U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 10-QSB/A-1
(Mark One)
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
For the fiscal quarter ended___________March 31, 2000_______________________
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
For the transition period from to
Commission file number________________0-17580__________________________
FIRETECTOR INC.
-------------------------------------------------------
(Exact name of small business issuer as specified in its charter)
Delaware 11-2941299
(State or jurisdiction of incorporation (IRS employer identification Number)
or organization)
262 Duffy Avenue, Hicksville, New York 11801
-------------------------------------------------------
(Address of Principal Executive Offices) (Zip code)
(516) 433-4700
(Issuer's telephone number)
Check whether the issuer (1) has 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 registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days.
Yes[ X ] No[ ]
State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date: As of May 14, 2000, 1,704,425 shares
of Registrant's Common Stock were issued and outstanding.
Transitional Small Business Disclosure Format (check one) Yes[ ] No[ X ]
<PAGE>
INDEPENDENT ACCOUNTANTS REPORT
The Board of Directors and Stockholders
Firetector Inc.
We have reviewed the accompanying consolidated condensed balance sheet,
statement of operations and statement of cash flows of Firetector, Inc. and
subsidiaries as of March 31, 2000, and for the three-month and six-month periods
then ended. These financial statements are the responsibility of the Company's
management.
We conducted our review in accordance with standards established by the American
Institute of Certified Public Accountants. A review of interim financial
information consists principally of applying analytical procedures to financial
data and making inquiries of persons responsible for financial and accounting
matters. It is substantially less in scope than an audit conducted in accordance
with generally accepted auditing standards, the objective of which is the
expression of an opinion regarding the financial statements taken as a whole.
Accordingly, we do not express an opinion.
Based on our review we are not aware of any material modifications that should
be made to the accompanying financial statements for them to be in conformity
with generally accepted accounting principles.
New York, New York
May 2, 2000 MOORE STEPHENS, P.C.
Certified Public Accountants
<PAGE>
Part I - FINANCIAL INFORMATION
FIRETECTOR INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Unaudited)
March 31, 2000
--------------
ASSETS
CURRENT ASSETS
Cash and cash equivalents $25,317
Accounts receivable, principally trade, less allowance
for doubtful accounts of $282,341 5,808,316
Inventories 2,514,414
Deferred taxes 249,800
Prepaid expenses and other current assets 197,520
------------
TOTAL CURRENT ASSETS 8,795,367
PROPERTY, PLANT AND EQUIPMENT -at cost, less
accumulated depreciation of $1,043,030 274,156
OTHER ASSETS 246,782
DEFERRED TAXES 40,000
0
------------
TOTAL ASSETS $9,356,305
============
See accompanying Notes to the Consolidated Financial Statements
<PAGE>
FIRETECTOR INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(Unaudited)
March 31, 2000
---------------
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Note payable to Mirtronics $183,778
Other notes payable - principally to related party 75,929
Accounts payable and accrued expenses 2,026,640
Unearned service revenue 317,838
Current portion of capital lease obligations 6,377
-----------
TOTAL CURRENT LIABILITIES 2,610,562
-----------
Note payable to bank 2,635,815
Notes payable - principally to related party,
less current portion 189,294
Capital lease obligations, less current portion 16,673
-----------
TOTAL LIABILITIES 5,452,344
-----------
STOCKHOLDERS' EQUITY
Preferred stock, 2,000,000 shares authorized-
none issued and outstanding 0
Common stock, 10,000,000 shares authorized, $.001
par value; issued and outstanding 1,704,425 shares 1,704
Capital in excess of par 5,278,490
Deficit (1,376,233)
-----------
TOTAL STOCKHOLDERS' EQUITY 3,903,961
-----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $9,356,305
===========
See accompanying Notes to the Consolidated Financial Statements
<PAGE>
FIRETECTOR INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
For the Six Months ended March 31,
2000 1999
---------- ----------
Net sales $6,528,982 $5,575,527
Service revenue 1,998,591 2,093,879
---------- ----------
Total revenues 8,527,573 7,669,406
---------- ----------
Cost of sales 4,626,633 3,689,714
Cost of service 1,310,112 1,397,953
Selling, general and administrative 2,309,689 2,100,049
Interest expense 129,250 105,972
Depreciation and amortization expense 103,828 104,390
---------- ---------
8,479,512 7,398,078
Income from operations before provision ---------- ---------
for income taxes 48,061 271,328
Provision for income taxes:
Current 7,800 28,000
Deferred 12,200 52,000
--------- ---------
20,000 80,000
--------- ---------
Net Income $28,061 $191,328
========= =========
Earnings Per Common Share
Basic Earnings Per Share $0.02 $0.12
Diluted Earnings Per Share $0.01 $0.11
========= =========
Weighted Average Number of Common
Shares Outstanding 1,659,092 1,571,097
Weighted Average Number of Common and
Potential Dilutive Common Shares Outstanding 1,874,733 1,665,590
See accompanying Notes to the Consolidated Financial Statements
<PAGE>
FIRETECTOR INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF OPERATIONS
(Unaudited)
For the Three Months Ended
March 31,
2000 1999
---------- ----------
Net sales
Service revenue $3,713,013 $3,016,458
996,219 1,092,632
---------- ----------
Total revenues 4,709,232 4,109,090
---------- ----------
Cost of sales 2,443,336 2,075,226
Cost of service 661,341 722,476
Selling, general and administrative 1,223,358 1,083,234
Interest expense 66,846 54,676
Depreciation and amortization expense 51,490 52,586
---------- ---------
4,446,371 3,988,198
Income from operations before provision
for income taxes 262,861 120,892
Provision for income taxes:
Current 53,800 13,000
Deferred 66,200 17,000
---------- ---------
120,000 30,000
---------- ---------
Net Income $142,861 $90,892
========== =========
Earnings per common share
Basic earnings per share $0.08 $0.06
Diluted earnings per share $0.07 $0.05
========== =========
Weighted average number of common
shares outstanding 1,704,425 1,571,097
Weighted average number of common
and potential dilutive common
shares outstanding 1,937,056 1,695,715
See accompanying Notes to the Consolidated Financial Statements
<PAGE>
FIRETECTOR INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
<TABLE>
<CAPTION>
For the Six Months Ended March 31,
2000 1999
-------- ---------
OPERATING ACTIVITIES
<S> <C> <C>
Net income $28,061 $191,328
Adjustments to reconcile net income to net cash
provided by (used in) operating activities:
Depreciation and amortization 103,828 104,390
Provision for doubtful accounts 36,000 36,000
Changes in operating assets and liabilities:
Accounts receivable (311,436) 32,263
Inventories, prepaid expenses and other
current assets (281,786) (663,068)
Deferred taxes 12,200
Other assets (80,517) 50,683
Accounts payable and accrued expenses (100,853) 387,826
Unearned service revenue (24,264) (25,206)
Due to affiliated companies (28,492)
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES --------- ---------
(647,259) 114,216
--------- ---------
INVESTING ACTIVITIES
Purchases of property, plant and equipment (54,861) (33,276)
--------- ---------
NET CASH (USED IN) INVESTING ACTIVITIES (54,861) (33,276)
--------- ---------
FINANCING ACTIVITIES
Principal payments on revolving line of credit, long-term
debt, notes payable and capital lease obligations (160,085) (179,004)
Proceeds from revolving line of credit, notes payable
and capital lease obligations 654,232 19,894
--------- ----------
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES 494,147 (159,110)
--------- ----------
NET (DECREASE) IN CASH AND CASH EQUIVALENTS (207,973) (78,170)
Cash and cash equivalents at beginning of period 233,290 104,914
--------- ----------
Cash and cash equivalents at end of period $25,317 $26,744
========== ==========
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid during the period for:
Income taxes $25,686 $86,105
Interest $119,224
</TABLE>
<PAGE>
SUPPLEMENTAL SCHEDULE OF NONCASH INVESTING AND FINANCING ACTIVITIES:
During the six months ended March 31, 2000 the Company incurred no capital lease
obligations. During the six months ended March 31, 1999, the Company incurred
capital lease obligations of $23,520, for the acquisition of equipment.
In the six months ended March 31, 2000, Geneterra Investment Corp. exercised
133,333 options to purchase common stock at $.90 per share. This amounted to
$120,000 and was used to reduce Notes Payable to Mirtronics by a like amount.
(See Note 4 - Transactions With Related Parties).
See accompanying Notes to the Consolidated Financial Statements
<PAGE>
FIRETECTOR INC. AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
SIX MONTHS ENDED MARCH 31, 2000
(UNAUDITED)
1. BASIS OF PRESENTATION
The accompanying unaudited financial statements have been prepared in accordance
with generally accepted accounting principles for interim financial information.
Accordingly, they do not include all of the information and footnotes required
by generally accepted accounting principles for complete financial statements.
In the opinion of management, all adjustments (consisting of normal recurring
accruals) considered necessary in order to make the financial statements not
misleading have been included. Results for the six months ended March 31, 2000
are not necessarily indicative of the results that may be expected for the
fiscal year ending September 30, 2000. For further information, refer to the
consolidated financial statements and footnotes thereto included in Firetector
Inc. ("the Company") and Subsidiary's annual report on Form 10-KSB for the year
ended September 30, 1999.
2. INVENTORY
Inventories are priced at the lower of cost (firstin, firstout) or market and
consist primarily of raw materials.
3. LONG TERM DEBT
The Company has a revolving Credit Facility with Citizens Business Credit
Company of Boston, Mass, (the "Credit Facility"). The credit facility provides
for a $3,000,000 revolving line of credit for the three year period ending June
2001. The Credit Facility provides for interest at prime rate plus 3/4% on
outstanding balances. At March 31, 2000 $2,635,815 was outstanding under this
facility. Advances under the Credit Facility are measured against a borrowing
base calculated on eligible receivables and inventory. The Credit Facility is
secured by all of the assets of the Company and all of its operating
subsidiaries. A $300,000 letter of credit previously provided by Mirtronics
Inc., the Company's largest stockholder, an Ontario corporation ("Mirtronics"),
as additional collateral was released by the lender in January 2000 based on the
terms of the Credit Facility.
The Credit Facility includes certain restrictive covenants, which among other
things impose limitations on declaring or paying dividends, acquisitions and
capital expenditures. The Company is also required to maintain certain financial
ratios. At March 31, 2000, the Company was not in default of any of its
covenants.
4. NOTE PAYABLE TO MIRTRONICS
At March 31, 2000, the note payable to Mirtronics totaled $183,834. While this
note is payable on demand, it is subordinate to and subject to a payment
restriction under the Company's Credit Facility with it's bank.
<PAGE>
FIRETECTOR INC. AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Continued
SIX MONTHS ENDED MARCH 31, 2000
(UNAUDITED)
5. TRANSACTIONS WITH RELATED PARTIES
In consideration of collateral support for a previous credit facility for the
Company and various loans over several years, the Company had granted to
Mirtronics options to purchase the Company's Common Stock. Mirtronics had the
right to acquire up to an aggregate of 613,333 shares of common stock at an
exercise price of $.90 per share, a portion of which were held for the benefit
of the Company's Chairman. These options were to expire on December 31, 1998. In
addition, the Company had previously entered into a Debt/Equity Agreement with
Mirtronics, that provided for the retirement of debt and the issuance to
Mirtronics of $675,000 of Preferred Stock, which could also be converted into
450,000 shares of common stock.
In February 1998, the Company and Mirtronics reached an agreement to reorganize
the options, convertible debt and preferred stock held by Mirtronics so as to
reduce the potential dilution of these securities by 366,667 shares of common
stock. Under this agreement, Firetector redeemed the $675,000 of Convertible
Preferred Stock and $170,000 of convertible debt for an aggregate price of
$845,000. These securities were convertible into 563,333 shares of common stock.
In satisfaction thereof, Firetector issued a $620,000 Convertible Note with
interest at 10% (payable upon demand and convertible into 413,333 shares of
common stock at a conversion price of $1.50 per share until December 31, 2002),
and a $225,000 Note (without a convertible feature), with interest at 10%,
payable upon demand. The foregoing notes are limited as to repayment based upon
covenant requirements and borrowing availability under the terms of the
Company's Credit Facility. Also in connection with this reorganization,
Mirtronics exercised 613,333 options for common stock for an aggregate
consideration of $552,000 and Firetector simultaneously repurchased and retired
216,667 of the newly issued shares for $552,000.
In September 1998, the Company entered into a Debt Matching Agreement with
Mirtronics whereby an aggregate of $508,619 due to Firetector by Mirtronics was
applied to reduce the notes payable and interest due by Firetector to
Mirtronics. As a consequence of this debt matching agreement, the $225,000
Non-Convertible note with interest of $13,870 was satisfied in full and the
$620,000 Convertible Note with interest of $38,219 was reduced to a new balance
of $392,973. As a result of principal and interest payments made this obligation
was reduced to $183,778 as of March 31, 2000. In addition, the right to convert
this note into 413,333 shares of common stock was surrendered in consideration
for a new warrant to purchase 310,000 shares of common stock (the "1998
warrants"). These 1998 warrants are exercisable at anytime until December 31,
2003 at an exercise price of $1.02 per share.
In consideration of collateral support for the Company's Credit Facility in
1994, the Company granted Genterra Investment Corporation, an Ontario
Corporation, ("GIC") options for 166,667 unregistered shares of the Company's
common stock at $.90 per share through December 31, 1999. In July 1996, GIC
exercised 33,334 of these options at $.90 per share. In December 1999, GIC
exercised the remaining 133,333 options at $.90 per share. An officer of GIC is
also a director of Mirtronics.
<PAGE>
FIRETECTOR INC. AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Continued
SIX MONTHS ENDED MARCH 31, 2000
(UNAUDITED)
5. TRANSACTIONS WITH RELATED PARTIES (CONTINUED)
"Other notes payable-principally to related party" represents a seven year
installment promissory note (dated January 1, 1997) bearing interest of 4% per
annum that was issued to a former officer/director of the Company in connection
with a termination agreement.
6. LEASES
In February 2000, the Company signed a seven-year lease agreement for 15,700
square feet of new office, warehouse, and production facilities. The new
facility is located in Syosset, New York. Under the terms of the lease
agreement, annual lease payments including common area charges begin at $167,600
per annum and escalate to $197,000 per annum in the seventh year. The Company is
responsible for any increases in property taxes.
7. EARNINGS PER SHARE
The Financial Accounting Standards Board issued SFAS No. 128 "Earnings Per
Shares" which requires companies to report basic and diluted earnings per share
("EPS") computations effective with the Company's quarter ending December 31,
1997. Basic EPS excludes dilution and is based on the weighted-average common
shares outstanding and diluted EPS gives effect to potential dilution of
securities that could share in the earnings of the Company. Diluted EPS reflects
the assumed issuance of shares with respect to the Company's employee stock
options, non-employee stock options, warrants and convertible notes and
preferred stock.
<PAGE>
FIRETECTOR INC. AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Continued
SIX MONTHS ENDED MARCH 31, 2000
(UNAUDITED)
<TABLE>
<CAPTION>
Three Months ended March 31, Six Months ended March 31,
Basic EPS Computation 2000 1999 2000 1999
---------------------------- --------------------------
Net Income available to common
<S> <C> <C> <C> <C>
shareholders $142,861 $90,892 $28,061 $191,328
Weighted average outstanding shares 1,704,425 1,571,097 1,659,092 1,571,097
Basic EPS $.08 $.06 $.02 $.12
---- ---- ---- ----
Diluted EPS Computation Three Months ended March 31, Six Months ended March 31,
2000 1999 2000 1999
---------------------------- ----------------------------
Income available to common
shareholders $142,861 $90,892 $28,061 $191,328
Impact of convertible obligations -- -- -- --
-------- --------- ---------- ----------
Diluted net income $142,861 $90,892 $28,061 $191,328
========= ========= ========== ==========
Weighted-average shares 1,704,425 1,571,097 1,659,092 1,571,097
--------- --------- ---------- ----------
Plus: Incremental shares from
assumed conversions
Non Employee Stock Options 5,982 43,334 28,077 35,833
Employee Stock Options 57,809 16,400 47,564 12,160
Warrants* 168,839 64,884 140,000 46,500
--------- -------- --------- ---------
Dilutive potential common shares 232,631 124,618 215,641 94,493
--------- -------- ---------- ---------
Adjusted weighted-average shares 1,937,056 1,695,715 1,874,733 1,665,590
--------- --------- ---------- ---------
Diluted EPS $.07 $.05 $.01 $.11
---- ---- ---- ----
</TABLE>
*Reflects 1998 warrants held by Mirtronics exercisable at anytime until December
31, 2003 at an exercise price of $1.02 per share. Excludes certain warrants
convertible into 33,334 shares which were antidilutive in both 2000 and 1999
periods.
<PAGE>
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations
Liquidity and Capital Resources
The Company has a three-year revolving credit facility with Citizens Business
Credit Company of Boston, (the "Credit Facility"). The Credit Facility provides
for a $3,000,000 revolving line of credit for a three year period through June,
2001. The Credit Facility has an interest rate of prime plus 3/4% on outstanding
balances. Advances under the Credit Facility are measured against a borrowing
base calculated on eligible receivables and inventory. The Credit Facility is
secured by all assets of the Company and all of its operating subsidiaries. The
Company owed $2,635,815 under the Credit Facility at March 31, 2000.
The Credit Facility includes various covenants, which among other things, impose
limitations on declaring or paying dividends, acquisitions and capital
expenditures. The Company is also required to maintain certain financial ratios.
At March 31, 2000, the Company was not in default with any of its financial
covenants.
Net cash (used) by operations for the six months ended March 31, 2000 amounted
to $(647,259) as compared to cash being provided by operations of $114,216 for
the comparable prior year period. The primary reason for the use of cash in
operations was due to an increase in accounts receivable to support an $858,000
increase in sales, higher inventory to support a contract to be shipped in a
subsequent period and reduction of accounts payable to take advantage of early
payment discounts.
The ratio of the Company's current assets to current liabilities increased to
approximately 3.37 to 1 at March 31, 2000 from 2.61 to 1 at March 31, 1999 due
to a $1 million increase in accounts receivable coupled with a $330,000
reduction of current liabilities from pay down of notes payable and accounts
payable and accrued expenses.
Results of Operations
Revenues
The Company's product revenues during the three and six months ended March 31,
2000, increased to $3,713,013 and $6,528,982 as compared to $3,016,458 and
$5,575,527 for the comparable prior year periods, representing increases of 23%
and 17% for the respective periods. These increases in product revenues resulted
from delivery of several large audio/visual projects in the New York City market
area and from higher shipments of life safety product in the Company's Dallas,
Texas market area. The 2000 year periods also experienced shipment of a large
communication system to a rail car manufacturer that carried a very low gross
margin due to the introduction of a new product and cost overruns related to
technical problems.
Service revenues during the same three and six month periods of 2000 were
$996,219 and $1,998,591 as compared to $1,092,632 and $2,093,879, respectively,
for the comparable prior year periods. The decrease in service revenues in the
current three and six month periods primarily reflects a decline in call-in
maintenance service on fire systems and competitive pricing on service
contracts.
<PAGE>
2. Management's Discussion and Analysis of Financial
Condition and Results of Operations
Gross Profit
Gross profit on product revenues for the three months and six months ended March
31, 2000, increased to $1,269,677 and $1,902,349 as compared to $941,232 and
$1,885,813, representing increases of 34% and 1% for the respective periods. The
increase in gross profit in the current three-month period is related to higher
sales with higher gross margins due to improved product mix. The increase in
gross margin for the current six-month period was limited to 1% improvement on a
sales increase of 17% due to product mix that included the effect of $400,000 of
subcontractor work with minimal gross margins and shipment of low gross margin
rail car communication product as noted above.
Gross profit on service revenues for the three and six months periods ended
March 31, 2000 declined to $334,878 and $688,479, as compared to $370,156 and
$695,926, respectively. While gross margin on service revenues ranged between
33% and 34% for each period, the absolute decline in service gross margin is
primarily due to a decrease in call-in service revenue.
Income Before Tax
Income from operating activities for the three and six month periods ended March
31, 2000 were $262,861 and $48,061, respectively as compared with income from
operations of $120,892 and $271,328 for the comparable 1999 periods. The
increase in operating income during the three month period of 2000 is primarily
attributed to the increase in product revenues and related gross margin.
However, this contribution to operating income was mitigated to some extent by a
13% increase in selling, general and administrative expenses. Operating income
for the six month period of 2000 declined and was effected by product mix that
included subcontractor work with minimal gross margin and shipment of a low
margin rail car communication product (new product introduction with cost
overruns due to development problems) and from a $209,640 or 10% increase in
selling, general and administrative expenses to support higher product sales.
During the past two years the Company has intensified its marketing efforts and
expanded its product territory. This effort has resulted in higher revenue and
an improvement in new order bookings and quotation activity (see new order
information below). The new marketing and support structure that is in place
contributed to the higher level of shipments.
Tax Provision
The Company's current income tax provision represents state and local income
taxes and the alternative minimum tax for Federal income purposes. In addition a
deferred tax provision was provided for the reduction in the Company's deferred
tax asset to reflect the utilization of the Company's net operating loss
carryforward. Firetector retains approximately $200,000 of additional net
operating loss carry forwards, the accounting benefits of which have been
realized in prior periods.
Order Position
The Company's order position, excluding service, at March 31, 2000 amounted to
$10,900,000 as compared to $10,700,000 at December 31, 1999 and $8,200,000 at
September 30, 1999. The high level of order position reflects in part the
Company's recent intensified marketing efforts. Due to the fact that the
Company's products are sold and installed as part of larger construction on mass
transit projects, there is typically a delay between the booking of the contract
and its revenue realization. The Company expects to fulfill the majority of its
backlog over the next twelve months. The order position includes, and the
Company continues to bid on projects that might include significant
subcontractor labor, involving low margin but setting a platform for future
product additions, tenant installations and service revenues. The order position
at March 31, 2000 does not have a mix of subcontractor work as significant as
that experienced in the six months of fiscal 2000.
<PAGE>
Part II-OTHER INFORMATION
Item 1. Legal Proceedings.
Not Applicable
Item 2. Changes in Securities.
Not applicable
Item 3. Defaults Upon Senior Securities.
Not applicable
Item 4. Submission of Matters to a Vote of Security Holders.
The Registrant's Annual Meeting of Stockholders was held on March 23, 2000. At
the meeting, Stockholders considered and voted upon (1) the election of five (5)
directors to Firetector's Board of Directors, and appointment of Moore Stephens,
P.C. as Firetector's Auditors for the fiscal year ending September 30, 2000.
The five nominees for director were unopposed and were, accordingly elected by
the Stockholders. The following table details the votes cast for, against and
abstained from voting on each matter considered by the Stockholders.
<TABLE>
<CAPTION>
MATTER FOR AGAINST ABSTAINED
- ----------------------------------------------------------------------------------
<S> <C> <C> <C>
Daniel Tamkin 1,579,653 2,721 0
- ----------------------------------------------------------------------------------
John Poserina 1,579,653 2,721 0
- ----------------------------------------------------------------------------------
Henry Schnurbach 1,579,653 2,721 0
- ----------------------------------------------------------------------------------
Joseph Vitale 1,579,653 2,721 0
- ----------------------------------------------------------------------------------
Dennis McConnell 1,579,653 2,721 0
- ----------------------------------------------------------------------------------
Auditors 1,634,305 1,391 678
- ----------------------------------------------------------------------------------
</TABLE>
Item 5. Other Information.
Item 6. Exhibits and Reports on form 8-K.
a. Exhibits.
Ex-27 Financial Data Schedule
b. Reports on Form 8-K
No Reports on Form 8-K were filed during the quarter ended March 31, 2000.
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
FIRETECTOR, INC
(Registrant)
/s/JOHN A. POSERINA
------------------------------
John A. Poserina,
Chief Financial Officer, Secretary
And Director
Date: May 14, 2000
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from this
Consolidated Statement of Financial Condition at March 31, 2000 (Unaudited) and
the Consolidated Statement of Income for the Six Months Ended March 31, 2000
(Unaudited) and is qualified in its entirety by reference to such financial
statements.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> SEP-30-2000
<PERIOD-START> OCT-01-1999
<PERIOD-END> MAR-31-2000
<CASH> 25,317
<SECURITIES> 0
<RECEIVABLES> 5,808,316
<ALLOWANCES> 282,341
<INVENTORY> 2,514,414
<CURRENT-ASSETS> 8,795,367
<PP&E> 1,317,186
<DEPRECIATION> 1,043,030
<TOTAL-ASSETS> 9,356,305
<CURRENT-LIABILITIES> 2,610,562
<BONDS> 0
<COMMON> 1,704
0
0
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 9,356,305
<SALES> 8,527,573
<TOTAL-REVENUES> 8,527,573
<CGS> 5,936,745
<TOTAL-COSTS> 8,479,512
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 129,250
<INCOME-PRETAX> 48,061
<INCOME-TAX> 20,000
<INCOME-CONTINUING> 28,061
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 28,061
<EPS-BASIC> .02
<EPS-DILUTED> .01
</TABLE>
