Exhibit 99.1
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AVALON DIGITAL MARKETING SYSTEMS
Balance Sheet
As of April 30, 2004
ASSETS
Current Assets:
Cash (from Form 2-B, line 5) $ 76,149
Accounts Receivable (from Form 2-E) 7,422
Receivable from Officers, Employees, Affiliates -
Inventory -
Other Current Assets:
Contract, AR 15,026
Retainage 48,879
Prepaid and Other 15,396
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Total Current Assets $ 162,872
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Fixed Assets:
Land -
Building -
Equipment, Furniture and Fixtures 1,218,937
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Total Fixed Assets 1,218,937
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Less: Accumulated Depreciation (875,814)
Net Fixed Assets 343,123
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Other Long Term Assets:
License 11,000
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TOTAL ASSETS 516,995
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LIABILITIES
Post Petition Liabilities:
Accounts Payable (from Form 2-E) 275,639
Notes Payable -
Rents and Leases Payable 6,700
Taxes Payable (from Form 2-E) 22,054
Accrued interest 2,346
Other:
Accrued Expense 305,997
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Total Post Petition Liabilities $ 612,736
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Pre-Petition Liabilities:
Priority Claims 160,989
Secured Debt 251,829
Unsecured Debt 9,082,263
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Total Pre-Petition Liabilities 9,495,081
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TOTAL LIABILITIES $ 10,107,817
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OWNERS' EQUITY
Capital Stock or Owner's Investment $ 8,714
Paid-In Capital 28,051,203
Retained Earnings:
Pre Petition (36,880,111)
Post Petition (770,628)
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TOTAL OWNERS' EQUITY $ (9,590,822)
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TOTAL LIABILITIES AND OWNERS' EQUITY $ 516,995
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AVALON DIGITAL MARKETING SYSTEMS
Profit and Loss Statement
For Period April 1 to April 30, 2004
Gross Operating Revenue $ 97,137
Less: Discounts, Returns and Allowances -
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Net Operating Revenue $ 97,137
Cost of Goods Sold 11,439
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Gross Profit 85,698
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Operating Expenses
Salaries and Wages 94,607
Rents and Leases 6,843
Payroll Taxes (Employer) 10,313
Other:
Health Insurance 10,529
Fees/Licenses 42
G & A 14,763
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Total Operating Expenses 137,097
Operating Income (Loss) (51,399)
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Legal and Professional Fees 371
Depreciation, Depletion and Amortization 27,582
Interest Expense 1,000
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Net Operating Income (Loss) (80,352)
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Non-Operating Income and Expenses
Other Non-Operating (Expenses) (7,852)
Gains (Losses) on Sale of Assets -
Interest Income -
Other Non-Operating Income -
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Net Non-Operating Income or (Expenses) (7,852)
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Net Income (Loss) Before Income Taxes (88,204)
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Federal and State Income Tax Expense (Benefit) -
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NET INCOME (LOSS) $ (88,204)
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