Exhibit 10.2
LADD FURNITURE, INC. AND SUBSIDIARIES - SUPPLEMENTAL FINANCIAL
DATA
October 17, 1996 CONTACT: John J. Ong, CFA (910) 888-6353
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
QUARTERS ENDED
IN THOUSANDS, EXCEPT PER SHARE DATA 9/28/96* 6/29/96* 3/30/96* 12/30/95 9/30/95 7/1/95** 4/1/95
Net sales $124,094 127,096 138,844 152,981 159,144 148,989 153,388
Cost of sales 102,585 103,553 119,264 125,379 130,549 133,492 126,560
Gross profit 21,509 23,543 19,580 27,602 28,595 15,497 26,828
Selling, gen. and admin. expenses 16,852 19,110 21,788 25,792 23,402 28,335 23,816
Restructuring expense (892) (279) 5,149 (576) - 25,696 --
Operating income (loss) 5,549 4,712 (7,357) 2,386 5,193 (38,534) 3,012
Other deductions:
Interest expense 3,182 3,058 2,660 3,152 2,997 2,846 2,803
Other expense (income), net (912) 597 1,642 661 163 2,687 174
2,270 3,655 4,302 3,813 3,160 5,533 2,977
Earnings (loss) before income taxes 3,279 1,057 (11,659) (1,427) 2,033 (44,067) 35
Income tax expense (benefit) 1,477 (108) (4,664) (1,645) 142 (16,744) 11
Net earnings (loss) $ 1,802 1,165 (6,995) 218 1,891 (27,323) 24
Net earnings (loss) per common share $ 0.23 0.15 (0.91) 0.03 0.24 (3.54) 0.00
Weighted average number of common
shares outstanding 7,721 7,723 7,725 7,729 7,726 7,725 7,705
* THE 1996 QUARTERLY RESULTS REFLECT THE COMPANY'S SALE OF ITS BROWN JORDAN AND
LEA LUMBER & PLYWOOD BUSINESSES EFFECTIVE DECEMBER 29, 1995, AND ITS FOURNIER
FURNITURE BUSINESS EFFECTIVE FEBRUARY 26, 1996.
** THE 1995 SECOND QUARTER RESULTS INCLUDE A PRETAX NON-CASH CHARGE OF $10.2
MILLION, IN ADDITION TO THE $25.7 MILLION PRETAX RESTRUCTURING CHARGE SHOWN.
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
DOLLAR AMOUNTS IN THOUSANDS 9/28/96 6/29/96 3/30/96 12/30/95 9/30/95 7/1/95 4/1/95
ASSETS
Current assets:
Cash $ 1,713 430 1,049 1,272 2,913 1,406 1,787
Trade accounts receivable, net 75,736 72,429 77,579 38,288 45,337 41,347 59,767
Inventories 86,428 94,394 91,386 89,466 86,313 91,127 124,181
Prepaid expenses and other current assets 8,337 17,179 20,263 13,663 10,520 11,670 10,515
Total current assets 172,214 184,432 190,277 142,689 145,083 145,550 196,250
Property, plant and equipment, net 78,543 82,633 82,652 82,586 82,567 83,826 109,014
Businesses held for sale, net -- -- -- 8,052 32,587 31,184 --
Intangible and other assets, net 81,088 79,996 78,900 79,659 76,631 76,515 83,792
$331,845 347,061 351,829 312,986 336,868 337,075 389,056
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Current installments of long-term debt $ 5,136 3,511 3,563 309 558 618 657
Short-term bank borrowings -- -- 5,000 3,037 2,450 1,950 5,025
Trade accounts payable 27,766 31,373 25,984 28,419 26,517 24,059 25,041
Accrued expenses and other current liabilities 28,965 32,858 32,620 31,396 30,629 29,814 32,267
Total current liabilities 61,867 67,742 67,167 63,161 60,154 56,441 62,990
Long-term debt, excluding current installments 138,234 149,637 148,687 112,598 140,182 145,287 153,102
Deferred compensation and other liabilities 2,653 2,515 8,211 6,593 7,053 7,000 6,402
Deferred income taxes 7,605 7,530 9,338 5,437 4,255 4,769 15,386
Total liabilities 210,359 227,424 233,403 187,789 211,644 213,497 237,880
Total shareholders' equity 121,486 119,637 118,426 125,197 125,224 123,578 151,176
$331,845 347,061 351,829 312,986 336,868 337,075 389,056
ALL SHARE AND PER SHARE DATA HAVE BEEN RESTATED TO REFLECT A 1-FOR-3 REVERSE
SPLIT OF LADD'S COMMON STOCK, WHICH BECAME EFFECTIVE ON MAY 16, 1995. THE
PERIOD ENDED MARCH 30, 1996 REFLECTS THE TERMINATION OF THE COMPANY'S ACCOUNTS
RECEIVABLE SECURITIZATION PROGRAM EFFECTIVE MARCH 28, 1996.