LADD FURNITURE, INC. AND SUBSIDIARIES--SUPPLEMENTAL FINANCIAL DATA
February 10, 1998 CONTACT: John J. Ong, CFA (336) 315-4049
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Quarters Years
Ended Ended
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IN THOUSANDS, EXCEPT PER SHARE DATA 12/28/96 1/3/98 12/28/96 1/3/98
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Net sales $118,267 146,625 $497,457 525,500
Cost of sales 95,955 119,429 411,582 429,050
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Gross profit 22,312 27,196 85,875 96,450
Selling, general and administrative expenses 16,613 20,328 74,363 74,235
Restructuring expense (547) -- 3,431 --
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Operating income 6,246 6,868 8,081 22,215
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Other deductions:
Interest expense 3,169 2,817 12,069 11,242
Other, net 141 276 399 792
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3,310 3,093 12,468 12,034
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Earnings (loss) before income taxes 2,936 3,775 (4,387) 10,181
Income tax expense (benefit) 1,343 1,371 (1,952) 3,869
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Net earnings (loss) $ 1,593 2,404 $ (2,435) 6,312
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Net earnings (loss) per common share $ 0.21 0.31 $ (0.32) 0.81
Net earnings (loss) per common share - diluted $ 0.20 0.31 $ (0.32) 0.81
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Weighted average number of common
shares outstanding 7,720 7,760 7,722 7,744
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CONDENSED CONSOLIDATED BALANCE SHEETS
DOLLAR AMOUNTS IN THOUSANDS 12/28/96 9/27/97 1/3/98
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ASSETS
Current assets:
Cash $ 469 659 75
Trade accounts receivable, net 66,730 83,865 83,297
Inventories, net 85,920 94,819 93,189
Prepaid expenses and other current assets 5,768 6,923 8,016
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Total current assets 158,887 186,266 184,577
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Property, plant and equipment, net 74,729 66,708 67,530
Intangible and other assets, net 81,415 77,796 77,083
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$ 315,031 330,770 329,190
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LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Current installments of long-term debt $ 5,093 4,965 6,807
Trade accounts payable 24,358 27,080 29,488
Accrued expenses and other current liabilities 30,696 36,203 31,952
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Total current liabilities 60,147 68,248 68,247
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Long-term debt, excluding current installments 125,859 123,565 118,586
Deferred and other liabilities 5,125 10,481 11,432
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Total liabilities 191,131 202,294 198,265
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Total shareholders' equity 123,900 128,476 130,925
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$ 315,031 330,770 329,190
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NOTES: Results for the quarter ended December 28, 1996 included a $547 thousand
pretax restructuring credit and a $738 thousand pretax benefit resulting from
the termination of the company's defined employee benefit plans. In addition,
the 1996 fourth quarter and year-to-date results have been restated to reflect
the change in inventory accounting from the LIFO method to the FIFO method of
one of the company's business units.
Results for the year ended December 28, 1996 included the following pretax
items: a $3.4 million restructuring charge; a $738 thousand benefit resulting
from the termination of the company's defined employee benefit plans; a $4.2
million credit resulting from the termination of the company's retiree health
care plan; a $1.7 million credit resulting from the settlement of an outstanding
insurance claim; and $3.4 million in losses from operations of the company's
divested businesses.