Sturmey Archer: extra info

IN-A-FLAP ENVELOPE CO. LIMITED

Statutory Information

Previous Name(s): None

Registered Number: 01405336

Registered Office: 1 SNOW HILL Date of Incorporation: 13/12/1978

LONDON Latest Filed Accounts Date: 30/06/1999

EC1A 2EN Date Accounts Lodged: 04/03/2000

Latest Annual Return: 20/11/1999

Issued Capital (£): 10,400

Accounts Reference Date: 30/06

Date of Analysed Accounts: 30/06/1999

Company is: Winding Up Petition

Private Limited with share capital

English/Welsh companies incorporated under part 1 of the Companies Act

Type of Accounts: Full Accounts

Directory Information

Trading Address: 30 Central Av Telephone Number: 020 89418228

West Molesey Fax Number: –

Surrey

KT8 2QZ

Region: HOME COUNTIES AND OUTER LONDON

Bankers: 20-36-47 BARCLAYS BANK PLC HANOVER SQUARE (CORPORATE)

Auditors: Strauss Phillips & Co

Audit Qualification: The Auditors have expressed a clean opinion (i.e. unqualified with no referrals) on the accounts for the period ended 30/06/1999.

Principal Activities: The wholesale of stationery.

UK SIC Code(s): 51472 Wholesale of other household goods not elsewhere classified

Risk Information

Credit Limit (£): –

County Court Judgments: There are 1 exact unsatisfied CCJ for £16451.00, and 3 probable unsatisfied CCJs totalling £38505.00.

Latest Ten Judgments:

On 18/07/2000, a Judgment of £5789.00 was made in BOLTON court (Case No. BL003047) against IN A FLAP ENVELOPE COMPANY LTD of 30 CENTRAL AVENUE, WEST MOLESEY, SURREY, KT8 2QZ, Ref. No. 2507002914. (Probable)

On 06/07/2000, a Judgment of £11296.00 was made in READING court (Case No. RG003784) against IN A FLAP ENVELOPE COMPANY LIMITED of 30 CENTRAL AVENUE, WEST MOLESEY, SURREY, KT8 2QZ, Ref. No. 1107000957. (Probable)

On 06/07/2000, a Judgment of £21420.00 was made in KINGSTON-ON-THAMES court (Case No. KT003982) against IN-A-FLAP ENVELOPE COMPANY LTD of R/O 30 CENTRAL AVENUE, WEST MOLESEY, SURREY, KT8 2QZ, Ref. No. 1207002655. (Probable)

On 28/06/2000, a Judgment of £16451.00 was made in KENDAL court (Case No. KN000388) against IN A FLAP ENVELOPE CO LTD of 30 CENTRAL AVENUE, WEST MOLESEY, SURREY, KT8 2QZ, Ref. No. 0307001617. (Exact)

On 06/12/1999, a Judgment of £0.00 was made in BRADFORD court (Case No. BD909436) against IN-A-FLAP ENVELOPE CO LTD of R/O 30 CENTRAL AVE, WEST MOLESEY, SURREY, KT8 2QZ, Ref. No. 0812902066. On 10/01/2000 this Judgment was satisfied. (Exact)

Ownership

Group Structure

Holding Company: 01758755 CURVEGOLD LIMITED

Ultimate Holding Company: 03565078 LENARK LIMITED

All Live Subsidiaries on UK Data Database by Turnover

None

Principal Shareholders

Date of Analysed Annual Return: 20/11/1999

SHARE CAPITAL STRUCTURE

Class of Shares Par Value (pence) Number of Shares Issued Capital (£)

100 10,400 10,400

Total Issued Capital 10,400

SHAREHOLDERS

Shareholder Name & Address Class of Shares Number of Shares Issued Capital (£) Shareholding Number

IHC CURVEGOLD LIMITED- ORDINARY 7,800 7,800 1 –

– -St. Martins Way, – – –

– -Garrett Lane, – – –

– -London, – – –

– -SN17 0JH – – –

Profit & Loss Account

Date of Accounts 30/06/1999 30/06/1998 31/12/1996 31/12/1995

Consolidated No No No No

Subsidiary Yes Yes Yes Yes

No. of Weeks 52 78 52 52

Currency (£ ‘000) (£ ‘000) (£ ‘000) (£ ‘000)

Audit Qualification No 1 No No

1 Turnover 7,063 14,411 9,729 8,474

Cost of Sales 5,231 10,121 7,342 6,136

Gross Profit 1,832 4,290 2,387 2,338

2 Operating Profit 139 806 76 135

Interest Payable 176 226 50 70

Pre-tax Profit 115 664 26 65

Taxation 24 0 126 151

Profit After Tax

Dividends Payable 0 0 0 0

Retained Profit 91 664 (100) (86)

Balance Sheet

Date of Accounts 30/06/1999 30/06/1998 31/12/1996 31/12/1995

Consolidated No No No No

Subsidiary Yes Yes Yes Yes

No. of Weeks 52 78 52 52

Currency (£ ‘000) (£ ‘000) (£ ‘000) (£ ‘000)

3 Tangible Fixed Assets 614 822 1,084 1,238

Intangible Assets 0 0 0 0

Total Fixed Assets

Stocks 388 693 823 692

Trade Debtors 1,482 2,142 2,485 2,236

Cash 1,462 1,373 0 648

4 Miscellaneous Current Assets 719 273 46 35

Total Current Assets 4,051 4,481 3,354 3,611

5 Creditors: Amounts falling due within one year 3,335 4,108 3,914 4,129

Total Assets less Current Liabilities 1,330 1,195 524 720

6 Total Long Term Liabilities 276 233 225 322

Total Liabilities 3,611 4,341 4,139 4,451

7 Share Capital & Reserves 10 85 86 85

P & L Account Reserve 1,044 877 213 313

Revaluation Reserve 0 0 0 0

Shareholders’ Funds 1,054 962 299 398

Capital Employed 1,330 1,195 524 720

Net Worth 1,054 962 299 398

Working Capital 716 373 (560) (518)

Contingent Liabilities 840 4,197 1,762 2,816

Ratios

Date of Accounts 30/06/1999 30/06/1998 31/12/1996 31/12/1995

Profit/Sales (%) 1.63 4.61 0.27 0.77

Profit/Capital Employed (%) 8.65 37.04 4.96 9.03

Profit/Total Assets (%) 2.47 8.35 0.59 1.34

Profit/Shareholders’ Funds (%) 10.91 46.02 8.70 16.33

Sales/Total Assets (%) 151.40 181.17 219.22 174.76

Sales/Fixed Assets 11.50 11.69 8.98 6.84

Sales/Total Fixed Assets (%) 1,150.33 1,168.78 897.51 684.49

Sales/Capital Employed 5.31 8.04 18.57 11.77

Working Capital/Sales (%) 10.14 3.88 -5.76 -6.11

Stock Turnover 18.20 13.86 11.82 12.25

Credit Period (days) 76.59 81.38 93.23 96.31

Creditor Days (days) 77.93 54.71 53.65 50.78

Debtors/Total Assets (%) 31.77 40.39 55.99 46.11

Net Cash/Current Liabilities (%) 43.84 33.42 -6.77 15.69

Liquid Assets/Total Assets (%) 78.52 71.43 57.03 60.20

Current Ratio 1.21 1.09 0.86 0.87

Liquidity Ratio 1.10 0.92 0.65 0.71

Creditors/Debtors 1.02 0.67 0.58 0.53

Current Liabilities/Stocks 8.60 5.93 4.76 5.97

Stocks/Working Capital (%) 54.19 185.79 -146.96 -133.59

Current Assets/Total Assets (%) 86.84 84.50 75.57 74.47

Profit/Current Liabilities (%) 3.45 10.78 0.66 1.57

Sales/Current Liabilities 2.12 2.34 2.49 2.05

Growth Rates

1 year 2 year 3 year 4 year

Sales -18 -22 -14 1

Pre-tax Profit -49 274 66 133

Audit Fees -21 30 49 51

Directors’ Remuneration -11 -17 -19 -69

Number of Employees -45 -39 -36 -24

Employees’ Remuneration -16 -18 -16 -31

Fixed Assets -25 -35 -43 -47

Tangible Assets -25 -35 -43 -47

Total Fixed Assets -25 -35 -43 -47

Stocks -44 -42 -38 -26

Trade Debtors -31 -32 -29 -22

Total Current Assets -10 17 10 51

Total Assets -12 4 -3 18

Trade Creditors 5 4 24 50

Short Term Loans 79 -44 -46 -46

Total Current Liabilities -19 -12 -17 11

Net Cash 7 – 108 –

Shareholders’ Funds 10 202 141 105

Net Worth 10 202 141 105

Long Term Loans 21 21 -14 -32

Long Term Liabilities 19 18 -12 -30

Capital Employed 11 123 73 43

Company/Industry Comparison

This comparison is based on the results of 2577 companies in the same industrial sector: 51470 Wholesale of other household goods

Company

Industry Averages

30/06/1999 Lower Median Upper

Performance

Profit/Sales (%) 1.63 0.0 2.5 7.2

Profit/Capital Employed (%) 8.65 2.3 17.2 46.1

Profit/Total Assets (%) 2.47 0.0 5.5 14.7

Profit/Shareholders’ Funds (%) 10.91 4.3 21.3 58.2

Turnover

Sales/Total Assets (%) 151.40 141.1 213.3 304.4

Sales/Fixed Assets (%) 11.50 10.5 24.4 56.5

Working Capital/Sales (%) 10.14 17.5 6.7 -0.4

Stock Turnover 18.20 4.3 7.6 16.8

Credit Period (days) 76.59 72.3 50.4 23.2

Creditor Days (days) 77.93 56.3 31.8 12.0

Liquidity

Current Ratio 1.21 1.0 1.3 1.9

Liquidity Ratio 1.10 0.5 0.8 1.3

Gearing

Total Debt/Net Worth (%) 71.06 192.9 61.1 13.0

Shareholders’ Funds/Total Assets 0.23 0.2 0.3 0.5

Long Term Debt/Net Worth (%) 23.43 26.5 1.3 0.0

Interest/Pre-Interest Profit (%) 60.48 29.6 7.1 0.4

Total Debt/Working Capital 1.05 2.0 0.7 0.1

Filing History

10/08/2000 Presentation of petition for compulsory winding-up

29/02/2000 Change among the directors of a company

08/12/1999 Memorandum of satisfaction

23/11/1999 Particulars of a mortgage or charge

14/07/1998 Particulars of a mortgage or charge

26/11/1990 Mortgage document

19/02/1990 Mortgage document

20/02/1989 Memorandum of satisfaction

23/09/1988 Change in the situation of company’s registered office

08/06/1988 Mortgage document

28/04/1988 Mortgage document

27/04/1988 Mortgage document

Directors

Company Secretary

EUGENE MCELHATTON

Appointment Date: 01/06/2000

Date of Birth: 13/02/1959

Occupation/Function: DIRECTOR

Address: 25 PAVILION CLOSE FAIR OAK HAMPSHIRE SO50 7PS

Present Directorships: 14

Resignations Since June 1996: 2

Directors

ROBERT JENKIN

Appointment Date: 14/07/1999

Date of Birth: 04/07/1946

Occupation/Function: COMPANY DIRECTOR

Address: 2 PINE CRESCENT CARSHALTON BEECHES CARSHALTON SURREY SM5 4HQ

Present Directorships: 9

Resignations Since June 1996: 3

EUGENE MCELHATTON

Appointment Date: 01/10/1999

Date of Birth: 13/02/1959

Occupation/Function: DIRECTOR

Address: 25 PAVILION CLOSE FAIR OAK HAMPSHIRE SO50 7PS

Present Directorships: 14

Resignations Since June 1996: 2

DERBY PRESS RELEASES

Investor Group, Headed by Thayer Capital, Takes Leading Position in Derby Cycle Corp., the World’s Largest Bicycle Company and Parent of Raleigh, in Major Recapitalization

Thayer Capital Partners and Perseus Capital LLC – both Washington, D.C.-based private equity investment firms, announced today that together with existing Derby shareholders they have completed a recapitalization of Derby Cycle Corp. The multi-million dollar recapitalization of the parent company of international Raleigh bicycle companies includes a combination of equity capital, senior notes and senior bank debt.

Derby Cycle Corp. is the largest designer, manufacturer and marketer of bicycles in the world with sales exceeding $500 million. The company owns a portfolio of the most widely recognized bicycle brands in the industry and has the most extensive dealer network of any bicycle company in the United Kingdom, The Netherlands, Germany, Canada, South Africa and Ireland. In addition to Raleigh, Derby’s brands include Nishiki, Univega, Gazelle (No.1 brand in Holland), Kalkhoff, Musing, Winora and Staiger.

Thayer Capital’s partners in the recapitalization are Perseus Capital LLC, a Washington, DC based merchant banking company and Derby International Corporation, the former controlling shareholder of the group.

"Derby is a global leader in the bicycle industry and well positioned to grow in its existing markets as well as new markets," said Alan J. Finden-Crofts, CEO of the Derby Cycle group. "The company’s recapitalization provides us with the additional financial muscle to expand our global marketing efforts, strengthen our extensive dealer network, and explore new initiatives, such as selected acquisitions."

Fred Malek of Thayer Capital said: "We were attracted to Derby because of its strong and experienced management at both the corporate and divisional levels. Ed Gottesman and Alan Finden-Crofts have built a solid company that serves the broad and profitable middle markets with a diversified product line that is well targeted to the different consumer characteristics of each geographical market."

Derby, which sold more than 2 million bikes last year, operates in 10 countries and is the market leader in The United Kingdom, The Netherlands, Canada, South Africa and Ireland. Derby is also number-one in the German adult bicycle market and is consistently ranked among the top five largest suppliers to independent bicycle dealers in the United States.

"Given the fragmented nature of the global bicycle industry, there is a tremendous opportunity to grow market share in different countries. As an example, we are the market leader in Germany but have only a 12% share, while 67% of total bicycle sales in that market are made by numerous small independent manufacturers. This fragmentation provides Derby with enormous opportunity to grow through an aggressive marketing program as well as through selected strategic acquisitions," said Finden-Crofts.

The global bicycle industry is estimated to have had total retail sales of $25 billion in 1997. Derby’s brands are targeted at the broad middle market where retail prices range from $300 to $500. This market segment is highly fragmented and dominated in most countries by locally produced brands. Derby competes in all five major categories of bicycle products – all-terrain or mountain bikes, race or road bicycles, juvenile bicycles, city bicycles and the fast growing hybrid or comfort sector.

Thayer Capital Partners is a value-building, private equity investment firm that invests in high-quality, market-leading companies with partners and management of proven excellence. It manages Thayer Equity Investors III, a private fund raised by Thayer partners, Frederic V. Malek, Rick Rickertsen, and Paul G. Stern. The fund’s goal is to generate superior equity returns through acquisitions of companies where Mr. Malek and Dr. Stern can lend their significant operating experience. Past investment successes by Malek and Thayer Capital include the buyouts of Northwest Airlines, CB Commercial Real Estate Group, Inc. and Software AG Systems, Inc.

Perseus Capital is a merchant banking venture based in Washington, DC.

Contact: GCI Group, Al Girardi, (212) 546-2208 or Jackie Palcsik, (212) 546-2387

Derby Cycle Sr Notes Rated ‘B’ by S&P

05/04/1998

Business Wire

(Copyright (c) 1998, Business Wire)

NEW YORK — S&P’s CreditWire 5/4/98–Standard & Poor’s today assigned its single-‘B’ rating to the in aggregate $161 million senior notes issued by Derby Cycle Corp. (DCC) and its subsidiary, Lyon Cycle B.V. (to be renamed Lyon Investments B.V.). The issuers will be jointly and severally liable for all payments due under the notes. In addition, Standard & Poor’s assigned its single-‘B’-plus corporate credit and bank loan ratings to DCC.

The outlook is stable.

The rating is based on Delaware-based DCC’s limited credit protection measures owed to considerably high debt levels following its recent $306 million recapitalization. Ratings further reflect the group’s below-average business risk profile as evidenced by its narrow product portfolio with a relatively concentrated earnings base in selective, highly competitive, bicycle markets worldwide.

DCC, with 1997 sales of $466 million and earnings before interest, taxes, depreciation, and amortization (EBITDA) of $36 million, is one of the world’s largest bicycle companies in the highly fragmented $25 billion global bicycle, parts, and accessories market. The group has grown through acquisition and internal expansion over the last 10 years and established a broad portfolio of well recognized bicycle brands in five main bicycle categories in more than seven countries worldwide. Nevertheless, DCC’s sales and profits are somewhat concentrated in the U.K. and the Netherlands, which accounted for 46% of sales and 80% of EBITDA in 1997. Going forward, the group is likely to be challenged to diversify its earnings and achieve additional growth, as demand in most markets is saturated and competition from U.S. and Asian manufacturers is expected to step up. Moderate growth is expected from DCC’s recently expanded operations in Germany and the U.S., which benefit from relative critical mass, well known brands, and good access to key distribution channels.

Following the recapitalization, DCC’s pro forma 1997 debt to EBITDA is high at above 5 times (x). Pro forma 1997 EBITDA to interest of approximately 2x is weak, and funds from operations to total debt is below 10%. DCC’s financial profile is expected to improve gradually over the next few years as it experiences moderate earnings enhancements stemming from recent acquisitions. Despite stable cash flow generation, DCC’s only moderate discretionary cash flow generation limits the amount of debt reduction over the medium term. The group’s $108 million equity includes preferred stock of $41 million, which, given its deferred payment structure, is treated as quasi-equity and represents no additional draw on the group’s limited financial resources.

The DM225 million ($123 million) senior revolving bank credit facility, which is issued by DCC and certain subsidiaries and is structurally superior to the group’s senior notes, is rated single-‘B’-plus, the same as the corporate credit rating. The facility is secured by a substantial portion of DCC’s assets, which may provide some measure of protection to lenders. However, based on Standard & Poor’s simulated default scenario, it is not clear that a distressed enterprise value would be sufficient to cover the entire loan facility.

OUTLOOK: STABLE

Management challenges stemming from DCC’s recent acquisitions and expansion in the German and U.S. bicycle market could limit the upside potential for the rating over the next few years. DCC’s cash-generative, leading positions in the U.K. and the Netherlands are expected to limit the downside risk.–CreditWire

Contact: CONTACT: Evelyn Heinbach, London (44) 171-826-3614 (Bob Okiah)