P.M. MANAGEMENT SYSTEMS, INC.
(Formerly named Process Based Management,
Inc.)
(A development stage company)
AUDIT REPORTS
FINANCIAL STATEMENTS
December 31, 1998, 1997, 1996
Janet Loss, C.P.A., P.C.
Certified Public Accountant
3525 South Tamarac Drive, Suite 120
Denver Colorado 80237
INDEX TO FINANCIAL STATEMENTS
P.M. MANAGEMENT SYSTEMS, INC.
(A development stage company)
TABLE OF CONTENTS
ITEM
PAGE
Report of Certified Public
Accountant...................... 2
Balance Sheets, December 31, 1998, 1997,
1996.............. 3
Statements of Operations, for the years
Ended December 31 , 1998, 1997,
1996............................. 4
Statements of Stockholders Equity, for
the years ended December 31, 1998,
1997, 1996........................ 5
Statements of Cash Flows, for the years
Ended December 31, 1998, 1997,
1996.............................. 6
Notes to Financial
Statements.............................. 7
Janet Loss, C.P.A., P.C.
Certified Public Accountant
3525 South Tamarac Drive, Suite 120
Denver, Colorado 80237
303-220-0227
Board of Directors
P.M. Management Systems, Inc.
(Formerly named Process Based Management,
Inc.)
404 Scott Point Drive
Salt Spring Island, BC Canada V8K2R2
I have audited the accompanying balance
sheets of P.M. Management Systems, Inc. (a
development stage company) as of December 31,
1998, 1997, 1996, and the related statements
of Operations, Stockholders Equity and Cash
Flows for the years ended December 31, 1998,
1997, 1996.
I conducted my audit in accordance with
generally accepted auditing standards. These
standards require that I plan and perform the
audit to obtain reasonable assurance about
whether the financial statements are free of
material misstatement. An audit also
includes examining, on a test basis, evidence
supporting the amounts and disclosures in the
financial statements. An audit also includes
assessing the accounting principles used and
significant estimates made by management, as
well as evaluating the overall financial
statement presentation. I believe that my
audit provides a reasonable basis for my
opinion.
In my opinion, the financial statements
referred to above present fairly, in all
material respects, the financial position of
P.M. Management Systems, Inc. (a development
stage company) as of December 31, 1998, 1997,
1996, and the results of its operations and
its cash flow for the years ended December
31, 1998, 1997, 1996.
/S/Janet Loss, C.P.A., P.C.
February 20, 1999
2
P.M. MANAGEMENT SYSTEMS, INC.
(A development stage company)
BALANCE SHEETS
December 31, 1998, 1997, 1996
ASSETS
1998 1997 1996
TOTAL ASSETS: 0 $ 0 0
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT
LIABILITIES: 0 0 0
STOCKHOLDERS' EQUITY:
Common stock, no par value per share,
Authorized, issued and outstanding
2,020,000 shares
74,150 74,150 74,150
Preferred stock, no par value,
Authorized, issued and outstanding
1,000,000 shares
1,000 1,000 1,000
Sub-total 75,150 75,150 75,150
Deficit accumulated during the
Development Stage (75,000) ( 75,000) (75,000)
Treasury stock (150) (150) (150)
TOTAL STOCKHOLDERS'
EQUITY: 0 0 0
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY: 0 0 0
The accompanying notes are an integral part
of these financial statements.
3
P.M. MANAGEMENT SYSTEMS, INC.
(A development stage company)
STATEMENTS OF OPERATIONS
For the Years ended December 31, 1998, 1997,
1996
1998 1997 1996
REVENUES: 0 0 0
OPERATING
EXPENSES: 0 0 0
NET (LOSS): 0 0 0
NET (LOSS)
COMMON PER SHARE: N/A N/A N/A
WEIGHTED AVERAGE
COMMON SHARE
OUTSTANDING: 2,020,000 2,020,000 2,020,000
The accompanying notes are an integral part
of the financial statements.
4
P.M. MANAGEMENT SYSTEMS, INC
(A development stage company)
STATEMENTS of STOCKHOLDERS EQUITY
For the years ended December 31, 1998, 1997,
1996
<TABLE>
<S> <C> <C> <C> <C> <C> <C> <C>
Deficit
Number Number Accumulated
of of
shares shares Amount Amount Treasury during the
common Preferred Common Pre- stock Development Total
ferred
Balance,
January 1,
1996 10000000 1000000 1999150 1000 (150) (75000) 1925000
Cancellation
of purchase
of Ad-A-Cab
America, LLC
& cancellation
of 7,980,000
common shares
of 00.25
January
1996 (7980000) 0 (1925000) 0 0 0 (1925000)
Net loss for
the year
ended
December 31,
1996 0 0 0 0 0 0 0
Balance,
December 31,
1996 2020000 1000000 74150 1000 (150) (75,000) 0
Net loss for
the year
ended
December 31,
1997 0 0 0 0 0 0 0
Balance
December 31,
1997 2020000 1000000 74150 1000 (150) (75,000) 0
Net loss for
the year ended
December 31,
1998 0 0 0 0 0 0 0
December 31,
1998 2020000 1000000 74150 1000 (150) (75,000) 0
</TABLE>
The accompanying notes are an integral part
of the financial statements.
5
P.M. MANAGEMENT SYSTEMS, INC
(A development stage company)
STATEMENTS OF CASH FLOWS
For the years ended December 31, 1998, 1997,
1996
1998 1997 1996
Cash Provided By (Used For)
Operating Activities:
(Loss) For the
years ended 0 0 0
Net cash provided by
investing
activities 0 0 0
Net cashed provided by
financing
activities 0 0 0
NET INCREASE
IN CASH: 0 0 0
Cash, beginning
of the period: 0 0 0
Cash, End of
the period: 0 0 0
The accompanying notes are an integral part
of these financial statements.
6
P.M. MANAGEMENT SYSTEMS. INC.
(A Development stage company)
NOTES TO FINANCIAL STATEMENTS
December 31, 1998, 1997, 1996
NOTE 1 - ORGANIZATION OF P.M. MANAGEMENT
SYSTEMS, INC.:
P.M. Management Systems, Inc. is a Colorado
Corporation and is currently in the
development stage. On May 6,1994, the
Company changed its name from Process Based
Management, Inc. to P.M. Management Systems,
Inc.
On September 5, 1994, the Company acquired
all of the outstanding ownership interests in
Ad-A-Cab America, L.L.C., a Wyoming limited
liability company. To effect the
reorganization pursuant to Section
368(a)(1)(B) of the Internal Revenue Code,
the Company issued 7,980,000 shares of its
previously authorized, but unissued, no par
value common stock.
However, for business and economic reasons,
the business venture was not successful.
Therefore, in January of 1996, the Company
terminated its ownership interests in Ad-A-
Cab America, L.L.C.. The above mentioned
$7,980,000 common shares that were issued on
September 5, 1994 were returned by Ad-A-Cab
America, L.L.C. and canceled by the Company.
The Company has been dormant since January of
1996 and has had no business activity.
NOTE 2 - RELATED PARTY TRANSACTIONS:
The Company maintains its office in space
provided by the Companys secretary pursuant
to an oral agreement on a rent free basis.
NOTE 3 - GOING CONCERN:
Since its formation, the Company has incurred
losses of $75,000. These financial
statements have been prepared on a going
concern basis and do not reflect adjustments
which would be necessary if the Company were
unable to continue as a going concern.
NOTE 4 - CURRENCY EXCHANGE:
The financial statements are presented in
dollar amounts based on the United States
Currency Exchange.
7
