<PAGE>
U. S. Securities and Exchange Commission
Washington, D. C. 20549
FORM 10-QSB
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1998
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from to
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Commission File No. 0-23905
COOKIE CUP INTERNATIONAL
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(Name of Small Business Issuer in its Charter)
NEVADA 87-0447497
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(State or Other Jurisdiction of (I.R.S. Employer I.D. No.)
incorporation or organization)
3255 South 8820 West
Magna, Utah 84044
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(Address of Principal Executive Offices)
Issuer's Telephone Number: (801) 250-3433
Indicate by check mark whether the Registrant (1) has filed all reports
required to be filed by Sections 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.
(1) Yes X No (2) Yes X No
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APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS
Not applicable.
APPLICABLE ONLY TO CORPORATE ISSUERS
Indicate the number of shares outstanding of each of the Registrant's classes
of common stock, as of the latest practicable date:
October 14, 1998
50,000,000
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PART I - FINANCIAL INFORMATION
Item 1. Financial Statements.
The Financial Statements of the Registrant required to be filed with
this 10-QSB Quarterly Report were prepared by management, and commence on the
following page, together with Related Notes. In the opinion of management,
the Financial Statements fairly present the financial condition of the
Registrant.
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COOKIE CUP INTERNATIONAL
(A Development Stage Company)
Balance Sheets
<CAPTION>
ASSETS
September 30, June 30,
1998 1998
( Unaudited)
<S> <C> <C>
CURRENT ASSETS
Cash $ - $ -
Total Current Assets - -
TOTAL ASSETS $ - $ -
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
CURRENT LIABILITIES
Accounts payable $ 12,890 $ 10,254
Total Current Liabilities 12,890 10,254
TOTAL LIABILITIES 12,890 10,254
STOCKHOLDERS' EQUITY (DEFICIT)
Common stock: 50,000,000 shares authorized of
$0.001 par value, 50,000,000 shares issued and
outstanding 50,000 50,000
Additional paid-in capital 255,867 255,500
Deficit accumulated during the development stage (318,757) (315,754)
Total Stockholders' Equity (Deficit) (12,890) (10,254)
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY (DEFICIT) $ - $ -
</TABLE>
<TABLE>
COOKIE CUP INTERNATIONAL
(A Development Stage Company)
Statements of Operations
(Unaudited)
<CAPTION>
From
Inception on
April 15,
For the Three Months Ended 1977 Through
September 30, September 30,
1998 1997 1998
<S> <C> <C> <C>
REVENUES $ - $ - $ -
EXPENSES (3,003) (750) (318,757)
NET LOSS $ (3,003) $ (750) $ (318,757)
BASIC LOSS PER SHARE $ (0.00) $ (0.00)
BASIC WEIGHTED AVERAGE NUMBER
OF SHARES OUTSTANDING 50,000,000 50,000,000
</TABLE>
<TABLE>
COOKIE CUP INTERNATIONAL
(A Development Stage Company)
Statements of Stockholders' Equity (Deficit)
<CAPTION>
<CAPTION>
Deficit
Accumulated Additional
During the
Common Stock Paid-in Development
Shares Amount Capital Stage
<S> <C> <C> <C> <C>
Balance, April 15, 1977 - $ - $ - $ -
Common stock issued at an
average of $0.01 per share 50,000,000 50,000 253,500 -
Additional capital contributed - - 500 -
Net loss from the year ended
June 30, 1994 - - - (304,000)
Balance, June 30, 1995 50,000,000 50,000 254,000 (304,000)
Net loss for the year ended
June 30, 1996 - - - -
Balance, June 30, 1996 50,000,000 50,000 254,000 (304,000)
Additional capital contributed - - 750 -
Net loss for the year ended
June 30, 1997 - - - (2,750)
Balance, June 30, 1997 50,000,000 50,000 254,750 (306,750)
Additional capital contributed - - 750 -
Net loss for the year ended
June 30, 1998 - - - (9,004)
Balance, June 30, 1998 50,000,000 $ 50,000 $ 255,500 (315,754)
Additional capital contributed
(unaudited) - - 367 -
Net loss for the three months
ended September 30, 1998
(unaudited) - - - (3,003)
Balance, September 30, 1998
(unaudited) 50,000,000 $ 50,000 $ 255,867 $(318,757)
</TABLE>
<TABLE>
COOKIE CUP INTERNATIONAL
(A Development Stage Company)
Statements of Cash Flows
(Unaudited)
<CAPTION>
From
Inception on
April 15,
For the Three Months Ended 1977 Through
September 30, September 30,
1998 1997 1998
<S> <C> <C> <C>
CASH FLOWS FROM OPERATING
ACTIVITIES
Net loss $ (3,003) $ (750) $ (318,757)
Changes in operating assets
and liabilities:
Increase in accounts payable 2,636 - 12,890
Net Cash Used By Operating
Activities (367) (750) (305,867)
CASH FLOWS FROM INVESTING
ACTIVITIES - - -
CASH FLOWS FROM FINANCING
ACTIVITIES
Contributed capital for expenses 367 750 2,367
Issuance of common stock for cash - - 303,500
Net Cash Provided By Financing
Activities 367 750 305,867
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS - - -
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD - - -
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $ - $ - $ -
Cash Paid For:
Interest $ - $ - $ -
Income taxes $ - $ - $ -
</TABLE>
COOKIE CUP INTERNATIONAL
(A Development Stage Company)
Notes to the Financial Statements
September 30, 1998 and June 30, 1998
NOTE 1 - ORGANIZATION AND HISTORY
a. Organization
The financial statements presented are those of Cookie Cup International (the
Company). The Company was originally incorporated under the laws of the State
of Utah on April 15, 1977. Subsequently the Corporation was "re-incorporated"
under the laws of the State of Nevada on May 11, 1987.
The Company is an outgrowth of a merger between Sierra Development, (A Utah
corporation that became public via an offering in October, 1977) and Cookie
Cup International, (A Nevada Corporation) that merged in 1987. Sierra
Development was organized as a "blind pool" corporation. Cookie Cup
International was organized to engage in the retail and wholesale business of
ice cream and frozen dessert novelties. The intended business of the
corporation was not successful and the corporation has been dormant and
operationally inactive for many years. The Company has been seeking new
business opportunities believed to hold a potential profit or to merge with an
existing, operating company.
b. Accounting Method
The Company's financial statements are prepared using the accrual method of
accounting. The Company has elected a June 30, year end.
c. Cash and Cash Equivalents
Cash equivalents include short-term, highly liquid investments with maturities
of three months or less at the time of acquisition.
d. Basic Loss Per Share
The computations of basic loss per share of common stock are based on the
weighted average number of shares outstanding during the period of the
financial statements.
e. Provision for Taxes
At September 30, 1998, the Company has net operating loss carryforwards of
approximately $14,000 that may be offset against future taxable income through
2013. No tax benefit has been reported in the financial statements because
the Company believes there is a 50% or greater chance the carryforwards will
expire unused. Accordingly, the potential tax benefits of the loss
carryforwards are offset by a valuation allowance of the same amount.
f. 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 and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting period.
Actual results could differ from those estimates.
NOTE 2 - GOING CONCERN
The Company's financial statements are prepared using generally accepted
accounting principles applicable to a going concern which contemplates the
realization of assets and liquidation of liabilities in the normal course of
business. However, the Company does not have an established source of
revenues sufficient to cover its operating costs and to allow it to continue
as a going concern. It is the intent of the Company to seek a merger with an
existing, operating company. In the interim, shareholders of the Company have
committed to meeting its minimal operating expenses.
NOTE 3 - RELATED PARTY TRANSACTIONS
A shareholder of the Company contributed $750 for expenses paid on behalf of
the Company in 1997. An additional $367 was contributed by the shareholder in
1998.
<PAGE>
Item 2. Management's Discussion and Analysis or Plan of Operation.
- --------------------------------------------------------------------
Plan of Operation.
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The Company has not engaged in any material operations since the
calendar year ended December 31, 1991, or during the quarterly period ended
September 30, 1998. During this period, the Company received revenues of $0.
During the same period, total expenses were $3,003 and net income totaled
($3,003).
The Company's plan of operation for the next 12 months is to continue
to seek the acquisition of assets, properties or businesses that may benefit
the Company and its stockholders. Management anticipates that to achieve any
such acquisition, the Company will issue shares of its common stock as the
sole consideration for such acquisition.
During the next 12 months, the Company's only foreseeable cash
requirements will relate to maintaining the Company in good standing or the
payment of expenses associated with reviewing or investigating any potential
business venture, which the Company expects to pay from its cash resources.
Results of Operations.
- ----------------------
During the quarterly period ended September 30, 1998, the Company
had no business operations. During this period, the Company received total
revenues of $0 and had net income of ($3,003).
Liquidity.
- ----------
At September 30, 1998, the Company had no total current assets, with
total current liabilities of $12,890. Total stockholder's equity was
$(12,890). $750 was contributed by a shareholder in 1997 and an additional
$367 was contributed in 1998.
PART II - OTHER INFORMATION
Item 1. Legal Proceedings.
- ----------------------------
None; not applicable.
Item 2. Changes in Securities.
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None; not applicable.
Item 3. Defaults Upon Senior Securities.
- ------------------------------------------
None; not applicable.
Item 4. Submission of Matters to a Vote of Security Holders.
- --------------------------------------------------------------
None; not applicable.
Item 5. Other Information.
- ----------------------------
None; not applicable.
Item 6. Exhibits and Reports on Form 8-K.
- -------------------------------------------
(a) Exhibits.
Financial Data Schedule.
(b) Reports on Form 8-K.
None.
<PAGE>
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.
COOKIE CUP INTERNATIONAL
Date: 10/19/98 By/s/Charles Johnson
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Charles Johnson
Director, President, and Sec/Tres
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<CIK> 0001057653
<NAME> COOKIE CUP INTERNATIONAL
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> JUN-30-1998
<PERIOD-END> SEP-30-1998
<CASH> 0
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 0
<CURRENT-LIABILITIES> 12890
<BONDS> 0
0
0
<COMMON> 50000
<OTHER-SE> (62890)
<TOTAL-LIABILITY-AND-EQUITY> 0
<SALES> 0
<TOTAL-REVENUES> 0
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 3003
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (3003)
<EPS-PRIMARY> (0.00)
<EPS-DILUTED> (0.00)
</TABLE>
