-----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, S1mXsLMV6auLv79cNhZcmui/bQC+loRt8F9ZtzvARFcTnvH1FYbiqbKaCsGQxLS5 dRjJ4moUOjLfwRP8e8Efcg== 0001092804-01-500010.txt : 20010515 0001092804-01-500010.hdr.sgml : 20010515 ACCESSION NUMBER: 0001092804-01-500010 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20010331 FILED AS OF DATE: 20010514 FILER: COMPANY DATA: COMPANY CONFORMED NAME: UNITED TRADING COM CENTRAL INDEX KEY: 0000949728 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-PREPACKAGED SOFTWARE [7372] IRS NUMBER: 880106514 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10QSB SEC ACT: SEC FILE NUMBER: 000-29987 FILM NUMBER: 1634049 BUSINESS ADDRESS: STREET 1: 19762 MACARTHUR BLVD STREET 2: STE 300 CITY: IRVINE STATE: CA ZIP: 92612 BUSINESS PHONE: 9495596955 MAIL ADDRESS: STREET 1: 19762 MAC ARTHUR BLVD STREET 2: STE 300 CITY: IRVINE STATE: CA ZIP: 92612 FORMER COMPANY: FORMER CONFORMED NAME: UNITED CASINO CORP DATE OF NAME CHANGE: 20000222 10QSB 1 doc1.txt U.S. SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Form 10-QSB Quarterly Report Under the Securities Exchange Act of 1934 For Quarter Ended: March 31, 2001 Commission File Number: 0-29987 UNITED TRADING.COM (Exact name of small business issuer as specified in its charter) Nevada 88-0106514 ------ ---------- (State or other jurisdiction of (IRS Employer incorporation or organization) Identification No.) 19762 MacArthur Blvd., # 300 Irvine, California (Address of principal executive offices) 92612 (Zip Code) (949) 553-9660 --------------- (Issuer's Telephone Number) -------------------------------------------------- (Former name, former address and former fiscal year, if changed last report) Check whether the issuer (1) filed all reports required to be filed by Section13 or 15(d) of the Securities Exchange Act of 1934 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 [ ]. --- --- The number of shares of the registrant's only class of common stock issued and outstanding, as of September 30, 2000, was 12,999,368 shares. 1 PART I ITEM 1. FINANCIAL STATEMENTS. The unaudited financial statements for the three month period ended March 31, 2001, are attached hereto. 2
UNITED TRADING.COM (A Development Stage Enterprise) BALANCE SHEET March 31, 2001 (Unaudited) ASSETS ------ CURRENT ASSETS Cash. . . . . . . . . . . . . . . . . . . . . . . $ 749 Current portion of contacts receivable (Note 2) . 280,000 ----------- Total Current Assets . . . . . . . . . . . . . . . . 280,749 OTHER ASSETS Contracts receivable.(Note 2) . . . . . . . . . . 210,000 Premium Java site development costs (Net of amortization of $1,500) . . . . . . . . 13,500 Software for Licensing (net of amortization of $89,230) (Note 3). . . . . . . 557,387 ----------- 780,887 ----------- Total Assets . . . . . . . . . . . . . . . . . $1,061,636 =========== Liabilities and Shareholder Equity CURRENT LIABILITIES Accounts payable. . . . . . . . . . . . . . . . . $ 3,272 ----------- Total Current Liabilities. . . . . . . . . . . 3,272 OTHER LIABILITIES Advances/deposits . . . . . . . . . . . . . . . . 70,938 Deferred income taxes (Note 4). . . . . . . . . . 16,000 ----------- 86,938 STOCKHOLDERS' EQUITY Common Stock (50,000,000 shares authorized and 41,208,104 issued and outstanding). . . . . 41,208 Additional Paid-in Capital. . . . . . . . . . . . 1,131,771 Retained Deficit - accumulated during Development Stage. . . . . . . . . . . . . . . (201,553) ----------- Total Stockholders' Equity. . . . . . . . . . . . 971,426 ----------- Total Liabilities and Stockholders' Equity . . . . . . . . . $1,061,636 =========== See Accompanying Notes
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UNITED TRADING.COM (A Development Stage Enterprise) STATEMENT OF OPERATIONS (Unaudited) For the For the For the Period Quarter Ended Quarter Ended Inception thru March 31, 2001 March 31, 2000 March 31, 2001 ---------------- ---------------- ---------------- REVENUES Consulting fees . . . . . . . . . . . . . $ - $ - $ 544,894 Sales . . . . . . . . . . . . . . . . . . - - 770,000 Interest income . . . . . . . . . . . . . - - 3,764 ---------------- ---------------- ---------------- Total Revenues . . . . . . . . . . . . 0 0 1,318,658 EXPENSES General and administrative. . . . . . . . 65,694 18,750 1,026,634 Allowance for uncollectable debt. . . . . 0 0 160,937 Depreciation and amortization . . . . . . 32,396 674 132,112 ---------------- ---------------- ---------------- Total Expenses . . . . . . . . . . . . 98,090 19,424 1,319,683 Income (Loss) from activities of NetBet, Inc. . . . . . . . . . . . . . 0 0 (118,250) Loss on sale of NetBet stock. . . . . . . 0 0 (66,278) ---------------- ---------------- ---------------- Net Pre-Tax Income (Loss). . . . . . . . . . (98,090) (19,424) (185,553) Net Pre-Tax Income (Loss) per Common Share, basic and diluted. . . . . ($0.002) ($0.003) ($0.023) ================ ================ ================ Income taxes (Note 4) . . . . . . . . . . $ 24,000 0 ($16,000) ---------------- ---------------- ---------------- Net Income (Loss) After Taxes. . . . . . . . ($74,090) ($19,424) ($201,553) ================ ================ ================ Net Income (Loss) per Common Share, basic and diluted. . . . . ($0.002) ($0.003) ($0.025) ================ ================ ================ Weighted Average number of Common Shares outstanding, basic and diluted adjusted for 1/50 reverse split in 1999 and 3/1 forward spit in October, 2000. 41,202,947 6,491,879 7,942,818 =========== =========== =========== See Accompanying Notes
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UNITED CASINO CORPORATION (A Development Stage Enterprise) STATEMENT OF CASH FLOWS (Unaudited) For the For The For the Period Quarter Ended Quarter Ended Inception thru March 31, 2001 March 31, 2000 March 31, 2001 -------------- -------------- -------------- OPERATING ACTIVITIES - ---------------------------------- Net Income (Loss). . . . . . . . . . . . . . . . $ (74,090) $ (19,424) ($201,553) Adjustments to reconcile Net Loss to Cash provided (used) by operating activities: Depreciation and Amortization . . . . . . . . 32,396 674 108,567 Loss on disposal of office Furniture & Equip. 10,258 - 15,972 Changes in operating assets and liabilities: Decrease (increase) in Deferred Offering Costs . . . . . . . . . . . . . . - 15,550 - Increase (decrease) in Accounts Payable . . . 3,271 (21,010) 3,271 Increase (decrease) in Income Taxes Payable . - - (Increase) decrease in Receivable from Software License Sales . . . . . . . . . . 50,000 (200,000) (490,000) (Increase) decrease in Advance License Fees . (20,362) - 70,938 (Increase) decrease in Other Receivables. . . - (15,674) - (Increase) decrease in Deposits . . . . . . . 25,000 - - Increase (decrease) in Deferred Taxes . . . . (24,000) - 16,000 ---------------- ---------------- ---------------- Net cash provided by Operating Activities. . . . 2,473 (239,884) (476,805) INVESTMENT ACTIVAITIES - -------------------------------------- Decrease (increase) in Property and Equipment. . . . . . . . . . . . . . . . . - (800) (36,318) Decrease (increase) in Software for License. . . . . . . . . . . . . . . . . . (27,399) (120,320) (646,617) Decrease (increase) in Premium Java Site Development. . . . . . . . . . . - - (15,000) Decrease (increase) in Organization Costs . . - - (1,190) ---------------- ---------------- ---------------- Net cash (used) by Investment activities . . . . (27,399) (121,120) (699,125) FINANCING ACTIVITIES - --------------------------------- Disposal of Office Furniture & Equip. . . . . 3,700 - 3,700 Increase (decrease) in Common Stock . . . . . - 430,450 1,172,979 ---------------- ---------------- ---------------- Net cash provided by Financing Activities. . . . 3,700 430,450 1,176,679 ---------------- ---------------- ---------------- Increase (decrease) in Cash. . . . . . . . . . . (21,226) 69,446 749 Cash at Beginning of Period. . . . . . . . . . . 21,975 3,458 - ---------------- ---------------- ---------------- Cash at End of Period. . . . . . . . . . . . . . $ 749 $ 72,904 $ 749 ================ ================ ================ See Accompany Notes
5 UNITED TRADING.COM (A Development Stage Enterprise) NOTES TO FINANCIAL STATEMENTS March 31, 2001 NOTE 1 - Basis of Presentation ------------------------ The accompanying consolidated balance sheet of United Trading.Com (A Development Stage Company) at March 31, 2001, and the consolidated statements of operations for the three months ended March 31, 2000 and 2001 and the cumulative period during the development stage through March 31, 2001 and the consolidated statements of cash flows for three months ended March 31, 2000 and 2001 and the cumulate period during the development stage through March 31, 2001, have been prepared by the Company's management and they do not include all information of the financial position, results of operations, and cash flows in conformity with generally accepted accounting principles. In the opinion of management, all adjustments considered necessary for a fair presentation of the results of operations and financial position have been included and all such adjustments are a normal recurring nature. The unaudited consolidated financial statements should be read in conjunction with the financial statements and footnotes thereto included in the Company's Form 10-KSB for the year ended December 31, 2000. Operating results for the three months ended March 31, 2001, are not necessarily indicative of the results that can be expected for the year ending December 31, 2001. NOTE 2 - Contracts Receivable The Company has 2 contacts each outstanding for the licensed use of its casino and sports book software. The two Casino contacts call for quarterly payments of $25,000 per quarter and the two sports book contracts call for quarterly payments of $10,000 per quarter. All four contacts are current as of March 31, 2001. NOTE 3 - Software for Licensing Software for Licensing Expenditures of approximately $647,000 incurred for the acquisition of and development of computer software for licensing to third parties has been capitalized and will be amortized over a 5 year period from July 12, 2000 following the first licensing of the software, which was effective July 11, 2000. NOTE 4 - Income Taxes The Company utilizes the asset and liability method of accounting for income taxes as set forth in FASB Statement No. 109, "Accounting for Income Taxes." Under the asset and liability method, deferred taxes are determined based on the difference between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect in the years in which the differences are expected to reverse. 6 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATIONS The following discussion should be read in conjunction with the Financial Statements and notes thereto included herein. In the fourth quarter of 2000, two contracts each were cancelled by the licensees, and no new contracts were entered during the quarter ended March 31, 2001. The existing contracts call for payments totaling $700,000 over their life. The Company plans to continue marketing its Internet Casino and Spots-book software packages, and in the quarter ended March 31, 2001 introduced its lottery software which was incorporated in the Company's Casino software at no additional charge to the license holders. As of March 31, 2001, no additional purchasers for the Company's software have been identified, and the Company is evaluating other alternatives to maximize shareholder value. The Company does not plan to hire any full time employees during the next 12 months. All additional work is planned to be performed by outside consultants. Forward Looking Statements In connection with, and because it desires to take advantage of, the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, the Company cautions readers regarding certain forward looking statements in the following discussion and elsewhere in this report and in any other statement made by, or on the behalf of the Company, whether or not in future filings with the Securities and Exchange Commission. Forward looking statements are statements not based on historical information and which relate to future operations, strategies, financial results or other developments. Forward looking statements are necessarily based upon estimates and assumptions that are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the Company's control and many of which, with respect to future business decisions, are subject to change. These uncertainties and contingencies can affect actual results and could cause actual results to differ materially from those expressed in any forward looking statements made by, or on behalf of, the Company. The Company disclaims any obligation to update forward looking statements. 7 PART II. OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS - NONE ITEM 2. CHANGES IN SECURITIES a) NONE b) NONE c) There were no sales of securities made by the Company during the quarter ended March 31, 2001. d) None ITEM 3. DEFAULTS UPON SENIOR SECURITIES: - NONE ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS: - none ITEM 5. OTHER INFORMATION - NONE ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K - (a) Exhibits - NONE (b) Reports on Form 8-K: - NONE 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. UNITED TRADING.COM Date: March 10, 2001 By:/S/Norman Wright ---------------- Norman Wright, President 8 -----END PRIVACY-ENHANCED MESSAGE-----