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 14, 2007
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 13d-4(c) under the
Exchange Act (17 CFR 240.13e-4 (c))
Item 2.02 - results of Operations and Financial Condition.
The Company issued a press release on August 14, 2007 reporting its operating
results for the quarter ended June 30, 2007. 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
(d) Exhibits. See Exhibit No. 99.1, Press release issued August 14, 2007
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 14, 2007 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 14, 2007
EXHIBIT 99.1
[GRAPHIC OMITTED]
Burke Mills, Inc.
FRANK GADDY YARN DIVISION
POST OFFICE BOX 190, VALDESE, NORTH CAROLINA 28690
Telephone (828) 874-6341 Fax (828) 879-7184
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CONTACT PERSON AT BURKE MILLS: TOM NAIL #828.874.6341
Page 1 of 2 FOR IMMEDIATE RELEASE: PRESS RELEASE
BURKE MILLS SECOND QUARTER 2007 RESULTS
Burke Mills, Inc. (OTC Bulletin Board) of Valdese, North Carolina, reports
operating results for the thirteen weeks and twenty-six weeks ended June 30,
2007.
Net sales for the thirteen weeks ending June 30, 2007 decreased by 17% to
$5,139,000 compared to $6,187,000 for the second quarter of 2006.
The Company recorded a net loss of ($848,000) for the thirteen week period
compared to a net loss of ($387,000) for the same period in 2006. This resulted
in a new loss per share of ($0.31) compared to a loss of ($.14) in 2006.
Net sales for the twenty-six week period ending June 30, 2007 decreased by 17.1%
to $10,403,000 compared to $12,556,000 in 2006. The Company recorded a net loss
for the period of ($1,568,000) compared to a net loss of ($862,000) in 2006.
This resulted in a net loss per share of ($0.57) versus ($0.31) in 2006.
CONDENSED STATEMENTS OF OPERATIONS AND RETAINED EARNINGS(DEFICIT)
(Unaudited)
Thirteen Weeks Ended Twenty-six WeeksEnded
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June 30, July 1, June 30, July 1,
2007 2006 2007 2006
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Net Sales $5,138,546 $6,186,983 $10,403,406 $12,555,729
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Cost of Sales 5,335,561 6,040,724 10,796,225 12,361,262
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Gross (loss)/profit (197,015) 146,259 (392,819) 194,467
Selling, general and
administrative expenses 633,023 532,509 1,151,059 1,050,692
Loss on disposal of
property assets -0- -0- -0- 5,868
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Operating loss (830,038) (386,250) (1,543,878) (862,093)
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Other Income
Interest Income 2,672 1,632 3,367 3,224
Other, net 894 57 959 602
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Total other income 3,566 1,689 4,326 3,826
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Other Expenses
Interest Expense 21,081 2,554 28,442 3,696
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Total other expense 21,081 2,554 28,442 3,696
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Net loss (847,553) (387,115) (1,567,994) (861,963)
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CONDENSED BALANCE SHEETS
June 30
2007 December 30
(Unaudited) 2006
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ASSETS
Current Assets
Cash and cash equivalents $ 297,017 $ 55,816
Accounts receivable 2,568,672 2,727,461
Inventories 1,652,787 1,543,272
Prepaid expenses and other current assets 90,061 30,371
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Total Current Assets 4,608,537 4,356,920
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Property, plant & equipment - at cost 28,115,310 28,041,676
Less: accumulated depreciation 25,506,666 24,741,391
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Property, plant and equipment- net 2,608,644 3,300,285
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Other Assets 16,575 16,575
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Total Assets $ 7,233,756 $ 7,673,780
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LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities
Accounts payable $ 1,337,933 $ 1,218,199
Line of Credit 1,187,463 258,274
Accrued salaries and wages 125,233 67,317
Other liabilities and accrued expenses 153,909 132,778
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Total Liabilities $ 2,804,538 $ 1,676,568
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Commitments and contingencies
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/(Deficit) (491,302) 1,076,692
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Total Shareholders' Equity 4,429,218 5,997,212
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Total Liabilities & Shareholders' Equity $ 7,233,756 $ 7,673,780
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