CARIBBEAN
CASINO
AND GAMING
BALANCE MARCH
CORPORATION
SHEET 31, 2011
ASSETS: CURRENT ASSETS: CASH ON HAND AND IN BANK
$22,217 41,471
ACCOUNTS RECEIVABLE DUE FROM OFFICERS
41,864 105,552
TOTAL CURRENT ASSETS
FIXED ASSETS: BUILDING EQUIPMENT: $14,154
BUILDING SIGNS
1,677
DIESEL FUEL GENERATOR ELECTRICAL BACK-UP SYSTEM
108,246
CABLE EQUIPMENT
302,256
SAFETY EQUIPMENT
1,330 5,100
TELEVISIONS
432,763
TOTAL BUILDING EQUIPMENT
CASINO EQUIPMENT: BAR AND KITCHEN EQUIPMENT
13,800
BLACK JACK TABLES
17,269 9,824
CASINO CHAIRS
69,849
LIGHTING
134,636
SLOT MACHINES
245,378
TOTAL CASINO EQUIPMENT
CONSTRUCTION
COST: 1,718,389
CASINO
5,114
DISCO TOTAL CONSTRUCTION
1,723,503
COSTS
OFFICE EQUPMENT: OFFICE FURNITURE & FIXTURES
19,365 3,929
OFFICE COMPUTERS
14,655
TELEPHONE SYSTEM
37,949
TOTAL OFFICE EQUIPMENT
2,439,593
TOTAL FIXED ASSETS
LESS: ACCOUMULATED
TOTAL
(320,565)
DEPRECIATION
2,119,028
FIXED ASSETS
OTHER ASSETS: ADMINISTRATIVE
28,571
LICENSES
OPERATION LICENSES
19,429
SLOT MACHINE
46,645
IMPORT LICENSE
1
CARIBBEAN
CASINO AND GAMING
CORPORATION
BALANCE SHEET MARCH 31, 2011
94,645 LESS: ACCUMULATED
AMORTIZATION
(9,824)
84,821
INVESTMENT
IN NEW OPERATIONS
446,044
TOTAL OTHER ASSETS
530,865
TOTAL ASSETS
$2,755,445
LIABILITIES AND STOCKHOLDER EQUITY:
L1ABI L1TIES
$0
STOCKHOLDER'S EQUITY:
SERIES A CONVERTIBLE AUTHORIZED
PREFERRED STOCK, 20,000
WITH A PAR VALUE OF $0.001;
SHARES
$5
5,333
SHARES ISSUED AND OUTSTANDING
SERIES A-1 CONVERTIBLE AUTHORIZED
PREFERRED STOCK, 500,000
WITH A PAR VALUE OF $0.001;
SHARES
450
450,000
SHARES ISSUED AND OUTSTANDING
SERIES B PREFERRED STOCK, 5,000 WITH A PAR VALUE OF $0.001;
o
SHRES AUTHORIZED 5 SHARES ISSUED
AND OUTSTANDING
SERIES B-1 CONVERTIBLE AUTHORIZED
PREFERRED STOCK, 500,000
WITH A PAR VALUE OF $0.001;
SHARES
40
40,000
SHARES ISSUED AND OUTSTANDING
COMMON
STOCK, 500,000,000
AUTHORIZED 238,380,982
ADDITIONAL
RETAINED
238,381
SHARES ISSUED
WITH A PAR VALUE OF $0.001; SHARES ISSUED AND OUTSTANDING
2,966,289
PAID IN CAPITAL
(449,720)
EARNING
TOTAL STOCKHODER'S EQUITY
2,755,445
$2,755,445
TOTAL LIABILITIES AND STOCKHOLDER' EQUITY
2
CARIBBEAN CASINO AND GAMING CORPORATION PROFIT AND LOSS FOR THE PERIOD JANUARY 1 TO MARCH 31, 2011
INCOME: CASINO GAMES: BLACKJACK
$80A13
LET IT RIDE/ 3 CARD POKER
12,951
TEXAS HOLDEM POKER
20,909
ROULETIE
64,760
SLOT MACHINES
76,925
TOTAL CASINO GAMES INCOME
$255,958
OTHER INCOME SOURCES: BAR DISCO
5A70 99J18
LUPERON CASINO
45,994
TOTAL OTHER INCOME
151,182
TOTAL INCOME
407,140
COST OF GOOD: PURCHASES BAR AND DISCO
82,377
TOTAL GROSS PROFIT
324,763
OPERATING EXPENSES: MANAGEMENT
FEES
GENERAL AND ADMINISTRATIVE
8,893 EXPENSES
234,961
114A52
PAYROLL RENT
50,000
DEPRECIATION EXPENSES AMORTIZATION
60,918
EXPENSES
2,396 471,620
TOTAL EXPENSES
($146,857)
NET PROFIT OR (LOSS) FROM OPERATIONS
1 -------------------
CARIBBEAN CASINO AND GAMING
CORPORATION
STATEMENT OF CASH FLOW FOR THE PERIOD JANUARY 1 TO MARCH 31, 2011
OPERATING
ACTIVITIES:
NET INCOME ( LOSS) FOR THE PERIOD
($146,857)
NON CASH EXPENSES: DEPRECIATION
60,918
AMORTIZATION
2,396
LOANS TO OFFICERS
4,928
NET CASH PROVIDED
INVESTING
BY OPERATING
ACTIVITIES
(78,615)
ACTIVITIES:
FIXED ASSETS - SLOT MACHINES
(3,500)
NEW CASINO LOCATIONS
(128,649)
NET CASH DECREASE FOR PERIOD
(132,149)
FINANCING
ACTIVITIES:
SALES OF COMMON ADDITIONAL
STOCK
10,241
PAID IN CAPITAL
196,059
NET CASH DECREASE FOR THE PERIOD
(4,464)
CASH AT BEGINNING OF PERIOD
26,681 $22,212
CASH AT END OF PERIOD
1
CARIBBEAN CASINO AND GAMING
CORPORATION
STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY FOR THE PERIOD JANUARY 1, 2011 TO MARCH 31, 2011
CONVERTIBLE PREFERRED STOCK - SERIES A BALANCE AT JANUARY 1,2011
$
5
$
5
PAR VALUE OF SHARES ISSUED: SHARES ISSUED TO INVESTORS SHARES ISSUED FOR SERVICES BALANCE AT MARCH 31, 2011 CONVERTIBLE PREFERRED STOCK - SERIES A-A BALANCE AT JANUARY 1,2011
s
450
$
450
PAR VALUE OF SHARES ISSUED: SHARES ISSUED TO INVESTORS SHARES ISSUED FOR SERVICE BALANCE AT MARCH 31, 2011 CONVETIBLE PREFERRED STOCK - SERIES B BALANCE AT JANUARY 1, 2011
$
PAR VALUE OF SHARES ISSUED: SHARES ISSUED TO INVESTORS SHARES ISSUED FOR SERVICES BALANCE AT MARCH 31, 2011
$
CONVERTIBLE PREFERRED STOCK - SERIES B-1 BALANCE AT JANUARY 1, 2011
$
40
$
40
PAR VALUE OF SHARES ISSUED: SHARES ISSUED TO INVESTORS SHARES ISSUED FOR SERVICES BALANCE AT MARCH 31, 2011 COMMON
STOCK
s
BALANCE AT JANUARY 1, 2011
228,140
PAR VALUE OF SHARES ISSUED: 10,241
SHARES ISSUED TO INVESTORS
$
BALANCE AT MARCH 31, 2011
1
238,381
CARIBBEAN CASINO AND GAMING CORPORATION STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY FOR THE PERIOD JANUARY 1, 2011 TO MARCH 31, 2011
ADDITIONAL
PAID IN CAPITAL
BALANCE AT JANUARY 1, 2011
$
SHARES ISSUED TO INVESTORS
2,770,230 $196,059
BALANCE AT MARCH 31, 2011
$
2,966,289
RETAINED EARNINGS BALANCE AT JANUARY 1, 2011
$
NET LOSS FOR THE THREE MONTH PERIOD
(302,863) (146,857)
BALANCE AT MARCH 31, 2011
($449,720)
2
CARIBBEAN CASINO AND GAMING CORPORATION NOTESTO FINANCIAL STATEMENTS MARCH 31, 2011
NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: NATURE OF BUSINESS: The Company was incorporated
in 2009 under the laws of the State of
Florida. The Company operates a gaming casino, located in the city of Sousa, in the Dominican Republic. BASISOF ACCOUNTING:
These financial statements
have been prepared under the cash method
of accounting. REVENUE RECOGNITION: The Company recognizes revenue under the cash method of accounting. On a daily basis the Company records the net income or loss from each gaming table. The income earned by the Disco for both admissions and liquor sales are also recorded daily. Income is earned in both United States Dollars and Dominican Republic Pesos. For reporting purposes, Dominican Republic Pesos are converted into United States Dollars at thirty seven point eight (37.8) to one. INCOME TAXES: There has been no provision for income tax expenses as the Company is currently operating at a loss and has no income tax liability. PROPERTYAND EQUIPMENT: Property and equipment
are stated at cost. Depreciation
over the estimated useful lives of the assets using the straight-line lives range from 3 to 10 years. Depreciation
method.
is computed
The estimated useful
expense for the three month period ended
March 31, 2011 totaled $60,918 and is included in operating expenses. Expenditures for additions are capitalized and expenditures
for maintenance
and repairs are
charged to income as incurred. OTHER ASSETS: Other assets are stated at cost. Amortization
is computed over the United States
Tax Guidelines, for intangible assets. The guideline life is 15 years. Amortization
expense for the
three month period ended March 31, 2011 totaled $2,396 and is included in operating expenses. NOTE B - CASH Cash consists of demand deposits with banking institutions, operations.
and cash held by the Casino for
At March 31, 2011 the Company did not have any funds in excess of $250,000 federally
insured limit. NOTE C - INVESTMENT IN EW CASINOS AND OPERATIONS As of December 31, 2010 the Corporation
opened a new casino in the town of Luperon in the
Dominician Republic. The first day of operations was December 31,2010. NOTE C - CONVERTIBLE PREFERREDSTOCK Series A Convertible
Preferred Stock consists of 505,333 shares. The Series A Convertible
1
Preferred
CARIBBEAN CASINO AND GAMING CORPORATION NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011
stock, shall be senior to the common stock and is designated at 5,333 shares Series A and 500,000
shares Series A-1. Series A Convertible
Preferred Stock shall be convertible
at the option of the
holders, into 18 shares of fully paid and non-assessable shares of Common Stock. The Series A-l, is only convertible
upon the closing of equity and/or debt financing, which is equal to or greater
than $5,000.000, and automatically
upon a Qualified Public Offering.
The convertible
shares shall
convert to that number of fully paid and non-assessable shares of Common Stock which together with the Common Stock held by the owner of the Series A-l Preferred stock constitutes fifty-five
percent (55%) of the outstanding
Series B Convertible
Common Stock on a fully diluted basis.
Preferred Stock consists fa 500,005 shares. The Series B Convertible
Preferred
stock, shall be senior to the common stock and is designated as 5 shares Series Band 500,000 shres Series B-1. Series B Convertible
Preferred Stock shall be convertible
at the option of the
holders, into 2 shares of fully paid and non-assessable shares of Common Stock. The Series B-1, is only convertible
upon the closing of equity and/or debt financing, with is equal to or greater
than $500,000, and automatically
upon a Qualified Public Offering.
The convertible
shares shall
convert to that number of fully paind and non-assessble shares of Common Stock which together with the Common Stock held by the owners of the Beries B-1 Preferred stock constitutes percent (10%) of the outstanding
Common Stock on a fully diluted basis.
2
ten