--------------------------------------------------------------------------------
Pete Chandler
PRESIDENT
Snohomish Equity Corporation
219 Broadway, Suite 261, Laguna Beach, CA 92651
(Name and Address of Person Authorized to Receive Notices
and Communications on Behalf of the Person Filing Statement)
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WITH A COPY TO:
KARL E. RODRIGUEZ, ESQ
24843 Del Prado, #318
Dana Point, CA 92629
(949) 248-9561
fax (949) 248-1688
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FORM 10-QSB
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OF THE SECURITIES EXCHANGE ACT OF
1934
For the Quarter ended September 30, 2000
Commission File Number: 000-26249
SNOHOMISH EQUITY CORPORATION
(formerly SNOHOMISH EQUITY GROUP, INC)
Nevada 33-0507843
(Jurisdiction of Incorporation) (I.R.S. Employer Identification No.)
219 Broadway, Suite 261, Laguna Beach CA 92651
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (949) 248-1765
Securities registered pursuant to Section 12(g) of the Act: 8,380,100
Yes[x] No[] (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.)
As of September 30, 2000, the number of shares outstanding of
the Registrant's Common Stock was 8,380,100.
PART I: FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS.
Attached hereto and incorporated herein by this reference are the following
financial statements:
--------------------------------------------------------------------------------
Exhibit FINANCIAL STATEMENTS
--------------------------------------------------------------------------------
00QF-2 Un-Audited Financial Statements for the three months and nine months
ended September 30, 2000
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1
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION.
(A) PLAN OF OPERATION FOR THE NEXT TWELVE MONTHS. We have had no activity in
1999 except for our Registration of our common stock, pursuant to section 12(g)
of the Securities Exchange Act of 1934. We have now begun our search for an
acquisition.
(1) CASH REQUIREMENTS AND OF NEED FOR ADDITIONAL FUNDS, TWELVE MONTHS. We
have no need of additional funds during the next twelve months, from sources
outside of our affiliates, to maintain our corporate franchise in the State of
our incorporation, and to file periodic reports as required of Registrants under
the 1934 Act.
(2) SUMMARY OF PRODUCT RESEARCH AND DEVELOPMENT. None.
(3) EXPECTED PURCHASE OR SALE OF PLANT AND SIGNIFICANT EQUIPMENT. None.
(4) EXPECTED SIGNIFICANT CHANGE IN THE NUMBER OF EMPLOYEES. None.
(B) DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.
We have had no activity in 1999 except for our Registration of our common stock,
pursuant to section 12(g) of the Securities Exchange Act of 1934. We had general
and administrative expenses in 1999 and 2000, which were legal and accounting
costs, in connection with our 1934 Registration.
(C) SELECTED FINANCIAL INFORMATION.
<TABLE>
<CAPTION>
<S> <C> <C>
Balance Sheet. . September 30, 2000 December 31, 1999
---------------------------------------------------------
Cash . . . . . . $ 0 $ 0
Other. . . . . . 0 0
Total Assets . . 0 0
=========================================================
Accounts Payable 16,643 16,681
Other. . . . . . 0 0
=========================================================
Total Liabilities 16,643 16,681
</TABLE>
<TABLE>
<CAPTION>
Inception
<S> <C> <C> <C> <C> <C>
THIRD QUARTER May 19,
1999
to
Operations. July 1 to Sept 30 April 1 to Sept 30 Sept 30
2000 1999 2000 1999 2000
-----------------------------------------------------------------------------------------------
Misc Revenues:. . . . . . 0 0 0 0 0
Total Revenues . . . . . 0 0 0 0 0
General & Administrative. 7,138 2,175 15,467 2,175 41,148
Total Expenses . . . . . 7,138 2,175 15,467 2,175 41,148
Net (Loss). . . . . . . . (7,138) (2,175) (15,467) (2,175) (41,148)
</TABLE>
2
<PAGE>
PART II: OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS. None
ITEM 2. CHANGE IN SECURITIES. None
ITEM 3. DEFAULTS UPON SENIOR SECURITIES. None
ITEM 4. SUBMISSION OF MATTERS TO VOTE OF SECURITY HOLDERS. None
ITEM 5. OTHER INFORMATION. None
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K. None
EXHIBIT INDEX
--------------------------------------------------------------------------------
Exhibit FINANCIAL STATEMENTS
--------------------------------------------------------------------------------
00QF-2 Un-Audited Financial Statements for the three months and nine months
ended September 30, 2000
--------------------------------------------------------------------------------
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, this
Form 10-Q Report for the Quarter ended September 30, 2000, has been signed below
by the following person on behalf of the Registrant and in the capacity and on
the date indicated.
Dated: September 30, 2000
SNOHOMISH EQUITY CORPORATION
(formerly SNOHOMISH EQUITY GROUP, INC)
/S/Pete Chandler /S/Susan Sanchez
Pete Chandler Susan Sanchez
President/Director Secretary-Treasurer/Director
3
<PAGE>
--------------------------------------------------------------------------------
EXHIBIT EXHIBIT 00QF-3
UN-AUDITED FINANCIAL STATEMENTS
FOR THE THREE MONTHS
AND NINE MONTHS ENDED
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
4
<PAGE>
SNOHOMISH EQUITY CORPORATION
BALANCE SHEETS
For the fiscal years ended December 31, 1999
And for the period ended September 30, 2000
<TABLE>
<CAPTION>
<S> <C> <C>
September 30, December 31,
2000 1999
(Unaudited)
--------------------------------------------------------------------------------------
ASSETS
CURRENT ASSETS
Total Current Assets. . . . . . . . . . . . . . . . . $ 17,494 $ 0
-------------- --------------
TOTAL CURRENT ASSETS. . . . . . . . . . . . . . . . . 17,494 0
============== ==============
TOTAL ASSETS. . . . . . . . . . . . . . . . . . . . . $ 17,494 $ 0
LIABILITIES & STOCKHOLDERS' EQUITY
LIABILITIES
Account payable . . . . . . . . . . . . . . . . . . . 16,643 16,681
-------------- --------------
TOTAL LIABILITIES . . . . . . . . . . . . . . . . . . 16,643 16,681
STOCKHOLDERS' EQUITY
Common Stock, $.001 par value; authorized 50,000,000
shares; issued and outstanding, 2,010,000 shares
and 8,380,100 shares . . . . . . . . . . . . . . . 8,380 2,010
Additional Paid In Capital. . . . . . . . . . . . . . 33,619 6,990
Accumulated Surplus (Deficit) . . . . . . . . . . . . (41,148) (25,681)
-------------- --------------
Total Stockholders' Equity. . . . . . . . . . . . . . 851 (16,681)
-------------- --------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY. . . . . . $ 17,494 $ 0
============== ==============
</TABLE>
The accompanying notes are an integral part of these financial statements.
5
<PAGE>
SNOHOMISH EQUITY CORPORATION
STATEMENTS OF OPERATIONS (UNAUDITED)
September 30, 1999 and 2000
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
From
Inception on
From July From July From January From January April 8,
1, 2000 to. 1, 1999 to 1, 2000 to 1, 1999 to 1992 through
September 30, September 30, September 30, September 30, September 30,
2000 1999 2000 1999 2000
----------------------------------------------------------------------------------------------------------
Revenues. . . . . . . . . $ 0 $ 0 $ 0 $ 0 $ 0
-------------- -------------- -------------- -------------- -----------
Net Loss from Operations. 7,138 2,175 15,467 2,175 41,148
Net Income (Loss) . . . . ($7,138) ($2,175) ($15,467) ($2,175) ($41,148)
============== =============== =============== =============== ===========
Loss per Share. . . . . . $ (0.00120) $ (0.00108) $ (0.00464) $ (0.00108) $ (0.02054)
============== =============== =============== =============== ===========
Weighted Average
Shares Outstanding. . 5,970,300 2,010,000 3,330,100 2,010,000 2,003,500
============== =============== =============== =============== ===========
</TABLE>
The accompanying notes are an integral part of these financial statements.
6
<PAGE>
SNOHOMISH EQUITY CORPORATION
STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT)(UNAUDITED)
For the period from inception of the Development Stage on April 8, 1992 through
December 31, 1992,
For the fiscal year ended December 31, 1993 through 1999
And for the period ended September 30, 2000
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
Additional Accumulated Total Stock-
Common Par Paid-In Equity holders' Equity
Stock Value Capital (Deficit) (Deficit)
----------------------------------------------------------------------------------------------------------
Balance on April 8, 1992. . . . . . 2,000,000 $ 2,000 $ 6,000 $ 0 $ 8,000
Net Loss during the period. . . . . 0 0 0 (1,170) 0
Balance at December 31, 1992. . . . 2,000,000 2,000 6,000 (1,170) 6,830
---------- ------------ ------------- ---------- ----------------
Net Loss during the period. . . . . 0 0 0 (1,600) 0
Balance at December 31, 1993. . . . 2,000,000 2,000 6,000 (2,770) 5,230
---------- ------------ ------------- ---------- ----------------
Net Loss during the period. . . . . 0 0 0 (1,600) 0
Balance at December 31, 1994. . . . 2,000,000 2,000 6,000 (4,370) 3,630
---------- ------------ ------------- ---------- ----------------
Net Loss during the period. . . . . 0 0 0 (1,600) 0
Balance at December 31, 1995. . . . 2,000,000 2,000 6,000 (5,970) 2,030
---------- ------------ ------------- ---------- ----------------
Net Loss during the period. . . . . 0 0 0 (1,600) 0
Balance at December 31, 1996. . . . 2,000,000 2,000 6,000 (7,570) 430
---------- ------------ ------------- ---------- ----------------
Net Loss during the period. . . . . 0 0 0 (430) 0
Balance at December 31, 1997. . . . 2,000,000 2,000 6,000 (8,000) 0
---------- ------------ ------------- ---------- ----------------
Shares issued for services rendered 10,000 10 990 0 0
Net Loss during the period. . . . . 0 0 0 (1,000) 0
Balance at December 31, 1998. . . . 2,010,000 2,010 6,990 (9,000) 0
---------- ------------ ------------- ---------- ----------------
Net Loss during the period. . . . . 0 0 0 (16,681) 0
Balance at December 31, 1999. . . . 2,010,000 2,010 6,990 (25,681) (16,681)
---------- ------------ ------------- ---------- ----------------
Shares issued for services rendered 1,550,500 1,551 13,954 0 0
Shares issued in acquisition of
wholly owned subsidiary. . . . 4,819,600 4,820 12,675 0 0
Net Loss during the period. . . . . 0 0 0 (15,467) 0
Balance at September 30, 2000 . . . 8,380,100 8,380 33,619 (41,148) 851
---------- ------------ ------------- ---------- ----------------
</TABLE>
The accompanying notes are an integral part of these financial statements.
7
<PAGE>
SNOHOMISH EQUITY CORPORATION
STATEMENTS OF CASH FLOW (UNAUDITED)
For the periods ended September 30, 1999 and 2000
<TABLE>
<CAPTION>
<S> <C> <C> <C>
From
Inception on
April 8,
1992 through
September 30, September 30,
2000 1999 2000
----------------------------------------------------------------------------------
Operating Activities
Net Income (Loss) . . . . . . . . . . . . . ($15,467) ($2,175) ($41,148)
Increase (decrease) in accounts payable . . (38) 0 16,643
Shares issued for services. . . . . . . . . 0 0 1,000
------------- -------- ----------
Cash (used) in operations . . . . . . . . . (15,505) (2,175) (23,505)
------------- -------- ----------
Net Cash from Operations. . . . . . . . . . (15,505) 0 (23,505)
Financing activities:
Stock issued for cash . . . . . . . . . . . 15,505 2,175 23,505
Cash acquired in acquisition of subsidiary. 17,494 0 17,494
Cash at beginning of Period . . . . . . . . -0- 0 0
Increase (Decrease) in Cash . . . . . . . . 17,494 0 17,494
Cash at End of Period . . . . . . . . . . . $ 17,494 $ 0 $ 17,494
============= ======== ==========
</TABLE>
The accompanying notes are an integral part of these financial statements.
8
<PAGE>
SNOHOMISH EQUITY CORPORATION
NOTES TO FINANCIAL STATEMENTS
for the fiscal year ended December 31 1999
and the periods ended September 30, 1999 and 2000
NOTES TO FINANCIAL STATEMENTS
Snohomish Equity Group, Inc. ("the Company") has elected to omit substantially
all footnotes to the financial statements for the nine months ended September
30, 2000, since there have been no material changes (other than indicated in
other footnotes) to the information previously reported by the Company in their
Annual Report filed on Form 10-KSB for the Fiscal year ended December 31, 1999.
ACQUISITION OF SUBSIDIARY
During August, 2000 the Board of Directors approved the acquisition of
2Kclubs.com a Nevada Corporation engaged in the manufacture of golf clubs. The
Company acquired 100% of the issued and outstanding shares of 2Kclubs.com in
exchange for 4,819,600 common shares of the Company which were valued by
management at $17,494.
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.
9
<PAGE>
