SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 8-K/A AMENDMENT NO. 2 TO CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported) March 20, 1995 ------------------- Sirco International Corp. ------------------------------------------------------ (Exact name of registrant as specified in its charter) New York 0-4465 13-2511270 ---------------------------- ------------ ------------------- (State or other jurisdiction (Commission IRS Employer of incorporation) File Number) Identification No.) 24 Richmond Hill Avenue, Stamford, Connecticut 06901 ----------------------------------------------------------------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (203) 359-4100 --------------- 1. Item 7, "Financial Statements, Pro Forma Financial Information and Exhibits" is hereby amended to include the following: (b) Pro Forma Financial Information Sirco International Corp. and Subsidiaries Condensed Consolidated Pro Forma Statement of Operations, Year Ended November 30, 1994 (Unaudited) Sirco International Corp. and Subsidiaries Condensed Consolidated Pro Forma Balance Sheet, November 30, 1994 (Unaudited) PRO FORMA FINANCIAL INFORMATION The following unaudited pro forma consolidated financial information should be read in conjunction with the financial statements of the Company, including the notes thereto, appearing in the Company's report on Form 10-K. The pro forma consolidated balance sheet gives effect to the sale of the assets of the handbag division of the Company as if it had occurred on November 30, 1994. The pro forma consolidated statements of operations give effect to the sale of the assets of the handbag division of the Company as if it had occurred at the beginning of the year ended November 30, 1994. As more fully described elsewhere in this Form 8-K, all of the transactions described herein are with the Company's former majority shareholders or the former majority shareholders' affiliates. The pro forma consolidated financial statements may not be indicative of the consolidated results of operations or consolidated financial position that actually would have been achieved or which may be obtained in the future. SIRCO INTERNATIONAL CORP. AND SUBSIDIARIES CONDENSED CONSOLIDATED PRO FORMA STATEMENT OF OPERATIONS YEAR ENDED NOVEMBER 30, 1994 (UNAUDITED) Consolidated Historical Proforma Proforma Amounts Adjustments As Adjusted ---------- ----------- ------------ Net sales ......................... $ 27,599,536 ($9,182,000) (1) $ 18,417,536 Cost of goods sold ................ 21,532,520 (7,304,000) (1) 14,228,520 ------------ ------------ Gross profit ...................... 6,067,016 4,189,016 ------------ ------------ Selling, warehouse, general and administrative expenses ...... 8,898,288 (2,452,000) (1) 6,486,288 ------------ 40,000 (2) ------------ (2,831,272) (2,297,272) Interest expense .................. 789,109 (240,000) (1) 549,109 Interest income ................... (162,243) (162,243) Miscellaneous income, net ......... (1,023,113) (1,023,113) ------------ ------------ Loss from continuing operations before non-recurring charges or credits directly attributable to the transaction adjusted to give effect to the disposition of the handbag division ................. ($ 2,435,025) ($ 1,661,025) ============ ============ Loss per common share from continuing operations before non-recurring charges or credits directly attributable to the transaction adjusted to give effect to the disposition of the handbag division ................. ($ 2.01) ($ 1.37) ============ ============ Weighted average number of shares of common shares outstanding ...................... 1,209,700 1,209,700 ============ ============ (Continued) SIRCO INTERNATIONAL CORP. AND SUBSIDIARIES CONDENSED CONSOLIDATED PRO FORMA STATEMENT OF OPERATIONS (CONTINUED) YEAR ENDED NOVEMBER 30, 1994 (UNAUDITED) Pro Forma Adjustments: (1) Reflects the sales, cost of sales, operating expenses and interest expense of the handbag division. (2) Reflects the amortization of the restrictive covenant agreement. Material non-recurring charges and credits which result directly from the transaction and which will impact the income statement during the next twelve months were not considered and have not been reflected in the pro forma condensed consolidated statement of operations. Such charges and credits are: (a) Severance agreement with the selling shareholders in the amount of $200,000. (b) Loss on the sale of inventory of the handbag division of $189,000. (c) Gain on the sale of certain property and equipment and other assets of $86,000. (d) Estimated charges resulting from the closing costs of the disposition transaction of $100,000. SIRCO INTERNATIONAL CORP. AND SUBSIDIARIES CONDENSED CONSOLIDATED PRO FORMA BALANCE SHEET NOVEMBER 30, 1994 (UNAUDITED) Consolidated Historical Proforma Proforma Amounts Adjustments As Adjusted ---------- ----------- ------------ Current assets: Cash ....................... $ 955,869 $ 86,000 (1) $ 1,041,869 Accounts receivable, net ... 1,826,400 1,826,400 Inventories ................ 5,213,120 ( 1,889,000) (2) 3,324,120 Prepaid expenses ........... 326,909 326,909 Other current assets ....... 344,020 344,020 ------------- ------------- Total current assets ..... 8,666,318 6,863,318 ------------- ------------- Property, plant and equipment, net .............. 1,861,556 ( 36,000) (1) 1,825,556 Less accumulated depreciation (1,088,524) 36,000 (1) (1,052,524) ------------- ------------- 773,032 773,032 ------------- ------------- Other assets ................. 211,592 211,592 Restrictive covenant ......... 240,000 (3) 240,000 Investments in and advances to subsidiary .................. 600,793 600,793 ------------- ------------- Total assets ............. $ 10,251,735 $ 8,688,735 ============= ============= (Continued) SIRCO INTERNATIONAL CORP. AND SUBSIDIARIES CONDENSED CONSOLIDATED PRO FORMA BALANCE SHEET (CONTINUED) NOVEMBER 30, 1994 (UNAUDITED) Consolidated Historical Proforma Proforma Amounts Adjustments As Adjusted ---------- ----------- ----------- Current liabilities: Loans payable to financial institutions ................ $ 2,067,764 $ 2,067,764 Short-term loan payable to related party ............... 1,743,235 ($1,700,000)(4) 43,235 Current maturities of long-term debt .............. 448,401 448,401 Accounts payable ............. 1,981,945 1,981,945 Accrued expenses ............. 1,062,692 200,000 (5) 1,602,692 ----------- ----------- 240,000 (3) 100,000 (6) Total current liabilities .. 7,304,037 6,144,037 ----------- ----------- Long-term debt, less current maturities .................... 49,651 49,651 ----------- ----------- Stockholders' equity: Common stock ................. 121,520 121,520 Capital in excess of par value 4,027,534 4,027,534 Accumulated deficit .......... (645,104) (403,000)(1)(2) (1,048,104) (5)(6) Treasury stock ............... (27,500) (27,500) Accumulated foreign currency translation adjustment ...... (578,403) (578,403) ----------- ----------- Total stockholders' equity 2,898,047 2,495,047 ----------- ----------- Total liabilities and stockholders' equity ... $10,251,735 $ 8,688,735 =========== =========== Pro Forma Adjustments: (1) Reflects the proceeds from the sale of certain property and equipment and other assets. (2) Reflects the disposition of the handbag division inventory. (3) Reflects entering into a restrictive covenant payment agreement. (4) Reflects the repayment of debt. (5) Reflects an accrual for severance. (6) Reflects an accrual for the estimated closing costs of disposition transaction. 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 hereunto duly authorized. Dated: May 24, 1995 SIRCO INTERNATIONAL CORP. By: /s/ Joel Dupre --------------------------- Name: Joel Dupre Title: President