10QSB 1 0001.txt 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 September 30, 2000 ----------------------------------------------- ( )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 0-7473 ------------------------------------------------------- AMEXDRUG CORPORATION ---------------------------------------------------------- (Exact name of registrant as specified in charter) California 95-2251025 ----------------------------------- -------------- (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 369 South Doheny Dr., Suite 326, Beverly Hill, Ca. 90211 ----------------------------------------------------- ------------------ (Address of principal executive offices) (Zip Code) 1-310-855-0475 --------------------- Registrant's telephone number, including area code (Former name, former address, and former fiscal year, if changed since last report.) 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), Yes [x ] No [ ] and (2) has been subject to such filing requirements for the past 90 days. Yes [x ] No [ ] APPLICABLE ONLY TO CORPORATE ISSUERS: Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the last practicable date Class Outstanding as of September 30, 2000 --------- --------------------------------------- Common Stock, $0.001 1,052,783 INDEX age Number PART I. ITEM 1. Financial Statements (unaudited)...........................3 Balance Sheets.............................................4 September 30, 2000 and June 30, 2000 Statements of Operations For the three months ended September 30, 2000 and 1999 and the period April 25, 2000 to September 30, 2000......................................5 Statements of Cash Flows For the three months ended September 30, 2000 and 1999 and the period April 25, 2000 to September 30, 2000.....................................6 Notes to Financial Statements..............................7 ITEM 2. Plan of Operations.........................................9 PART II . Signatures.................................................9 PART I - FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS The accompanying balance sheets of Amexdrug Corporation ( development stage company) at September 30, 2000 and June 30, 2000, and the related statements of operations, and cash flows for the three months ended September 30, 2000 and 1999 and the period April 25, 2000 to September 30, 2000 have been prepared by the Company's management and they do not include all information and notes to the financial statements necessary for a complete presentation of the financial position, results of operations, cash flows, and stockholders' equity in conformity with generally accepted accounting principles. In the opinion of management, all adjustments considered necessary for a fair presentation of the results of operations and financial position have been included and all such adjustments are of a normal recurring nature. Operating results for the quarter ended September 30, 2000, are not necessarily indicative of the results that can be expected for the year ending June 30, 2001. AMEXDRUG CORPORATION ( Development Stage Company) BALANCE SHEETS September 30, 2000, and June 30, 2000 Sept 30, Jun 30, 2000 2000 ---------- -------- ASSETS CURRENT ASSETS Cash $ - $ - --------- ---------- Total Current Assets $ - $ - ========== ========== LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable $ 6,850 $ 6,850 ------- ------ Total Current Liabilities 6,850 6,850 ------ ----- STOCKHOLDERS' EQUITY Common stock 10,000,000 shares authorized, at $0.001 par value; 1,052,783 shares issued and outstanding 1,053 1,053 Capital in excess of par value - dated April 25, 2000 - Note 1 (1,053) (1,053) Deficit accumulated during the development stage - dated April 25, 2000 - Note 1 (6,850) (6,850) ------ ------ Total Stockholders' Deficiency (6,850) (6,850) -------- -------- $ - $ - ========= ========== The accompanying notes are an integral part of these financial statements. AMEXDRUG CORPORATION ( Development Stage Company) STATEMENTS OF OPERATIONS For the Three Months Ended September 30, 2000, and 1999 and the Period April 25, 2000 (Date of Inception of Development Stage) to September 30, 2000 Three Months Sept 30, Sept 30, Apr 25, 2000 to 2000 1999 Sept 30, 2000 ------- -------- --------------- REVENUES $ - $ - $ - EXPENSES - - 6,850 -------- --------- -------- NET LOSS $ - $ - $(6,850) ========= ======== ======= NET LOSS PER COMMON SHARE Basic $ - $ - ------- -------- AVERAGE OUTSTANDING SHARES Basic 1,052,783 1,052,783 --------- --------- The accompanying notes are an integral part of these financial statements AMEXDRUG CORPORATION ( Development Stage Company) STATEMENT OF CASH FLOWS For the Three Months Ended September 30, 2000, and 1999 and the Period April 25, 2000 (Date of Inception of Development Stage) to September 30, 2000 Apr 25, 2000 Sept 30, Sept 30, to Sept 30, 2000 1999 2000 ------- ------- ---------- CASH FLOWS FROM OPERATING ACTIVITIES Net loss $ - $ - $(6,850) Adjustments to reconcile net loss to net cash provided by operating activities Changes in accounts payable - - 6,850 Net Cash Used in Operations - - - CASH FLOWS FROM INVESTING ACTIVITIES - - - --------- -------- -------- CASH FLOWS FROM FINANCING ACTIVITIES - - - --------- --------- -------- Net Increase (Decrease) in Cash - - - Cash at Beginning of Period - - - --------- -------- -------- Cash at End of Period $ - $ - $ - ========= ======== ========= The accompanying notes are an integral part of these financial statements AMEXDRUG CORPORATION ( Development Stage Company) NOTES TO FINANCIAL STATEMENTS 1. ORGANIZATION The Company was incorporated under the laws of the state of California on April 30, 1963 with authorized common stock of 10,000,000 shares at a par value of $.10 and 1,000,000 preferred shares with a par value of $1.00 with the name of Harlyn Products Inc,. The Company has been engaged in the business of selling jewelry to department stores and retail jewelry stores. On March 21, 1997 the Company filed for bankruptcy in the United States Bankruptcy Court, Central District of California in the Los Angeles Division under Chapter 11, with Howard M. Ehrenberg as trustee, and emerged from bankruptcy on April 24, 2000 under Chapter 7 with no remaining assets or liabilities. The bankruptcy settlement included a name change from "Harlyn Products Inc." to "Amexdrug Corporation", a change in officers, a change in the par value of the common shares from $.10 to $.001, a cancellation of the authorized and any outstanding preferred shares, a reverse common stock split of one hundred shares of outstanding stock for one share, and the issuance of 1,000,000 post split common shares in exchange for $100,000 which was paid into the bankruptcy court. The total of the post split outstanding shares, following completion of the terms of the settlement, was 1,052,783. Amended articles of incorporation completing the terms of the bankruptcy was filed by the trustee in the state of Nevada on June 22, 2000. This report has been prepared showing the name "Amedrug Corporation" and the common stock, after the stock split, at a par value of $.001, from inception. The retained earnings (deficit) and the capital in excess of par value has been restated and dated April 25, 2000 with the statement of operations to begin on April 25, 2000. After April 25, 2000 the Company has been in the development stage. 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Methods The Company recognizes income and expenses based on the accrual method of accounting. Dividend Policy The Company has not yet adopted a policy regarding payment of dividends. Income Taxes On September 30, 2000 the Company had a net operating loss carry forward of $6,850 and pre-bankruptcy net operating losses. The tax benefit from the carry forwards have been fully offset by a valuation reserve because the use of the future tax benefit is doubtful since the Company has no operations and there has been a substantial change in its stockholders which would effect the loss prior to April 25, 2000. AMEXDRUG CORPORATION NOTES TO FINANCIAL STATEMENTS 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Earnings (Loss) Per Share Earnings (loss) per share amounts are computed based on the weighted average number of shares actually outstanding. Financial Instruments The carrying amounts of financial instruments, including accounts payable, are considered by management to be their estimated fair values. Estimates and Assumptions Management uses estimates and assumptions in preparing financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the reported amounts of the assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could vary from the estimates that were assumed in preparing these financial statements. Comprehensive Income The Company adopted Statement of Financial Accounting Standards No. 130. The adoption of this standard had no impact on the total stockholder's equity. Recent Accounting Pronouncements The Company does not expect that the adoption of other recent accounting pronouncements will have a material impact on its financial statements. 3. GOING CONCERN The Company intends to acquire interests in various business opportunities which, in the opinion of management, will provide a profit to the Company however the Company does not have the working capital to be successful in this effort. Continuation of the Company as a going concern is dependent upon obtaining additional working capital and the management of the Company has developed a strategy, which it believes will accomplish this objective through additional equity funding which will enable the Company to operate for the coming year. 4. RELATED PARTY TRANSACTIONS Related parties have acquired 95% of the outstanding common capital stock ITEM 2. PLAN OF OPERATIONS The Company's management is seeking and intends to acquire interests in various business opportunities which, in the opinion of management, will provide a profit to the Company but it does not have the working capital to be successful in this effort. Continuation of the Company as a going concern is dependent upon obtaining the working capital necessary for its planned activity. The management of the Company has developed a strategy, which they believe can obtain the needed working capital through additional equity funding and long term debt which will enable the Company to continue operations for the coming year. Liquidity and Capital Resources The Company will need additional working capital to finance its planned activity. Results of Operations The Company has had no operations during this reporting period. 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 there unto duly authorized. AMEXDRUG CORPORATION [Registrant] /S/ Jack Amin ------------------------- Jack Amin - President November 15, 2000