SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For quarterly period ended June 30, 2003
OR
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: 001-15777
Unitrend, Inc.
(Exact name of registrant as specified in its charter)
Nevada 34-1904923
(State or other jurisdiction (I.R.S. employer
of incorporation or organization) identification number)
4665 West Bancroft St.
Toledo, Ohio 43615
(Address of principal executive offices, including zip code)
(419) 536-2090
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has 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 [ ]
Number of shares of registrant's common stock outstanding as of June 30, 2003:
70,371,770
UNITREND, INC. AND SUBSIDIARY
FORM 10-QSB
QUARTER ENDED JUNE 30, 2003
Table of Contents
PART I FINANCIAL INFORMATION Page
Item 1. Condensed Financial Statements
Condensed Balance Sheets at June 30, 2003
And December 31, 2002........................................... 3
Condensed Statements of Operations for the three and six months
ended June 30, 2003, 2002 and for the period from September
27, 1994 (date of inception) to June 30, 2003................... 4
Condensed Statements of Cash Flows for the six months ended
June 30, 2003, 2002 and for the period from September 27,
1994 (date of inception) to June 30, 2003....................... 5
Consolidated Statements of Stockholders' Equity for the six
months ended June 30, 2003 and for the years ended
December 31, 2002 and 2001...................................... 6
Notes to Condensed Consolidated Financial Statements............ 7-8
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations....................................... 8-11
PART II OTHER INFORMATION
Item 1. Legal Proceedings............................................... 11
Item 2. Changes In Securities And Use Of Proceeds....................... 11
Item 3. Defaults Upon Senior Securities................................. 11
Item 4. Submission Of Matters To A Vote Of Security Holders............. 11
Item 5. Other Information............................................... 11
Item 6. Exhibit......................................................... 11
Signatures...................................................... 11
This quarterly report on Form 10-QSB is for the three and six months ended June
30, 2003. This quarterly report modifies and supersedes documents filed prior
to this quarterly report. The Securities and Exchange Commission (SEC) allows
us to "incorporate by reference" information that we file with them, which means
that we can disclose important information to you by referring you directly to
those documents. Information incorporated by reference is considered to be part
of this quarterly report. In addition, information that we file with the SEC in
the future will automatically update and supersede information contained in this
quarterly report. In this quarterly report, "Unitrend," "we," "us" and "our"
refer to Unitrend, Inc.
You should carefully review the information contained in this quarterly report
and in other reports or documents that we file from time to time with the SEC.
In this quarterly report, we state our beliefs of future events and of our
future financial performance. In some cases, you can identify those so-called
"forward-looking statements" by words such as "may," "will," "should," "expects"
"plans," "anticipates," "believes," "estimates," "predicts," "potential," or
"continue" or the negative of those words and other comparable words. You should
be aware that those statements are only our predictions. Actual events or
results may differ materially. In evaluating those statements, you should
specifically consider various factors, including the risks outlined below.
Those factors may cause our actual results to differ materially from any of our
forward-looking statements.
Part I. Financial Information
Item I. Condensed Financial Statements
UNITREND, INC.
(A Development Stage Company)
BALANCE SHEETS
ASSETS
(unaudited) (unaudited)
June 30, 2003 December 31,2002
---------------- ----------------
CURRENT ASSETS
Cash $ 141 $ 52
---------------- ----------------
PROPERTY AND EQUIPMENT, at cost
Land 67,485 67,485
Building and improvements 351,168 351,168
Furniture and fixtures 65,266 65,266
Computer equipment 151,055 151,055
Computer software 46,719 46,719
Automobiles 15,937 15,937
Tooling and dies under construction 1,469,429 1,469,429
---------------- ----------------
2,167,059 2,167,059
Less accumulated depreciation (284,093) (273,925)
---------------- ----------------
Net property and equipment 1,882,966 1,893,134
---------------- ----------------
OTHER ASSETS
Patent licensing costs,
net of accumulated amortization 23,885 24,942
Loan costs, net of accumulated amortization - 545
---------------- ----------------
Total other assets 23,885 25,487
---------------- ----------------
TOTAL ASSETS $ 1,906,992 $ 1,918,673
================ ================
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITES
Accounts payable $ 632,378 $ 624,954
Current portion of note payable 200,188 211,313
Accrued expenses 1,398,567 1,314,288
---------------- ----------------
Total current liabilities 2,231,133 2,150,555
---------------- ----------------
NOTES PAYABLE - RELATED PARTIES 179,217 99,145
---------------- ----------------
STOCKHOLDERS' EQUITY
Common stock, no par value 3,795,598 3,795,598
Additional paid-in capital 8,023,695 8,023,695
Deficit accumulated in the development stage
(12,322,651) (12,150,321)
---------------- ----------------
Total stockholders' equity (503,358) (331,028)
---------------- ----------------
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY $ 1,906,992 $ 1,918,673
================ ================
UNITREND, INC.
(A Development Stage Company)
STATEMENTS OF OPERATIONS (UNAUDITED)
(unaudited)
(unaudited) (unaudited) (unaudited) (unaudited) September 27, 1994
Three Months Ended Three Months Ended Six Months Ended Six Months Ended (Date of Inception)
June 30, 2003 June 30, 2002 June 30, 2003 June 30, 2002 to June 30, 2003
---------------- ---------------- ---------------- ---------------- ----------------
Sales $ - $ - $ - $ - $ 603
Research and development
expenses - - (24,000) - (553,943)
Selling, general and
administrative expenses (71,234) (38,113) (129,668) (101,105) (11,442,937)
---------------- ---------------- ---------------- ---------------- ----------------
Operating loss (71,234) (38,113) (153,668) (101,105) (11,996,277)
Interest income - - - - 1,546
Interest expense (12,355) (3,897) (18,662) (10,767) (303,952)
---------------- ---------------- ---------------- ---------------- ----------------
Net loss before cumulative
effect of change in
accounting principle (83,589) (42,010) (172,330) (111,872) (12,298,683)
Cumulative effect of
change in accounting
principle - - - - (23,968)
---------------- ---------------- ---------------- ---------------- ----------------
Net loss $ (83,589) $ (42,010) $ (172,330) $ (111,872) $ (12,322,651)
================ ================ ================ ================ ================
Basic and diluted loss
per share:
Before cumulative effect
of change in accounting
principle $ (0.00) $ (0.00) $ (0.00) $ (0.00) $ (0.18)
Cumulative effect of change
in accounting principle - - - - -
---------------- ---------------- ---------------- ---------------- ----------------
Net loss $ (0.00) $ (0.00) $ (0.00) $ (0.00) $ (0.18)
================ ================ ================ ================ ================
Weighted average shares
outstanding used to compute
basic and diluted loss per
share 70,371,770 70,371,770 70,371,770 70,371,770 66,927,991
================ ================ ================ ================ ================
UNITREND, INC.
(A Development Stage Company)
STATEMENT OF CASH FLOWS
(unaudited)
(unaudited) (unaudited) September 27, 1994
Six Months Ended Six Months Ended (Date Of Inception)
June 30, 2003 June 30, 2002 to June 30, 2003
---------------- ---------------- ----------------
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss $ (172,330) $ (111,872) $ (12,322,651)
---------------- ---------------- ----------------
Adjustments to reconcile net loss to
net cash used in operating activities:
Change in accounting principle - - 23,968
Options issued for services - - 5,326,989
Depreciation & amortization 11,770 14,524 323,151
Loss on disposal of property
and equipment - - 12,893
Bad debt - - 42,157
Accrued interest income - - (3,091)
Common stock issued for services - - 10,000
Increase in operating liabilities:
Accounts payable 7,424 51,863 632,378
Accrued expenses 84,279 2,883 1,468,509
---------------- ---------------- ----------------
Total adjustments 103,473 69,270 7,836,954
---------------- ---------------- ----------------
Net cash used in operating activities (68,857) (42,602) (4,485,697)
---------------- ---------------- ----------------
CASH FLOWS FROM INVESTING ACTIVITIES
Payment for patent licensing costs - - (31,723)
Purchase of property and equipment - - (2,210,464)
Proceeds from sale of property and
equipment - - 10,941
Loans to related parties - - (18,191)
Loans to other entities - - (23,916)
Repayment from employee - - 3,041
Payment of organizational cost - - (30,168)
---------------- ---------------- ----------------
Net cash provided by (used in )
investing activities - - (2,300,480)
---------------- ---------------- ----------------
CASH FLOWS FROM FINANCING ACTIVITIES
Payment of loan costs - - (5,448)
Loans from stockholder 80,071 50,475 2,839,165
Proceeds from note payable - - 290,000
Payment on note payable (11,125) (8,055) (89,812)
Proceeds from sale of common stock
and exercise of stock options - - 2,619,563
Payments for stock recissions - - (134,170)
Sale of stock subject to recission
for cash - - 1,267,020
---------------- ---------------- ----------------
Net cash provided by financing
activities 68,946 42,420 6,786,318
---------------- ---------------- ----------------
Net increase (decrease) in cash 89 (182) 141
Cash - beginning of period 52 235 -
---------------- ---------------- ----------------
Cash - end of period $ 141 $ 53 $ 141
================ ================ ================
SUPPLEMENTAL DISCLOSURE OF CASH
FLOW INFORMATION:
Cash paid during the period
Interest $ 2,875 $ 7,883 $ 144,690
SUPPLEMENTAL DISCLOSURE OF NONCASH FINANCING ACTIVITIES:
The President/Majority Stockholder exercised 476,190 options to purchase stock,
during the period ended March 31, 2002, at a price of $0.50 per share by
forgiving debt of $238,095.
UNITREND, INC.
(A Development Stage Company)
STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT)
For the Six Months Ended June 30, 2003
And For the Years Ended December 31, 2002 and 2001
(unaudited)
Deficit
Accumulated
Common Stock Additional During the
---------------- Paid-in Development
Shares Amount Capital Stage Total
---------- ---------- ---------- ------------- ----------
BALANCE -
DECEMBER 31, 2000 69,895,580 3,557,503 8,023,695 (10,667,395) 913,803
Net loss - 2001 - - - (431,989) (431,989)
---------- ---------- ---------- ------------- -----------
BALANCE -
DECEMBER 31, 2001 69,895,580 3,557,503 8,023,695 (11,099,384) 481,814
Majority stockholder
exercised options
at $0.50 per share
on January 22, 2002 476,190 238,095 - - 238,095
Net loss - 2002 - - - (111,872) (111,872)
---------- ---------- ---------- ------------- -----------
BALANCE -
DECEMBER 31, 2002 70,371,770 3,795,598 8,023,695 (12,150,321) (331,028)
Net loss for the
period ended
June 30, 2003 - - - (172,330) (172,330)
---------- ---------- ---------- ------------- -----------
BALANCE -
JUNE 30, 2003 70,371,770 $3,795,598 $8,023,695 $(12,322,651) $ (503,358)
========== ========== ========== ============= ===========
UNITREND, INC.
FORM 10-Q SB
QUARTER ENDED JUNE 30, 2003
NOTES TO CONDENSED FINANCIAL STATEMENTS (unaudited)
BASIS OF PRESENTATION
The condensed financial statements included herein have been prepared by the
Company, without audit, pursuant to the rules and regulations of the Securities
and Exchange Commission. Certain information and footnote disclosures normally
included in financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted pursuant to such rules and
regulations. However, the Company believes that the disclosures are adequate to
make the information presented not misleading.
The unaudited condensed financial statements included herein reflect all
adjustments (which include only normal, recurring adjustments) that are, in the
opinion of management, necessary to state fairly the results for the three and
six month periods ended June 30, 2003. The results for the three and six month
periods ended June 30, 2003 are not necessarily indicative of the results
expected for the full fiscal year.
NATURE AND SCOPE OF BUSINESS
Unitrend, Inc. (the Company) a Nevada corporation as of January, 1999, formerly
an Ohio corporation, is a development stage company formed to produce computer
enclosures, power supplies and related products for a national market. The
Company was incorporated on April 11, 1996 as Versa Case, Inc. On May 15, 1996,
the Company changed its name to Unitrend, Inc. The Company's operations to date
have consisted primarily of incidental sales of computer components while the
company personnel have concentrated on the development of its products. To date,
the Company has been issued seven United States patents with three patent
applications pending. The VersaCase patent alone was valued at $9,478,000 by
Robinwood Consulting, an independent firm experienced in the valuation of
intellectual property. Generally Accepted Accounting Principles do not allow
us to record this valuation on the balance sheets, we can only account for the
direct costs involved in obtaining a patent. We also have six registered
trademarks and service marks. As of June 30, 2003, expenses incurred have
been primarily for administrative support, tooling and product development of
the enclosures, power supplies and wire management systems that will ultimately
be sold, which has resulted in an accumulated deficit in the development stage
of approximately $12,323,000.
On April 16, 1998, the Company formed Osborne Manufacturing, Inc. (OMI) to
produce the Company's products. In 2002, OMI was dissolved because management
determined that it could save time and money by entering into a contract with
New Product Innovations, Inc. (NPI) to provide turnkey manufacturing of its
product line. NPI is a joint venture between General Electric (GE) and Fitch,
Inc. NPI along with Fitch will complete product development, obtain agency
approvals, engage in product positioning and manufacturing development.
The Company merged with Server Systems Technology, Inc. (SSTI) effective
December 15, 1998. SSTI was the predecessor to the Company and was formed
September 27, 1994. It owns several patents that are key to the Company's
products, but otherwise has ceased its development stage operations when the
Company was formed in April, 1996. SSTI is a related party to the Company since
the two entities have common stockholders.
USE OF ESTIMATES
The preparation of financial statements in conformity with generally accepted
accounting principles require management to make estimates and assumptions
that affect the reported amounts of assets and liabilities, disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting periods.
Actual results could differ from these estimates.
PRINCIPLES OF CONSOLIDATION
The consolidated financial statements are on the accrual basis of accounting
and include the financial statements of the Parent for the period ended
March 31, 2002 (unaudited) and 2001 (unaudited), in entirety, and include the
financial statements of its 60% owned Subsidiary. All material intercompany
balances and transactions are eliminated in consolidation.
RELATED PARTY PAYABLE
There were unsecured notes payable to the President/majority stockholder,
including interest at prime on the first business day of the year, payable in
ten equal installments after the Company is profitable for one year. As of
June 30, 2003 and December 31, 2002, the outstanding balances of the note
payable to the President/majority stockholder were $179,217 and $99,145,
respectively. On March 31, 2000, our President/majority stockholder forgave
loans to the Company of $2,171,854 and accrued interest of $69,942. The
forgiveness was accounted for as contributed capital.
NEW ACCOUNTING PRONOUNCEMENT
In January 2003 the Financial Accounting Standards Board issued Interpretation
No. 46, "Consolidation of Variable Interest Entities ("VIE"), an Interpretation
of Accounting Research Bulletin No. 51" ("FIN 46"). The Interpretation provides
guidance for determining whether an entity is a variable interest entity and
evaluation for consolidation based on their variable interests. A VIE is an
entity in which the equity investors do not have a controlling interest, or the
equity investment at risk is insufficient to finance the entity's activities
without receiving additional subordinated financial support from the other
parties. Generally, FIN 46 would require that the assets, liabilities and
results of the activity of a VIE be consolidated into the financial statements
of the enterprise that is determined to be the primary beneficiary. The
Interpretation is effective immediately for VIEs created after January 31, 2003
and in the first interim period beginning after June 15, 2003 for VIEs created
prior to February 1, 2003. The Company is currently determining the impact of
FIN 46 and expects the adoption to have little or no impact on the Company's
financial position or results of operation.
In May 2003, the Financial Accounting Standards Board issued Statement Of
Financial Accounting Standards No. 150 ("SFAS 150"), Accounting for Certain
Financial Instruments with Characteristics of both Liabilities and Equity. SFAS
150 establishes standards for how an issuer classifies and measures certain
financial instruments with characteristics of both liabilities and equity. SFAS
150 applies specifically to a number of financial instruments that companies
have historically presented within their financial statements as either equity
or between the liabilities section and the equity section, rather than as
liabilities. SFAS 150 is effective for financial instruments entered into or
modified after May 31, 2003, and otherwise is effective at the beginning of the
first interim period beginning after June 15, 2003. The adoption of SFAS 150 is
not expected to have material impact on our financial position or results of
operations.
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
RESULTS OF OPERATIONS - SECOND QUARTER OF 2003 COMPARED TO SECOND QUARTER
OF 2002
The Company did not have revenues during the quarter ended June 30, 2003 or
during the quarter ended June 30, 2002. We expect to begin producing and
selling the Cablety wire management system in the third quarter 2003.
We had an operating loss of $71,234 during the quarter ended June 30, 2003 as
compared to an operating loss of $38,113 during the quarter ended June 30,
2002, an increase of 87%. As discussed below, the operating loss increased
primarily because of an increase in selling, general and administrative
expenses.
Selling, general and administrative expenses increased to $71,234 during the
quarter ended June 30, 2003 as compared to $38,113 for the quarter ended June
30, 2002, an increase of 87%. This change was due primarily to an increase in
payroll expense of approximately $44,800 during the quarter ended June 30, 2003
as compared to the same time period in 2002. The Company did not incur any
other significant increases during the quarter ended June 30, 2003 as compared
to the quarter ended June 30, 2002. Decreases in insurance expense and
telephone expense were approximately $3,700 and $1,200, respectively as the
Company continued its efforts to cut costs to decrease the Company's need for
cash.
There were no stock options granted to non-employees during the three months
ended June 30, 2003 or during the three months ended June 30, 2002.
RESULTS OF OPERATIONS - FIRST SIX MONTHS OF 2003 COMPARED TO FIRST SIX MONTHS OF
2002
The Company did not have revenues during the six months ended June 30, 2003 or
during the six months ended June 30, 2002. We expect to begin producing and
selling the Cablety wire management system in the third quarter 2003.
We had an operating loss of $153,668 during the six months ended June 30, 2003
as compared to an operating loss of $101,105 during the six months ended June
30, 2002, an increase of 52%. As discussed below, this change is due to an
increase in selling, general and administrative expenses and research and
development expenses.
The Company had $24,000 in research and development expenses during the six
months ended June 30, 2003 as compared to zero for the six months ended June 30,
2002. We believe that research and development expenses will increase as we go
forward due to the contract entered into with New Product Innovations, Inc.
(NPI) to provide turnkey manufacturing of our product line. NPI along with
Fitch, Inc. will complete product development, obtain agency approvals, engage
in product positioning and manufacturing development. We anticipate this
spending to continue to increase as we prepare for the final product development
and production of the Cablety, our first product due to reach the market in the
third quarter of 2003.
Selling, general and administrative expenses increased to $129,668 during the
six months ended June 30, 2003 as compared to $101,105 during the six months
ended June 30, 2002, an increase of 28%. This change was due primarily to an
increase in payroll expense of approximately $84,900 during the six months ended
June 30, 2003 as compared to the same time period in 2002. The Company did not
incur any other significant increases during the six months ended June 30, 2003
as compared to the six months ended June 30, 2002. Significant decreases in
professional fees, insurance expense, and telephone expense were approximately
$14,400, $6,100 and $2,500, respectively as the Company continued its efforts to
cut costs to decrease the Company's need for cash.
There were no stock options granted to non-employees during the six months ended
June 30, 2003 or during the six months ended June 30, 2002.
Accrued payroll and related taxes increased to $1,067,738 at June 30, 2003 as
compared to $982,808 at years end December 31, 2002 respectively. The Company
notified its employees on January 1, 2001 that due to its financial condition,
payroll would cease for an undetermined amount of time. In 2002, the Company
decided that payroll would resume. Our interest expense for the six months
ended June 30, 2003 was $18,662 as compared to $10,767 from the same time period
last year.
LIQUIDITY AND CAPITAL RESOURCES
The Company has financed its operations since inception primarily through public
and private sales of equity securities, as well as through loans from its
President/majority stockholder, Conrad A.H. Jelinger. As of June 30, 2003, the
Company's cash totaled $141. Loans from Mr. Jelinger during the six months
ended June 30, 2003 totaled $80,071. Accounts payable increased to $632,378 for
the six months ended June 30, 2003 compared to $624,954 at years end December
31, 2002.
For the six months ended June 30, 2003, primary uses of cash for the Company's
operations and working capital requirements totaled $68,857.
Our future capital requirements will depend upon numerous factors, including the
amount of revenues generated from operations, the cost of our sales and
marketing activities and the progress of our research and development
activities, none of which can be predicted with certainty. In December, 2000,
the company filed an SB-2 registration statement with the Securities and
Exchange Commission to register 4,000,000 shares of common stock, at $10.00 per
share in a "Best Efforts" offering. The filing was declared effective on
December 28, 2000. The purpose of the offering was to raise sufficient funds to
enable the company to commence manufacturing of its VersaCase product.
Ultimately, the company did not receive sufficient subscriptions to enable to
commence manufacturing operations and the offering terminated with all funds
returned to subscribers. Currently, the company plans to raise sufficient funds
through the advancement of monies by its founder. While funds advanced and
raised from the founder may enable the company to continue product development
and commence out-source manufacturing, we cannot be certain that the founder
will continue to fund our capital needs. Consequently, we may seek additional
funding during the next 24 months through a post effective amendment to the
SB-2 registration statement. There can be no assurance that any additional
financing will be available on acceptable terms, if required. Moreover, if
additional financing is not available, we could be required to reduce or
suspend our operations, seek an acquisition partner or sell securities on terms
that may be highly dilutive or otherwise disadvantageous to existing investors,
or investors purchasing stock offered in the anticipated secondary offering. In
the event that neither of the capital-raising mechanisms described above result
in timely usable proceeds to the Company, we may have a serious shortfall of
working capital. We have experienced in the past, and may continue to
experience, operational difficulties and delays in product development due to
working capital constraints. Any such difficulties or delays could have a
material adverse effect on our business, financial condition and results of
operations.
OUTLOOK
The outlook section contains a number of forward-looking statements, all of
which are based on current expectations. Actual results may differ materially.
Our growth strategy is built around five imperatives: maintaining technology
leadership; increasing market share; acquiring other business entities;
leveraging strategic relationships; and the recruiting and retaining of key
personnel.
MAINTAINING TECHNOLOGY LEADERSHIP. The cutting edge of our effort to achieve
technological leadership is to establish a standard for open architecture and
modularity in the computer enclosure industry. Other components, accessories,
and products are in various stages of development. They will be supported by
an aggressive research and development budget.
INCREASING MARKET SHARE. Our entry into the market is estimated at a modest
level to allow us to grow at a reasonable pace. However, we make no
representations or guarantees that we will be able to manage the growth of our
business. Once VersaCase is introduced, we expect that there will be significant
interest across a number of market segments. The VersaCase is unparalleled in
its versatile application as a PC or server enclosure. The ease of access and
scalability will provide numerous benefits to routine and mission-critical users
that will propel and increase market share.
ACQUIRING OTHER BUSINESS ENTITIES. In order to expand our technological and
market capabilities, we may consider the pursuit of other companies. Such
acquisitions may include core and non-core entities. A core entity may be a
research and development group, and a non-core firm could be one that might
enhance our production process.
LEVERAGING STRATEGIC RELATIONSHIPS. We intend to leverage our relationship
with companies that complement our mission. For instance, the uniqueness of
VersaCase technology will create opportunities for us to establish strong
relationships with key distributors. These distributors will be able to offer
their clients a product that is very competitive and distinctive. We have been
approached by distributors to consider a channel relationship or exclusive
position with them. While we must maintain a broader market focus, we may
selectively enter into agreements that would enhance market credibility and
penetration.
RECRUITING AND RETAINING OF KEY PERSONNEL. An entrepreneurial spirit that was
based in creativity, risk and reward drove the birth of this company. We intend
to maintain this quality by offering competitive salary and incentive
compensation. Our overriding human resources philosophy is to build a corporate
culture that supports the success of each employee, as well as the company.
Part II. Other Information
Item 1. Legal Proceedings
None
Item 2. Changes In Securities And Use Of Proceeds
None
Item 3. Defaults Upon Senior Securities
None
Item 4. Submission Of Matters To A Vote Of Security Holders
Not Applicable
Item 5. Other Information
None
Item 6. Exhibits and Reports on Form 8-K
(a) List of Exhibits
99. Additional Exhibits
Exhibit 99.1 Certification Under SEction 906 of Sarbanes-Oxley Act
of 2002
(b) Reports on Form 8-K
None
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, Unitrend,
Inc. has duly caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
UNITREND, INC.
Dated: August 13, 2002 By: /S/ CONRAD A.H. JELINGER:
_________________________
Conrad A.H. Jelinger
Chief Executive Officer,
Interim Chief Financial Officer
and President