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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
FORM 10-QSB
Quarterly or Transitional Report
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (D)
OF THE SECURITIES EXCHANGE ACT OF 1934
FOR THE QUARTER ENDED JUNE 30, 1997
or
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
COMMISSION FILE NUMBER 2-29987
UPWARD TECHNOLOGY CORPORATION
(Exact name of registrant as specified in its charter)
NEW YORK 11-1714403
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(State or other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
301 CITY AVENUE, BALA CYNWYD, PA 19004
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(Address of principal executive offices) (Zip Code)
215 667-8225
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(Issuer's telephone number)
Check whether the issuer (1) 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
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APPLICABLE ONLY TO CORPORATE ISSUERS
The number of shares outstanding of the issuer's common stock as of
March 31, 1997 was 8,100,000.
Transitional Small Business Disclosure Format (check one): Yes No X
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TABLE OF CONTENTS
PART I - FINANCIAL INFORMATION: PAGE NO.
ITEM 1. Balance Sheets as of June 30, 1997
and June 30, 1996 3
Statements of Operations
Three Months Ended June 30, 1997
and June 30, 1996 4
Statement of Cash Flows
Three Months Ended June 30, 1997
and June 30, 1996 5
Notes to Financial Statements 6
ITEM 2. Management's Discussion and
Analysis of Financial Condition
and Results of Operations 7
PART II - OTHER INFORMATION:
ITEM 1. Legal Proceedings 8
ITEM 2. Changes in Securities 8
ITEM 3. Defaults Upon Senior Securities 8
ITEM 4. Submission of Matters to a Vote 8
of Security Holders
ITEM 5. Other Information 8
ITEM 6. Exhibits and Reports on Form 8-K 8
Signatures 9
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UPWARD TECHNOLOGY CORPORATION
STATEMENTS OF ASSETS, LIABILITIES AND STOCKHOLDER'S EQUITY
June 30, 1997 1996
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ASSETS
CURRENT
Cash and cash equivalents $ 198,040 $ 202,751
Prepaid expenses 422 422
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TOTAL ASSETS $ 198,462 $ 203,173
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LIABILITIES AND STOCKHOLDER'S EQUITY
CURRENT
Accrued liabilities $ -- $ 4,221
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TOTAL CURRENT LIABILITIES -- 4,221
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STOCKHOLDER'S EQUITY
Common stock, par value $.02 per share
Authorized 24,000,000 shares
Issued and outstanding 8,100,000 shares 162,000 162,000
Additional paid-in capital 1,983,208 1,983,208
(Deficit) (1,946,746) (1,946,256)
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TOTAL STOCKHOLDER'S EQUITY 198,462 198,952
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$ 198,462 $ 203,173
===========================================================================
See accompanying independent accountants' compilation report
and note to financial statements.
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UPWARD TECHNOLOGY CORPORATION
STATEMENTS OF REVENUE, EXPENSES AND (DEFICIT)
Six months ended June 30, 1997 1996
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REVENUE
Interest income $ 4,198 $ 4,855
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EXPENSES
Administrative 4,879 4,268
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NET (LOSS) INCOME (681) 587
(DEFICIT), at beginning of period (1,946,065) (1,946,843)
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(DEFICIT), at end of period $(1,946,746) $(1,946,256)
============================================================================
GAIN (LOSS) PER SHARE $ .00 $ .00
============================================================================
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING 8,100,000 8,100,000
============================================================================
See accompanying independent accountants' compilation
report and note to financial statements.
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UPWARD TECHNOLOGY CORPORATION
STATEMENTS OF CASH FLOWS
Six months ended June 30, 1997 1996
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CASH FLOWS FROM OPERATING ACTIVITIES
Net (loss) income $ (681) $ 587
(Decrease) in accrued liabilities (7,546) (3,779)
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NET CASH (USED IN) OPERATING ACTIVITIES (8,227) (3,192)
CASH AND CASH EQUIVALENTS, at beginning of period 206,267 205,943
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CASH AND CASH EQUIVALENTS, at end of period $ 198,040 $ 202,751
==============================================================================
See accompanying independent accountants' compilation
report and note to financial statements.
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UPWARD TECHNOLOGY CORPORATION
NOTE TO FINANCIAL STATEMENTS
1. BASIS OF The accompanying unaudited financial statements
PRESENTATION have been prepared in accordance with generally
accepted accounting principles for interim
financial reporting and instructions to Form
10-QSB and of Regulation S-B (including Item
310(b) thereof). These statements do not include
all of the information and footnotes required by
generally accepted accounting principles for
complete financial statements. These statements
should be read in conjunction with the audited
financial statements for 1996 included in the
Company's Form 10-KSB Annual Report to the
Securities and Exchange Commission. In the
opinion of management, all adjustments necessary
(consisting only of normal recurring accruals)
for a fair presentation have been made to the
accompanying financial statements for the interim
periods.
The results of operations for the six months
ended June 30, 1997 are not necessarily
indicative of results to be expected for the
entire year ending December 31, 1997.
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ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
The following discussion and analysis provides information which the
Company's management believes is relevant to an assessment and understanding of
the Company's results of operations and financial condition. This discussion
should be read in conjunction with the financial statements and notes thereto
included elsewhere herein.
RESULTS OF OPERATIONS
The Company, having sold its operating assets in 1989, had no
operations for the quarter ending June 30, 1997. Although the Company is
spending only minimum amounts to keep current with required Exchange Act
filings and stock transfers, declining interest rates being paid by Government
Bond Funds continue to erode the Company's principal asset, cash equivalents.
Management is continuing to search for a suitable merger partner that
can utilize our public vehicle. There is no assurance that a suitable partner
will be found in the near future, although management continues to review
business plans of companies seeking such a combination.
LIQUIDITY AND CAPITAL RESOURCES
All assets are invested in a liquid U.S. Government securities
fund. The Company's working capital and cash position at June 30, 1997 is
approximately $198,000. Because the regulatory and accounting expenses for
maintaining the corporate structure exceeds the low interest yield on the
Company's cash deposits, liquidity can be expected to diminish.
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PART II - OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
None
ITEM 2. CHANGES IN SECURITIES
None
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
None
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF
SECURITY HOLDERS
None
ITEM 5. OTHER INFORMATION
None
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
None
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned, duly authorized at Bala Cynwyd, Pennsylvania on the 14th day of
August, 1997.
UPWARD TECHNOLOGY CORPORATION
BY: /s/ ALBERT M. ZLOTNICK
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Albert M. Zlotnick, President
and Chief Executive Officer
BY: /s/ IRVING I. LASSOFF
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Irving I. Lassoff, Secretary,
Treasurer Principal Financial
Officer
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