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) May 17, 1994
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CRANE CO.
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(Exact name of registrant as specified in its Charter)
Delaware 1-1657 13-1952290
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(State or other juris- (Commission (IRS Employer
diction of incorporation) File Number) Identification
No.)
100 First Stamford Place, Stamford, CT 06902
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (203) 363-7300
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(Not Applicable)
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(Former name or former address, if changed since last report)
Crane Co. acquired ELDEC Corporation in March 1994 and filed an 8-K on
March 31, 1994 and an 8-KA on May 2, 1994. Crane also acquired Mark Controls
Corporation in April 1994 and filed an 8-K and an 8-KA on May 12, 1994. This
report on Form 8-K is being filed to set forth certain pro-forma information
in compliance with Regulation S-X required to be disclosed by a Registration
Statement on Form S-3 and to permit the incorporation of such information
therein by reference. The Pro-Forma financial statements presented include Mark
Controls Corporation and ELDEC Corporation consolidated with Crane Co. for the
first quarter of 1994.
Item 7. Financial Statements and Exhibits
Exhibit 1 Crane Co. Pro-Forma financial statements.
SIGNATURES
Pursuant to the requirements 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.
Crane Co.
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Registrant
May 18, 1994
By: /s/ D.S. Smith
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D. S. Smith
Vice President Finance
and Chief Financial Officer
By: /s/ M. L. Raithel
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M. L. Raithel
Controller-Chief
Accounting Officer
The following unaudited pro-forma condensed statements of income gives effect to
the acquisitions of ELDEC Corporation and Mark Controls Corporation using the
purchase method of accounting as if the acquisitions had occured at
January 1, 1994. This unaudited pro-forma condensed statement of income should
be read in conjunction with the notes thereto and may not be indicative of
the periods operating results had the acquisitions taken place on such date.
EXHIBIT 1
CRANE CO. - PROFORMA
Statement of Income
(in thousands, except per share amounts)
3/31/94 3/31/94 MARK Crane Co.
Crane Co. ELDEC CONTROLS Pro-Forma Adjustments Pro-Forma
& Subs Corp. 3/31/94 ELDEC MCC 3/31/94
--------- --------- --------- --------- --------- ----------
(Unaudited) (Unaudited) (Unaudited)
Net Sales $ 331,705 $ 27,363 $ 32,727 $ - $ - $ 391,795
Operating Costs
and Expenses
Cost of Sales 266,277 19,745 21,909 288 593 308,812
Selling, General
and Administrative 50,601 9,672 8,310 (1,913) - 66,670
---------- -------- --------- ---------- -------- ---------
316,878 29,417 30,219 (1,625) 593 375,482
Operating Profit (Loss) 14,827 (2,054) 2,508 1,625 (593) 16,313
Other Income (Deductions):
Interest Expense - Net (2,615) (453) (709) (1,309) (1,804) (6,890)
Miscellaneous Income
(Expense) - Net 241 15 3 - - 259
---------- -------- --------- ---------- -------- ---------
(2,374) (438) (706) (1,309) (1,804) (6,631)
---------- -------- --------- ---------- -------- ---------
Income (Loss) Before Taxes 12,453 (2,492) 1,802 316 (2,397) 9,682
Provision For Income Taxes
(Benefit) 5,044 (756) 721 126 (743) 4,392
---------- -------- --------- ---------- -------- ---------
Net Income $ 7,409 $ (1,736) $ 1,081 $ 190 $(1,654) $ 5,290
========== ======== ========= ========== ======== =========
Net Income Per Share $ .25 $0.18
===== =====
Average Shares Outstanding 30,051 30,051
The following unaudited pro-forma condensed balance sheet gives effect to the
acquisition of Mark Controls Corporation using the purchase method of accounting
as if such acquisition had occurred at March 31, 1994. This unaudited pro-forma
condensed balance sheet should be read in conjunction with the notes thereto.
EXHIBIT 1
CRANE CO. - PROFORMA
Balance Sheet
(in thousands, except per share amounts)
3/31/94 3/31/94 Crane Co.
Crane Co. Mark Pro-Forma Pro-Forma
& Subs Controls Adj. 3/31/94
--------- ---------- -------- ----------
(Unaudited) (Unaudited)
Current Assets:
Cash and Cash Equivalents $ - $ 6,394 $ - $ 6,394
Accounts Receivable 207,575 17,883 - 225,458
Contract Engineering in Process - - - -
Inventories at lower of cost,
principally LIFO, or market:
Net Inventory 222,302 28,968 - 251,270
Other Current Assets 8,191 5,406 - 13,597
-------- ------- ------- ----------
Total Current Assets 438,068 58,651 - 496,719
Intangible Assets, Net - 19,820 10,000 29,820
Property, Plant and Equipment:
Gross P.P.& E. 480,594 49,032 (23,580) 506,046
Accumulated Depreciation 227,415 27,880 (27,880) 227,415
-------- ------- ------- -----------
Net Property, Plant & Equipment 253,179 21,152 4,300 278,631
Other Assets 60,158 - - 60,158
Cost in Excess of Net
Assets Acquired 120,772 - 49,291 170,063
-------- -------- -------- -----------
Total Assets $872,177 $99,623 $63,591 $1,035,391
======== ======== ======== ===========
Exhibit 1 CRANE CO. - PROFORMA
Balance Sheet
(in thousands,except per share amounts)
3/31/94 3/31/94 Crane Co.
Crane Co. Mark Controls Pro-Forma Pro-Forma
& Subs. Corporation Adj. 3/31/94
--------- ------------- --------- --------
(Unaudited) (Unaudited)
Liabilities and Shareholders' Equity
Current Liabilities:
Current Maturities of
Long-Term Debt $ 2,424 $ - $ - $ 2,424
Loans Payable 49,085 - - 49,085
Accounts Payable 91,565 7,071 - 98,636
Accrued Liabilities 99,684 10,187 4,100 113,971
Taxes on Income 10,601 2,249 - 12,850
------- ----------- ------- -----------
Total Current Liabilities 253,359 19,507 4,100 276,966
Long-Term Debt 244,764 37,997 96,300 379,061
Long-Term Debt - Related Parties - - - -
Reserves and Other Liabilities 19,393 859 - 20,252
Accrued Postretirement Benefits 43,068 - - 43,068
Accrued Pension Liability 6,761 - - 6,761
Deferred Income Tax 12,293 473 3,978 16,744
Shareholders' Equity:
Common Shares 29,911 50 (50) 29,911
Capital Surplus 10,871 20,613 (20,613) 10,871
Retained Earnings 265,704 20,736 (20,736) 265,704
Currency Translation Adjustment (13,947) (612) 612 (13,947)
--------- -------- -------- -----------
Total Common Shareholders' Equity 292,539 40,787 (40,787) 292,539
--------- -------- -------- -----------
$ 872,177 $ 99,623 $ 63,591 $1,035,391
========= ======== ======== ===========
Pro-Forma Adjustments
The net assets of Mark Controls Corporation and ELDEC Corporation included in
the Financial Statements are based upon preliminary allocations of purchase
price. The final valuations will affect this allocation, they are not expected
to have a material effect on the financial statements. The acquisition of ELDEC
Corporation was consolidated in Crane's 3/31/94 balance sheet.
Mark
Controls
ELDEC Corporation
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Adjustments to income
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1) Amortization of the excess of purchase price over
net assets acquired over 25 to 40 years 44 493
2) Record intangible amortization - 20 to 25 years 244 100
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Cost of Sales 288 593
3) Increase in interest cost due to debt incurred and
cash used for acquisition 1,309 1,804
4) Reverse stock options recorded in P/L at acquisition
(one-time charge) - Selling, General & Administrative (1,913) -
Adjustments to Balance Sheet
- - ----------------------------
5) Record preliminary intangible assets - 10,000
6) Record preliminary write-up of property, plant & equipment (land) - 4,300
7) Record preliminary goodwill upon acquisition - 49,291
8) Establish restructuring reserve (severance & plant rearrangement) - 4,100
9) Cost of investment - 96,300
10) Deferred tax - temporary timing differences on the
acquisition adjustments - 3,978