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EXHIBIT 99.2
BRUCKNER SUPPLY COMPANY, INC.
Unaudited Condensed Balance Sheet
JUNE 30
1998
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ASSETS
CURRENT ASSETS
Cash $539,327
Debt securities 753,554
Accounts receivable 33,441,794
Inventories 3,335,230
Prepaid expenses and other current assets 826,587
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Total current assets 38,896,492
Property and equipment, net 358,994
Due from affiliates 4,911
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Total assets $39,260,397
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LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable $23,400,522
Bank overdraft 3,476,490
Other current liabilities 923,587
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Total current liabilities 27,800,599
STOCKHOLDERS' EQUITY
Common stock 7,500
Additional paid-in capital 2,022,843
Retained earnings 9,417,697
Net unrealized holding gains on
available-for-sale securities 11,758
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Total stockholders' equity 11,459,798
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Total liabilities and stockholders' equity $39,260,397
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See the accompanying Notes to Condensed Financial Statements.
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BRUCKNER SUPPLY COMPANY, INC.
Unaudited Condensed Statement of Income
SIX MONTHS ENDED
JUNE 30
1998 1997
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Net sales $132,014,762 $113,140,125
Cost of sales 118,414,945 104,822,756
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Gross profit 13,599,817 8,317,369
Operating expenses 6,045,525 4,125,700
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Operating income 7,554,292 4,191,669
Investment and other income
Investment income, net 214,000 390,000
Other income 18,456 10,101
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232,456 400,101
Income before income taxes 7,786,748 4,591,770
Provision for income taxes 6,766 197
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Net income $7,779,982 $4,591,573
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See the accompanying Notes to Condensed Financial Statements.
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BRUCKNER SUPPLY COMPANY, INC.
Unaudited Condensed Statement of Cash Flow
SIX MONTHS ENDED
JUNE 30
1998 1997
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CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $7,779,982 $4,591,573
Adjustment to reconcile net income to cash from
operating activities
Depreciation and amortization 50,913 57,733
Net realized gain on sale of debt securities (81,665) (86,165)
Increase in:
Accounts receivable (11,397,079) (10,832,178)
Inventories (1,139,953) (760,604)
Prepaid and other current assets (699,963) 2,749
Increase in:
Accounts payable and accrued expenses 5,166,615 6,575,233
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Net Cash Used in Operating Activities (321,150) (451,659)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment (56,289) (82,980)
Purchases of debt securities (3,298,652) (11,427,935)
Proceeds from sales and maturities of debt securities 10,998,240 16,699,995
Increase in due from affiliate (325) -
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Net Cash Provided By Financing Activities 7,642,974 5,189,080
CASH FLOWS FROM FINANCING ACTIVITIES:
Increase (decrease) in bank overdrafts (59,958) 4,579,429
Distributions to stockholders (6,898,299) (9,430,000)
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Net Cash Used in Financing Activities (6,958,257) (4,850,571)
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Net increase (decrease) in cash 363,567 (113,150)
CASH:
Beginning of year 175,760 225,033
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End of year $539,327 $111,883
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See the accompanying Notes to Condensed Financial Statements
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BRUCKNER SUPPLY COMPANY, INC.
Notes to the Condensed Financial Statements
Description of Business
Bruckner Supply Company, Inc. (the "Company") is an integrated supply company
whose customers are major corporations located throughout the United States. The
Company's revenues include total amounts billed to customers for products sold
and all other aspects of handling customers' purchasing operations.
Basis of Presentation
The unaudited condensed financial statements have been prepared in accordance
with generally accepted accounting principles. The notes included herein should
be read in conjunction with the audited financial statements of Bruckner
(included as Exhibit 99.1 to WESCO International, Inc.'s Current Report on Form
8-K/A dated September 11, 1998).
The unaudited condensed balance sheet as of June 30, 1998, and the unaudited
condensed statement of income and the unaudited condensed statement of cash
flows for the six months ended June 30, 1998 and 1997, in the opinion of
management, have been prepared on the same basis as the audited financial
statements and include all adjustments necessary for the fair presentation of
the results of the interim periods. All adjustments reflected in the condensed
financial statements are of a normal recurring nature. Results for the interim
periods presented are not necessarily indicative of the results to be expected
for the full year.
Subsequent Event
On September 11, 1998, the Company sold to WESCO Distribution, Inc.,
substantially all of its assets and liabilities, other than cash, debt
securities, amounts due from affiliates, certain equipment and prepaid expenses
and bank overdraft.
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