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 quarter ended June 30, 2000
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[ ] 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. 0-25167
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BETHURUM LABORATORIES, INC.
-----------------------------------
(Name of Small Business Issuer in its Charter)
UTAH 76-0050046
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(State or Other Jurisdiction of (I.R.S. Employer I.D. No.)
incorporation or organization)
6371 Richmond, #200
Houston, Texas 77057
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(Address of Principal Executive Offices)
Issuer's Telephone Number: (713) 266-8005
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 Company 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
--- --- --- ---
(ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS
DURING THE PAST FIVE YEARS)
Check whether the issuer has filed all documents and reports required to
be filed by Section 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)
State the number of shares outstanding of each of the Issuer's
classes of common equity, as of the latest practicable date:
June 30, 2000
Common - 350,750 shares
DOCUMENTS INCORPORATED BY REFERENCE
NONE.
Transitional Small Business Issuer Format Yes X No
--- ---
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements.
The Consolidated Financial Statements of the Company 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 Consolidated Financial Statements fairly present the
financial condition of the Company.
<PAGE>
BETHURUM LABORATORIES, INC.
(A Development Stage Company)
FINANCIAL STATEMENTS
June 30, 2000 and December 31, 1999
<PAGE>
<TABLE>
BETHURUM LABORATORIES, INC.
(A Development Stage Company)
Balance Sheets
<CAPTION>
ASSETS
June 30, December 31,
2000 1999
(Unaudited)
<S> <C> <C>
CURRENT ASSETS
Cash $ - $ -
Total Current Assets - -
TOTAL ASSETS $ - $ -
LIABILITIES AND STOCKHOLDERS EQUITY (DEFICIT)
CURRENT LIABILITIES
Accounts payable $ 17,187 $ 14,361
Accrued interest 1,647 1,647
Total Liabilities 18,834 16,008
STOCKHOLDERS' EQUITY (DEFICIT)
Common stock; authorized 100,000,000 common
shares at $0.001 par value; 350,750 shares
issued and outstanding 3,508 3,508
Additional paid-in capital 30,809 28,179
Deficit accumulated during development stage (53,151) (47,695)
Total Stockholders' Equity (Deficit) (18,834) (16,008)
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY (DEFICIT) $ - $ -
</TABLE>
<TABLE>
BETHURUM LABORATORIES, INC.
(A Development Stage Company)
Statements of Operations
(Unaudited)
<CAPTION>
From
Inception on
For the For the April 22,
Six Months Ended Three Months Ended 1983 Through
June 30, June 30, June 30,
2000 1999 2000 1999 2000
<S> <C> <C> <C> <C> <C>
REVENUES $ - $ - $ - $ - $ -
EXPENSES
General and
administrative 5,456 1,893 5,456 268 49,396
Total Expenses 5,456 1,893 5,456 268 49,396
LOSS FROM OPERATIONS (5,456) (1,893) (5,456) (268) (49,396)
OTHER EXPENSE
Interest expense - - - - (3,755)
Total Other Expense - - - - (3,755)
NET LOSS $ (5,456)$(1,893) $(5,456) $(268) $ (53,151)
BASIC LOSS PER SHARE $ (0.02)$ (0.01) $ (0.02) $(0.00)
WEIGHTED AVERAGE NUMBER
OF SHARES OUTSTANDING 350,750 350,750 350,750 350,750
</TABLE>
<TABLE>
BETHURUM LABORATORIES, INC.
(A Development Company)
Statements of Stockholders' Equity (Deficit)
From Inception on April 22, 1983 to June 30, 2000
<CAPTION>
Deficit
Accumulated
Additional During the
Common Stock Paid-in Development
Shares Amount Capital Stage
<S> <C> <C> <C> <C>
Balance on inception - $ - $ - $ -
Issuance of common
stock for cash at
inception at
approximately $.05
per share 30,000 30 1,470 -
Issuance of common
stock for cash at
$0.06 per share 250,000 250 14,750 -
Common stock issued
during
reorganization
agreement 1,000,000 1,000 (1,000) -
Cancellation of
common stock
from divestiture
agreement (975,000) (975) 975 -
Net loss from
inception on
April 22, 1983
through
December 31, 1986 - - - (18,049)
Balance,
December 31, 1986 305,000 305 16,195 -
Net loss for
the year ended
December 31, 1987 - - - (124)
Balance,
December 31, 1987 305,000 305 16,195 (18,173)
Net loss for
the year ended
December 31, 1988 - - - (134)
Balance,
December 31, 1988 305,000 305 16,195 (18,307)
Net loss for
the year ended
December 31, 1989 - - - (144)
Balance,
December 31, 1989 305,000 305 16,195 (18,451)
Net loss for
the year ended
December 31, 1990 - - - (156)
Balance,
December 31, 1990 305,000 $ 305 $ 16,195 $ (18,607)
Net loss for
the year ended
December 31, 1991 - - - (169)
Balance,
December 31, 1991 305,000 305 16,195 (18,776)
Net loss for
the year ended
December 31, 1992 - - - (182)
Balance,
December 31, 1992 305,000 305 16,195 (18,958)
Net loss for
the year ended
December 31, 1993 - - - (196)
Balance,
December 31, 1993 305,000 305 16,195 (19,154)
Net loss for
the year ended
December 31, 1994 - - - (213)
Balance,
December 31, 1994 305,000 305 16,195 (19,367)
Net loss for
the year ended
December 31, 1995 - - - (229)
Balance,
December 31, 1995 305,000 305 16,195 (19,596)
Expenses paid
on the Company's
behalf - - 473 -
Net loss for
the year ended
December 31, 1996 - - - (6,385)
Balance,
December 31, 1996 305,000 305 16,195 (25,981)
Expenses paid on
the Company's
behalf - - 3,167 -
Net loss for
the year ended
December 31, 1997 - - - (422)
Balance,
December 31, 1997 305,000 $ 305 $ 19,835 $ (26,403)
Expenses paid on
the Company's
behalf - - 1,218 -
Common stock issued
for services at
$0.10 per share 45,750 46 4,529 -
Net loss for
the year ended
December 31, 1998 - - - (15,241)
Balance,
December 31, 1998 350,750 351 25,582 (41,644)
Expenses paid
on the Company's
behalf (unaudited) - - 5,754 -
Net loss for
the year
ended December
31, 1999 (unaudited) - - - (6,051)
Balance,
December 31, 1999 350,750 $ 351 $ 31,336 $ (47,695)
Expenses paid on
Company's behalf
(unaudited) - - 2,630 -
Net loss for the
six months ended
June 30, 2000 (unaudited) - - - (5,456)
Balance, June 30, 2000
(unaudited) 350,750 $ 351 $ 33,966 $ (53,151)
</TABLE>
<TABLE>
BETHURUM LABORATORIES, INC.
(A Development Stage Company)
Statements of Cash Flows
(Unaudited)
<CAPTION>
From
Inception on
For the For the April 22,
Six Months Ended Three Months Ended 1983 Through
June 30, June 30, June 30,
2000 1999 2000 1999 2000
<S> <C> <C> <C> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss $ (5,456) $ (1,893) $ (5,456) $ (268) $ (47,695)
Adjustments to reconcile
net loss to net cash
(used) by operating
activities:
Common stock issued for
services - - - - 4,575
Changes in operating
assets and liabilities:
Increase (decrease) in
accounts payable 2,826 (1,098) 3,609 (2,303) 17,187
Increase in accrued
interest - - - - 1,647
Net Cash (Used) by
Operating Activities (2,630) (2,991) (1,847) (2,591) (29,742)
CASH FLOWS FROM INVESTING
ACTIVITIES - - - - -
CASH FLOWS FROM FINANCING
ACTIVITIES
Issuance of common stock - - - - 16,500
Additional paid-in
capital 2,630 2,991 1,847 2,571 13,242
Net Cash Provided by
Financing Activities 2,630 2,991 1,847 2,571 29,742
NET INCREASE IN CASH - - - - -
CASH AT BEGINNING OF
PERIOD - - - - -
CASH AT END OF PERIOD $ - $ - $ - $ - $ -
CASH PAID FOR:
Interest $ - $ - $ - $ - $ -
Income taxes $ - $ - $ - $ - $ -
</TABLE>
BETHURUM LABORATORIES, INC.
(A Development Stage Company)
Notes the Financial Statements
June 30, 2000 and December 31, 1999
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
a. Organization
The financial statements presented are those of Bethurum
Laboratories, Inc., (development stage company). The Company was
incorporated in the State of Utah on April 22, 1983, under the name
Lion Resources, Inc. The Company was incorporated for the purpose of
seeking business opportunities by mergers, acquisitions and/or asset
purchases.
On October 24, 1983, the Company acquired 100% of the outstanding
stock of Bethurum Laboratories, Inc. (a Texas corporation) (BLI),
through the issuance of 10,000,000 shares of its restricted common
stock. In connection with the acquisition, the Company changed its
name to "Bethurum Laboratories, Inc." on October 27, 1983. In January
1985, the acquisition agreement was canceled due to non-performance
of BLI. Ownership of BLI was returned to its former shareholders,
and the shares issued by the Company in connection with the
acquisition were canceled, with the exception of 250,000 shares, which
were not returned.
On October 24, 1983, and in conjunction with the acquisition
agreement, the Company's shareholders approved a forward split
agreement, whereby the outstanding common shares were exchanged at a
rate of 1.6667 shares for every 1 share outstanding. This increased
the outstanding shares to 2,500,000 immediately prior to the
acquisition agreement. All references to shares outstanding and
loss per share have been retroactively restated to restate the
forward stock split.
b. Accounting Method
The Company's financial statements are prepared using the accrual
method of accounting. The Company has selected a December 31 year
end.
c. Basic Loss Per Common Share
Basic loss per common share has been calculated based on the weighted
average number of shares of common stock outstanding during the
period.
d. Provision for Taxes
At June 30, 2000, the Company had net operating loss carryforwards
of approximately $53,000 that may be offset against future taxable
income through 2019. No tax benefit has been reported in the
financial statements because the Company believes that there is a
50% chance or greater the net operating loss carryforwards will
expire unused. Therefore, the potential tax benefits of the loss
carryforwards are offset by a valuation allowance of the same
amount.
e. Cash Equivalents
The Company considers all highly liquid investments with a maturity
of three months or less when purchased to be cash equivalents.
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 reported period. Actual results
could differ from those estimates.
g. Unaudited Financial Statements
The accompanying unaudited financial statements include all of the
adjustments which, in the opinion of management, are necessary for a
fair presentation. Such adjustments are of a normal recurring nature.
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 significant cash or other material assets, nor does it
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. Until that time, the stockholders have committed
to covering the operating costs of the Company.
NOTE 3 - SUBSEQUENT EVENT
On July 31, 2000, the Company approved a 1-for-10 reverse split of its
outstanding common stock. All references to common stock have been
retroactively restated to reflect the reverse stock split.
<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 or had any
revenues from operations during the last two fiscal years. On June 15, 2000,
the Company's Board of Directors adopted a Business Plan providing for
Bethurum to develop and market wireless telecommunications networks in the
developing markets in third world countries and to raise the necessary capital
to engage in this industry.
During the next 12 months, the Company's only foreseeable cash
requirements will relate to maintaining the Company in good standing, which
may be advanced by management or principal stockholders as loans to the
Company. Any such sums should be nominal.
Results of Operations.
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At June 30, 2000, the Company had $0 in assets and $18,834 in
liabilities. The Company had no revenues for the three months ended June
30, 2000 and 1999, with $5,456 and $268 in expenses, for net losses of
($5,456) and ($268), respectively. The Company had no revenues for the six
months ended June 30, 2000 and 1999, with $5,456 and $1,893 in expenses, for
net losses of ($5,456) and ($1,893), respectively.
The Company incurred losses of ($5,456) for the period ended June
30, 2000; and ($268) for the period ended June 30, 1999. Primarily all of
these expenses were utilized for attorney's fees, accounting fees and filing
fees to maintain the Company in good standing and to file its reports with the
Securities and Exchange Commission.
Liquidity.
---------
At June 30, 2000, the Company had no current assets, with total
current liabilities of $18,834. Total stockholder's equity was ($18,834).
During the period ended June 30, 2000, capital contributions by a
principal stockholder amounted to $2,630; and, the amount of $5,754 was
similarly contributed during the year ended December 31, 1999.
PART II - OTHER INFORMATION
Item 1. Legal Proceedings.
None; not applicable.
Item 2. Changes in Securities.
On July 30, 2000, the Company approved a 1 for 10 reverse split of
its outstanding common stock, effective on August 14, 2000.
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.
Annual Report for the year ended December 31, 1999.*
(b) Reports on Form 8-K.
8-K Current Report dated July 19, 2000, filed with the
Securities and Exchange Commission on August 7, 2000.
*Incorporated herein by reference.
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.
BETHURUM LABORATORIES, INC.
Date: 8/16/2000 By/s/William A. Silvey, Jr.
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William A. Silvey, Jr., Director
and President
Date: 8/16/2000 By/s/W. Scott Thompson
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W. Scott Thompson, Director
Secretary
