UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
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(Mark One) |
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QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the Quarterly Period Ended October 31, 2003 |
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the transition period from to |
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Commission file number 1-12557 |
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CASCADE CORPORATION |
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(Exact name of registrant as specified in its charter) |
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Oregon |
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93-0136592 |
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(State or other jurisdiction of |
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(I.R.S. Employer Identification No.) |
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2201 N.E. 201st Ave. |
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97024-9718 |
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(Address of principal executive office) |
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(Zip Code) |
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Registrant’s telephone number, including area code: (503) 669-6300 |
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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 ý No o
Indicate by check mark whether the registrant is an accelerated filer (as defined in Exchange Act Rule 12b-2). Yes ý No o
The number of shares outstanding of the registrant’s common stock as of November 25, 2003 was 12,084,723.
PART I—FINANCIAL INFORMATION
Item 1. Financial Statements
CASCADE CORPORATION
CONSOLIDATED BALANCE SHEETS
(Unaudited in thousands, except per share data)
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October 31 |
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January 31 |
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ASSETS |
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Current assets: |
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Cash |
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$ |
25,573 |
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$ |
29,501 |
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Marketable securities |
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17,228 |
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— |
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Accounts receivable, less allowance for doubtful accounts of $1,698 and $1,563 |
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57,907 |
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42,784 |
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Inventories |
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34,486 |
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30,431 |
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Deferred income taxes |
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2,432 |
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2,188 |
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Prepaid expenses and other |
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4,555 |
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4,279 |
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Income taxes receivable |
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— |
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3,727 |
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Current portion of notes receivable |
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— |
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1,088 |
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Total current assets |
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142,181 |
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113,998 |
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Property, plant and equipment, net |
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71,571 |
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65,863 |
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Goodwill |
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71,201 |
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59,355 |
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Deferred income taxes |
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10,948 |
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11,627 |
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Other assets |
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4,024 |
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2,915 |
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Notes receivable, net |
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— |
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8,559 |
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Total assets |
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$ |
299,925 |
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$ |
262,317 |
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LIABILITIES AND SHAREHOLDERS’ EQUITY |
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Current liabilities: |
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Notes payable to banks |
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$ |
1,630 |
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$ |
1,043 |
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Current portion of long-term debt |
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12,695 |
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12,695 |
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Accounts payable |
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19,432 |
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13,763 |
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Accrued payroll and payroll taxes |
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6,213 |
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5,687 |
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Accrued environmental expenses |
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808 |
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808 |
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Other accrued expenses |
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12,187 |
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8,801 |
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Total current liabilities |
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52,965 |
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42,797 |
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Long-term debt |
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50,618 |
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50,113 |
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Accrued environmental expenses |
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8,748 |
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9,389 |
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Deferred income taxes |
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1,510 |
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1,226 |
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Other liabilities |
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6,963 |
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5,514 |
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Total liabilities |
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120,804 |
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109,039 |
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Exchangeable convertible preferred stock and minority interest |
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— |
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8,530 |
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Shareholders’ equity: |
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Common stock, $.50 par value, 20,000 authorized shares; 12,083 and 11,398 shares issued and outstanding |
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6,042 |
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5,699 |
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Additional paid-in capital |
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10,749 |
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1,468 |
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Retained earnings |
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164,526 |
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151,925 |
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Accumulated other comprehensive loss: |
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Cumulative foreign currency translation adjustments |
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(2,196 |
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(14,344 |
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Total shareholders’ equity |
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179,121 |
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144,748 |
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Total liabilities and shareholders’ equity |
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$ |
299,925 |
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$ |
262,317 |
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The accompanying notes are an integral part of the consolidated financial statements.
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CASCADE CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited—in thousands, except per share data)
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Three Months |
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Nine Months |
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2003 |
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2002 |
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2003 |
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2002 |
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Net sales |
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$ |
75,772 |
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$ |
70,241 |
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$ |
220,338 |
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$ |
194,455 |
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Cost of goods sold |
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50,948 |
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45,298 |
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147,817 |
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126,650 |
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Gross profit |
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24,824 |
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24,943 |
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72,521 |
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67,805 |
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Selling and administrative expenses |
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15,923 |
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14,411 |
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45,888 |
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41,679 |
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Environmental expenses |
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— |
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2,100 |
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— |
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2,100 |
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Operating income |
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8,901 |
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8,432 |
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26,633 |
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24,026 |
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Interest expense |
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(1,165 |
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(1,602 |
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(3,496 |
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(4,540 |
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Interest income |
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234 |
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364 |
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779 |
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1,114 |
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Other income (expense), net |
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(126 |
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(291 |
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273 |
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(136 |
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Income before provision for income taxes |
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7,844 |
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6,903 |
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24,189 |
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20,464 |
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Provision for income taxes |
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2,752 |
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2,485 |
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7,982 |
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7,367 |
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Net income |
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5,092 |
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4,418 |
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16,207 |
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13,097 |
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Dividends paid on preferred shares of subsidiary |
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— |
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(30 |
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Net income applicable to common shareholders |
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$ |
5,092 |
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$ |
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