WASHINGTON, D.C.  20549

                                     FORM 10-Q

                      QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
                        OF THE SECURITIES EXCHANGE ACT OF 1934

   For the Quarter Ended March 31, 2014       Commission File No. 001-10156

                          ORIGINAL SIXTEEN TO ONE MINE, INC.
                (Exact name of registrant as specified in its charter)

                   CALIFORNIA                            94-0735390
      (State or other jurisdiction of     (I.R.S. Employer Identification No.)
        incorporated or organization)

                     Post Office Box 909, Alleghany, CA  95910
                      (Address of principal executive offices)

                                    (530) 287-3223
                            (Registrant's telephone number)
                                (including area code)

Indicate by check mark whether the Registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the past 12 months (or for such shorter period that the Registrant
was required to file such reports), and (2) has been subject to such filing
requirement for the past 90 days.

                        N/A Voluntary Filer

As of March 31, 2014, 13,399,505 shares of Common Stock, par value $.03 per
share, were issued and outstanding.

PART I 1. FINANCIAL INFORMATION Original Sixteen to One Mine, Inc. Condensed Balance Sheet March 31, 2014 and December 31, 2013 March 31, 2014 & December 31, 2013 ASSETS Current Assets Cash $ 17,623 $ 44,479 Accounts receivable 2,882 4,915 Inventory 301,684 300,719 Other current assets - - ------- ------- Total current assets 322,189 350,113 ------- ------- Mining Property Real estate and property rights net of depletion of $524,145 230,401 230,401 Mineral property 47,976 47,976 ------- ------- Total Mining Property (see Note 2) 278,377 278,377 ------- ------- Fixed Assets at Cost Equipment 877,208 877,208 Buildings 209,487 209,487 Vehicles 105,414 105,414 --------- --------- Total fixed assets at cost 1,192,109 1,192,109 --------- --------- Less accumulated depreciation (1,087,014) (1,084,025) ----------- ----------- Net fixed assets 105,095 108,084 ----------- ----------- Other Assets Bonds and misc. deposits 5,460 5,460 --------- ------- Total Assets $ 711,121 $ 742,034 ========== ==========
Original sixteen to One Mine, Inc. Condensed Balance Sheet Continued March 31, 2014 Dec.31, 2013 LIABILITIES & STOCKHOLDERS' EQUITY Current Liabilities Accounts payable & accrued expenses $ 805,776 765,341 Due to related party 223,543 229,658 Notes payable Short-term 560,428 500,000 -------- ------- Total Current Liabilities 1,589,747 1,494,999 -------- ------- Long Term Liabilities Notes payable due after one year 130,011 131,595 -------- ------- Total Liabilities 1,719,758 1,626,594 -------- ------- Stockholders' Equity Capital stock, par value $.03: 30,000,000 shares authorized: 13,399,505 issued and outstanding as of March 31, 2014 and as of December 31, 2013 440,656 440,656 Additional paid-in capital 2,063,202 2,063,202 (Accumulated deficit) Retained earnings (3,512,495) (3,388,418) ------------ ----------- Total Stockholders' Equity (1,008,637) (884,560) ------------ ----------- Total Liabilities and Stockholders' Equity $ 711,121 $ 742,034 ============ ============ See Accompanying Notes
Original Sixteen to One Mine, Inc. Statement of Operations and Retained Earnings Three Months Ended March 31, 2014 and March 31, 2013 Three Months Ending March 31, 2014 2013 ------ ------ Revenues: Gold & jewelry sales $ 36,251 $ 9,222 Other Revenue 16,000 ----------- ----------- Total revenues 52,251 9,222 ----------- ----------- Operating expenses: Salaries and wages 15,350 16,428 Contract Labor 62,531 19,325 Telephone & utilities 11,757 12,067 Taxes - property & payroll 6,832 5,702 Insurance 3,924 640 Supplies 38,142 5,941 Small equipment & repairs 8,165 2,086 Drayage 8,930 3,415 Corporate expenses 1,046 3,750 Legal and accounting 709 228 Mine Maintenance & Compliance 13,378 736 Depreciation & amortization 2,989 1,900 Other operating expenses 1,148 922 ---------- ---------- Total operating expenses 174,901 73,140 ---------- ---------- Profit (Loss) from operations (122,650) (63,918) Other Income & Expenses: Other Income 1,553 2,056 Other Expenses 2,979 7,126 ------- -------- Total Other Income (Expense) (1,426) (5,070) ---------- ----------- Profit (Loss) before taxes (124,076) (68,988) ---------- ----------- Income Tax Benefit - 800 Net Profit (Loss) $ (124,076) $ (69,788) ============ =========== Basic and diluted Gain (Loss) per share $ (.009) $ (.005) ============ ========== Shares used in the calculation of net loss income per share 13,399,505 13,399,505 ============ ========== See Accompanying Notes
Original Sixteen to One Mine, Inc. Statement of Cash Flows Three Months Ended March 31, 2014 and March 31, 2013 Three Months Ended March 31, 2014 2013 -------------- -------------- Cash Flows From Operating Activities: Net profit (loss) $ (124,076) $ (69,788) operating activities: Depreciation and amortization 2,989 1,899 (Increase)Decrease in accounts receivable 2,034 49 Decrease(Increase) in inventory -965 11,724 (Increase)Decrease in other current assets - - (Decrease) increase in accounts payable and accrued expenses 40,433 48,770 (Decrease) increase in short term notes 54,313 2,465 ------------ ---------- Net cash (used) provided by operating activities (25,272) (4,881) ------------ ----------- Cash Flows From Investing Activities: (Increase) Decrease Bonds, Misc Deposits - - ------------- ---------- Net cash (used) provided by investing activities - - ------------- ----------- Cash Flows From Financing Activities Increase (decrease) notes payable (1,584) - (Increase) decrease in notes receivable - - Proceeds from sale of common stock - - Additional paid-in capital - - ------------ ------------ Net cash provided (used) by financing activities (1,584) - ------------ ------------ (Decrease) increase in cash (26,856) (4,881) Cash, beginning of period 44,479 4,881 ------------ ---------- Cash, end of period $ 17,623 $ 0 ============ ============ Supplemental schedule of other cash flows: Cash paid during the period for: Interest expense $ 2,709 $ 7,040 Income Taxes $ - $ 800 ============ ============ See Accompanying Notes
NOTES TO THE FINANCIAL STATEMENTS I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Business: Original Sixteen to One Mine, Inc. (the Company) was incorporated in 1911 and is actively involved in operating gold mines in Alleghany, California; currently, in maintenance status. Inventory: Inventory consists of gold bullion, specimens and jewelry. Gold bullion and specimens are quoted at the market price for gold bullion. Jewelry is quoted at the market price for gold content plus labor cost. Gold bullion is accounted for using the FIFO method. All other inventory is accounted for using the specific identification method. Fixed Assets: Fixed assets are stated at historical cost. Depreciation is calculated using straight-line and accelerated methods over the following useful lives: Vehicles 3 to 5 years, Equipment 5 to 7 years, Buildings 18 to 31.5 years. Depletion Policy: Because of the geological formation in the Alleghany Mining District, estimates of ore reserves cannot be calculated, and accordingly, a cost per unit depletion factor cannot be determined. Should estimates of ore reserves become available, the units of production method of depletion will be used. Until such time, no depletion deduction will be recorded. Revenue Recognition: As they are mined, gold specimens are recorded in inventory and revenue is recognized using quoted market prices for gold. For income tax purposes revenues are not recognized until the gold is sold. Use of Estimates: The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions. These estimates and assumptions 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. Actual results could differ from these estimates. GENERAL NOTES 1. In accordance with directive from the Securities and Exchange Commission (SEC)and Industry Guide 7, reference for all intent and purposes to the Company's employees as miners, its properties as mines or its operation as mining does not diminish the fact that the Company has no proven reserves and is in the "exploration state" as defined in Guide 7(a)(4)(iii). 2. In the opinion of management, the financial statements contain all adjustments (consisting only of normal recurring accruals) necessary to present fairly the Company's financial position at March 31, 2014 and December 31, 2013, the results of operations and cash flows for the three-month periods ended March 31, 2014 and 2013. The unaudited financial statements have been prepared in accordance with Generally Accepted Accounting Principles for interim financial information and with the instructions to Form 10-Q and Item 310(b) of Regulation S-B. II. MANAGEMENT'S DISCUSSION AND ANALYSIS OF PLAN OF OPERATION The Sixteen to One mine in the Alleghany Mining District is a unique mine and requires a unique operation, which has been recognized by its owners, its miners, geologists, engineers, and some public agencies during the last decade of the twentieth century and to the present. It is a traditional high-grade, hard rock, underground gold mine. The same company owns and operates (maintains) the mine. Original Sixteen to One Mine Inc, (owner) was incorporated in California in 1911. Experts estimate that less than twenty percent of the deposit has been mined. Production is approximately 1,500,000 ounces of gold. There are over thirty miles of horizontal workings and millions of cubic feet of vertical excavations called stopes. The entire grounds are not maintained for mining. Once an area is targeted for mining, travel ways and escape routes are brought into safety compliance. Production miners set up a heading (face) and begin a drill-blast-muck sequence into the quartz. Gold is hosted in the quartz vein in exceedingly rich concentrations called "pockets". Metal detectors are regularly used underground as a tool for guiding the direction of the work. Metal detectors are also used as a tool to classify the ore underground. This has the positive affect of reducing the volume of rock taken from the mine, thereby reducing costs. In 1992, the company initiated a gold marketing plan of selling gold in quartz as a gemstone. This produces revenue significantly greater than selling gold into the spot market. Demand for the Sixteen to One gold-in-quartz gemstone exceeds supply. Production has been termed a "feast or famine" situation for over 100 years. Reserves in a high-grade gold mine cannot be termed as "proven". By industry wide definition of phases of a mine operation, the operation during this quarter is exploration. Exploration aims at locating the presence of economic deposits and establishing their nature, shape and grade. The investigation may be divided into (1) initial and (2) final. At the Sixteen to one the search for gold or ore embraces: (1) geological surveys; (2) geophysical prospecting; (3) boreholes; (4) surface or underground headings, drifts or tunnels. When operations detect the presence of gold, the Company evaluates the indicators and if warranted, moves its operation from exploration to development. When the presence of gold is evaluated, the Company moves its operation into production. The company hoards gold and sells it according to short-term cash needs. This fact requires an operator to manage its cash flow to operate between pockets. It is difficult to undertake major expansion plans with an uncertain supply of capital. The Company has announced general plans to build a new shaft in the northern section of its Alleghany patented claims when funds are available. BALANCE SHEET COMPARISONS Assets For the three-month period ending March 31, 2014, compared to December 31, 2013, Cash decreased by $26,856 (60%) as the Company ramped up exploration activities. Accounts Recievable decreased by $2,034 (41%) as payment was collected from customers. Liabilities There was no significant change in liabilities for the three-month period ended March 31, 2014. STATEMENT OF OPERATIONS Revenues for the three-month period ending March 31, 2014 increased by $43,029 (467%) compared with the same period in 2013 due to other revenue of $16,000 that is part of a technological company agreement as well as increased gold sales in 2014. For the three-month period ended March 31, 2014 compared to the same period in 2013 total operating expenses increased by $101,762 (139%) due to increased exploration activity in 2014. Significant changes within specific categories include a $43,206 (224%) increase in contract labor, a $32,201 (542%) increase in supplies expense, a $6,078 (291%) increase in Small Equipment, a $5,515 (161%) increase in drayage, and a $12,642 increase in Maintenance and compliance. For the three-month period ended March 31, 2014 compared to the same period in 2013 the company showed a loss of $124,076 compared to a loss of $69,787. The loss increase of $54,289 (78%) is attributable to expanded exploration activity in 2014. LIQUIDITY AND CAPITAL RESOURCES The Company's liquidity is substantially dependent upon the results of operations. The Company maintains a gold inventory which it liquidates to satisfy working capital needs. There is no assurance that inventory is adequate to sustain the Company. PART II LEGAL PROCEEDINGS In July 2009 the Company and its president were served a complaint for damages in Superior Court of the State of California, County of Sierra by the California Regional Water Quality Control Board, Central Valley Region. On March 18,2011, the second, third and fourth causes of action were dismissed leaving only the first cause of action; also, Michael Miller was dismissed as a defendant in the case. The case number is: No. 7019. SUBSEQUENT EVENTS none OTHER INFORMATION The unaudited interim consolidated financial statements of Original Sixteen to One Mine, Inc. (the Company) have been prepared by management in accordance with generally accepted accounting practices. Such rules allow the omission of certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted audited accounting principles as long as the statements are not misleading. In the opinion of management, verified by signature below, all adjustments necessary for a fair presentation of these interim statements have been included. These adjustments are of a normal recurring nature. The preparation of the Company's financial statements in conformity with accounting principles accepted in the United States requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements, as well as the reported amount of revenues and expenses during the reporting period. On an ongoing basis, management evaluates its estimates and assumptions; however, actual amounts could differ from those based on such estimates and assumptions. No accounting principle upon which the Company's financial status depends, requires estimates of proven and probable reserves and/or assumptions of future gold prices. Commodity prices may significantly affect the company's profitability and cash flow. No independent accounting firm or auditors have any responsibility for the accounting and written statements of the Form 10-Q. The Company and its president assume responsibility for the accuracy of this filing and certify the financial statements present fairly in all material respects, the financial position of Original Sixteen to One Mine, Inc at March 31, 2014. CAUTIONARY STATEMENT FOR PURPOSES OF THE "SAFE HARBOR" PROVISIONS OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 From time to time the Original Sixteen to One Mine, Inc. (the Company), will make written and oral forward-looking statements about matters that involve risks and uncertainties that could cause actual results to differ materially from projected results. Important factors that could cause actual results to differ materially include, among others: - Fluctuations in the market prices of gold - General domestic and international economic and political conditions - Unexpected geological conditions or rock stability conditions resulting in cave-ins, flooding, rock-bursts or rock slides - Difficulties associated with managing complex operations in remote areas - Unanticipated milling and other processing problems - The speculative nature of mineral exploration - Environmental risks - Changes in laws and government regulations, including those relating to taxes and the environment - The availability and timing of receipt of necessary governmental permits and approval relating to operations, expansion of operations, and financing of operations - Fluctuations in interest rates and other adverse financial market conditions - Other unanticipated difficulties in obtaining necessary financing with specifications or expectations - Labor relations - Accidents - Unusual weather or operating conditions - Force majeure events - Other risk factors described from time to time in the Original Sixteen to One Mine, Inc., filings with the Securities and Exchange Commission Many of these factors are beyond the Company's ability to control or predict. Investors are cautioned not to place undue reliance on forward-looking statements. The Company disclaims any intent or obligation to update its forward-looking statements, whether as a result of receiving new information, the occurrence of future events or otherwise. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. ORIGINAL SIXTEEN TO ONE MINE, INC. (Registrant) /s/Michael M. Miller President and Director Dated: March 30, 2015