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As Of Filer Filing For·On·As Docs:Size Issuer Agent 12/28/05 Cal-Maine Foods Inc 8-K/A:2,9 10/12/05 8:849K Foley & Lardner/FA |
Document/Exhibit Description Pages Size 1: 8-K/A Amendment No. 1 HTML 25K 2: EX-23.1 Consent HTML 7K 3: EX-99.1 Audited Financial Statements HTML 140K 4: EX-99.2 Financial Statements HTML 112K 5: EX-99.3 Financial Statements HTML 19K 6: EX-99.4 Financial Statements HTML 15K 7: EX-99.5 Financial Statements HTML 49K 8: EX-99.6 Financial Statements HTML 233K
Exhibit 99.6
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Contents
Explanation of Pro Forma Information |
1 - 2 |
Unaudited Pro Forma Consolidated Balance Sheet as of August 27, 2005 |
3 |
Unaudited Pro Forma Consolidated Statement of Operations for the year | |
| (52 weeks) ended May 28, 2005 | 4 |
Unaudited Pro Forma Consolidated Statement of Operations for the thirteen | |
| weeks ended August 27, 2005 | 5 |
Unaudited Combining Statement of Operations for the year (52 weeks) ended | |
| July 2, 2005 | 6 |
Unaudited Combining Statement of Operations for the twelve weeks ended | |
| September 24, 2005 | 7 |
Notes to Unaudited Pro Forma Consolidated Financial Statements |
8 - 12 |
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Explanation of Pro Forma Information
Pursuant to terms of the Agreement to Form a Limited Liability Company, Transfer Assets Thereto, and Purchase Units of Membership Therein (the “Agreement”) dated July 28, 2005, Hillandale Farms, Inc. (“HFI”) and Hillandale Farms of Florida, Inc. (“HFFI”) transferred substantially all of their assets, liabilities and operations into a newly formed Florida limited liability company named Hillandale, LLC and Cal-Maine Foods, Inc. (the “Company”) or (“Cal-Maine”) agreed to acquire 51% of Hillandale, LLC. The Company also agreed to acquire the remaining 49% of Hillandale, LLC in essentially equal annual installments over a four-year period, with the purchase price equal to the net book value of the units purchased as calculated in accordance with the Agreement. Because the Company gained effective control of Hillandale, LLC’s operations upon signing of the Agreement, the acquisition date for accounting purposes is July 28, 2005.
The following unaudited pro forma consolidated financial information has been derived by the application of pro forma adjustments to the historical consolidated financial statements of the Company, HFI, HFFI and Hillandale, LLC for the periods indicated. The unaudited pro forma consolidated balance sheet was prepared as if the acquisition occurred on August 27, 2005 and the unaudited pro forma consolidated statements of operations were prepared as if the acquisition occurred on May 30, 2004. The pro forma adjustments reflected therein are based upon available information and upon certain assumptions that we believe are reasonable.
The Company’s fiscal year end ends on the Saturday nearest May 31 of each year, while HFI and HFFI’s fiscal years end on the Saturday nearest June 30 of each year. The unaudited pro forma consolidated statement of operations for the year ended May 28, 2005 includes the consolidated statement of operations of the Company for the year ended May 28, 2005 and the statements of operations of HFI and HFFI for the year ended July 2, 2005.
The Company’s first fiscal quarter ended on August 27, 2005. All of the information to close the accounting records of Hillandale, LLC was not available for consolidation with the Company’s financial statements for the first fiscal quarter ended August 27, 2005. Therefore, the Company will include the financial statements of Hillandale, LLC in its consolidated financial statements beginning in the second fiscal quarter ended November 26, 2005. The operating results of Hillandale, LLC for the period from July 29, 2005 through August 27, 2005 were not significant to the Company’s operations and financial position for the first quarter of fiscal 2006. Accordingly, the accompanying unaudited pro forma consolidated statement of operations of the Company for its fiscal first quarter ended August 27, 2005 includes the combined operations of Hillandale, LLC and its predecessors, HFI and HFFI, for their fiscal first quarter ended September 24, 2005.
1
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Explanation of Pro Forma Information (Continued)
The accompanying unaudited pro forma consolidated balance sheet includes the consolidated balance sheet of the Company as of its first quarter ended August 27, 2005 and the balance sheet of Hillandale, LLC as of its first quarter ended September 24, 2005.
The unaudited pro forma consolidated statements of operations do not reflect any potential cost savings which may be realized following the acquisition. The pro forma adjustments are based on estimates, evaluations and other data currently available and, in the Company’s opinion, provide a reasonable basis for the fair presentation of the estimated effects directly attributable to the acquisition and related transactions. The unaudited pro forma consolidated balance sheet and statements of operations are provided for illustrative purposes only and are not necessarily indicative of what the combined results of operations or financial position would actually have been had the acquisition occurred at the date indicated, nor do they represent a forecast of combined results of operations or financial position for any future period or date.
All information contained herein should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended May 28, 2005, its Quarterly Report on Form 10-Q for the quarter ended August 27, 2005, the financial statements and notes thereto of HFI, HFFI and Hillandale, LLC included in Exhibits 99.1, 99.2, 99.3, 99.4 and 99.5 of this Form 8-K/A and the notes to unaudited pro forma condensed combined financial statements included herein.
2
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Unaudited Pro Forma
Consolidated Balance Sheet
(In thousands)
As of August 27, 2005
| Cal-Maine Foods, Inc. August 27, 2005 |
Hillandale, LLC September 24, 2005 |
Pro Forma Adjustments |
Pro forma Adjusted | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ASSETS | ||||||||||||||
| Current assets: | ||||||||||||||
| Cash and cash equivalents | $ | 25,186 | $ | 1,892 | $ | 133 | (a) | $ | 27,211 | |||||
| Investments | 20,995 | -- | (19,977 | )(a)(b) | 1,018 | |||||||||
| Trade and other receivables | 18,528 | 4,655 | 870 | (a) | 24,053 | |||||||||
| Receivables from related parties | -- | 5,516 | -- | 5,516 | ||||||||||
| Recoverable federal and state income taxes | 10,270 | -- | -- | 10,270 | ||||||||||
| Inventories | 43,766 | 11,441 | 303 | (a) | 55,510 | |||||||||
| Prepaid expenses and other current assets | 1,117 | 581 | 131 | (a) | 1,829 | |||||||||
| Total current assets | 119,862 | 24,085 | (18,540 | ) | 125,407 | |||||||||
| Other assets: | ||||||||||||||
| Notes receivable and investments | 9,544 | 1,147 | (3,133 | )(a) | 7,558 | |||||||||
| Goodwill | 3,147 | -- | -- | 3,147 | ||||||||||
| Other assets | 1,393 | 1,088 | 21 | (a) | 2,502 | |||||||||
| 14,084 | 2,235 | (3,112 | ) | 13,207 | ||||||||||
Property, plant and equipment, net | 123,955 | 23,112 | 30,309 | (a)(c) | 177,376 | |||||||||
| Total assets | $ | 257,901 | $ | 49,432 | $ | 8,657 | $ | 315,990 | ||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||
| Current liabilities: | ||||||||||||||
| Accounts payable and accrued | $ | 31,593 | $ | 3,609 | $ | 611 | (a) | $ | 35,813 | |||||
| Accounts payable - related parties | -- | 1,470 | -- | 1,470 | ||||||||||
| Notes payable | -- | 8,010 | (8,010 | )(d) | -- | |||||||||
| Current maturities of long-term debt | 10,195 | 2,804 | (2,383 | )(d) | 10,616 | |||||||||
| Deferred income taxes | 9,240 | -- | -- | 9,240 | ||||||||||
| Total current liabilities | 51,028 | 15,893 | (9,782 | ) | 57,139 | |||||||||
| Long-term debt, less current maturities | 71,091 | 10,989 | 39,943 | (d) | 122,023 | |||||||||
| Other non-current liabilities | 1,971 | -- | -- | 1,971 | ||||||||||
| Minority interest | -- | -- | 1,046 | (a) | 1,046 | |||||||||
| Deferred income taxes | 20,310 | -- | -- | 20,310 | ||||||||||
| Total liabilities | 144,400 | 26,882 | 31,207 | 202,489 | ||||||||||
| Stockholders’ equity: | ||||||||||||||
| Common stock | 375 | -- | -- | 375 | ||||||||||
| Members’ equity | -- | 22,550 | (22,550 | ) | -- | |||||||||
| Paid-in capital | 28,655 | -- | -- | 28,655 | ||||||||||
| Retained earnings | 105,966 | -- | -- | 105,966 | ||||||||||
| Common stock in treasury | (21,495 | ) | -- | -- | (21,495 | ) | ||||||||
| Total stockholders’ equity | 113,501 | 22,550 | (22,550 | ) | 113,501 | |||||||||
| Total liabilities and stockholders’ equity | $ | 257,901 | $ | 49,432 | $ | 8,657 | $ | 315,990 | ||||||
See notes to pro forma consolidated financial information.
3
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Unaudited Pro Forma
Consolidated Statement of Operations
(In thousands, except per share amounts)
For the
year (52 weeks) ended May 28, 2005
| Year (52 weeks) ended May 28, 2005 Cal-Maine Foods, Inc. |
Year (52 weeks) ended July 2, 2005 HFFI & HFI Combined |
Pro forma Adjustments |
Pro Forma Adjusted | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net sales | $ | 375,266 | $ | 80,752 | $ | 18,495 | (a) | $ | 474,513 | |||||
| Cost of sales | 339,833 | 89,553 | 20,996 | (a)(e) | 450,382 | |||||||||
| Gross profit (loss) | 35,433 | (8,801 | ) | (2,501 | ) | 24,131 | ||||||||
| Selling, general and administrative | 47,758 | 7,204 | 1,459 | (a) | 56,421 | |||||||||
| Operating loss | (12,325 | ) | (16,005 | ) | (3,960 | ) | (32,290 | ) | ||||||
Other income (expense): | ||||||||||||||
| Interest expense | (5,906 | ) | (920 | ) | (1,941 | )(a)(f) | (8,767 | ) | ||||||
| Interest income | 1,684 | 261 | (253 | )(a)(f) | 1,692 | |||||||||
| Equity in loss of affiliates | (88 | ) | (1,386 | ) | (197 | )(a) | (1,671 | ) | ||||||
| Other, net | 1,227 | 678 | 22 | (a) | 1,927 | |||||||||
| (3,083 | ) | (1,367 | ) | (2,369 | ) | (6,819 | ) | |||||||
| Loss before income taxes and minority interest | (15,408 | ) | (17,372 | ) | (6,329 | ) | (39,109 | ) | ||||||
| Income tax expense (benefit) | (5,050 | ) | 21 | (5,109 | )(g) | (10,138 | ) | |||||||
| Loss before minority interest | (10,358 | ) | (17,393 | ) | (1,220 | ) | (28,971 | ) | ||||||
| Minority interest in net income of | ||||||||||||||
| consolidated subsidiary | -- | -- | (43 | )(a) | (43 | ) | ||||||||
| Net loss | $ | (10,358 | ) | $ | (17,393 | ) | $ | (1,263 | ) | $ | (29,014 | ) | ||
Net loss per share: | ||||||||||||||
| Basic | $ | (0.43 | ) | $ | (1.22 | ) | ||||||||
| Diluted | $ | (0.43 | ) | $ | (1.22 | ) | ||||||||
| Weighted average shares outstanding: | ||||||||||||||
| Basic | 23,834 | 23,834 | ||||||||||||
| Diluted | 23,834 | 23,834 | ||||||||||||
See notes to pro forma consolidated financial information.
4
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Unaudited Pro Forma
Consolidated Statement of Operations
(In thousands, except per share amounts)
For the
thirteen weeks ended August 27, 2005
| Thirteen Weeks Ended August 27, 2005 Cal-Maine Foods, Inc. |
Twelve Weeks Ended September 24, 2005 HFI, HFFI and Hillandale, LLC Combined |
Pro forma Adjustments |
Pro forma Adjusted | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Net sales |
$ | 79,756 | $ | 24,666 | $ | 3,520 | (a) | $ | 107,942 | |||||
| Cost of sales | 78,796 | 22,184 | 4,808 | (a)(e) | 105,788 | |||||||||
| Gross profit | ||||||||||||||
| 960 | 2,482 | (1,288 | ) | 2,154 | ||||||||||
| Selling, general and administrative | 10,917 | 5,191 | 329 | (a) | 16,437 | |||||||||
| Operating loss | ||||||||||||||
| (9,957 | ) | (2,709 | ) | (1,617 | ) | (14,283 | ) | |||||||
Other income (expense): | ||||||||||||||
| Interest expense, net | (1,695 | ) | (234 | ) | (556 | )(f) | (2,485 | ) | ||||||
| Other, net | (449 | ) | 85 | 339 | (f) | (25 | ) | |||||||
| (2,144 | ) | (149 | ) | (217 | ) | (2,510 | ) | |||||||
Loss before income taxes and minority interest | (12,101 | ) | (2,858 | ) | (1,834 | ) | (16,793 | ) | ||||||
| Income tax expense (benefit) | (3,993 | ) | (2 | ) | (921 | )(g) | (4,916 | ) | ||||||
| Loss before minority interest | (8,108 | ) | (2,856 | ) | (913 | ) | (11,877 | ) | ||||||
| Minority interest in net income of | ||||||||||||||
| consolidated subsidiary | -- | -- | (168 | )(a) | (168 | ) | ||||||||
| Net loss | $ | (8,108 | ) | $ | (2,856 | ) | $ | (1,081 | ) | $ | (12,045 | ) | ||
Net loss per share: | ||||||||||||||
| Basic | $ | (0.35 | ) | $ | (0.51 | ) | ||||||||
| Diluted | $ | (0.35 | ) | $ | (0.51 | ) | ||||||||
| Weighted average shares | ||||||||||||||
| outstanding: | ||||||||||||||
| Basic | 23,490 | 23,490 | ||||||||||||
| Diluted | 23,490 | 23,490 | ||||||||||||
See notes to pro forma consolidated financial information.
5
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Unaudited Pro Forma
Combining Statement of Operations
(In thousands)
For the year (52 weeks) ended July 2,
2005
| Year (52 weeks) ended |
Adjustments | Year (52 weeks) ended July 2, 2005 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| July 2, 2005 HFI |
July 2, 2005 HFFI |
for operations not acquired (2) |
Combining Entries (1) |
HFFI & HFI Combined | |||||||||||||
Net sales |
$ | 76,879 | $ | 42,173 | $ | (6,200 | ) | $ | (32,100 | ) | $ | 80,752 | |||||
| Cost of sales | 68,339 | 38,454 | (5,332 | ) | (11,908 | ) | 89,553 | ||||||||||
| Gross profit | 8,540 | 3,719 | (868 | ) | (20,192 | ) | (8,801 | ) | |||||||||
| Selling, general and administrative | -- | -- | (672 | ) | 7,876 | 7,204 | |||||||||||
| Operating expenses | 23,306 | 4,762 | (28,068 | ) | -- | ||||||||||||
| Operating loss | (14,766 | ) | (1,043 | ) | (196 | ) | -- | (16,005 | ) | ||||||||
Other income (expense): | |||||||||||||||||
| Interest expense | (729 | ) | (191 | ) | -- | -- | (920 | ) | |||||||||
| Interest income | 242 | 19 | -- | -- | 261 | ||||||||||||
| Equity in loss of affiliates | (1,386 | ) | -- | -- | -- | (1,386 | ) | ||||||||||
| Other, net | (252 | ) | 914 | 16 | -- | 678 | |||||||||||
| (2,125 | ) | 742 | 16 | -- | (1,367 | ) | |||||||||||
Loss before income taxes | (16,891 | ) | (301 | ) | (180 | ) | -- | (17,372 | ) | ||||||||
| Income tax expense | -- | 21 | -- | -- | 21 | ||||||||||||
| Net loss | $ | (16,891 | ) | $ | (322 | ) | $ | (180 | ) | $ | -- | $ | (17,393 | ) | |||
(1) Combining entries consist of elimination of intercompany sales from HFI to HFFI and reclassifications of certain costs and expenses to conform to the classifications of similar costs and expenses in the Company’s consolidated statements of operations.
(2) Adjustments for operations not acquired reflect certain feed mill operations of HFFI not contributed to Hillandale, LLC.
See notes to pro forma consolidated financial information.
6
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Unaudited Pro Forma
Combining Statement of Operations
(In thousands)
For the twelve weeks ended September 24,
2005
| Four Weeks
Ended July 30, 2005 HFI |
Four Weeks
Ended July 30, 2005 HFFI |
Eight Weeks Ended September 24, 2005 Hillandale, LLC |
Adjustments for operations not acquired (2) |
Combining Entries (1) |
Twelve Weeks Ended September 24, 2005 HFI, HFFI and Hillandale, LLC Combined | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Net sales |
$ | 5,278 | $ | 2,993 | $ | 19,081 | $ | (394 | ) | $ | (2,292 | ) | $ | 24,666 | ||||||
| Cost of sales | 4,750 | 2,614 | 15,671 | (322 | ) | (529 | ) | 22,184 | ||||||||||||
| Gross profit | 528 | 379 | 3,410 | (72 | ) | 1,763 | 2,482 | |||||||||||||
| Operating expenses | 1,995 | 387 | -- | -- | (2,382 | ) | -- | |||||||||||||
| Selling, general and administrative | -- | -- | 4,623 | (51 | ) | 619 | 5,191 | |||||||||||||
| Operating loss | (1,467 | ) | (8 | ) | (1,213 | ) | (21 | ) | -- | (2,709 | ) | |||||||||
Other income (expense): | ||||||||||||||||||||
| Interest expense, net | (68 | ) | (25 | ) | (141 | ) | -- | -- | (234 | ) | ||||||||||
| Other, net | (27 | ) | 95 | 19 | (2 | ) | -- | 85 | ||||||||||||
| (95 | ) | 70 | (122 | ) | (2 | ) | -- | (149 | ) | |||||||||||
Income (loss) before income taxes | (1,562 | ) | 62 | (1,335 | ) | (23 | ) | -- | (2,858 | ) | ||||||||||
| Income tax expense (benefit) | -- | (2 | ) | -- | -- | -- | (2 | ) | ||||||||||||
| Net Income (loss) | $ | (1,562 | ) | $ | 64 | $ | (1,335 | ) | $ | (23 | ) | $ | -- | $ | (2,856 | ) | ||||
(1) Combining entries consist of elimination of intercompany sales from HFFI to HFI and reclassifications of certain costs and expenses to conform to the classification of similar costs and expenses in the Company’s consolidated statements of operations.
(2) Adjustments for operations not acquired reflect certain feed mill operations of HFFI not contributed to Hillandale, LLC.
See notes to pro forma consolidated financial information.
7
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Notes to Unaudited Pro
Forma Consolidated Financial Statements
(In thousands)
The Unaudited Pro Forma Balance Sheet assumes that the Hillandale, LLC acquisition actually occurred as of Hillandale, LLC’s fiscal first quarter ended September 24, 2005. The Unaudited Pro Forma Statements of Operations assume the acquisition of Hillandale, LLC occurred on May 30, 2004. The purchase price was allocated to the assets acquired and liabilities assumed based upon the fair market values as set forth in the following table.
| Calculation of preliminary purchase price: | |||||
Cash consideration to seller for 51% of | |||||
| Hillandale, LLC's membership units | $ | 27,006 | |||
| Obligation to acquire 49% of | |||||
| Hillandale, LLC's membership units | 22,633 | ||||
Total preliminary purchase price | $ | 49,639 | |||
Allocation of preliminary purchase price: | |||||
Current assets | $ | 24,085 | |||
| Property, plant and equipment, net | 50,201 | ||||
| Other non-current assets | 2,235 | ||||
| Total assets acquired | 76,521 | ||||
Less: Total liabilities assumed | (26,882 | ) | |||
Net assets acquired | $ | 49,639 | |||
The Company’s obligation to acquire the remaining 49% of Hillandale, LLC’s membership units is payable in essentially equal annual installments over a four year period, with each installment of the purchase price adjusted to equal the net book value of the units purchased as calculated in accordance with the Agreement. The obligation is recorded at the estimated amounts to be paid, discounted to the net present value using the Company’s borrowing rate of 5.1%.
8
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Notes to Unaudited Pro
Forma Consolidated Financial Statements
(In thousands)
| (a) | The Company has a 44% membership interest in American Egg Products, LLC (“AEP”) and Hillandale, LLC has a 27.5% membership interest in AEP which are accounted for by the equity method in their respective historical financial statements. Effective with the purchase of Hillandale, LLC, the Company is required to consolidate the financial statements of AEP. Pro forma adjustments to reflect the consolidation of AEP’s balance sheet as of August 27, 2005 are as follows: |
| Cash and cash equivalents | $ | 133 | |||
| Investments | 112 | ||||
| Trade and other receivables | 870 | ||||
| Inventories | 303 | ||||
| Prepaid expenses and other current assets | 131 | ||||
| Total current assets | $ | 1,549 | |||
Property, plant and equipment, net | $ | 3,220 | |||
| Notes receivable and investments | (3,133 | ) | |||
| Other assets | 21 | ||||
| Total assets | $ | 1,657 | |||
Accounts payable and accrued expenses | $ | 611 | |||
| Minority interest | 1,046 | ||||
| Total liabilities and minority interest | $ | 1,657 | |||
9
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Notes to Unaudited Pro
Forma Consolidated Financial Statements
(In thousands)
| Pro forma adjustments to reflect the consolidation of the operations of AEP are as follows: |
| 13 weeks ended August 27, 2005 |
Year (52 weeks) ended May 28, 2005 | |||||||
|---|---|---|---|---|---|---|---|---|
Net sales |
$ | 3,520 | $ | 18,495 | ||||
| Cost of sales | 3,794 | 16,940 | ||||||
| Gross profit (loss) | (274 | ) | 1,555 | |||||
| Selling, general and administrative | 329 | 1,459 | ||||||
| Operating income (loss) | (603 | ) | 96 | |||||
| Interest expense | -- | (2 | ) | |||||
| Interest income | -- | 33 | ||||||
| Equity in income (loss) | ||||||||
| of affiliates | 326 | (197 | ) | |||||
| Other income, net | 13 | 22 | ||||||
| Loss before minority interest | (264 | ) | (48 | ) | ||||
| Minority interest | (168 | ) | (43 | ) | ||||
| Net loss | $ | (432 | ) | $ | (91 | ) | ||
| (b) | Reflects pro forma reduction in the Company’s short-term investments used at closing as follows: |
| Borrowings under term note payable from | ||||||||
| insurance company | $ | 28,000 | ||||||
| Cash consideration to seller | (27,006 | ) | ||||||
| Payment of existing debt of Hillandale, LLC | (21,083 | ) | ||||||
| Net decrease in short-term investments | $ | (20,089 | ) | |||||
| (c) | Increase of $27,089 represents the pro forma adjustment to record property, plant and equipment of Hillandale, LLC at fair value. |
| (d) | Reflects the pro forma changes in notes payable and long-term debt resulting from the Company’s purchase and related financing of Hillandale, LLC as shown below: |
10
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Notes to Unaudited Pro
Forma Consolidated Financial Statements
(In thousands)
| Notes payable paid at closing | $ | (8,010 | ) | |||||
Current maturities of long-term debt | $ | (2,383 | ) | |||||
Term loan from insurance company | $ | 28,000 | ||||||
| Obligation to acquire the 49% of | ||||||||
| Hillandale, LLC membership units | 22,633 | |||||||
| Hillandale, LLC long-term debt paid at closing | (10,690 | ) | ||||||
| Net increase in long-term debt | $ | 39,943 | ||||||
| (e) | Reflects additional depreciation expense of $4,056 for the year (52 weeks) ended May 28, 2005 and $1,014 for the thirteen weeks ended August 27, 2005 resulting from the increase in the carrying values of property, plant and equipment from their historical cost to their fair values. |
| (f) | Reflects the pro forma effect on interest expense and interest income of the acquisition of Hillandale, LLC and related financing transactions had the transactions occurred on May 30, 2004 as follows: |
| 13 weeks ended August 27, 2005 |
Year (52 weeks) ended May 28, 2005 | |||||||
|---|---|---|---|---|---|---|---|---|
Interest expense: |
||||||||
| Term loan from | ||||||||
| insurance company | $ | 405 | $ | 1,621 | ||||
| Hillandale, LLC notes payable and | ||||||||
| long-term debt paid at closing | (221 | ) | (886 | ) | ||||
| Obligation to acquire 49% | ||||||||
| of Hillandale, LLC | ||||||||
| membership units | 301 | 1,204 | ||||||
| Total interest expense | 485 | 1,939 | ||||||
Interest income: | ||||||||
| Reduction of interest income due | ||||||||
| to cash paid at closing | (71 | ) | (286 | ) | ||||
Interest expense, net | ||||||||
| of interest income | $ | 556 | $ | 2,225 | ||||
11
Cal-Maine Foods, Inc.
Unaudited Pro Forma
Consolidated Financial Information
Notes to Unaudited Pro
Forma Consolidated Financial Statements
(In thousands)
| (g) | Reflects pro forma income taxes to give effect to the acquisition of Hillandale, LLC as of May 30, 2004 as follows: |
| 13 weeks ended August 27, 2005 |
Year (52 weeks) ended May 28, 2005 | |||||||
|---|---|---|---|---|---|---|---|---|
Historical loss before income |
||||||||
| taxes of HFI, HFFI and | ||||||||
| Hillandale, LLC | $ | (2,858 | ) | $ | (17,372 | ) | ||
| Effect of pro forma adjustments on | ||||||||
| loss before income taxes and | ||||||||
| minority interest | (1,834 | ) | (6,329 | ) | ||||
| Less pro forma losses of | ||||||||
| Hillandale, LLC reportable on | ||||||||
| the tax returns of the holding | ||||||||
| 49% of the membership | ||||||||
| units of Hillandale, LLC | 2,170 | 9,703 | ||||||
| (2,522 | ) | (13,998 | ) | |||||
Statutory federal and state | ||||||||
| income tax rate | 36.5 | % | 36.5 | % | ||||
Pro forma income tax (benefit) | $ | (921 | ) | $ | (5,109 | ) | ||
12
| This ‘8-K/A’ Filing | Date | Other Filings | ||
|---|---|---|---|---|
 | ||||
| Filed on: | 12/28/05 | |||
| 11/26/05 | 10-Q | |||
| For Period End: | 10/12/05 | 8-K | ||
| 9/24/05 | ||||
| 8/27/05 | 10-Q, 10-Q/A | |||
| 7/30/05 | ||||
| 7/29/05 | ||||
| 7/28/05 | 8-K | |||
| 7/2/05 | ||||
| 5/28/05 | 10-K | |||
| 5/30/04 | ||||
| List all Filings | ||||