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U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1998
Commission File Number: 0-21241
ASPEN CAPITAL, INC.
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(Exact name of small business issuer as specified in its charter)
Nevada 84-1349555
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(State of other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
5770 South Beech Court, Greenwood Village, Colorado 80121
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(Address of principal executive offices including zip code)
(303) 721-0605
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(Issuer's telephone number)
Check whether the issuer (1) 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 the Registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days.
Yes X No___
As of September 30, 1998, 1,250,000 shares of common stock, $.0001 par value
per share, were outstanding.
Transitional Small Business Disclosure Format (check one): Yes__ No X
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INDEX
PAGE
NUMBER
Part I. Financial Information
Item I. Financial Statements
Balance Sheets as of September 30, 1998
and December 31, 1997 3
Statement of Operations, Three Months
Ended September 30, 1998 and 4
September 30, 1997
Statement of Operations, Nine Months
Ended September 30, 1998 and 5
September 30, 1997
Statement of Cash Flows Nine Months
Ended September 30, 1998 and 6
September 30, 1997
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
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ASPEN CAPITAL, INC.
BALANCE SHEETS
(Unaudited)
ASSETS
September 30 December 31
1998 1997
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Current Assets
Cash $ 1,984 $ 63
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Total Current Assets 1,984 63
Organization costs, net of amortization 137 175
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Total Assets $ 2,121 $ 238
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LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
Current Liabilities:
Accounts payable $ 2,432 $ 1,108
Advances payable, related parties 4,500 2,500
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Total Current Liabilities 6,932 3,608
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Stockholders' Equity (Deficit):
Preferred Stock, $.0001 par value,
5,000,000 shares authorized
none issued and outstanding - -
Common Stock, $.0001 par value,
100,000,000 shares authorized
1,250,000 shares issued and
outstanding 125 125
Additional paid-in capital 12,375 12,375
Accumulated deficit (17,311) (15,870)
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Total Stockholders' Equity (Deficit) (4,811) (3,370)
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Total Liabilities and Stockholders'
Equity (Deficit) $ 2,121 $ 238
=========== =========
The accompanying notes are an integral part of the financial statements.
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ASPEN CAPITAL, INC.
STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Three Months
Ended Ended
September 30, September 30,
1998 1997
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Revenues $ - $ -
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Operating Expenses:
Professional fees (2,677) 647
Other 32 471
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Total Operating Expenses (2,645) 1,118
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Net Profit $ 2,645 $ (1,118)
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Per Share $ nil $ nil
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Weighted Average Number
of Shares Outstanding 1,250,000 1,250,000
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The accompanying notes are an integral part of the financial statements.
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ASPEN CAPITAL, INC.
STATEMENTS OF OPERATIONS
(Unaudited)
Nine Months Nine Months
Ended Ended
September 30, September 30,
1998 1997
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Revenues $ - $ -
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Operating Expenses:
Professional fees 1,324 2,557
Other 117 1,272
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Total Operating Expenses 1,441 3,829
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Net Loss $ (1,441) (3,829)
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Per Share $ nil $ nil
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Weighted Average Number
of Shares Outstanding 1,250,000 1,250,000
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The accompanying notes are an integral part of the financial statements.
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ASPEN CAPITAL, INC.
STATEMENTS OF CASH FLOWS
(Unaudited)
Nine Months Nine Months
Ended Ended
September 30, September 30,
1998 1997
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Cash Flows Operating Activities:
Net (loss) $ (1,441) $ (3,829)
Amortization 38 37
Increase in accounts payable 1,324 898
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Net Cash (Used in) Operating Activities (79) (2,894)
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Cash Flows from Investing Activities - -
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Cash Flows from Financing Activities
Increase in additional paid-in capital - 2,500
Increase in advances from related parties 2,000 -
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Net Cash Provided by Financial Activities 2,000 2,500
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Increase in Cash 1,921 (394)
Cash, Beginning of Period 63 919
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Cash, End of Period $ 1,984 $ 525
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Interest Paid $ - $ -
========== ==========
Income Taxes Paid $ - $ -
========== ==========
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ASPEN CAPITAL, INC.
NOTES TO FINANCIAL STATEMENTS
September 30, 1998 (Unaudited)
(1) Condensed Financial Statements
The financial statements included herein have been prepared by Aspen Capital,
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 Aspen Capital, Inc. believes that
the disclosures are adequate to make the information presented not misleading.
It is suggested that these financial statements be read in conjunction with
the December 31, 1997 audited financial statements and the accompanying notes
thereto. While management believes the procedures followed in preparing these
financial statements are reasonable, the accuracy of the amounts are in some
respect's dependent upon the facts that will exist, and procedures that will
be accomplished by Aspen Capital, Inc. later in the year.
The management of Aspen Capital, 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.
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ITEM 2
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
Aspen Capital, Inc. (the "Company") was organized as a Colorado corporation on
June 14, 1996, in order to evaluate, structure and complete a merger with, or
acquisition of, prospects consisting of private companies, partnerships of
sole proprietorships. The Company may seek to acquire a controlling interest
in such entities in contemplation of later completing an acquisition. The
Company is not limited to any operation or geographic area in seeking out
opportunities. Management has not identified any particular business or
industry within which the Company will seek an acquisition or merger. The
Company has not conducted, nor have others made available to it, market
research supporting the viability of the Company's proposed operations.
The Company generated no revenues during the quarter ended September 30, 1998,
and management does not anticipate any revenues until following the conclusion
of a merger or acquisition, if any, as contemplated by the Company's business
plan.
The Company's capital is limited. The Company anticipates operational costs
will be limited until such time as significant evaluation work is undertaken
regarding prospective mergers or acquisitions.
At September 30, 1998, the Company had no material commitments for capital
expenditures.
YEAR 2000 COMPLIANCE
The Company is aware of the issues associated with the programming code in
existing computer systems as the year 2000 approaches. The Company has
assessed these issues as they relate to the Company, and since the Company
currently has no operating business and does not use any computers, and since
it has no customers or suppliers, it does not believe that there are any
material year 2000 issues to disclose in this Report.
-8-
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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.
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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.
ASPEN CAPITAL, INC.
Date: November 13, 1998 By: /s/ Timothy J. Brasel
Timothy J. Brasel, President
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EXHIBIT INDEX
EXHIBIT METHOD OF FILING
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27. FINANCIAL DATA SCHEDULE Filed herewith electronically
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the
unaudited condensed consolidated balance sheets and unaudited condensed
consolidated statements of income found on pages 3 and 4 of the Company's Form
10-QSB for the year to date, and is qualified in its entirety by reference to
such financial statements.
</LEGEND>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> SEP-30-1998
<CASH> 1,984
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 1,984
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 2,121
<CURRENT-LIABILITIES> 6,932
<BONDS> 0
<COMMON> 125
0
0
<OTHER-SE> (4,936)
<TOTAL-LIABILITY-AND-EQUITY> 2,121
<SALES> 0
<TOTAL-REVENUES> 0
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 1,441
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> (1,441)
<INCOME-TAX> 0
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<DISCONTINUED> 0
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<NET-INCOME> (1,441)
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
