Encore Announces Restatement of Financial Statements for the Year Ended December 31, 2003.VANCOUVER Vancouver, city, Canada Vancouver, city (1991 pop. 471,844), SW British Columbia, Canada, on Burrard Inlet of the Strait of Georgia, opposite Vancouver Island and just N of the Wash. border. , British Columbia British Columbia, province (2001 pop. 3,907,738), 366,255 sq mi (948,600 sq km), including 6,976 sq mi (18,068 sq km) of water surface, W Canada. Geography -- Encore Clean Energy, Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). : ECLN ECLN European Constitutional Law Network ) ("Encore"). Encore announced today that on April 19, 2005, its Board of Directors concluded, in consultation with the Encore's independent accountant, that Encore's audited financial statements for the 2003 fiscal year should no longer be relied upon due to errors contained in those financial statements and that those financial statements should be restated. These errors were related to a failure to account for a consulting contract that became effective in the fourth quarter of the Encore's 2003 fiscal year. After concluding that its audited financial statements for the 2003 fiscal year should be restated, Encore needed to determine, in consultation with its independent accountants and legal advisors, whether additional financial statements should be restated, the exact nature of what those restatements should be, and how to proceed. On May 11, 2005, Encore reached a final determination that the following financial statements should be restated as set out below: (a) Consolidated audited financial statements for the year ended December December: see month. 31, 2003 included in Encore's Form 10-KSB filed with the Securities and Exchange Commission (the "SEC") on May 17, 2004. The restatement Restatement A revision in a company's earlier financial statements. Notes: The need for restating financial figures can result from fraud, misrepresentation, or a simple clerical error. of these financial statements has resulted in an increase in Encore's notes payable as reported in its Consolidated Balance Sheet consolidated balance sheet A balance sheet in which assets and liabilities of a parent company and its controlled subsidiaries are combined, thereby presenting balance sheet items for the parent and its subsidiaries as if they were a single firm. at December 31, 2003 in the amount of $140,000 and a corresponding increase in consulting expenses as reported in its Consolidated Statement of Operations See Income statement. for the year ended December 31, 2003 of the same amount. Total stockholders' deficit was restated from $(528,358) to $(668,358) and net loss was restated from $(773,163) to $(913,163). Net loss per common share, basic and diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. was restated from $(0.22) to $(0.26). (b) Consolidated unaudited financial statements for the interim period ended March 31, 2004 included in Encore's Form 10-QSB filed with the SEC on June June: see month. 17, 2004. The restatement of these financial statements has resulted in an increase in Encore's notes payable as reported in its Consolidated Balance Sheet at March 31, 2004 in the amount of $60,000 and a corresponding increase in consulting expenses as reported in its Consolidated Statement of Operations for the period ended March 31, 2004 of the same amount. Total stockholders' deficit was restated from $(465,183) to $(665,183) and net loss was restated from $(248,586) to $(308,586). Net loss per common share, basic and diluted was restated from $(0.00) to $(0.02). (c) Consolidated unaudited financial statements for the interim period ended June 30, 2004 included in Encore's Form 10-QSB filed with the SEC on August 13, 2004. The restatement of these financial statements has resulted in an increase in Encore's notes payable as reported in its Consolidated Balance Sheet at June 30, 2004 in the amount of $120,000 and a corresponding increase in consulting expenses as reported in its Consolidated Statement of Operations for the period ended June 30, 2004 of the same amount. Total stockholders' deficit was restated from $(650,104) to $(910,104) and net loss was restated from $(450,026) to $(570,026). Net loss per common share, basic and diluted did not change. (d) Consolidated unaudited financial statements for the interim period ended September 30, 2004 included in Encore's Form 10-QSB filed with the SEC on November 24 2004. The restatement of these financial statements has resulted in an increase in Encore's notes payable as reported in its Consolidated Balance Sheet at September 30, 2004 in the amount of $180,000 and a corresponding increase in consulting expenses as reported in its Consolidated Statement of Operations for the period ended September 30, 2004 of the same amount. Total stockholders' deficit was restated from $(877,731) to $(1,197,731) and net loss was restated from $(641,698) to $(821,698). Net loss per common share, basic and diluted was restated from $(0.05) to $(0.06). Encore will file with the SEC a report on Form 8-K Form 8-K The form required by the SEC when a publicly held company incurs any event that might affect its financial situation or the share value of its stock. Form 8-K See 8-K. attaching the restated financial statements. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion