Bradley Pharmaceuticals Inc Watch

from 10-K ~20 pages Certificate of Incorporation of Bradley Pharmaceuticals, Inc. * * * * * * * * *

from 8-K ~5 pages Exhibit 10.30 Acqusition Promissory Note

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Nine Months Ended September 30, 2002 2001 Cash Flows From Operating Activities: Net Income $ 5,523,915 $ 1,787,987 Adjustments to Reconcile Net Income to Net Cash Provided by (Used In) Operating Activities Depreciation & Amortization 841,916 827,301 Deferred Income Taxes 27,231 53,781 Tax Benefit Due to Exercise of Non-Qualified Options and Warrants 370,369 197,144 Noncash Compensation for Consulting Services 113,673 219,106 Changes in Operating Assets and Liabilities Accounts Receivable 2,930,638 2,394,377 Inventory and Prepaid Samples and Materials 17,898 267,344 Prepaid Expenses and Other (311,112) (36,728) Accounts Payable (674,060) (642,762) Accrued Expenses 455,176 634,608 Income Taxes Payable (350,191) 389,542 Net Cash Provided by Operating Activities 8,945,453 6,091,700 Cash Flows From Investing Activities: Investments in Trademarks, and Other Intangible Assets - (9,699) Purchase of Property & Equipment (161,968) (203,288) Proceeds From Short-Term Investments 10,170,348 - Purchase of Short-Term Investments (8,889,808) (2,200,000) Net Cash Provided by (Used In) Investing Activities 1,118,572 (2,412,987) Cash Flows From Financing Activities: Payment of Notes Payable (120,643) (365,094) Payment of Revolving Credit Line, Net - (577,639) Proceeds From Exercise of Stock Options and Warrants 255,095 1,073,171 Payment of Registration Costs (110,057) - Purchase of Treasury Shares (7,183) (244,999) Distribution of Treasury Shares 70,639 53,984 Net Cash Provided by (Used In) Financing Activities 87,851 (60,577) Increase in Cash and Cash Equivalents 10,151,876 3,618,136 Cash and Cash Equivalents at Beginning of Period 10,337,214 453,200 Cash and Cash Equivalents at End of Period $ 20,489,090 $ 4,071,336 =========== =========== (Continued) 5

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Six Months Ended June 30, 2002 2001 Cash Flows From Operating Activities: Net Income $ 3,516,298 $ 852,282 Adjustments to Reconcile Net Income to Net Cash Provided by (Used In) Operating Activities Depreciation & Amortization 556,152 534,750 Deferred Income Taxes 228 39,697 Tax Benefit Due to Exercise of Non-Qualified Options and Warrants 369,744 - Noncash Compensation for Consulting Services 85,586 159,158 Changes in Operating Assets and Liabilities Accounts Receivable 476,063 2,510,763 Inventory and Prepaid Samples and Materials (33,852) 59,182 Prepaid Expenses and Other (146,013) (16,665) Accounts Payable (823,624) (794,047) Accrued Expenses (129,823) (368,859) Income Taxes Payable (276,609) 110,822 Net Cash Provided by Operating Activities 3,594,150 3,087,083 Cash Flows From Investing Activities: Investments in Trademarks, and Other Intangible Assets - (9,698) Purchase of Property & Equipment (130,423) (175,192) Proceeds From Short-Term Investments 9,088,731 - Purchase of Short-Term Investments (6,514,843) (2,200,000) Net Cash Provided by (Used In) Investing Activities 2,443,465 (2,384,890) Cash Flows From Financing Activities: Payment of Notes Payable (69,132) (245,874) Payment of Revolving Credit Line, Net - (552,649) Proceeds From Exercise of Stock Options and Warrants 220,237 67,123 Payment of Registration Costs (110,057) - Purchase of Treasury Shares (7,183) (9,199) Distribution of Treasury Shares 56,818 46,508 Net Cash Provided by (Used In) Financing Activities 90,683 (694,091) Increase in Cash and Cash Equivalents 6,128,298 8,102 Cash and Cash Equivalents at Beginning of Period 10,337,214 453,200 Cash and Cash Equivalents at End of Period $ 16,465,512 $ 461,302 ============= ============ (Continued) 5

from DEF 14A 1 page Proxy Card Common B

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Three Months Ended March 31, 2002 2001 Cash Flows From Operating Activities: Net Income $ 1,723,844 $ 304,615 Adjustments to Reconcile Net Income to Net Cash Provided by (Used In) Operating Activities Depreciation & Amortization 274,222 244,214 Deferred Income Taxes 93,655 25,628 Tax Benefit Due to Exercise of Non-Qualified Options and Warrants 167,996 - Noncash Compensation for Consulting Services 63,730 132,897 Changes in Operating Assets and Liabilities Accounts Receivable (1,844,571) 1,623,603 Inventory and Prepaid Samples and Materials (345,439) (83,351) Prepaid Expenses and Other (234,895) (71,844) Accounts Payable 440,804 (278,954) Accrued Expenses (601,038) (806,985) Income Taxes Payable 397,648 (20,474) Net Cash Provided by Operating Activities 135,956 1,069,349 Cash Flows From Investing Activities: Investments in Trademarks, and Other Intangible Assets - (9,699) Purchase of Property & Equipment (34,677) (93,000) Purchase of Short-Term Investments (3,029,592) (2,000,000) Net Cash Used in Investing Activities (3,064,269) (2,102,699) Cash Flows From Financing Activities: Payment of Notes Payable (40,250) (77,246) Proceeds From Revolving Credit Line, Net - 703,109 Proceeds From Exercise of Stock Options and Warrants 117,037 63,350 Payment of Registration Costs (86,766) - Purchase of Treasury Shares (7,183) (9,199) Distribution of Treasury Shares 47,187 40,088 Net Cash Provided by Financing Activities 30,025 720,102 Decrease in Cash and Cash Equivalents (2,898,288) (313,248) Cash and Cash Equivalents at Beginning of Period 10,337,214 453,200 Cash and Cash Equivalents at End of Period $ 7,438,926 $ 139,952 =========== =========== (Continued) 5

from 10QSB/A 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Nine Months Ended September 30, 2001 2000 Cash Flows From Operating Activities: Net Income (Loss) $ 1,787,987 $ (4,111,705) Adjustments to Reconcile Net Income (Loss) to Net Cash Provided by Operating Activities Depreciation & Amortization 827,301 707,598 Deferred Income Taxes 53,781 - Loss Due to Impairment of Asset - 3,897,000 Tax Benefit Due to Exercise of Non-Qualified Options and Warrants 197,144 - Noncash Compensation for Consulting Services 219,106 18,853 Changes in Operating Assets and Liabilities Accounts Receivable 2,394,377 1,647,537 Inventory and Prepaid Samples and Materials 267,344 201,044 Prepaid Expenses and Other (36,728) 19,507 Accounts Payable (642,762) (464,359) Accrued Expenses 634,608 90,545 Income Taxes Payable 389,542 (488,877) Net Cash Provided by Operating Activities 6,091,700 1,517,143 Cash Flows From Investing Activities: Investments in Trademarks, and Other Intangible Assets (9,699) (21,465) Purchase of Property & Equipment (203,288) (7,138) Purchase of Short-Term Investments (2,200,000) - Net Cash Used in Investing Activities (2,412,987) (28,603) Cash Flows From Financing Activities: Payment of Long-Term Debt (365,094) (1,427,551) Revolving Credit Line, Net (577,639) (1,495,974) Proceeds From Acquistion Note - 1,161,130 Proceeds From Exercise of Stock Options and Warrants 1,073,171 3,437 Purchase of Treasury Shares (244,999) (8,125) Distribution of Treasury Shares 53,984 80,546 Net Cash Used in Financing Activities (60,577) (1,686,537) Increase (Decrease) in Cash and Cash Equivalents 3,618,136 (197,997) Cash and Cash Equivalents at Beginning of Period 453,200 385,640 Cash and Cash Equivalents at End of Period $ 4,071,336 $ 187,643 ========== ========== (Continued) 6

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Nine Months Ended September 30, 2001 2000 Cash Flows From Operating Activities: Net Income (Loss) $ 1,787,987 $ (4,111,705) Adjustments to Reconcile Net Income (Loss) to Net Cash Provided by Operating Activities Depreciation & Amortization 827,301 707,598 Deferred Income Taxes 53,781 - Loss Due to Impairment of Asset - 3,897,000 Tax Benefit Due to Exercise of Non-Qualified Options and Warrants 197,144 - Noncash Compensation for Consulting Services 219,106 18,853 Changes in Operating Assets and Liabilities Accounts Receivable 2,989,377 1,648,721 Inventory and Prepaid Samples and Materials 267,344 201,044 Prepaid Expenses and Other (36,728) 19,507 Accounts Payable (623,705) (406,387) Accrued Expenses 20,551 31,389 Income Taxes Payable 389,542 (488,877) Net Cash Provided by Operating Activities 6,091,700 1,517,143 Cash Flows From Investing Activities: Investments in Trademarks, and Other Intangible Assets (9,699) (21,465) Purchase of Property & Equipment (203,288) (7,138) Purchase of Short-Term Investments (2,200,000) - Net Cash Used in Investing Activities (2,412,987) (28,603) Cash Flows From Financing Activities: Payment of Long-Term Debt (365,094) (1,427,551) Revolving Credit Line, Net (577,639) (1,495,974) Proceeds From Acquistion Note - 1,161,130 Proceeds From Exercise of Stock Options and Warrants 1,073,171 3,437 Purchase of Treasury Shares (244,999) (8,125) Distribution of Treasury Shares 53,984 80,546 Net Cash Used in Financing Activities (60,577) (1,686,537) Increase (Decrease) in Cash and Cash Equivalents 3,618,136 (197,997) Cash and Cash Equivalents at Beginning of Period 453,200 385,640 Cash and Cash Equivalents at End of Period $ 4,071,336 $ 187,643 ========== ========== (Continued) 5

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Six Months Ended June 30, 2001 2000 Cash Flows From Operating Activities: Net Income (Loss) $ 852,282 $ (4,487,479) Adjustments to Reconcile Net Income (Loss) to Net Cash Provided by Operating Activities Depreciation & Amortization 534,750 482,077 Deferred Income Taxes 39,697 - Loss Due to Impairment of Asset - 3,897,000 Noncash Compensation for Consulting Services 159,158 3,594 Changes in Operating Assets and Liabilities Accounts Receivable 2,510,763 1,657,800 Inventory and Prepaid Samples and Materials 59,182 255,882 Prepaid Expenses and Other (16,665) 12,063 Accounts Payable (794,047) 118,879 Accrued Expenses (368,859) (478,300) Income Taxes Payable 110,822 (533,822) Net Cash Provided by Operating Activities 3,087,083 927,694 Cash Flows From Investing Activities: Investments in Trademarks, and Other Intangible Assets (9,698) (18,377) Purchase of Property & Equipment (175,192) (11,855) Purchase of Short-Term Investments (2,200,000) - Net Cash Used in Investing Activities (2,384,890) (30,232) Cash Flows From Financing Activities: Payment of Long-Term Debt (245,874) (1,350,534) Revolving Credit Line, Net (552,649) (955,136) Proceeds From Acquistion Note - 1,161,130 Proceeds From Exercise of Stock Options 67,123 3,437 Purchase of Treasury Shares (9,199) (5,625) Distribution of Treasury Shares 46,508 72,489 Net Cash Used in Financing Activities (694,091) (1,074,239) Increase (Decrease) in Cash and Cash Equivalents 8,102 (176,777) Cash and Cash Equivalents at Beginning of Period 453,200 385,640 Cash and Cash Equivalents at End of Period $ 461,302 $ 208,863 ========== =========

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Operations (Unaudited) Three Months Ended March 31, 2001 2000 Net Sales $ 5,283,109 $ 2,797,292 Cost of Sales 987,654 877,965 4,295,455 1,919,327 Selling, General and Administrative Expenses 3,534,639 2,900,137 Depreciation and Amortization 244,214 244,632 Interest Expense - Net 39,987 57,447 Loss Due to Impairment of Asset - 3,897,000 3,818,840 7,099,216 Income (Loss) Before Income Taxes 476,615 (5,179,889) Income Tax Expense (Benefit) 172,000 (500,000) Net Income (Loss) $ 304,615 $(4,679,889) ========= ========= Net Income (Loss) Per Common Share Basic & Diluted $ 0.04 $ (0.59) ========= ========= Weighted Average Number of Common Shares Basic 7,970,000 7,890,000 ========= ========= Diluted 8,600,000 7,890,000 ========= ========= See Notes to Condensed Consolidated Financial Statements

from 10KSB 1 page Bradley Pharmaceuticals, Inc. and Subsidiaries Consolidated Statements of Operations Years Ended December 31, 2000 1999 Net Sales $ 18,557,429 $ 18,850,294 Cost of Sales 4,271,967 5,083,148 14,285,462 13,767,146 Selling, General and Administrative Expenses 11,646,611 11,473,059 Depreciation and Amortization 954,568 1,138,052 Interest Expense - Net 248,115 235,473 Loss Due to Impairment of Asset 3,897,000 - 16,746,294 12,846,584 Income (Loss) Before Income Tax Expense (Benefit) (2,460,832) 920,562 Income Tax Expense (Benefit) (398,000) 360,000 Net Income (Loss) $ (2,062,832) $ 560,562 =========== =========== Net Income (Loss) Per Common Share Basic & Diluted $ (0.26) $ 0.07 =========== =========== Weighted Average Number of Common Shares Basic 7,900,000 7,970,000 =========== =========== Diluted 7,900,000 8,020,000 =========== =========== the Accompanying Notes Are an Integral Part of These Statements. F-5

from 4 1 page Articles of Incorporation or Bylaws

from 10KSB 1 page Bradley Pharmaceuticals, Inc. and Subsidiaries Consolidated Statements of Income Years Ended December 31, 1999 1998 Net Sales $ 18,850,294 $ 15,853,002 Cost of Sales 5,083,148 4,595,582 13,767,146 11,257,420 Selling, General and Administrative Expenses 11,473,059 8,961,198 Depreciation and Amortization 1,138,052 1,104,753 Interest Expense - Net 235,473 200,180 Other Income - (47,684) 12,846,584 10,218,447 Income Before Income Taxes 920,562 1,038,973 Income Tax Expense 360,000 120,000 Net Income $ 560,562 $ 918,973 =========== =========== Net Income Per Common Share Basic $ 0.07 $ 0.11 =========== =========== Diluted $ 0.07 $ 0.10 =========== =========== Weighted Average Number of Common Shares Basic 7,970,000 8,410,000 =========== =========== Diluted 8,020,000 8,950,000 =========== =========== the Accompanying Notes Are an Integral Part of These Statements. F-5

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Nine Months Ended September 30, 1999 1998 Cash Flows From Operating Activities: Net Income $ 565,488 $ 117,544 Adjustments to Reconcile Net Income to Net Cash Provided by (Used In) Operating Activities Depreciation & Amortization 896,355 803,759 Loss on Sale of Fixed Assets 6,905 - Writeoff of Deferred Loan Costs 90,000 - Noncash Compensation and Consulting Services 14,992 84,923 Changes in Operating Assets and Liabilities Accounts Receivable (119,719) (983,033) Inventory and Prepaid Samples and Materials (34,165) (142,524) Prepaid Expenses and Other (199,234) (122,902) Accounts Payable 427,668 1,036,320 Accrued Expenses (407,726) (211,861) Income Taxes Payable 130,364 (99,179) Net Cash Provided by Operating Activities 1,370,928 483,047 Cash Flows From Investing Activities: Investments in Trademarks, and Other Intangible Assets (484) (27,665) Purchase of Property & Equipment (48,074) (225,204) Proceeds From Sale of Fixed Assets 109,910 65,000 Net Cash Provided by (Used In) Investing Activities 61,352 (187,869) Cash Flows From Financing Activities: Payment of Long-Term Debt (113,087) (100,697) Revolving Credit Line, Net (1,728,812) (98,376) Proceeds From Exercise of Stock Options - 11,388 Purchase of Treasury Shares (565,712) (160,969) Net Cash Used in Financing Activities (2,407,611) (348,654) Decrease in Cash and Cash Equivalents (975,331) (53,476) Cash and Cash Equivalents at Beginning of Period 1,417,746 513,971 Cash and Cash Equivalents at End of Period $ 442,415 $ 460,495 ============ ===========

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Six Months Ended June 30, 1999 1998 Cash Flows From Operating Activities: Net Income $ 649,168 $ 582,731 Adjustments to Reconcile Net Income to Net Cash Provided by (Used In) Operating Activities Depreciation & Amortization 639,050 538,147 Loss on Sale of Fixed Assets 6,905 - Writeoff of Deferred Loan Costs 90,000 - Noncash Compensation and Consulting Services 14,992 8,533 Changes in Operating Assets and Liabilities Accounts Receivable 974,549 (1,625,085) Inventory and Prepaid Samples and Materials 197,319 269,961 Prepaid Expenses and Other (272,956) (146,245) Accounts Payable 55,890 843,048 Accrued Expenses (819,953) (169,443) Income Taxes Payable 184,428 177,621 Net Cash Provided by Operating Activities 1,719,392 479,268 Cash Flows From Investing Activities: Investments in Trademarks, and Other Intangible Assets (50,979) (22,342) Purchase of Property & Equipment (128,901) (135,677) Proceeds From Sale of Fixed Assets 109,910 - Net Cash Used in Investing Activities (69,970) (158,019) Cash Flows From Financing Activities: Payment of Long-Term Debt (21,667) (100,697) Revolving Credit Line, Net (1,711,909) (563,085) Proceeds From Exercise of Stock Options - 11,388 Purchase of Treasury Shares (552,878) (143,539) Net Cash Used in Financing Activities (2,286,454) (795,933) Decrease in Cash and Cash Equivalents (637,032) (474,684) Cash and Cash Equivalents at Beginning of Period 1,417,746 513,971 Cash and Cash Equivalents at End of Period $ 780,714 $ 39,287 ========== ========== (Continued) 5

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Three Months Ended March 31, 1999 1998 Cash Flows From Operating Activities: Net Income $ 556,325 $ 403,556 Adjustments to Reconcile Net Income to Net Cash Provided by (Used In) Operating Activities Depreciation & Amortization 323,006 273,434 Loss on Sale of Fixed Assets 6,905 - Noncash Compensation and Consulting Services 10,765 7,961 Changes in Operating Assets and Liabilities Accounts Receivable (1,346,295) (2,250,120) Inventory and Prepaid Samples and Materials 372,490 111,206 Prepaid Expenses and Other (97,649) (9,097) Accounts Payable (213,830) 604,385 Accrued Expenses 611,855 575,873 Income Taxes Payable 303,867 229,700 Net Cash Provided by (Used In) Operating Activities 527,439 (53,102) Cash Flows From Investing Activities: Investments in Trademarks, and Other Intangible Assets (10,217) (18,673) Purchase of Property & Equipment (33,286) (100,163) Proceeds From Sale of Fixed Assets 109,160 - Net Cash Provided by (Used In) Investing Activities 65,657 (118,836) Cash Flows From Financing Activities: Payment of Notes Payable (20,030) - Revolving Credit Line, Net (1,508,683) 567,703 Proceeds From Exercise of Stok Options - 3,438 Purchase of Treasury Shares (340,976) (48,974) Net Cash Provided by (Used In) Financing Activities (1,869,689) 522,167 Increase (Decrease) in Cash and Cash Equivalents (1,276,593) 350,229 Cash and Cash Equivalents at Beginning of Period 1,417,746 513,971 Cash and Cash Equivalents at End of Period $ 141,153 $ 864,200 ========== ========== (Continued) 5

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Nine Months Ended September 30, 1998 1997 Cash Flows From Operating Activities: Net Income $ 117,544 $ 551,370 Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities Depreciation & Amortization 803,759 1,191,174 Noncash Compensation and Consulting Services 84,923 - Changes in Operating Assets and Liabilities Accounts Receivable (983,033) 855,728 Inventory and Prepaid Samples and Materials (142,524) 445,199 Income Taxes Payable (99,179) - Prepaid Expenses and Other (122,902) (101,047) Accounts Payable and Accrued Expenses 824,459 (1,510,534) Net Cash Provided by Operating Activities 483,047 1,431,890 Cash Flows From Investing Activities: Investments in Trademarks, Patents and Other Intangible Assets (27,665) (85,148) Purchase of Property & Equipment - Net (225,204) (78,826) Proceeds From Sale of Fixed Assets 65,000 - Net Cash Used in Investing Activities (187,869) (163,974) Cash Flows From Financing Activities: Payment of Notes Payable (100,697) (1,834,971) Revolving Credit Line, Net (98,376) 904,342 Proceeds From Exercise of Stock Options 11,388 - Purchase of Treasury Shares (160,969) (112,284) Net Cash Used in Financing Activities (348,654) (1,042,913) Increase (Decrease) in Cash and Cash Equivalents (53,476) 225,003 Cash and Cash Equivalents at Beginning of Period 513,971 - Cash and Cash Equivalents at End of Period $ 460,495 $ 225,003 ========= =========== (Continued) 5

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Six Months Ended June 30, 1998 1997 Cash Flows From Operating Activities: Net Income $ 582,731 $ 342,370 Adjustments to Reconcile Net Income to Net Cash Provided by (Used In) Operating Activities Depreciation & Amortization 538,147 806,064 Noncash Compensation Charges 8,533 - Changes in Operating Assets and Liabilities Accounts Receivable (1,625,085) 761,405 Inventory and Prepaid Samples and Materials 269,961 380,342 Income Taxes Payable 177,621 108,165 Prepaid Expenses and Other (146,245) (124,233) Accounts Payable and Accrued Expens 673,605 (817,638) Net Cash Provided by Operating Activities 479,268 1,456,475 Cash Flows From Investing Activities: Additional Investments in Trademarks, Patents and Other Intangible Assets (22,342) (58,262) Purchase of Property & Equipment - Net (135,677) (18,223) Net Cash Used in Investing Activities (158,019) (76,485) Cash Flows From Financing Activities: Payment of Notes Payable (100,697) (650,671) Revolving Credit Line, Net (563,085) - Proceeds From Exercise of Stock Options 11,388 - Purchase of Treasury Shares (143,539) (78,416) Net Cash Used in Financing Activities (795,933) (729,087) Increase in Cash and Cash Equivalents (474,684) 650,903 Cash and Cash Equivalents at Beginning of Period 513,971 - Cash and Cash Equivalents at End of Period $ 39,287 $ 650,903 (Continued) 5

from 10QSB 1 page Bradley Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) Three Months Ended March 31, 1998 1997 Cash Flows From Operating Activities: Net Income $ 403,556 $ 212,433 Adjustments to Reconcile Net Income to Net Cash Provided by (Used In) Operating Activities Depreciation & Amortization 273,434 405,688 Other 7,961 - Changes in Operating Assets and Liabilities Accounts Receivable (2,250,120) (1,248,306) Inventory and Prepaid Samples and Materials 111,206 247,690 Income Taxes Payable 229,700 97,550 Prepaid Expenses and Other (9,097) 27,113 Accounts Payable and Accrued Expenses 1,180,258 796,423 Net Cash Provided by (Used In) Operating Activities (53,102) 538,591 " Cash Flows From Investing Activities: Additional Investments in Trademarks, Patents and Other Intangible Assets (18,673) (20,334) Purchase of Property & Equipment - Net (100,163) (536) Net Cash Used in Investing Activities (118,836) (20,870) Cash Flows From Financing Activities: Payment of Notes Payable - (479,326) Revolving Credit Line, Net 567,703 - Proceeds From Exercise of Stock Options 3,438 - Purchase of Treasury Shares (48,974) (29,014) Net Cash Provided by (Used In) Financing Activities 522,167 (508,340) Increase in Cash and Cash Equivalents 350,229 9,381 Cash and Cash Equivalents at Beginning of Period 513,971 - Cash and Cash Equivalents at End of Period $ 864,200 $ 9,381 ========== ========== (Continued) 5

from 10QSB/A ~10 pages Articles of Incorporation or Bylaws