SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
[X] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the Quarterly period ended March 31, 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 1-3439
STONE CONTAINER CORPORATION
_______________________________________________________________________
(Exact name of registrant as specified in its charter)
Delaware 36-2041256
(State or other jurisdiction of (I.R.S. employer
incorporation or organization) identification no.)
150 North Michigan Avenue, Chicago, Illinois 60601
(Address of principal executive offices) (Zip Code)
Registrant's telephone number: 312-346-6600
Indicate by check mark (X) 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 requirement for the past 90
days.
Yes X No
Number of common shares outstanding as of May 9, 1996: 99,160,502
<PAGE>
<PAGE>
<TABLE>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
STONE CONTAINER CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
<CAPTION>
March 31, December 31,
(in millions) 1996* 1995
<S> <C> <C>
Assets
Current assets:
Cash and cash equivalents.......................... $ 139.4 $ 40.3
Accounts and notes receivable (less allowances of
$21.8 and $22.1)................................. 686.1 743.0
Inventories........................................ 781.8 733.3
Other.............................................. 164.0 166.3
___________________________________________________ _________ ____________
Total current assets...................... 1,771.3 1,682.9
___________________________________________________ _________ ____________
Property, plant and equipment...................... 4,791.2 4,750.0
Accumulated depreciation and amortization.......... (2,182.2) (2,114.2)
___________________________________________________ _________ ____________
Property, plant and equipment--net....... 2,609.0 2,635.8
Timberlands........................................ 58.0 57.7
Goodwill........................................... 539.5 545.5
Investment in non-consolidated affiliates.......... 1,113.8 1,096.2
Other.............................................. 419.3 380.8
___________________________________________________ _________ ____________
Total assets....................................... $6,510.9 $ 6,398.9
========= ============
Liabilities and stockholders' equity
Current liabilities:
Accounts payable................................... $ 317.9 $ 347.9
Current maturities of senior and subordinated
long-term debt................................... 32.2 27.1
Notes payable and current maturities of
non-recourse debt of consolidated affiliates...... 40.4 29.3
Income taxes....................................... 6.5 .8
Accrued and other current liabilities.............. 296.2 296.6
___________________________________________________ _________ ____________
Total current liabilities................ 693.2 701.7
___________________________________________________ _________ ____________
Senior long-term debt.............................. 2,932.3 2,807.3
Subordinated debt.................................. 809.2 809.2
Non-recourse debt of consolidated affiliates....... 253.9 268.6
Other long-term liabilities........................ 315.6 313.7
Deferred taxes..................................... 494.2 493.1
Commitments and contingencies......................
Stockholders' equity:
Series E preferred stock........................ 115.0 115.0
Common stock (99.2 and 99.1 shares outstanding). 952.8 953.1
Retained earnings............................... 113.3 97.8
Foreign currency translation adjustment......... (165.8) (156.9)
Unamortized expense of restricted stock plan.... (2.8) (3.7)
___________________________________________________ _________ ____________
Total stockholders' equity............... 1,012.5 1,005.3
_________ ____________
Total liabilities and stockholders' equity......... $6,510.9 $ 6,398.9
========= ============
<FN>
*Unaudited; subject to year-end audit
The accompanying notes are an integral part of these statements.
</TABLE>
<PAGE>
<TABLE>
STONE CONTAINER CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
AND RETAINED EARNINGS (ACCUMULATED DEFICIT)
<CAPTION>
Three months ended
March 31,
(in millions except per share) 1996 1995
<S> <C> <C>
Net sales........................................ $ 1,321.5 $ 1,819.3
Cost of products sold............................ 972.2 1,288.7
Selling, general and administrative expenses..... 153.7 155.0
Depreciation and amortization.................... 79.0 96.0
Equity income from affiliates.................... (26.2) (1.8)
Other income-net................................. (2.8) (8.3)
_________________________________________________ __________ __________
Income before interest expense, income taxes,
and minority interest.......................... 145.6 289.7
Interest expense................................. (99.6) (121.4)
_________________________________________________ __________ __________
Income before income taxes and minority interest. 46.0 168.3
Provision for income taxes....................... (14.6) (67.3)
Minority interest................................ 1.0 (4.2)
_________________________________________________ __________ __________
Net income....................................... 32.4 96.8
Preferred stock dividends........................ (2.0) (2.0)
_________________________________________________ __________ __________
Net income applicable to common shares........... $ 30.4 $ 94.8
_________________________________________________ __________ __________
Retained earnings (accumulated deficit),
beginning of period............................ $ 97.8 $ (96.3)
Net income....................................... 32.4 96.8
Cash dividends on common and preferred stock..... (16.9) --
_________________________________________________ __________ __________
Retained earnings, end of period................. $ 113.3 $ .5
_________________________________________________ ========== ==========
Per share of common stock:
Net income:
Primary........................................ $ .31 $ 1.04
========== ==========
Fully diluted.................................. $ .30 $ .85
========== ==========
Cash dividends................................... $ .15 $ --
========== ==========
Common shares and common share equivalents
outstanding (weighted average, in millions):
Primary...................................... 99.2 90.8
========== ==========
Fully Diluted................................ 104.4 118.6
========== ==========
<FN>
Unaudited; subject to year-end audit
The accompanying notes are an integral part of these statements.
</TABLE>
<PAGE>
<TABLE>
STONE CONTAINER CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
<CAPTION>
Three months ended
March 31,
(in millions except per share) 1996 1995
__________ __________
Cash flows from operating activities:
<S> <C> <C>
Net income...................................... $ 32.4 $ 96.8
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization................. 79.0 96.0
Deferred taxes................................ 3.7 43.4
Foreign currency transaction losses........... .2 --
Equity income from affiliates................. (26.2) (1.8)
Other--net.................................... 15.3 16.3
Changes in current assets and liabilities:
(Increase) decrease in accounts and notes
receivable--net............................. 58.1 (109.5)
Increase in inventories....................... (49.8) (39.2)
Increase in other current assets.............. (4.8) (21.4)
Increase (decrease) in accounts payable and
other current liabilities................... (23.0) 25.5
________________________________________________ __________ __________
Net cash provided by operating activities....... 84.9 106.1
________________________________________________ __________ __________
Cash flows from financing activities:
Borrowings...................................... 188.7 265.7
Non-recourse borrowings of consolidated
affiliates.................................... 1.2 1.7
Payments made on debt........................... (63.2) (300.1)
Payments by consolidated affiliates on
non-recourse debt............................. (5.1) (15.5)
Cash dividends.................................. (16.9) --
________________________________________________ __________ __________
Net cash provided by (used in) financing
activities.................................... 104.7 (48.2)
________________________________________________ __________ __________
Cash flows from investing activities:
Capital expenditures............................ (41.8) (68.5)
Proceeds from sales of assets................... 2.6 2.4
Purchase of securities of a non-consolidated
affiliate..................................... (39.6) --
Payments made for businesses acquired........... (5.7) (3.2)
Other--net...................................... (4.8) 5.9
________________________________________________ __________ __________
Net cash used in investing activities........... (89.3) (63.4)
________________________________________________ __________ __________
Effect of exchange rate changes on cash......... (1.2) 8.0
________________________________________________ __________ __________
Net increase in cash and cash equivalents....... 99.1 2.5
Cash and cash equivalents, beginning of period.. 40.3 108.6
________________________________________________ __________ __________
Cash and cash equivalents, end of period........ $ 139.4 $ 111.1
========== ==========
<FN>
See Note 8 regarding supplemental cash flow information.
Unaudited; subject to year-end audit
The accompanying notes are an integral part of these statements.
</TABLE>
<PAGE>
<PAGE>
STONE CONTAINER CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
NOTE 1: Basis of Presentation
Pursuant to the rules and regulations of the Securities and Exchange
Commission ("SEC") for Form 10-Q, the financial statements, footnote
disclosures and other information normally included in the financial
statements prepared in accordance with generally accepted accounting
principles have been condensed. These financial statements, footnote
disclosures and other information should be read in conjunction with
the financial statements and the notes thereto included in Stone
Container Corporation's (the "Company's") latest Annual Report on Form
10-K. In the opinion of the Company, the accompanying unaudited
consolidated financial statements contain all adjustments necessary to
fairly present the Company's financial position as of March 31, 1996
and the results of operations and cash flows for the three month
periods ended March 31, 1996 and 1995.
NOTE 2: Reclassifications
Certain prior year amounts have been restated to conform with the
current year presentation in the Consolidated Balance Sheets and
Statements of Cash Flows.
NOTE 3: Subsidiary Issuance of Stock
On November 1, 1995, Stone-Consolidated Corporation, a Canadian
subsidiary of the Company, amalgamated its operations (the
"Amalgamation") with Rainy River Forest Products Inc., a Toronto-based
Canadian pulp and paper company. As a result of the issuance of common
shares by Stone-Consolidated associated with the Amalgamation, the
Company's equity ownership in Stone-Consolidated was reduced from 74.6
percent to 46.6 percent. Accordingly, effective November 1, 1995 the
Company began reporting Stone-Consolidated as a non-consolidated
affiliate under the equity method of accounting. Prior to such date
the Company reported Stone-Consolidated as a consolidated subsidiary.
NOTE 4: Refinancing
On March 22, 1996, the Company and its bank group amended the Company's
bank credit agreement to, among other things, provide for an additional
senior secured term loan facility of $190 million with a final maturity
of October 1, 2003 and a supplemental revolving credit facility of $110
million maturing May 15, 1999 (the "Supplemental Revolver").
Additionally, the Company received consents from a majority of its
holders to waive mandatory repayment of no less than 80 percent of each
of its term loans from excess cash flow (as defined) until September
1997. The credit agreement as amended no longer has a cross-
acceleration provision in the event of an acceleration of the non-
recourse debt of Stone Venepal (Celgar) Pulp, Inc. The funds provided
by the new term loan facility were used to repay indebtedness
outstanding under the Company's $450 million revolving credit facility
under the bank credit agreement without reducing the commitments
thereunder, and provide liquidity in the form of cash. The Company did
not borrow under the Supplemental Revolver. The Company's bank credit
agreement, as amended, now consists of three senior secured term loan
facilities aggregating $790 million which mature through October 1,
2003, a $450 million senior secured revolving credit facility
commitment maturing May 15, 1999, which includes a $25 million swing-
line sub-facility, and the Supplemental Revolver (collectively the
"Credit Agreement").
NOTE 5: Purchase of Securities of a Non-consolidated Affiliate
During the 1996 first quarter, the Company purchased approximately $40
million of convertible debt securities of Financiere Carton Papier
("FCP"), a non-consolidated affiliate of the Company. The securities
are not convertible into FCP common stock until March 1999. In the
event that the Company would convert the securities into common stock,
the Company would own approximately 80 percent of the outstanding
shares of FCP.
NOTE 6: Adoption of New Accounting Standards
Effective January 1, 1996, the Company adopted Statement of Financial
Accounting Standards No. 121, "Accounting for the Impairment of Long-
Lived Assets and for Long-Lived Assets to be Disposed of" ("SFAS 121"),
which requires that long-lived assets be reviewed for impairment
whenever events or changes in circumstances indicate that the carrying
amount of an asset may not be recoverable. The adoption of SFAS 121
did not have an effect on the Company's financial statements.
Also, effective January 1, 1996, the Company adopted Statement of
Financial Accounting Standards No. 123, "Accounting for Stock-Based
Compensation" ("SFAS 123"), by electing to continue to apply the
intrinsic value-based method of accounting for stock-based
compensation. The Company will provide the required proforma
disclosures pertaining to its stock-based compensation in its year end
1996 financial statement footnotes.
NOTE 7: Inventories
Inventories are summarized as follows:
March 31, December 31,
(in millions) 1996 1995
Raw materials and supplies................ $ 276.0 $ 287.5
Paperstock................................ 409.3 358.8
Work in process........................... 21.7 23.1
Finished products......................... 133.0 123.1
__________________________________________ _________ ____________
840.0 792.5
Excess of current cost over LIFO
inventory value......................... (58.2) (59.2)
_________ ____________
Total inventories......................... $ 781.8 $ 733.3
========= ============
NOTE 8: Additional Cash Flow Statement Information
The Company's cash payments for interest and income taxes were as
follows:
Three months ended
March 31,
(in millions) 1996 1995
Cash paid during the periods for:
Interest (net of capitalization)............... $ 92.7 $ 117.1
Income taxes (net of refunds).................. 2.8 11.0
======== ========
<PAGE>
STONE CONTAINER CORPORATION AND SUBSIDIARIES
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
Results of Operations
Effective November 1, 1995, the Company began reporting Stone-
Consolidated Corporation ("Stone-Consolidated") as a non-consolidated
affiliate in accordance with the equity method of accounting. Prior to
such date the Company reported Stone-Consolidated as a consolidated
subsidiary. See also Note 3.
Provided below is certain financial data for the three months
ended March 31, 1996 and 1995. Also provided, for comparative
purposes only, is supplemental restated financial data for the three
months ended March 31, 1995 assuming that the historical financial
results of Stone-Consolidated were reported by the Company in
accordance with the equity method of accounting effective January 1,
1995.
Three months
ended
Three months ended March 31, March 31, 1995
1996 1995 (restated)
Net sales............ $1,321.5 $1,819.3 $ 1,590.9
Depreciation and
amortization........ 79.0 96.0 79.6
Interest expense..... 99.6 121.4 112.4
Income before
income taxes and
minority interest... 46.0 168.3 154.4
Net income........... $ 32.4 $ 96.8 $ 96.8
Net income for the 1996 first quarter was $32.4 million, or $.31
per share of common stock on a primary basis and $.30 per share of
common stock on a fully diluted basis while net income for the 1995
first quarter was $96.8 million, or $1.04 per share of common stock on
a primary basis and $.85 per share of common stock on a fully diluted
basis.
Net sales for the three months ended March 31, 1996 decreased
$497.8 million from the comparable prior year period. Net sales for
the first quarter of 1995 included $228.4 million of sales of Stone-
Consolidated. Excluding the effect of Stone-Consolidated, sales for
the 1996 first quarter decreased approximately $269 million or 16.9
percent from the comparable prior year period. The decrease in sales,
as well as the decrease in net income from the first quarter of 1995
mainly resulted from lower average selling prices and reduced sales
volume for market pulp and containerboard, with a significant decrease
in the market pulp selling price. A decrease in corrugated container
sales volume also contributed to the reduced sales and net earnings for
the quarter. The results for the first quarter of 1996 also reflect a
reduction in interest expense due to lower average outstanding
indebtedness and a decrease in average interest rates, a decrease in
recycled fiber costs, and improved earnings from Stone-Consolidated
mainly as a result of higher average selling prices for newsprint and
groundwood paper, as compared with the 1995 first quarter.
Shipments of corrugated containers, including the Company's
proportionate share of the shipments by its foreign affiliates, were
13.1 billion square feet for the first quarter of 1996, compared with
13.7 billion square feet for the comparable prior year period.
Shipments of paper bags and sacks were 143 thousand tons for the three
months ended March 31, 1996 compared with 147 thousand tons shipped
during the comparable 1995 period.
Production of containerboard and kraft paper was 1.14 million tons
and 1.33 million tons for the three months ended March 31, 1996 and
1995, respectively.
Financial Condition and Liquidity
The Company's working capital ratio was 2.6 to 1 at March 31, 1996 and
2.4 to 1 at December 31, 1995. The Company's long-term debt to total
capitalization ratio was 72.6 percent at March 31, 1996 and 72.2
percent at December 31, 1995. Capitalization, for purposes of this
ratio, includes long-term debt (which includes debt of certain
consolidated affiliates which is non-recourse to the Company), deferred
income taxes, minority interest and stockholders' equity.
The Company's primary capital requirements consist of debt service
and capital expenditures, including capital investment for compliance
with certain environmental legislation requirements and ongoing
maintenance expenditures and improvements. The Company is highly
leveraged, and while highly leveraged, will incur substantial ongoing
interest expense. No significant debt maturities or amortization
obligations are due until June 1997.
On March 22, 1996, the Company and its bank group amended the
Company's bank credit agreement. See Note 4. At May 9, 1996, the
Company had borrowing availability of approximately $457 million (net
of letters of credit which reduce the amount available to be borrowed)
under its revolving credit facilities. The term loans and the $450
million revolving credit facility had weighted average interest rates
for the quarter ended March 31, 1996 of 8.9 percent and 8.7 percent,
respectively. The weighted average rates do not include the effect of
the amortization of deferred debt issuance costs.
Operating activities:
Net cash provided by operating activities was $84.9 million for the
three months ended March 31, 1996, compared with $106.1 million for the
comparable period of 1995.
Financing activities:
On March 22, 1996, the Company borrowed $190 million under a senior
secured term loan facility provided under its Credit Agreement. See
Note 4. The proceeds of the term loan were used to repay indebtedness
outstanding under the Company's $450 million revolving credit facility
(without a corresponding reduction in commitments) and provide
additional liquidity in the form of cash.
On February 15, 1996, the Company paid a cash dividend of $0.4375
per share on its Series E Cumulative Preferred Stock and on March 13,
1996 paid a cash dividend of $0.15 per share on its common stock.
Investing activities:
Capital expenditures for the three months ended March 31, 1996 totalled
approximately $42 million. Additionally, during the 1996 first quarter
the Company purchased approximately $40 million of convertible debt
securities of Financiere Carton Papier ("FCP"), a non-consolidated
affiliate of the Company in order to provide FCP with sufficient funds
for debt service and general working capital purposes. See also Note
5.
Outlook:
The Company's net income decreased from $79.7 million in the fourth
quarter of 1995 to $32.4 million for the first quarter of 1996 as
pricing for the majority of the Company's products declined from fourth
quarter 1995 levels, primarily due to sluggish demand and a relatively
high industry inventory level. Beginning in late 1995, demand for
containerboard and market pulp was dramatically reduced and the
Company, in an effort to prevent excessive increases in inventory, took
downtime at various of its mills in the last half of 1995 and in the
first quarter of 1996. While there have been recent indications that
demand for containerboard, corrugated containers and market pulp may
somewhat improve, the Company currently plans to take additional market
related downtime during the second quarter which will result in the
removal of approximately 215,000 tons of containerboard and market pulp
production in the aggregate. While pricing for the majority of the
Company's products are not expected to improve and could even possibly
decrease further during the second quarter, the Company believes that
certain indicators are present which signal that conditions in the
industry are improving which could result in price increases for
certain of its products during the second half of 1996. However, no
assurance can be given that price increases will be implemented or that
pricing for the Company's products will be maintained at current
levels. Notwithstanding the potential for enhanced pricing, the
Company anticipates that the results for the second quarter will be
lower than the results reported for the first quarter. The Company
will be required in the future to generate sufficient cash flows to
fully meet the Company's debt service requirements. The Company has
debt amortizations of approximately $262 million in 1997, $490 million
in 1998, $481 million in 1999 and $535 million in 2000. In the event
that the Company is unable to generate sufficient operating cash flows
to fully meet such debt service requirements, it is anticipated that
the Company would refinance portions of this indebtedness and/or use a
substantial portion of its cash resources and borrowing availabilities
under its revolving credit facilities to repay such indebtedness. No
assurances can be given that such sources will be available in
sufficient amounts for such requirements.
On November 2, 1995, the Company announced that it has agreed to
enter into a joint venture agreement with Four M Corporation (Box USA)
to purchase a paperboard mill located in Port St. Joe, Florida, from
St. Joe Paper Company for $185 million plus applicable working capital.
Under the joint venture agreement, the Company would make a 50 percent
common equity investment in the joint venture with a commitment to
purchase equity of the joint venture. It is anticipated that the
purchase by the joint venture would close in the second quarter of
1996. The completion of the transaction is contingent upon a number of
conditions including the placement of non-recourse financing
anticipated to approximate $165 million. Upon completion of the
transaction, the joint venture would be highly leveraged. The mill has
the capacity to produce approximately 500,000 short tons per year,
split almost evenly between mottled white and kraft linerboard.
<PAGE>
PART II. OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
11 Computation of Primary and Fully Diluted Net Income Per
Common Share.
27 Financial Data Schedule for the three months ended March
31, 1996.
(b) Reports on Form 8-K
1. None.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the Company has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized.
STONE CONTAINER CORPORATION
By: Thomas P. Cutilletta
Thomas P. Cutilletta
Senior Vice President, Administration and
Corporate Controller
(Principal Accounting Officer)
Date: May 15, 1996
<TABLE> EXHIBIT 11
STONE CONTAINER CORPORATION
COMPUTATION OF PRIMARY AND FULLY DILUTED
NET INCOME PER SHARE
(in millions, except per share)
<CAPTION>
Three Months Ended
March 31,
1996 1995
_______ _______
<S> <C> <C>
Primary Earnings Per Share
Shares of Common Stock:
Weighted average number of common shares
outstanding.......................................... 99.2 90.8
_______ _______
Primary Weighted Average Shares Outstanding.............. 99.2 90.8
======= =======
Net income............................................... $ 32.4 $ 96.8
Less:
Series E Cumulative Convertible Exchangeable Preferred
Stock dividend....................................... (2.0) (2.0)
_______ _______
Net income used in computing primary net income per
common share........................................... $ 30.4 $ 94.8
======= =======
Primary Earnings Per Share............................... $ .31 $ 1.04
======= =======
Fully Diluted Earnings Per Share
Shares of Common Stock:
Weighted average number of common shares outstanding... 99.2 90.8
Dilutive effect of options and warrants................ -- .1
Addition from assumed conversion of 8.875% convertible
senior subordinated notes............................ 5.2 21.6
Addition from assumed conversion of 6.75% convertible
subordinated debentures.............................. -- 2.7
Addition from assumed conversion of Series E Cumulative
Convertible Exchangeable Preferred Stock.............. -- 3.4
_______ _______
Fully Diluted Weighted Average Shares Outstanding........ 104.4 118.6
======= =======
Net Income............................................... $ 32.4 $ 96.8
Less:
Series E Cumulative Convertible Exchangeable Preferred
Stock dividend....................................... (2.0) (2.0)
Income adjustment associated with assumed conversion of
Stone-Consolidated Corporation 8% convertible
subordinated debentures.............................. -- (.8)
Add back:
Interest on 8.875% convertible senior subordinated
notes................................................ .8 3.4
Interest on 6.75% convertible subordinated debentures.. -- 1.0
Series E Cumulative Convertible Exchangeable Preferred
Stock dividend....................................... -- 2.0
_______ _______
Net income used in computing fully diluted net income
per common share....................................... $ 31.2 $100.4
Fully Diluted Earnings Per Share......................... $ .30 $ .85
======= =======
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This Schedule contains summary financial information extracted from Stone
Container Corporation and Subsidiaries' March 31, 1996 Consolidated Balance
Sheet and Consolidated Operations and Retained Earnings and is qualified
in its entirety by reference to such financial statements.
</LEGEND>
<MULTIPLIER> 1000000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> MAR-31-1996
<CASH> 139
<SECURITIES> 0
<RECEIVABLES> 708
<ALLOWANCES> 22
<INVENTORY> 782
<CURRENT-ASSETS> 1771
<PP&E> 4791
<DEPRECIATION> 2182
<TOTAL-ASSETS> 6511
<CURRENT-LIABILITIES> 693
<BONDS> 3995
<COMMON> 953
0
115
<OTHER-SE> (55)
<TOTAL-LIABILITY-AND-EQUITY> 6511
<SALES> 1322
<TOTAL-REVENUES> 1322
<CGS> 972
<TOTAL-COSTS> 1205
<OTHER-EXPENSES> (29)
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 100
<INCOME-PRETAX> 46
<INCOME-TAX> 15
<INCOME-CONTINUING> 32
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 32
<EPS-PRIMARY> .31
<EPS-DILUTED> .30
</TABLE>
