Combined Interim Financial Statements of Concord Beverage Company and Vintage Beverage Segments (September 30, 2000)

Summary

This document presents the unaudited combined interim financial statements for Concord Beverage Company and the Vintage Beverage segments of its affiliates for the nine months ending September 30, 2000. It includes the statement of income, balance sheet, cash flows, and explanatory notes. The statements summarize the companies' financial position, performance, and cash activities during the period, prepared in accordance with U.S. GAAP for interim reporting. The report is intended to provide stakeholders with an overview of the companies' financial health and results for the specified period.

EX-2.4 3 b37710ccex2-4.txt UNAUDITED COMBINED INTERIM BALANCE SHEET 1 Exhibit 2.4 CONCORD BEVERAGE COMPANY AND THE VINTAGE BEVERAGE SEGMENTS OF ITS AFFILIATES Combined Financial Statements Nine months ended September 30, 2000 2 CONCORD BEVERAGE COMPANY AND THE VINTAGE BEVERAGE SEGMENTS OF ITS AFFILIATES COMBINED STATEMENT OF INCOME AND COMPREHENSIVE INCOME For the nine months ended September 30, 2000 Net sales $66,096,429 Cost of sales 46,988,369 ----------- GROSS PROFIT 19,108,060 Operating expenses 13,610,841 ----------- INCOME FROM OPERATIONS 5,497,219 Other income, net 171,729 ----------- INCOME BEFORE ITEMS BELOW 5,668,948 Payments in lieu of taxes 3,540,546 ----------- INCOME BEFORE STATE & LOCAL TAXES 2,128,402 State & local taxes 152,710 ----------- NET INCOME 1,975,691 OTHER COMPREHENSIVE INCOME - UNREALIZED LOSSES ON SECURITIES (252,605) ------------ COMPREHENSIVE INCOME $ 1,723,086 ============

The accompanying notes are an integral part of these statements. 3 CONCORD BEVERAGE COMPANY AND THE VINTAGE BEVERAGE SEGMENTS OF ITS AFFILIATES COMBINED BALANCE SHEET As of September 30, 2000 ASSETS CURRENT ASSETS: Cash and cash equivalents $ 5,590,938 Marketable securities 1,463,085 Accounts receivable Trade, net 6,337,921 Affiliates 1,156,403 Other 2,272,448 Inventories (Note 2) 8,409,318 Prepaid expenses 56,175 ----------- TOTAL CURRENT ASSETS 25,286,288 ----------- PROPERTY, PLANT AND EQUIPMENT, NET (NOTE 3) 6,471,579 ----------- OTHER ASSETS: Deferred charges and other costs, net of accumulated amortization of $8,788,043 for 1999 and $7,275,644 for 1998 4,509,031 Construction-in-progress 525,723 Pallets 841,761 Security deposits and other assets 34,448 ----------- TOTAL OTHER ASSETS 5,910,963 ----------- TOTAL ASSETS $37,668,830 ===========

The accompanying notes are an integral part of these statements. 4 CONCORD BEVERAGE COMPANY AND THE VINTAGE BEVERAGE SEGMENTS OF ITS AFFILIATES COMBINED BALANCE SHEET As of September 30, 2000 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Current portion of notes payable $ -- Accounts payable: Trade 4,677,789 Affiliates 443,698 Accrued expenses and other current liabilities 4,527,502 Income taxes payable ----------- TOTAL CURRENT LIABILITIES 9,648,989 STOCKHOLDERS' EQUITY: Common stock: Class A, $10 par value, voting, Authorized - 10,000 shares Issued and outstanding - 5,759 shares 57,590 Class B, $10 par value, nonvoting, Authorized - 10,000 shares Issued - 4,701 shares 47,010 Additional paid-in capital 10,303,203 Retained earnings 20,536,529 Accumulated other comprehensive income - -- unrealized gains on securities 492,134 Equity in affiliated Vintage Beverage segments of business 459,396 ----------- 31,895,861 Less treasury stock, at cost, 3,351.8 Class B shares 3,876,021 ----------- TOTAL STOCKHOLDERS' EQUITY 28,019,840 ----------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $37,668,830 ===========

The accompanying notes are an integral part of these statements. 5 CONCORD BEVERAGE COMPANY AND THE VINTAGE BEVERAGE SEGMENTS OF ITS AFFILIATES COMBINED STATEMENT OF CASH FLOWS
For the nine months ended September 30, 2000 09/30/00 - --------------------------------------------------------------------------------- CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 1,975,691 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 2,435,398 Proceeds from sale of marketable securities 25,000 Net change in operating assets and liabilities: (Increase) decrease in: Accounts receivable 643,120 Inventories (1,160,712) Prepaid expenses 397,465 Pallets (557,768) Security deposits and other assets (27,404) Increase (decrease) in: Accounts payable 173,338 Accrued expenses and other current liabilities 826,541 Income taxes payable (90,197) ----------- Net Cash Provided by Operating Activities 4,640,472 ----------- CASH FLOWS FROM INVESTING ACTIVITIES: Capital expenditures (118,280) Distribution to affiliates (110,349) Purchase of franchise contracts (1,000,000) ----------- Net Cash Used in Investing Activities (1,228,629) ----------- CASH FLOWS FROM FINANCING ACTIVITIES: 0 ----------- NET INCREASE IN CASH AND CASH EQUIVALENTS 3,411,843 CASH AND CASH EQUIVALENTS - BEGINNING OF YEAR 2,179,095 ----------- CASH AND CASH EQUIVALENTS - END OF YEAR $ 5,590,938 =========== SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: Cash paid during the period for: Interest $ -- Income taxes 248,000
The accompanying notes are an integral part of these statements. 6 CONCORD BEVERAGE COMPANY AND THE VINTAGE BEVERAGE SEGMENTS OF ITS AFFILIATES NOTES TO THE COMBINED FINANCIAL STATEMENTS For the nine months ended September 30, 2000 NOTE 1 - BASIS OF PRESENTATION The unaudited combined financial statements have been prepared in accordance with United States ("U.S.") generally accepted accounting principles ("GAAP") for interim financial information. Accordingly, they do not include all information and notes presented in the annual consolidated financial statements in conformity with U.S. GAAP. In the opinion of management, the statements reflect all adjustments that are necessary for a fair statement of the results for the interim periods presented. All such adjustments are of a normal recurring nature. The results for the interim periods presented are not necessarily indicative of the results that may be expected for the full fiscal year. NOTE 2 - INVENTORIES Inventories consist of the following: ~~Finished goods $ 4,614,982 Raw materials 3,386,533 Other 408,803 ------------ $ 8,409,318 ============~~

~~NOTE 3 - PROPERTY, PLANT AND EQUIPMENT ~~Cost $31,846,320 Accumulated depreciation (25,374,741) ------------ $ 6,471,579 ============~~~~