[X]
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QUARTERLY
REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
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[ ]
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TRANSITION
REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
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Florida
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33-0961490
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(State
or Other Jurisdiction of incorporation or organization)
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(IRS Employer I.D. No.)
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TABLE
OF CONTENTS
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Page
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PART
I. FINANCIAL INFORMATION
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Item
1. Financial Statements
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Consolidated
Balance Sheets as of March 31, 2009 (Unaudited) and September
30, 2008
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3 |
Consolidated
Statements of Operations for the three and six
months ended March 31, 2009 and 2008
(Unaudited)
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4 |
Consolidated
Statements of Cash Flows for the six months ended March 31, 2009 and
2008 (Unaudited)
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5 |
Notes
to Consolidated Financial Statements
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6-7 |
Item
2. Management's Discussion and Analysis of Financial Condition and Results
of Operation
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8 |
Item
3. Quantitative and Qualitative Disclosures About Market
Risks
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11 |
Item
4. Evaluation of Controls and Procedures
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11 |
PART
II. OTHER INFORMATION
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Item
1. Legal Proceedings
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13 |
Item
2. Unregistered Sales of Equity Securities and Use of
Proceeds
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13 |
Item
3. Defaults Upon Senior Securities
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13 |
Item
4. Submission of Matters to a Vote of Security Holders
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13 |
Item
5. Other Information
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13 |
Item
6. Exhibits
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13 |
Signatures 14
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March
31,
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September
30,
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|||||||
2009
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2008
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|||||||
ASSETS
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||||||||
CURRENT
ASSETS
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||||||||
Cash
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$
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101,838
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$
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99,087
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||||
Prepaid
financial consulting expenses
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89,014
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207,415
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||||||
Other
Current assets
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6,844
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6,937
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||||||
Total
Current Assets
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197,696
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313,439
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||||||
PROPERTY
AND EQUIPMENT, NET OF ACCUMULATED DEPRECIATION
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4,181,717
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4,259,786
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||||||
Total
Assets
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$
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4,379,413
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$
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4,573,225
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||||
LIABILITIES
AND STOCKHOLDERS’ EQUITY
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||||||||
CURRENT
LIABILITIES
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||||||||
Accounts
payable
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$
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307,579
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$
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427,335
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||||
Due
to affiliated company
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655,118
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447,308
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||||||
Accrued
expenses
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22,167
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41,207
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||||||
Total
Current Liabilities
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984,864
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915,850
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||||||
LONG-TERM
DEBT
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375,040
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374,528
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||||||
STOCKHOLDERS’
EQUITY
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||||||||
Common
Stock, $0.001 par value, 100,000,000 shares Authorized,
20,050,000
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20,050
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20,050
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||||||
shares
issued and outstanding
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||||||||
Additional
paid-in capital
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3,764,900
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3,751,900
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||||||
Accumulated
deficit
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(1,522,079
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)
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(1,261,133
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)
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||||
Accumulated
other comprehensive income
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756,638
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772,030
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||||||
Total
Stockholders’ Equity
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3,019,509
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3,282,847
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||||||
Total
Liabilities and Stockholders' Equity
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$
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4,379,413
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$
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4,573,225
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||||
The
accompanying notes are an integral part of these consolidated financial
statements.
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THREE
MONTHS ENDED
MARCH
31,
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SIX
MONTHS ENDED
MARCH
31,
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|||
2009
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2008
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2009
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2008
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SALES
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$ | - | $ | - | $ | - | $ | - | ||||||||
COSTS
OF GOODS SOLD
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- | - | - | - | ||||||||||||
GROSS
PROFIT
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- | - | - | - | ||||||||||||
COSTS
AND EXPENSES (INCOME):
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||||||||||||||||
General
and administrative expenses
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136,683 | 103,925 | 239,147 | 202,083 | ||||||||||||
Interest
income
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11,112 | - | 21,799 | (35,098 | ) | |||||||||||
TOTAL
COSTS AND EXPENSES (INCOME)
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147,795 | 103,925 | 260,946 | 166,985 | ||||||||||||
NET
LOSS
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$ | (147,795 | ) | $ | (103,925 | ) | $ | (260,946 | ) | $ | (166,985 | ) | ||||
OTHER COMPREHENSIVE INCOME (LOSS) | ||||||||||||||||
Foreign currency translation adjustment | (4,175) | 137,990 | (15,392) | 229,879 | ||||||||||||
COMPREHENSIVE INCOME (LOSS) | $ | (151,970) | $ | 34,065 | $ | (276,338) | $ | 62,894 | ||||||||
BASIC
AND DILUTED EARNINGS PER
COMMON
SHARE
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$ | (0.01 | ) | $ | (0.01 | ) | $ | (0.01 | ) | $ | (0.00 | ) | ||||
WEIGHTED
AVERAGE NUMBER OF
COMMON
SHARES OUTSTANDING
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20,050,000 | 20,050,000 | 20,050,000 | 20,050,000 |
SIX MONTHS
ENDED MARCH 31,
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||||||||
2009
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2008
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|||||||
OPERATING
ACTIVITIES:
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Net
loss
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$
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(260,946
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)
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$
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(166,985
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)
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Adjustments
to reconcile net loss
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||||||||
to
net cash provided by (used in) operating activities:
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||||||||
Depreciation
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64,151
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60,417
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Imputed interest
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13,000
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-
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Changes
in operating assets and liabilities:
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||||||||
Prepaid expenses
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118,685
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117,874
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Other
current assets
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103
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-
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||||||
Accounts
payable
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(120,341
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)
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(237,618
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)
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Accrued
expenses
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(19,096
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)
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(24,971
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)
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NET
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES
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(204,444
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)
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(251,283
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)
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FINANCING ACTIVITIES:
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Loans
from affiliated company
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207,199
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244,250
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NET
CASH PROVIDED BY FINANCING ACTIVITIES
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207,199
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244,250
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||||||
EFFECT
OF EXCHANGE RATE ON CASH
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(1,675
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)
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(2,675
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)
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DECREASE
IN CASH
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1,080
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(9,708
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)
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CASH –
BEGINNING OF PERIOD
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100,758
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114,271
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CASH –
END OF PERIOD
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$
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101,838
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$
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104,563
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Supplemental
disclosures of cash flow information:
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||||||||
Cash
paid during the period for:
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Interest
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$
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15,635
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$
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13,710
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Non-cash
operating activities:
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||||||||
Transfer
accounts payable to affiliated company
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$
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-
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$
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213,678
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The
accompanying notes are an integral part of these consolidated financial
statements.
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Year
ended September 30th
(using current year exchange rates)
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2010
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$
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34,135
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2011
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34,135
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2012
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34,135
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2013
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34,135
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2014
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34,135
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Thereafter
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204,365
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$
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375,040
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31-Mar-09
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30-Sep-08
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Increase
(Decrease)
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Percent
(Decrease)
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|||||||||||||
Cash
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$
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101,838
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$
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99,087
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$
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2,751
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2
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%
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Accounts
Receivable
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$
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-
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$
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-
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$
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-
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||||||||||
Inventories
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$
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-
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$
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-
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$
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-
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||||||||||
Prepaid
expenses
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$
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89,014
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$
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207,415
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$
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(118,401
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)
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-57
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%
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|||||||
Accounts
Payable
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$
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307,579
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$
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427,335
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$
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(119,756
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)
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-28
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%
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|||||||
Due
to Affiliated Company
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$
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655,118
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$
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447,308
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$
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207,810
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46
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%
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31
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Rule
13a-14(a) Certification
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32
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Rule
13a-14(b) Certification
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China
Agro Sciences Corp.
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Date: May
15, 2009
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By: /s/ Zhengquan
Wang
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Zhengquan
Wang, Chief Executive Officer, Chief Financial
Officer
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