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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 10-Q
(MARK ONE)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE
ACT OF 1934.
For the quarterly period ended June 30, 1997.
[ ] 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: 0-26966
ADVANCED ENERGY INDUSTRIES, INC.
-----------------------------------------------------
(Exact name of registrant as specified in its charter)
DELAWARE 84-0846841
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(State or other jurisdiction of incorporation (I.R.S. Employer
or organization) Identification No.)
1625 SHARP POINT DRIVE, FORT COLLINS, CO 80525
- ------------------------------------------- ----------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (970) 221-4670
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 the past 90 days. Yes X No .
--- ---
As of June 30, 1997, there were 21,289,962 shares of the Registrant's Common
Stock, par value $0.001 per share, outstanding.
ADVANCED ENERGY INDUSTRIES, INC.
FORM 10-Q
INDEX
PART I FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
Consolidated Balance Sheets-
June 30, 1997 and December 31, 1996 3
Consolidated Statements of Operations-
Three months and six months ended June 30, 1997 and 1996 4
Consolidated Statements of Cash Flows-
Six months ended June 30, 1997 and 1996 5
Notes to consolidated financial statements 6
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS 8
PART II OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS 13
ITEM 2. CHANGES IN SECURITIES 13
ITEM 3. DEFAULTS UPON SENIOR SECURITIES 13
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS 13
ITEM 5. OTHER INFORMATION 14
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K 14
PART I FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS AND SUPPLEMENTAL DATA
ADVANCED ENERGY INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS)
JUNE 30, DECEMBER 31,
1997 1996
(UNAUDITED)
ASSETS ----------- ------------
Current Assets:
Cash and cash equivalents. . . . . . . . . . . $11,183 $11,231
Accounts receivable. . . . . . . . . . . . . . 26,154 16,116
Inventories. . . . . . . . . . . . . . . . . . 16,169 13,976
Prepaid expenses and other current assets. . . 637 1,013
Deferred income tax benefit. . . . . . . . . . 1,223 1,223
------- -------
Total current assets . . . . . . . . . . . . . . 55,366 43,559
------- -------
Property and equipment, net. . . . . . . . . . . 9,028 9,500
Other assets . . . . . . . . . . . . . . . . . . 1,657 2,972
------- -------
Total assets . . . . . . . . . . . . . . . . . . $66,051 $56,031
------- -------
------- -------
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Accounts payable . . . . . . . . . . . . . . . $ 6,296 $ 2,253
Accrued payroll and employee benefits. . . . . 3,687 2,396
Other accrued expenses . . . . . . . . . . . . 764 1,156
Customer deposits. . . . . . . . . . . . . . . 1,071 166
Accrued income tax payable . . . . . . . . . . 2,046 1,485
Current portion of long-term debt. . . . . . . 745 924
------- -------
Total current liabilities. . . . . . . . . . . . 14,609 8,380
------- -------
Long-term debt . . . . . . . . . . . . . . . . . 789 1,127
Deferred income tax liability. . . . . . . . . . 28 28
------- -------
Total liabilities. . . . . . . . . . . . . . . . 15,426 9,535
------- -------
Stockholders' equity . . . . . . . . . . . . . . 50,625 46,496
------- -------
Total liabilities and stockholders' equity . . . $66,051 $56,031
------- -------
------- -------
The accompanying notes to consolidated financial statements
are an integral part of these consolidated balance sheets.
3
ADVANCED ENERGY INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
QUARTER ENDED JUNE 30,
------------------------
1997 1996
(UNAUDITED) (UNAUDITED)
----------- -----------
Net Sales. . . . . . . . . . . . . . . . $ 32,690 $ 29,831
Cost of Sales. . . . . . . . . . . . . . 20,139 17,204
-------- --------
Gross profit . . . . . . . . . . . . . . 12,551 12,627
-------- --------
Operating Expenses:
Research and development . . . . . . . 3,513 3,645
Sales and marketing. . . . . . . . . . 2,336 2,248
General and administrative . . . . . . 1,702 2,330
-------- --------
Operating Income . . . . . . . . . . . . 5,000 4,404
-------- --------
Other income (expense), net. . . . . . . 286 (66)
-------- --------
Net income before income taxes . . . . . 5,286 4,338
Provision for income taxes . . . . . . . 1,996 1,676
-------- --------
Net Income . . . . . . . . . . . . . . . $ 3,290 $ 2,662
-------- --------
-------- --------
Net Income per share . . . . . . . . . . $ 0.15 $ 0.12
-------- --------
-------- --------
Weighted average shares outstanding. . . 21,991 21,653
-------- --------
-------- --------
SIX MONTHS ENDED JUNE 30,
------------------------
1997 1996
(UNAUDITED) (UNAUDITED)
----------- -----------
Net Sales. . . . . . . . . . . . . . . . $ 53,358 $ 56,997
Cost of Sales. . . . . . . . . . . . . . 33,298 34,239
-------- --------
Gross profit . . . . . . . . . . . . . . 20,060 22,758
-------- --------
Operating Expenses:
Research and development . . . . . . . 6,334 7,143
Sales and marketing. . . . . . . . . . 4,135 4,331
General and administrative . . . . . . 2,950 4,055
-------- --------
Operating Income . . . . . . . . . . . . 6,641 7,229
-------- --------
Other expense, net . . . . . . . . . . . (101) (236)
-------- --------
Net income before income taxes . . . . . 6,540 6,993
Provision for income taxes . . . . . . . 2,485 2,658
-------- --------
Net Income . . . . . . . . . . . . . . . $ 4,055 $ 4,335
-------- --------
-------- --------
Net Income per share . . . . . . . . . . $ 0.19 $ 0.20
-------- --------
-------- --------
Weighted average shares outstanding. . . 21,906 21,657
-------- --------
-------- --------
The accompanying notes to consolidated financial statements
are an integral part of these consolidated statements.
4
ADVANCED ENERGY INDUSTRIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(IN THOUSANDS)
SIX MONTHS ENDED JUNE 30,
-------------------------
1997 1996
(UNAUDITED) (UNAUDITED)
------------ ------------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income . . . . . . . . . . . . . . . . . . . . . . $ 4,055 $ 4,335
Adjustments to reconcile net income to
net cash provided by operating activities--
Depreciation and amortization . . . . . . . . . . . . 1,673 1,146
Amortization of deferred compensation . . . . . . . 24 24
Loss on disposal of property and equipment. . . . . -- 20
Changes in operating assets and liabilities --
Accounts receivable, trade. . . . . . . . . . . . (8,854) (3,203)
Related parties and other receivables . . . . . . (1,184) (209)
Inventories . . . . . . . . . . . . . . . . . . . (2,193) (1,062)
Income taxes. . . . . . . . . . . . . . . . . . . 561 1,041
Other current assets. . . . . . . . . . . . . . . 376 83
Deposits and other. . . . . . . . . . . . . . . . 634 34
Demonstration and customer service equipment. . . 250 (411)
Accounts payable. . . . . . . . . . . . . . . . . 4,043 (2,172)
Accrued payroll and employee benefits . . . . . . 1,291 677
Customer deposits and other accrued expenses. . . 513 (126)
-------- ---------
Net cash provided by operating activities. . . 1,189 177
-------- ---------
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment, net. . . . . . . . (770) (4,352)
-------- ---------
Net cash used in investing activities. . . . . (770) (4,352)
-------- ---------
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of notes payable and capital
lease obligations. . . . . . . . . . . . . . . . . . . (517) (492)
Proceeds from sale of common stock . . . . . . . . . . 27 118
-------- ---------
Net cash used in financing activities . . . . . . . (490) (374)
-------- ---------
EFFECT OF CUMULATIVE TRANSLATION ADJUSTMENT. . . . . . . 23 (19)
-------- ---------
DECREASE IN CASH AND CASH EQUIVALENTS. . . . . . . . . . (48) (4,568)
CASH AND CASH EQUIVALENTS, beginning of period . . . . . 11,231 13,332
-------- ---------
CASH AND CASH EQUIVALENTS, end of period . . . . . . . . $ 11,183 $ 8,764
-------- ---------
-------- ---------
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid for interest . . . . . . . . . . . . . . . . $ 76 $ 100
-------- ---------
-------- ---------
Cash paid for income taxes . . . . . . . . . . . . . . $ 905 $ 1,697
-------- ---------
-------- ---------
The accompanying notes to consolidated fina nci al statements
are an integral part of these consolidated s tatements.
5
ADVANCED ENERGY INDUSTRIES, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(1) BASIS OF PRESENTATION AND MANAGEMENT OPINION
In the opinion of management, the accompanying unaudited consolidated
balance sheets and statements of operations and cash flows contain all
adjustments, consisting only of normal recurring items, necessary to present
fairly the financial position of Advanced Energy Industries, Inc., a Delaware
corporation, and its wholly owned subsidiaries (the "Company") at June 30, 1997,
and the results of their operations and cash flows for the three and six month
periods ended June 30, 1997 and June 30, 1996.
The unaudited financial statements presented herein have been prepared in
accordance with the instructions to Form 10-Q and do not include all the
information and note disclosures required by generally accepted accounting
principles. The financial statements should be read in conjunction with the
audited financial statements and notes thereto contained in the Company's
latest annual report on Form 10-K for the year ended December 31, 1996.
(2) INITIAL PUBLIC OFFERING
In November 1995, the Company closed on the initial public offering of its
common stock. In connection with the offering, 2,400,000 shares of previously
unissued common shares were sold at a price of $10 per share, providing gross
proceeds of $24,000,000, less $2,790,000 in offering costs.
(3) ACCOUNTS RECEIVABLE
Accounts receivable consisted of the following:
JUNE 30, DECEMBER 31,
1997 1996
(UNAUDITED)
----------- ------------
(IN THOUSANDS)
Domestic. . . . . . . . . . . . . . . . . . . . . $14,404 $ 9,944
Foreign . . . . . . . . . . . . . . . . . . . . . 9,979 5,585
Allowance for doubtful accounts . . . . . . . . . (242) (242)
------- -------
Trade accounts receivable . . . . . . . . . . . . $24,141 $15,287
Related parties . . . . . . . . . . . . . . . . . 1,218 541
Other . . . . . . . . . . . . . . . . . . . . . . 795 288
------- -------
Total accounts receivable . . . . . . . . . . . . $26,154 $16,116
------- -------
------- -------
(4) INVENTORIES
Inventories consisted of the following:
JUNE 30, DECEMBER 31,
1997 1996
(UNAUDITED)
----------- ------------
(IN THOUSANDS)
Parts and raw materials . . . . . . . . . . . . . $11,361 $11,149
Work in process . . . . . . . . . . . . . . . . . 1,859 1,122
Finished goods. . . . . . . . . . . . . . . . . . 2,949 1,705
------- -------
$16,169 $13,976
------- -------
------- -------
6
(5) NET INCOME PER COMMON SHARE
Net income per share is computed based on results of operations attributable
to common stock and weighted average number of common and common equivalent
shares outstanding during each of the periods. Earnings per share are calculated
by dividing the net earnings by the weighted average of common and common
equivalent shares outstanding during each of the periods.
(6) STOCKHOLDERS' EQUITY
Stockholders' equity consisted of the following:
JUNE 30, DECEMBER 31,
1997 1996
(UNAUDITED)
----------- ------------
(IN THOUSANDS, EXCEPT PAR VALUE)
Common stock, $0.001 par value, 30,000 shares
authorized; 21,290 and 21,268 shares issued
and outstanding . . . . . . . . . . . . . . . . $ 21 $ 21
Additional paid-in capital. . . . . . . . . . . 23,102 23,075
Retained earnings . . . . . . . . . . . . . . . 29,120 25,065
Stockholders' notes receivable. . . . . . . . . (1,083) (1,083)
Deferred compensation . . . . . . . . . . . . . (58) (82)
Cumulative translation adjustment . . . . . . . (477) (500)
------- -------
Total stockholders' equity. . . . . . . . . . . $50,625 $46,496
------- -------
------- -------
7
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
The following discussion contains, in addition to historical information,
forward-looking statements. The Company's actual results may differ
significantly from the results discussed in the forward-looking statements.
Factors that could cause or contribute to such differences include, but are not
limited to, those discussed below and in the Company's 1996 annual report on
Form 10-K.
In particular, the Company believes that the following factors could impact
forward-looking statements made herein or in future written or oral releases and
by hindsight, prove such statements to be overly optimistic and unachievable:
volatility of the semiconductor and semiconductor equipment industries, customer
concentration, dependence on design wins, rapid technological change and
dependence on new system introduction, competition, and management of growth.
RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED JUNE 30, 1997 AND 1996
SALES
Sales for the second quarter of 1997 were $32.7 million, an increase of 10%
from second quarter of 1996 sales of $29.8 million. The Company's increase in
sales between the periods presented has resulted from increased unit sales of
the Company's systems. A significant part of the sales increase was attributable
to increased demand by domestic semiconductor equipment customers, primarily the
Company's largest customer, reflecting the recovery in the semiconductor
equipment industry. Sales in Europe were up 22% from the comparable quarter in
1996. Sales in Japan were up 138% from the comparable quarter in 1996 due to
higher unit sales, primarily from the flat panel display industry. In
anticipation of continued growth of business from the semiconductor equipment
market throughout the rest of 1997, the Company has acquired 31,000 square feet
of additional space which increases the Company's total square footage by 25%.
GROSS MARGIN
The Company's gross margin for the second quarter of 1997 was 38.4%, down from
42.3% in the comparable period in 1996, and up from 36.3% in the first quarter
of 1997. The decline in gross margin from the second quarter of 1996 to the
second quarter of 1997 was due primarily to adjustments for excess and obsolete
inventory, higher costs associated with customer service, and increased overhead
and staffing incurred in anticipation of higher manufacturing levels in 1997.
The improvement in gross margin from the first quarter of 1997 to the second
quarter of 1997 was primarily the result of more favorable absorption of
manufacturing overhead resulting from a 58% increase in sales.
8
RESEARCH AND DEVELOPMENT
The Company's research and development costs are incurred researching new
technologies, developing new products and improving existing product designs.
Research and development expenses for the second quarter of 1997 were $3.5
million, down from $3.6 million in the second quarter of 1996, representing a
decrease of 4%. As a percentage of sales, research and development expenses
decreased to 10.7% in the second quarter of 1997 from 12.2% in the second
quarter of 1996.
The Company believes that continued research and development investment is
essential to ongoing development of new products. Since inception, all research
and development costs have been internally funded and expensed.
SALES AND MARKETING
Sales and marketing expenses support domestic and international sales and
marketing activities that include personnel, trade shows, advertising, and other
marketing activities. Sales and marketing expenses for the second quarter of
1997 were $2.3 million, compared to expenses of $2.2 million in the second
quarter of 1996, representing an increase of 4%. The increase was primarily due
to higher spending for purchased services. As a percentage of sales, sales and
marketing expenses decreased to 7.1% in the second quarter of 1997 from 7.5% in
the second quarter of 1996, primarily as a result of the higher sales base.
The Company continues to reorganize its sales and marketing team to better
address the specific needs of its customers. As a result, sales and marketing
expenses are expected to increase as a percentage of sales in future periods.
GENERAL AND ADMINISTRATIVE
General and administrative expenses support the worldwide financial,
administrative, information systems and human resources functions of the
Company. General and administrative expenses for the second quarter of 1997 were
$1.7 million, compared to expenses of $2.3 million in the second quarter of
1996, representing a decrease of 27%. The decrease is primarily a result of
lower spending for payroll costs and purchased services. As a percentage of
sales, general and administrative expenses decreased to 5.2% in the second
quarter of 1997 from 7.8% in the second quarter of 1996.
The Company is in the process of implementing new information management
system software throughout the Company, including the replacement of existing
systems in its foreign locations. The Company expects that significant charges
related to training and implementation of the new software will occur during
1997 and 1998, particularly for the foreign locations.
9
OTHER INCOME (EXPENSE)
Other income and expense consists primarily of foreign exchange gains and
losses, interest income and expense and other miscellaneous income and expense
items. Other income was $0.3 million for the second quarter of 1997, compared to
other expense of $0.1 million in the second quarter of 1996.
The Company has experienced fluctuations in foreign currency exchange rates
during the past two quarters, particularly against the Japanese Yen. As a hedge
against currency fluctuations in the Japanese Yen, the Company entered into
various forward foreign exchange contracts during the first quarter to lessen
future exposures to foreign exchange losses.
PROVISION FOR INCOME TAXES
The income tax provision of $2.0 million for the second quarter of 1997
represented an estimated effective rate of 37.8% compared to an effective income
tax rate for the year 1996 of 38.1%. The Company adjusts its income taxes
periodically based upon the anticipated tax status of all foreign and domestic
entities.
RESULTS OF OPERATIONS FOR THE SIX MONTHS ENDED JUNE 30, 1997 AND 1996
SALES
Sales for the first six months of 1997 were $53.4 million, a decrease of 6%
from sales of $57.0 million in the comparable period in 1996. The Company's
decrease in sales between the periods presented has resulted from decreased unit
sales of the Company's systems. A significant part of the sales decrease is
attributable to decreased demand by domestic semiconductor equipment customers,
primarily the Company's two largest customers, reflecting the downturn in the
entire semiconductor equipment industry that affected the first quarter of 1997.
Partially offsetting these decreases, sales in Japan were up 156% from the
comparable period in 1996 due to increased unit sales.
GROSS MARGIN
The Company's gross margin for the first six months of 1997 was 37.6%, down
from 39.9% in the comparable period in 1996. The 2.3% decline in gross margin
between the periods presented was due primarily to unfavorable absorption of
manufacturing overhead costs resulting from the lower sales base.
RESEARCH AND DEVELOPMENT
Research and development expenses for the first six months of 1997 were $6.3
million, down from $7.1 million in the comparable period in 1996, representing a
decrease of 11%. This decrease resulted from a reduction in allocation of
infrastructure
10
costs to research and development. As a percentage of sales, research and
development expenses decreased to 11.9% in the first six months of 1997 from
12.5% in the comparable period in 1996.
SALES AND MARKETING
Sales and marketing expenses for the first six months of 1997 were $4.1
million, down from $4.3 million in the comparable period in 1996,
representing a decrease of 5%. As a percentage of sales, sales and marketing
expenses increased to 7.7% in the first six months of 1997 from 7.6% in the
comparable period in 1996.
GENERAL AND ADMINISTRATIVE
General and administrative expenses for the first six months of 1997 were
$3.0 million, down from $4.1 million in the comparable period in 1996,
representing a decrease of 27%. This decrease was primarily a reduction in
payroll and benefits expenses. As a percentage of sales, general and
administrative expenses decreased to 5.5% in the first six months of 1997
from 7.1% in the comparable period in 1996.
OTHER INCOME (EXPENSE)
Other expense was $0.1 million for the first six months of 1997, compared
to other expense of $0.2 million in the comparable period in 1996.
PROVISION FOR INCOME TAXES
The income tax provision of $2.5 million for the first six months of 1997
represented an estimated effective rate of 38.0%, compared to an effective
income tax rate for the year 1996 of 38.1%.
LIQUIDITY AND CAPITAL RESOURCES
Until the initial public offering of the Company's common stock in November
1995, the Company financed its operations, acquired equipment and met its
working capital requirements through borrowings under its revolving line of
credit, long-term loans secured by property and equipment and cash flow from
operations.
Cash provided by operations totaled $1.2 million for the first six months
of 1997 compared to $0.2 million for the same period in 1996. Cash provided
in the first six months of 1997 was primarily a result of net income and
increases in accounts payable offset by increases in accounts receivable and
inventories. Cash provided in the comparable period in 1996 was primarily a
result of net income offset by increases in accounts receivable and
inventories and decreases in accounts payable.
11
Investing activities, consisting primarily of equipment acquisitions, used
cash of $0.8 million in the first six months of 1997, versus $4.4 million in
the comparable period in 1996. In the first quarter of 1996 the Company
equipped and moved into a new 56,000 square foot building. Financing
activities in the first six months of 1997 used cash of $0.5 million and
consisted primarily of repayment of notes payable and capital lease
obligations. In the comparable period in 1996, financing activities used cash
of $0.4 million and consisted primarily of repayment of notes payable and
capital lease obligations, partially offset by proceeds from the sale of
common stock.
The Company has updated its capital spending outlook and plans to spend
approximately $5.0 million through the remainder of 1997 for the acquisition
of manufacturing and test equipment and furnishings.
As of June 30, 1997, the Company had working capital of $40.8 million. The
Company's principal sources of liquidity consisted of $11.2 million of cash
and cash equivalents and $10.0 million available under a $10.0 million
revolving line of credit that bears interest at the prime rate (8.5% at July
15, 1997). The Company has the option to convert up to $3.0 million of its
revolving line of credit to a 36-month term loan that would bear interest at
prime rate plus 0.50%.
The Company also has a term loan for equipment financing for its US
operations. At June 30, 1997, $1.2 million was outstanding under the term
loan, which bears interest at prime plus 0.25% and is due November 5, 1999.
The Company believes that its cash and cash equivalents, cash flow from
operations and available borrowings, will be sufficient to meet the Company's
working capital needs through at least the end of 1997. After that time, the
Company may require additional equity or debt financing to address its
working capital, capital equipment, or expansion needs. There can be no
assurance that additional funding will be available when required or that it
will be available on terms acceptable to the Company.
12
PART II OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
None.
ITEM 2. CHANGES IN SECURITIES
None.
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
None.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
The Company held its 1997 Annual Meeting of Stockholders on Thursday, May
15, 1997, to vote on two proposals. Proxy statements were sent to all
shareholders. The first proposal was for the election of directors, including
Douglas S. Schatz, G. Brent Backman, Richard P. Beck, Elwood Spedden, and Hollis
L. Caswell. All five directors were elected with the following votes tabulated:
TOTAL VOTE FOR TOTAL VOTE WITHHELD
NAME OF DIRECTOR EACH DIRECTOR FROM EACH DIRECTOR
---------------- ------------- ------------------
Mr. Schatz 19,556,232 17,272
Mr. Backman 19,557,176 16,328
Mr. Beck 19,555,602 17,902
Mr. Spedden 19,556,396 17,108
Mr. Caswell 19,555,396 18,108
The second proposal was for the ratification of appointment of independent
auditors. The current auditors, Arthur Anderson, LLP, were retained, with the
following votes tabulated:
13
FOR AGAINST ABSTAIN NO VOTE
--- ------- ------- -------
19,552,705 4,875 15,924 -0-
ITEM 5. OTHER INFORMATION
None.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
None.
14
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.
ADVANCED ENERGY INDUSTRIES, INC.
/s/ Richard P. Beck
--------------------------------
(Registrant)
Vice President, Chief Financial August 8, 1997
Officer, Assistant Secretary and
Director (Principal Financial Officer
and Principal Accounting Officer)
15