QUARTERLY REPORT FOR 03/04
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
FORM 10-Q
QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
FOR QUARTER ENDED March 31, 2004 Commission file number 0-7376
Hynes & Howes Insurance Counselors, Inc.
(Exact name of registrant as specified on its charter)
Iowa 42-0948341
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
2920 Harrison St., Davenport, Iowa 52803
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (563) 326-6401
Indicate by check mark whether the registrant (1) has filed all annual,
quarterly and other reports required to be filed with the Commission and (2)
has been subject to the filing requirements for
at least the past 90 days. Yes XX No .
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the close of the period covered by this report.
11,226,699
EX-99.1
NOTES TO FINANCIAL STATEMENTS FOR 03/04
HYNES & HOWES INSURANCE COUNSELORS, INC.
Notes to Financial Statements
March 31, 2004
Note 1. Filing of Forms 8-K
A form 8-K was not required to be filed for the quarter reporting
any unusual charges or credits to the income or change in auditors.
Note 2. Management's Analysis of Income From Operations
Income from operations for the six months ended March 31, 2004
increased $12,578 as compared to the six month period ended
March 31, 2003.
EX-99.2
OTHER INFORMATION FOR 03/04
HYNES & HOWES INSURANCE COUNSELORS, INC.
Part II: Other information
There were no events during this quarter that would be reportable
under the Items 1 through 8 of the Form 10-Q for Registrant.
Item 9. Exhibits and Reports on Form 8-K
There were no 8-K's filed during the quarter for which this report is
filed.
EX-99.3
REGULATION S-X FOR 03/04
Regulation S-X, Section 10-01 (b) (8)
This interim financial statement reflects all adjustments which
are, in the opinion of management, necessary to a fair statement
of the results for the interim period. The corporation has
no bonus or profit sharing arrangements to be settled at year-end.
EX-99.4
SIGNATURES FOR 03/04
SIGNATURES
Pursuant to the requirements of the Securities Act of 1934, the Registrant
has duly caused this report to be signed on its behalf by the undersigned
thereunto duly authorized.
HYNES & HOWES INSURANCE COUNSELORS, INC.
By:_____________________________________
Sharon L. Miller, President
This corporation has no treasurer.
Dated___________________ By:_____________________________________
Jennifer Burkhart, Secretary
EX-99.5
COMPUTATION OF EPS FOR 03/04
HYNES & HOWES INSURANCE COUNSELORS, INC.
Computation of Earnings (Loss) Per Common Share
For the Six Months Ended March 31, 2004 and 2003
(Unaudited)
Three Months Ended Six Months Ended
March 31, March 31,
2004 2003 2004 2003
Common Shares Outstanding:
Beginning of Period 11,226,699 11,226,699 11,226,699 11,226,699
End of Period 11,226,699 11,226,699 11,226,699 11,226,699
Average Number of Shares
Outstanding for the Period 11,226,699 11,226,699 11,226,699 11,226,699
Net Income (Loss) 1459 365 (11,867) (24,445)
Earnings (Loss) Per Common Share:
Net Income $ 0.00 $ 0.00 $ 0.00 $ 0.00
EX-99.6
BALANCE SHEET FOR 03/04
HYNES & HOWES INSURANCE COUNSELORS, INC.
Balance Sheet
March 31, 2004 and 2003
(Unaudited)
March 31,
2004 2003
Assets
Current Assets:
Cash in Bank $ 35,021 $ 55,010
Other Current Assets 10,761 7,624
Total Current Assets $ 45,782 $ 62,634
Investments:
Investment in Affiliated Company $ 0 $ 0
Contracts Receivable-Real Estate 665,909 663,849
Real Estate on Hand 0 5,550
Equipment 5,413 8,756
Total Investments $ 671,322 $ 678,155
Total Assets $ 717,104 $ 740,789
Liabilities and Stockholders' Equity
Current Liabilities:
Buyers Escrow $ 7,217 $ 4,953
Contracts Payable 0 0
Total Current Liabilities $ 7,217 $ 4,953
Long Term Liabilities:
Contracts Payable $ 0 $ 0
Total Long Term Liabilities $ 0 $ 0
Total Liabilities $ 7,217 $ 4,953
Stockholders' Equity:
Capital Stock, no par value, 100,000,000 shares
authorized, 11,260,675 shares issued $ 3,780,765 $ 3,780,765
Paid in Capital 100 100
Retained Earnings (Deficit) (3,037,777) (3,011,777)
Treasury Stock, at cost (33,252) (33,252)
Total Stockholders' Equity $ 709,887 $ 735,836
Total Liabilities and Stockholders'
Equity $ 717,104 $ 740,789
EX-99.7
STATEMENT OF OPERATIONS FOR 03/04
HYNES & HOWES INSURANCE COUNSELORS, INC.
Statement of Operations
For the Six Months Ended March 31, 2004 and 2003
(Unaudited)
The following Statements of Operations of Hynes & Howes Insurance Counselors,
Inc. for the six months ended March 31, 2004 and 2003, reflect, in the
opinion of the Company, all adjustments (which include only normal recurring
adjustments) necessary to present fairly the results of operations for such
periods. The results for interim periods are not necessarily indicative of
results to be expected for the year.
Three Months Ended Six Months Ended
March 31, March 31,
2004 2003 2004 2003
Operating Income:
Interest $21,117 $ 22,942 $38,881 $42,240
Other Income 10,286 1,051 9,612 (11,951)
Total Operating Income $31,403 $ 23,993 $48,493 $30,289
Operating Expenses:
Management Fees $12,000 $ 12,000 $24,000 $24,000
Legal and Audit 736 876 8,530 7,980
Other Operating Expenses 17,208 10,752 27,830 22,754
Total Operating Expenses$29,944 $ 23,628 $60,360 $54,734
Income(Loss)from Operations $ 1,459 $ 365 $(11,867) $(24,445)
Provision for Income Taxes 0 0 0 0
Net Income (Loss) $ 1,459 $ 365 $(11,867) $(24,445)
Earnings Per Common Share $ 0 $ 0 $ 0 $ 0
Dividends per Common Share $ 0 $ 0 $ 0 $ 0
EX-99.8
STATEMENT OF CASH FLOW FOR 03/04
HYNES & HOWES INSURANCE COUNSELORS, INC.
Statement of Cash Flow
For the Six Months Ended March 31, 2004 and 2003
Increase (Decrease) in Cash and Cash Equivalents
(Unaudited)
Six Months Ended
March 31,
2004 2003
Cash Flows from Operating Activities:
Interest Received $ 38,881 $ 42,240
Other Income Received 11,054 1,901
Legal, Audit and Management Fees Paid (32,530) (31,980)
Cash Paid to Suppliers for
Operating Expenses (29,811) (21,169)
Net Cash Provided (Used)
by Operating Activities $ (12,406) $( 9,008)
Cash Flow from Financing Activities:
Purchase of Equipment $ 0 0
Net Cash Provided (Used)
by Financing Activities $ 0 0
Cash Flow from Investing Activities:
Principal Collected on Real Estate
Contracts $ 36,136 55,207
Purchase of Real Estate Contracts 0 0
Buyers Escrow Received 2,121 1,649
Tax Certificates Collected (Purchased) 8,328 (374)
Principal Reduction on Contracts Payable 0 (8,157)
Purchase of real estate 0 (5,550)
Net Cash Provided (Used)
by Investing Activities $ 46,585 $ 42,775
Net Increase (Decrease) in Cash
and Cash Equivalents $ 34,179 $ 33,767
Cash & Cash Equivalents at
Beginning of Period $ 842 $ 21,244
Cash and Cash Equivalents at End of Period $ 35,021 $ 55,011
EX-27
ART. 5 FDS FOR 03/31/04
PERIOD-TYPE 6-MOS
FISCAL-YEAR-END SEP-30-2004
PERIOD-END MAR-31-2004
CASH 35,021
SECURITIES 0
RECEIVABLES 665,909
ALLOWANCES 0
INVENTORY 0
CURRENT-ASSETS 10,761
REAL ESTATE 0
PP&E 19,330
DEPRECIATION 13,917
TOTAL-ASSETS 717,104
CURRENT-LIABILITIES 4,953
LONG-LIABILITIES 0
BONDS 0
PREFERRED-MANDATORY 0
PREFERRED 0
COMMON 3,780,765
OTHER-SE 100
TOTAL-LIABILITY-AND-EQUITY 717,104
SALES 0
TOTAL-REVENUES 48,493
CGS 0
TOTAL-COSTS 60,360
OTHER-EXPENSES 0
LOSS-PROVISION 0
INTEREST-EXPENSE 0
INCOME-PRETAX (11,867)
INCOME-TAX 0
INCOME-CONTINUING 0
DISCONTINUED 0
EXTRAORDINARY 0
CHANGES 0
NET-INCOME (11,867)
EPS-PRIMARY 0
EPS-DILUTED 0