SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

              ____________________________________________________

                                  FORM 10-KSB/A
                                 AMENDMENT NO. 2

(Mark One)

[X]  ANNUAL REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE
     ACT OF 1934 FOR THE FISCAL YEAR ENDED AUGUST 31, 2004.

[ ]  TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM ______ TO ________

                          COMMISSION FILE NO. 000-31343

                         INTERNATIONAL DEVELOPMENT CORP.
               (Exact name of issuer as specified in its charter)

             (Exact name of registrant as specified in its charter)

                                 OZOLUTIONS INC.
             (Previous name of issuer, while a Delaware corporation)

                     NEVADA                                 98-0229321
         (State or other jurisdiction                    (I.R.S. Employer
       of incorporation or organization)                Identification No.)

  30 DENVER CRESCENT, SUITE 200, TORONTO, ONTARIO, CANADA     M2J 1G8
         (Address of principal executive offices)           (Zip Code)

       Registrant's telephone number, including area code: (416) 490-0254


Securities registered under Section 12(b) of the Exchange Act: NONE.

Securities registered under Section 12(g) of the Exchange Act: COMMON STOCK, PAR
                                                         VALUE $0.001 PER SHARE.
                                                             (Title of class)

     Indicate  by  check  mark  whether the registrant (1) has filed all reports
required  to  be  filed by Section 13 or 15(d) of the Securities Exchange Act of
1934  during  the  preceding  twelve  months  (or  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  by check mark if disclosure of delinquent filers pursuant to Item
405 of Regulation S-K is not contained herein, and will not be contained, to the
best  of  registrant's  knowledge, in definitive proxy or information statements
incorporated  by  reference  in Part III of this Form 10-KSB or any amendment to
this  Form  10-KSB. [X]

     State issuer's revenues for its most recent fiscal year: $22,950.00.

     State the aggregate market value of the voting and non-voting common equity
held  by  non-affiliates  computed by reference to the price at which the common
equity  was last sold, or the average bid and asked price of such common equity,
as  of  November  30,  2004:  $491,000.00.

     Indicate  the  number  of  shares  outstanding  of each of the registrant's
classes of common stock as of November 30, 2004: 49,104,430.

                                EXPLANATORY NOTE

On  December 14, 2004, we filed with the Securities and Exchange Commission (the
"SEC")  our  Annual  Report on Form 10-KSB for the period ended August 31, 2004,
file  number  000-31343.  In  that  Annual  Report,  file  number  000-31343, we
incorrectly  stated  that we had terminated our water purification business. The
mistake  was  unintentional  and  a  result  of  oversight.

This  Amended Annual Report is being filed to disclose that we did not terminate
our water purification business, but, rather, transferred our water purification
business  to  our  wholly-owned subsidiary, Freshwater Technologies, Inc., which
was  formed on January 21, 2005. Although we had disclosed our intent to get out
of  direct  management  of the water related business in our Form 10-KSB for the
Fiscal  Year  Ended August 31, 2004, we ultimately decided that we could realize
most value from the water purification-related assets by creating a wholly owned
subsidiary  to  carry  on  our  water  purification  business.

This  Amended  Annual  Report clarifies that the water purification business was
never  terminated  by  us,  but  is  currently  being  continued  through  our
wholly-owned  subsidiary,  Freshwater  Technologies,  Inc.

THIS  AMENDED  FILING  HAD  NO  MATERIAL  EFFECT ON OUR FINANCIAL STATEMENTS AND
ACCOMPANYING  NOTES  FOR  THE  FISCAL  YEAR  ENDED  AUGUST  31,  2004.

Except  as described above, no other changes have been made to our annual report
on Form 10-KSB. For the convenience of the reader, this Form 10-KSB/A sets forth
the complete text of the annual report for the fiscal year ended August 31, 2004
rather  than  just  the  amended  portions  thereof.  To preserve the nature and
character  of the disclosures set forth in these Items as originally filed, this
Form  10-KSB/A  continues  to  speak  as  of  December 14, 2004, and we have not
updated  the disclosures in this Form 10-KSB/A to speak as of a later date or to
reflect  events  which  occurred  at  a  later  date.

The filing of this Form 10-KSB/A is not an admission that the disclosures in our
Annual  Report  on  Form  10-KSB,  file  number  000-31343, when made, knowingly
included  any untrue statement of a material fact or omitted to state a material
fact  necessary  to  make  the  statements  made  therein  not  misleading.


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                                TABLE OF CONTENTS

Item 1.     Description of Business. . . . . . . . . . . . . . . . . . . . . . 1
Item 2.     Description of Property. . . . . . . . . . . . . . . . . . . . . . 8
Item 3.     Legal Proceedings. . . . . . . . . . . . . . . . . . . . . . . . . 8
Item 4.     Submission of Matters to a Vote of  Security  Holders. . . . . . . 8
Item 5.     Market for Common Equity and Related Stockholder Matters . . . . . 9
Item 6.     Management's Discussion and Analysis or Plan of Operation. . . . .10
Item 7.     Financial Statements . . . . . . . . . . . . . . . . . . . . . . .12
Item 8.     Changes In and Disagreements With Accountants on Accounting and
            Financial Disclosure . . . . . . . . . . . . . . . . . . . . . . .12
Item 8A.    Controls and Procedures. . . . . . . . . . . . . . . . . . . . . .12
Item 9.     Directors and Executive Officers of the Registrant . . . . . . . .13
Item 10.    Executive Compensation . . . . . . . . . . . . . . . . . . . . . .16
Item 11.    Security Ownership of Certain Beneficial Owners and Management
            and Related Stockholder Matters. . . . . . . . . . . . . . . . . .18
Item 12.    Certain Relationships and Related Transactions . . . . . . . . . .18
Item 13.    Exhibits and  Reports on Form 8-K. . . . . . . . . . . . . . . . .19
Item 14.    Principal Accountant Fees and Services . . . . . . . . . . . . . .20


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                                     PART I

ITEM 1. DESCRIPTION OF BUSINESS.

     Statements  in  this  Form  10-KSB  Annual  Report  may be "forward-looking
statements"  within  the meaning of the Private Securities Litigation Reform Act
of 1995.  Forward-looking statements include, but are not limited to, statements
that  express  our intentions, beliefs, expectations, strategies, predictions or
any other statements relating to our future activities or other future events or
conditions.  These  statements  are based on current expectations, estimates and
projections  about  our  business  based,  in  part,  on assumptions made by our
management.  These  statements  are  not  guarantees  of  future performance and
involve  risks,  uncertainties  and  assumptions  that are difficult to predict.
Therefore, actual outcomes and results may, and probably will, differ materially
from  what  is  expressed or forecasted in the forward-looking statements due to
numerous factors, including those described above and those risks discussed from
time  to  time  in this Form 10-KSB Annual Report, including the risks described
under  "Risk  Factors"  and  "Management's  Discussion and Analysis of Financial
Condition  and  Results of Operations" and in other documents which we file with
the  Securities  and  Exchange  Commission.

     In  addition,  such statements could be affected by risks and uncertainties
related to our financial condition, factors that affect our industry, market and
customer  acceptance,  competition,  government regulations and requirements and
pricing, as well as general industry and market conditions and growth rates, and
general economic conditions. Any forward-looking statements speak only as of the
date  on  which  they are made, and we do not undertake any obligation to update
any  forward-looking statement to reflect events or circumstances after the date
of  this  Form  10-KSB  Annual  Report.

GENERAL

     International  Development  Corp., a Nevada corporation, was formerly known
as  Ozolutions  Inc.,  a  Delaware corporation. We changed our name and state of
domicile  on  December 9, 2004. See, "Change of Domicile." Our previous business
had  been that of international marketing and distribution of water purification
systems using ultra violet, ozone and water activator technology. The markets we
primarily  targeted  were  located  in  the United States, Canada, Mexico, Costa
Rica,  Peru, and Panama. In addition, we are formulating a new business plan and
concentrating  our  efforts  on  identifying  and  closing focused acquisitions,
building our company through steady planned growth. To that end we are reviewing
investment options but have not entered into any agreements beyond the review at
this  stage. As of the date of this Amended Report, we have not entered into any
definitive  agreements.


     A  brief  discussion  of  our previous activities is in order.

     Ozone  Technology.  On  June 12, 2000, we purchased the exclusive marketing
rights  to distribute the products of "Hankin Ozone Systems, LTD" in Canada, the
Caribbean,  and Mexico from 1421209 Ontario Limited. We agreed to pay the sum of
$1,017,217,  and  issue 8,000,000 shares of our common shares. In November 2000,
8,000,000  shares of our common stock were delivered to 1421209 Ontario Limited.
We  had an agreement to repurchase 6,000,000 of the 8,000,000 shares for $81,699
which  we  decided  to  cancel in August 2004. In April 2002, the agreement with
1421209  Ontario  Limited  was cancelled and the obligation to pay $1,000,000 to
1421209 Ontario Limited was no longer due. We wrote-off the net marketing rights
of  $762,743  and  the  outstanding  obligation  of  $1,000,000, and recorded an
extraordinary  gain  from the cancellation of the agreement of $237,257. We paid
$50,000  directly  to  Hankin  Ozone  Systems, LTD for the same marketing rights
which  we  recorded  as  an  expense  during  the year ended August 31, 2002. In
September  2004,  Hankin  was placed into bankruptcy, and the deposit of $22,292
for  certain  units  was  written  off  as  of  August  31,2004.

     Water-activated  Technology.  In  August  2001,  we  acquired non-exclusive
distribution  rights  to  an activated water system from ELCE International Inc.
for  Mexico  and the Caribbean markets including Panama, Costa Rica, Ecuador and
Peru.  No  fees  were  paid for these rights. In September 2003, we approved the
issuance  of  250,000  shares of our restricted common stock to the president of
ELCE  and  the  cancellation  of  an  option  to  purchase


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<PAGE>
500,000  shares  of our common stock at $0.50 per share in order to maintain the
existing  relationship in Canada. The issuance of the common stock resulted in a
charge  against  earnings  of  $15,000  in  2004.

UV  Pure Products.  In order to provide viable technology and pricing options to
residential customers for drinking water solutions, we entered into distribution
agreements  with UV Pure in 2004 with the intent to distribute ultra violet home
treatment  systems in select markets in Latin America and the United States.  We
have  since  terminated  the  agreements.

In  the  opinion  of  our management, we could realize most value from our water
purification-related  assets  by  creating a wholly owned subsidiary to carry on
the  water  purification  business.

On  January  21,  2005,  we  formed  a  wholly-owned  subsidiary,  Freshwater
Technologies,  Inc.,  for  the  purpose  of  transferring  our  water
purification-related assets and business to Freshwater Technologies, Inc. We are
now conducting all of our water purification-related business through Freshwater
Technologies,  Inc.

Change in Control

     On  September 23, 2004, Betty-Ann Harland acquired 15,000,000 shares of our
common  stock,  which  represented  30.51  percent of our issued and outstanding
common  stock.  In addition, Ms. Harland has proxies to vote 6,000,000 shares of
our  common  stock,  granted  by 1421209 Ontario Limited.  The proxies expire on
February  1,  2005.  Ms.  Harland  paid  the  sum  of  $25,000  for  the shares.

CHANGE IN CONTROL

     On  September 23, 2004, Betty-Ann Harland acquired 15,000,000 shares of our
common  stock,  which  represented  30.51  percent of our issued and outstanding
common  stock.  In addition, Ms. Harland has proxies to vote 6,000,000 shares of
our  common  stock,  granted  by 1421209 Ontario Limited.  The proxies expire on
February  1,  2005.  Ms. Harland was elected as our chairman of the board, chief
executive  officer and director on September 23, 2004.  Ms. Harland paid the sum
of $25,000 for the shares.  Pursuant to the acquisition agreement, the shares of
common  stock acquired by Ms. Harland may be converted into shares of our voting
preferred  stock  upon  terms  to  be  determined.

     On  October  12,  2004,  1421209 Ontario Limited granted to us an option to
redeem 3,000,000 shares of our common stock, which are currently held in escrow,
for  a  total  sum  of  $25,000.00,  payable  in  two  installments.  The  first
installment  of  $10,000  was paid by us on October 12, 2004, and the balance of
$15,000.00 is due on or before February 1, 2005. In the event that we do not pay
the  second installment of $15,000.00, our option to redeem the 3,000,000 shares
of  our common stock will terminate. In any event, Betty-Ann Harland will retain
her  proxies  to  vote  6,000,000 shares of our common stock, granted by 1421209
Ontario  Limited.

     Following the acquisition of our shares by Ms. Harland, she was elected our
chairman  and  chief  executive officer. In addition, Max Weissengruber, Douglas
Robertson,  Robert  W. Gingell, and Arthur N. Kelly were elected as our officers
and  directors.  At  the  same  time,  D.  Brian Robertson was elected our chief
financial  officer.

     Because  of  the change in ownership of voting stock and the composition of
the  board  after  the  closing of the agreement, there was a change in control.

CHANGE OF DOMICILE

     On  December  9,  2004,  a  majority of our stockholders voted to approve a
change  in  our  state  of  incorporation  from Delaware to Nevada by means of a
merger permitted under the corporate statutes of both states.

     The  merger  was  between  Ozolutions,  Inc.,  a  Delaware corporation, and
International  Development  Corp., a Nevada corporation, organized by us for the
specific  purpose of the change of domicile. The merger was consummated pursuant
to  a  Plan  of  Merger. The Plan of Merger provided that Ozolutions, Inc. merge
with  and  into  International  Development  Corp.  Following  the  merger,
International Development Corp. was the surviving entity.

     International  Development  Corp.  was  a newly formed corporation with one
share  of  common  stock  issued  and outstanding held by Betty-Ann Harland, our
chairman  and  chief  executive  officer, with only minimal capital and no other
assets  or  liabilities.  The  terms  of  the  merger provided that the existing
stockholders  of  Ozolutions, Inc. would be entitled to receive one share of the
common  stock  of  International  Development  Corp.  for every one share of the
common  stock of Ozolutions, Inc. held by the common stockholders of Ozolutions,
Inc.  In  addition,  the  then currently issued one share of the common stock of
International  Development Corp. held by Ms. Harland was cancelled. As a result,
following  the  merger,  the  former stockholders of Ozolutions, Inc. became the
only  stockholders  of  the  newly  merged  corporation.


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<PAGE>
     The  change of domicile did not interrupt the existence of Ozolutions, Inc.
Each  share  of our common stock remained issued and outstanding as one share of
the common stock of International Development Corp. after the change of domicile
from  Delaware  to  Nevada.

     We chose to change our state of incorporation in order to take advantage of
several  features  of  Nevada corporate law which are expected to help us reduce
our  taxes  and  to facilitate our corporate actions. A comparison of Nevada and
Delaware  law  follows:

-    Corporations  domiciled in Nevada do not pay a franchise tax or a corporate
     income  tax.  Delaware  imposes  a  corporate  income  tax.

-    Under  Nevada  law,  unless  otherwise  provided  in  the  articles  of
     incorporation, a corporation that desires to change the number of shares of
     a  class  or  series,  if  any,  of  its  authorized stock by increasing or
     decreasing  the  number  of  authorized  shares  of the class or series and
     correspondingly  increasing  or  decreasing  the  number  of  issued  and
     outstanding  shares of the same class or series held by each stockholder of
     record  at  the  effective date and time of the change, except as otherwise
     provided  in  subsections  2  and 3 of Chapter 78.207 of the Nevada Revised
     Statutes,  may  do  so  by  a resolution adopted by the board of directors,
     without obtaining the approval of the stockholders. The resolution may also
     provide  for a change of the par value, if any, of the same class or series
     of  the shares increased or decreased. After the effective date and time of
     the  change,  the  corporation may issue its stock in accordance therewith.

     The second bullet point above is especially important to us, inasmuch as we
will  be  able  to  change  our  authorized  shares to more efficiently meet our
current  needs.  Presently,  we  need  to go to the time and expense of having a
stockholders' meeting in order to change our authorized shares.  We must be able
to  quickly deal with situations calling for us to modify our capital structure.

     Officers  and  Directors.  Before  the  change  of  domicile,  our board of
directors  consisted  of  five  members,  Betty-Ann  Harland, Max Weissengruber,
Douglas  Robertson,  Robert  W. Gingell, and Arthur N. Kelly. Upon the change of
domicile,  our board of directors consists of the same individuals who were also
the  directors  of  International  Development  Corp.

     Resales of Our Common Stock. Pursuant to Rule 145 under the Securities Act,
due  to the merger of Ozolutions, Inc. with International Development Corp., the
exchange of our shares of common stock in the Delaware corporation for shares of
the  common  stock  of the Nevada corporation was exempt from registration under
the  Securities  Act,  since the sole purpose of the transaction was a change of
our  domicile  within the United States. The effect of the exemption is that the
shares  of  our common stock issuable in the change of domicile may be resold by
the  former stockholders without restriction to the same extent that such shares
may  have  been  sold  before  the  change  of  domicile.

     Accounting  for  the  Transaction.  Upon  consummation  of  the  change  of
domicile, the historical financial statements of the Delaware corporation became
the  historical  financial  statements  of  the  Nevada  corporation.  Total
stockholders'  equity  was  unchanged  as  a  result  of the change of domicile.

EMPLOYEES

     As  of  November  30,  2004,  we  employed  two  consultants, including two
full-time  executives  and  one  part-time  clerical  employee.  None  of  these
employees  are  covered  under  a  collective  bargaining  agreement.


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RISK FACTORS

RISKS RELATING TO OUR BUSINESS

UNDER  OUR  NEW  BUSINESS  MODEL, WE ARE A NEW BUSINESS WITH A LIMITED OPERATING
HISTORY  AND ARE NOT LIKELY TO SUCCEED UNLESS WE CAN OVERCOME THE MANY OBSTACLES
WE  FACE.

     Under  our new business model, we have a limited operating history. We have
not  recently  engaged  in  active  business  operations.

     To date, our efforts have been devoted primarily to the following:

-    Organizational  activities;

-    Developing  a  business  plan  for  our  business;

-    Obtaining  funding;  and

-    Conducting  research and working toward the ultimate successful development
     of  our  products  and  services.

     We  are still in our formative stage with respect to the development of our
business  plan  going  forward.  You should be aware of the difficulties, delays
and  expenses  normally encountered by an enterprise which has reorganized, many
of  which  are  beyond our control, including unanticipated expenses, employment
costs,  and administrative expenses.  We cannot assure our stockholders that our
proposed  business  plans as described in this Annual Report will materialize or
prove  successful,  or  that we will ever be able to finalize development of our
products  or  services  or operate profitably.  If we cannot operate profitably,
you  could  lose  your  entire  investment.  As  a  result  of the nature of our
business,  initially we expect to sustain substantial operating expenses without
generating  significant  revenues.

GROWTH BY ACQUISITION.

     Our  business  strategy includes the attainment of substantially all of our
growth  through  our ability to successfully execute our acquisition model.  Any
time  a  company growth strategy depends on the  acquisition of  other companies
there  is substantial risk.  In order to pursue a growth by acquisition strategy
successfully,  we  must  identify  suitable  candidates  for these transactions,
complete  these  transactions,  and  manage  post-closing  issues  such  as  the
integration  into our corporate structure.  Integration issues are complex, time
consuming  and expensive and, with out proper planning and implementation, could
significantly  disrupt our business including, but not limited to, the diversion
of  management's  attention,  the loss of key business and/or personnel from the
acquired  company, unanticipated events, and legal liabilities.  If the business
becomes  impaired,  there  could be partial or full write-offs attributed to the
acquisition.

COMPETITION.

     We  face  intense competition in all the business segments in which we have
identified  to  do  business.  Some  competitors will have substantially greater
resources,  including  greater  financial  resources,  larger customer base, and
greater  name  and  brand  recognition.  Any of these circumstances could have a
material  adverse  effect  on  our  business  development,  financial condition,
results  of  operations.

FUTURE CAPITAL REQUIREMENTS; UNCERTAINTY OF FUTURE FUNDING.

     Our plan of operation calls for additional capital to facilitate growth and
support  our  long-term development and acquisition strategy marketing programs.
It  is  likely  that  we  will  have to seek additional financing through future
public  or private sales of our securities, including equity securities.  We may
also seek funding for the development and acquisitions marketing of our products
through  strategic partnerships and other arrangements with investment partners.
There  can  be  no  assurance,  however, that such collaborative arrangements or
additional funds will be available when needed, or on terms acceptable to us, if
at  all.  Any  such  additional  financing may result in


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significant  dilution  to  existing  stockholders.  If  adequate  funds  are not
available  we  may  be  required  to curtail one or more of our future activates
programs.

THERE IS SUBSTANTIAL DOUBT THAT WE CAN CONTINUE AS A GOING CONCERN.

     We expect to incur significant capital expenses in pursuing our development
and  acquisition  strategy plans to increase sales volume, expanding our product
lines  and  obtaining additional financing through stock offerings, or licensing
agreements  or  other  feasible  financing  alternatives.  In  order  for  us to
continue  our  operations,  we  will  require  additional funds over the next 12
months.  While  we  hope we will be able to generate funds necessary to maintain
our  operations,  without  additional  funds  there will be a limitation to  the
number  of  new  projects that we could take on, which may have an effect on our
ability  to  maintain our operations.  Additional financing may not be available
on  terms  favorable to us, or at all. If additional funds are not available, we
may not be able to execute our business model plan or take advantage of business
opportunities.  Our  ability  to obtain such additional financing and to achieve
our operating goals is uncertain.  In the event that we do not obtain additional
capital  or  are  not  able  to  increase  cash  flow through the increase of in
revenues,  there is a substantial doubt of our being able to continue as a going
concern.

     Additionally,  it  should  be  noted  that  our  independent  auditors have
included  a  going  concern  opinion  and related discussion in the notes to our
financial  statements.  The  auditors  have included the going concern provision
because  we  have  incurred  significant  and  recurring losses and have a large
working capital deficit that the auditors believe raises substantial doubt about
our  ability  to  continue  as  a  going  concern.  Until  such  time we receive
additional  debt  or  equity  financing,  there is a risk that our auditors will
continue  to  include  a  going  concern provision in the notes to our financial
statements.

DEPENDENCE ON KEY EMPLOYEES.

     Our  business is dependent upon our senior executive officers, principally,
Max  Weissengruber,  our  chief  operating  officer,  who is responsible for our
operations, including marketing and business development.  We have an employment
agreement  with  Mr. Weissengruber and he has indicated a desire to continue his
employment with us for the long term.  Our business may be adversely affected if
Mr.  Weissengruber  left  our  employ.  In  the  event  of  future  growth  in
administration, marketing, manufacturing and customer support functions, we will
need  to  increase the depth and experience of our management team by adding new
members.  Our  success  will  depend  to  a  large  degree  upon  the  active
participation of our key officers and employees.  Loss of services of any of the
current  officers  and  directors,  especially  Mr.  Weissengruber, could have a
significant  adverse  effect  on  our operations and prospects.  There can be no
assurance  that  we will be able to employ qualified persons on acceptable terms
to  replace  officers  who  become  unavailable.

NEED FOR ADDITIONAL SPECIALIZED PERSONNEL.

     Although  we  are  committed to the continued development and growth of our
business,  the addition of specialized key personnel and sales persons to assist
us  in  the  execution of our business model.  There can be no assurance that we
will  be able to locate and hire such specialized personnel on acceptable terms.

DEPENDENCE ON ABILITY TO MARKET SERVICES.

     Due to our limited resources, the execution of our business model sales and
marketing  of  our  services has been limited to date.  Our success is dependent
upon  our  ability  to  execute  with  such  limited  resources.

TERRORISM.

     Terrorist acts or acts of war may cause damage or disruption to or business
or  business  strategy,  which  could  adversely  impact revenues, ability to do
acquisitions,  and  financial  condition.


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Risks Relating to Our Stock

WE  MAY  NEED  TO RAISE ADDITIONAL CAPITAL.  IF WE ARE UNABLE TO RAISE NECESSARY
ADDITIONAL CAPITAL, OUR BUSINESS MAY FAIL OR OUR OPERATING RESULTS AND OUR STOCK
PRICE  MAY  BE  MATERIALLY  ADVERSELY  AFFECTED.

     Because  we  are  a  newly  reorganized company, we need to secure adequate
funding.  If  we  are  unable  to obtain adequate funding, we may not be able to
successfully  develop and market our products and services and our business will
most  likely  fail.  We  do  not  have commitments for additional financing.  To
secure  additional  financing,  we  may  need  to  borrow  money  or  sell  more
securities, which may reduce the value of our outstanding securities.  We may be
unable  to  secure  additional  financing  on  favorable  terms  or  at  all.

     Selling  additional  stock,  either privately or publicly, would dilute the
equity  interests  of our stockholders. If we borrow more money, we will have to
pay interest and may also have to agree to restrictions that limit our operating
flexibility.  If  we  are  unable  to  obtain adequate financing, we may have to
curtail  business  operations  which  would  have  a material negative effect on
operating results and most likely result in a lower stock price.

OUR  COMMON  STOCK HAS EXPERIENCED IN THE PAST, AND IS EXPECTED TO EXPERIENCE IN
THE  FUTURE,  SIGNIFICANT  PRICE  AND  VOLUME  VOLATILITY,  WHICH  SUBSTANTIALLY
INCREASES  THE RISK THAT YOU MAY NOT BE ABLE TO SELL YOUR SHARES AT OR ABOVE THE
PRICE  THAT  YOU  PAY  FOR  THE  SHARES.

     Because  of the limited trading market for our common stock, and because of
the possible price volatility, you may not be able to sell your shares of common
stock  when  you desire to do so.  During 2002 and 2003, and through the date of
this  Annual  Report,  our  common  stock  was sold and purchased at prices that
ranged  from a high of $0.30 to a low of $0.01 per share.  The inability to sell
your  shares  in a rapidly declining market may substantially increase your risk
of  loss  because  of  such illiquidity since the price for our common stock may
suffer  greater  declines  due  to  its  price  volatility.

     The price of our common stock that will prevail in the market may be higher
or  lower  than the price you pay. Certain factors, some of which are beyond our
control,  that may cause our share price to fluctuate significantly include, but
are  not  limited  to,  the  following:

-    Variations in our quarterly operating results;

-    The development of a market in general for our products and services;

-    Changes in market valuations of similar companies;

-    Announcement  by  us  or  our  competitors  of  significant  contracts,
     acquisitions,  strategic  partnerships,  joint  ventures  or  capital
     commitments;

-    Loss of a major customer or failure to complete significant transactions;

-    Additions or departures of key personnel; and

-    Fluctuations in stock market price and volume.

     Additionally,  in  recent  years  the  stock market in general, and the OTC
Bulletin  Board  in  particular,  have  experienced  extreme  price  and  volume
fluctuations.  In  some  cases,  these  fluctuations  are  unrelated  or
disproportionate  to the operating performance of the underlying company.  These
market and industry factors may materially and adversely affect our stock price,
regardless  of  our  operating  performance.

     Over  the past few months, there have been periods of significant increases
in  trading  volume  of our common stock during which the price of our stock has
both  increased and decreased. The historical trading of our common stock is not
necessarily  an  indicator  of  how  it will trade in the future and our trading
price as of the date of this Annual Report does not necessarily portend what the
trading price of our common stock might be in the future.


                                        6
<PAGE>
     Moreover,  class action litigation has often been brought against companies
following periods of volatility in the market price of the common stock of those
companies.  If  we  become involved in this type of litigation in the future, it
could  result  in  substantial  costs  and diversion of management attention and
resources,  which could have a further negative effect on your investment in our
stock.

OUR  DIRECTORS  HAVE  THE RIGHT TO AUTHORIZE THE ISSUANCE OF PREFERRED STOCK AND
ADDITIONAL  SHARES  OF  OUR  COMMON  STOCK.

     Our  directors,  within  the  limitations and restrictions contained in our
articles  of  incorporation and without further action by our stockholders, have
the  authority  to  issue  shares of preferred stock from time to time in one or
more  series and to fix the number of shares and the relative rights, conversion
rights,  voting rights, and terms of redemption, liquidation preferences and any
other  preferences,  special  rights  and qualifications of any such series.  We
have  no intention of issuing preferred stock at the present time.  Any issuance
of  preferred  stock  could adversely affect the rights of holders of our common
stock.

     Should we issue additional shares of our common stock at a later time, each
investor's  ownership  interest in our stock would be proportionally reduced. No
investor  will  have  any  preemptive  right to acquire additional shares of our
common  stock,  or  any  of  our  other  securities.

IF  WE FAIL TO REMAIN CURRENT ON OUR REPORTING REQUIREMENTS, WE COULD BE REMOVED
FROM  THE  OTC BULLETIN BOARD WHICH WOULD LIMIT THE ABILITY OF BROKER-DEALERS TO
SELL  OUR SECURITIES AND THE ABILITY OF STOCKHOLDERS TO SELL THEIR SECURITIES IN
THE  SECONDARY  MARKET.

     Companies  trading on the OTC Bulletin Board, such as we, must be reporting
issuers  under  Section  12  of  the  Exchange Act, and must be current in their
reports under Section 13, in order to maintain price quotation privileges on the
OTC Bulletin Board.  If we fail to remain current on our reporting requirements,
we  could  be  removed  from  the  OTC  Bulletin Board.  As a result, the market
liquidity  for  our  securities could be severely adversely affected by limiting
the  ability  of  broker-dealers  to  sell  our  securities  and  the ability of
stockholders to sell their securities in the secondary market.

OUR  COMMON  STOCK  IS  SUBJECT  TO  THE  "PENNY STOCK" RULES OF THE SEC AND THE
TRADING  MARKET  IN  OUR  SECURITIES IS LIMITED, WHICH MAKES TRANSACTIONS IN OUR
STOCK CUMBERSOME AND MAY REDUCE THE VALUE OF AN INVESTMENT IN OUR STOCK.

     The  Securities  and  Exchange  Commission  has  adopted  Rule  15g-9 which
establishes  the definition of a "penny stock," for the purposes relevant to us,
as  any  equity security that has a market price of less than $5.00 per share or
with  an  exercise  price  of  less  than  $5.00  per  share, subject to certain
exceptions.  Inasmuch  as that the current bid and ask price of our common stock
is  less  than $5.00 per share, our shares are classified as "penny stock" under
the  rules  of  the  SEC.  For  any  transaction involving a penny stock, unless
exempt,  the  rules  require:

-    That  a  broker  or  dealer  approve a person's account for transactions in
     penny  stocks;  and

-    The  broker or dealer receives from the investor a written agreement to the
     transaction,  setting forth the identity and quantity of the penny stock to
     be  purchased.

     In  order  to  approve a person's account for transactions in penny stocks,
the  broker  or  dealer  must:

-    Obtain  financial  information  and investment experience objectives of the
     person;  and

-    Make  a  reasonable determination that the transactions in penny stocks are
     suitable  for  that  person  and  the  person  has sufficient knowledge and
     experience  in  financial  matters to be capable of evaluating the risks of
     transactions  in  penny  stocks.

     The broker or dealer must also deliver, prior to any transaction in a penny
stock,  a  disclosure schedule prescribed by the SEC relating to the penny stock
market,  which,  in  highlight  form:


                                        7
<PAGE>
-    Sets  forth  the  basis  on which the broker or dealer made the suitability
     determination;  and

-    That  the  broker  or  dealer received a signed, written agreement from the
     investor  prior  to  the  transaction.

     Generally,  brokers  may  be  less  willing  to  execute  transactions  in
securities  subject to the "penny stock" rules.  This may make it more difficult
for  investors  to dispose of our common stock and cause a decline in the market
value  of  our  stock.

     Disclosure also has to be made about the risks of investing in penny stocks
in  both  public  offerings  and  in secondary trading and about the commissions
payable  to  both  the  broker-dealer and the registered representative, current
quotations  for  the  securities  and  the  rights  and remedies available to an
investor  in  cases  of  fraud  in  penny  stock transactions.  Finally, monthly
statements  have  to  be  sent disclosing recent price information for the penny
stock held in the account and information on the limited market in penny stocks.

ITEM 2. DESCRIPTION OF PROPERTY.

     We use approximately 400 square feet of office space at 30 Denver Crescent,
Suite 200, Toronto, Ontario Canada M2J 1G8.  The office space is provided by Max
Weissengruber, one of our officers and directors, at no charge.  We rent storage
space  in  Toronto  on a month-to-month basis to maintain a limited inventory of
product.  The  cost of this space is $300 per month.  We believe that all of our
facilities  are  adequate  for  at  least the next 12 months.  We expect that we
could  locate other suitable facilities at comparable rates, should we need more
space.

ITEM 3. LEGAL PROCEEDINGS.

     In June 2002, David Michael LLC and Feng Shui Consulting, Inc. filed a suit
against  us  for  breach  of  contract for failure to issue shares of our common
stock  under  a  consulting agreement.  We filed a counter claim and third party
complaint  denying  the  substantive  allegations of the complaint and asserting
breach  of  contract  and  fraud  in connection with the transaction.  On August
23,2004  the United States District Court for Utah ordered the dismissal of this
action  in  its  entirety  including  all claims with each party to bear its own
costs  and  fees.  The  shares  of  our  common stock previously issued to David
Michael LLC and Feng Shui Consulting, Inc. are to be returned to us upon payment
of  $5,000  which  was  paid  in  September  2004.

     On  January 11, 2002, we entered into a financial consulting and investment
banking agreement with Chapman, Spira & Carson LLC. The purpose of the agreement
was  to  assist  us  with  general  business and financial consulting and obtain
equity  and  debt  financing  up to $2 million on terms agreeable to us. In June
2002,  Chapman,  Spira  &  Carson  LLC made a demand for arbitration through the
American  Arbitration  Association as provided in the agreement claiming $50,000
in  fees, plus nine percent interest, and 200,000 shares of our common stock. In
February  2003,  we  obtained  a  verdict  against  Chapman  and  were  awarded
approximately  $22,000  net  of  any  our  legal  fees.  The amount has not been
recorded  in  the accompanying financial statements as we are uncertain that the
payment will be made. Chapman appealed to the New York Supreme Court in 2004 and
this appeal was dismissed. At the present time Chapman has appealed to the Court
of Appeal in New York and has a fixed time limit of 60 days to prove their case.

ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

     No  matters  were  submitted  to a vote of our security holders in the year
ended  August  31, 2004.  However, on December 9, 2004 we held a special meeting
of  our  stockholders.  The  stockholders  considered and voted on a proposal to
change the state of incorporation of Ozolutions, Inc. from Delaware to Nevada by
means of a merger with International Development Corp., a new Nevada corporation
which  we  formed.  The  change in domicile was approved by the stockholders and
became  effective  on  December  9, 2004.  Along with the change of domicile, we
changed  our  name to International Development Corp.  The change in domicile is
described more fully in the "Change of Control" Section of Part I of this Annual
Report.  The number of votes cast by our common stock stockholders for change in
domicile was 26,496,171. No votes were cast against the proposal.


                                        8
<PAGE>
     As part of the change of domicile, our stockholders also:

-    Elected as our directors, the directors of International Development Corp.,
     the  surviving  Nevada  corporation;

-    Approved  an increase in our authorized common stock from 50,000,000 shares
     to  800,000,000 shares under the articles of incorporation of the surviving
     Nevada  corporation,  which replaced the previous articles of incorporation
     of  Ozolutions,  Inc.,  a  Delaware  corporation;

-    Authorized  100,000,000  shares  of  preferred  stock under the articles of
     incorporation  of  the  surviving  Nevada  corporation,  which replaced the
     previous  articles  of  incorporation  of  Ozolutions,  Inc.,  a  Delaware
     corporation;

-    Authorized  our  board  of  directors  to  determine, in whole or part, the
     preferences,  limitations,  and  relative  rights,  of classes or series of
     shares, as provided in Section 78.1955 of the Nevada Revised Statutes under
     the  articles  of  incorporation of the surviving Nevada corporation, which
     replaced  the  previous  articles  of  incorporation of Ozolutions, Inc., a
     Delaware  corporation;  and

-    Approved  the  bylaws  of  International  Development  Corp.,  a  Nevada
     corporation,  which  will  govern  us  following  the  merger and change in
     domicile.


                                     PART II

ITEM 5. MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS.

     Our common stock has been quoted on the OTC Bulletin Board under the symbol
"OZLU.OB."  The  following  table sets forth, for the fiscal quarters indicated,
the  high  and  low bid prices for our common stock which has been quoted on the
OTC  Bulletin  Board.  On  December  9,  2004,  our symbol changed to "IDVL.OB."
These  quotations  reflect  inter-dealer  prices,  without mark-up, mark-down or
commission, and may not represent actual transactions.

<TABLE>
<CAPTION>
                                        HIGH    LOW
<S>                                    <C>     <C>
                    August 31, 2002    $ 0.30  $0.09
                    November 30, 2002  $ 0.20  $0.08
                    February 28, 2003  $ 0.12  $0.08
                    May 31, 2003       $ 0.14  $0.05

                                       HIGH    LOW
                    August 31, 2003    $ 0.15  $0.02
                    November 30, 2003  $ 0.16  $0.05
                    February 28, 2004  $ 0.09  $0.03
                    May 31, 2004       $0.065  $0.02

                                       HIGH    LOW
                    August 31, 2004    $0.045  $0.01
</TABLE>

     Since  our  inception,  no dividends have been paid on our common stock. We
intend  to  retain any earnings for use in our business activities, so it is not
expected that any dividends on our common stock will be declared and paid in the
foreseeable  future.

     We  currently  have  49,154,430 shares of our common stock outstanding. Our
shares  of  common stock are held by approximately 1,688 stockholders of record.
The  number  of  record  holders was determined from the records of our transfer
agent  and  does  not include beneficial owners of common stock whose shares are
held  in the names of various security brokers, dealers, and registered clearing
agencies.


                                        9
<PAGE>
SECURITIES AUTHORIZED FOR ISSUANCE UNDER EQUITY COMPENSATION PLANS

     See Item 11 of this Annual Report.

RECENT SALES OF UNREGISTERED SECURITIES

     On  September 23, 2004, Betty-Ann Harland acquired 15,000,000 shares of our
common  stock,  which  represented  30.51  percent of our issued and outstanding
common  stock.  In addition, Ms. Harland has proxies to vote 6,000,000 shares of
our  common  stock,  granted  by 1421209 Ontario Limited.  The proxies expire on
February 1, 2005.  Ms. Harland paid the sum of $25,000 for the shares.  Pursuant
to the acquisition agreement, the shares of common stock acquired by Ms. Harland
may  be  converted  into  shares  of our voting preferred stock upon terms to be
determined.  The  shares  were restricted in their transfer under the Securities
Act.

     The  shares  were  issued  in  reliance upon an exemption from registration
pursuant  to Section 4(2) of the Securities Act. Ms. Harland took her securities
for  investment  purposes  without  a  view  to  distribution  and had access to
information  concerning  us  and  our  business  prospects,  as  required by the
Securities  Act.  In  addition, there was no general solicitation or advertising
for  the  purchase of our shares. Our securities were sold only to a person with
whom  we  had  a  direct personal preexisting relationship, and after a thorough
discussion.  Finally,  our  stock  transfer  agent  has  been  instructed not to
transfer  any  of  such  shares, unless such shares are registered for resale or
there  is  an  exemption  with  respect  to  their  transfer.

SECTION 15(g) OF THE EXCHANGE ACT

     The shares of our common stock are covered by Section 15(g) of the Exchange
Act,  and  Rules  15g-1  through  15g-6  promulgated  thereunder,  which  impose
additional sales practice requirements on broker-dealers who sell our securities
to persons other than established customers and accredited investors.

     Rule  15g-2  declares  unlawful  any  broker-dealer  transactions in "penny
stocks"  unless  the  broker-dealer  has  first  provided  to  the  customer  a
standardized  disclosure  document.

     Rule  15g-3 provides that it is unlawful for a broker-dealer to engage in a
"penny  stock"  transaction  unless  the  broker-dealer  first  discloses  and
subsequently  confirms  to  the customer the current quotation prices or similar
market  information  concerning  the  penny  stock  in  question.

     Rule  15g-4  prohibits  broker-dealers  from  completing  "penny  stock"
transactions  for  a  customer  unless  the broker-dealer first discloses to the
customer  the  amount of compensation or other remuneration received as a result
of  the  penny  stock  transaction.

     Rule  15g-5  requires  that  a  broker-dealer  executing  a  "penny  stock"
transaction,  other  than one exempt under Rule 15g-1, disclose to its customer,
at the time of or prior to the transaction, information about the sales person's
compensation.

     Our  common stock may be subject to the foregoing rules. The application of
the  "penny  stock"  rules  may  affect  our stockholders' ability to sell their
shares  because  some  broker-dealers may not be willing to make a market in our
common  stock  because  of  the  burdens  imposed upon them by the "penny stock"
rules.

ITEM 6.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION.

     Statements included in this Management's Discussion and Analysis or Plan of
Operation,  and  in  future  filings  by  us  with  the  Securities and Exchange
Commission,  in our press releases and in oral statements made with the approval
of an authorized executive officer which are not historical or current facts are
"forward-looking  statements" made pursuant to the safe harbor provisions of the
Private  Securities  Litigation  Reform  Act  of 1995 and are subject to certain
risks  and  uncertainties  that  could cause actual results to differ materially
from  historical earnings and those presently anticipated or projected.  We wish
to  caution  readers  not  to  place  undue reliance on any such forward-looking
statements,  which  speak  only  as  of  the date made.  The following important
factors,  among  others,  in  some  cases  have affected and in the future could
affect  our  actual  results and could cause our actual


                                       10
<PAGE>
financial  performance  to  differ  materially  from  that  expressed  in  any
forward-looking  statement:  (i)  the  extremely  competitive  conditions  that
currently  exist  in  the  market for "blank check" companies similar to us, and
(ii)  lack  of  resources  to  maintain  our  good standing status and requisite
filings  with  the Securities and Exchange Commission. The foregoing list should
not  be  construed  as exhaustive and we disclaim any obligation subsequently to
revise  any  forward-looking statements to reflect events or circumstances after
the  date  of  such  statements  or  to reflect the occurrence of anticipated or
unanticipated  events.

RESULTS OF OPERATIONS

     For  the  12 months ended August 31, 2004, we had $23,000 in sales compared
to  $144,000 for the year ending August 31, 2003. All sales were for the sale of
ELCE  products.  Cost  of  goods sold was $19,000 or 80 percent of sales for the
year  ending  August  31, 2004 compared to $101,000 or 70.5 percent of sales for
2003. Gross profit was $4,000 and $42,000 for fiscal 2004 and 2003 respectively.

     The  net  loss for the year ended August 31,2004 was $385,000 compared to a
net  loss  of  $608,000 for the year ended August 31, 2003.Expenses for the year
ended August 31,2004 decreased $ 90,000 due to a reduction in consulting fees of
$77,000  and marketing expenses of $94,000 offset by an increase in bad debts of
$81,000.During fiscal 2004 the Company made a concentrated effort to cut as much
as possible its use of public relation and marketing consultants.

     In  addition  there  was  no  expense  for  the  writing-off of the loss on
impairment  of  marketing rights for the year ended August 31,2004 compared to a
$171,000 write-off for the year ended August 31,2004

During  the  second  half of the year ended August 31, 2004, we focused our time
and  efforts  on  developing  new  marketing strategies and discussing potential
plans to reorganize in an effort to increase sales of our water purification and
activation  products.  Subsequent  to  the  year  ended  August  31,  2004,  we
formalized  a  plan to reorganize, in which the water treatment operations would
be  spun off into our wholly-owned subsidiary after reorganization, as the focus
of  the  reorganized  corporation  would  be  on identifying and closing focused
acquisitions  and  building  through  steady planned growth.  As a result of the
time  spent  on  our  development of new marketing strategies and discussions on
potentially  reorganizing,  our  focus  on  generating  new  sales  was limited,
therefore directly resulting in far fewer sales during the year ended August 31,
2004  in comparison to year ended August 31, 2003.  During the year ended August
31,  2004  we  incurred very minimal direct costs relating to the development of
new marketing strategies and discussions regarding the potential reorganization.
All  costs  associated  with  the  formal  reorganization plan were incurred and
recorded  in  the  financial  statements subsequent to the year ended August 31,
2004.

LIQUIDITY AND CAPITAL RESOURCES

     Our  operations  used  approximately $147,000 in cash during the year ended
August  31,2004.  Cash  required  during  the  year  ended  August 31, 2004 came
principally  from  director and shareholder advances of $118,000 and the sale of
restricted  common  shares  for  $29,000.

     We  plan  to keep ELCE purchases to a minimum and do not anticipate holding
large  amounts  of  ELCE  product  inventory  at  any one time after selling our
original  purchases  of  ELCE  water  activation  units.  We have arranged for a
warehouse facility to store the present ELCE inventory at $300 per month.

     UV  Pure products will be ordered when we receive orders from customers who
will pay a 50 percent deposit upon placement of orders with the balance due upon
shipment  FOB  Toronto.

     We  estimate  our  business  operational expenses during the next 12 months
will  be  approximately  $1.5  million.

APPLICATION OF CRITICAL ACCOUNTING POLICIES

     Our  financial statements and accompanying notes are prepared in accordance
with  generally  accepted  accounting principles in the United States. Preparing
financial  statements requires management to make estimates and assumptions that
affect the reported amounts of assets, liabilities, revenue, and expenses. These
estimates and assumptions are affected by management's application of accounting
policies.  Critical  accounting  policies  for  include  revenue  recognition,
impairment of marketing rights and accounting for legal contingencies.

     We  recognize  revenue in accordance with Staff Accounting Bulletin No.101,
"Revenue  Recognition in Financial Statements." Sales are recorded when products
are  shipped  to  customers.  Provisions for discounts and rebates to customers,
estimated  returns  and allowances and other adjustments are provided for in the
same  period  the  related  sales  are  recorded.

     We  evaluate  our  long-lived  assets for financial impairment on a regular
basis  in  accordance  with Statement of Financial Accounting Standards No. 121,
"Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets to
be  Disposed  Of" evaluates the recoverability of long-lived assets not held for
sale  by  measuring  the  carrying  amount  of  the assets against the estimated
discounted  future  cash  flows  associated  with  them.  At  the  time


                                       11
<PAGE>
such  evaluations  indicate  that  the  future  discounted cash flows of certain
long-lived  assets  are  not  sufficient  to  recover the carrying value of such
assets,  the  assets  are  adjusted  to  their  fair  values.

     Our business is more fully described in Part I of this Annual Report.

LIQUIDITY AND CAPITAL RESOURCES

     As  discussed  by  our  accountants  in  the  audited  financial statements
included  in  Item  7  of  this  Annual  Report  on  Form 10-KSB, our revenue is
currently  insufficient  to  cover  our  costs  and  expenses.

     Directors  and  shareholders  continue  to  provide  us the funds needed to
continue  our  development  and  operations. To the extent our revenue shortfall
exceeds  the  willingness  and  ability  of  our  directors  and shareholders to
continue  providing  us  the  funds  needed, we anticipate raising any necessary
capital from outside investors coupled with bank or mezzanine lenders. As of the
date  of  this  report, we have not entered into any negotiations with any third
parties  to  provide  such  capital.

     We  anticipate  that  our  current  financing  strategy of private debt and
equity  offerings  will  meet our anticipated objectives and business operations
for  the  next  12  months.  We continue to evaluate opportunities for corporate
development.  Subject  to  our  ability  to  obtain  adequate  financing  at the
applicable time, we may enter into definitive agreements on one or more of those
opportunities.

     Our  independent  auditor's  report  on  our  August  31,  2004  financial
statements  included  in  this  Annual Report states that our lack of sources of
revenues  raise  substantial  doubts  about  our  ability to continue as a going
concern.

RECENT DEVELOPMENTS

     Please  see  Item1 of this Annual Report for the discussion of our proposed
operations  going  forward  since  August  31,  2003.

OFF-BALANCE SHEET ARRANGEMENTS

     We do not have any off-balance sheet arrangements.

ITEM 7. FINANCIAL STATEMENTS.

     The  financial  statements  and  related notes are included as part of this
Annual Report as indexed in the appendix on page F/S-1 through F/S-14.


                                       12
<PAGE>
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                       FINANCIAL STATEMENTS AND SCHEDULES


                         FORMING A PART OF ANNUAL REPORT
                 PURSUANT TO THE SECURITIES EXCHANGE ACT OF 1934

                         INTERNATIONAL DEVELOPMENT CORP.


<PAGE>


                                OZOLUTIONS INC.
                            (A DELAWARE CORPORATION)
                            TORONTO, ONTARIO CANADA

                            ========================
                                FINANCIAL REPORTS
                                       AT
                                AUGUST 31, 2004
                            ========================



<PAGE>

OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


TABLE OF CONTENTS
================================================================================


Report of Independent Registered Public Accounting Firm                F - 1

Balance Sheets at August 31, 2004 and 2003                             F - 2

Statements of Changes in Stockholders' Equity (Deficit) for the
  Years Ended August 31, 2004 and 2003                             F - 3 - F - 4

Statements of Operations for the Years Ended
  August 31, 2004 and 2003                                             F - 5

Statements of Cash Flows for the Years Ended
  August 31, 2004 and 2003                                         F - 6 - F - 7

Notes to Financial Statements                                     F - 8 - F - 14


<PAGE>



            REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM



To the Board of Directors
  and Stockholders
Ozolutions Inc.
Toronto, Ontario Canada


     We  have  audited  the  accompanying  balance  sheets of Ozolutions Inc. (A
Delaware Corporation) as of August 31, 2004 and 2003, and the related statements
of  operations,  changes  in  stockholders' equity (deficit), and cash flows for
each  of  the  two  years  in the period ended August 31, 2004.  These financial
statements  are  the  responsibility  of  the  Company's  management.  Our
responsibility  is  to express an opinion on these financial statements based on
our  audits.

     We  conducted  our  audits  in  accordance with the standards of the Public
Company  Accounting  Oversight  Board  (United States).  Those standards require
that  we plan and perform the audit to obtain reasonable assurance about whether
the  financial  statements are free of material misstatement.  An audit includes
examining,  on  a test basis, evidence supporting the amounts and disclosures in
the  financial  statements.  An  audit  also  includes  assessing the accounting
principles  used  and  significant  estimates  made  by  management,  as well as
evaluating  the  overall  financial statement presentation.  We believe that our
audits  provide  a  reasonable  basis  for  our  opinion.

     In  our opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of the Company as of August 31,
2004  and 2003, and the results of its operations and its cash flows for each of
the two years in the period ended August 31, 2004, in conformity with accounting
principles  generally  accepted  in  the  United  States  of  America.

     The  accompanying  financial  statements  have  been  prepared assuming the
Company  will  continue  as  a  going  concern.  As  discussed  in Note G to the
financial  statements,  the Company has incurred losses that have resulted in an
accumulated  deficit.  This  condition  raises  substantial  doubt  about  the
Company's  ability to continue as a going concern.  Management's plans regarding
this  matter  are  described in Note G.  The financial statements do not include
any  adjustments  that  might  result  from  the  outcome  of  this uncertainty.


/s/ Rotenberg & Co., LLP


Rotenberg & Co., LLP
Rochester, New York
December 7, 2004 (except for Note O as to which the date is December 9, 2004)


                                      F - 1
<PAGE>
   The accompanying notes are an integral part of these financial statements.

<TABLE>
<CAPTION>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


BALANCE SHEETS
=======================================================================================================

                                                                                   (U.S. DOLLARS)

August 31,                                                                       2004          2003
-------------------------------------------------------------------------------------------------------
<S>                                                                          <C>           <C>

ASSETS

CURRENT ASSETS
Cash and Cash Equivalents                                                    $       233   $       127
Accounts Receivable - Net of Allowance for Doubtful Accounts
                      of $177,042 and $35,020, Respectively                       23,184       195,760
Inventory                                                                        208,798       182,363
Prepaid Expenses                                                                  40,000        50,000
-------------------------------------------------------------------------------------------------------

TOTAL CURRENT ASSETS                                                             272,215       428,250

OTHER ASSETS
Deposits                                                                               -        27,292
-------------------------------------------------------------------------------------------------------

TOTAL ASSETS                                                                 $   272,215   $   455,542
=======================================================================================================

LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)

CURRENT LIABILITIES
Accounts Payable                                                             $    93,506   $    66,658
Deferred Revenue                                                                   7,037         7,037
Share Repurchase Commitment                                                            -        81,699
Due to Director                                                                  149,897        82,298
Due to Stockholder                                                               107,327        56,501
-------------------------------------------------------------------------------------------------------

TOTAL LIABILITIES                                                                357,767       294,193
-------------------------------------------------------------------------------------------------------

STOCKHOLDERS' EQUITY (DEFICIT)
Common Stock:  $.001 Par; 50,000,000 Shares Authorized;
                            34,904,226 and 33,754,226 Issued and
                            Outstanding, Respectively                             34,904        33,754
Additional Paid-In Capital                                                     1,890,364     1,752,975
Accumulated Deficit                                                           (2,010,820)   (1,625,380)
-------------------------------------------------------------------------------------------------------

TOTAL STOCKHOLDERS' EQUITY (DEFICIT)                                             (85,552)      161,349
-------------------------------------------------------------------------------------------------------

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)                         $   272,215   $   455,542
=======================================================================================================

              The accompanying notes are an integral part of these financial statements.
</TABLE>


                                      F - 2
<PAGE>
<TABLE>
<CAPTION>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT)
==============================================================================================================================

                                                                              (U.S. DOLLARS)

                                                                     COMMON      ADDITIONAL                        TOTAL
                                                        NUMBER        STOCK        PAID-IN     ACCUMULATED     STOCKHOLDERS'
                                                      OF SHARES   ($0.001 PAR)     CAPITAL       DEFICIT     EQUITY (DEFICIT)
------------------------------------------------------------------------------------------------------------------------------
<S>                                                   <C>         <C>            <C>          <C>            <C>

BALANCE - AUGUST 31, 2003                             33,754,226  $      33,754  $ 1,752,975  $ (1,625,380)  $        161,349

Shares Issued as Consideration for
  Acquisition of Marketing Rights                        250,000            250       14,750             -             15,000

Shares Issued for Cash Consideration                     825,000            825       16,673             -             17,498

Shares Issued to Consultant in Exchange for Services      75,000             75        2,425             -              2,500

Cancellation of Commitment for Purchase of Shares
     for Cancellation                                          -              -       81,699             -             81,699

Proceeds from Former Stock Purchase Agreement                  -              -       11,673             -             11,673

Capital Contribution - Interest Expense                        -              -       10,169             -             10,169

Net Loss                                                       -              -            -      (385,440)          (385,440)
------------------------------------------------------------------------------------------------------------------------------

BALANCE - AUGUST 31, 2004                             34,904,226  $      34,904  $ 1,890,364  $ (2,010,820)  $        (85,552)
==============================================================================================================================

                         The accompanying notes are an integral part of these financial statements.
</TABLE>


                                      F - 3
<PAGE>
<TABLE>
<CAPTION>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT) - CONTINUED
================================================================================================================================

                                                                                 (U.S. DOLLARS)

                                                                      COMMON       ADDITIONAL                        TOTAL
                                                         NUMBER        STOCK        PAID-IN      ACCUMULATED     STOCKHOLDERS'
                                                       OF SHARES   ($0.001 PAR)     CAPITAL        DEFICIT     EQUITY (DEFICIT)
--------------------------------------------------------------------------------------------------------------------------------
<S>                                                    <C>         <C>            <C>           <C>            <C>

BALANCE - AUGUST 31, 2002                              33,333,326  $      33,333  $ 1,817,516   $ (1,017,816)  $        833,033

Shares Issued to Consultants in Exchange for Services     300,000            300       14,700              -             15,000

Shares Issued under Former Stock Purchase Agreement       120,900            121         (121)             -                  -

Commitment for Purchase of Shares for Cancellation              -              -      (81,699)             -            (81,699)

Capital Contribution - Interest Expense                         -              -        2,579              -              2,579

Net Loss                                                        -              -            -       (607,564)          (607,564)
--------------------------------------------------------------------------------------------------------------------------------

BALANCE - AUGUST 31, 2003                              33,754,226  $      33,754  $ 1,752,975   $ (1,625,380)  $        161,349
================================================================================================================================


                        The accompanying notes are an integral part of these financial statements.
</TABLE>


                                      F - 4
<PAGE>
<TABLE>
<CAPTION>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


STATEMENTS OF OPERATIONS
=================================================================================

                                                             (U.S. DOLLARS)

YEARS ENDED AUGUST 31,                                     2004          2003
---------------------------------------------------------------------------------
<S>                                                    <C>           <C>

REVENUES, NET                                          $    22,950   $   143,636

Cost of Goods Sold                                          18,619       101,239
---------------------------------------------------------------------------------

GROSS PROFIT                                                 4,331        42,397
---------------------------------------------------------------------------------

EXPENSES
Bad Debts                                                  143,788        63,108
Consulting Fees                                             61,049       137,925
Marketing, Including Amortization of Marketing Rights       56,814       154,399
General and Administrative                                 117,951       120,883
Interest Expense                                            10,169         2,579
---------------------------------------------------------------------------------

TOTAL EXPENSES                                             389,771       478,894
---------------------------------------------------------------------------------

LOSS BEFORE OTHER EXPENSES                                (385,440)     (436,497)

OTHER EXPENSES
Loss on Impairment of Marketing Rights                           -       171,067
---------------------------------------------------------------------------------

LOSS BEFORE PROVISION FOR TAXES                           (385,440)     (607,564)

Provision for Taxes                                              -             -
---------------------------------------------------------------------------------

NET LOSS                                               $  (385,440)  $  (607,564)
---------------------------------------------------------------------------------

WEIGHTED AVERAGE NUMBER OF COMMON SHARES
  OUTSTANDING - BASIC AND DILUTED                       34,186,671    33,669,517

LOSS PER COMMON SHARE - BASIC AND DILUTED              $     (0.01)  $     (0.02)
=================================================================================


    The accompanying notes are an integral part of these financial statements.
</TABLE>


                                      F - 5
<PAGE>
<TABLE>
<CAPTION>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


STATEMENTS OF CASH FLOWS
=====================================================================

                                                   (U.S. DOLLARS)

Years Ended August 31,                            2004        2003
---------------------------------------------------------------------
<S>                                            <C>         <C>

CASH FLOWS FROM OPERATING ACTIVITIES

NET LOSS                                       $(385,440)  $(607,564)

NON-CASH ADJUSTMENTS:
Amortization of Marketing Rights                  15,000      29,748
Bad Debts                                        143,788      63,108
Interest on Director/Stockholder Loans            10,169       2,579
Loss on Impairment of Marketing Rights                 -     171,067
Shares Issued to Consultants                       2,500      15,000

CHANGES IN ASSETS AND LIABILITIES:
Accounts Receivable                               28,788    (121,325)
Inventory                                        (26,435)    (14,993)
Prepaid Expenses and Deposits                     10,000      48,500
Deposits                                          27,292       5,240
Accounts Payable                                  26,848      59,541
Deferred Revenue                                       -       7,037
---------------------------------------------------------------------

NET CASH FLOWS FROM OPERATING ACTIVITIES        (147,490)   (342,062)
---------------------------------------------------------------------

CASH FLOWS FROM INVESTING ACTIVITIES                   -           -
---------------------------------------------------------------------

CASH FLOWS FROM FINANCING ACTIVITIES
Advances from Director                            67,599      67,342
Advances from Stockholder                         50,826      51,690
Proceeds from Issuance of Stock                   17,498           -
Proceeds from Former Stock Purchase Agreement     11,673           -
---------------------------------------------------------------------

NET CASH FLOWS FROM FINANCING ACTIVITIES         147,596     119,032
---------------------------------------------------------------------

NET CHANGE IN CASH AND CASH EQUIVALENTS              106    (223,030)

Cash and Cash Equivalents - Beginning of Year        127     223,157
---------------------------------------------------------------------

CASH AND CASH EQUIVALENTS - END OF YEAR        $     233   $     127
=====================================================================


The accompanying notes are an integral part of these financial statements.
</TABLE>


                                      F - 6
<PAGE>
<TABLE>
<CAPTION>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


STATEMENTS OF CASH FLOWS - CONTINUED
======================================================================

                                                      (U.S. DOLLARS)

Years Ended August 31,                                2004      2003
----------------------------------------------------------------------
<S>                                                 <C>        <C>

SUPPLEMENTAL DISCLOSURES
======================================================================

Interest Paid                                       $      -   $     -
Income Taxes Paid                                   $      -   $     -
======================================================================


NON-CASH INVESTING AND FINANCING ACTIVITIES
======================================================================

Commitment for Purchase of Shares for Cancellation  $(81,699)  $81,699
======================================================================

Acquisition of Marketing Rights                     $ 15,000   $     -
Purchase Price Paid via Issuance of Common Stock     (15,000)        -
----------------------------------------------------------------------

TOTAL CASH PAID FOR MARKETING RIGHTS                $      -   $     -
======================================================================


The accompanying notes are an integral part of these financial statements.
</TABLE>


                                      F - 7
<PAGE>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


NOTES TO FINANCIAL STATEMENTS
================================================================================


NOTE A -  THE COMPANY

          The  Company  was incorporated under the laws of the State of Delaware
          on  January  10,  1996 as Unipak Process, Inc. The name of the Company
          was changed to Rico Resources 1999, Inc. on October 22, 1999. On April
          12, 2000, the Board of Directors filed a Certificate of Amendment with
          the Secretary of the State of Delaware changing the name to Ozolutions
          Inc. On April 12, 2000, the Board of Directors amended the articles of
          incorporation  to  increase  the number of authorized shares of common
          stock  from  20,000,000 to 50,000,000 shares of $.001 par value common
          stock.  The  Company's principal office is located in Toronto, Ontario
          Canada.

          SCOPE OF BUSINESS
          The  Company  is  an  international  marketer and distributor of water
          purification  systems  using ozone and water activator technology. The
          markets  the Company targets are Canada, the United States of America,
          Mexico,  Costa  Rica  and  Peru.

NOTE B -  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
          METHOD OF ACCOUNTING
          The  Company maintains its books and prepares its financial statements
          on  the  accrual  basis  of  accounting.

          CASH AND CASH EQUIVALENTS
          Cash  and  cash  equivalents  include  time  deposits, certificates of
          deposit,  and  all  highly  liquid  debt  instruments  with  original
          maturities  of  three  months  or less. The Company maintains cash and
          cash  equivalents  at  financial  institutions, which periodically may
          exceed  federally  insured  amounts.

          ACCOUNTS RECEIVABLE AND ALLOWANCE FOR DOUBTFUL ACCOUNTS
          Accounts  receivable  are  stated  net  of  an  allowance for doubtful
          accounts. The Company estimates the allowance based on its analysis of
          specific  balances  and  taking into consideration the age of past due
          accounts.

          INVENTORY
          Inventory consists of merchandise held for resale and is stated at the
          lower  of  cost  or  market  using  the  first-in,  first-out  method.

          REVENUE RECOGNITION
          Sales  are recorded when products are shipped to customers. Provisions
          for  discounts  and  rebates  to  customers,  estimated  returns  and
          allowances  and  other adjustments are provided for in the same period
          the  related  sales  are  recorded.

          USE OF ESTIMATES
          The  preparation  of 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 financial statements and the reported amounts of revenues
          and  expenses  during  the reporting period. Actual results can differ
          from  those  estimates.

          LOSS PER COMMON SHARE
          Loss  per  common  share  is  computed in accordance with Statement of
          Financial  Accounting  Standards  No.  128,  "Earnings  Per Share," by
          dividing  income  (loss)  available to common stockholders by weighted
          average  number  of  common  shares  outstanding  for  each  period.

                                                                   - continued -


                                      F - 8
<PAGE>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


NOTES TO FINANCIAL STATEMENTS
================================================================================


NOTE B -  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CONTINUED

          INCOME TAXES
          The  Company accounts for income taxes in accordance with Statement of
          Financial Accounting Standards No. 109, "Accounting for Income Taxes,"
          using  the  asset and liability approach, which require recognition of
          deferred  tax  liabilities  and  assets  for  the  expected future tax
          consequences of temporary differences between the carrying amounts and
          the  tax  basis  of  such assets and liabilities. This method utilizes
          enacted  statutory  tax  rates  in  effect  for  the year in which the
          temporary  differences  are  expected  to  reverse and gives immediate
          effect  to  changes  in  income tax rates upon enactment. Deferred tax
          assets  are  recognized, net of any valuation allowance, for temporary
          differences  and  net  operating  loss  and tax credit carry forwards.
          Deferred  income  tax  expense  represents  the change in net deferred
          assets  and  liability  balances.

          MARKETING RIGHTS
          Marketing  rights  represent  the  exclusive  rights to distribute the
          products of "ELCE International Inc." acquired from ELCE International
          Inc.  Contracts  were  recorded  at cost and were amortized over their
          useful  lives.

          IMPAIRMENT OF MARKETING RIGHTS
          The  Company  evaluates its long-lived assets for financial impairment
          on  a  regular  basis  in  accordance  with  Statement  of  Financial
          Accounting  Standards  No.  144,  "Accounting  for  the  Impairment or
          Disposal  of  Long-Lived  Assets."  The  Company  evaluates  the
          recoverability of long-lived assets not held for sale by measuring the
          carrying  amount of the assets against the estimated discounted future
          cash flows associated with them. At the time such evaluations indicate
          that the future discounted cash flows of certain long-lived assets are
          not  sufficient  to  recover  the  carrying  value of such assets, the
          assets  are  adjusted  to  their  fair  values.

          RECLASSIFICATIONS
          Certain  amounts  in  the  prior  year  financial statements have been
          reclassified  to  conform  with  the  current  year  presentation. The
          reclassifications  made  to  the  prior year have no impact on the net
          income  (loss),  or  overall presentation of the financial statements.

NOTE C -  MARKETING RIGHTS
          HANKIN OZONE SYSTEMS, LTD
          The Company purchased the exclusive marketing rights to distribute the
          products  of  Hankin  Ozone  Systems,  LTD  ("Hankin")  in Canada, the
          Caribbean,  and  Mexico  from 1421209 Ontario Limited. The acquisition
          occurred on June 21, 2000 in which Ozolutions Inc. received the rights
          to  begin  distributing the products of Hankin and became obligated to
          1421209  Ontario  Limited  for  the  purchase  price  described below.

          The  payment  terms  (as  amended  on  November  7,  2000)  were  for
          $1,017,217,  and the issuance of 8,000,000 common shares of Ozolutions
          Inc.  A  non-refundable payment of $17,217 was paid to 1421209 Ontario
          Limited  in  June  2000.

                                                                   - continued -


                                      F - 9
<PAGE>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


NOTES TO FINANCIAL STATEMENTS
================================================================================


NOTE C -  MARKETING RIGHTS - CONTINUED

          In  November 2000, the 8,000,000 shares of common stock were delivered
          to 1421209 Ontario Limited. The Company had an agreement to repurchase
          6,000,000  of  the  8,000,000  shares for $81,699. During August 2004,
          this  agreement  was  canceled  by  both parties. In October 2004, the
          Company  entered  into  an  agreement  with 1421209 Ontario Limited to
          repurchase  3,000,000 common shares for $25,000. The payment terms are
          a  $10,000  non-refundable  deposit  upon acceptance of the agreement,
          with  the balance of $15,000 due on or before February 1, 2005. In the
          event  the  Company  defaults on the second installment, the agreement
          will be cancelled and 1421209 Ontario Limited will retain ownership of
          the  3,000,000  shares.

          In  April  2002, the exclusive marketing rights agreement with 1421209
          Ontario  Limited  was  cancelled  and  the obligation of $1,000,000 to
          1421209  Ontario  Limited  was  no  longer  due.

          In  September  2004, Hankin filed for bankruptcy. The Company has made
          arrangements  with another Canadian company to provide ozone products,
          as required. The deposit of $27,292 for 25 EntrOzone units was written
          off  in  full  as  of  August  31,  2004.

          ELCE INTERNATIONAL INC.
          In  January 2002, the Company purchased the exclusive marketing rights
          to  distribute the water activator products of ELCE International Inc.
          ("ELCE") in Canada from ELCE. In February 2003, the Company determined
          that  it  could not meet the conditions of the marketing agreement for
          ELCE  in Canada. As a result, the Company lost the exclusive marketing
          rights  to  distribute  the  ELCE products in Canada. In addition, the
          previously  agreed  upon  distributor's  discount  on  purchases  was
          decreased  from  40% to 30%. Based on the above, the Company wrote off
          the  remaining  carrying  value  of  the exclusive marketing rights at
          February  28, 2003 which resulted in a charge to operations during the
          year  ended  August  31,  2003  in  the  amount  of  $171,067.

          In September 2003, the Company issued 250,000 restricted common shares
          to  the  President  of  ELCE  in order to maintain the relationship in
          Canada for the ELCE products. The issuance of common stock resulted in
          a charge to earnings of $15,000 during the year ended August 31, 2004.

NOTE D -  STOCK PURCHASE AGREEMENT
          The Company entered into a Stock Purchase Agreement on October 1, 2001
          with  First  Chartered  Capital Corporation, Inc. ("First Chartered").
          First  Chartered  purchased stock of the Company for 30% of the market
          value  on  the  date  of purchase. Through August 31, 2004, 12,330,093
          restricted  common  shares  had been purchased by First Chartered with
          the Company receiving $1,042,282. The Company cancelled this agreement
          in  August  2002.

NOTE E -  CONSULTING AND ADVISORY AGREEMENTS
          On June 5, 2001, the Company entered into advisory agreements with the
          firms  of David Michael LLC and Feng Shui Consulting, Inc. The purpose
          of  the advisory agreements was to assist the Company in effecting the
          purchase  of businesses and assets relative to its business and growth
          strategy,  acquisition  of  other  operations  or  businesses, general
          business and financial consulting, and the introduction of the Company
          to  public  relations firms and consultants and others that may assist
          the  Company  in  its  plans.

                                                                   - continued -


                                     F - 10
<PAGE>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


NOTES TO FINANCIAL STATEMENTS
================================================================================


NOTE E -  CONSULTING AND ADVISORY AGREEMENTS - CONTINUED

          In June 2002, David Michael LLC and Feng Shui Consulting, Inc. filed a
          suit  against  the Company for breach of contract. The Company filed a
          counter  claim  and  third  party  complaint  denying  the substantive
          allegations  of  the  complaint  and  asserting breach of contract and
          fraud  in  connection  with  the  transaction. During August 2004, the
          United  States  District  Court for the District of Utah dismissed the
          case  in  its entirety with prejudice, with each party to bear its own
          costs  and  fees. As part of the dismissal, the Company had the option
          to repurchase the 800,000 common shares that were previously issued to
          the  plaintiffs  upon  payment  of $5,000, which was paid in September
          2004.

          On  January  11, 2002, the Company entered into a financial consulting
          and  investment  banking  agreement  with  Chapman, Spira & Carson LLC
          ("Chapmam").  The  purpose  of the agreement was to assist the Company
          with  general  business and financial consulting and obtain equity and
          debt  financing  up  to  $2 million on terms agreeable to the Company.
          Upon  the  receipt  of the initial financing proceeds, the Company was
          required  to  pay  a  non-refundable retainer fee of $25,000 and issue
          200,000 restricted shares of the Company's common stock. As of May 31,
          2002,  the  Company  had  paid  $3,000  of the $25,000 retainer fee in
          advance.  In  June  2002,  Chapman  cancelled  this  agreement.

          In  June  2002,  Chapman  made  a  demand  for arbitration through the
          American Arbitration Association as provided in the agreement claiming
          $50,000 in fees, plus nine percent interest, and 200,000 shares of the
          Company's common stock. In February 2003, the judge returned a verdict
          against  Chapman  and awarded the Company approximately $22,000 net of
          any  Company  legal  fees.  The  amount  has  not been recorded in the
          accompanying financial statements as the Company is uncertain that the
          payment  will  be  received.  Chapman  appealed  to the New York State
          Supreme  Court  in  2004 and this appeal was dismissed. At the present
          time,  Chapman has appealed to the Court of Appeal in New York and has
          a  fixed  time  limit  of  sixty  days  to  prove  their  case.

          In  October  2002, the Company entered into an agreement with Cybertek
          Capital  Management  Inc.  ("Cybertek") or its assignees to distribute
          the  Company's  products. The agreement was for a five year period. In
          exchange  for  these services, the Company granted options to purchase
          2,000,000  common  shares  at  $0.50 per share. The options would have
          vested  at  a  rate  of 10% per quarter beginning November 1, 2003 and
          would  have  had  a five year term. This issuance had no impact on the
          Company's  financial  statements. In June 2004, it was mutually agreed
          by both parties to terminate this agreement and all stock options were
          cancelled.

NOTE F -  RELATED PARTY TRANSACTIONS
          Certain  disbursements  of the Company have been paid by a director of
          the Company, therefore a Due to Director account has been established.
          The  balance  at  August  31,  2004 and 2003 was $149,897 and $82,298,
          respectively.  The  amount due is non-interest bearing and contains no
          formal  repayment terms. The Company has imputed interest at the prime
          rate  plus  1%  and  charged  operations  with an offsetting credit to
          additional  paid-in  capital.

          Certain  disbursements of the Company have been paid by a stockholder,
          therefore  a  Due  to  Stockholder  account  has been established. The
          balance  at  August  31,  2004  and  2003  was  $107,327  and  $56,501
          respectively.  The  amount due is non-interest bearing and contains no
          formal  repayment terms. The Company has imputed interest at the prime
          rate  plus  1%  and  charged  operations  with an offsetting credit to
          additional  paid-in  capital.

                                                                   - continued -


                                     F - 11
<PAGE>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


NOTES TO FINANCIAL STATEMENTS
================================================================================


NOTE F -  RELATED PARTY TRANSACTIONS - CONTINUED

          In  May 2003, the Company recognized individual sales to a stockholder
          and  to  a  director  in  the  amount  of  $1,600  each.

          The  Company used office space in a facility owned by a stockholder at
          no  cost.  The  estimated  fair  rental  of the office space is deemed
          immaterial  to  the  financial  statements.

          In  September  2004,  Betty-Ann Harland was appointed CEO and Chair of
          the  Board of Directors of the Company, and received 15,000,000 shares
          of  common  stock  in  consideration  for  $25,000.

          In  October 2004, the Company entered into a consulting agreement with
          its  Chief  Executive  Officer  for  a  five  year  term,  with annual
          compensation  of  $220,000.

          In  October  2004, the Company entered into consulting agreements with
          its Chief Operating and Chief Financial Officers for three year terms,
          each  with  annual  compensation  of  $100,000.

NOTE G -  GOING CONCERN
          The  Company's  financial  statements have been presented on the basis
          that  it  is  a  going  concern, which contemplates the realization of
          assets  and  the  satisfaction  of liabilities in the normal course of
          business. The Company has reported net losses of $385,440 and $607,564
          for the years ended August 31, 2004 and 2003. As a result, there is an
          accumulated  deficit  of  $2,010,820  at  August  31,  2004.

          The  Company's  continued  existence  is dependent upon its ability to
          raise capital and/or to successfully market and sell its products. The
          financial  statements  do  not  include  any adjustments that might be
          necessary should the Company be unable to continue as a going concern.

NOTE H -  STOCK OPTIONS
          The  Company  has a stock option plan under which it may grant options
          to  purchase  shares  of  the  Company's  common  stock.  Options vest
          immediately  and  have  varying  expiration  dates.

          The  Company has elected to follow Accounting Principles Board Opinion
          (APBO)  No.  25  and  related  interpretations  in  accounting for its
          stock-based  compensation  made to its employees. APBO No. 25 requires
          no  recognition  of  compensation  expense for most of the stock-based
          compensation arrangements provided by the Company, namely, broad-based
          employee  stock  purchase  plans  and option grants where the exercise
          price  is equal to or less than the market value at the date of grant.
          However,  APBO No. 25 requires recognition of compensation expense for
          variable  award  plans  over  the vesting periods of such plans, based
          upon  the  then-current  market  values  of  the  underlying stock. In
          contrast,  Statement of Financial Accounting Standards (SFAS) No. 123,
          Accounting  for  Stock-Based Compensation, as amended by SFAS No. 148,
          Accounting  for Stock-Based Compensation - Transition and Disclosure -
          an  amendment  of  FASB  Statement  No.  123,  requires recognition of
          compensation  expense  for  grants  of stock, stock options, and other
          equity  instruments, over the vesting periods of such grants, based on
          the  estimated  grant-date  fair values of those grants. Stock options
          and awards made to directors, investors and consultants are subject to
          the  provisions  of  SFAS  No.  123.

                                                                   - continued -


                                     F - 12
<PAGE>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


NOTES TO FINANCIAL STATEMENTS
================================================================================


NOTE H -  STOCK OPTIONS - CONTINUED

          DIRECTORS
          In  January  2004,  the  Company granted an option to purchase 125,000
          common  shares  at  $0.10  per  share  to  an  Officer/Director of the
          Company.  This  grant had no impact on the statement of operations for
          the  year  ended  August  31,  2004.

          In September 2004, the Company and all of the option holders agreed to
          cancel  all outstanding Directors' options, effective as of August 31,
          2004.

          VENDORS
          During 2002 the Company granted stock options for 500,000 shares of
          common stock to vendors in exchange for marketing rights. In
          accordance with SFAS No. 123, the Company recorded these marketing
          rights at $237,975 in 2002 which represents the fair value of the
          options at the date of grant using a Black Scholes option-pricing
          model. In September 2003 these options were mutually cancelled.

NOTE I -  INCOME TAXES
          At  August 31, 2004 and 2003, the Company had approximately $1,835,000
          and  $1,590,000 accumulated tax losses to apply against future taxable
          income. The net operating loss carry forwards begin to expire in 2011.
          The  Company  has  fully reserved for any future tax benefits from the
          net  operating  loss  carry  forwards  since  it has not generated any
          income  to date. The Company has no other material deferred tax assets
          or  liabilities  for  the  periods  presented.

NOTE J -  FAIR VALUE OF FINANCIAL INSTRUMENTS
          The  fair  value  of  cash  and cash equivalents, accounts receivable,
          inventory,  prepaid  expenses,  deposits,  accounts  payable, deferred
          revenue,  and  share  repurchase commitment approximated book value at
          August 31, 2004 and 2003 because their maturity is generally less than
          one  year  in  duration.

          The  fair value of due to director and due to stockholder could not be
          obtained  without  incurring  excessive  costs as they have no readily
          determinable  market  price.

NOTE K -  PROPOSED ACQUISITIONS
          In  May  2002,  the  Company  signed a letter of intent to acquire the
          assets  of  Electrical  Systems  in Engineering ("ESE"), an electrical
          parts  distribution  company.  As  proposed,  the  Company  will  pay
          approximately  $1,500,000  in  cash  to  acquire  the  assets  of ESE.
          Completion  of  this  transaction  is  subject  to  a  number  of
          contingencies,  including  completion  of  due diligence review of the
          parties  involved,  negotiation  of  definitive agreements between the
          parties,  and  arranging  for  the  financing  required  to  pay  the
          consideration  for  the  assets  to  be  acquired.

NOTE L -  RECENTLY ISSUED ACCOUNTING STANDARDS
          There  are  no  recently issued accounting standards that would have a
          material  impact  on  the  financial  statements.


                                     F - 13
<PAGE>
OZOLUTIONS INC.
(A DELAWARE CORPORATION)
TORONTO, ONTARIO CANADA


NOTES TO FINANCIAL STATEMENTS
================================================================================


NOTE M -  COMMITMENTS
          In  April  2003,  the Company accepted a $5,000,000 financing proposal
          from  U.S.  Capital, Inc., a California based investment banking firm.
          The  financing  commitment  is  comprised  of  the following elements:

          -    $2,500,000  will  be provided in the form of senior secured debt.
               The  debt  has  a  5 year term with a 10 year amortization and an
               automatic  option  to  extend  for another 5 years. Principal and
               interest  will  be  due  at the end 10 years. The simple interest
               rate  is  11.25%  per  year.

          -    8,000,000  restricted common shares will be issued for $2,500,000
               with  a put option to buy back 4,000,000 shares for $1,250,000 at
               the end of 5 years and 4,000,000 shares for $1,250,000 at the end
               of 10 years. The Company will pay an annual consulting fee of 10%
               per  year  of  the  amount  outstanding  under  this  part of the
               financing  agreement.

          -    The  Company  has  paid  a  $50,000  commitment fee to secure the
               financing  which  U.S. Capital, Inc. expects to conclude in 2005.
               During the year ended August 31, 2004, $10,000 of this commitment
               fee  was  refunded  to  the  Company.

NOTE N -  CONCENTRATIONS
          During  the year ended August 31, 2004, the largest customer accounted
          for  86%  of  net  sales. Also, 86% of net sales during the year ended
          August  31,  2004 were made to foreign customers. The Company does not
          believe  that  they  are  dependent  on  the current customer base for
          future  sales.

          During  the  year  ended  August  31,  2003, the largest two customers
          accounted  for 34% and 32% of net sales. Also, 52% of net sales during
          the  year  ended  August  31,  2003  were  made  to foreign customers.

          The Company is dependent on a third-party vendor for all of its supply
          of  water-activated  purification systems. The Company is dependent on
          the  ability of its supplier to provide products on a timely basis and
          on favorable pricing terms. The loss of this supplier or a significant
          reduction  in  product  availability  from  this supplier could have a
          material  adverse effect on the Company. The Company believes that its
          relationship  with  this  supplier  is  excellent.

NOTE O -  SUBSEQUENT EVENTS
          At  a  stockholders  meeting  held  on  December 9, 2004 the following
          resolutions  were  adopted  by  written  consent  of  a  majority  of
          stockholders:
          1)   Approved  the  merger  of  Ozolutions  Inc.  and  International
               Development  Corp.  ("I.D.C."), a Nevada Corporation, with I.D.C.
               becoming  the  continuing  company.
          2)   Approved  the  change  of the Company's domicile from Delaware to
               Nevada.
          3)   Elected  Directors  of  I.D.C.,  the  surviving  Company.
          4)   Approved  an  increase in authorized common stock from 50,000,000
               to  800,000,000  under  the  articles  of incorporation of I.D.C.
          5)   Authorized  100,000,000  shares  of  preferred  stock.
          6)   Authorized  the  Board of Directors to determine the preferences,
               limitations and rights of classes or series of shares as provided
               in  Section  78.1955  of  the  Nevada  Revised Statutes under the
               articles  of  incorporation of I.D.C., the surviving Corporation.
          7)   Approved the bylaws of I.D.C. which governs the Company following
               the  merger.


                                     F - 14
<PAGE>
ITEM 8. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
FINANCIAL DISCLOSURE.

     None.

ITEM 8A. CONTROLS AND PROCEDURES.

     Disclosure  controls  and procedures are controls and other procedures that
are  designed  to  ensure that information required to be disclosed by us in the
reports  that  we  file or submit under the Exchange Act is recorded, processed,
summarized and reported, within the time periods specified in the Securities and
Exchange  Commission's  rules  and  forms.  Disclosure  controls  and procedures
include,  without  limitation,  controls  and procedures designed to ensure that
information required to be disclosed by us in the reports that we file under the
Exchange  Act  is  accumulated and communicated to our management, including our
principal  executive  and  financial  officers,  as  appropriate to allow timely
decisions  regarding  required  disclosure.

     Evaluation  of disclosure and controls and procedures. As of the end of the
period  covered  by  this  Annual  Report, we conducted an evaluation, under the
supervision  and with the participation of our chief executive officer and chief
financial  officer,  of  our  disclosure  controls and procedures (as defined in
Rules  13a-15(e)  of  the  Exchange Act).

Based  on  this  evaluation,  our  chief  executive  officer and chief financial
officer  concluded  that our disclosure controls and procedures were ineffective
to  ensure  that  information  required to be disclosed by us in reports that we
file  or  submit  under  the Exchange Act is recorded, processed, summarized and
reported within the time periods specified in Securities and Exchange Commission
rules  and  forms.  The  ineffective  controls  and  procedures  resulted in our
incorrectly  stating that we had terminated our water purification business, and
were  determined  to be an isolated incident and had an immaterial effect on our
Form  10-KSB  Annual  Report,  as  amended.  Management  has taken the necessary
actions  to  revise  the  ineffective  controls and procedures to prevent future
failures,  which  was  a  direct result of a breakdown in communications on this
isolated  matter.

     Changes  in internal controls over financial reporting. There was no change
in  our  internal  controls,  which  are included within disclosure controls and
procedures,  during  our  most  recently  completed  fiscal  quarter  that  has
materially  affected, or is reasonably likely to materially affect, our internal
controls.

                                    PART III

ITEM 9. DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT.

     Our  directors  and  executive  officers  are:

<TABLE>
<CAPTION>
           NAME          AGE                 POSITION                  POSITION HELD SINCE
           ----          ---                 --------                  -------------------
<S>                      <C>  <C>                                      <C>

     Betty-Ann Harland    52  Chairman, Chief Executive Officer, and          2004
                                            Director

     Max Weissengruber    66  President, Chief Operating Officer, and         2000
                                            Director

     D. Brian Robertson   62          Chief Financial Officer                 2004

     Douglas Robertson    66                Director                          2001

     Robert W. Gingell    53                Director                          2004

     Arthur N. Kelly      43                Director                          2004
</TABLE>

     Our  executive  officers  are  elected  annually by our board of directors.
There  are  no  family relationships among our directors and executive officers.

     Betty-Ann  Harland  has  31  years  of  experience  in  a variety of senior
management  positions.  Prior  to  becoming our chief executive officer, she was
vice-president  of  Ameri-can  Equipment  Sales  and  Leasing.  Prior to joining
Ameri-can  Equipment  Sales  and  Leasing, she fulfilled a number of significant
managerial  responsibilities  in the automotive industry. From 1988 to 1993, she
worked  in  finance  and  insurance  and  sales consulting for Decarie Motors, a
Montreal luxury car dealer carrying Jaguar, Rolls Royce, Bentley and Range Rover
product  lines. From 1994 until 1995, she was a finance and insurance specialist
for  Addison  Bay,  a  Toronto  Cadillac,  Pontiac,  and  Buick  dealer.

     Max  Weissengruber has served as our president since April, 2000. From 1980
to  1984,  he  was  a  manager  of  consulting  services  for KPMG, a world wide
professional  consulting  firm  specializing  in  business  advice fro small and
medium sized companies. He then joined Wilson Learning International as director
of  marketing  specializing  in  sales and customer service consulting for firms
such  as General Motors and IBM. In 1993 he became managing partner and owner of
Acris Partners, a marketing and consulting firm specializing in employee surveys
and  marketing  communications  and  sales  training  programs.  A  graduate  in
Behavioral Sciences from Michigan State University, he has taught Organizational
Behaviour  at  the University of Toronto and Entrepreneurial Studies for the MBA
Program  at  the  Canadian  School  of  Management  in  Toronto.

     D.  Brian  Robertson,  a  Chartered  Accountant,  is  responsible  for  our
financial  management,  preparation  of  all  financial  reports,  forecasts and
budgets as well as assuring financial compliance with all regulatory authorities
and liaison with auditors. In 1959, he joined Touche Ross & Co. and obtained his
Chartered  Accountant's degree in 1964. In 1982, he became an investment advisor
for  a  national  investment  dealer  and in 1988 he became a vice-president and
director  of  Continental  Securities  Limited.  During  the  1990's,  he  was
self-employed  as  a  business and financial consultant to a number of different
business  enterprises.  In 2000, he was instrumental in founding Ozolutions Inc.
where  he continued to act as a financial consultant and business advisor in the
development  of  our  water  treatment  business.


                                       13
<PAGE>
     Douglas  R.  Robertson  has served as our chief financial officer from July
2003  until  September  23,  2004. Mr. Robertson has been general manager of MTL
Trading  of  Toronto,  Ontario  since  May  2001.  MTL Trading is engaged in the
business  of  buying  and selling meat and poultry products. For over five years
prior  to May 2001, Mr. Robertson was the president and owner of Robertson Foods
of  Toronto,  Ontario, a company engaged in the business of exporting pork, beef
and  poultry.

     Robert  W. Gingell has been an account specialist for Wesco Distribution of
Hamilton,  Ontario, since 2003 until the present. From 2001 until 2003, he was a
technical  sales  representative  for Siemens Westinghouse Technical Services in
Toronto,  Ontario.  From  1999  until  2001,  he  was senior account manager for
Ainsworth  Inc.,  Toronto, Ontario. From 1994 until 1999, he was a sales manager
for  G.  E.  Canada  -  Power  Systems  Division,  Burlington,  Ontario.

     Arthur  N. Kelly has 18 years of marketing, sales and management experience
and is currently vice president of sales-North America for ELTEK Energy where he
is  responsible  for the development and growth of all ELTEK Energy sales in the
U.S. and Canadian markets. He attended Concordia University in Montreal where he
earned  his  Bachelor  of Business Administration degree. Mr. Kelly held various
sales  and  management  positions  with Marconi Communications from 1988 to 2001
where  he  was  responsible  for  sales  of  power  generation and communication
supplies  to  major North American communications companies. Mr. Kelly was sales
manager  for  S.N.P.  Associates  in  France from 1986 to 1988 and also district
sales  manager  for  Pylon  Electronics  in  Montreal  from  1985  to  1986.

SECTION 16(A) BENEFICIAL OWNERSHIP REPORTING COMPLIANCE

     Section  16(a)  of  the  Exchange  Act  requires  our  directors, executive
officers  and  persons who own more than 10 percent of a registered class of our
equity securities, file with the SEC initial reports of ownership and reports of
changes  in ownership of our equity securities.  Officers, directors and greater
than  10  percent stockholders are required by SEC regulation to furnish us with
copies  of  all  Section  16(a)  forms they file.  Based solely upon a review of
copies  of  such  forms  filed  on  Forms  3,  4,  and 5, and amendments thereto
furnished  to  us,  we  believe  that during the year ended August 31, 2004, our
executive  officers,  directors  and  greater  than 10 percent beneficial owners
complied  on  a  timely  basis  with  all  Section  16(a)  filing  requirements.

COMMITTEES OF THE BOARD OF DIRECTORS

     Compensation  Committee.  Our  board  of  directors  has recently created a
compensation committee. However, no members to the committee have been appointed
and  the  committee  has not been formally organized. The compensation committee
will  make  recommendations  to  the  board of directors concerning salaries and
compensation  for  our  executive  officers  and employees.  Our board adopted a
written charter for the compensation committee. Since the compensation committee
has  been formed recently, there have been no meetings held or members appointed
at  the  time  of  this  Annual  Report.

     Audit  Committee.  Our  board  of  directors  has recently created an audit
committee  which will be directly responsible for the appointment, compensation,
and  oversight  of the work of any registered public accounting firm employed by
us (including resolution of disagreements between our management and the auditor
regarding financial disclosure) for the purpose of preparing or issuing an audit
report  or  related  work.  Our  board  adopted  a written charter for the audit
committee.  The  audit  committee  will review and evaluate our internal control
functions.  Since  the audit committee has been formed recently, there have been
no  meetings  held  or  members  appointed  at  the  time of this Annual Report.

     The  members  of  the  audit committee will be independent as defined under
Rule  4200(a)(15)  of  the  NASD's  listing  standards.

     Executive  Committee.  We  do not have an executive committee, although our
board  of  directors  is  authorized  to  create  one.

     Nominating  Committee.  Our  board  of  directors  has  recently  created a
nominating  committee.  No  meetings  have  been  held or members appointed. The
functions  to  be  performed  by  the  nominating  committee  include


                                       14
<PAGE>
selecting  candidates to fill vacancies on the board of directors, reviewing the
structure and composition of the board, and considering qualifications requisite
for  continuing board service. The nominating committee will consider candidates
recommended  by  any  of  our stockholders. Any such recommendation for the 2005
Annual  Meeting of Shareholders should be provided to our corporate secretary by
December  31,  2004.

     The  policies  and  procedures  with  respect  to the consideration of such
candidates  are  set  forth  below.

     The  recommended candidate is to be submitted to us in writing addressed to
our principal offices in Toronto, Ontario. The recommendation is to be submitted
by  the  date specified in Rule 14a-8 of the Securities Exchange Act of 1934, as
amended  for  submitting  shareholder  proposals to be included in the Company's
annual  shareholders'  meeting  proxy  statement.

     The  recommendation  shall  be  in  writing and shall include the following
information:  name  of candidate; address, phone, and fax number of candidate; a
statement  signed  by  the  candidate certifying that the candidate wishes to be
considered  for nomination to our board of directors; and information responsive
to  the  requirements of Regulation S-K, Item 401 with respect to the candidate;
and state the number of shares of our stock beneficially owned by the candidate.

     The recommendation shall include a written statement of the candidate as to
why the candidate believes that he meets the director qualification criteria and
would  otherwise  be  a  valuable  addition  to  our  board  of  directors.

     The  nominating  committee  shall  evaluate  the  recommended candidate and
shall, after consideration of the candidate after taking account of the director
qualification criteria set forth below, determine whether or not to proceed with
the  candidate  in  accordance  with  the procedures outlined under "Process for
Identifying  Candidates"  below.

     These  procedures do not create a contract between us, on the one hand, and
our  security holder(s) or a candidate recommended by our security holder(s), on
the  other  hand.  We  reserve the right to change these procedures at any time,
consistent  with  the  requirements of applicable law and rules and regulations.

     Director Qualifications Criteria. A majority of the board of directors must
be  "independent"  in accordance with NASDAQ, the Exchange Act and SEC rules and
regulations.  As  minimum qualifications, all candidates must have the following
characteristics:

-    The  highest  personal  and  professional  ethics,  integrity  and  values;

-    Broad-based  skills  and experience at an executive, policy-making level in
     business,  academia,  government  or  technology  areas  relevant  to  our
     activities;

-    A  willingness  to devote sufficient time to become knowledgeable about our
     business  and  to  carry  out  his duties and responsibilities effectively;

-    A commitment to serve on the board for two years or more at the time of his
     initial  election;  and

-    Be  between  the  ages  of  30 and 70, at the time of his initial election.

     Process  for  Identifying  and  Evaluating  Candidates.  The  nominating
committee's  process  for  identifying  and  evaluating  candidates  is:

-    The chairman of the board, the nominating committee, or other board members
     identify the need to add new members to the board with specific criteria or
     to  fill  a  vacancy  on  the  board;

-    The  chair  of  the  nominating  committee initiates a search, working with
     staff  support  and  seeking input from the members of the board and senior
     management,  and  hiring  a  search  firm,  if  necessary;


                                       15
<PAGE>
-    The  nominating  committee  identifies  an  initial  slate  of  candidates,
     including  any  recommended  by  security  holders  and  accepted  by  the
     nominating  committee,  after taking account of the director qualifications
     criteria  set  forth  above;

-    The nominating committee determines if any board members have contacts with
     identified  candidates  and  if  necessary,  uses  a  search  firm;

-    The  chairman  of  the  board, the chief executive officer and at least one
     member  of  the  nominating  committee  interview prospective candidate(s);

-    The  nominating  committee  keeps  the  board  informed  of  the  selection
     progress;

-    The  nominating committee meets to consider and approve final candidate(s);
     and

     The  nominating  committee  presents selected candidate(s) to the board and
seeks  full  board  endorsement  of  such  candidate(s).

COMPENSATION OF DIRECTORS

     We  do not compensate any of our directors for their services as directors.
However,  we do reimburse our directors for expenses incurred in attending board
meetings.

CODE OF ETHICS

     We  have  adopted  a code of ethics that applies to our principal executive
officer,  principal  financial  officer,  principal  accounting  officer  or
controller,  or  persons  performing  similar  functions.  The code of ethics is
designed  to  deter  wrongdoing  and  to  promote:

-    Honest  and  ethical  conduct,  including the ethical handling of actual or
     apparent  conflicts  of  interest  between  personal  and  professional
     relationships;

-    Full,  fair, accurate, timely, and understandable disclosure in reports and
     documents  that  we  file  with, or submits to, the SEC and in other public
     communications  made  by  us;

-    Compliance  with  applicable  governmental  laws,  rules  and  regulations;

-    The  prompt  internal reporting of violations of the code to an appropriate
     person  or  persons  identified  in  the  code;  and

-    Accountability  for  adherence  to  the  code.

     A  copy  of  our  code  of  ethics  that applies to our principal executive
officer,  principal  financial  officer,  principal  accounting  officer  or
controller,  or  persons performing similar functions is attached to this Annual
Report  as  an exhibit.  We have filed with the SEC a copy of the code of ethics
attached  hereto.  We have posted a copy of the code of ethics on our website at
www.charys.com.

     We  will  provide to any person without charge, upon request, a copy of our
code  of  ethics. Any such request should be directed to our corporate secretary
at  30  Denver  Crescent, Suite 200, Toronto, Ontario, Canada M2J 1G8, telephone
(416)  490-0254,  or  fax  (416)  495-8625.


                                       16
<PAGE>
ITEM 10. EXECUTIVE COMPENSATION.

SUMMARY OF CASH AND CERTAIN OTHER COMPENSATION

     The  compensation  program  for executives at the Company consists of three
key  elements:

-    A  base  salary,

-    A  performance  bonus,  and

-    Periodic  grants  and/or  options  of  our  common  stock.

     Base  Salary.  The  chief  executive officer and all other senior executive
officers  receive  compensation  base  on  such  factors as competitive industry
salaries,  a  subjective  assessment  of  the contribution and experience of the
officer,  and  the  specific recommendation by the chief executive officer.  For
fiscal  2004  no  base  salary  compensation  was  paid  to any of our executive
officers.

     Performance Bonus. A portion of each officer's total annual compensation is
in  the  form of a bonus. All bonus payments to officers must be approved by the
compensation committee based on the individual officer's performance and company
performance.  For  fiscal  2004  no  bonus  compensation  was paid to any of our
executive  officers.

     Stock  Incentive.  Stock options are granted to executive officers based on
their positions and individual performance.  Stock options provide incentive for
the  creation  of  stockholder value over the long term and aid significantly in
the recruitment and retention of executive officers.  The compensation committee
considers  the  recommendations  of the chief executive officer for stock option
grants  to  executive  officers  (other  than  the  chief executive officer) and
approves, disapproves or modifies such recommendation.  For fiscal 2004 no stock
option  grants  where  given  to  any  of  our  executive  officers.

EMPLOYMENT AGREEMENTS

     We  have  entered  into  various  employment agreements with certain of our
officers  and  affiliated  parties,  as  follows:

-    On  October  1, 2004, we executed an agreement with Ms. Harland whereby she
     would  perform various consulting services to us for a period of five years
     commencing  on  October  1,  2004.  We agreed to pay Ms. Harland the sum of
     $220,000  annually,  at  the  rate  of  $18,333.33  monthly.  Our  board of
     directors  will review this fee from time to time. In addition, Ms. Harland
     was  granted a $50,000 signing bonus and is entitled to a bonus of up to 50
     percent  of  her  annual  compensation  if and when granted by our board of
     directors  subject  to  the  achievement  of annual performance criteria as
     approved  by  the  board. Ms. Harland's duties include (i) execution of our
     business plan and implementing controls and procedures to ensure structured
     growth;  (ii)  identification and performance of due diligence of potential
     merger and acquisitions targets for our board of directors to review; (iii)
     developing  customer  relations  and  awareness;  (iv)  developing  and
     maintaining  government  public  relations;  and  (v)  any  other duties as
     determined  by  our  board  of  directors.

-    On  October  1,  2004,  we  executed  employment  an  agreement  with  Mr.
     Weissengruber whereby he agreed to act as our president and chief operating
     officer.  The  appointment  shall  be  for  a term of 36 months at $100,000
     annually,  to  be paid at the rate of $ 8,334.00 monthly. This compensation
     rate  will  be  reviewed annually by our board of directors, the first such
     review to occur within 12 months of the starting date. We have the right to
     terminate  the  agreement at any time with a payment of twice the remaining
     compensation  rate at the time of termination. These payments may be in the
     form  of  either  cash  or  company  stock  or  any  combination thereof as
     determined  by  our  board  of  directors  at  that  time.

-    On  October  1,  2004,  we  executed  employment an agreement with D. Brian
     Robertson  whereby  he  agreed  to  act as our chief financial officer. The
     appointment  shall  be  for a term of 36 months at $100,000 annually,


                                       17
<PAGE>
     to  be  paid at the rate of $ 8,334.00 monthly. This compensation rate will
     be  reviewed  annually  by our board of directors, the first such review to
     occur  within 12 months of the starting date. In addition, Mr. Robertson is
     entitled  to  a bonus of up to 50 percent of his annual compensation if and
     when granted by our board of directors subject to the achievement of annual
     performance  criteria  as  approved  by  the  board.  We  have the right to
     terminate  the  agreement at any time with a payment of twice the remaining
     compensation  rate at the time of termination. These payments may be in the
     form  of  either  cash  or  company  stock  or  any  combination thereof as
     determined  by  our  board  of  directors  at  that  time.

-    On October 1, 2004, we executed an agreement with Ameri-can Equipment Sales
     &  Leasing,  Inc., an affiliate of Ms. Harland, whereby Ameri-can agreed to
     advise,  assist  and  provide  support  for  our  restructuring  and
     re-organization.  The  duration  of these services is to be from October 1,
     2004  to  December  31,  2004.  We  agreed  to  pay  Ameri-can  the  sum of
     $150,000.00  in  cash  to  be paid in four payments commencing December 10,
     2004.

ITEM 11. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND
RELATED STOCKHOLDER MATTERS.

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

     The following table presents information regarding the beneficial ownership
of  all  shares  of  our  common  stock  as  of  the  record  date  by:

-    Each person who beneficially owns more than five percent of the outstanding
     shares  of  our  common  stock;

-    Each  of  our  directors;

-    Each  named  executive  officer;  and

-    All  directors  and  officers  as  a  group.

<TABLE>
<CAPTION>
                                                                COMMON SHARES BENEFICIALLY
                                                               ---------------------------
                                                                        OWNED (2)
                                                                        ---------
NAME OF BENEFICIAL OWNER (1)                                        NUMBER      PERCENT
----------------------------                                   --------------  ----------
<S>                                                            <C>             <C>

Betty-Ann Harland (3) . . . . . . . . . . . . . . . . . . .        15,000,000       30.51
Max Weissengruber . . . . . . . . . . . . . . . . . . . . .               -0-         -0-
D. Brian Robertson (4). . . . . . . . . . . . . . . . . . .         1,726,546        3.51
Douglas Robertson . . . . . . . . . . . . . . . . . . . . .               -0-         -0-
Robert W. Gingell . . . . . . . . . . . . . . . . . . . . .               -0-         -0-
Arthur N. Kelly . . . . . . . . . . . . . . . . . . . . . .               -0-         -0-
                                                               --------------  ----------
All directors and executive officers as a group (six persons)      16,726,546       34.02
                                                               --------------  ----------
Non officer and directors five percent stockholders:
1421209 Ontario Limited . . . . . . . . . . . . . . . . . .         6,000,000       12.21
                                                               --------------  ----------
Total . . . . . . . . . . . . . . . . . . . . . . . . . . .        22,726,546       46.23
                                                               ==============  ==========
<FN>
_______________
(1)  Unless  otherwise  indicated, the address for each of these stockholders is
     c/o  Ozolutions  Inc.,  30  Denver  Crescent,  Suite 200, Toronto, Ontario,
     Canada  M2J 1G8. Also, unless otherwise indicated, each person named in the
     table  above  has  the sole voting and investment power with respect to our
     shares  of  common  stock  which  he  beneficially  owns.
(2)  Beneficial  ownership  is  determined  in  accordance with the rules of the
     Securities  and  Exchange Commission. As of the date of this Annual Report,
     there  were  issued  and outstanding 49,154,430 shares of our common stock.
(3)  Ms.  Harland  also has proxies to vote 6,000,000 shares of our common stock
     granted  by  1421209  Ontario  Limited.
(4)  Mr.  Robertson  owns  directly 1,052,440 shares of our common stock and his
     wife,  Margaret  Robertson,  owns  164,106  shares of our common stock. Mr.
     Robertson  is a controlling stockholder of Arenal Holdings S.A., which owns
     510,000  shares  of  our  common  stock.
</TABLE>

     There  are no arrangements, known to us, including any pledge by any person
of  our  securities, the operation of which may at a subsequent date result in a
change  in  control  of  International  Development  Corp.

     There  are  no  arrangements  or  understandings  among members of both the
former  and the new control groups and their associates with respect to election
of  directors  or  other  matters.


                                       18
<PAGE>
ITEM 12. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS.

CHANGE OF CONTROL

     On  September 23, 2004, Betty-Ann Harland acquired 15,000,000 shares of our
common  stock,  which  represented  30.51  percent of our issued and outstanding
common  stock.  In addition, Ms. Harland has proxies to vote 6,000,000 shares of
our  common  stock,  granted  by 1421209 Ontario Limited.  The proxies expire on
February  1,  2005.  Ms. Harland was elected as our chairman of the board, chief
executive  officer  and  director  on  September  23,  2004.

     On  October  12,  2004,  1421209 Ontario Limited granted to us an option to
redeem 3,000,000 shares of our common stock, which are currently held in escrow,
for  a  total  sum  of  $25,000.00,  payable  in  two  installments.  The  first
installment  of  $10,000  was paid by us on October 12, 2004, and the balance of
$15,000.00  is  due  on or before February 1, 2005.  In the event that we do not
pay  the  second  installment  of $15,000.00, our option to redeem the 3,000,000
shares of our common stock will terminate.  In any event, Betty-Ann Harland will
retain  her  proxies  to  vote  6,000,000 shares of our common stock, granted by
1421209  Ontario  Limited.

ITEM 13. EXHIBITS AND REPORTS ON FORM 8-K.

     (a)  Financial  Statement  Schedules.

     None.

     (b)  Exhibits

<TABLE>
<CAPTION>
EXHIBIT NO.  IDENTIFICATION OF EXHIBIT
-----------  -------------------------
<S>          <C>

       2.1*  Plan and Agreement of Merger Between Ozolutions, Inc. and International Development Corp. dated
             October 25, 2004 and filed with Definitive Proxy Statement dated November 19, 2004.
       2.4*  Certificate of Designation for the Series A Preferred Stock, filed with Nevada Secretary of State on
             November 9, 2004.
       3.1*  Certificate of Incorporation of Ozolutions, Inc. filed on January 10, 1996 with the State of Delaware.
       3.2*  Articles of Incorporation of International Development Corp. filed on November 9, 2004 with the State of
             Nevada.
      3.19*  Bylaws of International Development Corp.
      3.21*  Articles of Merger filed with the Delaware Secretary of State on December 9, 2004.
      3.22*  Articles of Merger filed with the Nevada Secretary of State on December 9, 2004.
      10.1*  Private Placement Agreement between Ozolutions, Inc., now International Development Corp., and
             Betty-Ann Harland dated September 23, 2004.
      10.2*  Charter of Compensation Committee dated November 15, 2004.
      10.3*  Charter of Audit Committee dated November 15, 2004.
     10.4**  Consulting Agreement dated October 1, 2004 with Betty-Ann Harland.
     10.5**  Employment Agreement dated October 1, 2004 with Max Weissengruber.
     10.6**  Employment Agreement dated October 1, 2004 with D. Brian Robertson.
     10.7**  Consulting Agreement dated October 1, 2004 with Ameri-can Equipment Sales & Leasing, Inc.
     10.8**  Consulting Agreement dated October 1, 2004 with Alexander & Wade, Inc.
       14**  Code of Ethics.
     31.1**  Certification of Betty-Ann Harland, Chief Executive Officer of International Development Corp.,
             pursuant to 18 U.S.C. Sec.1350, as adopted pursuant to Sec.302 of the Sarbanes-Oxley Act of 2002.
     31.2**  Certification of D. Brian Robertson, Chief Financial Officer of International Development Corp., pursuant
             to 18 U.S.C. Sec.1350, as adopted pursuant to Sec.302 of the Sarbanes-Oxley Act of 2002.
     32.1**  Certification of Betty-Ann Harland, Chief Executive Officer of International Development Corp.,
             pursuant to 18 U.S.C. Sec.1350, as adopted pursuant to Sec.906 of the Sarbanes-Oxley Act of 2002.
     32.2**  Certification of D. Brian Robertson, Chief Financial Officer of International Development Corp., pursuant
             to 18 U.S.C. Sec.1350, as adopted pursuant to Sec.906 of the Sarbanes-Oxley Act of 2002.
<FN>
_______________

*     Previously  Filed
**     Filed  Herewith
</TABLE>


                                       19
<PAGE>
     (c)  Reports  on  Form  8-K.

     Form  8-K  filed on June 18, 2004 with respect to a press release to advise
our  shareholders  and  public  investors  of  a possible scam involving private
offers  to  purchase  our  common  stock.

ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

AUDIT  FEES

     The  aggregate  fees  billed  by  Rotenberg & Company, LLP for professional
services  rendered  for  the audit of our annual financial statements for fiscal
year  ended  August  31,  2004  were  $36,556.

AUDIT-RELATED  FEES

     There  were  no aggregate audit-related fees billed by Rotenberg & Company,
LLP  for  professional  services  rendered for the audit of our annual financial
statements  for  fiscal  year  ended  August  31,  2004.

TAX  FEES

     The  aggregate tax fees billed by Rotenberg & Company, LLP for professional
services  rendered  for  tax services for fiscal year ended August 31, 2004 were
$2,095.

ALL OTHER FEES

     There  were  no  other  fees  billed  by  Rotenberg  &  Company,  LLP  for
professional  services  rendered,  other than as stated under the captions Audit
Fees,  Audit-Related  Fees,  and  Tax  Fees.

                                   SIGNATURES

     In  accordance  with  Section 13 or 15(d) of the Securities Exchange Act of
1934, as amended, the registrant has duly caused this Annual Report to be signed
on  its  behalf  by  the  undersigned,  thereunto  duly  authorized.

                                       INTERNATIONAL DEVELOPMENT CORP.

Date: February 22, 2005.

                                       By  /s/  Betty-Ann  Harland
                                         ---------------------------------------
                                           Betty-Ann  Harland,
                                           Chief  Executive  Officer


                                       20
<PAGE>