The Company’s operations may be affected by the recent and ongoing outbreak of the coronavirus disease 2019 (COVID-19) which in March 2020, was declared a pandemic by the World Health Organization. The ultimate disruption which may be caused by the outbreak is uncertain; however, it may result in a material adverse impact on the Company’s financial position, operations and cash flows. Possible areas that may be affected include, but are not limited to, disruption to the Company’s ability to obtain funding and performing further research on certain projects.
AMANASU ENVIRONMENTAL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
March 31, 2021
(Unaudited)
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
New Accounting Pronouncements
During the three months ended March 31, 2020,2021, there have been no other material changes in the Company’s significant accounting policies to those previously disclosed in the Annual Report.
No recently issued accounting pronouncements had or are expected to have a material impact on the Company’s consolidated financial statements.
4. RELATED PARTY TRANSACTIONS
The Company receives periodic advancesloans from its principal stockholders and officers based upon the Company’s cash flow needs. There is no written loan agreement between the Company and the stockholders and officers. All advancesloans bear interest at 4.45% and no repayment terms have been established. As a result, the amount is classified as a current liability. During the three months ended March 31, 2020,2021, the Company did not borrowborrowed $1,250 from a stockholder. The balances due as of March 31, 20202021 and December 31, 20192020 were $390,570$395,350 and $390,750,$394,100, respectively. Interest expense associated with these loans were $4,392 and $4,025$4,383 for the three months ended March 31, 2020 and 2019, respectively.2021 as compared to $4,392 for the three months ended March 31, 2020. Accrued interest on these loans were $65,939$83,669 and $61,547$79,286 at March 31, 20202021 and December 31, 2019,2020, respectively.
The Company has an arrangement with Lina Maki, a stockholder of the Company, for her management consulting time. The agreement is not written, and no payment terms have been established. The fee is $10,000 annually. As of March 31, 20202021 and December 31, 20192020 amounts due to the stockholder were $32,500$42,500 and $30,000,$40,000, respectively. For the most part, these payments are made by the Company’s affiliate. As such, when the payments are made by the Company’s affiliate or the lease payments are made by the Company on behalf of the affiliate, such amounts are shown as a reduction in or addition to the amount due from affiliate in the accompany balance sheets.
The Company leases its office space in Vancouver from a stockholder of the Company at a monthly rate of $2,500 under a lease agreement which expires October 1, 2021. At March 31, 20202021 and December 31, 2020 amounts due to the stockholder were $95,808$64,308 and $$87,933,$60,371, respectively. The Company shares the space with Amanasu Techno Holdings Corp (“ATH”), a reporting company under the Securities Exchange Act of 1934. Amanasu Techno HoldingsATH Corp is responsible for 50% of the rent. As such, when the lease payments are made by the Company’s affiliate or the lease payments are made by the Company on behalf of the affiliate, such amounts are shown as a reduction in or addition to the amount due to affiliate in the accompanying balance sheets amounts due to related parties.
AMANASU ENVIRONMENTAL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
March 31, 2021
(Unaudited)
4. RELATED PARTY TRANSACTIONS (continued)
The office in New York is rented at the rate of $392approximately $360 each year and is also shared with Amanasu Techno Holdings Corp.ATH. In addition, the Company maintains an office at Suite 905, 1-6-1 Senzoku Taito-Ku Tokyo Japan. The net balances due from Amanasu Techno Holdings at March 31, 2020 and December 31, 2019 were $67,852 and $67,822, respectively.
Amanasu Corp. is the principal stockholder of the Company. The balance due to Amanasu Corp. was $50,000 and $50,000 at March 31, 20202021 and December 31, 2019,2020, respectively. Interest expense associated with this loan were $563 and $556 for the three months ended March 31, 2021, as compared to $563 for the three months ended March 31, 2020, and 2019, respectively. No terms for repayment have been established. As a result, the amount is classified as a current liability in accrued expenses.due to related parties. Accrued interest on this loan were $11,780$14,036 and $11,218$13,480 at March 31, 20202021 and December 31, 2019,2020, respectively.
5. INCOME TAXES
In accordance with the current tax laws in the U.S., the Company is subject to a corporate tax rate of 21% on its taxable income. No provision for taxes is made for U.S. income tax for the three months ended March 31, 2020 and 20192020 as it has no taxable income in the U.S.
The Company can carry forward net operating losses (NOL's) to be applied against future profits for a period of twenty years in the U.S. and 80% of the NOL can be carried forward for three years in Japan.
The Company had NOL carryforwards of approximately $3.85$3.76 million in the U.S. and $6,200 in Japan at March 31, 2020.2021. Approximately $3.65$3.48 million in the U.S. and $6,200 in Japan will expire in the years 20202021 through 2037, and $0.2$0.28 million can be carried forward indefinitely.
Deferred income taxes are recorded to reflect the tax consequences or benefits to future years of any temporary differences between the tax basis of assets and liabilities, and of net operating loss carryforwards. In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets us dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based on the assessment, management has established a full valuation allowance against all of the deferred tax assets relating to the NOL’s for every period because it is more likely than not that all of the deferred tax assets will not be realized.
AMANASU ENVIRONMENTAL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
March 31, 2020
(Unaudited)
5. INCOME TAXES (continued)
On December 22, 2017, the “Tax Cuts and Jobs Act” (“The 2017 Tax Act”) was enacted in the United States. Under the provisions of the Act, the U.S. corporate tax rate decreased from 34% to 21%. Accordingly, the Company has re-measured its deferred tax assets on net operating loss carry forwards in the U.S at the lower enacted cooperated tax rate of 21%. However, this re-measurement has no effect on the Company’s income tax expenses as the Company has provided a 100% valuation allowance on its deferred tax assets previously.
Additionally, the 2017 Tax Act implemented a modified territorial tax system and imposing a tax on previously untaxed accumulated earnings and profits (“E&P”) of foreign subsidiaries (the “Toll Charge”). The Toll Charge is based in part on the amount of E&P held in cash and other specific assets as of December 31, 2017. The Toll Charge can be paid over an eight-year period, starting in 2018, and will not accrue interest. The 2017 Tax Act also imposed a global intangible low-taxed income tax (“GILTI”), which is a new tax on certain off-shore earnings at an effective rate of 10.5% for tax years beginning after December 31, 2017 (increasing to 13.125% for tax years beginning after December 31, 2025) with a partial offset for foreign tax credits. The Company has determined that this one-time Toll Charge has no effect on the Company’s income tax expenses as the Company has no undistributed foreign earnings at either of the two testing dates of November 2, 2017 and December 31, 2017. For purposes of the inclusion of GILTI, the Company has determined that the Company has no taxable off-shore earnings as of March 31, 2020 and 2019, respectively. Therefore, this is no accrual of US income tax for GILTI as of March 31, 2020.
The extent of the Company’s operations involves dealing with uncertainties and judgments in the application of complex tax regulations in a multitude of jurisdictions. The final taxes paid are dependent upon many factors, including negotiations with taxing authorities in various jurisdictions and resolution of disputes arising from federal, state and international tax audits. The Company recognizes potential liabilities and records tax liabilities for anticipated tax audit issues in the United States and other tax jurisdictions based on its estimate of whether, and the extent to which, additional taxes will be due.
6. OPERATING LEASE LIABILITY
The Company's executive offices are located at 244 Fifth Avenue 2nd Floor New York, NY 10001 and Vancouver, British Columbia. The total premises in Vancouver are 2,000 square feet and are leased at a monthly rate of $2,500 under a lease agreement between the Company and the Secretary of the Company which expired October 1, 2019. The Company entered into a new lease with the Secretary of the Company at a monthly rate of $2,500, which expires October 1, 2021. The Company shares the space with AEC,ATH, a reporting company under the Securities Exchange Act of 1934. Our major shareholderstockholder and officer own approximately 81%86% of AEC’sATH’s outstanding shares of common stock. AECATH is responsible for 50% of the rent or $1,250 each month. The office in New York is rented at the rate of $392 each year and shares with AEC. In addition, the Company maintains an office at Suite 905, 1-6-1 Senzoku Taito-Ku Tokyo Japan, and the Company pays no rent.
Upon adoption of ASC 842, Leases, on January 1, 2019, the Company recorded $10,353 of right-of-use assets and related liabilities. This asset was fully amortized as of September 30, 2019.
AMANASU ENVIRONMENTAL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
March 31, 2021
(Unaudited)
6. OPERATING LEASE LIABILITY (continued)
The Company's lease does not provide an implicit rate, and therefore the Company uses an estimated incremental borrowing rate as the discount rate when measuring operating lease liabilities. The incremental borrowing rate represents an estimate of the interest rate the Company would incur at lease commencement to borrow an amount equal to the lease payments on a collateralized basis over the term of a lease. The Company used incremental borrowing rate of 5% for operating leases that commenced prior to that date.
On October 1, 2019, the Company commenced a new lease with its shareholder from October 1, 2019 to September 30, 2021 with a monthly paymentcalculation of approximately $1,250. As such, the Company recorded $28,492 of right-of-use assets and related operating leases liabilities. For the three months from January 1, 2020 through March 31, 2020, the Company amortized $3,450 of right-of-use assets.
AMANASU ENVIRONMENTAL CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
March 31, 2020
(Unaudited)
6. OPERATING LEASE LIABILITY (continued)
The following table reconciles the undiscounted future minimum lease under the non-cancelable operating leases with terms of more than one year to the total lease liabilities recognized on the consolidated balance sheet as of March 31, 2020:2021:
| 2020 – nine months | $11,250 |
| 2021 | 11,250 |
| Total undiscounted future minimum lease payments | 22,500 |
| Less: Difference between undiscounted lease payments and discounted lease liabilities | (866) |
| Total operating lease liabilities | 21,634 |
| Less current portion | (14,242) |
| Long-term lease liabilities | $7,392 |
| 2021- six months | $7,500 |
| Total undiscounted future minimum lease payments | 7,500 |
| Less: Difference between undiscounted lease payments and discounted lease liabilities | (108) |
| Total operating lease liabilities | 7,392 |
| Less current portion | (7,392) |
| Long-term lease liabilities | $-0- |
Total rent expense under operating leases for the three months ended March 31, 2020 and 20192021 was $3,750, andas compared to $3,750 respectivelyfor the three months ended March 31, 2020.
7. COMMITMENTS AND CONTINGENCIES
The Company is involved in various legal proceedings, claims and litigation arising in the ordinary course of business. The Company does not believe that the disposition of matter that are pending will have a material effect on its condensed consolidated financial statements.
8. SUBSEQUENT EVENTS
The Company evaluated subsequent events, which are events or transactions that occurred after March 31, 20202021 through the issuance of the accompanying financial statements and determined that no significant subsequent event need to be recognized or disclosed.
ITEMITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
This Form 10Q contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may," "future," "plan" or "planned," "will" or "should," "expected," "anticipates," "draft," "eventually" or "projected." You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a companies' annualquarterly report on Form 10-K10-Q and other filings madereports filed by such companyAmanasu Environmental Corporation and its wholly owned subsidiaries, collectively the “Company”, “we”, “our”, and “us”) from time to time with the United StatesU.S. Securities and Exchange Commission. You should consider these factors in evaluating theCommission (the “SEC”) contain or may contain forward-looking statements included herein, and information that are based upon beliefs of, and information currently available to, the Company’s management as well as estimates and assumptions made by Company’s management. Readers are cautioned not to place undue reliance on suchthese forward-looking statements, which are only predictions and speak only as of the date hereof. When used in the filings, the words “anticipate,” “believe,” “estimate,” “expect,” “future,” “intend,” “plan,” or the negative of these terms and similar expressions as they relate to the Company or the Company’s management identify forward-looking statements.
The following discussion should be read Such statements reflect the current view of the Company with respect to future events and are subject to risks, uncertainties, assumptions, and other factors, including the risks contained in conjunction with the financial statements and notes thereto included in“Risk Factors” section of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019,2020, as filed with the Securities and Exchange Commission (“SEC”) on March 30, 20202021 (the “Annual Report”), relating to the Company’s industry, the Company’s operations and results of operations, and any businesses that the Company may acquire. Should one or more of these risks or uncertainties materialize, or should the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned.
Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, levels of activity, performance, or achievements. Except as required by applicable law, including the securities laws of the United States, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results.
Our unaudited condensed consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). These accounting principles require us to make certain estimates, judgments and assumptions. We believe that the estimates, judgments and assumptions upon which we rely are reasonable based upon information available to us at the time that these estimates, judgments and assumptions are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities as of the date of the consolidated financial statements as well as the reported amounts of revenues and expenses during the periods presented. Our consolidated financial statements would be affected to the extent there are material differences between these estimates and actual results. In many cases, the accounting treatment of a particular transaction is specifically dictated by GAAP and does not require management’s judgment in its application. There are also areas in which management’s judgment in selecting any available alternative would not produce a materially different result. The following discussion should be read in conjunction with our consolidated financial statements and notes thereto appearing elsewhere in this report.
The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. As shown in the financial statements, the Company had a working capital deficiency of $654,795$729,665 and an accumulated deficit of $5,482,428$5,564,468 at March 31, 2020,2021, and a record of continuing losses. These factors, among others, raise substantial doubt about the ability of the Company to continue as a going concern. The financial statements do not include adjustments relating to the recoverability of assets and classification of liabilities that might result from the outcome of this uncertainty.
The Company's present plans, the realization of which cannot be necessary shouldassured, to overcome these difficulties include, but are not limited to, a continuing effort to investigate business acquisitions and joint ventures. The Company will also continue to investigate and develop technologies, which the Company believes have great market potential. As such, the Company may need to pursue additional sources of financing. There can be unable to continue in operation.no assurances that the Company can secure additional financing.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (continued)
General
Management’s discussion and analysis of results of operations and financial condition is intended to assist the reader in the understanding and assessment of significant changes and trends related to the results of operations and financial position of the Company together with its subsidiary. This discussion and analysis should be read in conjunction with the consolidated financial statements and accompanying financial notes, and with the Critical Accounting Policies noted below.
Plan of Operation
The Company has three main objectives. Firstly, the Company will continue in its goal to meet the capital objective of $30,000,000. Currently the company is exploring various potential investment partners in Japan, as well as China. The Company cannot predict whether it will be successful with its objective.
Second the Company will continue to support Amanasu Maritek Corporation's efforts on entering into marine technologies. The Company will assist for another 2 years in the design, and approval process for the product from at least two regulatory bodies: the Japanese Government, and the IMO (International Marine Organization). This approval process requires capital for additional product testing, documentation, and documentation translations. The Company believes that Amanasu Maritek Corporation's most significant hurdle will be in capital raising. The Company has already initiated documentation and application processes, and is now looking for capital to fund the project. The Company cannot predict whether it will be successful with its capital raising efforts.
Third, the Company is making plans to enter the reforestation industry in Japan, through Amanasu Maritek Corporation. The Company must first reach an agreement with the relevant government agencies in Japan. The Company intends to focus on the prefectures of Miyagi, Iwate and Niigata and begin operations within two years. The Company cannot predict whether it will be successful with its objective.
The Company’s operations may be affected by the recent and ongoing outbreak of the coronavirus disease 2019 (COVID-19) which in March 2020, was declared a pandemic by the World Health Organization. The ultimate disruption which may be caused by the outbreak is uncertain; however, it may result in a material adverse impact on the Company’s financial position, operations and cash flows. Possible areas that may be affected include, but are not limited to, disruption to the Company’s ability to obtain funding and performing further research on certain projects.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (continued)Results of Operations
There were no revenues for the three and three months ended March 31, 20202021 and 2019.2020.
General and administrative expenses ofdecreased $758 (3.6%) to $20,294 for the three months ended March 31, 2021 as compared to $21,052 for the three months ended March 31, 2020 modestly decreased as compared2020. These decreases are mostly attributed mostly to $21,075 for the three months ended March 31, 2019.lower travel expenses and professional fees.
As a result of the above, the Company incurred lossesa loss from operations of $21,052 and $21,075$20,294 for the three months ended March 31, 2020 and 2019, respectively.
Interest expense2021 as compared to a loss from operations of $21,052 for the three months ended March 31, 2020 was $4,9552020.
For the three months ended March 31, 2021, interest expense decreased $16 to $4,939 as compared to $4,581$4,955 for the three months ended March 31, 2019. This increase is primarily the result of the increase in advances from stockholders and officers.2020.
As a result of the above, the Company incurred a net lossesloss of $26,007 and $25,656$25,233 for the three months ended March 31, 2020 and 2019, respectively.2021 as compared to $26,007 for the three months ended March 31, 2020.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (continued)
LIQUIDITY AND CAPITAL RESOURCES
Total current assets at March 31, 20202021 were $19,054$1,161 as compared to $18,838$47 at December 31, 2019.2020. This increase is the result of the increase in the amount due from related parties.
a slightly higher cash balance. Total current liabilities as of March 31, 20202021 were $673,849$730,826 as compared to $647,340$708,890 at December 31, 2019.This2020.This increase is primarily due to increases in accrued expenses to related parties, accounts payable and accrued interest to related parties.expenses.
The Company's minimum cash requirements for the next twelve months are estimated to be $60,000, including rent, audit and professional fees. The Company does not have sufficient cash on hand to support its overhead for the next twelve months and there are no material commitments for capital at this time other than as described above. The Company will need to acquire debt or issue and sell shares to gain capital for operations or arrange for additional stockholder or related party loans. There is no current commitment for either of these fund sources.
Our working capital deficit increased $26,293$20,822 to $654,795 at$729,665at March 31, 20202021 as compared to $628,502$708,843 at December 31, 20192020 primarily due to increases in and accrued expenses andto related parties, accounts payable abd accrued interestexpenses to related parties.
During the three months ended March 31, 2020,2021, the Company had a net decreaseincrease in cash of $135.$1,114. The Company’s principal sources and uses of funds were as follows:
Cash used in operating activities. For the three months ended March 31, 2020,2021, the Company used $105$3,036 in cash for operations as compared to using $8,052$105 in cash for the three months ended March 31, 2019,2020, primarily as a result of the changelower increase in accrued expenses –to related parties.
Cash (used in) provided by financing activities. Net cash usedprovided by financing activities for the three months ended March 31, 20202021 was $30$4,150 as compared providing $5,339to using $30 for the three months ended March 31, 20192020 primarily as a result of the decrease in loans from stockholders offset partially by lower paymentsincrease in amounts due to related parties.affiliate and loans from stockholders and officers.
OFF-BALANCE SHEET ARRANAGEMENTS
The Company has no off-balance sheet arrangements.
CRITICAL ACCOUNTING POLICIES
The Company prepares its financial statements in accordance with accounting principles generally accepted in the United States of America. Preparing financial statements in accordance with generally accepted accounting principles requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reported period.
Our critical accounting policies are described in the Notes to the Financial Statements included in our Annual Report on Form 10-K for the year ended December 31, 2019,2020, as filed with the SEC on March 30, 20202021 (the “Annual Report”). There have been no changes in our critical accounting policies. Our significant accounting policies are described in our notes to the 20192020 consolidated financial statements included in our Annual Report.
RECENTLY ISSUED ACCOUNTING STANDARDS
No recently issued accounting pronouncements had or are expected to have a material impact on the Company’s condensed consolidated financial statements.
ITEMITEM 3. QUANTITATIVEQUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
Not Applicable.
ITEMITEM 4. MANAGEMENT'S REPORTREPORT ON DISCLOSURE CONTROLS AND PROCEDURES
We maintain disclosure controls and procedures designed to ensure that information required to be disclosed in the reports we file pursuant to the Securities Exchange Act of 1934, as amended (the “Exchange Act”) are recorded, processed, summarized and reported within the time periods specified in the rules and forms of the SEC, and that such information is accumulated and communicated to our Principal Executive Officer (“PEO”) and Principal Accounting Officer (“PAO”), to allow timely decisions regarding required disclosure. In designing and evaluating the disclosure controls and procedures, management recognized that any controls and procedures, no matter how well designed and operated, can only provide a reasonable assurance of achieving the desired control objectives, and in reaching a reasonable level of assurance, management necessarily was required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures. Management designed the disclosure controls and procedures to provide reasonable assurance of achieving the desired control objectives.
We carried out an evaluation, under the supervision and with the participation of our management, including our PEO and PAO, of the effectiveness of the design and operation of our disclosure controls and procedures as of the end of the period covered by this Quarterly Report. Based upon that evaluation, the PEO and PAO concluded that the Company’s disclosure controls and procedures were ineffective for the reasons discussed below. In addition, management identified the following material weaknesses in its assessment of the effectiveness of disclosure controls and procedures as of March 31, 2020.2021.
The Company did not effectively segregate certain accounting duties due to the small size of its accounting staff. A material weakness is a deficiency, or a combination of control deficiencies, in internal control over financial reporting such that there is a reasonable possibility that a material misstatement of our annual or interim consolidated financial statements will not be prevented or detected on a timely basis. Notwithstanding the determination that our internal control over financial reporting was not effective, as of March 31, 2020,2021, and that there was a material weakness as identified in this Quarterly Report, we believe that our financial statements contained in this Quarterly Report fairly present our financial position, results of operations and cash flows for the years covered hereby in all material respects.
We plan on increasing the size of our accounting staff at the appropriate time for our business and its size to ameliorate our concern that we do not effectively segregate certain accounting duties, which we believe would resolve the material weakness in disclosure controls and procedures, but there can be no assurances as to the timing of any such action or that we will be able to do so.
(b) Changes in Internal Control over Financial Reporting
There were no changes in our internal control over financial reporting, as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act, during our most recently completed fiscal quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
ITEMITEM 1. LEGALLEGAL PROCEEDINGS
We are currently not involved in any litigation that we believe could have a material adverse effect on our financial condition or results of operations. There is no action, suit, proceeding, inquiry or investigation before or by any court, public board, government agency, self-regulatory organization or body pending or, to the knowledge of the executive officers of our company or any of our subsidiaries, threatened against or affecting our company, our common stock, any of our subsidiaries or of our companies or our subsidiaries’ officers or directors in their capacities as such, in which an adverse decision could have a material adverse effect.
ITEMITEM 1A. RISKRISK FACTORS
Not applicable to smaller reporting companies.
ITEMITEM 2. UNREGISTEREDUNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
There were no unregistered sales of the Company’s equity securities during the quarter ended March 31, 20202021 other than those previously reported in a Current Report on Form 8-K.
ITEMITEM 3. DEFAULTSDEFAULTS UPON SENIOR SECURITIES
There has been no default in the payment of principal, interest, sinking or purchase fund installment, or any other material default, with respect to any indebtedness of the Company.
ITEM 4.
MINEMINE SAFETY DISCLOSURES
None.
ITEMITEM 5. OTHEROTHER INFORMATION
None.
ITEMITEM 6. EXHIBITSEXHIBITS
Furnish the Exhibits required by Item 601 of Regulation S-K (229.407 of this chapter).
| Certification of the Principal Executive Officer of Registrant pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (Rule 13a-14(a) or Rule 15d-14(a)).*Certification Pursuant To Section 302 Of The Sarbanes-Oxley Act Of 2002. |
| Certification of the Principal Accounting Officer of Registrant pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (Rule 13a-14(a) or Rule 15d-14(a)).* |
| Certification of the Principal Executive Officer pursuant to 18 U.S.C. 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.* |
| Certification of the Principal Accounting Officer pursuant to 18 U.S.C. 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.* |
| 101 INS | XBRL Instance Document* |
| | |
| 101 SCH | XBRL Schema Document* |
| | |
| 101 CAL | XBRL Calculation Linkbase Document* |
| | |
| 101 DEF | XBRL Definition Linkbase Document* |
| | |
| 101 LAB | XBRL Labels Linkbase Document* |
| | |
| 101 PRE | XBRL Presentation Linkbase Document* |
* filed herewith
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused his report to be signed on its behalf by the undersigned thereunto duly authorized.
| | Amanasu Environmental Corporation | |
| | | | |
Date: May 15, 202017, 2021 | By: | /s/ Atsushi Maki | |
| | | Atsushi Maki | |
| | | Principal Executive Officer | |
| | | Principal Accounting Officer | |