EXHIBIT 99.10
UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF TEXAS
CORPUS CHRISTI DIVISION
CASE NAME: ERLY Industries, Inc. Petition Date: 09/28/98
CASE NUMBER: 98-21515-C-11
MONTHLY OPERATING REPORT SUMMARY FOR MONTH ENDING JUNE 30, 1999
- ------------------------------------------------------------------------------------------------------------------------------
MONTH OCTOBER, NOVEMBER, DECEMBER, JANUARY, FEBRUARY,
1998 1998 1998 1999 1999
- ------------------------------------------------------------------------------------------------------------------------------
REVENUES (MOR-6) $40,000 $40,000 $40,000 $40,000 $40,000
INCOME(LOSS) BEFORE INT,DEPR/TAX (MOR-6) $15,384 ($18,756) ($59,371) ($9,334) $11,681
NET INCOME(LOSS) (MOR-6) $15,384 ($18,756) ($59,371) ($9,334) $11,681
PAYMENTS TO INSIDERS (MOR-9) $13,000 $41,200 $12,873 $24,962 $24,961
PAYMENTS TO PROFESSIONALS (MOR-9) $6,201 $2,562 $0 $36,360 $0
TOTAL DISBURSEMENTS (MOR-8) $4,048 $64,154 $61,053 $116,910 $85,755
- --------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------
MONTH MARCH, 1999 APRIL, 1999 MAY, 1999 JUNE, 1999
- -------------------------------------------------------------------------------------------------------------
REVENUES (MOR-6) $40,000 $0 $280,000 $220,000
INCOME(LOSS) BEFORE INT,DEPR/TAX (MOR-6) ($118,870) ($152,737) $105,997 $18,584
NET INCOME(LOSS) (MOR-6) ($118,870) ($152,737) $105,997 $18,584
PAYMENTS TO INSIDERS (MOR-9) $24,962 $26,442 $24,962 $24,962
PAYMENTS TO PROFESSIONALS (MOR-9) $133,309 $0 $133,356 $151,795
TOTAL DISBURSEMENTS (MOR-8) $158,139 $193,643 $184,402 $195,302
- -------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------
REQUIRED INSURANCE MAINTAINED
AS OF SIGNATURE DATE EXPIR
DATE
- ------------------------------------------------------------------------------
CASUALTY YES ( ) NO (X) NA
LIABILITY YES (X) NO ( ) 06/01/99
VEHICLE YES ( ) NO (X) NA
WORKERS YES (X) NO ( ) 02/01/00
OTHER - FOREIGN PACK. YES ( ) NO (x)
- ------------------------------------------------------------------------------
Are all accounts receivable being collected within terms? Unknown See attachment
------- --------------
Are all post-petition liabilities, including taxes, being paid within terms? Yes
Have any pre-petition liabilities been paid? No If so, describe ---
---
Are all funds received being deposited into DIP bank account? Yes
---
Were any assets disposed of outside of the normal course of business? No
If so, describe. --
Are all U. S. Trustee quarterly fee payments current? Yes
---
What is the status of your Plan of Reorganization? In Process - Pending
--------------------
- ------------------------------------------------------------------------------
ATTORNEY NAME: Matthew Rosenstein, Esq.
FIRM:
ADDRESS: 711 N Carancahua, # 420
ADDRESS:
CITY, STATE, ZIP Corpus Christi, TX 78475
TELEPHONE: 512-883-5577
- ------------------------------------------------------------------------------
MOR-1
I certify under penalty of perjury that the following complete
Monthly Operating Report (MOR), consisting of MOR-1 through
MOR-9 plus attachments, are true and correct except that the
information on MOR-2 and MOR-3 was obtained from the former
company controller acting as a consultant. I make no claim as to
accuaracy of that information.
SIGNED: /s/ Nanette N. Kelley
_______________________________________________
Nanette N. Kelley
TITLE: _______________________________________________
President
CASE NAME: ERLY Industries, Inc. CASE NUMBER: 98-21515-C-11
COMPARATIVE BALANCE SHEETS
- -------------------------------------------------------------------------------------------------------------------------------
ASSETS FILING DATE*
09/28/1998 OCTOBER, 1998 NOVEMBER, 1998 DECEMBER 1998 JANUARY 1999
- -------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
CASH $141,972 $139,572 $177,758 $135,201 $140,722
ACCOUNTS RECEIVABLE, NET 241,322 241,322 241,322 238,544 238,544
INVENTORY: LOWER OF COST OR MARKET 0 0 0 0 0
PREPAID EXPENSES 39,239 39,239 51,239 39,239 39,239
INVESTMENTS 0 0 0 0 0
OTHER 71,173 111,173 58,240 93,529 54,359
----------------------------------------------------------------------------------
TOTAL CURRENT ASSETS 493,706 531,306 528,559 506,513 472,864
----------------------------------------------------------------------------------
PROPERTY, PLANT& EQUIP, @ COST 11,617,497 11,617,497 11,617,497 11,617,497 11,617,497
LESS ACCUMULATED DEPRECIATION (3,129,697) (3,129,697) (3,129,697) (3,129,697) (3,129,697)
NET BOOK VALUE OF PP&E 8,487,800 8,487,800 8,487,800 8,487,800 8,487,800
OTHER ASSETS:
TAX DEPOSITS 0 0 0 0 0
INVESTMENTS IN SUBS (66,884,551) (66,884,551) (66,884,551) (66,884,551) (66,884,551)
DEFERRED BOND COSTS, NET 78,375 78,375 78,375 78,375 78,375
----------------------------------------------------------------------------------
TOTAL ASSETS ($57,824,670) ($57,787,070) ($57,789,817) ($57,811,863) ($57,845,512)
==================================================================================
- ---------------------------------------------------------------------------------------------------------------------------------
ASSETS FEBRUARY, 1999 MARCH, 1999 APRIL, 1999 MAY, 1999 JUNE, 1999
- ----------------------------------------------------------------------------------------------------------------------------------
CURRENT ASSETS
CASH $124,049 $7,082 $170,402 $272,422 $297,120
ACCOUNTS RECEIVABLE, NET 235,463 235,463 235,463 235,463 235,463
INVENTORY: LOWER OF COST OR MARKET $0 $0 $0 $0 $0
PREPAID EXPENSES 39,239 39,239 39,239 39,239 39,239
INVESTMENTS 0 0 0 0 0
OTHER 52,004 52,003 (259,747) (259,747) (259,747)
---------------------------------------------------------------------------------------
TOTAL CURRENT ASSETS 450,755 333,788 185,358 287,378 312,076
---------------------------------------------------------------------------------------
PROPERTY, PLANT& EQUIP, @ COST 11,617,497 11,617,497 11,617,497 11,617,497 11,617,497
LESS ACCUMULATED DEPRECIATION (3,129,697) (3,129,697) (3,129,697) (3,129,697) (3,129,697)
NET BOOK VALUE OF PP&E 8,487,800 8,487,800 8,487,800 8,487,800 8,487,800
OTHER ASSETS:
TAX DEPOSITS 0 0 0 0 0
INVESTMENTS IN SUBS (66,884,551) (66,884,551) (66,884,551) (66,884,551) (66,884,551)
DEFERRED BOND COSTS, NET 78,375 78,375 78,375 78,375 78,375
=======================================================================================
TOTAL ASSETS ($57,867,621) ($57,984,588) ($58,133,018) ($58,030,998) ($58,006,300)
=======================================================================================
MOR-2
CASE NAME: ERLY Industries, Inc. CASE NUMBER: 98-21515-C-11
COMPARATIVE BALANCE SHEETS
- -----------------------------------------------------------------------------------------------------------------------------------
FILING DATE*
LIABILITIES & OWNERS EQUITY 09/28/1998 OCTOBER, 1998 NOVEMBER, 1998 DECEMBER, 1998 JANUARY 1999
----------------------------------------------------------------------------------------------------------------------------------
LIABILITIES:
POST-PETITION LIABILITIES (MOR-4) $0 $22,216 $38,225 $75,550 $51,235
PRE-PETITION LIABILITIES: ----------------------------------------------------------------------------------------
NOTES PAYABLE - SECURED $6,102,725 $6,102,725 $6,102,725 $6,102,725 $6,102,725
PRIORITY DEBT 0 0 0 0 0
FEDERAL INCOME TAX 1,864,285 1,864,285 1,864,285 1,864,285 1,864,285
FICA/WITHHOLDING 0 0 0 0 0
UNSECURED DEBT 1,167,204 1,167,204 1,167,204 1,167,204 1,167,204
OTHER - INTERCO PAYABLES 13,193,230 13,193,230 13,193,230 13,193,230 13,193,230
----------------------------------------------------------------------------------------
TOTAL LIABILITIES 22,327,444 22,349,660 22,365,669 22,402,994 22,378,679
----------------------------------------------------------------------------------------
OWNER'S EQUITY (DEFICIT)
PREFERRED STOCK 0 0 0 0 0
COMMON STOCK 57,621 57,621 57,621 57,621 57,621
ADDITIONAL PAID-IN CAPITAL 33,070,204 33,070,204 33,070,204 33,070,204 33,070,204
RETAINED EARNINGS: FILING DATE (113,279,939) (113,279,939) (113,279,939) (113,279,939) (113,279,939)
RETAINED EARNINGS: POST FILING DATE 0 15,384 (3,372) (62,743) (72,077)
TOTAL OWNER'S EQUITY (NET WORTH) (80,152,114) (80,136,730) (80,155,486) (80,214,857) (80,224,191)
----------------------------------------------------------------------------------------
TOTAL LIABILITIES & OWNER'S EQUITY ($57,824,670) ($57,787,070) ($57,789,817) ($57,811,863) ($57,845,512)
========================================================================================
- -----------------------------------------------------------------------------------------------------------------------------------
LIABILITIES & OWNERS EQUITY FEBRUARY, 1999 MARCH, 1999 APRIL, 1999 MAY, 1999 JUNE, 1999
- -----------------------------------------------------------------------------------------------------------------------------------
LIABILITIES:
POST-PETITION LIABILITIES (MOR-4) $17,445 $19,248 $23,555 $19,578 $25,692
---------------------------------------------------------------------------------------
PRE-PETITION LIABILITIES:
NOTES PAYABLE - SECURED $6,102,725 $6,102,725 $6,102,725 $6,102,725 $6,102,725
PRIORITY DEBT 0 0 0 0 0
FEDERAL INCOME TAX 1,864,285 1,864,285 1,864,285 1,864,285 1,864,285
FICA/WITHHOLDING 0 0 0 0 0
UNSECURED DEBT 1,167,204 1,167,204 1,167,204 1,167,204 1,167,204
OTHER - INTERCO PAYABLES 13,193,230 13,193,230 13,193,230 13,193,230 13,193,230
---------------------------------------------------------------------------------------
TOTAL LIABILITIES 22,344,889 22,346,692 22,350,999 22,347,022 22,353,136
---------------------------------------------------------------------------------------
OWNER'S EQUITY (DEFICIT)
PREFERRED STOCK 0 0 0 0 0
COMMON STOCK 57,621 57,621 57,621 57,621 57,621
ADDITIONAL PAID-IN CAPITAL 33,070,204 33,070,204 33,070,204 33,070,204 33,070,204
RETAINED EARNINGS: FILING DATE (113,279,939) (113,279,939) (113,279,939) (113,279,939) (113,279,939)
RETAINED EARNINGS: POST FILING DATE (60,396) (179,166) (331,903) ($225,906) ($207,322)
TOTAL OWNER'S EQUITY (NET WORTH) (80,212,510) (80,331,280) (80,484,017) (80,378,020) (80,359,436)
=======================================================================================
TOTAL LIABILITIES & OWNER'S EQUITY ($57,867,621) ($57,984,588) ($58,133,018) ($58,030,998) ($58,006,300)
=======================================================================================
MOR-3
CASE NAME: ERLY INDUSTRIES, INC. CASE NUMBER: 98-21515-C-11
SCHEDULE OF POST-PETITION LIABILITIES
---------------------------------------------------------------------------------------------------------------------------
OCTOBER, 1998 NOVEMBER, DECEMBER, JANUARY, FEBRUARY,
1998 1998 1999 1999 MARCH, 1999
---------------------------------------------------------------------------------------------------------------------------
TRADE ACCOUNTS PAYABLE $3,015 $20,749 $18,564 $47,722 $16,617 $18,143
TAX PAYABLE
FEDERAL PAYROLL TAXES $0 $0 $0 $0 $0 $0
STATE PAYROLL & SALES TAXES 0 276 553 552 828 1,105
AD VALOREM TAXES 0 0 0 0 0 0
OTHER TAXES 0 0 0 0 0 0
------------------------------------------------------------------------------------
TOTAL TAXES PAYABLE 0 276 553 552 828 1,105
------------------------------------------------------------------------------------
SECURED DEBT POST-PETITION 0 0 0 0 0 0
ACCRUED INTEREST PAYABLE 0 0 0 0 0 0
ACCRUED PROFESSIONAL FEES: (MOR-9)* 6,201 0 36,360 0 0 0
OTHER ACCRUED LIABILITIES: 0 0 0
1 DIRECTOR'S FEES (MOR-9) 3,000 0 0 0 0 0
2 ACCRUED PAYROLL FOR NNK (MOR-9) 10,000 10,000 10,000 0 0 0
3 ACCRUED OFFICER - CONTRACT (WR) 0 7,200 10,073 2,961 0 0
------------------------------------------------------------------------------------
TOTAL POST-PETITION LIABILITIES (MOR-3) $22,216 $38,225 $75,550 $51,235 $17,445 $19,248
====================================================================================
-------------------------------------------------------------------------------------------
APRIL, 1999 MAY, 1999 JUNE, 1999
-------------------------------------------------------------------------------------------
TRADE ACCOUNTS PAYABLE $23,279 $19,026 $24,864
TAX PAYABLE
FEDERAL PAYROLL TAXES $0 $0 $0
STATE PAYROLL & SALES TAXES 276 552 828
AD VALOREM TAXES 0 0 0
OTHER TAXES 0 0 0
---------------------------------------------
TOTAL TAXES PAYABLE 276 552 828
---------------------------------------------
SECURED DEBT POST-PETITION 0 0 0
ACCRUED INTEREST PAYABLE 0 0 0
ACCRUED PROFESSIONAL FEES: (MOR-9)* 0 0 0
OTHER ACCRUED LIABILITIES: 0 0 0
1 DIRECTOR'S FEES (MOR-9) 0 0 0
2 ACCRUED PAYROLL FOR NNK (MOR-9) 0 0 0
3 ACCRUED OFFICER - CONTRACT (WR) 0 0 0
=============================================
TOTAL POST-PETITION LIABILITIES (MOR-3) $23,555 $19,578 $25,692
=============================================
MOR-4
CASE NAME: ERLY Industries, Inc. CASE NUMBER: 98-21515-C-11
AGING OF POST-PETITION LIABILITIES
JUNE, 1999
------------------------------------------------------------------------------------------------------------------------------
AD-VALOREM &
DAYS TOTAL TRADE ACCTS FED TAXES STATE TAXES OTHER TAXES OTHER
------------------------------------------------------------------------------------------------------------------------------
0-30 $25,692 $24,864 $0 $828 $0 $0
31-60 $0 0 0 0 0 0
61-90 $0 0 0 0 0 0
91+ $0 0 0 0 0 0
---------------------------------------------------------------------------------------------------------------
TOTAL $25,692 $24,864 $0 $828 $0 $0
---------------------------------------------------------------------------------------------------------------
AGING OF ACCOUNTS RECEIVABLE
----------------------------
--------------------------------------------------------------------------------------------------------------------------
NOVEMBER, DECEMBER, FEBRUARY,
MONTH OCTOBER, 1998 1998 1998 JANUARY, 1999 1999 MARCH, 1999 APRIL, 1999
--------------------------------------------------------------------------------------------------------------------------
0-30 DAYS $0 $0 $0 $0 $0 $0 $0
31-60 DAYS $0 $0 $0 $0 $0 $0 $0
61-90 DAYS $0 $0 $0 $0 $0 $0 $0
91+ DAYS $241,322 $241,322 $238,544 $238,544 $235,463 $235,463 $235,463
-----------------------------------------------------------------------------------------------------------
TOTAL $241,322 $241,322 $238,544 $238,544 $235,463 $235,463 $235,463
===========================================================================================================
----------------------------------------------------
MONTH MAY, 1999 JUNE, 1999
----------------------------------------------------
0-30 DAYS $0 $0
31-60 DAYS $0 $0
61-90 DAYS $0 $0
91+ DAYS $235,463 $235,463
===========================
TOTAL $235,463 $235,463
===========================
MOR-5
CASE NAME: ERLY Industries, Inc. CASE NUMBER: 98-21515-C-11
STATEMENT OF INCOME OR (LOSS)
- --------------------------------------------------------------------------------------------------------------------------------
MONTH OCTOBER, 1998 NOVEMBER, 1998 DECEMBER, 1998 JANUARY, 1999 FEBRUARY, 1999
- --------------------------------------------------------------------------------------------------------------------------------
REVENUES (MOR-1) $40,000 $40,000 $40,000 $40,000 $40,000
TOTAL COST OF REVENUES 0 0 0 0 0
-------------------------------------------------------------------------------------
GROSS PROFIT $40,000 $40,000 $40,000 $40,000 $40,000
-------------------------------------------------------------------------------------
OPERATING EXPENSES:
SELLING & MARKETING $0 $0 $0 $0 $0
GENERAL & ADMINISTRATIVE 5,415 26,229 38,903 24,372 3,358
INSIDERS COMPENSATION 13,000 29,965 24,108 24,962 24,961
PROFESSIONAL FEES 6,201 2,562 36,360 0 0
OTHER (attach list) SEE FOOTNOTES 0 0 0 0 0
-------------------------------------------------------------------------------------
TOTAL OPERATING EXPENSES 24,616 58,756 99,371 49,334 28,319
-------------------------------------------------------------------------------------
INCOME BEFORE INT,DEPR/TAX (MOR-1) $15,384 ($18,756) ($59,371) ($9,334) $11,681
-------------------------------------------------------------------------------------
INTEREST EXPENSE 0 0 0 0 0
DEPRECIATION 0 0 0 0 0
OTHER(INCOME)EXPENSE(MOR-10) 0 0 0 0 0
OTHER ITEMS(MOR-10) 0 0 0 0 0
-------------------------------------------------------------------------------------
TOTAL INT.DEPR&OTHER ITEMS $0 $0 $0 $0 $0
-------------------------------------------------------------------------------------
NET INCOME BEFORE TAXES $15,384 ($18,756) ($59,371) ($9,334) $11,681
-------------------------------------------------------------------------------------
FEDERAL INCOME TAXES $0 $0 $0 $0 $0
-------------------------------------------------------------------------------------
NET INCOME (LOSS) (MOR-1) $15,384 ($18,756) ($59,371) ($9,334) $11,681
=====================================================================================
- ------------------------------------------------------------------------------------------------------------------------------
MONTH MARCH, 1999 APRIL, 1999 MAY, 1999 JUNE, 1999 FILING TO DATE
- ------------------------------------------------------------------------------------------------------------------------------
REVENUES (MOR-1) $40,000 $0 $280,000 $220,000 $740,000
TOTAL COST OF REVENUES 0 0 0 0 $0
----------------------------------------------------------------------------------
GROSS PROFIT $40,000 $0 $280,000 $220,000 $740,000
----------------------------------------------------------------------------------
OPERATING EXPENSES:
SELLING & MARKETING $0 $0 $0 $0 $0
GENERAL & ADMINISTRATIVE 20,499 126,295 15,685 23,349 $284,105
INSIDERS COMPENSATION 24,962 26,442 24,962 24,962 $218,324
PROFESSIONAL FEES 113,309 0 133,356 153,105 $444,893
OTHER (attach list) SEE FOOTNOTES 0 0 0 0 $0
----------------------------------------------------------------------------------
TOTAL OPERATING EXPENSES 158,770 152,737 174,003 201,416 947,322
----------------------------------------------------------------------------------
INCOME BEFORE INT,DEPR/TAX (MOR-1) ($118,770) ($152,737) $105,997 $18,584 ($207,322)
----------------------------------------------------------------------------------
INTEREST EXPENSE 0 0 0 0 $0
DEPRECIATION 0 0 0 0 $0
OTHER(INCOME)EXPENSE(MOR-10) 0 0 0 0 $0
OTHER ITEMS(MOR-10) 0 0 0 0 $0
----------------------------------------------------------------------------------
TOTAL INT.DEPR&OTHER ITEMS $0 $0 $0 $0 $0
----------------------------------------------------------------------------------
NET INCOME BEFORE TAXES ($118,770) ($152,737) $105,997 $18,584 ($207,322)
----------------------------------------------------------------------------------
FEDERAL INCOME TAXES $0 $0 $0 $0 $0
----------------------------------------------------------------------------------
NET INCOME (LOSS) (MOR-1) ($118,770) ($152,737) $105,997 $18,584 ($207,322)
==================================================================================
MOR-6
CASE NAME: ERLY Industries, Inc. CASE NUMBER: 98-21515-C-11
----------------------------------------------------------------------------------------------------------------------------
OCTOBER, NOVEMBER, DECEMBER, FEBRUARY,
CASH RECEIPTS AND DISBURSEMENTS 1998 1998 1998 JANUARY, 1999 1999
----------------------------------------------------------------------------------------------------------------------------
1 CASH - BEGINNING OF MONTH $141,972 $139,572 $177,758 $135,201 $140,722
-----------------------------------------------------------------------------------
RECEIPTS:
2 CASH SALES $0 $0 $0 $0 $0
3 COLLECTION OF ACCOUNTS RECEIVABLE 0 100,000 9,845 80,000 43,081
4 LOANS & ADVANCES 0 0 0 0 0
5 SALE OF ASSETS 0 0 0 0 0
6 OTHER (attach list) 1,648 2,340 8,651 47,431 26,002
-----------------------------------------------------------------------------------
TOTAL RECEIPTS 1,648 102,340 18,496 127,431 69,083
-----------------------------------------------------------------------------------
DISBURSEMENTS:
7 NET PAYROLL 0 6,896 6,896 23,900 6,913
8 PAYROLL TAXES PAID 0 3,593 3,593 7,760 3,575
9 SALES, USE & OTHER TAXES PAID 0 0 0 10 0
10 SECURED/RENTAL/LEASES 0 0 0 5,625 0
11 UTILITIES 0 0 0 0 0
12 INSURANCE 1,996 10,157 13,359 12,945 12,564
13 INVENTORY PURCHASES 0 0 0 0 0
14 VEHICLE EXPENSE 0 0 0 0 0
15 TRAVEL & ENTERTAINMENT 0 90 2,722 1,845 0
16 REPAIRS, MAINTENANCE & SUPPLIES 0 0 0 0 0
17 ADMINISTRATIVE & SELLING 1,222 867 32,588 15,715 18,817
18 OTHER(attach list) 0 33,538 0 17,000 43,887
-----------------------------------------------------------------------------------
TOTAL DISBURSEMENTS FROM OPERATIONS 3,218 55,141 59,158 84,800 85,756
-----------------------------------------------------------------------------------
19 PROFESSIONAL FEES 0 8,763 0 36,360 0
20 U.S. TRUSTEE FEES 0 250 0 750 0
21 OTHER REORGANIZATION EXPENSES (attach
list) 830 0 1,895 0 0
-----------------------------------------------------------------------------------
TOTAL DISBURSEMENTS $4,048 $64,154 $61,053 $121,910 $85,756
-----------------------------------------------------------------------------------
22 NET CASH FLOW (2,400) 38,186 (42,557) 5,521 (16,673)
-----------------------------------------------------------------------------------
23 CASH - END OF MONTH (MOR-2) $139,572 $177,758 $135,201 $140,722 $124,049
===================================================================================
------------------------------------------------------------------------------------------------------------------
CASH RECEIPTS AND DISBURSEMENTS MARCH, 1999 APRIL, 1999 MAY, 1999 JUNE, 1999
------------------------------------------------------------------------------------------------------------------
1 CASH - BEGINNING OF MONTH $124,049 $7,082 $170,402 $272,422
-------------------------------------------------------------------
RECEIPTS:
2 CASH SALES $0 $0 $0 $0
3 COLLECTION OF ACCOUNTS RECEIVABLE 40,000 351,751 0 0
4 LOANS & ADVANCES 0 360 0 0
5 SALE OF ASSETS 0 0 0 0
6 OTHER (attach list) 1,172 4,853 286,422 220,000
-------------------------------------------------------------------
TOTAL RECEIPTS 41,172 356,963 286,422 220,000
-------------------------------------------------------------------
DISBURSEMENTS:
7 NET PAYROLL 6,913 6,913 6,913 6,913
8 PAYROLL TAXES PAID 3,575 4,736 3,575 3,575
9 SALES, USE & OTHER TAXES PAID 0 0 0 0
10 SECURED/RENTAL/LEASES 0 0 0 0
11 UTILITIES 0 0 0 0
12 INSURANCE 3,760 107,915 1,618 483
13 INVENTORY PURCHASES $0 $0 $0 $0
14 VEHICLE EXPENSE 0 0 0 0
15 TRAVEL & ENTERTAINMENT 1,575 0 0 0
16 REPAIRS, MAINTENANCE & SUPPLIES 0 0 0 0
17 ADMINISTRATIVE & SELLING 16,095 18,328 23,294 21,627
18 OTHER(attach list) 12,000 52,000 12,000 12,000
-------------------------------------------------------------------
TOTAL DISBURSEMENTS FROM OPERATIONS 43,919 189,893 47,401 44,599
-------------------------------------------------------------------
19 PROFESSIONAL FEES 113,309 0 133,356 150,109
20 U.S. TRUSTEE FEES 912 3,750 3,645 595
21 OTHER REORGANIZATION EXPENSES (attach list) 0 0 0 0
-------------------------------------------------------------------
TOTAL DISBURSEMENTS $158,139 $193,643 $184,402 $195,303
-------------------------------------------------------------------
22 NET CASH FLOW (116,967) 163,320 102,020 24,697
-------------------------------------------------------------------
23 CASH - END OF MONTH (MOR-2) $7,082 $170,402 $272,422 $297,120
===================================================================
MOR-7
CASE NAME: ERLY Industries, Inc. CASE NUMBER: 98-21515-C-11
CASH ACCOUNT RECONCILIATION
MONTH OF JUNE1999
-----------------
------------------------------------------------------------------------------------------------
BANK NAME UNION PLANTERS BANK OF BANK OF BANK ONE,
BANK AMERICA AMERICA ARIZONA, NA WELLS FARGO PETTY CASH TOTAL
-------------------------------------------------------------------------------------------------
ACCOUNT NUMBER 9500013041 00991-06046 03445-09141 2357-0372 4311854350 NA
-------------------------------------------------------------------------------------------------
ACCOUNT TYPE OPERATING PAYROLL OPERATING OPERATING OPERATING NA
-------------------------------------------------------------------------------------------------
BANK BALANCE $309,485 CLOSED CLOSED CLOSED CLOSED CLOSED 309,485
DEPOSIT IN TRANSIT 0 0 0 0 0
OUTSTANDING CHECKS 12,365 0 0 0 12,365
-----------------------------------------------------------------------------------------------
ADJUSTED BANK BALANCE $297,120 $0 $0 $0 $0 $0 $297,120
===============================================================================================
BEGINNING CASH - PER BOOKS $272,422 $0 $0 $0 $0 $0 272,422
RECEIPTS 220,000 0 0 0 0 0 220,000
TRANSFER BETWEEN ACCOUNTS 0 0 0 0 0 0 0
CHECKS/OTHER DISBURSEMENTS 195,302 0 0 0 0 0 195,302
-----------------------------------------------------------------------------------------------
ENDING CASH - PER BOOKS $297,120 $0 $0 $0 $0 $0 $297,120
===============================================================================================
MOR-8
CASE NAME: ERLY Industries, Inc. CASE NUMBER: 98-21515-C-11
PAYMENTS TO INSIDERS AND PROFESSIONALS
--------------------------------------------------------------------------------------------------------------------------
INSIDERS: NAME/POSITION/ OCTOBER, NOVEMBER, DECEMBER, JANUARY, FEBRUARY,
COMP TYPE 1998 1998 1998 1999 1999
-------------------------------------------------------------------------------------------------------------------------
1 EUGENE CAFIERO/DIRECTOR/FEES 3,000 6,000 0 3,000 3,000
2 NANETTE KELLEY/PRES/SALARY 10,000 10,000 10,000 10,000 10,000
3 WENDY REEVES/ASSTSEC/CONTRACT 7,200 2,873 2,962 2,961
4 BERYL ANTHONY /DIRECTOR/FEES 6,000 0 3,000 3,000
5 BILL BLAKE/DIRECTOR/FEES 6,000 0 3,000 3,000
6 PETE SEALE, JR./DIRECTOR/FEES 6,000 0 3,000 3,000
7
8
----------------------------------------------------------------------------------
TOTAL INSIDERS (MOR-1) $13,000 $41,200 $12,873 $24,962 $24,961
==================================================================================
----------------------------------------------------------------------------------------------------------
INSIDERS: NAME/POSITION/ MARCH, APRIL, MAY, JUNE,
COMP TYPE 1999 1999 1999 1999
----------------------------------------------------------------------------------------------------------
1 EUGENE CAFIERO/DIRECTOR/FEES 3,000 3,000 3,000 3,000
2 NANETTE KELLEY/PRES/SALARY 10,000 10,000 10,000 10,000
3 WENDY REEVES/ASSTSEC/CONTRACT 2,962 4,442 2,962 2,962
4 BERYL ANTHONY /DIRECTOR/FEES 3,000 3,000 3,000 3,000
5 BILL BLAKE/DIRECTOR/FEES 3,000 3,000 3,000 3,000
6 PETE SEALE, JR./DIRECTOR/FEES 3,000 3,000 3,000 3,000
7
8
-------------------------------------------------------------
TOTAL INSIDERS (MOR-1) $24,962 $26,442 $24,962 $24,962
=============================================================
----------------------------------------------------------------------------------------------------------------
PROFESSIONALS NAME/
ORDER DATE OCTOBER, NOVEMBER, DECEMBER, JANUARY, FEBRUARY, MARCH,
1998 1998 1998 1999 1999 1999
----------------------------------------------------------------------------------------------------------------
1 THOMAS WHITLOCK 6,201 0 0 6,014 0 2,208
2 MATTHEW ROSENSTEIN 0 2,562 0 30,346 0 50,158
3 HUGHES & LUCE, LLP 0 0 0 0 0 60,943
4 PETERSON WORLDWIDE 0 0 0 0 0 0
5 MIKE BOUDLOCHE 0 0 0 0 0 0
6 WALLACE & WHEELER 0 0 0 0 0 0
7
8
=====================================================================================
TOTAL PROFESSIONALS (MOR-1) $6,201 $2,562 $0 $36,360 $0 $113,309
=====================================================================================
---------------------------------------------------------------------------------
PROFESSIONALS NAME/ APRIL, MAY, JUNE,
ORDER DATE 1999 1999 1999
---------------------------------------------------------------------------------
1 THOMAS WHITLOCK 0 1,769 1,686
2 MATTHEW ROSENSTEIN 0 59,001 38,309
3 HUGHES & LUCE, LLP 0 0 100,237
4 PETERSON WORLDWIDE 0 61,878 0
5 MIKE BOUDLOCHE 0 10,708 0
6 WALLACE & WHEELER 0 0 11,563
7
8
==================================================
TOTAL PROFESSIONALS (MOR-1) $0 $133,356 $151,795
==================================================
MOR-9
CASE NAME: ERLY Industries, Inc. CASE NUMBER: 98-21515-C-11
FOOTNOTES TO MOR SCHEDULES
JUNE, 1999
MOR REF:
MOR-1
MOR-2
MOR-3
MOR-4
MOR-5
1 RICHARD McCOMBS - OPTION ON STOCK PURCHASE -STOCK HELD AS SECURITY $41,322
2 THE BEVERAGE SOURCE - EST OF DEPOSIT ON ENVIRONMENT CLEANUP $194,141
==============
TOTAL ACCOUNTS RECEIVABLE $235,463
==============
MOR-6
MOR-7
1 DIVIDENDS FROM WATCH-EDGE INTERNATIONAL $220,000
==============
TOTAL OF LINE 6 $220,000
==============
1 DIRECTORS' FEES $12,000
==============
TOTAL OF LINE 18 $12,000
==============
MOR-8
MOR-9