posted
I just picked this up last night on my scans. I have looked at the shares and found out that there is only 32 mill o/s. This is pretty low. I am going to watch this with a close eye because i have a feeling there is going to be a run. It only had 56k in volume and it was up like 40+%. LMAO i like something that can make you a quick buck. A IN - AND - OUT play. JMHO
-------------------- Just callen the Channels Posts: 447 | Registered: Sep 2005
| IP: Logged |
posted
the MACD just crossed and is showing some strength. I am holding this slow gal because i know there is going to be a run soon. its a buy and hold. Low risk but high reward. IMO
-------------------- Just callen the Channels Posts: 447 | Registered: Sep 2005
| IP: Logged |
posted
The more DD I do on this one the better I like it. Will be looking for an entry point this morning.
Posts: 168 | From: Mid west | Registered: Feb 2005
| IP: Logged |
UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549
FORM 20 - F (Mark One) ¨ REGISTRATION STATEMENT PURSUANT TO SECTION 12(B) OR 12(G) OF THE SECURITIES EXCHANGE ACT OF 1934 or
ý ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 2004 or
¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________ or __________
Commission file number : 333-102931
UNITED TRAFFIC SYSTEM INC. formerly PENN BIOTECH INC. (Exact name of registrant as specified in its charter)
British Columbia, Canada (Jurisdiction of incorporation or organization)
Suite 676, 141 - 757 Hastings Street, Vancouver, British Columbia, Canada V6C 1A1 Telephone: 604-606-6030 (Address of principal executive offices)
Securities registered or to be registered pursuant to Section 12(b) of the Act:
Title of Each Class Name of Each Exchange On Which Registered
Securities registered or to be registered pursuant to Section 12(g) of the Act:
Common shares (Title of Class)
Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act:
(Title of Class)
Indicate the number of outstanding shares of each of the issuer's classes of capital or common stock as of the close of the period covered by the annual report.
Common shares outstanding: December 31, 2004: 32,477,244
Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days
(1) x Yes o No (2) x Yes o No
Indicate by check mark which financial statement item the registrant has selected to follow. o Item 17 x Item 18
Item 1. Identity of Directors, Senior Management and Advisers
A. DIRECTORS AND SENIOR MANAGEMENT See Item 4.C.
B. ADVISERS Principal banker: Bank of Montreal
First Bank Tower, 595 Burrard Street, Vancouver, B.C. V7X 1L7 Canada
C. AUDITORS D & H Group LLP 10 th Floor, 1333 West Broadway, Vancouver, B.C. V6H 4C1 Canada
Item 2. Offer Statistics and Expected Timetable Not Applicable
Item 3. Key I nformation A. Selected financial data
The selected financial and other data set forth below should be read in conjunction with the audited financial statements of United Traffic System Inc. (formerly Penn Biotech Inc.) as of December 31, 2004, 2003 and 2002 including the notes thereto, and "Item 5 - Operating and Financial Review and Prospects" included in this annual report. The selected financial data set forth below for the fiscal years ended December 31, 2004, 2003 and for the period ended December 31 2002 (which was commented on by the Company's former auditors) are derived from the audited financial statements of the Company, which have been audited by D & H Group LLP, chartered accountants. Our financial statements are compiled in Canadian dollars, expressed in US dollars, and presented in accordance with accounting principles generally accepted in the United States.
STATEMENT OF OPERATIONS (in U.S. dollars) - Select information Years ended December 31, 2004, 2003 and from inception October 23, 2002 to December 31, 2002
Year ended 2004 Year ended 2003 Period ended 2002
Revenue $ 4,957 $ 0 $ 0 Operating expenses Seed potato crop costs 117,309 100,041 0 General & admin 1,173,231 148,324 25,843 Write down on licences 26,796 0 0
Impairment of laboratory equipment 36,830 0 0
Net loss (1,349,209 ) (248,365 ) (25,843 ) Other comprehensive income (loss) (53,445 ) (22,683 ) 120
Comprehensive loss $ (1,402,654 ) $ (271,048 ) $ (25,723 ) Weighted average number of common shares 21,642,757 15,195,194 217,391 Basic and diluted loss per common share $ (0.06 ) $ (0.02 ) $ (0.12 )
BALANCE SHEETS (in U.S. dollars) as of December 31, 2004, 2003 and 2002
Select information
2004 2003 2002
Cash and cash equivalents $ 322 $ 5,383 $ 33,909 Accounts receivable -trade 0 9,755 0 Total current assets 322 15,138 33,909 Property, plant and equipment - net 2,326 27,636 0 Licenses 0 28,823 25,580 Total Assets $ 2,648 $ 71,597 $ 59,489
Accounts payable and accrued liabilities $ 75,965 $ 120,037 $ 25,580 Due to related party 438,654 238,820 33,390 Note Payable 0 0 16,764 Shareholders' deficiency (511,971 ) (287,260 ) (16,215 ) Total Liabilities and Shareholders’ Equity $ 2,648 $ 71,597 $ 59,489
The Company (“UTS” or “PBI”) records its finances in Canadian (Cdn) dollars and reports its operations in US dollars. Fluctuation in the exchange rate between the Cdn dollar and the US dollar will affect the amount of dollars reported in its financial statements and received in respect of cash dividends or other distributions paid in Cdn dollars by us. The following table sets forth, for the periods and dates indicated, certain information concerning the noon buying rate. No representation is made that the Cdn dollar amounts referred to herein could have been or could be converted into US dollars at any particular rate, or at all. On June 13, 2005 the noon buying rate was Cdn$1.2577 to US$1.00.
YEARS ENDED DECEMBER 31 (CDN$ PER US$1.00)
AVERAGE RATE (1) YEAR END HIGH LOW 1999 1.4827 1.4440 1.5302 1.4440 2000 1.4871 1.4995 1.5600 1.4350 2001 1.5519 1.5925 1.6023 1.4933 2002 1.5702 1.5800 1.6128 1.5108 2003 1.3916 1.2923 1.5750 1.2923 2004 1.2752 1.2020
(1) the average of the noon buying rates on the last date of each month (or a portion thereof) during the period.
FOR EACH OF THE PAST SIX MONTHS (CDN$ PER US$1.00) MONTHLY CLOSING December 2004 1.2020 January 2005 1.2412 February 2005 1.2335 March 2005 1.2096 April 2005 1.2585 May 2005 1.2552
THERE ARE SIGNIFICANT RISKS ASSOCIATED WITH AN INVESTMENT IN OUR COMMON STOCK. BEFORE MAKING A DECISION CONCERNING THE PURCHASE OF OUR SECURITIES, YOU SHOULD CAREFULLY CONSIDER THE FOLLOWING FACTORS AND OTHER INFORMATION IN THIS ANNUAL REPORT WHEN YOU EVALUATE OUR BUSINESS. THE POTENTIAL SUCCESS OF OUR BUSINESS MODEL MUST BE CONSIDERED IN LIGHT OF OUR STATUS AS A DEVELOPMENT STAGE COMPANY.
Business Risks
WE MAY BE UNABLE TO CONTINUE AS A GOING CONCERN WHICH COULD RESULT IN A LOSS FOR OUR INVESTORS We may never become profitable. If we do achieve profitability at some point in the future, we cannot be certain that we will remain profitable or that profits will increase in the future. For further discussion, see the section of this document entitled " Operating and Financial Review and Prospects" below.
WE REQUIRE ADDITIONAL FUNDING SINCE WE EXPECT A NEGATIVE OPERATING CASH FLOW OVER THE NEXT 12 MONTHS We expect to experience negative operating cash flow for the foreseeable future as a result of significant upfront expenses needed to maintain operations. Accordingly, we will need to raise additional funds in the short-term in order to fund our business plan. We will need to raise the funds by offering and selling equity securities or convertible debt securities, which will cause the percentage of ownership of our shareholders to be reduced. The securities issued to raise funds may have rights, preferences or privileges that are senior to those of the holders of our other securities, including our common stock. We do not have any contractual restrictions limiting our ability to incur debt. Any significant indebtedness, however, could restrict our ability to fully implement our business plan. If we are unable to repay the debt, we could be forced to cease operating. For further discussion, see liquidity and capital resources in the section of this document entitled “Operating and Financial Review and Prospects” below.
FUTURE ISSUANCE OF DEBT MAY CONTAIN CONTRACTUAL RESTRICTIONS THAT MAY CURTAIL IMPLEMENTATION OF OUR BUSINESS PLAN We do not have any contractual restrictions limiting our ability to incur debt. Any significant indebtedness, however, could restrict our ability to fully implement our business plan. If we are unable to repay the debt, we could be forced to cease operating. For further discussion, see liquidity and capital resources in the section of this document entitled "Management's Discussion and Analysis or Plan of Operation" below.
THE EXPIRATION OF THE PATENT WHICH WE HAVE LICENSED MAY DECREASE OUR PROFITABILITY OR DESTROY OUR BUSINESS The material part of our business is to be a producer and distributor of seed potatoes produced by a patented production system. PBI entered into an exclusive license agreement with Korea Research Institute of Bioscience and Biotechnology (KRIBB) for this patented production system on December 27, 2002. Territories covered under this agreement include Korea, China, and Canada, and the agreement expires for each country on March 11, 2009, March 10, 2010, and March 1, 2010, respectively. This geographic limitation applies to production and distribution of micro-tubers (the first stage of a seed potato). In the case that we fail to become profitable before the expiration of our patent rights, we would be exposed to the risk of increased competition and could suffer a loss of revenue or higher than anticipated costs, which could seriously harm our operating results and ability to attract new business and retain existing business.
PBI MAY BE UNABLE TO GROW ITS PRODUCTS ON A SCALE SUFFICIENT TO WARRANT COMMERCIAL SALES It is uncertain that PBI will find greenhouse contract farmers for its Minitubers (MNT) (small potatoes that are less than 1.5 inches in diameter) and field contract farmers with sufficient acreage for its field-planted seed potatoes. When PBI does find such contract farmers, there is no guarantee that the negotiation with those farmers will be successful. In such case, PBI may not be able to grow its products on a scale sufficient to warrant commercial sales.
WE MAY NOT ACHIEVE THE CUSTOMER BASE NECESSARY TO BECOME OR REMAIN PROFITABLE, WHICH DECREASES THE VALUE OF OUR STOCK The seed potato industry is highly competitive. Most of our competitors have significantly greater financial, technical, product development and marketing resources than us. Our primary competitors for customers include Technico Pty. Limited, an Australian agri-biotechnology company, Quantum Tubers Corporation, a Wisconsin based company and Bon Accord elite seed potato centre, Canada's leading seed potato provider. Many of our competitors have substantial installed customer bases and the ability to fund significant production and marketing efforts. There can be no assurance that future competition will not have a material adverse effect on our results of operations, financial condition or business. For further discussion, see competition under the section of this document entitled "Description of Business" below.
OUR PRODUCT COULD BE DESTROYED BY DISEASE, WHICH DECREASES OUR OPPORTUNITY FOR A PROFITABLE BUSINESS Factors that may affect the quality of the seed tuber include the attack of pests and pathogens such as Potato Cyst Nematode and Columbia Root Knot Nematode. In the early multiplication stages of a seed potato such as nuclear stock (1) and Pre-Elite there is almost zero percent disease tolerance within the stock. Nuclear stocks, including plantlets (small potato plants), microtubers (small potato tubers in the size of a pea) and minitubers (small potatoes which are less than 1.5 inches in diameter), are produced from potato tissue culture material, which has been tested in a laboratory. PBI will first produce microtubers and plantlets at a laboratory, and these microtubers and plantlets are planted in greenhouses in the spring of the following year. From the greenhouses, minitubers, the last stage of nuclear stock seed potatoes, are harvested in the autumn that year and are planted in the field in the spring of the following year. In the autumn, the first field seed potatoes are harvested and called Pre-Elite seed potatoes. Tissue culture (2) and greenhouse cultivation will be strictly controlled and protected against such infections, but there is no assurance that there is no possibility of infection during the later multiplication stages. (1) Nuclear stock: produced from potato tissue culture material that has been tested in the laboratory and found to be free of all disease pathogens. (2) Tissue culture: growth of cells from higher organisms in a sterile container, which contains the nutrients necessary for cell growth.
-------------------- Time will give you what you want! Posts: 253 | From: Pennsylvania | Registered: May 2005
| IP: Logged |
posted
Another thing is that there is no resistance! This stock moves on nothing buys! The MM's let her move so easily! Its a great IN and OUT PLAY IMO
-------------------- Just callen the Channels Posts: 447 | Registered: Sep 2005
| IP: Logged |
posted
there is only 32mill outstand shares which it nothing....compared to a lot of companies. Thats why it moves on air and i love this In and Out play!!!! IMO
-------------------- Just callen the Channels Posts: 447 | Registered: Sep 2005
| IP: Logged |
-------------------- siggy: 'the poorest way to help the poor is to be poor' / jmichael1974 (yahoo) Posts: 836 | From: Atlanta | Registered: Aug 2004
| IP: Logged |
posted
Suddenstranger, nice chart. Two things I would be cautious of this stock is the 200ma res level at .03 and the slow stoch is above 80 which usually means the stock is ready for a correction.
Isn't it odd that a "a thoroughly dissatisfied contract-service supplier still trying to get paid" is holding the company's websites (as provided by Von) hostage.
I would agree with Uncle_Buck that this would be only a 1 day play. History repeats itself, therefore visit www.stockwatch.com and look at the 3 month closes for UTSYF you you'll notice that Wednesday 9/14/05 was a beautiful day.
Keep in mind .017 - .030 would be a 76% return for a few good traders. Good luck to all that play this one, don't get caught holding the bag.
posted
great post hermes... Ya guys this is a quicky! IN and Out! Need the volume though. Once she gets some volume look out guys! It moves tooooo easy so you guys will make some nice money! IMO
-------------------- Just callen the Channels Posts: 447 | Registered: Sep 2005
| IP: Logged |
posted
Noticing HUGE volume coming into UTSYF today - getting some upticks. Looks like strong swingplay developing - look at run in mid-September. Large percentage gainer possible.
Posts: 323 | Registered: May 2004
| IP: Logged |
-------------------- "As long as there are dreamers, there are dreams that will come true." Posts: 862 | From: CT Yankee..... in FLA | Registered: Aug 2005
| IP: Logged |
posted
.03 is BREAKOUT POINT!!! Im still seeing a few indicators crossing here at .025 for a peak maybe so keep a close eye on it. Needs more volume!!! for break os .03! Good luck guys
-------------------- Just callen the Channels Posts: 447 | Registered: Sep 2005
| IP: Logged |
-------------------- siggy: 'the poorest way to help the poor is to be poor' / jmichael1974 (yahoo) Posts: 836 | From: Atlanta | Registered: Aug 2004
| IP: Logged |
posted
What an absolutly beautiful chart. Looks like the sky it the limit on this one.
-------------------- I said it aint no fun waiting around to be a millionaire. Posts: 130 | From: United States of America | Registered: Oct 2005
| IP: Logged |
-------------------- siggy: 'the poorest way to help the poor is to be poor' / jmichael1974 (yahoo) Posts: 836 | From: Atlanta | Registered: Aug 2004
| IP: Logged |
posted
Nice job warning the public about the indicators Uncle_Buck. Last buy was at 9:58 on the ask at .025.
This play NEEDS more buying volume on the ask, otherwise the slow stoch will complete its down turn and I think we know where UTSYF will close for the day. Bid support needs to develop to ensure the pps doesn't slip below .02.
I'll continue to only watch at this point. Best thing this stock could do is hold .02 and have an eod run for possible gap tomorrow morning. Good luck to those in or considering.
-------------------- siggy: 'the poorest way to help the poor is to be poor' / jmichael1974 (yahoo) Posts: 836 | From: Atlanta | Registered: Aug 2004
| IP: Logged |
-------------------- siggy: 'the poorest way to help the poor is to be poor' / jmichael1974 (yahoo) Posts: 836 | From: Atlanta | Registered: Aug 2004
| IP: Logged |
UBBFriend: Email this page to someone!
Printer-friendly view of this topic
![[Smile]](smile.gif)
