QUARTERLY REPORT FOR 06/01
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 10-Q
QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
FOR QUARTER ENDED June 30, 2001 Commission file number 0-7376
Hynes & Howes Insurance Counselors, Inc.
(Exact name of registrant as specified on its charter)
Iowa 42-0948341
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
2920 Harrison St., Davenport, Iowa 52803
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (563) 326-6401
Indicate by check mark whether the registrant (1) has filed all annual,
quarterly and other reports required to be filed with the Commission and (2)
has been subject to the filing requirements for
at least the past 90 days. Yes XX No .
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the close of the period covered by this report.
11,226,699
EX-99.1
NOTES TO FINANCIAL STATEMENTS FOR 06/01
HYNES & HOWES INSURANCE COUNSELORS, INC.
Notes to Financial Statements
June 30, 2001
Note 1. Filing of Forms 8-K
A form 8-K was not required to be filed for the quarter reporting
any unusual charges or credits to the income or change in auditors.
Note 2. Management's Analysis of Income From Operations
Income from operations for the nine months ended June 30, 2001
decreased $18,266 as compared to the nine month period ended June 30,
2000.
Interest income decreased $2,129 and other income decreased $513.
Manangement fees increased $2,250.
The loss from operations for the three months ended June 30, 2001
is $7,669.
EX-99.2
OTHER INFORMATION FOR 06/01
HYNES & HOWES INSURANCE COUNSELORS, INC.
Part II: Other information
There were no events during this quarter that would be reportable
under the Items 1 through 8 of the Form 10-Q for Registrant.
Item 9. Exhibits and Reports on Form 8-K
There were no 8-K's filed during the quarter for which this report is
filed.
EX-99.3
REGULATION S-X FOR 06/01
Regulation S-X, Section 10-01 (b) (8)
This interim financial statement reflects all adjustments which
are, in the opinion of management, necessary to a fair statement
of the results for the interim period. The corporation has
no bonus or profit sharing arrangements to be settled at year-end.
EX-99.4
SIGNATURES FOR 06/01
SIGNATURES
Pursuant to the requirements of the Securities Act of 1934, the Registrant
has duly caused this report to be signed on its behalf by the undersigned
thereunto duly authorized.
HYNES & HOWES INSURANCE COUNSELORS, INC.
By:_____________________________________
Cindy S. Kepford, President
This corporation has no treasurer.
Dated___________________ By:_____________________________________
Kendra Jeffries, Secretary
EX-99.5
COMPUTATION OF EPS FOR 06/01
HYNES & HOWES INSURANCE COUNSELORS, INC.
Computation of Earnings (Loss) Per Common Share
For the Three Months and Nine Months Ended June 30, 2001 and 2000
(Unaudited)
Three Months Ended Nine Months Ended
June 30, June 30,
2001 2000 2001 2000
Common Shares Outstanding:
Beginning of Period 11,226,699 11,226,699 11,226,699 11,226,699
End of Period 11,226,699 11,226,699 11,226,699 11,226,699
Average Number of Shares
Outstanding for the Period 11,226,699 11,226,699 11,226,699 11,226,699
Net Income (Loss) $ (7,669) $ 673 $ (17,793) $ 3,430
Earnings (Loss) Per Common Share:
Net Income $ 0.00 $ 0.00 $ 0.00 $ 0.00
EX-99.6
BALANCE SHEET FOR 06/01
HYNES & HOWES INSURANCE COUNSELORS, INC.
Balance Sheet
June 30, 2001 and 2000
(Unaudited)
June 30,
2001 2000
Assets
Current Assets:
Cash in Bank $ 35,267 $ 14,261
Other Current Assets 8,904 35,095
Total Current Assets $ 44,171 $ 49,356
Investments:
Investment in Affiliated Company $ 2,850 $ 2,877
Contracts Receivable-Real Estate 642,241 684,031
Real Estate on Hand 29,727 0
Equipment 11,660 6,888
Total Investments $ 686,478 $ 693,796
Total Assets $ 730,649 $ 743,152
Liabilities and Stockholders' Equity
Current Liabilities:
Buyers Escrow $ 9,439 $ 9,786
Contracts Payable 4,316 3,889
Total Current Liabilities $ 13,755 $ 13,675
Long Term Liabilities:
Contracts Payable $ 9,349 $ 13,729
Total Long Term Liabilities $ 9,349 $ 13,729
Total Liabilities $ 23,104 $ 27,404
Stockholders' Equity:
Capital Stock, no par value, 100,000,000 shares
authorized, 11,260,675 shares issued $ 3,780,765 $ 3,780,765
Paid in Capital 100 100
Retained Earnings (Deficit) (3,040,068) (3,031,865)
Treasury Stock, at cost (33,252) (33,252)
Total Stockholders' Equity $ 707,545 $ 715,748
Total Liabilities and Stockholders'
Equity $ 730,649 $ 743,152
EX-99.7
STATEMENT OF OPERATIONS FOR 06/01
HYNES & HOWES INSURANCE COUNSELORS, INC.
Statement of Operations
For the Three Months and Nine Months Ended June 30, 2001 and 2000
(Unaudited)
The following Statements of Operations of Hynes & Howes Insurance Counselors,
Inc. for the three months and nine months ended June 30, 2001 and 2000,
reflect, in the opinion of the Company, all adjustments (which include only
normal recurring adjustments) necessary to present fairly the results of
operations for such periods. The results for interim periods are not
necessarily indicative of results to be expected for the year.
Three Months Ended Nine Months Ended
June 30, June 30,
2001 2000 2001 2000
Operating Income:
Interest $21,658 $19,053 $ 58,987 $61,116
Other Income 1,894 777 3,105 3,618
Total Operating Income $23,552 $19,830 $ 62,092 $64,734
Operating Expenses:
Management Fees 12,000 12,000 36,000 33,750
Legal and Audit 371 471 9,284 12,353
Other Operating Expenses 18,951 6,686 34,401 15,201
Total Operating Expenses$31,322 $19,157 $ 79,685 $61,304
Income (Loss) from Operations(7,770) 673 (17,593) 3,430
Provision for Income Taxes$ 0 $ 0 $ 0 $ 0
Net Income (Loss) $(7,770) $ 673 $(17,593) $ 3,430
Earnings Per Common Share $ 0 $ 0 $ 0 $ 0
Dividends per Common Share $ 0 $ 0 $ 0 $ 0
EX-99.8
STATEMENT OF CASH FLOW FOR 06/01
HYNES & HOWES INSURANCE COUNSELORS, INC.
Statement of Cash Flow
For the Nine Months Ended June 30, 2001 and 2000
Increase (Decrease) in Cash and Cash Equivalents
(Unaudited)
Nine Months Ended
June 30,
2001 2000
Cash Flows from Operating Activities:
Interest Received $ 58,987 $ 61,116
Other Income Received 3,105 3,618
Legal, Audit and Management Fees Paid (41,284) (46,103)
Cash Paid to Suppliers for
Operating Expenses (32,488) (13,823)
Net Cash Provided (Used)
by Operating Activities $ (11,680) $ 4,808
Cash Flow from Investing Activities:
Principal Collected on Real Estate
Contracts 86,270 177,617
Purchase of Real Estate Contracts (47,812) 0
Purchase and Sale of Real Estate (net) (29,727) (153,954)
Purchase of Note Receivable 0 15,000
Buyers Escrow Received (Paid) 2,000 2,318
Tax Certificates Collected (Purchased) (2,346) (6,260)
Principal Paid on Contract Payable (2,995) (1,231)
Net Cash Provided (Used)
by Investing Activities $ 5,390 $ 3,490
Cash Flow from Financing Activities:
Purchase of Equipment $ (7,144) $ 0
Net Cash Provided (Used)
by Financing Activities $ (7,144) $ 0
Net Increase (Decrease) in Cash
and Cash Equivalents $ (13,434) $ 8,298
Cash & Cash Equivalents at
Beginning of Period $ 48,701 $ 5,963
Cash and Cash Equivalents at End of Period $ 35,267 $ 14,261
EX-27
ART. 5 FDS FOR 06/30/01
PERIOD-TYPE 9-MOS
FISCAL-YEAR-END SEP-30-2001
PERIOD-END JUN-30-2001
CASH 35,267
SECURITIES 2,850
RECEIVABLES 642,241
ALLOWANCES 0
INVENTORY 0
CURRENT-ASSETS 8,904
PP&E 16,328
DEPRECIATION 4,668
TOTAL-ASSETS 730,649
CURRENT-LIABILITIES 13,755
BONDS 0
PREFERRED-MANDATORY 0
PREFERRED 0
COMMON 3,780,765
OTHER-SE 100
TOTAL-LIABILITY-AND-EQUITY 730,649
SALES 0
TOTAL-REVENUES 62,092
CGS 0
TOTAL-COSTS 79,685
OTHER-EXPENSES 0
LOSS-PROVISION 0
INTEREST-EXPENSE 1,045
INCOME-PRETAX (17,593)
INCOME-TAX 0
INCOME-CONTINUING 0
DISCONTINUED 0
EXTRAORDINARY 0
CHANGES 0
NET-INCOME (17,593)
EPS-PRIMARY 0
EPS-DILUTED 0