SEC Filing - World Kinect Corporation

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2000 [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM___________TO__________ COMMISSION FILE NUMBER 1-9533 WORLD FUEL SERVICES CORPORATION ------------------------------------------------------ (Exact name of registrant as specified in its charter) FLORIDA 59-2459427 ------------------------------- ---------------- (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 700 SOUTH ROYAL POINCIANA BLVD., SUITE 800 MIAMI SPRINGS, FLORIDA 33166 - ------------------------------------------ ---------- (Address of Principal Executive Offices) (Zip Code) Registrant's Telephone Number, including area code: (305) 884-2001 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 . APPLICABLE ONLY TO CORPORATE ISSUERS: As of July 11, 2000, the registrant had a total of 10,793,000 shares of common stock, par value $0.01 per share, issued and outstanding. Page 1 of 15

PART I. FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS The following unaudited, condensed consolidated financial statements of World Fuel Services Corporation (the "Company") have been prepared in accordance with the instructions to Form 10-Q and, therefore, omit or condense certain footnotes and other information normally included in financial statements prepared in accordance with generally accepted accounting principles. In the opinion of management, all adjustments necessary for a fair presentation of the financial information for the interim periods reported have been made. Results of operations for the three months ended June 30, 2000, will not be necessarily indicative of the results for the entire fiscal year ending March 31, 2001. Page 2 of 15

WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (UNAUDITED) ASSETS JUNE 30, 2000 MARCH 31, 2000 ------------- -------------- CURRENT ASSETS: Cash and cash equivalents $ 25,872,000 $ 32,773,000 Accounts and notes receivable, net of allowance for bad debts of $14,725,000 and $15,202,000 at June 30 and March 31, 2000, respectively 139,604,000 142,250,000 Inventories 6,808,000 10,418,000 Prepaid expenses and other current assets 11,574,000 9,829,000 Current net assets of discontinued operations 2,703,000 -- ------------ ------------ Total current assets 186,561,000 195,270,000 ------------ ------------ PROPERTY AND EQUIPMENT, at cost: Leasehold and improvements 353,000 335,000 Office equipment and furniture 9,360,000 9,074,000 ------------ ------------ 9,713,000 9,409,000 Less accumulated depreciation and amortization 4,634,000 4,289,000 ------------ ------------ 5,079,000 5,120,000 ------------ ------------ OTHER ASSETS: Unamortized cost in excess of net assets of acquired companies, net of accumulated amortization 22,855,000 23,040,000 Other 2,975,000 3,346,000 ------------ ------------ $217,470,000 $226,776,000 ============ ============ (Continued) Page 3 of 15

WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Continued) LIABILITIES AND STOCKHOLDERS' EQUITY JUNE 30, 2000 MARCH 31, 2000 ------------- -------------- CURRENT LIABILITIES: Current maturities of long-term debt $ 1,423,000 $ 17,000 Accounts payable 79,105,000 80,404,000 Accrued expenses 24,596,000 26,316,000 Customer deposits 3,658,000 3,017,000 Accrued salaries and wages 2,384,000 3,558,000 Income taxes payable 1,095,000 1,419,000 Current net liabilities of discontinued operations -- 6,498,000 ------------ ------------ Total current liabilities 112,261,000 121,229,000 ------------ ------------ LONG-TERM LIABILITIES 4,257,000 5,886,000 ------------ ------------ COMMITMENTS AND CONTINGENCIES STOCKHOLDERS' EQUITY: Preferred stock, $1.00 par value; 100,000 shares authorized, none issued -- -- Common stock, $0.01 par value; 25,000,000 shares authorized; 12,537,000 shares issued and outstanding 125,000 125,000 Capital in excess of par value 26,800,000 26,800,000 Retained earnings 87,962,000 85,256,000 Less treasury stock, at cost; 1,733,000 and 1,540,000 shares at June 30 and March 31, 2000, respectively 13,935,000 12,520,000 ------------ ------------ 100,952,000 99,661,000 ------------ ------------ $217,470,000 $226,776,000 ============ ============ The accompanying notes to the consolidated financial statements are an integral part of these consolidated balance sheets. Page 4 of 15

WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) THREE MONTHS ENDED JUNE 30, --------------------------------- 2000 1999 ------------- ------------- Revenue $ 374,530,000 $ 225,446,000 Cost of sales 357,462,000 210,394,000 ------------- ------------- Gross profit 17,068,000 15,052,000 ------------- ------------- Operating expenses: Salaries and wages 6,551,000 5,368,000 Provision for bad debts 1,253,000 1,557,000 Other 5,685,000 3,802,000 ------------- ------------- 13,489,000 10,727,000 ------------- ------------- Income from operations 3,579,000 4,325,000 ------------- ------------- Other income (expense), net: Special provision for bad debts in aviation joint venture -- (1,193,000) Other, net 742,000 (103,000) ------------- ------------- 742,000 (1,296,000) ------------- ------------- Income from continuing operations before income taxes 4,321,000 3,029,000 Provision for income taxes 1,074,000 1,222,000 ------------- ------------- Income from continuing operations 3,247,000 1,807,000 Income from discontinued operations of oil recycling segment, net of tax -- 435,000 ------------- ------------- Net income $ 3,247,000 $ 2,242,000 ============= ============= Basic earnings per share: Continuing operations $ 0.30 $ 0.15 Discontinued operations -- 0.03 ------------- ------------- Net income $ 0.30 $ 0.18 ============= ============= Weighted average shares - basic 10,888,000 12,188,000 ============= ============= Diluted earnings per share: Continuing operations $ 0.30 $ 0.15 Discontinued operations -- 0.03 ------------- ------------- Net income $ 0.30 $ 0.18 ============= ============= Weighted average shares - diluted 10,896,000 12,311,000 ============= ============= The accompanying notes to the consolidated financial statements are an integral part of these consolidated financial statements. Page 5 of 15

WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) THREE MONTHS ENDED JUNE 30, ------------------------------- 2000 1999 ------------ ------------ Cash flows from continuing operating activities: Net income $ 3,247,000 $ 1,807,000 ------------ ------------ Adjustments to reconcile net income to net cash used in operating activities - Depreciation and amortization 580,000 613,000 Provision for bad debts 1,253,000 1,557,000 Deferred income tax provision 110,000 -- Equity in losses of aviation joint venture, net -- 1,184,000 Other non-cash operating charges (credits) 8,000 (3,000) Changes in assets and liabilities, net of acquisition: (Increase) decrease in - Accounts and notes receivable 1,313,000 (16,906,000) Inventories 3,610,000 (140,000) Prepaid expenses and other current assets (1,743,000) (233,000) Other assets 331,000 (783,000) Increase (decrease) in - Accounts payable and accrued expenses (3,006,000) 7,517,000 Customer deposits 641,000 (932,000) Accrued salaries and wages (1,174,000) (651,000) Income taxes payable (324,000) 863,000 Deferred compensation (212,000) (430,000) ------------ ------------ Total adjustments 1,387,000 (8,344,000) ------------ ------------ Net cash provided by (used in) continuing operating activities 4,634,000 (6,537,000) ------------ ------------ Cash flows from investing activities: Capital expenditures (354,000) (730,000) Payment for acquisition of business, net of cash acquired -- (4,183,000) ------------ ------------ Net cash used in investing activities (354,000) (4,913,000) ------------ ------------ (continued) Page 6 of 15

WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (Continued) THREE MONTHS ENDED JUNE 30, ------------------------------- 2000 1999 ------------ ------------ Cash flows from financing activities: Dividends paid on common stock $ (554,000) $ (609,000) Purchases of treasury stock (1,415,000) -- Borrowings under revolving credit facitily, net -- 5,500,000 Other (11,000) 4,000 ------------ ------------ Net cash (used in) provided by financing activities (1,980,000) 4,895,000 ------------ ------------ Discontinued operations (9,201,000) 595,000 ------------ ------------ Net decrease in cash and cash equivalents (6,901,000) (5,960,000) Cash and cash equivalents, at beginning of period 32,773,000 16,527,000 ------------ ------------ Cash and cash equivalents, at end of period $ 25,872,000 $ 10,567,000 ============ ============ SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: Cash paid during the period for: Interest (including $8,000 in fiscal 2000 for discontinued operations) $ 3,000 $ 125,000 ============ ============ Income taxes (including $9,168,000 and $142,000 in fiscal 2001 and 2000, respectively, for discontinued operations) $ 10,504,000 $ 679,000 ============ ============ SUPPLEMENTAL SCHEDULE OF NONCASH ACTIVITIES: Cash dividends declared, but not yet paid, totaling $541,000 and $609,000 are included in Accrued expenses as of June 30, 2000 and 1999, respectively. During the three months ended June 30, 2000, the Company reclassified notes receivable of approximately $80,000 from Accounts and notes receivable to Other assets. In connection with the April 1, 1999 acquisition of the Bunkerfuels group of companies, the Company issued $4,250,000 in notes payable. In March 2000, the Company paid $1,410,000 pursuant to the terms of the notes payable. The accompanying notes to the consolidated financial statements are an integral part of these consolidated financial statements. Page 7 of 15

WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) (1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accounting polices followed for quarterly financial reporting are the same as those disclosed in Note 1 of the Notes to the Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended March 31, 2000. (2) DISCONTINUED OPERATIONS In January 2000, the Company's Board of Directors authorized the sale of its oil recycling segment. Accordingly, as of December 31, 1999, the Company reported its oil recycling segment as a discontinued operation. The consolidated financial statements of the Company have been restated to report separately the operating results of the discontinued operation for all periods presented. Financial results for periods prior to the dates of discontinuance have been restated to reflect continuing operations. In February 2000, the Company sold all of the issued and outstanding stock of its oil recycling subsidiaries, the International Petroleum Corporation group ("IPC"), to EarthCare Company ("EarthCare"). For the three months ended June 30, 1999, the Company recognized net income from discontinued operations of $435,000. Potential costs which could not be reasonably estimated include expenses associated with the indemnifications provided by the Company as part of the purchase agreement. The Company reported current net assets of discontinued operations of $2,703,000 as of June 30, 2000 and net current liabilities of discontinued operations of $6,498,000 as of March 31, 2000. As of March 31, 2000, net liabilities of discontinued operations consist of $9,168,000 in income taxes payable related to the ten months of operations and the gain on sale, partially offset by $2,670,000 of current net assets of discontinued operations. As of June 30, 2000, income taxes related to the discontinued operations had been paid. For the three months ended June 30, 1999, revenues applicable to the discontinued operations and income from operations of the discontinued operations were $6,104,000 and $715,000, respectively. In April 2000, the Company filed a Demand for Arbitration with the American Arbitration Association, against EarthCare to collect approximately $3,827,000 in cash due pursuant to the Purchase Agreement. On May 23, 2000, EarthCare filed a response to the Company's action which acknowledges the amounts due to the Company, but asserts defenses and counterclaims against the Company as a result of alleged breaches by the Company of certain representations under the purchase agreement. See Note 3, below. Page 8 of 15

The Company anticipates substantial completion of its plan of discontinuance by the end of fiscal 2001, and believes that the remaining net assets will be realized. (3) COMMITMENTS AND CONTINGENCIES In February and March 2000, two shareholders filed class action lawsuits against the Company and four of its executive officers in the United States District Court for the Southern District of Florida. The lawsuits have since been consolidated. The lawsuit alleges violations of federal securities laws and seeks an unspecified amount of damages arising from the decrease in the Company's stock price, which occurred on January 31, 2000. On June 30, 2000, the plaintiffs amended their complaint to delete two of the claims made therein and to drop two of the Company's officers as defendants. Management of the Company believes that the claims made in this lawsuit are without merit and is vigorously defending this action. In February 2000, the Company filed a lawsuit against American Home Assurance Company ("AHAC"), a subsidiary of AIG, seeking recovery under the Company's insurance policies for the Company's loss of product by theft off the coast of Nigeria. Six of the Company's shipments of marine fuel, with a total value of approximately $2,683,000, were converted in the course of transhipment to Nigeria, and were never received by the Company's intended customer. The Company believes that this loss is covered by insurance which was in effect at the time of the loss. AHAC is contesting the Company's insurance claim, but has not yet filed an answer in the pending legal proceedings which sets forth specific defenses. The Company is vigorously prosecuting its action against AHAC. In April 2000, the Company filed arbitration proceedings against EarthCare to collect approximately $3,827,000 due to the Company pursuant to the stock purchase agreement between EarthCare and the Company relating to the sale of the Company's oil recycling segment. In May 2000, EarthCare filed a response to the Company's action which acknowledges the amounts due to the Company, but asserts defenses and counterclaims against the Company as a result of alleged breaches by the Company of certain representations under the purchase agreement. The Company believes that EarthCare's allegations are without merit and is vigorously prosecuting its action against EarthCare. There can be no assurance that the Company will prevail in the above legal proceedings and management cannot estimate the exposure or recovery to the Company if it does not prevail in the proceedings and counterclaims pending against the Company. The Company is also involved in litigation and administrative proceedings primarily arising in the normal course of its business. In the opinion of management, except as set forth above, the Company's liability, if any, under any pending litigation or administrative proceedings will not materially affect its financial condition or results of operations. Page 9 of 15

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS THE THREE MONTHS ENDED JUNE 30, 2000 COMPARED TO THE THREE MONTHS ENDED JUNE 30, 1999 The Company's revenue for the three months ended June 30, 2000 was $374,530,000, an increase of $149,084,000, or 66.1%, as compared to revenue of $225,446,000 for the corresponding period of the prior year. The revenue increase is due to a substantial increase in world oil prices. The Company's revenue during these periods was attributable to the following segments: Three Months Ended June 30, 2000 1999 ------------- ------------- Aviation Fueling $ 132,801,000 $ 92,216,000 Marine Fueling 241,729,000 133,230,000 ------------- ------------- Total Revenue $ 374,530,000 $ 225,446,000 ============= ============= The aviation fueling segment contributed $132,801,000 in revenue for the three months ended June 30, 2000. This represented an increase in revenue of $40,585,000, or 44.0%, as compared to the same period of the prior year. The increase in revenue was due to an increase in the average price per gallon sold. The marine fueling segment contributed $241,729,000 in revenue for the three months ended June 30, 2000, an increase of $108,499,000, or 81.4%, over the corresponding period of the prior year. The increase in revenue was related primarily to an increase in the average price per metric ton sold. The Company's gross profit of $17,068,000 for the three months ended June 30, 2000 increased $2,016,000, or 13.4%, as compared to the same period of the prior year. The Company's gross margin decreased from 6.7% for the three months ended June 30, 1999, to 4.6% for the three months ended June 30, 2000. The Company's aviation fueling business achieved a 6.3% gross margin for the three months ended June 30, 2000, as compared to 10.4% achieved for the same period during the prior year. This decrease resulted from an overall increase in the average price per gallon sold. The Company's marine fueling segment achieved a 3.6% gross margin for the three months ended June 30, 2000, as compared to a 4.1% gross margin for the same period of the prior year. The decrease resulted from higher fuel prices, despite an increase in the average gross profit per metric ton sold. Total operating expenses for the three months ended June 30, 2000 were $13,489,000, an increase of $2,762,000, or 25.7%, as compared to the same period of the prior year. The increase resulted in part from higher salaries and related personnel costs, and professional fees. Page 10 of 15

The Company's income from operations for the three months ended June 30, 2000 was $3,579,000, a decrease of $746,000, or 17.2%, as compared to the same period of the prior year. Income from operations during these periods was attributable to the following segments: Three Months Ended June 30, 2000 1999 ------------ ------------ Aviation Fueling $ 3,206,000 $ 4,339,000 Marine Fueling 2,447,000 1,124,000 Corporate Overhead (2,074,000) (1,138,000) ------------ ------------ Total Income from Operations $ 3,579,000 $ 4,325,000 ============ ============ The aviation fueling segment's income from operations was $3,206,000 for the three months ended June 30, 2000, a decrease of $1,133,000, or 26.1%, as compared to the three months ended June 30, 1999. This resulted from a decrease in the volume of fuel sales and in the average gross profit per gallon sold. The marine fueling segment earned $2,447,000 in income from operations for the three months ended June 30, 2000, an increase of $1,323,000, or 117.7%, over the corresponding period of the prior year. This increase resulted from an improved gross profit on trade and brokered transactions. Partially offsetting were increases in salaries and performance based bonuses, and other operating expenses. During the three months ended June 30, 2000, the Company reported $742,000 in other income, net, compared to other expense, net, of $1,296,000, for the same quarter a year ago. During the quarter ended June 30, 1999, the Company recorded a special charge to the provision for bad debts in its aviation joint venture in Ecuador related to the deteriorating economic conditions in that country. Also contributing to the variance in other income and expense, net, were increases in net interest income and foreign exchange gains. The Company's effective income tax rate for the three months ended June 30, 2000, compared to the same quarter a year ago, decreased substantially because of the impact of the provision for bad debts, special or otherwise, for which the Company did not receive a tax benefit during the three months ended June 30, 1999. Net income from continuing operations for the three months ended June 30, 2000 was $3,247,000, an increase of $1,440,000, or 79.7%, as compared to the same period of the prior year. Diluted earnings per share on income from continuing operations was $0.30, an increase of $0.15, or 100.0%, as compared to the same period of the prior year. Net income for the three months ended June 30, 2000 was $3,247,000, an increase of $1,005,000, or 44.8%, as compared to net income of $2,242,000 for the three months ended June 30, 1999. Diluted earnings per share of $0.30 for the three months ended June 30, 2000 exhibited a $0.12, or 66.7% increase over the $0.18 achieved during the same period of the prior year. The results for the first quarter of fiscal 2000 included $435,000, or $0.03 per diluted share, in income from discontinued operations. Page 11 of 15

LIQUIDITY AND CAPITAL RESOURCES Cash and cash equivalents amounted to $25,872,000 at June 30, 2000, as compared to $32,773,000 at March 31, 2000. The principal uses of cash and cash equivalents during the first quarter of fiscal 2001 were $9,168,000 for the payment of income taxes related to the discontinued operations, $1,415,000 for the purchase of treasury stock, $354,000 for capital expenditures and $554,000 in dividends paid on common stock. Partially offsetting these cash uses was $4,634,000 in net cash provided by continuing operating activities. Other components of changes in cash and cash equivalents are detailed in the Consolidated Statements of Cash Flows. Working capital as of June 30, 2000 was $74,300,000, representing a $259,000 increase from working capital as of March 31, 2000. As of June 30, 2000, the Company's accounts receivable and the current portion of the notes receivable, excluding the allowance for bad debts, amounted to $154,329,000, a decrease of $3,123,000, as compared to the March 31, 2000 balance. In the aggregate, accounts payable, accrued expenses and customer deposits decreased $2,378,000. The allowance for bad debts as of June 30, 2000 amounted to $14,725,000, a decrease of $477,000 compared to the March 31, 2000 balance. During the first quarter of fiscal 2001, the Company charged $1,253,000 to the provision for bad debts and had charge-offs in excess of recoveries of $1,730,000. Capital expenditures for the three months ended June 30, 2000 consisted primarily of $354,000 for the purchase of computer equipment. Stockholders' equity amounted to $100,952,000, or $9.34 per share at June 30, 2000, compared to $99,661,000, or $9.06 per share at March 31, 2000. This increase of $1,291,000 was due to $3,247,000 in first quarter earnings, partially offset by the declaration of first quarter cash dividends of $541,000 and $1,415,000 in purchases of treasury stock. The Company expects to meet its capital investment and working capital requirements for fiscal 2001 from existing cash, operations and additional borrowings, as necessary, under its existing line of credit. The Company's business has been, and will continue to be affected by the rapid, and sustained increase in fuel prices. FORWARD-LOOKING STATEMENTS Except for the historical information contained herein, this document includes forward-looking statements that involve risk and uncertainties, including, but not limited to quarterly fluctuations in results; the management of growth; fluctuations in world oil prices or foreign currency; major changes in political, economic, regulatory or environmental conditions; the loss of key customers, suppliers or members of senior management; uninsured losses; competition; credit risk associated with accounts and notes receivable; and other risks detailed in this report and in the Company's other Securities and Exchange Commission filings. Actual results may differ materially from any forward-looking statements set forth herein. Page 12 of 15

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK The Company has no material changes to the disclosure made on this matter in the Company's annual report on Form 10-K for the year ended March 31, 2000. PART II. OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS In February and March 2000, two shareholders filed class action lawsuits against the Company and four of its executive officers in the United States District Court for the Southern District of Florida. The lawsuits have since been consolidated. The lawsuit alleges violations of federal securities laws and seek an unspecified amount of damages arising from the decrease in the Company's stock price, which occurred on January 31, 2000. On June 30, 2000, the plaintiffs amended their complaint to delete two of the claims made therein and to drop two of the Company's officers as defendants. Management of the Company believes that the claims made in this lawsuit are without merit and is vigorously defending this action. In February 2000, the Company filed a lawsuit against American Home Assurance Company ("AHAC"), a subsidiary of AIG, seeking recovery under the Company's insurance policies for the Company's loss of product by theft off the coast of Nigeria. Six of the Company's shipments of marine fuel, with a total value of approximately $2,683,000, were converted in the course of transhipment to Nigeria, and were never received by the Company's intended customer. The Company believes that this loss is covered by insurance which was in effect at the time of the loss. AHAC is contesting the Company's insurance claim, but has not yet filed an answer in the pending legal proceedings which sets forth specific defenses. The Company is vigorously prosecuting its action against AHAC. In April 2000, the Company filed arbitration proceedings against EarthCare to collect approximately $3,827,000 due to the Company pursuant to the stock purchase agreement between EarthCare and the Company relating to the sale of the Company's oil recycling segment. In May 2000, EarthCare filed a response to the Company's action which acknowledges the amounts due to the Company, but asserts defenses and counterclaims against the Company as a result of alleged breaches by the Company of certain representations under the purchase agreement. The Company believes that EarthCare's allegations are without merit and is vigorously prosecuting its action against EarthCare. There can be no assurance that the Company will prevail in the above legal proceedings and management cannot estimate the exposure or recovery to the Company if it does not prevail in the proceedings and counterclaims pending against the Company. The Company is also involved in litigation and administrative proceedings primarily arising in the normal course of its business. In the opinion of management, except as set forth above, the Company's liability, if any, under any pending litigation or administrative proceedings will not materially affect its financial condition or results of operations. Page 13 of 15

ITEM 2. CHANGES IN SECURITIES AND USE OF PROCEEDS None ITEM 3. DEFAULTS UPON SENIOR SECURITIES None ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS None ITEM 5. OTHER INFORMATION None ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K (a) Exhibits. 27.1 Financial Data Schedule for the three months ended June 30, 2000 (b) Reports on Form 8-K. During the three months ended June 30, 2000, the Company did not file any reports on Form 8-K. Page 14 of 15

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. DATE: JULY 25, 2000 WORLD FUEL SERVICES CORPORATION ------------- ------------------------------- /s/ JERROLD BLAIR ------------------------ JERROLD BLAIR PRESIDENT /s/ CARLOS A. ABAUNZA ------------------------ CARLOS A. ABAUNZA CHIEF FINANCIAL OFFICER (Principal Financial and Accounting Officer) Page 15 of 15

5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE COMPANY'S JUNE 30, 2000 UNAUDITED FINANCIAL STATEMENTS FILED ON FORM 10-Q AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.

3-MOS MAR-31-2001 APR-01-2000 JUN-30-2000 25,872,000 0 154,329,000 14,725,000 6,808,000 186,561,000 9,713,000 4,634,000 217,470,000 112,261,000 0 0 0 125,000 100,827,000 217,470,000 374,530,000 374,530,000 357,462,000 357,462,000 0 1,253,000 104,000 4,321,000 1,074,000 3,247,000 0 0 0 3,247,000 0.30 0.30