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)
- -------------------------------------------------
SUMMARY OF FINANCIAL STATUS
MONTH ENDED April, 1999
-------------------------
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
MONTH MONTH FILING
------- ------ --------
2. ASSET/LIABILITY SUMMARY
Current Assets (Market Value) $111,629 $114,716 $245,867
---------------- ----------------- ----------------
Total Assets (Market Value) $3,111,629 $3,114,716 $5,665,985
---------------- ----------------- ----------------
Current Liabilities $210,705 $202,705 $0
---------------- ----------------- ----------------
Total Liabilities $5,577,740 $5,569,740 $5,467,035
---------------- ----------------- ----------------
PETITION
CURRENT PRIOR DATE TO
MONTH MONTH MONTH END
----- ----- ---------
3. STATEMENT OF CASH RECEIPTS & DISBURSEMENTS FOR MONTH
a. Total Receipts $0 $0 $257,213
---------------- ----------------- ----------------
b. Total Disbursements $3,087 $104,453 $162,065
---------------- ----------------- ----------------
c. Excess (Deficiency) of Receipts Over Disbursements (a - b) ($3,087) ($104,453) $95,148
---------------- ----------------- ================
d. Cash Balance Beginning of Month $114,716 $219,169
---------------- -----------------
e. Cash Balance End of Month (c + d) $111,629 $114,716
================ =================
4. POST-PETITION LIABILITIES & RECEIVABLES RECEIVABLES LIABILITIES
----------- -----------
Balance at End of Previous Month $0 $202,705
---------------- ----------------
Balance at End of Current Month $0 $210,705
---------------- ----------------
5. PAST DUE POST-PETITION LIABILITIES
Balance at End of Previous Month (over 30 days) $0
----------------
Balance at End of Current Month (over 30 days) $0
----------------
YES NO
6. Are all federal, state, and local taxes current? (if no, attach schedule of unpaid
items) X
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7. Have any payments been made to pre-petition creditors, other than payments in
the normal course to secured creditors or lessors? (if yes, attach listing including
date of payment, amount of payment and name of payee) X
----------------- ----------------
8. Have any payments been made to officers, insiders, shareholders, relatives?
(if yes, attach listing including date of payment, amount and reason for payment,
and name of payee) X
----------------- ----------------
9. Have any payments been made to professionals? (if yes, attach listing including date
of payment, amount of payment and name of payee) X
----------------- ----------------
10. If you answered yes to line 7,8, or 9, were all such payments approved by the court? #X
----------------- ----------------
11. Is the estate insured for replacement cost of assets and for general liability? N/A
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12. Are U.S. Trustee quarterly fees current? X
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I declare under penalty of perjury that I have reviewed the above summary
and attached financial statements, and after making reasonable inquiry
believe that these documents are correct.
Date: May 17, 1999 Richard J Redett
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Responsible Individual
BALANCE SHEET
(GENERAL BUSINESS CASE)
FOR THE MONTH ENDED April, 1999
-----------------
($ )
--------
ASSETS
FROM SCHEDULES MARKET VALUE
-------------- ------------
CURRENT ASSETS
1 Cash and cash equivalents - unrestricted $111,629
------------------------
2 Cash and cash equivalents - restricted $0
------------------------
3 Accounts receivable (net) A $0
------------------------
4 Inventory B $0
------------------------
5 Prepaid expenses $0
------------------------
6 Other:
---------------------------------------------------- ------------------------
7
------------------------------------------------------------ ------------------------
8 TOTAL CURRENT ASSETS $111,629
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PROPERTY AND EQUIPMENT (MARKET VALUE)
9 Real property C $0
------------------------
10 Machinery and equipment D $0
------------------------
11 Furniture and fixtures D $0
------------------------
12 Office equipment D $0
------------------------
13 Leasehold improvements D $0
------------------------
14 Vehicles D $0
------------------------
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 $3,000,000
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22 Investment-NST $0
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23 Investment-subs $0
------------------------------------------------------------ ------------------------
24 Accounts receivable-intercompany net of allowances $0
------------------------------------------------------------ ------------------------
25 TOTAL OTHER ASSETS $3,000,000
------------------------
26 TOTAL ASSETS $3,111,629
========================
NOTE:
Indicate the method used to estimate the market value of assets
(e.g., appraisals; familiarity with comparable market prices,
etc.) and the date the value was determined.
----------------------------
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---------------------------------------------------------------
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LIABILITIES AND EQUITY
(GENERAL BUSINESS CASE)
($ )
---------
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
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33 Real property lease arrearage
------------------------
34 Personal property lease arrearage
------------------------
35 Accrued professional fees $210,705
------------------------
36 Current portion of long-term debt (due within 12 months)
------------------------
37 Other:
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38
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39
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40 TOTAL CURRENT LIABILITIES $210,705
------------------------
41 LONG-TERM DEBT, NET OF CURRENT PORTION
------------------------
42 TOTAL POST-PETITION LIABILITIES $210,705
------------------------
PRE-PETITION LIABILITIES (ALLOWED AMOUNT)
43 Secured claims E
------------------------
44 Priority unsecured claims E $101,776
------------------------
45 General unsecured claims E $5,265,259
------------------------
46 TOTAL PRE-PETITION LIABILITIES $5,367,035
------------------------
47 TOTAL LIABILITIES $5,577,740
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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 ($21,001,655)
--------------------------------------------------------------- ------------------------
52 Market value adjustment ($34,743)
------------------------
53 TOTAL EQUITY (DEFICIT) ($2,466,111)
------------------------
54 TOTAL LIABILITIES AND EQUITY (DEFICIT) $3,111,629
========================
SCHEDULES
(GENERAL BUSINESS CASE)
($ )
--------
SCHEDULE A
ACCOUNTS RECEIVABLE(NET)/PAYABLE
ACCOUNTS ACCOUNTS PAYABLE PAST DUE
RECEIVABLE [POST PETITION] POST PETITION DEBT
Receivables and Payables Ageings
0 -30 Days
----------------- -------------------- --
31-60 Days |
----------------- -------------------- |
61-90 Days | $0
----------------- -------------------- --------------------------
91+ Days |
----------------- -------------------- ---
Total accounts receivable/payable $0 $0
----------------- ====================
Allowance for doubtful accounts
-----------------
Accounts receivable (net) $0
=================
SCHEDULE B
INVENTORY/COST OF GOODS SOLD
TYPES AND AMOUNT OF INVENTORY(IES) COST OF GOODS SOLD
INVENTORY(IES) Inventory Beginning of Month
BALANCE AT ----------------
END OF MONTH Add -
----------------
Retail/Restaurants - Net purchases
----------------
Product for resale Direct labor
------------------ ----------------
Manufacturing overhead
----------------
Distribution - Freight in
----------------
Product for resale Other:
------------------
------------------------ ----------------
Manufacturer -
------------------------ ----------------
Raw materials
------------------
Work-in-progress Less -
------------------
Finished goods Inventory End of Month
------------------ ----------------
Shrinkage
----------------
Other - Personal Use
------------------ ----------------
Explain
------------------------------
Cost of Goods Sold $0
--------------------------------------- ================
TOTAL $0
==================
METHOD OF INVENTORY CONTROL INVENTORY VALUATION METHODS
Do you have a functioning perpetual inventory system? Indicate by a checkmark method of inventory valuation used.
Yes No
---- ---
How often do you take a complete physical inventory? Valuation methods -
FIFO cost
--------------------
Weekly LIFO cost
---- --------------------
Monthly Lower of cost or
----
Quarterly market
---- --------------------
Semi-annually Retail method
---- --------------------
Annually
----
Other -
--------------------
Date of last physical inventory was Unknown Explain
----------------------
-----------------------------------------------
Date of next physical inventory is N/A
---------------------- -----------------------------------------------
SCHEDULE C
REAL PROPERTY
DESCRIPTION COST MARKET VALUE
None
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
TOTAL $0 $0
==================== ========================
SCHEDULE D
OTHER DEPRECIABLE ASSETS
DESCRIPTION COST MARKET VALUE
MACHINERY & EQUIPMENT -
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
TOTAL $0 $0
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FURNITURE & FIXTURES -
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
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TOTAL $0 $0
==================== ========================
OFFICE EQUIPMENT -
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
TOTAL $0 $0
==================== ========================
LEASEHOLD IMPROVEMENTS -
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
------------------------------------------------------------ -------------------- ------------------------
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TOTAL $0 $0
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VEHICLES -
------------------------------------------------------------ -------------------- ------------------------
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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)
-------------------- ------------------------
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 April, 1999
----------------
$
----------------
CURRENT MONTH
- ------------------------------- CUMULATIVE NEXT MONTH
ACTUAL FORECAST VARIANCE (CASE TO DATE) FORECAST
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
- --------- ------- --------- --------------- ----------
$0 6 Interest $92
- --------- ------- --------- --------------- ----------
7 Other Income:
$0 8 Miscellaneous $996
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$0 9 Insurance Settlement $130,000
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$0 $0 $0 10 TOTAL REVENUES $69,817 $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
- --------- ------- --------- --------------- ----------
$0 20 Other Administrative $1,862
- --------- ------- --------- --------------- ----------
$0 21 Write-off Investment Subs $112,618
- --------- ------- --------- --------------- ----------
22 Other Expenses:
$1,969 ($1,969) 23 Storage Rental $5,220
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$0 24 Accounting $1,510
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$0 25 Press Release $725
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$0 26 Telecommunications $5,015
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$368 ($368) 27 SEC Reporting $7,339
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$0 28 Litigation Costs $1,193
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$0 29 Write-off of Accounts Receivable $55,156
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$0 30 Writedown of Notes Receivable $2,000,000
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$2,337 $0 ($2,337) 31 TOTAL EXPENSES $2,190,638 $0
- --------- ------- --------- --------------- ----------
($2,337) $0 ($2,337) 32 SUBTOTAL ($2,120,821) $0
- --------- ------- --------- --------------- ----------
REORGANIZATION ITEMS
$8,000 ($8,000) 33 Professional Fees $318,781
- --------- ------- --------- --------------- ----------
$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
- --------- ------- --------- --------------- ----------
$750 ($750) 37 US Trustee Fees $2,500
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$0 38 Loss from Sale of Investments $220,000
- --------- ------- --------- --------------------------------------------------- --------------- ----------
$8,750 $0 ($8,750) 39 TOTAL REORGANIZATION ITEMS $536,689 $0
- --------- ------- --------- --------------- ----------
($11,087) $0 ($11,087) 40 NET PROFIT (LOSS) BEFORE FEDERAL & STATE TAXES ($2,657,510) $0
- --------- ------- --------- --------------- ----------
$0 41 Federal & State Income Taxes
- --------- ------- --------- --------------- ----------
($11,087) $0 ($11,087) 42 NET PROFIT (LOSS) ($2,657,510) $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 April, 1999
---------------------
CASH BALANCE BEGINNING OF MONTH $114,716
----------------------
CASH RECEIPTS (1) $0
----------------------
CASH DISBURSEMENTS (1) $3,087
----------------------
EXCESS (DEFICIENCY) OF RECEIPTS OVER DISBURSEMENTS ($3,087)
----------------------
CASH BALANCE END OF MONTH $111,629
======================
RECAPITULATION OF FUNDS HELD AT END OF MONTH
ACCOUNT 1 ACCOUNT 2 ACCOUNT 3
--------- --------- ---------
BANK Wells Fargo Mallesons Stephen Jaques
--------------------- --------------------- ----------------------
ACCOUNT TYPE Checking Trust Account
--------------------- --------------------- ----------------------
ACCOUNT NO. 0114-458243
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ACCOUNT PURPOSE General Litigation Turst
--------------------- --------------------- ----------------------
BALANCE, END OF MONTH $95,394 $16,235
--------------------- --------------------- ----------------------
TOTAL FUNDS ON HAND FOR ALL ACCOUNTS $111,629
=====================
(1) Excluding bank transfers between your accounts.