SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10QSB/A
Quarterly Report under Section 13 or 15(d) of
the Securities Exchange Act of 1934
For Quarter Ended June 30, 1999
Commission File Number: 0-26235
WORLD WIDE VIDEO, INC.
(Exact name of registrant as specified in its charter)
Colorado 54-1921580
(State of incorporation) (I.R.S. Employer Identification No.)
102A North Main Street, Culpeper, Virginia 22701
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code:(540) 727-7551
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 the filing
requirements for at least the past 90 days.
YES ___ NO X
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date.
10,911,368 Common Shares Issued as of as of June 30, 1999. 70,274 Warrants @
$2.75, expiration date of April 5, 2001.
<PAGE>
PART 1. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
BALANCE SHEETS
June 30, 1999 and September 30, 1998
(Stated in US Dollars)
June 30, September 30,
1999 1998
-------------------------
ASSETS
CURRENT ASSETS
Cash $ 2,895 $ 28,324
Accounts receivable 8,036 2,434
Inventory 144,510 122,448
Prepaid expenses 52,800 66,700
Deferred offering costs 5,000 15,850
--------- ---------
Total current assets $ 213,241 $ 235,756
--------- ---------
PROPERTY AND EQUIPMENT
Computer equipment $ 10,982 $ 7,746
Software 13,668 13,668
--------- ---------
$ 24,650 $ 21,414
Less accumulated depreciation 5,937 2,364
--------- ---------
$ 18,713 $ 19,050
--------- ---------
OTHER ASSETS
Technology license, net of accumulated
amortization of $13,750 $ 36,250 $ 43,750
Deposits 650 650
Prepaid marketing fees 18,000 18,000
Prepaid rent, non-current portion - 5,850
Nonrecurring engineering fee, non-current portion 20,000 20,000
--------- ---------
$ 74,900 $ 88,250
--------- ---------
$ 306,854 $ 343,056
========= =========
See Notes to Financial Statements
<PAGE>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
BALANCE SHEETS
June 30, 1999 and September 30, 1998
(Stated in US Dollars)
June 30, September 30,
1999 1998
-------------------------
LIABILITIES
CURRENT LIABILITIES
Accounts payable $ 60,000 $ 10,780
Due to officers and employees 120,000 65,000
Deferred revenue 60,000 50,000
Convertible loan -- 50,000
--------- ---------
$ 240,000 $ 175,780
--------- ---------
STOCKHOLDERS' EQUITY
Preferred stock, $.01 par value, 10,000,000
shares authorized, none issued $ -- $ --
Common stock, $.0001 par value, 100,000 shares
authorized; 10,911,368 issued and outstanding 1,094 1,044
Additional paid in capital 863,937 634,558
Deficit accumulated during the development stage (798,177) (468,326)
--------- ---------
$ 66,854 $ 167,276
--------- ---------
$ 306,854 $ 343,056
========= =========
See Notes to Financial Statements
<PAGE>
<TABLE>
<CAPTION>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
STATEMENTS OF OPERATIONS
For the Three Months and Nine Months Ended June 30, 1999
and 1998 and from July 16, 1997
(Date of Inception) to June 30, 1999
(Stated in US Dollars)
(Unaudited)
<S> <C> <C> <C> <C> <C>
Cumulative from
Three months Nine months July 16, 1997
ending ending (Date of Inception)
June 30, June 30, to June 30,
1999 1998 1999 1998 1999
---- ---- ---- ---- ----
SALES $ -- $ -- $ -- $ -- $ --
--------- -------- -------- -------- --------
PRODUCT DEVELOPMENT COSTS
Salaries $ 60,000 $ -- $120,000 $ -- $ 120,000
Subcontractors 1,061 65,000 62,660 85,000 259,527
Other development costs 11,398 9,811 29,726 9,811 206,787
--------- --------- --------- --------- ---------
$ 72,459 $ 74,811 $212,386 $94,811 $ 586,314
--------- --------- --------- --------- ---------
OPERATING EXPENSES
Office $ 30,239 $ 3,173 $ 44,900 $ 3,173 $ 57,289
Marketing and sales 1,798 37,116 22,274 41,116 81,255
Legal and
professional 665 1,910 17,200 1,910 19,900
Occupancy 3,147 887 11,242 887 17,146
Utilities and
telephone 2,489 481 8,489 481 11,481
Depreciation 3,691 -- 11,074 -- 19,687
Other 2,851 459 7,410 479 12,979
--------- --------- --------- -------- ---------
$ 44,880 $ 44,026 $ 122,589 $ 48,046 $ 219,737
--------- --------- --------- -------- ---------
Net operating loss $(117,339) $(118,837) $(334,975) $(142,857) $ (806,051)
OTHER INCOME -- 5,114 569 7,864
FINANCIAL INCOME
Interest income 10 -- 10 -- 10
--------- --------- --------- --------- ---------
Net loss $(117,329) $(118,837) $(329,851) $(142,288) $ (798,177)
========= ========= ========= ========= =========
Net loss per share $ (.02) $ (.02) $ (.06) $ (.03) $ (.15)
========== ========== ========== ========== ===========
Weighted average number
of common shares
outstanding 5,620,099 5,179,726 5,620,099 5,179,726 5,179,726
========== ========== ========== ========= ==========
</TABLE>
See Notes to Financial Statements
<PAGE>
<TABLE>
<CAPTION>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT)
For the Period July 16, 1997, Inception, to June 30, 1999
(Stated in US Dollars)
(Unaudited)
<S> <C> <C> <C> <C> <C>
Accumulated
Additional Deficit During
Common Stock Paid In Development
Shares Amount Capital Stage Total
------ ------ ------- ----- -----
Issuance of share capital
to Founders, July 16, 1997 200 $ -- $ 200 $ -- $ 200
Net loss, period ended
September 30, 1997 -- -- -- -- --
------- ------- ------- ------- -------
Balance, September 30, 1997 200 -- $ 200 -- $ 200
Exchange of shares, issuance
of new shares, May 12, 1998 9,999,800 1,000 (200) -- 800
Sale of common stock, April 3,
through September 8, 1998 443,737 44 634,558 -- 634,602
Net loss, year ended September 30,
1998 -- -- -- (468,326) (468,326)
---------- ------- -------- --------- --------
Balance, September 30, 1998 10,443,737 1,044 634,558 (468,326) 167,276
Sale of common stock October 1,
1998 through June 30, 1999 497,625 50 229,379 -- 229,431
Net loss, October 1, 1998
through June 30, 1999 -- -- -- (329,851) (329,851)
---------- ------- -------- --------- ---------
Balance, June 30, 1999 10,941,362 1,094 863,937 (798,177) 66,856
========== ======= ======== ========= =========
See Notes to Financial Statements
</TABLE>
<PAGE>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
STATEMENTS OF CASH FLOWS
For the Nine Months Ended June 30, 1999 and 1998 and
July 16, 1997 (Date of Inception) to June 30, 1999
(Stated in US Dollars)
(Unaudited)
Cumulative for
July 16, 1997
(Date of
Nine months ended Inception)
June 30, June 30, to June 30,
1999 1998 1999
---- ---- -----------
CASH FLOWS FROM OPERATING ACTIVITIES
RECONCILIATION OF NET LOSS TO NET
CASH USED IN OPERATING ACTIVITIES
Net loss $(329,851) $(142,288) $(798,177)
Adjustments to reconcile net
loss to net cash used in operating
activities:
Depreciation and amortization 11,074 -- 19,687
Change in assets and liabilities:
Accounts receivable ( 5,602) (500) (8,036)
Inventory (22,062) (3,931) (144,510)
Prepaid expenses 19,750 (59,950) (90,800)
Deposits -- (650) (650)
Deferred charges 10,850 (10,850) (5,000)
Accounts payable (15,780) -- 10,000
Salaries payable 120,000 -- 120,000
Deferred revenue 10,000 50,000 60,000
Convertible loan (50,000) -- 50,000
--------- --------- ---------
Net cash used in operating
activities $(251,621) $(168,169) $(787,486)
--------- --------- ---------
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of equipment and software $ (3,237) $ (19,556) $ (24,651)
Purchase of technology license -- (50,000) (50,000)
--------- --------- --------
Net cash used in investing
activities $ (3,237) $ (69,556) $ (74,651)
--------- -------- ---------
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of
common stock $ 229,429 $ 250,000 $ 865,032
Proceeds from note payable -- 48,576 --
--------- --------- ---------
Net cash provided by
activities $ 229,429 $ 298,576 $ 865,032
--------- -------- ----------
Net increase (decrease) in cash $ (25,429) $ 60,851 $ 2,895
CASH
Beginning 28,324 -- --
--------- --------- ---------
Ending $ 2,895 $ 60,851 $ 2,895
========= ======== ==========
See Notes to Financial Statements
<PAGE>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
NOTES TO FINANCIAL STATEMENTS
June 30, 1999
(Stated in US Dollars)
(Unaudited)
NOTE 1. INTERIM REPORTING
These financial statements have not been audited or reviewed and have been
prepared on a compilation basis only. The statements have been prepared in
accordance with generally accepted accounting principles for interim
reporting and with the instructions to Form 10-QSB of Regulation S-X.
Accordingly, these financial statements do not include all of the
information and footnotes required by generally accepted accounting
principles for complete financial statements. In management's opinion,
these financial statements include all adjustments necessary to present
fairly the financial position, result of operations and changes in cash
flows for the interim period presented. It is suggested that these
financial statements be read in conjunction with the September 30, 1998
audited financial statements and notes thereto.
NOTE 2. NATURE AND CONTINUANCE OF OPERATIONS
World Wide Video, Inc., which was organized under the laws of the
Commonwealth of Virginia on July 16, 1997. On April 9, 1998, the Company
was reincorporated in the State of Colorado. The Company intends to design
and manufacture technology and products for the video telephony market.
These financial statements have been prepared on a going concern basis. The
company has accumulated a deficit of $798,177 since inception. Its ability
to continue as a going concern is dependent upon the ability of the company
to generate profitable operations in the future and/or to obtain the
necessary financing to meet its obligations and repay its liabilities
arising from normal business operations when they come due.
The Company's continued existence is dependent upon its ability to raise
additional funds to complete products in development. The Company conducted
a private securities offering which closed April 6, 1999. At June 30, 1999,
the Company had sold 10,911,368 shares of common stock at prices ranging
from $.50 to $2.75 per common share.
After the completion of the above private securities offering, the Company
began pursuing private placements from other sources. Based on the analysis
of funds available and funds required to complete the initial production of
product and associated productions cost, research and development, the
Company has decided to raise additional required working capital by a
Regulation D Rule 506 offering of preferred stock. In addition, the Company
will issue stock to certain key individuals for services rendered in lieu
of cash payments. In management's opinion, such efforts should provide
sufficient funds to continue operations for the next year.
<PAGE>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
NOTES TO FINANCIAL STATEMENTS
June 30, 1999
(Stated in US Dollars)
(Unaudited)
NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A summary of significant accounting policies follows:
Development Stage Company
The company is a development stage company as defined in
Statement of Financial Accounting Standards No. 7. The Company
has elected early adoption of Statement of Position 98-5, which
requires expensing of costs of start-up activities, including
organization costs, as incurred. All losses accumulated since
inception have been considered as part of the company's
development stage activities.
Method of Accounting
The financial statements are presented on the accrual basis of
accounting. Under this method of accounting, revenues are
recognized when they are earned as opposed to when cash is
actually received. Likewise, expenses are recognized when they
are incurred as opposed to when they are actually paid.
Use of 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 as of the date of the financial statements and the
reported amounts of revenues and expenses during the reporting
period. Actual results could differ from those estimates.
Cash and Cash Equivalents
The statements of cash flows classify changes in cash or cash
equivalents (short-term, highly liquid investments readily
convertible into cash with a maturity of three months or less)
according to operating, investing, or financing activities.
Property and Equipment
Property and equipment are recorded at cost and depreciated over
their estimated useful lives.
Leases which meet certain specified criteria are accounted for as
capital assets and liabilities, and those not meeting the
criteria are accounted for as operating leases.
<PAGE>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
NOTES TO FINANCIAL STATEMENTS
June 30, 1999
(Stated in US Dollars)
(Unaudited)
NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Expenditures for maintenance, repairs, and improvements which do
not materially extend the useful lives of property and equipment
are charged to earnings. When property or equipment is sold or
otherwise disposed of, the cost and related accumulated
depreciation or amortization is removed from the accounts, and
the resulting gain or loss is reflected in earnings.
Income Taxes
The Company uses the liability method of accounting for income
taxes. The liability method accounts for deferred income taxes by
applying enacted statutory rates in effect at the balance sheet
date to differences between financial statement amounts and tax
bases of assets and liabilities. The resulting deferred income
tax liabilities are adjusted to reflect changes in tax laws and
rates.
Temporary differences consist of the difference in financial and
income tax bases for accounting for start up and organizational
costs. Deferred income taxes related to an asset or liability are
classified as current or non-current based on the classification
of the related asset or liability.
Loss Per Share
The Company has adopted Statement of Financial Accounting
Standards (SFAS) No. 128, which established standards for
computing and presenting earnings per share (EPS) for entities
with publicly held common stock. The standard requires
presentation of two categories of earnings per share, basis EPS
and diluted EPS. Basic EPS excludes dilution and is computed by
dividing income (loss) available to common shareholders by the
weighted average number of common shares outstanding for the
year. Diluted EPS reflects the potential dilutions that could
occur of securities or other contracts to issue common stock were
exercised or converted into common stock or resulted in the
issuance of common stock that then shared in the earnings of the
Company. This computation excludes securities which are
antidilutive.
The following table sets forth the computation of basic and
diluted loss per share:
Three Months Nine Months
Ended Ended
JUNE 30, 1999 JUNE 30, 1999
------------- -------------
Numerator:
Net loss $(117,329) $(329,851)
Denominator
Weighted average shares
outstanding 5,620,099 5,620,099
Basic and diluted EPS $ (.02) $ (.06)
<PAGE>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
NOTES TO FINANCIAL STATEMENTS
June 30, 1999
(Stated in US Dollars)
(Unaudited)
NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Fair Value of Financial Instruments
The carrying value of cash, accounts receivable and accounts
payable approximates current fair value for the period ended June
30, 1999.
Technology License
The Company capitalizes technology licenses when purchased.
Technology licenses are carried at cost less accumulated
amortization. The Company has purchased one technology license
which permits it unlimited access for an unlimited period of
time. Amortization is taken on the straight line basis over five
years, the estimated useful life of the license. The Company
evaluates recoverability of its intangible assets as current
events or circumstances warrant to determine whether adjustments
are needed to carrying values. There have been not material
adjustments to the carrying values of intangible assets resulting
from these evaluations.
Deferred Offering Costs
Deferred offering costs represent costs incurred in connection
with raising capital. Upon completion of an offering, the amount
of the proceeds credited to additional paid in capital is reduced
by the deferred offering costs. Should an offering be
unsuccessful, these costs are charged to expense. In connection
with a private securities offering (Rule 504), the Company has
deferred costs of $5,000 associated with certain filing
requirements that are expected to be completed in the near
future. These charges will be netted against the proceeds of the
offering when filings are completed.
Deferred Revenue
License revenues are generally recognized upon delivery of the
licensed technology to the customer, provided no significant
future obligations exist and collection is probable. Payments for
nonrecurring engineering costs are recognized upon acceptance of
prototypes by the customer, provided no significant future
obligations exist and collections is probable.
NOTE 4. PREPAID EXPENSES
Prepaid expenses as of June 30, 1999 consist of the following:
Nonrecurring engineering fee, current portion $30,000
Prepaid rent 7,800
Deposits on equipment 15,000
-------
$70,800
The nonrecurring engineering fee is part of a $50,000 deposit with Analog
Devices, Inc., the Company's major supplier. The remainder is included in
other assets.
<PAGE>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
NOTES TO FINANCIAL STATEMENTS
June 30, 1999
(Stated in US Dollars)
(Unaudited)
NOTE 5. OTHER ASSETS
The Company has acquired a technology license at a cost of $50,000, from
Analog Devices, Inc., that is being amortized over a period of five years.
The license agreement permits the Company to use certain proprietary
reference designs and software in the development of video telephony
products. The net carrying value of the license at June 30, 1999 was
$36,250.
In connection with a private securities offering, the Company has deferred
costs of $5,000 associated with certain filing requirements that are
expected to be completed in the near future. These charges will be netted
against proceeds of the offering when filings are completed.
NOTE 6. CONTRIBUTED CAPITAL
In connection with the re-incorporation of the Company, the original
stockholders received 10,000,000 shares of common stock in exchange for
their share of a predecessor corporation. The Company sold 200,000 shares
of common stock at $.50 per share, 75,000 shares at $2.00 per share and
636,362 shares at $2.75 per share, in a private offering of securities. As
of June 30, 1999, after deducting costs of $78,624, the Company has
realized proceeds of $865,031. Additional costs of $5,000 have been
deferred until completion of certain filings and the close of the offering
on April 6, 1999.
NOTE 7. CONVERTIBLE DEBT
On March 14, 1998, the Company entered into an agreement with a Canadian
company to receive a $50,000 (non-interest bearing) loan. The Canadian
company agreed to accept 250,000 shares of common stock of the Company in
payment of the debt, provided the Company could deliver two acceptable
prototype products within three months of the signing of the agreement.
Several extensions of the delivery requirement were obtained. The
prototypes were delivered and accepted in November 1998. The Company issued
250,000 shares of common stock in satisfaction of the debt. The agreements
also granted the Canadian company an exclusive option to market and
manufacture these products until March 15, 2008.
NOTE 8. OPERATING LEASE
The Company leases office space in Culpeper, Virginia, under a two year
lease agreement commencing July 7, 1998 and expiring July 6, 2000. Monthly
rent is $650. The rent for the leased premises is $15,600 for the term of
the lease, which the Company prepaid. The Company has made a security
deposit of $650. Rent expense was $1,950 for the quarter ended June 30,
1999.
<PAGE>
WORLD WIDE VIDEO, INC.
(A Development Stage Company)
NOTES TO FINANCIAL STATEMENTS
June 30, 1999
(Stated in US Dollars)
(Unaudited)
NOTE 9. RELATED PARTIES
A majority stockholder is a member of the Board of Directors of DataPower,
Inc. (Note 6) In addition, a Director of the Company has been engaged to
assist in the raising of capital. He is compensated on the basis of a
percentage (from 2 to 5 percent) of the completed transaction. The same
Director has also been prepaid $18,000 under a product marketing agreement.
The two majority stockholders have employment agreements which commenced
January 1, 1999 and continue until December 20, 2004. The agreements
provide for annual salaries of $120,000. During the nine months ended June
30, 1999, the President and Vice-President of Engineering earned $60,000
each under these agreements, for a total of $120,000. Of this amount,
$120,000 remains unpaid at June 30, 1999.
During the year ended September 30, 1998, they earned $180,000 under
earlier agreements, of which $60,000 remains unpaid at June 30, 1999 and
$65,000 remained unpaid at September 30, 1998.
NOTE 10. COMMITMENTS AND CONTINGENCIES
The Company has entered into several agreements and contracts in connection
with the raising of capital and product development.
Raising Capital:
The Company has engaged several consultants to assist in the effort to
raise additional capital. Certain of these contracts require payment of
fees calculated as a percentage of completed transactions (see Notes 6 and
9). Other contracts require compensation in the form of stock. No stock
compensation has been earned as of June 30, 1999 and September 30, 1998.
Product Development:
Under an agreement to develop certain products, the Company has deferred
revenue of $60,000 pending achievement of contract milestones. Successful
completion of contract milestones will result in additional payments of up
to $50,000. The Company has experienced delays in completing contract
requirements. The contract is in default.
The Company has deferred $25,000 in nonrecurring engineering payments
received in connection with product development contracts.
Marketing and Technology Licenses:
In March 1998, the Company entered into an exclusive manufacturing and
marketing license agreement with National Executive Trade, Inc.
Consideration for the licenses was a loan of $50,000 which could be repaid
with the Company's common stock if the Company could provide acceptable
prototypes. In November, 1998, after several delays, the Company was able
to provide acceptable prototypes and agreed to issue 250,000 shares of
common stock in satisfaction of the debt.
The agreement was assigned to DataPower, Inc. and amended on August 31,
1998 to include an additional marketing license in exchange for 250,000
common shares of DataPower, Inc. At June 30, 1999, and September 30, 1998,
the Company had determined that collection of the consideration was not
likely because of continued delays in meeting the specifications of the
contract with DataPower, Inc.
<PAGE>
ITEM 2.
MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
RESULTS OF OPERATIONS FOR THE NINE MONTH PERIOD ENDED JUNE 30, 1999
The Company earned no revenues for the period in 1999 or 1998, due to
products still being in the development stage. The Company has incurred
expenses of $334,975 and $142,857 for the nine month periods ended June 30,
1999 and 1998, respectively. The increase in expenses for the year ended
June 30, 1999 is due in part to increased expenses and in part to 1998
being a short year. During the period ended June 30, 1999, the Company
expanded its facilities, resulting in increased occupancy expenses and
utilities. For the nine month period ended June 30, 1999, occupancy and
utilities were approximately $19,000 as compared to $1,300. During the
period ended June 30, 1999, the company hired several employees, resulting
in salaries of $120,000 as compared to $0 the year before. In contrast,
marketing expenses decreased from $41,000 in 1998 to $22,000 in 1999 due to
less emphasis on marketing and greater emphasis on product development. The
Company also recognized depreciation and amortization in the amount of
$11,000 for the nine months ended June 30, 1999 due to purchases of
property and equipment. There was no depreciation for the nine months ended
June 30, 1998. Although the Company generated no revenues from product
sales, it did have other income from the sale of peripheral items. The net
amounts of these sales were $5,114 and $569 for the periods ended June 30,
1999 and 1998, respectively. The Company generated net losses of ($329,851)
and ($142,288) for the periods ended June 30, 1999 and 1998, respectively.
The losses are expected to continue until adequate business income from
product sales can be achieved. While the Company is seeking capital
sources, there is no assurance that such sources can be found.
RESULTS OF OPERATIONS FOR THE QUARTER ENDED JUNE 30, 1999
The Company earned no revenues for the third quarters of fiscal years 1999
and 1998. The Company incurred expenses of $117,339 and $118,837 and net
losses of ($117,329) and ($118,837) for the quarters ended June 30, 1999
and 1998, respectively. Total product development and operating expenses
remained constant for the quarters ended June 30, 1999 and 1998. Salaries
increased to $60,000 from $0 for the same quarter in the prior year, while
marketing decreased to $1,800 from $37,000 in the prior year. Office
expenses increased nearly $27,000 due to increased operations and expanded
facilities. As products near completion, the amount of money expended for
product development has decreased since the project is now primarily labor
intensive. The Company anticipates that the losses will continue for the
foreseeable future until the Company is able to achieve product sales which
generates sufficient revenues to at least cover expenses. Of course, there
is no assurance that such an event will occur.
LIQUIDITY AND CAPITAL RESOURCES
Working capital as of June 30, 1999 was cash in the amount of $2,895. The
Company will be required to borrow funds or make private placements of
stock in order to fund future operations. No assurance exists as to the
ability to acquire loans or make private placements of stock. Beginning in
July 1999, the Company began a private placement of preferred stock. As of
September 30, 1999, the private placement had generated $140,000 in working
capital funds.
<PAGE>
PART II - OTHER INFORMATION
Item 1. Litigation - None
Item 2. Change in Securities - None
Item 3. Defaults 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 - No reports were made on Form 8-K
for the period for which this report is filed.
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 this 21st day of July, 2000.
World Wide Video, Inc.
--------------------------------
John G. Perry, President
