Quarterly Report (10-q)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2021

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

EXCHANGE ACT

Commission File Number: 333-145876

CANNONAU CORP

(Exact name of registrant as specified in its charter)

Nevada		84-2870437
(State or other jurisdiction of incorporation or organization)		(IR.S. Employer Identification No.)

937 Old Seneca Turnpike Road
Skaneateles, NY		13252-9318
(Address of principal executive offices)		(Zip Code)

(315)451-7515

Indicate by check mark whether the registrant (1) filed all reports required to be filed by Section 13 or 15(d) of the 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 ☐ No

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 ☐ No

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.

	Large accelerated filer ☐		Accelerated filer ☐
	Non-accelerated Filer ☐ (Do not check if a smaller reporting company)		Smaller reporting company ☒
	Emerging Growth Company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act): Yes ☐ No ☒

APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY

PROCEEDINGS DURING THE PRECEDING FIVE YEARS

Check whether the registrant filed all documents and reports required to be filed by Section 12, 13 or 15(d) of the Exchange Act after the distribution of securities under a plan confirmed by a court. Yes ☐ No ☐

APPLICABLE ONLY TO CORPORATE ISSUERS

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date: 241,377,179 shares of common stock as of September 24, 2021.

TABLE OF CONTENTS


PART I

Item 1	Financial Statements	4
Item 2	Management's Discussion and Analysis of Financial Condition and Results of Operations	12
Item 3	Quantitative and Qualitative Disclosures About Market Risks	12
Item 4	Controls and Procedures	12

PART II

Item 1	Legal Proceedings	15
Item 1A.	Risk Factors	15
Item 2	Unregistered Sales of Equity Securities and Use of Proceeds	15
Item 3	Default Upon Senior Securities	15
Item 4	Mine Safety Disclosure	16
Item 5	Other Information	16
Item 6	Exhibits	15

SIGNATURES		16

PART 1 FINANCIAL STATEMENTS

CANNONAU CORP.

FINANCIAL STATEMENTS

FOR THE FISCAL QUARTER ENDED JUNE 30, 2021

C O N T E N T S

Consolidated Balance Sheets (Unaudited)			5

Consolidated Statements of Operations (Unaudited)			6

Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited)			7

Consolidated Statements of Cash Flows (Unaudited)			8

Notes to the Financial Statements (Unaudited)			9

Cannonau Corp.
Consolidated Balance Sheets


		June 30, 2021			December 31, 2020
		(Unaudited)
Current Assets
Cash and cash equivalents	$	638		$	164
Accounts receivables		5,032			—
Inventory		19,174			19,174
Total current assets		24,844			19,338

TOTAL ASSET		24,844			19,338
Current Liabilities
Accounts payable and accrued liabilities		14,172			17,326
Due to related party		209,522			150,833
Total current liabilities		223,694			168,159

Stockholders' Deficit
Preferred stock authorized 10,000,000 shares, par value $.001, issued and outstanding 0 shares.
Common stock authorized 290,000,000 shares, par value $.001, issued and outstanding 241,377,179		241,377			241,377
Common stock issuable		27,000			27,000
Additional paid-in capital		3,136,382			3,136,382
Accumulated deficit		(3,603,609	)		(3,553,580	)
Total stockholders' deficit		(198,850	)		(148,821	)

Total liabilities and stockholders' deficit	$	24,844		$	19,338

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Cannonau Corp.
Consolidated Statement of Operations
For the six months ended June 30, 2021 and 2020
(Unaudited)


	Three months ended June 30,						Six months ended June 30,
	2021			2020			2021			2020

Revenues	$	5,582		$	—		$	5,612		$	748
Cost of Sales		443			—			508			193
Gross Profit		5,139			—			5,104			555
		—
Operating expenses:
General and administrative		9,877			8,860			24,941			11,128
Compensation		5,654			4,109			21,120			20,260
Professional fees		8,745			—			9,073			3,200
Total operating expenses		24,276			12,969			55,134			34,588

Other expenses (income)					—						—

Net Loss	$	(19,137	)	$	(12,969	)	$	(50,030	)	$	(34,033	)

Net loss per share (basic and diluted)	$	(0.00008	)	$	(0.07097	)		(0.00021	)		(0.18624

Weighted average shares outstanding		241,377,179			182,735			241,377,179			182,735

The accompanying notes are an integral part of these unaudited consolidated financial statements

Cannonau Corp.

Consolidated Statement of Stockholder's Equity

As of June 30, 2021 and 2030

(Unaudited)



	Common Stock				Additional Paid In Capital		Common Stock Issuable		Accumulated Deficit			Total

Balances, December 31, 2019		182,735	$	183		3,361,585	$	27,000	$	(3,467,047	)	$	(78,279	)
Net loss 1st Quarter		—		—		—		—		(21,064	)		(21,064	)
Net loss 2nd Quarter		—		—		—		—		(12,969	)		(12,969	)
Balances June 30, 2020		182,735	$	183	$	3,361,585	$	27,000	$	(3,501,080	)	$	(112,312	)

Balance, December 31, 2020		241,377,179	$	241,377	$	3,136,382	$	27,000	$	(3,553,582	)	$	(148,821	)
Net loss 1st Quarter		—		—		—		—		(30,892	)		(30,892	)
Net loss 2nd Quarter		—		—		—		—		(19,137	)		(19,137	)
Balances June 30, 2021		241,377,179	$	241,377	$	3,136,382	$	27,000	$	(3,603,609	)	$	(198,850	)

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Cannonau Corp.
Consolidated Statement of Cash Flows
For the six months ended June 30, 2021 and 2020
(Unaudited)


		2021			2020
Cash Flows from Operating Activities:
Net loss	$	(50,030	)	$	(34,033	)
Adjustments to reconcile net loss
Changes in operatig assets and liabiities
Accounts receivables		(5,032	)
Inventory		—
Accounts payable and accrued liabilities		(3,154	)		2,070
Net Cash used in Operating Activities		(58,216	)		(31,963	)
Cash flows from investing activities:
Net Cash Provided by (used in) Investing Activities		—			—
Cash Flows From financing Activities:
Proceeds from related party		58,690			38,730
Repurchase of common stock		—			(6,000	)
Cash proceeds from common stocks		—
Net Cash Provided by Financing Activities		58,690			32,730

Increase (decrease) in cash		474			767
Cash, beginning of year		164			70
Cash, end of year	$	638		$	837

Supplemental Disclosures:
Cash paid for interest	$	—		$	—
Cash paid for Taxes	$	—		$	—
Non-Cash financing activities
Shares issued to convert amounts due to related party				$	5,000

The accompanying notes are an integral part of these unaudited consolidated financial statements.

CANNONAU CORP.

Notes to the Consolidated Financial Statements

(Unaudited)

NOTE 1. FORMATION AND BUSINESS OF THE COMPANY

Business Description

Cannonau Corp. (the “Company”) was incorporated under the laws of the State of Nevada on April 3, 2007 as Pacific Blue Energy Corp. On April 5, 2010, the Company acquired a 100% interest of Ship Ahoy LLC, a limited liability company in Arizona, in exchange for $300,000 and 1,000,000 common shares of the Company. This investment was subsequently abandoned by the Company. The Company is currently developing CBD based products. On August 22, 2019, the Company changed its' name to Cannonau Corp. to reflect its' focus on its new CBD based products.

Going Concern

These consolidated financial statements have been prepared on a going concern basis, which implies that the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has generated no revenues to date and has never paid any dividends and is unlikely to pay dividends or generate significant earnings in the immediate or foreseeable future.

As of March 31, 2021, the Company had very little revenues and an accumulated deficit of $3,587,429. The continuation of the Company as a going concern is dependent upon the continued financial support from its shareholders, the ability to raise equity or debt financing, and the attainment of profitable operations from the Company's future business. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern for a period of one year from the issuance of these consolidated financial statements. These consolidated financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

a)Basis of Presentation and Principles of Consolidation

These consolidated financial statements and related notes are presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and are expressed in US dollars. The consolidated financial statements include the accounts of the Company and its wholly owned subsidiary, Ship Ahoy LLC. All intercompany transactions have been eliminated. The Company’s fiscal year-end is December 31.

b)Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to the recoverability of its long-lived assets, stock-based compensation, and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.

CANNONAU CORP.

Notes to the Consolidated Financial Statements

(Unaudited)

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

c)Interim Financial Statement

The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles for interim financial information and pursuant to the applicable rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, the accompanying financial statements contain all adjustments (consisting of normal and recurring accruals) necessary to present fairly all financial statements in accordance with GAAP. The consolidated financial statements herein should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the fiscal year ended December 31, 2020, included in the Company’s Annual Report on Form 10-K. Operating results for the six months ended June 30, 2021, may not necessarily be indicative of results to be expected for any other interim period or for the full year.

d)Cash and Cash Equivalents

The Company considers all highly liquid instruments with maturity of three months or less at the time of issuance to be cash equivalents.

e)Revenue Recognition

During the six months ended June 30, 2021, our revenue recognition policy was in accordance with ASC 605, “Revenue Recognition”, which requires the recognition of sales when there is evidence of a sales agreement, the delivery of goods has occurred, the sales price is fixed or determined, and the collectability of revenue is reasonably assured.

The Company does not have material contract assets or liabilities that fall under the scope of ASC 606.

f)Basic and Diluted Net Loss Per Share

The Company computes net loss per share in accordance with ASC 260, Earnings Per Share, which requires presentation of both basic and diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net loss available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing Diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive.

g)Financial Instruments

ASC 820, “Fair Value Measurements”, requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. It establishes a fair value hierarchy based on the level of independent, objective evidence surrounding the inputs used to measure fair value. A financial instrument’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. It prioritizes the inputs into three levels that may be used to measure fair value:

Level 1- applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities.

Level 2 - applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data.

CANNONAU CORP.

Notes to the Consolidated Financial Statements

(Unaudited)

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Level 3 - applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.

The Company’s financial instruments consist principally of cash, accounts payable, and amounts due to related parties. Pursuant to ASC 820, the fair value of our cash is determined based on “Level 1” inputs, which consist of quoted prices in active markets for identical assets. We believe that the recorded values of all of our other financial instruments approximate their current fair values because of their nature and respective maturity dates or durations.

h)Inventory

Inventories, which are comprised of finished goods, are stated at the lower of cost (based on the first in, first out method) or market. Inventories consist of CBD based products.

i)Reclassification

Certain prior period amounts have been reclassified to conform to current presentation.

NOTE 3. STOHOLDERS’ DEFICIT

There was no stock issuance, nor any transactions affecting outstanding stocks or paid in capital during the six months ending June 30, 2021.

NOTE 4. RELATED PARTY TRANSACTION

During the six months ending June 30,2021 the company received a total of $58,689 from the legal custodian of the company for operating expenses and is treated as advances and short-term loans. As of June 30, 2021, and December 31, 2020, the total accumulated loans and advances were $209,522 and 150,833 respectively.

NOTE 6. COMMITMENTS AND CONTINGENCIES

In response to the COVID-19 pandemic, the Coronavirus Aid, Relief and Economic Security Act (“CARES Act”) was signed into law in March 2020. The CARES Act lifts certain deduction limitations originally imposed by the Tax Cuts and Jobs Act of 2017 (“2017 Tax Act”). Corporate taxpayers may carryback net operating losses (NOLs) originating between 2018 and 2020 for up to five years, which was not previously allowed under the 2017 Tax Act. The CARES Act also eliminates the 80% of taxable income limitations by allowing corporate entities to fully utilize NOL carryforwards to offset taxable income in 2018, 2019 or 2020. Taxpayers may generally deduct interest up to the sum of 50% of adjusted taxable income plus business interest income (30% limit under the 2017 Tax Act) for 2019 and 2020. The CARES Act allows taxpayers with alternative minimum tax credits to claim a refund in 2020 for the entire amount of the credits instead of recovering the credits through refunds over a period of years, as originally enacted by the 2017 Tax Act.

In addition, the CARES Act raises the corporate charitable deduction limit to 25% of taxable income and makes qualified improvement property generally eligible for 15-year cost-recovery and 100% bonus depreciation. The enactment of the CARES Act did not result in any material adjustments to our income tax provision.

NOTE 7. SUBSEQUENT EVENTS

The company has evaluated subsequent events for recognition and disclosure through September 23, 2021 which is the date the financial statements were available to be issued. No other matters were identified affecting the accompanying financial statements and related disclosures.

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

Forward Looking Statements

This section and other parts of this Form 10-Q quarterly report includes "forward-looking statements", that involves risks and uncertainties. All statements other than statements of historical facts, included in this Form 10-Q that address activities, events, or developments that we expect or anticipate will or may occur in the future, including such things as future capital expenditures (including the amount and nature thereof), business strategy and measures to implement strategy, competitive strength, goals, expansion and growth of our business and operations, plans, references to future success, reference to intentions as to future matters, and other such matters are forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential," or "continue," or the negative of such terms or other comparable terminology. These statements are only predictions. Actual events or results may differ materially. These statements are based upon certain assumptions and analyses made by us in light of our experience and our perception of historical trends, current conditions and expected future developments as well as other factors that we believe are appropriate in the circumstances. However, whether actual results and developments will conform to our expectations and predictions is subject to a number of risks, uncertainties, and other factors, many of which are beyond our control.

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. Moreover, we do not assume responsibility for the accuracy and completeness of such forward-looking statements. We are under no duty to update any of the forward-looking statements after the date of this report to conform such statements to actual results.

Overview

Cannonau Corp. (the "Company", "we", or "us") was incorporated under the laws of the State of Nevada on April 3, 2007.

Certain statements contained below are forward-looking statements (rather than historical facts) that are subject to risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements.

Our auditors have issued a going concern opinion in the financial statements for the year ended December 31, 2020.

RESULTS OF OPERATIOMS

Working Capital

	June 30,				December 31,
	2021				2020

Current Assets			$ 24,844				$ 19,338
Current Liabilities			223,694				168,159
Working Capital (Deficit)		$	(198.850	)		$	(148,821	)

Cash Flows

	June 30,			June 30,
	2021			2020

Cash Flows from (used in) Operating Activities		$	(58,216)		$	(31,963)
Cash Flows from (used in) Financing Activities			58,690			32,730
Net Increase (decrease) in Cash During Period		$	474		$	767

Operating Revenues

We have generated revenues of $5,582 for the three months ended June 30, 2021 and $0 for the three months ended June 30, 2020.

We have generated revenues of $5,612 for the six months ended June 30, 2021 and $748 for the six months ended June 30, 2020.

Operating Expenses and Net Loss

Operating expenses for the three months ended June 30, 2021 were $24,276 compared with $12,969 for the three months ended June 30, 2020. Operating expenses for the three months ended June 30, 2021 consisted of general and administrative expenses of $9,877 compared to $8,860 for the three months ended June 30, 2021, compensation expense of $5,654 compared to $4,109 for the three months ended June 30, 2020, and professional fees of $8,745 compared to $0 for the three months ended June 30, 2020.

Operating expenses for the six months ended June 30, 2021 were $55,134 compared with $34,588 for the six months ended June 30, 2020. Operating expenses for the six months ended June 30, 2021 consisted of general and administrative expenses of $24,941 compared to $11,128 for the six months ended June 30, 2020; compensation expense of $21,120 for the six months ended June 30, 2020 compared to $20,260 for the six months ended June 30, 2020; and professional fees of $9,073 for the six months ended June 30, 2021 compared to $3,200 for the six months ended June 30, 2020.

During the three months ended June 30, 2021, the Company recorded a net loss of ($19,137) compared with net loss of $(12,969) for the three months ended June 30, 2020.

During the six months ended June 30, 2021, the Company recorded a net loss of ($50,030) compared with net loss of $(34,033) for the six months ended June 30, 2020.

Liquidity and Capital Resources

As of June 30, 2021, the Company's cash balance was $638 compared to cash balance of $164 at December 31, 2020. As of June 30, 2021, the Company's total assets were $24,844 compared to total assets of $19,338 as at December 31, 2020.

As of June 30, 2021, the Company had total liabilities of $223,694 compared with total liabilities of $168,159 as of December 31, 2020. Liabilities as of June 30, 2021 consisted of accounts payable and accrued liabilities of $14,172 compared to $17,236 as of December 31, 2020;and due to related party of $209,522 compared to $150,833 as of December 31, 2020.

Cashflow from Operating Activities

During the six months ended June 30, 2021 the Company used ($58,216) of cash for operating activities compared to the use of ($31,963) of cash for operating activities during the six months ended June 30, 2020.

Cashflow from Financing Activities

During the six months ended June 30, 2021 the Company received cash from financing activities of $58,690 as compared to $32,730 for the six months ended June 30, 2020.

Subsequent Developments

None.

Going Concern

We have not attained profitable operations and are dependent upon the continued financial support from our shareholders, the ability to raise equity or debt financing, and the attainment of profitable operations from our future business. These factors raise substantial doubt regarding our ability to continue as a going concern.

Off-Balance Sheet Arrangements

We have no significant off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to stockholders.

Future Financing

The Company will consider selling securities in the future to fund operations. There is no assurance that we will achieve any additional sales of the equity securities or arrange for debt or other financing to fund our operations and other activities.

Critical Accounting Policies

Our consolidated financial statements and accompanying notes have been prepared in accordance with United States generally accepted accounting principles applied on a consistent basis. The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods.

We regularly evaluate the accounting policies and estimates that we use to prepare our consolidated financial statements. A complete summary of these policies is included in the notes to our consolidated financial statements. In general, management's estimates are based on historical experience, on information from third party professionals, and on various other assumptions that are believed to be reasonable under the facts and circumstances. Actual results could differ from those estimates made by management.

Recently Issued Accounting Pronouncements

The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

ITEM 3.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market risk is the risk of loss from adverse changes in market prices and rates. The Company's market risk arises primarily from the fact that the area in which we do business is highly competitive and constantly evolving. The market in which we do business is highly competitive and constantly evolving. We face competition from the larger and more established companies, from companies that have greater resources, including but not limited to, more money, and greater ability to expand their markets also cut into our potential customers. Many of our competitors have longer operating histories, significantly greater financial strength, nationwide advertising coverage and other resources that we do not have.

ITEM 4.

CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

Based on their evaluation of our disclosure controls and procedures(as defined in Rule 13a-15e under the Securities Exchange Act of 1934 the "Exchange Act"), our principal executive officer and principal financial officer have concluded that as of the end of the period covered by this quarterly report on Form 10-Q such disclosure controls and procedures were not effective due to the lack of segregation of duties and lack of a formal review process that includes multiple levels of review to ensure that information required to be disclosed by us in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in Securities and Exchange Commission rules and forms because of the identification of a material weakness in our internal control over financial reporting which we view as an integral part of our disclosure controls and procedures. The material weakness relates to the lack of segregation of duties in financial reporting, as our financial reporting and all accounting functions are performed by an external consultant with no oversight by a professional with accounting expertise. Our CEO/CFO does not possess accounting expertise and our company does not have an audit committee. This weakness is due to the company's lack of working capital to hire additional staff. To remedy this material weakness, we intend to engage another accountant to assist with financial reporting as soon as our finances will allow.

Changes in Internal Control over Financial Reporting

Except as noted above, there have been no changes in our internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Exchange Act Rules 13a-15 or 15d-15 that occurred during our first quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

PART II - OTHER INFORMATION

ITEM 1.

LEGAL PROCEEDINGS

None

ITEM 1A.

RISK FACTORS

Not Applicable

ITEM 2.

UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

None

ITEM 3.

DEFAULTS UPON SENIOR SECURITIES.

None

ITEM 4.

MINE SAFETY DISCLOSURE.

Not Applicable

ITEM 5.

OTHER INFORMATION

None

Item 6. EXHIBITS

Exhibit 31.1	Certification of the Principal Executive Officer Pursuant to Rule 13A-14(a) of the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

Exhibit 31.2	Certification of the Principal Financial Officer Pursuant to Rule 13A-14(a) of the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

Exhibit 32.1	Certification of the Principal Executive Officer Pursuant to 18 U.S.C. Section 1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

Exhibit 32.2	Certification of the Principal Financial Officer Pursuant to 18 U.S.C. Section 1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Dated: September 24, 2021		Cannonau Corp.

		By: /s/Carmen J. Carbona
		Carmen J. Carbona, Chief Executive Officer and President


Dated: September 24, 2021		Cannonau Corp.
		By: /s/Carmen J. Carbona
		Carmen J. Carbona, Chief Financial Officer and President