DEFINITION, LTD.
QUARTERLY REPORT ON FORM 10-QSB/A FOR THE
QUARTER ENDED 3/31/98 - PAGE 1U.S. SECURITIES AND EXCHANGE
COMMISSION
Washington, D.C. 20549
Form 10-QSB/A
[ X ] Quarterly Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934 for the Quarterly Period Ended
March 31, 1998
[ ] Transition Report Under Section 13 or 15(d) of the
Securities Exchange Act of 1934 for the Transition
Period from to .
Commission File No. 0-20598
Definition, Ltd.
(Name of
Small Business Issuer in its Charter)
NEVADA
75-2293489
(State or other jurisdiction of
(IRS Employer
incorporation organization)
Identification No.)
4625 West Nevso Drive, Suite 2, Las Vegas,
Nevada 89103
(Address of principle executive
offices, including zip code)
(702) 253-1333
(Issuer's telephone number, including
area code)
Securities Registered under Section 12(b) of the Exchange Act:
Title of Each Class
Name of Exchange on Which Registered
None None
Securities Registered under Section 12(g) of the Exchange Act:
Common Stock, $.001 par value per share
(Title of Class)
Check whether the issuer (1) filed all reports required to be
filed by Section 13 or 15(d) of the Exchange Act during the past
12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject of such
filing requirements for the past 90 days. Yes [ ] No [ X ]
The number of shares outstanding of the issuer's common equity
as of November 15, 1998, was 21,998,580 shares of common stock,
par value $.001.
Transitional Small Business Disclosure Format (check one): Yes [
] No [X]
DEFINITION, LTD.
FORM 10-QSB FOR THE QUARTER ENDED MARCH 31, 1998
TABLE OF CONTENTS
PART I - FINANCIAL INFORMATION
Item 1 - Financial Statements
Item 2 - Management's Discussion and Analysis of Financial
Condition and Results of Operations
PART II - OTHER INFORMATION
Item 1 - Legal Proceedings
Item 2 - Changes in Securities
Item 3 - Defaults Upon Senior Securities
Item 4 - Submission of Matters to a Vote of Security Holders
Item 5 - Other Information
Item 6 - Exhibits and Reports on Form 8-K
PART I
Item 1. Financial Statements.
Incorporated by reference only. See original Form 10QSB filed.
This form is being filed solely to include financial data
schedules which were previously omitted from original filing.
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations.
(1) Results of Operations
The Company continues to operate its TV Station with revenues
for the three months ended March 31, 1998 (Current Period) of
$27,139, compared to the three months ended March 31, 1997
(Prior Period) of $29,602, a decrease $2,463. There was no
significant increase or decrease or any unusual items effecting
revenues during either of these time periods.
The Company's General and Administrative costs increased from
$33,049 for the prior period compared to $92,600 for the current
period, for a net increase of $59,551, or 180%. The increase
was due principally to an increase in salaries of $46,500, due
to the addition of approximately seven employees. The remainder
of the increase represents additional overhead incurred for the
Company's general operating expenses, such as office supplies,
postage, rent and utilities. Consulting and other professional
fees decreased from $294,934 in the prior period to $0 in the
current period, as a result of the Company's end to an attempt
to inquire into the possible acquisition or merger with other
similar businesses in 1997. Depreciation expense decreased from
$201,407 in the prior period to $119,634 in the current period,
for a net decrease of $81,773, or 41%. The Company experienced
a net loss of $187,399 for the current period compared to net
income of the prior period of $432,174. A majority of the
Company's net income for the prior period is attributable to a
gain realized (approximately $932,000) on the sale of one-half
of the Company's Internet Video Streaming capacity in
cancellation of trade accounts payable to one trade creditor in
the amount of $1,350,000. As a result, the Company accrued
income taxes of $152,000 in the prior period to cover the gain
on the sale.
(2) Liquidity
The Company's liquidity position continues to be poor. Working
capital continues to be negative. At March 31, 1998, the
Company had a negative working capital of $51,575, as compared
to $40,865 at December 31, 1997. The decrease is related to
the increase in accounts payable for the current period.
Management anticipates revenues to increase and also intends to
seek additional funding from private or public equity
investments to meet the increased working capital needs in the
next 12 months.
PART II
Item 1. Legal Proceedings.
The Company is not currently engaged in any legal proceeding,
nor, to the Company's knowledge, is any suit or other legal
action pending or threatened.
Item 2. Changes in Securities.
During the three months ended March 31, 1998, the Company issued
shares of its common stock as follows:
1. 20,000 shares for cash at $1.00 per share, or $20,000.
Item 3. Defaults Upon Senior Securities.
None
Item 4. Submission of Matters to Vote of Security Holders.
None
Item 5. Other Information.
This form is being filed solely to include financial data
schedules which were previously omitted from original filing.
Change in President and CEO on June 17, 1999. Change of address
occurred on June 30, 1999. There have been no other changes to
the original filing.
Item 6. Exhibits and Reports on Form 8-K.
There are no exhibits to be included in this quarterly report on
Form 10-QSB.
Reports on Form 8-K: During the three months ended March 31,
1998, the Company filed, on or about March 17, 1998, a Current
Report on Form 8-K relating to its change in Registrant's
Certifying Accountant.
SIGNATURES
In accordance with Section 13 or 15(d) of the Exchange Act, the
Registrant caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
DEFINITION, LTD.
By:
/s/ Donna Anderson
President and
Chief Executive Officer
Dated: September 7, 1999
In accordance with the Exchange Act, this report has been signed
below by the following persons on behalf of the Registrant and
in the capacities and on the dates indicated.
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