EXHIBIT 99.2
TABLE OF CONTENTS
Unaudited Interim Financial Statements:
Balance Sheet at June 30, 2001..............................................2
Statement of Operations for the six months ended June 30, 2001..............3
Statement of Cash Flows for the six months ended June 30, 2001..............4
Notes to Unaudited Interim Financial Statements................................5
1
PRIMED TECHNOLOGIES, INC.
BALANCE SHEET
(Unaudited)
ASSETS
------
June 30,
------------
2001
------------
Current assets:
Cash ............................................. $ -
Accounts receivable, net ......................... 69,335
Other current assets ............................. 3,686
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Total current assets ...................... 73,021
------------
Property and equipment, net .......................... 306,937
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Other assets:
Capitalized software, net ........................ 463,763
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Total assets .............................. $ 843,721
============
LIABILITIES AND STOCKHOLDERS' DEFICIT
-------------------------------------
Current liabilities:
Checks outstanding in excess of bank balances .... $ 57,660
Accounts payable ................................. 330,541
Accrued expenses ................................. 1,127,533
Loans payable - related party .................... 261,669
Loans payable .................................... 1,379,421
------------
Total current liabilities ................. 3,156,824
------------
Commitments and contingencies
Stockholders' deficit:
Members' deficit ................................. -
Common stock, $0.001 par value; 10,000,000
authorized shares; 10,000 shares issued and
outstanding .................................... 10
Additional paid in capital ....................... 190
Accumulated deficit .............................. (2,313,303)
------------
Total stockholders' deficit ............... (2,313,103)
------------
Total liabilities and stockholders' deficit $ 843,721
============
See accompanying notes to financial statements
2
PRIMED TECHNOLOGIES, INC.
STATEMENTS OF OPERATIONS
For the Six Months Ended June 30, 2001
(Unaudited)
Revenue .............................................. $ 652,467
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Operating expenses:
Salaries and payroll taxes ....................... 431,514
Depreciation and amortization .................... 153,926
Professional fees ................................ 112,397
Rent ............................................. 129,550
Other selling, general and administrative expenses 491,937
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Total operating expenses ............................. 1,319,324
-----------
Loss from operations ................................. (666,857)
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Other expenses:
Interest expense ................................. (210,000)
-----------
Net loss ............................................. $ (876,857)
===========
See acompanying notes to financial statements
3
PRIMED TECHNOLOGIES, INC.
STATEMENTS OF CASH FLOWS
For the Six Months Ended June 30, 2001
(Unaudited)
Cash flows from operating activities:
Net loss .................................... $(876,857)
Adjustments to reconcile net loss to net cash
used by operating activities:
Depreciation and amortization ............ 153,926
(Increase) decrease in:
Accounts receivable .................. (4,589)
Other current assets ................. (2,086)
Increase (decrease) in:
Accounts payable ..................... 44,526
Accrued expenses ..................... 369,899
Interest payable ..................... 256,134
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Net cash used in operating activities ........... (59,047)
---------
Cash flows from investing activities:
Purchase of property and equipment .......... (11,132)
---------
Net cash used in investing activities ........... (11,132)
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Cash flows from financing activities:
Checks outstanding in excess of bank balances 25,171
Proceeds from loan payable - related party .. 45,008
---------
Net cash provided by financing activities ....... 70,179
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Net increase (decrease) in cash ................. -
Cash at beginning of period ..................... -
---------
Cash at end of period ........................... $ -
=========
See accompanying notes to financial statements
4
PRIMED TECHNOLOGIES, INC.
NOTES TO UNAUDITED FINANCIAL STATEMENTS
JUNE 30, 2001
NOTE 1 - BASIS OF PRESENTATION
PriMed Technologies, LC (the "Company") was organized under the laws of the
state of Florida on February 4, 1999 as a Limited Liability Company. On January
1, 2000, the Company changed its legal organization by merging into PriMed
Technologies, Inc., a Delaware Corporation, in a corporate reorganization.
PriMed Technologies, Inc. is authorized to issue 10,000,000 shares of common
stock at a par value of $0.001 per share. The assets and liabilities transferred
were accounted for at historical cost.
The Company is engaged in providing administrative services (accounting, billing
and collection, claims processing, information management), network support and
maintenance to clients predominantly in the healthcare sector. It has developed
proprietary software and applications with interactive web-enabled multimedia
capabilities.
The accompanying unaudited financial statements have been prepared in accordance
with generally accepted accounting principles for interim financial information
and pursuant to the rules and regulations of the Securities and Exchange
Commission ("SEC"). The accompanying consolidated financial statements for the
interim periods are unaudited and reflect all adjustments (consisting only of
normal recurring adjustments) which are, in the opinion of management, necessary
for a fair presentation of the financial position and operating results for the
periods presented. These financial statements should be read in conjunction with
the financial statements for the year ended December 31, 2000 and notes thereto
contained in this Report on Form 8-K/A of Primed Technologies, Inc. The results
of operations for the six months ended June 30, 2001 are not necessarily
indicative of the results for the full fiscal year ending December 31, 2001.
5