-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, UJhtmzlhmhK9I2szMubYuvcuXep76tOfPPsQbXi3vrRuWP7m7NZnNHUBM654+U+x bKuWum4BYr83h59C8TI5Xw== 0000950131-99-006297.txt : 19991117 0000950131-99-006297.hdr.sgml : 19991117 ACCESSION NUMBER: 0000950131-99-006297 CONFORMED SUBMISSION TYPE: 10QSB/A PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19990930 FILED AS OF DATE: 19991115 FILER: COMPANY DATA: COMPANY CONFORMED NAME: MEDCARE TECHNOLOGIES INC CENTRAL INDEX KEY: 0001002422 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-SPECIALTY OUTPATIENT FACILITIES, NEC [8093] IRS NUMBER: 870429962 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10QSB/A SEC ACT: SEC FILE NUMBER: 000-28790 FILM NUMBER: 99751685 BUSINESS ADDRESS: STREET 1: 1515 WEST 22ND STREET STREET 2: STE 101 CITY: OAK BROOK STATE: IL ZIP: 60523 BUSINESS PHONE: 8006113388 MAIL ADDRESS: STREET 1: 400 BURRARD STREET STREET 2: SUITE 1408 CITY: VANCOUVER STATE: A1 ZIP: 00000 10QSB/A 1 FORM 10-QSB/A UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-QSB/A (Mark One) X QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE ----- SECURITIES EXCHANGE ACT OF 1934 For quarterly period ended September 30, 1999 ____ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _____ to _______ Commission file number: 0-28790 MEDCARE TECHNOLOGIES, INC. -------------------------- (exact name of registrant as specified in its charter) DELAWARE 87-0429962 B - -------- ------------ (State or other jurisdiction of (IRS Employer Identification No.) incorporation or organization) Suite 1210 - 1515 West 22nd Street, Oak Brook, Illinois 60523 - ----------------------------------------------------------------- (Address of principal executive offices) Registrant's telephone number, including area code: (630) 472-5300 -------------- Indicate by check mark whether the registrant: (1) has filed all reports required by Section 13 or 15 (d) of the Securities Exchange Act of 1934 during the preceding 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 - The number of shares of the Registrant's Common Stock, $0.001 par value, as of November 11, 1999: 7,907,626 --------- 1 MEDCARE TECHNOLOGIES, INC. FORM 10-QSB, QUARTER ENDED SEPTEMBER 30, 1999 INDEX PART I FINANCIAL INFORMATION Item 1 Financial Statements Consolidated Balance Sheet as of September 30, 1999............................. 3 Consolidated Statement of Operations for the Quarter Ended September 30, 1999... 4 Consolidated Statement of Cash Flows for the Quarter Ended September 30, 1999... 5 Notes to Interim Consolidated Financial Statements.............................. 6 All schedules are omitted because they are not applicable or the required information is shown in the financial statements or notes thereto. Item 2 Management's Discussion and Analysis.................................... 9 PART II OTHER INFORMATION Item 1 Legal Proceedings........................................................ 13 Item 2 Changes in Securities.................................................... 13 Item 3 Defaults Upon Senior Securities.......................................... 13 Item 4 Submission of Matters to a Vote of Security Holders...................... 13 Item 5 Other Information........................................................ 13 Item 6 Exhibits and Reports on Form 8-K......................................... 13 Signatures............................................................... 13
2 Item 1 Financial Statements - ------------------------------ MEDCARE TECHNOLOGIES, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEET SEPTEMBER 30, 1999 AND DECEMBER 31, 1998
(Unaudited) September 30, December 31, ASSETS 1999 1998 ---- ---- Current Assets - -------------- Cash $ 791,858 $ 2,826,086 Marketable Securities 3,230,972 0 Accounts Receivable, net of Allowance for Doubtful Accounts of $46,000 and $45,000 399,230 271,240 ----------- ----------- Total Current Assets 4,422,060 3,097,326 Property and Equipment, Net 374,203 283,630 Intangible Assets-the MedCare Program, net of Accumulated Amortization of $119 and $68 881 932 ----------- ----------- Total Assets $ 4,797,144 $ 3,381,888 =========== =========== LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities - ------------------- Accounts Payable $ 217,685 $ 260,142 Accrued Liabilities 85,115 209,601 Deferred Revenue 48,000 0 ----------- ----------- Total Current Liabilities 350,800 469,743 Stockholders' Equity - -------------------- Preferred Stock (authorized 1,000,000 shares): Convertible Series A, $.25 Par Value, Issued and outstanding, 50 at September 30, 1999 and December 31, 1998 12 12 Convertible Series B, $.25 Par Value, Issued and outstanding, 400 at September 30, 1999 and none at December 31, 1998, at redemption value 4,701,326 0 Common Stock - $0.001 Par Value, Authorized 100,000,000; Issued and Outstanding, 7,831,160 and 7,825,105 Shares at September 30, 1999 and December 31, 1998, respectively 7,831 7,825 Additional Paid in Capital 9,414,173 9,396,179 Retained Earnings (9,676,998) (6,491,871) ----------- ----------- Total Stockholders' Equity 4,446,344 2,912,145 ----------- ----------- Total Liabilities and Equity $ 4,797,144 $ 3,381,888 =========== ===========
3 MEDCARE TECHNOLOGIES, INC AND SUBSIDIARIES CONSOLIDATED STATEMENT OF OPERATIONS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
(Unaudited) (Unaudited) (Unaudited) (Unaudited) Three Months Three Months Nine Months Nine Months Ended Ended Ended Ended 9/30/99 9/30/98 9/30/99 9/30/98 ------------ ------------ ------------ ------------ Revenues $ 429,281 $ 158,775 $ 1,376,434 $ 537,598 General and Administrative Expenses 1,156,970 1,092,884 3,836,645 3,178,718 ------------ ------------ ------------ ------------ Operating Loss (727,689) (934,109) (2,460,211) (2,641,120) Interest Income 56,735 27,004 112,531 122,132 ------------ ------------ ------------ ------------ Net Loss (670,954) (907,105) (2,347,680) (2,518,988) Less: Preferred Stock Deemed Dividends (88,811) 0 (837,447) 0 ------------ ------------ ------------ ------------ Net Loss Available to Common Stockholders ($759,765) ($907,105) ($3,185,127) ($2,518,988) ============ ============ ============ ============ Earnings Per Common Share & Common Share Equivalants ($0.10) ($0.12) ($0.41) ($0.35) Weighted Number of Common Shares Outstanding 7,831,160 7,344,407 7,830,775 7,193,224
MEDCARE TECHNOLOGIES, INC. AND SUBSIDIARIES INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
(Unaudited) (Unaudited) For the Nine For the Nine Months Ended Months Ended 9/30/99 9/30/98 ------------ ------------ Cash Flows from Operating Activities - Net Loss ($2,347,680) ($2,518,988) Adjustments to Reconcile Net Loss to Net Cash Provided by Operating Activities: - ------------------------------------------------------------------------------- Depreciation and Amortization 74,557 15,920 (Increase) Decrease in Accounts Receivable (127,990) (93,694) (Increase) Decrease in Prepaid Expenses 0 62,313 (Increase) Decrease in Security Deposits 0 (650) (Increase) Decrease in Escrow Funds 0 (1,500,000) Increase (Decrease) in Accounts Payable and Accrued Liabilities (166,943) 130,624 Increase (Decrease) in Deferred Revenue 48,000 0 ------------ ------------ Total Adjustments (172,376) (1,385,487) Net Cash Used by Operating Activities (2,520,056) (3,904,475) Cash Flow from Investing Activities: - ------------------------------------ Purchase of Marketable Securities (3,230,972) 0 Purchase of Property & Equipment (165,079) (196,081) ------------ ------------ Net Cash Flows from Investing Activities (3,396,051) (196,081) Cash Flow from Financing Activity - --------------------------------- Proceeds from sale of common stock 18,000 1,329,002 Proceeds from escrow funds 0 1,500,000 Proceeds from Series B Preferred Stock Issuance (net of issuance costs) 3,863,879 0 Advances (Repayments) to Officers 0 (1,000) ------------ ------------ Net Cash Provided by Financing Activities 3,881,879 2,828,002 Increase (Decrease) in Cash and Cash Equivalents ($2,034,228) ($1,272,554) Cash and Cash Equivalents at Beginning of Period $ 2,826,086 $ 3,440,791 Cash and Cash Equivalents at End of Period $ 791,858 $ 2,168,237 Supplemental Information Cash Paid for: Interest 0 0 Income taxes 0 0 Non-Cash Items - Preferred Deemed Dividends $ 837,447 0
MEDCARE TECHNOLOGIES, INC. NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS SEPTEMBER 30, 1999 NOTE 1. Statement of Information Furnished - ------------------------------------------- The accompanying unaudited interim consolidated financial statements have been prepared in accordance with Form 10QSB instructions and in the opinion of management contains all adjustments (consisting of only normal recurring adjustments) necessary to present fairly the financial position as of September 30, 1999, the results of operations for the three and nine month periods ended September 30, 1999, and the statement of cash flows for the nine month period ended September 30, 1999. These results have been determined on the basis of generally accepted accounting principles and practices and applied consistently with those used in the preparation of the Company's 1998 Annual Report on Form 10-KSB. Certain information and footnote disclosures normally included in the financial statements presented in accordance with generally accepted accounting principles have been condensed or omitted. It is suggested that the accompanying consolidated financial statements be read in conjunction with the financial statements and notes thereto incorporated by reference in the Company's 1998 Annual Report on Form 10-KSB. NOTE 2. Series B Preferred Stock - --------------------------------- On May 18, 1999, the Company, pursuant to Regulation D, Rule 506, issued 400 shares of Series B preferred stock (par value $0.25) (the "Series B Preferred") and related warrants described below for $4,000,000 ($10,000 per share). The key provisions regarding the issuance and conversion of Series B Preferred are as follows: Dividends The holders of the Series B Preferred shall be entitled to receive a 6.0% annual dividend, which shall be cumulative and which shall accrue daily from the date of issuance and be payable, at the option of the Company, either (i) in shares of Common Stock upon conversion of the Series B Preferred or (ii) in cash. Conversion by Holders Subject to the limitations discussed below, each share of the Series B Preferred shall be convertible into shares of Common Stock at a variable conversion rate (the "Conversion Rate") equal to the Conversion Amount (defined below) divided by the applicable Conversion Price (defined as follows). The "Conversion Price" is the lesser of (i) the fixed conversion price (the "Fixed Conversion Price"), which is $7.80 or (ii) the variable conversion price (the "Variable Conversion Price"). The Variable Conversion Price is the lower of (a) the closing bid price on the day the holder delivers the required notice of his intention to convert to the Company or (b) the average of the 10 lowest closing bid prices in the 40 trading days immediately preceding the date such notice is given. The "Conversion Amount" is defined as $10,000, plus any stock dividends that have accrued but have not been paid out, plus any default interest (equal to 15%) for 6 dividends which the Company has elected to pay in cash but has failed to pay on a timely basis. The above formula may or may not result in the common stock being issued at a discount to the current market price. As of the date of this filing, all of the outstanding preferred shares may be converted into common stock subject to certain ownership limitations detailed in the agreements. Adjustment of Conversion Price The Conversion Price of the Series B Preferred is subject to customary anti-dilution provisions which take effect upon such events as the issuance by the Company of Common Stock, options or other convertible securities, the subdivision or combination of outstanding shares of Common Stock of the Company, the recapitalization, merger or other reorganization of the Company, or any other similar events. However, no such adjustment will be made unless the adjustment would result in a cumulative increase or decrease of at least 1% in the Conversion Price. Mandatory Conversion The shares of Series B Preferred mature five years after they are issued, and any shares of the Series B Preferred left outstanding on the applicable maturity date are automatically converted into shares of Common Stock. Redemption at the Option of Investors Each outstanding share of the Series B Preferred is redeemable, at the option of the Investors, in the event of any of the following transactions (each a "Major Transaction"): (i) the consolidation, merger or other business combination of the Company, (ii) the sale or transfer of all or substantially all of the Company's assets or (iii) a purchase, tender or exchange offer made to and accepted by the holders of more than 50% of the outstanding shares of Common Stock, provided that such Major Transaction shall have occurred or have been the subject of a public announcement during the period beginning on the date of issuance and ending on the later of (a) the first anniversary of the date of issuance and (b) the date which is 270 days after the effective date of the Registration Statement relating to the applicable shares. In the event of a Major Transaction, the redemption price per share shall be the greater of (i) 115% of the Liquidation Amount (as defined below) and (ii) the product of (a) the applicable Conversion Rate and (b) the closing bid price on the date of the public announcement of the event. The "Liquidation Amount" is equal to $10,000 plus any stock dividends that have accrued but have not been paid out, plus any default interest (equal to 15% per annum) for dividends which the Company has elected to pay in cash but has failed to pay on a timely basis. In addition, in the event of the occurrence of certain events (the "Triggering Events"), including the failure of the Registration Statement to be declared effective within 180 days of the date of issuance, the delisting of the Common Stock for a period of five consecutive days and the Company's breach of any representations, warranties or covenants in the Documents, the Investors have the right to require the Company to redeem all or a portion of such Investor's Series B Preferred. The redemption price per share is the same as the redemption price per share in the event of a Major Transaction. Although the redemption provisions of the Series B Preferred Stock have not changed, the Company has reclassified the Series B Preferred Stock to stockholder's equity due to the receipt of a contingent equity funding commitment. 7 Warrants Along with the Series B Preferred, the Company issued common stock warrants to the investors. Subject to the vesting schedule described below, each warrant entitles its holder to 200 shares of Common Stock for (i) each issued share of the Series B Preferred held on the applicable vesting date and (ii) each share of the Series B Preferred converted prior to the applicable vesting date at the Fixed Conversion Price. The Warrants expire five years after they are issued. The vesting dates of the Warrants are (i) the date which is 120 days after the date of issuance of the applicable Series B Preferred Shares; (ii) the date which is 300 days after the date of issuance of the applicable Series B Preferred Shares and (iii) the date which is 480 days after the date of issuance of the applicable Series B Preferred Shares. The exercise price of each Warrant is 125% of the average of the closing bid prices of the Company's Common Stock for the five consecutive trading days immediately preceding the applicable vesting date. Investor Call Option For every (i) unconverted Series B Preferred share held by the investors on the first anniversary of the closing and (ii) preferred share converted at the Fixed Conversion Price prior to the first anniversary of the closing, the investors have the right to subscribe for an additional preferred share and related warrants under the same terms and conditions of the original closing (revised to reflect the Company's then current common stock market price). Each investor may exercise this right only at such time when the closing market price of the Company's common stock is greater than the Fixed Conversion Price. 8 Item 2 Management's Discussion and Analysis of Financial Condition and - ------------------------------------------------------------------------- Results of Operations - --------------------- When used in this discussion, the words "believes", "anticipates", "expects" and similar expressions are intended to identify forward-looking statements. Such statements are subject to certain risks and uncertainties, which could cause actual results to differ materially from those projected. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to republish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Readers are also urged to carefully review and consider the various disclosures made by the Company which attempt to advise interested parties of the factors which affect the Company's business, in this report, as well as the Company's periodic reports on Forms 10-KSB, 10QSB and 8-K filed with the Securities and Exchange Commission. Overview - -------- During 1998, the Company engaged in only one type of business, the offering of the MedCare Program, as described below. In October 1999, the Company announced the launch of its new web site, Rx Sheets.com (www.rxsheets.com), ---------------- which supersedes the Company's previously planned Physician Virtual Office and is directed exclusively at the physician and pharmaceutical marketplace. RxSheets offers a wide array of compelling and focused information and services that will enable physicians to more efficiently and effectively manage the sampling of pharmaceutical drugs. In addition, the Company changed the name of its wholly-owned subsidiary from Medcareonline.com to RxSheets.com. As of September 30, 1999, the Company has not generated any revenues from RxSheets.com. The "MedCare Program" is a discrete package of equipment, software and services developed by MedCare to assist physicians in providing non- pharmaceutical, non-invasive treatment to patients suffering from urinary incontinence ("UI") and other pelvic disorders, including pelvic pain, chronic constipation, fecal incontinence and disordered defecation. The MedCare Program is used by physicians to support a treatment plan based primarily on behavioral modification techniques such as electromyography ("EMG") biofeedback, pelvic floor muscle exercise, and bladder and bowel retraining. Utilizing the MedCare Program, physicians help patients activate and strengthen the various sensory response mechanisms that maintain bladder and bowel control. Therapy is provided through computerized instrumental EMG biofeedback and is based on operant conditioning strategies whereby specific physiological responses are progressively shaped, strengthened and coordinated. The MedCare Program is available through the practices of physicians, either in a private office, clinic, or a hospital setting. To date, the Company has not received significant revenues due to the early stage nature of the Company's business and has incurred ongoing operating losses due to costs related to research, business development, website development, management and staff recruitment, establishing training systems and providing ongoing training, development of advertising and marketing programs, and other costs associated with establishing corporate infrastructure necessary for contracting with additional physicians for utilization of the MedCare Program on 9 a national basis. Although planned principal operations have commenced, substantial revenues have yet to be realized. Results of Operations - --------------------- Revenues. The Company experienced a 170% increase in revenues over last year's third quarter results with revenues of $429,281 and $158,775 for the three months ended September 30, 1999 and 1998, respectively. Revenues for the nine month period ended September 30, 1999 increased 156% from $537,598 in 1998 to $1,376,434. As of September 30, 1999 the Company had 35 MedCare Program sites established versus 24 sites as of September 30, 1998. During the second quarter, the Company introduced a new version of the MedCare Program to hospitals, nursing homes and other large healthcare providers which requires each new site to share the up front costs, pay the clinician's salary and pay MedCare a set monthly management fee. Although the sales cycle is potentially longer, the new version allows MedCare to reach a greater number of healthcare providers that were previously excluded from the MedCare Program. To date, the Company has not relied on revenues for funding. During the next several years, the Company expects to derive the majority of its potential revenues from the commencement of operations of the MedCare Program at additional sites in the United States, and possibly select foreign markets. In October 1999, the Company announced the launch of its new web site, Rx Sheets.com (www.rxsheets.com), which supersedes the Company's previously planned ---------------- Physician Virtual Office and is directed exclusively at the physician and pharmaceutical marketplace. The Company changed the name of its wholly-owned subsidiary from Medcareonline.com to RxSheets.com and expects to begin generating revenue from the sale of advertising in 2000. General and Administrative Expenses. During the three months ended September 30, 1999, the Company incurred $1,156,970 in general and administrative expenses, an increase of 6% from third quarter 1998 expenses of $1,092,884. General and administrative expenses for the nine month period ended September 30, 1999 increased 21% from $3,178,718 to $3,836,645. The increase in the third quarter is primarily attributable to additional salary and operating expenses related to the additional MedCare sites open in 1999 versus 1998 offset by a reduction in advertising expenses. In addition, the Company expensed $65,000 of website development costs related to the Physician's Virtual Office that was replaced by RxSheets.com Interest Income. Interest income was $56,735 and $27,004 for the quarters ended September 30, 1999 and 1998, respectively. Interest income for the nine month period ended September 30, 1999 decreased from $122,132 to $112,531. The decrease is primarily attributable to the lower amount of cash invested in interest bearing accounts earlier in 1999. Interest earned in the future will be dependent on Company funding cycles and prevailing interest rates. Preferred Stock Deemed Dividend. In the second quarter of 1999, the Company, pursuant to Regulation D, Rule 506, issued 400 shares of Series B preferred stock (par value $0.25) and related warrants for $4,000,000 ($10,000 per share). The Company has accreted to the redemption amount of 115% of the Liquidation Value resulting in a reduction to income. 10 available to common shareholders of $88,811 in the third quarter. See Note 2 to the financial statements for additional details regarding this transaction. Provision for Income Taxes. As of September 30, 1999, the Company's accumulated deficit was $9,676,998. Accordingly, the Company has recorded a full valuation allowance against any income tax benefit to date. Liquidity and Capital Resources - ------------------------------- As of September 30, 1999, the Company had a cash balance of $791,858 and $3,230,972 in short term, highly liquid, interest bearing government bonds and money market funds compared to a cash balance of $2,826,086 as of December 31, 1998. On May 18, 1999, the Company, pursuant to Regulation D, Rule 506, issued 400 shares of Series B preferred stock (par value $0.25) and related warrants for $4,000,000 ($10,000 per share). See Note 2 of the financial statements for additional details. The Company has financed its operations primarily through private placement of Common Shares, Preferred Shares and the exercise of Stock Options. The Company's future funding requirements will depend on numerous factors. These factors include the Company's ability to establish and profitably operate current and future MedCare Program locations and web sites, recruit and train qualified management and clinical personnel, compete against any potential technological advances in the treatment of urinary incontinence and other afflictions of the pelvic floor area, and the Company's ability to compete against other better capitalized corporations who offer alternative or similar options for urinary incontinence and pharmaceutical sampling services. Due to the "start up" nature of the Company's business, the Company expects to incur losses as it expands its business. The Company may raise additional funds through private or public equity investment in order to expand the range and scope of its business operations. The Company may seek access to the private or public equity but there is no assurance that such additional funds will be available for the Company to finance its operations on acceptable terms, if at all. Year 2000 - --------- The Year 2000 issue arose because many existing computer programs use only the last two digits to refer to a year. Therefore, these computer programs do not properly recognize a year that begins with 20 instead of 19. If not corrected, many computer applications could fail or create erroneous results. Management has initiated a comprehensive program to prepare the company's systems for the year 2000. The company is actively engaged in testing and fixing applications to ensure they are Year 2000 ready. The company does not separately track the internal costs incurred for the Year 2000 project but such costs are principally the related payroll costs for certain corporate staff. The company currently does not expect remediation costs to be material nor does it expect any significant interruption to its operations because of Year 2000 problems. 11 The company is in the process of contacting all third parties with which it has significant relationships, to determine the extent to which the company could be vulnerable to failure by any of them to obtain Year 2000 compliance. Some of the company's major suppliers and financial institutions have confirmed that they anticipate being Year 2000 compliant on or before December 31, 1999, although many have only indicated that they have Year 2000 readiness programs. To date, the company is not aware of any significant third parties with a Year 2000 issue that could materially impact the company's operations, liquidity or capital resources. However, the company has no means of ensuring that third parties will be Year 2000 ready and the potential effect of third-party non- compliance is currently not determinable. The company has devoted and will continue to devote the resources necessary to ensure that all Year 2000 issues are properly addressed. However, there can be no assurance that all Year 2000 problems are detected. Further, there can be no assurance that the company's assessment of its third party relationships will be accurate. Some of the potential worst-case scenarios that could occur include (1) corruption of data in the company's internal systems and (2) failure of government and insurance companies' reimbursement programs. If any of these situations were to occur, the company's operations could be temporarily interrupted. The company intends to develop Year 2000 contingency plans for continuing operations in the event such problems arise. 12 PART II -- OTHER INFORMATION Item 1 Legal Proceedings - --------------------------- None Item 2 Changes in Securities - ------------------------------- See Note 2 to the financial statements. Item 3 Defaults Upon Senior Securities - ----------------------------------------- None Item 4 Submission of Matters to a Vote of Security Holders - ------------------------------------------------------------- None Item 5 Other Information - --------------------------- None Item 6 Exhibits and Reports on Form 8-K - ------------------------------------------ None Signature Page - -------------- Pursuant to the requirements of section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. MEDCARE TECHNOLOGIES, INC. /s/ Jeffrey S. Aronin --------------------- Jeffrey S. Aronin CEO and President /s/ Alan Jagiello ----------------- By Alan Jagiello CFO Dated: November 12, 1999 13 EX-27 2 FINANCIAL DATA SCHEDULE
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE UNAUDITED SEPTEMBER 30, 1999 FINANCIAL STATEMENTS OF MEDCARE TECHNOLOGIES, INC. AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 9-MOS DEC-31-1999 JAN-01-1999 SEP-30-1999 791,858 3,230,972 399,230 46,000 0 4,422,060 374,203 74,557 4,797,144 350,800 0 0 4,701,338 7,831 (262,825) 4,797,144 1,376,434 1,376,434 0 3,836,645 837,447 0 (112,531) (3,185,127) 0 (3,185,127) 0 0 0 (3,185,127) (0.41) (0.41)
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