| GATEWAY 2000, INC. |
| CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) |
| in thousands (except per share amounts) |
| |
|
|
|
|
|
|
|
|
|
| |
|
|
Three months ended Sept 30, |
|
Nine months ended Sept 30, |
| |
|
|
1997 |
|
1996 |
|
1997 |
|
1996 |
| |
|
|
|
|
|
|
|
|
|
| Net sales |
|
|
$1,504,851 |
|
$1,202,933 |
|
$4,316,845 |
|
$3,482,398 |
| Cost of goods sold |
|
|
1,309,601 |
|
979,555 |
|
3,595,444 |
|
2,840,518 |
| Gross profit |
|
|
195,250 |
|
223,378 |
|
721,401 |
|
641,880 |
| Selling, general and administrative expenses |
|
|
219,258 |
|
135,621 |
|
570,680 |
|
412,820 |
| Nonrecurring expenses |
|
|
113,842 |
|
0 |
|
113,842 |
|
0 |
| Operating income (loss) |
|
|
(137,850) |
|
87,757 |
|
36,879 |
|
229,060 |
| Other, net |
|
|
(5,612) |
|
(6,087) |
|
(20,195) |
|
(19,086) |
| Income (loss) before income taxes |
|
|
(132,238) |
|
93,844 |
|
57,074 |
|
248,146 |
| Provision (benefit) for income taxes |
|
|
(25,125) |
|
33,148 |
|
40,187 |
|
85,610 |
| Net income (loss) |
|
|
($107,113) |
|
$60,696 |
|
$16,887 |
|
$162,536 |
| |
|
|
|
|
|
|
|
|
|
| Net income (loss) per share |
|
|
($0.68) |
|
$0.39 |
|
$0.11 |
|
$1.04 |
| Primary weighted average shares outstanding |
|
|
156,875 |
|
156,276 |
|
156,373 |
|
155,945 |
| |
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| GATEWAY 2000, INC. |
| CONSOLIDATED BALANCE SHEETS (Unaudited) |
| (in thousands) |
| |
|
|
|
|
| |
|
|
|
|
September 30, 1997 |
|
December 31, 1996 |
|
|
| |
ASSETS |
|
|
|
|
|
|
|
|
| |
Current assets: |
|
|
|
|
|
|
|
|
| |
Cash and cash equivalents |
|
|
|
$273,987 |
|
$516,360 |
|
|
| |
Marketable securities |
|
|
|
21,403 |
|
- |
|
|
| |
Accounts receivable, less allowance for uncollectible |
|
|
|
|
|
|
|
|
| |
accounts of $32,895 and $18,968, respectively |
|
|
|
492,660 |
|
449,723 |
|
|
| |
Inventory |
|
|
|
376,648 |
|
278,043 |
|
|
| |
Other |
|
|
|
165,378 |
|
74,216 |
|
|
| |
Total current assets |
|
|
|
1,330,076 |
|
1,318,342 |
|
|
| |
Property, plant and equipment, net |
|
|
|
311,269 |
|
242,365 |
|
|
| |
Software costs, net |
|
|
|
39,965 |
|
77,073 |
|
|
| |
Intangibles, net |
|
|
|
87,350 |
|
9,869 |
|
|
| |
Other assets |
|
|
|
63,971 |
|
25,762 |
|
|
| |
|
|
|
|
$1,832,631 |
|
$1,673,411 |
|
|
| |
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
| |
LIABILITIES AND STOCKHOLDERS' EQUITY |
|
|
|
|
|
|
|
|
| |
Current liabilities: |
|
|
|
|
|
|
|
|
| |
Notes payable and current maturities of long-term obligations |
|
|
|
$12,997 |
|
$15,041 |
|
|
| |
Accounts payable |
|
|
|
462,286 |
|
411,788 |
|
|
| |
Accrued liabilities |
|
|
|
235,234 |
|
190,762 |
|
|
| |
Accrued royalties |
|
|
|
130,362 |
|
125,270 |
|
|
| |
Income taxes payable |
|
|
|
15,029 |
|
40,334 |
|
|
| |
Other current liabilities |
|
|
|
28,210 |
|
16,574 |
|
|
| |
Total current liabilities |
|
|
|
884,118 |
|
799,769 |
|
|
| |
Long-term obligations, net of current maturities |
|
|
|
5,741 |
|
7,244 |
|
|
| |
Deferred revenue |
|
|
|
|
|
- |
|
|
| |
Warranty and other liabilities |
|
|
|
101,912 |
|
50,857 |
|
|
| |
Total liabilities |
|
|
|
991,771 |
|
857,870 |
|
|
| |
Stockholders' equity |
|
|
|
|
|
|
|
|
| |
Common stock and additional paid-in capital |
|
|
|
299,904 |
|
290,280 |
|
|
| |
Retained earnings |
|
|
|
541,599 |
|
524,712 |
|
|
| |
Cumulative translation adjustment |
|
|
|
(745) |
|
549 |
|
|
| |
Unrealized gain-investment held-for-sale |
|
|
|
102 |
|
|
|
|
| |
Total stockholders' equity |
|
|
|
840,860 |
|
815,541 |
|
|
| |
|
|
|
|
$1,832,631 |
|
$1,673,411 |
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|