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FORM 10-Q--QUARTERLY REPORT UNDER SECTION 13 OR 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
[X] Quarterly Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934 For the period ended September 30,
1998
or
[ ] 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: 33-11396-A
LMR LAND COMPANY, LTD.
(Exact name of Registrant as specified in its charter)
Tennessee 62-1299384
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) identification)
One Belle Meade Place, 4400 Harding Road, Suite 500, Nashville,
Tennessee 37205 (Address of principal executive office)
(Zip Code)
(615) 292-1040
(Registrant's telephone number, including area code)
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 at least the past 90 days.
YES X NO ___
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PART I. FINANCIAL INFORMATION
Item 1. FINANCIAL STATEMENTS
LMR LAND COMPANY, LTD.
(A Tennessee Limited Partnership)
FINANCIAL STATEMENTS
For The Three and Nine Months Ended September 30, 1998 and 1997
INDEX
Financial Statements:
Balance Sheets 3
Statements of Operations 4
Statements of Cash Flows 5
Notes to Financial Statements 6
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LMR LAND COMPANY, LTD.
(A Limited Partnership)
BALANCE SHEETS
(Unaudited)
September 30, December 31,
1998 1997
--------- ------------
ASSETS
CASH $ 33,325 $ 146,668
RESTRICTED CASH 177,482 -
LAND AND IMPROVEMENTS
HELD FOR INVESTMENT 3,086,574 3,963,911
Total Assets $ 3,297,381 $ 4,110,579
========== ==========
LIABILITIES AND PARTNERS' EQUITY
ACCOUNTS PAYABLE $ 87,840 $ 42,649
PARTNERS' EQUITY:
Limited Partners, 7,500 units
outstanding 3,209,443 4,067,832
General Partner 98 98
Total partners' equity 3,209,541 4,067,930
---------- --------
Total Liabilities & Partners' Equity $ 3,297,381 $ 4,110,579
========== ========
<FN>
See notes to financial statements.
/TABLE
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LMR LAND COMPANY, LTD.
(A Limited Partnership)
STATEMENTS OF OPERATIONS
(Unaudited)
Quarter to Date Year to Date
Ending September 30,
---------------------------------------
1998 1997 1998 1997
---- ---- ---- ----
REVENUE:
LAND SALES:
Sale Proceeds $900,000 $ -$1,223,500 $ -
Cost of Land and
Improvements Sold (693,001) -(1,030,028) -
Closing Costs (57,750) - (85,475) -
Gain on Sale of
Land & Improvements 149,249 - 107,997 -
Interest 1,248 - 8,094 8,713
Miscellaneous 250 250 288 250
------ ------- -------- -----
Total Revenue 150,747 250 116,379 8,963
EXPENSES:
Property Taxes 25,613 31,769 25,957 31,769
Grounds Maintenance 2,281 - 12,103 -
Management Fees 3,500 3,500 10,500 10,500
Legal & Accounting Fees - - 16,784 16,638
General & Admin. Expenses - 20 967 2,467
Other Operating Expenses 2,786 1,880 8,457 8,614
------ ------ --------- ------
Total Expenses 34,180 37,169 74,768 69,988
NET INCOME (LOSS) $116,567 $(36,919) $41,611 $(61,025)
<FN>
See notes to financial statements
/TABLE
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LMR LAND COMPANY, LTD.
(A Limited Partnership)
STATEMENTS OF CASH FLOWS
(Unaudited)
Year-to-date
SEPTEMBER 30,
------------
1998 1997
---- ----
Cash Flows from Operating Activities:
Net Income (Loss) $ 41,611 $(61,025)
Adjustments to reconcile Net Income
(Loss) to Net Cash Provided by
(used in) Operating Activities:
Increase in Restricted Cash (177,482) -
Increase (Decrease) in
Accounts Payable 45,191 (29,449)
Cost of Land & Improvements
Sold 1,030,028 -
Cost of Land & Improvements (152,691) -
-------- ---------
Net Cash Provided By (used in)
Operating Activities 786,657 (90,474)
Cash Flows from financing activities:
Cash distribution to Partners (900,000) (225,000)
Net Decrease in Cash (113,343) (315,474)
CASH AT JANUARY 1, 146,668 514,612
CASH AT SEPTEMBER 30, $ 33,325 $ 199,138
======== ==========
<FN>
See notes to financial statements.
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LMR LAND COMPANY, LTD.
(A Limited Partnership)
NOTES TO FINANCIAL STATEMENTS
For the Three and Nine Months Ended September 30, 1998 and 1997
(Unaudited)
A.ACCOUNTING POLICIES
The unaudited financial statements presented herein have been
prepared in accordance with the instructions to Form 10-Q and do
not include all of the information and note disclosures required by
generally accepted accounting principles. These statements should
be read in conjunction with the financial statements and notes
thereto included in the Partnership's Form 10-K for the year ended
December 31, 1997. In the opinion of management, such financial
statements include all adjustments, consisting only of normal
recurring adjustments, necessary to summarize fairly the
Partnership's financial position and results of operations. The
results of operations for the nine month period ended September 30,
1998 may not be indicative of the results that may be expected for
the year ending December 31, 1998.
B.RELATED PARTY TRANSACTIONS
The General Partner and its affiliates have been actively involved
in managing the Partnership's operations. Compensation earned for
these services in the first nine months were as follows:
1998 1997
[S] [C] [C]
Management Fees $10,500 $ 10,500
Accounting Fees $ 2,950 $ 2,100
C. COMPREHENSIVE INCOME
Effective January 1, 1998, the Partnership adopted Statement
of Financial Accounting Standards (SFAS) No. 130, Reporting
Comprehensive Income. SFAS No. 130 establishes standards for
reporting and display of comprehensive income and its components in
a full set of general-purpose financial statements and requires
that all components of comprehensive income be reported in a
financial statement that is displayed with the same prominence as
other financial statements. Comprehensive income is defined as the
change in equity of a business enterprise, during a period,
associated with transactions and other events and circumstances
from non-owner sources. It includes all changes in equity during
a period except those resulting from investments by owners and
distributions to owners. During the nine month periods ended
September 30, 1998, and 1997, the Partnership had no components of
comprehensive income. Accordingly, comprehensive income for each
of the periods was the same as net income (loss).
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Item 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
RESULTS OF OPERATIONS
During the third quarter of 1998, the Registrant sold 31 acres of
Lebanon Property for gross proceeds of $900,000. These combined
proceeds were used to make a $900,000 cash distribution on July 27,
1998. Earlier in the year, the Registrant sold 10 acres of the
Lebanon Property. As of October 31, 1998, the Registrant held 6.5
acres in Lebanon, Tennessee and all land originally purchased in
Macon, Georgia.
Overall expenses of the Registrant have not changed significantly
from prior quarters except for grounds maintenance. The increase
in grounds maintenance is due to preparing the land for the 31
acres Lebanon sale in July 1998.
The General Partner has evaluated the impact of year 2000 issues on
our computer systems and applications. The Registrant is affected
by a single personal computer and a commercial software package.
Both are Y2K compliant.
FINANCIAL CONDITION
LIQUIDITY
At October 31, 1998, the Registrant had approximately $16,363 in
cash reserves. The General Partner does not expect the current
cash balance to be sufficient to cover the cash needs of the
Registrant for the next year, but restricted development funds are
expected to be released before the end of the year providing
sufficient cash to meet the annual operating expenses.
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PART II. OTHER INFORMATION
Item 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits
Exhibit 27 - Financial Data Schedule
(b) No 8-K's have been filed during this quarter.
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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.
LMR LAND COMPANY, LTD.
By: 222 LMR, LTD.
General Partner
By: 222 PARTNERS, INC.
General Partner
Date: November 16, 1998 By:/s/ Steven D. Ezell
President
Date: November 16, 1998 By:/s/ Michael A. Hartley
Secretary/Treasurer