10-Q 1 feb0010q.txt FEBRUARY 2000 10-Q FORM 1O-Q SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended February 29, 2000 Commission File Number: 0-19631 VDS ENTERPRISES, INC. (exact name of registrant as specified in its charter) Florida 65-0283601 (State or other jurisdiction of (IRS Employer I.D. No.) Incorporation of organization) 12956 La Rochelle Circle, Palm Beach Gardens, FL 33410 (Address of principal executive offices) (561) 622-8034 (Registrant's telephone number, including area code) Not Applicable __________________________________________________ (former name, address and former fiscal year, if changed from 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 and Exchange Act of 1934 during the preceding 12 months (or for such short period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. $3 YES NO X APPLICABLE ONLY TO CORPORATE ISSUERS: Indicate the number of shares outstanding of each of the issuer's classes of Common Stock, as of the latest practicable date. As of August 14, 2000 there were 2,626,943 shares of Common Stock outstanding. INDEX PART I - FINANCIAL INFORMATlON Item 1. Financial Statements. The condensed financial statements as of February 29, 2000 included herein have been prepared by VDS Enterprises, Inc. ("Company") without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. The condensed financial statements as of August 31, 1999 have been derived from audited financial statements. Certain information and footnote disclosures, normally included in financial statements prepared in accordance with generally accepted accounting principles, have been condensed or omitted pursuant to such rules and regulations. These condensed financial statements should be read in conjunction with the financial statements and notes thereto, included in the Company's latest annual report on Form 10-K. In the opinion of management of the Company, the condensed financial statements reflect all the adjustments necessary to present fairly the financial position of the company as of February 29, 2000 and the consolidated results of operations and cash flows for the three months ended February 29, 2000. The results of operations for such interim periods are not necessarily indicative of the results for the full year. Condensed Balance Sheets as of February 29, 2000 (Unaudited) and August 31, 1999 4 Condensed Statements of Operations for the Three Months Ended February 29, 2000 and 1999 (Unaudited) 5 Condensed Statement of Changes in Shareholders' Equity for the Three Months ended February 29, 2000 and 1999 (Unaudited) 6 Condensed Statement of Cash Flow for the Three Months ended February 29, 2000 and 1999 (Unaudited) 7 Notes to Condensed Financial Statements 8 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. 9 PART II - OTHER INFORMATION 10-11 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 thereunto duly authorized. 99: Registrant: 100: VDS ENTERPRISES, INC. By: ___________________________ Regis Vogel President Date: June 6, 2000 VDS ENTERPRISES, INC. (A DEVELOPMENT STAGE COMPANY) CONDENSED BALANCE SHEET February 29, 2000 and August 31, 1999 February 29, 2000 August 31, 1999 (Unaudited) (Derived from Audited Fin. Statements) ASSETS Organizational Costs $ 18,361 $ 18,361 Less accumulated amortization (18,361) (18,361) ----------- ----------- Total Assets $ 0 $ 0 ======= ======= LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities: Accrued expenses $ 5,000 $5,000 ---------- ------------ Deficiency in assets: Common Stock, par value $0.001 per share; 10,000,000 shares authorized, 2,626,943 share issued and outstanding in 1998 and 1997 respectively 2,626 2,626 Additional Paid-In Capital (Note 2) 17,486 17,486 Deficit accumulated during the development stage (25,112) (25,112) -------------- ------------- Total Deficiency in Assets (5,000) (5,000) --------------- ------------- Total Liabilities and Deficiency in Assets $0 $0 ========= ======== See Accompanying Notes to Condensed Financial Statements VDS ENTERPRISES, INC. (A DEVELOPMENT STAGE COMPANY) CONDENSED STATEMENT OF OPERATIONS For the three months ended February 29, 2000 and 1999 (Unaudited) 2000 1999 Revenues $ 0 $ 0 ---------- -------- Total Revenues $ 0 $ 0 ====== ===== Expenses: $ 0 $ 0 ---------- --------- Total Expenses $ 0 $ 0 ---------- --------- Results of Operations $ 0 $ 0 ====== ===== See Accompanying Notes to Condensed Financial Statements VDS ENTERPRISES, INC. (A DEVELOPMENT STAGE COMPANY) CONDENSED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY For the three months ended February 29, 2000 and 1999 (Unaudited) 2000 1999 Shareholders' Equity: Beginning of period $ 0 $ 0 Additions Shareholder contributions 0 0 Deductions Results of Operations for the three months ended February 29, 2000 and 1999 0 $ 0 ----------- ------------ Ending balance at end of period $ 0 $ 0 ======= ======= See Accompanying Notes to Condensed Financial Statements VDS ENTERPRISES, INC. (A DEVELOPMENT STAGE COMPANY) CONDENSED STATEMENT OF CASH FLOW For the three months ended February 29, 2000 and 1999 (Unaudited) 2000 1999 CASH FLOW FROM OPERATING ACTIVITIES Net loss $ 0 $ 0 Adjustment to reconcile net loss to Net cash used by operating activities: None $( 0 ) $( 0 ) ---------- ---------- Net cash used by operating activities $ 0 $ 0 CASH FLOW FROM INVESTING ACTIVITIES $ 0 $ 0 Shareholders' contribution to paid in capital $ 0 $ 0 CASH FLOW FROM FINANCING ACTIVITIES $ 0 $ 0 ---------- ---------- NET INCREASE (DECREASE) IN CASH $ 0 $ 0 Cash Beginning of Period $ 0 $ 0 ---------- ---------- Cash End of Period $ 0 $ 0 ====== ====== See Accompanying Notes to Condensed Financial Statements NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Business Activity VDS Enterprises, Inc. (the Company) was organized under the laws of the State of Florida on September 13, 1991. The Company is a development stage entity, which has been inactive since inception. The Company's only transactions are related to its initial formation and organization. The 297: Company intends to acquire an operating entity, however, it has not yet 298: targeted an acquisition. Organizational Costs Organizational costs consist of expenditures incurred in the formation of the company. These costs were fully amortized ratably over a period of five years. Basis of Presentation The accompanying unaudited condensed financial statements of VDS Enterprises, Inc. presented herein do not include all disclosures required by generally accepted accounting principles for complete financial statements. In the opinion of management these financial statements include all adjustments necessary for a fair presentation of the results of interim periods. The interim condensed financial statements should be read in conjunction with the financial statements and footnotes that are included in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission August 14, 2000. NOTE 2 GOING CONCERN As shown in the accompanying financial statements, the Company has an accumulated deficit of $ 20,112 as of February 29, 2000. As a result, the Company has no assets. The management of the Company intends to actively pursue a business combination through a merger, or an acquisition. The financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern. Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. The Registrant has not, as of the end of the three month period ended February 29, 2000, commenced active business operations. As of February 29, 2000 the Registrant had no assets or liabilities, Shareholders' Equity or other financial resources. The Registrant has no reasonable basis for comparison with respect to its quarterly financial results in that the Company has not yet commenced its business operations. PART II OTHER INFORMATION Item 1. Legal Proceedings Not Applicable Item 2. Changes in Securities The issued and outstanding common stock after the recapitalization consists of 2,626,943 shares, par value $0.001. Item 3. Defaults Upon Senior Securities Not Applicable Item 4. Submission of Matters to a Vote of Security-Holders Not Applicable Item 5. Other information Not Applicable Item 6. Exhibits and Reports on Form 8-K Exhibits 27.1 Financial Data Schedule Reports on Form 8-K Not Applicable VDS FINANCIAL DATA SCHEDULE 2-2000 QTR PERIOD TYPE 6-MOS FISCAL YEAR END AUGUST 31, 2000 PERIOD END FEBRUARY 29, 2000 CASH 0 SECURITIES 0 RECEIVABLES 0 ALLOWANCES 0 INVENTORY 0 CURRENT ASSETS 0 PP&F 0 DEPRECIATION 0 TOTAL ASSETS 0 CURRENT LIABILITIES 5,000 BONDS 0 PREFERRED MANDATORY0 PREFERRED 0 COMMON 2,626 OTHER SE (7,626) TOTAL LIABILITY AND STOCKHOLDER EQUITY 0 SALES 0 TOTAL REVENUES 0 CGS 0 TOTAL COSTS 0 OTHER EXPENSES 0 LOSS PROVISION 0 INTEREST EXPENSE 0 INCOME PRETAX 0 INCOME TAX 0 INCOME CONTINUING 0 CHANGES 0 NET INCOME 0 EPS-PRIMARY .00 EPS-DILUTED .00 10 11