x
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ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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¨
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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Georgia
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58-1098795
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|
(State or other jurisdiction of
incorporation or organization)
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(IRS Employer
Identification No.) |
470 East Paces Ferry Road, N.E.
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30305
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Atlanta, Georgia
(Address of
principal executive offices)
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(Zip Code)
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Title of each class
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Name of each exchange on which registered
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None
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None
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1.
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2002 Proxy Statement into Part III.
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2.
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Form S-1 Registration Statement No. 2-81444 into Part IV.
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3.
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Form S-8 Registration Statement Nos. 333-55214, 333-67533, 333-86141 and 333-44744 into Part IV.
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4.
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Form 10-Ks for fiscal years ended April 30, 1999, 2000 and 2001 into Part IV.
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5.
|
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Form 10-Qs for the quarters ended July 31, 2001, October 31, 2001 and January 31, 2002 into Part IV.
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Item
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Page
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PART I
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||||
1.
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3
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|||
2.
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28
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|||
3.
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29
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|||
4.
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29
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|||
PART II
|
||||
5.
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30
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|||
6.
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31
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|||
7.
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32
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|||
7A.
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41
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|||
8.
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55
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|||
9.
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78
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|||
PART III
|
||||
10.
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78
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|||
11.
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80
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|||
12.
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80
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|||
13.
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80
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|||
PART IV
|
||||
14.
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83
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|
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results of operations;
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liquidity, cash flow and capital expenditures;
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|
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demand for and pricing of our products and services;
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|
|
acquisition activities and the effect of completed acquisitions;
|
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industry conditions and market conditions; and
|
|
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general economic conditions.
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1.
|
|
Smaller and emerging firms rely on The Proven Method to serve in lieu of an in-house application development group. We provide these firms with the management
and technical resources necessary to deliver custom-developed.
|
2.
|
|
Midsize companies will typically outsource complete application development projects to The Proven Method particularly when their internal technical personnel
faced a combination of critical timing and heavy backlog.
|
3.
|
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Any size company can rely on The Proven Method to provide supplemental technical personnel when the need arises for a skill or technical discipline that they
may not currently possess or, if they simply need more of a particular set of skills required to complete large development projects.
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Master Scheduling
|
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Material Requirements Planning II (MRP II)
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|
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Bill of Materials
|
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Capacity Planning
|
|
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Production Order Status
|
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Route and Work Center Maintenance
|
|
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Shop Floor Control
|
|
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Inventory Asset Control
|
|
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Lot Processing
|
|
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Receipt and Shipment Management
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|
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Serialized Inventory Processing
|
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Replenishment Processing
|
|
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Requisition Management
|
|
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Inspection
|
|
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e-Procurement
|
|
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Trading Portal
|
|
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Auction/Reverse Auction
|
|
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Blanket Purchasing
|
|
|
Approval Routing
|
|
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E-Store
|
|
|
Order Management
|
|
|
Pricing and Promotions Management
|
|
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Shipping Management
|
|
|
Billing Management
|
|
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Credit Control Processing
|
|
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Customer Management
|
|
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Chart of Accounts Processing
|
|
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Budgeting
|
|
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Journal Entry Processing
|
|
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e-Payables
|
|
|
Voucher Entry Processing
|
|
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Payment Processing
|
|
|
Bank Reconciliation
|
|
|
Cash Management
|
|
|
Netting and Write-Offs
|
|
|
E-Receivables
|
|
|
Collections Management
|
|
|
Credit Management
|
|
|
Cash Receipts Management
|
|
|
Financial Notices & Dunning Management
|
|
|
Activity Manager
|
|
|
Line Design
|
|
|
Kanban Management
|
|
|
Demand Smoothing
|
|
|
Product Costing
|
|
|
Engineering Change
|
|
|
Method Sheets
|
|
|
Continue to develop and sell e-Intelliprise capabilities that capitalize on the speed and flexibility of the Internet with the collaborative planning and
logistics capabilities of Intelliprise.
|
|
|
Continue to develop and sell the e-application products that leverage the Internet to improve processes and communications.
|
Consumer
Packaged
Goods
|
Chemicals, Oil & Gas,
Pharmaceuticals
|
Manufacturing
and
Others
|
||
Ashley Furniture
|
Beyschlag Centralab Component
|
Appleton Paper
|
||
Aurora Foods
|
BOC Distribution Services
|
Corning Cable Systems
|
||
Bausch & Lomb
|
CITGO Petroleum Corporation
|
Crown Crafts, Inc.
|
||
Bell Sports
|
Eastman Chemical Company
|
Dal-Tile Corporation
|
||
Boots The Chemists
|
Gulf Petrochemical
|
Epson America, Inc
|
||
Canandaigua Wine Company
|
Intesa
|
HugoBoss
|
||
ConAgra, Inc.
|
Kaiser Foundation
|
IBM/Synertech
|
||
Haverty Furniture Company
|
Nordic Synthesis AB
|
Koch Industries
|
||
Heineken USA
|
Noxpro St. Gobain
|
Komatsu
|
||
LOreal USA
|
Pharmacia
|
Magneti Marelli
|
||
Maybelline, Inc.
|
Pfizer, Inc.
|
Mercury Marine
|
||
McCormick & Company
|
Sigma-Aldrich Corporation
|
Mohawk Paper
|
||
Mills Pride
|
Peugeot International
|
|||
Nestle France
Pharmavite Corporation
|
Telecommunications
|
Playmobil Malta
Porsche Cars of North America, Inc.
|
||
British Telecom
|
||||
Pernod Ricard USA
|
GTE
|
Newell Company
|
||
Ralph Lauren Childrenswear
|
Sprint PCS
|
Rand McNally & Company
|
||
Sara Lee Knit Products
|
Raytheon Marine Company
|
|||
Saks Incorporated
S.C.Johnson & Sons Inc.
|
Utilities
|
Reynolds Metals
Rheem Manufacturing
|
||
Alabama Gas Corporation
|
||||
The Franklin Mint
|
Allegheny Power Corporation
|
RJ Reynolds
|
||
The HoneyBaked Ham Co.
|
Florida Power & Light
|
Robert Horne Paper Company
|
||
Tiffany & Company
|
Saudi Consolidated Electric
|
Russell Corporation
|
||
Unilever Research
|
Texas Utilities
|
Siecor
|
||
VF Corporation
|
Snap On, Incorporated
|
|||
Wickes Furniture
|
Sony Electronics
|
|||
Subaru of America, Inc.
|
||||
Tyco Plastics and Adhesives
|
||||
Union Camp
|
||||
Wells/Bloomfield
|
||||
Xpedx
|
|
|
IBM
Logility entered into an agreement with IBM on March 17, 2000 pursuant to which it modified its Supply Chain products, with IBMs technical
and financial assistance, to operate with IBMs eServer iSeries (AS/400) platform. Also, Logility agreed to market and support the IBM-compatible Supply Chain products that resulted from our efforts. IBM may also market the supply chain
products and refer potential customers to Logility.
|
|
|
Insight
Logilitys agreement with Insight, dated April 24, 1998, grants them a seven-year, worldwide, non-exclusive right and license to
sublicense and distribute certain of Insights products, and to promote and market those products.
|
|
|
Microsoft Great Plains Business Solutions (formerly Great Plains Software)
On June 28, 2000 we granted to Great Plains Software a worldwide
non-exclusive license to name, package, promote, modify, market, distribute and supply certain of our products under either our label or a label that included the name Great Plains, along with an agreement by Great Plains to promote and
sell the software. Due in part to reorganizations and changes in strategy following Microsofts acquisition of Great Plains, license fee revenue under this agreement have not been substantial. Currently, we are discussing with Microsoft Great
Plains terminating the existing agreement and entering into another partnership program with Microsoft. At this time, we do not anticipate that our relationship with Microsoft Great Plains will result in substantial revenue during fiscal 2003, if
any.
|
|
|
New Breed
Logilitys agreement grants New Breed a non-exclusive worldwide right and license to install and use its Transportation Planning and
Management and Voyager Fulfill software to perform data processing services for 3Plexs customers. The term of the license varies depending on the licensed product.
|
|
|
SSA Global Technologies
On November 17, 2001, Logility granted SSA Global Technologies a worldwide, non-exclusive license to name, package, market,
distribute and supply the
Logility Voyager Solutions
suite as
BPCS Collaborative Commerce powered by Logility.
The agreement terminates November 16, 2004, but may be automatically renewed for successive one-year terms. In
exchange, SSA Global Technologies agreed to use all reasonable efforts to promote and sell the software.
|
|
|
internet application vendors in the enterprise application software market segment;
|
|
|
vendors in the manufacturing software application market segment;
|
|
|
vendors in the emerging enterprise resource optimization software solutions market segment;
|
|
|
providers of human resource management system software products;
|
|
|
providers of financial management systems software products;
|
|
|
internal development efforts by Corporate Information Technology departments; and
|
|
|
numerous other firms that offer products and services with new or advanced features.
|
|
|
significant worldwide presence;
|
|
|
longer operating and product development history;
|
|
|
substantially greater financial, technical and marketing resources than ours, and
|
|
|
larger installed base.
|
High
|
Low
|
|||||
Fiscal Year 2002
|
||||||
First Quarter
|
$
|
2.00
|
$
|
1.39
|
||
Second Quarter
|
|
2.28
|
|
1.05
|
||
Third Quarter
|
|
3.01
|
|
1.35
|
||
Fourth Quarter
|
|
3.80
|
|
2.53
|
||
Fiscal Year 2001
|
||||||
First Quarter
|
$
|
8.50
|
$
|
2.91
|
||
Second Quarter
|
|
6.69
|
|
3.00
|
||
Third Quarter
|
|
3.63
|
|
1.31
|
||
Fourth Quarter
|
|
2.50
|
|
1.06
|
Cantor, Fitzgerald & Co.
|
Morgan, Keegan & Company
|
|
Cincinnati Stock Exchange
|
Schwab Capital Markets
|
|
Herzog, Heine, Geduld, Inc.
|
Spear, Leeds & Kellogg
|
|
Hill, Thompson, Magid & Co.
|
Sun Trust Capital Markets Inc
|
|
Investec Ernst & Company
|
Track ECN
|
|
Island System Corporation
|
Wachovia Securities, Inc.
|
|
Knight Securities L.P.
|
Wm. V. Frankel & Co., Inc.
|
|
MarketTXT
|
Years Ended April 30,
|
||||||||||||||||||||
2002
|
2001
|
2000
|
1999
|
1998
|
||||||||||||||||
(In thousands, except per share amounts)
|
||||||||||||||||||||
Consolidated Statements of
Operations Data: |
||||||||||||||||||||
Revenues
|
||||||||||||||||||||
Licenses
|
$
|
12,052
|
|
$
|
12,778
|
|
$
|
20,572
|
|
$
|
19,602
|
|
$
|
33,548
|
|
|||||
Services
|
|
30,671
|
|
|
34,527
|
|
|
41,125
|
|
|
49,070
|
|
|
38,335
|
|
|||||
Maintenance
|
|
21,907
|
|
|
23,867
|
|
|
25,198
|
|
|
26,003
|
|
|
23,834
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total revenues
|
|
64,630
|
|
|
71,172
|
|
|
86,895
|
|
|
94,675
|
|
|
95,717
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Cost of Revenues:
|
||||||||||||||||||||
Licenses
|
|
4,592
|
|
|
5,681
|
|
|
5,177
|
|
|
8,254
|
|
|
8,182
|
|
|||||
Services
|
|
18,094
|
|
|
22,694
|
|
|
25,907
|
|
|
29,324
|
|
|
20,980
|
|
|||||
Maintenance
|
|
3,936
|
|
|
5,225
|
|
|
9,750
|
|
|
10,337
|
|
|
7,642
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total cost of revenues
|
|
26,622
|
|
|
33,600
|
|
|
40,834
|
|
|
47,915
|
|
|
36,804
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Gross Margin
|
|
38,008
|
|
|
37,572
|
|
|
46,061
|
|
|
46,760
|
|
|
58,913
|
|
|||||
Operating expenses:
|
||||||||||||||||||||
Research and development
|
|
7,209
|
|
|
11,340
|
|
|
9,675
|
|
|
11,511
|
|
|
12,112
|
|
|||||
Sales and marketing
|
|
13,297
|
|
|
20,092
|
|
|
22,643
|
|
|
27,863
|
|
|
25,410
|
|
|||||
General and administrative
|
|
11,851
|
|
|
12,799
|
|
|
12,818
|
|
|
14,000
|
|
|
10,961
|
|
|||||
Provision for doubtful accounts
|
|
503
|
|
|
1,274
|
|
|
385
|
|
|
1,880
|
|
|
176
|
|
|||||
Charge for asset impairment
|
|
|
|
|
10,458
|
|
|
|
|
|
26,563
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total operating expenses
|
|
32,860
|
|
|
55,963
|
|
|
45,521
|
|
|
81,817
|
|
|
48,659
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Operating income (loss)
|
|
5,148
|
|
|
(18,391
|
)
|
|
540
|
|
|
(35,057
|
)
|
|
10,254
|
|
|||||
Other income, net
|
|
2,043
|
|
|
1,576
|
|
|
1,832
|
|
|
3,507
|
|
|
3,889
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Income (loss) before income taxes
|
|
7,191
|
|
|
(16,815
|
)
|
|
2,372
|
|
|
(31,550
|
)
|
|
14,143
|
|
|||||
Income tax expense (benefit)
|
|
|
|
|
(2,418
|
)
|
|
150
|
|
|
(1,766
|
)
|
|
4,648
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Income (loss) from continuing operations
|
$
|
7,191
|
|
$
|
(14,397
|
)
|
$
|
2,222
|
|
$
|
(29,784
|
)
|
$
|
9,495
|
|
|||||
Discontinued Operations:
|
||||||||||||||||||||
Loss from operations of discontinued segment
|
|
(1,866
|
)
|
|
(8,183
|
)
|
|
(3,464
|
)
|
|
(3,033
|
)
|
|
(1,700
|
)
|
|||||
Gain on sale of discontinued segment
|
|
13,376
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net earnings (loss)
|
|
18,701
|
|
|
(22,580
|
)
|
|
(1,242
|
)
|
|
(32,817
|
)
|
|
7,795
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net earnings (loss) per common share
|
||||||||||||||||||||
Basic:
|
||||||||||||||||||||
Continuing operations:
|
$
|
0.32
|
|
$
|
(0.63
|
)
|
$
|
0.10
|
|
$
|
(1.34
|
)
|
$
|
0.42
|
|
|||||
Discontinued operations:
|
|
(.08
|
)
|
|
(0.36
|
)
|
|
(0.16
|
)
|
|
(0.14
|
)
|
|
(0.08
|
)
|
|||||
Gain on sale of discontinued segment:
|
|
0.58
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
$
|
0.82
|
|
$
|
(0.99
|
)
|
$
|
(0.06
|
)
|
$
|
(1.48
|
)
|
$
|
0.34
|
|
||||||
Diluted:
|
||||||||||||||||||||
Continuing operations:
|
$
|
0.32
|
|
$
|
(0.63
|
)
|
$
|
0.09
|
|
$
|
(1.34
|
)
|
$
|
0.39
|
|
|||||
Discontinued operations:
|
|
(.08
|
)
|
|
(0.36
|
)
|
|
(0.16
|
)
|
|
(0.14
|
)
|
|
(0.07
|
)
|
|||||
Gain on sale of discontinued segment:
|
|
0.58
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
$
|
0.82
|
|
$
|
(0.99
|
)
|
$
|
(0.07
|
)
|
$
|
(1.48
|
)
|
$
|
0.32
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Weighted average common sharesBasic
|
|
22,773,128
|
|
|
22,730,101
|
|
|
21,721,636
|
|
|
22,230,656
|
|
|
22,667,283
|
|
|||||
Diluted
|
|
22,910,880
|
|
|
22,730,101
|
|
|
23,446,455
|
|
|
22,230,656
|
|
|
24,414,515
|
|
April 30,
|
|||||||||||||||
2002
|
2001
|
2000
|
1999
|
1998
|
|||||||||||
(In thousands, except per share amounts)
|
|||||||||||||||
Consolidated Balance Sheet Data:
|
|||||||||||||||
Cash and cash equivalents
|
$
|
31,429
|
$
|
10,057
|
$
|
12,910
|
$
|
21,567
|
$
|
14,466
|
|||||
Investments
|
$
|
25,826
|
$
|
21,044
|
$
|
31,335
|
$
|
27,297
|
$
|
45,757
|
|||||
Working capital
|
$
|
41,224
|
$
|
15,601
|
$
|
23,204
|
$
|
34,881
|
$
|
63,263
|
|||||
Total assets
|
$
|
94,175
|
$
|
82,067
|
$
|
113,047
|
$
|
109,736
|
$
|
142,656
|
|||||
Total long term lease obligation and debt
|
$
|
152
|
$
|
1,045
|
$
|
907
|
$
|
1,700
|
$
|
776
|
|||||
Shareholders equity
|
$
|
66,417
|
$
|
47,851
|
$
|
69,706
|
$
|
67,197
|
$
|
100,810
|
|
|
significant underperformance relative to historical or projected future operating results;
|
|
|
significant negative industry or economic trends;
|
|
|
significant decline in our stock price for a sustained period;
|
|
|
significant decline in our technological value as compared to the market; and
|
|
|
our market capitalization relative to net book value.
|
Percentage of
Total
Revenues
|
Pct. Change
In
Dollars
|
||||||||||||||
2002
|
2001
|
2000
|
2002 vs 2001
|
2001 vs 2000
|
|||||||||||
Revenues:
|
|||||||||||||||
License fees
|
19
|
%
|
18
|
%
|
24
|
%
|
(6
|
)%
|
(38
|
)%
|
|||||
Services
|
47
|
|
48
|
|
47
|
|
(11
|
)
|
(16
|
)
|
|||||
Maintenance
|
34
|
|
34
|
|
29
|
|
(8
|
)
|
(5
|
)
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Total revenues
|
100
|
|
100
|
|
100
|
|
(9
|
)
|
(18
|
)
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Cost of revenues:
|
|||||||||||||||
License fees
|
7
|
|
8
|
|
6
|
|
(19
|
)
|
10
|
|
|||||
Services
|
28
|
|
32
|
|
30
|
|
(20
|
)
|
(12
|
)
|
|||||
Maintenance
|
6
|
|
7
|
|
11
|
|
(25
|
)
|
(46
|
)
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Total cost of revenues
|
41
|
|
47
|
|
47
|
|
(21
|
)
|
(18
|
)
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Gross margin
|
59
|
|
53
|
|
53
|
|
1
|
|
(18
|
)
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Operating expenses:
|
|||||||||||||||
Research and development cost, net
|
11
|
|
16
|
|
11
|
|
(36
|
)
|
17
|
|
|||||
Marketing and sales
|
21
|
|
28
|
|
26
|
|
(34
|
)
|
(11
|
)
|
|||||
General and administrative
|
18
|
|
18
|
|
15
|
|
(7
|
)
|
|
|
|||||
Provision for doubtful accounts
|
1
|
|
2
|
|
nm
|
|
(61
|
)
|
nm
|
|
|||||
Charge for asset impairment and purchased R&D
|
|
|
15
|
|
|
|
nm
|
|
nm
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Total operating expenses
|
51
|
|
79
|
|
52
|
|
(41
|
)
|
23
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Operating income (loss)
|
8
|
|
(26
|
)
|
1
|
|
nm
|
|
nm
|
|
|||||
|
|
|
|
||||||||||||
Other income, net
|
3
|
|
2
|
|
2
|
|
30
|
|
(14
|
)
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Income (loss) from continuing operations before income taxes
|
11
|
|
(24
|
)
|
3
|
|
nm
|
|
nm
|
|
|||||
|
|
|
|
||||||||||||
Income taxes
|
|
|
4
|
|
|
|
nm
|
|
nm
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Income (loss) from continuing operations
|
11
|
|
20
|
|
3
|
|
nm
|
|
nm
|
|
|||||
|
|
|
|
||||||||||||
Loss from operations of discontinued segment
|
(3
|
)
|
(11
|
)
|
(4
|
)
|
(77
|
)
|
136
|
|
|||||
Gain on sale of discontinued segment
|
21
|
|
|
|
|
|
nm
|
|
nm
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||
Net earnings (loss)
|
29
|
%
|
(32
|
)%
|
(1
|
)%
|
nm
|
|
nm
|
|
|||||
|
|
|
|
|
|
|
|
|
|
Years Ended (000s omitted)
|
|||||||||||
April 30,
2002
|
Percent
Change
|
April 30,
2001
|
|||||||||
Gross product development costs
|
$
|
10,497
|
|
(31
|
%)
|
$
|
15,289
|
|
|||
Percentage of total revenues
|
|
16
|
%
|
|
21
|
%
|
|||||
Less: capitalized development
|
|
(3,288
|
)
|
(17
|
%)
|
|
(3,949
|
)
|
|||
Percentage of gross product development costs
|
|
31
|
%
|
|
26
|
%
|
|||||
|
|
|
|
|
|
|
|
||||
Product development expenses
|
$
|
7,209
|
|
(36
|
%)
|
$
|
11,340
|
|
|||
Percentage of total revenues
|
|
11
|
%
|
|
16
|
%
|
Years Ended (000s omitted)
|
|||||||||||
April 30,
2001
|
Percent
Change
|
April 30,
2000
|
|||||||||
Gross product development costs
|
$
|
15,289
|
|
(24
|
%)
|
$
|
20,121
|
|
|||
Percentage of total revenues
|
|
21
|
%
|
|
23
|
%
|
|||||
Less: capitalized development
|
|
(3,949
|
)
|
(62
|
%)
|
|
(10,446
|
)
|
|||
Percentage of gross product development costs
|
|
26
|
%
|
|
52
|
%
|
|||||
|
|
|
|
|
|
|
|
||||
Product development expenses
|
$
|
11,340
|
|
17
|
%
|
$
|
9,675
|
|
|||
Percentage of total revenues
|
|
16
|
%
|
|
11
|
%
|
Twelve Months Ended
April 30, |
||||||
2002
|
2001
|
|||||
Net cash provided by continuing operating activities
before changes in operating assets and liabilities. |
15,749
|
|
3,013
|
|
||
Increase/(decrease) in operating assets and liabilities
|
(8,267
|
)
|
2,018
|
|
||
|
|
|
|
|||
Net cash provided by (used in) continuing operating activities
|
7,482
|
|
5,031
|
|
||
Net cash provided by (used in) discontinued operations
|
6
|
|
(5,353
|
)
|
||
|
|
|
|
|||
Net cash provided by (used in) operating activities
|
7,488
|
|
(322
|
)
|
||
Net cash provided by (used in) investing activities
|
15,394
|
|
(896
|
)
|
||
Net cash provided by (used in) financing activities
|
(1,510
|
)
|
(1,635
|
)
|
||
|
|
|
|
|||
Net increase (decrease) in cash and cash equivalents
|
21,372
|
|
(2,853
|
)
|
||
|
|
|
|
|
|
we complete a significant portion of our license agreements within the last few weeks of each quarter;
|
|
|
our sales cycle is relatively long and variable because of the complex and mission-critical nature of our products;
|
|
|
the size of our license transactions can vary significantly;
|
|
|
the possibility of economic downturns, both domestic and international, characterized by decreased product demand, price erosion, technological shifts, work
slowdowns and layoffs, may substantially reduce customer demand and contracting activity;
|
|
|
customers may unexpectedly postpone or cancel system replacement or new system evaluations due to changes in their strategic priorities, project objectives,
budgetary constraints, internal purchasing processes or company management;
|
|
|
customer evaluations and purchasing processes vary from company to company, and a customer's internal approval and expenditure authorization process can be
difficult and time consuming, even after selection of a vendor; and
|
|
|
the number, timing and significance of software product enhancements and new software product announcements by us and by our competitors may affect purchase
decisions.
|
|
|
whether the license agreement relates to then unavailable software products;
|
|
|
whether transactions include both currently deliverable software products and software products that are under development or other undeliverable elements;
|
|
|
whether the customer demands services that include significant modifications, customizations or complex interfaces that could delay products delivery or
acceptance;
|
|
|
whether the transaction involves acceptance criteria that may preclude revenue recognition or if there are identified product-related issues, such as known
defects; and
|
|
|
whether the transaction involves payment terms or fees that depend upon contingencies.
|
|
|
Internet application vendors in the enterprise application software market segment;
|
|
|
vendors in the manufacturing software application market segment;
|
|
|
vendors in the emerging enterprise resource optimization software solutions market segment;
|
|
|
providers of human resource management system software products;
|
|
|
providers of financial management systems software products;
|
|
|
internal development efforts by corporate information technology departments; and
|
|
|
numerous other firms that offer products and services with new or advanced features.
|
|
|
significant worldwide presence;
|
|
|
longer operating and product development history;
|
|
|
substantially greater financial, technical and marketing resources than ours; and
|
|
|
larger installed base.
|
|
|
the necessary communication and computer network technology underlying the Internet and other online services does not effectively support any expansion that
may occur;
|
|
|
industry does not develop or adopt new standards and protocols in a timely manner;
|
|
|
concerns about security, reliability, cost, ease of use, accessibility, quality of service, or other facts result in the Internet not becoming established as a
viable commercial marketplace, inhibiting the development of electronic commerce and reducing the need for and desirability of our products and services.
|
|
|
concerns about the confidentiality of information provided electronically to electronic marketplaces;
|
|
|
the inability of technological advances to keep pace with the volume of information processed by electronic marketplaces; and
|
|
|
regulatory issues, including antitrust issues that may arise when trading partners collaborate through electronic marketplaces.
|
|
|
continue to enhance and expand our core applications;
|
|
|
continue to sell our products;
|
|
|
continue to successfully integrate third-party products;
|
|
|
enter new markets and achieve market acceptance; and
|
|
|
develop and introduce new products that keep pace with technological developments, including developments related to the Internet, satisfy increasingly
sophisticated customer requirements and achieve market acceptance. We can license our software products for use with a variety of popular industry standard database management systems. There may be future or existing database management system
platforms that achieve popularity within the business application marketplace and on which we may desire to offer our applications. These future or existing database management system products may or may not be architecturally compatible with our
software product design. We may not be able to develop software products on additional platforms with the specifications and within the time frame necessary for market success.
|
|
|
vendor hardware platforms;
|
|
|
operating systems and updated versions;
|
|
|
application software products and updated versions; and
|
|
|
database management system platforms and updated versions.
|
|
|
the difficulty of assimilating the operations and personnel of the combined companies;
|
|
|
the risk that we may not be able to integrate the acquired technologies or products with our current products and technologies;
|
|
|
the potential disruption of our ongoing business;
|
|
|
the inability to retain key technical and managerial personnel;
|
|
|
the inability of management to maximize our financial and strategic position through the successful integration of acquired businesses;
|
|
|
adverse impact on our annual effective tax rate;
|
|
|
dilution of existing equity holders caused by capital stock issuances to the stockholders of acquired companies or to retain employees of the acquired
companies;
|
|
|
difficulty in maintaining controls, procedures and policies;
|
|
|
potential adverse impact on our relationships with partner companies or third-party providers of technology or products;
|
|
|
the impairment of relationships with employees and customers; and
|
|
|
issues with product quality, product architecture, legal contingencies, product development issues, or other significant issues that may not be detected through
our due diligence process.
|
|
|
conducting business in currencies other than United States dollars subjects us to factors such as currency controls and fluctuations in currency exchange rates;
|
|
|
we may be unable to hedge some transactions because of uncertainty or the inability to reasonably estimate our foreign exchange exposure;
|
|
|
we may hedge some anticipated transactions and transaction exposures, but could experience losses if exchange rates move in the opposite direction;
|
|
|
we may have difficulty in offering foreign technical standards;
|
|
|
increased cost and development time required to localize our products;
|
|
|
lack of experience in a particular geographic market;
|
|
|
regulatory, social, political, labor or economic conditions in a specific country or region;
|
|
|
reduced protection for intellectual property rights in some countries;
|
|
|
cultural and language difficulties;
|
|
|
political instability;
|
|
|
difficulties in staffing and managing international operations;
|
|
|
laws, policies and other regulatory requirements affecting trade and investment including loss or modification of exemptions for taxes and tariffs, and import
and export license requirements;
|
|
|
exposure to different legal standards;
|
|
|
difficulties in collecting accounts receivable and longer collection periods; and
|
|
|
operating costs in many countries are higher than in the United States.
|
|
|
knowledge, ability and experience of our employees;
|
|
|
frequent software product enhancements;
|
|
|
customer education; and
|
|
|
timeliness and quality of support services;
|
|
|
revenue or results of operations in any quarter failing to meet the expectations, published or otherwise, of the investment community;
|
|
|
announcements of technological innovations by us or our competitors;
|
|
|
new products or the acquisition of significant customers by us or our competitors;
|
|
|
developments with respect to our copyrights or other proprietary rights or those of our competitors;
|
|
|
changes in recommendations or financial estimates by securities analysts;
|
|
|
changes in management;
|
|
|
conditions and trends in the software industry generally;
|
|
|
the announcement of acquisitions or other significant transactions by us or our competitors;
|
|
|
adoption of new accounting standards affecting the software industry;
|
|
|
general market conditions; and
|
|
|
domestic or international terrorism and other factors.
|
Page
|
||
Consolidated Balance Sheets as of April 30, 2002 and 2001
|
56
|
|
Consolidated Statements of Operations for the Years ended April 30, 2002, 2001 and 2000
|
57
|
|
Consolidated Statements of Shareholders Equity and Comprehensive Income for the Years ended April 30, 2002, 2001
and 2000
|
58
|
|
Consolidated Statements of Cash Flows for the Years ended April 30, 2002, 2001 and 2000
|
59
|
|
Notes to the Consolidated Financial Statements
|
60
|
|
Independent Auditors Report
|
77
|
2002
|
2001
|
||||||
ASSETS
|
|||||||
Current assets:
|
|||||||
Cash and cash equivalents
|
$
|
31,429
|
|
10,057
|
|
||
Investmentscurrent
|
|
20,433
|
|
15,118
|
|
||
Trade accounts receivable, less allowance for doubtful accounts of $906 in 2002 and $1,656 in 2001:
|
|||||||
Billed
|
|
9,828
|
|
12,303
|
|
||
Unbilled
|
|
1,848
|
|
3,321
|
|
||
Deferred income taxes
|
|
|
|
1,280
|
|
||
Prepaid expenses and other current assets
|
|
1,197
|
|
1,579
|
|
||
|
|
|
|
|
|||
Total current assets
|
|
64,735
|
|
43,658
|
|
||
Investmentsnoncurrent
|
|
5,393
|
|
5,926
|
|
||
Property and equipment, less accumulated depreciation
|
|
10,213
|
|
16,842
|
|
||
Intangible assets, less accumulated amortization
|
|
12,094
|
|
13,913
|
|
||
Other assets
|
|
1,740
|
|
1,728
|
|
||
|
|
|
|
|
|||
$
|
94,175
|
|
82,067
|
|
|||
|
|
|
|
|
|||
LIABILITIES AND SHAREHOLDERS EQUITY
|
|||||||
Current liabilities:
|
|||||||
Accounts payable
|
$
|
1,820
|
|
2,658
|
|
||
Accrued compensation and related costs
|
|
2,626
|
|
3,523
|
|
||
Income tax payable
|
|
701
|
|
1,126
|
|
||
Other current liabilities
|
|
7,791
|
|
7,117
|
|
||
Deferred revenue
|
|
10,573
|
|
13,633
|
|
||
|
|
|
|
|
|||
Total current liabilities
|
|
23,511
|
|
28,057
|
|
||
Other noncurrent liabilities
|
|
152
|
|
1,045
|
|
||
Deferred income taxes
|
|
|
|
1,280
|
|
||
|
|
|
|
|
|||
Total liabilities
|
|
23,663
|
|
30,382
|
|
||
|
|
|
|
|
|||
Minority interest
|
|
4,095
|
|
3,834
|
|
||
Shareholders equity:
|
|||||||
Common stock:
|
|||||||
Class A, $0.10 par value. Authorized 50,000,000 shares; issued 21,644,410 shares in 2002 and 21,622,290 shares in
2001
|
|
2,164
|
|
2,162
|
|
||
Class B, $0.10 par value. Authorized 10,000,000 shares; issued and outstanding 4,082,289 shares in 2002 and 2001;
convertible into Class A shares on a one-for-one basis
|
|
408
|
|
408
|
|
||
Additional paid-in capital
|
|
66,165
|
|
65,952
|
|
||
Accumulated other comprehensive income
|
|
248
|
|
248
|
|
||
Retained earnings (accumulated deficit)
|
|
15,286
|
|
(3,415
|
)
|
||
Class A treasury stock, 3,026,154 shares and 2,920,854 shares as of April 30, 2002 and 2001
|
|
(17,854
|
)
|
(17,504
|
)
|
||
|
|
|
|
|
|||
Total shareholders equity
|
|
66,417
|
|
47,851
|
|
||
Commitments and contingencies (notes 11 and 12)
|
|||||||
|
|
|
|
|
|||
$
|
94,175
|
|
82,067
|
|
|||
|
|
|
|
|
2002
|
2001
|
2000
|
||||||||
Revenues:
|
||||||||||
License fees
|
$
|
12,052
|
|
12,778
|
|
20,572
|
|
|||
Services
|
|
30,671
|
|
34,527
|
|
41,125
|
|
|||
Maintenance
|
|
21,907
|
|
23,867
|
|
25,198
|
|
|||
|
|
|
|
|
|
|
||||
Total revenues
|
|
64,630
|
|
71,172
|
|
86,895
|
|
|||
|
|
|
|
|
|
|
||||
Cost of revenues:
|
||||||||||
License fees
|
|
4,592
|
|
5,681
|
|
5,177
|
|
|||
Services
|
|
18,094
|
|
22,694
|
|
25,907
|
|
|||
Maintenance
|
|
3,936
|
|
5,225
|
|
9,750
|
|
|||
|
|
|
|
|
|
|
||||
Total cost of revenues
|
|
26,622
|
|
33,600
|
|
40,834
|
|
|||
|
|
|
|
|
|
|
||||
Research and development costs
|
|
10,497
|
|
15,289
|
|
20,121
|
|
|||
Less capitalizable software
|
|
(3,288
|
)
|
(3,949
|
)
|
(10,446
|
)
|
|||
Marketing and sales expense
|
|
13,297
|
|
20,092
|
|
22,643
|
|
|||
General and administrative expenses
|
|
11,851
|
|
12,799
|
|
12,818
|
|
|||
Provision for doubtful accounts
|
|
503
|
|
1,274
|
|
385
|
|
|||
Charge for asset impairment and restructuring
|
|
|
|
10,458
|
|
|
|
|||
|
|
|
|
|
|
|
||||
Operating income (loss)
|
|
5,148
|
|
(18,391
|
)
|
540
|
|
|||
Other income:
|
||||||||||
Interest income
|
|
1,247
|
|
1,993
|
|
2,233
|
|
|||
Minority interest
|
|
(339
|
)
|
914
|
|
(261
|
)
|
|||
Other, net
|
|
1,135
|
|
(1,331
|
)
|
(140
|
)
|
|||
|
|
|
|
|
|
|
||||
Income (loss) from continuing operations before income taxes
|
|
7,191
|
|
(16,815
|
)
|
2,372
|
|
|||
Income tax (benefit) expense
|
|
|
|
(2,418
|
)
|
150
|
|
|||
|
|
|
|
|
|
|
||||
Income (loss) from continuing operations
|
|
7,191
|
|
(14,397
|
)
|
2,222
|
|
|||
Discontinued operations:
|
||||||||||
Loss from operations of discontinued segment, net of taxes of $-0-
|
|
(1,866
|
)
|
(8,183
|
)
|
(3,464
|
)
|
|||
Gain on disposal of discontinued segment, net of taxes of $-0-
|
|
13,376
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
||||
Net earnings (loss)
|
$
|
18,701
|
|
(22,580
|
)
|
(1,242
|
)
|
|||
|
|
|
|
|
|
|
||||
Net earnings (loss) per common share:
|
||||||||||
Basic:
|
||||||||||
Continuing operations
|
$
|
0.32
|
|
(0.63
|
)
|
0.10
|
|
|||
Discontinued operations
|
|
0.50
|
|
(0.36
|
)
|
(0.16
|
)
|
|||
|
|
|
|
|
|
|
||||
$
|
0.82
|
|
(0.99
|
)
|
(0.06
|
)
|
||||
|
|
|
|
|
|
|
||||
Diluted:
|
||||||||||
Continuing operations
|
$
|
0.32
|
|
(0.63
|
)
|
0.09
|
|
|||
Discontinued operations
|
|
0.50
|
|
(0.36
|
)
|
(0.16
|
)
|
|||
|
|
|
|
|
|
|
||||
$
|
0.82
|
|
(0.99
|
)
|
(0.07
|
)
|
||||
|
|
|
|
|
|
|
||||
Shares used in the calculation of earnings (loss) per common share:
|
||||||||||
Basic
|
|
22,773,128
|
|
22,730,101
|
|
21,721,636
|
|
|||
Diluted
|
|
22,910,880
|
|
22,730,101
|
|
23,446,455
|
|
Common stock
|
Additional paid-in capital
|
Accumulated other comprehensive income
|
Retained earnings (accumulated deficit)
|
Treasury stock
|
Total Shareholders equity
|
Comprehensive income
|
|||||||||||||||||||||||
Class A
|
Class B
|
||||||||||||||||||||||||||||
Shares
|
Amount
|
Shares
|
Amount
|
||||||||||||||||||||||||||
Balance at April 30, 1999
|
19,469,405
|
$
|
1,946,940
|
4,768,289
|
|
$
|
476,829
|
|
60,367,900
|
244,912
|
20,407,727
|
|
(16,247,142
|
)
|
67,197,166
|
|
|||||||||||||
Proceeds from stock options exercised
|
1,321,995
|
|
132,220
|
|
|
|
|
|
4,288,933
|
|
|
|
|
|
4,421,133
|
|
|||||||||||||
Conversion of Class B shares into Class A shares
|
682,00
|
|
68,200
|
(682,000
|
)
|
|
(68,200
|
)
|
|
|
|
|
|
|
|
|
|||||||||||||
Noncash stock compensation
|
|
|
|
|
|
|
|
|
208,217
|
|
|
|
|
|
208,217
|
|
|||||||||||||
Repurchase of 321,562 Class A shares
|
|
|
|
|
|
|
|
|
|
|
|
|
(1,256,427
|
)
|
(1,256,427
|
)
|
|||||||||||||
Issuance of 2,884 Class A shares under Dividend Reinvestment and Stock Purchase Plan
|
2,884
|
|
288
|
|
|
|
|
|
9,753
|
|
|
|
|
|
10,041
|
|
|||||||||||||
Decrease in Minority interest in subsidiary, resulting from purchase of stock
|
|
|
|
|
|
|
|
|
366,325
|
|
|
|
|
|
366,325
|
|
|||||||||||||
Net loss
|
|
|
|
|
|
|
|
|
|
|
(1,242,788
|
)
|
|
|
(1,242,788
|
)
|
$
|
(1,2242,778
|
)
|
||||||||||
Translation adjustments
|
|
|
|
|
|
|
|
|
|
1,997
|
|
|
|
|
1,997
|
|
|
1,997
|
|
||||||||||
Comprehensive income for fiscal 1999
|
$
|
(1,240,781
|
)
|
||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Balance at April 30, 2000
|
21,476,284
|
|
2,147,628
|
4,086,289
|
|
|
408,629
|
|
65,241,128
|
246,909
|
19,164,949
|
|
(17,503,569
|
)
|
69,705,674
|
|
|||||||||||||
Proceeds from stock options exercised
|
125,398
|
|
12,540
|
|
|
|
|
|
383,127
|
|
|
|
|
|
395,667
|
|
|||||||||||||
Conversion of Class B shares into Class A shares
|
4,000
|
|
400
|
(4,000
|
)
|
|
(400
|
)
|
|
|
|
|
|
|
|
|
|||||||||||||
Noncash stock compensation
|
|
|
|
|
|
|
|
|
265,085
|
|
|
|
|
|
265,085
|
|
|||||||||||||
Issuance of 16,608 Class A shares under Dividend Reinvestment and Stock Purchase Plan
|
16,608
|
|
1,661
|
|
|
|
|
|
37,975
|
|
|
|
|
|
39,636
|
|
|||||||||||||
Decrease in minority interest in subsidiary, resulting from purchase of stock
|
|
|
|
|
|
|
|
|
24,734
|
|
|
|
|
|
24,734
|
|
|||||||||||||
Net loss
|
|
|
|
|
|
|
|
|
|
|
(22,580,504
|
)
|
|
|
(22,580,504
|
)
|
$
|
(22,580,504
|
)
|
||||||||||
Translation adjustments
|
|
|
|
|
|
|
|
|
|
533
|
|
|
|
|
533
|
|
|
533
|
|
||||||||||
|
|
|
|||||||||||||||||||||||||||
Comprehensive income for fiscal 2000
|
$
|
(22,579,971
|
)
|
||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Balance at April 30, 2001
|
21,622,290
|
|
2,162,229
|
4,082,289
|
|
|
408,229
|
|
65,952,049
|
247,442
|
(3,415,555
|
)
|
(17,503,569
|
)
|
47,850,825
|
|
|||||||||||||
Proceeds from stock options exercised
|
13,800
|
|
1,380
|
|
|
|
|
|
54,380
|
|
|
|
|
|
55,760
|
|
|||||||||||||
Noncash stock compensation
|
|
|
|
|
|
|
|
|
64,518
|
|
|
|
|
|
64,518
|
|
|||||||||||||
Repurchase of 105,300 Class A shares
|
|
|
|
|
|
|
|
|
|
|
|
|
(350,800
|
)
|
(350,800
|
)
|
|||||||||||||
Issuance of 8,320 Class A shares under Dividend Reinvestment and Stock Purchase Plan
|
8,320
|
|
832
|
|
|
|
|
|
15,482
|
|
|
|
|
|
16,314
|
|
|||||||||||||
Decrease in minority interest in subsidiary, resulting from purchase of stock
|
|
|
|
|
|
|
|
|
78,159
|
|
|
|
|
|
78,159
|
|
|||||||||||||
Net income
|
|
|
|
|
|
|
|
|
|
|
18,701,492
|
|
|
|
18,701,492
|
|
$
|
18,701,492
|
|
||||||||||
Translation adjustments
|
|
|
|
|
|
|
|
|
|
618
|
|
|
|
|
618
|
|
|
618
|
|
||||||||||
|
|
|
|||||||||||||||||||||||||||
Comprehensive income for fiscal 2001
|
$
|
18,702,110
|
|
||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Balance at April 30, 2002
|
21,644,410
|
$
|
2,164,441
|
4,082,289
|
|
$
|
408,229
|
|
66,164,588
|
248,060
|
15,285,937
|
|
(17,854,369
|
)
|
66,416,866
|
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2002
|
2001
|
2000
|
||||||||
Cash flows from operating activities:
|
||||||||||
Net earnings (loss)
|
$
|
18,701
|
|
(22,580
|
)
|
(1,242
|
)
|
|||
Income (loss) from discontinued operations
|
|
11,510
|
|
(8,183
|
)
|
(3,464
|
)
|
|||
|
|
|
|
|
|
|
||||
Income (loss) from continuing operations
|
|
7,191
|
|
(14,397
|
)
|
2,222
|
|
|||
|
|
|
|
|
|
|
||||
Adjustments to reconcile net earnings (loss) to net cash provided by operating activities:
|
||||||||||
Charge for asset impairment and purchased R&D
|
|
|
|
9,446
|
|
|
|
|||
Depreciation and amortization
|
|
7,118
|
|
8,547
|
|
7,363
|
|
|||
Net loss (gain) on investments
|
|
52
|
|
65
|
|
(250
|
)
|
|||
Loss on disposal of property
|
|
984
|
|
|
|
73
|
|
|||
Minority interest in net earnings (loss) of subsidiary
|
|
339
|
|
(914
|
)
|
261
|
|
|||
Grants of compensatory stock options
|
|
65
|
|
266
|
|
208
|
|
|||
Changes in operating assets and liabilities:
|
||||||||||
Purchases of trading securities
|
|
(8,282
|
)
|
(1,591
|
)
|
(7,998
|
)
|
|||
Proceeds from sale of trading securities
|
|
833
|
|
5,711
|
|
7,894
|
|
|||
Proceeds from maturities of trading securities
|
|
2,667
|
|
273
|
|
3,455
|
|
|||
Accounts receivable
|
|
2,265
|
|
4,752
|
|
697
|
|
|||
Prepaid expenses and other current assets
|
|
16
|
|
27
|
|
(508
|
)
|
|||
Accounts payable and other current liabilities
|
|
(2,706
|
)
|
(4,850
|
)
|
1,517
|
|
|||
Deferred revenue
|
|
(3,060
|
)
|
(2,304
|
)
|
(362
|
)
|
|||
|
|
|
|
|
|
|
||||
Net cash provided by continuing operations
|
|
7,482
|
|
5,031
|
|
14,572
|
|
|||
Net cash provided by (used in) discontinued operations
|
|
6
|
|
(5,353
|
)
|
(793
|
)
|
|||
|
|
|
|
|
|
|
||||
Net cash provided by (used in) operating activities
|
|
7,488
|
|
(322
|
)
|
13,779
|
|
|||
|
|
|
|
|
|
|
||||
Cash flows from investing activities:
|
||||||||||
Capitalized software development costs
|
|
(3,288
|
)
|
(3,949
|
)
|
(10,446
|
)
|
|||
Purchased software
|
|
(137
|
)
|
(587
|
)
|
(603
|
)
|
|||
Purchase of majority interest in subsidiaries, net of cash received
|
|
(557
|
)
|
(517
|
)
|
(658
|
)
|
|||
Minority investment and additional funding in business
|
|
|
|
|
|
(601
|
)
|
|||
Purchases of property and equipment
|
|
(168
|
)
|
(995
|
)
|
(1,166
|
)
|
|||
Purchases of property and equipment related to discontinued operations
|
|
|
|
(576
|
)
|
(1,012
|
)
|
|||
(Purchases) sales of investments, net
|
|
(61
|
)
|
5,833
|
|
(7,139
|
)
|
|||
Purchases of common stock by subsidiary
|
|
(130
|
)
|
(105
|
)
|
(768
|
)
|
|||
Cash received in connection with disposal of discontinued segment, net of cash paid for transaction costs
|
|
19,735
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
||||
Net cash provided by (used in) investing activities
|
|
15,394
|
|
(896
|
)
|
(22,393
|
)
|
|||
|
|
|
|
|
|
|
||||
Cash flows from financing activities:
|
||||||||||
Repayment of long-term debt
|
|
|
|
|
|
(950
|
)
|
|||
Payments of capital lease obligations
|
|
(1,231
|
)
|
(2,075
|
)
|
(2,268
|
)
|
|||
Repurchases of common stock
|
|
(351
|
)
|
|
|
(1,256
|
)
|
|||
Proceeds from Dividend Reinvestment Plan
|
|
16
|
|
44
|
|
10
|
|
|||
Proceeds from exercise of stock options
|
|
56
|
|
396
|
|
4,421
|
|
|||
|
|
|
|
|
|
|
||||
Net cash used in financing activities
|
|
(1,510
|
)
|
(1,635
|
)
|
(43
|
)
|
|||
|
|
|
|
|
|
|
||||
Net change in cash and cash equivalents
|
|
21,372
|
|
(2,853
|
)
|
(8,657
|
)
|
|||
Cash and cash equivalents at beginning of year
|
|
10,057
|
|
12,910
|
|
21,567
|
|
|||
|
|
|
|
|
|
|
||||
Cash and cash equivalents at end of year
|
$
|
31,429
|
|
10,057
|
|
12,910
|
|
|||
|
|
|
|
|
|
|
||||
Supplemental disclosures of cash paid during the year for:
|
||||||||||
Income taxes
|
$
|
61
|
|
131
|
|
248
|
|
|||
Interest
|
|
140
|
|
365
|
|
106
|
|
|||
Supplemental disclosures of noncash operating, investing, and financing activities:
|
||||||||||
Assumption of capital lease obligations for property and equipment
|
|
|
|
2,443
|
|
2,289
|
|
Years ended April 30
|
|||||||
2002
|
2001
|
2000
|
|||||
(In thousands)
|
|||||||
Total capitalized computer software development costs
|
$
|
3,288
|
3,949
|
10,446
|
|||
Total research and development expense
|
|
7,209
|
11,340
|
9,675
|
|||
|
|
|
|
||||
Total research and development expense and capitalized computer software development costs
|
$
|
10,497
|
15,289
|
20,121
|
|||
|
|
|
|
||||
Total amortization of capitalized computer software
development costs |
$
|
3,946
|
3,790
|
3,632
|
|||
Total amortization of purchased computer software
cost |
|
365
|
476
|
346
|
|||
Write-off of capitalized software costs as a result of net realizable value analyses
|
|
|
9,446
|
|
Years ended April 30
|
|||||||||
2002
|
2001
|
2000
|
|||||||
(In thousands)
|
|||||||||
Common shares:
|
|||||||||
Weighted average common shares outstanding:
|
|||||||||
Class A shares
|
|
18,691
|
18,648
|
|
17,636
|
|
|||
Class B shares
|
|
4,082
|
4,082
|
|
4,086
|
|
|||
|
|
|
|
|
|
||||
Basic weighted average common shares outstanding
|
|
22,773
|
22,730
|
|
21,722
|
|
|||
Dilutive effect of outstanding Class A common stock options outstanding
|
|
138
|
|
|
1,724
|
|
|||
|
|
|
|
|
|
||||
Total
|
|
22,911
|
22,730
|
|
23,446
|
|
|||
|
|
|
|
|
|
||||
Net earnings (loss)
|
$
|
18,701
|
(22,580
|
)
|
(1,242
|
)
|
April 30
|
|||||
2002
|
2001
|
||||
(In thousands)
|
|||||
Trading:
|
|||||
Debt securities:
|
|||||
U.S. Treasury securities
|
$
|
6,089
|
|
||
Tax-exempt state and municipal bonds
|
|
928
|
2,416
|
||
|
|
|
|||
Total debt securities
|
|
7,017
|
2,416
|
||
Equity securities
|
|
3,418
|
3,298
|
||
|
|
|
|||
$
|
10,435
|
5,714
|
|||
|
|
|
April 30, 2002
|
||||||||
Carrying value
|
Fair value
|
Unrealized gain (loss)
|
||||||
(In thousands)
|
||||||||
Held-to-maturity:
|
||||||||
Government securities
|
$
|
2,441
|
2,435
|
(6
|
)
|
|||
Commercial paper
|
|
5,991
|
5,996
|
5
|
|
|||
Corporate bonds
|
|
6,959
|
6,971
|
12
|
|
|||
|
|
|
|
|
||||
$
|
15,391
|
15,402
|
11
|
|
||||
|
|
|
|
|
April 30, 2001
|
|||||||
Carrying value
|
Fair value
|
Unrealized gain
|
|||||
(In thousands)
|
|||||||
Held-to-maturity:
|
|||||||
Government securities
|
$
|
2,749
|
2,778
|
29
|
|||
Commercial paper
|
|
7,175
|
7,175
|
|
|||
Corporate bonds
|
|
5,406
|
5,507
|
101
|
|||
|
|
|
|
||||
$
|
15,330
|
15,460
|
130
|
||||
|
|
|
|
Year ending April 30:
|
|||
2003
|
$
|
20,433
|
|
2004
|
|
1,998
|
|
2005
|
|
439
|
|
2006
|
|
|
|
2007
|
|
1,689
|
|
Thereafter
|
|
1,267
|
|
|
|
||
Total investments
|
$
|
25,826
|
|
|
|
2002
|
2001
|
||||
Buildings and leasehold improvements
|
$
|
16,475
|
17,850
|
||
Computer equipment
|
|
11,661
|
13,923
|
||
Office furniture and equipment
|
|
3,982
|
10,429
|
||
|
|
|
|||
|
32,118
|
42,202
|
|||
Less accumulated depreciation and amortization
|
|
21,905
|
25,360
|
||
|
|
|
|||
$
|
10,213
|
16,842
|
|||
|
|
|
2002
|
2001
|
||||
Capitalized computer software development costs
|
$
|
26,692
|
23,404
|
||
Purchased computer software costs
|
|
1,525
|
5,205
|
||
Goodwill
|
|
7,701
|
7,014
|
||
|
|
|
|||
|
35,918
|
35,623
|
|||
Less accumulated amortization
|
|
23,824
|
21,710
|
||
|
|
|
|||
$
|
12,094
|
13,913
|
|||
|
|
|
Year ended April 30
|
||||||||
2002
|
2001
|
2000
|
||||||
(In thousands)
|
||||||||
Current:
|
||||||||
Federal
|
$
|
|
(2,418
|
)
|
|
|||
State
|
|
|
|
|
150
|
|||
|
|
|
|
|
||||
|
|
(2,418
|
)
|
150
|
||||
|
|
|
|
|
||||
Deferred:
|
||||||||
Federal
|
|
|
|
|
|
|||
State
|
|
|
|
|
|
|||
|
|
|
|
|
||||
|
|
|
|
|
||||
|
|
|
|
|
||||
$
|
|
(2,418
|
)
|
150
|
||||
|
|
|
|
|
Years ended April 30
|
||||||||||
2002
|
2001
|
2000
|
||||||||
(In thousands)
|
||||||||||
Computed expected income tax expense (benefit)
|
$
|
2,445
|
|
(5,717
|
)
|
806
|
|
|||
Increase (decrease) in income taxes resulting from:
|
||||||||||
State income taxes, net of Federal income tax effect
|
|
664
|
|
(1,092
|
)
|
57
|
|
|||
IRS settlement
|
|
|
|
(2,957
|
)
|
|
|
|||
Tax-exempt interest income
|
|
(16
|
)
|
(54
|
)
|
(64
|
)
|
|||
Change in valuation allowance for deferred tax assets
|
|
(5,015
|
)
|
7,671
|
|
(773
|
)
|
|||
Amquest net operating loss
|
|
1,986
|
|
|
|
|
|
|||
Permanent differences
|
|
(54
|
)
|
(269
|
)
|
179
|
|
|||
Other
|
|
(10
|
)
|
|
|
(55
|
)
|
|||
|
|
|
|
|
|
|
||||
$
|
|
|
(2,418
|
)
|
150
|
|
||||
|
|
|
|
|
|
|
Years ended April 30
|
||||||||||
2002
|
2001
|
2000
|
||||||||
(In thousands)
|
||||||||||
Deferred tax (benefit) expense
|
$
|
5,015
|
|
(7,671
|
)
|
773
|
|
|||
(Decrease) increase in beginning-of-the year balance of the valuation allowance for deferred tax assets
|
|
(5,015
|
)
|
7,671
|
|
(773
|
)
|
|||
|
|
|
|
|
|
|
||||
$
|
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
April 30
|
|||||||
2002
|
2001
|
||||||
(In thousands)
|
|||||||
Deferred tax assets:
|
|||||||
Expenses, due to accrual for financial reporting purposes
|
$
|
565
|
|
1,048
|
|
||
Accounts receivable, due to allowance for doubtful accounts
|
|
329
|
|
642
|
|
||
Compensation expense related to grants of nonqualified stock options
|
|
290
|
|
275
|
|
||
Net operating loss carryforwards
|
|
8,914
|
|
17,801
|
|
||
Foreign tax credit carryforwards
|
|
777
|
|
777
|
|
||
Intangible asset amortization
|
|
922
|
|
922
|
|
||
Gain on investments not recognized for tax purposes
|
|
1,274
|
|
1,272
|
|
||
Other
|
|
29
|
|
64
|
|
||
Credits
|
|
718
|
|
718
|
|
||
Property and equipment, primarily due to differences in depreciation
|
|
161
|
|
|
|
||
|
|
|
|
|
|||
Total gross deferred tax assets
|
|
13,202
|
|
23,519
|
|
||
Less valuation allowance
|
|
(9,183
|
)
|
(18,659
|
)
|
||
|
|
|
|
|
|||
Net deferred tax assets
|
|
4,019
|
|
4,860
|
|
||
|
|
|
|
|
|||
Deferred tax liabilities:
|
|||||||
Capitalized computer software development costs
|
|
(1,312
|
)
|
(1,800
|
)
|
||
Property and equipment, primarily due to differences in depreciation
|
|
|
|
(1,378
|
)
|
||
Stock and bond valuation
|
|
(1,013
|
)
|
(1,013
|
)
|
||
Other
|
|
(1,694
|
)
|
(669
|
)
|
||
|
|
|
|
|
|||
Total gross deferred tax liabilities
|
|
(4,019
|
)
|
(4,860
|
)
|
||
|
|
|
|
|
|||
Net deferred tax liability
|
$
|
|
|
|
|
||
|
|
|
|
|
Years ended April 30
|
|||||||||
2002
|
2001
|
2000
|
|||||||
(In thousands, except per share data)
|
|||||||||
Net earnings (loss):
|
|||||||||
As reported
|
$
|
18,701
|
(22,580
|
)
|
(1,242
|
)
|
|||
Pro forma
|
|
15,420
|
(27,121
|
)
|
(5,154
|
)
|
|||
Diluted earnings (loss) per share:
|
|||||||||
As reported
|
|
0.82
|
(0.99
|
)
|
(0.06
|
)
|
|||
Pro forma
|
|
0.67
|
(1.19
|
)
|
(0.24
|
)
|
2002
|
2001
|
2000
|
|||||||
Dividend yield
|
0
|
%
|
0
|
%
|
0
|
%
|
|||
Expected volatility
|
80.0
|
%
|
121.2
|
%
|
104.9
|
%
|
|||
Risk-free interest rate
|
4.9
|
%
|
5.9
|
%
|
5.6
|
%
|
|||
Expected life
|
8 years
|
|
8 years
|
|
8 years
|
|
2002
|
2001
|
2000
|
||||||||||||||||
Fixed options
|
Shares
|
Weighted average price
|
Shares
|
Weighted average price
|
Shares
|
Weighted average price
|
||||||||||||
Outstanding at beginning of year
|
3,768,149
|
|
$
|
3.64
|
2,746,451
|
|
$
|
3.76
|
3,418,796
|
|
$
|
3.10
|
||||||
Granted
|
837,874
|
|
|
1.96
|
1,828,400
|
|
|
3.65
|
1,116,650
|
|
|
4.80
|
||||||
Exercised
|
(13,800
|
)
|
|
2.72
|
(125,398
|
)
|
|
3.02
|
(1,321,995
|
)
|
|
3.25
|
||||||
Forfeited/canceled
|
(446,609
|
)
|
|
3.51
|
(681,304
|
)
|
|
4.28
|
(467,000
|
)
|
|
2.94
|
||||||
|
|
|
|
|
|
|||||||||||||
Outstanding at end of year
|
4,145,614
|
|
|
3.31
|
3,768,149
|
|
|
3.64
|
2,746,451
|
|
|
3.76
|
||||||
|
|
|
|
|
|
|||||||||||||
Options exercisable at year-end
|
2,035,462
|
|
|
3.80
|
1,341,932
|
|
|
4.10
|
743,879
|
|
|
5.07
|
||||||
Weighted average fair value of options granted during the year
|
1.39
|
|
3.36
|
|
4.38
|
|
Option outstanding
|
Options exercisable
|
|||||||||
Range of
exercise prices
|
Number outstanding
at April 30, 2002 |
Weighted
average remaining contractual life |
Weighted
average
exercise
price
|
Number exercisable at April 30, 2002
|
Weighted average exercise price
|
|||||
$ 0.00 1.69
|
173,250
|
9.2
|
$ 1.52
|
14,625
|
$ 1.47
|
|||||
1.70 3.38
|
2,581,605
|
6.5
|
2.48
|
1,304,073
|
2.66
|
|||||
3.39 5.06
|
986,012
|
7.3
|
3.95
|
385,199
|
3.92
|
|||||
5.07 6.75
|
134,497
|
6.8
|
5.55
|
77,940
|
5.59
|
|||||
6.76 8.44
|
184,750
|
4.9
|
7.31
|
168,125
|
7.32
|
|||||
8.4510.13
|
500
|
5.3
|
8.75
|
500
|
8.75
|
|||||
10.1411.81
|
15,000
|
5.5
|
11.75
|
15,000
|
11.75
|
|||||
11.8213.50
|
70,000
|
7.9
|
12.75
|
70,000
|
12.75
|
|||||
|
|
|||||||||
4,145,614
|
6.8
|
3.31
|
2,035,462
|
3.80
|
||||||
|
|
2002
|
2001
|
2000
|
||||||||||||||||
Fixed options
|
Shares
|
Weighted average price
|
Shares
|
Weighted average price
|
Shares
|
Weighted average price
|
||||||||||||
Outstanding at beginning of year
|
779,021
|
|
$
|
4.37
|
764,089
|
|
$
|
4.73
|
555,446
|
|
$
|
4.22
|
||||||
Granted
|
165,250
|
|
|
3.15
|
132,000
|
|
|
3.17
|
415,400
|
|
|
5.04
|
||||||
Exercised
|
(6,500
|
)
|
|
2.81
|
(5,260
|
)
|
|
2.75
|
(43,454
|
)
|
|
2.96
|
||||||
Forfeited/canceled
|
(156,349
|
)
|
|
5.72
|
(111,808
|
)
|
|
5.53
|
(163,303
|
)
|
|
4.28
|
||||||
|
|
|
|
|
|
|||||||||||||
Outstanding at April 30, 2002
|
781,422
|
|
|
3.85
|
779,021
|
|
|
4.37
|
764,089
|
|
|
4.73
|
||||||
|
|
|
|
|
|
|||||||||||||
Options exercisable at April 30, 2002
|
417,291
|
|
|
4.20
|
326,841
|
|
|
4.87
|
126,438
|
|
|
6.17
|
||||||
Weighted average fair value of options granted during the year
|
2.40
|
|
2.94
|
|
2.63
|
|
Options outstanding
|
Options exercisable
|
|||||||||
Range of
exercise prices |
Number outstanding
at April 30, 2002 |
Weighted
average remaining contractual life |
Weighted
average exercise price |
Number exercisable
at April 30, 2002 |
Weighted
average exercise price |
|||||
$ 1.63 3.25
|
395,320
|
7.0
|
$ 2.76
|
227,989
|
$ 2.75
|
|||||
3.26 4.88
|
319,012
|
7.3
|
3.82
|
137,212
|
4.00
|
|||||
4.89 8.13
|
27,000
|
7.5
|
7.30
|
17,000
|
7.33
|
|||||
8.1413.00
|
20,045
|
5.2
|
11.63
|
15,045
|
10.23
|
|||||
13.0114.63
|
13,045
|
2.9
|
14.50
|
13,045
|
14.50
|
|||||
14.6416.25
|
7,000
|
6.5
|
15.61
|
7,000
|
15.61
|
|||||
|
|
|||||||||
781,422
|
7.0
|
3.85
|
417,291
|
4.20
|
||||||
|
|
Year ending April 30:
|
|||
2003
|
$
|
827
|
|
2004
|
|
345
|
|
2005
|
|
179
|
|
2006
|
|
7
|
|
|
|
||
Total minimum lease payments
|
$
|
1,358
|
|
|
|
2002
|
2001
|
2000
|
||||||||
(In thousands)
|
||||||||||
Revenues:
|
||||||||||
Enterprise resource planning
|
$
|
28,945
|
|
37,449
|
|
51,092
|
|
|||
Business-to-business collaborative commerce
|
|
29,399
|
|
28,206
|
|
32,289
|
|
|||
Other
|
|
6,286
|
|
5,517
|
|
3,514
|
|
|||
|
|
|
|
|
|
|
||||
Total
|
$
|
64,630
|
|
71,172
|
|
86,895
|
|
|||
|
|
|
|
|
|
|
||||
Operating income before intersegment eliminations:
|
||||||||||
Enterprise resource planning
|
$
|
3,907
|
|
(12,841
|
)
|
(894
|
)
|
|||
Business-to-business collaborative commerce
|
|
1,150
|
|
(5,692
|
)
|
1,251
|
|
|||
Other
|
|
91
|
|
142
|
|
183
|
|
|||
|
|
|
|
|
|
|
||||
Total
|
$
|
5,148
|
|
(18,391
|
)
|
540
|
|
|||
|
|
|
|
|
|
|
||||
Intersegment eliminations:
|
||||||||||
Enterprise resource planning
|
$
|
(2,346
|
)
|
(2,156
|
)
|
(2,131
|
)
|
|||
Business-to-business collaborative commerce
|
|
2,346
|
|
2,156
|
|
2,131
|
|
|||
|
|
|
|
|
|
|
||||
Total
|
$
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
||||
Operating income after intersegment eliminations:
|
||||||||||
Enterprise resource planning
|
$
|
1,561
|
|
(14,997
|
)
|
(3,025
|
)
|
|||
Business-to-business collaborative commerce
|
|
3,496
|
|
(3,536
|
)
|
3,382
|
|
|||
Other
|
|
91
|
|
142
|
|
183
|
|
|||
|
|
|
|
|
|
|
||||
Total
|
$
|
5,148
|
|
(18,391
|
)
|
540
|
|
|||
|
|
|
|
|
|
|
||||
Capital expenditures:
|
||||||||||
Enterprise resource planning
|
$
|
33
|
|
691
|
|
625
|
|
|||
Business-to-business collaborative commerce
|
|
133
|
|
300
|
|
538
|
|
|||
Other
|
|
2
|
|
4
|
|
3
|
|
|||
|
|
|
|
|
|
|
||||
Total
|
$
|
168
|
|
995
|
|
1,166
|
|
|||
|
|
|
|
|
|
|
||||
Capital software:
|
||||||||||
Enterprise resource planning
|
$
|
302
|
|
983
|
|
7,073
|
|
|||
Business-to-business collaborative commerce
|
|
2,986
|
|
2,966
|
|
3,373
|
|
|||
|
|
|
|
|
|
|
||||
Total
|
$
|
3,288
|
|
3,949
|
|
10,446
|
|
|||
|
|
|
|
|
|
|
||||
Depreciation and amortization:
|
||||||||||
Enterprise resource planning
|
$
|
2,779
|
|
5,035
|
|
3,876
|
|
|||
Business-to-business collaborative commerce
|
|
4,338
|
|
3,511
|
|
3,485
|
|
|||
Other
|
|
1
|
|
1
|
|
2
|
|
|||
|
|
|
|
|
|
|
||||
Total
|
$
|
7,118
|
|
8,547
|
|
7,363
|
|
|||
|
|
|
|
|
|
|
||||
Identifiable assets:
|
||||||||||
Enterprise resource planning
|
$
|
50,232
|
|
37,738
|
|
67,495
|
|
|||
Business-to-business collaborative commerce
|
|
40,113
|
|
40,346
|
|
42,330
|
|
|||
Other
|
|
3,830
|
|
3,983
|
|
3,222
|
|
|||
|
|
|
|
|
|
|
||||
Total
|
$
|
94,175
|
|
82,067
|
|
113,047
|
|
|||
|
|
|
|
|
|
|
Total revenue
|
Operating income (loss)
|
Net earnings (loss) attributable to common shareholders
|
Diluted net earnings (loss) per share
|
|||||||||
Quarter ended:
|
||||||||||||
July 31, 2001
|
$
|
17,921
|
1,881
|
|
1,109
|
|
0.05
|
|
||||
October 31, 2001
|
|
15,426
|
876
|
|
1,132
|
|
0.05
|
|
||||
January 31, 2002
|
|
14,993
|
1,104
|
|
1,126
|
|
0.05
|
|
||||
April 30, 2002
|
|
16,290
|
1,287
|
|
15,334
|
|
0.67
|
|
||||
|
|
|
|
|
|
|
|
|||||
Year ended April 30, 2002
|
$
|
64,630
|
5,148
|
|
18,701
|
|
0.82
|
|
||||
|
|
|
|
|
|
|
|
|||||
Quarter ended:
|
||||||||||||
July 31, 2000
|
$
|
18,241
|
(2,285
|
)
|
(3,692
|
)
|
(0.16
|
)
|
||||
October 31, 2000
|
|
17,015
|
(14,794
|
)
|
(15,914
|
)
|
(0.70
|
)
|
||||
January 31, 2001
|
|
17,190
|
(2,982
|
)
|
(3,192
|
)
|
(0.14
|
)
|
||||
April 30, 2001
|
|
18,726
|
1,670
|
|
218
|
|
0.01
|
|
||||
|
|
|
|
|
|
|
|
|||||
Year ended April 30, 2001
|
$
|
71,172
|
(18,391
|
)
|
(22,580
|
)
|
(0.99
|
)
|
||||
|
|
|
|
|
|
|
|
Name
|
Age
|
Position
|
||
James C. Edenfield
|
67
|
President, Chief Executive Officer, Treasurer and Director; Chairman of the Board of Directors of Logility,
Inc.
|
||
Thomas L. Newberry
|
69
|
Chairman of the Board of Directors
|
||
J. Michael Edenfield
|
44
|
Director, Executive Vice President, President and Director of Logility, Inc.
|
||
David H. Gambrell
|
72
|
Director
|
||
Dennis Hogue
|
49
|
Director
|
||
John J. Jarvis
|
60
|
Director
|
||
James B. Miller Jr.
|
62
|
Director
|
||
Thomas L. Newberry, V.
|
35
|
Director
|
||
Jeffrey W. Coombs
|
50
|
Executive Vice President of American Software USA, Inc.
|
||
Vincent C. Klinges
|
39
|
Chief Financial Officer
|
||
James R. McGuone
|
55
|
Secretary
|
(a)
Documents
|
|
filed as part of this report.
|
1.
|
|
Financial statements; All financial statements of the Company as described in Item 8 of this report on Form 10-K.
|
2.
|
|
Financial statement schedule included in Part IV of this Form:
|
Page
|
||
Report of Independent Auditors
|
85
|
|
Schedule IIConsolidated Valuation Accountsfor the three years ended April 30,
2002
|
86
|
3.
Exhibits
|
|
|
10.14
|
The Companys Employee Stock Purchase Plan dated September 30, 1998. (8)
|
|
10.15
|
Logility, Inc.s Amended and Restated 1997 Stock Plan dated August 26, 1998. (9)
|
|
10.16
|
Logility, Inc.s Employee Stock Purchase Plan dated September 30, 1998. (9)
|
|
10.17
|
Split-Dollar Agreement between the Company and the J&N Edenfield Trust, dated
November 30, 1999. (10)
|
|
10.18
|
The Companys 2001 Stock Option Plan. (11)
|
|
21.1
|
List of Subsidiaries.
|
|
23.1
|
Independent Auditors Consent.
|
(1)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its quarterly report filed on Form 10-Q for the quarter ended October 31, 1990.
|
(2)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its quarterly report filed on Form 10-Q for the quarter ended January 31, 1990.
|
(3)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its quarterly report filed on Form 10-Q for the quarter ended January 31, 2000.
|
(4)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its Registration Statement No. 333-86141 filed on Form S-8 on August 30, 1999.
|
(5)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its Registration Statement No. 333-55214 filed on Form S-8 on December 1, 1992.
|
(6)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its Registration Statement No. 2-81444 filed on Form S-1 on January 21, 1983.
|
(7)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its annual report filed on Form 10-K for the fiscal year ended April 30, 1998.
|
(8)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its Registration Statement No. 333-67533 filed on Form S-8 on November 19, 1998.
|
(9)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its annual report filed on Form 10-K for the fiscal year ended April 30, 1999.
|
(10)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its annual report filed on Form 10-K for the fiscal year ended April 30, 2000.
|
(11)
|
|
Incorporated by reference herein. Filed by the Company as an exhibit to its Registration Statement No. 333-44744 filed on form S-8 on August 29, 2000.
|
Year ended
|
Balance
at
beginning
of year
|
Additions charged to costs and expenses
|
Other Additions(1)
|
Deductions (2)
|
Balance at end of year
|
||||||
April 30, 2000
|
$
|
1,718,000
|
385,000
|
|
364,000
|
1,739,000
|
|||||
April 30, 2001
|
|
1,739,000
|
1,627,000
|
|
1,710,000
|
1,656,000
|
|||||
April 30, 2002
|
|
1,656,000
|
503,000
|
161,000
|
1,414,000
|
906,000
|
(1)
|
|
Recovery of previously written off amounts
|
(2)
|
|
Write-offs of accounts receivable
|
Year ended
|
Balance
at
beginning
of year
|
Additions charged to costs and expenses
|
Deductions
|
Balance at end of year
|
|||||
April 30, 2000
|
$
|
6,396,000
|
404,000
|
|
6,800,000
|
||||
April 30, 2001
|
|
6,800,000
|
11,859,000
|
|
18,659,000
|
||||
April 30, 2002
|
|
18,659,000
|
|
9,476,000
|
9,183,000
|
A
MERICAN
S
OFTWARE
, I
NC
.
|
||
By:
|
/s/ J
AMES
C.
E
DENFIELD
|
|
James C. Edenfield
|
||
President, Chief Executive Officer,
|
||
Treasurer and Director
|
Signatures
|
Title
|
Date
|
||
/s/ J
AMES
C.
E
DENFIELD
James C. Edenfield
|
President, Chief Executive Officer, Treasurer and Director
|
July 22, 2002
|
||
/s/ T
HOMAS
L.
N
EWBERRY
Thomas L. Newberry
|
Chairman of the Board of Directors
|
July 22, 2002
|
||
/s/ J. M
ICHAEL
E
DENFIELD
J. Michael Edenfield
|
Director, Executive Vice President
|
July 22, 2002
|
||
/s/ D
AVID
H.
G
AMBRELL
David H. Gambrell
|
Director
|
July 22, 2002
|
||
/s/ D
ENNIS
H
OGUE
Dennis Hogue
|
Director
|
July 22, 2002
|
||
/s/ J
OHN
J.
J
ARVIS
John J. Jarvis
|
Director
|
July 22, 2002
|
||
/s/ T
HOMAS
L. N
EWBERRY
,
V.
Thomas L. Newberry, V.
|
Director
|
July 22, 2002
|
||
/s/ J
AMES
B. M
ILLER
,
J
R
.
James B. Miller, Jr.
|
Director
|
July 22, 2002
|
||
/s/ V
INCENT
C.
K
LINGES
Vincent C. Klinges
|
Chief Financial Officer
|
July 19, 2002
|
||
/s/ D
EIRDRE
J.
L
AVENDER
Deirdre J. Lavender
|
Controller and Principal Accounting Officer
|
July 19, 2002
|
/s/ J
AMES
R.
M
C
G
UONE
|
||
James R. McGuone
Corporate Secretary |