| Nevada                                                         |   | N/A                                                        |
|----------------------------------------------------------------|--------|------------------------------------------------------------|
| (State or other jurisdiction of incorporation or organization) |   | (I.R.S. Employer Identification No.)                       |
|                                                           |   |                                                       |
|                                                           |   |                                                       |
| 7170 Glover RoadMilner, B.C., Canada  V0X 1T0        |   | 604-888-0420                                               |
| (Address of principal executive offices) (Zip Code)            |   | (Registrant’s telephone number, including area code) |

----

| PART I - FINANCIAL INFORMATION                                            |   2 |
|---------------------------------------------------------------------------|----------|
| ITEM 1.  FINANCIAL STATEMENTS                                        |   2 |
| Results of Operations                                                     |   3 |
| Balance Sheet Data: 10/31/10                                              |   3 |
| Plan of Operation                                                         |   4 |
| ITEM 1.  LEGAL PROCEEDINGS                                           |   6 |
| ITEM 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCCEDS |   6 |
| ITEM 3.  DEFAULTS UPON SENIOR SECURITIES                        |   6 |
| ITEM 4.  REMOVED AND RESERVED                                        |   6 |
| ITEM 5.  OTHER INFORMATION                                           |   6 |

----

PART I - FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

| Balance Sheets                     | F-1 |
|-----------------------------------------|-----|
| Statements of Expenses             | F-2 |
| Statements of Cash Flows           | F-3 |
| Notes to the Financial Statements  | F-4 |

----

|                                                                                                                                    |   | October 31,2010$(unaudited) |     |   | July 31,2010$ |   |
|-----------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------|----------|--------|---------------|--------|
|                                                                                                                                    |   |                        |     |   |          |   |
| ASSETS                                                                                                                                  |   |                        |     |   |          |   |
|                                                                                                                                    |   |                        |     |   |          |   |
| Current Assets                                                                                                                          |   |                        |     |   |          |   |
|                                                                                                                                    |   |                        |     |   |          |   |
| Cash                                                                                                                                    |   |                        | 2,790    |   |          |   | 5,642 |   |
| Prepaid Expenses                                                                                                                        |   |                        | 5,076    |   |          |   | 23,410 |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Total Current Assets                                                                                                                    |   |                        | 7,866    |   |          |   | 29,052 |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Deferred Financing Charges                                                                                                              |   |                        | 250,000  |   |          |   | 250,000 |   |
| Property and Equipment (Note 3)                                                                                                         |   |                        | 13,072   |   |          |   | 13,686 |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Total Assets                                                                                                                            |   |                        | 270,938  |   |          |   | 292,738 |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| LIABILITIES AND STOCKHOLDERS’ EQUITY                                                                                              |   |                        |     |   |          |   |   |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Current Liabilities                                                                                                                     |   |                        |     |   |          |   |   |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Accounts Payable                                                                                                                        |   |                        | 47,162   |   |          |   | 20,685 |   |
| Due to a Related Party (Note 4)                                                                                                         |   |                        | 13,202   |   |          |   | 4,423 |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Total Liabilities                                                                                                                       |   |                        | 60,364   |   |          |   | 25,108 |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Stockholders’ Equity                                                                                                              |   |                        |     |   |          |   |   |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Common StockAuthorized: 100,000,000 common shares, with a par value of $0.001 per shareIssued and outstanding: 49,804,768 common shares |   |                        | 49,805   |   |          |   | 49,805 |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Additional Paid-In Capital                                                                                                              |   |                        | 569,176  |   |          |   | 569,176 |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Accumulated Deficit During the Development Stage                                                                                        |   |                        | (408,407 | )      |          |   | (351,351 | ) |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Total Stockholders’ Equity                                                                                                        |   |                        | 210,574  |   |          |   | 267,630 |   |
|                                                                                                                                    |   |                        |     |   |          |   |   |   |
| Total Liabilities and Stockholders’ Equity                                                                                        |   |                        | 270,938  |   |          |   | 292,738 |   |

----

|                                     |   |  For the Three Months Ended October 31,2010$ |       |   |  For the Three Months Ended October 31,2009$ |   |    | Accumulated from July 3, 2009 (Date of Inception) to October 31,2010$ |   |
|------------------------------------------|--------|---------------------------------------------------|------------|--------|--------------------------------------------------------|--------|---------|----------------------------------------------------------------------------|--------|
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |
| Revenue                                  |   |                                              | –    |   |                                                   |   | – |                                                                       |   |   | – |   |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
| Expenses                                 |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
| Depreciation (Note 3)                    |   |                                              | 614        |   |                                                   |   | – |                                                                       |   |   | 2,859 |   |
| Foreign exchange loss                    |   |                                              | 1,347      |   |                                                   |   | (64     | )                                                                          |   |   | 8,134 |   |
| Impairment of website development costs  |   |                                              | –    |   |                                                   |   | – |                                                                       |   |   | 6,553 |   |
| General and administrative               |   |                                              | 20,911     |   |                                                   |   | 6,629   |                                                                       |   |   | 106,875 |   |
| Professional fees                        |   |                                              | 33,597     |   |                                                   |   | 5,046   |                                                                       |   |   | 160,659 |   |
| Research and development                 |   |                                              | 587        |   |                                                   |   | 389     |                                                                       |   |   | 25,361 |   |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
| Total Expenses                           |   |                                              | 57,056     |   |                                                   |   | 12,000  |                                                                       |   |   | 310,441 |   |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
| Operating Loss                           |   |                                              | (57,056    | )      |                                                   |   | (12,000 | )                                                                          |   |   | (310,441 | ) |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
| Other expenses                           |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
| Interest and accretion expense           |   |                                              | –    |   |                                                   |   | – |                                                                       |   |   | (63,578 | ) |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
| Net Loss                                 |   |                                              | (57,056    | )      |                                                   |   | (12,000 | )                                                                          |   |   | (374,019 | ) |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
| Loss Per Share – Basic and Diluted |   |                                              | –    |   |                                                   |   | (0.03   | )                                                                          |   |   |   |   |
|                                     |   |                                              |       |   |                                                   |   |    |                                                                       |   |   |   |   |
| Weighted Average Shares Outstanding      |   |                                              | 49,804,768 |   |                                                   |   | 400,000 |                                                                       |   |   |   |   |

----

|                                                  |   | For the Three MonthsEnded October 31,2010$ |    |   | For the Three Months Ended October 31,2009$ |   |    | Accumulated from July 3, 2009 (Date of Inception) to October 31,2010$ |   |
|-------------------------------------------------------|--------|--------------------------------------------|---------|--------|---------------------------------------------|--------|---------|---------------------------------------------------------------------------------|--------|
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |
| Operating Activities                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |
| Net loss for the period                               |   |                                       | (57,056 | )      |                                        |   | (12,000 | )                                                                               |   |   | (374,019 | ) |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Adjustments to reconcile net loss to net cash         |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| provided by (used in) operating activities:           |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Accretion of discounts on convertible debentures      |   |                                       | – |   |                                        |   | – |                                                                            |   |   | 47,433 |   |
| Depreciation                                          |   |                                       | 614     |   |                                        |   | – |                                                                            |   |   | 2,859 |   |
| Impairment of website development costs               |   |                                       | – |   |                                        |   | – |                                                                            |   |   | 6,553 |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Changes in operating assets and liabilities:          |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Prepaid expense                                       |   |                                       | 18,334  |   |                                        |   | – |                                                                            |   |   | (4,901 | ) |
| Accounts payable                                      |   |                                       | 26,477  |   |                                        |   | 8,577   |                                                                            |   |   | 31,914 |   |
| Due to related parties                                |   |                                       | 8,779   |   |                                        |   | – |                                                                            |   |   | 13,202 |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Net Cash Used In Operating Activities                 |   |                                       | (2,852  | )      |                                        |   | (3,423  | )                                                                               |   |   | (274,107 | ) |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Investing Activities                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Purchase of property and equipment                    |   |                                       | – |   |                                        |   | – |                                                                            |   |   | (3,242 | ) |
| Cash acquired on recapitalization                     |   |                                       | – |   |                                        |   | – |                                                                            |   |   | 86,401 |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Net Cash Used In Investing Activities                 |   |                                       | – |   |                                        |   | – |                                                                            |   |   | 83,159 |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Financing Activities                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Proceeds from issuance of common shares               |   |                                       | – |   |                                        |   | 2,748   |                                                                            |   |   | 204,536 |   |
| Repayment of loan payable                             |   |                                       | – |   |                                        |   | – |                                                                            |   |   | (7,946 | ) |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Net Cash Provided By Financing Activities             |   |                                       | – |   |                                        |   | 2,748   |                                                                            |   |   | 196,590 |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Increase (Decrease) in Cash                           |   |                                       | (2,852  | )      |                                        |   | (675    | )                                                                               |   |   | 5,642 |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Cash – Beginning of Period                      |   |                                       | 5,642   |   |                                        |   | 1,050   |                                                                            |   |   | – |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Cash – End of Period                            |   |                                       | 2,790   |   |                                        |   | 375     |                                                                            |   |   | 5,642 |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Supplemental Disclosures                              |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Interest paid                                         |   |                                       | – |   |                                        |   | – |                                                                            |   |   | – |   |
| Income tax paid                                       |   |                                       | – |   |                                        |   | – |                                                                            |   |   | – |   |
|                                                  |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Non-cash investing and financing activities:          |   |                                       |    |   |                                        |   |    |                                                                            |   |   |   |   |
| Shares issued for settlement of loan payable          |   |                                       | – |   |                                        |   | – |                                                                            |   |   | 42,500 |   |
| Shares issued for settlement of convertible debt      |   |                                       | – |   |                                        |   | – |                                                                            |   |   | 74,511 |   |
| Shares issued for deposit for financing fee           |   |                                       | – |   |                                        |   | – |                                                                            |   |   | 250,000 |   |
| Loans payable acquired from recapitalization          |   |                                       | – |   |                                        |   | – |                                                                            |   |   | 50,446 |   |
| Convertible debentures acquired from recapitalization |   |                                       | – |   |                                        |   | – |                                                                            |   |   | 58,367 |   |

----

----

|                 |   |   Cost$ |   |   |  AccumulatedAmortization$ |   |   | October 31, 2010Net Carrying Value$(unaudited) |   |   | July 31, 2010Net Carrying Value$ |   |
|----------------------|--------|-------------------|--------|--------|--------------------------------|--------|--------|------------------------------------------------|--------|--------|----------------------------------|--------|
|                 |   |              |   |   |                           |   |   |                                           |   |   |                             |   |
| Production equipment |   |              | 15,529 |   |                           |   | 2,457  |                                           |   |   | 13,072                           |   |   |   | 13,686 |   |
|                 |   |              |   |   |                           |   |   |                                           |   |   |                             |   |   |   |   |   |
|                 |   |              | 15,529 |   |                           |   | 2,457  |                                           |   |   | 13,072                           |   |   |   | 13,686 |   |

|                                                        |   | Number ofWarrants |    |   | Weighted Average Exercise Price$ |   |
|-------------------------------------------------------------|--------|-------------------|---------|--------|----------------------------------|--------|
|                                                        |   |              |    |   |                             |   |
| Balance, July 3, 2009 (Date of Inception) and July 31, 2009 |   |              | – |   |                             |   | – |   |
|                                                        |   |              |    |   |                             |   |   |   |
| Issued                                                      |   |              | 371,500 |   |                             |   | 1.18 |   |
|                                                        |   |              |    |   |                             |   |   |   |
| Balance, July 31, 2010 and October 31, 2010 (unaudited)     |   |              | 371,500 |   |                             |   | 1.18 |   |

| Number of Warrants | Exercise Price$ | Expiry Date       |
|--------------------|-----------------|-------------------|
|               |            |              |
| 49,000             | 1.50            | March 25, 2011    |
| 10,000             | 1.50            | March 30, 2011    |
| 12,500             | 1.50            | April 30, 2011    |
| 50,000             | 1.25            | December 17, 2011 |
| 250,000            | 1.08            | February 10, 2012 |
|               |            |              |
| 371,500            |            |              |

----

Results of Operations

| Balance Sheet Data:  |   | 10/31/10 |    |
|----------------------|--------|----------|---------|
| Cash                 |   | $        | 2,790   |   |
| Fixed assets         |   | $        | 13,072  |   |
| Total assets         |   | $        | 270,938 |   |
| Total liabilities    |   | $        | 60,364  |   |
| Shareholders' equity |   | $        | 210,574 |   |

----

Plan of Operation

| Description                                               | Potential Completion Date | Estimated Expenses ($) |
|-----------------------------------------------------------|---------------------------|-----------------------------|
| Seedling purchases                                        | 12 months                 | 96,000                      |
| Packaging                                                 | 12 months                 | 76,800                      |
| Direct cost of sales (including research and development) | 12 months                 | 979,200                     |
| Shipping                                                  | 12 months                 | 225,000                     |
| Payroll                                                   | 12 months                 | 350,000                     |
| Advertising and marketing                                 | 12 months                 | 370,000                     |
| General and administrative expenses                       | 12 months                 | 204,800                     |
| Total                                                     |                      | 2,301,800                   |

----

----

ITEM 1. LEGAL PROCEEDINGS

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

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

ITEM 4. REMOVED AND RESERVED.

ITEM 5. OTHER INFORMATION

| Exhibit No. | Description                                           |
|-------------|-------------------------------------------------------|
| 31.1        | Sec. 302 Certification of Principal Executive Officer |
| 31.2        | Sec. 302 Certification of Principal Financial Officer |
| 32.1        | Sec. 906 Certification of Principal Executive Officer |
| 32.2        | Sec. 906 Certification of Principal Financial Officer |

----

| December 15, 2010  |   | Urban Barns Foods Inc.                                                 |
|-------------------------|--------|------------------------------------------------------------------------|
|                    |   |                                                                   |
|                    | By:    | /s/ Jacob Benne                                                        |
|                    |   | Jacob Benne                                                            |
|                    |   | (Chief Executive Officer, President, & Director)                   |
|                    |   |                                                                   |
|                    | By:    | /s/ Daniel Meikleham                                                   |
|                    |   | Daniel Meikleham                                                       |
|                    |   | (Chief Financial Officer, Principal Accounting Officer & Director) |