-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, IatXqOXG2cgfIlH1amuZ3S6s+ez1hoTMFCsCjjUMkgj5rFbq/+73g/SXCMRTakk4 pvyIeWUfO9ivSBc/93gZWg== /in/edgar/work/20000821/0000950148-00-001859/0000950148-00-001859.txt : 20000922 0000950148-00-001859.hdr.sgml : 20000922 ACCESSION NUMBER: 0000950148-00-001859 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20000630 FILED AS OF DATE: 20000821 FILER: COMPANY DATA: COMPANY CONFORMED NAME: TEAM COMMUNICATIONS GROUP INC CENTRAL INDEX KEY: 0001035700 STANDARD INDUSTRIAL CLASSIFICATION: [7822 ] IRS NUMBER: 954519215 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10QSB SEC ACT: SEC FILE NUMBER: 000-23307 FILM NUMBER: 707054 BUSINESS ADDRESS: STREET 1: 11818 WILSHIRE BLVD. STREET 2: SUITE # 200 CITY: LOS ANGELES STATE: CA ZIP: 90025 BUSINESS PHONE: (310) 312-4400 MAIL ADDRESS: STREET 1: 12300 WILSHIRE BLVD STREET 2: #400 CITY: LOS ANGELES STATE: CA ZIP: 90025 10QSB 1 e10qsb.txt FORM 10-QSB 1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-QSB [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 OR [ ] 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: 1-6739 TEAM COMMUNICATIONS GROUP, INC. (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER) CALIFORNIA 95-4519215 ------------------ ------------------ (STATE OR OTHER JURISDICTION OF (I.R.S. EMPLOYER INCORPORATION OR ORGANIZATION) IDENTIFICATION NO.) 12300 WILSHIRE BOULEVARD, SUITE 400 LOS ANGELES, CALIFORNIA 90025 - ----------------------------------------------------------- --------- (ADDRESS OF PRINCIPAL EXECUTIVE OFFICES) (ZIP CODE) REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (310) 312-4400 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 [ ] On August 14, 2000, the registrant had outstanding 14,141,339 shares of Common Stock, no par value. 2 TEAM COMMUNICATIONS GROUP, INC. CONSOLIDATED BALANCE SHEET (UNAUDITED)
30-June 2000 ------------ ASSETS Cash and cash equivalents $ 1,584,800 Short term investments 10,327,300 Trade receivables, net allowance of doubtful accounts of $560,000 15,162,300 Television programming costs, net accumulated amortization of $25,172,500 47,592,700 Fixed assets, net 2,020,100 Goodwill 1,061,000 Prepaid and other assets 1,487,600 ------------ Total Assets $ 79,235,800 ============ LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable, accrued expenses and other liabilities $ 7,222,100 Deferred taxes 2,913,000 Deferred revenue 1,025,400 Accrued participations 4,266,900 Line of credit 3,522,000 Notes payable 1,191,100 Accrued interest 80,200 ------------ Total Liabilities 20,220,700 ------------ Commitments and contingencies Shareholders' equity: Preferred stock, no par value; 10,000,000 shares authorized; no shares issued and outstanding -- Common stock, no par value; 40,000,000 shares authorized; 14,008,741 issued and outstanding 1,000 Paid in capital 55,930,600 Accumulated other comprehensive income (175,000) Retained earnings 3,258,500 ------------ Total shareholders' equity 59,015,100 ------------ Total liabilities and shareholders' equity $ 79,235,800 ============
The accompanying notes are an integral part of these consolidated financial statements. 3 TEAM COMMUNICATIONS GROUP, INC. CONSOLIDATED STATEMENT OF OPERATIONS (UNAUDITED)
FOR THE 6 MONTHS FOR THE 6 MONTHS FOR THE 3 MONTHS FOR THE 3 MONTHS ENDED ENDED ENDED ENDED JUNE 30, 2000 JUNE 30, 1999 JUNE 30, 2000 JUNE 30, 1999 --------------------------------------------------------------------------- Revenues $19,463,600 $ 7,019,900 $12,897,300 $ 3,517,900 Cost of Revenues 14,640,600 4,136,200 9,212,600 1,575,000 General and administrative expense 2,399,300 1,039,000 1,673,900 653,400 --------------------------------------------------------------------------- Earnings from operations 2,423,700 1,844,700 2,010,800 1,289,500 Interest expense 35,200 280,100 11,000 128,800 Interest income 402,600 69,600 191,400 37,700 --------------------------------------------------------------------------- Earnings before income taxes 2,791,100 1,634,200 1,945,300 1,198,400 Provision for income taxes 1,144,400 581,700 898,400 494,700 --------------------------------------------------------------------------- Earnings before extraordinary item $ 1,646,700 $ 1,052,500 $ 1,292,800 $ 703,700 =========================================================================== Extraordinary loss from early extinguishment of debt (net of income tax benefit of $37,500) -- 248,200 -- 248,200 --------------------------------------------------------------------------- Net Earnings (loss) $ 1,646,700 $ 804,300 $ 1,292,800 $ 455,500 =========================================================================== Earnings (loss) per common share basic Earnings before extraordinary item $ 0.12 $ 0.29 $ 0.09 $ 0.18 Extraordinary loss -- (0.07) -- (0.06) --------------------------------------------------------------------------- Net Earnings (loss) $ 0.12 $ 0.22 $ 0.09 $ 0.11 =========================================================================== Weighted average number of shares outstanding basic 13,578,597 3,577,593 13,920,141 4,005,718 =========================================================================== Earnings (loss) per share diluted Earnings before extraordinary item $ 0.11 $ 0.22 $ 0.08 $ 0.13 Extraordinary loss -- (0.05) -- (0.05) --------------------------------------------------------------------------- Net Earnings (loss) $ 0.11 $ 0.17 $ 0.08 $ 0.09 =========================================================================== Weighted average number of shares outstanding diluted 14,830,412 4,762,511 15,233,039 5,334,870 ===========================================================================
The accompanying notes are an integral part of these consolidated financial statements. 4 TEAM COMMUNICATIONS GROUP, INC. CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)
FOR THE 6 MONTHS FOR THE 6 MONTHS ENDED ENDED JUNE 30, 2000 JUNE 30, 1999 ------------ ------------ OPERATING ACTIVITIES: Net income $ 1,646,700 $ 804,300 Adjustments to reconcile net income to cash used for operating activities: Depreciation and amortization 143,000 6,000 Amortization of television programming costs 15,020,600 4,136,200 Allowance for doubtful accounts 164,200 - Additions to television programming costs (34,842,700) (9,883,700) Amortization of notes payable discount - 17,500 Warrants issued in exchange for services 171,800 Changes in assets and liabilities: Decrease (increase) in trade receivables 3,104,100 (2,744,900) Increase in Other assets (736,600) (617,800) Increase (decrease) in accounts payable, accrued expenses and other liabilities (1,618,300) 4,634,400 Increase (decrease) in deferred revenue 466,000 (387,300) Increase in accrued participations 495,400 745,700 Increase (decrease) in accrued interest 48,100 65,100 Foreign currency translation (149,100) -- ------------ ------------ Net cash used for operating activities (16,086,700) (3,224,500) ------------ ------------ INVESTING ACTIVITIES: Purchase of fixed assets (1,535,400) (19,600) Purchase of available for sale securities (10,327,300) Decrease (increase) in due from officer 170,400 (25,000) ------------ ------------ Net cash provided (used) for investing activities (11,692,300) (44,600) ------------ ------------ FINANCING ACTIVITIES: Proceeds from issuance of note payable and warrants 1,037,300 2,100,000 Payments on line of credit 3,172,000 (264,000) Principal payment on loan due to shareholder - (50,000) Issuance of common stock 4,065,800 3,358,100 Sale treasury stocks - 34,600 Extraordinary charge for early retirement of debt - 248,200 Principal payment of notes payable - (2,247,900) ------------ ------------ Net cash provided by financing activities 8,275,100 3,179,000 ------------ ------------ Net change in cash (19,503,900) (90,100) Cash at beginning of period 21,088,700 1,027,700 ------------ ------------ Cash at end of period $ 1,584,800 $ 937,600 ============ ============
The accompanying notes are an integral part of these consolidated financial statements. 5 TEAM COMMUNICATIONS GROUP, INC. CONSOLIDATED STATEMENT OF CASH FLOWS SUPPLEMENTAL SCHEDULE ON NON-CASH ACTIVITIES (UNAUDITED)
Issuance of shares in connection with the acquisition of film rights $ 912,000 $ -- Issuance of shares and warrants in connection with services provided to the Company $ 171,700 $ 1,235,900 Issuance of shares in connection with extinguishment of debt -- 1,146,300
The accompanying notes are an integral part of these consolidated financial statements 6 TEAM COMMUNICATIONS GROUP, INC. CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (UNAUDITED)
Common Stock --------------------------- Number Paid in Comprehensive Accumulated of Shares Par Value Capital Loss (Deficit) ---------- ----------- ----------- ------------- ----------- Balance at December 31, 1999 12,895,509 $ 1,000 $51,693,000 $ (26,000) $ 1,611,800 Net Income for the six months ended June 30, 2000 -- -- -- -- 1,646,700 Issuance of stock Acquisition of Film Rights 128,572 -- 912,000 -- -- Issuance of warrants -- -- 171,800 -- -- Exercise of warrants and options 984,660 -- 3,153,800 -- -- Foreign currency translation adjustment -- -- -- (149,000) -- ----------- ----------- ----------- ----------- ----------- Balance at June 30, 2000 14,008,741 $ 1,000 $55,930,600 $ (175,000) $ 3,258,500 =========== =========== =========== =========== ===========
The accompanying notes are an integral part of these consolidated financial statements 7 TEAM COMMUNICATIONS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NOTE 1 -- BASIS OF PREPARATION-SIGNIFICANT ACCOUNTING POLICIES: The accompanying unaudited financial statements have been prepared in accordance with generally accepted accounting principles for interim financial statements. Accordingly, they do not include all of the information and disclosures required for annual financial statements. These financial statements should be read in conjunction with the financial statements and related footnotes for the year ended December 31, 1999, included in the TEAM Communications Group, Inc. ("Company") financial report in the Company's 10-KSB. In the opinion of the Company's management, all adjustments (consisting of normal recurring accruals) necessary to present fairly the Company's financial position as of June 30, 2000, and the results of operations and cash flows for the six month period ended June 30, 2000 have been included. The results of operations for the three and six month periods ended June 30, 2000, are not necessarily indicative of the results to be expected for the full fiscal year. For further information, refer to the financial statements and footnotes thereto included in the Company's 10-KSB filed for the year ended December 31, 1999. The preparation of financial statements in conformity with generally accepted accounting principles requires management to make 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. The Company recognizes revenues from licensing agreements covering entertainment product when the product is available to the licensee for telecast, exhibition or distribution, and other conditions of the licensing agreements have been met in accordance with Statement of Financial Accounting Standards ("SFAS") No. 53, "Financial Reporting by Producers and Distributors of Motion Picture Films." The Company, as required by SFAS No. 53, values its film cost at the lower of unamortized cost or net realizable value on an individual title basis. Film costs represent those costs incurred in the development, production and distribution of television projects. These costs 8 have been capitalized in accordance with SFAS No. 53. Amortization of film cost is charged to expense and third party participation are accrued using the individual film forecast method whereby expense is recognized in the proportion that current period revenues bear to an estimate of ultimate revenues. These estimates of revenues are prepared and reviewed periodically by management. In June 2000, the FASB rescinded FASB Statement No. 53, Financial Reporting by Producers and Distributors of Motion Picture Films which was replaced by Statement of Position, SOP 00-02. An entity that previously was subject to the requirements of SFAS No. 53 will now follow the guidance in the Statement of Position, "Accounting by Producers and Distributors if Films." This Statement of Position will be effective financial statements for fiscal years beginning after December 15, 2000 and could have a significant impact on our results of operations and financial position depending on its final outcome. We have not concluded on its impact. Short-term investments: The Company accounts for short-term investments in accordance with statement of Financial Accounting Standards (SFAS) No. 115 "Accounting for Certain Investments in Debt and Equity Securities". The Company's short-term investments, all of which are classified as available-for-sale as defined by SFAS No. 115, consist primarily of corporate bonds. Pursuant to SFAS No. 115, such investments are stated at market value, and unrealized gains and losses on such securities are reflected, net of tax, in shareholders' equity. NOTE 2 -- SHORT-TERM INVESTMENTS: It is the Company's intent to maintain a liquid portfolio to take advantage of investment opportunities; therefore, all securities are considered to be available-for-sale. Short-term investments as of June 30, 2000 consist of:
Gross Unrealized Holding (Losses) Cost Gains Fair Value - ------------------------------------------------------------------------------------------------------------- Corporate bonds and other $10,344,700 (17,400) 10,327,300
Maturities of short-term investments at June 30, 2000 were as follows: 9
Cost Fair Value - -------------------------------------------------------------------------------------------- Due within one year.............................. $ 9,617,500 $ 9,601,100 Due after one year through five years........... 727,200 726,200 - -------------------------------------------------------------------------------------------- $10,344,700 $10,327,300 - --------------------------------------------------------------------------------------------
NOTE 3 -- TELEVISION PROGRAM COSTS: Television program costs as of June 30, 2000, consist of the following: In process and development $ 851,800 Released, less accumulated amortization 46,740,900 ----------- Total television program costs $47,592,700 =========== NOTE 4 -- LITIGATION AND CONTINGENCIES: In the ordinary course of business, the Company has or may become involved in disputes or litigation. On the basis of information available to it, management believes such contingencies will not have a materially adverse impact on the Company's financial position or results of operations. 10 NOTE 5 -- LINE OF CREDIT: The Company maintains a revolving line of credit with Paine Webber. The credit line is up to $7,500,000. As of June 30, 2000, the outstanding balance of the line of credit was $3,522,000. The line of credit is secured by the Company's investment account at Paine Webber of approximately $10,327,300. NOTE 6 --- NOTES PAYABLE: Notes payable consists primarily of one note originated in June 2000 when the Company obtained a loan in the amount of $1,000,000 from Mercantile National Bank. The loan carries interest at prime plus 0.25% or currently at 9.75% and matures June 17, 2002. This loan is secured by substantially all the assets of the Company. NOTE 7 -- RELATED PARTY TRANSACTIONS: As a consequence of the Company's October 1999 acquisition of Dandelion, certain receivables resulting from sales made prior to the acquisition are now considered due from related parties for financial reporting purposes. In June 1999 the Company entered into a five year license agreement for certain territories including the UK of 20 made-for-television movies with Renown Pictures, Ltd., a UK company owned by Noel Cronin, formerly the owner of Dandelion. At June 30, 2000 the receivable due from Renown was $725,000. Noel Cronin is also a director of String of Pearls Plc. In September 1999, the Company entered into a ten year license agreement for certain European territories including Germany, France and Italy, of 20 made-for-television movies with String of Pearls Plc. At June 30, 2000, the receivable due from String of Pearls Plc. was $3,085,000. Mr. Cronin has personally guaranteed the obligation of String of Pearls Plc. and pledged $1,875,000 in escrow, which is owed to him by the Company from the Company's acquisition of Dandelion. 11 ITEM 2-MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL POSITION AND RESULTS OF OPERATIONS This Management's Discussion and Analysis of Financial Conditions and Results of Operations contains certain "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Such statements relating to future events and financial performance are forward-looking statements involving risks and uncertainties that are detailed from time to time in our various Securities and Exchange Commission filings. Our actual results could differ materially from those anticipated in these forward-looking statements as a result of uncontrollable factors. The following discussion should be read in conjunction with the Consolidated Financial Statements and Notes thereto appearing elsewhere in this 10-QSB. RESULTS OF OPERATIONS For the three months ended June 30, 2000, the Company reported a net income of approximately $1,292,800 on total revenues of approximately $12,897,300 compared to net income of approximately $455,500 on total revenues of approximately $3,517,900 for the same period ended June 30, 1999. Net income increased by approximately $837,300 for the three months ended June 30, 2000, versus the three months ended June 30, 1999, primarily due to the sale of certain rights of a library of twenty-nine movie of the week titles and continuing revenue from "Total Recall 2070" which is airing in syndication in the United States. Revenue for the period ended June 30, 2000 included approximately $6,690,000 on the sale of certain broadcast rights for movies of the week included in the acquired library and $3,950,000 from the syndication of "Total Recall 2070". Revenue for the period ended June 30, 1999, included approximately $3,300,000 on the sale of certain European broadcast rights for movies of the week included in a previously acquired library. Cost relating to revenues was $9,212,600 for the three months ended June 30, 2000 as compared to $1,575,000 for the three months ended June 30, 1999. The costs relate to amortization of production or acquisition costs of television programming for which revenue was recognized during the period. Gross profit margin on sales of television programming for the three months end June 30, 2000 was 29 percent compared to 55 percent for the period ended June 30, 1999. The decrease in gross profit margin as a percentage of revenue is due to the Company in 2000 concentrating on sales of newly produced programming, i.e. "Total Recall 2070" and "Call of the Wild", which is more expensive and has less of a sales history to demonstrate significant future sales cycles; therefore, has a higher amortization of production costs as compared to the older product which was responsible for most of the revenue in 1999. 12 General and administrative expense increased to $1,673,900 for the three months ended June 30, 2000 from $653,400 for the same period in 1999. The increase in general and administrative expenses are a result of an increase in expenses for staff of approximately $350,000 primarily for production and development, approximately $360,000 in general and administrative expenses associated with the newly acquired Team Dandelion in the U.K., approximately $300,000 in new expenses related to investor relations primarily due to the Company's expanded investor base in Europe resulting from the German Offering in November 1999. In 1999, the Company had incurred an extraordinary loss of $248,200 related to the conversion of $850,000 in debt to common stock. For the three months ended June 30, 2000, the Company incurred and capitalized approximately $115,000 in interest on debt related to production. This is compared to $128,800 incurred and expensed for the three months ended June 30, 1999. In the first six months of 1999, the Company had no production in process. For the six months ended June 30, 2000, the Company reported a net income of approximately $1,747,600 on total revenues of approximately $19,463,600 compared to net income of approximately $804,300 on total revenues of approximately $7,019,900 for the same period ended June 30, 1999. Net income increased by approximately $943,300 for the six months ended June 30, 2000, versus the six months ended June 30, 1999, primarily due to the sale of certain rights of Company's library of movie of the week titles. Revenue for the period ended June 30, 2000 included approximately $6,690,000 on the sales of certain broadcast rights for movies of the week included in the Company's acquired library and approximately $5,150,000 on the U.S. syndication of "Total Recall 2070". Cost relating to revenues was $14,640,600 for the six months ended June 30, 2000 as compared to $4,136,200 for the six months ended June 30, 1999. The costs relate to amortization of production costs of television programming for which revenue was recognized during the period. Gross profit margin on sales of television programming for the six months end June 30, 2000 was 25 percent compared to 41 percent for the period ended June 30, 1999. The lower gross profit margin for the six months ended June 30, 2000 was due to the Company selling more expensive television drama programming, such as "Total Recall 2070" and "Call of the Wild", produced and owned by the Company and its partners as opposed to distributing more reality based programming and programming previously produced and acquired by the Company in the six months ended June 30, 1999. General and administrative expense is $2,399,300 for the six months ended June 30, 2000 compared to $1,039,000 for the same period in 1999. The 2000 General and administrative 13 costs increased $450,000 due to the increase in staff salaries primarily in production and development, an increase of approximately $600,000 associated with the new U.K. operations of Team Dandelion and approximately $300,000 in new expenses related to investor relations primarily in Europe resulting from the Company's German Offering in November 1999. In 1999, the Company had incurred an extraordinary loss of $248,200 related to the conversion of $850,000 in debt to common stock. For the six months ended June 30, 2000, the Company incurred approximately $150,000 in interest and capitalized approximately $115,000 in interest on debt related to production. This is compared to $280,100 incurred and expensed for the six months ended June 30, 1999. In the first six months of 1999, the Company had no production in process. The reduction in the amount of interest incurred by the Company is due to retirement of debt in 1999. Receivables at June 30, 2000 were $15,162,300, approximately $13,000,000 of which are from entities domiciled outside the United States. These international receivables represent approximately 17% of the total assets of the Company. LIQUIDITY AND CAPITAL RESOURCES Primarily as a result of our German Offering in December 1999, we have a liquidity surplus of approximately $10.8 million at June 30, 2000. We define liquidity surplus as: o cash and cash equivalents, investments and accounts receivable (net), less o accounts payable, accrued expenses and other liabilities,taxes, deferred revenue, accrued participations, notes payable due within one year, line of credit and accrued interest. We continue to finance our operations from our own sales and production activities, equity financing, notes payables and lines of credit. On December 2, 1999, we completed the sale of 6,150,000 shares of our common stock, 150,000 shares of which were sold by and for the account of a selling shareholder, in the German Offering. The German Offering was underwritten by Gontard & MetallBank AG and a group of associated underwriters. The offering price was $6.21 per share. The net proceeds to us were approximately $31.5 million after deducting underwriting fees 14 and estimated offering expenses. Approximately $9.4 million of the net proceeds have been used to repay all of our outstanding indebtedness. We are involved in a financing transaction with Imperial Bank with respect to "Call of the Wild" which closed in the third quarter of 2000. Pursuant to that transaction, we will defer all of our distribution fees of "Call of the Wild" until Imperial Bank's loan has been repaid. The Company continues to pursue alternative financing for production and under the terms of such financing the Company will defer a significant portion if not all of our distribution fees until the facilities have been reimbursed. We currently have a liquidity surplus of approximately $10.8 million, however, as the entertainment industry is highly capital intensive we continue to pursue and work toward financing alternatives and search for additional capital. We also continue to explore a variety of other financial alternatives to increase our working capital, including obtaining a significant production line of credit with a commercial bank, or pursuing other types of debt or equity financing. No assurance can be given that such financing can ultimately be obtained or that it will be on reasonably attractive terms. RECENT ACCOUNTING PRONOUNCEMENTS In June 2000, the FASB rescinded FASB Statement No. 53, Financial Reporting by Producers and Distributors of Motion Picture Films which was replaced by Statement of Position, SOP 00-02. An entity that previously was subject to the requirements of SFAS No. 53 will now follow the guidance in the Statement of Position, "Accounting by Producers and Distributors if Films." This Statement of Position will be effective financial statements for fiscal years beginning after December 15, 1999 and could have a significant impact on our results of operations and financial position depending on its final outcome. We have not concluded on its impact. 15 PART II - OTHER INFORMATION Item 1 - Legal Proceedings In the ordinary course of business, the Company has or may become involved in disputes or litigation. On the basis of information available to it, management believes such contingencies will not have a materially adverse impact on the Company's financial position or results of operations. Item 6 - Exhibits and Reports on Form 8-K Exhibits 27 Financial Data Schedule Form 8-K None 16 SIGNATURES Pursuant to the requirements of Section 13 or 15(d) 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. Dated: August 21, 2000 TEAM COMMUNICATIONS GROUP, INC. By: /s/ DREW S. LEVIN ------------------------------ Drew S. Levin Chairman of the Board of Directors and Chief Executive Officer EX-27 2 ex27.txt FINANCIAL DATA SCHEDULE
5 6-MOS DEC-31-2000 JAN-01-2000 JUN-30-2000 1,584,800 10,327,300 15,722,300 560,000 47,592,700 27,074,400 2,187,800 167,700 79,235,800 16,307,700 1,000,000 0 0 1,000 58,869,000 79,235,800 19,463,600 14,640,600 17,039,900 0 0 35,200 402,600 2,791,100 1,144,400 1,646,700 0 0 0 1,646,700 .12 .11
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