Document vBdxYnNVYxRkQonO79oJgp6YY

consolidated statement ot source and Disposition ol Funds Years Ended December 31,1965 and 1964 SOURCE OF FUNDS Net earnings (less special item in 1965).............. Depreciation and amortization of intangibles .... Increase in long term liabilities........................... Retirement of property, plant, and equipment--net TOTAL ................................................................... DISPOSITION OF FUNDS Expenditures for property, plant, and equipment. Dividends paid ................................................... Common stock purchases less sales to employees Retirement of long term liabilities......................... Increase/c/ecrease in other assets......................... Increase in working capital, excluding cash and equivalent....................................................... TOTAL ................................................................... INCREASE IN CASH AND EQUIVALENT............................... CASH AND EQUIVALENT Beginning of year.................................................. End of year........................................................... 1965 $10,460,474 10,532,612 1,626,798 4,144,496 26,764,380 1964 $ 9,762,039 10,423,323 4,258,205 475,791 24,919,358 11,363,599 5,271,551 728,161 1,916,424 2,321,963 2,462,982 24,064,680 2,699,700 7,913,369 4,642,289 639,634 1,834,000 900,926 5,283,675 19,412,041 5,507,317 19,452,931 $22,152,631 13,945,614 $19,452,931 Accountants' Opinion RICAN BRAKE SHOE COMPAN We have examined the consolidated balance sheet of AMERICAN BRAKE SHOE COMPANY and its subsidiaries as of December 31, 1965, and the related statements of consolidated earnings and earnings reinvested in the business (note 8) for the year then ended. Our examination was made in accordance with generally accepted auditing standards, and accordingly included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. We previously examined and reported upon the consolidated financial statements of the Company and its subsidiaries for the year 1964. In our opinion, the accompanying consolidated financial statements present fairly the financial position of the Company and its subsidiaries at December 31, 1965 and 1964 and the consolidated results of their operations for the years then ended, in conformity with generally accepted accounting principles applied on a consistent basis. We have also examined the consolidated statement of source and disposition of funds of the Company and its subsidiaries for the years ended December 31,1965 and 1964, which statement, in our opinion, is fairly presented. LY8RAND, ROSS BROS. & MONTGOMERY SCI 01667