On Yahoo also:
biz.yahoo.com
June 8, 1999
CORPORATE VISION INC /OK (CVIAD)
Annual Report (SEC form 10KSB)
Management Comments
Corporate Vision Inc. management and Board of Directors, fundementally agrees with the results found in this audit. We feel through no fault of the auditor fair market values could not be calculated for our 25% (twenty five percent) ownership of T.L. Phipps and Company, 88% (eighty eight percent) ownership of IPOSITE.COM and our 15% (fifteen percent) ownership of ArchivalCD Inc.
Item 1, Business
General
Corporate Vision, Inc., (CVI or "the Company") an Oklahoma corporation, is an investment bank venture capital firm whose principal market services small cap companies and assists in small company public offerings. CVI's strategy includes the internal development, minority ownership and operational assistance as well as investment in companies in varied industries. As of Decembr 31, 1998, CVI's portfolio included minority-owned subsidiaries T.L. Phipps, Iposite.Com, Inc. and ArchivlCD, Inc. The Company's first underwriting venture, ArchivalCD a Delaware corporation targeting conventional and internet related genealogical information searches. On December 31, 1998 CVI held a 15% ownership position in ArchivlCD. On December 31, 1998 CVI held a 25% ownership position in T.L. Phipps & Company. Phipps & Company is an interactive and multimedia cd rom and video production c company. IPOSITE.Com is a developmental investor information clearing house and internet magazine.
Investment and Development
Currently Corporate Vision is currently developing the Internet site "IPOSITE.COM" Currently Corporate Vision has invested $25,000 in this project.
Business Strategy
CVI's business strategy is to find and develop private companies with valuations of less than $15,000,000. Many times these private companies are seeking expansion funds through initial Public offerings of their stock. CVI underwrites these IPO's in return for long term ownership of these companies as payment for CVI services. At the time of the IPO CVI will sell a small percentage of its holdings in the third-party company in order to recover expenses related to the IPO offering. Most importantly, CVI has developed a continued understanding of customers's needs.
With respect to participation of CVI, the company will seek to expand its participation in the direct ownership of products and services of its subsidiary companies. Key elements of this strategy include:
Continue to enhance and expand the subsidiary and minority ownership company's products and services.
Evaluate new opportunities in market sectors and potential endeavors.
Develop stable growth-oriented marketing strategy using innovative advertising solutions to seek out opportunities to realize significant shareholder value.
Sales and Marketing
CVI industry does not require large or aggressive advertising campaigns; although the company has an internet presence to meet the needs of CVI's potential client base.
Competition
CVI's investment compete in varied market sectors and service arenas which are comprised of numerous large as well as small companies providing different products and services. Although CVI believes that the diverse segments of these markets will provide opportunities to aggressively increase the value of our investments.
Research and Development
CVI researches and develops small private companies seeking initial offerings in a variety of market sectors. CVI limits their participation to those companies showing strong growth, the potential increasing future earnings and expanding market presence.
Employees - 4
2. Properties
Facilities
The company leases approximately 2,000 square feet of administrative and operations in Tulsa, Oklahoma.
3. Legal Proceedings
- None at the time of this report, nor is none expected in the near future.
4. Submission of Matter to Vote of Security Holders
No matters were submitted to a vote of security holders during the 4th quarter of the fiscal year covered by this report.
5. Market for Restraints Common Equity and Related Stockholder Issues
(a) The Company has never paid cash dividends on its common stock,and the Company has no intention to pay cash dividends in the foreseeable future,although the Company does pay dividends in common stock of the third party companies prior to the initial public offering process.
(b) On September 1,1998, the Company issued 393,712 warrants for common stock at a strike price of $3.00 per warrant convertible into CVIA's common shares. These warrants were private and not available for public trade.
(c) On September 1,1998, the Company issued a dividend of 39,700 preferred shares to the common shareholders at a 1 to 10 ratio. These preferred shares are convertible into 10 common shares on September 1, 2003. These preferred shares are intended for public trade pending FCC and NASD approval.
6. Management's Discussion and Analysis of Financial Condition and Results of Operations.
In August 1998 a new Board of Directors was formed on the behalf of Corporate Vision, this board was formed as a judgement and settlement rendered by a lawsuit filed by a group of 61 shareholders as plaintiff and secondary shareholders, this group of shareholders represented aproximately 50% ownership of the Company. The Board of Directors voted Keith A. Anderson as the President and CEO of the company. The Board decided to allow T.L. Phipps and company to take over the former Interactive Media operations that Corporate Vision had formerly conducted. The Board of Directors decided it was in the best interest and a matter of Corporate survival to change the industry Corporate Vision was participating in and the mergers, that were proposed at the time.
Since August 1998, Corporate Vision had been focused and executing a plan to restore the Company to health and executing the business model that was formed and decided to pursue on the behalf of the Company. The Company will become debt free by the end of the first quarter 1999.
The Company has entered into a growth stage and will be seekig to add additional staff and office space through out the next three fiscal quarters of 1999.
7. Financial Statements and supplementary Data
(a) The following consolidated financial statements of the Company and the independent auditors' report set forth in 1998 annual report to shareholders are incorporated herein by reference and are filed as Exhibit E
(1) Consolidated balance sheets as of 12/31/98 and 12/31/97. (2) Consolidated statements of operations for the three years ended 12-31-98
(3) Consolidated statements of shareholders' equity for the three years ended 12-31-98. (4) Consolidated statements of cash flow for the three years ended 12-31-98.
(5) Notes to consolidated financial statements.
(6) Independent auditors' report
(b) Selected quarterly financial data (unaudited) is set forth in Note#- of the Notes to Consolidated financial statements referred to in this Item 7 and incorporated herein by reference.
Pursuant to the requirements 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.
Corporate Vision, Inc.
April 1, 1999
Keith A. Anderson
President, CEO |
