U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-QSB/AMENDED
[ X ] QUARTERLY REPORT UNDER SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the Three Months Ended: March 31, 1998
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d)
OF THE EXCHANGE ACT
For the transition period from: to:
Commission file Number 0-14039
AMERICAN GENERAL VENTURES, INC.
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(Exact Name of Registrant as Specified in its Charter)
NEVADA 11-2712721
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(State or Other Jurisdiction of I.R.S. Employer
Incorporated or Organization) Identification No.
3650 Austin Bluffs Parkway-Suite 138 Colorado Springs, Colorado 80918
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(Address of Principal Executive Offices)
(719) 548-1616 (Registrant's Telephone Number)
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 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
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS:
Check mark whether the issuer has filed all documents and reports required to be
filed by Sections 2, 12, or 15 (d) of the Securities 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 issuer's classes of common
stock, as of the latest practicable date.
Common Stock $.001 par value, 10,698,843
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(title of class) (Shares outstanding at March 31, 1998)
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AMERICAN GENERAL VENTURES, INC.
FORM 10-QSB
FOR THREE MONTHS ENDED MARCH 31, 1998
INDEX
PART I - FINANCIAL INFORMATION
ITEM 1 - Financial Statements PAGE
Balance Sheet as of March 31, 1998 & 1997 3
Income Statements for quarters ending
March 31, 1998 & 1997 4
Statement of Cash Flows for three months ended
March 31, 1998 & 1997 5
ITEM 2 - Management Discussion and Analysis 6
PART II - OTHER INFORMATION
ITEMS 1-5 7
SIGNATURE PAGE 8
2
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AMERICAN GENERAL VENTURES, INC.
CONSOLIDATED BALANCE SHEET
MARCH 31, 1998 & MARCH 31, 1997
(UNAUDITED)
ASSETS 3-31-98 3-31-97
- ------ ------- -------
Current Assets:
Cash 29,103 (7,898)
Accounts Receivable 27,692 131,501
Inventory-For Sale 174,875 240,211
Inventory-Office Equipment -0- -0-
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Total Current Assets 231,670 363,814
Net Prop,Plant,Equip and 36,260 70,089
Vehicles, Less Accumulated
Depreciation ($27,454)
Other Assets (Goodwill) 21,986 24,971
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Total Assets 289,916 458,874
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LIABILITIES and STOCKHOLDERS' EQUITY
Current Liabilities
Account Payables 222,795 194,294
Other Current Liabilities 4,025 10,051
Accrued Salaries-Officers 98,075 98,075
Accrued Interest 25,729 25,829
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Total Current Liabilities 350,624 328,249
Long Term Liabilities:
Notes Payable-Officer 169,478 638,315
Bank Loan 14,217 35,495
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Total Long Term Liabilities 183,695 673,810
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Total Liabilities 534,319 1,002,059
Stockholders' Equity:
Common Stock 10,699 9,300
Paid in Capital 2,452,133 1,711,999
Accumulated deficit (2,707,235) (2,264,484)
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Total Equity (244,403) (543,185)
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Total Liabilities & Equity 289,916 458,874
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AMERICAN GENERAL VENTURES, INC.
CONSOLIDATED INCOME STATEMENT
QTRS ENDING MARCH 31, 1998 & 1997
1ST QTR 1ST QTR
1998 1997
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REVENUES 73,193 297,849
Cost and Expenses:
Cost of Sales 53,138 242,937
Sell & General Admin 74,418 97,445
Interest -0- 0-
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Total Cost & Expenses 127,556 340,382
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Income (Loss) from Operations (54,363) (42,533)
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Other Income & Expenses:
Interest Income -0- -0-
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Total Other Income/Expense -0- -0-
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Net Income (Loss) (54,363) (42,533)
Net Income Per Common Share .00 .00
Weighted Average Common Shares
Outstanding 10,698,843 9,300,000
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AMERICAN GENERAL VENTURES, INC.
CONSOLIDATED CASH FLOW
FOR THREE MONTHS ENDING MARCH 31, 1998 & 1997
1998 1997
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Cash Flow from Operating Activities
Net Income (Loss) (54,363) (42,533)
Adjustments to Reconcile Net Income
to Net Cash:
Depreciaion and Goodwill 1,939 -0-
Inc (Dec) in Accounts Receivable (26,267)
Inc (Dec) in Inventory 2,182 (72,224)
Inc (Dec) in Other Assets 198 2,000
Inc (Dec) in Accounts Payable (67,051) 20,063
Inc (Dec) in Other Accrued Liabilities 79,046 (45,880)
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Net Cash Provided by (Used In
Operating Activities (64,316) (250,524)
Cash Flow from Investing Activities:
Inc (Dec) in Marketable Securities -0- -0-
Plant and Equipment -0- -0-
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Net Cash Provided by (Used in)
Investing Activities -0- -0-
Cash Flow from Financing Activities:
Inc (Dec) in Notes Payable -0- -0-
Inc (Dec) in Notes Pay-Walker 54,263 208,643
Inc (Dec) in Long-Term Debt -0- (1)
Inc (Dec) in Common Stock 105 100
Inc (Dec) in Paid in Capital 21,345 9,900
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Net Cash Provided by (Used in)
Financing Activities 75,713 218,642
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Inc (Dec) in Cash 11,397 (31,882)
Cash (Beginning) 17,706 23,984
Cash (Ending) 29,103 (7,898)
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AMERICAN GENERAL VENTURES, INC.
FORM 10-QSB
FOR THE THREE MONTHS ENDED MARCH 31, 1998
ITEM 2 - MANAGEMENT DISCUSSION AND ANALYSIS
Results of Operations
From January 1, 1998 through March 31, 1998 the Company's revenues were $73,193
compared with $297,849 for the same period a year ago. The Company had a loss of
$64,363 for this period compared to a loss of ($42,533) the same period a year
ago. The loss was due to a decrease in revenues from the Company's decision to
sell its products only through Wal-Mart Online web page(www.Wal-Mart.com)and not
in Wal-Mart's retail stores. During this period, Wal-Mart Online was in its
development stage and there was essentially no marketing for Online products.
Wal-Mart Online expects to complete its web page development in six more months.
Even though the Company had a significant reduction in revenues, it placed in
the top five vendors for Wal-Mart Online. Management's decision to sell only
through Wal-Mart Online is viewed that being online, the Company will experience
greater long term benefits than to continue to expand into additional Wal-Mart
retail stores. Some advantages from selling only through Wal-Mart's internet
site on the web is that Wal-Mart pays the Company within fifteen days from the
time the product is shipped. Other benefits from selling through Wal-Mart Online
rather than through their retail stores is that the purchaser has only fifteen
days to return the product, the warranty begins the day the purchaser receives
the product and the Company has better controls on when the product is sold and
who the purchaser is. Selling Online also provides a 'just in time' inventory
method that is very beneficial for computer manufactures. The components are not
purchased until the order is placed from the Wal-Mart customer. This method of
inventory reduces expenses of personnel and warehousing, nullifies the
guaranteed sale provision and shields the Company from the extraordinary
depreciation of costs that are so prevalent in the computer industry.
Management is also confident that the change to selling through Wal-Mart Online
and not through their retail stores is that Wal-Mart Online plans to feature a
"Build to Order"(BTO)computer system. The BTO concept has been one of the
reasons that Dell Computers and Gateway Computers have been so successful.
Wal-Mart Online has given the Company and exclusive to use only the Company's
computers in their BTO program. The Company has the opportunity of growing with
a new division within the largest retailer in the world.
Working Capital and Capital Resources
Working capital at March 31, 1998 (current assets less current liabilities)
totaled ($118,954) compared with $319,038 at March 31, 1996. The decrease in
working capital was due to increased expenses required for the Company to
continue its expansion with Wal-Mart stores.
The Company is developing its own web page to sell directly to the public as
well as selling through Wal-Mart's web page. Selling directly to the public will
be done through credit cards and will essentially work as factoring but at a
lower cost. If the Company is successful with its own web page sales, it will
greatly reduce the need for additional financing needed for day to day
operations. The Company is working with several investment bankers to raise
additional capital needed for marketing expenses.
6
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PART II OTHER INFORMATION
Item 1 Legal Proceedings.
Item 2 Changes in Securities - 105,177 shares of common stock were issued during
this quarter.
Item 3 Defaults Upon Senior Securities - None
Item 4 Submission of Matters to a Vote of Securities Holders - None
Item 5 Other Information - None
Item 6 Exhibits and Reports on Form 8-K - None
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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 thereto duly authorized.
AMERICAN GENERAL VENTURES, INC.
By: /s/ Steven H. Walker
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President/CEO
Date: January 6, 1999
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