ARROW RESOURCES DEVELOPMENT INC

CIK:0000795255|SEC Filings

Unaudited Consolidated Statements of Operations (USD $)	3 Months Ended		9 Months Ended		94 Months Ended
Unaudited Consolidated Statements of Operations (USD $)	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013
Revenue	$ 0	$ 0	$ 0	$ 0	$ 52,000
Operating expenses:
Consulting fees and services, including $1,840,775, $1,652,861, $5,124,961, $4,509,431 and $36,650,684 incurred to related parties, respectively	1,840,775	1,652,861	5,124,961	4,509,431	38,312,064
General and administrative	13,800	12,834	38,908	43,585	1,476,545
Directors' compensation	37,500	35,625	123,750	118,125	1,428,928
Total operating expenses	1,892,075	1,701,320	5,287,619	4,671,141	41,217,537
Loss from operations	(1,892,075)	(1,701,320)	(5,287,619)	(4,671,141)	(41,165,537)
Other income (expense):
Income from spin-off	0		0	0	52,491
Income from forgiveness of debt	0	0	0	0	5,000
Gain on write off of liabilities associated with predecessor entity not to be paid	0	0	0	0	395,667
Increase in estimated for loss on legal judgment obtained by predecessor entity shareholder	(15,801)	(15,801)	(47,403)	(47,403)	(1,503,707)
Penalty for default of notes payable	(506,000)	(506,000)	(1,501,500)	(1,507,000)	(8,107,500)
Loss on write-off of marketing agreement	0	0	0	0	(125,000,000)
Loss on settlement of predecessor entity stockholder litigation	0	0	0	0	(2,000)
Loss on debt conversion	0	0	0	0	(2,532,500)
Expenses incurred as part of recapitalization transaction	0	0	0	0	(249,252)
Debt issue costs including interest expense, of which none, none, none none and $1,346,320 is to be satisfied in Company Common Stock and none, none, none, none and $32,000 incurred to related parties	(13,994)	(13,994)	(41,526)	(41,678)	(1,826,935)
Total Other income (expense)	(535,795)	(535,795)	(1,590,429)	(1,596,081)	(138,768,736)
Net loss	$ (2,427,870)	$ (2,237,115)	$ (6,878,048)	$ (6,267,222)	$ (179,934,273)
NET LOSS PER COMMON SHARE:
Basic and Diluted (in dollars per share)	$ 0.00	$ 0.00	$ (0.01)	$ (0.01)	$ (0.28)
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING - Basic and Diluted (in shares)	767,539,744	767,539,744	767,539,744	766,938,680	648,834,341

Unaudited Consolidated Statements of Cash Flows (USD $)	9 Months Ended		94 Months Ended
Unaudited Consolidated Statements of Cash Flows (USD $)	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013
Net loss	$ (6,878,048)	$ (6,267,222)	$ (179,934,273)
Adjustments to reconcile net loss to net cash used in operating activities:
Net non-cash change in stockholders equity due to recapitalization transaction	0	0	1,264,217
Loss on write-off of marketing and distribution agreement	0	0	125,000,000
Common stock issued for reset of previous subscription agreement	0	0	5,525
Common stock to be issued for reset of previous subscription agreement	0	0	44,400
Common stock issued for note payable interest	0	0	27,000
Common stock to be issued for note payable interest	0	0	10,000
Debt issue costs to be satisfied in Company common stock	0	0	1,256,320
Debt issue costs satisfied in Company common stock	0	0	80,000
Loss on common stock issued for debt conversion	0	0	3,054,500
Common stock issued for conversion due to related party	0	0	(39,000)
Debt issue costs paid in cash	0	0	50,000
Common stock issued for marketing services	0	0	122,500
Common stock to be issued for consulting services	0	0	246,007
Expense related to common stock issued for consulting services, in lieu of cash	0	0	585,000
Stock-based directors' compensation to be issued	11,250	5,625	266,291
Changes in operating asset and liabilities:
Increase in accounts and accrued expenses payable	2,749,434	2,780,636	21,203,597
Estimated liability for legal judgment obtained by predecessor entity shareholder	47,403	47,403	1,503,707
Net cash used in operating activities	(4,069,961)	(3,433,558)	(25,254,209)
Cash flows from investing activities:
Cash acquired as part of merger transaction	0	0	39,576
Advances to related party	0	0	(957,775)
Net cash used in investing activities	0	0	(918,199)
Cash flows from financing activities:
Proceeds of issuance of note payable	0	0	2,201,000
Proceeds of loans received from related parties	0	0	2,462,980
Repayment towards loan from related party	0	0	(179,425)
Cash proceeds from common stock subscription sale	0	0	30,000
Net increase in due to related parties attributed to operating expenses paid on the Company's behalf by the related party	4,069,961	3,433,496	19,375,853
Net increase in investments/capital contributed	0	0	2,232,000
Advances from senior advisor	0	0	50,000
Net cash provided by financing activities	4,069,961	3,433,496	26,172,408
Net change in cash	0	(62)	0
Cash balance at beginning of period	0	62	0
Cash balance at end of period	0	0	0
Supplemental disclosures of cash flow information:
Income taxes	0	0	0
Interest expense	0	0	0
Non-cash investing and financing activities:
Non-cash purchase of marketing and distribution agreement	0	0	125,000,000
Settlement of senior note payable through issuance of convertible preferred stock	0	0	125,000,000
Non-cash acquisition of accrued expenses in recapitalization	0	0	421,041
Non-cash acquisition of notes payable in recapitalization	$ 0	$ 0	$ 220,000

Consolidated Balance Sheets (USD $)	Sep. 30, 2013	Dec. 31, 2012
ASSETS
Cash	$ 0	$ 0
Total current assets	0	0
Total assets	0	0
LIABILITIES AND STOCKHOLDERS’ DEFICIT
Accounts and accrued expenses payable, including $12,576,791 and $11,339,291 due to Company shareholders and directors, respectively	21,573,991	18,866,084
Estimated liability for legal judgment obtained by predecessor entity shareholder	1,503,707	1,456,304
Due to related parties	22,332,983	18,263,020
Notes payable, including accrued interest of $283,880 and $256,349, respectively	2,656,854	2,615,329
Total liabilities	48,067,535	41,200,737
Commitments and contingencies	0	0
STOCKHOLDERS’ DEFICIT
Preferred stock, value	0	0
Common stock, $0.00001 par value, 1 billion shares authorized, 767,539,744 and 767,539,744 issued and outstanding, respectively	7,676	7,676
Common stock to be issued, $0.00001 par value, 36,117,184 and 35,554,684 shares to be issued, respectively	363	357
Additional paid-in capital	131,858,699	131,847,455
Accumulated deficit	(179,934,273)	(173,056,225)
Total stockholders’ (deficit)	(48,067,535)	(41,200,737)
Total liabilities and stockholders’(deficit)	0	0
Series A Preferred Stock [Member]
STOCKHOLDERS’ DEFICIT
Preferred stock, value	0	0
Series C Preferred Stock [Member]
STOCKHOLDERS’ DEFICIT
Preferred stock, value	$ 0	$ 0