UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
FORM
10-Q
x
|
QUARTERLY
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
For the
quarterly period ended:
September 30,
2009
OR
o
|
TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
|
For
the transition period from: ________ to
________.
|
Commission
File No.:
1-7986
Kent
Financial Services, Inc.
(Exact
name of registrant as specified in its charter)
Nevada
|
75-1695953
|
(State
or other jurisdiction of
|
(I.R.S.
Employer
|
incorporation
or organization)
|
Identification
No.)
|
211 Pennbrook Road, P.O. Box
97, Far Hills, New Jersey 07931
(Address
of principal executive offices)
(908)
766-7221
(Registrant's
telephone number)
Indicate
by check mark whether the registrant(1) filed all reports required to be filed
by Section 13 or 15(d) of the Exchange Act during the past 12 months (or for
such shorter period that the registrant was required to file such reports), and
(2) has been subject to such filing requirements for the past 90
days.
Yes
x
No
o
Indicate
by check mark whether the registrant has submitted electronically and posted on
its corporate Web site, if any, every Interactive Data File required to be
submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this
chapter) during the preceding 12 months (or for such shorter period that the
registrant was required to submit and post such files.)
Yes
o
No
o
Indicate
by check mark whether the registrant is a large accelerated filer, an
accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accelerated filer”,
“accelerated filer” and “smaller reporting company” in Rule 12b-2 of the
Exchange Act. (Check One)
Large
accelerated filer
o
Accelerated filer
o
Non-accelerated filer
o
Smaller reporting
company
x
Indicate
by check mark whether the registrant is a shell company (as defined in Rule
12b-2 of the Exchange Act).
Yes
o
No
x
State the
number of shares outstanding of each of the issuer's classes of common equity as
of the latest practicable date: As of November 13, 2009, the issuer
had 2,759,145 shares of its common stock, par value $.10 per share,
outstanding.
KENT FINANCIAL SERVICES, INC. AND SUBSIDIARIES
FORM
10-Q
For The
Quarterly Period Ended September 30, 2009
Table of
Contents
|
|
Page
|
|
|
Number
|
|
|
|
PART
I. FINANCIAL INFORMATION
|
|
|
|
|
|
|
|
|
|
|
|
3
|
|
|
|
|
|
4
|
|
|
|
|
|
5
|
|
|
|
|
|
6
|
|
|
|
|
|
11
|
|
|
|
|
|
15
|
|
|
|
|
|
15
|
|
|
|
PART
II. OTHER INFORMATION
|
|
|
|
|
|
15
|
|
|
|
|
|
16
|
|
|
|
|
|
16
|
|
|
|
|
|
16
|
|
|
|
|
|
16
|
|
|
|
|
|
16
|
|
|
|
|
|
16
|
|
|
|
|
|
17
|
PART
I
-
FINANCIAL
INFORMATION
Item
1.
-
|
Financial
Statements
|
KENT FINANCIAL SERVICES, INC. AND SUBSIDIARIES
CONSOLIDATED
BALANCE SHEETS
ASSETS
|
|
September 30,
2009 (Unaudited)
|
|
|
December 31,
2008
|
|
|
|
|
|
|
|
|
Current
Assets:
|
|
|
|
|
|
|
Cash
and cash equivalents
|
|
$
|
11,568,403
|
|
|
$
|
1,990,753
|
|
Short-term
investments
|
|
|
|
|
|
|
10,090,292
|
|
Marketable
securities
|
|
|
50,660
|
|
|
|
70,450
|
|
Accounts
receivable
|
|
|
4,399
|
|
|
|
55,895
|
|
Prepaid
expenses and other current assets
|
|
|
31,036
|
|
|
|
14,769
|
|
|
|
|
|
|
|
|
|
|
Total
current assets
|
|
|
11,654,498
|
|
|
|
12,222,159
|
|
|
|
|
|
|
|
|
|
|
Property
and equipment, net of accumulated depreciation of $7,069 and
$10,728
|
|
|
17,885
|
|
|
|
21,618
|
|
Other
assets
|
|
|
16,000
|
|
|
|
16,000
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$
|
11,688,383
|
|
|
$
|
12,259,777
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
|
Accounts
payable and accrued expenses
|
|
$
|
197,104
|
|
|
$
|
227,497
|
|
Deferred
revenue
|
|
|
|
|
|
|
64,817
|
|
|
|
|
|
|
|
|
|
|
Total
current liabilities
|
|
|
197,104
|
|
|
|
292,314
|
|
|
|
|
|
|
|
|
|
|
Noncurrent
liabilities:
|
|
|
|
|
|
|
|
|
Accrued
post employment obligations
|
|
|
720,000
|
|
|
|
720,000
|
|
|
|
|
|
|
|
|
|
|
Total
liabilities
|
|
|
917,104
|
|
|
|
1,012,314
|
|
|
|
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Kent
Financial Services shareholders' equity
|
|
|
|
|
|
|
|
|
Preferred
stock without par value; 500,000 shares authorized; none
outstanding
|
|
|
-
|
|
|
|
-
|
|
Common
stock, $.10 par value; 8,000,000 shares authorized; 2,759,145 and
2,759,293 shares issued and outstanding
|
|
|
275,915
|
|
|
|
275,929
|
|
Additional
paid-in capital
|
|
|
12,344,709
|
|
|
|
12,344,949
|
|
Accumulated
deficit
|
|
|
(6,643,140
|
)
|
|
|
(6,293,407
|
)
|
Accumulated
other comprehensive loss
|
|
|
(65,614
|
)
|
|
|
(45,824
|
)
|
|
|
|
|
|
|
|
|
|
Total
Kent Financial Services shareholders' equity
|
|
|
5,911,870
|
|
|
|
6,281,647
|
|
|
|
|
|
|
|
|
|
|
Noncontrolling
interest in subsidiaries
|
|
|
4,859,409
|
|
|
|
4,965,816
|
|
|
|
|
|
|
|
|
|
|
Total
equity
|
|
|
10,771,279
|
|
|
|
11,247,463
|
|
|
|
|
|
|
|
|
|
|
Total
liabilities and equity
|
|
$
|
11,688,383
|
|
|
$
|
12,259,777
|
|
See
accompanying notes to consolidated financial statements.
KENT FINANCIAL SERVICES, INC. AND SUBSIDIARIES
CONSOLIDATED
STATEMENTS OF OPERATIONS
(UNAUDITED)
|
|
Three
Months Ended
|
|
|
Nine
Months Ended
|
|
|
|
September 30,
|
|
|
September 30,
|
|
|
|
2009
|
|
|
2008
|
|
|
2009
|
|
|
2008
|
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
Seminar
fees
|
|
|
|
|
$
|
49,755
|
|
|
$
|
164,567
|
|
|
$
|
184,110
|
|
Interest
and dividends
|
|
$
|
4,487
|
|
|
|
65,654
|
|
|
|
17,243
|
|
|
|
248,394
|
|
Realized
gains (losses)
|
|
|
|
|
|
|
|
|
|
|
10,034
|
|
|
|
(660
|
)
|
Other
income
|
|
|
7,159
|
|
|
|
9,179
|
|
|
|
20,845
|
|
|
|
88,403
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenues
|
|
|
11,646
|
|
|
|
124,588
|
|
|
|
212,689
|
|
|
|
520,247
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General
and administrative
|
|
|
215,476
|
|
|
|
237,088
|
|
|
|
664,531
|
|
|
|
789,370
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss
before income taxes and minority interest
|
|
|
(203,830
|
)
|
|
|
(112,500
|
)
|
|
|
(451,842
|
)
|
|
|
(269,123
|
)
|
Provision
for income taxes
|
|
|
(2,685
|
)
|
|
|
|
|
|
|
(4,298
|
)
|
|
|
(2,140
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss
|
|
|
(206,515
|
)
|
|
|
(112,500
|
)
|
|
|
(456,140
|
)
|
|
|
(271,263
|
)
|
Add:
net loss attributable to noncontrolling interest
|
|
|
60,828
|
|
|
|
19,725
|
|
|
|
106,407
|
|
|
|
45,252
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss attributable to Kent Financial Services shareholders
|
|
|
(145,687
|
)
|
|
|
(92,775
|
)
|
|
|
(349,733
|
)
|
|
|
(226,011
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
comprehensive gain (loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized
loss on available for sale securities
|
|
|
(15,495
|
)
|
|
|
(5,154
|
)
|
|
|
(19,790
|
)
|
|
|
(17,582
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
loss
|
|
$
|
(161,182
|
)
|
|
$
|
(97,929
|
)
|
|
$
|
(369,523
|
)
|
|
$
|
(243,593
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
and diluted net loss per common share
|
|
$
|
(0.05
|
)
|
|
$
|
(0.03
|
)
|
|
$
|
(0.13
|
)
|
|
$
|
(0.08
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted
average number of common shares outstanding
|
|
|
2,759,178
|
|
|
|
2,790,119
|
|
|
|
2,759,223
|
|
|
|
2,791,383
|
|
See
accompanying notes to consolidated financial statements.
KENT FINANCIAL SERVICES, INC. AND SUBSIDIARIES
CONSOLIDATED
STATEMENTS OF CASH FLOWS
(UNAUDITED)
|
|
Nine
Months Ended
|
|
|
|
September 30,
|
|
|
|
2009
|
|
|
2008
|
|
Cash
flows from operating activities:
|
|
|
|
|
|
|
Net
loss
|
|
$
|
(349,733
|
)
|
|
$
|
(226,011
|
)
|
Adjustments
to reconcile net loss to net
cash
used in operating activities:
|
|
|
|
|
|
|
|
|
(Gain)
loss on sale of marketable securities
|
|
|
(10,034
|
)
|
|
|
660
|
|
Depreciation
|
|
|
3,733
|
|
|
|
3,063
|
|
Minority
interest in subsidiaries losses
|
|
|
(106,407
|
)
|
|
|
(45,252
|
)
|
Changes
to operating assets and liabilities:
|
|
|
|
|
|
|
|
|
Interest
receivable on short-term investments
|
|
|
1,125
|
|
|
|
(30,310
|
)
|
Change
in accounts receivable
|
|
|
51,496
|
|
|
|
38,584
|
|
Change
in prepaid expenses and other current assets
|
|
|
(16,267
|
)
|
|
|
34,514
|
|
Change
in accounts payable and accrued expenses
|
|
|
(30,393
|
)
|
|
|
5,644
|
|
Change
in deferred revenue
|
|
|
(64,817
|
)
|
|
|
4,875
|
|
|
|
|
|
|
|
|
|
|
Net
cash used in operating activities
|
|
|
(521,297
|
)
|
|
|
(214,233
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from investing activities:
|
|
|
|
|
|
|
|
|
Sales
of marketable securities
|
|
|
629,031
|
|
|
|
2,405
|
|
Sales
and maturities of short-term investments
|
|
|
10,089,167
|
|
|
|
12,696,681
|
|
Purchases
of short-term investments
|
|
|
|
|
|
|
(11,549,243
|
)
|
Acquisition
of property and equipment
|
|
|
|
|
|
|
(24,954
|
)
|
Purchases
of marketable securities
|
|
|
(618,997
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
cash provided by investing activities
|
|
|
10,099,201
|
|
|
|
1,124,889
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from financing activities:
|
|
|
|
|
|
|
|
|
Repurchase
of common stock by subsidiary
|
|
|
|
|
|
|
(3,150
|
)
|
Repurchase
of common stock
|
|
|
(254
|
)
|
|
|
(9,178
|
)
|
|
|
|
|
|
|
|
|
|
Net
cash used in financing activities
|
|
|
(254
|
)
|
|
|
(12,328
|
)
|
|
|
|
|
|
|
|
|
|
Net
increase in cash and cash equivalents
|
|
|
9,577,650
|
|
|
|
898,328
|
|
Cash
and cash equivalents at beginning of period
|
|
|
1,990,753
|
|
|
|
134,927
|
|
|
|
|
|
|
|
|
|
|
Cash
and cash equivalents at end of period
|
|
$
|
11,568,403
|
|
|
$
|
1,033,255
|
|
|
|
|
|
|
|
|
|
|
Supplemental
disclosure of cash flow information:
|
|
|
|
|
|
|
|
|
Cash
paid for:
|
|
|
|
|
|
|
|
|
Taxes
|
|
$
|
4,298
|
|
|
$
|
2,140
|
|
See
accompanying notes to consolidated financial statements.
KENT FINANCIAL SERVICES, INC. AND SUBSIDIARIES
NOTES TO
CONSOLIDATED FINANCIAL STATEMENTS
For the
Periods Ending September 30, 2009 and 2008
(UNAUDITED)
NOTE 1
-
Basis of
Presentation
The
accompanying unaudited consolidated financial statements of Kent Financial
Services, Inc. and subsidiaries (the "Company") reflect all material adjustments
consisting of only normal recurring adjustments which, in the opinion of
management, are necessary for a fair presentation of results for the interim
periods. Certain information and footnote disclosures required under
accounting principles generally accepted in the United States of America have
been condensed or omitted pursuant to the rules and regulations of the
Securities and Exchange Commission, although the Company believes that the
disclosures are adequate to make the information presented not
misleading. These consolidated financial statements should be read in
conjunction with the consolidated financial statements and notes thereto
included in the Company's Annual Report on Form 10-K for the year ended December
31, 2008 as filed with the Securities and Exchange Commission.
The
preparation of financial statements in conformity with accounting principles
generally accepted in the United States of America requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of
the financial statements and the reported amounts of revenues and expenses
during the reporting period. Actual results could differ from those
estimates. Estimates that are particularly susceptible to change
include assumptions used in determining the fair value of securities owned and
non-readily marketable securities.
The
results of operations for the three and nine months ended September 30, 2009 are
not necessarily indicative of the results to be expected for the entire year or
for any other period.
NOTE
2 - Reclassifications of a General Nature
Certain
amounts in the prior periods presented have been reclassified to conform to the
current period financial statement presentation. The
reclassifications were made necessary by the change from reporting results
rounded to the nearest thousand dollars to reporting results rounded to the
nearest dollar. These reclassifications had no effect on previously
reported loss per share.
NOTE 3
–
Business and Segment
Information
The
Company's business is comprised of the management of Kent International and Kent
Educational. The Company has determined that its operations can be
segregated into two principal operating segments which are business development
activities and education services. We define operating segments as
components of an enterprise about which separate financial information is
available that is evaluated regularly by the Chairman in deciding how to
allocate resources and in assessing performance.
Kent
International is a publicly traded company (stock symbol “KNTH.PK”) that
operated a social networking website during the period covered by this
Report. Subsequent to the end of the quarter, a subsidiary of Kent
was authorized to operate as a securities broker/dealer. Additionally
Kent International is seeking an acquisition or merger with a company that has
significant growth potential. Kent Financial Services owned
approximately 53.44% of Kent International at September 30, 2009. All
of Kent International’s assets are invested in cash and United States Treasury
Bills. Kent International’s activity is reported in the business
development activities segment.
On
November 23, 2009, Kent International’s subsidiary, Kent Capital, was authorized
to operate as a licensed securities broker/dealer. The Financial
Industry Regulatory Authority (FINRA) approved Kent Capital to operate under
three business lines; Private Placements, Real Estate Syndication and Trading
Securities for Our Own Account. Kent International intends to operate
the broker dealer in order to generate revenue and earnings. However, management
will continue to pursue merger or acquisition opportunities that offer
potentially profitable uses for the Company’s available capital. Kent
International’s initial investment in Kent Capital will be $350,000, with the
potential to increase the investment to $2,500,000 or more within the next year,
depending on the prospects for potential return on the investment.
Additionally,
Kent International has developed a niche social networking website,
www.ChinaUSPals.com
,
designed to promote cultural exchange between the citizens of the United States
and those of the People’s Republic of China. Membership to the site
is free, thus, any potential revenues will be derived from advertisements placed
on the site by third parties. The site provides users with access to
other users’ personal profiles and enables the user to send messages to other
registered users of similar interests in order to develop lasting friendships or
simply attain a pen pal. ChinaUSPals.com also features user generated
discussion forums and blogs as well as user submitted videos and
pictures. The site was redesigned in preparation for the 2008
Olympics and re-launched on August 6, 2008. Since then, site
membership has grown to over 6,100 members from the approximately 150 members
prior to the redesign.
Kent
International does not expect that either the broker/dealer or the social
networking website will generate any significant revenues for an indefinite
period as these efforts are in their early stages. As a result, these
programs may produce significant losses until such time as meaningful revenues
are achieved.
The
education services segment represents the activity of Kent Educational, which is
a wholly owned subsidiary of the Company that has a 60% controlling interest in
the Academy for Teaching and Leadership Inc. (“The Academy”). The
Academy, headed by Dr. Saul Cooperman, a former Commissioner of Education in the
State of New Jersey, provides educators various programs designed to improve
themselves, their students, and their schools.
The
allocation of resources for educational purposes is under constant scrutiny in
New Jersey. Funding for public schools in New Jersey comes from
either State aid or local property taxes. Although property taxes
have increased rapidly in New Jersey over the last ten years, this has not
resulted in additional educational expenditures, because the State of New Jersey
has at the same time reduced its aid allocated to public schools. It
is impossible to foresee the future developments of property taxes and
educational State aids. As public schools in New Jersey are currently
our primary customer, our revenue growth is restricted by any limitation on
these resources.
The
following table summarizes the assets and operations of the Company’s segments
as of and for the three and nine month periods ended September 30, 2009 and
2008:
|
|
Business
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Development
|
|
|
Educational
|
|
|
All
Other
|
|
|
|
|
|
Consolidated
|
|
|
|
Activities
|
|
|
Services
|
|
|
Operations
|
|
|
Eliminations
|
|
|
Totals
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended Sept. 30,
2009
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
from external customers
|
|
|
|
|
$
|
244
|
|
|
$
|
4,399
|
|
|
|
|
|
$
|
4,643
|
|
Management
fees
|
|
|
|
|
|
|
|
|
|
63,000
|
|
|
$
|
(63,000
|
)
|
|
|
|
|
Interest
and dividend revenue
|
|
$
|
4,143
|
|
|
|
8
|
|
|
|
336
|
|
|
|
|
|
|
|
4,487
|
|
Other
revenue
|
|
|
2,500
|
|
|
|
|
|
|
|
16
|
|
|
|
|
|
|
|
2,516
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenues
|
|
|
6,643
|
|
|
|
252
|
|
|
|
67,751
|
|
|
|
(63,000
|
)
|
|
|
11,646
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General
and administrative expenses
|
|
|
(127,532
|
)
|
|
|
(12,917
|
)
|
|
|
(138,027
|
)
|
|
|
63,000
|
|
|
|
(215,476
|
)
|
Income
tax expense
|
|
|
(1,069
|
)
|
|
|
(547
|
)
|
|
|
(1,069
|
)
|
|
|
|
|
|
|
(2,685
|
)
|
Minority
interest
|
|
|
55,762
|
|
|
|
5,066
|
|
|
|
|
|
|
|
|
|
|
|
60,828
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss by segment
|
|
$
|
(66,196
|
)
|
|
$
|
(8,146
|
)
|
|
$
|
(71,345
|
)
|
|
$
|
-
|
|
|
$
|
(145,687
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended Sept. 30,
2009
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
from external customers
|
|
|
|
|
|
$
|
164,986
|
|
|
$
|
10,751
|
|
|
|
|
|
|
$
|
175,737
|
|
Management
fees
|
|
|
|
|
|
|
|
|
|
|
126,000
|
|
|
$
|
(126,000
|
)
|
|
|
|
|
Interest
and dividend revenue
|
|
$
|
14,598
|
|
|
|
43
|
|
|
|
2,602
|
|
|
|
|
|
|
|
17,243
|
|
Investing
gains
|
|
|
|
|
|
|
10,034
|
|
|
|
|
|
|
|
|
|
|
|
10,034
|
|
Other
revenue
|
|
|
2,500
|
|
|
|
|
|
|
|
7,175
|
|
|
|
|
|
|
|
9,675
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenues
|
|
|
17,098
|
|
|
|
175,063
|
|
|
|
146,528
|
|
|
|
(126,000
|
)
|
|
|
212,689
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General
and administrative expenses
|
|
|
(330,866
|
)
|
|
|
(80,905
|
)
|
|
|
(378,760
|
)
|
|
|
126,000
|
|
|
|
(664,531
|
)
|
Income
tax expense
|
|
|
(1,069
|
)
|
|
|
(2,160
|
)
|
|
|
(1,069
|
)
|
|
|
|
|
|
|
(4,298
|
)
|
Minority
interest
|
|
|
143,520
|
|
|
|
(37,113
|
)
|
|
|
|
|
|
|
|
|
|
|
106,407
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income (loss) by segment
|
|
$
|
(171,317
|
)
|
|
$
|
54,885
|
|
|
$
|
(233,301
|
)
|
|
$
|
-
|
|
|
$
|
(349,733
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of Sept. 30, 2009
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets by segment
|
|
$
|
10,105,716
|
|
|
$
|
444,889
|
|
|
$
|
1,137,778
|
|
|
$
|
-
|
|
|
$
|
11,688,383
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended Sept. 30,
2008
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
from external customers
|
|
|
|
|
|
$
|
50,280
|
|
|
$
|
7,178
|
|
|
|
|
|
|
$
|
57,458
|
|
Management
fees
|
|
|
|
|
|
|
|
|
|
|
63,000
|
|
|
$
|
(63,000
|
)
|
|
|
|
|
Interest
revenue
|
|
$
|
57,665
|
|
|
|
1,476
|
|
|
|
6,513
|
|
|
|
|
|
|
|
65,654
|
|
Other
revenue
|
|
|
|
|
|
|
|
|
|
|
1,476
|
|
|
|
|
|
|
|
1,476
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenues
|
|
|
57,665
|
|
|
|
51,756
|
|
|
|
78,167
|
|
|
|
(63,000
|
)
|
|
|
124,588
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General
and administrative expenses
|
|
|
(123,038
|
)
|
|
|
(32,232
|
)
|
|
|
(144,818
|
)
|
|
|
63,000
|
|
|
|
(237,088
|
)
|
Minority
interest
|
|
|
27,535
|
|
|
|
(7,810
|
)
|
|
|
|
|
|
|
|
|
|
|
19,725
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income (loss) by segment
|
|
$
|
(37,838
|
)
|
|
$
|
11,714
|
|
|
$
|
(66,651
|
)
|
|
$
|
-
|
|
|
$
|
(92,775
|
)
|
|
|
Business
Development
Activities
|
|
|
Educational
Services
|
|
|
All
Other
Operations
|
|
|
Eliminations
|
|
|
Consolidated
Totals
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended Sept. 30,
2008
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
from external customers
|
|
|
|
|
$
|
187,035
|
|
|
$
|
83,377
|
|
|
|
|
|
$
|
270,412
|
|
Management
fees
|
|
|
|
|
|
|
|
|
|
126,000
|
|
|
$
|
(126,000
|
)
|
|
|
|
|
Interest
revenue
|
|
$
|
218,460
|
|
|
|
4,580
|
|
|
|
25,354
|
|
|
|
|
|
|
|
248,394
|
|
Investing
losses
|
|
|
|
|
|
|
|
|
|
|
(660
|
)
|
|
|
|
|
|
|
(660
|
)
|
Other
revenue
|
|
|
625
|
|
|
|
|
|
|
|
1,476
|
|
|
|
|
|
|
|
2,101
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
revenues
|
|
|
219,085
|
|
|
|
191,615
|
|
|
|
235,547
|
|
|
|
(126,000
|
)
|
|
|
520,247
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General
and administrative expenses
|
|
|
(336,334
|
)
|
|
|
(175,011
|
)
|
|
|
(404,025
|
)
|
|
|
126,000
|
|
|
|
(789,370
|
)
|
Income
tax expense
|
|
|
(510
|
)
|
|
|
(1,110
|
)
|
|
|
(520
|
)
|
|
|
|
|
|
|
(2,140
|
)
|
Minority
interest
|
|
|
51,945
|
|
|
|
(6,693
|
)
|
|
|
|
|
|
|
|
|
|
|
45,252
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income (loss) by segment
|
|
$
|
(65,814
|
)
|
|
$
|
8,801
|
|
|
$
|
(168,998
|
)
|
|
$
|
-
|
|
|
$
|
(226,011
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of Sept. 30, 2008
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets by segment
|
|
$
|
10,486,114
|
|
|
$
|
388,499
|
|
|
$
|
1,538,926
|
|
|
$
|
-
|
|
|
$
|
12,413,539
|
|
NOTE 4 -
Securities Owned
Marketable
securities owned as of September 30, 2009 and December 31, 2008, comprised
mainly of portfolio positions (equity securities) held for capital appreciation
consisted of the following:
|
|
|
|
|
September 30,
2009
|
|
|
December 31,
2008
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Percent
Owned
|
|
|
Estimated
Fair Value
|
|
|
Losses
in Accumulated Other Comprehensive Income
|
|
|
Estimated
Fair Value
|
|
|
Losses
in Accumulated Other Comprehensive Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GolfRounds.com,
Inc.
|
|
4.35
|
%
|
|
$
|
44,400
|
|
|
$
|
57,600
|
|
|
$
|
66,000
|
|
|
$
|
36,000
|
|
All
other equity securities
|
|
N/A
|
|
|
|
6,260
|
|
|
|
8,014
|
|
|
|
4,450
|
|
|
|
9,824
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
50,660
|
|
|
$
|
65,614
|
|
|
$
|
70,450
|
|
|
$
|
45,824
|
|
The
Company’s securities are valued at fair value. Fair value is
ordinarily the listed market price of the stock. If listed market
prices are not indicative of fair value or if liquidating the Company’s position
would reasonably be expected to impact market prices, fair value is determined
based on other relevant factors. Among the factors considered by
management in determining fair value of the portfolio positions are the
financial condition, asset composition and operating results of the issuer, the
long-term business potential of the issuer and other factors generally pertinent
to the valuation of investments, including the analysis of the valuation of
comparable companies.
NOTE 5 -
Capital Stock
Activity
Dividends
No
dividends were declared or paid during the three months ended September 30,
2009.
Common
Stock Repurchases
In August
2004, the Board of Directors approved a plan to repurchase up to 200,000 shares
of the Company’s common stock at prices deemed favorable in the open market or
in privately negotiated transactions subject to market conditions, the Company’s
financial position and other considerations. This program has no
expiration date. During the three and nine months ended September 30,
2009, 48 and 148 shares were repurchased for approximately $91 and $254,
respectively. During the three and nine months ended September 30,
2008, 5,539 shares were repurchased for approximately $9,178. As of
September 30, 2009, 64,771 shares remained authorized for repurchase under the
program.
NOTE 6 -
Net Income (Loss) Per
Share
Basic
income (loss) per share includes the weighted average number of common shares
outstanding during the year. Diluted income (loss) per share includes
the weighted average number of shares outstanding and dilutive potential common
shares, such as warrants and options. The Company had no common stock
options or warrants outstanding at September 30, 2009 and 2008.
NOTE
7 - Stock Option Plans
On
November 25, 2005, shareholders of the Company approved the 2005 Stock Option
Plan making a total of 400,000 common stock options available for
issuance. The Company did not record stock-based compensation expense
for the three and nine month periods ending September 30, 2009 and 2008,
respectively, as no options were earned during these periods. At
September 30, 2009, the Company had no common stock options
outstanding.
Kent
International Stock Options Plans
Kent
International has issued certain common stock options to its employees,
directors and consultants. At September 30, 2009 and December 31,
2008, Kent International had 200,000 common stock options
outstanding. Any exercises of these common stock options could have a
dilutive effect on the percentage of Kent International owned by the
Company.
NOTE 8 -
Related Party
Transactions
The
Company receives a monthly management fee of $21,000 from Kent International for
management services. These services include, among other things,
preparation of periodic and other filings with the Securities and Exchange
Commission, evaluating merger and acquisition proposals, providing internal
accounting services and shareholder relations. This arrangement may
be terminated at will by either party. The monthly management fee
revenue and offsetting expense is eliminated during
consolidation. The Company is the beneficial owner of approximately
53.44% of Kent International’s outstanding Common Stock at September 30,
2009. Paul O. Koether, Chairman of the Company is also the Chairman
of Kent International and the beneficial owner of or authorized proxy for
approximately 59.54% of the Company’s outstanding common stock. Bryan
P. Healey, Chief Financial Officer and Director of the Company is also the Chief
Financial Officer and Director of Kent International as well as the son-in-law
of Paul O. Koether.
The
Company and its consolidated subsidiaries reimburse an affiliate, Bedminster
Management Corp., for the allocated direct cost of group health insurance and
office supplies. These reimbursements were $15,216 and $50,639 in the
three and nine months ended September 30, 2009, respectively and $15,432 and
$43,364 in the three and nine months ended September 30, 2008,
respectively. Bedminster Management Corp. facilitates the allocation
of certain central administrative costs on a cost reimbursement basis and is
owned equally by Kent, Kent International and T.R. Winston & Company,
LLC.
NOTE
9 – Net Operating Loss Carryforwards
As of
December 31, 2008, the Company had approximately $2.6 million of net operating
loss carryforwards (“NOL”) for income tax purposes. In addition, Kent
International had approximately $63.4 million of NOL and $1.85 million of
research and development and foreign tax credit carryforwards available to
offset future federal income tax, subject to limitations for alternative minimum
tax. The NOL’s and tax credit carryforwards expire in various years
from 2009 through 2027. The Company’s and Kent International’s use of
operating loss carryforwards and tax credit carryforwards is subject to
limitations imposed by the Internal Revenue Code. Management believes
that the deferred tax assets as of September 30, 2009 do not satisfy the
realization criteria and has recorded a valuation allowance for the entire net
tax asset. By recording a valuation allowance for the entire amount
of future tax benefits, the Company has not recognized a deferred tax benefit
for income taxes in its statements of operations.
NOTE
10 – Subsequent Events
Subsequent
events were evaluated as of November 23, 2009, the day the financial statements
were issued.
Item
2.
-
|
Management's
Discussion and Analysis of Financial Condition and Results of
Operations
|
The
following discussion and analysis should be read in conjunction with the Annual
Report on Form 10-K for the fiscal year ended December 31, 2008, of Kent
Financial Services, Inc. (“Kent” or the “Company”) as well as the Company’s
financial statements and notes thereto included elsewhere in this Quarterly
Report on Form 10-Q. Statements in this report relating to future
plans, projections, events or conditions are forward-looking
statements. Such statements are subject to risks and uncertainties
that could cause actual results to differ materially from those
described. The Company expressly disclaims any obligation or
undertaking to update these statements in the future.
Kent‘s
business is comprised of the management of Kent International Holdings, Inc.
(“Kent International”) and Kent Educational Services, Inc. (“Kent
Educational”). Kent was formed in 1988 as a Delaware corporation and
reincorporated in Nevada in 2006 by a merger into a newly formed, wholly owned
Nevada subsidiary with the same name that was the surviving corporation of the
merger.
Kent
International
Kent
International is a publicly traded company (stock symbol “KNTH.PK”) that
operates a social networking website and was recently authorized to operate a
securities broker/dealer. Additionally it is seeking an acquisition
or merger with a company that has significant growth potential. Kent
Financial Services owned approximately 53.44% of Kent International at September
30, 2009.
On
November 23, 2009, Kent International’s subsidiary, Kent Capital, was authorized
to operate as a licensed securities broker/dealer. The Financial
Industry Regulatory Authority (FINRA) approved Kent Capital to operate under
three business lines; Private Placements, Real Estate Syndication and Trading
Securities for Our Own Account. Kent International intends to operate
the broker dealer in order to generate revenue and earnings. However, management
will continue to pursue merger or acquisition opportunities that offer
potentially profitable uses for the Company’s available capital. Kent
International’s initial investment in Kent Capital will be $350,000, with the
potential to increase the investment to $2,500,000 or more within the next year,
depending on the prospects for potential return on the investment.
Additionally,
Kent International has developed a niche social networking website,
www.ChinaUSPals.com
,
designed to promote cultural exchange between the citizens of the United States
and those of the People’s Republic of China. Membership to the site
is free, thus, any potential revenues will be derived from advertisements placed
on the site by third parties. The site provides users with access to
other users’ personal profiles and enables the user to send messages to other
registered users of similar interests in order to develop lasting friendships or
simply attain a pen pal. ChinaUSPals.com also features user generated
discussion forums and blogs as well as user submitted videos and
pictures. The site was redesigned in preparation for the 2008
Olympics and re-launched on August 6, 2008. Since then, site
membership has grown to over 6,100 members from the approximately 150 members
prior to the redesign.
Kent
International faces the risk that our website will not be viewable in China or
will be deliberately blocked by the government of the People’s Republic of
China. Internet usage and content are heavily regulated in China and
compliance with these laws and regulations may cause us to change or limit our
business practices in a manner adverse to our business. While Kent
International is encouraged by the membership and traffic growth since the
redesign, we cannot be certain that the growth rate will continue or that
existing members will continue using the site. Accordingly, Kent
International is reviewing strategic options available to ChinaUSPals.com
including selling the site, discontinuing promotional advertising, or shutting
down the site’s operations.
Kent
International does not expect that either the broker/dealer or the social
networking website will generate any significant revenues for an indefinite
period as these efforts are in their early stages. As a result, these
programs may produce significant losses until such time as meaningful revenues
are achieved.
Kent
Educational
Kent
Educational, a wholly owned subsidiary of Kent has a 60% controlling interest in
The Academy for Teaching and Leadership, Inc., (“The Academy”). The
Academy, headed by Dr. Saul Cooperman, a former Commissioner of Education in the
State of New Jersey, offers educators high quality programs designed to
dramatically improve themselves, their students and their
schools. The Academy brings together educators from school districts
to engage in quality programs related to curriculum, assessment, and
instructional strategies that have the potential to assist them in their own
development as well as to enhance the learning of their
students. Similarly, it offers administrators the latest programs in
leadership practices that can support their school district’s goals and give
them the skills to achieve their specific objectives.
Despite
ongoing business development activities, The Academy does not currently have any
customers under contract for services to be rendered during the 2009-2010 school
year. Accordingly, The Academy is currently reviewing its strategic
options including continuing to provide services to existing clients through an
outsourcing platform or discontinuation of services.
Results
of Operations
The
Company had a net loss of $145,687 or $.05 basic and diluted loss per share, for
the three months ended September 30, 2009 compared to a net loss of $92,775, or
$.03 basic and diluted loss per share for the comparable quarter in
2008. For the nine months ended September 30, 2009, the Company had a
net loss of $349,733 or $.13 basic and diluted loss per share, compared to a net
loss of $226,011, or $.08 basic and diluted loss per share for the nine months
ended September 30, 2008. The increases in the net losses were mainly
the result of decreases in interest and seminar fee revenue and administrative
fees paid by an un-affiliated investment partnership offset by decreased
expenses during the periods.
Revenue
The
Academy did not record any revenue for seminar fees for the three months ended
September 30, 2009 compared to $49,755 for seminars held during the three months
ended September 30, 2008. For the nine months ended September 30,
2009, seminar fees for seminars held by The Academy decreased to $164,567,
compared to $184,110 for the nine months ended September 30,
2008. The Company recognizes seminar revenue when the services are
provided. Despite ongoing business development activities, The
Academy does not currently have any customers under contract for services to be
rendered during the 2009-2010 school year. Accordingly, The Academy
is currently reviewing its strategic options including the complete
discontinuation of services.
Interest
and dividend revenue decreased to $4,487 for the three months ended September
30, 2009, from $65,654 for the three months ended September 30,
2008. For the nine months ended September 30, 2009, interest revenue
decreased to $17,243 from $248,394 for the nine months ended September 30,
2008. A decrease in the yield on short-term investments and cash
equivalents from 3.2% to 0.2% was the primary reason for the
decreases.
The
Company realized gains on securities transactions of $10,034 for the nine months
ended September 30, 2009 as compared to the realized losses on securities
transactions of $660 for the nine months ended September 30, 2008.
For the
three months ended September 30, 2009, other income decreased to $7,159 from
$9,179 for the three months ended September 30, 2008. Other income
decreased to $20,845 for the nine months ended September 30, 2009, from $88,403
for the nine months ended September 30, 2008, caused primarily by the decrease
in administrative fees paid by an un-affiliated investment
partnership. These administrative fees fluctuate based on the
performance of the investment partnership; as a result, based upon current
global financial market conditions we do not believe that these fees will return
to 2008 levels for the foreseeable future.
Expenses
General
and administrative expenses were $215,476 in the three months ended September
30, 2009 compared to $237,088 in the three months ended September 30, 2008, a
decrease of $21,612. For the nine months ended September 30, 2009,
general and administrative expenses decreased to $664,531 from $789,370 for the
nine months ended September 30, 2008, a decrease of $124,839 or
16%. The majority of the decrease for the nine month period in 2009
as compared to the nine month period in 2008 was made up of expenses at the
Academy related to production, marketing and fulfillment costs for the
Sex Over Sixty
DVD in the
amount of $56,784 that were incurred in 2008. Other significant
reductions in expenses included personnel costs which decreased $31,144, travel
and entertainment expenses which decreased $12,539, and costs of seminars held
by the Academy which decreased $44,418.
Liquidity
and Capital Resources
At
September 30, 2009, the Company had cash and cash equivalents of
$11,568,403. Cash and cash equivalents consist of cash held in banks
and brokerage firms and U.S. Treasury Bills with original maturities of three
months. Working capital at September 30, 2009 was approximately
$11.457 million. Management believes its cash and cash equivalents
are sufficient for its business activities for at least the next 12 months and
for the costs of starting of seeking an acquisition or an operating
business.
Net cash
used in operations was $521,297 in the nine months ended September 30, 2009,
compared to net cash used in operations of $214,233 in the comparable period of
2008. Cash used in operations is a direct result of operating
expenses offset by operating revenues and adjusted for changes in operating
assets and liabilities. The increase in net cash used in operations
was largely the result of the decrease in revenues as described
above.
Net cash
of $10,099,201 was provided by investing activities during the nine months ended
September 30, 2009 by the gain generated by the net purchases and sales of
marketable securities of $10,034 and by the sales and maturities of short-term
investments of $10,089,167. Net cash of $1,124,889 was provided by
investing activities during the period ended September 30, 2008 by the sales and
maturities of short-term investments of $12,696,681 and marketable securities of
$2,405, offset by the purchase of short-term investments of $11,549,243 and the
acquisition of property and equipment of $24,954.
$254 was
used for financing activities to repurchase 148 shares of common stock in the
nine months ending September 30, 2009, while $9,178 was used to repurchase 5,539
shares of common stock in the nine months ending September 30,
2008.
Other
Disclosures – Related Party Transactions
The
Company receives a monthly management fee of $21,000 from Kent International for
management services. These services include, among other things,
preparation of periodic and other filings with the Securities and Exchange
Commission, evaluating merger and acquisition proposals, providing internal
accounting services and shareholder relations. This arrangement may
be terminated at will by either party. The monthly management fee
revenue and offsetting expense is eliminated during
consolidation. The Company is the beneficial owner of approximately
53.44% of Kent International’s outstanding Common Stock at September 30,
2009. Paul O. Koether, Chairman of the Company is also the Chairman
of Kent International and the beneficial owner of or authorized proxy for
approximately 59.54% of the Company’s outstanding common stock. Bryan
P. Healey, Chief Financial Officer and Director of the Company is also the Chief
Financial Officer and Director of Kent International as well as the son-in-law
of Paul O. Koether.
The
Company and its consolidated subsidiaries reimburse an affiliate, Bedminster
Management Corp., for the allocated direct cost of group health insurance and
office supplies. These reimbursements were $15,216 and $50,639 in the
three and nine months ended September 30, 2009, respectively and $15,432 and
$43,364 in the three and nine months ended September 30, 2008,
respectively. Bedminster Management Corp. facilitates the allocation
of certain central administrative costs on a cost reimbursement basis and is
owned equally by Kent, Kent International and T.R. Winston & Company,
LLC.
Off-Balance
Sheet Arrangements
The
Company has no off-balance sheet arrangements
that have or are
reasonably likely to have a current or future effect on our financial condition
or results of operations.
ITEM
3.
-
|
Quantitative and
Qualitative Disclosure About Market
Risk.
|
Not
Applicable.
Item
4.
-
|
Controls and
Procedures
|
As of the
end of the period covered by this report, the Company carried out, under the
supervision and with the participation of the Company’s management, including
its Chief Executive Officer and Chief Financial Officer, an evaluation of the
effectiveness of the design and operation of the Company’s disclosure controls
and procedures (as defined in Rule 13a-15(e) and 15d-15(e) under the Securities
Exchange Act of 1934) in ensuring that information required to be disclosed by
the Company in its reports is recorded, processed, summarized and reported
within the required time periods. In carrying out that evaluation,
management identified a material weakness (as defined in Public Company
Accounting Oversight Board Standard No. 2) in our internal control over
financial reporting.
The
material weakness identified by Management consisted of inadequate staffing and
supervision within the bookkeeping and accounting operations of our
company. The relatively small number of employees who have
bookkeeping and accounting functions prevents us from segregating duties within
our internal control system. The inadequate segregation of duties is
a weakness because it could lead to the untimely identification and resolution
of accounting and disclosure matters or could lead to a failure to perform
timely and effective reviews. However, as there has been no instance
in which the company failed to identify or resolve a disclosure matter or failed
to perform a timely and effective review, management determined that the
addition of personnel to our bookkeeping and accounting operations is not an
efficient use of our resources at this time.
Accordingly,
based on their evaluation of our disclosure controls and procedures as of
September 30, 2009, the Company’s Chief Executive Officer and its Chief
Financial Officer have concluded that, as of that date, the Company’s controls
and procedures were not effective for the purposes described above.
There was
no change in the Company’s internal control over financial reporting (as defined
in Rule 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934)
during the quarter ended September 30, 2009 that has materially affected or is
reasonably likely to materially affect the Company’s internal control over
financial reporting.
PART II
-
|
OTHER
INFORMATION
|
ITEM
1.
-
|
Legal
Proceedings
|
None.
Not
Applicable
ITEM
2.
-
|
Unregistered Sales of
Equity Securities and Use of
Proceeds
|
Period
|
|
Total
Number of Shares Purchased
|
|
|
Average
Price Paid per Share
|
|
|
Total
Number of Shares Purchased as Part of Publicly Announced Plans or
Programs
|
|
|
Maximum
Number of Shares that May Yet Be Purchased Under the Plans or
Programs
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
July
1, 2009 –
July
31, 2009
|
|
|
|
|
|
|
|
|
|
|
|
64,819
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
August
1, 2009 –
August
31, 2009
|
|
|
|
|
|
|
|
|
|
|
|
64,819
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September
1, 2009 –
September
30, 2009
|
|
|
48
|
|
|
$
|
1.90
|
|
|
|
48
|
|
|
|
64,771
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
48
|
|
|
$
|
1.90
|
|
|
|
48
|
|
|
|
64,771
|
|
1) In
August 2004, the Board of Directors approved a stock repurchase program
authorizing the Company to repurchase up to 200,000 shares of its common
stock. This program has no expiration date.
ITEM
3.
-
|
Defaults Upon Senior
Securities
|
None.
ITEM
4.
-
|
Submission of Matters
to a Vote of Security
Holders
|
None.
ITEM
5.
-
|
Other
Information
|
None.
|
3.1
|
Bylaws
of the Registrant, as amended. (l)
|
|
3.2(a)
|
Articles
of Incorporation of Registrant, as amended (including certificate of stock
designation for $2.575 Cumulative Convertible Exchangeable Preferred
Stock). (2)
|
|
3.2(b)
|
Certificate
of Amendment to Certificate of Incorporation.
(3)
|
|
3.2(c)
|
Certificate
of Amendment to Certificate of Incorporation dated September 26, 1991.
(4)
|
|
10.1
|
Employment
Agreement dated May 12, 2008 by and between Kent Financial Services, Inc.
and Paul O. Koether. (5) **
|
|
10.2
|
Employment
Agreement dated May 1, 2006 by and between Kent Financial Services, Inc.
and Bryan P. Healey. (6) **
|
|
|
Certification
pursuant to Section 302 of the Sarbanes-Oxley Act of
2002.
|
|
|
Certification
pursuant to Section 302 of the Sarbanes-Oxley Act of
2002.
|
|
|
Certification
pursuant to Section 906 of the Sarbanes-Oxley Act of
2002.
|
(1)
|
Incorporated
by reference to Texas American Energy Corporation Registration Statement,
as amended, on Form S-l, No.
33-11109.
|
(2)
|
Incorporated
by reference to Texas American Energy Corporation Form 10-K, for the
fiscal year ended December 31,
1984.
|
(3)
|
Incorporated
by reference to Texas American Energy Corporation Form 10-K for the fiscal
year ended December 31, 1987.
|
(4)
|
Incorporated
by reference to Kent Financial Services, Inc. Form 10-Q for the quarter
ended September 30, 1991.
|
(5)
|
Incorporated
by reference to Kent Financial Services, Inc., Form 10-Q for the quarter
ended June 30, 2008.
|
(6)
|
Incorporated
by reference to Kent Financial Services, Inc. Form 8-K filed on May 1,
2006.
|
SIGNATURES
In
accordance with the requirements of the Exchange Act of 1934, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.
|
KENT
FINANCIAL SERVICES, INC.
|
|
|
|
|
|
|
|
|
|
|
|
Dated:
November 23, 2009
|
|
By:
|
/s/ Bryan P. Healey
|
|
|
|
|
Bryan
P. Healey
|
|
|
|
|
Chief
Financial Officer
|
|
|
|
|
(Principal
Financial and Accounting
Officer)
|
18
Kent Financial Services (NASDAQ:KENT)
Historical Stock Chart
From Aug 2024 to Sep 2024
Kent Financial Services (NASDAQ:KENT)
Historical Stock Chart
From Sep 2023 to Sep 2024