Hampton HV Case

Hampton Machine Tool Company

Exhibit 1 Shipments at Selling Price (thousands of dollars)

1979

January 'eruary March  *pril May June July  *ugust ,ight months total Septemer -ctoer .o/emer 0ecemer

As Forecast Dec. 1978 1!"#$ 1!%7$ 1!&" 1!#" 1!$9" 1!+79 1!+%% 1!797 11!919

1!$99 1!"+7 1!"11 $!$9%

Actual %&1 &7$ 1!%&& 1!&& %7" 1!&$# 7$" #7 %!&%%

As Forecast Sept. 1979

$!1&" 1!# 1!&#+ $!$&

$!## $!### 1!## 1!### ##

'ore cast

Hampton Machine Tool Company

Exhibit 2 alance Sheets! 197%221979 (thousands of dollars) 1978 1979 Nov. Dec. Mar. Cash $!$# +91 #  *ccounts recei/ale! net 1!$+ 1!%&" 1!971 3n/entories $!&#1 $!+7% "!+7+ Current assets &!"&& +!%"$ !9#

June 1!1$ 1!%9" "!$7& &!"$1

Jul 1!&7% 1!$&9 "!&$+ &!71

Au!. 1!9 &%+ +!7&+ 7!##7

4ross fi5ed assets  *ccumulated depreciation .et fi5ed assets

+!#1# $!99% 1!#1$

+!#1# "!#1# 1!###

+!#1# "!#+# 97#

+!#1# "!#7# 9+#

+!#1# "!#%# 9"#

+!#1# "!#9# 9$#

&$

+#

"9

$+

$+

+$

7!++#

!%7$

&!99

7!$%

7!$

7!9&9

.otes payale! an  *ccounts payale  *ccruals Ta5es payale8 Customer ad/ances Current liailities

# "+% &1 1# %+# 1!%99

1!### "71 777 7+  1!#+# "!$&$

1!### &%1 %+9 "7" 1!#+# "!9+"

1!### "99 &7% "+  1!&& "!997

1!### &$1 % +#7  1!&& +!179

1!### 9+% $ +79  1!&& +!+

Common stoc (1# par /al Surplus .et orth

1!17% +!"&" !+1

+$% $!1%$ $!&1#

+$% $!%% "!#1&

+$% $!%&# "!$%%

+$% $!91% "!"+&

+$% $!99& "!+$+

Total liailities and net ort

7!++#

!%7$

&!99

7!$%

7!$

7!9&9

Prepaid e5penses Total assets

8Ta5 payments in 1979 include 7!### due March 1 on underpayment of 197% ta5es and four e:ual payments of 1%1!### due on the 1th of *pril! June! Septemer! and 0ecemer for estimated 1979 ta5 liaility ith any underpayment of 1979 ta5es due March 1! 19%#;

Hampton Machine Tool Company

Exhibit " 3ncome Statements! 197%221979 (thousands of dollars) Fiscal  #ear  En$in! Dec. 1979 "1%12%78 1978 Jan. .et sales 7!%+ 1!1 %&1 Cost of sales8 !#$ 1!1$$ +7+ 4ross profit $!%#$ +$9 "%7 Selling and admin e5pen 3nterest e5pense .et income efore ta5 3ncome ta5es .et income 0i/idends

Feb. &7$ "&9 "#"

Mar. 1!%&& 1!"&$ #+

Apr. 1!&& 1!1"7 +$9

Ma %7" &7 "#&

June 1!&$# 1!197 +$"

Jul 7$" 1# $1"

Au!. #7 $7& $"1

1!$9& # 1!#&

$+% # 1%1

1#" 1 $&9

&1  1 $$7

$# 1 $%+

17$  1 $+$

9& 1 19

1"#  1 $7%

%7 1 111

&&  1 1#

7$"

%7

1$9

1#9

1"&

11&

9+

1""

"

7$

7%"

9+

1+#

11%

1+%

1$&

1#1

1+

%

7%

#

$

#

#

#

#

#

1##

#

#

8 3ncludes depreciation charges of 1#!### in 197%! 1$!### in 0ecemer 19%7! and 1#!### per month in 1979;

Hampton Machine Tool Company

Ei!ht Months En$in! "1%8%79 %!&%% !%9$ $!79& 9$# 1$# 1!7& %+$ 91+ # 1##

Hampton Machine Tool Company

&a'pton Machine (ool )ro For'a State'ents (thousands of dollars) June 1!&$#

&istorical Jul 7$"

Au!. #7

1!"$7 $9" 1 $7% 1"" 1+

97 1$& 1 111 " %

"+$ 1& 1 1# 7$ 7%

Sept. $!1&" &## 1!"$# 1# $!#$ 1# +## $!+" ($7$) 1 ($%7) (1"%) (1+9)

1## +

# %

# 7%

# (1+9)

# $"#

# $+$

+ash ,plu! *ccounts recei/ale! net 3n/entories Current assets 4ross fi5ed assets  *ccumulated depreciation .et fi5ed assets Prepaid e5penses Total assets

1/102 1!%9" "!$7& &!"$1 +!#1# "!#7# 9+# $+ 7!$%

1/78 1!$&9 "!&$+ &!71 +!#1# "!#%# 9"# $+ 7!$

1/009 &%+ +!7&+ 7!##7 +!#1# "!#9# 9$# +$ 7!9&9

99 1!"$" "!""9 !"&1 +!#1# "!1## 91# +$ &!"1"

1/7 779 "!$"+ !#$# +!"&# "!11# 1!$# +$ &!"1$

7 1!&#+ "!1$9 !+99 +!"&# "!1$+ 1!$"7 +$ &!77%

,""1$!$& "!#$+ +!9% +!"&# "!1"7 1!$$" +$ &!$$"

.otes payale! an  *ccounts payale  *ccruals Ta5es payale8 Customer ad/ances Current liailities Common stoc (1# par /alue) Surplus .et orth Total liailities and net orth

1!### "99 &7% "+ 1!&& "!997 +$% $!%&# "!$%% 7!$%

1!### &$1 % +#7 1!&& +!179 +$% $!91% "!"+& 7!$

1!### 9+% $ +79 1!&& +!+ +$% $!99& "!+$+ 7!9&9

1!### &## $ 1&# 7$& "!#"% +$% $!%+7 "!$7 &!"1"

1!"# &## $ "# # $!%#7 +$% "!#77 "!# &!"1$

1!"# &## $ $9 # "!#"1 +$% "!"19 "!7+7 &!77%

# &## $ %%% # $!#+# +$% "!7 +!1%" &!$$"

$&

(119)

(%&#)

"#%

($+1)

(1!#97)

.et sales Purchases <3P in/entory reduction =a materials reduction Cost of goods sold 0epreciation -ther e5penses Cost of sales and other e5penses ,3T 3nterest e5pense .et income efore ta5es 3ncome ta5es .et income 0i/idends ,arnings retained

Change in cash

)ro For'a *ct. Nov. 1!# 1!&#+ &## &## # # 1# 1# 7# 7# 1# 1+ +## +## 1!11 1!119 "9# +%& 1 $# "7 +&& 1+ $$" $"# $+$

Dec. $!$& &## # 1# 7# 1+ +## 1!119 1!1+7 $# 1!1$7 +1 %&

1# +"&

&a'pton Machine (ool )ro3ecte$ +ash 4u$!et (thousands of dollars) Septe'ber *ctober Nove'ber

Dece'ber

Januar

Cash Inflows:

Collections of =ecei/ales> an ?oan> Total cash inflos>

2

2

2

2

2

2

2

2

2

2

Cash Outflows:

Payments of *ccounts Payale> -ther -perating -utflos> Purchase .e ,:uipment> Ta5 Payments> 3nterest Payments to an> Principal =epayments to an> 0i/idends> Total cash outflos> Reconciliation:

egining cash alance> .et cash flo> ,nding cash alance>