Form 10-QSB
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
|X| Quarterly Report Pursuant to Section 13 or
15(d) of the Securities Exchange Act of
1934. For the quarterly period ended June
30, 2003
|_| 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 000-21552
ATEL Cash Distribution Fund IV, L.P.
(Exact name of registrant as specified in its charter)
California 94-3145429
- ---------- ----------
(State or other jurisdiction of (I. R. S. Employer
incorporation or organization) Identification No.)
600 California Street, 6th Floor, San Francisco, California 94108-2733
----------------------------------------------------------------------
(Address of principal executive offices)
Registrant's telephone number, including area code: (415) 989-8800
Securities registered pursuant to section 12(b) of the Act: None
Securities registered pursuant to section 12(g) of the Act: Limited Partnership
Units
Indicate by a 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 |X| No |_|
Indicate by check mark whether the registrant is an accelerated filer (as
defined in Rule 12b-2 of the Act). Yes |_| No |X|
The number of Limited Partnership Units outstanding as of June 30, 2003 was
7,487,350
DOCUMENTS INCORPORATED BY REFERENCE
None
1
Part I. FINANCIAL INFORMATION
Item 1. Financial Statements (unaudited).
2
ATEL CASH DISTRIBUTION FUND IV, L.P.
BALANCE SHEET
June 30, 2003
(Unaudited)
ASSETS
Cash and cash equivalents $ 960,642
Accounts receivable, net of allowance for doubtful accounts of $383 103,653
Investments in leases 1,445,355
-------------
Total assets $ 2,509,650
=============
LIABILITIES AND PARTNERS' CAPITAL
Accounts payable $ 63,097
-------------
Total liabilities 63,097
Partners' capital:
General Partner 244,115
Limited Partners 2,202,438
-------------
Total partners' capital 2,446,553
-------------
Total liabilities and partners' capital $ 2,509,650
=============
See accompanying notes.
3
ATEL CASH DISTRIBUTION FUND IV, L.P.
INCOME STATEMENTS
SIX AND THREE MONTH PERIODS ENDED
JUNE 30, 2003 AND 2002
(Unaudited)
Six Months Three Months
Ended June 30, Ended June 30,
-------------- --------------
2003 2002 2003 2002
---- ---- ---- ----
Revenues:
Leasing activities:
Direct financing leases $ 384,448 $ 425,427 $ 188,242 $ 222,654
Operating leases 238,719 303,151 127,426 165,289
Gain on sale of assets 58,572 10,131 28,453 2,737
Interest 4,793 6,953 1,943 2,692
Other 123 293 81 256
---------------- ----------------- ---------------- ----------------
686,655 745,955 346,145 393,628
---------------- ----------------- ---------------- ----------------
Expenses:
Cost reimbursements to General Partner 221,833 135,666 127,851 83,916
Depreciation and amortization 152,747 243,024 73,912 118,466
Professional fees 32,020 29,640 13,957 18,505
Recovery of provision for doubtful accounts (24,000) - (4,000) -
Interest - 10,431 - 4,717
Other 38,145 54,996 21,455 30,408
---------------- ----------------- ---------------- ----------------
420,745 473,757 233,175 256,012
---------------- ----------------- ---------------- ----------------
Net income $ 265,910 $ 272,198 $ 112,970 $ 137,616
================ ================= ================ ================
Net income
General Partner $ 2,659 $ 2,722 $ 1,130 $ 1,376
Limited Partners 263,251 269,476 111,840 136,240
---------------- ----------------- ---------------- ----------------
$ 265,910 $ 272,198 $ 112,970 $ 137,616
================ ================= ================ ================
Net income per Limited Partnership unit $0.04 $0.04 $0.01 $0.02
Weighted average number of units outstanding 7,487,350 7,487,350 7,487,350 7,487,350
STATEMENT OF CHANGES IN PARTNERS' CAPITAL
SIX MONTH PERIOD ENDED
June 30, 2003
(Unaudited)
Limited Partners General
Units Amount Partner Total
Balance December 31, 2002 7,487,350 $3,626,691 $241,456 $ 3,868,147
Distributions to limited partners - (1,687,504) - (1,687,504)
Net income - 263,251 2,659 265,910
---------------- ----------------- ---------------- ----------------
Balance June 30, 2003 7,487,350 $2,202,438 $ 244,115 $ 2,446,553
================ ================= ================ ================
See accompanying notes.
4
ATEL CASH DISTRIBUTION FUND IV, L.P.
STATEMENTS OF CASH FLOWS
SIX MONTH AND THREE MONTH PERIODS ENDED
JUNE 30, 2003 AND 2002
(Unaudited)
Six Months Three Months
Ended June 30, Ended June 30,
Operating activities: 2003 2002 2003 2002
---- ---- ---- ----
Net income $ 265,910 $ 272,198 $ 112,970 $ 137,616
Adjustments to reconcile net income to
net cash provided by operations:
Recovery of loss provision (24,000) - (4,000) -
Depreciation and amortization 152,747 243,024 73,912 118,466
Gain on sale of asset (58,572) (10,131) (28,453) (2,737)
Changes in operating assets and liabilities:
Accounts receivable 7,616 61,995 36,109 69,723
Accounts payable, General Partner - (48,454) - -
Accounts payable, other (3,732) (4,432) (838) (158)
Accrued interest payable - (663) - (335)
Unearned operating lease income (57,989) (43,219) (32,732) (41,204)
---------------- ----------------- ---------------- ----------------
Net cash from operations 281,980 470,318 156,968 281,371
---------------- ----------------- ---------------- ----------------
Investing activities:
Reduction in investment in direct financing leases 67,433 27,573 37,419 3,846
Proceeds from sales of lease assets 98,579 401,040 46,656 31,903
---------------- ----------------- ---------------- ----------------
Net cash provided by investing activities 166,012 428,613 84,075 35,749
---------------- ----------------- ---------------- ----------------
Financing activities:
Distributions to limited partners (1,687,504) (935,936) - -
Repayment of non-recourse debt - (91,933) - (46,462)
---------------- ----------------- ---------------- ----------------
Net cash used in financing activities (1,687,504) (1,027,869) - (46,462)
---------------- ----------------- ---------------- ----------------
Net increase (decrease) in cash and (1,239,512) (128,938) 241,043 270,658
cash equivalents
Cash and cash equivalents at 2,200,154 1,269,512 719,599 869,916
beginning of period
---------------- ----------------- ---------------- ----------------
Cash and cash equivalents at end of
period $ 960,642 $1,140,574 $ 960,642 $ 1,140,574
================ ================= ================ ================
Supplemental disclosures of cash flow
information:
Cash paid during period for interest $ - $ 11,094 $ - $ 5,052
================ ================= ================ ================
See accompanying notes.
5
ATEL CASH DISTRIBUTION FUND IV, L.P.
NOTES TO FINANCIAL STATEMENTS
June 30, 2003
(Unaudited)
1. Summary of significant accounting policies:
Basis of presentation:
The accompanying unaudited financial statements have been prepared in accordance
with generally accepted accounting principles for interim financial information
and with the instructions to Form 10-Q and Article 10 of Regulation S-X. The
unaudited interim financial statements reflect all adjustments which are, in the
opinion of the General Partner, necessary to a fair statement of financial
position and results of operations for the interim periods presented. All such
adjustments are of a normal recurring nature. These unaudited interim financial
statements should be read in conjunction with the financial statements and notes
thereto contained in the report on Form 10-KSB for the year ended December 31,
2002, filed with the Securities and Exchange Commission.
2. Organization and partnership matters:
ATEL Cash Distribution Fund IV, L.P. (the Partnership), was formed under the
laws of the state of California on September 19, 1991, for the purpose of
acquiring equipment to engage in equipment leasing and sales activities.
Upon the sale of the minimum amount of Units of Limited Partnership interest
(Units) of $1,200,000 and the receipt of the proceeds thereof on March 6, 1992,
the Partnership commenced operations.
The Partnership's business consists of leasing various types of equipment.
ATEL Financial Services, LLC, an affiliated entity, acts as the General Partner
of the Partnership.
The Partnership is in the final stage of its liquidation and is making
distributions on an annual basis.
3. Investment in leases:
The Partnership's investment in leases consists of the following:
Depreciation
Expense and Reclassi-
December 31, Amortization fications and June 30,
2002 of Leases Dispositions 2003
---- --------- -------------- ----
Net investment in direct financing leases $ 1,221,754 $ (67,433) $ (6,478) $ 1,147,843
Net investment in operating leases 475,908 (147,494) (44,529) 283,885
Assets held for sale or lease - - 11,000 11,000
Initial direct costs, net of accumulated
amortization of $102,441 in 2003 and
$107,405 in 2002 7,880 (5,253) - 2,627
---------------- ----------------- ---------------- ----------------
$ 1,705,542 $ (220,180) $ (40,007) $ 1,445,355
================ ================= ================ ================
6
ATEL CASH DISTRIBUTION FUND IV, L.P.
NOTES TO FINANCIAL STATEMENTS
June 30, 2003
(Unaudited)
3. Investment in leases (continued):
Operating leases:
The following schedule provides an analysis of the Partnership's investment in
property subject to operating leases by major classifications as of December 31,
2002, acquisitions and dispositions during the quarters ended March 31, 2003 and
June 30, 2003.
Reclassifications &
December 31, Dispositions June 30,
2002 1st Quarter 2nd Quarter 2003
---- ----------- ----------- ----
Transportation $ 1,854,919 $ (90,876) $ (98,207) $ 1,665,836
Manufacturing 457,670 - - 457,670
Materials handling 291,919 - (256,000) 35,919
Construction 236,457 - (236,457) -
---------------- ----------------- ---------------- ----------------
2,840,965 (90,876) (590,664) 2,159,425
Less accumulated depreciation (2,365,057) (658) 490,175 (1,875,540)
---------------- ----------------- ---------------- ----------------
$ 475,908 $ (91,534) $ (100,489) $ 283,885
================ ================= ================ ================
All of the property on operating leases was acquired during 1992 through 1996.
Direct financing leases:
As of June 30, 2003, investment in direct financing leases consists of materials
handling equipment and rail cars. The following lists the components of the
Company's investment in direct financing leases as of June 30, 2003:
Total minimum lease payments receivable $ 1,043,719
Estimated residual values of leased equipment (unguaranteed) 895,971
----------------
Investment in direct financing leases 1,939,690
Less unearned income (791,847)
----------------
Net investment in direct financing leases $ 1,147,843
================
At June 30, 2003, the aggregate amounts of future minimum lease payments are as
follows:
Operating Direct Financing
Leases Leases Total
Six months ending December 31, 2003 $ 155,467 $ 451,320 $ 606,787
Year ending December 31, 2004 31,740 592,399 624,139
---------------- ----------------- ----------------
$ 187,207 $1,043,719 $ 1,230,926
================ ================= ================
7
ATEL CASH DISTRIBUTION FUND IV, L.P.
NOTES TO FINANCIAL STATEMENTS
June 30, 2003
(Unaudited)
4. Related party transactions:
The terms of the Limited Partnership Agreement provide that the General Partner
and/or affiliates are entitled to receive certain fees for equipment
acquisition, management and resale and for management of the Partnership.
The General Partner and/or affiliates earned fees, commissions and
reimbursements, pursuant to the Limited Partnership Agreement. Cost
reimbursement to the General Partner were $221,833 and $135,666 in the six
months ended June 30, 2003 and 2002, respectively. These reimbursements totaled
$127,851 and $83,916 in the three months ended June 30, 2003 and 2002.
During 2001, the General Partner decided to take no further fees from the
Partnership. Such fees would otherwise have totaled approximately $42,063 and
$52,446 for the six months ended June 30, 2003 and 2002, respectively. These
same fees would have totaled $33,087 and $43,470 for the three months ended June
30, 2003 and 2002, respectively.
8
Item 2. Management's Discussion and Analysis of Financial Condition and Results
of Operations
Statements contained in this Item 2, "Management's Discussion and Analysis of
Financial Condition and Results of Operations," and elsewhere in this Form
10-QSB, which are not historical facts, may be forward-looking statements. Such
statements are subject to risks and uncertainties that could cause actual
results to differ materially from those projected. Investors are cautioned not
to attribute undue certainty to these forward-looking statements, which speak
only as of the date of this Form 10-QSB. We undertake no obligation to publicly
release any revisions to these forward-looking statements to reflect events or
circumstances after the date of this Form 10-QSB or to reflect the occurrence of
unanticipated events, other than as required by law.
Capital Resources and Liquidity
During 2003 and 2002, the Partnership's primary source of liquidity was rents
from direct financing and operating leases. The liquidity of the Partnership
will vary in the future, increasing to the extent cash flows from leases exceed
expenses, and decreasing as distributions are made to the limited partners and
to the extent expenses exceed cash flows from leases.
As another source of liquidity, the Partnership has contractual obligations with
a diversified group of lessees for fixed lease terms at fixed rental amounts. As
the initial lease terms expire, the Partnership will sell the equipment. The
future liquidity beyond the contractual minimum rentals will depend on the
General Partner's success in selling the equipment as it comes off lease.
The Partnership currently has available adequate reserves to meet contingencies,
but in the event those reserves were found to be inadequate, the Partnership
would likely be in a position to borrow against its current portfolio to meet
such requirements. The General Partners envision no such requirements for
operating purposes.
Through June 30, 2003, the Partnership had borrowed approximately $38,342,000
all of which has been repaid.
No commitments of capital have been made or are expected to be made.
If inflation in the general economy becomes significant, it may affect the
Partnership inasmuch as the residual (resale) values may increase as the costs
of similar assets increase. However, the Partnership's revenues from existing
leases would not increase, as such rates are generally fixed for the terms of
the leases without adjustment for inflation.
Cash Flows
For the six month periods ended June 30, 2003 and 2002, the primary sources of
cash from operations were rents from direct financing and operating leases.
Direct finance lease rents decreased from $425,427 in 2002 to $384,448 in 2003,
a decrease of $40,979 for the six month period and from $222,654 in 2002 to
$188,242 in 2003, a decrease of $34,412 for the three month period. Cash from
operating leases decreased by $64,432 from 2002 to 2003 for the six month period
and by $37,863 for the three month period. These decreases were a result of
sales of direct finance and operating lease assets over the prior year.
Sources of cash from investing activities in 2003 and 2002 consisted of the
proceeds of the sales of lease assets and cash flows from reductions in net
investments in direct financing leases. Proceeds from the sales of lease assets
are not expected to be consistent from one period to another. Asset sales are
made as leases expire, as purchasers can be found and as the sales can be
negotiated and completed. Cash flows from direct financing leases increased from
$27,573 in the first six months of 2002 to $67,433 for the same period in 2003
and from $3,846 to $37,419 for the three month periods.
In 2003 and 2002, there were no financing sources of cash flows. Repayments of
non-recourse debt have decreased as a result of the scheduled debt payments, all
debt had been repaid as of December 31, 2002. The Partnership is in the final
stage of its liquidation and is making distributions on an annual basis. The
distributions are being paid out each January based on the cash flows generated
in the previous year. Distributions are no longer expected to be consistent from
one year to another as the cash flows generated in future periods will be
dependent on asset sales and other factors which are not expected to be
consistent from one period to another.
Results of Operations
Operations for the six month period ended June 30, 2003 resulted in a net income
of $265,910 compared to net income of $272,198 for the same period in 2002. The
three month period ended June 30, 2003 resulted in a decrease of $24,646 from
the comparable period in 2002. Although revenues declined by $59,300 for the six
month period, this decrease was offset by overall decreases in expenses of
$53,012 in 2003 compared to 2002. For the three month periods ended June 30,
2003 and 2002, revenues decreased from $393,628 in 2002 to $346,145 in 2003, a
decrease of $47,483. As with the six month periods, expenses decreased compared
to 2002, from $217,745 in 2002 to $187,570 in 2003, a decrease of $30,175.
9
Most significant was the decline in depreciation and amortization expenses,
which decreased from $243,024 in 2002 to $152,747 in 2003 for the six month
periods and from $118,466 to $73,912 in the three month period as a result of
operating lease asset sales over the last year.
Gains on sales from lease assets for the six month period increased from $10,131
in 2002 to $58,572 in 2003 and from $2,737 to $28,453 for the three month
periods. Sales of assets are not expected to be consistent from one period to
another as such sales do not occur at regular intervals nor are they for
consistent amounts, with no additions to operating lease assets.
Item 3. Quantitative and Qualitative Disclosures of Market Risk.
The Partnership, like most other companies, is exposed to certain market risks,
including primarily changes in interest rates. The Partnership believes its
exposure to other market risks including foreign currency exchange rate risk,
commodity risk and equity price risk are insignificant to both its financial
position and results of operations.
In general, the Partnership has managed its exposure to interest rate risk by
obtaining fixed rate debt. The fixed rate debt was structured so as to match the
cash flows required to service the debt to the payment streams under fixed rate
lease receivables. The payments under the leases were assigned to the lenders in
satisfaction of the debt. Furthermore, the Partnership has historically been
able to maintain a stable spread between its cost of funds and lease yields in
both periods of rising and falling rates. As of June 30, 2003, the Partnership
had no indebtedness to lenders.
Item 4. Controls and procedures.
Internal Controls
As of June 30, 2003, an evaluation was performed under the supervision and with
the participation of the Partnership's management, including the CEO and CFO of
the General Partner, of the effectiveness of the design and operation of the
Partnership's disclosure controls and procedures. Based on that evaluation, the
Partnership's management, including the CEO and CFO of the General Partner,
concluded that the Partnership's disclosure controls and procedures were
effective as of June 30, 2003. There have been no significant changes in the
Partnership's internal controls or in other factors that could significantly
affect internal controls subsequent to June 30, 2003.
Changes in internal controls
There have been no significant changes in our internal controls or in other
factors that could significantly affect our disclosure controls and procedures
subsequent to the evaluation date, nor were there any significant deficiencies
or material weaknesses in our internal controls.
Evaluation of disclosure controls and procedures
Under the supervision and with the participation of our management, including
the CEO and CFO, an evaluation of the effectiveness of the design and operation
of the Partnership's disclosure controls and procedures, as defined in Rules
240.13a-14(c) and 15d-14(c) under the Securities Exchange Act of 1934 was
performed as of a date within ninety days before the filing date of this
quarterly report. Based upon this evaluation, the CEO and CFO of the General
Partner concluded that, as of the evaluation date, our disclosure controls and
procedures were effective for the purposes of recording, processing, summarizing
and timely reporting information required to be disclosed by us in the reports
that we file under the Securities Exchange Act of 1934 and that such information
is accumulated and communicated to our management in order to allow timely
decisions regarding required disclosure.
PART II. OTHER INFORMATION
Item 1. Legal Proceedings.
No material legal proceedings are currently pending against the Partnership or
against any of its assets. The following is a discussion of legal matters
involving the Partnership, but which do not represent claims against the
Partnership or its assets.
This matter involves litigation over the enforceability of a liquidated damages
clause in a lease, and a combined claim of the Partnership and some affiliates
of the Partnership, of approximately $4,000,000. The General Partner has brought
a suit in San Francisco Superior Court on behalf the Partnership. The suit was
removed to Federal District Court in San Francisco. The lessee, Quaker Coal
Company, leases mining equipment from the above-referenced Funds. On December
31, 1997, the lessee requested a forbearance and relief on lease payments for a
period of three months. By May 1998, the lessee was past due for five months.
On or about May 12, 1998, the General Partner declared the lessee to be in
default of the lease and demanded the acceleration of all lease receivables, or
alternatively, a modification of the lease obligation. On or about June 1998,
the Lessee made itself current on substantially all outstanding amounts. The
Partnership filed a suit against the lessee for its contractual damages in the
U.S. District Court of Northern California (the "Court").
10
On June 16, 2000, the lessee filed for protection under Chapter 11 of the U.S.
Bankruptcy Code. The Partnership obtained a stipulation for relief from the
automatic bankruptcy stay to allow the Court to issue its ruling, and filed a
request to participate on the Official Committee of Unsecured Creditors in the
bankruptcy proceedings. The Partnership succeeded in securing the return of its
equipment, which equipment has been since liquidated.
The Court issued a ruling on March 4, 2001, denying the Partnership's claim for
damages. The lessee subsequently filed a claim against the Partnership, for
reimbursement of its legal expenses. The Partnership believed the Court's
decision is erroneous as a matter law, and filed an appeal of the decision in
the U.S. District Court of Appeals.
The lessee filed a plan of reorganization in the Bankruptcy Court, which plan
was objected to by several large creditors, including the Partnership. These
creditors were also seeking a formal role on the creditors committee or
formation of their own committee.
Upon the termination of the debtor's exclusivity period, competing plans were
filed by other creditors, and voting on the competing plans occurred October 8,
2001. The results of the vote were that American Electric Power's ("AEP") Plan
of Reorganization ("AEP Plan") was successful. Under the AEP Plan, the claim of
the Partnership was assigned to a liquidating trustee for resolution and
satisfaction of creditors' claims against the debtor's estate.
In January 2002, the General Partner attended an appellate settlement conference
seeking to resolve the outstanding disputed claim. A reserve had been set aside
by the debtor's liquidating trustee in the amount of $1.2 million in partial
satisfaction of the Partnership's claim, although this claim amount remains in
dispute. In January 2003, the Federal Appellate Court in San Francisco heard an
appeal of the lower Court's decision. The appellate decision, handed down in
March of 2003, was adverse to Partnership's position. Currently, the Partnership
is not expected to recover any amounts above the payment of the lease rent and
the proceeds of the liquidation of the equipment already received.
Item 2. Changes In Securities.
Inapplicable.
Item 3. Defaults Upon Senior Securities.
Inapplicable.
Item 4. Submission Of Matters To A Vote Of Security Holders.
Inapplicable.
Item 5. Other Information.
Inapplicable.
Item 6. Exhibits And Reports On Form 8-K.
(a) Documents filed as a part of this report
1. Financial Statements
Included in Part I of this report:
Balance Sheet, June 30, 2003.
Income Statements for the six and three month periods ended June 30,
2003 and 2002.
Statement of Changes in Partners' Capital for the six months ended
June 30, 2003.
Statements of Cash Flows for the six month periods ended June 30, 2003
and 2002.
Notes to the Financial Statements
2. Financial Statement Schedules
All other schedules for which provision is made in the applicable
accounting regulations of the Securities and Exchange Commission are
not required under the related instructions or are inapplicable, and
therefore have been omitted.
(b) Report on Form 8-K
None
11
CERTIFICATIONS
I, Paritosh K. Choksi, certify that:
1. I have reviewed this quarterly report on Form 10-QSB of ATEL Cash
Distribution Fund IV, LP;
2. Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this annual
report;
3. Based on my knowledge, the financial statements, and other financial
information included in this annual report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this annual report;
4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and have:
a) designed such disclosure controls and procedures to ensure that material
information relating to the registrant, including its consolidated
subsidiaries, is made known to us by others within those entities,
particularly during the period in which this annual report is being
prepared;
b) evaluated the effectiveness of the registrant's disclosure controls and
procedures as of a date within 90 days prior to the filing date of this
annual report (the "Evaluation Date"); and
c) presented in this annual report our conclusions about the effectiveness
of the disclosure controls and procedures based on our evaluation as of the
Evaluation Date;
5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent
functions):
a) all significant deficiencies in the design or operation of internal
controls which could adversely affect the registrant's ability to record,
process, summarize and report financial data and have identified for the
registrant's auditors any material weaknesses in internal controls; and
b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal
controls; and
6. The registrant's other certifying officers and I have indicated in this
annual report whether there were significant changes in internal controls or in
other factors that could significantly affect internal controls subsequent to
the date of our most recent evaluation, including any corrective actions with
regard to significant deficiencies and material weaknesses.
Date:
August 12, 2003
/s/ Paritosh K. Choksi
- -----------------------
Paritosh K. Choksi
Principal Financial Officer of Registrant, Executive
Vice President of General Partner
12
CERTIFICATIONS
I, Dean L. Cash, certify that:
1. I have reviewed this quarterly report on Form 10-QSB of ATEL Cash
Distribution Fund IV, LP;
2. Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to make
the statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this annual
report;
3. Based on my knowledge, the financial statements, and other financial
information included in this annual report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this annual report;
4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and have:
a) designed such disclosure controls and procedures to ensure that material
information relating to the registrant, including its consolidated
subsidiaries, is made known to us by others within those entities,
particularly during the period in which this annual report is being
prepared;
b) evaluated the effectiveness of the registrant's disclosure controls and
procedures as of a date within 90 days prior to the filing date of this
annual report (the "Evaluation Date"); and
c) presented in this annual report our conclusions about the effectiveness
of the disclosure controls and procedures based on our evaluation as of the
Evaluation Date;
5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent
functions):
a) all significant deficiencies in the design or operation of internal
controls which could adversely affect the registrant's ability to record,
process, summarize and report financial data and have identified for the
registrant's auditors any material weaknesses in internal controls; and
b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal
controls; and
6. The registrant's other certifying officers and I have indicated in this
annual report whether there were significant changes in internal controls or in
other factors that could significantly affect internal controls subsequent to
the date of our most recent evaluation, including any corrective actions with
regard to significant deficiencies and material weaknesses.
Date:
August 12, 2003
/s/ Dean L. Cash
- --------------------
Dean L. Cash
President and Chief Executive
Officer of General Partner
13
CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the quarterly report on Form 10-QSB of ATEL Cash Distribution
Fund IV, LP, (the "Partnership") for the period ended June 30, 2003 as filed
with the Securities and Exchange Commission on the date hereof (the "Report"),
and pursuant to 18 U.S.C. ss.1350, as adopted pursuant to ss.906 of the
Sarbanes-Oxley Act of 2002, I, Dean L. Cash, Chief Executive Officer of ATEL
Financial Services, LLC, general partner of the Partnership, hereby certify
that:
1. The Report fully complies with the requirements of section 13(a) or 15(d) of
the Securities Exchange Act of 1934; and
2. The information contained in the Report fairly presents, in all material
respects, the financial condition and results of operations of the Partnership.
Date:
August 12, 2003
/s/ Dean L. Cash
- --------------------
Dean L. Cash
President and Chief Executive
Officer of General Partner
CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the quarterly report on Form 10-QSB of ATEL Cash Distribution
Fund IV, LP, (the "Partnership") for the period ended June 30, 2003 as filed
with the Securities and Exchange Commission on the date hereof (the "Report"),
and pursuant to 18 U.S.C. ss.1350, as adopted pursuant to ss.906 of the
Sarbanes-Oxley Act of 2002, I, Dean L. Cash, Chief Executive Officer of ATEL
Financial Services, LLC, general partner of the Partnership, hereby certify
that:
1. The Report fully complies with the requirements of section 13(a) or 15(d) of
the Securities Exchange Act of 1934; and
2. The information contained in the Report fairly presents, in all material
respects, the financial condition and results of operations of the Partnership.
Date:
August 12, 2003
/s/ Paritosh K. Choksi
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Paritosh K. Choksi
Executive Vice President of General
Partner, Principal Financial Officer of Registrant
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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.
Date:
August 12, 2003
ATEL CASH DISTRIBUTION FUND IV, L.P.
(Registrant)
By: ATEL Financial Corporation
General Partner of Registrant
By: /s/ Dean L. Cash
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Dean L. Cash
President and Chief Executive Officer
of General Partner
By: /s/ Paritosh K. Choksi
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Paritosh K. Choksi
Principal Financial Officer
of Registrant
By: /s/ Donald E. Carpenter
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Donald E. Carpenter
Principal Accounting
Officer of Registrant
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