1
EXHIBIT 99g
POWERTEL USA, INC.
97-30265
CHAPTER 11
MONTHLY OPERATING REPORT
OCTOBER 1997
The Debtor in Possession is filing an incomplete Monthly Operating Report due to
the lack of complete records. The former officers of PowerTel, USA. Inc. have
not cooperated with the Debtor by providing the necessary information. The Books
and Records are missing. Therefore, it is impossible for the Debtor to file a
complete Monthly Operating Report.
/s/ Richard Cascarilla
----------------------------------
RICHARD A. CASCARILLA, PRESIDENT
DEBTOR IN POSSESSION
2
BALANCE SHEET
OCTOBER 1997
Assets
Current Assets:
Cash $ 139,099.37
-------------
Accounts Receivable $
-------------
Allowance for Doubtful
Accounts $
-------------
Accounts Receivable (Net) $
-------------
Inventory $
-------------
Prepaid Expenses $
-------------
Total Current Assets $ 139,099.37
-------------
Property and Equipment (Fair Market Value)
Real Property $
-------------
Machinery and Equipment $5,700,000.00
-------------
Furniture and Fixtures $
-------------
Office Equipment $
-------------
Leasehold Improvements $
-------------
Vehicles $
-------------
Other $
-------------
Total Property and Equipment $5,700,000.00
-------------
Total Assets: $5,839,099.37
-------------
3
LIABILITIES
OCTOBER 1997
Postpetition Liabilities (Accrued and Unpaid)
Salaries & Wages $
-------------
Payroll Taxes $ 2,767.70
-------------
Sales Taxes $
-------------
Income Taxes $
-------------
Real Property Taxes $
-------------
Personal Property Taxes $
-------------
Accounts Payable $
-------------
Postpetition Real Property
Lease Arrearages $
Postpetition Equipment
Lease Arrearages $
-------------
Accrued Professional Fees
Other LOAN SHAREHOLDER $
-------------
DIEGOTEL, INC STOCK-BOOK VALUE $
-------------
Total Postpetition Liabilities $ 2,767.70
-------------
Prepetition Liabilities
Priority Debt (Schedule A-1) $
-------------
Secured Debt (Schedule A-2) $
-------------
Unsecured Debt (Schedule A-3) $
-------------
Total Prepetition Liabilities $
-------------
Shareholder's Equity
Common Stock $
-------------
Paid-In Capital $5,700,000.00
-------------
Retained Earnings $ 136,331.67
-------------
Total Shareholder's Equity $ 5,836,331.67
--------------
Total Liabilities & Equity $ 5,839,099.37
--------------
4
RECAPITULATION
OCTOBER 1997
Balance from Prior Month
PowerTel M/M General Account $ 2,976.51
-----------
Bank Chase
Branch New York
Account #312731324365
PowerTel General Account $161,148.70
-----------
Bank First of America Bank, N.A. Michigan
Branch Okemos, Michigan 48864
Account # 62-3007936-7
Tax Account $
-----------
Bank
Branch
Account #
Balance to Carry Forward to Next Month
General Account #312731324365 $ 2,983.09
-----------
General Account #62-3007936-7 $136,116.28
-----------
Tax Account $
-----------
5
POWERTEL USA, INC.
EAST LANSING, MICHIGAN
BANK ACCOUNT SUMMARIES
#97-30265
(PTELBANK.107)
OCTOBER 31, 1997
FIRST OF
DATE DESCRIPTION AMERICA CHASE TOTALS
- ---- ----------- ------- ----- ------
09.22.97 BEGINNING BALANCE .00 2976.51 2976.51
------------ ------------ --------------
09.22.97 FUNDS TO OPEN ACCOUNT 100.00 100.00
09.29.97 TRANSFER FROM CHASE #312731324366 142587.89 142587.89
09.29.97 TRANSFER FROM CHASE #312750667866 18560.81 18560.81
09.29.97 INTEREST EARNED .17 .17
10.31.97 INTEREST EARNED 6.58 6.58
------------ ------------ --------------
10.31.97 TOTAL DEPOSITS 161248.87 6.58 161255.45
------------ ------------ --------------
10.31.97 CHECKS WRITTEN PER ATTACHED LISTING 25132.29 .00 25132.29
------------ ------------ --------------
10.31.97 BALANCE 136116.58 2983.09 139,099.67
============ ============ =============
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RUN DATE: 11/10/97 POWERTEL USA, INC. PAGE: I
SYS DATE: 10/31/97 TRANSACTION JOURNAL TIME: 12:04 PM
SOURCE POSTING CREDIT
JOURNAL DATE ACCOUNT NO BATCH TOTAL JOURNAL COMMENT
CD-0001 10/31/97 1020-000-00 25,132.01 DISBURSEMENTS
CHECK NO DATE COMMENT DEBIT ACCT TRANS AMOUNT
- -------- ---- ------- ---------- ------------
0001001 10/02/97 CASEY & BOOG 6600-000-00 95.00
0001002 10/02/97 KNUTSONS TRAVEL PORT 7900-000-00 734.09
0001003 10/02/97 MCBEE SYSTEM 6500-000-00 206.01
0001004 10/02/97 HERTH PRINTING 6500-000-00 210.00
0001005 10/02/97 AMERITECH 7800-000-00 66.22
0001006 10/02/97 BANK OF AMERICA 6500-000-00 80.00
0001007 10/03/97 RICHARD A. CASCARILLA 8100-000-00 3,200.00
0001008 10/03/97 VOID 1020-000-00 .00
0001009 10/03/97 H. LAWRENCE HERTH 8100-000-00 991.20
0001010 10/03/97 VOID 1020-000-00 .00
0001011 10/03/97 UPS 6500-000-00 23.75
0001012 10/06/97 BYE GONE TRAVEL 7900-000-00 323.00
0001013 10/06/97 POSTMASTER E. LANSING 6500-000-00 160.00
0001014 10/07/97 KNUTSON TRAVEL PORT 7900-000-00 479.00
0001015 10/07/97 MBNA 6500-000-00 677.07
0001016 10/18/97 PEPPERMILL HOTEL 7900-000-00 575.73
0001016 10/18/97 PEPPERMILL HOTEL 6300-000-00 229.56
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CHECK 0001016 TOTALS 805.29
0001017 10/18/97 CASEY & BOOG 6600-000-00 95.00
0001018 10/26/97 UPS 6500-000-00 37.25
0001019 10/28/97 AMERITECH 7800-000-00 77.71
0001020 10/28/97 VOID 1020-000-00 .00
0001021 10/29/97 WALL STREET JOURNAL 5670-000-00 16,872.00
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JOURNAL CD-0001 TOTALS: 25,132.59
---------
SOURCE CD TOTALS: 25,132.59
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REPORT TOTALS: 25,132.59
=========
7
CASH FLOW STATEMENT
OCTOBER, 1997
Projected
Current For current
Month Month
----- -----
Receipts:
Sales (Cash Only) $ $
-------------- -------------
Collections of Accounts Receivable $ $
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Other Income $ 6.75 $
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Total Receipts $ 6.75 $
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Disbursements:
Purchases and Inventory $ $
-------------- -------------
Salaries and Wages $ 4,091.20 $
-------------- -------------
Employee Benefits $ $
-------------- -------------
Equipment Lease Payments $ $
-------------- -------------
Rent $ $
-------------- -------------
Secured Debt Payments $ $
-------------- -------------
Outside Services $ 190.00 $
-------------- -------------
Telephone $ 143.43 $
-------------- -------------
Repairs & Maintenance $ $
-------------- -------------
Miscellaneous Office Expense $ 1,394.08 $
-------------- -------------
Advertising $ $
-------------- -------------
Travel & Entertainment $ 2,341.38 $
-------------- -------------
Professional Fees $ $
-------------- -------------
Court Costs $ 16,872.00 $
-------------- -------------
Insurance: Liability $ $
-------------- -------------
Property $ $
-------------- -------------
Vehicle $ $
-------------- -------------
Worker's Compensation $ $
-------------- -------------
Other $ $
-------------- -------------
Taxes: Payroll $ $
-------------- -------------
Sales $ $
-------------- -------------
Income $ $
-------------- -------------
Real Property $ $
-------------- -------------
Personal Property $ $
Total Disbursements $ 25,032.59 $
-------------- -------------
Cash Flow $ (25,025.84) $
-------------- -------------
8
INCOME STATEMENT
(Accrual Basis)
OCTOBER 1997
Current Year to
Month Date
----- ----
Income $ $
--------------- -------------
Cost of Goods Sold
Beginning Inventory $ $
--------------- -------------
Inventory Purchases $ $
--------------- -------------
Ending Inventory $ $
--------------- -------------
Total Costs of Goods Sold $ $
--------------- -------------
Operating Expenses
Salaries and Wages $ 6,200.00 $ 6,200.00
--------------- -------------
Employee Benefits $ $
--------------- -------------
Equipment Lease Payments $ $
--------------- -------------
Rent $ $
--------------- -------------
Secured Debt Payments $ $
--------------- -------------
Outside Services $ 190.00 $ 190.00
--------------- -------------
Telephone $ 143.93 $ 143.93
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Repairs & Maintenance $ $
--------------- -------------
Miscellaneous Office Expense $ 1,394.08 $ 1,394.08
--------------- -------------
Advertising $ $
--------------- -------------
Travel & Entertainment $ 2,341.38 $ 2,341.38
--------------- -------------
Professional Fees $ $
--------------- -------------
Court Costs $ 16,872.00 $ 16,872.00
--------------- -------------
Insurance: Liability $ $
--------------- -------------
Property $ $
--------------- -------------
Vehicle $ $
--------------- -------------
Worker's Compensation $ $
--------------- -------------
Other $ $
--------------- -------------
Taxes: Payroll $ 658.90 $ 658.90
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Sales $ $
--------------- -------------
Income $ $
--------------- -------------
Real Property $ $
--------------- -------------
Personal Property $ $
--------------- -------------
Total Operating Expenses $ 27,800.29 $ 27,800.29
--------------- -------------
Total Profit (Loss) from Operations $ (27,800.29) $ (27,800.29)
--------------- -------------
Other Income (Expense) $ $
--------------- -------------
Gain (Loss) on Sale of Assets $ $
--------------- -------------
Interest Expense $ $
--------------- -------------
Interest Income $ 6.75 $ 6.75
--------------- -------------
Dividend income $ $
--------------- -------------
Herth Printing Income (loss) $ $
--------------- -------------
Total $ 6.75 $ 6.75
--------------- -------------
Total Profit (Loss) for Month $ (27,793.54) $ (27,793.54)
--------------- -------------
9
Monthly Questionnaire
I. Accounts Payable and Receivable Aging:
Attach an Accounts Payable and Receivable Aging Schedule,
identifying in chronological (or reverse chronological) order
every debt which came due after the commencement of the
bankruptcy case but has not been paid, and specifying the
creditor by name and address, the nature of the debt (e.g.,
rent, advertising, wages, etc.), the amount owed and the date
on which the obligation came due. Provide summary information
below for both accounts payable and accounts receivable:
Accounts Payable Accounts Receivable
---------------- -------------------
Less Than 31 Days Past Due -0- -0-
31 to 60 Days Past Due
61 to 90 Days Past Due
91 to 120 Days Past Due
Over 120 Days Past Due
II. Payments to Secured Creditors and Lessors:
Identify every secured Creditor and lessor by name and address, and provide
the requested information. Where there is a postpetition stipulation or
court order governing the creditor's treatment, respond on the basis of
that stipulation or order; otherwise, respond on the basis of the
prepetition contract or lease.
Creditor Name and Address Payment Periodic Date of Post Petition Payments
Period Payment Last Made Missed
---- ------
(mo/wk) Amount Payment
No. Amount No. Amount
--- ------ --- ------
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MONTHLY QUESTIONNAIRE
Page 2
III. Tax Liability
Gross Payroll Expense for Report Month: $6,200.00
---------
Gross Sales Subject to Sales Tax for Report Month $0.00
---------
Date Paid Amount Paid Due But Not Paid Accrued But Not Due
--------- ----------- ---------------- -------------------
Federal Payroll & Withholding 1,882.70
State Payroll & Withholding 885.00
State Sales & Use
IV. Insurance Coverage
Carrier/Agent Name Amount of Policy Policy Paid
Coverage Expiration Through Date
Date
Worker's Compensation
Liability
Fire & Extended Coverage
Property
Theft
Vehicle
Life (Beneficiary):
Other (specify):
V. Postpetition Payments
A. Has the Debtor made any payments outside of the ordinary course
of business to any officers, shareholders, directors, other principals or
insider-employees or to professionals without specific authorization under
a Bankruptcy Court order? NO
If the answer is yes, identify each person paid, the date and amount of
such payment(s) and the basis for each such payment.
B. Has the Debtor, following the commencement of the bankruptcy case,
made any payments on account of prepetition unsecured debts, except as
specifically authorized by the Bankruptcy Court? NO
If the answer is yes, identify each person paid, the date and amount of
such payment(s) and the basis for each such payment.
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MONTHLY QUESTIONNAIRE
Page 3
VI. Narrative
Provide a brief narrative report of any significant events outside of the
ordinary course of business which occurred during the Report Month:
VII. U.S. Trustee Fees
Quarter Total Quarterly Fee Amount Paid Date Paid Total Quarterly
Ending Disbursement Fees Due But
During Quarter Not Paid
I declare under penalty of perjury that I have reviewed the income
statement, cash flow statement, projections, balance sheet and monthly
questionnaire attached hereto and,- after making reasonable inquiry, believe
that these documents are accurate and correct.
DATED this 20th day of October, 1997.
By: /s/ Richard Cascarilla
-----------------------------