Delaware
|
73-0750007
|
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer Identification No.)
|
10302 East 55th Place, Tulsa, Oklahoma
|
74146-6515
|
(Address of principal executive offices)
|
(Zip Code)
|
Page
|
||
PART I. FINANCIAL INFORMATION
|
||
Item 1.
|
3
|
|
Item 2.
|
10
|
|
Item 3.
|
14
|
|
Item 4.
|
14
|
|
PART II. OTHER INFORMATION
|
||
Item 1.
|
15
|
|
Item 1A
|
15
|
|
Item 2.
|
15
|
|
Item 3.
|
15
|
|
Item 4.
|
15
|
|
Item 5.
|
16
|
|
Item 6.
|
16
|
|
17
|
ASSETS
|
May 31, 2012
|
February 29, 2012
|
||||||
CURRENT ASSETS:
|
||||||||
Cash and cash equivalents
|
$ | 1,214,700 | $ | 760,100 | ||||
Accounts receivable, less allowance for doubtful accounts and
sales returns $529,300 (May 31) and $556,300 (February 29)
|
3,306,300 | 3,575,000 | ||||||
Inventories—Net
|
10,277,400 | 9,854,000 | ||||||
Prepaid expenses and other assets
|
190,700 | 277,100 | ||||||
Deferred income taxes
|
346,100 | 379,800 | ||||||
Total current assets
|
15,335,200 | 14,846,000 | ||||||
INVENTORIES—Net
|
503,000 | 548,000 | ||||||
PROPERTY, PLANT AND EQUIPMENT—Net
|
1,986,500 | 2,000,400 | ||||||
INVESTMENT IN NONMARKETABLE EQUITY SECURITIES
|
332,800 | 250,000 | ||||||
OTHER ASSETS
|
301,100 | 301,100 | ||||||
DEFERRED INCOME TAXES
|
61,700 | 65,900 | ||||||
TOTAL ASSETS
|
$ | 18,520,300 | $ | 18,011,400 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
||||||||
CURRENT LIABILITIES:
|
||||||||
Revolving credit agreement
|
$ | 250,000 | $ | 250,000 | ||||
Accounts payable
|
2,520,100 | 1,793,900 | ||||||
Accrued salaries and commissions
|
446,400 | 436,700 | ||||||
Income taxes payable
|
153,900 | 64,200 | ||||||
Dividends payable
|
470,000 | 469,600 | ||||||
Other current liabilities
|
576,100 | 779,400 | ||||||
Total current liabilities
|
4,416,500 | 3,793,800 | ||||||
COMMITMENTS
|
||||||||
SHAREHOLDERS’ EQUITY:
|
||||||||
Common stock, $0.20 par value; Authorized 8,000,000 shares;
Issued 6,041,040 (May 31 and February 29) shares;
Outstanding 3,916,766 (May 31) and 3,913,183 (February 29) shares
|
1,208,200 | 1,208,200 | ||||||
Capital in excess of par value
|
8,548,000 | 8,548,000 | ||||||
Retained earnings
|
16,005,100 | 16,124,900 | ||||||
|
25,761,300 | 25,881,100 | ||||||
Less treasury stock, at cost
|
(11,657,500 | ) | (11,663,500 | ) | ||||
|
14,103,800 | 14,217,600 | ||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY
|
$ | 18,520,300 | $ | 18,011,400 |
Three Months Ended May 31,
|
||||||||
2012
|
2011
|
|||||||
GROSS SALES
|
$ | 9,603,900 | $ | 9,303,900 | ||||
Less discounts and allowances
|
(3,228,500 | ) | (3,265,300 | ) | ||||
Transportation revenue
|
219,200 | 225,800 | ||||||
NET REVENUES
|
6,594,600 | 6,264,400 | ||||||
COST OF SALES
|
2,475,900 | 2,440,400 | ||||||
Gross margin
|
4,118,700 | 3,824,000 | ||||||
OPERATING EXPENSES:
|
||||||||
Operating and selling
|
1,601,200 | 1,645,800 | ||||||
Sales commissions
|
1,366,500 | 1,224,500 | ||||||
General and administrative
|
591,600 | 478,400 | ||||||
|
3,559,300 | 3,348,700 | ||||||
OTHER INCOME
|
2,500 | 5,400 | ||||||
EARNINGS BEFORE INCOME TAXES
|
561,900 | 480,700 | ||||||
INCOME TAXES
|
211,700 | 180,500 | ||||||
NET EARNINGS
|
$ | 350,200 | $ | 300,200 | ||||
BASIC AND DILUTED EARNINGS PER SHARE:
|
||||||||
Basic
|
$ | 0.09 | $ | 0.08 | ||||
Diluted
|
$ | 0.09 | $ | 0.08 | ||||
DIVIDENDS PER SHARE
|
$ | 0.12 | $ | 0.12 | ||||
WEIGHTED AVERAGE NUMBER OF
COMMON AND EQUIVALENT SHARES OUTSTANDING:
|
||||||||
Basic
|
3,918,280 | 3,897,129 | ||||||
Diluted
|
3,918,280 | 3,899,026 |
Common Stock
|
||||||||||||||||||||||||||||
(par value $0.20 per share)
|
||||||||||||||||||||||||||||
Number of
|
Capital in
|
Treasury Stock
|
||||||||||||||||||||||||||
Shares
|
Excess of
|
Retained
|
Number of
|
Shareholders’
|
||||||||||||||||||||||||
Issued
|
Amount
|
Par Value
|
Earnings
|
Shares
|
Amount
|
Equity
|
||||||||||||||||||||||
BALANCE—March 1, 2012
|
6,041,040 | $ | 1,208,200 | $ | 8,548,000 | $ | 16,124,900 | 2,127,857 | $ | (11,663,500 | ) | $ | 14,217,600 | |||||||||||||||
Purchases of treasury stock
|
- | - | - | - | 10,200 | (49,100 | ) | (49,100 | ) | |||||||||||||||||||
Sales of treasury stock
|
- | - | - | - | (13,783 | ) | 55,100 | 55,100 | ||||||||||||||||||||
Dividends declared ($.12/share)
|
- | - | - | (470,000 | ) | - | - | (470,000 | ) | |||||||||||||||||||
Net earnings
|
- | - | - | 350,200 | - | - | 350,200 | |||||||||||||||||||||
BALANCE—May 31, 2012
|
6,041,040 | $ | 1,208,200 | $ | 8,548,000 | $ | 16,005,100 | 2,124,274 | $ | (11,657,500 | ) | $ | 14,103,800 |
2012
|
2011
|
|||||||
CASH FLOWS FROM OPERATING ACTIVITIES:
|
$ | 1,017,500 | $ | 427,000 | ||||
CASH FLOWS FROM INVESTING ACTIVITIES:
|
||||||||
Investment in nonmarketable equity securites
|
(82,800 | ) | - | |||||
Purchases of property, plant and equipment
|
(16,500 | ) | - | |||||
Net cash used in investing activities
|
(99,300 | ) | - | |||||
CASH FLOWS FROM FINANCING ACTIVITIES:
|
||||||||
Cash paid to acquire treasury stock
|
(49,100 | ) | (154,200 | ) | ||||
Cash received from sales of treasury stock
|
55,100 | 51,600 | ||||||
Dividends paid
|
(469,600 | ) | (468,700 | ) | ||||
Net cash used in financing activities
|
(463,600 | ) | (571,300 | ) | ||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
|
454,600 | (144,300 | ) | |||||
CASH AND CASH EQUIVALENTS—BEGINNING OF PERIOD
|
760,100 | 1,988,200 | ||||||
CASH AND CASH EQUIVALENTS—END OF PERIOD
|
$ | 1,214,700 | $ | 1,843,900 | ||||
SUPPLEMENTAL DISCLOSURE OF CASH FLOW
INFORMATION:
|
||||||||
Cash paid for interest
|
$ | 2,600 | $ | - | ||||
Cash paid for income taxes
|
$ | 84,100 | $ | 81,000 |
2012
|
||||||||
May 31,
|
February 29,
|
|||||||
Current:
|
||||||||
Book inventory
|
$ | 10,302,400 | $ | 9,879,000 | ||||
Inventory valuation allowance
|
(25,000 | ) | (25,000 | ) | ||||
Inventories net–current
|
$ | 10,277,400 | $ | 9,854,000 | ||||
Noncurrent:
|
||||||||
Book inventory
|
$ | 853,000 | $ | 888,000 | ||||
Inventory valuation allowance
|
(350,000 | ) | (340,000 | ) | ||||
Inventories net–noncurrent
|
$ | 503,000 | $ | 548,000 |
Earnings Per Share:
|
||||||||
Three Months Ended May 31,
|
||||||||
2012
|
2011
|
|||||||
Net earnings applicable to common shareholders
|
$ | 350,200 | $ | 300,200 | ||||
Shares:
|
||||||||
Weighted average shares outstanding - basic
|
3,918,280 | 3,897,129 | ||||||
Assumed exercise of options
|
- | 1,897 | ||||||
Weighted average shares outstanding - diluted
|
3,918,280 | 3,899,026 | ||||||
Basic Earnings Per Share
|
$ | 0.09 | $ | 0.08 | ||||
Diluted Earnings Per Share
|
$ | 0.09 | $ | 0.08 |
NET REVENUES
|
||||||||
Three Months Ended May 31,
|
||||||||
2012
|
2011
|
|||||||
Publishing
|
$ | 2,306,800 | $ | 2,403,200 | ||||
UBAM
|
4,287,800 | 3,861,200 | ||||||
Other
|
- | - | ||||||
Total
|
$ | 6,594,600 | $ | 6,264,400 | ||||
EARNINGS BEFORE INCOME TAXES
|
||||||||
Three Months Ended May 31,
|
||||||||
2012 | 2011 | |||||||
Publishing
|
$ | 775,000 | $ | 759,900 | ||||
UBAM
|
905,400 | 700,000 | ||||||
Other
|
(1,118,500 | ) | (979,200 | ) | ||||
Total
|
$ | 561,900 | $ | 480,700 |
Earnings as a Percent of Net Revenues
|
||||||||
Three Months Ended May 31,
|
||||||||
2012
|
2011
|
|||||||
Net revenues
|
100.0 | % | 100.0 | % | ||||
Cost of sales
|
37.5 | % | 39.0 | % | ||||
Gross margin
|
62.5 | % | 61.0 | % | ||||
Operating expenses:
|
||||||||
Operating & selling
|
24.3 | % | 26.3 | % | ||||
Sales commissions
|
20.7 | % | 19.5 | % | ||||
General & administrative
|
9.0 | % | 7.6 | % | ||||
Total operating expenses
|
54.0 | % | 53.4 | % | ||||
Other income
|
0.0 | % | 0.1 | % | ||||
Earnings before income taxes
|
8.5 | % | 7.7 | % | ||||
Income taxes
|
3.2 | % | 2.9 | % | ||||
Net earnings
|
5.3 | % | 4.8 | % |
For the Three Months Ended May 31,
|
||||||||||||||||
2012
|
2011
|
$ Change
|
% Change
|
|||||||||||||
Gross sales
|
$ | 9,603,900 | $ | 9,303,900 | $ | 300,000 | 3.2 | |||||||||
Less discounts & allowances
|
(3,228,500 | ) | (3,265,300 | ) | 36,800 | (1.1 | ) | |||||||||
Transportation revenue
|
219,200 | 225,800 | (6,600 | ) | (2.9 | ) | ||||||||||
Net revenues
|
$ | 6,594,600 | $ | 6,264,400 | $ | 330,200 | 5.3 |
For Three Months Ended May 31,
|
||||||||||||||||
2012
|
2011
|
$ Change
|
% Change
|
|||||||||||||
Cost of sales
|
$ | 2,475,900 | $ | 2,440,400 | $ | 35,500 | 1.5 | |||||||||
Operating & selling
|
1,601,200 | 1,645,800 | (44,600 | ) | (2.7 | ) | ||||||||||
Sales commissions
|
1,366,500 | 1,224,500 | 142,000 | 11.6 | ||||||||||||
General & administrative
|
591,600 | 478,400 | 113,200 | 23.7 | ||||||||||||
Total
|
$ | 6,035,200 | $ | 5,789,100 | $ | 246,100 | 4.3 |
Period
|
Total # of Shares
Purchased
|
Average Price
Paid per Share
|
Total # of Shares
Purchased as
Part of Publicly Announced Plan (1)
|
Maximum # of Shares that May
be Repurchased under the Plan (2) (3)
|
||||||||||||
March 1 - 31, 2012
|
1,200 | $ | 4.95 | 1,200 | 358,909 | |||||||||||
April 1 - 30, 2012
|
0 | N/A | 0 | 358,909 | ||||||||||||
May 1 - 31, 2012
|
9,000 | $ | 4.80 | 9,000 | 349,909 | |||||||||||
Total
|
10,200 | $ | 4.82 | 10,200 |
(1)
|
All of the shares of common stock set forth in this column were purchased pursuant to a publicly announced plan as described in footnote 2 below.
|
(2)
|
In April 2008 the Board of Directors authorized us to purchase up to an additional 500,000 shares of our common stock under a repurchase plan. Pursuant to the plan, we may purchase a total of 349,909 additional shares of our common stock until 3,000,000 shares have been repurchased.
|
(3)
|
There is no expiration date for the repurchase plan.
|
31.1
|
|
31.2
|
|
32.1
|
|
101.INS
|
XBRL Instance Document
|
101.SCH
|
XBRL Taxonomy Extension Schema Document
|
101.CAL
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
101.DEF
|
XBRL Taxonomy Extension Definition Linkbase Document
|
101.LAB
|
XBRL Taxonomy Extension Label Linkbase Document
|
101.PRE
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
EDUCATIONAL DEVELOPMENT CORPORATION
(Registrant)
|
|||
Date: July 11, 2012
|
By:
|
/s/ Randall W. White | |
Randall W. White | |||
President | |||
Exhibit No. | Description |
31.1
|
|
31.2
|
|
32.1
|
|
101.INS
|
XBRL Instance Document
|
101.SCH
|
XBRL Taxonomy Extension Schema Document
|
101.CAL
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
101.DEF
|
XBRL Taxonomy Extension Definition Linkbase Document
|
101.LAB
|
XBRL Taxonomy Extension Label Linkbase Document
|
101.PRE
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
1.
|
I have reviewed this quarterly report on Form 10-Q of Educational Development Corporation;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a.
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b.
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c.
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d.
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b.
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a.
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b.
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c.
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d.
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b.
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
.@UVGMA6)0R$6OCB$-8QO.U.@'+$FOC,\Q7!#OU>?_.<:"5RR
M$L.U1 NBCT:#= 1V(X]([V/WV:X4:CQD&PE9=0+#NLP=<&(;`=%W_"6_"8.H'P/87=]$4^6KF
MJ@.&98@$B+M&B\`+P8]OCD[VCELM\/+27(+CPU>DS8]OWKR-?WH&[X*%&2S!
MT &J&CL5:_/]O[LJ:X[9A\%_!
M4\>>48_):Y^V=C>S.=H=UW6GTR?98AQ-9-*C(W'^?4F"E$2)I(Z5R7U+UN`G
M@N`!@""@04"A`,*(!S\(!#VD!"169+UT$=\VX:T8N+!6@U2G/[,B(V6%UOIO
MA!]I9%3XQIJ8N-?XA_295;^" .P[@I.^7Z[2]S-'M4YD4-ZF%R=<.5&4@[]_H7\Z'U=>`-V2DA:!?9RNT&L
M!AI1KQ*MT8<.YM)P=F%FP(9Z[S<*V8@;L6&1DCUF8\CP";E$VXQ_M\+WYYX<
M&Z1VQ"_$R>4HO^U*E:6)X#])=B:I90V!6),T=DQMDNOS0TZ)U-=>=19T7PEM
MXHR[,#TA!"DJL6>0,\TI*.OL,+ELE0S%!O_K%\T*_XG_3U2=EVOS?U!+`P04
M````"`#RA.M`-#BTM@H4``#T6@$`%0`<`&5D=6,M,C`Q,C`U,S%?<')E+GAM
M;%54"0`#A^3]3X?D_4]U>`L``00E#@``!#D!``#M7>]3V[C6_O[.O/]#EOOE
MO7,G38!M63KMSE`";2B_E@!E>^=.Q[&51%W'RDHV$/[Z5[(=L!/;D64ILKGJ
MET)P=(Z? =02E!3%=3DRV\'LEO3]#HP
M&'4C\"1`%%A3E#1`$Q>.F8AG6-DSOJ>::!D0$0W;\$IP](P$[X(T\DJ;3MWUR?"Z[R',$01-H?L+'8DG:0\`L#.:
MF/BA50T\`S`-R^D)^G+BZYST[MQYXM)5,8<%;9O_/00XAH#+$^3.DU=A16>#
M:T3&'Y=N<:<0:RJ7H2/#09XEU;@4`?G`Q`;8!.9<0C%?/*IF6N!XB!@!#"3,
MF-`Y!-)[`)UE')9]T77KKS)CP&85AU*/#;^B9F)X]MS76<\SZME].:'`'$`V
MFU_Q5)K-%V:V_6LX0&X>+6*(*G1;QIZ*K]X<.-(1GY&5[8I.J0OQRZ..'*#B
M$:(!+Q@/&?__GBJ/Q[\^4?7L)S)=WQ8,M^/
M1R_?7?QPZ8QOCFGI^+[X^M!Q&3H>&>]Y=&>7G%&+W76Z=5`'XYI[6[J]?SVJ
M'EF]D7$Y>:V5[Q#]3AHEU.XRLTV?2.[NIG;9*@_NGR?=T?!Y<%NJN,_M]_>#
MRXI>?*M0(]_I`?9^?6^_'WY]OWXZZ#S7CICK/+*Q/1J.GXY;C=*[TSUF;WUZ
MUQBWCKK4_=V\N"H\FK?UJ\?.0[7[>E\[>KRUR?W-@/YNW8Z10YZ_7KC,;3=K
MQ*+'I'N5/_YQ4ZVANV[UK?7;I%FLOY;P_][(Q7WA^K?'QK#^IU9IMV8G'/?<
M5L,,9S7>9[=9Y/65GF5L[B9Z;,3`XTX
M>"&ML?$!ERH(>'S'R5_F6D$AYT5`I`U6,2@E*VD>Q\1Q(VG'>+4.;*;!U,$-
M<=Q(VBI>V@K:B%,R,6LPH\GF+1A\,J.>/[6B)RE#AU,W<<1R.?F'.G&I3ERJ
M$Y?JQ*6/ITY<9M=,=>)2G;CD6)\Q3?3,AMU3A+O(&=HCQUP]-R5SUS*7`56.
M8BI(::9OUUW[I%+J%KNF&ZZXOP/872R4O!R:"%L''W+1)V:P!
MK?%&W!/&JZ>/(HSQA@Z4L%RPG(9UC>F$6B50JP1JE4"M$JA5`K5*H%8)XORD
MF8#.7>?`
Note 2
|
3 Months Ended |
---|---|
May 31, 2012
|
|
Debt Disclosure [Text Block] |
Note
2 – Effective June 30, 2012, we signed a
Fourteenth Amendment to the Credit and Security Agreement
with Arvest Bank (the Bank) which provided a $2,500,000 line
of credit through June 30, 2013. Interest is
payable monthly at the greater of (a) prime-floating rate
minus 0.75% or (b) 4.00%. At May 31, 2012, the
rate in effect was 4.00%. Borrowings are
collateralized by substantially all the assets of the
Company.
At
May 31, 2012, we had $250,000 debt outstanding under this
agreement. Available credit under the revolving credit
agreement was $2,250,000 at May 31,
2012. This agreement also contains a
provision for our use of the Bank’s letters of
credit. The Bank agrees to issue, or obtain
issuance of commercial or stand-by letters of credit provided
that no letters of credit will have an expiry date later than
June 30, 2013 and that the sum of the line of credit plus the
letters of credit would not exceed the borrowing base in
effect at the time. The agreement contains provisions that
require us to maintain specified financial ratios, restrict
transactions with related parties, prohibit mergers or
consolidation, disallow additional debt, and limit the amount
of compensation, salaries, investments, capital expenditures
and leasing transactions. We intend to renew the
bank agreement or obtain other financing upon
maturity. For the quarter ended May 31, 2012, we
had no letters of credit outstanding.
|