0001104659-01-502253.txt : 20011009 0001104659-01-502253.hdr.sgml : 20011009 ACCESSION NUMBER: 0001104659-01-502253 CONFORMED SUBMISSION TYPE: 8-K/A PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20010719 ITEM INFORMATION: Acquisition or disposition of assets ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20011003 FILER: COMPANY DATA: COMPANY CONFORMED NAME: E SYNERGIES INC CENTRAL INDEX KEY: 0001109664 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-BUSINESS SERVICES, NEC [7389] IRS NUMBER: 912021595 STATE OF INCORPORATION: CA FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: 8-K/A SEC ACT: 1934 Act SEC FILE NUMBER: 000-30071 FILM NUMBER: 1751331 BUSINESS ADDRESS: STREET 1: 827 STATE ST. #14 CITY: SANATA BARBARA STATE: CA ZIP: 93101 BUSINESS PHONE: 8058991299 FORMER COMPANY: FORMER CONFORMED NAME: RUSSIAN CAVIAR COM DATE OF NAME CHANGE: 20000320 8-K/A 1 j1761_8ka.htm 8-K/A Prepared by MerrillDirect


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K/A

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report: July 19, 2001

 

e-Synergies, inc.
(Exact name of registrant as specified in its charter)

 

California
(State or other jurisdiction of incorporation)

 

3 Corporate Plaza, Suite 250, Newport Beach, CA.  92660
(Address of principal executive offices)

 

91-2021595
IRS Employer I.D. No.

 

Registrant's telephone number, including area code (949) 219-0169



Item 1.  Changes in Control of Registrant.
Not applicable.

Item 2.  Acquisition or Disposition of Assets.

This Form 8-K/A is an amendment to the Form 8-K filed on August 3, 2001, relating to the purchase by e-Synergies, inc. ("e-Synergies") of substantially all of the operating assets and assumption of certain liabilities of Worldwide Xceed Group, Inc. as approved by the United States Bankruptcy Court for the Northern District of Illinois on July 19, 2001.  A copy of the Asset Purchase Agreement was included with the Form 8-K filed on August 3, 2001.  The purpose of this amendment is to file the proforma consolidated financial statements of e-Synergies for the nine months ended May 31, 2001 and the year ended August 31, 2000.

Item 3.  Bankruptcy or Receivership.
Not applicable.

Item 4.  Changes in Registrant’s Certifying Accountant.
Not applicable.

Item 5.  Other Events and Regulation FD Disclosure.
Not applicable.

Item 6.  Resignations of Registrant’s Directors
Not applicable.

Item 7.  Financial Statements and Exhibits.

E-SYNERGIES, INC.

UNAUDITED PRO FORMA CONSOLIDATED FINANCIAL STATEMENTS

             On July 3, 2001, e-Synergies, inc. (e-Synergies) purchased substantially all of the operating assets and assumed certain liabilities of Worldwide Xceed Group, Inc.(Xceed) through an Asset Purchase Agreement.  On July 19, 2001, the United States Bankruptcy Court for the Northern District of Illinois approved the agreement, and, subsequently, e-Synergies assigned the assets to e-Synergies Xceed, Inc., a wholly-owned subsidiary of e-Synergies, and e-Synergies Xceed, Inc. also agreed to pay the liabilities assumed by e-Synergies under the agreement.

             The following unaudited pro forma consolidated financial statements present the effect of the transaction with Xceed on a purchase basis.  The unaudited pro forma consolidated balance sheet presents the financial position of e-Synergies and Xceed as of May 31, 2001, assuming that the purchase was consummated as of September 1, 1999 based on the historical balance sheet of e-Synergies and the assets purchased and liabilities assumed as of July 3, 2001.

             The unaudited pro forma consolidated statements of operations give effect to the purchase by combining the historical statements of operations of e-Synergies and Xceed for the nine months ended May 31, 2001 and the year ended August 31, 2000 with necessary adjustments.  For purposes of preparing this pro forma information, the transaction was assumed to be consummated at the beginning of the preceding fiscal year and at the beginning of the current fiscal year.  These unaudited pro forma consolidated financial statements should be read in conjunction with the historical financial statements.

             The unaudited pro forma consolidated financial statements are presented for illustrative purposes only and are not necessarily indicative of the operating results or financial position that would have occurred if the merger had been consummated for the periods noted, nor are they necessarily indicative of future operating results or financial position.

(a)         Exhibits

Exhibit No. Description of Exhibit
   
1 Pro forma consolidated financial statements of e-Synergies, inc. for the nine months ended May 31, 2001 and the year ended August 31, 2000.

 

__________________

 

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 hereunto duly authorized.

Dated: October 2, 2001

    e-Synergies, inc.,
    a California corporation
     
     
  By: /s/ Thomas Ronk
     
    Thomas Ronk, President

 

EX-1 3 j1761_ex1.htm EX-1 Prepared by MerrillDirect
E-SYNERGIES, INC.
PRO FORMA CONSOLIDATED BALANCE SHEET
AS OF MAY 31, 2001
             
 (Unaudited)
 
  e-Synergies, Inc.
Consolidated
  Xceed Acquisition   Pro forma Consolidating Entries   Pro forma
e-Synergies, Inc.
   
 
 
 
 
   
                   
ASSETS  
                   
Current Assets                  
  Cash $ 172,218   $ -   $ -   $ 172,218    
  Accounts receivable (net) 299,512   3,500,000   -   3,799,512    
  Due from affiliate 13,100   -   -   13,100    
  Prepaid expenses 1,350   73,801   -   75,151    
  Other current assets 36,640   -   -   36,640    
 
 
 
 
   
  Total current assets 522,820   3,573,801   -   4,096,621    
 
 
 
 
   
                   
Property and Equipment (net) 410,145   1,098,295   -   1,508,440    
 
 
 
 
   
                   
Other Assets                  
  Investment in HealthStar Corp. 1,662,500   -   -   1,662,500    
  Intangible assets (net) 210,855   1,489,700 (1) (279,319 ) 1,421,236    
  Refundable deposits 3,113   666,524   -   669,637    
 
 
 
 
   
  Total Other Assets 1,876,468   2,156,224   (279,319 ) 3,753,373    
 
 
 
 
   
                   
Total Assets $ 2,809,433   $ 6,828,320   $ (279,319 ) $ 9,358,434    
 
 
 
 
   
                   
                   
                   
                   
LIABILITES AND STOCKHOLDERS' EQUITY  
                   
Current Liabilities                  
  Bank overdraft $ 62,034   $ -   $ -   $ 62,034    
  Accounts payable and accrued expenses 1,023,286   97,052   -   1,120,338    
  Accrued payroll and related expenses -   421,648   -   421,648    
  Current portion of long-term debt 18,127   -   -   18,127    
  Due to Affiliate 741,809   -   -   741,809    
  Notes payable, bank -   3,000,000   -   3,000,000    
  Loans payable 46,429   -   -   46,429    
  Taxes withheld from wages 91,663   -   -   91,663    
  Other current liabilities 63,563   -   -   63,563    
 
 
 
 
   
  Total current liabilities 2,046,911   3,518,700   -   5,565,611    
 
 
 
 
   
                   
Long-Term Debt, net of current maturities 26,123   -   -   26,123    
 
 
 
 
   
                   
Minority Interest in Subsidiary (135,600 ) -   -   (135,600 )  
 
 
 
 
   
                   
Total Liabilities 1,937,434   3,518,700   -   5,456,134    
 
 
 
 
   
                   
Stockholders' Equity                  
  Common stock 155   -   -   155    
  Additional paid-in-capital 4,466,166   -   -   4,466,166    
  Retained earnings (3,667,509 ) 3,309,620   (279,319 ) (637,208 )  
  Accumulated other comprehensive income 73,187   -   -   73,187    
 
 
 
 
   
  Total Stockholders' equity 871,999   3,309,620   (279,319 ) 3,902,300    
 
 
 
 
   
                   
Total Liabilities and Stockholders' Equity $ 2,809,433   $ 6,828,320   $ (279,319 ) $ 9,358,434    
 
 
 
 
   
   

(1)   To record the amortization of the intangible asset recorded as a result of the Xceed acquisition ($1,489,700) over a four year period.

 

E-SYNERGIES. INC.
 PRO FORMA CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE NINE MONTHS ENDED MAY 31, 2001
             
(Unaudited)
             
    e-Synergies, Inc.
Consolidated
  Xceed
Acquisition
  Pro forma
Consolidating
Entries
  Pro forma
e-Synergies, Inc.
Consolidated
   
   

 

 

 

   
                     
  Revenues $ 1,470,139   $ 18,215,378   $ -   $ 19,685,517    
   
 
 
 
   
                     
  Operating Expenses:                  
    Cost of products sold 899,336   -   -   899,336    
    Direct expenses 1,011,028   10,611,963   -   11,622,991    
    Selling, general and administrative 1,946,277   8,155,449   -   10,101,726    
    Depreciation and amortization 131,799   6,711,928 (1) 279,319   7,123,046    
   
 
 
 
   
    3,988,440   25,479,340   279,319   29,747,099    
   
 
 
 
   
                     
  Operating Loss (2,518,301 ) (7,263,962 ) (279,319 ) (10,061,582 )  
   
 
 
 
   
                     
  Other Income (Expense):                  
    Interest and dividend income -   68,112   -   68,112    
    Interest expense (28,773 ) (5,383 ) -   (34,156 )  
    Loss from write-off of worthless investment in securities (251,000 ) -   -   (251,000 )  
    Miscellaneous income 9,134   107,614   -   116,748    
   
 
 
 
   
    (270,639)   170,343   -   (100,296 )  
   
 
 
 
   
                     
  Loss from continuing operations (2,788,940 ) (7,093,619 ) (279,319 ) (10,161,878 )  
                     
  Discontinued Operations                  
    Loss from operations of disposed subsidiary (219,822 ) -   -   (219,822 )  
   
 
 
 
   
                     
  Loss Before Minority Interest and Extraordinary Item (3,008,762 ) (7,093,619 ) (279,319 ) (10,381,700 )  
                     
  Minority Interest In Loss of Subsidiary 105,261   -   -   105,261    
   
 
 
 
   
                     
  Income Before Extrodinary Item (2,903,501 ) (7,093,619 ) (279,319 ) (10,276,439 )  
                     
  Extraordinary Item                  
    Gain on sale of subsidiary, net of tax 1,085,850   -   -   1,085,850    
   
 
 
 
   
                     
  Net Income (Loss) $ (1,817,651 ) $ (7,093,619 ) $ (279,319 ) $ (9,190,589 )  
   
 
 
 
   
                     
  Basic and Diluted Net Loss Per Common Share:                  
    Income (loss) before extraordinary item $ (2.16 )         $ (7.39 )  
    Extraordinary item 0.78           0.78    
   
         
   
    $ (1.38 )         $ (6.61 )  
   
         
   
                     
  Weighted Average Number of Common Shares Outstanding 1,390,762           1,390,762    
   
         
   

 

E-SYNERGIES, INC.
 PRO FORMA CONSOLIDATED BALANCE SHEET
AS OF AUGUST 31, 2000
           
(Unaudited)
           
    e-Synergies, Inc. Consolidated   Xceed Acquisition   Pro forma Consolidating Entries   Pro forma  e-Synergies, Inc. Consolidated    
   
 
 
 
   
                     
  ASSETS  
                     
  Current Assets                  
    Cash $ 339,478   $ -   $ -   $ 339,478    
    Accounts receivable (net) 545,007   3,500,000   -   4,045,007    
    Unbilled services 168,819   -   -   168,819    
    Prepaid expenses 17,170   73,801   -   90,971    
    Miscellaneous receivables 57,995   -   -   57,995    
    Other current assets 12,271   -   -   12,271    
   
 
 
 
   
    Total current assets 1,140,740   3,573,801   -   4,714,541    
   
 
 
 
   
                     
  Property And Equipment (net) 433,777   1,098,295   -   1,532,072    
   
 
 
 
   
                     
  Other Assets                  
    Intangible assets (net) 242,165   1,489,700   (372,425 ) 1,359,440    
    Investments 250,314   -   -   250,314    
    Due from affiliates 142,503   -   -   142,503    
    Other assets 26,291   666,524   -   692,815    
   
 
 
 
   
    Total Other Assets 661,273   2,156,224   (372,425 ) 2,445,072    
   
 
 
 
   
                     
  Total Assets $ 2,235,790   $ 6,828,320   $ (372,425 ) $ 8,691,685    
   
 
 
 
   
                     
                     
                     
  LIABILITES AND STOCKHOLDERS' EQUITY  
                     
  Current Liabilities                  
    Accounts payable and accrued expenses $ 1,337,028   $ 518,700   $ -   $ 1,855,728    
    Short-term bank borrowings 94,186   -   -   94,186    
    Current portion of long-term debt 24,597   -   -   24,597    
    Notes payable - bank -   3,000,000   -   3,000,000    
    Due to affiliates 110,490   -   -   110,490    
    Loans payable 7,097   -   -   7,097    
    Taxes withheld from wages 109,935   -   -   109,935    
    Deferred revenues 93,010   -   -   93,010    
    Other current liabilities 22,080   -   -   22,080    
   
 
 
 
   
    Total current liabilities 1,798,423   3,518,700   -   5,317,123    
   
 
 
 
   
                     
  Long-Term Debt, net of current maturities 143,053   -   -   143,053    
   
 
 
 
   
                     
  Minority Interest in Subsidiaries (16,992 ) -   -   (16,992 )  
   
 
 
 
   
                     
   
 
 
 
   
  Total Liabilities 1,924,484   3,518,700   -   5,443,184    
   
 
 
 
   
                     
  Stockholders' Equity                  
    Common stock 8,570   -   -   8,570    
    Additional paid-in-capital 3,238,431   -   -   3,238,431    
    Retained earnings (2,917,526 ) 3,309,620   (372,425 ) 19,669    
    Accumulated other comprehensive income (18,169 ) -   -   (18,169 )  
   
 
 
 
   
    Total stockholders' equity 311,306   3,309,620   (372,425 ) 3,248,501    
   
 
 
 
   
                     
  Total Liabilities and Stockholders' Equity $ 2,235,790   $ 6,828,320   $ (372,425 ) $ 8,691,685    
   
 
 
 
   
           

(1)   To record the amortization of the intangible asset recorded as a result of the Xceed acquisition ($1,489,700) over a four year period.

 

E-SYNERGIES, INC.
PRO FORMA CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE YEAR ENDED AUGUST 31, 2000
             
(Unaudited)
             
    e-Synergies, Inc. Consolidated   Xceed Acquisition   Proforma Consolidating Entries   Pro forma
e-Synergies, Inc.
Consolidated
   
   

 

 

 

   
                     
  Revenues $ 4,338,415   $ 81,940,417   $ -   $ 86,278,832    
                     
  Operating Expenses:                  
    Cost of products sold 992,493   -   -   992,493    
    Cost of revenues 2,725,344   48,055,742   -   50,781,086    
    Selling, general and administrative 2,228,518   28,747,660   -   30,976,178    
    Depreciation and amortization 114,915   1,166,993 (1) 372,425   1,654,333    
   
 
 
 
   
    6,061,270   77,970,395   372,425   84,404,090    
   
 
 
 
   
                     
  Operating Income (Loss) (1,722,855 ) 3,970,022   (372,425 ) 1,874,742    
   
 
 
 
   
                     
  Other Income (Expense):                  
    Equity earnings on investment (686 ) -   -   (686 )  
    Miscellaneous income 7,531   (2,645,406 ) -   (2,637,875 )  
    Interest expense (61,626 ) (82,002 ) -   (143,628 )  
   
 
 
 
   
    (54,781)   (2,727,408 ) -   (2,782,189 )  
   
 
 
 
   
                     
  Income (Loss) Before Income Taxes and Minority Interest (1,777,636 ) 1,242,614   (372,425 ) (907,447 )  
                     
  Minority Interest In Income of Subsidiaries (12,150 ) -   -   (12,150 )  
   
 
 
 
   
                     
  Income (Loss) Before Income Taxes (1,789,786 ) 1,242,614   (372,425 ) (919,597 )  
                     
  Provision for Income Taxes -   53,096       53,096    
   
 
 
 
   
                     
  Net Income (Loss) $ (1,789,786 ) $ 1,189,518   $ (372,425 ) $ (972,693 )