----

----

----

UNITED      STATES

----

----

----

----

|          New                Jersey                                                                                                                                                                                                         22-1848316 -------------------------------                                                                                                                                                                                                     -----------------------(State                or other jurisdiction                of                                                                                                                                                                                (I.R.S. Employer ID No.)incorporation                or organization) |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|  Table              of Contents                                                                                                  |   | Page   |   |   |
|---------------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------|--------|
|                                                                                                                                  |   |   |   |   |
| Condensed Balance                Sheets as of September 30, 2001                                                                 |   | 3      |   |   |
| Condensed                Statements of Operations for the three and nine months ended                September 30, 2001 and 2000 |   | 4      |   |   |
| Condensed                Statements of Cash Flows for the nine months ended September 30,                2001 and                2000 |   | 5      |   |   |
| Notes                to Condensed Financial Statements                                                                                |   | 6-9    |   |   |
|                                                                                                                                  |   |   |   |   |

----

| Worlds.com,                  Inc.Balance Sheets(Unaudited) As                  of September 30, 2001 |
|-----------------------------------------------------------------------------------------------------------|
| Current                  Assets                                                                           |   |   |   |
| Cash                  and cash                  equivalents                                               |   |  $ | 26,478 |   |
| Accounts                  recievable                                                                      |   |   | 28,209 |   |
|    Prepaid                  Expenses                                                       |   |   | 30,525 |   |
| Inventory                                                                                                 |   |   | 52,727 |   |
|                                                                                                      |   |   |   |   |
|                                                                                                      |   |   |   |   |
| Total                  Current                  Assets                                                    |   |   | 137,939 |   |
|                                                                                                      |   |   |   |   |
| Property,                  equipment software                  dev  net of                      |   |   |   |   |
| accumulated                  depreciation                                                                 |   |   | 1,195,837 |   |
|                                                                                                      |   |   |   |   |
|                                                                                                      |   |   |   |   |
| TOTAL                  ASSETS                                                                             |   |  $ | 1,333,776 |   |
|                                                                                                      |   |   |   |   |
|                                                                                                      |   |   |   |   |
|                                                                                                      |   |   |   |   |
| Current                  Liabilities                                                                      |   |   |   |   |
| Accounts                  payable                                                                         |   |   | 1,145,796 |   |
| Accrued                  expenses                                                                         |   |   | 623,534 |   |
| Deferred                  Revenue                                                                         |   |   | 698,887 |   |
|  Current                  maturities notes                  payable                                  |   |   | 2,173,304 |   |
|                                                                                                      |   |   |   |   |
| Total                  Current                  Liabilities                                               |   |   | 4,641,521 |   |
|                                                                                                      |   |   |   |   |
|                                                                                                      |   |   |   |   |
| Stockholders                  Equity                  (Deficit)                                           |   |   |   |   |
|                                                                                                      |   |   |   |   |
| Common                  stock                                                                             |   |   | 33,824 |   |
|  Additional                  Paid in                  Capital                                        |   |   | 20,146,723 |   |
| Accumulated                  Deficit                                                                      |   |   | (23,488,291 | ) |
|                                                                                                      |   |  $ |   |   |
|  Total                  stockholders                  deficit                                        |   |   | (3,307,745 | ) |
|                                                                                                      |   |   |   |   |
|  Total                  Liabilities and                  stockholders deficit                        |   |  $ | 1,333,776 |   |
|                                                                                                      |   |   |   |   |
| The accompanying notes are an integral                  part of these financial statements.               |

----

| Worlds.com,                  Inc.Statements of Operations(Unaudited)For                  the three and nine months ended September 30, 2001 and                  2000 |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                  |
|                                                                                                                                                                  |   |   | Nine                  months ended September                  30, |   |   | Three                  months ended September                  30, |   |
|                                                                                                                                                                  |   |   | 2001 |   |   | 2000 |   |   | 2001 |   |   | 2000 |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Revenues                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                  | Revenue |   |  $ | 587,560 |   |   |  $ | 918,710 |   |   |  $ | 57,013 |   |   |  $ | 404,946 |   |
|                                                                                                                                                                  | Revenue                  from terminated                  K |   |   | 834,722 |   |   |   | - |   |   |   | - |   |   |   | - |   |
| Total                                                                                                                                                                 |   |   |   | 1,422,282 |   |   |   | 918,710 |   |   |   | 57,013 |   |   |   | 404,946 |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Cost                  and                  Expenses                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                  | Cost                  of                  Revenue |   |   | 224,675 |   |   |   | 339,713 |   |   |   | 1,438 |   |   |   | 127,401 |   |
|                                                                                                                                                                  | Selling                  General &                  Admin |   |   | 2,024,821 |   |   |   | 6,851,421 |   |   |   | 51,750 |   |   |   | 2,032,432 |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                  | Operating                  income                  (loss) |   |   | (827,214 | ) |   |   | (6,272,424 | ) |   |   | 3,826 |   |   |   | (1,754,887 | ) |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other                  Income                  Expense                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                  | Interest                  Income |   |   | 6,061 |   |   |   | 83,045 |   |   |   | 8 |   |   |   | 14,992 |   |
|                                                                                                                                                                  | Interest                  Expense |   |   | 863,696 |   |   |   | 130,260 |   |   |   | 38,461 |   |   |   | 44,487 |   |
|                                                                                                                                                                  | Offering                  Expense |   |   | 208,880 |   |   |   | - |   |   |   | - |   |   |   | - |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                  Loss                                                                                                                                             |   |   |  $ | (1,893,729 | ) |   |  $ | (6,319,639 | ) |   |  $ | (34,627 | ) |   |  $ | (1,784,382 | ) |
|                                                                                                                                                                  |
| The accompanying notes are an                    integral                    part of these financial                    statements.                                   |

----

| Worlds.Com,                  Inc.Statements                  of Cash Flows(Unaudited)For                  six months ended January through September 2001 |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                      |   | 2001 |   |   | 2000 |   |
|                                                                                                                                                      |   |   |   |   |   |   |
| Cash                  flows from operating                  activities                                                                                    |   |   |   |   |   |   |
| Net                  Income/(loss)                                                                                                                        |   |  $ | (1,893,729 | ) |   |  $ | (6,319,639 | ) |
|  Adjustments                  to reconcile net                  loss to net cash used                                                                |   |   |   |   |   |
| in                  operating                  activities                                                                                                 |   |   | - |   |   |   | - |   |
|  Dep&                  amort                                                                                                                     |   |   | 185,989 |   |   |   | 994,284 |   |
| Accretion                  of deferred                  revenue                                                                                           |   |   | (774,639 | ) |   |   | - |   |
|   Consulting                  expense                  related to the                                                                           |   |   |   |   |   |   |   |   |
|  issuance                  of stock                  options                                                                                         |   |   | 165,000 |   |   |   | 172,695 |   |
|        Interest                  expense on beneficial                  conversion                                     |   |   |   |   |   |   |
|    feature                  in                  private placement                                                                          |   |   | 746,381 |   |   |   | - |   |
| Placement                  fee and bonus expense                  paid                                                                                    |   |   |   |   |   |   |   |   |
|  with                  convertible                  notes                                                                                            |   |   | 95,000 |   |   |   | - |   |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
|  Changes                  in operating assets                  and liabilities                                                                       |   |   |   |   |   |   |   |   |
|  Accounts                  receivable                                                                                                                |   |   | 205,398 |   |   |   | (6,331 | ) |
| Prepaid                  expenses and other current                  assets                                                                               |   |   | 232,732 |   |   |   | (192,853 | ) |
|  inventories                                                                                                                                         |   |   | 83,978 |   |   |   | (54,852 | ) |
|  Long                  term                  deposit                                                                                                 |   |   | - |   |   |   | (25,000 | ) |
| accounts                  payable and accrued                  expenses                                                                                   |   |   | (219,036 | ) |   |   | 853,662 |   |
|  Deferred                  revenue                                                                                                                   |   |   | - |   |   |   | 230,454 |   |
|  Loans                                                                                                                                               |   |   |   |   |   |   |   |   |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
| Net                  cash used in operating                  activities                                                                                   |   |   | (1,172,927 | ) |   |   | (4,347,580 | ) |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
| Cash                  flows from investing                  activities                                                                                    |   |   |   |   |   |   |   |   |
| Addition                  to software development                  costs                                                                                  |   |   | (90,404 | ) |   |   | (496,055 | ) |
| Acquisition                  of property and                  equitpment                                                                                  |   |   | - |   |   |   | (106,830 | ) |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
|  Net                  cash used in investing                  activities                                                                             |   |   | (90,404 | ) |   |   | (602,885 | ) |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
| Cash                  flows from financing                  activities                                                                                    |   |   |   |   |   |   |   |   |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
|  Proceeds                  from sale of                  convertible notes                                                                           |   |   | 1,250,000 |   |   |   | 3,708,957 |   |
|  Proceeds                  from exercise of                  options                                                                                 |   |   | - |   |   |   | 135,500 |   |
|  Net                  Cash provided from                  financing activities                                                                       |   |   | 1,250,000 |   |   |   | 3,844,457 |   |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
|  Net                  increase(decrease) in                  cash                                                                                    |   |   | (13,332 | ) |   |   | (1,106,008 | ) |
|                                                                                                                                                      |   |   | - |   |   |   |   |   |
| Cash                  beginning of                  period                                                                                                |   |   | 40,489 |   |   |   | 1,821,180 |   |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
| Cash                  end of                  period                                                                                                      |   |  $ | 27,158 |   |   |  $ | 715,172 |   |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
|                                                                                                                                                      |   |   |   |   |   |   |   |   |
| Supplemental                  disclosure of cash                  flow information:                                                                       |   |   |   |   |   |   |   |   |
| Cash                  paid during the year                  for                                                                                           |   |   |   |   |   |   |   |   |
|                    Interest                                                                                                                          |   |   | - |   |   |   | - |   |
|  Income                  taxes                                                                                                                       |   |   | - |   |   |   | - |   |
| The accompanying notes are an integral                  part of these financial statements.                                                               |

----

----

----

----

----

Liquidity      and Capital Resources

    During      the first quarter of 2008 our Certifying      Officers evaluated the effectiveness of our disclosure controls and procedures.      Based on the evaluation, the Certifying Officers concluded that our disclosure      controls and procedures were effective to provide reasonable assurance that      information required as of the end of the period covered by this report 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 applicable rules and forms, and that it is accumulated and communicated      to our management, including the Certifying Officers, as appropriate to allow      timely decisions regarding required disclosure.

----

None.

----

|    By: /s/                Thomas Kidrin   Thomas                Kidrin   President,                CEO and Treasurer    By: /s/                Christopher                Ryan   Christopher                Ryan   Chief                Financial Officer and   Principal                Accounting Officer |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                |

----

XHIBITS

| Exhibit                No. |  | Description                                                                                                                                                      |
|----------------------------|--|------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                            |  |                                                                                                                                                                  |
| 31.1                       |  | Certification                of Chief Executive                Officer                                                                                           |
|                            |  |                                                                                                                                                                  |
| 31.2                       |  | Certification                of Chief Financial                Officer                                                                                           |
|                            |  |                                                                                                                                                                  |
| 32.1                       |  | Statement                required by 18 U.S.C. Section 1350, as adopted                pursuant to section 906 of the Sarbanes-Oxley Act of                2002. |
|                            |  |                                                                                                                                                                  |
| 32.2                       |  | Statement                required by 18 U.S.C. Section 1350, as adopted pursuant to section                906 of                the Sarbanes-Oxley Act of 2002. |