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 March 31, 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(b) of the Act: None
Securities registered pursuant to Section 12(g) of the Act: 2,010,000
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 March 31, 2000, the number of shares outstanding of
the Registrant's Common Stock was 2,010,000.
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PART I: FINANCIAL INFORMATION
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ITEM 1. FINANCIAL STATEMENTS.
Attached hereto and incorporated herein by this reference are consolidated
unaudited financial statements under cover of Exhibit 00QF-1 for the three
months ended March 31, 2000.
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.
(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, which were legal and accounting costs, in
connection with our 1934 Registration.
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PART II: OTHER INFORMATION
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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.
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ITEM 6. REPORTS ON FORM 8-K
None
EXHIBITS
Attached hereto and incorporated herein by this reference are consolidated
unaudited financial statements under cover of Exhibit 00QF-1 for the three
months ended March 31, 2000.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, this
Form 10-Q Report for the Quarter ended March 31, 2000, has been signed below by
the following person on behalf of the Registrant and in the capacity and on the
date indicated.
Dated: March 31, 2000
SNOHOMISH EQUITY CORPORATION
(formerly SNOHOMISH EQUITY GROUP, INC)
/S/ /S/
Pete Chandler Susan Sanchez
President/Director Secretary-Treasurer/Director
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EXHIBIT EXHIBIT 00QF-1
UN-AUDITED FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED MARCH 31, 2000
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SNOHOMISH EQUITY CORPORATION
BALANCE SHEETS (UNAUDITED)
For the fiscal year ended December 31, 1999
And for the periods ended March 31, 1999 and 2000
<TABLE>
<CAPTION>
<S> <C> <C>
March 31, December 31,
----------- --------------
1998 1997
----------- --------------
CURRENT ASSETS
Total Current Assets $ 0 $ 0
TOTAL CURRENT ASSETS -0- -0-
----------- --------------
TOTAL ASSETS $ 0 $ 0
=========== ==============
LIABILITIES
Account payable 21,026 16,681
----------- --------------
TOTAL LIABILITIES 21,026 16,681
STOCKHOLDERS' EQUITY
Common Stock, $.001 par value; authorized 50,000,000
shares; issued and outstanding, 2,000,000 shares
and 2,010,000 shares 2,010 2,010
Additional Paid In Capital 6,990 6,990
Accumulated Surplus (Deficit) (30,026) (25,681)
----------- --------------
Total Stockholders' Equity (21,026) (16,681)
----------- --------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 0 $ 0
=========== ==============
</TABLE>
The accompanying notes are an integral part of these financial statements.
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SNOHOMISH EQUITY CORPORATION
STATEMENTS OF OPERATIONS
For the fiscal year ended December 31, 1999
And for the periods ended March 31, 1999 and 2000
<TABLE>
<CAPTION>
<S> <C> <C> <C>
March 31, December 31,
----------
Revenues 2000 1999 1999
---------- ---------- ------------
Expenses; General & Administrative -0- -0- -0-
---------- ---------- ------------
Net Loss from Operations (4,345) (2,175) -0-
---------- ---------- ------------
Net Income (Loss) (4,345) (2,175) 16,681
Gain (Loss) per Share (4,345) (2,175) 16,681
========== ========== ============
Weighted Average (.00216) (.00108) .00830
========== ========== ============
Shares Outstanding
2,010,000 2,010,000 2,010,000
========== ========== ============
</TABLE>
The accompanying notes are an integral part of these financial statements.
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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, 1999
And for the periods ended March 31, 1999 and 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 fiscal year
ended December 31, 1992 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 fiscal year
ended December 31, 1993 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 fiscal year
ended December 31, 1994 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 fiscal year
ended December 31, 1995 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 fiscal year
ended December 31, 1996 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 fiscal year
ended December 31, 1997 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 fiscal year
ended December 31, 1998 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 fiscal year
ended December 31, 1999 0 0 0 (16,681) 0
Balance at December 31, 1999 2,010,000 2,010 6,990 (25,681) 16,681
Net Loss during the period
ended March 31, 2000 0 0 0 (4,345) 0
Balance at March 31, 2000 2,010,000 2,010 6,990 (30,026) 21,026
</TABLE>
The accompanying notes are an integral part of these financial statements.
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SNOHOMISH EQUITY CORPORATION
STATEMENTS OF CASH FLOW (UNAUDITED)
For the fiscal year ended December 31, 1999
And for the periods ended March 31, 1999 and 2000
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
March 31, December 31,
-----------
2000 1999 1999
----------- --------- --------------
Operating Activities
Net Income (Loss) Net Income (Loss)
($4,345) ($2,175) ($16,681)
Cash (used) in operations Cash (used) in operations
(4,345) -0- (16,681)
----------- --------- --------------
Net Cash from Operations
(4,345) -0- (16,681)
Financing activities:
Increase in accounts payable
4,345 2,175 16,681
Cash at beginning of Period
-0- -0- -0-
Increase (Decrease) in Cash
-0- -0- -0-
Cash at End of Period
$ 0 $ 0 $ 0
=========== ========= ==============
</TABLE>
The accompanying notes are an integral part of these financial statements.
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SNOHOMISH EQUITY CORPORATION
NOTES TO FINANCIAL STATEMENTS
for the fiscal year ended December 31 1999
and the periods ended March 31, 1999 and 2000
1-FORMATION AND OPERATIONS OF THE COMPANY
This Corporation was first organized under the laws of the State of Texas
on April 8, 1992, as Snohomish Equity Group, Inc. for the purpose of seeking out
one or more potential business ventures, without regard to geographical
considerations, which venture or ventures, in the judgment of management,
warrant interest and involvement of the Company. On or about April 27, 1992, the
company made its initial issuance of 2,000,000 shares of common stock to a
single founders' group of six related founders, for cash. During 1998, the
company issued 10,000 shares in exchange for services. The Issuer has made no
further issuances to date, and the total issued and outstanding shares of common
stock remains 2,010,000 shares as of the date of this report. During 1992, the
various Founders made private gifts of stock to family members and friends,
totaling 108,108 shares: 27,093 to ten affiliates (six of whom remain
affiliates); and 81,015 shares to a total of 94 non-affiliate shareholders. On
or about April 29, 1992, the Company having caused incorporation of a
wholly-owned subsidiary, Snohomish Capital Corporation, the Company authorized a
stock dividend by which the ownership of that subsisidairy would have been spun
off to shareholders, but that dividend/spin-off was abandoned and never
consummated, and the former subsidiary corporation expired without action,
pursuant to the laws of Texas. The shares of the Company's common stock have
never traded, over the counter or otherwise. This Company's predecessor remained
dormant and inactive from 1993 to the present, its charter expiring in due
course, pursuant to laws of Texas. About early 1997, the founder's control block
of 1,891,892 shares, was acquired by Intrepid International S.A., a Panam
Corporation. As of that time, there were 107,108 shares issued and outstanding
to persons who were and are (with some exceptions) non-affiliate shareholders.
On or about January 1, 1998 the Issuer authorized the Issuance of an additional
10,000 shares to its present officers. The Company was formally reorganized in
the State of Nevada on December 8, 1998, for the purpose of seeking out one or
more potential business ventures, without regard to geographical considerations,
which venture or ventures, in the judgment of management, warrant interest and
involvement of the Company.
2-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(a) BASIS OF ACCOUNTING
Accounting records of the Company and financial statements are maintained
and prepared on an accrual basis.
(b) FISCAL YEAR
The Company's proposed fiscal year end for accounting and tax purposes is
December 31.
(c) ORGANIZATION COSTS
The Company incurred $8,000 of organization costs in 1992. These costs,
which were paid by shareholders of the Company and which were exchanged for
2,000,000 shares of common stock having a par value of $2,000 and $6,000 in
services, totalling $8,000, which were amortized on a straight line method over
a 60 month period. These costs will be recovered only if the Company is able
to generate a positive cash flow from operations.
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Snohomish Equity Corporation
Notes to Financial Statements
for the fiscal year ended December 31, 1999
and the periods ended March 31, 1999 and 2000
continued
(d) CASH EQUIVALENTS
For Financial Accounting Standards purposes, the Statement of Cash Flows,
Cash Equivalents include time deposits, certificates of deposit, and all highly
liquid debt instruments with original maturities of three months or less.
Whatever cash amounts included on the Company's Statements of Cash Flow,
however, will be comprised exclusively of cash.
3-PROPERTY AND EXECUTIVE COMPENSATION
(a) PROPERTY:
The Company's offices and all of its records are located at 219 Broadway,
Suite 261, Laguna Beach, California 92651.
(b) EXECUTIVE COMPENSATION:
Since inception, the Company has paid no cash compensation to its officers
or directors. Officers of the Company will be reimbursed for out-of-pocket
expenses and may be compensated for the time they devote to the Company. In
addition, Officers may receive compensation for services performed on behalf of
the Company. The terms of any such compensation will be determined on the basis
of the nature and extent of the services which may be required and will be no
less favorable to the Company than the charges for similar services made by
independent third parties who are similarly qualified. No officer or director
is required to make any specific amount or percentage of his business time
available to the Company.
5-STOCKHOLDERS' EQUITY.
The Company is authorized to issue 50,000,000 shares of common stock having a
par value of $0.001. In April 1993, 2,000,000 shares of Common Stock, were
issued in exchange for organizational costs which were valued by management at a
total of $8,000. In January 1998, 10,000 shares of Common Stock, were issued in
exchange for services which management valued at $1,000.
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