UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-K
(Mark One)
[X]  ANNUAL REPORT  PURSUANT TO SECTION 13 OR 15(d) OF THE  SECURITIES  EXCHANGE
     ACT OF 1934

                   For the fiscal year ended December 31, 1999

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

                        Commission file number: 0 - 7619

                            Asia SuperNet Corporation
              ----------------------------------------------------
             (Exact name of registrant as specified in its charter)

               COLORADO                                 93-0636333
      ------------------------------          ------------------------------
     (State or other jurisdiction of         (IRS Employer Identification No.)
      incorporation or organization)

                         1700 Lincoln Street, Suite 3200
                                Denver, Colorado          80203
                --------------------------------------   --------
               (Address of principal executive offices) (Zip Code)

                                 (303) 860-1700
                          -----------------------------
                         (registrant's telephone number)

           Powersoft Technologies Inc. 1281 Alberni Street Vancouver,
                            British Columbia V6E 4R4
           ----------------------------------------------------------
               (Former name, former address and former fiscal year
                         if changed since last report)

Securities registered pursuant to Section 12(g) of the Act:

           Title of Each Class:            Name of exchange on which registered:
      $0.001 Par Value common stock                OTC Bulletin Board
      -----------------------------        ------------------------------------

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 [X]  No [ ]

Indicate by check mark if disclosure of delinquent  filers  pursuant to Item 405
of Regulation  S-K is not contained  herein,  and will not be contained,  to the
best of registrant's  knowledge,  in definitive proxy or information  statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
Form 10-K. [ ]

As of May 15, 2000 the  aggregate  market value of the voting common equity held
by non-affiliates of the registrant, based on the closing price of $1.75 on that
date, was approximately $425,460.

As of May 15, 2000, the registrant had  outstanding  1,189,005  shares of common
stock.


<PAGE>

                               INDEX TO FORM 10-K
                                       OF
                            ASIA SUPERNET CORPORATION

                                                                            Page
                                     PART I


Item 1.     Business                                                          3

Item 2.     Description of Property                                           5

Item 3.     Legal Proceedings                                                 5

Item 4.     Submission of Matters to a Vote of Security Holders               6

                                     PART II

Item 5.     Market for Registrant's Securities and Related
            Stockholder Matters                                               6

Item 6.     Selected Financial Data                                           8

Item 7.     Management's Discussion and Analysis of Financial
            Condition and Results of Operations                               8

Item 7a.    Quantitative and Qualitative Disclosures About Market Risk        11

Item 8.     Financial Statements                                              12

Item 9.     Changes in and Disagreements with Accountants on
            Accounting and Financial Disclosures                              12

                                    PART III

Item 10.    Directors and Executive Officers of the registrant                13

Item 11.    Executive Compensation                                            14

Item 12.    Security Ownership of Certain Beneficial Owners and Management    15

Item 13.    Certain Relationships and Related Transactions                    16

                                     PART IV

Item 14.    Exhibits and Reports on Form 8-K                                  17

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

Signatures                                                                    18



                                       2
<PAGE>

                                     PART I

ITEM 1.   BUSINESS

Asia  SuperNet  Corporation,  formerly  known  as  Powersoft  Technologies  Inc.
("Company")  was  originally  organized in  California on March 24, 1958 as Time
Saver  Markets,  Inc.  From 1958 to 1994,  the Company  effected  numerous  name
changes and engaged in  businesses  other than those it presently  operates.  In
August 1994, the Company changed its corporate domicile to Delaware. In November
1994, the Company,  then known as Alpine International Corp. changed its name to
Heng Fai China  Industries,  Inc. On March 31, 1998, Heng Fai China  Industries,
Inc.  changed its name to  Powersoft  Technologies  Inc. On December  22,  1999,
Powersoft Technologies Inc. was merged into Asia SuperNet Corporation.

On January 18, 1999,  the Company  entered  into an  agreement  with SAR Trading
Limited  ("SAR") wherein SAR agreed to buy and the Company agreed to sell all of
its interests in the majority of its subsidiaries for  approximately  $4,838,000
in the form of the assumption of certain  liabilities.  In  consideration of the
assumption of  liabilities,  the Company  issued two notes payable to SAR in the
amounts  of  $1,000,000  and  $3,838,000.  The  $1,000,000  note is  immediately
convertible into 20,000,000 common shares of the Company. The $3,838,000 note is
convertible into shares of common stock of the Company, in minimum increments of
$250,000  each, at the average 15 day trading price at the option of the Company
by giving seven  trading days notice in writing to SAR. SAR is owned 100% by Fai
H. Chan. On June 18, 1999,  the Company  agreed to offset the amounts due from a
related party  resulting from the sale, of $1,365,278  with the $3,838,000  note
payable. The agreements were subject to shareholder approval, which was obtained
on November 10, 1999.  SAR is a company wholly owned by Fai H. Chan, an officer,
director and shareholder of the Company. The Company intends to focus its future
operations on the  acquisition of companies  operating in the fields of computer
technology  and the Internet,  and  telecommunications  and  financial  software
applications for the securities industry.

                 Agreement with CyberConstruction Company, Inc.
                 ----------------------------------------------

On February 12, 1999, the Company entered into a Technology License and Services
Agreement (the  "Agreement") with  CyberConstruction  Company,  Inc.  ("Cyber").
Cyber has  developed  and continues to develop  certain  software  applications,
methods, operating procedures,  Internet infrastructure design and Internet site
template  development  (collectively the  "Technology").  The Agreement grants a
nontransferable  license  to the  Company  to use and  execute  this  Technology
developed by Cyber,  along with related services,  for the Company's  customers.
The Company  agrees to grant and transfer to Cyber,  as a  consideration  of the
license  and  related  services,  its  preferred  stock with a face value of $10
million,  as part of an issuance of up to $50 million of its  preferred  shares.
The Company has agreed that upon the sooner of (i) the licensing or  acquisition
of  technologies  utilizing the $50 million  proceeds from the sale of preferred
shares; or (ii) February 13, 2001, the Company will endeavor to meet the listing
requirements  of  Nasdaq  for the  registration  for the  preferred  stock.  The
transaction  contemplated  by the  agreement  has not yet been  consummated  and
consequently, has not yet been recorded.

                             Historical Information
                             ----------------------

In 1994, the Company  acquired  Vancouver Hong Kong Properties  Ltd., a Canadian
corporation  ("Vancouver Hong Kong"),  which owns an apartment building in North
Vancouver, British Columbia ("Apartment Building").

In January 1995, the Company acquired a wholly-owned subsidiary,  Heng Fai China
& Asia Industries Limited ("Asia"),  a company  incorporated in Hong Kong, along
with  Asia's  wholly-owned   subsidiary,   Heng  Fai  China  Industries  Limited



                                       3
<PAGE>


("China").  China is incorporated  in Hong Kong and owned options  ("Option") to
acquire, through its wholly owned subsidiary, Cangzhou Min You Cement Co., Ltd.,
a foreign-owned  enterprise registered in the People's Republic of China ("PRC")
("Min You"),  direct or joint venture operating lease interests in the following
three cement factories in the Hebei province of PRC: (i) the Hebei Cangzhou City
Chemical  Corporation  Factory  ("Cangzhou  Factory");  (ii) the Qingxian Cement
Factory  ("Qingxian  Factory");  and (iii) the Hebei Cangzhou Area  Construction
Materials  Factory  ("Hebei  Factory").  Min You did not exercise its Options to
acquire  interests  in the  Qingxian  Factory  and the Hebei  Factory,  and such
Options have since expired.

In April 1995,  Min You  exercised an Option to lease a  production  line at the
Cangzhou  Factory.  Such lease  provided for the use of the  production  line at
Cangzhou Factory for a five year period commencing January 1, 1995.

In September 1996, the Company,  through its wholly owned subsidiary,  Worldwide
Container Company, Ltd.  ("Worldwide"),  acquired a 70% interest in Wuhan Monkey
King  Container  Co.,  Ltd.  ("Wuhan"),  in exchange  for 727,272  shares of the
Company's  restricted Common Stock. Wuhan is a sino-foreign equity joint venture
registered in PRC which is engaged in the design, manufacture,  lease and repair
of standard and non-standard containers and related steel structure products.

In January 1997, the Company acquired from Fai H. Chan, an officer, director and
shareholder of the Company, 100% of the outstanding common stock of Greatly Hong
Kong Limited  ("Greatly HK") in exchange for nominal  consideration.  Greatly HK
had a 25% interest in Hebei Cherry Valley Duck Ltd. ("Duck Farm"), a cooperative
joint venture  established  in the PRC which was engaged in the  management  and
operation  of a duck farm in PRC.  The  investment  was  wholly  financed  by an
interest free, short term advance from Fai H. Chan. Other than the investment in
the Duck Farm and  advance  from Fai H. Chan,  Greatly HK had no other  material
assets and liabilities, or operations at the time of acquisition.

In March 1997, the Company  acquired from Fai H. Chan, an officer,  director and
shareholder of the Company,  100% of the outstanding common stock Heng Fai China
Industries  Acquisition Limited ("Heng Fai Acquisition") in exchange for nominal
consideration.  Heng Fai Acquisition  had an option to form a cooperative  joint
venture  in PRC,  but  otherwise  had no  material  assets and  liabilities,  or
operations  at the time of  acquisition.  Heng Fai  Acquisition  entered  into a
conditional  agreement  ("Agreement")  with an  unaffiliated  party in PRC ("PRC
Party") to establish a joint  venture,  Heng Li  (Zhangjiagang  Free Trade Zone)
International  Trading and  Development  Co.,  Ltd.  ("Heng Li"), to develop and
construct a commercial  building in Zhangjiagang  Free Trade Zone, PRC. However,
the Agreement was not completed and an application  has been submitted to cancel
the registration of Heng Li.

                                1997 Divestitures
                                -----------------

After  several  years of direct  investments  in PRC, as  described  above,  the
Company  believed  the  returns on such  investments  were  unsatisfactory.  The
Company  believed its best course of action was to write-off  or  discontinue  a
substantial   part  of  its  PRC   operations   ("Divestiture").   Pursuant   to
reorganization,  the Company  commenced  the  Divestiture  and entered  into the
following  agreements to terminate or  substantially  reduce its interest in its
PRC operations as follows:

Min You. In December 1997, the Company,  through China,  transferred  81% of its
interest  in Min You to two  unrelated  parties  in Hong  Kong  and  PRC.  China
retained a 19%  interest in Min You and full  provisions  have been made against
the  remaining  cost of investment  in Min You.  Applications  for the change in
ownership in Min You have been approved by the respective authorities in PRC.

                                       4
<PAGE>


Wuhan.  In December  1997,  the Company  effected  an  agreement  to reverse the
acquisition  by  returning  its 70%  interest in Wuhan and to redeem the 727,272
shares of restricted Common Stock previously issued pursuant to the acquisition.
Applications  for the change in  ownership  in Wuhan have been  approved  by the
respective authorities of PRC during 1998.

Duck Farm. In December 23, 1997,  Greatly HK effected an agreement to dispose of
its 25% interest in the Duck Farm.  Applications  for the change in ownership of
the Duck Farm have been  approved by the  respective  authorities  in PRC during
1998.

Heng Li. Heng Fai  Acquisition  did not  exercise  its option to form Heng Li as
certain  conditions  of the joint  venture  agreement  were not met. In December
1997, the Company canceled the registration of Heng Li.

                             Real Estate Operations
                             ----------------------

The Company operated an apartment building, Lord Highlands Apartments,  260 East
12  Street,  North  Vancouver,  British  Columbia,  Canada  V7L 2J6  ("Apartment
Building"),  located  within  the  Central  Lonsdale  area of the  City of North
Vancouver,  British  Columbia  until  its sale to SAR.  The  Apartment  Building
consisted of 60 individual  residential units of a total of approximately 57,340
square feet.  Developments  in the immediate area consisted  primarily of low to
medium density  residential  units,  with commercial  development  focused along
Lonsdale  Avenue to the west and the more  prominent  cross streets such as 13th
Street and 15th Street.

                               Segment Information
                               -------------------

Information  pertaining to the Company's  operating segment is in Footnote 14 in
the accompanying consolidated financial statements.

                                    Employees
                                    ---------

The Company currently has no employees

                              Government Regulation
                              ---------------------

The Company is not aware of any  government  regulations in the United States or
Canada which would  materially  adversely  affect its  business.  The  Company's
participation  in the  operations  of the  Apartment  Building  were  subject to
significant  governmental regulation in Canada and the Company believes it is in
compliance  with such  regulations  to the extent the same are applicable to the
Company.

ITEM 2.   DESCRIPTION OF PROPERTY

The Company currently has no ownership or leases of property.

ITEM 3.   LEGAL PROCEEDINGS

The Company is not a party to any material pending or ongoing litigation.

                                       5
<PAGE>


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

During the quarter ended  December 31, 1999,  the following  matters were placed
before and approved by the stockholders of the Company as follows:

(1) The stockholders elected the following two directors to serve until the next
Annual  Meeting of  Stockholders  or until  their  successors  are  elected  and
qualify:

                                      For            Withheld           Against
                                      ---            --------           -------

          Fai H. Chan              10,757,921          37,843              0
          Robert H. Trapp          10,757,242          33,521              0

(2) The stockolders agreed to reincorporate the Company by changing the state of
incorporation  from Delaware to Colorado by the adoption of a Plan and Agreement
of Merger  pursuant to which the Company will effectuate a 30 to 1 reverse split
of its common stock and will be merged with and into Asia SuperNet  Corporation,
a Colorado corporation, which is a wholly owned subsidiary of the Company formed
specifically  for the  purpose  of the  reincorporation  and which  shall be the
surviving corporation. There were 8,251,841 votes in favor of the merger; 67,794
votes against the merger; and 41,106 votes abstained.

(3) The  stockolders  approved an agreement  between the Company and SAR Trading
Limited ("SAR"), a company wholly owned by Fai H. Chan, an officer, director and
majority stockholder of the Company,  whereby the Company agreed to sell and SAR
agreed  to  purchase  all of  the  operating  subsidiaries  of  the  Company  in
consideration   for  which  the  Company  agreed  to  issue  SAR  $4,838,000  of
convertible  debt. There were 8,265,930 votes in favor of the agreement;  52,820
votes against the agreement; and 41,991 votes abstained.


                                     PART II

ITEM 5.   MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS

The Company's Common Stock is quoted on the OTC Bulletin Board ("OTC"). However,
there is no established  public  trading market for the Company's  common stock.
The following table sets forth, for the periods indicated, the reported high and
low bid price  quotations  for the Common Stock for the periods such  securities
have been reported on the OTC. Such quotations reflect  inter-dealer prices, but
do  not  include  retail  mark-ups,   mark-downs  or  commissions  and  may  not
necessarily represent actual transactions.

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

                                             High Bid           Low Bid
                                             ---------          -------
Year ended December 31, 1999:
----------------------------
First Quarter                                $  0.045           $ 0.022
Second Quarter                                  0.024             0.020
Third Quarter                                   0.026             0.018
Fourth Quarter                                  3.660             0.010


                                       6
<PAGE>

                                             High Bid           Low Bid
                                             ---------          -------
Year ended December 31, 1998:
----------------------------
First Quarter                                $  0.245           $ 0.100
Second Quarter                                  0.210             0.120
Third Quarter                                   0.130             0.090
Fourth Quarter                                  0.085             0.050


As of April 18, 2000,  there were  approximately  1,434 holders of record of the
common stock based upon information furnished by OTR/Oxford Transfer & Registrar
Securities  Agent, the transfer agent for the common stock. The number of record
holders does not include  holders whose  securities are held in street name. The
closing  price of the common stock as reported on the Bulletin  Board on May 15,
2000 was $1.75.

The Company has never paid and does not anticipate  paying any cash dividends on
its common stock in the  foreseeable  future.  The Company intends to retain all
earnings for use in the Company's  business  operations  and in the expansion of
its business.

On  February 5, 1999,  13,700,000  shares of common  stock of the  Company  were
issued  erroneously  to SAR in exchange  for a portion of the debt that is to be
issued pursuant to the agreements  with SAR.  Because the agreements had not yet
been approved by the Company's  shareholders,  the  13,700,000  shares of common
stock were canceled.

                   Recent Issuance of Unregistered Securities
                   ------------------------------------------

On January 18, 1999,  the Company  entered  into an  agreement  with SAR Trading
Limited  ("SAR") wherein SAR agreed to buy and the Company agreed to sell all of
its interests in the majority of its subsidiaries for  approximately  $4,838,000
in the form of the assumption of certain  liabilities.  In  consideration of the
assumption of  liabilities,  the Company  issued two notes payable to SAR in the
amounts of $1,000,000 and  $3,838,000.  The  $1,000,000  note was converted into
666,667 common shares of the Company.

The issuance of the common stock was made in reliance  upon the  exemption  from
registration  provided by Section 4(2) of the Securities Act of 1933, as amended
(1933 Act). The purchaser had access to full information  concerning the Company
and  represented  that it  purchased  the common stock for the  purchaser's  own
account and not for the purpose of distribution. The common stock will contain a
restrictive legend advising that the securities  represented by the common stock
may not be offered for sale, sold or otherwise  transferred without having first
been registered under the 1933 Act or pursuant to an exemption from registration
under the 1933 Act. No underwriters were involved in the transaction.



                                       7
<PAGE>


ITEM 6.   SELECTED FINANCIAL DATA

The following  table sets forth  selected  financial data of the Company and its
subsidiaries.  The  selected  consolidated  financial  data in the table for the
Company's five years ended  December 31, 1999,  1998,  1997,  1996 and 1995, are
derived primarily from the consolidated  financial statements included elsewhere
herein. The data should be read in conjunction with "Management's Discussion and
Analysis of Results of Operations  and Financial  Condition,"  the  consolidated
financial  statements  of the  Company  and  related  notes  thereto  and  other
financial information included elsewhere herein. All dollar amounts reflect U.S.
Dollars.

<TABLE>
<CAPTION>
                                        1999               1998               1997               1996               1995
                                        ----               ----               ----               ----               ----
<S>                                 <C>              <C>                <C>                 <C>               <C>
Net operating revenues ..........    $    411              7,736              7,801                603            354,952

(Loss) income from
  continuing operations .........    (172,269)          (101,159)          (601,014)        (1,488,244)        (1,880,672)

Total assets ....................      33,671          1,215,766          2,388,062         10,625,380          1,723,856

Long-term obligations:
   Mortgage loans
   payable ......................        --              710,277            837,966            865,594            975,108
   Long-term note payable .......        --                 --                 --               88,744             91,415

Per common share,
basic and diluted:

(Loss) per share from
 continuing operations ..........       (0.33)             (0.19)             (1.21)             (3.72)             (0.18)

Cash dividends per
   common share .................        --                 --                 --                 --                 --
</TABLE>


ITEM 7.   MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
          RESULTS OF OPERATIONS

The following  discussion  should be read in conjunction  with the  Consolidated
Financial  Statements  of the  Company  and  related  Notes  thereto,  and other
financial information included elsewhere herein. The financial statements of the
Company  are  prepared  in  conformity  with United  States  generally  accepted
accounting principles.

Introduction

The  primary  business  of the  Company  during  1999  was the  ownership  of an
apartment  building  in North  Vancouver,  British  Columbia  and the holding of
investments securities in Hong Kong.

On January 18, 1999,  the Company  entered  into an  agreement  with SAR Trading
Limited  ("SAR") wherein SAR agreed to buy and the Company agreed to sell all of
its interests in the majority of its subsidiaries for  approximately  $4,838,000
in the form of the assumption of certain  liabilities.  In  consideration of the
assumption of  liabilities,  the Company  issued two notes payable to SAR in the
amounts of $1,000,000 and  $3,838,000.  The  $1,000,000  note was converted into
666,667 common shares of the Company.  The $3,838,000  note is convertible  into
shares of common stock of the Company,  in minimum  increments of $250,000 each,
at the average 15 day trading price at the option of the Company by giving seven
trading days notice in writing to SAR. SAR is owned 100% by Fai H. Chan. On June
18,  1999,  the Company  agreed to offset the  amounts due from a related  party



                                       8
<PAGE>


resulting  from the sale, of $1,365,278  with the $3,838,000  note payable.  The
agreements  were  approved  by the  stockholders  on  November  10,  1999.  This
transaction  essentially  liquidated the operations of the Company and transfers
control of the Company to SAR.

Results of Operations

YEAR ENDED DECEMBER 31, 1999 AS COMPARED TO THE YEAR ENDED DECEMBER 31, 1998

The  Company  and its  subsidiaries'  principal  activity  during the year ended
December  31, 1999 was the  operation of a rental  property in North  Vancouver,
British Columbia in Canada and holding of securities investments in Hong Kong.

There were no significant  changes in the revenues and expenses  attributable to
the  operation  of  Vancouver  Hong Kong's real estate  between the period ended
December 31, 1999 and the year ended December 31, 1998.  The apartment  building
is a 60 unit,  three-story  wood frame building  constructed in the late 1960's.
Management  believed  that the monthly  rents  received  from the  tenants  were
reasonably in line with market rents, taking into account the size and condition
of the units plus the amenities.

The Company did not engage in investment activity during the year ended December
31, 1999  because of the  uncertainty  related to the  international  securities
markets.

The legal and  professional  fees have been  increased  to $153,675 for the year
ended December 31, 1999 from $24,787 for the year ended December 31, 1998.  This
is due to the corporate  restructuring  and the sale of all the  subsidiaries of
the Company to SAR.

On November 10, 1999, the shareholders of Powersoft approved the reincorporation
of Powersoft by changing the state of incorporation from Delaware to Colorado by
the adoption of an Agreement and Plan of Merger  pursuant to which Powersoft has
merged with and into Asia SuperNet, a Colorado Corporation.  The stockholders of
Asia SuperNet approved the respective Agreement and Plan of Merger on October 1,
1999 (the Reincorporation  Merger). The Reincorporation  Merger was effective as
of December 22, 1999.

Following  the  Reincorporation  Merger,  Powersoft  ceased  to  exist  and Asia
SuperNet became the surviving  corporation.  By operation of law, all assets and
liabilities of Powersoft were vested in Asia SuperNet and Asia SuperNet acquired
all  of  the  assets  and   liabilities  of  Powersoft.   As  a  result  of  the
Reincorporation  Merger,  each thirty issued and outstanding shares of Powersoft
common stock were converted into one share of Asia SuperNet common stock.

On December 9, 1999,  the Company  completed the sale of all of its interests in
all  of  the   subsidiaries.   In  consideration   for  the  assumption  of  the
subsidiaries' liabilities by the purchaser, the Company issued $4,838,000 in the
form of promissory notes to SAR.

At December 31, 1999, Asia SuperNet  became  inactive  following the disposal of
all of its equity interests in its subsidiaries to SAR.

The loss on disposal of subsidiaries  amounted to $1,532,747.  Revenues from the
discontinued  operations of the subsidiaries  were $324,917 in 1999 and $312,894
in 1998.




                                       9
<PAGE>


YEAR ENDED DECEMBER 31, 1998 AS COMPARED TO THE YEAR ENDED DECEMBER 31, 1997

There were no significant  changes in the revenues and expenses  attributable to
the  operation  of  Vancouver  Hong Kong's  real  estate  between the year ended
December 31, 1998 and the year ended December 31, 1997.

Investment income decreased from income of $138,794 through December 31, 1997 to
a loss of $25,154  through  December  31,  1998.  The Company has not engaged in
investment  activity during the year ended December 31, 1998. This is because of
the  uncertainty  related  to the  international  securities  markets.  The  net
investment  loss in 1998  consists  of the  loss  due to the  expiration  of the
warrants, amounting to $145,800 and interest income.

Consulting  expense  decreased  from an aggregate of $772,250 for the year ended
December  31, 1997 to $562,500  for the year ended  December  31,  1998,  due to
amortization  period of certain  consulting  agreements  expiring early in 1998.
Interest expense increased from $309,201 for the year ended December 31, 1997 to
$492,804 for the same period in 1998.

The  Company's  net loss from  continuing  operations  was $101,059 for the year
ended  December  31,  1998,  as compared to a net loss of $601,014  for the year
ended  December 31, 1997.  The reasons for the trend are the  reductions  in the
other  operating  administrative  expenses and  consulting  fees during the year
ended December 31, 1998.

Inflation

The effect on inflation on the  Company's  operations is not material and is not
anticipated to have any material effect in the future.

Liquidity and Capital Resources

The net cash provided by operating  activities  for the year ended  December 31,
1999 amounted to $100,021.  The Company meets its working  capital  requirements
from the  collection  of amounts  from  related  parties.  During the year ended
December 31,  1999,  the Company did not make  additional  cash  investments  in
securities or facilities.

The net cash used by  financing  activities  amounted to  $109,149  for the year
ended  December  31, 1999.  This is due  primarily to the increase in the margin
loan payable.

As discussed in Note 2 of the notes to the  consolidated  financial  statements,
the  Company's  operating  losses and  deficiency  in net tangible  assets raise
substantial  doubts  concerning  the  Company's  ability to  continue as a going
concern.  However, the Company's principal shareholder has agreed to continue to
provide the Company with necessary financial support.

New Accounting Standards Not Yet Adopted

In June 1998, the Financial Accounting Standards Board ("FASB") issued Statement
of Financial  Accounting  Standards ("SFAS") No. 133, "Accounting for Derivative
Instruments and Hedging Activities." This statement  establishes  accounting and
reporting  standards  for  derivative  instruments.  It  requires  an  entity to
recognize all  derivatives  as either assets or  liabilities in the statement of
financial  position and measure those  instruments at fair value. This statement
was effective for years beginning  after June 15, 1999,  although early adoption
was permitted.  In July 1999, the FASB issued Statement No. 137, "Accounting for
Derivative Instruments and Hedging Activities--Deferral of the Effective Date of




                                       10
<PAGE>


FASB  Statement No. 133," which  provides the  effective  date is for all fiscal
quarters of all fiscal years beginning after June 15, 2000.

The Company  believes that the effects of adopting  these  standards will not be
material to the Company's financial position or results of operations.

Regional Economic Developments

Several countries in Asia have recently experienced significant adverse economic
developments including substantial exchange rate fluctuations, inflation, social
unrest,  increased  interest rates,  reduced  economic  growth rates,  corporate
bankruptcies,  declines in the market value of shares listed on stock exchanges,
emergency   loan   agreements   with  the   International   Monetary   Fund  and
government-imposed  austerity  measures.  To date, neither the PRC nor Hong Kong
have experienced these developments.  However, they may occur in the PRC or Hong
Kong in the future,  which could have a material effect on a Company's financial
condition or results of operations.

ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market  risk  generally  represents  the risk of loss that may  result  from the
potential  change  in  the  value  of a  financial  instrument  as a  result  of
fluctuations  in interest  and currency  exchange  rates,  equity and  commodity
prices,  changes in the implied  volatility of interest rate,  foreign  exchange
rate,  equity and  commodity  prices and also  changes in the credit  ratings of
either the issuer of the financial  instrument or its related country of origin.
Market  risk is  inherent  to many  non-derivative  financial  instruments,  and
accordingly,  the  scope of the  Company's  market  risk  management  procedures
includes all market risk sensitive financial instruments.

The  Company  faced two types of market  risk:  foreign  exchange  rate risk and
equity price risk.

Foreign  Exchange  Rate  Risk.  Foreign  exchange  rate  risk  arises  from  the
possibility  that  changes in foreign  exchange  rates will  impact the value of
financial  instruments.  When the Company  buys or sells a financial  instrument
denominated in a currency other than U.S.  dollars,  exposure  exists from a net
open currency position.  The Company is then exposed to a risk that the exchange
rate may move against it. At December 31, 1999 and 1998,  the currency  creating
foreign currency risk for the Company was the Hong Kong dollar.

Equity Price Risk.  The Company is exposed to equity price risk as a consequence
of making  investments  in equity  securities.  Equity  price risk  results from
changes in the level or volatility of equity  prices,  which affect the value of
equity  securities  or  instruments  that derive  their value from a  particular
stock, a basket of stocks or a stock index.  The Company  attempts to reduce the
risk of loss  inherent in its  inventory of equity  securities  by entering into
transactions designed to mitigate the Company's market risk profile.

The  Company  utilizes  a  wide  variety  of  market  risk  management  methods,
including:  limits for each trading activity; marking all positions to market on
a timely basis; timely profit and loss statements;  and independent verification
of pricing.  The Company  believes  that these  procedures,  which stress timely
communication, are the most important elements of the risk management process.

Efforts  to further  strengthen  the  Company's  management  of market  risk are
continuous,  and the enhancement of risk management systems is a priority of the
Company. This includes the development of quantitative methods,  profit and loss
and variance reports, and the review and approval of pricing models.



                                       11
<PAGE>


The table below  provides a comparison of the carrying  amount to the fair value
of the securities owned by the Company that are classified as available-for-sale
securities.

<TABLE>
<CAPTION>
                                                    December 31, 1999                      December 31, 1998
                                            --------------------------------      ----------------------------------
                                            Fair Value        Carrying Value      Fair Value          Carrying Value
                                            ----------        --------------      ----------          --------------
<S>                                          <C>                <C>               <C>               <C>
Foreign Exchange Rate Risk:
--------------------------

Equity Securities denominated
in Hong Kong dollars ...................      $   --             $  --             $ 439,290             $ 439,290

Equity Price Risk:
-----------------

Equity Securities* .....................      $   --             $  --             $ 439,290             $ 439.290
</TABLE>

*Includes equity securities denominated in Hong Kong dollars.

Included in the above  securities  are shares of common  stock of Online  Credit
International  Limited,   formerly  Heng  Fung  Holdings  Company  Limited.  The
securities were held by a wholly-owned  subsidiary that was included in the sale
to SAR

ITEM 8.   FINANCIAL STATEMENTS

The Consolidated Financial Statements that constitute Item 8 are attached at the
end of this Annual Report on Form 10-K. An Index to these Consolidated Financial
Statements is also included in Item 14 (a) of this Annual Report on Form 10-K.

ITEM 9.   CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING
          AND FINANCIAL DISCLOSURES

There have been no changes in or  disagreements  with accountants on accounting,
financial disclosure or other matters, which would require disclosure herein.













                                       12
<PAGE>

                                    PART III

ITEM 10.  DIRECTORS, EXECUTIVE OFFICERS, PROMOTERS AND CONTROL PERSONS;
          COMPLIANCE WITH SECTION 16(a) OF THE EXCHANGE ACT

The names and ages of all directors and executive officers of the Company are as
follows:

Name                   Age       Position
----------------       ---       -----------------------------------------------

Fai H. Chan             55       President, Chief Executive Officer and Director

Robert H. Trapp         44       Secretary, Treasurer and Director


Management Biographies

Fai H. Chan has been the president and a director of the Company since June 1994
and has served as the  Company's  Chief  Executive  Officer  since June 1995. In
1998, Mr. Chan was appointed president and chairman of the board of directors of
eVision USA.Com,  Inc., formerly known as Fronteer Financial  Holdings,  Ltd., a
holding  company  which  among other  things,  owns a  securities  broker/dealer
located in Colorado.  From June 1993 to the  present,  he has been a director of
Inter-Asia  Equities,  Inc., a Canadian  company.  Since  September  1992 to the
present, he has been a director of Heng Fung Holdings Co., Ltd. ("Heng Fung"), a
public company in Hong Kong, which is listed on the Hong Kong Stock Exchange. In
1995,  Mr. Chan was appointed  managing  director and chairman of Heng Fung, for
which he still  serves.  In May 1998,  he was appointed a director of Global Med
Technologies,  Inc.  Since  March  1988,  he has been  chairman  of the board of
directors of American Pacific Bank, a bank in Oregon, and between April 1991 and
April 1993, he was the chief executive officer of said bank.

Robert H. Trapp has been the  secretary  and  treasurer  and a  director  of the
Company  since June 1994. In May 1998, he was appointed a director of Global Med
Technologies,  Inc. In 1997 and 1998, Mr. Trapp was appointed  managing director
and director of eVision  USA.Com,  Inc.,  formerly  known as Fronteer  Financial
Holdings,  Ltd.  Since May 1995,  Mr.  Trapp  has been a  director  of Heng Fung
Holdings Co., Ltd., a public  company in Hong Kong,  which is listed on the Hong
Kong Stock  Exchange.  Since April 1994, Mr. Trapp has been the secretary of the
Company.  Since  February  1995,  Mr.  Trapp has been a director  of  Inter-Asia
Equities,  Inc.  a  Canadian  company.  Since  July  1991,  he has also been the
Canadian   operational   manager  of  Pacific  Concord  Holding  (Canada)  Ltd.,
responsible for management,  marketing,  and financial  reporting  operations of
such company to Pacific  Concord  Holding Ltd. of Hong Kong.  Between  March and
June  1991,  Mr.  Trapp  was  a  securities  trainee  at  Pacific  International
Securities in Vancouver, B.C., Canada. Between September 1985 and June 1989, Mr.
Trapp served as an executive officer and a director of Inter-Asia Equities, Inc.

All  officers of the Company are elected to serve in such  capacities  until the
next  annual  meeting of the Board of  Directors  of the Company and until their
successors are duly elected and qualified.

There are no material proceedings to which any director, officer or affiliate of
the Company, any owner of record or beneficially of more than 5% of any class of
voting  securities  of the  Company,  or any  associate  of any  such  director,
officer,  affiliate of the Company or security  holder is a party adverse to the
Company or any of its subsidiaries.





                                       13
<PAGE>


                      Committees of the Board of Directors
                      ------------------------------------

The Board of Directors has not established any committees.

             Section 16(a) Beneficial Ownership Reporting Compliance

To the Company's knowledge,  during the year ended December 31, 1999, there were
no directors,  officers or more than 10% shareholders of the Company that failed
to timely  file a Form 3, Form 4 or Form 5; other than Fai H. Chan who failed to
timely file a Form 5.

ITEM 11.  EXECUTIVE COMPENSATION

                           Summary Compensation Table
                           --------------------------

During the year ended  December 31, 1999,  Heng Fai  Management,  Inc., a wholly
owned subsidiary of the Company, paid $250,000 in consulting and management fees
to Tight Hold  Investment  Limited,  a company  wholly owned by Fai H. Chan, the
Company's chief executive officer.

Name and Principal                Year                            Other Annual
Positions                         Ended      Compensation       Compensation ($)
------------------                -----      ------------       ---------------

Fai H. Chan, President            1999        $ 250,000              --
   CEO, and Director              1998        $ 500,000              --
                                  1997        $ 500,000              --

                               Stock Option Plans
                               ------------------

The Company currently has no stock option plans.

                         Option/SAR Grants in Last Year
                         ------------------------------

There were no options granted during the year ended December 31, 1999.

                   Aggregate Option/SAR Exercises in Last Year
                        And Year-End Options/SAR Values
                   -------------------------------------------

No options were exercised during the year ended December 31, 1999 and there were
no unexercised options as of the end of the year ended December 31, 1999.

                              Employment Agreements
                              ---------------------

There  are no  employment  agreements  between  the  Company  and its  executive
officers.




                                       14
<PAGE>


                            Remuneration of Directors
                            -------------------------

Directors do not receive compensation for attendance at meetings of the Board of
Directors.  All directors are entitled to reimbursement of reasonable travel and
lodging expenses related to attending meetings of the Board of Directors.

ITEM 12.  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND
          MANAGEMENT

The following table sets forth,  as of May 15, 2000,  certain  information  with
respect  to stock  ownership  of:  (i) all  persons  known by the  Company to be
beneficial owners of five percent or more of its outstanding  common stock: (ii)
each of the Company's directors and executive officers;  and (iii) all directors
and executive officers as a group.  Unless otherwise  indicated,  the beneficial
owners have sole  voting and  investment  power over the shares of common  stock
listed below.

<TABLE>
<CAPTION>
                                                                               % of Outstanding Shares
        Name and Address                             Number of Shares               of Common stock
     of Beneficial Owner (1)                      Beneficially Owned (1)         Beneficially Owned (1)
     ----------------------                       ---------------------        -----------------------

<S>                                                  <C>                               <C>
SAR Trading Limited .............................      666,667                            56.07%
Bank of Communications Tower
10th Floor
231-235 Gloucester Road
Wanchai, Hong Kong 040

Fai H. Chan .....................................      869,884(2)(4)                      73.16%
Bank of Communications Tower
10th Floor
231-235 Gloucester Road
Wanchai, Hong Kong 040

Robert H. Trapp .................................        3,334                              **
1700 Lincoln Street
32nd Floor
Denver, Colorado 80203

Keow Y. Chan ....................................      749,216(3)(4)                      63.01%
Unit B, 13th Floor
Lippo, Leighton Tower
103-109 Leigton Road
Causeway Bay, Hong Kong

All Executive Officers & Directors
   As a Group (2 Persons)(5) ....................      873,218                            73.44%
</TABLE>
-----------------------------
**   Less than 1%

(1)  Unless  otherwise  noted,  the Company believes that all of such shares are
     owned of record by each individual  named as beneficial owner and that such
     individual has sole voting and dispositive power with respect to the shares
     of common stock owned by each of them. Such person's  percentage  ownership
     is determined by assuming that the options or convertible  securities  that




                                       15
<PAGE>


     are held by such  person  which  are  exercisable  within 60 days have been
     exercised or converted, as the case may be.

(2)  Includes  193,335  shares  owned of record by Mr. Chan.  Also  includes (i)
     1,250  shares  of  common   stock  held  by   Inter-Asia   Equities,   Inc.
     ("Inter-Asia");  (ii) 8,632 shares of common  stock held by Excess  Pension
     Fund, Inc. (Fund) and (iii) 666,667 shares of common stock held by SAR. Mr.
     Chan owns 100% of SAR. Mr. Chan is an officer,  director and stockholder of
     Inter-Asia,  and a beneficial owner of the Fund. Excludes the 72,667 shares
     owned of record by Mr. Chan's wife. See Footnote (3) below.

(3)  Includes (i) 8,632 shares of common stock held by the Fund and 1,250 shares
     of  common  stock  held by  Inter-Asia.  Ms.  Chan is the  president  and a
     director  of  Inter-Asia,  and a  beneficial  owner of the  Fund.  Excludes
     193,335  shares owned of record by Ms.  Chan's  husband,  Fai H. Chan.  See
     Footnote (2) above.

(4)  In the event that Mr. Chan is deemed to beneficially  own all of the shares
     owned of record by his spouse, Mr. Chan would be deemed to beneficially own
     942,551 shares or approximately  79.27% of the outstanding  common stock of
     the Company.

On  February 5, 1999,  13,700,000  shares of common  stock of the  Company  were
issued  erroneously  to SAR in exchange  for a portion of the debt that is to be
issued pursuant to the agreements  with SAR.  Because the agreements had not yet
been approved by the Company's  shareholders,  the  13,700,000  shares of common
stock were canceled.

There are no agreements or other  arrangements  or  understandings  known to the
Company  concerning  the voting of the Common  Stock of the Company or otherwise
concerning  control of the Company which are not disclosed herein.  There are no
preemptive rights applicable to the Company's securities.

ITEM 13.  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

The Company maintains deposits in accounts at American Pacific Bank. Fai H. Chan
(an officer,  director  and  stockholder  of the  Company) is an officer  and/or
director of such bank.

The  Company  owned  48,535,276  shares  of common  stock of Heng Fung  Holdings
Company  Limited.   Messrs.   Chan,  and  Trapp   (officers,   directors  and/or
stockholders  of the Company) are officers,  directors and /or  stockholders  of
such company.

At December 31, 1999,  1998 and 1997, the second mortgage of $77,579 and related
interest  payable of $25,368  and  $38,623,  respectively,  were  payable to the
Silverstein  Foundation,  Inc.,  a Panama  company,  in which Mr. Fai H.  Chan's
children have beneficial ownership  interests.  The related interest expense was
$8,258 in 1999, $8,269 in 1998, $7,774 in 1997 and $8,947 in 1996.

On January 18, 1999,  the Company  entered  into an  agreement  with SAR Trading
Limited  ("SAR") wherein SAR agreed to buy and the Company agreed to sell all of
its interests in the majority of its subsidiaries for  approximately  $4,838,000
in the form of the assumption of certain  liabilities.  In  consideration of the
assumption of  liabilities,  the Company  issued two notes payable to SAR in the
amounts of $1,000,000 and  $3,838,000.  The  $1,000,000  note was converted into
666,667 common shares of the Company.  The $3,838,000  note is convertible  into
shares of common stock of the Company,  in minimum  increments of $250,000 each,
at the average 15 day trading price at the option of the Company by giving seven
trading days notice in writing to SAR. SAR is owned 100% by Fai H. Chan. On June



                                       16
<PAGE>


18,  1999,  the  Company  agreed to offset the  amount due from a related  party
resulting  from the sale, of $1,365,278  with the $3,838,000  note payable.  The
agreements were subject to shareholder approval.

On  February 5, 1999,  13,700,000  shares of common  stock of the  Company  were
issued  erroneously  to SAR in exchange for a portion of the debt that was to be
issued pursuant to the agreements  with SAR.  Because the agreements had not yet
been approved by the Company's  shareholders,  the  13,700,000  shares of common
stock were canceled.

Heng Fai  Management,  Inc., a wholly owned  subsidiary of the Company,  entered
into a consultation and management agreement with Tight Hold Investment Limited,
a company wholly owned by Fai H. Chan,  president and chief executive officer of
the  Company.  The term of this  agreement  is for ten  years  having  commenced
November 1, 1996 and ending October 31, 2006. The remuneration the Company shall
pay for services rendered pursuant to this agreement is as follows:  (i) the sum
of $500,000  per year for the duration of the  agreement,  a rate of $41,667 per
month;  and  (ii)  upon  the  Company  meeting  NASDAQ  National  Market  System
("NASDAQ")  requirements  of  having  $4,000,000  in net  tangible  assets,  and
obtaining the other  requirements which allow the Company's stock to be marginal
on NASDAQ and having  declared  at least a minimum  $0.10 per share  earning and
$0.05 dividend to common shareholders,  the fee shall increase to $1,000,000 per
year for the  duration  of the  agreement,  a rate of $83,333  per  month.  This
agreement was terminated  during June 1999.  During 1999,  Tight Hold Investment
was paid $250,000.


                                     PART IV

ITEM 14.  EXHIBITS AND REPORTS ON FORM 8-K

(a)(1) Financial Statements and Financial Statement Schedules

         INDEX TO FINANCIAL STATEMENTS AND FINANCIAL STATEMENT SCHEDULES

                                                                            Page

   Independent Auditors' Report                                             F-1
   Consolidated Balance Sheets as of December 31, 1999 and 1998             F-2
   Consolidated Statements of Income and Comprehensive Income for
        each of the three years in the period ended December 31, 1999       F-4
   Consolidated Statements of Stockholders' Equity  (Deficit) for each
       of the three years in the period ended December 31, 1999             F-6
   Consolidated Statements of Cash Flows for each of the three years
       in the period ended December 31, 1999                                F-7
   Notes to Consolidated Financial Statements                               F-9

All schedules  are omitted  because the required  information  is not present in
amounts  sufficient  to  require  submission  of the  schedule  or  because  the
information  required is included in the Consolidated  Financial  Statements and
Notes thereto.





                                       17
<PAGE>


(a)(2)  Financial Statement Schedules.  None.

(a)(3)  Exhibits. See "EXHIBIT INDEX" on page 19.

(b) Current Reports on Form 8-K

On  December  13,  1999,  the Company  filed a Current  Report on Form 8-K dated
December  9,  1999,  under  Items  2 and 7,  to  report  the  sale of all of the
Company's interests in the majority of its subsidiaries to SAR Trading Limited.

On  January  5,  2000,  the  Company  filed a  Current  Report on Form 8-K dated
December  22,  1999,  under Item 5 to report the  re-incorporation  of Powersoft
Technologies  Inc. under the laws of Colorado  pursuant to an Agreement and Plan
of Merger between Powersoft Technologies Inc. and Asia SuperNet Corporation.



                                   SIGNATURES

Pursuant to the  requirements of Section 13 or 15(d) of the Securities  Exchange
Act of 1934, the registrant caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.


                                   ASIA SUPERNET CORPORATION,
                                   a Colorado corporation.

                                   By: /s/ Fai H. Chan
                                      --------------------------------------
                                      Fai H. Chan, President

                                   Date:     May 24, 2000


Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed by the following  persons on behalf of the registrant and in the
capacities and on the dates indicated.


Date:  May 24, 2000                By: /s/ Fai H. Chan
                                      ----------------------------------------
                                      Fai H. Chan, President, CEO and Director



Date:  May 24, 2000                By: /s/ Robert H. Trapp
                                       ----------------------------------------
                                       Robert H. Trapp, Secretary, Treasurer
                                         and Director




                                       18
<PAGE>



INDEPENDENT AUDITORS' REPORT

TO THE BOARD OF DIRECTORS AND SHAREHOLDERS OF
ASIA SUPERNET CORPORATION
(Formerly known as Powersoft Technologies, Inc.)

We have audited the  accompanying  consolidated  balance sheets of Asia SuperNet
Corporation  (the  "Company") and  its  subsidiaries as of December 31, 1999 and
1998,  and the  related  consolidated  statements  of income  and  comprehensive
income,  shareholders' deficit and cash flows for each of the three years in the
period  ended   December  31,  1999.   These   financial   statements   are  the
responsibility of the Company's management.  Our responsibility is to express an
opinion on these financial statements based on our audits.

We conducted our audits in accordance with auditing standards generally accepted
in the  United  States of  America.  Those  standards  require  that we plan and
perform the audit to obtain  reasonable  assurance  about  whether the financial
statements are free of material misstatement.  An audit includes examining, on a
test basis,  evidence  supporting  the amounts and  disclosures in the financial
statements.  An audit also includes assessing the accounting principles used and
significant  estimates  made by  management,  as well as evaluating  the overall
financial  statement  presentation.   We  believe  that  our  audits  provide  a
reasonable basis for our opinion.

In our opinion, such consolidated  financial  statements  present fairly, in all
material respects,  the financial position of Asia SuperNet  Corporation and its
subsidiaries  as of  December  31,  1999  and  1998,  and the  results  of their
operations  and cash  flows  for each of the  three  years in the  period  ended
December 31, 1999 in conformity with accounting principles generally accepted in
the United States of America.

The  accompanying  financial  statements  have been  prepared  assuming that the
Company  will  continue  as a  going  concern.  As  discussed  in  Note 2 to the
financial statements,  the Company's recurring losses from operations,  negative
working capital and shareholders'  capital deficiency raise substantial doubt as
to its ability to continue as a going concern. Management plans concerning these
matters are also  described in Note 2. The  financial  statements do not include
any adjustments that might result from the outcome of this uncertainty.




/s/ DELOITTE TOUCHE TOHMATSU
DELOITTE TOUCHE TOHMATSU


Hong Kong
May 23, 2000

                                      F - 1


<PAGE>

<TABLE>
<CAPTION>


                                      ASIA SUPERNET CORPORATION
                           (Formerly known as Powersoft Technologies Inc.)
                                     CONSOLIDATED BALANCE SHEETS
                                       (United States Dollars)

                                                                                   As of December 31,
                                                                            ----------------------------
ASSETS                                                                      1999                    1998
------                                                                      ----                    ----
<S>                                                                   <C>                      <C>
Current assets:
   Cash and cash equivalents ......................................   $    9,176               $   44,949

   Available-for-sale securities (Note 5) .........................         --                    439,290

   Accounts receivable, trade, net of allowance for
     doubtful accounts of $0 in 1999 and 1998 .....................         --                     29,830

   Prepaid and other current assets ...............................       21,301                   24,260

   Amounts receivable from related parties (Note 9) ...............         --                     15,632
                                                                      ----------               ----------

   Total current assets ...........................................       30,477                  553,961


Property, plant and equipment, net (Note 6) .......................        3,194                  661,805
                                                                      ----------               ----------

Total assets ......................................................   $   33,671               $1,215,766
                                                                      ==========               ==========











See accompanying notes to the consolidated financial statements.



                                      F - 2


<PAGE>

<CAPTION>

                                      ASIA SUPERNET CORPORATION
                           (Formerly known as Powersoft Technologies Inc.)
                                CONSOLIDATED BALANCE SHEETS-continued
                                       (United States Dollars)

                                                                                   As of December 31,
                                                                            ----------------------------
LIABILITIES AND SHAREHOLDERS' DEFICIT                                       1999                    1998
-------------------------------------                                       ----                    ----
<S>                                                                   <C>                      <C>
Current liabilities:
   Mortgage loans payable - current portion (Note 11) .............  $      --               $   109,159
   Accounts payable ...............................................      123,821                  96,967
   Margin loan payable (Note 8) ...................................         --                 3,136,264
   Promissory notes payable to a related party (Note 10) ..........    2,472,722                    --
   Accrued expenses and other liabilities .........................       82,182                  80,091
   Amounts payable to related parties (Note 9) ....................       72,738               1,861,216
                                                                     -----------             -----------

   Total current liabilities: .....................................    2,751,463               5,283,697
                                                                     -----------             -----------

Long-term liabilities:
   Mortgage loans payable (Note 11) ...............................         --                   710,277
                                                                     -----------             -----------

Shareholders' deficit:
   Preferred stock, $0.001 par value, 300,000,000 shares
     authorized; unissued .........................................         --                      --
   Common stock, $0.001 par value, 900,000,000 shares
     authorized; 1,189,005 shares issued and outstanding ..........        1,189                    --
   Common stock, $0.01 par value, 30,000,000 shares
     authorized; 15,559,542 issued and outstanding (Note 12) ......         --                   155,595
   Additional paid-in capital .....................................    6,539,702               5,385,296
   Accumulated deficit ............................................   (9,258,683)             (6,981,436)
   Unrealized loss on available-for-sale securities (Note 5) ......         --                (3,356,080)
   Cumulative exchange adjustments ................................         --                    18,417
                                                                     -----------             -----------

Total shareholders' deficit .......................................   (2,717,792)             (4,778,208)
                                                                     -----------             -----------


Total liabilities and shareholders' deficit .......................  $    33,671             $ 1,215,766
                                                                     ===========             ===========
</TABLE>




See accompanying notes to the consolidated financial statements.


                                      F - 3


<PAGE>

<TABLE>
<CAPTION>

                                      ASIA SUPERNET CORPORATION
                           (Formerly known as Powersoft Technologies Inc.)
                     CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
                                       (United States Dollars)

                                                                                    Year ended December 31,
                                                                       ----------------------------------------------
                                                                       1999                 1998                 1997
                                                                       ----                 ----                 ----
<S>                                                              <C>                  <C>                  <C>
Revenues:
      Interest ................................................  $       411          $       236          $       301
      Rental income ...........................................         --                  7,500                7,500
                                                                 -----------          -----------          -----------

Total revenues ................................................          411                7,736                7,801
                                                                 -----------          -----------          -----------

Expenses:
   Depreciation ...............................................        4,790                 --                   --
   Legal and professional fees ................................      153,675               24,787              120,855
   Consulting fees (Note 7) ...................................         --                 62,500              272,250
   Investment banking fees ....................................         --                   --                164,252
   Traveling ..................................................         --                   --                  2,227

   Other operating and administrative expenses ................       14,215               21,508               49,231
                                                                 -----------          -----------          -----------

Total expenses ................................................      172,680              108,795              608,815
                                                                 -----------          -----------          -----------

Loss from continuing operations ...............................     (172,269)            (101,059)            (601,014)
                                                                 -----------          -----------          -----------
(Continued)











See accompanying notes to the consolidated financial statements.


                                      F - 4


<PAGE>

<CAPTION>


                                      ASIA SUPERNET CORPORATION
                           (Formerly known as Powersoft Technologies Inc.)
                                CONSOLIDATED STATEMENTS OF INCOME AND
                                   COMPREHENSIVE INCOME-continued
                                       (United States Dollars)
                                                                                    Year ended December 31,
                                                                       ----------------------------------------------
                                                                       1999                 1998                 1997
                                                                       ----                 ----                 ----
<S>                                                              <C>                  <C>                  <C>
Discontinued operations (Note 3)

   Loss from discontinued operations ..........................  $  (572,231)         $  (976,074)         $  (616,404)
   Loss on disposal of discontinued operations ................   (1,532,747)                --                   --
   Loss from Cangzhou cement ..................................         --                   --               (157,117)
   Gain on disposal of Cangzhou cement ........................         --                   --                148,775
   Loss from Wuhan ............................................         --                   --               (248,210)
   Gain on reversal of Wuhan acquisition ......................         --                   --                307,442
   Share of loss for the investment in Duck Farm ..............         --                   --               (107,229)
   Loss on disposal of the investment in Duck Farm ............         --                   --               (194,095)

                                                                 -----------          -----------          -----------

Loss from discontinued operations .............................   (2,104,978)            (976,074)            (866,838)
                                                                 -----------          -----------          -----------

Loss before income taxes ......................................   (2,277,247)          (1,077,133)          (1,467,852)
Provision for income taxes (Note 13) ..........................         --                   --                   --
                                                                 -----------          -----------          -----------

Loss before minority interest .................................   (2,277,247)          (1,077,133)          (1,467,852)
Minority interest from discontinued operations ................         --                   --                 74,463
                                                                 -----------          -----------          -----------

Net loss ......................................................   (2,277,247)          (1,077,133)          (1,393,389)
                                                                 -----------          -----------          -----------

Other comprehensive income (loss), net of tax:
   Foreign exchange adjustments ...............................         --                 16,901               (5,452)
   Unrealized loss on available-for-sale securities ...........         --             (1,048,813)          (2,228,442)
                                                                 -----------          -----------          -----------

Other comprehensive loss ......................................         --             (1,031,912)          (2,233,894)
                                                                 -----------          -----------          -----------

Comprehensive loss ............................................  $(2,277,247)         $(2,109,045)         $(3,627,283)
                                                                 ===========          ===========          ===========

Loss per share (basic and diluted):
   From continuing operations .................................  $     (0.33)         $     (0.19)         $     (1.21)
   Effect of discontinued operations ..........................        (3.97)               (1.87)               (1.60)
                                                                  -----------         -----------          -----------

   Net loss per share .........................................  $     (4.30)         $     (2.06)         $     (2.81)
                                                                 ===========          ===========          ===========

Weighted average number of shares of
   common stock outstanding ...................................      529,644              522,338              495,770
                                                                 ===========          ===========          ===========
</TABLE>


See accompanying notes to the consolidated financial statements

                                      F - 5


<PAGE>

<TABLE>
<CAPTION>

                                          ASIA SUPERNET CORPORATION.
                                (Formerly known as Powersoft Technologies Inc.)
                                CONSOLIDATED STATEMENTS OF SHAREHOLDERS' DEFICIT
                                            (United States Dollars)

                                               Common stock
                                         ------------------------      Additional
                                         Number                          paid-in       Accumulated
                                         of shares         Amount        capital         deficit
                                         ---------         ------      ----------      -----------
<S>                                    <C>           <C>             <C>             <C>
At December 31, 1996 .............     11,986,814    $    119,868    $  4,701,023    $ (4,510,914)

Private placements
   (Note 12) .....................      1,700,000          17,000       1,003,000            --
Private placements
   (Note 12) .....................      2,500,000          25,000         575,000            --
Issue to effect a
   consulting
   agreement (Note 12) ...........        100,000           1,000          99,000            --
Amortization of
   consulting fees ...............           --              --              --              --
Redemption to reverse
   the purchase
   of a subsidiary
   (Note 12) .....................       (727,272)         (7,273)       (992,727)           --
Net loss .........................           --              --              --        (1,393,389)
Other comprehensive loss:
  Unrealized loss on
    securities available-
    for-sale .....................           --              --              --              --
                                     ------------    ------------    ------------    ------------

At December 31, 1997 .............     15,559,542         155,595       5,385,296      (5,904,303)

Amortization of ..................           --              --              --              --
  consulting fees
Net loss .........................           --              --              --        (1,077,133)
Other comprehensive income (loss):
  Unrealized loss
    on securities
    available-for-sale ...........           --              --              --              --
  Foreign exchange
    translation
    adjustment ...................           --              --              --              --
                                     ------------    ------------    ------------    ------------

At December 31, 1998 .............     15,559,542         155,595       5,385,296      (6,981,436)

Reverse stock split (Note 12) ....    (15,037,204)       (155,072)        155,072            --
Conversion of promissory
  note ...........................        666,667             666         999,334            --
Net loss .........................           --              --              --        (2,277,247)
Other comprehensive income (loss):
  Unrealized loss on
    securities available
    for sale .....................           --              --              --              --
  Foreign exchange
    translation adjustment .......           --              --              --              --
                                     ------------    ------------    ------------    ------------
At December 31, 1999 .............      1,189,005    $      1,189    $  6,539,702    $ (9,258,683)
                                     ============    ============    ============    ============




See accompanying notes to the consolidated financial statements.


                                    F - 6(a)

<PAGE>

<CAPTION>

                                           Accumulated other
                                        comprehensive income (loss)
                                        ---------------------------
                                         Unrealized                    Common stock
                                           loss on                       issued for
                                        available for    Cumulative      consulting
                                            sale          exchange     services to be
                                         securities      adjustments      received          Total
                                        -------------   ------------   --------------       -----
<S>                                  <C>             <C>             <C>             <C>
At December 31, 1996 .............   $    (78,825)   $      6,968    $   (234,750)   $      3,370

Private placements
   (Note 12) .....................           --              --              --         1,020,000
Private placements
   (Note 12) .....................           --              --              --           600,000
Issue to effect a
   consulting
   agreement (Note 12) ...........           --              --           100,000            --
Amortization of
   consulting fees ...............           --              --           272,250         272,250
Redemption to reverse
   the purchase
   of a subsidiary
   (Note 12) .....................           --            (5,452)           --        (1,005,452)
Net loss .........................           --              --              --        (1,393,389)
Other comprehensive loss:
  Unrealized loss on
    securities available-
    for-sale .....................     (2,228,442)           --              --        (2,228,442)
                                     ------------    ------------    ------------    ------------

At December 31, 1997 .............     (2,307,267)          1,516         (62,500)     (2,731,663)

Amortization of ..................           --              --            62,500          62,500
  consulting fees
Net loss .........................           --              --              --        (1,077,133)
Other comprehensive income (loss):
  Unrealized loss
    on securities
    available-for-sale ...........     (1,048,813)           --              --        (1,048,813)
  Foreign exchange
    translation
    adjustment ...................           --            16,901            --            16,901
                                     ------------    ------------    ------------    ------------

At December 31, 1998 .............     (3,356,080)         18,417            --        (4,778,208)

Reverse stock split (Note 12) ....           --              --              --              --
Conversion of promissory
  note ...........................           --              --              --         1,000,000
Net loss .........................           --              --              --        (2,277,247)
Other comprehensive income (loss):
  Unrealized loss on
    securities available
    for sale .....................      3,356,080            --              --         3,356,080
  Foreign exchange
    translation adjustment .......           --           (18,417)           --           (18,417)
                                     ------------    ------------    ------------    ------------
At December 31, 1999 .............   $       --      $       --      $       --      $ (2,717,792)
                                     ============    ============    ============    ============

</TABLE>


See accompanying notes to the consolidated financial statements.

                                    F - 6(b)


<PAGE>

<TABLE>
<CAPTION>


                                      ASIA SUPERNET CORPORATION
                           (Formerly known as Powersoft Technologies Inc.)
                                CONSOLIDATED STATEMENTS OF CASH FLOWS
                                       (United States Dollars)

                                                                                              Year ended December 31,
                                                                                   ----------------------------------------------
                                                                                   1999                 1998                 1997
                                                                                   ----                 ----                 ----
<S>                                                                           <C>                  <C>                  <C>
Cash flow from operating activities:
   Net loss .........................................................         $(2,277,247)         $(1,077,133)         $(1,393,389)
   Adjustments to reconcile net loss to net
     cash used in operating activities:
       Minority interest ............................................                --                   --                (74,463)
       Depreciation and amortization ................................              39,563               35,186              208,214
       Consulting fees ..............................................             377,079              562,500              772,250
       Available-for-sale securities written off ....................                --                 19,242                 --
       Provision for stock obsolescence .............................                --                   --                   --
       Loss (gain) on disposal of a subsidiary ......................           1,532,747                 --               (148,775)
       Gain on the reversal of the purchase
         of a subsidiary ............................................                --                   --               (307,442)
       Loss on investment in Duck Farm ..............................                --                   --                301,324
       Changes in working capital components:
         Accounts receivable ........................................                (703)             (22,309)          (3,033,177)
         Inventories ................................................                --                   --              2,364,197
         Prepaid and other current assets ...........................               1,004                7,893             (799,162)
         Amounts receivable from related parties ....................              (5,392)               3,318           (1,653,988)
         Value added taxes recoverable ..............................                --                   --               (177,674)
         Accounts payable ...........................................              47,824               48,266              649,881
         Bills payable ..............................................                --                   --               (481,928)
         Accrued expenses and other liabilities .....................              36,267              (74,665)             414,288
         Foreign exchange difference ................................              (6,071)              (6,664)                --
         Amounts payable to related parties .........................             354,950              456,460             (703,752)
         Prepaid rental .............................................                --                   --                 28,916
                                                                              -----------          -----------          -----------

Net cash provided by (used in) operating activities .................             100,021              (47,906)          (4,034,680)
                                                                              -----------          -----------          -----------

Cash flow from investing activities:
   Purchase of available-for-sale securities ........................                --                   --             (6,098,426)
   Proceeds from sale of available-for-sale securities ..............                --                   --              3,044,970
   Purchase of property, plant and equipment ........................                --                   --                (91,414)
   Cash given up on the reversal of the purchase
     of a subsidiary ................................................                --                   --               (142,973)
   Proceeds from disposal of a subsidiary ...........................                --                   --                  8,657
   Cash of subsidiary disposed of (Note 4) ..........................             (26,645)                --                   --
                                                                              -----------          -----------          -----------

Net cash used in investing activities ...............................             (26,645)                --             (3,279,186)
                                                                              -----------          -----------          -----------
(Continued)



See accompanying notes to the consolidated financial statements.

                                      F - 7


<PAGE>

<CAPTION>


                                      ASIA SUPERNET CORPORATION
                           (Formerly known as Powersoft Technologies Inc.)
                           CONSOLIDATED STATEMENTS OF CASH FLOWS-continued
                                       (United States Dollars)

                                                                                              Year ended December 31,
                                                                                   ----------------------------------------------
                                                                                   1999                 1998                 1997
                                                                                   ----                 ----                 ----
<S>                                                                           <C>                  <C>                  <C>
Cash flow from financing activities:
   Common stock issued for cash .....................................         $      --            $      --            $ 1,620,000
   Increase in margin loan payable ..................................                --                 77,969            2,569,102
   Repayment of margin loan .........................................             (75,493)                --                   --
   Increase in short-term borrowings ................................                --                   --              3,056,287
   Repayment of mortgage loans ......................................             (33,656)             (21,287)             (20,446)
   Repayment of long-term payable ...................................                --                   --                (45,163)
                                                                              -----------          -----------          -----------

Net cash provided by (used in) financing activities .................            (109,149)              56,682            7,179,780
                                                                              -----------          -----------          -----------

Net increase (decrease) in cash and cash equivalents ................             (35,773)               8,776             (134,086)
Cash and cash equivalents at beginning of year ......................              44,949               36,173              170,259
                                                                              -----------          -----------          -----------

Cash and cash equivalents at end of the year ........................         $     9,176          $    44,949          $    36,173
                                                                              ===========          ===========          ===========

Cash paid during the year for:

   Interest .........................................................         $   352,463          $   458,171          $   301,972
                                                                              ===========          ===========          ===========

Non-cash financing activities:

   Advances from a related party for investment
     in Duck Farm (Note 3) ..........................................         $      --            $      --            $   301,324
                                                                              ===========          ===========          ===========

   Issuance of common stock for consulting services .................         $      --            $      --            $   100,000
                                                                              ===========          ===========          ===========

   Issuance of common stock for convertible
     promissory note (Note 10) ......................................         $ 1,000,000          $      --            $      --
                                                                              ===========          ===========          ===========

   Issuance of convertible promissory notes (Note 12) ...............         $ 3,472,722          $      --            $      --
                                                                              ===========          ===========          ===========

Assignment of amount due from a related party (Note 3) ..............         $ 1,365,278          $      --            $      --
                                                                              ===========          ===========          ===========

</TABLE>




See accompanying notes to the consolidated financial statements.


                                     F - 8


<PAGE>


                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

1.   ORGANIZATION AND BASIS OF FINANCIAL STATEMENTS

     On March  23,  1998,  the  Company  changed  its name  from  Heng Fai China
     Industries, Inc. to Powersoft Technologies Inc. (Powersoft).

     Reincorporation Merger

     On  November  10,  1999,  the   shareholders  of  Powersoft   approved  the
     reincorporation  of Powersoft by changing the state of  incorporation  from
     Delaware  to  Colorado  by  adoption  of an  Agreement  and Plan of  Merger
     pursuant  to  which  Powersoft  has  merged  with and  into  Asia  SuperNet
     Corporation (Asia SuperNet),  a Colorado  Corporation.  The shareholders of
     Asia  SuperNet  approved  the  respective  Agreement  and Plan of Merger on
     October 1, 1999 (the Reincorporation  Merger).  The Reincorporation  Merger
     was effective as of December 22, 1999.

     Following the  Reincorporation  Merger,  Powersoft ceased to exist and Asia
     SuperNet  became the  surviving  corporation.  By operation of law, all the
     assets and  liabilities  of Powersoft were vested in Asia SuperNet and Asia
     SuperNet  acquired all of the assets and  liabilities  of  Powersoft.  As a
     result of the  Reincorporation  Merger,  each thirty issued and outstanding
     shares of  Powersoft  common  stock were  converted  into one share of Asia
     SuperNet common stock (See Note 12).

     At December 31, 1999, Asia SuperNet became inactive  following the disposal
     of all of its equity  interests in its  subsidiaries to SAR Trading Limited
     (SAR). (See Note 3). In consideration of the assumption of liabilities,  by
     SAR, the Company  issued  $3,472,722  in the form of  promissory  notes and
     assigned a debt of $1,365,278 to SAR. (See Note 10).

     Prior to the disposal in 1999, the Company and its  subsidiaries  principal
     activity was the operation of a rental property in North Vancouver, British
     Columbia in Canada. See Note 14 for information on the geographic  location
     of the Company's assets.


                                     F - 9


<PAGE>



                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

     The following  identifies the wholly owned subsidiaries which were disposed
     of in the sale of SAR:

<TABLE>
<CAPTION>
                                                             Place of
                                                           Incorporation/
        Name of subsidiary                                 Establishment                Principal activities
        ------------------                                 -------------                --------------------

<S>                                                        <C>                         <C>
Heng Fai China & Asia Industries Limited                     Hong Kong                    Investment holding
Heng Fai China Industries Acquisition Limited                Hong Kong                    Inactive
Heng Fai China Industries Limited                            Hong Kong                    Investment holding
Greatly Hong Kong Limited                                    Hong Kong                    Investment holding
Worldwide Container Company Limited                          Hong Kong                    Investment holding trading
Vancouver Hong Kong Properties Ltd.                          Canada                       Property investment
                                                                                             and management
America & China Business Development Inc.                    Canada                       Inactive
Heng Fai Management Inc.                                     British Virgin               Provision of management
                                                               Islands                       services
</TABLE>

2.   GOING CONCERN AND MANAGEMENT'S PLANS

     These  consolidated  financial  statements  have been prepared on the going
     concern  basis of  accounting  which  assumes the Company  will realize its
     assets and discharge its liabilities in the normal course of business.  The
     Company is currently  operating at a loss and has negative  working capital
     and deficiency of stockhiolders'  capital.  Should the Company be unable to
     continue  as a going  concern it may be  required to realize its assets and
     settle its liabilities at amounts substantially  different from the current
     carrying values.

     The  Company's  ability to continue as a going  concern is dependent on the
     continued financial support of its principal shareholder,  Fai H. Chan, who
     has signed a letter of financial support to the Company to provide adequate
     funds to meet the Company's liabilities as they fall due.

     The Company is currently  developing  a business  plan and intends to focus
     its future  operations  on the  acquisition  of companies  operating in the
     fields of computer technology and the internet,  and telecommunications and
     financial software applications for the securities industry. The Company is
     currently seeking appropriate investment and fundraising opportunities.


                                     F - 10


<PAGE>


                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

3.   ACQUISITIONS, REVERSAL AND DISPOSAL

     On  September  4, 1996,  through a  wholly-owned  subsidiary,  the  Company
     acquired a 70% interest in Wuhan Monkey King Container Co., Ltd. (Wuhan) in
     exchange for 727,272 shares of the Company's restricted common stock. Wuhan
     is a joint venture incorporated in the People's Republic of China (PRC).

     As a result  of the  unsatisfactory  performance  of Wuhan in both 1996 and
     1997, the Company effected an agreement on December 29, 1997 to reverse the
     acquisition  by  returning  a 70%  interest  in Wuhan to redeem the 727,272
     shares of restricted  common stock  previously  issued for the acquisition.
     The 1997 results of Wuhan have been disclosed under discontinued operations
     and the comparative financial statements have been restated accordingly. In
     1998,  the  change in  ownership  in Wuhan  was  approved  by the  relevant
     government authorities in PRC. Revenues from the discontinued operations in
     Wuhan were $2,934,871 in 1997.

     Heng Fai Asia, through its wholly-owned subsidiary, Cangzhou Min You Cement
     Co., Ltd. (the Cangzhou Cement) formed in January 1995 exercised its option
     to enter  into a lease,  for a period of five years  commencing  January 1,
     1995, of a production line at the Hebei Cangzhou City Chemical  Corporation
     Factory (the Cangzhou  Factory).  Cangzhou Cement was entitled to lease the
     production line for five years.

     On December  10, 1997,  the Company  disposed of a 75% and a 6% interest in
     the  Cangzhou   Cement  to  the  Chinese  joint  venture   partner  and  an
     unaffiliated  company for a total  consideration of $8,657. At December 31,
     1997, the Company's  interest in Cangzhou Cement had been reduced from 100%
     to 19% and full provision was made against the remaining cost of investment
     in the Cangzhou Cement. The change in ownership in Cangzhou Cement has been
     approved by the relevant  government  authorities in PRC. Revenues from the
     discontinued operation in Cangzhou Cement were $306,398 in 1997.

     In  January  1997,  the  Company  acquired  from Fai H. Chan,  an  officer,
     director and shareholder of the Company,  100% of the issued ordinary share
     capital of Greatly Hong Kong  Limited  (Greatly HK) in exchange for nominal
     consideration.  Greatly HK had a 25% interest in Hebei  Cherry  Valley Duck
     Ltd. (Duck Farm), a cooperative joint venture  established in the PRC which
     was engaged in the  management  and  operation  of a duck farm in PRC.  The
     investment was wholly financed by an interest free, short-term advance from
     Fai H. Chan.  Other than the  investment  in the Duck Farm and the  advance
     from Fai H. Chan,  Greatly HK had no other material  assets and liabilities
     or operations at the time of acquisition.

                                     F - 11


<PAGE>

                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

     As a result of the unsatisfactory  performance of the Duck Farm, Greatly HK
     effected an  agreement  in December  1997 to dispose of its 25% interest in
     the Duck  Farm.  In 1998,  the  change  in  ownership  in the Duck Farm was
     approved by the relevant  government  authorities in PRC. The share of 1997
     results and the loss on disposal of the Duck Farm have been disclosed under
     discontinued operations.

     On March 3,  1997,  the  Company  acquired  from Fai H. Chan,  an  officer,
     director and shareholder of the Company,  100% of the issued ordinary share
     capital  of  Heng  Fai  China  Industries  Acquisition  Limited  (Heng  Fai
     Acquisition)  in exchange for nominal  consideration.  Heng Fai Acquisition
     had an option to form a cooperative joint venture in the PRC, but otherwise
     had no  material  assets  and  liabilities  or  operations  at the  time of
     acquisition.

     Heng  Fai  Acquisition  had  entered  into  a  conditional  agreement  (the
     Agreement) with an unaffiliated  party in PRC, (the PRC Party) to establish
     a joint  venture,  in  Zhangjiagang  Free Trade  Zone,  PRC.  However,  the
     Agreement was not completed and the  registration  of the joint venture was
     canceled during 1997.

     On January 18, 1999, the Company entered into an agreement with SAR wherein
     SAR agreed to buy and the Company  agreed to sell all of its  interests  in
     all  of  its  subsidiaries.  In  consideration  of  the  assumption  of the
     liabilities  by SAR,  the  Company  issued two notes  payable to SAR in the
     amounts of $1,000,000 and  $3,838,000.  The $1,000,000 note was immediately
     convertible into 20,000,000 common shares of the Company at a fixed rate of
     $0.05 per share (See Note 12).  The  $3,838,000  note is  convertible  into
     shares of common stock of the Company,  in minimum  increments  of $250,000
     each,  at the average 15 day trading  price at the option of the Company by
     giving  seven  trading  days notice in writing to SAR (See Note 10). SAR is
     owned 100% by Fai H. Chan. On June 18, 1999,  the Company  agreed to offset
     the $1,365,278  amount due from a related party against the $3,838,000 note
     payable.  The agreements  were subject to shareholder  approval,  which was
     obtained on November 10, 1999.  The Company  completed the sale on December
     9, 1999.

     The  following  supplemental  schedule  summarizes  the  disposal of equity
     interests in subsidiaries in 1999:

          Net liabilities assumed by buyer                        $  3,305,253
          Promissory notes issued by seller                         (3,472,722)
          Assignment of amount due from a related party             (1,365,278)
                                                                  ------------

          Loss on disposal of subsidiaries                        $  1,532,747
                                                                  ============

     Revenues  from  the  discontinued   operations  of  the  subsidiaries  were
     primarily rental income, of $324,917 in 1999, $312,894 in 1998 and $564,120
     in 1997. Expenses incurred in 1999 were interest expense on short term debt
     of $352,463 and consultancy fees paid to a related party of $250,000.  (See
     Note 9).

                                     F - 12

<PAGE>

                            ASIA SUPERNET CORPORATION
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

4.   SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

     The accompanying  consolidated  financial  statements have been prepared in
     accordance  with  accounting  principles  generally  accepted in the United
     States.  The following  sets forth the  significant  accounting  principles
     utilized in the preparation of the consolidated financial statements:

     Principles of consolidation - The consolidated financial statements of Asia
     SuperNet  include the assets,  liabilities,  revenues  and  expenses of the
     Company and all its subsidiaries.  All material  intercompany  transactions
     and balances have been eliminated.

     Cash and cash equivalents - The Company's cash and cash equivalents include
     cash on hand and  short-term  bank  deposits,  with original  maturities of
     three months or less.

     Investment  securities - The Company had classified  the marketable  equity
     securities  it  held  as  available-for-sale.   Accordingly,   pursuant  to
     Statement of Financial  Accounting  Standard  No. 115 the  securities  were
     measured at fair value, with unrealized gains and losses, net of applicable
     taxes, reported as a separate component of equity.

     Property, plant and equipment - Properties,  plant and equipment are stated
     at cost. Depreciation and amortization is based on the respective estimated
     useful lives as calculated on the following bases:

          Building in Canada          5% declining balance method

          Leasehold land              Amortized over the term of the lease using
                                        the straight line method

          Furniture and equipment     10% to 20% straight line method

     Upon sale or retirement,  the cost and related accumulated  depreciation or
     amortization  are  eliminated  from the accounts and any resulting  gain or
     loss is included in income.

     Foreign  currency  translation  -  Financial  statements  of  international
     subsidiaries  are translated  into U.S.  dollars using the exchange rate at
     each balance sheet date for assets and liabilities  and a weighted  average
     exchange  rate for each period for revenue  and  expenses.  Where the local
     currency is the functional currency,  translation  adjustments are recorded
     as a separate component of shareholders' (deficit) equity.

                                     F - 13


<PAGE>


                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

     Revenue  recognition - Rental income is recognized on a straight-line basis
     over  the  periods  of the  leases.  Investment  income  from  the  sale of
     securities  is  recognized  on  the  transaction  date  when  title  of the
     securities has passed.  Dividend income from investments is recognized when
     shareholders' rights to receive payment have been established.

     Income  taxes  -  Certain  items  are  treated  differently  for  financial
     reporting purposes than for income tax purposes. Pursuant to the provisions
     of Statement of Financial  Accounting  Standards No. 109,  "Accounting  for
     Income Taxes",  deferred tax is provided,  under the liability method,  for
     the resulting temporary differences between the financial reporting and tax
     bases of assets and liabilities, using the currently enacted tax rates.

     Loss per common  share - Basic loss per  common  share has been  calculated
     based upon the net loss  available  to common  shareholders  divided by the
     weighted  average  number of common shares  outstanding  during the period.
     Diluted loss per common  share would not be  different  than basic loss per
     common share due to the fact that  including  the  potential  common shares
     would  result  in  antidilution  as a result  of the loss  from  continuing
     operations.  As a result of the Reincorporation  Merger, all loss per share
     information  included in these consolidated  financial statements have been
     retroactively adjusted.

     Use of estimates - The  preparation  of financial  statements in conformity
     with generally accepted  accounting  principles requires management to make
     estimates and  assumptions  that affect the reported  amounts of assets and
     liabilities,  and the  disclosures of contingent  assets and liabilities at
     the date of the financial statements,  and the reported amounts of revenues
     and expenses during the reporting period.  Actual results could differ from
     these estimates.

     Reclassifications  - Certain prior year amounts have been  reclassified  to
     conform to the current year's presentation.

     Comprehensive  Income - The Company has  adopted  SFAS No. 130,  "Reporting
     Comprehensive Income" which establishes standards for reporting and display
     of  comprehensive   income,   its  components  and  accumulated   balances.
     Comprehensive  income is defined to include  all  charges in equity  except
     those resulting from investments by owners and distributions to owners.


                                     F - 14


<PAGE>

                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

     New  accounting  standards  not yet adopted - In June 1998,  the  Financial
     Accounting   Standards  Board  ("FASB")   issued   Statement  of  Financial
     Accounting   Standards   ("SFAS")  No.  133,   "Accounting  for  Derivative
     Instruments and Hedging Activities." This statement establishes  accounting
     and reporting standards for derivative  instruments.  It requires an entity
     to  recognize  all  derivatives  as  either  assets or  liabilities  in the
     statement  of  financial  position and measure  those  instruments  at fair
     value.  This  statement was effective  for years  beginning  after June 15,
     1999, although early adoption was permitted.  In July 1999, the FASB issued
     Statement  No. 137,  "Accounting  for  Derivative  Instruments  and Hedging
     Activities--Deferral  of the  Effective  Date of FASB  Statement  No. 133,"
     which provides the effective date is for all fiscal  quarters of all fiscal
     years beginning  after June 15, 2000.  Management has not yet completed the
     analysis of the impact of these  statements on the  consolidated  financial
     statements.

5.   AVAILABLE-FOR-SALE SECURITIES

     The cost and  approximate  market value of  investment  securities  were as
     follows as of December 31, 1998:

          Marketable equity securities:               1999              1998
                                                      ----              ----

          Cost                                    $     --        $   3,795,370
          Less:  Gross unrealized losses                --           (3,356,080)
                                                   -----------      -----------

          Estimated fair value                    $     --        $     439,290
                                                   ===========      ===========

          Carrying value                          $     --        $     439,290
                                                   ===========      ===========

     Included in the above  securities  are 48,535,276  shares,  at December 31,
     1998,  representing  3.9% of the outstanding  common stock of Online Credit
     International  Limited,   formerly  Heng  Fung  Holdings  Company  Limited,
     ("Online International").  These securities were acquired in 1997 at a cost
     of  $3,814,612  and had a carrying  value of $439,290 at December 31, 1998.
     Fai H. Chan and Robert H. Trapp,  directors  of Online  International,  are
     also officers,  directors  and/or  shareholders of the Company.  These were
     disposed of in the sale of assets to SAR.


                                     F - 15


<PAGE>

                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

6.  PROPERTY, PLANT AND EQUIPMENT

    Property, plant and equipment consist of the following:

                                                              December 31,
                                                         ---------------------
                                                         1999            1998
                                                         ----            ----

     Buildings                                       $    --        $   639,718
     Leasehold land                                       --            514,334
     Furniture and equipment                             7,984           11,347
                                                      --------      -----------

                                                         7,984        1,165,399
     Less:  Accumulated depreciation and amortization   (4,790         (503,594)
                                                      --------      -----------

                                                     $   3,194      $    661,805
                                                      ========      ============

7.   DEFERRED EXPENDITURE

     During 1998, the unamortized  portion of the amount recorded for the 62,500
     shares of common  stock  issued to a  consultant  pursuant to a  consulting
     agreement  brought  forward from 1997 was fully amortized and recognized as
     consulting fees.

8.   MARGIN LOAN PAYABLE

     A December 31, 1998 margin loan payable was collateralized by the Company's
     investment  securities  with a  carrying  value of  $439,290.  The loan was
     payable  on demand and bore  interest  at the Hong Kong best  lending  rate
     (12.5% at December 31,  1998) plus 3.5% per annum.  In December  1999,  the
     assumption  of the  margin  loan  payable  by SAR  was as a  result  of the
     disposal of subsidiaries (See Notes 1 and 3).

                                     F - 16


<PAGE>

                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

9.   RELATED PARTY TRANSACTIONS

     The Company had the  following  balances  with related  parties,  which are
     interest-free, payable on demand and unsecured unless otherwise stated:

                                                             As of December 31,
                                                             -----------------
                                                             1999         1998
                                                             ----         ----
          Amounts receivable from:
             Parties related to certain directors       $     --      $   15,632
                                                         ==========   ==========

          Amounts payable to:
             Certain directors                           $   40,737   $  901,097
             Parties related to certain directors            32,001      960,119
                                                         ----------   ----------

                                                         $   72,738   $1,861,216
                                                         ==========   ==========

     In  addition  at  December  31,  1998,  the second  mortgage of $77,579 and
     related  interest  payable of  $25,368,  were  payable  to the  Silverstein
     Foundation,  Inc., a Panama  company,  in which Mr. Fai H. Chan's  children
     have  beneficial  ownership  interests.  The related  interest  expense was
     $8,269 in 1998, and $7,774 in 1997.

     On November 1, 1996,  the Company  entered  into a 10 year  consulting  and
     managerial  agreement  with Tight Hold  Investment  Limited (Tight Hold), a
     company  in which Fai H. Chan has a  beneficial  ownership  interest.  This
     agreement was cancelled effective on June 18, 1999 pursuant to an agreement
     entered  into by the  Company  with  Tight  Hold  on  September  28,  1999.
     Consulting  fees paid to Tight Hold during  years ended  December 31, 1999,
     1998 and 1997 were $250,000, $500,000 and $500,000, respectively.

     The Company maintains deposits in accounts at American Pacific Bank and Fai
     H. Chan is an officer and a director of such bank.

10.  PROMISSORY NOTES PAYABLE TO A RELATED PARTY

     Two promissory  notes in the amounts of $1,000,000  (Promissory Note I) and
     $2,472,722  (Promissory Note II) totaling  $3,472,722 were issued to SAR (a
     company 100% owned by Mr. Fai H. Chan) on December 9, 1999 in consideration
     for the assumption of liabilities,  on the disposal of all the subsidiaries
     of the Company.


                                     F - 17


<PAGE>

                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)


     On December 28, 1999,  Promissory  Note I was converted into 666,667 shares
     of the Company stock.

     Promissory  Note II is  non-interest  bearing and can be converted into the
     Company's common stock at minimum  increments of $250,000,  by giving seven
     trading  days prior  written  notice to SAR,  at the fifteen  days  trading
     average price (See Notes 1 and 3).

11.  MORTGAGE LOANS PAYABLE

                                                         As of December 31,
                                                        -------------------
                                                         1999         1998
                                                         ----         ----
    First mortgage, principal due monthly through
       June 15, 2003 with fixed interest at 6.70%     $    --     $ 741,857

    Second mortgage, principal payable on demand
       with interest at Canadian prime (6.00% as at
       December 31, 1998) plus 4%                          --        77,579
                                                      ---------   ---------

                                                           --       819,436
    Less:  current portion                                 --      (109,159)
                                                      ---------   ---------

                                                      $    --     $ 710,277
                                                      =========   =========

     The  Company  had  pledged  property  with a net book value of  $652,560 at
     December  31, 1998 to secure the  mortgage  loans.  In December  1999,  the
     assumption  of the mortgage  loans  payable was a result of the disposal of
     subsidiaries (See Notes 1 and 3).

12.  CAPITAL STOCK

     During the three years ended  December 31, 1999 there were several  changes
     of the Company's capital as set forth below:

     In 1997,
     (a)  The  Company  issued  1,700,000  shares  of  common  stock to  related
          parties,  principally  officers  and  directors,  at $0.60  per  share
          pursuant to private placements for proceeds of $1,020,000.

     (b)  The Company issued  2,500,000 shares of common stock to an officer and
          director  at $0.24  per share  pursuant  to a  private  placement  for
          proceeds of $600,000.

                                     F - 18


<PAGE>

                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

     (c)  The Company  issued  100,000 shares of common stock at $1.00 per share
          pursuant to a  consulting  agreement  entered  into with a  previously
          unaffiliated  party which  performs  various  investor  relations  and
          financial advisory services.

     (d)  the  Company  redeemed  727,272  shares of  common  stock at $1.375 to
          reverse the purchase of a 70% interest in a subsidiary (See Note 3).

     There were no transactions in the Company's capital during 1998.

     In 1999,
     (a)  13,700,000   shares  of  common  stock  of  the  Company  were  issued
          erroneously  to SAR in exchange  for a portion of the debt that was to
          be issued  pursuant to the agreements  with SAR. As the agreements had
          not yet been approved by the Company's  shareholders,  the  13,700,000
          shares of common stock were cancelled.

     (b)  The  Warrants  carried  forward  from a  prior  year  to  purchase  an
          aggregate of 296,443  shares of common stock,  at an exercise price of
          $3.20 per share lapsed.  No warrants  were issued or exercised  during
          1999.

     (c)  Pursuant to Reincorporation Merger Agreement which was effective as of
          December 22, 1999, each thirty  outstanding shares of Powersoft common
          stock were  automatically  converted  into one share of Asia  SuperNet
          common stock (See Note 1).

     (d)  On December 9, 1999, the $1,000,000  promissory note issued to SAR was
          converted into 20,000,000  shares of Powersoft common stock at a fixed
          rate  of  $0.05  per   share   (See  Note  1).  As  a  result  of  the
          Reincorporation  Merger,  these  shares were  converted  into  666,667
          shares of common  stock of Asia  SuperNet at the  conversion  ratio of
          thirty shares to one share.

     (e)  On December  22,  1999,  15,559,542  outstanding  shares of  Powersoft
          common  stock were  converted  into  522,338  shares of Asia  SuperNet
          common stock. The number of shares converted into Asia SuperNet common
          stock were rounded up to the next whole share of Asia SuperNet  common
          stock. All loss per share information has been retroactively  adjusted
          to reflect this effect.

     (f)  Unrealized loss on securities  available-for-sale and foreign exchange
          translation   adjustment  amounted  to  $3,356,080  and  $18,417  were
          included in the  calculation  of the loss on disposal of  discontinued
          operations. (See Note 3).

                                     F - 19


<PAGE>

                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

13.  INCOME TAXES

     At  December  1999,  the  Company  had  aggregate  loss   carryforwards  of
     approximately  $4.3  million,   which  consist  of  a  net  operating  loss
     carryforwards  ("NOLs") of  approximately  $2.8  million  and capital  loss
     carryforwards   of  $1.5  million,   with  a  net  deferred  tax  asset  of
     approximately $1.5 million.  These NOLs are expected to expire between 2003
     to 2015.

     In  assessing  the   realizability  of  deferred  tax  assets,   management
     considered  whether it is more likely than not that the  deferred tax asset
     would be realized.  The ultimate  realization  of the deferred tax asset is
     dependent on the generation of future taxable income in the period in which
     the temporary differences become deductible.  The Company has established a
     valuation allowance for deferred taxes due to the uncertainty that the full
     amount of the  deferred  tax asset will be  utilized.  In  determining  the
     valuation allowance,  management  considered factors including the reversal
     of existing temporary differences and estimates of future taxable income.

     The Company has established a valuation  allowance for the entire amount of
     these losses. There were no other material temporary differences.

     The Company has not filed corporate income tax returns in the United States
     for the  periods  ended June 30,  1996,  June 30,  1997,  June 30, 1998 and
     December 31, 1998.  The return for the year ended  December 31, 1999 has an
     extended  due date of October 15,  2000.  The returns are in the process of
     being completed and will be filed as soon as possible. The Company does not
     anticipate significant penalties, taxes or interest.

14.  SEGMENT INFORMATION

     At December 31, 1999, the Company has only one operating  segment.  Revenue
     is comprised  mainly of interest  income derived from deposits in financial
     institutions  in North  America.  The  operating  loss  represents  general
     corporate expenses whereas  identifiable  assets held at year end represent
     corporate assets.

15.  ESTIMATED FAIR VALUE OF FINANCIAL INSTRUMENTS

     The estimated fair value amounts have been determined by the Company, using
     available  market  information  and  appropriate  valuation  methodologies.
     However,  considerable  judgment is  necessarily  required in  interpreting
     market data to develop estimates of fair value. Accordingly,  the estimates
     presented  herein are not  necessarily  indicative  of the amounts that the
     Company could realize in a current market exchange.

                                     F - 20


<PAGE>


                           ASIA SUPERNET CORPORATION.
                 (Formerly known as Powersoft Technologies Inc.)
                 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
                             (United States Dollars)

     The carrying amounts of cash and cash equivalents,  short-term  borrowings,
     current  portion  of  mortgage  loans  payable,  margin  loan  payable  and
     promissory  notes payable to a related  party are a reasonable  estimate of
     their fair value due to the short  maturity  of the  instruments.  The fair
     value for the  available-for-sale  securities is based  primarily on quoted
     market prices and such securities are carried at fair value.

16.  COMMITMENTS AND CONTINGENCIES

     On February 12,  1999,  the Company  entered into a Technology  License and
     Services Agreement (the "Agreement") with Cyber Construction  Company, Inc.
     ("Cyber").  Cyber has developed and continues to develop  certain  software
     applications, methods, operating procedures, Internet infrastructure design
     and Internet site template development (collectively the "Technology"). The
     Agreement  grants  a  nontransferable  license  to the  Company  to use and
     execute this Technology  developed by Cyber,  along with related  services,
     for the Company's  customers.  The Company  agrees to grant and transfer to
     Cyber, as a consideration  of the license and related  services,  preferred
     stock with a face value of $10 million, as part of an issuance of up to $50
     million of its  preferred  shares.  The  Company  has agreed  that upon the
     sooner of (i) the licensing or  acquisition of  technologies  utilizing the
     $50 million  proceeds from the sale of preferred  shares;  or (ii) February
     13, 2001,  the Company will  endeavor to meet the listing  requirements  of
     Nasdaq  for the  registration  for the  preferred  stock.  The  transaction
     contemplated   by  the   Agreement  has  not  yet  been   consummated   and
     consequently, has not yet been recorded.








                                     F - 21


<PAGE>


                                  EXHIBIT INDEX

Exhibit No.                 Description
----------                  -----------
3.1(a)         Certificate  of   Incorporation   of   registrant,   as  amended,
               incorporated  by  reference  from  Form  10-K for the year  ended
               December 31, 1996.

3.1(b)         Agreement  and  Plan  of  Merger,  as  amended,  incorporated  by
               reference  from the Company's  Annual Report on Form 10-K for the
               Year ended December 31, 1996.

3.2            Bylaws of registrant, as amended,  incorporated by reference from
               the  Company's  Annual  Report  on Form  10K for the  year  ended
               December 31, 1996.

10.1           Wuhan Container Acquisition  Agreement  incorporated by reference
               to Exhibit 2 of the registrant's Current Report on Form 8-K filed
               with the SEC on September 20, 1996, as amended.


10.2           Consulting  Agreement  between  registrant  and  Thomas E.  Waite
               incorporated by reference to Exhibit 4.1 of the registrant's Form
               S-8 filed with the SEC on March 20, 1997.

10.3           Consulting and Management  Agreement between Heng Fai Management,
               Inc. and Tight Hold  Investment  Limited  dated  November 4, 1996
               incorporated  by reference  from the  Company's  Annual Report on
               Form 10-K for the year ended December 31, 1996.

10.4           Agreement  between the Company  and SAR  Trading  Limited,  dated
               January 18, 1999,  incorporated  by reference  from the Company's
               Annual  Report  on Form  10-K,  as  amended,  for the year  ended
               December 31, 1998.

10.5           Agreement  between the Company and Cyber  Construction Co., dated
               February 12, 1999,  incorporated  by reference from the Company's
               Annual  Report  on Form  10-K,  as  amended,  for the year  ended
               December 31, 1998.

10.6           Assignment Agreement between the Company, SAR Trading Limited and
               Mr. Fai H. Chan,  dated June 18, 1999,  incorporated by reference
               from the Company's  Annual  Report on Form 10-K, as amended,  for
               the year ended December 31, 1998.

10.7           Agreement to Cancel  Consulting And Management  Agreement between
               the Company and Tight Hold  Investment  Limited,  dated September
               28, 1999,  incorporated  by reference  from the Company's  Annual
               Report on Form 10-K, as amended,  for the year ended December 31,
               1998.

10.8           Amendment  to Asset Sale  Agreement  between  the Company and SAR
               Trading Limited,  dated June 18, 1999,  incorporated by reference
               from the Company's  Annual  Report on Form 10-K, as amended,  for
               the year ended December 31, 1998.

10.9           Letter of Financial Support.

27             Financial Data Schedule.