Aly Energy Services, Inc. - FORM 8-K - EX-99.3 - PRO FORMA FINANCIAL STATEMENTS - May 15, 2013

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EX-21.1 - SUBSIDIARIES - Aly Energy Services, Inc.prfv_ex211.htm
8-K - FORM 8-K - Aly Energy Services, Inc.prfv_8k.htm
EX-3.6 - CERTIFICATE OF AMENDMENT - Aly Energy Services, Inc.prfv_ex36.htm
EX-3.3 - CERTIFICATE OF AMENDMENT - Aly Energy Services, Inc.prfv_ex33.htm
EX-4.1 - ALY ENERGY SERVICES INC. INVESTOR AGREEMENT - Aly Energy Services, Inc.prfv_ex41.htm
EX-2.2 - STOCK PURCHASE AGREEMENT - Aly Energy Services, Inc.prfv_ex22.htm
EX-3.7 - CERTIFICATE OF AMENDMENT - Aly Energy Services, Inc.prfv_ex37.htm
EX-2.1 - SHARE EXCHANGE AGREEMENT - Aly Energy Services, Inc.prfv_ex21.htm
EX-3.5 - CERTIFICATE OF AMENDMENT - Aly Energy Services, Inc.prfv_ex35.htm
EX-3.2 - CERTIFICATE OF AMENDMENT - Aly Energy Services, Inc.prfv_ex32.htm
EX-3.1 - CERTIFICATE OF INCORPORATION - Aly Energy Services, Inc.prfv_ex31.htm
EX-3.4 - CERTIFICATE OF AMENDMENT - Aly Energy Services, Inc.prfv_ex34.htm
EX-3.8 - BYLAWS OF THE REGISTRANT - Aly Energy Services, Inc.prfv_ex38.htm
EX-10.1 - EMPLOYMENT AGREEMENT - Aly Energy Services, Inc.prfv_ex101.htm
EX-10.5 - AMENDED AND RESTATED LEASE AGREEMENT - Aly Energy Services, Inc.prfv_ex105.htm
EX-10.4 - EMPLOYMENT AGREEMENT - Aly Energy Services, Inc.prfv_ex104.htm
EX-10.2 - EMPLOYMENT AGREEMENT - Aly Energy Services, Inc.prfv_ex102.htm
EX-10.6 - ALY ENERGY SERVICES, INC. OMNIBUS INCENTIVE PLAN - Aly Energy Services, Inc.prfv_ex106.htm
EX-10.7 - FORM OF STOCK OPTION AGREEMENT - Aly Energy Services, Inc.prfv_ex107.htm
EX-10.3 - EMPLOYMENT AGREEMENT - Aly Energy Services, Inc.prfv_ex103.htm
EX-23.2 - CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM - Aly Energy Services, Inc.prfv_ex232.htm
EX-99.1 - AUDITED FINANCIAL STATEMENTS OF ALY ENERGY SERVICES INC. - Aly Energy Services, Inc.prfv_ex991.htm
EX-23.1 - CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM - Aly Energy Services, Inc.prfv_ex231.htm
EX-99.2 - AUDITED FINANCIAL STATEMENTS OF AUSTIN CHALK PETROLEUM SERVICES CORP. - Aly Energy Services, Inc.prfv_ex992.htm
EXHIBIT 99.3
 
Aly Energy Services, Inc.
Pro Forma Condensed Consolidated Balance Sheet (Unaudited)
December 31, 2012
 
   
Aly Energy
    
Preferred Voice
    
Adjustments
    
Pro Forma
  
Assets:
                        
                         
Current Assets
                        
Cash and cash equivalents
   $ 1,659,521     $ 318,032     $ -     $ 1,977,553  
Accounts receivable
     4,492,292       6,035               4,498,327  
Prepaid expenses and other current assets
     298,175       4,485               302,660  
Total Current Assets
     6,449,988       328,552               6,778,540  
                                 
Property and Equipment, net
     13,847,212       -               13,847,212  
                                 
Goodwill
     8,243,392       -               8,243,392  
                                 
Intangible Assets, net
     4,642,588       -               4,642,588  
                                 
Deferred Financing Costs
     519,997       -               519,997  
                                 
Total Assets
   $ 33,703,177     $ 328,552     $ -     $ 34,031,729  
                                 
Liabilities and Stockholder's Equity
                                
                                 
Current Liabilities
                                
Current portion of long-term debt
   $ 2,062,500       -             $ 2,062,500  
Accounts payable
     631,855       3,830               635,685  
Accrued expenses
     766,969       -               766,969  
Related party payable
     519,687       -               519,687  
Federal income taxes payable
     303,764       -               303,764  
Deferred tax liabilities
     280,563       -               280,563  
Total Current Liabilities
     4,565,338       3,830       -       4,569,168  
                                 
Long-Term Debt, net of current portion
     6,187,500       -               6,187,500  
                                 
Deferred Tax Liabilities
     6,067,693       -               6,067,693  
                                 
Other Long-Term Liabilities
     1,942,672       -               1,942,672  
                                 
Total Liabilities
     18,763,203       3,830       -       18,767,033  
                              -  
Preferred Stock
     1,942,672       -               1,942,672  
                                 
Stockholder's Equity
                                
Common Stock
     34,138       6,130       33,870       74,138  
                                 
Additional paid-in capital
     12,411,049       20,482,085       (20,195,857 )     12,697,277  
Retained earnings
     552,115       (20,161,987 )     20,161,987       552,115  
Treasury Stock
     -       (1,506 )             (1,506 )
Total Stockholder's Equity
     12,997,302       324,722       (0 )     13,322,024  
                              -  
Total Liabilities and Stockholder's Equity
   $ 33,703,177     $ 328,552     $ (0 )   $ 34,031,729  
 
See the accompanying notes to the unaudited pro forma financial statements
 
 
1
 
 
Aly Energy Services, Inc.
Pro Forma Condensed Consolidated Statement of Operations (Unaudited)
December 31, 2012
 
   
Aly Energy
                    
   
including
                    
   
Predecessor
    
Preferred Voice
    
Adjustments
    
Pro Forma
  
                         
Revenues
   $ 15,946,103           $ -     $ 15,946,103  
Cost of Revenues                              
Direct  Costs     2,443,868                      2,443,868  
Depreciation     1,176,922       361               1,177,283  
Amortization     87,012       -               87,012  
Gross Profit
     12,238,301       -       -       12,237,938  
                                 
Selling, General and Administrative Expenses
     5,858,890       103,048               5,961,938  
                                 
Income (Loss) From Operations
     6,379,411       (103,409 )     -       6,276,002  
                                 
Other Income (Expense)
                                
Interest income
     1,690                       1,690  
Interest expense
     (110,953 )                     (110,953 )
Other income (expense)
     49,138       (5,370 )             43,768  
Total Other Expense
     (60,125 )     (5,370 )     -       (65,495 )
                                 
Income (Loss) Before Income Tax Expense
     6,319,286       (108,779 )             6,210,507  
                                 
Income Tax Expense
     227,632                       227,632  
                                 
Net Income (Loss)
   $ 6,091,654     $ (108,779 )   $ -     $ 5,982,875  
                                 
Preferred Stock Dividends
     (36,112 )                     (36,112 )
                                 
Accretion of Preferred Stock
     (9,932 )                     (9,932 )
                                 
Net Income (Loss) Available to Common Shareholders
   $ 6,045,610     $ (108,779 )   $ -     $ 5,936,831  
                                 
Basic Earnings Per Share
     0.09       (0.02 )             0.08  
                                 
Basic Weighted Average Shares Outstanding
     68,007,583       6,125,684               74,133,267  

See the accompanying notes to the unaudited pro forma financial statements
 
 
2
 
 
Aly Energy Services, Inc.
Notes to Pro Forma Condensed Consolidated Financial Statements (Unaudited)

Note A – Basis of Presentation

On May 14, 2013, Preferred Voice, Inc. (“Preferred Voice”), Aly Energy Services, Inc. (“Aly Energy”) and the common stockholders of Aly Energy entered into a Share Exchange Agreement (the “Exchange Agreement”), pursuant to which the holders of common stock of Aly Energy surrendered all of their shares in exchange for approximately 68 million newly issued shares of common stock of Preferred Voice (the “Share Exchange”), representing approximately 92% of the outstanding common stock of Preferred Voice after giving effect to the Share Exchange. Shares were exchanged at the ratio of 19.91 shares of Preferred Voice common stock for each one share of Aly Energy common stock. Following the Share Exchange, Aly Energy became a wholly-owned subsidiary of Preferred Voice. Consequently, for accounting purposes, the transaction will be accounted for as a reverse acquisition, with Aly Energy as the acquirer. Subsequent to the consummation of the transaction, the historical financial statements of Aly Energy will become the historical financial statements of the combined company and the assets and liabilities of Preferred Voice will be accounted for as required under the acquisition method of accounting. The results of operations of Preferred Voice will be included in the consolidated financial statements from the closing date of acquisition.

The purchase price is assumed to be equal to Preferred Voice book value since Preferred Voice had limited assets and operations, and therefore no goodwill is recorded on the transaction. The amount ascribed to the shares issued to the Aly Energy stockholders represents the net book value of Preferred Voice at date of closing.

The accompanying pro forma condensed consolidated financial statements illustrate the effect of Preferred Voices’s reverse acquisition (“Pro Forma”) of Aly Energy. The condensed consolidated balance sheet as of December 31, 2012 is based on the historical balance sheets of Aly Energy and Preferred Voice as of that date and assumes the acquisition took place on that date. The condensed consolidated statement of operations for the year ended December 31, 2012, is based on the historical statements of operations of Aly Energy, its Predecessor Austin Chalk Petroleum Services, Inc. and Preferred Voice for those periods. The pro forma condensed consolidated statement of operations assumes the acquisition took place on January 1, 2012.

The pro forma condensed consolidated financial statements may not be indicative of the actual results of the acquisition. In particular, the pro forma condensed consolidated financial statements are based on management’s preliminary allocation of the purchase price, the final allocation of which may differ.

The accompanying condensed consolidated pro forma financial statements should be read in connection with the historical financial statements of Aly Energy and Preferred Voice, including the related notes, and other financial information included in the filing.
 
 
3
 
 
Aly Energy Services, Inc.
Notes to Pro Forma Condensed Consolidated Financial Statements (Unaudited)

Note B – Pro Forma Adjustments

The pro forma adjustment to the unaudited condensed consolidated balance sheet are as follows:

To reflect the reverse acquisition of Aly Energy equal to the book value of Preferred Voice:

Issuance of 68,007,583 shares of Preferred Voice Stock at its book value
   $ 68,008  
Elimination of Aly Energy capital
     (34,138 )
Elimination of Preferred Voice accumulated deficit
     20,161,987  
Recapitalization adjustment
     (20,195,857 )
         
Cost in excess of net liabilities assumed
   $ -0-  
 
Note C – Pro Forma Net Income (Loss) Per Common Share

The unaudited pro forma basic and diluted net income (loss) per share are based on the weighted average number of shares of Preferred Voice common stock outstanding during 2012 and the number of shares of Preferred Voice common stock to be issued in connection with the reverse acquisition of Aly Energy as if they have been issued on January 1, 2012.
 
 
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