10-Q 1 form10q.htm FORM 10-Q form10q.htm
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 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 November 30, 2012

o  TRANSITIONAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transitional period from ______ to ______

Commission File No. 0-32923

CLICKER INC.
  (Exact name of registrant as specified in its charter)

Nevada
 
26-4835457
(State or other jurisdiction of incorporation of organization)
 
(I.R.S. Employer Identification Number)

1111 Kane Concourse, Suite 304, Bay Harbor Islands, Florida 33154
(Address of principal executive office) (zip code)

(786) 309-5190
(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 o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 229.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes    x     No   o
 
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.
 
Large accelerated filer o
Accelerated filer o
Non-accelerated filer o
Smaller reporting company x
(Do not check if a smaller reporting company)
 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
 Yes  o No x

As of January 14, 2013, there were 488,000 shares of registrant’s common stock issued and outstanding.
  

 
 

 


CLICKER INC.

 
Report on Form 10-Q
For the quarter ended November 30, 2012

 
 
Page
PART I FINANCIAL INFORMATION
 
   
F-1
   
F-1
   
F-2
   
F3
   
F-4 - F-6
   
3-8
   
9
   
9
   
PART II OTHER INFORMATION
 
   
10
   
10
   
10
   
10
   
10
   
10
   
11
   
12


 
 

 
PART I – FINANCIAL INFORMATION
Item 1. Consolidated Financial Statements
 
CLICKER INC. AND SUBSIDIARIES
 
 
           
           
           
 
NOVEMBER 30, 2012
   
 
 
 
(Unaudited)
    AUGUST 31, 2012  
Assets
         
Current Assets
         
                 
Cash & cash equivalents
  $ 181,269     $ 32,734  
                 
Total current assets
    181,269       32,734  
                 
Property and equipment, net of accumulated depreciation of $2,567 and $1,867
         
respectively
    5,835       6,535  
Other assets
    10,565       10,565  
                 
Total assets
  $ 197,669     $ 49,834  
                 
Liabilities and Stockholders' Deficit
               
                 
Current Liabilities
               
Accounts payable
  $ 1,505,949     $ 1,495,662  
Accrued expenses
    1,135,558       1,105,900  
Derivative liability
    3,684,591       3,416,488  
Due to related parties
    22,683       22,683  
Note payable
    30,366       30,366  
Convertible note payble, net
    997,572       929,376  
Total current liabilities
    7,376,719       7,000,475  
                 
Redeemable preferred stock, Series B; par value $.001 per share; 100 shares
               
  authorized, 100 and 100 shares issued and outstanding, respectively
    10,000       10,000  
                 
Stockholders' Deficit
               
Preferred stock, undesignated, par value $.001 per share; 4,999,900 shares authorized,
         
  no shares issued and outstanding
    -       -  
Common stock, $0.001 par value, 500,000,000 shares authorized,
               
488,000 and 488,000 shares issued and outstanding at
               
November 30, 2012 and August 31, 2012, respectively
    488       488  
Paid in capital
    22,239,262       22,239,262  
Shares to be issued
    15,400       15,400  
Accumulated deficit
    (29,444,200       (29,215,791 )
Total stockholders' deficit
    (7,189,050       (6,960,641 )
                 
Total liabilities and stockholders' deficit
  $ 197,669     $ 49,834  
                 
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
 


CLICKER, INC AND SUBSIDIARIES
 
 
FOR THE THREE MONTH PERIODS ENDED NOVEMBER 30, 2012 AND 2011
 
(Unaudited)
 
             
   
2012
   
2011
 
             
Net revenues
  $ 7,652     $ 241  
                 
Operating expenses
               
Selling, general & administrative
    56,125       118,339  
Depreciation
    700       -  
Total operating expenses
    56,825       118,339  
                 
Loss from operations
    (49,173 )     (118,098 )
                 
Non-operating income (expense):
               
Interest expense
    (409,026 )     (328,358 )
Change in derivative liability
    229,790       (1,924,453 )
Gain (loss) on debt redemption
    -       23,714  
Total non-operating income (expense)
    (179,236 )     (2,229,097 )
                 
Loss before income taxes
    (228,409 )     (2,347,195 )
                 
Provision for income tax
    -       -  
                 
Net loss
    (228,409 )     (2,347,195 )
                 
Basic and diluted net loss per share
  $ (0.47 )   $ (0.02 )
                 
Basic and diluted weighted average shares of common stock outstanding*
    488,000       430,545  
                 
* Weighted average number of shares used to compute basic and diluted loss per share is the same since the effect of dilutive securities is anti-dilutive.
 
                 
           
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
 
 
CLICKER, INC AND SUBSIDIARIES
 
 
FOR THE THREE MONTH PERIODS ENDED NOVEMBER 30, 2012 AND 2011
 
(Unaudited)
 
             
   
2012
   
2011
 
Cash flows from operating activities:
           
Net loss
  $ (228,409 )   $ (2,347,195 )
Adjustments to reconcile net loss to net cash used in operations
               
Depreciation and amortization
    700       -  
Change in derivative liability
    (229,790 )     1,924,453  
(Gain) loss on debt redemption
    -       (23,714 )
Amortization of debt discount
    366,089       293,083  
Change in assets and liabilities:
               
Accounts payable
    10,287       66,976  
Accrued expenses and other liabilities
    29,658       (27,106 )
Net cash used in operating activities
    (51,465 )     (113,503 )
                 
Cash flows from financing activities:
               
Cash payments on notes
    -       (25,275 )
Cash proceeds from convertible note
    200,000       300,000  
Net cash provided by financing activities
    200,000       274,725  
                 
Net increase in cash & cash equivalents
    148,535       161,222  
                 
Cash & cash equivalents, beginning balance
    32,734       303  
                 
Cash & cash equivalents, ending balance
  $ 181,269     $ 161,525  
                 
Supplemental disclosure for cash flow information:
               
Cash and cash equivalents paid for interest
  $ -     $ -  
Cash and cash equivalents paid for taxes
  $ -     $ -  
                 
Supplemental disclosure of non-cash investing and  financing activity:
               
Face value of notes and interest converted to common stock
  $ -     $ 15,237  
Fair value of common stock issued upon conversion of notes
  $ -     $ 47,206  
Derivative liability of convertible notes at date of issue
  $ 399,125     $ 344,889  
Derivative liability charged off upon conversion of notes
  $ -     $ 44,889  
Unamortized discount charged off upon conversion of notes
  $ -     $ 1,573  
                 
The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.
 

 
CLICKER, INC.
(Unaudited)

NOTE 1 NATURE OF BUSINESS

Clicker Inc. (the “Company,” "We," or "Clicker"), a corporation incorporated in the State of Nevada, is a web publisher brand builder focused on developing stand-alone brands that incorporate social networking and reward properties that leverage content, commerce and advertising for the next generation of global internet users.

NOTE 2 ACCOUNTING POLICIES
 
Basis of Presentation
 
The unaudited condensed consolidated financial information included herein has been prepared by the Company. In the opinion of management, the accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission and contain all adjustments, consisting only of normal recurring adjustments, necessary to present fairly the Company’s financial position as of November 30, 2012 and its results of operations and its cash flows for the periods presented. The consolidated balance sheet at August 31, 2012 has been derived from the Annual Report on Form 10-K for the fiscal year ended August 31, 2012. The accompanying unaudited condensed consolidated financial statements and related notes should be read in conjunction with the audited financial statements included in our Annual Report on Form 10-K for the fiscal year ended August 31, 2012. Operating results for the interim periods presented are not necessarily indicative of the results that may be experienced for the fiscal year ending August 31, 2013.
 
Principles of Consolidation

The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries WallStreet Direct, Inc., Digital Wall Street, Inc., Financial Filings, Corp., My WallStreet, Inc. and Wealth Expo Inc. All significant inter-company accounts and transactions have been eliminated.
 
Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles in the United States (“GAAP”) requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include accounts payable and derivative liability. Actual results could differ from our estimates.

Basic and Diluted Net Loss Per Share

Basic earnings per share are computed by dividing net income by the weighted average number of common shares outstanding during the period. Diluted net income (loss) per share is based on the assumption that all dilutive convertible shares and stock options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, options and warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period.

Weighted average number of shares used to compute basic and diluted loss per share is the same since the effect of dilutive securities is anti-dilutive. There were 76,350,546 common share equivalents at November 30, 2012 and 17,099,915 at November 30, 2011. These potential shares of common stock have been excluded from the computation of diluted net loss per share for the three month periods ended November 30, 2012 and 2011, respectively as their effect is anti-dilutive.
 
Income Taxes
 
We utilize ASC 740 “Income Taxes” which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred income taxes are recognized for the tax consequences in future years of differences between the tax bases of assets and liabilities and their financial reporting amounts at each year-end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income.    
 
Generally accepted accounting principles provide accounting and disclosure guidance about positions taken by a company in its tax returns that might be uncertain.  Management has considered its tax positions and believes that all of the positions taken by the Company in its federal tax returns are more likely than not to be sustained upon examination.  The Company’s returns are subject to examination by federal taxing authorities, generally for three and four years, respectively, after they are filed.
 
Recent Accounting Pronouncements

Recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force), the AICPA, and the SEC did not, or are not believed by management to, have a material impact on the Company's present or future financial statements.

 
NOTE 3 GOING CONCERN

The accompanying consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate continuation of the Company as a going concern. This basis of accounting contemplates the recovery of the Company's assets and the satisfaction of its liabilities in the normal course of business. The Company has an accumulated deficit of $29,444,200 as of November 30, 2012 and has incurred a net loss of $228,409 for the three months ended November 30, 2012. In addition, the Company’s current liabilities exceed its current assets by $7,195,450 at November 30, 2012. These factors raise substantial doubt as to the Company’s ability to continue as a going concern. Continuation of the Company as a going concern is dependent upon the continued operations of the Company, which in turn is dependent upon the Company's ability to raise additional capital, obtain financing and success in its future operations. The consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.
 
Management has taken the following steps to revise its operating and financial requirements, which it believes are sufficient to provide the Company with the ability to continue as a going concern. Management devoted considerable effort during the period ended August 31, 2012 towards (i) acquiring and developing revenue producing website property (ii) obtaining additional equity financing, (iii) evaluation of its marketing methods and (iv) further streamlining and reducing costs.
 
Management is considering the best ways to maximize the value of the Company’s intellectual assets (which include our website properties) and revive revenue, including a number of options ranging from the sale of certain intellectual assets to investing further capital to build out and take the Company’s potentially productive intellectual assets to market. Management is also contemplating further business development efforts that would result in new website properties that would be incremental to what the Company already has in its existing portfolio. Management has expended a good deal of effort in managing corporate liabilities and interacting with note holders, many of whose notes have gone into default. Management is also continuing its efforts to raise additional capital for ongoing operations and business development. To that end, the Company raised $200,000 in October 2012 through the sale of a convertible debenture and management is currently determining the optimal ways to deploy that capital to maximize its value to the business.

NOTE 4 FAIR VALUE MEASUREMENTS

The table below summarizes the fair values of the Company’s financial liabilities:
   
Fair Value at
   
Fair Value Measurement Using
 
   
November 30,
2012
   
Level 1
   
Level 2
   
Level 3
 
                         
Conversion feature derivative liability
 
$
3,684,591
   
$
   
$
   
$
3,684,591
 
                                 
   
$
3,684,591
   
$
   
$
   
$
3,684,591
 

The table below sets forth a summary of changes in the fair value of the Company’s Level 3 financial liabilities (warrant derivative liability) for the three month periods ended November 30, 2012 and 2011.

   
2012
   
2011
 
Balance at beginning of period
 
$
3,416,488
   
$
2,183,694
 
Additions to derivative instruments
   
497,893
     
480,246
 
Change in fair value of warrant liability
   
(229,790
   
1,924,453
 
Conversion of debentures
   
     
(53,118
Balance at end of period
 
$
3,684,591
   
$
4,535,275
 

These instruments were valued using pricing models which incorporate the Company’s stock price, volatility, U.S. risk free rate, dividend rate and estimated life.
 

NOTE 5 CONVERTIBLE NOTES PAYABLE
 
The Company has issued multiple secured convertible notes (the “Secured Convertible Notes” or the “Notes”) to related and unrelated parties (the “Holders.” The Secured Convertible Notes have various maturity dates ranging from 9 to 24 months and have annual interest rates ranging from of 0% to 10% per annum. The Holders have the right from and after the Date of Issuance, and until any time until the Secured Convertible Notes are fully paid, to convert any outstanding and unpaid principal portion of the Secured Convertible Notes, and accrued interest, into fully paid and non-assessable shares of Common Stock with an ownership limit of 4.99%. The Secured Convertible Notes have a variable conversion price and full reset feature. The percentage of market conversion rates range from 20% to 50% of the average closing trading or bid price of the Company’s common stock on consecutive trading days immediately preceding the date of conversion, which in the terms of the note agreements range from 3 days to 10 days. The Holders were not issued warrants with the Secured Convertible Notes. In the event of default for the Notes, the amount of principal and interest not paid when due bear interest at the rate of 18% per annum and the notes become immediately due and payable. Should that occur, the Company is liable to pay 105% of the then outstanding principal and interest.
 
The Company has recorded the embedded conversion features in the Secured Convertible Notes as derivative liabilities due to the full reset provisions and the variable conversion rates.
 
On October 26, 2012, the Company entered into a Securities Purchase Agreement with Monroe Milstein, an accredited investor (“Milstein”), providing for the sale by the Company to Milstein of a 10% convertible debenture in the principal amount of $200,000 (the “Milstein Debenture”).  The Milstein Debenture matures on October 26, 2014 (the “Maturity Date”) and bears interest at the annual rate of 10%.  The Company is not required to make any payments until the Maturity Date although the Company has the ability to repay the Milstein Debenture at any time without penalty upon five days prior written notice to the Investor.
 
Milstein may convert, at any time, the outstanding principal and accrued interest on the Milstein Debenture into shares of the Company’s common stock (“Common Stock”) at a conversion price per share equal to fifty percent (50%) of the lowest closing price of the Common Stock during the 10 trading days immediately preceding the date of conversion as quoted by Bloomberg, LP or such other quotation service as mutually agreed to by the parties. Milstein has contractually agreed to restrict its ability to convert the Milstein Debenture such that the number of shares of the Company common stock held by each of Milstein and his affiliates after such conversion does not exceed 4.99% of the Company’s then issued and outstanding shares of Common Stock.
The conversion feature of the Milstein Debenture contains a variable conversion rate. As a result, we have classified the conversion feature as a derivative liability in the consolidated financial statements. At issue, we have recorded a conversion feature liability of $399,125. The value of the conversion feature liability was determined using the Black-Scholes method based on the following assumptions:  (1) risk free interest rate of 0.25%; (2) dividend yield of 0%; (3) volatility factor of the expected market price of our common stock of 418%; and (4) an expected life of 2 years. The Company has allocated $200,000 to debt discount, to be amortized over the life of the debt, with the balance of $199,125 being charged to expense at issue.
 
During the three months ended November 30, 2012 we recorded additions to our derivative conversion liabilities related to the conversion feature attributable to interest accrued during the year. These additions aggregated $98,768, which has been charged to interest expense.
 
As of November 30, 2012 the fair value of the conversion features subject to derivative accounting was $3,684,591. The value of the conversion features as of November 30, 2012 was determined using the Black-Scholes method based on the following weighted average assumptions:  (1) risk free interest rates of 0.18%; (2) dividend yield of 0%; (3) volatility factor of the expected market price of our common stock of 380%; and (4) an expected life of the conversion features of 1.16 years.

NOTE 6 INCOME TAXES

Our effective tax rates were approximately 0.0% for the three months ended November 30, 2012 and 2011. Our effective tax rate was lower than the U.S. federal statutory rate primarily due to the fact that we record a full valuation allowance against our deferred tax assets, which is primarily comprised of net operating losses.

NOTE 7 COMMITMENTS AND CONTINGENCIES

Operating Lease

The Company occupies its premises under operating leases on a monthly basis. Rent expense under the operating leases for the three month periods ended November 30, 2012 and 2011 was $2,300 and $573, respectively. The Company has no future lease obligations.

Contingencies

From time to time, the Company may be involved in various claims, lawsuits, and disputes with third parties, actions involving allegations of discrimination or breach of contract actions incidental to the normal operations of the business. Company is not currently involved in any litigation which it believes could have a material adverse effect on its financial position or results of operations.

 
Item 2. Management’s Discussion and Analysis of Financial Condition

This Management's Discussion and Analysis of Financial Condition and Results of Operations includes a number of forward-looking statements that reflect Management's current views with respect to future events and financial performance. You can identify these statements by forward-looking words such as “may,” “will,” “expect,” “anticipate,” “believe,” “estimate” and “continue,” or similar words. Those statements include statements regarding the intent, belief or current expectations of us and members of its management team as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risk and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements.

Readers are urged to carefully review and consider the various disclosures made by us in this report and in our other reports filed with the Securities and Exchange Commission. Important factors currently known to Management could cause actual results to differ materially from those in forward-looking statements. We undertake no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes in the future operating results over time. We believe that our assumptions are based upon reasonable data derived from and known about our business and operations. No assurances are made that actual results of operations or the results of our future activities will not differ materially from its assumptions. Factors that could cause differences include, but are not limited to, expected market demand for our services, fluctuations in pricing for materials, and competition.

OVERVIEW

We are a web publisher brand builder focused on developing stand-alone brands that incorporate social networking and reward properties that leverage content, commerce and advertising for the next generation global internet users. We will, when appropriate, acquire properties outright that fit our business model.

The developments of these internet websites have four main stages of development:

Stage One :
The idea and concept stage of a potentially good idea. At this stage a budget and timeline for the property is developed. The size of the market and our plan for integration or exit is established. Additionally the business model is introduced at this level.

Stage Two :
The development of the property is laid out. Site layout and design is established. Logic and user flow and finally site architecture and design are established.

Stage Three :
The site is launched and the operational model is implemented in beta form. We begin to scale some web traffic and begin to test the model. The site is officially launched in the beta stage and can be in a few different versions.

Stage Four :
Full operation stage and the property should now have gone through a couple stages of beta with the model being established, and ready to leave the “beta” stage, to go on to be scaled accordingly.
 
OUR WEB PROPERTIES
 
Sippinit.com
 
SIPPING IT IMAGE
Sippinit.com is an online pop, entertainment and gossip property that will incorporate social networking with entertainment. We have launched this property under www.celebritymagazineonline.com.  The social media capabilities of this property have not been developed and are not expected to be developed any time soon.


Sportsgulp.net
 
SPORTS GULP IMAGE
Sportsgulp.net is a social networking website and gossip channel for sports enthusiasts. The website was launched in 2011. Plans call for the property to pull conventional sports feeds while allowing users a more interactive social networking component whereby the sports community could be more interactive with each other by incorporating social networking tools. The social media capabilities of this property have not been developed and are not expected to be developed any time soon.

Wallst.net and Mywallst.net
 
WALL ST NETWORK IMAGE
We have re-launched wallst.net as a news consumption property, and advertising platform. This aggregates financial news and information from the web.
  
Dahoodbuzz.com

Dahoodbuzz.com, is a news consumption property, and advertising platform. This aggregates hip hop and urban news from the web.

U-Furnish.com

This is a Furniture e-commerce site that we acquired May 31, 2012. U-Furnish.com has been in business providing affordable, modern urban style furniture since 2010. We will be selling the product on line, and rely on a third party drop shipper and manufacturer to fulfill orders to avoid any of the associated expenses that come with production and warehousing product.  Management plans to further build revenue by continuing the ongoing pay per click marketing campaign and expansion of the available product lines. The initial marketing campaign included seven marketing channels. Plans call for an increase in the number of marketing channels to further improve on the click to sale ratio. Management is evaluating the addition of a new line of furniture as well as expanding to home accessories. During the fiscal year ended August 31, 2012 and the quarter ended November 30, 2012, u-furnish generated revenues of $2,528 and $7,652, respectively.
 
Plan of Operations

Management has created a focus on revenue producing website acquisition and build out in the e-commerce space. We believe this category represents meaningful potential. Management continues to look at other e-commerce opportunities as well as it plans to further build out its presence in the e-commerce space. Management continues to evaluate the strategic disposition, and or monetization of existing properties in its portfolio of website properties. We are considering the best ways to maximize the value of our intellectual assets (which include our website properties) and revive revenue, including a number of options ranging from the sale of certain intellectual assets to investing further capital to build out our potentially productive intellectual assets.

 
Results of Operations

Our consolidated results of operations for the three month periods ended November 30, 2012 and 2011 include our wholly-owned subsidiaries WallStreet, Financial Filings Corp., My WallStreet, Inc., and The Wealth Expo Inc. Our subsidiaries are currently inactive.

Revenues

Revenues for the three months ended November 30, 2012 were $7,652 compared to $241 for the three months ended November 30, 2011. Revenues have increased as a result of the acquisition of the U-Furnish.com e-commerce site on May 31, 2012.

Operating Expenses, Other Expense and Other Income

Selling, general, and administrative expenses for the three months ended November 30, 2012 were $56,125 compared to $118,339 for the three months ended November 30, 2011, a decrease of $62,214 (53%). The decrease for the 2012 period resulted primarily from decreases in compensation of approximately $40,000 (due to the resignation of our Chief Executive Officer) and professional fees of approximately $42,000, (primarily from a reduced requirement for legal services), partially offset by increases in consulting fees of approximately $10,000 and other administrative expenses of approximately $10,000.

Depreciation expense for the three months ended November 30, 2012 was $700 compared to $0 for the three months ended November 30, 2011. The increase resulted from the acquisition of an automobile that occurred subsequent to the quarter ended November 30, 2011.

Interest expense for the three months ended November 30, 2012 was $409,026 compared to $328,358 for the three months ended November 30, 2011. The increase in interest expense resulted primarily from an increase in discounts attributable to the conversion features of convertible notes issued.

We recorded a gain of $229,790 related to the change in value of derivative liabilities for the three months ended November 30, 2012 as compared to expense of $1,924,453 for the three months ended November 30, 2011. The decreased derivative liability expense resulted primarily from the changes in the market price of our stock, conversion feature discounts and the fluctuations in market volatility.

We recorded no gain or loss on debt redemption for the three months ended November 30, 2012, compared to gain of $23,714 for the three months ended November 30, 2011. Gain or loss on debt redemption resulted from the issuance of common shares in exchange for services or to pay off debt, based on the fair value of the shares issued as compared to the carrying value of the related debt. The closing price on the date of issuance is used to compute the actual fair market value of our common stock in determining the amount of the gain or loss.
 
Net Loss

We reported a net loss of $228,409 for the three months ended November 30, 2012 compared to a net loss of $2,347,195 for the three months ended November 30, 2011.  We recorded a decrease in net loss for the three months ended November 30, 2012 of $2,118,786 compared to 2011 due to the factors described above.

Liquidity and Capital Resources

Cash and cash equivalents were $181,269 at November 30, 2012 compared to $32,734 at August 31, 2012. As shown in the accompanying unaudited condensed consolidated financial statements, we recorded a net loss of $228,409 for the three months ended November 30, 2012 compared to a loss of $2,347,195 for the same period in 2011. Our current liabilities exceeded our current assets by $7,195,450 at November 30, 2012 and net cash used in operating activities for the three months ended November 30, 2012 was $51,465. These factors and our ability to meet our debt obligations from current operations, and the need to raise additional capital to accomplish our objectives raise substantial doubt about our ability to continue as a going concern.
 
We expect significant capital expenditures during the next 12 months, contingent upon raising capital. These anticipated expenditures are for website development, assets additions, administrative overheads and working capital requirements. We do not have sufficient funds to conduct our operations for more than six months and we estimate that we will need an infusion of capital of approximately $500,000 to fund our anticipated operations for the next 12 months, depending on revenues from operations. We have no contracts or commitments for additional funds and there can be no assurance that financing will be available in amounts or on terms acceptable to us, if at all.

We presently do not have any available credit, bank financing or other external sources of liquidity. Due to our historical operating losses, our operations have not been a source of liquidity. We will need to obtain additional capital in order to expand operations and become profitable. In order to obtain capital, we may need to sell additional shares of our common stock or borrow funds from private lenders. There can be no assurance that we will be successful in obtaining additional funding.
 
To the extent that we raise additional capital through the sale of equity or convertible debt securities, the issuance of such securities may result in dilution to existing stockholders. If additional funds are raised through the issuance of debt securities, these securities may have rights, preferences and privileges senior to holders of common stock and the terms of such debt could impose restrictions on our operations. Regardless of whether our cash assets prove to be inadequate to meet our operational needs, we may seek to compensate providers of services by issuance of stock in lieu of cash, which may also result in dilution to existing shareholders. Even if we are able to raise the funds required, it is possible that we could incur unexpected costs and expenses, fail to collect significant amounts owed to us, or experience unexpected cash requirements that would force us to seek alternative financing.

 
Whereas we have been successful in the past in raising capital, no assurance can be given that these sources of financing will continue to be available to us and/or that demand for our equity/debt instruments will be sufficient to meet our capital needs, or that financing will be available on terms favorable to us. If funding is insufficient at any time in the future, we may not be able to take advantage of business opportunities or respond to competitive pressures, or may be required to reduce the scope of our planned service development and marketing efforts, any of which could have a negative impact on our business and operating results. In addition, insufficient funding may have a material adverse effect on our financial condition, which could require us to:

-
curtail operations significantly;
-
sell significant assets;
-
seek arrangements with strategic partners or other parties that may require the company to relinquish significant rights to products, technologies or markets; or
-
explore other strategic alternatives including a merger or sale of our company.
 
To finance our operations, we have issued a number of convertible debentures.  Our outstanding convertible debentures are as follows:

February 2010 Debt Conversion

On February 1, 2010, we entered into an exchange agreement with Greystone Capital Partners, Inc. (“Greystone”), pursuant to which Greystone exchanged a $491,400 promissory note for a $491,400 convertible debenture (the “Greystone Debenture”).  The Greystone Debenture does not accrue interest and matured on February 1, 2011.  Greystone has the right to convert all or a portion of the principal into shares of our common stock at a conversion price equal to forty percent (40%) of the average of the closing bid price of our common stock during the five (5) trading days immediately preceding the conversion date as quoted by Bloomberg, LP.  As of January 14, 2013, $58,469 of principal face value of the Greystone Debenture remains outstanding.

Greystone Private Placement

On July 2, 2010, we entered into two Securities Purchase Agreements with Greystone providing for the sale to Greystone of (i) a convertible debenture in the principal amount of $50,000 (the “First Debenture”) and (ii) a convertible debenture in the principal amount of $20,000 (the “Second Debenture”, and together with the First Debenture, the “Greystone Debentures”). The Debentures matured on the first anniversary of the date of issuance (the “Maturity Date”) and bear interest at the annual rate of 10%.  

Greystone may convert, at any time, the outstanding principal and accrued interest on the First Debenture into shares of Common Stock at a conversion price per share equal to the lesser of (i) forty percent (40%) of the lowest closing price of the Common Stock during the 10 trading days immediately preceding the Conversion Date as quoted by Bloomberg, LP or (ii) forty percent (40%) of the closing price of the Common Stock on July 2, 2010.

Greystone may convert, at any time, the outstanding principal and accrued interest on the Second Debenture into Common Stock at a conversion price per share equal to the lesser of (i) thirty-five percent (35%) of the lowest closing price of the Common Stock during the 10 trading days immediately preceding the Conversion Date as quoted by Bloomberg, LP or (ii) thirty-five percent (35%) of the closing price of the Common Stock on July 2, 2010.  As of January 14, 2013, the entire principal face value of the Greystone Debentures remains outstanding.

Lotus Financing

On July 14, 2010, the Company entered into a Securities Purchase Agreement with Lotus Funding Group, LLC, an accredited investor (“Lotus ”), providing for the sale by the Company to Lotus of a 10% convertible debenture in the principal amount of $55,000 (the “Lotus Debenture”).
The Lotus Debenture matured on the first anniversary of the date of issuance (the “Lotus Maturity Date”) and bears interest at the annual rate of 10%.  

Lotus may convert, at any time, the outstanding principal and accrued interest on the Lotus Debenture into shares of the Company’s Common Stock at a conversion price per share equal to the lesser of (i) forty percent (40%) of the lowest closing price of the Common Stock during the 10 trading days immediately preceding the conversion date as quoted by Bloomberg, LP or such other quotation service as mutually agreed to by the parties or (ii) $0.408.

Lotus has agreed to restrict its ability to convert the Lotus Debenture and receive shares of the Company’s Common Stock such that the number of shares of common stock held by Lotus in the aggregate and its affiliates after such conversion or exercise does not exceed 4.99% of the then issued and outstanding shares of the Company’s Common Stock. As of January 14, 2013, $23,100 of principal face value of the Lotus Debenture remains outstanding.
 


July 2010 IIG Financing I

On July 26, 2010, we entered into a securities purchase agreement, as amended on January 5, 2011, with IIG Management LLC, an accredited investor (“IIG”), providing for the sale by us to IIG of a 10% convertible debenture in the principal amount of $205,000 (the “IIG Debenture I”).

The IIG Debenture I matured on the first anniversary of the date of issuance and bears interest at the annual rate of 10%.  IIG may convert, at any time, the outstanding principal and accrued interest on the IIG Debenture I into shares of our common stock at a conversion price per share equal to the lesser of (i) thirty-five percent (35%) of the lowest closing price of the Common Stock during the 10 trading days immediately preceding the Conversion Date as quoted by Bloomberg, LP or such other quotation service as mutually agreed to by the parties or (ii) $0.3465.  As of January 14, 2013, the entire principal face value of the IIG Debenture I remains outstanding.

Assurance Financing

On December 10, 2010, we entered into a securities purchase agreement with Assurance Funding Solutions, LLC, an accredited investor (“Assurance”), providing for the sale by us to Assurance of a 10% convertible debenture in the principal amount of $55,000 (the “Assurance Debenture”).

The Assurance Debenture matured on the first anniversary of the date of issuance and bears interest at the annual rate of 10%.   Assurance may convert, at any time, the outstanding principal and accrued interest on the Assurance Debenture into shares of our common stock at a conversion price per share equal to the lesser of (i) thirty five percent (35%) of the average of the closing bid price of our common stock during the five (5) trading days immediately preceding the conversion date as quoted by Bloomberg, LP or (ii) $0.0336.  Subsequently, the Assurance  Debenture was sold to Flyback, LLC.  As of January 14, 2013, $41,108 of principal face value of the Assurance Debenture remains outstanding.
  
IIG Financing II

On January 5, 2011, we entered into a securities purchase agreement with IIG providing for the sale by us to IIG of a 10% convertible debenture in the principal amount of $55,000 (the “Second IIG Debenture”).

The Second IIG Debenture matured on the first anniversary of the date of issuance and bears interest at the annual rate of 10%.  IIG may convert, at any time, the outstanding principal and accrued interest on the Second IIG Debenture into shares of our common stock at a conversion price per share equal to the lesser of (i) thirty-five percent (35%) of the lowest closing price of our common stock during the 10 trading days immediately preceding the conversion date as quoted by Bloomberg, LP or such other quotation service as mutually agreed to by the parties or (ii) $0.0175. As of January 14, 2013, the entire principal face value of the Second IIG Debenture remains outstanding.

Asher Financing II

On January 28, 2011, the Company entered into a Securities Purchase Agreement with Asher Enterprises, Inc. (“Asher”), providing for the sale by the Company to Asher of an 8% convertible debenture in the principal amount of $32,500 (the “Asher II Debenture”). The Asher II Debenture was amended on February 9, 2011 to allow us to prepay the Asher II Debenture within the first 180 days after issuance.  The Asher II Debenture matured on November 2, 2011 (the “Asher II Maturity Date”) and bears interest at the annual rate of 8%.  

Asher may convert, at any time, the outstanding principal and accrued interest on the Asher II Debenture into shares of Common Stock at a conversion price per share equal to fifty percent (50%) of the average of the three (3) lowest closing bid prices of the Common Stock during the 10 trading days immediately preceding the conversion date.

Asher agreed to restrict its ability to convert the Asher II Debenture and receive shares of the Company’s Common Stock such that the number of shares of Common Stock held by Asher in the aggregate and its affiliates after such conversion or exercise does not exceed 4.99% of the then issued and outstanding shares of the Company’s Common Stock.  

Subsequently, the Asher II Debenture was sold to IIG. As of January 14, 2013, the entire principal face value of the Asher II Debenture remains outstanding.

Greystone Financing

On February 17, 2011, the Company entered into a Securities Purchase Agreement with Greystone providing for the sale by the Company to the Investor of a 10% convertible debenture in the principal amount of $30,500 (the “Second Greystone Debenture”).  The Second Greystone Debenture matured on the first anniversary of the date of issuance (the “Second Greystone Maturity Date”) and bears interest at the annual rate of 10%.  

Greystone may convert, at any time, the outstanding principal and accrued interest on the Second Greystone Debenture into shares of Common Stock at a conversion price per share equal to the lesser of (i) thirty-five percent (35%) of the lowest closing price of the Common Stock during the 10 trading days immediately preceding the Conversion Date as quoted by Bloomberg, LP or such other quotation service as mutually agreed to by the parties or (ii) $0.00875. As of January 14, 2013, the entire principal face value of the Second Greystone Debenture remains outstanding.

IIG Financing III

On March 7, 2011, the Company entered into a Securities Purchase Agreement with IIG providing for the sale by the Company to IIG of a 10% convertible debenture in the principal amount of $130,000 (the “Third IIG Debenture”). The Third IIG Debenture matured on the first anniversary of the date of issuance (the “Third IIG Maturity Date”) and bears interest at the annual rate of 10%.  

IIG may convert, at any time, the outstanding principal and accrued interest on the Third IIG Debenture into shares of the Company’s Common Stock at a conversion price per share equal to the lesser of (i) thirty-five percent (35%) of the lowest closing price of the Common Stock during the 10 trading days immediately preceding the conversion date as quoted by Bloomberg, LP or such other quotation service as mutually agreed to by the parties or (ii) $0.00525.

IIG has agreed to restrict its ability to convert the Third IIG Debenture and receive shares of the Company’s Common Stock such that the number of shares of common stock held by IIG in the aggregate and its affiliates after such conversion or exercise does not exceed 4.99% of the then issued and outstanding shares of the Company’s Common Stock. As of January 14, 2013, the entire principal face value of the Third IIG Debenture remains outstanding.

Flyback Financing

On September 21, 2011, the Company entered into a Securities Purchase Agreement (the “Purchase Agreement”) with Flyback, LLC, an accredited investor (“Flyback”), providing for the sale by the Company to the Investor of a 10% convertible debenture in the principal amount of $300,000 (the “Flyback Debenture”). The Flyback Debenture matures on March 20, 2013 (the “Flyback Maturity Date”) and bears interest at the annual rate of 10%. The Company is not required to make any payments until the Flyback Maturity Date although the Company has the ability to repay the Flyback Debenture at any time without penalty upon five days prior written notice to Flyback.

Flyback may convert, at any time, the outstanding principal and accrued interest on the Flyback Debenture into shares of the Company’s Common Stock at a conversion price per share equal to fifty percent (50%) of the average of the closing prices of the Common Stock during the five trading days immediately preceding the date of conversion as quoted by Bloomberg, LP or such other quotation service as mutually agreed to by the parties. Flyback has agreed to restrict its ability to convert the Flyback Debenture and receive shares of Common Stock such that the number of shares of Common Stock held by Flyback in the aggregate and its affiliates after such conversion or exercise does not exceed 4.99% of the then issued and outstanding shares of the Company’s Common Stock. As of January 14, 2013, the entire principal face value of the Flyback Debenture remains outstanding.

Millennium Financing

On August 28, 2012, the Company entered into a Securities Purchase Agreement with Millennium Investment Realty, an accredited investor (“Millennium”), providing for the sale by the Company to Millennium of a 10% convertible debenture in the principal amount of $50,000 (the “Millennium Debenture”). The Millennium Debenture matures on February 28, 2014 (the “Millennium Maturity Date”) and bears interest at the annual rate of 10%. The Company is not required to make any payments until the Millennium Maturity Date although the Company has the ability to repay the Millennium Debenture at any time without penalty upon five days prior written notice to Millennium.

Millennium may convert, at any time, the outstanding principal and accrued interest on the Millennium Debenture into shares of the Company’s Common Stock at a conversion price per share equal to fifty percent (50%) of the average of the closing prices of the Common Stock during the ten trading days immediately preceding the date of conversion as quoted by Bloomberg, LP or such other quotation service as mutually agreed to by the parties. Millennium has agreed to restrict its ability to convert the Millennium Debenture and receive shares of Common Stock such that the number of shares of Common Stock held by Millennium in the aggregate and its affiliates after such conversion or exercise does not exceed 4.99% of the then issued and outstanding shares of the Company’s Common Stock. As of January 14, 2013, the entire principal face value of the Millennium Debenture remains outstanding.

 
Milstein Financing

On October 26, 2012, the Company entered into a Securities Purchase Agreement with Monroe Milstein, an accredited investor (“Milstein”), providing for the sale by the Company to Milstein of a 10% convertible debenture in the principal amount of $200,000 (the “Milstein Debenture”). The Milstein Debenture matures on October 26, 2014 (the “Milstein Maturity Date”) and bears interest at the annual rate of 10%. The Company is not required to make any payments until the Milstein Maturity Date although the Company has the ability to repay the Milstein Debenture at any time without penalty upon five days prior written notice to Milstein.

Milstein may convert, at any time, the outstanding principal and accrued interest on the Milstein Debenture into shares of the Company’s Common Stock at a conversion price per share equal to fifty percent (50%) of the lowest closing price of the Common Stock during the ten trading days immediately preceding the date of conversion as quoted by Bloomberg, LP or such other quotation service as mutually agreed to by the parties. Milstein has agreed to restrict its ability to convert the Milstein Debenture and receive shares of Common Stock such that the number of shares of Common Stock held by Milstein in the aggregate and its affiliates after such conversion or exercise does not exceed 4.99% of the then issued and outstanding shares of the Company’s Common Stock. As of January 14, 2013, the entire principal face value of the Milstein Debenture remains outstanding.

Operating Activities

Net cash used in operating activities for the three months ended November 30, 2012 was $51,465 which resulted primarily from a net loss of $228,409, which was offset by non-cash items for amortization of debt discount of $366,089 and depreciation of $700, such non-cash expenses partially offset by non-cash change in fair value of derivative liability of convertible notes of $229,790. We also had a net increase in accounts payable and accrued expenses of $39,945.

Net cash used in operating activities for the three months ended November 30, 2011 was $113,503 which resulted primarily from a net loss of $2,347,195, which was offset by non-cash items for amortization of debt discount of $293,083 and change in fair value of derivative liability of convertible notes of $1,924,453, such non-cash expenses partially offset by non-cash gain on conversion of debt of $23,714. We also had a net increase in accounts payable and accrued expenses of $39,870.

Financing Activities

Net cash provided by financing activities was $200,000 for the three months ended November 30, 2012, from the sale of a convertible note.

Net cash provided by financing activities was $274,725 for the three months ended November 30, 2011. We received $300,000 in proceeds from the sale of a convertible note and repaid $25,275 of notes.

As a result of the above activities, we experienced a net increase in cash of $148,535 during the three months ended November 30, 2012 compared to an increase of $161,222 during the three months ended November 30, 2011. Our ability to continue as a going concern is still dependent on our success in obtaining additional financing from investors or through the sale of convertible debentures.

Application of Critical Accounting Policies

Revenue Recognition

Revenue is recorded on the basis of services provide to our clients, and is recognized when a formal arrangement exists, the price is fixed or determinable, the delivery is completed, no other significant obligations of the Company exist and collectability is reasonably assured. Payments received before all of the relevant criteria for revenue recognition are satisfied are recorded as unearned revenue.
 
Our primary source of revenue was from our U-Furnish.com e-commerce site which was acquired on May 31, 2012. The revenue is recorded on a net basis. 

Stock-Based Compensation

The costs of all employee stock options, as well as other equity-based compensation arrangements, are reflected in the consolidated financial statements based on the estimated fair value of the awards on the grant date. That cost is recognized over the period during which an employee is required to provide service in exchange for the award—the requisite service period (usually the vesting period). Stock compensation for stock granted to non-employees is determined as the fair value of the consideration received or the fair value of equity instruments issued, whichever is more reliably measured.

Derivatives
 
Derivative instruments are recognized as either assets or liabilities and are measured at fair value. The accounting for changes in the fair value of a derivative depends on the intended use of the derivative and the resulting designation.

Recent Accounting Pronouncements
   
Recent accounting pronouncements issued by the FASB (including its Emerging Issues Task Force), the AICPA, and the SEC did not or are not believed by management to have a material impact on the Company's present or future financial statements.
 
Item 3. Quantitative and Qualitative Disclosures about Market Risk

Not required under Regulation S-K for “smaller reporting companies.”
 
Item 4. Controls and Procedures

(a) Evaluation of disclosure controls and procedures.

Our management, with the participation of our chief executive officer and chief financial officer, evaluated the effectiveness of our disclosure controls and procedures pursuant to Rule 13a-15 under the Securities Exchange Act of 1934 as of November 30, 2012. In designing and evaluating the disclosure controls and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives. In addition, the design of disclosure controls and procedures must reflect the fact that there are resource constraints and that management is required to apply its judgment in evaluating the benefits of possible controls and procedures relative to their costs.

Based on our evaluation, our chief executive officer and chief financial officer concluded that, as of November 30, 2012, our disclosure controls and procedures are designed at a reasonable assurance level and are effective to provide reasonable assurance that information we are required to disclose in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in Securities and Exchange Commission rules and forms, and that such information is accumulated and communicated to our management, including our chief executive officer and chief financial officer, as appropriate, to allow timely decisions regarding required disclosure.

(b) Changes in internal control over financial reporting.

There were no changes in our internal control over financial reporting that occurred during the quarter ended November 30, 2012 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

 
 


 
 
PART II - OTHER INFORMATION

Item 1. Legal Proceedings

Except as disclosed below, there are no legal proceedings to which we are a party or to which any of our property is subject, and to the best of our knowledge, no such actions against us is contemplated or threatened.

PR Newswire Association, Inc. vs. Financial Filings Corporation, Digital Wall Street, Inc. and WallStreet Direct, Inc., Superior Court of New Jersey, Hudson County, Civil Division #5, Docket No. L-878-09. On February 12, 2009, PR Newswire filed litigation against us and our subsidiaries to pay $74,194.60 for services provided by PR Newswire. A judgment was entered against us in the amount of $74,194.60 and said amount remains unpaid.

Adon Networks, Inc. vs. Wall Street Direct, Inc., Superior Court of Arizona in and for the County of Maricopa County Civil Action  #CV2009-00035.   On February 4, 2009, Adon Networks filed an action to collect $41,966 in amounts due for services provided to Wall Street Direct.  A judgment was entered against us in the amount of $41,966 and said amount remains unpaid.
 
Renaissance Hotel Management Company, LLC vs. Financial Media Group, Inc., Cook County Court, Illinois, First Municipal District, Case No. 08M110495.   On January 22, 2008, litigation claiming $20,250 from us was commenced under the above-entitled action. On September 10, 2008, a judgment was entered against us in the amount of $14,371.87 and said amount remains unpaid.

  CBS Outdoors, Inc. vs. Financial Media Group, Inc., New York City Civil Court Index No. CV-003947-08/NY. On March 27, 2008, a Stipulation of Settlement was entered between CBS Outdoors and us for a sum of $16,800. A default judgment in the amount of $17,794.85 was entered against us on October 16, 2008.

Dow Jones & Company, Inc. DBA Dow Jones Marketwatch as successor in interest to Marketwatch, Inc. vs. Financial Media Group, Inc. Et. Al., Superior Court of California, County of Orange, Case No. 30-2208 00112726. On September 30, 2008, Dow Jones filed a complaint for a breach of contract against us for failing to pay $42,000 in licensing fees for using Marketwatch’s financial information and analytical tools relating to securities pursuant to the terms as required by the License and Service Agreement. On March 4, 2009, a judgment for $48,162.40 was awarded in favor of Dow Jones, and said amount remains unpaid. We plan to contest the judgment if a settlement is not reached as services were supplied to a subsidiary. On November 15, 2010, the Company agreed to settle judgment and paying $2,000 per month until the amount is paid in full. The Company is not current in these payments.

Elite Financial Communications Group, LLC vs. Financial Media Group, Inc., Superior Court of California, County of Orange, Case No. 30-20090012358. On May 22, 2009, Elite Financial Communications Group, LLC filed a complaint for a breach of contract against us for failing to pay for Investor Relations Services. On October 1, 2009, a judgment for $61,293 was awarded in favor of Elite Financial Communications, and the amount remains unpaid. The balance has been included in current liability on the accompanying consolidated financial statements.

TPF Partners vs. Financial Media Group, Inc., Superior Court of California, County of Orange, Case No. 30-2010-00363315. On April 15, 2010, TPF filed a complaint for a unlawful retainer against us for unpaid rent, late charges and other amounts in the sum of $28,061.56, as of March 12, 2010. On June 25, 2010, a default judgment was awarded in favor of TPF Partners, which judgment was not paid. On May 22, 2012, an amended complaint was filed for damages of $79,134.89.  On August 14, 2012, TPF Partners made a motion for an entry of default judgment against us in the amount of $88,682.72.

Item 1A. Risk Factors

Not required under Regulation S-K for “smaller reporting companies.” 
 
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

None.
 
Item 5. Other Information

None.

 
Item 6. Exhibits




101 INS
XBRL Instance Document*

101 SCH
XBRL Taxonomy Extension Schema Document*

101 CAL
XBRL Taxonomy Calculation Linkbase Document*

101 LAB
XBRL Taxonomy Labels Linkbase Document*

101 PRE
XBRL Taxonomy Presentation Linkbase Document*

101 DEF
XBRL Taxonomy Extension Definition Linkbase Document*
 
*
Users of this data are advised pursuant to Rule 406T of Regulation S-T that this interactive data file is deemed not filed or part of a registration statement or prospectus for purposes of sections 11 or 12 of the Securities Act of 1933, is deemed not filed for purposes of section 18 of the Securities Exchange Act of 1934, and otherwise is not subject to liability under these sections.
 




In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 
CLICKER INC.
 
       
Date: January 22, 2013
By:
/s/  WILLIS ARNDT, JR.
 
   
Willis Arndt, Jr.
 
   
Chief Executive Officer (Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer)
 
  
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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