UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
DC 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): May 6, 2005
Kaman
Corporation
(Exact
Name of Registrant as Specified in Its Charter)
Connecticut
(State or
Other Jurisdiction of
Incorporation)
|
0-1093 |
06-0613548 | |
|
(Commission
File Number) |
(IRS
Employer Identification No.) | |
|
1332
Blue Hills Avenue, Bloomfield, Connecticut |
06002 | |
|
(Address
of Principal Executive Offices) |
(Zip
Code) |
(860)
243-7100
(Registrant's
Telephone Number, Including Area Code)
Not
Applicable
(Former
Name or Former Address, if Changed Since Last Report)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions (see General Instruction A.2. below):
|
o |
Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425) |
|
o |
Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12) |
|
o |
Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b)) |
|
o |
Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c)) |
Item
2.02. Results
of Operations and Financial Condition
On May 6,
2005, the Company issued a press release describing the Company's financial
results for the quarter ended April 1, 2005. A copy of this press release is
furnished as Exhibit 99.1 hereto and is incorporated herein by
reference.
Item
9.01. Financial
Statements and Exhibits
(c) Exhibits
The
following document is furnished as an Exhibit pursuant to Item 2.02
hereof:
|
Exhibit
99.1 - Press Release of the Company regarding financial performance for
the quarter ended April 1, 2005, dated May 6,
2005. |
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.
|
KAMAN
CORPORATION | ||
|
By: |
/s/
Robert M. Garneau | |
|
Robert
M. Garneau | ||
|
Executive
Vice President and | ||
|
Chief
Financial Officer | ||
Date: May
6, 2005
Index to
Exhibits
|
Exhibit |
Description |
|
|
99.1 |
Press
release dated May 6, 2005 |
Attached |
Exhibit
99.1
KAMAN
REPORTS FIRST QUARTER 2005 RESULTS
BLOOMFIELD,
Connecticut (May 6, 2005) - Kaman
Corp. (NASDAQ:KAMNA) today reported financial results for the first quarter
ended April 1, 2005.
Net
earnings for the first quarter of 2005 were $4.7 million, or $0.21 per share
diluted, compared to $1.2 million, or $0.05 per share diluted, in the first
quarter of 2004. The company paid a quarterly dividend at the rate of $0.11 per
share.
Net sales
for the first quarter of 2005 were $263.3 million, compared to $245.2 million in
the first quarter of 2004.
Paul R.
Kuhn, chairman, president and chief executive officer, said, “We are pleased
with our performance in the first quarter of 2005, as it reflects the efforts we
have made to build and improve the company. There was positive momentum in each
of the segments: Our Industrial Distribution and Music segments and the Kamatics
subsidiary within our Aerospace segment continued to show strength, benefiting
from improved demand within their respective customer bases. The quarter also
benefited from the long-term actions we have taken over the past three years,
including an increased focus on subcontract activity that has yielded an
expanded, more efficient aerostructures plant in Jacksonville that is now
bringing in new business; a series of acquisitions and divestitures that have
focused resources and critical mass into businesses that we believe hold
significant promise for the future; a lean-thinking mentality and culture that
has improved our processes and competitiveness; and the reorganization of our
Aerospace subsidiary into new divisions that is addressing differences among its
various businesses and providing for a more focused management
structure.”
Page
2 of 11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
A summary
of segment information follows:
Summary
of Segment Information
(In
millions)
|
|
For
the Three Months Ended | ||||||
|
|
April
1, 2005(1) |
April
2, 2004(1)
(2) |
| ||||
Net
sales: |
|||||||
|
Aerospace |
$ |
65.7 |
$ |
59.3 |
|||
|
Industrial
Distribution |
156.0 |
145.6 |
|||||
|
Music |
41.6 |
40.3 |
|||||
|
263.3 |
245.2 |
||||||
|
Operating
income: |
|||||||
|
Aerospace |
7.6 |
3.0 |
|||||
|
Industrial
Distribution |
8.5 |
5.0 |
|||||
|
Music |
2.6 |
2.0 |
|||||
|
Corporate
expense (3) |
(9.5 |
) |
(6.7 |
) | |||
|
Operating
income |
9.2 |
3.3 |
|||||
|
Interest
expense, net |
(.7 |
) |
(.8 |
) | |||
|
Other
expense, net |
(.3 |
) |
(.4 |
) | |||
|
Earnings
before income taxes |
$ |
8.2 |
$ |
2.1 |
|||
(1) The
company has a calendar year-end; however, its first three fiscal quarters follow
a 13-week convention, with the first quarter ending on a Friday. The first
quarter for 2005 and 2004 end on April 1, 2005 and April 2, 2004.
(2)
As
reported in the year-end 2004 Form 10-K, the company has restated its 2004
statement of operations for the first quarter of 2004. The adjustment decreased
earnings per share diluted from $0.06, originally reported, to $0.05 in the
first quarter 2004.
(3)
“Corporate
expense” increased for the quarter ended April 1, 2005 compared to the first
quarter of 2004, primarily due to a $1.7 million increase for the long-term
incentive program, a $0.8 million increase in reserves associated with the
closed Moosup facility, a $0.8 million increase attributable to fringe benefits
and a $0.3 million increase in audit fees offset to some degree by a $1.0
million decrease in stock appreciation rights expense.
-more-
Page
3 of 11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
REPORT
BY SEGMENT
Aerospace
Segment
In
2004, the
company realigned its Kaman Aerospace subsidiary in order to provide for a more
focused management structure. Kaman Aerospace now has three operating divisions:
Aerostructures, Fuzing, and Helicopters, which, together with the Kamatics
subsidiary comprise the four principal operating units of the Aerospace segment.
The
segment, which includes all of these units plus the Electro-optics Development
Center (EODC), had a 2005 first quarter operating profit of $7.6 million,
compared to $3.0 million a year ago. First quarter results for 2005 and 2004
include $0.7 million and $0.8 million respectively in idle facility costs,
primarily related to the Helicopter Division. Segment sales for the first
quarter of 2005 were $65.7 million compared to $59.3 million a year ago.
Mr. Kuhn
commented, “Kamatics performed well, as strong demand led to another quarter of
record sales for that subsidiary. The Aerospace segment also benefited from the
improvements we have achieved within our Aerostructures Division, where results
for the Jacksonville facility shifted from an operating loss a year ago to the
beginning of profitability in the 2005 first quarter. This was driven by the
actions we have taken to improve operational efficiencies as well as by
improving order rates and capacity utilization arising from contract wins and
improving order flow. The Helicopters Division also contributed to operating
earnings. These positives were somewhat offset, however, by
operating losses at the Fuzing Division, principally due to additional contract
losses on certain Dayron programs and additional warranty related reserves
discussed below.
Overall, Kamatics was the predominant contributor to Aerospace segment operating
profits in the first quarter.”
Beginning
in the first quarter of 2005, the company is reporting net sales for each of the
major Aerospace segment operating units.
Aerostructures
Division:
The
Aerostructures Division had net sales of $12.9 million in the 2005 first
quarter, compared to $10.7 million a year ago. Aerostructures Division net sales
for the full year 2004 were $46.9 million. Operations are conducted from the
company’s Jacksonville, Florida and Wichita, Kansas facilities.
The
business of the Aerostructures Division involves commercial and military
aircraft programs, including production of aircraft subassemblies and other
parts for commercial airliners as well as the C-17 military transport and
helicopter subcontract work.
For the
first time since consolidating its aircraft subassembly and parts manufacturing
in Jacksonville in mid-2003, the facility achieved profitability and quality
performance improvements have led to improved customer satisfaction ratings. An
important new award that should help broaden the business base was achieved in
the third quarter of 2004 under which Kaman will manufacture the cockpit for
four models of the Sikorsky BLACK HAWK helicopter. The initial work, having a
value of $27.7 million, covers 80 units that are currently on contract for
production through 2006. Follow-on options, if fully exercised, would have a
total potential value to Kaman of approximately $100.0 million and would include
the fabrication of approximately 349 cockpits. The first cockpit was delivered
to Sikorsky in April 2005.
Page
4 of 11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
Kaman is
a member of an international team that includes Lockheed Martin, Bell
Helicopter, and AgustaWestland that was selected in January 2005 by the U.S.
Government to provide the next “Marine One” presidential helicopter. In that
capacity, Kaman is bidding on a share of the work being sourced in the U.S.
Fuzing
Division:
The
Fuzing Division had net sales of $12.8 million in the 2005 first quarter,
compared to $9.0 million in the prior year period. Fuzing Division net sales for
the full year 2004 were $57.0 million. Principal operations are conducted at the
company’s Middletown, Connecticut and Orlando, Florida (Dayron) facilities.
The
division manufactures safe, arm and fuzing devices for a number of major missile
and bomb programs as well as precision measuring and mass memory systems for
commercial and military applications.
As
previously discussed, the company has been working to resolve two
warranty-related matters for which it recorded a $3.5 million charge in the
fourth quarter of 2004. One of the issues involves a supplier’s recall of a
switch embedded in certain Dayron bomb fuzes. Approximately $2.7 million of the
fourth quarter 2004 charge was recorded to address this matter. The second
warranty issue involves bomb fuzes manufactured for the U. S. Army utilizing
systems in place at the time Dayron was acquired by Kaman that have since been
found to contain an incorrect part. Approximately $0.8 million of the fourth
quarter charge was recorded to address this matter. In connection with this
issue, on March 18, 2005, the company was notified that the U.S. Attorney's
Office for the Middle District of Florida and the Defense Criminal Investigative
Service had initiated an investigation into the matter. Dayron is cooperating
fully with the investigation and working with these authorities to resolve the
matter in a mutually satisfactory manner. In the first quarter of 2005 the
company took an additional $0.7 million charge to account for its current best
estimate of the additional cost associated with this matter.
Dayron
has a contract with the U.S. Air Force for development and production of the
advanced FMU-152A/B Joint Programmable Fuze (JPF). The contract has a potential
value of $168.7 million if all options for future years’ production are
exercised. Releases under this contract total approximately $36.4 million to
date. During the quarter, the company continued to work on materials flow and
manpower ramp-up to meet production requirements. As deliveries to the U. S.
military increase under the contract, management expects that efficiencies will
also increase and that program profitability will improve, with further
enhancement once orders are received from allied militaries.
Page
5 of 11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
Helicopters
Division:
The
Helicopters Division had net sales of $15.2 million in the 2005 first quarter,
compared to $18.0 million in the 2004 period. Helicopters Division net sales for
the full year 2004 were $67.0 million, including the effect of an $18.2 million
negative sales adjustment to eliminate the company’s investment in contracts
with MD Helicopters, Inc. Helicopters’ operations are conducted primarily from
the company’s Bloomfield, Connecticut facilities.
Production
of the 11 SH-2G(A) aircraft for the Australia program is essentially complete.
As previously reported, the aircraft lack the full Integrated Tactical Avionics
System (ITAS) software and progress is continuing on this element of the
program. The company currently expects to deliver the first fully operational
aircraft in the third quarter of 2005, after which all 11 aircraft will undergo
a final acceptance process by the Royal Australian Navy.
The
company continues to support K-MAX helicopters that are operating with customers
in the field. In February the company sold a previously leased K-MAX for $3.6
million.
During
the first quarter, the company continued to work with the U.S. Naval Air Systems
Command (NAVAIR) and the General Services Administration toward establishing a
purchase price for that portion of the Bloomfield, Connecticut complex that the
company currently leases from NAVAIR. This could possibly include the company
undertaking some level of the environmental remediation that may be legally
required in the event of a sale of the property. The company also continued to
work with government and environmental authorities to prepare the closed Moosup,
Connecticut facility for eventual sale.
Kamatics
Subsidiary:
Kamatics
(including
RWG, the company’s German aircraft bearing manufacturing arm) generated
net sales of $23.0 million in the first quarter of 2005, compared to $19.8
million in the comparable 2004 period. Kamatics net sales for the full year 2004
were $77.1 million. Operations are conducted at the company’s facilities in
Bloomfield, Connecticut and Dachsbach, Germany.
Kamatics’
proprietary self-lubricating bearings are currently in use in almost all
military and commercial aircraft produced in North and South America and Europe,
and are market leading products in the highly specialized end of the aircraft
bearing market. General business conditions in the primary aerospace markets
remained strong, with increased order activity from Boeing, Airbus and other
customers in both the commercial and military sectors contributing to strong
performance in the quarter. As the aviation sector continued to strengthen, the
company increased production levels while maintaining delivery schedules,
leading to additional sales and growth in market presence.
Page
6 of 11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
Other
Aerospace Matters:
As
previously reported, EODC, which makes up the balance of Aerospace Segment
sales, submitted a $6.3 million claim to the University of Arizona (University)
in April 2004 to recover additional costs which the company believes are a
result of changes in the scope of a project being performed under a $12.8
million fixed-price contract with the University. Having been unable to resolve
the matter, Kaman filed suit in September 2004 to recover these costs from the
University and discontinued work on the project. The University subsequently
filed a counterclaim and the litigation process is ongoing.
Industrial
Distribution Segment
First
quarter operating profits for the Industrial Distribution segment were $8.5
million for the 2005 quarter, compared to $5.0 million in the 2004 period. Net
sales were $156.0 million in the 2005 first quarter, compared to $145.6 million
a year ago. Industrial Distribution operations are headquartered in Windsor,
Connecticut and conducted from nearly 200 locations in the U.S., Canada and
Mexico.
Kuhn
said, “The Industrial Distribution segment achieved a 7 percent increase in
sales volume that contributed $1.6 million of the growth in operating profit.
The company also benefited during the quarter from the one-time effects of
certain price increases and a higher level of realized vendor incentives in the
form of rebates. The company competed well during the quarter, winning a new
national account relationship with the Chemical Lime Company.
“The
strong industrial market continued in a positive trend throughout the first
quarter. On balance, the market continues to be positive and stable, but there
is some sense developing that markets in the western portions of North America,
driven by strength in the primary materials markets - and the Central region,
driven by strength in the paper, mining and printing accounts - may do better
this year than those in the Northeast where certain original equipment
manufacturing (OEM) sectors may have softened somewhat. We are watching to see
if product availability becomes an issue because global demand for basic
materials such as scrap steel, coal, cement and copper has been outpacing
supply, leading to longer lead times.”
Kaman is
the third largest North American industrial distributor serving the bearings,
electrical/mechanical power transmission, fluid power, motion control and
materials handling markets. Kaman offers more than 1.5 million items, as well as
value-added services to a base of more than 50,000 customers spanning nearly
every sector of industry. The company now covers 70 of the top 100 industrial
markets in the U.S. This segment continues to track the U.S. Industrial
Production Index and is affected to a large extent by the overall climate for
its customer industries, including overall plant capacity utilization levels and
the effect of pricing spikes and/or interruptions for basic commodities such as
steel and oil.
Page
7 of 11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
Music
Segment
The Music
segment’s first quarter operating profit was $2.6 million for 2005, compared to
$2.0 million for the first quarter of 2004. Net sales for the 2005 quarter were
$41.6 million, compared to $40.3 million a year ago. Music segment operations
are headquartered in Bloomfield, Connecticut and conducted from a manufacturing
plant in New Hartford, Connecticut and strategically placed warehouse facilities
to cover the North American markets.
Kuhn
said, “The Music segment continued to perform well, with sales increasing and
operating margins improving. While Christmas season sales were reasonably good
last year, they were not as good as many retailers had stocked for, thereby
leaving these retailers with excess inventories going into 2005 that had to be
worked off. Once that was accomplished, market conditions improved and orders
gathered strength, leading to solid performance in the quarter.”
The
company is watching U.S. consumer sentiment along with other important variables
that have the potential to affect this segment. For instance, the increasing
quality and continually lower cost of products imported from Asia had led to
price deflation in the musical instrument business over the past several years.
This appears to have bottomed out as these supplier societies face the effects
of increasing costs associated with raw materials, electric power shortages and
increasing wages within their own economies. If, in fact, such a bottoming out
has occurred, that would be a benefit to the segment. In addition, the lower
value of the dollar has helped the segment’s export sales while, on the other
hand, increasing the costs of the company’s imported products from suppliers in
Japan, Taiwan, Korea and Thailand.
Kaman is
the largest independent distributor of musical instruments and accessories in
the United States, offering more than 15,000 products for amateurs and
professionals. While the vast majority of Kaman’s music sales are to North
American customers, the company has been building its presence in European,
Asian and
Australian markets as well. The business is affected by changes in consumers’
musical tastes and interests and by actual consumer spending levels.
A
principal strategy of the company over the past several years has been to add
popular premier branded products that can be brought to market exclusively by
Kaman. An important industry trend of the past several years has been
consolidation in the retail market with the growth in the very large retail
chains. The concentration of the company’s sales to these large customers is
increasing. Kaman believes it has built upon its competitive advantages by
creating and maintaining industry-leading distribution systems and the
computerized business-to-business capabilities that large national retailers
increasingly require, while continuing to support its traditional base of small
retailers.
Page
8 of 11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
Concluding
Remark
Mr. Kuhn
concluded, “We are pleased with our first quarter results. Industrial
Distribution, Music and Kamatics continued to perform well. We continued to work
on our Aerospace businesses with meaningful progress in the Aerostructures
Division as the expanded Jacksonville plant moved into profitability. We also
made progress in the Fuzing and Helicopter divisions, and hope to keep the
momentum moving in the right direction on those as the fuzing issues are
resolved and as we move closer to completion of the SH-2G(A) helicopter program
for Australia.”
Forward-Looking
Statements
This
release may contain forward-looking information relating to the corporation's
business and prospects, including aerostructures and helicopter subcontract
programs and components, advanced technology products, the SH-2G and K-MAX
helicopter programs, the industrial distribution and music businesses, operating
cash flow, and other matters that involve a number of uncertainties that may
cause actual results to differ materially from expectations. Those uncertainties
include, but are not limited to: 1) the successful conclusion of competitions
for government programs and thereafter contract negotiations with government
authorities, both foreign and domestic; 2) political conditions in countries
where the corporation does or intends to do business; 3) standard government
contract provisions permitting renegotiation of terms and termination for the
convenience of the government; 4) economic and competitive conditions in markets
served by the corporation, particularly defense, commercial aviation, industrial
production and consumer market for music products, as well as global economic
conditions; 5) satisfactory completion of the Australian SH-2G(A)program,
including successful completion and integration of the full ITAS software; 6)
receipt and successful execution of production orders for the JPF U.S.
government contract including the exercise of all contract options and receipt
of orders from allied militaries, as both have been assumed in connection with
goodwill impairment evaluations; 7) satisfactory resolution of the
EODC/University of Arizona litigation; 8) achievement of enhanced business base
in the Aerospace segment in order to better absorb overhead and general and
administrative expenses, including successful execution of the contract with
Sikorsky for the BLACK HAWK Helicopter program; 9) satisfactory results of
negotiations with NAVAIR concerning the corporation's leased facility in
Bloomfield, Conn.; 10) profitable integration of acquired businesses into the
corporation's operations; 11) changes in supplier sales or vendor incentive
policies; 12) the effect of price increases or decreases; 13) pension plan
assumptions and future contributions; 14) continued availability of raw
materials in adequate supplies; 15) satisfactory resolution of the supplier
switch and incorrect part issues attributable to Dayron suppliers and others;
16) cost growth in connection with potential environmental remediation
activities related to the Bloomfield and Moosup facilities; 17) successful
replacement of the Corporation’s revolving credit facility upon its expiration
in November 2005; 18) changes in laws and regulations ,taxes, interest rates,
inflation rates, general business conditions and other factors and 19) the
effects of currency exchange rates and foreign competition on future operations.
Any forward-looking information provided in this release should be considered
with these factors in mind. The Corporation assumes no obligation to update any
forward-looking statements contained in this release.
###
Contact:
Russell H. Jones
SVP,
Chief Investment Officer & Treasurer
(860)
243-6307
rhj-corp@kaman.com
Page 9 of
11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
KAMAN
CORPORATION AND SUBSIDIARIES
Condensed
Consolidated Statements of Operations
(In
thousands except per share amounts)
|
|
For
the Three Months Ended | ||||||
|
|
April
1, 2005 |
April
2, 2004 |
|||||
|
Net
sales |
$ |
263,306 |
$ |
245,151 |
|||
|
Costs
and expenses: |
|||||||
|
Cost
of sales |
192,411
|
183,412 |
|||||
|
Selling,
general and administrative expense |
62,178
|
58,720 |
|||||
|
Other
operating income |
(458 |
) |
(318 |
) | |||
|
Interest
expense, net |
712
|
795 |
|||||
|
Other
expense, net |
238 |
484 |
|||||
|
255,081 |
243,093 |
||||||
|
Earnings
before income taxes |
8,225
|
2,058 |
|||||
|
Income
taxes |
3,520 |
885 |
|||||
|
Net
earnings |
$ |
4,705 |
$ |
1,173 |
|||
|
Net
earnings per share: |
|||||||
|
Basic |
$ |
.21 |
$ |
.05 |
|||
|
Diluted
(1) |
$ |
.21 |
$ |
.05 |
|||
|
Weighted
average shares outstanding: |
|||||||
|
Basic |
22,778 |
22,648 |
|||||
|
Diluted
|
23,649 |
23,660 |
|||||
|
Dividends
declared per share |
$ |
.11 |
$ |
.11 |
|||
(1) The
calculated diluted per share amount for the three months ended April 2, 2004 is
anti-dilutive, therefore, amount shown is equal to the basic per share
calculation.
Page
10 of 11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
KAMAN
CORPORATION AND SUBSIDIARIES
Condensed
Consolidated Balance Sheets
(In
thousands)
|
|
April
1, 2005 |
December
31, 2004 |
|||||
Assets |
|||||||
Current
assets: |
|||||||
|
Cash
and cash equivalents |
$ |
12,136 |
$ |
12,369 |
|||
|
Accounts
receivable, net |
202,516 |
190,141 |
|||||
|
Inventories |
199,572 |
196,718 |
|||||
|
Deferred
income taxes |
34,665 |
35,837 |
|||||
|
Other
current assets |
16,111 |
15,270 |
|||||
|
Total
current assets |
465,000 |
450,335 |
|||||
|
Property,
plant and equipment, net |
48,180 |
48,958 |
|||||
|
Goodwill
and other intangible assets, net |
55,884 |
55,538 |
|||||
|
Other
assets |
7,426 |
7,500 |
|||||
$ |
576,490 |
$ |
562,331 |
||||
|
Liabilities
and shareholders’ equity |
|||||||
|
Current
liabilities: |
|||||||
|
Notes
payable |
$ |
8,712 |
$ |
7,255 |
|||
|
Current
portion of long-term debt |
39,036 |
17,628 |
|||||
|
Accounts
payable - trade |
70,098 |
74,809 |
|||||
|
Accrued
contract losses |
30,848 |
37,852 |
|||||
|
Accrued
restructuring costs |
4,115 |
3,762 |
|||||
|
Other
accrued liabilities |
36,635 |
38,961 |
|||||
|
Advances
on contracts |
17,950 |
16,721 |
|||||
|
Other
current liabilities |
25,091 |
26,305 |
|||||
|
Income
taxes payable |
4,134 |
2,812 |
|||||
|
Total
current liabilities |
236,619 |
226,105 |
|||||
|
Long-term
debt, excluding current portion |
16,856 |
18,522 |
|||||
|
Other
long-term liabilities |
35,695 |
33,534 |
|||||
|
Shareholders’
equity |
287,320 |
284,170 |
|||||
$ |
576,490 |
$ |
562,331 |
Page
11 of 11
“Kaman
Reports First Quarter 2005 Results”
May
6, 2005
KAMAN
CORPORATION AND SUBSIDIARIES
Condensed
Consolidated Statements of Cash Flows
(In
thousands)
|
|
For
the Three Months Ended | ||||||
|
|
April
1, 2005 |
April
2, 2004 |
|||||
Cash
flows from operating activities: |
|||||||
|
Net
earnings |
$ |
4,705 |
$ |
1,173 |
|||
|
Depreciation
and amortization |
2,289
|
2,238
|
|||||
|
Provision
for losses on accounts receivable |
53 |
358 |
|||||
|
Deferred
income taxes |
1,233 |
- |
|||||
|
Other,
net |
2,320 |
1,025
|
|||||
|
Changes
in current assets and liabilities, |
|||||||
|
excluding
effects of acquisitions: |
|||||||
|
Accounts
receivable |
(12,420 |
) |
(16,353 |
) | |||
|
Inventory |
(3,431 |
) |
(10,174 |
) | |||
|
Income
taxes receivable |
- |
1,043 |
|||||
|
Accounts
payable |
(4,709 |
) |
(807 |
) | |||
|
Accrued
contract losses |
(7,005 |
) |
494 |
||||
|
Accrued
restructuring costs |
353 |
(664 |
) | ||||
|
Advances
on contracts |
1,229 |
273
|
|||||
|
Income
taxes payable |
1,322 |
763
|
|||||
|
Changes
in other current assets and liabilities |
(4,389 |
) |
(2,428 |
) | |||
|
Cash
provided by (used in) operating activities |
(18,450 |
) |
(23,059 |
) | |||
|
Cash
flows from investing activities: |
|||||||
|
Expenditures
for property, plant & equipment |
(1,098 |
) |
(1,586 |
) | |||
|
Acquisition
of businesses, less cash acquired |
(367 |
) |
- |
||||
|
Other,
net |
711 |
370
|
|||||
|
Cash
provided by (used in) investing activities |
(754 |
) |
(1,216 |
) | |||
|
Cash
flows from financing activities: |
|||||||
|
Changes
in notes payable |
1,456 |
3,158 |
|||||
|
Changes
in debt |
19,741 |
25,996 |
|||||
|
Proceeds
from exercise of employee stock plans |
278 |
309 |
|||||
|
Purchase
of treasury stock |
- |
(4 |
) | ||||
|
Dividends
paid |
(2,504 |
) |
(2,489 |
) | |||
|
Cash
provided by (used in) financing activities |
18,971 |
26,970 |
|||||
|
Net
increase (decrease) in cash and cash equivalents |
(233 |
) |
2,695 |
||||
|
Cash
and cash equivalents at beginning of period |
12,369 |
7,130 |
|||||
|
Cash
and cash equivalents at end of period |
$ |
12,136 |
$ |
9,825 |
|||
###