UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

X	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
	ACT OF 1934
For the quarterly period ended: June 30, 2014
For the quarterly period ended: September 30, 2014
Or
	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
	ACT OF 1934
For the transition period from: _____________ to _____________

Mobile Area Networks, Inc.

(Exact name of registrant as specified in its charter)

Florida	333-18439	59-3482752]
(State or Other Jurisdiction	(Commission	(I.R.S. Employer
of Incorporation)	File Number)	Identification No.)

2772 Depot Street, Sanford, Florida 32773

(Address of Principal Executive Office) (Zip Code)

407-333-2350

(Registrant’s telephone number, including area code)

N/A

(Former name, former address and former fiscal year, if changed since last report)

———————

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.		X	Yes		No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this
chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and
post such files).		X

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer., or a smaller reporting company.

Large accelerated filer	Accelerated filer
Non-accelerated filer	Smaller reporting company			X

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).			Yes	X	No


As of September 30, 2014, 49,060,788 shares of voting common stock were outstanding

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of theSecurities 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.		X	Yes		No
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this
chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and
post such files).		X
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer., or a smaller reporting company.
Large accelerated filer	Accelerated filer
Non-accelerated filer	Smaller reporting company			X
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).			Yes	X	No
As of June 30, 2014, 49,060,788 shares of voting common stock were outstanding

Mobile Area Networks, Inc.

Index

		Page
PART I – FINANCIAL INFORMATION
Item 1.	Financial Statements.	13
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations.	7
Item 3.	Quantitative and Qualitative Disclosures about Market Risk .	89
Item 4.	Controls and Procedures	89
PART II-OTHER INFORMATION
Item 1.	Legal Proceedings.	810
Item 1A	Risk Factors.	810
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds.	810
Item 3.	Defaults Upon Senior Securities.	810
Item 4.	Submission of Matters to a Vote of Securities Holders.	910
Item 5.	Other Information.	910
Item 6.	Exhibits	910
SIGNATURE		911

Item 1. Financial Statements

MOBILE AREA NETWORKS, INC.

(A Florida Corporation)

Sanford, Florida

Balance Sheets

	December 31,			June 30
	2013			2014
	(Unaudited)			(Unaudited)
Assets
Current assets:
Cash and Cash Equivalents	$	—		$	—
Accounts Receivable-Net of Allowance for Doubtful Accounts		1,000			2,500
Inventory		—			—
Total current assets		1,000			—
Property and Equipment-Net of Accumulated Depreciation		—			—
Other Assets:
Security Deposits and Other Assets		—			—
Total Assets	$	1,000		$	2,500
Liabilities and Stockholders' Deficit
Current liabilities:
Bank Overdraft	$	28,880		$	28,880
Notes and Capital Leases Payable-Due Within One Year		105,244			—
Acounts Payable		98,539			98,539
Accrued Expenses		16,580			16,580
Total current liabilities		249,243			143,999
Other Liabilities:
Notes and Capital Leases Payable-Due After One Year		—			—
Accrued Salaries-Related Party		1,668,048			1,728,048
Advances from Stockholders		367,011			367,011
Total Liabilities		2,284,302			2,239,058
Stockholders’ Deficit
Common stock, no par value, authorized 50,000,000 shares, issued and outstanding 49,060,788 shares		4,656,636			4,656,636
Paid-In Capital		56,840			56,840
Accumulated Deficit		(6,996,778	)		(6,950,034	)
Total Stockholders’ Deficit		(2,283,302	)		(2,236,558	)
Total Liabilities and Stockholders’ Deficit	$	1,000		$	2,500

Assets

	December 31,			September 30,
	2013			2014
	(Unaudited)			(Unaudited)
Current assets:
Cash and Cash Equivalents	$	—		$	—
Accounts Receivable-Net of Allowance for Doubtful Accounts		1,000			3,500
Inventory		—			—
Total current assets		1,000			—

Property and Equipment-Net of Accumulated Depreciation		—			—

Other Assets:
Security Deposits and Other Assets		—			—
Total Assets	$	1,000		$	3,500
Liabilities and Stockholders' Deficit
Current liabilities:
Bank Overdraft	$	28,880		$	28,880
Notes and Capital Leases Payable-Due Within One Year		105,244			—
Acounts Payable		98,539			99,281
Accrued Expenses		16,580			16,580
Total current liabilities		249,243			144,741

Other Liabilities:
Notes and Capital Leases Payable-Due After One Year		—			—
Accrued Salaries-Related Party		1,668,048			1,758,048
Advances from Stockholders		367,011			367,011
Total Liabilities		2,284,302			2,269,800

Stockholders’ Deficit
Common stock, no par value, authorized 50,000,000 shares, issued and outstanding 49,060,788 shares		4,656,636			4,656,636
Paid-In Capital		56,840			56,840
Accumulated Deficit		(6,996,778	)		(6,979,776	)
Total Stockholders’ Deficit		(2,283,302	)		(2,266,300	)
Total Liabilities and Stockholders’ Deficit	$	1,000		$	3,500

See accompanying notes to financial statements.

MOBILE AREA NETWORKS, INC.

(A Florida Corporation)

Sanford, Florida

Statements of Operations

Three and ~~Six~~Nine months ended ~~June~~September 30, 2014 and 2013

(Unaudited)

	Three months Ended June 30, 2014			Three months Ended June 30, 2013			Six months Ended June 30, 2014			Six months Ended June 30, 2013
	Three months Ended September 30, 2014			Three months Ended September 30, 2013			Nine months Ended September 30, 2014			Nine months Ended September 30, 2013
Sales-Net of Returns and Allowances	$	1,000		$	—		$	12,500		$	—
Cost of Goods Sold		—			—			—			—
Gross Profit (Loss)		1,000			—			12,500			—
Operating expenses
Depreciation		—			—			—			—
Bad Debt Expense		—			—			—			—
Interest and Finance Charges		—			1,~~188~~202			1,231			12,~~723~~925
Outside Services		—			—			—			—
Administrative Payroll and Taxes		30,000			30,000			6090,000			6090,000
Professional Services		—			—			—			850
Other Operating Expenses		—742			45970			—742			901,060
Total Operating Expenses		30,~~000~~742			3132,~~233~~172			6191,~~231~~973			6294,~~663~~835
Net Loss Before Other Income and Provision for Taxes		(29,~~000~~742	)		(3132,~~233~~172	)		(5989,~~731~~473	)		(6294,~~663~~835	)
Other Income
Stale-dated debt written-off		~~106,475~~—			—			106,475			—
Net Income (Loss) Before Provision for Taxes		77(29,~~475~~742	)		(3132,~~233~~172	)		4617,~~744~~002			(6294,~~663~~835	)
Provision for Taxes		—			—			—			—
Net Income (Loss) for the Period	$	77(29,~~475)~~742	)	$	(3132,~~233~~172	)	$	4617,~~744~~002		$	(6294,~~663~~835	)
Weighted Average Number of Common Shares
Outstanding-Basic and Diluted		49,060,788			49,060,788			49,060,788			49,060,788
Net loss per share-Basic and Diluted	$	(0.00	)	$	(0.00	)	$	0.00		$	(0.00	)

The accompanying notes are an integral part of these financial statements.

MOBILE AREA NETWORKS, INC.

(A Florida Corporation)

Sanford, Florida

Statements of Cash Flows

~~Six~~Nine months ended ~~June~~September 30, 2014 and 2013

(Unaudited)

	Six Months			Six Months
	Nine Months			Nine Months
	Ended			Ended
	June 30,			June 30,
	September 30,			September 30,
	2014			2013
Cash flows from operating activities
Net income (loss) for the Period	$	4617,~~744~~002		$	(6294,~~663~~835	)
Adjustments to Reconcile Net Loss to Net Cash Flows from Operating Activities:
Depreciation		—			—
Bad Debt Expense		—			—
Changes in Assets and Liabilities:
Accounts Receivable		(12,500	)		—
Inventory		—			—
Other Assets		—			—
Accounts Payable		—742			850
Accrued Expenses		—			—
Accrued Salaries-Related Party		6090,000			6090,000
Net Cash Flows from Operating Activities		105,244			(13,~~813~~985	)
Cash Flows from Investing Activities
Acquisition of Property and Equipment		—			—
Cash Flows from Financing Activities
Advances (Repayments) from Stockholders		—			—970
Proceeds from Issuance of Common Stock		—			—
Increases (Repayment) of Notes and Capital Leases Payable		(105,244	)		12,~~723~~925
Net Cash Flows from Financing Activities		(105,244	)		13,~~723~~895
Net Change in Cash and Cash Equivalents		—			(90	)
Cash and Cash Equivalents (Bank Overdraft)-Beginning of Period		(28,880	)		(28,~~791~~790	)
Cash and Cash Equivalents (Bank Overdraft)-End of Period	$	(28,880	)	$	(28,~~881~~880	)
Supplemental disclosure of cash flow information
Cash paid for:
Taxes	$	—		$	—
Interest	$	—		$	—

See accompanying notes to financial statements.

MOBILE AREA NETWORKS, INC.

(A Florida Corporation)

Sanford, Florida

Notes to Financial Statements

Note A - Basis of Presentation

The condensed financial statements of Mobile Area Networks, Inc. (the ”Company”) included herein have been prepared by the Company, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements prepared in conjunction with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading. These condensed financial statements should be read in conjunction with the annual audited financial statements and the notes thereto included in the Company’s annual report on Form 10-K.

The accompanying unaudited interim financial statements reflect all adjustments of a normal and recurring nature which are, in the opinion of management, necessary to present fairly the financial position, results of operations and cash flows of the Company for the interim periods presented. The results of operations for these periods are not necessarily comparable to, or indicative of, results of any other interim period or for the fiscal year taken as a whole.

Reclassifications

Certain amounts in the prior year financial statements have been reclassified to conform with the current year presentation.

Note B - Going Concern

The Company’s financial statements have been presented on the basis that it is a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company has reported net income of $4617,~~744~~002 and a net loss of $(6294,~~663~~835) for the ~~six~~nine months ended ~~June~~September 30, 2014 and 2013, respectively. There is an accumulated deficit of $(6,~~950~~979,~~034~~776) at ~~June~~September 30, 2014. The primary causes of the operating losses for 2014 and earlier years are attributable to decreases in orders from several key customers, competition and soft economic conditions.

The Company’s continued existence is dependent upon its ability to raise capital and/or achieving profitable operations. The Company is in the process of re-evaluating its strategic direction and is actively exploring merger opportunities. ~~The~~In ~~Company, in the~~ winding down of internal manufacturing ~~vacated~~activity the ~~plant,~~Company ~~disposed~~sold ~~of the plant~~ equipment and terminated ~~manufacturing~~ employees. The financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern.

Note C - Financial Review

These financial statements have not been reviewed by the Company’s independent accounting firm.

Item 2.

MANAGEMENT’S DISCUSSION AND

ANALYSIS OF FINANCIAL CONDITION AND

RESULTS OF OPERATIONS

Liquidity and Capital Resources

Working Capital amounted to $(141,~~499~~241) at ~~June~~September 30, 2014 compared to $(248,243) at December 31, 2013. Cash amounted to a Bank Overdraft of $28,880 as of ~~June~~September 30, 2014 and December 31, 2013, respectively. As more fully described under the Company’s statements of cash flows in the accompanying financial statements, net cash from or (used in) operating activities for the ~~six~~nine months ended ~~June~~September 30, 2014 and 2013 was $105,244 and $(13,~~813~~985), respectfully. For the ~~six~~nine months ended ~~June~~September 30, 2014 and 2013, cash was not provided from any sources.

As indicated herein, the Company’s short term liquidity needs have been historically satisfied primarily from the continuing sale of the Company stock and advances from stockholders.

Results of Operations

Sales increased during the current period ~~second~~third quarter and ~~six~~nine months as compared with the year earlier period. For the three months ended ~~June~~September 30, 2014 sales were $1,000 and for the three months ended ~~June~~September 30, 2013, sales were $-0-. For the ~~six~~nine months ended ~~June~~September 30, ~~2013~~2014, sales were $12,500 and for the ~~six~~nine months ended ~~June~~September 30, 2013, sales were $-0-. The increases for both the three month and ~~six~~nine month periods relate to the sale of certain gun shoulder recoil pads available from inventory which had previously been written-off as valueless.

Cost of Goods Sold was unchanged at $-0- for the three and ~~six~~nine months ending ~~June~~September 30, 2014 and ~~June~~September 30, 2013, respectively.

Total Operating Expenses decreased to $30,~~000~~742 for the three months ended ~~June~~September 30, 2014 from $3132,~~233~~172 for the three months ended ~~June~~September 30, 2013. For the ~~six~~nine months ending ~~June~~September 30, 2014, operating expenses decreased to $6191,~~231~~973 from $6294,~~663~~835 for the ~~six~~nine months ending ~~June~~September 30, 2013.

Interest and Finance Charges decreased to $-0- for the three months ended ~~June~~September 30, 2014 from $1,~~188~~202 for the three months ended ~~June~~September 30, 2013. Interest and Finance Charges decreased to $1,231 for the ~~six~~nine months ended ~~June~~September 30, 2014 from $12,~~723~~925 for the ~~six~~nine months ended ~~June~~September 30, 2013. The current period interest expense and finance charges are less due to management’s decision to no longer recognize two disputed long-term ~~disputed~~ debt obligations. After considerable passage of time without any communication with the creditors, the disputed items were written off to Other Income as of June 30, 2014.

Administrative Payroll and Payroll Tax expense remained unchanged at $30,000 for the three months ending June 30, 2014 and June 30, 2013, respectively. Administrative Payroll and Payroll Tax expense remained unchanged at $60,000 for the six months ending June 30, 2014 and June 30, 2013, respectively.

Professional Services expense was $-0- for the three months ending June 30, 2014 and June 30, 2013, respectively. Professional Services expense decreased to $-0- for the six months ended June 30, 2014 from $850 for the six months ended June 30, 2013. The expense was for legal fees.

Other Operating Expenses were $-0- for the three months ended June 30, 2014 and $45 for the three months ended June 30, 2013. Other Operating Expenses were $-0- for the six months ended June 30, 2014 and $90 for the six months ended June 30, 2013. The decreases for the three and six month periods reflect decreased spending following the winding down of internal manufacturing.

Other Income for the three months ending June 30, 2014 was $106,475. Other Income for the three months ending June 30, 2013 was $-0-. For the six months ending June 30, 2014, Other Income was $106,475. For the six months ending June 30, 2013, Other Income was $-0-. The amount recognized in the current period was for the write-off of stale-dated disputed debt obligations.

~~The~~Administrative ~~Net~~Payroll ~~Income~~and ~~(Loss)~~Payroll ~~for~~Tax ~~the~~expense ~~Period~~remained ~~was~~unchanged ~~$77,475~~at ~~for the three months ended June 30, 2014 an increase from the~~ $~~(31,233) Net Income (Loss) for The Period reported for the three months ended June~~ 30,000 ~~2013. The Net Income (Loss)~~ for the Period was $46,744 for the six months ended June 30, 2014, an increase from the $(62,663) Net Income (Loss) for the Period for the six months ended June 30, 2013. The Net Income (Loss) Per Share was $.00 for the three months ending ~~June~~September 30, 2014 and ~~June~~September 30, 2013, respectively. ~~The~~Administrative ~~Net~~Payroll ~~Income~~and ~~(Loss)~~Payroll ~~Per~~Tax ~~Share~~expense ~~was~~remained unchanged at $~~.00~~90,000 for the ~~six~~nine months ending ~~June~~September 30, 2014 and ~~June~~September 30, 2013, respectively.

Professional Services expense was $-0- for the three months ending September 30, 2014 and September 30, 2013, respectively. Professional Services expense decreased to $-0- for the nine months ended September 30, 2014 from $850 for the nine months ended September 30, 2013. The expense was for legal fees.

Other Operating Expenses were $742 for the three months ended September 30, 2014 and $970 for the three months ended September 30, 2013. Other Operating Expenses were $742 for the nine months ended September 30, 2014 and $1,060 for the nine months ended September 30, 2013. The decreases for the three and nine month periods reflect decreased spending following the scaling down of internal manufacturing activity.

Other Income for the three months ending September 30, 2014 and September 30, 2013 was $-0-, respectively. For the nine months ending September 30, 2014, Other Income was $106,475. For the nine months ending September 30, 2013, Other Income was $-0-. The amount recognized in the current period was for the write-off of stale-dated disputed debt obligations.

The Net Income (Loss) for the Period was $(29,742) for the three months ended September 30, 2014 a decrease from the $(32,172) Net Income (Loss) for The Period reported for the three months ended September 30, 2013. The Net Income (Loss) for the Period was $17,002 for the nine months ended September 30, 2014, an increase from the $(94,835) Net Income (Loss) for the Period for the nine months ended September 30, 2013.

The Net Income (Loss) Per Share was $.00 for the three months ending September 30, 2014 and September 30, 2013, respectively. The Net Income (Loss) Per Share was $.00 for the nine months ending September 30, 2014 and September 30, 2013, respectively.

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

Not required by smaller reporting companies.

Item 4. Controls and Procedures

Disclosure Controls and Procedures

We have adopted and maintain disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) that are designed to ensure that information required to be disclosed in our reports under the Exchange Act, is recorded, processed, summarized and reported within the time periods required under the SEC’s rules and forms and that the information is gathered and communicated to our management, including our Chief Executive Officer (Principal Executive Officer) and Chief Financial Officer (Principal Financial Officer), as appropriate, to allow for timely decisions regarding financial disclosure.

As required by SEC Rule 15d-15(e), we carried out an evaluation under the supervision and with the participation of our management, including the Chief Executive Officer/Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures pursuant to Exchange Act Rule 15d-14 as of the end of the period covered by this report. Based on the foregoing evaluation, our Chief Executive Officer/Chief Financial Officer have concluded that our disclosure controls and procedures are not effective.

There have been no changes in the Company’s internal control over financial reporting during the most recently completed fiscal quarter that have materially affected or are reasonably likely to materially affect the Company’s internal control over financial reporting.

PART II – OTHER INFORMATION

Item 1.

Legal Proceedings.

None

Item 1A.

Risk Factors.

Not required by smaller reporting companies.

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds.

None

Item 3.

Defaults Upon Senior Securities.

None

Item 4.

Submission of Matters to a Vote of Security Holders.

None

Item 5.

Other Information.

Forward-Looking Statements

The Quarterly Report on Form 10-Q contains certain statements of a forward-looking nature relating to future events or the future financial performance of the Company. Such statements are only predictions and the actual events or results may differ materially from the results discussed in the forward-looking statements. Factors that could cause or contribute to such differences include those discussed below as well as those discussed in other filings made by the Company with the Securities and Exchange Commission, including the Company’s Annual Report included in its annual filing on Form 10-K.

Item 6.

Exhibits.

31.1	Certification Pursuant to Item 601(b)(31) of Regulation S-K, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2	Certification Pursuant to Item 601(b)(31) of Regulation S-K, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32	Certification Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished pursuant to Item 601(b)(32) of Regulation S-K).

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Date: October 17, 2014	Mobile Area Networks, Inc.
Date: October 22, 2014	Mobile Area Networks, Inc.
	By:	/s/ George Wimbish
		George Wimbish
		Director, Chairman and President

911

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