EX-99.1 5 qumi_ex991.htm UNAUDITED PROFORMA CONDENSED CONSOLIDATED FINANCIAL STATEMENTS qumi_ex991.htm
EXHIBIT 99.1

QUAMTEL INC.
UNAUDITED PROFORMA CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 
The following unaudited proforma condensed consolidated financial statements were derived from and should be read in conjunction with the historical consolidated financial statements and related notes of the Company for the year ended December 31, 2009 as contained in the Company's Annual Report on Form 10-K filed on March 31, 2010.
 
On August 21, 2010, the Company closed a Membership Interest Purchase Agreement entered into and effective August 18, 2010 (the “Purchase Agreement”) to acquire all of the outstanding membership interests of Syncpointe, LLC, a Missouri limited liability company (“Syncpointe”) from Half A Minute, LLC; McPheeters Communication Group, LLC; and VKS, LLC (collectively, the “Sellers”).
 
The Company acquired Syncpointe in exchange for 1,000,000 shares of Company’s unregistered common stock with piggyback registration rights.  The Sellers may receive earn-out payments equal to 12.5% of Syncpointe’s net income (as defined in the Purchase Agreement) for a period of 18 months as it operates as a division of the Company.

The unaudited pro forma condensed consolidated financial statements assume that the Purchase Agreement was consummated as of the earliest dates presented in these statements.
 
The unaudited pro forma condensed consolidated financial statements have been prepared based on currently available information and assumptions that are deemed appropriate by the Company's management. The pro forma information is for informational purposes only and is not intended to be indicative of the actual results that would have been reported had the transaction occurred on the dates indicated, nor does the information represent a forecast of the financial condition or results of operation of the Company for any future period.
 
 
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Quamtel, Inc.
 Unaudited Proforma Condensed Consolidated Statement of Operations
 For the Nine Months Ended September 30, 2010
 
   
Quamtel, Inc
    
Syncpointe, LLC
    
Adjustments
    
Post-Acquisition
  
                         
 Revenues
   $ 1,660,308     $ -           $ 1,660,308  
                               
 Cost of sales
     1,355,694       -             1,355,694  
                               
 Gross profit
     304,614       -       -       304,614  
                                 
 Operating expenses:
                                
 Compensation, consulting and related expenses
     3,827,279       183,750               4,011,029  
 General and administrative expenses
     1,411,462       89,372               1,500,834  
 Depreciation and amortization
     98,756       8,344               107,100  
      Total operating expenses
     5,337,497       281,466       -       5,618,963  
                                 
 Loss from operations before income taxes
     (5,032,883 )     (281,466 )     -       (5,314,349 )
                                 
 Other expense:
                                
 Loss on disposition of assets
     73,761       -               73,761  
 Interest and financing expense
     113,242       94,355       (94,355 ) (1)     113,242  
       Total other expense
     187,003       94,355       (94,355 )     187,003  
                                 
Loss before income taxes
     (5,219,886 )     (375,821 )     94,355       (5,501,352 )
                                 
Income tax expense (benefit)
     -       -       -       -  
                                 
Net loss
   $ (5,219,887 )   $ (375,821 )   $ 94,355     $ (5,501,352 )
                                 
                                 
 Basic and diluted loss per share:
                                
                                 
 Loss from operations before income taxes
   $ (0.27 )                   $ (0.27 )
 Income tax expense (benefit)
     -                       -  
                                 
 Loss per share
   $ (0.27 )                   $ (0.27 )
                                 
 Weighted average number of shares outstanding
     19,093,158               1,000,000 (2)     20,093,158  
 
 
 See accompanying notes to unaudited proforma condensed consolidated statement of operations.

 
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Quamtel, Inc.
 Unaudited Proforma Condensed Consolidated Statement of Operations
 For the Nine Months Ended September 30, 2009
 
   
Quamtel, Inc
    
Syncpointe, LLC
    
Adjustments
    
Post-Acquisition
  
                         
 Revenues
   $ 1,897,100     $ 59,000           $ 1,956,100  
                               
 Cost of sales
     1,206,289       -             1,206,289  
                               
 Gross profit
     690,811       59,000       -       749,811  
                                 
 Operating expenses:
                                
 Compensation, consulting and related expenses
     1,432,192       477,208               1,909,400  
 General and administrative expenses
     653,442       520,823               1,174,265  
 Depreciation and amortization
     57,812       8,167               65,979  
      Total operating expenses
     2,143,446       1,006,198       -       3,149,644  
                                 
 Loss from operations before income taxes
     (1,452,635 )     (947,198 )     -       (2,399,833 )
                                 
 Other expense:
                                
 Loss on disposition of assets
     -       -               -  
 Interest and financing expense
     14,732       50,263       (50,263 ) (1)     14,732  
       Total other expense
     14,732       50,263       (50,263 )     14,732  
                                 
Loss before income taxes
     (1,467,367 )     (997,461 )     50,263       (2,414,565 )
                                 
Income tax expense (benefit)
     (971 )     -       -       (971 )
                                 
Net loss
   $ (1,466,396 )   $ (997,461 )   $ 50,263     $ (2,413,594 )
                                 
                                 
 Basic and diluted loss per share:
                                
                                 
 Loss from operations before income taxes
   $ (0.09 )                   $ (0.14 )
 Income tax expense (benefit)
     (0.00 )                     (0.00 )
                                 
 Loss per share
   $ (0.09 )                   $ (0.14 )
                                 
 Weighted average number of shares outstanding
     16,497,090               1,000,000 (2)     17,497,090  
 

See accompanying notes to unaudited proforma condensed consolidated statement of operations.
 
 
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QUAMTEL, INC.
NOTES TO UNAUDITED PROFORMA CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
 
 
 (1) Adjustment to Interest Expense

Syncpointe’s notes payable were eliminated in conjunctions with the Membership Interest Purchase Agreement.  Related proforma interest expense was also eliminated as of the earliest period presented.
 
 (2) Adjustment to Common Shares
 
The 1,000,000 common shares issued in conjunctions with the Membership Interest Purchase Agreement were added to the proforma weighted average number of shares outstanding.
 
 
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