U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 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 February 29, 2000.
....Transition report under section 13 or 15(d) of the Securities
Exchange Act of 1934 [No Fee Required] for the transition period
from _________ to _________.
Commission File No: __000-23559__
SUNBURST ACQUISITIONS III, INC.
---------------------------------------
(Name of small business in its charter)
Colorado 84-14320001
---------------------- -----------------------
(State or other (IRS Employer Id. No.)
jurisdiction of Incorporation)
4807 South Zang Way Morrison, Colorado 80465
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(Address of Principal Office) Zip Code
Issuer's telephone number: (303) 979-2404
Check whether the issuer (1) 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 __X__ No _____
At 2/29/00 the following shares of common were outstanding: Common Stock,
no par value, 33,303,840 shares.
Transitional Small Business Disclosure
Format (Check one):
Yes _____ No __X__
<PAGE>
PART 1 - FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS AND EXHIBITS
(a) The financial statements of registrant for the
three months ended February 29, 2000, follow. The financial statements
reflect all adjustments which are, in the opinion of management,
necessary to a fair statement of the results for the interim period
presented.
SUNBURST ACQUISITIONS III, INC.
(A Development Stage Company)
FINANCIAL STATEMENTS
Quarter Ended February 29, 2000
<PAGE>
CONTENTS
Balance Sheet 1
Statements of Operations 2
Statements of Cash Flows 3
Notes to Financial Statements 4
<PAGE>
Sunburst Acquisitions III, Inc.
(A Development Stage Company)
BALANCE SHEET
February 29, 2000
<TABLE>
<S> <C>
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 1,138
Notes Receivable 2,000,000
----------
Total current assets 2,001,138
TOTAL ASSETS $ 2,001,138
=========
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable $ 8,306
----------
Total current liabilities 8,306
STOCKHOLDERS' EQUITY
Preferred stock, no par value
20,000,000 shares authorized;
80,000 shares issued and outstanding -
Common stock, no par value;
100,000,000 shares authorized;
33,303,840 shares issued and
outstanding 2,020,435
Additional paid-in capital 1,500
Deficit accumulated
during the
development stage (29,103)
---------
Total stockholders' equity 1,992,832
---------
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY $ 2,001,138
=========
</TABLE>
The accompanying notes are an integral part of the financial statements.
1
<PAGE>
Sunburst Acquisitions III, Inc.
(A Development Stage Company)
STATEMENTS OF OPERATIONS
<TABLE>
<S> <C> <C> <C> <C> <C>
For the
period from
inception
(August 27, For the three For the six
1997) to months ended months ended
February 29, February 29/28, February 29/28,
2000 2000 1999 2000 1999
----------- --------- --------- --------- --------
REVENUES $ - $ - $ - $ - $ -
----------- --------- --------- --------- ---------
EXPENSES
Amortization 300 - 15 - 30
Consulting fees 4,935 - - - -
General office 966 36 20 162 20
Legal fees 8,045 557 953 560 2,858
Professional fees 8,970 4,556 1,530 4,556 1,530
Rent 1,500 150 150 300 300
Taxes and licenses 107 - - - -
Transfer agent 4,280 440 400 2,254 568
----------- --------- --------- --------- ---------
Total expense 29,103 5,739 3,068 7,832 5,306
----------- --------- --------- --------- ---------
NET LOSS (29,103) (5,739) (3,068) (7,832) (5,306)
Accumulated deficit
Balance, Beginning
of period - (23,364) (14,478) (21,271) (12,240)
----------- --------- --------- --------- ---------
Balance,
End of period $ (29,103) $ (29,103) $ (17,546) (29,103) (17,546)
=========== ========= ========= ========= =========
NET LOSS PER SHARE $ (NIL) $ (NIL) $ (NIL) $ (NIL) $ (NIL)
=========== ========= ========= ========= =========
WEIGHTED AVERAGE NUMBER
OF SHARES OF COMMON
STOCK AND COMMON STOCK
EQUIVALENTS
OUTSTANDING 35,604,548 33,303,840 2,495,000 33,380,392 2,244,724
=========== ========= ========= ========= =========
</TABLE>
The accompanying notes are an integral part of the financial statements.
2
<PAGE>
Sunburst Acquisitions III, Inc.
(A Development Stage Company)
STATEMENTS OF CASH FLOWS
<TABLE>
<S> <C> <C> <C>
For the period
from inception
(August 27, For the six For the six
1997) to months ended months ended
February 29, February 29, February 28,
2000 2000 1999
--------------- ------------- -------------
CASH FLOWS FROM
OPERATING ACTIVITIES:
Net Loss $ (29,103) $ (7,832) $ (5,306)
Adjustments to reconcile
net loss to net cash used
by operating activities:
Amortization expense 300 - 30
Rent expense 1,500 300 300
Stock issued for
consulting fees 4,935 - -
Decrease in prepaid expenses - - 474
Increase (decrease) in
accounts payable 8,306 7,158 (95)
Increase in accounts payable
- related party - - 82
-------------- ------------- -----------
Net cash used by
operating activities (14,062) (374) (4,515)
CASH FLOWS FROM
INVESTING ACTIVITIES
Increase in organization costs (300) - -
-------------- ------------- -----------
Net cash used by
investing activities (300) - -
CASH FLOWS FROM
FINANCING ACTIVITIES
Issuance of common stock 7,500 - 7,500
Issuance of preferred
stock 8,000 - -
----------- ------------- -----------
Net cash provided
financing activities 15,500 - 7,500
----------- ------------- -----------
Net increase (decrease)
in cash and cash
equivalents 1,138 (374) 2,985
CASH AND CASH EQUIVALENTS
Beginning of Period - 1,512 973
----------- ------------- -----------
CASH AND CASH EQUIVALENTS,
End of Period $ 1,138 $ 1,138 $ 3,958
=========== ============= ===========
</TABLE>
The accompanying notes are an integral part of the financial statements.
3
<PAGE>
Sunburst Acquisitions III, Inc.
(A Development Stage Company)
NOTES TO FINANCIAL STATEMENTS
February 29, 2000
1. Management's Representation of Interim Financial Information
------------------------------------------------------------
The accompanying financial statements have been prepared by Sunburst
Acquisitions III, Inc. without audit pursuant to the rules and regulations of
the Securities and Exchange Commission. Certain information and footnote
disclosures normally included in financial statements prepared in accordance
with generally accepted accounting principles have been condensed or omitted
as allowed by such rules and regulations, and management believes that the
disclosures are adequate to make the information presented not misleading.
These financial statements include all of the adjustments which, in the opinion
of management, are necessary to a fair presentation of financial position and
results of operations. All such adjustments are of a normal and recurring
nature. These financial statements should be read in conjunction with the
audited financial statements at August 31, 1999.
4
<PAGE>
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR
PLAN OF OPERATIONS.
Liquidity and Capital Resources
As of the quarter ended February 29, 2000, the Company was unsure of
the ultimate resolution of its Agreement and Plan of Reorganization with
Workseek.com and American Recruitment. To that end, the Company filed
Form 15 with the SEC to discontinue the need for periodic filings on April 6,
2000. The Company's balance sheet for the period ending February 29, 2000
reflects a current asset value of $2,001,138 and a total asset value of
$2,001,138, primarily in the form of an outstanding note receivable from
Workseek.com, as compared to $4,208 and $4,478 in current and total assets as
of February 28, 1999.
The Company's business plan is to complete a settlement with American
Recruitment which may result in the dissolution of the Company.
Results of Operations
During the period from August 27, 1997 (inception) through
February 29, 2000, the Company has engaged in no significant operations
other than organizational activities, acquisition of capital, preparation
for registration of its securities under the Securities Exchange Act of
1934, as amended, and negotiations with Workseek.com. No revenues were
received by the Company during this period.
For the quarter and six months ended February 29, 2000, the Company
incurred losses of $(5,739) and $(7,832), respectively, as compared to
losses of $(3,068) and $(5,306) for the quarter and six months ended
February 28, 1999. The differences in losses for the quarters and six
month periods ended February 29, 2000 and February 28, 1999 are primarily
attributable to timing differences of expenses incurred in the compliance with
reporting requirements, and general and administrative expenses.
Need for Additional Financing
The Company believes that its existing capital will not be sufficient to
continue operations, and the Company has no plans to seek additional financing.
PART II
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) EXHIBIT 27 - FINANCIAL DATA SCHEDULE
There have been no reports on Form 8-K for the quarter ending
February 29, 2000.
<PAGE>
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.
SUNBURST ACQUISITIONS III, INC.
(Registrant)
Date: June 21, 2000
/s/
Michael R. Quinn, Secretary/Treasurer
