<PAGE> 1
U.S. 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 quarterly period ended March 31, 1999
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from _______ to __________
N.E.C. PROPERTIES, INC.
(Name of Small Business Issuer in its Charter)
Nevada 88-0339817
------------------------------- -------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
6767 W. Tropicana Avenue, Suite 207
Las Vegas, Nevada 89103
-----------------------------------------
(Address of principal executive offices)
Registrant's telephone number: (702) 248-1027
Former name, former address, and former fiscal
year end, if changed since last report: Not applicable
Indicate by checkmark 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 in the past 90 days
Yes [ X ] No [ ]
Indicate the number of shares outstanding for each of the issuer's classes of
Common Stock as of the last practical date:
Common Stock, Par Value $0.001 Per Share, 1,860,000 Shares Outstanding
at March 31, 1999.
Transactional Small Business Disclosure Format
Yes [ ] No [ X ]
<PAGE> 2
N.E.C. PROPERTIES, INC.
TABLE OF CONTENTS
PART I FINANCIAL STATEMENTS
Item 1 FINANCIAL STATEMENTS (Unaudited)
Balance Sheets. . . . . . . . . . . . . . . . . . . . . . . 3
Statement of Operations . . . . . . . . . . . . . . . . . . 5
Statement of Changes in
Stockholders' Equity. . . . . . . . . . . . . . . . . . . . 6
Statement of Cash Flows . . . . . . . . . . . . . . . . . . 7
Notes to Financial Statements . . . . . . . . . . . . . . . 8
Item 2 Management Discussion and Analysis
of Financial Condition and Results
of Operations . . . . . . . . . . . . . . . . . . . . . . . 8
PART II OTHER INFORMATION . . . . . . . . . . . . . . . . . . . . . 9
SIGNATURES. . . . . . . . . . . . . . . . . . . . . . . . . 9
2.
<PAGE> 3
N.E.C. PROPERTIES, INC.
(A Development Stage Company) March
31, 1999, March 31, 1998 and December 31, 1998
ASSETS
------
<TABLE>
<CAPTION>
(Unaudited) Audited
------------------- ------------
March 31, March 31, December 31,
1999 1998 1998
--------- --------- -----------
<S> <C> <C> <C>
CURRENT ASSETS: $ 0 0 $ 0
-------- --------- --------
TOTAL CURRENT ASSETS $ 0 0 $ 0
-------- --------- --------
OTHER ASSETS: $ 0 0 $ 0
-------- --------- --------
TOTAL CURRENT ASSETS $ 0 0 $ 0
-------- --------- --------
TOTAL ASSETS $ 0 0 $ 0
======== ========= ========
</TABLE>
See accompanying notes to financial statements
3.
<PAGE> 4
N.E.C. PROPERTIES, INC.
(A Development Stage Company) March
31, 1999, December 31, 1998, and March 31, 1998
LIABILITIES AND STOCKHOLDERS' EQUITY
------------------------------------
<TABLE>
<CAPTION>
(Unaudited) Audited
---------------------- ------------
March 31, March 31, December 31,
1999 1998 1998
--------- --------- ------------
<S> <C> <C> <C>
CURRENT LIABILITIES
Officers Advances $ 2,535 $ 0 $ 360
-------- -------- ---------
TOTAL CURRENT LIABILITIES $ 2,535 $ 0 $ 360
-------- -------- ---------
STOCKHOLDERS' EQUITY
Common stock, no par value
authorized 2,500 shares
issued and outstanding at:
March 31, 1998 -
1,860 shares $ 1,860
December 31, 1998 -
1,860 shares $ 1,860
Common stock, $0.001 par
value authorized 25,000,000
shares issued and
outstanding at:
March 31, 1999 -
1,860,000 shares $ 1,860
Additional paid in
Capital 0 0 0
Accumulated loss -4,395 -1,860 -2,220
------- -------- ---------
TOTAL STOCKHOLDERS' EQUITY $ -2,535 $ 0 $ -360
-------- -------- ---------
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $ 0 $ 0 $ 0
======== ======== =========
</TABLE>
See accompanying notes to financial statements
4.
<PAGE> 5
N.E.C. PROPERTIES, INC.
(A Development Stage Company)
March 31, 1999, March 31, 1998, and December 31, 1998
STATEMENT OF OPERATIONS
-----------------------
<TABLE>
<CAPTION>
Unaudited Audited
-------------------------- ------------
Three Months Ended Year Ended
March 31, March 31, December 31,
1999 1998 1998
--------- --------- ------------
<S> <C> <C> <C>
INCOME
Revenue $ 0 $ 0 $ 0
--------- --------- -----------
EXPENSES
General, Selling and
Administrative $ 2,175 $ 0 $ 110
--------- -------- -----------
Total Expenses $ 2,175 $ 0 $ 110
--------- --------- -----------
NET PROFIT/LOSS(-) $ -2,175 $ 0 $ 110
========= ========= ===========
Net Profit/Loss(-)
per weighted share $ -.0011 $ NIL $ -.0011
========= ========= ===========
Weighted Average
number of common
shares outstanding 1,860,000 1,860,000 1,800,000
========= ========= ===========
</TABLE>
See accompanying notes to financial statements
5.
<PAGE> 6
N.E.C. PROPERTIES, INC.
(A Development Stage Company)
March 31, 1999, March 31, 1998, and December 31, 1998
STATEMENT OF CHANGES IN STOCKHOLDER EQUITY
------------------------------------------
<TABLE>
<CAPTION>
Additional
Common Stock paid-in Accumulated
Shares Amount Capital Deficit
--------- ------ -------- -----------
<S> <C> <C> <C> <C>
Balance
December 31, 1995: 18,600 $1,860 $ 0 $ -1,860
Net loss year ended
December 31, 1996: 0
--------- ------ -------- ---------
Balance
December 31, 1996: 18,600 $1,600 $ 0 $ -1,860
Net loss year ended
December 31, 1997: -250
--------- ------ -------- ---------
Balance
December 31, 1998: 18,600 $1,860 $ 0 $ -2,100
November 19, 1998:
Changed from no par
value to $.001 -1,841 +1,841
November 19, 1998:
Forward stock split
100:1 1,841,400 +1,841 -1,841
Net loss year ended
December 31, 1998:
Net loss January 1,
1999 to
March 31, 1999: 0
----------- ------ -------- ---------
Balance
March 31, 1999: 1,860,000 $1,860 $ 0 $ -2,220
=========== ====== ======== =========
</TABLE>
See accompanying notes to financial statements
6.
<PAGE> 7
N.E.C. PROPERTIES, INC.
(A Development Stage Company)
March 31, 1999, March 31, 1998, and December 31, 1998
STATEMENT OF CASH FLOWS
-----------------------
<TABLE>
<CAPTION>
Three Months Ended Audited
------------------------ ------------
Year Ended
March 31, March 31, December 31,
1999 1998 1998
-------- --------- ------------
<S> <C> <C> <C>
Cash Flows from
Operating Activities:
Net Loss $ -2,175 $ 0 $ -110
Adjustment to reconcile
net loss to net cash
provided by operating
activities 0 0 0
Changes in assets and
liabilities: +2,175 0 +110
-------- -------- ----------
Net cash used in
operating activities: $ 0 $ 0 $ 0
Cash Flows from
Investing Activities: 0 0 0
Cash Flows from
Financing Activities:
Issuance of common
stock 0 0 0
-------- -------- ----------
Net increase (decrease)
in cash $ 0 $ 0 $ 0
Cash,
beginning of period 0 0 0
-------- -------- ----------
Cash,
End of Period $ 0 $ 0 $ 0
======== ======== ==========
</TABLE>
See accompanying notes to financial statements
7.
<PAGE> 8
N.E.C. PROPERTIES, INC.
(A Development Stage Company) March
31, 1999, March 31, 1998, and December 31, 19981/
ITEM 1
NOTE 1 - History and Organization of the Company
The Company was organized June 16, 1995, under the Laws of the State of Nevada
as N.E.C. Properties, Inc. The Company currently has no operations and in
accordance with SFAS #7, is considered a development stage company.
NOTE 2 - Basis of Presentation
The accompanying unaudited financial statements have been prepared in accordance
with generally accepted accounting principles for interim financial information
and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X.
Accordingly, they do not include all of the information and footnotes required
by generally accepted accounting principles for complete financial statements.
In the opinion of management, adjustments (consisting of normal recurring
accruals) considered necessary for a fair presentation have been included.
Operating results for the three month period ending March 31, 1999 are not
necessarily indicative of the results that may be expected for the year ended
December 31, 1999. For further information, refer to the financial statements
and footnotes thereto included in the Company's report on Form 10SB12G for the
year ended December 31, 1998.
ITEM 2
Management's Discussion and Analysis of Financial Condition and Results of
Operation
The Company has not commenced business activities and has no assets or
operations. The Company is dependent upon its officers to meet any de minimis
costs which may occur.
Jeffery D. Andre, an officer and director of the Company, has agreed to provide
the necessary funds, without interest, for the Company to comply with the
Securities Exchange Act of 1934, as amended, provided that he is an officer and
director of the Company when the obligation is incurred. All advances are
interest-free.
In addition, since the Company has had no operating history nor any revenues or
earnings from operations, with no significant assets or financial resources, the
Company will in all likelihood sustain operating expenses without corresponding
- ---------------
(1) See accompanying notes.
8.
<PAGE> 9
revenues, at least until the consummation of a business combination. This may
result in the Company incurring a net operating loss which will increase
continuously until the Company can consummate a business combination with a
profitable business opportunity. There is no assurance that the Company can
identify such a business opportunity and consummate such a business combination.
PART II
OTHER INFORMATION
Item 1 Legal Proceedings. . . . . . . . . . . . . . . . . None
Item 2 Changes in the Rights of the Company's
Security Holders . . . . . . . . . . . . . . . . . None
Item 3 Defaults by the Company on its Senior
Securities . . . . . . . . . . . . . . . . . . . . None
Item 4 Results of Votes of Security Holders . . . . . . . None
Item 5 Other Information. . . . . . . . . . . . . . . . . None
Item 6 Exhibits and Reports on Form 8-K. . . . . . . . . None
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.
N.E.C. PROPERTIES, INC.
Date: May 27, 1999 By: /S/ Vivian M. Krueger
---------------------
Vivian M. Krueger
President
9.
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-END> MAR-31-1999
<CASH> 0
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 0
<CURRENT-LIABILITIES> 2,535
<BONDS> 0
0
0
<COMMON> 1,860
<OTHER-SE> (2,535)
<TOTAL-LIABILITY-AND-EQUITY> 0
<SALES> 0
<TOTAL-REVENUES> 0
<CGS> 0
<TOTAL-COSTS> (2,175)
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> (2,175)
<INCOME-TAX> 0
<INCOME-CONTINUING> (2,175)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (2,175)
<EPS-BASIC> (0.001)
<EPS-DILUTED> 0
</TABLE>
