EX-99.4 2 ex99-4proformabs.htm AMENDED PROFORMA BALANCE SHEET ex99-4proformabs.htm
EXHIBIT 99.4
UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET
As of 2/29/08

   
AZZ
Historical
    
AAA
Historical
    
Pro Forma
Adjustments
      
Combined
Pro Forma
  
ASSETS
                          
                           
CURRENT ASSETS
                          
     CASH AND CASH EQUIVALENTS
   $ 2,226,941     $ (868,089 )   $ 19,397,249   (1)   $ 20,756,101  
     ACCOUNTS RECEIVABLE (NET OF ALLOWANCE)
     38,901,577       7,959,334       -         46,860,911  
     INVENTORIES
     43,426,468       11,155,674       (1,128,742 ) (2)     53,453,400  
     REVENUE IN EXCESS OF BILLINGS ON
                                  
        UNCOMPLETED CONTRACTS
     13,044,076       -       -         13,044,076  
     DEFERRED INCOME TAXES
     4,391,398       -       -         4,391,398  
     PREPAID EXPENSES AND OTHER
     1,004,383       99,537       -         1,103,920  
                                   
        TOTAL CURRENT ASSETS
     102,994,843       18,346,456       18,268,507         139,609,806  
                                   
PROPERTY, PLANT AND EQUIPMENT (NET)
     48,284,910       33,543,641       (609,689 ) (3)     81,218,862  
                                   
     GOODWILL (NET OF ACCUMULATED AMORTIZATION)
     40,962,104       -       15,573,941   (4)     56,536,045  
     OTHER ASSETS
     1,077,423       856,624       15,213,376   (5)     17,147,423  
                                   
        TOTAL ASSETS
   $ 193,319,280     $ 52,746,721     $ 48,446,135       $ 294,512,136  
                                   
                                   
LIABILITIES AND SHAREHOLDER'S EQUITY
                                  
                                   
CURRENT LIABILITIES
                                  
     ACCOUNTS PAYABLE
   $ 16,035,932     $ 553,481     $ -       $ 16,589,413  
     INCOME TAX PAYABLE
     706,966       -       -         706,966  
     ACCRUED SALARIES & WAGES
     4,919,804       271,000       -         5,190,804  
     OTHER ACCRUED LIABILITIES
     10,285,285       11,334,123       (10,965,748 )       10,653,660  
     CUSTOMER ADVANCE PAYMENT
     2,115,330       -       -         2,115,330  
     BILLINGS IN EXCESS OF REVENUE ON
                               -  
        UNCOMPLETED CONTRACTS
     3,798,179       -       -         3,798,179  
     COMPENSATION EXPENSE RELATED TO SARS
     4,834,325       -       -         4,834,325  
                                   
                                   
        TOTAL CURRENT LIABILITIES
     42,695,821       12,158,604       (10,965,748 )       43,888,677  
                                   
     LONG TERM DEBT DUE AFTER ONE YEAR
     -       24,416,151       75,583,849   (6)     100,000,000  
                                   
     DEFERRED INCOME TAXES
     4,466,834       -       -         4,466,834  
                                   
     SHAREHOLDERS' EQUITY 
                                  
        COMMON STOCK, $1 PAR VALUE (SHARES AUTHORIZED-25,000,000), SHARES ISSUED 12,609,160
     12,609,160       16,171,966       (16,171,966 ) (7)     12,609,160  
     CAPITAL IN EXCESS OF PAR VALUE
     16,369,938       -       -         16,369,938  
     RETAINED EARNINGS
     119,549,115       -       -         119,549,115  
     LESS COMMON STOCK HELD IN TREASURY
                                  
        ( 480,188 AND 954,996 SHARES AT COST RESPECTIVELY)
     (2,371,588 )     -       -         (2,371,588 )
                                   
                                   
        TOTAL SHAREHOLDERS' EQUITY
     146,156,625       16,171,966       (16,171,966 )       146,156,625  
                                   
        TOTAL LIABILITIES & SHAREHOLDERS' EQUITY
   $ 193,319,280     $ 52,746,721     $ 48,446,135       $ 294,512,136  

(1)  
Excess cash from $100,000,000.00 Senior Notes secured for the purchase of AAA Galvanizing, Inc.
(2)  
Inventory adjusted the market costs as compared to FIFO Inventory cost basis.
(3)  
Property, plant, and equipment adjusted to fair market per independent appraisal.
(4)  
Goodwill resulting from purchase price accounting.
(5)  
Other assets include intangibles for non-compete agreements, trade name, and customer relations in the amounts of $1.8 million, $1.21 million and $13.1 million respectfully.
(6)  
Senior notes secured for the purchase of AAA Galvanizing, Inc.
(7)  
Elimination entries required for liabilities and equity not acquired.