**U. S. SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D. C. 20549****FORM 10-KSB**

(X)  ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended: December 31, 2001

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

For the transition period from           to

**Commission File Number 000-30771**

**Pacific International Holding, Inc.**

(Name of small business issuer in its charter)



|**Utah**                                                       | **87-0439580**            
|-------------------------------------------------------------- | --------------------------
|(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer I.D. No.)

**8 East Broadway, Suite 609, Salt Lake City, Utah 84111**

(Address and Zip Code of principal executive offices)

Issuer's telephone number, including area code: **801-363-0890**

Securities Registered under Section 12(b) of the Exchange Act:  None.

Securities Registered under Section 12(g) of the Exchange Act: Common stock having a par value of $.001 per share

Indicate  by check mark  whether the  Registrant  (1) has filed all reports required to be filed by Sections 13 or 15(d) of
the  Securities Exchange Act of 1934  during  the  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.        (1)  Yes [X]
No [   ]           (2) Yes [X]      No [   ]

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

State Issuer's revenues for its most recent fiscal year: December 31, 2001  $24,325.

State  the   aggregate   market  value  of  the  common  voting  stock  held  by non-affiliates  computed by reference to the
price at which the stock was sold, or the average bid and asked prices of such stock, as of a specified date within the past 60
days:

As of March 15, 2002, there were 5,395,778 shares of common voting stock of the  Registrant  held by  non-affiliates.
During the past five years,  there has been a very limited  "public  market"  for  shares of common stock of the Company.
It is therefore difficult to determine the market value of the stock. Based on the last trade reported on Yahoo! Finance for
the Company's Common Stock on February 4, 2002, of $0.03 per share, the market value of shares held by non-affiliates
would be $161,673. There are no preferred shares authorized.

(ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE PAST FIVE YEARS)

None; Not Applicable.

(APPLICABLE ONLY TO CORPORATE REGISTRANTS)

State the number of shares outstanding of each of the Issuer's classes of common equity, as of the latest practicable date:



|Class               | Outstanding as of March 25, 2002
|------------------- | --------------------------------
|Common Stock, $.001 | 8,739,903                       
|Preferred Stock     | (None authorized)               

DOCUMENTS INCORPORATED BY REFERENCE

A description of "Documents  Incorporated  by Reference" is contained in Item 13 of this Report.

Transitional Small Business Issuer Format   Yes [  ]   No [X]

FORWARD-LOOKING INFORMATION

THIS FORM 10KSB AND OTHER STATEMENTS ISSUED OR MADE FROM  TIME TO TIME BY THE COMPANY
OR ITS REPRESENTATIVES CONTAIN  STATEMENTS WHICH MAY CONSTITUTE "FORWARD-LOOKING
STATEMENTS" WITHIN THE MEANING OF THE SECURITIES ACT OF 1933 AND THE SECURITIES
EXCHANGE ACT OF 1934, AS AMENDED BY THE PRIVATE SECURITIES LITIGATION REFORM  ACT OF
1995, 15 U.S.C.A. SECTIONS 77Z-2 AND 78U-5. THOSE STATEMENTS INCLUDE STATEMENTS REGARDING
THE INTENT, BELIEF OR CURRENT EXPECTATIONS  OF THE COMPANY AND MEMBERS OF ITS
MANAGEMENT TEAM AS WELL AS THE ASSUMPTIONS ON WHICH SUCH STATEMENTS ARE BASED.

PROSPECTIVE INVESTORS ARE CAUTIONED THAT ANY SUCH FORWARD-LOOKING STATEMENTS ARE
NOT GUARANTEES OF FUTURE PERFORMANCE AND INVOLVE RISKS AND UNCERTAINTIES, AND THAT
ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE CONTEMPLATED BY SUCH
FORWARD-LOOKING STATEMENTS. IMPORTANT FACTORS CURRENTLY KNOWN TO MANAGEMENT
THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM  THOSE IN FORWARD- LOOKING
STATEMENTS ARE SET FORTH HEREIN. THE COMPANY UNDERTAKES NO OBLIGATION TO UPDATE OR
REVISE FORWARD-LOOKING STATEMENTS TO REFLECT CHANGED ASSUMPTIONS, THE OCCURRENCE
OF UNANTICIPATED EVENTS OR CHANGES TO  FUTURE OPERATING RESULTS OVER TIME.

**PART I**

**ITEM 1.  DESCRIPTION OF BUSINESS.**

**BUSINESS DEVELOPMENT**

Pacific International Holding, Inc., ("Pacific" or the "Company") was originally incorporated in Utah on November 3, 1986
under the name Pine Bird Mining and Milling, Inc.  On April 1, 1994, the Company changed its name to Pacific
International Holding, Inc.

On November 10, 2000, the Company acquired Tamasik Technologies Corporation as a wholly owned subsidiary.  The
Company issued 3,395,525 shares of common stock to Mr. Stanley Hong, the sole shareholder of Tamasik in return for all
of the issued and outstanding shares of Tamasik.  The issuance of shares to Mr. Hong place him in a position of owning
41.20% of the Company's issued and outstanding stock.  The consideration exchanged in the acquisition was negotiated
between the Company and Tamasik.  In evaluating Tamasik as a candidate for the exchange, management of the Company
evaluated the assets, present and anticipated operations, and management of Tamasik.  The following is a description of
Tamasik and the business the Company is now pursuing.

Tamasik Technologies Corporation was incorporated in the State of Utah on June 9, 2000.  The business of Tamasik is to
provide via the internet, online e-commerce solutions to merchants through online auctions and online shopping.  Tamasik
has developed technology that enables website translation into five different languages, all with the simple click of an icon.
These languages are English, Chinese, Korean, Japanese and Spanish. Tamasik provides various Asian language search
engine capabilities that facilitate international users to locate and tabulate participating merchants by products and stores.
Tamasik currently has the capability to build online stores in any major language in three days.

Tamasik uses multiple languages to accommodate internet users worldwide.  Revenue sources are from web development
and web page design; web hosting; affiliate sales commissions; advertisements; and e-commerce solutions for merchants.
Tamasik is targeting the Asian American market which is a well-educated market and one of the fastest growing segments
of the online community.  As this market continues to grow, Tamasik anticipates a heavy demand for business owners to
have their company name, products and services on the internet.  Tamasik intends to provide our services to these
companies in every aspect of their online existence. Tamasik will create websites for those with no website and help with
the marketing for companies who have existing websites.

Services provided by Tamasik include:

Website design and development for business-to-business sites

Brand management

Website strategic design and e-commerce planning

Interactive business and marketing consulting

Website marketing, advertising and promotion

Corporate consumer services intranet

Complete redesign of the corporate and residential flooring sections

Strategy and sales force extranet

Market localization and e-commerce solutions

Online brand management and E-dentity

Branding and promotion of websites

Multi media development and production

E-commerce strategy and banner development

Site marketing and promotion case study

E-strategy planning and implementation

E-media buying and production

In addition to providing services to other businesses, Tamasik will continue to develop its own website with the objective
to have an online shopping and auction site that people from all walks of life can feel comfortable visiting.  Tamasik's
unique shopping portal translates into English, Korean, Chinese and Japanese. Tamasik has linked with more than 300
online stores including Dell Computer, Amazon, CD Now, Progressive, Etoys, Fogdog, Beyond, Swiss Army, Officemax,
Disney.com, Travelocity, Skymall, Priceline, Up4Sale and more.

Tamasik also targets companies with existing websites who would like to advertise their company, products and services
to Tamasik's audience.  The target company chooses the language site that they would like to advertise on and the type of
advertisement they prefer.  Advertisements come by way of Sponsorships, Banners, Stores of the Week and Listings.
Tamasik also provides e-commerce solutions for businesses that either do not yet have a website, or that have a website and
would like it translated into another language.

Currently, Tamasik is taking advantage of the enormous need for website development in the Asian American markets.
Through heavy advertising on the first page of the Chinese World Journal and Korea Times, Tamasik is building a presence
in the Asian American community.

**Competition**

Tamasik believes it is competitive because Tamasik uses human programmers and designers to translate websites whereas
competitors do not.  Many other companies who translate websites simply develop the website in English, and then use
software to translate the site into multiple languages.  The problem with that method is that translation errors occur
frequently.  At Tamasik, bilingual contract employees will develop the websites, eliminating the translation errors.

The Company will be competing with many other internet based companies and web developers.  Many of the competitors
have more experience, greater financial and professional resources, and proven operations than the Company.  There can be
no assurance the Company will be able to penetrate the market and sell its services successfully.

**Employees**

****The Company does not currently have any employees other than its officers.  Mr. Stanley Hong directs the operations of
Tamasik.  The Company intends to hire contract employees as needed.

**Item 2.  Description of Property.**

The Company does not currently own any property.  The Company leases office space in Flushing, New York at $1,250 per
month for twelve months through June 30, 2001; $1,350 per month through June 30, 2002; and $1,395.50 per month
through June 30, 2003.  The Company paid a $2,500 deposit as a condition of the lease.  The Company believes these
facilities will be adequate for the next three years.

**Item 3.  Legal Proceedings.**

No legal proceedings are threatened or pending against the Company or any of its officers or directors. Further, none of the
Company's officers or directors or affiliates of the Company are parties against the Company or have any material interests
in actions that are adverse to the Company's interests.

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

No matters were submitted during the fourth quarter of the fiscal year covered by this report to a vote of security holders.

**PART II**

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

During the past five years,  there has been a very limited  "public  market"  for  shares of common  stock of the Company.
It is therefore difficult to determine the market value of the stock. Based on the last trade reported on Yahoo! Finance for
the Company's Common Stock on February 4, 2002, of $0.03 per share, the market value of shares held by non-affiliates
would be $161,873. There are no preferred shares authorized.

The Company is trading on the OTC BB under the symbol "PFIH".

Set forth below are the high and low bid prices for the Company's Common Stock for the period May 2001 to present.

|**Quarter Ended** | **High Bid** | **Low Bid**
|----------------- | ------------ | -----------
|June 2001         | 0.01         | 0.01       
|September 2001    | 0.05         | 0.01       
|December 2001     | 0.05         | 0.05       
|                  |              |            
|March 2002        | 0.05         | 0.03       

**Holders**

The number of record holders of the Company's  common stock as of March 15, 2002, was 137; this  number does  not
include  an  indeterminate  number  of stockholders  whose  shares are held by brokers  in street name.  The number of
stockholders  has been  substantially  the same during the past five years.

**Dividends**

There are no present  material  restrictions  that limit the ability of the Company  to pay  dividends  on common  stock
or that are  likely to do so in the future. The Company has not paid any dividends with respect to its common stock, and
does not intend to pay dividends in the foreseeable future.

**Recent Sales Of Unregistered Securities**

None

**Item 6.  Management's Discussion and Analysis or Plan of Operation.**

**Results of Operations for the period ending December 31, 2001**

The Company has little cash and has experienced losses from inception.  The Company initially recognized revenue during
2000 as a result of acquiring Tamasik and its operations.  As of December 31, 2001, the Company had $1,035 cash on
hand. As of that date, the Company had outstanding liabilities in the amount of $15,737.  The Company, through its
subsidiary, is just starting its business, and the consolidated entity has a deficit totaling $44,407.

The Company recognized $24,325 in fees for services and direct costs of services was $9,294, with a gross profit of
$15,031.  Total operating expenses for the Company were $48,813 resulting in a net loss before other items of $33,782.
Interest expense was $840 for the year ended December 31, 2001.  The Company realized a net loss of $34,622.

**Liquidity and Capital Resources**

The Company has $1,035 in cash and anticipates generating revenue through the sale of its internet services.  Revenue will
be generated by offering web site development, web page design, web hosting, affiliate sales commissions, advertisements
and e-commerce solutions for merchants.

The Company has no material commitments for capital expenditures for the next twelve months.

As of the date of this report, the Company has yet to generate positive cash flow from operations. Since inception, the
Company has primarily financed its operations from stockholder advances, the sale of common stock and officer loans. The
Company believes that its current cash needs can be met with the cash on hand, revenues and loans from officers and
directors for at least the next twelve months. However, it may be necessary to raise additional capital in order to pursue
certain business opportunities. This may be accomplished by selling common stock of the Company.

**Item 7.  Financial Statements.**

The financial statements of the Company appear at the end of this report beginning with the Index to Financial Statements.

**Item 8.  Changes In and Disagreements with Accountants on Accounting and Financial Disclosure.**

None.

**PART III**

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

The following table sets forth the name, age, position and office term of each executive officer and director of the
Company as of December 31, 2001.

|**Name**       | **Age** | **Position**                      | **Director or Officer Since**
|-------------- | ------- | --------------------------------- | -----------------------------
|Kitty Chow     | 58      | President and Director            | December, 1997               
|Shui Yuen Chan | 62      | Secretary/ Treasurer and
Director | December, 1997               

All officers hold their positions at the will of the Board of Directors.  All directors hold their positions for one year or until
their successors are elected and qualified.

Set forth below is certain biographical information regarding each of the Company's executive officers and directors:

**Lady Kitty Chow, President and Director, age 58.**  Lady Chow graduated from Tian Chiang University of Taiwan and
earned a certificate from New York University for property appraisal in 1987.  She has been extensively involved in New
York City real estate.  Lady Chow is currently president of Yen Tung Consulting Corp., which is a real estate/mortgage and
building management company.  Lady Chow has had long term experience in financing enterprises.  Lady Chow is a
Deputy Principal of Beijing Youth Enterprises Management College.  Lady Chow is also an outstanding member of the
Chinese-American Friendship Trading Association, which is a non-profit organization with over 280 members in the U.S.

**Shui Yuen Chan, Director, age 62.**Mr. Chan owns two Chinese restaurants and a clothing importing company in Nassau
County, New York.  Mr. Chan became involved with the China trade in the early 1980's and has established excellent
relationships with certain provincial government officials in China.  Mr. Chan has been a member of the Chinese Business
Association of New York City since 1986.

**Family Relationships**

None; not applicable

**Involvement in Certain Legal Proceedings**

During the past five years,  no present or former  director,  person  nominated to become a director, executive officer,
promoter or control person of the Company:

(1) Was a general  partner  or  executive  officer  of any  business  by or against  which any  bankruptcy petition was filed,
whether at the time of such filing or two years prior thereto;

(2) Was  convicted  in a  criminal  proceeding  or named the  subject  of a pending  criminal  proceeding (excluding  traffic
violations  and other minor offenses);

(3) Was the  subject of any order,  judgment  or decree,  not subsequently reversed,  suspended  or vacated,  of  any  court
of  competent  jurisdiction, permanently or temporarily enjoining,  barring, suspending or otherwise limiting his
involvement in any type of business,  securities or banking activities;  and

(4) Was the  subject of any order,  judgment  or decree,  not  subsequently reversed,  suspended  or vacated,  of any federal
or state authority  barring, suspending or otherwise  limiting for more than 60 days the right of such person to engage in
any activity  described  above under this Item, or to be associated with persons engaged in any such activity;

(5) Was found by a court of competent jurisdiction (in a civil action), the Commission  or the Commodity  Futures  Trading
Commission  to have  violated a federal or state  securities or  commodities  law, and the judgment has not been reversed,
suspended, or vacated.

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

Shui Yuen Chan, Secretary/Treasurer of the Company, is the President of ACC Jin Tai Industrial Group, Inc. which owns
approximately 41% of the Company's issued and outstanding shares, has not filed either Form 3 or Form 5. No other
director,  executive  officer or 10%  shareholder  of the  Company has effected any transactions in the Company's
securities  through the date of filing this report.

**Item 10.  Executive Compensation**

The Company's officers and directors do not receive any compensation for services rendered to the Company, have not
received such compensation in the past, and is not accruing any compensation pursuant to any agreement with the
Company.  However, the officers and directors of the Company anticipate receiving benefits as beneficial shareholders of
the Company's common stock.

Mr. Stanley Hong, president of Tamasik, our subsidiary, did not receive any compensation for fiscal year end December
31, 2001.  The Company recorded $4,865 for his work associated with website design and engineering and also included
payments related to the use of equipment owned by Mr. Hong to be paid if Tamasik generates sufficient cash flows in the
future.  The Company does not have any formal employment agreements with Mr. Hong.

No retirement, pension, profit sharing, stock option or insurance programs or other similar programs have been adopted by
the Company for the benefit of its employees.

**Employment Contracts and Termination of Employment and Change in Control Arrangement.**

There are no compensatory plans or arrangements, including payments to be received from the Company, with respect to
any person named in Cash Compensation set out above which would in any way result in payments to any such person
because of his resignation, retirement, or other termination of such person's employment with the Company or its
subsidiaries, or any change in control of the Company, or a change in the person's responsibilities following a change of
control of the Company.

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

The following table sets forth as of March 15, 2001, the name and the number of shares of the Registrant's Common Stock,
par value $.001 per share, held of record or beneficially by each person who held of record, or was known by the Registrant
to own beneficially, more than 5% of the 8,739,903 issued and outstanding shares of the Registrant's Common Stock, and
the name and shareholdings of each director and of all officers and directors as a group.  Except as otherwise indicated, the
persons named in the table have sole voting and dispositive power with respect to all shares beneficially owned, subject to
community property laws where applicable.

|**Title of Class**                                 | **Name and Address of
Beneficial Owner**                 | **Amount and Nature of
Beneficial Ownership** | **Percentage of Class**
|-------------------------------------------------- | -------------------------------------------------------- | --------------------------------------------- | -----------------------
|Common                                             | Kitty Chow (1)(4)                                        | -0-                                           | -0-                    
|                                                   | 633 Franklin Avenue, Suite
265 Nutley,  New Jersey
07110 |                                               |                        
|Common                                             | Kuen Chu (2)(4)                                          | 655,696                                       | 7.95%                  
|                                                   | 11 Hickory Street,
Bloomfield, NJ  07003                 |                                               |                        
|Common                                             | Shui Yuen Chan (1)(3)                                    | 3,344,125                                     | 40.58%                 
|                                                   | 2 Jay Court, Sayville, NY
11782                          |                                               |                        
|Common                                             | ACC Jin Tai Industrial
Group, Inc.(4)                    | 3,344,125                                     | 40.58%                 
|                                                   | 149-48 Beech Avenue,
Flushing,  New York  11355          |                                               |                        
|Common                                             | PH Gold Financial Company                                | 644,000                                       | 7.81%                  
|                                                   | 11 Hickory Street,
Bloomfield,  NJ  07003                |                                               |                        
|Common                                             | Stanley Hong                                             | 3,395,525                                     | 41.20%                 
|                                                   | 145-27 13 Avenue,
Whitestone, NY  11257                  |                                               |                        
|                                                   |                                                          | __________                                    | ________               
|Common Officers and
Directors as a Group: 2
people |                                                          | 3,344,125                                     | 48.54%                 

(1) Officer and/or director.

(2)  Mr. Chu owns 11,696 shares directly and as a control person of PH Gold Financial Company, Mr. Chu is considered
beneficial owner of the 644,000 shares held by PH Gold Financial Company.

(3)  Mr. Chan is the president of ACC Jin Tai Industrial Group, Inc., and as such is considered to have beneficial ownership
of the 3,344,125 shares held by ACC Jin Tai Industrial Group, Inc.

(4)  Ms. Chow and Mr. Chu are shareholders of ACC Jin Tai Industrial Group, Inc., but do not have control positions nor
are they officers or directors of that Company and therefore are not considered to have any beneficial ownership through
ACC Jin Tai Industrial Group, Inc.

There are no contracts or other arrangements that could result in a change of control of the Company.

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

The Company recorded $4,865 to Stanley Hong, Tamasik's president for his work associated with website design and
engineering and the use of equipment owned by Mr. Hong.

Mr. Chan advanced money to the Company to pay for expenses not covered by the operations of the Company.  Mr. Chan
loaned $4,000 to the Company.  The note is due upon demand, unsecured and carries an interest rate of 10% per annum.

Ms. Chow advanced money to the Company to pay for expenses not covered by the operations of the Company.  Ms.
Chow loaned $5,800 to the Company.  The note is due upon demand, unsecured and carries an interest rate of 10% per
annum.

Subsequent to year end, officers and directors of the Company have advanced money to cover operating expenses of the
Company.

**Item 13.  Exhibits and Reports on Form 8-K.**

**Reports on Form 8-K**

No reports were filed pursuant to For 8-K for the year ended December 31, 2001.

**Exhibits**

None

**Signatures**

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

PACIFIC INTERNATIONAL HOLDING, INC.

Date: March 28, 2002      By /s/ Kitty Chow, President

Kitty Chow

Date: March 28, 2002      By /s/ Shui Yuen Chan, Secretary/Treasurer

Shui Yuen Chan

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, this  Report has been  signed below by
the  following  persons on behalf of the Registrant and in the capacities and on the dates indicated:

Date: March 28, 2002               /s/ Kitty Chow, Director 
                                                  Kitty Chow

Date: March 28, 2002              /s/ Shui Yuen Chan, Director
                                                 Shui Yuen Chan

**Pacific International Holding, Inc. and Subsidiary**

(Development Stage Companies)

**Consolidated Financial Statements**

**From Inception (June 9, 2000) to December 31, 2001**

**with**

**Independent Auditor's Report**

**Pacific International Holding, Inc. and Subsidiary**

( Development Stage Companies)

**CONTENTS**

|                                                | **PAGE**
|----------------------------------------------- | --------
|Independent Auditor's Report                    | 1       
|Consolidated Balance Sheets                     | 2       
|Consolidated Statements of Operations           | 3       
|Consolidated Statements of Stockholders' Equity | 4       
|Consolidated Statements of Cash Flows           | 5       
|Notes to Consolidated Financial Statements      | 8       

[Letterhead]

Independent Auditor's Report

Board of Directors

**Pacific International Holding, Inc. and Subsidiary**

I have audited the accompanying consolidated balance sheets of Pacific International Holding, Inc. and Subsidiary
(development stage companies) as of December 31, 2001 and 2000 and the related consolidated statements of operations,
stockholders' equity and cash flows for the year ended December 31, 2001, from inception (June 9, 2000) to December 31,
2000, and from inception (June 9, 2000) to December 2001. These financial statements are the responsibility of the
Company's management. My responsibility is to express an opinion on the financial statements based on my audit.

I conducted my audits in accordance with auditing standards generally accepted in the United States of America. Those
standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are
free of material misstatements. 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. I believe that my audits
provide a reasonable basis for my opinion.

In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of
Pacific International Holding, Inc. and Subsidiary (development stage companies) as of December 31, 2001 and 2000, and
the consolidated results of their operations and their consolidated cash flows for the year ended December 31, 2001, from
inception (June 9, 2000) to December 31, 2000, and from inception (June 9, 2000) to December 31, 2001 in conformity
with accounting principles generally accepted in the United States of America.

As discussed on Notes 1 and 7, the Company and its subsidiary have been in the development stage since their inceptions.
The Company, through its subsidiary, is just starting its business, and the consolidated entity has a deficit totaling
$(44,407). Realization of a major portion of the assets is dependent upon the Company's ability to meet its future financing
requirements, and the success of future operations. These factors raise substantial doubt about the Company's ability to
continue as a going concern.

/s/ David T. Thomson, P.C.

Salt Lake City, Utah

March 25, 2002

******PACIFIC INTERNATIONAL HOLDING, INC. AND SUBSIDIARY**

( Development Stage Companies )

**CONSOLIDATED BALANCE SHEETS**

|**ASSETS**                                                                                                                       | **December 31, 2001** | **December 31, 2000**
|-------------------------------------------------------------------------------------------------------------------------------- | --------------------- | ---------------------
|CURRENT ASSETS:                                                                                                                  |                       |                      
|Cash                                                                                                                             | $ 1,035               | $ 1,182              
|Accounts Receivable                                                                                                              | 1,350                 | 0                    
|Refund due - overpaid commissions                                                                                                | 0                     | 673                  
|                                                                                                                                 | -------               | -------              
|Total Current Assets                                                                                                             | 2,385                 | 1,855                
|                                                                                                                                 | -------               | -------              
|OTHER ASSETS:                                                                                                                    |                       |                      
|Deposit                                                                                                                          | 2,500                 | 2,500                
|                                                                                                                                 | -------               | -------              
|Total Other Assets                                                                                                               | 2,500                 | 2,500                
|                                                                                                                                 | -------               | -------              
|TOTAL ASSETS                                                                                                                     | $ 4,885               | $ 4,355              
|                                                                                                                                 | =======               | =======              
|**LIABILITIES AND
STOCKHOLDERS' EQUITY**                                                                                         |                       |                      
|CURRENT LIABILITIES:                                                                                                             |                       |                      
|Accounts payable                                                                                                                 | $ 3,704               | $ 6,080              
|Accrued liabilities                                                                                                              | 2,233                 | 370                  
|Notes payable to directors and
stockholders                                                                                      | 9,800                 | 4,000                
|                                                                                                                                 | -------               | -------              
|Total Current Liabilities                                                                                                        | 15,737                | 10,450               
|                                                                                                                                 | -------               | -------              
|STOCKHOLDERS' EQUITY
(DEFICIT)                                                                                                   |                       |                      
|Common stock, $0.001 par value,
60,000,000 shares authorized,
8,739,903 and 8,239,903 shares issued
and outstanding respectively | 8,740                 | 8,240                
|Capital in excess (discount) of par                                                                                              | 24,815                | (4,550)              
|Deficit accumulated during
development stage                                                                                     | (44,407)              | (9,785)              
|                                                                                                                                 | -------               | -------              
|Total Stockholders' Equity                                                                                                       | (10,852)              | (6,095)              
|                                                                                                                                 | -------               | -------              
|TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY                                                                                       | $ 4,885               | $ 4,355              
|                                                                                                                                 | =======               | =======              

The accompanying notes are an integral part of these consolidated financial statements.

**PACIFIC INTERNATIONAL HOLDING, INC. AND SUBSIDIARY**

( Development Stage Companies)

**CONSOLIDATED STATEMENTS OF OPERATIONS**

|                                         | **For the Year Ended
December 31, 2001** | **For the Period June 9, 2000
to December 31, 2000** | **From Inception (June 9,
2000) to December 31, 2001**
|---------------------------------------- | ---------------------------------------- | ---------------------------------------------------- | ------------------------------------------------------
|**FEES FOR SERVICES**                    | $24,325                                  | $ 39,242                                             | $63,567                                               
|**DIRECT COST OF
SERVICES**              | (9,294)                                  | (17,274)                                             | (26,568)                                              
|                                         | --------                                 | --------                                             | ---------                                             
|**GROSS PROFIT**                         | 15,031                                   | 21,968                                               | 36,999                                                
|**OPERATING EXPENSES**                   |                                          |                                                      |                                                       
|Advertising                              | 0                                        | 4,880                                                | 4,880                                                 
|Rent expense                             | 15,137                                   | 7,750                                                | 22,888                                                
|Legal and professional fees              | 26,756                                   | 8,914                                                | 35,670                                                
|General and administrative               | 6,920                                    | 10,143                                               | 17,062                                                
|                                         | ---------                                | ---------                                            | -----------                                           
|Total Operating Expenses                 | 48,813                                   | 31,687                                               | 80,500                                                
|                                         | ---------                                | ----------                                           | ----------                                            
|**NET INCOME (LOSS)
BEFORE OTHER ITEMS** | (33,782)                                 | (9,719)                                              | (43,501)                                              
|**OTHER INCOME
(EXPENSE)**               |                                          |                                                      |                                                       
|Interest expense                         | (840)                                    | (66)                                                 | (906)                                                 
|                                         | -------                                  | ------                                               | --------                                              
|**NET INCOME (LOSS)**                    | $(34,622)                                | $ (9,785)                                            | $(44,407)                                             
|                                         | =======                                  | ======                                               | =======                                               
|**EARNINGS (LOSS) PER
SHARE**            | $ (0.00)                                 | $  (0.00)                                            | $ (0.03)                                              
|                                         | =======                                  | ======                                               | =======                                               
|**WEIGHTED AVERAGE
SHARES OUTSTANDING**  | 8,531,570                                | 5,410,299                                            | 1,686,456                                             
|                                         | =======                                  | =======                                              | =======                                               

The accompanying notes are an integral part of these consolidated financial statements.

**PACIFIC INTERNATIONAL HOLDING, INC. AND SUBSIDIARY**

( Development Stage Companies )

**CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY**



|                                                                                                                  | **Common Stock**  |                  | **Capital in Excess
(Deficit) of Par** | **Deficit
Accumulated
During the
Development
Stage** | **Total**       
|----------------------------------------------------------------------------------------------------------------- | ----------------- | ---------------- | -------------------------------------- | ---------------------------------------------------- | ----------------
|                                                                                                                  | **Shares**        | **Amount**       |                                        |                                                      |                 
|BALANCE, at
November 3, 1986
(Inception)                                                                          | 0                 | $     0          | $      0                               | $       0                                            | $     0         
|*Shares issued to
initial stockholders
for cash,
November 3, 1986
at $.01 per share                               | 200,000           | 2,000            | 0                                      | 0                                                    | 2,000           
|*Shares issued to
initial stockholders
in exchange for
Millsite Lease
assignment,
November 1896 at
$.01 per share | 802,500           | 8,025            | 0                                      | 0                                                    | 8,025           
|*Net income (loss)
from November 3,
1986 (inception) to
December 31, 1986                                         | 0                 | 0                | (1,078)                                | 0                                                    | (1,078)         
|                                                                                                                  | -------------     | --------------   | --------------                         | -------------                                        | --------------  
|BALANCE,
December 31, 1986                                                                                        | 1,002,500         | 10,025           | (1,078)                                | 0                                                    | 8,947           
|*Net income (loss)
for the year ended
December 31, 1987                                                           | 0                 | 0                | 906                                    | 0                                                    | 906             
|                                                                                                                  | --------------    | ---------------  | ---------------                        | -------------                                        | --------------  
|BALANCE,
December 31, 1987                                                                                        | 1,002,500         | 10,025           | (172)                                  | 0                                                    | 9,853           
|*Capital
contributed by
related party                                                                             | 0                 | 0                | 1,050                                  | 0                                                    | 1,050           
|Net income (loss)
for the year ended
December 31, 1988                                                            | 0                 | 0                | (10,348)                               | 0                                                    | (10,348)        
|                                                                                                                  | ---------------   | ---------------- | -----------------                      | ---------------                                      | --------------- 
|BALANCE,
December 31, 1988                                                                                        | 1,002,500         | 10,025           | (9,470)                                | 0                                                    | 555             
|*Net income (loss)
for the year ended
December 31, 1989                                                           | 0                 | 0                | (184)                                  | 0                                                    | (184)           
|                                                                                                                  | ----------------  | ---------------  | --------------                         | ---------------                                      | --------------- 
|BALANCE,
December 31, 1989                                                                                        | 1,002,500         | 10,025           | (9,654)                                | 0                                                    | 371             
|*Net income (loss)
for the year ended
December 31, 1990                                                           | 0                 | 0                | (180)                                  | 0                                                    | (180)           
|                                                                                                                  | ---------------   | ---------------  | ---------------                        | ---------------                                      | ----------------
|BALANCE,
December 31, 1990                                                                                        | 1,002,500         | 10,025           | (9,834)                                | 0                                                    | 191             
|*Net income (loss)
for the year ended
December 31, 1991                                                           | 0                 | 0                | (161)                                  | 0                                                    | (161)           
|                                                                                                                  | --------------    | ---------------- | --------------                         | ---------------                                      | --------------- 
|BALANCE,
December 31, 1991                                                                                        | 1,002,500         | 10,025           | (9,995)                                | 0                                                    | 30              
|*Net income (loss)
for the year ended
December 31, 1992                                                           | 0                 | 0                | (24)                                   | 0                                                    | (24)            
|                                                                                                                  | ---------------   | ---------------  | ---------------                        | --------------                                       | ----------------
|BALANCE,
December 31, 1992                                                                                        | 1,002,500         | 10,025           | (10,019)                               | 0                                                    | 6               
|*Capital
contributed by
stockholder                                                                               | 0                 | 0                | 782                                    | 0                                                    | 782             
|*Net income (loss)
for the year ended
December 31, 1993                                                           | 0                 | 0                | (788)                                  | 0                                                    | (788)           
|                                                                                                                  | --------------    | ---------------- | ---------------                        | --------------                                       | ----------------
|BALANCE,
December 31, 1993                                                                                        | 1,002,500         | 10,025           | (10,025)                               | 0                                                    | 0               
|*Change in
authorized shares
from 5,000,000 to
60,000,000 and par
value from $.01 to
$.001                        | 0                 | (9,023)          | 9,023                                  | 0                                                    | 0               
|*Shares issued for
professional
compensation and
for consulting
services at par
value of $.001 per
share          | 8,000,000         | 8,000            | 0                                      | 0                                                    | 8,000           
|*Capital
contributed by
related party                                                                             | 0                 | 0                | 25                                     | 0                                                    | 25              
|*Net income (loss)
for the year ended
December 31, 1994                                                           | 0                 | 0                | (8,125)                                | 0                                                    | (8,125)         
|                                                                                                                  | ----------------  | ---------------- | ---------------                        | ----------------                                     | ----------------
|BALANCE,
December 31, 1994                                                                                        | 9,002,500         | 9,002            | (9,102)                                | 0                                                    | (100)           
|*Capital
contributed by
related party                                                                             | 0                 | 0                | 25                                     | 0                                                    | 25              
|*Net income (loss)
for the year ended
December 31, 1995                                                           | 0                 | 0                | (171)                                  | 0                                                    | (171)           
|                                                                                                                  | ---------------   | ---------------- | --------------                         | --------------                                       | --------------- 
|BALANCE,
December 31, 1995                                                                                        | 9,002,500         | 9,002            | (9,248)                                | 0                                                    | (246)           
|*Capital
contributed by
related party                                                                             | 0                 | 0                | 25                                     | 0                                                    | 25              
|*Net income (loss)
for the year ended
December 31, 1996                                                           | 0                 | 0                | (179)                                  | 0                                                    | (179)           
|                                                                                                                  | ---------------   | ---------------  | ---------------                        | -------------                                        | --------------- 
|BALANCE,
December 31, 1996                                                                                        | 9,002,500         | 9,002            | (9,402)                                | 0                                                    | (400)           
|*Reverse split on a
basis of 1 for 10                                                                             | (8,102,277)       | (8,102)          | 8,102                                  | 0                                                    | 0               
|*Capital
contributed by
related party                                                                             | 0                 | 0                | 25                                     | 0                                                    | 25              
|*Net income (loss)
for the year ended
December 31, 1997                                                           | 0                 | 0                | (188)                                  | 0                                                    | (188)           
|                                                                                                                  | -------------     | ---------------- | ---------------                        | --------------                                       | ----------------
|BALANCE,
December 31, 1997                                                                                        | 900,223           | 900              | (1,463)                                | 0                                                    | (563)           
|*Sale of stock to a
corporation for
cash at $.001 par                                                             | 3,344,155         | 3,344            | 0                                      | 0                                                    | 3,344           
|*Sale of stock to
certain individuals
for cash at $.001
par                                                       | 600,000           | 600              | 0                                      | 0                                                    | 600             
|*Capital
contributed by
related party                                                                             | 0                 | 0                | 9,652                                  | 0                                                    | 9,652           
|*Net income (loss)
for the year ended
December 31, 1998                                                           | 0                 | 0                | (16,567)                               | 0                                                    | (16,567)        
|                                                                                                                  | ----------------  | --------------   | ----------------                       | ---------------                                      | ----------------
|BALANCE,
December 31, 1998                                                                                        | 4,844,378         | 4,844            | (8,378)                                | 0                                                    | (3,534)         
|*Capital
contributed by
related party                                                                             | 0                 | 0                | 10,239                                 | 0                                                    | 10,239          
|*Net income (loss)
for the year ended
December 31, 1999                                                           | 0                 | 0                | (6,190)                                | 0                                                    | (6,190)         
|                                                                                                                  | --------------    | ---------------- | ---------------                        | --------------                                       | --------------- 
|BALANCE,
December 31, 1999                                                                                        | 4,844,378         | 4,844            | (4,329)                                | 0                                                    | 515             
|*Issuance of
common stock to
acquire Tamasik
Technologies,
Corp, November
2000 at par and
discounted value        | 3,395,525         | 3,396            | (2,221)                                | 0                                                    | 1,175           
|Capital contributed
by related party                                                                              | 0                 | 0                | 2,000                                  | 0                                                    | 2,000           
|Net income (loss)
for the year ended
December 31, 2000                                                            | 0                 | 0                | 0                                      | (9,785)                                              | (9,785)         
|                                                                                                                  | ----------------- | ---------------- | ----------------                       | ---------------                                      | ----------------
|BALANCE,
December 31, 2000                                                                                        | 8,239,903         | 8,240            | (4,550)                                | (9,785)                                              | (6,095)         
|Issuance of
common stock for
services rendered
at $.05 per share,
June 2001                                       | 500,000           | 500              | 24,500                                 | 0                                                    | 25,000          
|Labor contributed
by related party                                                                                | 0                 | 0                | 4,865                                  | 0                                                    | 4,865           
|Net income (loss)
for the year ended
December 31, 2001                                                            | 0                 | 0                | 0                                      | (34,622)                                             | (34,622)        
|                                                                                                                  | ---------------   | ---------------- | ---------------                        | --------------                                       | --------------- 
|BALANCE,
December 31, 2001                                                                                        | 8,739,903         | $8,740           | $24,815                                | $(44,407)                                            | $(10,852)       
|                                                                                                                  | ==========        | ==========       | ==========                             | =========                                            | ==========      

* After the effect of recapitalization

The accompanying notes are an integral part of these consolidated financial statements.

**PACIFIC INTERNATIONAL HOLDING, INC. AND SUBSIDIARY**

( Development Stage Companies )

**CONSOLIDATED STATEMENTS OF CASH FLOWS**



|                                                                                            | **For the Year Ended
December 31, 2001** | **For the Period June 9, 2000
to December 31, 2000** | **From Inception (June 9,
2000) to December 31, 2001**
|------------------------------------------------------------------------------------------- | ---------------------------------------- | ---------------------------------------------------- | ------------------------------------------------------
|**CASH FLOWS FROM
OPERATING
ACTIVITIES**                                                    |                                          |                                                      |                                                       
|Cash received for services                                                                  | $22,975                                  | $ 39,242                                             | $62,217                                               
|Cash paid expenses                                                                          | (28,922)                                 | (41,557)                                             | (70,479)                                              
|                                                                                            | -----------                              | -----------                                          | ------------                                          
|Net cash used in operating
activities                                                       | (5,947)                                  | (2,315)                                              | (8,262)                                               
|                                                                                            | ------------                             | -----------                                          | -----------                                           
|**CASH FLOWS FROM
INVESTING ACTIVITIES**                                                    |                                          |                                                      |                                                       
|Cash from acquisition
treated as a recapitalization                                         | 0                                        | 1,497                                                | 1,497                                                 
|                                                                                            | -----------                              | ----------                                           | ------------                                          
|**CASH FLOWS FROM
FINANCING ACTIVITIES**                                                    |                                          |                                                      |                                                       
|Capital contributed by
related party                                                        | 5,800                                    | 2,000                                                | 7,800                                                 
|                                                                                            | -----------                              | -----------                                          | ------------                                          
|**NET INCREASE
(DECREASE) IN CASH**                                                         | (147)                                    | 1,182                                                | 1,035                                                 
|**CASH AT BEGINNING
OF PERIOD**                                                             | 1,182                                    | 0                                                    | 0                                                     
|                                                                                            | ------------                             | -----------                                          | ------------                                          
|**CASH AT END OF
PERIOD**                                                                   | $ 1,035                                  | $ 1,182                                              | $ 1,035                                               
|                                                                                            | =======                                  | =======                                              | =======                                               
|**RECONCILIATION OF
NET INCOME (LOSS) TO
NET CASH PROVIDED
(USED) BY OPERATING
ACTIVITIES** |                                          |                                                      |                                                       
|NET INCOME (LOSS)                                                                           | $(34,622)                                | $(9,785)                                             | $(44,407)                                             
|                                                                                            |                                          |                                                      |                                                       
|Adjustments to reconcile net
(loss) to net cash provided
(used) by operating activities     |                                          |                                                      |                                                       
|Common stock issued for
services                                                            | 25,000                                   | 3,396                                                | 28,396                                                
|Labor contributed by
related party                                                          | 4,865                                    | 0                                                    | 4,865                                                 
|Changes in assets and
liabilities                                                           |                                          |                                                      |                                                       
|Increase in accounts
receivable                                                             | (1,350)                                  | 0                                                    | (1,350)                                               
|Decrease in prepaid
expenses                                                                | 0                                        | 1,000                                                | 1,000                                                 
|(Increase)/Decrease in
refund due - overpaid
commissions                                    | 673                                      | (673)                                                | 0                                                     
|Increase in deposit                                                                         | 0                                        | (2,500)                                              | (2,500)                                               
|Increase/(Decrease) in
accounts payable                                                     | (2,376)                                  | 6,080                                                | 3,704                                                 
|Increase in accrued
expenses                                                                | 1,863                                    | 167                                                  | 2,030                                                 
|                                                                                            | -----------                              | --------                                             | --------                                              
|Total Adjustments                                                                           | 28,675                                   | 7,470                                                | 36,145                                                
|                                                                                            | -----------                              | ---------                                            | ---------                                             
|**NET CASH PROVIDED
(USED) BY OPERATING
ACTIVITIES**                                        | $(5,947)                                 | $(2,315)                                             | $(8,262)                                              
|                                                                                            | ========                                 | =======                                              | =======                                               
|**NONCASH
TRANSACTIONS**                                                                    |                                          |                                                      |                                                       
|Common stock issued for
services                                                            | $25,000                                  | $ 3,396                                              | $28,396                                               
|Common stock issued for
acquisition of Tamasik
Technologies Corporation                     | $ 0                                      | $(6,550)                                             | $(6,550)                                              
|Labor contributed by related
party                                                          | $4,865                                   | $ 0                                                  | $4,865                                                
|                                                                                            | =====                                    | ======                                               | ======                                                

The accompanying notes are an integral part of these consolidated financial statements.

**PACIFIC INTERNATIONAL HOLDING, INC. AND SUBSIDIARY**

(Development Stage Companies)

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS**

**NOTE   1  -  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

Organization  -  Pacific International Holdings, Inc.(Pacific) was organized November 3, 1986 under the laws of the State
of Utah under the name Pine Bird Mining & Milling, Inc. On April 1, 1994, Pacific changed its name to Pacific
International Holding, Inc. The business purpose of Pacific was to seek potential business ventures which would allow for
long term growth. The Company's offices are located in Flushing New York.  Since its inception Pacific has had no
operating revenue. Pacific has elected a fiscal year end of December 31st. Pacific is considered a development stage
company as defined in No. 7.  During November 2000, Pacific acquired Tamasik Technologies Corporation (Tamasik)
pursuant to a plan of reorganization through the issuance 3,395,525 of its common stock for all the issued and outstanding
shares of common stock of Tamasik (See note 2)

Pacific and Tamasik have at the present time, not paid any dividends and any dividends that may be paid in the future will
depend upon the financial requirements of Pacific and Tamasik and other relevant factors. Pacific expended all of its assets
during 1993 and has been basically dormant through 1997.  Pacific had expenses during 1999 and 1998 which were related
to costs associated with its search for new business, discussions with potential business partners and tentative efforts to
merge with businesses in China. Officers and stockholders of Pacific have been contributing cash to pay expenses required
to maintain it's good standing with the State of Utah and to maintain its existence and to provide working capital for its
activities initiated in 1998.

Consolidation policy  - The consolidated financial statements at December 31, 2001 and 2000, include the accounts of
Pacific and its wholly-owned operating subsidiary. Intercompany transactions and balances have been eliminated in
consolidation

Net Earnings Per Share  -  The computation of net income (loss) per share of common stock is based on the weighted
average number of shares outstanding during the periods presented.

Income Taxes  -  The Company provides for income taxes based on the liability method, which required recognition of
deferred tax assets and liabilities based on differences between financial reporting and tax bases of assets and liabilities
measured using enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse.

Revenue Recognition   -   The Company recognizes revenue for its services at the time the services have been completed.

Cash and Cash Equivalents  -  For purposes of the statement of cash flows, the Company considers all highly liquid debt
instruments purchased with a maturity of three months or less to be cash equivalents.

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

Advertising - The Company expenses advertising costs as they are incurred.  The amounts paid for advertising in the year
ended December 31, 2001 and 2000 was $0 and $4,880 respectively.

**NOTE   2  -  PLAN OF REORGANIZATION AND BASIS OF PRESENTATION**

Effective November 10, 2000, Pacific completed a reorganization transaction with and into Tamasik**.**Under the terms of
the transaction all of Tamasik's common stock was exchanged for 3,395,525 shares of common stock of Pacific and
Tamasik became a wholly owned subsidiary of Pacific. Tamasik is a Utah Corporation. Tamasik was formed to provide via
the internet, online e-commerce solutions to merchants through online auctions and online shopping.  Tamasik also
provides web development and web page design, web hosting, affiliate sales commissions, advertisements, and
e-commerce solutions for merchants.  All of Tamarisk's revenue to date is from fees for the above services.  Tamasik's
offices are located in Flushing, New York. Tamasik is just starting its planned principle operations (the inception of
Tamasik was June 9, 2000) and is considered a development stage company as defined in  SFAS No. 7. All of the
Company's revenue is from its website services provided for customers in the Flushing, New York area.

At the time of the reorganization, all of Tamasik's common stock was owned by an individual.  Since this individual
became a major stockholder of Pacific  at the time of the reorganization, and the Company was basically dormant, and
Tamasik had revenue, operations and business activity, for financial reporting purposes, Tamasik is considered the acquiror
and therefore the predecessor, and Pacific is considered the acquiree for accounting reporting purposes.  Due to the fact that
the reorganization is being treated as a reverse acquisition, the equity of the Company has been recapitalized for financial
reporting purposes. Operations of Pacific have been included in consolidation from November 1, 2000 to the year end
December 31, 2001.

**NOTE   3  -  EQUITY TRANSACTIONS**

Tamasik on June 9, 2000 issued 3,395,525 shares of $.001 par value common stock at par value in exchange for services
which at the time of exchange were deemed to have a value of $3,396.  These shares were then later exchanged for stock of
Pacific International Holding, Inc. (see note 2)

The Company, during June of 2001, authorized the issuance of 500,000 shares of its common stock to pay for services
rendered to it. The shares were granted pursuant to an S-8 registration statement. The services were valued at $.05 per
share, which was deemed to be the fair market value of the shares at issuance,  for a total consideration of $25,000.

**NOTE   4  -  COMMITMENTS AND AGREEMENTS**

The Company has leased office space in Flushing, New York at $1,250 per month for twelve months through June 30,
2001; $1,350 per month through June 30, 2002; and $1,395.50 per month through June 30, 2003.  The Company paid a
$2,500 deposit as a condition of the lease. Expense for the above at December 31, 2001 and 2000 was $15,137 and $7,750
respectively.

**NOTE   5  -  RELATED PARTY TRANSACTIONS**

****Of the $9,294 and $17,274 of costs attributed to direct expenses related to service revenue for the periods presented for
2001 and 2000, $4,865 and $7,201 were attributed to Tamasik's President,  for his work associated with website design and
engineering and the use of equipment owned by him for website design and engineering and other revenue activities
provided by Tamasik as described above in Note 2.

**NOTE   6  -  INCOME TAXES**

The Company and Tamasik filed a consolidated Federal and State Corporate tax return for the year ended December 31,
2000.

Prior to consolidation, Pacific had operating losses every year, but one, since inception, thus no provision for income taxes
were provided in the financial statements for Pacific. Prior to consolidation, and after, there were no deferred income taxes
resulting from income and expense items being reported for financial accounting and tax reporting purposes in different
periods for Pacific and Tamasik.  Pacific has not filed its Federal tax returns since its inception through December 31,
1999.  It has no operating loss carryforwards because losses it has had since inception to December 31, 1999 have not been
established for tax purposes by the filing of applicable tax returns.  It is management's intention to file the required Federal
tax returns for 2000 forward. The Company has filed its Utah State tax returns.

****The Company for tax purposes has an estimated consolidated losses at December 31, 2001 and 2000 of $34,622 and
$9,785, and thus no provision for income taxes has been made.  The losses can be carried forward to future periods to offset
income and expire in the years 2020 and 2021.  Valuation allowances of $5,193 and $1,468 have been established for the
tax credit which is not expected to be realized. The change in the allowance for 2001 and 2000 is $3,725 and $1,468
respectively.

**NOTE   7  -  GOING CONCERN**

Pacific and Tamasik have experienced losses from their inceptions through December 31, 2001. The consolidated entity
has limited capital and a working capital deficit of $13,352. The Company to date through it subsidiary has yet to generate
any income from operations.  Officers of the Company have been paying expenses of the Company required to maintain it's
good standing with the State of Utah, to maintain it's existence and to pay expenses not covered by its business operations. .
In light of these circumstances, the ability of the Company to continue as a going concern is substantially in doubt. The
financial statements do no included any adjustments that might result from the outcome of this uncertainty.

Management plans are to take steps necessary to have its business activities become profitable enough to maintain it
existence and to provide profitable future operations.  To do so the Company may need to raise additional capital through
equity or lending funding.

**NOTE   8  -  SUBSEQUENT EVENTS**

****Subsequent to year-end, from time to time, officers, directors and stockholders of the Company have advanced money to
the Company to pay expenses not covered by the operations of the Company.

**NOTE   9  -  NOTES PAYABLE TO DIRECTORS AND STOCKHOLDERS**

****Officers, directors and stockholders of the Company have loaned $9,800 and $4,000 to the Company at December 31,
2001 and 2000 respectively.  These loans are due upon demand, unsecured and carry interest at a rate of 10% per annum.