FORM 10-KSB

           UNITED STATES SECURITIES AND EXCHANGE COMMISSION

                         Washington, DC  20549

          Annual Report Pursuant to Section 13 or 15(d) of the
                      Securities Exchange Act of 1934
`
                For the fiscal year ended December 31, 2007

                      Commission File Number:  0-17170

                              TELVUE CORPORATION

                 (Name of small business issuer in its charter)

         Delaware                                       51-0299879
(State or other jurisdiction of                       (I.R.S. Employer
incorporation or organization)                        Identification No.)

     16000 Horizon Way, Suite 500
       Mount Laurel, New Jersey                            08054
(Address of principal executive offices)                 (Zip Code)

Issuer's telephone number:  856-273-8888
Securities registered pursuant to Section 12(b) of the Act: None
Securities registered pursuant to Section 12(g) of the Act: None

      Title of Each Class

      Common, $0.01 per share par value

Check whether the Issuer is not required to file reports pursuant to
Section 13 or 15(d) of the Exchange Act. ____

Indicate by check mark whether the Issuer (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that
the Issuer was required to file such reports) and (2) has been subject to
such filing requirements for the past 90 days.  Yes X     No
                                                   ----      -----
Indicate by check mark whether the registrant is an accelerated filer (As
defined in Rule 12b-2 of the Exchange Act.  Yes     No  X
                                                ----   ----
Indicate by check mark if disclosure of delinquent filers in response to
Item 405 of Regulation-SB is not contained herein, and will not be
contained, to the best of Issuer's knowledge, in definitive proxy or
information statements incorporated by reference in Part III of this Form
10-KSB or any amendment to this Form 10-KSB.  X
					   -----

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

The Issuer's revenue for the fiscal year ended December 31, 2007 was
$4,038,639.

The Aggregate Market Value of voting and non-voting common equity held by
non-affiliates of the Issuer as of March 13, 2008, based on a per share
average bid and asked price of $.06 was $582,346.

Number of shares of Issuer's common stock outstanding as of March 13,
2008: 48,433,074 shares.

Transitional Small Business Disclosure Format:  Yes       No   X
                                                    -----    ------

                     DOCUMENTS INCORPORATED BY REFERENCE

Portions of the Registrant's definitive Proxy Statement for its 2008
Annual Meeting of Shareholders, which definitive Proxy Statement will be
filed with the Securities and Exchange Commission not later than 120 days
after the Registrant's year end at December 31, 2007, are incorporated by
reference into Part III of this Form 10-KSB.


                                PART I
ITEM 1.     BUSINESS

GENERAL

	TelVue Corporation, a Delaware corporation ("TelVue"), was
incorporated on November 26, 1986.  Until December 30, 1988, TelVue was a
wholly owned subsidiary of Science Dynamics Corporation ("Science"). On
that date, TelVue's shares of common stock were distributed to Science's
shareholders of record as of December 30, 1988, on the basis of three
shares of TelVue's common stock for each share of Science's common stock
then outstanding.

	TelVue operates two business segments.  One segment ("TVTN/PSG") is a
system for displaying a fully automated TV station-like display on a cable
system access channel using computer based digital technology.  The
TVTN/PSG segment includes Princeton Server Group, Inc. ("PSG"), which was
acquired on March 12, 2007.  PSG develops high performance digital video
systems, appliances, and software that support capture, storage,
manipulation, and play-out of digital media in multiple popular formats.
The other segment is a marketing and service company which sells automatic
number identification ("ANI") telecommunications services to the cable
television industry for the automated ordering of pay-per-view features
and events.  TelVue previously had a business segment that operated under
the name Source Communications Group ("Source"), and functioned as a
communications solution provider and network integrator serving clients
mainly in the Mid-Atlantic States.  In the second quarter of 2004, TelVue
made a decision to discontinue the Source segment operations.

	In 2003, TelVue developed a new product and service called the TVTN
Network ("TVTN") and applied for two patents related to the product.  TVTN
is a system for displaying a fully automated TV station-like display on a
cable system access channel using computer-based digital technology.  TVTN
displays the programming as graphics, text, imbedded music, and pictures
with voice narration and can run full motion video clips.   TelVue is
marketing TVTN to municipal governments and school districts as a means of
providing richer and more robust TV programming for their local Cable TV
Public, Education and Government Local Access Channels ("PEG Channels").
Currently, most municipalities use a simple TV display made up of only
text messages with background music.  TelVue directly charges the
municipalities a nominal start-up and monthly support fee along with a
sponsorship program that finds regional and national businesses as
sponsors or underwriters to help defray TVTN charges.  In return, the TVTN
client places an acknowledgement of the sponsor's support on its town or
school's access channel.

	On March 12, 2007, TelVue acquired PSG for $6.1 million and the
forgiveness of a $400,000 note.  PSG develops high performance digital
video systems, appliances, and software that support capture, storage,
manipulation and play-out of digital media in multiple popular formats.
PSG markets their product to PEG TV and local origination broadcast
stations, professional broadcast stations and schools and universities.
While TVTN specializes in creating a customized look for the PEG Channels
and providing localized and dynamic content PSG provides digital server
technology to store, schedule, archive and playback video during the video
content time allocated on the PEG Channels.  TelVue acquired PSG because
it believes PSG and TVTN together will provide a complete technology and
support solution to owners and operators of PEG Channels.

	The TVTN/PSG segment is principally a service-oriented business, and
does not engage in the manufacture of equipment required to provide its
services. The equipment and software used is owned and installed by TelVue
and is located at the customer's facility.  During 2007, equipment
purchases and software modifications of $996,581 were made for the
TVTN/PSG business unit.

	As of December 31, 2007, TelVue had contracts to provide TVTN
to 132 towns, schools, and retirement communities and 87 contracts from
sponsors to fund some of the channels in these towns, schools, and
retirement communities.  The town/school/retirement community contracts
generally carry a term of three or five years and may be cancelled with 90
days prior written notice.  The monthly charges to maintain a channel are
billed one quarter in advance and payment is due within 20 days of the
billing date.  The sponsor contracts are generally for periods of six to
twelve months with automatic renewals.  Charges to the sponsors of the
channels are billed one month in advance and payment is due within 20 days
of the billing date.

	As of December 31, 2007, PSG had sold equipment in 34 different states
and the District of Columbia.

	The ANI service permits cable television companies to process special
ordering services without the attendant high-manpower requirements or
extensive physical plant and facilities that are otherwise required.  ANI
systems provide an electronic means of recording a subscriber's telephone
number together with information as to what program or service was ordered
and by whom, permitting cable television companies to then unscramble
appropriate signals for viewing by the ordering subscriber, all without
any interactive cable system and without any form of operator
intervention.  At the time of dialing the order, the recognition of the
subscriber's telephone number is automatically recorded by TelVue's ANI
unit, presenting the subscriber with both a confirmation and
acknowledgment of receipt of his order.  In turn, the automatically
recorded information regarding placement of an order is utilized by cable
television companies for purposes of billing for such specialized
services.

	During 2007, no additional equipment purchases or software
modifications were required to provide the ANI service.  TelVue serves
cable television systems across the United States via trunk lines and data
circuits that it currently leases from Verizon. TelVue believes it
receives a favorable trunk usage rate from Verizon. As of December 31,
2007, TelVue had contracts to provide service to 228 cable television
systems serving approximately 4.6 million subscribers compared to
approximately 4.8 million cable subscribers served as of December 31,
2006.  Cable operators are moving their subscriber base onto two-way
digital ordering.  As a result of this shift in the cable operators'
business, TelVue is experiencing a decline in the number of subscribers it
serves and expects a continued erosion of its subscriber base (see Item 6,
Management's Discussion and Analysis or Plan of Operation, of this
Report).

	The Source segment was acquired on March 9, 2001 for $1.3 million
pursuant to TelVue's acquisition of the assets of J.D. Kraengel and
Associates, Inc., f/k/a Dacon Corporation d/b/a Source Communications
Group, a Delaware corporation located in Mullica Hill, NJ.  The Source
segment sold and installed computer related equipment, network systems,
software, and data communications equipment.  In the second quarter of
2004, TelVue made a decision to discontinue the Source segment operations.
The decision to discontinue was a result of the ongoing losses produced by
the segment and the amount of time and resources required to run the
segment.  TelVue made an effort to sell a portion of the Source segment
but was not successful.

	For information regarding TelVue's revenue, operations and assets,
please refer to TelVue's financial statements included at Item 7 of this
Report and Management's Discussion and Analysis or Plan of Operation
included at Item 6 of this Report.

LICENSES AND PATENTS

	On July 8, 2003, TelVue filed for a patent for TVTN.  TVTN provides
the operators of Cable TV Government Access Channels, typically schools,
towns, and retirement communities, with the ability to generate a
computerized TV signal on those channels.  The TVTN signal is comprised of
pictures, headlines, voice-over narration, full motion video clips and
graphics.  The pending patent includes the WEBUS system.  The WEBUS system
is a proprietary system that allows TVTN customers to independently post
messages on their TV channel remotely and instantaneously.  On July 27,
2005, TelVue filed for a second patent for TVTN which encompasses three
additional claims.  The claims consist of (i) WEBLINX, a process that
allows the TVTN content to appear on an affiliated website; (ii) a system
for installation of a text-to-speech conversion that converts text screens
to speech for use on the radio; and (iii) a mass emergency broadcast system
which allows one WEBUS user to broadcast an emergency message to one or
more TVTN affiliates simultaneously.

	As a result of our PSG acquisition, we acquired 4 pending patents
filed prior to March 12, 2007 for various improvements related to digital
video servers.

	TelVue has developed and has in service a system that allows
subscribers to order pay-per-view movies and events from their provider
using the internet.  TelVue holds United States Patent No. 6,286,139,
issued September 4, 2001 related to this system.

	TelVue previously purchased Switched-access Audio Response Units
("SARUs") and one communication subsystem ("HP") from Atlas Telecom
(formerly Syntellect).  TelVue possesses a perpetual, no charge license
for the pay-per-view application software residing on the SARUs it
currently owns and for any future SARUs purchased. TelVue did not purchase
any SARUs from Atlas Telecom during 2007. There is no affiliation between
TelVue and Atlas Telecom other than a customer and supplier relationship.

	TelVue pays Telco Solutions, Inc. a monthly licensing fee for an
exclusive license within the United States for the use of pay-per-view
application software, which resides on two (2) HPs that TelVue owns.
TelVue purchases Link On equipment ("LINK ONs") from Telco Solutions, Inc.
The LINK ONs are used to expand call capacity to accommodate new
customers. The LINK ONs work in conjunction with the SARUs.  TelVue had
purchased LINK ONs in place of SARUs because the LINK ONs are more cost
effective.  TelVue pays Telco Solutions, Inc. a monthly licensing fee for
an exclusive license within the United States for the use of pay-per-view
application software residing on the LINK ONs.  TelVue did not purchase
any LINK ONs during 2007.

	TelVue also uses equipment purchased from Science.  Science holds
United States Patent No. 4,797,913 (issued January 10, 1989), encompassing
ANI ordering equipment and services employing the use of Feature Group D
services (the "Science Patent").  TelVue holds a perpetual, no charge and
nonexclusive license to use the Science Patent.

MARKETING OF SERVICES

	The TVTN/PSG segment is co-marketed using direct mail and
telemarketing to municipal and school officials while attending various
League of Municipality conferences, PEG Channel shows and school
conferences to demonstrate the service.  In addition, TelVue utilizes
website, internet meeting rooms, referrals and demonstration DVDs and CDs
to sell both TVTN and PSG servers.

	Sales of TelVue's ANI service to date have been made to operating
cable television companies with a broad geographical distribution.
Relations with all customers are good.  Unfortunately, many cable
operators are moving their subscribers onto digital two-way ordering and,
as a result, the number of subscribers TelVue serves is declining and it
is unable to attract many new cable customers to its ANI service.  As of
December 31, 2007, there were two Multi System Operators ("MSOs") that
individually comprised more than 10% of TelVue's ANI service revenues.
Percentages of service revenue may vary as cable operators continue to
consolidate their systems with other cable operators, as cable operators
leave the ANI service and as the TVTN/PSG segment grows.

COMPETITION

	TVTN/PSG currently has competition from software and hardware
suppliers to municipalities that operate Municipal/Educational cable
access channels.  However, at this time, none of those competitors offer
the monthly programming and service level or the sponsorship funding model
that TVTN offers.

	TelVue uses telephone company grade, feature-laden equipment for its
automated pay-per-view order processing service.  TelVue has a reputation
for offering customer friendly features and excellent customer service.
TelVue is unaware of any direct competitors to its ANI service.  TelVue is
aware, however, that some TelVue customers have elected to process their
own orders by constructing their own ANI ordering processing platform.

EMPLOYEES

	At December 31, 2007, TelVue had forty full-time employees and one
part-time employee.  Additional personnel may be added as circumstances
require.

BACKLOG

	TVTN revenues are computed and assessed a fixed monthly support and
initial installation fee. As a result, no form of backlog exists, other than
that which is represented by accumulated service charge income, which has
yet to be paid to TelVue.  Currently, PSG is in the process of fulfilling
equipment orders for 13 customers valued at approximately $171,000.  TelVue's
ANI service revenues are computed and assessed on the basis of a fixed charge
for every order placed with a subscribing customer for specialized cable
programming services or for other services transmitted through its equipment.

RESEARCH AND DEVELOPMENT

	TelVue is principally a sales and marketing company.  However,
material research and development is performed to introduce features on
its PSG servers, in addition to developing other uses for its server
products.

ITEM 2.     PROPERTIES

	TelVue leases approximately 8,700 square feet of office space in the
Mt. Laurel, New Jersey, Horizon Way Corporate Center.  The lease expires
May 31, 2009.  However, TelVue has the right to terminate the lease a year
early provided it gives 120 days prior notice and pays a termination fee
of $2,184.  The office space is used to house the equipment used to
provide the ANI service and TVTN, as well as the executive, sales,
secretarial and technical support personnel.

	TelVue also leases approximately 2,800 square feet of space in
Princeton, New Jersey.  This lease expires on June 30, 2008.  This space
is used for research and development of the PSG server product line.

ITEM 3.     LEGAL PROCEEDINGS

	TelVue is not involved in any material legal proceedings.

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

	No matter was submitted during the fourth quarter of the fiscal year
covered by this report to a vote of security holders through solicitation
of proxies or otherwise.

                             PART II

ITEM 5. MARKET FOR THE ISSUER'S COMMON STOCK AND RELATED SECURITY
        HOLDER MATTERS

	The Issuer's common stock is traded in the Over-the-Counter Market.
Over-the-Counter market quotations reflect inter-dealer prices, without
retail mark-up, mark-down or commissions and may not represent actual
transactions.  The range of high and low bid prices for TelVue's common
stock for the two most recent fiscal years, as reported by The NASDAQ
Stock Market, Inc. is as follows:

      QUARTER 2007                        HIGH                    LOW

        First                             $.11                   $.04

        Second                            $.12                   $.07

        Third                             $.19                   $.07

        Fourth                            $.13                   $.05

      QUARTER 2006

        First                             $.04                   $.02

        Second                            $.035                  $.02

        Third                             $.09                   $.03

        Fourth                            $.08                   $.031

	As of March 13, 2008, there were 308 holders of record of the common
stock of TelVue.

	TelVue has paid no cash dividends since its incorporation.  TelVue
intends to retain any future earnings for use in its business and has no
present intention to pay cash dividends on its common stock in the
foreseeable future.  Holders of the common stock are entitled to share
ratably in dividends when and as declared by the Board of Directors out of
funds legally available therefore.

	Shares of common stock which have had the same beneficial owner for a
continuous period in excess of two years prior to the record date of any
meeting of stockholders, are entitled to 10 votes per share in any matters
submitted for vote, at a meeting of stockholders.  All other stockholders
have one vote per share unless this limitation is waived by the Board of
Directors.  On August 21, 2006, the Board of Directors, with Mr. H.F.
Lenfest, TelVue's majority stockholder, abstaining from the action, waived
the two year holding period required to receive the full voting power of
ten votes per share for the 23,459,133 shares of common stock Mr. H.F.
Lenfest received for the conversion of his preferred stock in August 2005.
As of March 13, 2007, 41,192,682 shares of TelVue's common stock were
entitled to 10 votes per share.  The remaining 7,240,392 shares of common
stock were entitled to one vote per share.  Mr. H.F. Lenfest owns
38,016,586 shares of common stock, all of which are entitled to ten votes
per share.

EQUITY COMPENSATION PLAN INFORMATION

                      NUMBER OF
                  SECURITIES TO BE    WEIGHTED-AVERAGE        NUMBER OF
                     ISSUED UPON     EXERCISE PRICE OF       SECURITIES
                     EXCERISE OF        OUTSTANDING           REMAINING
                      OUTSTANDING     OPTIONS, WARRANTS     AVAILABLE FOR
                  OPTIONS, WARRANTS      AND RIGHTS        FUTURE ISSUANCE
PLAN CATEGORY         AND RIGHTS     COMPENSATION PLANS      UNDER EQUITY
-------------     -----------------  ------------------    ---------------
   Equity
compensation plans
  approved by
security holders        4,126,667              $.089            5,501,250

  Equity
compensation plans
  not approved by
security holders              (a)                (a)                (a)
                          200,000(b)            .06(b)              (b)
                        ---------              -----            ---------
Total                   4,326,667              $.089            5,501,250
                        =========              =====            =========

(a) In December 1997, TelVue adopted a director compensation plan. Under
this plan, each non-employee director, other than the majority
stockholder, is compensated $500 for each meeting attended by receiving
shares of common stock issued at the higher of per share fair market value
of the common stock as of the board of directors meeting date or $.05 per
share.

(b) In 2006, TelVue issued 200,000 stock options to certain consultants of
TVTN.


ITEM 6.     MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

OVERVIEW OF COMPANY:

	During the year ended December 31, 2007, TelVue operated two
business segments.  The first segment ("TVTN/PSG") includes TelVue Virtual
Television Networks ("TVTN"), which is a system for displaying a fully
automated TV station-like display on a cable system access channel using
computer based digital technology.  The TVTN/PSG segment also includes
Princeton Server Group, Inc. ("PSG"), which was acquired on March 12,
2007. PSG develops high performance digital video systems, appliances, and
software that support capture, storage, manipulation and play-out of
digital media in multiple popular formats. The second and legacy segment
is a marketing and service company which sells automatic number
identification ("ANI") telecommunications services to the cable television
industry for the automated ordering of pay-per-view features and events
(the "ANI service").

	In 2003, TelVue developed the TVTN product and service and has
applied for three patents related to the product.  TVTN is a system for
displaying a fully automated TV station-like display on a cable system
access channel using computer based digital technology. TVTN displays the
programming as graphics, text, imbedded music and pictures with voice
narration and can run full motion video clips.  TelVue is currently
marketing TVTN to municipal governments and school districts as a means of
providing richer and more robust TV programming for their local Cable TV
Public, Education and Government Local Access Channels ("PEG Channels").
Currently, most municipalities use a simple TV display made up of only
text messages with background music.  TelVue directly charges the
municipalities a nominal start-up and monthly support fee along with a
sponsorship program that finds regional and national businesses as
sponsors or underwriters for TVTN clients to help defray TVTN charges.  In
return, the TVTN client places an acknowledgement of the sponsor's support
on its town or school's access channel. While TVTN specializes in creating
a customized look for the PEG Channels and provides localized and dynamic
content, PSG provides digital server technology to store, schedule,
archive and playback video during the video content time allocated on the
PEG Channel.  TelVue acquired PSG because it believes PSG and TVTN
together will provide a complete technology and support solution to owners
and operators of PEG Channels.  As a compliment to the TVTN service,
TelVue has introduced technology enabling local emergency management
officials to send emergency messages by e-mail to residents' cell phones
and computers.  This four-in-one technology provides simultaneous phone,
e-mail, website and television notification.  The new capability will be
available exclusively to residents in towns affiliated with TVTN.

	The ANI service permits cable television companies to process special
ordering services without the attendant high-manpower requirements or
extensive physical plant and facilities that are otherwise required.
TelVue provides the ANI service through equipment it purchases. TelVue's
equipment for providing the ANI service nationwide is located at TelVue's
home office in Mt. Laurel, New Jersey.  TelVue serves cable television
systems across the United States via trunk lines and data circuits that it
currently leases from Verizon. TelVue believes it receives a favorable
trunk usage rate from Verizon.

RESULTS OF OPERATIONS:

	The following discussion deals, at some length, with the decrease in
operating income for the year ended December 31, 2007, compared to the
year ended December 31, 2006, and the reasons for the decrease. TelVue
further discusses the continued loss of its subscriber base for the ANI
service when comparing the year ended December 31, 2007 to the year ended
December 31, 2006.  The subscriber decline is the result of cable
operators moving to digital services which limit the number of analog pay-
per-view channels available for content and allows the cable operator's
customers to order digital pay-per-view or video on demand via the set top
box.  TelVue also discusses the marketing of its TVTN/PSG service and the
growth in TVTN/PSG revenue and expenses.

	The ANI segment had operating income of $478,790 for the year ended
December 31, 2007, compared to $763,028 for the year ended December 31,
2006. The decrease in operating income was mainly a result of the decrease
in ANI service revenue of $207,172 for the year ended December 31, 2007,
when compared to the same period of 2006.  As expected, pay-per-view buy
revenue decreased $49,129 for the year ended December 31, 2007, and
feature revenue decreased $189,144 for the year ended December 31, 2007
when compared to the same periods of 2006. These decreases were mainly due
to a reduction in the number of subscribers served during this period when
compared to 2006 (as discussed below).

	As of December 31, 2007, TelVue was serving approximately 4.6 million
full-time cable subscribers compared to approximately 4.8 million full-
time cable subscribers served as of December 31, 2006. During the year
ended December 31, 2007, approximately 1.5 million full-time and part-time
cable subscribers cancelled the ANI service, the largest being Time Warner
Cable in New York, NY, which accounted for 1.1 million part-time
subscribers. During the same period, 92,000 new cable subscribers were
added to the ANI service.  The cable operators cancelled the ANI service
primarily as a result of moving their subscribers onto two-way digital
service which allows the cable operator to process ordering of pay-per-
view movies and events directly from its customers without using TelVue's
ANI service.  Management believes the long-term effects of deployment of
digital two-way service will continue to negatively impact the TelVue ANI
service.  As a result of the cable and satellite subscriber cancellations
noted above, TelVue expects to continue to decrease its revenue and
operating income indefinitely for its ANI segment.

	ANI cost of revenues decreased for the year ended December 31, 2007
by $21,184 when compared to the year ended December 31, 2006.  This
decrease was primarily due to a favorable variance in software maintenance
expense of $38,184 as a result of reversing 2006 accrued but unbilled
expenses for Telco Solutions, Inc., TelVue's HP software support provider
("Telco Solutions").  Telco Solutions and TelVue worked out an arrangement
to allow Telco Solutions to co-locate equipment at the TelVue facility.
In exchange for the co- location, Telco Solutions waived their 2006 and
2007 software maintenance fees.  Trunk lines showed an increase of $63,748
as a result of credits received in 2006 related to prior over-charges, in
addition to increased current year usage for pay per view events. There
was also a reduction in technical payroll, payroll taxes and benefits for
the year of $43,566 when compared to the same period of 2006 as a result
of an increased amount being allocated to the TVTN/PSG segment.  Selling
expenses related to the ANI service decreased by $4,529 for the year ended
December 31, 2007, when compared to the same periods of 2006.  This
decrease was primarily the result of savings in payroll and payroll taxes
being offset by higher current year commission expense due to 92,000 cable
subscribers being adding in 2007 compared to zero being added in 2006.
ANI segment general and administrative expenses increased $89,794 for the
year ended December 31, 2007 when compared to the same periods of 2006,
largely a result of a recovery of bad debt expense of $78,605 in 2006
related to reversing the Adelphia Communications, Inc. ("Adelphia") bad
debt expense previously recorded in 2003.  This was in addition to higher
legal fees and a higher amount of corporate administrative expenses
allocated in 2007 when compared to 2006.

	The TVTN/PSG service had an operating loss of $3,607,806 for the year
ended December 31, 2007, compared to an operating loss of $2,512,337 for
the year ended December 31, 2006. TVTN/PSG service revenue increased
$2,156,414 for the year ended December 31, 2007, compared to the year
ended December 31, 2006. The majority of the revenue increases were
attributed to the PSG operating unit, which was acquired on March 12,
2007.  To help speed TVTN penetration, shorten the sale cycle, and assist
clients in finding funding for the TVTN service, TelVue offers a
sponsorship program that finds regional and local businesses as sponsors
or underwriters for TVTN clients to help defray TVTN charges.  In return,
the TVTN client places an acknowledgement of the sponsor's support on its
town or school's access channel. Many towns have adopted this method of
funding the cost of the TVTN service. As of December 31, 2007, TVTN was
providing service to 132 towns/schools/retirement communities compared to
94 towns at December 31, 2006, and also had 87 sponsors launched and
funding the town's channel as of December 31, 2007, compared to 79
sponsors launched at December 31, 2006.  TelVue is marketing the TVTN
service nationally with an initial focus in New Jersey, Pennsylvania and
Delaware.  TelVue has sold the service to clients in California, Florida,
Georgia, Maryland, Massachusetts, New York, North Carolina, Texas,
Virginia and Washington; the remaining customers are in the New Jersey,
Pennsylvania and Delaware areas.  PSG's traditional marketing efforts have
been at conferences, seminars and trade shows, in addition to the use of
direct mail and referrals.  PSG has sold equipment in 34 different states
and the District of Columbia.  Cost of revenues for the TVTN/PSG service
increased $1,036,103 for the year ended December 31, 2007, when compared
to the year ended December 31, 2006, mainly as a result of payroll for
additional production and design personnel, in addition to the expenses
associated with the PSG operating unit.  Selling expenses related to the
TVTN/PSG service increased $253,032 for the year ended December 31, 2007,
when compared to the year ended December 31, 2006.  This increase was a
result of additional sales personnel hired to aggressively market and sell
the TVTN/PSG services, as well as increases in advertising, commission,
travel and trade show expenses combined with the operating expenses of the
PSG unit.  TVTN/PSG general and administrative expenses increased
$1,275,578 for the year December 31, 2007 when compared to the year ended
December 31, 2006.  This increase was primarily a result of allocating a
larger portion of rent and other operational expenses to the TVTN/PSG
segment, along with the addition of the expenses related to the PSG
operating unit.  As with many start-up ventures, management anticipates
that expenses will continue to grow as the operations and marketing
efforts for the TVTN/PSG service increase.

	TelVue had a net loss of $3,960,799 for the year ended December 31,
2007, compared to a net loss of $1,834,515 for the year ended December 31,
2006.  At December 31, 2007 and 2006, TelVue recorded valuation allowance
increases of $1,677,702 and $772,257, respectively, to reduce its
deferred tax asset to zero. The valuation allowances were recorded due to
the uncertainty as to whether future net income would be generated that
would utilize TelVue's net operating loss carry forward. TelVue's federal
net operating loss carry forward was approximately $7,400,000 on a tax-
reporting basis as of December 31, 2007 (see Note 12 of TelVue's
accompanying financial statements).

	During the year ended December 31, 2007, TelVue purchased $996,581 of
equipment compared to $552,687 purchased during the year ended December
31, 2006.  The majority of the equipment purchased during the year ended
December 31, 2007 and 2006 was for software development and equipment
related to the TVTN service. Depreciation and amortization expense
increased $189,335 and $507,050 for the year ended December 31, 2007, as a
result of the capital purchases, in addition to the amortization expense
related to the PSG intangible assets. Depreciation and amortization
accounted for 18% and 8% of total operating expenses for the year ended
December 31, 2007 and 2006, respectively.

	As of December 31, 2007, TelVue maintained a bad debt reserve in the
amount of $6,510 as compared to $3,000 as of December 31, 2006.  The
reserve was calculated based on the estimate that 1% of outstanding
receivables would not be collected.

	TelVue's days for sales in average accounts receivable was 47 days at
December 31, 2007, compared to 44 days at December 31, 2006, not including
the outstanding balances due from Adelphia Cable. TelVue does not offer
incentives or discounts to its customers, nor has it changed its credit
terms with its customers for its TVTN or ANI services.  A 2% cash, 1% net
15 days discount is offered by PSG for payments related to equipment
purchases. TelVue had negative cash flow from operating activities of
$2,241,437 and $1,438,620 for the years ended December 31, 2007 and 2006,
respectively. The decrease in cash flow in 2007 compared to 2006 was
primarily due to a reduction in ANI service revenue and an increase in
TVTN/PSG expenses (as described above).


LIQUIDITY AND CAPITAL RESOURCES:

	Since November 2, 1989, TelVue has funded its expansion and operating
deficit from the proceeds of the sale of shares of TelVue's common stock
and Preferred Stock (as defined below) to Mr. H.F. Lenfest, TelVue's
majority stockholder, and from loans from Mr. Lenfest. From November 1989
to February 1996, TelVue borrowed an aggregate of $6,128,712 from Mr.
Lenfest.  These loans and accrued interest were repaid in their entirety
during 2003.  On March 5, 2001, TelVue borrowed $650,000 from Mr. Lenfest
to fund a portion of the Source acquisition, at an interest rate of prime
plus one percent (1%) compounded and due on or before January 1, 2004.
This loan was repaid in its entirety in 2001.

	In addition to the borrowings noted above, during January 1995, Mr.
Lenfest purchased from Science Dynamics Corporation ("Science"), TelVue's
non-interest bearing note in the amount of $541,000 (the "Science Note").
The Science Note was originally issued by TelVue to Science and was
payable December 31, 1996.  The maturity date of the Science Note had been
extended by TelVue and Mr. Lenfest on a yearly basis.  On June 16, 2005,
the members of the Board of Directors of TelVue and Mr. Lenfest extended
the maturity date of the Science Note to January 1, 2011.

	On March 9, 2001, pursuant to the terms of the acquisition of the
assets of Source for $1,300,000, TelVue paid $1,000,000 in cash and
$300,000 pursuant to a promissory note (the "Source Note").  The Source
Note had a term of three years. Interest only was payable monthly during
year one at the rate of 8% per annum. Beginning in year two, both
principal and interest were payable monthly at the rate of 5.06% per
annum.  During the first quarter of 2004, TelVue paid the remaining
balance on the Source Note in its entirety.

	On April 27, 2005, TelVue entered into a Line of Credit Note (the
"2005 Note) with Mr. Lenfest.  The 2005 Note was secured to provide
funding to grow the TVTN Network.  Under the terms of the 2005 Note,
TelVue may borrow, from time to time, up to the maximum principal amount
of the 2005 Note which is $3,800,000.  The minimum advance under the 2005
Note is $100,000 and the interest rate of the 2005 Note is equal to the
prime rate plus one percent (1%).  The 2005 Note contains customary events
of default, including, among others, non-payment of principal and interest
and in the event TelVue is involved in certain insolvency proceedings.  In
the event of a default, all of the obligations of TelVue under the 2005
Note may be declared immediately due and payable. The 2005 Note is
unsecured and will expire six years from the date of the first advance,
which is November 23, 2011, unless extended or renewed. Principal and
interest on the 2005 Note are also due and payable on November 23, 2011.
During the year ended December 31, 2007, TelVue borrowed $1,600,000 under
the terms of the 2005 Note, bringing outstanding borrowings under the 2005
Note to $3,800,000 and accrued interest on the borrowings to $444,727 as
of December 31, 2007, fully exhausting this note.

	As a result of the anticipated exhaustion of the credit under the
2005 Note, TelVue entered into an additional Line of Credit Note (the
"2006 Note") with Mr. Lenfest on November 3, 2006, in the principal amount
of Ten Million Dollars ($10,000,000).  Under the 2006 Note, TelVue may
request up to $5,000,000 for general working capital.  TelVue may request
up to an additional $5,000,000 available under the 2006 Note for purposes
other than general working capital upon mutual agreement by TelVue and Mr.
Lenfest.  The minimum advance under the 2006 Note is $100,000 and the
interest rate on the 2006 Note is equal to the prime rate plus one percent
(1%).  The 2006 Note contains customary events of default, including,
among others, non-payment of principal and interest and in the event
TelVue is involved in certain insolvency proceedings.  In the event of a
default, all of the obligations of TelVue under the 2006 Note may be
declared immediately due and payable. The 2006 Note is unsecured and will
expire six years from the date of the first advance under the 2006 Note
unless extended or renewed.  Principal and interest on the 2006 Note are
also due and payable six years from the date of the first advance under
the 2006 Note, which was December 26, 2006.  As of December 31, 2007, the
Company had borrowed $8,400,000 under the 2006 Note with accrued interest
in the amount of $547,551.  TelVue is borrowing approximately $300,000 per
month under the 2006 Note and anticipates that the funds will be exhausted
by May 2008 or sooner.

	As a result of the anticipated exhaustion of the line of credit under
the 2006 Note, TelVue entered into an additional Line of Credit Note (the
"2007 Note") with Mr. Lenfest on December 21, 2007, in the principal
amount of $2,300,000.  The minimum advance under the 2007 Note is $100,000
and the interest rate on the 2007 Note is equal to the prime rate plus one
percent (1%).  The 2007 Note contains customary events of default,
including, among others, non-payment of principal and interest and in the
event TelVue is involved in certain insolvency proceedings.  In the event
of a default, all of the obligations of TelVue under the 2007 Note may be
declared immediately due and payable. The 2007 Note is unsecured and will
expire six years from the date of the first advance under the 2007 Note
unless extended or renewed.  Principal and interest on the 2007 Note are

	On December 26, 2006, TelVue borrowed $400,000 from Mr. Lenfest under
the 2006 Note to loan to PSG to fund their operating expenses (the "PSG
Note").  The PSG Note was a convertible note that bore interest at a rate
of six percent (6%) per annum.  No payments of principal or interest were
due until July 1, 2007.  Under the PSG Note interest accrued through July
1, 2007 was to be added to the principal. Interest was payable monthly
from July 1, 2007 through January 1, 2008. The remaining balance was
payable in forty eight (48) monthly installments of principal and interest
commencing February 1, 2008. The PSG Note was scheduled to mature in
January 2012.  TelVue had the option to convert the unpaid principal
balance of the note and all accrued interest into common stock of PSG.  In
connection with the PSG Note TelVue received a warrant, which entitled
TelVue to purchase 129,629 shares of common stock of PSG for $1.08 per
share.  The warrant was to commence on July 1, 2007 and expire on December
31, 2016.  The PSG Note was forgiven on March 12, 2007, in connection with
TelVue's acquisition of all of the outstanding stock of PSG (see below and
Note 4 and Note 16 of TelVue's accompanying financial statements).

	On March 12, 2007, PSG was acquired by TelVue for $6.1 million and
the forgiveness of the PSG Note (described above).  TelVue borrowed $6.1
million from Mr. Lenfest under the 2006 Note.  PSG develops high
performance digital video systems, appliances, and software that support
capture, storage, manipulation and play-out of digital media in multiple
popular formats.  PSG markets their product to PEG TV and local
origination broadcast stations, professional broadcast stations and
schools and universities.  TelVue acquired PSG as a complement to its TVTN
Network with the objective being to offer towns, municipalities and
schools a packaged turnkey product of hardware and software.

	On June 16, 2005, Mr. Lenfest, the holder of all of TelVue's
outstanding Class A Redeemable Convertible Preferred Stock (the "Preferred
Stock"), informed TelVue of his intent to convert all of his 3,518,694
shares of Preferred Stock into TelVue's common stock. Each share of
Preferred Stock was convertible into 6.667 shares of common stock.  The
conversion of the Preferred Stock to common stock occurred on August 2,
2005, upon Mr. Lenfest's delivery of the Preferred Stock in the form of a
lost certificate affidavit. As a result of the conversion, TelVue issued
23,459,133 shares of common stock to Mr. Lenfest.  Mr. Lenfest's
beneficial ownership interest in the common stock of TelVue, after the
cancellation of the warrants to purchase common stock described below, was
approximately 78.3 percent as of December 31, 2006.  The Preferred Stock
was eliminated and is included as 23,459,133 shares of common stock in the
stockholders' equity section of the balance sheet.  On August 21, 2006,
the Board of Directors, with Mr. Lenfest abstaining from the action,
waived the two year holding period required to receive the full voting
power of ten votes per share for the 23,459,133 shares of common stock Mr.
Lenfest received for the conversion of his Preferred Stock.

	The Preferred Stock had a par value of $1 per share and provided for
a cumulative six percent (6%) semiannual dividend.  The dividend was
payable in cash or additional shares of Preferred Stock at $1 per share,
at TelVue's option. TelVue had accrued dividends on the Preferred Stock
since the beginning of 1998, but no dividends had been paid.  On June 16,
2005, Mr. Lenfest agreed to relinquish his right to all accrued but unpaid
dividends attributable to the Preferred Stock.  Therefore, $3,061,269 of
accrued dividends was reversed and is included in stockholders' equity as
a decrease to TelVue's accumulated deficit.

	On June 16, 2005, the members of the Board of Directors of TelVue and
Mr. Lenfest agreed to terminate a Warrant Agreement between Mr. Lenfest
and TelVue.  Pursuant to the Warrant Agreement, Mr. Lenfest had the right
to purchase up to 29,915,160 shares of TelVue's common stock for $.01 per
share, the fair market value of the common stock on the grant date.   The
Warrant Agreement was entered into on March 15, 1991, in connection with a
prior line of credit to TelVue provided by Mr. Lenfest.

	TelVue's ability to fully fund its operating expenses has suffered by
the loss of a large number of its subscriber base for the ANI service.  As
discussed above, TelVue anticipates a continued decrease in revenue and an
increase in net loss for the ANI service.  In order to continue to fund a
majority of its ANI operating expenses, TelVue needs to retain its current
subscriber base level. Management believes that over time, continued
erosion will occur in the subscriber base.  As discussed above, during the
year ended December 31, 2007, TelVue had 1,547,000 full and part-time
subscribers cancel service and only 92,000 new subscribers were added to
the ANI service. The cable operators cancelled the ANI service primarily
as a result of moving their subscribers onto two-way digital service.

	TelVue has been, and continues to be, dependent upon Mr. Lenfest for
funds to pay the majority of operating and capital expenditures for TVTN
as well as the newly acquired PSG subsidiary.  As discussed above, the
financing from Mr. Lenfest under the 2005 Note has been exhausted, and
TelVue believes that the financing from Mr. Lenfest under the 2006 Note
will be exhausted by approximately May 2008 or sooner.  As a result of
this, TelVue secured the 2007 Note from Mr. Lenfest to help TelVue grow TVTN
to a profitable level.  The 2005 Note has helped, and the 2006 Note and
2007 Note will help, to fund the growth of TVTN and the PSG subsidiary,
as well as fund the ANI service in the event it becomes cash flow negative.
While maintaining the ANI pay-per-view ordering business, TelVue intends
to continue to aggressively market and sell TVTN and PSG service. However,
there can be no assurance that its marketing efforts will be successful.

ITEM 7.    FINANCIAL STATEMENTS

	The Financial Statements are set forth in this report beginning at
page F-1.

ITEM 8.    CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON
           ACCOUNTING AND FINANCIAL DISCLOSURE

	There have been no disagreements of any nature at any time with
TelVue's auditors with regard to any aspect of TelVue's financial
statements, its financial disclosure or its accounting practices.

ITEM 8A.   CONTROLS AND PROCEDURES

	(a)	Evaluation of Disclosure Controls and Procedures.
TelVue's Chief Executive Officer and its Treasurer (Controller), have
evaluated the effectiveness of TelVue's disclosure controls and
procedures (as defined in the Securities Exchange Act of 1934 Rules
13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as
amended) as of the end of the period covered by this report.  Based
upon that evaluation, TelVue's Chief Executive Officer and its Treasurer
(Controller) have concluded that TelVue's disclosure controls and
procedures were adequate and effective to ensure that material
information relating to TelVue would be made known to them by others
within the company, particularly during the period in which this annual
report on Form 10-KSB was being prepared.

	(b)	Changes in Internal Controls.  During the annual period
covered by this report, there were no changes in TelVue's internal
control over financial reporting that has materially affected, or is
reasonably likely to materially affect TelVue's internal control over
financial reporting.

	(c)	Management's Report on Internal Control Over Financial
		Reporting.

	TelVue's management is responsible for the preparation and integrity
of the Consolidated Financial Statements appearing in our annual report
on Form 10-KSB. The financial statements were prepared in conformity with
generally accepted accounting principles appropriate in the circumstances
and, accordingly, include certain amounts based on our best judgments
and estimates.  Financial information in this annual report on Form 10KSB
is consistent with that in the financial statements.

	Management is also responsible for establishing and maintaining
effective internal control over financial reporting as such term is
defined in Rule 13a-15(f) under the Securities Exchange Act of 1934, as
amended.  TelVue's internal control over financial reporting includes those
policies and procedures that pertain to TelVue's ability to record, process,
summarize and report reliable financial data.  Management recognizes that
there are inherent limitations in the effectiveness of any internal control
over financial reporting, including the possibility of human error and the
circumvention or overriding of internal control.  Accordingly, even effective
internal control over financial reporting can provide only reasonable
assurance with respect to financial statement preparation.  Further, because
of changes in conditions, the effectiveness of internal control over
financial reporting may vary over time.

	In order to ensure TelVue's internal control over financial reporting
is effective, management regularly assesses such controls and did so most
recently for its financial reporting as of December 31, 2007.  This
assessment was based on criteria for effective internal control over
financial reporting described in Internal Control-Integrated Framework
issued by the Committee of Sponsoring Organizations of the Treadway
Commission.  Based on this assessment, management believes the Corporation
maintained effective internal control over financial reporting as of
December 31, 2007.

	TelVue's Board of Directors, acting through its Audit Committee, is
responsible for the oversight of accounting policies, financial reporting
and internal control.  The Audit Committee of the Board of Directors is
comprised entirely of outside directors who are independent of management.
The Audit Committee is responsible for performing an oversight role by
reviewing and monitoring the financial, accounting and auditing procedures
of TelVue in addition to reviewing TelVue's financial statements.
TelVue's independent auditors have full and unlimited access to the
Audit Committee, with or without management, to discuss the adequacy of
internal control over financial reporting, and any other matters which
they believe should be brought to the attention of the Audit Committee.

	This annual report does not include an attestation report from
TelVue's independent auditors regarding internal control over financial
reporting.  Management's report was not subject to attestation by TelVue's
independent auditors pursuant to temporary rules of the Securities and
Exchange Commission that permit TelVue to provide only management's
report in this annual report.

ITEM 8B.  OTHER INFORMATION

	Effective January 1, 2008, the salary of Randy Gilson, TelVue's Vice
President of Technical Services, was increased to $129,907. Joseph M.
Murphy, TelVue's President and Chief Executive Officer declined a salary
increase.  Further details of each officer's compensation are set forth on
Exhibit 10.12 to this annual report on Form 10-KSB and incorporated herein
by reference.

                            PART III

ITEM 9.  DIRECTORS AND EXECUTIVE OFFICERS OF ISSUER AND CORPORATE
         GOVERNANCE

	The information called for by this Item is incorporated herein by
reference to TelVue's Proxy Statement for its 2008 Annual Meeting of
Shareholders that will be filed not later than April 29, 2008.

ITEM 10. EXECUTIVE COMPENSATION

	The information called for by this Item is incorporated herein by
reference to TelVue's Proxy Statement for its 2008 Annual Meeting of
Shareholders that will be filed not later than April 29, 2008.

ITEM 11. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
         AND RELATED STOCKHOLDER MATTERS

	The information called for by this Item is incorporated herein by
reference to TelVue's Proxy Statement for its 2008 Annual Meeting of
Shareholders that will be filed not later than April 29, 2008.

ITEM 12. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR
         INDEPENDENCE

	At December 31, 2007, TelVue was indebted to Mr. Lenfest in the
principal amount of $12,200,000 and accrued interest of $992,278.

	Other related transactions are described in Notes 4, 7, 8, 10 and
14 of the 2007 Financial Statements of TelVue.

	Certain other information called for by this Item is incorporated
herein by reference to TelVue's Proxy Statement for its 2008 Annual
Meeting of Shareholders that will be filed not later than April 29, 2008.


ITEM 13. EXHIBITS AND FINANCIAL STATEMENTS

FINANCIAL STATEMENTS

	Report of Independent Registered Public Accounting Firm dated March
	28, 2008.

	Balance Sheets as of December 31, 2007 and 2006.

	Statements of Operations for the years ended December 31, 2007 and
	2006.

	Statements of Stockholders' Deficit for the years ended December 31,
	2007 and 2006.

	Statements of Cash Flows for the years ended December 31, 2007 and
	2006.

	Notes to Financial Statements.


			TelVue Corporation and Subsidiary

			Consolidated Financial Statements

		     Years Ended December 31, 2007 and 2006

Table of Contents
                                                                Page No.

Report of Independent Registered Public Accounting Firm          F - 2

Consolidated Financial Statements

     Consolidated Balance Sheets                                 F - 3

     Consolidated Statements of Operations                       F - 5

     Consolidated Statements of Stockholders' Deficit            F - 6

     Consolidated Statements of Cash Flows                       F - 7

     Notes to Consolidated Financial Statements                  F - 8



						F-1


REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM


To The Board of Directors and Stockholders
TelVue Corporation and Subsidiary


We have audited the accompanying consolidated balance sheets of TelVue
Corporation (a Delaware corporation) and subsidiary as of December 31,
2007 and 2006, and the related consolidated statements of operations,
stockholders' deficit and cash flows for the years then ended.  These
consolidated financial statements are the responsibility of the Company's
management.  Our responsibility is to express an opinion on these
consolidated financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public
Company Accounting Oversight Board (United States).  Those standards require
that we plan and perform the audit to obtain reasonable assurance about
whether the consolidated financial statements are free of material
misstatement.  The Company is not required to have, nor were we engaged to
perform, an audit of its internal control over financial reporting.  Our
audit included consideration of internal control over financial reporting
as a basis for designing audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Company's internal control over financial reporting.
Accordingly, we express no such opinion.  An audit also includes examining,
on a test basis, evidence supporting the amounts and disclosures in the
consolidated financial statements, assessing the accounting principles used
and significant estimates made by management, as well as evaluating the
overall financial statement presentation.  We believe that our audits
provide a reasonable basis for our opinion.

In our opinion, the consolidated financial statements referred to above
present fairly, in all material respects, the financial position of TelVue
Corporation and subsidiary as of December 31, 2007 and 2006, and the results
of their operations and their cash flows for the years then ended in
conformity with accounting principles generally accepted in the United
States of America.


March 28, 2008
						F-2

TelVue Corporation and Subsidiary
Consolidated Balance Sheets
December 31, 2007 and 2006

  ASSETS                                          2007           2006
                                                  ----           ----
 CURRENT ASSETS
    Cash and cash equivalents               $   225,660      $  191,157
    Accounts receivable - trade, net of
     allowance for doubtful accounts of
     $6,500 in 2007 and $3,000 in 2006          641,683         392,134
    Inventory                                   244,994            -
    Prepaid expenses                            120,646          62,328
                                              ---------        --------

		TOTAL CURRENT ASSETS          1,232,983         645,619

  NOTE RECEIVABLE                                  -            400,329


  PROPERTY AND EQUIPMENT                      7,364,421       6,240,135
    Less accumulated depreciation             5,763,185       5,342,637
                                              ---------       ---------
                                              1,601,236         897,498

  DEFINITE-LIVED INTANGIBLE ASSETS
    Net of accumulated amortization
     of $507,050                              4,041,670            -

  INDEFINITE-LIVED INTANGIBLE ASSETS-GOODWILL 1,921,405            -

  INDEFINITE-LIVED INTANGIBLE ASSETS-OTHER      397,260            -

  OTHER ASSETS                                    8,800           8,800
                                              ---------       ---------
                                             $9,203,354      $1,952,246
                                             ==========      ==========
  LIABILITIES AND STOCKHOLDERS' DEFICIT

  CURRENT LIABILITIES
    Accounts payable                        $   705,182     $   105,109
    Accrued expenses                            236,538         373,161
    Deferred service revenue                    416,434         153,041
    Other liabilities                             3,178           1,407
                                             ----------     -----------
		TOTAL CURRENT LIABILITIES     1,361,332         632,718

  LINES OF CREDIT - MAJORITY STOCKHOLDER     12,200,000       2,600,000

  NOTE PAYABLE - MAJORITY STOCKHOLDER		541,000         541,000

  ACCRUED INTEREST - MAJORITY STOCKHOLDER       992,278         111,735

  REDEEMABLE CONVERTIBLE PREFERRED STOCK
   $1 par value, 6,900,000 shares authorized,
    no shares outstanding                          -               -

  STOCKHOLDERS' DEFICIT
    Common stock, $.01 par value, 100,000,000
     shares authorized, 48,433,074 and
     48,356,407 shares issued and outstanding
     at December 31, 2007 and 2006,
     respectively                               484,331         483,564
    Additional paid-in capital                4,876,639       4,874,656
    Accumulated deficit                     (11,252,226)     (7,291,427)
                                             ----------      ----------
                                             (5,891,256)     (1,933,207)
                                             ----------      ----------
                                            $ 9,203,354     $ 1,952,246
                                             ==========      ==========
See accompanying notes
						F-3

TelVue Corporation and Subsidiary
Consolidated Statements of Operations
Years Ended December 31, 2007 and 2006

                                                  2007           2006
                                                  ----           ----
 REVENUES
   ANI services		                    $ 1,364,543     $ 1,571,715
   TVTN/PSG service                           2,674,096         517,682
                                             ----------      ----------
                                              4,038,639       2,089,397
 COST OF REVENUES
   ANI services                                 459,492         480,676
   TVTN/PSG services                          1,595,651         559,548
                                             ----------      ----------
                                              2,055,143       1,040,224

			GROSS PROFIT          1,983,496       1,049,173

 OPERATING EXPENSES
   Selling and marketing                      1,700,830       1,468,776
   General and administrative                 2,482,082       1,096,941
   Depreciation and amortization                929,600         232,765
                                             ----------      ----------
                                              5,112,512       2,798,482
                                             ----------      ----------

			OPERATING LOSS       (3,129,016)     (1,749,309)

 OTHER INCOME (EXPENSE)
   Interest expense - related party            (880,543)       (110,025)
   Interest income                               38,715          17,819
   Gain on sale of equipment                       -              7,000
   Gain on sale of marketable securities         10,045            -
                                             ----------      ----------
                                               (831,783)        (85,206)
                                             ----------      ----------
	          LOSS BEFORE INCOME TAXES   (3,960,799)     (1,834,515)

 INCOME TAX EXPENSE                                -               -
                                             ----------      ----------
				NET LOSS    $(3,960,799)    $(1,834,515)
                                             ==========      ==========

 BASIC NET LOSS PER COMMON SHARE            $     (0.08)    $     (0.04)
                                             ==========      ==========

 DILUTED NET LOSS PER COMMON SHARE:	    $     (0.08)    $     (0.04)
                                             ==========      ==========
 		  WEIGHTED AVERAGE NUMBER
		    OF SHARES OUTSTANDING    48,387,348      48,348,133
                                             ==========      ==========
See accompanying notes
						F-5

TelVue Corporation and Subsidiary
Consolidated Statements of Stockholders' Deficit
Years Ended December 31, 2007 and 2006

                                      Additional                   Total
                              Common   Paid-In    Accumulated  Stockholders'
                              Stock    Capital      Deficit       Deficit
                           -------------------------------------------------

BALANCE, JANUARY 1, 2006   $  483,364  $4,873,856  $(5,456,912)  $   (99,692)

Issuance of 20,000 shares
 of common stock	          200         800         -            1,000
Net loss                         -           -      (1,834,515)   (1,834,515)
                           ----------  ----------   ----------    ----------

BALANCE, DECEMBER 31, 2006    483,564   4,874,656   (7,291,427)   (1,933,207)

Issuance of 76,667 shares
 of common stock                  767       1,983         -            2,750
Net loss                         -           -      (3,960,799)   (3,960,799)
                           ----------  ----------   ----------    ----------
BALANCE, DECEMBER 31, 2007 $  484,331 $ 4,876,639 $(11,252,226)  $(5,891,256)
                           ==========  ==========   ==========    ==========
See accompanying notes
						F-6

TelVue Corporation and Subsidiary
Consolidated Statements of Cash Flows
Years Ended December 31, 2007 and 2006


  CASH FLOWS FROM OPERATING ACTIVITIES            2007           2006
                                                  ----           ----

    Net loss		                     $(3,960,799)    $(1,834,515)
    Adjustments to reconcile net loss
      to net cash (used in) operating
      activities:
      Depreciation and amortization              929,600         232,765
      (Gain) on sale of equipment                   -             (7,000)
      (Gain) on sale of marketable securities    (10,045)           -
      Accrued interest on note receivable           -               (329)
    Changes in operating assets and
    liabilities:
      Accounts receivable - trade               (143,915)        (88,779)
      Other receivable                              -             10,900
      Inventory                                 (140,601)           -
      Prepaid expenses                           (58,318)        (21,695)
      Accounts payable                           320,540         (25,607)
      Accrued expenses                          (136,623)        163,161
      Deferred service revenue                    76,410          23,557
      Other liabilities                            1,771          (1,103)
      Accrued interest -
        majority stockholder                     880,543         110,025
                                              ----------      ----------
		  NET CASH (USED IN)
		OPERATING ACTIVITIES          (2,241,437)     (1,438,620)

  CASH FLOWS FROM INVESTING ACTIVITIES
   Cash paid for acquisition                    (240,274)           -
   Proceeds from sale of equipment                  -              7,000
   Proceeds from sale of marketable securities    10,045            -
   Purchases of property and equipment          (996,581)       (552,687)
                                              ----------      ----------
		  NET CASH (USED IN)
		INVESTING ACTIVITIES          (1,226,810)       (545,687)

  CASH FLOWS FROM FINANCING ACTIVITIES
    Proceeds from line of credit -
      majority stockholder                     3,500,000       2,000,000
    Issuance of common stock                       2,750           1,000
                                              ----------      ----------
		NET CASH PROVIDED BY
		FINANCING ACTIVITIES           3,502,750       2,001,000
                                              ----------      ----------
		NET INCREASE IN CASH
            AND CASH EQUIVALENTS                  34,503          16,693

  		CASH AND CASH EQUIVALENTS
   		AT BEGINNING OF YEAR             191,157         174,464
                                              ----------      ----------
            CASH AND CASH EQUIVALENTS
            AT END OF YEAR                    $  225,660      $  191,157
                                              ==========      ==========
See accompanying notes
						F-7

TelVue Corporation and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2007 and 2006

Note 1 - Summary of Significant Accounting Policies

This summary of significant accounting policies of TelVue Corporation and
subsidiary ("the Company") is presented to assist in understanding its
consolidated financial statements.  These accounting policies conform to
accounting principles generally accepted in the United States of America
and have been consistently applied in the preparation of the consolidated
financial statements.

Basis of Consolidation

The consolidated financial statements include the accounts of TelVue
Corporation and its wholly-owned subsidiary, Princeton Server Group, Inc.
from March 12, 2007, the date of acquisition.  Significant intercompany
accounts and transactions have been eliminated in consolidation.

Business Activity and Concentration of Credit Risk

The Company operates two business segments.  One segment is a marketing
and service division, which sells automatic number identification
telecommunications services ("ANI service") to the cable television industry
throughout the United States for the automated ordering of pay-per-view
features and events.  The Company grants credit to cable television
operators throughout the nation.  Consequently, the Company's ability to
collect the amounts due from customers is affected by economic fluctuations
in the cable television industry.  The other business segment is a system
for displaying a fully automated television station-like display on a cable
system access channel using computer based digital technology ("TVTN
service").  This segment also includes Princeton Server Group, Inc. ("PSG"),
which develops high performance digital video systems, appliances and
software that support capture, storage, manipulation and playout of digital
media in multiple popular formats.

The Company maintains cash balances at a financial institution located in
the Philadelphia area.  Accounts at this institution are insured by the Bank
Insurance Fund up to $100,000.  The Company maintains cash balances in
excess of the insured amount.

During 2007, one customer accounted for 10% of revenues and accounted for
8% of receivables at December 31, 2007.  During 2006, two customers accounted
for 46% of revenues and accounted for 36% of receivables at December 31, 2006

Currently, the Company's primary source of financing is the majority
stockholder.  The Company has not sought to obtain significant funding from
third parties on terms that are acceptable to the Company.

Use of Estimates

The preparation of consolidated financial statements in conformity with
accounting principles generally accepted in the United States of America
requires management to make estimates and assumptions that affect the
reported amounts of assets and liabilities and disclosure of contingent
assets and liabilities at the date of the consolidated financial statements
and reported amounts of revenues and expenses during the reporting period.
Actual results could differ from those estimates.

Cash and Cash Equivalents

For purposes of the statements of cash flows, the Company considers all
short-term debt securities purchased with an original maturity of three (3)
months or less to be cash equivalents.

Accounts Receivable - Trade

Trade accounts receivable are stated at the amount management expects to
collect from outstanding balances.  Management provides for probable
uncollectible amounts through a charge to earnings and a credit to a
valuation allowance based on its assessment of the current status of
individual accounts.  Balances that are still outstanding after management
has used reasonable collection efforts are written off through a charge to
the valuation allowance and a credit to trade accounts receivable.

Inventory

Inventory is stated at the lower of cost or market.  Cost is determined
by the specific-identification method, and market represents the lower of
replacement cost or estimated net realizable value.

Business Combination

In accordance with Statement of Financial Accounting Standards ("SFAS")
No. 141, "Business Combinations", the Company accounts for all business
combinations by the purchase method.  The total cost of acquisitions is
allocated to the underlying assets, based on fair market values as
determined by an independent appraiser.  The Company recognizes intangible
assets apart from goodwill if they arise from contractual or legal rights or
if they are separable from goodwill.

Property and Equipment

Property and equipment are stated at cost.  Depreciation and amortization
are provided over the estimated useful lives using the straight-line method.
Amortization of leasehold improvements is included with depreciation expense
and is provided over the shorter of the remaining lease term or estimated
useful life.  Property and equipment consists primarily of operating
equipment.  For income tax purposes, recovery of capital costs for property
and equipment is made using accelerated methods over statutory recovery
periods.

Customer installation costs incurred to provide the TVTN service are
capitalized and depreciated over the term of the contract, which is
typically three (3) years.

Expenditures for renewals and betterments that extend the useful lives of
property and equipment are capitalized.  Expenditures for maintenance and
repairs are charged to expense as incurred.

Goodwill, Trademarks and Other Intangible Assets

In accordance with SFAS No. 142, "Goodwill and Other Intangible Assets",
the Company classifies intangible assets into three categories: (1)
intangible assets with definite lives subject to amortization, (2) intangible
assets with indefinite lives not subject to amortization and (3) goodwill.
The Company tests intangible assets with definite lives for impairment if
conditions exist that indicate the carrying value may not be recoverable.
Such conditions may include an economic downturn in a geographic market or
a change in the assessment of future operations.  The Company records an
impairment charge when the carrying value of the definite lived intangible
asset is not recoverable by the cash flows generated from the use of the
asset.

Intangible assets with indefinite lives and goodwill are not amortized.
The Company tests these intangible assets and goodwill for impairment at
least annually or more frequently if events or circumstances indicate that
such intangible assets or goodwill might be impaired.  All goodwill is
assigned to reporting units, which are one level below the operating segments.
Goodwill is assigned to the reporting unit that benefits from the synergies
arising from each business combination.  The Company performs impairment
tests of goodwill at each reporting unit level.  Such impairment tests for
goodwill include comparing the fair value of the respective reporting unit
with its carrying value, including goodwill.  When the fair value is less
than the carrying value of the intangible assets or the reporting unit, the
Company records an impairment charge to reduce the carrying value of the
assets to fair value.

The Company determines the useful lives of our identifiable intangible assets
after considering the specific facts and circumstances related to each
intangible asset.  Factors the Company considers when determining useful
lives include the contractual term of any agreement, the history of the
asset, the Company's long-term strategy for the use of the asset, any laws
or other local regulations which could impact the useful life of the asset,
and other economic factors, including competition and specific market
conditions. Intangible assets that are deemed to have definite lives are
amortized, generally on a straight- line basis, over their useful lives,
ranging from 1 to 15 years.

Valuation of Long-Lived Assets

In accordance with SFAS No. 144, "Accounting for the Impairment or Disposal
of Long-Lived Assets", the Company periodically evaluates whether events or
circumstances have occurred that indicate that the remaining useful lives of
its long-lived assets, including property and equipment should be revised or
that the remaining balance of such assets may not be recoverable using
objective methodologies.  Such methodologies include evaluations based on
cash flows generated by the underlying assets or other determinants of fair
value.  As of December 31, 2007, management believes that no revisions to
the remaining lives or write-downs of carrying values are required.

Revenue Recognition

The Company recognizes ANI service revenues in the month service is
provided, net of an estimate for programs not billable by the cable
television operator.  The Company recognizes TVTN service revenues in the
month the service is provided.  Amounts billed for start-up are deferred and
recognized on the straight-line basis over the term of the contract.

Income Taxes

In June 2006, the Financial Accounting Standards Board ("FASB") issued FASB
Interpretation No. 48 "Accounting for Uncertainty in Income Taxes - an
interpretation of FASB Statement 109" ("FIN 48").  FIN 48 establishes a
single model to address accounting for uncertain tax positions.  FIN 48
clarifies the accounting for income taxes by prescribing a minimum
recognition threshold a tax position is required to meet before being
recognized in the financial statements.  FIN 48 also provides guidance on
derecognition, measurement, classification, interest and penalties,
accounting in interim periods, disclosure and transition.  The Company
adopted the provisions of FIN 48 on January 1, 2007.  Upon adoption, the
Company recognized no adjustment in the amount of unrecognized tax benefits.
As of the date of adoption, the Company had no unrecognized tax benefits.
The Company's policy is to recognize interest and penalties that would be
assessed in relation to the settlement value of unrecognized tax benefits
as a component of income tax expense.

The Company and its subsidiary are subject to U.S. federal income tax as
well as income tax in multiple state jurisdictions.  The Company is no
longer subject to U.S. federal income tax examinations for years before 2003
and state income tax examinations before 2002.  However, to the extent
allowed by law, the tax authorities may have the right to examine prior
periods where net operating losses were generated and carried forward, and
make adjustments up to the amount of the net operating loss carryforward
amount.  The Company is not currently under Internal Revenue Service ("IRS")
tax examination.  The Company is not currently under examination by any
state jurisdictions.

The Company uses the asset and liability method of accounting for income
taxes in accordance with SFAS No. 109, "Accounting for Income Taxes".  SFAS
109 requires recognition of deferred tax assets and liabilities for the
expected future tax consequences of events that have been recognized in the
consolidated financial statements or tax returns.  Under this method,
deferred tax liabilities and assets are determined based on the differences
between the financial statement carrying amounts and tax bases of assets and
liabilities using enacted tax rates in effect in the years in which the
differences are expected to reverse.  The measurement of deferred tax assets
is reduced, if necessary, by a valuation allowance for any tax benefits which
are not expected to be realized.  Differences between financial reporting
and tax bases arise most frequently from differences in timing of income and
expense recognition.  Deferred income tax expense is measured by the change
in the net deferred income tax asset or liability during the year.

Shared-Based Compensation

Effective January 1, 2006, the Company adopted the provisions of SFAS No.
123R, "Share-Based Payment," and related interpretations, to account for
share-based compensation.  SFAS 123R supercedes APB Opinion No. 25,
"Accounting for Stock Issued to Employees" and revises guidance in SFAS 123,
Accounting for Stock-Based Compensation".  The Company has adopted SFAS 123R
using the modified prospective method.  SFAS 123R requires that compensation
expense be recognized in the consolidated financial statements for share-
based awards based on the grant date fair value of those awards.  Prior to
January 1, 2006, the Company accounted for stock options in accordance with
APB No. 25.  Accordingly, compensation was recognized only if the exercise
price was less than the quoted market price of the stock on the grant date.

Advertising

The Company follows the policy of charging the costs of advertising to
expense as incurred.  Advertising expense is included in selling and
marketing expense in the accompanying statements of operations.

Note 2 - Acquisition

On March 12, 2007, the Company acquired all of the issued and outstanding
shares of capital stock of PSG for a purchase price of $6,100,000 in cash
plus the forgiveness of a $400,000 loan owed by PSG.  The acquisition was
funded with funds drawn under a $10,000,000 line of credit held by the
Company with the Company's majority stockholder.  The Company accounts for
this acquisition as a business combination under the purchase method of
accounting.  The results of PSG are included in the Company's TVTN/PSG
operating segment.

The accompanying consolidated financial statements include the operations of
PSG since the date of acquisition.

The following unaudited pro forma information for the years ended December
31, 2007 and 2006, is presented as if the acquisition of PSG occurred on
January 1, 2006.  This information is based on the historical results of
operations, adjusted for acquisition costs, and, in the opinion of
management, is not necessarily indicative of what the results would have
been had the Company operated PSG since January 1, 2006.

                                                2007          2006
                                                ----          ----
  Revenues                                 $ 4,329,184    $ 3,923,773
  Net loss                                 $(4,497,861)   $(4,060,290)
  Basic and diluted net loss per share     $     (0.09)   $     (0.08)

Note 3 - Supplemental Disclosures of Cash Flow Information

Supplemental Schedule Relating to Acquisition

  Accounts receivable                      $   105,634
  Inventory                                    104,393
  Property and equipment                       129,707
  Definite-live intangible assets            4,548,720
  Goodwill                                   1,921,405
  Other indefinite-lived intangible assets     397,260
  Accounts payable and accrued expenses       (279,533)
  Deferred service revenue                    (186,983)
  Note payable                                (400,329)
  Amount financed                           (6,100,000)
                                            ----------
CASH PAID FOR ACQUISITION                  $   240,274
                                            ==========


During 2007 and 2006, there was no cash paid for interest or income taxes.

Noncash Investing and Financing Transactions

During the year ended December 31, 2007, the Company received marketable
securities with a value of $63,719 from a customer as partial payment of
outstanding receivables.  These securities were sold in July 2007, resulting
in a realized gain of $10,045.  In December 2006, the majority stockholder,
on behalf of the Company, loaned $400,000 to PSG, prior to the acquisition,
under the Company's line of credit in exchange for a convertible note
receivable.

Note 4 - Note Receivable

The note was a convertible note, which bore interest at six percent (6%).
The note was forgiven in March 2007, when the Company acquired all of the
outstanding stock of PSG.  See Note 2.

Note 5 - Property and Equipment

A schedule of property and equipment at December 31, 2007 and 2006,
is as follows:

                                                             Estimated
                                                           Useful Lives
                                       2007         2006     in Years
                                       ----         ----   ------------
  Operating equipment               $6,739,755  $5,893,857    3-5
  Office furniture and equipment       462,970     300,189    3-5
  Leasehold improvements                46,089      46,089     5
  Software                             115,607        -        3
                                     ---------   ---------
                                    $7,364,421  $6,240,135
                                     =========   =========

Note 6 - Intangible Assets

A schedule of definite-lived intangible assets and accumulated
amortization as of December 31, 2007 is as follows:

                                                                Weighted
                                                                 Average
                                      Accumulated             Amortization
                           Amount     Amortization     Net       Period
                        ----------   ------------- ---------- ------------
 Software               $3,600,000   $  407,143    $3,192,857    7 years
 Patents                   788,220       41,600       746,620   15 years
 Customer list              74,900       39,531        35,369   18 months
 Customer contract          57,800       11,440        46,360    4 years
 Maintenance contracts      27,800        7,336        20,464    3 years
                         ---------    ---------     ---------
                        $4,548,720   $  507,050    $4,041,670
                         =========    =========     =========

Amortization expense from definite-lived assets for the year ended
December 31, 2007 was $507,050.  The following table presents the Company's
estimate of amortization expense for each of the five succeeding years for
definite-lived intangible assets:

                   Year Ending December 31,
                          2008                    $  625,920
                          2009                       590,550
                          2010                       583,215
                          2011                       569,844
                          2012                       566,834
                       Thereafter                  1,105,307
                                                   ---------
                                                  $4,041,670
                                                   =========

A schedule of indefinite-lived intangible assets as of December 31, 2007 is
as follows:

 Goodwill                                         $1,921,405
 Trademarks                                          397,260
                                                   ---------
                                                  $2,318,665
                                                   =========

Note 7 - Lines of Credit - Majority Stockholder

In April 2005, the Company entered into a line of credit agreement with
the majority stockholder.  Under the terms of the agreement, the Company
may borrow up to $3.8 million, the maximum principal amount of the line.
Amounts outstanding accrue interest at prime plus one percent (1%).  The
effective interest rates at December 31, 2007 and 2006 were 8.25% and 9.25%,
respectively.  Accrued interest is due at maturity.  The line is unsecured
and will mature in November 2011.  As of December 31, 2007 and 2006, the
amounts outstanding under this line of credit were $3,800,000 and
$2,200,000, respectively.

In November 2006, the Company entered into an additional line of credit
agreement with the majority stockholder.  Under the terms of the agreement,
the Company may borrow up to $10 million, the maximum principal amount of
the line.  The Company may borrow up to $5 million for general working
capital and may borrow up to $5 million for purposes other than general
working capital.  Amounts outstanding accrue interest at prime plus one
percent (1%).  The effective interest rates at December 31, 2007 and 2006
were 8.25% and 9.25%, respectively.  Accrued interest is due at maturity.
The line is unsecured and will mature in November 2012.  At December 31,
2007 and 2006, the amounts outstanding under this line of credit were
$8,400,000 and $400,000, respectively

In December 2007, the Company entered into an additional line of credit
agreement with the majority stockholder.  Under the terms of the agreement,
the Company may borrow up to $2.3 million, the maximum principal amount of
the line.  Amounts outstanding accrue interest at prime plus one percent
(1%).  The effective interest rate at December 31, 2007 was 8.25%.  Accrued
interest is due at maturity.  The line is unsecured and will mature six
years after the initial advance.  As of December 31, 2007, there was no
outstanding balance.

Note 8 - Note Payable - Majority Stockholder

In January 1995, the Company's majority stockholder acquired from Science
Dynamics Corporation ("SDC") an unsecured note in the amount of $541,000.
The note is noninterest bearing and repayment is restricted to cash not
needed for operations as determined by the Company.  The maturity date of
the note is January 1, 2011.

Note 9 - Lease Commitments

The Company leases office facilities and trunk lines and data circuits.
Future minimum lease payments under non-cancelable operating leases with
initial terms of one year or more consisted of the following at December
31, 2007:

                   Year Ending December 31,
                          2008                    $  141,989
                          2009                        51,850
                                                   ---------
                                                  $  193,839
                                                   =========

Rental expense under the operating lease for office facilities amounted to
$176,442 and $144,100 for the years ended December 31, 2007 and 2006,
respectively.

It is expected that, in the normal course of business, expiring leases will
be renewed or replaced by leases on other properties; thus, it is anticipated
that future minimum operating lease commitments will not be less than the
amount incurred in 2007.

Note 10 - Capital Stock

Common Stock Voting Rights and Concentration of Control

Shares of common stock, which have had the same beneficial owner for a
continuous period in excess of two (2) years prior to the record date of any
meeting of stockholders, will be entitled to 10 votes per share in any
matters submitted for vote at a meeting of stockholders.  All other
stockholders have one vote per share unless this limitation is waived by the
Board of Directors.

In November 1989, the Company issued 12,896,968 shares of common stock for
$1,250,000 to an individual who effectively acquired control of the Company.
In January 1995, this individual acquired an additional 1,660,485 shares
of common stock of the Company from SDC.  In August 2005, this individual
converted all of his 3,518,694 shares of Class A Redeemable Convertible
Preferred Stock into 23,459,133 shares of common stock.

Redeemable Convertible Preferred Stock

In April 1990, the Company issued 1,250,000 shares of Class A Redeemable
Convertible Preferred Stock ("Preferred Stock") for $1,250,000.  The
Preferred Stock had a par value of $1 per share and paid a cumulative $.06
semiannual dividend.  The dividend was payable in cash or additional shares
of Preferred Stock at $1 per share, at the option of the Company.  The
Company had accrued dividends on the Preferred Stock, but no dividends had
been paid.  In June 2005, the stockholder agreed to relinquish his right to
all accrued but unpaid dividends attributable to the Preferred Stock.  Each
share of Preferred Stock was convertible into 6.667 shares of common stock
at any time, at the option of the holder.  The Preferred Stock had a
preference of $1 per share plus unpaid dividends in the event of liquidation.
The Company may have redeemed the Preferred Stock at any time for $2 per
share.  The stockholder of the Preferred Stock is the majority stockholder.
The majority stockholder can designate all of the Company's directors and,
therefore, could have influenced the Company's willingness to cause
redemption of the Preferred Stock.  As a result, the Preferred Stock had been
classified outside of the stockholders' deficit section of the accompanying
balance sheets.  In August 2005, the majority stockholder converted all of
his 3,518,694 shares of Class A Redeemable Convertible Preferred Stock into
23,459,133 shares of common stock.

Earnings Per Common Share

Basic earnings per common share is computed by dividing net income, after
deduction of preferred stock dividends, when applicable, by the weighted
average number of shares outstanding.  Diluted earnings per common share is
computed by dividing net income, after deduction of preferred stock dividends,
when applicable, by the weighted average number of shares outstanding adjusted
to include incremental common shares that would have been outstanding if
potentially dilutive common shares had been issued.

Note 11 - Stock Compensation Plans

Effective January 1, 2006, the Company adopted SFAS123(R) using the modified
prospective method.  Under the "modified prospective" method, compensation
costs are recognized for all newly granted or modified stock-based awards and
for the unvested portion of all awards granted to the effective date.  Prior
to 2006, the Company accounted for share-based compensation, including stock
options, using the method prescribed in Accounting Principles Board (APB)
Opinion No. 25, "Accounting for Stock Issued to Employees".  Under APB Opinion
No. 25, no compensation costs was recognized for stock options with an
exercise price equal to the fair market value of the Company's common stock
on the date of grant.  The pro forma effect on net earnings assuming
compensation cost had been recognized in accordance with SFAS123 was not
material and the results for prior periods have not been restated.  The
adoption of SFAS123(R) did not have a material effect on share-based
compensation expense for the years ended December 31, 2007 and 2006.  In
addition, the adoption of SFAS123(R) will not have a material effect on
the Company's future stock-based compensation expense.

The Company is using the straight-line method to recognize share-based
compensation expense.  The amount of share-based compensation recognized
during a period is based on the value of the awards that vest in that period.
For the years ended December 31, 2007 and 2006, stock-based compensation
cost was $21,470 and $5,204, respectively, and had no effect on basic and
diluted loss per share.

Director Compensation Plan

In December 1997, the Company adopted a director compensation plan.  Under
this plan, each non-employee director, other than the majority stockholder
is compensated $500 for each meeting attended by receiving shares of
common stock issued at the higher of the per share fair market value of the
common stock as of the board of directors meeting date or $.05 per share.

Stock Option Plan

In May 1999, the Company established the TelVue Corporation 1999 Stock
Option Plan (the "Plan").  Under the Plan, the Company may grant options to
acquire up to 10 million shares of common stock.  Options granted under the
Plan are intended to be incentive stock options ("ISO").  The exercise price
of each ISO will not be less than the market price of the Company's stock on
the date of the grant.  The exercise price for an option, which is not an
ISO, will not be less than 50% of the market price of the Company's stock on
the date of the grant.  The options expire ten years after the date of the
grant or at the expiration of the plan, which is June 28, 2009.  Options vest
ratably over three years, beginning one year after the date of grant.
Employees hired prior to January 1, 1995, are entitled to immediate vesting
of 25% of their options.  In addition, the Company has granted stock options
to non-employees.

The following table summarizes activity for all stock options for the years
ended December 31, 2007 and 2006:

                                                      2007        2006
                                                      ----        ----
  Weighted-average fair value of options granted    $ 0.044     $ 0.015

At December 31, 2007, the value of the unvested portion of all outstanding
stock options was $84,874 which the Company expects to amortize and recognize
as compensation expense over the weighted-average service period of
approximately 3.0 years.

The fair values of the options granted during the years ended December 31,
2007 and 2006 were determined using the Black-Scholes option pricing model,
which incorporates various assumptions.  The risk-free rate of return of
interest for the average contractual life of the option is based on U.S.
Government Securities Treasury Constant Maturities.  Expected volatility is
based on the historical daily volatility of the Company's common stock.  The
expected life is determined using the short-cut method permitted under Staff
Accounting Bulletin no. 107, Share-Based Payment.  The expected dividend
yield is zero because the Company currently does not pay or expect to pay
dividends to stockholders.  The following are the weighted average
assumptions used during the years ended December 31, 2007 and 2006:

                                                      2007        2006
                                                      ----        ----
  Expected life in years                              10.0        3.02
  Risk-free interest rate                              4.49%      4.73%
  Volatility                                           3.05%     40.96%
  Expected dividend yield                               -          -

A summary of all option activity follows:

                                                 Options Outstanding
                                                 -------------------
                                                           Weighted Average
                                                 Options    Exercise Price
                                                 -------   ----------------
  Balance, December 31, 2005                    2,066,667     $ .045
  Granted and assumed                             420,000       .047
  Forfeited                                       (70,000)      .051
                                                ---------
  Balance, December 31, 2006                    2,416,667     $ .045
  Granted and assumed                           2,610,000       .154
  Exercised                                       (66,667)      .026
  Forfeited                                      (633,333)      .081
                                                ---------
  Balance, December 31, 2007                    4,326,667     $ .089
                                                =========

The following table summarizes the status of stock options outstanding and
exercisable at December 31, 2007:

                                            Weighted
                                             Average
                                            Remaining
                Exercise      Options      Contractual        Options
                  Price     Outstanding    Life (Years)     Exercisable
----------------------------------------------------------------------------
                $ .025         640,000         1.5            640,000
                $ .030         360,000         1.5            306,666
                $ .040         200,000         1.5            153,333
                $ .045          20,000         1.5             20,000
                $ .050         100,000         1.5               -
                $ .070         696,667         1.5            696,667
                $ .090         150,000         1.5            100,000
                $ .130       2,160,000         1.5               -
                             ---------                      ---------
Total                        4,326,667                      1,916,666
                             =========                      =========
Weighted Average
Exercise Price                 $  .089                        $  .047
                                ======                         ======

Note 12 - Corporate Income Taxes

The provisions for income tax expense (benefit) consist of the following
components:

  Current                                2007                2006
                                         ----                ----
    Federal                          $        -         $        -
    State                                     -                  -
                                     ----------         ----------
                                              -                  -
  Deferred

    Federal                          (1,318,913)          (616,281)
    State                              (358,789)          (155,976)
                                     ----------         ----------
                                     (1,677,702)          (772,257)
    Valuation allowance increase      1,677,702            772,257
                                     ----------         ----------
                                              -                  -
                                     ----------         ----------
                                    $         -        $         -
                                     ==========         ==========

The categories of temporary differences that give rise to deferred tax
assets and liabilities are as follows:

                                           Federal              State
                                        2007     2006       2007     2006
                                        -------------       -------------
  Deferred Tax Assets:
    Net operating loss
     carryforward                  $2,532,612  $1,511,474  $614,066  $341,895
    Accrued interest - stockholder    307,011      34,571    89,305    10,056
    Deferred revenue                  128,845      47,351    37,479    13,774
    Allowance for bad debts             2,014         889       586       259
                                    ---------   ---------   -------   -------
Gross Deferred Tax Asset            2,970,482   1,594,285   741,436   365,984

  Deferred Tax Liabilities:

    Property and equipment,
     principally due to
     differences in depreciation      (67,416)    (39,856)  (19,610)  (11,594)
    Goodwill amortization             (29,724)          -    (8,647)        -
                                    ---------   ---------   -------   -------
  Net Deferred Tax Asset Before
    Valuation Allowance             2,873,342   1,554,429   713,179   354,390
    Valuation allowance            (2,873,342) (1,554,429) (713,179) (354,390)
                                    ---------   ---------  --------   -------
Net Deferred Tax Asset             $        -  $        - $       -  $      -
                                    =========   =========  ========   =======

In assessing the realizability of deferred tax assets, management considers
whether it is more likely than not that some portion or all of the deferred
tax assets will not be realized.  The ultimate realization of deferred tax
assets is dependent upon the generation of future taxable income during the
periods in which temporary differences are deductible and carryforwards are
available.  Due to the uncertainty of the Company's ability to realize the
benefit of the deferred tax assets, the net deferred tax assets are fully
offset by a valuation allowance at December 31, 2007 and 2006.  Inherent
uncertainty regarding the creation and development of a market for the
Company's developing TVTN (TelVue Virtual Television Networks) product and
service has prevented the Company from reaching the "more likely than not"
conclusion required under the applicable literature to recognize deferred
tax assets on its balance sheet at December 31, 2007 and 2006.

The Company has a net operating loss carryforward for Federal income tax
purposes of approximately $7,400,000 on a tax-reporting basis.  The
carryforward will begin to expire in 2010, if not utilized.

The reconciliation of reported income tax expense to the amount of income
tax expense that would result from applying the U.S. Federal income tax
rate of 34% to pretax income is as follows:

                                                  2007          2006
                                                  ----          ----
   Federal income tax at statutory rates     $(1,346,672)  $ (623,735)
   State income tax, net of federal benefit     (356,472)    (165,106)
   Valuation allowance                         1,677,702      772,257
   Other                                          25,442       16,584
                                               ---------    ---------
                                              $        -   $        -
                                               =========    =========
Note 13 - Pension Plan

Effective March 1, 2006, the Company has a 401(k)plan available to all
employees who have completed 90 days of service and are at least 21
years old.  Employees may contribute to the plan, subject to IRS
limitations.  Prior to March 1, 2006, the Company maintained a Salary
Reduction Simplified Employee Pension ("SARSEP") plan under section
408(k) of the Internal Revenue Code for all eligible employees.  Employees
were eligible to participate if they were at least 21 years old and had
been employed by the Company for at least 90 days.  Under the plan,
employees could defer up to 12.5% of their salary, subject to Internal
Revenue Service limits.  The Company matched fifty percent (50%) of 2007
and 2006 contributions by participating eligible employees up to five
percent (5%) of their salary, for a maximum matching contribution of 2.5%
of salary.  The Company's contributions for 2007 and 2006 amounted to
$48,683 and $30,111, respectively.

Note 14 - Related Party Transactions

The Company has three unsecured lines of credit and note payable to the
majority stockholder.  (See Notes 7 and 8).

Note 15 - Segment Information

Based on the criteria set forth in SFAS No. 131 "Disclosures about
Segments of an Enterprise and Related Information", the Company operates
two business segments.  One segment is a marketing and service division,
which sells automatic number identification ("ANI") telecommunications
services to the cable television industry.  The other segment ("TVTN/PSG")
is a system for displaying a fully automated TV station-like display on a
cable system access channel using computer based digital technology.  The
TVTN/PSG segment includes PSG, which was acquired on March 12, 2007.  PSG
develops high performance digital video systems, appliances, and software
that support capture, storage, manipulation and play-out of digital media
in multiple popular formats.  The segments' accounting policies are the
same as those described in the summary of significant accounting policies.

Summarized financial information by reporting segment as of and for each of
the years ended December 31, 2007 and 2006, is as follows:

                                       ANI        TVTN/PSG
 Year Ended December 31, 2007        Services     Services     Total
 ---------------------------         --------     --------     -----

Revenues                           $1,364,543   $2,674,096   $4,038,639
Depreciation and amortization          36,977      892,623      929,600
Operating income (loss)               478,790   (3,607,806)  (3,129,016)
Assets                                348,671    8,854,683    9,203,354
Capital expenditures                        -      996,581      996,581


 Year Ended December 31, 2006
 ----------------------------

Revenues                           $1,571,715   $  517,682   $2,089,397
Depreciation and amortization          24,788      207,977      232,765
Operating income (loss)               763,028   (2,512,337)  (1,749,309)
Assets                              1,010,282      941,964    1,952,246
Capital expenditures                        -      552,687      552,687

Note 16 - Fair Value of Financial Instruments

The following methods and assumptions were used to estimate the fair value
of each class of financial instruments for which it is practicable to
estimate that value:

Cash and Cash Equivalents, Receivables, Accounts Payable, Accrued
  Expenses and Notes Payable

The carrying amount approximates fair market value because of the short
maturity of those instruments.

EXHIBITS

3.1    Certificate of Incorporation of TelVue (incorporated by
       reference to TelVue's Registration Statement on Form S-8, filed
       with the Securities and Exchange Commission on April 20, 1989
       (the "Registration Statement"), File No. 333-28263).

3.2    Bylaws of TelVue (incorporated by reference to TelVue's
       Registration Statement, File No. 333-288263).

3.3    Certificate of Amendment of Certificate of Incorporation of TelVue,
       dated April 11, 1990 (incorporated by reference to TelVue's Annual
       Report on Form 10-K for the year ended December 31, 1991, (the
       "1991 Form 10-K"), File No. 000-17170).

3.4    Certificate of Amendment of Certificate of Incorporation of TelVue,
       dated March 15, 1991 (incorporated by reference to the 1991
       Form 10-K, File No. 000-17170).

3.5    Form of copy of Amendment of Certificate of Incorporation of
       TelVue, filed September 25, 1995 (incorporated by reference to the
       TelVue's Form 10-QSB for the period ended September 30, 1995, (the
       September 30, 1995 Form 10-QSB, File No. 000-17170).

4.1    The TelVue Corporation 1999 Stock Option Plan (incorporated by
       reference to Exhibit 99 of TelVue's Registration Statement on
       Form S-8, dated September 23, 1999), (the "1999 Stock Option
       Plan") File No. 000-17170).

4.2    Form of ISO Option Agreement issued pursuant to the 1999 Stock
       Option Plan (incorporated by reference to TelVue's Annual
       Report on Form 10-KSB for the year ended December 31, 1999, (the
       "1999 Form 10-KSB") File No. 000-17170).

4.3    Form of NQSO Option Agreement issued pursuant to the 1999 Stock
       Option Plan (incorporated by reference to the 1999 Form 10-KSB,
       File No. 000-17170).

4.4    Certificate of Designation of Class A Preferred Stock (incorporated
       by reference to the September 30, 1990 Form 10-Q, File No. 000-
       17170).

4.5    Warrant Termination Agreement, dated June 16, 2005, by and between
       TelVue and H.F. (Gerry) Lenfest (incorporated by reference to the
       June 30, 2005 Form 10-QSB, File No. 000-17170).

4.6    Waiver by H.F.(Gerry) Lenfest, waiving the right to receive past,
       present or future dividends with respect to the TelVue's Class A
       Redeemable Convertible Preferred Stock (incorporated by reference
       to the June 30, 2005 Form 10-QSB, File No.000-17170).

10.1   Distributorship Agreement, dated November 2, 1989, between the
       Company and Science (incorporated by reference to the 1989 Form
       10-K, File No. 000-17170).

10.2   Stock Purchase Agreement, dated November 2, 1989, between the
       Company and H.F. Lenfest (incorporated by reference to the
       Company's Report on Form 8-K, dated November 15, 1989, (the "1989
       Form 8-K"), File No. 000-17170).

10.3   Shareholders' Agreement, dated November 2, 1989, among TelVue
       and certain of its stockholders (incorporated by reference to the
       Company's 1989 Form 8-K, File No. 000-17170).

10.4   Option Agreement, dated November 2, 1989, among TelVue and
       certain of its stockholders (incorporated by reference to the 1989
       Form 8-K, File No. 000-17170).

10.5   Lease Agreement dated April 25, 1991 for office space and the First
       Amendment to Lease dated March 30, 1994 ("Office Lease Agreement"),
       between TelVue and Bloom Associates (incorporated by reference to
       the 1994 Form 10-KSB, File No. 000-17170).

10.6   Second Amendment to Office Lease Agreement Dated May 5, 1999,
       between TelVue and Bloom Associates (incorporated by reference
       to the 1999 Form 10-KSB, File No. 000-17170).

10.7   Third Amendment to Office Lease Agreement Dated April 28, 2004,
       between TelVue and Bloom Associates (incorporated by reference to
       the June 30, 2006 Form 10-QSB, File No. 000-17170).

10.8   Fourth Amendment to Office Lease Agreement Dated April 19, 2006,
       between TelVue and The Bloom Organization of South Jersey, LLC
       (incorporated by reference to the June 30, 2006 Form 10-QSB, File
       No. 000-17170).

10.9   Asset Purchase Agreement by and among TelVue and J.D. Kraengel and
       Associates, Inc. f/k/a Dacon Corporation d/b/a Source
       Communications Group and Jeffrey Kraengel, dated February 14, 2001
       (incorporated by reference to the March 26, 2001 Form 8-K, File No.
       000-17170).

10.10  Retirement Agreement dated April 29, 2004 between TelVue and Frank
       J. Carcione (incorporated by reference to the December 31, 2004
       Form 10-KSB, File No. 000-17170).

10.11  Summary of Director Compensation (incorporated by reference to the
       2004 Form 10-KSB, File No. 000-17170).

10.12  Summary of Executive Compensation, as amended (included herein).

10.13  Line of Credit Note, dated April 27, 2005,  between H.F. (Gerry)
       Lenfest and TelVue (incorporated by reference to the Form 8-K
       filed on May 3, 2005, File No. 000-17170).

10.14  Amended and Restated Promissory Note, in the principal amount of
       $541,000, dated June 16, 2005, between H.F. (Gerry) Lenfest and
       TelVue (incorporated by reference to the September 30, 2005 Form
       10-QSB, File No. 000-17170).

10.15  Line of Credit Note, dated November 3, 2006,  between H.F. (Gerry)
       Lenfest and TelVue (incorporated by reference to the Form 8-K
       filed on November 3, 2006, File No. 000-17170).

10.16  Stock Purchase Agreement by and among TelVue and Princeton Server
       Group, dated March 12, 2007 (incorporated by reference to the March
       13, 2007 Form 8-K, File No. 000-17170).

10.17  Convertible Note for $400,000, dated December 26, 2006, issued to
       TelVue by the Princeton Server Group, LLC (incorporated by
       reference to the December 31, 2006 Form 10-KSB, File No. 000-
       17170).

10.18  Separation Agreement by and between TelVue and Stanley Greene,
       dated December 29, 2006 (incorporated by reference to the December
       31, 2006 Form 10-KSB, File No. 000-17170).

10.19  Separation Agreement by and between TelVue and Irene DeZwaan, dated
       February 8, 2007 (incorporated by reference to the December 31,
       2006 Form 10-KSB, File No. 000-17170).

10.20  Line of Credit Note, dated December 21, 2007,  between H.F. (Gerry)
       Lenfest and TelVue (incorporated by reference to the Form 8-K
       filed on December 21, 2007, File No. 000-17170).

11.    Statement re:  Computation of Per Share Earnings (see TelVue's
       December 31, 2007 Financial Statements included herein).

23.    Consent of Pressman Ciocca Smith LLP, Independent Registered Public
       Accounting Firm (included herein).

31.1   Certification of Chief Executive Officer pursuant to 18 U.S.C.
       Section 1350 as adopted pursuant to Section 302 of the Sarbanes-
       Oxley Act of 2002(included herein).

31.2   Certification of Controller pursuant to 18 U.S.C. Section 1350 as
       adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
       (included herein).

32.1   Certification of Chief Executive Officer pursuant to 18 U.S.C.
       Section 1350 as adopted pursuant to Section 906 of the Sarbanes-
       Oxley Act of 2002 (included herein).

32.2   Certification of Controller pursuant to 18 U.S.C. Section 1350 as
       adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
       (included herein).

ITEM 14.  PRINCIPAL ACCOUNTANT FEES AND SERVICES

	The information called for by this Item is incorporated herein by
reference to TelVue's Proxy Statement for its 2008 Annual Meeting of
Shareholders that will be filed not later than April 29, 2008.


                                SIGNATURES

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

                                    TELVUE CORPORATION


DATED:  3/28/08                     By: /s/Joseph M. Murphy
                                    -------------------------------------
                                    Joseph M. Murphy
                                    President and Chief Executive Officer


DATED:  3/28/08                     By: /s/John Fell
                                    ----------------------------------
                                    John Fell
                                    Treasurer-Controller


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

SIGNATURES                            TITLE                   DATE

/s/H.F. Lenfest                                             3/28/08
--------------------------------    Chairman of the
H.F. Lenfest                        Board and Director

/s/Joseph Murphy                    Director                3/28/08
--------------------------------
Joseph Murphy

/s/Frank Carcione                   Director                3/28/08
--------------------------------
Frank Carcione

/s/Joy Tartar                       Director                3/28/08
--------------------------------
Joy Tartar

/s/Robert Lawrence                  Director                3/28/08
--------------------------------
Robert Lawrence

/s/Jesse Lerman                     Director                3/28/08
--------------------------------
Jesse Lerman

<PAGE>

                                  EXHIBIT INDEX


10.12 Summary of Executive Compensation

23.   Consent of Pressman Ciocca Smith LLP, Independent Registered Public
      Accounting Firm.

31.1  Certification of Chief Executive Officer pursuant to 18 U.S.C.
      Section 1350 as adopted pursuant to Section 302 of the Sarbanes-
      Oxley Act of 2002(included herein).

31.2  Certification of Controller pursuant to 18 U.S.C. Section 1350 as
      adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
      (included herein).

32.1  Certification of Chief Executive Officer pursuant to 18 U.S.C.
      Section 1350 as adopted pursuant to Section 906 of the Sarbanes-
      Oxley Act of 2002(included herein).

32.2  Certification of Controller pursuant to 18 U.S.C. Section 1350 as
      adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
      (included herein).


EXHIBIT 10.12

                   SUMMARY OF EXECUTIVE COMPENSATION

Joseph M. Murphy, President and Chief Executive Officer is employed on an
at-will basis and is paid an annual salary of $205,000 and an annual car
allowance of $5,400.  Mr. Murphy also receives, as do all other TelVue
employees, health, dental, disability and life insurance benefits as well
as a contribution of 2.5% of his annual salary to TelVue's 401K Plan.  Mr.
Murphy, like all other TelVue employees, is eligible to receive stock
option grants under the TelVue Stock Option Plan.

Jesse Lerman, Executive Vice President of Engineering is employed on an
at-will basis and is paid an annual salary of $161,200.  Mr. Lerman also
receives, as do all other TelVue employees, health, dental, disability and
life insurance benefits as well as a contribution of 2.5% of his annual
salary to TelVue's 401K Plan.  Mr. Lerman, like all other TelVue
employees, is eligible to receive stock option grants under the TelVue
Stock Option Plan.

Randy Gilson, Vice President of Technical Services is employed on an at-
will basis and is paid an annual salary of $129,907 and an annual car
allowance of $4,800.  Mr. Gilson also receives, as do all other TelVue
employees, health, dental, disability and life insurance benefits as well
as a contribution of 2.5% of his annual salary to TelVue's 401K Plan.  Mr.
Gilson, like all other TelVue employees, is eligible to receive stock
option grants under the TelVue Stock Option Plan.

John Fell, Secretary, Treasurer and Controller is employed on an at-will
basis and is paid an annual salary of $117,000.  Upon satisfaction of
certain conditions, he is eligible for a $2,000 second quarter bonus
beginning in 2008.  Mr. Fell also receives, as do all other TelVue
employees, health, dental, disability and life insurance benefits as well
as a contribution of 2.5% of his annual salary to TelVue's 401K Plan.  Mr.
Fell, like all other TelVue employees, is eligible to receive stock option
grants under the TelVue Stock Option Plan.


EXHIBIT 23

CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

The Board of Directors
TelVue Corporation:

We consent to incorporation by reference in the registration statement on
Forms S-8 (No. 333-87631) of TelVue Corporation of our report dated March
28, 2008 relating to the balance sheets of TelVue Corporation as of
December 31, 2007 and 2006 and the related statements of operations,
stockholders' deficit and cash flows for the years then ended, which
report appears in the December 31, 2007 annual report on Form 10-KSB of
TelVue Corporation.

/s/ Pressman Ciocca Smith LLP
Huntingdon Valley, Pennsylvania
March 28, 2008

EXHIBIT 31.1
CERTIFICATION

	I, Joseph M. Murphy, certify that:

	1.	I have reviewed this annual report on Form 10-KSB of TelVue
Corporation;

	2.	Based on my knowledge, this report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to
make the statements made, in light of the circumstances under which such
statements were made, not misleading with respect to the period covered by
this report;

	3.	Based on my knowledge, the financial statements, and other
financial information included in this report, fairly present in all
material respects the financial condition, results of operations and cash
flows of the registrant as of, and for, the periods presented in this
report;

	4.	The registrant's other certifying officer and I are
responsible for establishing and maintaining disclosure controls and
procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for
the registrant and have:

		(a)  Designed such disclosure controls and procedures, or
caused such disclosure controls and procedures to be designed under our
supervision, to ensure that material information relating to the
registrant, including its consolidated subsidiaries, is made known to us
by others within those entities, particularly during the period in which
this report is being prepared;

		(b)  Designed such internal control over financial reporting,
or caused such control over financial reporting to be designed under our
supervision, to provide reasonable assurance regarding the reliability of
financial reporting and the preparation of financial statements for
external purposes in accordance with generally accepted accounting
principles;

		(c)  Evaluated the effectiveness of the registrant's
disclosure controls and procedures and presented in this report our
conclusions about the effectiveness of the disclosure controls and
procedures, as of the end of the period covered by this report based on
such evaluation; and

		(d)  Disclosed in this report any change in the registrant's
internal control over financial reporting that occurred during the
registrant's most recent fiscal quarter (the registrant's fourth fiscal
quarter in the case of an annual report) that has materially affected, or
is reasonably likely to materially affect, the registrant's internal
control over financial reporting; and

	5.	The registrant's other certifying officer and I have
disclosed, based on our most recent evaluation of internal control over
financial reporting, to the registrant's auditors and the audit committee
of the registrant's board of directors (or persons performing the
equivalent functions):

		(a)  All significant deficiencies and material weaknesses in
the design or operation of internal control over financial reporting which
are reasonably likely to adversely affect the registrant's ability to
record, process, summarize and report financial information; and

		(b)  Any fraud, whether or not material, that involves
management or other employees who have a significant role in the
registrant's internal control over financial reporting.

Date:  3/28/08

                                    /s/Joseph M. Murphy
                                    --------------------
                                    Joseph M. Murphy
                                    President and Chief
                                    Executive Officer


EXHIBIT 31.2
CERTIFICATION

	I, John Fell, certify that:

	1.	I have reviewed this annual report on Form 10-KSB of TelVue
Corporation;

	2.	Based on my knowledge, this report does not contain any untrue
statement of a material fact or omit to state a material fact necessary to
make the statements made, in light of the circumstances under which such
statements were made, not misleading with respect to the period covered by
this report;

	3.	Based on my knowledge, the financial statements, and other
financial information included in this report, fairly present in all
material respects the financial condition, results of operations and cash
flows of the registrant as of, and for, the periods presented in this
report;

	4.	The registrant's other certifying officer and I are
responsible for establishing and maintaining disclosure controls and
procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for
the registrant and have:

		(a)  Designed such disclosure controls and procedures, or
caused such disclosure controls and procedures to be designed under our
supervision, to ensure that material information relating to the
registrant, including its consolidated subsidiaries, is made known to us
by others within those entities, particularly during the period in which
this report is being prepared;

		(b)  Designed such internal control over financial
reporting, or caused such control over financial reporting to be designed
under our supervision, to provide reasonable assurance regarding the
reliability of financial reporting and the preparation of financial
statements for external purposes in accordance with generally accepted
accounting principles;

		(c)  Evaluated the effectiveness of the registrant's
disclosure controls and procedures and presented in this report our
conclusions about the effectiveness of the disclosure controls and
procedures, as of the end of the period covered by this report based on
such evaluation; and

		(d)  Disclosed in this report any change in the registrant's
internal control over financial reporting that occurred during the
registrant's most recent fiscal quarter (the registrant's fourth fiscal
quarter in the case of an annual report) that has materially affected, or
is reasonably likely to materially affect, the registrant's internal
control over financial reporting; and

	5.	The registrant's other certifying officer and I have
disclosed, based on our most recent evaluation of internal control over
financial reporting, to the registrant's auditors and the audit committee
of the registrant's board of directors (or persons performing the
equivalent functions):

		(a)  All significant deficiencies and material weaknesses in
the design or operation of internal control over financial reporting which
are reasonably likely to adversely affect the registrant's ability to
record, process, summarize and report financial information; and

		(b)  Any fraud, whether or not material, that involves
management or other employees who have a significant role in the
registrant's internal control over financial reporting.


Date:  3/28/08

                                    /s/John Fell
                                    ---------------------
                                    John Fell
                                    Treasurer-Controller

EXHIBIT 32.1

TELVUE CORPORATION

CERTIFICATION PURSUANT TO
18 U.S.C. sec. 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002


In connection with the Annual Report of TelVue Corporation (the "Company")
on Form 10-KSB for the period ended December 31, 2007 as filed with the
Securities and Exchange Commission on the date hereof (the "Report"), I,
Joseph M. Murphy, President and Chief Executive Officer of the Company,
certify, pursuant to 18 U.S.C. sec. 1350, as adopted pursuant to Section
906 of the Sarbanes-Oxley Act of 2002, that:

(1) The Report fully complies with the requirements of section 13(a) or 15(d)
of the Securities Exchange Act of 1934; and

(2) The information contained in the Report fairly presents, in all
material respects, the financial condition and result of operations of the
Company.



Date:	 3/28/08                      /s/Joseph M. Murphy
                                    --------------------
                                    Joseph M. Murphy
                                    President and Chief Executive Officer


EXHIBIT 32.2

TELVUE CORPORATION

CERTIFICATION PURSUANT TO
18 U.S.C. sec. 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002


In connection with the Annual Report of TelVue Corporation (the "Company")
on Form 10-KSB for the period ended December 31, 2007 as filed with the
Securities and Exchange Commission on the date hereof (the "Report"), I,
John Fell, Treasurer and Controller of the Company, certify, pursuant to
18 U.S.C. sec. 1350, as adopted pursuant to Section 906 of the Sarbanes-
Oxley Act of 2002, that:

(1) The Report fully complies with the requirements of section 13(a) or
15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Report fairly presents, in all
material respects, the financial condition and result of operations of the
Company.



Date:	 3/28/08                      /s/John Fell
                                    -------------------
                                    John Fell
                                    Treasurer-Controller