As filed with the Securities and Exchange Commission on November 19, 2001
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the quarter ended: September 30, 2001
OR
[_] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1939
For the transition period from __________ to ______________
Commission File Number: 000-30071
KIK TECHNOLOGY INTERNATIONAL, INC.
-----------------------------------------------------------
Exact name of registrant as specified in its charter)
California 91-2021602
- ------------------------------------ ---------------------------
State or other jurisdiction of (I.R.S. Employer
incorporation or organization Identification No.)
590 Airport Road, Oceanside, California, 92054
-----------------------------------------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (760) 967-2777
f/k/a Russian Imports.com
-----------------------------------------------------------
(Former name or former address, if changes since last report)
827 State Street, Suite 26,
Santa Barbara, CA 93101
Securities registered pursuant to Section 12(b) of the Act:
Title of each class Name of each exchange on
which registered
None None
- ----------------------------------- ---------------------------------
Securities registered pursuant to Section 12(g) of the Act:
Common Stock, par value $.001 per share
-----------------------------------------------------------
(Title of class)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 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
--- ---
Number of shares outstanding of the registrant's class of common stock as
of November 18, 2001: 22,700,000.
Copies of Communications sent to:
Mintmire & Associates
265 Sunrise Avenue, Suite 204
Palm Beach, FL 33480
Tel: (561) 832-5696
Fax: (561) 659-5371
Transitional Small Business Disclosure Format (check one): Yes No X
--- ---
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
Balance sheet ......................................................F-1
Statements of operations ...........................................F-2
Statements of cash flows ...........................................F-3
Notes to financial statements ......................................F-4
KIK TECHNOLOGY INTERNATIONAL, INC.
(Formerly Russian Imports.com)
Balance Sheet
September 30, 2001
(Unaudited)
Assets
Current assets:
Cash and cash equivalents $ 230,465
Accounts receivable 548,948
Inventories 380,624
Prepaid expenses and deposits 26,294
-----------
Total current assets 1,186,331
Property and equipment 128,973
-----------
Total assets $ 1,315,304
===========
Liabilities and Shareholders' Equity
Current liabilities:
Bank loan $ 107,981
Accounts payable 500,281
Accrued expenses and other 27,732
-----------
Total liabilities (all current) 635,994
-----------
Shareholders' equity:
Common stock, $0.001 par value,
100,000,000 shares authorized;
22,700,000 shares issued and outstanding 22,700
Additional paid-in capital 4,959,209
Accumulated deficit (4,302,599)
-----------
Total shareholders' deficiency 679,310
-----------
Total liabilities and shareholders' deficiency $ 1,315,304
===========
See accompanying notes to financial statements.
F-1
KIK TECHNOLOGY INTERNATIONAL, INC.
(Formerly Russian Imports.com)
Statement of Operations
Three months ended Nine months ended
September 30, September 30,
-------------------------------------- -----------------------------------
2001 2000 2001 2000
----------------- ----------------- ---------------- ----------------
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
Sales $ 662,187 $ 608,454 $ 1,929,011 $ 3,099,384
----------------- ----------------- ---------------- ----------------
Expenses:
Cost of sales 586,088 507,570 1,600,177 2,459,308
General and administrative 92,004 65,322 255,051 184,305
Consulting fees 37,910 38,499 110,890 105,620
Depreciation and amortization 10,272 16,105 31,693 49,182
Professional fees 2,343 461 7,461 3,174
----------------- ----------------- ---------------- ----------------
728,617 627,957 2,005,272 2,801,589
----------------- ----------------- ---------------- ----------------
Earnings (loss) before other item (66,430) (19,503) (76,261) 297,795
Other item:
Sundry 778 3,064 1,725
----------------- ----------------- ---------------- ----------------
Net earnings (loss) $ (66,430) $ (18,725) $ (73,197)` $ 299,520
================= ================= ================ ================
Net earnings (loss) per common
share - basic and diluted $ (0.003) $ (0.001) $ (0.003) $ 0.01
================= ================= ================ ================
Weighted-average common shares
outstanding - basic and diluted 22,700,000 22,700,000 22,700,000 22,700,000
================= ================= ================ ================
See accompanying notes to financial statements.
F-2
KIK TECHNOLOGY INTERNATIONAL, INC.
(Formerly Russian Imports.com)
Statement of Cash Flows
Nine months ended
September 30,
------------------------------
2001 2000
-------------- --------------
(Unaudited) (Unaudited)
Cash flows from (used in) operating activities:
Net earnings (loss) $ (73,197) $ 299,520
Adjustments to reconcile net earnings (loss) to
net cash from (used in) operating activities:
Depreciation and amortization 31,693 49,182
(Increase) in accounts receivable (163,337) (20,445)
(Increase) in inventories (9,947) (230,165)
(Increase) decrease in prepaid expenses and deposits 11,649 (9,931)
Increase (decrease) in accounts payable 171,002 (30,813)
Decrease in accrued expenses and other (13,024) (29,366)
-------------- --------------
(45,161) 27,982
-------------- --------------
Cash flows used in investing activities:
Purchases of capital assets (23,139) (45,265)
-------------- --------------
Cash flows from financing activities:
Increase in bank loan 57,981
Advances from (repayments to) related party (547) 206,081
-------------- --------------
57,434 206,081
-------------- --------------
Increase (decrease) in cash (10,866) 188,798
Cash and cash equivalents,
beginning of period 241,331 3,229
-------------- --------------
Cash and cash equivalents,
end of period $ 230,465 $ 192,027
============== ==============
See accompanying notes to financial statements.
F-3
KIK TECHNOLOGY INTERNATIONAL, INC.
(Formerly Russian Imports.com)
Notes to Financial Statements
Note 1 - Background, Reverse Acquisition, Basis of Presentation, Going Concern
and Management's Plans
Background:
KIK Technology International, Inc. (formerly Russian Imports.com)
manufactures and markets directly and through distributors urethane products,
primarily puncture-proof microcellular polyurethane tires designed for a wide
variety of consumer products and off-highway applications.
Reverse acquisition:
On September 4, 2001, KIK Technology International, Inc. (formerly Russian
Imports.com) ("the Company") merged with KIK Technology, Inc.("KIK"), with the
Company as the surviving corporation. The principal shareholder of KIK sold to
the Company all of their shares, representing all of the issued and outstanding
shares of KIK, in exchange for 16,700,000 newly issued common shares of stock of
the Company.
As of the date of the merger, the Company was a "shell company" as the
Company had no assets or liabilities, had generated no revenues since inception
and had incurred total expenses of $940,012 since its inception on February 1,
2000.
The transaction is accounted for as a reverse acquisition of the Company by
KIK, since the shareholder of KIK owns approximately 73.6% of the post
acquisition common shares of the combined entity immediately after the
completion of the transaction. Under reverse acquisition accounting, KIK has
been identified as the acquiror for accounting purposes, the combined entity is
considered to be a continuation of KIK with the Company combined from the date
of completion of the transaction, and the pre-transaction financial position,
results of operations and cash flows of the combined entity are those of KIK.
The equity of KIK is presented as the equity of the combined entity, however,
the capital stock account of KIK is adjusted to reflect the par value of the
outstanding capital stock of the Company after giving effect to the number of
shares issued in the reverse acquisition. For periods prior to the reverse
acquisition, the equity of the combined entity is the historical equity of KIK
prior to the reverse acquisition retroactively restated to reflect the number of
shares received in the reverse acquisition.
Basis of presentation:
These unaudited financial statements were prepared in accordance with
instructions for Form 10- QSB and therefore, do not include all disclosures
necessary for a complete presentation of the statements of financial condition,
operations and cash flows in accordance with generally accepted accounting
principles. However, in the opinion of management, all adjustments (which
include normal recurring adjustments) for a fair presentation of the financial
statements have been included. Results for interim periods are not necessarily
indicative of results expected for the year.
F-4
KIK TECHNOLOGY INTERNATIONAL, INC.
(Formerly Russian Imports.com)
Notes to Financial Statements
Note 1 - Background, Reverse Acquisition, Basis of Presentation, Going Concern
and Management's Plans (continued)
Basis of presentation: (continued)
The unaudited financial statements of the Company, containing the balance
sheet as of September 30, 2001, and the statement of operations for the three
and nine months ended September 30, 2001 and 2000 and statement of cash flows
for the nine months ended September 30, 2001 and 2000, have been prepared by the
Company without audit using KIK's unaudited balance sheet as of October 31, 2001
and statement of operations and cash flows for the nine months ended October 31,
2001 and 2000, as this represents a comparable reporting period for the Company.
The operations of KIK for the nine months ending October 31, 2001 and 2000 are
considered by management to be not materially different than if reported over
the nine months ended September 30, 2001 and 2000.
These financial statements should be read in conjunction with the financial
statements and related notes of the Company, which are included in the Company's
Annual Report on form 10-KSB.
Going concern and management's plans:
The Company's financial statements have been prepared on a going concern
basis, which contemplates the realization of assets and the settlement of
liabilities and commitments in the normal course of business. The Company has
incurred substantial costs in the development of polyurethane tire products and
has incurred an accumulated deficit in the amount of $4,302,599 through
September 30, 2001. Operations have now achieved a level of commercial sales. In
order to fund operations, the Company has raised capital from private
placements, incurred loans from various lenders including officers and directors
and has postponed the due date of the obligations due to them. Management is
continuing its efforts to seek additional equity capital.
These factors raise doubt about the Company's ability to continue as a
going concern. The financial statements do not include any adjustments relating
to the recoverability and classification of assets or the amounts and
classification of liabilities that might be necessary should the Company by
unable to continue as a going concern. The Company has developed plans to
address the Company's current cash flow concerns as discussed below.
Management's plans with regard to these conditions include the possibility
of raising working capital and other funds through exploring opportunities for
other debt or equity financing (including private offerings or additional
related party advances). The Company's ability to continue as a going concern is
dependent on its ability to successfully obtain the funds necessary to sustain
operations. However, the successful completion of these plans cannot presently
be assured.
F-5
KIK TECHNOLOGY INTERNATIONAL, INC.
(Formerly Russian Imports.com)
Notes to Financial Statements
Note 2 - Significant Accounting Policies
Use of estimates:
The preparation of financial statements in conformity with accounting
principles generally accepted in the United States of America requires
management to make estimates and assumptions that affect the reported amount of
assets and liabilities and disclosures of contingent assets and liabilities at
the date of the financial statements and the reported amount of revenues and
expenses during the reporting periods. Management makes these estimates using
the best information available at the time the estimates are made; however,
actual results could differ materially from those estimated.
Earnings (loss) per common share:
Basic earnings (loss) per common share is calculated by dividing net
earnings (loss) by the weighted- average number of common shares outstanding
during the year. Diluted earnings (loss) per common share is calculated by
adjusting outstanding shares, assuming conversion of all potentially convertible
equity instruments.
Weighted-average common shares outstanding are assumed to be 22,700,000
(the number of shares outstanding after the reverse acquisition transaction) for
all periods presented.
Risk considerations:
The Company is subject to risks and uncertainties common to
technology-based companies, including rapid technological change, dependence on
principal products and third party technology, new product introductions and
other activities of competitors and dependence on key personnel.
Note 3 - Segmented Information
The Company adopted SFAS No. 131, Disclosures about Segments of an
Enterprise and Related Information in 1998. This statement establishes standards
for the reporting and disclosure of information about operating segments in
annual and interim financial statements. Operating segments are defined as
components of an enterprise for which separate financial information is
available that is evaluated regularly by the chief operating decision maker(s)
in deciding how to allocate resources and in assessing performance. SAS No. 131
also requires disclosures about products and services, geographic areas and
major customers.
During the nine months ended September 30, 2001 and 2000 (unaudited), the
Company's operations consisted of a tire manufacturing facility in the United
States. One distributor, who is also a major supplier, accounts for
approximately $1,254,000 (65%) of sales; 2000 - $2,541,000 (82%). Domestic sales
in the United States were approximately $1,736,000 (90%) and to foreign
customers $193,000 (10%); 2000 - $2,882,000 (93%) and $217,000 (7%)
respectively.
F-6
KIK TECHNOLOGY INTERNATIONAL, INC.
(Formerly Russian Imports.com)
Notes to Financial Statements
Note 3 - Segmented Information (continued)
Management has determined that the Company operates in one dominant,
operating segment that manufactures polyurethane tires for distribution in the
United States and internationally. Substantially all of the Company's assets and
employees are located in the United States.
F-7
Item 2. Management's Discussion and Analysis or Plan of Operations
Forward - Looking Statements
This quarterly report on Form 10-QSB includes forward-looking statements. All
statements, other than statements of historical fact made in this Quarterly
Report on Form 10-QSB are forward-looking. In particular, the statements herein
regarding industry prospects and future results of operation or financial
position are forward-looking statements. Forward-looking statements reflect
management's current expectations based on assumptions believed to be reasonable
and are inherently uncertain as they are subject to various known and unknown
risks, uncertainties and contingencies, many of which are beyond the control of
KIK Technology International, Inc. (Formerly Russian Imports.com) ("KIK"). The
Company's actual results may differ significantly from management's
expectations.
In some cases, you can identify forward-looking statements by terminology such
as "may", "will", "should," "expects," "plans," "intends," "anticipates,"
"believes," "estimates," "predicts," "potential," or "continue" or the negative
of such terms or other comparable terminology.
Although we believe that the expectations reflected in the forward-looking
statements are reasonable, we cannot guarantee future results, events, levels of
activity, performance, or achievements. We do not assume responsibility for the
accuracy and completeness of the forward-looking statements. We do not intend to
update any of the forward-looking statements after the date of this quarterly
report to conform them to actual results.
The following discussion and analysis should be read in conjunction with the
Company's financial statements and related footnotes, the Company's Annual
Report on Form 10-KSB for the year ended December 31, 2000, and the 8K filed
September 19, 2001.
The discussion of results, causes and trends should not be construed to imply
that such results, causes or trends will necessarily continue in the future.
Overview
KIK Technology International, Inc. (Formerly Russian Imports.com) the
"Company"), was organized in February 2000 under the laws of the State of
California, having the stated purpose of engaging in any lawful act or activity
for which corporations may be organized. The Company was a "shell company" as
the Company had no assets or liabilities, had generated no revenues since
inception and had incurred total expenses of $940,012 since its inception on
February 1, 2000.
On September 4, 2001, KIK Technology International, Inc. (formerly Russian
Imports.com) ("the Company") merged with KIK Technology, Inc.("KIK"), with the
Company as the surviving corporation. The acquisition was consummated by the
execution of a Share Exchange Agreement dated June 25, 2001. Pursuant to the
Agreement, the Holders tendered to the Company all of the issued and outstanding
shares of common stock of KIK in exchange for 16,700,000 shares of common stock
of the Company. As a result of the foregoing transaction, there was a change in
control of the Company. The previous shareholders of KIK now control the Company
and hold approximately 73.6% of the outstanding shares of common stock of the
Company. The Company filed a Certificate of Amendment to change the name of the
Company to KIK Technology International, Inc.
10
At the time of the acquisition of KIK, Mr. A. Rene Dervaes, Jr. resigned as an
officer of the Company and were replaced by Mr. William Knooihuizen as
President; Mr. Kuldip Baid as Chief Financial Officer; and Mr. Donald Dean as
secretary. The resigning officer had no disagreements with the Company and has
resigned as a normal course of change of control. Mr. A. Rene Dervaes, Jr.
remains as a director of the Company. The Company's directors are Messrs.
William Knooihuizen, Donald Dean, Kuldip Baid, Rene Dervaes.
The Company operates from its head office located at 590 Airport Road,
Oceanside, CA 92504. The Company is traded on the over the counter bulletin
board (OTCBB) using the trading symbol KKTI.
The Company manufactures and markets directly and through distributors urethane
products, primarily puncture-proof microcellular polyurethane ("MCP") tires
designed for a wide variety of consumer products and off-highway applications.
Principal industries served are healthcare (e.g., wheelchairs, power scooters);
industrial (e.g., hand dollies, roofing and materials handling equipment); lawn
and garden (e.g., wheelbarrows, mowers); and sports equipment such as bicycles
and golf carts.
The Company's tires are manufactured by blending hydrocarbon based isocyanate
intermediates with glycol based polyols and other secondary chemicals such as
foaming agents, and casting the tire product using a unique rotary moulding
process. The resulting tire is a compound which is a light, tough polymer having
the riding characteristics of a pneumatic tire but which cannot go flat or loses
pressure.
Polyurethane tires are ozone corrosion resistant; non-marking of floors; and
available in a broad range of colours.
MCP tires are environmentally friendly in that they contain no oil, are made of
inert (non-toxic) materials, and have several times the useful life of rubber
tires. This results in fewer tires in circulation, and therefore less rubber
tires in use which contains a high percentage of oil and is difficult to dispose
of.
In the last few years, the Company has developed a market for entire wheel
"assemblies" as tires, significantly increasing the size of potential markets
which now includes retail outlets and small equipment manufacturers only
interested in purchasing "wheels".
The Company carries is constantly doing research and development on new products
resulting in new products like the low profile "yellow" wheelbarrow tires.
Results of operations for Quarter ended September 30, 2001 compared to Quarter
ended September 30, 2000.
Revenues
Total revenues decreased by 38% to $1,929,000 for the nine months ended
September 30, 2001, compared to $3,099,000 for the nine months ended September
30, 2000. This resulted from a dramatic downturn in the economy and the absence
of the large initial wheelbarrow tire order last period. New orders are being
received as restocking plans for this business segment are implemented.
11
Business outlook is now generally negative and the lowering of interest rates
has not had the desired impact. It is expected that the economy will not start
recovering till the second half of 2002. Despite the negative environment, KIK
is holding its own with sales to traditional customers, and is meeting some
success in developing new customers in the medical field.
KIK's new distinctive low profile yellow wheelbarrow tires have now been added
to the Company's products on the shelves of major hardware chain stores.
Distribution agreements are in pplace with such firms as Sears Home Centers,
Lowes and Walmart, in addition to Home Depot.
Net Income
The Company had a net loss of $73,000 for the nine months ended September 30,
2001 compared to net income of $300,000 for the nine months ended September 30,
2000. This is attributable to the drop in sales.
Cost of Sales
Labor costs for the nine months ended September 30, 2001 were 17% of revenue
compared to 12% of revenue for the prior period. This is due to the fact that a
certain portion of the labor cost is fixed and does not vary with revenue.
Raw material costs for the nine months ended September 30, 2001 were 58% of
revenue compared to 62% of revenue for the prior period. This resulted from
improved feedstock chemical inventory control procedures and purchasing
efficiencies.
General and Administrative
General and administrative expenses for the nine months increased to $255,000
from $184,000. This reflects the Company's newly implemented advertising
initiatives and additional staff hired to facilitate the Company's push to
generate new business, and provide better customer and sales services.
Amortization and Depreciation
Amortization and depreciation decreased to $32,000 from $49,000 for the prior
period.
Liquidity and Capital Resources
The Company had cash and cash equivalents of $230,465 at September 30, 2001. The
Company's liquidity and capital resources were adequate during the period to
fund all capital and operating expense requirements. The Company is seeking
bridge and longer term equity financing to fund new product development and
working capital requirements. The Company's ability to continue as a going
concern is dependent on its ability to successfully obtain the funds necessary
to sustain operations. The Company's success in obtaining additional financing
cannot presently be assured. For additional commentary see - Notes to Financial
Statements - Note 1 "Going concern and management's plans."
12
PART II - OTHER INFORMATION
Item 1. Legal Proceedings
None.
Item 2. Changes in Securities and Use of Proceeds
On September 4, 2001, KIK Technology International, Inc. (formerly Russian
Imports.com) ("the Company") merged with KIK Technology, Inc.("KIK"), with the
Company as the surviving corporation. The acquisition was consummated by the
execution of a Share Exchange Agreement dated June 25, 2001. Pursuant to the
Agreement, the Holders tendered to the Company all of the issued and outstanding
shares of common stock of KIK in exchange for 16,700,000 shares of common stock
of the Company. As a result of the foregoing transaction, there was a change in
control of the Company. The previous shareholders of KIK now control the Company
and hold approximately 73.6% of the outstanding shares of common stock of the
Company.
On October 17, 2001, in connection with the acquisition of KIK, the Company
canceled 5,000,000 shares of common stock of the Company.
On October 30, 2001, in connection with the acquisition of KIK, the Company
canceled 236,500 shares of common stock of the Company and reissued 63,500
shares of common stock of the Company.
The securities were issued pursuant to the exemption from the registration
requirements of the Securities Act of 1933, as amended, under Section 4(2).
Item 3. Defaults Upon Senior Securities
None.
Item 4. Submission of Matters to a Vote of Security Holders
None.
Item 5. Other Information
GENERAL
The Company manufactures and markets an extensive and high quality line of
off-highway Microcellular Polyurethane ("MCP") tires for the healthcare, light
industrial, lawn and garden and recreational industries.
KIK Technology Inc., a California company, is a wholly-owned subsidiary of the
Company, and operates from its manufacturing plant and marketing offices located
at Oceanside, CA.
The current KIK production processes, formulations, manufacturing equipment, and
line of some 250 products are the result of over ten years of research and
development, funded by over C$9 million of invested capital, and protected by
trade secrets and patents.
A R&D company in its formative years, KIK developed new and tougher varieties of
urethane formulations; tooled new products; and added extensive new production
capacity. The Company introduced broadly-based marketing programs a few years
ago resulting in 1999 revenues of C$4.3 million and $5.5 million in 2000.
Revenues are generated through direct sales to the medical market segment
(primarily wheelchair tires) and through an extensive network of third party
marketing distributors. KIK now intends to implement ambitious
13
marketing strategies, directly and through carefully selected new strategic
partners. The manufacturing infrastructure sufficient to meet projected demand
through the first two years is in place.
Polyurethane tires are manufactured by blending hydrocarbon-based quality
isocyanate intermediates with glycol- based polyols and other chemicals. The
resulting compound makes a light, tough tire which the Company believes will set
an evolutionary trend in the tire industry.
KIK tires are environmentally friendly, puncture and leak proof and maintenance
free. They ride like a pneumatic tire but last much longer life due to their
tough polymer construction.
THE MARKETS
The Company has grouped the worldwide market for off-highway tires into four
major market segments, each possessing identifiable business characteristics
requiring separate sales strategies.
HEALTHCARE: The Company's immediate focus is penetration of the existing
wheelchair and power scooter pneumatic tire business, with emphasis at the OEM
level. This has been the "prototype" industry around which the Company has
developed and perfected its MCP tire technology. Through trade shows, trade
magazine advertising, distributors and direct sales contacts, an excellent base
has been established to facilitate future growth in this sector.
INDUSTRIAL: KIK markets light, off-highway industrial and utility tires through
its strategic alliance with ARNCO, A Los Angeles based producer of pneumatic
tire sealants and foam-fill compounds. ARNCO, the world leader in their field,
has a North American distribution network in place providing an immediate and
natural sales outlet for KIK products. KIK private-labels tires for ARNCO under
the "Carefree Tire" registered trademark, and for selected high volume
customers.
RECREATIONAL: Although the Company has products for recreational devices such as
golf carts and skate boards, this market is dominated by bicycles. KIK will
likely manufacture bicycle tires outside of North America initially, through
selected strategic (joint venture) partners in countries such as China active in
export markets, and where users are reliant on the bicycle as basic
transportation. There are an estimated 500 million bicycles in China. 90 million
more are manufactured each year, with 40 million remaining in China, and the
balance exported.
LAWN & GARDEN: KIK will attack the international lawn and garden OEM market
directly and through established distributors. Most of Carefree Tire's North
American downstream tire distribution network services this industry parallel to
the industrial market. Initial results indicate that users embrace this new
technology enthusiastically for such applications as wheelbarrows, powered lawn
mowers, snow blowers, and farm carts, etc. ARNCO believes their Carefree Tire
distributors can reach most of the 30,000 retail tire dealers in North America.
OEMs are also being aggressively pursued in the United States, Canada and
Europe.
MANAGEMENT
The names and positions of the directors and executive officers of the Company
are as follows:
Name
Donald P. Dean, P. Eng. Donald P. Dean serves as Secretary, Chairman of the
Board and Director of KIK Tire Technologies Inc. He has been with the Company
since 1987. From 1984 to 1987, he served as President of Jade
14
Marble Crafts Ltd., a manufacturer of polyester resin-based plastic products and
Twin Top Industries Ltd. Twin Top was a manufacturer of polyurethane foam
insulated fiberglass well-head shelters and buildings. During the 1960's Mr.
Dean worked as an engineer, distribution supervisor and plant manager of the
Toronto Marketing and Chemical Distribution Terminal for Shell Canada Limited.
Subsequently, he was President of a subsidiary of Trimac Limited providing
worldwide transportation and logistics planning, and management consulting
services to government and industry. Mr. Dean is a registered professional
engineer. He received a B.Sc. in civil engineering from the University of
Saskatchewan in 1960.
William M. Knooihuizen, PE., William M. Knooihuizen serves as President and
Director. He has been an Officer with the Company since 1987.. He joined KIK
Technology Inc. as plant manager in May, 1993, and was appointed President and
CEO of that company in 1996. He has over 25 years experience in urethane
processing technology, where he has held the positions of V.P./General Manager
for Dam Industries, Inc., United Foam Corporation and Evanite Permaglass. He
received a degree in Chemical Engineering from Penn State University in 1966.
Kuldip C. Baid, CA., Kuldip C. Baid has served as Chief Financial Officer and
Director since September 1987. Mr. Baid is a chartered accountant who from 1981
to 1986 was Manager of Tax with Turbo Resources Ltd. Previous work experience
includes public accounting practice with Deloitte & Touche; employment as a
financial analyst for Oxford Development Group Ltd.; and Manager of Accounting
for Carma Developers Ltd.. Mr. Baid received a B. Commerce degree from the
University of Alberta in 1976 and completed his certification as a Chartered
Accountant in 1979.
A. Rene Dervaes, Jr., Mr. Dervaes has served as an Officer and Director since
January 2001. He was the co- founder and then Chairman of the A.R. Dervaes
Company, Inc. from 1961 to 1982, a 125 employee manufacturer and supplier of
equipment to heavy industry. From 1982 to 1985 he was the President of Khonbu
Industries, a designer and nationwide distributor of exclusive consumer
products. From 1978 to 1986 he was the Chairman and CEO of Eagle Rock
Corporation. From 1986 to 1990 he was the Chairman and CEO of Vantage
Industries, an international marketing firm. From 1991 to the present he has
served as the Chairman and CEO of Secured Retirement International, Inc.,
specializing in the design and marketing of proprietary U.S. Treasury and
municipal bond mutual funds. Mr. Dervaes also co-invented a unique finance
product that pays increasing distributions through a patented method for pooling
and distributing bond income.
Item 6. Exhibits and Reports on Form 8-K.
The following exhibits are filed as part of this Annual Report on Form
10-Q.
(b) The following Current Reports on Form 8-K were filed by the Company during
the last quarter of the period covered by this report:
The Company filed a report on Form 8-K, on September 19, 2001, disclosing the
acquisition of KIK Technology, Inc. by the Company and the resulting change in
control of the Company.
15
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of 1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized, on the 19th day of
November, 2001.
KIK TECHNOLOGY INTERNATIONAL, INC.
Date: November 19, 2001
By: /s/ William Knooihuizen
William Knooihuizen, President
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