U.S. Securities and Exchange Commission
Washington, D.C. 20549
FORM 10-QSB/A
[ X ] QUARTERLY REPORT UNDER SECTION 13 or 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended: March 31, 1999
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d)
OF THE EXCHANGE ACT
For the transition period from: to:
Commission file number: 33-26899-D
The J. Rish Group, Inc.
(Exact Name of Registrant as specified in its charter)
LOUISIANA 84-1082394
(State or other jurisdiction (IRS Employer Identi-
of incorporation or organization fication Number)
6748 Renoir
Baton Rouge, Louisiana 70816
(Address code of principal executive offices)
(504) 926-0596
(Issuer=s telephone number)
Check mark whether the Issuer (1) has filed all reports required 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 the filing
requirements for at least the past 90 days. YES: NO:
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PREVIOUS FIVE YEARS
Check whether the registrant filed all documents and reports
required to be filed by Section 12, 13, or 15(d) of the Exchange Act
after the distribution of securities under a plan confirmed by the
court. YES: NO:
APPLICABLE ONLY TO CORPORATE ISSUERS
State the number of shares outstanding of each of the issuers
classes of common stock, as of the last practicable date: 24,731,000
Transitional Small Business Disclosure Format. YES: NO: X
<PAGE>
THE J. RISH GROUP, INC.
Index
PART I FINANCIAL INFORMATION
Balance Sheet
March 31, 1998 3
Statements of Operations
Three Months
Ended March 31, 1999 and 1998 4
Statements of Cash Flows
Three Months Ended
March 31, 1998 and 1997 5
Notes to Financial Statements 6
Management's Discussion and Analysis of
Financial Condition and Results of
Operations 7-8
PART II
Other Information 9
Signatures 10
<PAGE>
J Rish Group, Inc.
Estimated Quarterly Balance Sheet
March 31 1999
UNAUDITED
03/31/98 3/31/99
Current Assets
Cash $ 233,701 $ 362,125
A/R net of allow for doubtful accts 590,696 402,414
Prepaid/Inventory 21,833 12,656
Total Current Assets 846,231 788,257
Property and Equip net A/D 222,248 335,203
Intangible Assets 2,331 51,038
Due from affiliates 59,904 810,620
Total Assets $ 1,130,716 $ 2,454,268
Current Liabilities
A/P $ 750,514 $ 1,269,569
Accrued expenses 37,746 945,226
N/P 513,523 486,308
Total Current Liabilities 1,301,783 3,198,531
N/P net of current portion 21,595 68,753
Total Liabilities 1,323,379 3,267,285
Equity
Stock 4,000 80,036
Accumulated Def Prior Yr <116,939> <636,946>
Net Inc (Loss) Current < 79,723> <219,107>
Total Liab and Equity $ 1,130,716 $ 2,454,268
<PAGE>
J Rish Group, Inc.
Estimated Quarterly Income Statement
March 31 1999
Unaudited
First Quarter First Quarter
3/31/98 3/31/99
Gross Revenue $ $ 2,728,139.70
Contractual AlloRate 55% <1,500,476.84>
Net Patient Revenue 1,195,192.40 1,227,662.87
Salaries & Benefits 621,359.40 677,432.47
Contract Labor 106,043.80 131,225.98
Insurance 12,176.20 16,283.38
Office Supplies 44,302.40 29,188.64
Management Fees 232,000.00 440,000.00
Consulting 16,429.80 7,777.00
Rent 72,412.00 39,567.40
Repairs & Maintenance 18,126.00 1,666.30
Retent & Recruit 44,260.60 0.00
Utilities 20,915.20 23,459.30
Depreciation 27,972.00 0.00
Bad Debts 9,070.20 0.00
Merchandise Purchases .00 22,541.49
Transportation Expense 24,386.00 18,187.14
Miscelaneous Expense 16,102.40 27,274.55
Total Expenses 1,265,556.00 1,434,603.65
Interest Income
Miscellaneous Income
Interest Expense 9,360.20 12,166.37
Total Other Income Expense 9,360.20 12,166.37
Net Income (Loss) ( 70,723.80) (219,107.16)
UNAUDITED
<PAGE>
J Rish Group, Inc.
Consolidated Statement of Cash Flows
For Three Months Ending March 31,1999
Unaudited
FIRST QTR 1999
Cash Flows from Operating Activities
Net Loss (219,107.16)
Adjustments to reconcile net loss to net
cash provided by operating activities:
Depreciation and Amortization 10,200.33
Provision for Bad Debt 0.00
Changes in Assets and Liabilities:
Increase in A/R 2,164.74
Decrease in Prepaids 793.92
Decrease in A/P and Accrued Exp (348,991.17)
Decrease in Other Liabilities (78,009.00)
(413,841.18)
Cash Flows From Investing Activities
Acquisition of Office Equipment (18,533.50)
N/R - Affiliates (641,223.37)
Purchase of CORF (85,000.00)
(744,756.87)
Cash Flows From Financing Activities
Principal Reductions (20,257.07)
Proceeds from Notes Payable (139,436.63)
(159,693.70)
Increase(Decrease) in Cash (1,318,291.75)
Cash and Cash Equivalents, Beg of Period 1,680,417.00
Cash and Cash Equivalents, End of Period 362,125.25
Due to merger and acquisitions the comparibility of the 1998 cash flow
statement is not applicable.
<PAGE>
Best of America Corporation
Notes to Financial Statements
The accompanying condensed unaudited financial statements have been
prepared in accordance with generally accepted accounting principles
for interim financial information and with the instructions to form
10-QSB. 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 adjustments) considered
necessary for a fair presentation have been included. The results of
operations for the periods presented are not necessarily indicative
of the results to be expected for the full year. The accompanying
financial statements should be read in conjunction with the Company's
form 10-KSB filed for the year ended December 31, 1998.
Basic (loss) per share was computed using the weighted average number
of common shares outstanding.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
During the first quarter of 1999, the Company's revenues were $1,227,662
slightly more than the net revenues of the 1998 first quarter's level at
$ 1,195,192. The revenue levels continued unabated for the first quarter
1999 in spite of significant decreases in reimbursement rates from the
Company's subsidiary Medicare providers. The revenues have been sustained
through the Company's continued expansion this quarter with the startup of
a new clinic in Tylertown, Mississippi on January 19 1999. Also, on March 17
1999, the Company purchased the assets of a clinic in Greenville, Mississippi.
These acquisitions come as part of the Company's continued expansion into
underserved medical markets, and are configured for continued service to
Medicare patients as well as expanded services for private insurance, HMO's,
and state workman's compensation programs.
The Company's revenues are expected to increase due to increased acquistions,
expanded services for Medicare patients and diversification of the patient
mix throughout the rest of fiscal 1999. The Company has sufficient resources
to continue its operation and has utilized conventional, local financing to
make additional acquistions.
The Company experienced a loss of $ 219,107 for the first quarter due
principally to retainage of professional line and staff personnel during the
Company's re-orientation and development of revenue outside the capped fee
schedules of the present Medicare cost reimbursement system. In addition,
the Company has absorbed the costs associated with startup operations for its
new acquistions, and will experience a negative position until the new
facilities attain projected revenue levels to sustain associated
operating expense and capital outlays.
The Company is phasing out its car wash subsidiary and is in the process of
disposing of its holdings in the car wash industry.
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.
Not applicable.
ITEM 5. OTHER INFORMATION.
Not applicable.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.
(a) Not applicable.
(b) Exhibit 27 - Financial Data Schedule
<PAGE>
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.
Best of America Corporation
(Registrant)
Dated: October 7, 1999
By: /s/ Julian P. Rish
____________________________
Chief Executive Officer and Controller
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