UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549  FORM
10-Q  (Mark One) R QUARTERLY
REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934  For
the quarterly period ended May 31, 2008  £ TRANSITION
REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT  For
the transition period from ____________ to ________________  Commission file number 000-30239   UNICO, INCORPORATED(Exact name of registrant as
specified in its charter)  Arizona
86-0205130(State or other jurisdiction of incorporation or
organization)
(I.R.S. Employer
Identification No.)  8880
Rio San Diego Drive, 8th Floor, San Diego, California 92108 (Address of principal executive offices)  (619)
209-6124 (Issuer's telephone number)  N/A (Former Name, former address and former fiscal year, if changed
since last report)  Indicate by check mark whether the registrant (1) filed all
reports required to be filed by Section 13 or 15(d) of the Securities 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 R No £  Indicate by check
mark whether the registrant is a large accelerated filer, an accelerated filer,
a non-accelerated filer, or a smaller reporting company.  See the
definitions of large accelerated filer, accelerated filer and smaller
reporting company in Rule 12b-2 of the Exchange Act.  Large
accelerated filer £ Accelerated
filer £ Non-accelerated
filer   £ (Do not check
if a smaller reporting company) Smaller
reporting company R  Indicate by check
mark whether the registrant is a shell company (as defined in Rule 12b-2 of the
Exchange Act).  Yes £
  No R APPLICABLE ONLY TO CORPORATE ISSUERS  State
the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date:  As of July 1, 2008, the issuer
had outstanding 9,880,726 shares of its common stock, $0.001 par value per
share.  Transitional Small Business Disclosure Format :   Yes
£   No R


PART
I - FINANCIAL INFORMATION   Item 1. Financial
Statements.       UNICO, INCORPORATED AND SUBSIDIARIES FINANCIAL STATEMENTS  May
31, 2008                  2


UNICO, INCORPORATEDConsolidated Balance
SheetsMay 31,

February 29,2008

2008ASSETS

(Unaudited)

(Audited)Current AssetsCash
$
35,304
$
-Accounts receivable

1,420

1,420Prepaid expense

10,000

20,000Total
Current Assets

46,724

21,420Fixed AssetsEquipment, furniture, etc. net of depreciation
(Note 1)

4,111,926

4,167,132Construction in progress

2,261,387

2,174,952Total Fixed Assets

6,373,313

6,342,084Other Assets:Cash- reclamation bonds

215,799

215,799Deposit

8,947

8,947Total Other Assets

224,746

224,746Total Assets
$
6,644,783
$
6,588,250LIABILITIES AND STOCKHOLDERS'
DEFICITCurrent LiabilitiesBank overdraft
$
-
$
3,142Accounts payable

793,537

785,427Wages payable

19,114

27,196Accrued expenses

400

400Reclamation obligations

148,176

144,862Accrued interest payable

26,022

24,510Accrued interest payable - related party (Note
2)

490,399

355,845Taxes payable

34,815

17,369Derivative liability

8,952,712

8,311,182Debentures payable, (Note 3)

75,000

75,000Debentures payable-related party net of discount
(Note 2)

6,269,628

5,496,821Total Current Liabilities

16,809,803

15,241,754Total Liabilities

16,809,803

15,241,754Stockholders' DeficitPreferred Stock, authorized 20,000,000 shares,
$0.001Par Value, 9,800,000 shares
issued and outstanding

9,800

9,800Common Stock, authorized 5,000,000,000 shares,
$0.001Par Value, 9,880,727 shares
issued and outstanding

9,881

9,881Stock payable

999,000

999,000Additional paid in capital

51,252,507

51,252,507Accumulated deficit

(62,436,208)

(60,924,692)Total
Stockholders' Deficit

(10,165,020)

(8,653,504)Total Liabilities and Stockholders' Deficit
$
6,644,783
$
6,588,250.The accompanying notes are an integral
part of these consolidated financial statements  3         UNICO, INCORPORATEDConsolidatedStatements of Operations
(Unaudited)For the Quarter EndedMay 31,2008


2007Total Revenues
$
-

$
-Operating ExpensesDrilling, exploration and
maintenance expense

120,723


105,923Depreciation and accretion

58,944


37,752Professional fees

93,517


94,431Salaries/wages

208,097


74,643General and administrative
expense

136,071


102,217Total Operating Expenses

617,352


414,966Net Operating Loss

(617,352)


(414,966)Other Income (Expense)Interest expense

(912,691)


(695,507)Interest income

56


1,750Derivative gain (loss) on
debentures

18,470


(9,748)Loss on settlement of debt

-


(4,133,316)Total Other
Expense

(894,165)


(4,836,821)LOSS FROM CONTINUING OPERATIONS

(1,511,517)


(5,251,787)Income Tax Expense

-


-Net Loss
$
(1,511,517)

$
(5,251,787)Net Loss Per Share
$
(0.15)

$
(1.90)Weighted Average Shares Outstanding

9,880,727


2,764,019The accompanying notes are an integral
part of these consolidated financial statements.   4   UNICO, INCORPORATEDConsolidated Statements of Cash
Flows(Unaudited)For the Quarter
EndingMay 31,2008

2007Cash Flows from Operating Activities:Net Loss
$
(1,511,517)
$
(5,251,787)Adjustments to Reconcile Net Loss to
Net Cash Provided by Operations:Depreciation and
accretion expense

58,944

37,751Loss on settlement of
debt

-

4,201,316Derivative/Interest
related to convertible debentures

754,337

651,748Changes in Operating Assets and
Liabilities:(Increase) Decrease
in:Reclamation deposit

-

(1,734)Prepaid
expense

10,000

-Deposits

-

(2,487)Accounts
receivable

-

-Increase (Decrease)
in:Accrued
expenses

136,066

30,615Accounts payable and
other liabilities

17,475

62,786Net Cash Used by Operating   Activities

(534,695)

(271,792)Cash Flows from Investing Activities:Purchase of fixed assets- Construction
in progress

(86,435)

(1,165,718)Purchase of fixed assets

(424)

(87,935)Sale of fixed assets

-

-Net Cash Used by Investing Activities

(86,859)

(1,253,653)Cash Flows from Financing Activities:Decrease in cash overdraft

(3,142)

-Issuance of convertible
debentures

660,000

2,540,000Net Cash Provided by Financing Activities

656,858

2,540,000Net Increase (Decrease) in Cash

35,304

1,014,555Cash at Beginning of Period

-

7,194Cash at End of Period
$
35,304
$
1,021,749Cash Paid For:Interest
$
-
$
-Income Taxes
$
-
$
-Non-Cash Financing Activities:Common stock issued for services
$
-
$
-Common Stock issued for debt
extinguishments
$
-
$
905,787The accompanying notes are an integral
part of these consolidated financial statements.      5      UNICO, INCORPORATED Notes to the Consolidated Financial
Statements May 31, 2008  NOTE 1  NATURE OF ORGANIZATION AND SIGNIFICANT
ACCOUNTING PRINCIPLES  This summary of significant accounting
policies of Unico, Incorporated is presented to assist in understanding the
Company's consolidated financial statements. The consolidated financial
statements and notes are representations of the Company's management who are
responsible for their integrity and objectivity. These accounting policies
conform to accounting principles generally accepted in the United States of
America and have been consistently applied in the preparation of the
consolidated financial statements.  The information furnished in the
interim financial statements includes normal recurring adjustments and reflects
all adjustments, which, in the opinion of management, are necessary for a fair
presentation of such financial statements.  a. Organization and
Business Activities  Unico, Incorporated was formed as an
Arizona corporation on May 27, 1966 under the name of Red Rock Mining Co.,
Incorporated. It was later known as Industries International, Incorporated and
I.I. Incorporated before the name was eventually changed to Unico, Incorporated
in 1979.  On July 12, 2004, Unico filed an election
with the U.S. Securities and Exchange Commission to become a business
development company pursuant to Section 54 of the Investment Company Act of
1940. Unico's Deer Trail Mine operations are conducted through Deer Trail Mining
Company, LLC, a Nevada limited liability company while Unico's Bromide Basin
Mine operations are conducted through Bromide Basin Mining Company, LLC, a
Nevada limited liability company. Unico also owns Silver Bell Mining Company,
Inc., which is not presently operational.  On October 11, 2005, the Unico
shareholders approved a proposal to authorize the Companys Board of Directors
to withdraw the Companys election to be treated as a BDC.  On October 12,
2005 a Notification of Withdrawal of BDC Election was filed with the Securities
and Exchange Commission so that Unico could begin conducting business as an
operating company rather than as a BDC subject to the Investment Company Act.  The Company presently has three
wholly-owned subsidiaries: Deer Trail Mining Company, LLC, Silver Bell Mining
Company, Inc., and Bromide Basin Mining Company, LLC.  While the Company
reported under the Investment Company Act as a Business Development Company, the
operations of these entities were not consolidated but, rather, were treated as
investments and were carried on the Companys books at their fair market value.
 As a result of the Companys withdrawal as a BDC, the equity method of
accounting is now appropriate.  As a result, the accompanying consolidated
financial statements are those of the Company and its wholly owned subsidiaries,
Deer Trail Mining Company, LLC, Silver Bell Mining Company, Inc. and Bromide
Basin Mining Company, LLC.  b. Fixed Assets  The Companys property consists of mining
equipment, vehicles, office furniture and computer equipment.  The property
is depreciated in a straight-line basis over three, five, and ten years.
 Fixed assets are recorded at cost. Major additions and improvement are
capitalized. The cost and related accumulated depreciation of equipment retired
or sold are removed from the accounts and any differences between the
undepreciated amount and the proceeds from the sale are recorded as gain or loss
on sale of assets.  Mineral rights are recorded at cost of acquisition.
 When there is little likelihood of a mineral right being exploited, or the
value of mineral rights have diminished below cost, a write-down is affected
against income in the period that such determination is made.  Fixed Asset Schedule

May 31,2008Fixed Assets:Furniture & Equipment
$
1,809,857Land

200,000Patented mining claims

640,000Mining Claim

2,360,000Autos

65,814Total

5,075,671Less Depreciation

(963,745)Net Equipment
$
4,111,926  6     The Company exercised its option to
purchase the claims covered by the Deer Trail lease and paid the balance of
$1,700,000 that was owed on the purchase option agreement in the quarter ended
August 31, 2007.    A total of $4,000,000 was paid to purchase
the Deer Trail Claim over a period of approximately three years.  The
initial $1,000,000 that was paid towards the lease purchase was expensed in the
2004 fiscal year based on the fact that the Company did not have independent
third party verification of the mineable assets at the time.  As a result,
only $3,000,000 of the total acquisition of $4,000,000 is being capitalized.  The purchase of the Deer Trail mines claims
is comprised of 32 patented mining claims and 170 unpatented mining claims.
 The patented claims comprise 16% of the total claims purchased.  As a
result, $640,000 ($4,000,000 x 16% = $640,000) will be treated as a purchase of
land based on the fact that patented claims give the Company title to the use of
the land.  The balance of the capitalized amount of $2,360,000 is for the
unpatented claims and is subject to be amortized over the life of the mineable
assets.  c. Accounting for
Derivatives  Convertible debentures, the Companys sole
derivative instruments, are accounted for under EITF 00-27 unless liability
classification of the derivative is more appropriate.  Where the embedded
conversion option appears to qualify for liability classification, derivatives
are accounted for under EITF 00-19.  Under EITF 00-27, the Company records a
beneficial conversion cost associated with the convertibility feature of the
security that equals the value of any discount to market available at the time
of conversion.  This beneficial conversion cost is recorded at the time the
convertible security is first issued.  If the debenture is subsequently
converted into stock, the liability is reduced and common stock is
increased.  EITF 00-19 is applicable to debentures
issued by the Company in instances where the number of shares into which a
debenture can be converted is not fixed.  For example, when a debenture
converts at a discount to market based on the stock price on the date of
conversion.  In such instances, EITF 00-19 requires that the embedded
conversion option of the convertible debentures be bifurcated from the host
contract and recorded at their fair value.   In accounting for
derivatives under EITF 00-19, the Company records a liability representing the
estimated present value of the conversion feature considering the historic
volatility of the Companys stock and a discount representing the imputed
interest associated with the beneficial conversion feature.  The discount
is then amortized over the life of the debentures and the derivative liability
is adjusted periodically according to stock price fluctuations.  At the
time of conversion, any remaining derivative liability is charged to additional
paid-in capital.  For purposes of determining derivative liability, the
Company uses Black-Scholes modeling for computing historic volatility.  d. Accounting Method  The Company's consolidated financial
statements are prepared using the accrual method of accounting. The Company has
elected a February 28th year-end.   The Company reports the
operations of itself and its subsidiaries under the equity method of accounting,
resulting in the consolidation of all assets and operations of wholly-owned
subsidiaries.  e. Significant Accounting
Policies  The Company files income tax returns in the
U. S. federal jurisdiction, and in the following state jurisdictions:
California, Arizona, and Utah.  With few exceptions, the Company is no
longer subject to U. S. federal, state and local, or non-U. S. income tax
examinations by tax authorities for years before 2000.  The company has not
filed tax returns since the year 2000 and is therefore subject to examination by
the IRS under the rules of the statute of limitations.  The Company adopted the provisions of the
FASB Interpretation No. 48, Accounting for Uncertainty in Income Taxes,
on January 1, 2007.  The Companys policy is to recognize
interest accrued related to unrecognized tax benefits in interest expense and
penalties in operating expenses.  FIN 48  Accounting for Uncertainty in
Income Taxes  In July 2006, the FASB issued
Interpretation No. 48, Accounting for Uncertainty in Income Taxesan
interpretation of FASB Statement No. 109 (FIN 48). FIN 48 contains a two step
approach to recognizing and  7  measuring
uncertain tax positions accounted for in accordance with SFAS No. 109. The first
step is to evaluate the tax position for recognition by determining if the
weight of available evidence indicates it is more likely than not that the
position will be sustained on audit, including resolution of related appeals or
litigation processes, if any. The second step is to measure the tax benefit as
the largest amount which is more than 50% likely of being realized upon ultimate
settlement. This provision is effective for fiscal years beginning after
December 15, 2006, which will be the Companys fiscal year 2008. The Company is
evaluating the impact, if any; the adoption of this statement will have on its
results of operations, financial position, or cash flows. Given the Companys
substantial loss carry-forward, it does not, in the near term, expect to have
any impact of the Companys tax position with the adoption of FIN 48.  h. Recent Accounting Pronouncements  In February 2007, the FASB issued Statement
No. 159, The Fair Value Option for Financial Assets and Financial Liabilities,
including an amendment of FASB Statement No. 115 (FAS 159).  FAS 159
permits companies to choose to measure many financial instruments and certain
other items at fair value and establishes presentation and disclosure
requirements designed to facilitate comparisons between companies that choose
different measurement attributes for similar types of assets and liabilities.
 The provisions of FAS 159 become effective as of the beginning of our 2009
fiscal year.  We are currently evaluating the impact that FAS 159 will have
on our financial statements.  In March of 2008, the FASB issued statement
161, Disclosures about Derivative Instruments and Hedging Activities, an
amendment of FASB statement no. 133 (FAS 161).  FAS 161 requires companies
to enhance disclosures about an entitys derivative and hedging activities and
thereby improves the transparency of financial reporting.  The provisions
of FAS 161 become effective as of November 15, 2008.  We are currently
evaluating the impact that FAS 161 will have on our financial statements.  In May of 2008 the FASB issued statement
162, The Hierarchy of Generally Accepted Accounting Principles (FAS 162).
 FAS 162 addresses the principles used in the preparation of financial
statements that are presented in conformity with GAAP.  FAS 162 concludes
that the GAAP hierarchy should reside in the accounting literature established
by FASB thereby directing accounting principles directly to the entity and not
to the auditors as has been done in the past with GAAP literature.  The
provisions of FAS 162 become effective 60 days following the SECs approval.
 The Company believes that FAS 162 will have no effect on its financial
statements.   NOTE 2  RELATED PARTY
DEBENTURES  The Company previously issued convertible
debentures of $645,132 to Ray Brown, a member of the board of directors.
 Ray Brown assigned   $114,466 of his outstanding convertible
debenture to Joseph Lopez, father of the Companys Chief Executive Officer, Mark
Lopez, as satisfaction on a personal loan. These debentures bear interest at 10%
per annum and were due September 2005, and December 25, 2004, respectively. The
debentures are convertible into common stock of the Company at a discount of 20%
off the closing bid price of the common stock on the date of conversion. The
Company has recorded an accrued interest payable of $20,271 for Ray Browns
debenture and $41,509 for Joseph Lopezs debenture as of May 31, 2008.  As
of the quarter ended May 31, 2008, the Company owes Mr. Brown of $449,514 in
principal and $20,271 in interest, and it owes Joseph Lopez $114,466 in
principal and $41,509 in interest.  In January of 2008 all of the debentures
issued to Compass Capital Corporation, Blue Marble and Reef Holdings totaling
$5,179,954 that remained unpaid by Unico were assigned to Moore Investment
Holdings.  Moore Investment Holdings is controlled by Joseph Lopez, the
father of CEO Mark Lopez. The Company also issued convertible debentures of
$500,000 to Moore Investment Holdings during the fiscal year ending February 29,
2008 for a total due Moore Investment Holdings of $5,679,954. During the quarter
ending May 31, 2008 the Company issued an additional $660,000 of convertible
debentures to Moore Investment Holdings.  The debentures were issued with
terms of 180 days, accrued interest at 8% per annum, and converted at a discount
of 50% of the closing bid for the Companys common stock on the date of
conversion.  The summary of outstanding related party
debt of $6,269,628 of which $5,544,080 is in default as of May 31, 2008 is as
follows:  Moore Investment Holdings $6,339,954 Ray Brown $449,514 Joseph Lopez $114,466  Total $6,903,934 Less: Discount on debt $634,306 Net related part debt $6,269,628  8   As of May 31, 2008 the Company has accrued
$490,399 for interest due to related parties in regard to these outstanding
debentures..  NOTE 3  CONVERTIBLE DEBENTURES  In January of 2008 all of the debentures
issued to Compass Capital Corporation, Blue Marble and Reef Holdings totaling
$5,179,954 that remained unpaid by Unico were assigned to Moore Investment
Holdings, a related party.  During the quarter ended May 31, 2008, the
Company issued $660,000 of convertible debentures  To Moore Investment
Holdings that were used primarily to support subsidiary operations.  The
debentures were issued with terms of 180 days, accrued interest at 8% per annum,
and convert at a discount of 50% of the closing bid for the Companys common
stock on the date of conversion.  The Company recorded interest expense of
$908,873 during the quarter ended May 31, 2008 associated with the debentures
and recorded a gain of $18,470 on the derivative portion of the debentures.
 The net derivative liability at May 31, 2008 was $8,952,712.
  As of May 31, 2008 the Company had $75,000 in non-affiliate and
$6,903,934 of affiliated convertible debentures issued and outstanding less
discounts of $634,306.  The Company did not
enter into any agreements to settle or convert any of its common stock for debt
during the quarter ended May 31, 2008.  NOTE 4 STOCKHOLDERS EQUITY  Common Stock As of May 31, 2008, the Company had
9,880,726 post reverse shares of common stock issued and outstanding with
4,990,119,274 post reverse shares authorized but unissued.  On June 30,
2008 the Company announced a reverse split of its issued and outstanding common
stock on the basis of one share of common stock to be issued for each 500 shares
issued and outstanding.  As a result of this reverse split all shares of
stock reported as of this filing have been accounted for as though the reverse
split occurred prior to the quarter ending May 31, 2008.    During the quarter ended May 31, 2008 the
Company did not enter into any agreement to issue any shares of common
stock.  Stock Options  During the year ended February 28, 2007, all stock
options expired unexercised.  As of May 31, 2008, there were no stock
options outstanding.  Preferred Stock  As of May 31 2008, the Company had
9,800,000 shares of preferred stock issued and outstanding, all of which is
Series A preferred stock. The Series A
Preferred Stock entitle the holder to elect two of the Companys directors and
is convertible into shares of common stock on a 1:1 basis.  Stock
Payable  During the year ended February 28, 2007,
the Company sold a total of 152,238 shares of restricted common stock to a third
party for total consideration of $999,000.  As of May 31 2008, these shares
had not been issued, resulting in a stock payable of $999,000.  Convertible Debentures  The Company has $6,414,954 of convertible
debentures outstanding that are convertible at a rate of 50% discount of the
closing bid for the Companys common stock on the date of conversion, and it has
$563,980 of convertible debentures outstanding that are convertible at a rate of
20% discount of the closing bid for the Companys common stock on the date of
conversion.  NOTE 5  LEGAL MATTERS  During the fiscal year ended February 29,
2008, the Company settled six lawsuits filed in the Twelfth Circuit (State)
Court in Florida stemming from defaulted convertible debentures totaling
$1,025,000 and $36,406 of interest.  Unico agreed to settle all of the
actions by issuing a total of 3,926,315,790 shares (7,852,632 post split shares)
of its  9  common stock to
the plaintiffs  These shares were issued pursuant to Section 3(a)(10) of
the Securities Act of 1933, as amended, after a hearing with notice to, and an
opportunity to be heard from, interested parties, as to the fairness of each
transaction, by a state court in Florida which specifically determined, prior to
declaring that the transactions were exempt under Section 3(a)(10), that the
transactions were fair to the interested parties.  The Company scheduled a special meeting of
its shareholders on December 21, 2007 at which shareholders were to vote on a
proposal to amend the Companys articles of incorporation to authorize the
Companys board of directors, in its discretion, to effect a reverse stock split
of the Companys common stock at a ratio of up to one-for-five hundred during
the six month period following the date of a special meeting of shareholders.
 On December 17, 2007, plaintiff Legacy Trading Group (Legacy), a
California limited liability company, filed an action against Unico alleging
violation of Section 14(a) and (c) of the Securities Exchange Act of 1934 and
the rules promulgated thereunder, and Arizona Revised Statute § 19-705.
 The action was filed in the United States District Court, Southern
Division of California (Civil No. 07CV 2344-L (RBB)).  Legacy filed an ex
parte application for a Temporary Restraining Order (TRO), contending that
notice of the special meeting of Unicos shareholders and/or the related proxy
statement was not provided to all shareholders.  At a hearing held on
December 18, 2007, the Court granted the application for a TRO, and enjoined and
restrained Unico from holding the special meeting of the shareholders on
December 21, 2007 or at any other time until the preliminary injunction hearing
in this matter was heard.  The preliminary injunction hearing was held on
January 8, 2008.  Plaintiffs application for a preliminary injunction was
denied at the hearing on the grounds of being moot.  Unico believes notice
of the special meeting of Unicos shareholders and the related proxy statement
for the December 21, 2007 special meeting were sent to all shareholders entitled
to receive such pursuant to applicable federal proxy rules and the Arizona
Revised Statutes.  However, since the TRO prevented the Company from
holding the special meeting of shareholders on December 21, 2007, the Company
rescheduled the special meeting which was held on January 28, 2008 at 10:00 a.m.  On April 29, 2007, Bromide Basin Mining
Company, LLC was served with a lawsuit filed on April 10, 2008 by Kaibab
Industries, Inc. in Maricopa County, Arizona state court (No. CV2008-008121).
 The plaintiff alleges that Bromide Basin Mining Company, LLC owes $30,000
in rent for the months of May through October 2007, when a mining lease expired.
 The plaintiff also alleges that Bromide Basin Mining Company, LLC has
failed to vacate the premises and that it owes an additional $5,000 per month as
a holdover tenant commencing November 1, 2007 until it vacates the premises.
 The plaintiff has also asked for interest, attorneys fees and court
costs.  Bromide Basin Mining Company, LLC has vacated the premises.
 The Company has tentatively reached an agreement to settle this lawsuit in
July 2008 for $30,000.  NOTE 6  SUBSEQUENT EVENTS  Subsequent to the quarter ending May 31,
2008, the Company received $95,000 through the issuance of new convertible
debentures.  The new debentures were issued with terms of 180 days, bear
interest at the rate of 8% per annum, and are convertible by the holder into
shares of the Companys common stock at a discount of 50% of the closing bid
price on the date of conversion.  NOTE 7  GOING CONCERN  The Companys financial statements are
prepared using accounting principles generally accepted in the United States of
America applicable to a going concern, which contemplates the realization of
assets and liquidation of liabilities in the normal course of business.
 The Company has incurred losses of $62,436,208 from its inception through
May 31, 2008.   It has not established any revenues with which to
cover its operating costs and to allow it to continue as a going concern.  During the next 12 months, the Companys
plan of operation is to raise approximately $3,500,000 for investment into its
subsidiary companies: Deer Trail Mining Company and Silver Bell Mining Company.
The funds are intended for the following purposes during the next twelve months:  § Complete analytical
certification by independent lab, ALS Chemex, and final reporting from
consulting firm, Behre Dolbear & Company (USA), on the logging and shipment
of core samples identified and taken from the completed 2nd phase of
exploratory drilling at the Deer Trail Mine; § Continue sampling and
analyzing mineralized rock samples, stockpiles and dump material from the Deer
Trail Mine to evaluate the most efficient means to conduct future mining and
milling activities; § Expand metallurgical
research department at the Deer Trail Mine and Mill Facility; § Purchase additional lab
equipment for metallurgical purposes; § Upgrade mine
infrastructure and begin underground mining activities including maintenance and
rehabilitation work at the Deer Trail Mine;  10  § Continue to upgrade and
complete the re-construction project on the existing mill at the Deer Trail
Mine; § Upgrade the crushing
facility at the upper Deer Trail Mine and continue screening the ore dumps; § Begin milling and
processing activities at the Deer Trail Mill and Processing Facility; § Acquire new mining
equipment to improve operations at the Deer Trail Mine; § Conduct additional
survey and mapping work on the Clyde and Crown Point mining claims including
improvements to the property and potentially underground and surface exploratory
drilling on the claims; and § Commence a feasibility
study on the potential of the mining claims at the Silver Bell Mine beginning in
the Summer of 2008.  Accomplishing the 12-month plan of
operations is dependent on: (a) the Company raising approximately $3,500,000 in
equity and/or debt financing during the next 12 months to be used for the
Companys operations, of which approximately $1,000,000 is needed in the next
120 days.  Subsequent to the quarter ending May 31, 2008, the Company
received $95,000 through the issuance of new convertible debentures to Moore
Investments.  The new debentures were issued with terms of 180 days, bear
interest at the rate of 8% per annum, and are convertible by the holder in
shares of the Companys common stock at a discount of 50% of the closing bid
price on the date of conversion.  The Company intends to raise
approximately an additional $3,405,000 during the fiscal year ending February
28, 2009 to fulfill the 12-month plan.  11


Item 2. Management's
Discussion and Analysis of Financial Condition and Results of Operations.  Forward-Looking Statements.  When used in this Form 10-Q, the words
"expects", "anticipates", "estimates" and similar expressions are intended to
identify forward-looking statements. Such statements are subject to risks and
uncertainties that could cause actual results to differ materially from those
projected. These forward-looking statements speak only as of the date hereof.
The Company expressly disclaims any obligation or undertaking to release
publicly any updates or revisions to any forward-looking statements contained
herein to reflect any change in the Company's expectations with regard thereto
or any change in events, conditions or circumstances on which any statement is
based.  ANY FORWARD-LOOKING STATEMENTS INCLUDED IN THIS FORM 10-Q REFLECT
MANAGEMENT'S BEST JUDGMENT BASED ON FACTORS CURRENTLY KNOWN AND INVOLVE RISKS
AND UNCERTAINTIES. ACTUAL RESULTS MAY VARY MATERIALLY.  General Information Regarding Unico and its
Operations.  Unico, Incorporated (the Company, Unico
or UNCN) an Arizona corporation, was formed as an Arizona corporation on May
27, 1966. It was incorporated under the name of Red Rock Mining Co.,
Incorporated. It was later known as Industries International, Incorporated and
I.I. Incorporated before the name was eventually changed to Unico, Incorporated
in 1979.  On July 12, 2004, Unico filed an election
with the U.S. Securities and Exchange Commission to become a business
development company (BDC) pursuant to Section 54 of the Investment Company Act
of 1940.   On August 1, 2005, the Board of Directors unanimously
approved a proposal to withdraw the Companys election to be treated as a
business development company as soon as practicable so that Unico could begin
conducting business as an operating company rather than as a business
development company subject to the Investment Company Act.  On October 11,
2005, a Special Meeting of the Unico shareholders was held to consider and vote
upon a proposal to authorize the Companys Board of Directors to withdraw the
Companys election to be treated as a BDC and the proposal was approved.
 On October 12, 2005 a Notification of Withdrawal was filed with the
Securities and Exchange Commission so that Unico could begin conducting business
as an operating company rather than as a BDC subject to the Investment Company
Act.  The mining operations at the Deer Trail
Mine have been conducted through Unico's subsidiary, Deer Trail Mining Company,
LLC (Deer Trail Mining Company or DTMC) since soon after DTMC was formed in
late June, 2004. The mining operations at the Bromide Basin Mines have been
conducted through Unico's subsidiary, Bromide Basin Mining Company, LLC
(Bromide Basin Mining Company or "BBMC") since soon after BBMC was formed in
late June, 2004. Future mining operations at the Silver Bell Mine will be
conducted through Unico's subsidiary, Silver Bell Mining Company, Inc. ("SBMC").  Deer Trail Mining Company, LLC  On March 30, 1992, Unico, Incorporated
entered into a Mining Lease and Option to Purchase agreement with Deer Trail
Development Corporation, with headquarters in Dallas, Texas. Deer Trail
Development Corporation is now known as Crown Mines, L.L.C. The lease was to run
for a period of 10 years, and cover 32 patented claims (including mill sites)
and 170 unpatented claims located approximately 5 miles South of Marysvale,
Utah. It includes mine workings known as the Deer Trail Mine, the PTH Tunnel and
the Carisa and Lucky Boy mines. There are no known, proven or probable reserves
on the property.  Effective December 1, 2001, a new lease
agreement was entered into between the parties (Deer Trail Lease) covering the
same property for a period of thirty (30) months. It was subsequently extended
through a series of amendments.  In July 2007, Deer Trail Mining Company completed the purchase of the claims
covered by the Deer Trail Lease.  A total of $4,000,000 was paid to
purchase the property over a period of approximately three years.  The
purchase of the claims also included the purchase of a fifty percent (50%)
interest in Water Right No. 63-37, said fifty percent (50%) portion including a
maximum flow of 0.125 cubic feet of water per second and a maximum annual
diversion of 90.5 acre feet of water from Three Mile Spring for year-round
mining purposes.  The purchase of the claims also included a fifty percent
(50%) interest in a contractual right to use water diverted under Water Right
No. 63-3043 as evidenced and described in the Agreement between Cottonwood
Irrigation Company and Deer Trail Development Corporation dated July 28, 1977.
 The fifty percent (50%) interest in the contractual water right allows
Deer Trail Mining Company to truck not more than 2,500 gallons of water per week
from the Cottonwood Creek to the Deer Trail Mine for mining activities during
the irrigation season (April 15 to October 15), and possibly more during the
remaining portion of each year.


12


Deer Trail Mining Company also obtained a
lease from Crown Mines, L.L.C. of the remaining fifty percent (50%) interest in
Water Right No. 63-37 and the remaining 50% interest in the contractual water
right (Water Right 63-3043.  The lease is for an initial term of 5 years
for no rent.  The lease may be terminated by Crown Mines, L.L.C. upon 12
months written notice if Crown Mines determines that the water rights covered
by the lease are necessary for the operation and development of any of Crown
Mines mining claims or for other permitted uses.  The lease may be
extended if Crown Mines determines that the water rights covered by the lease
are not required for the operation and development of any of Crown Mines mining
claims or for other permitted uses during the extension period, provided that
the parties can agree on other terms including a price or rent for the extended
term.  Crown Mines, L.L.C. retained a perpetual
royalty interest on minerals taken from the claims purchased by Deer Trail
Mining Company.  The perpetual royalty is three percent (3.0%) of net
smelter returns on minerals other than gold.  The royalty rate for gold is
three percent (3.0%) when the price of gold is less than or equal to $500 per
troy ounce, four percent (4.0%) when the price of gold is more than $500 and
less than or equal to $600 per troy ounce, and five percent (5.0%) when the
price of gold is greater than $600 per troy ounce.  Crown Mines, L.L.C.
also retained an undivided three percent (3.0%) interest in any oil and gas and
associated hydrocarbons produced from the claims.  Crown Mines, L.L.C. also retained an access
easement and a water line pipeline easement across the claims sold to Deer Trail
Mining Company.  Deer Trail Mining Company has agreed to
provide Crown Mines, L.L.C. with information obtained as a result of Deer Trail
Mining Companys exploration activities on the claims, and Deer Trail Mining
Company granted to Crown Mines, L.L.C. a right of first refusal to repurchase
the claims or any portion thereof.  In August 2006, Deer Trail Mining Company
entered into a Mining Lease with Joel Johnson covering the Clyde, Clyde
Intermediate and Crown Point claims.  These claims are located near the
Deer Trail Mine.  Deer Trail Mining Company has leased the claims for the
purpose of conducting mine exploration, evaluation, and possible mining
activities on the claims.  The Mining Lease is for two years, with options
to extend the lease for 50 additional one year periods.  Under the terms of
the Mining Lease, Deer Trail Mining Company paid initial down payments totaling
$31,000 with $4,000 due in the second year of the lease.  If Deer Trail
Mining Company elects to extend the lease, it must pay $3,000 for the first
extension year, and the annual lease extension payment increases ten percent
(10%) per year thereafter.  Additionally, Deer Trail Mining Company will
pay three percent (3%) of the gross sale proceeds from the sale of any ore
concentrates, or other mineral resources extracted from the claims.  In September 2006, Deer Trail Mining
Company entered into a Non-Patented Mining Claims Lease covering approximately
70 additional claims covering approximately 1,500 acres in Piute County Utah for
the purpose of exploration, evaluation and mining activities.  In
consideration for the rights under the agreement, the Deer Trail Mining Company
agreed to pay the lease holders $7,000 per year for each of the first three
years.  Deer Trail Mining Company has the right to extend the lease for 50
additional one year periods.  If extended by Deer Trail Mining Company, the
annual lease payment is $10,000 in each of years four and five, and thereafter
the annual lease payment increases by ten percent (10%) per year.  In
addition to the annual lease payments, Deer Trail Mining Company has also agreed
to pay an amount equal to three percent (3%) of the gross sales proceeds from
all ore, concentrates, and all other productions of mineral resources extracted
from the claims.  The agreement contains an option to purchase the claims
exercisable at $350,000 during the five first years of the lease.  The
exercise price increases $50,000 per year thereafter.  It may only be
exercised while the lease is effective.  Following the formation of the Deer Trail
Mining Company in June 2004, Unico assigned all of the various assets,
liabilities and operations associated with the Deer Trail Mine to Deer Trail
Mining Company which assumed responsibility for making payments under the Deer
Trail Lease.  Since June 2004 Deer Trail Mining Company
has assumed operations, ownership and management control of the Deer Trail Mine.
 Deer Trail Mining Company presently has 14 full time employees, 1 part
time employee and 4 consultants.  The necessary permits to commence mining
activities at the Deer Trail Mine have been acquired, provided that the surface
disturbance from the mining activities does not exceed 10 acres for both mine
and mill. In early 2005, Unico and Deer Trail Mining Company, received approval
of the company's Large-Scale Mining Permit for the Deer Trail Mine in Marysvale,
Utah. The State of Utah's Division of Oil, Gas and Mining granted approval of
the company's application to expand its existing small mining project to a large
mining operation, which is expected to significantly increase the area of mining
activity and the capacity of the company's mill at the Deer Trail Mine. This
Large-Scale permit takes the place of the previous two Small-Scale permits
described above.  In 2004, Unico filed to obtain a construction permit with
the State of Utah Department of Environmental Quality (both the Utah Division of
Air Quality and the Utah Division of Water Quality) for the Deer Trail Mine
tailings impoundment pond no. 2.


13


Prior to June 2004, Unico worked to reopen
the Deer Trail Mine.  Unico commenced limited mining activities in late
March 2001 on the Deer Trail Mine.  There were between 2 and 5 miners at
various times working full time in the Deer Trail Mine both on mine development
work and production work until approximately October 2003.  Their efforts
were concentrated in the 3400 Area of the mine, from which they removed
approximately 1,000 tons of ore per month.  The ore was stock-piled and
some of it has been crushed.  Some of the employees have worked on mine
maintenance.  Unico completed a mill on site at the Deer
Trail Mine. In November 2001, Unico began milling activities. Shortly
thereafter, operations were suspended to accommodate a plan to reconstruct the
entire facility. Currently the Deer Trail Mining Company is reconstructing the
mill and processing facility to enhance both productivity and efficiency. The
reconstruction project is now in its final stages of completion.  In July
2006, Deer Trail Mining Company completed the upgrades to the screening plant
and began screening the ore dumps at the upper Deer Trail Mine. Once screened,
the material is moved to the mill facility and stockpiled for further
processing. The Company anticipates running this material through its mill once
reconstruction is complete.  On August 31, 2005, Deer Trail Mining
Company entered into a five-year purchase contract with PGM, LLC of Los Angeles
under which PGM will purchase precious metal bearing concentrates from the Deer
Trail processing center.  Most sales will not occur until the mill
processing center is complete at the Deer Trail Mine.  PGM has advanced
Deer Trail Mining Company $25,000 for an initial shipment of concentrates that
will be produced on a pilot plant basis.  The Company is currently in contact with
several smelters and a trading company to determine how best to sell the lead
concentrates, and zinc concentrates which will be produced by the Deer Trail
Mine mining and milling operations. The concentrates can be transported by
either rail or truck, and there are a variety of trucking companies that are
willing and able to transport concentrates to smelters or other places
designated by purchasers.  In September 2004, Deer Trail Mining
Company completed its first phase of exploratory drilling at the Deer Trail
Mine.  The Deer Trail Mining Company contracted Lang Exploratory Drilling
to complete the phase of drilling.  Lang completed a total of 3,653 feet of
reverse circulation drilling and finished 28 drill holes at specified targets
located on the Upper Deer Trail Mine.  741 samples were safeguarded by Lang
Exploratory Drilling during this phase and shipped to ALS Chemex at its Elko,
Nevada facility for independent lab verification and analysis.  The first phase of exploration drilling was
designed to identify near surface deposits, determine potential resources and
define limits of mineralization south of the main ore channel mined at the Upper
Deer Trail Mine. Historical data of the workings was sufficient to delineate the
grade of mineralization remaining in the stopes, but no data was available to
delineate the grade of mineralization outside the workings or how far that
mineralization flowed into the surrounding formations. The initial phase of
reverse circulation drilling serves as an adequate means to define the limits of
mineralization south of the main ore channel, which is situated in the lower
Toroweap formation, along the crest and down the northeast limb of the Deer
Trail anticline.  This phase of drilling was accomplished
with lower cost reverse circulation drill holes in order to establish the
presence of mineralization at the Upper Deer Trail area. Once the limits of
mineralization are established, work can begin to further define those zones by
diamond core drilling. This initial phase of drilling is considered merely a
starting point in generating data for pre-feasibility and feasibility studies
for the Deer Trail Mine operations.  The most upper holes RC-1 through RC-7 were
placed well above the elevation of the known workings of the No. 2 Tunnel and
slightly south of the northwesterly trending ore channel. Significant
mineralization was intercepted in holes RC-1 and RC-2, which were drilled in the
area closest to the main ore channel.  Drill holes RC-5, 6, 8, 9, 13 and 14 were
all drilled well south of the historically delineated mineralization, and on the
southern most up-side of a post mineral fault. It can be concluded that
mineralization intercepted in these holes is not directly related to the
mineralization of the main Upper Deer Trail ore channel.


14


Hole
Interval
from - to   
        (ft)
Gold(grams/troy oz.)
Silver(grams/troy oz.)
Lead
(%)
Zinc
(%)RC-1
190  230
          40
0.207
10.98
0.355
0.205RC-2
40 - 45     
           5
0.364
95.36
3.61
0.390Includes
175 - 180   
          5
0.369
45.71
2.87
1.41RC-10
65 - 95  
             30
0.363
16.48
0.086
0.022RC-11
60 - 70    
           10
1.36
52.25
0.758
0.191Includes
65 - 70  
               5
2.26
32.69
0.961
0.289RC-12
85 - 90    
             5
0.460
137.14
3.94
1.00RC-17
55 - 65    
           10
0.799
13.02
0.033
0.012RC-18
45 - 50   
               5
1.54
40.77
0.154
0.018RC-19
0  140
             140
0.527
14.65
0.116
0.107Includes
35 - 45  
              10
2.64
14.11
0.840
1.26Includes
35 - 40  
                5
4.66
21.15
1.30
2.14Includes
75 - 120 
             45
0.930
34.86
0.135
0.021Includes
95 - 105 
             10
3.17
88.63
0.303
0.019Includes
100 - 105     
         5
4.78
151.02
0.682
0.008RC-20
95  100
               5
1.92
62.02
0.218
0.030RC-21
95 - 110   
           15
0.899
74.29
0.145
0.014RC-22
110 - 120    
        10
1.77
18.14
0.074
0.024Includes
115 - 120  
            5
3.25
27.52
0.079
0.014  In early 2005, Deer Trail Mining Company
contracted with Connors Drilling to commence an underground diamond core drill
program.  This 2nd phase of exploratory drilling inside the PTH Tunnel of
the Deer Trail Mine has been completed. The Phase II underground diamond core
drilling program was primarily designed to target known horizons of
mineralization and identify new mineralized horizons throughout the main ore
channel of the Deer Trail Mine. The Company completed 7,235 feet of diamond core
drilling and finished 13 underground drill holes.  According to preliminary
reports by the Companys geologist, all of the holes drilled were reported to
intersect mineralization within their designated targets. That report states
that a total of approximately 514 feet of mineralization was intersected and
consisted mostly of sulfide minerals (e.g. tetrahedrite, galena, pyrite,
chalcopyrite and sphalerite). Other intercepts were encountered through oxidized
mineral not reported in this total, as well as zones of subtly altered rock that
may contain high mineral values and offer significant potential. The Company is
now working on final independent core logging and splitting verification, and
plans to ship its core samples to an independent lab for analysis.  In March 2006, Deer Trail Mining Company,
LLC entered into an agreement with Behre Dolbear and Company (USA), Inc. to
conduct geological services and consulting at Unicos Deer Trail Mine in
Marysvale, Utah. The focus of Behre Dolbears work is related to the underground
diamond core drilling program undertaken at the Deer Trail Mine in 2005. Behre
Dolbear is currently performing the geological core logging and spitting
verification on the samples and overseeing


15


the shipment of
those samples to ALS Chemex for analysis. Behre Dolbear has also been contracted
to report on the mineralization and provide additional technical advice on the
project as desired by Deer Trail Mining Company, LLC.  Behre Dolbear and Company (USA) has issued the following
information from the Interim Summary Report on their work completed thus far.
The report from Behre Dolbear states:  Unico, Incorporated drilled 7,235 feet of
BQ diameter core at various inclinations and azimuths from four drill stations
in the Patrick Thomas Henry (PTH) adit at the Deer Trail Mine from December 2004
to April 2005.  At that time, the core was not logged in detail and no
analyses were done.  Table 1 summarizes the drilling statistics.  The
station locations are defined based on the approximate footage from the PTH adit
portal.  Table 1 Unico Phase II Drill Holes  UDDH Drill
Hole #
Station
Location
Inclination
(in degrees)
Azimuth
Total Length
(Feet)1*
4400
-45
102
7402
4400
-40
102
6483*
4400
-42
92
7824*
4400
-42
150
5545*
4400
-55
102
6646
4400
-45
21
4097
4400
-58
298
7338
4400
-75
300
5659*
4700
-45
116
46010
4900
-75
0
46011*
3400
+45
258
45412*
3400
+45
162
35513*
3400
-65
125
420Total Footage



7,235 *Logged by Behre Dolbear  Behre Dolbear & Company (USA), Inc.
(Behre Dolbear) contracted with Unico in March 2006 to geologically log the
core, select intervals for analyses and assays, supervise the sawing of the
selected intervals, submit those samples to a laboratory for analyses, opine on
the mineralization  observed, and provide technical advice to Unico.
 Between March 23, 2006 and October 6, 2006, Behre Dolbear logged in detail
4,429 feet of core from the eight holes indicated in Table1. A total of 550
samples totaling 611 feet of core containing trace to significant mineralization
from six of the holes (UDDH 1, 5, 9, 11, 12, and 13) has been selected, sawed,
submitted for analyses and assays, and the results received and evaluated.
 Analyses are pending from 228 samples from 385 feet of core in UDDH 3.
UDDH 4 has been logged, but sample intervals have not been selected.  ALS Chemex (Chemex) did the analyses and
assays at its laboratory in North Vancouver, British Columbia. Sample
preparation, analyses, and assays were done as requested by Behre Dolbear using
Chemexs standard protocols.  Gold was determined by fire assay with an
atomic absorption spectrometry (AAS) finish. All samples were also analyzed for
a 34-element suite of major and potentially significant trace elements using an
aqua regia digestion and an emission spectrographic scan.  Chemexs quality
control-quality assurance system complies with the requirements of the
international standards ISO 90001:2000 and ISO17025:1999.  The Pennsylvanian Callville Limestone is
the host of the mineralization in the holes logged by Behre Dolbear at the Deer
Trail Mine. Behre Dolbear has logged over 4,400 feet of core that traverses the
various lithologies of the upper +700 feet of that formation.  This
detailed logging has resulted in the recognition of ten previously unrecognized
informal members and/or other subdivisions that will enable future work to place
the mineralized horizons in the vicinity of the mine into stratigraphic
perspective.  The mineralization in the Callville
Limestone typically consists of stratabound narrow conformable bands of
semi-massive to massive sulfides separated by relatively long intervals of
weakly mineralized to barren rock.   Ore minerals include sphalerite,
galena, chalcopyrite, and tetrahedrite-tennantite.  Where the significantly
mineralized zones are thicker, the mineralized bands are closer together.


16


Based on the
analytical results received to date, Behre Dolbear combined 33 continuous assay
intervals from six holes into gross assay intervals ranging from 2.3 feet to 95
feet in length, uncorrected to true stratigraphic width.  Intervals within
the gross intervals were combined into 113 detailed intervals based on their
grades.  The best intervals based on thickness and
grades in multiple metals in the six holes from which analyses have been
received are listed in Table 2.  Table 2 shows that significant
mineralization in most of the holes is confined to relatively narrow intervals
ranging from 1.0 feet to 10.6 feet.  The thickest intercept with
significant mineralization is in UDDH 12 at 55.2 feet.  The intervals are
uncorrected for the true widths of the intercepts and will all be thinner than
stated, some possibly as much as fifty percent thinner.  Overall, silver
contributes the most value of the metals in Table 2 with zinc second and gold,
copper, and lead contributing subordinate values.  In some of the
intervals, the silver and gold are high but the base metals are low.
 Copper contributes more value than zinc in some of these intervals.
 Only one of the intervals (UDDH 11 at 105.0 to 110.6 feet) has high values
in all of the metals.  The highest gold and silver values are in UDDH 1
(5.273 ppm Au=0.167oz/t Au; 366.9 ppm Ag= 10.71 oz/t Ag), and UDDH 11 (4.564 ppm
Au= 0.133 oz/t Au; 585.1 ppm Ag= 17.08oz/t Ag).  Table 2 Best Interval from Each Analyzed
Hole  UDDH
Analyzed
From
Analyzed
To
Interval
(Feet)
Au
(ppm)
Ag
(ppm)
Cu
(%)
Pb
(%)
Zn
(%)1
365.5
370.4
4.9
5.723
366.9
0.01
0.16
0.42406.6
417.2
10.6
1.062
177.6
0.11
0.58
1.58456.0
462.5
6.5
0.350
156.4
0.24
1.38
2.085
322.0
327.0
5.0
0.870
164.1
0.25
2.09
1.27419.0
419.9
0.9
1.510
116.0
0.27
0.35
0.189
293.7
300.1
6.4
0.372
46.8
0.15
1.28
1.78434.6
435.6
1.0
0.310
102.0
0.39
5.20
6.5911
7.7
13.4
5.7
4.564
585.1
0.45
0.71
0.83105.0
110.6
5.6
1.600
550.6
0.96
2.0
2.4312
5.8
61.0
55.2
0.608
183.1
0.44
0.40
0.67220.0
221.9
1.9
2.170
128.0
0.01
0.01
3.3213
77.9
78.9
1.0
0.380
188.0
0.60
3.10
3.89  There is potential for an economic deposit
at the Deer Trail Mine if the metals occur together in significant grades and in
widths (generally greater than 10 feet) that are adequate for mining.
 Additional work is required to determine if those conditions exist.
 Before additional drilling is done, the results of the logging, analyses,
and observations by Behre Dolbear should be combined with the data and results
from previous work to develop a three-dimensional model of the deposit.
 Development of that model will require data from surface and underground
mapping, previous mining, and drilling from this and previous campaigns.
 All of this data on lithologies, structures, mineralization, and
alteration must be put together on maps and cross sections to build the model.
 Based on that model, the geometry (true widths and lateral extents) and
grades of the mineralization as currently known will be indicated and decisions
can be made if additional drilling has the potential to define economically
mineable mineralization.  It has not been determined if there is adequate
data available from previous work to construct a good model.  In November 2006, Deer Trail Mining Company
modified and expanded the agreement with Behre Dolbear and Company (USA), Inc.
for geological services at Unicos Deer
Trail Mine. The new agreement and work order addsseveral new areas of
consulting that will fall under Behre Dolbears scope of services on the Deer
Trail project.  Under these new revisions Behre Dolbear will assemble all
the available data relating to the locations, volumes, and grades of the
tailings that Deer Trail intends to process through the Project's mill. Based on
the information available, Behre Dolbear will estimate the volumes, tonnages,
and grades of those tailings and will, if needed, recommend a drilling program
to better define those tonnages and grades. Behre Dolbear will summarize the
results of the drill core logging completed to date and correlate those results
with pertinent assays of material from those holes to determine the factors from
the logging that relate to and facilitate the location of significant
mineralization. With Deer Trail's assistance, Behre Dolbear will assemble all
the


17


available data
(mineralization, rock types, structure, alteration, etc.) from past drilling and
mining, focusing on the 3100-3400 zone in the PTH adit, i.e., the Proctor Stope
and Proctor Stope Extension, which is the zone most easily accessible for
near-term mining. Behre Dolbear will correlate data from the extant logging
effort and assays with the data from past drilling and mining to locate and
model, to the extent possible, potentially mineable mineralization in the
3100-3400 zone. Behre Dolbear will determine if logging of the holes not yet
logged in the 4400 zone of the PTH adit is warranted, based upon the logging to
date of holes in that zone and any available data from past drilling and mining.
Behre Dolbear will assist Deer Trail with judgments and potential approaches to
exploitation of the Toroweap Sandstone in the 8600 area of the PTH adit. (It
appears that this area has the greatest potential for hosting high grade, large
tonnage mineralization at the Deer Trail Mine. That area is, however, the
portion of the existing workings that is least accessible for mining in the near
term.) The agreement calls for additional personnel and support for Behre
Dolbears work at the Deer Trail Mine.  Further, the modifications call for
reorganizing and redirecting site efforts that have heretofore focused
specifically on the logging, chemical analyses, and interpretation of the drill
cores.  Behre Dolbear will focus on those aspects of the expanded work
scope that will most quickly lead to the definition and potential reporting of
ore reserves in the form of mine tailings. They will also focus strongly on the
development of mineralization models that facilitate judgments regarding the
3100-3400 area of the PTH adit and the timing of work in the 8600 area. The
company is currently waiting on the final report and analysis from Behre Dolbear
and Company.  In September 2007, Deer Trail Mining
Company completed the construction of a new electrical substation that will
supply power to the reconstructed mill and processing facility. The substation
is designed to supply up to 2.5 megawatts of electrical power well beyond the
estimated 1.5 megawatts estimated to run the mill and processing facility.
Additional power is expected to be used for future mining activities and
expansion plans on site. The Company recently completed the construction of a
secondary substation to interface directly with the mill and processing facility
and it is now energized.  In February, 2008, the Deer Trail Mining Company
completed underground rehabilitation work up through to the 3400 level of the
PTH tunnel of the Deer Trail Mine. The work was contracted through Atlas Mining
Company to conduct initial underground maintenance including the replacement of
timber sets, clean up of the main haulage way and installation of ground support
where needed to the main PTH haulage tunnel.  The Deer Trail Mining Company is in the process of
finalizing  reconstruction work of the floatation circuit at the mill and
processing facility at the Deer Trail Mine. Testing of the floatation circuit is
currently underway utilizing screened material from the stockpiles on site.  Silver Bell Mining Company, Inc.  Silver Bell Mining Company, Inc. was
incorporated in the State of Utah on April 26, 1993. It has acquired 26 patented
mining claims located in American Fork Canyon, Utah County, Utah, which is
organized into three separate parcels. The claims contain mining properties that
have not been mined for production since 1983. The properties were mined
primarily for silver, lead and zinc. There are no known, proven or probable
reserves on the property.  Silver Bell Mining Company conducted some
exploration work on the Silver Bell Mine through 2004. Silver Bell Mining
Company plans to conduct a feasibility study in order to analyze the claims
prior to commencing any future mining activities on the claims.  Silver
Bell Mining Company anticipates that any future ore mined from the Silver Bell
Mine will be transported to the Deer Trail Mine site where it can be further
processed.  Silver Bell Mining Company may also seek a joint venture mining
partner to jointly develop the Silver Bell Mine.  Silver Bell Mining
Company anticipates that any ore mined from the Silver Bell Mine will be
transported to the Deer Trail Mine site where it will be crushed and milled.  In August 2006, Silver Bell Mining Company
reached a preliminary agreement for a joint venture with the Polymet Company,
LLC for mining at the Silver Bell Mine and executed a letter of intent.  A
subsequent definitive agreement to finalize the details of the joint venture was
expected to be signed by August 31, 2006.  However, the parties failed to
reach a definitive agreement, and the parties are no longer involved in
negotiations.  Bromide Basin Mining Company,
LLC  On July 20, 2001, Unico entered into a
Mining Lease and Option to Purchase with Kaibab Industries, Inc., an Arizona
corporation. The parties then entered into a Revised Mining Lease and Option to
Purchase in April 2003 (the "Revised Kaibab Mining Lease").  Following the
formation of the Bromide Basin Mining Company in June 2004, Unico assigned all
of its assets, liabilities and operations associated with the Bromide Basin
Mines to Bromide Basin Mining Company. A Second Revised Mining Lease and Option
to Purchase was entered into with Bromide Basin Mining Company in May 2005 which
expired November 1, 2005.   Effective May 1, 2006, the parties entered
into a Third Revised Mining Lease and Option to Purchase (the Third Revised
Mining Lease).  At that time Unico paid approximately $63,592 to Kaibab


18


Indutries, Inc.
for past due lease payments, taxes and BLM fees.  Under the Third Revised
Mining Lease, Kaibab Industries, Inc. leased to Bromide Basin Mining Company
certain mining claims located in the Henry Mountain Mining District in Garfield
County, Utah containing approximately 400 acres, which included the Bromide
Basin Mines. The Third Revised Mining Lease granted to Bromide Basin Mining
Company the option to purchase six (6) fully permitted patented mining claims
and twenty-one (21) located mining claims comprising in all over 400 acres of
Bromide Basin in the Henry Mountain Mining District located in Garfield County,
Utah. The option exercise price was $835,000 for all specified mining claims,
mill sites and dumps being leased.  The lease was extended until October
31, 2007 at which time it expired.  The Company has chosen not to extend it
or pursue the purchase option.  The primary purpose of the agreement was to
allow Bromide Basin Mining Company access to the claims to conduct an extensive
preproduction feasibility study prior to any additional mining production and to
analyze the potential of the claims before exercising the purchase option from
Kaibab Industries.  The Company has concluded its evaluation of
the property, and has determined that the leased premises outlined under the
Kaibab Mining Lease is not feasible for large scale mining activities by Bromide
Basin Mining Company, and will not exercise its purchase option with Kaibab
Industries.  Plan of Operation  During the next 12 months, the Companys
plan of operation is to raise approximately $3,500,000 for investment into its
subsidiary companies: Deer Trail Mining Company and Silver Bell Mining Company.
The funds are intended for the following purposes during the next twelve months:  § Complete analytical
certification by independent lab, ALS Chemex, and final reporting from
consulting firm, Behre Dolbear & Company (USA), on the logging and shipment
of core samples identified and taken from the completed 2nd phase of
exploratory drilling at the Deer Trail Mine; § Continue sampling and
analyzing mineralized rock samples, stockpiles and dump material from the Deer
Trail Mine to evaluate the most efficient means to conduct future mining and
milling activities; § Expand metallurgical
research department at the Deer Trail Mine and Mill Facility; § Purchase additional lab
equipment for metallurgical purposes; § Upgrade mine
infrastructure and begin underground mining activities including maintenance and
rehabilitation work at the Deer Trail Mine; § Continue to upgrade and
complete the re-construction project on the existing mill at the Deer Trail
Mine; § Upgrade the crushing
facility at the upper Deer Trail Mine and continue screening the ore dumps; § Begin milling and
processing activities at the Deer Trail Mill and Processing Facility; § Acquire new mining
equipment to improve operations at the Deer Trail Mine; § Conduct additional
survey and mapping work on the Clyde and Crown Point mining claims including
improvements to the property and potentially underground and surface exploratory
drilling on the claims; and § Commence a feasibility study on the potential of the mining claims
at the Silver Bell Mine beginning in the Summer of 2008.  Accomplishing the 12-month plan of
operations is dependent on: (a) the Company raising approximately $3,500,000 in
equity and/or debt financing during the next 12 months to be used for the
Companys operations, of which approximately $1,000,000 is needed in the next
120 days.  Subsequent to the quarter ending May 31, 2008, the Company
received $95,000 through the issuance of new convertible debentures to Moore
Investments.  The new debentures were issued with terms of 180 days, bear
interest at the rate of 8% per annum, and are convertible by the holder in
shares of the Companys common stock at a discount of 50% of the closing bid
price on the date of conversion.  The Company intends to raise
approximately $3,405,000 during the fiscal year ending February 28, 2009 to
fulfill the 12-month plan.  Reverse Stock Split  Effective June 30, 2008 the Companys
common stock underwent a 1 for 500 reverse stock split.  As a result, the
number of outstanding shares of the Companys common stock as of June 30, 2008
decreased from 4,940,363,072 pre-reverse split shares to 9,880,727 post-reverse
split shares.  Share figures appearing in this report are generally
expressed in numbers of post-reverse split shares, unless otherwise noted.


19


Results of Operations.  For the three months ended May 31, 2008 and
May 31,2007, Unico reported no revenues.  During the three months ended May 31, 2008
the Company incurred total operating expenses of $617,352, an increase of
$202,386 from the $414,966 of total operating expenses incurred in the three
months ended May 31, 2007.  The increase is primarily attributed to a
$14,800 increase in drilling, exploration and maintenance expense, a $21,192
increase in depreciation, a $133,454 increase in salaries/wages, and a $33,854
increase in general & administrative expense, partially offset by a $914
decrease in professional fees expense from the comparative period in 2007.
 The increase in expenses for the three months ended May 31, 2008 is
attributable to the increase in mining activities and an increase in milling
activities associated with testing of the mill.  During the three months ended May 31, 2008,
interest expense was $912,691, an increase of $217,184 over the $695,507 of
interest expense incurred in the three months ended May 31, 2007.  Loss on
settlement of debt was $0.00 in the three months ended May 31, 2008, a decrease
of $4,133,316 from the $4,133,316 loss on settlement of debt incurred during the
three months ended May 31, 2007.  During the three months ended May 31,
2008, derivative gain on debentures was $18,470 as compared to a $9,748
derivative loss on debentures incurred during the three months ended May 31,
2007.   The Company attributes the increases in interest expense in
the three months ended May 31, 2008 to increases in the total amount of
convertible debentures outstanding.  The Company attributes the decreases
in derivative loss on debentures and the substantial decrease in the loss on
settlement of debt in this same three month period to the fact that no
debentures were converted to common stock during the three months ended May 31,
2008.  During the three months ended May 31, 2008,
Unico experienced a net loss in the amount of $1,511,517 or approximately
($0.15) per share, compared to a net loss of $5,251,787 or approximately ($1.90)
per share for the same period in 2007.  Unico attributes the $3,740,270 decrease in
net loss for the three month period ended May 31, 2008 compared to the three
month period ended May 31, 2007 primarily to a decrease in loss on settlement of
debt because there were no shares of common stock issued on settlement of debt
during the later period.  Liquidity and Capital Resources  The Companys financial statements present
an impairment in terms of liquidity. As of May 31, 2008 the Company had a
deficit in working capital of $16,763,079.  The Company has accumulated
$62,436,208 of net operating losses through May 31, 2008, of which approximately
$11,500,000 may be used to reduce taxes in future years through 2028. The use of
these losses to reduce future income taxes will depend on the generation of
sufficient taxable income prior to the expiration of the net operating loss
carry-forwards.  The potential tax benefit of the net operating loss
carry-forwards have been offset by a valuation allowance of the same amount.
Under continuing operations the Company has not yet established revenues to
cover its operating costs.  Management believes that the Company will soon
be able to generate revenues sufficient to cover its operating costs through the
operations of its subsidiaries.  In the event the Company is unable to do
so, and if suitable financing is unavailable, there is substantial doubt about
the Companys ability to continue as a going concern. The Companys
stockholders deficit increased $1,511,516 in the three month period ended May
31, 2008, from a deficit of ($8,653,504) as of February 29, 2008 to a deficit of
($10,165,020) as of May 31, 2008. The Companys cash as of May 31, 2008, when
combined with $95,000 additional cash the Company received in June 2008, will
sustain operations for approximately 15 days.  The Company needs to raise
approximately $3,500,000 in equity and/or debt financing during the next 12
months to be used for the Companys operations, of which approximately
$1,000,000 is needed in the next 120 days.  The Company has effected a
reverse stock split of its issued and outstanding shares so that the Company
will have sufficient authorized, but unissued, shares of its common stock
available to provide for the conversion of the Companys existing $6,978,934 of
convertible debentures into shares of the Companys common stock.  These
additional authorized, but unissued, shares will also allow the Company to raise
additional capital through the sale of shares of restricted common stock.  Our auditors have issued a "going concern"
opinion in note 7 of our February 29, 2008 financial statements, indicating we
do not have established revenues sufficient to cover our operating costs and to
allow us to continue as a going concern. If we are successful in raising an
additional $3,500,000 in equity, debt or through other financing transactions in
the next 12 months (of which $1,000,000 is needed in the next 120 days), we
believe that Unico will have sufficient funds to meet operating expenses until
income from mining operations should be sufficient to cover operating expenses.


20


Item 3. Quantitative and
Qualitative Disclosures About Market Risk.  A smaller reporting company (as
defined by Item 10 of the Regulation S-K) is not required to provide the
information required by this Item.  Item 4T. Controls and Procedures.  Under the
supervision and with the participation of management, our principal executive
officer and principal financial officer, Mark A. Lopez and Kenneth C. Wiedrich,
respectively, evaluated the effectiveness of the design and operation of our
disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e)
under the Securities Exchange Act of 1934 (Exchange Act), as of May 31, 2008.
 Based on this evaluation, our principal executive officer and our
principal financial officer concluded that, as of the end of the period covered
by this report, our disclosure controls and procedures were effective and
adequately designed to ensure that the information required to be disclosed by
us in the reports we submit under the Exchange Act is recorded, processed,
summarized and reported within the time periods specified in the applicable
rules and forms and that such information was accumulated and communication to
our chief executive officer and chief financial officer, in a manner that
allowed for timely decisions regarding required disclosure. During the last
fiscal quarter ended May 31, 2008, there has been no change in internal control
over financial reporting that has materially affected, or is reasonably likely
to materially affect our internal control over financial reporting.   PART II - OTHER INFORMATION   Item 1. Legal Proceedings.  During the fiscal year ended February 29,
2008, the Company settled six lawsuits filed in the Twelfth Circuit (State)
Court in Florida stemming from defaulted convertible debentures totaling
$1,025,000 and $36,406 of interest.  Unico agreed to settle all of the
actions by issuing a total of 3,926,315,790  shares (7,852,632 post split
shares) of its common stock to the plaintiffs  These shares were issued
pursuant to Section 3(a)(10) of the Securities Act of 1933, as amended, after a
hearing with notice to, and an opportunity to be heard from, interested parties,
as to the fairness of each transaction, by a state court in Florida which
specifically determined, prior to declaring that the transactions were exempt
under Section 3(a)(10), that the transactions were fair to the interested
parties.  The Company scheduled a special meeting of
its shareholders on December 21, 2007 at which shareholders were to vote on a
proposal to amend the Companys articles of incorporation to authorize the
Companys board of directors, in its discretion, to effect a reverse stock split
of the Companys common stock at a ratio of up to one-for-five hundred during
the six month period following the date of a special meeting of shareholders.
 On December 17, 2007, plaintiff Legacy Trading Group (Legacy), a
California limited liability company, filed an action against Unico alleging
violation of Section 14(a) and (c) of the Securities Exchange Act of 1934 and
the rules promulgated thereunder, and Arizona Revised Statute § 19-705.
 The action was filed in the United States District Court, Southern
Division of California (Civil No. 07CV 2344-L (RBB)).  Legacy filed an ex
parte application for a Temporary Restraining Order (TRO), contending that
notice of the special meeting of Unicos shareholders and/or the related proxy
statement was not provided to all shareholders.  At a hearing held on
December 18, 2007, the Court granted the application for a TRO, and enjoined and
restrained Unico from holding the special meeting of the shareholders on
December 21, 2007 or at any other time until the preliminary injunction hearing
in this matter was heard.  The preliminary injunction hearing was held on
January 8, 2008.  Plaintiffs application for a preliminary injunction was
denied at the hearing on the grounds of being moot.  Unico believes notice
of the special meeting of Unicos shareholders and the related proxy statement
for the December 21, 2007 special meeting were sent to all shareholders entitled
to receive such pursuant to applicable federal proxy rules and the Arizona
Revised Statutes.  However, since the TRO prevented the Company from
holding the special meeting of shareholders on December 21, 2007, the Company
rescheduled the special meeting which was held on January 28, 2008 at 10:00 a.m.  On April 29, 2007, Bromide Basin Mining
Company, LLC was served with a lawsuit filed on April 10, 2008 by Kaibab
Industries, Inc. in Maricopa County, Arizona state court (No. CV2008-008121).
 The plaintiff alleges that Bromide Basin Mining Company, LLC owes $30,000
in rent for the months of May through October 2007, when the mining lease
expired.  The plaintiff also alleges that Bromide Basin Mining Company, LLC
has failed to vacate the premises and that it owes an additional $5,000 per
month as a holdover tenant commencing November 1, 2007 until it vacates the
premises.  The plaintiff has also asked for interest, attorneys fees and
court costs.  Bromide Basin Mining Company, LLC has vacated the premises.
 The Company has tentatively reached an agreement to settle this lawsuit in
July 2008 for $30,000.


21


. Item 2. Unregistered Sales of Equity Securities and
Use of Proceeds.  From March 1, 2008 through May 31, 2008
Unico issued convertible debentures (Debentures) aggregating approximately
$660,000 to Moore Investment Holdings that were unpaid.  All of the
debentures issued before December 1, 2007 which aggregate approximately
$5,544,080 are in default.  The Debentures provide that the principal
amount and accrued interest are convertible, at the option of the holders of the
Debentures, into Unicos common stock at a price per share equal to 50% of the
closing bid price of Unicos common stock as quoted on the OTC Bulletin Board on
the immediately preceding trading day prior to the notice of conversion.  Unico has not issued any shares of common
stock in settlement or conversion of these debentures in the three month period
ended May 31, 2008.  As of May 31, 2008, there are still
outstanding approximately $6,978,934 in convertible debentures (less discounts
of $634,306), and the holders of these debentures have the right to convert them
to shares of the Companys common stock.  All convertible debentures issued to
Compass Capital Corporation, Blue Marble and Reef Holdings that were unpaid as
of January 2008 were purchased by, and assigned to, Moore Investment Holdings
LLC.  During the fiscal year ended February 28,
2007 the Company entered into two stock purchase agreements with Cherry Creek
Holdings, LLC wherein Cherry Creek purchased 33,333,333 pre-split shares (66,667
post-split shares) and 42,785,700 pre-split shares (85,572 post-split shares) of
unregistered and restricted shares of common stock for $400,000 and $599,000
respectively.  The shares have not been issued and are reported as a stock
payable on the financial statements.  The cash has been received and the
stock will be issued in the fiscal year ending February 28, 2009.  These
shares will be issued without registration in reliance on Section 4(2) of the
Securities Act of 1933 for transactions not involving any public offering, and
the certificates representing the shares will be appropriately restricted.  For information concerning sales of shares
of Unico's Common Stock by Unico which were not registered under the Securities
Act of 1933 during the fiscal years ended February 28, 2006, February 28, 2007
and February 29, 2008 please refer to Unico's annual reports on Form 10-KSB for
the fiscal years ended February 28, 2006 and February 28, 2007, and Form 10-K
for the fiscal year ended February 29, 2008 respectively.   Item 3. Defaults Upon Senior Securities.  From March 1, 2007 through February 29,
2008 Unico issued convertible debentures (Debentures) aggregating
approximately $3,764,954 to Blue Marble., approximately $1,200,000 to Compass
Capital Corporation and approximately $500,000 to Moore Investment Holdings that
were unpaid, and  of which $3,965,100 are in default, as of February 29,
2008.  From March 1, 2008 through May 31, 2008 an additional $660,000 was
issued to Moore Investment Holdings.  Some of these debentures, with the
exception of those issued to Moore Investment Holdings, along with other
debentures issued before March 1, 2007 were assigned to Blue Marble Investments,
Outboard Investments, Umbrella Holdings and Yanzu, Inc.  Because Unico,
Incorporated failed to pay the Debentures when due, a total of six (6) lawsuits
were filed by these Debenture holders against Unico, Incorporated in the Twelfth
Circuit (State) Court in Florida from March 1, 2007 to February 31, 2008 in
partial settlement of this debt.   The Debentures provided that the
principal amount and accrued interest were convertible, at the option of the
holders of the Debentures, into Unicos common stock at a price per share equal
to 50% of the closing bid price of Unicos common stock as quoted on the OTC
Bulletin Board on the immediately preceding trading day prior to the notice of
conversion.  Unico agreed to settle each action by issuing shares of its
common stock to the plaintiffs using a valuation of approximately 14% to 20% of
the then existing bid price of Unico, Incorporated common stock.  These
shares were issued pursuant to Section 3(a)(10) of the Securities Act of 1933,
as amended, after a hearing with notice to, and an opportunity to be heard from,
interested parties, as to the fairness of each transaction, by a state court in
Florida which specifically determined, prior to declaring that the transactions
were exempt under Section 3(a)(10), that the transactions were fair to the
interested parties.  From March 1, 2007 until February 29, 2008, in
connection with the exercise of conversion rights by the holders of the
Debentures and pursuant to the litigation settlements, Unico issued an aggregate
of 3,926,315,790 shares (7,852,632 post split shares) of its common stock.
 As of May 31, 2008, Unico has approximately $5,544,080 in outstanding
debentures that were in default.  There were no settlements made in the three
month period ended May 31, 2008.


22


Item 4. Submission of
Matters to a Vote of Security Holders.  None   Item 5. Other Information.  None   Item 6. Exhibits and Reports on Form 8-K.  (a) Exhibits  The following exhibits are filed as part of
this statement:  The exhibits listed below are required by Item 601 of
Regulation S-B.   Exhibit
No.
Description
Location10.112
Convertible Debenture No.
71 for $40,000 dated March 10, 2008 issued to Moore Investment Holdings,
LLC
Filed herewith10.113
Convertible Debenture No.
72 for $10,000 dated March 11, 2008 issued to Moore Investment Holdings,
LLC
Filed herewith10.114
Convertible Debenture No.
73 for $250,000 dated March 13, 2008 issued to Moore Investment Holdings,
LLC
Filed herewith10.115
Convertible Debenture No.
74 for $200,000 dated March 27, 2008 issued to Moore Investment Holdings,
LLC
Filed herewith10.116
Convertible Debenture No.
75 for $50,000 dated April 23, 2008 issued to Moore Investment Holdings,
LLC
Filed herewith10.117
Convertible Debenture No.
76 for $25,000 dated May 9, 2008 issued to Moore Investment Holdings,
LLC
Filed herewith10.118
Convertible Debenture No.
77 for $85,000 dated May 29, 2008 issued to Moore Investment Holdings,
LLC
Filed herewith31.1
Certification of Chief
Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of
2002
Filed herewith31.2
Certification of Chief
Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of
2002
Filed herewith32.1
Certification of Chief
Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of
2002
Filed herewith32.2
Certification of Chief
Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of
2002
Filed herewith (b) Reports on Form 8-K  During the quarter ended May 31, 2008, the
following Current Reports on Form 8-K were filed by Unico:  1. A Current Report on Form
8-K was filed on March 14, 2008 disclosing under Item 8.01 Other Events that
Moore Investment Holdings, LLC purchased three convertible debentures for an
aggregate purchase price of $300,000.  2. A Current Report on Form
8-K was filed on April 30, 2008 disclosing under Item 8.01 Other Events that
Moore Investment Holdings, LLC purchased one convertible debenture for
$200,000.


23


SIGNATURES Pursuant to the requirements of
the Securities Exchange Act of 1934, the registrant has duly caused this report
to be signed on its behalf by the undersigned thereunto duly authorized.  UNICO, INCORPORATED  Date: July 14, 2008
/s/ Mark A. Lopez
Mark A. Lopez
Chief Executive Officer


24