Message #1 From:
Stock News Bot Date: August 18, 2006 06:00:00 AM
GNLM News General Metals Corporation Releases Financial Results
RENO, Nev.--(BUSINESS WIRE)--Aug. 18, 2006--General Metals Corporation (OTCBB:GNLM) (the "Company") announces that it has filed its annual report on Form 10-KSB for the year ended April 30, 2006. The financial statements give effect to the Company's acquisition of General Gold Corporation in January, 2006. Further, in conjunction with the acquisition the Company had negotiated to reduce or eliminate certain accounts payable. Shareholder loans in the amount of $91,174 and accrued attorney fees in the amount of $110,784 were forgiven. The Company determined that $24,606 in stale payables with no collection activity for over six years could be legally written off. Following is a list of accounts payable that have been written off and a gain on forgiveness of debt has been recorded:
Accounts Payable:
Shareholder Loans $ 91,175
Attorney Fees -- Related Party 110,784
Stale Payables 24,606
---------
Total Debt Forgiven $ 226,565
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Our consolidated balance sheet for the year ended April 30, 2006,
is as follows:
General Metals Corporation -- Successor to General Gold Corporation
(An Exploration Stage Company)
Consolidated Balance Sheets
April 30, April 30,
2006 2005
--------- ---------
ASSETS
Current Assets
Cash and Cash Equivalents $ 114,212 $ 202,322
Notes Receivable -- Related Party - 2,326
--------- ---------
Total Current Assets 114,212 204,648
--------- ---------
Fixed Assets
Mineral Property 55,000 -
Property and Equipment, net 6,065 -
--------- ---------
Total Fixed Assets 61,065 -
--------- ---------
Total Assets $ 175,277 $ 204,648
--------- ---------
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts Payable $ 14,270 $ 37,868
Accrued Liabilities 15,702 19,454
Notes Payable -- Related Party 2,071 1,200
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Total Liabilities 32,043 58,522
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Stockholders' Equity
Preferred Stock, authorized 50,000,000
shares, par value $0.001, zero issued and
outstanding - -
Common Stock, authorized 200,000,000 shares, par
value $0.001, issued and outstanding on April
30, 2006 and 2005, is 64,437,426 and 28,504,000,
respectively 64,437 28,504
Additional Paid-in Capital 705,664 453,373
Subscriptions Receivable - (127,500)
Accumulated Deficit during Exploration Stage (626,867) (208,251)
--------- ---------
Total Stockholders' Equity 143,234 146,126
--------- ---------
Total Liabilities and Stockholders' Equity $ 175,277 $ 204,648
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The Company would like to clarify that the going concern disclaimer qualifier in its Form 10-KSB is a standard disclosure for exploration stage resource companies such as the Company and, if read without the financial statements and related disclosure, is not necessarily indicative of the Company's financial position and future prospects. The Company feels that if read in connection with the Company's financial statements, the reader can obtain a more accurate picture of the Company's current financial condition and future prospects.
For a full copy of the Company's Annual Report on Form 10-KSB, please visit the Company's website at www.generalmetalscorporation.com and click on the "Investor Information" tab.
