UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended May 1, 2004
Commission File number 0-6506
NOBILITY HOMES, INC.
(Exact name of registrant as specified in its charter)
Florida 59-1166102
(State or other jurisdiction (I.R.S. Employer
of incorporation or Identification No.)
organization)
3741 S.W. 7th Street
Ocala, Florida 34474
(Address of principal executive offices) (Zip Code)
(352) 732-5157
(Registrant's telephone number, including area code)
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 ____.
Indicate by check mark whether the registrant is an accelerated filer (as
defined in Rule 12b-2 of the Exchange Act). Yes ____; No X.
The number of shares of the registrant's common stock, par value $0.10,
outstanding as of June 15, 2004 was 4,017,986.
NOBILITY HOMES, INC.
INDEX
Page
Number
PART I.
Financial Information
Item 1.
Financial Statements (Unaudited)
Consolidated Balance Sheets as of May 1, 2004 and
November 1, 2003 3
Consolidated Statements of Income and Comprehensive
Income for the three and six months ended May 1, 2004
and May 3, 2003 4
Consolidated Statements of Cash Flows for the three
and six months ended May 1, 2004 and May 3, 2003 5
Notes to Consolidated Financial Statements 6
Item 2. Management's Discussion and Analysis of Financial
Condition and of Results of Operations 10
Item 3. Quantitative and Qualitative Disclosures About Market Risk 12
Item 4. Controls and Procedures 12
PART II. Other Information
Item 6. Exhibits and Reports on Form 8-K 13
Signatures 13
2
NOBILITY HOMES, INC.
CONSOLIDATED BALANCE SHEETS
May 1, November 1,
2004 2003
----------------------- ---------------------
(Unaudited)
Assets
Current assets:
Cash and cash equivalents $ 9,907,112 $ 10,641,748
Short-term investments 871,779 342,550
Accounts receivable - trade 1,508,330 2,096,128
Inventories 7,707,792 6,557,659
Deferred income taxes 476,801 485,716
Prepaid expenses and other current assets 552,010 501,014
------------ -----------
Total current assets 21,023,824 20,624,815
Property, plant and equipment, net 3,343,832 3,136,506
Long-term investments 6,656,935 5,249,825
Investment in joint venture - Majestic 21 1,375,069 1,203,804
Deferred income taxes - noncurrent 15,050 15,050
Other assets 1,943,882 2,474,905
------------ -----------
Total assets $ 34,358,592 $ 32,704,905
============ ===========
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $ 1,436,455 $ 1,484,997
Accrued expenses and other current liabilities 565,483 757,498
Accrued compensation 696,399 524,784
Income taxes payable 442,175 890,675
Customer deposits 2,742,606 2,230,633
------------ -----------
Total current liabilities 5,883,118 5,888,587
------------ -----------
Commitments and contingent liabilities
Stockholders' equity:
Preferred stock, $.10 par value, 500,000
shares authorized, none issued - -
Common stock, $.10 par value, 10,000,000
shares authorized; 5,364,907 shares issued 536,491 536,491
Additional paid in capital 8,648,043 8,613,640
Retained earnings 27,036,500 25,500,362
Accumulated other comprehensive income 56,319 35,516
Less treasury stock at cost, 1,346,921 and
1,354,663 shares, respectively, in 2004 and 2003 (7,801,879) (7,869,691)
------------ -----------
Total stockholders' equity 28,475,474 26,816,318
------------ ----------
Total liabilities and stockholders' equity $ 34,358,592 $ 32,704,905
============ ===========
The accompanying notes are an integral part of these financial statements
3
NOBILITY HOMES, INC.
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(Unaudited)
Three Months Ended Six Months Ended
------------------ ----------------
May 1, May 3, May 1, May 3,
2004 2003 2004 2003
---------------- -------------- -------------- -------------
Net sales $ 13,060,233 $ 8,354,762 $ 23,258,474 $ 16,837,177
Net sales - related parties 52,367 - 52,367 -
----------- ----------- ------------ ------------
Total net sales 13,112,600 8,354,762 23,310,841 16,837,177
Cost of goods sold (9,778,658) (6,127,236) (17,390,359) (12,386,221)
----------- ----------- ------------ ------------
Gross profit 3,333,942 2,227,526 5,920,482 4,450,956
Selling, general and administrative expenses (1,730,108) (1,331,554) (3,314,637) (2,716,597)
----------- ----------- ------------ ------------
Operating income 1,603,834 895,972 2,605,845 1,734,359
----------- ----------- ------------ ------------
Other income:
Interest income 77,970 43,239 166,431 83,536
Undistributed earnings in joint venture - Majestic 21 100,063 88,997 171,065 110,563
Receipt of stock in connection with demutualization
of insurance company - 167,551 - 167,551
Miscellaneous income 3,490 8,023 32,897 17,356
----------- ----------- ------------ ------------
181,523 307,810 370,393 379,006
----------- ----------- ------------ ------------
Income before provision for income taxes 1,785,357 1,203,782 2,976,238 2,113,365
Provision for income taxes (632,000) (409,000) (1,039,000) (718,000)
----------- ----------- ------------ ------------
Net income 1,153,357 794,782 1,937,238 1,395,365
Other comprehensive income, net of tax
Unrealized investment gain 1,727 9,538 20,803 9,538
----------- ----------- ------------ ------------
Comprehensive income $ 1,155,084 $ 804,320 $ 1,958,041 $ 1,404,903
=========== =========== =========== ==========
Average shares outstanding
Basic 4,013,963 3,996,175 4,012,335 4,005,210
Diluted 4,103,980 4,010,169 4,086,440 4,023,339
Earnings per share
Basic $ 0.29 $ 0.20 $ 0.48 $ 0.35
Diluted $ 0.28 $ 0.20 $ 0.47 $ 0.35
Divdends per commom share $ - $ - $ 0.10 $ -
The accompanying notes are an integral part of these financial statements
4
NOBILITY HOMES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
Six Months Ended
----------------
May 1, May 3,
2004 2003
----------------------- ------------------------
Cash flows from operating activities:
Net income $ 1,937,238 $ 1,395,365
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization 115,525 98,220
Deferred income taxes - 50,379
Undistributed earnings in joint venture - Majestic 21 (171,265) (110,563)
Increase in cash surrender value of life insurance (66,001) (30,000)
Decrease (increase) in:
Accounts receivable - trade 587,798 230,327
Inventories (1,150,133) (1,301,651)
Prepaid expenses and other current assets (50,996) (126,792)
(Decrease) increase in:
Accounts payable (48,542) (249,189)
Accrued expenses and other current liabilities (192,015) (274,442)
Accrued compensation 171,615 (332,938)
Income taxes payable (448,500) 131,101
Customer deposits 511,973 750,324
------------- ------------
Net cash provided by operating activities 1,196,697 230,141
------------- ------------
Cash flows from investing activities:
Purchase of property, plant and equipment (322,851) (115,631)
------------- ------------
Net cash used in investing activities (322,851) (115,631)
------------- ------------
Cash flows from financing activities:
Purchase of investments (1,906,621) (1,404,697)
Payment of cash dividends (401,100) -
Proceeds from repayment of receivable from officer 597,024 -
Proceeds from exercise of employee stock options 102,215 -
Purchase of treasury stock - (260,158)
------------- ------------
Net cash used in financing activities (1,608,482) (1,664,855)
------------- ------------
Decrease in cash and cash equivalents (734,636) (1,550,345)
Cash and cash equivalents at beginning of year 10,641,748 12,481,711
----------- ------------
Cash and cash equivalents at end of quarter $ 9,907,112 $ 10,931,366
============= ============
Supplemental disclosure of cash flow information
Interest Paid $ - $ -
============= ============
Income taxes paid $ 1,487,500 $ 510,000
============= ============
Non-cash financing activities:
Receipt of stock in connection with demutualization
of insurance company $ - $ 167,551
============= ============
The accompanying notes are an integral part of these financial statements
5
NOBILITY HOMES, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
1. Basis of Presentation
---------------------
The accompanying unaudited consolidated financial statements for the three and
six months ended May 1, 2004 and May 3, 2003 have been prepared in accordance
with accounting principles generally accepted in the United States of America
for interim financial information and pursuant to the rules and regulations of
the Securities and Exchange Commission for Form 10-Q. Accordingly, they do not
include all the information and footnotes required by accounting principles
generally accepted in the United States of America for complete financial
statements.
The unaudited financial information included in this report includes all
adjustments which are, in the opinion of management, necessary to reflect a fair
statement of the results for the interim periods. The operations for the three
and six months ended May 1, 2004 are not necessarily indicative of the results
of the full fiscal year.
The condensed consolidated financial statements included in this report should
be read in conjunction with the financial statements and notes thereto included
in the Registrant's November 1, 2003 Annual Report on Form 10-K.
The receipt of stock in connection with the demutualization of an insurance
company for which the Company owns life insurance was originally recorded during
the second quarter of 2003 as a fair value adjustment for marketable securities
and included as a component of other comprehensive income. During the fourth
quarter of 2003, this amount was reclassified to other income and included in
net income; the results of this reclassification was to increase other income by
approximately $168,000, increase a deferred tax liability by approximately
$50,000, increase basic and diluted earnings per share by $0.03, and decrease
other comprehensive income by approximately $118,000. These amounts have been
properly reclassified in the accompanying financial statements for the
three-month and six-month periods ended May 3, 2003.
2. Inventories
-----------
Inventories are carried at the lower of cost or market. Cost of finished home
inventories is determined on the specific identification method. Other inventory
costs are determined on a first-in, first-out basis. Inventories at May 1, 2004
and November 1, 2003 are summarized as follows:
May 1, November 1,
2004 2003
----------------------- ----------------------
(Unaudited)
Raw materials $ 731,354 $ 680,036
Work-in-process 126,762 109,947
Finished homes 6,233,380 5,272,867
Pre-owned manufactured homes 498,841 401,728
Model home furniture and other 117,455 93,081
----------------------- ----------------------
$ 7,707,792 $ 6,557,659
======================= ======================
6
NOBILITY HOMES, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
3. Accounting for Stock Based Compensation
---------------------------------------
At May 1, 2004, the Company had a stock incentive plan (the "Plan"), which
authorizes the issuance of options to purchase common stock. The Company has
adopted the disclosure-only provisions of FAS 123, Accounting for Stock-Based
Compensation, as amended by FAS 148, Accounting for Stock Based Compensation-
Transition and Disclosure, an amendment of FASB Statement No. 123, but accounts
for the Plan under the recognition and measurement principles of Accounting
Principles Board Opinion No. 25 and related interpretations. No stock-based
employee compensation cost is reflected in net income, as all options granted
under those plans had an exercise price equal to the market value of the
underlying common stock on the date of grant. If the Company had elected to
recognize compensation expense for stock options based on the fair value at
grant date, consistent with the method prescribed by FAS 123, net income and
earnings per share would have been reduced to the pro forma amounts as follows:
Three Months Ended Six Months Ended
------------------ ----------------
May 1, May 3, May 1, May 3,
2004 2003 2004 2003
---- ---- ---- ----
Net income, as reported $ 1,153,357 $ 794,782 $ 1,937,238 $ 1,395,365
Deduct: Total stock-based employee
compensation determined under fair value
based method for all awards, net of related
tax effects (3,837) (3,837) (9,976) (6,370)
---------- --------- ----------- -----------
Pro forma net income $ 1,148,369 $ 790,945 $ 1,927,262 $ 1,388,995
========== ========== =========== ===========
Earnings per share
Basic - as reported $ 0.29 $ 0.20 $ 0.48 $ 0.35
Basic - pro forma $ 0.29 $ 0.20 $ 0.48 $ 0.35
Earnings per share
Diluted - as reported $ 0.28 $ 0.20 $ 0.47 $ 0.35
Diluted - pro forma $ 0.28 $ 0.20 $ 0.47 $ 0.35
7
NOBILITY HOMES, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
4. Earnings Per Share
------------------
Three Months Ended Six Months Ended
------------------ ----------------
May 1, May 3, May 1, May 3,
2004 2002 2004 2003
------------------- ----------------- ---------------- -------------
Net income $ 1,153,357 $ 794,782 $ 1,937,238 $ 1,395,365
=========== =========== ============ ============
Weighted average shares outstanding:
Basic 4,013,963 3,996,175 4,012,335 4,005,210
Add: common stock equivalents 90,017 13,994 74,105 18,129
----------- ----------- ------------ ------------
Diluted 4,103,980 4,010,169 4,086,440 4,023,339
=========== =========== ============ ============
Earnings per share:
Basic $ 0.29 $ 0.20 $ 0.48 $ 0.35
=========== =========== ============ ============
Diluted $ 0.28 $ 0.20 $ 0.47 $ 0.35
=========== =========== ============ ============
5. Critical Accounting Policies and Estimates
------------------------------------------
The Company applies judgment and estimates, which may have a material effect in
the eventual outcome of assets, liabilities, revenues and expenses, for accounts
receivable, inventory and goodwill. The following explains the basis and the
procedure for each asset account where judgment and material estimates are
applied.
Revenue Recognition
The Company recognizes revenue for the majority of retail sales upon the
occurrence of all the following:
o its receipt of a down payment,
o the home buyer enters into a installment sales contract with a third
party,
o construction of the home is complete,
o title having passed to the retail home buyer,
o full sales price of home having been collected and deposited into the
Company's account,
o the home having been delivered and set up at the retail home buyer's
site, and
o completion of any other significant obligations.
The Company recognizes wholesale home sales to independent dealers upon
receiving wholesale floor plan financing or establishing retail credit approval
for terms, shipping of the home, and transferring title and risk of loss to the
independent dealer. For wholesale shipments to independent retailers, the
Company has no obligation to set up the home or to complete any other
significant obligations.
Goodwill
Between 1995 and 1998 the Company acquired retail sales centers using the
purchase method of accounting. As a result, goodwill is reflected on the
consolidated balance sheets. A valuation was performed by the Company and it was
determined that the estimated fair value of the goodwill in the accounts
exceeded its book value. There is no assurance that the value of the acquired
sales centers will not decrease in the future due to changing business
conditions.
Vendor Rebates
The Company receives volume rebates from its vendors based upon reaching a
certain level of purchased materials during a specified period of time. Volume
rebates are estimated based upon annual purchases, and are adjusted quarterly if
the accrued volume rebate is applicable.
8
NOBILITY HOMES, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
Dealer Volume Rebates
The Company pays a volume rebate to independent dealers based upon the dollar
volume of homes purchased and paid for by the dealer in excess of a certain
specific dollar amount during a specific time period. Dealer volume rebates are
accrued when sales are recognized.
9
NOBILITY HOMES, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
Results of Operations
- ---------------------
For the three and six month periods ended May 1, 2004 and May 3, 2003, results
of operations are as follows. Total net sales in second quarter 2004 increased
57% to $13,112,600 compared to $8,354,762 in the second quarter 2003. Total net
sales for the first six months of 2004 increased 38% to $23,310,841 compared to
$16,837,177 for the first six months of 2003. The increased sales in 2004 was
primarily due to the increase in sales to outside dealers coupled with an
increase in Prestige same store revenues. Industry shipments in Florida, our
primary market, in the latest three-month period were up approximately 6%. In
spite of tight retail credit standards, high unemployment, and uncertain
economic conditions in our country, management expects the demand for our homes
to continue. In the near term management anticipates continued pressure on both
sales and earnings resulting from these factors, plus record price increases in
lumber, oriented strand board (OSB), sheetrock, steel and oil-related products
and services.
Gross profit as a percentage of net sales was 25% in second quarter 2004
compared to 27% in second quarter 2003 and was 25% for the first six months of
2004 compared to 26% for the first six months 2003. The decline in gross profit,
as a percentage of sales, in 2004 was primarily due to higher material costs,
primarily in lumber and oriented strand board (OSB), sheetrock, steel and
oil-rated products and services.
Selling, general and administrative expenses as a percent of net sales were 13%
in second quarter of 2004 compared to 16% in the second quarter of 2003 and were
14% for the first six months of 2004 compared to 16% for the first six months of
2003. The decrease in selling, general and administrative expenses, as a percent
of net sales, resulted from the increase in sales which had an impact on
selling, general and administrative expenses as a percentage because most of
these expenses are fixed, except for compensation expenses.
Other income for the second quarter of 2004 was $181,523 of which $77,970 was
from interest on cash equivalents and investments and $100,063 was from
Nobility's equity in the earnings from the Majestic 21 joint venture. In the
second quarter of 2003 other income was $307,810 of which $43,239 was from
interest on cash equivalents and investments and $88,997 was from Nobility's
equity in the earnings from the Majestic 21 joint venture. In the second quarter
of 2003 the Company recorded the receipt of stock in connection with
demutualization of insurance company in the amount $167,551. For the first six
months of 2004 other income was $370,393 of which $166,431 was from interest on
cash equivalents and investments and $171,065 was from Nobility's equity in the
earnings from the Majestic 21 joint venture. For the six months of 2003 other
income was $379,006 of which $83,536 was from interest on cash equivalents and
investments and $110,563 was from Nobility's equity in the earnings from the
Majestic 21 joint venture. The increase in interest income was primarily due to
a change in the investment portfolio to long-term marketable securities to
obtain a higher yield. Income reported for Majestic 21 results from the
Company's 50% share in the equity in the earnings of this joint venture. Income
for the joint venture fluctuated due to higher loan origination volume. The
Company believes that its historical loss experience has been favorably impacted
by its ability to resell foreclosed/repossessed homes through its network of
retail sales centers. Majestic 21 is a financing joint venture accounted for
under the equity method of accounting.
As a result of the factors discussed above, net income for the second quarter of
2004 was $1,153,357 or $0.28 per diluted share compared to $794,782 or $0.20 per
basic and diluted share for the second quarter 2003. For the first six months of
2004 net income was $1,937,238 or $0.47 per diluted share as compared to
$1,395,365 or $0.35 per basic and diluted share for the first six months of
2003.
Liquidity and Capital Resources
- -------------------------------
Cash and cash equivalents were $9,907,112 at May 1, 2004 compared to $10,641,748
at November 1, 2003. Short and long term investments were $7,528,714 at May 1,
2004 compared to $5,592,375 at November 1, 2003. Working capital was $15,140,706
at May 1, 2004 as compared to $14,736,228 at November 1, 2003. Nobility owns the
entire inventory for its Prestige retail sales centers and does not incur any
third party floor plan financing expenses. Inventories increased to $7,707,792
at May 1, 2004, from $6,557,659 at November 1, 2003 primarily due to an increase
in the number of homes in inventory at the Prestige retail sales centers.
Accounts receivable trade decreased $587,798 to $1,508,330 at May 1, 2004 from
$2,096,128 at November 1, 2003.
10
NOBILITY HOMES, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
Nobility maintains a revolving credit agreement with a major bank providing for
borrowing up to $4,000,000. At May 1, 2004 and November 1, 2003, there were no
amounts outstanding under this agreement.
Consistent with normal practices, Nobility's operations are not expected to
require significant capital expenditures during fiscal 2004. Working capital
requirements for any increase in the new home inventory for existing and any new
retail sales centers will be met with internal sources.
Critical Accounting Policies and Estimates
- ------------------------------------------
The Company applies judgment and estimates, which may have a material effect in
the eventual outcome of assets, liabilities, revenues and expenses, for accounts
receivable, inventory and goodwill. The following explains the basis and the
procedure for each asset account where judgment and estimates are applied.
Revenue Recognition
The Company recognizes revenue for the majority of retail sales upon the
occurrence of all the following:
o its receipt of a down payment,
o the home buyer enters into a installment sales contract with a third
party,
o construction of the home is complete,
o title having passed to the retail home buyer,
o full sales price of home having been collected and deposited into the
Company's account,
o the home having been delivered and set up at the retail
home buyer's site, and
o completion of any other significant obligations.
The Company recognizes wholesale home sales to independent dealers upon
receiving wholesale floor plan financing or establishing retail credit approval
for terms, shipping of the home, and transferring title and risk of loss to the
independent dealer. For wholesale shipments to independent retailers, the
Company has no obligation to set up the home or to complete any other
significant obligations.
Goodwill
Between 1995 and 1998 the Company acquired retail sales centers using the
purchase method of accounting. As a result, goodwill is reflected on the
consolidated balance sheets. A valuation was performed by the Company and it was
determined that the estimated fair value of the goodwill in the accounts
exceeded its book value. There is no assurance that the value of the acquired
sales centers will not decrease in the future due to changing business
conditions.
Vendor Rebates
The Company receives volume rebates from its vendors based upon reaching a
certain level of purchased materials during a specified period of time. Volume
rebates are estimated based upon annual purchases, and are adjusted quarterly if
the accrued volume rebate is applicable.
Dealer Volume Rebates
The Company pays a volume rebate to independent dealers based upon the dollar
volume of homes purchased and paid for by the dealer in excess of a certain
specific dollar amount during a specific time period. Dealer volume rebates are
accrued when sales are recognized.
Forward-Looking Statements
- --------------------------
Certain statements in this report are forward-looking statements within the
meaning of the federal securities laws, including our statement that working
capital requirements will be met with internal sources. Although Nobility
believes that the expectations reflected in such forward-looking statements are
based on reasonable assumptions, there are risks and uncertainties that may
cause actual results to differ materially from expectations. These risks and
uncertainties include, but are not limited to, competitive pricing pressures at
both the wholesale and retail levels, increasing material costs, increase in
repossessions, changes in market demand, changes in interest rates, availability
11
NOBILITY HOMES, INC.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
of financing for retail and wholesale purchasers, consumer confidence, adverse
weather conditions that reduce sales at retail centers, the risk of
manufacturing plant shutdowns due to storms or other factors, and the impact of
marketing and cost-management programs.
Item 3. Quantitative and Qualitative Disclosures about Market Risk
We do not engage in investing in or trading market risk sensitive
instruments. We also do not purchase, for investing, hedging, or for
purposes "other than trading", instruments that are likely to expose us to
market risk, whether interest rate, foreign currency exchange, commodity
price or equity price risk. We have not entered into any forward or
futures contracts, purchased any options or entered into any interest rate
swaps.
We do not currently have any indebtedness as of May 1, 2004. If we were to
borrow from our revolving line of credit facility, we would be exposed to
changes in interest rates. Under our current policies, we do not use
interest rate derivative instruments to manage exposure to interest rate
changes.
Item 4. Controls and Procedures
a. Evaluation of Disclosure Controls and Procedures. The Company's
Chief Executive Officer and Chief Financial Officer have evaluated
the effectiveness of the Company's disclosure controls and
procedures (as such term is defined in Rules 13a - 14(c) and
15d-14(c) under the Securities Exchange Act of 1934, as amended (the
"Exchange Act") as of May 1, 2004 (the "Evaluation Date"). Based on
such evaluation, such officers have concluded that, as of the
Evaluation Date, the Company's disclosure controls and procedures
are effective in alerting them on a timely basis to material
information relating to the Company (including its consolidated
subsidiaries) required to be included in the Company's reports filed
or submitted under the Exchange Act. Since the Evaluation Date there
have not been any significant changes in the Company's internal
controls or in other factors that could significantly affect such
controls.
12
Part II. OTHER INFORMATION AND SIGNATURES
There were no reportable events for Item 1 and items 3 through Item 5
Item 2. Changes in Securities, Use of Proceeds and Issuer Purchases of Equity
Securities
On September 6, 2002, the board of directors of Nobility authorized the
repurchase of up to 100,000 shares of Nobility's common stock in open market or
privately negotiated transactions. Nobility did not repurchase any shares under
the program during the quarter ended May 1, 2004. As Of May 1, 2004, Nobility
had authority to repurchase 100,000 shares under that program.
Item 6. (a) Exhibits
31. (a) Certification of Chief Executive Officer Pursuant to Section 3
02 of the Sarbanes-Oxley Act and Rule 13a-14(a) or 15d-14(a)
under the Securities Exchange Act of 1934
(b) Certification of Chief Executive Officer Pursuant to Section
302 of the Sarbanes-Oxley Act and Rule 13a-14(a) or 15d-14(a)
under the Securities Exchange Act of 1934
32. (a) Written Statement of Chief Executive Officer Pursuant to 18
U.S.C. ss.1350
(b) Written Statement of Chief Financial Officer Pursuant to 18
U.S.C. ss.1350
Item 6. (b) Form 8-K
Form 8-K dated March 4, 2004, furnishing Nobility's earning release for the
period ended January 31, 2004
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
NOBILITY HOMES, INC.
DATE: June 15, 2004 By: /s/ Terry E. Trexler
----------------------------------------
Terry E. Trexler, Chairman,
President and Chief Executive Officer
DATE: June 15, 2004 By: /s/ Thomas W. Trexler
----------------------------------------
Thomas W. Trexler, Executive Vice
President, and Chief Financial Officer
DATE: June 15, 2004 By: /s/ Lynn J. Cramer, Jr.
----------------------------------------
Lynn J. Cramer, Jr., Treasurer
and Principal Accounting Officer
13