LOG POINT TECHNOLOGIES INC
FILING TYPE: 10QSB
DESCRIPTION: QUARTERLY REPORT
FILING DATE: JUN 26, 2001
PERIOD END: MAR 31, 2001
PRIMARY EXCHANGE: OVER THE COUNTER INCLUDES OTC
AND OTCBB
TICKER: LGPT
U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
(Mark One)
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 2001
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
For the transition period from ______________ to_____________
Commission File No. 0-25281
LOG POINT TECHNOLOGIES, INC.
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(Name of Small Business Issuer in Its Charter)
Colorado 84-1360787
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(State of Other Jurisdiction of (I.R.S. Employer Identification No.)
Incorporation or Organization)
2060 Walsh Ave., Suite 242, Santa Clara, CA 95050
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(Address of Principal Executive Offices) (Zip Code)
(650) 967-3974
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(Issuer's Telephone Number, Including Area Code)
465 Fairchild Drive, Suite 111, Mountain View, California 94043
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(Former name, former address and former fiscal year,
if changed since last year.)
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 ______
State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date: As of June 26, 2000, Log Point
Technologies, Inc. had 11,233,333 shares of Common Stock outstanding, no par
value.
LOG POINT TECHNOLOGIES, INC.
(A DEVELOPMENT STAGE COMPANY)
BALANCE SHEET
(UNAUDITED)
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Mar 31, 2001 Mar 31, 2000 Jun 30, 2000
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ASSETS
CURRENT ASSETS
Cash & Cash Equivalents $ (117) $ 301 $ 67
Accounts Receivable - - -
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Total Current Assets (117) 301 67
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EQUIPMENT & FURNITURE
Office Equipment & Furniture (net of Depreciation) 24,158 31,739 29,121
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OTHER ASSETS
Product Technology License (net of Amortization) 99,868 110,250 106,750
Receivable from officers - - -
Receivable from others - - -
Deposits 4,377 204,281 4,377
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Total Other Assets 104,245 314,531 111,127
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TOTAL ASSETS $ 128,286 $ 346,571 $ 140,315
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LIABILITIES & STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Current portion of capitalized lease obligations $ 6,262 $ 12,594 $ 11,673
Loans Payable 14,375 322,536 -
Accounts Payable 190,012 163,918 189,285
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Total Current
Liabilities 210,649 499,048 200,958
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LONG-TERM DEBT
Due on product license 174,583 167,909 170,428
Loans from Officers 568,160 88,231 515,020
Capitalized lease obligations less current portion - 3,606 1,358
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Total Long-Term Debt 742,743 259,746 686,806
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OTHER LIABILITIES
Deferred salaries & wages, and related payroll taxes 1,550,312 1,154,049 1,241,734
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Total Liabilities 2,503,704 1,912,843 2,129,498
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STOCKHOLDERS' EQUITY (DEFICIT)
Preferred stock - No par value; 5,000,000 shares authorized; no shares issued
Common stock - No Par Value; 50,000,000 shares authorized;shares issued
and outstanding 11,058,383 1,559,630 1,114,194 1,559,630
Treasury Stock (300,930 shares) (445,436) - (445,436)
Retained Earnings (deficit) (3,489,612) (2,680,466) (3,103,377)
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(2,375,418) (1,566,272) (1,989,183)
Less stock receivable - - -
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Total Stockholders' Equity (Deficit) (2,375,418) (1,566,272) (1,989,183)
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TOTAL LIABILITIES & STOCKHOLDERS' EQUITY (DEFICIT) $ 128,286 $ 346,571 $ 140,315
============== ============== ==============
See Notes to Financial Statements
LOG POINT TECHNOLOGIES, INC.
(A DEVELOPMENT STAGE COMPANY)
STATEMENT OF OPERATIONS
FOR THE THREE- AND SIX MONTHS ENDED MARCH 31, 2001 & 2000, AND
SINCE INCEPTION (FEBRUARY 1993) TO MARCH 31, 2001
(UNAUDITED)
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3 Months 3 Months 9 Months 9 Months Since
Mar 31, 2001 Mar 31, 2000 Mar 31, 2001 Mar 31, 2000 Inception
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SALES $ None $ 1,200 $ 71,680
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COST OF SALES None None None None None
OPERATING EXPENSES:
General and Administrative 43,541 $ 49,235 141,647 $ 228,603 1,315,532
Research and development 55,314 51,398 158,964 168,774 1,728,962
Depreciation and Amortization 5,981 6,118 17,943 18,355 60,766
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Total Operating Expenses 104,836 106,751 318,554 415,732 3,205,260
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LOSS BEFORE OTHER ITEMS (104,836) (106,751) (318,554) (414,532) (3,133,58)
OTHER INCOME & EXPENSE
Interest expense (19,441) (39,652) (67,681) (178,388) (368,845)
Interest Income - - - - 12,813
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NET LOSS (124,277) $ (146,403) (386,235) $ (592,920) $ (3,489,61)
============ ============================ ============== ==============
LOSS PER SHARE (0.012) $ (0.013) (0.036) $ (0.055) $
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WEIGHTED AVERAGE NUMBER OF SHARES 10,757,403 10,919,903 10,757,403 10,811,570
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See Notes to Financial Statements
LOG POINT Technologies, Inc.
(a development stage company)
STATEMENT OF CASH FLOWS
For the Three- and Nine Months Ended March 31, 2001 & 2000, and
Since Inception (February 1993) to March 31, 2001
Unaudited
3 Months 3 Months 9 Months 9 Months Since
Mar 31, 2001 Mar 31, 2000 Mar 31, 2001 Mar 31, 2000 Inception
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CASH FLOWS FROM (TO) OPERATING ACTIVITIES:
Net Income(Loss) From Operations: $ (124,277) (146,403) $ (386,235) $ (592,920) $(3,489,612)
Add: Non-Cash Items
Depreciation and Amortization 5,981 6,118 17,943 18,356 160,766
Deferred salaries, related taxes and interest 98,515 86,485 308,578 271,480 1,524,551
Payment of expenses & loans with stock - 10,000 - 85,000 251,060
Changes in Assets and Liabilities
Accounts Receivables - - - - -
Prepaid Expenses - - - - -
Receivable & payables from officers-net 22,605 81,470
Receivable & payables from others-net 10,375 - 10,375 - 108,786
Deposits - - (200,000) (4,377)
Accounts payable 9,141 8,624 727 15,270 199,153
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Net Cash From(To) Operating Activities (265) (12,571) (48,612) (321,344) (1,249,63)
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CASH FLOWS FROM(TO) INVESTING ACTIVITIES:
Acquisition of Equipment - (100) - - (68,694)
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Net Cash From(To) Investing Activities - (100) - - (68,694)
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CASH FLOWS FROM(TO) FINANCING ACTIVITIES:
Proceeds from capitalized leases - - - - 45,049
Proceeds form Short-term Financing 20,000 322,536
Repayment of Debt (1,853) (548) (2,613) (1,357) (160,093)
Proceeds from officer's loans 2,000 51,041 - 570,160
Sale of Common Stock - - - - 1,308,50
Purchases of Common Stock - - - - (445,436)
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Net Cash From(To) Financing Activities 147 19,452 48,428 321,179 1,318,250
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Increase(Decrease) in Cash (118) 6,881 (184) (165) (118)
CASH BALANCE, BEGINNING 1 (6,580) 67 466 1
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CASH BALANCE, ENDING (117) 301 (117) 301 (117)
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See Notes to Financial Statements
Notes to Financial Statements
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Note 1. Issuance of 144 Restricted Common
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During the third quarter ended March 31, 2001, no restricted common shares were
issued.
MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION.
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During the three quarters ended March 31, 2001 and 2000, the Log Point
Technologies, Inc. ("Log Point") incurred losses of $124,277 and $146,403
respectively.
Log Point is a development stage company that incurred losses of $124,277 and
$146,403 for the three quarters ended March 31, 2001 and 2000 respectively. Log
Point incurred losses of $386,235 and $592,920 for the three quarters ended
March 31, 2001 and 2000 respectively. Since inception, the Company has incurred
losses totaling $3,489,612.
During the first quarter ended March 31, 2001, General and Administrative
expenses were $43,542, which included $31,740 for salaries and payroll taxes.
Research and Development expenses were $55,314, which included $42,570 for
salaries and payroll taxes.
Currently, Log Point is dependent upon borrowings to fund its development stage
operations, and at a minimum, management believes that its borrowings will be
adequate to fund its minimum requirements for the twelve-month period ending
March 31, 2001. Unless adequate funding is obtained, Log Point does not expect
any significant revenues during the twelve-month period ending March 31, 2001.
When Log Point emerges from its development stage, additional financing will be
needed. Log Point is still working with several companies for possible financing
and/or merger. In addition Log Point is in talks with other funding sources.
These additional funds will be used for sales and marketing efforts, expanded
licensing operations, completing hardware designs, and production of hardware
chips using the Company's hardware designs. Operations for licensing patents and
associated intellectual property related to software and hardware designs will
require a credible capability to enter litigation against existing or future
infringers of the Company's stable of patents. In this regard, the Company
continues to work with a number of legal firms, which have shown substantial
interest in working with the Company to provide such a litigation capability
even before the Company receives major funding.
The Company will require substantial additional financing in future years. The
additional financing would be obtained through loans, secondary public
offerings, private placements, and/or mergers. There can be no assurance that
such funds will be sufficient in the near term or that conditions and
circumstances described herein may not result in subsequent cash requirements by
the Company in the immediate future just to sustain operation. In the event of
such developments, attaining financing under such conditions may not be
possible, or even if additional capital may be otherwise available, the terms on
which such capital may be available may not be commercially feasible or
advantageous. If future funding is not obtained, Log Point would expect to
continue to receive loans until revenue from product licensing and sales become
adequate to sustain the Company's operations.
Log Point will not conduct any significant research and development during the
twelve months ending March 31, 2002.
Log Point has no plans to purchase any plant or significant equipment during the
twelve months ending March 31, 2002.
The Company does not anticipate any significant changes in its number of
employees during the twelve months ending March 31, 2002.
Log Point has changed its main office location to 2060 Walsh Ave., Suite 242,
Santa Clara, California 95050.
SIGNATURE
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In accordance with the requirements of the Exchange Act, the Registrant caused
this Form 10-QSB report to be signed on its behalf by the undersigned thereunto
duly authorized.
LOG POINT TECHNOLOGIES, INC.
Date: June 26, 2001 By: /s/ Samuel P. Shanks
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Samuel P. Shanks, President