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U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended November 30, 1997
Commission File Number: 33-8420-D
HIGH HOPES, INC.
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(Exact name of small business issuer as specified in its charter)
Nevada 84-1037630
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(State of other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
P.O. Box 460363, Aurora, Colorado 80046
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(Address of principal executive offices including zip code)
(303) 221-7376
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(Issuer's telephone number)
Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act 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___
As of November 30, 1997, 1,400,230 shares of common stock, no par value per
share, were outstanding.
Transitional Small Business Disclosure Format (check one): Yes___ No X
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INDEX
Page
Number
Part I. Financial Information
Item I. Financial Statements
Balance Sheets as of November 30, 1997
and May 31, 1997 3
Statements of Operations, Three Months
Ended November 30, 1997 4
Statements of Operations, Six Months
Ended November 30, 1997 5
Statements of Cash Flows, Three Months
Ended November 30, 1997 6
Statements of Cash Flows, Six Months
Ended November 30, 1997 7
Notes to Financial Statements 8
Item 2. Management's Discussion and Analysis of
Financial Conditions and Results of
Operations 9
Part II. Other Information 10
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HIGH HOPES, INC.
BALANCE SHEETS
(Unaudited)
ASSETS
November 30, May 31,
1997 1997
Current Assets
Cash $ 234 $ 862
Advances - related party 12,000 12,000
Other 1,688 1,268
Total Current Assets 13,922 14,130
Total Assets $ 13,922 $ 14,130
LIABILITIES AND STOCKHOLDERS' (DEFICIT)
Current Liabilities:
Accounts payable $ 2,309 $ 808
Notes payable 29,814 26,314
Other 3,696 2,581
Total Current Liabilities 35,819 29,703
Stockholders' (Deficit):
Common Stock, no par value,
100,000,000 shares authorized
1,400,230 shares issued and
outstanding 1,400 1,400
Additional paid-in capital 534,747 534,747
Accumulated deficit (558,044) (551,720)
Total Stockholders' (Deficit) (21,897) (15,573)
Total Liabilities and Stockholders'
(Deficit) $ 13,922 $ 14,130
The accompanying notes are an integral part of the financial statements.
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HIGH HOPES, INC.
STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended
November 30, 1997
Revenues $ 210
Operating Expenses:
Legal and accounting 1,246
Interest 577
Other 288
Total Operating Expenses 2,111
Net Loss $ (1,901)
Per Share $ nil
Weighted Average Number of Shares
Outstanding 1,400,230
The accompanying notes are an integral part of the financial statements.
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HIGH HOPES, INC.
STATEMENTS OF OPERATIONS
(Unaudited)
Six Months Ended
November 30, 1997
Revenues $ 420
Operating Expenses:
Legal and accounting 3,736
Interest 1,115
Other 1,893
Total Operating Expenses 6,744
Net Loss $ (6,324)
Per Share $ nil
Weighted Average Number of Shares
Outstanding 1,400,230
The accompanying notes are an integral part of the financial statements.
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HIGH HOPES, INC.
STATEMENTS OF CASH FLOWS
(Unaudited)
Three Months Ended
November 30, 1997
Cash Flows Operating Activities:
Net (loss) $ (1,901)
(Increase) in accrued interest
receivable (210)
Increase in accrued interest payable 577
(Decrease) in accounts payable (167)
Other -
Net Cash (Used in) Operating Activities (1,701)
Cash Flows from Investing Activities -
Cash Flows from Financing Activities:
Proceeds from notes payable 1,500
Net Cash Provided by Financing
Activities 1,500
(Decrease) in Cash (201)
Cash, Beginning of Period 435
Cash, End of Period $ 234
Interest Paid $ -
Income Taxes Paid $ -
The accompanying notes are an integral part of the financial statements.
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HIGH HOPES, INC.
STATEMENTS OF CASH FLOWS
(Unaudited)
Six Months Ended
November 30, 1997
Cash Flows Operating Activities:
Net (loss) $ (6,324)
(Increase) in accrued interest
receivable (420)
Increase in accrued interest payable 1,115
Increase in accounts payable 1,501
Other -
Net Cash (Used in) Operating Activities (4,128)
Cash Flows from Investing Activities -
Cash Flows from Financing Activities:
Proceeds from notes payable 3,500
Net Cash Provided by Financing Activities 3,500
(Decrease) in Cash (628)
Cash, Beginning of Period 862
Cash, End of Period $ 234
Interest Paid $ -
Income Taxes Paid $ -
The accompanying notes are an integral part of the financial statements.
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HIGH HOPES, INC.
NOTES TO FINANCIAL STATEMENTS
November 30, 1997 (Unaudited)
(1) Condensed Financial Statements
The financial statements included herein have been prepared by High
Hopes, Inc. without audit, pursuant to the rules and regulations of the
Securities and Exchange Commission. Certain information and footnote
disclosures normally included in the financial statements prepared in
accordance with generally accepted accounting principles have been condensed
or omitted as allowed by such rules and regulations, and High Hopes, Inc.
believes that the disclosures are adequate to make the information presented
not misleading. It is suggested that these financial statements be read in
conjunction with the May 31, 1997 audited financial statements and the
accompanying notes thereto. While management believes the procedures followed
in preparing these financial statements are reasonable, the accuracy of the
amounts are in some respect's dependent upon the facts that will exist, and
procedures that will be accomplished by High Hopes, Inc. later in the year.
The management of High Hopes, Inc. believes that the accompanying
unaudited condensed financial statements contain all adjustments (including
normal recurring adjustments) necessary to present fairly the operations and
cash flows for the periods presented.
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ITEM 2
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
High Hopes, Inc. (the "Company") was organized as a Nevada corporation on
August 24, 1986, in order to evaluate, structure and complete a merger with,
or acquisition of, prospects consisting of private companies, partnerships of
sole proprietorships. The Company may seek to acquire a controlling interest
in such entities in contemplation of later completing an acquisition. The
Company is not limited to any operation or geographic area in seeking out
opportunities. Management has not identified any particular business or
industry within which the Company will seek an acquisition or merger. The
Company has not conducted, nor have others made available to it, market
research supporting the viability of the Company's proposed operations.
The Company generated minimal revenues during the quarter ended November 30,
1997, and management does not anticipate more than minimal revenues until
following the conclusion of a merger or acquisition, if any, as contemplated
by the Company's business plan.
The Company's capital is limited. The Company anticipates operational costs
will be limited until such time as significant evaluation work is undertaken
regarding prospective mergers or acquisitions.
At November 30, 1997, the Company had no material commitments for capital
expenditures.
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PART II. OTHER INFORMATION
Item 1. Legal Proceedings. None.
Item 2. Changes in Securities. None.
Item 3. Defaults upon Senior Securities. None.
Item 4. Submission of Matters to a Vote of Security Holders. None.
Item 5. Other Information. None.
Item 6. Exhibits and Reports on Form 8-K. None.
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.
HIGH HOPES, INC.
Date: January 14, 1998 By:/s/ Timothy J. Brasel
Timothy J. Brasel, President
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EXHIBIT INDEX
EXHIBIT METHOD OF FILING
27. Financial Data Schedule Filed herewith electronically
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the
balance sheets and statements of operations found on page 3 and 4 of the
Company's Form 10-Q for the year to date, and is qualified in its entirety by
reference to such financial statements.
</LEGEND>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> MAY-31-1997
<PERIOD-END> NOV-30-1997
<CASH> 234
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 13,922
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 13,922
<CURRENT-LIABILITIES> 35,819
<BONDS> 0
<COMMON> 1,400
0
0
<OTHER-SE> (20,497)
<TOTAL-LIABILITY-AND-EQUITY> 13,922
<SALES> 0
<TOTAL-REVENUES> 420
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 6,744
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> (6,324)
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (6,324)
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
