TITAN TRADING ANALYTICS INC.
SCHEDULE A
FINANCIAL INFORMATION
PERIOD ENDED JULY 31,1998
PREPARED BY MANAGEMENT WITHOUT AUDIT
TITAN TRADING ANALYTICS INC.
(Incorporated under the laws of British Columbia)
CONSOLIDATED INTERIM BALANCE SHEET
JULY 31, 1998
ASSETS
Current Assets 1998 1997
Cash and short-term investments $ 1,504,057 $ 1,635,565
Accounts receivable 7,910 0
Prepaid expenses 1,492 12,888
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1,513,459 1,648,453
Software and systems development
(net) 294,267 199,332
Capital assets (net) 38,530 47,510
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$ 1,846,256 $ 1,895,295
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LIABILITIES
Current Liabilities
Accounts payable and
accrued liabilities $ 57,966 $ 6,477
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SHAREHOLDERS' EQUITY
Share capital $ 2,802,962 $ 2,671,712
Deficit (1,014,672) (782,894)
----------- -----------
$ 1,846,256 $ 1,895,295
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Approved by the Directors
/S/ Michael Paauwe Director
/S/ Michael Gossland Director
PREPARED BY MANAGEMENT WITHOUT AUDIT
TITAN TRADING ANALYTICS INC.
CONSOLIDATED INTERIM STATEMENT OF OPERATIONS AND
DEFICIT
FOR THE PERIOD FROM NOVEMBER 1, 1997 TO JULY 31,1998
Revenue
1998 1997
Software Sales $ 41,106 $ 19,788
Interest and Other Income 56,633 41,351
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$ 97,739 $ 61,139
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Expenses
Advertising, marketing
and promotion 70,198 16,441
Amortization 56,737 35,782
Bank charges 1,853 1,160
Capital tax 6,157 4,850
Directors' fees 5,000 0
Demonstration and testing 1,440 43,069
Investor relations 48,344 0
Management fees 48,960 34,591
Office 8,023 9,496
Professional fees 13,599 8,751
Research & development 3,516 0
Regulatory fees 7,066 8,762
Rent 3,588 4,513
Salaries and benefits 48,033 35,197
Telephone 2,855 3,562
Travel 19,046 12,095
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344,415 218,269
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Net loss for the period $ (246,676) $ (157,130)
Deficit beginning of period (767,996) (625,764)
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Deficit end of period $(1,014,672) $ (782,894)
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PREPARED BY MANAGEMENT WITHOUT AUDIT
TITAN TRADING ANALYTICS INC.
CONSOLIDATED INTERIM STATEMENT OF CHANGES IN FINANCIAL
POSITION FOR THE PERIOD FROM NOVEMBER 1, 1997 TO JULY 31,1998
1998 1997
Cash from operating activities
Net loss for the period $ (246,676) $ (157,130)
Item not involving cash
Amortization 56,737 35,782
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(189,939) (121,348)
Net change in non-cash working
capital balances 53,759 (17,174)
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(136,180) (138,522)
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Cash used in investing activities (158,543) (118,902)
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Cash from financing activities
Share subscriptions received and
issuance of Common Shares 131,250 302,400
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Increase (decrease) in cash
during the period (163,473) 44,976
Cash and short-term investments,
beginning of the period 1,667,530 1,590,589
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Cash and short-term investments,
end of period $1,504,057 1,635,565
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PREPARED BY MANAGEMENT WITHOUT AUDIT
TITAN TRADING ANALYTICS INC.
SCHEDULE B
SUPPLEMENTARY INFORMATION
PERIOD ENDED JULY 31,1998
TITAN TRADING ANALYTICS INC.
Form 61 - Schedule B - Supplementary Information
For the Third Quarter ended July 31, 1998
1. For the current year to date:
Expenditures to parties not dealing at arm's length:
Management Fees of $208,418 as follows:
Management contracts:
1. Michael B. Paauwe & Associates - $105,668
2. Michael Gossland & Associates - S102,750
These amounts, which include management bonuses, are included
in management fees, as well as in capitalized amounts of software
and systems during the period, reflected under capital expenditures
and subject to amortization.
Outside Directors' Fees: 1. Paul Shatzko - $2,500
2. Robert Shatzko - $2,500
2. Securities issued for the quarter under review: NONE
3. As at end of quarter:
a) Authorized share capital 100,000,000 common shares
Issued share capital 8,857,001 common shares
Reserved for future issuance 830,000 common shares
Fully diluted 9,687,001 common shares
b) Summary of options and warrants
1) Options granted February 1, 1997
Name No. of Shares Per Shares Expiry Date
---- ------------- ---------- -----------
Michael B. Paauwe 195,000 $.90 July 2001
Michael Gossland 195,000 $.90 July 2001
Paul Shatzko 240,000 $.90 July 2001
Robert Shatzko 100,000 $.90 July 2001
John Austin 75,000 $.90 July 2001
Jennifer Gee 25,000 $.90 July 2001
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830,000
c) Escrow shares -
TTN Escrow Capital Corp. 3,000,000 common shares
d) Directors: Michael Paauwe
Michael Gossland
Paul Shatzko
Robert Shatzko