1
U.S. Securities and Exchange Commission
Washington, D.C. 20549
FORM 10-QSB
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended August 31, 2000.
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from _______ to _______.
Commission file number 0-8532
OAKRIDGE ENERGY, INC.
(Exact name of small business issuer as specified in its charter)
Utah 87-0287176
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
4613 Jacksboro Highway
Wichita Falls, Texas 76302
(Address of principal executive offices)
(940) 322-4772
(Issuer's telephone number)
Not Applicable
(Former name, former address and former fiscal year,
if changed since last report)
Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act during the past 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 [ ]
The number of shares outstanding of each of the issuer's classes of common
equity, as of August 31, 2000: Common Stock, $.04 par value - 4,472,123 shares
Transitional Small Business Disclosure Format (check one);
YES [ ] NO [X]
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INDEX
Page #
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Part I - Financial Information
1. Financial Statements:
Condensed Balance Sheets at
February 29, 2000 and August 31, 2000 1
Condensed Statements of Operations
For the Three and Six Months Ended August 31, 2
1999 and 2000
Statements of Cash Flows
For the Six Months Ended August 31, 1999 and 2000 3
Notes to Condensed Financial Statements 4
2. Management's Discussion and Analysis or Plan of Operation 5
Part II - Other Information
4. Submission of Matters to a Vote of Security Holders 10
5. Other Information 11
6. Exhibits and Reports on Form 8-K 12
Signatures 12
This Report contains forward looking statements that involve risks and
uncertainties. Accordingly, no assurance can be given that the actual events and
results will not be materially different than the anticipated results described
in the forward looking statements. See "Part I - Item 2. - Management's
Discussion and Analysis or Plan of Operation" and "Part II - Item 5.- Other
Information" for a description of various factors that could materially affect
the ability of the Company to achieve the results described in the forward
looking statements.
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Item 1. Financial Statements.
OAKRIDGE ENERGY, INC.
CONDENSED BALANCE SHEETS
As of As of
February 29, 2000 August 31, 2000
----------------- -----------------
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 2,672,543 $ 2,943,957
Trade accounts receivable 196,836 250,213
Investment securities 245,175 232,426
Deferred tax asset 283,925 183,447
Prepaid expenses and other 179,736 94,692
----------------- -----------------
Total current assets 3,578,215 3,704,735
----------------- -----------------
Oil and gas properties, at cost using the successful efforts method of
accounting, net of accumulated depletion and depreciation of
$4,908,202 on February 29, 2000 and $5,033,074 on August 31, 2000 1,526,338 1,756,351
Coal and gravel properties, net of accumulated depletion and depreciation
of $8,402,067 on February 29, 2000 and $8,198,994 on August 31, 2000 336,861 327,495
Real estate held for development 2,761,119 2,769,559
Other property and equipment, net of accumulated depreciation
of $321,775 on February 29, 2000 and $337,482 on August 31, 2000 150,955 135,249
Other assets 1,010,875 1,025,875
----------------- -----------------
$ 9,364,363 $ 9,719,264
================= =================
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 91,155 $ 128,520
Accrued expenses 75,750 71,199
----------------- -----------------
Total current liabilities 166,905 199,719
Reserve for reclamation costs 413,000 413,000
Deferred federal income taxes 122,392 242,745
----------------- -----------------
Total liabilities 702,297 855,464
----------------- -----------------
Stockholders' equity:
Common stock, $.04 par value, 20,000,000
shares authorized, 10,157,803 shares issued 406,312 406,312
Additional paid-in capital 805,092 805,092
Retained earnings 17,050,509 17,272,806
Unrealized loss on investment securities
available for sale, net of income taxes (131,372) (45,741)
Less treasury stock, at cost, 5,645,130 shares on February 29, 2000
and 5,685,680 on August 31, 2000 (9,468,475) (9,574,669)
----------------- -----------------
Total stockholders' equity 8,662,066 8,863,800
----------------- -----------------
$ 9,364,363 $ 9,719,264
================= =================
The accompanying notes are an integral part of these financial statements.
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Oakridge Energy, Inc.
CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)
3 Months Ended 3 Months Ended 6 Months Ended 6 Months Ended
August 31, 1999 August 31, 2000 August 31, 1999 August 31, 2000
---------------- ---------------- ---------------- ----------------
Revenues:
Oil and gas $ 391,250 $ 460,027 $ 711,191 $ 915,878
Gravel 26,000 27,176 42,768 42,769
Other 9,750 9,750 19,500 19,500
---------------- ---------------- ---------------- ----------------
Total revenues 427,000 496,953 773,459 978,147
---------------- ---------------- ---------------- ----------------
Operating expenses:
Oil and gas 325,074 235,418 691,347 484,065
Coal and gravel 14,480 16,648 31,548 35,822
Real estate development 7,071 3,768 15,983 14,154
General and administrative 115,877 124,456 241,592 270,332
---------------- ---------------- ---------------- ----------------
Total operating expenses 462,502 380,290 980,470 804,373
---------------- ---------------- ---------------- ----------------
Income (loss) from operations (35,502) 116,663 (207,011) 173,774
---------------- ---------------- ---------------- ----------------
Other income (expense):
Interest and dividend income 41,243 51,736 83,331 98,697
Gain (loss) on sale of oil and gas
properties 6,574 (317) 14,552 11,589
Other, net 332 (59,421) 6,012 68,624
---------------- ---------------- ---------------- ----------------
Total other income (expense) 48,149 (8,002) 103,895 178,910
---------------- ---------------- ---------------- ----------------
Income (loss) before income taxes 12,647 108,661 (103,116) 352,684
---------------- ---------------- ---------------- ----------------
Income tax expense (benefit) 4,471 46,636 (34,830) 130,387
---------------- ---------------- ---------------- ----------------
Net income (loss) $ 8,176 $ 62,025 $ (68,286) $ 222,297
================ ================ ================ ================
Income (loss) per common share $ 0.00 $ 0.01 $ (0.01) $ 0.05
================ ================ ================ ================
Weighted average shares outstanding 4,616,956 4,479,415 4,617,079 4,486,485
================ ================ ================ ================
The accompanying notes are an integral part of these financial statements.
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Oakridge Energy, Inc.
STATEMENTS OF CASH FLOWS
(Unaudited)
6 Months Ended 6 Months Ended
August 31, 1999 August 31, 2000
----------------- -----------------
Cash flows from operating activities:
Net income (loss) $ (68,286) $ 222,297
Adjustments to reconcile net income (loss) to net cash
provided by operating activities:
Depletion and depreciation 301,611 178,903
Accretion on investment securities, net 14 0
Gain on sales of property and equipment (20,051) (139,634)
Loss on sale of investment securities 0 59,424
Deferred federal income taxes 0 120,353
Net changes in assets and liabilities:
Trade accounts receivable (26,628) (53,377)
Federal income tax receivable (128,059) 0
Prepaid expenses and other current assets 12,506 66,419
Accounts payable (38,738) 37,365
Accrued expenses (6,404) (4,551)
----------------- -----------------
Net cash provided by operating activities 25,965 487,199
----------------- -----------------
Cash flows from investing activities:
Additions to oil and gas properties (71,053) (368,958)
Additions to real estate held for development (56,770) (16,953)
Investment in partnership 0 (15,000)
Increase in other assets 2,736 0
Proceeds from sale of oil and gas properties 18,052 11,906
Proceeds from sale of other property and equipment 64,655 139,980
Proceeds from investments available for sale 100,000 139,434
----------------- -----------------
Net cash provided by (used in) investing activities 57,620 (109,591)
----------------- -----------------
Cash flows from financing activities:
Purchases of treasury stock (40,655) (106,194)
----------------- -----------------
Net cash used in financing activities (40,655) (106,194)
----------------- -----------------
Net increase in cash and cash equivalents 42,930 271,414
Cash and cash equivalents at beginning of period 2,614,499 2,672,543
----------------- -----------------
Cash and cash equivalents at end of period $ 2,657,429 $ 2,943,957
================= =================
Supplemental disclosures of cash flow information:
Interest paid $ -- $ --
Taxes paid $ 27,666 $ 23,792
Recognition in Stockholders' Equity of the net unrealized holding gain on
available for sale securities of $131,015, net of tax effect of $67,492 during
the six months ended August 31, 1999 and $85,631, net of tax effect of $50,224
during the six months ended August 31, 2000.
The accompanying notes are an integral part of these financial statements.
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OAKRIDGE ENERGY, INC.
Notes to Condensed Financial Statements
(Unaudited)
(1) The accompanying unaudited financial statements for the three and six month
periods ended August 31, 1999 and 2000 reflect, in the opinion of
management, all adjustments, which are of a normal and recurring nature,
necessary for a fair presentation of the results for such periods.
(2) The foregoing financial statements should be read in conjunction with the
annual financial statements and accompanying notes for the fiscal year
ended February 29, 2000.
(3) The Company's operating segments are set forth in the annual accompanying
notes for the fiscal year ended February 29, 2000. financial statements and
Information regarding operations and assets by segment is as follows:
For the Three For the Three For the Six For the Six
Months Ended Months Ended Months Ended Months Ended
August 31, 1999 August 31, 2000 August 31, 1999 August 31, 2000
---------------- ---------------- ---------------- ----------------
Business segment revenue:
Oil and gas $ 401,000 $ 469,777 $ 730,691 $ 935,378
Gravel 26,000 27,176 42,768 42,769
---------------- ---------------- ---------------- ----------------
$ 427,000 $ 496,953 $ 773,459 $ 978,147
---------------- ---------------- ---------------- ----------------
Business segment profit (loss):
Oil and gas $ 75,926 $ 234,359 $ 39,344 $ 451,313
Coal and gravel 11,520 10,528 11,220 6,947
Real estate development (7,071) (3,768) (15,983) (14,154)
General corporate (115,877) (124,456) (241,592) (270,332)
---------------- ---------------- ---------------- ----------------
Income (loss) from operations (35,502) 116,663 (207,011) 173,774
Interest and dividend income 41,243 51,736 83,331 98,697
Gain on sales of oil and gas properties 6,574 (317) 14,552 11,589
Other, net 332 (59,421) 6,012 68,624
---------------- ---------------- ---------------- ----------------
Income (loss) before income taxes $ 12,647 $ 108,661 $ (103,116) $ 352,684
---------------- ---------------- ---------------- ----------------
As of As of
February 29, 2000 August 31, 2000
----------------- ----------------
Total assets:
Oil and gas $ 5,119,166 $ 5,575,743
Coal and gravel 336,861 327,495
Real estate development 2,761,119 2,769,559
General corporate 1,147,217 1,046,467
---------------- ----------------
$ 9,364,363 $ 9,719,264
---------------- ----------------
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ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION.
The following discussion should be read in conjunction with
Items 6 and 7 of the Company's Annual Report on Form 10-KSB for the fiscal year
ended February 29, 2000 and the Notes to Condensed Financial Statements
contained in this report.
RESULTS OF OPERATIONS
The Company had net income of $62,025 ($.01 per share) in the
three months ended August 31, 2000 compared to net income of $8,176 ($.00 per
share) in the three months ended August 31, 1999. In the six-month 2000 period,
the Company had net income of $222,297 ($.05 per share) compared to a net loss
of $68,286 ($.01 per share) in the 1999 six-month period. Substantially improved
oil and gas revenues and reduced oil and gas operating expenses were primarily
responsible for the improved performance in both 2000 periods. Interest and
dividend income and income from the sale of miscellaneous assets also
contributed to the 2000 six-month results.
Oil and gas revenues increased approximately $69,000 (17.6%)
and $204,700 (28.8%) in the three and six-month periods ended August 31, 2000,
respectively, due to continued strong average oil and gas prices received by the
Company which overcame sales production declines. The following tables compare
the revenues and average prices received by the Company and its sale production
volumes of oil and gas during the three and six-month 2000 periods with those of
the 1999 periods:
THREE MONTHS THREE MONTHS
ENDED ENDED PERCENTAGE
AUGUST 31, 1999 AUGUST 31, 2000 DIFFERENCE
--------------- --------------- ----------
Gas:
Revenues $ 76,271 $ 92,674 +21.5%
Production (MCF) 31,184 20,112 (35.5)
Average Price $ 2.45 $ 4.61 +88.4
Oil:
Revenues $ 309,080 $ 356,850 +15.5%
Production (Bbls.) 16,805 11,748 (30.1)
Average Price $ 18.39 $ 30.37 +65.1
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THREE MONTHS THREE MONTHS
ENDED ENDED PERCENTAGE
AUGUST 31, 1999 AUGUST 31, 2000 DIFFERENCE
--------------- --------------- ----------
Gas:
Revenues $ 131,122 $ 163,377 +24.6%
Production (MCF) 59,657 44,649 (25.2)
Average Price $ 2.20 $ 3.66 +66.5
Oil:
Revenues $ 568,883 $ 732,498 +28.8%
Production (Bbls.) 33,962 25,247 (25.7)
Average Price $ 16.75 $ 29.01 +73.2
Non-material amounts of natural gas liquids revenues and production for both
periods are excluded from the foregoing tables.
Revenues from the Company's principal property in Madison
County, Texas tracked overall results in both 2000 periods, increasing
approximately $44,700 (15.1%) in the three-month period and $127,100 (22.9%) in
the six-month period, due to higher average oil and gas prices received and
lower production sales volumes. Subsequent to August 31, 2000, initial steps
were taken by the operator of this property to unitize the field so that a
secondary recovery process (i.e., a waterflood) could be undertaken. This
project will likely not commence until at least December 2001, but, if
successful, could substantially increase production from the field.
In the Company's Form 10-QSB for the three months ended May
31, 2000, the Company reported that it had committed to purchase an interest in
one existing producing well and to participate in the drilling of two additional
wells on a new prospect in Smith County, Texas. In the fiscal quarter ended
August 31, 2000, the Company participated in the drilling of the first
additional well on this prospect, called the Arp Oil Unit #2 well (the "Arp #2
Well"). The Arp #2 Well has been completed at a depth of approximately 8,090
feet and is currently being evaluated, however expectations are low. The Company
has a 25% working interest in the Arp #2 Well.
Revenues from the Company's gravel operations increased
approximately $1,200 (4.5%) during the three-month 2000 period due to a slightly
higher level of sales made by Four Corners Materials, Inc. ("Four Corners") from
the Company's Colorado gravel property;
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however, sales were flat in the six-month 2000 period as compared to the prior
year. Rentals received by the Company from its surface lease to such corporation
were the same in all comparable periods.
The expenses of the Company's oil and gas operations decreased
approximately $89,700 (27.6%) and $207,300 (30.0%) in the three and six-month
periods ended August 31, 2000. Depletion and depreciation expense was the
biggest contributor to the operations expense decrease, declining approximately
$76,300 (54.1%) and $119,700 (45.0%) in the three and six-month periods,
respectively, due to lower sales production volumes and to the reduction in the
Company's per equivalent barrel amortization rate. The rate reduction was
attributable to the Company's higher level of estimated proven oil and gas
reserves at February 29, 2000 as compared to the prior year end. Lease operating
expense was approximately $11,200 (7.9%) lower in the three-month 2000 period
due to decreased expenses for the Company's wells in Madison, Gregg, Panola and
Red River Counties, Texas as compared to 1999 levels. The decrease with respect
to the Madison County, Texas property occurred despite substantial workover
expense on one well. Lease operating expense in the six-month 2000 period was
approximately the same as in the 1999 period as declines in such expenses from
the Company's Panola and Red River Counties wells offset increased expense from
wells in the North Texas area. Lease operating expense from the Madison County,
Texas property in the six-month 2000 period was level with such expense from the
prior year due to the workover expense incurred. During the six-month 2000
period, the Company also benefited from the lack of any dry hole costs. In the
1999 six-month period, the Company incurred approximately $86,700 of such
expense. Production taxes were higher in both 2000 periods due to the increased
oil and gas revenues, but ad valorem taxes were lower because accruals for this
expense were based on the actual taxes paid by the Company in the fiscal year
ended February 29, 2000 when valuations were lower.
The expenses of the Company's coal and gravel operations
increased approximately $2,200 (15.0%) and $4,300 (13.6%) in the three and six
months ended August 31, 2000. Testing and permitting fees associated with the
reclamation work at the Carbon Junction coal mine contributed to the increase in
both periods, and severance benefits paid to a former employee in the first
three months of the period also contributed to the overall expense increase in
the six-month period. Real estate development expense declined approximately
$3,300 (46.7%) and $1,800 (11.4%) in the
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three and six-month 2000 periods due to the Company's continued restriction of
activities on its land outside Durango, Colorado. See "Item 5. - Other
Information" in Part II.
General and administrative expense increased approximately
$8,600 (7.4%) in the three months ended August 31, 2000 and $28,700 (11.9%) in
the six-month period due to fees paid to maintain letters of credit supporting
the Company's coal reclamation bonds to the State of Colorado with respect to
its abandoned coal mine. Due to timing differences, no letter of credit fees
were paid in the 1999 periods. Higher travel expense primarily associated with
overseeing real estate development and reclamation efforts in Colorado
contributed to the increased expense in both 2000 periods, and greater auditing
expense resulting from the change in the Company's independent public
accountants prior to the start of the 2000 periods also affected the six-month
period expense. Lower governmental reporting expense partially offset the items
for which increases were incurred in both 2000 periods.
An approximate $59,400 loss on the partial sale of an equity
security held for investment resulted in an approximate $8,000 loss from other
income (expense) in the three months ended August 31, 2000, notwithstanding an
approximate $10,500 increase in interest and dividend income during the period.
During the six months ended August 31, 2000, however, other income (expense) was
an approximate $178,900 income item. Gains from the sale of one North Texas area
well and equipment from a Madison County, Texas well that was plugged and
abandoned and from the sale of surplus coal equipment and a right of way from a
portion of the Company's Colorado land more than covered the equity security
loss which occurred during the last half of the period.
The Company's weighted average shares outstanding decreased
approximately 3.0% and 2.8%, respectively, in the three and six-month 2000
periods due to purchases of the Company's common stock made by the Company since
the end of the 1999 periods. The Company purchased a total of 40,550 shares of
its common stock in the six months ended August 31, 2000, including 25,000
shares purchased from Noel Pautsky's widow during the first three months of the
period.
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FINANCIAL CONDITION AND LIQUIDITY
During the first half of fiscal 2001, the Company's operating
activities carried the Company's investing and financing activities, resulting
in an approximate $271,400 increase in cash and cash equivalents at August 31,
2000. Higher average oil and gas prices received enabled the Company's operating
activities to provide approximately $487,200 in funds during the period. The
Company's investing activities used approximately $109,600 in funds as proceeds
from the sale of oil and gas properties, other property and equipment and a
portion of an equity security held for investment were not sufficient to offset
additions to oil and gas properties totaling approximately $369,000. The
Company's financing activities (entirely purchases of the Company's common
stock) used approximately $106,200 in funds. At August 31, 2000, the Company had
no indebtedness and cash, cash equivalents and investment securities available
for sale aggregating approximately $3,176,400.
The Company expects to fund its contemplated operations and
any stock purchases it makes during the remainder of fiscal 2001 from its cash
and cash equivalents, sales of all or a portion of its investment securities
available for sale and the cash flow from its oil and gas properties. Any
significant decline in oil and gas prices from current levels might cause the
Company to restrict its activity levels from those presently contemplated by
management for the remainder of the fiscal year.
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PART II - OTHER INFORMATION
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
(a) The Company's 2000 Annual Meeting of Shareholders (the "Meeting")
was held on July 20, 2000.
(b) At the Meeting, Sandra Pautsky, Danny Croker and Randy Camp were
elected as directors of the Company to serve until the 2001 Annual Meeting of
Shareholders or until their successors are elected.
(c) A total of 3,746,435 shares were represented in person or by proxy
at the Meeting. The election of directors was the only matter voted upon by the
Company's shareholders at the Meeting. The following sets forth the results of
the vote:
NUMBER OF SHARES NUMBER OF SHARES
NAME OF NOMINEE VOTED FOR AUTHORITY WITHHELD
--------------- ---------------- ------------------
Sandra Pautsky 3,745,685 750
Danny Croker 3,745,685 750
Randy Camp 3,745,685 750
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ITEM 5. OTHER INFORMATION.
In Colorado, a statewide initiative (called Amendment 24)
pertaining to future growth and development will be voted upon in the November
2000 general election. If adopted, Amendment 24 would require local governments,
such as the City of Durango and La Plata County, to delineate areas "committed"
for development and would provide for local voter approval of growth and growth
area maps. Growth area impact disclosures would have to be distributed to voters
in connection with such elections and upon development completion all lots
within the growth area would have to be served by a central water and sewer
system. At the time that the Company became aware of Amendment 24, it was
already positioned to file an annexation application with the City of Durango
for a portion of its land that would provide for such land to be included in the
"committed" area for the City.
In early September 2000, the Company filed such annexation
application with the City of Durango. Because the application was filed prior to
the certified date of the election, the Company's land will not be subject to
the requirements of Amendment 24 (i.e., general election approval of the
Company's development) even if Amendment 24 passes. The Company will still be
required, however, to undergo the current development approval processes of the
City of Durango and La Plata County. The Company anticipates that it will be at
least a year before the approval process is completed.
The filing included a 20-year conceptual plan (the "Plan") for
the development of the property that was prepared by the Company's management
with the assistance of its engineering and planning consultant in Durango. This
Plan for approximately 1100 acres of the Company's land (which it should be
emphasized can be modified as circumstances and opportunities dictate and the
approval process moves along) combines villages with a town center lifestyle,
resorts that include a 27-hole golf course, business and commercial parks,
medical and senior care facilities and an abundance of hiking and walking
trails. The Company has not yet prepared estimates of what any significant
portion of the Plan would cost to construct and will not be in a position to
perform anything beyond preliminary work on parts of the Plan before final
approval of the Plan. The Company intends to develop the property in phases,
thereby allowing for specific parts of the Plan to be initiated and marketed in
stages - either by the Company alone or with other developers or by joint
venture. It is expected that infrastructure accessibility will dictate initial
development.
The Company intends to furnish shareholders additional details
concerning the Plan in the near future.
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ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.
(a) Exhibits
The exhibits filed herewith are filed in accordance with the
requirements of Item 601 to Regulation S-B for filings on Form 10-QSB. For
convenient reference, each exhibit is listed according to the number assigned to
it in the Exhibit Table of such Item 601.
(2) - Plan of acquisition, reorganization,
arrangement, liquidation or succession - not
applicable.
(3) - (i) Articles of Incorporation - not
applicable.
(ii) Bylaws - not applicable.
(4) - Instruments defining the rights of security
holders, including indentures - not
applicable.
(10) - Material contracts - not applicable.
(11) - Statement re computation of per share
earnings - not applicable.
(15) - Letter on unaudited interim financial
information - not applicable.
(18) - Letter on change in accounting principles -
not applicable.
(19) - Reports furnished to security holders - not
applicable.
(22) - Published report regarding matters submitted
to vote - not applicable.
(23) - Consents of experts and counsel - not
applicable.
(24) - Power of attorney - not applicable.
(27) - Financial Data Schedule - filed herewith.
(99) - Additional exhibits - not applicable.
(b) Reports on Form 8-K - No reports on Form 8-K were filed by the
Company during the three months ended August 31, 2000.
SIGNATURES
In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.
OAKRIDGE ENERGY, INC.
(Registrant)
Date: October 16, 2000 By /s/ Sandra Pautsky
-----------------------------------
Sandra Pautsky, President
By /s/ Carol J. Cooper
-----------------------------------
Carol J. Cooper,
Chief Accounting Officer
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INDEX TO EXHIBITS
EXHIBIT
NUMBER DESCRIPTION
- ------- -----------
27 Financial Data Schedule for the six months ended
August 31, 2000.