þ
|
Quarterly
report pursuant to Section 13 or 15(d) of the Securities Exchange Act of
1934
For
the quarterly period ended January 26, 2008
|
o
|
Transition
report pursuant to Section 13 or 15(d) of the Securities Exchange Act of
1934
For
the transition period from __________ to
__________
|
New
York
|
16-0971022
|
|
(State
or other jurisdiction of incorporation or organization)
|
(IRS
Employer Identification Number)
|
|
368
Pleasant View Drive
|
||
Lancaster,
New York
|
14086
|
|
(Address
of principal executive offices)
|
(Zip
code)
|
Large accelerated
filer o
|
Accelerated filer
o
|
Non-accelerated
filer þ
|
Consolidated
Balance Sheet
|
||||||||
Unaudited
|
||||||||
January
26,
|
July
31,
|
|||||||
Assets
|
2008
|
2007
|
||||||
Current
assets:
|
||||||||
Cash
and cash equivalents
|
$ | 13,892,856 | $ | 15,724,139 | ||||
Investment
securities available for sale
|
200,035 | 101,009 | ||||||
Contract
receivables, net
|
34,131,949 | 36,742,288 | ||||||
Deferred
income taxes
|
5,367,794 | 5,196,728 | ||||||
Income
tax receivable
|
1,357,213 | 1,357,213 | ||||||
Other
current assets
|
1,917,489 | 1,516,972 | ||||||
Total
current assets
|
56,867,336 | 60,638,349 | ||||||
Property,
building and equipment, net
|
7,536,397 | 7,725,535 | ||||||
Deferred
income taxes
|
2,521,574 | 1,404,232 | ||||||
Other
assets
|
1,693,950 | 1,438,329 | ||||||
Total
assets
|
$ | 68,619,257 | $ | 71,206,445 | ||||
Liabilities
and Shareholders' Equity
|
||||||||
Current
liabilities:
|
||||||||
Accounts
payable
|
$ | 6,431,886 | $ | 10,178,873 | ||||
Accrued
payroll costs
|
5,463,452 | 6,191,434 | ||||||
Income
taxes payable
|
1,602,657 | 664,085 | ||||||
Deferred
revenue
|
80,430 | 90,791 | ||||||
Current
portion of long-term debt and capital lease obligations
|
322,693 | 333,229 | ||||||
Other
accrued liabilities
|
7,796,067 | 8,866,707 | ||||||
Total
current liabilities
|
21,697,185 | 26,325,119 | ||||||
Income
Taxes Payable
|
2,502,108 | - | ||||||
Accrued
interest and penalties
|
1,701,430 | - | ||||||
Long-term
debt and capital lease obligations
|
536,348 | 385,270 | ||||||
Minority
interest
|
3,745,595 | 3,582,968 | ||||||
Commitments
and contingencies (see note #10)
|
- | - | ||||||
Shareholders'
equity:
|
||||||||
Preferred
stock, par value $.01 per share;
|
||||||||
authorized
- 2,000,000 shares; no shares
|
||||||||
issued
|
- | - | ||||||
Class
A common stock, par value $.01 per
|
||||||||
share;
authorized - 6,000,000 shares;
|
||||||||
issued
- 2,661,498 and 2,661,498 shares
|
26,615 | 26,615 | ||||||
Class
B common stock, par value $.01 per
|
||||||||
share;
authorized - 10,000,000 shares;
|
||||||||
issued
- 1,732,227 and 1,732,227 shares
|
17,323 | 17,323 | ||||||
Capital
in excess of par value
|
19,839,490 | 20,051,446 | ||||||
Retained
earnings
|
19,227,011 | 22,211,098 | ||||||
Accumulated
other comprehensive income
|
606,475 | 299,102 | ||||||
Treasury
stock - Class A common, 62,926 and 104,020
|
||||||||
shares;
Class B common, 64,801 and 64,801 shares, at cost
|
(1,280,323 | ) | (1,692,496 | ) | ||||
Total
shareholders' equity
|
38,436,591 | 40,913,088 | ||||||
Total
liabilities and shareholders' equity
|
$ | 68,619,257 | $ | 71,206,445 | ||||
The
accompanying notes are an integral part of these financial
statements.
|
Consolidated
Statement of Income
|
||||||||||||||||
Unaudited
|
||||||||||||||||
Three
months ended
|
Six
months ended
|
|||||||||||||||
January
26,
|
January
27,
|
January
26,
|
January
27,
|
|||||||||||||
2008
|
2007
|
2008
|
2007
|
|||||||||||||
Revenue
|
$ | 24,141,853 | $ | 24,131,179 | $ | 49,848,419 | $ | 48,324,846 | ||||||||
Cost
of professional services and
|
||||||||||||||||
other
direct operating expenses
|
9,283,460 | 9,109,744 | 20,085,177 | 18,742,959 | ||||||||||||
Subcontract
costs
|
3,739,337 | 4,348,066 | 6,384,008 | 7,632,648 | ||||||||||||
Gross
profit
|
11,119,056 | 10,673,369 | 23,379,234 | 21,949,239 | ||||||||||||
Administrative
and indirect operating
|
||||||||||||||||
expenses
|
7,358,000 | 6,513,150 | 14,788,290 | 13,244,540 | ||||||||||||
Marketing
and related costs
|
2,742,199 | 2,425,491 | 5,705,412 | 4,904,050 | ||||||||||||
Depreciation
|
370,177 | 332,444 | 726,519 | 646,381 | ||||||||||||
Income
from operations
|
648,680 | 1,402,284 | 2,159,013 | 3,154,268 | ||||||||||||
Interest
expense
|
(110,120 | ) | (12,095 | ) | (231,301 | ) | (67,255 | ) | ||||||||
Interest
income
|
124,857 | 118,272 | 266,681 | 246,245 | ||||||||||||
Other
expense
|
(12,686 | ) | (51,726 | ) | (32,943 | ) | (68,180 | ) | ||||||||
Net
foreign currency exchange gain
|
1,086 | 29,372 | 342 | 27,019 | ||||||||||||
Income
from continuing operations before income
|
||||||||||||||||
taxes
and minority interest
|
651,817 | 1,486,107 | 2,161,792 | 3,292,097 | ||||||||||||
Income
tax provision
|
176,030 | 502,372 | 584,244 | 996,285 | ||||||||||||
Net
income from continuing operations
|
||||||||||||||||
before
minority interest
|
475,787 | 983,735 | 1,577,548 | 2,295,812 | ||||||||||||
Minority
interest
|
(345,232 | ) | (365,124 | ) | (946,419 | ) | (921,674 | ) | ||||||||
Net
income from continuing operations
|
130,555 | 618,611 | 631,129 | 1,374,138 | ||||||||||||
Gain
from discontinued operations
|
- | 1,040,586 | - | 985,797 | ||||||||||||
Income
tax expense on gain from discontinued operations
|
- | (437,186 | ) | - | (417,243 | ) | ||||||||||
Net
income
|
$ | 130,555 | $ | 1,222,011 | $ | 631,129 | $ | 1,942,692 | ||||||||
Net
income per common share: basic
|
||||||||||||||||
Continuing
operations
|
$ | 0.03 | $ | 0.15 | $ | 0.15 | $ | 0.33 | ||||||||
Discontinued
operations
|
- | 0.14 | - | 0.13 | ||||||||||||
Net
income per common share: basic
|
$ | 0.03 | $ | 0.29 | $ | 0.15 | $ | 0.46 | ||||||||
Net
income per common share: diluted
|
||||||||||||||||
Continuing
operations
|
$ | 0.03 | $ | 0.15 | $ | 0.15 | $ | 0.32 | ||||||||
Discontinued
operations
|
- | 0.14 | - | 0.13 | ||||||||||||
Net
income per common share: diluted
|
$ | 0.03 | $ | 0.29 | $ | 0.15 | $ | 0.45 | ||||||||
Weighted
average common shares outstanding: basic
|
4,164,570 | 4,216,466 | 4,164,570 | 4,217,672 | ||||||||||||
Weighted
average common shares outstanding: diluted
|
4,201,362 | 4,256,365 | 4,221,298 | 4,256,974 | ||||||||||||
The
accompanying notes are an integral part of these financial
statements.
|
Ecology
and Environment, Inc
|
||||||||
Consolidated
Statement of Cash Flows
|
||||||||
Unaudited
|
||||||||
Six
Months Ended
|
||||||||
January
26,
|
January
27,
|
|||||||
2008
|
2007
|
|||||||
Cash
flows from operating activities:
|
||||||||
Net
income
|
$ | 631,129 | $ | 1,942,692 | ||||
Net
income from discontinued operations, net of tax
|
- | 568,554 | ||||||
Income
from continuing operations
|
631,129 | 1,374,138 | ||||||
Adjustments
to reconcile net income to net cash
|
||||||||
provided
by (used in) operating activities:
|
||||||||
Depreciation
|
726,519 | 646,381 | ||||||
Deferred income taxes | (241,563 | ) | 1,584,573 | |||||
Share-based
compensation expense
|
169,812 | 65,920 | ||||||
Gain
on disposition of property and equipment
|
(19 | ) | (1,039 | ) | ||||
Minority
interest
|
946,419 | 921,674 | ||||||
Provision
(benefit) for contract adjustments
|
(53,838 | ) | 334,205 | |||||
(Increase)
decrease in:
|
||||||||
-
contracts receivable, net
|
2,664,177 | 2,431,430 | ||||||
-
other current assets
|
(400,517 | ) | (718,516 | ) | ||||
-
income tax receivable
|
- | (575,192 | ) | |||||
-
other non-current assets
|
36,860 | 151,701 | ||||||
Increase
(decrease) in:
|
||||||||
-
accounts payable
|
(3,746,987 | ) | (1,711,699 | ) | ||||
-
accrued payroll costs
|
(727,982 | ) | (1,927,745 | ) | ||||
-
income taxes payable
|
972,029 | (1,502,892 | ) | |||||
-
deferred revenue
|
(10,361 | ) | (6,372 | ) | ||||
-
other accrued liabilities
|
(1,070,640 | ) | (872,123 | ) | ||||
- accrued interest and penalties
|
253,475 | - | ||||||
Net
cash provided by operating activities
|
148,513 | 194,444 | ||||||
Cash
flows used in investing activities:
|
||||||||
Purchase
of property, building and equipment
|
(537,362 | ) | (580,594 | ) | ||||
Payment
for the purchase of bond
|
(95,614 | ) | (1,695 | ) | ||||
Net
cash used in investing activities
|
(632,976 | ) | (582,289 | ) | ||||
Cash
flows provided by (used in) financing activities:
|
||||||||
Dividends
paid
|
(769,371 | ) | (740,592 | ) | ||||
Proceeds
from debt
|
15,502 | 109,517 | ||||||
Repayment
of debt and capital lease obligations
|
(224,991 | ) | (269,353 | ) | ||||
Distributions
to minority partners
|
(570,593 | ) | (424,940 | ) | ||||
Purchase
of treasury stock
|
- | (49,465 | ) | |||||
Net
cash used in financing activities
|
(1,549,453 | ) | (1,374,833 | ) | ||||
Effect
of exchange rate changes on cash and cash equivalents
|
202,633 | 62,577 | ||||||
Discontinued
Operations
|
||||||||
Net
cash used in discontinued operating activities
|
- | (237,439 | ) | |||||
Net
cash provided by discontinued investing activities - sale of
assets
|
- | 2,500,000 | ||||||
Net
cash used in discontinued operations
|
- | 2,262,561 | ||||||
Net
increase (decrease) in cash and cash equivalents
|
(1,831,283 | ) | 562,460 | |||||
Cash
and cash equivalents at beginning of period
|
15,724,139 | 13,094,499 | ||||||
Cash
and cash equivalents at end of period
|
$ | 13,892,856 | $ | 13,656,959 | ||||
The
accompanying notes are an integral part of these financial
statements.
|
||||||||
Consolidated
Statement of Changes in Shareholders' Equity
|
||||||||||||||||||||||||||||||||||||||||
Unaudited
|
||||||||||||||||||||||||||||||||||||||||
Accumulated
|
||||||||||||||||||||||||||||||||||||||||
Common
Stock
|
Capital
in
|
Other
|
||||||||||||||||||||||||||||||||||||||
Class
A
|
Class
B
|
Excess
of
|
Retained
|
Comprehensive
|
Treasury
Stock
|
Comprehensive
|
||||||||||||||||||||||||||||||||||
Shares
|
Amount
|
Shares
|
Amount
|
Par
Value
|
earnings
|
Income
|
Shares
|
Amount
|
Income
|
|||||||||||||||||||||||||||||||
Balance
at July 31, 2006
|
2,534,566 | $ | 25,346 | 1,650,173 | $ | 16,502 | $ | 17,684,373 | $ | 23,163,716 | $ | (2,208,830 | ) | 128,463 | $ | (1,053,648 | ) | $ | 2,609,808 | |||||||||||||||||||||
Net income
|
- | - | - | - | - | 3,074,471 | - | - | - | 3,074,471 | ||||||||||||||||||||||||||||||
Reclassification adjustment for realized foreign
currency translation loss in net income
|
- | - | - | - | - | - | 2,110,431 | - | - | 2,110,431 | ||||||||||||||||||||||||||||||
Foreign currency translation reserve
|
- | - | - | - | - | - | 397,476 | - | - | 397,476 | ||||||||||||||||||||||||||||||
Cash dividends paid ($.34 per share)
|
- | - | - | - | - | (1,464,921 | ) | - | - | - | - | |||||||||||||||||||||||||||||
5% Stock Dividend
|
126,522.00 | 1,265 | 82,464.00 | 825 | 2,560,078 | (2,562,168 | ) | - | 8,040 | - | - | |||||||||||||||||||||||||||||
Unrealized investment gain, net
|
- | - | - | - | - | - | 25 | - | - | 25 | ||||||||||||||||||||||||||||||
Conversion of common stock - B to A
|
410 | 4 | (410 | ) | (4 | ) | - | - | - | - | - | - | ||||||||||||||||||||||||||||
Repurchase of Class A common stock
|
- | - | - | - | - | - | - | 86,806 | (1,085,901 | ) | - | |||||||||||||||||||||||||||||
Issuance of stock under stock award plan
|
- | - | - | - | (325,985 | ) | - | - | (57,620 | ) | 472,484 | - | ||||||||||||||||||||||||||||
Share-based compensation expense
|
- | - | - | - | 121,396 | - | - | - | - | - | ||||||||||||||||||||||||||||||
Tax impact of share based compensation
|
- | - | - | - | 5,860 | - | - | - | - | - | ||||||||||||||||||||||||||||||
Other
|
- | - | - | - | 5,724 | - | - | 3,132 | (25,431 | ) | - | |||||||||||||||||||||||||||||
Balance
at July 31, 2007
|
2,661,498 | 26,615 | 1,732,227 | 17,323 | 20,051,446 | 22,211,098 | 299,102 | 168,821 | (1,692,496 | ) | 5,582,403 | |||||||||||||||||||||||||||||
Cumulative effect of adopting FIN 48
|
- | - | - | - | - | (2,845,845 | ) | - | - | - | - | |||||||||||||||||||||||||||||
Adjusted
Balance at July 31, 2007
|
2,661,498 | $ | 26,615 | 1,732,227 | $ | 17,323 | $ | 20,051,446 | $ | 19,365,253 | $ | 299,102 | 168,821 | $ | (1,692,496 | ) | $ | 5,582,403 | ||||||||||||||||||||||
Net income
|
- | - | - | - | - | 631,129 | - | - | - | 631,129 | ||||||||||||||||||||||||||||||
Foreign currency translation reserve
|
- | - | - | - | - | - | 305,326 | - | - | 305,326 | ||||||||||||||||||||||||||||||
Cash dividends paid ($.18 per share)
|
- | - | - | - | - | (769,371 | ) | - | - | - | - | |||||||||||||||||||||||||||||
Unrealized investment gain, net
|
- | - | - | - | - | - | 2,047 | - | - | 2,047 | ||||||||||||||||||||||||||||||
Issuance of stock under stock award plan
|
- | - | - | - | (412,173 | ) | - | - | (41,094 | ) | 412,173 | - | ||||||||||||||||||||||||||||
Share-based compensation expense
|
- | - | - | - | 169,812 | - | - | - | - | - | ||||||||||||||||||||||||||||||
Tax impact of share based compensation
|
- | - | - | - | 33,457 | - | - | - | - | - | ||||||||||||||||||||||||||||||
Other
|
- | - | - | - | (3,052 | ) | - | - | - | - | - | |||||||||||||||||||||||||||||
Balance
at January 26, 2008
|
2,661,498 | $ | 26,615 | 1,732,227 | $ | 17,323 | $ | 19,839,490 | $ | 19,227,011 | $ | 606,475 | 127,727 | $ | (1,280,323 | ) | $ | 938,502 | ||||||||||||||||||||||
The
accompanying notes are an integral part of these financial
statements.
|
1.
|
Summary
of Significant Accounting Policies
|
|
a.
|
Consolidation
|
|
The consolidated financial
statements include the accounts of the Company and its wholly owned and
majority owned subsidiaries. Also reflected in the financial statements is
the 50% ownership in the Chinese operating joint venture, The Tianjin
Green Engineering Company. This joint venture is accounted for under the
equity method. All significant intercompany transactions and balances have
been eliminated.
|
b.
|
Use
of Estimates
|
|
The preparation of financial
statements in conformity with generally accepted accounting principles
requires management to make estimates and assumptions that affect the
amounts reported in the financial statements and accompanying notes.
Actual results may differ from those
estimates.
|
|
c.
|
Revenue
Recognition
|
|
The majority of the Company's
revenue is derived from environmental consulting work, with the balance
derived from aquaculture. The consulting revenue is principally derived
from the sale of labor hours. The consulting work is performed under a mix
of fixed price, cost-type, and time and material contracts. Contracts are
required from all customers. Revenue is recognized as
follows:
|
Contract
Type
|
Work
Type
|
Revenue
Recognition Policy
|
||
Fixed
Price
|
Consulting
|
Percentage
of completion, approximating the ratio of total costs incurred to date to
total estimated costs.
|
||
Cost-type
|
Consulting
|
Costs
as incurred. Fixed fee portion is recognized using percentage of
completion determined by the percentage of level of effort (LOE) hours
incurred to total LOE hours in the respective
contracts.
|
||
Time
and Materials
|
Consulting
|
As
incurred at contract rates.
|
||
Unit
Price
|
Aquaculture
|
Upon
delivery and payment from
customers.
|
d.
|
Translation
of Foreign Currencies
|
|
e.
|
Income
Taxes
|
|
f.
|
Earnings
Per Share (EPS)
|
g.
|
Impairment
of Long-Lived Assets
|
h.
|
Cash
and Cash Equivalents
|
i.
|
Goodwill
|
2.
|
Contract
Receivables, net
|
January 26,
2008
|
July
31,
2007
|
|||||||
United
States government -
|
||||||||
Billed
|
$
|
2,866,026
|
$
|
2,905,030
|
||||
Unbilled
|
2,270,355
|
4,195,989
|
||||||
5,136,381
|
7,101,019
|
|||||||
Industrial
customers and state and municipal governments -
|
||||||||
Billed
|
22,415,115
|
24,496,429
|
||||||
Unbilled
|
8,267,138
|
6,885,363
|
||||||
30,682,253
|
31,381,792
|
|||||||
Less
allowance for doubtful accounts and contract
adjustments
|
(1,686,685
|
)
|
(1,740,523
|
)
|
||||
$
|
34,131,949
|
$
|
36,742,288
|
3.
|
Line
of Credit
|
4.
|
Long-Term
Debt and Capital Lease
Obligations
|
January
26, 2008
|
July
31,
2007
|
|||||||
Various
bank loans and advances at interest rates ranging from 5% to
14%
|
$
|
680,354
|
$
|
477,466
|
||||
Capital
lease obligations at varying interest rates averaging 11%
|
178,687
|
241,033
|
||||||
859,041
|
718,499
|
|||||||
Less: current
portion of debt and capital lease obligations
|
(322,693
|
)
|
(333,229
|
)
|
||||
Long-term
debt and capital lease obligations
|
$
|
536,348
|
$
|
385,270
|
Amount
|
||||
Feb
2008 – Jan 2009
|
$
|
322,694
|
||
Feb
2009 – Jan 2010
|
248,836
|
|||
Feb
2010 – Jan 2011
|
174,282
|
|||
Feb
2011 – Jan 2012
|
36,191
|
|||
Feb
2012 – Jan 2013
|
31,704
|
|||
Thereafter
|
45,334
|
|||
$
|
859,041
|
5.
|
Stock
Award Plan
|
6.
|
Shareholders'
Equity
|
7.
|
Shareholders'
Equity - Restrictive
Agreement
|
8.
|
Earnings
Per Share
|
Three
Months Ended
|
Six
Months Ended
|
|||||||||||||||
January
26,
2008
|
January
27,
2007
|
January
26,
2008
|
January
27,
2007
|
|||||||||||||
Income
from continuing operations available to
common
stockholders
|
$ | 130,555 | $ | 618,611 | $ | 631,129 | $ | 1,374,138 | ||||||||
Income
from discontinued operations available
to common
stockholders
|
--- | 603,400 | --- | 568,554 | ||||||||||||
Total
income available to common stockholders
|
130,555 | 1,222,011 | 631,129 | 1,942,692 | ||||||||||||
Weighted-average
common shares outstanding (basic)
|
4,164,570 | 4,216,466 | 4,164,570 | 4,217,672 | ||||||||||||
Basic
earnings per share:
|
||||||||||||||||
Continuing
operations
|
$ | .03 | $ | .15 | $ | .15 | $ | .33 | ||||||||
Discontinued
operations
|
--- | .14 | --- | .13 | ||||||||||||
Total
basic earnings per share
|
$ | .03 | $ | .29 | $ | .15 | $ | .46 | ||||||||
Incremental
shares from assumed conversions of
stock options and restricted
stock awards
|
36,792 | 39,899 | 56,728 | 39,302 | ||||||||||||
Adjusted
weighted-average common shares outstanding
|
4,201,362 | 4,256,365 | 4,221,298 | 4,256,974 | ||||||||||||
Diluted
earnings per share:
|
||||||||||||||||
Continuing
operations
|
$ | .03 | $ | .15 | $ | .15 | $ | .32 | ||||||||
Discontinued
operations
|
--- | .14 | --- | .13 | ||||||||||||
Total
diluted earnings per share
|
$ | .03 | $ | .29 | $ | .15 | $ | .45 |
9.
|
Segment
Reporting
|
Aquaculture
|
||||||||||||||||||||||||
Consulting
|
Analytical
|
Continued
|
Discontinued
|
Elimination
|
Total
|
|||||||||||||||||||
Total
consolidated revenue
|
$
|
49,796,940
|
$
|
---
|
$
|
51,479
|
$
|
---
|
$
|
---
|
$
|
49,848,419
|
||||||||||||
Depreciation
expense
|
$
|
726,519
|
$
|
---
|
$
|
---
|
$
|
---
|
$
|
---
|
$
|
726,519
|
||||||||||||
Segment
profit (loss) before income taxes
and
minority interest
|
$
|
2,178,877
|
$
|
---
|
$
|
(17,085
|
)
|
$
|
---
|
$
|
---
|
$
|
2,161,792
|
|||||||||||
Segment
assets
|
$
|
66,386,257
|
$
|
2,100,000
|
$
|
133,000
|
$
|
---
|
$
|
---
|
$
|
68,619,257
|
||||||||||||
Expenditures
for long-lived assets
|
$
|
537,362
|
$
|
---
|
$
|
---
|
$
|
---
|
$
|
---
|
$
|
537,362
|
||||||||||||
Geographic
Information:
|
||||||||||||||||||||||||
Revenue
(1)
|
Long-Lived
Assets-Gross
|
|||||||||||||||||||||||
United
States
|
$
|
40,347,419
|
$
|
23,370,055
|
||||||||||||||||||||
Foreign
Countries
|
9,501,000
|
2,361,000
|
Aquaculture
|
||||||||||||||||||||||||
Consulting
|
Analytical
|
Continued
|
Discontinued
|
Elimination
|
Total
|
|||||||||||||||||||
Total
consolidated revenue
|
$
|
48,234,588
|
$
|
---
|
$
|
90,258
|
$
|
---
|
$
|
---
|
$
|
48,324,846
|
||||||||||||
Depreciation
expense
|
$
|
639,478
|
$
|
---
|
$
|
6,903
|
$
|
---
|
$
|
---
|
$
|
646,381
|
||||||||||||
Segment
profit (loss) before income taxes
and
minority interest
|
$
|
3,311,178
|
$
|
---
|
$
|
(19,081
|
)
|
$
|
985,797
|
$
|
---
|
$
|
4,277,894
|
|||||||||||
Segment
assets
|
$
|
63,894,870
|
$
|
2,100,000
|
$
|
179,000
|
$
|
---
|
$
|
---
|
$
|
66,173,870
|
||||||||||||
Expenditures
for long-lived assets
|
580,594
|
$
|
---
|
$
|
---
|
$
|
---
|
$
|
---
|
$
|
580,594
|
|||||||||||||
Geographic
Information:
|
||||||||||||||||||||||||
Revenue
(1)
|
Long-Lived
Assets-Gross
|
|||||||||||||||||||||||
United
States
|
$
|
39,596,846
|
$
|
22,666,019
|
||||||||||||||||||||
Foreign
Countries
|
8,728,000
|
1,899,000
|
10.
|
Commitments
and Contingencies
|
11.
|
Recent
Accounting Pronouncements
|
12.
|
Adoption
of Accounting Principles – Accounting for Uncertainty in Income
Taxes
|
13.
|
Other
Accrued Liabilities
|
January
26,
2008
|
July
31,
2007
|
|||||||
Allowance
for contract adjustments
|
$
|
3,970,662
|
$
|
3,925,525
|
||||
Billings
in excess of revenue
|
3,047,435
|
3,995,645
|
||||||
Other
|
777,970
|
945,537
|
||||||
$
|
7,796,067
|
$
|
8,866,707
|
Item 1.
|
Legal
Proceedings
|
Item 2.
|
Changes in Securities and Use of
Proceeds
|
|
(e)
|
Purchased
Equity Securities. The Company did not purchase any common stock during
the first six months of its fiscal year ending July 31,
2008.
|
Item 3.
|
Defaults Upon Senior
Securities
|
Item 4.
|
Submission of Matters to a Vote
of Security Holders
|
Item 5.
|
Other
Information
|
Item 6.
|
Exhibits and Reports on Form
8-K
|
|
(a)
|
- 31.1 Certification of Principal
Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of
2002.
|
|
-
31.2 Certification of Principal Financial Officer Pursuant to Section 302
of the Sarbanes-Oxley Act of 2002.
|
|
-
32.1 Certification of Principal Executive Officer Pursuant to Section 906
of the Sarbanes-Oxley Act of 2002.
|
|
-
32.2 Certification of Principal Financial Officer Pursuant to Section 906
of the Sarbanes-Oxley Act of 2002.
|
(b)
|
Registrant filed a Form 8-K
report on January 18, 2008 to report a departure of an officer and an
appointment of a new officer.
|
Ecology
and Environment, Inc.
|
|||
Date:
March 11, 2008
|
By:
|
/s/ H.
John Mye, III
|
|
H.
John Mye, III
|
|||
Vice
President, Treasurer and Chief Financial Officer - Principal
Financial Officer
|