EXHIBIT 99.19
UNITED STATES BANKRUPTCY COURT
NORTHERN DISTRICT OF CALIFORNIA
IN RE: TAL WIRELESS NETWORKS, INC. x CASE NO: 97-58435 MM
x ------------
x CHAPTER 11
x MONTHLY OPERATING REPORT
x (GENERAL BUSINESS CASE)
-----------------------------------x
SUMMARY OF FINANCIAL STATUS
MONTH ENDED November, 1997
----------------
1. Debtor in possession hereby submits this Monthly Operating Report on the
Accrual Basis of accounting (or if checked here ___ the Office of the U.S.
Trustee or the Court has approved the Cash Basis of Accounting for the
Debtor). Dollars reported in ($ _____).
END OF END OF AS OF
CURRENT PRIOR PETITION
2. ASSET/LIABILITY SUMMARY MONTH MONTH FILING
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Current Assets (Market Value) $197,071 $219,677 $245,867
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Total Assets (Market Value) $5,617,189 $5,639,795 $5,665,985
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Current Liabilities $0 $0 $0
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Total Liabilities $5,467,035 $5,467,035 $5,467,035
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PETITION
CURRENT PRIOR DATE TO
3. STATEMENT OF CASH RECEIPTS & DISBURSEMENTS FOR MONTH MONTH MONTH MONTH END
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a. Total Receipts $5,174 $1,859 $7,033
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b. Total Disbursements $18 $2,296 $2,314
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c. Excess (Deficiency) of Receipts Over Disbursements
(a - b) $5,156 ($437) $4,719
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d. Cash Balance Beginning of Month $16,044 $16,481
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e. Cash Balance End of Month (c + d) $21,200 $16,044
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4. POST-PETITION LIABILITIES & RECEIVABLES RECEIVABLES LIABILITIES
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Balance at End of Previous Month $75,156 $0
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Balance at End of Current Month $75,156 $0
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5. PAST DUE POST-PETITION LIABILITIES
Balance at End of Previous Month (over 30 days) $0
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Balance at End of Current Month (over 30 days) $0
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YES NO
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6. Are all federal, state, and local taxes current? (if no,
attach schedule of unpaid items) X
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7. Have any payments been made to pre-petition creditors,
other than payments in the normal course to secured
creditors or lessors? (if yes, attach listing including
date of payment, amount of payment and name of payee) X
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8. Have any payments been made to officers, insiders,
shareholders, relatives? (if yes, attach listing
including date of payment, amount and reason for payment,
and name of payee) X
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9. Have any payments been made to professionals? (if yes,
attach listing including date of payment, amount of
payment and name of payee) X
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10. If you answered yes to line 7,8, or 9, were all such
payments approved by the court?
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11. Is the estate insured for replacement cost of assets and
for general liability? X
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12. Are U.S. Trustee quarterly fees current? X
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I declare under penalty of perjury that I have reviewed the above summary
and attached financial statements, and after making reasonable inquiry
believe that these documents are correct.
Date: December 12, 1997 /s/ Richard J. Redett
------------------- ----------------------------------
Responsible Individual
BALANCE SHEET
(GENERAL BUSINESS CASE)
FOR THE MONTH ENDED November
------------
($____________)
ASSETS
FROM SCHEDULES MARKET VALUE
------------------- --------------
CURRENT ASSETS
1 Cash and cash equivalents - unrestricted $21,200
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2 Cash and cash equivalents - restricted $0
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3 Accounts receivable (net) A $75,156
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4 Inventory B $68,271
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5 Prepaid expenses $32,444
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6 Other:
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7
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8 TOTAL CURRENT ASSETS $197,071
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PROPERTY AND EQUIPMENT (MARKET VALUE)
9 Real property C $0
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10 Machinery and equipment D $0
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11 Furniture and fixtures D $7,500
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12 Office equipment D $0
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13 Leasehold improvements D $0
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14 Vehicles D $0
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15 Other: D
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16 D
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17 D
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18 D
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19 D
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20 TOTAL PROPERTY AND EQUIPMENT $7,500
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OTHER ASSETS
21 Notes receivable-net of allowances $5,000,000
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22 Investment-NST $300,000
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23 Investment-subs $112,618
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24 Accounts receivable-intercompany net of allowances $0
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25 TOTAL OTHER ASSETS $5,412,618
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26 TOTAL ASSETS $5,617,189
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--------------
NOTE:
Indicate the method used to estimate the market value of assets (e.g.,
appraisals; familiarity with comparable market prices, etc.) and the date the
value was determined. Estimated based on experience
- -----------------------------------------------------------------------------
- -----------------------------------------------------------------------------
- -----------------------------------------------------------------------------
- -----------------------------------------------------------------------------
- -----------------------------------------------------------------------------
LIABILITIES AND EQUITY
(GENERAL BUSINESS CASE)
($_______________)
LIABILITIES
FROM SCHEDULES
----------------
POST-PETITION
CURRENT LIABILITIES
27 Salaries and wages
-----------
28 Payroll taxes
-----------
29 Real and personal property taxes
-----------
30 Income taxes
-----------
31 Notes payable (short term)
-----------
32 Accounts payable (trade) A $0
-----------
33 Real property lease arrearage
-----------
34 Personal property lease arrearage
-----------
35 Accrued professional fees
-----------
36 Current portion of long-term debt (due within 12
months)
-----------
37 Other:
--------------------------------------------- -----------
38
------------------------------------------------------ -----------
39
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40 TOTAL CURRENT LIABILITIES $0
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41 LONG-TERM DEBT, NET OF CURRENT PORTION
-----------
42 TOTAL POST-PETITION LIABILITIES $0
-----------
PRE-PETITION LIABILITIES (ALLOWED AMOUNT)
43 Secured claims E $100,000
-----------
44 Priority unsecured claims E $101,776
-----------
45 General unsecured claims E $5,265,259
-----------
46 TOTAL PRE-PETITION LIABILITIES $5,467,035
-----------
47 TOTAL LIABILITIES $5,467,035
-----------
EQUITY (DEFICIT)
48 Preferred Stock $80,000
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49 Common Stock $28,846
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50 Additional Paid-In Capital $18,461,441
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51 Accumulated Deficit ($18,385,390)
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52 Market value adjustment ($34,743)
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53 TOTAL EQUITY (DEFICIT) $150,154
-----------
54 TOTAL LIABILITIES AND EQUITY (DEFICIT) $5,617,189
-----------
-----------
SCHEDULES
(GENERAL BUSINESS CASE)
($_________)
SCHEDULE A
ACCOUNTS RECEIVABLE(NET)/PAYABLE
PAST DUE
ACCOUNTS ACCOUNTS PAYABLE POST PETITION
Receivables and Payables Ageings RECEIVABLE [POST PETITION] DEBT
---------------- ---------------- ----------------
0 -30 Days $75,156 ---x
---------------- ---------------- x
31-60 Days x
---------------- ---------------- x
61-90 Days x $0
---------------- ---------------- x ----------------
91+ Days x
---------------- ---------------- ---x
Total accounts receivable/payable $75,156 $0
---------------- ----------------
----------------
Allowance for doubtful accounts
----------------
Accounts receivable (net) $75,156
----------------
----------------
SCHEDULE B
INVENTORY/COST OF GOODS SOLD
TYPES AND AMOUNT OF INVENTORY(IES) COST OF GOODS SOLD
- ----------------------------------- ------------------
INVENTORY(IES) Inventory Beginning of Month $68,271
BALANCE AT -----------------
END OF MONTH Add-
------------ Net purchases
Retail/Restaurants - ------------------
Product for resale Direct labor
----------------- ------------------
Manufacturing overhead
Distribution - ------------------
Product for resale Freight in
----------------- ------------------
Other:
Manufacturer -
Raw materials $68,271 -------------------------------- ------------------
-----------------
Work-in-progress -------------------------------- ------------------
-----------------
Finished goods Less-
----------------- Inventory End of Month $68,271
------------------
Other - Shrinkage
----------------- ------------------
Explain Personal Use
--------------------- ------------------
Cost of Goods Sold $0
----------------------------- ------------------
------------------
TOTAL $68,271
-----------------
-----------------
METHOD OF INVENTORY CONTROL INVENTORY VALUATION METHODS
- --------------------------- ---------------------------
Do you have a functioning perpetual inventory system? Indicate by checkmark method of inventory valuation used.
Yes No X
---- ----
How often do you take a complete physical inventory? Valuation methods -
FIFO cost
Weekly --------------------
----- LIFO cost
Monthly --------------------
----- Lower of cost or
Quarterly market X
----- --------------------
Semi-annually
----- Retail method
Annually X --------------------
----- Other -
-----------------------------------------------
Explain
Date of last physical inventory was Unknown
--------------- -----------------------------------------------
Date of next physical inventory is N/A
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SCHEDULE C
REAL PROPERTY
DESCRIPTION COST MARKET VALUE
- ----------- ------------------- -------------------
None
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
TOTAL $0 $0
------------------- -------------------
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SCHEDULE D
OTHER DEPRECIABLE ASSETS
DESCRIPTION COST MARKET VALUE
- ----------- ------------------- -------------------
MACHINERY & EQUIPMENT -
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
TOTAL $0 $0
------------------- -------------------
------------------- -------------------
FURNITURE & FIXTURES - $49,683 $7,500
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
TOTAL $49,683 $7,500
------------------- -------------------
------------------- -------------------
OFFICE EQUIPMENT -
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
TOTAL $0 $0
------------------- -------------------
------------------- -------------------
LEASEHOLD IMPROVEMENTS -
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
TOTAL $0 $0
------------------- -------------------
------------------- -------------------
VEHICLES -
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
- --------------------------------------------------------------- ------------------- -------------------
TOTAL $0 $0
------------------- -------------------
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SCHEDULE E
PRE-PETITION LIABILITIES
CLAIMED ALLOWED
LIST TOTAL CLAIMS FOR EACH CLASSIFICATION - AMOUNT AMOUNT (b)
- ------------------------------------------- ------------------- -------------------
Secured claims (a) $100,000
------------------- -------------------
Priority claims other than taxes
------------------- -------------------
Priority tax claims $101,776
------------------- -------------------
General unsecured claims $5,265,259
------------------- -------------------
(a) List total amount of claims even if under secured.
(b) Estimated amount of claim to be allowed after compromise or litigation. As
an example, you are a defendant in a lawsuit alleging damage of $10,000,000
and a proof of claim is filed in that amount. You believe that you can
settle the case for a claim of $3,000,000. For Schedule E reporting purposes
you should list $10,000,000 as the Claimed Amount and $3,000,000 as the
Allowed Amount.
SCHEDULE F
RENTAL INCOME INFORMATION
Not Applicable to General Business Cases.
STATEMENT OF OPERATIONS
(GENERAL BUSINESS CASE)
FOR THE MONTH ENDED November
------------
$_______
CURRENT MONTH CUMULATIVE
- ---------------------------------------- (CASE TO NEXT MONTH
ACTUAL FORECAST VARIANCE DATE) FORECAST
- ------------ ------------ ------------ ------------ ------------
REVENUES
$0 1 Gross Sales
- ------------ ------------ ------------ ------------ ------------
$0 2 less: Sales Returns & Allowances
- ------------ ------------ ------------ ------------ ------------
3 Net Sales $0 $0
- ------------ ------------ ------------ ------------ ------------
$0 $0 $0 4 less: Cost of Goods
Sold (Schedule 'B')
- ------------ ------------ ------------ ------------ ------------
$0 $0 5 Gross Profit $0 $0
- ------------ ------------ ------------ ------------ ------------
$0 $0 $0 6 Interest
- ------------ ------------ ------------ ------------ ------------
7 Other Income:
$0 8
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 9
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 $0 $0 10 TOTAL REVENUES $0 $0
- ------------ ------------ ------------ ------------ ------------
EXPENSES
$0 11 Compensation to Owner(s)/
Officer(s)
- ------------ ------------ ------------ ------------ ------------
$0 12 Salaries/Commissions
- ------------ ------------ ------------ ------------ ------------
$0 13 Management Fees
- ------------ ------------ ------------ ------------ ------------
$0 14 Depreciation
- ------------ ------------ ------------ ------------ ------------
$0 15 Taxes:
- ------------ ------------ ------------ ------------ ------------
$0 16 Employer Payroll Taxes
- ------------ ------------ ------------ ------------ ------------
$0 17 Real Property Taxes
- ------------ ------------ ------------ ------------ ------------
$0 18 Other Taxes
- ------------ ------------ ------------ ------------ ------------
$0 19 Other Selling
- ------------ ------------ ------------ ------------ ------------
$18 ($18) 20 Other Administrative $18
- ------------ ------------ ------------ ------------ ------------
$0 21 Interest
- ------------ ------------ ------------ ------------ ------------
22 Other Expenses:
$0 23 Storage Rental $786
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 24 Accounting $1,510
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 25
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 26
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 27
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 28
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 29
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 30
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$18 $0 ($18) 31 TOTAL EXPENSES $2,314 $0
- ------------ ------------ ------------ ------------ ------------
($18) $0 ($18) 32 SUBTOTAL ($2,314) $0
- ------------ ------------ ------------ ------------ ------------
REORGANIZATION ITEMS
$20,729 ($20,729) 33 Professional Fees $44,644
- ------------ ------------ ------------ ------------ ------------
Provisions for Rejected
$0 34 Executory Contracts
- ------------ ------------ ------------ ------------ ------------
Interest Earned on Accumulated
$0 35 Cash Resulting from Chp 11 Case
- ------------ ------------ ------------ ------------ ------------
Gain or (Loss) from Sale of
$0 36 Equipment
- ------------ ------------ ------------ ------------ ------------
$0 37
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$0 38
- ------------ ------------ ------------ --------------------------------- ------------ ------------
$20,729 $0 ($20,729) 39 TOTAL REORGANIZATION ITEMS $44,644 $0
- ------------ ------------ ------------ ------------ ------------
40 NET PROFIT (LOSS) BEFORE FEDERAL
($20,747) $0 ($20,747) & STATE TAXES ($46,958) $0
- ------------ ------------ ------------ ------------ ------------
$0 41 Federal & State Income Taxes
- ------------ ------------ ------------ ------------ ------------
($20,747) $0 ($20,747) 42 NET PROFIT (LOSS) ($46,958) $0
- ------------ ------------ ------------ ------------ ------------
- ------------ ------------ ------------ ------------ ------------
EXPLANATION OF VARIANCE TO STATEMENT OF OPERATIONS
(FOR VARIANCES GREATER THAN +/- 10% ONLY)
- ------------------------------------------------------------------------------
- ------------------------------------------------------------------------------
- ------------------------------------------------------------------------------
- ------------------------------------------------------------------------------
- ------------------------------------------------------------------------------
SUMMARY OF CASH RECEIPTS AND DISBURSEMENTS
(GENERAL BUSINESS CASE)
FOR THE MONTH ENDED November
--------
CASH BALANCE BEGINNING OF MONTH $16,044
-----------
CASH RECEIPTS (1) $5,174
-----------
CASH DISBURSEMENTS (1) $18
-----------
EXCESS (DEFICIENCY) OF RECEIPTS OVER DISBURSEMENTS $5,156
-----------
CASH BALANCE END OF MONTH $21,200
-----------
-----------
RECAPITULATION OF FUNDS HELD AT END OF MONTH
ACCOUNT 1 ACCOUNT 2 ACCOUNT 3
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BANK Wells Fargo Bank of America Citibank
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ACCOUNT TYPE General General General
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ACCOUNT NO. 0114-458243 18153-00477 45340826
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ACCOUNT PURPOSE Operations None None
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BALANCE, END OF MONTH $18,618 $0 $2,582
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TOTAL FUNDS ON HAND FOR ALL ACCOUNTS $21,200
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(1) Excluding bank transfers between your accounts.