EX-99.6 8 y59743ex99-6.txt UNAUDITED FINANCIAL STATEMENTS Exhibit 99.6 INDEX TO UNAUDITED VESSEL LEASING LLC FINANCIAL STATEMENTS Page ---- Statement of Cash Flows for the year ended December 28, 2001 1 Statement of Operations for the year ended December 28, 2001 2 Statement of Financial Position as of December 28, 2001 3 Notes to Vessel Leasing LLC Financial Statements 4-5 VESSEL LEASING LLC STATEMENT OF CASH FLOWS DECEMBER 28, 2001 (DOLLARS IN THOUSANDS) (UNAUDITED) OPERATING ACTIVITIES Net Loss $ (76) Adjustments to Reconcile Net Loss to Net Cash Provided by (Used in) Operating Activities: Depreciation and Amortization 773 Other Operating Activities 14 Unearned Revenues 2,830 Accrued Interest 161 -------- Net Cash Provided by Operating Activities 3,702 INVESTING ACTIVITIES Property Additions (47,757) FINANCING ACTIVITIES Long Term Debt Issued 43,251 Common Stock Issued 5,236 Preferred Stock 4,190 Long Term Debt Repaid (671) Debt Issuance Costs (164) Prepaid Guaranty Fee (1,974) Restricted Cash (5,801) -------- Net Cash Provided by Financing Activities 44,067 Net Increase in Cash and Cash Equivalents 13 Cash and Cash equivalents at Beginning of Period -- -------- Cash and Cash equivalents at End of Period $ 13 ======== Supplemental disclosure of cash flow information: Cash paid for interest 907 Non-cash activities: Capital Leases 3,924
The accompanying notes are an integral part of the financial statements. 1 VESSEL LEASING LLC STATEMENT OF OPERATIONS FISCAL YEAR ENDED DECEMBER 28, 2001 (DOLLARS IN THOUSANDS) (UNAUDITED) OPERATING REVENUE $ 1,705 OPERATING EXPENSE Depreciation and Amortization 731 Other 5 ------- 736 ------- OPERATING INCOME 969 OTHER EXPENSE (INCOME) Interest Income (64) Interest Expense 1,109 ------- 1,045 ------- NET LOSS $ (76) =======
The accompanying notes are an integral part of the financial statements. 2 VESSEL LEASING LLC STATEMENT OF FINANCIAL POSITION DECEMBER 28, 2001 (DOLLARS IN THOUSANDS) (UNAUDITED) ASSETS CURRENT ASSETS Cash and Cash Equivalents $ 12 Restricted Cash 5,801 Capital Lease Receivable - Short Term 86 -------- Total Current Assets 5,899 PROPERTIES-Net 43,101 CAPITAL LEASE RECEIVABLE - Long Term 3,825 OTHER ASSETS 2,096 -------- Total Assets $ 54,921 ======== LIABILITIES CURRENT LIABILITIES Current Portion of Long-Term Debt $ 2,885 Accrued Interest Payable - MARAD 161 Unearned Charter Revenue - Short Term 2,517 -------- Total Current Liabilities 5,563 LONG-TERM DEBT 39,695 UNEARNED CHARTER REVENUE - Long Term 313 -------- Total Liabilities 45,571 MEMBERS' EQUITY Members' Interest 5,236 Preferred Members' Interest 4,190 Retained Earnings (76) -------- Total Members' Equity 9,350 -------- Total Liabilities and Members' Equity $ 54,921 ========
The accompanying notes are an integral part of the financial statements. 3 VESSEL LEASING LLC NOTES TO FINANCIAL STATEMENTS (DOLLARS IN THOUSANDS) NOTE 1. SIGNIFICANT ACCOUNTING POLICIES NATURE OF OPERATIONS The operations of Vessel Leasing LLC ("Vessel Leasing") began in 2001 and include the charter of equipment involved in barge transportation along inland waterways. All of Vessel Leasing's equipment is chartered to American Commercial Barge Line LLC ("ACBL"), a subsidiary of American Commercial Lines LLC ("ACL"). Vessel Leasing is a limited liability company owned 50% by Vectura Group, Inc. ("Vectura") and 50% by ACL. FISCAL YEAR Vessel Leasing follows an annual fiscal reporting period, which ends on the last Friday in December. Financial statements are for the period ending December 28, 2001. CASH AND CASH EQUIVALENTS Cash on hand is restricted by amounts held in a depository account to repay one year of principal and interest on debt. The amount currently restricted is $5,801. CAPITAL LEASE RECEIVABLE In December, 2001 Vessel Leasing entered into a $3,924 capital lease agreement with ACBL which will expire in 2016. In 2001, a payment of $13 was made. Future payments are $432 in 2002, $586 in 2003, $568 in 2004, $455 in 2005, $455 in 2006 and $5,087 thereafter. PROPERTIES Properties, at cost, consist of the following: Barges $43,832 Less Accumulated Depreciation 731 --------- $43,101 =========
Provisions for depreciation of properties are based on the estimated useful lives computed on the straight-line method. Barges are depreciated over 25 years. DEBT AMORTIZATION Vessel Leasing amortizes debt costs over the term of the debt. Amortization expense includes underwriting and guarantee fees. Amortization expense for 2001 was $42. REVENUE RECOGNITION Revenue from charter of barges is recognized proportionately as it is earned. NOTE 2. DEBT 4 Debt consists of the following: Title XI Series A $19,424 Title XI Series B 7,388 Title XI Series C 15,768 ------------- 42,580 Current portion of long term debt 2,885 ------------- Non-current portion long-term debt $ 39,695 =============
Vessel Leasing is financed by the United States of America Secretary of Transportation Maritime Administration ("MARAD"). Interest is fixed at 6.14% on the Series A loan and 5.65% on the Series B loan. Interest on the Series C loan varies with the LIBOR rate plus 0.4% which was 2.39% at December 28, 2001. Principal and interest payments are due semi-annually on the anniversary date of the loan. NOTE 3. RELATED PARTIES Vessel Leasing is a limited liability company owned 50% by ACL and 50% by Vectura. Each partner contributed $2,618 in common stock during 2001. ACL also contributed $4,190 in preferred stock in 2001. All of Vessel Leasing's 2001 revenue of $1,705 was earned from ACBL, a subsidiary of ACL. 5