-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Uo8+AB2DrCU+90/NyzCOOgKkiGO45BYNWM6zpK0JzWmmrWmS+clszuZSJNudlgXh IaLvXo7oAqynCOoQ9bBmvw== 0001047469-98-028447.txt : 19980729 0001047469-98-028447.hdr.sgml : 19980729 ACCESSION NUMBER: 0001047469-98-028447 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19980716 ITEM INFORMATION: ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 19980728 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: OMEGA ENVIRONMENTAL INC CENTRAL INDEX KEY: 0000871826 STANDARD INDUSTRIAL CLASSIFICATION: CONSTRUCTION SPECIAL TRADE CONTRACTORS [1700] IRS NUMBER: 911499751 STATE OF INCORPORATION: DE FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 000-20267 FILM NUMBER: 98672065 BUSINESS ADDRESS: STREET 1: 19805 N CREEK PKWY STREET 2: P O BOX 3005 CITY: BOTHELL STATE: WA ZIP: 98041-3065 BUSINESS PHONE: 2064864800 MAIL ADDRESS: STREET 1: 19805 NORTH CREEK PARKWAY STREET 2: P O BOX 3005 CITY: BOTHELL STATE: WA ZIP: 98041-3005 8-K 1 8-K UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934 Date of Report (Date of earliest event reported) July 16, 1998 OMEGA ENVIRONMENTAL, INC. (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER) Commission File Number 0-20267 DELAWARE 91-1499751 (STATE OR OTHER JURISDICTION OF (I.R.S. INCORPORATION OR ORGANIZATION) EMPLOYER IDENTIFICATION NO.) 19805 NORTH CREEK PARKWAY, PO BOX 3005 BOTHELL, WASHINGTON 98041-3005 (ADDRESS OF PRINCIPAL EXECUTIVE OFFICES) (ZIP CODE) 425-486-4800 (REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE) ---------------------------------------------------------------------------- (FORMER NAME, FORMER ADDRESS AND FORMER FISCAL YEAR, IF CHANGED SINCE LAST REPORT) ITEM 3. BANKRUPTCY OR RECEIVERSHIP Since May 2, 1997, Registrant is operating under the protection of the United States Bankruptcy Code as a debtor-in-possession. ITEM 5. OTHER EVENTS UNAUDITED FINANCIAL STATEMENT INFORMATION On July 16, 1998, the Registrant filed unaudited financial statement information as of and for each of the months ended May 31, 1998 and April 30, 1998 with related notes with the United States Bankruptcy Court. Attached as an exhibit is the balance sheet information, statement of operations information, statement of cash flows information and related notes to financial statement information which was included in the bankruptcy filing referred to above. Item 7. Financial Statements and Exhibits c) EXHIBITS 99.1 Unaudited Comparative Balance Sheet Information, Comparative Statement of Operations Information and Comparative Statement of Cash Flow Information as of and for each of the months ended May 31, 1998 and April 30, 1998 with related Notes to Financial Statement Information. SIGNATURES Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. OMEGA ENVIRONMENTAL, INC. (Registrant) Date: July 16, 1998 /s/ Bradley S. Powell ---------------------------------- Bradley S. Powell Controller EX-99.1 2 EX-99.1 OMEGA ENVIRONMENTAL, INC. EXHIBIT 99.1 DEBTOR IN POSESSION CASE #97-06084 COMPARATIVE BALANCE SHEET INFORMATION
(unaudited) (unaudited) May 31, 1998 Apr 30, 1998 ESD ESD Change --------------------------------------------------------- CURRENT ASSETS Cash 25,102 45,689 (20,587) Restricted cash held in escrow 2,615,491 2,615,381 110 Accounts receivable A/R--trade 11,618,772 11,724,953 (106,181) A/R--interco 4,719 1,086 3,633 A/R--employees 8,517 8,682 (165) A/R--supplemental 1,881,922 1,883,112 (1,190) A/R--misc. 10,078 191,587 (181,509) Allowance for doubtful accounts (3,059,815) (3,056,888) (2,927) --------------------------------------------------------- Accounts receivable, net 10,464,193 10,752,532 (288,339) --------------------------------------------------------- Costs and earnings in excess of billings 5,254,860 5,696,773 (441,913) Prepaid expenses 1,757 - 1,757 Inventory - Inventory reserve - --------------------------------------------------------- Inventory, net - - - --------------------------------------------------------- Other current assets - --------------------------------------------------------- TOTAL CURRENT ASSETS 18,361,403 19,110,375 (748,972) --------------------------------------------------------- PROPERTY AND EQUIPMENT Field equipment 2,230,731 2,232,329 (1,598) Automotive equipment 1,031,192 1,031,192 - Office furniture and equipment 831,634 833,149 (1,515) Leasehold improvements 93,223 93,223 - --------------------------------------------------------- TOTAL PROPERTY & EQUIP., AT COST 4,186,780 4,189,893 (3,113) Accum. Depreciation (2,780,813) (2,726,791) (54,022) --------------------------------------------------------- TOTAL PROPERTY & EQUIP., NET 1,405,967 1,463,102 (57,135) --------------------------------------------------------- Long-term accounts receivable - Other (Texas) 1,053,883 1,053,883 - Reserve for Long-term accounts receivable (350,000) (350,000) - --------------------------------------------------------- Long-term accounts receviable - Other (Texas), net 703,883 703,883 - Other Assets 177,975 177,975 - Investment & Intercompany in Subsidiaires - --------------------------------------------------------- TOTAL ASSETS 20,649,228 21,455,335 (806,107) --------------------------------------------------------- --------------------------------------------------------- POST PETITION CURRENT LIABILITIES Accounts payable 202,999 316,208 (113,209) Line of Credit Accrued expenses, excluding bankruptcy costs 400,066 368,747 31,319 Accrued bankruptcy costs Estimated claims against cash held in escrow 2,560,602 2,560,602 - Intercompany - BNYFC 7,983,004 8,219,509 (236,505) Intercompany payables 433 1,590 (1,157) --------------------------------------------------------- TOTAL POST PETITION CURRENT LIABILITIES 11,147,104 11,466,656 (319,552) Intercompany Notes Payable 8,741,768 8,741,768 - Pre Petition Liabilities 2,192,548 2,226,778 (34,230) Pre Petition Estimated Construction Claims --------------------------------------------------------- TOTAL LIABILITIES 22,081,420 22,435,202 (353,782) --------------------------------------------------------- SHAREHOLDERS' EQUITY Common stock at par Additional paid in capital 17,791,864 17,791,864 Treasury Stock A-P-I-C Retained earnings - prior (15,563,780) (15,563,780) Y-T-D net income pre petition (26,496) (26,496) Y-T-D net income post petition (3,633,780) (3,181,455) (452,325) --------------------------------------------------------- TOTAL SHAREHOLDERS' EQUITY (1,432,192) (979,867) (452,325) --------------------------------------------------------- TOTAL LIABILITIES & SHAREHOLDERS' EQUITY 20,649,228 21,455,335 (806,107) --------------------------------------------------------- --------------------------------------------------------- (unaudited) (unaudited) May 31, 1998 Apr 30, 1998 PSD PSD Change ----------------------------------------------------- CURRENT ASSETS Cash 70,858 51,288 19,570 Restricted cash held in escrow - Accounts receivable A/R--trade 1,634,696 1,712,612 (77,916) A/R--interco 433 1,590 (1,157) A/R--employees 13,183 17,085 (3,902) A/R--supplemental - A/R--misc. - - - Allowance for doubtful accounts (71,974) (67,475) (4,499) --------------------------------------------------------- Accounts receivable, net 1,576,338 1,663,812 (87,474) --------------------------------------------------------- Costs and earnings in excess of billings - Prepaid expenses 69,262 71,049 (1,787) Inventory 3,807,915 3,884,440 (76,525) Inventory reserve (1,573,649) (1,569,720) (3,929) --------------------------------------------------------- Inventory, net 2,234,266 2,314,720 (80,454) --------------------------------------------------------- Other current assets - --------------------------------------------------------- TOTAL CURRENT ASSETS 3,950,724 4,100,869 (150,145) --------------------------------------------------------- PROPERTY AND EQUIPMENT Field equipment 458,990 323,298 135,692 Automotive equipment 755,795 619,625 136,170 Office furniture and equipment 759,734 1,111,020 (351,286) Leasehold improvements 94,106 89,040 5,066 --------------------------------------------------------- TOTAL PROPERTY & EQUIP., AT COST 2,068,625 2,142,983 (74,358) Accum. Depreciation (1,290,130) (1,195,831) (94,299) --------------------------------------------------------- TOTAL PROPERTY & EQUIP., NET 778,495 947,152 (168,657) --------------------------------------------------------- Long-term accounts receivable - Other (Texas) - - - Reserve for Long-term accounts receivable - --------------------------------------------------------- Long-term accounts receviable - Other (Texas), net - - - Other Assets - - - Investment & Intercompany in Subsidiaires - - - --------------------------------------------------------- TOTAL ASSETS 4,729,219 5,048,021 (318,802) --------------------------------------------------------- --------------------------------------------------------- POST PETITION CURRENT LIABILITIES Accounts payable 59,429 100,018 (40,589) Line of Credit - Accrued expenses, excluding bankruptcy costs 428,443 505,614 (77,171) Accrued bankruptcy costs - Estimated claims against cash held in escrow - Intercompany - BNYFC 8,386,196 8,317,154 69,042 Intercompany payables 4,719 1,086 3,633 --------------------------------------------------------- TOTAL POST PETITION CURRENT LIABILITIES 8,878,787 8,923,872 (45,085) Intercompany Notes Payable - Pre Petition Liabilities 1,041,017 1,046,103 (5,086) Pre Petition Estimated Construction Claims - --------------------------------------------------------- TOTAL LIABILITIES 9,919,804 9,969,975 (50,171) --------------------------------------------------------- SHAREHOLDERS' EQUITY Common stock at par 3,371,172 3,371,172 Additional paid in capital 10,742,189 10,742,189 Treasury Stock A-P-I-C Retained earnings - prior (14,767,222) (14,767,222) Y-T-D net income pre petition (247,894) (247,894) Y-T-D net income post petition (4,288,830) (4,020,199) (268,631) --------------------------------------------------------- TOTAL SHAREHOLDERS' EQUITY (5,190,585) (4,921,954) (268,631) --------------------------------------------------------- TOTAL LIABILITIES & SHAREHOLDERS' EQUITY 4,729,219 5,048,021 (318,802) --------------------------------------------------------- ---------------------------------------------------------
See accompanying notes to financial statement information. OMEGA ENVIRONMENTAL, INC. DEBTOR IN POSESSION CASE #97-06084 COMPARATIVE BALANCE SHEET INFORMATION
(unaudited) (unaudited) May 31, 1998 Apr 30, 1998 Corporate Corporate Change ---------------------------------------------------------- CURRENT ASSETS Cash 566,783 687,161 (120,378) Restricted cash held in escrow - Accounts receivable A/R--trade 144,431 144,431 - A/R--interco - A/R--employees - A/R--supplemental - A/R--misc. 1,076,094 1,076,094 - Allowance for doubtful accounts (1,138,467) (1,138,467) - ---------------------------------------------------------- Accounts receivable, net 82,058 82,058 - ---------------------------------------------------------- Costs and earnings in excess of billings - Prepaid expenses 479,480 449,540 29,940 Inventory - Inventory reserve - ---------------------------------------------------------- Inventory, net - - - ---------------------------------------------------------- Other current assets - ---------------------------------------------------------- TOTAL CURRENT ASSETS 1,128,321 1,218,759 (90,438) ---------------------------------------------------------- PROPERTY AND EQUIPMENT Field equipment - Automotive equipment - Office furniture and equipment 310,472 310,472 - Leasehold improvements 21,780 21,780 - ---------------------------------------------------------- TOTAL PROPERTY & EQUIP., AT COST 332,252 332,252 - Accum. Depreciation (282,439) (280,208) (2,231) ---------------------------------------------------------- TOTAL PROPERTY & EQUIP., NET 49,813 52,044 (2,231) ---------------------------------------------------------- Long-term accounts receivable - Other (Texas) - - - Reserve for Long-term accounts receivable - ---------------------------------------------------------- Long-term accounts receviable - Other (Texas), net - - - Other Assets 129,907 129,907 - Investment & Intercompany in Subsidiaires 74,785,282 74,785,282 - ---------------------------------------------------------- TOTAL ASSETS 76,093,323 76,185,992 (92,669) ---------------------------------------------------------- ---------------------------------------------------------- POST PETITION CURRENT LIABILITIES Accounts payable 8,544 26,516 (17,972) Line of Credit 20,521,323 20,799,697 (278,374) Accrued expenses, excluding bankruptcy costs 465,177 454,202 10,975 Accrued bankruptcy costs 2,968,800 2,813,589 155,211 Estimated claims against cash held in escrow - Intercompany - BNYFC (18,969,927) (19,353,124) 383,197 Intercompany payables - ---------------------------------------------------------- TOTAL POST PETITION CURRENT LIABILITIES 4,993,917 4,740,880 253,037 Intercompany Notes Payable - Pre Petition Liabilities 2,533,443 2,534,195 (752) Pre Petition Estimated Construction Claims - ---------------------------------------------------------- TOTAL LIABILITIES 7,527,360 7,275,075 252,285 ---------------------------------------------------------- SHAREHOLDERS' EQUITY Common stock at par 121,289 121,289 Additional paid in capital 128,204,630 128,204,630 Treasury Stock A-P-I-C (562,506) (562,506) Retained earnings - prior (49,321,103) (49,321,103) Y-T-D net income pre petition (895,498) (895,498) Y-T-D net income post petition (8,980,849) (8,635,895) (344,954) ---------------------------------------------------------- TOTAL SHAREHOLDERS' EQUITY 68,565,963 68,910,917 (344,954) ---------------------------------------------------------- TOTAL LIABILITIES & SHAREHOLDERS' EQUITY 76,093,323 76,185,992 (92,669) ---------------------------------------------------------- ---------------------------------------------------------- (unaudited) (unaudited) May 31, 1998 Apr 30, 1998 Continuing Continuing Operations Operations Change ----------------------------------------------------- CURRENT ASSETS Cash 662,743 784,138 (121,395) Restricted cash held in escrow 2,615,491 2,615,381 110 Accounts receivable A/R--trade 13,397,899 13,581,996 (184,097) A/R--interco 5,152 2,676 2,476 A/R--employees 21,700 25,767 (4,067) A/R--supplemental 1,881,922 1,883,112 (1,190) A/R--misc. 1,086,172 1,267,681 (181,509) Allowance for doubtful accounts (4,270,256) (4,262,830) (7,426) ----------------------------------------------------- Accounts receivable, net 12,122,589 12,498,402 (375,813) ----------------------------------------------------- Costs and earnings in excess of billings 5,254,860 5,696,773 (441,913) Prepaid expenses 550,499 520,589 29,910 Inventory 3,807,915 3,884,440 (76,525) Inventory reserve (1,573,649) (1,569,720) (3,929) ----------------------------------------------------- Inventory, net 2,234,266 2,314,720 (80,454) ----------------------------------------------------- Other current assets - - - ----------------------------------------------------- TOTAL CURRENT ASSETS 23,440,448 24,430,003 (989,555) ----------------------------------------------------- PROPERTY AND EQUIPMENT Field equipment 2,689,721 2,555,627 134,094 Automotive equipment 1,786,987 1,650,817 136,170 Office furniture and equipment 1,901,840 2,254,641 (352,801) Leasehold improvements 209,109 204,043 5,066 ----------------------------------------------------- TOTAL PROPERTY & EQUIP., AT COST 6,587,657 6,665,128 (77,471) Accum. Depreciation (4,353,382) (4,202,830) (150,552) ----------------------------------------------------- TOTAL PROPERTY & EQUIP., NET 2,234,275 2,462,298 (228,023) ----------------------------------------------------- Long-term accounts receivable - Other (Texas) 1,053,883 1,053,883 - Reserve for Long-term accounts receivable (350,000) (350,000) - ----------------------------------------------------- Long-term accounts receviable - Other (Texas), net 703,883 703,883 - Other Assets 307,882 307,882 - Investment & Intercompany in Subsidiaires 74,785,282 74,785,282 - ----------------------------------------------------- TOTAL ASSETS 101,471,770 102,689,348 (1,217,578) ----------------------------------------------------- ----------------------------------------------------- POST PETITION CURRENT LIABILITIES Accounts payable 270,972 442,742 (171,770) Line of Credit 20,521,323 20,799,697 (278,374) Accrued expenses, excluding bankruptcy costs 1,293,686 1,328,563 (34,877) Accrued bankruptcy costs 2,968,800 2,813,589 155,211 Estimated claims against cash held in escrow 2,560,602 2,560,602 - Intercompany - BNYFC (2,600,727) (2,816,461) 215,734 Intercompany payables 5,152 2,676 2,476 ----------------------------------------------------- TOTAL POST PETITION CURRENT LIABILITIES 25,019,808 25,131,408 (111,600) Intercompany Notes Payable 8,741,768 8,741,768 Pre Petition Liabilities 5,767,008 5,807,076 (40,068) Pre Petition Estimated Construction Claims - - - ----------------------------------------------------- TOTAL LIABILITIES 39,528,584 39,680,252 (151,668) ----------------------------------------------------- SHAREHOLDERS' EQUITY Common stock at par 3,492,461 3,492,461 Additional paid in capital 156,738,683 156,738,683 Treasury Stock A-P-I-C (562,506) (562,506) Retained earnings - prior (79,652,105) (79,652,105) Y-T-D net income pre petition (1,169,888) (1,169,888) Y-T-D net income post petition (16,903,459) (15,837,549) (1,065,910) ----------------------------------------------------- TOTAL SHAREHOLDERS' EQUITY 61,943,186 63,009,096 (1,065,910) ----------------------------------------------------- TOTAL LIABILITIES & SHAREHOLDERS' EQUITY 101,471,770 102,689,348 (1,217,578) ----------------------------------------------------- -----------------------------------------------------
See accompanying notes to financial statement information. OMEGA ENVIRONMENTAL, INC. DEBTOR IN POSESSION CASE #97-06084 COMPARATIVE BALANCE SHEET INFORMATION
(unaudited) (unaudited) May 31, 1998 Apr 30, 1998 Discontinued Discontinued Operations Operations Change ---------------------------------------------------------- CURRENT ASSETS Cash - - - Restricted cash held in escrow - Accounts receivable A/R--trade 5,189,987 5,388,686 (198,699) A/R--interco - - - A/R--employees - A/R--supplemental - A/R--misc. 40,640 40,640 - Allowance for doubtful accounts (2,807,722) (2,788,545) (19,177) ---------------------------------------------------------- Accounts receivable, net 2,422,905 2,640,781 (217,876) ---------------------------------------------------------- Costs and earnings in excess of billings - Prepaid expenses - Inventory - Inventory reserve - ---------------------------------------------------------- Inventory, net - - - ---------------------------------------------------------- Other current assets 94,078 83,773 10,305 ---------------------------------------------------------- TOTAL CURRENT ASSETS 2,516,983 2,724,554 (207,571) ---------------------------------------------------------- PROPERTY AND EQUIPMENT Field equipment 1,000 4,831 (3,831) Automotive equipment - 16,657 (16,657) Office furniture and equipment - 3,518 (3,518) Leasehold improvements 154,773 130,767 24,006 ---------------------------------------------------------- TOTAL PROPERTY & EQUIP., AT COST 155,773 155,773 - Accum. Depreciation (89,929) (78,397) (11,532) ---------------------------------------------------------- TOTAL PROPERTY & EQUIP., NET 65,844 77,376 (11,532) ---------------------------------------------------------- Long-term accounts receivable - Other (Texas) - - - Reserve for Long-term accounts receivable - ---------------------------------------------------------- Long-term accounts receviable - Other (Texas), net - - - Other Assets 100 20,815 (20,715) Investment & Intercompany in Subsidiaires - ---------------------------------------------------------- TOTAL ASSETS 2,582,927 2,822,745 (239,818) ---------------------------------------------------------- ---------------------------------------------------------- POST PETITION CURRENT LIABILITIES Accounts payable - 41 (41) Line of Credit Accrued expenses, excluding bankruptcy costs - 20,403 (20,403) Accrued bankruptcy costs Estimated claims against cash held in escrow Intercompany - BNYFC 2,600,727 2,816,461 (215,734) Intercompany payables - - - ---------------------------------------------------------- TOTAL POST PETITION CURRENT LIABILITIES 2,600,727 2,836,905 (236,178) Intercompany Notes Payable 2,535,455 2,535,455 - Pre Petition Liabilities 10,276,211 10,276,211 - Pre Petition Estimated Construction Claims 2,404,000 2,904,000 (500,000) ---------------------------------------------------------- TOTAL LIABILITIES 17,816,393 18,552,571 (736,178) ---------------------------------------------------------- SHAREHOLDERS' EQUITY Common stock at par 2,082,948 2,082,948 Additional paid in capital 25,370,631 25,370,631 Treasury Stock A-P-I-C Retained earnings - prior (32,353,340) (32,353,340) Y-T-D net income pre petition (676,048) (676,048) Y-T-D net income post petition (9,657,657) (10,154,017) 496,360 ---------------------------------------------------------- TOTAL SHAREHOLDERS' EQUITY (15,233,466) (15,729,826) 496,360 ---------------------------------------------------------- TOTAL LIABILITIES & SHAREHOLDERS' EQUITY 2,582,927 2,822,745 (239,818) ---------------------------------------------------------- ---------------------------------------------------------- (unaudited) (unaudited) May 31, 1998 Apr 30, 1998 Combined Combined Final Final Change --------------------------------------------------------- CURRENT ASSETS Cash 662,743 784,138 (121,395) Restricted cash held in escrow 2,615,491 2,615,381 110 Accounts receivable A/R--trade 18,587,886 18,970,682 (382,796) A/R--interco - - - A/R--employees 21,700 25,767 (4,067) A/R--supplemental 1,881,922 1,883,112 (1,190) A/R--misc. 1,126,812 1,308,321 (181,509) Allowance for doubtful accounts (7,077,978) (7,051,375) (26,603) ---------------------------------------------------------- Accounts receivable, net 14,540,342 15,136,507 (596,165) ---------------------------------------------------------- Costs and earnings in excess of billings 5,254,860 5,696,773 (441,913) Prepaid expenses 550,499 520,589 29,910 Inventory 3,807,915 3,884,440 (76,525) Inventory reserve (1,573,649) (1,569,720) (3,929) ---------------------------------------------------------- Inventory, net 2,234,266 2,314,720 (80,454) ---------------------------------------------------------- Other current assets 94,078 83,773 10,305 ---------------------------------------------------------- TOTAL CURRENT ASSETS 25,952,279 27,151,881 (1,199,602) ---------------------------------------------------------- PROPERTY AND EQUIPMENT Field equipment 2,690,721 2,560,458 130,263 Automotive equipment 1,786,987 1,667,474 119,513 Office furniture and equipment 1,901,840 2,258,159 (356,319) Leasehold improvements 363,882 334,810 29,072 ---------------------------------------------------------- TOTAL PROPERTY & EQUIP., AT COST 6,743,430 6,820,901 (77,471) Accum. Depreciation (4,443,311) (4,281,227) (162,084) ---------------------------------------------------------- TOTAL PROPERTY & EQUIP., NET 2,300,119 2,539,674 (239,555) ---------------------------------------------------------- Long-term accounts receivable - Other (Texas) 1,053,883 1,053,883 - Reserve for Long-term accounts receivable (350,000) (350,000) - ---------------------------------------------------------- Long-term accounts receviable - Other (Texas), net 703,883 703,883 - Other Assets 307,982 328,697 (20,715) Investment & Intercompany in Subsidiaires 425,000 425,000 - ---------------------------------------------------------- TOTAL ASSETS 29,689,263 31,149,135 (1,459,872) ---------------------------------------------------------- ---------------------------------------------------------- POST PETITION CURRENT LIABILITIES Accounts payable 270,972 442,783 (171,811) Line of Credit 20,521,323 20,799,697 (278,374) Accrued expenses, excluding bankruptcy costs 1,293,687 1,348,967 (55,280) Accrued bankruptcy costs 2,968,800 2,813,589 155,211 Estimated claims against cash held in escrow 2,560,602 2,560,602 - Intercompany - BNYFC - - - Intercompany payables - - - ---------------------------------------------------------- TOTAL POST PETITION CURRENT LIABILITIES 27,615,384 27,965,638 (350,254) Intercompany Notes Payable Pre Petition Liabilities 16,043,219 16,083,287 (40,068) Pre Petition Estimated Construction Claims 2,404,000 2,904,000 (500,000) ---------------------------------------------------------- TOTAL LIABILITIES 46,062,603 46,952,925 (890,322) ---------------------------------------------------------- SHAREHOLDERS' EQUITY Common stock at par 121,289 121,289 Additional paid in capital 124,480,374 124,480,374 Treasury Stock A-P-I-C (562,506) (562,506) Retained earnings - prior (112,005,445) (112,005,445) Y-T-D net income pre petition (1,845,936) (1,845,936) Y-T-D net income post petition (26,561,116) (25,991,566) (569,550) ---------------------------------------------------------- TOTAL SHAREHOLDERS' EQUITY (16,373,340) (15,803,790) (569,550) ---------------------------------------------------------- TOTAL LIABILITIES & SHAREHOLDERS' EQUITY 29,689,263 31,149,135 (1,459,872) ---------------------------------------------------------- ----------------------------------------------------------
See accompanying notes to financial statement information. OMEGA ENVIRONMENTAL, INC. DEBTOR IN POSSESSION CASE #97-06084 COMPARATIVE STATEMENT OF OPERATIONS INFORMATION
(unaudited) (unaudited) Month Ended Month Ended May 31, 1998 Apr 30, 1998 ESD ESD Change ----------------------------------------------------- Sales 1,022,634 1,230,621 (207,987) Cost of Sales 777,840 809,883 (32,043) ----------------------------------------------------- Gross Profit 244,794 420,738 (175,944) Selling, General, and Administrative 386,168 396,610 (10,442) ----------------------------------------------------- Income (Loss) From Operations (141,374) 24,128 (165,502) Other Income(Expense): I/C Interest Income (Expense) (70,025) (72,397) 2,372 Interest Expense (26) 380 (406) Interest Income 141 597 (456) Gain (loss) on Asset Disposition (7,196) (3,773) (3,423) Other Expense (233,845) (9,766) (224,079) ----------------------------------------------------- Total Other (Expense) (310,951) (84,959) (225,992) Net Income (Loss) Before Bankruptcy Administrative Expenses (452,325) (60,831) (391,494) Bankruptcy Administrative Expenses ----------------------------------------------------- Net Income (Loss) (452,325) (60,831) (391,494) ----------------------------------------------------- (unaudited) (unaudited) Month Ended Month Ended May 31, 1998 Apr 30, 1998 PSD PSD Change ----------------------------------------------------- Sales 614,049 626,914 (12,865) Cost of Sales 589,834 635,734 (45,900) ----------------------------------------------------- Gross Profit 24,215 (8,820) 33,035 Selling, General, and Administrative 196,355 212,294 (15,939) ----------------------------------------------------- Income (Loss) From Operations (172,140) (221,114) 48,974 Other Income(Expense): I/C Interest Income (Expense) (73,198) (72,343) (855) Interest Expense - Interest Income - Gain (loss) on Asset Disposition (9,430) (9,430) Other Expense (13,863) (14,079) 216 ----------------------------------------------------- Total Other (Expense) (96,491) (86,422) (10,069) Net Income (Loss) Before Bankruptcy Administrative Expenses (268,631) (307,536) 38,905 Bankruptcy Administrative Expenses - ----------------------------------------------------- Net Income (Loss) (268,631) (307,536) 38,905 -----------------------------------------------------
See accompanying notes to financial statement information. OMEGA ENVIRONMENTAL, INC. DEBTOR IN POSSESSION CASE #97-06084 COMPARATIVE STATEMENT OF OPERATIONS INFORMATION (unaudited) (unaudited) Month Ended Month Ended May 31, 1998 Apr 30, 1998 Corporate Corporate Change ----------------------------------------------------- Sales - - - Cost of Sales - - - ----------------------------------------------------- Gross Profit - - - Selling, General, and Administrative 153,047 185,780 (32,733) ----------------------------------------------------- Income (Loss) From Operations (153,047) (185,780) 32,733 Other Income(Expense): I/C Interest Income (Expense) 143,223 144,740 (1,517) Interest Expense (183,992) (179,172) (4,820) Interest Income - Gain (loss) on Asset Disposition - Other Expense 4,073 (9,478) 13,551 ----------------------------------------------------- Total Other (Expense) (36,696) (43,910) 7,214 Net Income (Loss) Before Bankruptcy Administrative Expenses (189,743) (229,690) 39,947 Bankruptcy Administrative Expenses (155,211) (155,460) 249 ----------------------------------------------------- Net Income (Loss) (344,954) (385,150) 40,196 -----------------------------------------------------
(unaudited) (unaudited) Month Ended Month Ended May 31, 1998 Apr 30, 1998 Continuing Continuing Operations Operations Change ----------------------------------------------------- Sales 1,636,683 1,857,535 (220,852) Cost of Sales 1,367,674 1,445,617 (77,943) ----------------------------------------------------- Gross Profit 269,009 411,918 (142,909) Selling, General, and Administrative 735,570 794,684 (59,114) ----------------------------------------------------- Income (Loss) From Operations (466,561) (382,766) (83,795) Other Income(Expense): I/C Interest Income (Expense) - - - Interest Expense (184,018) (178,792) (5,226) Interest Income 141 597 (456) Gain (loss) on Asset Disposition (16,626) (3,773) (12,853) Other Expense (243,635) (33,323) (210,312) ----------------------------------------------------- Total Other (Expense) (444,138) (215,291) (228,847) Net Income (Loss) Before Bankruptcy Administrative Expenses (910,699) (598,057) (312,642) Bankruptcy Administrative Expenses (155,211) (155,460) 249 ----------------------------------------------------- Net Income (Loss) (1,065,910) (753,517) (312,393) -----------------------------------------------------
OMEGA ENVIRONMENTAL, INC. DEBTOR IN POSSESSION CASE #97-06084 COMPARATIVE STATEMENT OF OPERATIONS INFORMATION
(unaudited) (unaudited) Month Ended Month Ended May 31, 1998 Apr 30, 1998 Discontinued Discontinued Operations Operations Change ----------------------------------------------------- Sales - Cost of Sales - ----------------------------------------------------- Gross Profit - - - Selling, General, and Administrative - ----------------------------------------------------- Income (Loss) From Operations - - - Other Income(Expense): I/C Interest Income (Expense) - Interest Expense - Interest Income - Gain (loss) on Asset Disposition - Other Expense 496,360 (37,613) 533,973 ----------------------------------------------------- Total Other (Expense) 496,360 (37,613) 533,973 Net Income (Loss) Before Bankruptcy Administrative Expenses 496,360 (37,613) 533,973 Bankruptcy Administrative Expenses - ----------------------------------------------------- Net Income (Loss) 496,360 (37,613) 533,973 ----------------------------------------------------- (unaudited) (unaudited) Month Ended Month Ended May 31, 1998 Apr 30, 1998 Combined Combined Final Final Change --------------------------------------------------- Sales 1,631,964 1,856,449 (224,485) Cost of Sales 1,362,955 1,444,531 (81,576) --------------------------------------------------- Gross Profit 269,009 411,918 (142,909) Selling, General, and Administrative 735,570 794,684 (59,114) --------------------------------------------------- Income (Loss) From Operations (466,561) (382,766) (83,795) Other Income(Expense): I/C Interest Income (Expense) - - - Interest Expense (184,018) (178,792) (5,226) Interest Income 141 597 (456) Gain (loss) on Asset Disposition (16,626) (3,773) (12,853) Other Expense 252,725 (70,936) 323,661 --------------------------------------------------- Total Other (Expense) 52,222 (252,904) 305,126 Net Income (Loss) Before Bankruptcy Administrative Expenses (414,339) (635,670) 221,331 Bankruptcy Administrative Expenses (155,211) (155,460) 249 --------------------------------------------------- Net Income (Loss) (569,550) (791,130) 221,580 ---------------------------------------------------
See accompanying notes to financial statement information. OMEGA ENVIRONMENTAL, INC. DEBTOR IN POSSESSION CASE # 97 - 06084 COMPARATIVE COMBINED STATEMENT OF CASH FLOWS INFORMATION (unaudited) (unaudited) Month Ended Month Ended May 31, 1998 Apr 30, 1998 Change --------------------- ------------------- -------------------- Cash flows from operating activities: Net loss ($569,550) ($791,130) $221,580 Adjustments to reconcile net loss to net cash (used in) provided by operating activities: Depreciation 102,743 85,206 17,537 Additional reserves for costs in excess of billings 225,000 225,000 (Gain) / Loss on sale of property and equipment 16,626 (3,773) 20,399 Change in certain assets & liabilities: (Increase) decrease in: Receivables 596,165 291,086 305,079 Costs in excess of billings 216,913 155,399 61,514 Inventory 80,454 29,680 50,774 Prepaids & other assets (40,215) (34,829) (5,386) Increase (decrease) in: Accounts payable (171,811) 11,162 (182,973) Accrued expenses 179,717 146,794 32,923 Other net changes in assets and liabilities 20,605 230,447 (209,842 --------------------- ------------------- -------------------- Total adjustments 1,226,197 911,172 315,025 --------------------- ------------------- -------------------- Net cash provided by operating activities 656,647 120,042 536,605 Cash flows from investing activities: Proceeds from sale of equipment 56,100 1,900 54,200 Additions to property and equipment (15,700) (9,354) (6,346) --------------------- ------------------- -------------------- Net cash provided by (used in) investing activities 40,400 (7,454) 47,854 Cash flows from financing and other activities: Net proceeds (repayments) from revolver credit loan (278,374) 195,344 (473,718) Increase (decrease) in pre petition liabilities (540,068) (34,270) (505,798) --------------------- ------------------- -------------------- Net cash provided by (used in) financing activities (818,442) 161,074 (979,516) --------------------- ------------------- -------------------- Net increase in cash (121,395) 273,662 (395,057) Cash at beginning of period 784,138 510,476 273,662 --------------------- ------------------- -------------------- Cash at end of period $662,743 $784,138 ($121,395) --------------------- ------------------- -------------------- --------------------- ------------------- --------------------
See accompanying notes to financial statement information. EXHIBIT 99.1 Omega Environmental, Inc. Debtor in Possession Case # 97-06084 May 31, 1998 Financial Reporting Information Notes to Financial Statement Information Basis of Presentation The financial statement information presented is unaudited and does not comply with generally accepted accounting principles. Additionally, significant estimates were used in the preparation of this financial statement information and actual results may vary significantly from these estimates. BNY Financial Corporation As of May 31, 1998, the Company's borrowings from BNY Financial Corporation ("BNYFC") were $20,521,323. In June the Company successfully negotiated with BNYFC for continuance of debtor-in-possession financing through December 31, 1998. Costs and Earnings in Excess of Billing The asset, "Costs and earnings in excess of billings" recorded on the Environmental Services Division's balance sheet, represents estimated revenues recognized in excess of amounts billed using the percentage of completion method of contract accounting. In the past, as projects were completed and billed significant write-offs of this asset were recorded in excess of reserves provided. Management is in the process of instituting new procedures for earlier identification of potential write-offs and is analyzing current fixed-price contracts and related costs incurred to determine estimated profitability. These new procedures resulted in $225,000 of write-offs in May 1998. The analysis is not complete and any adjustment to this asset may have a material adverse effect on the financial statements. Accounts Receivable Accounts receivable recorded on the Environmental Services Division's balance sheet are primarily due from various State reimbursement programs for clean up of leaking underground storage tanks. Management is in the process of analyzing the collectability of these accounts and estimated bad debts may be significantly in excess of established reserves. The results of this analysis are not complete at this time and any adjustment may have a material adverse effect on the financial statements. Accounts receivable recorded on the Discontinued Operation's balance sheet represents amounts recorded as due from customers in the company's discontinued construction activities. The amounts ultimately collected by the company will be significantly less than net recorded amounts in part because of set-offs, liens, bonding issues and customer disputes which may result in refusal to pay receivable amounts or require payment or set-off of pre-petition liabilities and claims. The amount ultimately collectible is not determinable at this time. Inventory Inventory recorded on the Petroleum Services Division's balance sheet consists primarily of component parts for servicing retail and commercial fueling facilities. The use of these parts has decreased significantly due to the decline in the level of business activity from prior periods. Management is in the process of selling excess parts. Losses on sale of these excess parts may exceed recorded reserves. The amount of loss can not be determined at this time. -----END PRIVACY-ENHANCED MESSAGE-----