-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, RrXniibBHCLwDBIajqi1elG//jIX8rehGeRrkFpHvC8QiO9azU/t5QZ6x11pXYqZ lD4jRCYWzpYTO8+XPezU0w== 0000844055-98-000005.txt : 19981204 0000844055-98-000005.hdr.sgml : 19981204 ACCESSION NUMBER: 0000844055-98-000005 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19980630 FILED AS OF DATE: 19981203 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AMAZON NATURAL TREASURES INC CENTRAL INDEX KEY: 0000844055 STANDARD INDUSTRIAL CLASSIFICATION: BLANK CHECKS [6770] IRS NUMBER: 870460880 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10QSB SEC ACT: SEC FILE NUMBER: 033-26109 FILM NUMBER: 98763177 BUSINESS ADDRESS: STREET 1: 4011 WEST OQUENDO ROAD STREET 2: SUITE C CITY: LAS VEGAS STATE: NV ZIP: 89118 BUSINESS PHONE: 7027964333 MAIL ADDRESS: STREET 1: 4011 WEST OQUENDO AVE STREET 2: STE C CITY: LAS VEGAS STATE: NV ZIP: 89119 FORMER COMPANY: FORMER CONFORMED NAME: CONCORD CAPITAL INC /UT/ DATE OF NAME CHANGE: 19960306 FORMER COMPANY: FORMER CONFORMED NAME: MULTIMEDIA FACTORY INC DATE OF NAME CHANGE: 19930825 FORMER COMPANY: FORMER CONFORMED NAME: CONCORD CAPITAL INC DATE OF NAME CHANGE: 19920703 10QSB 1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-QSB Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarter Ended Commission File Number JUNE 30, 1998 33-26109 AMAZON NATURAL TREASURES, INC. (Exact name of registrant as specified in its charter) NEVADA (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 88-0460880 4011 W. OQUENDO ROAD, SUITE C LAS VEGAS, NEVADA 89118 (Address of principal executive offices) 4011 W. OQUENDO ROAD, SUITE C LAS VEGAS, NEVADA 89118 (Former Address of principal executive office) (702) 795-4333 (Registrant's telephone number, including area code) Securities registered pursuant to Section 12 (b) of the Act: None 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), and (2) has been subject to such filing requirements for the past 90 days. X Yes No State the number of shares outstanding of each of the registrants classes of common stock, as of the latest practicable date. June 30, 1998 Common Voting Stock 48,009,589 PART I - FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS The unaudited financial statements of the Registrant required to be filed with this 10-QSB Quarterly Report were prepared by management, and commence of the following page, together with Related Notes. In the opinion on management, the Financial Statements fairly present the financial condition of the Registrant. AMAZON NATURAL TREASURES, INC. BALANCE SHEET (UNAUDITED) JUNE 30, 1998
JUNE 30, 1998 ASSETS CURRENT ASSETS CASH IN BANK $ 236 CANADIAN BANK ACCOUNT 100 PETTY CASH (500) CASH IN BANK 23,901 CHECKING-US SAVINGS BANK 0 MONEY MARKET-US SAVINGS BANK 0 ACCOUNTS RECEIVABLE (846) INVENTORY 213 BOTTLED/BAGGED 102,724 RAW MATERIALS 197,009 BIRDS 39,061 WORK IN PROGRESS 20,618 GEMS (21,124) PREPAID INSURANCE 10,414 ------- TOTAL CURRENT ASSETS $371,804 PROPERTY AND EQUIPMENT OFFICE FURNITURE AND EQUIPMENT $ 84,465 ACCUM. DEP.-FURNITURE/FIXTURES (9,779) LABORATORY EQUIPMENT 38,416 ACCUM. DEP.-LABORATORY EQUIPMENT (14,764) CLEAN ROOM EQUIPMENT 251,906 ACCUM. DEP.-CLEAN ROOM EQUIP. (34,261) WAREHOUSE EQUIPMENT 101,860 ACCUM. DEP.-WAREHOUSE EQUIP. (13,121) COMPUTER EQUIPMENT 36,202 ACCUM. DEP. COMPUTER EQUIP (3,991) AUTOMOBILES 17,590 ACCUM. DEP AUTOMOBILES (2,052) PORTABLE CLEAN ROOMS 129,612 LOGOS, TRADEMARKS, ETC. 125,000 ------- TOTAL PROPERTY AND EQUIPMENT $707,083 OTHER ASSETS EMPLOYEE ADVANCES 1,206 RELATED PARTY RECEIVABLES 62,443 INVENTORY OVERHEAD APPLIED 69,354 WORK IN PROGRESS 19,240 LICENSES & TRADEMARKS 5,000 ACCUM. AMORT. - LICENSES (2,000) REFUNDABLE DEPOSITS 144,874 OTHER ORGANIZATIONAL COSTS 58,855 ACC. AMORT.-ORGANIZATIONAL COSTS (17,209) SUSPENSE 402 ------- TOTAL OTHER ASSETS $342,166 TOTAL ASSETS $1,421,053 ---------- ---------- LIABILITIES AND CAPITAL CURRENT LIABILITES PREPAID LEGAL FEES $ (3,000) ACCOUNTS PAYABLE 250,227 FICA PAYABLE 8,807 FEDERAL INCOME TAX WITHHELD 9,555 NV BUSINESS TAX PAYABLE 2,138 STATE UNEMP. TAX PAYABLE (1,891) FED. UNEMP. TAX PAYABLE 356 ACCRUED SALARIES & WAGES 13,083 SALES TAX PAYABLE 10,031 ACCOUNTS PAYABLE-MIKE SYLVER 109,159 ACCOUNTS PAYABLE-TCI 21,599 ACCOUNTS PAYABLE-DR LORICCHIO 10,000 CURRENT PORTION (10,536) LONG TERM PORTION 17,483 LESS CURRENT UNAMORT. DISC. (2,437) LESS UNAMORTIZED DISCOUNT (4,194) LOANS PAYABLE-OFFICERS 30,000 MICHAEL A. SYLVER (13,600) BENITA SYLVER (5,062) ROBERT QUALEY 1,142 ABRACEL 10,648 GARY SYLVER 8,052 ------- TOTAL CURRENT LIABILITIES $461,560 LONG-TERM LIABILITIES NOTE PAYABLE 39,818 ------ TOTAL LONG-TERM LIABILITIES $ 39,818 TOTAL LIABILITIES $501,377 CAPITAL COMMON STOCK $ 31,686 RETAINED EARNINGS (8,830,152) ADDITIONAL PAID IN CAPITAL 9,839,004 NET INCOME (120,862) ---------- TOTAL CAPITAL $ 919,676 --------- TOTAL LIABILITIES AND CAPITAL $1,421,053 --------- ---------
AMAZON NATURAL TREASURES, INC. INCOME STATEMENTS (UNAUDITED) FOR THE SIX MONTHS ENDED JUNE 30, 1998 AND 1997
SIX MONTHS ENDED JUNE 30, 1998 JUNE 30, 1997 REVENUES SALES $ 228,013 $ 22,005 INTEREST INCOME 207 774 DISCOUNTS & GIFT CERTIFICATES (42,154) 0 MISCELLANEOUS INCOME 58 0 -------- ------ TOTAL REVENUES 186,124 22,779 -------- ------ COST OF SALES PURCHASES 2,287 6,113 PROCESSING COSTS 135 1,156 FREIGHT-IN 1,397 0 SHIPPING EXPENSE 3,243 7,387 COMMISSIONS 0 175 ------ ------ TOTAL COST OF SALES 7,061 14,831 ------ ------ GROSS PROFIT 179,063 7,949 ------ ------ EXPENSES ACCOUNTING SERVICES-OUTSIDE 23,235 26,765 ADVERTISING 0 362 AMORTIZATION 0 885 APARTMENT LEASES-CORPORATE 3,820 0 AUTO & TRUCK 1,418 3,996 AUTO LEASE 4,530 11,850 BANK CHARGES 2,172 640 BANK CHARGES-CREDIT CARDS 445 544 CASUAL LABOR 4,096 13,061 COMMISSIONS 24,001 0 COMPUTER EXPENSE 7,714 0 CONSULTING FEES 45,460 84,917 DEPRECIATION 0 11,415 DUES & SUBSCRIPTIONS 275 1,283 ENTERTAINMENT 425 2,450 EQUIPMENT RENTAL 1,509 2,335 FURNITURE LEASE 0 127 INSURANCE-GROUP 2,431 391 INSURANCE-GENERAL 2,803 1,903 INTEREST 0 1,274 JANITORIAL 0 439 LEGAL 3,228 13,139 LICENSES & TAXES 1,830 2,046 MISCELLANEOUS 6,022 0 MOVING EXPENSES 460 240 NEVADA BUSINESS TAX 0 1,257 LABORATORY SUPPLIES 0 50 CLEAN ROOM SUPPLIES 3,632 2,961 WAREHOUSE SUPPLIES 98 0 OFFICE EXPENSES 2,944 12,539 RESEARCH & DEVELOPMENT 428 3,410 PENALTIES 0 21 POSTAGE 1,042 2,111 PROFESSIONAL SERVICES 2,150 5,050 PROMOTIONAL 0 32,631 PROXY SERVICE 7,338 0 PRINTING 0 150 RENT-LAS VEGAS OFFICE 28,081 13,040 RENT-AMAZON 0 1,971 REPAIRS & MAINTENANCE 192 1,857 SALARIES & WAGES 102,254 27,299 SECURITY EXPENSE 583 0 FICA EXPENSE 841 2,721 ST. UNEMP. SUI 0 693 FEDERAL UNEMPLOYMENT INSUR 0 90 PAYROLL TAX EXPENSE (317) 0 TELEPHONE 6,069 13,248 TRAVEL 4,365 34,699 UTILITIES 4,350 1,255 ------- ------ TOTAL EXPENSES 299,924 337,117 ------- ------ NET INCOME $(120,862) $(329,168) ========= =========
AMAZON NATURAL TREASURES, INC. STATEMENT OF CASH FLOWS (UNAUDITED) FOR THE SIX MONTHS ENDED JUNE 30, 1998 AND 1997 JUNE 30, 1998 JUNE 30, 1997 Cash Flows from Operating Activities Net Income $ (120,862) $ (329,168) Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: Accounts Receivable 847 0 Stock Subscription Receivable 0 2,000 Accum. Dep.-Furniture/Fixtures 0 3,581 Accum. Dep.-Laboratory Equip. 0 10,545 Accum. Dep.-Computer Equip 0 24 Accum. Dep.-Automobiles 0 506 Inventory (213) 0 - -Bottled/Bagged (5,588) (65,999) - -Raw Materials (50,446) 0 - -Work in Progress (243) 0 - -Birds 1,200 (7,500) - -Gems 35,649 0 Notes Receivable 0 (14,250) Prepaid Insurance 0 (7,765) Accounts Payable 42,212 36,062 FICA Payable 5,923 2,442 Federal Income Tax Withheld 7,649 870 State Unemp. Tax Payable (2,138) 267 SIIS Payable (463) 90 Fed. Unemp. Tax Payable 0 (40) Deposits-Layaway 5,000 Sales Tax Payable 31 0 Accounts Payable-Mike Sylver 1,400 0 Current Portion (15,000) 0 Loans Payable-Officers 30,000 0 Michael A. Sylver (17,400) 14,250 Benita Sylver (11,062) 1 Robert Qualey 0 1,142 Accrued Interest 0 784 Short Term Notes Payable 0 400 ABRACEL 0 400 -------- -------- Total Adjustments 22,358 (2,187) -------- -------- Net Cash Provided by Operations (98,504) (331,355) --------- -------- Cash Flows from Investing Activities Used For: Employee Advances (700) 0 Office Furniture and Equipment (2,083) (16,810) Laboratory Equipment (976) (21,540) Clean Room Equipment (86,300) (39,095) Accum. Dep. Clean Room Equipment 0 3,921 Work in Progress (19,240) (12,641) Computer Equipment (12,676) (218) Automobiles 0 (7,590) Licenses & Trademarks 0 (3,595) Logos, Trademarks, Etc. 0 (25,000) Refundable Deposits (79,846) (37,215) Other Organizational Costs 0 (7,668) Acc. Amort-Organizational Costs 0 885 Suspense (402) (76,900) -------- -------- Net Cash Used in Investing (202,222) (243,466) --------- -------- Cash Flows from Financing Activities Proceeds from: Note Payable 29,500 0 Common Stock 152 2,328 Additional Paid in Capital 306,758 1,165,644 Used for: Note Payable (11,791) (29,352) Common Stock (13) (730) Additional Paid in Capital (128,475) (462,137) --------- --------- Net Cash Used in Financing 196,131 675,753 --------- --------- Net Increase (Decrease) in Cash $(104,595) $100,932 ======== ======= Summary Cash Balance at End of Period $ 23,737 $102,322 Cash Balance at Beginning of Period (128,332) (1,390) ---------- --------- Net Increase (Decrease) in Cash $(104,595) $100,932 ======== =======
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL STATEMENTS LIQUIDITY AND CAPITAL RESOURCES Since the reverse acquisition of Amazon Natural Treasures, Inc., (NV) the Company has had limited operations and has made preparation to launch more extensive operations in the near future. Currently, the Company's capital resources are adequate for this purpose. To finance these activities the Company is engaged in the private placement of securities. The company has sufficient capitol for the start of their Direct Marketing Program, which will begin in the third quarter of 1998. RESULTS OF OPERATIONS The Company does have limited operations and costs attributed to development of future operations. In the year-to-date ended June 30, 1997,the Company lost $329,168. In the year-to-date June 30, 1998, the Company lost $120,862, which is offset by assets in the amount of $1,421,053. PLAN OF OPERATION Amazon Natural Treasures, Inc., a privately held Nevada Company. Amazon Natural Treasures, Inc., is a multi-faceted company which is a Phytogenics Health Maintenance Company along with bringing the treasures of the Brazilian Amazon Rain Forest to the rest of the world. They produce and distribute health supplements derived from plants and related species for the cure and treatment of human illnesses and disease. The Board of Directors feel this will offer shareholders a viable business opportunity now and for the future. Amazon Natural Treasures, Inc. or A.N.T., as it is also known, was incorporated in Nevada, during 1995. It is a company with a unique mission. To bring the Amazon's naturally produced treasures, in their purest form, to the people of the world. To this end, A.N.T. has obtained the rights to export products from the Amazon area to the United States, Canada and the rest of the world. These products include: herbs, roots, plants and teas. Along with these products come their associated benefits. A.N.T. also produces and exports a bevy of additional product lines. For many years people have looked for alternative treatments for their diseases and maladies. People all over the world have had unpleasant experiences with modern (allopathic) medical treatments, that in many cases are made up of man-made chemicals that produce unwanted, if not dangerous side effects. Health food stores have made billions of dollars catering to this ever-increasing segment of the population. Many of their products are beneficial, but far too many of them contain a small percentage (usually under 10%) of there advertised ingredient(s). Ninety percent is filler. All of Amazon Natural Treasures, Inc. Phytogenics products are 100% pure and natural without any fillers. Our customers get the full potency of the product they purchase and at competitive prices. Key personnel have been actively working in the research and development phase of our Phytogenics products since 1972. In 1995 a decision was made to enter A.N.T. products into the world market. Amazon Natural Treasures' business plan for the next twelve-(12) months contemplates the utilization of an aggressive multi-dimensional marketing campaign. The company will use direct mail to qualified leads. Also planned is the placement of advertising in established and widely circulated health-related, as well as general interest publications. An "infomercial" is planned to further disseminate information into the marketplace. It is anticipated this will result in strong revenue in the first quarter of 1998 and increasing sales thereafter. This assertive plan will be implemented at the conclusion of the private placement offering. The company contemplates entering into advertising contracts with magazines, including but not limited to the following: Magazine Circulation PREVENTION 3,000,000 Rx REMEDY 1,500,000 VITALITY 1,250,000 HEALTH JOURNAL 1,200,000 AMERICAN HEALTH 1,000,689 The plan is to place full-page ads, in those magazines eventually selected, at a monthly cost of approximately Fifteen Thousand ($15,000.00) Dollars each. We expect each magazine will run an article detailing the company and its unique products. Most important, we expect the publications will provide a list of their subscribers for follow-up direct mailing. The acquisition of a total lead base of approximately seven million (7,000,000) leads is envisioned through marketing with publications. An additional one million (1,000,000) leads will be purchased from lead based companies. Amazon Natural Treasures, Inc. will purchase leads of individuals who have regularly purchased, at a minimum, two hundred fifty ($250) dollars worth of health supplements per month for the last twelve (12) months. Amazon Natural Treasures, Inc. has been informed that there are five million (5,000,000) leads available. Utilizing magazines, "infomercials, " direct mail, and lead based companies, Amazon Natural Treasures, Inc. will continue to build their lead base so that potential customers will number in the millions. The company eventually plans to publish its own catalog/magazine. The cover will feature a full color photograph of the Amazon Rain Forest with the company's logo prominently displayed. Inside, there will be messages from the principals of the company, a history of the rain forest, and a history of the company. An explanation of the company's purpose and adoption of "phytogenics " or the treatment of ailments through plants and other naturally occurring products, will also be included. The magazine will contain a chart consisting of possible symptoms/ailments people may be suffering from and corresponding product(s) customers can purchase for their treatment. Each product will be individually presented and explained on its own page. The benefits of each product, how it works, and how it should be used will be illustrated. It is anticipated articles by respected researchers and medical professionals will be included. These articles will correspond to the natural theme of the company. There will be other attractions in the magazine for the consumer, such as monthly pullout calendars and full-color pictures of the rain forest will be featured. These photographs will be unique and collectable. To this end all the photographs will be numbered and in a limited quantity. Customer testimonials, with photographs, will be included each month. There will be a "Letter to the Editor" selection each month with answers to customer's questions. Amazon Natural Treasures, Inc. is pleased to announce that the construction of the "WEBSITE OF THE FUTURE" is now well underway. This "WEBSITE OF THE FUTURE" will be a fully interactive internet website. It has been said that Amazon Natural Treasures, Inc.'s "WEBSITE OF THE FUTURE", once fully implemented, will be a major contender for a variety of awards dealing with internet site and graphic designs. Not only will the "WEBSITE OF THE FUTURE" be an immense educational source, but will also be a major selling tool for all of Amazon Natural Treasures, Inc.'s unique PhytogenicTM products. There are now over 127 spectacular PhytogenicTM nutritional supplements available from the Brazilian Amazon Rain Forest. Amazon Natural Treasures, Inc. will continuously add new supplements to their product line. Precious stoned carved birds, figurines and top quality gemstones such as rubies, emeralds, aquamarines, etc. will also be available for sale on the "WEBSITE OF THE FUTURE". We invite you to view our Website now as it is under construction at WWW.AMAZON-TREASURES.COM. The site can be expanded upon at any time, but initial development will include the following attributes: On Line Customer Service: Customers will be able to ask for help on product information, etc. They will also be able to access this information either via keyboard, voice or video conferencing depending on their computer capabilities. On Line Secure Ordering: Customers can order products with "peace of mind" that their credit cards will be safe using AT&T Buy/Safe secured ordering. All orders will be processed for immediate shipment. Order PhytogenicTM Products on Line: Customers can access Amazon Natural Treasures PhytogenicTMproducts and ordering information in a variety of manners. Ask the Indian: Customers will be able to ask the Indian a specific question in regards to their health or one of Amazon Natural Treasures 100% pure natural PhytogenicTM products either through use of their voice control or their keyboard. The Indian will answer them in his own voice while the text of his speech is being printed on the screen for easy downloading. Product by Name: When the customer is looking for a specific 100% pure and natural Amazon Natural Treasures PhytogenicTM product, they can easily access all the information on the product by double clicking on the name or by speaking the name into their microphone. Product by Product Number: Many of our customers prefer to order or access information on Amazon Natural Treasures 100% pure and natural PhytogenicTM products by product number. This is easily done by double clicking on the product or by speaking the product number into their microphone. Ailments and Recommended Products: For the customer who does not have a lot of time, they can easily access the products and ordering information on Amazon Natural Treasures 100% pure and natural PhytogenicTM products by double clicking on their ailment or by speaking their ailment into their microphone. The recommended 100% pure and natural PhytogenicTM product will then immediately pop-up onto the screen. Specialty Listing: This list of Amazon Natural Treasures 100% pure and natural PhytogenicTM products is for customer's specialized needs. Here, they will find products for specialized needs such as aphrodisiacs, antacids, antidepressants, anti-inflammatories, antioxidants, antiseptics, estrogens, finger nail hardener, hair and skin formulas, premature aging, skin wrinkles, tranquilizers and many more. When the customer has located their specific specialized need, they can easily access the information by double clicking on the specialized need or by speaking the name of the specialized need into the microphone. The complete listing of all the products for that particular specialized need will pop-up onto the screen. By the saying the name of a particular product, the customer can either access the information via voice or via text. See Your Order on Line: Through video conferencing, the customer will be able to actually see all the products, the precious and semi-precious stone birds, and stone figurines. The customer will be able to pick and choose the color, size, shape, type, etc. while talking on line with one of our certified gemologists before their purchase. Ordering Through Video Conferencing: Through video conferencing, the customer will be able to pick and choose the actual gem stone by color, size, weight and quality. Discussion Forums: Customers will be able to check on line for times and dates when noted doctors from Amazon Natural Treasures medical advisory board will be on line ready to answer their questions about their medical queries or our PhytogenicTM products. The noted professionals will be viewed by the customer via video conferencing. Customer Interacting: 24 hours a day, customers will be able to log onto the interactive discussion group. Here, customers will be able to compare notes, discuss the merits of Amazon Natural Treasures' products either through the keyboard or their voice pad. This will all be integrated through Amazon Natural Treasures' own in-house server. Real Time Audio and Video: Amazon Natural Treasures "state of the art" website will feature the latest technology available on the Internet utilizing "Real Player Plus" and "MegaPeg" for the ultimate in on line communication. On Line Multi-Media: The website will feature a vast array of "one of a kind" photographs of the Brazilian Amazon Rain Forest. Our photographs will be accompanied by a cover story and can easily be down loaded. The art gallery will also include spectacular photographs of thousands of "one of a kind" Indian artifacts. The sub text will explain their origins, uses, and tribes in which they originated from. These artifacts may personally be viewed at Amazon Natural Treasures retail store showroom and museum located in Las Vegas, Nevada. You will also be able to listen to the sounds of the jungle in beautiful hi-fi stereo via real audio that is available for free downloading. Investors Corner: Here, visitors to the "Website of the Future" will be able to follow the latest stock quotes, retrieve fundamental financial information, read press releases, and can also link to other sites for on line stock transactions. E-Mail: With just one click of the mouse, customers will have the ability to send us standard keyboard or voice E-Mail which will be answered immediately 24 hours a day! Screen Savers: Visitors to the Amazon "state of the art" website will have the ability to download the most exquisite, never seen before, screen savers. Some of which will include live action along with its own audio. Amazon Natural Treasures plans to harness the expansive growth and interest of the Internet worldwide and plans to use its website as a major revenue producer for the sale of the company's products. The company anticipates the website to generate hundreds of millions of dollars in revenue annually. It has been proven that the excitement of the Internet, properly promoted, can be a tremendous tool for stock market relations, broker dealers, and underwriters. There are many companies that just utilize the Internet for their total sales and have based their initial public offerings around the sale of their products on the Internet. We, at Amazon Natural Treasures, plan to take this one step further by utilizing the immense power of the Internet as a sales tool along with the direct marketing catalog sales and magazine advertising campaign to capture all spectrums of the over one hundred billion dollar annual consumer market for these products. This may also be the basis for a future public offering that will no doubt bring broker dealer and underwriter enthusiasm and support. The benefit and effectiveness of our products have been demonstrated, throughout the ages, by people who continue to use them. The inhabitants of the Amazon, as well as many others have taken the products for their ailments and achieved astonishing results. Amazon Natural Treasures, Inc. can be characterized as a leader in bringing to the world Phytogenic products. The company believes in complete control from the harvesting of the products through sale to the end user. Only through this business principle (vertical integration) can high quality standards be controlled and enforced. Sales will be obtained through the introduction of other Amazon products from the Brazilian Amazon rain forest such as sports drinks, soft drinks, a 100% natural sweetener, teeth whiting chewing gum, aids preventive cream as well as rare earth elements. Those additional products will include hand-carved items made from gems, found in the Amazon, for which the company has obtained exportation rights. Typically, these products will involve carvings of birds found in the Amazon and can consist of: tanzanite, peridot, lolite, garnet, citrine, aquamarine or amethyst. The birds will be accompanied with certified appraisals of their value. It is anticipated these birds also can be sold in the catalog. The company is presently operating at 4011 West Oquendo Road, Suite C, Las Vegas, Nevada 89118 (Corporate Offices); 3977 West Oquendo Road, Suite C, Las Vegas, Nevada 89118 (Investor Relations); 6435 South Valley View Boulevard, Suite G, Las Vegas, Nevada 89118 (Distribution Center); Rua Dona Cesaria Fagundes, 209 Vila Mariana Sao Paulo/ SP-Brasil CEP 04054-030; Rua Belem, 1036 Facing Rue Recife, Andrianopolis, Manaus Brazil; 470 North Rivermeade Drive, Unit #7, Concord, Ontario, Canada L4K3R8. The anticipate demand, in the North American market, is expected to be particularly strong. Evidenced by the fact that even though A.N.T. has recently commenced importing these products, and has yet to commence an official marketing campaign, "word-of-mouth" has already created a positive reaction, which has required the ordering of addition products. Once it is felt the North American market is being fully maximized, the company will look to international markets for expansion. The company has established important relationships with officials of the Government of Brazil. These officials have expressed an interest in establishing a museum, dedicated to the Amazon area, in Las Vegas, Nevada. They feel Las Vegas is an ideal location to promote the Amazon and its many assets due to the high number of visitors from throughout the world. This would be a joint venture between Amazon Natural Treasures, the Brazilian government, State of Nevada, and local authorities. Amazon Natural Treasures would be responsible for the day to day management. This project should give our company world-wide exposure and, it is hoped, provide the momentum for a weekly spin-off of a television series dedicated to the 2,700,000 square miles of the Brazilian rain forest. The company has negotiated a favorable price schedule for the harvesting of their products; this should allow for a strong profit margin on sales. In turn, it should result in a healthy bottom line for the company. The company will offer monthly specials so customers can take advantage of by sending in coupons throughout the catalog/magazine. Order forms will be included throughout the catalog/magazine. Customers will be able to place their orders by e-mail, u.s. mail ortelephone. Amazon Natural Treasures will accepts checks, money orders, ATM or Debit cards, and all major credit cards. There will be a shipping and handling charge added to all orders. It is anticipated, at some point, circulation of Amazon Natural Treasures' catalog/magazine will reach significant numbers of people. At that time, advertising space will be sold to health-related, but noncompeting, companies for their products. The revenue generated will offset the costs associated with the catalog/magazine. Amazon Natural Treasures is poised to enter and capture a segment of the multi-billion dollar market in health supplements and create a new market nitch for the rest of their unique product lines. PART II - OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS None; not applicable. ITEM 2. CHANGES IN SECURITIES None; not applicable. ITEM 3. DEFAULTS UPON SENIOR SECURITIES None; not applicable. ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS None; not applicable. ITEM 5. OTHER INFORMATION None; not applicable. ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K (A) Exhibits None. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this to be signed on its behalf by the undersigned thereunto duly authorized. AMAZON NATURAL TREASURES, INC. Date: 12/02/98 By: MICHAEL A. SYLVER __________________________ ___________________________________ Michael Sylver, President & Chief Financial Officer Date: 12/02/98 By: DOMINGOS LORICCHIO II _________________________ ___________________________________ Domingos Loricchio II Secretary/Treasurer EX-27 2 ARTICLE 5 FIN. DATA SCHEDULE FOR 2ND QTR 10QSB
5 1 6-MOS DEC-31-1998 JAN-01-1998 JUN-30-1998 23737 0 (847) 0 338288 371804 785050 (77967) 1421053 461560 0 31686 0 0 887991 1421053 185859 186124 7061 7061 299924 0 0 (120862) 0 (120862) 0 0 0 (120862) .003 .003
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