FORM 8-K
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON D.C. 20549
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report: February 5, 1999
Date of Earliest Event Reported: December 10, 1998
DOLLAR TREE STORES, INC.
(Exact name of registrant as specified in its charter)
COMMISSION FILE NUMBER: 0-25464
VIRGINIA 54-1387365
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
500 Volvo Parkway
Chesapeake, VA 23320
(Address of principal executive offices)
Registrant's telephone number, including area code: (757) 321-5000
<PAGE>
ITEM 5. OTHER EVENTS
Dollar Tree Stores, Inc., completed its merger with Step Ahead Investments,
Inc., on December 10, 1998. This transaction was accounted for as a
pooling-of-interests, accordingly all prior period financial data has been
restated on a combined basis. The following information, attached as Exhibit 99,
is being provided to investors to assist them in their financial analysis of the
combined Company.
<PAGE>
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) 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.
DOLLAR TREE STORES, INC.
(Registrant)
Date: February 5, 1999 By: /s/ Frederick C. Coble
-----------------------------
Frederick C. Coble
Senior Vice President,
Chief Financial Officer
<TABLE>
<CAPTION>
DOLLAR TREE STORES, INC. -- As Previously Reported
HISTORICAL QUARTERLY FINANCIAL DATA
INCOME STATEMENT INFORMATION
(In thousands except store and per share data)
(Unaudited)
CALENDAR YEAR 1998
March 31, June 30, Sept. 30, Dec. 31, Calendar
1998 1998 1998 1998 1998
<S> <C> <C> <C> <C> <C>
Net sales ..................................... $150,834 $173,864 $176,071 $311,222 $811,991
Cost of sales ................................. 95,866 109,146 107,915 184,391 497,318
Merger related costs .......................... -- -- -- 1,200 1,200
-------- -------- -------- -------- --------
Gross profit .................. 54,968 64,718 68,156 125,631 313,473
-------- -------- -------- -------- --------
Selling, general and administrative expenses:
Operating expenses ...................... 39,131 42,100 43,384 54,763 179,378
Merger related expenses ................. -- -- -- 1,366 1,366
Depreciation and amortization ........... 4,009 4,462 4,736 5,726 18,933
-------- -------- -------- -------- --------
Total selling, general and
administrative expenses ..... 43,140 46,562 48,120 61,855 199,677
-------- -------- -------- -------- --------
Operating income .............................. 11,828 18,156 20,036 63,776 113,796
Interest expense .............................. 515 806 1,313 932 3,566
-------- -------- -------- -------- --------
Income before income taxes .................... 11,313 17,350 18,723 62,844 110,230
Provision for income taxes .................... 4,355 6,680 7,208 24,559 42,802
-------- -------- -------- -------- --------
Net income .................... $ 6,958 $ 10,670 $ 11,515 $ 38,285 $ 67,428
======== ======== ======== ======== ========
Net income per share:
Basic net income per share .............. $ 0.12 $ 0.18 $ 0.19 $ 0.65 $ 1.14
======== ======== ======== ======== ========
Weighted average number of
common shares outstanding ............. 58,756 59,017 59,132 59,178 59,020
======== ======== ======== ======== ========
Diluted net income per share ............ $ 0.11 $ 0.16 $ 0.18 $ 0.59 $ 1.03
======== ======== ======== ======== ========
Weighted average number of
common shares and dilutive potential
common shares outstanding ............. 64,973 65,274 65,391 65,417 65,264
======== ======== ======== ======== ========
OTHER STORE DATA:
Comparable store sales increase ............... 5.4% 12.0% 2.9% 4.1% 5.8%
Number of stores open at end of period ........ 924 980 1,054 1,090 1,090
Total gross square footage (in thousands) ..... 3,410 3,662 4,013 4,188 4,188
Total selling square footage (in thousands)(a). 2,839 3,046 3,333 3,476 3,476
(a) Selling square footage is estimated at approximately 83% of gross square footage.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DOLLAR TREE STORES, INC. -- As Previously Reported
HISTORICAL QUARTERLY FINANCIAL DATA
INCOME STATEMENT INFORMATION
(In thousands except store and per share data)
(Unaudited)
CALENDAR YEAR 1997
March 31, June 30, Sept. 30, Dec. 31, Calendar
1997 1997 1997 1997 1997
<S> <C> <C> <C> <C> <C>
Net sales ..................................... $117,746 $129,332 $142,386 $246,009 $635,473
Cost of sales ................................. 76,455 83,168 88,550 148,943 397,116
-------- -------- -------- -------- --------
Gross profit .................. 41,291 46,164 53,836 97,066 238,357
-------- -------- -------- -------- --------
Selling, general and administrative expenses:
Operating expenses ...................... 32,116 32,413 35,444 43,465 143,438
Depreciation and amortization ........... 2,932 3,163 3,327 3,703 13,125
-------- -------- -------- -------- --------
Total selling, general and
administrative expenses ..... 35,048 35,576 38,771 47,168 156,563
-------- -------- -------- -------- --------
Operating income .............................. 6,243 10,588 15,065 49,898 81,794
Interest expense .............................. 450 788 971 603 2,812
-------- -------- -------- -------- --------
Income before income taxes .................... 5,793 9,800 14,094 49,295 78,982
Provision for income taxes .................... 2,230 3,773 5,425 18,980 30,408
-------- -------- -------- -------- --------
Net income .................... $ 3,563 $ 6,027 $ 8,669 $ 30,315 $ 48,574
======== ======== ======== ======== ========
Net income per share:
Basic net income per share .............. $ 0.06 $ 0.10 $ 0.15 $ 0.52 $ 0.83
======== ======== ======== ======== ========
Weighted average number of
common shares outstanding ............. 58,356 58,505 58,616 58,701 58,549
======== ======== ======== ======== ========
Diluted net income per share ............ $ 0.06 $ 0.09 $ 0.13 $ 0.47 $ 0.75
======== ======== ======== ======== ========
Weighted average number of
common shares and dilutive potential
common shares outstanding ............. 64,341 64,535 64,831 64,912 64,659
======== ======== ======== ======== ========
OTHER STORE DATA:
Comparable store sales increase ............... 10.9% 8.2% 7.4% 5.5% 9.3%
Number of stores open at end of period ........ 767 812 865 887 887
Total gross square footage (in thousands) ..... 2,751 2,937 3,161 3,251 3,251
Total selling square footage (in thousands)(a). 2,305 2,456 2,636 2,710 2,710
(a) Selling square footage is estimated at approximately 83% of gross square footage.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STEP AHEAD INVESTMENTS, INC.
HISTORICAL FINANCIAL DATA
INCOME STATEMENT INFORMATION
(In thousands except store and per share data)
(Unaudited)
FISCAL YEAR 1998
(a) (b)
April 26, July 26, Oct. 25, Dec. 31, Fiscal
1998 1998 1998 1998 1998
<S> <C> <C> <C> <C> <C>
Net sales ................................. $24,697 $25,391 $27,927 $ 28,801 $106,816
Cost of sales ............................. 17,001 17,817 19,512 19,409 73,739
Merger related costs ...................... -- -- -- 101 101
------- ------- ------- -------- --------
Gross profit .............. 7,696 7,574 8,415 9,291 32,976
------- ------- ------- -------- --------
Selling, general and administrative expenses:
Operating expenses .................. 5,779 6,353 6,783 5,822 24,737
Merger related expenses ............. -- -- -- 2,658 2,658
Depreciation and amortization ....... 389 405 427 298 1,519
------- ------- ------- -------- --------
Total selling, general and
administrative expenses 6,168 6,758 7,210 8,778 28,914
------- ------- ------- -------- --------
Operating income .......................... 1,528 816 1,205 513 4,062
Interest expense .......................... 220 267 240 142 869
------- ------- ------- -------- --------
Income before income taxes ................ 1,308 549 965 371 3,193
Provision for income taxes ................ 535 190 347 659 1,731
------- ------- ------- -------- --------
Net income (loss) ......... $ 773 $ 359 $ 618 ($ 288) $ 1,462
======= ======= ======= ======== ========
OTHER STORE DATA:
Comparable store sales increase ........... 12.1% 11.5% 18.9% 17.3% 15.3%
Number of stores open at end of period .... 59 62 64 66 66
Total gross square footage (in thousands).. 812 870 897 927 927
Total selling square footage (in thousands). 603 642 663 685 685
(a) Includes the approximately 2-month period of October 26, 1998 through December 31, 1998.
(b) Includes the approximately 11-month period of January 26, 1998 through December 31, 1998.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STEP AHEAD INVESTMENTS, INC.
HISTORICAL FINANCIAL DATA
INCOME STATEMENT INFORMATION
(In thousands except store and per share data)
(Unaudited)
FISCAL YEAR 1997
April 27, July 27, Oct. 26, Jan. 25, Fiscal
1997 1997 1997 1998 1997
<S> <C> <C> <C> <C> <C>
Net sales ................................. $19,121 $19,910 $21,191 $27,507 $87,729
Cost of sales ............................. 13,687 14,263 14,957 18,578 61,485
------- ------- ------- ------- -------
Gross profit .............. 5,434 5,647 6,234 8,929 26,244
------- ------- ------- ------- -------
Selling, general and administrative expenses:
Operating expenses .................. 4,796 5,122 5,509 6,579 22,006
Depreciation and amortization ....... 291 320 343 378 1,332
------- ------- ------- ------- -------
Total selling, general and
administrative expenses . 5,087 5,442 5,852 6,957 23,338
------- ------- ------- ------- -------
Operating income .......................... 347 205 382 1,972 2,906
Interest expense .......................... 126 173 164 202 665
------- ------- ------- ------- -------
Income before income taxes ................ 221 32 218 1,770 2,241
Provision for income taxes ................ 90 19 91 687 887
------- ------- ------- ------- -------
Net income ................ $ 131 $ 13 $ 127 $ 1,083 $ 1,354
======= ======= ======= ======= =======
OTHER STORE DATA:
Comparable store sales increase ........... 4.6% 6.5% 2.9% 5.0% 5.9%
Number of stores open at end of period .... 52 54 58 59 59
Total gross square footage (in thousands) . 682 727 790 806 806
Total selling square footage (in thousands) 530 550 596 605 605
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DOLLAR TREE STORES, INC.
COMBINED COMPANIES, AFTER GIVING EFFECT TO THE POOLING
INCOME STATEMENT INFORMATION
(In thousands except store and per share data)
(Unaudited)
CALENDAR YEAR 1998
March 31, June 30, Sept. 30, Dec. 31, Calendar
1998 1998 1998 1998 1998
<S> <C> <C> <C> <C> <C>
Net sales .................................... $175,531 $199,255 $203,998 $340,023 $918,807
Cost of sales ................................ 112,867 126,963 127,427 203,755 571,012
Merger related costs ......................... -- -- -- 1,301 1,301
-------- -------- -------- -------- --------
Gross profit ................. 62,664 72,292 76,571 134,967 346,494
-------- -------- -------- -------- --------
Selling, general and administrative expenses:
Operating expenses ..................... 44,910 48,453 50,167 60,630 204,160
Merger related expenses ................ -- -- -- 4,024 4,024
Depreciation and amortization .......... 4,398 4,867 5,163 6,024 20,452
-------- -------- -------- -------- --------
Total selling, general and
administrative expenses .... 49,308 53,320 55,330 70,678 228,636
-------- -------- -------- -------- --------
Operating income ............................. 13,356 18,972 21,241 64,289 117,858
Interest expense ............................. 735 1,073 1,553 1,074 4,435
-------- -------- -------- -------- --------
Income before income taxes ................... 12,621 17,899 19,688 63,215 113,423
Provision for income taxes ................... 4,890 6,870 7,555 25,218 44,533
-------- -------- -------- -------- --------
Net income ................... $ 7,731 $ 11,029 $ 12,133 $ 37,997 $ 68,890
======== ======== ======== ======== ========
Net income per share:
Basic net income per share ............. $ 0.13 $ 0.18 $ 0.20 $ 0.62 $ 1.14
======== ======== ======== ======== ========
Weighted average number of
common shares outstanding ............ 60,418 60,680 60,794 60,840 60,683
======== ======== ======== ======== ========
Diluted net income per share ........... $ 0.12 $ 0.16 $ 0.18 $ 0.56 $ 1.03
======== ======== ======== ======== ========
Weighted average number of
common shares and dilutive potential
common shares outstanding ............ 66,819 67,142 67,248 67,285 67,124
======== ======== ======== ======== ========
OTHER STORE DATA:
Comparable store sales increase .............. 6.3% 12.0% 5.0% 5.2% 6.8%
Number of stores open at end of period ....... 983 1,042 1,118 1,156 1,156
Total gross square footage (in thousands) .... 4,222 4,532 4,910 5,115 5,115
Total selling square footage (in thousands) .. 3,442 3,688 3,996 4,161 4,161
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DOLLAR TREE STORES, INC.
COMBINED COMPANIES, AFTER GIVING EFFECT TO THE POOLING
INCOME STATEMENT INFORMATION
(In thousands except store and per share data)
(Unaudited)
CALENDAR YEAR 1997
March 31, June 30, Sept. 30, Dec. 31, Calendar
1997 1997 1997 1997 1997
<S> <C> <C> <C> <C> <C>
Net sales .................................... $136,867 $149,242 $163,577 $273,516 $723,202
Cost of sales ................................ 90,142 97,431 103,507 167,521 458,601
-------- -------- -------- -------- --------
Gross profit ................. 46,725 51,811 60,070 105,995 264,601
-------- -------- -------- -------- --------
Selling, general and administrative expenses:
Operating expenses ..................... 36,912 37,535 40,953 50,044 165,444
Depreciation and amortization .......... 3,223 3,483 3,670 4,081 14,457
-------- -------- -------- -------- --------
Total selling, general and
administrative expenses .... 40,135 41,018 44,623 54,125 179,901
-------- -------- -------- -------- --------
Operating income ............................. 6,590 10,793 15,447 51,870 84,700
Interest expense ............................. 576 961 1,135 805 3,477
-------- -------- -------- -------- --------
Income before income taxes ................... 6,014 9,832 14,312 51,065 81,223
Provision for income taxes ................... 2,320 3,792 5,516 19,667 31,295
-------- -------- -------- -------- --------
Net income ................... $ 3,694 $ 6,040 $ 8,796 $ 31,398 $ 49,928
======== ======== ======== ======== ========
Net income per share:
Basic net income per share ............. $ 0.06 $ 0.10 $ 0.15 $ 0.52 $ 0.83
======== ======== ======== ======== ========
Weighted average number of
common shares outstanding ............ 60,019 60,168 60,297 60,364 60,212
======== ======== ======== ======== ========
Diluted net income per share ........... $ 0.06 $ 0.09 $ 0.13 $ 0.47 $ 0.75
======== ======== ======== ======== ========
Weighted average number of
common shares and dilutive potential
common shares outstanding ............ 66,135 66,348 66,687 66,750 66,480
======== ======== ======== ======== ========
OTHER STORE DATA:
Comparable store sales increase .............. 10.1% 8.0% 6.8% 5.4% 8.9%
Number of stores open at end of period ....... 819 866 923 946 946
Total gross square footage (in thousands) .... 3,433 3,664 3,951 4,057 4,057
Total selling square footage (in thousands) .. 2,835 3,006 3,232 3,315 3,315
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DOLLAR TREE STORES, INC. -- As Previously Reported
HISTORICAL FINANCIAL DATA
BALANCE SHEET INFORMATION
(In thousands)
(Unaudited)
CALENDAR YEAR 1998
March 31, June 30, Sept. 30, Dec. 31,
1998 1998 1998 1998
ASSETS
Current assets:
<S> <C> <C> <C> <C>
Cash and cash equivalents ................ $ 4,214 $ 5,459 $ 5,325 $ 70,102
Accounts receivable ...................... 444 676 1,014 9,274
Merchandise inventories .................. 128,776 156,099 184,511 119,839
Deferred tax asset ....................... 5,347 5,744 6,162 6,264
Prepaid expenses and other current assets 4,826 3,776 6,606 4,761
-------- -------- -------- --------
Total current assets .................. 143,607 171,754 203,618 210,240
-------- -------- -------- --------
Property and equipment, net ....................... 87,662 92,917 108,364 117,859
Deferred tax asset ................................ 2,092 2,189 2,294 1,475
Goodwill, net ..................................... 43,996 43,514 43,033 42,551
Other assets, net ................................. 943 1,098 1,149 5,518
-------- -------- -------- --------
TOTAL ASSETS .......................... $278,300 $311,472 $358,458 $377,643
======== ======== ======== ========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Current portion of long term debt ........ $ -- $ 9,000 $ 40,000 $ 16,500
Accounts payable ......................... 43,860 43,363 53,057 42,265
Accrued liabilities ...................... 19,400 18,674 16,541 24,120
Income taxes payable ..................... 3,898 2,284 -- 20,404
Current installments of obligations
under capital leases ................... 294 270 392 457
-------- -------- -------- --------
Total current liabilities ............. 67,452 73,591 109,990 103,746
-------- -------- -------- --------
Long-term debt .................................... 40,000 53,000 50,000 30,000
Obligations under capital leases,
excluding current installments ................. 732 668 2,188 2,469
Other liabilities ................................. 4,402 4,357 4,072 4,818
-------- -------- -------- --------
Total liabilities ..................... 112,586 131,616 166,250 141,033
-------- -------- -------- --------
Shareholders' equity .............................. 165,714 179,856 192,208 236,610
-------- -------- -------- --------
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY .............................. $278,300 $311,472 $358,458 $377,643
======== ======== ======== ========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DOLLAR TREE STORES, INC. -- As Previously Reported
HISTORICAL FINANCIAL DATA
BALANCE SHEET INFORMATION
(In thousands)
(Unaudited)
CALENDAR YEAR 1997
March 31, June 30, Sept. 30, Dec. 31,
1997 1997 1997 1997
ASSETS
Current assets:
<S> <C> <C> <C> <C>
Cash and cash equivalents ................ $ 4,354 $ 5,265 $ 4,638 $ 43,695
Accounts receivable ...................... 928 1,059 1,220 1,406
Merchandise inventories .................. 89,967 103,352 133,150 89,066
Deferred tax asset ....................... 2,150 2,294 2,800 5,093
Prepaid expenses and other current ....... 3,494 3,276 3,795 3,762
-------- -------- -------- --------
Total current assets .................. 100,893 115,246 145,603 143,022
-------- -------- -------- --------
Property and equipment, net ....................... 42,788 55,935 70,581 82,071
Deferred tax asset ................................ 1,965 2,045 2,133 2,029
Goodwill, net ..................................... 45,924 45,442 44,960 44,478
Other assets, net ................................. 754 951 1,122 976
-------- -------- -------- --------
TOTAL ASSETS .......................... $192,324 $219,619 $264,399 $272,576
======== ======== ======== ========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Current portion of long term debt ........ $ 4,500 $ -- $ 12,500 $ --
Accounts payable ......................... 32,813 34,625 46,774 44,058
Accrued liabilities ...................... 12,236 12,523 14,330 19,526
Income taxes payable ..................... 1,502 383 1,742 18,908
Current installments of obligations
under capital leases ................... 295 355 309 317
-------- -------- -------- --------
Total current liabilities ............. 51,346 47,886 75,655 82,809
-------- -------- -------- --------
Long-term debt .................................... 30,000 53,000 60,000 30,000
Obligations under capital leases,
excluding current installments .................. 981 847 817 804
Other liabilities ................................. 3,658 3,773 3,798 4,037
-------- -------- -------- --------
Total liabilities ..................... 85,985 105,506 140,270 117,650
-------- -------- -------- --------
Shareholders' equity .............................. 106,339 114,113 124,129 154,926
-------- -------- -------- --------
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY .............................. $192,324 $219,619 $264,399 $272,576
======== ======== ======== ========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STEP AHEAD INVESTMENTS, INC.
HISTORICAL FINANCIAL DATA
BALANCE SHEET INFORMATION
(In thousands)
(Unaudited)
FISCAL YEAR 1998
April 26, July 26, Oct. 25, Dec. 31,
1998 1998 1998 1998
ASSETS
Current assets:
<S> <C> <C> <C> <C>
Cash and cash equivalents ................ $ 1,614 $ 1,710 $ 2,060 $ 1,017
Accounts receivable ...................... 572 593 568 321
Merchandise inventories .................. 20,137 21,310 24,185 21,110
Deferred tax asset ....................... -- 494 502 445
Prepaid expenses and other current ....... 1,400 870 1,182 715
-------- -------- -------- -------
Total current assets .................. 23,723 24,977 28,497 23,608
-------- -------- -------- -------
Property and equipment, net ....................... 5,276 5,424 5,584 4,526
Deferred tax asset ................................ -- 268 323 719
Other assets, net ................................. 1,572 1,257 1,130 909
-------- -------- -------- -------
TOTAL ASSETS .......................... $ 30,571 $ 31,926 $ 35,534 $29,762
======== ======== ======== =======
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Current portion of long term debt ........ $ 10,880 $ 11,964 $ 13,982 $ --
Accounts payable ......................... 5,083 9,856 9,930 17,677
Accrued liabilities ...................... 5,685 1,211 1,944 1,766
Income taxes payable ..................... -- -- -- 949
-------- -------- -------- -------
Total current liabilities ............. 21,648 23,031 25,856 20,392
-------- -------- -------- -------
Long-term debt .................................... 490 -- -- --
Other liabilities ................................. 1,528 1,620 1,780 1,756
-------- -------- -------- -------
Total liabilities ..................... 23,666 24,651 27,636 22,148
-------- -------- -------- -------
Shareholders' equity .............................. 6,905 7,275 7,898 7,614
-------- -------- -------- -------
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY .............................. $ 30,571 $ 31,926 $ 35,534 $29,762
======== ======== ======== =======
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STEP AHEAD INVESTMENTS, INC.
HISTORICAL FINANCIAL DATA
BALANCE SHEET INFORMATION
(In thousands)
(Unaudited)
FISCAL YEAR 1997
April 27, July 27, Oct. 26, Jan. 25,
1997 1997 1997 1998
ASSETS
Current assets:
<S> <C> <C> <C> <C>
Cash and cash equivalents ................ $ 1,166 $ 1,348 $ 1,522 $ 1,323
Accounts receivable ...................... 1,335 1,327 1,941 945
Merchandise inventories .................. 15,502 18,544 19,950 20,417
Deferred tax asset ....................... -- 74 74 375
Prepaid expenses and other current ....... 1,104 1,274 1,164 767
-------- -------- -------- --------
Total current assets .................. 19,107 22,567 24,651 23,827
-------- -------- -------- --------
Property and equipment, net ....................... 4,140 4,586 5,150 4,931
Deferred tax asset ................................ 244 357 357 199
Other assets, net ................................. 702 690 687 1,055
-------- -------- -------- --------
TOTAL ASSETS .......................... $ 24,193 $ 28,200 $ 30,845 $ 30,012
======== ======== ======== ========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Current portion of long term debt ........ $ 6,978 $ 9,253 $ 9,360 $ 9,491
Accounts payable ......................... 9,023 10,879 12,045 9,933
Accrued liabilities ...................... 1,430 1,227 1,648 1,788
Income taxes payable ..................... 54 42 -- 679
-------- -------- -------- --------
Total current liabilities ............. 17,485 21,401 23,053 21,891
-------- -------- -------- --------
Long-term debt .................................... 721 646 1,302 554
Other liabilities ................................. 1,091 1,239 1,445 1,440
-------- -------- -------- --------
Total liabilities ..................... 19,297 23,286 25,800 23,885
-------- -------- -------- --------
Shareholders' equity .............................. 4,896 4,914 5,045 6,127
-------- -------- -------- --------
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY .............................. $ 24,193 $ 28,200 $ 30,845 $ 30,012
======== ======== ======== ========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DOLLAR TREE STORES, INC.
COMBINED COMPANIES, AFTER GIVING EFFECT TO THE POOLING
BALANCE SHEET INFORMATION
(In thousands)
(Unaudited)
CALENDAR YEAR 1998
March 31, June 30, Sept. 30, Dec. 31,
1998 1998 1998 1998
ASSETS
Current assets:
<S> <C> <C> <C> <C>
Cash and cash equivalents ................ $ 5,828 $ 7,169 $ 7,385 $ 71,119
Accounts receivable ...................... 1,016 1,269 1,582 1,811
Merchandise inventories .................. 148,913 177,409 208,696 140,949
Deferred tax asset ....................... 5,347 6,238 6,664 6,709
Prepaid expenses and other current ....... 6,226 4,646 7,788 5,476
-------- -------- -------- --------
Total current assets .................. 167,330 196,731 232,115 226,064
-------- -------- -------- --------
Property and equipment, net ....................... 92,938 98,341 113,948 122,385
Deferred tax asset ................................ 2,092 2,457 2,617 2,194
Goodwill, net ..................................... 43,996 43,514 43,033 42,551
Other assets, net ................................. 2,515 2,355 2,279 6,427
-------- -------- -------- --------
TOTAL ASSETS .......................... $308,871 $343,398 $393,992 $399,621
======== ======== ======== ========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Current portion of long term debt ........ $ 10,880 $ 20,964 $ 53,982 $ 16,500
Accounts payable ......................... 48,943 53,219 62,987 52,158
Accrued liabilities ...................... 25,085 19,885 18,485 25,886
Income taxes payable ..................... 3,898 2,284 -- 21,353
Current installments of obligations
under capital leases ................... 294 270 392 457
-------- -------- -------- --------
Total current liabilities ............. 89,100 96,622 135,846 116,354
-------- -------- -------- --------
Long-term debt .................................... 40,490 53,000 50,000 30,000
Obligations under capital leases,
excluding current installments .................. 732 668 2,188 2,469
Other liabilities ................................. 5,930 5,977 5,852 6,574
-------- -------- -------- --------
Total liabilities ..................... 136,252 156,267 193,886 155,397
-------- -------- -------- --------
Shareholders' equity .............................. 172,619 187,131 200,106 244,224
-------- -------- -------- --------
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY .............................. $308,871 $343,398 $393,992 $399,621
======== ======== ======== ========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DOLLAR TREE STORES, INC.
COMBINED COMPANIES, AFTER GIVING EFFECT TO THE POOLING
BALANCE SHEET INFORMATION
(In thousands)
(Unaudited)
CALENDAR YEAR 1997
March 31, June 30, Sept. 30, Dec. 31,
1997 1997 1997 1997
ASSETS
Current assets:
<S> <C> <C> <C> <C>
Cash and cash equivalents ................ $ 5,520 $ 6,613 $ 6,160 $ 45,018
Accounts receivable ...................... 2,263 2,386 3,161 2,351
Merchandise inventories .................. 105,469 121,896 153,100 109,483
Deferred tax asset ....................... 2,150 2,368 2,874 5,468
Prepaid expenses and other current ....... 4,598 4,550 4,959 4,529
-------- -------- -------- --------
Total current assets .................. 120,000 137,813 170,254 166,849
-------- -------- -------- --------
Property and equipment, net ....................... 46,928 60,521 75,731 87,002
Deferred tax asset ................................ 2,209 2,402 2,490 2,228
Goodwill, net ..................................... 45,924 45,442 44,960 44,478
Other assets, net ................................. 1,456 1,641 1,809 2,031
-------- -------- -------- --------
TOTAL ASSETS .......................... $216,517 $247,819 $295,244 $302,588
======== ======== ======== ========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Current portion of long term debt ........ $ 11,478 $ 9,253 $ 21,860 $ 9,491
Accounts payable ......................... 41,836 45,504 58,819 53,991
Accrued liabilities ...................... 13,666 13,750 15,978 21,314
Income taxes payable ..................... 1,556 425 1,742 19,587
Current installments of obligations
under capital leases ................... 295 355 309 317
-------- -------- -------- --------
Total current liabilities ............. 68,831 69,287 98,708 104,700
-------- -------- -------- --------
Long-term debt .................................... 30,721 53,646 61,302 30,554
Obligations under capital leases,
excluding current installments .................. 981 847 817 804
Other liabilities ................................. 4,749 5,012 5,243 5,477
-------- -------- -------- --------
Total liabilities ..................... 105,282 128,792 166,070 141,535
-------- -------- -------- --------
Shareholders' equity .............................. 111,235 119,027 129,174 161,053
-------- -------- -------- --------
TOTAL LIABILITIES AND SHAREHOLDERS'
EQUITY .............................. $216,517 $247,819 $295,244 $302,588
======== ======== ======== ========
</TABLE>
