Attached files
| file | filename |
|---|---|
| 8-K - ICON ECI FUND FIFTEEN, L.P. | body.htm |
Exhibit 99.1
ICON ECI Fund Fifteen, L.P.
| Portfolio Overview | ||
| Third Quarter 2014 |
| Table of Contents | |||
|
Introduction to Portfolio Overview
|
1 | ||
|
Investments During the Quarter
|
1 | ||
| Investment Following the Quarter | 1 | ||
| Dispositions Following the Quarter | 2 | ||
| Portfolio Overview | 2 | ||
| Revolving Line of Credit | 5 | ||
| Performance Analysis | 5 | ||
| Transactions with Related Parties | 7 | ||
| Financial Statements | 9 | ||
| Forward Looking Statements | 14 | ||
| Additional Information | 14 |
ICON ECI Fund Fifteen, L.P.
As of January 31, 2015
Introduction to Portfolio Overview
We are pleased to present ICON ECI Fund Fifteen, L.P.’s (the “Fund”) Portfolio Overview for the quarter ended September 30, 2014. References to “we,” “us,” and “our” are references to the Fund, references to the “General Partner” are references to the general partner of the Fund, ICON GP 15, LLC, and references to the “Investment Manager” are references to the investment manager of the Fund, ICON Capital, LLC.
The Fund makes investments in companies that utilize equipment and other corporate infrastructure (collectively, “Capital Assets”) to operate their businesses. These investments are primarily structured as debt and debt-like financings (such as loans and leases) that are collateralized by Capital Assets.
The Fund raised $196,688,918 commencing with its initial offering on June 6, 2011 through the closing of the offering on June 6, 2013. During the operating period, we anticipate continuing to invest our offering proceeds and cash generated from operations in Capital Assets. Following our operating period, we will enter our liquidation period, during which time the loans and leases we own will mature or be sold in the ordinary course of business.
Investments During the Quarter
The Fund made the following investments during the quarter ended September 30, 2014:
|
Tècnicas Maritimas Avanzadas, S.A. de C.V.
|
|||
|
Investment Date:
|
8/27/2014
|
Collateral:
|
Two platform supply vessels valued at $61,000,000.
|
|
Structure:
|
Loan
|
||
|
Maturity Date:
|
8/27/2019
|
||
|
Facility Amount:
|
$29,000,000
|
||
| Fund Participation: |
$3,625,000
|
||
|
Premier Trailer Leasing, Inc.
|
|||
|
Investment Date:
|
9/24/2014
|
Collateral:
|
Trailers valued at $272,373,000.
|
|
Structure:
|
Loan
|
||
|
Maturity Date:
|
9/24/2020
|
||
|
Facility Amount:
|
$20,000,000
|
||
|
Fund Participation:
|
$5,000,000
|
||
Investment Following the Quarter
The Fund made the following investment after the quarter ended September 30, 2014:
|
Inotera Memories, Inc.
|
|||
|
Investment Date:
Structure:
Expiration Date:
Purchase Price:
The Fund's Investment:
|
11/5/2014
Lease
12/1/2016
$77,723,000
$15,263,000
|
Collateral:
|
An ASML Twinscan NXT 1970ci photolithograph immersion scanner used in semiconductor manufacturing valued at $77,723,000.
|
1
ICON ECI Fund Fifteen, L.P.
Dispositions Following the Quarter
The Fund disposed of the following investments after the quarter ended September 30, 2014:
|
Frontier Oilfield Services, Inc.
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Saltwater disposal wells and related equipment.
|
|
Disposition Date:
|
12/30/14
|
||
|
The Fund's Investment:
|
$2,500,000
|
||
|
Total Proceeds Received:
|
$3,315,000
|
||
|
Heniff Transportation Systems, LLC
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Tractor, stainless steel tank trailers and related equipment.
|
|
Disposition Date:
|
12/30/2014
|
||
|
The Fund's Investment:
|
$7,200,000
|
||
|
Total Proceeds Received:
|
$9,024,000
|
||
|
Superior Tube, Inc.
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Equipment and related inventory used in oil field services business.
|
|
Disposition Date:
|
1/29/2015
|
||
|
The Fund's Investment:
|
$2,482,000
|
||
|
Total Proceeds Received:
|
$3,272,000
|
||
Portfolio Overview
As of September 30, 2014, our portfolio consisted of the following investments:
|
VAS Aero Services, LLC
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Aircraft engines and related parts.
|
|
Maturity Date:
|
10/6/2014
|
||
*As a result of certain financial difficulties, VAS was unable to repay the balance of its loan on October 6, 2014. We are currently in discussions with VAS regarding refinancing its loan facility and/or extending the maturity date of the loan.
|
Kyla Shipping Company
|
|||
|
Structure:
|
Loan
|
Collateral:
|
A dry bulk carrier.
|
|
Maturity Date:
|
11/22/2016
|
||
2
ICON ECI Fund Fifteen, L.P.
Portfolio Overview (continued)
|
Höegh Autoliners Shipping AS
|
|||
|
Structure:
|
Lease
|
Collateral:
|
A car carrier vessel.
|
|
Expiration Date:
|
12/21/2020
|
||
|
Murray Energy Corporation
|
|||
|
Structure:
|
Lease
|
Collateral:
|
Mining equipment.
|
|
Expiration Dates:
|
9/30/2015
10/31/2015
|
||
|
Frontier Oilfield Services, Inc.
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Saltwater disposal wells and related equipment.
|
|
Maturity Date:
|
2/1/2018
|
||
|
Bergshav Product Tankers
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Three product tanker vessels.
|
|
Maturity Date:
|
10/4/2017
|
||
|
Ezra Holdings Limited
|
|||
|
Structure:
|
Lease
|
Collateral:
|
Offshore support vessel.
|
|
Expiration Date:
|
6/3/2021
|
||
|
Superior Tube Company, Inc.
|
|||
|
Structure:
Maturity Date:
|
Loan
10/1/2017
|
Collateral:
|
Equipment and related inventory used in oil field services business.
|
|
Go Frac, LLC
|
|||
|
Structure:
|
Lease
|
Collateral:
|
Oil well fracking, cleaning and servicing equipment.
|
|
Expiration Dates:
|
11/30/2016
4/30/2017
|
||
|
Heniff Transportation Systems, LLC
|
|||
|
Structure:
Maturity Date:
|
Loan
8/31/2016
|
Collateral:
|
Tractors, stainless steel tank trailers and related equipment.
|
3
ICON ECI Fund Fifteen, L.P.
Portfolio Overview (continued)
|
Ardmore Shipholding Limited
|
|||
|
Structure:
|
Lease
|
Collateral:
|
Two chemical tanker vessels.
|
|
Expiration Date:
|
4/3/2018
|
||
|
Lubricating Specialties Company
|
|||
|
Structure:
Maturity Date:
|
Loan
8/1/2018
|
Collateral:
|
Liquid storage tanks, blending lines and packaging equipment.
|
| Jurong Aromatics Corporation Pte. Ltd. | |||
|
Structure:
Maturity Date:
|
Loan
1/16/2021
|
Collateral: | Equipment, plant, and machinery associated with the condensate splitter and aromatics complex located on Jurong Island, Singapore. |
|
Quattro Plant Limited
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Rail support construction equipment.
|
|
Maturity Date:
|
8/1/2016
|
||
|
Sargeant Marine, Inc.
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Asphalt carrier vessel.
|
|
Maturity Date:
|
12/31/2018
|
||
|
Varada Ten Pte. Ltd.
|
|||
|
Structure:
Maturity Date:
|
Loan
6/30/2022
|
Collateral:
|
One offshore supply vessel.
|
|
Blackhawk Mining, LLC
|
|||
|
Structure:
|
Lease
|
Collateral:
|
Mining equipment.
|
|
Expiration Date:
|
2/28/2018
|
||
|
SIVA Global Ships Limited
|
|||
|
Structure:
|
Lease
|
Collateral:
|
Two liquefied petroleum gas tanker vessels.
|
|
Expiration Dates:
|
3/28/2022
4/8/2022
|
||
4
ICON ECI Fund Fifteen, L.P.
Portfolio Overview (continued)
|
SIVA Global Ships Limited
|
|||
|
Structure:
|
Lease
|
Collateral:
|
Two liquefied petroleum gas tanker vessels.
|
|
Expiration Dates:
|
3/28/2022
4/8/2022
|
||
|
D&T Trucking, LLC
|
|||
|
Structure:
|
Lease
|
Collateral:
|
Trucks, trailers and other equipment.
|
|
Expiration Date:
|
12/31/2018
|
||
|
Pacific Radiance Ltd.
|
|||
|
Structure:
|
Lease
|
Collateral:
|
Offshore support vessel.
|
|
Expiration Date:
|
6/12/2024
|
||
|
Tècnicas Maritimas Avanzadas, S.A. de C.V.
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Two platform supply vessels.
|
|
Maturity Date:
|
8/27/2019
|
||
|
Premier Trailer Leasing, Inc.
|
|||
|
Structure:
|
Loan
|
Collateral:
|
Trailers.
|
|
Maturity Date:
|
8/24/2020
|
||
Revolving Line of Credit
The Fund entered into an agreement with California Bank & Trust (“CB&T”) for a revolving line of credit through March 31, 2015 of up to $10,000,000 (the “Facility”), which is secured by all of the Fund’s assets not subject to a first priority lien. Amounts available under the Facility are subject to a borrowing base that is determined, subject to certain limitations, by the present value of the future receivables under certain loans and lease agreements in which the Fund has a beneficial interest.
The interest rate for general advances under the Facility is CB&T’s prime rate. The Fund may elect to designate up to five advances on the outstanding principal balance of the Facility to bear interest at the London Interbank Offered Rate plus 2.5% per year. In all instances, borrowings under the Facility are subject to an interest rate floor of 4.0% per year. In addition, the Fund is obligated to pay an annualized 0.5% fee on unused commitments under the Facility. At September 30, 2014, there were no obligations outstanding under the Facility.
5
ICON ECI Fund Fifteen, L.P.
Performance Analysis
|
Capital Invested as of September 30, 2014
|
$202,350,318
|
|
Leverage Ratio
|
0.60:1*
|
|
% of Receivables Collected for the Quarter Ended September 30, 2014
|
100.00%**
|
* Leverage ratio is defined as total liabilities divided by total equity.
** Collections as of January 31, 2015.
One of our objectives is to provide cash distributions to our partners. In order to assess our ability to meet this objective, unaffiliated broker dealers, third party due diligence providers and other members of the investing community have requested that we report a financial measure that can be reconciled to our financial statements and can be used to assess our ability to support cash distributions from our business operations. We refer to this financial measure as cash available from our business operations, or CABO. CABO is not equivalent to our net operating income or loss as determined under GAAP. Rather, it is a measure that may be a better financial measure for an equipment fund because it measures cash generated by investments, net of management fees and expenses, during a specific period of time. We define CABO as the net change in cash during the period plus distributions to partners and investments made during such period, less the debt proceeds used to make such investments and the activity related to the Facility, as well as the net proceeds from equity raised through the sale of interests during such period.
We believe that CABO may be an appropriate supplemental measure of an equipment fund’s performance because it is based on a measurement of cash during a specific period that excludes cash from non-business operations, such as distributions, investments and equity raised.
Presentation of this information is intended to assist unaffiliated broker dealers, third party due diligence providers and other members of the investing community in understanding the Fund’s ability to support its distributions from its business operations. It should be noted, however, that no other equipment funds calculate CABO, and therefore comparisons with other equipment funds are not meaningful. CABO should not be considered as an alternative to net income (loss) as an indication of our performance or as an indication of our liquidity. CABO should be reviewed in conjunction with other measurements as an indication of our performance.
Cash Available from Business Operations, or CABO, is the cash generated by investments during a specific period of time, net of fees and expenses, excluding distributions to partners, net equity raised and investments made.
|
Net Change in Cash per GAAP
Cash Flow Statement
|
Business Operations
Net cash flow generated by our investments,
net of fees and expenses
(CABO)
|
Non-Business Operations
Net Equity Raised
Cash expended to make Investments
and Distributions to Partners
|
As indicated above, the total net change in cash is the aggregate of the net cash flows from Business Operations and the net cash flows from Non-Business Operations. By taking the total net change in cash and removing the cash activity related to Non-Business Operations (distributions, investments and equity raised), the amount remaining is the net cash available from Business Operations (net cash flows generated by investments, net of fees and expenses).
6
ICON ECI Fund Fifteen, L.P.
Performance Analysis (continued)
In summary, CABO is calculated as:
Net change in cash during the period per the GAAP cash flow statement
+ distributions to partners during the period
+ investments made during the period
- debt proceeds to be specifically used to make an investment
- net proceeds from the sale of Interests during the period
= CABO
|
Cash Available From Business Operations
|
||||||||||||||
|
for the Period January 1, 2014 through September 30, 2014
|
||||||||||||||
|
Cash balance at January 1, 2014
|
$ |
24,297,314
|
||||||||||||
|
Cash balance at September 30, 2014
|
$ |
24,395,121
|
||||||||||||
|
Net change in cash
|
$ |
97,807
|
||||||||||||
|
Add Back:
|
||||||||||||||
|
Distributions paid to partners from January 1, 2014 through September 30, 2014
|
$ |
11,980,199
|
||||||||||||
|
Investments made during the period
|
||||||||||||||
|
Investment in notes receivable
|
$ |
9,009,923
|
||||||||||||
|
Purchase of equipment
|
-
|
|||||||||||||
|
Investment in joint ventures
|
8,720,656
|
|||||||||||||
|
Investment by noncontrolling interests
|
(8,915)
|
|||||||||||||
| $ |
17,721,664
|
|||||||||||||
|
Deduct:
|
||||||||||||||
|
Net equity raised during the period
|
$ |
-
|
||||||||||||
|
Cash Available from Business Operations (CABO)
|
$ |
29,799,670
|
(1)
|
|||||||||||
| (1) Cash available from business operations includes the collection of principal and interest from our investments in notes receivable and finance leases. | ||||||||||||||
Transactions with Related Parties
We have entered into certain agreements with our General Partner, our Investment Manager, and ICON Securities, LLC (“ICON Securities”), a wholly-owned subsidiary of our Investment Manager and the dealer-manager of our offering, whereby we pay or paid certain fees and reimbursements to these parties. ICON Securities was entitled to receive a 3% underwriting fee from the gross proceeds from sales of our limited partnership interests, of which up to 1% were paid to unaffiliated broker-dealers as a fee for their assistance in marketing the Fund and coordinating sales efforts.
In addition, we reimbursed our General Partner and its affiliates for organizational and offering expenses incurred in connection with our organization and offering. The reimbursement of these expenses was capped at the lesser of 1.44% of the gross offering proceeds (assuming all of our limited partnership interests were sold in the offering) and the actual costs and expenses incurred by our General Partner and its affiliates.
We pay or paid our Investment Manager (i) a management fee equal to 3.5% of the gross periodic payments due and paid from our investments, and (ii) acquisition fees, through the end of the operating period, equal to 2.5% of the total purchase price (including indebtedness incurred or assumed and all fees and expenses incurred in connection therewith) of, or the value of the Capital Assets secured by or subject to, our investments.
7
ICON ECI Fund Fifteen, L.P.
Transactions with Related Parties (continued)
For a more detailed analysis of the fees payable to our Investment Manager, please see the Fund’s prospectus. In connection with the investments made for the period January 1, 2014 through September 30, 2014, we paid our Investment Manager aggregate acquisition fees in the amount of approximately $1,025,147.
Our General Partner and its affiliates also perform certain services relating to the management of our portfolio. Such services include, but are not limited to, credit analysis and underwriting, receivables management, portfolio management, accounting, financial and tax reporting, and remarketing and marketing services.
In addition, our General Partner and its affiliates are reimbursed for administrative expenses incurred in connection with our operations. Administrative expense reimbursements are costs incurred by our General Partner or its affiliates that are necessary to our operations.
Our General Partner also has a 1% interest in our profits, losses, distributions and liquidation proceeds. We paid distributions to our General Partner in the amount of $40,226 and $119,802 for the three and nine months ended September 30, 2014, respectively. We paid distributions to our General Partner of $40,190 and $107,348 for the three and nine months ended September 30, 2013, respectively. Additionally, our General Partner’s interest in the net income attributable to us was $50,313 and $106,776 for the three and nine months ended September 30, 2014, respectively. Our General Partner’s interest in the net income attributable to us was $24,221 and $52,051 for the three and nine months ended September 30, 2013, respectively.
Fees and other expenses incurred by us to our General Partner or its affiliates were as follows:
|
Three Months Ended
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
September 30,
|
||||||||||||||||
|
Entity
|
Capacity
|
Description
|
2014
|
2013
|
2014
|
2013
|
|||||||||||
|
ICON Capital, LLC
|
Investment Manager
|
Organizational and offering expense reimbursements (1)
|
$
|
-
|
$
|
-
|
$
|
-
|
$
|
243,063
|
|||||||
|
ICON Securities, LLC
|
Dealer-manager
|
Dealer-manager fees (2)
|
-
|
-
|
-
|
1,319,845
|
|||||||||||
|
ICON Capital, LLC
|
Investment Manager
|
Acquisition fees (3)
|
400,549
|
3,315,083
|
1,025,147
|
6,734,975
|
|||||||||||
|
ICON Capital, LLC
|
Investment Manager
|
Management fees (4)
|
299,614
|
446,978
|
1,209,388
|
904,846
|
|||||||||||
|
ICON Capital, LLC
|
Investment Manager |
Administrative expense reimbursements (4)
|
372,023
|
1,003,109
|
1,475,822
|
3,046,339
|
|||||||||||
|
Fund Fourteen
|
Noncontrolling interest
|
Interest expense (4)
|
103,150
|
101,279
|
304,655
|
295,018
|
|||||||||||
|
$
|
1,175,336
|
$
|
4,866,449
|
$
|
4,015,012
|
$
|
12,544,086
|
||||||||||
| (1) Amount capitalized and amortized to partners' equity. | |||||||||||||||||
| (2) Amount charged directly to partners' equity. | |||||||||||||||||
|
(3) Amount capitalized and amortized to operations.
|
|||||||||||||||||
| (4) Amount charged directly to operations. | |||||||||||||||||
At September 30, 2014, we had a net payable of $2,686,692 due to our General Partner and its affiliates that primarily consisted of a note payable of approximately $2,608,000 and accrued interest of $29,000 due to ICON Equipment and Corporate Infrastructure Fund Fourteen, L.P. (“Fund Fourteen”) related to its noncontrolling interest in a vessel, the Lewek Ambassador, and administrative expense reimbursements of approximately $72,000 due to our Investment Manager.
At December 31, 2013, we had a net payable of $2,940,943 due to our General Partner and its affiliates that primarily consisted of a note payable of approximately $2,575,000 and accrued interest of $30,000 due to Fund Fourteen related to its noncontrolling interest in the Lewek Ambassador, and administrative expense reimbursements of approximately $494,000 due to our Investment Manager.
8
Transactions with Related Parties (continued)
Your participation in the Fund is greatly appreciated.
We are committed to protecting the privacy of our investors in compliance with all applicable laws. Please be advised that, unless required by a regulatory authority such as FINRA or ordered by a court of competent jurisdiction, we will not share any of your personally identifiable information with any third party.
9
ICON ECI Fund Fifteen, L.P.
(A Delaware Limited Partnership)
Financial Statements
Consolidated Balance Sheets
|
September 30,
|
December 31,
|
||||||||
|
2014
|
2013
|
||||||||
|
(unaudited)
|
|||||||||
|
Assets
|
|||||||||
|
Cash
|
$
|
24,395,121
|
$
|
24,297,314
|
|||||
|
Net investment in notes receivable
|
70,044,852
|
80,709,528
|
|||||||
|
Leased equipment at cost (less accumulated depreciation of
|
|||||||||
|
$21,301,217 and $13,007,968, respectively)
|
91,995,624
|
100,288,873
|
|||||||
|
Net investment in finance leases
|
50,631,194
|
53,985,543
|
|||||||
|
Investment in joint venture
|
22,170,324
|
13,142,459
|
|||||||
|
Other assets
|
7,048,453
|
5,344,488
|
|||||||
|
Total assets
|
$
|
266,285,568
|
$
|
277,768,205
|
|||||
|
Liabilities and Equity
|
|||||||||
|
Liabilities:
|
|||||||||
|
Non-recourse long-term debt
|
$
|
85,932,909
|
$
|
96,310,220
|
|||||
|
Due to General Partner and affiliates, net
|
2,686,692
|
2,940,943
|
|||||||
|
Accrued expenses and other liabilities
|
10,945,425
|
10,718,057
|
|||||||
|
Total liabilities
|
99,565,026
|
109,969,220
|
|||||||
|
Commitments and contingencies
|
|||||||||
|
Equity:
|
|||||||||
|
Partners' equity:
|
|||||||||
|
Limited partners
|
155,569,521
|
156,859,123
|
|||||||
|
General Partner
|
(196,367)
|
(183,341)
|
|||||||
|
Total partners' equity
|
155,373,154
|
156,675,782
|
|||||||
|
Noncontrolling interests
|
11,347,388
|
11,123,203
|
|||||||
|
Total equity
|
166,720,542
|
167,798,985
|
|||||||
|
Total liabilities and equity
|
$
|
266,285,568
|
$
|
277,768,205
|
|||||
10
ICON ECI Fund Fifteen, L.P.
(A Delaware Limited Partnership)
Financial Statements
Consolidated Statements of Operations (unaudited)
|
Three Months Ended
|
Nine Months Ended
|
||||||||||||
|
September 30,
|
September 30,
|
||||||||||||
|
2014
|
2013
|
2014
|
2013
|
||||||||||
|
Revenue:
|
|||||||||||||
|
Finance income
|
$
|
5,461,488
|
$
|
3,162,950
|
$
|
12,653,010
|
$
|
8,258,748
|
|||||
|
Rental income
|
4,582,113
|
4,579,825
|
13,746,343
|
13,416,142
|
|||||||||
|
Income from investment in joint ventures
|
657,562
|
338,495
|
1,656,903
|
503,817
|
|||||||||
|
Other (loss) income
|
(266,129)
|
490,698
|
22,370
|
569,292
|
|||||||||
|
Total revenue
|
10,435,034
|
8,571,968
|
28,078,626
|
22,747,999
|
|||||||||
|
Expenses:
|
|||||||||||||
|
Management fees
|
299,614
|
446,978
|
1,209,388
|
904,846
|
|||||||||
|
Administrative expense reimbursements
|
372,023
|
1,003,109
|
1,475,822
|
3,046,339
|
|||||||||
|
General and administrative
|
316,226
|
249,192
|
1,378,755
|
884,264
|
|||||||||
|
Interest
|
1,267,001
|
1,258,106
|
3,897,104
|
3,537,798
|
|||||||||
|
Depreciation
|
2,764,416
|
2,763,166
|
8,293,249
|
8,076,134
|
|||||||||
|
Credit loss
|
-
|
-
|
-
|
12,530
|
|||||||||
|
Total expenses
|
5,019,280
|
5,720,551
|
16,254,318
|
16,461,911
|
|||||||||
|
Net income
|
5,415,754
|
2,851,417
|
11,824,308
|
6,286,088
|
|||||||||
|
Less: net income attributable to noncontrolling interests
|
384,491
|
429,317
|
1,146,737
|
1,080,932
|
|||||||||
|
Net income attributable to Fund Fifteen
|
$
|
5,031,263
|
$
|
2,422,100
|
$
|
10,677,571
|
$
|
5,205,156
|
|||||
|
Net income attributable to Fund Fifteen allocable to:
|
|||||||||||||
|
Limited partners
|
$
|
4,980,950
|
$
|
2,397,879
|
$
|
10,570,795
|
$
|
5,153,105
|
|||||
|
General Partner
|
50,313
|
24,221
|
106,776
|
52,051
|
|||||||||
|
$
|
5,031,263
|
$
|
2,422,100
|
$
|
10,677,571
|
$
|
5,205,156
|
||||||
|
Weighted average number of limited partnership
|
|||||||||||||
|
interests outstanding
|
197,489
|
197,535
|
197,489
|
182,709
|
|||||||||
|
Net income attributable to Fund Fifteen per weighted average
|
|||||||||||||
|
limited partnership interests outstanding
|
$
|
25.22
|
$
|
12.14
|
$
|
53.53
|
$
|
28.20
|
|||||
11
ICON ECI Fund Fifteen, L.P.
(A Delaware Limited Partnership)
Financial Statements
Consolidated Statements of Changes in Equity
|
Partners' Equity
|
||||||||||||||||||
|
Limited
|
Total | |||||||||||||||||
|
Partnership
|
Limited | General | Partners' | Noncontrolling | Total | |||||||||||||
|
Interests
|
Partners | Partner | Equity | Interests | Equity | |||||||||||||
|
Balance, December 31, 2013
|
197,489
|
$
|
156,859,123
|
$
|
(183,341)
|
$
|
156,675,782
|
$
|
11,123,203
|
$
|
167,798,985
|
|||||||
|
Net income
|
-
|
2,712,868
|
27,403
|
2,740,271
|
390,438
|
3,130,709
|
||||||||||||
|
Distributions
|
-
|
(3,895,749)
|
(39,351)
|
(3,935,100)
|
(343,508)
|
(4,278,608)
|
||||||||||||
|
Investments by noncontrolling interests
|
-
|
-
|
-
|
-
|
975
|
975
|
||||||||||||
|
Balance, March 31, 2014 (unaudited)
|
197,489
|
155,676,242
|
(195,289)
|
155,480,953
|
11,171,108
|
166,652,061
|
||||||||||||
|
Net income
|
-
|
2,876,977
|
29,060
|
2,906,037
|
371,808
|
3,277,845
|
||||||||||||
|
Distributions
|
-
|
(3,982,322)
|
(40,225)
|
(4,022,547)
|
(63,277)
|
(4,085,824)
|
||||||||||||
|
Investments by noncontrolling interests
|
-
|
-
|
-
|
-
|
7,940
|
7,940
|
||||||||||||
|
Balance, June 30, 2014 (unaudited)
|
197,489
|
154,570,897
|
(206,454)
|
154,364,443
|
11,487,579
|
165,852,022
|
||||||||||||
|
Net income
|
-
|
4,980,950
|
50,313
|
5,031,263
|
384,491
|
5,415,754
|
||||||||||||
|
Distributions
|
-
|
(3,982,326)
|
(40,226)
|
(4,022,552)
|
(524,682)
|
(4,547,234)
|
||||||||||||
|
Balance, September 30, 2014 (unaudited)
|
197,489
|
$
|
155,569,521
|
$
|
(196,367)
|
$
|
155,373,154
|
$
|
11,347,388
|
$
|
166,720,542
|
|||||||
12
ICON ECI Fund Fifteen, L.P.
(A Delaware Limited Partnership)
Financial Statements
Consolidated Statements of Cash Flows (unaudited)
|
Nine Months Ended September 30,
|
|||||||||
|
2014
|
2013
|
||||||||
|
Cash flows from operating activities:
|
|||||||||
|
Net income
|
$
|
11,824,308
|
$
|
6,286,088
|
|||||
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|||||||||
|
Finance income
|
1,248,362
|
1,016,587
|
|||||||
|
Credit loss
|
-
|
12,530
|
|||||||
|
Rental income paid directly to lenders by lessees
|
(4,256,169)
|
-
|
|||||||
|
Income from investment in joint ventures
|
(1,656,903)
|
(503,817)
|
|||||||
|
Depreciation
|
8,293,249
|
8,076,134
|
|||||||
|
Interest expense on non-recourse financing paid directly to lenders by lessees
|
431,358
|
17,538
|
|||||||
|
Interest expense from amortization of debt financing costs
|
157,099
|
172,673
|
|||||||
|
Interest expense from amortization of seller's credit
|
223,641
|
212,172
|
|||||||
|
Other financial loss (gain)
|
74,278
|
(467,573)
|
|||||||
|
Paid-in-kind interest
|
32,527
|
123,579
|
|||||||
|
Changes in operating assets and liabilities:
|
|||||||||
|
Other assets
|
(1,843,336)
|
(1,112,846)
|
|||||||
|
Deferred revenue
|
(49,993)
|
131,403
|
|||||||
|
Due to General Partner and affiliates, net
|
(286,778)
|
(681,990)
|
|||||||
|
Distributions from joint ventures
|
485,251
|
-
|
|||||||
|
Accrued expenses and other liabilities
|
247,864
|
3,002,917
|
|||||||
|
Net cash provided by operating activities
|
14,924,758
|
16,285,395
|
|||||||
|
Cash flows from investing activities:
|
|||||||||
|
Purchase of equipment
|
-
|
(22,034,131)
|
|||||||
|
Investment in joint ventures
|
(8,720,656)
|
(12,297,208)
|
|||||||
|
Principal received on finance leases
|
3,139,427
|
2,441,743
|
|||||||
|
Investment in notes receivable
|
(9,009,923)
|
(49,612,749)
|
|||||||
|
Distributions received from joint ventures in excess of profits
|
864,443
|
-
|
|||||||
|
Principal received on notes receivable
|
18,355,009
|
6,594,389
|
|||||||
|
Net cash provided by (used in) investing activities
|
4,628,300
|
(74,907,956)
|
|||||||
|
Cash flows from financing activities:
|
|||||||||
|
Repayment of non-recourse long-term debt
|
(6,552,500)
|
(5,642,500)
|
|||||||
|
Proceeds from non-recourse long-term debt
|
-
|
6,413,574
|
|||||||
|
Sale of limited partnership interests
|
-
|
46,247,313
|
|||||||
|
Sales and offering expenses paid
|
-
|
(4,282,689)
|
|||||||
|
Deferred charges paid
|
-
|
(240,000)
|
|||||||
|
Investments by noncontrolling interests
|
8,915
|
8,334,601
|
|||||||
|
Distributions to noncontrolling interests
|
(931,467)
|
(1,335,082)
|
|||||||
|
Repurchase of limited partnership interests
|
-
|
(95,909)
|
|||||||
|
Distributions to partners
|
(11,980,199)
|
(10,734,817)
|
|||||||
|
Net cash (used in) provided by financing activities
|
(19,455,251)
|
38,664,491
|
|||||||
|
Net increase (decrease) in cash
|
97,807
|
(19,958,070)
|
|||||||
|
Cash, beginning of period
|
24,297,314
|
37,990,933
|
|||||||
|
Cash, end of period
|
$
|
24,395,121
|
$
|
18,032,863
|
|||||
13
ICON ECI Fund Fifteen, L.P.
(A Delaware Limited Partnership)
Financial Statements
Consolidated Statements of Cash Flows (unaudited) (continued)
|
Nine Months Ended September 30,
|
|||||||
|
2014
|
2013
|
||||||
|
Supplemental disclosure of cash flow information:
|
|||||||
|
Cash paid for interest
|
$
|
3,081,352
|
$
|
2,473,488
|
|||
|
Supplemental disclosure of non-cash investing and financing activities:
|
|||||||
|
Organizational and offering expenses charged to equity
|
$
|
-
|
$
|
1,075,227
|
|||
|
Equipment purchased with non-recourse long-term debt paid directly to lender
|
$
|
-
|
$
|
22,750,000
|
|||
|
Equipment purchased with subordinated non-recourse financing provided by seller
|
$
|
-
|
$
|
(4,488,041)
|
|||
|
Extinguishment of minimum rents receivable on net investment in finance lease
|
$
|
-
|
$
|
4,488,041
|
|||
|
Interest reserve net against principal repayment of note receivable
|
$
|
206,250
|
$
|
-
|
|||
|
Principal and interest on non-recourse long-term debt
|
|||||||
|
paid directly to lenders by lessees
|
$
|
4,256,169
|
$
|
-
|
|||
14
ICON ECI Fund Fifteen, L.P.
Forward Looking Statements
Certain statements within this document may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (“PSLRA”). These statements are being made pursuant to the PSLRA, with the intention of obtaining the benefits of the “safe harbor” provisions of the PSLRA, and, other than as required by law, we assume no obligation to update or supplement such statements. Forward-looking statements are those that do not relate solely to historical fact. They include, but are not limited to, any statement that may predict, forecast, indicate or imply future results, performance, achievements or events. You can identify these statements by the use of words such as “may,” “will,” “could,” “anticipate,” “believe,” “estimate,” “expect,” “continue,” “further,” “plan,” “seek,” “intend,” “predict” or “project” and variations of these words or comparable words or phrases of similar meaning. These forward-looking statements reflect our current beliefs and expectations with respect to future events and are based on assumptions and are subject to risks and uncertainties and other factors outside our control that may cause actual results to differ materially from those projected. We undertake no obligation to update publicly or review any forward-looking statement, whether as a result of new information, future developments or otherwise.
Additional Information
“Total Proceeds Received,” as referenced in the section entitled Dispositions During the Quarter, does not include proceeds received to satisfy indebtedness incurred in connection with the investment, if any, or the payment of any fees or expenses with respect to such investment.
A detailed financial report on SEC Form 10-Q or 10-K (whichever is applicable) is available to you. It is typically filed either 45 or 90 days after the end of a quarter or year, respectively. Usually this means a filing will occur on or around March 31, May 15, August 14, and November 14 of each year. It contains financial statements and detailed sources and uses of cash plus explanatory notes. You are always entitled to these reports. Please access them by:
|
·
|
Visiting www.iconinvestments.com, or
|
|
·
|
Visiting www.sec.gov, or
|
|
·
|
Writing us at: Angie Seenauth c/o ICON Investments, 3 Park Avenue, 36th Floor, New York, NY 10016
|
We do not distribute these reports to you directly in order to keep our expenses down as the cost of mailing this report to all investors is significant. Nevertheless, the reports are immediately available upon your request.
15