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UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWashington, D.C. 20549

FORM 10-KSB(Mark One)

[X] ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
  EXCHANGE ACT OF 1934 
  For the fiscal year ended December 31, 2007

[   ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF
  THE SECURITIES EXCHANGE ACT OF 1934 
  For the transition period from ___________ to ___________

Commission File No.__________

EWRX INTERNET SYSTEMS, INC.(Name of small business issuer in its charter)

|NEVADA                                             | 98-0117139                       
|-------------------------------------------------- | ---------------------------------
|(State or other jurisdiction of                    | (IRS Employer Identification No.)
|incorporation or organization)                     |                                  
|                                                   |                                  
|4950 Yonge St. Suite 910, Toronto, Ontario, Canada | M2N 6K1                          
|(Address of principal executive offices)           | (Zip Code)                       

(416) 298-9606(Registrants telephone number,
including area code)

Securities registered under Section 12(b) of the Exchange Act:

|Title of each class registered: | Name of each exchange on which registered:
|------------------------------- | ------------------------------------------
|None                            | None                                      

Securities registered under Section 12(g) of the Exchange Act:

Common Stock, 100,000,000, par value $0.0001Preferred Stock, 500,000, par value $0.001(Title of
class)

Indicate by check mark whether the registrant (1) has filed all
  reports required to be filed by Section 13 or 15(d) of the Securities Exchange
  Act of 1934 during he preceding 12 months (or for such shorter period that the
  registrant was required to file such reports), and (2) has been subject to such
  filing requirements for the past 90 days. 
  Yes
[X]   No [   ]

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

Check if there is no disclosure of delinquent filers in response
  to Item 405 of Regulation S-B not contained in this form, and no disclosure
  will be contained, to the best of the registrants knowledge, in definitive
  proxy or information statements incorporated by reference in Part III of this
  Form 10-KSB or any amendment to this Form 10-KSB. [   ]

Revenues for year ended December 31, 2007: $0

Aggregate market value of the voting common stock held by
non-affiliates of the registrant as of December 31, 2007, was: $0

Number of shares of the registrants common stock outstanding as
of March 23, 2008 was: 100,000,000

Transitional Small Business Disclosure Format: Yes [   ]  
  No [X]

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TABLE OF CONTENTS

|PART
      I | 1       
|------------ | --------
|             | ITEM 1. 
|             | ITEM 2. 
|             | ITEM 3. 
|             | ITEM 4. 
|PART II      | 4       
|             | ITEM 5. 
|             | ITEM 6. 
|             | ITEM 7. 
|             | ITEM 8. 
|             | ITEM 8A.
|PART III     | 8       
|             | ITEM 9. 
|             | ITEM 10.
|             | ITEM 11.
|             | ITEM 12.
|PART IV      | 11      
|             | ITEM 13.
|             | ITEM 14.
|SIGNATURES   | 13      



i

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PART I

ITEM
1.               
DESCRIPTION OF BUSINESS

(a) Business Development

EWRX Internet Systems Inc. (the Company, Registrant or 
EWRX) was incorporated in the State of Nevada on June 25, 1997. The Common
Stock of the Company traded on the OTC Bulletin Board (OTCBB) under the
trading symbol EWRX until October 18, 1999 when they traded under the symbol
EWRXE. The E was added by the National Association of Securities Dealers
Inc. (NASD) to reflect the Companys inability to meet NASD requirements for
listing on the OTCBB. OnNovember 17, 1999, the Companys stock began
trading on the pink sheets under the symbol EWRX. Prior to 1999, the
Companys sole business was in the Resource Sector. The Company was known as
Europa Resources Inc and was held in a joint venture with a private Ukraine
company whose primary business purpose was the development and production of
industrial garnets for abrasive applications (the Joint Venture).

In the fourth quarter of 1998, the Company elected to abandon
the Joint Venture which represented substantially all of the Companys assets at
the time. EWRX was able to recover 2,000,000 shares it used as part of the
purchase arrangement for the Joint Venture and subsequently wrote off and closed
all of its subsidiary operations.

Effective January 27, 2000, the Company re-listed its common
stock on the OTCBB, following clearance of its form 10-SB by the SEC (see
Exhibit 15 website link). This listing was revoked by the SEC by an
Administrative Order dated August 28, 2006.

EWRX now wishes to re-list its Company and has commissioned an
audit of the Companys books and records. This audit is effective through
December 31, 2006. EWRX is in compliance with the requirements of registration
in the State of Nevada. The Corporate Number (EWRX) in Nevada is; C13672-97,
EWRX has arranged for local representation through an approved agent by the name
of; Corporate Trust Company of Nevada, 6100 Neil Road (STE500), Reno, NV
89511.

The current management acquired EWRX through EWRXs interest in
acquisition of software owned by Navitex Canada Inc. (Navitex). In the latter
part of April 2002, the principles of EWRX suggested that Navitex Canada Inc.
became the majority shareholders of EWRX through the issuance of shares for
consideration of debt owed to Navitex under an agreement to purchase software
called Instant Recall and owned by Navitex. As a result of this agreement, the
current management took over the controlling interest of EWRX.

The Company had accumulated a very large outstanding debt and
had no tangible assets, other than the software it had acquired from Navitex.
The new management focused the majority of its efforts on reducing the Companys
outstanding debt which contributed to a delay in bringing the software to market
and the Companys records up to date. By the Spring of 2005, the Company was
finally stabilized and in a position to move ahead with its plans to market its
software and begin bringing its financial statements up to date and preparing
for anticipated demand for its software.

As a result of development in the marketplace it became
necessary for the Company to spend a very considerable amount of time bringing
its software to the next stage of development. The SATA mother boards were
becoming a market consideration and to remain abreast of the competition we were
required to develop our software to meet this demand. This of course took time
away from other considerations and delayed our market penetration.

In the early part of 2006, the Company was able to bring its
operations into a current state and commission an audit of its affairs. The
result of these audits was the filings the Company made on December 5, 2006.
This filing was later withdrawn as it was filed in form 10SB-12(b) instead of
10SB-12(g). Several other deficiencies in this filing were noted as well, which
required correction. The Company re-filed its 10SB-12(g) on May 11, 2007. The
SEC reviewed the Form 10SB-12(g) and, pursuant to comments, we filed three
subsequent amendments. After our third Amendment to the Form 10SB-12(g) filed on
February 8, 2008, the SEC had no additional comments.

In April 2006, without the Companys knowledge, iMusic
contacted our transfer agent and registered new directors, officers and a
transfer agent for EWRX. iMusic is a company that fraudulently attempted to
steal our identity. They were unsuccessful and when the management of EWRX
became aware of iMusic actions the SEC was notified and advised that these
actions were without the Companys knowledge or approval. While investigating
this matter, EWRXs transfer agent was contacted. It was discovered that the
agent knew of the iMusic action but did not advise anyone at the Company. The
State of Nevada was contacted as well. It was at this time that management
discovered that iMusic perpetrated this fraud.

On July 26, 2006 the Commission announced the temporary
suspension of the Companies Securities. This notice was sent to the Company by
the Commission. The Company never received this notice. By the time the Company
became aware of this action, the Commission had issued on August 28, 2006 an
order revoking EWRX Internet Systems Inc. registration.

1

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EWRX has not been involved in any bankruptcy, receivership or
similar proceeding. In addition, other than the transactions discussed above,
EWRX has not had any material reclassification, merger, consolidation, or
purchase or sale of a significant amount of assets not in the ordinary course of
business.

(b) Business of Issuer

EWRX is a development stage company in the software development
and marketing industry. The Company has been in negotiations with Navitex Canada
Inc. (Navitex) to acquire the software developed under the trade name
Flashback. In November 2001, EWRX began negotiations with Navitex to acquire
the software developed by Navitex for recovery and restoration of lost and or
corrupted files on computers with Windows operating systems. These negotiations
culminated in a contract for the purchase being signed on November 08, 2001 (see
Exhibit 5). The financial terms of the agreement could not be met by EWRX and as
a result there were several revisions and changes to the original agreement. On
or about April 15, 2002, the then-Board of Directors proposed that to settle the
Navitex debt and avoid any legal action by Navitex that an accommodation be made
giving Navitex shareholders control of EWRX in settlement of any responsibility
to Navitex.

The offer was accepted by the shareholders of Navitex, who took
over the operational control of the Company. Navitex negotiated another contract
with EWRX for software formerly called Flashback but now called Instant
Recall. This software will help EWRX establish a sales and marketing team in
the industry. EWRX is also negotiating for proven software in the educational
resource sector. If successful, this would be a very desirable development for
the Company as well. While EWRX is a relative newcomer to this industry,
management believes that with the right product and the support of an
experienced group in the distribution and sales fields, the Company will be able
to penetrate the marketplace. The industry is receptive to proven new products
and where the product has unique features, it has an interest in testing the
product to prove the potential.

The limited business operations of the Company, currently
involve its development of the software market for the product Instant Recall
and the further opportunities that may present themselves in this business
sector. The only other activity to be conducted by the Company is to maintain
its good standing in the State of Nevada and to seek out and investigate the
acquisition of any viable business opportunity by purchase and exchange for
securities of the Company or pursuant to a reorganization or merger through
which securities of the Company will be issued or exchanged.

(1). Principle Products and Services

The Company holds the rights to Instant Recall a software
product designed for security of the operating system of computers. The major
features of the product are the ability to recover data that may have been lost
or corrupted and the speed at which it can do so. It is designed to operate on
Windows operating systems from Windows 95 to and including Windows XP. The
product has been in a constant state of development and innovation since it was
acquired by the Company. The most recent is the refinement for the SATA drives
that have become so popular in the OEM markets. Instant Recall is a unique and
essential piece of software for the OEM manufacturers. It uses a very limited
amount of space on the hard drive, is fast and it protects the computer from
crashing.

Instant Recall is a Windows® -based operating system
  recovery and restore program that allows the user to restore the computer to
  the position before a problem was encountered. It does not require a second
  hard disk or external backup device. It does not consume extra space on the
  same hard drive. Instant Recall protects against crashes, mistakes and virus
  attacks by restoring the operating system, all application programs, critical
  files and data. This is done in less than a minute. It offers a much different
  approach to fix a computers problems. Even when the operating system is
  down and not bootable, Instant Recall can still run and restore. Instant Recall
  does not require a second hard disk or external backup device and also does
  not consume extra space on the same hard drive and it minimizes the impact of
  the hard disk when hit by viruses and also restores the hard disk to the previous
  stage prior to the virus attack (provided that the save copy is virus free).
  Any infection or non-physical damage to the hard disk is reversed by Instant
  Recall.

Instant Recall is great for publicly used computers such
as schools, libraries and internet cafes. It is also suitable for government
agencies and small to large corporate users where all users use their PCs as
workstations that run from a network and store data on servers.

For example, in a library or a school, if one or more users
corrupted the system, it is difficult to clean up and restore to a perfectly
running status. But with Instant Recall, it will only take a few seconds to
retrieve the systems and the data back to a clean system. Another example would
be in a business environment; if a PC is down (an almost daily occurrence), it
would usually take an IT person hours to repair. As a result, this downtime can
end up being very costly to the company. With Instant Recall, the staff
or the IT person can fix it within seconds.

The market for Instant Recall is primarily the OEM and
related industries. Although a substantial after market exists, it is more
costly to penetrate and less structured. The Company, however, believes that it
may be worthwhile to enter either or both of the retail and consumer market
places.

(2). Distribution methods of the products or services

2

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In the OEM markets, the Companys product is distributed by
courier service or overland freight. The product is not subject to any weather
or other related concerns, is light and very durable once packed in a bulk
container or shipping box. Orders are processed at the point of manufacture and
are shipped direct to the end user.

(3). Status of any publicly announced new product or services

The Company has not announced any new product of service.

(4). Competitive business conditions and the small business issuers competitive
position in the industry and methods of competition

While the software industry is a very large and well developed
industry and dominated by multi-national players, the niche markets are still
very much open to new players. Software that meets specific requirements and has
certain unique features is sought after by manufacturers and others looking for
a competitive advantage. Instant Recall can fill that requirement and remain
competitive in the retail marketplace. The Company is continuing to monitor the
competition and its overall position therein, with an eye to capitalizing on any
available opportunity.

(5). Sources of availability of raw materials and the names of principal
suppliers

The Company does not have and its business does not rely on raw
materials. The Company does not have any sources or contacts that provide raw
materials.

(6). Dependence on one or a few major customers

The Company has not established a customer base at this time
except for the contacts available to it from the continuance of business
developed by Navitex Canada Inc. These contacts will need to be nurtured and
established by personal contact and sales by EWRX personnel. The Company will be
dependent upon the goodwill currently developed by Navitex and the skill and
determination of its sales staff for its entry into the market and no assurance
can be asserted that EWRX will be successful in the development of that
business.

(7). Patents, Trademarks, licenses, franchises, concession, royalty agreements
or labor contract, including duration

The company intends to apply for patents on its software product
   Instant Recall in the near future.

(8). Need for any governmental approval of principal products or services

There is no need for any governmental approval of the Companys
products or services.

(9). Effect of existing or probable governmental regulations on the business

There are currently no governmental regulations on the
business.

(10). Estimate of the amount spent
during each of the last two fiscal years on research and development activities,
and if applicable the extent to which the cost of such activities are borne
directly by customers

While most of the cost of research for Instant Recall was
expended in previous years by Navitex, the Company has continued to support the
requirement to remain in a competitive position. These expenditures were
supported by one of the principles and as such were not reported as research and
development. These expenditures amounted to approximately $25,000.00 per annum.

(11). Costs and effects of compliance with environmental laws (federal, state
and local)

The Company has not incurred any costs associated with
compliance with environmental laws and does not expect to have any costs related
to environmental laws. The product carries no risk to the public and has no
environmental consequences. Management does not therefore anticipate any
interference with its activities from this standpoint.

(12). Number of total employees and number of full time employees

The Company does not have any paid employees at this time.

3

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ITEM 2.               
  DESCRIPTION OF PROPERTY

The Company has no property or business. Its principal executive
  office address is the business office address of its accountant and Venture
  Strategists. This address is provided to the Company at no cost. Because the
  Company has no business, its activities have been limited to maintaining its
  standing in the State of Nevada and, recently, with preparing this Registration
  Statement and the accompanying financial statements. These activities have consumed
  the majority of managements time. Accordingly, the costs in providing
  the use of its office have been minimal.

Once EWRX has sufficient cash flow to justify hiring full or
part time staff, it will seek a permanent office location to conduct its
business activities.

**ITEM
3.**               
LEGAL PROCEEDINGS

We are not presently parties to any litigation, nor to our
knowledge and belief is any litigation threatened or contemplated.

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

None.

PART II

ITEM
5.               
MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS

Public Market for Common Stock

During the year ended December 31, 2007, there was no trading
market for our Common Stock.

The Securities and Exchange Commission has adopted Rule 15g-9
which establishes the definition of a penny stock, for purposes relevant to
us, as any equity security that has a market price of less than $5.00 per share
or with an exercise price of less than $5.00 per share, subject to certain
exceptions. For any transaction involving a penny stock, unless exempt, the
rules require: (i) that a broker or dealer approve a persons account for
transactions in penny stocks and (ii) the broker or dealer receive from the
investor a written agreement to the transaction, setting forth the identity and
quantity of the penny stock to be purchased. In order to approve a persons
account for transactions in penny stocks, the broker or dealer must (i) obtain
financial information and investment experience and objectives of the person;
and (ii) make a reasonable determination that the transactions in penny stocks
are suitable for that person and that person has sufficient knowledge and
experience in financial matters to be capable of evaluating the risks of
transactions in penny stocks. The broker or dealer must also deliver, prior to
any transaction in a penny stock, a disclosure schedule prepared by the
Commission relating to the penny stock market, which, in highlight form, (i)
sets forth the basis on which the broker or dealer made the suitability
determination and (ii) that the broker or dealer received a signed, written
agreement from the investor prior to the transaction. Disclosure also has to be
made about the risks of investing in penny stocks in both public offerings and
in secondary trading, and about commissions payable to both the broker-dealer
and the registered representative, current quotations for the securities and the
rights and remedies available to an investor in cases of fraud in penny stock
transactions. Finally, monthly statements have to be sent disclosing recent
price information for the penny stock held in the account and information on the
limited market in penny stocks.

Holders

As of December 31, 2007, 100,000,000 shares of common stock are
issued and outstanding. There are approximately 537 shareholders of our common
stock and each shareholder of our common stock is entitled to one vote for each
share on all matters submitted to a stockholder vote.

Holders of common stock do not have cumulative voting rights.

Therefore, holders of a majority of the shares of common stock
voting for the election of directors can elect all of the directors. Holders of
our common stock representing a majority of the voting power of our capital
stock issued and outstanding and entitled to vote, represented in person or by
proxy, are necessary to constitute a quorum at any meeting of our stockholders.
A vote by the holders of a majority of our outstanding shares is required to
effectuate certain fundamental corporate changes such as liquidation, merger or
an amendment to our Articles of Incorporation.

Although there are no provisions in our charter or by-laws that
may delay, defer or prevent a change in control, we are authorized, without
shareholder approval, to issue shares of preferred stock that may contain rights
or restrictions that could have this effect.

4

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Holders of common stock are entitled to share in all dividends
  that the board of directors, in its discretion, declares from legally available
  funds. In the event of liquidation, dissolution or winding up, each outstanding
  share entitles its holder to participate pro rata in all assets that remain
  after payment of liabilities and after providing for each class of stock, if
  any, having preference over the common stock. Holders of our common stock have
  no pre-emptive rights, no conversion rights and there are no redemption provisions
  applicable to our common stock.

Dividends

Since inception we have not paid any dividends on our common
stock. We currently do not anticipate paying any cash dividends in the
foreseeable future on our common stock, when issued pursuant to this offering.
Although we intend to retain our earnings, if any, to finance the exploration
and growth of our business, our Board of Directors will have the discretion to
declare and pay dividends in the future.

Payment of dividends in the future will depend upon our
earnings, capital requirements, and other factors, which our Board of Directors
may deem relevant.

Recent Sales of Unregistered Securities

None

Equity Compensation Plan Information

The following table sets forth certain information as of March
23, 2008, with respect to compensation plans under which our equity securities
are authorized for issuance:

|                                                                       | (a)                           |  | (b)                           |  | (c)                                
|---------------------------------------------------------------------- | ----------------------------- |  | ----------------------------- |  | -----------------------------------
|                                                                       | Number of securities to be    |  | Weighted-average exercise     |  | Number of securities remaining     
|                                                                       | issued upon exercise of       |  | price of outstanding options, |  | available for future issuance under
|                                                                       | outstanding options, warrants |  | warrants and rights           |  | equity compensation plans          
|                                                                       | and rights                    |  |                               |  | (excluding securities reflected in 
|                                                                       |                               |  |                               |  | column (a))                        
|                                                                       |                               |  |                               |  |                                    
|Equity compensation Plans approved by
      Security holders           | None                          |  |                               |  |                                    
|                                                                       |                               |  |                               |  |                                    
|Equity compensation Plans not approved
      By security holders Total | None                          |  |                               |  |                                    

**ITEM
6.**               
MANAGEMENTS DISCUSSION AND ANALYSIS OR PLAN OF OPERATIONS

The following plan of operation provides information which
management believes is relevant to an assessment and understanding of our
results of operations and financial condition. The discussion should be read
along with our financial statements and notes thereto. Because we have not
generated significant revenues, we intend to report our plan of operation below.

The following discussion and analysis contains forward-looking
statements, which involve risks and uncertainties. The Companys actual results
may differ significantly from the results, expectations and plans discussed in
these forward-looking statements.

(a) Plan of Operation

Over the next 12 to 15 months, the Company plans to develop the
marketing of their software Instant Recall to the OEM markets in North
America. The Company has developed significant interest in its product to date
and intends to capitalize on that interest, while exploring new and expanded
opportunities. The Company has also developed substantial business contacts and
relationships in China. Several complimentary products and opportunities exist
in this market that would be of interest to EWRX in its pursuit of developing an
expanded line of software products to round out its product line.

5

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Although, the Company will be in need of financing to carry out
  its plan of operation, it intends to raise the capital needed to accomplish
  its business plan from interested parties, management and existing shareholders.
  While raising capital is always subject to many uncertainties, we believe that,
  with the demand anticipated for our product, financing will be available to
  meet our requirements. It is not anticipated that we will have to invest any
  further significant funds, or support any substantial funding on research or
  development for Instant Recall. The Company operations do not require manufacturing
  of any kind and therefore we do not anticipate any need to purchase equipment
  of any significance.

Our need for any change in staffing is not anticipated for the
immediate future. We will however require some paid and full time staff as the
marketing and sales efforts begin to take shape. It is expected that clerical
and office personnel will be required after the first quarter of 2008. We will,
as required, employ a senior sales person to respond to clients requirements for
service. Other sales and marketing personnel will be acquired as the sales
dictate.

(b) Managements Discussion and Analysis of Financial
Condition and Results of Operations.

The Company has been in a state of reorganization and
development over the past two years. We believe that this period was important
to the business operations because it provided time for consolidation and
integration into the market. The Company continues to experience financial
deficiencies that have been a source of constant concern over this and previous
periods in its operations. As a result the Company has been unable to reach some
of the goals that had been set for its development.

The Company believes it is now in a position to begin to
capitalize on its previous experience. We are looking forward to a very
productive and stimulating period of development. Not only do we have great
expectations for our product Instant Recall, but also for the prospects of
additional software and other business developments from our contacts in Hong
Kong and China. These relationships will also help the Company address its
financial goals and objectives, both from an earnings standpoint as well as from
an investment standpoint.

The marketplace is in a state of flux, and, continues to
require constant evaluation in terms of opportunity and reward because needs
change and competition for the opportunity is always present. Over the last two
years, the Company has been consolidating its business operations, developing
its software and preparing for the opportunities that it believes are now
present. The global markets are expanding at an unprecedented pace and the
Company believes that it is in the right place at the right time to take
advantage of these conditions. Of course there are always uncertainties and
unexpected developments to contend with, and there can be no assurance that the
Company will be able to overcome all of the circumstances confronting it. The
Company will, however, do everything possible to meet these challenges and
realize its goals. EWRX financial requirements over the next fiscal year are
dependent, to a major extent, on the speed at which development occurs in the
emerging markets. We will continue to monitor this situation closely. As our
situation matures, the requirements will become clearer.

REASON FOR MANAGEMENT PROCEEDING WITH ITS EFFORTS TO REGISTER
UNDER THE EXCHANGE ACT AND ESTIMATE OF COST OF COMPLIANCE

The Management and Board of Directors of EWRX desires to
register EWRX under the Exchange act because they intend to use this status to
attract certain business enterprises and for potential investment and capital
raising purposes. Unfortunately, EWRX has been hampered in its attempt to become
compliant due to the circumstances that the Company has found itself in over the
past 18 months.

EWRX estimates that it will incur approximately $35,000 to
$50,000 per annum to remain compliant. Most recently, these costs have been
borne by the principles and Management will continue to do so until such time as
the Company is in a position to carry that responsibility through sales of its
products and services or funding from investment.

Liquidity and Capital Resources

Our primary source of liquidity as of December 31, 2007 is our
cash on hand. Our cash on hand as of December 31, 2007 was $3,268. Our current
assets totaled $5,978 on December 31, 2007. Our current liabilities were
$252,432 on December 31, 2007.

We will continue to evaluate alternative sources of capital to
meet our requirements, including other asset or debt financing, issuing equity
securities and entering into financing arrangements. There can be no assurance,
however, that any of the contemplated financing arrangements described herein
will be available and, if available, can be obtained on terms favorable to us.

We currently do not have enough cash to satisfy our minimum
cash requirements for the next twelve months. We are going to rely on loans from
our officers and directors to meet the short term cash requirements. However,
the present state of our liquidity and capital resources raises substantial
doubt about our ability to continue as a going concern. The ability of the
Company to continue as a going concern is dependent on the Companys ability to
raise additional capital and implement its business plan.

6

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Critical Accounting Policies

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

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

Recent Accounting Pronouncements

In September 2006, the FASB issued SFAS No. 157, Fair Value
Measurements. The objective of SFAS 157 is to increase consistency and
comparability in fair value measurements and to expand disclosures about fair
value measurements. SFAS 157 defines fair value, establishes a framework for
measuring fair value in generally accepted accounting principles, and expands
disclosures about fair value measurements. SFAS 157 applies under other
accounting pronouncements that require or permit fair value measurements and
does not require any new fair value measurements. The provisions of SFAS No. 157
are effective for fair value measurements made in fiscal years beginning after
November 15, 2007. The adoption of this statement is not expected to have a
material effect on the Company's future reported financial position or results
of operations.

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

In December 2007, the Financial Accounting Standards Board
(FASB) issued SFAS No. 160, Noncontrolling Interests in Consolidated
Financial Statements  an amendment of ARB No. 51. This statement improves
the relevance, comparability, and transparency of the financial information that
a reporting entity provides in its consolidated financial statements by
establishing accounting and reporting standards that require; the ownership
interests in subsidiaries held by parties other than the parent and the amount
of consolidated net income attributable to the parent and to the non-controlling
interest be clearly identified and presented on the face of the consolidated
statement of income, changes in a parents ownership interest while the parent
retains its controlling financial interest in its subsidiary be accounted for
consistently, when a subsidiary is deconsolidated, any retained non-controlling
equity investment in the former subsidiary be initially measured at fair value,
entities provide sufficient disclosures that clearly identify and distinguish
between the interests of the parent and the interests of the non-controlling
owners. SFAS No. 160 affects those entities that have an outstanding
non-controlling interest in one or more subsidiaries or that deconsolidate a
subsidiary. SFAS No. 160 is effective for fiscal years, and interim periods
within those fiscal years, beginning on or after December 15, 2008. Early
adoption is prohibited. The adoption of this statement is not expected to have a
material effect on the Company's financial statements.

Off-Balance Sheet Arrangements

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

ITEM
7.               
FINANCIAL STATEMENTS

7

---





EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

FINANCIAL STATEMENTS

DECEMBER 31, 2007





---

EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Financial Statements 
  December 31, 2007



CONTENTS





|                                       | Page      
|-------------------------------------- | ----------
|                                       |           
|Auditors' Reports                      | F-1 – F-2 
|                                       |           
|Balance Sheets                         | F-3       
|                                       |           
|Statements of Operations               | F-4       
|                                       |           
|Statements of Stockholders' Deficiency | F-5       
|                                       |           
|Statements of Cash Flows               | F-6       
|                                       |           
|Notes to Financial Statements          | F-7 – F-11

F-ii

---

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Stockholders of 
  EWRX Internet Systems, Inc.
  (A Development Stage Company)

We have audited the accompanying balance sheet of EWRX INTERNET
  SYSTEMS, INC. (A Development Stage Company)as of December 31, 2007, and
  the related statements of operations, stockholders' deficiency, and cash flows
  for the year then ended and for the period from re-entering the development
  stage (January 1, 2002) through to December 31, 2007. The financial statements
  for the year ended December 31, 2006 were audited by other auditors whose report
  dated June 19, 2007 on these statements included an explanatory paragraph describing
  conditions that raised substantial doubt about the Company's ability to continue
  as a going concern. The financial statements for the period from January 1,
  2002 (inception) to December 31, 2006 in so far as they relate to amounts for
  the period through December 31, 2006, are based solely on the report of the
  other auditors. These financial statements are the responsibility of the Company's
  management. Our responsibility is to express an option on these financial statements
  based on our audit.

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

In our opinion, these financial statements present referred to
  the above present fairly all material respects, the financial position of EWRX
  Internet Systems, Inc. (A Development Stage Company) as of December 31, 2007,
  and the results of its operations and its cash flows for the year then ended
  and for the period from re-entering the development stage (January 1, 2002)
  through to December 31, 2007 in conformity with accounting principles generally
  accepted in the United States of America.

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

*/s/ WEBB & COMPANY, P.A.*

WEBB & COMPANY, P.A.Certified Public Accountants

Boynton Beach, Florida 
  March 17, 2008

F-1

---

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Shareholders of 
  EWRX Internet Systems, Inc.
  (A Development Stage Company)

We have audited the accompanying balance sheets of EWRX INTERNET
  SYSTEMS, INC. (A Development Stage Company)(the "Company") as of December
  31, 2006 and 2005and the related statements of operations, stockholders'
  deficit, and cash flows for each of the years in the two-year period December
  31, 2006 and the period from re-entering the development stage (January 1, 2001)
  through on December 31, 2006. These financial statements are the responsibility
  of the Company's management. Our responsibility is to express an opinion on
  these financial statements based on our audit.

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 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 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, these financial statements referred to above
  present fairly, in all material respects, the financial position of the Company
  as of December 31, 2006 and 2005 and the results of its operations and its cash
  flows for the years in the two-year period ended December 31, 2006 and the period
  from reentering the development stage (January 1, 2001) through to December
  31, 2006 in conformity with accounting principles generally accepted in the
  United States of America.

The accompanying financial statements have been prepared assuming
  that the Company will continue as a going concern. As discussed in notes 1 and
  2 to the financial statements, the Company is in the development stage, has
  experienced operating losses and negative working capital from operations, which
  raises substantial doubt about the Company's ability to continue as a going
  concern. Management's plans regarding these matters are described in note 2.
  The financial statements do not include any adjustments that might result from
  the outcome of this uncertainty.

*/s/ SF PARTNERSHIP, LLP*

SF PARTNERSHIP, LLP 
  CHARTERED ACCOUNTANTS 
  LICENSED PUBLIC ACCOUNTANTS

Toronto, Canada 
  June 19, 2007

F-2

---

EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Balance SheetsDecember 31, 2007 and 2006

|                                                        |   | 2007       |  
|------------------------------------------------------- | - | ---------- | -
|ASSETS                                                  |  
|                                                        |   |            |  
|Current Assets                                          |   |            |  
|Cash                                                    | $ | 3,268      |  
|Prepaid expenses and other current assets               |   | 2,710      |  
|Total Assets                                            | $ | 5,978      |  
|                                                        |   |            |  
|                                                        |   |            |  
|                                                        |   |            |  
|                                                        |   |            |  
|LIABILITIES STOCKHOLDERS'
      DEFICIENCY              |  
|                                                        |   |            |  
|Current Liabilities                                     |   |            |  
|Accounts payable and accruals                           | $ | 99,158     |  
|Accrued liabilities                                     |   | 18,079     |  
|Loans from related parties                              |   | 13,048     |  
|Advances from director                                  |   | 122,147    |  
|Total Current Liabilities                               |   | 252,432    |  
|                                                        |   |            |  
|Stockholders' Deficiency                                |   |            |  
|Capital stock                                           |   |            |  
|Preferred stock, 500,000 shares authorized at $0.01 par |   |            |  
|value per share, none issued and outstanding            |   |            |  
|Common stock, 100,000,000 shares authorized,            |   |            |  
|100,000,000 shares issued and outstanding               |   | 100,000    |  
|Additional Paid - in Capital                            |   | 7,278,900  |  
|Accumulative deficit                                    |   | (8,496,144 | )
|Earnings Accumulated During the Development Stage       |   | 870,790    |  
|Total Stockholders' Deficiency                          |   | (246,454   | )
|Total Liabilities and Stockholders' Deficiency          | $ | 5,978      |  

F-3

(The accompanying notes are an integral part of these financial
  statements)

---

EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Statements of OperationsYears Ended December 31, 2007 and 2006, and the 
  Period from Re-entering the Development Stage 
  (January 1, 2002) Through to December 31, 2007

|                                        |   |             |   |   |             |   |   | Period from          |  
|--------------------------------------- | - | ----------- | - | - | ----------- | - | - | -------------------- | -
|                                        |   |             |   |   |             |   |   | **Re-entering the**  |  
|                                        |   |             |   |   |             |   |   | Development          |  
|                                        |   |             |   |   |             |   |   | **Stage (January**   |  
|                                        |   |             |   |   |             |   |   | **1, 2002) Through** |  
|                                        |   |             |   |   |             |   |   | **to December 31**   |  
|                                        |   | 2007        |   |   | 2006        |   |   | 2007                 |  
|                                        |   |             |   |   |             |   |   |                      |  
|                                        |   |             |   |   |             |   |   |                      |  
|Operating Expenses                      |   |             |   |   |             |   |   |                      |  
|                                        |   |             |   |   |             |   |   |                      |  
|Professional fees                       | $ | 13,014      |   | $ | 16,024      |   | $ | 161,225              |  
|Office and General                      |   | 4,416       |   |   | 15,916      |   |   | 28,749               |  
|Telephone                               |   | 447         |   |   | 187         |   |   | 447                  |  
|Entertainment                           |   | 249         |   |   | -           |   |   | 249                  |  
|In kind contribution - services         |   | 72,000      |   |   | -           |   |   | 72,000               |  
|Management fees                         |   | -           |   |   | -           |   |   | 15,000               |  
|Salary and Wages                        |   | -           |   |   | -           |   |   | 28,000               |  
|Total Operating Expenses                |   | 90,126      |   |   | 32,127      |   |   | 305,670              |  
|                                        |   |             |   |   |             |   |   |                      |  
|Loss from operations                    |   | (90,126     | ) |   | (32,127     | ) |   | (305,670             | )
|                                        |   |             |   |   |             |   |   |                      |  
|Other (Expenses) Income                 |   |             |   |   |             |   |   |                      |  
|                                        |   |             |   |   |             |   |   |                      |  
|Interest and financing charges          |   | (19,184     | ) |   | (3,466      | ) |   | (55,214              | )
|Forgiveness of debt                     |   | -           |   |   | 97,404      |   |   | 1,239,556            |  
|Foreign exchange gain (loss)            |   | (2,914      | ) |   | 695         |   |   | (7,882               | )
|Total Other (Expenses) Income           |   | (22,098     | ) |   | 94,633      |   |   | 1,176,460            |  
|                                        |   |             |   |   |             |   |   |                      |  
|Net (loss) income for the year          | $ | (112,224    | ) | $ | 62,506      |   | $ | 870,790              |  
|                                        |   |             |   |   |             |   |   |                      |  
|Earnings per Share - Basic and Diluted  |   | -           |   |   | -           |   |   | -                    |  
|                                        |   |             |   |   |             |   |   |                      |  
|Weighted Average Number of Common Stock |   | 100,000,000 |   |   | 100,000,000 |   |   |                      |  

F-4

(The accompanying notes are an integral part of these financial
  statements)

---

EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Statements of Stockholders' Deficiency Years Ended December 31, 2007 and 2006, and the Period from Re-entering the Development Stage (January 1, 2002) Through to December 31, 2007

EarningsAccumulatedAdditional
      
      
      
      
      
      During the
      
      
      TotalNumber of
      
      
      Capital
      
      
      Paid-in
      
      
      Accumulated
      
      
      Development
      
      
      Stockholders'Shares
      
      
      Stock
      
      
      Capital
      
      
      Deficit
      
      
      Stage
      
      
      DeficiencyBalance, December 31, 2001
      
      20,704,140
      
      $
      20,704
      
      $
      6,967,848
      
      $
      -8,496,144
      
      $
      -
      
      $
      -1,507,592Stock issued onsettlement of debt
      
      1,276,227
      
      
      1,276
      
      
      197,872
      
      
      -
      
      
      -
      
      
      199,148Stock issued on
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      -Flashback purchase
      
      3,700,000
      
      
      3,700
      
      
      -
      
      
      -
      
      
      -
      
      
      3,700Stock issued on
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      -private placement
      
      445,900
      
      
      446
      
      
      44,144
      
      
      -
      
      
      -
      
      
      44,590Finance fee
      
      -
      
      
      -
      
      
      (9,590
      )
      
      -
      
      
      -
      
      
      (9,590
      )Net loss
      
      -
      
      
      -
      
      
      -
      
      
      -
      
      
      (71,799
      )
      
      (71,799
      )Balance, December 31, 2002
      
      26,126,267
      
      
      26,126
      
      
      7,200,274
      
      
      (8,496,144
      )
      
      (71,799
      )
      
      (1,341,543
      )Stock issued on
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      -settlement of debt
      
      40,000,000
      
      
      40,000
      
      
      -
      
      
      -
      
      
      -
      
      
      40,000Net loss
      
      -
      
      
      -
      
      
      -
      
      
      -
      
      
      (19,342
      )
      
      (19,342
      )Balance, December 31, 2003
      
      66,126,267
      
      
      66,126
      
      
      7,200,274
      
      
      (8,496,144
      )
      
      (91,141
      )
      
      (1,320,885
      )Stock issued on
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      
      -settlement of debt
      
      33,873,733
      
      
      21,316
      
      
      -
      
      
      -
      
      
      -
      
      
      21,316Net income
      
      -
      
      
      -
      
      
      -
      
      
      -
      
      
      1,030,812
      
      
      1,030,812Balance, December 31, 2004
      
      100,000,000
      
      
      87,442
      
      
      7,200,274
      
      
      (8,496,144
      )
      
      939,671
      
      
      (268,757
      )Net loss
      
      -
      
      
      -
      
      
      -
      
      
      -
      
      
      (19,163
      )
      
      (19,163
      )Balance, December 31, 2005
      
      100,000,000
      
      
      87,442
      
      
      7,200,274
      
      
      (8,496,144
      )
      
      920,508
      
      
      (287,920
      )Net income
      
      -
      
      
      -
      
      
      -
      
      
      -
      
      
      62,506
      
      
      62,506Balance, December 31, 2006
      
      100,000,000
      
      
      87,442
      
      
      7,200,274
      
      
      (8,496,144
      )
      
      983,014
      
      
      (225,414
      )Adjustment
      
      
      
      
      12,558
      
      
      (12,558
      )
      
      -
      
      
      -
      
      
      -In kind contribution
      
      -
      
      
      -
      
      
      91,184
      
      
      -
      
      
      -
      
      
      91,184Net loss
      
      -
      
      
      -
      
      
      -
      
      
      -
      
      
      (112,224
      )
      
      (112,224
      )Balance, December 31, 2007
      
      100,000,000
      
      $
      100,000
      
      $
      7,278,900
      
      $
      (8,496,144
      )
      $
      870,790
      
      $
      (246,454
      )


F-5

(The accompanying notes are an integral part of these financial
  statements)

---

EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Statements of Cash Flows

|                                              |   |                     |   |   |                  |   |   | Period from     |  
|--------------------------------------------- | - | ------------------- | - | - | ---------------- | - | - | --------------- | -
|                                              |   |                     |   |   |                  |   |   | Re-entering the |  
|                                              |   |                     |   |   |                  |   |   | Development     |  
|                                              |   |                     |   |   |                  |   |   | Stage (January  |  
|                                              |   | For the Years Ended |   |   | 1, 2002) Through |  
|                                              |   | December 31         |   |   | to December 31   |  
|                                              |   |                     |   |   |                  |   |   |                 |  
|                                              |   | 2007                |   |   | 2006             |   |   | 2007            |  
|                                              |   |                     |   |   |                  |   |   |                 |  
|Cash Flows from Operating Activities          |   |                     |   |   |                  |   |   |                 |  
|Net (loss) income                             | $ | (112,224            | ) | $ | 62,506           |   | $ | 870,790         |  
|Adjustments for
      non-cash item:          |   |                     |   |   |                  |   |   |                 |  
|-In kind contribution
      services          |   | 72,000              |   |   | -                |   |   | 72,000          |  
|-Imputed
      interest on loans              |   | 19,184              |   |   | -                |   |   | 19,184          |  
|-Expenses recovered                           |   | -                   |   |   | -                |   |   | (1,142,152      | )
|Changes in Assets
      and Liabilities       |   |                     |   |   |                  |   |   |                 |  
|Accounts
      payable and accruals           |   | (5,107              | ) |   | (99,809          | ) |   | 9,519           |  
|Accrued liabilities                           |   | (8,327              | ) |   | 26,406           |   |   | 18,079          |  
|Prepaid
      expenses                        |   | (2,710              | ) |   | -                |   |   | (2,710          | )
|Net Cash Used in Operating Activities         |   | (37,184             | ) |   | (10,897          | ) |   | (155,290        | )
|                                              |   |                     |   |   |                  |   |   |                 |  
|Cash Flows from Financing Activities          |   |                     |   |   |                  |   |   |                 |  
|Proceeds from stock subscriptions             |   | -                   |   |   | -                |   |   | 38,700          |  
|Loans from related
      parties              |   | -                   |   |   | 2,713            |   |   | 61,548          |  
|Repayment of loans from related
      parties |   | (53,414             | ) |   | -                |   |   | (53,414         | )
|Advances from director                        |   | 93,596              |   |   | 7,359            |   |   | 106,810         |  
|Net Cash Provided by Financing Activities     |   | 40,182              |   |   | 10,072           |   |   | 153,644         |  
|                                              |   |                     |   |   |                  |   |   |                 |  
|Net increase (decrease) in cash               |   | 2,998               |   |   | (825             | ) |   | (1,646          | )
|                                              |   |                     |   |   |                  |   |   |                 |  
|Cash,beginning of year                        |   | 270                 |   |   | 1,095            |   |   | 4,914           |  
|                                              |   |                     |   |   |                  |   |   |                 |  
|Cash, end of year                             | $ | 3,268               |   | $ | 270              |   | $ | 3,268           |  
|                                              |   |                     |   |   |                  |   |   |                 |  
|                                              |   |                     |   |   |                  |   |   |                 |  
|                                              |   |                     |   |   |                  |   |   |                 |  
|                                              |   |                     |   |   |                  |   |   |                 |  
|Supplemental Information:                     |   |                     |   |   |                  |   |   |                 |  
|                                              |   |                     |   |   |                  |   |   |                 |  
|Cash paid for
      interest                  | $ | 3,912               |   | $ | 3,379            |   | $ | 36,476          |  

Non cash Investing and Financing:

During 2004, the Company exchanged 33,873,733 shares for debt
  of $21,316.

F-6

(The accompanying notes are an integral part of these financial
  statements)

---

EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Notes to Financial Statements 
  December 31, 2007

|1. | Summary of Significant Accounting Policies
        and Organization
|-- | -------------------------------------------------------------------
|   |                                                                    
|   | (A)                                                                
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   | (B)                                                                
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   | (C)                                                                
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   | (D)                                                                
|   |                                                                    
|   |                                                                    
|   |                                                                    
|   | (E)                                                                
|   |                                                                    
|   |                                                                    

F-7

---

EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Notes to Financial Statements 
  December 31, 2007

|1. | Summary of Significant Accounting Policies
        and Organization (continued)
|-- | -------------------------------------------------------------------------------
|   |                                                                                
|   | (F)                                                                            
|   |                                                                                
|   |                                                                                
|   |                                                                                
|   | (G)                                                                            
|   |                                                                                
|   |                                                                                
|   |                                                                                
|   |                                                                                
|   |                                                                                
|   |                                                                                

F-8

---

EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Notes to Financial Statements 
  December 31, 2007

|1. | Summary of Significant Accounting Policies and Organization
        (continued)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|-- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   | that have an outstanding noncontrolling interest in
        one or more subsidiaries or that deconsolidate a subsidiary. SFAS No.160
        is effective for fiscal years and interim periods within those fiscal
        years, beginning on or after December 15, 2008. Early adoption is prohibited.
        The adoption of this statement is not expected to have a material effect
        on the Company's financial statements.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|2. | Going Concern                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   | As reflected in the accompanying audited financial statements,
        the Company is in the development stage with no operations, a net loss
        of $112,224 for the year ended December 31, 2007, a stockholder's deficiency
        of $246,454, a working capital deficiency of $246,454, and cash used in
        operations from re-entering the development stage of $155,290. This raises
        substantial doubt about its ability to continue as a going concern. The
        ability of the Company to continue as a going concern has been, and remains,
        dependent on advances from its stockholders and the Company's ability
        to raise additional capital. The financial statements do not include any
        adjustments that might be necessary if the Company is unable to continue
        as a going concern.                                                                       
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   | 3. Related Party Transactions                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   | Advances from director represent an advance granted
        by Jessica Q. Wang. Ms. Wang pays for certain administrative expenses
        and is reimbursed by the Company. These advances have no fixed terms or
        repayment, are unsecured, and bear no interest. During 2007, Ms.Wang has
        advanced the company $93,596 for purposes of paying operating expenses
        on behalf of the Company. As of December 31, 2007, the Company has loans
        from Ms. Wang with an outstanding balance of $122,147.                                                                                                                                                                                                                                                                                                                                                                                            
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   | As of December 31, 2007, the Company has loans from
        Navitax Technology, Inc., a company which is controlled by one of the
        stockholders of the Company, with an outstanding balance of $7,951. These
        loans have no fixed terms or repayment, are unsecured, and bear no interest.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   | As of December 31, 2007, the Company has loans from
        a director with an outstanding balance of $5,097. Under a loan agreement,
        effective September 1, 2004, the director was entitled to shares equal
        to 3% of the authorized stock which was to be issued on April 30, 2005,
        representing the interest on the loan. The Company guaranteed that the
        value of the shares would not be lower than USD$8,600 (CAD $10,000). In
        the event that the value of the shares fall below USD $8,600 (CAD $10,000),
        the director may elect to receive USD $8,600 in lieu of shares. In the
        second quarter of 2007, the Company repaid $53,414 to one of its directors
        the principal amount owed and one half of the interest. As of December
        31, 2007, the amount owed of $5,097 to this director represents one half
        of the guaranteed interest.

F-9

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EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Notes to Financial Statements 
  December 31, 2007

|4. | Stockholders' Deficiency
|-- | ------------------------
|   |                         
|   | Stockholders' Deficiency
|   |                         
|   | (A)                     
|   |                         
|   |                         
|   |                         
|   | (B)                     
|   |                         
|   |                         
|   |                         
|   |                         
|   |                         
|   |                         
|   |                         
|   | (C)                     
|   |                         
|   |                         
|   |                         
|   | (D)                     
|   |                         
|   |                         

F-10

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EWRX INTERNET SYSTEMS, INC. 
  (A Development Stage Company)

Notes to Financial Statements 
  December 31, 2007

|5. | Income Taxes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|-- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|   | The Company accounts for income taxes in accordance
        with SFAS No. 109, "Accounting for Income Taxes". SFAS No.109 prescribes
        the use of the liability method whereby deferred tax asset and liability
        account balances are determined based on differences between financial
        reporting and tax bases of assets and liabilities and are measured using
        the enacted tax rates. The effects of future changes in tax laws or rates
        are not anticipated.
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|   | Under SFAS No.109 income taxes are recognized for the
        following: a) amount of tax payable for the current year, and b) deferred
        tax liabilities and assets for future tax consequences of events that
        have been recognized differently in the financial statements than for
        tax purposes.                                                                                                                                                                           
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|   | The provision for income taxes has been computed as
        follows:                                                                                                                                                                                                                                                                                                                                                                                                                                

| |                                                                   |   | 2007       |   |   | 2006       |  
| | ----------------------------------------------------------------- | - | ---------- | - | - | ---------- | -
| | Expected income tax recovery (expense) at the statutory           |   |            |   |   |            |  
| | rate of 34%                                                       | $ | 38,156     |   | $ | 21,252     |  
| | Tax effect of expenses that are not deductible for income         |   |            |   |   |            |  
| | tax purposes (net of other amounts deductible
      for tax       |   |            |   |   |            |  
| | purposes)                                                         |   | 42         |   |   | -          |  
| | Tax effect of differences in the timing of
      deductibility of |   |            |   |   |            |  
| | items for income tax purposes:                                    |   | -          |   |   | -          |  
| | Utilization of non-capital tax losses to offset
      current     |   |            |   |   |            |  
| | taxable income                                                    |   | -          |   |   | -          |  
| |                                                                   |   | (38,114    | ) |   | (21,252    | )
| |                                                                   |   |            |   |   |            |  
| | Provision for income taxes                                        | $ | -          |   | $ | -          |  
| |                                                                   |   |            |   |   |            |  
| | The components of deferred income taxes are
      as follows:     |   |            |   |   |            |  
| |                                                                   |   | 2007       |   |   | 2006       |  
| |                                                                   |   |            |   |   |            |  
| | Deferred income tax asset:                                        |   |            |   |   |            |  
| | Net operating loss carryforwards                                  | $ | 2,363,058  |   | $ | 2,347,836  |  
| | Valuation allowance                                               |   | (2,363,058 | ) |   | (2,347,836 | )
| | Deferred income taxes                                             | $ | -          |   | $ | -          |  

The Company has tax losses available
  to be applied against future years' income. Due to the losses incurred in the
  current year and expected future operating results, management determined that
  it is more likely than not that the deferred tax asset resulting from the tax
  losses available for carryforward will not be realized through the reduction
  of future income tax payments. Accordingly, a 100% valuation allowance has been
  recorded for deferred income tax asset.

F-11

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

Our accountant is Webb & Company, P.A., independent
certified public accountants. We do not presently intend to change accountants.
At no time have there been any disagreements with such accountants regarding any
matter of accounting principles or practices, financial statement disclosure, or
auditing scope or procedure.

On November 14, 2007, SF Partnership, LLP (SF Partnership)
was dismissed as our independent auditor and we engaged Webb & Company, PA
(Webb) as our principal independent accountant. This decision to engage Webb
was ratified by the majority approval of the Board of Directors of the Company.
The change of auditors was disclosed in our Form 8-K filing on November 16, 2007
and all information contained in the Form 8-K is incorporated by reference
herein.

ITEM
8A(T).        CONTROLS AND
PROCEDURES

Under the supervision and with the participation of our
management, including our principal executive officer and principal financial
officer, the Company conducted an evaluation of our disclosure controls and
procedures, as such term is defined under Rule 13a-15(e) and Rule 15d-15(e)
promulgated under the Securities Exchange Act of 1934, as amended (Exchange
Act), as of December 31, 2007. Based on this evaluation, our principal executive
officer and principal financial officer have concluded that the Companys
disclosure controls and procedures were not effective to ensure that information
required to be disclosed by the Company in the reports filed or submitted under
the Exchange Act is recorded, processed, summarized, and reported within the
time periods specified in the Securities and Exchange Commissions rules and
forms and that the Companys disclosure and controls are designed to ensure that
information required to be disclosed by the Company in the reports that we file
or submit under the Exchange Act is accumulated and communicated to management,
including our principal executive officer and principal financial officer, or
persons performing similar functions, as appropriate to allow timely decisions
regarding required disclosure.

As part of our evaluation of our disclosure controls and
procedures as of December 31, 2007, management considered the impact of
weaknesses in our disclosure controls and procedures that were a potential cause
for errors. These weaknesses were as follows:

we lacked sufficient accounting personnel to adequately
prepare the financial statements;

The Company intends to institute additional policies to improve
our disclosure controls and procedures. These include but are not limited to:

1) hiring additional full-time
accounting personnel to adequately address the deficiencies; and

2) increasing the hours worked by our
part-time accounting staff.

We believe that the implementation of these steps and others
will allow us, in the future, to conclude that our disclosure controls and
procedures are effective to ensure that material information is recorded,
processed, summarized and reported by management on a timely basis in order to
comply with our disclosure obligations under the Exchange Act and the rules and
regulations thereunder.

Changes in Internal Controls

Other than the matters discussed above, there were no changes
(including corrective actions with regard to significant deficiencies or
material weaknesses) in the internal controls over financial reporting during
fiscal year ended December 31, 2007 that have materially affected, or are
reasonably likely to materially affect, our internal control over financial
reporting.

PART III

|ITEM 9. | DIRECTORS, EXECUTIVE OFFICERS, PROMOTERS AND CONTROL
      PERSONS: COMPLIANCE WITH SECTION 16(A) OF THE EXCHANGE ACT
|------- | ---------------------------------------------------------------------------------------------------------------------

The following chart lists all of the Directors of the Company
and their respective ages, position and term of service.

Name
      Age
      Position
      TermJessica Q. Wang
    44
    Director
    Nov
      2001  PresentElwin Cathcart
    81
    Director
    Aug
      2007  PresentLiming Wang
    46
    Director
    Feb
      2003 - Present


8

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The following chart lists all of the Officers of the Company
and their respective ages, position and term of service.

Name
      Age
      Position
      TermJessica Q. Wang
    44
    President and CEO
    Nov
      2001  PresentElwin Cathcart
    81
    Secretary
    Nov
      2001  PresentLiming Wang
    46
    Treasurer
    Feb
      2003  Present


Ms. Jessica Q. Wang - Director, President and CEO

Ms. Wang has served as the CEO & President of EWRX since
November 2001. She has been the Chairman of the Board of Navitex Technology Inc.
since 2002 and is the founder and owner of Navitex Canada Inc. since 1999. From
1993 until 2001, Ms. Wang was the Chairman of the Board of Hong Kong Dongling
Holding Co.

Over the last ten years, Ms. Wang has applied her
specialization of investment evaluation, technical analysis and international
management to attain investments and guide several technology, marketing and
real estate companies from conception to successful financial operation. Ms.
Wang also facilitated access of North American M&A companies to prominent
resources in China and promoted the introduction of successful Chinese companies
to the North American stock and financial markets. Ms. Wang has been the
Honoured Director of Chinese Talented Womens Association, an association
chaired by the former first lady of China. Through this relationship she has
developed close connection with a vast network of outstanding Chinese
entrepreneurs, and prominent political and academic leaders.

Mr. Elwin Cathcart  Director and Secretary

Mr. Cathcart is the President and owner of Groupmark Canada
Limited which was founded in September 1971. He has also served as the CEO of
several other public companies. He continues to be involved in several private
business enterprises as well as performing consultation services to individuals
and companies. Mr. Cathcart was the principle shareholder and CEO of VHSN, a
public company, specializing in sales of personal products. He also developed
SMARTCARD, a chip based plastic card for the recording and protection
of information, including securing data such as money, account information, etc.
This technology was licensed and marketed by several companies and individuals.
In the last two decades, Mr. Cathcart developed a number of hotel and resort
properties in the North American market. He also developed consumer markets for
a variety of products sold by a direct sales network. While still active in
several areas of business and consulting, he has retired from his business
development activities and entrepreneurial enterprises.

Mr. Liming Wang  Director and Treasurer

Mr. Liming Wang has been a Director and the Treasurer since
February 2003. In addition, Mr. Wang was the President of Easy Comfort OP, Inc.
from 2001 to 2005. Mr. Wang , a medical doctor and surgeon by profession, is the
founder and President of Easy Comfort OP, Inc. which has been actively engaged
in the importing and distribution of medical equipment, pharmaceuticals and
prosthetic devices throughout China. He provides consultation services to the
medical profession and business community.

There are no family relationships between the directors and/or
executive officers.

None of the directors or executive officers has been involved
in: (a) bankruptcy; (b) criminal proceeding; or (c) any other legal proceeding.

Term of Office

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

All officers and directors listed above will remain in office
until the next annual meeting of our stockholders, and until their successors
have been duly elected and qualified. There are no agreements with respect to
the election of Directors. We have not compensated our Directors for service on
our Board of Directors, any committee thereof, or reimbursed for expenses
incurred for attendance at meetings of our Board of Directors and/or any
committee of our Board of Directors. Officers are appointed annually by our
Board of Directors and each Executive Officer serves at the discretion of our
Board of Directors. We do not have any standing committees. Our Board of
Directors may in the future determine to pay Directors fees and reimburse
Directors for expenses related to their activities.

None of our Officers and/or Directors have filed any bankruptcy
petition, been convicted of or been the subject of any criminal proceedings or
the subject of any order, judgment or decree involving the violation of any
state or federal securities laws within the past five (5) years.

9

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Audit Committee

We do not have a standing audit committee of the Board of Directors.
  Management has determined not to establish an audit committee at present because
  of our limited resources and limited operating activities do not warrant the
  formation of an audit committee or the expense of doing so. We do not have a
  financial expert serving on the Board of Directors or employed as an officer
  based on managements belief that the cost of obtaining the services of
  a person who meets the criteria for a financial expert under Item 401(e) of
  Regulation S-B is beyond its limited financial resources and the financial skills
  of such an expert are simply not required or necessary for us to maintain effective
  internal controls and procedures for financial reporting in light of the limited
  scope and simplicity of accounting issues raised in its financial statements
  at this stage of its development.

Certain Legal Proceedings

No director, nominee for director, or executive officer of the
Company has appeared as a party in any legal proceeding material to an
evaluation of his ability or integrity during the past five years.

Compliance With Section 16(A) Of The Exchange
Act.

Section 16(a) of the Exchange Act requires the Companys
officers and directors, and persons who beneficially own more than 10% of a
registered class of the Companys equity securities, to file reports of
ownership and changes in ownership with the Securities and Exchange Commission
and are required to furnish copies to the Company. To the best of the Companys
knowledge, any reports required to be filed were timely filed in fiscal year
ended December 31, 2007.

Code of Ethics

The company has adopted a Code of Ethics applicable to its
Chief Executive Officer and Chief Financial Officer. This Code of Ethics is
filed herewith as an exhibit.

**ITEM
10.**               
EXECUTIVE COMPENSATION

Compensation of Executive Officers

The following summary compensation table sets forth all
compensation awarded to, earned by, or paid to the named executive officers paid
by us during the fiscal years ended December 31, 2007 and 2006 in all capacities
for the accounts of our executives, including the Chief Executive Officer (CEO)
and Chief Financial Officer (CFO):

SUMMARY COMPENSATION TABLE

|Name and Principal
      Position | Year | Salary ($) | Bonus ($) | Stock Awards
      ($) | Option Awards
      ($) | Non-Equity Incentive
      Plan Compensation ($) | Non-Qualified Deferred
      Compensation Earnings ($) | All Other Compensation($) | **Totals**
      ($)
|--------------------------------- | ---- | ---------- | --------- | ---------------------- | ----------------------- | ------------------------------------------------ | ------------------------------------------------------ | ------------------------- | --------------------
|                                  |      |            |           |                        |                         |                                                  |                                                        |                           |                     
|Jessica Wang,                     | 2007 | $      0   | 0         | 0                      | 0                       | 0                                                | 0                                                      | 0                         | $      0            
|President and                     |      |            |           |                        |                         |                                                  |                                                        |                           |                     
|CEO                               | 2006 | $      0   | 0         | 0                      | 0                       | 0                                                | 0                                                      | 0                         | $      0            
|Elwin                             | 2007 | $      0   | 0         | 0                      | 0                       | 0                                                | 0                                                      | 0                         | $      0            
|Cathcart,                         |      |            |           |                        |                         |                                                  |                                                        |                           |                     
|Secretary                         | 2006 | $      0   | 0         | 0                      | 0                       | 0                                                | 0                                                      | 0                         | $      0            
|Liming                            | 2007 | $      0   | 0         | 0                      | 0                       | 0                                                | 0                                                      | 0                         | $      0            
|Wang,                             |      |            |           |                        |                         |                                                  |                                                        |                           |                     
|Treasurer                         | 2006 | $      0   | 0         | 0                      | 0                       | 0                                                | 0                                                      | 0                         | $      0            

Employment Agreements

We do not have any employment agreements in place with our sole
officer and director.

10

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ITEM 11.               
  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

The following table sets forth each person known by us to be
  the beneficial owner of five percent or more of the Company's Common Stock,
  all directors individually and all directors and officers of the Company as
  a group. Except as noted, each person has sole voting and investment power with
  respect to the shares shown.

|Name and Address of      | Amount of            | Percentage
|------------------------ | -------------------- | ----------
|Beneficial Owner         | Beneficial Ownership | of Class  
|                         |                      |           
|Jessica Wang             | 75,923,733           | 75.9%     
|Elwin Cathcart           | 2,050,000            | 2.05%     
|Liming Wang              | 0                    | 0%        
|                         |                      |           
|All Executive Officers   | 77,973,733           | 77.95%    
|and Directors as a Group |                      |           
|(3 people)               |                      |           

ITEM
12. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS.

Ms. Jessica Q. Wang, one of our directors, pays for certain
administrative expenses and is reimbursed by the Company. These advances have no
fixed terms or repayment, are unsecured, and bear no interest. During 2007, Ms.
Wang has advanced the company $93,596 for purposes of paying operating expenses
on behalf of the Company. As of December 31, 2007, the Company has loans from
Ms. Wang with an outstanding balance of $122,147.

As of December 31, 2007, the Company has loans from Navitex
Technology, Inc., a company which is controlled by one of the stockholders of
the Company, with an outstanding balance of $7,951. These loans have no fixed
terms or repayment, are unsecured, and bear no interest.

As of December 31, 2007, the Company has loans from a director
with an outstanding balance of $5,097. Under a loan agreement, effective
September 1, 2004, the director was entitled to shares equal to 3% of the
authorized stock which was to be issued on April 30, 2005, representing the
interest on the loan. The Company guaranteed that the value of the shares would
not be lower than USD$8,600 (CAD $10,000). In the event that the value of the
shares fall below USD $8,600 (CAD $10,000), the director may elect to receive
USD $8,600 in lieu of shares. In the second quarter of 2007, the Company repaid
$53,414 to one of its directors the principal amount owed and one half of the
interest. As of December 31, 2007, the amount owed of $5,097 to this director
represents one half of the guaranteed interest.

ITEM
13.               
EXHIBITS

|Exhibit Number | Exhibit Title                                                                                                                                         
|-------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------
|               |                                                                                                                                                       
|14             | Code
        of Ethics                                                                                                                                
|               |                                                                                                                                                       
|31.1           | Certification
        of Jessica Wang pursuant to 18 U.S.C. Section 1350 as adopted pursuant
        to Section 302 of the Sarbanes-Oxley Act of 2002.
|               |                                                                                                                                                       
|32.1           | Certification
        of Jessica Wang pursuant to 18 U.S.C. Section 1350 as adopted pursuant
        to Section 906 of the Sarbanes-Oxley Act of 2002.

ITEM
14.               
PRINCIPAL ACCOUNTANT FEES AND SERVICES

Audit Fees

For the Companys fiscal years ended December 31, 2007 and
December 31, 2006, we were billed approximately $11,788 and $15,000 for
professional services rendered for the audit and reviews of our financial
statements.

Audit Related Fees

The Company did not incur any audit related fees, other than
the fees discussed in Audit Fees, above, for services related to our audit for
the fiscal years ended December 31, 2007 and December 31, 2006.

11

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Tax Fees

For the Companys fiscal years ended December 31, 2007 and
  December 31, 2006, we were not billed for professional services rendered for
  tax compliance, tax advice, and tax planning.

All Other Fees

The Company did not incur any other fees related to services
rendered by our principal accountant for the fiscal years ended December 31,
2007 and December 31, 2006.

Audit Committee Pre-Approval

As disclosed above, we do not currently have an audit committee
and, therefore, we have not adopted any pre-approval policies or procedures of
the audit committee.

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.

12

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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, there unto duly authorized.

EWRX Internet Systems, Inc.

| | By:    | /s/ Jessica Q. Wang                        
| | ------ | -------------------------------------------
| |        | Chief Executive Officer and
      Principal
| |        | Accounting Officer                         
| |        |                                            
| |        |                                            
| | Dated: | April 4th, 2008                            

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.

|Name                | Title                                 | Date           
|------------------- | ------------------------------------- | ---------------
|                    |                                       |                
|/s/ Jessica Q. Wang | Chief Executive Officer and Principal | April 4th, 2008
|Jessica Q. Wang     | Accounting Officer                    |                

13

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