1
EXHIBIT 99.4
CASE NAME: KEVCO GP, INC. ACCRUAL BASIS
CASE NUMBER: 401-40786-BJH-11
JUDGE: BARBARA J. HOUSER
UNITED STATES BANKRUPTCY COURT
NORTHERN DISTRICT OF TEXAS
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FORT WORTH DIVISION
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MONTHLY OPERATING REPORT
MONTH ENDING: APRIL 30, 2001
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IN ACCORDANCE WITH TITLE 28, SECTION 1746, OF THE UNITED STATES CODE, I DECLARE
UNDER PENALTY OF PERJURY THAT I HAVE EXAMINED THE FOLLOWING MONTHLY OPERATING
REPORT (ACCRUAL BASIS - 1 THROUGH ACCRUAL BASIS - 7) AND THE ACCOMPANYING
ATTACHMENTS AND, TO THE BEST OF MY KNOWLEDGE, THESE DOCUMENTS ARE TRUE, CORRECT
AND COMPLETE. DECLARATION OF THE PREPARER (OTHER THAN RESPONSIBLE PARTY): IS
BASED ON ALL INFORMATION OF WHICH PREPARER HAS ANY KNOWLEDGE.
RESPONSIBLE PARTY:
/s/ JOSEPH P. TOMCZAK TREASURER
- ---------------------------------------- ------------------------------
Original Signature of Responsible Party Title
JOSEPH P. TOMCZAK MAY 29, 2001
- ---------------------------------------- ------------------------------
Printed Name of Responsible Party Date
PREPARER:
/s/ DENNIS S. FAULKNER ACCOUNTANT FOR DEBTOR
- ---------------------------------------- ------------------------------
Original Signature of Preparer Title
DENNIS S. FAULKNER MAY 29, 2001
- ---------------------------------------- ------------------------------
Printed Name of Preparer Date
2
CASE NAME: KEVCO GP, INC. ACCRUAL BASIS - 1
CASE NUMBER: 401-40786-BJH-11
COMPARATIVE BALANCE SHEET
SCHEDULED MONTH MONTH MONTH
ASSETS AMOUNT FEB-01 MAR-01 APR-01
- ------ ------------ ------------ ------------ ------------
1. Unrestricted Cash 0
2. Restricted Cash 0
3. Total Cash 0 0 0 0
4. Accounts Receivable (Net)
5. Inventory
6. Notes Receivable
7. Prepaid Expenses
8. Other (Attach List) 0 0 0 0
9. Total Current Assets 0 0 0 0
10. Property, Plant & Equipment
11. Less: Accumulated Depreciation/Depletion
12. Net Property, Plant & Equipment 0 0 0 0
13. Due From Insiders
14. Other Assets - Net of Amortization
(Attach List) 0 0 0 0
15. Other (Attach List) 360,837 360,837 360,837 360,837
16. Total Assets 360,837 360,837 360,837 360,837
POST PETITION LIABILITIES
17. Accounts Payable
18. Taxes Payable
19. Notes Payable
20. Professional Fees
21. Secured Debt
22. Other (Attach List) 0 0 0
23. Total Post Petition Liabilities 0 0 0
PRE PETITION LIABILITIES
24. Secured Debt (FOOTNOTE) 75,885,064 63,113,388 63,113,388 41,900,067
25. Priority Debt
26. Unsecured Debt
27. Other (Attach List) 128,815,071 128,815,071 128,815,071 128,815,071
28. Total Pre Petition Liabilities 204,700,135 191,928,459 191,928,459 170,715,138
29. Total Liabilities 204,700,135 191,928,459 191,928,459 170,715,138
EQUITY
30. Pre Petition Owners' Equity (204,339,298) (204,339,298) (204,339,298)
31. Post Petition Cumulative Profit Or
(Loss)
32. Direct Charges To Equity (Attach Explanation)
(Footnote) 12,771,676 12,771,676 33,984,997
33. Total Equity (191,567,622) (191,567,622) (170,354,301)
34. Total Liabilities and Equity 360,837 360,837 360,837
This form X does does not have related footnotes on Footnotes Supplement.
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3
CASE NAME: KEVCO GP, INC. SUPPLEMENT TO
CASE NUMBER: 401-40786-BJH-11 ACCRUAL BASIS - 1
COMPARATIVE BALANCE SHEET
SCHEDULED MONTH MONTH MONTH
ASSETS AMOUNT FEB-01 MAR-01 APR-01
- ------ ------------ ------------ ------------ ------------
A.
B.
C.
D.
E.
TOTAL OTHER ASSETS - LINE 8 0 0 0 0
A.
B.
C.
D.
E.
TOTAL OTHER ASSETS NET OF
AMORTIZATION - LINE 14 0 0 0 0
A. Investment in Subsidiaries 360,837 360,837 360,837 360,837
B.
C.
D.
E.
TOTAL OTHER ASSETS - LINE 15 360,837 360,837 360,837 360,837
POST PETITION LIABILITIES
A.
B.
C.
D.
E.
TOTAL OTHER POST PETITION
LIABILITIES - LINE 22 0 0 0
PRE PETITION LIABILITIES
A. Interco.Payables (FOOTNOTE) 315,071 315,071 315,071 315,071
B. 10 3/8% Senior Sub. Notes 105,000,000 105,000,000 105,000,000 105,000,000
C. Sr. Sub. Exchangeable Notes 23,500,000 23,500,000 23,500,000 23,500,000
D.
E.
TOTAL OTHER PRE PETITION
LIABILITIES - LINE 27 128,815,071 128,815,071 128,815,071 128,815,071
4
CASE NAME: KEVCO GP, INC. ACCRUAL BASIS - 2
CASE NUMBER: 401-40786-BJH-11
INCOME STATEMENT
MONTH MONTH MONTH QUARTER
REVENUES FEB-01 MAR-01 APR-01 TOTAL
- -------- ------------ ------------ ------------ ------------
1. Gross Revenues 0 0
2. Less: Returns & Discounts 0
3. Net Revenue 0 0 0 0
COST OF GOODS SOLD
4. Material 0
5. Direct Labor 0
6. Direct Overhead 0
7. Total Cost Of Goods Sold 0 0 0 0
8. Gross Profit 0 0 0 0
OPERATING EXPENSES
9. Officer / Insider Compensation 0
10. Selling & Marketing 0
11. General & Administrative 0
12. Rent & Lease 0
13. Other (Attach List) 0
14. Total Operating Expenses 0 0 0 0
15. Income Before Non-Operating
Income & Expense 0 0 0 0
OTHER INCOME & EXPENSES
16. Non-Operating Income (Att List) 0
17. Non-Operating Expense (Att List) 0
18. Interest Expense 0
19. Depreciation / Depletion 0
20. Amortization 0
21. Other (Attach List) 0
22. Net Other Income & Expenses 0 0 0 0
REORGANIZATION EXPENSES
23. Professional Fees 0
24. U.S. Trustee Fees 0
25. Other (Attach List) 0
26. Total Reorganization Expenses 0 0 0 0
27. Income Tax 0
28. Net Profit (Loss) 0 0 0 0
This form does x does not have related footnotes on Footnotes Supplement.
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CASE NAME: KEVCO GP, INC. ACCRUAL BASIS - 3
CASE NUMBER: 401-40786-BJH-11
CASH RECEIPTS AND MONTH MONTH MONTH QUARTER
DISBURSEMENTS FEB-01 MAR-01 APR-01 TOTAL
- ----------------- ------------ ------------ ------------ ------------
1. Cash - Beginning Of Month (SEE ATTACHED SUPPLEMENT AND FOOTNOTE).
RECEIPTS FROM OPERATIONS
2. Cash Sales 0
COLLECTION OF ACCOUNTS RECEIVABLE
3. Pre Petition 0
4. Post Petition 0
5. Total Operating Receipts 0 0 0 0
NON-OPERATING RECEIPTS
6. Loans & Advances (Attach List) 0 0 0 0
7. Sale of Assets 0
8. Other (Attach List) 0
9. Total Non-Operating Receipts 0 0 0 0
10. Total Receipts 0 0 0 0
11. Total Cash Available 0 0 0 0
OPERATING DISBURSEMENTS
12. Net Payroll 0
13. Payroll Taxes Paid 0
14. Sales, Use & Other Taxes Paid 0
15. Secured / Rental / Leases 0
16. Utilities 0
17. Insurance 0
18. Inventory Purchases 0
19. Vehicle Expenses 0
20. Travel 0
21. Entertainment 0
22. Repairs & Maintenance 0
23. Supplies 0
24. Advertising 0
25. Other (Attach List) 0 0 0 0
26. Total Operating Disbursements 0 0 0 0
REORGANIZATION DISBURSEMENTS
27. Professional Fees 0
28. U.S. Trustee Fees 0
29. Other (Attach List) 0 0 0 0
30. Total Reorganization Expenses 0 0 0 0
31. Total Disbursements 0 0 0 0
32. Net Cash Flow 0 0 0 0
33. Cash - End of Month 0 0 0 0
This form x does does not have related footnotes on Footnotes Supplement.
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CASE NAME: KEVCO GP, INC. SUPPLEMENT TO ACCRUAL BASIS - 3
APRIL, 2001
CASE NUMBER: 401-40786-BJH-11 CASH RECEIPTS AND DISBURSEMENTS
DIST LP MFG MGMT HOLDING COMP
------------ ------------ ------------ ------------ ------------
1 CASH-BEGINNING OF MONTH 1,483 (95,242) 26,213,696 5,010 6,050
RECEIPTS FROM OPERATIONS
2 CASH SALES 121,372 --
COLLECTION OF ACCOUNTS RECEIVABLE
3 PRE PETITION 61,354 --
4 POST PETITION 7,225,297 4,705,194
5 TOTAL OPERATING RECEIPTS 7,408,023 4,705,194 -- -- --
NON OPERATING RECEIPTS
6 LOANS & ADVANCES --
7 SALE OF ASSETS 38,500 7,012,936
8 OTHER 171,186 -- 87,708 -- --
INTERCOMPANY TRANSFERS (4,591,461) (2,381,789) 6,973,250 -- --
SALE EXPENSE REIMBURSEMENT
LIFE INSURANCE CASH VALUE 152,493
RENT 16,000
TAX REFUND 2,693
MISC --
INTEREST INCOME 87,708
9 TOTAL NON OPERATING RECEIPTS (4,381,775) 4,631,147 7,060,958 -- --
10 TOTAL RECEIPTS 3,026,248 9,336,341 7,060,958 -- --
11 CASH AVAILABLE 3,027,731 9,241,099 33,274,654 5,010 6,050
OPERATING DISBURSEMENTS
12 NET PAYROLL 500,771 560,149 112,437
13 PAYROLL TAXES PAID -- 524,486
14 SALES, USE & OTHER TAXES PAID 9,429 770
15 SECURED/RENTAL/LEASES 496,959 130,335 71,718
16 UTILITIES 100,185 88,360 211,235
17 INSURANCE 6,099 -- 597,388
18 INVENTORY PURCHASES 1,269,266 1,178,079
19 VEHICLE EXPENSE 64,627 10,109
20 TRAVEL 21,689 12,853 643
21 ENTERTAINMENT -- 369
22 REPAIRS & MAINTENANCE 2,617 19,292 2,790
23 SUPPLIES 9,375 40,685
24 ADVERTISING -- --
25 OTHER 546,714 7,266,715 15,367,241 -- --
LOAN PAYMENTS 324,609 7,012,936 15,000,000
FREIGHT 97,953 152,540
CONTRACT LABOR 617 1,976 31,937
401 K PAYMENTS -- 157,719
PAYROLL TAX ADVANCE ADP
WAGE GARNISHMENTS
MISC 123,535 99,263 177,585
26 TOTAL OPERATING DISBURSEMENTS 3,027,731 9,307,716 16,887,938 -- --
REORGANIZATION DISBURSEMENTS
27 PROFESSIONAL FEES -- 492,647
28 US TRUSTEE FEES --
29 OTHER
30 TOTAL REORGANIZATION EXPENSE -- -- 492,647 -- --
31 TOTAL DISBURSEMENTS 3,027,731 9,307,716 17,380,585 -- --
32 NET CASH FLOW (1,483) 28,625 (10,319,627) -- --
33 CASH- END OF MONTH -- (66,617) 15,894,069 5,010 6,050
KEVCO INC TOTAL
------------ ------------
1 CASH-BEGINNING OF MONTH 1,000 26,131,997
RECEIPTS FROM OPERATIONS
2 CASH SALES 121,372
COLLECTION OF ACCOUNTS RECEIVABLE
3 PRE PETITION 61,354
4 POST PETITION 11,930,491
5 TOTAL OPERATING RECEIPTS -- 12,113,217
NON OPERATING RECEIPTS
6 LOANS & ADVANCES --
7 SALE OF ASSETS 7,051,436
8 OTHER -- 258,894
INTERCOMPANY TRANSFERS --
SALE EXPENSE REIMBURSEMENT
LIFE INSURANCE CASH VALUE
RENT
TAX REFUND
MISC
INTEREST INCOME
9 TOTAL NON OPERATING RECEIPTS -- 7,310,330
10 TOTAL RECEIPTS -- 19,423,547
11 CASH AVAILABLE 1,000 45,555,544
OPERATING DISBURSEMENTS
12 NET PAYROLL 1,173,357
13 PAYROLL TAXES PAID 524,486
14 SALES, USE & OTHER TAXES PAID 10,199
15 SECURED/RENTAL/LEASES 699,012
16 UTILITIES 399,780
17 INSURANCE 603,487
18 INVENTORY PURCHASES 2,447,345
19 VEHICLE EXPENSE 74,736
20 TRAVEL 35,185
21 ENTERTAINMENT 369
22 REPAIRS & MAINTENANCE 24,699
23 SUPPLIES 50,060
24 ADVERTISING --
25 OTHER -- 23,180,670
LOAN PAYMENTS 22,337,545
FREIGHT 250,493
CONTRACT LABOR 34,530
401 K PAYMENTS 157,719
PAYROLL TAX ADVANCE ADP --
WAGE GARNISHMENTS --
MISC 400,383
26 TOTAL OPERATING DISBURSEMENTS -- 29,223,385
REORGANIZATION DISBURSEMENTS
27 PROFESSIONAL FEES 492,647
28 US TRUSTEE FEES --
29 OTHER --
30 TOTAL REORGANIZATION EXPENSE -- 492,647
31 TOTAL DISBURSEMENTS -- 29,716,032
32 NET CASH FLOW -- (10,292,485)
33 CASH- END OF MONTH 1,000 15,839,512
7
CASE NAME: KEVCO GP, INC. ACCRUAL BASIS - 4
CASE NUMBER: 401-40786-BJH-11
SCHEDULED MONTH MONTH MONTH
ACCOUNTS RECEIVABLE AGING AMOUNT FEB-01 MAR-01 APR-01
- ------------------------- --------- ------ ------ ------
1. 0 - 30
2. 31 - 60
3. 61 - 90
4. 91 +
5. Total Accounts Receivable 0 0 0 0
6. (Amount Considered Uncollectible)
7. Accounts Receivable (Net) 0 0 0 0
AGING OF POST PETITION MONTH: APRIL-01
TAXES AND PAYABLES ------------------
0 - 30 31 - 60 61 - 90 91 +
TAXES PAYABLE DAYS DAYS DAYS DAYS TOTAL
- ------------- ------ ------- ------- ---- -----
1. Federal 0
2. State 0
3. Local 0
4. Other (Attach List) 0 0 0 0 0
5. Total Taxes Payable 0 0 0 0 0
6. Accounts Payable 0
MONTH: APRIL-01
STATUS OF POST PETITION TAXES ------------------
AMOUNT
BEGINNING TAX WITHHELD AND/OR ENDING TAX
FEDERAL LIABILITY* ACCRUED (AMOUNT PAID) LIABILITY
- ------- ------------- --------------- ------------- ----------
1. Withholding ** 0
2. FICA - Employee ** 0
3. FICA - Employer ** 0
4. Unemployment 0
5. Income 0
6. Other (Attach List) 0 0 0 0
7. Total Federal Taxes 0 0 0 0
STATE AND LOCAL
8. Withholding 0
9. Sales 0
10. Excise 0
11. Unemployment 0
12. Real Property 0
13. Personal Property 0
14. Other (Attach List) 0 0 0 0
15. Total State And Local 0 0 0 0
16. Total Taxes 0 0 0 0
* The beginning tax liability should represent the liability from the prior
month or, if this is the first operating report, the amount should be zero.
** Attach photocopies of IRS Form 6123 or your FTD coupon and payment receipt
to verify payment of deposit.
This form does x does not have related footnotes on Footnotes Supplement.
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CASE NAME: KEVCO GP, INC. ACCRUAL BASIS - 5
CASE NUMBER: 401-40786-BJH-11
The debtor in possession must complete the reconciliation below for each bank
account, including all general, payroll and tax accounts, as well as all savings
and investment accounts, money market accounts, certificates of deposit,
government obligations, etc. Accounts with restricted funds should be identified
by placing an asterisk next to the account number. Attach additional sheets if
necessary.
MONTH: APRIL-01
----------------
BANK RECONCILIATIONS Account # 1 Account # 2
- -------------------- ----------- -----------
A. BANK: Other Accounts
B. ACCOUNT NUMBER: (Attach List) TOTAL
C. PURPOSE (TYPE):
1. Balance Per Bank Statement 0 0
2. Add: Total Deposits Not Credited 0 0
3. Subtract: Outstanding Checks 0 0
4. Other Reconciling Items 0 0
5. Month End Balance Per Books 0 0 0 0
6. Number of Last Check Written
INVESTMENT ACCOUNTS
DATE OF TYPE OF
BANK, ACCOUNT NAME & NUMBER PURCHASE INSTRUMENT PURCHASE PRICE CURRENT VALUE
- --------------------------- -------- ---------- -------------- -------------
7.
8.
9.
10. (Attach List) 0 0
11. Total Investments 0 0
CASH
12. Currency On Hand 0
13. Total Cash - End of Month 0
This form does x does not have related footnotes on Footnotes Supplement.
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CASE NAME: KEVCO GP, INC. ACCRUAL BASIS - 6
CASE NUMBER: 401-40786-BJH-11 MONTH: APRIL-01
------------------
PAYMENTS TO INSIDERS AND PROFESSIONALS
Of the Total Disbursements shown for the month, list the amount paid to Insiders
(as defined in Section 101 (31) (A) - (F) of the U.S. Bankruptcy Code) and to
Professionals. Also, for payments to Insiders, identify the type of compensation
paid (e.g. salary, bonus, commissions, insurance, housing allowance, travel, car
allowance, etc.). Attach additional sheets if necessary.
INSIDERS
INSIDERS TYPE AMOUNT TOTAL PAID
NAME OF PAYMENT PAID TO DATE
---- ------------- ------ ----------
1.
2.
3.
4.
5. (Attach List) 0 0
6. Total Payments To Insiders 0 0
PROFESSIONALS
DATE OF
COURT ORDER TOTAL
AUTHORIZING AMOUNT AMOUNT TOTAL PAID INCURRED
NAME PAYMENT APPROVED PAID TO DATE & UNPAID*
---- ----------- -------- ------ ---------- ---------
1.
2.
3.
4.
5. (Attach List) 0 0 0 0
6. Total Payments To Professionals 0 0 0 0
* Include all fees incurred, both approved and unapproved
POST PETITION STATUS OF SECURED NOTES, LEASES PAYABLE AND ADEQUATE
PROTECTION PAYMENTS
SCHEDULED AMOUNTS TOTAL
MONTHLY PAID UNPAID
PAYMENTS DURING POST
NAME OF CREDITOR DUE MONTH PETITION
---------------- -------- ------- --------
1.
2.
3.
4.
5. (Attach List) 0 0 0
6. TOTAL 0 0 0
This form does x does not have related footnotes on Footnotes Supplement.
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CASE NAME: KEVCO GP, INC. ACCRUAL BASIS - 7
CASE NUMBER: 401-40786-BJH-11
MONTH: APRIL-01
---------------
QUESTIONNAIRE
YES NO
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1. Have any Assets been sold or transferred outside the normal course of business
this reporting period? X
2. Have any funds been disbursed from any account other than a debtor in
possession account? X
3. Are any Post Petition Receivables (accounts, notes, or loans) due from related
parties? X
4. Have any payments been made on Pre Petition Liabilities this reporting period? X
5. Have any Post Petition Loans been received by the debtor from any party? X
6. Are any Post Petition Payroll Taxes past due? X
7. Are any Post Petition State or Federal Income Taxes past due? X
8. Are any Post Petition Real Estate Taxes past due? X
9. Are any other Post Petition Taxes past due? X
10. Are any amounts owed to Post Petition creditors delinquent? X
11. Have any Pre Petition Taxes been paid during the reporting period? X
12. Are any wage payments past due? X
If the answer to any of the above questions is "Yes", provide a detailed
explanation of each item. Attach additional sheets if necessary.
(SEE FOOTNOTE 1, 24 [B] AND [C])
INSURANCE
YES NO
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1. Are Worker's Compensation, General Liability and other necessary insurance
coverages in effect? X
2. Are all premium payments paid current? X
3. Please itemize policies below.
If the answer to any of the above questions is "No", or if any policies have
been canceled or not renewed during this reporting period, provide an
explanation below. Attach additional sheets if necessary.
Debtor has no operations.
INSTALLMENT PAYMENTS
TYPE OF POLICY CARRIER PERIOD COVERED PAYMENT AMOUNT & FREQUENCY
-------------- ------- -------------- --------------------------
General Liability Liberty Mutual 9/1/00-9/1/01 Annual $313,520
Umbrella National Union 6/1/00-9/1/01 Annual $103,349
This form X does does not have related footnotes on Footnotes Supplement.
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11
CASE NAME: KEVCO GP, INC. FOOTNOTES SUPPLEMENT
CASE NUMBER: 401-40786-BJH-11 ACCRUAL BASIS
MONTH: APRIL-01
--------
ACCRUAL
BASIS
FORM LINE
NUMBER NUMBER FOOTNOTE / EXPLANATION
- ------ ------ ----------------------
1 24 (A) Pursuant to an Asset Purchase Agreement approved by the Court on
7 4 February 23, 2001 and effective as of the same date among Kevco, Inc.,
Kevco Manufacturing, LP, Wingate Management Co. II, LP and Adorn LLC,
certain assets and liabilities of Design Components, a division of
Kevco Manufacturing, LP (Case No. 401-40784-BJH-11), were transferred
to Adorn, LLC. At the effective date of purchase, Buyer assumed certain
executory contracts, approximately $1.6 million of Kevco Manufacturing,
LP's unsecured pre-petition liabilities, $3.5 million of accounts
receivable, $5 million of inventory and $2.2 million (book value) of
property and equipment. Payment was made directly to Bank of America,
the secured lender, thereby reducing pre-petition secured debt.
(B) Pursuant to an Asset Purchase Agreement approved by the Court on April
3, 2001 and effective as of the same date, Universal Forest Products
Eastern Division, Inc. purchased the assets (inventory, equipment,
machinery and five of the seven facilities at which Sunbelt Wood
Components Division operates) of the Sunbelt division of Kevco
Manufacturing, L.P. Approximately $ 7 million in sales proceeds were
paid directly to Bank of America thereby reducing pre-petition secured
debt.
(C) Debtor paid $15 million from available cash during April to Bank of
America to reduce pre-petition secured debt.
1 27A Intercompany payables are to co-debtors Kevco Management Co. (Case No.
401-40788-BJH-11), Kevco Distribution, LP (Case No. 401-40789-BJH-11),
Kevco Manufacturing, LP (Case No. 401-40784-BJH-11), Kevco Holding, Inc.
(Case No. 401-40785-BJH-11), Kevco, Inc. (Case No. 401-40783-BJH-11), Kevco
GP, Inc. (Case No. 401-40786-BJH-11), and Kevco Components, Inc. (Case No.
401-40790-BJH-11). Debtor currently has $429,066 of intercompany payables.
1 32 The direct charges to equity are due to the secured debt reductions
pursuant to sales of two of Kevco Manufacturing, L.P.'s operating divisions
(Design Components and Sunbelt Wood) as well as a direct cash payment of
$15 million (See Footnote 1,24). The secured debt owed to Bank of America
by Kevco, Inc. (Case No. 401-40783-BJH-11) has been guaranteed by all of
its co-debtors (See Footnote 1,27A); therefore, the secured debt is
reflected as a liability on all of the Kevco entities. The charge to equity
is simply an adjustment to the balance sheet. Kevco, Inc.'s report will
reflect the cash portion of the transaction.
3 1 Pursuant to the February 12, 2001 Order (1) Authorizing Continued Use of
Existing Forms and Records; (2) Authorizing Maintenance of Existing
Corporate Bank Accounts and Cash Management System; and (3) Extending Time
to Comply with 11 U.S.C. Section 345 Investment Guidelines, funds in the
Bank of America and Key Bank deposit accounts are swept daily into Kevco's
lead account number 1295026976. The Bank of America lead account is
administered by, and held in the name of, Kevco Management Co. (co-debtor,
Case No. 401-40788-BJH-11). Accordingly, all cash receipts and
disbursements flow through Kevco Management's Bank of America DIP account.
A schedule allocating receipts and disbursements among Kevco, Inc. and its
subsidiaries is included in this report as a Supplement to Accrual Basis
-3. Debtor does maintain a small petty cash account that is included in the
cash supplement schedule. Kevco GP, Inc. has no active bank accounts.