-----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, A/ltsxWxXEjYAijxQq+daC5wYxttQwj/msHqaE75yDsZnqyFxxH6IJc7M1T6gTvM +GW4079JtJs65ZZvxz0xrg== 0000950134-96-003700.txt : 19960726 0000950134-96-003700.hdr.sgml : 19960726 ACCESSION NUMBER: 0000950134-96-003700 CONFORMED SUBMISSION TYPE: 10-K/A PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19960331 FILED AS OF DATE: 19960725 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: MCDERMOTT J RAY SA CENTRAL INDEX KEY: 0000934590 STANDARD INDUSTRIAL CLASSIFICATION: WATER, SEWER, PIPELINE, COMM AND POWER LINE CONSTRUCTION [1623] IRS NUMBER: 721278896 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-K/A SEC ACT: 1934 Act SEC FILE NUMBER: 001-13570 FILM NUMBER: 96598868 BUSINESS ADDRESS: STREET 1: 1450 POYDRAS ST STREET 2: PO BOX 61829 CITY: NEW ORLEANS STATE: LA ZIP: 70112-6050 BUSINESS PHONE: 5045874956 MAIL ADDRESS: STREET 1: 1450 POYDRAS STREET STREET 2: PO BOX 61829 CITY: NEW ORLEANS STATE: LA ZIP: 70161-1829 10-K/A 1 AMENDMENT NO. 2 TO FORM 10-K 1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10 - K/A-2 [X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (FEE REQUIRED) For the fiscal year ended March 31, 1996 OR [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (NO FEE REQUIRED) For the transition period from _____________________ to ____________________ Commission File Number 1-13570 J. RAY McDERMOTT, S.A. - -------------------------------------------------------------------------------- (Exact name of registrant as specified in its charter) REPUBLIC OF PANAMA 72-1278896 - -------------------------------------------------------------------------------- (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 1450 POYDRAS STREET NEW ORLEANS, LOUISIANA 70112-6050 - -------------------------------------------------------------------------------- (Address of principal executive offices) (Zip Code) Registrant's Telephone Number, including area code (504) 587-5300 -------------- Securities Registered Pursuant to Section 12(b) of the Act: Name of each Exchange Title of each class on which registered ------------------- ----------------------- Common Stock, $0.01 par value New York Stock Exchange Securities registered pursuant to Section 12(g) of the Act: None Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities and Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. YES [X] NO [ ] Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of registrant's knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. [X] The aggregate market value of voting stock held by non-affiliates of the registrant was $305,343,980 as of April 23, 1996. The number of shares outstanding of the Company's Common Stock at April 23, 1996 was 40,197,946. DOCUMENTS INCORPORATED BY REFERENCE Portions of the Proxy Statement to be filed with the Securities and Exchange Commission pursuant to Regulation 14A under the Securities Exchange Act of 1934 in connection with the Company's 1996 Annual Meeting of Stockholders are incorporated by reference into Part III hereof. 2 J. RAY McDERMOTT, S.A. INDEX TO FINANCIAL STATEMENT SCHEDULES AND EXHIBITS
Page Report of Independent Auditors 2 Financial Statement Schedule Covered by Report of Independent Auditors: I Condensed Financial Information of Registrant 3 Signature of Registrant 9
All schedules other than the above have been omitted because they are not required or the information is included in the Consolidated Financial Statements, Notes thereto or in the Form 10-K/A-1 filed on June 18, 1996. -1- 3 REPORT OF INDEPENDENT AUDITORS The Board of Directors and Stockholders J. Ray McDermott, S.A. We have audited the consolidated financial statements of J. Ray McDermott, S.A. as of March 31, 1996 and 1995, and for each of the three years in the period ended March 31, 1996, and have issued our report thereon dated May 15, 1996. Our audits also included the financial statement schedule listed in the Index to Financial Statement Schedules and Exhibits in this Form 10-K/A-2. This schedule is the responsibility of the Company's management. Our responsibility is to express an opinion based on our audits. In our opinion, the financial statement schedule referred to above, when considered in relation to the basic financial statements taken as a whole, presents fairly in all material respects the information set forth therein. ERNST & YOUNG LLP New Orleans, Louisiana May 15, 1996 -2- 4 Schedule I J. RAY McDERMOTT, S.A. (PARENT COMPANY ONLY) BALANCE SHEET MARCH 31, 1996 AND 1995
ASSETS 1996 1995 ---- ---- (In thousands) Current Assets: Cash and cash equivalents $ 58,077 $ 11,776 Accounts receivable - trade 2,656 2,888 Accounts receivable - other 12,437 25,534 Accounts receivable from subsidiaries 84,038 121,023 Contracts in progress 1,280 12,478 Other current assets - 2,944 - ---------------------------------------------------------------------------------------------- Total Current Assets 158,488 176,643 - ---------------------------------------------------------------------------------------------- Investments in Subsidiaries and Other Investees, at Equity 525,095 510,524 - ---------------------------------------------------------------------------------------------- Property, Plant and Equipment, at Cost: Buildings 8,066 8,066 Machinery and equipment 52,924 60,649 Property under construction 4,160 2,729 - ---------------------------------------------------------------------------------------------- 65,150 71,444 Less accumulated depreciation 51,462 55,112 - ---------------------------------------------------------------------------------------------- Net Property, Plant and Equipment 13,688 16,332 - ---------------------------------------------------------------------------------------------- Notes Receivable from Subsidiaries 155,149 283,487 - ---------------------------------------------------------------------------------------------- Other Assets 39,573 37,193 - ---------------------------------------------------------------------------------------------- TOTAL $ 891,993 $ 1,024,179 ==============================================================================================
See accompanying notes to condensed financial information. -3- 5 Schedule I
LIABILITIES AND STOCKHOLDERS' EQUITY 1996 1995 ---- ---- (In thousands) Current Liabilities: Note payable to McDermott International $ - $ 39,750 Accounts payable 5,821 7,134 Accounts payable to McDermott International 19,134 57,405 Accrued liabilities - other 25,171 29,114 Advance billings on contracts 1,605 6,462 Income taxes 2,288 5,565 - ---------------------------------------------------------------------------------------------- Total Current Liabilities 54,019 145,430 - ---------------------------------------------------------------------------------------------- Note Payable to McDermott International 231,000 231,000 - ---------------------------------------------------------------------------------------------- Notes Payable to Subsidiaries 28,614 65,420 - ---------------------------------------------------------------------------------------------- Deferred and Non-Current Income Taxes 9,853 12,536 - ---------------------------------------------------------------------------------------------- Other Liabilities 14,610 10,322 - ---------------------------------------------------------------------------------------------- Contingencies - ---------------------------------------------------------------------------------------------- Stockholders' Equity: Preferred stock 32 37 Common stock 402 386 Capital in excess of par value 581,609 580,279 Deficit (14,576) (6,598) Currency translation adjustments (13,570) (14,633) - ---------------------------------------------------------------------------------------------- Total Stockholders' Equity 553,897 559,471 - ---------------------------------------------------------------------------------------------- TOTAL $ 891,993 $ 1,024,179 ==============================================================================================
-4- 6 Schedule I J. RAY McDERMOTT, S.A. (PARENT COMPANY ONLY) STATEMENT OF INCOME FOR THE THREE FISCAL YEARS ENDED MARCH 31, 1996
1996 1995 1994 ---- ---- ---- (In thousands) Revenues $ 24,002 $ 74,247 $ 43,111 - ---------------------------------------------------------------------------------------------------- Costs and Expenses: Cost of operations (excluding depreciation and amortization) 6,283 75,816 37,241 Depreciation and amortization 5,678 3,045 3,125 Selling, general and administrative expenses 27,401 15,111 31,966 - ---------------------------------------------------------------------------------------------------- 39,362 93,972 72,332 - ---------------------------------------------------------------------------------------------------- Operating Loss before Equity in Income of Investees (15,360) (19,725) (29,221) Equity in Income of Subsidiaries and Other Investees 29,877 73,860 130,293 - ---------------------------------------------------------------------------------------------------- Operating Income 14,517 54,135 101,072 - ---------------------------------------------------------------------------------------------------- Other Income (Expense): Interest income 17,749 7,988 260 Interest expense (28,533) (6,734) (103) Other - net (3,295) 8,008 (612) - ---------------------------------------------------------------------------------------------------- (14,079) 9,262 (455) - ---------------------------------------------------------------------------------------------------- Income before Provision for (Benefit from) Income Taxes and Cumulative Effect of Accounting Change 438 63,397 100,617 Provision for (Benefit from) Income Taxes 251 2,697 (18,520) - ---------------------------------------------------------------------------------------------------- Income before Cumulative Effect of Accounting Change 187 60,700 119,137 Cumulative Effect of Accounting Change - (1,326) - - ---------------------------------------------------------------------------------------------------- Net Income $ 187 $ 59,374 $ 119,137 ====================================================================================================
See accompanying notes to condensed financial information -5- 7 Schedule I J. RAY McDERMOTT, S.A. (PARENT COMPANY ONLY) STATEMENT OF CASH FLOWS FOR THE THREE FISCAL YEARS ENDED MARCH 31, 1996 INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
1996 1995 1994 --- ---- ---- (In thousands) CASH FLOWS FROM OPERATING ACTIVITIES: Net Income $ 187 $ 59,374 $ 119,137 - ---------------------------------------------------------------------------------------------------- Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation and amortization 5,678 3,045 3,125 Equity in income of subsidiaries and other investees, less dividends (15,787) (73,860) (130,293) Benefit from deferred taxes (17) (149) (8,194) Other (171) 1,303 (343) Changes in assets and liabilities: Net contracts in progress and advance billings 6,341 21,740 (13,081) Accounts and notes receivable 50,314 4,600 139,860 Accounts payable (58,791) 42,980 (197,921) Income taxes (5,943) 5,138 18,073 Other, net 385 (6,387) 48,336 - ---------------------------------------------------------------------------------------------------- NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES (17,804) 57,784 (21,301) - ---------------------------------------------------------------------------------------------------- CASH FLOWS FROM INVESTING ACTIVITIES: Proceeds from sale and disposal of assets 325 26 365 Purchases of property, plant and equipment (2,121) (3,153) (2,109) Decrease in loans to subsidiaries 127,438 - - Other (452) (375) - - ---------------------------------------------------------------------------------------------------- NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES 125,190 (3,502) (1,744) - ----------------------------------------------------------------------------------------------------
-6- 8 CONTINUED INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
1996 1995 1994 ---- ---- ---- (In thousands) CASH FLOWS FROM FINANCING ACTIVITIES: Decrease in short-term borrowing $ - $ - $ (775) Issuance of common stock 4,197 430 - Increase (decrease) in notes payable to McDermott International (20,542) - 58,040 Distributions to McDermott International - (46,249) (30,295) Decrease in notes payable to subsidiaries (36,807) - - Dividends paid (7,928) (900) - Other (5) - - - ---------------------------------------------------------------------------------------------------- NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES (61,085) (46,719) 26,970 - ---------------------------------------------------------------------------------------------------- EFFECTS OF EXCHANGE RATE CHANGES ON CASH - - (92) - ---------------------------------------------------------------------------------------------------- NET INCREASE IN CASH AND CASH EQUIVALENTS 46,301 7,563 3,833 - ---------------------------------------------------------------------------------------------------- CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 11,776 4,213 380 - ---------------------------------------------------------------------------------------------------- CASH AND CASH EQUIVALENTS AT END OF YEAR $ 58,077 $ 11,776 $ 4,213 ==================================================================================================== SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: Cash paid during the period for: Interest, including intercompany interest (net of amount capitalized) $ 29,030 $ 5,380 $ 104 Income taxes, net of refunds $ 1,138 $ 821 $ 344 ====================================================================================================
See accompanying notes to condensed financial information. -7- 9 Schedule I J. RAY McDERMOTT, S.A. (PARENT COMPANY ONLY) NOTES TO CONDENSED FINANCIAL INFORMATION FOR THE THREE FISCAL YEARS ENDED MARCH 31, 1996 - -------------------------------------------------------------------------------- NOTE 1 - BASIS OF PRESENTATION The accompanying financial statements have been prepared to present the unconsolidated financial position, results of operations and cash flows of J. Ray McDermott, S.A. (Parent Company Only). Investments in subsidiaries and other investees are stated at cost plus equity in undistributed earnings from date of acquisition. These Parent Company Only financial statements should be read in conjunction with J. Ray McDermott, S.A. consolidated financial statements. NOTE 2 - CONTINGENCIES J. Ray McDermott, S.A. is contingently liable under standby letters of credit totaling $79,420,362 at March 31, 1996 issued in the normal course of business. J. Ray McDermott, S.A. has guaranteed the indebtedness of certain of its subsidiaries and other investees. At March 31, 1996, these guarantees included $101,162,000 of loans to and $26,518,000 of standby letters of credit issued by certain subsidiaries and other investees. NOTE 3 - DIVIDENDS RECEIVED J. Ray McDermott, S.A. received dividends from its consolidated subsidiaries of $14,090,000, for the year ended March 31, 1996. -8- 10 SIGNATURE OF THE REGISTRANT Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this amendment to be signed on its behalf by the undersigned, thereunto duly authorized. J. RAY McDERMOTT, S.A. ---------------------- (REGISTRANT) By: s/Daniel R. Gaubert ---------------------- Daniel R. Gaubert Vice President, Finance and Controller July 25, 1996 -9- -----END PRIVACY-ENHANCED MESSAGE-----