EXHIBIT 99.3
Nutek, Inc.
CONSOLIDATED PRO FORMA
FINANCIAL STATEMENTS
for the period ending
December 31, 1999
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TABLE OF CONTENTS
PAGE
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BALANCE SHEET.......................... F-1-2
STATEMENT OF OPERATIONS............ F-3
NOTES TO FINANCIAL STATEMENTS......... F-4
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Nutek, Inc.
15722 Chemical Lane
Huntington beach, California 92649
The following financial statements set forth summary pro forma financial date of
the Company. The Company has prepared pro forma balance sheets and statements
of operations for the periods ending December 31, 1999. The pro forma financial
statements are based on historical financial statements of Nutek, Inc., Elite
Fitness, Inc. and Kristi and Co, Inc. adjusted to give effect to the
combination resulting from the asset purchase agreement of Elite Fitness, Inc.
in April of 1999 and Kristi and Co., Inc. in March of 2000. The pro forma
balance sheet has been prepared based on the assumption that the transactions
occurred on January 1, 1999. The pro forma statements of operation are based
on the assumption that the transaction occurred on January 1, 1998.
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Nutek, Inc.
CONSOLIDATED PRO FORMA
BALANCE SHEET
AS AT
DECEMBER 31, 1999
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BALANCE SHEET - ASSETS
Pro Forma Pro Forma Pro Forma Combined
Nutek, Inc.& Kristi & Co Adjustments Company
Elite Fitness,
Inc.
ASSETS
<S> <C> <C> <C> <C>
CURRENT ASSETS
Cash 81,404 0 81,404
Accounts Receivable
(Net of Reserves) 75,706 0 75,706
Inventory 40,463 0 40,463
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Total Current Assets 197,573 0 0 197,573
PLANT AND EQUIPMENT
Plant and Equipment
(less Depreciation) 1,292,935 0 1,292,935
----------------------------------------------------
Total Plant and
Equipment 1,292,935 0 0 1,292,935
OTHER ASSETS
Patent Rights Acquired
(net of amortization) 1,259,692 0 0 1,259,692
Designs, Patterns
and Client List 80,000 80,000
Long Term Investments 234,000 0 234,000
Rent Deposit 3,310 0 3,310
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Total Other Assets 1,497,002 0 80,000 1,577,002
TOTAL ASSETS 2,987,510 0 80,000 3,067,510
====================================================
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See accompanying notes to financial statements
F-1
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Nutek, Inc.
CONSOLIDATED PRO FORMA
BALANCE SHEET
AS AT
December 31, 1999
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<CAPTION>
BALANCE SHEET - LIABILITIES & EQUITY
Pro Forma Pro Forma Pro Forma Combined
Nutek, Inc.& Kristi & Co Adjustments Company
Elite Fitness,
Inc.
<S> <C> <C> <C> <C>
LIABILITIES & EQUITY
Current Liabilities 564,903 564,903
Long Term Liabilities
Long Term Liabilities 419,224 50,000 469,224
Patent Rights
Acquired Liability 770,000 770,000
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Total Long Term
Liabilities 1,189,224 0 50,000 1,239,224
EQUITY
Capital Stock 36,328 0 250 36,578
Additional Paid
in Capital 6,113,830 0 49,750 6,163,580
Preferred Stock 794 794
Royalty Investors 55,000 55,000
Treasury Stock -45,448 -45,448
Donated Capital 125 125
Common Stock Subscribed -100,000 -100,000
Retained Earnings
or (Deficit) -4,827,121 -125 -20,000 -4,847,246
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Total Stockholders'
Equity 1,233,383 0 30,000 1,263,383
TOTAL LIABILITIES &
OWNER'S EQUITY 2,987,510 0 80,000 3,067,510
==================================================
</TABLE>
See accompanying notes to financial statements
F-2
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Nutek, Inc.
CONSOLIDATED PRO FORMA
STATEMENT OF OPERATIONS
For Year Ended December 31, 1999
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<CAPTION>
STATEMENT OF OPERATIONS
Historical Historical
Nutek & Kristi & Co Pro Forma Combined
Elite Fitness Adjustment Company
REVENUE
<S> <C> <C> <C> <C>
Net Sales 238,039 0 0 238,039
COSTS AND EXPENSES
Cost of Sales 30,267 0 30,267
Selling, General and
Administrative 345,790 0 345,790
Depreciation Expense 135,706 0 135,706
Interest Expense 31,467 0 31,467
Amortization of
Intangible Assets 62,367 0 20,000 82,367
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Total Costs and Expenses 605,597 0 20,000 625,597
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Net Income or (Loss) before
Income Taxes -367,558 0 -20,000 -387,558
</TABLE>
See accompanying notes to financial statements
F-3
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Nutek, Inc.
NOTES TO CONSOLIDATED PRO FORMA FINANCIAL STATEMENTS
NOTE 1 - PRO FORMA FINANCIAL STATEMENTS
The following financial statements set forth summary pro forma financial date of
the Company. The Company has prepared pro forma balance sheets and statements
of operations for the periods ending December 31, 1999. The pro forma financial
statements are based on historical financial statements of Nutek, Inc., Elite
Fitness, Inc. and Kristi and Co., Inc. adjusted to give effect to the
combination resulting from the asset purchase agreement of April of 1999 and
March of 2000, under the following assumptions. The pro forma balance sheet
has been prepared based on the assumption that the transactions occurred on
January 1, 1999. The pro forma statements of operation are based on the
assumption that the transaction occurred on January 1, 1999. The following
adjustments were made to arrive at the combined company.
Elite Fitness was acquired by Nutek, Inc on 04/07/1999 for 125,000 shares of
The Company's stock in exchange for the outstanding common stock of Elite
Fitness. The business combination has been accounted for under the pooling
Of interest method.
The company was acquired 01/06/2000 for 250,000 shares of the Company's stock
in exchange for the outstanding common stock of Kristi and Co. Nutek's stock
was valued at $.20 per share, the market value at the time of acquisition. The
business combination has been accounted for under the purchase method of
accounting for business combinations. Kristi and Co. has the rights to certain
woman's resort wear clothing designs and design groups. Kristi and Co. plans
to market these items and to continue creating new designs. The rights to the
clothing designs and patterns have been valued at $100,000.00
250,000 shares of common stock @$.20 per share $ 50,000.00
Cash to be paid within 18 months $ 50,000.00
-----------
Total value $100,000.00
A. Amortiztion of Design Rights - $20000.
Intangible assets designs, patterns and client list amortized over sixty
months.
F-4
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