SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
/_x_/ Quarterly report pursuant to section 13 or 15(d) of the
Securities Exchange Act of 1934.
For the quarterly period ended September 30, 2002
/___/ Transition report pursuant to Section 13 or 15(d) of the
Securities Act of 1934
for the transition period from ______________ to ________________.
Commission File Number 0-15346
DSI REALTY INCOME FUND X, A California Limited Partnership
(Exact name of registrant as specified in its charter)
California_______________________________________33-0195079
(State or other jurisdiction of (I.R.S. Employer
incorporation) Identification No.)
6700 E. Pacific Coast Hwy., Long Beach, California 90803
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code-(562)493-8881
_________________________________________________________________
Former name, former address and former fiscal year, if changed
since last report.
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 _x_. No___.
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements.
The information required by Rule 10-01 of Regulation S-X is
included in the Quarterly Report to the Limited Partners of Registrant for
the period ended September 30, 2002 which is attached hereto as Exhibit "20"
and incorporated herein by this reference.
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations.
Registrant incorporates by this reference its Quarterly Report
to Limited Partners for the period ended September 30, 2002.
PART II - OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8K.
(a) Attached hereto as Exhibit "20" is Registrant's Quarterly
Report to Limited Partners for the period ended
September 30, 2002.
(B) Registrant did not file any reports on Form 8-K for the
period reported upon.
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.
Dated: October 31, 2002 DSI REALTY INCOME FUND X
A California Limited Partnership
(Registrant)
By__/s/ Robert J. Conway______
DSI Properties, Inc., as General
Partner by ROBERT J. CONWAY,
President and Chief Financial
Officer
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.
Dated: October 31, 2002 DSI REALTY INCOME FUND X
A California Limited Partnership
(Registrant)
By___/s/ Robert J. Conway_____
DSI Properties, Inc., as General
Partner by ROBERT J. CONWAY,
President and Chief Financial
Officer
October 31, 2002
QUARTERLY REPORT TO THE LIMITED PARTNERS
OF DSI REALTY INCOME FUND X
DEAR LIMITED PARTNERS:
We are pleased to enclose the Partnership's unaudited financial statements
for the period ended September 30, 2002. The following is Management's
discussion and analysis of the Partnership's financial condition and results
of its operations.
For the three-month periods ended September 30, 2002, and 2001, total
revenues decreased 7.1% from $823,597 to $765,152 and total expenses
decreased 8.3% from $488,196 to $447,911 and other income decreased from
$11,934 to $1,262. As a result, net income decreased 8.3% from $347,335 to
$318,503 for the three-month period ended September 30, 2002 as compared to the
same period in 2001. The decrease in revenues can be attributed to a decrease
in rental income due to lower occupancy and unit rental rates. Occupancy
levels for the Partnership's five mini-storage facilities averaged 82.8% for
the three-month period ended September 30, 2002, as compared to 87.6% for the
same period in 2001. The Partnership is continuing its advertising campaign
to attract and keep new tenants in its various mini-storage facilities. Oper-
ating expenses decreased approximately $45,400 (10.4%) primarily as a result
of a decrease in maintenace and repair, property management fee, salaries and
wages and travel expenses, partially offset by increases in workers compensation
insurance and postage expenses. General and administrative expenses increased
approximately $5,100 (9.6%) as a result of increases in legal and professional
and equipment and computer lease expenses.
For the nine-month periods ended September 30, 2002, and 2001, total
decreased 4.9% from $2,464,000 to $2,344,226 and total expenses decreased
3.4% from $1,399,517 to $1,352,180 and other income decreased from $43,612
to $4,523. As a result, net income decreased 10.1% from $1,108,095 for the
nine-month period ended September 30, 2001, to $996,569 for the same period
in 2002. The decrease in revenues can be attributed to a decrease in rental
revenue due to lower occupancy and unit rental rates. Operating expenses de-
creased approximately $55,600 (4.6%) primarily due to lower advertising,
repair and maintenance, property management fees, salaries and wages and
power and sweeping expenses, partially offset by an increase in telephone,
office supplies, workers compensation insurance, bank and credit card fee and
postage expenses. Property management fees, which are based on rental revenue,
decreased as a result of the decrease in rental revenue. Power and sweeping
expenses decreased as the substantial snow removal costs associated with
heavy snowfalls in the Detroit, Michigan area during the first quarter of
2001, were not incurred in the current period. General and administrative
expenses increased approximately $8,300 (4.6%) due to increases in legal and
professional and equipment and computer lease expenses, partially offset by a
decrase in state tax payments.
The General Partners will continue their policy of funding improvements
and maintenance of Partnership properties with cash generated from
operations. The Partnership's financial resources appear to be adequate
to meet its needs.
We are not enclosing a copy of the Partnership Form 10-Q as filed with
the Securities and Exchange Commission, since all the information set
forth therein is contained either in this letter or in the attached
financial statements. However, if you wish to receive a copy of said
report, please send a written request to DSI Realty Income Fund X,
P.O. Box 357, Long Beach, California 90801.
Very truly yours,
DSI Realty Income Fund X
By: DSI Properties, Inc., as
General Partner
By___\s\ Robert J. Conway_______
ROBERT J. CONWAY, President
DSI REALTY INCOME FUND X
(A California Real Estate Limited Partnership)
BALANCE SHEETS(UNAUDITED), SEPTEMBER 30, 2002 AND DECEMBER 31, 2001
September 30, December 31,
2002 2001
ASSETS
CASH AND CASH EQUIVALENTS $1,367,464 $1,446,960
PROPERTY, Net 5,201,158 5,605,054
OTHER ASSETS 139,532 142,031
TOTAL $6,708,154 $7,194,045
LIABILITIES AND PARTNERS' EQUITY(DEFICIT):
LIABILITIES $1,078,411 $1,585,229
PARTNERS' EQUITY (DEFICIT):
General Partners (85,730) (85,940)
Limited Partners 5,715,473 5,694,756
Total partners' equity 5,629,743 5,608,816
TOTAL $6,708,154 $7,194,045
See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED)
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2002 AND 2001
September 30, September 30,
2002 2001
REVENUES:
Rental $765,152 $823,597
EXPENSES:
Operating 389,760 435,159
General and administrative 58,151 53,037
Total expenses 447,911 488,196
OPERATING INCOME 317,241 335,401
OTHER INCOME
Interest 1,262 11,934
NET INCOME $318,503 $347,335
AGGREGATE NET INCOME ALLOCATED TO :
Limited partners $315,318 $343,862
General partners 3,185 3,473
TOTAL $318,503 $347,335
NET INCOME PER
LIMITED PARTNERSHIP UNIT $ 9.92 $10.82
LIMITED PARTNERSHIP
UNITS USED IN PER
UNIT CALCULATION 31,783 31,783
See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2002 AND 2001
September 30, September 30,
2002 2001
REVENUES:
Rental $2,344,226 $2,464,000
EXPENSES:
Operating 1,163,299 1,218,890
General and administrative 188,881 180,627
Total expenses 1,352,180 1,399,517
OPERATING INCOME 992,046 1,064,483
OTHER INCOME
Interest 4,523 43,612
NET INCOME 996,569 1,108,095
AGGREGATE NET INCOME ALLOCATED TO:
Limited partners 986,603 1,097,014
General partners 9,966 11,081
TOTAL 996,569 1,108,095
NET INCOME PER LIMITED
PARTNERSHIP UNIT $31.04 $34.52
LIMITED PARTNERSHIP UNITS
USED IN PER UNIT CALCULATION 31,783 31,783
See accompanying notes to financial statements (unaudited).
STATEMENTS OF CHANGES IN PARTNERS' EQUITY (DEFICIT)(UNAUDITED)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2002 AND 2001
GENERAL LIMITED
PARTNERS PARTNERS TOTAL
BALANCE AT JANUARY 1, 2002 ($85,940) $5,694,756 $5,608,816
NET INCOME 9,966 986,603 996,569
DISTRIBUTIONS (9,756) (965,886) (975,642)
BALANCE AT SEPTEMBER 30, 2002 ($85,730) $5,715,473 $5,629,743
See accompanying notes to financial statements(unaudited).
STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2002 AND 2001
September 30, September 30,
2002 2001
CASH FLOWS FROM OPERATING
ACTIVITIES:
Net income $ 996,569 $1,108,095
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation 403,896 403,896
Changes in assets and liabilities:
Decrease(increase) in other assets 2,499 (7,500)
(Decrease)increase in liabilities (506,818) 192,641
Net cash provided by operating
activities 896,146 1,697,132
CASH FLOWS FROM FINANCING ACTIVITIES -
Distributions to partners (975,642) (975,642)
NET (DECREASE)INCREASE IN CASH AND
CASH EQUIVALENTS (79,496) 721,490
CASH AND CASH EQUIVALENTS:
At beginning of period 1,446,960 2,605,662
At end of period $1,367,464 $ 3,327,152
See accompanying notes to financial statements(unaudited).
DSI REALTY INCOME FUND X
(A California Real Estate Limited Partnership)
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1. GENERAL
DSI Realty Income Fund X (the "Partnership") has three general partners
(DSI Properties, Inc., Robert J. Conway and Joseph W. Conway) and
limited partners owning 31,783 limited partnership units.
The accompanying financial information as of September 30, 2002, and for
the periods ended September 30, 2002 and 2001 is unaudited. Such financial
information includes all adjustments which are considered necessary by
the Partnership's management for a fair presentation of the results for
the periods indicated.
2. PROPERTY
The Partnership owns five mini-storage facilities. Two facilities are
located in Warren, Michigan; one facility is located in Troy, Michigan;
one facility is located in Crestwood, Illinois; and one facility is
located in Forestville, Maryland. As of September 30, 2002, the total
cost and accumulated depreciation of the mini-storage facilities is as
follows:
Land $ 2,089,882
Buildings 10,834,474
Furniture and Equipment 5,810
Total 12,930,166
Less: Accumulated Depreciation ( 7,729,008)
Property - Net $ 5,201,158
3. NET INCOME PER LIMITED PARTNERSHIP UNIT
Net income per limited partnership unit is calculated by dividing the
net income allocated to the limited partners by the number of limited
partnership units outstanding during the period.
4. CONTROLS AND PROCEDURES
Within 90 days prior to the date of this report, the Partnership evaluated
the effectiveness of its disclosure controls and procedures. This evaluation
was performed by the Partnership's Controller with the assistance of the
Partnership's President and the Chief Executive Officer. These disclosure
controls and procedures are designed to ensure that the information required
to be disclosed by the Partnership in its periodic reports filed with the
Securities and Exchange Commission (the "Commission") is recorded, processed,
summarized and reported, within the time periods specified by the Commission's
rules and forms, and that the information is communicated to the certifying
officers on a timely basis. Based on this evaluation, the Partnership con-
cluded that its disclosure controls and procedures were effective. There have
been no significant changes in the Partnership's internal controls or in other
factors that could significantly affect the internal controls subsequent to
the date of their evaluation.
DSI REALTY INCOME FUND X
Form 10-Q
CERTIFICATION
Each of the undersigned hereby certifies in his capacity as an officer of
DSI Properties, Inc. (corporate General Partner) of DSI REALTY INCOME FUND X
(the "Partnership") that the Quarterly Report of the Partnership on Form 10-Q
for the periods ended September 30, 2002 fully complies with the requirements
of Section 13(a) of the Securities and Exchange Act of 1934 and that inform-
ation contained in such report fairly presents, in all material respects, the
financial condition of the Partnership at the end of such periods and the
results of operations of the Partnership for such periods.
ROBERT J. CONWAY, CEO RICHARD P. CONWAY, VP
CERTIFICATIONS
I, Robert Conway, certify that:
1. I have reviewed this quarterly report on Form 10-Q of DSI Realty Income
Fund X;
2. Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to
make the statements made, in light of the circumstances under which such
statements were made, not misleading with respect to the period covered by
this quarterly report;
3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this quarterly report;
4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and have:
a) designed such disclosure controls and procedures to ensure that
material information relating to the registrant, including its consoli-
dated subsidiaries, is made known to us by others within those entities,
particularly during the period in which this quarterly report is being
prepared;
b) evaluated the effectiveness of the registrant's disclosure controls
and procedures as of a date within 90 days prior to the filing date of
this quarterly report (the "Evaluation Date"); and
c) presented in this quarterly report our conclusions about the effec-
tiveness of the disclosure controls and procedures based on our evalu-
ation as of the Evaluation Date;
5. The registrant's other certifying officers and I have disclosed, based on
our most recent evaluation, to the registrant's auditors and the audit com-
mitee of registrant's board of directors (or persons performing the equivalent
functions):
a) all significant deficiencies in the design or operation of internal
controls which could adversely affect the registrant's ability to record,
process, summarize and report financial data and have identified for the
registrant's auditors any material weaknesses in internal controls; and
b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal controls;
and
6. The registrant's other certifying officers and I have indicated in this
quarterly report whether there were significant changes in internal controls
or in other factors that could significantly affect internal controls sub-
sequent to the date of our most recent evaluation, including any corrective
actions with regard to significant deficiencies and materinal weaknesses.
Date: November, 2002
Robert Conway
President
CERTIFICATIONS
I, Richard Conway, certify that:
1. I have reviewed this quarterly report on Form 10-Q of DSI Realty Income
Fund X;
2. Based on my knowledge, this quarterly report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to
make the statements made, in light of the circumstances under which such
statements were made, not misleading with respect to the period covered by
this quarterly report;
3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly report, fairly present in all material
respects the financial condition, results of operations and cash flows of the
registrant as of, and for, the periods presented in this quarterly report;
4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and have:
a) designed such disclosure controls and procedures to ensure that
material information relating to the registrant, including its consoli-
dated subsidiaries, is made known to us by others within those entities,
particularly during the period in which this quarterly report is being
prepared;
b) evaluated the effectiveness of the registrant's disclosure controls
and procedures as of a date within 90 days prior to the filing date of
this quarterly report (the "Evaluation Date"); and
c) presented in this quarterly report our conclusions about the effec-
tiveness of the disclosure controls and procedures based on our evalu-
ation as of the Evaluation Date;
5. The registrant's other certifying officers and I have disclosed, based on
our most recent evaluation, to the registrant's auditors and the audit com-
mitee of registrant's board of directors (or persons performing the equivalent
functions):
a) all significant deficiencies in the design or operation of internal
controls which could adversely affect the registrant's ability to record,
process, summarize and report financial data and have identified for the
registrant's auditors any material weaknesses in internal controls; and
b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal controls;
and
6. The registrant's other certifying officers and I have indicated in this
quarterly report whether there were significant changes in internal controls
or in other factors that could significantly affect internal controls sub-
sequent to the date of our most recent evaluation, including any corrective
actions with regard to significant deficiencies and materinal weaknesses.
Date: November, 2002
Richard Conway
Vice President