<PAGE>

                     U.S. SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-QSB

     (Mark One)

         [x]      QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
                  EXCHANGE ACT OF 1934

                  For the quarterly period ended March 31, 2004

         [ ]      TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
                  SECURITIES EXCHANGE ACT OF 1934

                  For the transition period from _____________ to _____________

Commission File Number 0-25167

                               GSL HOLDINGS, INC.
--------------------------------------------------------------------------------
        (Exact name of small business issuer as specified in its charter)

       British Virgin Islands                          35-2177956
--------------------------------------    --------------------------------------
    (State or other jurisdiction                     (IRS Employer
  of incorporation or organization)                Identification No.)

                           333 Alameda St., Suite 324
                             Los Angeles, California
                    ----------------------------------------
                    (Address of principal executive offices)

                                 (213) 625-2588
                          ---------------------------
                          (Issuer's telephone number)

                                 Not Applicable
                                 --------------
              (Former name, former address and former fiscal year,
                         if changed since last report)

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

                                Yes [X]   No [ ]

         As of May 24, 2004, the Company had 41,776,385 shares of its no par
value common stock issued and outstanding.

         Transitional Small Business Disclosure Format (Check one):
                                                                 Yes [ ]  No [X]

<PAGE>

                         PART 1 - FINANCIAL INFORMATION

                                                                         PAGE(S)
                                                                         -------
ITEM 1.  FINANCIAL STATEMENTS


Unaudited Condensed Consolidated Balance Sheet at March 31, 2004.............F-1
Unaudited Condensed Consolidated Statements of Operations for the
   three month periods ended March 31, 2004 and 2003.........................F-3
Unaudited Condensed Consolidated Statements of Cash Flows for the
   three month periods ended March 31, 2004 and 2003.........................F-4
Notes to Unaudited Condensed Consolidated Financial Statements...............F-5

                                      -2-
<PAGE>

<TABLE>
                                                             GSL HOLDINGS, INC. AND SUBSIDIARIES
                                                                      CONSOLIDATED BALANCE SHEET
                                                                      MARCH 31, 2004 (UNAUDITED)
------------------------------------------------------------------------------------------------
<CAPTION>

                                             ASSETS


                                                                                 MARCH 31, 2004
                                                                                ----------------
<S>                                                                             <C>
CURRENT ASSETS

     Cash and cash equivalents                                                  $    10,340,025
     Accounts receivable, net of allowance for doubtful accounts of $12,918              60,139
     Inventories                                                                         69,530
     Prepayments and other current assets                                               350,962
                                                                                ----------------
            Total current assets                                                     10,820,656

PROPERTY AND EQUIPMENT, NET (NOTE 4)                                                 64,800,763

OTHER ASSETS (NOTE 5)                                                                 1,828,111
                                                                                ----------------
            TOTAL ASSETS                                                        $    77,449,530
                                                                                ================

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

                                              F-1
</TABLE>
<PAGE>

                                             GSL HOLDINGS, INC. AND SUBSIDIARIES
                                                      CONSOLIDATED BALANCE SHEET
                                                      MARCH 31, 2004 (UNAUDITED)
--------------------------------------------------------------------------------


                      LIABILITIES AND STOCKHOLDERS' EQUITY


                                                                 MARCH 31, 2004
                                                                ----------------

CURRENT LIABILITIES

     Accounts payable, trade                                    $         2,870
     Notes payable - related party (note 6)                             429,000
     Deferred revenue                                                    10,000
     Advance deposits (note 7)                                        6,017,787
     Accrued expenses and other liabilities (note 8)                  5,797,214
                                                                ----------------
            Total current liabilities                                12,256,871

LONG-TERM LIABILITIES                                                        --
                                                                ----------------
            Total long-term liabilities                                      --

COMMITMENTS AND CONTINGENCIES (NOTE 9)

STOCKHOLDERS' EQUITY

     Common stock, no par value;
         Authorized 1,000,000,000 shares;
         33,581,850 shares issued and outstanding                    48,522,793
     Additional paid-in capital                                              --
     Stock subscriptions (note 10)                                   19,059,301
     Accumulated other comprehensive income (loss)                     (107,040)
     Accumulated deficits                                            (2,282,395)
                                                                ----------------
            Total stockholders' equity                               65,192,659
                                                                ----------------
                  TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY    $    77,449,530
                                                                ================

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

                                      F-2
<PAGE>
<TABLE>
                                                     GSL HOLDINGS, INC. AND SUBSIDIARIES
                    CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME(LOSS)
                                 FOR THE THREE-MONTH PERIODS ENDED MARCH 31, (UNAUDITED)
----------------------------------------------------------------------------------------
<CAPTION>

                                                            2004               2003
                                                       --------------     --------------
<S>                                                    <C>                <C>
NET SALES                                              $     284,689      $      34,499

COST OF SALES                                                 90,357                 --
                                                       --------------     --------------

          GROSS PROFIT                                       194,332             34,499


SELLING, GENERAL AND ADMINISTRATIVE EXPENSES               1,694,364            215,974
                                                       --------------     --------------

          OPERATING INCOME (LOSS)                         (1,500,032)          (181,475)
                                                       --------------     --------------

OTHER INCOME (EXPENSE)
   Interest income and other income                            9,914                 --
   Interest expense and other expense                         (8,219)            (5,627)
                                                       --------------     --------------

        Total other income (expense)                           1,695             (5,627)
                                                       --------------     --------------

          INCOME (LOSS) BEFORE INCOME TAXES               (1,498,337)          (187,102)

DEFERRED TAX BENEFITS (NOTE 6)                               673,518             79,833

PROVISION FOR INCOME TAXES                                      (800)              (800)
                                                       --------------     --------------

          NET INCOME (LOSS)                                 (825,619)          (108,069)

Other Comprehensive income (loss)
   Foreign currency translation adjustment                   (62,218)                --
                                                       --------------     --------------

          Comprehensive income (loss)                  ($    887,837)     ($    108,069)
                                                       ==============     ==============

BASIC AND DILUTED EARNINGS (LOSS) PER COMMON SHARE     ($       0.03)     ($       0.01)
                                                       ==============     ==============

WEIGHTED AVERAGE NUMBER OF COMMON SHARES                  32,574,818          8,736,457
                                                       ==============     ==============

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

                                          F-3
</TABLE>
<PAGE>
<TABLE>
                                                                               GSL HOLDINGS, INC. AND SUBSIDIARIES
                                                                             CONSOLIDATED STATEMENTS OF CASH FLOWS
                                                           FOR THE THREE-MONTH PERIODS ENDED MARCH 31, (UNAUDITED)
------------------------------------------------------------------------------------------------------------------
<CAPTION>

                                                                                      2004               2003
                                                                                 --------------     --------------
<S>                                                                              <C>                <C>
CASH FLOW FROM OPERATING ACTIVITIES:
    Net income (loss)                                                            $    (825,619)     $    (108,069)
                                                                                 --------------     --------------
    Adjustments to reconcile net income (loss) to net cash provided
      by (used in) operating activities:
       Depreciation                                                                    104,526                131
       Amortization of deferred consulting fees                                             --             25,490
       Common stock issued for consulting services                                          --             80,000
       (Increase) decrease in
          Accounts receivable                                                          (57,275)                --
          Inventories                                                                  (69,530)                --
          Prepayments and other current assets                                      10,411,667             (2,500)
          Prepaid security deposits - other assets                                       1,407                 --
          Deferred tax assets - other assets                                          (673,518)           (79,833)
       Increase (decrease) in
          Accounts payable, trade                                                      (18,469)                --
          Advance deposits                                                           6,017,787                 --
          Accrued expenses and other liabilities                                   (10,641,081)            90,132
                                                                                 --------------     --------------
                    Total adjustments                                                5,075,514            113,420
                                                                                 --------------     --------------
                         Net cash provided by (used in) operating activities         4,249,895              5,351
                                                                                 --------------     --------------

CASH FLOW FROM INVESTING ACTIVITIES:
    Acquisition of property and equipment                                          (18,284,454)                --
                                                                                 --------------     --------------
                         Net cash provided by (used in) investing activities       (18,284,454)                --
                                                                                 --------------     --------------

CASH FLOW FROM FINANCING ACTIVITIES:
    Repayment of notes payable - related party                                         (52,000)                --
    Issuance of common stock for cash                                                1,183,688                 --
    Increase in stock subscriptions                                                 19,059,301                 --
                                                                                 --------------     --------------
                         Net cash provided by (used in) financing activities        20,190,989                 --
                                                                                 --------------     --------------

CUMULATIVE TRANSLATION ADJUSTMENT                                                      (62,218)                --

                         Net increase in cash and cash equivalents                   6,094,212              5,351

CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD                                     4,245,813              2,317
                                                                                 --------------     --------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD                                       $  10,340,025      $       7,668
                                                                                 ==============     ==============

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
    CASH PAID DURING THE PERIOD FOR:
       INTEREST                                                                  $          --      $          --
                                                                                 ==============     ==============
       Income tax                                                                $          --      $          --
                                                                                 ==============     ==============

SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES:
      In January 2004, the company issued its common stock of 6,463,415 shares at the price of $2.00 per share,
      totaling $12,926,830, for the acquisition of a hotel in China.

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

                                                       F-4
</TABLE>
<PAGE>

                                             GSL HOLDINGS, INC. AND SUBSIDIARIES
                                      NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                                      MARCH 31, 2004 (UNAUDITED)
--------------------------------------------------------------------------------

(1)      ORGANIZATION AND LINE OF BUSINESS
------------------------------------------

         GSL Holdings, Inc. (the Company), formerly known as Bethurum
         Laboratories, Inc., was incorporated under the laws of the British
         Virgin Islands on September 22, 2000. We were formed for the purpose of
         listing our securities on an electronic stock exchange and then
         acquiring an interest in a suitable operating business. We conducted no
         operations from the date of our organization until December 2001, other
         than the pursuit and analysis of suitable business acquisitions. In
         December 2001, we underwent a reverse acquisition by Global Starlink
         Group, Ltd , a Cayman Islands company engaged in the business of
         facilitating commerce between the United States and China. In
         connection with that transaction, we changed our corporate name to GSL
         Holdings, Inc.

         In January 2004, the Company established a wholly owned subsidiary
         named `GSL Investment Management (Shang Hai) Co., Ltd., in Shang Hai,
         China in order to provide management service for international trade
         and investment, etc.

         In March 2004, in order to accelerate the establishment of GBPN (Global
         Business Partnership Network), the Company also established two wholly
         owned subsidiaries in KunShan, China: 'GSL Industry Development
         (KunShan) Co., Ltd.' and 'GSL (KunShan) International Purchasing
         Guarantee Co., Ltd.'

(2)      SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
---------------------------------------------------

         Basis of Presentation
         ---------------------

         The accompanying consolidated financial statements are unaudited and
         include all adjustments consisting of normal recurring adjustments
         which in the opinion of the management of the Company are necessary in
         order to make the consolidated financial statements not misleading.
         Accordingly, they do not include all of the information and footnotes
         required by generally accepted accounting principles for complete
         financial statements. Operating results for the three month period
         ended March 31, 2004 are not necessarily indicative of the results that
         may be expected for the year ending December 31, 2004. For further
         information, refer to the Company's annual report on Form 10-KSB for
         the year ended December 31, 2003.

         Principles of Consolidation
         ---------------------------

         The consolidated financial statements include the accounts of GSL
         Holdings, Inc. and its wholly owned subsidiaries, Global Starlink
         Group, Inc., Global Starlink Group (Hong Kong) Limited, GSL (BeiJing)

                                      F-5
<PAGE>

         Investment Management Consulting Ltd., GSL International Business Port
         (NanTong) Co., Ltd., GSL (HaiMen) International Business Port
         Management Co., Ltd., GSL (NanTong) International Business Development
         Co., Ltd., GSL (HaiMen) International Purchase Guarantee Co., Ltd., GSL
         (NanTong) Transitional Purchase Guarantee Co., Ltd., GSL (GuangZhou)
         Credit Guarantee Co., Ltd., GSL Investment Management (Shang Hai) Co.,
         Ltd., GSL Industry Development (KunShan) Co., Ltd. and GSL (KunShan)
         International Purchasing Guarantee Co., Ltd. All significant
         intercompany accounts and transactions are eliminated in consolidation.
         All of the entities are collectively referred to as "the Company".

         Revenue Recognition
         -------------------

         Revenues on services (e.g. providing certain benefits to members
         entering into GBPN, assisting companies in China or Hong Kong in
         carrying out marketing and sales activities in the U.S.A., assisting
         companies in liaising with potential enterprise to employ the service
         to be provided by the China Trade Center, etc.) are generally
         recognized when services are made. The Company does not provide a
         specific return policy. The Company does not provide discounts to the
         customers.

         Comprehensive Income
         --------------------

         The Company adopted Statement of Financial Accounting Standards
         ("SFAS") No. 130, "Reporting Comprehensive Income." This statement
         establishes standards for reporting comprehensive income and its
         components in a financial statement. Comprehensive income, as defined,
         includes all changes in equity (net assets) during a period from
         non-owner sources. Examples of items to be included in comprehensive
         income, which are excluded from net income, include foreign currency
         translation adjustments and unrealized gains and losses on
         available-for-sale securities.

         Cash and Cash Equivalents
         -------------------------

         For purposes of the statements of cash flows, the Company considers all
         highly liquid investments purchased with an original maturity of three
         months or less to be cash equivalents.

         Inventories
         -----------

         Inventories are stated at the lower of cost or market, with the cost
         determined on the first-in, first-out (FIFO) basis. At March 31, 2004,
         the Company had inventory recorded of $69,530 at cost.

         Property and Equipment
         ----------------------

         Property and equipment are recorded at cost. Maintenance and repairs
         are expensed as paid, and expenditures that increase the useful life of
         the asset are capitalized.

                                      F-6
<PAGE>

         For financial reporting purposes, depreciation is provided using the
         straight-line method over the following estimated useful lives of the
         respective assets.

                           Building                  39 years

                           Building improvement      39 years

                           Machinery and equipment    5 years

                           Office equipment           5 years

                           Furniture and fixtures     7 years

         Fair Value of Financial Instruments
         -----------------------------------

         The Company measures its financial assets and liabilities in accordance
         with the requirements of Statements of Financial Accounting Standards
         No. 107, "Disclosures About Fair Value of Financial Instruments." The
         carrying values of cash and cash equivalents, accounts receivable,
         notes payable, deferred revenue and accrued expenses approximate fair
         value due to their short-term maturities of these instruments.

         Income Taxes
         ------------

         The Company accounts for income taxes in accordance with Statement of
         Financial Accounting Standard (SFAS) No. 109, "Accounting for Income
         Taxes".

         In accordance with SFAS No. 109, deferred income taxes are recognized
         for the tax consequences in future years of differences between the tax
         basis of assets and liabilities and their financial report amounts at
         each period end, based on enacted tax laws and statutory tax 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. The provision for income taxes represents the tax payable for
         the period, if any, and the change during the period in deferred tax
         assets and liabilities.

         Loss per Share
         --------------

         The Company utilizes SFAS No. 128, "Earnings per Share." Basic loss per
         share is computed by dividing loss available to common shareholders by
         the weighted-average number of common shares outstanding. Diluted loss
         per share is computed similar to basic loss per share except that the
         denominator is increased to include the number of additional common
         shares that would have been outstanding if the potential common shares
         had been issued and if the additional common shares were dilutive.
         Because the Company has incurred net losses, basic and diluted loss per
         share is the same.

                                      F-7
<PAGE>

         Foreign Currency Exchange Gains and Losses
         ------------------------------------------

         The reporting currency for the Company is the United States dollar. The
         functional currencies of the Company's foreign subsidiaries are Hong
         Kong Dollar and Chinese Yuan Renminbi. Subsidiary's assets and
         liabilities are translated into United States dollars at the exchange
         rate in effect at the balance sheet date. Revenue and expenses are
         translated at weighted average rate of exchange prevailing during the
         period. The resulting cumulative translation adjustments are disclosed
         as a component of accumulative other comprehensive income (loss) in
         shareholders' equity. Foreign currency transaction gains and losses are
         recorded in the statements of operations and comprehensive income
         (loss) as a component of general and administrative expense.

         Estimates
         ---------

         In preparing financial statements in conformity with generally accepted
         accounting principles, management makes estimates and assumptions that
         affect the reported amounts of assets and liabilities and disclosures
         of contingent assets and liabilities at the date of the financial
         statements, as well as the reported amounts of revenues and expenses
         during the reporting period. Actual results could differ from those
         estimates.

         Certain Risks and Concentrations
         --------------------------------

         Ongoing customer credit evaluations are performed by the Company and
         collateral is not required. The Company maintains allowances for
         potential returns and credit losses. Management believes that $12,918
         of allowance is needed at March 31, 2004.

         The Company's services include components subject to degree of
         assurance and guarantee of the services and products sold by the
         customers in China into the US marketplace, because the legal system in
         China is still in an uncertain organizational status for dealing with
         non-Chinese businesses. Failure to assure and guarantee could adversely
         affect the Company's operating results. While the Company has ongoing
         programs to minimize the adverse effect of such failures and considers
         political and economic change in estimating its allowances, such
         estimates could change in the future.

         For the quarter ended March 31, 2004, 100% of the Company's net
         revenues were generated from the hotel operations. In order to minimize
         the credit risk, the Company maintained $12,918 of allowances for the
         quarter.

         As of March 31, 2004, the Company maintained net assets of
         approximately $65,000,000 at its locations in China. Although this
         country is considered politically and economically stable, it is
         possible that unanticipated events in this foreign country could
         disrupt the Company's operations.

                                      F-8
<PAGE>

         Reclassification
         ----------------

         Certain reclassifications have been made to the 2003 financial
         statements to conform to the 2004 presentation.

(3)      GOING CONCERN
----------------------

         The Company's consolidated financial statements are prepared using
         generally accepted accounting principles applicable to a going concern
         which contemplates the realization of assets and liquidation of
         liabilities in the normal course of business. However, for the quarter
         ended March 31, 2004, the Company incurred a net loss before income
         taxes of $1,498,337, mainly due to $211,919 of professional fee,
         $150,075 of conference fee for marketing and advertising of GBPN, and
         $285,429 of salaries to employees and $60,000 of deferred salaries to
         an officer consisting of approximately 42% of total selling, general
         and administrative expenses. Further, the Company does not have an
         established source of revenues sufficient to cover its operating costs
         to allow it to continue as a going concern. These matters raise
         substantial doubt about the Company's ability to continue as a going
         concern.

         The accompanying consolidated financial statements do not include any
         adjustments that might be necessary if the Company is unable to
         continue as a going concern.

(4)      PROPERTY AND EQUIPMENT
-------------------------------

         Property and equipment at March 31, 2004 consist of the following:

                  Land                                         $    19,064,890
                  Construction in progress                          25,649,395
                  Building and improvements                         19,750,583
                  Automobile                                           260,110
                  Machinery and equipment                              112,367
                  Office equipment                                      57,823
                  Furniture and fixtures                                29,128
                                                               ----------------
                                                                    64,924,296
                  Less: accumulated depreciation                       123,533
                                                               ----------------
                           TOTAL                               $    64,800,763
                                                               ================

         Depreciation expense was $104,526 for the quarter ended March 31, 2004.
         In January 2004, the Company entered into a `General Agreement on
         Project Planning and Operation' with a certain contractor in China, in
         order to develop commercial docks of Nantong, Beihe and Nanchang.
         Pursuant to the `Agreement', total turnover of the projects cannot be
         less than 3 billion yuan ($362,008,428; current exchange rate -
         8.28710) in the two-year contracting period from January 3, 2004 to
         January 2, 2006.

                                      F-9
<PAGE>

         As of March 31, 2004, the Company paid $13,708,052, capitalized as
         construction in progress, for management fee, project feasibility
         analysis and whole operation target valuation, whole project processing
         fee, whole operation management processing fee, whole programming
         processing, marketing programming and ichnography design.

(5)      OTHER ASSETS
---------------------

         Security Deposit
         ----------------

         Other assets consist mostly of $3,843 of security deposit resulting
         from non-cancelable operating leases for office space and $1,823,864 of
         deferred tax assets.

         In April 2002, the Company entered into non-cancelable operating lease
         for office space. Security deposit of $5,250 was made in conjunction
         with the lease.

         In February 2004, due to a maturity of the lease, the Company leased an
         office space and a promotion premises in Los Angeles. As of the balance
         sheet date, the lease contract has not been made yet for the lease.

         Income Taxes - Deferred Tax Assets
         ----------------------------------

         The following table presents the current and deferred income tax
         (benefit) provision for federal and state income taxes for the quarter
         ended March 31, 2004:

                  Current tax provision:
                           Federal                                 $         --
                           State                                   $        800
                                                                   -------------
                                                                   $        800
                                                                   -------------

                  Deferred tax (benefit) provision:
                           Federal                                 $   (534,538)
                           State                                   $   (139,780)
                                                                   -------------
                                                                   $   (674,318)
                  Add:  deferred tax assets at Dec. 31, 2003         (1,150,346)
                                                                   -------------

                  Deferred tax assets at March 31, 2004            $ (1,823,864)
                                                                   -------------

         Current income taxes are based upon the year's income taxable for
         federal and state tax reporting purposes. Deferred income taxes
         (benefits) are provided for certain income and expenses, which are
         recognized in different periods for tax and financial reporting
         purposes.

         Deferred income tax assets and liabilities are computed annually for
         differences between the financial statements and tax basis of assets
         and liabilities that will result in taxable or deductible amount in the
         future based on enacted tax laws and rates applicable to the period in
         which the differences are expected to affect taxable income.

                                      F-10
<PAGE>

         In assessing the realizability of deferred tax assets, management
         considers whether it is more likely than not that some portion or all
         of the deferred tax assets will not be realized. The ultimate
         realization of deferred tax assets is dependent upon the generation of
         future taxable income during the periods in which those temporary
         differences become deductible. Management considers the scheduled
         reversal of deferred tax liabilities, the projected future taxable
         income and tax planning strategies in making this assessment. Based on
         projections for future taxable income over the periods, during which
         the deferred tax assets are deductible, management believes that it is
         more likely that most of the deferred tax assets will be realized.

         As of March 31, 2004, the Company had net operating loss carryforwards
         for federal and state income tax purposes of approximately $4,200,000.
         The net operating loss carryforwards may be offset against future
         taxable income through 2023. The utilization of net operating loss
         carryforwards may be limited due to the ownership change under the
         provisions of Internal Revenue Code Section 382 and similar state
         provisions.

(6)      NOTES PAYABLE - RELATED PARTY
--------------------------------------

         At March 31, 2004, an outstanding borrowing under this advance was
         $429,000, and total interest accrued for the quarter ended March 31,
         2004 was $8,159. Interest is imputed at 8% per annum and is due upon
         demand.

(7)      ADVANCE DEPOSITS
-------------------------

         As part of the establishment of the GBPN, the Company plans to sell
         each store premise of trade centers to be built in HaiMen, NanTong, and
         KunShan of China. At March 31, 2004, the Company recorded $6,017,787 of
         advance deposits payable for the sale of the store.

(8)      OTHER LIABILITIES
--------------------------

         Other liabilities consist mostly of $4,707,345 of assumed liability
         (payable to HaiMen Construction Engineering Bureau) for the acquisition
         of a real property in HaiMen, China, $294,000 of deferred salaries to
         an officer, and $180,000 of accrued consulting fee.

         The Company incurred $60,000 of deferred salaries, the difference
         between the stated salaries ($60,000) and the actual compensation ($0),
         for the services provided by an officer, charged to operations for the
         quarter ended March 31, 2004. At March 31, 2004, none of the deferred
         compensation was actually paid.

(9)      COMMITMENTS AND CONTINGENCIES
--------------------------------------

         Litigation
         ----------

         To the Company's knowledge, there are neither existing claims nor
         pending or threatened litigation, either asserted or unasserted, which
         would be material to the Company.

                                      F-11
<PAGE>

(10)     STOCKHOLDERS' EQUITY
-----------------------------

         Common Stock
         ------------

         On January 13, 2004, the Company issued 6,463,415 shares of its common
         stock at the price of $2.00, totaling $12,926,830, for the purchase of
         an hotel in Haimen, China.

         In January, 2004, the Company also issued 6,800 and 108,600 common
         shares at the price of $3.00 (totaling $20,400 and $325,800,
         respectively) to individuals in China for cash consideration.

         Also, in February 2004, the Company issued 273,496 common shares to 466
         individuals in China, at $3.00 per share, totaling $820,488 in exchange
         for cash.

         In June 2003, the Company sold 6,800 shares (total value: $17,000) of
         its common stock at the price of $2.50 per share to a certain company
         in Hong Kong. A share certificate was issued in March 2004.

         In March 2004, the Company entered into an `Asset and Equity Stock
         Exchange Agreement' with Everbright Development Overseas, Ltd., in
         order to acquire the usage right of state-owned land located in
         Kunshan, China. Pursuant to the'Agreement', the Company will issue
         4,782,265 shares of its common stock at the price of $5.00 per share
         (totaling $23,911,325).

         Also, in March 2004, the Company entered into a `Stock Subscription
         Agreement' with Everbright Development Overseas, Ltd., for operation
         funds, initial capital fund for the registration of the subsidiaries in
         China, and property improvement fund. Pursuant to the `Agreement', the
         Company will issue 3,126,000 common shares at $5.00 per share, totaling
         $15,630,000. A stock certificate was issued on April 6, 2004. In
         December 2003, the Company also entered into a `Stock Subscription
         Agreement' with the Everbright for the issuance of the Company's common
         stock of 50,000 shares at the price of $4.00, totaling $200,000. A
         stock certificate was issued on April 1, 2004. For the quarter ended
         March 31, 2004, in order to procure operations and projects funds in
         China, the Company entered into `Stock Subscription Agreements' with
         numerous individuals in China, for the issuance of 1,076,434 of the
         Company's common stock, at the price of $3.00, totaling $3,229,301. As
         of March 31, 2004, physical stock certificates have not been issued.

(11)     SUBSEQUENT EVENT
-------------------------

         In April 2004, the Company issued 10,000 shares of its common stock to
         a consultant for consulting services, pursuant to a `Consultancy
         Agreement' made on November 12, 2003.

                                      F-12
<PAGE>

ITEM 2.   MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

GENERAL

         The following discussion may be understood more fully by reference to
the financial statements, notes to the financial statements, and the
Management's Discussion and Analysis or Plan of Operation section contained in
our Annual Report on Form 10-KSB, filed with the Securities and Exchange
Commission on April 14, 2004.

PLAN OF OPERATIONS

         We are engaged in the business of providing facilitation, credit and
logistical support to manufacturers and merchants engaged in international trade
between the People's Republic of China and the United States of America. We
intend to provide to the small to medium business in the PRC and USA logistical
support and credit assurance whereby interested buyers and sellers can:

         o        source available products and trading partners;

         o        receive language and other logistical assistance necessary for
                  negotiating and facilitating purchase order submission and
                  acceptance; and

         o        obtain, for the buyer, financial guarantees of product
                  delivery, quality and warranty claims and, for the seller,
                  financial guarantees of timely payment.

         We intend to provide our facilitation, credit and logistical support
through our international Trade Assurance Centers. Our plan of operations over
the next 12 months is to complete the construction of the five Trade Assurance
Centers currently under development in the PRC and to commence the development
of a Trade Assurance Center in Los Angeles.

         All manufacturers and merchants who subscribe to our services will be
required to become subscription members. Members will be entitled to full
logistical support and credit assurance. We intend to develop revenue from
operations primarily through membership fees and transaction based fees on all
international trades that take place through our network of services. GSL
members will be required to pay an initial membership fee of approximately
US$5,000. Each party to a transaction that takes place through our network, both
the buyer and seller, will be required to pay us 2% of the gross transaction
price. We also intend to develop revenue through the sale or lease of premises
at our international trade centers to our members, the provision of ancillary
trade services and the operation of our hotel located in HaiMen, Jiansu
Province, PRC.

         We expect to begin providing credit assurance services to Chinese
merchants and manufacturers in business-to-business transactions taking place
within the PRC during the third quarter of 2004. Subject to the completion of

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<PAGE>

our PRC-based Trade Assurance Centers, we expect to commence providing credit
assurance services in international transaction in the fourth quarter of 2004.

         During the three months ended March 31, 2004, we generated US$284,689
of revenue, all of which was derived from the operation of our hotel in HaiMen.
We incurred a net loss of $825,619 for the same period.

LIQUIDITY AND CAPITAL RESOURCES

         As of March 31, 2004, we had a working capital deficit of US$1,436,215.
However, approximately US$6,017,787 of our current liabilities as of the date
consist of advance deposits paid by PRC merchants for the purchase of store
premises at our PRC-based Trade Assurance Centers. After backing out the advance
deposits, we had working capital as of March 31, 2004 of US$4,581,572.

         Our working capital requirements over the next 12 months will include
capital necessary for the development of the initial five Trade Assurance
Centers in the PRC and a Trade Assurance Center in Los Angeles. We will also
require capital to fund claims made under our credit assurance program. We have
established a line of credit in the amount of RMB1 billion with NanTong
Commercial Bank for purposes of funding any assurance claims. In addition to our
working capital on hand and the existing line of credit, we believe that we will
need an additional US$200 million of working capital to fund our proposed plan
of operations. We intend to obtain the required capital a combination of bank
debt and sales of our equity securities. However, there are no commitments or
agreements on the part of anyone to provide us with additional bank financing or
purchase our securities. If we are unable to raise the additional US$200 million
of working capital, our proposed plan of operations may be adversely affected.

         The report of our independent accountants for the fiscal year ended
December 31, 2003 states that due to recurring net losses from operations and
the absence of an established source of revenue, there is substantial doubt
about our ability to continue as a going concern.

OFF-BALANCE SHEET ARRANGEMENTS

         We do not have any off-balance sheet financing arrangements.

FORWARD LOOKING STATEMENTS

         We make written and oral statements from time to time regarding our
business and prospects, such as projections of future performance, statements of
management's plans and objectives, forecasts of market trends, and other matters
that are forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.
Statements containing the words or phrases "will likely result," "are expected
to," "will continue," "is anticipated," "estimates," "projects," "believes,"
"expects," "anticipates," "intends," "target," "goal," "plans," "objective,"
"should" or similar expressions identify forward-looking statements, which may
appear in documents, reports, filings with the Securities and Exchange
Commission, news releases, written or oral presentations made by officers or

                                      -4-
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other representatives made by us to analysts, stockholders, investors, news
organizations and others, and discussions with management and other
representatives of us. For such statements, we claim the protection of the safe
harbor for forward-looking statements contained in the Private Securities
Litigation Reform Act of 1995.

         Our future results, including results related to forward-looking
statements, involve a number of risks and uncertainties that are described in
our 2003 Annual Report on Form 10-KSB. No assurance can be given that the
results reflected in any forward-looking statements will be achieved. Any
forward-looking statement made by or on behalf of us speaks only as of the date
on which such statement is made. Our forward-looking statements are based upon
assumptions that are sometimes based upon estimates, data, communications and
other information from suppliers, government agencies and other sources that may
be subject to revision. Except as required by law, we do not undertake any
obligation to update or keep current either (i) any forward-looking statement to
reflect events or circumstances arising after the date of such statement, or
(ii) the important factors that could cause our future results to differ
materially from historical results or trends, results anticipated or planned by
us, or which are reflected from time to time in any forward-looking statement
which may be made by or on behalf of us.

ITEM 3.  CONTROLS AND PROCEDURES

         Management, including the our Chief Executive Officer and Chief
Financial Officer, evaluated the effectiveness of the design and operation of
our disclosure controls and procedures as of the end of the period covered by
this report. Based upon that evaluation, our Chief Executive Officer and Chief
Financial Officer concluded that the disclosure controls and procedures were
effective, in all material respects, to ensure that information required to be
disclosed in the reports we file and submit under the Securities Exchange Act of
1934 are recorded, processed, summarized and reported as and when required.

         There have been no significant changes in our internal controls or in
other factors which could significantly affect internal controls subsequent to
the date our management carried out their evaluation. There were no significant
deficiencies or material weaknesses identified in the evaluation and therefore,
no corrective actions were taken.

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PART II - OTHER INFORMATION

ITEM 2.  CHANGES IN SECURITIES.

         In December 2003, we agreed to issue 6,463,415 shares of our common
stock to our controlling stockholder, Everbright Development Overseas Limited,
in exchange for a hotel, approximately 258,241 square feet in size and valued at
US$13,637,231, located in the city of HaiMen, Jiansu Province, PRC. We issued
the shares on January 14, 2004. The common shares were issued pursuant to
Regulation S under the Securities Act of 1933, as amended (the "Act"). There was
no underwriter involved in this issuance.

         In January and February 2004, we sold 388,896 shares of our common
stock to approximately 468 individuals in the PRC, all of whom were members of
our GSL trade network, for cash consideration at a price of US$3.00 per share.
The common shares were issued pursuant to Regulation S under the Act. There was
no underwriter involved in the issuances.

         In June 2003, we agreed to sell 6,800 shares of our common stock to a
Hong Kong company for cash consideration at a price of US$2.50 per share. We
issued the shares in March 2004. The common shares were issued pursuant to
Regulation S under the Act. There was no underwriter involved in this issuance.

         In March 2004, we agreed to issue 4,782,265 shares of our common stock
to our controlling stockholder, Everbright Development Overseas Limited, in
exchange for land usage rights to state-owned properties located in Kunshan, PRC
valued at US$23,911,325. The common shares have not been issued as of the date
of this report, but will be issued pursuant to Regulation S under the Act. There
was no underwriter involved in this issuance.

         In March 2004, we agreed to issue 3,126,000 shares of our common stock,
at a purchase price of US$5.00 per share, to Everbright Development Overseas
Limited. The common shares have not been issued as of the date of this report,
but will be issued pursuant to Regulation S under the Act. There was no
underwriter involved in this issuance.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K.

         (a)      Index to Exhibits
                  -----------------

                  Exhibit 31.1      Section 302 Certification

                  Exhibit 32.1      Section 906 Certification

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

                  None.

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                                   SIGNATURES


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


                                        GSL Holdings, Inc.
                                        (Registrant)


Dated:  May 24, 2004                    By:   /S/ LUIS CHANG
                                            ------------------------------------
                                              Luis Chang,
                                              President, Chief Executive Officer
                                                and Chief Financial Officer

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