SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-QSB
Quarterly Report Under Section 13 or 15 (d) of
Securities Exchange Act of 1934
For Period ended June 30, 2000
Commission File Number 0-26813
ALTREX INCORPORATED
(Exact name of registrant as specified in its charter)
NEVADA 91-1932068
(State of Incorporation) (I.R.S. Employer Identification No.)
157 SOUTH HOWARD STREET, 6th Floor
SPOKANE, WASHINGTON 99201
(Address of Principal Executive Offices) (Zip Code)
(509) 252-3939
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(Registrant's telephone number, including area code)
Indicate by check mark 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
----- -----
Indicate the number of shares outstanding of each of the issuer's classes of
common stock at the latest practicable date.
As of June 30, 2000, the registrant had 2,500,000 shares of common stock,
$.001 par value, issued and outstanding.
<PAGE>
PART 1 - FINANCIAL INFORMATION
ITEM 1. Financial Statements - Unaudited
Balance Sheets as of December 31, 1999 and June 30, 2000.
Income Statements for the three months ended June 30, 1999
and June 30, 2000, and for the period from Inception
(October 20, 1998) through June 30, 2000.
Statements of Cash Flows for the three months ended June 30,
1999 and June 30, 2000, and for the period from Inception
(October 20, 1998) through June 30, 2000.
Notes to Financial Statements
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations.
PART II - OTHER INFORMATION
Item 1. Legal Proceedings.
Item 2. Changes in Securities and Use of Proceeds.
Item 3. Defaults Upon Senior Securities.
Item 4. Submission of Matters to a Vote of Security Holders.
Item 5. Other Information.
Item 6. Exhibit and Reports on Form 8-K
Exhibit
Reports on Form 8-K
SIGNATURES
<PAGE>
PART 1 - FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS (UNAUDITED)
Altrex Incorporated
(A Development Stage Company)
Unaudited Balance Sheets
As of December 31, 1999 and June 30, 2000
December 31, June 30,
1999 2000
------------ -----------
ASSETS
Cash $ 0 $ 0
Organization Costs 0 0
Accumulated Amortization 0 0
------------ -----------
Total Assets $ 0 $ 0
============ ===========
LIABILITIES
Accounts Payable $ 0 $ 0
------------ -----------
STOCKHOLDERS' EQUITY
Common Stock:
Paid-In Capital, Par Value $0.001 per
Share, 75,000,000 Shares Authorized,
2,500,000 Shares Outstanding $ 2,500 $ 2,500
Paid In Capital In Excess of Par Value 5,000 5,000
(Deficit) Accumulated During Development
Stage (7,500) (7,500)
----------- -----------
Total Stockholders' Equity $ 0 $ 0
----------- -----------
Total Liabilities and Stockholders'
Equity $ 0 $ 0
=========== ===========
See accompanying notes to financial statements.
<PAGE>
Altrex Incorporated
(A Development Stage Company)
Unaudited Income Statements
For the Three Months Ended June 30, 1999 and
June 30, 2000 and for the Period
From Inception (October 20, 1998) through June 30, 2000
Three Months Three Months Inception
Ended Ended Through
June 30, June 30, June 30,
1999 2000 2000
------------ ------------ -----------
Operating Revenues $ 0 $ 0 $ 0
Operating Expenses 0 0 7,500
------------ ------------ -----------
Net Income (Loss) $ 0 $ 0 $ 7,500
============ ============ ===========
Per Share Information:
Basic and Diluted (Loss)
per Common Share $ (0.00) $ (0.00) $ (0.00)
Weighted Average Shares
Outstanding (1) 2,500,000 2,500,000 2,492,976
See accompanying notes to financial statements.
<PAGE>
Altrex Incorporated
(A Development Stage Company)
Statements of Cash Flows
For the Three Months Ended June 30, 1999 and
June 30, 2000 and for the Period
From Inception (October 20, 1998) through June 30, 2000
Three Months Three Months Inception
Ended Ended Through
June 30, June 30, June 30,
1999 2000 2000
------------ ------------ -----------
Net Income (Loss) $ 0 $ 0 $ (7,500)
------------ ------------ -----------
Adjustments to Reconcile Net
Income to Net Cash Provided
From Operating Activities:
Amortization of Start-Up
Costs 0 0 7,500
------------ ------------ -----------
Net Cash Provided From (Used In)
Operating Activities (7,500) 0 0
Cash Flows From (Used In)
Investing Activities:
Organization Costs 0 0 (7,500)
Cash Flows From (Used In)
Financing Activities:
Common Stock Sold for Cash 0 0 7,500
------------ ------------- ------------
Net Increase (Decrease)
in Cash (7,500) 0 0
Cash at Beginning of Period 7,500 0 0
------------- ------------- ------------
Cash at End of Period $ 0 $ 0 $ 0
============= ============= ============
See accompanying notes to financial statements.
<PAGE>
Altrex Incorporated
(A Development Stage Company)
Notes to Unaudited Financial Statements
NOTE 1 - BASIS OF PRESENTATION
The accompanying unaudited consolidated financial statements of Altrex
Incorporated have been prepared in accordance with accounting principles
generally accepted in the United States for interim financial information and
with the instructions to Form 10-Q and Article 10 of Regulation S-X.
Accordingly, they do not include all of the information and footnotes
required by accounting principles generally accepted in the United States for
complete financial statements. In the opinion of management, all adjustments,
consisting only of normal recurring adjustments, considered necessary for a
fair presentation have been included. The results of the interim periods
presented herein are not necessarily indicative of the results to be expected
for any other interim period or the full year. These financial statements
should be read in conjunction with the consolidated financial statements and
notes thereto for the year ended December 31, 1999 included in the Company's
Form 10-KSB Annual Report for the year ended December 31, 1999.
<PAGE>
PART 1. FINANCIAL INFORMATION
Management's Plan of Operations
While the Company maintains a zero cash balance, the President and
Secretary/Treasurer, the Founders, have agreed to provide their services,
office space and related supplies free of charge until such time as management
can raise the funding necessary to advance its business plan.
In management's opinion, the Company's current cash situation is sufficient
and adequate until additional capital can be raised to implement the Company's
business plan (the "Plan"). At present, the Company is in its initial
development stage. Over the next six to nine months it will be assessing
the hardware/software requirements of its Plan, and researching and compiling
the data and other information necessary to set forth its detailed operating
budgets and cash flow requirements. This information will include requisite
data for the internet service provider ("ISP") consolidations and/or
acquisitions and new customer projections that will be the focus of the
Company's business plan.
Based on the detailed studies, and resultant budgets and cash flow projections
prepared during this initial phase, the Company will then proceed with another
offering in the next nine to twelve months to raise the estimated $300,000 to
$500,000 needed to proceed with the second phase of its Plan. This phase
includes the actual acquisition/consolidation of small ISP's into the Company.
The third stage of the Company's Plan is the ongoing operation of these
acquired/consolidated ISP's and the targeting of additional customers thereto.
In order to remain a going concern, the Company must first complete the initial
stage of its Plan, and then be successful in its effort(s) to raise additional
capital, either through an offering, such as another 504 offering, or through
a private placement of its securities. There are considerable risks in the
implementation of the Company's Plan, including insufficient funding from
future sale(s) of its securities, greater than expected costs to acquire
and/or consolidate smaller ISP's, greater than expected operating costs, and
insufficient revenues from sales/operations. Without sufficient cash flow, the
Company would have to rely on existing cash flows and/or loans from its
Founders until such time as the Company could raise additional funds to
implement its Plan.
There are no current plans for product research and development. There are no
current plans to purchase or sell any significant amount of fixed assets.
There are no current plans to increase the number of employees.
PART II - OTHER INFORMATION
ITEM 1. Not applicable.
ITEMS 2-4. Not applicable.
ITEM 5. Information required in lieu of Form 8-K: None
ITEM 6. Exhibits and Reports on 8-K:
a) Exhibit #27.1, "Financial Data Schedule"
b) No reports on Form 8-K were filed during the
fiscal quarter ended June 30, 2000
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.
Altrex Incorporated
Dated: July 11, 2000 /s/ Christopher George
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Christopher George
President
