UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
AMENDMENT NO. 2
TO
FORM 10-Q
(MARK ONE)
x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2012
OR
¨ 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. 000-54258
TERRA TECH CORP.
(Exact name of registrant as specified in its charter)
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Nevada
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26-3062661
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(State or other jurisdiction of
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(I.R.S. Employer
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incorporation or organization)
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Identification No.)
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18101 Von Karman, Third Floor
Irvine, California 92612
(Address of principal executive offices, zip code)
(855) 447-6967
(Registrant’s telephone number, including area code)
(Former name, former address and former fiscal year,
if changed since last report)
Indicate by check mark whether the issuer (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. Yes x No o
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). Yes o No 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. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (check one):
| Large accelerated filer |
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Accelerated filer |
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| Non-accelerated filer |
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Smaller reporting company |
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| (Do not check if a smaller reporting company) |
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Indicate by check mark whether the registrant is a shell company (as defined in Exchange Act Rule 12b-2 of the Exchange Act): Yes o No x
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS:
Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. Yes o No o
APPLICABLE ONLY TO CORPORATE ISSUERS
As of August 17, 2012, the registrant had 82,038,520 shares of Common Stock, $0.001 par value, issued and outstanding; outstanding 100 shares of Series A Preferred Stock, $0.001 par value per share, outstanding; and 14,750,000 shares of Series B Preferred Stock, $0.001 par value per shares, outstanding.
We are filing this Amendment No. 2 on Form 10-Q to amend our Quarterly Report on Form 10-Q for the quarter ended June 30, 2012 (the “Original Filing”), as originally filed with the Securities and Exchange Commission (the “SEC”) on August 20, 2012 (the “Original Filing Date”) to reflect a restatement of the following previously filed financial statements and data (and related disclosures):
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our condensed consolidated balance sheet as of June 30, 2012 and December 31, 2011, as discussed in Note 2 to the financial statements included in Item 1 of this Amendment No. 2 to Form 10-Q;
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•
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our condensed consolidated statements of operations and cash flows for the three and six months ended June 30, 2012, and June 30, 2011 as discussed in Note 2 to the financial statements included in Item 1 of this Amendment No. 2 to Form 10-Q; and
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•
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our management’s discussion and analysis of financial condition and results of operations as of and for the three and six months ended June 30, 2012 as discussed in Item 2 of this Amendment No. 2 to Form 10-Q.
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The restatement amends the accounting treatment for the merger entered into on February 9, 2012, pursuant to that certain Agreement and Plan of Merger dated February 9, 2012 (the “Agreement and Plan of Merger”), by and among the Company, TT Acquisitions, Inc., a Nevada corporation and a wholly-owned subsidiary of the Company, and GrowOp Technology Ltd., a Nevada corporation. The Company treated the convertible Series A Preferred Stock and the convertible Series B Preferred Stock as an expense in 2012 when it was an exchange of stock. The Company did not reflect the goodwill and the impairment of goodwill in the financials for the first quarter of 2012. The restatement reflects the change. The Company did not include the operations of GrowOp Technology Ltd. in the financials for the first quarter of 2011. The restatement reflects the change in this Amendment No. 2 to Form 10-Q.
Although this Amendment No. 2 to Form 10-Q supersedes the Original Filing in its entirety, this Amendment No. 2 to Form 10-Q amends and restates only Items 1, 2 and 4 of Part I, solely as a result of, and to reflect, the restatement, and no other information in the Original Filing is amended hereby. This Amendment No. 2 to Form 10-Q makes disclosure as of the Original Filing Date and does not reflect any events that may have occurred subsequent to the Original Filing Date.
TERRA TECH CORP.
(A Development Stage Company)
QUARTERLY REPORT ON FORM 10-Q
FOR THE PERIOD ENDED JUNE 30, 2013
INDEX
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Page
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| Part I. Financial Information |
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Item 1.
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Financial Statements
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5 |
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Condensed Consolidated Balance Sheets as of June 30, 2012 and December 31, 2011 (as restated).
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6 |
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Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2012 and 2011 (as restated).
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7 |
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Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2012 and 2011 (as restated).
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8 |
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Notes to Condensed Financial Statements (Unaudited).
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9 |
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Item 2.
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Management’s Discussion and Analysis of Financial Condition and Results of Operations.
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22 |
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Item 3.
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Quantitative and Qualitative Disclosures About Market Risk.
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25 |
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Item 4.
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Controls and Procedures.
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25 |
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| Part II. Other Information |
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Item 1.
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Legal Proceedings.
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26 |
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Item 1A.
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Risk Factors.
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26 |
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Item 2.
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Unregistered Sales of Equity Securities and Use of Proceeds.
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26 |
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Item 3.
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Defaults Upon Senior Securities.
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26 |
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Item 4.
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Mine Safety Disclosures.
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26 |
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Item 5.
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Other Information.
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26 |
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Item 6.
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Exhibits.
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27 |
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Signatures
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28 |
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CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This Quarterly Report on Form 10-Q of Terra Tech Corp., a Nevada corporation (the “Company”), contains “forward-looking statements,” as defined in the United States Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by terminology such as “may”, “will”, “should”, “could”, “expects”, “plans”, “intends”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of such terms and other comparable terminology. These forward-looking statements include, without limitation, statements about our market opportunity, our strategies, competition, expected activities and expenditures as we pursue our business plan, and the adequacy of our available cash resources. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Actual results may differ materially from the predictions discussed in these forward-looking statements. The economic environment within which we operate could materially affect our actual results. Additional factors that could materially affect these forward-looking statements and/or predictions include, among other things: (i) product demand, market and customer acceptance of Terra Tech’s equipment and other goods, (ii) ability to obtain financing to expand its operations, (iii) ability to attract qualified sales representatives, (iv) competition, pricing and development difficulties, (v) ability to integrate GrowOp Technology Ltd. into its operations as a reporting issuer with the Securities and Exchange Commission, and (iv) general industry and market conditions and growth rates and general economic conditions., the exercise of the majority control the Company’s Secretary and director, Amy Almsteier, holds of the Company’s voting securities, other factors over which we have little or no control; and other factors discussed in the Company’s filings with the Securities and Exchange Commission (“SEC”).
Our management has included projections and estimates in this Form 10-Q, which are based primarily on management’s experience in the industry, assessments of our results of operations, discussions and negotiations with third parties and a review of information filed by our competitors with the SEC or otherwise publicly available. We caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. We disclaim any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
PART I. FINANCIAL INFORMATION
ITEM 1. CONSOLIDATED FINANCIAL STATEMENTS.
Organization
We were incorporated as Private Secretary, Inc. on July 22, 2008 in the State of Nevada. From inception until we completed our reverse acquisition of GrowOp Technology, the principal business of the Company originally was to develop a software program that would allow for automatic call processing through VoIP technology. On January 27, 2012, the Company filed an amendment to its Articles of Incorporation changing its name to Terra Tech Corp. During that time, we had no revenue and our operations were limited to capital formation, organization, and development of our business plan and target customer market. As a result of the merger with GrowOp Technology, on February 9, 2012 we ceased our prior operations and we are now a holding company and our wholly owned subsidiary engages in the design, marketing and sale of hydroponic equipment with proprietary technology to create sustainable solutions for the cultivation of indoor agriculture.
Recent Developments
On February 9, 2012, Terra Tech Corp. (formerly named, “Private Secretary, Inc.”) , a Nevada corporation (the “Company”) entered into an Agreement and Plan of Merger dated February 9, 2012 (the “Agreement and Plan of Merger”), by and among the Company, TT Acquisitions, Inc., a Nevada corporation and a wholly-owned subsidiary of the Company (“TT Acquisitions”), and GrowOp Technology Ltd., a Nevada corporation (“GrowOp Technology”).
Under the terms and conditions of the Agreement and Plan of Merger, the Company sold 33,998,500 shares of common stock of the Company in consideration for all the issued and outstanding shares in GrowOp Technology. The effect of the issuance is that GrowOp Technology shareholders now hold approximately 41.46% of the issued and outstanding shares of common stock of the Company. Separately, TT Acquisitions merged with GrowOp Technology, with the effect that GrowOp Technology is a wholly-owned subsidiary of the Company. Articles of Merger, effecting the merger of GrowOp Technology and TT Acquisitions, were filed with the Secretary of State of the State of Nevada on February 9, 2012.
GrowOp Technology was founded in March 2010, in Oakland, California. GrowOp Technology’s business (now the principal business of Terra Tech) is the integration of best of breed hydroponic equipment with proprietary technology to create sustainable solutions for the cultivation of indoor agriculture. We work closely with expert horticulturists, engineers, and scientists, to develop and manufacture advanced proprietary products for the hydroponic industry. Our products are utilized by horticulture enthusiasts, local urban farmers, and green house growers. We believe that the emerging trend of urban and indoor agriculture has fostered an entrepreneurial push by companies to bring their concept to market. Many of these companies lack both the intellectual resources and manufacturing capabilities to bring their idea to fruition. That is where Terra Tech is positioned. We have the team and the resources to help bring indoor cultivation designs from concept to production. Our products can be found through specialty retailers throughout the United States.
The accompanying unaudited condensed financial statements include all of the accounts of Terra Tech. These condensed financial statements have been prepared in accordance with accounting principals generally accepted in the United States for financial information and with the instructions to Form S-1 and Regulation S-X. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation have been included.
TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
Use of Estimates
The preparation of the financial statements in conformity with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of 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.
Fair Value of Financial Instruments
The Company applies fair value accounting for all financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, the Company considers the principal or most advantageous market in which the Company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as risks inherent in valuation techniques, transfer restrictions and credit risk. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement:
Level 1 – Quoted prices in active markets for identical assets or liabilities.
Level 2 – Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
Level 3 – Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability.
The Company’s valuation techniques used to measure the fair value of money market funds and certain marketable equity securities were derived from quoted prices in active markets for identical assets or liabilities. The valuation techniques used to measure the fair value of all other financial instruments, all of which have counterparties with high credit ratings, were valued based on quoted market prices or model driven valuations using significant inputs derived from or corroborated by observable market data.
In accordance with the fair value accounting requirements, companies may choose to measure eligible financial instruments and certain other items at fair value. The Company has not elected the fair value option for any eligible financial instruments.
TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
Accounts Receivable
The Company reviews all outstanding accounts receivable for collectability on a quarterly basis. An allowance for doubtful accounts is recorded for any amounts deemed uncollectable. The Company does not accrue interest receivable on past due accounts receivable. As of June 30, 2012 there was a reserve of $5,576 against the collection of accounts receivable.
Prepaid Inventory
Prepaid inventory represents deposits made to foreign manufacturers for purchase orders of specific inventory.
Notes receivable
Notes receivable due from customers are unsecured loans which assist with the purchase of products. The notes range from twelve to eighteen months and bear interest at the annual rates of 4% to 9%. A corresponding reserve is established for any uncollectable interest. As of June 30, 2012 there was a 100 percent reserve or $34,424 against the collection of notes receivable.
Property and Equipment
Property and equipment are stated at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets: 3-8 years for machinery and equipment, leasehold improvements are amortized over the shorter of the estimated useful lives or the underlying lease term. Repairs and maintenance expenditures which do not extend the useful lives of related assets are expensed as incurred.
Revenue Recognition
Revenue is recognized net of discounts, rebates, promotional adjustments, price adjustments and estimated returns and upon transfer of title and risk to the customer which occurs at shipping (F.O.B. terms). Upon shipment, the Company has no further performance obligations and collection is reasonably assured as the majority of sales are paid for prior to shipping.
Cost of Goods Sold
Management decided to change the focus of the business in 2011 to designing, manufacturing and selling hydroponic equipment where favorable gross margins are achieved.
Research and Development
Research and development costs are expensed as incurred.
TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued
Income Taxes
The Company provides for income taxes based on enacted tax law and statutory tax rates at which items of income and expenses are expected to be settled in the Company’s income tax return. Certain items of revenue and expense are reported for Federal income tax purposes in different periods than for financial reporting purposes, thereby resulting in deferred income taxes. Deferred taxes are also recognized for operating losses that are available to offset future taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. The Company has incurred net operating losses for financial-reporting and tax-reporting purposes. Accordingly, for Federal and state income tax purposes, the benefit for income taxes has been offset entirely by a valuation allowance against the related federal and state deferred tax asset for the six months ended June 30, 2012.
Loss Per Common Share
Net loss per share, in accordance with the provisions of ASC 260, “Earnings Per Share” is computed by dividing net loss by the weighted average number of shares of Common Stock outstanding during the period. During a loss period, the effect of the potential exercise of stock options, warrants, convertible preferred stock and convertible debt are not considered in the diluted income (loss) per share calculation since the effect would be anti-dilutive. The results of operations were a net loss for the six months ended June 30, 2012 therefore the basic and diluted weighted average common shares outstanding were the same.
Recently Issued Accounting Standards
Management does not expect the adoption of recently issued accounting pronouncements to have a significant impact on our results of operations, financial position or cash flow.
2. RESTATEMENT OF CONDENSED FINANCIAL STATEMENTS
Subsequent to the issuance of our condensed financial statements for the quarter ended June 30, 2012, we have re-evaluated our interpretation of the merger set forth in the Agreement and Plan of Merger dated February 9, 2012 and have determined that the exchange of the Series A Preferred Stock and the Series B Preferred Stock should not have been expensed in the quarter ended March 31, 2012. We have adjusted the financials to include the operations for GrowOp Technology for the first quarter ended March 31, 2011. We have also determined that the impairment of goodwill should have been recorded in the quarter ended March 31, 2012.
The effect of this restatement is to change previously reported expenses, net loss and loss per share for the three and six months ended June 30, 2012 and 2011.
Impact of the restatement on our Condensed Financial Statements
Our condensed financial statements presented in this Quarterly Report on Form 10-Q/A has been restated to reflect the impact from the restatement adjustments described above as follows:
TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
3. GOING CONCERN
The Company’s future success is dependent upon its ability to achieve profitable operations and generate cash from operating activities, and upon additional financing. Management believes they can raise the appropriate funds needed to support their business plan and develop an operating company which is cash flow positive.
However, the Company has incurred net losses for the six months ended June 30, 2012 and has accumulated a deficit of approximately $3.18 million at June 30, 2012. The Company has not been able to generate sufficient cash from operating activities to fund its ongoing operations. There is no guarantee that the Company will be able to generate enough revenue and/or raise capital to support its operations. These factors raise substantial doubt about the Company’s ability to continue as a going concern.
The condensed financial statements do not include any adjustments relating to the recoverability or classification of recorded assets and liabilities that might result should the Company be unable to continue as a going concern.
4. CONCENTRATIONS OF BUSINESS AND CREDIT RISK
The Company maintains cash balances in several financial institutions which are insured by the Federal Deposit Insurance Corporation up to certain federal limitations.
The Company provides credit in the normal course of business to customers located throughout the U. S. The Company performs ongoing credit evaluations of its customers and maintains allowances for doubtful accounts based on factors surrounding the credit risk of specific customers, historical trends, and other information.
5. REVERSE MERGER
On February 9, 2012, the Company completed a reverse merger transaction through a merger with GrowOp Technology whereby we acquired all of the issued and outstanding shares of GrowOp Technology in exchange for 33,998,520 shares of our common stock, which represented approximately 41.4% of our total shares outstanding immediately following the closing of the transaction. As a result of the reverse acquisition, GrowOp Technology became our wholly owned subsidiary and the former shareholders of GrowOp Technology became our controlling stockholders. The share exchange transaction with GrowOp Technology was treated as a reverse acquisition, with GrowOp Technology as the acquiror and the Company as the acquired party.
On February 26, 2012, pursuant the Agreement and Plan of Merger, the Company issued an aggregate of 100 shares of Series A Preferred Stock and 14,750,000 shares of Series B Preferred Stock to Derek Peterson and Amy Almsteier, both of whom are officers and directors of the Company. The Company offered and sold the shares in reliance on the exemption from registration pursuant to Section 4(2) of Securities Act and Rule 506 of Regulation D promulgated thereunder.
TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
REVERSE MERGER, Continued
Purchase Accounting
The Acquisition was accounted for using the purchase method of accounting as a reverse acquisition. In a reverse acquisition, the post-acquisition net assets of the surviving combined company includes the historical cost basis of the net assets of the accounting acquirer (GrowOp Technologies Ltd.) plus the fair value of the net assets of the accounting acquiree (Terra Tech Corp). Further, under the purchase method, the purchase price is allocated to the assets acquired and liabilities assumed based on their estimated fair values and the excess of the purchase price over the estimated fair value of the identifiable net assets is allocated to any intangible assets with the remaining excess purchase price over net assets acquired allocated to goodwill.
The fair value of the consideration transferred in the Acquisition was $4,800,000 and was calculated as the number of shares of common stock that GrowOp Technologies Ltd. would have had to issue in order for Terra Tech Corp. shareholders to hold a 58.6% equity interest in the combined Company post-acquisition, multiplied by the estimated fair value of the Company’s common stock on the acquisition date. The estimated fair value of the Company’s common stock was based on the offering price of the common stock sold in a private placement of share subscriptions which was completed most recently prior to the merger. This price was determined to be the best indication of fair value on that date since the price was based on an arm’s length negotiation with a group consisting of both new and existing investors that had been advised of the pending Acquisition and assumed similar liquidity risk as those investors holding the majority of shares being valued as purchase consideration.
The following table summarizes the Company’s determination of fair values of the assets acquired and the liabilities as of the date of acquisition.
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Consideration - issuance of securities
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$
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4,800,000
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Cash
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$
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35
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Goodwill
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4,799,965
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Total purchase price
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$
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4,800,000
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The Company performed an impairment test related to goodwill as of the date of the merger and it was determined that goodwill was impaired. At that time, the Company recorded a charge to operations for the amount of the impairment of $4,799,965.
TERRA TECH CORP.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
6. INVENTORIES
Inventories consist of finished goods for the Company’s product lines. Cost-of-goods sold are calculated using the average costing method. Inventory costs include direct materials, direct labor and cost of freight. The Company reviews its inventory periodically to determine net realizable value and considers product upgrades in its periodic review of realizability. The Company writes down inventory, if required, based on forecasted demand and technological obsolescence. These factors are impacted by market and economic conditions, technology changes and new product introductions and require estimates that may include uncertain elements. Inventories consist of the following:
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June 30,
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December 31,
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2012
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2011
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Finished Goods
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$ |
329,306 |
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$ |
515,014 |
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7. PROPERTY AND EQUIPMENT
Property and equipment at cost, less accumulated depreciation, at June 30, 2012 consisted of the following:
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June 30,
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December 31,
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2012
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2011
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Furniture
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$ |
34,421 |
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$ |
34,421 |
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Equipment
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32,769 |
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32,769 |
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Leasehold improvements
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10,400 |
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10,400 |
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Subtotal
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77,590 |
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77,590 |
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Less accumulated depreciation
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(30,674 |
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(22,771 |
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Total
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$ |
46,916 |
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$ |
54,819 |
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Depreciation expense related to property and equipment was $7,903 and $6,845 for the six months ended June 30, 2012 and 2011, respectively.
8. ACCOUNTS PAYABLE AND ACCRUED EXPENSES
Accounts payable and accrued expenses consisted of the following:
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June 30,
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December 31,
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2012
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2011
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Accounts payable
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$ |
42,200 |
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$ |
81,168 |
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Accrued officers’ salary
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75,000 |
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37,500 |
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Accrued interest
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51,638 |
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19,307 |
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Accrued payroll taxes
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57,850 |
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32,225 |
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$ |
226,688 |
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$ |
170,200 |
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TERRA TECH CORP.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
9. NOTE PAYABLE
Notes payable is as follows:
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June 30,
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December 31,
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2012
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2011
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Senior secured promissory note dated July 15, 2011, issued to an accredited investor, maturing July 15, 2012, bearing interest at a rate of 15% per annum. Interest shall be paid in cash or common stock at the holders’ option.
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$ |
250,000 |
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$ |
250,000 |
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Unsecured promissory demand note dated May 7, 2012, issued to an accredited investor, bearing interest at a rate of 4% per annum. Holder may elect to convert into common stock at $0.75 per share.
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5,000 |
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- |
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Unsecured promissory note dated June 11, 2012, issued to an accredited investor, bearing interest at a rate of 4% per annum. Holder may elect to convert into common stock at $0.75 per share.
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24,982 |
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- |
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$ |
279,982 |
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$ |
250,000 |
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The senior secured promissory notes are secured by shares of common stock. The $250,000 note is secured by 1,500,000 shares of common stock. There is accrued interest of $36,535 as of June 30, 2012.
10. LOANS FROM RELATED PARTY
Notes payable is as follows:
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June 30,
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December 31,
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2012
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2011
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Unsecured promissory note dated December 2, 2011 and due December 2, 2012, issued to an entity controlled by Michael James an officer of the Company, bearing interest at a rate of 15% per annum. Interest shall be paid in cash or common stock at the holders’ option.
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$ |
45,000 |
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$ |
50,000 |
|
| |
|
|
|
|
|
|
|
|
|
Unsecured promissory note dated December 2, 2011 and due December 2, 2012, issued to Michael Nahass a director of the Company, bearing interest at a rate of 15% per annum. Interest shall be paid in cash or common stock at the holders’ option.
|
|
|
100,000 |
|
|
|
100,000 |
|
| |
|
|
|
|
|
|
|
|
|
Unsecured promissory note dated January 16, 2012 and due January 16, 2013, issued to Derek Peterson an officer and director of the Company, bearing interest at a rate of 15% per annum. Interest shall be paid in cash or common stock at the holders’ option.
|
|
|
10,000 |
|
|
|
- |
|
TERRA TECH CORP.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
LOANS FROM RELATED PARTY, Continued
|
Unsecured promissory note dated January 16, 2012 and due January 16, 2013, issued to Michael Nahass a director of the Company, bearing interest at a rate of 15% per annum. Interest shall be paid in cash or common stock at the holders’ option.
|
|
|
5,000 |
|
|
|
- |
|
| |
|
|
|
|
|
|
|
|
|
Unsecured demand note dated March 30, 2012, issued to Amy Almsteier an officer and director of the Company, bearing interest at a rate of 15% per annum. Interest shall be paid in cash or common stock at the holders’ option.
|
|
|
5,000 |
|
|
|
- |
|
| |
|
|
|
|
|
|
|
|
|
Unsecured demand note dated April 3, 2012, issued to Amy Almsteier an officer and director of the Company, bearing interest at a rate of 15% per annum. Interest shall be paid in cash or common stock at the holders’ option.
|
|
|
11,300 |
|
|
|
- |
|
| |
|
|
|
|
|
|
|
|
|
Unsecured demand note dated May 1, 2012 issued to Derek Peterson an officer and director of the Company, bearing interest at a rate of 15% per annum. Interest shall be paid in cash or common stock at the holders’ option.
|
|
|
2,890 |
|
|
|
- |
|
| |
|
$ |
179,190 |
|
|
$ |
150,000 |
|
The unsecured demand notes due to related parties have accrued interest of $15,103 as of June 30, 2012.
11. CAPITAL STOCK
Preferred Stock
The Company has authorized 25 million shares of preferred stock with $0.001 par value, of which there were 100 shares of Series A Convertible Preferred Stock outstanding as of June 30, 2012. Series A Convertible Preferred Stock is convertible on a one-for-one basis into common stock and has all of the voting rights that the holders of our common stock has.
On February 26, 2012, pursuant the Agreement and Plan of Merger, the Company issued an aggregate of 100 shares of Series A Preferred Stock to Derek Peterson and Amy Almsteier in exchange of their Series A Preferred Stock of GrowOp Technology, both of whom are officers and directors of the Company.
There were 14,750,000 shares of Series B Convertible Preferred Stock outstanding as of June 30, 2012. The Series B Convertible Preferred shares will vote with the common stock of the Company, be equal to 100 votes of common stock and be convertible into shares of common stock of the Company and a 1-for-5.384325537.
On February 26, 2012, pursuant the Agreement and Plan of Merger, the Company issued an aggregate of 14,750,000 shares of Series B Preferred Stock to Derek Peterson and Amy Almsteier in exchange of their Series B Preferred Stock of GrowOp Technology, both of whom are officers and directors of the Company.
TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
CAPITAL STOCK, Continued
Common Stock
The Company has authorized 350 million shares of common stock with $0.001 par value, of which there were issued and outstanding 82,038,520 as of June 30, 2012.
On January 17, 2012 the Company sold 150,000 common shares to an accredited investor for $50,000. The investor also received 150,000 warrants to purchase common stock at $0.46 per share.
On February 9, 2012, at the closing of the Agreement and Plan of Merger, the Company issued an aggregate of 33,998,520 shares of our common stock to the former stockholders of GrowOp Technology.
On May 2, 2012 the Company sold 40,000 common shares to an accredited investor for $30,000. The investor also received 40,000 warrants to purchase common stock at $0.85 per share.
12. WARRANTS
The Company has the following shares of common stock reserved for the warrants outstanding as of June 30, 2012:
| |
|
June 30, 2012 |
|
| |
|
|
Weighted
Average
Exercise
|
|
| |
|
Shares |
|
|
Price |
|
| |
|
|
|
|
|
|
|
Warrants outstanding – beginning of year
|
|
|
6,188,400 |
|
|
$ |
0.35 |
|
|
Warrants exercised
|
|
|
- |
|
|
|
- |
|
|
Warrants granted
|
|
|
190,000 |
|
|
|
0.54 |
|
|
Warrants expired
|
|
|
- |
|
|
|
- |
|
| |
|
|
|
|
|
|
|
|
|
Warrants outstanding – end of period
|
|
|
6,378,400 |
|
|
$ |
0.35 |
|
TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
WARRANTS, Continued
The weighted exercise price and weighted fair value of the warrants granted by the Company as of June 30, 2012, are as follows:
| |
|
June 30, 2012 |
|
|
|
|
| |
|
Weighted
Average
Exercise
Price
|
|
|
Weighted
Average
Fair Value
|
|
|
Weighted average of warrants granted during the
|
|
|
|
|
|
|
|
six months whose exercise price exceeded fair market
|
|
|
|
|
|
value at the date of grant
|
|
$ |
0.54 |
|
|
$ |
0.26 |
|
| |
|
|
|
|
|
|
|
|
|
Weighted average of warrants granted during the
|
|
|
|
|
|
|
six months whose exercise price was equal or lower than
|
|
|
|
|
|
|
fair market value at the date of grant
|
|
$ |
- |
|
|
$ |
- |
|
The following table summarizes information about fixed-price warrants outstanding:
|
Range of
Exercise
Prices
|
|
|
Number
Outstanding at
March 31, 2012
|
|
Average
Remaining
Contractual
Life
|
|
Weighted
Average
Exercise Price
|
|
| |
|
|
|
|
|
|
|
|
| $ |
0.33 |
|
|
|
5,588,400 |
|
27 Months
|
|
$ |
0.33 |
|
| $ |
0.46 |
|
|
|
600,000 |
|
38 Months
|
|
$ |
0.46 |
|
| $ |
0.46 |
|
|
|
150,000 |
|
43 Months
|
|
$ |
0.46 |
|
| $ |
0.85 |
|
|
|
40,000 |
|
34 Months
|
|
$ |
0.85 |
|
| |
|
|
|
|
6,378,400 |
|
|
|
|
|
|
For the warrants issued in January 2012, the Company valued the warrants utilizing the black schools method with the following inputs: stock price of $0.33, exercise price of $0.46, volatility of 35.53%, years 4, treasury bond rate 3.5% and dividend rate of 0%.
For the warrants issued in May 2012, the Company valued the warrants utilizing the black schools method with the following inputs: stock price of $0.33, exercise price of $0.85, volatility of 32.77%, years 3, treasury bond rate 3.5% and dividend rate of 0%.
The warrant expense of $15,400 was based on the Black Scholes calculation which was expensed during the six months ended June 30, 2012.
TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
13. OPERATING LEASE COMMITMENTS
The Company leases certain office and industrial warehouse space on a month-to-month basis.
The terms of the month to month lease provide for a rental fee of $5,000 per month through April 15, 2012. Beginning on April 15, 2012 the month-to-month rent was increased to $6,300. Net rent expense for the Company for the six months ended June 30, 2012 was $23,782.
14. LITIGATION AND CLAIMS
From time to time, the Company may be involved in various legal proceedings and claims arising in the ordinary course of business. The disposition of these additional matters, which may occur, individually or in the aggregate, is not expected to have a material adverse effect on the Company’s financial condition. However, depending on the amount and timing of such disposition, an unfavorable resolution of some or all of these matters could materially affect the future results of operations or cash flows in a particular period.
As of June 30, 2012, there was no accrual recorded for any potential losses related to pending litigation.
15. RELATED PARTY TRANSACTIONS
On February 26, 2012, pursuant the Agreement and Plan of Merger, the Company issued an aggregate of 100 shares of Series A Preferred Stock to Derek Peterson and Amy Almsteier in exchange of their Series A Preferred Stock of GrowOp Technology, both of whom are officers and directors of the Company.
On February 26, 2012, pursuant the Agreement and Plan of Merger, the Company issued an aggregate of 14,750,000 shares of Series B Preferred Stock to Derek Peterson and Amy Almsteier in exchange of their Series B Preferred Stock of GrowOp Technology, both of whom are officers and directors of the Company.
TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
RELATED PARTY TRANSACTIONS, Continued
During the six month period ended June 30, 2012, the Company accrued an additional $37,500 of compensation for the services provided by the officers. As of June 30, 2012 the officers were owed a total of $75,000 in accrued compensation.
During the six months ended June 30, 2012, officers and directors of the Company had loaned the Company $44,190 and were paid back $15,000. As of June 30, 2012 the total amount owed to the officers and directors was $179,190.
16. SUBSEQUENT EVENTS
On July 9, 2012 the Company entered into a two year lease for certain office and warehouse space in Lake Forest, California. The monthly rent is $3,025 for the first year and will increase to $3,300 for the second year.
On July 11, 2012 the Company issued an unsecured promissory demand note in the amount of $15,000 to an accredited investor, bearing interest at a rate of 4% per annum. Holder may elect to convert into common stock at $0.75 per share
On July 15, 2012 the Company issued an unsecured promissory note due July 15, 2013 in the amount of $150,000 to an accredited investor, bearing interest at a rate of 12% per annum. Holder may elect to convert accrued interest into common stock.
On July 23, 2012, Steven J. Ross joined the Board of Directors.
On August 13, 2012 the Company issued an unsecured promissory demand note in the amount of $10,000 to an accredited investor, bearing interest at a rate of 4% per annum. Holder may elect to convert into common stock at $0.75 per share.
We were incorporated as Private Secretary, Inc. on July 22, 2008 in the State of Nevada. From inception until we completed our reverse acquisition of GrowOp Technology, the principal business of the Company originally was to develop a software program that would allow for automatic call processing through VoIP technology. On January 27, 2012, the Company filed an amendment to its Articles of Incorporation changing its name to Terra Tech Corp. During that time, we had no revenue and our operations were limited to capital formation, organization, and development of our business plan and target customer market. As a result of the merger with GrowOp Technology, on February 9, 2012 we ceased our prior operations and we are now a holding company and our wholly owned subsidiary engages in the design, marketing and sale of hydroponic equipment with proprietary technology to create sustainable solutions for the cultivation of indoor agriculture.
On February 9, 2012, Terra Tech Corp. (formerly named, “Private Secretary, Inc.”) , a Nevada corporation (the “Company”) entered into an Agreement and Plan of Merger dated February 9, 2012 (the “Agreement and Plan of Merger”), by and among the Company, TT Acquisitions, Inc., a Nevada corporation and a wholly-owned subsidiary of the Company (“TT Acquisitions”), and GrowOp Technology Ltd., a Nevada corporation (“GrowOp Technology”).
Under the terms and conditions of the Agreement and Plan of Merger, the Company sold 33,998,50 shares of common stock of the Company in consideration for all the issued and outstanding shares in GrowOp Technology. The effect of the issuance is that GrowOp Technology shareholders now hold approximately 41.46% of the issued and outstanding shares of common stock of the Company. Separately, TT Acquisitions merged with GrowOp Technology, with the effect that GrowOp Technology is a wholly-owned subsidiary of the Company. Articles of Merger, effecting the merger of GrowOp Technology and TT Acquisitions, were filed with the Secretary of State of the State of Nevada on February 9, 2012.
GrowOp Technology was founded in March 2010, in Oakland, California. GrowOp Technology’s business (now the principal business of Terra Tech) is the integration of best of breed hydroponic equipment with proprietary technology to create sustainable solutions for the cultivation of indoor agriculture. We work closely with expert horticulturists, engineers, and scientists, to develop and manufacture advanced proprietary products for the hydroponic industry. Our products are utilized by horticulture enthusiasts, local urban farmers, and green house growers. We believe that the emerging trend of urban and indoor agriculture has fostered an entrepreneurial push by companies to bring their concept to market. Many of these companies lack both the intellectual resources and manufacturing capabilities to bring their idea to fruition. That is where Terra Tech is positioned. We have the team and the resources to help bring indoor cultivation designs from concept to production. Our products can be found through specialty retailers throughout the United States.
Results of Operations for the quarter ended June 30, 2012 compared to the quarter ended June 30, 2011:
Total revenues generated from the sales of the Company’s products for the quarter ended June 30, 2012 totaled $83,185, a decrease of $54,659 from the quarter ended June 30, 2011 which totaled $137,844. The primary reason was due the improper mix of inventory required by the customers. .
At this stage in the Company’s development, revenues are not yet sufficient to cover ongoing operating expenses.
Gross profits for the quarter ended June 30, 2012 amounted to $9,737 for a 12% gross margin. Gross profits decreased $90,832 or 90% for the quarter ended June 30, 2012 compared to $100,569 for the quarter ended June 30, 2011. The decrease in the gross margin was due to management lowering the selling price of certain products so that cash would be raised to buy the proper inventory which the customers were demanding.
Selling, general and administrative expenses for the quarter ended June 30, 2012 were $127,833, a decrease of $104,250 from the quarter ended June 30, 2011 which totaled $232,083. The major decreases were from professional fees which decreased $29,561 due to better cost controls, a reduction in travel in the amount of $8,281 due to better established relationships and a reduction in consultants in the amount of $92,869 for work which is now being performed by individuals within the company.
Interest expense totaled $16,364 for the quarter ended June 30, 2012 versus zero in the quarter ended June 30, 2011. The increase is due to the debt outstanding.
The net result for the quarter ended June 30, 2012 was a loss of $134,460 or $0.00 per share compared to a loss of $132,314 or $0.02 for the quarter ended June 30, 2011. The primary reason for the loss was due to reduced sales caused by not having the proper inventory which was demanded by the customers.
Management will continue to make an effort to lower operating expenses and increase revenue. The Company will continue to invest in further expanding its operations and a comprehensive marketing campaign with the goal of accelerating the education of potential clients and promoting the name and products of the Company. Given the fact that most of the operating expenses are fixed or have quasi-fixed character management expects them to significantly decrease as a percentage of revenues as revenues increase.
Results of Operations for the six months ended June 30, 2012 compared to the six months ended June 30, 2011:
Total revenues generated from the sales of the Company’s products for the six months ended June 30, 2012 totaled $295,076, a decrease of $86,704 from the six months ended June 30, 2011 which totaled $381,780. The primary reason was due the improper mix of inventory required by the customers. .
At this stage in the Company’s development, revenues are not yet sufficient to cover ongoing operating expenses.
Gross profits for the six months ended June 30, 2012 amounted to a $24,702 for a 8% gross margin. Gross profits decreased $109,225 or 82% for the six months ended June 30, 2012 compared to $133,927 for the six months ended June 30, 2011. The decrease in the gross margin was due to management lowering the selling price of certain products so that cash would be raised to buy the proper inventory which the customers were demanding.
Selling, general and administrative expenses for the six months ended June 30, 2012 were $535,616, a increase of $180,044 from the six months ended June 30, 2011 which totaled $355,572. The major increase was officer compensation associated with the issuance of 2,000,000 shares of Series B Preferred stock which was valued at $200,000. In addition there was payroll tax incurred with the transaction in the amount of $14,375. The major decrease was from professional fees which decrease $39,717 due to better cost controls.
The Company incurred an impairment of goodwill in connection with the reverse merger on the amount of $4,799,965.
Interest expense totaled $32,1331 for the six months ended June 30, 2012 compared to $10,527 in the six months ended June 30, 2011. The increase is due to the more debt outstanding for the six months ended June 30, 2012.
The net result for the six months ended June 30, 2012 was a loss of $5,344,088 or $0.07 per share compared to a loss of $232,972 or $0.01 for the six months ended June 30, 2011. The primary reason for the loss was due to reduced sales caused by not having the proper inventory which was demanded by the customers and the impairment of goodwill related to the reverse merger..
Management will continue to make an effort to lower operating expenses and increase revenue. The Company will continue to invest in further expanding its operations and a comprehensive marketing campaign with the goal of accelerating the education of potential clients and promoting the name and products of the Company. Given the fact that most of the operating expenses are fixed or have quasi-fixed character management expects them to significantly decrease as a percentage of revenues as revenues increase.
Disclosure About Off-Balance Sheet Arrangements
We do not have any transactions, agreements or other contractual arrangements that constitute off-balance sheet arrangements.
Critical Accounting Policies
Our Management's Discussion and Analysis of Financial Condition and Results of Operations section discusses our consolidated condensed financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America. The preparation of these financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. On an on-going basis, management evaluates its estimates and judgments, including those related to revenue recognition, accrued expenses, financing operations, and contingencies and litigation. Management bases its estimates and judgments on historical experience and on various other factors that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions. The most significant accounting estimates inherent in the preparation of our financial statements include estimates as to the appropriate carrying value of certain assets and liabilities which are not readily apparent from other sources. These accounting policies are described at relevant sections in this discussion and analysis and in the notes to the consolidated financial statements included in this report.
Liquidity and Capital Resources
The Company’s future success is dependent upon its ability to achieve profitable operations and generate cash from operating activities, and upon additional financing. Management believes they can raise the appropriate funds needed to support their business plan and develop an operating, cash flow positive company.
The Company incurred net losses for the six months ended June 30, 2012 and has accumulated a deficit of $8,196,686 at June 30, 2012. The Company has not been able to generate sufficient cash from operating activities to fund its ongoing operations. There is no guarantee that the Company will be able to generate enough revenue and/or raise capital to support its operations. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The Company has never reported Net Income.
The condensed consolidated financial statements do not include any adjustments relating to the recoverability or classification of recorded assets and liabilities that might result should the Company be unable to continue as a going concern.
The Company’s business operations generally have been financed by debt investments through promissory notes with accredited investors and equity investments in the common stock of the Company by accredited investors. During the six months of 2012, the Company obtained new debt from the issuance of unsecured promissory notes that supplied the funds that were needed to finance operations during the reporting period. Such new borrowings resulted in the receipt by the Company of $74,172. The Company also issued 190,000 shares of common stock for $80,000. While these funds sufficed to compensate for the negative cash flow from operations they were not sufficient to build up a liquidity reserve. As a result, the Company’s financial position at the end of the reporting period showed a working capital deficit of $235,175. During the first six months of 2012 the Company obtained new financing sufficient to fund ongoing working capital requirements. We need to continue to raise funds to cover working capital requirements until we are able to raise revenues to a point of positive cash flow.
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.
As a smaller reporting company (as defined in Rule 12b-2 of the Exchange Act), we are not required to provide the information called for by this Item 3.
ITEM 4. CONTROLS AND PROCEDURES.
DISCLOSURE CONTROLS AND PROCEDURES
Under the supervision and with the participation of our management, our principal executive officer and our principal financial officer are responsible for conducting an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as of the end of the fiscal year covered by this report. Disclosure controls and procedures means that the material information required to be included in our Securities and Exchange Commission reports is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms relating to our company, including any consolidating subsidiaries, and was made known to us by others within those entities, particularly during the period when this report was being prepared. Based on this evaluation, our principal executive officer and principal financial officer concluded as of the evaluation date that our disclosure controls and procedures were not effective as of June 30, 2013.
There were no changes in the Company’s internal controls 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.
On March 29, 2011, Dhar Mann and WeGrow Garden Supply LLC filed an Individual and Corporate Complaint for: 1. Breach of Contract; 2. Fraud; 3. Breach of Fiduciary Duty; and 4. Conversion in the Superior Court of the State of California, Alameda County, File No. RG11568327 (the “Dhar Mann Complaint”), against GrowOp Technology Lts. alleging, among other things, that Mr. Mann is a 37.5% owner of GrowOp since May 23, 2010 and claiming damages of approximately $2,200,000 in connection with a purported agreement to sell Mr. Mann shares of Common Stock of GrowOp amounting to 37.5% of the issued and outstanding shares of Common Stock of GrowOp. Mr. Mann is also seeking an order from the court prohibiting GrowOp from selling any securities or becoming a public company. GrowOp denies, among other things in the Dhar Mann Complaint, the existence of a purported agreement to sell Mr. Mann shares of Common Stock of GrowOp amounting to 37.5% of the issued and outstanding shares of Common Stock of GrowOp or the damages owed. GrowOp does not believe this litigation will have a material effect on its business objectives.
From time to time, the Company may become subject to additional litigation or proceedings in connection with its business, as either a plaintiff or defendant. Except with the disclosure made in the preceding paragraph, there are no such pending legal proceedings to which the Company is a party that, in the opinion of management, is likely to have a material adverse effect on the Company’s business, financial condition or results of operations.
As a smaller reporting company (as defined in Rule 12b-2 of the Exchange Act), we are not required to provide the information called for by this Item 1A.
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.
None.
ITEM 6. EXHIBITS.
(a) Exhibits required by Item 601 of Regulation SK.
|
Number
|
|
Description
|
| |
|
|
|
2.1
|
|
Agreement and Plan of Merger (1)
|
|
2.2
|
|
Articles of Merger (1)
|
|
3.1.1
|
|
Articles of Incorporation (2)
|
|
3.1.2
|
|
Certificate of Change
|
|
3.1.3
|
|
Certificate of Amendment (1)
|
|
3.1.4
|
|
Certificate of Designation for Series A Preferred Stock (3)
|
|
3.1.5
|
|
Certificate of Designation for Series B Preferred Stock (3)
|
|
3.2
|
|
Bylaws (2)
|
|
31.1
|
|
Certification of Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
|
|
31.2
|
|
Certification of Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
|
|
32.1
|
|
Certification of Principal Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
32.2
|
|
Certification of Principal Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
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.
(1) Filed and incorporated by reference to the Company’s Current Report on Form 8-K (File No. 000-54258), as filed with the Securities and Exchange Commission on February 10, 2012.
(2) Filed and incorporated by reference to the Company’s Registration Statement on Form S-1, as amended (File No. 333-156421), as filed with the Securities and Exchange Commission on December 23, 2008.
(3) Filed and incorporated by reference to the Company’s Current Report on Form 8-K (File No. 000-54258), as filed with the Securities and Exchange Commission on April 19, 2012.
SIGNATURES
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.
| |
TERRA TECH CORP.
|
| |
(Name of Registrant)
|
| |
|
|
Date: August 19, 2013
|
By:
|
/s/ Derek Peterson
|
|
| |
|
Name: Derek Peterson
|
| |
|
Title: President and Chief Executive Officer
(principal executive officer)
|
|
Date: August 19, 2013
|
By:
|
/s/ Michael James
|
|
| |
|
Name: Michael James
|
| |
|
Title: Chief Financial Officer
(principal accounting officer and principal financial officer)
|
EXHIBIT INDEX
|
Number
|
|
Description
|
| |
|
|
|
2.1
|
|
Agreement and Plan of Merger (1)
|
|
2.2
|
|
Articles of Merger (1)
|
|
3.1.1
|
|
Articles of Incorporation (2)
|
|
3.1.2
|
|
Certificate of Change
|
|
3.1.3
|
|
Certificate of Amendment (1)
|
|
3.1.4
|
|
Certificate of Designation for Series A Preferred Stock (3)
|
|
3.1.5
|
|
Certificate of Designation for Series B Preferred Stock (3)
|
|
3.2
|
|
Bylaws (2)
|
|
31.1
|
|
Certification of Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
|
|
31.2
|
|
Certification of Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
|
|
32.1
|
|
Certification of Principal Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
32.2
|
|
Certification of Principal Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
101.INS *
|
|
XBRL Instance Document
|
|
101.SCH *
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XBRL Taxonomy Extension Schema Document
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101.CAL *
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XBRL Taxonomy Extension Calculation Linkbase Document
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101.DEF *
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XBRL Taxonomy Extension Definition Linkbase Document
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101.LAB *
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XBRL Taxonomy Extension Label Linkbase Document
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101.PRE *
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XBRL Taxonomy Extension Presentation Linkbase Document
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* 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.
(1) Filed and incorporated by reference to the Company’s Current Report on Form 8-K (File No. 000-54258), as filed with the Securities and Exchange Commission on February 10, 2012.
(2) Filed and incorporated by reference to the Company’s Registration Statement on Form S-1, as amended (File No. 333-156421), as filed with the Securities and Exchange Commission on December 23, 2008.
(3) Filed and incorporated by reference to the Company’s Current Report on Form 8-K (File No. 000-54258), as filed with the Securities and Exchange Commission on April 19, 2012.