-----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, MNyolVn/6yPRonDME/JTUSIwaF9wYFeztZ8VZlCP6MgpjjU7IEWMp2JrVnRhLiQR 79VGdhdfqWaKRKkGxBin7g== 0000950152-00-004084.txt : 20000516 0000950152-00-004084.hdr.sgml : 20000516 ACCESSION NUMBER: 0000950152-00-004084 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20000331 FILED AS OF DATE: 20000515 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CABLE LINK INC CENTRAL INDEX KEY: 0000893139 STANDARD INDUSTRIAL CLASSIFICATION: CABLE & OTHER PAY TELEVISION SERVICES [4841] IRS NUMBER: 311239657 STATE OF INCORPORATION: OH FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10QSB SEC ACT: SEC FILE NUMBER: 000-23111 FILM NUMBER: 631181 BUSINESS ADDRESS: STREET 1: 280 COZZINS ST CITY: COLUMBUS STATE: OH ZIP: 43215 BUSINESS PHONE: 6142213131 10QSB 1 CABLE LINK, INC. 10QSB 1 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-QSB (Mark One) [X] Quarterly report under Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly period ended March 31, 2000. [ ] Transition report under Section 13 or 15(d) of the Exchange Act For the transition period from __________ to ___________ Commission File Number 0-23111 Cable Link, Inc. ---------------------------------------------------------------- (Exact Name of Small Business Issuer as Specified in its Charter Ohio 31-1239657 - ------------------------------- --------------------- (State or Other Jurisdiction of (IRS Employer Incorporation or Organization) Identification No.) 280 Cozzins Street, Columbus, Ohio - -------------------------------------------------------------------------------- (Address of Principal Executive Offices) (614) 221-3131 - -------------------------------------------------------------------------------- (Issuer's Telephone Number, Including Area Code) - -------------------------------------------------------------------------------- (Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report) Check whether the issuer: (1) filed all reports required to be filed by Section 13 or 15(d) of the 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 X No --------- --------- State the number of shares outstanding of each of the issuer's classes of common equity, as of the latest practicable date: 1,708,936 shares of Common Stock as of March 31, 2000 Transitional Small Business Disclosure Format (check one): Yes X No --------- --------- 2 PART I FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS. CABLE LINK, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
3 Months Ending March 31 2000 1999 ---------- ---------- Net Sales $2,078,664 $3,163,075 ---------- ---------- Cost of goods sold 1,225,747 2,073,846 Operating expenses 798,649 784,014 ---------- ---------- Total expenses 2,024,396 2,857,860 ---------- ---------- Income from operations 54,268 305,215 Interest expense (13,019) (31,337) Other income (expenses) 273 (10,211) ---------- ---------- Income before taxes 41,522 263,667 Provision for taxes -- 60 ---------- ---------- Income from continuing operations 41,522 263,607 Discontinued operations inc (loss) from operations of discontinued division 225,822 (422,260) ---------- ---------- Net income (loss) before cumulative effect of change in principle, net 267,344 (158,653) Cumulative effect of change in accounting principle, net -- (42,246) ---------- ---------- Net income (loss) $ 267,344 $(200,899) ========== ========== Basic EPS: Income from continuing operations $ 0.03 $ 0.16 Income (loss) on discontinued operations 0.13 (0.25) Cumulative effect of change in accounting principle -- (0.03) ---------- ---------- Net income (loss) $ 0.16 $ (0.12) ========== ========== Weighted average shares outstanding 1,696,924 1,694,275 Diluted Income from continuing operations $ 0.02 $ 0.14 Income (loss) on discontinued operations 0.12 (0.23) Cumulative effect of change in accounting principle -- (0.02) ---------- ---------- Net income (loss) $ 0.14 $ (0.11) ========== ========== Weighted average shares outstanding 1,927,847 1,827,383
2 3 CABLE LINK, INC. AND SUBSIDIARY CONSOLIDATED BALANCE SHEETS
2000 1999 MARCH 31 December 31 (UNAUDITED) (Audited) ----------- --------- ASSETS Current Assets Cash $ 132,144 $ 213,113 Accounts receivable, net 1,424,398 2,060,469 Income tax receivable 67,060 144,000 Inventories 1,419,456 1,557,257 Prepaid expenses 103,182 40,182 Deferred income taxes 517,000 517,000 Property & equipment available for sale 49,325 50,000 Deposit 11,850 15,359 ---------- ---------- Total current assets $3,724,415 $4,597,380 ---------- ---------- Property and Equipment Property and equipment, at cost 1,474,465 1,426,367 Accumulated depreciation (912,268) (865,466) ---------- ---------- Total Property and Equipment 562,197 560,901 ---------- ---------- Other Assets Deferred tax asset 94,000 94,000 Deposits 26,739 27,238 ---------- ---------- Total other assets 120,739 121,238 ---------- ---------- TOTAL ASSETS $4,407,351 $5,279,519 ========== ==========
3 4 CABLE LINK, INC. AND SUBSIDIARY CONSOLIDATED BALANCE SHEETS
2000 1999 MARCH 31 December 31 (UNAUDITED) (Audited) ----------- --------- LIABILITIES Current Liabilities Current portion long-term obligation $ 9,117 $ 19,958 Note Payable - Bank 1,417,718 2,216,218 Accounts payable 1,483,435 1,251,975 Accrued expenses 242,865 497,231 Accrued loss on discontinued operations 143,286 433,448 Covenants not to compete 11,664 29,164 ---------- ---------- Total current liabilities 3,308,085 4,447,994 Long-term obligations 745 24,855 ---------- ---------- Total Liabilities $3,308,830 $4,472,849 ---------- ---------- STOCKHOLDER'S EQUITY Current Stockholders' Equity Common stock 1,496,864 1,472,357 Additional paid-in capital 136,136 136,136 Retained deficit (534,479) (801,823) ---------- ---------- Total Stockholder's Equity 1,098,521 806,670 ---------- ---------- TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY $4,407,351 $5,279,519 ========== ==========
4 5 CABLE LINK, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED) Three Months Ending March 31, 2000 and the year ended December 31, 1999
Shares of Issued Additional Retained and Outstanding Common Paid-In Earnings Common Stock Stock Capital (Deficit) Total ---------------- ---------- -------- ----------- ----------- BALANCE AT DECEMBER 31, 1998 1,689,136 $1,463,387 $136,136 $ 510,384 $ 2,109,907 Exercise of options and warrants 5,940 $ 8,970 -- -- $ 8,970 Net loss -- -- -- $(1,312,207) $(1,312,207) --------- ---------- -------- ----------- ----------- BALANCE AT DECEMBER 31, 1999 1,695,076 $1,472,357 $136,136 $ (801,823) $ 806,670 Exercise of options and warrants 13,860 $ 24,507 -- -- $ 24,507 Net income -- -- -- $ 267,344 $ 267,344 --------- ---------- -------- ----------- ----------- BALANCE AT MARCH 31, 2000 1,708,936 $1,496,864 $136,136 $ (534,479) $ 1,098,521 ========= ========== ======== =========== ===========
5 6 CABLE LINK, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF CASH FLOW (UNAUDITED) Three Months Ending March 31
2000 1999 --------- --------- CASH FLOWS FROM OPERATING ACTIVITIES: Net income (loss) $ 267,344 $(200,899) --------- --------- Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 55,302 137,155 Loss on sale of equipment -- 10,368 Cumulative effect of change in accounting principle -- 42,246 Gain on discontinued operations/disposal of division (290,162) -- (Increase) decrease in operating assets: Accounts receivable 636,071 341,119 Income tax receivable 76,940 260,347 Inventories 137,801 649,747 Prepaid and other assets (58,992) 23,468 Increase (decrease) in operating liabilities Accounts payable 231,460 (803,249) Accrued warranty (17,749) (24,293) Acquisition bonus -- (15,000) Accrued expenses (254,366) (15,563) --------- --------- Total adjustments 516,305 606,345 --------- --------- Net cash provided by operating activities 783,649 405,446 --------- --------- CASH FLOWS FROM INVESTING ACTIVITIES: Purchase of property and equipment (56,598) (57,870) Proceeds from sales of equipment 675 63,897 --------- --------- Net cash (used in) provided by investing activities (55,923) 6,027 --------- --------- CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from sales of common stock 24,507 8,970 Payments on covenant not to compete liability (17,500) (58,750) Net decrease in line of credit (773,500) (302,569) Principal payments on debt (25,000) -- Payments on capital lease obligations (17,202) (16,443) --------- --------- Net cash used in financing activities (808,695) (368,792) --------- --------- Net increase (decrease) in cash (80,969) 42,681 Cash - beginning of period 213,113 61,418 --------- --------- Cash - end of period $ 132,144 $ 104,099 ========= ========= SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: Cash paid during the period for interest $ 46,614 $ 63,019 Cash (received) paid for income taxes during the period $ (45,940) $ 2,152
6 7 CABLE LINK, INC AND SUBSIDIARY NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS NATURE AND SCOPE Cable Link, Inc. (the "Parent") sells new, used and refurbished cable TV equipment in addition to repairing equipment for cable companies within the United States and various international markets. The Parent operates both its administrative and manufacturing operations from a single, leased facility in Columbus, Ohio. The Parent began leasing a facility in Florida to house additional re-manufacturing and international sales operations during 1999. In 1998, the Parent purchased 100% of the stock of PC & Parts, Inc dba Auro Computer Services (the "Subsidiary"). During the first quarter of 2000 the Parent decided to close the Subsidiary. The Subsidiary was located in a suburb of Columbus and resold computer hardware and assembled computer hardware components into personal computers. The Subsidiary also sold personal computer software and provided both wide area networking (WAN) and local area networking (LAN), year 2000 testing and solutions, and many other service and support needs throughout Central Ohio and the surrounding area. The Parent began a foreign sales corporation (FSC) during 1998 to handle all foreign sales. The interim consolidated financial statements have been prepared by the Company without an audit and, in the opinion of management, reflect all adjustments of a normal recurring nature necessary for a fair statement of the consolidated financial position of the Company as of March 31, 2000, the consolidated results of operations for the three months ended March 31, 2000 and consolidated cash flow for the three months ended March 31, 2000. Interim results are not necessarily indicative of results for a full year. The balance sheet as of December 31, 1999 has been derived from the financial statements that have been audited by the Company's independent public accountants. The financial statements and notes are condensed as permitted by Form 10-QSB and do not contain certain information included in the annual financial statements and notes of the Company. The financial statements and notes included herein should be read in conjunction with the financial statements and notes included in the Company's annual report and Form 10-KSB. PRINCIPLES OF CONSOLIDATION The consolidated financial statements are on the accrual basis of accounting and include the financial statements of the Parent, the FSC, and the Subsidiary for 2000 and 1999, in entirety. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES USE OF ESTIMATES The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting periods. Actual amounts could differ from these estimates. NOTE PAYABLE - BANK The Company has a revolving credit line with a bank for $3,300,000. The credit line is secured by substantially all assets of the Company and is payable on demand. The line matures on June 30, 2000, and interest is charged at prime plus 1% (9.75% and 9.50% at March 31, 2000, and December 31, 1999 respectively). Outstanding borrowings at March 31, 2000 and December 31, 1999 were $1,009,385 and $1,782,885, respectively. 7 8 The Company has a note payable to a bank relating to the acquisition of the Subsidiary. The face amount of the note is $500,000 and interest is due monthly at prime plus 1% (9.75% and 9.50% at March 31, 2000, and December 31, 1999, respectively). The principal balances were $408,333 and $433,333 at March 31, 2000 and December 31 1999, respectively. The principal is due at maturity on June 30, 2000. The note is secured by substantially all of the assets of the Company. COVENANTS NOT TO COMPETE Under the terms of the purchase agreement when the Company purchased the Subsidiary, the Company is paying the sellers $150,000 in monthly installments over two years. Accordingly, a short-term and long-term liability was recognized. The Company allocated $200,000 of the purchase price to the covenant to be amortized using the straight-line method over the same two year period. Additionally, the Company had a non-compete agreement with the Subsidiary's former president through December 31, 1999. The amount of $82,500 was paid over six months. Accordingly, a short-term asset and liability were recorded and amortized using the straight-line method during 1999. The unamortized balance of the covenants not to compete, $41,664, was written off as part of the disposal of the discontinued operations. The liability at March 31, 2000 and December 31, 1999 was $11,664 and $29,164, respectively. REPORTABLE SEGMENTS Management has elected to identify the Company's reportable segments based on operating units: Cable Link, Inc., including the FSC, and PC & Parts, INC. dba Auro Computer Services. Information related to the Company's first quarter 2000 reportable segments is as follows:
Auro Cable Link Computer Inc. Services Total ---------- -------- ----- Revenues $2,078,664 $ 989,945 $3,068,609 Cost of sales 1,225,747 863,881 2,089,628 ---------- --------- ---------- Gross margin 852,917 126,064 978,981 Operating expenses 798,649 376,061 1,174,710 ---------- --------- ---------- Operating income (loss) 54,268 (249,997) (195,729) Interest expenses (13,019) (39,595) (52,614) Other income (expenses) 273 2,990 3,263 ---------- --------- ---------- Income (loss) $ 41,522 $(286,602) $ (245,080) ========== ========= ========== Total assets $4,388,375 $ 176,314 $4,564,689 ========== ========= ========== Depreciation and amortization expenses $ 55,302 $ -- $ 55,302 ========== ========= ==========
REPORTABLE SEGMENTS (continued) A reconciliation of the segments' operating loss to the consolidated net income is as follows: Segments operating loss $(245,080) Add: Gain on disposal of division 225,822 Accrued loss on discontinued operations 286,602 --------- Consolidated net income $ 267,344 =========
8 9 A reconciliation of the segments' total assets to the consolidated total assets is as follows: Segments total assets $4,564,689 Less: Intercompany receivables (157,338) ---------- Consolidated total assets $4,407,351 ==========
NEW ACCOUNTING PRONOUNCEMENT In 1999, the Company adopted Statement of Position (SOP) 98-5 "Reporting of Start-up Activities." This SOP required that costs of start-up activities, including organization costs, be expensed as incurred. The SOP was reported as a cumulative effect of a change in accounting principle in the amount of $26,246, net of tax, for 1999. No other accounting pronouncements have been issued that have any effect on the Company. 9 10 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION. The following discussion should be read in conjunction with the financial statements and footnotes appearing elsewhere herein. Fluctuations in annual operating results may occur as a result of certain factors such as the size and timing of customers' orders and competition. Due to such fluctuations, historical results and percentage relationships are not necessarily indicative of the results for any future period. Statements which are not historical facts contained in this report are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from projected results and are made pursuant to the "safe harbor provisions of the Private Securities Litigation Act of 1995". Factors that could cause actual results to differ materially include, but are not limited to, the following: the ability to obtain new contracts at attractive prices; the size and timing of customers orders; fluctuations in customer demand; competitive factors; the timely completion of contracts; and general economic conditions, both domestically and abroad. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's analysis only as of the date hereof. The Company undertakes no obligation to publicly release the results of any revision to these forward-looking statements, which may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. GENERAL Cable Link, Inc. (the "Parent") sells new, used and refurbished cable TV equipment in addition to repairing equipment for cable companies within the United States and various international markets. The Parent operates both its administrative and manufacturing operations from a leased facility in Columbus, Ohio. The Parent began leasing a facility in Florida to house additional re-manufacturing and international sales operations during 1999. In 1998, the Parent purchased 100% of the stock of PC & Parts, Inc dba Auro Computer Services (the "Subsidiary"). In February 2000, the Company decided to close the Subsidiary and operations ceased on February 21, 2000. The Subsidiary was located in a suburb of Columbus and resold computer hardware and assembled computer hardware components into personal computers. The Subsidiary also sold personal computer software and provided both wide area networking (WAN) and local area networking (LAN), year 2000 testing and solutions, and many other service and support needs throughout Central Ohio and the surrounding area. Management is in the process of liquidating the remaining assets and liabilities of the Subsidiary. RESULTS OF OPERATIONS NET SALES Net sales for the Parent for the first quarter ending March 31, 2000 were $2,078,664 compared to $3,163,075 for the first quarter ending March 31, 1999, a decrease of $1,084,411. This represents a decrease of 34.3% over the previous year for the same period. The decrease in sales is primarily due to a decrease in the CATV operators' purchasing of converters as compared to the first quarter of 1999. The first quarter of 1999 included a one-time sale of converters to a customer that totaled approximately $765,000. COST OF GOODS SOLD The cost of goods sold for the Parent for the first quarter ending March 31, 2000 was $1,225,747, a decrease of $848,099 as compared to same period for 1999. The decrease in 2000 is primarily attributable to a reduction in production labor expense and product cost due to a decrease in sales. The decrease in labor cost is primarily the result of a reduction in labor force as well as increased efficiencies and new procedures that have led to improved productivity of employees. 10 11 OPERATING EXPENSES Operating expenses for the Parent increased to $798,649 for the first quarter ending March 31, 2000 as compared to $784,014 for the same period in 1999. The increase is a result of hiring additional sales people for the Columbus, Ohio and Hollywood, Florida locations. The Parent will continue to implement procedures and review the Company's organizational structure in an attempt to increase efficiencies and reduce costs. INCOME FROM OPERATIONS The income from operations for the Parent for the first quarter ending March 31, 2000 was $54,268 as compared $305,215 for the same period in 1999, a decrease of $250,947. The decrease in income from operations is a result of a decrease in sales during the quarter. ACCOUNTS RECEIVABLE Accounts receivable decreased $636,071 or 30.9% from December 31, 1999 as compared to the March 31, 2000 balance of $1,424,398. This decrease in accounts receivable is due to improved collections on accounts and the decrease in sales for the first quarter. In addition, the accounts receivable collections have been approximately $175,000 better than anticipated for the Subsidiary since December 31, 1999. INVENTORIES Inventory decreased 8.8% or $137,801 from December 31, 1999 as compared to March 31, 2000. The decrease is attributable to the sale of the entire inventory of the Subsidiary. ACCOUNTS PAYABLE Accounts payable increased 18.5% or $231,460 from December 31, 1999 as compared to March 31, 2000. The majority of the increase is attributable to an increase in payables of the Subsidiary. SHORT TERM OBLIGATIONS Short-term obligations decreased by $773,500 from December 31, 1999 as compared to March 31, 2000. This decrease is due to improved cash flows generated by an improvement in accounts being received within terms. WARRANTY Warranties are extended on new, repaired and refurbished cable products for periods of up to one year. The Company's expense for cable product warranties is not material. LIQUIDITY AND CAPITAL RESOURCES The Company finances its operations primarily through internally generated funds and bank lines of credit totaling $3,300,000. As a result of the closing of the Subsidiary the Company will assume the bank debt related to the Subsidiary. As of March 31, 2000 the balance outstanding was $906,637 but could decrease by future liquidation of assets. This will have a negative impact to the future cash flow of the Company. The Company does not at this time anticipate the need for additional capital unless there is a significant increase in its operation. As of December 31, 1999 and as a result of the loss on disposal of the Subsidiary, the Company was in violation of several loan covenants relating to its loan agreements with the bank. The bank has agreed to waive the loan covenants. The Company has a draw note payable to the bank relating to the covenants. The Company may borrow up to $200,000. Interest is due monthly at the rate of 14%. The principal balance is $150,000 at April 30, 2000 and the principal is due at maturity on June 30, 2000. Prior to June 30, 2000 the Company is expecting to renegotiate the terms of the notes for the purpose of obtaining long-term financing. YEAR 2000 The Parent and its Subsidiary ("the Company") had in place detailed programs to address Year 2000 readiness in its internal control systems and with its key customers and suppliers. The Company communicated with its major customers, suppliers and financial institutions to assess the potential impact on the Company's operations if those third parties failed to become Year 2000 compliant in a timely manner. Risk assessment, readiness evaluation, and contingency plans were completed by December 31, 1999. The Company's key financial institutions have been 11 12 surveyed and they were Year 2000 compliant on or before December 31, 1999. The company has experienced no problems since the beginning of the year. 12 13 PART II OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS. None. ITEM 2. CHANGES IN SECURITIES AND USE OF PROCEEDS. None. ITEM 3. DEFAULTS UPON SENIOR SECURITIES. None. ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS. Not applicable. ITEM 5. OTHER INFORMATION. None. ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K. (a) Exhibits. (2) Charter and Bylaws. The Articles of Incorporation and Code of Regulations of the Issuer as presently in effect. (3) Instruments Defining the Rights of Security Holders. (a) See Exhibit 2.1 - Articles of Incorporation; Articles IV, V and VI. See Exhibit 2.2 - Code of Regulations; Articles I, IV and VII (b) The registrant agrees to provide to the Commission upon request instruments defining the rights of holders of long-term debt of the registrant and all of its subsidiaries for which consolidated financial statements are required to be filed. (5) Voting Trust Agreement. None. (6) Material Contracts. See Exhibit 6.1 - 1995 Stock Option Plan dated October 17, 1995. See Exhibit 6.2. - Warrant Agreement for Axxess International Group, Inc. dated January 8, 1997. See Exhibit 6.3. Non-Competition and Consulting Agreement dated October 18, 1994. See Exhibit 6.4. First Amendment Agreement to Non-Competition and Consulting Agreement dated June 1, 1995. See Exhibit 6.5. Second Amendment Agreement to Non-Competition and Consulting Agreement dated November 16, 1995. 13 14 See Exhibit 6.6. Consulting Agreement dated October 1, 1996. See Exhibit 6.7. Eric S. Newman Independent Consulting Letter Agreement dated August 1, 1994. See Exhibit 6.8. Loan and Security Agreement dated November 27, 1996. See Exhibit 6.9. Promissory Note dated April 30, 1997. See Exhibit 6.10. Lease dated November 4, 1992 and Lease Modification Agreement dated October 26, 1995 for Suite 201, 280 Cozzins, Columbus, Ohio. (7) Material Foreign Patents. None. (8) Plan of Acquisition, Reorganization, etc. See Exhibit 8.1. Stock Purchase and Non-Compete Agreement among PC & Parts, Inc., its Shareholders, Brian Berger and Cable Link, Inc. dated May 18, 1998. See Exhibit 8.2. Stock Agreement among Cable Link, Inc., PC & Parts, Inc. and Brian Berger dated May 18, 1998. (b) Reports on Form 8-K. A report on Form 8-K was filed on March 2, 2000 reporting the closing of PC & Parts, Inc. (10) Consents. The consent of Groner, Boyle & Quillin, LLP 14 15 SIGNATURES In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. CABLE LINK, INC. Dated May 15, 2000 By s/ Bob Binsky --------------------------------- --------------------------------- Bob Binsky, Chairman of the Board (principal executive officer) By s/ Gerald S. Blaskie --------------------------------- Gerald S. Blaskie, Controller (principal accounting officer) 15 16 EXHIBIT INDEX
PAGE IN SEQUENTIALLY NUMBERED EXHIBIT COPY 2.1. Articles of Incorporation of Cable Link, Inc., as amended (incorporated by reference to Exhibit 2.1 of 10-SB, as amended. filed December 23, 1997 (the "Form 10-SB"); Commission File No. 0-23111). * 2.2. Code of Regulations of Cable Link, Inc., as amended (incorporated by * reference to Exhibit 2.2 to the Form 10-SB). 3.1. See Articles IV, V and VI of the Articles of Incorporation of the Registrant (see Exhibit 3.1). * 3.2. See Articles I, IV and VII of the Code of Regulations of the Registrant (see Exhibit 3.2). * 6.1. 1995 Stock Option Plan dated October 17, 1995 (incorporated by reference to Exhibit 6.1 to the Form 10-SB). * 6.2. Warrant Agreement for Axxess International Group, Inc. dated January 8, 1997 (incorporated by reference to Exhibit 6.2 to the Form 10-SB). * 6.3. Non-Competition and Consulting Agreement dated October 18, 1994 (incorporated by reference to Exhibit 6.3 to the Form 10-SB). * 6.4. First Amendment Agreement to Non-Competition and Consulting Agreement dated June 1, 1995 (incorporated by reference to Exhibit 6.4 to the Form 10-SB). * 6.5. Second Amendment Agreement to Non-Competition and Consulting Agreement dated November 16, 1995 (incorporated by reference to Exhibit 6.5 to the Form 10-SB). * 6.6. Consulting Agreement dated October 1, 1996 (incorporated by reference to Exhibit 6.6 to the Form 10-SB). * 6.7. Eric S. Newman Independent Consulting Letter Agreement dated August 1, 1994 (incorporated by reference to Exhibit 6.7 to the Form 10-SB). * 6.8. Loan and Security Agreement dated November 27, 1996 (incorporated by reference to Exhibit 6.8 to the Form 10-SB). * 6.9. Promissory Note dated April 30, 1997 (incorporated by reference to Exhibit 6.9 to the Form 10-SB). * 6.10. Lease dated November 4, 1992 and Lease Modification Agreement dated October 26, 1995 for Suite 201, 280 Cozzins, Columbus, Ohio (incorporated by reference to Exhibit 6.10 to the Form 10-SB/A of * Registrant, Registration No. 0-23111)). 8.1 Stock Purchase and Non-Compete Agreement among PC & Parts, Inc., its Shareholders, Brian Berger and Cable Link, Inc. dated May 18, 1998 *
16 17 (incorporated by reference to Exhibit 2.1 to the Form 8-K of Registrant filed May 29, 1998, Registration No. 0-23111) 8.2 Stock Agreement among Cable Link, Inc., PC & Parts, Inc. and Brian Berger dated May 18, 1998 (incorporated by reference to Exhibit 2.2 to the Form 8-K of Registrant filed May 29, 1998, Registration No. 0-23111) * Consent of Groner, Boyle & Quillin, LLP (incorporated by reference to Exhibit 10.1 to the Form 10-KSB40 of Registrant filed March 31, 1999, Registration No. 0-23111) * 27. Financial Data Schedule (submitted electronically for SEC purposes only) *Incorporated by reference
17 EX-27 2 EXHIBIT 27
5 THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE REGISTRANT'S UNAUDITED FINANCIAL STATEMENTS FOR THE THREE MONTHS ENDED MARCH 31, 2000 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 3-MOS DEC-31-2000 JAN-01-1999 MAR-31-2000 132,144 0 1,549,304 57,846 1,419,456 3,724,415 1,474,465 912,268 4,407,351 3,308,085 0 0 0 1,496,864 (398,343) 4,407,351 2,078,664 2,078,664 1,225,747 2,024,396 0 0 13,019 41,522 0 41,522 225,822 0 0 267,344 0.16 0.14
-----END PRIVACY-ENHANCED MESSAGE-----