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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 Quarter Ended March 31, 1996 Commission File No. 33-30476-D
RENEGADE VENTURE CORPORATION
(Exact name of Registrant as specified in its charter)
COLORADO 84-1108499
(State or other jurisdiction of (I.R.S. Empl. Ident. No.)
incorporation or organization)
90 MADISON STREET, SUITE 707
DENVER, COLORADO 80206
(Address of Principal Executive Offices) (Zip Code)
(303) 355-3000
(Registrant's Telephone Number, including Area Code)
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 such shorter period that the Registrant was required
to file such reports), and (2) has been subject to such filing to such filing
requirements for at least the past 90 days.
YES NO X
----- -----
The number of shares outstanding of each of the Registrant's classes of common
equity, as of March 31, 1995 are as follows:
CLASS OF SECURITIES SHARES OUTSTANDING
-------------------------- ------------------
Common Stock, no par value 32,000,000
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INDEX
<TABLE>
<CAPTION>
PAGE OF
REPORT
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<S> <C>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS.
BALANCE SHEETS:
As of March 31, 1996 (Unaudited) and December 31, 1995.................... 3
STATEMENT OF OPERATIONS (UNAUDITED):
For the three months ended March 31, 1996 and 1995
and Cumulative from inception (February 13, 1989) through March 31, 1996.. 4
STATEMENTS OF CASH FLOWS (UNAUDITED):
For the three months ended March 31, 1996 and 1995
and Cumulative from inception (February 13, 1989) through March 31, 1996.. 5
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)................................. 6
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION................. 7
PART II. OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.......................................... 7
SIGNATURES................................................................ 8
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RENEGADE VENTURE CORPORATION
(A Development Stage Company)
Balance Sheets
(Unaudited)
March 31, Dec. 31,
1996 1995
--------- --------
ASSETS
CURRENT ASSETS
Cash 29,838 32,208
--------- --------
Total Current Assets 29,838 32,208
TOTAL ASSETS 29,838 32,208
--------- --------
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts payable 325 385
--------- --------
Total Liabilities 325 385
--------- --------
STOCKHOLDERS' EQUITY
Common stock, $.0001 par value; 100,000,000 3,200 3,200
shares authorized, 32,000,000 shares issued
and outstanding
Additional paid-in capital 59,925 59,925
Deficit accumulated during the (33,612) (31,302)
development stage
Total Stockholders' Equity 29,513 31,823
--------- --------
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY 29,838 32,208
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See accompanying notes to financial statements.
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RENEGADE VENTURE CORPORATION
(A Development Stage Company)
Statement of Operations
(Unaudited)
Cumulative from
inception
(Feb. 13, 1989)
For The Three Months Ended, through
---------------------------
March 31, March 31, March 31,
--------- ---------
1996 1995 1996
---- ---- ---------
Revenues 0 0 0
--------- --------- ---------
Costs and Expenses:
Legal and accounting services 1,880 1,920 22,190
Stock transfer and promotion 180 180 15,220
Office and postage 250 250 2,171
Amortization 0 0 1,760
--------- --------- ---------
Total Expenses 2,310 2,350 41,341
--------- --------- ---------
Loss from operations (2,310) (2,350) (41,341)
--------- --------- ---------
Other Income
Interest income 0 0 8,054
--------- --------- ---------
Net Loss Incurred during (2,310) (2,350) (33,287)
Development Stage
--------- --------- ---------
Net Loss per common share /1/ -- -- --
--------- --------- ---------
Weighted average shares
outstanding 32,000,000 32,000,000 32,000,000
---------- ---------- ----------
Dividends declared per
common share -- -- --
---------- ---------- ----------
/1/ Net loss per share is less than $.01 in each period
presented.
See accompanying notes to financial statements.
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RENEGADE VENTURE CORPORATION
(A Development Stage Company)
Statements of Cash Flows
(Unaudited)
<TABLE>
<CAPTION>
Cumulative from
For the Three months ended, inception (Feb. 13,
March 31, 1989) through
----------
1996 1995 March 31,
-------------- -------------- -------------------
<S> <C> <C> <C>
Cash flow operating activities
Net loss (2,310) (2,350) (33,612)
Adjustments to reconcile net loss to net 0 0 0
cash used by operating activities:
Amortization 0 0 1,760
Increase (decrease) in accounts (60) (810) (325)
payable
Net cash provided by (used In)
-------------- -------------- -------------------
operating activities (2,370) (3,160) (31,527)
Cash flow from investing activities
Net cash provided by investing act 0 0 (1,760)
-------------- -------------- -------------------
Cash flows from financing activities
Net cash provided by financing act. 0 0 63,125
-------------- -------------- -------------------
Net increase (decrease) in cash (2,370) (3,160) 29,838
-------------- -------------- -------------------
Cash and cash equivalents at beg. period 32,208 36,758 0
-------------- -------------- -------------------
Cash and cash equivalents at end of period 29,838 33,598 29,838
-------------- -------------- -------------------
</TABLE>
See accompanying notes to financial statements.
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RENEGADE VENTURE CORPORATION
(A Development Stage Company)
Notes to Financial Statements (Unaudited)
NOTE 1. Renegade Venture Corporation ("Company") was incorporated in the State
of Colorado on February 13, 1989. The Company was to obtain funding
from a public offering in order to provide a vehicle to acquire or
engage in one or more business opportunities believed by management to
have a potential for profitability. The accompanying unaudited
financial statements of the Company have been prepared on the accrual
basis and in accordance with the instructions to Form 10-QSB and 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 for a fair presentation have
been included. These financial statements should be read in conjunction
with the financial statements and notes thereto included in the
Company's annual report on Form 10-KSB for the fiscal year ended
December 31, 1995.
NOTE 2. During the fiscal year ended December 31, 1995, the Company incurred a
net loss of $4,065 and, as of that date, had accumulated a deficit of
$30,977. The Company had no operations during the first quarter covered
by these statements and realized no revenues, although it incurred a
loss for the quarter of $2,310.
NOTE 3. Future working capital requirements are dependent on the Company's
ability to attain profitable operations, to restructure its financing
arrangements or capital structure, and to obtain financing or new
capital as required. It is not possible at this time to predict the
outcome of future operations, restructuring efforts, or whether the
necessary alternative financing can be arranged.
NOTE 4. A change of control of the Company occurred effective April 13, 1994 in
which the former officers and directors resigned and were replaced by
the current officers and directors, and two of the officers of the
Company sold an aggregate of 13,353,125 shares owned by them to
Corporate Communications Network, Inc., for cash. This transaction did
not involve any issuance of additional shares by the Company.
NOTE 5. Loss per common share is based on the weighted average number of common
shares outstanding during the period.
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ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION.
Business. Renegade Venture Corporation, a Colorado corporation
("Company"), is in the development stage in accordance with Financial Accounting
Standards Board Standard No. 7. The Company has not been operational, other
than occasionally searching for a business or venture to acquire, as described
below, or had revenues other than interest income since its inception.
The Company's sole business at this point is to seek to acquire assets
of or an interest in a small to medium-size company or venture actively engaged
in a business generating revenues or having immediate prospects of generating
revenues. The Company plans to acquire such assets or shares by exchanging
therefor the Company's securities. In order to avoid becoming subject to
regulation under the Investment Company Act of 1940, as amended, the Company
does not intend to enter into any transaction involving the purchase of another
corporation's stock unless the Company can acquire at least a majority interest
in that corporation. The Company has not identified any industry, segment within
an industry or type of business, nor geographic area, in which it will
concentrate its efforts, and any assets or interest acquired may be in any
industry or location, anywhere in the world. The Company will give preference to
profitable companies or ventures with a significant asset base sufficient to
support a listing on a national securities exchange or quotation on the NASDAQ
system. Members of management (all of whom are devoting part time to the
Company's affairs) plan to search for an operating business or venture which the
Company can acquire, thereby becoming an operating company. There is no
assurance that the Company will be successful in this endeavor. The Company has
no operations or source of revenues. Unless the Company succeeds in acquiring a
company or properties which provide cash flow, the Company's ability to survive
is in doubt.
Financial Condition. During the quarter ended March 31, 1996 (first
quarter of this year), the Company had no revenues and did not have any
operations. Expenses for this period were minimal, resulting in a loss of
$2,310. The Company has, since inception, accumulated a deficit (net loss)
through the end of this quarter of $33,287.
Liquidity and Capital Resources. The Company had cash on hand at the
end of the quarter of $29,838, the remnant of funds raised in its initial public
offering. The Company had no other cash or other assets, nor any current plans
to raise capital. Whether the Company ultimately becomes a going concern depends
upon its success in finding and acquiring a suitable private business and the
success of that acquired business. At this time, the Company has no commitment
for any capital expenditure and foresees none. Offices are provided without
charge to the Company. However, the Company will incur routine fees and expenses
incident to filing of periodic reports with the Securities and Exchange
Commission, and it will incur fees and expenses in the event it makes or
attempts to make an acquisition. As a practical matter, the Company expects no
significant operating costs other than professional fees payable to attorneys
and accountants.
In regard to a proposed acquisition, the Company anticipates requiring the
target company to deposit with the Company a retainer which the Company can use
to defray such professional fees and costs. In this way, the Company could avoid
the need to raise funds for such expenses or becoming indebted to such
professionals. Moreover, investigation of business ventures for potential
acquisition will involve some costs, at the least postage and long-distance
telephone charges. Management hopes, once a candidate business venture is deemed
to be appealing, to likewise secure a deposit from the business venture to
defray expenses of further investigation, such as air travel and lodging
expenses. An otherwise desirable business venture may, however, decline to post
such a deposit.
The Company has no credit available to it and is unable to borrow money.
Management does not anticipate raising funds through the sale of securities or
otherwise, and it is unlikely that significant funds could be raised in a
securities offering, in any event. This inability to raise funds could
negatively affect the Company's realization of its business purpose.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.
(a) Exhibits. NONE
(b) Reports on Form 8-K. NONE
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SIGNATURES
In accordance with the requirements of the Exchange Act, the Registrant
caused this Report on Form 10-QSB to be signed on its behalf by the undersigned,
thereunto duly authorized.
DATED: June 11, 1996
RENEGADE VENTURE CORPORATION
/s/ RANDY J. SASAKI
By ........................................
Randy J. Sasaki, Chief Executive Officer
and Chief Financial Officer
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