-----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, KOAur4+GJOffaseLu8w5hcUca2KXEfiz3njTwcK9DzpQ+wVxbo9umtLIMiRUhPKD N1aM8oLlu06WP2GixRh5Gg== 0000891092-03-001976.txt : 20030805 0000891092-03-001976.hdr.sgml : 20030805 20030805165430 ACCESSION NUMBER: 0000891092-03-001976 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030805 ITEM INFORMATION: ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20030805 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BUSH INDUSTRIES INC CENTRAL INDEX KEY: 0000758604 STANDARD INDUSTRIAL CLASSIFICATION: WOOD HOUSEHOLD FURNITURE, (NO UPHOLSTERED) [2511] IRS NUMBER: 160837346 STATE OF INCORPORATION: DE FISCAL YEAR END: 0102 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-08884 FILM NUMBER: 03824246 BUSINESS ADDRESS: STREET 1: ONE MASON DR STREET 2: P O BOX 460 CITY: JAMESTOWN STATE: NY ZIP: 14702-0480 BUSINESS PHONE: 7166652000 MAIL ADDRESS: STREET 1: ONE MASON DR STREET 2: PO BOX 460 CITY: JAMESTOWN STATE: NY ZIP: 14702 8-K 1 e15418_8k.txt FORM 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): August 5, 2003 BUSH INDUSTRIES, INC. ------------------------------------------------------ (Exact name of registrant as specified in its charter) Delaware 1-8884 16-0837346 - -------------------------------------------------------------------------------- (State or other (Commission File (I.R.S. Employer jurisdiction Number) Identification of incorporation) No.) One Mason Drive P.O. Box 460 Jamestown, New York 14702-0460 - -------------------------------------------------------------------------------- (Address of principal executive offices) Registrant's telephone number, including area code: (716) 665-2000 N/A ------------------------------------------------------------- (Former name or former address, if changed since last report) Item 7. Financial Statements and Exhibits. (c) Exhibits. 99 Press release dated August 5, 2003. Item 12. Results of Operations and Financial Condition. On August 5, 2003, the Registrant issued a press release with respect to its second quarter 2003 results of operations, a copy of which is furnished as Exhibit 99 hereto. 2 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. BUSH INDUSTRIES, INC. By: /s/ Robert L. Ayres ------------------- Date: August 5, 2003 Robert L. Ayres, President, Chief Financial Officer and Chief Operating Officer 3 EX-99 3 e15418ex_99.txt PRESS RELEASE Exhibit 99 [LOGO] BUSH INDUSTRIES FROM: Jeffrey O'Keefe The Global Consulting Group (646) 284-9423 COMPANY Donald Hauck, Sr. Vice President CONTACT: (716) 665-2510 Ext. 3509 BUSH INDUSTRIES REPORTS SECOND QUARTER RESULTS JAMESTOWN, N.Y. - August 5, 2003--Bush Industries, Inc. (NYSE: BSH), a diversified global furniture manufacturer and leading supplier of surface technologies, released its second quarter financial results for the period ended June 28, 2003. Net sales for the second quarter decreased approximately 10.3 percent to $70.8 million compared with $78.9 million in last year's second quarter. Net income was $101,000, or $0.01 per diluted share, compared with net income of $541,000, or $0.04 per diluted share in the same quarter for the previous year. Included in the 2003 second quarter results was a charge of $488,000 net of income taxes ($725,000 pre-tax), or $0.035 per diluted share, which was taken as part of the Company's cost reduction initiative to adjust Bush Furniture North America's capacity and lower ongoing operating costs across all divisions. For the first half of 2003, net sales were $145.7 million compared with $167.3 million in the same period last year. The Company reported a net loss of $13.0 million, or $0.94 per diluted share for the 2003 six-month period, compared with a net loss of $764,000, or $0.05 per diluted share last year. The 2003 six month results include a charge of approximately $10.8 million net of income taxes ($16.1 million pre-tax), or $0.78 per diluted share associated with its cost reduction initiatives. The 2002 six month results include a charge for the cumulative effect of accounting change of approximately $2.4 million or $0.17 per diluted share for the impairment of goodwill attributed to the Company's German operations. Long-term debt increased by $2.7 million to $114.5 million, compared with $111.8 million at the end of the 2003 first quarter primarily due to the costs connected with the Company's restructuring initiative and the currency exchange impact on Bush's Euro-denominated debt. "The North American furniture market continued to be soft throughout the second quarter, as order patterns from our retail partners remained cautious. At the same time, our European sales were stronger than anticipated, due to the previously announced expansion in distribution. Ongoing cost reduction efforts included a reduction in certain fringe benefit programs on a Company-wide basis and the consolidation of our RTA operations into the Jamestown, NY facilities. These steps are part of an overall focus to streamline our operations while strengthening our flexibility in the marketplace," commented Paul Bush, Chairman and Chief Executive Officer of Bush Industries. Select highlights by division: o Bush Furniture North America (BF): 1. We continue to gain momentum from our diversification strategy by entering the casegoods home furnishings market under the brand name Eric Morgan. Several of the top 100 home furnishings retailers are adding this line to their Fall retail floor space. 2. The previously announced rollout of a major commercial office furniture initiative with one office superstore is expected to be in place by September. Additionally, our promotional product offerings with this customer continue to generate favorable order patterns. Also, during the third quarter, we plan to roll out significant other new product programs with our major office superstore retail partners. 3. Our new major commercial office product line, Techno, which has a European design look and is ergonomically friendly, has been well received in the market. We continue to gain additional new floor placements and our rollouts to major wholesalers and dealer showrooms should be completed by late in the third quarter. 4. We have also secured additional business from the electronic original equipment manufacturers (OEM's), and we expect to begin to ship product to them in August. o Bush Furniture Europe (BFE): 1. Our rollout of new products in the office superstore channel is tracking in line with our expectations. With the recent acquisitions made by our office superstore retail partners in Europe, we feel that leveraging our relationships with these key accounts will afford us additional opportunities for further growth. 2. A second phase of our ongoing cost reduction program is planned to be implemented in the third and fourth quarters. It will consolidate four operating facilities into three, eliminate a leased warehouse and further reduce our workforce. 3. There has been no change in the soft economic conditions in Europe, especially Germany. As a result, even though our sales are expected to reflect year-over-year positive gains, additional plant downtime is scheduled for the third and fourth quarters, in addition to the usual vacation shutdown. These efforts are intended to balance our sales, production and inventory levels to the current economic reality and will negatively impact our earnings in both the third and fourth quarters of this year. Bush Technologies (BT): 1. Second half sales performance should approximate breakeven levels and is expected to be fueled by further gains in the cell phone face plate aftermarket. Products that utilize our Just-in-Time fashion process are now being shipped to a major cell phone manufacturer for their Fall N.F.L. team logo program. 2. In the third quarter we anticipate further gains from other OEM cell phone programs and additional new products and licensing programs that expand our franchise in the decoration of sporting goods, firearms and all terrain vehicles (ATV's). Guidance for Remainder of 2003 "The Company currently expects sales in the third quarter to be in a range of $78.0 million to $82.0 million, softer than originally anticipated, and expects a fully diluted EPS loss of $0.05 to $0.10. This would include approximately $0.05 per diluted share for expenses associated with our cost reduction initiative, and $0.02 per diluted share for costs associated with developing a new banking agreement. Additionally, the loss reflects the impact of the reduced production levels in Germany. While we remain cautious near term, fourth quarter sales are expected to improve sequentially and diluted EPS is anticipated to be positive," concluded Paul Bush. Conference Call The management of Bush will host a conference call on Wednesday, August 6, 2003 at 10:00 a.m. ET to discuss second quarter results. Those who wish to participate on the conference call may do so by calling the toll-free number (888) 913-9969 approximately 15 minutes prior to the 10:00 a.m. ET starting time. A replay of the call in its entirety will be available by telephone for seven days following completion of the live call, at (800) 839-2216. The password for the live call and the replay is 2874 and the leader's name is Don Hauck. The conference call will also be webcast simultaneously over the Internet through Investor Broadcast Network's Vcall web site, which can be accessed at www.vcall.com, and will be rebroadcast by Vcall through Wednesday, August 13, 2003. Additional financial and/or statistical information can be accessed at our web site, www.bushindustries.com listed under the "About Us - Press Release" section. Bush Industries, Inc. is a leading global manufacturer of ready-to-assemble furniture, casegoods furniture, and a supplier of surface technologies. The Company operates its business in three segments: Bush Furniture North America, which concentrates on furniture for the commercial office, home office, home entertainment, bedroom and other home furnishings distributed by leading retailers; Bush Furniture Europe, which sells commercial, home office and other furnishings in the European market; and Bush Technologies, which is focused on the cell phone accessories after-market, as well as the utilization of surface technologies in diverse applications such as automotive interiors, cosmetics, sporting goods and consumer electronics. Bush operates several manufacturing and warehouse facilities throughout North America and Europe. -Tables Follow- BUSH INDUSTRIES REPORTS SECOND QUARTER RESULTS BUSH INDUSTRIES, INC. AND SUBSIDIARIES Financial Highlights (Unaudited) The following data sets forth certain condensed consolidated statement of operations information for the second quarter and six-month period of 2003 and 2002:
For the Three Months Ended For the Six Months Ended ---------------------------- ---------------------------- 6/28/03 6/29/02 6/28/03 6/29/02 ------- ------- ------- ------- (In Thousands Except Per Share Data) Net Sales $70,831 $78,929 $145,693 $167,261 Costs and Expenses: Cost of Sales 51,976 56,449 117,268 120,124 Selling, General, and Administrative 16,089 19,688 35,516 40,782 Interest 1,886 1,861 3,649 3,586 Restructuring 725 -0- 8,678 -0- ------- ------- -------- -------- 70,676 77,998 165,111 164,492 Earnings (Loss) Before Income Taxes and Cumulative Effect of Accounting Change 155 931 (19,418) 2,769 Income Tax (Expense) Benefit (54) (390) 6,383 (1,135) ------- ------- -------- -------- Earnings (Loss) Before Cumulative Effect of Accounting Change 101 541 (13,035) 1,634 Cumulative Effect of Accounting Change -0- -0- -0- (2,398) ------- ------- -------- -------- Net Earnings (Loss) $ 101 $ 541 ($ 13,035) ($764) ======= ======= ======== ======== Basic Earnings (Loss) Per Share: Before Cumulative Effect of Accounting Change $0.01 $0.04 ($0.94) $0.12 Cumulative Effect of Accounting Change -0- -0- -0- (0.17) ------- ------- -------- -------- Net Earnings (Loss) $0.01 $0.04 ($0.94) ($0.05) ======= ======= ======== ======== Diluted Earnings (Loss) Per Share: Before Cumulative Effect of Accounting Change $0.01 $0.04 ($0.94) $0.12 Cumulative Effect of Accounting Change -0- -0- -0- (0.17) ------- ------- -------- -------- Net Earnings (Loss) $0.01 $0.04 ($0.94) ($0.05) ======= ======= ======== ======== Weighted Average Shares Outstanding: Basic 13,827 13,821 13,828 13,799 Diluted 13,827 14,120 13,828 14,101
BUSH INDUSTRIES REPORTS SECOND QUARTER RESULTS Other Sales and Earnings Information (In Thousands):
For the Three Months Ended For the Six Months Ended -------------------------- ---------------------------- 6/28/03 6/29/02 6/28/03 6/29/02 -------- -------- --------- --------- Net Sales From External Customers: Bush Furniture North America $ 49,448 $ 60,327 $ 104,558 $ 129,998 Bush Furniture Europe 16,998 14,567 32,201 28,543 Bush Technologies 4,385 4,035 8,934 8,720 -------- -------- --------- --------- Consolidated Net Sales $ 70,831 $ 78,929 $ 145,693 $ 167,261 ======== ======== ========= ========= Segment Earnings (Loss) Before Income Taxes and Cumulative Effect of Accounting Change: Bush Furniture North America $ 666 $ 3,241 ($ 1,598) $ 5,888 Bush Furniture Europe 557 (1,096) (198) (1,595) Bush Technologies (343) (1,214) (1,488) (1,524) -------- -------- --------- --------- 880 931 (3,284) 2,769 Inventory Write Down Charge -0- -0- (7,456) -0- Restructuring (725) -0- (8,678) -0- Consolidated Earnings (Loss) Before Income Taxes and Cumulative Effect of Accounting Change $ 155 $ 931 ($ 19,418) $ 2,769 ======== ======== ========= =========
Certain Consolidated Balance Sheet Data (In Thousands): 6/28/03 12/28/02 -------- -------- Cash and Cash Equivalents $ 4,494 $ 2,729 Trade Receivables 10,074 16,544 Inventories 53,389 56,204 Total Current Assets 77,858 86,145 Property, Plant & Equipment (Net) 190,174 196,922 Total Assets 296,306 310,105 Current Liabilities $ 43,599 $ 51,344 Long-Term Debt 114,453 100,223 Total Liabilities 174,608 174,020 Stockholders' Equity 121,698 136,085 Total Liabilities and Stockholders' Equity 296,306 310,105 Other Key Financial Data (In Thousands): For the Six Months Ended For Full ------------------------ Year Ending 6/28/03 6/29/02 12/28/02 ------- ------- ----------- Depreciation and Amortization 9,599 9,944 20,053 Capital Expenditures 1,314 3,112 5,533 BUSH INDUSTRIES REPORTS SECOND QUARTER RESULTS Certain statements and information included in this press release constitute "forward-looking statements" within the meaning of the Federal Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to differ materially from forecasted results. Forward-looking statements include statements regarding the intent, belief, projected or current expectations of the Company or its Officers (including statements preceded by, followed by or including forward-looking terminology such as "may," "will," "should," "believe," "expect," "anticipate," "estimate," "continue" or similar expressions or comparable terminology), with respect to various matters. The Company cannot guarantee future results, levels of activity, performance or achievements. Factors that could cause or contribute to such differences include, but are not limited to, economic, competitive, governmental and technological factors affecting the Company's operations, markets, products, services and prices, and other factors discussed in the Company's filings with the Securities and Exchange Commission (the "SEC"). Copies of the Company's SEC filings are available from the SEC or may be obtained upon request from the Company. The Company does not undertake any obligation to update the information contained herein, which speaks only as of this date. ### -----END PRIVACY-ENHANCED MESSAGE-----