|
U.S. SECURITIES AND EXCHANGE
COMMISSION
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Washington, D.C.
20549
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FORM
10-K
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ANNUAL REPORT PURSUANT TO
SECTION 13 OR 15(d) OF THE SECURITIES
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EXCHANGE ACT OF
1934
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For the fiscal year ended December 31,
2008
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Commission file number:
333-147979
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CASEYCORP ENTERPRISES,
INC
.
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(Exact name of registrant as specified in
its charter)
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Nevada
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98-0523910
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(State of incorporation)
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(I.R.S. Employer Identification
No.)
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410 Park Avenue, 15
th
Floor
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New
York, New York 10022
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(Address of principal executive
offices)
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Tel: (888)
251-3422
(Registrant’s telephone number, including area
code)
Securities registered pursuant to
Section 12(b) of the Exchange Act:
None
Securities registered pursuant to
Section 12(g) of the Exchange Act:
Common Stock, $0.0001 par
value
Indicate by check mark if the registrant is a well-known
seasoned issuer, as defined in Rule 405 of the Securities Act.
Yes
o
No
x
Indicate by check mark if the registrant is not required to
file reports pursuant to Section 13 or Section 15(d) of the Act.
Yes
o
No
x
Check whether the issuer (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 if disclosure of delinquent filers
pursuant to Item 405 of Regulation S-K (§229.405 of this chapter) is not
contained herein, and will not be contained, to the best of registrant’s
knowledge, in definitive proxy or information statements incorporated by
reference in Part III of this Form 10-K or any amendment to this Form 10-K.
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 definitions of “large accelerated filer,” “accelerated
filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check
one):
|
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Large accelerated filer
o
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Accelerated filer
o
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Non-accelerated filer
o
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Smaller reporting company
x
|
(Do not check if a smaller reporting
company)
|
|
Indicate by check mark whether the registrant is a shell
company (as defined in Rule 12b-2 of the Act). Yes
x
No
o
State the aggregate market value of the voting and non-voting
common equity held by non-affiliates computed by reference to the price at which
the common equity was last sold, or the average bid and asked price of such
common equity, as of the last business day of the registrant’s most recently
computed second fiscal quarter. $11,250 based upon $0.001 per share which was
the last price at which the common equity was issued to non-affiliates in
consideration for consulting services rendered to the company, since there is no
public bid or ask price.
The number of shares of the issuer’s common stock issued and
outstanding as of March 23, 2009 was 11,250,000 shares.
Documents Incorporated By Reference:
None
TABLE OF CONTENTS
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14
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15
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P
ART
I
I
tem 1. Business
As used in this Annual Report on Form 10-K (this “Report”),
references to the “Company,” the “Registrant,” “we,” “our” or “us” refer to
CaseyCorp Enterprises, Inc., unless the context otherwise
indicates.
Forward-Looking
Statements
This Report contains forward-looking statements. For this
purpose, any statements contained in this Report that are not statements of
historical fact may be deemed to be forward-looking statements. Forward-looking
information includes statements relating to future actions, prospective
products, future performance or results of current or anticipated products,
sales and marketing efforts, costs and expenses, interest rates, outcome of
contingencies, financial condition, results of operations, liquidity, business
strategies, cost savings, objectives of management, and other matters. You can
identify forward-looking statements by those that are not historical in nature,
particularly those that use terminology such as “may,” “will,” “should,”
“expects,” “anticipates,” “contemplates,” “estimates,” “believes,” “plans,”
“projected,” “predicts,” “potential,” or “continue” or the negative of these
similar terms. The Private Securities Litigation Reform Act of 1995 provides a
“safe harbor” for forward-looking information to encourage companies to provide
prospective information about themselves without fear of litigation so long as
that information is identified as forward-looking and is accompanied by
meaningful cautionary statements identifying important factors that could cause
actual results to differ materially from those projected in the information.
These forward-looking statements are not guarantees of future
performance and involve risks, uncertainties and assumptions that we cannot
predict. In evaluating these forward-looking statements, you should consider
various factors, including the following: (a) those risks and uncertainties
related to general economic conditions, (b) whether we are able to manage our
planned growth efficiently and operate profitable operations, (c) whether we are
able to generate sufficient revenues or obtain financing to sustain and grow our
operations, (d) whether we are able to successfully fulfill our primary
requirements for cash, which are explained below under “Liquidity and Capital
Resources”. We assume no obligation to update forward-looking statements, except
as otherwise required under the applicable federal securities laws.
Corporate
Background
CaseyCorp Enterprises, Inc. was incorporated on February 21,
2007 in the State of Nevada. We have not generated any revenue to date and are a
development stage company. We are focused on developing and distributing
advanced surveillance and security products. Currently, due to increased global
terrorist threats and crime prevention activities, we believe that there is a
growing need for flexible and technologically advanced security and surveillance
products. We hope to offer security and surveillance products that will include
digital, audio, video and a third generation photoelectric transmission
technology security platform which is focused on enabling our product users to
have uninterrupted, high quality security surveillance capabilities. We hope
that our applications will allow users, such as municipal police departments,
office buildings, banks, retail and wholesale operations, to better monitor and
protect their respective areas of purview.
1
Our offices are currently located at 410 Park Avenue, 15
th
Floor, New York 10022.
Our telephone number is (888) 251-3422. We do not currently have a functioning
website.
Our Business
CaseyCorp Enterprises, Inc. is a development stage company
which was incorporated on February 21, 2007 in the state of Nevada. We have not
yet commenced operations, other than developing and trying to execute on our
business plan.
We are focused on developing and distributing advanced
surveillance and security products. Currently, due to increased global terrorist
threats and crime prevention activities, there is a growing need for
technologically advanced security and surveillance products. We hope to offer
security and surveillance products that will include digital, audio, video and a
third generation photoelectric transmission technology security platform which
is focused on enabling our product users to have uninterrupted, high quality
security surveillance capabilities. Our goal is to improve security and
surveillance capabilities by providing quality products to municipalities,
businesses and organizations that require reliable security measures. We hope
that the Company’s applications will allow users, such as municipal police
departments, office buildings, banks, retail and wholesale operations, to better
monitor and protect their respective areas of purview.
We anticipate providing our surveillance and security products
to customers through direct sales or distribution of equipment, as well as the
installation and maintenance for all of our hardware and software sold. The
various products that we will develop will be of a flexible and modular
architecture to allow our products and software to be installed one application
at a time or all at once, and to integrate easily with software developed by
other vendors or the client. This enables our clients to install our software
without the disruption and expense of replacing their existing software systems
to gain additional functionality.
Our Market
We have identified three primary markets for our security and
surveillance products and software solutions. Initial marketing will focus on
direct sales to municipalities, office buildings and retail establishments. Once
a strong customer is established we wish to enter the governmental
sector.
Objectives
Our goal is to improve security and surveillance capabilities
by providing quality products to municipalities, businesses and organizations
that require reliable security measures with an innovative third generation
digital security platform along with high quality surveillance equipment.
Product
Development
Our products are intended to assist municipalities, businesses
and organizations that require reliable security measures to improve operations
and optimize effectiveness. We believe that once we are able to offer our
customers an innovative third generation digital security platform along with
high quality surveillance equipment, we will improve the technological and
communication problems currently plaguing the surveillance and security arena.
2
Our equipment and software will eventually allow our customers
to integrate and upgrade their current surveillance. As providing products for
all these various potential clients would constitute dozens of intricate
programs that would require considerable time and financial resources to create,
we intend to approach product development in an incremental fashion.
|
|
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•
|
Stage 1 – Our initial efforts will be to
create a beta third generation surveillance programming platform which
will be designed to allow viewing of surveillance equipment feeds to our
clients through easy and secure internet access. This will allow our
customers direct viewing access via any internet portal to the area of
surveillance. Additionally, we would need to insure that our programming
platform will be compatible with the state of the art CCTV’s currently
available. When creating the beta products, we will utilize the assistance
of a wide array of professionals including security professionals,
programmers, website developers and marketing experts. Initially, we hope
to employ these professionals on a per diem or consulting
basis.
|
|
•
|
Stage 2 – Once our surveillance programming platform is
operational and revenue generating we intend to use any earned revenue we
may receive to commence development of our own closed caption television
cameras and lenses. This equipment will assist security minded
organizations to improve their surveillance capabilities in numerous
areas. These benefits will include improved integration, increased access
and the ability to consolidate their maintenance concerns. By
incrementally adding to our products in a methodical fashion we hope to
attract and retain a broad customer base.
|
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•
|
Stage 3 – To be effective on a long term basis it will
be a major imperative for us to remain relevant and interesting to our
customer base. We expect that creative and useful programming must be
developed on a continued basis and will remain an expense for the
foreseeable future. This need is further exaggerated by the ever changing
needs of the security field. Additionally, increased programming will
allow us to add to our product line and that will allow the company to
increase corporate revenue.
|
The incremental approach described above, will allow us to
begin product development on a limited financial budget. As revenues increase,
additional programs can be developed. Ultimately, we would like to have a
product line that offers our clients an efficient and easy way to monitor and
secure their respective objectives.
Marketing
Upon completion of our beta programs, the company will have a
need for a detailed marketing plan that will afford for a wide exposure of our
services to our preferred markets. Our preferred markets would
include:
|
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•
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Municipalities
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•
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Office Buildings/Complexes
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•
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Retail Organizations
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•
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Warehouses
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•
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Government Facilities
|
We hope to target our preferred markets with a thorough a
direct sales approach as well as an advertising campaign that would include
online and traditional print.
3
We expect to distribute our products through various means
including on a subscription basis via remote application-hosting services as an
Application Service Provider (ASP) or licensed and installed locally.
Competition
The security surveillance industry is highly competitive with
numerous large and small companies competing in the same market as the Company..
The products we plan to introduce will encounter strong competition from many
other companies, including many with greater financial resources than ours.
Among our competitors we include companies such as Vicon Industries, Inc., GVI
Security Solutions, Inc. and China Security & Surveillance Technology, INC.
As the security surveillance industry market continues to expand, we expect
there to be significant competition from companies similar to ours, as well as
from larger and more established companies.
Employees
We have no full time employees at this time. All functions,
including development, strategy, negotiations and clerical are currently being
provided without compensation by our two officers.
I
tem 1A. Risk Factors
Not required for Smaller Reporting Companies.
I
tem 1B. Unresolved Staff Comments
Not applicable.
I
tem 2. Properties
We do not lease or own any real property. We currently
maintain our corporate offices at 410 Park Avenue, 15th Floor, New York, NY
10022. We currently pay rent of $150, on a month to month basis, for this space.
We believe that this space will be sufficient until we start generating revenues
and need to hire employees.
I
tem 3. Legal Proceedings.
There are no pending legal proceedings against the Company or
which any of the Company’s property is the subject.
I
tem 4. Submission of Matters to a Vote of Security
Holders.
During the year ending December 31, 2008, there were no
matters which were submitted to a vote of the Company’s shareholders through the
solicitation of proxies or otherwise.
4
P
ART
II
I
tem 5. Market for Registrant’s Common Equity, Related Stockholder
Matters and Issuer Purchases of Equity Securities.
Market
Information
Our common stock is eligible to be traded on the
Over-The-Counter Bulletin Board, under the ticker symbol CCPR. However, there is
no established public trading market for our common stock.
Holders
As of March 23, 2009, there were 41 stockholders of record of
our common stock.
Dividends
We have never declared or paid any cash dividends on our
common stock nor do we anticipate paying any in the foreseeable future.
Furthermore, we expect to retain any future earnings to finance our operations
and expansion. The payment of cash dividends in the future will be at the
discretion of our Board of Directors and will depend upon our earnings levels,
capital requirements, any restrictive loan covenants and other factors the Board
considers relevant.
Equity
Compensation Plans
We do not have any equity compensation plans.
Purchases of
Equity Securities by the Small Business Issuer and Affiliated
Purchasers
We have not repurchased any shares of our common stock during
the fiscal year ended December 31, 2008.
I
tem 6. Selected Financial Data.
Not applicable.
I
tem 7. Management’s Discussion and Analysis of Financial Condition and
Results of Operations.
Certain statements contained in this prospectus, including
statements regarding the anticipated development and expansion of our business,
our intent, belief or current expectations, primarily with respect to the future
operating performance of CaseyCorp Enterprises, Inc. And the services we expect
to offer and other statements contained herein regarding matters that are not
historical facts, are “forward-looking” statements. Future filings with the
Securities and Exchange Commission, future press releases and future oral or
written statements made by us or with our approval, which are not statements of
historical fact, may contain forward-looking statements, because such statements
include risks and uncertainties, actual results may differ materially from those
expressed or implied by such forward-looking statements. All forward-looking
statements speak only as of the date on which they are made. We undertake no
obligation to update such statements to reflect events that occur or
circumstances that exist after the date on which they are made.
5
Overview
Caseycorp Enterprises, Inc. is focused on developing and
distributing of advanced surveillance and security products. With adequate
funding we feel that we are well positioned to execute our business
plan.
Plan of
Operation
Over the course of the next twelve month period we plan to
continue focusing our efforts on software development with the objective of
creating a beta practice management program which will be designed to automate
and streamline a number of administrative functions required for operating a
medical organization/practice. We recognize that our current management and
Board of Directors do not have sufficient business planning experience to create
these systems. Accordingly, it is our intention to seek out a consulting firm(s)
that specializes in this arena. Upon completion of our business plan we will
need to raise additional funds to retain the services of professionals.
Additionally, we will utilize this time period to actively seek out qualified
individuals who can assume key management positions to assist the company in
attaining its stated goals.
Results of
Operations
We are a development stage company and have not generated any
revenues to date. Our expenses in the year ended December 31, 2008 amounted to
$40,882, as compared to $21,317 in the period from February 21, 2007 (inception)
to December 31, 2007. Expenses in 2008 included $37,529 in professional fees,
incurred in connection with the preparation of our financial statements and
$3,353 of miscellaneous other expenses.
Our net loss in the year ended December 31, 2008, amounted to
$41,074, as compared to $21,317 in the period from February 21, 2007 (inception)
to December 31, 2007.
Liquidity and Capital
Resources
We had no cash at December 31, 2008, as compared to cash in
the amount of $26,147 at December 31, 2007. Cash and cash equivalents from
inception to date have been sufficient to provide the operating capital
necessary to operate to date. As of the date hereof, we do not have sufficient
resources to effectuate our business plan. We expect to incur a minimum of
$100,000 in expenses during the next twelve months of operations. We estimate
that this will be comprised mostly of development and operating expenses
including; $75,000 towards software development, $5,000 towards marketing
materials and website. Additionally, $20,000 will be needed for general overhead
expenses such as for reimbursed expenses, corporate legal and accounting fees,
office overhead and general working capital. Accordingly, we will have to raise
the funds to pay for these expenses. We might do so through a private offering.
We potentially will have to issue debt or equity or enter into a strategic
arrangement with a third party. There can be no assurance that additional
capital will be available to us. We currently have no agreements, arrangements
or understandings with any person to obtain funds through bank loans, lines of
credit or any other sources.
Going Concern
Consideration
Our independent auditors included an explanatory paragraph in
their report on the accompanying financial statements regarding concerns about
our ability to continue as a going concern. Our financial statements contain
additional note disclosures describing the circumstances that lead to this
disclosure by our independent auditors.
6
Off-Balance Sheet
Arrangements
We have no off-balance sheet arrangements.
I
tem 7A. Quantitative and Qualitative Disclosures About Market
Risk.
Not applicable.
I
tem 8. Financial Statements.
CASEYCORP ENTERPRISES, INC
(A
DEVELOPMENT STAGE COMPANY)
INDEX TO FINANCIAL STATEMENTS
DECEMBER 31,
2008
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Page
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F-1 – F-2
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Financial Statements:
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F-3
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F-4
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F-5
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F-6
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F-7
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7
R
EPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING
FIRM
Board of Directors and Stockholders
Caseycorp Enterprises,
Inc.
We have audited the accompanying balance sheet of Caseycorp
Enterprises, Inc. (a Development Stage Company) (“the Company”) as of December
31, 2008 and the related statements of operations, stockholders’ deficiency and
cash flows for the year then ended. These financial statements are the
responsibility of the Company’s management. Our responsibility is to express an
opinion on these financial statements based on our audit.
The balance sheet as of December 31, 2007 and the statement of
operations, changes in stockholders’ deficit and cash flows of the company for
the period then ended were audited by other auditors whose unqualified opinion
on those financial statements was rendered on March 18, 2008 and whose report
has been furnished to us and our opinion, insofar as it relates to the amounts
included for the year 2007, is based solely on the report of other auditors.
Those financial statements include an explanatory paragraph describing
conditions that raised substantial doubt about the Company’s ability to continue
as a “going concern.”
We conducted our audit in accordance with the standards of the
Public Company Accounting Oversight Board (United States). Those standards
require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement. The Company
is not required to have, nor were we engaged to perform, an audit of its
internal control over financial reporting. Our audit included consideration of
internal control over financial reporting as a basis for designing audit
procedures that are appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the Company’s internal control
over financial reporting. Accordingly, we express no such opinion. Also, an
audit includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements, assessing the accounting principles
used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.
In our opinion, the financial statements referred to above
present fairly, in all material respects, the financial position of Caseycorp
Enterprises, Inc. at December 31, 2008, and the results of its operations and
its cash flows for the year then ended in conformity with accounting principles
generally accepted in the United States of America.
The accompanying financial statements have been prepared
assuming the Company will continue as a going concern. As discussed in Note 2 to
the financial statements, the Company has incurred an operating loss for the
period February 21, 2007 (inception) to December 31, 2008, has had no revenues
and has not commenced planned principal operations. These factors raise
substantial doubt about the Company’s ability to continue as a going concern.
Management’s plans regarding those matters are also described in Note 2. The
financial statements do not include any adjustments that might result from the
outcome of this uncertainty.
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/s/ Barzily & Co.
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Jerusalem, Israel
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March 23, 2009
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F-1
REPORT OF
INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
Board of Directors and Stockholders
CaseyCorp Enterprises,
Inc.
We have audited the accompanying balance sheet of CaseyCorp
Enterprises, Inc. (a Development Stage Company) (“the Company”) as of December
31, 2007 and the related statements of operations, stockholders’ equity and cash
flows for the period February 21, 2007 (inception) to December 31, 2007. These
financial statements are the responsibility of the Company’s management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with the standards of the
Public Company Accounting Oversight Board (United States). Those standards
require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement. The Company
is not required to have, nor were we engaged to perform, an audit of its
internal control over financial reporting. Our audit included consideration of
internal control over financial reporting as a basis for designing audit
procedures that are appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the Company’s internal control
over financial reporting. Accordingly, we express no such opinion. Also, an
audit includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements, assessing the accounting principles
used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.
In our opinion, the financial statements referred to above
present fairly, in all material respects, the financial position of CaseyCorp
Enterprises, Inc. at December 31, 2007, and the results of its operations and
its cash flows for the period February 21, 2007 (inception) to December 31, 2007
in conformity with accounting principles generally accepted in the United States
of America.
The accompanying financial statements have been prepared
assuming the Company will continue as a going concern. As discussed in Note 2 to
the financial statements, the Company has incurred an operating loss for the
period February 21, 2007 (inception) to December 31, 2007, has had no revenues
and has not commenced planned principal operations. These factors raise
substantial doubt about the Company’s ability to continue as a going concern.
Management’s plans regarding those matters are also described in Note 2. The
financial statements do not include any adjustments that might result from the
outcome of this uncertainty.
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/s/ WOLINETZ, LAFAZAN & COMPANY, P.C.
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Rockville Centre, New York
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March 18, 2008
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F-2
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
BALANCE
SHEETS
ASSETS
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At
December 31,
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At
December 31,
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2008
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2007
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Current
assets:
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Cash
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$
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--
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$
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26,147
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Total
current assets
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--
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26,147
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Total
assets
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$
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--
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$
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26,147
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LIABILITIES
AND STOCKHOLDERS' EQUITY (DEFICIENCY)
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Current
liabilities:
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Accounts
payable and accrued liabilities
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$
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12,091
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$
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1,664
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Loans
payable
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4,500
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--
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Total
current liabilities
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16,591
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1,664
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Commitments
and contingencies
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--
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--
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Stockholders'
equity (deficiency):
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Preferred
stock, $0.0001 par value; 5,000,000
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shares
authorized, none issued and outstanding
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Common
stock, $0.0001 par value; 500,000,000
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shares
authorized, 11,000,000 shares issued
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and
outstanding
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1,100
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1,100
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Additional
paid-in capital
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44,700
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44,700
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Deficit
accumulated during the development stage
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(62,391
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)
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(21,317
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)
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Total
stockholders' equity (deficiency)
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(16,591
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)
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24,483
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|
|
|
|
|
|
|
|
|
|
Total
liabilities and stockholders' equity (deficiency)
|
|
$
|
--
|
|
|
$
|
26,147
|
|
The accompanying notes are an integral part of
these financial statements.
F-3
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
STATEMENTS OF
OPERATIONS
|
|
|
|
|
For
the period
|
|
|
For
the period
|
|
|
|
|
|
|
February
21, 2007
|
|
|
February
21, 2007
|
|
|
|
For
the year
|
|
|
(inception)
|
|
|
(inception)
|
|
|
|
ended
|
|
|
to
|
|
|
to
|
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
|
2008
|
|
|
2007
|
|
|
2008
|
|
Net
revenues
|
|
$
|
--
|
|
|
$
|
--
|
|
|
$
|
--
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs
and expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Professional
fees
|
|
|
37,529
|
|
|
|
17,500
|
|
|
|
55,029
|
|
General
and administrative
expenses
|
|
|
3,353
|
|
|
|
2,664
|
|
|
|
6,017
|
|
Start
up costs
|
|
|
|
|
|
|
1,153
|
|
|
|
1,153
|
|
Total
costs and expenses
|
|
|
40,882
|
|
|
|
21,317
|
|
|
|
62,199
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
loss
|
|
|
(40,882
|
)
|
|
|
(21,317
|
)
|
|
|
(62,199
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
(192
|
)
|
|
|
--
|
|
|
|
(192
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss
|
|
$
|
(41,074
|
)
|
|
$
|
(21,317
|
)
|
|
$
|
(62,391
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
and diluted loss per share
|
|
$
|
(0.00
|
)
|
|
$
|
(0.00
|
)
|
|
$
|
(0.00
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted
average common shares outstanding
|
|
|
11,000,000
|
|
|
|
10,644,231
|
|
|
|
10,832,106
|
|
The accompanying notes are an integral part of
these financial statements.
F-4
CASEYCORP ENTERPRISES, INC..
(A
DEVELOPMENT STAGE COMPANY)
S
TATEMENT OF STOCKHOLERS’ EQUITY
(DEFICIENCY)
|
|
|
|
|
|
|
|
|
|
|
Deficit
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
accumulated
|
|
|
|
|
|
|
|
|
|
|
|
|
Additional
|
|
|
during
the
|
|
|
|
|
|
|
Common
Stock
|
|
|
paid-in
|
|
|
development
|
|
|
|
|
|
|
shares
|
|
|
amount
|
|
|
capital
|
|
|
stage
|
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance
at February 21, 2007
|
|
|
|
|
$
|
--
|
|
|
$
|
--
|
|
|
$
|
--
|
|
|
$
|
--
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
stock issued to founders
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
at
$0.0001 per share
|
|
|
8,000,000
|
|
|
|
800
|
|
|
|
--
|
|
|
|
--
|
|
|
|
800
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
stock issued to private
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
investors
at $0.015 per share
|
|
|
3,000,000
|
|
|
|
300
|
|
|
|
44,700
|
|
|
|
--
|
|
|
|
45,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss for the period
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(21,317
|
)
|
|
|
(21,317
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance
at December 31, 2007
|
|
|
11,000,000
|
|
|
$
|
1,100
|
|
|
$
|
44,700
|
|
|
$
|
(21,317
|
)
|
|
$
|
24,483
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss for year ended December 31, 2008
|
|
|
--
|
|
|
|
--
|
|
|
|
--
|
|
|
|
(41,074
|
)
|
|
|
(41,074
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance
at December 31, 2008
|
|
|
11,000,000
|
|
|
$
|
1,100
|
|
|
$
|
44,700
|
|
|
$
|
(62,391
|
)
|
|
$
|
(16,591
|
)
|
The accompanying notes are an integral part of
these financial statements.
F-5
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
S
TATEMENTS OF CASH
FLOWS
|
|
|
|
|
For
the period
|
|
|
For
the period
|
|
|
|
|
|
|
February
21, 2007
|
|
|
February
21, 2007
|
|
|
|
For
the year
|
|
|
(inception)
|
|
|
(inception)
|
|
|
|
ended
|
|
|
to
|
|
|
to
|
|
|
|
December
31,
|
|
|
December
31,
|
|
|
December
31,
|
|
|
|
2008
|
|
|
2007
|
|
|
2008
|
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from operating activities:
|
|
|
|
|
|
|
|
|
|
Net
loss
|
|
$
|
(41,074
|
)
|
|
$
|
(21,317
|
)
|
|
$
|
(62,391
|
)
|
Adjustments
to reconcile net loss to net cash
|
|
|
|
|
|
|
|
|
|
|
|
|
used in operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Changes
in assets and liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase
in accounts payable
|
|
|
|
|
|
|
|
|
|
|
|
|
and
accrued liabilities
|
|
|
10,427
|
|
|
|
1,664
|
|
|
|
12,091
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash used in operating activities
|
|
|
(30,647
|
)
|
|
|
(19,653
|
)
|
|
|
(50,300
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from financing activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Proceeds
of borrowings
|
|
|
4,500
|
|
|
|
--
|
|
|
|
4,500
|
|
Proceeds
from sale of common stock
|
|
|
--
|
|
|
|
45,800
|
|
|
|
45,800
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
cash provided by financing activities
|
|
|
4,500
|
|
|
|
45,800
|
|
|
|
50,300
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase
(decrease) in cash
|
|
|
(26,147
|
)
|
|
|
26,147
|
|
|
|
--
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
- beginning of period
|
|
|
26,147
|
|
|
|
--
|
|
|
|
--
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash
- end of period
|
|
$
|
--
|
|
|
$
|
26,147
|
|
|
$
|
--
|
|
The accompanying notes are an integral part of
these financial statements.
F-6
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
N
OTES TO FINANCIAL
STATEMENTS
NOTE 1 -
GENERAL
Caseycorp Enterprises, Inc. (“the Company”) was incorporated
on February 21, 2007 under the laws of the State of Nevada.
The company is focused on developing and distributing advanced
surveillance and security products. Currently, due to increased global terrorist
threats and crime prevention activities, there is a growing need for
technologically advanced security and surveillance products. The Company
anticipates providing surveillance and security products to customers through
direct sales or distribution of equipment, as well as the installation and
maintenance for all of its hardware and software sold.
There is no assurance, however, that the Company will achieve
its objectives or goals.
NOTE 2 –
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of
Presentation
Our financial statements and accompanying notes have been
prepared in accordance with accounting principles generally accepted in the
United States of America.
We do not participate in, nor have we created, any off-balance
sheet special purpose entities or other off-balance sheet
financing.
We have identified the accounting policies below as critical
to our business operations and the understanding of our results of
operations.
Use of
Estimates
The preparation of financial statements in conformity with
U.S. generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities as of December 31, 2008, and expenses for the period then ended, and
cumulative from inception. Actual results could differ from those estimates made
by management
Cash and Cash
Equivalents
The Company considers all highly liquid investments purchased
with maturities of three months or less at the date acquired to be cash
equivalents.
F-7
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
NOTES TO FINANCIAL STATEMENTS
NOTE 2 –
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Revenue
Recognition
For revenue from product sales, the Company will recognize
revenue in accordance with Staff Accounting Bulletin No. 104, “Revenue
Recognition” (SAB No. 104), which superseded Staff Accounting Bulletin No. 101,
“Revenue Recognition in Financial Statements” (SAB No. 101). SAB No. 104
requires that four basic criteria must be met before revenue can be recognized:
(1) persuasive evidence of an arrangement exists; (2) delivery has occurred; (3)
the selling price is fixed and determinable; and (4) collectability is
reasonably assured. Determination of criteria (3) and (4) are based on
management’s judgment regarding the fixed nature of the selling prices of the
products delivered and the collectability of those amounts. Provisions for
discounts and rebates to customers, estimated returns and allowance, and other
adjustments will be provided for in the same period the related sales are
recorded.
Loss per Common
Share
Basic loss per share is computed by dividing the net loss
attributable to the common stockholders by the weighted average number of shares
of common stock outstanding during the period. Fully diluted loss per share is
computed similar to basic loss per share except that the denominator is
increased to include the number of additional common shares that would have been
outstanding if the potential common shares had been issued and if the additional
common shares were dilutive. There were no dilutive financial instruments issued
or outstanding for the year ended December 31, 2008
Income
Taxes
The Company accounts for income taxes in
accordance with Statement of Financial Accounting Standards No. 109, “Accounting
for Income Taxes” (“SFAS No. 109”). This Statement prescribes the use of the
liability method whereby deferred tax assets and liability account balances are
determined based on differences between financial reporting and tax bases of
assets and liabilities and are measured using the enacted tax rates and laws
that will be in effect when the differences are expected to reverse. The Company
provides a valuation allowance, if necessary to reduce the amount of deferred
tax assets to their estimated realizable value.
F-8
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
NOTES TO FINANCIAL STATEMENTS
NOTE 2 –
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Fair Value of Financial
Instruments
The Company estimates the fair value of financial instruments
using the available market information and valuation methods. Considerable
judgment is required in estimating fair value. Accordingly, the estimates of
fair value may not be indicative of the amounts the Company could realize in a
current market exchange. As of December 31, 2008, the carrying value of accrued
liabilities and loans approximated fair value due to the short-term nature and
maturity of these instruments.
Deferred Offering
Costs
The Company defers as other assets the direct incremental
costs of raising capital until such time as the offering is completed. At the
time of the completion of the offering, the costs are charged against the
capital raised. Should the offering be terminated, deferred offering costs are
charged to operations during the period in which the offering is
terminated.
Fiscal Year
End
The Company has adopted a fiscal year end of December
31.
Recently Issued Accounting
Pronouncements
SFAS 157 –
Fair Value Measurement:
In September 2006, the FASB issued SFAS No. 157,
“Fair Value Measurements (“FAS 157”). This standard defines fair value,
establishes a framework and gives guidance regarding the methods used for
measuring fair value, and expands disclosures about fair value measurements.
This standard is effective for financial statements issued for fiscal years
beginning after November 15, 2007. In February 2008, the FASB released a FASB
Staff Position (FSP FAS 157-2- Effective Date of FASB Statement No. 157) which
delays the effective date of SFAS No. 157 for all non-financial assets and
non-financial liabilities, except those that are recognized or disclosed at fair
value in the financial statements on a recurring basis (at least annually) to
fiscal years beginning after November 15, 2008. The partial adoption of SFAS No.
157 on January 1, 2008, for financial assets and liabilities did not have a
material impact on the Company’s financial position or results of operations.
FSP No. 157-3: Determining the
Fair Value of a Financial Asset When the Market for That Asset is Not Active
(“FSP No. 157-3”):
In October 2008, the FASB issued FSP No. 157-3, which
clarifies the application of SFAS No. 157 in a market that is not active
and provides an example to illustrate key considerations in determining the fair
value of a financial asset when the market for that financial asset is not
active. The guidance emphasizes that determining fair value in an inactive
market depends on the facts and circumstances and may require the use of
significant judgments. FSP No. 157-3 is effective upon issuance, including
prior periods for which financial statements have not been issued. The adoption
of FSP No. 157-3 did not have a material impact on the Company.
F-9
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
NOTES TO FINANCIAL STATEMENTS
NOTE 2 –
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Recently Issued Accounting
Pronouncements (continued)
SFAS 159-
The Fair Value Option for Financial Assets and Liabilities:
In February 2007, the FASB issued SFAS No. 159, “The Fair
Value Option for Financial Assets and Financial Liabilities - Including an
amendment of FASB Statement No. 115,” which provides a fair value option
election that permits entities to irrevocably elect to measure certain financial
assets and liabilities (exceptions are specifically identified in the Statement)
at fair value as the initial and subsequent measurement attribute, with changes
in fair value recognized in earnings as they occur. SFAS No. 159 permits the
fair value option election on an instrument-by-instrument basis at initial
recognition of an asset or liability or upon an event that gives rise to a new
basis of accounting for that instrument. The adoption of SFAS No. 159 on
January 1, 2008, for financial assets and liabilities did not have a material
impact on the Company’s financial position or results of
operations.
FSP FAS 133-1 and
FIN 45-4: Disclosures about Credit Derivatives and Certain Guarantees: An
Amendment of FASB Statement No. 133 and FASB Interpretation No.45; and
Clarification of the Effective Date of FASB Statement No. 161 (“FSP
No. FAS 133-1 & FIN 45-4” or “the FSP”):.
In September 2008, the FASB issued the FSP to address the
concerns of financial statement users that existing disclosure requirements
under SFAS No. 133 do not adequately reflect the potential adverse effects
of changes in credit risk on the financial statements of the sellers of credit
derivatives. FSP No. FAS 133-1 & FIN 45-4 requires
disclosure of additional information about these potential adverse effects of
changes in credit risk on the financial position, financial performance, and
cash flows of sellers of credit derivatives. The disclosures are required for
all credit derivatives, whether freestanding or embedded in a hybrid instrument.
The FSP also amends FIN No. 45 to require additional disclosure about the
current status of the payment performance risk of a guarantee. This new
disclosure applies to all guarantees, not just those related to credit risk. The
provisions in the FSP are effective for reporting periods ending after
November 15, 2008, or December 31, 2008. The Company has reviewed the
impact of FSP FAS 133-1 and FIN 45-4 and determined that it is not applicable
for the Company.
FSP No. FAS 140-4 and
FIN 46(R)-8: Disclosures by Public Entities (Enterprises) about Transfers
of Financial Assets and Interests in Variable Interest Entities (“FSP
No. FAS 140-4 & FIN 46(R)-8”).
In December 2008, the FASB issued FSP
No. FAS 140-4 & FIN 46(R)-8, which expands the required
disclosures pertaining to an enterprise’s involvement with VIEs and is intended
to provide more transparent information related to that involvement. The new
disclosure requirements include additional information regarding consolidated
VIEs as well as a requirement for sponsors of a VIE to disclose certain
information even if they do not hold a
F-10
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
NOTES TO FINANCIAL STATEMENTS
NOTE 2 –
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Recently Issued Accounting
Pronouncements (continued)
significant financial interest in the VIE. FSP
No. FAS 140-4 & FIN 46(R)-8 is effective for reporting
periods ending after December 15, 2008 but there was no material impact to
the Company disclosures.
The following accounting standards have been issued, but as of
December 31, 2008 are not yet effective and have not been adopted by the
Company.
SFAS No. 141(revised 2007):
Business Combinations (“SFAS No. 141(R)”) and SFAS No. 160:
Noncontrolling Interests in Consolidated Financial Statements, an amendment of
ARB No. 51 (“SFAS No. 160”):
In December 2007, the FASB issued SFAS No. 141(R)
and SFAS No. 160. SFAS No. 141(R) will significantly change how
business acquisitions are accounted for at the acquisition date and in
subsequent periods. The standard changes the accounting for the business
combination at the acquisition date to a fair value based approach rather than
the cost allocation approach currently used. Other differences include changes
in the accounting for acquisition related costs, contingencies and income taxes.
SFAS No. 160 changes the accounting and reporting for minority interests,
which will be classified as a component of equity and will be referred to as
noncontrolling interests. SFAS No. 141(R) and SFAS No. 160 will be
effective for public companies for fiscal years beginning on or after
December 15, 2008. SFAS No. 141(R) and SFAS No. 160 will be
applied prospectively, except for the presentation and disclosure requirements
in SFAS No. 160 for existing minority interests which will require
retroactive adoption. Early adoption is prohibited. The Company has reviewed the
future impact of SFAS No. 141(R) and SFAS No. 160 and determined that
is not applicable for the Company.
SFAS
No. 161 “Disclosures about Derivative Instruments and Hedging Activities”
(“SFAS No. 161”):
In March 2008, the FASB issued SFAS
No. 161 “Disclosures about Derivative Instruments and Hedging Activities”
(“SFAS No. 161”), which will require increased disclosures about an
entity’s strategies and objectives for using derivative instruments; the
location and amounts of derivative instruments in an entity’s financial
statements; how derivative instruments and related hedged items are accounted
for under SFAS No. 133, and how derivative instruments and related hedged
items affect its financial position, financial performance, and cash flows.
Certain disclosures will also be required with respect to derivative features
that are credit risk-related. SFAS No. 161 is effective for the Company
beginning on January 1, 2009 on a prospective basis. The Company does not
expect this standard to have a material impact on the Company’s results of
operations or financial condition.
F-11
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
NOTES TO FINANCIAL STATEMENTS
NOTE 2 –
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Recently Issued Accounting
Pronouncements (continued)
SFAS No 162:
The Hierarchy of Generally Accepted Accounting Principles (“SFAS No. 162”):
In May 2008, the FASB issued SFAS No. 162, which
identifies the framework, or hierarchy for selecting accounting principles to be
used in preparing financial statements presented in conformity with
U.S. GAAP. SFAS No. 162 amends the existing U.S. GAAP hierarchy
established and set forth in the American Institute of Certified Public
Accountants (“AICPA”) Statement of Auditing Standards No. 69, The Meaning
of Present Fairly in Conformity With Generally Accepted Accounting Principles
(“SAS 69”). The framework serves as a guide in determining the appropriate
accounting treatment to be used for a transaction or event. The Company does not
expect SFAS No. 162 to have an impact on the Company’s current accounting
practices. The Standard will become effective 60 days following the SEC’s
approval of Public Company Accounting Oversight Board (“PCAOB”) amendments to
AU Section 411, The Meaning of Present Fairly in Conformity with
Generally Accepted Accounting Principles.
FSP
No. FAS 142-3: Determination of the Useful Life of Intangible Assets
(“FSP No. FAS 142-3”):
In April 2008, the FASB issued FSP No. FAS 142-3,
which amends the factors considered in developing renewal or extension
assumptions used to determine the useful life of a recognized intangible asset
under SFAS No. 142. FSP No. 142-3 requires a consistent approach
between the useful life of a recognized intangible asset under SFAS No. 142
and the period of expected cash flows used to measure the fair value of an asset
under SFAS No. 141(R). The FSP also requires enhanced disclosures when an
intangible asset’s expected future cash flows are affected by an entity’s intent
and/or ability to renew or extend the arrangement. FSP No. 142-3 is
effective for financial statements issued for fiscal years beginning after
December 15, 2008, January 1, 2009 for the Company, and is to be
applied prospectively. Early adoption is prohibited. The Company has not
completed its analysis of the potential impact of FSP No. 142-3, but does
not believe the adoption will have a material impact on the Company’s financial
condition, results of operations, or cash flows.
FASB Staff
Position (“FSP”) Accounting Principles Board (“APB”) 14-1, Accounting for
Convertible Debt Instruments
That May Be Settled in Cash upon Conversion
(Including
Partial Cash
Settlement):
In May 2008, the FASB issued FASB Staff Position (“FSP”)
Accounting Principles Board (“APB”) 14-1, “Accounting for Convertible Debt
Instruments That May Be Settled in Cash upon Conversion (Including Partial Cash
Settlement).” FSP APB 14-1 applies to convertible debt instruments that, by
their stated terms, may be settled in cash (or other assets) upon conversion,
including partial cash settlement of the conversion option. FSP APB 14-1
requires bifurcation of the instrument into a debt component that is initially
recorded at fair value and an equity component. The difference between the fair
value of the debt component and the initial proceeds from issuance of the
instrument is recorded as a component of equity.
F-12
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
NOTES TO FINANCIAL STATEMENTS
NOTE 2 –
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Recently Issued Accounting
Pronouncements (continued)
The liability component of the debt instrument is accreted to
par using the effective yield method; accretion is reported as a component of
interest expense. The equity component is not subsequently re-valued as long as
it continues to qualify for equity treatment. FSP APB 14-1 must be applied
retrospectively to previously issued cash-settleable convertible instruments as
well as prospectively to newly issued instruments. FSP APB 14-1 is effective for
fiscal years beginning after December 15, 2008, and interim periods within
those fiscal years. We are currently evaluating the impact of FSP APB 14-1 to
our financial statements.
EITF 08-3: Accounting by
Lessees for Maintenance Deposits (“EITF 08-3”):
In June 2008, the Emerging Issues Task Force (“EITF”) issued
EITF 08-3, which clarifies how a lessee accounts for nonrefundable
maintenance deposits. Under EITF 08-3, nonrefundable maintenance deposits
will be recorded as a deposit asset and as reimbursable maintenance is performed
by the lessee, the underlying maintenance is expensed or capitalized in
accordance with the lessee’s accounting policy. EITF 08-3 is effective for
the Company beginning on January 1, 2009. Early adoption is not permitted.
The effect of adoption will be reflected as a change in accounting principle
through a cumulative effect adjustment to the opening balance of retained
earnings in the year of adoption. The Company is currently reviewing the
potential impact of EITF 08-3, but at this time does not believe it will
have a material impact on the Company’s financial statements.
FSP
No. FAS 132(R)-1: Employers’ Disclosures about Postretirement Benefit
Plan Assets (“FSP No. FAS 132(R)-1”):
In December 2008, the FASB issued FSP
No. FAS 132(R)-1, which provides guidance regarding an employer’s
disclosures about plan assets of a defined benefit pension or other
postretirement plan. The FSP is effective for fiscal years ending after
December 15, 2009, or the year ending December 31, 2009 for the
Company. The Company has reviewed FAS 132 (R) and determined is not applicable
for the Company.
EITF 08-6: Equity Method
Investment Accounting Considerations (“EITF 08-6”):
In November 2008, EITF 08-6 was issued. This Issue
clarifies the accounting for certain transactions and impairment considerations
involving equity method investments. EITF 08-6 makes certain amendments to
APB 18. The Company does not expect EITF 08-6 to have a significant
impact on current practice. EITF 08-6 is effective for fiscal years
beginning on or after December 15, 2008, and interim periods within those
fiscal years, consistent with the effective dates of Statement 141(R) and
Statement 160.
F-13
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
NOTES TO FINANCIAL STATEMENTS
NOTE 2 –
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Development Stage activities and
Going Concern
The Company is considered a development stage company as
defined in Statement of Financial Accounting Standards (“SFAS”) No. 7.
The Company has not commenced planned principal operations.
The Company had no revenues and incurred a net loss of $41,074 for the year
ended December 31, 2008 and a net loss of $62,391 for the period February 21,
2007 (date of inception) through December 31, 2008. These conditions raise
substantial doubt about the Company’s ability to continue as a going concern.
The accompanying financial statements do not include any adjustments related to
the recoverability or classification of asset-carrying amounts or the amounts
and classifications of liabilities that may result should the Company be unable
to continue as a going concern.
The Company is attempting to address its lack of liquidity by
raising additional funds. There can be no assurance that sufficient funds will
be generated during the next periods or that funds will be available from
external sources such as debt or equity financings or other potential sources.
The lack of additional capital could force the Company to curtail or cease
operations and would, therefore, have a material adverse effect on its planned
and intended business. Furthermore, there can be no assurance that any such
required funds, if available, will be available on attractive terms or that they
will not have a significant dilutive effect on the Company’s existing
stockholders.
NOTE 3 -
COMMON STOCK
In February 2007 the Company issued 8,000,000 shares of common
stock at $.0001 per share to two individuals who are the founders of the Company
for proceeds of $800.
In March 2007 the Company sold 3,000,000 shares of common
stock at $.015 per share to private investors for proceeds of
$45,000.
F-14
CASEYCORP ENTERPRISES, INC.
(A
DEVELOPMENT STAGE COMPANY)
NOTES TO FINANCIAL STATEMENTS
NOTE 4 -
DEFERRED OFFERING COSTS
Deferred offering costs of $17,500 related to a proposed
offering of common stock by the Company were written offing during the period
February 21, 2007 (inception) to December 31, 2007 as professional fees since
such proposed offering was terminated on March 6, 2008.
NOTE 5 –
LOANS PAYABLE
Loans payable bear interest at 8% per annum and due on
demand.
NOTE 6 –
AGREEMENT FOR BUSINESS ACQUISITION
On September 23, 2008, the Company entered into an agreement
with Picitup Israel Ltd., an Israeli corporation (“Picitup”), and Albumeyes
Corp., a Nevada corporation (“Albumeyes”), whereby the Company shall acquire
Albumeyes, with the result that Albumeyes shall become a wholly owned subsidiary
of the Company. Picitup is a wholly owned subsidiary of Albumeyes.
Albumeyes is a holding company whose primary asset is 100% of
the outstanding shares of Picitup. Picitup is a visual search engine which
allows images to be searched by their properties and not just by their names or
tags.
Pursuant to the September 23, 2008 agreement, the Company was
to purchase all of the outstanding shares of Albumeyes. In addition, certain
shareholders of Picitup were to purchase shares of Company common stock held by
current shareholders of the Company, as well as newly issued shares of the
Company, so that at the closing of the transaction, these Picitup shareholders
will own approximately 51% of the Company. The agreement also stated that
current directors and officers of the Company shall resign at the closing.
The closing of this transaction was contingent upon, among
other things, shareholder approval of an amendment to the Company’s bylaws. As
of December 31, 2008 the agreement has ceased from being effective and no
acquisition actually took place.
NOTE 7 –
SUBSEQUENT EVENT
In January 2009 the Company issued 250,000 shares of its
common stock to service providers in consideration of services rendered totaling
$250.
F-15
I
tem 9 Changes in and Disagreements With Accountants on Accounting and
Financial Disclosure.
None
I
tem 9A (T). Controls and Procedures.
(a)
Conclusions Regarding Disclosure
Controls and Procedures
. Disclosure controls and procedures are the
Company’s controls and other procedures that are designed to ensure that
information required to be disclosed by the Company in the reports that the
Company files or submits under the Exchange Act is recorded, processed,
summarized and reported, within the time periods specified in the Securities and
Exchange Commission’s rules and forms. Disclosure controls and procedures
include, without limitation, controls and procedures designed to ensure that
information required to be disclosed by the Company in the reports that it files
under the Exchange Act is accumulated and communicated to the Company’s
management, including its Chief Executive Officer and Chief Financial Officer,
as appropriate to allow timely decisions regarding required disclosure.
Management is responsible for establishing and maintaining adequate internal
control over financial reporting.
Under the supervision and with the participation of our
management, including our principal executive officer and principal financial
officer, we conducted an evaluation of our disclosure controls and procedures,
as such term is defined under Rule 13a-14(c) promulgated under the Exchange Act
as of December 31, 2008, and, based on their evaluation, as of the end of such
period, our disclosure controls and procedures were effective as of the end of
the period covered by the Annual Report.
(b)
Management’s Report On Internal
Control Over Financial Reporting
. It is management’s responsibilities to
establish and maintain adequate internal controls over the Company’s financial
reporting. Internal control over financial reporting is defined in Rule
13a-15(f) or 15d-15(f) promulgated under the Exchange Act as a process designed
by, or under the supervision of, the issuer’s principal executive and principal
financial officers and effected by the issuer’s management and other personnel,
to provide reasonable assurance regarding the reliability of financial reporting
and the preparation of financial statements for external purposes in accordance
with generally accepted accounting principles and includes those policies and
procedures that:
•
Pertain to the maintenance of records that in reasonable detail accurately and
fairly reflect the transactions and dispositions of the assets of the
issuer;
•
Provide reasonable assurance that transactions are recorded as necessary to
permit preparation of financial statements in accordance with generally accepted
accounting principles and that receipts and expenditures of the issuer are being
made only in accordance with authorizations of management of the issuer;
and
•
Provide reasonable assurance regarding prevention or timely detection of
unauthorized acquisition, use or disposition of the issuer’s assets that could
have a material effect on the financial statements.
8
As of the end of the period covered by the Annual Report, an
evaluation was carried out under the supervision and with the participation of
our management, including our Chief Executive Officer and Chief Financial
Officer, of the effectiveness of our internal control over financial reporting.
Management assessed the effectiveness of our internal control over financial
reporting as of December 31, 2008. In making this assessment, management used
the criteria set forth by the Committee of Sponsoring Organizations of the
Treadway Commission in Internal Control-Integrated Framework.
Based on that evaluation, our Chief Executive Officer and
Chief Financial Officer have concluded that, as of the end of such period, our
disclosure controls and procedures were effective.
Because of its inherent limitations, internal control over
financial reporting may not prevent or detect misstatements. Projections of any
evaluation of effectiveness to future periods are subject to the risk that
controls may become inadequate because of changes in conditions, or that the
degree of compliance with the policies or procedures may deteriorate. All
internal control systems, no matter how well designed, have inherent
limitations. Therefore, even those systems determined to be effective can
provide only reasonable assurance with respect to financial statement
preparation and presentation. Because of the inherent limitations of internal
control, there is a risk that material misstatements may not be prevented or
detected on a timely basis by internal control over financial reporting.
However, these inherent limitations are known features of the financial
reporting process. Therefore, it is possible to design into the process
safeguards to reduce, though not eliminate, this risk.
This Annual Report does not include an attestation report of
our registered public accounting firm regarding internal control over financial
reporting. Management’s report was not subject to attestation by our registered
public accounting firm pursuant to temporary rules of the Securities and
Exchange Commission that permit us to provide only management’s report in this
Annual Report.
(c)
Changes
in Internal Control Over Financial Reporting
. There were no changes in
our internal control over financial reporting identified in connection with the
evaluation required by paragraph (d) of Exchange Act Rules 13a-15 or 15d-15 that
occurred during our last fiscal quarter that have materially affected, or are
reasonably likely to materially affect, our internal control over financial
reporting.
I
tem 9B. Other Information.
None.
9
P
ART
III
I
tem 10. Directors, Executive Officers and Corporate
Governance.
Directors and Executive
Officers
The following table sets forth certain information regarding
the members of our board of directors and our executive
officers:
|
|
|
|
|
Name
|
|
Age
|
|
Positions and Offices
Held
|
Israel Levy
410 Park Avenue
15
th
Floor
New York,
NY 10022
|
|
30
|
|
Director, Chairman, Chief
Executive Officer,
President and Treasurer
|
Yehoshua Lustig
410 Park Avenue
15
th
Floor
New York,
NY 10022
|
|
29
|
|
Director and Secretary
|
Mr. Israel Levy has been our Chairman, Chief Executive
Officer, President, Treasurer and a Director since the Company’s inception. Mr.
Levy currently owns and operates a small software development firm and has been
doing so since the fall of 2001. His area of expertise is assisting start-up
medical practices to implement effective surveillance systems. Prior to starting
his own consulting business in Jerusalem, Israel, Israel worked as a software
programmer at the office of LygroTech in Jerusalem, Israel during the period of
1999 through the summer of 2001.
Mr. Yehoshua Lustig has been our Secretary and a Director
since the Company’s inception. Mr. Lustig is currently an accounting tutor to
university students in Tel-Aviv and Jerusalem, Israel. Yehoshua has operated in
this capacity since the summer of 2003. For two years prior, Yehoshua served as
a teaching assistant for high school mathematics. Additionally, Yehoshua intends
to return to school on a part-time basis to earn a masters degree in accounting.
There are no familial relationships among any of our directors
or officers. None of our directors or officers is a director in any other U.S.
reporting companies. None of our directors or officers has been affiliated with
any company that has filed for bankruptcy within the last five years. The
Company is not aware of any proceedings to which any of the Company’s officers
or directors, or any associate of any such officer or director, is a party
adverse to the Company or any of the Company’s subsidiaries or has a material
interest adverse to it or any of its subsidiaries.
Each director of the Company serves for a term of one year or
until the successor is elected at the Company’s annual shareholders’ meeting and
is qualified, subject to removal by the Company’s shareholders. Each officer
serves, at the pleasure of the board of directors, for a term of one year and
until the successor is elected at the annual meeting of the board of directors
and is qualified.
10
Section 16(a) Beneficial Ownership
Reporting Compliance
Section 16(a) of the Securities Exchange Act of 1934 requires
officers and directors of the Company and persons who own more than ten percent
of a registered class of the Company’s equity securities to file reports of
ownership and changes in their ownership with the Securities and Exchange
Commission, and forward copies of such filings to the Company. We believe, based
solely on our review of the copies of such forms, that during the fiscal year
ended December 31, 2008, all reporting persons complied with all applicable
Section 16(a) filing requirements.
Auditors
Barzily & Co., an independent registered public accounting
firm, is our auditor.
We do not currently have a Code of Ethics applicable to our
principal executive, financial and accounting officers. We do not have a
“financial expert” on the board or an audit committee or nominating committee.
Potential Conflicts of
Interest
Since we do not have an audit or compensation committee
comprised of independent directors, the functions that would have been performed
by such committees are performed by our directors. The Board of Directors has
not established an audit committee and does not have an audit committee
financial expert, nor has the Board established a nominating committee. The
Board is of the opinion that such committees are not necessary since the Company
has only two directors, and to date, such directors have been performing the
functions of such committees. Thus, there is a potential conflict of interest in
that our directors and officers have the authority to determine issues
concerning management compensation, nominations, and audit issues that may
affect management decisions. We are not aware of any other conflicts of interest
with any of our executive officers or directors.
Involvement in Certain Legal
Proceedings
There are no legal proceedings that have occurred within the
past five years concerning our directors, or control persons which involved a
criminal conviction, a criminal proceeding, an administrative or civil
proceeding limiting one’s participation in the securities or banking industries,
or a finding of securities or commodities law violations.
I
tem 11. Executive Compensation.
Summary
Compensation
Since our incorporation on February 21, 2007, we have not paid
any compensation to our directors or officers in consideration for their
services rendered to our Company in their capacity as such. We have no
employment agreements with any of our directors or executive officers. We have
no pension, health, annuity, bonus, insurance, stock options, profit sharing or
similar benefit plans.
Since our incorporation on February 21, 2007, no stock options
or stock appreciation rights were granted to any of our directors or executive
officers. We have no long-term equity incentive plans.
11
Outstanding Equity
Awards
None of our directors or executive officers holds unexercised
options, stock that has not vested, or equity incentive plan
awards.
Compensation of Directors
Since our inception, no compensation has been paid to any of
our directors in consideration for their services rendered in their capacity as
directors.
I
tem 12. Security Ownership of Certain Beneficial Owners and Management
and Related Stockholder Matters.
The following table lists, as of March 23, 2009, the number of
shares of common stock of our Company that are beneficially owned by (i) each
person or entity known to our Company to be the beneficial owner of more than 5%
of the outstanding common stock; (ii) each officer and director of our Company;
and (iii) all officers and directors as a group. Information relating to
beneficial ownership of common stock by our principal shareholders and
management is based upon information furnished by each person using “beneficial
ownership” concepts under the rules of the Securities and Exchange Commission.
Under these rules, a person is deemed to be a beneficial owner of a security if
that person has or shares voting power, which includes the power to vote or
direct the voting of the security, or investment power, which includes the power
to vote or direct the voting of the security. The person is also deemed to be a
beneficial owner of any security of which that person has a right to acquire
beneficial ownership within 60 days. Under the Securities and Exchange
Commission rules, more than one person may be deemed to be a beneficial owner of
the same securities, and a person may be deemed to be a beneficial owner of
securities as to which he or she may not have any pecuniary beneficial interest.
Except as noted below, each person has sole voting and investment
power.
The percentages below are calculated based on 11,250,000
shares of our common stock issued and outstanding as of March 23, 2009. We do
not have any outstanding options, warrants or other securities exercisable for
or convertible into shares of our common stock. Unless otherwise indicated, the
address of each person listed is c/o Caseycorp Enterprises, Inc., 410 Park
Avenue, 15
th
Floor,
New York NY 10022.
Name
of Beneficial Owner
|
|
Number of Shares
of Common Stock
Beneficially Owned
|
|
Percent of
Common Stock
Beneficially Owned
|
|
|
|
|
|
|
|
Israel
Levy
|
|
|
7,500,000
|
|
|
67%
|
|
|
|
|
|
|
|
|
|
Yehoshua
Lustig
|
|
|
500,000
|
|
|
4%
|
|
|
|
|
|
|
|
|
|
All
directors and executive officers as a group (two persons)
|
|
|
8,000,000
|
|
|
71%
|
|
5%
stockholders
|
|
|
0
|
|
|
0%
|
|
All
directors, executive officers and 5% stockholders as a group (two
persons)
|
|
|
8,000,000
|
|
|
71%
|
|
12
I
tem 13. Certain Relationships and Related Transactions, and Director
Independence.
Related
Transactions
None
Director
Independence
We are not subject to listing requirements of any national
securities exchange or national securities association and, as a result, we are
not at this time required to have our board comprised of a majority of
“independent directors.” We do not believe that any of our directors currently
meet the definition of “independent” as promulgated by the rules and regulations
of the American Stock Exchange.
I
tem 14. Principal Accounting Fees and
Services.
From February 21, 2007 and through the subsequent periods for
fiscal year ended December 31, 2007, and for the three and six month periods
ended March 31, 2008 and June 30, 2008, respectively, our principal independent
auditor was Wolinetz, Lafazan & Company, P.C. (“Wolinetz”)
From November 12, 2008 and as of today our principal
independent auditor is Barzily & Co.
The following are the services provided and the amount
billed:
Audit
fees
The aggregate fees billed by Wolinetz for professional
services rendered for the review of the Company’s financial statements included
in the Company’s Quarterly Reports on Form 10-Q for the three and six month
periods ended March 31, 2008 and June 30, 2008 respectively, during fiscal years
2008 were $4,500.
The aggregate fees billed or to be billed by Barzily for
professional services rendered for the audit of the Company’s annual
consolidated financial statements for the fiscal year ended December 31, 2008,
and for the review of the financial statements included in the Company’s
Quarterly Reports on Form 10-Q for the nine month period ended September 30,
2008, during fiscal years 2008 were $6,000.
Audit related
fees
Other than the fees described under the caption “Audit Fees”
above, Wolinetz and Barzily did not bill any fees for services rendered to us
during fiscal years 2008 for assurance and related services in connection with
the audit or review of our financial statements.
Tax
fees
There were no fees billed by Wolinetz or Barzily for tax
services rendered during the fiscal year ended December 31, 2008.
All other
fees
There were no fees billed by Wolinetz or Barzily for other
professional services rendered during the period for fiscal years ended December
31, 2008
13
PRE-APPROVAL
OF SERVICES
We do not have an audit committee. Our Board of Directors
pre-approves all services, including both audit and non-audit services, provided
by our independent accountants. For audit services, each year the independent
auditor provides our Board of Directors with an engagement letter outlining the
scope of the audit services proposed to be performed during the year, which must
be formally accepted by the Board of Directors before the audit commences. The
independent auditor also submits an audit services fee proposal, which also must
be approved by the Board of Directors before the audit commences.
P
ART
IV
I
tem 15. Exhibits. Financial Statement
Schedules.
|
|
|
Exhibit
|
|
Description
|
|
|
|
3.1
|
|
Articles of Incorporation of Registrant (annexed to the
Registration Statement on Form SB-2 filed with the Securities and Exchange
Commission on December 6, 2007 and incorporated herein by
reference)
|
3.2
|
|
By-Laws of Registrant (annexed to the Registration
Statement on Form SB-2 filed with the Securities and Exchange Commission
on December 6, 2007 and incorporated herein by reference)
|
10.1
|
|
Form of Regulation S Subscription Agreement (annexed to
the Registration Statement on Form SB-2 filed with the Securities and
Exchange Commission on December 6, 2007 and incorporated herein by
reference)
|
31.1
|
|
Certification of Principal Executive Officer and
Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley
Act (filed herewith)
|
32.1
|
|
Certification of Principal Executive Officer and
Principal Financial Officer pursuant to Section 906 of the Sarbanes-Oxley
(filed herewith)
|
14
S
IGNATURES
In accordance with Section 13 or 15(d) of the Exchange Act,
the registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
|
|
|
|
Date: March 23, 2009
|
|
|
|
|
|
CASEYCORP ENTERPRISES, INC.
|
|
|
|
|
|
|
By:
|
/s/ Israel
Levy
|
|
|
Name: Israel Levy
|
|
|
Title: President, Chief Executive Officer,
Chairman,
and Director (Principal Executive,
Financial, and Accounting
Officer)
|
In accordance with the Exchange Act, this report has been
signed below by the following persons on behalf of the registrant and in the
capacities and on the dates indicated.
|
|
|
|
Date: March 23, 2009
|
|
By:
|
/s/ Israel
Levy
|
|
|
Name: Israel Levy
|
|
|
Title: President, Chief Executive Officer,
Chairman,
and Director (Principal Executive,
Financial, and Accounting
Officer)
|
|
|
|
|
Date: March 23, 2009
|
|
By:
|
/s/ Yehoshua
Lustig
|
|
|
Name: Yehoshua Lustig
|
|
|
Title: Secretary and Director
|
15