GNCC Capital, Inc. – 2013 Annual Report
NEW YORK--(BUSINESS WIRE)--GNCC Capital, Inc. (OTC:GNCP) confirms that it filed its Annual Report for the fiscal year ended September 30, 2013 and on February 23, 2014.
“White Hills, Esther Basin, Burnt Well, Clara, Kit Carson, Silverfields and Potts Mountain”
The Annual Report was filed in two parts and can be accessed through these web links on the OTC Markets:
MANAGEMENT COMMENTARY ON ANNUAL RESULTS:
The Company recorded a loss of $11,926,526 for the financial ended September 30, 2013 in line with expectations. This was primarily due to an impairment charge of $10,000,000 relating to the Company’s acquisition of the “White Hills” Gold Exploration Properties.
It is the Company’s conservative policy to expense all acquisitions as an impairment charge and as such, to date, has not recognized any of its Mining Exploration Properties as assets due to our present accounting policies.
An additional amount of $1,085,825 was expensed as interest charges for the financial year ended on September 30, 2013.
MANAGEMENT COMMENTARY ON POST SEPTEMBER 30, 2013 FINANCIAL YEAR END RESULTS:
The Company post its September 30, 2013, to December 31, 2013, being the Company’s First Quarterly Report, will reflect:
- A further reduction in Interest Bearing Long Term Convertible Loan Notes in the amount of $2,065,000.
- The conversion of outstanding Interest Bearing Payment In Kind Notes in the amount of $4,118,361 to that of Stockholder Equity through the issuance of shares of Series A Convertible Preferred Stock.
- The elimination of $206,400 of current liabilities through a replacement of these short term stockholder loans with Long Term Convertible Loan Notes.
- A very material increase in our Mining Exploration expenditure due to the Company’s recently appointed two full time Consulting Geologists, our ongoing staking of additional land claims surrounding our existing Mining Exploration Properties, Sampling, Mapping and Assay Lab costs as well as other related exploration charges. Our preliminary discussions with a view to the retention of Terravision to conduct radar scanning over all of our Mining Exploration Properties could materially increase our expenses in the Second Quarter ended March 31, 2014.
It is our accounting policy to expense all additional land claims staked and all other exploration work; and not to reflect them as assets on our Balance Sheet, at this time.
FILING OF THE FIRST QUARTERLY REPORT FOR THE THREE MONTHS ENDED DECEMBER 31, 2013:
The Company intended to file its First Quarterly Report for the three months ended December 31, 2013 on or before today.
Management and their Advisors have now elected to file this Report in the coming days of this week as they intend to redraft material aspects of this Report due to a large number of very material post balance sheet events that are clearly detailed in the Annual Report and on page numbers 125 and 126 of that Report.
It was simply not possible to complete this Filing this weekend if we are to ensure complete accuracy and provide full disclosure.
One of Management’s priorities is to complete the directions in respect of fair and reasonable accounting treatment of certain of our assets as per the guidance furnished to ourselves by external Counsel; and only insofar as our compliance with the State of Delaware rules and regulations governing our Stock Repurchase Program as announced by ourselves in January, 2014. This is in response to various queries from our stockholders and we simply wish to simplify our accounting treatment, our rationale and to ensure stockholders of our compliance with these State Laws.
CURRENT OTC STATUS AND ATTORNEY’S LETTER:
The Company had to file its Annual Report and the accompanying Attorney’s Letter as well as the First Quarterly Report to regain its status as a Current Filer on the OTC Markets. The Attorney’s Letter in respect of the Annual Report and the filing in respect of the First Quarter ended December 31, 2013, will be filed this week and thereby, restoring the Company to that of a Current Information Filer on the OTC Markets.
The Company’s Management will expedite both the filing of the Attorney’s Letter in respect of the Annual Report just filed as well as the filing of the First Quarterly Report; as it is considered critical to provide stockholders with up to date information and for the Company to be restored to that of a “Current Filer” on the OTC Markets.
FINAL CONVERSION PRICING IN RESPECT OF STOCK ISSUANCE ON DECEMBER 13, 2013:
The Company filed on February 22, 2013, the final conversion price per share of Common Stock in respect a December 13, 2013 issuance pursuant to certain partial conversions of Convertible Loan Notes issued by the Company on May 3, 2010. A Link to this Filing: http://www.otcmarkets.com/financialReportViewer?symbol=GNCP&id=116599
PUBLICATION OF COMPREHENSIVE AND INITIAL REPORTS ON THE COMPANY’S VARIOUS MINING EXPLORATION GROUPS:
The Company’s Geologist, Craig Parkinson has completed reports on the Company’s “Clara, Burnt Well and Kit Carson” Exploration Properties. These Reports will be filed as Presentations on the OTC Markets OTCIQ Reporting, and commencing this week.
Craig Parkinson having also assumed responsibility for the Company’s “White Hills” Exploration Property, will commence on site work at that property from next week. Upon his completion of his work, these Reports will be filed.
Previous Assay Reports were filed by the Company in respect of “White Hills” as compiled by a former Geologist, previously responsible for these Properties; and can be accessed through this web link: http://www.otcmarkets.com/financialReportViewer?symbol=GNCP&id=114914
The Company’s other Geologist, Raymond Harris remains on site at the Company’s “Ester Basin, Silverfields and Potts Mountain” Exploration Properties. Upon his return and his completion of the work, these reports will be compiled and published.
Raymond Harris will then be assessing and reporting on two additional optioned properties on the same geological and geographical trend as the Company’s “Ester Basin, Silverfields and Potts Mountain” Exploration Properties.
NO REVERSE SPLIT CONTEMPLATED ON THE COMPANY’S OUTSTANDING SHARES OF COMMNON STOCK:
The Company’s Management once again, reiterates that under no circumstances will it either contemplate nor will it authorize any Reverse Split of the Company’s issued and outstanding shares of Common Stock.
Management is of the opinion, that these Reverse Splits of Common Stock are highly detrimental to all stockholders in an Exploration Stage/Microcap company currently trading at a very low price per share in the market.
About GNCC Capital, Inc.:
GNCC Capital, Inc. is primarily a Gold Exploration Company, with a secondary focus on Silver Exploration. The initial exploration properties are located in Arizona and consist of “White Hills, Esther Basin, Burnt Well, Clara, Kit Carson, Silverfields and Potts Mountain". The Company intends to create significant value for its initial portfolio of properties through continued exploration, joint ventures, and through the acquisition of additional Gold and Silver Exploration assets. GNCC Capital, Inc. is a current information filer on the OTC Markets under the symbol “GNCP”.
This press release may contain forward-looking statements. The words "believe," "expect," "should," "intend," "estimate," "projects," variations of such words and similar expressions identify forward-looking statements, but their absence does not mean that a statement is not a forward-looking statement. These forward-looking statements are based upon the Company's current expectations and are subject to a number of risks, uncertainties and assumptions. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Among the important factors that could cause actual results to differ significantly from those expressed or implied by such forward-looking statements are risks that are detailed in the Company's filings, which are on file with the OTC Markets Group.