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Non-Tech : Cannondale Corp. (BIKE) -- Ignore unavailable to you. Want to Upgrade?

To: Bert Zed who wrote (85)	1/27/1999 12:11:00 AM
From: Daniel	Respond to of 103

biz.yahoo.com, part 1: Tuesday January 26, 6:22 pm Eastern Time Company Press Release SOURCE: Cannondale Corporation Cannondale Corporation Announces Earnings and Revenue for the Second Quarter of Fiscal 1999 BETHEL, Conn., Jan. 26 /PRNewswire/ -- Cannondale Corporation (Nasdaq: BIKE - news) today announced results for the second quarter and first six months of fiscal 1999, the period ended December 26, 1998. For the three months ended December 26, 1998, net sales were $47,901,000, compared to the $47,701,000 recorded for the same period in the prior year. Net income for the second quarter of fiscal 1999 was $1,775,000, a $2,068,000, or 54% decrease from the $3,843,000 recorded during the prior-year period. Diluted earnings per share were 23 cents for the second quarter, a decrease of 47% compared to 43 cents recorded for the same period in the prior year. These calculations reflect a 15% decrease in the weighted average common and common equivalent shares outstanding primarily as a result of the Company's repurchase of its common stock. Sales and earnings for the second quarter of fiscal 1999 were adversely affected by product mix, as Cannondale's ability to ship high-end, higher-margin bicycles was limited by its suppliers' ability to provide sufficient quantities of certain components which resulted in lower shipments and factory-production levels during the quarter. In addition, earnings for the second fiscal quarter of 1999 were lower compared to the prior-year period largely due to higher research and development expenses primarily attributable to the Company's investment in the development of its motocross motorcycle. For the six months ended December 26, 1998, net sales were $90,119,000, a 10% increase over the $82,010,000 recorded for the same period in the prior year. Net income for the first six months of fiscal 1999 was $2,487,000, a $2,026,000, or 45% decrease from the $4,513,000 recorded during the prior-year period. Diluted earnings per share were 32 cents for the first six months of fiscal 1999, a decrease of 37% compared to 51 cents recorded for the same period in the prior year. These calculations reflect a 14% decrease in the weighted average common and common equivalent shares outstanding primarily as a result of the Company's repurchase of its common stock. The increase in sales for the first six months of fiscal 1999 was primarily a result of strong worldwide demand for Cannondale products during the first quarter of fiscal 1999. The benefit of increased sales on earnings for the first six months of fiscal 1999 was offset by lower gross margins primarily attributable to the second quarter sales product mix and increased research and development expenses primarily relating to the Company's investment in the development of its motocross motorcycle. This press release contains forward-looking statements, as defined under the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those anticipated as a result of various risks and uncertainties, including risks described in this press release, as well as those detailed from time to time in the Company's periodic reports on Forms 10-K, 10-Q and 8-K filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements which speak only as of the date hereof. The Company undertakes no obligation to publish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Cannondale Corporation is the world's leading manufacturer of high-performance aluminum bicycles. The Company's bicycles and bicycle accessories, which include clothing, packs and bags, HeadShok suspension forks and CODA components, are marketed under the Cannondale brand name and ''Handmade in USA'' logo, and are sold in the U.S. and in more than 60 foreign countries.

To: Bert Zed who wrote (85)	1/27/1999 12:12:00 AM
From: Daniel	Read Replies (1) \| Respond to of 103

CANNONDALE CORPORATION AND SUBSIDIARIES Condensed Consolidated Balance Sheets (in thousands, except share data and days sales outstanding) December 26, December 27, 1998 1997 (Unaudited) (Unaudited) Assets Current assets: Cash $879 $1,469 Trade accoeivs receivable, less allowances of $10,238, and $8,227 70,465 67,436 Inventory 40,284 39,553 Deferred income taxes 3,310 2,639 Prepaid expenses and other current assets 5,277 3,373 Total current assets 120,215 114,470 Property, plant and equipment, net 38,273 3 28,873 Other assets 15,891 3,235 Total assets $174,379 $146,578 Liabilities and stockholders' equity Current liabilities: Accounts payable $13,296 $15,212 Revolving credit advances 4,997 1,129 Income taxes payable 1,476 2,660 Warranty and other accrued expenses 8,259 7,479 Current installments of long-term debt 478 477 Total current liabilities 28,506 26,957 Long-term debt, less current installments 69,288 37,803 Deferred income taxes 1,575 327 Other noncurrent liabilities 275 275 Total liabilities 99,644 65,362 Stockholders' equity: Common stock, $.01 par value Authorized shares - 40,000,000 Issued shares - 8,741,579 and 8,702,126 87 87 Additional paid-in capital 57,460 57,057 Retained earnings 37,892 30,566 Less 1,292,900 and 227,000 shares in treasury at cost (20,162) (4,774) Cumulative translation adjustment (542) (1,720) Total stockholders' equity 74,735 81,216 Total liabilities and stockholders' equity $174,379 $146,578 Days Sales Outstanding 121 119 CANNONDALE CORPORATION AND SUBSIDIARIES Condensed Consolidated Statements of Earnings (in thousands, except for per-share data) Second Second Six Months Six Months Quarter Quarter Ended Ended Fiscal 1999 Fiscal 1998 Fiscal 1999 Fiscal 1998 (Unaudited) (Unaudited) (Unaudited) (Unaudited) Net sales $47,901 $47,701 $90,119 $82,010 Cost of sales 31,719 30,137 59,333 53,089 Gross profit 16,182 17,564 30,786 28,921 Expenses: Selling, general and administrative 10,443 9,736 21,117 18,841 Research and development 2,820 1,598 4,973 2,717 13,263 11,334 26,090 21,558 Operating income 2,919 6,230 4,696 7,363 Other income(expense): Interest expense (1,106) (382) (1,945) (561) Other income 255 132 391 280 (851) (250) (1,554) (281) Pretax income 2,068 5,980 3,142 7,082 Income tax expense (293) (2,137) (655) (2,569) Net income $1,775 $3,843 $2,487 $4,513 Diluted income per share $.23 $.43 $.32 $ .51 Weighted average common and common equivalent shares outstanding 7,575 8,918 7,709 8,930 Basic income per share $.24 $.45 $.33 $ .52 Weighted average common shares outstanding 7,449 8,621 7,565 8,653 SOURCE: Cannondale Corporation