0001104659-21-104923.txt : 20210813 0001104659-21-104923.hdr.sgml : 20210813 20210813132957 ACCESSION NUMBER: 0001104659-21-104923 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 26 CONFORMED PERIOD OF REPORT: 20210630 FILED AS OF DATE: 20210813 DATE AS OF CHANGE: 20210813 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SANDSTON CORP CENTRAL INDEX KEY: 0000892832 STANDARD INDUSTRIAL CLASSIFICATION: BLANK CHECKS [6770] IRS NUMBER: 382483796 STATE OF INCORPORATION: MI FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-15481 FILM NUMBER: 211171203 BUSINESS ADDRESS: STREET 1: 40950 WOODWARD AVENUE STREET 2: SUITE 304 CITY: BLOOMFIELD HILLS STATE: MI ZIP: 48034 BUSINESS PHONE: 7342142000 MAIL ADDRESS: STREET 1: 40950 WOODWARD AVENUE STREET 2: SUITE 304 CITY: BLOOMFIELD HILLS STATE: MI ZIP: 48034 FORMER COMPANY: FORMER CONFORMED NAME: NEMATRON CORP DATE OF NAME CHANGE: 19940601 10-Q 1 sdon-20210630x10q.htm 10-Q
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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

 QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2021

 TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____ to ____

Commission File Number: 001-15481

SANDSTON CORPORATION

(Exact name of small business issuer as specified in its charter)

Michigan

38-2483796

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification No.)

1496 Business Park Drive, Suite A, Traverse City, Michigan

49686

(Address of principal executive offices)

(Zip Code)

(231) 943-2221

(Issuer’s telephone number, including area code)

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.  YES    NO

Indicate by check mark if the issuer is not required to file reports pursuant to Section 13 or 15(d) of the Exchange Act   YES    NO

Indicate by check mark whether the issuer (1) has filed all reports required to be filed by section 13 or 15(d) of the Securities Exchange Act during the past 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.  YES    NO

Indicate by check mark whether the registrant has submitted electronically every Interactive Data file required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).  YES    NO

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large Accelerated Filer

Accelerated Filer

Non- Accelerated Filer

Smaller Reporting Company

 

Emerging Growth Company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).   YES    No

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class

Trading Symbol

Name of Each Exchange on Which Registered

Common Stock, no par value

SDON

Over the Counter Bulletin Board

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date: No par value Common Stock:

17,841,098 shares outstanding as of August 13, 2021

PART I -- FINANCIAL INFORMATION

Item 1.        Financial Statements

Sandston Corporation

Condensed Balance Sheet

June 30, 2021 and December 31, 2020

    

June 30, 

    

    

2021

December 31, 

    

(Unaudited)

    

2020

Assets

Current assets:

Cash

$

203

$

203

Total assets

$

203

$

203

Liabilities and Stockholders’ Equity (Deficit)

Current liabilities:

Accounts payable

$

22,726

$

13,682

Total current liabilities

 

22,726

 

13,682

Stockholders’ equity (deficit):

Common stock, no par value, 30,000,000 shares authorized, 17,841,098 shares outstanding at June 30, 2021 and 17,707,472 shares outstanding at December 31, 2020

 

34,013,207

 

34,006,218

Accumulated deficit

 

(34,035,730)

 

(34,019,697)

Total stockholders’ equity (deficit)

 

(22,523)

 

(13,479)

Total liabilities and stockholders’ equity (deficit)

$

203

$

203

See notes to condensed financial statements.

Page 2

Sandston Corporation

Condensed Statements of Operations

For the Three- and Six-Month Periods Ended June 30, 2021 and 2020

    

Three Months Ended June 30,

    

Six Months Ended June 30, 

2021

2020

2021

2020

    

(Unaudited)

    

(Unaudited)

    

(Unaudited)

    

(Unaudited)

Net revenues

$

$

$

$

General and administrative expense

 

4,256

 

4,282

 

16,033

 

16,062

Loss before income taxes

 

(4,256)

 

(4,282)

 

(16,033)

 

(16,062)

Income taxes

Net loss

$

(4,256)

$

(4,282)

$

(16,033)

$

(16,062)

Loss per share amounts – basic and diluted (Note 2):

$

$

$

$

Weighted average shares outstanding - basic and diluted (Note 2):

 

17,796,754

 

17,446,467

 

17,752,360

 

17,348,126

See notes to condensed financial statements.

Page 3

Sandston Corporation

Condensed Statements of Shareholders’ Equity

For the Three- and Six-Month Periods Ended June 30, 2021 and 2020

    

Common Stock

    

Accumulated

    

Shares

Amount

Deficit

Total

    

(Unaudited)

    

(Unaudited)

    

(Unaudited)

    

(Unaudited)

Balance, January 1, 2021

 

17,707,472

$

34,006,218

$

(34,019,697)

$

(13,479)

Net loss for the three months ended March 31, 2021

 

 

 

(11,777)

 

(11,777)

Balance, March 31,2021

17,707,472

34,006,218

(34,031,474)

(25,256)

Sale of common stock

133,626

6,989

6,989

Net loss for the three months ended June 30, 2021

(4,256)

(4,256)

Balance, June 30, 2021

17,841,098

$

34,013,207

$

(34,035,730)

$

(22,523)

    

Common Stock

    

Accumulated

    

Shares

    

Amount

Deficit

Total

    

(Unaudited)

    

(Unaudited)

    

(Unaudited)

    

(Unaudited)

Balance, January 1, 2020

 

17,195,683

$

33,971,238

$

(33,994,967)

$

(23,729)

Sale of common stock

 

225,000

13,500

13,500

Net loss for the three months ended March 31, 2020

 

 

 

(11,780)

 

(11,780)

Balance, March 31, 2020

17,420,683

33,984,738

(34,006,747)

(22,009)

Sale of common stock

30,917

1,980

1,980

Net loss for the three months ended June 30, 2020

(4,282)

(4,282)

Balance, June 30, 2020

17,451,600

$

33,986,718

$

(34,011,029)

$

(24,311)

See notes to condensed financial statements.

Page 4

Sandston Corporation

Condensed Statements of Cash Flows

For the Six-Month Periods Ended June 30, 2021 and 2020

    

Six Months Ended June 30, 

2021

2020

    

(Unaudited)

    

(Unaudited)

Cash flows from operating activities:

 

  

 

  

Net loss

$

(16,033)

$

(16,062)

Adjustments to reconcile net loss to net cash used in operating activities:

Changes in assets and liabilities that provided (used) cash:

Accounts payable

 

9,044

 

588

Net cash used in operating activities

 

(6,989)

 

(15,474)

Cash flows from financing activities - sale of common stock

 

6,989

 

15,480

Net increase in cash

 

0

 

6

Cash at beginning of period

 

203

 

197

Cash at end of period

$

203

$

203

Supplemental disclosures of cash flow information:

Cash paid for interest

$

$

Cash paid for income taxes

 

 

See notes to condensed financial statements.

Page 5

Sandston Corporation

Notes to Condensed Financial Statements

For The Three- and Six-Month Periods Ended June 30, 2021 and 2020

Note 1 – Basis of Presentation

Pursuant to a recommendation of the Company’s Board of Directors and approval by its shareholders on January 13, 2004, the Company sold to NC Acquisition Corporation (the "Purchaser") on March 31, 2004 all of its tangible and intangible assets, including its real estate, accounts, equipment, intellectual property, inventory, subsidiaries, goodwill, and other intangibles, except for $30,000 in cash, (the "2004 Net Asset Sale"). The Purchaser also assumed all of the Company’s liabilities pursuant to the 2004 Net Asset Sale. Following the 2004 Net Asset Sale, the Company’s only remaining assets were $30,000 in cash and it had no liabilities.  It also retained no subsidiaries.  On April 1, 2004 the Company amended its Articles of Incorporation to change its name from Nematron Corporation to Sandston Corporation (the “Company”) and to implement a shareholder approved one-for-five reverse stock split of the Company’s common stock, whereby every five issued and outstanding shares of the Company’s common stock became one share.  On April 1, 2004, the Company also sold a total of 5,248,257 post-split shares to Dorman Industries, LLC (“Dorman Industries”) for $50,000.  On December 21, 2006, the Company sold 2,400,000 post-split shares to certain accredited investors for $120,000.

Dorman Industries is a Michigan Limited Liability Company wholly owned by Mr. Daniel J. Dorman, the Company’s Chairman of the Board, President and Principal Accounting Officer.  Pursuant to its purchase of these shares, Dorman Industries became the owner of 62.50% of the then outstanding common stock of the Company.  The Company has made several subsequent sales of common stock to Dorman Industries in order to raise cash to pay operating expenses. Between December 30, 2010 and June 30, 2021, the Company sold to Dorman Industries a total of 7,044,117 shares at per share prices equal to the closing price the day prior to each sale, and realized proceeds of $213,001. Dorman Industries currently is the beneficial owner of 68.90% of the Company’s outstanding common stock.

Effective April 1, 2004, the Company became a "public shell" corporation.

The Company intends to build long-term shareholder value by acquiring and/or investing in and operating strategically positioned companies.  The Company expects to target companies in multiple industry groups.  The Company has yet to acquire, or enter into an agreement to acquire, any company or entity.

During the period prior to the 2004 Net Asset Sale, the Company’s businesses included 1) the design, manufacture, and marketing of environmentally ruggedized computers and computer displays known as industrial workstations; 2) the design, development and marketing of software for worldwide use in factory automation and control and in test and measurement environments; and 3) providing application engineering support to customers of its own and third parties’ products.  These businesses were sold on March 31, 2004 to the Purchaser.

Liquidity and Management Plans

The Company became a "public shell" corporation on April 1, 2004 following the 2004 Net Asset Sale and since that date its operational activities have been limited to considering sundry and various acquisition opportunities, and its financial activities have been limited to administrative activities and incurring expenditures for accounting, legal, filing, printing, office and auditing services.  These expenditures have been paid with the $30,000 cash retained from the businesses that were sold, from $50,000 of proceeds from the sale of common stock on April 1, 2004 to Dorman Industries, from $120,000 of proceeds from the sale, through a private placement, to certain accredited investors of common stock in December 2006, and from $213,001 of proceeds from the sales, through private placements, of unregistered common stock to Dorman Industries in the years 2010 through June 30, 2021.

As reflected in the accompanying balance sheet at June 30, 2021, cash totals $203. Based on such balance and management’s forecast of activity levels during the period that it may remain a “public shell” corporation, management will have to again sell through private placement a number of additional shares of common stock to generate sufficient cash to pay its current liabilities and its administrative expenses as such expenses become due in 2021.  If the Company has not identified and consummated an acquisition by that date, the Company will need to obtain additional funds to maintain its administrative activities as a public shell company.   Management intends to obtain such administrative funds from Dorman Industries in the form of loans or through equity sales in an amount sufficient to sustain operations at their current level. There can be no assurance that Dorman Industries, which owns 68.90% of the Company’s outstanding stock, or any other party will advance needed funds on any terms.  The Company has not identified as yet potential acquisition candidates, the acquisition of which would mean that the Company would cease being a “public shell” and begin operating activities.

Page 6

Note 2 – Loss per Share

Loss per share is calculated using the weighted average number of common shares outstanding during the periods presented.  There are no outstanding dilutive stock options and warrants; all outstanding stock options and warrants were cancelled effective with the 2004 Net Asset Sale.  The Company has no dilutive securities.

Page 7

Item 2.Management's Discussion and Analysis of Results of Operations

Readers should refer to a description of the 2004 Net Asset Sale described in Note 1 to the condensed financial statements included in this Form 10-Q. As described therein, the net assets and industrial controls businesses of the Company were sold effective as of the close of business on March 31, 2004. Since April 1, 2004, the Company has not engaged in any revenue generating activities, although it has considered various investment opportunities and it has incurred administrative expenses related to legal, accounting and administrative activities. The Company has had no employees since that date. The administrative activities of the Company are performed by the Chairman, who also serves as the CEO, President and Principal Financial Officer.

Three Month Periods Ended June 30, 2021 and 2020

Administrative expenses of the Company totaled $4,256 for the three month period ended June 30, 2021, compared to $4,282 of expenses incurred in the comparable 2020 period.  The Company’s providers charged the Company approximately the same fees in each period.

Six Month Periods Ended June 30, 2021 and 2020

Administrative expenses of the Company totaled $16,033 for the six month period ended June 30, 2021, compared to $16,062 in the comparable 2020 period.  The Company’s providers charged the Company approximately the same fees in each period.

Liquidity and Capital Resources

Primary sources of liquidity for the Company following the 2004 Net Asset Sale have been cash balances that have been used to pay administrative expenses. Operating expenses of the Company have been funded with a) $30,000 cash retained from the businesses that were sold, b) $50,000 of proceeds from the sale of common stock on April 1, 2004 to Dorman Industries, c) $120,000 of proceeds from the sale of stock on December 21, 2006 to certain accredited investors, and d) $213,001 of proceeds from sale of stock between 2010 and 2021 to Dorman Industries.

As reflected in the accompanying balance sheet at June 30, 2021, cash totals $203. Based on such balance and management’s forecast of activity levels during the period that it may remain a “public shell” corporation, management believes that it will have to again sell through private placement a number of additional shares of common stock to generate sufficient cash to pay its current liabilities and its administrative expenses as such expenses become due in 2021. If the Company has not identified and consummated an acquisition by that date, the Company will need to obtain additional funds to maintain its administrative activities as a public shell company. Management intends to obtain such administrative funds from Dorman Industries in the form of loans or through equity sales in an amount sufficient to sustain operations at their current level. Dorman Industries owns 68.90% of the Company’s outstanding common stock. There can be no assurance that Dorman Industries or any other party will advance needed funds on any terms. The Company has not identified as yet potential acquisition candidates, the acquisition of which would mean that the Company would cease being a “public shell” and begin operating activities.

While it is the Company's objective to ultimately be able to use the securities of the Company as a currency in the acquisition of portfolio businesses, the initial acquisitions of portfolio businesses may require the Company to be infused with additional capital thereby diluting the Company's shareholders, including Dorman Industries to the extent that it does not participate in the capital infusion.

Uncertainties Relating to Forward Looking Statements

Information regarding Risk Factors appears in Part I, Item 1A. Risk Factors of the 2020 Form 10-K and in Part II, Item 1A. Risk Factors of Sandston’s Quarterly Report on Form 10-Q for the period ended March 31, 2021 (“First Quarter 2021 Form 10-Q”). Except as set forth below, there have been no material changes to the risk factors previously disclosed in the 2020 Form 10-K and in the First Quarter 2021 Form 10-Q.

The outbreak of the novel coronavirus ("COVID-19") may adversely affect our ability to identify acquisition targets and if identified, to evaluate, negotiate, and close on any acquisition. The worldwide COVID-19 pandemic has negatively affected the global economy, and it is likely to continue to do so. Since the beginning of January 2020, the outbreak has caused significant volatility and disruption in the financial markets both globally and in the United States. If COVID-19, or another highly infectious or contagious disease, continues to spread or the response to contain it is unsuccessful, we could experience material adverse effects on our business. The extent of such effects will depend on future developments that are highly uncertain and cannot be predicted, including the geographic spread of the virus, the overall severity of the disease, the duration of the outbreak, the measures that have be taken, or future measures, by various governmental authorities in response to the outbreak (such as continuing or re-instituted quarantines, shelter-in-place orders or travel restrictions) and the possible further impacts on the global economy.

Page 8

The impact of the COVID-19 pandemic depends on factors beyond our knowledge or control, including the duration and severity of the outbreak, whether there are additional significant increases in the number of cases in future periods, and actions taken to contain its spread and mitigate the public health effects.

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Not Applicable.

Item 4.

Controls and Procedures

(a)           Evaluation of disclosure controls and procedures.

As of the end of the period covered by this Quarterly Report on Form 10-Q, the Company performed an evaluation under the supervision of, and with the participation of, management, including our Chief Executive Officer and Chief Financial Officer, of the design and effectiveness of our disclosure controls and procedures (as defined in rules 13a-15(e) or 15d-15(e) under the Securities Exchange Act of 1934 (the “Exchange Act”)). Based upon that evaluation, our Chief Executive Officer and our Chief Financial Officer concluded that, as of the end of the period covered by this Quarterly Report, our disclosure controls and procedures were effective in the timely and accurate recording, processing, summarizing and reporting of material financial and non-financial information within the time periods specified within the Securities and Exchange Commission’s rules and forms. Our Chief Executive Officer and Chief Financial Officer also concluded that our disclosure controls and procedures were effective to ensure that information required to be disclosed in the reports that we file or submit under the Exchange Act is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, to allow timely discussions regarding required disclosure.

(b)          Changes in internal controls.

There have been no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934, as amended) during the quarter ended June 30, 2021 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

PART II - OTHER INFORMATION

Item 6.Exhibits and Reports on Form 10-Q

Exhibits included herewith are set forth on the Index to Exhibits, which is incorporated herein by reference.

Page 9

SIGNATURES

In accordance with the requirements of the Securities Exchange Act of 1934, the registrant has caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

    

Sandston Corporation

August 13, 2021

/s/ Daniel J. Dorman

Date

President, CEO and Principal Financial Officer

Page 10

INDEX TO EXHIBITS

Exhibit Number

    

Description of Exhibit

31.1

Certification of the Principal Executive Officer Pursuant to Exchange Act Rules 13(A) – 14(A) or 15 (D) – 14 (A) as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

31.2

Certification of the Principal Financial Officer Pursuant to Exchange Act Rules 13(A) – 14(A) or 15(D) – 14 (A) as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

32.1

Certification of Chief Executive Officer Pursuant to 18 U.S.C. Sec. 1350 (Section 906 of the Sarbanes-Oxley Act of 2002)

32.2

Certification of Chief Financial Officer Pursuant to 18 U.S.C. Sec. 1350 (Section 906 of the Sarbanes-Oxley Act of 2002)

101.INS

XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.**

101.SCH

XBRL Taxonomy Extension Schema Document**

101.CAL

XBRL Taxonomy Extension Calculation Linkbase Document**

101.DEF

XBRL Taxonomy Extension Definition Linkbase Document**

101.LAB

XBRL Taxonomy Extension Label Linkbase Document**

101.PRE

XBRL Taxonomy Extension Presentation Linkbase Document

104

Cover Page Interactive Data File - The cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document**

**Filed herewith.

Page 11

EX-31.1 2 sdon-20210630xex31d1.htm EXHIBIT 31.1

EXHIBIT 31.1

Certification of the Principal Executive Officer Pursuant to Exchange Act Rules 13A-14(A)/15D-14(D) as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Daniel J. Dorman, certify that:

1.

I have reviewed this quarterly report on Form 10-Q of Sandston Corporation;

2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.

Based on my knowledge, the financial statements and other financial information included in this report fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.

The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under my supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known by others within those entities, particularly during the period in which this report is being prepared;

b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s control over financial reporting; and

5.

The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)

All significant deficiencies in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal controls over financial reporting.

Date: August 13, 2021

/s/ Daniel J. Dorman

 

Name:

Daniel J. Dorman

 

Title:

President and Chief Executive Officer

 

(Principal Executive Officer)


EX-31.2 3 sdon-20210630xex31d2.htm EXHIBIT 31.2

EXHIBIT 31.2

Certification of the Principal Financial Officer Pursuant to Exchange Act Rules 13A-14(A)/15D-14(D) as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Daniel J. Dorman, certify that:

1.

I have reviewed this quarterly report on Form 10-Q of Sandston Corporation;

2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.

Based on my knowledge, the financial statements and other financial information included in this quarterly report fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.

The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a.

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under my supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known by others within those entities, particularly during the period in which this report is being prepared;

b.

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c.

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d.

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s control over financial reporting; and

5.

The registrant’s other certifying officer(s) and I have disclosed, based on our  most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of director (or persons performing the equivalent functions):

a.

All significant deficiencies in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b.

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal controls over financial reporting.

Date: August 13, 2021

/s/ Daniel J. Dorman

Name:

Daniel J. Dorman

Title:

President and Chief Executive Officer

      (Principal Financial Officer)


EX-32.1 4 sdon-20210630xex32d1.htm EXHIBIT 32.1

EXHIBIT 32.1

Certification of Chief Executive Officer Pursuant to 18 U.S.C. Sec. 1350

(Section 906 of the Sarbanes-Oxley Act of 2002)

Pursuant to 18 U.S.C. Sec. 1350, the undersigned officer of Sandston Corporation (the "Company") hereby certifies, to such officer's knowledge, that the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2021 (the "Report") fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

 

Date: August 13, 2021

/s/ Daniel J. Dorman

 

Name:

Daniel J. Dorman

 

Title:

President and Chief Executive Officer

 

 

      (Principal Executive Officer)

The foregoing certification (i) accompanies the filing and is being furnished solely pursuant to 18 U.S.C. Sec. 1350, (ii) will not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liability of that section, and (iii) will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act, except to the extent that the small business issuer specifically incorporates it by reference.

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to Sandston Corporation and will be retained by Sandston Corporation and furnished to the Securities and Exchange Commission or its staff upon request.


EX-32.2 5 sdon-20210630xex32d2.htm EXHIBIT 32.2

EXHIBIT 32.2

Certification of Chief Financial Officer Pursuant to 18 U.S.C. Sec. 1350

(Section 906 of the Sarbanes-Oxley Act of 2002)

Pursuant to 18 U.S.C. Sec. 1350, the undersigned officer of Sandston Corporation (the "Company") hereby certifies, to such officer's knowledge, that the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2021 (the "Report") fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

 

Date: August 13, 2021

/s/ Daniel J. Dorman

 

Name:

Daniel J. Dorman

 

Title:

President and Chief Executive Officer

 

 

      (Principal Financial Officer)

The foregoing certification (i) accompanies the filing and is being furnished solely pursuant to 18 U.S.C. Sec. 1350, (ii) will not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liability of that section, and (iii) will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act, except to the extent that the small business issuer specifically incorporates it by reference.

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to Sandston Corporation and will be retained by Sandston Corporation and furnished to the Securities and Exchange Commission or its staff upon request.


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The Purchaser also assumed all of the Company’s liabilities pursuant to the 2004 Net Asset Sale. Following the 2004 Net Asset Sale, the Company’s only remaining assets were $30,000 in cash and it had no liabilities.  It also retained no subsidiaries.  On April 1, 2004 the Company amended its Articles of Incorporation to change its name from Nematron Corporation to Sandston Corporation (the “Company”) and to implement a shareholder approved <span style="-sec-ix-hidden:Hidden_FFqG-8h8Ckq2h7poOgnxoQ;"><span style="font-family:'Times New Roman','Times','serif';font-size:10pt;font-style:normal;font-weight:normal;text-align:justify;">one</span></span>-for-five reverse stock split of the Company’s common stock, whereby every five issued and outstanding shares of the Company’s common stock became one share.  On April 1, 2004, the Company also sold a total of 5,248,257 post-split shares to Dorman Industries, LLC (“Dorman Industries”) for $50,000.  On December 21, 2006, the Company sold 2,400,000 post-split shares to certain accredited investors for $120,000. </p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;text-indent:36pt;margin:0pt 0pt 12pt 0pt;">Dorman Industries is a Michigan Limited Liability Company wholly owned by Mr. Daniel J. Dorman, the Company’s Chairman of the Board, President and Principal Accounting Officer.  Pursuant to its purchase of these shares, Dorman Industries became the owner of 62.50% of the then outstanding common stock of the Company.  The Company has made several subsequent sales of common stock to Dorman Industries in order to raise cash to pay operating expenses. Between December 30, 2010 and June 30, 2021, the Company sold to Dorman Industries a total of 7,044,117 shares at per share prices equal to the closing price the day prior to each sale, and realized proceeds of $213,001. Dorman Industries currently is the beneficial owner of 68.90% of the Company’s outstanding common stock.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;text-indent:36pt;margin:0pt 0pt 12pt 0pt;">Effective April 1, 2004, the Company became a "public shell" corporation.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;text-indent:36pt;margin:0pt 0pt 12pt 0pt;">The Company intends to build long-term shareholder value by acquiring and/or investing in and operating strategically positioned companies.  The Company expects to target companies in multiple industry groups.  The Company has yet to acquire, or enter into an agreement to acquire, any company or entity.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;text-indent:36pt;margin:0pt 0pt 12pt 0pt;">During the period prior to the 2004 Net Asset Sale, the Company’s businesses included 1) the design, manufacture, and marketing of environmentally ruggedized computers and computer displays known as industrial workstations; 2) the design, development and marketing of software for worldwide use in factory automation and control and in test and measurement environments; and 3) providing application engineering support to customers of its own and third parties’ products.  These businesses were sold on March 31, 2004 to the Purchaser.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;margin:0pt 0pt 12pt 0pt;"><span style="text-decoration:underline;">Liquidity and Management Plans</span></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;text-indent:36pt;margin:0pt 0pt 12pt 0pt;">The Company became a "public shell" corporation on April 1, 2004 following the 2004 Net Asset Sale and since that date its operational activities have been limited to considering sundry and various acquisition opportunities, and its financial activities have been limited to administrative activities and incurring expenditures for accounting, legal, filing, printing, office and auditing services.  These expenditures have been paid with the $30,000 cash retained from the businesses that were sold, from $50,000 of proceeds from the sale of common stock on April 1, 2004 to Dorman Industries, from $120,000 of proceeds from the sale, through a private placement, to certain accredited investors of common stock in December 2006, and from $213,001 of proceeds from the sales, through private placements, of unregistered common stock to Dorman Industries in the years 2010 through June 30, 2021. </p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;text-indent:36pt;margin:0pt;">As reflected in the accompanying balance sheet at June 30, 2021, cash totals $203. Based on such balance and management’s forecast of activity levels during the period that it may remain a “public shell” corporation, management will have to again sell through private placement a number of additional shares of common stock to generate sufficient cash to pay its current liabilities and its administrative expenses as such expenses become due in 2021.  If the Company has not identified and consummated an acquisition by that date, the Company will need to obtain additional funds to maintain its administrative activities as a public shell company.   Management intends to obtain such administrative funds from Dorman Industries in the form of loans or through equity sales in an amount sufficient to sustain operations at their current level. There can be no assurance that Dorman Industries, which owns 68.90% of the Company’s outstanding stock, or any other party will advance needed funds on any terms.  The Company has not identified as yet potential acquisition candidates, the acquisition of which would mean that the Company would cease being a “public shell” and begin operating activities.</p> 30000 30000 5248257 50000 2400000 120000 0.6250 7044117 7044117 213001 213001 0.6890 30000 50000 120000 213001 203 0.6890 <p style="font-family:'Times New Roman','Times','serif';font-size:10pt;font-weight:bold;margin:0pt 0pt 12pt 0pt;">Note 2 – Loss per Share</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;text-indent:36pt;margin:0pt;">Loss per share is calculated using the weighted average number of common shares outstanding during the periods presented.  There are no outstanding dilutive stock options and warrants; all outstanding stock options and warrants were cancelled effective with the 2004 Net Asset Sale.  The Company has no dilutive securities.</p> XML 12 R1.htm IDEA: XBRL DOCUMENT v3.21.2
Document and Entity Information - shares
6 Months Ended
Jun. 30, 2021
Aug. 13, 2021
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Document Transition Report false  
Document Period End Date Jun. 30, 2021  
Entity Registrant Name SANDSTON CORP  
Entity File Number 001-15481  
Entity Incorporation, State or Country Code MI  
Entity Tax Identification Number 38-2483796  
Entity Address, Postal Zip Code 49686  
Entity Address, Address Line One 1496 Business Park Drive, Suite A  
Entity Address, City or Town Traverse City  
Entity Address, State or Province MI  
City Area Code 231  
Local Phone Number 943-2221  
Entity Interactive Data Current Yes  
Entity Current Reporting Status Yes  
Entity Filer Category Non-accelerated Filer  
Entity Small Business true  
Entity Emerging Growth Company false  
Entity Shell Company true  
Title of 12(b) Security Common Stock, no par value  
Trading Symbol SDON  
Entity Common Stock, Shares Outstanding   17,841,098
Entity Central Index Key 0000892832  
Amendment Flag false  
Document Fiscal Year Focus 2021  
Document Fiscal Period Focus Q2  
Current Fiscal Year End Date --12-31  
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Condensed Balance Sheet - USD ($)
Jun. 30, 2021
Dec. 31, 2020
Current assets:    
Cash $ 203 $ 203
Total assets 203 203
Current liabilities:    
Accounts payable 22,726 13,682
Total current liabilities 22,726 13,682
Stockholders' equity (deficit):    
Common stock, no par value, 30,000,000 shares authorized, 17,841,098 shares outstanding at June 30, 2021 and 17,707,472 shares outstanding at December 31, 2020 34,013,207 34,006,218
Accumulated deficit (34,035,730) (34,019,697)
Total stockholders' equity (deficit) (22,523) (13,479)
Total liabilities and stockholders' equity (deficit) $ 203 $ 203
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Condensed Balance Sheet (Parenthetical) - $ / shares
Jun. 30, 2021
Dec. 31, 2020
Condensed Balance Sheet    
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Common stock, shares authorized 30,000,000 30,000,000
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Condensed Statements of Operations - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2021
Jun. 30, 2020
Jun. 30, 2021
Jun. 30, 2020
Condensed Statements of Operations        
Net revenues $ 0 $ 0 $ 0 $ 0
General and administrative expense 4,256 4,282 16,033 16,062
Loss before income taxes (4,256) (4,282) (16,033) (16,062)
Income taxes 0 0 0 0
Net loss $ (4,256) $ (4,282) $ (16,033) $ (16,062)
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Condensed Statements of Shareholders' Equity - USD ($)
Common Stock
Accumulated Deficit
Total
Balance at Dec. 31, 2019 $ 33,971,238 $ (33,994,967) $ (23,729)
Balance (in shares) at Dec. 31, 2019 17,195,683    
Sale of common stock $ 13,500   13,500
Sale of common stock (in shares) 225,000    
Net loss for the year ended   (11,780) (11,780)
Balance at Mar. 31, 2020 $ 33,984,738 (34,006,747) (22,009)
Balance (in shares) at Mar. 31, 2020 17,420,683    
Balance at Dec. 31, 2019 $ 33,971,238 (33,994,967) (23,729)
Balance (in shares) at Dec. 31, 2019 17,195,683    
Net loss for the year ended     (16,062)
Balance at Jun. 30, 2020 $ 33,986,718 (34,011,029) (24,311)
Balance (in shares) at Jun. 30, 2020 17,451,600    
Balance at Mar. 31, 2020 $ 33,984,738 (34,006,747) (22,009)
Balance (in shares) at Mar. 31, 2020 17,420,683    
Sale of common stock $ 1,980   1,980
Sale of common stock (in shares) 30,917    
Net loss for the year ended   (4,282) (4,282)
Balance at Jun. 30, 2020 $ 33,986,718 (34,011,029) (24,311)
Balance (in shares) at Jun. 30, 2020 17,451,600    
Balance at Dec. 31, 2020 $ 34,006,218 (34,019,697) (13,479)
Balance (in shares) at Dec. 31, 2020 17,707,472    
Net loss for the year ended   (11,777) (11,777)
Balance at Mar. 31, 2021 $ 34,006,218 (34,031,474) (25,256)
Balance (in shares) at Mar. 31, 2021 17,707,472    
Balance at Dec. 31, 2020 $ 34,006,218 (34,019,697) (13,479)
Balance (in shares) at Dec. 31, 2020 17,707,472    
Net loss for the year ended     (16,033)
Balance at Jun. 30, 2021 $ 34,013,207 (34,035,730) (22,523)
Balance (in shares) at Jun. 30, 2021 17,841,098    
Balance at Mar. 31, 2021 $ 34,006,218 (34,031,474) (25,256)
Balance (in shares) at Mar. 31, 2021 17,707,472    
Sale of common stock $ 6,989   6,989
Sale of common stock (in shares) 133,626    
Net loss for the year ended   (4,256) (4,256)
Balance at Jun. 30, 2021 $ 34,013,207 $ (34,035,730) $ (22,523)
Balance (in shares) at Jun. 30, 2021 17,841,098    
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Condensed Statements of Cash Flows - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2021
Mar. 31, 2021
Jun. 30, 2020
Mar. 31, 2020
Jun. 30, 2021
Jun. 30, 2020
Cash flows from operating activities:            
Net loss $ (4,256) $ (11,777) $ (4,282) $ (11,780) $ (16,033) $ (16,062)
Changes in assets and liabilities that provided (used) cash:            
Accounts payable         9,044 588
Net cash used in operating activities         (6,989) (15,474)
Cash flows from financing activities - sale of common stock         6,989 15,480
Net increase in cash         0 6
Cash at beginning of period   $ 203   $ 197 203 197
Cash at end of period $ 203   $ 203   203 203
Supplemental disclosures of cash flow information:            
Cash paid for interest         0 0
Cash paid for income taxes         $ 0 $ 0
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Basis of Presentation
6 Months Ended
Jun. 30, 2021
Basis of Presentation  
Basis of Presentation

Note 1 – Basis of Presentation

Pursuant to a recommendation of the Company’s Board of Directors and approval by its shareholders on January 13, 2004, the Company sold to NC Acquisition Corporation (the "Purchaser") on March 31, 2004 all of its tangible and intangible assets, including its real estate, accounts, equipment, intellectual property, inventory, subsidiaries, goodwill, and other intangibles, except for $30,000 in cash, (the "2004 Net Asset Sale"). The Purchaser also assumed all of the Company’s liabilities pursuant to the 2004 Net Asset Sale. Following the 2004 Net Asset Sale, the Company’s only remaining assets were $30,000 in cash and it had no liabilities.  It also retained no subsidiaries.  On April 1, 2004 the Company amended its Articles of Incorporation to change its name from Nematron Corporation to Sandston Corporation (the “Company”) and to implement a shareholder approved one-for-five reverse stock split of the Company’s common stock, whereby every five issued and outstanding shares of the Company’s common stock became one share.  On April 1, 2004, the Company also sold a total of 5,248,257 post-split shares to Dorman Industries, LLC (“Dorman Industries”) for $50,000.  On December 21, 2006, the Company sold 2,400,000 post-split shares to certain accredited investors for $120,000.

Dorman Industries is a Michigan Limited Liability Company wholly owned by Mr. Daniel J. Dorman, the Company’s Chairman of the Board, President and Principal Accounting Officer.  Pursuant to its purchase of these shares, Dorman Industries became the owner of 62.50% of the then outstanding common stock of the Company.  The Company has made several subsequent sales of common stock to Dorman Industries in order to raise cash to pay operating expenses. Between December 30, 2010 and June 30, 2021, the Company sold to Dorman Industries a total of 7,044,117 shares at per share prices equal to the closing price the day prior to each sale, and realized proceeds of $213,001. Dorman Industries currently is the beneficial owner of 68.90% of the Company’s outstanding common stock.

Effective April 1, 2004, the Company became a "public shell" corporation.

The Company intends to build long-term shareholder value by acquiring and/or investing in and operating strategically positioned companies.  The Company expects to target companies in multiple industry groups.  The Company has yet to acquire, or enter into an agreement to acquire, any company or entity.

During the period prior to the 2004 Net Asset Sale, the Company’s businesses included 1) the design, manufacture, and marketing of environmentally ruggedized computers and computer displays known as industrial workstations; 2) the design, development and marketing of software for worldwide use in factory automation and control and in test and measurement environments; and 3) providing application engineering support to customers of its own and third parties’ products.  These businesses were sold on March 31, 2004 to the Purchaser.

Liquidity and Management Plans

The Company became a "public shell" corporation on April 1, 2004 following the 2004 Net Asset Sale and since that date its operational activities have been limited to considering sundry and various acquisition opportunities, and its financial activities have been limited to administrative activities and incurring expenditures for accounting, legal, filing, printing, office and auditing services.  These expenditures have been paid with the $30,000 cash retained from the businesses that were sold, from $50,000 of proceeds from the sale of common stock on April 1, 2004 to Dorman Industries, from $120,000 of proceeds from the sale, through a private placement, to certain accredited investors of common stock in December 2006, and from $213,001 of proceeds from the sales, through private placements, of unregistered common stock to Dorman Industries in the years 2010 through June 30, 2021.

As reflected in the accompanying balance sheet at June 30, 2021, cash totals $203. Based on such balance and management’s forecast of activity levels during the period that it may remain a “public shell” corporation, management will have to again sell through private placement a number of additional shares of common stock to generate sufficient cash to pay its current liabilities and its administrative expenses as such expenses become due in 2021.  If the Company has not identified and consummated an acquisition by that date, the Company will need to obtain additional funds to maintain its administrative activities as a public shell company.   Management intends to obtain such administrative funds from Dorman Industries in the form of loans or through equity sales in an amount sufficient to sustain operations at their current level. There can be no assurance that Dorman Industries, which owns 68.90% of the Company’s outstanding stock, or any other party will advance needed funds on any terms.  The Company has not identified as yet potential acquisition candidates, the acquisition of which would mean that the Company would cease being a “public shell” and begin operating activities.

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Loss Per Share
6 Months Ended
Jun. 30, 2021
Loss Per Share  
Loss Per Share

Note 2 – Loss per Share

Loss per share is calculated using the weighted average number of common shares outstanding during the periods presented.  There are no outstanding dilutive stock options and warrants; all outstanding stock options and warrants were cancelled effective with the 2004 Net Asset Sale.  The Company has no dilutive securities.

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Basis of Presentation (Details)
1 Months Ended 6 Months Ended
Dec. 30, 2020
USD ($)
shares
Dec. 21, 2006
USD ($)
shares
Dec. 31, 2006
USD ($)
Apr. 30, 2004
USD ($)
shares
Jun. 30, 2021
USD ($)
shares
Jun. 30, 2020
USD ($)
Dec. 31, 2020
USD ($)
Mar. 31, 2004
USD ($)
Basis of Presentation [Line Items]                
Cash         $ 203   $ 203 $ 30,000
Reverse stock split       0.20        
Proceeds From Issuance Of Common Stock     $ 213,001 $ 120,000 $ 6,989 $ 15,480    
Payment for Discontinued Operations, Disposal Cost       $ 30,000        
Dorman Industries                
Basis of Presentation [Line Items]                
Sale Of Post Split Shares | shares 7,044,117 2,400,000   5,248,257 7,044,117      
Sale Of Post Split Shares Value $ 213,001 $ 120,000   $ 50,000 $ 213,001      
Proceeds From Issuance Of Common Stock       $ 50,000        
Noncontrolling Interest, Ownership Percentage By Parent       62.50%        
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners         68.90%      
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