Form 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D~C. 20549
Quarterly Report Under Section 13 or 15(d)
of the Securities Exchange Act of 1934
For Quarter Ended: September 30, 1997
Commission File Number: 0-19505
NATIONAL ADVERTlSING GROUP, INC.
(exact name of registrant as specified in its charter)
Florida 65-274107
(State or other jurisdiction of (IRS Employer I.D. No.)
Incorporation of organization)
P.O. Box 403624, Miami Beach, Florida 33140
(Address of principal executive offices)
(305) 535-9700
(Registrant's telephone number, including area code)
________________________________________________
(former name, address and former fiscal year, if changed
from last report)
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 and Exchange Act of 1934 during the preceding
12 months (or for such short period that the registrant was
required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.
$3
YES X NO
APPLICABLE ONLY TO CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the
issuer's classes of Common Stock, as of the latest
practicable date.
As of September 30, 1997 there were 10,000,000 shares of
Common Stock outstanding
PART I - FINANCIAL INFORMATlON
Item 1. Financial Statements.
See financial statements for the three month period ended
September 30, 1997, (unaudited), attached as an exhibit.
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations.
The Registrant has not, as of the end of the three month
period ended September 30, 1997, commenced active business
operations. As of September 30, 1997 the Registrant had
total assets of $0 which consists of Total Stockholders'
Equity.
The Registrant has no reasonable basis for comparison with
respect to its quarterly financial results in that the
Company has not yet commenced its business operations.
PART II - OTHER INFORMATION
Item 1-5. Not Applicable
Item 6. Exhibits.
Financial Statements (unaudited) of National Advertising
Group, Inc. for the three month period ended September 30,
1997
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.
Registrant:
NATIONAL ADVERTlSING GROUP, INC.
By:___________________________
JAMES CHOW
President
Date: May 26, 1998
NATIONAL ADVERTISING GROUP, INC
(A DEVELOPMENT STAGE COMPANY)
BALANCE SHEET
SEPTEMBER 30, 1997 (UNAUDITED) AND DECEMBER 31, 1996
(AUDITED)
UNAUDITED AUDITED
09/30/97 12/31/96
ASSET
Cash $ - 0 - $ - 0 -
Other Asset:
Organizational Costs 70 70
Accumulated Amortization (70) (70)
Total Assets 0 0
LIABILITIES AND SHAREHOLDERS' EQUITY
(DEFICIENCY IN ASSETS)
Liabilities:
Accrued expenses $0 $ 1,000
Shareholders' Equity
(Deficiency in assets):
Common Stock, par value $0.001
per share; 10,000,000 shares authorized,
issued and outstanding-1,000,000 $ 9,400 $ 9,400
Additional Paid-In Capital 11,190 6,690
Preferred Stock, par value $.10 per
share; 10,000,000 shares authorized,
no shares issued and outstanding - 0 - - 0 -
Deficit accumulated during the
development stage
(20,590) (16,083)
Total Shareholders' Equity
(Deficiency in assets) 0 (1,000)
Total Liabilities and Stockholders'
Equity $ -0- $ -0-
See accompanying Notes to Financial Statements
F-I
NATIONAL ADVERTISING GROUP, INC.
(A DEVELOPMENT STAGE COMPANY)
STATEMENT OF OPERATIONS
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
(UNAUDITED)
1997 1996
Revenues $ - 0 - $ - 0 -
Total Revenues $ - 0 - $ - 0 -
Expenses:
Accounting and professional fees $ -0-
Amortization $ -0- $ 4
Total Expenses $ -0- $ 4
Net Loss $ -0- $( 4)
See Accompanying Notes to Financial Statements
F-2
NATIONAL ADVERTISING GROUP, INC.
(A DEVELOPMENT STAGE COMPANY)
STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
(UNAUDITED)
1997 1996
Shareholders' Equity:
Beginning of period $ 0 $ 10
Additions $ 0 $ 0
Deductions
Net loss for the three months
ended September 30, 1997
Deficit accumulated during
development stage $ 0 $ (10)
Ending balance as of September 30 $ 0 $ -0-
See Accompanying Notes to Financial Statements
F-3
NATIONAL ADVERTISING GROUP, INC.
(A DEVELOPMENT STAGE COMPANY)
STATEMENT OF CASH FLOW
THREE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
1997 1996
CASH FLOW FROM OPERATING ACTIVITIES
Net loss $ (0) $ (4)
Adjustment to reconcile net
loss to Net cash used by
operating activities:
Amortization $ 0 $ 4
Net cash used by operating
activities $ 0 $ 0
CASH FLOW FROM INVESTING ACTIVITIES $ 0 $ 0
CASH FLOW FROM FINANCING ACTIVITIES $ 0 $ 0
NET INCREASE (DECREASE) IN CASH $ 0 $ 0
Cash - Beginning of Period $ 0 $ 0
Cash - End of Period $ 0 $ 0
See Accompanying Notes to Financial Statements
F-4
NATIONAL ADVERTISING GROUP, INC.
(A DEVELOPMENT STAGE COMPANY)
NOTES TO FINANCIAL STATEMENTS
(UNAUDITED)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Business Activity
National Advertising Group, Inc. (the Company) was organized
under the laws of the State of Florida on July 25, 1991. The
Company is a development stage entity which has not yet
commenced business operations. The Company intends to
acquire an operating entity, however, it has not yet
targeted an acquisition.
Organizational Costs
Organizational costs consist of expenditures incurred in the
formation of the company. These costs are being amortized
ratably over a period of sixty months.
NOTE 2 - In the opinion of management the accompanying
unaudited financial statements contain all adjustments
necessary to present fairly National Advertising Group,
Inc.'s financial position as of September 30, 1997 and the
results of its operations, changes in the shareholders'
equity and cash flows for the three months then ended.
NOTE 3 - On April 10, 1997, the Company reversed split its
outstanding shares of common stock 1 for 10, thereby
reducing the number of shares outstanding to 1,000,000.
NOTE 4 - On April 10,1997, subsequent to the reverse split
referred to in Note 3, the Company issued 9,000,000 shares
of its common stock to Florida Atlantic Group, Inc. for
services, bringing the number of shares outstanding to
10,000,000.
NOTE 5 - On May 22, 1997, Florida Atlantic Group, Inc. sold
9,000,000 shares of its common stock to Inter-Global
Investments, Inc.
F-5
