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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): August 17, 2005
BURKE MILLS, INC.
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(Exact name of registrant as specified in its charter)
North Carolina
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(State or other jurisdiction of incorporation or organization)
0-5680 56-0506342
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(Commission File No.) (I.R.S. Employer Identification No.)
191 Sterling Street, N.W., Valdese, North Carolina 28690
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(Address of principal executive offices) (Zip Code)
828 874-6341
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(Registrant's telephone number, including area code)
N/A
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
[__] Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
[__] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[__] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[__] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
SECTION 2 - FINANCIAL INFORMATION
Item 2.02 - Results of Operations and Financial Condition.
The Company issued a press release on August 17, 2005 reporting its operating
results for the quarter ended July 2, 2005. The text of the press release is
included in this report as an exhibit.
SECTION 9 - FINANCIAL STATEMENTS AND EXHIBITS
Item 9.01 - Financial Statements and Exhibits
(c) Exhibits. See Exhibit No. 99.1, Press Release issued August 17,
2005, attached hereto.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.
Date: August 17, 2005 BURKE MILLS, INC.
By:/s/Thomas I. Nail
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Thomas I. Nail
President and COO
EXHIBIT INDEX
Exhibit No. Description of Exhibit
99.1 Press Release issued August 17, 2005
EXHIBIT 99.1
BURKE MILLS, INC.
VALDESE, NC
PRESS RELEASE
BURKE MILLS ANNOUNCES SECOND QUARTER RESULTS
Burke Mills, Inc. (OTC Bulletin Board) of Valdese, North Carolina, reports
operating results for the thirteen weeks and twenty-six weeks ended July 2,
2005.
Net sales for the thirteen weeks ending July 2, 2005 decreased by 2.0% to
$6,579,000 compared to $6,710,000 for the second quarter of 2004.
The Company recorded a net loss of ($659,000) for the thirteen week period
compared to a net loss of ($84,000) for the same period in 2004. This resulted
in a net loss per share of ($.24) compared to net loss of ($.03) in 2004.
Net sales for the twenty-six week period ending July 2, 2005 increased by 3.1%
to $13,717,000 compared to $13,311,000 in 2004. The Company recorded a net loss
for the period of ($966,000) compared to a net loss of ($546,000) in 2004. This
resulted in a net loss per share of ($0.35) versus ($0.20) in 2004.
CONDENSED STATEMENTS OF OPERATIONS AND RETAINED EARNINGS
(Unaudited)
Thirteen Weeks Ended Twenty-six Weeks Ended
----------------------- -----------------------
Restated Restated
July 2, July 3, July 2, July 3,
2005 2004 2005 2004
------ ------ ------ ------
Net Sales $6,579,173 $6,709,965 $13,717,219 $13,310,580
----------- ----------- ----------- -----------
Cost and Expenses
Cost of Sales 6,698,318 6,295,499 13,585,730 $12,696,609
----------- ----------- ----------- -----------
Gross Profit (Loss) (119,145) 414,466 131,489 613,971
Selling, General and
Administrative Expenses 561,511 559,897 1,180,272 1,199,188
Gain on disposal of
property assets -0- 4,023 100,625 4,023
----------- ----------- ----------- ------------
Operating Loss (680,656) (141,408) (948,158) (581,194)
----------- ----------- ------------ -----------
Other Income
Interest Income 1,010 292 3,420 467
Miscellaneous 309 28,662 486 16,161
----------- ----------- ------------ -----------
Total 1,319 28,954 3,906 16,628
----------- ----------- ------------ -----------
Other Expenses
Interest Expense -0- 191 244 743
----------- ----------- ------------ -----------
Loss before Provision for
Income Taxes and Equity in
Net Earnings of Affiliate (679,337) (112,645) (944,496) (565,309)
Provision (Credit) for
Income Taxes -0- (29,000) -0- (318,000)
----------- ----------- ------------ -----------
Loss before Equity in Net
Earnings of Affiliate (679,337) (83,645) (944,496) (247,309)
Equity in Net Income
(Loss) of Affiliate 20,186 -0- (21,314) (298,180)
----------- ----------- ------------ -----------
Net Loss (659,151) (83,645) (965,810) (545,489)
Retained Earnings at
Beginning of Period 4,569,037 6,120,995 4,875,696 6,582,839
----------- ----------- ----------- -----------
Retained Earnings at End
of Period $3,909,886 $6,037,350 $ 3,909,886 $6,037,350
========== ========== =========== ==========
Loss Per Share $ (0.24) $ (0.03) $ (0.35) $ (0.20)
========== =========== ========== ==========
CONDENSED BALANCE SHEETS
July 2 January 1
(Unaudited) 2005
-------- --------
ASSETS
Current Assets
Cash and cash equivalents $ 187,561 $ 316,745
Accounts receivable 3,507,788 3,064,365
Inventories 1,577,258 1,640,983
Prepaid expenses and other current assets 145,785 112,580
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Total Current Assets 5,418,392 5,134,673
----------- -----------
Equity Investment in Affiliate -0- 196,300
----------- -----------
Property, plant & equipment - at cost 29,738,403 29,848,475
Less: accumulated depreciation 24,249,693 23,724,193
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Property, Plant and Equipment- Net 5,488,710 6,124,282
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Other Assets 16,575 16,575
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Total Assets $10,923,677 $11,471,830
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LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Accounts payable $ 1,744,847 $ 1,465,630
Accrued salaries and wages 169,558 89,847
Other liabilities and accrued expenses 178,866 120,137
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Total Current Liabilities 2,093,271 1,675,614
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Total Liabilities $ 2,093,271 $ 1,675,614
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Commitments and contingencies $ -0- $ -0-
Shareholders' Equity
Common stock, no par value
(stated value, $.66)
Authorized - 5,000,000 shares
Issued and outstanding -
2,741,168 shares 1,809,171 1,809,171
Paid-in capital 3,111,349 3,111,349
Retained earnings 3,909,886 4,875,696
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Total Shareholders' Equity 8,830,406 9,796,216
----------- -----------
$10,923,677 $11,471,830
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Burke Mills, Inc., is a processor of dyed, twisted, and textured yarns for the
automotive, home and contract upholstery markets.