SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of Earliest Event Reported):
January 7, 1998
PARADIGM MEDICAL INDUSTRIES, INC.
---------------------------------
(Exact name of registrant as specified in this Charter)
Utah 0-28498 87-0459536
- ----------------------- ------------------ ----------------
(State or other (Commission File (IRS Employer
jurisdiction of Number) Idenitification
No.)
1127 West 2320 South, Suite A, Salt Lake City, Utah 84119
- --------------------------------------------------- ---------
(Address of principal executive offices) (Zip Code)
Registrant's Telephone Number, Including Area Code:
(801) 977-8970
---------------
Does Not Apply
-------------------------------------
(Former name or former address, if changed since last report)
<PAGE>
ITEM 7. Financial Statements and Exhibits
(b) The following pro forma statements of Paradigm
Medical Industries, Inc. are included herein:
Pro Forma Condensed Consolidated Balance Sheet as of
November 30, 1997 (unaudited)
Pro Forma Condensed Consolidated Statement of
Operations for the month ended November 30, 1997
(unaudited)
<PAGE>
PARADIGM MEDICAL INDUSTRIES, INC.
BALANCE SHEETS
(UNAUDITED)
<TABLE>
<CAPTION>
Pro forma
November 30, as of
1997 November 30,
------------ 1997 (a)
(Unaudited) ------------
<S> <C> <C>
ASSETS
Current assets:
Cash and cash equivalents $ 144,618 $ 581,218
Marketable debt securities 275 500,275
Trade accounts receivable 190,042 190,042
Inventories 998,274 998,274
Prepaid expenses 19,439 19,439
---------- -----------
Total current assets 1,352,648 2,289,248
Deferred charges, net 327,960 461,360
Property and equipment, net 115,039 115,039
---------- -----------
Total assets $1,795,647 $ 2,865,647
========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Trade accounts payable $ 385,171 $ 385,171
Accounts payable -
related parties 411,067 411,067
Accrued expenses 307,407 307,407
Note payable to bank - current 3,445 3,445
Purchase deposit 42,000 42,000
---------- ----------
Total current liabilities 1,149,090 1,149,090
Note payable, less current portion 12,035 12,035
12% convertible redeemable notes
due 12/08/2000(a) 1,070,000
---------- ----------
Total liabilities 1,161,125 2,231,125
========== ==========
Stockholders' equity:
Preferred stock, $.001 par
value, authorized:
5,000,000 shares
Series A, $.001 par value,
authorized: 500,000
shares; issued and
outstanding: 122,764
shares at December 31,
1996 and 53,302 shares
at November 30, 1997
(aggregate liquidation
preference of $233,208
at November 30, 1997) 53 53
Series B, $.001 par value,
authorized: 500,000
shares; issued and
outstanding: 448,398
shares at December 31,
1996 and 60,573 shares
at November 30, 1997
(aggregate liquidation
preference of $242,292
at November 30, 1997) 61 61
Additional paid-in capital,
preferred stock 76,186 76,186
Common stock, $.001 par value,
authorized: 20,000,000
shares; issued and outstanding:
3,194,061 shares at December 31,
1996 and 3,773,641 shares at
November 30, 1997 3,774 3,774
Additional paid-in capital,
common stock 8,195,501 8,195,501
Treasury stock, 2,600 shares,
at cost (3,777) (3,777)
Unearned compensation (6,314) (6,314)
Accumulated deficit (7,630,962) (7,630,962)
Unrealized gain on marketable
debt securities, available-
for-sale
---------- ----------
Total stockholders' equity 634,522 634,522
---------- ----------
Total liabilities and
stockholders' equity $ 1,795,647 $ 2,865,647
=========== ===========
</TABLE>
(a) Paradigm Medical Industries, Inc. (the "Company") is
offering up to 40 Units in a private offering, each Unit
consisting of a $50,000 unsecured 12% convertible, redeemable
Promissory Note maturing in three years and convertible into
shares of the Company's common stock at $2.00 per share.
Subscriptions for 21.4 Units, aggregating $1,070,000, have
been accepted by the Company and the initial closing occurred on
December 8, 1997. The Company and the Placement Agent have
agreed to extend the offering to January 31, 1998 or earlier if
all Units are fully subscribed for prior to January 31, 1998. In
addition, the Company has granted the Placement Agent a five day
option to purchase up to six additional Units.
<PAGE>
PARADIGM MEDICAL INDUSTRIES, INC.
STATEMENT OF OPERATIONS
For the Month Ended November 30, 1997
(Unaudited)
<TABLE>
<CAPTION>
One Month Ended
November 30, 1997
-----------------
(Unaudited)
<S> <C>
Sales $ 178,330
Cost of sales 61,459
Amortization of deferred charges 6,188 (a)
------------
Net cost of sales 67,647
Gross profit $ 110,683
------------
Gross margin 62%
Operating expenses:
Marketing and selling 62,485 (a)
General and administrative 101,881 (a)
Research and development 18,528 (a)
------------
Total operating expenses 182,894 (a)
------------
Operating loss $ (72,211)
Interest income 733
Interest expense 12
------------
Total other income (expense) 761
Net Loss $ (71,450)
============
Net loss attributable to
common shareholders $ (0.02)
Shares used in computing
net loss per common share 3,773,641
Note (a) Non-cash items
Amortization of deferred charges $ 6,188
Deferred officers salaries 16,250
Depreciation 2,358
--------
Total non-cash items $ 24,796
========
</TABLE>
<PAGE>
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 hereunto duly authorized.
PARADIGM MEDICAL INDUSTRIES, INC.
(Registrant)
Date: January 7, 1998 By: John W. Hemmer
Treasurer and Chief
Financial Officer
