U.S. SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-QSB-A (Mark One) [X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 31, 1999 [ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT For the transition period from _______________ to ______________ Commission File No. 0-25281 LOG POINT TECHNOLOGIES, INC. ---------------------------- (Name of Small Business Issuer in Its Charter) Colorado 84-1360787 -------- ---------- (State of Other Jurisdiction of (I.R.S. Employer Identification No.) Incorporation or Organization) 465 Fairchild Drive, Suite 111, Mountain View, CA 94043 ------------------------------------------------------- (Address of Principal Executive Offices) (Zip Code) (650) 967-3974 -------------- (Issuer's Telephone Number, Including Area Code) N/A --- (Former name, former address and former fiscal year, if changed since last year.) Check whether the issuer: (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No ____ State the number of shares outstanding of each of the issuer's classes of common equity, as of the latest practicable date: As of December 31, 1999, Log Point Technologies, Inc. had 11,058,383 shares of Common Stock outstanding, no par value. LOG POINT Technologies, Inc. (a development stage company) BALANCE SHEETS (Unaudited) Dec 31, 1999 Jun 30, 1999 ============ ============ ASSETS CURRENT ASSETS Cash & Cash Equivalents $ (6,580) $ 466 Accounts Receivable -- -- ----------- ----------- Total Current Assets (6,580) 466 ----------- ----------- EQUIPMENT & FURNITURE Office Equipment & Furniture (net of Depreciation) 34,358 39,595 ----------- ----------- OTHER ASSETS Product Technology License (net of Amortization) 113,750 120,750 Deposits 204,281 4,281 ----------- ----------- Total Other Assets 318,031 125,031 ----------- ----------- TOTAL ASSETS $ 345,809 $ 165,092 =========== =========== LIABILITIES & STOCKHOLDERS' EQUITY CURRENT LIABILITIES Current portion of capitalized lease obligations $ 12,745 $ 11,861 Short-Term Loans 302,536 -- Accounts Payable 155,294 148,648 ----------- ----------- Total Current Liabilities 470,575 160,509 ----------- ----------- LONG-TERM DEBT Due on product license 165,427 160,574 Loans from Officers 65,626 6,761 Capitalized lease obligations less current portion 6,485 13,031 ----------- ----------- Total Long-Term Debt 237,538 180,366 ----------- ----------- OTHER LIABILITIES Deferred salaries & wages, and related payroll taxes 1,067,564 882,569 ----------- ----------- Total Liabilities 1,775,677 1,223,444 ----------- ----------- STOCKHOLDERS' EQUITY (DEFICIT) Preferred stock - No par value; 5,000,000 shares authorized; no shares issued Common stock - No Par Value; 50,000,000 shares authorized; shares issued and outstanding 11,058,383 1,104,194 1,029,194 Retained Earnings (deficit) (2,534,062) (2,087,546) ----------- ----------- (1,429,868) (1,058,352) Less stock receivable -- -- ----------- ----------- Total Stockholders' Equity (Deficit) (1,429,868) (1,058,352) ----------- ----------- TOTAL LIABILITIES & STOCKHOLDERS' EQUITY (DEFICIT) $ 345,809 $ 165,092 =========== =========== Log Point Technologies, Inc. (a development stage company) STATEMENT OF OPERATIONS (Unaudited) For the Three Months Ended For the Six Months Ended Since December 31 December 31 Inception ============================ ============================ ============== 1999 1998 1999 1998 02/93 to 12/99 ============ ============ ============ ============ ============== SALES None None $ 1,200 None $ 71,680 ------------ ------------ COST OF SALES None None None None None OPERATING EXPENSES: General and Administrative 121,344 $ 49,450 179,368 110,863 695,900 Research and development 57,606 161,320 117,376 267,839 1,467,075 Depreciation and Amortization 6,119 5,997 12,237 11,653 130,586 ------------ ------------ ------------ ------------ ------------ Total Operating Expenses 185,069 216,767 308,981 390,355 2,293,561 ------------ ------------ ------------ ------------ ------------ LOSS BEFORE OTHER ITEMS (185,069) (216,767) (307,781) (390,355) (2,221,881) OTHER INCOME & EXPENSE Interest expense (120,677) (11,726) (138,735) (22,131) (324,988) Interest Income -- 3,398 -- 11,522 12,807 ------------ ------------ ------------ ------------ ------------ NET LOSS $ (305,746) $ (225,095) $ (446,516) $ (400,964) $ (2,534,062) ============ ============ ============ ============ ============ Loss Per Share $ (0.028) $ (0.020) $ (0.042) $ (0.036) ------------ ------------ ------------ ------------ Weighted average number of shares 10,757,403 11,058,383 10,757,403 11,058,383 ------------ ------------ ------------ ------------ LOG POINT Technologies, Inc. (a development stage company) STATEMENT OF CASH FLOWS For the Three Months Ended For the Six Months Ended Since December 31 December 31 Inception ========================== ========================== ============== 1999 1998 1999 1998 02/93 to 12/99 =========== =========== =========== =========== ============== CASH FLOWS FROM (TO) OPERATING ACTIVITIES: Net Income(Loss) From Operations: $ (305,746) $ (225,095) $ (446,516) $ (400,964) $(2,534,062) Add: Non-Cash Items Depreciation and Amortization 6,119 5,997 12,237 11,653 130,586 Deferred salaries, related taxes and interest 93,285 68,189 184,995 119,383 1,067,564 Payment of expenses & loans with stock 75,000 -- 75,000 -- 241,060 Changes in Assets and Liabilities Accounts Receivables 1,200 -- -- -- -- Prepaid Expenses -- -- 2,500 -- Receivable & payables from officers-net 23,132 (7,600) 58,865 (13,106) 65,626 Receivable & payables from others-net -- -- -- (9,979) -- Deposits (200,000) -- (200,000) -- (204,281) Accounts payable (2,350) 53,602 6,646 84,911 155,294 ----------- ----------- ----------- ----------- ----------- Net Cash From(To) Operating Activities (309,360) (104,907) (308,773) (205,602) (1,078,213) ----------- ----------- ----------- ----------- ----------- CASH FLOWS FROM(TO) INVESTING ACTIVITIES: Acquisition of Equipment -- (7,550) -- (17,058) (68,694) ----------- ----------- ----------- ----------- ----------- Net Cash From(To) Investing Activities -- (7,550) -- (17,058) (68,694) ----------- ----------- ----------- ----------- ----------- CASH FLOWS FROM(TO) FINANCING ACTIVITIES: Proceeds from capitalized leases -- 7,550 -- 7,550 45,049 Proceeds from Short-term Financing 302,536 -- 302,536 -- 302,536 Repayment of Debt (451) (4,834) (809) (14,743) (70,392) Sale of Common Stock -- -- -- -- 1,308,570 Purchases of Common Stock -- (234,520) -- (386,520) (445,436) ----------- ----------- ----------- ----------- ----------- Net Cash From(To) Financing Activities 302,085 (231,804) 301,727 (393,713) 1,140,327 ----------- ----------- ----------- ----------- ----------- Increase(Decrease) in Cash (7,275) (344,261) (7,046) (616,373) (6,580) Cash Balance, Beginning 695 435,925 466 708,037 -- ----------- ----------- ----------- ----------- ----------- Cash Balance, Ending $ (6,580) $ 91,664 $ (6,580) $ 91,664 $ (6,580) =========== =========== =========== =========== =========== MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION. - ---------------------------------------------------------- During the second quarter ended December 31, 1999 and 1998, the Company incurred losses of $305,746 and $225,095, respectively. Log Point is a development stage company that incurred losses of $305,746 and $225,095 for the quarter ended December 31, 1999 and 1998, respectively. Log Point incurred losses of $446,516 and $400,964 for the two quarters ended December 31, 1999 and 1998, respectively. Since inception the Company has incurred losses totaling $2,534,062, all of which has been audited except the second quarter ended December 31, 1999. Currently, Log Point is dependent upon borrowings to fund its development stage operations, and at a minimum, management believes that its borrowings will be adequate to fund its minimum requirements for the twelve-month period ending December 31, 2000. Log Point does not expect any significant revenues during the twelve-month period ending December 31, 2000. When Log Point emerges from its development stage, additional financing will be needed. Log Point is completing negotiations for a major debt financing. These additional funds will be used to increase sales and marketing efforts and to accelerate production of hardware chips from the Company's hardware designs. The Company will require substantial additional financing in future years. The additional financing would be obtained through loans, secondary public offerings, private placements, and/or mergers. There can be no assurance that such funds will be sufficient in the near term or that conditions and circumstances described herein may not result in subsequent cash requirements by the Company in the immediate future just to sustain operation. In the event of such developments, attaining financing under such conditions may not be possible, or even if additional capital may be otherwise available, the terms on which such capital may be available may not be commercially feasible or advantageous. If future funding is not obtained, Log Point would expect to continue to receive loans until revenue from product licensing and sales become adequate to sustain the companies operations. Log Point will not conduct any significant research and development during the twelve months ending December 31, 2000. Log Point has no plans to purchase any plant or significant equipment during the twelve months ending December 31, 2000. The Company does not anticipate any significant changes in its number of employees during the twelve months ending December 31, 2000. SIGNATURE --------- In accordance with the requirements of the Exchange Act, the Registrant caused this 10-QSB report to be signed on its behalf by the undersigned thereunto duly authorized. LOG POINT TECHNOLOGIES, INC. Date: February 16, 2000 By: /s/ Samuel P. Shanks - ----------------------- ------------------------ Samuel P. Shanks, President