SECURITIES AND EXCHANGE COMMISSION
                      Washington, DC 20549

                           FORM 10-KSB
    ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
                      EXCHANGE ACT OF 1934

      For the fiscal year ended December 31, 2000.

                Commission File Number: 000-28481




                DIGITAL VIDEO DISPLAY TECHNOLOGY CORP.
     (Exact name of registrant as specified in its charter)




       Nevada                              86-0891931
(State of organization)        (I.R.S. Employer Identification No.)

               590 Madison Avenue- 21st Floor
               New York New York 10022
          (Address of principal executive offices)

Company's telephone number, including area code: (212) 521-4075

Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act during the past 12 months and (2) has been
subject to such filing requirements for the past 90 days. Yes X

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

There are 23,250,000 shares of common stock outstanding as of December 31, 2000.
The shares are traded on the OTC Bulletin Board, under the symbol "DVDT".

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. X.

State issuer's revenues for its most recent fiscal year: $_______

State the aggregate market value of the voting and non-voting common equity held
by non-affiliates computed by reference to the price at which the common equity
was sold, or the average bid and asked price of such common equity, as of a
specified date within the past 60 days. On March 30, 2001, the aggregate market
value was $ .15




<PAGE>





                       TABLE  OF  CONTENTS
                       -------------------

              Part  I

Item  1     Description of Business.........................................2


Item  2     Description of Property.........................................6

Item  3     Legal Proceedings...............................................6


              Part  II

Item  4     Market for Common Equity and Related Stockholder Matters........6


Item  5     Management's Discussion and Analysis of Plan of Operations......6


Item  6     Financial Statements............................................6


Item  7     Changes in and Disagreement with Accountants on Accounting
            and Financial Disclosure........................................6



              Part  III

Item  8     Directors, Executive Officers, Promoters and Control Persons;...7



Item 9     Security Ownership of Certain Beneficial Owners and
            Management......................................................9


           Signature Page...................................................10


           Audit Report.....................................................F-1





                                       1


<PAGE>


            PART I
            ======

Item  1     DESCRIPTION OF BUSINESS
            =======================

BACKGROUND  AND  REORGANIZATION
-------------------------------
Digital Video Display Technology Corp. (Company) was incorporated under the laws
of the State of Nevada on August 1, 1997, under the name Meximed Industries. On
January 27, 1999, Company filed an Amendment to its Articles of Incorporation
changing its name to Digital Video Display Technology Corp.

Company was initially formed to engage in the business of developing, producing
and distributing a non-reusable medical syringe. In July 1998, Company raised a
total of $200,000 in a public offering pursuant to an exemption provided by Rule
504 of Regulation D, promulgated under the Securities Act of 1933, as amended.
The offering was approved for sale by The New York State Department of Law.
After recognizing the syringe project was going to be far too expensive and
difficult to pursue, Company began looking for another business to acquire.

In January 1999, Company completed a reorganization and change in control and
acquired a License to a U.S. Patent for proprietary technology for an audio
video jukebox system from Software Control Systems International Inc., a
Canadian corporation and unrelated third party (SCSI). As consideration for the
License, Company agreed to pay SCSI the sum of $250,000 U.S. in cash and issued
SCSI 2,000,000 shares of its restricted common stock. The License is for a term
of 15 years and grants Company an exclusive right to market and sell the SCSI
proprietary technology and products throughout Canada and the states of Oregon,
Washington, Montana, Idaho and Hawaii. Subsequently, on May 10, 1999, registrant
entered into a Distributor Agreement with SCSI granting SCSI the right to act as
a distribution agent for Company. Pursuant to the Agreement, Company will supply
SCSI a minimum of 500 jukebox systems at a price of $7,500 which may be paid in
full at the time of delivery or at the rate of $150 per month for 60 months.



BUSINESS OVERVIEW


Digital Video Display Technologies Corporation ("DVDT") is a New Media company
providing specialized content-(high-resolution digital video music and audio,
interactive media, sports content, etc.) on-demand. The company is utilizing
digital technology to revolutionize the delivery of merchandise to the consumer
- providing a multimedia, interactive entertainment experience for a consumer in
the digital age.

Our Company engages in the following primary area of business activity, which is
discussed more fully in the section called "Business-General" below:

o    The design,  manufacture,  and distribution of  location-based  Interactive
     Video Music/Merchandising Centers (Video Jukeboxes)
o    The  creation   and   acquisition   of  original   and  unique   electronic
     entertainment content
o    The research, development and utilization of New Media technologies




                                       2
<PAGE>

BUSINESS-GENERAL

Using content-on-demand digital technology, we have focused our business
operations on four distinct markets:

1) VIDEO JUKEBOXES

DVDT's core business is the design, manufacture, distribution and sale of its
Interactive Video Music/Merchandising Centers (Video Jukeboxes) to provide
CONTENT-ON-DEMAND to bars, restaurants and other entertainment establishments.
Utilizing advanced multi-stream advertising and remote digital video server
technologies, DVDT's Video Jukeboxes deliver DVD quality music videos,
advertising, specialty promotional merchandise, interactive consumer
communications and e-commerce capabilities via a remote high-speed DSL/Server
network. Simply stated, not only can patrons purchase music selections, Video
Jukeboxes actually enable customers to buy products and services as they would
on the Internet.

The company's centralized server controls and provides these remote location
based units with interactive content, merchandising, advertising and promotions
for the consumer. DVDT's server side technology allows us to customize the
content at a given venue on the fly from remote server locations based on a
given audience's demographics. At the same time, our technology allows
advertisers to tailor their messages quickly and easily based on the same
audience's characteristics. The speed and ease with which delivered content can
be refined is one of the Video Jukebox's greatest strengths.


REVENUE COMPONENTS

We project our revenues will be derived from three primary sources, in the
following percentages:

1) Manufacture and Sale of Units (43%)
2) Advertising, Merchandising (E-Commerce), and promotions (56%)
3) Specialty Programming (1%).


BUSINESS TRANSACTIONS AND ACTIVITIES

The Company has established various business relationships which it feels will
help further its business plans and objectives. These include:

o    Investigating  potential  acquisitions of several rapidly growing companies
     developing vertical technologies.
o    Negotiating  for the licensed use of video  content from the big six record
     companies  associated  with the jukebox  industry.  This  agreement will be
     expanded to include the pay-for-use (purchase) video retail market.


PLANNED FUTURE EXPANSION

MARKET PENETRATION
It is estimated that by the end of 2002 DVDT will have 30-50,000 Video Jukeboxes
in place for distributors. These are replacements for the approximately 350,000
location based Jukeboxes, of which DVDT plans to have 10-15% of the locations in
three years. The motivation for these replacements will be the significantly
higher revenue generated through advertising revenue and merchandising of video
jukeboxes.


SERVICE  AND  SUPPORT
---------------------
The DVD Jukebox System will be sold with a content, service, maintenance, and
management contract which will be subcontracted to an independent third party.
Company has been verbally negotiating with several large, well-established
independent service organizations which offer seven-day a week, 24-hour a day
maintenance and service. Company feels service will be a primary concern to
location owners who have installed or are contemplating installing a jukebox.



                                       3

<PAGE>

INDUSTRY  BACKGROUND
--------------------
Currently, the conventional jukebox industry generates over $2.5 billion per
year in coin drop revenues in the United States alone (Vending Times, 1998).
There are approximately 350,000 jukeboxes operating in the United States. The
average jukebox generates revenues of approximately $600 per month based on
1,800 selections played. Currently there are approximately 50 large distributors
and 7,500 operators managing this business.

The business model for the jukebox industry has been under tremendous pressure
over the past five years due to the emergence of broadcast music video, video
game narrowcast networks, and other media competing for the attention of
consumers. In addition, certain basic economic factors must be considered in
evaluating any entry into the jukebox industry, which are set forth below:

-    The cost for audio  plays has  remained  static at three plays for a $1.00.
     (This number is trending downward to as low as 5 plays for $1.00.)
-    The average  play time of a jukebox is 7,200  minutes  per month,  based on
     1,800  plays  within a 13 hour day,  six days a week.  The  total  playtime
     possible within this timeframe is 20,280 minutes.
-    A cost efficient video jukebox does not exist in the market today.
-    Service, maintenance, and content-update costs continue to rise.
-    Theft, and pilferage continue to be on the rise.
-    Intense  competition  for  prime  locations  continue  to  erode  operating
     margins.

Any entrant into the jukebox industry must be prepared to operate within these
parameters and to cooperate with the current distributors, while at the same
time introducing cutting edge technology into the industry to obviate potential
competitive technologies. Today, in this industry, jukebox manufacturers all
suffer from technological obsolescence.

COMPETITION
-----------
Company's primary competitors are manufacturers of conventional jukeboxes. The
largest manufacturers of conventional jukeboxes and their estimated market share
as of 1997 are the following companies:

         Rowe International, Grand Rapids, Michigan:        40%
         NSM America, Bensenville, Illinois:                25%
         Rock-Ola Manufacturing, Torrance California:       25%
         Wurlitzer Jukebox, Gurnee Illinois:                10%

Company has not been able to identify any competitors with technology comparable
or similar to the DVD Juke System . However, all of Company's primary
competitors are substantially larger and have significantly greater financial
resources than Company. In addition, their distribution channels are fully
established and their brand names are well-known.

In 1997, manufacturers sold approximately 22,000 jukebox units for a total
retail value of $132 million. The average retail price of a jukebox, loaded with
content, was $6,000 per unit.

Company has identified other competition for the DVD Juke System, primarily from
audio music private networks, cable and satellite. Examples are MTV, MuchMusic,
and VH1. Because these companies have entirely different distribution and
pricing models than the conventional electro-mechanical jukebox companies,
direct comparisons cannot be made.




                                       4


<PAGE>

MARKETING PLAN
--------------
Company intends to aggressively market the superior technology of the DVD
Jukebox System. Its initial goal is to replace approximately 10%-15% of the
350,000 conventional jukeboxes located primarily in bars and restaurants with
the DVD Juke System within the next 3 years, as more fully described below.
Company believes it can accomplish this goal by forming business relationships
with the top distributors in the jukebox industry by offering a unique split of
the coin drop revenues generated by the DVD Jukebox System, thereby enhancing
the total revenue generated by its partners within the industry. However,
Company has not yet formed any such business relationships. Company will also
attempt to expand the market for the DVD Jukebox System beyond bars and
restaurants to fast food restaurants, colleges, shopping centers, etc.

The incentives provided to distributors for forging such relationships will be
(i) significant new revenue potential from their distribution network, (ii)
exclusive territorial boundaries granted by Company, thereby ensuring maximum
penetration of the new product, (iii) long-term access to new video products and
(iv) access to the entertainment, e-commerce business. In addition, Company has
addressed the problems of the industry as follows:

-    By providing  video,  the cost per play can be increased to two  selections
     for $1.00, thereby increasing the pay-for-play revenue


-    The industry will have a state-of-the-art  product for their locations that
     is revenue generating, versus subscription or cost

-    The  distributors  will have a product  that they can expand  into many new
     channels of distribution, such as hotels, malls, fast

Company intends to work closely with its distributors in marketing the DVD
Jukebox System to the bars and restaurants that commonly have jukeboxes.


MANUFACTURING  AND  DISTRIBUTION
--------------------------------
Company has established business relationships with some distributors in the
jukebox industry and has verbal agreements with certain distributors and written
agreements with additional distributors to market the DVD Jukebox System to the
locations that they service.


PATENTS  AND  COPYRIGHT  PROTECTION
-----------------------------------
Company has also developed additional technology of its own which is utilized in
the DVD Jukebox System, and continues to develop technology to further enhance
the DVD Jukebox System. The software comprising the DVD Jukebox System will be
covered by appropriate patent protection and copyright registration.


ADDITIONAL  INFORMATION
-----------------------
The Company intends to provide annual reports to its security holders, and to
make quarterly reports available for inspection by its security holders. The
annual report will include audited financial statements.

The Company is subject tothe informational requirements of the Securities
Exchange Act of 1934 (the Exchange Act) and, in accordance therewith, will file
reports, proxy statements and other information with the Commission. Such
reports, proxy statements and other information may be inspected at public
reference facilities of the Commission at Judiciary Plaza, 450 Fifth Street
N.W., Washington D.C. 20549; Northwest Atrium Center, 500 West Madison Street,
Suite 1400, Chicago, Illinois 60661; 7 World Trade Center, New York, New York,
10048; and 5670 Wilshire Boulevard, Los Angeles, California 90036. Copies of
such material can be obtained from the Public Reference Section of the
Commission at Judiciary Plaza, 450 Fifth Street N.W., Washington, D.C. 20549 at
prescribed rates.


                                       5

<PAGE>

ITEM  2.  DESCRIPTION  OF  PROPERTY
          =========================
The Company owns no property.


ITEM  3.     LEGAL  PROCEEDINGS
             ==================
Merrill Lynch Canada Inc., has filed suit against the Company regarding a
dispute related to the sale of its restricted common stock by an unrelated third
party to Merrill Lynch. The case is still in its early stages and the Company is
trying to reach a settlement with Merrill Lynch. At this time the Company does
not know if it will sustain a loss, or the amount of the loss.

The Company is a defendant in an action by a former employee regarding his
employment contract. The Company intends to defend this suit vigorously and
expects a positive outcome.


            PART II
            =======


Item  4     MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS
            ========================================================

The Company's shares of Common Stock are traded on the OTC Bulletin Board. The
High/Low bid quotations for the period ending December 31, 1999, was $.05/$.03.



ITEM  5.  MANAGEMENT  DISCUSSION  AND  ANALYSES
          ======================================

FORWARD-LOOKING STATEMENTS
--------------------------
This Form 10-KSB contains forward-looking statements that involve risks and
uncertainties. The statements contained in this document that are not purely
historical are forward-looking statements, including without limitation,
statements regarding the Company's expectations, beliefs, plans, intentions,
projections or strategies regarding the future. All forward-looking statements
included in this document are based on information available to the Company on
the date hereof, and the Company assumes no obligation to update any such
forward-looking statements. The Company's actual results may differ materially
as a result of certain factors, including those set forth elsewhere in this
document. These forward-looking statements are made under the safe-harbor
provisions of applicable securities laws, rules and regulations.


ITEM  6.     FINANCIAL  STATEMENTS
             =====================

The audited  financial  statements  for  the twelve-month period ended
December  31,  2000, prepared by Mark Bailey & Co. Ltd., and expressed in
U.S. Dollars, immediately follow.


ITEM  7.     CHANGES  IN  AND  DISAGREEMENTS  WITH  ACCOUNTANTS
             ==================================================

The Company has not had any changes in or disagreements with Accountants since
inception.



                                       6

<PAGE>

          PART III
          ========

ITEM  8.  DIRECTORS,  EXECUTIVE  OFFICERS,  PROMOTERS  AND  CONTROL  PERSONS;
          COMPLIANCE WITH SECTION 16 (a) OF THE EXCHANGE ACT
          ==================================================================

The following table sets forth the names, ages and positions of the Directors
and Executive Officers of the Company:

Name and Address                 Age           Position(s) Held (1)
----------------                 ---           --------------------
R. A. Moss                                     Chief Operating Officer
590 Madison Avenue
New York, NY 10022

Marilyn G. Haft                   56            Secretary, Treasurer,
111 West 40th Street                            Executive Vice President and
11th Floor                                      Director
New York, NY 10018


Each director of the Company is elected by the stockholders to a term of one one
year and serves until his successor is elected and qualified. Each officer of
the Company is elected by the Board of Directors to a term of one one year and
serves until his successor is duly elected and qualified, or until he is removed
from office. The Board of Directors has no nominating, auditing or compensation
committees.

BACKGROUND  OF  OFFICERS  AND  DIRECTORS
----------------------------------------

R. A. Moss - Chief Operations Officer

R. A.  Moss is the  founder  of Aspyre  Internet  Group.  An expert in  Internet
technology, design and marketing.


Marilyn G. Haft - Ms. Haft has been the Secretary, Treasurer, Executive Vice
President and a Director of the Company since January 1999. From October 1998,
she has also been Of Counsel with The Marshall Firm, in New York City, New York.
From March 1996 to December 1997, she was a Partner with Look Here Pictures,
Inc. in New York. From June 1994 to March 1996, she was General Counsel for
Dover Film Finance Group Ltd., a financial services company that provides
short-term funding requirements for major film studios, independent film
producers and distributors, cable and record companies. In that role, Ms. Haft
acted as a liaison with the CEOs and CFOs of film companies, guiding them
through the financing structure, and conducted due diligence on all contractual
and cash flow aspects of film distribution from theatrical, home video, pay and
free television, pay-per view and ancillary rights. She also oversaw all legal
issues and documentation for Dover programs.



                                       7


<PAGE>

Ms. Haft was a law partner of Tanner, Propp & Farber, a partner of Fischbein,
Badillo, Wagner and Itzler and Of Counsel to Summit, Rovins and Feldesman. She
also acted as a test case constitutional law litigator on the national level for
a period of six years. Ms. Haft served in the Carter Administration in the
following capacities: Associate Director of the Office of Public Liaison in the
White House, Deputy Counsel to Vice President Walter Mondale in the White House
and U.S. Representative to the United Nations. She ran the New York City primary
campaign for Carter/Mondale in 1980.

She has been an award-winning independent film producer and worked at NBC News
and ABC News on content and production. She is also an author of general
non-fiction works, including legal works. She has been an adjunct professor of
law at New York University School of Law and is an adjunct professor at NYU's
Tisch School of the Arts Graduate Film and TV program where she teaches
entertainment law and business to third year film graduate students. Ms. Haft is
a graduate of the New York University School of Law and a member of the bar in
New York State, the District of Columbia and the U.S. Supreme Court. She
received a B.A. in 1965 from Brooklyn College and her J.D. from New York
University in 1968. She devotes her time as required to the business of the
Company.



               OPTION/SAR  GRANTS  IN  LAST  FISCAL  YEAR
               ------------------------------------------

In March 1999, the Company granted the following stock options to the following
officers and/or directors as compensation and incentives for services rendered
to the Company:


                                     PERCENT
                                    OF TOTAL
                   NUMBER OF         OPTIONS/
                   SECURITIES        SARS
                   UNDERLYING        GRANTED         EXERCISE      DATE OF
NAME OF HOLDER     GRANTED (#)       FISCAL YR       PRICE         EXERCISE
--------------     ----------       ----------      ---------      --------

Marilyn Haft         500,000           40%          $4.00/Share    Until 4/30/09


(1) These percentages are based on the total number of option shares granted
since inception.

Any shares acquired through exercise of these options shall be restricted shares
and may not, under any circumstances, be registered or in any way become free
trading until two years from the date the shares are acquired through exercise
of the option. The records of the stock transfer agency, as well as any
certificates issued upon exercise of these options shall contain said
restrictive legend.

There are no other bonus, pension, deferred compensation, long-term incentive
plans or awards, or any other similar plans for executive officers and/or
directors of the Company






                                       8

<PAGE>

ITEM  9.  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
          ==============================================================

The following table sets forth information regarding the shares of the Company's
Common Stock, par value $.001, beneficially owned for (i) each stockholder known
by the Company to be the beneficial owner of 5% or more of the Company's issued
and outstanding Common Stock; (ii) each of the Company's officers and directors;
and (iii) all officers and directors as a group. At December 31, 2000, there
were 23,250,000 shares of Common stock outstanding.


                                                 Amount &
                                                 Nature of
                                     Title       Beneficial      Percent of
Name and address                    Of Class     Ownership         Class
-----------------                  ----------   -----------      ----------

Marilyn G. Haft                   Common Stock      500,000(1)        2%
111 West 40th Street,
11th Floor
New York, NY 10018

All officers and directors
as a group                                          500,000           2%

--------------------------
(1) Includes stock options to purchase up to 500,000 shares of common stock at
$4.00 per share until April 30, 2009.

There are no arrangements, known to the Company, including any pledge by any
person of securities of the Company, which may, at a subsequent date, result in
a change in control of Company.


FUTURE  SALES  BY  EXISTING  STOCKHOLDERS
-----------------------------------------
All shares of Common Stock of Company are "restricted securities", as that term
is defined in Rule 144 of the Rules and Regulations of the SEC promulgated under
the Act ("Rule 144"), save and except the shares which were issued under a
public offering in the State of New York, pursuant to an exemption provided by
Rule 504 of Regulation D, promulgated under the Securities Act of 1933, as
amended, which are not "restricted securities" under Rule 144 and can be
publicly sold, except for those Shares purchased by "affiliates" of the Company,
as that term is defined in Rule 144.

Under Rule 144, restricted shares can be publicly sold, subject to volume
restrictions and certain restrictions on the manner of sale, commencing one (1)
year after their acquisition. Sales of shares by "affiliates" are subject to
volume restrictions and certain other restrictions pertaining to the manner of
sale, all pursuant to Rule 144.





                                       9

<PAGE>



                                   SIGNATURES



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


                                        DIGITAL VIDEO DISPLAY TECHNOLOGIES, INC.


Dated:  April 17, 2001                  By:/s/R.A. MOSS
                                           ----------------------------------
                                           R.A. Moss, Chief Executive Officer
















                                       10


<PAGE>


                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION

                          (A DEVELOPMENT STAGE COMPANY)

                              FINANCIAL STATEMENTS

                               FOR THE YEARS ENDED

                        DECEMBER 31, 2000, 1999, AND 1998

                                      WITH

                                 AUDIT REPORT OF

                          CERTIFIED PUBLIC ACCOUNTANTS






<PAGE>




                                TABLE OF CONTENTS


Independent Auditors' Report on the Financial Statements..................F-2
Balance Sheets............................................................F-4
Statements of Operations..................................................F-5
Statements of Changes in Stockholders' Equity.............................F-6
Statements of Cash Flows..................................................F-7
Notes to Financial Statements.............................................F-9





















                                      F-1


<PAGE>




                             MARK BAILEY & CO. LTD.

                          Certified Public Accountants
                             Management Consultants


        OFFICE ADDRESS:                                        MAILING ADDRESS:
1495 Ridgeview Drive, Ste. 200       Phone: 775/332.4200        P.O. Box 6060
    Reno, Nevada 89509-6634           Fax: 775/332.4210       Reno, Nevada 89513



                          INDEPENDENT AUDITORS' REPORT

March 15, 2001

Board of Directors
Digital Video Display Technology Corporation

We have audited the accompanying balance sheets of Digital Video Display
Technology Corporation (a Company in the development stage) as of December 31,
2000, and 1999, and the related statements of operations, stockholders' equity,
and cash flows for the years ended December 31, 2000, 1999, and 1998. These
financial statements are the responsibility of the Company's management. Our
responsibility is to express an opinion on these financial statements based on
our audits.

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

In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Digital Video Display
Technology Corporation (a Company in the development stage), as of December 31,
2000, and 1999, and the results of its operations and its cash flows for the
years ended December 31, 2000, 1999, and 1998, in conformity with accounting
principles generally accepted in the United States.

The accompanying financial statements have been prepared assuming that the
Company will continue as a going concern. As described in Note 1 to the
financial statements, the Company is in the development stage, and existing cash
and available credit are insufficient to fund the Company's cash flow needs for
the next year. Management's plans in regard to these matters are also described
in Note 1. The financial statements do not include any adjustments that might
result from the outcome of this uncertainty.



                                      F-2

<PAGE>


As more fully described in Note 1, subsequent to the issuance of the company's
December 31, 1999, financial statements and our report thereon dated May 31,
2000, we became aware that those financial statements did not reflect the
issuance of the line of credit to pay for expenses. In our original report we
expressed an unqualified opinion on the December 31, 1999, financial statements,
and our opinion on the revised statements, as expressed herein remains
unqualified.




Mark Bailey & Co., Ltd.
Reno, Nevada











                                      F-3
<PAGE>
<TABLE>
<CAPTION>


                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                                 BALANCE SHEETS
                           December 31, 2000 and 1999


                                     ASSETS
                                                                    DECEMBER 31, 2000            DECEMBER 31, 1999
                                                                    -----------------            -----------------
<S>                                                                 <C>                          <C>
CURRENT ASSETS
    Cash                                                            $               -            $           2,079
    Interest receivable                                                             -                           11
                                                                    -----------------            -----------------
        Total current assets                                                        -                        2,090
                                                                    -----------------            -----------------

FIXED ASSETS
    Ofice equipment                                                            65,203                            -
    Accumulated depreciation                                                   (5,562)                           -
                                                                    -----------------            -----------------
        Total fixed assets                                                     59,641                            -
                                                                    -----------------            -----------------

OTHER ASSETS
    Deposits                                                                      600                          600
    Other assets (net of accumulated amortization of
        $0 and $16,500 )                                                            -                      253,500
    Deferred tax assets (net of valuation allowance
        of $726,818 and $255,891)                                                   -                            -
                                                                    -----------------            -----------------
        Total assets                                                $          60,241            $         256,190
                                                                    =================            =================


                      LIABILITIES AND SHAREHOLDERS' EQUITY

CURRENT LIABILITIES
    Accounts payable                                                $         568,014                    $ 206,453
    Bank overdraft payable                                                     27,887                            -
    Related party payable                                                     362,500                      107,500
    Interest payable                                                           91,713                       16,706
    Accrued expenses                                                           98,009                            -
    Line of credit                                                            704,581                      290,700
    Patent right payable                                                            -                      250,000
                                                                    -----------------            -----------------
        Total current and total liabilities                                 1,852,704                      871,359
                                                                    -----------------            -----------------

COMMITMENTS AND CONTINGENCIES

STOCKHOLDERS' EQUITY
    Common stock, $.001 par value, 100,000,000 shares
        authorized, 21,423,000 and 23,250,000 shares issued
        and outstanding in 2000 and 1999, respectively                         21,423                       23,250
    Additional paid-in-capital                                                323,815                      193,885
    Deficit accumulated during the development stage
        including 1999 net loss as restated                                (2,137,701)                    (832,304)
                                                                    -----------------            -----------------
        Total stockholders' equity                                         (1,792,463)                    (615,169)
                                                                    -----------------            -----------------
        Total liabilities and stockholders' equity                  $          60,241            $         256,190
                                                                    =================            =================
</TABLE>


The Accompanying Notes are an Integral Part of These Financial Statements


                                      F-4


<PAGE>

<TABLE>
<CAPTION>


                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                            STATEMENTS OF OPERATIONS
             For the Years Ended December 31, 2000, 1999, and 1998



                                           CUMULATIVE DURING        YEAR ENDED            YEAR ENDED               YEAR ENDED
                                           DEVELOPMENT STAGE      DECEMBER 31,2000      DECEMBER 31,1999         DECEMBER 31,1998
                                           -----------------      ----------------      ----------------         ----------------
<S>                                         <C>                     <C>                    <C>                     <C>
REVENUE

OPERATING COSTS AND EXPENSES
    Operating and administrative expenses
       (as restated for 1999 and 1998)      $ (2,118,906)           $ (1,316,383)          $ (767,012)             $ (34,513)
    Depreciation expense                          (5,562)                 (5,562)                   -                      -
    Amortization expense                         (16,500)                      -              (16,500)                     -
                                            -------------           -------------          -----------             ----------
       Total operating costs and expenses     (2,140,968)             (1,321,945)            (783,512)               (34,513)

NON-OPERATING INCOME
    Dividend income                                1,212                     951                  261                      -
    Gain on cancellation of contracts             90,604                  90,604                    -                      -
    Gain on cancellation of stock                 10,000                       -               10,000                      -
                                            -------------           -------------          -----------             ----------
       Total non-operating income                101,816                  91,555               10,261                      -

INTEREST EXPENSE (1999 as restated)              (98,549)                (75,007)             (23,542)                     -
                                            -------------           -------------          -----------             -----------


       Net loss (1999 and
       1998 as restated)                    $ (2,137,701)           $ (1,305,397)          $ (796,793)             $ (34,513)
                                            =============           =============          ============            ===========

       Loss per share (1999 and
       1998 as restated)                    $    (0.1011)           $    (0.0611)          $  (0.0347)             $ (0.0009)
                                            =============           =============          ============            ===========

</TABLE>


The Accompanying Notes are an Integral Part of These Financial Statements


                                      F-5

<PAGE>

<TABLE>
<CAPTION>
                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                 STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
             For the Years Ended December 31, 2000, 1999, and 1998


                                                                                            ACCUMULATED
                                                                              ADDITIONAL   DEFICIT DURING
                                                            COMMON STOCK       PAID-IN      DEVELOPMENT      TOTAL
                                                         SHARES     AMOUNT     CAPITAL         STAGE         EQUITY
<S>                                                   <C>         <C>        <C>         <C>            <C>
Issuance of shares to Company's officers and
    directors for cash in August 1997
    at $.01 per share                                  1,000,000  $  1,000   $   9,000   $          -   $     10,000

Net loss                                                       -         -           -           (998)          (998)
                                                      ----------  --------   ---------   ------------   ------------

Balance at December 31, 1997                           1,000,000     1,000       9,000           (998)         9,002

Issuance of shares for cash from an offering in
    April 1998 at $.20 per share (less offering
    costs of $5,365)                                   1,000,000     1,000     193,635              -        194,635

Issuance of shares to a related company for
    distribution rights, valued at the fair market
    value of the shares issued, in May 1998 at $.20
    per share                                            100,000       100      19,900              -         20,000

Net loss (as restated )                                        -         -           -        (34,513)       (34,513)
                                                      ----------  --------   ---------   ------------   ------------

Balance at December 31, 1998                           2,100,000     2,100     222,535        (35,511)       189,124

Cancellation of the stock issued to the officers,
    directors, and the related company in
    January 1999                                      (1,100,000)   (1,100)    (28,900)                      (30,000)

Stock split of 21:1 for the outstanding stock,
    retaining original par value, in January 1999     20,000,000    20,000     (20,000)             -              -

Issuance of shares for patent rights, valued at
    the fair market value of the shares issued, in
    February 1999 at $.01 per share                    2,000,000     2,000      18,000              -         20,000

Issuance of shares for consulting services, valued
    at the fair market value of the services
    received, in July 1999 at $.01 per share             250,000       250       2,250                         2,500

Net loss  (as restated)                                        -         -           -       (796,793)      (796,793)
                                                      ----------  --------   ---------   ------------   ------------

Balance at December 31, 1999                          23,250,000    23,250     193,885       (832,304)      (615,169)

Issuance of shares for consulting services, valued
    at the fair market value of the services
    received in January 2000                              75,000        75      74,528                        74,603

Cancellation of shares issued for the patent rights
    in February 2000                                  (2,000,000)   (2,000)    (18,000)                      (20,000)

Issuance of shares for consulting services, valued
    at the fair market value of the services
    received in July 2000                                 98,000        98      73,402                        73,500

Net loss                                                                                   (1,305,397)    (1,305,397)
                                                      ----------  --------   ---------   ------------   ------------

Balance at December 31, 2000                          21,423,000  $ 21,423   $ 323,815   $ (2,137,701)  $ (1,792,463)
                                                      ==========  ========   =========   ============   ============
</TABLE>

The Accompanying Notes are an Integral Part of These Financial Statements


                                      F-6

<PAGE>
<TABLE>
<CAPTION>
                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                            STATEMENTS OF CASH FLOWS
             For the Years Ended December 31, 2000, 1999, and 1998

                                                    CUMULATIVE DURING       YEAR ENDED          YEAR ENDED           YEAR ENDED
                                                    DEVELOPMENT STAGE    DECEMBER 31,2000    DECEMBER 31,1999     DECEMBER 31,1998

<S>                                                    <C>                  <C>                   <C>                 <C>
CASH FLOWS FROM OPERATING ACTIVITIES
    Net loss (1999 and 1998 as restated)               $ (2,137,701)        $ (1,305,397)         $ (796,793)         $ (34,513)

    Adjustments to reconcile net loss to net
       cash used in operating activities

       Depreciation expense                                   5,562                5,562
       Amortization expense                                  16,500                    -              16,500                  -
       Gain on cancellation of amortization                 (16,500)             (16,500)
       Gain from cancellation of common stock               (10,000)                   -             (10,000)                 -
       (Increase) decrease in interest receivable                 -                   11                 (11)                 -
       Increase in deferred tax asset                      (726,818)            (470,927)           (243,818)           (11,733)
       Increase in accounts payable                         559,656              353,203             181,453             25,000
       Increase in related party payable                    362,500              255,000             107,500                  -
       Increase in interest payable (1999 as restated)       91,713               75,007              16,706                  -
       Increase in deferred tax valuation allowance         726,818              470,927             243,818             11,733
       Increase in accrued expenses                          98,009               98,009                   -                  -
       Expenses paid by issuance of
         common stock                                       150,603              148,103               2,500                  -
                                                       ------------         ------------          ----------          ---------
       Net cash used in operating activities               (879,658)            (387,002)           (482,145)            (9,513)
                                                       ------------         ------------          ----------          ---------

CASH FLOWS FROM INVESTING ACTIVITIES
       Increase in deposits                                    (600)                   -                (600)                 -
       Purchase of capital assets                           (56,845)             (56,845)
                                                       ------------         ------------          ----------          ---------
       Net cash used in investing activities                (57,445)             (56,845)               (600)                 -
                                                       ------------         ------------          ----------          ---------

CASH FLOWS FROM FINANCING ACTIVITIES
    Proceeds received from issuance of stock                204,635                    -                   -            194,635
    Deferred offering costs                                       -                    -                   -              4,865
    Proceeds received from bank overdraft                    27,887               27,887                   -
    Proceeds received from line of credit (1999
         as restated)                                       704,581              413,881             290,700                  -
                                                       ------------         ------------          ----------          ---------
       Net cash provided by financing activities            937,103              441,768             290,700            199,500
                                                       ------------         ------------          ----------          ---------

       Net increase (decrease) in cash                            -               (2,079)           (192,045)           189,987

       Cash at December 31, 1999, 1998 and 1997                   -                2,079             194,124              4,137
                                                       ------------         ------------          ----------          ---------
       Cash at December 31, 2000, 1999 and 1998                 $ -                  $ -             $ 2,079          $ 194,124
                                                       ============         ============          ==========          =========
</TABLE>

The Accompanying Notes are an Integral Part of These Financial Statements


                                      F-7

<PAGE>


                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                            STATEMENTS OF CASH FLOWS
              For the Years Ended December 31, 2000, 1999, and 1998



SUPPLEMENTARY AND NON CASH INFORMATION
In January 2000 the company issued an account payable for $8,358 for the
purchase of capital assets.

In February 2000 the Company issued 75,000 shares of restricted common stock for
consulting services with a fair market value of $74,603.

In June 2000 the company issued 98,000 shares of common stock valued at $73,500
for consulting services.

In February 1999 the Company issued 2,000,000 shares of common stock, with a
fair market value of $20,000, for patent rights to Digital Video Display
computer technology. In addition, the Company incurred a patent right payable in
the amount of $250,000. In February 2000 these shares of common stock were
canceled and the Company no longer has rights to the patent.

During 1998, the Company issued 100,000 shares of common stock, with a fair
market value of $20,000, for the distribution rights to a non-reusable medical
syringe. In January 1999 these shares of common stock were canceled, and the
distribution rights were abandoned.

No amounts were actually paid for either interest or income taxes for the years
ended December 31, 2000, 1999, and 1998.



    The Accompanying Notes are an Integral Part of These Financial Statements

                                       F-8


<PAGE>


                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                          NOTES TO FINANCIAL STATEMENTS
                           December 31, 2000, and 1999



1.       ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES
         The Company was incorporated in the State of Nevada in August 1997,
         under the name Meximed Industries, Inc. The Company is in the
         development stage as its operations principally involve research and
         development, market analysis, and other business planning activities,
         and no revenue has been generated from its business activities.
         Originally, the Company intended to distribute non-reusable medical
         syringes. In January 1999 the Company abandoned its plan to distribute
         medical syringes and changed its name to Digital Video Display
         Technology Corporation. The Company intends to create a Digital Video
         Display jukebox system for distribution in Canada and the United
         States.

         These financial statements have been prepared assuming that the Company
         will continue as a going concern. The Company is currently in the
         development stage, and existing cash and available credit are
         insufficient to fund the Company's cash flow needs for the next year.
         As discussed in Note 4, in April 1999 an unrelated third party extended
         the Company a line of credit, which is due on demand in June 2001. The
         Company plans to raise additional capital in the near future through
         private placements, ranging from $6,000,000 to $8,000,000.

         The preparation of financial statements in conformity with generally
         accepted accounting principles requires management to make estimates
         and assumptions that affect certain reported amounts and disclosures.
         Accordingly, actual results could differ from those estimates.

         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. As of December 31, 2000 and
         1999, the Company held no cash equivalents.

         FIXED ASSETS
         Depreciation expense is provided for on a straight-line basis over the
         estimated useful lives of owned assets.


                                      F-9

<PAGE>

                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                          NOTES TO FINANCIAL STATEMENTS
                           December 31, 2000, and 1999


1.       ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
         PRIOR PERIOD ADJUSTMENT
         The accompanying financial statements for 1999 have been restated to
         correct an error made in 1999. The effect of the restatement was to
         increase the net loss for 1999 by $79,680 ($.0034 per share), net of
         income tax of $0.

         The Accompanying Statement of Operations for 1998 was previously
         restated to correct an error made in 1998. The effect of the
         restatement was to increase the net loss for 1999 by $25,000 ($.0007
         per share), net of income tax of $0.

         ADVERTISING COSTS
         Advertising costs are charged to operations when incurred. Total
         advertising costs charged to expense for the years ended December 31,
         2000, and 1999, were $0, and $3,750, respectively.

         RENT EXPENSE
         For the years ended December 31, 2000, and 1999, the total rent expense
         was $78,035 and $864, respectively.

         RESEARCH AND DEVELOPMENT COSTS
         Research and development costs are expensed as incurred. Such costs
         were $20,000 and $159,027 at December 31, 2000, and 1999, respectively.

         EARNINGS PER SHARE
         Basic earnings per share for each period are computed by dividing net
         loss by the weighted average number of shares of common stock
         outstanding during the period.

2.       FEDERAL INCOME TAXES
         The Company recognizes deferred tax liabilities and benefits for the
         expected future tax impact of transactions that have been accounted for
         differently for book and tax purposes.



                                      F-10

<PAGE>

                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                          NOTES TO FINANCIAL STATEMENTS
                           December 31, 2000, and 1999


2.       FEDERAL INCOME TAXES (CONTINUED)
         Deferred tax benefits and liabilities are calculated using enacted tax
         rates in effect for the year in which the differences are expected to
         reverse. A valuation allowance has been provided to reduce the asset to
         the amount of tax benefit management believes it will more likely than
         not realize. As time passes, management will be able to better assess
         the amount of tax benefit it will realize from using the carryforward.

         The following is a schedule of the composition of the provision for
         income taxes:

                                                        2000           1999
                                                        ----           ----
               Deferred noncurrent tax asset          $726,818      $ 255,891
               Valuation allowance                    (726,818)      (255,891)
                                                      ---------      ---------

               Total provision for income taxes       $    -0-       $    -0-
                                                      ========       ========

         The net change in the valuation account was $470,927 and $243,818 in
         2000 and 1999, respectively.

         Deferred federal and state income taxes consist of future tax benefits
         attributed to:

                                                    2000       1999 AS RESTATED
                                                    ----       ----------------
               Loss carryforward               $ 1,305,397       $ 796,793

         At December 31, 1999, the Company had the following unused net
         operating losses for regular income tax purposes:

                          EXPIRES                 NET OPERATING LOSS
                          -------                 ------------------
                             2017                    $   998
                             2018                     34,513
                             2019                    796,793
                             2020                  1,305,397


3.       OTHER ASSETS
         The Company purchased distribution rights for a non-reusable medical
         syringe from a related company for 100,000 shares of common stock (see
         Note 5). In January 1999 these distribution rights were abandoned and
         the related asset was written off.


                                      F-11

<PAGE>

                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                          NOTES TO FINANCIAL STATEMENTS
                           December 31, 2000, and 1999


3.       OTHER ASSETS (CONTINUED)
         The other assets at December 31, 1999, consist of patent rights to a
         jukebox entertainment system. In February 1999 the Company purchased
         the patent rights from an unrelated third party in exchange for
         2,000,000 shares of common stock and $250,000 due in September 1999.
         The purchase agreement was subsequently modified to provide for payment
         of the $250,000 in monthly installments of $20,000 with the final
         payment due in December 2000. As of December 31, 1999, no payments have
         been made. In a subsequent action in February 2000, the Company
         canceled the 2,000,000 shares previously issued and the related
         payable, and it no longer has rights to the patent.


4.       LINE OF CREDIT
         During the year ended December 31, 1999, an unrelated third party
         issued the Company an unsecured $1,500,000 line of credit. The line of
         credit carries interest at 12% per annum and is due on demand. The
         balance at December 31, 2000, and 1999, was $704,581 and $290,700,
         respectively.



5.       RELATED PARTY TRANSACTIONS
         In May 1998 the Company issued 100,000 shares of common stock to a
         separate entity, owned by the directors of the Company, in
         consideration for the distribution rights to a non-reusable medical
         syringe. In January 1999 this stock was canceled and the related
         distribution rights were written off (see Note 3).

         In March 1999 the Company issued an option to purchase 500,000 shares
         of common stock at $2.50 per share to the President, CEO and Director
         of the Company. The options were cancelled in June 2000 (see Note 8).
         In March 1999 the Company entered into a consulting agreement with the
         President. This contract expired in June 2000. Included in operating
         and administrative expenses for the years ended December 31, 2000, and
         1999, are consulting fees paid to the President of $30,000 and
         $120,500, respectively.



                                      F-12

<PAGE>

                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                          NOTES TO FINANCIAL STATEMENTS
                           December 31, 2000, and 1999


5.       RELATED PARTY TRANSACTIONS (CONTINUED)
         In April 1999 the Company issued an option to purchase 500,000 shares
         of common stock at $4.00 per share to a Director of the Company. The
         option expires April 30, 2009 (see Note 8).


6.       FAIR VALUE OF FINANCIAL INSTRUMENTS
         Financial Accounting Standards Board ("FASB") Statement No. 107,
         "Disclosure About Fair Value of Financial Instruments" is a part of a
         continuing process by the FASB to improve information on financial
         statements. The following methods and assumptions were used by the
         Company in estimating its fair value disclosures for such financial
         instruments as defined by the Statement.

         The carrying amounts reported in the balance sheets for cash and
         receivables approximate fair value at December 31, 2000, and 1999.

         The carrying amounts reported in the balance sheets for the other
         assets approximate fair value at December 31, 2000, and 1999, as the
         assets were recently purchased at fair market value.

         The carrying amounts reported in the balance sheets for accounts
         payable and bank overdraft approximate fair value at December 31, 2000,
         and 1999, as the payables mature in less than one year.

         The estimated fair value of the line of credit is not materially
         different from the carrying values for financial statement purposes at
         December 31, 2000, and 1999.


7.       STOCKHOLDERS' EQUITY
         In August 1997 the Company issued 1,000,000 shares of common stock to
         its officers and directors at $0.01 per share, for a total of $10,000
         in cash.


                                      F-13

<PAGE>

                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                          NOTES TO FINANCIAL STATEMENTS
                           December 31, 2000, and 1999


7.       STOCKHOLDERS' EQUITY (CONTINUED)
         In May 1998 the Company issued 100,000 shares of common stock, with a
         fair market value of $20,000, to a related company for the distribution
         rights to a non-reusable medical syringe. Also during 1998 the Company
         issued 1,000,000 shares of common stock as part of an offering
         memorandum at $0.20 per share, for a total of $200,000 in cash.

         In January 1999 the Company canceled the 1,100,000 shares of common
         stock previously issued to the officers, directors, and the related
         company. The Company recorded a gain of $10,000 on the cancellation of
         100,000 of the above shares, as cash of $10,000 received by the Company
         when the stock was originally issued was retained by the Company upon
         cancellation of the shares.

         Also in January 1999 the Company declared a forward stock split of 21:1
         for the remaining 1,000,000 shares of common stock outstanding,
         retaining the $0.001 par value.

         In February 1999 the Company issued 2,000,000 shares of common stock,
         with a fair market value of $20,000, for the patent rights to a jukebox
         entertainment system (see Note 3).

         The Company also issued 250,000 shares of its common stock to unrelated
         third parties at $.01 per share for a total of $2,500 for consulting
         services provided. These shares were issued at the fair market value of
         the consulting services.

         In January 2000 the Company issued 75,000 shares of restricted common
         stock to an unrelated third party for consulting. The value of the
         consulting received was $74,603.

         In February 2000 the Company cancelled the 2,000,000 shares issued for
         the patent rights (see Note 3).

         In July 2000 the Company issued 98,000 shares of its common stock in
         connection with a consulting agreement. The fair market value of the
         stock was $73,500.


                                      F-14

<PAGE>

                  DIGITAL VIDEO DISPLAY TECHNOLOGY CORPORATION
                      (A Company in the Development Stage)
                          NOTES TO FINANCIAL STATEMENTS
                           December 31, 2000, and 1999


8.       STOCK OPTIONS
         The Company issued an option to purchase 500,000 shares of common stock
         at $2.50 per share, to the President, CEO, and Director. The President
         resigned from the Company in June 2000 and the options were cancelled
         at that time (see Note 5). The Company also issued an option to
         purchase 500,000 shares of common stock at $4.00 a share to a Director.
         The option expires April 2009 (see Note 5). The Company issued an
         option to purchase 150,000 shares of common stock at $2.50 per share to
         an unrelated third party in exchange for consulting services. The
         options expired unexercised in April 2000. The option price for all
         stock options exceeded the fair market value of the stock at the grant
         date; accordingly, no compensation costs have been recognized. The fair
         market value of the stock options is $0.

9.       COMMITMENTS AND CONTINGENCIES
         Merrill Lynch Canada Inc., has filed suit against the Company regarding
         a dispute related to the sale of its restricted common stock by an
         unrelated third party to Merrill Lynch. The case is still in its early
         stages and the Company is trying to reach a settlement with Merrill
         Lynch. At this time the Company does not know if it will sustain a
         loss, or the amount of the loss.

         The Company is a defendant in an action by a former employee regarding
         his employment contract. The Company intends to defend this suit
         vigorously and expects a positive outcome.


                                      F-15