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| FORM 10-Q |
|-----------|

| x | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---|-----------------------------------------------------------------------------------------|

| o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---|------------------------------------------------------------------------------------------|

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| Washington                                                     |   | 68-0612191                           |
|----------------------------------------------------------------|--------|--------------------------------------|
| (State of other jurisdiction of incorporation or organization) |   | (I.R.S. Employer Identification No.) |
|                                                           |   |                                 |
| 1611 N Molter Road, Ste. 201                                   |   |                                 |
| Liberty Lake, Washington                                       |   | 99019                                |
| (Address of Principal Executive Offices)                       |   | (Zip Code)                           |

| (509) 892-5287                                                                     |
|------------------------------------------------------------------------------------|
| (Registrant’s Telephone Number, including Area Code)                         |
|                                                                               |
| (Former name, former address and former fiscal year, if changed since last report) |

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| Large accelerated filer  o | Accelerated filer  o | Non-accelerated filer  o | Smaller Reporting Company  x |
|--------------------------------------|--------------------------------|------------------------------------|----------------------------------------|

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TABLE OF CONTENTS

|                                                                                                           |   | Page   |
|----------------------------------------------------------------------------------------------------------------|--------|--------|
|                                                                                                           |   |   |
| PART I – FINANCIAL INFORMATION                                                                           |   |   |
|                                                                                                           |   |   |
| Item 1:  Financial Statements                                                                        |   | 3      |
|                                                                                                           |   |   |
| Item 2:  Management’s Discussion and Analysis of Financial Condition and Results of Operations |   | 3      |
|                                                                                                           |   |   |
| Item 3:  Quantitative and Qualitative Disclosures about Market Risk                                  |   | 3      |
|                                                                                                           |   |   |
| Item 4:  Controls and Procedures                                                                     |   | 3      |
|                                                                                                           |   |   |
|                                                                                                           |   |   |
| PART II – OTHER INFORMATION                                                                              |   |   |
|                                                                                                           |   |   |
| Item 1:  Legal Proceedings                                                                           |   | 4      |
|                                                                                                           |   |   |
| Item 1A:  Risk Factors                                                                               |   | 4      |
|                                                                                                           |   |   |
| Item 2:  Unregistered Sales of Equity Securities and Use of Proceeds                                 |   | 4      |
|                                                                                                           |   |   |
| Item 3:  Defaults upon Senior Securities                                                             |   | 4      |
|                                                                                                           |   |   |
| Item 4:  (Removed and Reserved)                                                                      |   | 4      |
|                                                                                                           |   |   |
| Item 5:  Other Information                                                                           |   | 4      |
|                                                                                                           |   |   |
| Item 6:  Exhibits                                                                                    |   | 4      |
|                                                                                                           |   |   |
| Signatures                                                                                                     |   | 5      |

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Table of Contents

ITEM 1.  FINANCIAL STATEMENTS

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION OR PLAN OF OPERATION

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

ITEM 4. CONTROLS AND PROCEDURES

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Table of Contents

ITEM 1.  LEGAL PROCEEDINGS

ITEM 1A.  RISK FACTORS

ITEM 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES

ITEM 4. (REMOVED AND RESERVED)

ITEM 5.  OTHER INFORMATION

ITEM 6. EXHIBITS

|   | 31.1-- | Certification required by Rule 13a-14(a) or Rule 15d-14(a). Tim Hunt                                                                                      |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | 31.2-- | Certification required by Rule 13a-14(a) or Rule 15d-14(a). Tim Hunt                                                                                      |
|   | 32.1-- | Certification required by Rule 13a-14(a) or Rule 15d-14(b) and section 906 of the Sarbanes-Oxley Act of 2002,  18 U.S.C. Section 1350, Tim Hunt |
|   | 32.2-- | Certification required by Rule 13a-14(a) or Rule 15d-14(b) and section 906 of the Sarbanes-Oxley Act of 2002,  18 U.S.C. Section 1350, Tim Hunt |

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Table of Contents

SIGNATURES

| By                                                         | /s/  Tim Hunt |   |
|------------------------------------------------------------|-------------------------|--------|
| Tim Hunt, Chairman, President & Chief Executive Office |                    |

| By                                    | /s/  Tim Hunt |   |
|---------------------------------------|-------------------------|--------|
| Tim Hunt, Principal Financial Officer |                    |

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