-----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, Lissd1+Eth2QKDQGHSJC2maZvphBMCaWZ9yf6YEWjY4+vyaWYet55RfuK6/t50o5 5AK3oU50mbQcBGQFjFtImQ== 0000950130-00-001476.txt : 20000324 0000950130-00-001476.hdr.sgml : 20000324 ACCESSION NUMBER: 0000950130-00-001476 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20000323 ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 20000323 FILER: COMPANY DATA: COMPANY CONFORMED NAME: MORGAN STANLEY DEAN WITTER & CO CENTRAL INDEX KEY: 0000895421 STANDARD INDUSTRIAL CLASSIFICATION: FINANCE SERVICES [6199] IRS NUMBER: 363145972 STATE OF INCORPORATION: DE FISCAL YEAR END: 1130 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 001-11758 FILM NUMBER: 576109 BUSINESS ADDRESS: STREET 1: 1585 BROADWAY CITY: NEW YORK STATE: NY ZIP: 10036 BUSINESS PHONE: 2127614000 MAIL ADDRESS: STREET 1: 1585 BROADWAY STREET 2: 38TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10036 FORMER COMPANY: FORMER CONFORMED NAME: DEAN WITTER DISCOVER & CO DATE OF NAME CHANGE: 19960315 8-K 1 FORM 8-K 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): March 23, 2000 Morgan Stanley Dean Witter & Co. -------------------------------------- (Exact name of Registrant as specified in its charter) Delaware 1-11758 36-3145972 ------------------------------------------------------------------------- (state or other (Commission (I.R.S. Employer jurisdiction of File Number) Identification No.) incorporation) 1585 Broadway, New York, New York 10036 ------------------------------------------------ (Address of principal executive offices)(Zip Code) Registrant's telephone number, including area code: (212) 761-4000 -------------- ------------------------------------------------------------------------- (Former address, if changed since last report.) Item 5. Other Events - --------------------- On March 23, 2000, Morgan Stanley Dean Witter & Co. (the "Registrant") released financial information with respect to the quarter ended February 29, 2000. A copy of the press release containing such financial information is annexed as Exhibit 99.1 to this Report and by this reference incorporated herein and made a part hereof. Item 7. Financial Statements, Pro Forma Financial Information and Exhibits - -------------------------------------------------------------------------- 99.1 Press release of the Registrant dated March 23, 2000 containing financial information for the first quarter ended February 29, 2000. SIGNATURE 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, thereto duly authorized. MORGAN STANLEY DEAN WITTER & CO. -------------------------------- (Registrant) By: /s/ Ronald T. Carman -------------------------------- Ronald T. Carman Assistant Secretary Dated: March 23, 2000 MORGAN STANLEY DEAN WITTER & CO. Financial Summary (unaudited, dollars in millions)
Quarter Ended Percentage Change From: ---------------------------------------------------- -------------------------- Feb 29, 2000 Feb 28, 1999 Nov 30, 1999 Feb 28, 1999 Nov 30, 1999 --------------- --------------- ---------------- ------------ ------------ Net revenues Securities $ 5,922 $ 4,078 $ 4,125 45% 44% Asset Management 600 509 545 18% 10% Credit Services 889 752 963 18% (8%) --------------- --------------- ---------------- Consolidated net revenues $ 7,411 $ 5,339 $ 5,633 39% 32% =============== =============== ================ Net income Securities $ 1,244 $ 806 $ 1,395 54% (11%) Asset Management 158 107 113 48% 40% Credit Services 142 124 125 15% 14% --------------- --------------- ---------------- Consolidated net income $ 1,544 $ 1,037 $ 1,633 49% (5%) =============== =============== ================ Preferred stock dividend requirements $ 9 $ 11 $ 11 (18%) (18%) =============== =============== ================ Earnings applicable to common shares $ 1,535 $ 1,026 $ 1,622 50% (5%) =============== =============== ================ Earnings per common share Basic $ 1.40 $ 0.93 $ 1.50 51% (7%) Diluted $ 1.34 $ 0.88 $ 1.42 52% (6%) Average common shares outstanding Basic 1,093,904,751 1,107,871,156 1,079,522,844 Diluted 1,146,854,036 1,169,186,312 1,142,086,246 Period end common shares outstanding 1,134,181,285 1,141,179,340 1,104,630,098 Return on common equity 36.3% 29.5% 43.1%
______________________ Note: Certain reclassifications have been made to prior period amounts to conform to the current presentation. F-1 MORGAN STANLEY DEAN WITTER & CO. Consolidated Income Statement Information (unaudited, dollars in millions)
Quarter Ended Percentage Change From: ------------------------------------------------ -------------------------- Feb 29, 2000 Feb 28, 1999 Nov 30, 1999 Feb 28, 1999 Nov 30, 1999 ------------ ------------ ------------ ------------ ------------ Investment banking $ 1,335 $ 957 $ 1,338 39% -- Principal transactions: Trading 2,277 1,659 1,138 37% 100% Investments 431 265 232 63% 86% Commissions 1,037 653 785 59% 32% Fees: Asset management, distribution and administration 910 729 830 25% 10% Merchant and cardmember 443 341 402 30% 10% Servicing 287 253 318 13% (10%) Interest and dividends 4,797 3,763 3,848 27% 25% Other 97 56 74 73% 31% ------------ ------------ ------------ Total revenues 11,614 8,676 8,965 34% 30% Interest expense 3,980 3,160 3,212 26% 24% Provision for consumer loan losses 223 177 120 26% 86% ------------ ------------ ------------ Net revenues 7,411 5,339 5,633 39% 32% ------------ ------------ ------------ Compensation and benefits 3,408 2,363 1,320 44% 158% Occupancy and equipment 175 146 178 20% (2%) Brokerage, clearing and exchange fees 121 114 116 6% 4% Information processing and communications 346 309 376 12% (8%) Marketing and business development 471 395 495 19% (5%) Professional services 183 162 269 13% (32%) Other 275 178 244 54% 13% ------------ ------------ ------------ Total non-interest expenses 4,979 3,667 2,998 36% 66% ------------ ------------ ------------ Income before income taxes 2,432 1,672 2,635 45% (8%) Income tax expense 888 635 1,002 40% (11%) ------------ ------------ ------------ Net income $ 1,544 $ 1,037 $ 1,633 49% (5%) ============ ============ ============ Preferred stock dividend requirements $ 9 $ 11 $ 11 (18%) (18%) ============ ============ ============ Earnings applicable to common shares $ 1,535 $ 1,026 $ 1,622 50% (5%) ============ ============ ============ Compensation and benefits as a % of net revenues 46% 44% 23%
__________________ Note: Certain reclassifications have been made to prior period amounts to conform to the current presentation. F-2 MORGAN STANLEY DEAN WITTER & CO. Securities Income Statement Information (unaudited, dollars in millions)
Quarter Ended Percentage Change From: ----------------------------------------------- -------------------------- Feb 29, 2000 Feb 28, 1999 Nov 30, 1999 Feb 28, 1999 Nov 30, 1999 -------------- -------------- -------------- ------------ ------------ Investment banking $ 1,291 $ 934 $ 1,315 38% (2%) Principal transactions: Trading 2,277 1,659 1,138 37% 100% Investments 423 261 227 62% 86% Commissions 1,028 653 777 57% 32% Asset management, distribution and administration fees 387 277 336 40% 15% Interest and dividends 4,051 3,180 3,211 27% 26% Other 94 51 74 84% 27% -------------- -------------- -------------- Total revenues 9,551 7,015 7,078 36% 35% Interest expense 3,629 2,937 2,953 24% 23% -------------- -------------- -------------- Net revenues 5,922 4,078 4,125 45% 44% -------------- -------------- -------------- Compensation and benefits 3,067 2,088 1,000 47% 207% Occupancy and equipment 140 110 139 27% 1% Brokerage, clearing and exchange fees 102 84 99 21% 3% Information processing and communications 214 171 220 25% (3%) Marketing and business development 157 116 137 35% 15% Professional services 136 111 182 23% (25%) Other 174 105 144 66% 21% -------------- -------------- -------------- Total non-interest expenses 3,990 2,785 1,921 43% 108% -------------- -------------- -------------- Income before income taxes 1,932 1,293 2,204 49% (12%) Income tax expense 688 487 809 41% (15%) -------------- -------------- -------------- Net income $ 1,244 $ 806 $ 1,395 54% (11%) ============== ============== ============== Compensation and benefits as a % of net revenues 52% 51% 24% Non-compensation expenses as a % of net revenues 16% 17% 22% Profit margin (1) 21% 20% 34%
- ------------------------------------------------- (1) Net income as a % of net revenues. F-3 MORGAN STANLEY DEAN WITTER & CO. Asset Management Income Statement Information (unaudited, dollars in millions)
Quarter Ended Percentage Change From: ------------------------------------------ -------------------------- Feb 29, 2000 Feb 28, 1999 Nov 30, 1999 Feb 28, 1999 Nov 30, 1999 ------------ ------------ ------------ ------------ ------------ Investment banking $ 44 $ 23 $ 23 91% 91% Principal transactions: Investments 8 4 5 100% 60% Commissions 9 0 8 * 13% Asset management, distribution and administration fees 523 452 494 16% 6% Interest and dividends 13 27 15 (52%) (13%) Other 3 5 0 (40%) * ------------ ------------ ------------ Total revenues 600 511 545 17% 10% Interest expense 0 2 0 * -- ------------ ------------ ------------ Net revenues 600 509 545 18% 10% ------------ ------------ ------------ Compensation and benefits 186 156 169 19% 10% Occupancy and equipment 21 24 25 (13%) (16%) Brokerage, clearing and exchange fees 19 30 17 (37%) 12% Information processing and communications 18 21 28 (14%) (36%) Marketing and business development 36 33 30 9% 20% Professional services 21 30 48 (30%) (56%) Other 31 31 35 -- (11%) ------------ ------------ ------------ Total non-interest expenses 332 325 352 2% (6%) ------------ ------------ ------------ Income before income taxes 268 184 193 46% 39% Income tax expense 110 77 80 43% 38% ------------ ------------ ------------ Net income $ 158 $ 107 $ 113 48% 40% ============ ============ ============ Compensation and benefits as a % of net revenues 31% 31% 31% Non-compensation expenses as a % of net revenues 24% 33% 34% Profit margin (1) 26% 21% 21%
___________________________ (1) Net income as a % of net revenues. F-4 MORGAN STANLEY DEAN WITTER & CO. Credit Services Income Statement Information (unaudited, dollars in millions)
Quarter Ended Percentage Change From: ------------------------------------------------ --------------------------- Feb 29, 2000 Feb 28, 1999 Nov 30, 1999 Feb 28, 1999 Nov 30, 1999 ------------ ------------ ------------ ------------ ------------ Fees: Merchant and cardmember $ 443 $ 341 $ 402 30% 10% Servicing 287 253 318 13% (10%) ----------- ----------- ----------- Total non-interest revenues 730 594 720 23% 1% Interest revenue 733 556 622 32% 18% Interest expense 351 221 259 59% 36% ----------- ----------- ----------- Net interest income 382 335 363 14% 5% Provision for consumer loan losses 223 177 120 26% 86% ----------- ----------- ----------- Net credit income 159 158 243 1% (35%) ----------- ----------- ----------- Net revenues 889 752 963 18% (8%) ----------- ----------- ----------- Compensation and benefits 155 119 151 30% 3% Occupancy and equipment 14 12 14 17% -- Information processing and communications 114 117 128 (3%) (11%) Marketing and business development 278 246 328 13% (15%) Professional services 26 21 39 24% (33%) Other 70 42 65 67% 8% ----------- ----------- ----------- Total non-interest expenses 657 557 725 18% (9%) ----------- ----------- ----------- Income before income taxes 232 195 238 19% (3%) Income tax expense 90 71 113 27% (20%) ----------- ----------- ----------- Net income $ 142 $ 124 $ 125 15% 14% =========== =========== =========== Compensation and benefits as a % of net revenues 17% 16% 16% Non-compensation expenses as a % of net revenues 56% 58% 60% Profit margin (1) 16% 16% 13%
____________________ (1) Net income as a % of net revenues. F-5 MORGAN STANLEY DEAN WITTER & CO. Credit Services Income Statement Information (unaudited, dollars in millions) (Managed loan basis)
Quarter Ended Percentage Change From: ------------------------------------------------ --------------------------- Feb 29, 2000 Feb 28, 1999 Nov 30, 1999 Feb 28, 1999 Nov 30, 1999 ------------ ------------ ------------ ------------ ------------ Fees: Merchant and cardmember $ 585 $ 473 $ 536 24% 9% Servicing 0 0 0 -- -- ---------- ---------- ---------- Total non-interest revenues 585 473 536 24% 9% Interest revenue 1,440 1,181 1,288 22% 12% Interest expense 646 451 511 43% 26% ---------- ---------- ---------- Net interest income 794 730 777 9% 2% Provision for consumer loan losses 490 451 350 9% 40% ---------- ---------- ---------- Net credit income 304 279 427 9% (29%) ---------- ---------- ---------- Net revenues 889 752 963 18% (8%) ---------- ---------- ---------- Compensation and benefits 155 119 151 30% 3% Occupancy and equipment 14 12 14 17% -- Information processing and communications 114 117 128 (3%) (11%) Marketing and business development 278 246 328 13% (15%) Professional services 26 21 39 24% (33%) Other 70 42 65 67% 8% ---------- ---------- ---------- Total non-interest expenses 657 557 725 18% (9%) ---------- ---------- ---------- Income before income taxes 232 195 238 19% (3%) Income tax expense 90 71 113 27% (20%) ---------- ---------- ---------- Net income $ 142 $ 124 $ 125 15% 14% ========== ========== ========== Compensation and benefits as a % of net revenues 17% 16% 16% Non-compensation expenses as a % of net revenues 56% 58% 60% Profit margin (1) 16% 16% 13%
_________________________ (1) Net income as a % of net revenues. F-6 MORGAN STANLEY DEAN WITTER & CO. Financial Information and Statistical Data (unaudited)
Quarter Ended Percentage Change From: ----------------------------------------------- -------------------------- Feb 29, 2000 Feb 28, 1999 Nov 30, 1999 Feb 28, 1999 Nov 30, 1999 ------------ ------------ ------------ ------------ ------------ MSDW Period end common shares outstanding 1,134,181,285 1,141,179,340 1,104,630,098 (1%) 3% Book value per common share $ 15.31 $ 12.46 $ 14.85 23% 3% Shareholders' equity (millions) (1) $ 18,252 $ 15,237 $ 17,414 20% 5% Total capital (millions) (2) $ 43,540 $ 39,388 $ 39,699 11% 10% SECURITIES ($ billions) Private Client Group Global financial advisors 13,072 11,453 12,674 14% 3% Client assets $ 682 $ 475 $ 583 44% 17% Institutional Securities (3) Mergers and acquisitions announced transactions (4) MSDW global market volume $ 423.6 $ 109.7 $ 1,073.4 Rank 1 2 2 Worldwide equity and related issues (4) MSDW global market volume $ 13.1 $ 10.5 $ 53.4 Rank 2 1 2 ASSET MANAGEMENT ($ billions) Assets under management or supervision Products offered primarily to individuals Mutual funds Equity $ 115 $ 77 $ 94 49% 22% Fixed income 51 56 53 (9%) (4%) Money markets 51 41 47 24% 9% ------------- ------------- ------------- Total mutual funds 217 174 194 25% 12% ICS Assets 27 20 23 35% 17% Other 48 33 41 45% 17% --------------- --------------- --------------- Sub-total Individual 292 227 258 29% 13% --------------- --------------- --------------- Products offered primarily to institutional clients Mutual funds 41 34 39 21% 5% Separate accounts, pooled vehicle and other arrangements 122 124 128 (2%) (5%) --------------- --------------- --------------- Sub-total Institutional 163 158 167 3% (2%) --------------- --------------- --------------- Total assets under management or supervision $ 455 $ 385 $ 425 18% 7% =============== =============== ===============
____________________________________ (1) Includes preferred and common equity and preferred securities issued by subsidiaries. (2) Includes preferred and common equity, preferred securities issued by subsidiaries, capital units and non-current portion of long-term debt. (3) Source: Securities Data Corp. (4) Information is year to date and stated on a calendar year basis. F-7 MORGAN STANLEY DEAN WITTER & CO. Financial Information and Statistical Data (unaudited, dollars in millions)
Quarter Ended Percentage Change From: -------------------------------------------- --------------------------- Feb 29, 2000 Feb 28, 1999 Nov 30, 1999 Feb 28, 1999 Nov 30, 1999 ------------- -------------- --------------- ------------- ------------ CREDIT SERVICES Owned consumer loans Period end $ 23,757 $ 15,529 $ 20,998 53% 13% Average $ 23,191 $ 16,420 $ 18,341 41% 26% Managed consumer loans (1) Period end $ 41,988 $ 32,134 $ 37,975 31% 11% Average $ 41,023 $ 32,900 $ 35,608 25% 15% Interest yield 13.35% 14.06% 14.15% (0.71 pp) (0.80 pp) Interest spread 7.03% 8.41% 8.22% (1.38 pp) (1.19 pp) Net charge-off rate 4.66% 6.28% 4.63% (1.62 pp) 0.03 pp Delinquency rate (over 30 days) 5.57% 7.08% 6.32% (1.51 pp) (0.75 pp) Credit Card Transaction volume (in billions) $ 23.5 $ 15.5 $ 20.5 52% 15% Accounts (in millions) 39.2 36.9 38.5 6% 2% Active accounts (in millions) 22.8 20.8 22.1 10% 3% Average receivables per average active account (actual $) $ 1,816 $ 1,553 $ 1,654 17% 10% Discover/NOVUS Network increase in merchant locations (in thousands) 99 97 233 2% (58%)
____________________________________________________________ (1) Includes owned and securitized consumer loans. F-8 EX-99.1 2 PRESS RELEASE OF THE REGISTRANT DATED 03/23/2000 EXHIBIT 99.1 Contact: Investor Relations Media Relations John Beneke Jeanmarie McFadden 212-762-7282 212-762-7842 MORGAN STANLEY DEAN WITTER ANNOUNCES FIRST QUARTER NET INCOME OF $1.5 BILLION; RECORD NET REVENUES OF $7.4 BILLION; EARNINGS PER SHARE UP 52% NEW YORK, March 23, 2000 -- Morgan Stanley Dean Witter & Co. (NYSE: MWD) today reported net income of $1,544 million for the quarter ended February 29, 2000 -- a 49 percent increase from $1,037 million in last year's first quarter. Diluted earnings per share were $1.34 -- up 52 percent from $0.88 a year ago. First quarter net revenues (total revenues less interest expense and the provision for loan losses) increased to a record $7.4 billion -- 39 percent higher than last year. The annualized return on average common equity for the quarter was 36.3 percent. Philip J. Purcell, Chairman, and John J. Mack, President, said in a joint statement, "Our growth continues. We had a record quarter in net revenues and our earnings have more than doubled in the last two years. We continue to benefit from the strength and diversity of our revenue streams, with record results in equity sales and trading, individual securities and asset management. We also had another outstanding quarter in investment banking, and we achieved a record level of Discover Card receivables." SECURITIES The Company's Securities business posted net income of $1,244 million, a 54 percent increase from the first quarter of 1999. The increase reflects outstanding results in all of the Company's securities businesses. . The quarter marked a new high for institutional securities, with record revenues in equities and commodities and outstanding quarters in both investment banking and fixed income. Institutional securities continued to benefit from its strong global presence. . Equities' results were driven by record trading volumes and increased market volatility, with an unprecedented level of investor interest in the technology and telecommunications sectors. Fixed income achieved strong results, despite Y2K-related volume decreases early in the quarter, as it capitalized on end of quarter volatility in U.S. treasury markets and increased customer activity. Commodities benefited from the continuing rise in energy prices, as both crude oil and heating oil reached nine-year highs. . Investment banking had another outstanding quarter. Record revenues in equity underwriting reflected the robust markets in technology and telecommunications. Strong results in mergers and acquisitions were buoyed by the recent trends of convergence in the media and technology/internet sectors, and consolidation in telecommunications. For the first two months of calendar 2000, the Company ranked first in global M&A; first in North America and second worldwide in equity and equity-related underwritings; and maintained a leadership position in U.S. investment grade debt underwriting./1/ . The private client group also reported record first quarter results, driven by record volumes in listed and over-the-counter equity markets, strong sales of new issues, and higher revenues from the distribution of asset management products. _______________________ /1/ Source: Securities Data Corp. - Jan 1 to February 29, 2000. 2 The private client group's sales of asset management products rose to a new high during the quarter. . The number of global financial advisors in the Company's private client group rose to 13,072 -- an increase of 398 for the quarter and 1,619 over the last twelve months. Total client assets of $682 billion were more than $200 billion higher than a year ago. . The private equity group recognized record quarterly investment gains of $271 million compared with $191 million a year ago. These results included gains on private equity's holdings in Commerce One and Allegiance Telecom. ASSET MANAGEMENT Asset Management's first quarter net income increased 48 percent over a year ago to a record $158 million. The increase reflects substantial growth in the Company's assets under management -- driven by strong performance especially in its technology-related and equity growth products. . The Company's assets under management increased $70 billion, or 18 percent, over last year to a record $455 billion. . Retail assets increased $34 billion during the quarter and $65 billion from a year ago -- to stand at $292 billion. Institutional assets decreased $4 billion during the quarter but were up $5 billion compared to last year -- to stand at $163 billion. . The asset management business benefited from strong investment performance. Mutual Funds Magazine named the Company's Miller Anderson & Sherrerd Small Cap Growth fund 1999's "Fund of the Year". It also recognized the MSDW American Opportunities fund and the Van Kampen Emerging Growth fund as two of its "Funds of the Decade". . The Company's new MSDW 21/st/ Century Trend fund raised more than $570 million during the first quarter. 3 . Unit Investment Trust sales rose to a record $6.1 billion, approximately double the sales in the first quarter of last year. CREDIT SERVICES Credit Services net income increased by 15 percent to $142 million compared to $124 million in the first quarter of 1999 -- reflecting record transaction volume and consumer loan balances, and continued improvement in credit quality. . Merchant and Cardmember fees increased 24 percent from a year ago to $585 million. Transaction volume increased 52 percent to a record $23.5 billion, driven by higher sales volume and balance transfers. . Managed consumer loans rose to a record $42.0 billion, an increase of $10 billion, or 31 percent, from a year ago. . The consumer loan net charge-off rate declined to 4.66 percent this quarter from 6.28 percent last year. The over-30-day delinquency rate was 5.57 percent, compared to 7.08 percent a year ago. . New cardmember accounts of 1.7 million were more than 150 percent higher than last year's first quarter total. . Discover Card's registered Internet accounts increased by 900,000 from the first quarter of last year to reach a total of 1.4 million. . Transaction volume and consumer loan growth for the Morgan Stanley Dean Witter international credit card, launched last year in the U.K., continued to exceed the Company's expectations. The Company has repurchased approximately 14 million shares of its common stock since the end of fiscal 1999. The Company also announced that its Board of Directors declared a $.20 quarterly dividend per common share. The dividend is payable on April 28, 2000 to common shareholders of record on April 14, 2000. 4 Total capital at February 29, 2000 was $43.5 billion, including $18.3 billion of common and preferred stockholders' equity and preferred securities issued by subsidiaries. Book value per common share was $15.31, based on quarter-end shares outstanding of 1.1 billion. Morgan Stanley Dean Witter & Co. is a global financial services firm and a market leader in securities, asset management, and credit services. The Company has offices in New York, London, Tokyo, Hong Kong, and other principal financial centers around the world and has 488 securities branch offices throughout the United States. Access this press release on-line @www.msdw.com # # # (See Attached Schedules) This release may contain forward-looking statements. These statements, which reflect management's beliefs and expectations, are subject to risks and uncertainties that may cause actual results to differ materially. For a discussion of the risks and uncertainties that may affect the Company's future results, please see "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Company's 1999 Annual Report to Shareholders. 5 -----END PRIVACY-ENHANCED MESSAGE-----