UNITED STATES


SECURITIES AND EXCHANGE COMMISSION


Washington, D.C. 20549





FORM 10-Q


(Mark One)





x          QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE


SECURITIES EXCHANGE ACT OF 1934 for the quarterly period ended March 31, 2010





OR





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





Commission file number 000-15303





HST GLOBAL, INC.


(Exact name of registrant as specified in its charter)




Nevada

73-1215433(State or other jurisdiction of incorporation or organization)

(I. R. S. Employer Identification No.)150 Research Drive, Hampton, VA

23666(Address of principal executive offices)

(Zip Code)





Issuer's telephone number   757-766-6100





n/a


(Former name, former address and former fiscal year, if changed since last report)





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 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.Yes x  No o





Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.




Large accelerated filer o

Accelerated filer  oNon-accelerated filer  o

Smaller reporting company  x


(Do not check if a smaller reporting company)





Indicate by check mark whether the registrant is a shell company (as defined in rule 12b-2 of the Exchange Act).Yes o  No x





The number of shares of the registrant’s common stock outstanding as of March 31, 2010 was 28,419,854 shares.




1




TABLE OF CONTENTS




PART I - FINANCIAL INFORMATION
3Item 1.   Financial Statements
3Condensed Consolidated Balance Sheets
3Condensed Consolidated Statements of Operations and Comprehensive Income
4Condensed Consolidated Statements of Cash Flows
5Notes to Condensed Consolidated Financial Statements
6Item 2.   Management's Discussion & Analysis of Financial Condition and Results of operations
11Item 4.   Controls and Procedures
12PART II - OTHER INFORMATION
13Item 1.   Legal Proceedings
13Item 2.   Unregistered Sales of Equity Securities and Use of Proceeds
13Item 3.   Defaults Upon Senior Securities
13Item 4.   Submission of Matters to a Vote of Security Holders
13Item 5.   Other Information
13Item 6.   Exhibits
14Signatures
14




2




HST GLOBAL INC. AND SUBSIDIARY(a Development Stage Company)CONSOLIDATED BALANCE SHEETSMARCH 31, 2010 AND DECEMBER 31, 2009  March 31,2010

December 31, 2009(Unaudited)ASSETSCURRENT ASSETS:Cash and cash equivalents

$
8,298


$
5,358Property, plant and equipment, net ofaccumulated depreciation


1,218



1,461TOTAL ASSETS

$
9,516


$
6,819LIABILITIES AND STOCKHOLDERS' EQUITYCURRENT LIABILITIES:Accounts payable and accrued expenses

$
130,037


$
111,623Accounts payable and accrued expenses -related parties

$
341,910


$
476,778Deposits - Shareholder


200,000



200,000Advances from Shareholder


366,956



246,556Note payable - related party


300,000



300,000Total Current Liabilities

$
1,338,902


$
1,334,957STOCKHOLDERS' EQUITY (DEFICIENCY):Preferred stock; 5,000,000 shares authorized;$.001 par value; 1,000,000 shares issued andnone outstandingCapital stock, $.001 par value; 100,000,000shares authorized;28,419,854 shares issued and outstanding atMarch 31, 2010; 25,234,139 shares issued andoutstanding at December 31, 2009


28,420



25,235Additional paid-in capital


1,844,252



1,624,437Deficit accumulated during the development stage


(3,202,059
)


(2,977,810
)Total Stockholders' Equity (Deficiency)

$
(1,329,387
)

$
(1,328,138
)TOTAL LIABILITIES AND STOCKHOLDERS'EQUITY/(DEFICIT)

$
9,516


$
6,819




3





HST GLOBAL, INC. AND SUBSIDIARY(a Development Stage Company)CONSOLIDATED STATEMENTS OF OPERATIONSTHREE MONTHS ENDED MARCH 31, 2010 AND 2009 ANDFOR THE PERIOD FROM THE DATE OF INCEPTION (AUGUST 6, 2007) TO MARCH 31, 2010





Three Months

Three Months

From Date ofEnded

Ended

Inception (8/6/07) toMarch 31, 2010

March 31, 2009

March 31, 2010(Unaudited)

(Unaudited)

(Unaudited)REVENUES

$
-


$
-


$
-COST OF SALES


-



-


$
-GROSS PROFIT

$
-


$
-


$
-OPERATING EXPENSES:Selling and distribution expenses

$
-


$
-


$
-Salaries


-



9,692



176,031Consulting


120,000



205,731



1,712,948General and administrative expenses


104,249



108,690



1,227,450TOTAL OPERATING EXPENSES

$
224,249


$
324,113


$
3,116,429NET (LOSS)

$
(224,249
)

$
(324,113
)

$
(3,116,429
)NET INCOME (LOSS) PER SHARE:BASIC AND DILUTED - COMMON

$
(0.01
)

$
(0.01
)WEIGHTED AVERAGE SHARES OUTSTANDING:BASIC AND DILUTED - COMMON


28,419,854



24,932,720





4





CONSOLIDATED STATEMENTS OF CASH FLOWSTHREE MONTHS ENDED MARCH 31, 2010 AND 2009 ANDFOR THE PERIOD FROM THE DATE OF INCEPTION (AUGUST 6, 2007) TO MARCH 31, 2010  Three Months

Three Months

From Date of InceptionEnded

Ended

(August 6, 2007) toMarch 31, 2010

March 31, 2009

March 31, 2010(Unaudited)

(Unaudited)

(Unaudited)CASH FLOWS FROM OPERATING ACTIVITIES:Net income (loss)

$
(224,249
)

$
(324,113
)

$
(3,162,931
)Adjustments to reconcile net loss to net cash usedin operating activities:Depreciation and amortization


243



243



1,699Common stock issued for services


223,000



-



373,390Changes in operations-assets and liabilitiesnet of acquisitions:Accounts payable and accrued expenses


(116,455
)


141,794



471,947Note payable - related parties


-



-



100,000Total Adjustments

$
106,788


$
142,037


$
947,036Net Cash used in Operating Activities

$
(117,461
)

$
(182,076
)

$
(2,215,895
)CASH FLOWS FROM INVESTING ACTIVITIES:Purchase of equipment


-



-



(2,917
)Acquisition cost


-



-



-Net Cash used in Investing Activities

$
-


$
-


$
(2,917
)CASH FLOWS FROM FINANCING ACTIVITIES:Proceeds from sale of common stock


-



100,000



1,226,750Deposits from shareholders


-



-



450,000Proceeds from notes payable - related parties


-







200,000Advances from shareholders


120,400



81,300



366,956Effect of merger adjustment


-



-



(16,596
)Net cash provided by financing activities


120,400



181,300



2,227,110Net Increase (decrease) in cash

$
2,939


$
(776
)

$
8,298CASH AT BEGINNING PERIOD

$
5,359


$
(776
)

$
-CASH AT END OF PERIOD

$
8,298


$
-


$
-Cash paid for interest

$
-


$
-Cash paid for taxes

$
-


$
-Common stock issued for services

$
223,000


$
-Common stock issued for deposits

$
-


$
-





5





HST GLOBAL, INC. AND SUBSIDIARIES


(FORMERLY HEALTH SOURCE TECHNOLOGIES, INC.)


(A DEVELOPMENT STAGE COMPANY)


NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS


March 31, 2010


(UNAUDITED)





NOTE 1 - BASIS OF PRESENTATION





The consolidated financial statements of HST Global, Inc. and subsidiaries (the "Company") have been prepared in accordance with generally accepted accounting principles for financial information and pursuant to the requirements for reporting on Form 10-Q. Accordingly they do not include all the information and footnotes required by accounting principles generally accepted in the United States of American for complete financial statements. However, such information reflects all adjustments (consisting of normal recurring adjustments), which are, in the opinion of management, necessary for the fair presentation of the consolidated financial position and the consolidated results of operations. Results shown for interim periods are not necessarily indicative of the results to be obtained for a full year. The consolidated balance sheet information as of March 31, 2010 was derived from the audited consolidated financial statements included in the Company's Annual Report on Form 10-KSB for the year ended December 31, 2009. These annual financial statements should be read in conjunction with that report.





The consolidated financial statements include the accounts of the Company and Health Source Technologies, Inc (a wholly owned subsidiary).





NOTE 2 - NATURE AND PURPOSE OF BUSINESS





HST Global, Inc. (the Company) was incorporated under the laws of the state of Nevada on August 6, 2007. The company is currently headquartered in Hampton, Virginia. HST Global, Inc. is an Integrated Health and Wellness company that is developing and / or acquiring a network of Wellness Centers worldwide that are primarily focused on the immunotherapy and alternative treatment of late stage cancer. In addition, the company intends to acquire innovative products for the treatment of late stage cancer. In this regard, the company primarily focuses on homeopathic and alternative product candidates that are undergoing or have already completed significant clinical testing for the treatment of late stage cancer.





The company has identified the growing acceptance of alternative cancer treatments worldwide which has placed us in a perfect position to open our own brand of Cancer Treatment Centers. This strategy will enable the company to address the challenges individuals face in the treatment of cancer in the later stages.





NOTE 3 - NATURE OF SIGNIFICANT ACCOUNTING POLICIES





CASH AND CASH EQUIVALENTS





The company considers all highly liquid debt instruments purchased with maturity of three months or less to be cash equivalents.





REVENUE RECOGNITION





The company considers revenue to be recognized at the time the service is performed.




6




USE OF ESTIMATES





The preparation of the Company's financial statements required management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from these estimates.





FAIR VALUE OF FINANCIAL INSTRUMENTS





The Company's short-term financial instruments consist of cash and cash equivalents and accounts payable. The carrying amounts of these financial instruments approximate fair value because of their short-term maturities. Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash. During the year the Company did not maintain cash deposits at financial institution in excess of the $250,000 limit covered by the Federal Deposit Insurance Corporation. The Company does not hold or issue financial instruments for trading purposes nor does it hold or issue interest rate or leverage derivative financial instruments.





EARNINGS PER SHARE





Basic Earnings per Share ("EPS") is computed by dividing net income available to common stockholders by the weighted average number of common stock shares outstanding during the year. Diluted EPS is computed by dividing net income available to common stockholders by the weighted-average number of common stock shares outstanding during the year plus potential dilutive instruments such as stock options and warrants. The effect of stock options on diluted EPS is determined through the application of the treasury exercises that are hypothetically used to repurchase the Company's common stock at the average market price during the period. Loss per share is unchanged on a diluted basis since the assumed exercise of common stock equivalents would have an anti-dilutive effect.





INCOME TAXES





The Company uses the asset and liability method of accounting for income taxes as required by SFAS No. 109 "Accounting for Income Taxes". SFAS 109 requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of temporary differences between the carrying amounts and the tax basis of certain assets and liabilities. Deferred income tax assets and liabilities are computed annually for the difference between the financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future, based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Income tax expense is the tax payable or refundable for the period, plus or minus the change during the period in deferred tax assets and liabilities.  Deferred income taxes may arise from temporary differences resulting from income and expense items reported for financial accounting and tax purposes in different periods. Deferred taxes are classified as current or non-current, depending on the classification of the assets and liabilities to which they relate. Deferred taxes arising from temporary differences that are not related to an asset or liability are classified as current or non-current depending on the periods in which the temporary differences are expected to reverse. The Company had no significant deferred tax items arise during any of the period presented.





CONCENTRATION OF CREDIT RISK





The Company does not have any concentration of related financial credit risk.





7




RECENT ACCOUNTING PRONOUNCEMENTS





The Company does not expect that the adoption of other recent accounting pronouncements will have a material impact to its financial statements.





NOTE 4 - REVERSE MERGER, ACQUISITION AND BUSINESS DISPOSAL





On May 9, 2008, the Company entered into a merger and share exchange agreement with NT Holding Corp. NT Holding Corp was incorporated on April 11, 1984 under the laws of the State of Delaware. NT Holding Corp since its inception has been involved in various business operations including mining and the development of mineral properties. At the time of the merger and share exchange agreement, NT Holding had disposed of its operation assets and previous operations and was considered a development stage company.





This business acquisition has been accounted for as a reverse merger (recapitalization) with Health Source Technologies, Inc. deemed to be the accounting acquirer and NT Holding Corp deemed to be the legal acquirer. Accordingly, the historical financial information statements presented herein are those of Health Source Technologies, Inc. The accumulated deficit of the accounting acquirer has been carried forward after the acquisition as well as its assets and liabilities. Operations prior to the business combination are those of the acquirer. In conjunction with this business combination, the Board of Directors approved a 25 for 1 reverse split of the Company's common stock. The stock splits have been applied retroactively in the financial statements as if the split had occurred at the inception of the company.





NOTE 5 - STOCKHOLDERS EQUITY





The Company completed a business combination with Health Source Technologies Inc. on May 9, 2008 (see Note 4). In conjunction with this acquisition the Board of Directors approved a 25 for 1 reverse split of the Company's common stock. Prior to the acquisition the Company had 30,039,203 shares of common stock outstanding. The issuance of the 66,000,000 new shares of common stock to facilitate the business combination gave the company a total of 96,039,203 shares outstanding immediately before the stock split. After the stock split there were 4,041,568 shares outstanding. In addition, the post-acquisition equity structure was to reflect a 95% ownership by the shareholders of Health Source Technologies, Inc. In order to facilitate this structure, an additional 99,744,800 pre-split shares were issued and delivered to HST shareholders once sufficient authorized capital was available. On December 31, 2008, 3,989,792 post split shares were issued. On December 31, 2008, 3,989,792 post split shares were issued to Ron Howell, an officer and shareholder of the Company and Eric Clemons, a shareholder of the Company to complete the terms of the acquisition agreement. These shares have been retroactively reported in the financial statements as being issued in conjunction with the acquisition that occurred on May 5, 2008.





As part of the consideration for this business combination there were also 1,000,000 shares of preferred stock issued which where convertible into 16.2 (post split) shares of the company's common stock. These preferred shares were converted into 16,200,000 shares of common stock.





The Company has received $1,049,000 from various persons and companies as deposits that were being held by the company in the anticipation of fulfilling a common stock subscription agreement. On August 20, 2008 the Company issued 839,200 shares of its common stock at a purchase price of $1.25 per share. Also, on August 20, 2008 the company issued 15,000 shares of common stock in exchange for legal services rendered to the company. The shares were valued at $9.50 per share which was the trading price of the shares on the date the shares were issued.




8





On October 28, 2008, the company received $250,000 from an investor for working capital. This transaction was initially reported as a deposit from shareholder.  On June 9, 2009 the Company issued 200,000 shares at a price of $1.25 per share. This issuance was completed in accordance with Section 4(2) of the Securities Act in an offering without any public offering or distribution. These shares are restricted securities and include an appropriate restrictive legend.





On February 20, 2009, the company received $75,000 from an investor for working capital. This investor was issued 60,000 shares, at a price of $1.25 per share. This issuance was completed in accordance with Section 4(2) of the Securities Act in an offering without any public offering or distribution. These shares are restricted securities and include an appropriate restrictive legend.





On March 16, 2009, the company received $25,000 from an investor for working capital. This investor was issued 20,000 shares, at a price of $1.25 per share. This issuance was completed in accordance with Section 4(2) of the Securities Act in an offering without any public offering or distribution. These shares are restricted securities and include an appropriate restrictive legend.





On June 9, 2009, the company received $50,000 from an investor for working capital. This investor was issued 40,000 shares, at a price of $1.25 per share. This issuance was completed in accordance with Section 4(2) of the Securities Act in an offering without any public offering or distribution. These shares are restricted securities and include an appropriate restrictive legend.





On June 9, 2009, the company received $26,250 from an investor for working capital. This investor was issued 21,000 shares, at a price of $1.25 per share. This issuance was completed in accordance with Section 4(2) of the Securities Act in an offering without any public offering or distribution. These shares are restricted securities and include an appropriate restrictive legend.





On June 10, 2009 the company issued 5,000 shares of common stock in exchange for services rendered to the company. The shares were valued at $1.27 per share which was the trading price of the shares on the date the shares were issued.





On July 15, 2009 the company issued 2,000 shares of common stock in exchange for services rendered to the company. The shares were valued at $.82 per share which was the trading price of the shares on the date the shares were issued.





On January 20, 2010 the company issued 1,714,286 shares of restricted common stock to Ron Howell as payment for consulting services performed during 2009.  The shares were valued at $.07 per share.  This issuance was completed in accordance with Section 4(2) of the Securities Act in an offering without any public offering or distribution. These shares are restricted securities and include an appropriate restrictive legend.





On January 20, 2010 the company issued 1,471,429 shares of restricted common stock to Eric Clemons as payment for consulting services performed during 2009.  The shares were valued at $.07 per share.  This issuance was completed in accordance with Section 4(2) of the Securities Act in an offering without any public offering or distribution. These shares are restricted securities and include an appropriate restrictive legend.





On April 23, 2010 the company issued 150,000 shares of common stock in exchange for legal services rendered to the company. The shares were valued at $.35 per share.




9




NOTE 6 – ACCOUNTS PAYABLE AND ACCURED EXPENSES – RELATED PARTIES





Accounts payable and accrued expenses consist of the following:





The Health Network, Inc.
$
136,698Ronald Howell
$
65,030Eric Clemons
$
126,728Accrued Interest – Note Payable
$
31,636$
341,910





Please see Notes 7 and 9 for further explanation of these liabilities.




NOTE 7 – SHAREHOLDER DEPOSITS





During July and August of 2009, the company received a total of $200,000 from an investor as a deposit for the purchase of common stock. This transaction has been reported as shareholder deposits on the company's financial statements.




NOTE 8 – NOTES PAYABLE – RELATED PARTIES





In connection with the reverse acquisition described in note 3 to the financial statements, the Company agreed to pay the former shareholders of the target company the sum of $100,000.  This note does carry an interest amount and is repayable upon demand by the holder of the note.





On November 25, 2009, the Company entered into an agreement with a shareholder of the Company.  Under terms of this agreement, the Company received $200,000 from this individual in exchange for the issuance of a promissory note in the principal amount of $200,000 and 200,000 shares of the Company’s common stock.  Under the terms of the promissory note, the Company is obligated to repay the principal amount of the note together with $20,000 interest on or before March 15, 2010.  The company is currently in default and in renegotiations regarding the note.





As of December 31, 2009, the Company had not issued the shares of common stock.  The Company has accrued interest in the amount of $46,000 owed under the terms of this agreement.  The Company recorded interest in the amount of $26,000 which represents the 200,000 shares of common stock valued at $.13 per share which was the trading price of the Company’s common stock on the date the agreement was executed by the Company.  The Company has also accrued an additional $20,000 as interest owed at December 31, 2009 based upon the terms of the promissory note.





NOTE 9 – ADVANCES FROM SHAREHOLDER





Since the Company’s inception, Mr. Howell has advanced $231,700 to the Company to assist with working capital needs.  These advances accrue interest at a rate of six percent (6%) per annum of the unpaid balance.  At March 31, 2010, the Company owes Mr. Howell the amount of $238,978 which includes accrued interest in the amount of $7,278.





Since the Company’s inception, Mr. Clemons has advanced $121,300 to the Company to assist with working capital needs.  These advances accrue interest at a rate of six percent (6%) per annum of the unpaid balance.  At March 31, 2010, the Company owes Mr. Clemons the amount of $127,978 which includes accrued interest in the amount of $6,678.




NOTE 10 - FINANCIAL CONDITION AND GOING CONCERN




10





The Company's financial statements have been presented on the basis that it will continue as a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company incurred a net loss from continuing operations of $224,249 for the three months ended March 31, 2010 and has an accumulated deficit of $3,202,059 at March 31, 2010. These factors raise substantial doubt as to its ability to obtain debt and/or equity financing and achieve profitable operations.





There are no assurances that HST Global, Inc. will be able to either (1) achieve a level of revenues adequate to generate sufficient cash flow from operations; or (2) obtain additional financing through either private placement, public offerings and/or bank financing necessary to support its working capital requirements. To the extent that funds generated from operations and any private placements, public offerings and/or bank financing are insufficient, the Company will have to raise additional working capital. No assurance can be given that additional financing will be available, or if available, will be on terms acceptable to HST Global, Inc. If adequate working capital is not available HST Global, Inc. may be required to curtail its operations.





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




The following discussion should be read in conjunction with the information contained in the condensed consolidated financial statements of the Company and the notes thereto appearing elsewhere herein and in conjunction with the Management's Discussion and Analysis set forth in (1) the Company's Annual Report on Form 10-K for the year ended December 31, 2008, as amended (which is incorporated herein by this reference).   As used in this report, the terms "Company", "we", "our", "us" and "HSTC" refer to HST Global, Inc.




PRELIMINARY NOTE REGARDING FORWARD-LOOKING STATEMENTS




This quarterly report contains forward-looking statements within the meaning of the federal securities laws. These include statements about our expectations, beliefs, intentions or strategies for the future, which we indicate by words or phrases such as "anticipate," "expect," "intend," "plan," "will," "we believe," "HSTC believes," "management believes" and similar language. The forward-looking statements are based on the current expectations of HSTC and are subject to certain risks, uncertainties and assumptions, including those set forth in the discussion under "Management's Discussion and Analysis of Financial Condition and Results of Operations" in this report. The actual results may differ materially from results anticipated in these forward-looking statements. We base the forward-looking statements on information currently available to us, and we assume no obligation to update them.




Investors are also advised to refer to the information in our filings with the Securities and Exchange Commission, especially on Forms 10-K, 10-Q and 8-K, in which we discuss in more detail various important factors that could cause actual results to differ from expected or historic results. It is not possible to foresee or identify all such factors. As such, investors should not consider any list of such factors to be an exhaustive statement of all risks and uncertainties or potentially inaccurate assumptions.




CRITICAL ACCOUNTING POLICIES AND ESTIMATES




Our financial statements and related public financial information are based on the application of accounting principles generally accepted in the United States ("US GAAP"). US GAAP requires the use of estimates; assumptions, judgments and subjective interpretations of accounting principles that have an impact on the assets, liabilities, revenues and expense amounts reported. These estimates can also affect supplemental information contained in our external disclosures including information regarding contingencies, risk and financial condition. We believe our use of estimates and underlying accounting assumptions adhere to GAAP and are consistently and conservatively applied. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results may differ materially from these estimates under different assumptions or conditions. We continue to monitor significant estimates made during the preparation of our financial statements.




11




RESULTS OF OPERATIONS - THREE MONTHS ENDED MARCH 31, 2010 AS COMPARED TO THREE MONTHS ENDED MARCH 31, 2009





Revenues, Cost of Sales and Operating Expenses




The Company had revenues of $0 for the quarter ended March 31, 2010 as compared to $0 for the quarter ended March 31, 2009. The costs of sales for the same period were $0 in 2010 as compared to $0 for 2009. The Company incurred expenses of $224,249 for the quarter ended March 31, 2010 as compared to $324,113 for the quarter ended March 31, 2009. The expenses in the third quarter of 2010 were incurred to further the company’s Research and Development efforts and continue the company’s strategic plan of opening wellness clinics worldwide. Until the Company obtains capital required to develop any properties or businesses and obtains the revenues needed from its future operations to meet its obligations, the Company will be dependent upon sources other than operating revenues to meet its operating and capital needs. Operating revenues may never satisfy these needs.




GAIN ON DISCONTINUED OPERATIONS




No income or loss was recorded in the current quarter from discontinued operations or from the disposal of a subsidiary.




LIQUIDITY AND CAPITAL RESOURCES




Cash




Our cash balance as of March 31, 2010 was $8,298.




The Company does not currently have sufficient capital in its accounts, nor sufficient firm commitments for capital to assure its ability to meet its current obligations or to continue its planned operations. The Company is continuing to pursue working capital and additional revenue through the seeking of the capital it needs to carry on its planned operations. There is no assurance that any of the planned activities will be successful.




ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK




None.




ITEM 4. CONTROLS AND PROCEDURES.




EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES




Our Chief Executive Officer and Chief Financial Officer (collectively the "Certifying Officers") maintain a system of disclosure controls and procedures that is designed to provide reasonable assurance that information, which is required to be disclosed, is accumulated and communicated to management timely.





12





Under the supervision and with the participation of management, the Certifying Officers evaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule [13a-14(c)/15d-14(c)] under the Exchange Act) within 90 days prior to the filing date of this report. Based upon that evaluation, the Certifying Officers concluded that our disclosure controls and procedures are not effective in timely alerting them to material information relative to our company required to be disclosed in our periodic filings with the SEC.




CHANGES IN INTERNAL CONTROLS





During the Quarter ended March 31, 2010, there were no changes made to our internal controls over financial reporting that are reasonably likely to affect the reliability of those controls, or the accuracy of our financial reporting.





PART II: OTHER INFORMATION




ITEM 1 - LEGAL PROCEEDINGS




None.




ITEM 2 - UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS





On January 20, 2010 the company issued 1,714,286 shares of restricted common stock to Ron Howell as payment for consulting services performed during 2009.  The shares were valued at $.07 per share.  This issuance was completed in accordance with Section 4(2) of the Securities Act in an offering without any public offering or distribution. These shares are restricted securities and include an appropriate restrictive legend.





On January 20, 2010 the company issued 1,471,429 shares of restricted common stock to Eric Clemons as payment for consulting services performed during 2009.  The shares were valued at $.07 per share.  This issuance was completed in accordance with Section 4(2) of the Securities Act in an offering without any public offering or distribution. These shares are restricted securities and include an appropriate restrictive legend.





ITEM 3 - DEFAULTS UPON SENIOR SECURITIES





On November 25, 2009, the Company entered into an agreement with a shareholder of the Company.  Under terms of this agreement, the Company received $200,000 from this individual in exchange for the issuance of a promissory note in the principal amount of $200,000 and 200,000 shares of the Company’s common stock.  Under the terms of the promissory note, the Company is obligated to repay the principal amount of the note together with $20,000 interest on or before March 15, 2010.  The company is currently in default and in renegotiations regarding the note.




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




None.




ITEM 5 - OTHER INFORMATION




None.




13




ITEM 6 - EXHIBITS




The following exhibits are filed as part of this quarterly report on Form 10-QSB:




31.1 Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002




31.2 Certification of Acting Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002




32.1 Certification of Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002




32.2 Certification of Acting Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002






SIGNATURES







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






Dated: May 14, 2010

HST GLOBAL, INC.(the registrant)By:
/s/ Ron HowellRon HowellChief Executive Officer