Harbinger Group Inc.
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SEC Filings

10-Q
HRG GROUP, INC. filed this Form 10-Q on 05/10/2002
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sold its investment in Viskase and expects to receive an associated tax refund
of approximately $8.4 million during 2002.

In addition to its cash, cash equivalents, investments and interest income,
Zapata has a potential secondary source of liquidity in its publicly traded
securities of Omega Protein and Zap.Com. Zapata's holdings of Omega Protein and
Zap.Com stock constitute "restricted stock" under SEC Rule 144 and may only be
sold in the public market pursuant to an effective registration statement under
the Securities Act of 1933 and under any required state securities laws or
pursuant to an available exemption. These and other securities law restrictions
could prevent or delay any sale by Zapata of these securities or reduce the
amount of proceeds that might otherwise be realized therefrom.

Currently, all of Zapata's equity securities holdings are eligible for sale
under Rule 144. Zapata also has demand and piggyback registration rights for its
Omega Protein and Zap.Com shares and Zapata has registered with the SEC for
resale 1,000,000 shares of Zap.Com common stock. As of the date of this report,
it has not sold any of its Zap.Com shares and there is no assurance that it will
or can sell these shares. Although Zap.Com is publicly traded, the market for
its shares has to date been thin.

At March 31, 2002, Zapata had $16.5 million in consolidated indebtedness, all of
which was Omega Protein's indebtedness. Zapata has not guaranteed nor otherwise
agreed to be liable for the repayment of this debt.

Zapata's liquidity needs are primarily for operating expenses, litigation and
insurance reserves, possible stock repurchases and acquisitions. Zapata also
intends to invest a significant portion of its cash assets in operating
businesses as soon as practicable. To pay for or fund these acquisitions, Zapata
may need to raise additional capital through the issuance of equity or debt.
There is no assurance, however, that such capital will be available at the time,
in the amounts necessary or with terms satisfactory to Zapata.

The following tables summarizes information about Zapata's consolidated
contractual cash obligations and other commercial commitments (in thousands) as
of March 31, 2002 and the effect such obligations are expected to have on its
consolidated liquidity and cash flow in future periods:


<TABLE>
<CAPTION>
                                                                PAYMENTS DUE BY PERIOD
                                       ----------------------------------------------------------------------
ZAPATA CONSOLIDATED                                    Less than       1 to 3         4 to 5        After 5
CONTRACTUAL CASH OBLIGATIONS              Total         1 year         years          years          Years
----------------------------              -----         ------         -----          -----          -----
<S>                                    <C>            <C>            <C>            <C>            <C>
Long Term Debt                         $   16,453     $    1,254     $    2,669     $    3,007     $    9,523
Operating Leases                            1,508            573            680            255             --
Minimum Pension Liability                   6,051             --             --             --          6,051
                                       ----------     ----------     ----------     ----------     ----------
Total Contractual Cash Obligations     $   24,012     $    1,827     $    3,349     $    3,262     $   15,574
                                       ==========     ==========     ==========     ==========     ==========
</TABLE>




<TABLE>
<CAPTION>
                                                     AMOUNT OF COMMITMENT EXPIRATION PER PERIOD
                                       ----------------------------------------------------------------------
ZAPATA CONSOLIDATED                                    Less than       1 to 3         4 to 5        After 5
OTHER COMMERCIAL COMMITMENTS              Total         1 year         years          years          Years
----------------------------              -----         ------         -----          -----          -----
<S>                                    <C>            <C>            <C>            <C>            <C>
Credit Facility (1)                    $   20,000     $       --     $       --     $       --     $       --
Standby Letters of Credit                   1,900          1,900             --             --             --
                                       ----------     ----------     ----------     ----------     ----------
Total Commercial Commitments           $   21,900     $    1,900     $       --     $       --     $       --
                                       ==========     ==========     ==========     ==========     ==========
</TABLE>


(1)   As of March 31, 2002, Omega had no outstanding borrowings outstanding
      under the $20.0 million Credit Facility.

Because Zapata does not guarantee or otherwise assume any liability for Omega
Protein or Zap.Com or have any investment commitments to either Omega Protein or
Zap.Com, it is useful to separately review the cash obligations of Zapata
exclusive of Omega and Zap.Com ("Zapata Corporate"). The following table
summarizes information about Zapata Corporate's contractual cash obligations (in
thousands) as of March 31, 2001, and the effects such obligations are expected
to have on Zapata Corporate's liquidity and cash flow in future periods:


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