Anoteros (ANOS) 10-Q 17 Dec 13 2013 Q2 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
	Jun. 30, 2013	Dec. 13, 2013
Document and Entity Information	'	'
Entity Registrant Name	'ANOTEROS, INC.	'
Document Type	'10-Q	'
Document Period End Date	30-Jun-13	'
Amendment Flag	'false	'
Entity Central Index Key	'0001390292	'
Current Fiscal Year End Date	'--12-31	'
Entity Common Stock, Shares Outstanding	'	47,375,913
Entity Filer Category	'Smaller Reporting Company	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Well-known Seasoned Issuer	'No	'
Document Fiscal Year Focus	'2013	'
Document Fiscal Period Focus	'Q2	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (Unaudited) (USD $)	Jun. 30, 2013	Dec. 31, 2012
CURRENT ASSETS	'	'
Cash	$112	$26
Total Current Assets	112	26
TOTAL ASSETS	112	26
CURRENT LIABILITIES	'	'
Accounts payable and accrued expenses	759,854	753,660
Accounts payable and accrued expenses related party	90,596	66,200
Judgment payable	167,830	161,044
Accrued interest	143,504	131,630
Bank overdraft	305	850
Notes payable - related party	49,300	20,500
Notes payable	82,877	82,877
Convertible debentures	90,000	90,000
Total Current Liabilities	1,384,266	1,306,761
TOTAL LIABILITIES	1,384,266	1,306,761
STOCKHOLDERS' DEFICIT	'	'
Preferred stock; 25,000,000 shares authorized, $0.001 par value, no shares issued and outstanding	'	'
Common stock; 100,000,000 shares authorized, at $0.001 par value, 47,375,913 shares issued and outstanding	47,376	47,376
Additional paid-in capital	22,463,824	22,463,824
Accumulated deficit	-23,895,354	-23,817,935
Total Stockholders' Deficit	-1,384,154	-1,306,735
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$112	$26

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Jun. 30, 2013	Dec. 31, 2012
Statement of Financial Position	'	'
Common Stock, par or stated value	$0.00	$0.00
Common Stock, shares authorized	100,000,000	140,000,000
Common Stock, shares issued	47,375,913	47,375,913
Common Stock, shares outstanding	47,375,913	47,375,913
Preferred Stock, par or stated value	$0.00	$0.00
Preferred Stock, shares authorized	25,000,000	25,000,000
Preferred Stock, shares issued	0	0
Preferred Stock, shares outstanding	0	0

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations(Unaudited) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012
Income Statement	'	'	'	'
REVENUES	$136	$534	$488	$1,615
COST OF SALES	'	'	'	'
GROSS PROFIT	136	534	488	1,615
OPERATING EXPENSES	'	'	'	'
Professional fees	14,233	28,292	22,455	41,254
Bad debt expense	'	37,500	'	37,500
Wages and payroll	14,466	114,647	29,466	329,648
General and administrative	4,428	6,301	7,326	7,429
Total Operating Expenses	33,127	186,740	59,247	415,831
OPERATING LOSS	-32,991	-186,206	-58,759	-414,216
OTHER EXPENSE	'	'	'	'
Interest expense	-11,157	-6,990	-18,660	-13,406
Total Other Expense	-11,157	-6,990	-18,660	-13,406
LOSS BEFORE INCOME TAXES	-44,148	-193,196	-77,419	-427,622
NET LOSS	($44,148)	($193,196)	($77,419)	($427,622)
BASIC AND DILUTED LOSS PER SHARE	$0	$0	$0	($0.01)
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING: BASIC AND DILUTED	47,375,913	54,549,752	47,375,913	54,362,939

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $)	6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012
OPERATING ACTIVITIES	'	'
Net loss	($77,419)	($427,622)
Adjustments to reconcile net loss to net cash used by operating activities:	'	'
Common stock issued for services	'	200,000
Warrants and options issued for services	'	99,647
Bad debt expense	'	37,500
Changes in operating assets and liabilities	'	'
Accrued interest	11,874	'
Accounts payable and accrued expenses	6,194	27,698
Judgment payable	6,786	'
Related party accounts payable and accrued expenses	24,396	20,116
Net Cash Used in Operating Activities	-28,169	-42,661
FINANCING ACTIVITIES	'	'
Bank overdraft	-545	-113
Proceeds from related party payables	28,800	'
Proceeds from notes payable	'	46,000
Net Cash Provided by Financing Activities	28,255	45,887
NET CHANGE IN CASH	86	3,226
CASH AT BEGINNING OF PERIOD	26	'
CASH AT END OF PERIOD	112	3,226
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION	'	'
CASH PAID FOR: Interest	'	'
CASH PAID FOR: Income Taxes	'	'

Note_1_Summary_of_Significant_

Note 1 - Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 1 - Summary of Significant Accounting Policies	'
	NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
	The accompanying unaudited balance sheet of the Company at June 30, 2013 and related unaudited statements of operations, and cash flows for the three and six months ended June 30, 2013 and 2012, have been prepared by management in accordance with the requirements for unaudited interim periods, and consequently do not include all disclosures required to be made in conformity with United States generally accepted accounting principles.  In the opinion of management, all adjustments considered necessary for a fair presentation of the results of operations and financial position have been included and all such adjustments are of a normal recurring nature.  It is suggested that these financial statements be read in conjunction with the financial statements and notes thereto included in the December 31, 2012 audited financial statements.  Operating results for the period ended June 30, 2013, are not necessarily indicative of the results that can be expected for the fiscal year ending December 31, 2013 or any other subsequent period.

Note_2_Going_Concern

Note 2 - Going Concern	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 2 - Going Concern	'
	NOTE 2 – GOING CONCERN
	The Company's financial statements are prepared using generally accepted accounting principles in the United States of America applicable to a going concern which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has not yet established an ongoing source of revenues sufficient to cover its operating costs and allow it to continue as a going concern.  During the six months ended June 30, 2013 the Company realized a net loss of $77,419 and has incurred an accumulated deficit of $23,895,354.  The ability of the Company to continue as a going concern is dependent on the Company obtaining adequate capital to fund operating losses until it becomes profitable. If the Company is unable to obtain adequate capital, it could be forced to cease operations.
	In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management's plan is to obtain such resources for the Company by obtaining capital from management and significant shareholders sufficient to meet its minimal operating expenses and seeking equity and/or debt financing. However management cannot provide any assurances that the Company will be successful in accomplishing any of its plans.
	The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

Note_3_Significant_Accounting_

Note 3 - Significant Accounting Policies	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 3 - Significant Accounting Policies	'
	NOTE 3 – SIGNIFICANT ACCOUNTING POLICIES
	Use of Estimates
	The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
	Principles of Consolidation
	The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, COA Holdings, Inc.  All significant intercompany balances and transactions have been eliminated.
	Recent Accounting Pronouncements
	The Company has evaluated recent accounting pronouncements and their adoption has not had or is not expected to have a material impact on the Company’s financial position, or statements.
	Basic and Diluted Net income (Loss) per Share
	The Company computes net income (loss) per share in accordance with ASC 260 which requires presentation of both basic and diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing Diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants or the conversion of convertible debt. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive.  For the six-month periods ended June 30, 2013 and 2012, the Company’s -0- and 1,645,944 warrants and options, respectively, are excluded from the computation of diluted earnings per share as they are anti-dilutive.  In addition, the 190,278 and 182,245 shares issuable upon conversion of convertible debt at June 30, 2013 and December 31, 2012, respectively, are also excluded from the computation of diluted earnings per share as they are anti-dilutive.

Note_4_Related_Party_Transacti

Note 4 - Related Party Transactions	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 4 - Related Party Transactions	'
	NOTE 4 – RELATED PARTY TRANSACTIONS
	Accounts Payable and Accrued Expenses
	During the six months ended June 30, 2013 the Company accrued $60,000 in unpaid salary due to its chief financial officer, and made payments of $15,270.
	Notes Payable – Related Parties
	During the year ended December 31, 2012 the Company borrowed an aggregate total of $20,500 from various related parties.  These notes are unsecured, accrue no interest, and are due on demand.  During the six months ended June 30, 2013, the Company borrowed an additional $28,800 under the same terms.  The outstanding principal balance on the notes totaled $49,300 and $20,500 as of June 30, 2013 and December 31, 2012, respectively.

Note_5_Notes_Payable

Note 5 - Notes Payable	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 5 - Notes Payable	'
	NOTE 5 – NOTES PAYABLE
	At June 30, 2013 and December 31, 2012, the Company had outstanding notes payable of $82,877. The notes bear interest from 10 percent to 12 percent per annum, with one non-interest bearing note, are unsecured and due on demand.
	During the six months ended June 30, 2013 and the year ended December 31, 2012, the Company made no new borrowings on these notes, and made no principal payments. The Company accrued interest on the notes in the amounts of $3,841 and $7,766 for the six months ended June 30, 2013 and the year ended December 31, 2012, respectively.

Note_6_Notes_Payable_Related_P

Note 6 - Notes Payable - Related Party	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 6 - Notes Payable - Related Party	'
	NOTE 6 – NOTES PAYABLE – RELATED PARTY
	At June 30, 2013 and December 31, 2012, the Company had outstanding notes payable to related parties totaling $49,300 and $20,500, respectively. The notes are unsecured, non-interest bearing and are due on demand.

Note_7_Convertible_Debentures

Note 7 - Convertible Debentures	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 7 - Convertible Debentures	'
	NOTE 7 – CONVERTIBLE DEBENTURES
	At June 30, 2013 and December 31, 2012 the Company had three outstanding convertible debentures totaling an aggregate of $90,000.  These debentures are due to various unrelated parties and were originated during the 2005 and 2007 fiscal years.  The debentures are convertible into shares of the Company’s common stock at a conversion price of $1.00 per share.  Each of the debentures in currently in default, and is accruing interest at the default rate of 18 percent per annum.  The Company accrued interest on the notes in the amounts of $8,033 and $17,448 for the six months ended June 30, 2013 and the year ended December 31, 2012, respectively.  As of June 30, 2013 and December 31, 2012 the Company had a total of $100,278 and $92,245 in accrued interest payable relating to these debentures.

Note_8_Common_Stock

Note 8 - Common Stock	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 8 - Common Stock	'
	NOTE 8 – COMMON STOCK
	On January 30, 2012, the Company issued 739,128 shares of common stock to officers for services rendered totaling $111,608.
	On August 22, 2012, The Company issued 6,000,000 shares of common stock to Robert O’Conner pursuant to an indemnity agreement with Mr. O’Conner to settle the debt owed to Mr. O’Conner relating to the Credit Line with South Bay Capital. As of the issuance date of August, 22, 2012 the Company owed $260,500 in principal and $9,499 in accrued interest on the Credit Line. The issuance fully satisfied the debt.
	On May 8, 2012 the Company cancelled 13,173,839 shares of common stock pursuant to a Settlement Agreement and General Mutual Release with several former officers and directors.

Note_9_Warrants_and_Options

Note 9 - Warrants and Options	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 9 - Warrants and Options	'
	NOTE 9 – WARRANTS AND OPTIONS
	A summary of the status of the Company’s options and warrants as of June 30, 2013 and changes during the periods from December 31, 2010 through June 30, 2013 is presented below:
		Description			Warrant Shares		Exercise Price	Value if Exercised
	Outstanding at 12/31/10		1,645,944	$0.95		$1,563,647
	Granted		1,000,000	$3.00		$3,000,000
	Exercised		-	-		-
	Cancelled		-	-		-
	Expired		-	-		-
	Outstanding at 12/31/11		2,645,944	1.72		$4,563,647
	Granted		-	-		-
	Exercised		-	-		-
	Cancelled		-1,000,000	$3.00		($3,000,000)
	Expired		-	-		-
	Outstanding at 12/31/12		1,645,944	$0.95		$1,563,647
	Granted		-	-		-
	Exercised		-	-		-
	Cancelled		-	-		-
	Expired		-1,645,944	-		-
	Outstanding at 6/30/13		-	-		-
	The warrants were granted in connection with the common stock offering and debt conversion and were valued using the Black-Scholes Options Pricing Model.

Note_10_Significant_Events

Note 10 - Significant Events	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 10 - Significant Events	'
	NOTE 10 – SIGNIFICANT EVENTS
	Prior Period Misstatement
	During the period ended June 30, 2013 the Company received notification that it was responsible for certain past-due payroll tax liabilities incurred by the Company in 2009 and 2010, prior to the Anoteros/COA Holdings merger. The Company determined that the payroll tax transactions had not been recorded during the 2009 and 2010 fiscal years.  As a result, the Company has erroneously understated accrued payroll lax liabilities and accumulated deficit by $171,984 in all reporting periods subsequent to the Anoteros/COA merger in April, 2011.  Upon discovery of this error, the Company performed an evaluation of the error pursuant to the SEC’s Staff Accounting Bulletin No. 108, “Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements (“SAB 108”).  As a result of the evaluation of the error under SAB 108, the Company determined that the error was not material, in any qualitative or quantitative sense, to the Company’s previously audited financial statements, and therefore, no restatements were necessary.  Pursuant to SAB 108, the correcting adjustment has been reflected in these financial statements as an increase of $171,984 to Accounts payable and accrued expenses and a corresponding increase in accumulated deficit.

Note_11_Subsequent_Events

Note 11 - Subsequent Events	6 Months Ended
	Jun. 30, 2013
Notes	'
Note 11 - Subsequent Events	'
	NOTE 11 – SUBSEQUENT EVENTS
	Management performed an evaluation of Company activity through the date the financial statements were issued, and has concluded that there are no other significant subsequent events requiring disclosure.

Note_3_Significant_Accounting_1

Note 3 - Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2013
Policies	'
Use of Estimates	'
	Use of Estimates
	The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
Principles of Consolidation	'
	Principles of Consolidation
	The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, COA Holdings, Inc.  All significant intercompany balances and transactions have been eliminated.
Recent Accounting Pronouncements	'
	Recent Accounting Pronouncements
	The Company has evaluated recent accounting pronouncements and their adoption has not had or is not expected to have a material impact on the Company’s financial position, or statements.
Basic and Diluted Net Income (loss) Per Share	'
	Basic and Diluted Net income (Loss) per Share
	The Company computes net income (loss) per share in accordance with ASC 260 which requires presentation of both basic and diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing Diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants or the conversion of convertible debt. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive.  For the six-month periods ended June 30, 2013 and 2012, the Company’s -0- and 1,645,944 warrants and options, respectively, are excluded from the computation of diluted earnings per share as they are anti-dilutive.  In addition, the 190,278 and 182,245 shares issuable upon conversion of convertible debt at June 30, 2013 and December 31, 2012, respectively, are also excluded from the computation of diluted earnings per share as they are anti-dilutive.

Note_9_Warrants_and_Options_Sc

Note 9 - Warrants and Options: Schedule of Stockholders' Equity Note, Warrants or Rights (Tables)	6 Months Ended
	Jun. 30, 2013
Tables/Schedules	'
Schedule of Stockholders' Equity Note, Warrants or Rights	'
		Description			Warrant Shares		Exercise Price	Value if Exercised
	Outstanding at 12/31/10		1,645,944	$0.95		$1,563,647
	Granted		1,000,000	$3.00		$3,000,000
	Exercised		-	-		-
	Cancelled		-	-		-
	Expired		-	-		-
	Outstanding at 12/31/11		2,645,944	1.72		$4,563,647
	Granted		-	-		-
	Exercised		-	-		-
	Cancelled		-1,000,000	$3.00		($3,000,000)
	Expired		-	-		-
	Outstanding at 12/31/12		1,645,944	$0.95		$1,563,647
	Granted		-	-		-
	Exercised		-	-		-
	Cancelled		-	-		-
	Expired		-1,645,944	-		-
	Outstanding at 6/30/13		-	-		-

Note_2_Going_Concern_Details

Note 2 - Going Concern (Details) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Jun. 30, 2012	Dec. 31, 2012
Details	'	'	'	'	'
Net loss	$44,148	$193,196	$77,419	$427,622	'
Accumulated deficit	$23,895,354	'	$23,895,354	'	$23,817,935

Note_3_Significant_Accounting_2

Note 3 - Significant Accounting Policies: Basic and Diluted Net Income (loss) Per Share (Details)	6 Months Ended			12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2013	Dec. 31, 2012
			Convertible Common Stock	Convertible Common Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	0	1,645,944	190,278	182,245

Note_4_Related_Party_Transacti1

Note 4 - Related Party Transactions (Details) (USD $)	6 Months Ended
	Jun. 30, 2013	Dec. 31, 2012
Details	'	'
Accrued Salaries, Current	$60,000	'
Payments to Employees	15,270	'
Notes payable - related party	49,300	20,500
Proceeds from related party payables	$28,800	'

Note_5_Notes_Payable_Details

Note 5 - Notes Payable (Details) (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012
Details	'	'
Notes payable	$82,877	$82,877
Interest and Debt Expense	$3,841	$7,766

Note_6_Notes_Payable_Related_P1

Note 6 - Notes Payable - Related Party (Details) (USD $)	Jun. 30, 2013	Dec. 31, 2012
Details	'	'
Notes payable - related party	$49,300	$20,500

Note_7_Convertible_Debentures_

Note 7 - Convertible Debentures (Details) (USD $)	Jun. 30, 2013	Dec. 31, 2012
Convertible Debt	$90,000	'
Debt Instrument, Convertible, Conversion Price	$1	'
Accrued interest	143,504	131,630
Convertible Debt	'	'
Accrued interest	$100,278	$92,245

Note_8_Common_Stock_Details

Note 8 - Common Stock (Details) (USD $)	3 Months Ended
	Sep. 30, 2012	Mar. 31, 2012	Aug. 22, 2012
Details	'	'	'
Common stock issued for services, shares	'	739,128	'
Common stock issued for services	'	$111,608	'
Common stock issued for debt, shares	6,000,000	'	'
Line of Credit Facility, Amount Outstanding	'	'	260,500
Line of Credit Facility, Increase, Accrued Interest	$9,499	'	'
Stock Issued During Period, Shares, Share-based Compensation, Forfeited	13,173,839	'	'

Note_9_Warrants_and_Options_Sc1

Note 9 - Warrants and Options: Schedule of Stockholders' Equity Note, Warrants or Rights (Details) (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2013	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Details	'	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number	0	1,645,944	2,645,944	1,645,944
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Intrinsic Value	'	$0.95	$1.72	$0.95
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Total Share-based Liabilities Paid	'	$1,563,647	$4,563,647	$1,563,647
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Granted	'	'	1,000,000	'
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Intrinsic Value	'	'	$3	'
Share Based Compensation Other Than Option Exercise Price	'	'	3,000,000	'
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Intrinsic Value	'	$3	'	'
Share Based Compensation Other Than Options Cancelled, Exercise Price	'	($3,000,000)	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Expirations	-1,645,944	'	'	'

Note_10_Significant_Events_Det

Note 10 - Significant Events (Details)	6 Months Ended
	Jun. 30, 2013
Details	'
Increase to Accumulated Deficit and Accounts Payable and Accrued Expenses Due to Prior Period Mistatement	171,984