Attached files
| file | filename |
|---|---|
| EX-32.1 - CERTIFICATION OF CEO PURSUANT TO SECTION 906 - HYPERERA INC | v228894_ex32-1.htm |
| EX-32.2 - CERTIFICATION OF CFO PURSUANT TO SECTION 906 - HYPERERA INC | v228894_ex32-2.htm |
| EX-31.2 - CERTIFICATION OF CFO PURSUANT TO SECTION 302 - HYPERERA INC | v228894_ex31-2.htm |
| EX-31.1 - CERTIFICATION OF CEO PURSUANT TO SECTION 302 - HYPERERA INC | v228894_ex31-1.htm |
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
x QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2010
¨ TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
For the transition period from _____________________ to ______________
Commission file number 333-163035
Hyperera, Inc.
(Name of small business issuer in our charter)
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Nevada
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7370
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26-2007556
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||
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(State or other jurisdiction of
incorporation or organization)
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(Primary Standard
Industrial Classification
Code Number)
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IRS I.D.
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2316 S Wentworth Ave
Chicago, IL
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60616
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(Address of principal executive offices)
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(Zip Code)
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Registrant’s telephone number: 312-842-2288
N/A
(Former name, former address and former three months, if changed since last report)
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 ¨
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes ¨ No ¨
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 the definitions of "large accelerated filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.
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Large accelerated filer
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¨
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Accelerated filer
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¨
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|||
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Non-accelerated filer
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¨
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Smaller Reporting Company
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x
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Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes ¨ No x
As of June 30, 2010 there were 27,999,000 shares issued and outstanding of the registrant’s common stock.
TABLE OF CONTENTS
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PART I — FINANCIAL INFORMATION
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F-1
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Item 2. Management’s Discussion and Analysis or Plan of Operation.
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3
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Item 3. Quantitative and Qualitative Disclosure about Market Risk
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7
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Item 4. Controls and Procedures.
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7
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PART II — OTHER INFORMATION
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7
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Item 1. Legal Proceedings.
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7
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Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.
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7
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Item 3. Defaults Upon Senior Securities
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8
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Item 4. (Removed and Reserved).
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8
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Item 5. Other Information.
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8
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Item 6. Exhibits.
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8
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2
PART I — FINANCIAL INFORMATION
HYPERERA, INC.
(A Development Stage Enterprise)
Financial Statements
(Unaudited)
As of June 30, 2010, and 2009
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Consolidated Balance Sheet
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F-3
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Consolidated Statement of Operation
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F-4
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Statement of Shareholders Equity
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F-5
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Consolidated Statement of Cash Flow
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F-6
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Notes to Consolidated Financial Statements
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F-7
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| Exhibit A |
F-2
(A Development Stage Enterprise)
BALANCE SHEET
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June 30
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December 31
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|||||||
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2010
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2009
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(Unaudited)
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||||||||
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ASSETS
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Current assets:
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||||||||
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Cash and cash equivalents
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$ | 6,966 | $ | 84,504 | ||||
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Accounts receivable, net
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- | - | ||||||
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Total Current Assets
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$ | 6,966 | $ | 84,504 | ||||
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Other current assets:
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||||||||
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Prepaid expense to supplier
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- | 148,600 | ||||||
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Prepaid rent
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10,325 | - | ||||||
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Loan to related supplier
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165,000 | - | ||||||
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Total Other Current Assets
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$ | 175,325 | $ | 148,600 | ||||
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TOTAL ASSETS
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$ | 182,291 | $ | 233,104 | ||||
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LIABILITIES & EQUITY
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Current liabilities:
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||||||||
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Account payable
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$ | - | $ | - | ||||
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Total current liabilities
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$ | - | $ | - | ||||
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Other current liabilities:
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||||||||
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Loan from shareholders
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64,759 | 53,631 | ||||||
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Total other current liabilities
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$ | 64,759 | $ | 53,631 | ||||
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Total liabilities
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$ | 64,759 | $ | 53,631 | ||||
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Stockholders' Equity:
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||||||||
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Common stock, $0.001 par value;
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||||||||
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200,000,000 shares authorized;
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||||||||
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27,999,000 shares issued and outstanding.
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$ | 27,999 | $ | 27,999 | ||||
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Paid-in capital
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$ | 242,171 | $ | 242,171 | ||||
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Deficit accumulated during the development stage
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(152,038 | ) | (90,244 | ) | ||||
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Accumulated other comprehensive loss
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(600 | ) | (453 | ) | ||||
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Total stockholders' equity
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$ | 117,532 | $ | 179,473 | ||||
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TOTAL LIABILITIES & EQUITY
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$ | 182,291 | $ | 233,104 | ||||
F-3
HYPERERA, INC
(A Development Stage Enterprise)
STATEMENT OF LOSS
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Cumulative from
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||||||||||||||||||||
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Six Month Ended
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Six Month Ended
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Three Month Ended
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Three Month Ended
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February 19, 2008
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June 30
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June 30
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June 30
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June 30
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(Date of Inception) to
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2010
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2009
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2010
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2009
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June 30, 2010
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||||||||||||||||
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(Unaudited)
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(Unaudited)
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(Unaudited)
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(Unaudited)
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(Unaudited)
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||||||||||||||||
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Revenues
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$ | 162,840 | $ | - | $ | - | $ | - | $ | 228,858 | ||||||||||
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Cost of Goods Sold
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148,000 | - | - | - | 207,998 | |||||||||||||||
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Gross Profit
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$ | 14,840 | $ | - | $ | - | $ | - | $ | 20,860 | ||||||||||
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Operating expenses:
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Research and development
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- | - | - | - | - | |||||||||||||||
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Selling, general and administrative expenses
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76,634 | 12,099 | 59,509 | 5,217 | 172,961 | |||||||||||||||
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Depreciation and amortization expenses
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- | - | - | - | - | |||||||||||||||
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Total Operating Expenses
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$ | 76,634 | $ | 12,099 | $ | 59,509 | $ | 5,217 | $ | 172,961 | ||||||||||
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Operating Loss
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$ | (61,794 | ) | $ | (12,099 | ) | $ | (59,509 | ) | $ | (5,217 | ) | $ | (152,101 | ) | |||||
| - | ||||||||||||||||||||
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Investment income, net
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$ | - | $ | 42 | $ | - | $ | 7 | $ | 63 | ||||||||||
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Interest Expense, net
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- | - | - | - | - | |||||||||||||||
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Loss before income taxes
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(61,794 | ) | (12,057 | ) | (59,509 | ) | (5,210 | ) | (152,038 | ) | ||||||||||
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Loss tax expense
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- | - | - | |||||||||||||||||
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Net loss
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$ | (61,794 | ) | $ | (12,057 | ) | $ | (59,509 | ) | $ | (5,210 | ) | $ | (152,038 | ) | |||||
| - | ||||||||||||||||||||
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Net loss per common share- Basics
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$ | (0.00 | ) | $ | (0.00 | ) | $ | (0.02 | ) | $ | (0.00 | ) | $ | (0.00 | ) | |||||
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Net loss per common share- Diluted
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$ | (0.00 | ) | $ | (0.00 | ) | $ | (0.00 | ) | $ | (0.00 | ) | $ | (0.00 | ) | |||||
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Other comprehensive income (loss), net of tax:
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||||||||||||||||||||
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Foreign currency translation adjustments
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(147 | ) | (140 | ) | (147 | ) | (140 | ) | (600 | ) | ||||||||||
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Other comprehensive loss
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$ | (147 | ) | $ | (140 | ) | $ | (147 | ) | $ | (140 | ) | $ | (600 | ) | |||||
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Comprehensive Income (Loss)
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$ | (61,941 | ) | $ | (12,198 | ) | $ | (59,656 | ) | $ | (5,350 | ) | $ | (152,638 | ) | |||||
F-4
HYPERERA, INC
(A Development Stage Enterprise)
STATEMENT OF STOCKHOLDERS EQUITY
The Period February 19, 2008 ( Date of Inception)
through June 30, 2010
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Deficit
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||||||||||||||||||||||||
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Accumulated
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Accumulated
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|||||||||||||||||||||||
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Additional
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During the
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Other
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Total
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|||||||||||||||||||||
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Common Stock
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Paid-in
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Development
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Comprehensive
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Stockholders'
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||||||||||||||||||||
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Shares
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Amount
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Capital
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Stage
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Income (Loss)
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Equity
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Issuance of common stocks to shareholders @0.001 per share on February 19, 2008
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20,000,000 | $ | 20,000 | $ | - | $ | - | $ | 20,000 | |||||||||||||||
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Issuance of common stocks to shareholders @0.03 per share on March 31, 2008
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5,200,000 | $ | 5,200 | $ | 150,800 | $ | 156,000 | |||||||||||||||||
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Issuance of common stocks to shareholders @0.03 per share on April 28, 2008
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1,400,000 | $ | 1,400 | $ | 40,600 | $ | 42,000 | |||||||||||||||||
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Issuance of common stocks to shareholders @0.03 per share on July 20, 2008
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1,200,000 | $ | 1,200 | $ | 34,800 | $ | 36,000 | |||||||||||||||||
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Issuance of common stocks to Williams @0.03 per share on July 20, 2008
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139,000 | $ | 139 | $ | 4,031 | $ | 4,170 | |||||||||||||||||
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Adjustment for Exchange rate changes
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$ | (311 | ) | $ | (311 | ) | ||||||||||||||||||
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Net loss for the period ended December 31, 2008
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$ | (51,611 | ) | $ | (51,611 | ) | ||||||||||||||||||
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Balance, December 31, 2008
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27,939,000 | $ | 27,939 | $ | 230,231 | $ | (51,611 | ) | $ | (311 | ) | $ | 206,248 | |||||||||||
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Issuance of common stocks to shareholders @0.20 per share on December 15, 2009
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60,000 | $ | 60 | $ | 11,940 | $ | 12,000 | |||||||||||||||||
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Adjustment for Exchange rate changes
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$ | (142 | ) | $ | (142 | ) | ||||||||||||||||||
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Net loss for the period ended December 31, 2009
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$ | (38,633 | ) | $ | (38,633 | ) | ||||||||||||||||||
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Balance, December 31, 2009
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27,999,000 | $ | 27,999 | $ | 242,171 | $ | (90,244 | ) | $ | (453 | ) | $ | 179,473 | |||||||||||
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Adjustment for Exchange rate changes
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$ | (147 | ) | $ | (147 | ) | ||||||||||||||||||
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Net loss for the period ended June 30, 2010
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$ | (61,794 | ) | $ | (61,794 | ) | ||||||||||||||||||
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Balance, June 30, 2010
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27,999,000 | $ | 27,999 | $ | 242,171 | $ | (152,038 | ) | $ | (600 | ) | $ | 117,532 | |||||||||||
F-5
HYPERERA, INC
(A Development Stage Enterprise)
CONSOLIDATED STATEMENT OF CASH FLOWS
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Cumulative from
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||||||||||||||||||||
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Six Months Ended
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Six Months Ended
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Three Months Ended
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Three Months Ended
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February 19, 2008
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June 30
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June 30
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June 30
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June 30
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(Date of Inception) to
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2010
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2009
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2010
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2009
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June 30, 2010
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||||||||||||||||
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(Unaudited)
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(Unaudited)
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(Unaudited)
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(Unaudited)
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(Unaudited)
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||||||||||||||||
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Operating Activities:
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Net Income (Loss)
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$ | (61,794 | ) | $ | (12,057 | ) | $ | (59,509 | ) | $ | (5,210 | ) | $ | (152,038 | ) | |||||
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Adjustments to reconcile net income to net cash provided by operating activities:
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Non-cash portion of share based legal fee expense
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- | - | - | - | 4,170 | |||||||||||||||
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Prepaid expenses
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138,275 | (207,998 | ) | (10,325 | ) | - | (10,325 | ) | ||||||||||||
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Loan to shareholders/officer
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- | 115,000 | - | - | ||||||||||||||||
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Loan to related supplier
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(165,000 | ) | - | (165,000 | ) | - | (165,000 | ) | ||||||||||||
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Account payable
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- | (139 | ) | - | 216 | - | ||||||||||||||
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Payroll liabilities
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- | (668 | ) | - | - | - | ||||||||||||||
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Loan from shareholders
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11,128 | 39,500 | 3,410 | - | 64,759 | |||||||||||||||
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Net cash provided by operating activities
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$ | (77,391 | ) | $ | (66,362 | ) | $ | (231,424 | ) | $ | (4,994 | ) | $ | (258,434 | ) | |||||
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Investing Activities:
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Net cash provided by investing activities
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$ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||
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Financing Activities:
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||||||||||||||||||||
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Proceeds from issuance of common stock
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- | - | - | - | 266,000 | |||||||||||||||
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Net cash provided by financing activities
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$ | - | $ | - | $ | - | $ | - | $ | 266,000 | ||||||||||
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Effect of Exchange Rate on Cash
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$ | (147 | ) | $ | (140 | ) | $ | (147 | ) | $ | (140 | ) | $ | (600 | ) | |||||
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Net increase (decrease) in cash and cash equivalents
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$ | (77,538 | ) | $ | (66,502 | ) | $ | (231,571 | ) | $ | (5,134 | ) | $ | 6,966 | ||||||
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Cash and cash equivalents at beginning of the period
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$ | 84,504 | $ | 92,770 | $ | 238,537 | $ | 31,402 | $ | - | ||||||||||
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Cash and cash equivalents at end of period
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$ | 6,966 | $ | 26,268 | $ | 6,966 | $ | 26,268 | $ | 6,966 | ||||||||||
F-6
HYPERERA, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE A- BUSINESS DESCRIPTION
Hyperera, Inc. (the “Company”), incorporated under the laws of Nevada on February 19, 2008, with registered address at 375 N. Stephanie, Suite 1411, Henderson, NV 89014. Hyperera, Inc. operates its business in the U.S. as Hyperera USA, Inc. the Company’ s wholly owned branch located in the State of Illinois and has principal office at 2316 South Wentworth Avenue, Chicago, IL 60616.
In addition to our U.S. operation, we have one representative office in China. Hyperera Beijing Representative Office (“Hyperera Beijing”) was established on April 2, 2008. It is a representative office on behalf of Hyperera, Inc. The office was closed effective on July 1, 2009; in order to developing and operating more efficiently, at the mean time, Hyperera, Inc established a subsidiary Hyperera Technology (Beijing) Co, Ltd in China in July 3, 2009 to replace the office to conduct and operate the business of trading services, distribution, and marketing of the surgery anesthesia clinic management software and ICU management system software and hardware system in Asia.
Hyperera Technology (Beijing) Co, Ltd, as the wholly owned subsidiary, is registered on July 3, 2008 in China. Hyperera Technology (Beijing), Ltd is located at Room 11A, Block B, Kingwing Hotel, No. 17 Dongsanhuan South Road, Chaoyang District, Beijing, China 100021.
Hyperera, Inc. is headquartered in 2316 South Wentworth Avenue, Chicago, IL 60616, USA. The telephone number is 312-842-2288.
Hyperera Inc is a high-tech enterprise specialized in the surgery anesthesia clinic management software and intensive care unit (ICU) management system, control software research, development, software maintenance, upgrade and services. Our business is the sale of the surgery anesthesia clinic management software and ICU management system in Asia, and North America.
The surgery anesthesia clinic management software and ICU management system software is developed in China by Beijing Chaoran Chuangshi Technology Co., Ltd (“Beijing Chaoran”). It was established in 2002 specializing in technology developed and service, sales of computer hardware and software, machine and electric equipment. Beijing Chaoran Chuangshi Technology Co., is located in No.28 Mujiu Road, Mujiayu Town, Miyun, Beijing, China. On March 1st, 2008, Hyperera, Inc. signed a long-term distribution agreement with Beijing Chaoran Chuangshi Technology Co. Beijing Chaoran Chuangshi Technology Co is a Chinese Technology company owned 100% by Mr.Liancheng Li, a Chinese national, the founder of the company.
F-7
HYPERERA, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE B – SIGNIFICANT ACCOUNTING POLICIES
At June 30, 2010 and for the three months and six months then ended respectively, the financial statements reflect the assets, revenues and expenditures of the Company on the accrued basis of accounting.
The preparation of consolidated financial statements in conformity with generally accepted accounting principles in the United States of America requires management to make estimates and assumptions that affect certain amounts reported in the financial statements and disclosures. Accordingly, actual results could differ from those estimates.
The Company has determined the United States dollars to be its functional currency for Hyperera; People’s Republic of China Chinese Yuan Renminbi to be its functional currency in Hyperera Beijing subsidiary. Assets and liabilities were translated to U.S. dollars at the period-end exchange rate. Statement of operations amounts were translated to U.S. dollars using the first date of each month during the year. Gains and losses resulting from translating foreign currency financial statements are accumulated in other comprehensive income (loss), a separate component of shareholders’ equity.
Cash and Cash Equivalents
The Company considers all highly-liquid investments with an original maturity of three months or less when purchased to be cash equivalents. As of June 30, 2010, there was $6,966 cash and cash equivalents.
Property, Plant, and Equipment Depreciation
Property, plant, and equipment are stated at cost. Depreciation is being provided principally by straight line methods over the estimated useful lives of the assets. As of June 30, 2010, there were no fixed assets in the Company’s balance sheets.
Comprehensive Income (Loss)
The company’s comprehensive income (loss) is comprised of net income (loss), unrealized gains and losses on marketable securities classified foreign currency translation adjustments, and unrealized gains and losses on derivative financial instruments related to foreign currency hedging. For the period of January 1 to June 30, 2010, the company has $147 comprehensive loss, and has an accumulated comprehensive loss of $ 600 as of June 30, 2010.
F-8
HYPERERA, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE B - SIGNIFICANT ACCOUNTING POLICIES (Continued)
Stock-Based Compensation
The Company accounts for stock issued for services using the fair value method. In accordance with FASB ASC 505, the measurement date of shares issued for services is the date at which the counterparty’s performance is complete.
Net Loss Per Common Share
Basic EPS is computed by dividing the income (loss) available to Common Shareholders by the weighted-average number of common shares outstanding for the period. Diluted EPS is based on the weighted-average number of shares of common stock and common stock equivalents outstanding during the periods.
The Company only issued one type of shares, i.e., common shares only. There are no other types securities were issued. Accordingly, the diluted and basics net loss per common share are the same.
Revenue Recognition
In accordance FASB ASC 985-605-25, “Revenue Recognition,” the Company recognizes sales revenue for hardware, software and customized clinical information systems sales when it is realized or realizable and earned:
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·
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Persuasive evidence of an arrangement exists
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·
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Delivery has occurred
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·
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The vendor’s fee is fixed or determinable
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·
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Collectability is probable
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(1)
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Sales of Hardware
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For most of the Company’s hardware product sales, these criteria are met at the time the product is shipped. The Company recognizes revenue from the sale of hardware products, and software bundled with hardware that is essential to the functionality of the hardware sold by the Company in accordance with general revenue recognition accounting guidance based on guidance in FASB ASC 605-25.
At the six months period ended June 30, 2010, the company sold total of hardware products for $162,840, which had no bundled system operation software.
F-9
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE B - SIGNIFICANT ACCOUNTING POLICIES (Continued)
Revenue Recognition (Continued)
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(2)
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Sales of Software
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In accordance with FASB ASC 605-25 and FASB ASC 985-605-25, “Revenue Recognition,” the Company recognizes software sales revenue when it is realized or realizable and earned. Revenue is realized or realizable when the product is exchanged for cash or for claim to cash or other assets that are readily convertible into known amounts of cash. The Company must meet all of the following four criteria under FASB ASC 605-25 and FASB ASC 985-605-25 to recognize software revenue:
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·
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Persuasive evidence of an arrangement exists
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·
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Delivery has occurred
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·
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The vendor’s fee is fixed or determinable
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·
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Collectability is probable.
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The Company recognizes revenue in accordance with industry specific software accounting guidance for the following types of sales transactions: (i) standalone sales of software products, (ii) sales of software upgrades and (iii) sales of software bundled with hardware not essential to the functionality of the hardware.
The Company’s CIS software is standalone, and as of June 30, 2010, there were no software sale was recognized.
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(3)
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Multiple-element Arrangement for Sales of Hardware, Software and CIS:
|
We currently recognize multiple-element sales revenue pursuant to FASB ASC Topic 985-605 Software, Revenue Recognition, or ASC 985-605. We generate revenue from the sale of our software products sold directly to end-users. We also generate revenue from sales of hardware and third party software, implementation, training, software customization, post-contract support (maintenance). A typical system contract contains multiple elements of the above items. FASB ASC Topic 985-605-25, Software, Revenue Recognition, Multiple Elements, or ASC 985-605-25, as amended, requires revenue earned on software arrangements involving multiple elements to be allocated to each element based on the relative fair values of those elements. The fair value of an element must be based on vendor specific objective evidence ("VSOE"). We limit our assessment of VSOE for each element to either the price charged when the same element is sold separately or the price established by management having the relevant authority to do so, for an element not yet sold separately. VSOE calculations are updated and reviewed at the end of each quarter or annually depending on the nature of the product or service.
F-10
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE B - SIGNIFICANT ACCOUNTING POLICIES (Continued)
Revenue Recognition (Continued)
In accordance with paragraph 4-14 of FASB ASC 605-45, "Reporting Revenues Gross as a Principal versus Net as an Agent", the Company will recognize revenues on a gross basis.
ASC 605-45 discusses whether revenues and cost of goods sold to arrive at gross profit and their corresponding assets and liabilities should be recorded at gross or net.
The following indicators of gross revenue recognition are applicable in the Company:
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·
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Acts as principal in the transaction.
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·
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Has risk and rewards of ownership, such as risk of loss for collection, delivery and returns, and
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·
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Takes title to the products,
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·
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Flexibility in pricing
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·
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Assumes credit risk;
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·
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The company can change the products or perform part of the service, and the Company customizes the supplier’s software based on customer’s needs.
|
All the indicators of net revenue reporting (ASC 605-45, paragraph 16-23) are not applicable in the Company.
Professional Fee
Professional fee is consisted of accounting and auditing fee, legal fee, consulting fee, SEC filing fee, and other professional expenses.
For the six months period of January to June 2010, the Company incurred $ 41,840 of professional expense, which include $39,172 was expensed from April 1 to June 30, 2010.
Operating Expenses
From the six months period of January 1, 2010 to June 30, 2010 and 2009, there’s total of $ 76,634 and $ 12,099 operating expenses respectively. For the three months period of April 1, 2010 to June 30, 2010 and 2009, there was total of $ 59,509 and $ 5,217 operating expenses respectively. Details shows in the Exhibit A.
F-11
HYPERERA, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE B - SIGNIFICANT ACCOUNTING POLICIES (Continued)
Operating Leases
The Company entered into two leases for its corporate offices under terms of non-cancelable operating leases. The first lease term is from March 1, 2008 through February 28, 2011 and requires a $600 monthly lease payment. This office space is the corporate office of US, and is leased from a related party, which is the Company’s officer Simon Bai. For the six months period of January to June 2010 and 2009, there was $3,600 rent expense incurred for both years.
The second lease is the office space for China’s subsidiary in Beijing. The lease term runs from July 1, 2009 through June 30, 2011 and required a RMB 17,552 monthly lease payment. For the period of January to June 2010, there was USD $12,872 rent expenses incurred.
Therefore, there was total of $16,472 and $ 3,600 rent expenses for the six months end June 30, 2010 and 2009; and total of $ 6,962 and $ 1,800 rent expenses for the three months end June 30, 2010 and 2009.
Payroll Expense
Started from June 1, 2008, Hyperera Beijing’s Representative office had one full time employee to take care of daily management and administrative activities for the Company. The total payroll expense for the year ended 2008 was $5,000. in order to developing and operating more efficiently, the Company closed the representative office in July 1, 2009, at the mean time, Hyperera, Inc established a subsidiary Hyperera Technology (Beijing) co, Ltd in China in July 3, 2009 to replace the office to conduct and operate the business of trading services, distribution, and marketing of the surgery anesthesia clinic management software and ICU management system software and hardware system in Asia.
Therefore, there’s $4,293 payroll expense for Hyperera Beijing’s Representative office for the period of January 1, 2009 to June 30, 2009, but there’s no active employee and no payroll expense for the China subsidiary Hyperera Technology (Beijing) Co, Ltd in 2009 and in the period of January to June 2010. And there was no payroll expense incurred in USA in 2009 and 2010.
F-12
HYPERERA, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE B - SIGNIFICANT ACCOUNTING POLICIES (Continued)
Recent Issued Accounting Pronouncements
The following pronouncements have become effective during the period covered by these financial statements or will become effective after the end of the period covered by these financial statements:
|
Pronouncement
|
Issued
|
Title
|
||
|
ASC 855
|
May 2009
|
Subsequent Events
|
||
|
ASC 105
|
June 2009
|
The FASB Accounting Standards Codification and the Hierarchy of Generally Accepted Accounting Principles—a replacement of FASB Statement No. 162
|
||
|
ASC 820
|
August 2009
|
Fair Value Measurements and Disclosures – Measuring Liabilities at Fair Value
|
||
|
ASC 260
|
September 2009
|
Earnings per Share – Amendments to Section 260-10-S99
|
||
|
ASC 605
|
October 2009
|
Revenue Recognition (Topic 605): Multiple-Deliverable Revenue Arrangements – a consensus of the FASB Emerging Issues Task Force
|
||
|
ASC 860
|
December 2009
|
Transfers and Servicing (Topic 860): Accounting for Transfers of Financial Assets
|
||
|
ASC 505
|
January 2010
|
Accounting for Distributions to Shareholders with Components of Stock and Cash – a consensus of the FASB Emerging Issues Task Force
|
||
|
ASC 810
|
January 2010
|
Consolidation (Topic 810): Accounting and Reporting for Decreases in Ownership of a Subsidiary – a Scope Clarification
|
||
|
ASC 718
|
January 2010
|
Compensation – Stock Compensation (Topic 718): Escrowed Share Arrangements and the Presumption of Compensation
|
||
|
ASC 820
|
January 2010
|
Fair Value Measurements and Disclosures (Topic 820): Improving Disclosures about Fair Value Measurements
|
||
|
ASC 855
|
February 2010
|
Subsequent Events (Topic 855): Amendments to Certain Recognition and Disclosure Requirements
|
||
|
ASC 810
|
February 2010
|
Consolidation (Topic 810): Amendments for Certain Investment Funds
|
||
|
ASC 815
|
March 2010
|
Derivatives and Hedging (Topic 815): Scope Exception Related to Embedded Credit Derivatives
|
Management assessed that the new accounting pronouncements listed above will have a material impact on our financial statements. The Company shall adopt the ASC 605 for revenue recognition of multiple elements arrangement for sales of customized information system software.
F-13
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE B - SIGNIFICANT ACCOUNTING POLICIES (Continued)
Income Tax
The Company filed extension for corporate tax return Form 1120 to Internal Revenue Service and IL 1120 to the State of Illinois for the year 2010. There is no income tax for the State of Nevada.
Concentration of credit risk
The Company maintains its cash in bank accounts which, at times, may exceed the federally insured limits. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk on cash.
NOTE C – RELATED PARTY TRANSACTIONS
Common Shares Issued to Executive and Non-Executive Officers and Directors
As of June 30, 2010, total 20,400,000 shares were issued to officers and directors. The percentage of common shares issued to executive and non-executive officers and directors was based on total outstanding shares of 27,999,000.
Please see the Table below for details:
|
Name
|
Title
|
Share QTY
|
Amount
|
Date
|
% of Common
Share
|
||||||||||
|
Zhi Yong Li
|
Chairman
|
10,000,000 | $ | 10,000.00 |
2/19/2008
|
35.72 | % | ||||||||
|
Wei Wu
|
President
|
5,000,000 | $ | 5,000.00 |
2/19/2008
|
17.86 | % | ||||||||
|
Hui Tao Zhou
|
Director
|
5,000,000 | $ | 5,000.00 |
2/19/2008
|
17.86 | % | ||||||||
|
Jian Wu Zhang
|
Director
|
100,000 | $ | 3,000.00 |
3/31/2008
|
0.36 | % | ||||||||
|
Ming Liu
|
Director
|
100,000 | $ | 3,000.00 |
3/31/2008
|
0.36 | % | ||||||||
|
Hong Tao Bai
|
Vice-President
|
100,000 | $ | 3,000.00 |
3/31/2008
|
0.36 | % | ||||||||
|
Nan Su
|
CTO
|
100,000 | $ | 3,000.00 |
3/31/2008
|
0.36 | % | ||||||||
|
Simon Bai
|
CFO
|
0.00 | % | ||||||||||||
|
Total
|
20,400,000 | $ | 32,000.00 | 72.86 | % | ||||||||||
F-14
HYPERERA, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE C – RELATED PARTY TRANSACTIONS (Continued)
Loans from Shareholders
As of June 30, 2010, the Company’s officer, Mr. Zhiyong Li have loaned $ 64,759 to Hyperera China Subsidiary for operating and administrating expenses.
Prepaid Expense to Supplier
On March, 2009, the Company wire transferred $207,998 to Beijing Chaoran for prepaid hardware purchase orders. As of December 30, 2009, there’s a total of $59,998 prepayment to supplier became Cost of Good Sold. And there’s total of $148,000 prepaid expense to supplier remaining. The supplier Beijing Chaoran is owned by Liancheng Li, the father of CEO, Mr. Zhiyong Li, which was related party transaction. On March 2010, the $148,000 prepaid expense became Cost of Goods Sold.
Cost of Goods Sold
The Company’s purchase cost is primarily from supplier, Beijing Chaoran Chuangshi Technology Co., Ltd (“Beijing Chaoran”), owned 100% by Mr.Liancheng Li, the father of Mr. Zhiyong Li. The management believes that the purchase price for the parts will be market price.
The products the Company will sell are provided by Beijing Chaoran Chuangshi Technology Co., Ltd. Beijing Chaoran was established in 2002 specializing in management information system applied in power industry. The Company signed a two-year software license and distribution agreement with Beijing Chaoran on March 1, 2009. Under the terms of the agreement Beijing Chaoran authorizes Hyperera to be its exclusive sales and service agent for suegery anesthesia clinic management software and ICU management system product lines. The product lines shall include the products that Beijing Chaoran developed before the agreement signed and the products that will be developed solely by Beijing Chaoran during the term of the agreement. Beijing Chaoran is the exclusive supplier of the products Hyperera sells. The management Hyperera, Inc. believes that the purchase price for the system and software from Hyperera will be market price. Hyperera, Inc. and Beijing Chaoran are two totally separated entities, i.e., Hyperara, Inc. is a USA corporation and will fully comply with USA regulations and USA general accepted accounting principles; Beijing Chaoran is a Chinese company and it will comply with Chinese legal systems. Hyperera, Inc. and Beijing Chaoran will operate independently. Beijing Chaoran, as a Chinese local company, will record their software and hardware costs based on the Chinese accounting regulations rulings. But, when Hyperera, Inc. purchases the software and hardware and the services from Beijing
F-15
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
Cost of Goods Sold (Continue)
Chaoran, Hyperera, Inc. will record the actual costs paid to Beijing Chaoran as long as the products or services been delivered to Hyperera, Inc. by Beijing Chaoran.
The management of Beijing Chaoran disclosed to Hyperera, Inc. that Beijing Chaoran adopted the cost plus pricing policies with market adjustment, negotiable with customers. Beijing Chaoran adopted the cost plus system for all the products for all customers including the product, surgery anesthesia clinic management software and ICU management system exclusively distributed by Hyperera, Inc. Specifically, the selling price for Beijing Chaoran is determined by total actual cost of direct materials (hardware), direct labor, and allocated overhead, plus 5-10% of total cost.
In March 1, 2009, the Company placed order to purchase the three hardware parts through Beijing Chaoran, the total cost of the hardware purchase is $207,998.00, the amount of $59,998 and $ 148,000 was prepaid on March 9 and 18, 2009 respectively.
The prepaid amount of $59,998 became cost of good sold as of December 31, 2009, and the prepaid amount of $148,000 became cost of good sold as of March 31, 2010.
Loans to Related Party Supplier- Beijing Chaoran
As of June 30, 2010, the Company advanced short-term loans of $ 165,000 to related party supplier, Beijing Chaoran. The repayment terms were demanded as request by the Company. there was no written loan agreement between the Chaoran and the Company, and orally agreed there was no accrual interest.
NOTE D – SHAREHOLDERS’ EQUITY
Under the Company’s Articles of Incorporation dated February 19, 2008, the Company is authorized to issue 200,000,000 shares of capital stock with a par value of $0.001.
On Feburary19, 2008, the Company was incorporated in the State of Nevada.
On February 19, 2008, , the Company issued 20,000,000 shares to three founders of the Company, Zhiyong Li, Wei Wu, and Huitao Zhou at $0.001 per share or $20,000 for initial capital (stock subscription receivable).
On March 31, 2008, the Company issued total 5,200,000 shares to 52 shareholders at $0.03 per share or $156,000 for common stock (stock subscription receivable).
F-16
NOTE D – SHAREHOLDERS’ EQUITY (Continue)
On April 28, 2008, the Company issued additional 1,400,000 shares to 14 shareholders at $0.03 per share or $42,000 for common stock (stock subscription receivable).
On July 20, 2008, additional 1,200,000 shares were issued to 7 shareholders at $ 0.03 per share, and the total proceeds of $36,000 were received.
On July 20, 2008, 139,000 shares were issued to Williams Law Group at $ 0.03 per share for the legal service value $4,170.
At December 15, 2009, additional 60,000 shares were issued to 3 shareholders, Baozhong Fu, Long Zhang, and Xuefeng Zhang, Chinese citizens, at $ 0.20 per share, and the total proceeds of $12,000 were received.
On September 10, 2010, additional 2,030,000 shares were issued to 79 shareholders, Chinese citizens, at $ 0.20 per share or $ 406,000 for common stock (stock subscription receivable).
There was no share issued in the period of January to June 2010.
Therefore, as of June 30, 2010, the company has a total of 27,999,000 shares were issued and outstanding.
NOTE E – GOING CONCERN
As shown in the accompanying financial statements which have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplates continuation of the Company as a going concern, the Company has incurred operating loss of $61,794 and cumulative operating loss of $152,038 for six months ended June 30, 2010 and the cumulative period February 19, 2008 (inception) through June 30, 2010, respectively. The Company is considered to be a development stage company.
The financial statements do not include any adjustments relating to the carrying amounts of recorded assets or the carrying amounts and classification of recorded liabilities that may be required should the Company be unable to continue as a going concern.
F-17
HYPERERA, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
NOTE E – GOING CONCERN (Continue)
The Company’s lack of operating history and financial resources raise substantial doubt about its ability to continue as a going concern. The financial statements do not include adjustments that might result from the outcome of this uncertainty and if the Company is unable to generate significant revenue or secure financing, then the Company may be required to cease or curtail its operations.
F-18
Exhibit A
|
Six Months
Ended
|
Six Months
Ended
|
Three Months
Ended
|
Three Months
Ended
|
|||||||||||||
|
6/30/2010
|
6/30/2009
|
6/30/2010
|
6/30/2009
|
|||||||||||||
|
Expense
|
||||||||||||||||
|
Administration Expense
|
$ | 74 | $ | - | $ | 74 | $ | - | ||||||||
|
Automobile Expense
|
147 | - | 147 | - | ||||||||||||
|
Bank Service Charges
|
300 | 158 | 120 | 31 | ||||||||||||
|
License & Registration
|
7,720 | 299 | 7,066 | 75 | ||||||||||||
|
Meals and Entertainment
|
- | 300 | - | - | ||||||||||||
|
Telephone Expense
|
780 | 155 | 780 | - | ||||||||||||
|
Postage Expense
|
4 | - | 4 | - | ||||||||||||
|
Utilities Expense
|
64 | - | 64 | - | ||||||||||||
|
Office Supplies
|
1,220 | - | 420 | - | ||||||||||||
|
Payroll Expenses
|
||||||||||||||||
|
Net Wage Payment-China
|
- | 4,007 | - | 2,671 | ||||||||||||
|
Payroll Withholding Tax-China
|
- | 286 | - | 190 | ||||||||||||
|
Total Payroll Expenses
|
- | 4,293 | - | 2,862 | ||||||||||||
|
Professional Fees
|
||||||||||||||||
|
Accounting & Auditing
|
15,000 | - | 15,000 | - | ||||||||||||
|
Consulting fee
|
23,000 | - | 23,000 | - | ||||||||||||
|
Legal Fee
|
600 | - | - | |||||||||||||
|
Professional Fees - Other
|
3,840 | 178 | 1,172 | 178 | ||||||||||||
|
Total Professional Fees
|
41,840 | 778 | 39,172 | 178 | ||||||||||||
|
Rent Expense
|
||||||||||||||||
|
Rent Expense - China Office
|
12,872 | - | 5,162 | - | ||||||||||||
|
Rent Expense - US Corp.
|
3,600 | 3,600 | 1,800 | 1,800 | ||||||||||||
|
Total Rent Expense
|
16,472 | 3,600 | 6,962 | 1,800 | ||||||||||||
|
Tax-China Operation
|
||||||||||||||||
|
Income Tax - China
|
- | 139 | - | 139 | ||||||||||||
|
Local Operation Tax - China
|
- | 132 | - | 132 | ||||||||||||
|
Total Tax-China Operation
|
- | 271 | - | 271 | ||||||||||||
|
Travel Expense
|
||||||||||||||||
|
Air Tickets
|
8,013 | 2,043 | 4,699 | - | ||||||||||||
|
Lodging & Hotel
|
- | 203 | - | - | ||||||||||||
|
Visa Application Fee
|
- | - | - | |||||||||||||
|
Total Travel Expense
|
8,013 | 2,246 | 4,699 | - | ||||||||||||
|
Total Expense
|
$ | 76,634 | $ | 12,099 | $ | 59,509 | $ | 5,217 | ||||||||
F-19
Item 2. Management’s Discussion and Analysis or Plan of Operation.
This 10−Q contains forward-looking statements. Our actual results could differ materially from those set forth as a result of general economic conditions and changes in the assumptions used in making such forward-looking statements. The following discussion and analysis of our financial condition and results of operations should be read together with the audited consolidated financial statements and accompanying notes and the other financial information appearing else where in this report. The analysis set forth below is provided pursuant to applicable Securities and Exchange Commission regulations and is not intended to serve as a basis for projections of future events.
Overview
Our business is sale of hardware and software and customization of clinical information system software for medical clinics and hospitals in China and throughout Asia.
The Clinical Information System of we sell was developed in China by Beijing Chaoran Chuangshi Technology Co., Ltd (“Beijing Chaoran”). It was established in 2002 specializing in technology developed and service, sales of computer hardware and software, machine and electric equipment. Beijing Chaoran is located in No.28 Mujiu Road, Mujiayu Town, Miyun, Beijing, China. Beijing Chaoran is a Chinese Technology company owned 100% by Mr.Liancheng Li, the father of our Chairman Zhi Yong Li.
We signed a three-year software distribution agreement with Beijing Chaoran on March 1, 2009. Under the terms of the agreement Beijing Chaoran authorizes Hyperera to be its exclusive sales and service agent for surgery anesthesia clinic management software and ICU management system product lines. The product lines shall include the products that Beijing Chaoran developed before the agreement signed and the products that will be developed by Beijing Chaoran during the term of the agreement. Beijing Chaoran is the exclusive supplier of the products Hyperera sells. The purchase price Hyperera will pay for all products subject to this agreement will be comparable to what Hyperera would have paid a non-related party in arm’s-length transactions. Specifically, the selling price for Beijing Chaoran is determined by total actual cost of direct materials (hardware), direct labor, and allocated overhead, plus 5-10% of Beijing Chaoran’s total purchase cost if Beijing Chaoran resell to Hyperera.
The Company sold computer hardware for $162,840 during March 2010 and had no sale income in the period of April to June 2010; therefore, there was $ 162,840 sales revenue for the period of January 1 to June 30, 2010.
Our operations depend heavily on the continuation of our distribution agreement with Beijing Chaoran. The agreement with Beijing Chaoran is for a term of three years commencing March 1, 2009, subject to earlier termination upon terms described in the Agreement. Although we believe such events are not likely, if they were to occur, we may not be able to find alternative suppliers if the agreement is terminated or not renewed which could reduce our revenues or cause us to cease operations.
Results of Operations
For the three months ended June 30, 2010 vs. June 30, 2009.
Revenue
For the three months ended June 30, 2010, there was no sales income recognized.
3
Cost of Revenue
For the three months ended June 30, 2010, there was no cost of goods sold incurred
For the three months ended June 30, 2009, there was no cost of goods sold incurred.
Expense
For the three months ended June 30, 2010, the Company incurred selling, general and administrative expenses of $ 59,509. The primary expenses were professional fees of $39,172 related to legal, consulting, accounting and audit fees, rental expense of $6,962, as well as license and registration fee of $ 7,066.
For the three months ended June 30, 2009, the Company incurred selling, general and administrative expenses of $ 5,217.
Income Taxes
The Company had net loss at June 30, 2010. There were no income taxes.
Net Income(Loss)
For three months ended June 30, 2010, the Company incurred net loss of $ 59,509; for three months ended June 30, 2009, the Company had net loss of $ 5,217.
For the six months ended June 30, 2010 vs. June 30, 2009.
Revenue
For the six months ended June 30, 2010, the Company had total revenue of $162,840.
For the six months ended June 30, 2009, there were no sales income recognized.
Cost of Revenue
All the products sold were purchased from Beijing Chaoran. For the six months ended June 30, 2010, the Company incurred total cost of goods sold $148,000 for the products purchased from Beijing Chaoran.
For the six months ended June 30, 2009, there was no cost of goods sold incurred.
Expense
For the six months ended June 30, 2010, the Company incurred selling, general and administrative expenses of $ 76,634 The primary expenses were professional fees of $41,840 related to legal, consulting, accounting and audit fees, rental expense of $16,472, as well as license and registration fee of $ 7,720.
For the six months ended June 30, 2009, the Company incurred selling, general and administrative expenses of $12,099.
4
The increase of selling, general and administrative expenses in 2010 vs. 2009, was due to the increase of professional services related to SEC filings, legal consulting, accounting, and the rental expense etc.
Income Taxes
The Company had net loss at June 30, 2010. There were no income taxes.
Net Income
For six months ended June 30, 2010, the Company incurred net loss of $61,794; for six months ended June 30, 2009, the Company had net loss of $12,057. At June 30, 2010, the Company had accumulated net loss of $152,038.
Commitments and Contingencies
The Company has signed a three year agreement with Beijing Chaoran. Our operations depend heavily on the continuation of our distribution agreement with Beijing Chaoran. The agreement with Beijing Chaoran is for a term of three years commencing March 1, 2009, subject to earlier termination upon terms described in the Agreement. Although we believe such events are not likely, if they were to occur, we may not be able to find alternative suppliers if the agreement is terminated or not renewed which could reduce our revenues or cause us to cease operations.
Foreign Currency Translation
The Company has determined the United States dollars to be its functional currency for Hyperera’s operation in USA; People’s Republic of China Chinese Yuan Renminbi to be its functional currency in Hyperera Beijing. Assets and liabilities were translated to U.S. dollars at the period-end exchange rate. The exchange rate of issuance of common stocks to shareholders was used as one U.S. dollar to 6.5 Chinese Yuan (RMB). Statement of operations amounts were translated to U.S. dollars using the historic rate, i.e., the rate at the last date of each month during the year. Gains and losses resulting from translating foreign currency financial statements are accumulated in other comprehensive income (loss), a separate component of shareholders’ equity.
Liquidity and Capital Resources
|
At June 30
|
At December 31
|
|||||||
|
2010
|
2009
|
|||||||
|
Current Ratio
|
2.81 | 4.12 | ||||||
|
Cash
|
$ | 6,966 | $ | 84,504 | ||||
|
Working Capital
|
$ | 117,532 | $ | 176,473 | ||||
|
Total Assets
|
$ | 182,291 | $ | 233,104 | ||||
|
Total Liabilities
|
$ | 64,759 | $ | 56,631 | ||||
|
Total Equity
|
$ | 117,532 | $ | 179,473 | ||||
|
Total Debt/Equity
|
0.55 | 0.32 | ||||||
*Current Ratio = Current Assets /Current Liabilities
5
** Total Debt / Equity = Total Liabilities / Total Shareholders Equity.
The Company had cash and cash equivalents of $6,966 at June 30, 2010, and the working capital of $117,532, and cash and cash equivalent of $ 84,504 at December 31, 2009 and the working capital of $176,473.
Our independent auditor has indicated that there is substantial doubt about our ability to continue as a going concern due to the Company’s short operating history and heavy concentration of customers. As shown in the accompanying financial statements which have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplates continuation of the Company as a going concern, the Company has incurred a cumulative operating loss of $152,038 for the period February 19, 2008 (inception) through June 30, 2010. The Company’s related party transactions, the short-term loans to related party supplier may raise substantial doubt about it’s ability to carry out it’s operational business plan and cause uncertainty about its cash flows, such related party borrows or withdraws may raise substantial doubt about the Company’s ability to continue as going concerns. There is no guarantee that the Company will be able to raise enough capital or generate revenues to sustain its operations and carry out its business plan. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. The financial statements do not include adjustments that might result from the outcome of this uncertainty and if the Company is unable to generate significant revenue or secure financing, then the Company may be required to cease or curtail its operation.
The financial statements do not include adjustments that might result from the outcome of this uncertainty and if the Company is unable to generate significant revenue or secure financing, then the Company may be required to cease or curtail its operations.
Shareholder’s Equity
The Company had total equity of $117,532 at June 30, 2010, and $179,473 at December 31, 2009, respectively.
On February 19, 2008, , the Company issued 20,000,000 shares to three founders of the Company, Zhiyong Li, Wei Wu, and Huitao Zhou at $0.001 per share or $20,000 for initial capital (stock subscription receivable).
On March 31, 2008, the Company issued total 5,200,000 shares to 52 shareholders at $0.03 per share or $156,000 for common stock (stock subscription receivable).
On April 28, 2008, the Company issued additional 1,400,000 shares to 14 shareholders at $0.03 per share or $42,000 for common stock (stock subscription receivable).
On July 20, 2008, additional 1,200,000 shares were issued to 7 shareholders at $ 0.03 per share, and the total proceeds of $36,000 were received.
On July 20, 2008, 139,000 shares were issued to Williams Law Group at $ 0.03 per share for the legal service value $4,170.
At December 15, 2009, additional 60,000 shares were issued to 3 shareholders, Baozhong Fu, Long Zhang, and Xuefeng Zhang, Chinese citizens, at $ 0.20 per share, and the total proceeds of $12,000 were received.
6
On September 10, 2010, additional 2,030,000 shares were issued to 79 shareholders, Chinese citizens, at $ 0.20 per share or $ 406,000 for common stock (stock subscription receivable).
There was no share issued in the period of January to June 2010.
Therefore, as of June 30, 2010, the company has a total of 27,999,000 shares were issued and outstanding.
Item 3. Quantitative and Qualitative Disclosure about Market Risk
Not applicable.
Item 4. Controls and Procedures.
Evaluation of Disclosure Controls and Procedures
The Company maintains disclosure controls and procedures (as defined in Rule 13a-15(e) under the Securities Exchange Act) that are designed to ensure that information required to be disclosed in the Company’s Securities Exchange Act reports is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms, and that such information 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.
The Company’s management, with the participation of the Company’s Chief Executive Officer and Chief Financial Officer, has evaluated the effectiveness of the Company’s disclosure controls and procedures as of the end of the period covered by this report. Based upon that evaluation, the Chief Executive Officer and the Chief Financial Officer have concluded that, as of the end of the period covered by this report, the Company’s disclosure controls and procedures were not effective.
Changes in Internal Control over Financial Reporting
There have not been any changes in the Company’s internal control over financial reporting (as such term is defined in Rule 13a-15(f) under the Securities Exchange Act) during the fiscal quarter ended June 30, 2010 that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.
PART II — OTHER INFORMATION
Item 1. Legal Proceedings.
None.
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.
None
7
(b) Use of Proceeds.
The Registrant did not sell any unregistered securities during the three months ended June 30, 2010.
Item 3. Defaults Upon Senior Securities
None.
Item 4. (Removed and Reserved).
Item 5. Other Information.
Not applicable.
Item 6. Exhibits.
|
|
(a)
|
Exhibits.
|
|
Exhibit
No.
|
Document Description
|
|
|
31.1
|
CERTIFICATION of CEO PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002.
|
|
|
31.2
|
CERTIFICATION of CFO PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002.
|
|
|
32.1
|
CERTIFICATION of CEO PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEYACT OF 2002
|
|
|
32.2
|
CERTIFICATION of CFO PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEYACT OF 2002
|
* This exhibit shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 of the Securities Exchange Act of 1934, whether made before or after the date hereof and irrespective of any general incorporation language in any filings.
8
In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Hyperera, Inc., a Nevada corporation
|
Title
|
Name
|
Date
|
Signature
|
|||
|
Principal Executive Officer
|
Zhi Yong Li
|
July 20, 2011
|
/s/ Zhi Yong Li
|
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.
|
SIGNATURE
|
NAME
|
TITLE
|
DATE
|
|||
|
/s/ Zhi Yong Li
|
Zhi Yong Li
|
Principal Executive Officer and Director
|
July 20, 2011
|
|||
|
/s/ Simon Bai
|
Simon Bai
|
Principal Financial Officer and Principal Accounting Officer
|
July 20, 2011
|
9
EXHIBIT INDEX
|
Exhibit
No.
|
Document Description
|
|
|
31.1
|
CERTIFICATION of CEO PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002.
|
|
|
31.2*
|
CERTIFICATION of CFO PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002.
|
|
|
32.1
|
CERTIFICATION of CEO PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEYACT OF 2002
|
|
|
32.2*
|
CERTIFICATION of CFO PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEYACT OF 2002
|
* This exhibit shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 of the Securities Exchange Act of 1934, whether made before or after the date hereof and irrespective of any general incorporation language in any filings.
10