CLEMMY TECHNOLOGIES CORP.
(A DEVELOPMENT STAGE COMPANY)
FINANCIAL STATEMENTS
DECEMBER 31, 1999, AND DECEMBER 31, 1998
<PAGE>
TABLE OF CONTENTS
Page
Number(s)
INDEPENDENT ACCOUNTANT'S REPORT ............ 1
FINANCIAL STATEMENT
Balance Sheets........................ 2
Statements of Operations and Deficit
Accumulated During the Development
Stage................................. 3
Statement of Changes in Stockholders.. 4
Statements of Cash Flows.............. 5
Notes to the Financial Statements..... 6 - 7
<PAGE>
INDEPENDENT ACCOUNTANT'S REPORT
To the Board of Directors and Stockholders
of Clemmy Technologies Corp.
Las Vegas, Nevada
I have audited the accompanying balance sheets of Clemmy Technologies
Corp. (a development stage company) as of December 31, 1999, and December
31, 1998, and the related statements of operations, cash flows, and changes
in stockholders' equity for the period from December 31, 1998, (date of
inception) to March 31, 2000. These statements are the responsibility of
Clemmy Technologies Corp.'s management. My responsibility is to express
an opinion on these financial statements based on my audit.
I conducted my audit in accordance with generally accepted auditing
standards. Those standards require that I plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free
of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements.
An audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. I believe that my audit provides a reasonable basis
for my opinion.
In my opinion, the accompanying financial statements present fairly,
in all material respects, the financial position of Clemmy Technologies
Corp. as of December 31, 1999, and December 31, 1998, and the results of
operations, cash flows, and changes in stockholders' equity for the
periods then ended, as well as the cumulative period from December 31, 1998,
in conformity with generally accepted accounting principles.
David Coffey, C.P.A.
Las Vegas, Nevada
February 21, 2000
<PAGE> 1
CLEMMY TECHNOLOGIES CORP.
(A DEVELOPMENT STAGE COMPANY)
BALANCE SHEETS
Dec. 31, 1999 Dec. 31, 1998
------------- -------------
ASSETS
Cash $ 124 $ 100
------------ -----------
Total Assets $ 124 $ 100
============ ============
LIABILITIES & STOCKHOLDERS' EQUITY
Accounts payable $ 1,400 $ 400
------------ ------------
Total Liabilities 1,400 400
Stockholders' Equity Common
stock, authorized 50,000,000
shares at $.001 par value,
issued and outstanding 247,000
shares and 200,000 shares,
respectively 247 100
Additional paid-in capital 25,603 0
Deficit accumulated during the
development stage (27,126) (400)
------------- -----------
Total Stockholders' Equity (1,276) (300)
Total Liabilities and Stock-
holders' Equity $ 124 $ 100
========== ===========
The accompanying notes are an integral part of
these financial statements.
<PAGE> 2
CLEMMY TECHNOLOGIES CORP.
(A DEVELOPMENT STAGE COMPANY)
STATEMENTS OF OPERATIONS AND DEFICIT
ACCUMULATED DURING THE DEVELOPMENT STAGE
(With Cumulative Figures From Inception)
<TABLE>
<CAPTION>
From Inception,
Jan. 1, 1999, Dec. 31, 1998, to Dec. 31, 1998, to
Dec. 31, 1999 Dec. 31, 1998 Dec. 31, 1999
----------------------------------------------------
</CAPTION>
<S> <C> <C> <C>
Income $ 0 $ 0 $ 0
Expenses
Organizational expense 0 400 400
Consulting 20,900 0 20,900
Office and administration 3,750 0 3,750
Professional fees 2,000 0 2,000
Office expenses 76 0 76
----------- --------- -----------
Total expenses 26,726 400 27,126
Net loss (26,726) (400) $ (27,126)
=============
Retained earnings,
beginning of period (400) 0
------------ ---------
Deficit accumulated during
the development stages $ (27,126) $ (400)
=========== =========
Earnings (loss) per share
assuming dilution:
Net loss $ 0.03 $ 0.00 $ (0.14)
============ ========= ============
Weighted average shares
outstanding 202,167 100,000 194,308
============ ========= ============
</TABLE>
The accompanying notes are an integral part of
these financial statements.
<PAGE> 3
CLEMMY TECHNOLOGIES CORP.
(A DEVELOPMENT STAGE COMPANY)
STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY
FOR THE PERIOD FROM DECEMBER 31, 1998
(Date of Inception) TO DECEMBER 31, 1999
<TABLE>
<CAPTION>
Common Stock Additional
Shares Amount Paid-In Capital Total
------------------ --------------- --------
</CAPTION>
<S> <C> <C> <C> <C>
Balance, Dec. 31, 1998 $ - $ - $ -
Issuance of common stock
for cash Dec., 1998 100,000 100 0 100
Less net loss 0 0 0 (400)
------- -------- -------- ---------
Issuance of common stock
for cash March, 1999 100,000 100 9,900 10,000
Less offering costs 0 0 (7,750) (7,750)
Issuance of common stock
for cash August, 1999 42,000 42 20,958 21,000
Issuance of common stock
for cash Sept., 1999 3,000 3 1,497 1,500
Issuance of common stock
for cash Nov., 1999 2,000 2 998 1,000
Less net loss 0 0 0 (26,726)
-------- --------- --------- ---------
Balance, Dec., 31, 1999 $ 247,000 $ 247 $ 25,603 $ (1,276)
========= ======== ========= =========
</TABLE>
The accompanying notes are an intregal part of
these financial statements
<PAGE> 4
CLEMMY TECHNOLOGIES CORP.
(A DEVELOPMENT STAGE COMPANY)
STATEMENTS OF CASH FLOWS
(With Cumulative Figures From Inception)
<TABLE>
<CAPTION>
From Inception,
Jan. 1, 1999, to Dec. 31, 1998, to Dec. 31, 1998, to
Dec. 31, 1999 Dec. 31, 1998 Dec. 31, 1999
-----------------------------------------------------
</CAPTION>
<S> <C> <C> <C>
CASH FLOWS PROVIDED BY
OPERATING ACTIVITIES
Net Loss $ (26,726) $ (400) $ (27,126)
Non-cash items included
in net loss 0 0 0
Adjustments to reconcile
net loss to cash used
by operating activity
Accounts payable 1,000 400 1,400
-------- ---------- -----------
NET CASH PROVIDED BY
OPERATING ACTIVITIES (25,726) 0 (25,726)
CASH FLOWS USED BY
INVESTING ACTIVITIES 0 0 0
-------- ---------- -----------
NET CASH USED BY
INVESTING ACTIVITIES 0 0 0
CASH FLOWS FROM FINANCING
ACTIVITIES
Sale of common stock 147 100 247
Paid-in capital 33,353 0 33,353
Less offering costs (7,750) 0 (7,750)
-------- ---------- -----------
NET CASH PROVIDED BY
FINANCING ACTIVITIES 25,750 3,750 25,850
-------- ---------- -----------
NET INCREASE IN CASH 24 100 $ 124
===========
CASH AT BEGINNING OF PERIOD 100 0
-------- ----------
CASH AT END OF $ 124 $ 100
======== ==========
</TABLE>
The accompanying notes are an integral part of
these financial statements
<PAGE> 5
CLEMMY TECHNOLOGIES CORP.
(A DEVELOPMENT STAGE COMPANY)
NOTES TO THE FINANCIAL STATEMENTS
DECEMBER 31, 1999, AND DECEMBER 31, 1998
NOTE A SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Company was incorporated on December 31, 1998, under
the laws of the State of Nevada. The business purpose of
the Company is to develop hardware that will revolutionize
the computer software industry.
The Company will adopt accounting policies and procedures
based upon the nature of future transactions.
NOTE B OFFERING COSTS
Offering costs are reported as a reduction in the amount of
paid-in capital received for sale of the shares.
NOTE C EARNINGS (LOSS) PER SHARE
Basic EPS is determined using net income divided by the
weighted average shares outstanding during the period.
Diluted EPS is computed by dividing net income by the
weighted average shares outstanding, assuming all dilutive
potential common shares were issued. Since the Company
has no common shares that are potentially issuable, such as
stock options, convertible securities or warrants, basic and
diluted EPS are the same.
NOTE D STOCK OFFERINGS
In March of 1999, the Company completed the sale of
100,000 shares of its common stock at $.10 per share
for $10,000. The proceeds were to be used for hardware
development and for working capital. In August of 1999, the
Company sold 42,000 shares of its common stock at $.50
per share for a total of $21,000. The proceeds were to be
used for hardware development. In September of 1999, the
Company sold 3,000 shares of its common stock at $.50 per
share for a total of $1,500. The proceeds were to be used
for working capital. In November of 1999, the Company
sold 2,000 shares of its common stock at $.50 per share
for a total of $1,000. The proceeds were to be used for
working capital.
<PAGE> 6
CLEMMY TECHNOLOGIES CORP.
(A DEVELOPMENT STAGE COMPANY)
NOTES TO THE FINANCIAL STATEMENTS
DECEMBER 31, 1999, AND DECEMBER 31, 1998
(Continued)
NOTES TO THE FINANCIAL STATEMENTS
Clemmy Technologies Corp., (the Company) has elected to
omit sustantially all footnotes to the financial statements for
the Number months ended December 31, 1999, since there have been no
material changes (other than indicated in the other footnotes) to
the information previously reported by the Company in the audited
financial statements for the twelve months ended December 31, 1999.
UNAUDITED INFORMATION
The information furnished herein was taken from the books and
records of the Company without audit. However, such information
reflects all adjustments which are, in the opinion of management,
necessary to properly reflect the results of the period presented.
The information presented is not necessarily indicative of the results
from operations expected for the full fiscal year.
<PAGE> 7
