SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10QSB
Quarterly Report under Section 13 or 15(d) of
the Securities Exchange Act of 1934
For Quarter Ended Commission File Number
June 30, 2000 0114873
ROCKY MOUNTAIN FINANCIAL ENTERPRISES, INC.
---------------------------------------------
(Exact name of registrant as specified in its charter)
Colorado 84-1384961
------------------------ --------------------
(State of incorporation) (I.R.S. Employer
Identification No.)
10200 W. 44th Avenue, Suite 400, Wheat Ridge, CO 80033
-------------------------------------------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (303) 422-8127
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 for such shorter period that the registrant was
required to file such reports), and (2) has been subject to the filing
requirements for at least the past 90 days.
Yes X No
----- -----
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date.
1,875,056 common shares as of June 30, 2000
<PAGE>
Part I: FINANCIAL INFORMATION
<TABLE>
<CAPTION>
ROCKY MOUNTAIN FINANCIAL ENTERPRISES, INC.
(A Development Stage Company)
(Unaudited)
BALANCE SHEETS (Stated in US Dollars)
(Unaudited--See Note 1)
ASSETS
June 30, December 31,
2000 1999
<S> <C>
Current
Cash $0 $0
------------------------ ------------------------------
$0 $0
======================== ==============================
LIABILITIES
======================== ==============================
Current
Accounts payable 67,736 $63,736
------------------------ ------------------------------
STOCKHOLDERS' EQUITY
------------------------ ------------------------------
Preferred stock, no par value,
5,000,000 shares authorized, none
issued
Common stock, no par value
20,000,000 shares authorized;
1,875,056 issued & outstanding 61,940 61,507
Deficit accumulated during the (129,676) (125,243)
development stage
------------------------ ------------------------------
Total Stockholders' Equity (67,736) (63,736)
------------------------ ------------------------------
$0 $0
======================== ==============================
</TABLE>
SEE ACCOMPANYING NOTES
F-1
<PAGE>
<TABLE>
<CAPTION>
ROCKY MOUNTAIN FINANCIAL ENTERPRISES, INC.
(A Development Stage Company)
STATEMENT OF OPERATIONS
for the three and six month periods ended June 30, 2000 and 1999
(Stated in US Dollars)
(Unaudited - See Note 1)
Three months ending Six months ending
June 20 June 30
------- --------
2000 1999 2000 1999
---- ---- ---- ----
<S> <C> <C> <C> <C>
Expenses
Amortization $- $- $- $-
General & Admin Expenses
Accounting fees - - (4,000) -
Management fees $0 $- 0 $-
-------------------- --------------------- -------------------- ------------------
Loss before the following: 0 - (4,000) -
Unauthorized distribution - - - -
Gain on Settlement of debt 0 - 0 -
-------------------- --------------------- -------------------- ------------------
Net income (loss) for the
period 0 - (4,000) -
==================== ===================== ==================== ==================
Net income per share - - (.0) -
==================== ===================== ==================== ==================
Weighted average number of
common shares outstanding 1,875,056 1,442,028 1,875,056 1,442,028
==================== ===================== ==================== ==================
</TABLE>
SEE ACCOMPANYING NOTES
F-2
<PAGE>
ROCKY MOUNTAIN FINANCIAL ENTERPRISES, INC.
(A Development Stage Company)
STATEMENT OF CASH FLOWS
for the six months ended June 30, 2000 and 1999
(Stated in US Dollars)
(Unaudited - See Note 1)
Six months ended
June 30, 2000 June 30, 1999
--------------------- -------------------
Cash flow to operating activities:
Net gain (loss) ($4,000) $0
Adjustments to reconcile net
loss to net cash used in
operations
Accounts payable 0 -
Management fees 0 -
Amortization - -
Changes in non-cash items:
Accounts payable 4,000 0
--------------------- -------------------
Net cash used in operating
activities - -
--------------------- -------------------
Cash flows to investing
activities - -
Organization costs
--------------------- -------------------
Net cash used in investing
activities: - -
--------------------- -------------------
Cash flows to financing
activities:
Proceeds from issuance of
common stock - -
Payment of offering costs - -
Contributed capital - -
--------------------- -------------------
Net cash provided by
financing activities - -
--------------------- -------------------
Net increase in cash - -
Cash, beginning of period 0 0
--------------------- -------------------
Cash, end of period $0 $0
===================== ===================
SEE ACCOMPANYING NOTES
F-3
<PAGE>
<TABLE>
<CAPTION>
ROCKY MOUNTAIN FINANCIAL ENTERPRISES, INC.
(A DEVELOPMENT STAGE COMPANY)
STATEMENT OF STOCKHOLDER'S EQUITY
<S> <C> <C> <C> <C> <C>
Deficit
Accumulated
Common Stock During the
------------------------------------------------ Development
Price per share Shares Amount Stage Totals
----------------------- ------------------ ---------------- -------------------- --------------
Balance - December 3, 1993 0 $0 $0 $0
Stock issued for services - December 3, 1993 0.001 52,000 52 0 52
------------------ ---------------- -------------------- -------------
Balance - December 31, 1993 52,000 52 0 52
------------------ ---------------- -------------------- -------------
Stock issued for services - March 31, 1994 0.001 948,000 948 0 948
Stock issued for cash - June 16, 1994 0.25 28,000 7,000 0 7,000
Stock issued for cash - July 14, 1994 0.25 800 200 0 200
Stock issued for cash - July 15, 1994 0.25 4,000 1,000 0 1,000
Stock Issued for cash - July 25, 1994 0.25 2,000 500 0 500
Stock Issued for cash - July 31, 1994 0.25 2,200 550 0 550
Stock Issued for cash - August 1, 1994 0.25 400 100 0 100
Stock Issued for cash - August 9, 1994 0.25 20,000 5,000 0 5,000
Stock Issued for cash - September 13, 1994 0.25 12,000 3,000 0 3,000
Stock Issued for services - September 15, 1994 0.25 10,000 2,500 0 2,500
Stock Issued for services - September 21, 1994 0.25 100,000 25,000 0 25,000
Stock Issued for cash - September 23, 1994 0.25 160 40 0 40
Stock Issued for cash - September 25, 1994 0.25 200 50 0 50
Stock Issued for cash - September 26, 1994 0.25 268 67 0 67
Stock Issued for cash - October 6, 1994 0.25 4,000 1,000 0 1,000
Net loss for year 0 0 (76,381) (76,381)
------------------ ---------------- -------------------- -------------
Balance - December 31, 1994 1,184,028 47,007 (76,381) (29,374)
------------------ ---------------- -------------------- -------------
Net loss for year 0 0 (8,820 (8,820)
----------------- ---------------- -------------------- -------------
Balance - December 31, 1995 1,184,028 47,007 (85,201) (38,194)
------------------ ---------------- -------------------- -------------
Stock issued for cash - February 15, 1996 0.25 8,000 2,000 0 2,000
Stock issued for cash - October 26, 1996 0.05 250,000 12,500 0 12,500
Net loss for year 0 0 (34,649) (34,649)
------------------ ---------------- -------------------- -------------
Balance - December 31, 1996 1,442,028 61,507 (119,850) (58,343)
------------------ ---------------- -------------------- -------------
Net loss for year 0 0 (3,493) (3,493)
------------------ ---------------- -------------------- -------------
Balance - December 31, 1997 1,442,028 61,507 (123,343) (61,836)
------------------ ---------------- -------------------- -------------
Net loss for year 0 0 (950) (950)
------------------ ---------------- -------------------- -------------
Balance - December 31, 1998 1,442,028 61,507 (124,293) (62,786)
------------------ ---------------- -------------------- -------------
Net loss for year 0 0 (950) (950)
------------------ ---------------- -------------------- -------------
Balance - December 31, 1999 1,442,028 $61,507 ($125,243) ($63,736)
------------------ ---------------- -------------------- -------------
Stock dividend declared & issued (see Note 7) 433,028 433 (433) 0
Net Loss for six months (4,000) (4,000)
------------------ ---------------- -------------------- -------------
1,875,056 61,940 (129,676) (67,736)
================== ================ ==================== =============
</TABLE>
The accompanying notes are an integral part of these financial statements.
F-4
<PAGE>
ROCKY MOUNTAIN FINANCIAL ENTERPRISES, INC.
(A Development Stage Company)
Notes To Financial Statements
June 30, 2000
Unaudited
Note A- Summary of Significant Accounting Policies:
A Summary of the significant accounting policies consistently applied in the
preparation of the accompanying financial statements follows:
1. Development Stage Company.
-------------------------
Rocky Mountain Financial Enterprises, Inc. was incorporated December 2, 1993
under the laws of the State of Colorado for the purpose of engaging in the
transactions of all lawful business. The Company is presently engaged in
providing consulting services as to methods of obtaining financing. Activity to
date has been primarily organization of the Company. Although the company has
commenced its principal business operations, the revenues therefrom are not
significant enough to warrant a reclassification from the status of a company in
the development stage.
The accompanying financial statements have been prepared on the going concern
basis, which contemplates the realization of assets and the satisfaction of
liabilities in the normal course of business. The company's continuation as a
going concern is dependent on its ability to generate sufficient cash flows to
meet its obligations on a timely basis, to raise additional as may be required,
and ultimately to attain successful operations. The financial statements do not
include any adjustments that might result from the outcome of this uncertainty.
2. Basis of Accounting
-------------------
The financial statements are presented on the accrual basis of accounting.
The Corporation's fiscal year end is December 31.
Organizational costs are being amortized over a 60-month period.
Cash Equivalents:
-----------------
For purposes of the statement of cash flows, the Corporation considers all cash
and other highly liquid investments with initial maturities of three months or
less to be cash equivalents.
Estimates:
----------
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect certain reported amounts and disclosures. Accordingly, actual results
could differ from those estimates.
Net Loss Per Share:
-------------------
Net loss per share is based on the weighted average number of common shares and
common share equivalents outstanding during the period.
F-5
<PAGE>
ROCKY MOUNTAIN FINANCIAL ENTERPRISES, INC.
(A Development Stage Company)
Notes To Financial Statements
June 30, 2000
Unaudited
3. Stockholders' Equity
--------------------
Of the 20,000,000 shares of no par value common stock authorized, 1,000,000
shares were issued to the officers of the Corporation for services rendered.
These services were valued at $1,000 and are included in the organizational
costs.
4. Notes Payable
-------------
Notes Payable consists of the following:
Notes Payable to G. Paul Music Ltd., 7% annual rate,
note started September 19, 1994 and matured
May 31, 1995. $10,000
Notes Payable to Sole Track, Inc.,
Non-interest bearing and uncollateralized. 17,488
Notes Payable to Steven L. Earley for $25,000
for consideration of making the loan Mr. Earley
was given 250,000 shares. This Note is a non-interest
bearing demand note. 25,000
Total Notes Payable $52,488
5. Related Party Transaction
-------------------------
The officers and directors of this company are also officers and directors of
other companies. The chairman of the board loaned the Company funds utilizing
non-interest-bearing demand notes.
6. Officers and Directors Compensation
-----------------------------------
On June 1, 1994, the Board of Directors authorized that the Company will
compensate each of its two Officers $2,000 per month and one director $500 per
month for their services to the company. The chairman stated that the
compensation referred to above has been canceled and the officers and directors
will not be paid the above mentioned remuneration.
7. On February 20, 2000, the Company approved and effected a one for one
dividend to shareholders. Existing management/principal shareholders waived
participation in the dividend.
F-6
<PAGE>
ITEM 2. MANAGEMENT DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
RESULTS OF OPERATIONS FOR THREE MONTH PERIOD IN 2000 COMPARED TO THE SAME PERIOD
IN 1999.
The Company experienced no expenses for the three month period in 2000 and $0 in
1999. The Company had no revenues for the period in 2000 or 1999. The Company
recorded no income or loss for the period in 2000 or in the same period in 1999.
The Company will probably experience losses until income can be achieved through
business operations. While the Company may seek capital sources for investment;
there is no assurance that such can be found.
RESULTS OF OPERATIONS FOR THE SIX MONTHS ENDED JUNE 30, 2000, COMPARED TO THE
SAME PERIOD IN 1999.
The Company had no revenues from operations for the six month period in 2000 or
in 1999. The Company incurred operating operating expenses of $4,000 for audit
costs in the period in 2000. The Company had no income or loss in the period in
1999 compared to a loss of ($4,000) for the period in 2000.
Losses will probably continue until business revenues can be achieved of which
there is no assurance.
LIQUIDITY AND CAPITAL RESOURCES
The Company had no cash capital at the end of the period. The Company will be
forced to either borrow or make private placements of stock in order to fund
operations. No assurance exists as to the ability to achieve loans or make
private placements of stock.
PART II - OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
None
ITEM 2. CHANGES IN SECURITIES
None
ITEM 3. DEFAULT UPON SENIOR SECURITIES
None
<PAGE>
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
None
ITEM 5. OTHER INFORMATION
None
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
No reports on Form 8-K were made for the period for which this report
is filed.
<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 thereunto duly authorized.
Date: August 14, 2000
ROCKY MOUNTAIN FINANCIAL ENTERPRISES, INC.
/s/ Gregory Boyd
-------------------------------------------
Gregory Boyd, President
