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 December 31, 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 December 31, 1997, Registrant had 127,808,864 shares of common stock,
no par value, outstanding.
<PAGE>
INDEX
Page
Number
Part I. Financial Information
Item I. Financial Statements
Balance Sheet as of December 31, 1997 2
Statements of Operations, Three Months
Ended December 31, 1997 and 1996 3
Statements of Operations, Nine Months
Ended December 31, 1997 and 1996 4
Statements of Cash Flows, Three Months
Ended December 31, 1997 and 1996 5
Statements of Cash Flows, Nine Months
Ended December 31, 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
December 31, 1997
(Unaudited)
<S> <C>
Current Assets
Accounts receivable, net of allowance for
doubtful accounts of $110,000 $ 25,991
____________
Total Current Assets 25,991
Furniture and equipment, net of accumulated
depreciation of $272,063 14,262
Other assets 11,528
____________
Total Assets $ 51,781
Current Liabilities
Outstanding checks in excess of amounts
reported by banks $ 369
Advances from related party 179,894
Accounts payable and accrued expenses 316,659
____________
Total Current Liabilities 496,922
____________
Total Liabilities 496,922
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 (6,558,107)
______________
Total Stockholders' (Deficit) (445,141)
_____________
Total Liabilities and Stockholders' (Deficit) $ 51,781
The accompanying notes are an integral part of the financial statements.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
TRAVIS INDUSTRIES, INC.
STATEMENTS OF OPERATIONS
For the Three Months Ended December 31
(Unaudited)
1997 1996
<S> <C> <C>
Sales $ 595,010 $ 421,036
Cost of goods sold (exclusive of
depreciation shown separately
below) 514,025 295,649
_____________ ___________
Gross Profit 80,985 125,387
_____________ ___________
Operating Expenses
Depreciation 7,222 7,222
Rent 21,500 29,215
Salaries 65,801 50,747
Other operating expenses 53,124 58,709
_____________ __________
Total Operating Expenses 147,647 145,893
_____________ __________
Net Operating (Loss) (66,662) (20,506)
_____________ __________
Other Income (Expenses)
Interest and miscellaneous
income - (655)
Interest (expense) (3,814) (172)
______________ ___________
Total Other (3,814) (827)
_____________ ___________
Net (Loss) $ (70,476) $ (21,333)
______________ ___________
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 Nine Months Ended December 31
(Unaudited)
1997 1996
<S> <C> <C>
Sales $ 1,702,781 $ 1,289,888
Cost of goods sold (exclusive of
depreciation shown separately
below) 1,386,872 889,743
_______________ ___________
Gross Profit 315,909 400,145
_______________ ___________
Operating Expenses
Depreciation 21,666 21,666
Rent 64,500 87,648
Salaries 162,584 174,333
Other operating expenses 177,822 170,706
_______________ __________
Total Operating Expenses 426,572 454,353
_______________ __________
Net Operating (Loss) (110,663) (54,208)
_______________ __________
Other Income (Expenses)
Interest and miscellaneous
income 3,019 26,730
Interest (expense) (13,308) (3,079)
_______________ __________
Total Other (10,289) 23,651
_______________ __________
Net (Loss) $ (120,952) $ (30,557)
_______________ __________
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 December 31
(Unaudited)
1997 1996
<S> <C> <C>
Cash Flows from Operating Activities:
Net (loss) $ (70,476) $ (21,333)
Adjustments to reconcile net
income (loss) to net cash used
in operating activities
Depreciation 7,222 7,222
(Decrease) in accounts payable,
accrued expenses and other (3,645) (11,064)
Decrease in accounts
receivable 14,969 25,175
_____________ __________
Net Cash (Used by) Operating
Activities (51,930) -
_____________ __________
Cash Flows from Investing Activities - -
_____________ __________
Cash Flows from Financing Activities:
Advances from related party 51,930 -
_____________ __________
Net Cash Provided by Financing
Activities 51,930 -
_____________ __________
Increase in cash - -
_____________ __________
Cash, beginning of period - -
_____________ __________
Cash, end of period $ - $ -
_____________ __________
Interest paid $ - $ 172
_____________ __________
Income taxes paid $ - $ -
_____________ __________
The accompanying notes are an integral part of the financial statements.
<PAGE>
</TABLE>
<TABLE>
<CAPTION>
TRAVIS INDUSTRIES, INC.
STATEMENTS OF CASH FLOWS
For the Nine Months Ended December 31
(Unaudited)
1997 1996
<S>
Cash Flows from Operating Activities: <C> <C>
Net (loss) $ (120,952) $ (30,557)
Adjustments to reconcile net
income (loss) to net cash used
in operating activities
Depreciation 21,666 21,666
Increase (decrease) in accounts
payable, accrued expenses and
other 18,305 (9,578)
Decrease in accounts
receivable 6,051 18,469
___________ ____________
Net Cash (Used by) Operating
Activities (74,930) -
___________ ____________
Cash Flows from Investing Activities - -
_ __________ ____________
Cash Flows from Financing Activities:
Repayment of Notes Payable (72,114) -
Advances from related party 147,044 -
___________ ____________
Net Cash Provided by Financing
Activities 74,930 -
___________ ____________
Increase in cash - -
___________ ____________
Cash, beginning of period - -
___________ ____________
Cash, end of period $ - $ -
___________ ____________
Interest paid $ - $ 3,079
___________ ____________
Income taxes paid $ - $ -
___________ ____________
The accompanying notes are an integral part of the financial statements.
</TABLE>
<PAGE>
TRAVIS INDUSTRIES, INC.
NOTES TO FINANCIAL STATEMENTS
December 31, 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 theses 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 December 31, 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 $595,010
and $421,036 with cost of goods sold of approximately $514,025 and
$295,649 during the quarter ended December 31, 1997 and 1996
respectively, and incurred operating expenses of approximately
$147,647 and $145,893, respectively. The Company had a net loss of
$70,476 during the quarter ended December 31, 1997 as compared to
a net loss of $21,333 during the quarter ended December 31, 1996.
The Company generated operating revenues of approximately
$1,702,781 and $1,289,881 with cost of goods sold of approximately
$1,386,872 and $889,743 during the nine months ended December 31,
1997 and 1996 respectively, and incurred operating expenses of
approximately $426,572 and $454,353, respectively. The Company had
a net loss of $120,952 during the nine month period ended December
31, 1997 as compared to a net loss of $30,557 during the nine month
period ended December 31, 1997.
The Company had liabilities in excess of assets at December 31,
1997 of $445,141.
At December 31, 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, CFO, Director
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> MAR-31-1998
<PERIOD-END> DEC-31-1998
<CASH> 0
<SECURITIES> 0
<RECEIVABLES> 135,991
<ALLOWANCES> 110,000
<INVENTORY> 0
<CURRENT-ASSETS> 25,991
<PP&E> 286,325
<DEPRECIATION> 272,063
<TOTAL-ASSETS> 51,781
<CURRENT-LIABILITIES> 486,922
<BONDS> 0
0
710,000
<COMMON> 12,781
<OTHER-SE> 5,390,185
<TOTAL-LIABILITY-AND-EQUITY> 51,781
<SALES> 595,010
<TOTAL-REVENUES> 595,010
<CGS> 514,025
<TOTAL-COSTS> 147,647
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 3,814
<INCOME-PRETAX> (70,476)
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (70,476)
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
