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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON D.C. 20549
FORM 10-Q
[X] Quarterly report pursuant to Section 13 of 15(d) of the Securities
Exchange Act of 1934
For the Quarterly period ended March 31, 1998 or
[ ] Transition report pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the transition period from ________________ to _______________
Commission File Number __________________
MAXIMUS FUND I, L.L.C.
(Exact name of registrant as specified in its charter)
DELAWARE 36-4161664
(State or other jurisdiction of (IRS Employer
incorporation or organization) Identification No.)
8218 N. UNIVERSITY
PEORIA, IL 61615
(Address of principal (Zip Code)
executive offices)
(309) 691-5706
(Registrant's telephone number, including area code)
Indicate by checkmark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
YES [X] NO [ ]
Total Pages In This Report - 8
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Maximus Fund I, L.L.C.
INDEX
Page
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PART I - FINANCIAL INFORMATION
Item 1. Financial Statements -
Consolidated Statements of Financial Condition as of March 31, 1998 3
Consolidated Statements of Operations (unaudited) for the three-month
period ended March 31, 1998 4
Consolidated Statements of Changes in Partners' Capital for the
three-month period ended March 31, 1998 (unaudited) 5
Note to Unaudited Consolidated Financial Statements -- March 31, 1998 6
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations 7
Part II - OTHER INFORMATION 7
Item 6. Exhibits and Reports on Form 8-K 7
SIGNATURES 8
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PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
MAXIMUS FUND I, L.L.C.
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
<TABLE>
<CAPTION>
For the period ended
12/31/97 3/31/98
-----------------------------
<S> <C> <C>
ASSETS
Cash at bank $ 1,000 $ 135,666
Equity in commodity futures trading accounts:
Cash $ $ 353,346
Net unrealized gain/(loss) on open contracts 19,717
---------- ---------
Total equity in commodity futures
trading accounts 373,063
Total assets $ 1,000 $ 508,729
========== =========
LIABILITIES AND PARTNERS' CAPITAL
Liabilities:
Accrued administrative and other expenses $ 10,219
Pending partner additions 27,699
Accrued commissions and fees 8,400
---------
Total liabilities $ 0 $ 46,318
---------- ---------
Partners' capital
Limited partners (A units outstanding:
0 and 294.69) $ 294,251
Limited partners (B units outstanding:
0 and 157.41) $ 157,176
General partner (units outstanding: 1 and 11) $ 1,000 10,984
---------- ---------
Total partners' capital $ 1,000 462,411
---------- ---------
TOTAL LIABILITIES AND PARTNERS' CAPITAL $ 1,000 508,729
========== =========
NET ASSET VALUE PER UNIT (BOTH A AND B UNITS) $ 1,000.00 $ 998.51
========== =========
</TABLE>
See note to the unaudited consolidated financial statements.
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MAXIMUS FUND I, L.L.C.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
<TABLE>
<CAPTION>
THREE MONTHS ENDED
MARCH 31
1998
----
<S> <C>
REVENUES:
Trading profit/(loss):
Realized $ 7,647
Change in unrealized 19,717
----------
Total trading profit/loss 27,364
Interest Income 2,020
----------
TOTAL REVENUES 29,384
----------
EXPENSES:
Brokerage commissions 25,841
Organizational expenses 2,020
Management fees 1,218
Administrative and other expenses 7,000
----------
TOTAL EXPENSES 36,079
----------
NET INCOME/(LOSS) $ (6,695)
==========
NET INCOME/(LOSS) ALLOCATED TO:
Limited partners $ (6,679)
==========
General partner $ ( 16)
==========
NET INCOME/(LOSS) PER UNIT
OUTSTANDING FOR ENTIRE PERIOD $ (1.49)
==========
</TABLE>
See note to the unaudited consolidated financial statements.
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MAXIMUS FUND I, L.L.C.
CONSOLIDATED STATEMENT OF CHANGES IN PARTNERS' CAPITAL
<TABLE>
<CAPTION>
TOTAL UNITS
OF PARTNERSHIP LIMITED GENERAL
INTEREST PARTNERS PARTNER TOTAL
-------------- --------- -------- ----------
<S> <C> <C> <C> <C>
PARTNERS' CAPITAL
Quarter Ending
March 31, 1998
Beginning Equity 1.00 $ 0.00 $ 1,000 $ 1,000
Additions 1,002.10 $ 998,106 10,000 $1,008,106
Redemptions 540.00 (540,000) 0 $ 540,000
Net income/(loss) (6,679) (16) (6,695)
------- --------- -------- ----------
Ending Balance 463.10 $ 451,427 $ 10,984 $ 462,411
PARTNERS' CAPITAL
December 31, 1997
1.00 $ 0.00 $ 1,000 $ 1,000
======= ========= ======== ==========
</TABLE>
See note to the unaudited consolidated financial statements.
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MAXIMUS FUND I, L.L.C.
NOTE TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
MARCH 31, 1998
NOTE A - BASIS OF PRESENTATION
The unaudited consolidated financial statements of Maximus Fund I, L.L.C. (the
"Partnership") have been prepared in accordance with generally accepted
accounting principles for interim financial information and with the
instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they
do not include all of the information and footnotes required by generally
accepted accounting principles for complete financial statements. In the
opinion of management, all adjustments considered necessary for a fair
presentation of the financial condition and results of operations of the
Partnership for the periods presented have been included.
NOTE B - ADDITIONAL INFORMATION
It should be noted that this is the first quarter of operation for the Fund, as
it began trading during February 1998.
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Capital Resources
The purpose of the Partnership is to trade commodity interests; as such, the
Partnership does not have, nor does it expect to make, any capital expenditures
or have any capital assets that are not operating capital or assets. The
Partnership's use of assets is solely to provide necessary margin or premiums
for, and to pay any losses incurred in connection with, its trading activity.
The General Partner is also responsible for the trading activities of the Fund
and constantly monitors the market and credit risks of the Fund. The General
Partner is also responsible for maintaining compliance with the investment
objectives as set forth in the prospectus.
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================================================================================
Liquidity
Most United States commodity exchanges limit fluctuations in commodity futures
contract prices during a single day by regulations referred to as "daily price
fluctuation limits" or "daily limits". During a single trading day, no trades
may be executed at a price beyond the daily limit. Once the price of a futures
contract has reached the daily limit for that day, positions in that contract
can neither be taken nor liquidated. Commodity futures prices have occasionally
reached the daily limit for several consecutive days with little or no trading.
Similar occurrences could prevent the Partnership from promptly liquidating
unfavorable positions and subject the Partnership to substantial losses which
could exceed the margin initially committed to such trades. In addition, even
if commodity futures prices have not reached the daily limit, the Partnership
may not be able to execute futures trades at favorable prices if little trading
in such contracts is taking place. Other than these limitations on liquidity,
which are inherent in the Partnership's trading of commodity interests, the
Partnership's assets are highly liquid and are expected to remain so. The
counterparty for all exchange-traded contracts through March 31, 1998 was Iowa
Grain.
Results of Operations
Given the volatility of the markets in which the Partnership trades, its
quarterly results could fluctuate significantly and are not indicative of the
expected results for the fiscal year.
In the three month period ending March 31, 1998, the Partnership experienced
trading profits (losses) of ($6,695). This quarter represented the first
quarter of trading activity by the Partnership, as it commenced operations
during February 1998. The Partnership had a slight net trading gain for the
quarter, offset by administrative and other expenses which accounted for the
small operating loss.
At March 31, 1998 there were no material credit risk exposure exceeding 10%
total assets for either exchange-traded or over-the-counter contracts.
PART II. OTHER INFORMATION
Item 6. Reports on Form 8-K
No reports were filed on Form 8-K during the three months ended March 31, 1998.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Maximus Fund I, L.L.C.
----------------------
(Registrant)
BY: Maximus Capital Management, General Partner
BY: /s/ Darren Frye
----------------------------------------
Darren Frye
President
Date: May 11, 1998
BY: /s/ Darren Frye
----------------------------------------
Darren Frye
President
Date: May 11, 1998
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