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

                                  FORM  10-QSB

     (Mark  One)

     [ X ] Quarterly report under Section 13 or 15(d) of the Securities Exchange
     Act  of  1934

     For  the  quarterly  period  ended  September  30,  2003

     [    ]  Transition  report  under  Section  13  or  15(d) of the Securities
     Exchange  Act  of  1934

     For  the  transition  period  from  _________  to  _________

     Commission  File  No.  0-27039

                                 PROTEO,  INC.
                 (Name  of  Small  Business  Issuer  in  Its  Charter)

          NEVADA                                      88-0292249
(State  or  Other  Jurisdiction  of                     (IRS  Employer
Incorporation  or  Organization)                 Identification  Number)

                         2775  MESA  VERDE  EAST,  F#101
                        COSTA  MESA,  CALIFORNIA,  92626
              (Address  of  Principal  Executive  Offices)  (Zip  Code)

                              (949)  979-7074
                       (Issuer's  Telephone  Number)

           SECURITIES  REGISTERED  PURSUANT  TO  SECTION  12(B)  OF  THE  ACT:
                                     (None)

           SECURITIES  REGISTERED  PURSUANT  TO  SECTION  12(G)  OF  THE  ACT:
                         Common  Stock,  par  value  $0.001
                                (Title  of  Class)

     Check  whether  the  issuer  (1)  filed all reports required to be filed by
Section  13  or 15(d) of the Exchange Act during the past 12 months (or for such
shorter  period  that the registrant was required to file such reports); and (2)
has  been  subject  to  such  filing  requirements  for  the  past  90  days.

     Yes  [  X  ]    No  [   ]


     Indicate  the number of shares outstanding of each of the issuer's class of
common  stock  as  of  the  latest  practicable  date:

   Title  of  each  class  of  Common Stock   Outstanding as September 30, 2003
   -----------------------------------------  ----------------------------------
   Common  Stock,  $0.001  par  value                  21,667,101

     Transitional  Small  Business  Disclosure  Format  (check  one):

Yes  [   ]  No  [  X  ]

<PAGE>





                                  PROTEO, INC.
                                AND SUBSIDIARIES
                          (A Development Stage Company,
                        Formerly TriVantage Group, Inc.)

                                TABLE OF CONTENTS


PART  I.  FINANCIAL  INFORMATION

Item  1.  Condensed  Consolidated  Financial  Statements:

Unaudited  Condensed  Consolidated  Balance  Sheet  as  of  September  30,  2003

Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss
for  the  Three-month  and Nine-month Periods Ended September 30, 2003 and 2002,
and for the Period From November 22, 2000 (Inception) Through September 30, 2003

Unaudited  Condensed  Consolidated  Statements of Cash Flows for the Three-month
and  Nine-month  Periods  Ended  September 30, 2003 and 2002, and for the Period
From  November  22,  2000  (Inception)  Through  September  30,  2003

Notes  to  Unaudited  Condensed  Consolidated  Financial  Statements

Item  2. Management's Discussion and Analysis of Financial Condition and Results
of  Operations

Item  3.  Controls  and  Procedures

PART  II.  OTHER  INFORMATION

Item  1.  Legal  Proceedings

Item  2.  Changes  in  Securities

Item  3.  Defaults  Upon  Senior  Securities

Item  4.  Submission  of  Matters  to  a  Vote  of  Security  Holders

Item  5.  Other  Information

Item  6.  Exhibits  and  Reports  on  Form  8-K

SIGNATURES



<PAGE>

                          PROTEO, INC. AND SUBSIDIARIES
         (A Development Stage Company, Formerly TriVantage Group, Inc.)
                      CONDENSED CONSOLIDATED BALANCE SHEET
                               September 30, 2003

                                   Unaudited


<TABLE>
<CAPTION>
<S>                                           <C>
                          ASSETS

Current Assets
Cash . . . . . . . . . . . . . . . . . . . .  $   393,239
Inventory. . . . . . . . . . . . . . . . . .       36,076
Prepaid expenses and other current assets. .       40,432
                                              ------------
                                                  469,747

Property and Equipment, net. . . . . . . . .      422,724
                                              ------------

                                              $   892,471
                                              ============

        LIABILITIES AND STOCKHOLDERS' EQUITY

Current Liabilities
Accounts payable and accrued Liabilities . .  $    60,813
Accrued licensing fees . . . . . . . . . . .      319,000
                                              ------------
                                                  379,813

Commitments and Contingencies

Stockholders' Equity
Preferred stock, par value $0.001 per share;
   10,000,000 shares authorized; no shares
   issued and outstanding. . . . . . . . . .           --
Common stock, par value $0.001 per share;
   300,000,000 shares authorized; 21,667,101
   shares issued and outstanding . . . . . .       21,667
Additional paid-in capital . . . . . . . . .    3,653,446
Stock subscriptions receivable . . . . . . .   (1,389,955)
Accumulated other comprehensive income . . .      190,359
Deficit accumulated during development stage   (1,962,859)
                                              ------------
                                                  512,658
                                              ------------

                                              $   892,471
                                              ============
</TABLE>


Page  1     See  accompanying  notes  to  these condensed consolidated financial
statements.

<PAGE>

                          PROTEO, INC. AND SUBSIDIARIES
         (A Development Stage Company, Formerly TriVantage Group, Inc.)
                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                             AND COMPREHENSIVE LOSS
  For the Three-month and Nine-month Periods Ended September 30, 2003 and 2002
And for the Period From November 22, 2000 (Inception) Through September 30, 2003

                                   Unaudited

<TABLE>
<CAPTION>
<S>                            <C>           <C>           <C>         <C>         <C>           <C>           <C>
                                                                                   November
                               Three-Months  Three-Months  Nine-Months Nine-Months 22, 2000 (Inception)
                               Ended         Ended         Ended       Ended       Through
                               September     September     September   September   September
                               30, 2003      30, 2002      30, 2003    30, 2002    30, 2003
                              ------------   -----------   ---------   ----------  ------------
REVENUES. . . . . . . . . . .  $         -   $         -   $           $           $

EXPENSES
General and Administrative. .       74,899       117,788     312,230      880,585    1,683,302
Research and Development,
   net of grants. . . . . . .       13,447        39,951     157,127      133,630      355,173
                              ------------   -----------   ---------   ----------  ------------
                                    88,346       157,739     469,357    1,014,215    2,038,475

INTEREST AND OTHER INCOME . .        1,384         3,657      46,253        9,691       75,616
                              ------------   -----------   ---------   ----------  ------------

NET LOSS (AVAILABLE TO
   COMMON STOCKHOLDERS) . . .      (86,962)     (154,082)   (423,104)  (1,004,524)  (1,962,859)

FOREIGN CURRENCY TRANSLATION
   ADJUSTMENTS. . . . . . . .       11,265        (9,369)     94,795       58,751      190,359
                              ------------   -----------   ---------   ----------  ------------

COMPREHENSIVE LOSS. . . . . .  $   (75,697)  $  (163,451) $ (328,309)  $ (945,773) $(1,772,500)
                              ============   ===========   ==========  =========== ============

BASIC AND DILUTED LOSS
   AVAILABLE TO COMON
   STOCKHOLDERS PER
   COMMON SHARE . . . . . . .  $     (0.00)  $     (0.01) $   (0.02)  $    (0.04)
                              ============   ===========   ==========  ===========

WEIGHTED AVERAGE NUMBER
   OF COMMON SHARES
   OUTSTANDING. . . . . . . .   21,667,000    21,600,000 21,634,000   21,050,000
                              ============   ===========   ==========  ===========
</TABLE>

Page  2     See  accompanying  notes  to  these condensed consolidated financial
statements.

<PAGE>

                          PROTEO, INC. AND SUBSIDIARIES
         (A Development Stage Company, Formerly TriVantage Group, Inc.)
                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
  For Three-month and Nine-month Periods Ended September 30, 2003 and 2002, and
  For the Period From November 22, 2000 (Inception) Through September 30, 2003

                                    Unaudited

<TABLE>
<CAPTION>
<S>                                           <C>          <C>           <C>
                                                                         November
                                                                         22, 2000
                                              Nine-Months  Nine-Months   (Inception)
                                              Ended        Ended         Through
                                              September    September     September
                                              30, 2003     30, 2002      30, 2003
                                              -----------  ------------  ------------

CASH FLOWS FROM OPERATING ACTIVITIES
Net loss . . . . . . . . . . . . . . . . . .  $ (423,104)  $(1,004,524)  $(1,962,859)
Adjustments to reconcile net loss to net
   cash used in operating activities:
Depreciation . . . . . . . . . . . . . . . .      34,557         9,942        54,707
Changes in operating assets and liabilities:
Inventory. . . . . . . . . . . . . . . . . .      (3,465)            -       (36,076)
Prepaid expenses and other current
   assets. . . . . . . . . . . . . . . . . .      43,944        31,921       (36,770)
Accounts payable and accrued
   liabilities . . . . . . . . . . . . . . .    (119,975)       11,222        36,503
Accrued licensing fees . . . . . . . . . . .     109,000        82,500       319,000
                                              -----------  ------------  ------------
Net cash used in operating activities. . . .    (359,043)     (868,939)   (1,625,495)

CASH FLOWS FROM INVESTING
   ACTIVITIES
Acquisition of property and equipment. . . .     (69,181)     (173,621)     (475,913)
Cash of reorganized entity . . . . . . . . .           -             -        27,638
                                              -----------  ------------  ------------
Net cash used in investing activities. . . .     (69,181)     (173,621)     (448,275)

CASH FLOWS FROM FINANCING
   ACTIVITIES
Proceeds from issuance of common stock . . .      40,000             -     1,627,610
Proceeds for subscribed stock. . . . . . . .     237,800       377,872       649,040
                                              -----------  ------------  ------------
Net cash provided by financing activities. .     277,800       377,872     2,276,650

FOREIGN CURRENCY
   TRANSLATION ADJUSTMENT. . . . . . . . . .      94,795        58,751       190,359
                                              -----------  ------------  ------------

NET (DECREASE) INCREASE IN CASH. . . . . . .     (55,629)     (605,937)      393,239

CASH - beginning of period . . . . . . . . .     448,868     1,160,632             -
                                              -----------  ------------  ------------

CASH - end of period . . . . . . . . . . . .  $  393,239   $   554,695   $   393,239
                                              ===========  ============  ============
</TABLE>

Page  3     See  accompanying  notes  to  these condensed consolidated financial
statements.


<PAGE>


                          PROTEO, INC. AND SUBSIDIARIES
         (A Development Stage Company, Formerly TriVantage Group, Inc.)
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2003

1.  NATURE  OF  BUSINESS  AND  BASIS  OF  PRESENTATION

Basis  of  Presentation

The  management of Proteo, Inc. ("Proteo" or the "Company") and its wholly owned
subsidiaries  Proteo  Marketing,  Inc.  and  Proteo  Biotech, AG, without audit,
prepared the condensed consolidated financial statements for the three-month and
nine-month  periods  ended  September  30, 2003 and 2002 and for the period from
November  22,  2000  (Inception)  through September 30, 2003.  Due to the merger
with  Proteo  Marketing,  Inc.,  the reported amounts are those of the surviving
corporation.  The  results of operations of Proteo (formerly known as TriVantage
Group,  Inc.)  previously  filed in prior years are not included herein.  In the
opinion  of  management,  all  adjustments  necessary  to  present  fairly,  in
accordance with accounting principles generally accepted in the United States of
America,  the  Company's  financial  position  as of September 30, 2003, and the
results  of operations and cash flows for the three-month and nine-month periods
ended  September  30,  2003  and  2002 and for the period from November 22, 2000
(Inception)  through  September  30,  2003,  have  been  made.  Such adjustments
consist  only  of  normal  recurring  adjustments.

Certain  note  disclosures  normally included in our annual financial statements
prepared  in  accordance  with  accounting  principles generally accepted in the
United States of America have been condensed or omitted pursuant to instructions
for  Form  10-QSB.  The  accompanying unaudited condensed consolidated financial
statements  should  be read in conjunction with the audited financial statements
and  notes  thereto  which are included in Proteo, Inc.'s Form 10-KSB filed with
the  Securities  and  Exchange  Commission  on  April  15,  2003.

The  results  of  operations  for  the  three-month and nine-month periods ended
September  30, 2003 are not necessarily indicative of the results to be expected
for  the  full  year.

Nature  of  Business

TriVantage Group, Inc. changed its name to Proteo, Inc. on January 11, 2002, and
currently  trades  its  common  stock  on the OTC Bulletin Board of the National
Association  of  Securities  Dealers  under  the  symbol  "PTEO".

Proteo Marketing, Inc. ("PMI") was incorporated in the State of Nevada and began
operations  on  November  22,  2000.  In  December  2000,  PMI  entered  into  a
reorganization  and stock exchange agreement with Proteo Biotech AG, ("PBAG"), a
German corporation, incorporated in Kiel, Germany. As a result, PBAG is a wholly
owned subsidiary of PMI.  On April 25, 2002, PMI completed a reverse merger with
the  Company.

Page  4
<PAGE>


                          PROTEO, INC. AND SUBSIDIARIES
         (A Development Stage Company, Formerly TriVantage Group, Inc.)
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2003

1.  NATURE  OF  BUSINESS  AND  BASIS  OF  PRESENTATION  (continued)

Nature  of  Business  (continued)

The  Company  and  its  subsidiary  intend  to develop, manufacture, promote and
market pharmaceuticals and other biotech products. The Company is focused on the
development  of  pharmaceuticals  based on the human protein Elafin. Elafin is a
human  protein  that  naturally occurs in human skin, lungs, and mammary glands.
The  Company  believes  Elafin  may  be  useful  in  the  treatment  of  cardiac
infarction,  serious injuries caused by accidents, post surgery damage to tissue
and  complications  resulting  from  organ  transplantations.

Since  its inception, the Company has primarily been engaged in the research and
development of its proprietary product Elafin. Once the research and development
phase  is complete, the Company will begin to manufacture and obtain the various
governmental  regulatory  approvals for the marketing of Elafin.  The Company is
in  the development stage and has not generated revenues from any product sales.
The  Company  believes that none of its planned products will produce sufficient
revenues  in  the  near  future.  As a result, the Company plans to identify and
develop  other  potential  products.  There are no assurances, however, that the
Company will be able to produce such products, or if produced, that they will be
accepted  in  the  marketplace.

Development  Stage  and  Going  Concern

The  Company  has  been  in  the  development stage since it began operations on
November  22, 2000, and has not generated any revenues from operations and there
is  no  assurance  of  any  future  revenues.

The  Company will require substantial additional funding for continuing research
and  development, obtaining regulatory approval and for the commercialization of
its  product.  There can be no assurance that the Company will be able to obtain
sufficient  additional funds when needed, or that such funds, if available, will
be  obtainable  on  terms  satisfactory  to  the  Company.

Management  has  taken  action  to  address  these  matters.  They  include:

-     Retention  of  experienced  management personnel with particular skills in
the  commercialization  of  such  products.
-     Attainment  of  technology  to  develop  additional  biotech  products.
-     Raising  additional  funds through the sale of debt and equity securities.


Page  5
<PAGE>


                          PROTEO, INC. AND SUBSIDIARIES
         (A Development Stage Company, Formerly TriVantage Group, Inc.)
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2003

1.  NATURE  OF  BUSINESS  AND  BASIS  OF  PRESENTATION  (continued)

Development  Stage  and  Going  Concern  (continued)

The Company's products, to the extent they may be deemed drugs or biologics, are
governed  by  the  Federal  Food,  Drug and Cosmetics Act and the regulations of
State  and  various  foreign  government  agencies.  The  Company's  proposed
pharmaceutical  products to be used with humans are subject to certain clearance
procedures  administered  by  the  above  regulatory  agencies.  There can be no
assurance  that  the  Company  will receive the regulatory approvals required to
market  its  proposed products elsewhere or that the regulatory authorities will
review  the  product  within  the  average  period  of  time.

Management  plans  to  obtain  revenues  from  product  sales,  but  there is no
commitment  by  any persons for purchase of any of the proposed products. In the
absence  of  significant  sales  and  profits,  the  Company  may  seek to raise
additional funds to meet its working capital requirements through the additional
sales of debt and equity securities. There is no assurance that the Company will
be  able  to obtain sufficient additional funds when needed, or that such funds,
if  available,  will  be  obtainable  on  terms  satisfactory  to  the  Company.

These circumstances, among others, raise concerns about the Company's ability to
continue  as a going concern. The accompanying consolidated financial statements
do  not  include  any  adjustments  that  might  result from the outcome of this
uncertainty.

Recent  Accounting  Pronouncements

Recent accounting pronouncements discussed in the Notes to the December 31, 2002
and  2001 consolidated financial statements filed previously with the Securities
and  Exchange  Commission in Form 10-KSB that were required to be adopted during
the  year  ended  December  31,  2003  did  not have a significant impact on the
Company's  financial  statements.


2.  INVENTORY

Inventory  is  stated  at  the  lower  of  cost (first-in, first-out) or market.
Inventories  are  entirely  comprised  of  research  supplies  and  materials.


Page  6
<PAGE>


                          PROTEO, INC. AND SUBSIDIARIES
         (A Development Stage Company, Formerly TriVantage Group, Inc.)
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2003

3.  STOCK  SUBSCRIPTIONS  RECEIVABLE  AND  OTHER  STOCK  ISSUES

During  the three-month period ended September 30, 2003 and the six-month period
ended  June  30, 2003, the Company received $110,000 and $127,800, respectively,
in  connection  with  stock  subscriptions  receivable.

There  have  been  no  issuances of preferred stock during the nine-month period
ended  September  30,  2003,  nor  have  any  stock  options  been  granted.

In  May  2003,  FIDEsprit AG ("FIDEsprit") assumed the common stock subscription
agreement  with  Euro-American  GmbH,  as  disclosed  in  the  December 31, 2002
financial statements filed with Form 10-KSB.  Management expects the outstanding
balance  to  be  received  in  installments  through  August  2005.

Additionally,  the  Company  entered into a common stock purchase agreement with
FIDEsprit  to  purchase  up  to  1,000,000 shares of the Company's common stock.
Under the agreement, the Company will sell its common stock at a price per share
equal  to  40%  of the average ask price for the 20 trading days previous to the
date  of  subscription,  as  quoted  on a public market.  However, the price per
share  will  be no less than $0.40.  The agreement shall expire upon the earlier
of  the  purchase  of 1,000,000 or December 31, 2004.  The Company issued 66,667
shares at $0.60 per share or $40,000 in cash during the three-month period ended
June  30,  2003.  No  shares  were  issued  during  the three-month period ended
September  30,  2003.


4.  LOSS  PER  SHARE

The  Company computes net loss per common share using SFAS No. 128 "Earnings Per
Share."  Basic  loss  per common share is computed based on the weighted average
number  of shares outstanding for the period. Diluted loss per share is computed
by  dividing  net  loss  by the weighted average shares outstanding assuming all
dilutive  potential  common shares were issued. There were no dilutive potential
common  shares  at  September  30,  2003  and  2002.


Page  7
<PAGE>


                          PROTEO, INC. AND SUBSIDIARIES
         (A Development Stage Company, Formerly TriVantage Group, Inc.)
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                               September 30, 2003

5.  FOREIGN  CURRENCY  TRANSLATION

Assets  and  liabilities  of the Company's German operations are translated into
U.S. dollars at period-end exchange rates; equity transactions are translated at
historical  rates;  and  income  and  expense are translated at weighted average
exchange rates for the period.  Net exchange gains or losses resulting from such
translation  are  excluded  from  net earnings but are included in comprehensive
income  and  accumulated  in  a  separate  component  of  stockholders'  equity.
Accumulated  comprehensive  income  approximated $190,000 at September 30, 2003.


6.  SEGMENTS  OF  AN  ENTERPRISE  AND  RELATED  INFORMATION

The  Company  adopted SFAS No. 131, "Disclosures about Segments of an Enterprise
and  Related Information." SFAS No. 131 establishes standards for the way public
companies  report  information  about segments of their business in their annual
financial statements and requires them to report selected segment information in
their  quarterly  reports  issued  to shareholders. It also requires entity-wide
disclosures  about  the  products  and services an entity provides, the material
countries in which it holds assets and reports revenues and its major customers.
The  Company  considers  itself  to operate in one segment and has not generated
significant revenues since its inception.  All fixed assets are located Germany.


7.  GRANTS

The  German  state of Schleswig-Holstein granted Proteo Biotech AG approximately
790,000  Euros  for the research and development of the Company's pharmaceutical
product  Elafin.  The grant, as amended, covers the period from February 1, 2001
to  January  31,  2004  if certain milestones are reached by November 15 of each
year,  with  a  possible  extension  as  defined  in  the  agreement.

The  grant  has  been  modified  in  April 2003 to cover 47.95% (from 49.99%) of
eligible  research and development costs and is subject to the Company's ability
to cover the remaining 52.05% of the costs. An additional condition of the grant
is  that  the product is to be developed and subsequently produced in the German
state  of  Schleswig-Holstein.

The  Company had qualified to receive approximately 289,000 and 322,000 Euros of
such grant in 2003 and 2002, respectively. Grant funds approximating 180,000 and
221,000  Euros  ($205,000  and  $201,000,  respectively)  have been received and
recorded  as a reduction of research and development expenses for the nine-month
periods  ended  September  30, 2003 and 2002, respectively.  As of September 30,
2003,  management  believes  that  all  milestones  required  by  the grant were
satisfied.


Page 8

<PAGE>

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

CAUTIONARY  STATEMENTS:

This Quarterly Report on Form 10-QSB contains certain forward-looking statements
within  the meaning of Section 27A of the Securities Act of 1933 and Section 21E
of  the  Securities  Exchange  Act  of  1934.  The  Company  intends  that  such
forward-looking  statements  be  subject  to  the  safe  harbors created by such
statutes.  The  forward-looking  statements included herein are based on current
expectations  that  involve a number of risks and uncertainties. Accordingly, to
the  extent  that  this  Quarterly  Report  contains  forward-looking statements
regarding  the financial condition, operating results, business prospects or any
other  aspect  of  the  Company,  please  be  advised  that the Company's actual
financial  condition,  operating  results  and  business  performance may differ
materially  from  that  projected or estimated by the Company in forward-looking
statements. The differences may be caused by a variety of factors, including but
not  limited  to  adverse  economic  conditions,  intense competition, including
intensification  of price competition and entry of new competitors and products,
adverse  federal,  state  and  local  government regulation, inadequate capital,
unexpected  costs  and  operating  deficits,  and  increases  in  general  and
administrative  costs,  and  other specific risks that may be alluded to in this
Quarterly  Report  or  in  other reports issued by the Company. In addition, the
business  and  operations  of  the Company are subject to substantial risks that
increase  the  uncertainty  inherent  in  the  forward-looking  statements.  The
inclusion  of  forward looking statements in this Quarterly Report should not be
regarded  as  a  representation  by  the  Company  or  any other person that the
objectives  or  plans  of  the  Company  will  be  achieved.

The  Company  does  not  currently  generate  any  significant  revenue from its
operations  and  does  not  expect  to  report any significant revenue until the
successful  development  and marketing of  its  planned pharmaceutical and other
biotech  products.  Additionally,  after  the  launch  of the Company's service,
there  can be no assurance that the Company will generate positive cash flow and
there can be no assurances as to the level of  revenues,  if  any,  the  Company
may  actually  achieve  from  its  planned  operations.


Plan  of  Operations

The  Company intends to specialize in the research, development and marketing of
drugs  for inflammatory diseases with Elafin as its first project. The Company's
management  deems  Elafin  to  be  one of the most prospective substances in the
treatment  of  serious  tissue and muscle damage. Independently conducted animal
experiments  have  indicated  that  Elafin may have benefits in the treatment of
tissue  and muscle damage caused by insufficient oxygen supply and therefore may
be  useful in the treatment of heart attacks, serious injuries and in the course
of  organ  transplants.  Other  applications  have  yet  to  be  determined.

The  Company  intends  to implement Elafin as a drug in the treatment of serious
tissue  and  muscle damage, e.g. due to traffic accidents and intends to achieve
governmental  approval  in  Europe first.  Currently, management assumes that it
will take at least five years to achieve first governmental approval for the use

<PAGE>

of  Elafin  as  a drug in the treatment of serious tissue and muscle damage.  In
order  to  conduct  pre-clinical  and  clinical  trials,  the Company must first
complete  the  research  and  development  of an efficient production process in
accordance  with  GMP  (Good  Manufacturing  Practices)  standards.

The  Company's  success  will  depend  on  its  ability  to  implement efficient
production  process  in  accordance with GMP standards, to examine toxicology in
animal experiments, and to prove that Elafin is well tolerated by humans and its
efficiency  in  the  indicated  treatment.  There  can  be no assurance that the
Company  will  be  able  to develop feasible production procedures in accordance
with  GMP  standards,  or that Elafin will receive any governmental approval for
the  use  as  drug  in  any  of  the  intended  applications.

In  collaboration  with  a  non-affiliated  third party company, the Company has
identified  the yeast to be utilized in the production of Elafin and has ordered
the  third  party  to  develop  efficient  clones  of such yeasts.  Further, the
Company  has  optimized  the  yeast  expression  systems  to  increase
efficient  production  of  such  yeasts.  Also, the Company is in the process of
equipping  its  recently  rented  facilities  and  to  scale up its fermentation
facilities  to  be able to produce sufficient amounts of Elafin for its research
and  development. The Company's management intends to have animal experiments on
the  toxicology  as  needed  to  enter governmental approval procedures in 2003.

LIQUIDITY  AND  CAPITAL  RESOURCES

Since Inception, the Company has raised a total of approximately $3,666,000 from
the  sale  of 17,853,179 shares of common stock, of which  5,085,487 shares have
been  sold  at  $0.40  per  share  under  a  stock subscription agreement in the
amount  of  approximately  $2,035,000  .  As  of September 30, 2003, the Company
has  received  approximately  $689,000  related  to  the  stock  subscription
agreement.

Additionally, the Company's wholly owned German subsidiary Proteo Biotech AG has
received  a  grant  from  the  German  State Schleswig-Holstein in the amount of
approximately $850,000 (790,000 Euros). Such grant shall cover 47.95% of related
costs  and expenses  of research and development of the Company's Elafin project
during  the  period  from 2001 to 2004 and will be offset against such costs and
expenses.  The grant  will  depend  on  the Company's ability to cover 52.05% of
such costs and expenses,  and  from  the  achievement  of milestones. During the
nine  months  period  ended  September  30,  2003,  the  Company  has  received
approximately  $205,000  ( 180,000  Euros)  of  the  grant which has been netted
against  the  related  research  and  development  expenses.

The  Company's  cash  was  approximately  $393,000 as of September 30, 2003. The
decrease  compared  to  approximately  $550,000  as  of  September  30,  2002 is
primarily due to research and development expenditures, net of cash received for
grants  and  cash  received  for  subscribed  stock.

The  Management  of  the Company believes that the Company will not generate any
significant  revenues in the next few years, nor will it have sufficient cash to
fund  operations.  As a result, the Company's success will largely depend on its

<PAGE>

ability to secure additional funding through the sale of its Common Stock and/or
the  sale of other debt securities. There can be no assurance, however, that the
Company  will be able to consummate debt or equity financing in a timely manner,
or  on  a  basis  favorable  to  the  Company,  at  all.

CAPITAL  EXPENDITURES

The Company intends to purchase capital equipment over the next twelve months to
meet  the  Company's  research  and  development  requirements.  The  costs  are
estimated  to  total  approximately  $150,000.  Further,  the Company intends to
utilize  third  party  services  in  its  research and development over the next
twelve  months.  Such  costs  are  estimated  to  total  approximately $120,000.

ITEM  3.  CONTROLS  AND  PROCEDURES

Joerg  Alte,  the  Company's  principal  executive  and  financial  officer, has
evaluated  the effectiveness of the Company's disclosure controls and procedures
(as defined in Rule 13a-14(c) under the Securities Exchange Act of 1934) as of a
date  within 90 days of the filing of this report.  Based on that evaluation, he
has concluded that the Company's disclosure controls and procedures are adequate
and  effective. There have been no significant changes in the Company's internal
controls  or  in other factors that could significantly affect internal controls
subsequent  to  the  date  Mr.  Alte  completed  his  evaluation.


Part  II

Item  1  -  Legal  Proceedings

None

Item  2  -  Changes  in  Securities  and  Use  of  Proceeds

None

Item  3  -  Default  upon  Senior  Securities

None

Item  4  -  Submission  of  Matters  to  a  Vote  of  Security  Holders

None

Item  5  -  Other  information

None

Item  6  -  Exhibits  and  Reports  on  Form  8-K

(a)     Exhibits.

31 Certification of Chief Executive Officer and Chief Financial Officer pursuant
to  Section  302  of  the  Sarbanes-Oxley  Act  of  2002.

32 Certification of Chief Executive Officer and Chief Financial Officer pursuant
to  18  U.S.C.  Section  350,  as  adopted  pursuant  to  Section  906  of  the
Sarbanes-Oxley  Act  of  2002.

SIGNATURES

Pursuant  to  the  requirements  of  the  Securities  Exchange  Act of 1934. The
registrant  has  duly  caused  this  Report  to  be  signed on its behalf by the
undersigned,  thereunto  duly  authorized.

                              PROTEO,  INC.

                              By  /s/  Joerg  Alte
                              ----------------------------------
                              Joerg  Alte
                              Chief  Executive  Officer  &  Chief
                              Financial  Officer

Dated:  November 18,  2003