EXHIBIT 99.19
UNITED STATES BANKRUPTCY COURT
NORTHERN DISTRICT OF CALIFORNIA
IN RE: TAL WIRELESS NETWORKS, INC. CASE NO: 97-58435 MM
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CHAPTER 11
MONTHLY OPERATING REPORT
(GENERAL BUSINESS CASE)
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SUMMARY OF FINANCIAL STATUS
MONTH ENDED March, 1998
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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
----- ----- ------
Current Assets (Market Value) $113,946 $122,273 $245,867
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Total Assets (Market Value) $5,526,564 $5,534,891 $5,665,985
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Current Liabilities $50,437 $36,494 $0
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Total Liabilities $5,517,472 $5,503,529 $5,467,035
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PETITION
CURRENT PRIOR DATE TO
3. STATEMENT OF CASH RECEIPTS & DISBURSEMENTS FOR MONTH MONTH MONTH MONTH END
----- ----- ---------
a. Total Receipts $3,024 $12,092 $26,149
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b. Total Disbursements $1,651 $80 $9,820
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c. Excess (Deficiency) of Receipts Over Disbursements (a - b) $1,373 $12,012 $16,329
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d. Cash Balance Beginning of Month $31,437 $19,425
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e. Cash Balance End of Month (c + d) $32,810 $31,437
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4. POST-PETITION LIABILITIES & RECEIVABLES RECEIVABLES LIABILITIES
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Balance at End of Previous Month $75,156 $36,494
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Balance at End of Current Month $75,156 $50,437
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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) $3,174
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YES NO
--- --
6. Are all federal, state, and local taxes current? (if no, attach schedule of unpaid items) X
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7. Have any payments been made to pre-petition creditors, other than payments in the normal
course to secured creditors or lessors? (if yes, attach listing including date of payment,
amount of payment and name of payee X
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8. Have any payments been made to officers, insiders, shareholders, relatives?
(if yes, attach listing including date of payment, amount and reason for payment,
and name of payee) X
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9. Have any payments been made to professionals? (if yes, attach listing including date of
payment, amount of payment and name of payee) X
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10. If you answered yes to line 7,8, or 9, were all such payments approved by the court? N/A
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11. Is the estate insured for replacement cost of assets and for general liability? X
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12. Are U.S. Trustee quarterly fees current? X
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I DECLARE UNDER PENALTY OF PERJURY THAT I HAVE REVIEWED THE ABOVE SUMMARY
AND ATTACHED FINANCIAL STATEMENTS, AND AFTER MAKING REASONABLE INQUIRY
BELIEVE THAT THESE DOCUMENTS ARE CORRECT.
Date: April 17, 1998 Richard J Redett
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Responsible Individual
Effective 1/1/95
BALANCE SHEET
(GENERAL BUSINESS CASE)
FOR THE MONTH ENDED March, 1998
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($_______)
ASSETS
FROM SCHEDULES MARKET VALUE
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CURRENT ASSETS
1 Cash and cash equivalents - unrestricted $32,810
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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 $0
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5 Prepaid expenses $5,980
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6 Other:
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7
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8 TOTAL CURRENT ASSETS $113,946
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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 $0
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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 $0
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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 $5,526,564
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NOTE:
Indicate the method used to estimate the market value of assets (e.g.,
appraisals; familiarity with comparable market prices, etc.) and the
date the value was determined. Estimated based on experience
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Effective 1/1/95
LIABILITIES AND EQUITY
(GENERAL BUSINESS CASE)
($_____)
LIABILITIES FROM SCHEDULES
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POST-PETITION
CURRENT LIABILITIES
27 Salaries and wages
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28 Payroll taxes
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29 Real and personal property taxes
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30 Income taxes
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31 Notes payable (short term)
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32 Accounts payable (trade) A $4,170
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33 Real property lease arrearage
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34 Personal property lease arrearage
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35 Accrued professional fees $46,267
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36 Current portion of long-term debt
(due within 12 months)
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37 Other:
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38
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39
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40 TOTAL CURRENT LIABILITIES $50,437
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41 LONG-TERM DEBT, NET OF CURRENT PORTION -------------
42 TOTAL POST-PETITION LIABILITIES $50,437
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PRE-PETITION LIABILITIES (ALLOWED AMOUNT)
43 Secured claims E $100,000
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44 Priority unsecured claims E $101,776
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45 General unsecured claims E $5,265,259
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46 TOTAL PRE-PETITION LIABILITIES $5,467,035
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47 TOTAL LIABILITIES $5,517,472
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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 ($18,526,452)
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52 Market value adjustment ($34,743)
53 TOTAL EQUITY (DEFICIT) $9,092
54 TOTAL LIABILITIES AND EQUITY (DEFICIT) $5,526,564
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Effective 1/1/95
SCHEDULES
(GENERAL BUSINESS CASE)
($_____)
SCHEDULE A
ACCOUNTS RECEIVABLE(NET)/PAYABLE
ACCOUNTS ACCOUNTS PAYABLE PAST DUE
Receivables and Payables Ageings RECEIVABLE [POST PETITION] POST PETITION DEBT
---------- --------------- -------------------
0 -30 Days $996
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31-60 Days $1,181 |
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61-90 Days $1,993 | $3,174
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91+ Days $75,156 |
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Total accounts receivable/payable $75,156 $4,170
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Allowance for doubtful accounts
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Accounts receivable (net) $75,156
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SCHEDULE B
INVENTORY/COST OF GOODS SOLD
TYPES AND AMOUNT OF INVENTORY(IES)
---------------------------------
INVENTORY(IES)
BALANCE AT
END OF MONTH
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Retail/Restaurants -
Product for resale
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Distribution -
Product for resale
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Manufacturer -
Raw materials
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Work-in-progress
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Finished goods
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Other -
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Explain
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TOTAL $0
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COST OF GOODS SOLD
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Inventory Beginning of Month
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Add -
Net purchases
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Direct labor
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Manufacturing overhead
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Freight in
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Other:
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Less -
Inventory End of Month
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Shrinkage
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Personal Use
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Cost of Goods Sold $0
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METHOD OF INVENTORY CONTROL INVENTORY VALUATION METHODS
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Do you have a functioning perpetual inventory system? Indicate by a checkmark method of inventory valuation used.
Yes No
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How often do you take a complete physical inventory? Valuation methods -
FIFO cost
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Weekly LIFO cost
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Monthly Lower of cost or
--- market
Quarterly ---------
--- Retail method
Semi-annually ---------
---
Annually
---
Other -
Date of last physical inventory was Unknown Explain
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Date of next physical inventory is N/A ---------------------------------
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Effective 1/1/95
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
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FURNITURE & FIXTURES -
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
TOTAL $0 $0
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OFFICE EQUIPMENT -
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
TOTAL $0 $0
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LEASEHOLD IMPROVEMENTS -
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
TOTAL $0 $0
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VEHICLES -
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
- ---------------------------------------- ----------- -------------
TOTAL $0 $0
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SCHEDULE E
PRE-PETITION LIABILITIES
CLAIMED ALLOWED
LIST TOTAL CLAIMS FOR EACH CLASSIFICATION - AMOUNT AMOUNT (b)
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Secured claims (a) $100,000
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Priority claims other than taxes
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Priority tax claims $101,776
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General unsecured claims $5,265,259
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(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 $3,000,000 as the Allowed Amount.
SCHEDULE F
RENTAL INCOME INFORMATION
Not Applicable to General Business Cases.
Effective 1/1/95
STATEMENT OF OPERATIONS
(GENERAL BUSINESS CASE)
For the Month Ended March, 1998
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$
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CURRENT MONTH CUMULATIVE NEXT MONTH
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ACTUAL FORECAST VARIANCE (CASE TO DATE) FORECAST
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REVENUES
$0 1 Gross Sales $7,000
- --------- -------- ---------- ---------- ---------
$0 2 less: Sales Returns & Allowances
- --------- -------- ---------- ---------- ---------
$0 3 Net Sales $7,000 $0
- --------- -------- ---------- ---------- ---------
$0 4 less: Cost of Goods Sold (Schedule 'B') $68,271
- --------- -------- ---------- ---------- ---------
$0 5 Gross Profit ($61,271) $0
- --------- -------- ---------- ---------- ---------
$24 $24 6 Interest $24
- --------- -------- ---------- ---------- ---------
7 Other Income:
- --------- -------- ---------- ---------- ---------
$0 8
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$0 9
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$24 $0 $24 10 TOTAL REVENUES ($61,247) $0
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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
- --------- -------- ---------- ---------- ---------
$302 ($302) 20 Other Administrative $1,276
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$0 21 Interest
- --------- -------- ---------- ---------- ---------
22 Other Expenses:
- --------- -------- ---------- ---------- ---------
$0 23 Storage Rental $786
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$0 24 Accounting $1,510
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$0 25 Press Release $625
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$798 ($798) 26 Telecommunications $2,996
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$1,547 ($1,547) 27 SEC Reporting $1,547
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$0 28
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$0 29
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$0 30
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$2,647 $0 ($2,647) 31 TOTAL EXPENSES $8,740 $0
- --------- -------- ---------- ---------- ---------
($2,623) $0 ($2,623) 32 SUBTOTAL ($69,987) $0
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REORGANIZATION ITEMS
$19,647 ($19,647) 33 Professional Fees $122,375
- --------- -------- ---------- ---------- ---------
$0 34 Provisions for Rejected Executory Contracts
- --------- -------- ---------- ---------- ---------
Interest Earned on Accumulated Cash
$0 35 Resulting from Chp 11 Case
- --------- -------- ---------- ---------- ---------
$0 36 Gain or (Loss) from Sale of Equipment $4,592
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$0 37 US Trustee Fees $250
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$0 38
- --------- -------- ---------- ------------------------------------------------------- ---------- ---------
$19,647 $0 ($19,647) 39 TOTAL REORGANIZATION ITEMS $118,033 $0
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($22,270) $0 ($22,270) 40 NET PROFIT (LOSS) BEFORE FEDERAL & STATE TAXES ($188,020) $0
- --------- -------- ---------- ---------- ---------
$0 41 FEDERAL & STATE INCOME TAXES
- --------- -------- ---------- ---------- ---------
($22,270) $0 ($22,270) 42 NET PROFIT (LOSS) ($188,020) $0
- --------- -------- ---------- ---------- ---------
- --------- -------- ---------- ---------- ---------
EXPLANATION OF VARIANCE TO STATEMENT OF OPERATIONS
(FOR VARIANCES GREATER THAN +/- 10% ONLY)
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Effective 1/1/95
SUMMARY OF CASH RECEIPTS AND DISBURSEMENTS
(GENERAL BUSINESS CASE)
FOR THE MONTH ENDED MARCH, 1998
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CASH BALANCE BEGINNING OF MONTH $31,437
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CASH RECEIPTS (1) $3,024
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CASH DISBURSEMENTS (1) $1,651
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EXCESS (DEFICIENCY) OF RECEIPTS OVER DISBURSEMENTS $1,373
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CASH BALANCE END OF MONTH $32,810
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RECAPITULATION OF FUNDS HELD AT END OF MONTH
ACCOUNT 1 ACCOUNT 2 ACCOUNT 3
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BANK WELLS FARGO BANK OF AMERICA
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ACCOUNT TYPE GENERAL MURRAY&MURRAY TRUST
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ACCOUNT NO. 0114-458243 00357-63272
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ACCOUNT PURPOSE OPERATIONS NONE
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BALANCE, END OF MONTH $20,694 $12,116
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Total Funds on Hand for all Accounts $32,810
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(1) Excluding bank transfers between your accounts.
Effective 1/1/95