SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
Quarterly Report under Section 13 or 15 (d)
Of the Securities Exchange Act of 1934
For the quarterly period ended June 30, 2000
Commission file number 000-30607
Sontech, Inc.
_______________________________________________________________________
(Exact name of small business issuer as specified in its charter)
Nevada 87-0461420
__________________________ ______________________________
(State or other jurisdiction of (IRS Employer Identification Number)
incorporation or organization)
68 S. Main Street, Suite 708
Salt Lake City, Utah 84101
_________________________________________
(Address of principal executive offices)
(801) 531-7558
_______________________________________________
(Issuer's telephone number, including area code)
Check whether the issuer (1) filed all reports required to be file by
Section 13 or 15 (d) of the Securities Exchange Act of 1934 during the past 12
months (or for such shorter period that the registrant was required to file
such reports) Yes [X] No [ ], and (2) has been subject to such filing
requirements for the past 90 days. Yes [ ] No [x]
APPLICABLE ONLY TO CORPORATE ISSUERS:
State the number of shares outstanding of each of the issuer's classes of
common equity, a of the latest practicable date:
As of June 30, 2000, the issuer had outstanding 12,222,525 shares of it
Common Stock, $0.01 par value.
<PAGE>
Part I FINANCIAL INFORMATION
Item 1. Financial Statements.
The unaudited financial statements of Sontech, Inc., a Utah corporation
(the "Company"), as of June 30, 2000, were prepared by Management and commence
on the following page. In the opinion of Management, the financial statements
fairly present the financial condition of the Company.
<PAGE>
SONTECH, INC.
BALANCE SHEETS
ASSETS
(Unaudited) (Audited)
June 30, December 31,
2000 1999
------------- -------------
Current Assets:
Cash $ - $ -
------------- -------------
Total current assets - -
Other Assets:
Organization costs 5,490 5,490
Accumulated amortization (2,105) (1,556)
------------- -------------
Net organizational costs 3,385 3,934
Website development cost - Triunified
Health Enhancement Systems, Inc.
merger (asset returned upon rescission
of merger on January 28, 2000) - 5,000
Investment in WHY USA Financial Group, Inc. 1,000 1,000
------------- -------------
Total Assets $ 4,385 $ 9,934
============= =============
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Accounts payable $ - $ -
Advances from stockholders 12,447 -
------------- -------------
Total Current Liabilities 12,447 -
Shareholders' Equity
Common stock - authorized 50,000,000 shares
at a $0.01 par value,12,222,525 shares issued
and outstanding 12,223 17,223
Additional paid in capital 414,040 414,040
Retained earnings (434,325) (421,329)
------------- -------------
Total Shareholders' Equity (8,062) 9,934
------------- -------------
Total Liabilities and Shareholders' Equity $ 4,385 $ 9,934
============= =============
See accompanying notes to financial statements.
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<TABLE>
<CAPTION>
SONTECH, INC.
STATEMENT OF OPERATIONS
(Unaudited)
6 Months 6 Months 3 Months 3 Months
Ended Ended Ended Ended
June 30, 2000 June 30, 1999 June 30, 2000 June 30, 1999
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
Operating Expense:
Office and administrative expenses $ 1,022 $ - $ - $ -
Professional fees 11,425 - 1,000 -
Amortization of organizational costs 549 549 275 275
------------- ------------- ------------- -------------
Total Operating Expense 12,996 549 1,275 275
------------- ------------- ------------- -------------
Net Loss $ (12,996) $ (549) $ (1,275) $ (275)
============= ============= ============= =============
Weighted Average Shares Common
Stock Outstanding 12,222,525 17,222,525 12,222,525 17,222,525
============== ============ ============= =============
Net Loss per Common Share $ (0.001) $ 0.000 $ 0.000 0.000
============== ============ ============= ============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SONTECH, INC.
STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY
From January 1, 1998 through June 30, 2000
Total
Common Paid-in Accumulated Stockholders
Shares Stock Capital Deficit Equity
------------- --------- ------------ ----------- ------------
<S> <C> <C> <C> <C> <C>
Balances at January 1, 1998 18,953,340 $ 18,955 $ 395,606 $ (413,561) $ 1,000
Reverse split of stock- 2 for 1,
change of domicile to Nevada
from Utah (9,476,670) (9,477) 9,477 - -
Shares issued for legal fees
incurred in connection with
redomicile of corporation,
valued at $.02 per share 2,745,855 2,745 2,745 - 5,490
Net loss for the year ended
December 31, 1998 - - - (5,095) (5,095)
------------- --------- ------------ ----------- ------------
Balances at December 31, 1998 12,222,525 12,223 407,828 (418,656) 1,395
Advances by shareholders
reclassified from payables in
1998, to paid in capital
in 1999 - - 4,637 - 4,637
Expenses in 1999 advanced by
stockholders and classified as
paid in capital - - 1,575 - 1,575
Merger with Triunified on April
19, 1999- subsequently rescinded
on January 28, 2000 5,000,000 5,000 - - 5,000
Net loss for the year ended
December 31, 1999 - - - (2,673) (2,673)
------------- --------- ------------ ----------- ------------
Balances at December 31, 1999 17,222,525 17,223 6,212 (421,329) 9,934
Recission of merger with
Triunified on January 28, 2000 (5,000,000) (5,000) - - (5,000)
Net loss for the six months
ended June 30, 2000 - - - (12,996) (12,996)
------------- --------- ------------ ----------- ------------
Balances at June 30, 2000 12,222,525 $( 5,000) $ - $ (15,669) $ (20,669)
============= ========= ============ =========== ============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SONTECH, INC.
STATEMENT OF CASH FLOWS
(Unaudited)
6 Months 6 Months
Ended Ended
June 30, 2000 June 30, 1999
------------- -------------
<S> <C> <C>
Cash used in operating activities:
Net Loss $ (12,996) $ (549)
Adjustments to reconcile net loss to cash
flow used in operations:
Amortization of organizational costs 549 549
------------- -------------
Increase in cash flow from operating activities (12,447) -
Cash flows used in financing activities
as liabilities in 1999:
Advances from stockholders 12,447 -
------------- -------------
Cash flows from financing activities 12,447 -
------------- -------------
Net change in cash and cash equivalents - -
Cash and cash equivalents at beginning of period - -
------------- -------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD $ - $ -
============= =============
No cash paid for interest or income taxes $ - $ -
============= =============
See accompanying notes to financial statements.
</TABLE>
<PAGE>
SONTECH, INC.
NOTES TO FINANCIAL STATEMENTS
1. UNAUDITED FINANCIAL STATEMENTS:
The unaudited consolidated financial statements for the six months ended
June 30, 2000, have been prepared pursuant to the rules and regulations of the
Securities and Exchange Commission (SEC). Certain information and note
disclosures normally included in annual financial statements prepared in
accordance with generally accepted accounting principles have been omitted
pursuant to those rules and regulations, although the Company believes that
the disclosures made are adequate to make the information presented not
misleading. In the opinion of management, all adjustments necessary for a
fair presentation of results of operations have been made to the interim
financial statements. Results of operations for the six-month period ended
June 30, 2000 are not necessarily indicative of results of operations for the
respective full years.
A summary of the Company's significant accounting policies and other
information necessary to understand these consolidated financial statements
for its first quarter ended June 30, 2000, is presented in the Company's
audited financial statements for the year ended December 31, 1999.
Accordingly, the Company's audited financial statements, as contained in the
Company's Form 10KSB for its year ended December 31, 1999 should be read in
connection with these financial statements.
ORGANIZATION COSTS
Legal, filing fees, printing, accounting and other organization costs
were capitalized and amortized over sixty months.
INTANGIBLES
Start-up costs and research and development costs are charged to the
expense in the period incurred.
INCOME TAXES
The Company accounts for income taxes under the provisions of SFAS No.
109, Accounting for Income Taxes (SFAS No. 109). The Company has no
significant differences between its income tax and financial accounting. The
Company has approximately $420,000 in loss carryforwards to offset future
taxable income. The loss carryforward begins to expire in 2003. The Company
has not recognized any a deferred tax for the loss carryforward due to the
uncertainty of its realization.
<PAGE>
NET LOSS PER SHARE
Net loss per share is based on the weighted average shares outstanding of
14,000,000 on December 31, 1999. No significant loss per share (less than
$.01 per share) has been calculated. Subsequent to December 31, 1999, the
Company cancelled 5,000,000 shares in connection with the rescission of the
merger with Triunified Health Enhancement Systems, Inc.
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations.
RESULTS OF OPERATIONS
Sontech, Inc., "the Company", is a Utah Corporation organized on January
5, 1983. The original intent of the Company was to develop various
technologies. All projects invested in were abandoned and expensed. The
Company has been inactive for 15 years.
The Company incurred expenses of $12,447 in filing its Form 10 with the
Securities and Exchange Commission in the first half of 2000. The Company did
not incur any other expenses in either the first half or the three months
ended June 30, 2000 or 1999. The only other expense is the amortization of
the organizational costs at the rate of $275 per quarter. The Company is
currently seeking a merger or other financial combination.
The Company must rely upon advances from stockholders to fund its search
efforts and regulatory filing fees, as the Company has no liquid assets. The
future of the Company will be solely dependent upon these advances.
<PAGE>
PART II OTHER INFORMATION
Item 1. Legal Proceedings
None
Item 2. Changes in Securities
None
Item 3. Defaults Upon Senior Securities
Not applicable
Item 4. Submission of Matters to a Vote of Security Holders
None
<PAGE>
Item 5. Other Information
None
Item 6. Exhibits and Reports on Form 8-K
None
<PAGE>
SIGNATURES
In accordance with the requirements of the Securities Exchange Act of
1934, the Registrant caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
SONTECH, INC.
(Registrant)
/S/ David H. Timms
Date: August 14, 2000 _____________________________
David H. Timms
President and Director
/s/ Ruston C. Ford
_____________________________
Ruston C. Ford
Director
