FORM 10-QSB
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarter ended: December 31, 1999
Commission file number: 33-18050
Stone Media Corporation
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(exact name of registrant as specified in its charter)
Colorado 87-0447213
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(State of Incorporation) (IRS ID No.)
806 S. St. Paul, Dallas, Texas 75201
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(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code: 214-742-1167
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 Act of 1934 during the past
12 months and (2) has been subject to such filing requirements for the past 90
days.
YES X NO
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Shares of common stock outstanding at December 31, 1999:
23,533,096
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TABLE OF CONTENTS
PART I - FINANCIAL INFORMATION Page Number
Item 1. Financial Statements 3-6
Item 2. Managements's Discussion and Analysis
of Financial Condition and Results of
Operations 7
PART II - OTHER INFORMATION 8
2
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<TABLE>
<CAPTION>
Stone Media Corporation
Consolidated Balanace Sheets
December 31, 1999 and June 30, 1999
ASSETS
December 31, 1999 June 30, 1999
<S> <C> <C>
CURRENT ASSETS:
Cash 0 0
Total current assets 0 0
OTHER ASSETS:
Restricted common stock 8,000 8,000
Total other assets 8,000 8,000
TOTAL ASSETS $8,000 $8,000
LIABILITIES AND STOCKHOLDER'S EQUITY
LIABILITIES:
Current liabilities:
Accounts payable $1,050,253 $1,050,253
Accrued expenses 288,150 285,800
Total current liabilities 1,338,403 1,336,053
TOTAL LIABILITIES $1,338,403 $1,336,053
STOCKHOLDER'S EQUITY
Preferred stock, $1.00 par 0 0
Common stock, no par value
authorized 50,000,000
and outstanding 22,268,250 23533 23533
Additional paid in capital 5239977 5239977
Retained earnings -6593913 -6591563
TOTAL STOCKHOLDER'S EQUITY -1330403 -1328053
TOTAL LIABILITIES
STOCKHOLDER'S EQUITY 8000 8000
</TABLE>
3
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<TABLE>
<CAPTION>
Stone Media Corporation
Consolidated Statement of Revenue and Expense
Three Months Ended September 30, 1999 and 1998
Three months Three months
September 30, 1999 September 30, 1998
<S> <C> <C>
Revenues:
Sales 0 0
Cost of sales 0 0
Gross profit 0 0
Expenses:
General and administrative 150 150
Total expenses 150 150
Operating income (loss) -150 -150
Other income (expense):
Interest expense 30568 30568
Total other income (expense) -2200 -2200
Net income before provision for federal income taxes -2350 -2350
Provision for federal income taxes 0 0
Net income -2350 -2350
</TABLE>
4
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<TABLE>
<CAPTION>
Stone Media Corporation
Consolidated Statement of Stockholders' Equity
Twelve Months Ended June 30, 1999 and 1998
and Three Months Ended September 30, 1999
Common Stock Common Stock
Shares Amount Paid in Capital Total
<S> <C> <C> <C> <C>
Balance,
June 30, 1997 23533096 23533 5239977 -6573563
Net Loss 24168
Balance
June 30, 1998 23533096 23533 5239977 -6582163
Net Loss 23368
Balance
June 30, 1999 23533096 23533 5239977 -6591563
Net Loss - three
months September 30 30418
Balance
June 30, 1999 23533096 23533 5239977 -6593913
</TABLE>
5
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<TABLE>
<CAPTION>
Stone Media Corporation
Consolidated Statement of Cash Flows
Three Months Ended September 30, 1999 and September 30, 1998
Three months Three months
September 30, 1999 September 30, 1998
<S> <C> <C>
Cash flows provided by operating activities:
Net income -2350 -2350
Non-cash charges included in income
Depreciation and amortization 0 0
Changes in working capital, not including cash:
Accrued expenses 2350 2350
Net cash provided by operating activities 0 0
Cash flows used by investing activities: 0 0
Cash flows provided by financing activities: 0 0
Increase in cash 0 0
Cash, beginning of period 0 0
Cash, end of period 0 0
</TABLE>
6
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Item 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS.
Results of Operations
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The Company has had no operations for the quarter ended December 31, 1999 and
similarly, no operations for the same period last year. The Company is trying to
attract capital in order to pursue its plan to develop and distribute real time
interactive communications and multimedia technologies across networks. Today,
Registrant is experiencing a financial crisis from which there is no guarantee
of recapitalizing or once again becoming a going concern.
There have been no economic events or changes that have affected the Registrant,
for better or worse, to attract capital and there are no economic trends or
uncertainties that the Registrant expects will have a material impact on whether
it can attract capital in the future.
Liquidity
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The Registrant has little liquid assets. The Registrant has very little
liquidity and any significant liquidity the Registrant will be able to attract
will be from the sale of stock in the company, either for cash or issuance of
stock for purchase of a business.
The Registrant has minimal expenses and no commitments.
Capital Resources
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The Registrant has no capital resources and if it can generate capital, it will
be from the sale of stock in the company for cash or issuance of stock for
purchase of a business.
There were no stock offerings during the quarter and none are currently planned.
There were no plans or requirements for purchase of capital items during the
quarter. The Registrant does not foresee any material capital purchase in the
coming twelve months.
7
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PART II. OTHER INFORMATION
Item 1. Legal Proceedings.
Registrant and/or its subsidiary are parties to several legal
proceedings involving alleged past due payables. At this time, the amounts
claimed in the lawsuits known to the Company are between $100,000 and $150,000.
The Company also has a judgement against it in the amount of
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.
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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.
Stone Media Corporation
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(Registrant)
BY: /S/ Elbert G. Tindell
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Its: President and CEO
DATE: April 20, 2000
Dallas, Texas
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