SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
QUARTERLY REPORT UNDER SECTION 13 OR 15 (d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For Quarter Ended September 30, 1994March 31, 1995
Commission File Number 1-6512
AIRBORNE FREIGHT CORPORATION
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(Exact name of registrant as specified in its charter)
Delaware
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(State of incorporation or organization)
91-0837469
---------------------------------
(IRS Employer Identification No.)
3101 Western Avenue
P.O. Box 662
Seattle, Washington 98111-0662
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(Address of Principal Executive Office)
Registrant's telephone number, including area code: (206) 285-4600
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Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.
Yes: XXX No:
--- ---
Indicate the number of shares outstanding of each of the issuer's classes
of common stock as of the close of the period covered by this report.
Common Stock, par value $1 per share
Outstanding (net of 315,150 treasury shares)
as of September 30, 1994 20,967,374March 31, 1995 21,050,336 shares
-----------------
AIRBORNE FREIGHT CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF NET EARNINGS
(Dollars in thousands except per share data)
(Unaudited)
Three Months Ended
Nine Months Ended
September 30 September 30March 31
------------------
-----------------1995 1994 1993 1994 1993
---- ----
---- ----
REVENUES:
Domestic $415,417 $378,276 $1,219,958 $1,087,980$442,177 $396,884
International 74,327 55,947 220,880 164,89087,739 69,668
-------- --------
---------- ----------
489,744 434,223 1,440,838 1,252,870529,916 466,552
OPERATING EXPENSES:
Transportation purchased 164,745 133,685 482,277 389,919188,785 154,998
Station and ground operations 147,915 131,001 438,056 388,227165,114 145,210
Flight operations and maintenance 73,046 60,635 204,282 180,38978,061 65,782
General and administrative 35,898 36,346 108,166 103,05137,494 35,716
Sales and marketing 13,679 12,942 41,011 38,07115,631 13,295
Depreciation and amortization 34,763 33,472 101,837 98,84134,802 33,765
-------- --------
---------- ----------
470,046 408,081 1,375,629 1,198,498519,887 448,766
-------- -------- ---------- ----------
EARNINGS FROM OPERATIONS 19,698 26,142 65,209 54,37210,029 17,786
INTEREST, NET 6,212 6,108 18,222 18,1346,725 5,941
-------- -------- ---------- ----------
EARNINGS BEFORE INCOME TAXES 13,486 20,034 46,987 36,2383,304 11,845
INCOME TAXES 5,341 8,968 18,779 15,2641,424 4,845
-------- --------
---------- ----------
NET EARNINGS BEFORE CHANGES IN 8,145 11,066 28,208 20,974
ACCOUNTING
CUMULATIVE EFFECT OF CHANGES IN - - - 3,828
ACCOUNTING
-------- -------- ---------- ----------
NET EARNINGS 8,145 11,066 28,208 24,8021,880 7,000
PREFERRED STOCK DIVIDENDS 105 695 792 2,06471 584
-------- -------- ---------- ----------
NET EARNINGS AVAILABLE TO COMMON $ 8,040 $ 10,371 $ 27,416 $ 22,738$1,809 $6,416
SHAREHOLDERS
======== ======== ========== ==========
NET EARNINGS PER COMMON SHARE:
Primary -
Before changes in accounting $ .38 $ .53 $ 1.31 $ .97
Cumulative effect of changes in - - - .19
accounting
-------- -------- ---------- ----------
Net earnings available to common $ .38 $ .53 $ 1.31 $ 1.16
shareholdersSHARE $.09 $.32
======== ======== ========== ==========
Fully Diluted -
Before changes in accounting $ .38 $ .52 $ 1.31 $ .97
Cumulative effect of changes in - - - .19
accounting
-------- -------- ---------- ----------
Net earnings available to common $ .38 $ .52 $ 1.31 $ 1.16
shareholders
======== ======== ========== ==========
DIVIDENDS PER COMMON SHARE $ .075 $ .075
$ .225 $ .225
======== ======== ========== ==========
========
See notes to consolidated financial statements.
AIRBORNE FREIGHT CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
September 30March 31 December 31
------------ -----------
ASSETS1995 1994 1993
------
---- ----
(Unaudited)
ASSETS
------
CURRENT ASSETS:
Cash $ 10,62210,815 $ 7,13410,318
Trade accounts receivable, less 205,582 190,787
allowance 217,635 221,788
of $7,443$7,550 and $6,925$7,500
Spare parts and fuel inventory 27,498 27,22429,643 28,071
Deferred income tax assets 16,962 15,20612,862 12,458
Prepaid expenses 15,541 18,81522,242 20,701
---------- ----------
TOTAL CURRENT ASSETS 276,205 259,166293,197 293,336
PROPERTY AND EQUIPMENT, NET 757,817 733,963790,662 766,346
EQUIPMENT DEPOSITS and OTHER ASSETS 15,489 13,78018,125 18,824
---------- ----------
TOTAL ASSETS $1,049,511 $1,006,909$1,101,984 $1,078,506
========== ==========
LIABILITIES AND SHAREHOLDERS' EQUITY
------------------------------------
CURRENT LIABILITIES:
Accounts payable $ 110,770121,479 $ 95,684117,194
Salaries, wages and related taxes 35,487 37,88541,016 43,858
Accrued expenses 63,609 55,54563,853 59,053
Income taxes payable 1,727 3,638104 342
Current portion of debt 5,958 5,8506,079 6,018
---------- ----------
TOTAL CURRENT LIABILITIES 217,551 198,602232,531 226,465
LONG-TERM DEBT 270,234 269,250300,168 279,422
SUBORDINATED DEBT 118,580 122,150118,580
DEFERRED INCOME TAX LIABILITIES 31,231 28,26229,656 30,402
OTHER LIABILITIES 27,505 29,82128,101 31,239
REDEEMABLE PREFERRED STOCK 6,000 40,0003,948 5,000
SHAREHOLDERS' EQUITY:
Preferred Stock, without par value -
Authorized 5,200,000 shares, no shares
issued
Common stock, par value $1 per share -
Authorized 60,000,000 shares
Issued 21,282,52421,365,486 and 19,688,731 21,283 19,68921,285,924 shares 21,366 21,286
Additional paid-in capital 184,338 149,156185,661 184,369
Retained earnings 173,760 150,950182,944 182,714
---------- ----------
379,381 319,795389,971 388,369
Treasury stock, 315,150 shares, at cost (971) (971)
---------- ----------
378,410 318,824389,000 387,398
---------- ----------
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $1,049,511 $1,006,909
==========$1,101,984 $1,078,506
========== ==========
See notes to consolidated financial statements.
AIRBORNE FREIGHT CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in thousands)
(Unaudited)
NineThree Months Ended
September 30
----------------March 31
------------------
1995 1994 1993
---- ----
OPERATING ACTIVITIES:
Net Earnings $ 28,2081,880 $ 24,8027,000
Adjustments to reconcile net earnings to
net cash provided by operating activities:
Cumulative effect of changes in -- (3,828)
accounting
Depreciation and amortization 94,511 90,41132,335 31,319
Provision for aircraft engine 7,326 8,4302,467 2,446
overhauls
Deferred income taxes 1,213 444(1,150) (1,006)
Other (2,316) (1,055)(3,175) (3,495)
-------- --------
CASH PROVIDED BY OPERATIONS 128,942 119,20432,357 36,264
Change in:
Receivables (14,795) (14,421)4,153 (10,448)
Inventories and prepaid expenses 3,000 (4,452)(3,113) 1,183
Accounts payable 16,442 3,3354,285 6,133
Accrued expenses, salaries and 3,755 23,069
taxes 1,720 7,321
payable
-------- --------
NET CASH PROVIDED BY OPERATING 137,344 126,735
ACTIVITIES 39,402 40,453
INVESTING ACTIVITIES:
Additions to property and equipment (125,861) (113,184)
Disposition(55,588) (49,106)
Dispositions of property and equipment 913 22855 39
Expenditures for engine overhauls (3,064) (2,821)(2,555) (676)
Other (653) (1,889)(291) (1,443)
-------- --------
NET CASH USED IN INVESTING ACTIVITIES (128,665) (117,666)(58,379) (51,186)
FINANCING ACTIVITIES:
Proceeds fromon bank note borrowings,notes, net 37,100 (2,500)33,700 6,200
Principal payments on debt (39,578) (5,034)(12,893) (453)
Proceeds from common stock issuance 2,805 626320 2,636
Dividends paid (5,518) (6,399)(1,653) (2,149)
-------- --------
NET CASH PROVIDED (USED) BY FINANCING (5,191) (13,307)
ACTIVITIES 19,474 6,234
-------- --------
NET INCREASE (DECREASE) IN CASH 3,488 (4,238)497 (4,499)
CASH AT JANUARY 1 10,318 7,134 10,179
-------- --------
CASH AT SEPTEMBER 30MARCH 31 $ 10,62210,815 $ 5,941
========2,635
======== ========
See notes to consolidated financial statements.
AIRBORNE FREIGHT CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
September 30, 1994March 31, 1995
(Unaudited)
NOTE A--SUMMARY OF FINANCIAL STATEMENT PREPARATION:
The consolidated financial statements included herein are unaudited but
include all adjustments which are, in the opinion of management, necessary
for a fair presentation of the financial position and results of operations
and cash flows for the interim periods reported.
Certain amounts for prior periods have been reclassified to conform to the
19941995 presentation.
NOTE B--LONG-TERM DEBT:
Long-term debt consists of the following:
September 30March 31 December 31
------------ ------------1995 1994 1993
---- ----
(In thousands)
Senior debt:
Revolving bank credit $142,100 $105,000$170,000 $135,000
Notes payable -- 34,00015,700 17,000
Senior notes 100,000 100,000
Revenue bonds 13,200 13,200
Other debt 17,322 19,3303,777 16,670
-------- --------
272,622 271,530302,677 281,870
Subordinated debt:
Senior subordinated notes 7,150 10,7207,150
Convertible subordinated debentures 115,000 115,000
-------- --------
122,150 125,720122,150
-------- --------
Total long-term debt 394,772 397,250424,827 404,020
Less current portion 5,958 5,8506,079 6,018
-------- --------
$388,814 $391,400$418,748 $398,002
======== ========
NOTE C--EARNINGS PER COMMON SHARE:
PrimaryNet earnings per common share are based uponcomputed by dividing net earnings
available to common shareholders by the weighted average number of common
shares outstanding during the interim period plus dilutive common
equivalent shares applicable to the assumed exercise of outstandingemployee stock
options. Fully diluted earnings per common share are the same as net
earnings per common share for the three months ended September 30,
1993, assumes conversion of the Company's redeemable preferred stock and
the dilutiveinterim periods presented herein.
Average common equivalent shares applicable to the assumed exercise of
stock options. Netoutstanding used in earnings as adjusted for the elimination of preferred
stock dividends relative to the assumed conversion was $11,067,000 for the
three month period.
Average shares outstanding used in earnings per share computations were as
follows:
Three Months Ended Nine Months Ended
------------------ -----------------
September 30 September 30
------------ ------------
1994 1993 1994 1993
---- ---- ---- ----
AVERAGE SHARES OUTSTANDING
Primary 21,288 19,542 20,955 19,540
Fully Diluted 21,288 21,298 20,955 19,590
NOTE D--ACCOUNTING CHANGES:
The Company adopted several new accounting standards as of January 1, 1993
and recorded the effect of the changes in the quarter endedper share computations
at March 31, 1993.
The new standards change the Company's methods used to account for income
taxes1995 and post-retirement health care benefit costs. The net cumulative
effect of adopting these standards was to increase net earnings for the
period ended March 31, 1993 by $3,828,000 or $.19 per share.1994 were 21,184,000 and 20,173,000, respectively.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
RESULTS OF OPERATIONS AND FINANCIAL CONDITION
RESULTS OF OPERATIONS:
The Company's operating performance duringin the first nine monthsquarter of 19941995 resulted
in highersignificantly lower operating income and net earnings compared to the
first nine monthsquarter of 1993. However, operating results1994. Domestic yields were negatively impacted by a
decline in the third quarter were
disappointing due primarily to three factors: a slowdown inaverage weight per shipment. Coupled with the higher growth
rate of higherlower yielding overnight domestic shipments;deferred service shipments, this resulted in a
higher than normal aircraft maintenance costs; and, a negative impactdecline in the average revenue per domestic shipment.
Operating costs per shipment were lowered during the quarter, aided by
strong productivity improvement. However, the operating cost decreases
were not adequate to international margins
due to higher linehaul rates on certain lane segments.keep pace with the decline in average revenue per
shipment.
Net earnings available to common shareholders for the first nine monthsquarter of 19941995
were $27.4$1.8 million, or $1.31$.09 per share, compared to $22.7$6.4 million, or $.97$.32 per
share for the first nine months of 1993. The 1993 net earnings
are before the cumulative effect of changes in accounting which resulted in
a net increase to earnings of $.19 per share, increasing the net earnings
available to common shareholders to $1.16 per share.
Third quarter 1994 earnings available to common shareholders were $.38 per
share compared to $.53 per share for the third quarter of 1993.1994.
The following table sets forth selected shipment and revenue data for
the comparative periods indicated:
Three Months Ended Nine Months Ended
------------------ ----------------
September 30 September 30
------------ ------------March 31
---------------------------
1995 1994 1993 1994 1993
---- ----
---- ----
Shipments (in thousands):
Domestic
Overnight
Letters 8,571 8,277 25,545 24,3409,130 8,476
0-2 Lbs. 11,128 10,628 32,918 30,70012,013 10,788
3-99 Lbs. 9,877 9,142 29,175 26,134
------- ------- ------- -------
29,576 28,047 87,638 81,17410,472 9,628
------ ------
31,615 28,892
Select Delivery Service
0-2 Lbs. 10,808 7,800 30,506 22,77913,903 9,566
3-99 Lbs. 6,475 4,706 18,281 13,112
------- ------- ------- -------
17,283 12,506 48,787 35,8917,676 5,782
------ ------
21,579 15,348
100 Lbs. and over 89 90 265 261
------- ------- ------- -------81 86
------ ------
Total Domestic 46,948 40,643 136,690 117,326
------- ------- ------- -------53,275 44,326
------ ------
International
Express 891 795 2,554 2,323936 804
All Other 120 97 354 291
------- ------- ------- -------130 112
------ ------
Total International 1,011 892 2,908 2,614
------- ------- ------- -------1,066 916
------ ------
Total Shipments 47,959 41,535 139,598 119,940
======= ======= ======= =======54,341 45,242
====== ======
Average Pounds per Shipment:
Domestic 4.8 4.8 4.84.5 4.7
International 60.0 42.9 62.1 43.767.8 61.5
Average Revenue per Pound:
Domestic $ 1.831.82 $ 1.93 $ 1.87 $ 1.961.90
International $ 1.23 $ 1.47 $ 1.22 $ 1.451.23
Average Revenue per Shipment:
Domestic $ 8.858.29 $ 9.31 $ 8.92 $ 9.278.95
International $ 73.52 $ 62.72 $ 75.96 $ 63.08$82.31 $76.06
Total shipments increased 16%20% in the first nine monthsquarter of 19941995 compared to 24%18%
in the first nine monthsquarter of 1993.1994. Total revenues increased 15%14% in the first
nine monthsquarter of 19941995 compared to 15%17% in 1993.1994.
Domestic shipments increased 17%20% in the first nine monthsquarter of 19941995 compared to
25%18% for the same period of 1993. Domestic shipments increased 16% in
the third quarter of 1994 compared to 23% in 1993.1994. The growth in domestic shipments
continuescontinued to be aided by strong growth in the Company's deferred service
product, Select Delivery Service (SDS), which provides next afternoon and
second-day delivery service.. For the first nine monthsquarter of 1994,1995, SDS
accounted for over 36%40% of total domestic shipments, compared to 31%35% for the
first nine monthsquarter of 1993. While the overall domestic1994. Domestic overnight shipment growth rate during
the first three quarters of 1994 is fairly strong, it is lower than
experienced in previous periods. Domestic revenues increased 12%was 9% in the
first nine monthsquarter of 19941995 compared to 18% in 1993. The lower growth rate
of higher yielding overnight shipments of 5.5% was a primary contributor to
the decline in the average domestic revenue per shipment11% for the third
quarter of 1994 to $8.85 per shipment versus $8.98same period in the second quarter of
1994.
This represents a 1.4% decline compared to the second quarter of
1994 and 4.9% decline compared to the third quarter of 1993. The domestic
growth rate will be key to results in the fourth quarter of the year.
International shipmentsDomestic revenues increased 11% in the first nine monthsquarter of 19941995, compared to
7%15% in 1993, and 13%1994. Revenue growth was negatively impacted by a 3.5% decline in
the thirdaverage weight per domestic shipment. This decline in average weight
in combination with the trend of a higher growth rate in lower yielding SDS
shipments, resulted in a decrease in the average revenue per domestic
shipment of more than 7.5% to $8.29 per shipment in the first quarter of
19941995 versus $8.95 in 1994. The decline in average weight per shipment is
assumed to be due to the market place adjusting to current inventory levels
and economic conditions. The stabilization of domestic weight per shipment
and related revenue per shipment yields will be key to quarterly results in
upcoming quarters of 1995.
International shipments increased 16% in the first quarter of 1995 compared
to 8%9% in the same period of 1993.1994. The growth in international shipments wascontinues to be aided
by the growth in higher yielding freight shipments which increased 22%16% in
the first nine monthsquarter of 19941995 compared to a decrease of 7%19% for the same period of 1993.1994.
International revenues increased 34%26% in the first nine monthsquarter of 19941995 compared
to a decrease of 2%32% in 1993.1994. International revenue per shipment and the average weight
per shipment increased significantly as a result of the continued strong
unit growth in higher yielding freight shipments.
International margins were negatively impacted in
September of 1994 as the international carriers raised rates on traffic
moving out of the Far East to the U.S.
Operating expenses as a percentage of revenues were 95.5%98.1% for the first
nine monthsquarter of 19941995 compared to 95.7%96.2% in the first nine monthsquarter of 19931994 and 95.2%95.5%
for all of 1993.1994. Operating cost per shipment handled decreased less
than 2%3.5% for
the first nine monthsquarter of 1995 compared to 2% decrease in 1994. During the
early part of the first quarter of 1994, compared to 1993. This decline
appears low due to the increase of costs in the transportation purchased
categoryoperating expenses were negatively
impacted by severe winter weather and the correlating increase in the transportation purchased cost
per shipment. Operating cost per shipment decreased approximately 5% for
all other operating expense categories combined, factoring out
transportation purchased, for this same period.California earthquake. The
Company experienced a 6%9.5% improvement in productivity for the thirdfirst
quarter of 19941995, as measured by shipments handled per paid employee hour.hour,
compared to 6% in first quarter of 1994. Comparisons of certain operating
expense components are discussed below.
Transportation purchased increased as a percentage of revenues to 33.5%35.6% in
the first nine monthsquarter of 19941995 compared to 31.1%33.2% in 1993.1994. This increase was
primarily due to higheradditional commercial airline costs resulting from the
increasegrowth in international freight shipments discussed above.
Station and ground expense as a percentage of revenues was 31.2% in the
first nine
monthsquarter of 1994 was 30.4% compared1995 which is comparable to 31.0% in the first nine monthsquarter of 1993,1994, as
productivity gains helpedachieved offset any inflationary pressures on costs.
Flight operations and maintenance expense as a percentage of revenues
during the first nine monthsquarter of 19941995 was 14.2%14.7%, compared to 14.4%14.1% in the first
nine months of 1993. This category of expense as a percentage of
revenues increased to 14.9% in the third quarter of 1994 compared to 14.0%
in the same quarter of 1993. During the third quarter of 1994 a higher
than normal number of periodic maintenance checks ("C" checks) were
performed, and some of those checks turned out to be more costly than is
standard. Average1994. The average aviation fuel price for the first nine monthsquarter of
19941995 was $.59 per gallon compared to the average price of $.65$.60 per gallon duringin the same periodfirst quarter
of 1993.1994. Aviation fuel consumption increased 15% to 9033.7 million gallons in
the first nine monthsquarter of 19941995, a 12% increase compared to 1993.the first quarter of
1994. The increase in fuel consumption is a result of additional Company
operated aircraft placed in service since the first quarter in 1994. The
effect of 1993 andcomparatively lower average fuel costs in the first quarter of
1995 was offset by higher aircraft maintenance costs. The Company
anticipates aircraft maintenance costs in the second quarter of 1995 will
be comparable to the disruption to air operationsfirst quarter costs, but will decrease as a resultpercent of
severe winter weather.revenues in the third and fourth quarters.
The increased number of aircraft in service also accounted for the slight
increase
in depreciation and amortization expense which, as a percentage of
revenues in the first nine monthsquarter of 1994 declined to 7.1%, compared to
7.9% for the same period in 1993.1995.
General and administrative and sales and marketing expenses on a combined
basis decreased as a percentage of revenues in the first nine monthsquarter of 19941995
compared to 1993.1994. This was primarily the result of continuing productivity
gains and a strong focus on all discretionary spending.
Interest expense in the first nine monthsquarter of 19941995 was comparable to the
level of expense inhigher than the same
period of 1993, as1994. This increase was the result of slightly higher average
outstanding borrowings combined with higher effective interest rates and lower amount of capitalized interest were offset by the
benefit of lower average outstanding borrowings.rates.
The Company's effective tax rate was 40.0%43.1% in the first nine monthsquarter of 19941995
compared to 42.1%40.9% in the first nine monthsquarter of 19931994 and 40.2%39.6% for all of 1993.1994.
The Company anticipates thehigher effective tax rate for the 1994 year to
be comparablefirst quarter of 1995 was a result of
certain taxes that are not directly related to the first nine monthslevel of 1994.earnings.
LIQUIDITY AND CAPITAL RESOURCES:
Capital expenditures and associated financing continue to be the primary
factors affecting the financial condition of the Company. The Company
anticipates total capital expenditures to approximate $180-$185$235 million in 1994,1995,
of which a significant portion is related to the acquisition and
modification of aircraft. During the first nine monthsquarter of 1994,1995, total capital
expenditures net of dispositions were $125$56 million. The principal sourcesources
of liquidity for financing capital expenditures during the first nine monthsquarter of
1994 was1995 were cash provided by operations.operations and financing under the Company's
bank lines of credit.
The Company's unsecured revolving bank credit agreement has traditionally
been used as a major source of liquidity for periods between other
financing transactions. The Company has a revolving bank credit agreement
providing for a total commitment of $240 million, subject to a maximum
level of Company indebtedness permitted by certain covenants in the
agreement and other loan agreements. The Company also has available $25$45 million under
unsecured uncommitted money market lines of credit with several banks, used
in conjunction with the revolving credit agreement to facilitate settlement
and accommodate short-term borrowing fluctuations. At September 30, 1994,March 31, 1995, a
total of $142.1$185.7 million was outstanding under the revolving bank credit and
money market credit lines.
The Company amended its revolving bank credit agreement effective
March 31, 1995, increasing the total commitment from $240 million to $250
million, subject to a maximum level of Company indebtedness permitted by
certain covenants in the agreement and other loan agreements. The amended
agreement is effective through May 31, 1998, with option to extend to
May 31, 2000.
The $100 million aircraft financing facility commitment with Mitsui & Co.
expired in March 1995.
In management's opinion, the available capacity under the bank credit
agreements coupled with internally generated cash flow from remaining 19941995
operations and other sources of borrowing should provide adequate
flexibility to finance anticipated capital expenditures for the balance of
1994.1995.
PART II. OTHER INFORMATION
--------------------------
Item 6. Exhibits and Reports oron Form 8-K.
(a) Exhibits Exhibit No.-
EXHIBIT NO. 10 Material Contracts
10. First Amendment to Revolving Loan Facility dated as of March 31,
1995 among the Company, as borrower, and Wachovia Bank of Georgia, N.A., as
Agent, and Wachovia Bank of Georgia, N.A., ABN AMRO Bank N.V., United
States National Bank of Oregon, Seattle-First National Bank, CIBC, Inc.,
National City Bank, Columbus, Bank of America National Trust and Savings
Association, The Bank of New York and NBD Bank, N.A.
EXHIBIT NO. 27 - Financial Data Schedule
(b) Reports on form 8-K - A Form 8-K dated May 2, 1995, has been duly
filed. The form included the following information:
(1) Election of Directors for terms expiring in 1998.
(2) Adopted the 1995 - None
Other information required under Part II is not applicable1999 Executive Incentive Compensation Plan
(3) Approval of the selection of Deloitte & Touche LLP as the
independent public accountants for the quarter
ended September 30, 1994.ensuing year.
(4) Re-election of all exiting officers including the principal
executive officers of the corporation.
Name Title
----- -----
Robert S. Cline Chairman of the Board
Chief Executive Officer
Robert G. Brazier President
Chief Operating Officer
(5) Declared dividends on common and preferred stock.
SIGNATURES
----------
Pursuant to the requirements of the Securities and Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf
by the undersigned thereunto duly authorized:
AIRBORNE FREIGHT CORPORATION
----------------------------
(Registrant)
Date: 11/10/945/12/95 /s/Roy C. Liljebeck
-------- -------------------------- --------------------
Roy C. Liljebeck
Executive Vice President,
Chief Financial Officer
Date: 11/10/945/12/95 /s/Lanny H. Michael
--------------- -------------------
Lanny H. Michael
Senior Vice President,
Treasurer and Controller