I read filing.SFXC .075.Nothing there Jim, other than insiders have paid themselves very well with .0001 and .001 stock.Shares out 103,482,967 shares out.Read filings 4 too.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-QSB
(Mark One)
[X] Quarterly report under Section 13 or 15(d) of the Securities Exchange
Act of 1934
For the quarterly period ended September 30, 2003
[ ] Transition report under Section 13 or 15(d) of the Exchange Act
For the transition period from _________ to _________
Commission file number: 0-24362
SEREFEX CORPORATION
(Name of Small Business Issuer in Its Charter)
DELAWARE 59-2412164
(State or Other Jurisdiction of (I.R.S. Employer
Incorporation or Organization) Identification No.)
3427 EXCHANGE AVENUE, SUITE B
NAPLES, FLORIDA 34104
(Address of Principal Executive Office)
(239) 262-1610
(Issuer's Telephone Number, Including Area Code)
As of the close of business on October 10, 2003, 103,482,967 shares of the Company's common stock, par value $.0001 per share, were outstanding.
Transitional Small Business Disclosure Format (check one):
Yes [ ] No [X]
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CAUTIONARY STATEMENT REGARDING FORWARD LOOKING INFORMATION
The discussion contained in this 10-QSB under the Securities Exchange Act of 1934, as amended, contains forward-looking statements that involve risks and uncertainties. The issuer's actual results could differ significantly from those discussed herein. These include statements about our expectations, beliefs, intentions or strategies for the future, which we indicate by words or phrases such as "anticipate," "expect," "intend," "plan," "will," "we believe," "the Company believes," "management believes" and similar language, including those set forth in the discussions under "Notes to Financial Statements" and "Management's Discussion and Analysis or Plan of Operation" as well as those discussed elsewhere in this Form 10-QSB. We base our forward-looking statements on information currently available to us, and we assume no obligation to update them. Statements contained in this Form 10-QSB that are not historical facts are forward-looking statements that are subject to the "safe harbor" created by the Private Securities Litigation Reform Act of 1995.
TABLE OF CONTENTS
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements 1
Balance Sheet 1
Statements of Operations 2
Statements of Cash Flows 3
Notes To Financial Statements 4
Item 2. Management's Discussion and Analysis or Plan of Operation 5
Item 3. Controls and Procedures 8
PART II. OTHER INFORMATION
Item 1. Legal Proceedings 8
Item 2. Changes in Securities and Use of Proceeds 9
Item 3. Defaults Upon Senior Securities 9
Item 6. Exhibits and Reports on Form 8-K 10
SIGNATURES 11
CERTIFICATIONS 12
--------------------------------------------------------------------------------
PART I. FINANCIAL INFORMATION
In the opinion of management, the accompanying unaudited financial statements included in this Form 10-QSB reflect all adjustments (consisting only of normal recurring accruals) necessary for a fair presentation of the results of operations for the periods presented. The results of operations for the periods presented are not necessarily indicative of the results to be expected for the full year.
ITEM 1. FINANCIAL STATEMENTS
SEREFEX CORPORATION
BALANCE SHEET
SEPTEMBER 30, 2003 (unaudited)
Sep 30, 03
----------
ASSETS
Current Assets
Cash & Cash Equivalents 32,140
Other Current Assets
Deposits 2,200
Prepaid Exp 9,146
Inventory 67,570
----------
Total Other Current Assets 78,916
----------
Total Current Assets 111,057
Fixed Assets
Computer Equip 5,242
Small Equipment 841
Furniture & Fixtures 2,194
Accumulated Depreciation (836)
----------
Total Fixed Assets 7,440
----------
TOTAL ASSETS 118,497
==========
LIABILITIES & EQUITY
Liabilities
Current Liabilities
Accounts Payable 181,605
Sales Tax Payable 107
Total Current Liabilities 181,713
----------
Total Liabilities 181,713
==========
Deficit
Common Stock 10,349
Issued & Outstanding: 103,482,967
Paid In Capital 13,507,396
Retained Deficit (13,419,298)
Net Loss (161,662)
----------
Total Deficit (63,216)
----------
TOTAL LIABILITIES & EQUITY 118,497
==========
See condensed notes to financial statements.
--------------------------------------------------------------------------------
SEREFEX CORPORATION
STATEMENTS OF OPERATIONS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2003 AND 2002 (unaudited)
3 Months 3 Months 9 Months 9 Months
Ending Ending Ending Ending
Sept 30, Sept 30, Sept 30, Sept 30,
2003 2002 2003 2002
--------- --------- --------- ---------
ORDINARY INCOME/EXPENSE
REVENUE 1,971 2,878
COST OF GOODS SOLD 851 1,145
--------- ---------
GROSS PROFIT 1,120 1,734
--------- ---------
EXPENSE
MARKETING EXP 9,482 12,829
EMPLOYEE EXP 2,214 3,351
PROFEESSIONAL FEES 110,848 233,384
GENERAL &
ADMINISTRATIVE EXP 14,169 65,720 36,878 590,238
PRIOR PERIOD
ADJUSTMENT (849,758) (849,758)
INTEREST EXP 44,655
CONTINUED OPERATIONS 6,524
INVENTORY LOSS (GAIN) 771 932
--------- --------- --------- ---------
TOTAL EXPENSE 137,483 (784,038) 287,374 (208,341)
--------- --------- --------- ---------
NET ORDINARY INCOME (136,363) 784,038 (285,640) 208,341
OTHER INCOME
NEGOTIATED SETTLEMENTS 122,596
OTHER INCOME 2,229 54,576 4,227 54,576
--------- --------- --------- ---------
TOTAL OTHER INCOME 2,229 54,576 126,824 54,576
OTHER EXPENSE
BANK FEES 88 679 659 679
OTHER EXP 751 2,186
INCOME TAX
--------- --------- --------- ---------
TOTAL OTHER EXPENSE 840 679 2,845 679
--------- --------- --------- ---------
NET OTHER INCOME 1,389 53,896 123,979 53,896
--------- --------- --------- ---------
NET INCOME (134,974) 837,934 (161,662) 262,237
========= ========= ========= =========
BASIC LOSS PER
COMMON SHARE (0.002) 0.016 (0.002) 0.006
BASIC WEIGHTED AVERAGE
COMMON SHARES
OUTSTANDING 85,851,477 52,684,726 87,266,272 43,348,268
See condensed notes to financial statements.
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SEREFEX CORPORATION
STATEMENTS OF CASH FLOWS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2003 AND 2002 (unaudited)
JAN - SEP 03 JAN - SEP 02
------------ ------------
OPERATING ACTIVITIES
NET INCOME (161,662) 262,237
ADJUSTMENTS TO RECONCILE NET INCOME
TO NET CASH PROVIDED BY OPERATIONS:
PREPAID EXP & DEPOSITS (11,346)
INVENTORY (67,570)
ACCOUNTS PAYABLE (67,709) (729,898)
COMMON STOCK ISSUED FOR SERVICES 125,000 502,750
ACCRUED INTEREST (155,577)
SALES TAX PAYABLE 107
DEPRECIATION 836
------------ ------------
NET CASH PROVIDED BY OPERATING ACTIVITIES (182,344) (120,488)
INVESTING ACTIVITIES
PAYMENTS TO OFFICER (38,204)
FIXED ASSETS (8,277)
------------ ------------
NET CASH PROVIDED BY INVESTING ACTIVITIES (8,277) (38,204)
FINANCING ACTIVITIES
REPAYMENT OF NOTES PAYABLE (119,100)
PROCEEDS FROM ISSUANCE OF STOCK 318,928 158,474
------------ ------------
NET CASH PROVIDED BY FINANCING ACTIVITIES 199,828 158,474
------------ ------------
NET CASH INCREASE FOR PERIOD 9,208 (218)
CASH AT BEGINNING OF PERIOD 22,932 240
------------ ------------
CASH AT END OF PERIOD 32,140 22
============ ============
See condensed notes to financial statements.
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SEREFEX CORORATION
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2003
NOTE 1 - BASIS OF PRESENTATION
The accompanying unaudited interim financial statements have been prepared in accordance with Form 10-QSB instructions and, in the opinion of management, include all normal adjustments considered necessary to present fairly the financial position as of September 30, 2003 and the results of operations for the nine months ended September 30, 2003 and 2002. The results have been determined on the basis of generally accepted accounting principles and practices and applied consistently with those used in the preparation of the Company's financial statements and notes for the year ended December 31, 2002, as filed on Form 10-KSB.
Certain information and footnote disclosures normally included in the financial statements presented in accordance with generally accepted accounting principles have been condensed or omitted. It is suggested that the accompanying unaudited interim financial statements be read in conjunction with the financial statements and notes thereto contained in the Company's 2002 Annual Report on Form 10-KSB. Our results for the nine months ended September 30, 2003 may not be indicative of our results for the twelve months ended December 31, 2003.
NOTE 2 - GOING CONCERN
The accompanying financial statements have been prepared in conformity with generally accepted accounting principles, which contemplate continuation of the Company as a going concern. The Company has incurred significant recurring net losses since inception, current liabilities exceed current assets, and substantially all of its notes payable are technically in default.
In view of these matters, realization of a major portion of the assets in the accompanying balance sheet is dependent upon continued operations of the Company, which in turn is dependent upon the Company's ability to meet its financing requirements, and the success of its future operations.
As shown in the Company's financial statements, the Company suffered recurring losses from operations to date. It had a net deficiency in equity of $63,216 and a net working capital deficit of $70,655 as of September 30, 2003. These factors raise substantial doubt about the Company's ability to continue as a going concern. The ability of the Company to continue as a going concern will depend on many factors, including the ability of the Company to successfully market licenses for Plant View Alerts Suite to small and mid-sized manufactures under its agreement with Shop Floor, and/or its ability to successfully resell paint and specialty coatings products in Florida under its agreement with CCC. In this regard, management intends to seek strategic relationships and alliances in order to develop sales and generate a positive cash flow. Pending the successful implementation of one or both of the Company's new business operational activities, of which there can be no assurance, our management plans to raise new equity capital in order to improve liquidity and sustain operations.
Management believes that actions presently being taken, such as the recent purchase of it's Plant View Alerts software, it's recent purchase of it's first 45,000 pound truckload of MagnaPaint, it's contract to exclusively market various specialty coating products, and various external financing sources will provide it with financial resources and the ability to meet its future financing requirements. The success of its future operations cannot be determined at this time. These factors raise substantial doubt about its ability to continue as a going concern. These financial statements do not include any adjustments that might result from the outcome of this uncertainty.
NOTE 3 - COMMON STOCK
The following is a summary of the stock issued during the nine months ended September 30, 2003:
(a) 8,333,332 shares for financing continuing operations and inventory at $0.006 per share or $50,000;
(b) 15,950,000 shares for financing continuing operations at $0.01 per share or $159,500;
(c) 823,544 shares for financing continuing operations at $0.08 per share or $65,884;
(d) 329,590 shares for financing continuing operations at $0.10 per share or $32,959;
(e) 4,000,000 shares for various services rendered at $0.01 per share, or $40,000;
(f) 2,000,000 shares for various services rendered at $0.04 per share, or $40,000;
(g) 1,000,000 shares for conversion accounts payable at $0.01 per share or $10,000;
(h) 2,264 shares for conversion of accounts payable at $0.25 per share, or $566;
(i) 2,660 shares for conversion of accounts payable at $0.25 per share, or $5665.
(j) 4,000 shares were returned to the treasury at $1.00 per share, or $4,000 |
