EX-99.3 3 v04555_ex99-3.txt EXHIBIT 99.3 UNAUDITED PRO FORMA COMBINED FINANCIAL STATEMENTS PACIFIC TECHNOLOGY, INC. AND SUBSIDIARY PRO FORMA COMBINED FINANCIAL STATEMENTS On April 22, 2004, we entered into a Share Exchange Agreement with Iempower, Inc. and its stockholders dated as of April 13, 2004 pursuant to which we agreed to acquire all the outstanding capital stock of Iempower. The Share Exchange will be accounted for as a reverse merger under the purchase method of accounting. Accordingly, Iempower, Inc. will be treated as the continuing entity for accounting purposes and the historical financial statements presented will be those of Iempower. The accompanying unaudited pro forma condensed consolidated balance sheet as of March 31, 2004 has been presented as if the acquisition had occurred on March 31, 2004. The unaudited pro forma condensed consolidated statements of operations for the year ended December 31, 2003 and for the three months ended March 31, 2004 have been presented as if the acquisition had occurred January 1, 2003. The unaudited pro forma condensed consolidated statements do not necessarily represent the actual results that would have been achieved had the companies been combined at the beginning of the year, nor may they be indicative of future operations. These unaudited pro forma condensed financial statements should be read in conjunction with the companies' respective historical financial statements and notes included thereto. See "The Company's Financial Statements" and "Iempower's Financial Statements' in the Company's Information Statement on Schedule 14C dated June 14, 2004 and filed with the Securities and Exchange Commission on June 15, 2004 under "Financial and Other Information." PACIFIC TECHNOLOGY, INC. AND SUBSIDIARY (FORMERLY DR PROTEIN.COM, INC.) UNAUDITED PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET MARCH 31, 2004
PACIFIC TECHNOLOGIES, IEMPOWER, (1) INC. INC. NOTE ADJUSTMENTS PRO FORMA ----------- ----------- ------ ----------- ----------- Current Assets: Cash and cash equivalents $ 126,839 $ 16,810 A $ (126,839) $ 16,810 Accounts receivable - net 11,256 -- A (11,256) -- Inventory 24 -- A (24) -- Prepaid expenses and other -- 2,001 A -- 2,001 ----------- ----------- ------ ----------- ----------- Total Current Assets 138,119 18,811 (138,119) 18,811 Fixed assets, net of depreciation 2,583 10,026 A (2,583) 10,026 ----------- ----------- ------ ----------- ----------- TOTAL ASSETS $ 140,702 $ 28,837 $ (140,702) $ 28,837 =========== =========== ====== =========== =========== LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) Current Liabilities: Accounts payable and accrued expenses $ 67,096 $ 11,651 A $ (67,096) $ 11,651 Short term advances, convertible notes 110,000 30,500 A (110,000) 30,500 ----------- ----------- ------ ----------- ----------- Total Current Liabilities 177,096 42,151 (177,096) 42,151 ----------- ----------- ------ ----------- ----------- Stockholders' Equity (Deficit): Preferred Stock, $.001 par value; 5,000,000 and 3,000,000 shares authorized and 0; issued and outstanding -- 900 A (900) -- Common Stock, $.001 par value; 50,000,000 and 22,100,000 shares authorized and 12,925,000 and 15,250,000 issued and outstaning 12,925 10,300 A (7,975) 15,250 Additional paid-in capital 29,786 438,800 (33,836) 434,750 Accumulated deficit (79,105) (463,314) 79,105 (463,314) ----------- ----------- ------ ----------- ----------- TOTAL STOCKHOLDERS' (DEFICIT) (36,394) (13,314) 36,394 (13,314) ----------- ----------- ------ ----------- ----------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 140,702 $ 28,837 $ (140,702) $ 28,837 =========== =========== ====== =========== ===========
(1) Represents reverse merger showing Iempower, Inc. only. See notes to unaudited pro forma financial statements PACIFIC TECHNOLOGY, INC. AND SUBSIDIARY (FORMERLY DR PROTEIN.COM, INC.) UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS FOR THE YEAR ENDED DECEMBER 31, 2003
PACIFIC TECHNOLOGIES, INC. IEMPOWER, INC. NOTE ADJUSTMENTS PRO FORMA ------------------ --------------- ------ ------------- ------------- OPERATING REVENUES Revenue $ 189,551 $ 2,406 A $ (189,551) $ 2,406 ------------------ --------------- ------------- OPERATING EXPENSES Cost of sales 153,180 -- A (153,180) -- General and administrative expenses 67,896 48,633 A (67,896) 48,633 Depreciation and amortization 837 1,547 A (837) 1,547 ------------------ --------------- ------------- TOTAL OPERATING EXPENSES 221,913 50,180 50,180 ------------------ --------------- ------------- NET LOSS (32,362) (47,774) (47,774) OTHER LOSS Unrealized loss on investment -- (1,500) (1,500) ------------------ --------------- ------------- TOTAL OTHER LOSS -- (1,500) (1,500) ------------------ --------------- ------------- NET LOSS BEFORE PROVISION FOR INCOME TAXES (32,362) (49,274) (49,274) Provision for income taxes -- -- -- ------------------ --------------- ------------- NET LOSS APPLICABLE TO COMMON SHARES $ (32,362) $ (49,274) $ (49,274) ================== =============== ============= NET LOSS PER BASIC AND DILUTED SHARES $ (0.003) $ (0.005) $ (0.003) ================== =============== ============= WEIGHTED AVERAGE OF COMMON SHARES OUTSTANDING 12,925,000 10,300,000 15,250,000 ================== =============== =============
See notes to unaudited pro forma financial statements PACIFIC TECHNOLOGY, INC. AND SUBSIDIARY (FORMERLY DR PROTEIN.COM, INC.) UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31, 2004
PACIFIC TECHNOLOGIES, INC. IEMPOWER, INC. NOTE ADJUSTMENTS PRO FORMA ------------------ ---------------- ------ ------------- ------------- OPERATING REVENUES Revenue $ 26,194 $ 932 A $ (26,194) $ 932 ------------------ ---------------- ------------- OPERATING EXPENSES Cost of sales 20,882 - A (20,882) -- General and administrative expenses 35,638 20,270 A (35,638) 20,270 Depreciation and amortization 279 468 A (279) 468 ------------------ ---------------- ------------- TOTAL OPERATING EXPENSES 56,799 20,738 20,738 ------------------ ---------------- ------------- NET LOSS (30,605) (19,806) (19,806) OTHER LOSS Unrealized loss on investment -- (1,500) (1,500) ------------------ ---------------- ------------- TOTAL OTHER LOSS -- (1,500) (1,500) ------------------ ---------------- ------------- NET LOSS BEFORE PROVISION FOR INCOME TAXES (30,605) (21,306) (21,306) Provision for income taxes -- - -- ------------------ ---------------- ------------- NET LOSS APPLICABLE TO COMMON SHARES $ (30,605) $ (21,306) $ (21,306) ================== ================ ============= NET LOSS PER BASIC AND DILUTED SHARES $ (0.002) $ (0.001) $ (0.001) ================== ================ ============= WEIGHTED AVERAGE OF COMMON SHARES OUTSTANDING 12,925,000 15,250,000 15,250,000 ================== ================ =============
See notes to unaudited pro forma financial statements Notes: A. To record the issuance of stock and recapitilization of the Company.