U.S. SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                  FORM 10-QSB/A
                                 AMENDMENT NO. 1

[X]  QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
     OF 1934

     For the quarterly period ended June 30, 2004.

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

     For the transition period from _______ to ________


                        COMMISSION FILE NUMBER: 000-32249

                     ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
                 (Name of small business issuer in its charter)

                FLORIDA                                      98-0222013
     (State or other jurisdiction of                     (I.R.S. Employer
     incorporation or organization)                     Identification No.)

309 E. COMMERCIAL STREET, POMONA, CALIFORNIA                   91767
  (Address of principal executive offices)                   (Zip Code)


                                 (909) 623-2502
                           (Issuer's telephone number)

            8513 Rochester Avenue, Rancho Cucamonga, California 91730
                  (former address if changed since last report)

     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 [_]

     State  the  number of shares outstanding of each of the issuer's classes of
common  equity,  as  of  the  latest  practicable date: As of June 30, 2004, the
issuer  had  14,700,832  shares  of  its  common  stock  issued and outstanding.


     Transitional Small Business Disclosure Format (check one): Yes [_] No [X]


<PAGE>
<TABLE>
<CAPTION>
                                TABLE OF CONTENTS


<S>                                                                      <C>
PART I - FINANCIAL INFORMATION. . . . . . . . . . . . . . . . . . . . .   3
  Item 2.  Management's Discussion and Analysis or Plan of Operation. .  15
  Item 3.  Controls and Procedures. . . . . . . . . . . . . . . . . . .  27
PART II - OTHER INFORMATION . . . . . . . . . . . . . . . . . . . . . .  27
  Item 1.  Legal Proceedings. . . . . . . . . . . . . . . . . . . . . .  27
  Item 2.  Changes in Securities. . . . . . . . . . . . . . . . . . . .  27
  Item 3.  Defaults Upon Senior Securities. . . . . . . . . . . . . . .  27
  Item 4.  Submission of Matters to a Vote of Security Holders. . . . .  27
  Item 5.  Other Information. . . . . . . . . . . . . . . . . . . . . .  27
  Item 6.  Exhibits and Reports on Form 8-K . . . . . . . . . . . . . .  27
SIGNATURES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  31
CERTIFICATION PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002  32
CERTIFICATION PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002  33
CERTIFICATION PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002  34
CERTIFICATION PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002  35
</TABLE>


                                        2
<PAGE>
<TABLE>
<CAPTION>
                         PART I - FINANCIAL INFORMATION

ITEM  1.     FINANCIAL  STATEMENTS.

                                ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
                            UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET
                                             JUNE 30, 2004
                                              (UNAUDITED)

<S>                                                                                      <C>
ASSETS:
Current assets:
Cash and cash equivalents                                                                $     14,162
Accounts receivable, net of $49,049 allowance for doubtful accounts at June 30, 2004          358,955
Inventories (Note A)                                                                          438,192
Other                                                                                           7,121
                                                                                         -------------
Total current assets                                                                          818,430

Property and equipment: (Note F)                                                              513,843
Less: accumulated depreciation                                                               (316,150)
                                                                                         -------------
Total property and equipment                                                                  197,693

Other Assets:
Deposits                                                                                       52,321

Assets of discontinued operations (Note D)                                                  3,358,078
                                                                                         -------------

Total assets                                                                             $  4,426,522
                                                                                         =============

LIABILITIES AND (DEFICIENCY IN) STOCKHOLDERS' EQUITY:
Current liabilities:
Accounts payable and accrued expenses                                                    $  1,341,658
Notes payable - current portion (Note G)                                                    1,875,000
Notes payable - related parties (Note G)                                                      627,691
                                                                                         -------------
Total current liabilities                                                                   3,844,349

Liabilities of discontinued operations (Note D)                                            19,028,321

(Deficiency in) stockholders' equity:
Preferred Stock, $.001 par value; 10,000,000 shares authorized; none issued and
outstanding at June 30, 2004 (Note I)
Common Stock, $.001 par value; 100,000,000 shares authorized; 14,700,832 shares issued
and outstanding at June 30, 2004 (Note I)                                                      14,701
Additional paid-in-capital                                                                 10,149,738
(Accumulated deficit)                                                                     (28,610,587)
                                                                                         -------------
Total (deficiency in) stockholders' equity                                                (18,446,148)

Total liabilities and (deficiency in) stockholders' equity                               $  4,426,522
                                                                                         =============
<FN>
         See accompanying notes to the unaudited condensed consolidated financial information.
</TABLE>


                                        3
<PAGE>
<TABLE>
<CAPTION>
                                  ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
                              CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                                                (UNAUDITED)

                                               For the Three Months Ended      For the Nine Months Ended
                                                        June 30,                        June 30,
                                                 2004             2003            2004            2003
                                                 ----             ----            ----            ----
<S>                                         <C>              <C>             <C>             <C>
Revenue, net                                $      392,563   $     385,128   $   1,068,979   $   1,476,559
Cost of Goods Sold                                 317,709         225,532         745,920         785,561
                                            ---------------  --------------  --------------  --------------
Gross Profit                                        74,854         159,596         323,059         690,998
                                                         -               -               -               -
Operating Expenses:
Selling, General, and Administrative             4,354,785         295,668       6,890,620         779,031
Depreciation                                        15,000          15,000          45,000          45,000
Goodwill Impairment (Note C)                     5,906,770               -       7,049,020               -
                                            ---------------  --------------  --------------  --------------
Total Operating Expenses                        10,276,555         310,668      13,984,640         824,031
                                                         -               -               -               -
(Loss) from Operations                         (10,201,701)       (151,072)    (13,661,581)       (133,033)
                                                         -               -               -               -
Other Income (Expense):
  Miscellaneous Income                              21,718               -          38,308               -
  Interest (Expense)                                (1,250)              -          (1,250)              -
                                            ---------------  --------------  --------------  --------------
Total Other Income (Expenses)                       20,468               -          37,058               -

(Loss) Before Provision for Income
Taxes and Discontinued Operations              (10,181,233)       (151,072)    (13,624,523)       (133,033)
Provision for Income Taxes                               -               -         (34,000)              -
                                            ---------------  --------------  --------------  --------------
(Loss) from Continuing Operations              (10,181,233)       (151,072)    (13,658,523)       (133,033)
(Loss) Income from Discontinued
Operations (Note D)                             (9,965,074)        422,043     (12,890,790)      1,898,538
                                            ---------------  --------------  --------------  --------------

Net (Loss) Income                           $  (20,146,307)  $     270,971   $ (26,549,313)  $   1,765,505
                                            ===============  ==============  ==============  ==============
                                                         -               -               -               -

(Loss) per share (basic and fully diluted)  $        (1.44)            n/a   $       (3.22)            n/a
                                            ===============                  ==============

Continuing operations                       $        (0.73)            n/a   $       (1.65)            n/a
                                            ===============                  ==============
Discontinued operations                     $        (0.71)            n/a   $       (1.57)            n/a
                                            ===============                  ==============

Basic and diluted weighted average
number of shares outstanding                    13,943,963             n/a       8,254,056             n/a
                                            ===============                  ==============
<FN>
           See accompanying notes to the unaudited condensed consolidated financial information.
</TABLE>


                                        4
<PAGE>
<TABLE>
<CAPTION>
                                          ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
                                     STATEMENT OF (DEFICIENCY IN) STOCKHOLDERS' EQUITY
                                  FOR THE PERIOD FROM SEPTEMBER 30, 2003 TO JUNE 30, 2004
                                                        (UNAUDITED)

                                                                   Additional
                                                                    Paid-in
                                                                    -------       Treasury     Accumulated
                                            Shares      Amount      Capital        Stock         Deficit         Total
                                            ------      ------      -------        -----         -------         -----
<S>                                       <C>          <C>        <C>           <C>           <C>            <C>
Balance at September 30, 2003                 67,824   $ 64,574   $   645,771   $(1,250,000)  $ (2,061,274)  $ (2,600,929)

Cancellation of shares issued for
merger with Entech                           (67,824)   (64,574)       64,574             -              -              -

Cancellation of treasury stock in
relation to merger                                 -          -    (1,250,000)    1,250,000              -              -

Shares of Cyber Public with
stockholders                               2,199,000      2,199        (2,199)            -              -              -

Shares retained in connection with
merger with Cyber Public in
January 2004                                 315,000        315             -             -              -            315

Shares canceled in connection with
merger with Entech, in January
2004                                      (2,199,000)    (2,199)        2,199             -              -              -

Shares issued to stockholders in
exchange for Entech shares, in
January 2004                               8,550,000      8,550     4,962,481             -              -      4,971,031

Shares issued to employees at
0.001 per share, in January 2004            500,000         500             -             -              -            500

Shares issued for investment and
legal services at $0.001 per share, in
January 2004                               1,000,000      1,000             -             -              -          1,000

Shares issued for investors as per
private placement memorandum at
1.00 per share, in January 2004           2,000,000       2,000     1,998,000             -              -      2,000,000

Shares issued for investors as per
private placement memorandum at
2.00 per share, in March 2004               310,000         310       619,690             -              -        620,000

Shares issued for investors as per
private placement memorandum at
1.50 per share, in March 2004               857,498         858     1,285,389             -              -      1,286,247

Shares issued to consultant for
services at $1.50 per share, in March
2004                                         250,000        250       374,750             -              -        375,000

Shares issued for investors as per
private placement memorandum at
2.00 per share, in June 2004                145,000         145       289,855             -              -        290,000

Shares issued for investors as per
private placement memorandum at
1.50 per share, in June 2004                773,334        773     1,159,228             -              -      1,160,001

Net (loss)                                         -          -             -             -    (26,549,313)   (26,549,313)
                                          -----------  ---------  ------------  ------------  -------------  -------------
BALANCE AT JUNE 30, 2004                  14,700,832   $ 14,701   $10,149,738   $         -   $(28,610,587)  $(18,446,148)
                                          ===========  =========  ============  ============  =============  =============
<FN>
                   See accompanying notes to the unaudited condensed consolidated financial information.
</TABLE>


                                        5
<PAGE>
<TABLE>
<CAPTION>
                      ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
                  CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                    (UNAUDITED)

                                                           2004           2003
                                                           ----           ----
<S>                                                    <C>           <C>
Cash flows from operating activities:
Net cash provided by (used in) operating activities:    (5,254,596)         138,067

Cash flows from investing activities:
Net cash (used in) investing activities                   (238,418)               -

Cash flows from financing activities:
Net cash provided by financing activities                5,356,248                -

Net increase in cash and cash equivalents                 (136,766)         138,067
Cash and cash equivalents at beginning of period           150,928           12,861
                                                       ------------  --------------
Cash and cash equivalents at end of period             $    14,162   $      150,928
                                                       ============  ==============

Supplemental Disclosures of Cash Flow Information:
Cash paid during the period for interest               $     1,250   $            -
Cash paid during the period for income taxes           $    34,000   $            -
Common stock issued to employees for services          $       500   $            -
Common stock issued to consultants for services        $   376,500   $            -
Acquisition of CPI: (Note B)
Net liabilities assumed in excess of assets            $ 3,238,483   $            -
Note payable                                                     -                -
                                                       ------------  --------------
Total consideration paid/goodwill                        3,238,483                -
                                                       ============  ==============
Acquisition of Advanced Fuel: (Note B)
Net liabilities assumed in excess of assets            $ 1,855,626   $            -
Note payable                                             1,000,000                -
                                                       ------------  --------------
Total consideration paid/goodwill                      $ 2,855,626   $            -
                                                       ============  ==============
Acquisition of H.B. Covey: (Note B)
Net assets acquired in excess of liabilities           $   (45,089)  $            -
Note payable                                             1,000,000                -
                                                       ------------  --------------
Total consideration paid/goodwill                      $   954,911   $            -
                                                       ============  ==============
Acquisition of Cyber: (Note B)
Common stock retained                                  $       315   $            -
Liabilities assumed in excess of assets                     22,263                -
Cash paid                                                  275,000                -
                                                       ------------  --------------
Total consideration paid/organization cost             $   297,578   $            -
                                                       ============  ==============
<FN>
       See accompanying notes to the unaudited condensed consolidated financial
                                    information.
</TABLE>


                                        6
<PAGE>
                     ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL INFORMATION
                                  JUNE 30, 2004
                                   (UNAUDITED)

NOTE A - SUMMARY OF ACCOUNTING POLICIES

General
-------

The accompanying unaudited condensed consolidated financial statements have been
prepared  in  accordance  with  accounting  principles generally accepted in the
United  States  of  America  for  interim  financial  information  and  with the
instructions  to  Form  10-QSB.  Accordingly,  they  do  not  include all of the
information  and  footnotes required by generally accepted accounting principles
for  complete  financial  statements.

In  the  opinion  of management, all adjustments (consisting of normal recurring
accruals)  considered  necessary  for  a  fair  presentation have been included.
Accordingly,  the  results  from operations for the nine-month period ended June
30,  2004 are not necessarily indicative of the results that may be expected for
the  year  ended  September  30,  2004.  The  unaudited  condensed  consolidated
financial  statements  should  be  read  in  conjunction  with  the consolidated
September  30,  2003  financial statements and footnotes thereto included in the
Company's  SEC  Form  8-K,  as  amended.

Business and Basis of Presentation
----------------------------------

Entech  Environmental  Technologies,  Inc. ("Entech" or the "Company"), formerly
Parr  Development, Inc., was formed on April 5, 2001 under the laws of the State
of  Florida.  The Company is a provider of construction, repair, and maintenance
services  for  fueling related businesses in California, Arizona, and Nevada and
offers complete planning and construction services for gas stations, convenience
stores, fast food restaurants, retail shopping centers, and truck stops, as well
as  comprehensive  remodeling and re-imaging services and, regulatory compliance
testing  and  manage and maintain attached underground storage tanks and related
environmental  issues.  As  of  December  2003, Entech operates one wholly-owned
subsidiary,  Environmental  Technologies,  Inc.,  a  Nevada  corporation.

On  December  30, 2003, the Company acquired through a Share Exchange Agreement,
all  of  the  issued  and  outstanding  stock of CPI Development, Inc., formally
Christie  Peterson  Development  Corporation,  Inc.  ("CPI"),  Advanced  Fuel
Filtration  Systems  Inc. ("Advanced Fuel") and H.B. Covey, Inc. ("H.B. Covey").
From its inception and up to December 30, 2003, Entech had no significant assets
or  operations.  Subsequent  to  the  acquisition,  CPI, Advanced Fuel, and H.B.
Covey  became  wholly-owned  subsidiaries  of  the  Company.  In accordance with
Statement  of  Financial  Accounting  Standards  No. 141, Business Combinations,
Entech  is  the  acquiring  entity  (Note  B).

On  January  21,  2004,  Entech  completed  Capital  Stock  Exchange  Agreement
("Agreement")  with  Cyber Public Relations, Inc. ("Cyber") an inactive publicly
registered  shell  corporation  with  no  significant assets or operations.  For
accounting  purposes,  Entech  shall be the surviving entity. The transaction is
accounted  for  using  the  purchase  method  of accounting.  As a result of the
Agreement,  there  was  a  change  in  control  of  the  Company  (Note  B).

In  June 2004, the management received the authority to proceed with the plan of
disposal  of  its  two  subsidiaries,  CPI  and  Advanced  Fuel.  The  financial
statements  reflect  the  operating  results  and  balance  sheet  items  of the
discontinued operations separately from continuing operations.  Prior years have
been  restated  (Note  D).  Subsequent  to the date of financial statements, the
Company  formally  filed  bankruptcy  for  CPI  and Advanced Fuel in Los Angeles
County  (Note  K).

The  consolidated  financial statements include the accounts of the Company, and
its  wholly-owned  subsidiaries,  Environmental  Technologies,  Inc.,  CPI
Development,  Inc.  ("CPI"),  Advanced  Fuel  Filtration Systems Inc. ("Advanced
Fuel")  and  H.B.  Covey,  Inc.  ("H.B.  Covey").  Significant  inter  company
transactions  have  been  eliminated  in  consolidation.


                                        7
<PAGE>
                     ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL INFORMATION
                                  JUNE 30, 2004
                                   (UNAUDITED)

NOTE A - SUMMARY OF ACCOUNTING POLICIES (CONTINUED)

Stock Based Compensation
------------------------

In  December  2002,  the  FASB  issued SFAS No. 148, "Accounting for Stock-Based
Compensation-Transition  and  Disclosure-an  amendment  of  SFAS  123".  This
statement  amends  SFAS  No.  123, "Accounting for Stock-Based Compensation", to
provide  alternative  methods  of  transition for a voluntary change to the fair
value  based  method  of  accounting  for stock-based employee compensation.  In
addition,  this  statement amends the disclosure requirements of SFAS No. 123 to
require  prominent  disclosures  in both annual and interim financial statements
about  the  method  of  accounting for stock-based employee compensation and the
effect  of  the  method  used  on  reported  results.  The Company has chosen to
continue  to  account  for  stock-based  compensation  using the intrinsic value
method  prescribed  in  APB  Opinion  No.  25  and  related  interpretations.
Accordingly,  compensation  expense for stock options is measured as the excess,
if any, of the fair market value of the Company's stock at the date of the grant
over  the  exercise  price  of  the related option.  The Company has adopted the
annual  disclosure  provisions  of SFAS No. 148 in its financial reports for the
year  ended  September  30,  2003  and the interim disclosure provisions for its
financial  reports  for  the  subsequent periods.  The Company does not have any
awards  of  stock-based employee compensation issued and outstanding at June 30,
2004.

Revenue Recognition
-------------------

Construction Contracts

The  Company  recognizes  revenues  from  fixed-price  and  modified fixed-price
construction  contracts  on the percentage-of-completion method, measured by the
percentage  of  cost incurred to date to estimated total cost for each contract.
That  method  is  used  because  management  considers total cost to be the best
available  measure  of  progress  on  the  contracts.  Because  of  inherent
uncertainties  in  estimating costs, it is at least reasonably possible that the
estimates  used  will  change  within  the  near  term.

Contract  costs  include  all direct material and labor costs and those indirect
costs  related to contract performance, such as indirect labor, supplies, tools,
repairs,  and  depreciation.  Selling,  general,  and  administrative  costs are
charged  to expense as incurred.  Provisions for estimated losses on uncompleted
contracts  are  made in the period in which such losses are determined.  Changes
in  job  performance,  job conditions, and estimated profitability may result in
revisions  to  costs and income, which are recognized in the period in which the
revisions are determined.  Changes in estimated job profitability resulting from
job  performance,  job  conditions,  contract penalty provisions, claims, change
orders,  and  settlements,  are  accounted  for  as  changes in estimates in the
current  period.

As  of  June 30, 2004, the Company has discontinued substantially all of its CPI
and  AFFS  construction  business  (see  Note  D  and  K)  while initiating fuel
construction bidding for H.B. Covey. At June 30, 2004 H.B. Covey had $207,000 in
fuel  construction  contracts  to  commence  during  the  fourth  quarter.


                                        8
<PAGE>
                     ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL INFORMATION
                                  JUNE 30, 2004
                                   (UNAUDITED)

NOTE A - SUMMARY OF ACCOUNTING POLICIES (CONTINUED)

Revenue Recognition (Continued)
-------------------------------

Environmental Services

For  revenue  from  products  and  services,  the  Company recognizes revenue in
accordance  with  SEC Staff Accounting Bulletin No. 101, "Revenue Recognition in
Financial  Statements"  ("SAB  101").  SAB 101 requires that four basic criteria
must  be  met  before  revenue  can be recognized: (1) persuasive evidence of an
arrangement  exists;  (2)  delivery has occurred or services have been rendered;
(3)  the  selling  price  is  fixed  and determinable; and (4) collectibility is
reasonably  assured.  Determination  of  criteria  (3)  and  (4)  are  based  on
management's  judgments  regarding the fixed nature of the selling prices of the
products  delivered/services  rendered  and the collectibility of those amounts.
Provisions  for  discounts  and  rebates  to  customers,  estimated  returns and
allowances,  and  other  adjustments  are  provided  for  in the same period the
related  sales  are  recorded.  The  Company  defers  any  revenue for which the
product  has  not been delivered or services has not been rendered or is subject
to  refund  until  such time that the Company and the customer jointly determine
that  the  product has been delivered or services has been rendered or no refund
will  be  required.

On December 17, 2003, the SEC staff released Staff Accounting Bulletin (SAB) No.
104,  Revenue  Recognition.  The  staff updated and revised the existing revenue
recognition  in Topic 13, Revenue Recognition, to make its interpretive guidance
consistent  with  current accounting guidance, principally EITF Issue No. 00-21,
"Revenue  Arrangements  with Multiple Deliverables".  Also, SAB 104 incorporates
portions  of  the Revenue Recognition in Financial Statements - Frequently Asked
Questions  and  Answers  document  that  the  SEC  staff considered relevant and
rescinds  the  remainder.  The  company's  revenue  recognition  policies  are
consistent  with  this  guidance;  therefore,  this  guidance  will  not have an
immediate  impact  on  the  company's  financial  statements.

As  of  June  30,  2004,  the  Company has discontinued substantially all of its
environmental services business (see Note D and K).

Inventories
-----------

Inventory  is  stated  at  the  lower of cost, using the average cost method, or
market. Components of inventories as of June 30, 2004 are as follows:

<TABLE>
<CAPTION>
<S>                          <C>
Finished goods               $438,192
                             --------
Total                        $438,192
                             ========
</TABLE>

NOTE B - BUSINESS COMBINATION AND CORPORATE RESTRUCTURE

On  December  30, 2003, the Company acquired through a Share Exchange Agreement,
all  of  the  issued  and  outstanding  stock of CPI Development, Inc., formally
Christie  Peterson  Development  Corporation,  Inc.  ("CPI"),  Advanced  Fuel
Filtration  Systems  Inc. ("Advanced Fuel") and H.B. Covey, Inc. ("H.B. Covey").
From  its  inception and up to December 30, 2003, the Company had no significant
assets  or  operations.  Subsequent  to the acquisition, CPI, Advanced Fuel, and
H.B.  Covey  became  wholly-owned subsidiaries of the Company.  The value of the
Company's  common  stock  issued  was  the  historical cost of the Company's net
tangible  assets,  which  did  not  differ materially from their fair value.  In
accordance  with  Statement  of Financial Accounting Standards No. 141, Business
Combinations,  the  Company  is  the  acquiring  entity.


                                        9
<PAGE>
                     ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL INFORMATION
                                  JUNE 30, 2004
                                   (UNAUDITED)

NOTE B - BUSINESS COMBINATION AND CORPORATE RESTRUCTURE (CONTINUED)

For  the  acquisition  of CPI Development, Inc. ("CPI"), the total consideration
paid  was  $3,238,483  and  the significant components of the transaction are as
follows:

<TABLE>
<CAPTION>
<S>                                                              <C>
     Net liabilities assumed in excess of assets                 $3,238,483
     Cash paid                                                            -
                                                                 ----------
     Total consideration paid/goodwill                           $3,238,483
                                                                 ==========
</TABLE>

Subsequent  to  the  date  of  financial  statements, CPI filed bankruptcy under
Chapter  7  of  the  U.S.  Bankruptcy  Code  (see  Note  K).

For the acquisition of Advanced Fuel Filtration Systems, Inc. ("Advanced Fuel"),
the  total  consideration  paid was $2,855,626 and the significant components of
the  transaction  are  as  follows:

<TABLE>
<CAPTION>
<S>                                                              <C>
     Net liabilities assumed in excess of assets                 $1,855,626
     Cash paid                                                    1,000,000
                                                                 ----------
     Total consideration paid/goodwill                           $2,855,626
                                                                 ==========
</TABLE>

Subsequent  to  the date of financial statements, Advanced Fuel filed bankruptcy
under Chapter 7 of the U.S. Bankruptcy Code (see Note K).

For the acquisition of H.B. Covey, the total consideration paid was $954,911 and
the  significant  components  of  the  transaction  are  as  follows:

<TABLE>
<CAPTION>
<S>                                                             <C>
     Net assets acquired in excess of liabilities               $  (45,089)
     Cash paid                                                   1,000,000
                                                                -----------
     Total consideration paid/goodwill                          $  954,911
                                                                ===========
</TABLE>

On  January  21,  2004,  Entech  completed  Capital  Stock  Exchange  Agreement
("Agreement")  with  Cyber Public Relations, Inc. ("Cyber") an inactive publicly
registered  shell  corporation  with  no  significant assets or operations.  For
accounting  purposes,  Entech shall be the surviving entity.  The transaction is
accounted for using the purchase method of accounting.  The total purchase price
and carrying value of net assets acquired of Cyber was $297,578.  From June 1998
until  the  date  of  the  merger,  Cyber  was  an  inactive corporation with no
significant  assets  and  liabilities.  As  Cyber  Public Relations, Inc. was an
inactive  corporation  with  no significant operations, the Company recorded the
carryover historical basis of net tangible assets acquired, which did not differ
materially  from their historical cost.  The results of operations subsequent to
the  date  of  merger  are  included in the Company's consolidated statements of
losses.

Effective  with  the  Agreement, all of the previously issued outstanding common
stock,  preferred  stock,  options and warrants owned by the Entech shareholders
were exchanged for an aggregate of 9,550,000 shares of Cyber's restricted common
stock.  As  a  result  of  the  Agreement,  there was a change in control of the
Company.

Effective  with  the  Agreement, all shares previously outstanding common stock,
preferred  stock, options and warrants other than 315,000 shares of common stock
owned by Cyber Public Relations, Inc.'s stockholder were returned to the Company
for cancellation.  In accordance with SOP 98-5, the Company expensed $297,578 as
organization  costs.


                                       10
<PAGE>
                     ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL INFORMATION
                                  JUNE 30, 2004
                                   (UNAUDITED)

NOTE B - BUSINESS COMBINATION AND CORPORATE RESTRUCTURE (CONTINUED)

The  total consideration paid was $297,578 and the significant components of the
transaction  are  as  follows:

<TABLE>
<CAPTION>
<S>                                                                <C>
     Common stock retained                                         $    315
     Liabilities assumed in excess of assets                         22,263
     Cash paid                                                      275,000
                                                                   --------
     Total consideration paid/organization cost                    $297,578
                                                                   ========
</TABLE>

NOTE C - IMPAIRMENT OF GOODWILL

The  Company  has  adopted  Statement  of Financial Accounting Standards No. 142
"Goodwill  and Other Intangible Assets" (SFAS No. 142) effective August 1, 2002.
SFAS  No.  142 addresses how intangible assets that are acquired individually or
with  a  group  of  other assets should be accounted for in financial statements
upon  their acquisition.  This statement requires goodwill amortization to cease
and  for  goodwill  to  be  periodically  reviewed  for  impairment.

Under  SFAS  No.  142,  goodwill  impairment  occurs  if the net book value of a
reporting  unit  exceeds  its  estimated  fair value.  The test completed in the
second  and third quarter of 2004 indicated that the recorded book value of this
reporting  unit exceeded its fair value, as determined by discounted cash flows.
The  decrease  in  fair  value  is  a  result  of:

     -    Significant  operating  losses  during  the  past  nine  months
     -    Unanticipated  decline  in  revenues  and  profitability
     -    Loss  of  key  personnel

As  a result of these events and circumstances, Company management believes that
more  likely  than  not the fair value of the reporting unit's goodwill has been
reduced  below  its  carrying  value.  As  a  result,  management  performed  an
evaluation  of  the reporting unit's tangible and intangible assets for purposes
of  determining  the  implied  fair  value  of  goodwill at June 30, 2004.  Upon
completion  of  the assessment, management recorded a non-cash impairment charge
of  $(5,906,770)  net  of tax, or $(.42) per share during the quarter ended June
30,  2004  and  $(7,049,020) net of tax, or $(.85) per share for the nine months
ended  June 30, 2004, to reduce the carrying value of goodwill in this reporting
unit  to  its estimated value of zero at June 30, 2004.  Considerable management
judgment is necessary to estimate fair value.  Accordingly, actual results could
vary  significantly  from  managements'  estimates.

NOTE D - DISCONTINUED OPERATIONS

On June 30, 2004, the management received the authority to proceed with the plan
of  disposal  of its CPI and AFFS subsidiaries.  Due to inadequate financing and
the  Company's  working  capital deficiency, Management has made the decision to
discontinue  its  operations  of  the  CPI  and  AFFS  subsidiaries.  While this
decision  has  been  made,  it is the Company's intention to operate its current
business  for  such  a period of time as necessary to wind down operations.  The
following  summarizes  the  assets and liabilities of discontinued operations at
June  30,  2004:

<TABLE>
<CAPTION>
<S>                                                              <C>
Assets:
Accounts Receivable, net of allowance for doubtful accounts      $2,627,787
Prepaid Expenses                                                    291,971
Property and Equipment, net of accumulated depreciation             433,630
Deposits                                                              4,690
                                                                 ----------
Total Assets                                                     $3,358,078
                                                                 ==========
</TABLE>


                                       11
<PAGE>
                     ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL INFORMATION
                                  JUNE 30, 2004
                                   (UNAUDITED)

NOTE D - DISCONTINUED OPERATIONS (CONTINUED)

<TABLE>
<CAPTION>
<S>                                                             <C>
          Liabilities:
          Accounts Payable and Accrued Liabilities              $13,906,894
          Deferred Income                                           315,167
          Notes Payable                                           1,719,368
          Long Term Notes Payable                                 3,086,892
                                                                -----------
          Total Liabilities                                     $19,028,321
                                                                ===========
</TABLE>

The  financial  statements reflect the operating results and balance sheet items
of  the  discontinued  operations  separately from continuing operations.  Prior
years have been restated.  Operating results for the discontinued operations for
the  nine-month  periods  ended  June  30,  2004  and  2003  were:

<TABLE>
<CAPTION>
                                               2004               2003
                                           -------------      -------------
<S>                                        <C>                <C>
          Revenue                          $ 18,323,137       $ 32,160,808
          Expenses                          (31,213,927)       (30,262,270)
                                           -------------      -------------
          Net Income (Loss)                $(12,890,790)      $  1,898,538
                                           =============      =============
</TABLE>

Depreciation  and  amortization  expenses  included  in expenses of discontinued
operations  amounted to $1,388,206 and $125,690 for the nine-month periods ended
June  30,  2004  and  2003,  respectively.

NOTE E - AGREEMENT WITH FACTOR

The  Company  has  an  arrangement  for  a factoring facility whereby the factor
purchases  eligible  receivables and advances 80 percent of the purchased amount
to  the Company.  Purchased receivables may not exceed $700,000 at any one time.
Either  party  may cancel the arrangement with 30 days notice.  This arrangement
is  accounted  for  as a sale of receivables on which the factor has recourse to
the  20  percent  residual  of  aggregate receivables purchased and outstanding.
Interest  payable  by  the  Company  to the factor is calculated at prime plus 2
percent  of the amount of the receivable factored plus a variable (0.025 percent
per  day)  discount  fee  computed  on  the  amount  advanced to the Company and
accruing  on  the  basis  of actual days elapsed from the date of the 80 percent
advance  until  3 days after collection of such account receivable by the factor
at  a  per  annum rate equal to an internal rate set by the factor.  The rate at
June  30, 2004 was 9 percent.  In connection with this agreement, the Company is
required  to  maintain  certain  financial  covenants.

At  June 30, 2004, balance due from factor (included in accounts receivable) was
as  follows:

<TABLE>
<CAPTION>
<S>                                                               <C>
          Accounts Receivable - Factored                          $ 395,296
          Less: Advance from Factor                                (316,237)
                                                                  ----------
          Net Due from Factor                                     $  79,059
                                                                  ==========
</TABLE>

NOTE F - PROPERTY AND EQUIPMENT

Major  classes  of  property  and  equipment  at  June  30,  2004 consist of the
followings:

<TABLE>
<CAPTION>
<S>                                                              <C>
          Transportation Equipment                                $  53,631
          Tools and Equipments                                      210,195
          Office Furniture                                          250,017
                                                                  ----------
          Total                                                     513,843
          Less: Accumulated Depreciation                           (316,150)
                                                                  ----------
          Net Property and Equipment                              $ 197,693
                                                                  ==========
</TABLE>


                                       12
<PAGE>
                     ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL INFORMATION
                                  JUNE 30, 2004
                                   (UNAUDITED)

NOTE G - NOTES PAYABLE

Notes payable at June 30, 2004 are as follows:

<TABLE>
<CAPTION>
<S>                                                                                        <C>
  Note payable to a stockholder; unsecured; non interest bearing, payable on demand        $   450,191
  Note Payable to a stockholder, unsecured; non interest bearing, payable on demand            127,500
  Note Payable to a related party, non interest bearing, payable on demand                      50,000
  Note Payable, related party due upon completion of equity funding; non-interest bearing    1,000,000
  Note Payable, related party due upon completion of equity funding; non-interest bearing      875,000
                                                                                           ------------
  Total                                                                                      2,502,691
  Less: current portion                                                                     (2,502,691)
                                                                                           ------------
  Notes payable - long term                                                                $         -
                                                                                           ============
</TABLE>

NOTE H - WARRANTS

The  following  table  summarizes  the  changes  in warrants outstanding and the
related  prices  for  the  shares  of  the  Company's  common  stock  issued  to
non-employees  of  the  Company.  These  warrants  were  granted in lieu of cash
compensation  for  services  performed  or  financing  expenses.

<TABLE>
<CAPTION>
                       Warrants Outstanding                     Warrants Exercisable
                       --------------------                     --------------------
                                                      Weighed                Weighted
                                                      Average                 Average
     Exercise                  Weighted Average      Exercise                Exercise
     --------     Number     Remaining Contractual   --------     Number     --------
      Prices    Outstanding       Life (Years)         Price    Exercisable    Price
      ------    -----------       ------------         -----    -----------    -----
<S>             <C>          <C>                     <C>        <C>          <C>
         $1.00    3,150,000          4.58            $    1.00    3,150,000  $    1.00
          1.10      475,375          4.58                 1.10      475,375       1.10
          2.00    2,000,000          4.58                 2.00    2,000,000       2.00
          2.50      400,000          2.63                 2.50      400,000       2.50
          3.00      400.000          2.63                 3.00      400,000       3.00
          4.00    1,000,000          4.58                 4.00    1,000,000       4.00
          6.00    1,000,000          4.58                 6.00    1,000,000       6.00
                -----------          ----            ---------  -----------  ---------
                  8,425,375          4.40            $    2.36    8,425,375  $    2.36
                ===========          ====            =========  ===========  =========
</TABLE>

Transactions involving warrants are summarized as follows:

<TABLE>
<CAPTION>
                                                          Weighted Average
                                        Number of Shares   Price Per Share
                                        ----------------   ---------------
<S>                                     <C>               <C>
     Outstanding at September 30, 2003                 -  $               -
                                        ================  =================
        Granted                                8,425,375               2.36
        Exercised                                      -                  .
        Canceled or expired                            -                  -
                                        ----------------  -----------------
     Outstanding at June 30, 2004              8,425,375  $            2.36
                                        ================  =================
</TABLE>

The  Company did not grant any compensatory warrants to non-employees during the
period ended June 30, 2004 and all previously granted warrants were fully vested
at  the  grant  date.  Accordingly, no expense was charged to operations for the
period  ended  June  30,  2004.


                                       13
<PAGE>
                     ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL INFORMATION
                                  JUNE 30, 2004
                                   (UNAUDITED)

NOTE I - CAPITAL STOCK

The  Company  has  authorized  10,000,000  shares of preferred stock, with a par
value  of  $.001  per  share.  As of June 30, 2004, the Company has no preferred
stock  issued and outstanding.  The Company has authorized 100,000,000 shares of
common  stock,  with  a  par value of $.001 per share.  As of June 30, 2004, the
Company has 14,700,832 shares of common stock issued and outstanding.

In  December  2003, the Company acquired through a Share Exchange Agreement, all
of  the  issued  and outstanding stock of CPI development Inc. and Advanced Fuel
Filtration  Systems,  Inc.  and  H.B.  Covey,  Inc.  Total  of  67,824 shares of
acquired  companies  were  canceled  subsequent to the acquisition.  The Company
also,  canceled  500  shares  of  treasury  stock for $1,250,000 relating to CPI
development  Inc.

On  January  21,  2004,  the  Company completed Capital Stock Exchange Agreement
("Agreement")  with  Cyber  Public  Relations,  Inc.  ("Cyber"  or "Company") an
inactive  publicly  registered  shell  corporation with no significant assets or
operations.  Effective  with  the  Agreement,  all  except  315,000 out of total
2,199,000  shares  of common stock was canceled and in exchange 8,550,000 shares
of  Cyber's  restricted  common  stock  were  issued.  Also,  the Company issued
500,000 shares to the employees in relation to the acquisition.

In  January  2004, the Company issued an aggregate of 1,000,000 shares of common
stock  to various outside service providers in exchange for investment and legal
services.  The  shares  were  issued at the par value of $0.001 per share, which
represents  the  fair value of the stock issued, which did not differ materially
from  the  value  of  the  services  rendered.

In  January  2004,  the Company issued 2 million shares of common stock to Baron
Partners  for  $2,000,000  of  cash,  net  of  costs  and  fees.

In March 2004, the Company issued an aggregate of 310,000 shares of common stock
to  various  investors  via  a  private placement offering for $620,000 in total
proceeds  at  $2.00  per  share,  net  of  costs  and  fees.

In March 2004, the Company issued an aggregate of 857,498 shares of common stock
to  various  investors  via a private placement offering for $1,286,247 in total
proceeds  at  $1.50  per  share,  net  of  costs  and  fees.

In March 2004, the Company issued an aggregate of 250,000 shares of common stock
to  an individual providing public market relations services at $1.50 per share,
which  represents  the  fair  value  of  the  stock issued, which did not differ
materially  from  the  value  of  the  services  rendered.

In  June 2004, the Company issued an aggregate of 918,334 shares of common stock
to  various  investors  via a private placement offering for $1,450,001 in total
proceeds,  net  of  costs  and  fees.

NOTE J - RELATED PARTY TRANSACTIONS

The  Company  leases  its  office  and warehouse space from a related party at a
monthly  rental  of $13,700 per month subject to annual increments of 4 percent.
Rental  expenses  have been included in the operating expenses for the three and
nine  months  ended  June  30,  2004.

NOTE K - SUBSEQUENT EVENTS

On  September 30, the Company formally filed bankruptcy for its CPI and Advanced
subsidiaries  in  Los  Angeles  County  (Petition Filing # LA04-30910BB) and for
Advance  Fuel  (Petition  Filing  #  LA04-30908BB),  under Chapter 7 of the U.S.
Bankruptcy  Code.


                                       14
<PAGE>
ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATIONS.

FORWARD-LOOKING INFORMATION

     Much  of  the  discussion in this Item is "forward looking" as that term is
used  in  Section  27A  of  the Securities Act and Section 21E of the Securities
Exchange  Act of 1934.  Actual operations and results may materially differ from
present  plans  and  projections  due  to  changes  in  economic conditions, new
business  opportunities,  changed  business  conditions, and other developments.
Other factors that could cause results to differ materially are described in our
filings  with  the  Securities  and  Exchange  Commission.

     There  are  several  factors  that  could cause actual results or events to
differ  materially  from  those anticipated, and include, but are not limited to
general  economic,  financial and business conditions, changes in and compliance
with  governmental  laws  and  regulations,  including various state and federal
environmental  regulations,  our  ability  to  obtain  additional financing from
outside  investors and/or bank and mezzanine lenders and our ability to generate
sufficient  revenues  to  cover  operating  losses  and  position  us to achieve
positive  cash  flow.

     Readers  are  cautioned  not to place undue reliance on the forward-looking
statements contained herein, which speak only as of the date hereof.  We believe
the  information  contained  in  this  Form 10-QSB to be accurate as of the date
hereof.  Changes  may  occur  after  that  date.   We  will  not  update  that
information  except  as  required  by  law  in  the  normal course of its public
disclosure  practices.

     Additionally,  the  following  discussion regarding our financial condition
and  results  of  operations  should  be  read in conjunction with the financial
statements  and related notes contained in Item 1 of Part I of this Form 10-QSB,
as  well as the financial statements in Item 7 of Part II of our Form 10-KSB for
the  fiscal  year  ended  December  31,  2003.

MANAGEMENT'S PLAN OF OPERATION

     General.  Through  our  wholly-owned subsidiary, H.B. Covey, Inc., we are a
provider  of  construction, repair, and maintenance services for fueling related
businesses.  Currently,  the  focus of our attention is in California.  We offer
complete  planning  and  construction  services  for  gas  stations, convenience
stores,  and  truck  stops,  as  well as comprehensive remodeling and re-imaging
services  and,  regulatory  compliance  inspections.  In  addition,  we maintain
attached  underground  storage  tanks  ("USTs")  systems,  including  piping and
dispensers,  and  related  environmental  issues.

     We  were  initially  incorporated  in  1998  in  Florida  as  Cyber  Public
Relations,  Inc.  for  the  purpose  of  providing  Internet electronic commerce
consulting  services to small and medium size businesses.  We have ceased all of
the  business  activities  formerly  undertaken by Cyber Public Relations, which
never  had  any  material  operations  or  revenues.

     On January 21, 2004, pursuant to a Capital Stock Exchange Agreement between
the  stockholders of Environmental Technologies, Inc., a Nevada corporation, the
Environmental  Technologies  stockholders transferred all of their shares of the
Environmental  Technologies  stock  to  Cyber  Public  Relations in exchange for
9,550,000  shares  of  the  common  stock  of  Cyber  Public  Relations.

     As  a  result  of  the  exchange, Environmental Technologies, Inc. became a
wholly-owned  subsidiary  of  Cyber  Public  Relations,  and  the  Environmental
Technologies  stockholders  acquired 96.81 percent of the issued and outstanding
shares of the common stock of Cyber Public Relations.  Immediately following the
exchange,  Barron Partners, LP acquired 2,000,000 shares of our common stock and
warrants  for  the purchase of 7,150,000 shares of our common stock.  We changed
our  name  to  Entech Environmental Technologies, Inc. on March 22, 2004 to more
accurately  reflect  our  business  operations.

     Our  wholly-owned  subsidiary  Environmental Technologies, Inc. is a Nevada
corporation  located  in Pomona, California, formerly known as Parr Development,
Inc.,  which  was  incorporated  in  2001.  Before  the


                                       15
<PAGE>
mergers  of  its subsidiaries described in this Item 2, Parr Development had not
engaged  in  any operations.  Parr Development changed its name to Environmental
Technologies  in  2003.

     Initially,  Entech  was  the  result  of  the recent combination of several
companies:

-    Christie-Peterson  Development,  a  California  corporation incorporated in
     1995,  a  provider  of  construction,  repair, and maintenance services for
     petroleum  service  stations  in  California,  Nevada,  and  Arizona;

-    H.B.  Covey,  Inc., a California corporation incorporated in 1971 but which
     has  been  in  business  since  1948,  a  fueling  station  diagnostic  and
     maintenance  company with petroleum construction experience in building and
     maintaining  service  stations;  and

-    Advanced  Fuel  Filtration  Systems,  Inc.,  a  California  corporation
     incorporated  in  1995 (herein sometimes referred to as "AFFS"), a provider
     of  comprehensive  environmental  management  solutions  for  the petroleum
     industry,  with  operations  including  fuel  and  chemical transportation,
     hazardous  and non-hazardous waste disposal, emergency HAZMAT response, and
     underground  storage  tank  cleaning  and  filtration  services.

     We  also  formed  another wholly-owned subsidiary, Future Fuels Technology,
Inc.,  a  California  corporation.

     The  mechanics  of  the  combination  of  the component companies of Entech
initially  occurred  with  the  reverse  triangular  mergers  between  each  of
Christie-Peterson,  H.B. Covey and AFFS with three subsidiaries of Environmental
Technologies.  In  each  case, the stockholders of Christie-Peterson, H.B. Covey
and  AFFS  existing  before  the  mergers received shares of the common stock of
Environmental  Technologies  in  exchange  for all of their shares in the merged
companies.  Following the reverse triangular mergers, Environmental Technologies
had three wholly-owned subsidiaries, Christie-Peterson, H.B. Covey, and AFFS, in
addition  to  Future  Fuels  Technology.

     Christie-Peterson  Development.  Through  our Christie-Peterson subsidiary,
we  were  a  provider  of  construction,  repair,  and  maintenance services for
petroleum service stations in California, Nevada, and Arizona.  However, on June
30,  2004,  we  ceased all activities through Christie-Peterson due to a lack of
profitability.

     H.B. Covey, Inc.  Our H.B. Covey subsidiary is a fueling station diagnostic
and  maintenance company with over 55 years of petroleum construction experience
in  building and maintaining service stations.  Our maintenance services include
on-going,  routine  maintenance,  in  addition  to  providing  quick response to
emergency  situations.  Through H.B. Covey, we are able to conduct comprehensive
service  station  diagnostic  and  maintenance  services, including diagnosis of
integrity  and  corrosion of USTs, pipes, and pumps, installation and removal of
petroleum  and  chemical  tanks,  remediation  systems installation, excavation,
containment systems, and installation of on-site screening equipment.

     Advanced  Fuel  Filtration  Systems, Inc.  Advanced Fuel Filtration Systems
was  a  provider  of  comprehensive  environmental  management solutions for the
petroleum industry, with operations, including fuel and chemical transportation,
hazardous  and  non-hazardous  waste  disposal,  emergency  HAZMAT response, and
underground storage tank cleaning and filtration services.  However, on June 30,
2004,  we  ceased  all  activities  through  Christie-Peterson  due to a lack of
profitability.

     Future  Fuels  Technology,  Inc.  Future  fuels  seeks to take advantage of
government  mandates  to convert municipal and private fleets to cleaner burning
alternative  fuels.  Future  Fuels Technology will build the alternative fueling
sites.

STRATEGIC ACQUISITIONS AND EXPANSION

     In order to expand our general service station construction and maintenance
business  and  further  build  our revenues, we have undertaken an expansion and
acquisition  program to capitalize upon our experience, strategic relationships,
favorable  market  space,  and operational advantages.  We intend to broaden our
operations  through acquisitions of synergistic fit candidates and become a full
service  environmental  management  company,  offering


                                       16
<PAGE>
complete  end-to-end  construction, maintenance, and repair of service stations,
and  begin  to offer services oriented towards the future of the energy industry
with  alternative  fueling  technology  construction.  We expect that H.B. Covey
will enable us to perform construction and repair contracts, strengthen customer
relationships,  and  increase  operating efficiencies, market penetration and/or
product  superiority  in  order  to  build  competitive  advantage  and increase
stockholder  value.

     In  addition  to  our traditional fuel system maintenance, we have recently
entered  into  a  contract  with  Sears,  a  major retailer to install household
appliances  including;  hot  water  heaters,  garbage  disposals,  window  air
conditioning  units,  etc.  The  initial service area will include 32 stores and
approximately  1,000  square  miles.  We anticipate expansion in both geographic
coverage  and  customer  base.

OUR FINANCIAL RESULTS MAY BE AFFECTED BY FACTORS OUTSIDE OF OUR CONTROL

     Our future operating results may vary significantly from quarter to quarter
due  to  a  variety  of  factors,  many  of  which are outside our control.  Our
anticipated  expense  levels  are  based,  in  part,  on our estimates of future
revenues but, may vary from what we expect.  We may be unable to adjust spending
rapidly  enough  to  compensate  for  any  unexpected  revenues  shortfall.
Accordingly,  any  significant  shortfall in revenues in relation to our planned
expenditures  would materially adversely affect our business, operating results,
and  financial  condition.

     We  cannot  predict  with  certainty  our  revenues  and operating results.
Further,  we  believe that period-to-period comparisons of our operating results
are  not  necessarily  a  meaningful  indication  of  future  performance.

EMPLOYEES

     Currently, we have approximately 30 employees.  As we grow, we will need to
attract  an  unknown number of additional qualified employees.  Although we have
experienced  no  work stoppages and believe our relationships with our employees
are  good,  we  could  be  unsuccessful  in attracting and retaining the persons
needed.  None  of our employees are currently represented by a labor union.  Our
operational  hub  is  located  in the Inland Empire area of southern California,
which is considered to be one of the fastest growing areas in the United States.
The dense population is expected to provide a ready source of available labor to
support  our  growth.

RESULTS OF OPERATIONS

THREE MONTHS ENDED JUNE 30, 2004 COMPARED TO THE CORRESPONDING PERIOD IN 2003.

     As noted above, we discontinued operations of our CPI and AFFS subsidiaries
effective June 30, 2004.  As a result, the majority of our previous revenues and
expenses  are  no  longer  included in operations.  Our remaining operations now
consist solely of H.B. Covey and Entech, the corporate parent.

     Total  net  sales  and  revenues were flat at $392,000 for the three months
ended  June  30,  2004  compared  to  $385,000 for the prior period, a gain of 2
percent.

     Our  gross profit for the three months ended June 30, 2004 compared to 2003
decreased  to  $75,000  from  $160,000.  Gross  margin  as a percentage of sales
decreased to 19 percent in 2004 from 41 percent in 2003.  Liquidity difficulties
impacted  our  ability  to  efficiently  purchase materials and deliver services
during  the  quarter.

     Total  operating expenses for the three months ended June 30, 2004 compared
to  2003  increased  by  $9.966  million to $10.277 million from $311,000 in the
prior period.

     Included  within  the  $9.966 million increase compared to the three months
ended  June  30,  2003  is  $5.907 million of goodwill impairment related to the
pending  CPI  and  AFFS  dispositions. Also included is $4.015 million of EnTech
corporate  parent  expenses,  including  $3.256  million  to  fully  reserve
intercompany  receivables  belonging  to CPI and AFFS. The remaining $759,000 of
EnTech  spending  was to comply with initial public market reporting and audits,
public  relations  and  fund  raising. EnTech, the public company, was formed in
January  2004.  As a result, the required public reporting and related expenses,
did  not  exist  in  the prior June 2003 period. After discontinuing the CPI and
AFFS  operations in June 30, 2004, EnTech corporate parent drastically cut costs
to be approximately 10 percent of remaining H.B. Covey revenues for the upcoming
fiscal  2005  period.


                                       17
<PAGE>
     Excluding  corporate  parent  costs, H.B. Covey SG&A increased $88,000 from
$311,000  for  the  three  months ended June 30, 2003 to $355,000 in the current
period  largely  driven  by  higher  insurance  costs  and  bad debt write offs.

     Operating  loss  increased  from  a  loss  of $151,000 to a loss of $10.202
million  for  the  three  months ended June 30, 2004. This decrease reflects the
lower  gross  margins  compared  to  the  comparable  period.  In  addition, the
increased  operating  expenses reflect the impaired goodwill, increased spending
to  comply  with  initial  public market reporting and audits, public relations,
fund raising and the reserved intercompany receivables as identified above.

     Interest expense, net for the three months ended June 30, 2004 increased to
$1,250  from  zero  in  the  same  period  of  2003.

     Discontinued  income for the three months ended June 30, 2004 declined to a
loss  of  $9.965  million  from a profit of $422,000 in the same period of 2003.
Included in the June 30, 2004 period loss of $9.965 million is $1.711 million in
negative  gross  margin,  $862,000  in  payroll and related expense, $301,000 in
vehicle  and  related expense, $306,000 in office and related expenses, $138,000
for  insurance  expenses, $117,000 in occupancy and related expenses, $25,000 in
legal expenses, $2.230 million in bad debts, $1.309 in depreciation and reserved
fixed assets, $84,000 in interest expense and $2.882 million of accrued expenses
related  to  the  pending  CPI  and  AFFS subsidiary dispositions. 82 percent or
$8.132  million of the total $9.965 million loss directly relates to the pending
closure  and  write  offs of the CPI and AFFS businesses. The direct closure and
write  off  costs  are  the  negative  gross margin, bad debts, charges to fully
reserve  for  fixed  assets  and  accrued  expenses  for  subsidiary disposition
identified  above.

     Net  loss  from  continuing  operations for the three months ended June 30,
2004 increased to a loss of $10.181 million from a loss of $151,000 in the third
quarter  as  a  result of the combination of factors described above. Net income
including  discontinued operations decreased to a loss of $20.146 million from a
profit  of  $271,000  in  the  prior period as a result of the factors described
above.

Nine Months Ended June 30, 2004 Compared to the Nine Months Ended June 30, 2003

     Net  Sales  decreased to $1,069,000 for the nine months ended June 30, 2004
from  $1,477,000  for  the comparable period, a 28 percent decrease.  All of the
year  to  date decline occurred in the first half of the year.  To help grow the
larger  revenue  base  of  CPI  construction,  H.B. Covey was largely focused on
expanding  CPI's  fuel construction business.  For fiscal 2005, H.B. Covey plans
to  grow  both  its  existing  fuel  maintenance business as well as expand into
profitable  fuel  construction.

     Gross  profit  for  the  nine  months  ended June 30, 2004 compared to 2003
decreased  53  percent to $323,000 from $691,000 in the prior period. Similar to
sales,  a majority of the year to date decline occurred in the first half of the
year.  Gross  profit as a percentage of sales for the nine months ended June 30,
2004  compared  to  2003  decreased  to  30  percent  from  47  percent.

     Total  operating  expenses for the nine months ended June 30, 2004 compared
to  2003 increased $13.161 million to $13.985 million from $824,000 in the prior
period.  Included within the $13.161 million increase from the nine months ended
June  30,  2003  is $7.049 million of goodwill impairment related to the pending
CPI  and  AFFS dispositions. Also included is $5.940 million of EnTech corporate
parent  expenses  including  $3.256  million  to  fully  reserved  intercompany
receivables  belonging  to  CPI and AFFS. The remaining $2.684 million of EnTech
corporate expense, largely incurred during the March 2004 quarter, was to comply
with  initial  public  market  reporting  and  audits, public relations and fund
raising.  EnTech,  the  public company, was formed in January 2004. As a result,
the required public reporting and related costs, did not exist in the prior June
2003  period.  After discontinuing the CPI and AFFS operations in June 30, 2004,
EnTech  corporate parent drastically cut costs to be approximately 10 percent of
remaining  H.B.  Covey  revenues  for  the  upcoming  fiscal  2005  period.

     Excluding  our  corporate  parent costs, H.B. Covey SG&A increased $172,000
from $824,000 for the nine months ended June 30, 2003 to $996,000 in the current
period due to higher payroll and related expense, insurance costs and bad debts.

     Operating  loss  increased  from  a  loss  of $133,000 to a loss of $13.662
million for the nine months ended June 30, 2004, an increase of $13.529 million.
This  increase  reflects  the  lower  sales  and  gross  margins compared to the
comparable  period and the $7.049 million of impaired goodwill. In addition, the
increased  SG&A  costs  of $6.112 million largely reflects increased spending to
comply  with  initial public market reporting and audits, public relations, fund
raising  and  reserved  intercompany  receivables  as  identified  above.


                                       18
<PAGE>
     Interest expense, net for the three months ended June 30, 2004 increased to
$1,250  from  zero  in  the  same  period  of  2003.

     Discontinued  operating  income  for  the  nine  months ended June 30, 2004
declined  to  a  loss  of $12.891 million from a profit of $1.899 million in the
same  period  of  2003.  $9.965  million  or  77  percent  of  the $12.9 million
year-to-date  loss  was  incurred  during  the June 30, 2004 quarter as detailed
above  in  the three months ended June 30, 2004 discussion. Included in the nine
months  ended  June 30, 2004 period is $430,000 in negative gross margin, $3.045
million in payroll and related expense, $623,000 in vehicle and related expense,
$842,000  in  office  and  related  expenses,  $489,000  for insurance expenses,
$358,000  in  occupancy and related expenses, $145,000 in legal expenses, $1.388
million  in depreciation and reserved fixed assets, $226,000 in travel, $218,000
in  other,  $2.245  million  in bad debts and $2.882 million of accrued expenses
related  to  the  pending  CPI  and  AFFS subsidiary dispositions. 64 percent or
$8.226  million  of the total $12.9 million loss directly relates to the pending
closure  and  write  offs of the CPI and AFFS businesses. The direct closure and
write  off  costs  are the $1.711 million third quarter negative gross margin as
well  as  the  bad  debts, charges to fully reserve for fixed assets and accrued
expenses  for  subsidiary  disposition  identified  above.

     Net  loss  from  continuing  operations for the three months ended June 30,
2004 increased to a loss of $10.181 million from a loss of $151,000 in the third
quarter  as  a  result of the combination of factors described above. Net income
including  discontinued operations decreased to a loss of $20.146 million from a
profit  of  $271,000  in  the  prior period as a result of the factors described
above.

LIQUIDITY AND CAPITAL RESOURCES

     As  of  June  30,  2004,  we  had  a deficiency in working capital of $ 3.0
million.  For  the nine months ended June 30, 2004, we generated a net cash flow
deficit  from  operating activities of $5.2 million consisting primarily of year
to  date  losses  of  $26.5 million, adjusted for non cash expenses of $13.5 and
$3.7  million  in  discontinued  operating  expenses  and  continuing  operating
expenses, respectively, as well as a net increase in current liabilities of $4.1
million.  The  $13.5 million of non cash expenses within discontinued operations
consisted  of $7.0 million for goodwill impairment, $1.4 million in depreciation
and  reserved  fixed  assets  increases,  $2.2 million increase in allowance for
uncollectible  accounts  receivable and $2.9 million of accrued expenses related
to  the  pending  CPI  and  AFFS  subsidiary  dispositions.

     Cash  used in investing activities totaled $0.2 million, used for property,
plant,  and  equipment, and note payable reductions.  Cash provided by financing
activities  totaled  $5.4  million consisting primarily of the net proceeds from
issuance  of  our  restricted  common  stock.


                                       19
<PAGE>
     We expect capital expenditures to be nominal for the balance of fiscal 2004
and  $180,000 for fiscal 2005.  These anticipated expenditures are for continued
investments  in  property  and  equipment  used  in  our  business.

     By adjusting our operations and development to the level of capitalization,
we  believe  we  have  sufficient  capital resources to meet projected cash flow
deficits.  However,  if  during that period or thereafter, we are not successful
in  generating  sufficient  liquidity  from  operations or in raising sufficient
capital resources, on terms acceptable to us, this could have a material adverse
effect on our business, results of operations liquidity and financial condition.

     The  Company  has  a  variety of debt agreements.  Please see Note G in our
Form  10-QSB  for the quarter ended June 30, 2004 for the terms of each separate
agreement.

DISCONTINUED OPERATIONS

     On June 30, 2004, we decided to discontinue operations of AFFS and CPI, two
of  our  subsidiaries  and  classified  their  operating results as discontinued
operations as well as impaired all outstanding goodwill.  On September 30, 2004,
we  formally  filed  Chapter  7  bankruptcy for the two companies in Los Angeles
County,  California.

     We  have  relied  mostly on advances and sale of our common stock to one of
significant  stockholders,  Barron  Partners,  LP.  There  is  no  assurance the
stockholder  will  continue  to  provide sufficient funds for us to successfully
continue our operations.  Therefore, we will need additional capital to continue
our  operations  and  will  endeavor  to  raise funds through the sale of equity
shares  and  revenues  from  operations.

     There can be no assurance that we will generate revenues from operations or
obtain  sufficient  capital  on  acceptable terms, if at all.  Failure to obtain
such capital or generate such operating revenues would have an adverse impact on
our  financial  position  and results of operations and ability to continue as a
going  concern.  Our  operating  and capital requirements during the next fiscal
year  and thereafter will vary based on a number of factors, including the level
of  sales  and marketing activities for its services and products.  There can be
no  assurance  that  additional  private  or  public financing including debt or
equity  financing,  will  be  available  as  needed,  or, if available, on terms
favorable  to  us.  Any  additional  equity  financing  may  be  dilutive  to
stockholders  and such additional equity securities may have rights, preferences
or privileges that are senior to those of our existing common stock.

     Furthermore, debt financing, if available, will require payment of interest
and  may  involve  restrictive  covenants  that  could impose limitations on our
operating  flexibility.  Our  failure  to  successfully obtain additional future
funding  may  jeopardize  our  ability  to continue our business and operations.


                                       20
<PAGE>
     If  we  raise  additional  funds  by  issuing  equity  securities, existing
stockholders  may  experience  a dilution in their ownership.  In addition, as a
condition to giving additional funds to us, future investors may demand, and may
be  granted,  rights  superior  to  those  of  existing  stockholders.

BUSINESS CONCENTRATION

     During  the  nine  months  ended June 30, 2004, we recognized approximately
55.7  percent  of  our  revenues  from  continuing  operations  coming  from two
customers.  During  the  nine  months  ended  June  30,  2003,  we  recognized
approximately  55.8  percent  of  our revenues from continuing operations to two
customers.  While  we  consider  our  relationships  with  the  customers  to be
satisfactory,  given  the concentration of our sales to a few key customers, our
continued  relationships  may  be  subject  to the policies and practices of the
customers.  We  continue  to  concentrate  our efforts on expanding our customer
base  in  order  to  reduce  our  reliance  on  our  current  customers.

INFLATION

     In  our  opinion,  inflation has not had a material effect on our financial
condition  or  results  of  our  operations.

TRENDS, RISKS AND UNCERTAINTIES

     We have sought to identify what we believe to be the most significant risks
to  our  business, but we cannot predict whether, or to what extent, any of such
risks  may be realized nor can we guarantee that we have identified all possible
risks  that  might  arise.  Investors should carefully consider all of such risk
factors  before  making an investment decision with respect to our common stock.

CAUTIONARY FACTORS THAT MAY AFFECT FUTURE RESULTS

     We  provide the following cautionary discussion of risks, uncertainties and
possible  inaccurate  assumptions  relevant  to  our  business and our products.
These  are  factors  that  we  think  could  cause  our actual results to differ
materially from expected results.  Other factors besides those listed here could
adversely  affect  us.

POTENTIAL FLUCTUATIONS IN QUARTERLY OPERATING RESULTS

     Our  quarterly  operating results may fluctuate significantly in the future
as  a  result  of  a  variety of factors, most of which are outside our control,
including:  the  demand  for  our  products;  seasonal trends in purchasing, the
amount  and  timing  of  capital  expenditures  and  other costs relating to the
development  of  our  products;  price  competition  or  pricing  changes in the
industry;  technical  difficulties  or  system  downtime;  general  economic
conditions,  and economic conditions specific to the consumer lighting industry.
Our  quarterly  results  may also be significantly impacted by the impact of the
accounting  treatment  of acquisitions, financing transactions or other matters.
Particularly  at  our  early stage of development, such accounting treatment can
have  a  material  impact  on the results for any quarter.  Due to the foregoing
factors,  among  others, it is likely that our operating results will fall below
our  expectations  or  those  of  investors  in  some  future  quarter.

DEPENDENCE UPON MANAGEMENT

     Our  future  performance  and  success  are  dependant upon the efforts and
abilities  of  our  management.  To  a very significant degree, we are dependent
upon  the  continued  services  of Burr Northrop, our president.  If we lost the
services  of  Mr. Northrop before we could get qualified replacements, that loss
could materially adversely affect our business.  We do not maintain key man life
insurance  on  any  of  our  management.

LACK OF INDEPENDENT DIRECTORS

     We  cannot  guarantee  that  our board of directors will have a majority of
independent  directors  in  the  future.  In  the  absence  of  a  majority  of
independent  directors,  our  executive  officers,  who  are  also  principal
stockholders and directors, could establish policies and enter into transactions
without  independent  review  and  approval  thereof.  This  could  present  the
potential  for  a conflict of interest between us and our stockholders generally
and  the  controlling  officers,  stockholders  or  directors.

LIMITATION OF LIABILITY AND INDEMNIFICATION OF OFFICERS AND DIRECTORS

     Our  officers  and  directors  are required to exercise good faith and high
integrity  in  our  management  affairs.  Our articles of incorporation provide,
however,  that  our  officers  and  directors  shall  have  no  liability to our
stockholders  for  losses sustained or liabilities incurred which arise from any
transaction in their respective managerial capacities unless they violated their
duty of loyalty, did not act in good faith, engaged in intentional misconduct or
knowingly  violated  the law, approved an improper dividend or stock repurchase,
or  derived  an  improper benefit from the transaction.  Our articles and bylaws
also provide for the indemnification by us of the officers and directors against
any losses or liabilities they may incur as a result of the manner in which they
operate  our  business  or  conduct  the  internal  affairs,  provided  that  in
connection  with  these  activities  they act in good faith and in a manner that
they  reasonably  believe  to  be in, or not opposed to, our best interests, and
their  conduct  does  not  constitute  gross negligence, misconduct or breach of
fiduciary  obligations.


                                       21
<PAGE>
CONTINUED CONTROL BY CURRENT OFFICERS AND DIRECTORS

     The  present  officers  and directors own approximately 23.2 percent of the
outstanding shares of our common stock, and therefore are in a position to elect
all  of  our  directors  and  otherwise  control  Entech,  including,  without
limitation,  authorizing  the sale of equity or debt securities, the appointment
of  officers, and the determination of officers' salaries.  Stockholders have no
cumulative  voting  rights.

MANAGEMENT OF POTENTIAL GROWTH

     We  anticipate  rapid  growth, which will place a significant strain on our
managerial,  operational,  and  financial systems resources.  To accommodate our
current  size  and  manage growth, we must continue to implement and improve our
financial strength and our operational systems, and expand, train and manage our
sales  and  distribution  base.  There  is  no guarantee that we will be able to
effectively  manage  the  expansion  of  our operations, or that our facilities,
systems,  procedures  or  controls  will  be  adequate  to  support our expanded
operations.  Our  inability to effectively manage our future growth would have a
material  adverse  effect  on  us.

LIMITED MARKET DUE TO PENNY STOCK

     Our  stock  differs  from  many  stocks, in that it is a "penny stock." The
Securities  and  Exchange  Commission  has adopted a number of rules to regulate
"penny  stocks."  These  rules  include,  but  are not limited to, Rules 3a5l-l,
15g-1,  15g-2,  15g-3,  15g-4,  15g-5,  15g-6 and 15g-7 under the Securities and
Exchange  Act  of  1934, as amended.  Because our securities probably constitute
"penny  stock"  within the meaning of the rules, the rules would apply to us and
our securities.  The rules may further affect the ability of owners of our stock
to  sell their securities in any market that may develop for them.  There may be
a  limited  market  for  penny  stocks,  due  to  the  regulatory  burdens  on
broker-dealers.  The market among dealers may not be active.  Investors in penny
stock  often  are  unable  to  sell  stock back to the dealer that sold them the
stock.  The mark-ups or commissions charged by the broker-dealers may be greater
than  any  profit a seller may make.  Because of large dealer spreads, investors
may be unable to sell the stock immediately back to the dealer at the same price
the  dealer  sold  the stock to the investor.  In some cases, the stock may fall
quickly  in  value.  Investors may be unable to reap any profit from any sale of
the  stock,  if  they  can  sell  it at all.  Stockholders should be aware that,
according  to  the Securities and Exchange Commission Release No. 34- 29093, the
market  for penny stocks has suffered in recent years from patterns of fraud and
abuse.  These  patterns  include:

-    Control  of the market for the security by one or a few broker-dealers that
     are  often  related  to  the  promoter  or  issuer;

-    Manipulation  of prices through prearranged matching of purchases and sales
     and  false  and  misleading  press  releases;

-    "Boiler  room"  practices  involving  high  pressure  sales  tactics  and
     unrealistic  price  projections  by  inexperienced  sales  persons;

-    Excessive  and  undisclosed  bid-ask  differentials  and markups by selling
     broker-dealers;  and

-    The  wholesale  dumping  of  the  same  securities by promoters and broker-
     dealers  after  prices have been manipulated to a desired level, along with
     the  inevitable  collapse  of those prices with consequent investor losses.

     Furthermore,  the  "penny  stock"  designation  may  adversely  affect  the
development  of  any  public market for our shares of common stock or, if such a
market  develops,  its  continuation.  Broker-dealers are required to personally
determine  whether  an  investment  in  "penny stock" is suitable for customers.
Penny  stocks  are  securities  (i)  with  a price of less than five dollars per
share;  (ii)  that  are  not  traded  on a "recognized" national exchange; (iii)


                                       22
<PAGE>
whose  prices  are  not  quoted  on  the  NASDAQ  automated  quotation  system
(NASDAQ-listed  stocks  must  still  meet  requirement (i) above); or (iv) of an
issuer  with net tangible assets less than $2,000,000 (if the issuer has been in
continuous  operation  for at least three years) or $5,000,000 (if in continuous
operation  for  less  than three years), or with average annual revenues of less
than  $6,000,000  for  the last three years.  Section 15(g) of the Exchange Act,
and  Rule 15g-2 of the Commission require broker-dealers dealing in penny stocks
to  provide  potential  investors  with a document disclosing the risks of penny
stocks and to obtain a manually signed and dated written receipt of the document
before  effecting  any  transaction in a penny stock for the investor's account.
Potential  investors  in  our  common  stock  are  urged to obtain and read such
disclosure  carefully  before purchasing any shares that are deemed to be "penny
stock."  Rule 15g-9 of the Commission requires broker-dealers in penny stocks to
approve  the  account  of  any  investor  for transactions in such stocks before
selling  any  penny  stock  to  that  investor.

     This  procedure  requires the broker-dealer to (i) obtain from the investor
information  concerning  his  financial  situation,  investment  experience  and
investment  objectives;  (ii)  reasonably  determine, based on that information,
that  transactions  in  penny  stocks are suitable for the investor and that the
investor  has sufficient knowledge and experience as to be reasonably capable of
evaluating  the  risks  of  penny stock transactions; (iii) provide the investor
with a written statement setting forth the basis on which the broker-dealer made
the  determination  in  (ii)  above; and (iv) receive a signed and dated copy of
such  statement  from  the  investor, confirming that it accurately reflects the
investor's financial situation, investment experience and investment objectives.
Compliance  with these requirements may make it more difficult for the Company's
stockholders  to resell their shares to third parties or to otherwise dispose of
them.

THE  TRADING  PRICE  OF  OUR COMMON STOCK MAY DECREASE DUE TO FACTORS BEYOND OUR
CONTROL.

     The  trading  price  of  the  common  stock  is  subject  to  significant
fluctuations in response to numerous factors, including:

-    Variations in anticipated or actual results of operations;

-    Announcements  of  new  products  or technological innovations by us or our
     competitors;

-    Changes in earnings estimates of operational results by analysts;

-    Results of product demonstrations.

-    Inability of market makers to combat short positions on the stock;

-    Inability  of  the  market  to  absorb  large blocks of stock sold into the
     market;

-    Comments about us or our markets posted on the Internet.

     Moreover,  the stock market from time to time has experienced extreme price
and  volume fluctuations, which have particularly affected the market prices for
emerging  growth  companies and which often have been unrelated to the operating
performance  of  the  companies.  These  broad market fluctuations may adversely
affect  the  market  price  of  our  common  stock.  If  our  stockholders  sell
substantial amounts of their common stock in the public market, the price of our
common  stock  could fall.  These sales also might make it more difficult for us
to  sell  equity  or  equity related securities in the future at a price we deem
appropriate.

WE PAY NO DIVIDENDS

     We  have  never  declared nor paid cash dividends on our capital stock.  We
currently  intend  to retain any earnings for funding growth however these plans
may  change  depending  upon  capital  raising  requirements.

QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK


                                       23
<PAGE>
     We  believe  that  we  do  not  have  any  material exposure to interest or
commodity  risks.  We  are  exposed to certain economic and political changes in
international  markets  where  we  compete,  such as inflation rates, recession,
foreign  ownership  restrictions,  and trade policies and other external factors
over  which  we  have  no  control.

     Our  financial results are quantified in U.S. dollars and a majority of our
obligations and expenditures with respect to our operations are incurred in U.S.
dollars.  In  the  past  the  majority  of  our  revenues  were derived from the
business  operations  of  our  wholly  owned  subsidiaries,  H.B.  Covey,  Inc.,
Christie-Peterson  Development and Advance Fuel Filtration Services, Inc., whose
operations  are  conducted in United States dollars.  Although we do not believe
we  currently  have  any  materially  significant  market  risks relating to our
operations  resulting from foreign exchange rates, if we enter into financing or
other business arrangements denominated in currency other than the U.S. dollars,
variations  in  the  exchange  rate  may  give rise to foreign exchange gains or
losses  that  may  be  significant.

     We  currently  have  no material long-term debt obligations.  We do not use
financial  instruments  for  trading  purposes  and  we  are  not a party to any
leverage  derivatives.

     As  discussed  by  our  accountants  in  the  audited  financial statements
included in Item 7 of our Annual Report on Form 10-KSB, our revenue is currently
insufficient  to  cover  its  costs  and  expenses.  The  management anticipates
raising  any  necessary  capital  from  outside  investors  coupled with bank or
mezzanine  lenders.  As of the date of this report, we have not entered into any
negotiations  with  any  third  parties  to  provide  such  capital.

RECENT DEVELOPMENTS

     Environ  Combination.  Beginning  in  February  of  2004,  we  and  Environ
Holdings,  Inc.,  a  Pennsylvania  corporation,  and  Michael  C.  Webb  began
discussions  of  a  possible  combination  our  two  companies.  The transaction
anticipated completing the raising of $12,000,000 by the end of July 2004.  As a
part  of the proposed combination, we planned to reduce and restructure costs at
a  later  date.  However,  all parties were unable to come to mutually agreeable
terms  and  the  deal  collapsed  on  July  23,  2004.

     Shortly  after the termination of the proposed combination with Environ, we
began  to  reduce  our  staff,  cut  management  pay  and shuttered marginal and
unprofitable  businesses.  Hampered  by  insufficient  cash  flow  and unable to
adequately  fund  contracts, we ultimately closed down CPI and AFFS in September
2004.  On  August  26,  2004, we moved our offices from the CPI premises to H.B.
Covey's Pomona facility.  Our remaining operations, consisting of H.B. Covey and
our  corporate  parent,  Entech,  anticipate achieving profit beginning in first
fiscal  quarter  of  2005.

     Changes  in  Management.  Following the termination of the proposed Environ
combination,  Steven  D.  Rosenthal  (on  August  11, 2004), Robert Christie (on
August  13,  2004), and Bret Covey (on August 13, 2004) resigned as officers and
directors  of  Entech.  In  addition,  Ned  Link  (on July 29, 2004) resigned as
director  and  Barbara Tainter (on July 1, 2004) resigned as our chief financial
officer.  In  addition,  on  August  16,  2004, William F. Greene resigned as an
officer.  Except  for  Mr. Rosenthal, all departing officers signed releases and
terminated  their  outstanding  employment  contracts.  In  addition,  our  two
remaining officers and directors, Burr Northrop and Douglas L. Parker, agreed to
the  termination  of  their  employment  contracts.

     On August 4, 2004, Burr Northrop and Douglas F. Parker became co-presidents
of  Entech  and  remained on the board. On September 28, 2004, Terence Leong, an
associate  of  Barron Partners LP, one of our major stockholders, was elected to
our board of directors. On September 28, 2004, Mr. Parker resigned as an officer
of Entech and Mr. Northrop became president. On September 28, 2004, Mr. Northrop
was  elected  our  chief  financial  officer.

     Equity. In restructuring and reorganizing Entech, we anticipate significant
dilution to existing shareholders by 15,460,990 shares to 30,161,822 outstanding
shares.  New  shares  were issued for previous PPM investors, Baron Partners for
the  restructuring,  management  incentives,  vendor  settlements  and  previous
management  debt  for  equity shares. Previous PPM investors are currently being
offered  1,270,416  shares  while  Baron  Partners  LP  received 400,000 shares.
Incentives  to management to complete the corporate restructuring and turnaround
amounted  to 7,500,000 shares. Vendors agreed to exchange payables for 4,122,000
shares  and  previous management converted debt for 3,688,574 shares as detailed
below.


                                       24
<PAGE>

<TABLE>
<CAPTION>
        ENTECH SHAREHOLDERS
               TYPE                     LAST                 FIRST         SUM OF SHARES
<S>  <C>                        <C>                   <C>                  <C>
     ORIGINAL                                                                    312,625
     Directors & Officers                                                      7,652,375
Ex   Employee                                                                    450,000
ist  Affiliate                                                                 2,200,000
ing  PPM 1                                                                     2,000,000
     PPM 2                                                                       455,000
     PPM 3                                                                     1,630,832
     Sub-Total                                                                14,700,832
     PPM 2 Reset                                                                 455,000
     PPM 3 Reset                                                                 815,416
     Baron Reorg                Barron Partners LP                                     -
                                Abrams                Joe                        200,000
                                Leong                 Terence                    200,000
     Baron Reorg Total                                                           400,000
     Baron Reorg Warrants                                                              -
     Mgmt Incentive             Abrams                Joe                        750,000
                                Greene                William                  1,500,000
                                Leong                 Terence                    750,000
                                Northrop              Burr                     3,000,000
                                Other Key Employees                            1,500,000
Set  Mgmt Incentive Total                                                      7,500,000
tle  Settlement                 Torrey Hills Capital  EnTech Loan                500,000
me                                                    Windstone                  157,500
nts                             Wood Capital          Windstone                  157,500
an                              Windstone Capital     Windstone                   35,000
d                               Birch                                            400,000
Re                              Foster                Gerald                      72,000
set  Settlement Total                      1,322,000
s    Settlement S-8             Christie              Robert K (Put/Call)      2,500,000
                                Norman T. Reynolds                               225,000
                                Stonegate Securities                              75,000
     Settlement S-8 Total                  1,300,000
     Mgmt Debt to Equity        Christ                James                       43,750
                                Christie              Robert K                   333,333

                                Covey                 Bret                       413,333
                                Northrop              Burr                       783,524
                                Parker                Douglas                    513,265
                                St. Clair             Don                         33,869
                                Tainter               Barbara                     47,500
     Mgmt Debt to Equity Total                                                 3,668,574
     Sub-Total                                                                15,460,990
     GRAND TOTAL                                                              30,161,822
</TABLE>



                                       25
<PAGE>
     Settlements.  In  an  attempt  to  restructure  our  obligations,  we  have
executed  various  settlement  agreements  as  follows:

-    In  August  and  September 2004, we settled obligations with certain of our
     officers and employees by converting debt owed by us in exchange for shares
     of  our  common  stock  as  shown  on  the  below-described  table:

<TABLE>
<CAPTION>
       NAME         AMOUNT OF DEBT   NUMBER OF SHARES ISSUED
       ----         --------------   -----------------------
<S>                 <C>              <C>
Douglas L. Parker   $    513,265.00                  513,265
James R. Christ           43,750.00                   43,750
Burr Northrop            783,524.33                  783,524
Bret Covey               413,333.33                  413,333
Robert K. Christie       333,333.33                  333,333
Barbara Tainter           47,500.00                   47,500
Don St. Clair             17,500.00                   33,869
Total               $  2,152,205.99                2,168,574
</TABLE>

     As part of the same settlement, we and Mr. Christie agreed that an existing
put  and  call  with respect to 2,500,000 shares of our common stock held by Mr.
Christie  would terminate.  As part of the agreement, Mr. Christie was permitted
to  retain his 2,500,000 shares of our common stock, separate from the 2,500,000
shares  of  common  stock  previously issued.  Mr. Christie also agreed to pay a
certain  promissory  note  executed  by  us  with respect to a Cadillac Escalade
having  a  then  unpaid balance of $23,531 in favor of General Motors Acceptance
Corporation.

     As a part of the settlement agreement, all employment agreements between us
and  Messrs.  Parker,  Christ,  Northrop,  Covey,  and Christie, and Ms. Tainter
terminated.  Moreover,  as specified in the agreement, we owed Mr. Covey the sum
of $68,000 in equipment loans.  Mr. Covey had the title to the equipment subject
to  the  loans,  which  we no longer used and which we conveyed to Mr. Covey, in
exchange  for  the  cancellation  of  the  debt.

     In  consideration  for  the  agreement,  Messrs.  Parker, Christ, Northrop,
Covey,  Christie,  and Ms. Tainter released us from any and all causes of action
and  claims  whatsoever  relating or pertaining to any event or agreement before
the  date  of  the  agreement.

-    On September 1, 2004, we and San Diego Torrey Hills Capital, Inc. settled a
     claim  of  $200,000,  in exchange for a cash payment of $55,000 and 500,000
     shares  of  our  common  stock.  The  claim  arose as a result of a loan of
     $200,000  by  San  Diego Torrey Hills Capital for working capital purposes.
     The  shares  to  be  issued  to  San Diego Torrey Hills Capital will not be
     registered  and  shall  be subject to restrictions on the transfer thereof.
     However,  the  shares  are  subject  to  "piggyback"  registration  rights.

-    As  of  the  date of this quarterly report, we and various investors in our
     private  placement  dated  June  2004  are  working  on  an agreement which
     provides  that  in  addition to each share of our common stock and warrants
     for  the  purchase  of  our  common  stock  purchased by the investors, the
     investors  who execute the agreement, for no additional consideration other
     than  the  consideration  described therein, shall receive one share of our
     common  stock  for  every  $3  Warrant for the purchase of our common stock
     purchased  by  the investors. The investors are also being asked to release
     us  from  any and all causes of action and claims relating or pertaining to
     the  private  placement  or  the  subscription  agreement  in  connection
     therewith.  As  of the date hereof, no such agreement has been executed. If
     and  when such an agreement is executed, we will file an appropriate report
     with  the  SEC.


                                       26
<PAGE>
-    As  of  the  date of this quarterly report, we and various investors in our
     private  placement  dated  January  2004  are working on an agreement which
     provides  that  in  addition to each share of our common stock purchased by
     the  investors,  the investors who execute the agreement, for no additional
     consideration other than the consideration described therein, shall receive
     one-half  share  of  our  common  stock for every share of our common stock
     purchased  by  the investors. The investors are also being asked to release
     us  from  any and all causes of action and claims relating or pertaining to
     the  private  placement  or  the  subscription  agreement  in  connection
     therewith.  As  of the date hereof, no such agreement has been executed. If
     and  when such an agreement is executed, we will file an appropriate report
     with  the  SEC.

-    As  of  the  date  of this quarterly report, we are working on an agreement
     with  Grover  Moss, an investor, to settle a debt to Mr, Moss in the amount
     of $398,737.50. As of the date hereof, no such agreement has been executed.
     If  and when such agreement is executed, we will file an appropriate report
     with  the  SEC.

-    On  September 23, 2004, in consideration of a cash payment in the amount of
     $12,000  and  the  distribution  of  225,000  shares of our common stock to
     Norman  T.  Reynolds,  Esq.,  our  attorney,  we  settled  a debt for legal
     services  rendered  through August 30, 2004. The shares to be issued to Mr.
     Reynolds  will  be  registered  under a registration statement on Form S-8.

-    On  September 21, 2004, in consideration of a cash payment in the amount of
     $2,500  and  the  distribution  of  75,000  shares  of  our common stock to
     Stonegate  Securities,  we  settled  a debt for investment banking services
     rendered  through  August  30,  2004.  The shares to be issued to Stonegate
     Securities  will  be registered under a registration statement on Form S-8.

-    On  September 21, 2004, in consideration of a cash payment in the amount of
     $27,125  to Russell Bedford Stefanou Mirchandani LLP, we settled a debt for
     accounting  services  rendered  through  August  30,  2004.

-    On  September  1,  2004,  in  consideration  of the distribution of 350,000
     shares  of  our  common  stock  to Windstone Capital, we settled a debt for
     investment  banking services rendered through September 1, 2004. The shares
     to  be  issued  to  Windstone  Capital  will not be registered and shall be
     subject  to  restrictions  on the transfer thereof. However, the shares are
     subject  to  "piggyback"  registration  rights.

-    On  September  30,  2004,  in  consideration of the distribution of 400,000
     shares  of  our common stock to Birch Advisors, Ltd., we settled a debt for
     investment banking services rendered through August 30, 2004. The shares to
     be  issued  to  Birch  Advisors,  Ltd.  will not be registered and shall be
     subject  to  restrictions  on  the  transfer  thereof.

-    On  September  30,  2004,  in  consideration  of the distribution of 72,000
     shares  of  our  common  stock  to  Gerald  Foster,  we  settled a debt for
     investment banking services rendered through August 30, 2004. The shares to
     be  issued  to  Mr.  Foster  will not be registered and shall be subject to
     restrictions  on  the  transfer  thereof.

-    On  September 30, 2004, in consideration of a cash payment in the amount of
     $900 and the distribution of 33,869 shares of our common stock to Donald G.
     St.  Clair, CPA, we settled a debt for accounting services rendered through
     August  30,  2004.  The  shares  to  be issued to Mr. St. Clair will not be
     registered  and  shall  be subject to restrictions on the transfer thereof.

-    On  September  29,  2004, we and Mr. Christie executed an Escrow Agreement,
     whereby  Mr.  Christie  agreed to place into escrow 2,500,000 shares of his
     common  stock  until  December  31, 2004 or until such time as our board of
     directors  has deemed in their sole discretion and good faith judgment that
     Mr.  Christie  has cooperated fully with us in the proceedings to liquidate
     all  aspects  of  the  business  and  operations  of  Christie-Petersen
     Development,  whichever  is  the  later.

     New  Financing.  On  September 30, 2004, a group of investors led by Barron
Partners, LLP  agreed  to  advance  us  a  minimum  of $100,000 and a maximum of
$1,500,000  pursuant  to a secured note.  The note is convertible into shares of
our  common stock at two and one half cents ($0.025) per share.  In addition, we
agreed  to issue our common stock purchase warrants to purchase 15 shares of our
common  stock  for every $1.00 of principal of the note, at an exercise price of
$0.15  per share.  The note has a term of two years and bears interest at a rate
of  eight percent per annum.  The note has a first lien and security interest on
all of our assets and those of our subsidiaries.  We have no right to prepay the
note.  The  investors  may  convert  the  note  at  any  time.


                                       27
<PAGE>
     Certain  provisions  of  the  note  and  warrants  are  as  follows:

-    We  are  obligated  to  register  the shares of our common stock underlying
     conversion  of  the  note  pursuant  to  the  terms  and  conditions  of  a
     Registration  Rights  Agreement  dated  September  30,  2004.

-    The  holder  of  the  note  is  not  be  entitled  to convert the note on a
     conversion  date  so  as  to acquire a number of shares of our common stock
     that  would  be  in  excess  of  the sum of (i) the number of shares of our
     common  stock  beneficially  owned  by  the holder and its affiliates on an
     exercise  date,  and (ii) the number of shares of our common stock issuable
     upon  the conversion of the note with respect to which the determination of
     this  limitation  is being made on a conversion date, which would result in
     beneficial  ownership  by  the  holder and its affiliates of more than 4.99
     percent of the outstanding shares of our common stock on such date. Subject
     to  the foregoing, the holder shall not be limited to aggregate conversions
     which  would  result  in  the  issuance  of  more  than  4.99  percent. The
     restriction  described  in this paragraph may be revoked upon 61 days prior
     notice  from  the  holder  to  Entech. The holder may allocate which of our
     equity  deemed  beneficially  owned  by the holder shall be included in the
     4.99  percent  amount  described  above and which shall be allocated to the
     excess  above  4.99  percent.

-    A holder of the warrant shall not be entitled to exercise the warrant on an
     exercise  date in connection with that number of shares of our common stock
     which  would  be  in  excess  of the sum of (i) the number of shares of our
     common  stock  beneficially  owned  by  a  holder  and its affiliates on an
     exercise  date,  and (ii) the number of shares of our common stock issuable
     upon the exercise of the warrant with respect to which the determination of
     this  limitation  is  being made on an exercise date, which would result in
     beneficial  ownership  by  a  holder  and  its affiliates of more than 4.99
     percent of the outstanding shares of our common stock on such date. For the
     purposes  of the immediately preceding sentence, beneficial ownership shall
     be  determined  in  accordance  with  Section 13(d) of the Exchange Act and
     Regulation  13d-3  thereunder. Subject to the foregoing, a holder shall not
     be  limited  to  aggregate  exercises which would result in the issuance of
     more  than 4.99 percent. The restriction described in this paragraph may be
     revoked  upon  61 days prior notice from a holder to Entech. The holder may
     allocate  which of our equity deemed beneficially owned by the holder shall
     be  included  in the 4.99 percent amount described above and which shall be
     allocated  to  the  excess  above  4.99  percent.

-    We  shall not, without the prior written consent of the holder, sell, lease
     or  grant  a security interest in, or otherwise dispose of or encumber, any
     equipment,  or  any  part  thereof.  Upon  any disposition of equipment, we
     shall,  unless  otherwise  agreed to by the holder, deliver all of the cash
     proceeds  to the holder or his designee, which proceeds shall be applied to
     payments  under  the note. Notwithstanding the foregoing, we shall have the
     right  to  trade  in  obsolete,  redundant  or  unnecessary  equipment  in
     connection  with  the purchase of any new equipment, provided that such new
     equipment  is  subject  to the holder's security interest free and clear of
     all  other  liens  and  encumbrances.

-    We  shall not at any time sell, assign, transfer, license or issue a permit
     to  use  any general intangible, or forfeit or allow to lapse any rights to
     any  general  intangible,  of  we  without the prior written consent of the
     holder.

-    If,  within  the 24 months following date of the note, we close on the sale
     of  a  note or notes, shares of our common stock, or shares of any class of
     preferred  stock at a price per share of common stock, or with a conversion
     right to acquire common stock at a price per share of common stock, that is
     less  than  the  conversion price as called for in the note we shall make a
     post-closing adjustment in the conversion price so that the effective price
     per  share  paid  by  the investors is reduced to the subsequent conversion
     price  as  applied  to  the  investors'  then  current  holdings.

-    For  a  period  of  three  years  from  the  closing  we will not issue any
     preferred  stock.

-    We will cause to be cancelled all convertible debt in Entech other than the
     notes.  For  a period of three years from the closing we will not issue any
     convertible  debt  other  than  the  note.


                                       28
<PAGE>
-    We  will  cause  to  be cancelled any and all reset features related to any
     shares  outstanding  that  could  result in additional shares of our common
     stock  being  issued.  For a period of three years from the closing we will
     not  enter  into  any  transactions that have any reset features that could
     result  in  additional  shares  being  issued.

-    We  will cause the appointment of at least two independent directors within
     100  days.  If  no  such  directors  are  appointed,  we  shall  pay to the
     investors,  pro rata, as liquidated damages and not as a penalty, an amount
     equal  to  24 percent of the purchase price per annum, payable monthly. The
     parties agree that the only damages payable for a violation of the terms of
     the  agreement  with  respect  to  which  liquidated  damages are expressly
     provided  shall  be  such  liquidated  damages.

-    We  will  cause  the  appointment of a majority of outside directors to the
     audit  and  compensation  committees  of  the board of directors within 120
     days.  If  no  such directors are appointed, we shall pay to the investors,
     pro rata, as liquidated damages and not as a penalty, an amount equal to 24
     percent of the purchase price per annum, payable monthly. The parties agree
     that the only damages payable for a violation of the terms of the agreement
     with  respect  to  which liquidated damages are expressly provided shall be
     such  liquidated  damages.

-    We  will  use  the  proceeds from the sale of the stock and note (excluding
     amounts paid by us for legal and administrative fees in connection with the
     sale  of  the  stock  and  note)  for  working  capital.

-    Each  investor  shall  have  the  right  to participate in any financing by
     Entech  on  a  pro  rata  basis  at  80  percent  of  the  offering  price.

-    The  earliest  any  "insiders"  can start selling their shares shall be two
     years  from Closing. Investors and Terence Leong shall not be considered an
     "insider."

-    Employment  and  consulting contracts with officers and directors shall for
     three  years  not contain: any bonuses not related directly to increases in
     earnings  per  share; any car allowances not approved by the unanimous vote
     of  the  board  of directors; any anti-dilution or reverse split protection
     provisions  for shares, options or warrants; any deferred compensation; any
     unreasonable compensation or benefit clauses; or any termination clauses of
     over  one  year  of  salary.

-    We will give the investor 90 days notice before entering into a transaction
     to  merge  or  sell  a  controlling  interest  in  Entech.

-    In  the  event  of a sale or merger of substantially all of Entech the 4.99
     percent  restriction  in  the notes and in the warrants will immediately be
     released  and  the  investor  will  have  the right to exercise the options
     concurrent  with  the  sale.

-    The  investor's  trading  activities  with  respect to shares of our common
     stock  will  be  in  compliance  with  all  applicable  state  and  federal
     securities  laws,  rules  and  regulations and rules and regulations of any
     public  market  on  which  our  common  stock  is  listed.

-    The investor acknowledges that (1) the note, warrants and shares underlying
     the  note and warrants have not been registered under the provisions of the
     Securities  Act,  and  may  not  be  transferred  unless  (A)  subsequently
     registered  thereunder  or  (B)  the investor shall have delivered to us an
     opinion of counsel, reasonably satisfactory in form, scope and substance to
     us,  to  the  effect that the note, warrants and shares underlying the note
     and  warrants to be sold or transferred may be sold or transferred pursuant
     to  an  exemption  from  such  registration; and (2) any sale of the notes,
     warrants  and  shares  underlying the note and warrants made in reliance on
     Rule  144  promulgated  under  the  Securities  Act  may  be  made  only in
     accordance  with  the  terms  of  said  rule.


                                       29
<PAGE>
     Termination of Warrants.  On September 30, 2004, in connection with the New
Financing  described  above,  Barron  Partners, LP  returned  and  cancelled the
warrants  it  held  for  the  purchase  of 7,150,000 shares of our common stock.

     Christie-Peterson Development Litigation.

-    CPI  has  been  the  object  of  numerous  claims,  demands, judgments, and
     lawsuits  generated  by  subcontractors,  vendors,  suppliers,  sureties,
     employees,  and  various  other  entities in attempts to recover funds from
     CPI.

-    As of September 30, 2004, there is one claim filed by an ex-officer of CPI,
     as  well as a liability for unpaid salaries to employees and unpaid payroll
     taxes to various governmental agencies.

     Advanced Fuel Filtration Systems, Inc. Litigation.

-    AFFS  has  been  the  object  of  numerous  claims, demands, judgments, and
     lawsuits  generated  by  subcontractors,  vendors,  suppliers,  sureties,
     employees,  and  various  other  entities in attempts to recover funds from
     AFFS.

     As  of  September 30, 2004, AFFS owed.

     CPI and AFFS Bankruptcy.

     On  September  30,  2004,  we  put  into  Chapter  7 bankruptcy, two of our
subsidiaries,  Christie-Peterson  Development  and  Affiliated  Fuel  Filtration
Systems,  Inc.  The  style  and  cause  number for the CPI bankruptcy is "In Re:
Christie-Peterson Development" Cause No. LA 04-30910 BB, and the style and cause
number  for  the  AFFS bankruptcy is "In Re: Affiliated Fuel Filtration Systems,
Inc."  Cause  No.  LA  04-30908  BB.

OFF-BALANCE SHEET ARRANGEMENTS

     We do not have any off-balance sheet arrangements.

ITEM 3.  CONTROLS AND PROCEDURES.

     Disclosure  controls  and procedures are controls and other procedures that
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 recorded, processed,
summarized and reported, within the time periods specified in the Securities and
Exchange  Commission's  rules  and  forms.  Disclosure  controls  and procedures
include,  without  limitation,  controls  and procedures designed to ensure that
information required to be disclosed by us in the reports that we file under the
Exchange  Act  is  accumulated and communicated to our management, including our
principal  executive  and  financial  officers,  as  appropriate to allow timely
decisions  regarding  required  disclosure.


                                       30
<PAGE>
     Evaluation of Disclosure and Controls and Procedures.  As of the end of the
period  covered  by this Quarterly Report, we conducted an evaluation, under the
supervision  and with the participation of our chief executive officer and chief
financial  officer,  of  our  disclosure  controls and procedures (as defined in
Rules  13a-15(e)  of  the  Exchange  Act).  Based  on this evaluation, our chief
executive  officer  and  chief  financial  officer concluded that our disclosure
controls  and procedures are effective to ensure that information required to be
disclosed  by  us  in  reports  that we file or submit under the Exchange Act is
recorded,  processed,  summarized and reported within the time periods specified
in  Securities  and  Exchange  Commission  rules  and  forms.

     Changes in Internal Controls Over Financial Reporting.  There was no change
in  our  internal  controls,  which  are included within disclosure controls and
procedures,  during  our  most  recently  completed  fiscal  quarter  that  has
materially  affected, or is reasonably likely to materially affect, our internal
controls.

                           PART II - OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS.

     Entech has been named as a defendant in 11 legal proceedings pending in the
State  of  California alleging breach of contract and various fees in connection
with  the  activities  of  our  subsidiaries,  Christie-Peterson Development and
Advanced  Fuel  Filtration  Systems, Inc. ("AFFS") and the debts incurred by CPI
and  AFFS.  The  plaintiffs  seek  monetary damages. CPI and AFFS have commenced
Chapter  7  bankruptcy  proceedings  on  September  30,  2004.

     The  11  proceedings  described below are in their very early stages. While
the  ultimate  effect  of  the legal actions described below cannot be predicted
with certainty, we expect that the proceedings against our subsidiaries will not
result  in  liability  to  us  due  to  the  ongoing bankruptcy of CPI and AFFS.

     We do not expect the outcomes of these matters to have a material effect on
our  financial  condition  or  the  results  of  our  operations.

-    Mobile  Storage  Group,  Inc.  v  Entech  Environmental Technologies, Inc.,
     SSB39078,  filed  in the San Bernandino Central Division Court. The lawsuit
     alleges  past  due  rent  in  the  amount  of  $3,005.68.

-    GRW  Equipment,  Inc. v. Entech Environmental Technologies, Inc, RCV082557,
     filed  in  the  San  Bernandino  County Court. The lawsuit alleges fees for
     material  supplies  in  the  amount  of  $189,384.44.

-    Sanborn  & Sine v. Entech Environmental Technologies, Inc., 04C02238, filed
     in the Los Angeles County Court. The lawsuit alleges attorney's fees in the
     amount  of  $11,794.90.

-    West  Coast Sand & Gravel, Inc. v. Entech Environmental Technologies, Inc.,
     04C01404,  filed  in the Los Angeles County Court. The lawsuit alleges fees
     for  material  supplies  in  the  amount  of  $10,851.39.

-    Five suits by D.P. Mangan, Inc. v. Entech Environmental Technologies, Inc.,
     filed  in  the  San  Diego  County Superior Court. Case numbers GIC 835353,
     SCVSS  118639,  VCIVS035484, IC 835454 and RCCI 082879. The lawsuits allege
     breach  of  contract.  The  total  amount  alleged  for  the five claims is
     $67,861.00.

-    Two  suits by D.P. Mangan, Inc. v. Entech Environmental Technologies, Inc.,
     filed  in  the Los Angeles County Superior Court. Case numbers 04C02340 and
     04C02067.  The  total  amount  alleged  for  the  two  claims is $5,296.00.

ITEM 2.  CHANGES IN SECURITIES.

     In  June  2004, the Company issued an aggregate of 918,334 shares of common
stock  to  various  investors via a private placement offering for $1,450,001 in
total  proceeds,  net  of  costs  and  fees.

ITEM 3.  DEFAULTS UPON SENIOR SECURITIES.

     See  "Management's  Discussion  and Analysis or Plan of Operations - Recent
Developments,"  above.

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

     None.

ITEM 5.  OTHER INFORMATION.

     None.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K.


                                       31
<PAGE>
(a)  Exhibits.

<TABLE>
<CAPTION>
EXHIBIT NO.                                   IDENTIFICATION OF EXHIBIT
-----------                                   -------------------------
<S>          <C>
  1.1**      Investment Banking Agreement with Windstone Capital Partners dated October 24, 2003
  2.1**      Plan and Agreement of Triangular Merger Between Environmental Technologies, Inc., Parr
             Sub One, Inc. and Christie-Peterson Development dated December 29, 2003
  2.2**      Agreement of Merger between Christie-Petersen Development and Parr Sub One, Inc. filed
             December 30, 2003
  2.3**      Plan and Agreement of Triangular Merger Between  Environmental Technologies, Inc., Parr
             Sub Two, Inc. and Advanced Fuel Filtration Systems, Inc. dated December 29, 2003
  2.4**      Agreement of Merger between Advanced Fuel Filtration, Inc. and Parr Sub Two, Inc. filed
             December 30, 2003
  2.5**      Plan and Agreement of Triangular Merger Between Environmental Technologies, Inc., Parr
             Sub Three, Inc. and H.B. Covey, Inc. dated December 29, 2003
  2.6**      Agreement of Merger between H.B. Covey, Inc. and Parr Sub Three, Inc. filed December 30,
             2003
  3.1.1**    Articles of Incorporation of Cyber Public Relations, Inc., filed June 18, 1998
  3.1.2**    Amended and Restated Articles of Incorporation of Cyber Public Relations, Inc., changing
             the name of the corporation to Entech Environmental Technologies, Inc., filed March 22,
             2004
  3.1.3**    Articles of Incorporation of Point 2 Point Services, Inc., filed April 5, 2001
  3.1.4**    Certificate of Amendment to Articles of Incorporation of Point 2 Point Services, Inc.,
             changing the name of the corporation to Parr Development, Inc., filed December 31, 2002
  3.1.5**    Amended and Restated Articles of Incorporation of Parr Development, Inc., changing the
             name of the corporation to Environmental Technologies, Inc., filed November 25, 2003
  3.1.6**    Articles of Incorporation of Parr Sub One, Inc. filed December 19, 2003
  3.1.7**    Articles of Incorporation of Parr Sub Two, Inc. filed December 19, 2003
  3.1.8**    Articles of Incorporation of Parr Sub Three, Inc. filed December 19, 2003
  3.1.9**    Articles of Incorporation of Christie-Petersen Development filed September 15, 1995
  3.1.10**   Articles of Incorporation of YLD/Clean Fuels, Inc. filed September 18, 1995
  3.1.11**   Certificate of Amendment of Articles of Incorporation of YLD/Clean Fuels, Inc., changing
             the name of the corporation to Advanced Fuel Filtration, Inc., filed September 27, 1997
  3.1.12**   Articles of Incorporation of H.B. Covey, Inc., filed March 19, 1971
  3.2.1**    Bylaws of Cyber Public Relations, Inc., adopted July 5, 1998
  3.2.2**    Amended Bylaws of Cyber Public Relations, Inc. adopted February 16, 2004
  3.2.3**    Amended and Restated Bylaws of Entech Environmental Technologies, Inc., adopted April
             28, 2004
  3.2.4**    Bylaws of Point 2 Point Services, Inc.
  3.2.5**    Bylaws of Parr Sub One, Inc. , adopted December 29, 2003
  3.2.6**    Bylaws of Parr Sub Two, Inc., adopted December 29, 2003
  3.2.7**    Bylaws of Parr Sub Three, Inc., adopted December 29, 2003
  3.2.8**    Bylaws of Christie-Petersen Development, adopted September 22, 1995
  3.2.9**    Bylaws of YLD/Clean Fuels, Inc. dated October 6, 1995
  3.2.10**   Bylaws of Entech Environmental Technologies, Inc. adopted February 4, 2004
  3.2.11**   Restated Bylaws of H.B. Covey, Inc. adopted April 1, 1999
  3.3.1**    Charter of the Audit Committee of the Board of Directors of Cyber Public Relations, Inc.,
             adopted January 29, 2004
  3.3.2**    Charter of the Compensation Committee of the Board of Directors of Cyber Public
             Relations, Inc., adopted January 29, 2004
  4.1**      Registration Rights Agreement with Barron Partners, LP regarding registration of shares,
             dated January 23, 2004
  4.2**      Registration Rights Agreement with Wood Capital Associates, regarding registration of
             shares, dated January 23, 2004
  4.3**      Registration Rights Agreement with Patricia L. Fiorese, regarding registration of shares,
             dated January 23, 2004


                                       32
<PAGE>
  4.4**      Registration Rights Agreement with Vance Luedtke, regarding registration of shares, dated
             January 23, 2004
  4.5**      Registration Rights Agreement with Diane C. Burge, regarding registration of shares, dated
             January 23, 2004
  4.6**      Registration Rights Agreement with Clayton Chase, regarding registration of shares, dated
             January 23, 2004
  4.7**      Registration Rights Agreement with James W. Moldermaker, regarding registration of
             shares, dated January 23, 2004
  4.8**      Registration Rights Agreement with J. Kevin Wood, regarding registration of shares, dated
             January 23, 2004
  4.9**      Registration Rights Agreement with Thomas Sheridan, regarding registration of shares, dated
             January 23, 2004
  4.10**     Registration Rights Agreement with San Diego Torrey Hills Capital, regarding registration
             of shares, dated January 23, 2004
  4.11**     Registration Rights Agreement with Norman E. Clarke, regarding registration of shares,
             dated January 23, 2004
  4.12**     Registration Rights Agreement with Steven R. Green, regarding registration of shares, dated
             January 23, 2004
  10.1**     Robert K. Christie Employment Agreement, dated December 15, 2003
  10.2**     Steven D. Rosenthal Employment Agreement, dated December 15, 2003
  10.3**     Douglas L. Parker Employment Agreement, dated December 15, 2003
  10.4**     James R. Christ Employment Agreement, dated December 31, 2003
  10.5**     Stock Pledge Agreement between Robert K. Christie and Environmental Technologies, Inc.
             dated December 29, 2003
  10.6**     Stock Purchase Escrow Agreement between Barron Partners LP, Cyber Public Relations,
             Inc. and Harbour, Smith, Harris & Merritt, P.C. dated January 21, 2004
  10.7**     Capital Stock Exchange Agreement between the Registrant and the Stockholders of
             Environmental Technologies, Inc., dated January 21, 2004
  10.8**     Stock Purchase Agreement between Environmental Technologies, Inc. and Barron Partners,
             LP dated January 14, 2004
  10.9**     Amendment to Stock Purchase Agreement between Environmental Technologies, Inc. and
             Barron Partners, LP dated January 21, 2004
  10.10**    Lease Agreement, effective October 1, 1999
  10.11**    Lease Agreement, effective September 1, 2001
  10.12**    Lease Agreement, effective November 15, 2002
  10.13**    Amendment No. 2 to Lease, effective July 31, 2003
  10.14**    First Amendment to Lease, effective September 3, 2003
  10.15**    Cyber Public Relations, Inc. A Warrant for the Purchase of Common Stock
  10.16**    Cyber Public Relations, Inc. B Warrant for the Purchase of Common Stock
  10.17**    Cyber Public Relations, Inc. C Warrant for the Purchase of Common Stock
  10.18**    Cyber Public Relations, Inc. D Warrant for the Purchase of Common Stock
  10.19**    Cyber Public Relations, Inc. E Warrant for the Purchase of Common Stock
  10.20**    Cyber Public Relations, Inc. Warrant for the Purchase of Common Stock, Wood Capital
             Associates
  10.21**    Cyber Public Relations, Inc. Warrant for the Purchase of Common Stock, Patricia L. Fiorese
  10.22**    Cyber Public Relations, Inc. Warrant for the Purchase of Common Stock, Vance Luedtke
  10.23**    Entech Environmental Technologies, Inc. Warrant for the Purchase of Common Stock, Diane
             C. Burge
  10.24**    Entech Environmental Technologies, Inc. Warrant for the Purchase of Common Stock,
             Clayton Chase
  10.25**    Entech Environmental Technologies, Inc. Warrant for the Purchase of Common Stock,
             James W. Moldermaker
  10.26**    Entech Environmental Technologies, Inc. Warrant for the Purchase of Common Stock, J.
             Kevin Wood
  10.27**    Entech Environmental Technologies, Inc. Warrant for the Purchase of Common Stock,
             Thomas Sheridan


                                       33
<PAGE>
  10.28**    Entech Environmental Technologies, Inc. Warrant for the Purchase of Common Stock, San
             Diego Torrey Hills Capital
  10.29**    Entech Environmental Technologies, Inc. Warrant for the Purchase of Common Stock,
             Norman E. Clarke
  10.30**    Entech Environmental Technologies, Inc. Warrant for the Purchase of Common Stock,
             Steven R. Green
  10.31*     Settlement Agreement with Norman T. Reynolds, Esq., dated September 23, 2004
  10.32*     Settlement Agreement with Stonegate Securities, dated September 21, 2004
  10.33*     Settlement Agreement with Russell Bedford Stefanou Mirchandani LLP, dated September
             21, 2004
  10.34*     Settlement Agreement with Birch Advisors Ltd. dated September 30, 2004
  10.35*     Settlement Agreement with Gerald Foster dated September 30, 2004
  10.36*     Secured Convertible Note between Entech Environmental Technologies, Inc. and Barron
             Partners, L.P. dated September 30, 2004
  10.37*     Cyber Public Relations, Inc. Warrant for the Purchase of Common Stock, Barron Partners,
             L.P.
  10.38*     Note Purchase Agreement between Environmental Technologies, Inc. and Barron Partners,
             LP dated September 30, 2004
  10.39*     Registration Rights Agreement with Barron Partners, LP regarding registration of shares,
             dated September 30, 2004
  10.40*     Entech Environmental Technologies, Inc. Warrant for the Purchase of Common Stock for
             Barron Partners, LP
  10.41*     Escrow Agreement between Entech Environmental Technologies, Inc., Robert K. Christie
             and Norman T. Reynolds dated September 29, 2004
  10.42*     Warrant Cancellation from Barron Partners, L. P. dated September 30, 2004
  10.43*     Settlement Agreement with San Diego Torrey Hills Capital, Inc. dated September 1, 2004
  10.44*     Settlement Agreement with Donald G. St. Clair, CPA dated September 30, 2004
  10.45*     Termination of Investment Banking Agreement dated September 1, 2004
  31.1*      Certification of Burr Northrop, Chief Executive Officer of Entech Environmental
             Technologies, Inc., pursuant to 18 U.S.C. Sec.1350, as adopted pursuant to Sec.302 of the
             Sarbanes-Oxley Act of 2002.
  31.2*      Certification of Burr Northrop, Chief Financial Officer of Entech Environmental
             Technologies, Inc., pursuant to 18 U.S.C. Sec.1350, as adopted pursuant to Sec.302 of the
             Sarbanes-Oxley Act of 2002.
  32.1*      Certification of Burr Northrop, Chief Executive Officer of Entech Environmental
             Technologies, Inc., pursuant to 18 U.S.C. Sec.1350, as adopted pursuant to Sec.906 of the
             Sarbanes-Oxley Act of 2002.
  32.2*      Certification of Burr Northrop, Chief Financial Officer of Entech Environmental
             Technologies, Inc., pursuant to 18 U.S.C. Sec.1350, as adopted pursuant to Sec.906 of the
             Sarbanes-Oxley Act of 2002
<FN>
__________
*    Filed  herewith.
**   Previously  Filed
</TABLE>


                                       34
<PAGE>
(b)  Reports on Form 8-K.

-    Form  8-K/A  filed  on  April  7, 2004, containing financial statements and
     exhibits  of  Christie-Peterson  Development,  filed in connection with the
     acquisition of Christie-Peterson Development, as reported on Form 8-K filed
     with  the  Commission  on  January  28,  2004.

-    Form  8-K  filed  on April 30, 2004, to report a change in the Registrant's
     fiscal  year.

-    Form  8-K  filed  on  June  14, 2004 to report a powerpoint presentation to
     various  investors  by  the  Registrant's  President  and  Chief  Executive
     Officer.

-    Form  8-K/A  filed on July 30, 2004 regarding the cancellation of the plans
     for  the  powerpoint  presentation  by the Registrant's President and Chief
     Executive  Officer  and  the  cancellation  of  the Registrant's previously
     announced  plans  to  acquire  Environ  Holdings,  Inc.,  a  Pennsylvania
     corporation.


                                   SIGNATURES

     In  accordance  with  the  requirements of the Exchange Act, the Registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                                         ENTECH ENVIRONMENTAL TECHNOLOGIES, INC.

Dated October 13, 2004.

                                         By /s/ Burr Northrop
                                           -------------------------------------
                                           Burr Northrop,
                                           Chief Executive Officer


                                       35
<PAGE>