE>
<CAPTION>
SUPREME INTERNATIONAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
OCTOBER 31, 1998 JANUARY 31, 1998
---------------- ----------------
(UNAUDITED)
<S> <C> <C>
ASSETS
CURRENT ASSETS:
Cash $ 657,291 $ 1,010,256
Accounts receivable, Net 57,760,209 35,502,607
Inventories 34,871,805 35,799,388
Deferred income taxes 872,000 872,000
Other current assets 1,552,665 2,253,328
-------------- -----------------
Total current assets 95,713,970 75,437,579
PROPERTY AND EQUIPMENT, NET 7,719,297 4,899,656
INTANGIBLE ASSETS, NET 19,149,065 19,716,064
OTHER 1,004,175 1,313,747
-------------- -----------------
TOTAL $ 123,586,507 $ 101,367,046
============== =================
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $ 2,721,848 $ 4,048,325
Accrued expenses 2,592,470 1,692,225
Borrowings under credit facilities - 3,000,000
Other current liabilities 2,746,372 813,477
-------------- ----------------
Total current liabilities 8,060,690 9,554,027
LONG TERM DEBT
53,408,336 36,658,174
-------------- ----------------
Total liabilities 61,469,026 46,212,201
-------------- ----------------
STOCKHOLDERS' EQUITY:
Preferred stock - $.01 par value; 1,000,000
shares authorized; no shares issued or
outstanding
Common stock - $.01 par value; 15,000,000 67,123 65,556
shares authorized; 6,712,374 and 6,555,681
shares issued and outstanding as of
October 31, 1998 and January 31, 1998,
respectively
Additional paid-in-capital 28,055,203 27,598,618
Retained earnings 33,995,155 27,490,671
-------------- -----------------
Total stockholders' equity 62,117,481 55,154,845
-------------- -----------------
TOTAL $ 123,586,507 $ 101,367,046
============== =================
</TABLE>
See Notes to consolidated financial statements.
1
<PAGE>
<TABLE>
<CAPTION>
SUPREME INTERNATIONAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
THREE MONTHS ENDED NINE MONTHS ENDED
----------------------------- ----------------------------
OCTOBER 31, OCTOBER 31, OCTOBER 31, OCTOBER 31,
1998 1997 1998 1997
------------ --------------- ------------- -------------
<S> <C> <C> <C> <C>
REVENUES:
Net Sales $ 65,011,630 $ 54,550,062 $174,806,318 $145,427,880
Royalty Income 492,531 887,114 2,496,075 3,050,221
------------ ------------- ------------- -------------
TOTAL REVENUES 65,504,161 55,437,176 177,302,393 148,478,101
COST OF SALES 49,419,127 42,960,000 132,403,538 112,511,101
------------ ------------- ------------- -------------
GROSS PROFIT 16,085,034 12,477,176 44,898,855 35,967,000
SELLING, GENERAL AND
ADMINISTRATIVE EXPENSES 10,781,799 9,330,114 31,985,414 26,695,998
------------ ------------- ------------- -------------
OPERATING INCOME 5,303,235 3,147,062 12,913,441 9,271,002
INTEREST
EXPENSE 955,067 720,756 2,789,461 2,027,573
------------ ------------- ------------- -------------
INCOME BEFORE INCOME
TAX PROVISION 4,348,168 2,426,306 10,123,980 7,243,429
INCOME TAX PROVISION 1,536,256 15,000 3,619,496 1,857,945
------------ ------------- ------------- -------------
NET INCOME $ 2,811,912 $ 2,411,306 $ 6,504,484 $ 5,385,484
============ ============= ============= =============
NET INCOME PER SHARE:
BASIC $ 0.42 $ 0.37 $ 0.97 $ 0.82
DILUTED $ 0.42 $ 0.36 $ 0.96 $ 0.81
WEIGHTED AVERAGE NUMBER
OF SHARES OUTSTANDING:
BASIC 6,711,667 6,544,507 6,674,103 6,536,535
DILUTED 6,768,667 6,682,290 6,781,737 6,660,995
</TABLE>
See Notes to consolidated financial statements.
2
<PAGE>
<TABLE>
<CAPTION>
SUPREME INTERNATIONAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
NINE MONTHS ENDED
-------------------------------------
OCTOBER 31, OCTOBER 31,
1998 1997
-------------- -------------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 6,504,484 $ 5,385,484
Adjustments to reconcile net income to net cash
provided by (used in) operating activities:
Depreciation and amortization 1,518,575 1,230,204
Changes in operating assets and liabilities:
Accounts receivable, net ( 22,257,602) (17,142,568)
Inventories 927,583 653,257
Other current assets 700,662 (398,552)
Other assets 309,572 108,362
Accounts payable and accrued expenses (426,232) (1,882,926)
Other current liabilities 1,932,894 (205,627)
-------------- -------------
Net cash used in operating activities: (10,790,064) (12,252,366)
-------------- -------------
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment (3,532,354) (1,478,464)
Payment on purchase of intangible assets (238,861) 64,017
-------------- -------------
Net cash used in investing activities: (3,771,215) (1,414,447)
-------------- -------------
CASH FLOW FROM FINANCING ACTIVITIES:
Decrease in borrowings under credit facilities (3,000,000) (1,312,629)
Net proceeds from long-term debt 16,750,162 15,491,866
Proceeds from exercise of stock options 458,152 201,366
-------------- -------------
Net cash provided by
financing activities: 14,208,314 14,380,603
-------------- -------------
NET (DECREASE) INCREASE IN CASH (352,965) 713,790
CASH AT BEGINNING OF YEAR 1,010,256 755,798
-------------- -------------
CASH AT END OF PERIOD $ 657,291 $ 1,469,588
============== =============
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid during the period for:
Interest $ 2,644,741 $ 2,048,033
Income taxes $ 1,502,051 $ 2,599,184
</TABLE>
See Notes to consolidated financial statements
3
<PAGE>
SUPREME INTERNATIONAL CORPORATION AND SUBSIDIARIES
ITEM 1. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)
1. GENERAL
The accompanying unaudited consolidated financial statements have been prepared
in accordance with the instructions for Form 10-Q and therefore do not include
all information and footnotes necessary for a fair presentation of financial
position, results of operations and changes in cash flows in conformity with
generally accepted accounting principles. The unaudited consolidated financial
statements should be read in conjunction with the audited financial statements
and related notes included in the Registrant's Annual Report on Form 10-K for
the year ended January 31, 1998. In the opinion of management, the unaudited
consolidated financial statements contain all adjustments necessary for a fair
presentation of the interim periods presented and all adjustments are of a
normal and recurring nature. The results of operations for the three and nine
months ended October 31, 1998 are not necessarily indicative of the results
which may be expected for the entire fiscal year.
Certain amounts of the prior period have been reclassified to conform to the
current periods' presentation.
NEW ACCOUNTING PRONOUNCEMENTS
In June 1997, the Financial Accounting Standards Board issued Statement of
Financial Accounting Standards No. 131 ("SFAS No. 131"), DISCLOSURE ABOUT
SEGMENTS OF AN ENTERPRISE AND RELATED INFORMATION. SFAS No. 131 changes the way
public companies report information about segments of their business in their
annual financial statements and requires them to report selected segment
information in their quarterly reports issued to shareholders. SFAS No. 131 also
requires entity-wide disclosure about products and services an entity provides,
the foreign countries in which it holds assets and reports revenues, and its
major customers. SFAS No. 131 is effective for fiscal years beginning after
December 15, 1997, but is not required to be applied to interim financial
statements in the initial year of its application. The Company will adopt this
standard for the fiscal year ending January 31, 1999.
2. INVENTORIES
Inventories are stated at lower of cost or market on a first-in first-out basis
and consist of:
OCTOBER 31, JANUARY 31,
1998 1998
---------------- -----------------
(UNAUDITED)
Finished goods $ 32,981,107 $ 31,972,723
Raw materials and in process 382,614 1,204,841
Merchandise in transit 1,508,084 2,621,824
---------------- -----------------
Total $ 34,871,805 $ 35,799,388
================ =================
4
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3. LETTERS OF CREDIT FACILITIES
OCTOBER 31, JANUARY 31,
1998 1998
---------------- -----------------
(UNAUDITED)
Total letter of credit facilities $ 60,000,000 $ 60,000,000
Borrowings - (3,000,000)
Outstanding letters of credit (19,706,795) (26,673,016)
---------------- -----------------
Total Available $ 40,293,205 $ 30,326,984
================ =================
4. EARNINGS PER SHARE
In February 1997, the Financial Accounting Standards Board issued Statement of
Financial Accounting Standards No. 128 ("SFAS No. 128"), EARNINGS PER SHARE,
which changes the method of calculating earnings per share. SFAS No. 128
requires the presentation of "basic" net income per share and "diluted" net
income per share on the face of the income statement. Basic net income per share
is computed by dividing net income by the weighted average shares of outstanding
common stock. The calculations of diluted net income per share is similar to
basic earnings per share except that the denominator includes dilutive potential
common stock. The dilutive potential common stock included in the Company's
computation of diluted net income per share includes the effects of stock
options and warrants, as determined using the treasury stock method. SFAS No.
128 was effective for financial statements for periods ending after December 15,
1997. The Company adopted SFAS No. 128 in the fourth quarter of fiscal 1998 and
restated its net income per share for prior periods presented to give effect to
SFAS No. 128. The weighted average number of shares for stock options in the
diluted weighted average shares outstanding were 107,634 and 124,460 for the
nine months ended October 31, 1998 and 1997, respectively, and 57,000 and
137,783 for the three months ended October 31, 1998 and 1997, respectively.
5. STOCKHOLDERS' EQUITY
The following is a schedule of the activity in common stock and additional
paid-in capital:
COMMON STOCK ADDITIONAL
------------ ----------
SHARES AMOUNT PAID-IN CAPITAL
------ ------- ---------------
Balance, February 1, 1998 6,555,681 $ 65,556 $ 27,598,618
Exercise of stock options 156,693 1,567 456,585
----------- ------------- ----------------
Balance, October 31, 1998 6,712,374 $ 67,123 $ 28,055,203
=========== ============= ================
Item 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITON AND RESULTS
OF OPERATIONS
Supreme International Corporation (the "Company") cautions readers that certain
important factors may affect the Company's actual results and could cause such
results to differ materially from any forward-looking statements which may be
deemed to have been made in this report or which are otherwise made by or on
behalf of the Company.
5
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For this purpose, any statements contained in this report that are not
statements of historical fact may be deemed to be forward-looking statements.
Without limiting the generality of the foregoing, words such as "may", "will",
"expect", "believe", "anticipate", "intend", "could", "would", "estimate", or
"continue" or the negative other variations thereof or comparable terminology
are intended to identify forward-looking statements. Factors which may affect
the Company's results include, but are not limited to, risk related to fashion
trends; the retail industry; reliance on key customers; contract manufacturing;
foreign sourcing; imports and export restrictions; competition; seasonality;
rapid expansion of business; dependence on key personnel and other factors
discussed herein and in the Company's filings with the Securities and Exchange
Commission.
RESULTS OF OPERATIONS
THREE AND NINE MONTHS ENDED OCTOBER 31, 1998 AS COMPARED TO THREE AND NINE
MONTHS ENDED OCTOBER 31, 1997.
Revenue for the three and nine months ended October 31, 1998 increased $10.1
million, and $28.8 million, respectively, to $65.5 million and $177.3 million
from $55.4 million and $148.5 million, respectively. The increases in revenue
were principally the result of the growth in net sales.
Net sales for the three and nine months ended October 31, 1998 increased to
$65.0 million, or 19.2% and $174.8 million, or 20.2%, respectively, from $54.6
million and $145.4 million. The increase in both the three and nine month
periods continue to be reflected primarily in the sales growth of the
Munsingwear brand with a smaller increase in the Natural Issue brand. These
increases were slightly offset by declines in other Supreme branded products
and private label products from the year ago period. Net sales for the
Munsingwear label were approximately $16.9 million for the quarter compared with
approximately $8.6 million for the comparable period in 1997. For the nine month
period ended October 31, 1998 the Munsingwear brand accounted for approximately
$51.3 million of net sales as compared to $27.5 million in the same period a
year ago.
Within revenues, the Company also reported royalty income of $0.5 million for
the quarter ended October 31, 1998 as compared to $0.9 million for the same
period a year ago. For the nine months ended October 31, 1998 royalty income was
$2.5 million compared to $3.1 million for the same period a year ago. The
decrease of 45% and 18% in royalty income for the three and nine months ended
October 31, 1998 from the comparable periods in 1997, was primarily due to the
Company's relationship with a customer which shifted from primarily a license
basis to primarily a sales basis.
Cost of sales for the three and nine month periods ended October 31, 1998
increased $6.5 million, or 15.0% and $19.9 million, or 17.7% to $49.4 million
and $132.4 million, respectively, from $43.0 million and $112.5 million. As a
percentage of net sales, cost of sales decreased slightly to 76% for the three
months ended October 31, 1998 from 79% for the same period a year ago. For the
nine month period ended October 31, 1998, cost of sales as a percentage of net
sales decreased to 76% from 77% during the nine months ended October 31, 1997.
The decline in the cost of sales as a percentage of net sales is a
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combination of the Company's decision a year ago to downsize its "807"
operations and outsource its women's product lines via a licensing agreement
coupled with a shift in the Company's product mix to more branded products.
Gross profit was $16.1 million and $44.9 million for the three and nine months
ended October 31, 1998, respectively, as compared to $12.5 million and $36.0
million for the same period a year ago. The increases in gross profit continue
to reflect the improvement in cost of sales.
Selling, general and administrative expenses increased $1.5 million, or 15.6%
and $5.3 million, or 19.8% for the three and nine months ended October 31, 1998
to $10.8 million and $32.0 million from $9.3 million and $26.7 million,
respectively, from the year ago period. As a percentage of net sales, selling,
general and administrative expenses were 16.6 % and 18.3 % for the three and
nine months ended October 31, 1998, respectively, as compared to 17.1% and 18.4%
in the comparable period a year ago. The increase in selling, general and
administrative expenses for the nine months ended October 31, 1998 is primarily
attributable to (1) cost associated with our recent license acquisitions which
are expected to be offset by future revenue and (2) expenses associated with
temporary personnel required for shipments during October due to the Company's
closure during Hurricane Georges. Although the Company believes that it will
achieve greater efficiencies in its new corporate and warehouse facility during
the balance of the fiscal year ending January 31. 1999, it will continue to
incur expenses related to start up costs of acquired licenses, and its sweater
line, and the exploration of additional opportunities.
Interest expense increased $234,000 and $762,000 for the three and nine months
ended October 31, 1998, respectively, to $955,000 and $2.8 million from $721,000
and $2.0 million from October 31, 1997, respectively. The increase resulted from
additional indebtedness incurred to support the increase in receivables and
inventory which resulted from the sales growth. The average indebtedness during
the nine month period ended October 31, 1998 was $48.9 million and the average
interest rate was 7.6%.
Income before the income tax provision for the three and nine months ended
October 31, 1998 was $4.3 million and $10.1 million compared to $2.4 million and
$7.2 million during the comparable period a year ago. Net income for the three
and nine months ended October 31, 1998 was $2.8 million and $6.5 million,
respectively, as compared to $2.4 million and $5.4 million for the same period a
year ago. Basic net income per common share was computed using the basic
weighted shares outstanding of 6,711,667 and 6,544,507 for the three months
ended October 31, 1998 and 1997, respectively, and 6,674,103 and 6,536,535 for
the nine month period ended October 31, 1998 and 1997, respectively. Diluted net
income per common share was computed using the diluted weighted shares
outstanding of 6,768,667 and 6,682,290 for the three months ended October 31,
1998 and 1997, respectively, and 6,781,737 and 6,660,995 for the nine months
ended October 31, 1998 and 1997, respectively.
LIQUIDITY AND CAPITAL RESOURCES
The Company is a party to a revolving credit agreement expiring in April 2001
(the "Revolving Credit Agreement") with a group of banks giving it the right to
borrow $55 million or a portion thereof for its general corporate purposes.
Borrowings are limited under the terms of a borrowing base calculation which
generally restricts the outstanding balance to 85% of eligible receivables plus
50% of eligible inventories, as defined. For
7
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120 days beginning August 1, 1998, the Revolving Credit Agreement was amended to
increase the advance rate on inventories to 60% and to allow an additional $5
million in borrowings secured by intangible assets. Interest on borrowings is
variable, at the Company's option, based on LIBOR plus 1.25% or the bank's prime
rate. The Revolving Credit Agreement contains certain covenants, the most
restrictive of which requires the Company to maintain certain financial and net
worth ratios. In addition, the Agreement restricts the payment of dividends. The
Revolving Credit Agreement is secured by the Company's assets. The outstanding
balance under the Revolving Credit Agreements on October 31, 1998 was $53.4
million.
The Company also maintains three letters of credit facilities totaling $60.0
million. The letters of credit are secured by the consignment of merchandise in
transit under each letter of credit. Indebtedness under these facilities bears
interest at variable rates substantially equal to the lenders' specified base
lending rates minus 1.0% per annum. As of October 31, 1998, there was $40.3
million available under these facilities.
Cash decreased $0.4 million during the nine-month period ended October 31, 1998.
Such decrease reflects cash used in investing activities of $3.8 million
(primarily due to the purchase of property and equipment) and cash used in
operating activities of $10.8 million partially offset by cash provided by
financing activities of $14.2 million (due to increased borrowings of debt). The
net cash provided by operating activities primarily reflects net income of $6.5
million and depreciation and amortization of $1.5 million, partially offset by
cash used for operating assets and liabilities of $18.8 million. The cash used
for operating assets and liabilities of $18.8 million primarily reflects an
increase in receivables of $22.3 million partially offset by a decrease in
current and other assets of $1.9 million.
Working capital (current assets less current liabilities) was $87.7 million and
$65.9 million at October 31, 1998 and January 31, 1998, respectively. Such
amount represents an increase in working capital of $21.8 million from January
31, 1998 primarily as a result of an increase in account receivables due to the
sales growth. The current ratio (current assets divided by current liabilities)
was 11.9:1 and 7.9:1 at October 31, 1998 and January 31, 1998, respectively.
Management believes that the combination of borrowing availability under the
Revolving Credit Agreement, existing working capital and funds anticipated to be
generated from operating activities will be sufficient to meet the Company's
anticipated operating and capital needs in the foreseeable future.
YEAR 2000 READINESS DISCLOSURE
The Company has undertaken a study of its functional application systems to
determine their compliance with year 2000 issues and, to the extent of
noncompliance, the required remediation. As a result of such study, the Company
believes the majority of its systems are year 2000 compliant. However, certain
systems, which are significant to the Company, require remediation. The Company
currently estimates it will complete the required remediation, including
testing, by December 31, 1998. However, there are also less significant hardware
options which will be remediated during 1999. To date, the expenses incurred by
the Company in order to become year 2000 compliant, including
8
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computer software costs, have been $0.2 million and the current additional
estimated cost to complete such remediation is expected to be $0.2 million. Such
costs, other than software, have been and will continue to be expensed as
incurred.
An assessment of the readiness of year 2000 compliance of third party entities
with which the Company has relationships, such as its banking institutions,
customers, payroll processors and others is ongoing. The Company has inquired,
or is in the process of inquiring, of the significant aforementioned third party
entities as to their readiness with respect to year 2000 compliance and to date
has received indications that many of them are either compliant or in the
process of remediation. The Company will continue to monitor these third party
entities to determine the impact on the business of the Company and the actions
the Company must take, if any, in the event of non-compliance by any of these
third parties. The Company's initial assessment of compliance by third party is
that there is not a material business risk to the Company posed by any such
noncompliance and, as such, the Company has not yet developed any related
contingency plans.
EFFECTS OF INFLATION AND FOREIGN CURRENCY FLUCTUATIONS
The Company does not believe that inflation or foreign currency fluctuations
significantly affected its results of operations for the three or nine months
ended October 31, 1998 and 1997.
9
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PART II: OTHER INFORMATION
ITEM 1. Legal Proceedings
Not applicable
ITEM 2. Changes in Securities
Not applicable.
ITEM 3. Defaults Upon Senior Securities
Not applicable
ITEM 4. Submission of Matters to a Vote of Security Holders
ITEM 5. Other Information
Not applicable
ITEM 6. Exhibits and Reports on Form 8-K
(a) Exhibits
27.1 Financial Data Schedule (for SEC only)
(b) Reports on Form 8-K - None
10
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SIGNATURE
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: December 14, 1998 By: /S/ROSEMARY B. TRUDEAU
----------------------
Vice President of Finance
11
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EXHIBIT INDEX
EXHIBIT DESCRIPTION
- ------- -----------
27.1 Financial Data Schedule
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> JAN-31-1999
<PERIOD-START> FEB-01-1998
<PERIOD-END> OCT-31-1998
<CASH> 657,291
<SECURITIES> 0
<RECEIVABLES> 57,760,209
<ALLOWANCES> 0
<INVENTORY> 34,871,805
<CURRENT-ASSETS> 95,713,970
<PP&E> 7,719,297
<DEPRECIATION> 0
<TOTAL-ASSETS> 123,586,507
<CURRENT-LIABILITIES> 8,060,690
<BONDS> 0
0
0
<COMMON> 67,123
<OTHER-SE> 62,050,358
<TOTAL-LIABILITY-AND-EQUITY> 123,586,507
<SALES> 174,806,318
<TOTAL-REVENUES> 177,302,393
<CGS> 132,403,538
<TOTAL-COSTS> 132,403,538
<OTHER-EXPENSES> 31,985,414
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 2,789,461
<INCOME-PRETAX> 10,123,980
<INCOME-TAX> 3,619,496
<INCOME-CONTINUING> 6,504,484
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 6,504,484
<EPS-PRIMARY> 0.97
<EPS-DILUTED> 0.96
</TABLE>
