KARIN H. BROWN STEVEN MOULTON KARIN H. BROWN NEVADA EDUCATION SOCIETY
LANE CLISSOLD STEVEN D MOULTON STEVEN D MOULTON DRACO HOLDING CORPORATION
STEVEN D MOULTON DIANE REED DIANE REED XEBEC INTERNATIONAL, INC.
STEVEN D. MOULTON MICHELLE R. WHEELER MICHELLE R. WHEELER SIERRA HOLDINGS GROUP, INC.
STEVEN MOULTON DIANE REED DIANE REED QUAZON CORP.
Potential Savior of Kiwi International Has No Revenues or Assets to Speak Of
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The possible reprieve given to struggling Kiwi International Air Lines Inc. comes from a company with no revenue, no assets and almost no business.
The recent Securities and Exchange Commission filings of Wasatch International Corp., the possible provider of $5 million in loans to Kiwi, show that in more than 10 years of existence, the company has conducted essentially no business aside from an attempt at a graffiti removal business that went nowhere.
Currently, Wasatch hopes to buy a cruise ship from a bankrupt Florida company for $6.7 million in cash and stock and has acquired the rights to develop 15,000 acres in the Bahamas for 25 million restricted shares, according to the documents.
No details were offered as to how Wasatch might raise the $5 million, which would be earmarked to keep Kiwi going during its bankruptcy proceedings.
Joe Logan Jr., recently appointed president and chief executive of Wasatch, wouldn't comment on how the company might come by the money, referring all questions to John B.M. Frohling, a New Jersey attorney representing Wasatch. Frohling, who appeared at yesterday's hearing in U.S. Bankruptcy Court in Manhattan, wasn't available.
A Kiwi spokesman, said, "We have no comment one way or another on (Wasatch's) financial fitness or their wherewithal. We do feel very confident that they will put Kiwi back in the air and they will restore us to our prestigious past."
John Thomas, president of Palm Beach Cruise Line, owner of the cruise ship Wasatch hopes to buy, said Wasatch is the sole bidder on the company's assets and the acquisition plan is about to be presented to the bankruptcy court. He wouldn't comment on how Wasatch plans to finance the deal, but said he's confident it will be able to do so.
The top management of Wasatch has turned over significantly in recent months. Logan replaced Wallace M. Giakas this month, and Giakas had replaced the previous president, Steven D. Moulton, in July.
Moulton was also president, director and 9 percent shareholder of Wasatch Consulting Group last year when Wasatch International gave that firm 23 million shares "in consideration of services rendered," according to the company's annual filing for the year ended May 31. Moulton himself was given 2.5 million shares last November and in July sold all of his stock to LaSalle Group Ltd. for $125,000, the filing said. The share figures are before a 1-for-200 reverse stock split.
LaSalle Group as of June 30 was Wasatch's biggest shareholder, at 82 percent, and was also the seller of the Bahamian real estate to Wasatch this year. LaSalle Group was referred to only as a Cayman Islands corporation and its address in the filing was listed as Wasatch's address, where there was no telephone listing for the firm.
Logan declined to comment on what LaSalle was or whether it remains Wasatch's biggest shareholder.
Wasatch shares closed up 25 percent, or 75 cents, at $3.75 a share on the Nasdaq Over-the-Counter Bulletin Board.
Credit: Associated Press
Copyright The Daily Record Co. Nov 05, 1996
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