SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-QSB
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the Quarter Ended June 30, 1997
Commission File Number: 0-10701
TATONKA ENERGY, INC.
(Exact name of registrant as specified in its charter)
Oklahoma, U.S.A. 73-1457920
(State or other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification Number)
10850 Switzer Rd., Ste 111
Dallas, TX 75238
(Address of principal executive officer including zip code)
(214)340-9341
(Registrant's telephone number 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 periods that the registrant was
required to file such report(s), 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, at the close of the period covered by this report.
5,515,556 shares of common stock, $.001 par value.
Transitional Small Business Disclosure Format (Check one): Yes No X
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INDEX
PART I - FINANCIAL INFORMATION
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Page
Item 1. Financial Statements
Balance Sheets at June 30, 1997 (unaudited and 1
Statements of Operations for the three months ended 2
June 30, 1997 and 1996 (unaudited)
Statements of Cash Flows for the six months ended June 30, 1997 3
and 1996 (unaudited)
Notes to Financial Statements 4
Item 2. Management's Discussion and Analysis of Financial Condition and 5
Results of Operations
PART II - OTHER INFORMATION
Item 1. Legal Proceedings 7
Item 2. Changes in Securities 7
Item 3. Defaults Upon Senior Securities 7
Item 4. Submission of Matters to a Vote of Security Holders 7
Item 5. Other Information ` 8
Item 6. Exhibits and Reports on Form 8-K 8
Signatures 9
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Tatonka Energy, Inc.
Balance Sheet
As of June 30, 1997
ASSETS
------
Current Assets
Cash and cash equivalents $ 297.95
Accounts Receivable 37,448.25
-------------
Total Current Assets $ 37,746.20
Fixed Assets
Prod. Dept. Facilities 21,156.83
Accum. deprec. Prod. Facil. (20,145.83)
-----------
Net Book Value $ 1,111.00
-----------
Total Fixed Assets $ 1,111.00
Investment in Subsidiary 1,000.00
-----------
TOTAL ASSETS $ 39,857.20
==============
LIABILITIES
-----------
Current Liabilities ---------
EQUITY
------
Common Stock 5,540.41
Treasury Stock (2,710.50)
Paid In Capital 5,282,634.78
Preferred Stock Discount 135,139.00
Retained Earnings (5,371,008.03)
Current Income/(Loss) (9,738.46)
--------------
TOTAL EQUITY $ 39,857.20
--------------
TOTAL LIABILITIES & EQUITY $ 39,857.20
1
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Tatonka Energy, Inc.
Income Statement
For the period ended September 30, 1997
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3 Months Ended 3 Months Ended 9 Months Ended 9 Months Ended
Sep. 30, 1997 Sep. 30, 1996 Sep. 30, 1997 Sep. 30, 1996
--------------- --------------- --------------- ---------------
Income
Interest Income $ (0.75) $ 807.64 $ 19.38 $ 2,872.95
Other Income 0.00 0.00 7,448.25 0.00
---------- ----------- ----------- -------------
(0.75) 807.64 7,467.63 $ 2,872.95
Operating Expenses
Contract Labor 0.00 0.00 1,107.32 0.00
Depreciation 0.00 101.00 404.00 303.00
Dues, Subscriptions & Fees 0.00 14.50 31.52 1,0149.82
Management Fees 0.00 6,000.00 6,600.00 18,000.00
Miscellaneous 0.00 1,800.00 90.28 2,662.25
Office Supplies & Expense 159.20 35.00 173.38 360.83
Professional Services 0.00 8,442.36 6,532.75 12,960.86
Payroll taxes 0.00 0.00 0.02 0.00
Rent 0.00 615.00 0.00 615.00
Stock Transfer Fees 0.00 439.13 1,471.00 697.91
Taxes - Other 0.00 10.00 0.00 10.00
3rd Party Shareholder Expense 0.00 75.00 0.00 857.07
Translation Loss 0.00 (982.84) 955.77 (982.84)
---------- ---------- ---------- -------------
Total Operating Expenses 159.20 16,549.15 17,366.04 36,503.90
---------- ---------- ---------- -------------
Net income (loss) $ (159.95) $(15,741.51) $ (9,898.41) $ (33,360.95)
=========== =========== =========== =============
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2
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JOSEPH A. NOLAN
A PROFESSIONAL CORPORATION
CERTIFIED PUBLIC ACCOUNTANT
103 N. Central Expwy.
Suite 295
Dallas, Texas 75231
(214) 265-9716 MEMBER OF
TEXAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS
AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS
November 17, 1957
Tatonka Energy, Inc.
10510 Markison
Dallas, TX 75238
To the Board of Directors of Tatonka Energy, Inc.
I have compiled the accompanying statement of assets, liabilities, and equity -
income tax basis of Tatonka Energy, Inc. as of September 30, 1997, and the
related statements of revenue, expenses, and retained earnings- income tax basis
for the months and years then ended in accordance with standards established by
the American Institute of Certified Public Accountants. The financial statements
have been prepared on the accounting basis used by the Company for income tax
purposes, which is a comprehensive basis of accounting other than generally
accepted accounting principles.
A compilation is limited to presenting, in the form of financial statements,
information that is the representation of management. I have not audited or
reviewed the accompanying financial statements and, accordingly, do not express
an opinion or any other form of assurance on them.
Management has elected to omit substantially all of the disclosures ordinarily
included in financial statements prepared on the income tax basis of accounting.
If the omitted disclosures were included in the financial statements, they might
influence the user's conclusions about the Company's assets, liabilities,
equity, revenues and expenses. Accordingly, these financial statements are not
designed for those who are not informed about matters.
Sincerely,
/s/ Joseph A. Nolan
- --------------------
Joseph A. Nolan
Certified Public Accountant
3
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PLAN OF OPERATION
To present management of the Company is of the opinion that participation
in the Oil and Gas Industry and the Construction Industry is no longer a viable
option for the Company. The Company has disposed of its Construction Subsidiary,
Crescent Contractors, Inc. [Crescent], a Texas Corporation. As a result, Mr.
Richard Green resigned from the Company July 15, 1997 as President and Director.
Mr. Joseph Foor, a Director, has assumed the title of President. The Board of
Directors elected Mr. Chris Watson to the Board of Directors in July 1997 to
fill the vacant post- electorship left by Mr. Green. Mr. Watson will be standing
for re-election at the next shareholders' meeting.
As a result of the decision to dispose of the Company's subsidiary, the
Company has no current operations, though Management is pursuing opportunities
in the Medical Service and Telecommunications Industries. There can be no
assurance that negotiations will be successful.
As stated, the Company itself has no current operations. The Board of
Directors has instructed its Officers and Directors to seek out Business
Opportunities.
Analysis of Financial Condition and Results of Operations.
Nine months ended June 30, 1997 Versus Nine months ended June 30, 1996.
Results of Operations
Interest income decreased by $2,065.31 for the nine month period ended June
30, 1997, as compared to the same period for 1996. This is due to a reduction in
cash available for investment.
General and administrative expenses increased by $17,899.44 for the nine
month period ended June 30, 1997 as compared to the same period for 1996. This
increase is due to payment of administrative and professional fees in connection
with the investigation of business opportunities presented to management.
Liquidity and Capital Resources
The Company's working capital at June 30, 1997 was $ -0- versus $17,081 at
December 31, 1996, for a decrease in working capital of $17,081. This is due to
the fixed asset sale of $17,081 (see "Plan of Operation) and payment to previous
management of Dollars.
The Company will continue to depend on external funds as its major source
of liquidity, as it has no unused line of credit or any formal arrangements with
any lending institution to borrow any funds. Management is attempting to balance
the need for new operations and income against the risk of losses, but there is
no guarantee that the Company will realize any significant benefits or income
from such efforts.
5
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PART II. OTHER INFORMATION
Item 1. Legal Proceedings
Not applicable.
Item 2. Changes in Securities
Not applicable.
Item 3. Defaults Upon Senior Securities
Not applicable.
Item 4. Submission of Matters to a vote of Security Holders
Not applicable.
Item 5. Other Information
In this report Management has chosen to exclude financial data regarding
its wholly-owned subsidiary, Crescent Contractors, Inc.. This is a substantial
change from the reporting and accounting method employed in the preparation of
the audited financial statements in the Company's 1996 10KSB filed on June 30,
1997.
Item 6. Exhibits and Reports on Form 8-K
A. Exhibits
See Exhibit 1 ("Exhibit 27"): Financial Data Schedule
B. Reports on Form 8-K
Not Applicable
INDEX OF EXHIBITS
Exhibit No. Description
1 ("Exhibit 27") Financial Data Schedule
6
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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.
Date: August 15, 1997 Tatonka Energy, Inc.
By: /s/ Joseph Foor
----------------------
Joseph Foor, President
Date: August 15, 1997 By: /s/ Joe R. Love
----------------------
Joe R. Love, Secretary
7
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