<PAGE> 1
- -------------------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
[x] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1997
OR
[ ] 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
----------------
TRANSTAR HOLDINGS, L.P.
TRANSTAR CAPITAL CORPORATION
(Exact name of registrant as specified in its charter)
DELAWARE 13-3486874
DELAWARE 13-3745313
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
345 PARK AVENUE
NEW YORK, NY 10154
(Address and zip code of principal executive offices)
(212) 935-2626
(Registrant's telephone number, including area code)
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
Transtar Holdings, L.P.
Transtar Capital Corporation
Form 10-Q
Quarterly Period Ended March 31, 1997
INDEX
<TABLE>
<CAPTION>
PAGE
----
<S> <C>
PART I - FINANCIAL INFORMATION
A. TRANSTAR HOLDINGS, L.P.
Consolidated Balance Sheet 3
Consolidated Statements of Income and Partners' Equity 4
Consolidated Statement of Cash Flows 5
Notes to Consolidated Financial Statements 6
Management's Discussion and Analysis of Financial
Condition and Results of Operations 8
B. TRANSTAR, INC.
Consolidated Balance Sheet 9
Consolidated Statements of Income and Retained Earnings 10
Consolidated Statement of Cash Flows 11
Notes to Consolidated Financial Statements 12
Management's Discussion and Analysis of Financial
Condition and Results of Operations 13
PART II - OTHER INFORMATION 15
SIGNATURE 16
</TABLE>
<PAGE> 3
PART I - FINANCIAL INFORMATION
A. TRANSTAR HOLDINGS, L.P.
TRANSTAR HOLDINGS, L.P.
CONSOLIDATED BALANCE SHEET
(UNAUDITED)
<TABLE>
<CAPTION>
March 31, December 31,
1997 1996
------------------ ------------------
(dollars in thousands)
<S> <C> <C>
ASSETS
Current assets:
Cash and cash equivalents $ 290 $ 386
Other current assets 242 329
------------------ ------------------
Total current assets 532 715
Restricted cash 39,623 44,579
Investment in Transtar 1,426 491
Other assets 4,921 5,105
------------------ ------------------
Total assets $ 46,502 $ 50,890
================== ==================
LIABILITIES
Current liabilities:
Accounts payable and other current liabilities $ 359 $ 729
Long-term debt 153,712 148,767
------------------ ------------------
Total liabilities 154,071 149,496
PARTNERS' EQUITY (DEFICIT) (107,569) (98,606)
------------------ ------------------
Total liabilities and partners' equity $ 46,502 $ 50,890
================== ==================
</TABLE>
The accompanying notes are an integral part of these
consolidated financial statements.
3
<PAGE> 4
TRANSTAR HOLDINGS, L.P.
CONSOLIDATED STATEMENT OF INCOME
(UNAUDITED)
<TABLE>
<CAPTION>
For the quarter ended
March 31,
-------------------------------------
1997 1996
--------------- --------------
(dollars in thousands)
<S> <C> <C>
Revenues $ - $ -
--------------- --------------
Operating expenses:
Selling, general and administrative expenses 114 130
--------------- --------------
Operating (loss) (114) (130)
Interest income 596 305
Interest and other financial expenses (5,130) (4,529)
--------------- --------------
(Loss) before equity in earnings of Transtar (4,648) (4,354)
Equity in earnings of Transtar 935 347
--------------- --------------
Net (loss) $ (3,713) $ (4,007)
=============== ==============
CONSOLIDATED STATEMENT OF PARTNERS' EQUITY
(UNAUDITED)
Partners' equity (deficit), beginning of period $ (98,606) $ (117,306)
Distribution to partners (5,250) (900)
Net (loss) (3,713) (4,007)
--------------- --------------
Partners' equity (deficit), end of period $ (107,569) $ (122,213)
=============== ==============
</TABLE>
The accompanying notes are an integral part of these
consolidated financial statements.
4
<PAGE> 5
TRANSTAR HOLDINGS, L.P.
CONSOLIDATED STATEMENT OF CASH FLOWS
(UNAUDITED)
<TABLE>
<CAPTION>
For the quarter ended
March 31,
------------------------------------------
1997 1996
--------------- ---------------
(dollars in thousands)
<S> <C> <C>
OPERATING ACTIVITIES:
Net (loss) $ (3,713) $ (4,007)
Adjustments to reconcile to net cash used
for operating activities:
Amortization 86 99
Non-cash interest and other financial expenses 5,130 4,529
Non-cash interest income (594) (303)
Equity in earnings of Transtar (935) (347)
Changes in:
Accounts payable (370) (203)
--------------- ---------------
Net cash used for operating activities (396) (232)
--------------- ---------------
INVESTING ACTIVITIES:
Net cash provided by investing activities -- --
--------------- ---------------
FINANCING ACTIVITIES:
Distribution to partners (5,250) (900)
Withdrawal from restricted cash 5,550 1,225
--------------- ---------------
Net cash provided by financing activities 300 325
--------------- ---------------
Increase (decrease) in cash and cash equivalents (96) 93
Cash and cash equivalents at beginning of period 386 95
--------------- ---------------
Cash and cash equivalents at end of period $ 290 $ 188
=============== ===============
</TABLE>
The accompanying notes are an integral part of these
consolidated financial statements.
5
<PAGE> 6
TRANSTAR HOLDINGS, L.P.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
MARCH 31, 1997
NOTE 1: BASIS OF FINANCIAL STATEMENT PRESENTATION:
The accompanying unaudited financial statements have been prepared in
accordance with generally accepted accounting principles for interim financial
statements and with the instructions to Form 10-Q and Article 10 of Regulation
S-X. Accordingly, they do not include all of the information and footnotes
required by generally accepted accounting principles for complete financial
statements. In the opinion of management, all normal recurring adjustments
considered necessary for a fair statement of the results of operations for the
three month period ended March 31, 1997 have been included. The results of
operations for the three month period ended March 31, 1997 are not necessarily
indicative of the results of operations for the full year. When reading the
financial information contained in this quarterly report, reference should be
made to the financial statements, schedules and notes contained in Transtar
Holdings, L.P.'s (Holdings) Annual Report on Form 10-K for the year ended
December 31, 1996. Transtar Capital Corporation (TCC), a subsidiary of
Holdings, is a shell corporation which has nominal assets and no liabilities,
operations or cash flows. Accordingly, the financial statements of TCC are not
presented because they do not provide material information to investors.
NOTE 2: LONG-TERM DEBT:
On December 7, 1993, Holdings and TCC (Issuers) issued $218 million aggregate
principal amount of 13.375% Senior Discount Notes due December 15, 2003
(Notes). The Notes are the joint and several obligations of the Issuers. An
original issue discount of $118 million will be amortized over a six year
period commencing December 15, 1993 and ending December 15, 1999. Interest will
be payable semi-annually in arrears on June 15 and December 15 commencing on
June 15, 2000. The Notes have a principal amount at maturity of $218 million.
The carrying value represents the principal at maturity less the unamortized
discount. The Notes are not guaranteed by Transtar, Inc. (Transtar) or any of
its subsidiaries and are subordinated to all existing and future liabilities of
the Issuers' subsidiaries. Interest expense attributable to the Notes was $4.9
million and $4.3 million in the first quarter of 1997 and 1996, respectively.
NOTE 3: RELATED PARTY TRANSACTIONS:
On August 29, 1996, Transtar declared a cash dividend in the amount of
$850 per share on both its Class A Voting Common Stock (Voting Stock) and its
Class B Nonvoting Common Stock (Nonvoting Stock) to holders of record of the
stock on August 27, 1996. Holdings received $8.7 million on August 29, 1996,
representing its 53% economic interest in the Transtar dividend. Pursuant to an
Indenture Agreement relating to the issuance of the Notes (the Notes
Indenture), the dividend payment was paid into an escrow account. On November
26, 1996, Transtar declared a cash dividend of $1,275 per share on both its
Voting Stock and its Nonvoting Stock to holders of record of the stock on
November 22, 1996. Holdings received $13.0 million on November 26, 1996,
representing its 53% economic interest in the Transtar dividend. In accordance
with the Notes Indenture, this dividend was paid into the escrow account.
In February, 1997, in accordance with the Notes Indenture, Holdings
offered to repurchase a portion of the Notes at an offer price equal to 101% of
the accreted value of such Notes on the date of purchase. The offer to purchase
the Notes was made by a notice to holders of the Notes and was held open for 20
business days. No Notes were tendered for repurchase. In March 1997, in
accordance with the Notes Indenture and an agreement governing the escrow
account, Holdings withdrew from the escrow account $5.3 million to distribute
to its partners and $0.3 million to pay certain administrative expenses.
In 1995, Transtar declared two cash dividends, each in the amount of
$1,450 per share, on both its Voting Stock and its Nonvoting Stock to holders
of record of the stock on October 27, 1995. The first dividend was paid on
October 31, 1995 and the second was paid on December 29, 1995. Holdings
received $14.8 million on October 31, 1995 and $14.8 million on December 29,
1995, representing its 53% economic interest in the Transtar dividend.
6
<PAGE> 7
TRANSTAR HOLDINGS, L.P.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS -- CONTINUED
In accordance with the Notes Indenture, both dividend payments were
paid into an escrow account. In the first quarter of 1996, Holdings distributed
$0.9 million to its partners, and used $0.3 million to pay administrative
expenses. Holdings offered to repurchase a portion of the Notes at an offer
price equal to 101% of the accreted value of such Notes on the date of
purchase. The offer to purchase the Notes was made by a notice to holders of
the Notes and was held open for 20 business days. No Notes were tendered for
repurchase.
Funds in the escrow account are invested in cash equivalents and may
only be released to pay interest and principal on the Notes, make a Restricted
Payment (as defined by the Notes Indenture), purchase or optimally redeem Notes
or to pay administrative expenses of Holdings. Interest earned on the escrow
balance amounted to $0.6 million and $0.3 million in the first quarter of 1997
and 1996, respectively.
7
<PAGE> 8
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
Management's Discussion and Analysis of Financial Condition and Results of
Operations includes an analysis of Holdings' equity investment in Transtar,
Inc. (Transtar). Holdings is a Delaware limited partnership. It was originally
formed in 1988 as Blackstone Transportation Partners L. P. (BTP) for the sole
purpose of holding voting and nonvoting stock of Transtar. BTP was renamed
Transtar Holdings, L. P. in November 1993. Holdings earnings are derived solely
from its 53.0 percent economic interest in Transtar. The following discussion
should be read in conjunction with Holdings' Consolidated Financial Statements
and the notes related hereto included within this filing.
Transtar Holdings L.P. Results
For the Three Months ended March 31, 1997
Compared to the
Three Months ended March 31, 1996
Overall
Holdings recorded a net loss in the first quarter of 1997 of $3.7 million. This
represents a $0.3 million improvement from the $4.0 million net loss recorded
during the same period of 1996 (See Revenues and Expenses). Holdings' results
include its equity investment in Transtar. For a discussion of results of
operations of Transtar, see "Management's Discussion and Analysis of Financial
Condition and Results of Operations" for Transtar, Inc.
Revenues and Expenses
Holdings did not record any revenues in the first quarters of 1997 or 1996.
Holdings' selling, general and administrative expenses of $0.1 million during
the first three months of 1997 were slightly lower than those incurred during
the first quarter of 1996. Equity earnings of Transtar and interest income
improved from the first quarter of 1996 by $0.6 million and $0.3 million,
respectively. Interest and other financial expense increased by $0.6 million to
$5.1 million in the first quarter of 1997 over the similar period in the prior
year.
Liquidity and Capital Resources
During 1996, Transtar declared two cash dividends, the first in the amount of
$850 per share and the second in the amount of $1,275 per share, on both its
Class A Voting Common Stock and its Class B Nonvoting Common Stock. Holdings
received dividends totaling $21.7 million, representing its 53 percent economic
interest in Transtar. Pursuant to an Indenture Agreement relating to the
issuance of the Notes (Notes Indenture), both dividends were deposited into an
escrow account. In accordance with the Notes Indenture and an agreement
governing the escrow account, during the first quarter of 1997 Holdings
withdrew from the escrow account $5.3 million to distribute to its partners and
$0.3 million to pay administrative expenses. In the first quarter of 1996,
Holdings distributed $0.9 million to its partners and paid $0.3 million of
administrative expenses from dividends received from Transtar in 1995.
In February 1997 and January 1996, Holdings offered to repurchase a portion of
its Senior Discount Notes at an offer price equal to 101 percent of the
accreted value of such notes on the date of purchase. These offers to purchase
the notes were made by a notice to holders of the Senior Discount Notes and
were held open for 20 business days. No notes were tendered for repurchase.
During the first quarter of 1997, Holdings earned $0.6 million in interest from
the balance in the escrow account, an increase of $0.3 million over the same
period of 1996.
The only business activity of Holdings is its investment in Transtar. Holdings
does not require any additional liquidity or capital resources, other than for
professional fees and certain other administrative expenses, until the first
cash interest payment is due on the Notes on June 15, 2000.
8
<PAGE> 9
B. TRANSTAR, INC.
TRANSTAR, INC.
CONSOLIDATED BALANCE SHEET
(UNAUDITED)
<TABLE>
<CAPTION>
March 31, December 31,
1997 1996
-------------------- ------------------
(dollars in thousands)
<S> <C> <C>
ASSETS
Current assets:
Cash and cash equivalents $18,151 $24,691
Accounts receivable from related parties 18,080 18,611
Accounts receivable from others 44,729 46,335
Other current assets 11,350 5,513
-------------------- ------------------
Total current assets 92,310 95,150
Property, plant, and equipment,
less accumulated depreciation 380,346 385,637
Operating parts and supplies 16,362 15,896
Other assets 18,927 18,452
-------------------- ------------------
Total assets $ 507,945 $ 515,135
==================== ==================
LIABILITIES
Current liabilities:
Accounts payable $ 67,695 $ 66,030
Payroll and benefits payable 35,179 37,318
Accrued taxes 7,638 10,328
Accrued interest 1,933 2,906
Current portion of long-term debt 51,600 61,603
Other current liabilities 6,116 1,526
-------------------- ------------------
Total current liabilities 170,161 179,711
Long-term debt less current portion 196,400 196,400
Postretirement benefits other than pensions 103,688 102,707
Deferred credits and other liabilities 35,027 35,412
-------------------- ------------------
Total liabilities 505,276 514,230
Commitments and contingencies
STOCKHOLDERS' EQUITY
Common stock 1,000 1,000
Paid-in capital 23,849 24,000
Retained earnings (deficit) (16,058) (17,822)
Treasury stock (6,122) (6,273)
-------------------- ------------------
Total stockholders' equity 2,669 905
-------------------- ------------------
Total liabilities and stockholders' equity $ 507,945 $ 515,135
==================== ==================
</TABLE>
The accompanying notes are an integral part of these
consolidated financial statements.
9
<PAGE> 10
TRANSTAR, INC.
CONSOLIDATED STATEMENT OF INCOME
(UNAUDITED)
<TABLE>
<CAPTION>
For the quarter ended
March 31,
-----------------------------------------
1997 1996
------------------ ---------------
(dollars in thousands)
<S> <C> <C>
Revenues from related parties $ 53,225 $ 49,813
Revenues from others 42,856 45,954
------------------ ---------------
Total revenues 96,081 95,767
------------------ ---------------
Operating expenses (excluding items shown below) 79,327 79,689
Selling, general, and administrative expenses 2,620 2,757
Depreciation and amortization 6,633 6,724
------------------ ---------------
Total operating expenses 88,580 89,170
------------------ ---------------
Operating income 7,501 6,597
Other income 189 234
Interest income 133 138
Interest and other financial expenses (4,654) (5,578)
------------------ ---------------
Income before income taxes 3,169 1,391
Less provision for income taxes 1,405 736
------------------ ---------------
Net income $ 1,764 $ 655
================== ===============
CONSOLIDATED STATEMENT OF RETAINED EARNINGS
(UNAUDITED)
Retained earnings (deficit), beginning of period $(17,822) $(47,847)
Net income 1,764 655
------------------ ---------------
Retained earnings (deficit), end of period $(16,058) $(47,192)
================== ===============
</TABLE>
The accompanying notes are an integral part of these
consolidated financial statements.
10
<PAGE> 11
TRANSTAR, INC.
CONSOLIDATED STATEMENT OF CASH FLOWS
(UNAUDITED)
<TABLE>
<CAPTION>
For the quarter ended
March 31,
-----------------------------------------
1997 1996
------------------ ------------------
(dollars in thousands)
<S> <C> <C>
OPERATING ACTIVITIES:
Net income $ 1,764 $ 655
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation 6,633 6,724
Amortization 165 185
Deferred taxes (271) (115)
(Gain) loss on sale of assets (36) 3
Changes in other assets and liabilities (3,433) (3,460)
------------------ ------------------
Net cash provided by operating activities 4,822 3,992
------------------ ------------------
INVESTING ACTIVITIES:
Capital expenditures (1,277) (3,739)
Proceeds from the sale of assets (31) 589
------------------ ------------------
Net cash used for investing activities (1,308) (3,150)
------------------ ------------------
FINANCING ACTIVITIES:
Repayment of debt (10,054) (5,006)
------------------ ------------------
Net cash used for financing activities (10,054) (5,006)
------------------ ------------------
Decrease in cash and cash equivalents (6,540) (4,164)
Cash and cash equivalents at beginning of period 24,691 10,618
------------------ ------------------
Cash and cash equivalents at end of period $18,151 $ 6,454
================== ==================
</TABLE>
The accompanying notes are an integral part of these
consolidated financial statements.
11
<PAGE> 12
TRANSTAR, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
MARCH 31, 1997
NOTE 1: BASIS OF FINANCIAL STATEMENT PRESENTATION:
Separate consolidated financial statements of Transtar are included in this
10-Q because Transtar is a majority owned subsidiary of Holdings which is not
consolidated in the consolidated financial statements of Holdings. The
accompanying unaudited financial statements have been prepared in accordance
with generally accepted accounting principles for interim financial statements
and with the instructions to Form 10-Q and Article 10 of Regulation S-X.
Accordingly, they do not include all of the information and footnotes required
by generally accepted accounting principles for complete financial statements.
In the opinion of management, all normal recurring adjustments considered
necessary for a fair statement of the results of operations for the three month
period ended March 31, 1997 have been included. The results of operations for
the three month period ended March 31, 1997 are not necessarily indicative of
the results of operations for the full year. When reading the financial
information contained in this quarterly report, reference should be made to the
Transtar financial statements, schedules and notes contained in Holdings'
Annual Report on Form 10-K for the year ended December 31, 1996.
12
<PAGE> 13
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
Transtar, Inc. Results
For the Three Months ended March 31, 1997
Compared to the
Three Months ended March 31, 1996
Overall
Transtar is a transportation holding company composed of three business groups:
the Railroad Group, the Great Lakes Fleet (Fleet) and the Barge Group.
Transtar's net income for the quarter ending March 31, 1997 was $1.8 million,
an increase of $1.1 million when compared with the same period of 1996. This
was the best first quarter in Transtar's history. Operating income of $7.5
million recorded in the first quarter of 1997 was $0.9 million greater than the
comparable period of 1996. Transtar's first quarter 1997 operating results were
favorably affected by handling increased tonnage with reduced employment
levels. Operating results during the first quarter of 1996 were unfavorably
affected by the severe, weather related, operating conditions that existed
during that period.
Operating Revenues
Operating revenues totaled $96.1 million in the first quarter of 1997, an
increase of $0.3 million over the first quarter of 1996. The operating revenue
increase between these two periods was driven by both the Railroad and Barge
Groups, while the Fleet's revenues were 12 percent behind last year's first
quarter. The Railroad Group's improvement was achieved as a result of increased
traffic volumes of ore and coke. The Barge Group's first quarter revenue
improvement was primarily the result of increased traffic volume of iron ore
and a charter agreement which maximized equipment usage. The Fleet's revenue
decrease from the first quarter of 1996 was a function of fewer operating days.
Operating Expenses
Transtar's operating expenses were $88.6 million for the first quarter or a
decrease of $0.6 million from the same period in 1996. The most significant
expense decrease from the first quarter of 1996 occurred in employment costs,
as fewer employees were necessary because of less severe weather conditions.
The Railroad Group's operating expenses increased by $2.0 million for the first
quarter of 1997 to $68.0 million. The Railroad Group's cost increases were
driven by higher fuel prices, maintenance expenses, state and local taxes,
coupled with a 12 percent decrease in car hire earnings (a contra to cost). The
Fleet's first quarter operating costs decreased by $2.2 million in 1997 to
$11.4 million primarily as a result of fewer sailing days and lower employment
costs. The severe weather and ice conditions experienced during the first
quarter of 1996 resulted in an additional 94 sailing days to essentially handle
the same tonnage that moved in 1997. The Barge Group's operating costs for the
first three months of 1997 decreased by $0.2 million to $11.9 million over the
comparable period of 1996. Costs decreased primarily as a result of the
improved river system operating conditions during 1997's first quarter.
Operating Income
Operating income amounted to $7.5 million for the first quarter, an increase of
$0.9 million over the same quarter in 1996. The first quarter of 1996 operating
results were influenced by additional expenses brought on by sub-zero winter
temperatures in the Great Lakes Region and adverse river conditions in Alabama.
Other Income, net
Transtar's other income, net, decreased by $0.9 million during the first
quarter of 1997 when compared with the first three months of 1996. Interest
expense recognized during the first quarter of 1997 was $4.7 million, or $0.9
million less than the same period in 1996. The reduction in interest expense
was attributable to lower outstanding debt and slightly lower interest rates
during the first quarter of 1997.
13
<PAGE> 14
Provision for Income Taxes
Transtar's provision for income taxes increased $0.7 million during the first
quarter of 1997, when compared to the same period of 1996, directly as a result
of higher before tax earnings in 1997.
Liquidity and Capital Resources
Transtar's cash and temporary investments were $18.2 million at March 31, 1997,
or $11.7 million greater than at the end of the first quarter of 1996. Cash
flow from operating activities during the three months ended March 31, 1997
amounted to $4.8 million or $0.8 million more than was generated during the
same period of 1996. Contributing to this improvement were decreased receivable
levels, which were reduced by $2.1 million from the amount open at March 31,
1996. Gross capital expenditures amounted to $1.3 million in the first quarter
of 1997, a decrease of $2.5 million from the same period of 1996. Proceeds from
the disposition of assets were $0.6 million less in the first quarter of 1997
than 1996.
During the first quarter of 1997, Transtar repaid $10.0 million of debt.
Transtar did not retire any of its Term Loan Facility obligation during 1996's
first three months, but did repay $5.0 million against its Revolving Credit
Facility. Since a December 7, 1993 refinancing, Transtar has retired $197.0
million of its long-term obligations. Transtar currently has nothing
outstanding against its $25.0 million Revolving Credit Facility, except nominal
letters of credit.
14
<PAGE> 15
PART II - OTHER INFORMATION
Item 1. Legal Proceedings
Holdings and TCC had no reportable events of material pending legal proceedings
other than ordinary routine litigation incidental to the business during the
three month period ended March 31, 1997.
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
27. Financial Data Schedule
(b) Reports on 8-K
Holdings and TCC did not file any Current Reports on Form 8-K during the
quarter ended March 31, 1997.
15
<PAGE> 16
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, Registrant
has duly caused this report to be signed on its behalf by the undersigned
thereunto duly authorized.
Dated:
TRANSTAR HOLDINGS, L.P.
TRANSTAR CAPITAL CORPORATION
By: /s/ HOWARD A. LIPSON
-----------------------------
Howard A. Lipson, Treasurer
16
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> MAR-31-1997
<CASH> 290
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 532
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 46,502
<CURRENT-LIABILITIES> 359
<BONDS> 153,712
0
0
<COMMON> 0
<OTHER-SE> (107,569)
<TOTAL-LIABILITY-AND-EQUITY> 46,502
<SALES> 0
<TOTAL-REVENUES> 0
<CGS> 114
<TOTAL-COSTS> 114
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 5,130
<INCOME-PRETAX> 3,713
<INCOME-TAX> 0
<INCOME-CONTINUING> 3,713
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 3,713
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
