EXHIBIT 99.1
-------------------------------------------------------------
CASE NAME: Venus Exploration, Inc
-------------------------------------------------------------
CASE: 02-13109-BP-11 ACCRUAL BASIS
------------------------------------------------------------- -------------
JUDGE: Xxxx Xxxxxx 7/20/04
-------------------------------------------------------------
UNITED STATES BANKRUPTCY COURT
EASTERN DISTRICT OF TEXAS
MONTHLY OPERATING REPORTS
MONTH ENDING: June, 2004
Note 1
IN ACCORDANCE WITH TITLE 28, XXXXXXX 0000, XX XXX XXXXXX XXXXXX CODE, I DECLARE
UNDER PENALTY OF PERJURY I HAVE EXAMINED THE FOLLOWING MONTHLY OPERATING REPORT
(ACCRUAL BASIS-1 THROUGH ACCRUAL BASIS-7) AND THE ACCOMPANYING ATTACHMENTS AND,
TO THE BEST OF MY KNOWLEDGE, THESE DOCUMENTS ARE TRUE, CORRECT AND COMPLETE.
DECLARATION OF THE PREPARER (OTHER THAN RESPONSIBLE PARTY): IS BASED ON ALL
INFORMATION OF WHICH PREPARER HAS ANY KNOWLEDGE.
RESPONSIBLE PARTY:
/s/ Xxxxxx X. Xxxx, Xx
------------------------ CEO
-----
ORIGINAL SIGNATURE OF RESPONSIBLE PARTY TITLE
Xxxxxx X. Xxxx, Xx
---------------------------------
PRINTED NAME OF RESPONSIBLE PARTY DATE
7/20/2004
PREPARER:
/s/ Xxxxx X. Xxxxxxxx
---------------------- Chief Accounting Officer
------------------------
ORIGINAL SIGNATURE OF PREPARER TITLE
Xxxxx X. Xxxxxxxx
------------------------
PRINTED NAME OF PREPARER DATE
7/20/2004
--------------------------------------------------------------
CASE NAME: Venus Exploration, Inc ACCRUAL BASIS-1
-------------------------------------------------------------- ---------------
CASE: 02-13109-BP-11 7/20/04
--------------------------------------------------------------
===========================================================================================================
COMPARATIVE BALANCE SHEET
SCHEDULE MONTH MONTH MONTH
--------------------------------------------
ASSETS AMOUNT Apr., 2004 May, 2004 June, 2004
----------------------------------------------------------------------------------------------------------
1. UNRESTRICTED CASH $169,919.14 $3,256,071.31 $3,267,283.15
----------------------------------------------------------------------------------------------------------
2. RESTRICTED CASH
----------------------------------------------------------------------------------------------------------
3. TOTAL CASH $169,919.14 $3,256,071.31 $3,267,283.15
----------------------------------------------------------------------------------------------------------
4. ACCOUNTS RECEIVABLE, NET $275,180.24 $188,668.42 $148,880.69
==========================================================================================================
5. INVENTORY
----------------------------------------------------------------------------------------------------------
6. NOTES RECEIVABLE
----------------------------------------------------------------------------------------------------------
7. PREPAID EXPENSES Schedule 15 $190,932.18 $10,975.75 $7,400.60
----------------------------------------------------------------------------------------------------------
8. OTHER (ATTACH LIST)
----------------------------------------------------------------------------------------------------------
9. TOTAL CURRENT ASSETS $636,031.56 $3,455,715.48 $3,423,564.44
==========================================================================================================
00.XXXXXXXX, PLANT, & EQUIPMENT $5,723,628.67 $913.61 $913.61
----------------------------------------------------------------------------------------------------------
11.LESS: ACCUMULATED DEPRECIATION/DEPLETION ($4,050,315.21) ($913.61) ($913.61)
----------------------------------------------------------------------------------------------------------
00.XXX PROPERTY, PLANT & EQUIPMENT $1,673,313.46 $0.00 $0.00
==========================================================================================================
13.DUE FROM INSIDERS $8,806.02 $8,806.02 $8,806.02
----------------------------------------------------------------------------------------------------------
14.OTHER ASSETS - NET OF
AMORTIZATION (ATTACH LIST) Schedule 1 $6,545.00 $6,545.00 $6,545.00
----------------------------------------------------------------------------------------------------------
15.OTHER (ATTACH LIST)
----------------------------------------------------------------------------------------------------------
16 TOTAL ASSETS $2,324,696.04 $3,471,066.50 $3,438,915.46
==========================================================================================================
POSTPETITION LIABILITIES
----------------------------------------------------------------------------------------------------------
17.ACCOUNTS PAYABLE $91,909.63 $13,678.75 $10,844.68
----------------------------------------------------------------------------------------------------------
18.TAXES PAYABLE
----------------------------------------------------------------------------------------------------------
19.NOTES PAYABLE Note 3 $125,000.00 $125,000.00 $125,000.00
----------------------------------------------------------------------------------------------------------
20.PROFESSIONAL FEES
----------------------------------------------------------------------------------------------------------
21.SECURED DEBT $2,907.55
----------------------------------------------------------------------------------------------------------
22.OTHER (ATTACH LIST) Accrued Payables $3,028.27 $12,988.22 $9,181.29
----------------------------------------------------------------------------------------------------------
00.XXXXX POSTPETITION LIABILITIES $222,845.45 $151,666.97 $145,025.97
==========================================================================================================
PREPETITION LIABILITIES
----------------------------------------------------------------------------------------------------------
24.SECURED DEBT
----------------------------------------------------------------------------------------------------------
25.PRIORITY DEBT
----------------------------------------------------------------------------------------------------------
26.UNSECURED DEBT $6,017,398.52 $6,058,701.07 $6,046,199.40
----------------------------------------------------------------------------------------------------------
27.OTHER (ATTACH LIST) Schedule 2 $22,739.61 $21,143.50 $21,143.50
----------------------------------------------------------------------------------------------------------
00.XXXXX PREPETITION LIABILITIES $6,040,138.13 $6,079,844.57 $6,067,342.90
----------------------------------------------------------------------------------------------------------
00.XXXXX LIABILITIES $6,262,983.58 $6,231,511.54 $6,212,368.87
----------------------------------------------------------------------------------------------------------
EQUITY
==========================================================================================================
30.PREPETITION OWNERS' EQUITY ($3,752,128.04) ($3,752,128.04) ($3,752,128.04)
----------------------------------------------------------------------------------------------------------
31.POSTPETITION CUMULATIVE PROFIT OR (LOSS) ($62,158.89) $1,206,031.08 $1,215,849.86
----------------------------------------------------------------------------------------------------------
00.XXXXXX CHARGES TO EQUITY
(ATTACHMENT EXPLANATION) Note 2 ($124,000.61) ($214,348.08) ($237,175.23)
-----------------------------------------------------------------------------------------------------------
00.XXXXX EQUITY ($3,938,287.54) ($2,760,445.04) ($2,773,453.41)
===========================================================================================================
00.XXXXX LIABILITIES & OWNERS' EQUITY $2,324,696.04 $3,471,066.50 $3,438,915.46
-----------------------------------------------------------------------------------------------------------
$0.00 $0.00 $0.00
===========================================================================================================
------------------------------------------------------------
CASE NAME: Venus Exploration, Inc ACCRUAL BASIS-2
------------------------------------------------------------ ---------------
CASE: 02-13109-BP-11 7/20/04
------------------------------------------------------------
=========================================================================================================
INCOME STATEMENT
---------------------------------------------------------------------------------------------------------
MONTH MONTH MONTH QUARTER
--------------------------------------------------------
REVENUES Apr., 2004 May, 2004 June, 2004 TOTAL
---------------------------------------------------------------------------------------------------------
1. GROSS REVENUES Note 2 $126,898.34 $26,514.05 $153,412.39
---------------------------------------------------------------------------------------------------------
2. LESS: RETURNS & DISCOUNTS
---------------------------------------------------------------------------------------------------------
3. NET REVENUE Schedule 13 $126,898.34 $26,514.05 $0.00 $153,412.39
=========================================================================================================
COSTS OF GOODS SOLD
---------------------------------------------------------------------------------------------------------
4. MATERIAL
---------------------------------------------------------------------------------------------------------
5. DIRECT LABOR
---------------------------------------------------------------------------------------------------------
6. DIRECT OVERHEAD
---------------------------------------------------------------------------------------------------------
7. TOTAL COST OF GOODS SOLD $0.00 $0.00 $0.00 $0.00
=========================================================================================================
8. GROSS PROFIT $126,898.34 $26,514.05 $0.00 $153,412.39
=========================================================================================================
OPERATING EXPENSES
---------------------------------------------------------------------------------------------------------
9. OFFICER / INSIDER COMPENSATION $0.00 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
10.SELLING & MARKETING
---------------------------------------------------------------------------------------------------------
11.GENERAL & ADMINISTRATIVE Schedule 3 $40,314.25 $38,922.38 $17,188.54 $96,425.17
---------------------------------------------------------------------------------------------------------
00.XXXX & LEASE $3,749.88 $4,000.00 $7,749.88
---------------------------------------------------------------------------------------------------------
13.OTHER (ATTACH LIST) Schedule 4 $74,868.82 $185,772.93 $1,376.54 $262,018.29
---------------------------------------------------------------------------------------------------------
00.XXXXX OPERATING EXPENSES $118,932.95 $228,695.31 $18,565.08 $366,193.34
=========================================================================================================
15.INCOME BEFORE NON-OPERATING INCOME & EXPENSE $7,965.39 ($202,181.26) ($18,565.08) ($212,780.95)
=========================================================================================================
OTHER INCOME & EXPENSE
---------------------------------------------------------------------------------------------------------
16.NON-OPERATING INCOME (ATT. LIST)Schedule 5 $25,204.23 $1,603,163.55 $29,051.67 $1,657,419.45
---------------------------------------------------------------------------------------------------------
17.NON-OPERATING EXPENSE (ATT. LIST)
---------------------------------------------------------------------------------------------------------
18.INTEREST EXPENSE Schedule 11 $673.81 $696.07 $667.81 $2,037.69
---------------------------------------------------------------------------------------------------------
19.DEPRECIATION / DEPLETION $0.00
---------------------------------------------------------------------------------------------------------
20.AMORTIZATION $0.00
---------------------------------------------------------------------------------------------------------
21.OTHER (ATTACH LIST) Note 3 $125,000.00 $125,000.00
---------------------------------------------------------------------------------------------------------
00.XXX OTHER INCOME & EXPENSES ($24,530.42)($1,477,467.48) ($28,383.86)($1,530,381.76)
=========================================================================================================
REORGANIZATION EXPENSES
---------------------------------------------------------------------------------------------------------
23.PROFESSIONAL FEES Schedule 14 $7,096.25 $7,096.25
---------------------------------------------------------------------------------------------------------
24.U. S. TRUSTEE FEES $3,750.00 $3,750.00
---------------------------------------------------------------------------------------------------------
25.OTHER (ATTACH LIST) Schedule 6 $0.00 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
00.XXXXX REORGANIZATION EXPENSES $3,750.00 $7,096.25 $0.00 $10,846.25
=========================================================================================================
27.INCOME TAX
---------------------------------------------------------------------------------------------------------
00.XXX PROFIT (LOSS) $28,745.81 $1,268,189.97 $9,818.78 $1,306,754.56
=========================================================================================================
--------------------------------------------------------------
CASE NAME: Venus Exploration, Inc ACCRUAL BASIS-3
-------------------------------------------------------------- ---------------
CASE: 02-13109-BP-11 7/20/04
--------------------------------------------------------------
========================================================================================================
CASH RECEIPTS AND MONTH MONTH MONTH QUARTER
--------------------------------------------------------
DISBURSEMENTS Apr., 2004 May, 2004 June, 2004 TOTAL
---------------------------------------------------------------------------------------------------------
1. CASH - BEGINNING OF MONTH $171,189.45 $169,919.14 $3,256,071.31 $171,189.45
=========================================================================================================
RECEIPTS FROM OPERATIONS
=========================================================================================================
2. CASH SALES $86,792.75 $5,918.57 $92,711.32
=========================================================================================================
COLLECTIONS OF ACCOUNTS RECEIVABLE
=========================================================================================================
3. PREPETITON $0.00
---------------------------------------------------------------------------------------------------------
4. POSTPETITION $3,286.37 $680.56 $3,966.93
---------------------------------------------------------------------------------------------------------
5. TOTAL OPERATING RECEIPTS $90,079.12 $6,599.13 $0.00 $96,678.25
=========================================================================================================
NON-OPERATING RECEIPTS
---------------------------------------------------------------------------------------------------------
6. LOANS & ADVANCES (ATTACH LIST)
---------------------------------------------------------------------------------------------------------
7. SALE OF ASSETS $3,229,400.00 $3,229,400.00
---------------------------------------------------------------------------------------------------------
8. OTHER (ATTACH LIST) Schedule 7 $25,454.35 $3,250.58 $34,615.72 $63,320.65
---------------------------------------------------------------------------------------------------------
9. TOTAL NON-OPERATING RECEIPTS $25,454.35 $3,232,650.58 $34,615.72 $3,292,720.65
---------------------------------------------------------------------------------------------------------
00.XXXXX RECEIPTS $115,533.47 $3,239,249.71 $34,615.72 $3,389,398.90
---------------------------------------------------------------------------------------------------------
00.XXXXX CASH AVAILABLE $286,722.92 $3,409,168.85 $3,290,687.03 $3,560,588.35
=========================================================================================================
OPERATING DISBURSEMENTS
---------------------------------------------------------------------------------------------------------
00.XXX PAYROLL $2,886.33 $24,222.69 $27,109.02
---------------------------------------------------------------------------------------------------------
13.PAYROLL TAXES PAID $1,047.74 $14,206.71 $15,254.45
---------------------------------------------------------------------------------------------------------
14.SALES, USE & OTHER TAXES PAID
---------------------------------------------------------------------------------------------------------
15.SECURED / RENTAL / LEASES
---------------------------------------------------------------------------------------------------------
16 UTILITIES
---------------------------------------------------------------------------------------------------------
00.XXXXXXXXX
---------------------------------------------------------------------------------------------------------
18.INVENTORY PURCHASES
---------------------------------------------------------------------------------------------------------
19.VEHICLE EXPENSES
---------------------------------------------------------------------------------------------------------
00.XXXXXX
---------------------------------------------------------------------------------------------------------
21.ENTERTAINMENT
---------------------------------------------------------------------------------------------------------
22.REPAIRS & MAINTENANCE
---------------------------------------------------------------------------------------------------------
00.XXXXXXXX
---------------------------------------------------------------------------------------------------------
24.ADVERTISING
---------------------------------------------------------------------------------------------------------
25.OTHER (ATTACH LIST) Schedule 8 $112,869.71 $114,668.14 $23,403.88 $250,941.73
---------------------------------------------------------------------------------------------------------
00.XXXXX OPERATING DISBURSEMENTS $116,803.78 $153,097.54 $23,403.88 $293,305.20
=========================================================================================================
REORGANIZATION EXPENSES
---------------------------------------------------------------------------------------------------------
27.PROFESSIONAL FEES
---------------------------------------------------------------------------------------------------------
28.U.S. TRUSTEE FEES
---------------------------------------------------------------------------------------------------------
29.OTHER (ATTACH LIST)
---------------------------------------------------------------------------------------------------------
00.XXXXX REORGANIZATION EXPENSES
=========================================================================================================
00.XXXXX DISBURSEMENTS $116,803.78 $153,097.54 $23,403.88 $293,305.20
=========================================================================================================
00.XXX CASH FLOW ($1,270.31)$3,086,152.17 $11,211.84 $3,096,093.70
=========================================================================================================
00.XXXX - END OF MONTH Schedule 12 $169,919.14 $3,256,071.31 $3,267,283.15 $3,267,283.15
=========================================================================================================
--------------------------------------------------------------
CASE NAME: Venus Exploration, Inc ACCRUAL BASIS - 4
-------------------------------------------------------------- -----------------
CASE: 02-13109-BP-11 7/20/04
--------------------------------------------------------------
---------------------------------------------------------------------------------------------------------
SCHEDULE MONTH MONTH MONTH
-------------------------------------------
ACCOUNTS RECEIVABLE AGING AMOUNT Apr., 2004 May, 2004 June, 2004
---------------------------------------------------------------------------------------------------------
1. 0 - 30 $119,450.06 $25,052.57 $55.84
---------------------------------------------------------------------------------------------------------
2. 31 - 60 $2,682.40 $8,490.75 ($90.64)
---------------------------------------------------------------------------------------------------------
3. 61 - 90 $7,148.04 $2,473.67 $8,490.75
---------------------------------------------------------------------------------------------------------
4. 91 + $217,522.45 $224,274.14 $212,047.45
---------------------------------------------------------------------------------------------------------
5. TOTAL ACCOUNTS RECEIVABLE $346,802.95 $260,291.13 $220,503.40
---------------------------------------------------------------------------------------------------------
6. AMOUNT CONSIDERED UNCOLLECTABLE $71,622.71 $71,622.71 $71,622.71
---------------------------------------------------------------------------------------------------------
7. ACCOUNTS RECEIVABLE, NET $275,180.24 $188,668.42 $148,880.69
---------------------------------------------------------------------------------------------------------
MONTH: June, 2004
-----------------------------
AGING OF POSTPETITON TAXES AND PAYABLES
---------------------------------------------------------------------------------------------------------
TAXES PAYABLE 0 - 30 DAYS 31 - 60 DAYS 61 - 90 DAYS 91 + DAYS TOTAL
---------------------------------------------------------------------------------------------------------
1. FEDERAL $0.00 $0.00 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
2. STATE $0.00 $0.00 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
3. LOCAL $0.00 $0.00 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
4. OTHER (ATTACH LIST) $0.00 $0.00 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
5. TOTAL TAXES PAYABLE $0.00 $0.00 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
----------------------------------- --------------------------------------------------------
6. ACCOUNTS PAYABLE $0.00
----------------------------------- --------------------------------------------------------
MONTH: June, 2004
-----------------------------
STATUS OF POSTPETITION TAXES
--------------------------------------------------------------------------------------------------------
AMOUNT WITHHELD ENDING TAX
FEDERAL BEGINNING TAX AND OR ACCRUED AMOUNT PAID LIABILITY
--------------------------------------------------------------------------------------------------------
1. WITHHOLDING** $0.00 $0.00
---------------------------------------------------------------------------------------------------------
2. FICA - EMPLOYEE** $0.00 $0.00
---------------------------------------------------------------------------------------------------------
3. FICA - EMPLOYER** $0.00 $0.00
---------------------------------------------------------------------------------------------------------
4. UNEMPLOYMENT $0.00 $0.00
------------------------------------------------- -------------------------------------------
5. INCOME $0.00 $0.00 $0.00 $0.00
------------------------------------------------- -------------------------------------------
6. OTHER (ATTACH LIST) $0.00 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
7. TOTAL FEDERAL TAXES $0.00 $0.00 $0.00 $0.00
=========================================================================================================
STATE AND LOCAL
=========================================================================================================
8. WITHHOLDING 0 $0.00 $0.00 $0.00
-------------------------------------------------------------- --------------
9. SALES 0 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
10.EXCISE 0 $0.00 $0.00 $0.00
---------------------------------------------------------------------------------------------------------
11.UNEMPLOYMENT 0 $0.00
-------------------------------------------------------------- --------------
12.REAL PROPERTY 0 $0.00 $0.00 $0.00
-------------------------------------------------------------- --------------
13.PERSONAL PROPERTY 0 $0.00 $0.00 $0.00
-------------------------------------------------------------- --------------
14.OTHER (ATTACH LIST) 0 $0.00 $0.00 $0.00
============================================================== --------------
00.XXXXX STATE & LOCAL $0.00 $0.00 $0.00 $0.00
==============================================================
00.XXXXX TAXES $0.00 $0.00 $0.00 $0.00
============================================================== --------------
* The beginning tax liability should represent the liability from the prior
month or, if this is the first operating report this amount should be zero.
** Attach photocopies of IRS Form 6123 or your FTD coupon and payment receipt
to verify payment deposit.
Schedule 9
----------------------------------------------------------
CASE NAME: Venus Exploration, Inc ACCRUAL BASIS - 5
---------------------------------------------------------- -----------------
CASE: 02-13109-BP-11 7/20/04
----------------------------------------------------------
The debtor in possession must complete the reconciliation below for each bank
account, including all general, payroll and tax accounts, as well as all savings
and investment accounts, money market accounts, certificates of deposit,
government obligations, etc. Accounts with restricted funds should be identified
by placing an asterisk next to the account number. Attach addition sheets if
necessary.
-------------------------------------------------
MONTH: June, 2004
-----------------------------
BANK RECONCILIATIONS Account #1 Account #2 Account #3
=========================================================================================================
A. BANK Frost Frost Frost
=========================================================================================================
B ACCOUNT NUMBER 01 0445703 01 0445606 01 0445681 TOTAL
=========================================================================================================
C PURPOSE (TYPE): Regular Payroll Rental
=========================================================================================================
1. BALANCE PER BANK STATEMENT 3,273,653.11 653.70 1,138.38 $3,275,445.19
---------------------------------------------------------------------------------------------------------
2. ADD: TOTAL DEPOSITS NOT CREDITED (1,395.70) ($1,395.70)
---------------------------------------------------------------------------------------------------------
3. SUBTRACT: OUTSTANDING CHECKS (6,067.85) (848.49) ($6,916.34)
---------------------------------------------------------------------------------------------------------
4. OTHER RECONCILING ITEMS $0.00
---------------------------------------------------------------------------------------------------------
5. MONTH END BALANCE PER ITEMS $3,266,189.56 $653.70 $289.89 $3,267,133.15
---------------------------------------------------------------------------------------------------------
6. NUMBER OF LAST CHECK WRITTEN 9206 105 1194
---------------------------------------------------------------------------------------------------------
-------------------------------------------------
INVESTMENT ACCOUNTS Account #1 Account #2 Account #3
=========================================================================================================
TYPE OF PURCHASE CURRENT
BANK , ACCOUNT NAME & NUMBER DATE OF PURCHASE INSTRUMENT PRICE VALUE
=========================================================================================================
7. ACCOUNT NUMBER
---------------------------------------------------------------------------------------------------------
8. PURPOSE (TYPE):
---------------------------------------------------------------------------------------------------------
9. BALANCE PER BANK STATEMENT
---------------------------------------------------------------------------------------------------------
10.ADD: TOTAL DEPOSITS NOT CREDITED
---------------------------------------------------------------------------------------------------------
00.XXXXX INVESTMENTS
---------------------------------------------------------------------------------------------------------
-------------------------------------------------
CASH
=========================================================================================================
12.CURRENCY ON HAND $150.00
---------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------
00.XXXXX CASH - END OF MONTH $3,267,283.15
---------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------
-------------------------------------------------------------
CASE NAME: Venus Exploration, Inc ACCRUAL BASIS-6
------------------------------------------------------------- ----------------
CASE NUMBER: 02-13109-BP-11 7/20/04
-------------------------------------------------------------
MONTH: June, 2004
-------------------------
--------------------------------------------------------------
PAYMENTS TO INSIDERS AND PROFESSIONALS
--------------------------------------------------------------
OF THE TOTAL DISBURSEMENTS SHOWN FOR THE MONTH, LIST THE AMOUNT PAID TO INSIDERS
(AS DEFINED IN SECTION 101 (31) (A)-(F) OF THE U.S. BANKRUPTCY CODE) AND TO
PROFESSIONALS. ALSO, FOR PAYMENTS TO INSIDERS, IDENTIFY THE TYPE OF COMPENSATION
PAID (e.g. SALARY, BONUS, COMMISSIONS, INSURANCE, HOUSING ALLOWANCE, TRAVEL, CAR
ALLOWANCE, ETC.). ATTACH ADDITIONAL SHEETS IF NECESSARY.
----------------------------------------------------------------------------
INSIDERS
----------------------------------------------------------------------------
TYPE OF AMOUNT TOTAL PAID
NAME PAYMENT PAID TO DATE
1. Xxxx Energy Company Schedule 10 $3,638
----------------------------------------------------------------------------
2. Xxxx X Xxxx Schedule 10 $1,350 $165,700
----------------------------------------------------------------------------
3. Xxxxx Xxxxxxxx Schedule 10 $5,400 $100,856
----------------------------------------------------------------------------
4. E L Xxxx, Jr Schedule 10 $791 $22,307
----------------------------------------------------------------------------
5.
----------------------------------------------------------------------------
6. TOTAL PAYMENTS
TO INSIDERS $7,541 $292,501
----------------------------------------------------------------------------
---------------------------------------------------------------------------------------------------------
PROFESSIONALS
---------------------------------------------------------------------------------------------------------
DATE OF
COURT
ORDER TOTAL
AUTHORIZING AMOUNT AMOUNT TOTAL PAID INCURRED
NAME PAYMENT APPROVED PAID TO DATE & UNPAID*
---------------------------------------------------------------------------------------------------------
1. Xx Xxxxxxx 4/22/2003 $43,850
---------------------------------------------------------------------------------------------------------
2. Xxxxx Xxxxxxx 4/22/2003 $29,700
---------------------------------------------------------------------------------------------------------
3. Xxxxxx Xxxxxxx 4/22/2003 $2,892 $57,590
---------------------------------------------------------------------------------------------------------
4. Xxxx Xxxxxx 4/22/2003 $10,615
---------------------------------------------------------------------------------------------------------
5. Xxxxxx Xxxxx 4/22/2003 $17,080
---------------------------------------------------------------------------------------------------------
6. Xxx Xxxxx 4/22/2003 $17,080
---------------------------------------------------------------------------------------------------------
6. TOTAL PAYMENTS
TO PROFESSIONALS $2,892 $175,915 $0
---------------------------------------------------------------------------------------------------------
* INCLUDE ALL FEES INCURRED, BOTH APPROVED AND UNAPPROVED
-------------------------------------------------------------------------------------------
POSTPETITION STATUS OF SECURED NOTES, LEASES PAYABLE AND ADEQUATE
PROTECTION PAYMENTS
-------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------
NAME OF CREDITOR SCHEDULED AMOUNTS
MONTHLY PAID TOTAL
PAYMENTS DURING UNPAID
DUE MONTH POSTPETITION
-------------------------------------------------------------------------------------------
1. GMAC $791 $791 $0
-------------------------------------------------------------------------------------------
2. $0
-------------------------------------------------------------------------------------------
3. $0
-------------------------------------------------------------------------------------------
4. $0
-------------------------------------------------------------------------------------------
5. $0
-------------------------------------------------------------------------------------------
6. TOTAL $791 $791 $0
-------------------------------------------------------------------------------------------
----------------------------------------------------------
CASE NAME: Venus Exploration, Inc ACCRUAL BASIS-7
---------------------------------------------------------- ----------------
CASE NUMBER: 02-13109-BP-11 7/20/04
----------------------------------------------------------
MONTH: June, 2004
--------------
QUESTIONNAIRE
---------------------------------------------------------------------------------------------------------
YES No
---------------------------------------------------------------------------------------------------------
1. HAVE ANY ASSETS BEEN SOLD OR TRANSFERRED OUTSIDE
THE NORMAL COURSE OF BUSINESS THIS REPORTING PERIOD? X
---------------------------------------------------------------------------------------------------------
2. HAVE ANY FUNDS BEEN DISBURSED FROM ANY ACCOUNT
OTHER THAN A DEBTOR IN POSSESSION ACCOUNT? X
---------------------------------------------------------------------------------------------------------
3. ARE ANY POSTPETITION RECEIVABLES (ACCOUNTS, NOTES, OR
LOANS) DUE FROM RELATED PARTIES? X
---------------------------------------------------------------------------------------------------------
4. HAVE ANY PAYMENTS BEEN MADE ON PREPETITION LIABILITIES
THIS REPORTING PERIOD?
---------------------------------------------------------------------------------------------------------
5. HAVE ANY POSTPETITION LOANS BEEN RECEIVED BY THE
DEBTOR FROM ANY PARTY? Note 3 X
---------------------------------------------------------------------------------------------------------
6. ARE ANY POSTPETITION PAYROLL TAXES PAST DUE? X
---------------------------------------------------------------------------------------------------------
7. ARE ANY POSTPETITION STATE OR FEDERAL INCOME TAXES
PAST DUE? X
---------------------------------------------------------------------------------------------------------
8. ARE ANY POSTPETITION REAL ESTATE TAXES PAST DUE? X
---------------------------------------------------------------------------------------------------------
9. ARE ANY OTHER POSTPETITION TAXES PAST DUE? X
---------------------------------------------------------------------------------------------------------
10.ARE ANY AMOUNTS OWED TO POSTPETITION CREDITORS
DELINQUENT? X
---------------------------------------------------------------------------------------------------------
11.HAVE ANY PREPETITION TAXES BEEN PAID DURING THE
REPORTING PERIOD? X
---------------------------------------------------------------------------------------------------------
12.ARE ANY WAGE PAYMENTS PAST DUE? X
---------------------------------------------------------------------------------------------------------
IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS "YES," PROVIDE A DETAILED
EXPLANATION OF EACH ITEM. ATTACH ADDITIONAL SHEETS IF NECESSARY.
-------------------------------------------------
INSURANCE
================================================================================
YES
--------------------------------------------------------------------------------
1. ARE WORKER'S COMPENSATION, GENERAL LIABILITY AND OTHER
NECESSARY INSURANCE COVERAGES IN EFFECT? X
--------------------------------------------------------------------------------
2. ARE ALL PREMIUM PAYMENTS PAID CURRENT? X
--------------------------------------------------------------------------------
3. PLEASE ITEMIZE POLICIES BELOW.
--------------------------------------------------------------------------------
IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS "NO," OR IF ANY POLICIES HAVE
BEEN CANCELLED OR NOT RENEWED DURING THIS REPORTING PERIOD, PROVIDE AN
EXPLANATION BELOW. ATTACH ADDITIONAL SHEETS IF NECESSARY.
---------------------------------------------------------------------------------------------------------
INSTALLMENT PAYMENTS
---------------------------------------------------------------------------------------------------------
TYPE OF PAYMENT AMT
POLICY CARRIER PERIOD COVERED & FREQUENCY
-------------------------------------------------------------------------------------------
-------------------------------------------------------------------------------------------
Crime Policy Hartford Causality 7/1/03 - 6/30/06 Paid up
------------------------------------------------------------------------------------------------------
Auto Progressive 1/4/04 - 9/30/04 Paid up
------------------------------------------------------------------------------------------------------
Commercial Fire Central Insurance Co 10/1/03 - 9/30/04 Paid Up
------------------------------------------------------------------------------------------------------
General Liability St Xxxx Surplus Line Ins Co8/1/03 - 7/31/04 Paid Up
------------------------------------------------------------------------------------------------------
Note 1
------
An involuntary petition of bankruptcy was filed against Venus Exploration,
Inc on October 9, 2002 and Venus' response to such petition was filed
October 31, 2002. Venus subsequently filed a "Notice of Consent to Entry of
Order of Relief" on February 26, 2003. On February 27, 2003 the Court
entered an order for relief under Chapter 11 of the Bankruptcy Code.
Note 2
------
Venus maintains it books and accounting records on the accrual method of
accounting, and accordingly recognizes income in the month oil and gas is
produced. The income is not reported to Venus and payment is not received
for approximately two months after production. We therefore accrue an
estimated amount of income based on historical production. Also, all
expense amounts for well operations are not available at the time this
report is due, and certain estimates are made for these expenses as well.
The difference between the year to date accrual for the MOR and the year to
date actual is an adjustment to retained earnings.
Note 3
------
In accordance with an Order Granting Venus Exploration Inc.'s Motion to
Obtain Unsecured Credit Allowable as an Administration Expense Pursuant to
11 USC 364(b), Venus obtained a loan of $125,000 to purchase Directors' and
Officers' insurance for the period May 21, 2003 until May 21, 2004. When
the policy expired May 21, 2004 an expense for the cost of the policy was
recognized. The Note Payable is shown on Line 19 of the Balance Sheet, and
accrued interest payable is included on Line 22. Accrued interest expense
is included on Line 18 of the Income Statement.
Payment of principal and interest on the note is subject to subordination
in accordance with the above referenced Order.
Note 4
------
On February 9, 2004, the Company signed a Purchase and Sale Agreement to
sell substantially all of its assets. On February 27, 2004, the Court
ordered that the Company is authorized to seek approval of the sale as
contemplated by the Purchase and Sale Agreement. The Court also ordered
that Venus was authorized to receive alternative bids. On March 24, 2004,
an auction was held, and a winning bid was accepted. The closing of the
sale was May 7, 2004, and the Company received $3,229,400 in cash and a net
profits interest in certain assets that were sold.
Schedule 1 - Other Assets
-------------------------
Utility Deposit 6,545.00
--------------
6,545.00
--------------
Schedule 2 - Other Prepetition Liabilities
------------------------------------------
Rent Deposit 20,477.92
Deferred Federal Income Tax 1,475.00
Obligations Under Capital Lease (809.42)
--------------
21,143.50
--------------
Schedule 3 - General and Administrative Expenses
------------------------------------------------
Salaries -
Payroll taxes
Misc. employee expense 751.00
Auto expense 1,174.19
Supplies 514.34
Bank fees 54.61
Legal & accounting serv. 6,032.16
Consultants 4,116.19
Rent
Travel & entertainment 2,553.63
Insurance 554.95
General Taxes
Telephone 345.66
Postage 205.56
Professional Seminars
Dues, subs & pubs 395.00
Bankruptcy Expense
Other G&A 1,217.88
Corporate expenses 1,144.00
Overhead/Fees (1,870.63)
--------------
Total 17,188.54
Less Amount reported on line 12 - Rent
Less Amount reported on line 24 & 25
Reorganization Expenses
--------------
Amount reported on line 11 17,188.54
==============
Schedule 4 - Other Operating Expenses
-------------------------------------
Lease Operating Expense 146.85
Pluging Expense 714.69
Geological and Geophysical - Overhead 515.00
--------------
1,376.54
==============
Schedule 5 - Non-Operating Income
---------------------------------
Misc Income-State Tax Refund 27,254.00
Misc Income-Other -33.84
Interest income 1,831.51
--------------
29,051.67
==============
Schedule 6 - Other Reorganization Expenses
------------------------------------------
0.00
0.00
--------------
0.00
==============
Schedule 7 - Other Non-Operating Receipts
-----------------------------------------
Overhead collections 2,644.16
State Tax Refund 27,254.00
Interest Income 1,831.51
Revenue Received to be Paid to Others 2,823.05
Misc. Income 63.00
--------------
34,615.72
==============
Schedule 8 - Other Operating Disbursements
------------------------------------------
As stated in Note 2, Venus maintains its books and records on the
accrual method of accounting. As such, each expense is charged to its
proper account as it is incurred, and payment is made when such
payment is due. The amount shown on Line 25 is the total amount paid
during June.
Schedule 9 - Note Re: Payroll Tax Payments
------------------------------------------
Payroll taxes are paid by payroll preparation company, ADP.
Schedule 10 - Payments to Insiders
----------------------------------
Current Month
-------------
Fee Health Ins Auto Total
--- ---------- ---- -----
Xxxx Energy 0.00
Xxxx Xxxx 1,350.00 1,350.00
Xxxxx Xxxxxxxx 5,400.00 5,400.00
E L Ames, Jr 791.03 791.03
-----------------------------------------------------
6,750.00 0.00 791.03 7,541.03
-----------------------------------------------------
Total to Date
-------------
Xxxx Energy 3,637.50 3,637.50
Xxxx Xxxx 135,291.70 16,156.95 14,251.30 165,699.95
Xxxxx Xxxxxxxx 100,856.44 100,856.44
E L Xxxx, Jr 6,992.55 15,314.18 22,306.73
-----------------------------------------------------
239,785.64 23,149.50 29,565.48 292,500.62
-----------------------------------------------------
Schedule 11 - Interest Expense
------------------------------
D&O Insurance Loan - Note 3 667.81
Other
------------
667.81
------------
Schedule 12 - Cash Receipts and Disbursements
---------------------------------------------
The cash increased 11,211.84 in June.
Schedule 13 - Revenue
---------------------
No revenue was received during June.
Schedule 14 - Professional Fees
-------------------------------
The Court has approved the following professional fees.
The expense for these amounts was previously shown on
line 23 of the Monthly Operating Report in November, 2003, March, 2004,
and May, 2004.
Xxxxxxxx Petroleum Consultants, Inc 13,443.58
Xxxxxxx Xxxxxx 26,536.86
Plunket and Xxxxxx 42,493.96
Cotham, Harwell, and Xxxxx 70,044.21
Xxxx XxXxxxxx & Associates 70,874.60
Xxxxx X. Xxxxxx, P.C. 63,845.30
Frost Bank 97,741.74
--------------
384,980.25
==============
Schedule 15 - Prepaid Expenses
------------------------------
Prepaid General Insurance 6,302.60
Prepaid Maintenance 1,098.00
--------------
7,400.60
==============
