**UNITED
      STATES**


**SECURITIES
      AND EXCHANGE COMMISSION**


**Washington,
      D.C. 20549**




**FORM
      10-KSB**




(Mark
      One)


**x**
            **ANNUAL
                REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
                1934**




**For
      the fiscal year ended December 31, 2006**




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




**For
      the transition period from ___________ to ___________**




**Commission
      file number** **333-130937**




**GUANGZHOU
      GLOBAL TELECOM, INC.**


(Exact
      name of registrant as specified in its charter)





**Room
      1802, North Tower, Suntec Plaza,**


**No.
      197 Guangzhou Avenue North**


**Guangzhou,
      PRC 510075**


**(44)
      1207-245-6131**


(Address
      and Telephone Number of Registrant’s Principal


Executive
      Offices and Principal Place of Business)








**Florida**
            **59-3565377**(State
                or other jurisdiction of incorporation or organization)
            (I.R.S.
                Employer Identification No.)**Room
                1802, North Tower, Suntec Plaza,**
              **No.
                197 Guangzhou Avenue North**
              **Guangzhou,
                PRC**
            **510075**(Address
                of principal executive offices)
            (Zip
                Code)Registrant’s
                telephone number, including area code:
            **(44)
                1207-245-6131**Securities
                registered under Section 12(b) of the Exchange Act:Title
                of each class
            Name
                of each exchange on which registered**None**
            **None**Securities
                registered under Section 12(g) of the Exchange Act:**Common
                Stock, par value $.001**(Title
                of class)




Check
      whether the issuer (1) filed all reports required to be filed by Section 13
      or
      15(d) of the Exchange Act 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 o




Check
      if
      there is no disclosure of delinquent filers in response to Item 405 of
      Regulation S-B contained in this form, and no disclosure will 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-KSB or any
      amendment to this Form 10-KSB. o




Indicate
      by check mark whether the registrant is a shell company (as defined in Rule
      12b-2 of the Exchange Act). Yes o No x





State
      issuer’s revenues for its most recent fiscal year. $19,378




Aggregate
        market
        value of the common stock held by non-affiliates of the Company as of April
        16,
        2007: $0




Number
        of shares of
        the registrant’s common stock outstanding as of April 16, 2007: 53,090,000
        shares of Common Stock.














**TABLE
      OF CONTENTS**








**Part
                I**Item
                1.
            Description
                of Business.
            1Item
                2.
            Description
                of Property.
            3Item
                3.
            Legal
                Proceedings.
            3Item
                4.
            Submission
                of Matters to a Vote of Security Holders.
            3**Part
                II**
            
            3Item
                5.
            Market
                for Common Equity and Related Stockholder Matters.
            3Item
                6.
            Management’s
                Discussion and Analysis or Plan of Operations.
            4Item
                7.
            Financial
                Statements.
            7Item
                8.
            Changes
                in and Disagreements With Accountants on Accounting and Financial
                Disclosure.
            8Item
                8A.
            Controls
                and Procedures.
            8Item
                8B.
            Other
                Information.
            8**Part
                III**
            
            8Item
                9.
            Directors,
                Executive Officers, Promoters and Control Persons; Compliance with
                Section
                16(a) of the Exchange Act.
            8Item
                10.
            Executive
                Compensation.
            10Item
                11.
            Security
                Ownership of Certain Beneficial Owners and Management and Related
                Stockholder Matters.
            11Item
                12.
            Certain
                Relationships and Related Transactions.
            12Item
                13.
            Exhibits.
            12Item
                14.
            Principal
                Accountant Fees and Services.
            12**Signatures**
            
            13











*Except
      as otherwise required by the context, all references in this prospectus to
      "we",
      "us”, "our", “BMSTA”, or "Company" refer to the consolidated operations of
      Camelot Entertainment Group Inc., a Delaware corporation, and its wholly owned
      subsidiaries.*




**Forward-Looking
      Statements and Associated Risks**






*The
      Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for
      certain forward-looking statements. Some of the statements contained in this
      annual report of Edulink discuss future expectations, contain projections
      of our operations or financial condition or state other forward-looking
      information. Some statements contained in this annual report on Form 10-K that
      are not historical facts (including without limitation statements to the effect
      that we "believe," "expect," "anticipate," "plan," "intend," "foresee," or
      other
      similar expressions) and are forward-looking statements. These forward-looking
      statements are based on our current expectations and beliefs concerning future
      developments and their potential effects on us. There can be no assurance that
      future developments affecting us will be those anticipated by us. All comments
      concerning our expectations for future revenue and operating results are based
      on our forecasts of our plan of operation and do not include the potential
      impact of any future acquisitions or operations. These forward-looking
      statements involve significant risks and uncertainties (some of which are beyond
      our control) and assumptions. Should one or more of these risks or uncertainties
      materialize, or should any of our assumptions prove incorrect, actual results
      may vary in material respects from those projected in the forward-looking
      statements.*




**PART
      I**




**Item
      1.**  **Description
      of Business.**




**General**





We
      were
      incorporated as Avalon Development Enterprises, Inc. on March 29, 1999, under
      the laws of the State of Florida. From inception through December 31, 2006,
      we
      engaged in the acquisition of commercial property and have expanded into
      building cleaning, maintenance services, and equipment leasing as supporting
      ancillary services and sources of revenue.




As
      of
      December 31, 2006, our primary focus was the acquisition of small commercial
      buildings that range in size from 2,500 square feet to 3,000 square feet. The
      buildings we sought were those located in high traffic and exposure areas that
      house, or will house, professionals such as doctors, lawyers, real estate and
      accounting firms. Additionally we intended to offer building cleaning,
      maintenance services, and equipment leasing as ancillary services to increase
      our cash flow. We intended to target the Tampa Bay area as our market for
      property acquisition and services. Properties that we acquired we planned to
      lease and to hold for a 9-10% and greater return. This would allow for the
      appreciation of the property for future value and in the event that the Board
      of
      Directors determined that a building had substantially appreciated, it could
      be
      sold for a profit, or refinanced to provide funds to Avalon for additional
      property acquisition and expansion.




The
      primary delivery of our services was through our home office location at the
      time in St. Petersburg, Florida. Our former President had the primary
      responsibility of locating appropriate acquisition targets. We chose to limit
      our target market to Tampa Bay, Florida because of the twenty years of practice
      as a Certified Public Accountant in Tampa Bay by our former President.




We
      had
      planned to expand and grow in the commercial real estate acquisition and leasing
      arena. In Florida, due to the hurricane damage of recent years, the costs and
      availability of raw materials and supplies increased materially. Potential
      dependence on these raw materials for renovations, which would be needed on
      some
      commercial real estate acquisitions, would likely be a concern for us. We
      believed that our President’s contacts with contractors, due to his experience
      in the real estate arena, would assist in addressing this challenge. However,
      we
      were not successful in our business operations.




**Patent
      and Trademarks**




As
      of
      December 31, 2006, we did not own or have any domain names, patents, trademarks,
      licenses (other than the usual business license), franchises, concessions,
      royalty agreements or labor contracts.




**Government
      Regulation**




As
      a real
      estate acquisition company, we were subject to a limited variety of local,
      state, and federal regulations. While we believed that our operations had been
      in compliance with all applicable regulations, there can be no assurances that
      from time to time unintentional violations of such regulations will not occur.
      We are subject to federal, state and local laws and regulations applied to
      businesses, such as payroll taxes on the state and federal levels. In general,
      our services and activities are subject to local business licensing
      requirements.






1






**Competition**




In
      order
      to compete effectively in commercial property acquisitions, a company must
      understand the current value of the property, its future appreciative value
      and
      be able to analyze the cash flow to be generated from the leasing of office
      space. The commercial building space leasing market, as a whole, is
      characterized by intense competition with a large number of companies offering
      or seeking to lease space that will compete with what we offer. It was our
      belief, based upon Mr. Godel’s experience, that the failure rate of small
      businesses indicates that far too many entrepreneurs begin operations prior
      to
      having the skills and knowledge necessary for the day-to-day business operations
      as well as the necessary capital. As a result, we attempted to develop our
      approach to acquiring small commercial buildings and offer building cleaning,
      maintenance services, and equipment leasing as ancillary services to increase
      our cash flow.




Many
      of
      our competitors had greater financial resources than we had, enabling them
      to
      finance acquisition and development opportunities or develop and support their
      own operations. In addition, many of these companies could offer bundled,
      value-added, or additional services not provided by us. Many may also have
      greater name recognition. Our competitors have the luxury of sacrificing
      profitability in order to capture a greater portion of the market for business
      consulting activities. They also may be in a position to pay higher prices
      than
      we would for the same expansion and development opportunities. Consequently,
      we
      encountered significant competition in our efforts to achieve our internal
      and
      external growth objectives. Our competitors have methods of operation that
      have
      been proven over time to be successful.




We
      had
      planned to expand and grow in the commercial real estate acquisition and leasing
      arena. In Florida, due to the hurricane damage of recent years, the costs and
      availability of raw materials and supplies increased materially. Potential
      dependence on these raw materials for renovations, which would be needed on
      some
      commercial real estate acquisitions, would likely be a concern for the Company.
      We believed that our President’s contacts with contractors, due to his
      experience as a CPA and in the real estate arena, would assist in addressing
      this challenge.




We
      did
      not have to rely on any one or a limited number of customers for our business.
      We expected to increase our customer base once our business plan is implemented.
      While our target markets are limited, we had to rely on just a few commercial
      buildings while we were developing our markets.




**Employees**




As
      of
      December 31, 2006, we had no key employees, other than Charles P. Godels our
      President/Director and Madanna Yovino, our Treasurer/Director. Neither Ms.
      Yavino nor Mr. Godels received pay or other stock benefits for their
      performance. There were also no key consulting contracts with any individuals
      or
      companies at this time. We did not believe that there was a critical need for
      a
      specific type of candidate we would use in our business. We had no material
      written or oral agreements with any parties that we considered to be key
      contacts.




**Subsequent
      Event**





On
      January 10, 2007, we entered into a Share Exchange Agreement (“the Agreement”)
      with Global Telecom Holdings, Ltd., a British Virgin Islands Corporation,
      (“GTHL”), and the shareholders of GTHL, (“the Shareholders”) under which the
      Company. ** On
      March
      27, 2007 (the “Effective Date”), the Merger described in Item 1.01 was completed
      (the “Closing”). After the Closing, we had outstanding 52,890,000 shares of
      Common Stock, and as a result of the Merger, GTHL became our wholly owned
      subsidiary. Upon the completion of the Merger, we changed our name to Guangzhou
      Global Telecom Holdings, Inc. and succeeded to the business of GTHL and we
      have
      moved our principal executive offices to those of Guangzhou Global Telecom
      Limited Company, Room 1802, North Tower, Suntec Plaza, No. 197 Guangzhou Avenue
      North, Guangzhou, PRC 510075.





We
      are
      now a nationally integrated mobile phone handset and pre-paid calling card
      distributor and provider of mobile handset value-added services. Future products
      and services include the GTL Lineless Messaging Service and retail sales and
      customer service operations. We are an independent qualified corporation that
      serves as a principle distribution agent for China Telecom, China Unicom, and
      China Mobile. We also maintain and operate the largest prepaid mobile phone
      card
      sales and distribution center in Guangdong Province and maintain cooperative
      distribution relationships with VK, Panasonic, Motorola, LG, GE and Bird
      corporations, among others.





Development
      activities are a fundamental building block to our future financial success.
      We
      will devote significant resources to identifying and developing new software
      and
      value-added services through an expanded network of regional and neighborhood
      service centers, shops and via a virtual store. We plan to continue our
      distribution operations and to introduce current products and new and innovative
      software and services through an expanded network of regional and neighborhood
      retail service centers and shops. This new sales channel will allow us to sell
      direct to the consumer and to cross-sell additional value-added services and
      add-on products. We anticipate building strong customer relationships in the
      local communities that are served in order to take advantage of future sales
      from existing loyal customers and through word of mouth advertisement. Selling
      products and value-added services via a retail presence allows us to become
      part
      of the community and to enter into exclusive contracts directly with the
      individual consumer.







2





In
      addition to existing hardware distribution and sales partnerships, we are
      expanding our services, building a retail presence and developing e-commerce
      business units in order to build and maintain a high-quality brand and service
      reputation. We currently serve as a nationally integrated mobile phone handset
      and pre-paid calling card distributor and provider of mobile handset value-added
      services. Future products and services include Lineless Messaging Service
      (“LMS”) and retail sales and customer service operations.





We
      currently earn approximately USD $13 million in annual sales. As a handset
      and
      pre-paid calling card distributor, GTL faces significant competition from other
      vertically integrated product and service providers. In order to compete, GTL
      plans to continue its distribution operations and to introduce current products
      and new and innovative software and services through an expanded network of
      regional and neighborhood retail service centers and shops. This new sales
      channel will allow us to sell direct to the consumer and to cross-sell
      additional value-added services and add-on products. We anticipate building
      strong customer relationships in the local communities that are served in order
      to take advantage of future sales from existing loyal customers and through
      word
      of mouth advertisement. Selling products and value-added services via a retail
      presence allows the Company to become a part of the community and to enter
      into
      exclusive contracts directly with the individual consumer.





Our
      fundamental operating cycle will change over the next 20-30 months as a growing
      percentage of revenue is derived from web delivered software and associated
      service and product support. Revenue from current operations, as well as new
      investment, will fund the expansion of software design and development functions
      within the company responsible for the design, deployment, quality assurance,
      and consumer support of LMS TM and
      associated services.





**Item
      2.**  **Description
      of Property.**




As
      of
      December 31, 2006, our principal offices were located at 5113 Central Avenue,
      St. Petersburg, Florida, 33710. We
      sub-rent space on a month to month basis from Godels Solomon Barber &
Company, L.L.C.  Our former President, Charles P. Godels, is the managing
      partner of Godels Solomon Barber & Company, L.L.C. and is a fifty
      percent (50%) owner.  We paid $300.00 per month for rent.





As
      a
      result of the merger, we have changed the name of the Company to GuangZhou
      Global Telecom, Inc. to better reflect the Company’s new business plan, and we
      have moved our principal executive offices to those of Guangzhou Global Telecom
      Limited Company, Room 1802, North Tower, Suntec Plaza, No. 197 Guangzhou Avenue
      North, Guangzhou, PRC 510075.





**Item
      3.**  **Legal
      Proceedings.**





We
      are
      not currently a party to any legal proceedings nor are any contemplated by
      us at
      this time.





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




None.




**PART
      II**




**Item
      5.**  **Market
      for Common Equity and Related Stockholder Matters.**




**Market
      Information**





The
      Company is eligible to participate in the over-the-counter securities market
      through the National Association of Securities Dealers Automated Quotation
      Bulletin Board System, under the trading symbol "GZGT"   The Company’s
      shares of Common Stock have not been traded on the over-the-counter securities
      market since it has become eligible on October 6, 2006.  Consequently,
      there is no information available on share price, bid quotes or ask quotes
      for
      the period ended December 31, 2006.





**Holders**





As
      of
      December 31, 2006, in accordance with our transfer agent records, we had 46
      recordholders of our 1,494,000 shares of Common Stock.





3


**Dividends**





Holders
      of our common stock are entitled to receive dividends if, as and when declared
      by the Board of Directors out of funds legally available therefore. We have
      never declared or paid any dividends on our common stock. We intend to retain
      any future earnings for use in the operation and expansion of our business.
      Consequently, we do not anticipate paying any cash dividends on our common
      stock
      to our stockholders for the foreseeable future.





**Recent
      Sales of Unregistered Securities**





None .





**Item
      6.**  **Management’s
      Discussion and Analysis or Plan of Operations.**





*The
      following discussion contains forward-looking statements within the meaning
      of
      Section 27A of the Securities Act of 1933 and Section 21E of the Securities
      Exchange Act of 1934 relating to future events or our future performance. Actual
      results may materially differ from those projected in the forward-looking
      statements as a result of certain risks and uncertainties set forth in this
      prospectus. Although management believes that the assumptions made and
      expectations reflected in the forward-looking statements are reasonable, there
      is no assurance that the underlying assumptions will, in fact, prove to be
      correct or that actual results will not be different from expectations expressed
      in this report.*




**Plan
      of Operations**







As
      of
      December 31, 2006, we were in the business of acquiring commercial and/or retail
      office space that will target professionals in need of space. Our President,
      Charles P. Godels, consulted with numerous of his clients on financial terms
      for
      acquisitions of property and assisted his clients in coordinating activities
      with real estate brokers on the leasing of space.  We believed that his
      planning and development of triple net leases, (leases where the lessee pays
      rent as well as all taxes, insurance and maintenance), coordinating with real
      estate brokers allowed him to gain some experience that would be valuable to
      our
      operations.  We had planned to limit our purchases to buildings located in
      the general Tampa Bay area initially. We planned to expand our search statewide
      should we sell our offering completely and if there are appropriate buildings
      available. We will seek properties primarily for income. There was no
      restriction on the percentage of assets which may be invested in any one
      investment, or type of investment.




The
      Company was not successful in operating this business. On January 10, 2007,
      we
      entered into a Share Exchange Agreement (“the Agreement”) with Global Telecom
      Holdings, Ltd., a British Virgin Islands Corporation, (“GTHL”), and the
      shareholders of GTHL, (“the Shareholders”) under which the Company. ** On
      March
      27, 2007 (the “Effective Date”), the Merger described in Item 1.01 was completed
      (the “Closing”). After the Closing, we had outstanding 52,890,000 shares of
      Common Stock, and as a result of the Merger, GTHL became our wholly owned
      subsidiary. Upon the completion of the Merger, we changed our name to Guangzhou
      Global Telecom Holdings, Inc. and succeeded to the business of GTHL, which
      will
      be continued as our sole line of business.





We
      are
      now a nationally integrated mobile phone handset and pre-paid calling card
      distributor and provider of mobile handset value-added services. Future products
      and services include the GTL Lineless Messaging Service and retail sales and
      customer service operations. We are an independent qualified corporation that
      serves as a principle distribution agent for China Telecom, China Unicom, and
      China Mobile. We also maintain and operate the largest prepaid mobile phone
      card
      sales and distribution center in Guangdong Province and maintain cooperative
      distribution relationships with VK, Panasonic, Motorola, LG, GE and Bird
      corporations, among others.





During
      the next twelve months, we expect to take the following steps in connection
      with
      the development of our business and the implementation of our plan of
      operations:





In
      addition to existing hardware distribution and sales partnerships, in the coming
      months, we will focus on expanding our services, building a retail presence
      and
      developing e-commerce business units in order to build and maintain a
      high-quality brand and service reputation. We currently serve as a nationally
      integrated mobile phone handset and pre-paid calling card distributor and
      provider of mobile handset value-added services. Future products and services
      include Lineless Messaging Service (“LMS”) and retail sales and customer service
      operations.





We
      plan
      to focus our operations in the coming months on development activities, as
      they
      are a fundamental building block to our future financial success. More
      specifically, we will devote significant resources to identifying and developing
      new software and value-added services through an expanded network of regional
      and neighborhood service centers, shops and via a virtual store. We also plan
      to
      continue our distribution operations and to introduce current products and
      new
      and innovative software and services through an expanded network of regional
      and
      neighborhood retail service centers and shops. This new sales channel will
      allow
      us to sell direct to the consumer and to cross-sell additional value-added
      services and add-on products.


4


We
      anticipate building strong customer relationships in the local communities
      that
      are served in order to take advantage of future sales from existing loyal
      customers and through word of mouth advertisement.





We
      also
      plan to use our relationships within the distribution network to develop and
      offer value-added services and connected mobile handset services. After entry
      into a region, we will consult strategies used by existing and successful
      operations such as Virgin’s entry into England and America. GTL will penetrate
      the market in key cities and regions such as Beijing, Shanghai and Wuhan first.
      GTL aims to become the handset service distributor of China Mobile or China
      Unicom, by segmenting the market (for example, developing special communicated
      brands for young women) and through a demographically segmented, distributed
      cost model. Using resources from partners higher in the value chain and close
      agreements with other services, we will realize maximal profit via bundling
      communication, handset and value-added services within the networks.





We
      are
      also seeking a capital investment partner to fund expansion of our sales,
      distribution, and post-sale customer support in addition to the development
      of
      new business units and operations





**Results
      of Operations for the Twelve Months Ended December 31, 2006 Compared to the
      Twelve Months Ended December 31, 2005**




Revenue
      decreased from $22,346 for the twelve months ended December 31, 2005 to $19,378
      for the twelve months ended December 31, 2006 a decrease of $2,968.




General
      and administrative expenses for the twelve months ended December 31, 2006
      decreased to $28,530 from $30,854 for the twelve months ended December 31,
      2005,
      representing an increase of $2,324.





**Liquidity
      and Capital Resources**




As
      of
      December 31, 2006 we had $107 in cash. A substantial amount of cash would be
      required in order to proceed with operations over the next twelve months. We
      intended to seek advice from investment professionals on how to obtain
      additional capital and believed that by being a public entity we would be more
      attractive to the sources of capital. In addition, we would need to raise
      additional capital to continue our operations past 12 months, and there was
      no
      assurance we would be successful in raising the needed capital.





We
      believed that we could not satisfy our cash requirements for the following
      twelve months with our current cash and expected revenues from our operations.
      However, management had planned to increase revenue and obtain additional
      financing in order to sustain operations for at least the next twelve months.
      Completion of our plan of operation was subject to attaining adequate revenue.
      We could not assure investors that adequate revenues would be generated. In
      the
      absence of our projected revenues, we were unable to proceed with our plan
      of
      operations.





In
      the
      event we were not successful in reaching our initial revenue targets, additional
      funds would have been required, and we would then not be able to proceed with
      our business plan for the development and marketing of our core services. Should
      this occur, we would likely seek additional financing to support the continued
      operation of our business. We anticipate that depending on market conditions
      and
      our plan of operations, we would incur operating losses in the foreseeable
      future. We based this expectation, in part, on the fact that we might not be
      able to generate enough gross profit from our consulting services to cover
      our
      operating expenses. Consequently, there was substantial doubt about the
      Company’s ability to continue to operate as a going concern.




We
      are
      currently completing a financing with Zenith Capital Management LLC (“Zenith”)
      following the Merger. The Company shall issue 200,000 shares of Common Stock
      to
      Zenith at a purchase price of Two dollars and Fifty Cents ($2.50) per Share
      for
      an aggregate value of $500,000 to be purchased. The initial payment of $100,000
      for the purchase of 40,000 shares was paid immediately upon execution of the
      Agreement. The second payment of $400,000 for the additional 160,000 shares
      shall be paid by the end of April 2007.





**Critical
      Accounting Pronouncements**





Guangzhou
      Global Telecom Inc.’s financial statements and related public financial
      information are based on the application of accounting principles generally
      accepted in the United States (“GAAP”). GAAP requires the use of estimates;
      assumptions, judgments and subjective interpretations of accounting principles
      that have an impact on the assets, liabilities, revenue and expense amounts
      reported. These estimates can also affect supplemental information contained
      in
      our external disclosures including information regarding contingencies, risk
      and
      financial condition. We believe our use if estimates and underlying accounting
      assumptions adhere to GAAP and are consistently and conservatively applied.
      We
      base our estimates on historical experience and on various other assumptions
      that we believe to be reasonable under the circumstances. Actual results may
      differ materially from these estimates under different assumptions or
      conditions. We continue to monitor significant estimates made during the
      preparation of our financial statements.






5




Our
      significant accounting policies are summarized in Note 1 of our financial
      statements. While all these significant accounting policies impact its financial
      condition and results of operations, Equity Ventures views certain of these
      policies as critical. Policies determined to be critical are those policies
      that
      have the most significant impact on Equity Ventures’ consolidated financial
      statements and require management to use a greater degree of judgment and
      estimates. Actual results may differ from those estimates. Our management
      believes that given current facts and circumstances, it is unlikely that
      applying any other reasonable judgments or estimate methodologies would cause
      effect on our consolidated results of operations, financial position or
      liquidity for the periods presented in this report.





**Recent
      Accounting Pronouncements**





In
      May
      2005, the Financial Accounting Standards Board (FASB) issued SFAS No. 154,
      "Accounting Changes and Error Corrections" (SFAS 154), which replaces Accounting
      Principles Board (APB) Opinion No. 20, "Accounting Changes," and SFAS No. 3,
      "Reporting Accounting Changes in Interim Financial Statements - An Amendment
      of
      APB Opinion No. 28." SFAS 154 provides guidance on the accounting for and
      reporting of accounting changes and error corrections, and it establishes
      retrospective application, or the latest practicable date, as the required
      method for reporting a change in accounting principle and the reporting of
      a
      correction of an error. SFAS 154 is effective for accounting changes and
      corrections of errors made in fiscal years beginning after December 15, 2005.
      The Company adopted SFAS 154 in the first quarter of fiscal year 2007 and does
      not expect it to have a material impact on its consolidated results of
      operations and financial condition.





In
      February 2006, the FASB issued SFAS No. 155, "Accounting for Certain Hybrid
      Financial Instruments-an amendment of FASB Statements No. 133 and 140", to
      simplify and make more consistent the accounting for certain financial
      instruments. SFAS No. 155 amends SFAS No. 133, "Accounting for Derivative
      Instruments and Hedging Activities", to permit fair value re-measurement for
      any
      hybrid financial instrument with an embedded derivative that otherwise would
      require bifurcation, provided that the whole instrument is accounted for on
      a
      fair value basis. SFAS No. 155 amends SFAS No. 140, "Accounting for the
      Impairment or Disposal of Long-Lived Assets", to allow a qualifying
      special-purpose entity to hold a derivative financial instrument that pertains
      to a beneficial interest other than another derivative financial instrument.
      SFAS No. 155 applies to all financial instruments acquired or issued after
      the
      beginning of an entity's first fiscal year that begins after September 15,
      2006,
      with earlier application allowed. The adoption of this statement is not expected
      to have a material effect on the Company's future reported financial position
      or
      results of operations.





In
      March
      2006, the FASB issued SFAS No. 156, "Accounting for Servicing of Financial
      Assets, an amendment of FASB Statement No. 140, Accounting for Transfers and
      Servicing of Financial Assets and Extinguishments of Liabilities". This
      statement requires all separately recognized servicing assets and servicing
      liabilities be initially measured at fair value, if practicable, and permits
      for
      subsequent measurement using either fair value measurement with changes in
      fair
      value reflected in earnings or the amortization and impairment requirements
      of
      Statement No. 140. The subsequent measurement of separately recognized servicing
      assets and servicing liabilities at fair value eliminates the necessity for
      entities that manage the risks inherent in servicing assets and servicing
      liabilities with derivatives to qualify for hedge accounting treatment and
      eliminates the characterization of declines in fair value as impairments or
      direct write-downs. SFAS No. 156 is effective for an entity's first fiscal
      year
      beginning after September 15, 2006. The adoption of this statement is not
      expected to have a material effect on the Company's future reported financial
      position or results of operations.





In
      June
      2006, the FASB issued FASB Interpretation No. 48, “Accounting for Uncertainty in
      Income Taxes, an interpretation of FASB Statements No. 109”. FIN 48 clarifies
      the accounting for uncertainty in income taxes by prescribing a two-step method
      of first evaluating whether a tax position has met a more likely than not
      recognition threshold and second, measuring that tax position to determine
      the
      amount of benefit to be recognized in the financial statements. FIN 48 provides
      guidance on the presentation of such positions within a classified statement
      of
      financial position as well as on derecognition, interest and penalties,
      accounting in interim periods, disclosure, and transition. FIN 48 is effective
      for fiscal years beginning after December 15, 2006. The adoption of this
      statement is not expected to have a material effect on the Company's future
      reported financial position or results of operations.





In
      June
      2006, the FASB ratified Emerging Issues Task Force (EITF) Issue No. 06−3 (EITF
      06-3), “How Taxes Collected from Customers and Remitted to Governmental
      Authorities Should Be Presented in the Income Statement (That Is, Gross versus
      Net Presentation).” EITF 06−3 applies to any tax assessed by a governmental
      authority that is directly imposed on a revenue producing transaction between
      a
      seller and a customer. EITF 06−3 allows companies to present taxes either gross
      within revenue and expense or net. If taxes subject to this issue are
      significant, a company is required to disclose its accounting policy for
      presenting taxes and the amount of such taxes that are recognized on a gross
      basis. The Company currently presents such taxes net. EITF 06−3 is required to
      be adopted during the first quarter of fiscal year 2008. These taxes are
      currently not material to the Company’s financial statements.





In
      September 2006, the FASB issued SFAS No. 157, “Fair Value Measurements”. The
      objective of SFAS 157 is to increase consistency and comparability in fair
      value
      measurements and to expand disclosures about fair value measurements. SFAS
      157
      defines fair value, establishes a framework for measuring fair value in
      generally accepted accounting principles, and expands disclosures about fair
      value measurements. SFAS 157 applies under other accounting pronouncements
      that
      require or permit fair value measurements and does not require any new fair
      value measurements.


6


The
      provisions of SFAS No. 157 are effective for fair value measurements made in
      fiscal years beginning after November 15, 2007. The adoption of this statement
      is not expected to have a material effect on the Company's future reported
      financial position or results of operations.





In
      September 2006, the FASB issued SFAS No. 158, “Employers’ Accounting for Defined
      Benefit Pension and Other Postretirement Plans - an amendment of FASB Statements
      No. 87, 88, 106, and 132(R)”. This statement requires employers to recognize the
      over-funded or under-funded status of a defined benefit postretirement plan
      (other than a multiemployer plan) as an asset or liability in its statement
      of
      financial position and to recognize changes in that funded status in the year
      in
      which the changes occur through comprehensive income of a business entity or
      changes in unrestricted net assets of a not-for-profit organization. This
      statement also requires an employer to measure the funded status of a plan
      as of
      the date of its year-end statement of financial position, with limited
      exceptions. The provisions of SFAS No. 158 are effective for employers with
      publicly traded equity securities as of the end of the fiscal year ending after
      December 15, 2006. The adoption of this statement is not expected to have a
      material effect on the Company's future reported financial position or results
      of operations.




In
      September 2006, the SEC issued Staff Accounting Bulletin (“SAB”) No. 108,
“Considering the Effects of Prior Year Misstatements when Quantifying
      Misstatements in Current Year Financial Statements.” SAB No. 108 addresses how
      the effects of prior year uncorrected misstatements should be considered when
      quantifying misstatements in current year financial statements. SAB No. 108
      requires companies to quantify misstatements using a balance sheet and income
      statement approach and to evaluate whether either approach results in
      quantifying an error that is material in light of relevant quantitative an
      qualitative factors. SAB No. 108 is effective for period ending after November
      15, 2006. The Company is currently evaluating the impact of adopting SAB No.
      108
      but does not expect that it will have a material effect on its financial
      statements.





In
      September 2006, the FASB issued FASB Staff Position No. FAS 13-1 (As Amended),
      “Accounting for Rental Costs Incurred during a Construction Period” (FAS 13-1).
      This position requires a company to recognize as rental expense the rental
      costs
      associated with a ground or building operating lease during a construction
      period, except for costs associated with projects accounted for under SFAS
      No.
      67, “Accounting for Costs and Initial Rental Operations of Real Estate
      Projects.” FAS 13-1 is effective for reporting periods beginning after December
      15, 2005 and was adopted by the Company in the first quarter of fiscal year
      2007. The Company’s adoption of FAS 13-1 will not materially affect its results
      of operations and financial position.





FSP
      FAS
      123(R)-5 was issued on October 10, 2006. The FSP provides that instruments
      that
      were originally issued as employee compensation and then modified, and that
      modification is made to the terms of the instrument solely to reflect an equity
      restructuring that occurs when the holders are no longer employees, then no
      change in the recognition or the measurement (due to a change in classification)
      of those instruments will result if both of the following conditions are met:
      (a). There is no increase in fair value of the award (or the ratio of intrinsic
      value to the exercise price of the award is preserved, that is, the holder
      is
      made whole), or the antidilution provision is not added to the terms of the
      award in contemplation of an equity restructuring; and (b). All holders of
      the
      same class of equity instruments (for example, stock options) are treated in
      the
      same manner. The provisions in this FSP shall be applied in the first reporting
      period beginning after the date the FSP is posted to the FASB website. The
      Company does not expect the adoption of FSP FAS 123(R)-5 to have a material
      impact on its consolidated results of operations and financial condition





In
      February 2007, the Financial Accounting Standards Board (FASB) issued SFAS
      No.
      159, “The Fair Value Option for Financial Assets and Financial Liabilities -
      Including an Amendment of FASB Statement No. 115”. This statement permits
      entities to choose to measure many financial instruments and certain other
      items
      at fair value. Most of the provisions of SFAS No. 159 apply only to entities
      that elect the fair value option. However, the amendment to SFAS No. 115
“Accounting for Certain Investments in Debt and Equity Securities” applies to
      all entities with available-for-sale and trading securities. SFAS No. 159 is
      effective as of the beginning of an entity’s first fiscal year that begins after
      November 15, 2007. Early adoption is permitted as of the beginning of a fiscal
      year that begins on or before November 15, 2007, provided the entity also elects
      to apply the provision of SFAS No. 157, “Fair Value Measurements”. The adoption
      of this statement is not expected to have a material effect on the Company's
      financial statements.




**Off-Balance
      Sheet Arrangements**





We
      do not
      have any off-balance sheet arrangements, financings, or other relationships
      with
      unconsolidated entities or other persons, also known as “special purpose
      entities” (SPEs).




**Item
      7. Financial Statements.**






7




Guangzhou
        Global Telecom, Inc.
 F/K/A
        AVALON DEVELOPMENT ENTERPRISES, INC.
 
 FINANCIAL
        STATEMENTS
 
 DECEMBER
        31, 2006
 
 
 Table
        of
        Contents
 
 
 Report
                  of Independent Registered Public Accounting Firm
              F
                  -
                  2Balance
                  Sheets
              F
                  -
                  3Statements
                  of Operations ............................................................
              F
                  -
                  4Statements
                  of Changes in Shareholders'
                  Deficiency....................................
              F
                  -
                  5Statements
                  of Cash Flows ...........................................................
              F
                  -
                  6Notes
                  to Financial Statements
              F
                  -
                  7 -14
 
 
 
 
 
 
 F-1
  
 
 
 
 **Report
        of Independent Registered Public Accounting Firm**
 
 
 
 To
        The
        Shareholders and Board of Directors of
 Guangzhou
        Global Telecom, Inc.
  We
        have
        audited the accompanying balance sheet of Guangzhou Global Telecom, Inc.
        (a
        Florida corporation), the related statements of operations, changes in
        shareholders’ deficiency and cash flows for December 31, 2006 and 2005. 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 audit in accordance with the standards of the Public Company
        Accounting Oversight Board (United States). 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 provided a
        reasonable basis for our opinion.
 
 In
        our
        opinion, the financial statements referred to above present fairly, in all
        material respects, the financial position of Guangzhou Global Telecom, Inc.
        ,
        related statements of operations, changes in shareholders’ deficiency and cash
        flows for December 31, 2006 and 2005 in conformity with accounting principles
        generally accepted in the United States.
 
 The
        accompanying financial statements have been prepared assuming that Guangzhou
        Global Telecom, Inc. will continue as a going concern. As discussed in Note
        B to
        the financial statements, Guangzhou Global Telecom, Inc. has suffered recurring
        losses from operations, which raises substantial doubt about its ability
        to
        continue as a going concern. The financial statements do not include any
        adjustments that might result from the outcome of this uncertainty.
 
 
 
 */s/
        Jewett, Schwartz, Wolfe & Associates*
 
 Hollywood,
        Florida
 April
        10,
        2007






F-2




GUANGZHOU
                  GLOBAL TELECOM, INC.F/K/A
                  AVALON DEVELOPMENT ENTERPRISES, INC.BALANCE
                  SHEETSDecember
                  31, 2006 and 20052006
              
              2005ASSETSCURRENT
                  ASSETS:Cash
                  and cash equivalents
              
              $
              107
              
              
              1,426Total
                  current assets
              
              
              107
              
              
              1,426FIXED
                  ASSETS, NET
              
              
              -
              
              
              822Total
                  assets
              
              $
              107
              
              $
              2,248LIABILITIES
                  AND SHAREHOLDERS' DEFICIENCYCURRENT
                  LIABILITIES:Accounts
                  payable
              
              $
              -
              
              $
              2,800Payroll
                  taxes payable
              
              
              -
              
              
              1,122Sales
                  tax payable
              
              
              -
              
              
              3Shareholder
                  loans
              
              
              -
              
              
              17,865Total
                  current liabilities
              
              
              -
              
              
              21,790COMMITMENTS
                  AND CONTINGENCIESSHAREHOLDERS'
                  DEFICIENCY:Common
                  stock, $.01 par value, 75,000,000 shares authorized1,494,000
                  shares issued and outstanding
              
              
              14,940
              
              
              14,940Paid-in
                  capital
              
              
              29,401
              
              
              -Retained
                  earnings
              
              
              (44,234
              )
              
              (34,482
              )Total
                  shareholders' deficiency
              
              
              107
              
              
              (19,542
              )Total
                  liabilities and shareholders' deficiency
              
              $
              107
              
              $
              2,248




The
        accompanying notes are an integral part of the consolidated financial
        statements








F-3




GUANGZHOU
                  GLOBAL TELECOM, INC.F/K/A
                  AVALON DEVELOPMENT ENTERPRISES, INC.STATEMENTS
                  OF OPERATIONSYears
                  Ended December 31, 2006 and 20052006
              
              2005Revenues
              
              $
              19,378
              
              $
              22,346General
                  and administrative expenses
              
              
              28,530
              
              
              30,854Loss
                  from operations
              
              
              (9,152
              )
              
              (8,508
              )Other
                  expense:Interest
                  expense
              
              
              25
              
              
              -Loss
                  on disposition of assets
              
              
              575
              
              
              -Net
                  loss
              
              $
              (9,752
              )
              $
              (8,508
              )Weighted
                  average shares outstanding - basic and diluted
              
              
              1,494,000
              
              
              1,483,052EARNINGS
                  PER SHARE - basic and diluted
              
              $
              (0.01
              )
              $
              (0.01
              )




The
        accompanying notes are an integral part of the consolidated financial
        statements




F-4




GUANGZHOU
                  GLOBAL TELECOM, INC.F/K/A
                  AVALON DEVELOPMENT ENTERPRISES, INC.STATEMENTS
                  OF CHANGES IN STOCKHOLDER'S EQUITYYears
                  Ended December 31, 2006 and 2005AdditionalCommon
                  Stock
              
              Paid-in
              
              RetainedShares
              
              Amount
              
              Capital
              
              Earnings
              
              Total**Balance
                  at December 31, 2004**
              
              
              1,467,000
              
              $
              14,670
              
              $
              -
              
              $
              (25,710
              )
              $
              (11,040
              )Issuance
                  of common stock
              
              
              27,000
              
              
              270
              
              
              -
              
              
              (264
              )
              
              6Forward
                  stock split
              
              
              -Net
                  loss
              
              
              -
              
              
              -
              
              
              -
              
              
              (8,508
              )
              
              (8,508
              )Balance
                  at December 31, 2005
              
              
              1,494,000
              
              $
              14,940
              
              $
              -
              
              $
              (34,482
              )
              $
              (19,542
              )Capital
                  contribution
              
              
              -
              
              
              -
              
              
              29,401
              
              
              -
              
              
              29,401Issuance
                  of common stock
              
              
              -
              
              
              -
              
              
              -
              
              
              -
              
              
              -Net
                  loss
              
              
              -
              
              
              -
              
              
              -
              
              
              (9,752
              )
              
              (9,752
              )Balance
                  - December 31, 2006
              
              
              1,494,000
              
              $
              14,940
              
              $
              29,401
              
              $
              (44,234
              )
              $
              107




The
        accompanying notes are an integral part of the consolidated financial
        statements






F-5




GUANGZHOU
                  GLOBAL TELECOM, INC.STATEMENTS
                  OF CASH FLOWSF/K/A
                  AVALON DEVELOPMENT ENTERPRISES, INC.Years
                  Ended December 31, 2006 and 20052006
              
              2005Cash
                  Flows From Operating Activities:Net
                  loss
              
              
              (9,752
              )
              
              (8,508
              )Adjustments
                  to reconcile net loss to netcash
                  used by operating activities:Depreciation
                  Expense
              
              
              247
              
              
              548Loss
                  on disposition of assets
              
              
              575
              
              
              -In
                  kind contribution of services
              
              
              29,401Increase
                  (decrease) in:Accounts
                  payable and accrued expenses
              
              
              (3,925
              )
              
              3,220Net
                  cash used in operating activities
              
              
              16,546
              
              
              (4,740
              )Cash
                  Flows From Investing Activities:Net
                  cash provided by investing activities
              
              
              -
              
              
              -Cash
                  Flows From Financing Activities:Shareholder
                  loans
              
              
              (17,865
              )
              
              6,869Issuance
                  of common stock
              
              
              -
              
              
              6Decrease
                  in amounts due to affiliates
              
              
              -
              
              
              (1,200
              )Net
                  cash provided by financing activities
              
              
              (17,865
              )
              
              5,675Net
                  increase (decrease) in cash and cash equivalents
              
              
              (1,319
              )
              
              935Cash
                  and cash equivalents, beginning of period
              
              
              1,426
              
              
              491Cash
                  and cash equivalents, end of period
              
              
              107
              
              
              1,426Supplemental
                  Disclosure of Cash Flow Information:Cash
                  paid for interest
              
              $
              25
              
              $
              -Cash
                  paid for taxes
              
              $
              -
              
              $
              -






The
        accompanying notes are an integral part of the consolidated financial
        statements




F-6




**Guangzhou
        Global Telecom, Inc.**
 **F/K/A
        AVALON DEVELOPMENT ENTERPRISES, INC.**
 
 **NOTES
        TO FINANCIAL STATEMENTS**
 
 **NOTE
        A - ORGANIZATION AND NATURE OF BUSINESS**
 
 The
        Company was incorporated March 29, 1999 in the State of Florida. The Company
        provides property management products and services such as cleaning and
        maintenance support services and facilitating equipment leasing.
 
 **NOTE
        B - SIGNIFICANT ACCOUNTING POLICIES**
 
 **Going
        concern**
 
 As
        shown
        in the accompanying financial statements, the Company has incurred net losses
        of
        $9,752 and $8,508 during the years ended December 31, 2006 and 2005,
        respectively. These conditions create an uncertainty as to the Company’s ability
        to continue as a going concern. The financial statements do no include any
        adjustments that might be necessary if the Company is unable to continue
        as a
        going concern.
 
 **Cash
        and Cash Equivalents**
 
 For
        purposes of the statement of cash flows, the Company considers all short-term
        securities with a maturity of three months or less to be cash
        equivalents.
  **Fair
        value of financial instruments**
  The
        carrying amounts of financial instruments, including cash, accounts receivable,
        accounts payable and accrued expenses approximate fair value at December
        31,
        2006 because of the relatively short maturity of the instruments.
 
 **Fixed
        Assets**
 
 Property
        and equipment are stated at cost. Depreciation is computed using straight-line
        and accelerated methods over the estimated useful lives of the assets.
        Expenditures for major renewals and betterments that extend the useful lives
        of
        property and equipment are capitalized. Expenditures for maintenance and
        repairs
        are charged to expense as incurred.
 
  F-7
  **Guangzhou
        Global Telecom, Inc.**
 **F/K/A
        AVALON DEVELOPMENT ENTERPRISES, INC.**
 
 **NOTES
        TO FINANCIAL STATEMENTS**
 
 **Use
        of Estimates**
 
 The
        preparation of financial statements in conformity with generally accepted
        accounting principles requires the corporation to make estimates and assumptions
        that affect certain reported amounts and disclosures. Accordingly, actual
        results could differ from those estimates.
 
 **Revenue
        Recognition**
 
 The
        Company generates revenue through a variety of commercial real estate services
        -
        property subleases, equipment leases and ancillary property management and
        cleaning / maintenance support services. The Company provides these services
        and
        bills for them on a monthly basis. The Company recognizes its revenue when
        its
        monthly services are completed and its customers are billed.
 
 **Income
        Taxes**
 
 Income
        taxes are provided for the tax effects of transactions reported in the financial
        statements and consist of taxes currently due plus deferred taxes, if and
        when
        applicable, related primarily to differences between the bases of certain
        assets
        and liabilities for financial and tax reporting. Any deferred taxes would
        represent the future tax return consequences of those differences, which
        will
        either be taxable when the assets and liabilities are recovered or
        settled.
  **Reclassifications**
  Certain
        amounts in the December 31, 2005 consolidated financial statements have been
        reclassified to conform to the December 31, 2006 presentation.
 
 **Recent
        Accounting Pronouncements**
 
 In
        May
        2005, the Financial Accounting Standards Board (FASB) issued SFAS No. 154,
        "Accounting Changes and Error Corrections" (SFAS 154), which replaces Accounting
        Principles Board (APB) Opinion No. 20, "Accounting Changes," and SFAS No.
        3,
        "Reporting Accounting Changes in Interim Financial Statements - An Amendment
        of
        APB Opinion No. 28." SFAS 154 provides guidance on the accounting for and
        reporting of accounting changes and error corrections, and it establishes
        retrospective application, or the latest practicable date, as the required
        method for reporting a change in accounting principle and the reporting of
        a
        correction of an error. SFAS 154 is effective for accounting changes and
        corrections of errors made in fiscal years beginning after December 15, 2005.
        The Company adopted SFAS 154 in the first quarter of fiscal year 2007 and
        does
        not expect it to have a material impact on its consolidated results of
        operations and financial condition.
 
 
 F-8
  **Guangzhou
        Global Telecom, Inc.**
 **F/K/A
        AVALON DEVELOPMENT ENTERPRISES, INC.**
 
 **NOTES
        TO FINANCIAL STATEMENTS**
 
 **Recent
        Accounting Pronouncements** **(continued)**
 
 In
        February 2006, the FASB issued SFAS No. 155, "Accounting for Certain Hybrid
        Financial Instruments-an amendment of FASB Statements No. 133 and 140", to
        simplify and make more consistent the accounting for certain financial
        instruments. SFAS No. 155 amends SFAS No. 133, "Accounting for Derivative
        Instruments and Hedging Activities", to permit fair value re-measurement
        for any
        hybrid financial instrument with an embedded derivative that otherwise would
        require bifurcation, provided that the whole instrument is accounted for
        on a
        fair value basis. SFAS No. 155 amends SFAS No. 140, "Accounting for the
        Impairment or Disposal of Long-Lived Assets", to allow a qualifying
        special-purpose entity to hold a derivative financial instrument that pertains
        to a beneficial interest other than another derivative financial instrument.
        SFAS No. 155 applies to all financial instruments acquired or issued after
        the
        beginning of an entity's first fiscal year that begins after September 15,
        2006,
        with earlier application allowed. The adoption of this statement is not expected
        to have a material effect on the Company's future reported financial position
        or
        results of operations.
 
 In
        March
        2006, the FASB issued SFAS No. 156, "Accounting for Servicing of Financial
        Assets, an amendment of FASB Statement No. 140, Accounting for Transfers
        and
        Servicing of Financial Assets and Extinguishments of Liabilities". This
        statement requires all separately recognized servicing assets and servicing
        liabilities be initially measured at fair value, if practicable, and permits
        for
        subsequent measurement using either fair value measurement with changes in
        fair
        value reflected in earnings or the amortization and impairment requirements
        of
        Statement No. 140. The subsequent measurement of separately recognized servicing
        assets and servicing liabilities at fair value eliminates the necessity for
        entities that manage the risks inherent in servicing assets and servicing
        liabilities with derivatives to qualify for hedge accounting treatment and
        eliminates the characterization of declines in fair value as impairments
        or
        direct write-downs. SFAS No. 156 is effective for an entity's first fiscal
        year
        beginning after September 15, 2006. The adoption of this statement is not
        expected to have a material effect on the Company's future reported financial
        position or results of operations.
 
 In
        June
        2006, the FASB issued FASB Interpretation No. 48, “Accounting for Uncertainty in
        Income Taxes, an interpretation of FASB Statements No. 109”. FIN 48 clarifies
        the accounting for uncertainty in income taxes by prescribing a two-step
        method
        of first evaluating whether a tax position has met a more likely than not
        recognition threshold and second, measuring that tax position to determine
        the
        amount of benefit to be recognized in the financial statements. FIN 48 provides
        guidance on the presentation of such positions within a classified statement
        of
        financial position as well as on derecognition, interest and penalties,
        accounting in interim periods, disclosure, and transition. FIN 48 is effective
        for fiscal years beginning after December 15, 2006. The adoption of this
        statement is not expected to have a material effect on the Company's future
        reported financial position or results of operations.
  
 F-9
  **Guangzhou
        Global Telecom, Inc.**
 **F/K/A
        AVALON DEVELOPMENT ENTERPRISES, INC.**
 
 **NOTES
        TO FINANCIAL STATEMENTS**
 
 
 **Recent
        Accounting Pronouncements** **(continued)**
 
 In
        June
        2006, the FASB ratified Emerging Issues Task Force (EITF) Issue No. 06−3 (EITF
        06-3), “How Taxes Collected from Customers and Remitted to Governmental
        Authorities Should Be Presented in the Income Statement (That Is, Gross versus
        Net Presentation).” EITF 06−3 applies to any tax assessed by a governmental
        authority that is directly imposed on a revenue producing transaction between
        a
        seller and a customer. EITF 06−3 allows companies to present taxes either gross
        within revenue and expense or net. If taxes subject to this issue are
        significant, a company is required to disclose its accounting policy for
        presenting taxes and the amount of such taxes that are recognized on a gross
        basis. The Company currently presents such taxes net. EITF 06−3 is required to
        be adopted during the first quarter of fiscal year 2008. These taxes are
        currently not material to the Company’s financial statements.
 
 In
        September 2006, the FASB issued SFAS No. 157, “Fair Value Measurements”. The
        objective of SFAS 157 is to increase consistency and comparability in fair
        value
        measurements and to expand disclosures about fair value measurements. SFAS
        157
        defines fair value, establishes a framework for measuring fair value in
        generally accepted accounting principles, and expands disclosures about fair
        value measurements. SFAS 157 applies under other accounting pronouncements
        that
        require or permit fair value measurements and does not require any new fair
        value measurements. The provisions of SFAS No. 157 are effective for fair
        value
        measurements made in fiscal years beginning after November 15, 2007. The
        adoption of this statement is not expected to have a material effect on the
        Company's future reported financial position or results of
        operations.
 
 In
        September 2006, the FASB issued SFAS No. 158, “Employers’ Accounting for Defined
        Benefit Pension and Other Postretirement Plans - an amendment of FASB Statements
        No. 87, 88, 106, and 132(R)”. This statement requires employers to recognize the
        over-funded or under-funded status of a defined benefit postretirement plan
        (other than a multiemployer plan) as an asset or liability in its statement
        of
        financial position and to recognize changes in that funded status in the
        year in
        which the changes occur through comprehensive income of a business entity
        or
        changes in unrestricted net assets of a not-for-profit organization. This
        statement also requires an employer to measure the funded status of a plan
        as of
        the date of its year-end statement of financial position, with limited
        exceptions. The provisions of SFAS No. 158 are effective for employers with
        publicly traded equity securities as of the end of the fiscal year ending
        after
        December 15, 2006. The adoption of this statement is not expected to have
        a
        material effect on the Company's future reported financial position or results
        of operations.
   F-10
   **Guangzhou
        Global Telecom, Inc.**
 **F/K/A
        AVALON DEVELOPMENT ENTERPRISES, INC.**
 
 **NOTES
        TO FINANCIAL STATEMENTS**
 
 **Recent
        Accounting Pronouncements** **(continued)**
 
 In
        September 2006, the SEC issued Staff Accounting Bulletin (“SAB”) No. 108,
“Considering the Effects of Prior Year Misstatements when Quantifying
        Misstatements in Current Year Financial Statements.” SAB No. 108 addresses how
        the effects of prior year uncorrected misstatements should be considered
        when
        quantifying misstatements in current year financial statements. SAB No. 108
        requires companies to quantify misstatements using a balance sheet and income
        statement approach and to evaluate whether either approach results in
        quantifying an error that is material in light of relevant quantitative an
        qualitative factors. SAB No. 108 is effective for period ending after November
        15, 2006. The Company is currently evaluating the impact of adopting SAB
        No. 108
        but does not expect that it will have a material effect on its financial
        statements.
 
 In
        September 2006, the FASB issued FASB Staff Position No. FAS 13-1 (As Amended),
        “Accounting for Rental Costs Incurred during a Construction Period” (FAS 13-1).
        This position requires a company to recognize as rental expense the rental
        costs
        associated with a ground or building operating lease during a construction
        period, except for costs associated with projects accounted for under SFAS
        No.
        67, “Accounting for Costs and Initial Rental Operations of Real Estate
        Projects.” FAS 13-1 is effective for reporting periods beginning after December
        15, 2005 and was adopted by the Company in the first quarter of fiscal year
        2007. The Company’s adoption of FAS 13-1 will not materially affect its results
        of operations and financial position.
 
 FSP
        FAS
        123(R)-5 was issued on October 10, 2006. The FSP provides that instruments
        that
        were originally issued as employee compensation and then modified, and that
        modification is made to the terms of the instrument solely to reflect an
        equity
        restructuring that occurs when the holders are no longer employees, then
        no
        change in the recognition or the measurement (due to a change in classification)
        of those instruments will result if both of the following conditions are
        met:
        (a). There is no increase in fair value of the award (or the ratio of intrinsic
        value to the exercise price of the award is preserved, that is, the holder
        is
        made whole), or the antidilution provision is not added to the terms of the
        award in contemplation of an equity restructuring; and (b). All holders of
        the
        same class of equity instruments (for example, stock options) are treated in the
        same manner. The provisions in this FSP shall be applied in the first reporting
        period beginning after the date the FSP is posted to the FASB website. The
        Company does not expect the adoption of FSP FAS 123(R)-5 to have a material
        impact on its consolidated results of operations and financial condition
 
  F-11
  **Guangzhou
        Global Telecom, Inc.**
 **F/K/A
        AVALON DEVELOPMENT ENTERPRISES, INC.**
 
 **NOTES
        TO FINANCIAL STATEMENTS**
 
 **Recent
        Accounting Pronouncements** **(continued)**
 
 In
        February 2007, the Financial Accounting Standards Board (FASB) issued SFAS
        No.
        159, “The Fair Value Option for Financial Assets and Financial Liabilities -
        Including an Amendment of FASB Statement No. 115”. This statement permits
        entities to choose to measure many financial instruments and certain other
        items
        at fair value. Most of the provisions of SFAS No. 159 apply only to entities
        that elect the fair value option. However, the amendment to SFAS No. 115
        “Accounting for Certain Investments in Debt and Equity Securities” applies to
        all entities with available-for-sale and trading securities. SFAS No. 159
        is
        effective as of the beginning of an entity’s first fiscal year that begins after
        November 15, 2007. Early adoption is permitted as of the beginning of a fiscal
        year that begins on or before November 15, 2007, provided the entity also
        elects
        to apply the provision of SFAS No. 157, “Fair Value Measurements”. The adoption
        of this statement is not expected to have a material effect on the Company's
        financial statements.
 
 **NOTE
        C - SHAREHOLDER LOANS**
 
 Shareholder
        loans consist of amounts advanced to the Company to fund various working
        capital
        needs. These amounts are non-interest bearing and payable on
        demand.
 
 **NOTE
        D - RELATED PARTY TRANSACTIONS**
 
 The
        Company currently derives all of its equipment lease revenue from a lease
        to a
        related entity in which the Company and the related entity have common owners.
        The equipment lease is considered to be at a prevailing arm's length market
        rate.
 
 **NOTE
        E - RENT**
 
 The
        Company sublets its principal business location at 770 1st Avenue North,
        St.
        Petersburg, Florida on a month-to-month basis from a customer that has common
        stockholders with the Company. The monthly rent of $300 is fair market value
        for
        the space and usage being provided.
 
 **NOTE
        F - EARNINGS PER COMMON SHARE**
 
 Basic
        and
        diluted net loss per common share is computed based upon the weighted average
        common shares outstanding as defined by Financial Accounting Standards No.
        128,
“Earnings Per Share.” As of December 31, 2006 and 2005, there were no common
        share equivalents were anti-dilutive and not used in the calculation of diluted
        net loss per share.
 
 **NOTE
        G - FORWARD STOCK SPLIT**
 
 On
        December 5, 2005 the Company's Board ratified and authorized a 4,500:1 forward
        stock split that resulted in 1,494,000 issued and outstanding shares. 
These calculations were then restated to give retroactive effect to the December
        5, 2005 4,500:1 stock split .
   F-12
  **Guangzhou
          Global Telecom, Inc.**
 **F/K/A
          AVALON DEVELOPMENT ENTERPRISES, INC.**
 
 **NOTES
          TO FINANCIAL STATEMENTS**
  **NOTE
        H - SUBSEQUENT EVENT**
 
 On
        January 10, 2007, the Company, and Global Telecom Holdings, Ltd., a British
        Virgin Islands Corporation, (“GTHL”), and the shareholders of GTHL, (“the
        Shareholders”), entered into a Share Exchange Agreement. Pursuant to that
        Agreement, the Company will issue 39,817,500 shares of its restricted common
        stock to the Shareholders in exchange for 1,000 shares of GTHL common stock.
        The
        1,000 shares of GTHL stock represent all of the issued and outstanding common
        stock of GTHL. This transaction was subject to close only upon GTHL's furnishing
        of certain required financial statements.
  Deferred
          income taxes arise from timing differences resulting from income and expense
          items reported for financial accounting and tax purposes in different periods.
          A
          deferred tax asset valuation allowance is recorded when it is more likely
          than
          not that deferred tax assets will not be realized. There are no deferred
          taxes
          as of December 31, 2006.
 
 There
          was
          no income tax expense for the year ended December 31, 2006.
 
 The
          Company's benefit differs from the "expected" benefit for the year ended
          December 31, 2006 (computed by applying the Corporate tax rate of 38% to
          the
          loss before taxes), as follows:
  December
                    31,2006
                
                2005Computed
                    “expected tax benefit
                
                $
                (3,900
                )
                $
                (3,403
                )Valuation
                    allowance
                
                $
                3,900
                
                $
                3,403Benefit
                    of operating loss carryforwards
                
                
                -
                
                
                -
 F-13
  **Guangzhou
              Global Telecom, Inc.**
 **F/K/A
              AVALON DEVELOPMENT ENTERPRISES, INC.**
 
 **NOTES
              TO FINANCIAL STATEMENTS**
  The
            difference between income tax expense computed by applying the federal
            statutory
            corporate tax rate and actual income tax expense is as
            follows:
 December
                      31,2005
                  
                  2004Statutory
                      federal income tax rate
                  
                  
                  34.0
                  %
                  
                  34.0
                  %Decrease
                      in valuation allowance
                  
                  
                  (40.0
                  )%
                  
                  (40.0
                  )%State
                      income taxes
                  
                  
                  6.0
                  %
                  
                  6.0
                  %Effective
                      tax rate
                  
                  
                  (0
                  )%
                  
                  (0
                  )%
  The
            effects of temporary differences that gave rise to significant portions
            of
            deferred tax assets and liabilities at December 31, 2006 are as
            follows:
 
 Deferred
                    Tax Assets
                
                31-Dec-06Current
                    Deferred Tax Assets
                
                $
                -Net
                    operating loss carryforward
                
                
                17,694Less
                    valuation allowance
                
                
                ($17,694
                )Net
                    deferred tax assets
                
                **$**
                **-**
 The
          Company has a net operating loss carryforward of approximately $44,234
          available
          to offset future taxable income through 2019.
 
 
  F-14
  **Item
        8.****Changes
        In and Disagreements With Accountants on Accounting and Financial
        Disclosure.**





None.




**Item
      8A. Controls and Procedures.**




**Evaluation
      of Disclosure Controls and Procedures**





Under
      the
      supervision and with the participation of our management, including our
      principal executive officer and principal financial officer, we conducted an
      evaluation of our disclosure controls and procedures, as such term is defined
      under Rule 13a-15(e) and Rule 15d-15(e) promulgated under the Securities
      Exchange Act of 1934, as amended (Exchange Act), as of December 31, 2006. Based
      on this evaluation, our principal executive officer and principal financial
      officer have concluded that our disclosure controls and procedures are effective
      to ensure that information required to be disclosed by us in the reports we
      file
      or submit under the Exchange Act is recorded, processed, summarized, and
      reported within the time periods specified in the Securities and Exchange
      Commission's rules and forms and that our disclosure and controls are designed
      to ensure that information required to be disclosed by us in the reports that
      we
      file or submit under the Exchange Act is accumulated and communicated to our
      management, including our principal executive officer and principal financial
      officer, or persons performing similar functions, as appropriate to allow timely
      decisions regarding required disclosure.





**Changes
      in Internal Controls**





There
      were no changes (including corrective actions with regard to significant
      deficiencies or material weaknesses) in our internal controls over financial
      reporting that occurred during the fourth quarter of fiscal 2006 that has
      materially affected, or is reasonably likely to materially affect, our internal
      control over financial reporting.





**Item
      8B. Other Information.**




None.





**PART
      III**




**Item
      9.**  **Directors,
      Executive Officers, Promoters and Control Persons; Compliance with Section
      16(a)
      of the Exchange Act.**




The
      following table sets forth information regarding the members of the Company’s
      Board of Directors and its executive officers as of December 31,
      2006.




**Name**
            **Age**
            **Position**Charles
                P. Godels
            50
            Former
                President, Chairman of the Board of DirectorsDiane
                Harrison
            50
            Former
                Secretary/DirectorDavid
                E. Dunn
            50
            Former
                DirectorMichael
                T. Jones
            42
            Former
                DirectorMadanna
                Yovino
            48
            Former
                Treasurer/Director




**Background
      of Executive Officers and Directors**




*Charles
      P. Godels* served
      as our President and Chairman of the Board of Directors from April 1, 2005
      to
      January 8, 2007. Mr. Godels holds a B.A. degree from University of South Florida
      in Accounting. He sat and passed all four (4) parts of C.P.A. Exam in November
      1978. His current Memberships/Affiliations include the American Institute of
      Certified Public Accountants and the Florida Institute of Certified Public
      Accountants. Since 09/93 when he founded his own practice he has been in
      practice and took in partner to form Godels & Solomon, L.C., C.P.A.’s. From
      August 1999, he has continued as managing partner in Godels Solomon Barber
&
Company, LLC (“GSBC”). His focus is “Traditional” (audit, accounting, & tax)
      and “nontraditional” (forecasts, projections, start-up’s, obtaining business
      financing, cash flow management services) services and assists in structuring
      real estate ventures / transactions (choice of entity, asset protection, 1031
      exchange structuring, etc.). His emphasis is on clients in the healthcare
      industry, dental industry, and resident owned mobile home park cooperatives
      for
      whom he provides audit and ancillary services. However, he also provides these
      services, intermittently to clients in real estate, franchised fast food
      restaurants, marketing/distribution, automotive industry, retail, and a variety
      of other professional service businesses (law, architecture, mortuary services,
      etc.).




*Ms.
      Harrison-* served
      as
      our Secretary/Director from October 31, 2006 to January 8, 2007. Ms.
      Harrison has an undergraduate degree in Chemical Engineering and worked as
      an
      Engineer for Rockwell International as well as for the United States Department
      of Energy on the Yucca Mountain project as a manager on the design of hazardous
      waste disposal prior to attending and graduation from Stetson College of Law
      in
      May of 2000.  Since her graduation Ms. Harrison has been specializing in
      federal securities work, specifically small business registrations.




*David
      E. Dunn* served
      as our Director from April 1, 2005 to January 8, 2007. Mr. Dunn holds a B.S.
      degree in Business Administration from Glassboro State College. Since 1998
      Mr.
      Dunn has been employed by NCR Corporation. He is a Solution Sales Specialist
      for
      east coast direct sales force. Responsibilities include product presentation
      and
      kick off of the new NCR 7454 POS Workstation to major accounts within the
      Northeast and Southeast Regions. He has acted as a product specialist to NCR’s
      direct sales force as well as NCR’s VAR, Partner and dealer community. He has
      direct account responsibilities for selected accounts in the northeast including
      Sbarro, Fuddruckers, Au Bon Pain, Reise, American Hospitality, and others.
      Specifically, he was the account Manager responsible for the new NCR 7460 system
      roll out into the Fuddruckers Restaurant chain.




*Michael
      T. Jones* served
      as
      our Director from April 1, 2005 to January 8, 2007. Mr. Jones holds a B.S.
      degree from the University of South Florida and a Masters in Business from
      Florida Metropolitan University (“F.M.U.”) For the last eighteen years (18)
      years he has been employed by UPS. He is responsible for customers in Pinellas
      County, Florida. He has extensive experience working with all types of
      businesses determining their shipping needs and requirements.




*Madanna
      Yovino* served
      as
      Treasurer/Director from April 1, 2005 to January 8, 2007. Ms. Yovino holds
      an
      A.A. from St. Petersburg Community College. Since 1989 she has had her own
      cleaning service. She has been responsible for sales and marketing as well
      as
      work production. In January of 2005 she was appointed as head of the Company’s
      corporate cleaning/maintenance division.




8




During
      the last five (5) years we know of no action in bankruptcy filed by or against
      any business of which such person was a general partner or executive officer
      either at the time of the bankruptcy or within two (2) years prior to that
      time.
      None of our officers and directors have been convicted in any criminal
      proceeding or being subject to a pending criminal action. None of our officers
      and directors are subject to any order, judgment or decree, not subsequently
      reversed, suspended or vacated, by any court of competent jurisdiction,
      permanently or temporarily enjoining, barring, suspending or otherwise limiting
      their involvement in any type of business, securities or banking activities.
      None of our officers and directors have been found by a court of competent
      jurisdiction in a civil action, the Commission or the Commodity Futures Trading
      Commission to have violated a federal or state securities or commodities law,
      and the judgment has not been reversed, suspended or vacated.




**Subsequent
      Event**





Our
      new
      board of directors following the merger is as follows:





**Name******************************************************************
            **Age**
            **Position******************************************************************************************************************Yankuan
                Li
            50
            Chief
                Executive Officer and Chairman of the BoardYiwen
                Wu
            43
            Chief
                Operating Officer and DirectorZhihan
                Hu
            43
            Chief
                Financial Officer and Director




The
      principal occupation for the past five years (and, in some instances, for prior
      years) of each of our directors and officers are as follows:





**Yankuan
      Li**


*Chief
      Executive Officer and Chairman of the Board*


Yankuan
      Li has been Chairman of the Board of GTL since 2005. From 2004-2005 he was
      General Manager of Guangzhou YueShen TaiYang Technology Ltd., a subsidiary
      of
      Pacificnet Inc. (Nasdaq: PACT). From 2003-2004 he was Managing Director of
      the
      phone card division of Guangzhou Trading Center of Renwoxing, responsible for
      phone cards. From 2000-2003 he was Department Manager of the Industrial and
      Commercial Bank of China Guangzhou Branch. Mr. Yankuan holds a bachelor degree
      in Business Management of Beijing United University in 1998.





**Yiwen
      Wu** **


*Chief
      Operating Officer*


Yiwen
      Wu
      has been General Manger of GTL from 2005 to present. Gerneral From 2003-2005
      he
      was Vice General Manager of Guangzhou Trading Center of Renwoxing, responsible
      for phone cards. From 2001-2003 he was Vice General Manager of Guangzhou YueShen
      Technology Limited.





**Zhihan
      Hu**


*Chief
      Financial Officer*


Zhihan
      Hu
      has been CFO of GTL from 2005 to present. In 2005 he was Financial Manager
      of
      Guangzhou Tianjian Real Estate Development Co., Ltd. From 2002-2004 he was
      Financial Manager of Guangdong Materials & Equipment Import & Export
      Co., Ltd. From 2000-2002 he was CFO of Huiyijia Household Appliance Co., Ltd.
      in
      Zhongshan and Zhuhai, representing Grandbuy Co.,Ltd. Mr. Zhihan is a CPA and
      holds a Bachelor’s degree in International Finance from Zhongshan University.





**Term
      of Office**




Our
      directors are appointed for a one-year term to hold office until the next annual
      general meeting of our shareholders or until removed from office in accordance
      with our bylaws. Our officers are appointed by our board of directors and hold
      office until removed by the board.





**Significant
      Employees**





None.





**Family
      Relationships**





No
      family
      relationships exist among our directors or executive officers.





**Involvement
      in Certain Legal Proceedings**




To
      our
      knowledge, during the past five years, none of our directors, executive
      officers, promoters, control persons, or nominees has been:






9




•
            the
                subject of any bankruptcy petition filed by or against any business
                of
                which such person was a general partner or executive officer either
                at the
                time of the bankruptcy or within two years prior to that time;•
            convicted
                in a criminal proceeding or is subject to a pending criminal proceeding
                (excluding traffic violations and other minor offenses);•
            subject
                to any order, judgment, or decree, not subsequently reversed, suspended
                or
                vacated, of any court of competent jurisdiction, permanently or
                temporarily enjoining, barring, suspending or otherwise limiting
                his
                involvement in any type of business, securities or banking activities;
                or•
            found
                by a court of competent jurisdiction (in a civil action), the Commission
                or the Commodity Futures Trading Commission to have violated a federal
                or
                state securities or commodities law.





**Code
      of Ethics**





We
      have
      adopted a Code of Ethics applicable to our Chief Executive Officer and Chief
      Financial Officer. This Code of Ethics is filed herewith as an
      exhibit.





**Compliance
      with Section 16(a) of the Exchange Act**





Section
      16(a) of the Securities Exchange Act of 1934 requires the Company's officers
      and
      directors, and persons who own more than 10 percent of a registered class of
      the
      Company's equity securities, to file reports of ownership and changes in
      ownership with the Securities and Exchange Commission (SEC). Officers,
      directors, and greater than 10 percent stockholders are required by SEC
      regulation to furnish the Company with copies of all Section 16(a) forms they
      file.





To
      the
      Company's knowledge, based solely on a review of the copies of such reports
      furnished to the Company, all reports under Section 16(a) required to be filed
      by its officers and directors and greater than ten percent beneficial owners
      were timely filed as of the date of this filing.




**Item
      10.**  **Executive Compensation.**




**Compensation
      of Executive Officers**





The
      following executives of the Company received compensation in the amounts set
      forth in the chart below for the fiscal years ended December 31, 2004, 2005,
      and
      2006. All compensation listed is in US dollars. No other item of compensation
      was paid to any officer or director of the Company other than reimbursement
      of
      expenses.





10


**SUMMARY
      COMPENSATION TABLE**





**Name
                and Principal Position**
            
            
            **Year**
            
            
            **Salary**
              **($)**
            
            
            **Bonus**
              **($)**
            
            
            **Stock
                Awards**
              **($)**
            
            
            **Option
                Awards**
              **($)**
            
            
            **Non-Equity
                Incentive Plan Compensation ($)**
            
            
            **Non-Qualified
                Deferred Compensation Earnings**
              **($)**
            
            
            **All
                Other Compensation**
              **($)**
            
            **Totals**
              **($)**Charles
                P. Godels, Former President, Chief Executive Officer and Chairman
                of the
                Board
            
            
            2004
              2005
              2006
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            0
              0
              0Laura
                Larsen , Former Secretary, Director
            
            
            2004
              2005
              2006
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            0
              0
              0Madanna
                Yovino Former Treasurer, Director
            
            
            2004
              2005
              2006
            
            $
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            0
              0
              0Michael
                T. Jones, Former Director
            
            
            2004
              2005
              2006
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            0
              0
              0David
                E. Dunn, Former Director
            
            
            2004
              2005
              2006
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            
            0
              0
              0
            
            0
              0
              0




**Employment
      Agreements**




None.




**Item
      11.**  **Security
      Ownership of Certain Beneficial Owners and Management and Related Stockholder
      Matters.**




The
        following table
        sets forth certain information regarding the ownership of our capital stock,
        as
        of April 16, 2007, for: (i) each director; (ii) each person who is known
        to us
        to be the beneficial owner of more than 5%of our outstanding common stock;
        (iii)
        each of our executive officers named in the Summary Compensation Table; and
        (iv)
        all of our current executive officers and directors of as a group. Except
        as
        otherwise indicated in the footnotes, all information with respect to share
        ownership and voting and investment power has been furnished to us by the
        persons listed. Except as otherwise indicated in the footnotes, each person
        listed has sole voting power with respect to the shares shown as beneficially
        owned.




**Name
                and Address**
            
            **Number
                of Common Shares Beneficially Owned****(2)**
            
            **Percent
                of Class**Yankuan
                Li(1)
            
            
            12,343,424
            
            
            23.3
            %Yiwen
                Wu(1)
            
            
            250,000
            
            
            0.5
            %Zhihan
                Hu(1)
            
            
            10,000
            
            
            0.02
            %**All
                directors and executive officers as a group (3 in number)**
            
            
            **12,603,424**
            
            
            23.83
            %




(1) The
      person listed is an officer and/or director of the Company.


(2) Based on
      53,090,000 shares of common stock issued and outstanding as of April 16,
      2007.






11





**Item
      12.**  **Certain Relationships and Related Transactions.**




None.





**Item
      13.**  **Exhibits.**




**Exhibit No.**
            
            **Title
                of Document**
            
            **Location**3.1.1
            
            Articles
                of Incorporation
            
            Incorporated
                by reference to Form SB-2 filed on January 6, 2006.3.2
            
            Bylaws
            
            Incorporated
                by reference to Form SB-2 filed on January 6, 2006.10.1
            
            Stock
                Purchase Agreement and Share Exchange dated January 10, 2007 by and
                among
                Avalon Development Enterprises, Inc., Global Telecom Holdings Limited,
                and
                the shareholders of Global Telecom Holdings Limited.
            
            Incorporated
                by reference to Form 8K filed March 29, 200731.1
            
            Certification
                of Chief Executive Officer and Chief Financial Officer Pursuant to
                Rule 13a-14(a) of the Securities Exchange Act of 1934
            
            Filed
                herewith32.1
            
            Certification
                of Chief Executive Officer and Chief Financial Officer pursuant to
                18
                U.S.C. Section 1350, as adopted pursuant to Section 906 of the
                Sarbanes-Oxley Act of 2002
            
            Filed
                herewith




**Item
      14.**    **Principal
      Accounting Fees and Services.**




**Audit
      Fees**




For
      our
      fiscal year ended December 31, 2006, we were billed approximately $10,000 for
      professional services rendered for the audit and reviews of our financial
      statements.




**Tax
      Fees**




For
      our
      fiscal years ended December 31, 2006 and 2005, we were not billed for
      professional services rendered for tax compliance, tax advice, and tax
      planning.




**All
      Other Fees**




The
      Company did not incur any other fees related to services rendered by our
      principal accountant for the fiscal years ended December 31, 2006 and
      2005.








12








**SIGNATURES**




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




**GUANGZHOU
                GLOBAL TELECOM, INC.**By:
            */s/
                Li Yankuan*Li
                YankuanPresident,
                Chief Executive Officer,
              Chief
                Financial OfficerDate:
            April
                16, 2007





In
      accordance with the Exchange Act, this report has been signed below by the
      following persons on behalf of the registrant and in the capacities and on
      the
      dates indicated.





**Name**
            
            **Title**
            
            **Date***/s/
                Li Yankuan*
            
            President,
                Chief Executive Officer,
            
            April
                16, 2007Li
                Yankuan
            
            Chief
                Financial Officer






13