ILUS 10-Q Quarterly Report July 31, 2012 | Alphaminr
Ilustrato Pictures International Inc.
ALPHAMINR

ILUS 10-Q Quarter ended July 31, 2012

Balance Sheet
Cash Flow
Income Statement
10-Q 1 sven_10q.htm FORM 10-Q sven_10q.htm
U.S. 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 July 31, 2012

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ____________ to ____________

Commission File No. 333-168136

SUPERIOR VENTURE CORPORATION
(Exact name of small business issuer as specified in its charter)
Nevada 27-2450645
(State or other jurisdiction of incorporation Or organization)
(I.R.S. Employer Identification No.)
1937 E. Mineral Avenue, Centennial, Colorado 80122
(Address of Principal Executive Offices)

(303) 513-8202
(Issuer’s telephone number)

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

Check whether the issuer (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter period that the issuer was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes x No o
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of “large accelerated filer,” “accelerated filer,” “non-accelerated filer,” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.
o Large accelerated filer o Accelerated filer
o Non-accelerated filer x Smaller reporting company
APPLICABLE ONLY TO CORPORATE ISSUERS:

State the number of shares outstanding of each of the issuer’s classes of common equity, as of September 14, 2012:   507,850,000 shares of common stock.*

* On September 11, 2012, the Company effected a 35 to 1 stock split, all share numbers in the Form 10Q have been adjusted to reflect the split.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act): Yes o No x
Transitional Small Business Disclosure Format (Check One) Yes o No x
PART I – FINANCIAL INFORMATION
Item 1.
Financial Statements
3
Item 2.
Management’s Discussion and Analysis of Financial Condition
4
Item 4.
Control and Procedures
5
PART II – OTHER INFORMATION
Item 1.
Legal Proceedings
6
Item 2.
Changes in Securities
6
Item 3.
Defaults Upon Senior Securities
6
Item 4.
Submission of Matters to a Vote of Security Holders
6
Item 5.
Other Information
6
Item 6.
Exhibits and Reports on Form 8-K
7
SIGNATURE 8
2
Item 1.  Financial Information
FINANCIAL STATEMENTS
SUPERIOR VENTURE CORPORATION
Financial Statements
Page
Financial Statements:
Balance Sheets, July, 31 2012 (unaudited) and April 30, 2012 (audited)
F-1
Statements of Operations, for the three month period ended July, 31, 2012 and 2011 (unaudited) and for the period April 27, 2010 (date of inception) through July 31, 2012 (unaudited)
F-2
Statement of Changes in Stockholders’ Equity (Deficit), for the period April 27, 2010 (date of inception) through July 31, 2012 (unaudited)
F-3
Statements of Cash Flows, for the three month period ended July 31, 2012 and 2011 (unaudited) and for the period April 27, 2010 (date of inception) through July 31, 2012 (unaudited)
F-4
Notes to Financial Statements (unaudited)
F-5

3
SUPERIOR VENTURE CORPORTION (A DEVELOPMENT STAGE COMPANY)
BALANCE SHEETS
July 31,
April 30,
2012
2012
ASSETS
(unaudited)
CURRENT ASSETS:
Cash and cash equivalents
$ 9,461 $ 10,267
Total Current Assets
9,461 10,267
TOTAL ASSETS
$ 9,461 $ 10,267
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
CURRENT LIABILITIES:
Accounts payable
$ 4,613 $ 3,113
Total Current Liabilities
4,613 3,113
STOCKHOLDERS' EQUITY (DEFICIT)
Preferred stock; $0.001 par value; 5,000,000 shares authorized; 0 shares issued and outstanding
- -
Common stock, $0.001 par value; 545,000,000 shares authorized; 507,850,000 shares issued and  outstanding
507,850 507,850
Capital in excess of par value
(452,750 ) (452,750 )
Accumulated deficit
(50,252 ) (47,946 )
4,848 7,154
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
$ 9,461 $ 10,267
* A stock split (35:1) authorized on September 11, 2012 was retroactively applied to all years presented.

See notes to unaudited financial statements

F-1
SUPERIOR VENTURE CORPORTION (A DEVELOPMENT STAGE COMPANY)
STATEMENTS OF OPERATIONS (uanaudited)
For the Three Months Ended July 31,
For the Period from April 27, 2010 (Date of Inception) through
2012
2011
July 31, 2012
REVENUE:
Sales
$ - $ - $ -
OPERATING EXPENSES
Selling, general and administrative expenses
2,306 7,013 50,252
TOTAL OPERATING EXPENSES
2,306 7,013 50,252
NET LOSS
$ (2,306 ) $ (7,013 ) $ (50,252 )
NET LOSS PER COMMON SHARE, BASIC AND DILUTED
$ (0.00 ) $ (0.00 )
WEIGHTED AVERAGE NUMBER OF COMMON  SHARES OUTSTANDING, BASIC AND DILUTED
507,850 397,554,360

See notes to unaudited financial statements

F-2
SUPERIOR VENTURE CORPORTION (A DEVELOPMENT STAGE COMPANY)
STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT)
Capital in
Total
Common Stock
Excess of
Stock
Accumulated
Stockholders'
Shares
Amount
Par Value
Subscription
Deficit
Equity (Deficit)
Balance, April 27, 2010 (date of inception)
- $ - $ - $ - $ - $ -
Shares issued
350,000,000 350,000 - (346,000 ) - 4,000
Net loss for the period April 27, 2010 (Date of Inception) through April 30, 2010
- - - - (100 ) (100 )
Balance, April 30, 2010
350,000,000 $ 350,000 $ - $ (346,000 ) $ (100 ) $ 3,900
Stock subscription
- - (340,000 ) 346,000 - 6,000
Net loss
- - - - (10,048 ) (10,048 )
Balance, April 30, 2011
350,000,000 350,000 (340,000 ) - (10,148 ) (148 )
Shares issued
157,850,000 157,850 (112,750 ) - - 45,100
Net loss
- - - - (37,798 ) (37,798 )
Balance, April 30, 2012
507,850,000 507,850 (452,750 ) - (47,946 ) 7,154
Net loss (unaudited)
- - - - (2,306 ) (2,306 )
Balance, July 31, 2012 (unaudited)
507,850,000 $ 507,850 $ (452,750 ) $ - $ (50,252 ) $ 4,848

* A stock split (35:1) authorized on September 11, 2012 was retroactively applied to all years presented.
See notes to unaudited financial statements

F-3
SUPERIOR VENTURE CORPORTION (A DEVELOPMENT STAGE COMPANY)
STATEMENTS OF CASH FLOWS (unaudited)
For the Three Months Ended July 31,
For the
Period from
April 27, 2010
(Date of Inception) through
2012
2011
July 31, 2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss
$ (2,306 ) $ (7,013 ) $ (50,252 )
Adjustments to reconcile net loss to net cash and cash equivalents
Increase (decrease) in:
Accounts payable and accrued expenses 1,500 (2,322 ) 4,613
Net cash used by operating activities
(806 ) (9,335 ) (45,639 )
CASH FLOWS FROM INVESTING ACTIVITIES:
Net cash used by investing activities
- - -
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of shares of stock
- 50,000 55,100
Net cash provided by financing activities
- 50,000 55,100
Net increase (decrease) in cash and cash equivalents
(806 ) 40,665 9,461
Cash and cash equivalents, beginning of period
10,267 2,224 -
Cash and cash equivalents, end of period
$ 9,461 $ 42,889 $ 9,461
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest
$ - $ - $ -

See notes to unaudited financial statements

F-4

Superior Venture Corporation
(A Development Stage Corporation)
Notes to Financial Statements

For the Three Months Ended July 31, 2012 and 2011 and
for the Period from April 27, 2010 (Date of Inception) through July 31, 2012

1.
Background Information

Superior Venture Corporation (the “Company”), is a Nevada Corporation, incorporated on April 27, 2010 (Date of Inception) with its corporate headquarters located in Colorado and its year-end is April 30. The Company has a principal business objective of producing and selling wine varietals. Producing wines that are both well balanced and possessing clearly projected aromas, combined with stylistic packaging; Superior Venture plans to position itself in the market place by branding our product and leaving the consumer with an eclectic impression. We plan to produce and promote an elevation of chic sophistication while maintaining selections that are innovative and progressive with a multiplicity in its flavors and sensations.

2.
Going Concern

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. For the three months ended July 31, 2012, the Company has had no operations and as of July 31, 2012, the Company has not emerged from the development stage. In view of these matters, the Company’s ability to continue as a going concern is dependent upon the Company’s ability to begin operations and to achieve a level of profitability. The Company intends on financing its future development activities and its working capital needs largely from the sale of public equity securities with some additional funding from other traditional financing sources, including term notes until such time that funds provided by operations are sufficient to fund working capital requirements. The financial statements of the Company do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts and classifications of liabilities that might be necessary should the Company be unable to continue as a going concern.

3.
Significant Accounting Policies

The significant accounting policies followed are:

FASB Codification - In June 2009, the FASB issued ASC 105, Generally Accepted Accounting Principles, effective for interim and annual reporting periods ending after September 15, 2009. This statement establishes the Codification as the source of authoritative accounting principles used in the preparation of financial statements in conformity with generally accepted accounting principles. The Codification does not replace or affect guidance issued by the SEC or its staff. As a result of the Codification, the references to authoritative accounting pronouncements included herein now refer to the Codification topic section rather than a specific accounting rule as was past practice.

Use of estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
F-5

Cash and cash equivalents - Cash and cash equivalents are maintained at financial institutions and, at times, balances may exceed federally insured limits. The Company has never experienced any losses related to these balances. All non-interest bearing cash balances were fully insured at July 31, 2012 and 2011 due to a temporary federal program in effect from December 31, 2010 through December 31, 2012. Under the program, there is no limit to the amount of insurance for eligible accounts. Beginning 2013, insurance coverage will revert to $250,000 per depositor at each financial institution, and the Company's non-interest bearing cash balances may again exceed federally insured limits.
Research and development expenses - Expenditures for research, development, and engineering of products are expensed as incurred.

Common stock - The Company records common stock issuances when all of the legal requirements for the issuance of such common stock have been satisfied.

Revenue and cost recognition – The Company has no current source of revenue; therefore the Company has not yet adopted any policy regarding the recognition of revenue or cost.

Advertising Costs - The Company’s policy regarding advertising is to expense advertising when incurred.

Income Taxes - Income taxes are provided for the tax effects of transactions reported in the financial statements and consist of taxes currently due plus deferred taxes resulting from temporary differences. Such temporary differences result from differences in the carrying value of assets and liabilities for tax and financial reporting purposes. The deferred tax assets and liabilities represent the future tax consequences of those differences, which will either be taxable or deductible when the assets and liabilities are recovered or settled. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized.
The Company adopted the provisions of FASB ASC 740-10 “ Uncertainty in Income Taxes ” (ASC 740-10), at inception. The Company has not recognized a liability as a result of the implementation of ASC 740-10. A reconciliation of the beginning and ending amount of unrecognized tax benefits has not been provided since there is no unrecognized benefit since the date of adoption. The Company has not recognized interest expense or penalties as a result of the implementation of ASC 740-10. If there were an unrecognized tax benefit, the Company would recognize interest accrued related to unrecognized tax benefits in interest expense and penalties in operating expenses.

Earnings (Loss) Per Share - Basic loss per share is computed by dividing net loss attributable to common stockholders by the weighted average common shares outstanding for the period. Diluted loss per share is computed giving effect to all potentially dilutive common shares. Potentially dilutive common shares may consist of incremental shares issuable upon the exercise of stock options and warrants and the conversion of notes payable to common stock. In periods in which a net loss has been incurred, all potentially dilutive common shares are considered anti-dilutive and thus are excluded from the calculation. At July 31, 2012, the Company did not have any potentially dilutive common shares.

F-6

Financial instruments – In September 2006, the Financial Accounting Standards Board (FASB) introduced a framework for measuring fair value and expanded required disclosure about fair value measurements of assets and liabilities. The Company adopted the standard for those financial assets and liabilities as of the beginning of the 2008 fiscal year and the impact of adoption was not significant. FASB Accounting Standards Codification (ASC) 820 “ Fair Value Measurements and Disclosures ” (ASC 820) defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes a fair value hierarchy that distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below:
●
Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities.
●
Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability (e.g., interest rates); and inputs that are derived principally from or corroborated by observable market data by correlation or other means.
●
Level 3 - Inputs that are both significant to the fair value measurement and unobservable.
Fair value estimates discussed herein are based upon certain market assumptions and pertinent information available to management as of July 31, 2012. The respective carrying value of certain on-balance-sheet financial instruments approximated their fair values due to the short-term nature of these instruments.

At inception, the Company applied ASC 820 for all non-financial assets and liabilities measured at fair value on a non-recurring basis. The adoption of ASC 820 for non-financial assets and liabilities did not have a significant impact on the Company’s financial statements.

Recent accounting pronouncements

Recent accounting pronouncements issued by FASB (including EITF), the AICPA and the SEC did not or are not believed by management to have a material impact on the Company’s present or future financial statements.
F-7

4.
Equity

The Company's Board of Directors has authorized 5,000,000 million shares of preferred stock with a par value of $0.001 to be issued in series with terms and conditions to be determined by the Board of Directors.

Effective March 15, 2012, the Company’s Board of Directors has increased the number of authorized shares of common stock to 545,000,000 million with a par value of $0.001.

On September 11, 2012, the Company effected a 35 to 1 stock split, all share numbers in the Form 10Q have been adjusted to reflect the split.
5.
Income Taxes

There is no current or deferred income tax expense or benefit for the period ended July 31, 2012.
F-8

Item 2. Management’s Discussion and Analysis of Financial Conditions and
Results of Operations

Plan of Operation

Superior Venture Corporation is a Nevada Corporation with a principal business objective of selling wine varietals. Superior Venture plans to offer two wine varietals and plans to add two more varieties within the next 24 months. The Company does not have any agreements and it has not had any discussions with specific growers and wineries. Therefore, a risk exists that we may not be able to find a grower or winery to produce our wines or we may not be able to negotiate sufficient terms in an agreement. The Company has identified a winery that we hope to work with to hand-craft our wines in the following manner. First, we choose the varietal, and the fruit the vineyard came from. Second, we work with the winery on creating our proprietary blend. Our proprietary blend will consist of 75% of select varietal and the remaining 25% can be selected from barrel inventory. Initially we plan to offer two varietal such as a Chardonnay and a Merlot. We chose these as our initial wines because the vast majority of all wines sold in the United States are table wines. Chardonnay is the worlds most popular white wine grape, with over 300,000 acres planted, 100,000 in California alone (source: DrinkWine.com http://www.drinkwine.com/wine_guide/varietals/chardonnay.html). We chose a Merlot as our second wine because its softness on the pallet has made it an introducing wine for new red-wine drinkers. Once the exact varietal has been determined, the wines are bottled, corked and labeled to our specifications.

Marketing wines that are both well balanced and possessing clearly projected aromas, combined with stylistic packaging; Superior Venture plans to position itself in the market place by branding our product and leaving the consumer with an eclectic impression. We hope to promote an elevation of chic sophistication while maintaining selections that are innovative and progressive with a multiplicity in its flavors and sensations. The Company hopes to initially sell our products in the greater Denver and surrounding areas. These efforts will initially will be the responsibility of the president where he hopes to distribute the products through associations, word-of-mouth, developed business relationships and small local distributors. The word-of-mouth effort consists of networking at trade shows, joining related associations, attending industry related meetings and gatherings, and attending and networking at wine tasting parties and events. Marketing to developed business relationships includes relying on Mr. Moore’s years in the food and beverage industry and the business relationships he has procured. These relationships include past and present employees, managers, and relationships with vendors and distributors spanning his years as a manager and Sommelier. Small local distribution efforts include contacting local independent and small specialty shops. Cold calling in addition to a direct mailing marketing effort is a method planned to gain market presence and hopefully placement of our products for retail distribution. Efforts will continue in hopes of establishing relationships with large distributors and large retailers.

The target audience of Superior Venture consists of a broad base, which encompasses almost all wine drinkers as a whole. The Company will not discriminate on style or varietals while we plan to appeal to the palates of all consumers in the 21 to 65 year age bracket.

Results of Operation

The Company did not have any operating income from inception (April 27, 2010) through July 31, 2012. For the period from inception, April 27, 2010 through the quarter ended July 31, 2012, the registrant recognized a net loss of $50,252. Some general and administrative expenses during the year were accrued. Expenses for the year were comprised of costs mainly associated with legal, accounting and office.
4

Liquidity and Capital Resource

At July 31, 2012 the Company had no capital resources and will rely upon the issuance of common stock and additional capital contributions from shareholders to fund administrative expenses pending full implementation of the Company’s business model.

Critical Accounting Policies

Superior Venture Corporation financial statements and related public financial information are based on the application of accounting principles generally accepted in the United States (“GAAP”). GAAP requires the use of estimates; assumptions, judgments and subjective interpretations of accounting principles that have an impact on the assets, liabilities, revenue and expense amounts reported. These estimates can also affect supplemental information contained in our external disclosures including information regarding contingencies, risk and financial condition.  We believe our use if estimates and underlying accounting assumptions adhere to GAAP and are consistently and conservatively applied. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results may differ materially from these estimates under different assumptions or conditions. We continue to monitor significant estimates made during the preparation of our financial statements.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

We maintain disclosure controls and procedures (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that are designed to ensure that information required to be disclosed in the reports we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our chief executive officer and chief financial officer, as appropriate to allow timely decisions regarding disclosure.  In designing and evaluating the disclosure controls and procedures, management recognized that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and management necessarily was required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures.

Our management, with the participation of our chief executive officer and chief financial officer, has evaluated the effectiveness of our disclosure controls and procedures as of July 31, 2012.  Based on their evaluation, our chief executive officer and chief financial officer have concluded that, as of July 31, 2012, our disclosure controls and procedures were not effective.
5

PART II - OTHER INFORMATION

Item 1. Legal Proceedings

None

Item 1A. Risk Factors.

There have been no changes to the risk factors of the registrant from those listed in the registrants 10K for the period ended April 30, 2012 filed August 15, 2012.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

None

Item 3. Defaults Upon Senior Securities.

None

Item 4. Mine Safety Disclosures.

None.

Item 5. Other Information.

On September 11, 2012, the Company effected a 35 to 1 stock split, all share numbers in the Form 10Q have been adjusted to reflect the split.
6

Item 6.  Exhibits and Reports on Form 8-K

(a) Exhibits
31.1 Certification pursuant to Section 302 of Sarbanes Oxley Act of  2002
32.1
Certification pursuant to Section 906 of Sarbanes Oxley Act of 2002
(b)
Reports on Form 8-K
No reports on Form 8-K were filed during the quarter ended July 31, 2012.
101.INS **
XBRL Instance Document
101.SCH **
XBRL Taxonomy Extension Schema Document
101.CAL **
XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF **
XBRL Taxonomy Extension Definition Linkbase Document
101.LAB **
XBRL Taxonomy Extension Label Linkbase Document
101.PRE **
XBRL Taxonomy Extension Presentation Linkbase Document

** XBRL (Extensible Business Reporting Language) information is furnished and not filed or a part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise is not subject to liability under these sections.
7
SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
SUPERIOR VENTURE CORPORTION
Date: September 19, 2012
By:
/s/ Michael Moore
Michael Moore
President, Chief Executive Officer,
Secretary, Chief Financial Officer,
Director
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