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| x | Quarterly Report under Section 13      or 15(d) of the Securities Exchange Act of  1934 |
|---|-----------------------------------------------------------------------------------------|

| o | Transition report under Section 13      or 15(d) of the Exchange Act |
|---|----------------------------------------------------------------------|

| Florida                                                             | 65-1102237                                |
|---------------------------------------------------------------------|-------------------------------------------|
| (State or other jurisdiction of      incorporation or organization) | (I.R.S. Employer Identification      No.) |

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| Description                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | Page No.        |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------|
| FINANCIAL      INFORMATION:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |            |
|  Financial      Statements                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |            |
|  Consolidated Balance Sheets at      December 31, 2007 (unaudited) and March 31, 2007      (audited)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   F-1 |
|  Consolidated Statement of      Operations for the Three Months and Nine Months Ended December 31, 2007      and 2006   respectively      (Unaudited)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   F-2 |
|  Consolidated Statements of Cash      Flows for the Nine Months Ended December 31, 2007 and 2006 respectively      (Unaudited)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   F-3 |
|  Notes to Consolidated Financial      Statements      (Unaudited)                                                                                                                                   |  F-4       |

----

|                                                                                                                            |   | December      31,                               |       |   | March      31, |   |
|---------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------|------------|--------|----------------|--------|
|                                                                                                                            |   | 2007                                            |       |   | 2007           |   |
|                                                                                                                            |   |            (unaudited) |       |   |           |   |
| CURRENT      ASSETS                                                                                                             |   |                                            |       |   |           |   |
|    Cash                                                                                                          |   |                                            |       |   | $              | 341    |   |
|    Accounts      receivable                                                                                      |   | $                                               | 39,963     |   |           |   | 37,875 |   |
|    Inventory                                                                                                     |   |                                            | 193,957    |   |           |   | 144,480 |   |
|     Prepaid      expenses and other                                                                         |   |                                            | 740        |   |           |   | 13 |   |
|                Total      Current Assets             |   |                                            | 234,660    |   |           |   | 182,709 |   |
|                                                                                                                            |   |                                            |       |   |           |   |   |   |
| OTHER      ASSETS                                                                                                               |   |                                            |       |   |           |   |   |   |
|    Property,      plant and equipment, net                                                                       |   |                                            | 2,574,763  |   |           |   | 2,437,488 |   |
|    Trademarks,      net                                                                                          |   |                                            | 1,376      |   |           |   | 1,207 |   |
|                Total      Assets                     |   | $                                               | 2,810,799  |   |           | $      | 2,621,404 |   |
|                                                                                                                            |   |                                            |       |   |           |   |   |   |
| LIABILITIES      AND STOCKHOLDERS’ EQUITY                                                                                 |   |                                            |       |   |           |   |   |   |
|                                                                                                                            |   |                                            |       |   |           |   |   |   |
| CURRENT      LIABILITIES                                                                                                        |   |                                            |       |   |           |   |   |   |
|    Bank      overdraft                                                                                           |   | $                                               | 976,589    |   |           | $      | 158,967 |   |
|    Loans      from principal shareholders                                                                        |   |                                            | 1,259,863  |   |           |   | 1,259,863 |   |
|      Accounts      payable                                                                             |   |                                            | 121,119    |   |           |   | 208,669 |   |
|      Accrued      expenses                                                                             |   |                                            | 279,183    |   |           |   | 332,618 |   |
|     Loan      payable to principal officer                                                                  |   |                                            | 135,320    |   |           |   | 135,320 |   |
|                Total      Current Liabilities        |   |                                            | 2,772,074  |   |           |   | 2,095,437 |   |
|                                                                                                                            |   |                                            |       |   |           |   |   |   |
| STOCKHOLDERS’      EQUITY                                                                                                 |   |                                            |       |   |           |   |   |   |
|    Common      stock authorized 150,000,000                                                                      |   |                                            |       |   |           |   |   |   |
|      shares;      $0.00001 par value; issued                                                           |   |                                            |       |   |           |   |   |   |
|      and      outstanding  86,323,880 shares                                                 |   |                                            | 868        |   |           |   | 868 |   |
|      Additional      contributed capital                                                               |   |                                            | 7,829,536  |   |           |   | 7,829,536 |   |
|      Accumulated      other comprehensive income                                                       |   |                                            | 413,361    |   |           |   | 444,793 |   |
|      Accumulated      deficit                                                                          |   |                                            | (8,205,040 | )      |           |   | (7,749,230 | ) |
|                Total      Stockholders’ Equity |   |                                            | 38,725     |   |           |   | 525,967 |   |
|                                                                                                                            |   |                                            |       |   |           |   |   |   |
|        Total Liabilities and Sockholders' Equity                                                                           |   | $                                               | 2,810,799  |   |           | $      | 2,621,404 |   |

----

|                                                                                                                    |   |        Three Months                                          |       |   |         Three Months                                    |   |       |         Nine Months                               |   |   |          Nine Months                    |   |
|-------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------|------------|--------|-------------------------------------------------------------------|--------|------------|-------------------------------------------------------------|--------|--------|-------------------------------------------------------------|--------|
|                                                                                                                    |   |                Ended |       |   |                Ended |   |       |               Ended |   |   |               Ended |   |
|                                                                                                                    |   | December      31,                                                 |       |   | December      31,                                                 |   |       | December      31,                                           |   |   | December      31,                                           |   |
|                                                                                                                    |   | 2007                                                              |       |   | 2006                                                              |   |       |  2007                                                  |   |   | 2006                                                        |   |
|                                                                                                                    |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |
|                                                                                                                    |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |
| NET      SALES                                                                                                          |   | $                                                                 | 54,842     |   |                                                              | $      | 20,577     |                                                        |   | $      | 169,255                                                     |   |   | $ | 121,176 |   |
|                                                                                                                    |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
| COSTS      AND EXPENSES-                                                                                                |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
|    Cost      of goods sold                                                                               |   |                                                              | 27,329     |   |                                                              |   | 27,816     |                                                        |   |   | 72,089                                                      |   |   |   | 79,321 |   |
|    Selling,      general and administrative                                                              |   |                                                              | 175,158    |   |                                                              |   | 148,980    |                                                        |   |   | 430,739                                                     |   |   |   | 318,792 |   |
|    Depreciation      and amortization                                                                    |   |                                                              | 10,656     |   |                                                              |   | 24,779     |                                                        |   |   | 75,000                                                      |   |   |   | 75,644 |   |
|    Interest      expense                                                                                 |   |                                                              | 39,273     |   |                                                              |   | 5,539      |                                                        |   |   | 55,414                                                      |   |   |   | 6,156 |   |
|                Total      Costs and Expenses |   |                                                              | 252,416    |   |                                                              |   | 207,114    |                                                        |   |   | 633,242                                                     |   |   |   | 479,913 |   |
|                                                                                                                    |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
| OTHER      INCOME                                                                                                       |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
|    Insurance      claims                                                                                 |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   | 9,505 |   |
|    Other      miscellaneous income                                                                       |   |                                                              | 383        |   |                                                              |   |       |                                                        |   |   | 8,177                                                       |   |   |   |   |   |
|                Total      Other Income       |   |                                                              | 383        |   |                                                              |   |       |                                                        |   |   | 8,177                                                       |   |   |   | 9,505 |   |
|                                                                                                                    |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
|                                                                                                                    |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
|                                                                                                                    |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
| NET      LOSS                                                                                                           |   | $                                                                 | (197,191   | )      |                                                              | $      | (186,537   | )                                                           |   | $      | (455,810                                                    | )      |   | $ | (349,232 | ) |
|                                                                                                                    |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
| NET      (LOSS) PER COMMON SHARE                                                                                        |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
|    (Basic      and diluted)                                                                              |   | $                                                                 | (0.01      | )      |                                                              | $      | (0.01      | )                                                           |   | $      | (0.01                                                       | )      |   | $ | (0.01 | ) |
|                                                                                                                    |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
| WEIGHTED      AVERAGE COMMON SHARES                                                                                     |   |                                                              |       |   |                                                              |   |       |                                                        |   |   |                                                        |   |   |   |   |   |
|    OUTSTANDING                                                                                           |   |                                                              | 86,323,880 |   |                                                              |   | 86,323,880 |                                                        |   |   | 86,323,880                                                  |   |   |   | 86,323,880 |   |

----

|                                                                                                                                               |   | For      the Nine Months Ended                                                                                                                         |     |
|----------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------|----------|
|                                                                                                                                               |   |                             December 31, |     |
|                                                                                                                                               |   |                  2007                                                                           |     |   |  2006 |   |
|  CASH      FLOWS FROM OPERATING ACTIVITIES                                                                                                    |   |                                                                                                                                                   |     |   |   |   |
|    Net      loss for period                                                                                                         |   | $                                                                                                                                                      | (455,810 | ) |   | $ | (349,232 | ) |
|    Non-cash      items included in net loss                                                                                         |   |                                                                                                                                                   |     |   |   |   |   |   |
|        Depreciation      and amortization                                                                       |   |                                                                                                                                                   | 75,000   |   |   |   | 75,644 |   |
|        Provision      for Doubtful Accounts                                                                     |   |                                                                                                                                                   |     |   |   |   | 75,600 |   |
|    Changes      in operating assets and liabilities:                                                                                |   |                                                                                                                                                   |     |   |   |   |   |   |
|        Accounts      receivable                                                                                 |   |                                                                                                                                                   | 2,088    |   |   |   | 237,014 |   |
|        Inventory                                                                                                |   |                                                                                                                                                   | (49,477  | ) |   |   | (274,623 | ) |
|        Prepaid      expense and other                                                                           |   |                                                                                                                                                   | (727     | ) |   |   | 606 |   |
|        Accounts      payable                                                                                    |   |                                                                                                                                                   | (87,550  | ) |   |   | 23,060 |   |
|        Accrued      expenses                                                                                    |   |                                                                                                                                                   | (53,435  | ) |   |   | 76,091 |   |
|        Accrued      payroll taxes                                                                               |   |                                                                                                                                                   |     |   |   |   | (25,207 | ) |
|                Net      Cash Used in Operating                |   |                                                                                                                                                   |     |   |   |   |   |   |
|                  Activities                                   |   |                                                                                                                                                   | (569,911 | ) |   |   | (161,047 | ) |
|                                                                                                                                               |   |                                                                                                                                                   |     |   |   |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES                                                                                                          |   |                                                                                                                                                   |     |   |   |   |   |   |
|    Bank      overdraft                                                                                                              |   |                                                                                                                                                   | 817,622  |   |   |   |   |   |
|       Loan      from principal shareholders                                                                          |   |                                                                                                                                                   |     |   |   |   | (2,200 | ) |
|       Due      to factoring agent                                                                                    |   |                                                                                                                                                   |     |   |   |   | (99,595 | ) |
|                Net      Cash Provided by (Used in) Investing Activities |   |                                                                                                                                                   | 817,622  |   |   |   | (101,795 | ) |
|                                                                                                                                               |   |                                                                                                                                                   |     |   |   |   |   |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES                                                                                                          |   |                                                                                                                                                   |     |   |   |   |   |   |
|    Capital      expenditures                                                                                                        |   |                                                                                                                                                   | (27,161  | ) |   |   |   |   |
|    Disposal      of fixed assets                                                                                                    |   |                                                                                                                                                   |     |   |   |   | 191,316 |   |
|                                                                                                                                               |   |                                                                                                                                                   |     |   |   |   |   |   |
|                Net      Cash Provided by (Used in) Financing Activities |   |                                                                                                                                                   | (27,161  | ) |   |   | 191,316 |   |
|                                                                                                                                               |   |                                                                                                                                                   |     |   |   |   |   |   |
| EFFECT      OF RATE CHANGE ON CASH                                                                                                                 |   |                                                                                                                                                   | (220,891 | ) |   |   | 7,323 |   |
| NET      INCREASE (DECREASE) IN CASH                                                                                                               |   |                                                                                                                                                   | (341     | ) |   |   | (64,203 | ) |
| CASH AT                                                                                                                                       |   |                                                                                                                                                   |     |   |   |   |   |   |
|     BEGINNING      OF PERIOD                                                                                                   |   |                                                                                                                                                   | 341      |   |   |   | 78,145 |   |
| CASH      AT END OF PERIOD                                                                                                                         |   | $                                                                                                                                                      | 0        |   |   | $ | 13,942 |   |
|                                                                                                                                               |   |                                                                                                                                                   |     |   |   |   |   |   |

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| ·   | The      Company agreed to pay Three Million Two Hundred Thousand South African      Rand (R $3,200,000) to Sapphire, an amount approximately equal to Four      Hundred Sixty-Eight Thousand and Ninety Two U.S. Dollars (US $468,092), in      two installments.  The first installment of One Million Two      Hundred Thousand South African Rand (R$1,200,000) was paid by the Company      on January 11, 2008.  The second installment of      Two  Million South African Rand (R $2,000,000) was to be paid on      or before January 31, 2008, but was extended pursuant to an agreement      between the Company and Sapphire. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The      Company issued 26,699,950 restricted shares of the Company’s common stock      (the “Shares”) to Sapphire in exchange for relief from $533,999 of the      debt underlying the PromissoryNote. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The      Company, Sapphire, and Fairhurst entered into a voting agreement      concurrent with the Debt Restructuring Agreement (“Voting      Agreement”). |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The      Company issued a promissory note to Fairhurst for approximately $400,000      without interest to mature on January 11,2009. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Each      of Sapphire and Fairhurst executed mutual  releases. |
|--------------------|----------------------------------------------------------------|

| ·   | Fairhurst      will ensure that Adam Mauerberger remain as the Chief Executive Officer of      the Company until such time that a material merger or share exchange      occurs (“Atlantic CorporateEvent”). |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | 19,960,000      shares of the Company’s common stock owned by Fairhurst (“Fairhurst      Shares”) shall be transferred to Sapphire upon the earlier of the      six-month anniversary date of the Debt Restructuring Agreement or the      completion of an Atlantic CorporateEvent. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | ·   | The Company agreed to pay Three      Million Two Hundred Thousand South African Rand (R$3,200,000) to Sapphire,      an amount approximately equal to Four Hundred Sixty-Eight Thousand and      Ninety Two U.S. Dollars (US$468,092), in two installments.  The      first installment of One Million Two Hundred Thousand South African Rand      (R$1,200,000) was paid by the Company on January 11, 2008.  The      second installment of Two Million South African Rand (R$2,000,000)      was to be paid on or before January 31,      2008 but was extended      pursuant to an agreement between the Company and Sapphire. |
|--------|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ·   | The Company issued 26,699,950      restricted shares of the Company’s common stock (the “Shares”) to Sapphire      in exchange for relief from $533,999 of the debt underlying the Promissory      Note. |
|--------|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ·   | The Company, Sapphire and      Fairhurst entered into a voting agreement concurrent with the Debt      Restructuring Agreement (“Voting  Agreement”). |
|--------|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ·   | The Company issued a promissory      note to Fairhurst for approximately $400,000 without interest to mature on      January 11, 2009. |
|--------|--------------------|----------------------------------------------------------------------------------------------------------------------------------------|

|   | ·   | Each of Sapphire and Fairhurst      executed mutual releases. |
|--------|--------------------|---------------------------------------------------------------|

|   | ·   | Fairhurst will ensure that Adam      Mauerberger remain as the Chief Executive Officer of the Company until      such time that a material merger or share exchange occurs (“Atlantic      Corporate Event”). |
|--------|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ·   | 19,960,000 shares of the Company’s      common stock owned by Fairhurst (“Fairhurst Shares”) shall be transferred      to Sapphire upon the earlier of the six-month anniversary date of the Debt      Restructuring Agreement or the completion of an Atlantic Corporate      Event. |
|--------|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| a.   | Exhibit    Index |
|----------------|------------------|

| Exhibit31.1 | Certification of Chief Executive      Officer     |
|-------------|---------------------------------------------------|
| Exhibit31.2 | Certification of Chief Financial      Officer (1) |
| Exhibit32.1 | Certification of Chief Executive      Officer     |
| Exhibit32.2 | Certification of Chief Financial      Officer (2) |

| (1) | Included in Exhibit      31.1 |
|-----|-------------------------------|
| (2) | Included in Exhibit      32.1 |

| b.   | Reports of Form      8-K |
|----------------|--------------------------|

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|                         | ATLANTIC WINE AGENCIES      INC. |                                                              |
|------------------------------|----------------------------------|-------------------------------------------------------------------|
|                         |                             |                                                              |   |
| Date: February 19,      2008 | By:                              | /s/ Adam      Mauerberger                                    |   |
|                         |                             | Adam      Mauerberger                                             |   |
|                         |                             | President, Chief Financial Officer      and Chairman of the Board |   |
|                         |                             |                                                              |   |

----

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