EXHIBIT 99.1
CVEO CORPORATION f/k/a CONVERSE INC. CONSOLIDATED BALANCE SHEET
CVEO Corporation f/k/a Converse Inc.(debtor) and subsidiaries (non-debtor)
MAY 2002
Ending Balance
5/31/02
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ASSETS
CURRENT ASSETS
Cash and cash equivalents 11,827,388
Accounts receivable 894,639
Inventories -
Prepaid expenses and other current assets 88,538
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Total current assets 12,810,565
Net property, plant and equipment 487,725
Other assets 7,776,563
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21,074,853
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LIABILITIES AND STOCKHOLDERS EQUITY (DEFICIENCY)
Current liabilities:
Credit facility 0
Current portion long-term debt 74,265,000
Accounts payable 35,398,708
Accrued expenses 17,879,700
Income taxes payable
6,278,219
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Total current liabilities 133,821,627
Current assets in excess of reorganization value 21,815,157
Stockholders' equity (deficiency):
Common stock 17,553,048
Additional paid in capital 4,436,788
Unearned compensation (100,971)
Retained deficit (155,972,199)
Cumulative currency translation adjustment (478,597)
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Total stockholders' equity (deficiency) (134,561,931)
-------------
21,074,853
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CVEO CORPORATION f/k/a CONVERSE INC. CONSOLIDATED INCOME STATEMENT
CVEO Corporation f/k/a Converse Inc.(debtor) and subsidiaries (non-debtor)
MAY 2002
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17 Months
Month of May 2002 Jan `01-May `02
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Net revenue 65,869,367
Cost of sales 51,968,750
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Gross profit - 13,900,617
Selling, general and administrative expenses 520,668 20,900,822
Royalty income - 5,478,479
Restructuring and other unusual charges 107,068 4,304,673
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Earnings from operations (627,736) (5,826,399)
Interest expense 399,950 16,119,826
Other (income) expense, net 176,266 (27,193,085)
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Net income before income tax (1,203,952) 5,246,860
Income tax expense - 992,535
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Net income (1,203,952) 4,254,325
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CVEO Corporation f/k/a Converse Inc.
Shedule of Cash Receipts & Disbursements Form MOR1
$=thousands
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Prior Month Actual Total
Cumulative 5/1/02-5/31/02 Cumulative
CASH RECEIPTS:
Domestic Accounts 33,502 33,502
Outlet Stores 4,740 4,740
Int'l Distributors 15,747 15,747
Royalty Receipts 3,989 3,989
Auction Fixed Assets 1,026 1,026
Interest Receipts 435 20 455
Other Receipts 2,600 109 2,709
TOTAL RECEIPTS 62,039 129 62,168
DISBURSEMENTS:
Accounts Payable
Raw Materials 389 389
Duties/Customs 2,124 2,124
Other Disbursements 10,314 149 10,463
Traffic 1,321 1,321
Advertising/Mktg 384 384
Player Contracts 101 101
Rent 778 778
Capital Expenditures - -
Float Adjustment -
-
Total Accounts Payable 15,411 149 15,560
-
Foreign Fnshd Gds-L/C 19,453 19,453
Payroll/Benefits 11,981 208 12,189
Tax Payments 3,947 61 4,008
Japan 132 132
Singapore 219 219
Other 2,858 2,858
Restructuring Fees 5,090 233 5,323
TOTAL CASH DISBURSEMENTS 59,091 651 59,742
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NET CASH REC/DSB
BEFORE BA FIN 2,948 (522) 2,426
- -------------------------------------------------------------------------------------
ADD BA FINANCING 16,212 16,212
LESS BA MATURITY 26,912 26,912
- -------------------------------------------------------------------------------------
NET CASH REC/DSB (7,752) (522) (8,274)
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Proceeds Sale of Assets 93,750 93,750
(566) (566)
INTEREST/FEES;
BANKS 1,685 1,685
NOTEHOLDERS 1,965 1,965
CONVERTIBLE NOTES -
DIP FEE 643 643
-
BT Loan Payoff 37,039 37,039
Secured Notes Payoff 29,713 29,713
REVOLVER BALANCE - -
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CVEO Corporation f/k/a Converse Inc.
Shedule of Cash Receipts & Disbursements Form MOR1 (Continued)
$=thousands
-----------------------------------------
Prior Month Actual Total
Cumulative 5/1/02-5/31/02 Cumulative
NET CASH ACTIVITY 16,715 (522) 16,193
LETTERS OF CREDIT
ADD: 9,686 9,686
SUBTRACT: 19,450 19,450
TOTAL L/C (3,710) (3,710)
BA REFINANCING
ADD: 16,212 16,212
SUBTRACT: 53,348 53,348
TOTAL B/A REFINANCING - -
STANDBY L/C 919 919
TOTAL LINE UTILIS./CASH BALANCE 12,086 11,564 11,564
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