SSI International (SSIT) 10-Q 2011 Q2 Quarterly report

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 10-Q

(Mark One)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended April 30, 2011

or

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____ to _____

Commission file number:   ___________

Rider Exploration, Inc.

(Exact name of Registrant as specified in Its charter)

Nevada	26-1094531
(State or other jurisdiction of incorporation or organization)	(IRS Employer Identification No.)

955 South Virginia Ste. 116, Reno, NV 89502.

(Address of principal executive offices)

775-284-0370

(Issuer’s telephone number)

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

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 such filing requirements for the past 90 days.  Yes x No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes o No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definition of “large accelerated filer”, “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer  o	Accelerated filer  o	Non-accelerated filer   o	Smaller reporting company   x
		(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes x No o

As of  May 15, 2011, there were 38,582,400 common shares outstanding. 

Table of Contents
		Page
PART I - FINANCIAL INFORMATION
Item 1.	Financial Statements	3
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	11
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	13
Item 4.	Controls and Procedures	13
PART II - OTHER INFORMATION
Item 1.	Legal Proceedings	15
Item 1A.	Risk Factors	15
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	15
Item 3.	Defaults Upon Senior Securities	15
Item 4.	Submission of Matters to a Vote of Security Holders	15
Item 5.	Other Information	15
Item 6.	Exhibits	15
	SIGNATURES	16

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 PART I - FINANCIAL INFORMATION

Item 1.    Financial Statements

Our unaudited financial statements included in this Form 10-Q are as follows:

Page
5	Balance Sheets as of April 30, 2011 (unaudited) and October 31, 2010 (audited);
6	Statements of Operations for the three months ended April 30, 2011 and 2010, six months ended April 30, 2011 and 2010 and  period from inception (May 17, 2007) to April 30, 2011 (unaudited) ;
7	Statement of Stockholders’ Equity for the period from inception (May 17, 2007) through April 30, 2011 (unaudited);
8	Statements of Cash Flows for the three months ended April 30, 2011 and period from inception (May 17, 2007) to April 30, 2011 (unaudited);
9	Notes to Financial Statements;

These unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and the SEC instructions to Form 10-Q.  In the opinion of management, all adjustments considered necessary for a fair presentation have been included.  Operating results for the interim period ended January, 2011 are not necessarily indicative of the results that can be expected for the full year.

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RIDER EXPLORATION, INC.

(An Exploration Stage Company)

FINANCIAL STATEMENTS

April 30, 2011 and October 31, 2010

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RIDER EXPLORATION, INC.
(An Exploration Stage Company)
Balance Sheets
(Unaudited)
ASSETS
	April 30,				October 31,
	2011				2010
CURRENT ASSETS
Cash		$	1,029			$	1,201
Total Current Assets			1,029				1,201
TOTAL ASSETS		$	1,029			$	1,201
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
CURRENT LIABILITIES
Accounts payable		$	1,500			$	1,280
Related party payable			31,958				8,461
Total Current Liabilities			33,458				9,741
STOCKHOLDERS' EQUITY (DEFICIT)
Common stock: $0.001 par value, 50,000,000 shares
authorized; 38,582,400 shares issued
and outstanding, respectively			38,582				38,582
Addiitional paid-in capital			16,526				16,526
Deficit accumulated during the exploration stage			(87,537	)			(63,648	)
Total Stockholders' Equity (Deficit)			(32,429	)			(8,540	)
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY (DEFICIT)		$	1,029			$	1,201

The accompanying notes are an integral part of these financial statements.

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RIDER EXPLORATION, INC.
(An Exploration Stage Company)
Statements of Operations
(Unaudited)
													From Inception
													on May 17,
	For the Three Months Ended						For the Six Months Ended						2007 Through
	April 30,						April 30,						April 30,
	2011			2010			2011			2010			2011
REVENUES	$	-		$	-		$	-		$	-		$	-
OPERATING EXPENSES
General and administrative		11,576			4,149			23,889			12,674			87,701
Total Operating Expenses		11,576			4,149			23,889			12,674			87,701
LOSS FROM OPERATIONS		(11,576	)		(4,149	)		(23,889	)		(12,674	)		(87,701	)
OTHER INCOME
Interest income		-						-						164
Total Other Income		-			-			-			-			164
LOSS BEFORE INCOME TAXES		(11,576	)		(4,149	)		(23,889	)		(12,674	)		(87,537	)
PROVISION FOR INCOME TAXES		-			-			-			-			-
NET LOSS	$	(11,576	)	$	(4,149	)	$	(23,889	)	$	(12,674	)	$	(87,537	)
BASIC LOSS PER SHARE	$	(0.00	)	$	(0.00	)	$	(0.00	)	$	(0.00	)
WEIGHTED AVERAGE SHARES OUTSTANDING		38,582,400			32,100,000			38,582,400			32,100,000
The accompanying notes are an integral part of these financial statements.

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RIDER EXPLORATION, INC.
(An Exploration Stage Company)
Statements of Stockholders' Equity (Deficit)
											Deficit
											Accumulated			Total
					Additional			Stock			During the			Stockholders'
	Common Stock				Paid-in			Subscription			Exploration			Equity
	Shares		Amount		Capital			Receivable			Stage			(Deficit)
Balance at inception, May 17, 2007		-	$	-	$	-		$	-		$	-		$	-
Net loss from inception on May 17,
2007 through October 31, 2007		-		-		-			-			(5,047	)		(5,047	)
Balance, October 31, 2007		-		-		-			-			(5,047	)		(5,047	)
Common stock issued for cash at $0.0001
per share on September 30, 2008		22,500,000		22,500		(21,000	)		-			-			1,500
Common stock issued for cash at $0.0033
per share on September 30, 2008		5,550,000		5,550		12,950			-			-			18,500
Common stock issued for cash at $0.0033
per share on October 30, 2008		4,050,000		4,050		9,450			(5,500	)		-			8,000
Net loss for the year ended
October 31, 2008		-		-		-			-			(1,501	)		(1,501	)
Balance, October 31, 2008		32,100,000		32,100		1,400			(5,500	)		(6,548	)		21,452
Stock subscriptions received		-		-		-			5,500			-			5,500
Net loss for the year ended
October 31, 2009		-		-		-			-			(35,718	)		(35,718	)
Balance, October 31, 2009		32,100,000		32,100		1,400			-			(42,266	)		(8,766	)
Common stock issued for debt at $0.0033
per share on July 21, 2010		6,482,400		6,482		15,126			-			-			21,608
Net loss for year ended
October 31, 2010		-		-		-			-			(21,382	)		(21,382	)
Balance, October 31, 2010		38,582,400		38,582		16,526			-			(63,648	)		(8,540	)
Net loss for the six months ended
April 30, 2011 (unaudited)		-		-		-			-			(23,889	)		(18,369	)
Balance, April 30, 2011 (unaudited)		38,582,400	$	38,582	$	16,526		$	-		$	(87,537	)	$	(32,429	)

The accompanying notes are an integral part of these financial statements.

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RIDER EXPLORATION, INC.
(An Exploration Stage Company)
Statements of Cash Flows
(Unaudited)
							From Inception
							on May 17,
	For the Six Months Ended						2007 Through
	April 30,						April 30,
	2011			2010			2011
OPERATING ACTIVITIES
Net loss	$	(23,889	)	$	(12,674	)	$	(87,537	)
Adjustments to reconcile net loss to net cash
used by operating activities:
Expenses paid by related party		23,497			8,850			50,816
Changes in operating assets and liabilities
Increase (decrease) in accounts payable		(220	)		3,640			4,250
Net Cash Used in
Operating Activities		(172	)		(184	)		(32,471	)
INVESTING ACTIVITIES		-			-			-
FINANCING ACTIVITIES
Common stock issued for cash		-			-			33,500
Net Cash Provided by
Financing Activities		-			-			33,500
NET INCREASE (DECREASE) IN CASH		(172	)		(184	)		1,029
CASH AT BEGINNING OF PERIOD		1,201			1,547			-
CASH AT END OF PERIOD	$	1,029		$	1,363		$	1,029
SUPPLEMENTAL DISCLOSURES OF
CASH FLOW INFORMATION
CASH PAID FOR:
Interest	$	-		$	-		$	-
Income Taxes	$	-		$	-		$	-
NON-CASH FINANCING ACTIVITIES:
Common stock issued for debt	$	-		$	-		$	21,608
Expenses paid by related party	$	23,497		$	8,850		$	50,816

The accompanying notes are an integral part of these financial statements.

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RIDER EXPLORATION, INC.

(An Exploration Stage Company)

Notes to the Condensed Interim Financial Statements

April 30, 2011 and October 31, 2010

(Unaudited)

NOTE 1 - CONDENSED INTERIM FINANCIAL STATEMENTS

The accompanying condensed interim financial statements have been prepared by the Company without audit.  In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at April 30, 2011, and for all periods presented herein, have been made.

Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted.  It is suggested that these condensed interim financial statements be read in conjunction with the financial statements and notes thereto included in the Company's October 31, 2010 audited financial statements.  The results of operations for the periods ended April 30, 2011 and 2010 are not necessarily indicative of the operating results for the full years.

NOTE 2 - GOING CONCERN

The Company's financial statements are prepared using accounting principles generally accepted 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. 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.  The Company has had no revenues, generated a net loss of $23,889 during the six months ended April 30, 2011 and has generated an accumulated deficit from inception on May 17, 2007 through April 30, 2011 of $87,537.

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 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 POLICIES

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.  Actual results could differ from those estimates.

Recent Accounting Pronouncements

Management has considered all recent accounting pronouncements issued since the last audit of our financial statements. The Company’s management believes that these recent pronouncements will not have a material effect on the Company’s financial statements.

NOTE 4 – RELATED PARTY TRANSACTIONS

Various general and administrative expenses of the Company as well as loans for operating purposes have been paid for or made by a related party of the Company. The related party payable totaled $21,608 on July 21, 2010.  On that date, the Company issued 6,482,400 shares of its par value $0.001 common stock for $0.0033 per share in exchange for the related party debt.  At April 30, 2011, the Company had $31,958 due to related parties. The liability is non interest bearing, unsecured and due upon demand.

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NOTE 5 – CAPITAL STOCK

On November 10, 2010, the Company filed a Certificate of Change Pursuant to NRS 78.209 (the “Certificate”) with the Nevada Secretary of State providing for the designation of a 15-for-1 forward stock split of the outstanding shares of common stock of the Company. After the split, the Company had 38,582,400 shares of common stock issued and outstanding. The effect of the stock split has been retroactively applied to the Company’s financial statements.

NOTE 5 - SUBSEQUENT EVENTS

In accordance with ASC 855-10 Company management reviewed all material events through the date of this report.  There are no material subsequent events to report.

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Item 2.  Management’s Discussion and Analysis or Plan of Operation

Forward-Looking Statements

Certain statements, other than purely historical information, including estimates, projections, statements relating to our business plans, objectives, and expected operating results, and the assumptions upon which those statements are based, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.   These forward-looking statements generally are identified by the words “believes,” “project,” “expects,” “anticipates,” “estimates,” “intends,” “strategy,” “plan,” “may,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions.  We intend such forward-looking statements to be covered by the safe-harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, and are including this statement for purposes of complying with those safe-harbor provisions.  Forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties which may cause actual results to differ materially from the forward-looking statements. Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain.  Factors which could have a material adverse affect on our operations and future prospects on a consolidated basis include, but are not limited to: changes in economic conditions, legislative/regulatory changes, availability of capital, interest rates, competition, and generally accepted accounting principles. These risks and uncertainties should also be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements.  We undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.  Further information concerning our business, including additional factors that could materially affect our financial results, is included herein and in our other filings with the SEC.

Overview

We are an exploration stage company that intends to engage in the exploration of mineral properties.  We were incorporated on May 17, 2007, under the laws of the State of Nevada. On June 1, 2007, we acquired an option to purchase a 100% interest in the Sallus Creek mineral claims, located in the Lillooet Mining District of the Province of British Columbia.  Exploration of the Sallus Creek mineral claims is required before a final determination as to their viability can be made.  Our option on this property is currently unexercised.  In the event that we do not exercise our option, we will have no interest in the Sallus Creek mineral claims and will not be entitled to receive back any monies spent to maintain the option.

Plan of Operation

Our plan of operations is to proceed with the exploration of the Sallus Creek mineral claims to determine whether there are commercially exploitable reserves of copper, molybdenum, and other metallic minerals.  We have entered into a Mining Option Agreement regarding the Sallus Creek mineral claims and intend to proceed with the initial exploration program as recommended by our consulting geologist.

Our total expenditures over the next twelve months, excluding costs associated with being a public company, are anticipated to be approximately $60,000 as we undertake Phase I exploration. Specifically, we expect to incur approximately $28,000 in connection with the commencement of Phase I of our recommended geological work program, as follows:

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Phase I	Exploration Expenditure
Geological supervision	$7,500
Helper	2,500
Vehicle	1,250
Food, lodging, or camp costs	1,250
Field, camp supplies	500
Helicopter	6,250
Samples	1,875
Mob and Demob	500
Cell Phone/Radio	100
Reports and Drafting	2,000
Reclamation Bond	0
Subtotal (Rounded)	24,000
GST at 6%	1,400
Contingency 10%	2,400
Total Phase I (Rounded)	$28,000
In US (at 01/31/10)	$28,000

We will also expend C$3,000 in connection with the Option Agreement and monies due to Mr. McClaren prior to December 31, 2011, also approximately US $4,000. If our results justify continuing on to phase II of our exploration program, we will have to spend an additional Cdn$15,000 in exploration work before December 31, 2011. We had negative working capital in the amount of $32,429 as of April 30, 2011. This figure is insufficient to cover our anticipated expenditures in the next twelve months. However, our working capital, along with our plan to raise equity financing in the amount of $60,000 to $80,000, should be enough to cover the approximately $60,000 in anticipated expenditures in the next twelve months. Any remaining monies will be carried forward to the foloowing year. Because of the uncertainties inherent in foreign currency exchange rates, there are uncertainties in our operational costs. Our accounting is in US$ while our Option Agreement payments and other expenses generally require payment in CAN$.

In the event the results of our initial exploration program prove not to be sufficiently positive to proceed with further exploration on the Sallus Creek mineral claims, we intend to seek out and acquire interests in other North American mineral exploration properties, which, in the opinion of our consulting geologist, offer attractive mineral exploration opportunities.  If we are unable locate and acquire such prospects, we may be forced to seek other business opportunities.  Presently, we have not given any consideration to the acquisition of other exploration properties

Purchase of Significant Equipment

We do not intend to purchase any significant equipment over the next twelve months.

Employees

We have no employees other than our president and CEO, Mr. Friberg, and our Secretary and Treasurer, Mr. Decker. We intend to conduct our business largely through agreements with consultants and other independent third party vendors.

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Results of Operations for the three months ended April 30, 2011 and 2010

We did not earn any revenues from inception through the period ending April 30, 2011. We do not anticipate earning revenues until such time that we are able to locate and exploit commercial reserves of copper, molybdenum, and other metallic minerals. We are presently in the exploration stage of our business and we can provide no assurance that we will discover commercially exploitable levels of mineral resources on the Sallus Creek mineral properties, or if such resources are discovered, that we will enter into commercial production.

We incurred operating expenses in the amount of $11,576 for the three months ended April 30, 2011 and $4,149 for the three months ended April 30, 2010.  The operating expenses for the three months ended April 30, 2011 consisted of general and administrative expenses in the amount of $11,576. The operating expenses for the three months ended April 30, 2010 included general and administrative expenses in the amount of $4,149.

We anticipate our operating expenses will increase as we undertake our plan of operations. The increase will be attributable to undertaking the additional phases of our geological exploration program and the professional fees associated with our becoming a reporting company under the Securities Exchange Act of 1934.

We incurred a net loss of $11,576 and $4,149 for the three months ended April 30, 2011 and 2010.  Our losses for all periods are attributable to operating expenses and our lack of revenue.

Liquidity and Capital Resources

We had cash of $1,029 as our only current asset as of April 30, 2011. We had current liabilities of $33,458 as of April 30, 2011. We therefore had working capital deficit of $32,429 as of April 30, 2011.

We have not attained profitable operations and are dependent upon obtaining financing to pursue exploration activities. For these reasons our auditors stated in their report that they have substantial doubt we will be able to continue as a going concern.

Off Balance Sheet Arrangements

As of April 30, 2011, there were no off balance sheet arrangements.

Going Concern

We have not attained profitable operations and are dependent upon obtaining financing to pursue exploration activities.  For these reasons our auditors stated in their report that they have substantial doubt we will be able to continue as a going concern.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Not required.

Item 4.  Controls and Procedures

We carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) as of January 31, 2011.  This evaluation was carried out under the supervision and with the participation of our Chief Executive Officer and our Chief Financial Officer, Mr. Steve Friberg. Based upon that evaluation, our Chief Executive Officer, and Chief Financial Officer concluded that, as of April 30, 2011, our disclosure controls and procedures are not effective due to the lack of sufficient segregation of duties and an audit committee.  There have been no changes in our internal controls over financial reporting during the quarter ended April 30, 2011.  The Company has plans to address the material weaknesses in internal control as the Company becomes profitable and as capital becomes available.

13

Disclosure controls and procedures are controls and other procedures that are designed to ensure that information required to be disclosed in our reports filed or submitted under the Exchange Act are recorded, processed, summarized and reported, within the time periods specified in the SEC's rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed under the Exchange Act is accumulated and communicated to management, including our Chief Executive Officer and Chief Financial Officer, to allow timely decisions regarding required disclosure.

Limitations on the Effectiveness of Internal Controls

Our management does not expect that our disclosure controls and procedures or our internal control over financial reporting will necessarily prevent all fraud and material error. Our disclosure controls and procedures are designed to provide reasonable assurance of achieving our objectives and our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures are effective at that reasonable assurance level.  Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within the Company have been detected. These inherent limitations include the realities that judgments in decision-making can be faulty, and that breakdowns can occur because of simple error or mistake. Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of the internal control. The design of any system of controls also is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Over time, control may become inadequate because of changes in conditions, or the degree of compliance with the policies or procedures may deteriorate.

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PART II – OTHER INFORMATION

Item 1.  Legal Proceedings

We are not a party to any pending legal proceeding. We are not aware of any pending legal proceeding to which any of our officers, directors, or any beneficial holders of 5% or more of our voting securities are adverse to us or have a material interest adverse to us.

Item 1A. Risk Factors

Not required.

Item 2.  Unregistered Sales of Equity Securities and Use of Proceeds

None

Item 3.  Defaults upon Senior Securities

None

Item 4.  Submission of Matters to a Vote of Security Holders

No matters have been submitted to our security holders for a vote, through the solicitation of proxies or otherwise, during the quarterly period ended April 30, 2011.

Item 5.  Other Information

None

Item 6.  Exhibits

Exhibit Number	Description of Exhibit
31.1	Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1	Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

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SIGNATURES

In accordance with the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Rider Exploration, Inc.
By:	/s/ Steve Friberg
	Steve Friberg
	Chief Executive Officer
Date:	June 20, 2011

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