Form 10-QSB
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
(Mark One) [ ] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended October 20, 1999.
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
For the transition period from July 20,1999 to October 20,1999.
Commission file number ________
Piccard Medical Corporation
_____________________
(Exact name of small business issuer as specified in its charter)
Delaware
_______________
(State or other jurisdiction of incorporation or
organization)______41-1716477
(IRS Employer Identification No.)
120 2nd Street P.O. Box 170 Weyerhauser Wi. 54895
_______________________________________
(Address of principal executive offices)
( 715 ) 353- 2810
(Issuer's telephone number)
_________N/A___
(Former name, former address and former fiscal year, if changed since last
report)
APPLICABLE ONLY TO CORPORATE ISSUERS
State the number of shares outstanding of each of the issuer's classes of
common equity, as of the latest practicable date:
__18,205,600 common shares outstanding as of January 1, 2000.
Transitional Small Business Disclosure Format (Check one): Yes [ ] No [x ]
PART I FINANCIAL INFORMATION
Item 1. Financial Statements.
PICCARD MEDICAL CORP
19#00 Profit and Loss
July 20 through October 20,1999
Jul 20 - Oct 20,'99
Ordinary Income/Expense
Income
Soles 162,164.95
Sales Discounts -50,153.65
Uncate9orized Income 1.10
Total Income 112,032.40
Cost of Goods Sold 30,230.89
Total COGS 30,230.89
Gross Profit 81,801.51
Expense
Advertising 12,827.32
Automobile Exp. -Co. 2,133.74
Bank Service Charges 135.00
Commission 7,760.91
Contract Labor 800.00
Donations / Contributions 180.00
Dues and Subscriptions 2,827.00
Equipment Rental/Lease 165.60
Freight / Shipping 6,610.25
Insurance 7,672.82
Interest Expense 3.81
Medical 257.20
Miscellaneous 128.09
PER Penalties 2,029.62
Payroll Expenses 58,485.31
Paroll Taxes 4,922.89
Postage 2,102.00
Professional Fees 9,396.91
Rent 6,745.68
Repairs 121.59
Sales Expense 3,563.61
Supplies 3,119.65
Telephone 1,666.60
Trade Show / Conventions 3,525.00
Utilities 1,772.08
PICCARD MEDICAL CORP
19/00 Profit and Loss
July 20 through October 20.1999
Jul 20 - Oct 20,199
Total Expense 139,212.66
Net Ordinary Income -57,411.17
Net Income -57,411.17
PICCARD MEDICAL CORP
19/00 Balance Sheet
As of October 20,1999
Oct 20, '99
ASSETS
Current Assets
Checking/Savings
Chippewo Volley Bank 4,309.84
Heritage Credit Union 3,641.76
Savings-Heritage Credit Union 72.95
Total Checking/Savings 8,024.55
Accounts Receivable 29,330.62
Total Accounts Receivable 29,330.62
Other Current Assets
Inventory 111,816.59
Inventory Asset -268.94
N/R Stockholder 219,980.46
Petty Cash 100.00
Total Other Current Assets 331,628.11
Total Current Assets 368,983.28
Fixed Assets
Leasehold Improvements 15,972.54
Office/Computer equipment 24,878.19
Shop Equipment/Tools 186,098.56
Vehicles 23,178.77
Accumulated Depreciation -125,628.30
Total Fixed Assets 126,499.76
Other Assets
Co-op Capital 18.06
Organization Costs 638.00
Accumulated Amortization -638.00
Total Other Assets 18.06
TOTAL ASSETS 495,501.10
LIABILITlES & EQUITY
Liabilities
Current Liabilities
PICCARD MEDICAL CORP
19/00 Balance Sheet
As of October 20, 1999
Oct 20, 999
Accounts Payable 124.724.03
Total Accounts Payable 124,724.03
Other Current Liabilities
Accrued Interest 34,241.72
Payroll Liabilities 46,237.89
Total Other Current Liabilities 80,479.61
Totat Current Liabilities 205,203.64
Long Term Liabilities
N/P Credit Counselors of Americ 33,308.05
N/P Chrysler Financial Corp 26,792.54
N/P Bankers Leasing 68,045.66
Loan-Working Capital 7,148.75
N/P Orion Espeseth 30,000.00
N/P Libby Espeseth 59,400.00
N/P NE State Bank-Van 427.60
N/P Rusk County - Air Cond. 2,052.30
N/Stockholder-A. Espeseth 164,488.94
N/Stockholder JC Capital Corp 235,000.00
Total Long Term Liabilities 626,663.84
Total Liabilities 831.667.48
Equity
Additional Paid In Capitol 866,013.58
Common Stock 5,000.00
Opening Gal Equity -32,986.67
Retained Earnings -992.175.84
Net Income -182,217.45
Total Equity -336,366.38
TOTAL LIABILITIES & EQUITY 495,501.10
Furnish the information required by Item 310(b) of Regulation S-B.
Item 2. Management's Discussion and Analysis or Plan of Operation.
Management believes sales and marketing of the Company's product line
will be increasing because of the increase in sales staff. This has
however,placed the Company in an operating deficit. The company
requires additional capital to increase product line and increase
market share of it's existing products.
The Company believes it has proprietary products but needs more money
to compete in this industry. A plan is being developed to secure
these funds and management believes that when accomplished the
company could see incremental gains both in market share of existing
product and with the development of new innovative products. Without
the insurgence of capital management believes the company can
continue but will be substantially hindered and may have to lay off
personel to lower it's overhead. The Company is losing money and
cannot continue sustain these losses for many more quarters.
PART II OTHER INFORMATION
Item 1. Legal Proceedings.
none
Item 2. Changes in Securities.
ON Dec. 6, 1999 the Company issued 9,102,800 shares of common stock
restricted under rule 144 to Mr. David Espeseth, the Company's
President and CEO. This increased the total outstanding shares
to 18,205,600 from the previous 9,102,800. This was done to keep
Mr. Espeseth with the company and ensure his continued commitment
to improve the status of the Company. A special meeting was held
and a majority of shareholders and all Directors approved the stock
issuance to Mr. Espeseth.
Item 4. Submission of Matters to a Vote of Security Holders.
Item 5. Other Information.
On Jan. 19, 2000 the Board of Directors approved the increase in
capitalization of the Company from fifty million shares authorized
to five hundred million shares authorized. This was accomplished
by filing with the State of Delaware an amendment to the
articles of incorporation. The intent of this was to provide the
Company with sufficient authorized shares to promote sufficient
funding to enable the growth of the Company.
Item 6. Exhibits and Reports on Form 8-K.
(a) Furnish the exhibits required by Item 601 of Regulation S-B.
(b) Reports on Form 8-K. State whether any reports on Form 8-K were filed
during the quarter for which this report is filed, listing the items
reported, any financial statements filed and the dates of such reports.
SIGNATURES
In accordance with the requirements of the Exchange Act, the registrant caused
this report to be signed on its behalf by the undersigned, thereunto duly
authorized.
Piccard Medical Corporation
(Registrant)
Date : January 25, 2000.
__________________________________
(Signature)*David Espeseth: President, Ceo, Director