EX-99.1 2 v095511_ex99-1.htm
Exh 99.1

             
676A Ninth Avenue #211
                
New York, NY 10036
                
Tel: (646) 290-6496
                
Fax: (646) 224-8377
                
David C. McGrail (DM 3904)
                
Counsel To PubliCARD, Inc.
                
                     
UNITED STATES BANKRUPTCY COURT
            
SOUTHERN DISTRICT OF NEW YORK
            
 
:
        
           
:
Chapter 11
    
In re:
PUBLICARD, INC.,
    
:
Case No. 07-11517 (RDD)
  
           
:
        
   
Debtor
      
:
        
           
:
        
           
:
        
 
:
        
 
 
MONTHLY CONSOLIDATED STATEMENT
FOR THE PERIOD ENDED
 
  
October 31, 2007
  
       
MONTHLY RECEIPTS:
  
$
55
  
         
MONTHLY DISBURSEMENTS:
  
$
18,519
  
 
THIS OPERATING STATEMENT MUST BE SIGNED BY A REPRESENTATIVE OF THE DEBTOR
 
The undersigned, having reviewed the attached report and being familiar with the debtor's financial affairs, verifies under penalty of perjury, that the information contained therein is complete, accurate and truthful to the best of my knowledge.
 
DATE: 
  
23-Nov-07
  
By: 
  
/s/ Marc B. Ross 
             
       
Title: 
  
Principal Financial Officer 
 
Indicate if this is an amended statement by checking here        o
 

PubliCARD, Inc.
          
(Debtor-In-Possession)
          
Statement Of Operations
          
For the Period Ending October 31, 2007
          
Accrual Basis
         
           
   
Current
      
   
Month
  
Case-To-Date
  
   
October 31, 2007
  
October 31, 2007
  
           
Revenue
  
$
-
  
$
-
  
               
               
Operating Expenses
              
Direct Cost Of Revenue
   
-
   
-
 
Selling, General and Administrative
    
38,247
   
224,288
 
Depreciation Of Fixed Assets
    
96
   
576
 
Total Operating Expenses
    
38,343
   
224,864
 
               
Operating Gain/(Loss)
    
(38,343
)
  
(224,864
)
               
Other Expense/(Income)
              
Interest Expense
    
-
   
-
 
Loss/(Gain) On The Sale Of Assets
    
-
   
-
 
Interest Income
    
(55
)
  
(768
)
           
Income/(Loss) Before Reorganizational Items and Taxes
    
(38,288
)
  
(224,096
)
               
US Trustee Fees - Q3 2007
    
500
   
1,500
 
Reorganization Professional Fees (Estimated and Accrued) (1)
    
7,500
   
31,740
 
     
8,000
   
33,240
 
               
Gain/(Loss) Before Income Taxes
    
(46,288
)
  
(257,336
)
               
Provision For Income Taxes
    
-
   
-
 
               
Net Income/(Loss)
    
(46,288
)
  
(257,336
)
               
Deficit Beginning of Period
    
(113,824,378
)
  
(113,613,330
)
               
Deficit End Of Period
 
$
(113,870,666
)
$
(113,870,666
)
 
(1)
Includes estimated and accrued fees for debtor professionals.
 

             
(Debtor-In-Possession)
              
Balance Sheet
              
As of October 31, 2007
              
               
   
October 31, 2007
  
September 30, 2007
  
May 17, 2007
  
   
Balance Sheet
  
Balance Sheet
  
Balance Sheet
  
Current Assets
              
               
Cash
  
$
26,920
  
$
45,384
  
$
39,723
  
Restricted Cash
    
-
   
-
   
-
 
Due From Related Parties
    
-
   
-
   
-
 
Accounts Receivable-Net
    
(268
)
  
(268
)
  
13,364
 
Inventory Net
    
-
   
-
   
-
 
Prepaid Other
    
-
   
-
   
-
 
Prepaid Insurance and Rent
    
5,925
   
13,048
   
43,272
 
Prepaid Professional
    
-
   
-
   
-
 
Prepaid Expenses
    
19,200
   
19,200
   
19,200
 
Total Current Assets
    
51,777
   
77,364
   
115,559
 
                     
Property, Plant, & Equipment - Gross
    
14,404
   
14,404
   
14,404
 
Accumulated Depreciation
    
(10,662
)
  
(10,566
)
  
(10,088
)
Property, Plant, & Equipment - Net
    
3,742
   
3,838
   
4,316
 
Intangibles - Gross
    
-
   
-
   
-
 
Accumulated Amortization
    
-
   
-
   
-
 
                     
Intangibles - Net
    
-
   
-
   
-
 
Organizational Costs
    
-
   
-
   
-
 
Other - Non-Current
    
-
   
-
   
-
 
                     
Total Assets
  
$
55,519
  
$
81,202
  
$
119,875
  
                     
Post-Petition Liabilities
                    
Cash Overdrafts
  
$
-
  
$
-
  
$
-
  
Accounts Payable
    
14,418
   
13,398
   
-
 
Accrued Payroll/Commission
    
12,877
   
8,292
   
-
 
Accrued Consulting
    
37,500
   
30,000
   
-
 
Due to Affiliates
    
71,915
   
71,915
   
-
 
Other Current Liabilities/Accrued Professional Fees
    
31,740
   
24,240
   
-
 
Total Post Petition Current Liabilities
    
168,450
   
147,845
   
-
 
 
                    
Pre-Petition Liabilities
                    
Cash Overdrafts
    
-
   
-
   
-
 
Accounts Payable
    
294,021
   
294,021
   
269,491
 
Deferred Revenues
    
-
   
-
   
-
 
Accrued Payroll/Commission
    
-
   
-
   
-
 
Obligations For Capital Leases Current
    
-
   
-
   
-
 
Other Current Liabilities
    
19,800
   
19,800
   
19,800
 
Total Pre- Petition Current Liabilities
    
313,821
   
313,821
   
289,291
 
                     
Interest Payable
    
-
   
-
   
-
 
Other Long Term Liabilities
    
-
   
-
   
-
 
 
     -    
-
   
-
 
                     
Total Liabilities
    
482,271
   
461,666
   
289,291
 
                     
Stockholders' Deficit
                    
Class A Preferred Stock Second Series, no par value:1,000 shares authorized 465 shares issued and outstanding
    
2,325,000
   
2,325,000
   
2,325,000
 
 
                    
Common shares, $0.10 par value: 40,000,000 shares authorized; 24,940,902 shares outstanding
    
2,494,090
   
2,494,090
   
2,494,090
 
 
                    
Additional paid-in capital
    
108,624,824
   
108,624,824
   
108,624,824
 
Accumulated deficit
    
(113,870,666
)
  
(113,824,378
)
  
(113,613,330
)
Total Stockholders Deficit
    
(426,752
)
  
(380,464
)
  
(169,416
)
                     
Total Liabilities and Stockholders' Deficit
  
$
55,519
  
$
81,202
  
$
119,875
  
 

PubliCARD, Inc.
          
(Debtor-In-Possession)
          
Statement Of Cash Flow
          
For the Period Ending October 31, 2007
          
           
   
Current
      
   
Month
  
Case-To-Date
  
   
October 31, 2007
  
October 31, 2007
  
Net Income/(Loss)
  
$
(46,288
)
$
(257,336
)
(Less)/Add: Depreciation
    
96
   
576
 
(Less)/Add: Amortization
              
               
(Increase)/Decrease In Net Assets
              
Net Accounts Receivable
    
-
   
13,632
 
Net Inventory
    
-
   
-
 
Prepaid Rent
              
Prepaid & Other Expenses
    
7,123
   
37,345
 
               
Increase/(Decrease) In Liabilities
              
Bank Overdrafts
    
-
   
-
 
Accounts Payable
    
1,020
   
38,948
 
Deferred Revenues
   
-
   
-
 
Accrue Payroll/Commission
    
4,585
   
12,877
 
Accrued Consulting
    
7,500
   
37,500
 
Other Current Liabilities
    
7,500
   
31,740
 
Collection of insurance proceeds Due to Inactive Affiliates
    
-
   
71,915
 
Cash Provided by/(used in) operations
    
(18,464
)
  
(12,803
)
               
Capital Expenditures
    
-
   
-
 
Cash provided by/(used in) investing activities
    
-
   
-
 
               
Proceeds/(Repayments of) Debt
    
-
   
-
 
Proceeds received on behalf of Affiliates
          
Cash provided by (used in) financing activities
    
-
   
-
 
               
Change in cash
    
(18,464
)
  
(12,803
)
Cash Balance at the Beginning Of Period
    
45,384
   
39,723
 
Cash Balance at the End of the Period
  
$
26,920
  
$
26,920
  
 

PubliCARD, Inc.
      
(Debtor-In-Possession)
      
Statement Of Receipts And Disbursements
      
For the Period Ending October 31, 2007
      
   
Month Ended
  
Disbursements
  
October 31, 2007
  
Checks Cut From Operating Account
  
$
10,969
  
Wires From Operating Account
    
-
 
Payments To Professionals
    
-
 
Voided Checks
    
-
 
Benefits
    
-
 
Payroll, Consulting and Associated Taxes
    
7,500
 
Bank and Payroll fees
    
50
 
Taxes
    
-
 
Wires From Depository Account
    
-
 
Disbursements From Depository Account
    
-
 
Principal Repaments
    
-
 
Total Disbursements
  
$
18,519
  
         
Receipts
        
Interest Income
  
$
55
  
A/R Receipts
    
-
 
Insurance Settlements
    
-
 
Total Receipts
  
$
55
  
         
Net Inflow/(Outflow)
  
$
(18,464
)
 

PubliCARD, Inc.
      
(Debtor-In-Possession)
      
Disbursement List
      
For the Period Ending October 31, 2007
      
   
Month Ended
  
Disbursements
  
October 31, 2007
  
Sarachek
    
7,500
 
Filing fees
    
898
 
Investor communications
    
870
 
Rent
    
7,781
 
Accounting fees - ordinary course
    
920
 
U.S. Trustee
    
500
 
Bank Fees
    
50
 
Total
  
$
18,519
  
 

             
Bank Reconciliation
          
               
   
Bank
  
Book
      
Account
  
Balance
  
Balance
  
Variance
  
               
2030000846371
  
$
26,920
  
$
26,920
  
$
-
  
                     
                     
Checks Outstanding 
                    
Number
    
Payee
    
Amount
        
                     
Total
        
$
-
        
                     
Deposits In Transit 
                    
                     
                     
Net Adjustments 
        
$
-
        
 

PubliCARD, Inc.
              
(Debtor-In-Possession)
              
Variance To Budget
              
For the Period Ending October 31, 2007
              
Accrual Basis
             
               
   
Actual
  
Projected
  
Variance
  
   
October 31, 2007
  
October 31, 2007
  
October 31, 2007
  
               
Revenue
  
$
-
  
$
-
  
$
-
  
                     
                     
Operating Expenses
                    
Wages, Consulting Fees and Payroll Taxes
    
19,485
   
12,258
   
(7,227
) (1)
Rent
    
3,510
   
3,750
   
240
 
Insurance Expense
    
7,965
   
7,965
   
-
 
Office Expenses
    
314
   
4,000
   
3,686
 
Pre-petition claims
    
-
   
-
   
-
 
Other Expenses
    
6,973
   
4,000
   
(2,973
)
Depreciation Of Fixed Assets
    
96
   
96
   
(0
)
Total Operating Expenses
    
38,343
   
32,069
   
(6,274
)
                     
Operating Gain/(Loss)
    
(38,343
)
  
(32,069
)
  
6,274
 
                     
Other Expense/(Income)
                    
Interest Expense
    
-
   
-
   
-
 
Loss/(Gain) On The Sale Of Assets
    
-
   
-
   
-
 
Claim Settlement
    
-
   
-
   
-
 
Insurance Settlements
    
-
   
-
   
-
 
Interest Income
    
(55
)
  
-
   
55
 
                     
Gain/(Loss) Before Reorganizational Items and Taxes
    
(38,288
)
  
(32,069
)
  
6,219
 
                     
Reorganization Professional Fees (Estimated and Accrued)
    
7,500
   
6,000
   
(1,500
)
U.S. Trustee Fees
    
500
   
-
   
-
 
                     
Gain/(Loss) Before Income Taxes
    
(46,288
)
  
(38,069
)
  
(8,219
)
                     
Provision For Income Taxes
    
-
   
-
   
-
 
                     
Net Income/(Loss)
  
$
(46,288
)
$
(38,069
)
$
(8,219
)
 
(1)
Mr. Sarachek's $7,500 per month deferred salary is included in this amount.
 

     
(Debtor-In-Possession)
      
Budget
      
For the Period Ending November 30, 2007
      
Accrual Basis
     
       
   
Projected
  
   
November 30, 2007
  
       
Revenue
  
$
-
  
         
         
Operating Expenses
        
Wages and Payroll Taxes
    
19,600
 
Rent
    
4,000
 
Insurance Expense
    
10,000
 
Office Expenses
    
4,000
 
Other Expenses
    
4,000
 
Depreciation Of Fixed Assets
    
96
 
Total Operating Expenses
    
41,696
 
         
Operating Gain/(Loss)
    
(41,696
)
         
Other Expense/(Income)
        
Interest Expense
    
-
 
Loss/(Gain) On The Sale Of Assets
    
-
 
Claim Settlement
    
-
 
Insurance Settlements
    
-
 
Interest Income
    
-
 
         
Income/(Loss) Before Reorganizational Items and Taxes
    
(41,696
)
         
Reorganization Professional Fees (Estimated)
    
6,000
 
         
Income/(Loss) Before Income Taxes
    
(47,696
)
         
Provision For Income Taxes
    
-
 
         
Net Income/(Loss)
  
$
(47,696
)