FORM 10-Q/A
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
--------------------------------
For Quarter Ended March 31, 2000
Commission File no. 2-64309
GOLF HOST RESORTS, INC.
-----------------------
(Exact name of registrant as specified in its charter)
Colorado 84-0631130
- ------------------------------- -------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
36750 US 19 N., Palm Harbor, Florida 34684
- --------------------------------------------------------------------
(Address of principal executive offices) (Zip Code)
(727) 942-2000
- ----------------------------------------------------
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports
required to Section 13 or 15 (d) of the Securities Exchange Act of 1934 during
the preceding twelve months, and (2) has been subject to the filing requirements
for the past 90 days. - Yes [X] No [ ]
Issuer has no common stock subject to this report.
Page 1 of 18
GOLF HOST RESORTS, INC. AND SUBSIDIARY
(A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.)
BALANCE SHEETS
MARCH 31, 2000 AND DECEMBER 31, 1999
ASSETS
(SUBSTANTIALLY ALL PLEDGED)
MARCH 31, DECEMBER 31,
2000 1999
----------- ------------
(unaudited)
CURRENT ASSETS:
Cash $ 241,025 $ 131,440
Restricted cash 385,970 318,860
Accounts receivable, net 7,503,418 4,499,990
Other receivables 1,143,504 907,568
Inventories and supplies 1,575,329 1,755,452
Prepaid expenses and other assets 955,045 132,116
----------- -----------
11,804,291 7,745,426
Assets held for sale 8,634,596 8,634,596
----------- -----------
Total current assets 20,438,887 16,380,022
INTANGIBLES, net 26,608,874 26,994,645
PROPERTY AND EQUIPMENT, net 42,734,161 43,205,256
OTHER ASSETS 326,485 315,851
----------- -----------
$90,108,407 $86,895,774
=========== ===========
The accompanying notes are an integral part
of these consolidated financial statements.
Page 2
GOLF HOST RESORTS, INC. AND SUBSIDIARY
(A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.)
BALANCE SHEETS
MARCH 31, 2000 AND DECEMBER 31, 1999
LIABILITIES AND SHAREHOLDER'S DEFICIT
MARCH 31, DECEMBER 31,
2000 1999
------------- -------------
(unaudited)
CURRENT LIABILITIES:
Accounts payable $ 6,104,334 $ 5,039,225
Line of credit 378,562 2,109,316
Accrued payroll costs 1,176,587 899,750
Accrued interest 724,584 691,265
Accrued expenses 4,947,529 3,214,321
Deposits and prepaid fees 2,717,333 2,841,038
Current notes payable 804,160 795,205
Due to related parties 2,789,533 1,994,645
------------- -------------
Total current liabilities 19,642,622 17,584,765
NOTES PAYABLE 83,734,874 83,829,220
OTHER LONG-TERM LIABILITIES 5,327,422 5,168,028
DEFERRED INCOME TAXES 1,770,467 1,770,467
------------- -------------
Total liabilities 110,475,385 108,352,480
------------- -------------
SHAREHOLDER'S DEFICIT
Common stock, $1 par, 5,000 shares
authorized, issued, and outstanding 5,000 5,000
5.6% cumulative preferred
stock, $1 par, 4,577,000
shares authorized, issued, and outstanding 4,577,000 4,577,000
Paid-in capital (13,557,000) (13,557,000)
Accumulated deficit (11,391,978) (12,481,706)
------------- -------------
Total shareholder's deficit (20,366,978) (21,456,706)
------------- -------------
Total liabilities and shareholder's
deficit $ 90,108,407 $ 86,895,774
============= =============
The accompanying notes are an integral part
of these consolidated financial statements.
Page 3
GOLF HOST RESORTS, INC. AND SUBSIDIARY
(A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.)
STATEMENTS OF INCOME
FOR THE QUARTERS ENDED MARCH 31, 2000 AND 1999
QUARTERS ENDED MARCH 31,
2000 1999
------------ -----------
(unaudited)
REVENUES:
Resort facilities $ 7,468,973 $ 9,146,497
Food and beverage 5,344,391 5,142,353
Golf 5,373,588 6,144,632
Other 1,638,747 2,254,204
------------ -----------
19,825,699 22,687,686
------------ -----------
COST AND OPERATION EXPENSES:
Resort facilities 4,862,303 5,433,259
Food and beverage 2,871,786 2,956,953
Golf 2,053,380 2,084,388
Other 2,851,283 3,762,979
General and administrative 1,831,251 3,341,497
Depreciation and amortization 955,772 1,050,111
------------ -----------
15,425,775 18,629,187
------------ -----------
INCOME BEFORE INCOME/(LOSS) ON
ASSETS HELD FOR SALE 4,399,924 4,058,499
INCOME/(LOSS) ON ASSETS HELD FOR SALE (798,837) 821,864
------------ -----------
OPERATING INCOME 3,601,087 4,880,363
INTEREST, NET 2,447,282 2,385,938
------------ -----------
INCOME BEFORE DIVIDEND
REQUIREMENTS ON PREFERRED STOCK 1,153,805 2,494,425
DIVIDEND REQUIREMENTS ON
PREFERRED STOCK 64,077 64,077
------------ -----------
NET INCOME AVAILABLE
TO COMMON SHAREHOLDERS $ 1,089,728 $ 2,430,348
============ ===========
EARNINGS PER COMMON SHARE $ 217.96 $ 486.07
============ ===========
The accompanying notes are an integral part
of these consolidated financial statements.
Page 4
GOLF HOST RESORTS, INC AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF SHAREHOLDER'S DEFICIT
FOR THE FIFTEEN MONTHS ENDED MARCH 31, 2000
$1 Par Value 5.6% Cumulative
Common Stock Preferred Stock Total
---------------- ----------------------- Paid-In Retained Shareholder's
Shares Amount Shares Amount Capital Deficit Deficit
------ ------ --------- ---------- ------------ ------------ ------------
Balance, December 31, 1998 5,000 5,000 4,577,000 4,577,000 (13,557,000) 1,940,766 (7,034,234)
Net loss available to
common shareholder -- -- -- -- -- (7,453,219) (7,453,219)
Distribution to shareholder -- -- -- -- -- (6,969,253) (6,969,253)
----- ------ --------- ---------- ------------ ------------ ------------
Balance, December 31, 1999 5,000 5,000 4,577,000 4,577,000 (13,557,000) (12,481,706) (21,456,706)
Net income available to
common shareholder -- -- -- -- -- 1,089,728 1,089,728
----- ------ --------- ---------- ------------ ------------ ------------
Balance, March 31, 2000 5,000 $5,000 4,577,000 $4,577,000 $(13,557,000) $(11,391,978) $(20,366,978)
===== ====== ========= ========== ============ ============ ============
The accompanying notes are an integral part
of these consolidated financial statements.
Page 5
GOLF HOST RESORTS, INC. AND SUBSIDIARY
(A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.)
STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 2000 AND 1999
2000 1999
----------- -----------
(unaudited)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income before dividend requirements
on preferred stock $ 1,153,805 $ 2,494,425
Noncash items included in income:
Depreciation and amortization 955,772 1,091,471
Write-off of startup costs -- 1,644,443
Changes in operating working capital (233,702) (4,959,277)
----------- -----------
Cash provided by operations 1,875,875 271,062
----------- -----------
CASH FLOWS FROM INVESTING ACTIVITIES:
(Increase) in other assets (10,634) --
Purchases of property and equipment (98,905) (682,051)
Decrease in assets held for sale -- 2,455,710
----------- -----------
Cash provided by (used in) investing activities (109,539) 1,773,659
----------- -----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Increase/(decrease) in notes payable 8,955 (87,682)
Additional borrowings on existing debt -- 303,416
Repayment of existing debt (94,346) --
Repayment of line of credit (1,730,754) (3,832,384)
Increases in other long-term liabilities 159,394 247,766
----------- -----------
Cash provided by (used in) financing activities (1,656,751) (3,368,884)
----------- -----------
NET INCREASE (DECREASE) IN CASH 109,585 (1,324,163)
CASH, BEGINNING OF PERIOD 131,440 1,396,404
----------- -----------
CASH, END OF PERIOD $ 241,025 $ 72,241
=========== ===========
NONCASH FINANCING AND INVESTING ACTIVITIES:
The Company satisfied its preferred
stock dividend liability to GHI
through the intercompany account $ 64,077 $ 64,077
=========== ===========
The accompanying notes are an integral part
of these consolidated financial statements.
Page 6
GOLF HOST RESORTS, INC. AND SUBSIDIARY
(A WHOLLY OWNED SUBSIDIARY OF GOLF HOSTS, INC.)
NOTES TO FINANCIAL STATEMENTS
MARCH 31, 2000 AND 1999
(1) ORGANIZATION, BUSINESS, LIQUIDITY AND ACCOUNTING POLICIES
During the quarter, there was no significant change from the 10-K filing
on December 31, 1999.
Financial Statement Presentation
Certain reclassifications have been made to the March 2000 financial
statements to conform to the December 1999 presentation.
(2) LONG-TERM OBLIGATIONS
Long-term obligations consist of the following:
MARCH 31, DECEMBER 31,
2000 1999
------------ ------------
Participating mortgage note at varying pay
rates maturing in 2027 $ 69,975,000 $ 69,975,000
$9,000,000 participation mortgage
note credit facility 9,000,000 9,000,000
Mortgage note at 6.34%, maturing in 2002 4,417,764 4,417,764
Capital leases 1,146,270 1,231,661
------------ ------------
84,539,034 84,624,425
Less current maturities (804,160) (795,205)
------------ ------------
$ 83,734,874 $ 83,829,220
============ ============
Page 7
GOLF HOST RESORTS, INC. AND SUBSIDIARY
(a wholly owned subsidiary of Golf Hosts, Inc.)
Management's Discussion and Analysis
of Financial Condition and Results of Operations
RESULTS OF OPERATIONS
For purposes of discussing comparative results of operations for 2000
and 1999, the results of operations of Tamarron, which are included in
Income/(Loss) on Assets Held for Sale, are also utilized.
Guest occupancy for the quarter declined 7,204 room nights or 13.6% from
the level of the prior year. On a divisional basis, Innisbrook's and
Tamarron's occupancy declined by 13.5% and 13.9% respectively.
Innisbrook's reduction reflects a 6,900-room night reduction in
conference business offset by a 1,500-room night increase in transient
business. Reduced rental pool participation at Innisbrook has reduced
the average daily available room night to sell by 16.5%. This in turn
has negatively impacted the Resort's ability to attract large group
business. Tamarron's occupancy was down in both transient and group
business at 750 and 250 room nights respectively.
Revenues from resort operations on a per occupied room basis increased
by 1.1% to $432.76 from $427.94. The improved guest spending is
primarily attributed to Tamarron, which enjoyed a 5.2% improvement in
gross operating revenues despite fewer room nights. Average daily room
rates declined at both properties. Innisbrook's average daily rates
declined $11.09 or 5.6% while Tamarron's declined $10.68 or 12.2%.
Reductions in room rates reflect the continuing need to elevate the
rooms to a competitive standard and the focus at Innisbrook on driving
valuable golf business into the property.
Food and Beverage revenues increased by approximately $202,000 over the
prior year or an average of 13.5% per meal served. This increase
occurred primarily at the Innisbrook property and reflects the
utilization of enhanced amenities and varying theme restaurants
available at this property. This increase is net of a decrease in the
number of meals served of 8.3% or 21,900.
Gross golf revenue for the quarter was down $771,000 or 12.5% from the
prior year. This change relates entirely to the Innisbrook property, as
the Tamarron facility does not have its golf course open during the
first quarter. Similar to room revenues, the utilization of the golf
courses is constrained by the reduced availability of room nights, which
in turn restricts golf package availability. Management has restructured
its sales and marketing department to address this issue and continues
to work with the Rental Pool representatives to increase participation
by the condominium owners in the Rental Pool. During 1999, one lot sale
closed at the Tamarron property while no closings occurred during the
first quarter of 2000. It is expected that nine new lots will close at
Tamarron during the fourth quarter of 2000. In 1999, at the Innisbrook
property, approximately thirty-five acres of undeveloped non-operating
land was sold in the first quarter. No similar land sales have occurred
in 2000. All of the real estate activities for 2000 and 1999 are
included in Income/(Loss) as Assets Held for Sale in the statement of
operation.
As required by SOP 98-8, during the first quarter of 1999, the Company
recognized a one time write-off of approximately $1,644,000 of other
assets comprises of capitalized start up costs relative to the changes
in the management at Innisbrook and Tamarron. This write-off is included
in general and administrative expense in the statement of operations.
Exclusive of this adjustment, costs and expenses, while being
aggressively managed, increased by 3.3% as compared to total revenues.
This percentage increase reflects the fixed maintenance and support
costs of the golf courses and other amenities. On a divisional basis,
Innisbrook's costs as a percentage of gross revenue grew 3.9% while
Tamarron's decreased by 9.2%.
Page 8
FINANCIAL CONDITION AND LIQUIDITY
The company's working capital position (exclusive of Assets Held for
Sale) was a deficit of $7,838,331 as compared to a deficit of
$9,839,339 at December 31, 1999. The Company typically experiences
seasonal fluctuations in its net working capital position without
normally impairing its ability to pay trade creditors in a timely
manner and satisfy its financial obligations in an orderly fashion. In
addition, the Company's short-term working capital needs are supported
by a $3,000,000 Accounts Receivable revolving credit facility along
with a minimum funding guarantee by the management company.
Based on existing cash levels and the additional cash sources noted
above, the Company assesses its liquidity as satisfying.
Page 9
PART II - OTHER INFORMATION
Item 1. Legal Proceedings
Registrant is not currently involved in material legal proceedings
other than ordinary routine litigation incidental to its business.
Item 2. Changes in Securities
Not applicable.
Item 3. Defaults Upon Senior Securities
Not applicable.
Item 4. Submission of matters to a Vote of Security Holders
Not applicable.
Item 5. Other Information
Pursuant to an agreement with the SEC staff, included in this 10-Q
filing are unaudited financial statements of the Innisbrook Rental
Pool Lease Operation and the Tamarron Rental Pool Lease Operation
for the quarter and three months ended March 31, 2000 and 1999
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
27 Financial Data Schedule (for SEC use only)
(b) Reports on Form 8-K
None
Page 10
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 thereunto duly authorized.
GOLF HOST RESORTS, INC.
Date: 12/24/01 By: /s/ Merrick Kleeman
--------------------------- -----------------------------------
Merrick Kleeman
President
Date: 12/24/01 By: /s/ R. Keith Wilt
--------------------------- -----------------------------------
R. Keith Wilt
Vice President and Treasurer
Page 11
RENTAL POOL LEASE OPERATIONS
The following unaudited financial statements of the Innisbrook Rental Pool Lease
Operation and the Tamarron Rental Pool Lease Operation (the Rental Pools) are
for the quarters and three months ended March 31, 2000 and 1999.
The operations of the Rental Pools are tied closely to that of Golf Host
Resorts, Inc. (the Company), and provide for distribution of a percentage of the
Company's room revenues, as defined in the Rental Pool Master Lease Agreements,
to participating condominium owners (Participants).
The operations of the Rental Pools are more fully discussed in Form 10-K, for
the fiscal year ended December 31, 1999 (file No. 2-64309).
Page 12
INNISBROOK RENTAL POOL LEASE OPERATION
BALANCE SHEETS
MARCH 31, 2000 AND 1999
DISTRIBUTION FUND
2000 1999
----------- -----------
ASSETS
RECEIVABLE FROM GOLF HOST RESORTS, INC.
FOR DISTRIBUTION $ 2,897,744 $ 3,409,662
INTEREST RECEIVABLE FROM MAINTENANCE
ESCROW FUND 55,985 25,319
----------- -----------
$ 2,953,729 $ 3,434,981
=========== ===========
LIABILITIES AND PARTICIPANTS' FUND BALANCES
DUE TO PARTICIPANTS FOR DISTRIBUTION 2,509,458 2,920,327
DUE TO MAINTENANCE ESCROW FUND 444,271 514,654
PARTICIPANTS' FUND BALANCES -- --
----------- -----------
$ 2,953,729 $ 3,434,981
=========== ===========
MAINTENANCE ESCROW FUND
ASSETS
CASH AND CASH EQUIVALENTS $ 3,673,304 $ 2,134,365
RECEIVABLE FROM DISTRIBUTION FUND 444,271 514,654
INVENTORY 2,924,558 80,850
INTEREST RECEIVABLE 37,090 34,068
----------- -----------
$ 7,079,223 $ 2,763,937
=========== ===========
LIABILITIES AND PARTICIPANTS' FUND BALANCES
ACCOUNTS PAYABLE $ 10,312 $ 2,006
INTEREST PAYABLE TO DISTRIBUTION FUND 55,985 25,319
CARPET CARE RESERVE (5,217) (5,532)
PARTICIPANTS' FUND BALANCES 7,018,143 2,742,144
----------- -----------
$ 7,079,223 $ 2,763,937
=========== ===========
These statements were prepared from the books and records of the Rental Pool
without audit (and in the opinion of management) include all adjustments which
are necessary for a fair presentation.
Page 13
INNISBROOK RENTAL POOL LEASE OPERATION
STATEMENTS OF OPERATIONS
FOR THE QUARTERS ENDED MARCH 31, 2000 AND 1999
DISTRIBUTION FUND
YEAR-TO-DATE
-----------------------------
2000 1999
----------- -----------
GROSS REVENUES $ 7,375,156 $ 8,709,634
----------- -----------
DEDUCTIONS:
Agents' commissions 365,388 438,440
Credit Card fees 48,363 63,171
Audit fees 3,250 3,250
----------- -----------
417,001 504,861
----------- -----------
ADJUSTED GROSS REVENUES 6,958,155 8,204,773
AMOUNT RETAINED BY LESSEE (3,468,161) (4,089,402)
----------- -----------
GROSS INCOME DISTRIBUTION 3,489,994 4,115,371
ADJUSTMENTS TO GROSS INCOME
DISTRIBUTION:
Management fee (384,566) (453,946)
Marketing fee (209,763) (247,607)
Miscellaneous pooled expense (22,794) (45,737)
Corporate complimentary occupancy fees 10,411 8,317
Westin Associate room fees 18,374 12,831
Occupancy fees (498,011) (552,659)
Advisory Committee expenses (8,040) (6,416)
----------- -----------
NET INCOME DISTRIBUTION 2,395,605 2,830,154
ADJUSTMENTS TO NET INCOME DISTRIBUTION:
Occupancy fees 498,011 552,659
Hospitality suite fees -- 189
Greens fees 3,378 4,046
Additional participation credit 750 960
----------- -----------
AMOUNT AVAILABLE FOR DISTRIBUTION
TO PARTICIPANTS $ 2,897,744 $ 3,388,008
=========== ===========
Average daily distribution $ 49.77 $ 48.57
Average room rate $ 186.05 $ 189.97
Occupied room nights 39,641 45,847
Available room nights 58,228 69,756
Occupancy percentage 68.1% 65.7%
Average number of available units 640 775
These statements were prepared from the books and records of the Rental Pool
without audit and, in the opinion of management, include all adjustments which
are necessary for a fair presentation.
Page 14
INNISBROOK RENTAL POOL LEASE OPERATION
STATEMENTS OF CHANGES IN PARTICIPANTS' FUND BALANCES
FOR THE QUARTERS ENDED MARCH 31, 2000 AND 1999
DISTRIBUTION FUND
YEAR-TO-DATE
2000 1999
----------- -----------
BALANCE, beginning of period $ -- $ --
ADDITIONS:
Amount available for distribution 2,897,744 3,388,008
Interest received or receivable from
Maintenance Escrow Fund 55,985 25,319
REDUCTIONS:
Amounts withheld for Maintenance Escrow Fund (444,271) (514,654)
Amounts accrued or paid to participants (2,509,458) (2,898,673)
----------- -----------
BALANCE, end of period $ -- $ --
=========== ===========
MAINTENANCE ESCROW FUND
BALANCE, beginning of period $ 7,021,346 $ 2,505,110
ADDITIONS:
Amounts withheld from occupancy fees 444,271 493,000
Interest earned 55,985 25,319
Charges to participants to establish
or restore escrow balances 48,178 65,525
REDUCTIONS:
Maintenance charges (101,718) (118,344)
Carpet care reserve deposit (19,903) (11,054)
Interest accrued or paid to Distribution Fund (55,985) (25,319)
Refunds to participants as prescribed by
the master lease agreements (374,031) (192,093)
----------- -----------
BALANCE, end of period $ 7,018,143 $ 2,742,144
=========== ===========
These statements were prepared from the books and records of the Rental Pool
without audit and, in the opinion of management, include all adjustments which
are necessary for a fair presentation.
Page 15
TAMARRON RENTAL POOL LEASE OPERATION
BALANCE SHEETS
MARCH 31, 2000 AND 1999
DISTRIBUTION FUND
2000 1999
-------- ---------
ASSETS
CASH $ 1,000 $ 1,000
RECEIVABLE FROM GOLF HOST RESORTS, INC.
FOR DISTRIBUTION 183,456 251,795
INTEREST RECEIVABLE FROM MAINTENANCE
ESCROW FUND 143 --
-------- ---------
$184,599 $ 252,795
======== =========
LIABILITIES AND PARTICIPANTS' FUND BALANCES
DUE TO PARTICIPANTS FOR DISTRIBUTION $142,218 $ 170,962
DUE TO MAINTENANCE ESCROW FUND 42,381 81,833
-------- ---------
$184,599 $ 252,795
======== =========
MAINTENANCE ESCROW FUND
ASSETS
CASH AND CASH EQUIVALENTS $121,540 $ 60,224
DUE FROM DISTRIBUTION FUND 42,381 81,833
INVENTORY:
Linen 21,168 63,695
Materials and supplies 7,113 (9,039)
DEPOSITS 9,670 --
-------- ---------
$201,872 $ 196,713
======== =========
LIABILITIES AND PARTICIPANTS' FUND BALANCES
ACCOUNTS PAYABLE $ 12,247 $ 3,099
INTEREST PAYABLE TO DISTRIBUTION FUND 143 --
PARTICIPANTS' FUND BALANCES 189,482 193,614
-------- ---------
$201,872 $ 196,713
======== =========
These statements were prepared from the books and records of the Rental Pool
without audit and, in the opinion of management, include all adjustments which
are necessary for a fair presentation.
Page 16
TAMARRON RENTAL POOL LEASE OPERATION
STATEMENTS OF OPERATIONS
FOR THE QUARTERS ENDED MARCH 31, 2000 AND 1999
DISTRIBUTION FUND
YEAR-TO-DATE
-------------------------
2000 1999
--------- ---------
GROSS REVENUES $ 429,886 $ 592,897
--------- ---------
DEDUCTIONS:
Agents' commissions 28,219 36,325
Sales and marketing expenses 32,241 44,467
Audit fees 3,255 3,255
--------- ---------
63,715 84,047
--------- ---------
ADJUSTED GROSS REVENUES 366,171 508,850
MANAGEMENT FEE (183,085) (254,425)
--------- ---------
GROSS INCOME DISTRIBUTION 183,086 254,425
ADJUSTMENTS TO GROSS INCOME
DISTRIBUTION:
Corporate complimentary occupancy fees 533 653
Occupancy fees (62,157) (73,444)
Designated items (10,301) (44,109)
Advisory Committee expenses (163) (3,282)
--------- ---------
POOLED INCOME 110,998 134,243
ADJUSTMENTS TO POOLED INCOME:
Occupancy fees 62,157 73,444
--------- ---------
NET INCOME DISTRIBUTION $ 173,155 $ 207,687
========= =========
Average daily distribution $ 7.32 $ 8.43
Average room rate $ 67.66 $ 79.30
Room nights 6,354 7,477
Occupancy percentage 26.9% 30.3%
Average number of available units 260 274
These statements were prepared from the books and records of the Rental Pool
without audit and, in the opinion of management, include all adjustments which
are necessary for a fair presentation.
Page 17
TAMARRON RENTAL POOL LEASE OPERATION
STATEMENTS OF CHANGES IN PARTICIPANTS' FUND BALANCES
FOR THE QUARTERS ENDED MARCH 31, 2000 AND 1999
DISTRIBUTION FUND
YEAR-TO-DATE
2000 1999
--------- ---------
BALANCE, beginning of period $ -- $ --
ADDITIONS:
Amounts available for distribution 173,155 207,687
Interest received or receivable from
Maintenance Escrow Fund 143 --
REDUCTIONS:
Amounts withheld for Maintenance Escrow Fund (31,080) (36,725)
Amounts accrued or paid to participants (142,218) (170,962)
--------- ---------
BALANCE, end of period $ -- $ --
========= =========
MAINTENANCE ESCROW FUND
BALANCE, beginning of period $ 188,338 $ 174,111
ADDITIONS:
Amounts withheld from occupancy fees 31,080 36,725
Interest earned 143 --
Reimbursement of designated items 10,301 44,109
Charges to participants to establish
or restore escrow balances 7,479 12,828
REDUCTIONS:
Maintenance and inventory charges (29,182) (18,408)
Refurbishing charges -- (2,974)
Interest accrued or paid to
Distribution Fund (143) --
Designated items (10,301) (44,109)
Refunds to participants as prescribed
by Master Lease Agreement (8,233) (8,668)
--------- ---------
BALANCE, end of period $ 189,482 $ 193,614
========= =========
These statements were prepared from the books and records of the Rental Pool
without audit and, in the opinion of management, include all adjustments which
are necessary for a fair presentation.
Page 18