Exhibit 99.1
Pro Forma Consolidated Condensed Balance Sheet
As of December 1, 2002
(Dollars in thousands, except per share and footnote data)
Completion of
Recapitalization
+ Rights Offering Pro Forma
Unaudited Adjustment As Adjusted
--------- --------- ----------
ASSETS
Current assets:
Cash $ 1,333 $ - $ 1,333
Accounts Receivable 12,385 $ 12,385
Inventory 21,309 21,309
Prepaids and other current assets 559 559
-------- -------- --------
Total current assets 35,586 -- 35,586
Property, plant and equipment, net of accumulated depreciation 11,098 11,098
Goodwill, net of accumulated amortization 7,567 7,567
Other assets 2,463(1) 577 3,040
-------- -------- --------
Total assets $ 56,714 $ 577 $ 57,291
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LIABILITIES, REDEEMABLE COMMON STOCK AND STOCKHOLDERS' EQUITY
Current liabilities:
Revolving credit facility $ 10,698(2) $ 150 $ 10,848
Accounts payable 4,808 4,808
Accrued expenses 6,243(3) (960) 5,283
Other current liabilities 74 74
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Total current liabilities 21,823 (810) 21,013
Term loan facility 12,500 12,500
12% Convertible notes 10,600(4) (10,600) --
Other long term liabilities 1,143 1,143
-------- -------- --------
Total liabilities 46,066 (11,410) 34,656
Series A redeemable preferred stock 8,272(3) (8,272) --
Redeemable common stock 160(5) 1,000 1,160
Total stockholders' equity 2,216(6) 19,259 21,475
-------- -------- --------
Total liabilities, redeemable common stock and
stockholders' equity $ 56,714 $ 577 $ 57,291
======== ======== ========
Notes: (1) Additional redeemable common stock issued to affiliate of
lender, valued at $5.00 per share. 200,094 x $5.00 = $1,000,470.
$423,000 of expenses already incurred reclassed out of Other
Assets and applied against gross proceeds in stockholders'
equity.
(2) Additional costs to complete transaction, netted against equity
proceeds.
(3) $8,272,000 of redeemable preferred stock plus $420,000 of accrued
dividends converted to common stock at $5.00 per share; 1,738,400
shares.
Accrued interest of $554,000 converted to common stock at $5.00
per share; 110,800 shares.
Proceeds from Rights Offering of $1,000 provided partial pay down
of interest to financial advisor.
(4) $10,600,000 of 12% notes converted to common stock (2,120,000
shares).
(5) Additional redeemable common stock issued to affiliate of lender.
(6) Conversion of 12% notes plus unpaid interest ($11,139,000) and
redeemable preferred stock plus unpaid dividends ($8,692,000).
Rights offering contributes $1,000 subscribed. Net of $573,000 of
related expenses.