1
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-Q
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For The Quarter Ended September 30, 1997
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 333-11243
CAPITA PREFERRED TRUST
A DELAWARE I.R.S. EMPLOYER IDENTIFICATION
BUSINESS TRUST No. 22-3467159
c/o AT&T Capital Corporation
44 Whippany Road, Morristown, New Jersey 07962-1983
Telephone Number 201-397-3000
------------------
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.......
2
PART I - FINANCIAL INFORMATION
ITEM 1.FINANCIAL STATEMENTS.
CAPITA PREFERRED TRUST
STATEMENTS OF INCOME
FOR THE PERIODS ENDED SEPTEMBER 30,1997
(Dollars in Thousands)
(Unaudited)
For the Three For the Nine
Months Ended Months Ended
------------- -------------
REVENUES - Distributions on
partnership preferred securities $4,670 $14,010
----- ------
Net Income $4,670 $14,010
===== =======
The accompanying notes are an integral part of these Financial Statements.
3
CAPITA PREFERRED TRUST
BALANCE SHEETS
(Dollars in Thousands)
September 30,
1997 December 31,
(unaudited) 1996
ASSET - Limited partnership interest
in Partnership $206,186 $206,186
======== ========
SHAREOWNERS' EQUITY:
Trust Preferred Securities -
authorized, issued and outstanding
8,000,000 shares, $25 liquidation
value $200,000 $200,000
Trust Common Securities -
$25 liquidation value 6,186 6,186
-------- --------
Total Shareowners' Equity $206,186 $206,186
======== ========
The accompanying notes are an integral part of these Financial Statements.
4
CAPITA PREFERRED TRUST
STATEMENT OF CASH FLOWS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997
(Dollars in Thousands)
(Unaudited)
CASH FLOW FROM OPERATING ACTIVITIES:
Net Income $14,010
-------
Net Cash Provided by Operating Activities 14,010
-------
CASH FLOW USED FOR FINANCING ACTIVITIES:
Payment of distributions (14,010)
--------
Net Cash used for Financing Activities (14,010)
---------
Net Change in Cash and Cash Equivalents 0
Cash and Cash Equivalents at Beginning
of Period 0
---------
Cash and Cash Equivalents at End
of Period $ 0
=========
The accompanying notes are an integral part of these Financial Statements.
5
CAPITA PREFERRED TRUST
NOTES TO FINANCIAL STATEMENTS
(Dollars in Thousands)
(Unaudited)
1. Basis of Presentation
The accompanying unaudited financial statements have been prepared by
Capita Preferred Trust (the "Trust") pursuant to the rules and regulations of
the Securities and Exchange Commission and, in the opinion of management,
reflect all adjustments, consisting of normal recurring adjustments, necessary
for a fair presentation of the results of operations, financial position and
cash flows for each period shown. The results for interim periods are not
necessarily indicative of financial results for the full year. These unaudited
financial statements should be read in conjunction with the audited financial
statements and notes thereto included in the Trust's Annual Report on Form 10-K
for the year ended December 31, 1996.
2. Financial information of the Partnership
Summarized financial information for Capita Preferred Funding L.P.
(the "Partnership"), accounted for by the equity method is as follows:
At or for the nine months ended
September 30, 1997 (Unaudited) At December 31, 1996
- ------------------------------------- ------------------------
Current assets $ 2,435 $ 2,426
Noncurrent assets 240,146 240,146
Partners' Capital $242,581 $242,572
Revenues $ 16,079
Net Income $ 16,079
6
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS. (Dollars in Thousands)
Results of Operations and Changes in Cash Flows
On September 30, 1997, holders of Capita Preferred Trust (the "Trust")
securities were paid the required quarterly cash distribution of $4,670 (annual
fixed rate of 9.06%). On that same date, the Trust also received quarterly
distributions (annual fixed rate of 9.06%) from Capita Preferred Funding L.P.
(the "Partnership") of $4,670 relating to the Trust's $206,186 limited
partnership interest in the Partnership.
For the nine months ended September 30,1997, the Trust paid cash
distributions of $14,010 and received cash distributions of $14,010 from the
Partnership.
7
CAPITA PREFERRED TRUST
PART II - OTHER INFORMATION
Item 6. Exhibits and reports on Form 8-K.
a) Exhibits:
Exhibit Number
27 Financial Data Schedule
b) Current Reports on Form 8-K:
None
8
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) 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.
CAPITA PREFERRED TRUST
GLENN A. VOTEK
--------------------------
By: Glenn A. Votek
Regular Trustee
November 5, 1997
9
EXHIBIT INDEX
EXHIBITS
Exhibit
Number Description
27. Financial Data Schedule