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EXHIBIT 4
WORLDCRISA CORPORATION AND
CRISA CORPORATION
(WHOLLY OWNED SUBSIDIARIES OF AMERICAN ASSETS HOLDING COMPANY)
Combined Financial Statements
Six Months Ended June 30, 1997,
Supplemental Schedule
Six Months Ended June 30, 1997
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WORLDCRISA CORPORATION AND CRISA CORPORATION
TABLE OF CONTENTS
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COMBINED FINANCIAL STATEMENTS AS OF JUNE 30, 1997,
AND FOR THE SIX MONTHS THEN ENDED:
Combined Balance Sheet
Combined Statement of Operations and Accumulated Deficit
Notes to Combined Financial Statements
SUPPLEMENTAL SCHEDULE FOR THE SIX MONTHS ENDED JUNE 30, 1997:
Combining Statement of Operations
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WORLDCRISA CORPORATION AND CRISA CORPORATION
UNAUDITED COMBINED BALANCE SHEET
JUNE 30, 1997
(IN THOUSANDS, EXCEPT SHARE AMOUNTS)
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ASSETS
CURRENT ASSETS
Accounts Receivable - net $ 11,496
Inventory 22,766
Prepaid Expenses and other assets 243
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Total current assets 34,505
PROPERTY AND EQUIPMENT - NET 378
EXCESS OF COST OVER NET ASSETS OF ACQUIRED BUSINESS 8,239
OTHER ASSETS 375
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TOTAL ASSETS $ 43,497
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LIABILITIES AND STOCKHOLDER'S EQUITY
CURRENT LIABILITIES
Notes payable to banks 16,958
Accounts payable 1,958
Bank overdrafts 437
Due to affiliated companies 4,104
Accrued liabilities 4,491
Current portion of capital lease obligations 62
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Total current liabilities 28,010
STOCKHOLDER'S EQUITY
Common stock (Class A), $.01 par value - 510 shares authorized,
issued and outstanding
Common stock (Class B), $.01 par value - 1,490 shares authorized,
490 shares issued and outstanding
Common stock, $1 par value - 3,000,000 shares authorized, 2,040,100 shares
issued and outstanding 2,040
Paid-in capital 26,142
Accumulated deficit (12,695)
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Total stockholder's equity 15,487
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TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY $ 43,497
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See notes to unaudited combined financial statements.
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WORLDCRISA CORPORATION AND CRISA CORPORATION
UNAUDITED COMBINED STATEMENT OF OPERATIONS AND ACCUMULATED DEFICIT
SIX MONTHS ENDED JUNE 30, 1997
(IN THOUSANDS)
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NET SALES $ 37,426
COST OF GOODS SOLD 26,510
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Gross profit 10,916
OPERATING EXPENSES:
Selling and marketing 5,666
General and administrative 2,248
Shipping and warehouse 1,361
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Total operating expenses 9,275
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OPERATING PROFIT 1,641
OTHER EXPENSE:
Interest expense, net (899)
Other, net (173)
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Total other expense (1,072)
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INCOME BEFORE INCOME TAXES 569
INCOME TAX EXPENSE (138)
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NET EARNINGS 431
ACCUMULATED DEFICIT, JANUARY 1, 1997 (13,126)
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ACCUMULATED DEFICIT, JUNE 30, 1997 $ (12,695)
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See notes to unaudited combined financial statements.
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NOTES TO UNAUDITED COMBINED FINANCIAL STATEMENTS
1. The Unaudited Combined Financial Statements presented herein are
unaudited but, in the opinion of management, reflect all adjustments
necessary to present fairly such information as of and for the six
months ended June 30, 1997. Since the following unaudited financial
statements have been prepared in accordance with Article 10 of
Regulation S-X, they do not contain all information and footnotes
normally contained in annual consolidated financial statements
including a cash flow; accordingly, they should be read in conjunction
with the Combined Financial Statements and notes thereto appearing as
Exhibit 2 in Amendment 1 of the Current Report on Form 8-K dated August
29, 1997. The interim results of operations are not necessarily
indicative of results for the entire year.
2. The supplemental unaudited Combining Statement of Operations is
presented for purposes of additional analysis and is not a required
part of the basic unaudited combined financial statements. This
supplemental schedule is the responsibility of management.
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WORLDCRISA CORPORATION AND CRISA CORPORATION
UNAUDITED COMBINING STATEMENT OF OPERATIONS
SIX MONTHS ENDED JUNE 30, 1997
(IN THOUSANDS)
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CRISA(1)
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WORLDCRISA RETAIL INDUSTRIAL COMBINED
NET SALES $ 19,195 $ 10,721 $ 7,510 $ 37,426
COST OF GOODS SOLD 12,660 7,668 6,182 26,510
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Gross profit 6,535 3,053 1,328 10,916
OPERATING EXPENSES:
Selling and marketing 2,932 1,512 1,222 5,666
General and administrative 1,684 333 231 2,248
Shipping and warehouse 602 448 311 1,361
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Total operating expenses 5,218 2,293 1,764 9,275
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OPERATING INCOME (LOSS) 1,317 760 (436) 1,641
OTHER EXPENSE:
Interest expense, net (537) (214) (148) (899)
Other, net (185) 7 5 (173)
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Total other expense (722) (207) (143) (1,072)
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INCOME (LOSS) BEFORE INCOME TAXES 595 553 (579) 569
INCOME TAX EXPENSE (95) (25) (18) (138)
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NET INCOME (LOSS) $ 500 $ 528 $ (597) $ 431
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<FN>
(1) Operating and other expenses related to Crisa Retail ("Retail") and Crisa
Industrial ("Industrial") were separately identified and included in the
respective operating and other expenses for both divisions. Any remaining
operating and other expenses were allocated based on net sales of the divisions.