UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q
(Amendment No. 1)

(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)

Nevada
 
26-3062661
(State or other jurisdiction of
 
(I.R.S. Employer
incorporation or organization)
 
Identification No.)

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 o Accelerated filer o
Non-accelerated filer   o (Do not check if a smaller reporting company) Smaller reporting company   x
 
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, there were 82,038,520 shares of common Stock, $0.001 par value, issued and outstanding; 100 shares of Series A Preferred Stock, $0.001 par value per share, issued and outstanding; and 14,750,000 shares of Series B Preferred Stock, $0.001 par value per share, issued and outstanding. 
 


 
 

 
 
EXPLANATORY NOTE
 
The sole purpose of this Amendment No. 1 to Terra Tech, Inc.'s. Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2012, filed with the Securities and Exchange Commission on August 20 2012 (the “Form 10-Q”), is to furnish Exhibit 101 in accordance with Rule 405 of Regulation S-T.  Exhibit 101 to this report provides the consolidated financial statements and related notes from the Form 10-Q formatted in XBRL (eXtensible Business Reporting Language).
 
Note 5, Note 6 and Note 11 have been modified due to typographical errors in the original filing on Form 10-Q.  References to March 31, 2012 were replaced with June 30, 2012 in Notes 5 and 11.  Our depreciation expense below the table in Note 6 was incorrectly typed as $7,932 but has been corrected to the match the Cash Flow statement of $7,931.  This Amendment No. 1 to the Form 10-Q speaks as of the original filing date of the Form 10-Q, does not reflect events that may have occurred subsequent to the original filing date and does not modify or update in any way disclosures made in the original Form 10-Q.

Pursuant to Rule 406T of Regulation S-T, the interactive data files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections.

 
 

 
 
TERRA TECH CORP.
QUARTERLY REPORT ON FORM 10-Q
FOR THE PERIOD ENDED JUNE 30, 2012

INDEX

Index
     
Page
         
Part I.
Financial Information
   
       
 
Item 1.
Financial Statements
   
         
   
Condensed Consolidated Balance Sheets as of June 30, 2012 (unaudited) and December 31, 2011.
 
4
         
   
Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2012 (unaudited) and 2011.
 
5
         
   
Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2012 (unaudited) and 2011.
 
6
         
   
Notes to Financial Statements (Unaudited).
 
8
         
 
Item 2.
Management’s Discussion and Analysis of Financial Condition and Results of Operations.
 
19
         
 
Item 3.
Quantitative and Qualitative Disclosures About Market Risk.
 
23
         
 
Item 4.
Controls and Procedures.
 
23
         
Part II.
Other Information
   
       
 
Item 1.
Legal Proceedings.
 
24
         
 
Item 1A.
Risk Factors.
 
24
         
 
Item 2.
Unregistered Sales of Equity Securities and Use of Proceeds.
 
24
         
 
Item 3.
Defaults Upon Senior Securities.
 
24
         
 
Item 4.
Mine Safety Disclosures.
 
24
         
 
Item 5.
Other Information.
 
24
         
 
Item 6.
Exhibits.
 
25
         
Signatures
 
26
 
 
2

 
 
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: the ability to successfully integrate the merger of GrowOp Technology Ltd. into our operations; the possibility that we will not receive sufficient customers to grow our business, the Company’s need for and ability to obtain additional financing, the exercise of control Amy Almsteier, Secretary and a director of the Company, 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.

 
3

 
 
PART I. FINANCIAL INFORMATION

ITEM   1.   FINANCIAL STATEMENTS.
 

TERRA TECH CORP.
CONDENSED BALANCE SHEETS

   
June 30,
   
December 31,
 
   
2012
   
2011
 
Assets
           
Current Assets:
           
Cash
  $ 6,053     $ 10,217  
Accounts receivable, net of allowance
    91,256       34,191  
Inventories, net
    331,161       417,115  
Current portion of notes receivable, net of allowance
    -       38,656  
Prepaid inventory
    -       3,938  
Total Current Assets
    428,470       504,117  
Property and equipment, net
    47,610       55,541  
Deposits
    5,000       5,000  
Total Assets
  $ 481,080     $ 564,658  
                 
Liabilities and Stockholders’ Equity
               
Current Liabilities:
               
Accounts payable and accrued expenses
  $ 230,079     $ 147,236  
Note payable
    279,982       250,000  
Loans from Related Party
    179,190       150,000  
Total Current Liabilities
    689,251       547,236  
                 
Commitment and Contingencies
    -       -  
                 
Stockholders’ Equity
               
       Preferred stock, Convertible Series A, Par value $0.001; authorized and
            issued 100 shares and 100 as of June 30, 2012 and December 31,
             2011, respectively;
      -        -  
       Preferred stock, Convertible Series B, Par value $0.001; authorized
             24,999,900 shares;  issued and outstanding 14,750,000 and
           12,750,000 shares as of June 30, 2012 and December 31, 2011,
            respectively
    14,750       12,750  
       Common stock, Par value $0.001; authorized 350,000,000 shares; issued
   and outstanding 82,038,520 and 33,848,520 shares as of June 30, 2012
          and December 31, 2011, respectively
         82,039            33,849  
Additional paid-in capital
    2,911,638       2,866,427  
Accumulated Deficit
    (3,216,598 )     (2,895,604 )
Total Stockholders’ Equity
    (208,171 )     17,422  
                 
Total Liabilities and Stockholders’ Equity
  $ 481,080     $ 564,658  
 
The accompanying notes are an integral part of the condensed consolidated financial statements.

 
4

 
 
TERRA TECH CORP.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
 
   
Three Months Ended
   
Six Months Ended
 
   
June 30,
   
June 30,
 
   
2012
   
2011
   
2012
   
2011
 
                         
Total Revenues
  $ 64,185     $ 139,306     $ 276,076     $ 381,780  
Cost of Goods Sold
    91,608       51,030       226,053       247,853  
      (27,423 )     88,276       50,023       133,927  
Selling, general and administrative expenses
    130,640       209,813       336,393       355572  
                                 
Loss from Operations
    (158,063 )     (121,537 )     (286,370 )     (221,645 )
                                 
Interest and financing cost, net
    (17,278 )     -       (33,245 )     (10,527 )
Loss before Provision for Income taxes
    (175,341 )     (121,537 )     (319,615       (232,172 )
                                 
Provision for Income Taxes
    -       800       879       800  
Net Loss applicable to common shareholders...
  $ (175,341 )   $ (122,337 )   $ (320,494 )   $ (232,972 )
                                 
Net Loss per Common Share Basic and Diluted
  $ 0.00     $ (0.01 )   $ (0.00 )   $ (0.01 )
                                 
Weighted Average Number of
                               
Common Shares Outstanding – Basic
                               
And Diluted
    82,024,454       18,540,316       71,447,755       17,752,959  

The accompanying notes are an integral part of the condensed consolidated financial statements.
 
 
5

 
 
TERRA TECH CORP.
CONDENSED STATEMENT OF CASH FLOWS

   
6 Months
   
6 Months
 
   
Ended
   
Ended
 
   
June 30, 2012
   
June 30, 2011
 
   CASH FLOWS FROM OPERATING ACTIVITIES:
           
Net Loss
  $ (320,994 )   $ (232,972 )
Adjustments to reconcile net loss to net cash used in operating activities:
               
Depreciation
    7,931       6,845  
Change in accounts receivable and notes receivable reserve
    40,000       -  
Warrants issued with common stock
    15,400       -  
                 
Changes in operating assets and liabilities:
               
Accounts receivable
    (77,065 )     (13,856 )
Inventory
    85,954       (91,940 )
Prepaid inventory
    3,938       (48,065 )
Notes receivable
    18,656       9,235  
Accounts payable
    82,844       48,049  
             Net cash used in operations
    (143,336 )     (322,704 )
                 
   CASH FLOWS FROM INVESTING ACTIVITIES:
               
Purchase of property and equipment
    -       (25,627 )
             Net cash used in investing activities
    -       (25,627 )
 
               
   CASH FLOWS FROM FINANCING ACTIVITIES:
               
Proceeds from issuance of notes payable
    29,982       -  
Payments on notes payable
    -       (100,000 )
Proceeds from issuance of notes payable to related parties
    44,190       -  
Payments on notes payable to related parties
    (15,000 )     -  
Proceeds from issuance of common stock and warrants
    80,000       503,250  
              Net cash provided by financing activities
    139,172       377,623  
                 
    NET CHANGE IN CASH AND CASH EQUIVALENTS
    (4,164 )     54,919  
    CASH AND CASH EQUIVALENTS, beginning of period
    10,217       62,171  
    CASH AND CASH EQUIVALENTS, end of period
  $ 6,053     $ 117,090  
 
The accompanying notes are an integral part of the condensed consolidated financial statements.

 
6

 
 
TERRA TECH CORP.
CONDENSED STATEMENT OF CASH FLOWS

   
6 Months
   
6 Months
 
   
Ended
   
Ended
 
   
June 30,2012
   
June 30,2011
 
    SUPPLEMENTAL DISCLOSURE FOR OPERATING ACTIVITES
           
             
      Cash paid for interest
  $ -     $ -  
                 
SUPPLEMENTAL DISCLOSURE FOR FINANCING ACTIVITIES
               
                 
Warrant expense
  $ 15,400     $ -  
 
The accompanying notes are an integral part of the condensed consolidated financial statements.

 
7

 

TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS
 
 
1.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

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 33,998,50 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.

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.
 
 
8

 

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.
 
 
9

 

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.
 
 
10

 

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.
 
 
11

 

TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS

2. 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 $3.22 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.

3.   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.

4. 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 24,999,900 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.  The Company recorded compensation in the amount of $16,277,200 for the value of Series A and Series B Preferred stock issued.  Each Series A Preferred share was valued at $0.2083.  Each Series B Preferred share was valued at $1.1217.

 
12

 
 
TERRA TECH CORP.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

5.  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:

   
June 30,
   
December 31,
 
   
2012
   
2011
 
         Finished Goods
  $ 331,161     $ 417,115  

6. PROPERTY AND EQUIPMENT

Property and equipment at cost, less accumulated depreciation, at June 30, 2012 consisted of the following:

   
June 30,
   
December 31,
 
   
2012
   
2011
 
Furniture
  $ 34,421     $ 34,421  
Equipment
    33,325       33,325  
Leasehold improvements
    10,400       10,400  
Subtotal
    78,146       78,146  
Less accumulated depreciation
    (30,536 )     (22,605 )
Total
  $ 47,610     $ 55,541  

Depreciation expense related to property and equipment for the quarter ended June 30, 2012 was $7,931.

7.  ACCOUNTS PAYABLE AND ACCRUED EXPENSES

 Accounts payable and accrued expenses consisted of the following:
 
   
June 30,
   
December 31,
 
   
2012
   
2011
 
Accounts payable
  $ 59,134     $ 51,579  
Accrued officers’ salary
    75,000       37,500  
Accrued interest
    51,470       19,307  
Accrued payroll taxes
    37,850       32,225  
Accrued professional fees
    6,625       6,625  
    $ 230,079     $ 147,236  
 
 
13

 

TERRA TECH CORP.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS


8.  NOTE PAYABLE

 Notes payable is as follows:
 
   
June 30,
   
December 31,
 
   
2012
   
2011
 
             
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.
  $ 250,000     $ 250,000  
                 
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.
      5,000         -  
                 
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.
      24,982         -  
    $ 279,982     $ 250,000  

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.

9.  LOANS FROM RELATED PARTY
 
Notes payable is as follows:
 
   
June 30,
   
December 31,
 
   
2012
   
2011
 
             
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.
  $ 45,000     $ 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       -  
 
 
14

 
 
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 $14,935 as of June 30, 2012.

10. 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.

 
15

 
 
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.

11. 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  
 
16

 
 
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
   
Weighted
 
   
Exercise
   
Average
 
   
Price
   
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:
 
     
Number
 
Average
     
Range of
   
Outstanding at
 
Remaining
 
Weighted
 
Exercise
   
June 30,
 
Contractual
 
Average
 
Prices
   
2012
 
Life
 
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.

 
17

 

TERRA TECH CORP.
NOTES TO CONDENSED FINANCIAL STATEMENTS

12.  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 $33,406.

13. 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.

14. 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.  

 
18

 
 
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.

15. 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
 
 
19

 

ITEM 2.  MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.

Overview

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 $64,185, a decrease of $75,121 from the quarter ended June 30, 2011 which totaled $139,306.  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 a negative $27,423 for a negative 43% gross margin.  Gross profits decreased $115,699 or 131% for the quarter ended June 30, 2012 compared to $88,276 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.
 
 
20

 

Selling, general and administrative expenses for the quarter ended June 30, 2012 were  $130,640, a decrease of $79,173 from the quarter ended June 30, 2011 which totaled $209,813.  The major decreases were from professional fees which decreased $24,229 due to better cost controls, a reduction in travel in the amount of $8,991 due to better established relationships and a reduction in consultants in the amount of $13,872 for work which is now being performed by individuals within the company.

Interest expense totaled $17,278 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 $175,341 or $0.00 per share compared to a loss of $122,337 or $0.01 for the quarter ended June 30, 2011.  The primary reason for the loss was due to redued 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 $276,076, a decrease of $105,704 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 $50,023 for a 18% gross margin.  Gross profits decreased $83,904 or 63% 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 $336,393, a decrease of $19,179 from the six months ended June 30, 2011 which totaled $355,572.  The major decrease was from professional fees which decrease $29,286 due to better cost controls.

Interest expense totaled $33,245 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 Jue 30, 2012.

The net result for the six months ended June 30, 2012 was a loss of $320,494 or $0.00 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 redued 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.

Disclosure About Off-Balance Sheet Arrangements

We do not have any transactions, agreements or other contractual arrangements that constitute off-balance sheet arrangements.
 
 
21

 

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 $3,216,598 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 $64,172.  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 $260,781.  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.
 
 
22

 
 
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, 2012.

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.
 
 
23

 

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.
 
ITEM 1A. RISK FACTORS
 
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.
 
 
24

 

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 (4)
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
 
(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.
(4)  Filed and incorporated by reference to the Company’s Quarterly Report on Form 10-Q (File No. 000-54258), as filed with the Securities and Exchange Commission on May 21, 2012.
 
** 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.
 
 
25

 

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 29, 2012
By:
/s/ Derek Peterson
 
   
Derek Peterson
   
President and Chief Executive Officer

   
Date:   August 29, 2012
By:
/s/ Michael James
 
   
Michael James
   
Chief Financial Officer (and principal accounting officer)
 
 
26

 
 
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 (4)
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

(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.
(4)  Filed and incorporated by reference to the Company’s Quarterly Report on Form 10-Q (File No. 000-54258), as filed with the Securities and Exchange Commission on May 21, 2012.
 
** 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.

 
27