FORM 10-QSB - Quarterly Report Under Section 13 or 15(d)
of the Securities Exchange Act of 1934
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-QSB
[ X ] Quarterly Report pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934.
For the period ended September 30, 1997
or
[ ] Transition Report Pursuance to Section 13 or 15(d) of the Securities
Exchange act of 1934.
For the transition period from to
Commission File Number 33-16820-D
TRAVIS INDUSTRIES, INC.
(Exact name of registrant as specified in its charter)
Colorado 84-1063149
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization Identification No.)
3415 W. Broadway, Council Bluffs, IA 51501
(Address of principal executive offices) (Zip Code)
(712) 328-3040
(Registrant's telephone number, including area code)
None
(Former name, former address and former fiscal year, if changed
since last report.)
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 period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.
[ X ] Yes [ ] No
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS
DURING THE PRECEDING FIVE YEARS:
Indicated by check mark whether the registrant has filed all documents
and reports required to be filed by Sections 12, 13 or 15(d) of the
Securities Exchange Act of 1934 subsequent to the distribution of
securities under a plan confirmed by a court.
[ X ] Yes [ ] No
APPLICABLE ONLY TO CORPORATE ISSUERS:
As of September 30, 1997, Registrant had 127,808,864 shares of common
stock, no par value, outstanding.
INDEX
Page
Number
Part I. Financial Information
Item I. Financial Statements
Balance Sheet as of September 30, 1997 2
Statements of Operations, Three Months
Ended September 30, 1997 and 1996 3
Statements of Operations, Six Months
Ended September 30, 1997 and 1996 4
Statements of Cash Flows, Three Months
Ended September 30, 1997 and 1996 5
Statements of Cash Flows, Six Months
Ended September 30, 1997 and 1996 6
Notes to Financial Statements 7
Item 2. Management's Discussion and Analysis of
Financial Conditions and Results of
Operations 8
Part II. Other Information 9
<PAGE>
<TABLE>
<CAPTION>
TRAVIS INDUSTRIES, INC.
BALANCE SHEET
September 30, 1997
(Unaudited)
<S> <C>
Current Assets
Accounts receivable, net of allowance for
doubtful accounts of $125,999 $ 40,959
______________
Total Current Assets 40,959
Furniture and equipment, net of accumulated
depreciation of $264,841 21,484
Other assets 11,528
______________
Total Assets $ 73,971
Current Liabilities
Outstanding checks in excess of amounts
reported by banks $ 12,810
Advances from related party 127,964
Accounts payable and accrued expenses 307,862
______________
Total Current Liabilities 448,636
______________
Total Liabilities 448,636
______________
Commitments and contingencies (Notes 2) -
Stockholders' Equity:
Redeemable preferred stock - $.0001 par
value 100,000,000 shares authorized:
Series A, none issued and outstanding -
Series B, 28,400,000 shares issued and
outstanding, (liquidation amount of
$710,000) 710,000
Common stock - $.0001 par value,
500,000,000 shares authorized;
127,808,864 shares issued and
outstanding 12,781
Additional paid-in capital 5,390,185
Accumulated deficit (6,487,631) ______________
______________
Total Stockholders' (Deficit) (374,665)
______________
Total Liabilities and Stockholders' (Deficit) $ 73,971
The accompanying notes are an integral part of the financials statements. TRAVIS INDUSTRIES, INC.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STATEMENTS OF OPERATIONS
For the Three Months Ended September 30
(Unaudited)
1997 1996
<S> <C> <C>
Sales $ 506,186 $ 425,968
Cost of goods sold (exclusive of
depreciation shown separately
below) 417,625 271,204
_____________ ____________
Gross Profit 88,561 154,764
_____________ ____________
Operating Expenses
Depreciation 7,222 7,222
Bad debts 8,000 -
Rent 21,500 29,217
Salaries 45,779 58,331
Other operating expenses 47,341 65,210
_____________ ____________
Total Operating Expenses 129,842 159,980
_____________ ____________
Net Operating (Loss) (41,281) (5,216)
Other Income (Expenses)
Interest and miscellaneous
income 741 18,227
Interest (expense) (4,704) (2,907)
_____________ ____________
Total Other (3,963) 15,320
_____________ ____________
Net (Loss) $ (45,244) $ 10,104
_____________ ____________
Net (Loss) per Share $ nil $ nil
_____________ ____________
Weighted Average Shares Outstanding 127,808,864 121,308,864
_____________ ____________
The accompanying notes are an integral part of the financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
TRAVIS INDUSTRIES, INC.
STATEMENTS OF OPERATIONS
For the Six Months Ended September 30
(Unaudited)
1997 1996
<S> <C> <C>
Sales $ 1,107,771 $ 868,852
Cost of goods sold (exclusive of
depreciation shown separately
below) 872,847 594,094
___________ ____________
Gross Profit 234,924 274,758
Operating Expenses
Depreciation 14,444 14,444
Bad debts 20,440 -
Rent 43,000 58,433
Salaries 96,783 123,586
Other operating expenses 104,258 111,997
_____________ ____________
Total Operating Expenses 278,925 308,460
_____________ ____________
Net Operating (Loss) (44,001) (33,702)
Other Income (Expenses)
Interest and miscellaneous
income 3,532 27,385
Interest (expense) (10,007) (2,907)
_______________ ____________
Total Other (6,475) 24,478
_______________ ____________
Net (Loss) $ (50,476) $ (9,224)
_______________ ____________
Net (Loss) per Share $ nil $ nil
_______________ ____________
Weighted Average Shares Outstanding 127,808,864 121,308,864
</TABLE>
The accompanying notes are an integral part of the financial statements.
<PAGE>
<TABLE>
<CAPTION>
TRAVIS INDUSTRIES, INC.
STATEMENTS OF CASH FLOWS
For the Three Months Ended September 30
(Unaudited)
1997 1996
<S> <C> <C>
Cash Flows from Operating Activities:
Net (loss) $ (45,244) $ 10,104
Adjustments to reconcile net
income (loss) to net cash used
in operating activities
Depreciation 7,222 7,222
Increase in accounts payable,
accrued expenses and other 25,841 12,596
(Increase) in accounts
receivable (20,653) (29,922)
____________ ____________
Net Cash Provided by Operating
Activities (32,834) -
_______________ ____________
Cash Flows from Investing Activities - -
_______________ ____________
Cash Flows from Financing Activities:
Repayment of Notes Payable (62,280) -
Advances from related party 95,114 -
_______________ ____________
Net Cash (Used by) Financing
Activities 32,834 -
Increase in cash - -
Cash, beginning of period - -
_______________ ____________
Cash, end of period $ - $ -
_______________ ____________
Interest paid $ - $ -
_______________ ____________
Income taxes paid $ - $ -
_______________ ____________
The accompanying notes are an integral part of the financial statements. TRAVIS INDUSTRIES, INC.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STATEMENTS OF CASH FLOWS
For the Six Months Ended September 30
(Unaudited)
1997 1996
<S> <C> <C>
Cash Flows from Operating Activities:
Net (loss) $ (50,476) $ (9,224)
Adjustments to reconcile net
income (loss) to net cash used
in operating activities
Depreciation 14,444 14,444
Increase in accounts payable,
accrued expenses and other 21,950 1,486
(Increase) in accounts
receivable (8,918) (6,706)
_______________ ____________
Net Cash Provided by Operating
Activities (23,000) -
_______________ ____________
Cash Flows from Investing Activities - -
_______________ ____________
Cash Flows from Financing Activities:
Repayment of Notes Payable (72,114) -
Advances from related party 95,114 -
_______________ ____________
Net Cash (Used by) Financing
Activities 23,000 -
_______________ ____________
Increase in cash - -
Cash, beginning of period - -
_______________ ____________
Cash, end of period $ - $ -
_______________ ____________
Interest paid 2,700 $ -
_______________ ____________
Income taxes paid $ - $ -
_______________ ____________
</TABLE>
The accompanying notes are an integral part of the financial statements.
<PAGE>
TRAVIS INDUSTRIES, INC.
NOTES TO FINANCIAL STATEMENTS
September 30, 1997 (Unaudited)
(1) Condensed Financial Statements
The financial statements included herein have been prepared by
Travis Industries, 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
management believes that the disclosures are adequate to make
the information presented not misleading.
The management of Travis Industries, 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.
(2) Basis of Presentation - Going Concern
The accompanying financial statements have been prepared in
conformity with generally accepted accounting principles,
which contemplates continuation of the Company as a going
concern. However, the Company has sustained recurring
operating losses, has a net capital deficiency, and is
delinquent on payment of payroll taxes and creditor
liabilities pursuant to the plan of reorganization.
Management is attempting to raise additional capital and
looking for a business combination.
In view of these matters, realization of certain of the assets
in the accompanying balance sheet is dependent upon continued
operations of the Company, which in turn is dependent upon the
Company's ability to meet its financing requirements, raise
additional capital, and the success of its future operations.
Management believes that actions planned and presently being
taken to revise the Company's operating and financial
requirements provide the opportunity for the Company to
continue as a going concern.
(3) Subsequent Events
Subsequent to September 30, 1997 the Company issued
approximately 20,346,380 shares of the Company's common stock
to related parties for debt forgiveness and certain printing
equipment.
ITEM 2
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
Travis Industries, Inc. (the "Company") was organized as a Colorado
corporation on June 21, 1987. The Company is in the business of
printing advertising materials and coupons and mailing them to its
customers. During 1995, the Company filed a plan of reorganization
which was approved by the United States Bankruptcy Court.
The Company generated operating revenues of approximately $506,186
and $425,968 with cost of goods sold of approximately $417,625 and
$271,204 during the quarter ended September 30, 1997 and 1996
respectively, and incurred operating expenses of approximately
$129,842 and $159,980, respectively. The Company had a net loss of
$45,244 during the quarter ended September 30, 1997 as compared to
a net income of $10,104 during the quarter ended September 30,
1996.
The Company generated operating revenues of approximately
$1,107,771 and $868,852 with cost of goods sold of approximately
$872,847 and $594,094 during the nine months ended September 30,
1997 and 1996 respectively, and incurred operating expenses of
approximately $278,925 and $308,460, respectively. The Company had
a net loss of $50,476 during the six month period ended September
30, 1997 as compared to a net loss of $9,224 during the six month
period ended September 30, 1996.
The Company had liabilities in excess of assets at September 30,
1997 of $374,665.
At September 30, 1997, the Company had no material commitments for
capital expenditures.
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.
Travis Industries, Inc.
Date MARCH 31, 1998 By: JEFFREY R. SKINNER
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> MAR-31-1998
<PERIOD-END> SEP-30-1998
<CASH> 0
<SECURITIES> 0
<RECEIVABLES> 166,958
<ALLOWANCES> 125,999
<INVENTORY> 0
<CURRENT-ASSETS> 40,959
<PP&E> 286,325
<DEPRECIATION> 264,841
<TOTAL-ASSETS> 73,971
<CURRENT-LIABILITIES> 448,636
<BONDS> 0
0
710,000
<COMMON> 12,781
<OTHER-SE> 5,390,185
<TOTAL-LIABILITY-AND-EQUITY> 73,971
<SALES> 508,186
<TOTAL-REVENUES> 508,186
<CGS> 417,625
<TOTAL-COSTS> 129,842
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 3,963
<INCOME-PRETAX> (45,244)
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (45,244)
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
