<PAGE>
Filed Pursuant to Rule 424(b)(3)
Registration No. 333-35588
Prospectus Supplement No. 1
Dated May 23, 2000 (to Prospectus dated May 12, 2000)
INFORUM COMMUNICATIONS, INC.
The date of this Prospectus Supplement is May 23, 2000
This Prospectus is part of the Prospectus dated May 12, 2000 relating to
an offering of up to 18,455,139 shares of our common stock by persons who
- have been issued common stock in connection with our capital raising
activities;
- have been or will be issued common stock upon conversion of shares
of our series F convertible preferred stock; or
- have been or will or have been or will be issued common stock upon
the exercise of warrants to purchase common stock issued in
connection with sales of our series F convertible preferred stock.
First Quarter 2000 Results.
A copy of our Quarterly Report on Form 10-QSB for the fiscal quarter
ended March 31, 2000 is attached hereto.
The date of this Prospectus Supplement is May 23, 2000
<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
[ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the fiscal quarter ended March 31, 2000
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
For the transition period from ____________ to ____________
Commission file number 0-24687
INFORUM COMMUNICATIONS, INC.
------------------------------------------------------
(Exact Name of Registrant as Specified in its Charter)
Colorado 84-1360029
- - - - - - - - ---------------------------- ------------------------
(State or other jurisdiction (I.R.S. Employer
of incorporation or organization) Identification No.)
600 South Cherry Street, Suite 400, Denver, Colorado 80246
------------------------------------------------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (303) 316-0400
SKYLYNX COMMUNICATIONS, INC.
-----------------------------------------------------
(Former Name or Address 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 Issuer was required to file such reports), and (2) has been
subject to filing requirements for the past 90 days. Yes [X] No [ ]
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS
Check whether the Registrant has filed all documents and reports required to
be filed by Sections 12, 13, or 15(d) of the Exchange Act after the
distribution of securities under a plan confirmed by a court. Yes [ ]
No [ ]
APPLICABLE ONLY TO CORPORATE ISSUERS
As of May 19, 2000, the Company had 20,363,152 shares of its $0.001 par value
common stock outstanding.
Transitional Small Business Disclosure Format (Check one). Yes [ ] No [X]
<PAGE>
<PAGE>
INDEX
PART I. FINANCIAL INFORMATION
Page
Item 1. Financial Statements
Condensed Consolidated Balance Sheet as of March 31, 2000 4
Condensed Consolidated Statements of Operations for the
three month periods ended March 31, 2000 and 1999 5
Condensed Consolidated Statements of Cash Flows for the
three month periods ended March 31, 2000 and 1999 6
Notes to Condensed Consolidated Financial Statements 7
Item 2. Management's discussion and analysis of financial condition and
results of operations
Results of Operations 11
Liquidity and Capital Resources 12
Year 2000 Issues 12
PART II. OTHER INFORMATION
Item 1. Legal Proceedings 13
Item 2. Changes in Securities 13
Item 3. Defaults Upon Senior Securities 13
Item 4. Submission of Matters to a Vote of Security Holders 14
Item 5. Other Information 14
Item 6. Exhibits and Reports on Form 8-K 14
<PAGE>
<PAGE>
ITEM 1. FINANCIAL STATEMENTS
Forward-Looking Statements
Certain statements made in this Form 10-QSB are "forward looking
statements" (within the meaning of the Private Securities Litigation Reform
Act of 1995) regarding the plans and objectives of management for future
operations. Such statements involve known and unknown risks, uncertainties
and other factors that may cause actual results, performance or achievements
of the Company to be materially different from any future results, performance
or achievements expressed or implied by such forward-looking statements. The
forward-looking statements made in this Report are based on current
expectations that involve numerous risks and uncertainties. The Company's
plans and objectives are based, in part, on assumptions involving the growth
and expansion of business. Assumptions relating to the foregoing involve
judgments with respect to, among other things, future economic, competitive
and market conditions and future business decisions, all of which are
difficult or impossible to predict accurately and many of which are beyond the
control of the Company. Although the Company believes that its assumptions
underlying the forward-looking statements are reasonable, any of the
assumptions could prove inaccurate and, therefore, there can be no assurance
that the forward-looking statements made in this Report will prove to be
accurate. In light of the significant uncertainties inherent in the forward-
looking statements made in this Report, particularly in view of the Company's
early state of operations, the inclusion of such information should not be
regarded as a representation by the Company or any other person that the
objectives and plans of the Company will be achieved.
<PAGE>
<PAGE>
<TABLE>
<CAPTION>
INFORUM COMMUNICATIONS, INC. AND SUBSIDIARIES
f/k/a SKYLYNX COMMUNICATIONS, INC.
CONDENSED CONSOLIDATED BALANCE SHEET -- MARCH 31, 2000
ASSETS
------
<S> <C>
CURRENT ASSETS:
Cash $8,502,609
Accounts receivable, net 493,658
Prepaid expenses and other current assets 501,172
------------
Total current assets 9,497,439
PROPERTY AND EQUIPMENT, net 3,539,186
GOODWILL AND INTANGIBLE ASSETS, net of accumulated
amortization of $3,295,056 12,720,724
INVESTMENT IN SUBSIDIARY 750,000
------------
Total assets $26,507,349
============
LIABILITIES AND STOCKHOLDERS' EQUITY
------------------------------------
CURRENT LIABILITIES:
Accounts payable and accrued liabilities $2,454,365
Deferred revenue 1,219,892
Obligations under capital leases, current 642,885
Dividends payable on preferred stock 285,796
------------
Total current liabilities 4,602,938
OBLIGATIONS UNDER CAPITAL LEASES 321,527
Total liabilities 4,924,465
------------
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
Convertible preferred stock, Series A 1,017,630
Convertible preferred stock, Series C 2,327,748
Convertible preferred stock, Series D-1 1,137,261
Convertible preferred stock, Series F 12,639,145
Common stock 19,387
Additional paid-in capital 76,659,880
Accumulated deficit (72,218,167)
Total stockholders' equity 21,582,884
------------
Total liabilities and stockholders' equity $26,507,349
============
</TABLE>
The accompanying notes are an integral part of this consolidated balance
sheet.
<PAGE>
<PAGE>
<TABLE>
<CAPTION>
INFORUM COMMUNICATIONS, INC. AND SUBSIDIARIES
f/k/a SKYLYNX COMMUNICATIONS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE-MONTH PERIODS ENDED MARCH 31, 2000, AND 1999
2000 1999
----------- -----------
<S> <C> <C>
REVENUES $ 2,188,538 $ 67,888
COST OF SERVICES 909,088 -
DEPRECIATION AND AMORTIZATION 1,498,022 148,757
SELLING, GENERAL AND ADMINISTRATIVE
EXPENSES 3,903,564 3,211,849
----------- -----------
OPERATING LOSS (4,122,136) (3,292,718)
OTHER INCOME (EXPENSE)
NET INTEREST (EXPENSE) INCOME (627,137) 2,895
LOSS ON SALE OF FIXED ASSETS (614,869) -
----------- -----------
TOTAL OTHER INCOME (EXPENSE) (1,242,006) 2,895
NET LOSS BEFORE PROVISION FOR INCOME
TAXES (5,364,142) (3,289,823)
PROVISION FOR INCOME TAXES - -
----------- -----------
NET LOSS (5,364,142) (3,289,823)
PREFERRED STOCK DIVIDENDS (4,200,376) (239,642)
ACCRETION OF BENEFICIAL CONVERSION
FEATURE OF PREFERRED STOCK (16,662,939) (138,442)
------------ -----------
NET LOSS AVAILABLE TO COMMON
STOCKHOLDERS $(26,227,457) $(3,667,907)
NET LOSS PER SHARE-BASIC AND DILUTED $(1.56) $(0.35)
SHARES USED IN COMPUTING NET LOSS
PER SHARE-BASIC AND DILUTED 16,762,375 10,572,168
</TABLE>
The accompanying notes are an integral part of these consolidated statements.
<PAGE>
<PAGE>
<TABLE>
<CAPTION>
INFORUM COMMUNICATIONS, INC. AND SUBSIDIARIES
f/k/a SKYLYNX COMMUNICATIONS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THREE-MONTH PERIODS ENDED MARCH 31, 2000 AND 1999
2000 1999
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss $ (5,364,142) $ (3,289,823)
Adjustments to reconcile net loss to
net cash used in operating activities -
Common stock issued for services 286,463 1,971,209
Depreciation and amortization 1,498,022 148,801
Loss on disposal of property and
equipment 627,763
Imputed interest expense on convertible
debt 641,012
Changes in operating assets and
liabilities, excluding effects of
purchases of assets 1,068,082 (248,959)
------------- -------------
Net cash used in operating activities (1,242,800) (1,418,772)
------------ -----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition of property and equipment (1,250,922) (138,302)
Purchase of subsidiaries, net of cash
acquired (2,800,982) (497,928)
------------ ------------
Net cash used in investing activities (4,051,904) (636,230)
------------ ------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from the issuance of preferred
stock, net of offering costs 11,898,266 1,256,271
Proceeds from the issuance of common
stock 180,546 232,939
Proceeds from the conversion of Series A
warrants - 506,232
Deposits on unissued shares - 440,000
Principal payments on obligations under
capital leases (225,374) -
Reimbursement of deposits on unissued
shares - (50,000)
Principal repayments of notes payable (4,107) -
------------ ------------
Net cash provided by financing activities 11,849,331
2,385,442
------------ ------------
NET INCREASE IN CASH 6,554,627 330,440
CASH, beginning of period 1,947,982 512,925
------------ ------------
CASH, end of period $ 8,502,609 $ 843,365
============= =============
Property and equipment acquired under
capital leases $ 138,721 $ -
Common stock issued for purchase of
subsidiaries $ 1,745,329 $ 299,547
Shares issued on deposits $ - $ 503,068
</TABLE>
The accompanying notes are an integral part of these consolidated statements.
<PAGE>
<PAGE>
INFORUM COMMUNICATIONS, INC. AND SUBSIDIARIES
f/k/a SKYLYNX COMMUNICATIONS, INC.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
MARCH 31, 2000, AND 1999
1. BASIS OF PRESENTATION AND NAME CHANGE:
-------------------------------------
Prior to June 30, 1999, the condensed consolidated financial statements
were presented in accordance with Statement of Financial Accounting
Standards No. 7, "Accounting and Reporting by Development Stage
Enterprises."
As of April 26, 2000, pursuant to shareholder approval, SkyLynx
Communications, Inc. changed its corporate name to Inforum
Communications, Inc.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
------------------------------------------
The accompanying unaudited condensed consolidated financial statements
have been prepared pursuant to the rules and regulations of the
Securities and Exchange Commission. Certain information and note
disclosures normally included in annual financial statements prepared in
accordance with generally accepted accounting principles have been
condensed or omitted pursuant to those rules and regulations. In the
opinion of the Company's management, these unaudited condensed
consolidated financial statements contain all adjustments that are
necessary to present fairly the financial position as of March 31, 2000,
and the results of operations for the three-month periods ended March 31,
2000 and 1999. All such adjustments are of a normal, recurring nature.
It is suggested that these condensed consolidated financial statements be
read in conjunction with the financial statements and the notes thereto
included in the Company's Form 10-KSB.
3. LIQUIDITY:
---------
The Company has incurred operating losses since inception, including the
three-month periods ended March 31, 2000 and 1999. At April 10, 2000, the
Company had cash on hand of approximately $8 million. Although the
Company believes that its current cash on hand plus the cash flow
generated by its Internet service providers will be sufficient to fund
existing operations through the remainder of the fiscal year, if the
Company chooses to pursue additional acquisitions, expand the range of
Internet related services it offers, or otherwise changes its strategy,
it will likely be required to issue additional equity or debt. There can
be no assurance that such equity or debt financing will be available to
the Company, or that it will be available on terms acceptable to the
Company. Further, any additional equity financing may be dilutive to
existing shareholders, and any debt financing may involve pledging all or
some of the Company's existing assets and may contain restrictive
covenants with respect to raising future capital and other financial and
operational matters. The Company has been advised by its independent
certified public accountants that, if this contingency has not been
resolved prior to the completion of their audit of the Company's
financial statements for the year ending December 31, 2000,
their auditors' report on those financial statements may be modified for
that contingency.
4. PURCHASE OF ASSETS:
------------------
On February 11, 2000, the Company acquired substantially all of the
capital stock of Alternate Access, Inc. The acquisition was accounted for
as a purchase and has been reflected in the Company's condensed
consolidated financial statements from the date of acquisition. The
consideration paid for this transaction consisted of $1.95 million in
cash, 480,509 shares of the Company's common stock with a fair value of
$1,531,624, and an additional 203,922 shares that have been escrowed for
six months from the purchase date to secure any obligations of the
seller. Goodwill and intangible assets resulting from the purchase are
stated net of accumulated amortization, and amortization is provided
using the straight-line method over three years.
In connection with the acquisition of Alternate Access, Inc., the Company
also obtained the right to acquire up to 30% equity ownership in
PDGT.COM, Inc. for a total purchase price of $1,150,000. On February 11,
2000, the Company acquired 419 shares of the outstanding capital stock of
PDGT.COM for $750,000 for an equity ownership of 21.8%. This investment
is accounted for under the equity method. The remaining 224 shares of
the outstanding capital stock will be purchased by the Company for
$400,000 ten days after the date PDGT.COM's revenues for the preceding
month equal to or exceeding $25,000. If PDGT.COM does not earn $25,000 in
revenues within 12 months of the original purchase date, the agreement
for the remaining 224 shares of capital stock terminates.
On February 11, 2000, the Company purchased certain assets of Planetlink
Corporation, Inc. d/b/a Inforum Communications. The acquisition was
accounted for as a purchase and has been reflected in the Company's
condensed consolidated financial statements from the date of acquisition.
The consideration paid in this transaction consisted of $237,450 in cash,
67,045 share of the Company's common stock with a fair value of $213,705,
and an additional 7,449 shares that have been escrowed for one year from
the purchase date to secure any obligations of the seller. Goodwill and
intangible assets resulting from the asset purchase are stated net of
accumulated amortization, and amortization is provided using the
straight-line method over three years.
5. PREFERRED STOCK:
---------------
Series D
In March 2000, the Company changed the conversion price of the issued and
outstanding shares of Series D convertible preferred stock from a
floating rate with a floor of $3.00 per share to a fixed rate of $1.00
per share. This was effected by exchanging all of the outstanding shares
of Series D convertible preferred stock for an identical number of shares
of Series D-1 convertible preferred stock. Other than the conversion
price, the rights, preferences, and privileges of the Series D-1
convertible preferred stock are substantially the same as those of the
Series D convertible preferred stock.
The Company recorded a beneficial conversion feature of $3,510,065
related to this exchange, which was fully accreted as of March 31, 2000.
The total excess of the fair value of the conversion feature of the
Series D-1 convertible preferred stock over that of the Series D
convertible preferred stock was $11,100,000.
Series F
In February 2000, the Company sold 15,316 shares of Series F convertible
preferred stock for $1,000 per share.
The Company's Series F convertible preferred stock has a par value of
$0.01 per share. Each share of preferred stock is convertible into 1,000
shares of the Company's common stock, subject to adjustments. The
preferred stock may be converted at the option of the Series F investor
or it will automatically convert upon the third anniversary of the date
of issue. The preferred stock has a liquidation preference of $1,000 per
share.
On February 11, 2000, the Company issued two warrants to H.C.Wainwright,
exercisable to purchase an aggregate of 500,000 shares of the Company's
common stock at the following exercise prices: (i) with respect to
400,000 shares, an exercise price of $0.01 per share, in connection with
their role as placement agent in the Series F convertible preferred stock
financing; and (ii) with respect to 100,000 shares, an exercise price of
$3.00 per share, in connection with their role as placement agent in the
November 1999 convertible loan transaction.
The Company recorded a beneficial conversion feature of $12,639,145
related to its Series F convertible preferred stock, which was fully
accreted as of March 31, 2000. The total excess of fair value over the
conversion price at the date of grant was $30,632,000.
On March 1, 2000, the Company issued a warrant to purchase 1,000,000
shares of the Company's common stock at an exercise price of $0.01 per
share to one investor as consideration for such investor having
participated as the lead investor in the Series F convertible preferred
stock financing. The fair value of this warrant, $3,741,756, is
reflected as a dividend in the accompanying unaudited condensed
consolidated statements of operations for the three months ended March
31, 2000.
6. COMMON STOCK OFFERINGS:
----------------------
On January 31, 1999, the Company issued and sold 263,158 units to one
investor at a price of $1.90 per unit, for aggregate consideration of
$500,000. Each unit sold in this offering consisted of one share of the
Company' s common stock, one warrant exercisable for three years to
purchase one additional share of common stock at a price of $6.00 per
share, and one warrant exercisable for three years to purchase an
additional share of common stock at an exercise price of $8.00 per share.
Both warrants associated with the unit purchase made by the investor in
January 31, 1999 were subsequently cancelled in 2000 and re-issued by the
Company as a warrant to purchase 526,316 shares of common stock of the
Company at an exercise price of $4.00, which expires three years from the
date of the initial purchase of the units described above.
7. SALE OF ASSETS:
--------------
On February 8, 2000, the Company sold all of the assets of Inforum
Communications (Sarasota), Inc., a wholly-owned subsidiary of the
Company, to LineShark Communications, an affiliate of a major stockholder
for $112,156. The Company also issued 164,300 options to employees of
LineShark Communications in connection with this transaction. The loss
on the sale was approximately $452,911.
On March 7, 2000, the Company entered into a sublease assignment,
assumption, and asset sale agreement with Sky Desk, Inc. an affiliate of
a former employee. The Company sold all of the assets at the premises of
the Network Operating Center in consideration for Sky Desk, Inc. assuming
the lease on the premises and the liabilities for invoices related to
those assets sold for which the Company had not yet paid. The loss on the
sale was approximately $173,000.
8. PRO FORMA RESULTS OF OPERATIONS:
-------------------------------
The following pro forma condensed consolidated statement of operations
for the three-month period ended March 31, 2000, includes the results of
the Company and Alternate Access, Inc. as if the acquisition had occurred
as of January 1, 2000.
The following pro forma condensed consolidated statement of operations
for the three-month periods ended March 31, 1999, includes the results of
the Company and Interaccess Corporation, Simply Internet, Inc., Net
Asset, LLC, CalWeb Internet Services, Inc. Inficad Computing and Design,
LLC, and Alternate Access, Inc. as if the acquisitions had occurred as of
January 1, 1999.
The pro forma condensed consolidated statements of operations may not be
comparable to, and may not be indicative of, the Company's post-
acquisition results of operations.
<TABLE>
<CAPTION>
Three-month Period Ended March 31,
----------------------------------
2000 1999
---- ----
<S> <C> <C> <C>
Revenue $ 2,375,453 $ 623,717
Net loss available to common
stockholders $ 26,136,334 $ 3,671,151
Net loss per share-basic and
diluted $ 1.52 $ 0.33
Shares used in computing net
loss per share-basic
and diluted 17,182,790 11,265,988
</TABLE>
<PAGE>
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
Results of Operations
For the three-month period ended March 31, 2000, the Company's revenues
from operations increased to $2,188,538 from $67,888 for the three-month
period ended March 31, 1999. The increase was primarily the result of the
acquisition of ten Internet Service Provider's ("ISP's") between January 1,
1999 and February 11, 2000 and the customer and revenue growth experienced by
those businesses during the three-month period ended March 31, 2000. The
Company's revenues from operations consist primarily of customer revenues
received for Internet access services, equipment set-up and installations, web
hosting and design services and security related services. The Company earns
access revenues primarily from subscriptions from its customers for Internet
connection and access. The subscription fees paid by customers vary among the
Company's ISP's and by the billing plans offered by a particular ISP.
For the three-month period ended March 31, 2000, the cost of revenues
was $909,088. The Company had no cost of revenues for the three-month period
ended March 31, 1999. Cost of revenues consists primarily of data transport
and backhaul charges paid to various telecommunications providers in order to
provide Internet services to customers.
For the three-month period ended March 31, 2000, selling, general and
administrative expenses increased to $3,903,564 from $3,211,849 for the three-
month period ended March 31, 1999. This increase was primarily the result of
the costs associated with the acquisition of two ISP's during the period, the
ongoing operating costs associated with the existing customer base of the
Company's ISP operations, the costs associated with the growth of the
Company's customer and revenue base and the costs associated with providing
additional services to existing and new customers. The Company's primary
operating costs include employee salaries and benefits, non-capital equipment
costs, office rent and utilities, customer service and technical support costs
and the sales and marketing costs associated with acquiring new customers,
including bonuses, sales commissions and advertising. Included in the
selling, general, and administrative expenses for the three-month period ended
March 31, 2000, are non-cash charges of $286,000, resulting from the issuance
of stock options and common stock warrants to consultants and professional
services vendors and from the issuance of common stock warrants to the
Company's placement agent in connection with the series F convertible
preferred stock financing.
For the three-month period ended March 31, 2000, depreciation and
amortization increased to $1,498,022 from $148,757 for the three-month period
ended March 31, 1999. This increase was primarily the result of depreciation
of fixed assets and amortization of goodwill associated with the Company's
acquisitions of its ISP operations.
For the three-month period ended March 31, 2000, other expenses were
$1,242,006, as compared to a gain of $2,895 for the three-month period ended
March 31, 1999. Included in other expenses for the three-month period ended
March 31, 2000 are interest expense of $627,137 and a loss on the sale of
fixed assets of $614,869, of which $452,911 was a non-cash charge associated
with the cancellation and re-issuance of stock options to three former
employees who are officers or directors of an entity that acquired certain
fixed assets from the Company.
The Company's activities for the three-month period ended March 31, 2000
resulted in a net loss of $5,364,142, as compared to a net loss of $3,289,823
for the three-month period ended March 31, 1999.
Liquidity and Capital Resources
The Company funds its working capital requirements principally from the
proceeds of private equity financings and from internally generated funds from
its ISP operations. During the three-month period ended March 31, 2000, the
Company raised $13,366,000 through the sale of its series F convertible
preferred stock. The Company has used the proceeds of this financing to fund
the cash portion of two acquisitions, as well as to fund the Company's
operating deficits.
The Company anticipates that its current cash on hand plus the cash flow
from its ISP operations will be sufficient to fund existing operations through
the remainder of the fiscal year. However, the Company expects to expand the
range of Internet related services it offers, such as security services and
web hosting and design services, and to possibly make additional acquisitions.
These activities will likely require the use of the Company's cash on hand,
cash from the ISP operations and the issuance of additional equity, debt or
both. There can be no assurance that such equity or debt financing will be
available to the Company, or, if available, on terms acceptable to the
Company. Any additional equity financing may be dilutive to our existing
shareholders and any debt financing may involve pledging some or all of our
assets and may contain restrictive covenants with respect to raising future
capital and other financial and operational matters. If the Company is unable
to obtain necessary additional capital, it may not be able to fully execute
its business strategy or may be required to reduce its operations, which could
have a material adverse effect on its business, financial condition or results
of operations.
Year 2000 Issues
Many existing computer systems and applications currently use two-digit
date fields to designate a particular year. Date sensitive systems and
applications may recognize the year 2000 as 1900 or not at all. The inability
to recognize or properly treat the year 2000 issue may cause computer systems
and applications to incorrectly process critical information and operational
information. During 1999, the Company undertook an effort to identify and
correct any potential year 2000 issues that may have existed with its
information systems, suppliers and facilities. As of the date of this report,
the year 2000 issue has not materially affected the Company's business. The
Company intends to continue to monitor the impact of the year 2000 issue on
its business throughout the year ended December 31, 2000. There can be no
assurance that the year 2000 issue will not adversely affect the Company's
business, financial condition or result of operations in future periods.
<PAGE>
<PAGE>
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
None other than as previously disclosed.
Item 2. Changes in Securities
See Notes 5 and 6 to Financial Statements.
Item 3. Default 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
Exhibits:
None.
Reports on Form 8-K:
Current Report on Form 8-K dated February 11, 2000
Item 2: Acquisition of Assets
Item 5: Financial Statements and Exhibits
Current Report on Form 8-K dated April 26, 2000
Item 5: Other Events
<PAGE>
SIGNATURE
In accordance with the requirements of the Securities and Exchange Act,
the Registrant caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
SKYLYNX COMMUNICATIONS, INC.
Dated: May 19, 2000 By: /s/ Jeffery A. Mathias
----------------------------------
Jeffery A. Mathias, President
Dated: May 19, 2000 By: /s/ James Maurer
----------------------------------
James Maurer, Chief Financial Officer
