EX-99.2 3 ex99_2.htm EXHIBIT 99.2 Exhibit 99.2
EXHIBIT 99.2

UNAUDITED FINANCIAL STATEMENTS OF TRILLIANT CORPORATION AS OF JUNE 30, 2005 AND DECEMBER 31, 2004 AND FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2005 AND 2004


TRILLIANT CORPORATION
UNAUDITED FINANCIAL STATEMENTS
JUNE 30, 2005 AND DECEMBER 31, 2004


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TRILLIANT CORPORATION
TABLE OF CONTENTS

 
PAGE
   
Unaudited Financial Statements:
  
   
Unaudited Balance Sheets as of June 30, 2005 and December 31, 2004
3
   
Unaudited Statements of Operations for the three and six months ended June 30, 2005 and 2004
4
 
 
Unaudited Statements of Cash Flows for the six months ended June 30, 2005 and 2004
 5
   
Notes to Unaudited Financial Statements
6

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TRILLIANT CORPORATION
BALANCE SHEETS
UNAUDITED

   
June 30,
  
December 31,
  
   
2005
  
2004
  
ASSETS
      
   
  
Current assets:
          
Accounts receivable, net
 
$
153,651
 
$
222,556
 
Total current assets
    
153,651
   
222,556
 
Property and equipment, net
   
12,832
   
19,078
 
Intangible assets, net
    
1,250
   
1,250
 
               
Total assets
  
$
167,733
 
$
242,884
 
               
LIABILITIES AND STOCKHOLDERS’ DEFICIT
              
Current liabilities:
              
Bank line of credit
  
$
50,746
 
$
50,191
 
Notes payable - related parties
    
254,542
   
269,903
 
Accounts payable
    
27,555
   
15,727
 
Accrued liabilities
    
14,947
   
27,410
 
Total current liabilities
    
347,790
   
363,231
 
               
Long term debt - related party
    
24,341
   
30,249
 
               
Total liabilities
    
372,131
   
393,480
 
               
Stockholders’ deficit:
         
Common stock, no par value, 10,000,000 shares authorized, issued and outstanding at June 30, 2005 and December 31, 2004, respectively.
    
1,000
   
1,000
 
Additional paid-in capital
    
2,100
   
2,100
 
Treasury stock
    
(39,877
)
  
(39,877
)
Accumulated deficit
    
(167,621
)
  
(113,819
)
Total stockholders’ deficit
    
(204,398
)
  
(150,596
)
               
Total liabilities and stockholders’ deficit 
  
$
167,733
 
$
242,884
 
 
The accompanying notes are an integral part of the financial statements.

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TRILLIANT CORPORATION
STATEMENTS OF OPERATIONS
THREE AND SIX MONTHS ENDED JUNE 30, 2005 AND 2004
UNAUDITED
 
   
Three months ended June 30,
  
Six months ended June 30,
  
   
2005
  
2004
  
2005
  
2004
  
                   
                   
Service revenue
  
$
290,962
  
$
307,093
  
$
514,382
  
$
548,499
  
                           
Selling, general and administrative expenses
    
309,757
   
381,113
   
561,009
   
830,956
 
                           
Loss from operations
    
(18,795
)
  
(74,020
)
  
(46,627
)
  
(282,457
)
                           
Interest expense and other
    
3,120
   
1,553
   
7,175
   
8,909
 
Net loss
  
$
(21,915
)
$
(75,573
)
$
(53,802
)
$
(291,366
)

4
 
TRILLIANT CORPORATION
STATEMENTS OF CASH FLOWS
SIX MONTHS ENDED JUNE 30, 2005 AND 2004
UNAUDITED

   
June 30,
 
   
2005
  
2004
  
Cash flows from operating activities:
          
Net loss
  
$
(53,802
)
$
(291,366
)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
              
Depreciation
   
6,246
   
8,504
 
Changes in operating assets and liabilities:
              
Accounts receivable
    
68,905
   
79,268
 
Accounts payable and accrued liabilities
    
(635
)
  
22,091
 
               
Net cash provided by (used in ) operating activities
    
20,714
   
(181,503
)
               
Cash flows from financing activities:
              
Proceeds from notes payable to related parties
    
2,784
   
150,500
 
Repayment of notes payable to related parties
    
(8,137
)
  
(53,193
)
Proceeds from bank line of credit
    
27,360
   
18,085
 
Repayment of bank line of credit
    
(42,721
)
  
(1,477
)
               
Net cash provided by (used in) financing activities
    
(20,714
)
  
113,915
 
               
Net increase (decrease) in cash and cash equivalents
    
-
   
(67,588
)
               
Cash and cash equivalents at beginning of period
    
-
   
67,588
 
               
Cash and cash equivalents at end of period
  
$
-
  
$
-
  
               
Supplemental disclosures:
              
               
Cash paid for interest
  
$
6,416
  
$
7,420
  
 
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TRILLIANT CORPORATION
NOTES TO FINANCIAL STATEMENTS
UNAUDITED

1.
BASIS OF PRESENTATION

The accompanying unaudited interim financial statements of Trilliant Corporation ("Trilliant"), have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission ("SEC"), and should be read in conjunction with the audited financial statements and notes thereto contained in Trilliant's audited financial statements for the year ended December 31, 2004. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements which substantially duplicate the disclosure contained in the audited financial statements for fiscal 2004 have been omitted.
 
 
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