| Recovery Network, Inc., The | |||
| Ticker: | RNET | 1411 5th Street, Suite 250 | |
| Exchange: | NASDAQ-Small Cap Market | Santa Monica, CA 90401 | |
| Industry: | Service (SIC Code 7812) | (310) 393-3979 | |
| Type of Shares: | Common Shares | Filing Date: | 5/23/97 | |
| U.S. Shares: | 2,100,000 | Offer Date: | 9/30/97 | |
| Non-U.S. Shares: | 0 | Filing Price: | $5.00 | |
| Primary Shares: | 2,100,000 | Offer Price: | $5.10 | |
| Secondary Shares: | 0 | Gross Spread: | $0.51 | |
| Offering Amount: | $10,500,000 | Selling: | $0.20 | |
| Expenses: | $244,800 | Reallowance: | $0.10 | |
| Shares Out After: | 4,121,250 |
| Manager | Tier | Phone |
| Whale Securities Company | Lead Manager | (212) 484-2057 |
| Issuer's Law Firm: | Parker Chapin Flattau & Klimpl |
| Bank's Law Firm: | Tenzer, Greenblatt, Fallon & Kaplan |
| Auditor: | Arthur Andersen |
| Registrar/Transfer Agent: | American Stock Transfer & Trust Co |
Dollar amounts in U.S. millions except for per share data | |||||
| 9 Month Ending Financials | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 6/30/96 | 3/31/97 | 3/31/96 | 3/31/97 | ||
| Revenue: | $0.00 | $0.03 | $0.00 | Assets: | $1.11 |
| Net Income: | -$1.22 | -$2.29 | -$0.60 | Curr Assets: | |
| EPS: | -$0.71 | -$1.13 | -$0.55 | Liabilities: | $1.32 |
| Prior EPS: | -$0.43 | Curr Liabilities: | |||
| Cash Flow/Oper: | -$0.77 | Equity: | -$0.21 | ||
| Cash Flow/Fin: | Cash: | ||||
| Cash Flow/Inv: | |||||
| Business Description |
| The company is a development stage company organized to provide information, interaction and support via television, radio and interactive media services to persons affected by or afflicted by or afflicted with alcoholism, drug and substance abuse. The company currently addresses Recovery Issues and Prevention Issues through The Recovery Network, a cable television network which commenced test-broadcasting on a limited basis in March 1996 and was launched nationally in April 1997 to 13 million subscribers in the morning and 3.5 million subscribers in the evening; Recovery Talk Radio, a nationally syndicated talk radio program introduced in December 1996 and currently airing in 60 cities nationwide; and a toll-free telephone helpline which offers information to viewers of the Recovery Network about where to obtain information and help in their communities. The company also owns a 50% interest in RecoveryNet Interactive, L.L.C., a joint venture with TCI Online RecoveryNet Holdings, Inc., formed in August 1996. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used for the repayment of the Financing Notes; marketing and affiliate sales; programming expenses; the commencement of merchandising operations and the balance for working capital and general corporate purposes. |