The Company is currently attempting to locate and negotiate with eligible portfolio companies to acquire an interest in them. In addition, All State will assist these portfolio companies with raising capital and also offers them substantial managerial assistance needed to succeed.
On January 31, 2011, the Company increased its authorized capital stock from 5,000,000,000 to 7,000,000,000 shares. To the date of these financial statements an additional 2,513,736,834 shares of the Company’s common stock have been issued or are issuable.
The Company’s fiscal year end is June 30th. The company re-entered the development stage July 1, 2007 when revenue generation ceased and the Company refocused its’ activities to raising capital. The Company is currently in the development stage, has limited assets, and is in the process of acquiring assets and changing business philosophies and, consequently, has no revenues. In accordance with the FASB ASC 915, it is considered a Development Stage Company.
There was a significant item during the six months ended December 31, 2010, in that the Company's common stock was issued in exchange for retirement of certain significant obligations.
This one item saved the Company much-needed cash, but had a tremendous detrimental impact on the financial statements.
The accompanying financial statements have been prepared assuming the Company will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business. However, the Company has incurred significant losses and is dependent on obtaining adequate capital to fund operating losses until it becomes profitable. If the Company is unable to obtain the necessary funding it could cease operations as a new enterprise. This raises substantial doubt about the Company’s ability to continue as a going concern. These financial statements do not include any adjustments that might result from this uncertainty.
The Company has a net operating loss carryover of $10,209,338 as of December 31, 2010 which expires in 2030. Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards for federal income tax reporting purposes are subject to annual limitations. Should a change in ownership occur net operating loss carry forwards may be limited as to use in future years. The Company has net operating loss carry forwards that were derived solely from operating losses from prior years. These amounts can be carried forward to offset future taxable income for a period of 20 years for each tax year’s loss. No provision was made for federal income taxes as the Company has significant net operating losses.
Financing Transactions
The Company has executed some financing transactions during the reporting quarter. These transactions are reported in the financial statements, and are classified as extraordinary items (i.e. not in the normal course of business).
On October 18, 2010, the Company entered into a retirement of certain obligations totaling Eighty Thousand Dollars ($80,000) in exchange for Two Hundred Million (200,000,000) shares of the Company’s common stock valued at the market price of $0.0014 on the date of the Contractual Arrangement with a value of $280,000.
On October 20, 2010, the Company entered into a retirement of certain obligations totaling Fifty Five Thousand, One Hundred Thirty Nine Dollars ($55,139) in exchange for One Hundred Million (100,000,000) shares of the Company’s common stock valued at the market price of $0.0016 on the date of the Contractual Arrangement with a value of $160,000.
On November 8, 2010, the Company entered into a retirement of certain obligations totaling Forty Thousand Dollars ($40,000) in exchange for Three Hundred Million (300,000,000) shares of the Company’s common stock valued at the market price of $0.0013 on the date of the Contractual Arrangement with a value of $390,000.
On November 29, 2010, the Company entered into a retirement of certain obligations totaling Thirty Six Thousand Dollars ($36,000) in exchange for Four Hundred Million (400,000,000) shares of the Company stock valued at the market price of $0.0011 on the date of the Contractual Arrangement with a value of $440,000.
Subsequent Events
Included as events occurring subsequent to December 31, 2010 through the date of this filing are the following:
On January 4, 2011, the company issued 558,960,684 shares of its’ common stock pursuant to the anti-dilutive provisions. These shares were valued at market and amounted to $167,688.
On January 19, 2011, the Company entered into the retirement of certain obligations with JLP & R Corp. totaling $24,000 in exchange for 400,000,000 restricted shares of the Company’s common stock valued at the market price of $0.0002 on the date of the contractual arrangement having a value of $80,000.
On January 31, 2011, the Company increased its authorized capital stock from 5,000,000,000 to 7,000,000,000 shares.
On January 31, 2011 ,the company issued +- 600 million shares of its’ common stock pursuant to the anti-dilutive provisions.
There was a significant item during the six months ended December 31, 2010, in that the Company's common stock was issued in exchange for retirement of certain significant obligations.
This one item saved the Company much-needed cash, but had a tremendous detrimental impact on the financial statements.
