U. S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-QSB
(Mark One)
[X] Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange
Act of 1934
For the quarterly period ended June 30, 2000
-------------
[ ] 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 000-22783
---------
Osteo Systems, Inc.
---------------------------------------------------------------
(Exact Name of Small Business Issuer as Specified in its Charter)
Colorado 84-1385900
-------------------------------- ------------------
(State or Other Jurisdiction (I.R.S. Employer
of Incorporation or Organization) Identification No.)
2449 Lyric Avenue, Los Angeles, CA 90027
----------------------------------------
(Address of Principal Executive Offices)
(323) 660-8665
----------------------------------------------
(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 No X
State the number of shares of each of the issuer's classes of common equity, as
of the latest practicable date: July 18, 2000, Common Stock, $.001 par value,
6,150,000 shares
Transitional Small Business Disclosure Format (check one): Yes No X
------- --------
<PAGE>
PART 1 - FINANCIAL INFORMATION
Item 1. Financial Statements.
OSTEO SYSTEMS, INC.
(A Development Stage Company)
Balance Sheet
As of June 30, 2000
ASSETS
------
Other Assets:
Organization Costs, less Accumulated
Amortization of $331 $ 169
--------
Total Assets $ 169
========
LIABILITIES AND STOCKHOLDERS' EQUITY
------------------------------------
Stockholder's Equity:
Preferred Stock, par value $.01, 10,000,000
shares authorized, none issued and outstanding --
Common Stock, par value $.001, 100,000,000
shares authorized, 6,150,000 issued and
outstanding $ 6,150
Additional paid-in capital 17,145
Deficit accumulated during development stage (23,126)
--------
Total Stockholders' Equity 169
--------
Total Liabilities and Stockholders' Equity $ 169
========
<PAGE>
<TABLE>
<CAPTION>
OSTEO SYSTEMS, INC.
(A Development Stage Company)
Statements of Operations
For the Three Months and Six Months Ended June 30, 2000 and 1999
Three Months Ended Six Months Ended
------------------ ----------------
June 30, 2000 June 30, 1999 June 30, 2000 June 30, 1999
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
REVENUES $ -- $ -- $ -- $ --
COSTS AND EXPENSES:
Amortization 25 25 50 50
----------- ----------- ----------- -----------
Loss Before Income Taxes (25) (25) (50) (50)
Income Tax Benefit -- -- -- --
----------- ----------- ----------- -----------
Net Loss $ (25) $ (25) $ (50) $ (50)
=========== =========== =========== ===========
Earnings (loss) per share:
Net loss $ -- $ -- $ -- $ --
=========== =========== =========== ===========
Weighted Average Number of
Common and Common Equivalent
Shares Outstanding 6,150,000 6,150,000 6,150,000 6,150,000
=========== =========== =========== ===========
</TABLE>
<PAGE>
OSTEO SYSTEMS, INC.
(A Development Stage Company)
Statements of Cash Flows
For the Six Months Ended June 30, 2000 and 1999
June 30, June 30,
2000 1999
------- --------
Reconciliation of Net Loss to Net Cash
Flows from Operating Activities:
Net Loss $(50) $(50)
Amortization 50 50
---- ----
Net Cash Flows From Operating Activities -- --
Investing Activities -- --
Financing Activities -- --
---- ----
Increase (Decrease) in Cash -- --
Cash, beginning of period -- --
---- ----
Cash, end of period $-- $--
==== ====
<PAGE>
OSTEO SYSTEMS, INC.
(A Development Stage Company)
Notes to Financial Statements
June 30, 2000
Osteo Systems, Inc. (the "Company") was incorporated under the laws of the
State of Colorado on March 6, 1997. The Company has generally been inactive and
has conducted no business operations since its inception except for
organizational and fund raising activities. The Company's previous plans were
unsuccessful and the Company is presently seeking a merger partner.
The information included in these financial statements includes all
adjustments, consisting of normal recurring adjustments which, in the opinion of
management, are necessary to a fair presentation of the financial statements for
the periods presented. The financial statements should be read in conjunction
with the financial statements and notes thereto for the fiscal year ended
December 31, 1999 included in the Company's Form 10KSB filed April 11, 2000.
<PAGE>
Item 2. Management's Discussion and Analysis or Plan of Operation.
a. Plan of Operation. The Company has generally been inactive and has
conducted no business operations since its inception except for
organizational and fund raising activities. The Company's previous plans
were unsuccessful and the Company is presently seeking a merger partner.
The Company's auditor has noted in her opinion that there is substantial
doubt about the Company's ability to continue as a going concern (see
financial statements attached to the Company's Form 10KSB for the fiscal
year ended December 31, 1999). Management believes that in order to
continue in business it will be required to find a merger partner or raise
additional capital. No potential capital resources exist at this time. The
Company's directors and executive officers have been personally absorbing
the cost of maintaining the Company's corporate existence, but there can be
no assurance they will continue to do so. Management currently intends to
find a merger partner, but there can be no assurance this will occur.
<PAGE>
PART II - OTHER INFORMATION
Item 1. Legal Proceedings. Not applicable.
Item 2. Changes in Securities and Use of Proceeds. Not applicable.
Item 3. Defaults upon Senior Securities. Not applicable.
Item 4. Submission of Matters to a Vote of Security Holders. Not Applicable.
Item 5. Other Information. Not applicable.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibit Index.
--------------------------------------------------------------------------------
Item
Number Description
------ -----------
3.1 Articles of Incorporation of Blue Mountain Capital, Inc., filed
March 6, 1997.1
3.2 Articles of Amendment to the Articles of Incorporation of Blue Mountain
Capital, Inc., filed June 20, 1997. 2
3.3 Articles of Amendment to the Articles of Incorporation of Blue Mountain
Capital, Inc., filed June 17, 1998.3
3.4 Bylaws of Blue Mountain Capital, Inc. 4
------------------
1 Previously filed as Exhibit 2.1 to the registration statement on
Form 10-SB12G filed July 1, 1997.
2 Previously filed as Exhibit 2.2 to the registration statement on
Form 10-SB12G filed July 1, 1997.
3 Previously filed as Exhibit 3.3 to the annual report on Form 10-KSB for
the fiscal year ended December 31, 1999 filed April 11, 2000.
4 Previously filed as Exhibit 2.3 to the registration statement on
Form 10-SB12G filed July 1, 1997.
(b) Reports on Form 8-K. Not applicable.
<PAGE>
SIGNATURES
In accordance with Section 13 or 15(d) of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
OSTEO SYSTEMS, INC.
----------------------------------------
(Registrant)
Date: July 18, 2000 /s/ Roland W. Fink
----------------------------------------
Roland W. Fink, President
