UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): July 22, 2005
NEW VISUAL CORPORATION
(Exact name of registrant as specified in its charter)
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Utah 0-21875 95-4545704
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(State or other jurisdiction (Commission File Number) (IRS Employer
of incorporation) Identification No.)
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305 NE 102ND AVE, SUITE 105, PORTLAND, OR 97220
(Address of principal executive offices, including Zip Code)
(503) 257-6700
(Registrant's telephone number, including area code)
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))
ITEM 2.06 MATERIAL IMPAIRMENTS
On July 22, 2005, New Visual Corporation (the "Company") concluded that the fair
value of the Company's film in distribution was less than its unamortized film
costs and, accordingly, the Company will record an impairment charge of
$1,009,777 that will be included in the Company's consolidated statement of
operations for the quarter ending July 31, 2005 and will reduce the carrying
value assigned to film in distribution to $0.
The conclusion was based upon information the Company received from the film's
distributor in July 2005 relating to lower than expected sales of the DVD.
The impairment charge will not result in future cash expenditures by the
Company.
ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS
(a) Financial Statements.
None.
(b) Pro Forma Financial Information
None.
(c) Exhibits:
None.
DATED: JULY 28, 2005
BY: /S/ BRAD KETCH
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BRAD KETCH
PRESIDENT AND CHIEF EXECUTIVE OFFICER