Exhibit 99.2
UNITED STATES BANKRUPTCY COURT
DISTRICT OF NEVADA
In re: |
| Case No. |
| 01-23229 rcj |
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FCI Environmental, Inc. |
| CHAPTER 11 |
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| MONTHLY OPERATING REPORT |
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| (GENERAL BUSINESS CASE) |
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SUMMARY OF FINANCIAL STATUS | ||||||
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MONTH ENDED: |
| August 31, 2002 |
| PETITION DATE: |
| December 20, 2001 |
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1. |
| Debtor in possession (or trustee) hereby submits this Monthly Operating Report on the Accrual Basis of accounting (or if checked here the Office of the U.S. Trustee or the Court has approved the Cash Basis of Accounting for the Debtor). Dollars reported in ($1) |
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2. |
| Asset and Liabilities Structure |
| End of |
| End of |
| As of |
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| a. Current Assets |
| $ | 237,198 |
| $ | 235,146 |
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| b. Total Assets |
| 255,103 |
| 253,051 |
| $ | 347,596 |
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| c. Current Liabilities |
| 1,008,330 |
| 880,336 |
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| d. Total Liabilities |
| $ | 15,564,326 |
| $ | 15,436,332 |
| $ | 14,555,995 |
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3. |
| Statement of Cash Receipts & Disbursements for Month |
| Current |
| Prior |
| Cumulative |
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| a. Total Receipts |
| $ | 120,890 |
| $ | 129,298 |
| $ | 1,352,636 |
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| b. Total Disbursements |
| 121,372 |
| 137,758 |
| 1,364,717 |
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| c. Excess (Deficiency) of Receipts Over Disbursements (a - b) |
| (482 | ) | (8,460 | ) | (12,081 | ) | ||||||
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| d. Cash Balance Beginning of Month |
| 6,652 |
| 15,112 |
| 18,251 |
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| e. Cash Balance End of Month (c + d) |
| $ | 6,170 |
| $ | 6,652 |
| $ | 6,170 |
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| Current |
| Prior |
| Cumulative |
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4. |
| Profit/(Loss) from the Statement of Operations |
| $ | (127,874 | ) | $ | (159,524 | ) | $ | (1,032,308 | ) | |||
5. |
| Account Receivables (Pre and Post Petition) |
| 56,890 |
| 65,578 |
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6. |
| Post-Petition Liabilities |
| 1,008,330 |
| 880,336 |
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7. |
| Past Due Post-Petition Account Payables (over 30 days) |
| $ | 20,083 |
| $ | 726 |
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At the end of this reporting month: |
| Yes |
| No | ||
8. |
| Have any payments been made on pre-petition debt, other than payments in the normal course to secured creditors or lessors? (if yes, attach listing including date of payment, amount of payment and name of payee) |
| o |
| ý |
9. |
| Have any payments been made to professionals? (if yes, attach listing including date of payment, amount of payment and name of payee) |
| o |
| ý |
10. |
| If the answer is yes to 8 or 9, were all such payments approved by the court? (additional information attached) |
| o |
| o |
11. |
| Have any payments been made to officers, insiders, shareholders, relatives? (if yes, attach listing including date of payment, amount and reason for payment, and name of payee) |
| ý |
| o |
12. |
| Is the estate insured for replacement cost of assets and for general liability? |
| ý |
| o |
13. |
| Are a plan and disclosure statement on file? |
| ý |
| o |
14. |
| Was there any post-petition borrowing during this reporting period? (additional information attached) |
| ý |
| o |
15. |
| Check if paid: Post-petition taxes | ý; | U.S. Trustee Quarterly Fees | ý; | Check if filing is current |
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| for: Post-petition tax reporting and tax returns: ý. |
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| (Attach explanation, if post-petition taxes or U.S. Trustee Quarterly Fees are not paid current or if post-petition tax reporting and tax return filings are not current.) | |||||||||
I declare under penalty of perjury I have reviewed the above summary and attached financial statements, and after making reasonable inquiry believe these documents are correct. | |||||||||||
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Date: | September 23, 2002 |
| /s/ R. Kenyon Culver, CFO | ||||||||
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| Responsible Individual | ||||||||
1
STATEMENT OF OPERATIONS | |||
(General Business Case) | |||
For the Month Ended |
| August 31, 2002 |
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Current Month |
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| Cumulative |
| Next Month |
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Actual |
| Forecast |
| Variance |
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| (Case to Date) |
| Forecast |
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| Revenues: |
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$ | 27,025 |
| $ | 308,747 |
| ($281,722 | ) | 1 |
| Gross Sales |
| $ | 609,654 |
| $ | 302,450 |
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0 |
| 0 |
| 0 |
| 2 |
| less: Sales Returns & Allowances |
| 0 |
| 0 |
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27,025 |
| 308,747 |
| (281,722 | ) | 3 |
| Net Sales |
| 609,654 |
| 302,450 |
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1,112 |
| 76,145 |
| 75,033 |
| 4 |
| less: Cost of Goods Sold (Schedule ‘B’) |
| 374,267 |
| 62,668 |
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25,913 |
| 232,602 |
| (206,689 | ) | 5 |
| Gross Profit |
| 235,387 |
| 239,782 |
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0 |
| 0 |
| 0 |
| 6 |
| Interest |
| 0 |
| 0 |
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0 |
| 0 |
| 0 |
| 7 |
| Other Income: |
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| 0 |
| 0 |
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| 8 |
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| 9 |
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25,913 |
| 232,602 |
| (206,689 | ) | 10 |
| Total Revenues |
| 235,387 |
| 239,782 |
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| Expenses: |
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17,404 |
| 33,314 |
| 15,910 |
| 11 |
| Compensation to Owner(s)/Officer(s) |
| 290,682 |
| 33,314 |
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88,915 |
| 73,028 |
| (15,887 | ) | 12 |
| Salaries |
| 535,316 |
| 73,028 |
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0 |
| 0 |
| 0 |
| 13 |
| Commissions |
| 14,417 |
| 0 |
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0 |
| 0 |
| 0 |
| 14 |
| Contract Labor |
| 0 |
| 0 |
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| 15 |
| Rent/Lease: |
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10,208 |
| 10,825 |
| 617 |
| 16 |
| Real Property |
| 90,946 |
| 10,825 |
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4,611 |
| 5,763 |
| 1,152 |
| 17 |
| Insurance |
| 39,772 |
| 5,763 |
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0 |
| 0 |
| 0 |
| 18 |
| Management Fees |
| 0 |
| 0 |
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1,932 |
| 1,917 |
| (15 | ) | 19 |
| Depreciation |
| 15,850 |
| 1,917 |
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| Taxes: Employer Payroll Taxes |
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286 |
| 8,137 |
| 7,851 |
| 20 |
| Employee Payroll Taxes |
| 44,735 |
| 8,137 |
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0 |
| 0 |
| 0 |
| 1 |
| Real Property Taxes |
| 1,889 |
| 0 |
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0 |
| 0 |
| 0 |
| 2 |
| Other Taxes |
| 0 |
| 0 |
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598 |
| 13,819 |
| 13,221 |
| 3 |
| Other Selling |
| 22,945 |
| 15,212 |
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15,211 |
| 27,706 |
| 12495 |
| 4 |
| Other Administrative |
| 127,741 |
| 27,706 |
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4,622 |
| 0 |
| (4,622 | ) | 5 |
| Interest |
| 26,472 |
| 0 |
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10,000 |
| 9,167 |
| (833 | ) | 6 |
| Other Expenses: | License fees |
| 45,669 |
| 9,167 |
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| 7 |
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| 8 |
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| 9 |
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| 10 |
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| 11 |
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| 12 |
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| 13 |
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| 14 |
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153,787 |
| 183,676 |
| 29,889 |
| 15 |
| Total Expenses |
| 1,256,434 |
| 185,069 |
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(127,874) |
| 48,926 |
| (176,800 | ) | 16 |
| Subtotal |
| (1,021,047 | ) | 54,713 |
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| Reorganization Items: |
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0 |
| 0 |
| 0 |
| 17 |
| Professional Fees (additional information attached) |
| (3,512 | ) | 0 |
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0 |
| 0 |
| 0 |
| 18 |
| Provisions for Rejected Executory Contracts |
| 0 |
| 0 |
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0 |
| 0 |
| 0 |
| 19 |
| Interest Earned on Accumulated Cash from Resulting Chp 11 Case |
| 0 |
| 0 |
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0 |
| 0 |
| 0 |
| 20 |
| Gain or (Loss) from Sale of Equipment |
| 0 |
| 0 |
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0 |
| 0 |
| 0 |
| 21 |
| U.S. Trustee Quarterly Fees |
| (7,750 | ) | 0 |
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| 22 |
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0 |
| 0 |
| 0 |
| 23 |
| Total Reorganization Items |
| (11,262 | ) | 0 |
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(127,874) |
| 48,926 |
| (176,800 | ) | 24 |
| Net Profit (Loss) Before Federal & State Taxes |
| (1,032,309 | ) | 54,713 |
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0 |
| 0 |
| 0 |
| 25 |
| Federal & State Income Taxes |
| 0 |
| 0 |
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$ | (127,874) |
| $ | 48,926 |
| $ | (176,800 | ) | 26 |
| Net Profit (Loss) |
| $ | (1,032,309 | ) | $ | 54,713 |
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Attach an Explanation of Variance to Statement of Operations (For variances greater than +/- 10% only):
2
BALANCE SHEET | |||
(General Business Case) | |||
For the Month Ended |
| August 31, 2002 |
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| Assets |
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| From Schedules |
| Market Value |
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| Current Assets |
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1 |
| Cash and cash equivalents — unrestricted |
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| $ | 6,170 |
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2 |
| Cash and cash equivalents — restricted |
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| 0 |
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3 |
| Accounts receivable (net) |
| A |
| 56,890 |
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4 |
| Inventory (net) |
| B |
| 161,029 |
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5 |
| Prepaid expenses |
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| 9,628 |
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6 |
| Professional retainers |
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| 3,481 |
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7 |
| Other: |
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| 0 |
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8 |
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| 0 |
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9 |
| Total Current Assets |
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| 237,198 |
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| Property and Equipment (Market Value) |
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10 |
| Real property |
| C |
| 0 |
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11 |
| Machinery and equipment |
| D |
| 1,759 |
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12 |
| Furniture and fixtures |
| D |
| 9,800 |
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13 |
| Office equipment |
| D |
| 5,792 |
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14 |
| Leasehold improvements |
| D |
| 0 |
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15 |
| Vehicles |
| D |
| 0 |
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16 |
| Other: |
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| D |
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17 |
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| D |
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18 |
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| D |
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19 |
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| D |
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20 |
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| D |
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21 |
| Total Property and Equipment |
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| 17,351 |
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| Other Assets |
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22 |
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| 0 |
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23 |
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| 0 |
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24 |
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| 0 |
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25 |
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| 0 |
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26 |
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| 0 |
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27 |
| Due from affiliated company |
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| 554 |
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28 |
| Total Other Assets |
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| 0 |
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29 |
| Total Assets |
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| $ | 255,103 |
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NOTE: |
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| Indicate the method used to estimate the market value of assets (e.g., appraisals; familiarity with comparable market prices, etc.) and the date the value was determined. | |||||
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| See additional information attached | |||||
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3
Liabilities and Equity |
(General Business Case) |
| Liabilities |
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| From Schedules |
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| Post-Petition |
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| Current Liabilities |
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30 |
| Salaries and wages |
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| $ | 102,822 |
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31 |
| Payroll taxes |
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| 7,741 |
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32 |
| Real and personal property taxes |
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| 0 |
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33 |
| A/P clearing |
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| 426 |
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34 |
| Sales taxes |
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| 0 |
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35 |
| Notes payable (short term) |
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| 385,000 |
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36 |
| Accounts payable (trade) |
| A |
| 42,871 |
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37 |
| Real property lease arrearage |
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| 0 |
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38 |
| Personal property lease arrearage |
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| 0 |
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39 |
| Accrued professional fees |
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| 3,513 |
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40 |
| Current portion of long-term post-petition debt (due within 12 months) |
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| 0 |
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41 |
| Other: | Warranty reserve ($26,532) and deferred revenue ($27,717) |
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| 54,249 |
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42 |
| Other ($5,160), commissions ($8,913) and accrued DIP loan interest ($26,472) |
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| 40,545 |
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43 |
| Due to affiliates |
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| 371,163 |
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44 |
| Total Current Liabilities |
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| 1,008,330 |
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45 |
| Long-Term Post-Petition Debt, Net of Current Portion |
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| 0 |
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46 |
| Total Post-Petition Liabilities |
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| 1,008,330 |
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| Pre-Petition Liabilities (allowed amount) |
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47 |
| Secured claims |
| F |
| 0 |
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48 |
| Priority unsecured claims |
| F |
| 184,155 |
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49 |
| General unsecured claims |
| F |
| 14,371,841 |
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50 |
| Total Pre-Petition Liabilities |
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| 14,555,996 |
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51 |
| Total Liabilities |
|
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| 15,564,326 |
| |||
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| Equity (Deficit) |
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52 |
| Equity (Deficit) at time of filing |
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| (14,218,290 | ) | |||
53 |
| Capital Stock |
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| 0 |
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54 |
| Additional paid-in capital |
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| 1,000 |
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55 |
| Cumulative profit/(loss) since filing of case |
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| (1,032,309 | ) | |||
56 |
| Post-petition contributions/(distributions) or (draws) |
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| 0 |
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57 |
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| 0 |
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58 |
| Market value adjustment |
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| (59,624 | ) | |||
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59 |
| Total Equity (Deficit) |
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| (15,309,223 | ) | |||
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60 |
| Total Liabilities and Equity (Deficit) |
|
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| $ | 255,103 |
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4
SCHEDULES TO THE BALANCE SHEET |
(General Business Case) |
|
Schedule A |
Accounts Receivable (Net) Payable |
Receivables and Payables Agings |
| Accounts Receivable |
| Accounts Payable |
| Past Due |
| ||||
0 -30 Days |
| $ | 56,218 |
| $ | 22,788 |
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| |
31-60 Days |
| 408 |
| 19,007 |
|
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61-90 Days |
| 1,964 |
| 825 |
|
| $ | 20,083 |
| ||
91+ Days |
| (1,700 | ) | 250 |
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| |||
Total accounts receivable/payable |
| 56,890 |
| $ | 42,871 |
|
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Allowance for doubtful accounts |
| 0 |
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Accounts receivable (net) |
| $ | 56,890 |
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Schedule B |
Inventory/Cost of Goods Sold |
Types and Amount of Inventory(ies) |
| Cost of Goods |
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| Inventory(ies) |
| Inventory Beginning of Month |
| $ | 145,096 |
| |||||||||
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| Add — |
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Retail/Restaurants — |
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| Net purchase |
| 0 |
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Product for resale |
| $ | 0 |
| Direct labor |
| 0 |
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| Manufacturing overhead |
| 6,728 |
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Distribution — |
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| Freight in |
| 0 |
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Products for resale |
| 0 |
| Other: |
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| 0 |
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Manufacturer — |
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| 0 |
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Raw Materials |
| 324,068 |
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Work-in-progress |
| (38,537 | ) | Less — |
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Finished goods |
| 549,578 |
| Inventory End of Month |
| 161,029 |
| ||||||||||
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| Monitoring |
| (2,760 | ) | ||||||||||
Other — Explain |
| (674,080 | ) | Warranty |
| (7,557 | ) | ||||||||||
Reserve for obsolescence |
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| Cost of Goods Sold |
| $ | 1,112 |
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TOTAL |
| $ | 161,029 |
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Method of Inventory Control |
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| Inventory Valuation Methods |
|
| |||||||||||
Do you have a functioning perpetual inventory system? |
| Indicate by a checkmark method of inventory used. |
| ||||||||||||||
Yes | ý |
| No | o |
|
|
|
|
|
|
|
| |||||
How often do you take a complete physical inventory? |
| Valuation methods |
| ||||||||||||||
|
|
|
| FIFO cost | ý |
|
| ||||||||||
Weekly | o |
|
|
| LIFO cost | o |
|
| |||||||||
Monthly | o |
|
|
| Lower of cost |
|
|
| |||||||||
Quarterly | o |
|
|
| or market | ý |
|
| |||||||||
Semi-annually | o |
|
|
| Retail method | o |
|
| |||||||||
Annually | ý |
|
|
| Other — | o |
|
| |||||||||
Date of last physical inventory was |
| 1/18/2002 N/A |
| Explain |
|
|
| ||||||||||
|
|
|
|
|
|
|
| ||||||||||
Date of next physical inventory is |
| 12/31/2002 |
|
|
|
|
| ||||||||||
5
Schedule C |
Real Property |
Description |
| Cost |
| Market Value |
| |||
| None |
| $ | 0 |
| $ | 0 |
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
| ||
|
|
|
|
|
|
| ||
|
|
|
|
|
|
| ||
|
|
|
|
|
|
| ||
| Total |
| $ | 0 |
| $ | 0 |
|
|
|
|
|
|
|
|
Schedule D |
Other Depreciable Assets |
Description |
| Cost |
| Market Value |
| ||||
Machinery & Equipment — |
|
|
|
|
| ||||
| Various |
| $ | 89,137 |
| $ | 1,759 |
| |
|
|
|
|
|
|
| |||
| 8/31/02 NBV = $14,616 |
|
|
|
|
| |||
|
|
|
|
|
|
| |||
| Total |
| $ | 89,137 |
| $ | 1,759 |
| |
|
|
|
|
|
|
| |||
Furniture & Fixtures — |
|
|
|
|
| ||||
| Various |
| $ | 35,000 |
| $ | 9,800 |
| |
|
|
|
|
|
|
| |||
| 8/31/02 NBV = $23,332 |
|
|
|
|
| |||
|
|
|
|
|
|
| |||
| Total |
| $ | 35,000 |
| $ | 9,800 |
| |
|
|
|
|
|
|
| |||
Office Equipment — |
|
|
|
|
| ||||
| Various |
| $ | 262,278 |
| $ | 5,792 |
| |
|
|
|
|
|
|
| |||
| 8/31/02 NBV = $35,317 |
|
|
|
|
| |||
| Total |
| $ | 262,278 |
| $ | 5,792 |
| |
|
|
|
|
|
|
| |||
Leasehold Improvements — |
|
|
|
|
| ||||
| None |
| $ | 0 |
| $ | 0 |
| |
|
|
|
|
|
|
| |||
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
| ||
| Total |
| $ | 0 |
| $ | 0 |
| |
|
|
|
|
|
|
| |||
Vehicles — |
|
|
|
|
| ||||
| None |
| $ | 0 |
| $ | 0 |
| |
|
|
|
|
|
|
| |||
|
|
|
|
|
|
| |||
|
|
|
|
|
|
| |||
| Total |
| $ | 0 |
| $ | 0 |
| |
6
Schedule E |
Aging of Post-Petition Taxes |
(As of End of the Current Reporting Period) |
Taxes Payable |
| 0-30 Days |
| 31-60 Days |
| 61-90 Days |
| 91+ Days |
| Total |
| ||
Federal |
|
|
|
|
|
|
|
|
|
|
| ||
Income Tax Withholding |
| $ | 3,760 |
|
|
|
|
|
|
| $ | 3,760 |
|
FICA — Employee |
| 1,890 |
|
|
|
|
|
|
| 1,890 |
| ||
FICA — Employer |
| 1,890 |
|
|
|
|
|
|
| 1,890 |
| ||
Unemployment (FUTA) |
| 8 |
|
|
|
|
|
|
| 8 |
| ||
Income |
|
|
|
|
|
|
|
|
|
|
| ||
Other (Attach List) |
|
|
|
|
|
|
|
|
|
|
| ||
Total Federal Taxes |
| 7,548 |
|
|
|
|
|
|
| 7,548 |
| ||
State and Local |
|
|
|
|
|
|
|
|
|
|
| ||
Income Tax Withholding |
| 193 |
|
|
|
|
|
|
| 193 |
| ||
Unemployment (UT) |
|
|
|
|
|
|
|
|
|
|
| ||
Disability Insurance (DI) |
|
|
|
|
|
|
|
|
|
|
| ||
Empl. Training Tax (ETT) |
|
|
|
|
|
|
|
|
|
|
| ||
Sales |
|
|
|
|
|
|
|
|
|
|
| ||
Excise |
|
|
|
|
|
|
|
|
|
|
| ||
Real property |
|
|
|
|
|
|
|
|
|
|
| ||
Personal property |
|
|
|
|
|
|
|
|
|
|
| ||
Income |
|
|
|
|
|
|
|
|
|
|
| ||
Other (Attach List) |
|
|
|
|
|
|
|
|
|
|
| ||
Total State & Local Taxes |
| 193 |
|
|
|
|
|
|
| 193 |
| ||
Total Taxes |
| $ | 7,741 |
|
|
|
|
|
|
| $ | 7,741 |
|
7
Schedule F |
Pre-Petition Liabilities |
List Total Claims For Each Classification — |
| Claimed |
| Allowed |
| ||
Secured claims (a) |
| $ | 0 |
| $ | 0 |
|
Priority claims other than taxes |
| 148,477 |
| 127,462 |
| ||
Priority tax claims |
| 56,693 |
| 56,693 |
| ||
General unsecured claims |
| $ | 14,371,841 |
| $ | 14,371,841 |
|
(a) | List total amount of claims even it under secured. |
|
(b) | Estimated amount of claim to be allowed after compromise or litigation. As an example, you are a defendant in a lawsuit alleging damage of $10,000,000 and a proof of claim is filed in that amount. You believe that you can settle the case for a claim of $3,000,000. For Schedule F reporting purposes you should list $10,000,000 as the Claimed Amount and $3,000,000 as the Allowed Amount. |
|
Schedule G |
Rental Income Information |
Not applicable to General Business Cases. |
Schedule H |
Recapitulation of Funds Held at End of Month |
|
| Account 1 |
| Account 2 |
| Account 3 |
| Account 4 |
| ||||
Bank |
| Bank of America |
| Bank of America |
| Petty cash and suspense |
| Bank of America OxySense |
| ||||
Account Type |
| Checking |
| Checking |
|
|
| Checking |
| ||||
Account No. |
| 37-5550-8595 |
| 37-5550-8511 |
|
|
| 47-9133-4120 |
| ||||
Account Purpose |
| General disbursement |
| Payroll |
|
|
| General disbursement |
| ||||
Balance, End of Month |
| $ | 5,100 |
| $ | 604 |
| $ | (1,189 | ) | $ | 1,655 |
|
Total Funds on Hand for all Accounts |
| $ | 6,170 |
|
|
|
|
|
|
| |||
Attach copies of the month end bank statement(s), reconciliation(s), and the check register(s) to the Monthly Operating Report. |
8
STATEMENT OF CASH RECEIPTS AND DISBURSEMENTS | |||
Increase/(Decrease) in Cash and Cash Equivalents | |||
For the Month Ended |
| August 31, 2002 |
|
|
|
|
| Actual |
| Cumulative |
| ||
| Cash Receipts |
|
|
|
|
| |||
1 |
| Rent/Leases Collected |
| $ | 0 |
| $ | 0 |
|
2 |
| Cash Received from Sales |
| 14,698 |
| 509,965 |
| ||
3 |
| Interest Received |
| 0 |
| 0 |
| ||
4 |
| Borrowings |
| 50,000 |
| 385,000 |
| ||
5 |
| Funds from Shareholders, Partners, or Other Insiders |
| 0 |
| 0 |
| ||
6 |
| Capital Contributions |
| 0 |
| 0 |
| ||
7 |
| Transfers from DecisionLink, Inc., an affiliated company |
| 46,400 |
| 377,232 |
| ||
8 |
| Transfer from IDL Corp, an affiliated company |
| 9,000 |
| 76,897 |
| ||
9 |
| Insurance proceeds |
| 792 |
| 3,542 |
| ||
10 |
|
|
|
|
|
|
| ||
11 |
|
|
|
|
|
|
| ||
12 |
| Total Cash Receipts |
| 120,890 |
| 1,352,636 |
| ||
| Cash Disbursements |
|
|
|
|
| |||
13 |
| Payments for Inventory |
| 0 |
| 37,338 |
| ||
14 |
| Selling |
| 0 |
| 18,380 |
| ||
15 |
| Administrative |
| 21,224 |
| 285,582 |
| ||
16 |
| Capital Expenditures |
| 0 |
| 0 |
| ||
17 |
| Principal Payments on Debt |
| 0 |
| 0 |
| ||
18 |
| Interest Paid |
| 0 |
| 0 |
| ||
|
| Rent/Lease: |
|
|
|
|
| ||
19 |
| Personal Property |
| 0 |
| 2,274 |
| ||
20 |
| Real Property |
| 0 |
| 29,073 |
| ||
|
| Amount Paid to Owner(s)/Officer(s) |
|
|
|
|
| ||
21 |
| Salaries |
| 12,479 |
| 202,195 |
| ||
22 |
| Draws |
| 0 |
| 0 |
| ||
23 |
| Commissions/Royalties |
| 0 |
| 0 |
| ||
24 |
| Expense Reimbursements |
| 0 |
| 0 |
| ||
25 |
| Other |
| 0 |
| 0 |
| ||
26 |
| Salaries/Commissions (less employee withholding) |
| 38,819 |
| 400,321 |
| ||
27 |
| Management Fees |
| 0 |
| 0 |
| ||
|
| Taxes: |
|
|
|
|
| ||
28 |
| Employee Withholding |
| 13,175 |
| 202,441 |
| ||
29 |
| Employer Payroll Taxes |
| 4,175 |
| 58,956 |
| ||
30 |
| Real Property Taxes |
| 0 |
| 0 |
| ||
31 |
| Other Taxes |
| 0 |
| 0 |
| ||
32 |
| Other Cash Outflows: |
| 0 |
| 0 |
| ||
33 |
| Transfers to IDL Corp., an affiliated company |
| 0 |
| 24,486 |
| ||
34 |
| Transfer to DecisionLink, Inc. an affiliated company |
| 31,500 |
| 80,540 |
| ||
35 |
| U.S. Trustee |
| 0 |
| 3,500 |
| ||
36 |
| TNO license fee |
| 0 |
| 19,631 |
| ||
37 |
|
|
|
|
|
|
| ||
38 |
| Total Cash Disbursements: |
| 121,372 |
| 1,364,717 |
| ||
39 | Net Increase (Decrease) in Cash |
| (482 | ) | (12,081 | ) | |||
40 | Cash Balance, Beginning of Period |
| 6,652 |
| 18,251 |
| |||
41 | Cash Balance, End of Period |
| $ | 6,170 |
| $ | 6,170 |
|
9
MONTHLY OPERATING REPORT
FCI Environmental, Inc. 01-23229 rjc
August 31, 2002
Additional Information
Summary of Financial Status:
The financial information provided herein includes the accounts of FCI Environmental, Inc. (“FCI”) on a stand-alone basis. This financial information does not include the accounts of any of its affiliated companies.
No. 11. Payments made to officers:
Payment |
| Check |
|
|
|
|
|
|
| |
Date |
| Nbr. |
| Amount |
| Purpose |
| Payee |
| |
8/09/02 |
| 11191 |
| $ | 4,038 |
| Payroll period ended 08/03/02 |
| Ken Culver, CFO |
|
8/09/02 |
| 11192 |
| 5,447 |
| Payroll period ended 08/03/02 |
| Peter Gerard, CEO |
| |
8/23/02 |
| 11208 |
| 2,994 |
| Payroll period ended 08/17/02 |
| Ken Culver, CFO |
| |
Approved on or about December 21, 2001, by court order authorizing payment of wages, salaries, employee benefits and reimbursable employee expenses.
No. 14. An emergency order authorizing post-petition financing was approved by the bankruptcy court on or about December 21, 2001. $385,000 has been received by the end of this reporting period.
Statement of Operations:
The Statement of Operation budget does not include revenues from IDL Corp., an affiliated company that is integral to the debtor’s joint plan of reorganization.
Line 4 — Cost of goods sold — the budget contains only direct material costs. All other costs normally associated with cost of goods sold are included within operating expenses.
General Explanation of Variances to Statement of Operations:
The forecasted amounts are preliminary in nature. These amounts were derived from a combined Chapter 11 bankruptcy budget including affiliated companies
10
Balance Sheet:
Cash — Bank statements and reconciliations attached for:
Facility |
| Account No. |
Bank of America |
| 37-5550-8595 |
Bank of America |
| 37-5550-8511 |
Inventory — the stated inventory balance is net of a $674,080 reserve to appropriately state inventories at the lower of cost or market.
Property and Equipment (Market Value) — market value has not been independently determined. Management estimates that the estate’s property and equipment, with a net book value of $73,265, to be worth $17,351.
Accrued salaries and wages — is comprised of: (a) $63,310 management salary deferral which only at Plan confirmation will be converted to a promissory note as approved by the bankruptcy court on or about July 12, 2002, in an emergency order authorizing supplemental post petition financing, (b) $21,702 earned salary for the period from August 18, 2002 through August 31, 2002 paid on September 6, 2002, and (c) earned but unpaid salary of $12,738 and $5,072 for Messrs. Gerard and Culver, respectively.
Warranty Reserve ($26,532) and deferred Revenue ($27,717) — were not included as claims in the estate’s Schedule F — Creditors Holding Unsecured Nonpriority Claims, as these obligations will be fulfilled under a Chapter 11 going concern plan of reorganization.
Pre-petition general unsecured claims — includes $14,006,118 due to DecisionLink, Inc. (Chapter 11 case Nbr. 01-22706), the sole owner of FCI, and $108,446 due to affiliated companies.
11