EALA INC.

SALES FORECAST (YEAR

YEAR Year 1 Year 2 Year 3
Production Volume 5,749 5,857 5,966
Estimated Percentage of items sold (at regular price) 95% 95% 95%
Sold units (at regular price) 5,462 5,564 5,668
Average Selling Price 800 816 832
Revenue From regular Sales 4,369,316.00 4,539,976.69 4,717,303.21
Unsold Items from Previous year 0 0 0
Units Available for Discount Sale (50% discount) 287 293 298
Percentage sold (at discount price) 100% 100% 100%
Sold units (at discount price) 287 293 298
Selling Price (at discount) 400 408 416
Revenue From Discounted Sales 114,982 119,473 124,140
Total Sales (in units) 5,749 5,857 5,966
Total Sales (in peso) 4,484,298.00 4,659,449.77 4,841,442.77
 EALA INC.
S FORECAST (YEAR 1-10)
Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10
6,077 6,191 6,307 6,425 6,545 6,667 6,791
95% 95% 95% 95% 95% 95% 95%
5,774 5,881 5,991 6,103 6,217 6,333 6,452
849 866 883 901 919 937 956
4,901,555.90 5,093,005.30 5,291,932.51 5,498,629.59 5,713,400.04 5,936,559.18 6,168,434.68
0 0 0 0 0 0 0
304 310 315 321 327 333 340
100% 100% 100% 100% 100% 100% 100%
304 310 315 321 327 333 340
424 433 442 450 459 469 478
128,988 134,026 139,261 144,701 150,353 156,225 162,327
6,077 6,191 6,307 6,425 6,545 6,667 6,791
5,030,544.21 5,227,031.76 5,431,193.89 5,643,330.37 5,863,752.67 6,092,784.42 6,330,761.90
 EALA INC
Pro-forma Income Statement
For the period from Year 1 to Year 10
Year 1 Year 2 Year 3

Gross Sales Revenue 4,484,298.00 4,659,449.77 4,841,442.77

21,018.21 21,839.16
VAT Output Tax (12%) 538,115.76 559,133.97 580,973.13

Net Sales Revenue 4,484,298.00 4,659,449.77 4,841,442.77

Cost of Sales 34,494.60 35,841.92 37,241.87

Gross Income 4,449,803.40 4,623,607.84 4,804,200.90

Less: Operating Expenses

Advertising Expense 110,500.00 30,000.00 30,000.00
Washing Expenses 180,000.00 180,000.00 180,000.00
Depreciation Expense 102,293.90 102,293.90 102,293.90
Repairs & Maintainance - 35,000.00 35,000.00
Rent Expense 150,000.00 161,250.00 173,343.75

Salaries and Wages 2,760,000.00 2,760,000.00 2,842,800.00

SSS Contribution 90,985.20 90,985.20 91,348.80
Phil Health/Medicare 19,950.00 19,950.00 19,950.00
Employee Benefits ( 13th Month Pay) 230,000.00 140,000.00 236,900.00
Utilities Expense (electricity, water, gasoline, telephone) 187,080.00 190,821.60 194,638.03

Supplies Expense 16,911.90 14,546.90 14,546.90

Miscellaneous Expense ( Business Permit,etc) 7,472.00 7,472.00 7,472.00

Insurance Expense 22,500.00 22,500.00 22,500.00
Total Operating Expenses 3,877,693.00 3,754,819.60 3,950,793.38

Operating Income 572,110.40 868,788.24 853,407.52

Less: Interest Expense (16%) 27,855.10 27,855.10

Earnings before Tax 544,255.30 840,933.14 853,407.52

Less: Income Tax (32%) 174,161.70 269,098.61 273,090.41
94,936.91 3,991.80
Net Income 370,093.60 571,834.54 580,317.11
 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

5,030,544.21 5,227,031.76 5,431,193.89 5,643,330.37 5,863,752.67 6,092,784.42 6,330,761.90

22,692.17 23,578.51 24,499.46 25,456.38 26,450.68 27,483.81 28,557.30
603,665.31 627,243.81 651,743.27 677,199.64 703,650.32 731,134.13 759,691.43

5,030,544.21 5,227,031.76 5,431,193.89 5,643,330.37 5,863,752.67 6,092,784.42 6,330,761.90

38,696.49 40,207.94 81,084.05 82,581.28 84,141.99 85,696.71 87,315.28

4,991,847.72 5,186,823.82 5,350,109.84 5,560,749.09 5,779,610.68 6,007,087.71 6,243,446.62

110,500.00 30,000.00 100,500.00 30,000.00 30,000.00 30,000.00 30,000.00

180,000.00 180,000.00 180,000.00 180,000.00 180,000.00 180,000.00 180,000.00
102,293.90 102,293.90 102,993.90 102,993.90 102,993.90 102,993.90 102,993.90
35,000.00 35,000.00 35,000.00 35,000.00 35,000.00 35,000.00 35,000.00
186,344.53 200,320.37 215,344.40 231,495.23 248,857.37 267,521.67 287,585.80

2,842,800.00 2,928,084.00 2,928,084.00 3,015,926.52 3,015,926.52 3,106,404.32 3,106,404.32

91,348.80 93,530.40 93,630.40 93,895.20 99,475.20 95,080.40 102,024.00
19,950.00 19,950.00 19,950.00 20,550.00 20,550.00 20,700.00 20,700.00
144,200.00 244,007.00 244,007.00 251,327.21 251,327.21 258,867.03 258,867.03
198,530.79 202,501.41 206,551.44 210,682.47 214,896.11 219,194.04 223,577.92

14,546.90 14,546.90 14,546.90 14,546.90 14,546.90 14,546.90 14,546.90

7,472.00 7,472.00 7,472.00 7,472.00 7,472.00 7,472.00 7,472.00

22,500.00 22,500.00 22,500.00 22,500.00 22,500.00 22,500.00 22,500.00
3,955,486.92 4,080,205.98 4,170,580.04 4,216,389.42 4,243,545.22 4,360,280.26 4,391,671.86

1,036,360.80 1,106,617.84 1,179,529.81 1,344,359.67 1,536,065.47 1,646,807.46 1,851,774.76

- - - -

1,036,360.80 1,106,617.84 1,179,529.81 1,344,359.67 1,536,065.47 1,646,807.46 1,851,774.76

331,635.45 354,117.71 377,449.54 430,195.09 491,540.95 526,978.39 592,567.92
58,545.05 22,482.25 23,331.83 52,745.56 61,345.85 35,437.44 65,589.54
704,725.34 752,500.13 802,080.27 914,164.58 1,044,524.52 1,119,829.07 1,259,206.83
 EALA INC.
Pro-forma Statement of Retained Earnin
For the period from Year 1 to Year 10
Year 1 Year 2 Year 3 Year 4

Retained Earnings - Beginning - 370,093.60 941,928.14 1,522,245.25

Less:
Net Income for the Year 370,093.60 571,834.54 580,317.11 704,725.34
Dividends Declared During the Year - - - -

Retained Earnings - Ending 370,093.60 941,928.14 1,522,245.25 2,226,970.59

EALA INC.
tement of Retained Earnings
iod from Year 1 to Year 10
Year 5 Year 6 Year 7 Year 8 Year 9 Year 10

2,226,970.59 2,979,470.73 3,281,551.00 3,695,715.57 4,240,240.09 4,860,069.16

752,500.13 802,080.27 914,164.58 1,044,524.52 1,119,829.07 1,259,206.83

- 500,000.00 500,000.00 500,000.00 500,000.00 500,000.00

2,979,470.73 3,281,551.00 3,695,715.57 4,240,240.09 4,860,069.16 5,619,275.99

 EALA INC.
Pro-forma Statement of Cash Flows
For the period from Year 1 to Year 5
Year 1 Year 2

Cash Flows from Operating Activities

Net Income 389,640.54 529,620.72
Increase (Decrease) in Depreciation - Fixed Assets (72,131.00) (72,131.00)
Increase (Decrease) in Depreciation - Leasehold Improvements (30,862.90) (30,862.90)
Increase (Decrease) in Supplies On Hand (12,382.70) (423.54)
Increase (Decrease) in Prepaid Expense (75,000.00) -
Increase (Decrease) in Interest Payable 27,855.10 -
Increase (Decrease) in Insurance Payable 22,500.00 -
Increase (Decrease) in VAT Output Tax Payable 538,115.76 21,018.21
Increase (Decrease) in Income Tax Payable 174,161.70 94,936.91
Net Cash Provided by Operating Activities 1,136,661.90 543,005.48

Cash Flows from Investing and Financing Activities

Acquisition of Office Assets (109,200.00) -
Acquisition of Store Assets (464,610.00) -
Increase (Decrease) in Long-term Loan 198,465.00
Dividends Paid - -
Net Cash Provided by Investing and Financing Activities (375,345.00) -

Increase (Decrease) in Cash 761,316.90 543,005.48

Add: Cash - Beginning 100,000.00 861,316.90

Cash Balance - End 861,316.90 1,404,322.39

Flows
Year 5
Year 3 Year 4 Year 5 Year 6 Year 7 Year 8

472,761.95 528,086.57 502,867.07 1,311,630.78 1,357,991.74 1,418,461.31

(57,131.00) (72,131.00) (57,131.00) 15,369.00 (57,131.00) (72,131.00)
(30,862.90) (30,862.90) (30,862.90) (30,862.90) (30,862.90) (30,862.90)
- - - - - -
- - - - - -
- - - - - -
- - - - - -
21,839.16 22,692.17 23,578.51 24,499.46 25,456.38 26,450.68
3,991.80 58,545.05 22,482.25 23,331.83 52,745.56 61,345.85
410,599.01 506,329.89 460,933.93 1,343,968.17 1,348,199.77 1,403,263.94

- - - (72,000.00) - -
(15,000.00) - (15,000.00) (15,500.00) (15,000.00) -
(198,965.00) - - -
- - - (500,000.00) (500,000.00) (500,000.00)
(213,965.00) - (15,000.00) (587,500.00) (515,000.00) (500,000.00)

196,634.01 506,329.89 445,933.93 756,468.17 833,199.77 903,263.94

1,404,322.39 1,600,956.40 2,107,286.29 2,553,220.22 3,309,688.38 4,142,888.15

1,600,956.40 2,107,286.29 2,553,220.22 3,309,688.38 4,142,888.15 5,046,152.09

 Year 9 Year 10

1,419,515.82 1,480,083.13
(57,131.00) (72,131.00)
(30,862.90) (30,862.90)
- -
- -
- -
- -
27,483.81 28,557.30
35,437.44 65,589.54
1,394,443.17 1,471,236.07 -

- -
(15,000.00) -

(500,000.00) (500,000.00)
(515,000.00) (500,000.00)

879,443.17 971,236.07

5,046,152.09 5,925,595.26

5,925,595.26 6,896,831.33 33,848,257.41

 EALA INC.
Pro-forma Balance Sheet
As of December 31, Year 0 to Year 10

Y E A
0 1 2

ASSETS
Currents Assets
Cash 100,000.00 861,316.90 1,404,322.39
Inventory ( Raw Materials) 39,885.00 40,682.70 40,682.70
Supplies on Hand 16,911.90 4,529.20 4,105.66
Prepaid Rent 75,000.00 - -
Total Current Assets 231,796.90 906,528.80 1,449,110.75

Fixed Assets
Office Assets 109,200.00 109,200.00 109,200.00
Store Assets 464,610.00 464,610.00 464,610.00
Total Fixed Assets 573,810.00 573,810.00 573,810.00
Less: Accumulated Depreciation - 72,131.00 144,262.00
Total Fixed Assets 573,810.00 501,679.00 429,548.00

Intangibles (30,862.90) (30,862.90)

Leasehold Improvement 308,629.00 308,629.00 308,629.00
Less: Accumulated Depreciation (10%) - 30,862.90 61,725.80
Total Intangibles 308,629.00 277,766.10 246,903.20

TOTAL ASSETS 1,114,235.90 1,685,973.90 2,125,561.95

LIABILITIES AND STOCKHOLDER'S EQUITY

Current Liabilities
Interest Payable - 27,855.10 27,855.10
Insurance Payable - 22,500.00 22,500.00
VAT Output Tax Payable - 538,115.76 559,133.97
Income Tax Payable - 174,161.70 94,936.91
Dividends Payable
Total Current Liabilities - 762,632.56 704,425.98

Long-term Liabilities
Long-term loan 198,965.00 198,965.00 198,965.00

TOTAL LIABILITIES 198,965.00 961,597.56 903,390.98

Stockholder's Equity
Capital Stock (P10 par value) 700,000.00 700,000.00 700,000.00
Retained Earnings - 389,640.54 919,261.26

TOTAL STOCKHOLDER'S EQUITY 700,000.00 1,089,640.54 1,619,261.26

TOTAL LIABILITIES AND STOCKHOLDERS EQUITY 898,965.00 2,051,238.10 2,522,652.25

(215,270.90) 365,264.20 397,090.30

(215,270.90) 365,264.20 397,090.30
ar 10

Y E A R
3 4 5 6 7 8

1,600,956.40 2,107,286.29 2,553,220.22 3,309,688.38 4,142,888.15 5,046,152.09

40,682.70 40,682.70 40,682.70 40,682.70 40,682.70 40,682.70
4,105.66 4,105.66 4,105.66 4,105.66 4,105.66 4,105.66
- - -
1,645,744.75 2,152,074.64 2,598,008.57 3,354,476.74 4,187,676.51 5,090,940.45

109,200.00 109,200.00 109,200.00 109,200.00 109,200.00 109,200.00

464,610.00 464,610.00 464,610.00 464,610.00 464,610.00 464,610.00
573,810.00 573,810.00 573,810.00 573,810.00 573,810.00 573,810.00
201,393.00 273,524.00 330,655.00 315,286.00 372,417.00 444,548.00
372,417.00 300,286.00 243,155.00 258,524.00 201,393.00 129,262.00

(30,862.90) (30,862.90) (30,862.90) (30,862.90) (30,862.90) (30,862.90)

308,629.00 308,629.00 308,629.00 308,629.00 308,629.00 308,629.00
92,588.70 123,451.60 154,314.50 185,177.40 216,040.30 246,903.20
216,040.30 185,177.40 154,314.50 123,451.60 92,588.70 61,725.80

2,234,202.05 2,637,538.04 2,995,478.07 3,736,452.34 4,481,658.21 5,281,928.25

- - -
22,500.00 22,500.00 22,500.00 22,500.00 22,500.00 22,500.00
580,973.13 603,665.31 627,243.81 651,743.27 677,199.64 703,650.32
3,991.80 58,545.05 22,482.25 23,331.83 52,745.56 61,345.85
500,000.00 500,000.00 500,000.00
607,464.93 684,710.36 672,226.07 1,197,575.10 1,252,445.20 1,287,496.17

- - - - - -

607,464.93 684,710.36 672,226.07 1,197,575.10 1,252,445.20 1,287,496.17

700,000.00 700,000.00 700,000.00 700,000.00 700,000.00 700,000.00

1,392,023.21 1,920,109.78 2,422,976.85 3,234,607.63 4,092,599.37 5,011,060.68

2,092,023.21 2,620,109.78 3,122,976.85 3,934,607.63 4,792,599.37 5,711,060.68

2,699,488.14 3,304,820.13 3,795,202.91 5,132,182.73 6,045,044.57 6,998,556.85

465,286.09 667,282.09 799,724.84 1,395,730.39 1,563,386.36 1,716,628.60

465,286.09 667,282.09 799,724.84 1,395,730.39 1,563,386.36 1,716,628.60
 9 10

5,925,595.26 6,896,831.33
40,682.70 40,682.70
4,105.66 4,105.66

5,970,383.62 6,941,619.69

109,200.00 109,200.00
464,610.00 464,610.00
573,810.00 573,810.00
501,679.00 573,810.00
72,131.00 -

(30,862.90) (30,862.90)
308,629.00 308,629.00
277,766.10 308,629.00
30,862.90 -

6,073,377.52 6,941,619.69

- -
22,500.00 22,500.00
731,134.13 759,691.43
35,437.44 65,589.54
500,000.00 500,000.00
1,289,071.57 1,347,780.96

- -

1,289,071.57 1,347,780.96

700,000.00 700,000.00
5,930,576.50 6,910,659.63

6,630,576.50 7,610,659.63
7,919,648.07 8,958,440.60

1,846,270.55 2,016,820.91
1,846,270.55 2,016,820.91