**SECURITIES      & EXCHANGE COMMISSION**

**Washington,      D.C.  20549**

**FORM      10-QSB**

**[X]      QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) **

**OF      THE SECURITIES EXCHANGE ACT OF 1934**

**For      the quarterly period ended March 31, 2005**

**[       ] TRANSITIONAL REPORT UNDER SECTION 13 OR 15(d) **

**OF      THE SECURITIES EXCHANGE ACT OF 1934 (No Fee Required)**

**Commission      File No. 000-24551**

**COMPOSITE      SOLUTIONS, INC.**

| **Florida**                                     | **65-0790758**                      |
|-------------------------------------------------|-------------------------------------|
| State                  or other jurisdiction of | I.R.S.                  Employer    |
| incorporation                  or organization  | Identification                  No. |

**7730      Herschel Street, Suite L, La Jolla, CA 92037**

----

**PART        1 - FINANCIAL INFORMATION**

**Item        1. Financial Statements.**

----

| **Composite                  Solutions, Inc. and Subsidiaries** |
|-----------------------------------------------------------------|
| **(A                  Development Stage Company)**              |
| **Consolidated                  Balance Sheets**                |

| **ASSETS** |
|------------|

|                                                                               |   | **As                  of**     |       | **As                  of**         |   |
|------------------------------------------------------------------------------------|--------|--------------------------------|------------|------------------------------------|--------|
|                                                                               |   | **March                  31,** |       | **September                  30,** |   |
|                                                                               |   | **2005**                       |       | **2004**                           |   |
|                                                                               |   | **(Unaudited)**                |       | **(Audited)**                      |   |
| **CURRENT                  ASSETS**                                                |   |                           |       |                               |   |   |   |
| Cash                                                                               |   | $                              | -          |                               | $      | 1,265 |   |
| Costs                  in excess of billing                                        |   |                           |       |                               |   | - |   |
| Prepaid                  expenses                                                  |   |                           | 17,106     |                               |   | 27,152 |   |
|                                                                               |   |                           |       |                               |   |   |   |
| **Total                  Current Assets**                                          |   |                           | 17,106     |                               |   | 28,417 |   |
|                                                                               |   |                           |       |                               |   |   |   |
| **NET                  PROPERTY & EQUIPMENT**                                  |   |                           | -          |                               |   | 1,669 |   |
|                                                                               |   |                           |       |                               |   |   |   |
| **Other                  assets**                                                  |   |                           |       |                               |   |   |   |
| Deposits                                                                           |   |                           | -          |                               |   | 15,075 |   |
| Intagible,                  assets, net                                            |   |                           |       |                               |   | - |   |
| Goodwill                                                                           |   |                           |       |                               |   | - |   |
|                                                                               |   |                           |       |                               |   |   |   |
| **TOTAL                  ASSETS**                                                  |   | $                              | 17,106     |                               | $      | 45,161 |   |
|                                                                               |   |                           |       |                               |   |   |   |
| **CURRENT                  LIABILITIES**                                           |   |                           |       |                               |   |   |   |
| Accounts                  payable                                                  |   | $                              | 461,478    |                               | $      | 386,656 |   |
| Emloyee                  and director payable                                      |   |                           | 637,014    |                               |   | 610,902 |   |
| Related                  party payable                                             |   |                           | 80,000     |                               |   | 80,000 |   |
| Note                  payable                                                      |   |                           | -          |                               |   | - |   |
| Related                  party notes payable                                       |   |                           | 250,409    |                               |   | 233,227 |   |
| Accrued                  expenses                                                  |   |                           | 130,423    |                               |   | 131,523 |   |
| Accrued                  losses on future contracts                                |   |                           | -          |                               |   | - |   |
| Income                  taxes payable                                              |   |                           | 14,521     |                               |   | 14,521 |   |
|                                                                               |   |                           |       |                               |   |   |   |
| **Total                  Current Liabilities**                                     |   |                           | 1,573,846  |                               |   | 1,456,829 |   |
|                                                                               |   |                           |       |                               |   |   |   |
|                                                                               |   |                           |       |                               |   |   |   |
| **TOTAL                  LIABILITIES**                                             |   |                           | 1,573,846  |                               |   | 1,456,829 |   |
|                                                                               |   |                           |       |                               |   |   |   |
| **STOCKHOLDERS'                  EQUITY (DEFICIT)**                                |   |                           |       |                               |   |   |   |
| Preferred                  stock; $ 0.0001 par value; 10,000,000 shares authorized |   |                           |       |                               |   |   |   |
| 0                  shares issued and outstanding                                   |   |                           | -          |                               |   | - |   |
| Common                  stock; $0.0001 par value; 50,000,000 shares authorized     |   |                           |       |                               |   |   |   |
| 23,565,116                  and 23,565,116 shares issued and outstanding as of     |   |                           |       |                               |   |   |   |
| December                  30, 2004 and 2003, respectively                          |   |                           | 2,355      |                               |   | 2,355 |   |
| Additional                  paid in capital                                        |   |                           | 5,742,024  |                               |   | 5,742,024 |   |
| Retained                  earnings (deficit)                                       |   |                           | (7,301,119 | )                                  |   | (7,156,047 | ) |
|                                                                               |   |                           |       |                               |   |   |   |
| **Total                  Stockholders' Equity (Deficit)**                          |   |                           | (1,556,740 | )                                  |   | (1,411,668 | ) |
|                                                                               |   |                           |       |                               |   |   |   |
| **LIABILITES                  & STOCKHOLDERS' EQUITY (DEFICIT)**               |   | $                              | 17,106     |                               | $      | 45,161 |   |

***See        Notes to Financial Statements***

----

| **Composite                  Solutions, Inc. and Subsidiaries** |
|-----------------------------------------------------------------|
| **(A                  Development Stage Company)**              |
| **Consolidated                  Statements of Operation**       |
| **(unaudited)**                                                 |

|                                                                    |   |                                          |        |                                     |   |                                 |   |      |       |  **October                  20,** |   |
|-------------------------------------------------------------------------|--------|-----------------------------------------------|-------------|-----------------------------------------------|--------|--------------------------------------|--------|----------------|------------|----------------------------------------|--------|
|                                                                    |   |                                          |        |                                     |   |                                 |   |      |       |  **1997**                         |   |
|                                                                    |   | **Three**                           |        | **Six**                             |   |  **(Inception)**                |   |
|                                                                    |   | **Months                  Ended**   |        | **Months                  Ended**   |   |  **through**                    |   |
|                                                                    |   | **March                  31,**      |        | **March                  31,**      |   |  **March                  31,** |   |
|                                                                    |   | **2005**                                      |        |  **2004**                                |   | **2005**                             |   |  **2004** |       |  **2004**                         |   |
|                                                                    |   |                                          |        |                                     |   |                                 |   |      |       |                              |   |
| **Revenues**                                                            |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Contract                  revenue                                       |   |                                          | -           |                                          | $      | 268,776                              |   | $              | -          |                                   | $      | 955,946 |   | $ | 1,700,738 |   |
| Materials                                                               |   |                                          | -           |                                          |   | -                                    |   |           | -          |                                   |   | - |   |   | 101,789 |   |
| **Total                  revenue**                                      |   |                                          | -           |                                          |   | 268,776                              |   |           | -          |                                   |   | 955,946 |   |   | 1,802,527 |   |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| **Cost                  of Sales**                                      |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Salaries                  and consulting fees                           |   |                                          | -           |                                          |   | 4,325                                |   |           | -          |                                   |   | 19,925 |   |   | 534,098 |   |
| Consulting                  fees - related party                        |   |                                          | -           |                                          |   | 174,376                              |   |           | -          |                                   |   | 226,541 |   |   | 378,981 |   |
| Materials                                                               |   |                                          | -           |                                          |   | 23,005                               |   |           | -          |                                   |   | 493,474 |   |   | 609,804 |   |
| Cost                  of sales                                          |   |                                          | -           |                                          |   | 201,706                              |   |           | -          |                                   |   | 739,940 |   |   | 1,522,883 |   |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| **GROSS                  PROFIT**                                       |   |                                          | -           |                                          |   | 67,070                               |   |           | -          |                                   |   | 216,006 |   |   | 279,644 |   |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| **Expenses**                                                            |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Consulting                  fees                                        |   |                                          | -           |                                          |   | 12,990                               |   |           | -          |                                   |   | 12,990 |   |   | 994,224 |   |
| Consulting                  fees - related party                        |   |                                          | -           |                                          |   | 123,543                              |   |           | -          |                                   |   | 139,793 |   |   | 1,072,431 |   |
| Depreciation                  and amortization                          |   |                                          | -           |                                          |   | 12,664                               |   |           | -          |                                   |   | 25,294 |   |   | 420,932 |   |
| General                  and administrative expenses                    |   |                                          | 12,770      |                                          |   | 76,364                               |   |           | 32,285     |                                   |   | 103,475 |   |   | 1,573,464 |   |
| Organizational                  expenses                                |   |                                          | -           |                                          |   | -                                    |   |           | -          |                                   |   | - |   |   | 514 |   |
| Professional                  fees - other                              |   |                                          | 1,000       |                                          |   | 42,548                               |   |           | 7,061      |                                   |   | 43,550 |   |   | 437,254 |   |
| Professional                  fees - related party                      |   |                                          | 30,000      |                                          |   | 19,785                               |   |           | 64,327     |                                   |   | 20,165 |   |   | 81,424 |   |
| Salaries                                                                |   |                                          | -           |                                          |   | 287,170                              |   |           | -          |                                   |   | 298,090 |   |   | 1,750,136 |   |
| Provision                  for future contract losses                   |   |                                          | -           |                                          |   | 1,500                                |   |           | -          |                                   |   | 1,500 |   |   | 3,013 |   |
| Impairment                  loss                                        |   |                                          | -           |                                          |   | -                                    |   |           | -          |                                   |   | - |   |   | 1,041,888 |   |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Total                  expenses                                         |   |                                          | 43,770      |                                          |   | 576,564                              |   |           | 103,673    |                                   |   | 644,857 |   |   | 7,375,279 |   |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| **Loss                  from operations**                               |   |                                          | (43,770     | )                                             |   | (509,494                             | )      |           | (103,673   | )                                      |   | (428,851 | ) |   | (7,095,635 | ) |
| **Other                  income (expense)**                             |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Interest                  income                                        |   |                                          | -           |                                          |   | -                                    |   |           | -          |                                   |   | - |   |   | 8,363 |   |
| Interest                  income - forgiveness of debt                  |   |                                          | -           |                                          |   | -                                    |   |           | -          |                                   |   | - |   |   | 63,371 |   |
| Other                  income                                           |   |                                          | -           |                                          |   | 4,033                                |   |           | 975        |                                   |   | 4,033 |   |   | 97,033 |   |
| Gain                  on forgiveness of debt                            |   |                                          | -           |                                          |   | -                                    |   |           | -          |                                   |   | - |   |   | 8,261 |   |
| Other                  expenses                                         |   |                                          | -           |                                          |   | (1,590                               | )      |           | -          |                                   |   | (2,723 | ) |   | (22,319 | ) |
| Loss                  on disposal of asset                              |   |                                          | -           |                                          |   | -                                    |   |           | (759       | )                                      |   | - |   |   | (949 | ) |
| Interest                  expense                                       |   |                                          | (7,286      | )                                             |   | (41,682                              | )      |           | (40,815    | )                                      |   | (43,804 | ) |   | (417,909 | ) |
| Loss                  on forgiveness of debt                            |   |                                          | -           |                                          |   | -                                    |   |           | -          |                                   |   | - |   |   | (11,021 | ) |
| Total                  other income (expense)                           |   |                                          | (7,286      | )                                             |   | (39,239                              | )      |           | (40,599    | )                                      |   | (42,494 | ) |   | (275,170 | ) |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| **Loss                  before provision for income taxes**             |   |                                          | (51,056     | )                                             |   | (548,733                             | )      |           | (144,272   | )                                      |   | (471,345 | ) |   | (7,370,805 | ) |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| **Provision                  for income taxes**                         |   |                                          | -           |                                          |   | 2,400                                |   |           | 800.00     |                                   |   | 4,200 |   |   | 35,609 |   |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| **Loss                  from continuing operations**                    |   |                                          | **(51,056** | **)**                                         | $      | **(551,133**                         | **)**  | $              | (145,072   | )                                      | $      | **(475,545** | **)** | $ | **(7,406,414** | **)** |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| **Discontinued                  operations**                            |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Income                  from discontinued operations (including gain on |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| sale                  of subsidiary in the amount of $ 177,755)         |   |                                          | -           |                                          |   | -                                    |   |           | -          |                                   |   | - |   |   | 105,295 |   |
| **Net                  Loss**                                           |   |                                          | (51,056     | )                                             | $      | (551,133                             | )      | $              | (145,072   | )                                      | $      | (475,545 | ) | $ | (7,301,119 | ) |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Loss                  per common share, basic and diluted               |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Net                  loss from continuing operations                    |   |                                          | (0.00       | )                                             | $      | (0.02                                | )      | $              | (0.01      | )                                      | $      | (0.02 | ) | $ | (0.31 | ) |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Income                  from Discontinued operations                    |   |                                          | -           |                                          | $      | -                                    |   | $              | -          |                                   | $      | - |   | $ | 0.00 |   |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Net                  Loss                                               |   |                                          | (0.00       | )                                             | $      | (0.02                                | )      | $              | (0.01      | )                                      | $      | (0.02 | ) | $ | (0.31 | ) |
|                                                                    |   |                                          |        |                                          |   |                                 |   |           |       |                                   |   |   |   |   |   |   |
| Weighted                  Average number of shares, basic and diluted   |   |                                          | 23,565,116  |                                          |   | 22,695,227                           |   |           | 23,565,116 |                                   |   | 21,670,555 |   |   | - |   |

***See        Notes to Financial Statements***

----

| **COMPOSITE                  SOLUTIONS, INC. AND SUBSIDIARIES**                                        |
|--------------------------------------------------------------------------------------------------------|
| **(A                  Development Stage Company)**                                                     |
| **Consolidated                  Statements of Changes in Stockholders’                  Equity** |

|                                                            |   |       |       |       |   |                          |   | **Deficit**                     |      |                    |   |
|-----------------------------------------------------------------|--------|------------|------------|------------|--------|-------------------------------|--------|---------------------------------|-----------|-------------------------|--------|
|                                                            |   |       |       |       |   |                          |   | **Accumulated**                 |      |                    |   |
|                                                            |   |       |       |       |   | **Additional**                |   | **During                  the** |      | **Total**               |   |
|                                                            |   | **Common** |       | **Common** |   | **Paid                  -In** |   | **Development**                 |      | **Stockholders’** |   |
|                                                            |   | **Shares** |       | **Stock**  |   | **Capital**                   |   | **Stage**                       |      | **Equity**              |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |
| **Balance,                  October 20, 1997 (inception)** |   |       | -          |       | $      | -                             |   | $                               | -         |                    | $      | - |   | $ | - |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued in exchange for            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| services                                                        |   |       | 15,233,910 |       |   | 1,521                         |   |                            | (2,120    | )                       |   | - |   |   | (599 | ) |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued for cash                   |   |       | 5,962,500  |       |   | 599                           |   |                            | 18,335    |                    |   | - |   |   | 18,934 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Net                  loss for year ended September 30, 1998     |   |       |       |       |   |                          |   |                            |      |                    |   | (12,193 | ) |   | (12,193 | ) |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| **Balance,                  September 30, 1998**           |   |       | 21,196,410 |       |   | 2,120                         |   |                            | 16,215    |                    |   | (12,193 | ) |   | 6,142 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock contributed                       |   |       | (7,896,410 | )          |   | (790                          | )      |                            | 790       |                    |   | - |   |   | - |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Pre-acquisition                  income                         |   |       | -          |       |   | -                             |   |                            | -         |                    |   | 47 |   |   | 47 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued in acquisition             |   |       | 1,000,000  |       |   | 100                           |   |                            | 47        |                    |   | (47 | ) |   | 100 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued for payment of             |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| note                  payable                                   |   |       | 200,000    |       |   | 20                            |   |                            | 999,980   |                    |   | - |   |   | 1,000,000 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Net                  loss for year ended September 30, 1999     |   |       |       |       |   |                          |   |                            |      |                    |   | (574,850 | ) |   | (574,850 | ) |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| **Balance,                  September 30, 1999**           |   |       | 14,500,000 |       |   | 1,450                         |   |                            | 1,017,032 |                    |   | (587,043 | ) |   | 431,439 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock surrendered                       |   |       | (4,300,000 | )          |   | (430                          | )      |                            | 430       |                    |   |   |   |   | - |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued for cash                   |   |       | 668,333    |       |   | 67                            |   |                            | 759,933   |                    |   |   |   |   | 760,000 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued in acquisitions            |   |       | 1,103,371  |       |   | 110                           |   |                            | 808,668   |                    |   |   |   |   | 808,778 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued for finder’s fee     |   |       | 100,000    |       |   | 10                            |   |                            | (10       | )                       |   |   |   |   | - |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued in exchange                |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| for                  services                                   |   |       | 300,000    |       |   | 30                            |   |                            | 173,970   |                    |   |   |   |   | 174,000 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Net                  loss for year ended September 30, 2000     |   |       |       |       |   |                          |   |                            |      |                    |   | (1,090,715 | ) |   | (1,090,715 | ) |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| **Balance,                  September 30, 2000**           |   |       | 12,371,704 |       |   | 1,237                         |   |                            | 2,760,023 |                    |   | (1,677,758 | ) |   | 1,083,502 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock surrendered                       |   |       | (150,000   | )          |   | (15                           | )      |                            | (93,735   | )                       |   |   |   |   | (93,750 | ) |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued for cash                   |   |       | 725,000    |       |   | 73                            |   |                            | 244,927   |                    |   |   |   |   | 245,000 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued in exchange for services   |   |       | 1,061,760  |       |   | 106                           |   |                            | 128,227   |                    |   |   |   |   | 128,333 |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Common                  stock issued for finder’s fee     |   |       | 200,000    |       |   | 20                            |   |                            | (20       | )                       |   |   |   |   | - |   |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| Net                  loss for year ended September 30, 2001     |   |       |       |       |   |                          |   |                            |      |                    |   | (1,367,322 | ) |   | (1,367,322 | ) |
|                                                            |   |       |       |       |   |                          |   |                            |      |                    |   |   |   |   |   |   |
| **Balance,                  September 30, 2001**           |   |       | 14,208,464 |       |   | 1,421                         |   |                            | 3,039,422 |                    |   | (3,045,080 | ) |   | (4,237 | ) |

***See          Notes to Financial Statements***

----

| **COMPOSITE                    SOLUTIONS, INC. AND SUBSIDIARIES**                                          |
|------------------------------------------------------------------------------------------------------------|
| **(A                    Development Stage Company)**                                                       |
| **Consolidated                    Statements of Changes in Stockholders’                    Equity** |

|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
|---------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|--------|--------|-----------|--------|--------|------------|--------|--------|------------|--------|
| **Balance,                  September 30, 2001**               |   |   | 14,208,464 |   |   | 1,421  |   |   | 3,039,422 |   |   | (3,045,080 | )      |   | (4,237     | )      |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for cash                       |   |   | 2,339,047  |   |   | 234    |   |   | 227,266   |   |   |       |   |   | 227,500    |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for compensation               |   |   | 1,183,149  |   |   | 118    |   |   | 206,391   |   |   |       |   |   | 206,509    |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued in exchange for services       |   |   | 514,034    |   |   | 51     |   |   | 91,568    |   |   |       |   |   | 91,619     |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for interest due               |   |   | 47,350     |   |   | 5      |   |   | 5,677     |   |   |       |   |   | 5,682      |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Net                  loss for year ended September 30, 2002         |   |   |       |   |   |   |   |   |      |   |   | (1,166,742 | )      |   | (1,166,742 | )      |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| **Balance,                  September 30, 2002**               |   |   | 18,292,044 |   |   | 1,829  |   |   | 3,570,324 |   |   | (4,211,822 | )      |   | (639,669   | )      |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for cash                       |   |   | 2,404,696  |   |   | 240    |   |   | 365,060   |   |   |       |   |   | 365,300    |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued to settle accounts payable     |   |   | 582,024    |   |   | 58     |   |   | 70,325    |   |   |       |   |   | 70,383     |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for services                   |   |   | 400,000    |   |   | 40     |   |   | 58,960    |   |   |       |   |   | 59,000     |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued through exercise of options    |   |   | 71,428     |   |   | 7      |   |   | 4,993     |   |   |       |   |   | 5,000      |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for interest due               |   |   | 90,363     |   |   | 9      |   |   | 14,412    |   |   |       |   |   | 14,421     |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for compensation               |   |   | 50,000     |   |   | 5      |   |   | 8,495     |   |   |       |   |   | 8,500      |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock surrendered                           |   |   | (220,000   | )      |   | (22    | )      |   | 22        |   |   |       |   |   | -          |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Recapitalization                  of accounts payable               |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| and                  accrued wages                                  |   |   | -          |   |   | -      |   |   | 1,028,366 |   |   |       |   |   | 1,028,366  |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Net                  loss for year ended September 30, 2003         |   |   |       |   |   |   |   |   |      |   |   | (897,736   | )      |   | (897,736   | )      |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| **Balance,                  September 30, 2003**               |   |   | 21,670,555 |   |   | 2,166  |   |   | 5,120,957 |   |   | (5,109,558 | )      |   | 13,565     |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for cash                       |   |   |       |   |   |   |   |   |      |   |   |       |   |   | -          |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued to settle accounts payable     |   |   | 377,788    |   |   | 38     |   |   | 108,172   |   |   |       |   |   | 108,210    |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for services                   |   |   | 50,000     |   |   | 5      |   |   | 5,495     |   |   |       |   |   | 5,500      |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued through exercise of options    |   |   | 125,000    |   |   | 13     |   |   | -         |   |   |       |   |   | 13         |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for interest due               |   |   | 9,561      |   |   | 1      |   |   | 955       |   |   |       |   |   | 956        |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for compensation               |   |   | 1,000,000  |   |   | 100    |   |   | 219,900   |   |   |       |   |   | 220,000    |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for past due royalty late fees |   |   | 44,733     |   |   | 4      |   |   | 13,186    |   |   |       |   |   | 13,190     |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Common                  stock issued for new licensing fee          |   |   | 287,479    |   |   | 29     |   |   | 82,571    |   |   |       |   |   | 82,600     |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Warrants                  issued in debt financing                  |   |   | -          |   |   | -      |   |   | 152,044   |   |   |       |   |   | 152,044    |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Warrants                  issued in consulting                      |   |   | -          |   |   | -      |   |   | 38,744    |   |   |       |   |   | 38,744     |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Net                  loss for year ended September 30, 2004         |   |   |       |   |   |   |   |   |      |   |   | (2,046,489 | )      |   | (2,046,489 | )      |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| **Balance,                  September 30, 2004**               |   |   | 23,565,116 |   | $      | 2,355  |   | $      | 5,742,024 |   | $      | (7,156,047 | )      | $      | (1,411,668 | )      |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| Net                  loss for year ended March 31, 2005             |   |   |       |   |   |   |   |   |      |   |   | (145,072   | )      |   | (145,072   | )      |
|                                                                |   |   |       |   |   |   |   |   |      |   |   |       |   |   |       |   |
| **Balance,                  December 31, 2004**                |   |   | 23,565,116 |   | $      | 2,355  |   | $      | 5,742,024 |   | $      | (7,301,119 | )      | $      | (1,556,740 | )      |

***See        Notes to Financial Statements***

----

| **COMPOSITE                  SOLUTIONS, INC. AND SUBSIDIARIES**                        |
|----------------------------------------------------------------------------------------|
| **(A                  Development Stage Company)**                                     |
| **Consolidated                  Statements of Cash Flow                  (unaudited)** |

|   |   |                              |   |                              |   | **October 20,                  1997** |   |
|--------|--------|-----------------------------------|--------|-----------------------------------|--------|--------------------------------------------|--------|
|   |   | **Three**                         |   | **Three**                         |   | **(Inception)**                            |   |
|   |   | **Month                  Period** |   | **Month                  Period** |   | **through**                                |   |
|   |   | **March                  31,**    |   | **March                  31,**    |   | **March                  31,**             |   |
|   |   | **2005**                          |   | **2004**                          |   | **2004**                                   |   |

| **Cash                  flows from operating activities**                                                     |   |   |     |   |   |     |   |   |       |   |
|---------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------|----------|--------|--------|------------|--------|
| Net                  loss                                                                                     |   | $      | (145,072 | )      | $      | (475,545 | )      | $      | (7,301,119 | )      |
| Adjustments                  to reconcile net loss to net cash used in operating                  activities: |   |   |     |   |   |     |   |   |       |   |
| Depreciation                  and amortization                                                                |   |   | -        |   |   | 25,294   |   |   | 420,932    |   |
| Loss                  on disposal of assets                                                                   |   |   | -        |   |   | -        |   |   | 190        |   |
| Amortization                  of discount on notes payable                                                    |   |   |     |   |   | 23,802   |   |   | 23,802     |   |
| Common                  stock issued in exchange for services                                                 |   |   | -        |   |   | -        |   |   | 570,680    |   |
| Common                  stock issued for interest due                                                         |   |   | -        |   |   | 13,691   |   |   | 21,059     |   |
| Common                  stock issued for compensation                                                         |   |   | -        |   |   | 220,000  |   |   | 529,516    |   |
| Warrants                  issued for consulting                                                               |   |   |     |   |   | 38,744   |   |   | 38,744     |   |
| Forgiveness                  of accounts payable                                                              |   |   | -        |   |   | -        |   |   | (48,946    | )      |
| Pre-acquisition                  income                                                                       |   |   | -        |   |   | -        |   |   | 47         |   |
| Loss                  from discontinued operations                                                            |   |   | -        |   |   | -        |   |   | 93,267     |   |
| Gain                  on disposal of subsidiary                                                               |   |   | -        |   |   | -        |   |   | (177,755   | )      |
| Impairment                  loss                                                                              |   |   | -        |   |   | -        |   |   | 1,041,888  |   |
| Provision                  for future contract losses                                                         |   |   | -        |   |   | 1,500    |   |   | -          |   |
| (Increase)                  decrease in operating assets                                                      |   |   | -        |   |   |     |   |   |       |   |
| Accounts                  receivable                                                                          |   |   | -        |   |   | (19,875  | )      |   | -          |   |
| Related                  party receivable                                                                     |   |   | -        |   |   | -        |   |   | -          |   |
| Costs                  in excess of billings                                                                  |   |   | -        |   |   | 4,869    |   |   | -          |   |
| Inventory                                                                                                     |   |   | -        |   |   | -        |   |   | -          |   |
| Prepaid                  expenses and other assets                                                            |   |   | 10,046   |   |   | (24,165  | )      |   | (17,106    | )      |
| Employee                  advances                                                                            |   |   | -        |   |   | -        |   |   | -          |   |
| Deposit                                                                                                       |   |   | 15,075   |   |   | 21       |   |   | -          |   |
| Increase                  (decrease) in operating liabilities                                                 |   |   |     |   |   |     |   |   |       |   |
| Accounts                  payable                                                                             |   |   | 74,823   |   |   | (175     | )      |   | 1,390,317  |   |
| Employee                  and director payable                                                                |   |   | 26,112   |   |   | 55,467   |   |   | 829,992    |   |
| Billings                  in excess of costs                                                                  |   |   | -        |   |   | (37,773  | )      |   | -          |   |
| Related                  party payable                                                                        |   |   | 17,182   |   |   | 21,294   |   |   | 250,561    |   |
| Accrued                  expenses                                                                             |   |   | (1,100   | )      |   | 15,894   |   |   | 212,393    |   |
| Income                  taxes payable                                                                         |   |   | -        |   |   | (8,539   | )      |   | 18,473     |   |
| Net                  cash used in operating activities                                                        |   |   | (2,934   | )      |   | (145,496 | )      |   | (2,103,064 | )      |
|                                                                                                          |   |   |     |   |   |     |   |   |       |   |
| **Cash                  flows from investing activities**                                                     |   |   |     |   |   |     |   |   |       |   |
| Purchase                  of property, plant and equipment                                                    |   |   | 1,669    |   |   | -        |   |   | (29,811    | )      |
| Acquisition                  of intangible assets                                                             |   |   | -        |   |   | (15,264  | )      |   | (650,894   | )      |
| Loans                  made to related party                                                                  |   |   | -        |   |   | -        |   |   | (10,000    | )      |
| Repayments                  of loans to related party                                                         |   |   | -        |   |   | -        |   |   | 10,000     |   |
| Acquisition                  of subsidiary                                                                    |   |   | -        |   |   | -        |   |   | (500,000   | )      |
| Cash                  of discontinued operations                                                              |   |   | -        |   |   | -        |   |   | (19,999    | )      |
| Cash                  of acquired subsidiaries                                                                |   |   | -        |   |   | -        |   |   | 17,261     |   |
| Net                  cash used in investing activities                                                        |   |   | 1,669    |   |   | (15,264  | )      |   | (1,183,443 | )      |

***See          Notes to Financial Statements***

----

| **COMPOSITE                    SOLUTIONS, INC. AND SUBSIDIARIES**                          |
|--------------------------------------------------------------------------------------------|
| **(A                    Development Stage Company)**                                       |
| **Consolidated                    Statements of Cash Flow                    (unaudited)** |

|   |   |                              |   |                              |   | **October 20,                  1997** |   |
|--------|--------|-----------------------------------|--------|-----------------------------------|--------|--------------------------------------------|--------|
|   |   | **Three**                         |   | **Three**                         |   | **(Inception)**                            |   |
|   |   | **Month                  Period** |   | **Month                  Period** |   | **through**                                |   |
|   |   | **March                  31,**    |   | **March                  31,**    |   | **March                  31,**             |   |
|   |   | **2005**                          |   | **2004**                          |   | **2004**                                   |   |

| **Cash                  flows from financing activities**                |   |   |   |   |   |    |   |   |       |   |
|--------------------------------------------------------------------------|--------|--------|--------|--------|--------|---------|--------|--------|------------|--------|
| Increase                  (decrease) in line of credit                   |   |   | -      |   |   | (1,153  | )      |   | -          |   |
| Proceeds                  from notes payable                             |   |   | -      |   |   | -       |   |   | 1,064,500  |   |
| Payment                  of notes payable                                |   |   | -      |   |   | (7,822  | )      |   | (424,253   | )      |
| Proceeds                  from note payable to related parties           |   |   | -      |   |   | 266,000 |   |   | 780,416    |   |
| Payments                  on note payable to related parties             |   |   | -      |   |   | -       |   |   | (247,669   | )      |
| Proceeds                  from convertible debenture                     |   |   | -      |   |   | -       |   |   | 500,000    |   |
| Proceeds                  from issuance of common stock, net             |   |   | -      |   |   | 13      |   |   | 1,613,513  |   |
| Net                  cash provided by financing activities               |   |   | -      |   |   | 257,038 |   |   | 3,286,507  |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Net                  increase (decrease) in cash                         |   |   | (1,265 | )      |   | 96,278  |   |   | (0         | )      |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Cash,                  beginning of year                                 |   |   | 1,265  |   |   | 49,495  |   |   | -          |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| **Cash,                  end of year**                                   |   | $      | 0      |   | $      | 145,773 |   | $      | (0         | )      |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| **Supplementary                  disclosures**                           |   |   |   |   |   |    |   |   |       |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Cash                  paid during year for interest                      |   | $      | -      |   | $      | 17,552  |   | $      | 26,085     |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Cash                  paid during year for taxes                         |   | $      | -      |   | $      | 9,296   |   | $      | 10,728     |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| **Non-cash                  financing and investing activities**         |   |   |   |   |   |    |   |   |       |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Note                  payable paid through issuance of common stock      |   | $      |   |   | $      |    |   | $      | 1,000,000  |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Note                  payable paid through exercise of option            |   | $      |   |   | $      | 5,000   |   | $      | 5,000      |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Investment                  in subsidiary                                |   | $      |   |   | $      |    |   | $      | 796,732    |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Interest                  on note payable                                |   | $      |   |   | $      |    |   | $      | 17,825     |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Forgiveness                  of interest on note payable                 |   | $      |   |   | $      |    |   | $      | (17,825    | )      |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Inter-company                  receivable released in sale of subsidiary |   | $      |   |   | $      |    |   | $      | 22,021     |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Common                  stock acquired in sale of subsidiary             |   | $      |   |   | $      |    |   | $      | (93,750    | )      |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| 8%                  debenture released in sale of subsidiary             |   | $      |   |   | $      |    |   | $      | (500,000   | )      |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Note                  payable released in sale of subsidiary             |   | $      |   |   | $      |    |   | $      | (64,500    | )      |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Accrued                  interest released in sale of subsidiary         |   | $      |   |   | $      |    |   | $      | (28,867    | )      |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Common                  stock issued to settle accounts payable          |   | $      |   |   | $      | 108,210 |   | $      | 70,383     |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Recapitalization                  of accounts payable and accrued wages  |   | $      |   |   | $      | -       |   | $      | (1,028,366 | )      |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Line                  of credit converted into note payable              |   | $      |   |   | $      | 49,752  |   | $      | 49,752     |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Common                  stock issued for intangible assets               |   | $      |   |   | $      | 82,600  |   | $      | 82,600     |   |
|                                                                     |   |   |   |   |   |    |   |   |       |   |
| Warrants                  issued for discount on note payable            |   | $      |   |   | $      | 93,293  |   | $      | 93,293     |   |

***See        Notes to Financial Statements***

----

**COMPOSITE          SOLUTIONS, INC. AND SUBSIDIARIES**

**(A          Development Stage Company)**

**Notes          to Financial Statements**

**As          of March 31, 2005**

**NOTE          1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES **

***The          Company***

**Basis          of Presentation **

**Unaudited          Financial Statements **

**Intangible          Assets **

*Goodwill          and Other Intangible Assets.  *

**Impairment          of Long-lived Assets **

*Impairment          of Long-Lived Assets and Long-Lived Assets to Be Disposed Of.  *

----

**COMPOSITE              SOLUTIONS, INC. AND SUBSIDIARIES**

**(A              Development Stage Company)**

**Notes              to Financial Statements**

**As              of March 31, 2005**

**Revenue          Recognition **

**Use          of Estimates **

**Stock          Based Compensation **

*Accounting          for Stock Issued to Employees *

**Reclassifications          **

**NOTE          2 - EARNINGS PER SHARE **

----

**COMPOSITE            SOLUTIONS, INC. AND SUBSIDIARIES**

**(A            Development Stage Company)**

**Notes            to Financial Statements**

**As            of March 31, 2005**

**NOTE          3 - RELATED PARTY TRANSACTIONS **

**Related          Party Payable, Consulting Fees, Materials, and Professional Fees**

**Notes          Payable **

**Agreements          **

**NOTE          4 - CONCENTRATIONS OF CREDIT RISK **

----

**COMPOSITE            SOLUTIONS, INC. AND SUBSIDIARIES**

**(A            Development Stage Company)**

**Notes            to Financial Statements**

**As            of March 31, 2005**

**NOTE          5 - GOING CONCERN **

**NOTE          6 - Bankruptcy**

----

**Item        2. Management’s Discussion and Analysis**

**General        Overview**

| (1) | Identity                  of the Court: The U.S. Bankruptcy Court for the Southern District                  of                  California. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Date                  of Order:  December                  11, 2006. |
|-----|---------------------------------------------------------------------------|

| (3) | Summary                  of the Plan: This summary highlights only portions of the Plan                  and is not                  a complete description of  the Plan. This summary is qualified in its                  entirety by reference to the full text of the                  Plan. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (4) | Number                  of Shares or Other Units Issued: A total of 1,025,000 common shares                  in the                  Registrant have been issued under the Plan, and the total number                  of common                  shares now issued and outstanding is 1,050,203. No preferred shares                  are                  issued and outstanding. In addition, the Registrant issued 800,000                  "A"                  warrants, 800,000 "B" warrants and 800,000 “C” warrants pursuant to the                  Plan. Each warrant allows the holder to acquire one share of common                  stock.                  No other warrants or options are                  outstanding. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (5) | Assets                  and Liabilities of the Registrant when Plan was Confirmed: At the                  time the                  Plan was confirmed the Registrant had assets of approximately $23,033                  and                  liabilities of approximately                  $1,694,332. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Business        Areas**

**Critical        Accounting Policies and Estimates**

----

**Results        of Operations**

**Stockholders’        Equity**

**Liquidity        and Capital Resources**

**Related        Party Debt Obligations**

|                                               |   | **Relation** |    |    |    |
|----------------------------------------------------|--------|--------------|---------|---------|---------|
| **Employee                  and director payable** |   |         |    |    |    |
| Gilbert                  Hegemier                  |   | Officer      |    | $       | 191,438 |   |
| Anna                  D’Amico                |   | Employee     |    | 14,423  |    |
| Thomas                  Bache                      |   | Employee     |    | 75,272  |    |
| Total                                              |   |         |    | $       | 281,133 |   |
| **Related                  party payable**         |   |         |    |    |    |
| Blanchard,                  Krasner & French   |   | Stockholder  |    | $       | 9,865   |   |
| Smaha                  & Daley                 |   | Stockholder  |  x | 19,223  |    |
| UC                  Regents                        |   | Stockholder  |    | 61,248  |    |
| Jang                  Lee                          |   | Stockholder  |    | 110,816 |    |
| Other                                              |   | Stockholder  |    | 6,368   |    |
| Other                                              |   | Stockholder  |    | 2,300   |    |
| Total                                              |   |         |    | $       | 209,820 |   |

----

| **Accrued                  expenses and related party notes payable** |   |                |   |    |    |
|-----------------------------------------------------------------------|--------|---------------------|--------|---------|---------|
| Loan                  P&I                                         |   | Officer/Stockholder |   | $       | 215,417 |   |
| Loan                  P&I                                         |   | Officer/Stockholder |   | 547,285 |    |
| Loan                  P&I                                         |   | Stockholder         |   | 10,252  |    |
| Loan                  P&I                                         |   | Stockholder         |   | 47,450  |    |
| Loan                  P&I                                         |   | Stockholder         |   | 3,845   |    |
| Total                                                                 |   |                |   | $       | 824,249 |   |

**Management        **

**Cautionary        Statement Regarding Forward-Looking Statements**

**Risks**

**        - **

**-        **

----

**        - **

**        - **

**Part        II**

**Item        1.  Legal Proceedings**

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**Item        6.  Exhibits and Reports on Form 8-K**

**(a)              Exhibits**

| **Exhibit****Number** |   | **Description**                                                                 |
|-----------------------|--------|---------------------------------------------------------------------------------|
| 2.1              |   |  Debtor’s                  Second Amended Plan of Reorganization (5) |
| 3.1                   |   | Articles                  of Incorporation of the Company, as amended(1)        |
| 3.2                   |   | Bylaws                  of the Company, as amended(1)                           |
| 10.1                  |   | License                  Agreement with UCSD (Case No. SD96-040)(2)             |
| 10.2                  |   | Share                  Exchange Agreement(3)                                    |
| 10.3                  |   | Share                  Exchange Agreement with and Acquisition of TSC(4)        |
| 31.1                  |   | Sarbanes-Oxley                  Section 302 Certification                  |
| 32.1                  |   | Sarbanes-Oxley                  Section 906 Certification                  |

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| (1) | Incorporated                  by reference to the referenced document filed as an exhibit to                  the                  Company’s Registration Statement on Form 10SB12G/A, Commission File No.                  000-24551, filed on October 20,                  1998. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Incorporated                  by reference to the referenced document filed as an exhibit to                  the                  Company’s Annual Report on Form 10-KSB, Commission File No. 000-24551,                  filed on January 13, 2000. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Incorporated                  by reference to the referenced document filed as an exhibit to                  the                  Company’s Current Report on Form 8-K, Commission File No. 000-24551, filed                  on July 14, 2000 and August 31,                  2000. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (4) | Incorporated                  by reference to the referenced documents related to the Acquisition                  of TSC                  and filed on Form 8-K, Commission File No. 000-24551, on June 26,                  2000 and July 25, 2000. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  (5) | Incorporated                  by reference to the referenced document filed as an exhibit on                  Form 8-K on                  May 11, 2007 |
|-----------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

**(b).**
**Reports        on Form 8-K.**

**Signatures**

| Date:                  July __, 2007 |                                       |
|--------------------------------------|--------------------------------------------|
|                                 | Composite                  Solutions, Inc. |
|                                 |                                       |
|                                 |                                       |
|                                 | By:                                        | */s/                  Thomas C. Bache* |   |
|                                 |                                       |   |
|                                 |                                       | Thomas                  C. Bache, President & CEO |