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

				  FORM 10-QSB



(X) QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934 FOR THE QUARTERLY PERIOD ENDED September 30, 2006


( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
				ACT OF 1934
	For the transition period from                    to
					-----------------    ------------------

			Commission File Number: 000-50431


			  China Media Group Corporation

			  ----------------------------
		(Exact name of registrant as specified in its charter)

Texas                           5813                         32-0034926
-----                         --------                      ----------
(State or other        (Primary Standard Industrial        (I.R.S. Employer
jurisdiction            Classification Code Number)       Identification No.)
of incorporation
or organization)

	9901 I.H. 10 West, Suite 800, San Antonio, TX         78230
	---------------------------------------------      --------------
(Address of registrant's principal executive offices)       (Zip Code)

				+011 86 755 6165 7704
				---------------------
		(Registrant's Telephone Number, Including Area Code)

Check whether the issuer: (1) filed all reports required to be filed by
Section 13 or 15(d) of the Securities Exchange Act of 1934 during the
preceding 12 months (or for such shorter period that the issuer was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.

                      Yes   [ X ]         No  [   ]
                        -------           -------


State the number of shares outstanding of each of the issuer's classes
of common equity, as of the latest practical date. As of November [3], 2006
there were 345,774,145 no par value common stock of the Company issued and
outstanding.


Indicate by check mark whether the registrant is a shell company (as
defined in Rule 12b-2 of the Exchange Act)

	Yes [  ]  No [X ]

Transitional Small Business Disclosure Format (check one):

	Yes[  ]  No [ X ]





		PART I - CONSOLIDATED FINANCIAL INFORMATION

ITEM 1.  CONSOLIDATED FINANCIAL STATEMENTS

		       CHINA MEDIA GROUP CORPORATION
			CONSOLIDATED BALANCE SHEET
			   SEPTEMBER 30, 2006
				(UNAUDITED)

ASSETS

Current assets:
Cash and cash equivalents			 	$	10,061
Accounts receivables						 9,292
Inventory							 1,250
Prepayments, deposits and other receivables			54,054
							--------------
								74,657
							--------------

Non-current assets:
Property and equipment, net					13,742
Payment for distribution rights			 	       138,000
							--------------
							       151,742
							--------------

   Total assets					   	     $ 226,399
							==============


LIABILITIES AND STOCKHOLDERS' DEFICIT

Current liabilities:
Accrued expenses					$      123,775
Short-term debt					        	67,600
Other payables							29,743
Due to related parties				 	       314,791
							--------------
   Total current liabilities				       535,909
							--------------


Stockholders' deficit:
Common stock, no par value, 85,000,000,000 shares authorized;
345,774,145 shares issued and outstanding		       470,170
Additional paid-in-capital				        80,000
Accumulated deficit					     (859,680)
							--------------
   Total stockholders' deficit			             (309,510)
							--------------


   Total liabilities and stockholders' deficit		     $ 226,399
							==============


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




<table>

<S>	<C>


			   CHINA MEDIA GROUP CORPORATION
			CONSOLDIATED STATEMENTS OF OPERATIONS
	FOR THE THREE MONTH AND NINE MONTH PERIODS ENDED SEPTEMBER 30, 2006 AND 2005
 			    		(UNAUDITED)



			Three Month Periods Ended September 30,		Nine Month Periods Ended September 30,

				2006			2005			2006			2005
			 -------------	  	-------------		--------------   	--------------

Net revenue	 	$     25,046 		$         - 		$     33,613 		$         -

Cost of revenue             (18,511)                      -                 (24,589)                      -
			 -------------	  	-------------		--------------   	--------------

Gross profit	               6,53                       -		       9,024                      -



Selling, general and
administrative expenses      195,626 	             13,498                  524,879 	             64,374
			 -------------	  	-------------		--------------   	--------------

Loss from operations before
other expense
and provision for
income taxes	           (189,091)	            (13,498)	            (515,855)	            (64,374)


Other expense
  Interest expense           (1,690)                 (2,090)                  (5,311)                (5,237)
			 -------------	  	-------------		--------------   	--------------

Net loss		$  (190,781)		$   (15,588)		$   (521,166)		$   (69,611)
			 =============	  	=============		==============   	==============


Weighted average number of shares -
  basic and diluted      345,774,145 		 343,940,812 		  345,223,474 		 343,940,812
			 =============	  	=============		==============   	==============


Loss per share
  - basic and diluted	$     (0.00) $	              (0.00)		$      (0.00)		$     (0.00)
			 =============	  	=============		==============   	==============



*Basic and diluted weighted average number of shares is the same since the effect of diluted securities is
anti-diluted


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






 				CHINA MEDIA GROUP CORPORATION
			   CONSOLIDATED STATEMENTS OF CASH FLOWS
		FOR THE NINE MONTH PERIODS ENDED SEPTEMBER 30, 2006 AND 2005
 					(UNAUDITED)




								2006				2005
						---------------------		---------------------

Cash flows from operating activities:

Net loss					$           (521,166)		$	    (69,611)
Depreciation				                        1,642                             -
						---------------------		---------------------

Adjustments to reconcile net loss to net
  cash used in operating activities:

Services provided as addition to equity                             -                        14,400


Increase in current assets:
 Prepaid expenses			                     (54,054)                             -
 Accounts receivables			                      (9,292)                             -
 Inventory				                      (1,250)				  -


Increase in liabilities:
 Accounts payable and accrued expenses                        122,705 	                      9,500
 Deposit from customer	                              		    -                         5,000
 Due to related parties				              245,859                        12,437
						---------------------		---------------------

Total adjustments			                      303,968                        41,337
						---------------------		---------------------

Net cash used in operating activities	                    (215,556)                       (28,274)
						---------------------		---------------------


Cash flows from investing activities:

Purchase of property and equipment	                     (15,384)                             -

						---------------------		---------------------


Cash flows from financing activities:

Proceeds from issuance of debt		                           - 	                     30,800
Payment of debt				                     (16,000)                             -
Issuance of common stock and warrants	                     250,000                              -
						---------------------		---------------------

Net cash provided by financing activities		     234,000 	                     30,800
						---------------------		---------------------

Net increase in cash and
  cash equivalents			                       3,060                          2,526


Cash and cash equivalents, beginning	                       7,001                            411
						---------------------		---------------------

Cash and cash equivalents, ending		$             10,061 		$             2,937
						=====================		=====================



Supplemental disclosure of cash flow information:

Interest paid					$              3,700		$                -
						=====================		=====================

Income taxes paid				$                  -   		$                -
						=====================		=====================

</table>


Supplemental disclosure of non-cash financing activity:

In March 2006, the Company issued 1,000,000 shares of common stock as an
advance payment for the acquisition of distribution rights for convergent
device.  The 1,000,000 shares of common stock were valued at $138,000 which
was the market value of the Company's stock on the date of issuance.

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










		CHINA MEDIA GROUP CORPORATION
	NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS


NOTE 1  	ORGANIZATIONS AND DESCRIPTION OF BUSINESS

China Media Group Corporation, (formerly International Debt Exchange
Associates, Inc.) (the "Company") is a Texas corporation, incorporated
on October 1, 2002. Prior to April 1, 2006, the Company was a
development stage company. During the three month period ended
June 30, 2006, the Company generated revenue from operations and since
then was no longer a development stage company.

On September 19, 2005, the Company filed a certificate of amendment of articles
of incorporation to change its name to China Media Group Corporation.

In February 2006, the Company established Ren Ren Media Group Limited, a wholly
owned subsidiary in Hong Kong and commenced operations in advertising/media.

The Company is a "Next Generation" advertising/media company focusing on the
Chinese market.


NOTE 2	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES & REALIZATION OF ASSETS

Basis of Presentation

The accompanying unaudited interim financial statements have been prepared
in accordance with accounting principles generally accepted in the United
States of America and the rules of the U.S. Securities and Exchange
Commission, and should be read in conjunction with the audited financial
statements and notes thereto for the year ended December 31, 2005.  They
do not include all information and footnotes required by accounting
principles generally accepted in the United States of America for complete
financial statements.  However, except as disclosed herein, there has been
no material change in the information disclosed in the notes to the
financial statements for the year ended December 31, 2005 included in the
Company Form 10-KSB filed with the Securities and Exchange Commission.
In the opinion of management, all adjustments (consisting of normal
recurring accruals) considered necessary for a fair presentation of
financial position and the results of operations for the interim periods
presented have been included.  Operating results for the interim periods
are not necessarily indicative of the results that may be expected for
the respective full year.

Principles of Consolidation

The accompanying consolidated financial statements include the accounts of
the Company and its wholly owned subsidiary, Ren Ren Media Group Limited.
All material inter-company accounts have been eliminated in consolidation.

Use of estimates

The preparation of consolidated financial statements in conformity with
generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the
date of the consolidated financial statements and the reported amounts
of revenues and expenses during the reporting period. Actual results
could differ from those estimates.

Fair Value of Financial Instruments

Statement of financial accounting standard No. 107, Disclosures about fair
value of financial instruments, requires that the Company disclose
estimated fair values of financial instruments. Unless otherwise indicated,
the fair values of all reported assets and liabilities, which represent
financial instruments, none of which are held for trading purposes,
approximate are carrying values of such amounts.

Accounts payable and accrued expenses

Accounts payable and accrued expenses consist of the following at
September 30, 2006:


Accrued interest			$ 15,149
Accrued salaries			  52,632
Accrued other				  55,994
				   -------------
Total					$123,775
				   =============

Stock-based compensation

FASB Statement No. 123R, "Share-Based Payment, an Amendment of FASB Statement
No. 123" ("FAS No. 123R") requires compensation expense to be recorded in the
statement of operations the grant- date fair value of stock options and other
equity-based compensation issued to employees.

The Company accounts for stock-based compensation issued to non-employees and
consultants in accordance with the provisions of FAS No. 123R and the Emerging
Issues Task Force consensus in Issue No. 96-18 ("EITF 96-18"), "Accounting
for Equity Instruments that are Issued to Other Than Employees for Acquiring
or in Conjunction with Selling, Goods or Services". Valuation of shares for
services is based on the estimated fair market value of the services performed.

Issuance of shares for service

The Company accounts for the issuance of equity instruments to acquire goods
and services based on the fair value of the goods and services or the fair
value of the equity instrument at the time of issuance, whichever is more
reliably measurable.

Revenue Recognition

The Company recognizes its revenue in accordance with the Securities and
Exchange Commissions ("SEC") Staff Accounting Bulletin No. 104, "Revenue
Recognition in Financial Statements" ("SAB 104"). Revenue is recognized
upon shipment, provided that evidence of an arrangement exists, title and
risk of loss have passed to the customer, fees are fixed or determinable
and collection of the related receivable is reasonably assured. Revenue
is recorded net of estimated product returns, which is based upon the
Company's return policy, sales agreements, management estimates of
potential future product returns related to current period revenue,
current economic trends, changes in customer composition and historical
experience.

Foreign Currency Translation

The  accounts of the Company's Hong Kong subsidiary are  maintained in
Hong Kong dollars (HK). Such financial statements are translated into
U.S. Dollars (USD) in accordance with Statement of Financial Accounts
Standards ("SFAS") No. 52, "Foreign Currency Translation," with the HK
as the functional currency. According to the Statement, all assets and
liabilities were translated at the exchange rate on the balance sheet
date, stockholder's equity are translated at the historical rates and
statement of operations items are translated at the weighted average
exchange rate for the year. The resulting translation adjustments are
reported under other comprehensive income in accordance with SFAS
No. 130, "Reporting Comprehensive Income". As of September 30, 2006
and for the three month and nine month periods ended September 30, 2006,
such differences were immaterial.

Recent Pronouncements

In February 2006, FASB issued SFAS No. 155, "Accounting for Certain
Hybrid Financial Instruments". SFAS No. 155 amends SFAS No 133,
"Accounting for Derivative Instruments and Hedging Activities", and
SFAS No. 140, "Accounting for Transfers and Servicing of Financial
Assets and Extinguishments of Liabilities".  SFAS No. 155, permits
fair value remeasurement for any hybrid financial instrument that
contains an embedded derivative that otherwise would require
bifurcation, clarifies which interest-only strips and principal-only
strips are not subject to the requirements of SFAS No. 133, establishes
a requirement to evaluate interest in securitized financial assets to
identify interests that are freestanding derivatives or that are hybrid
financial instruments that contain an embedded derivative requiring
bifurcation, clarifies that concentrations of credit risk in the form
of subordination are not embedded derivatives, and amends SFAS No. 140
to eliminate the prohibition on the qualifying special-purpose entity
from holding a derivative financial instrument that pertains to a
beneficial interest other than another derivative financial instrument.
This statement is effective for all financial instruments acquired or
issued after the beginning of the Company's first fiscal year that
begins after September 15, 2006.  SFAS No. 155 is not expected to
have a material effect on the consolidated financial position or
results of operations of the Company.

In March 2006 FASB issued SFAS 156 'Accounting for Servicing of
Financial Assets' this Statement amends FASB Statement No. 140,
Accounting for Transfers and Servicing of Financial Assets and
Extinguishments of Liabilities, with respect to the accounting for
separately recognized servicing assets and servicing liabilities.
This Statement:

1.	Requires an entity to recognize a servicing asset or servicing
liability each time it undertakes an obligation to service a financial
asset by entering into a servicing contract.
2.	Requires all separately recognized servicing assets and
servicing liabilities to be initially measured at fair value, if
practicable.
3.	Permits an entity to choose 'Amortization method' or 'Fair
value measurement method' for each class of separately recognized
servicing assets and servicing liabilities.
4.	At its initial adoption, permits a one-time reclassification
of available-for-sale securities to trading securities by entities
with recognized servicing rights, without calling into question the
treatment of other available-for-sale securities under Statement 115,
provided that the available-for-sale securities are identified in
some manner as offsetting the entity's exposure to changes in fair
value of servicing assets or servicing liabilities that a servicer
elects to subsequently measure at fair value.
5.	Requires separate presentation of servicing assets and
servicing liabilities subsequently measured at fair value in the
statement of financial position and additional disclosures for all
separately recognized servicing assets and servicing liabilities.

This Statement is effective as of the beginning of the Company's
first fiscal year that begins after September 15, 2006. Management
believes that this statement will not have a significant impact on
the consolidated financial statements.

In September 2006, FASB issued SFAS 157 'Fair Value Measurements'.
This Statement defines fair value, establishes a framework for
measuring fair value in generally accepted accounting principles
(GAAP), and expands disclosures about fair value measurements.
This Statement applies under other accounting pronouncements that
require or permit fair value measurements, the Board having
previously concluded in those accounting pronouncements that fair
value is the relevant measurement attribute. Accordingly, this
Statement does not require any new fair value measurements.
However, for some entities, the application of this Statement
will change current practice. This Statement is effective for
financial statements issued for fiscal years beginning after
November 15, 2007, and interim periods within those fiscal years.
The management is currently evaluating the effect of this
pronouncement on financial statements.

In September 2006, FASB issued SFAS 158 'Employers' Accounting
for Defined Benefit Pension and Other Postretirement Plans - an
amendment of FASB Statements No. 87, 88, 106, and 132(R)' This
Statement improves financial reporting by requiring an employer
to recognize the overfunded or underfunded status of a defined
benefit postretirement plan (other than a multiemployer plan)
as an asset or liability in its statement of financial position
and to recognize changes in that funded status in the year in
which the changes occur through comprehensive income of a
business entity or changes in unrestricted net assets of a
not-for-profit organization. This Statement also improves
financial reporting by requiring an employer to measure the
funded status of a plan as of the date of its year-end
statement of financial position, with limited exceptions.
An employer with publicly traded equity securities is required
to initially recognize the funded status of a defined benefit
postretirement plan and to provide the required disclosures
as of the end of the fiscal year ending after December 15,
2006. An employer without publicly traded equity securities
is required to recognize the funded status of a defined benefit
postretirement plan and to provide the required disclosures as
of the end of the fiscal year ending after June 15, 2007.
However, an employer without publicly traded equity securities
is required to disclose the following information in the notes
to financial statements for a fiscal year ending after December
15, 2006, but before June 16, 2007, unless it has applied the
recognition provisions of this Statement in preparing those
financial statements. The requirement to measure plan assets
and benefit obligations as of the date of the employer's fiscal
year-end statement of financial position is effective for fiscal
years ending after December 15, 2008. The management is
currently evaluating the effect of this pronouncement on
financial statements.

Reclassifications

Certain comparative amounts have been reclassified to conform with
the current year's presentation.

NOTE 3	UNCERTAINTY OF ABILITY TO CONTINUE AS A GOING CONCERN

The Company's consolidated financial statements are prepared using
the generally accepted accounting principles applicable to a going
concern, which contemplates the realization of assets and liquidation
of liabilities in the normal course of business.  As of September 30,
2006, the Company has incurred an accumulated deficit totaling
$859,680 and its current liabilities exceed its current assets by
$461,252.

In view of the matters described above, recoverability of a major
portion of the recorded asset amounts shown in the accompanying
balance sheets is dependent upon continued operations of the
Company, which in turn is dependent upon the Company's ability to
raise additional capital, obtain financing and to succeed in its
future operations.  The consolidated financial statements do not
include any adjustments relating to the recoverability and
classification of recorded asset amounts or amounts and
classification of liabilities that might be necessary should the
Company be unable to continue as a going concern.

Management has taken the following steps to revise its operating
and financial requirements, which it believes are sufficient to
provide the Company with the ability to continue as a going concern.
The Company is actively pursuing additional funding and potential
merger or acquisition candidates and strategic partners, which would
enhance stockholders' investment. Management believes that the above
actions will allow the Company to continue operations through the
next fiscal year.  However there can be no assurances that sufficient
financing will be available on terms acceptable to the Company or
at all.

NOTE 4	STOCKHOLDERS' EQUITY

On February 2, 2005, the Company announced 5,000 for 1 stock split
of the Company's issued and outstanding common stock which effectuated
through a dividend of common stock outstanding as of record date.

In February 2005, the Company also changed the common stock from a
par value per share of $.001 to no par value.

On September 14, 2005, the Company announced a 45 for 1 reverse
stock split of the Company's issued common stock.

In January 2006, the Company issued 1,000,000 shares of common
stock valued at $138,000 as an advance payment for the acquisition
of distribution rights for convergent device. The shares were valued
at the market price on the date of issuance.

In February 2006, the Company sold 833,333 shares of common stock
and 1,666,666 warrants for $250,000, each warrant can subscribe
1 common stock exercisable at $0.30 per share for one year after
the earlier of (i) one year from the date of the initial subscription
or (ii) the date of the completion of the entire stock sold under
the Stock Purchase Agreement. The Company recorded the fair value
of the warrants as additional paid in capital. The fair value of
these warrants was estimated at grant date using a Black-Scholes
option pricing model with the following weighted average
assumptions: risk free interest rate of 4.30%; dividend yield
of 0%; expected weighted average option life of 1 year; and
volatility of 130%.

All fractional shares are rounded up and the authorized shares
remain the same. The consolidated financial statements have been
retroactively restated for the effects of the above stock splits.

NOTE 5	DUE TO DIRECTORS

The due to directors are interests free, unsecured and due on
demand. The balance of due to directors is $314,791 as of
September 30, 2006.

NOTE 6	RELATED COMPANY TRANSACTIONS

During the three month period ended September 30, 2005, the
Company recorded interest of $2,090 on a note payable due to the
former officers of the Company. During the three month period
ended December 31, 2005, the note payable were transfer to third
parties. The interest payable is included in the accrued expense
in the accompanying consolidated financial statements.

During three month period ended September 30, 2005, an officer
of the Company provided office space to the Company at $1,400 per
month on a month-to-month basis, totaling $4,200, of which,
$4,200 was recorded as contribution to capital.

There were no transactions with related parties for the three
month and nine month periods ended September 30, 2006.

The Company agreed to pay directors a monthly salary for
services performed.  During the three month periods ended
September 30, 2006 and 2005, the Company paid the directors a
total remuneration of $54,000 and $3,000, respectively, of which
$nil and $3,000, respectively, was recorded as contribution to
capital. During the nine month periods ended September 30,
2006 and 2005, the Company paid the directors a total remuneration
of $162,000 and $9,000, respectively, of which $nil and $9,000,
respectively, was recorded as contribution to capital.


NOTE 7	STOCK PURCHASE AGREEMENTS

a) On October 12 2005, the Company entered into two non-binding
Stock Purchase Agreements with Central High Limited ("Central High")

1)	for the entire issued share capital of Good World Investments
Limited for 50 million new common stock of the Company, subject to
satisfactory completion of legal, financial and operational due
diligence. Good World Investments Limited holds 50% interests in
Beijing Ren Ren Health Culture Promotion Limited;

2)	for 50,000,000 shares in Cody Ventures Corporation ("CVC")
representing about 52.1% of the issued share capital in CVC in
exchange for 30 million new common stock of the Company, subject to
satisfactory completion of legal, financial and operational due
diligence.  CVC is quoted on the US Pink Sheets Market under the
symbol CDYV.

Both directors, Messrs Con Unerkov and Alex Ho own 25% each in the
issued share capital of Central High.  The stock purchase transaction
in respect of Good World Investments Limited has not been completed
as of September 30, 2006.  In July 2006, the agreement to purchase
CVC was terminated.

b) On February 1, 2006, the Company entered into a non-binding Stock
Purchase Agreement with Dongguang Zhishixin Advertising Limited
("Zhishixin") for the controlling interests in Zhishixin ("Stock
Purchase Agreement").  Under the Stock Purchase Agreement the Company
will subscribe about $68,500 (RMB550,000) of registered capital,
representing about 52.3% of the enlarged capital, in Zhishixin.
This Agreement is conditional on satisfactory completion of the
legal, financial and operational due diligence by the Company.
In September 2006, the Stock Purchase Agreement with Dongguang
Zhishixin Advertising Limited was terminated.


NOTE 8          COMMITMENTS AND CONTINGENCIES

The Company has employment agreements with the Chairman and Director
(the "Executives") for two years commencing on October 1, 2005 and the
agreements shall continue thereafter unless terminated by either parties.
The Executives will receive a monthly salary at a rate to be agreed by
the Company and the Executives from time to time. In addition, the Executives
will receive an annual management bonus to be determined by the majority of
the Board based on the operating results of the Company and the Executives'
performances, provided that it does not exceed 8.8 % of the net profit of
the Company

On or about February 6, 2006, the Company received a correspondence from the
Florida Attorney General's office regarding some complaints on some
transmissions of unsolicited facsimile allegedly from the Company, and advised
of potential civil penalties.  The Company's legal council contacted the
Attorney General office to state that the Company has never sent or authorized
any unsolicited facsimile transmission, and that the Company has taken every
possible effort to distance from these unauthorized transmissions including
adding a "pop up" window on its website.  The Company has offered its
assistance in any investigation to the Attorney General office.  The Attorney
General office has not imposed any penalties on the Company to date. The
Company would vigorously defend any such civic action if pursued.

On January 25, 2006, the Company entered into an agreement with Fleming Assets
Limited ("Fleming") to acquire the distribution rights for the M.A.G.I.C.
Convergent Communications Device for the territory of China and Hong Kong.
Under the agreement the Company will issue the following shares to Fleming:
*	Within one month of signing the agreement, one million shares of the
Company;
*	Within one month of receiving the prototype devices, one million
shares of the Company;
*	Within one month of receiving the product from commercial production,
two million shares of the Company; and
*	A royalty payment of 100,000 shares of the Company for every 5,000
devices sold for the next 3 years.

In March 2006, the Company issued one million shares in accordance with the
agreement and no other shares have been issued to Fleming as at
September 30, 2006.

On March 1, 2006 the Company entered into an agreement with Dolphine
Investments Inc., (DII) whereby DII will assist the Company in procuring R&D
funding, developing resource pool for engineering expertise and liaising and
building relationship with customers to achieve business and sales target.

According to the terms of the agreement the Company will pay $10,500 per
month as consulting fees for the period of 12 months from the date of the
agreement.


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


FORWARD LOOKING STATEMENTS

THIS FOLLOWING INFORMATION SPECIFIES CERTAIN FORWARD-LOOKING STATEMENTS OF
MANAGEMENT OF THE COMPANY. FORWARD-LOOKING STATEMENTS ARE STATEMENTS THAT
ESTIMATE THE HAPPENING OF FUTURE EVENTS AND ARE NOT BASED ON HISTORICAL FACT.
FORWARD-LOOKING STATEMENTS MAY BE IDENTIFIED BY THE USE OF FORWARD-LOOKING
TERMINOLOGY, SUCH AS "MAY", "SHALL", "COULD", "EXPECT", "ESTIMATE",
"ANTICIPATE", "PREDICT", "PROBABLE", "POSSIBLE", "SHOULD", "CONTINUE",
OR SIMILAR TERMS, VARIATIONS OF THOSE TERMS OR THE NEGATIVE OF THOSE TERMS.
THE FORWARD-LOOKING STATEMENTS SPECIFIED IN THE FOLLOWING INFORMATION HAVE
BEEN COMPILED BY OUR MANAGEMENT ON THE BASIS OF ASSUMPTIONS MADE BY
MANAGEMENT AND CONSIDERED BY MANAGEMENT TO BE REASONABLE. OUR FUTURE
OPERATING RESULTS, HOWEVER, ARE IMPOSSIBLE TO PREDICT AND NO REPRESENTATION,
GUARANTY, OR WARRANTY IS TO BE INFERRED FROM THOSE FORWARD-LOOKING
STATEMENTS.

THE ASSUMPTIONS USED FOR PURPOSES OF THE FORWARD-LOOKING STATEMENTS
SPECIFIED IN THE FOLLOWING INFORMATION REPRESENT ESTIMATES OF FUTURE
EVENTS AND ARE SUBJECT TO UNCERTAINTY AS TO POSSIBLE CHANGES IN ECONOMIC,
LEGISLATIVE, INDUSTRY, AND OTHER CIRCUMSTANCES. AS A RESULT, THE
IDENTIFICATION AND INTERPRETATION OF DATA AND OTHER INFORMATION AND THEIR
USE IN DEVELOPING AND SELECTING ASSUMPTIONS FROM AND AMONG REASONABLE
ALTERNATIVES REQUIRE THE EXERCISE OF JUDGMENT. TO THE EXTENT THAT THE
ASSUMED EVENTS DO NOT OCCUR, THE OUTCOME MAY VARY SUBSTANTIALLY FROM
ANTICIPATED OR PROJECTED RESULTS, AND, ACCORDINGLY, NO OPINION IS
EXPRESSED ON THE ACHIEVABILITY OF THOSE FORWARD-LOOKING STATEMENTS. WE
CANNOT GUARANTY THAT ANY OF THE ASSUMPTIONS RELATING TO THE
FORWARD-LOOKING STATEMENTS SPECIFIED IN THE FOLLOWING INFORMATION ARE
ACCURATE, AND WE ASSUME NO OBLIGATION TO UPDATE ANY SUCH
FORWARD-LOOKING STATEMENTS.


CRITICAL ACCOUNTING POLICY AND ESTIMATES.

Our Management's Discussion and Analysis of Consolidated Financial Condition
and Results of Operations section discusses our consolidated financial
statements, which have been prepared in accordance with accounting principles
generally accepted in the United States of America. The preparation of these
consolidated financial statements requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities at the
date of the consolidated financial statements and the reported amounts of
revenues and expenses during the reporting period. On an on-going basis,
management evaluates its estimates and judgments, including those related to
revenue recognition, accrued expenses, financing operations, and contingencies
and litigation. Management bases its estimates and judgments on historical
experience and on various other factors that are believed to be reasonable
under the circumstances, the results of which form the basis for making
judgments about the carrying value of assets and liabilities that are not
readily apparent from other sources. Actual results may differ from
these estimates under different assumptions or conditions. The most
significant accounting estimates inherent in the preparation of our
consolidated financial statements include estimates as to the
appropriate carrying value of certain assets and liabilities which are
not readily apparent from other sources. These accounting policies are
described at relevant sections in this discussion and analysis and in the
notes to the consolidated financial statements included in our Quarterly
Report on Form 10-QSB for the period ended September 30, 2006.


OVERVIEW

The Company was incorporated in Texas on October 1, 2002 and was originally
formed to be a frozen drink machine rental service. It was intended to
specialize in renting frozen drink machines for gatherings such as wedding
receptions, birthday parties, football parties, anniversaries, family reunions,
weekend barbeques, social functions and fund raising events, as well as any
other type of occasion.  From the beginning, this business was at the first
stage of development and the primary focus was on continuing to developing
and revising our business strategies.

In 2005, the Company changed its name to International Debt Exchange
Associates Inc. reflecting the Company's then intent to become a diverse
company through mergers and acquisitions and to still maintain business as
a frozen drink machine rental service.

In September 2005, the Company changed its board of directors and has since
changed the Company name to China Media Group Corporation to reflect the
Company's intent to focus all its efforts in advertising and media in the
emerging China market.  Under new management, the Company commenced to
position the Company to capitalize on the growth of the Chinese advertising
market where global companies are rushing into China to try to grab and hold
the attention of its 1.3 billion citizens.  It is estimated that advertising
expenditure in China will surpass those in Japan by 2010, making China the
second largest advertising market in the world after the USA.

Our mission is to become one of China's leading new age media companies
through the use of new technologies and devices combined with traditional
media of TV, Newspapers, Magazines, Billboards and Internet to reach today's
mobile society.  In order to facilitate this mission the Company established
4 strategic business units: "Television", "Advertising" "Print" and
"Telecommunications and Mobile Computing".

No acquisitions have been completed as of this report, but a number of letters
of intent and non-binding acquisition agreements have been made by the Company
as announced in the period.   In summary, the update of some of the events
are as follows:

Non-binding Acquisition Agreements
Strategically we have signed a non binding Sale and Purchase Agreement to
acquire the entire issued share capital of Good World Investments Limited
which owns 50% of Beijing Ren Ren Health Culture Promotion Company Limited.
The Company is expected to commence the audit of Beijing Ren Ren shortly and
is working out certain arrangements on the audit.  We anticipate to finalize
the negotiations for the acquisition for Good World in early 2007.

We also had a non-binding Sales and Purchase Agreement to acquire a
controlling interests in Cody Ventures Corporation. The Company had on-going
discussions on the business of Cody with its business owners and expected to
enter into the due diligence after completion of the initial discussions.
However, the Company has determined not to complete the proposed transaction
and terminated the Agreement.

As announced on or about February 2, 2006 the Company entered into a Stock
Purchase Agreement to acquire the controlling interests in DongGuan Zhishixin
Advertising Limited.  The Company has determined not to complete the proposed
transaction and have terminated the Agreement.

Advertising Unit
On or about December 5, 2005, the Company announced that it has been
appointed as the advertising agent for Beijing Ren Ren Health Culture
Promotion Co. Limited.  As further announced later, Beijing Ren Ren had
obtained approval for over 600 sign ad placements of which about 90 location
placements have been approved in Chao Yuan District in Beijing.   Beijing Ren
Ren has initially provided about 12 ad placements in the Chao Yuan District
for the Company to sell advertising in June 2006.   No advertising revenue
has been generated yet from these signs.

Furthermore on or about December 7, 2005 the Company entered into a cooperation
agreement with Harbin Shendong Advertising Co. Limited on developing adverting
revenue in Harbin, which then progressed to discussions on acquisition of
9 signs from Harbin Shengdong.  The Company is having on going discussion with
Harbin Shendong on the acquisition of the 9 signs.  No revenue has been
generated yet from these signs.

On or about December 9, 2005 the Company entered into a cooperation agreement
with DreamWorks Movie & TV Culture Media Co. Limited on developing the
advertising market for Changsha.  We are working with DreamWorks to secure
customers to advertise in Changsha, but at the date of this report no revenue
has been generated yet.

On or about December 12, 2005 the Company entered into a cooperation agreement
with Dalian Goal Media Limited to allow us to tap into existing target market
of Dalian.  We are working with Dalian Goal Media to secure customers to
advertise in their print magazine, but at the date of this report no revenue
has been generated yet.

On or about February 6, 2006 the Company entered into a cooperation agreement
with Nanjing Jingcai Advertising Co. Limited to develop advertising and health
awareness advertising in Nanjing.  No further update from the last report to
the date of this report and, at the date of this report no revenue has been
generated yet.

On or about April 27, 2006 the Company announced being appointed as the
overseas advertising agent for the 2006 Zhuhai Airshow.  We are selling the
advertising ad space for the upcoming airshow to be held from October 31 to
November 5 2006, but at the date of this report no revenue has been generated.

Telecommunications Unit
On or about January 23, 2006, the Company announced the establishment of the
Telecommunications and Mobile Computing Division to focus on the new media
advertising where we would take advantage of new convergent devices for
telecommunications advertising.  The Company has appointed Mr. Paul Scanlan
to head this unit.   The business of selling advertising through
telecommunications media and devices is still at an early stage as we are
developing strategies to effectively enter the market.   No revenue has been
generated from advertising through telecommunications media and devices at
the date of this report.

As announced on or about January 25, 2006 the Company entered into a
distribution agreement for the territory of China and Hong Kong for the
M.A.G.I.C. Convergent Device.  The Company has acquired the rights to
M.A.G.I.C. convergent device which is expected to be commercially available
for sales after successful testing.  M.A.G.I.C. is a next generation
convergent device that has the full capabilities of a notebook computer
shrink to a size of a PDA phone. The Company received the prototype unit
in May 2006 and is still conducting compliance, functional, stability,
load and usability testing on the device prior to testing by our resellers
and partners.  No revenue has been generated from this M.A.G.I.C.
convergent device at the date of this report.

The Company also announced on or about January 17, 2006 that it has signed
a Letter of Intent with DreamWorks Movie & TV Culture Media Co. Ltd to
jointly develop mobile TV network in Hunan Province and advertising on
such mobile network.   No further update since the last report.  No revenue
has been generated from this cooperation.


Hospital Advertising Unit
On or about December 13, 2005 the Company announced that it will undertake
the advertising works inside/outside of the Changsha Central Hospital to
introduce domestic and international healthcare companies to advertise at
the hospitals.  Also on or about February 27, 2006 the Company announced
that it has been appointed to undertake the advertising placement work for
Beijing Number 6 Hospital.   Our staff continues to work to secure
advertising customers for both these hospitals.  No revenue has been
generated from the placement from these two hospitals at the date of this
report.

It is the Company's intention to increase the Company's size and earning
potential through internal growth, joint venture, acquisitions and mergers
with similar businesses to gain a greater foothold in the marketplace. We
are continuing to search for possible acquisition and\or merger candidates
to be identified and this will be competitors, business associates and
other similar businesses that would help strengthen the Company.


PLAN OF OPERATIONS

OUR PLAN OF OPERATION FOR THE NEXT TWELVE MONTHS.
We hope to generate revenues in the next six months by engaging business
operations through internal growth and through strategic acquisitions and
cooperative advertising agreements, as described more fully under
"Overview" above.

We have cash and cash equivalents of $10,061 as of September 30, 2006; a
decrease from the previous period end of June 30, 2006. In the opinion of
management, these funds will not satisfy our working capital requirements
to operate at our current level of activity for the next twelve months.
To effectuate our business plan, including completing the acquisitions
above, during the next twelve months, we must arrange for adequate
funding to implement our plans of increasing our advertising offerings
and promote our advertising services, through cooperation agreements and
otherwise.

The Company entered into an agreement to sell USD$250,000 in common stock
in February 2006 and another USD$1 million of common stock in 4 equal
tranches over the next 8 months thereafter, subject to certain conditions.
On and around May 5, 2006, the Company announced that the Investor has not
invested into the second tranche of USD250,000 as provided in the Stock
Purchase Agreement due to the decrease in the share price.  The Company
has entered into negotiations with the Investor to adjust the terms in
the Stock Purchase Agreement on the remaining 4 tranches to reflect the
current market conditions and environment.  The discussion with the
Investor is still on going.  Management intends to continue to raise
additional financing through debt and equity financing or other means
and interests that it deems necessary, with a view to implementing our
business plan and building a revenue base. We plan to use the proceeds
of such financings to provide working capital to our operations and
increase our capital expenditure for marketing and working with our
co-operative partners. There can be no assurances that sufficient
financing will be available on terms acceptable to us or at all. Our
forecast for the period for which financial resources will be needed to
support our operations involves risks and uncertainties and actual
results could fail as a result of a number of factors.

Specifically, we hope to accomplish the steps listed below to implement
our business plan. We estimate that we will require approximately
$2,000,000 to commence operations as envisioned below during the next
twelve months. The figures and steps outlined below are estimates only,
and our actual progress and cost may vary from these estimates and is
subject to our ability to obtain adequate funding. Such additional
capital may be raised through public or private equity financing,
borrowings, or other sources, such as contributions from our officers
and directors. If we are unable to obtain funds necessary to implement
our business plan, we may revise or scale back our business plan.

Over the course of the next two years, we propose to build up our
advertising presences to over 5 regional offices in China.  We have
opened an office in Zhuhai and we expect to open 2 more offices within
the next few months after finding suitable locations.  Over the next
two years, we also propose to acquire strategic partners that have
existing operations in cities or regions to grow our business by
acquisition and through cooperation agreements and otherwise, subject
to available funding. Additional support staff may be hired as
necessity and resources dictate within the next twelve months.

We are not currently conducting any research and development
activities, other than the continual development of our website in
both English and Chinese. We do not anticipate conducting such
activities in the near future. In the event that we expand our
business scope, then we may need to hire additional employees or
independent contractors as well as purchase or lease additional
equipment.


RESULTS OF OPERATIONS.

FOR THE THREE MONTH AND NINE MONTH PERIODS ENDED SEPTEMBER 30, 2006
COMPARED TO THE THREE MONTH AND NINE MONTH PERIODS ENDED
SEPTEMBER 30, 2005.

REVENUES.
We have not realized any revenues for the period from October 1, 2002,
our date of
formation, through the period ended March 31, 2006. For the current
three months period ended September 30, 2006, the Group has realized
revenue of $25,046 and a cost of revenue of $18,511, achieving a gross
profit of $6,535. For the current nine months period ended
September 30, 2006, the Group has realized revenue of $33,613 and a
cost of revenue of $24,589, achieving a gross profit of $9,024.
We hope to generate additional revenues when we begin to receive
contracts from clients or through acquisitions. Depending upon the
availability of operating capital, we intend to expand our operations
in the next 6 months.  Our officers and directors have not committed
to make any capital contributions to our operations other than what
has been announced as to our intended acquisitions and co-operations.

OPERATING EXPENSES.
For the three month period ended September 30, 2006, our gross profit
was $6,535 and our total operating expenses were $195,626, all of
which were selling, general and administrative expenses. We also had
$1,690 in interest expenses, so that our net loss for the three month
period ended September 30, 2006 was $190,781. This is in comparison to
the same period ended September 30, 2005, where we had $13,498 in
selling, general and administrative expenses and $2,090 in interest
expenses, making our net loss for that period $15,588.

For the nine month period ended September 30, 2006, our gross profit
was $9,024 and our otal operating expenses were $524,879, all of which
were selling, general and administrative expenses. We also had $5,311
in interest expenses, so that our net loss for the nine month period
ended September 30, 2006 was $521,166. This is in comparison to the
same nine month period ended September 30, 2005, where we had $64,374
in selling, general and administrative expenses and $5,237 in interest
expenses, making our net loss for that period $69,611.

We anticipate that our operating expenses will continue to increase in
future periods as we undertake to implement our business plan.


LIQUIDITY AND CAPITAL RESOURCES
As at September 30, 2006, the Company had cash and cash equivalents
totaling $10,061 and other current assets of $64,596.  The total assets
of the Company were $226,399 as of September 30, 2006. We believe that
our available cash and cash equivalents are not sufficient to pay our
day-to-day expenditures. However, our officers and directors have
committed to pay our day-to-day expenses so that we are able to
continue operations until we are able to obtain additional funding
through other sources at levels to implement our business plan. As of
September 30, 2006, we had current liabilities of $535,909 which were
represented by $123,775 in accruals, $67,600 in short term debt,
$29,743 in accounts and other payables, and $314,791 due to related
parties.   We expect to continue to have a working capital deficit
(current assets minus current liabilities) while we continue devoting
all of our efforts and resources to establishing our business through
implementation of our business plan.


ITEM 3. CONTROLS AND PROCEDURES

Evaluation of disclosure controls and procedures. We maintain
controls and procedures designed to ensure that information required
to be disclosed in the reports that we file or submit under the Securities
Exchange Act of 1934 is recorded, processed, summarized and reported
within the time periods specified in the rules and forms of the Securities
and Exchange Commission. Based upon their evaluation of those controls and
procedures performed as of June 30, 2006 and September 30, 2006, our chief
executive officer and the principal financial officer concluded that our
disclosure controls and procedures were adequate and effective.

Internal control over financial reporting.   Until the first
fiscal year ending on or after July 15, 2007, the Company is not required
to provide a report on our internal control over financial reporting or
to provide an attestation report of our accountant on our assessment of
our internal control over financial reporting.  However, no changes in
our internal control over financial reporting occurred during the quarter
ended September 30, 2006 that have materially affected, or are reasonably
likely to materially affect, our internal control over financial reporting.


PART II -- OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS.

None.

ITEM 2. CHANGES IN SECURITIES.

None.

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

None.

ITEM 4.  SUBMISSION OF MATTERS TO VOTE OF SECURITY HOLDERS

None

ITEM 5.  OTHER INFORMATION

None

ITEM 6.  EXHIBITS..

3.1      Articles of Incorporation*

3.2      Bylaws*

   99A.   Rule 15d-14(b) Certifications of Chief Executive Officer and Chief
Financial Officer of the Company

   99B   Section 906 Certification by Chief Executive Officer and Chief
Financial Officer

* Incorporated by reference to the same exhibit numbers in the registration
statement on Form SB-2 filed on September 26, 2002.



SIGNATURES

In accordance with the requirements of the Securities Exchange Act of 1934, the
registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.

                                           China Media Group Corporation

November 14, 2006          	By:  /s/    Con Unerkov
                                            -----------------------------------
                                            Con Unerkov
                                            President, CEO, CFO, Director



Exhibit 99A

Rule 15d-14(b) Certification of Chief Executive Officer and Chief Financial
Officer of the Company

I, Con Unerkov, certify that:

1. 	I have reviewed this quarterly report on Form 10-QSB of China Media
Group Corporation;

2. 	Based on my knowledge, this report does not contain any untrue
statement of a material fact or omit to state a material fact necessary
to make the statements made, in light of the circumstances under which
such statements were made, not misleading with respect to the period
covered by this report;

3. 	Based on my knowledge, the consolidated financial statements,
and other financial information included in this report, fairly present
in all material respects the consolidated financial condition, results
of operations and cash flows of the small business issuer as of, and
for, the periods presented in this report;

4. 	The registrant's other certifying officer(s) and I am responsible
for establishing and maintaining disclosure controls and procedures
(as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the small
business issuer and have:

     	(a) 	Designed such disclosure controls and procedures, or
caused such disclosure controls and procedures to be designed under our
supervision, to ensure that material information relating to the
registrant, including its consolidated subsidiaries, is made known to
us by others within those entities, particularly during the period in
which this report is being prepared;

     	(b) 	Evaluated the effectiveness of the registrant's
disclosure controls and procedures and presented in this report our
conclusions about the effectiveness of the disclosure controls and
procedures, as of the end of the period covered by this report
based on such evaluation; and

     	(c) 	Disclosed in this report any change in the
registrant's internal control over financial reporting that occurred
during the registrant's most recent fiscal quarter that has
materially affected, or is reasonably likely to materially affect,
the small business issuer's internal control over financial reporting.

5.	The registrant's other certifying officer(s) and I have
disclosed, based on our most recent evaluation of internal control
over financial reporting, to the small business issuer's auditors
and the audit committee of the small business issuer's board of
directors (or persons performing the equivalent functions):

     	(a) 	All significant deficiencies and material weaknesses
in the design or operation of internal control over financial
reporting which are reasonably likely to adversely affect the
registrant's ability to record, process, summarize and report financial
information; and

	(b) 	Any fraud, whether or not material, that involves
management or other employees who have a significant role in the
registrant's internal control over financial reporting.



Date: November 14, 2006


/s/ Con Unerkov
-----------------------
Con Unerkov
Chief Executive Officer and Chief Financial Officer




Exhibit 99B

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2003

In connection with the Quarterly Report of China Media Group Corporation,
a Texas corporation (the "Company") on Form 10-QSB for the period ended
September 30, 2006, as filed with the Securities and Exchange Commission
on the date hereof (the "Report"), Con Unerkov, Chief Executive Officer
and Chief Financial Officer of the Company, certifies to the best of his
knowledge, pursuant to 18 U.S.C. Sec. 1350, as adopted pursuant to
Sec. 906 of the Sarbanes-Oxley Act of 2003, that:

         (1) The Report fully complies with the requirements of
Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

         (2)	The information contained in the Report fairly presents,
in all material respects, the consolidated financial condition and result
of operations of the Company.

A signed original of this written statement required by Section 906 has
been provided to China Media Group Corporation, and will be retained by
China Media Group Corporation and furnished to the Securities and Exchange
Commission or its staff upon request.


/s/ Con Unerkov
--------------------------
Con Unerkov
Chief Executive Officer and Chief Financial Officer
November 14, 2006