U. S. Securities and Exchange Commission
Washington, D. C. 20549
FORM 10-QSB
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarter ended May 31, 2000
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[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from to
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Commission File No. 0-29603
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PROCESS TECHNOLOGY SYSTEMS, INC.
-----------------------------------
(Name of Small Business Issuer in its Charter)
NEVADA Applied for
------------------------------- --------------------------
(State or Other Jurisdiction of (I.R.S. Employer I.D. No.)
incorporation or organization)
6371 Richmond, #200
Houston, Texas 77057
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(Address of Principal Executive Offices)
Issuer's Telephone Number: (713) 266-8005
Check whether the Issuer (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such
shorter period that the Company was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days.
(1) Yes X No (2) Yes X No
--- --- --- ---
(ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS
DURING THE PAST FIVE YEARS)
Check whether the issuer has filed all documents and reports required to
be filed by Section 12, 13 or 15(d) of the Exchange Act after the distribution
of securities under a plan confirmed by a court. Yes____ No ___
(APPLICABLE ONLY TO CORPORATE ISSUERS)
State the number of shares outstanding of each of the Issuer's
classes of common equity, as of the latest practicable date:
May 31, 2000
Common - 13,345,240 shares
Preferred - 201,620 shares
DOCUMENTS INCORPORATED BY REFERENCE
NONE.
Transitional Small Business Issuer Format Yes X No
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PART I - FINANCIAL INFORMATION
Item 1. Financial Statements.
The Consolidated Financial Statements of the Company required
to be filed with this 10-QSB Quarterly Report were prepared by management and
commence on the following page, together with related Notes. In the opinion
of management, the Consolidated Financial Statements fairly present the
financial condition of the Company.
<PAGE>
PROCESS TECHNOLOGY SYSTEMS, INC.
(A Development Stage Company)
FINANCIAL STATEMENTS
May 31, 2000 and November 30, 1999
<PAGE>
<TABLE>
PROCESS TECHNOLOGY SYSTEMS, INC.
(A Development Stage Company)
Balance Sheets
<CAPTION>
ASSETS
May 31, November 30,
2000 1999
(Unaudited)
<S> <C> <C>
CURRENT ASSETS $ - $ -
Total Current Assets - -
TOTAL ASSETS $ - $ -
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
CURRENT LIABILITIES
Accounts payable $ 3,664 $ 18,661
Total Liabilities 3,664 18,661
STOCKHOLDERS' EQUITY (DEFICIT)
Preferred stock authorized 12,500,000 preferred
shares, at $0.25 par value: 291,620 shares
issued and outstanding 72,905 72,905
Common stock authorized 25,000,000 common shares
at $0.002 par value: 13,345,240 shares issued and
outstanding 26,690 14,290
Capital in excess of par value 180,823 175,627
Deficit accumulated during the development stage (284,082) (281,483)
Total Stockholders' Equity (Deficit) (3,664) (18,661)
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY (DEFICIT) $ - $ -
</TABLE>
<TABLE>
PROCESS TECHNOLOGY SYSTEMS, INC.
(A Development Stage Company)
Statements of Operations
<CAPTION>
From
For the Inception on
Six Months May 12, 1987
Ended For the Years Ended Through
May 31, November 30, May 31,
2000 1999 1998 2000
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
REVENUES $ - $ - $ - $ -
EXPENSES
General and administrative 2,599 16,298 2,363 284,082
Total Expenses 2,599 16,298 2,363 284,082
NET LOSS $ (2,599) $ (16,298) $ (2,363)$ (284,082)
BASIC LOSS PER SHARE $ (0.00) $ (0.00) $ (0.00)
WEIGHTED AVERAGE
NUMBER OF SHARES 8,364,912 7,145,240 7,145,240
</TABLE>
<TABLE>
PROCESS TECHNOLOGY SYSTEMS, INC.
(A Development Stage Company)
Statements of Stockholders' Equity (Deficit)
<CAPTION>
Deficit
Accumulated
Additional During the
Common Stock Preferred Stock Paid-in Development
Shares Amount Shares Amount Capital Stage
<S> <C> <C> <C> <C> <C> <C>
Balance, May 12, 1987 6,500,000 $13,000 - $ - $175,627 $ -
February 18, 1988,
common stock issued
for services at
$0.002 per share 583,240 1,166 - - - -
February 18, 1988,
preferred stock issued
for services at $0.25
per share - - 291,620 72,905 - -
June 9, 1988, common
stock issued for
services valued at
$0.002 per share 50,000 100 - - - -
March 30, 1990, common
stock issued for
services, valued at
$0.002 per share 12,000 24 - - - -
Net loss from inception
on May 12, 1987 through
November 30, 1996 - - - - - (262,822)
Balance, November 30,
1996 7,145,240 14,290 291,620 72,905 175,627 (262,822)
Net loss for the year
ended November 30, 1997 - - - - - -
Balance, November 30,
1997 7,145,240 14,290 291,620 72,905 175,627 (262,822)
Net loss for the year
ended November 30, 1998 - - - - - (2,363)
Balance, November 30,
1998 7,145,240 14,290 291,620 72,905 175,627 (265,185)
Net loss for the year
ended November 30, 1999 - - - - - (16,298)
Balance, November 30,
1999 7,145,240 $14,290 291,620 $72,905$175,627 $(281,483)
<PAGE>
PROCESS TECHNOLOGY SYSTEMS, INC.
(A Development Stage Company)
Statements of Stockholders' Equity (Deficit) (Continued)
<CAPTION>
Deficit
Accumulated
Additional During the
Common Stock Preferred Stock Paid-in Development
Shares Amount Shares Amount Capital Stage
<S> <C> <C> <C> <C> <C> <C>
Balance, November 30,
1999 7,145,240 $14,290 291,620 $72,905 $175,627 $(281,483)
January 5, 2000,
common stock issued
for debt valued at
$0.002 per share
(unaudited) 6,200,000 12,400 - - - -
Contributed capital
(unaudited) - - - - 5,196 -
Net loss for the six
months ended May 31,
2000 (unaudited) - - - - - (2,599)
Balance, May 31, 2000
(unaudited) 13,345,240 $26,690 291,620 $72,905 $180,823 $(284,082)
</TABLE>
<TABLE>
PROCESS TECHNOLOGY SYSTEMS, INC.
(A Development Stage Company)
Statements of Cash Flows
<CAPTION>
From
For the Inception on
Six Months May 12, 1987
Ended For the Years Ended Through
May 31, November 30, May 31,
2000 1999 1998 2000
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
CASH FLOWS FROM OPERATING
ACTIVITIES
Net loss $ (2,599) $(16,298) $ (2,363) $(284,082)
Issuance of stock for
services - - - 275,222
Changes in operating asset
and liability accounts:
Increase (decrease) in
accounts payable (2,597) 16,298 2,363 3,664
Net Cash (Used) by
Operating Activities (5,196) - - (5,196)
CASH FLOWS FROM INVESTING
ACTIVITIES - - - -
CASH FLOWS FROM FINANCING
ACTIVITIES
Contributed capital 5,196 - - 5,196
Net Cash Provided by
Financing Activities 5,196 - - 5,196
NET INCREASE (DECREASE)
IN CASH - - - -
CASH AT BEGINNING
OF PERIOD - - - -
CASH AT END OF PERIOD $ - $ - $ - $ -
Cash Payments For:
Income taxes $ - $ - $ - $ -
Interest $ - $ - $ - $ -
NON-CASH INVESTING AND
FINANCING ACTIVITIES
Common stock issued for
debt $ 12,400 $ - $ - $ 12,400
Common stock issued for
services $ - $ - $ - $275,222
</TABLE>
PROCESS TECHNOLOGY SYSTEMS, INC
(A Development Stage Company)
Notes to the Financial Statements
May 31, 2000 and November 30, 1999
NOTE 1 - CONDENSED FINANCIAL STATEMENTS
The accompanying financial statements have been prepared by the
Company without audit. In the opinion of management, all adjustments
(which include only normal recurring adjustments) necessary to
present fairly the financial position, results of operations and cash
flows at May 31, 2000 and November 30, 1999 and for all periods
presented have been made.
Certain information and footnote disclosures normally included in
financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted. It is
suggested that these condensed financial statements be read in
conjunction with the financial statements and notes thereto included
in the Company's November 30, 1999 audited financial statements. The
results of operations for periods ended May 31, 2000 are not
necessarily indicative of the operating results for the full years.
NOTE 2 - MATERIAL EVENTS
On January 5, 2000, the Company issued 6,200,000 shares of common
stock at $0.002 per share to officers and shareholders for services
and expenses paid by officers which were also recorded as accounts
payable at November 30, 1999, shares issued in January reduced
previous period accounts payable by $12,400.
NOTE 3 - GOING CONCERN
The Company's financial statements are prepared using generally
accepted accounting principles applicable to a going concern which
contemplates the realization of assets and liquidation of liabilities
in the normal course of business. The Company has not established
revenues sufficient to cover its operating costs and allow it to
continue as a going concern. Management is actively pursuing a
operating company in which to merge with. In the interim, the
Company intends to pay costs incurred through funds contributed by
shareholders.
Item 2. Management's Discussion and Analysis or Plan of Operation.
Plan of Operation.
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The Company has not engaged in any material operations or had any
revenues from operations during the last two fiscal years. The Company's
Board of Directors intends to examine various industries in which the Company
may conduct business operations, and then adopt a Business Plan detailing the
necessary capital and requirements to engage in that industry.
During the next 12 months, the Company's only foreseeable cash
requirements will relate to maintaining the Company in good standing, which
may be advanced by management or principal stockholders as loans to the
Company. Any such sums should be nominal.
Results of Operations.
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At May 31, 2000, the Company had $0 in assets and $3,664 in
liabilities. The Company had no revenues for the six months ended May 31,
2000, with $2,599 in expenses, for a net loss of ($2,599).
The Company incurred losses of ($2,599) for the period ended May
31, 2000. Primarily all of these expenses were utilized for attorney's fees,
accounting fees and filing fees to maintain the Company in good standing and
to file its reports with the Securities and Exchange Commission.
Liquidity.
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At May 31, 2000, the Company had no current assets, with total
current liabilities of $3,664. Total stockholder's equity was ($3,664).
During the period ended May 31, 2000, capital contributions by a
principal stockholder amounted to $5,916.
PART II - OTHER INFORMATION
Item 1. Legal Proceedings.
None; not applicable.
Item 2. Changes in Securities.
None; not applicable.
Item 3. Defaults Upon Senior Securities.
None; not applicable.
Item 4. Submission of Matters to a Vote of Security Holders.
None; not applicable.
Item 5. Other Information.
None; not applicable.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibits.
10-SB Registration Statement, as amended, filed with the
Securities and Exchange Commission on February 18, 2000.
(b) Reports on Form 8-K.
None; not applicable.
*Incorporated herein by reference.
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.
PROCESS TECHNOLOGY SYSTEMS, INC.
Date: 8/24/2000 By/s/William A. Silvey, Jr.
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William A. Silvey, Jr., Director
and President
Date: 8/24/2000 By/s/W. Scott Thompson
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W. Scott Thompson, Director
Secretary
