SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K/A
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): April 9, 1999
Applied Computer Technology, Inc.
(Exact name of registrant as specified in its charter)
Colorado 0-26826 84-1164570
(State or other jurisdiction (Commission (I.R.S. Employer)
of incorporation) File Number) Identification
No.)
2573, Midpoint Drive, Suite D, Fort Collins, Colorado 80525
(Address of Principal executive offices) (Zip code)
Registrant's telephone number, including area code (970) 221-2555
2573, Midpoint Drive, Fort Collins, Colorado, 80525
Former Name or Former Address, If Changed Since Last Report
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Item 5. Other Events
In November of 1998 the Company shut down its manufacturing operations
as the result of operational losses and laid off substantially all of the
employees engaged in the manufacture and sale of computers. The Company has
terminated its primary lease covering approximately 2,800 sq. ft. of space
and now operates out of a 2,400 sq. ft. facility. The Company is working to
terminate its computer warranty and service obligations with its customers.
The Company retained certain employees who are involved with the Company's
internet division as well as a minimal administrative staff.
As of March 30, 1999 the Company's liabilities, depending upon resolution
of disputed claims, ranged between $4,000,000 and $5,000,000. The Company's only
asset is WEBAcess, which is a wholly subsidiary.
WEBAccess offers internet access and hosting services to businesses and
users in Ft. Collins, Denver, Colorado Springs, and Boulder, Colorado. If the
Company can obtain approximately $5,000,000 in additional capital, the Company
plans to acquire certain regional interest service providers and to expand its
internet services to include electronic commerce. As of March 30, 1999 WEBAccess
was operating on a breakeven basis.
Most of the Company's assets that were related to the Company's computer
manufacturing operations have been sold to pay outstanding obligations or are
subject to liens of secured creditors.
The Company is attempting to negotiate a settlement with it's
creditors which would allow the Company to avoid bankruptcy and continue to
operate WEBAccess. If a settlement cannot be reached, the Company may be forced
to discontinue it's operations, liquidate all remaining assets, including
WEBAccess, and distribute the proceeds to the Company's creditors.
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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.
DATE: April 9, 1999 APPLIED COMPUTER TECHNOLOGY, INC.
By: /s/ Wiley E. Prentice, Jr
Wiley E. Prentice, Jr., President
