SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
----------
QUARTERLY REPORT UNDER SECTION 13 OF 15(d)
of the Securities Exchange Act of 1934
----------
For quarter ended June 30, 1998 Commission file number 0-9974
UNITED STATES AIRCRAFT CORPORATION
------------------------------------------------------
(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
DELAWARE 95-3518487
- ------------------------------- -----------------------------
(STATE OR OTHER JURISDICTION OF (I.R.S. EMPLOYER I.D. NUMBER)
INCORPORATION OR ORGANIZATION)
3121 E. Greenway Rd. Phoenix, Arizona 85032
- --------------------------------------- ---------
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES) (ZIP CODE)
(602) 765-0500
- -------------------------------------------------
(REGISTRANT'S TELEPHONE NO., INCLUDING AREA CODE)
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.
Yes X No
----- -----
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of June 30, 1998.
NUMBER OF SHARES CLASS
---------------- -----
9,927,504 Class A
4,962,801 Class B
<PAGE>
UNITED STATES AIRCRAFT CORPORATION
COMMISSION FILE NUMBER 0-9974
FORM 10-Q
INDEX
Page No.
--------
PART I - FINANCIAL INFORMATION
Item 1. FINANCIAL STATEMENTS
Consolidated Balance Sheets
June 30, 1998 (Unaudited)
and September 30, 1997 3
Consolidated Statements of
Operations (Unaudited) for
the Three and Six Months ended
June 30, 1998 and 1997 4
Consolidated Statements of
Cash Flows (Unaudited) for
the Three and Six Months Ended
June 30, 1998 and 1997 5
Notes to Consolidated
Financial Statements 6
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS
of Financial Condition and Results of
Operations 7
Item 3. DEFAULTS UPON SENIOR SECURITIES 11
Item 5. OTHER INFORMATION 11
PART II - OTHER INFORMATION 12
SIGNATURES 12
<PAGE>
United States Aircraft Corporation and Subsidiaries
Consolidated Balance Sheets
June 30, 1998 and September 30, 1997
<TABLE>
<CAPTION>
June 30, 1998 September 30, 1997
Assets (Unaudited)
------------ ------------------
<S> <C> <C>
Current Assets
Cash $ 22,857 $ 20,427
Accounts receivable 416,408 69,311
Notes Receivable 7,000 8,000
Prepaid expenses 60,562 21,800
----------- -----------
Total current assets 506,827 119,538
Advance to officer 27,769
Note receivable, net of current portion 45,794 52,044
Land held for development 577,327
Property & equipment, net of
accumulated depreciation 601,561 57,154
Investment in RV Park LLC 205,502
Agency acquisition, net of amortization 88,231 104,774
Goodwill, net 104,542 87,308
Course materials 14,245 15,718
Other 5,776 24,527
----------- -----------
1,572,478 1,066,159
----------- -----------
Liabilities & Stockholder's Equity
Current Liabilities
Note Payable, bank 55,000
Current portion of long-term debt 28,000 37,775
Convertible debentures & related accrued interest 652,242 82,938
Accounts payable 353,278 86,159
Accrued expenses 79,266 68,263
Unearned tuition 90,516 45,290
----------- -----------
Total current liabilities 1,258,302 320,425
Long term debt, net of current portion 13,872 19,979
Trust deed notes payable with land for
development as collateral 601,000
Minority Interest in Neo Vision LLC 136,096
Stockholders' Equity
Capital stock
Class A: $.50 par value,
10,000,000 shares authorized,
9,927,504 issued 4,963,752 3,826,252
Class B: $.001 par value,
5,000,000 shares authorized,
4,962,801 issued 4,963 4,963
Paid in capital (1,855,578) (751,827)
Retained earnings (deficit) (2,948,929) (2,954,633)
----------- -----------
164,208 124,755
----------- -----------
$ 1,572,478 $ 1,066,159
----------- -----------
</TABLE>
The accompanying notes are an integral part of these statements.
<PAGE>
United States Aircraft Corporation and Subsidiaries
Consolidated Statements of Operations
For the Three and Nine Months Ended June 30,1998 and 1997
(Unaudited)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
June 30 June 30
------- -------
1998 1997 1998 1997
---- ---- ---- ----
<S> <C> <C> <C> <C>
Revenue
Real estate education $ 125,268 $ 115,352 $ 343,377 $ 308,870
Travel Agency 358,153 1,054,770
Video Wall advertising 24,961 26,992
RV Park consulting, net 485,335 485,335
Other 709 1,010 1,734
----------- ----------- ----------- -----------
Total revenue $ 993,717 $ 116,061 $ 1,911,48 $ 310,604
----------- ----------- ----------- -----------
Expenses
Costs of sales travel agency 323,450 949,960
Personnel expenses 231,600 67,056 499,498 191,640
Facility cost 42,694 13,056 76,344 31,756
Other operating cost 42,541 19,590 239,723 59,724
General and administration 21,895 20,525 65,438 48,447
----------- ----------- ----------- -----------
662,180 120,227 1,830,963 331,567
----------- ----------- ----------- -----------
Income (loss) before interest
expense, depreciation and
amortization 331,537 (4,166) 80,521 (20,963)
Interest expense 25,294 3,842 31,685 10,767
Minority interest in Neo Vision LLC
loss (11,038) (38,904)
Depreciation and amortization 62,767 4,174 82,036 12,519
----------- ----------- ----------- -----------
Income (loss) from continuing
operations 254,514 $ (12,182) $ 5,704 $ (44,249)
Income (loss) from discontinued
operations (1,273) (4,079)
Net income (loss) $ 254,514 $ (13,455) $ 5,704 $ (48,328)
----------- ----------- ----------- -----------
Net income (loss) per share .017 $ (.001) $ .000 $ (.004)
----------- ----------- ----------- -----------
Weighted number of shares
outstanding 14,890,305 11,695,305 14,781,971 11,494,379
----------- ----------- ----------- -----------
</TABLE>
The accompanying notes are an integral part of these statements.
<PAGE>
United States Aircraft Corporation and Subsidiaries
Consolidated Statements of Cash Flows
For the Three Months and Nine Months Ended June 30, 1998 and 1997
(Unaudited)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
June 30 June 30
------- -------
1998 1997 1998 1997
---- ---- ---- ----
<S> <C> <C> <C> <C>
Cash Flows From Operating Activities
Net income (loss) $ 254,514 $ (13,455) $ 5,704 $ (48,328)
Adjustments to reconcile net to cash
used by operating activities
Depreciation 19,437 2,481 24,761 7,443
Amortization 43,420 2,090 57,365 6,268
Net increase (decrease) in current liabilities
and (increase) decrease in accounts receivable
prepaid expense and other assets (6,964) 10,431 (49,587) 50,571
--------- --------- --------- ---------
Net cash provided by (used by)
operating activities 310,407 1,547 38,243 15,954
--------- --------- --------- ---------
Cash flows from investing activities
Reduction in advance to officer 4,026 27,769
Increase in goodwill-Western College, Inc
acquisition (20,000) (20,000)
Addition to land held for development (3,374) (531,903)
Disposition (acquisition) of equipment (303,322) (1,322) (569,078) (6,216)
Transfer land and investment in LLC (229,175) (229,175)
--------- --------- --------- ---------
Net cash provided by (used by)
investing activities (528,471) (4,696) (790,484) (558,119)
--------- --------- --------- ---------
Cash flows from financing activities
Convertible debentures and accrued interest
including Neo Vision, Inc. debentures of $519,000 200,752 575,553
Trust deed notes payable for land acquisition 501,000
Issuance of Class A Common shares for:
Land acquisition 25,000
Contingent shares-Western College, Inc. Acq 20,000 20,000
Capital contribution to Neo Vision LLC 175,000
Decrease in long-term debt (3,903) (2,985) (15,882) (8,375)
--------- --------- --------- ---------
Net cash provided by (used by)
financing activities 196,849 (2,985) 754,671 537,625
--------- --------- --------- ---------
Net increase (decrease) in cash (21,215) (6,134) 2,430 (4,540)
Cash Beginning of Period 44,072 11,731 20,427 10,137
--------- --------- --------- ---------
Cash, End of Period $ 22,857 $ 5,597 $ 22,857 $ 5,597
--------- --------- --------- ---------
</TABLE>
The accompanying notes are an integral part of these statements.
<PAGE>
UNITED STATES AIRCRAFT CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
June 30, 1998 (UNAUDITED) AND SEPTEMBER 30, 1997
NOTE 1 - Basis of Presentation
The accompanying unaudited condensed financial statements have been prepared in
accordance with generally accepted accounting principles for interim financial
information and with the instructions to Form 10-Q and Rule 10-01 of Regulation
S-X. Accordingly, they do not include all of the information and footnotes
required by generally accepted accounting principles for complete financial
statements. In the opinion of management, all adjustments considered necessary
for a fair presentation have been included.
For further information, refer to the audited financial statements and footnotes
thereto included in the Company's Form 10-K for the year ended September 30,
1997.
NOTE 2 - Summary of Significant Accounting Policies
Basis of Consolidation
The consolidated financial statements include the accounts of United States
Aircraft Corporation and its subsidiaries (hereinafter referred to as "the
Company"). All intercompany transactions have been eliminated in consolidation.
For further information concerning significant accounting policies, refer to the
audited financial statements and footnotes thereto in the Company's Form 10-K
for the year ended September 30, 1997.
Note 3 - Neo Vision, Inc. Acquisition
On June 30, 1998, the Company acquired all of the outstanding shares of
Neo Vision, Inc., in a tax free exchange of shares. The acquisition has been
accounted for as a pooling of interest method of accounting in accordance with
accounting principles Board Opinion No.16. Accordingly, the operations of Neo
Vision, Inc. are included in the consolidated statement of operations for the
nine months ended June 30, 1998; however, financial statements prior to October
1, 1997 have not been restated, since Neo Vision was formed in June 1997 and had
no significant operations prior to October 1, 1997.
Note 4 - Investment in RV Park, LLC
Effective June 30, 1998, the Company approved the transfer of its
interest in the 35.66 acres of undeveloped land in Glenn County, California (the
"California Land") to a limited liability company to be formed and to serve as
the vehicle for holding and developing the California Land. On July 30, 1998,
the Company determined not to make a payment that would reinstate the defaulted
second trust deed note payable and allowed the California Land to be sold in a
foreclosure sale. The decision was based on the conclusion that the California
Land would not help facilitate the formation of a real estate investment trust
specializing in the ownership of RV Parks. Accordingly, the LLC will lose the
California Land in a foreclosure sale. Any loss on the sale is expected to be
offset by other capital contributions to the LLC.
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and Results
of Operations
Results of Operations
Comparison nine months ended June 30, 1998 to 1997
The income before interest, depreciation and amortization expense
increased by $101,484. The income improvement consists of the following:
Increase in Real Estate Education 1998
operating income over 1997 $ 34,927
Operating loss from travel agency operation
during the nine months
ended June 30, 1998 with no
comparable amount for 1997 $ (17,158)
RV Park consulting fees, net 485,335
Operating loss of Neo Vision, Inc. during the nine
months ended June 30, 1998 with no comparable
amount for 1997 (383,905)
Increase in general
corporate overhead $ (16,991)
Decrease in other revenue $ (724)
The operating income from the adult education division improved by $34,927. The
improvement was due to an $34,507 increase in revenues plus a $420 decrease in
operating costs. The revenue increase is the result of additional enrollments
including those at the new East campus, and due to a $4,005 increase in
advertising revenue related to the publication of the Renewal News. The
operating cost decrease consists of an $11,067 decrease in personnel expense,
$12,484 increase in facility costs and $1,837 decrease in other operating costs.
The travel services operation was started on July 1, 1997 with the purchase of
an existing travel agency and the operating results are included during the nine
months ended June 30, 1998 with no comparable amounts for the nine months ended
June 30, 1997 as follows:
Amount
------
Sales $1,054,770
Cost of sales $ 949,960
----------
Gross profit 104,810
Operating Costs
Personnel expense $ 85,537
Facility cost 3,882
Other operating costs 32,549
--------
Total operating costs 121,968
----------
Income (loss) before interest
depreciation and amortization $ (17,158)
<PAGE>
The Company has earned a net consulting fee of $485,335 relating to its research
project on the recreational vehicle park industry net of its contribution to
RVP-1 LLC.
Neo Vision, Inc. was acquired on June 30, 1998 in a tax-free exchange that has
been accounted for under the pooling of interest method of accounting in
accordance with Accounting Principles Board No.16; however periods prior to
October 1, 1997 have not been restated since Neo Vision had no significant
operations prior to that date. Neo Vision, Inc. was in the development stage
until mid-June 1998 and the operating results for the nine months ended June 30,
1998 are summarized as follows:
Advertising revenue $ 26,992
Operating costs
Personnel expenses $ 233,388
Facility costs 28,222
Other operating costs 149,287 410,897
--------- --------
Loss before interest,
minority interest in
loss of LLC, depreciation
and amortization $383,905
--------
General corporate overhead increased by $16,991 primarily due to management
compensation increases of $12,000 and professional fee increases of $4,500.
Other revenue consisting primarily of interest on travel agency deposits
declined by $724. Depreciation and amortization increased by $69,517 primarily
due to equipment and business acquisitions including $52,854 related to Neo
Vision, Inc. Interest increased by $20,918 including $18,301 related to Neo
Vision, Inc.
Neo Vision, Inc. has a 75% interest in NV-1 LLC that owns one of its video
walls. The $38,904 represents the allocated portion of the limited liability
company's operating loss to the minority interest.
On September 30, 1997 the company sold its wholly-owned subsidiary Hansen and
Associates, Inc. dba Property Masters after determining to discontinue its real
estate brokerage and property management line of business. The financial
statements have been restated to reflect the operations of the subsidiary as a
discontinued operation reflecting a 1997 operating loss of $4,079 with no
comparable amount for 1998.
<PAGE>
Comparison three months ended June 30,1998 to 1997
The income before interest, depreciation and amortization expense
increased by $335,703. The increased loss consists of the following:
Increase in Real Estate Education 1998
operating income over 1997 $ 12,076
Operating loss from travel agency operation
during the three months
ended June 30, 1998 with no
comparable amount for 1997 $ 369
RV Park consulting fees, net $ 485,335
Operating loss of Neo Vision, Inc. during
the three months ended June 30, 1998 with no
comparable amount for 1997 $(160,298)
Increase in general
corporate overhead $ (1,070)
Decrease in other revenue $ (709)
The operating income from the adult education division improved by $12,076. The
improvement was due to an $9,916 increase in revenues plus a $2,160 decrease in
operating costs. The revenue increase is the result of additional enrollments
including those at the new East campus. The operating cost decrease consists of
an $4,474 decrease in personnel expense, $1,838 increase in facility costs and
$476 increase in other operating costs.
The travel services operation was started on July 1, 1997 with the purchase of
an existing travel agency and the operating results are included during the
three months ended June 30,1998 with no comparable amounts for the three months
ended June 30, 1997 as follows:
Amount
------
Sales $358,153
Cost of sales $323,450
--------
Gross profit 34,703
Operating Costs
Personnel expense $16,282
Facility cost (422)
Other operating costs 18,474
-------
Total operating costs 34,334
--------
Income before interest
depreciation and amortization $ 369
Effective January 1, 1998, management reduced its full time travel staff to
bring personnel expenses in line with the revenue production with a further a
reduction of its full time staff on May 1, 1998.
The Company has earned a net consulting fee of $485,335 relating to its research
project on the recreational vehicle park industry net of its contribution to
RVP-1 LLC.
<PAGE>
Neo Vision, Inc. was acquired on June 30, 1998 in a tax-free exchange that has
been accounted for under the pooling of interest method of accounting in
accordance with Accounting Principles Board No.16; however periods prior to
October 1, 1997 have not been restated since Neo Vision had no significant
operations prior to that date. Neo Vision, Inc. was in the development stage
until mid-June 1998 and the operating results for the three months ended June
30, 1998 are summarized as follows:
Advertising revenue $ 24,961
Operating costs 185,259
(Loss) before interest,
minority interest in
loss of LLC, depreciation
and amortization $(160,298)
---------
General corporate overhead increased by $1,070 primarily due to professional fee
increases.
Other revenue consisting primarily of interest on travel agency deposits
declined by $709.
Depreciation and amortization increased by $58,593 primarily due to equipment
and business acquisitions including $52,854 related to Neo Vision, Inc. Interest
increased by $21,452 including $18,301 related to Neo Vision, Inc.
Neo Vision, Inc. has a 75% interest in NV-1 LLC that owns one of its video
walls. The $11,038 represents the allocated portion of the limited liability
company's operating loss to the minority interest.
On September 30, 1997 the company sold its wholly-owned subsidiary Hansen and
Associates, Inc. dba Property Masters after determining to discontinue its real
estate brokerage and property management line of business. The financial
statements have been restated to reflect the operations of the subsidiary as a
discontinued operation reflecting a 1997 operating loss of $1,273 for the three
months ended June 30, 1997 with no comparable amount for 1998.
Financial Condition, Liquidity and Capital Resources
The working capital deficit increased $550,588 from September 30, 1997
to $751,475. Current assets increased by $387,289 from September 30, 1997 to
$506,827. The increase consists of a $2,430 increase in cash, a $347,097
increase in accounts receivable, an $1,000 decrease in notes receivable and a
$38,762 increase in prepaid expenses. The accounts receivable increase includes
a net receivable of $300,000 related to a long-term consulting project related
to the RV Park industry and $25,911 related to Neo Vision trade receivables. The
prepaid expense increase consists primarily of $36,169 of Neo Vision costs
related to its convertible debenture offering.
Current liabilities increased $937,877 from September 30, 1997 to
$1,258,302. The increase consists of a $55,000, a $9,775 decrease in the current
portion of long-term debt, a $569,304 increase the convertible debentures and
related to the accrued interest on the debentures of which $563,977 relates to
the convertible debentures of Neo Vision, a $267,119 increase in accounts
payable which includes $287,987 of Neo Vision obligations primarily related to
construction costs of two video walls, and a $11,003 increase in accrued
expenses. Unearned tuition and advertising revenue increased by $45,226.
Advances to officer made pursuant to the officer's compensation program
decreased by $27,769. The long term note receivable of $45,794 relates to the
sale of Hansen and Associates Inc. Property and equipment increased by $544,407
as a result of equipment acquisitions of $569,168, including the Neo Vision
construction of three video walls and other equipment of approximately $550,000,
offset by depreciation expense of $24,761.
Goodwill increased by $17,234 due to the issuance of the contingent shares
related to the 1996 acquisition of Western College, Inc. valued at $20,000
offset by amortization of $2,766. Course materials decreased by $1,473 due to
amortization. Other assets decreased by $18,751.
<PAGE>
In February 1997, the Company acquired 35.66 acres of undeveloped land
in Glenn County, California which was recorded for financial reporting purposes
at $602,233. The land had been pledged as collateral for three trust deed notes
payable totaling $601,000. Interest payments on the second and third trust deed
notes payable are delinquent and the holder of the second trust deed Note
payable filed a notice of default on March 30, 1998. Effective June 30, 1998,
the Company approved the transfer of its interest in the California Land to a
limited liability company (the "LLC") to be formed and to serve as the vehicle
for holding and developing the California Land. The LLC determined not to
reinstate the defaulted trust deed. Accordingly, the LLC will lose the
California Land in a foreclosure sale. Any loss on the sale is expected to be
offset by other capital contributions to the LLC. The investment in the
Company's equity in the limited liability company.
The July and August 1997 purchase price of the travel agencies exceeded the
indentifiable tangible assets of the agencies by $110,288 and relates primarily
to the value of the income production of the approximately 175 Home Based Travel
Agents who place their travel sales through FirsTravel . The original cost has
been reduced by amortization of $22,057 with $16,543 of amortization being
recorded in the nine months ended June 30, 1998.
Long-term debt decreased by $6,107 due to payments. The convertible debentures
of $56,450 plus the related accrued interest are classified as current
liabilities as they were due on December 31, 1996. Currently, the debentures
remain unpaid and the Company believes that they will eventually be retired
through conversion to the Company's New Common Stock, although no assurance that
such a conversion will be elected by the debenture holders.
At June 30, 1998, Neo Vision had $519,000 of convertible debentures outstanding
plus related accrues interest and issue costs totaling $44,977. Subsequent to
June 30, 1998, an additional $ 376,750 of debentures were issued in a Neo Vision
private placement. The Company intends to seek conversion of this debt into
approximately 1,269,300 shares of New Common Stock. No assurance can be given
that the debentures holders will elect to convert their debt into New Common
Stock.
Neo Vision has a 75% interest in NV-1, LLC, an Arizona limited liability company
that owns one of the video walls being operated in Las Vegas, Nevada. The
minority members contributed $175,000 for their interest which has been reduced
by the $38,904 of loss allocated to them for the period ended June 30, 1998.
The Company's management has continued its program to expand the services
operations through further expansion of its existing operations plus the
acquisition of other service organizations. The working capital deficiency has
continued to limit the expansion of the Company. The acquisition of Neo Vision,
the collection of the net consulting fee, and the anticipated conversion of the
convertible debentures is expected to resolve the current working capital
deficiency. However, the Company intends to rapidly expand its Neo Vision
operation by the expected installations of 21 and 36 video walls in the years
ended September 30, 1999 and 2000, respectively at a projected cost of $250,000
for each wall. The planned expansion will require additional capital of
approximately $3,000,000 to $5,000,000 by early 1999. Additionally, the Company
is aggressively investigating acquisitions of adult education, travel services,
or other operations that are compatible with the existing operations and that
can be acquired for the Company's common stock or with debt that is retired from
the cash flow from the acquired operation. No assurance can be given that the
acquisitions or installation of the video walls will be completed or the private
placement to obtain the required capital infusion will be successful.
On June 30,1998, The Company acquired all of the outstanding shares of Neo
Vision, Inc. For additional information, reference is made to Item 5 Other
Information of this report.
Item 3. Defaults Upon Senior Securities
The Company currently is in default on the payment of various convertible
debentures in the outstanding principal amount of $56,450. The Company currently
does not have the ability to pay any of its defaulted debt and no assurance can
be given that the Company will have sufficient capital to pay such debts.
<PAGE>
Item 5. Other Information
On June 30, 1998, the Company acquired Neo Vision, Inc. in tax-free exchange of
2,000,000 of the Company's Class A common shares for all of the outstanding
shares of Neo Vision, Inc. Neo Vision, Inc. (Neo), an Arizona corporation, has
been in the development stage since its inception in June, 1997. Neo has
developed the technology to provide out-of-home, high impact advertising,
programming and information to remote audiences using state of the art,
computer, video and signal transmission technology. Neo concluded the
development phase of its operation in mid June 1998 with the start of operations
of the three video screens that have been installed in Las Vegas, Nevada. The
acquisition also provides for an increase in the Board of Directors to nine
individuals and the election of five new members to the board of directors two
of whom will be outside directors nominated by Neo. Additionally the acquisition
calls for the filing of a proxy statement shortly after closing for a
stockholders' meeting where the following will be presented for stockholder
approval:
+ Ratification and approval of the Exchange Agreement related to
the Neo acquisition.
+ Authorization of new common shares and a reclassification of the
currently authorized Class A and B shares for the new common
shares in a 10 for 1 and 13 for 1 reclassification ratios,
respectively.
+ Authorization of preferred stock with the Board of Directors
being authorized to establish preferences for separate classes of
the preferred stock.
+ Approval of a name change to Neo Vision. Systems, Inc. and a
restatement of and revision to the articles of incorporation.
+ Technical Amendments to the Company's Certificate of
Incorporation.
+ Adoption of a stock option plan along with approval of the
initial grants.
The acquisition provides for the issuance of additional shares of the New Common
stock if the shares are authorized by the stockholders at their special meeting.
Upon issuance of the additional shares the Neo shareholders will own
approximately 80% of the shares of United States Aircraft Corporation.
<PAGE>
PART II. Other Information
Item 6. Exhibits and Reports on Form 8-K
A. 27 - Financial Data Schedule
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Company
has duly caused this report to be signed on its behalf by the undersigned
thereunto duly authorized.
UNITED STATES AIRCRAFT CORPORATION
Date: 5-17-98 /s/ Albert C. Lundstrom
---------------- ------------------------------------------
Albert C. Lundstrom, President and Chief
Executive Officer
Date: 5-17-98 /s/ Harry V. Eastlick
---------------- ------------------------------------------
Harry V. Eastlick, Chief Financial Officer
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> SEP-30-1998
<PERIOD-END> JUN-30-1998
<CASH> 22,857
<SECURITIES> 0
<RECEIVABLES> 416,408
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 306,827
<PP&E> 697,608
<DEPRECIATION> 96,047
<TOTAL-ASSETS> 1,572,478
<CURRENT-LIABILITIES> 1,258,302
<BONDS> 149,968
0
0
<COMMON> 4,968,715
<OTHER-SE> (4,804,507)
<TOTAL-LIABILITY-AND-EQUITY> 1,572,478
<SALES> 1,911,484
<TOTAL-REVENUES> 1,911,484
<CGS> 1,830,963
<TOTAL-COSTS> 1,830,963
<OTHER-EXPENSES> 43,132
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 31,685
<INCOME-PRETAX> 5,704
<INCOME-TAX> 0
<INCOME-CONTINUING> 5,704
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 5,704
<EPS-PRIMARY> .000
<EPS-DILUTED> (.000)
</TABLE>
