----

----

| x |  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---|-----------------------------------------------------------------------------------------------|

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

| Florida                                                       |   | 333-110324            |   | 90-0515106                        |
|---------------------------------------------------------------|--------|-----------------------|--------|-----------------------------------|
| (State or other jurisdiction ofincorporation or organization) |   | (Commission File No.) |   | (IRS Employee Identification No.) |

| Large accelerated filer                                            |  o |   | Accelerated filer         |  o |
|--------------------------------------------------------------------|---------|--------|---------------------------|---------|
|                                                               |    |   |                      |    |
| Non-accelerated filer(Do not check if a smaller reporting company) |  o |   | Smaller reporting company |  x |

----

|                                |                                                                                        |
|-------------------------------------|---------------------------------------------------------------------------------------------|
| PART I— FINANCIAL INFORMATION |                                                                                        |
|                                |                                                                                        |   |
| Item 1.                             | Financial Statements                                                                        |   1 |
| Item 2.                             | Management’s Discussion and Analysis of Financial Condition and Results of Operations |   12 |
| Item 3.                             | Quantitative and Qualitative Disclosures About Market Risk                                  |   14 |
| Item 4T.                            | Controls and Procedures                                                                     |   14 |
|                                |                                                                                        |   |
| PART II— OTHER INFORMATION    |                                                                                        |
|                                |                                                                                        |   |
| Item 1.                             | Legal Proceedings                                                                           |   15 |
| Item 1A.                            | Risk Factors                                                                                |   15 |
| Item 2.                             | Unregistered Sales of Equity Securities and Use of Proceeds                                 |   15 |
| Item 3.                             | Defaults Upon Senior Securities                                                             |   15 |
| Item 4.                             | (Removed and Reserved)                                                                      |   15 |
| Item 5.                             | Other Information                                                                           |   15 |
| Item 6.                             | Exhibits                                                                                    |   15 |
|                                |                                                                                        |   |
| SIGNATURES                          |   16                                                                                   |
|                                |                                                                                        |

----

| ASSETS                                                                                                                                      |
|---------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                        |   | March 31, |   |   | December 31, |   |
|                                                                                                                                        |   | 2010 |   |   | 2009 |   |
| CURRENT ASSETS                                                                                                                              |   | (Unaudited) |   |   |   |   |
|                                                                                                                                        |   |   |   |   |   |   |
| Cash                                                                                                                                        |   | $ | - |   |   | $ | 352 |   |
| TOTAL CURRENT ASSETS                                                                                                                        |   |   | - |   |   |   | 352 |   |
|                                                                                                                                        |   |   |   |   |   |   |   |   |
| Property and Equipment, net                                                                                                                 |   |   | - |   |   |   | - |   |
|                                                                                                                                        |   |   |   |   |   |   |   |   |
| TOTAL ASSETS                                                                                                                                |   | $ | - |   |   | $ | 352 |   |
|                                                                                                                                        |   |   |   |   |   |   |   |   |
| LIABILITIES AND STOCKHOLDERS’ DEFICIENCY                                                                                              |
|                                                                                                                                        |   |   |   |   |   |   |   |   |
| CURRENT LIABILITIES                                                                                                                         |   |   |   |   |   |   |   |   |
| Accounts payable                                                                                                                            |   | $ | 14,300 |   |   | $ | 140,539 |   |
| Accrued payroll                                                                                                                             |   |   | - |   |   |   | 434,130 |   |
| Accrued interest                                                                                                                            |   |   | - |   |   |   | 33,715 |   |
| Notes payable- related parties                                                                                                              |   |   | - |   |   |   | 73,370 |   |
| Notes payable                                                                                                                               |   |   | - |   |   |   | 50,000 |   |
|                                                                                                                                        |   |   |   |   |   |   |   |   |
| TOTAL CURRENT LIABILITIES                                                                                                                   |   |   | 14,300 |   |   |   | 731,754 |   |
|                                                                                                                                        |   |   |   |   |   |   |   |   |
| COMMITMENTS AND CONTINGENCIES                                                                                                               |   |   | - |   |   |   | - |   |
|                                                                                                                                        |   |   |   |   |   |   |   |   |
|                                                                                                                                        |   |   |   |   |   |   |   |   |
| STOCKHOLDERS’ DEFICIENCY                                                                                                              |   |   |   |   |   |   |   |   |
| Preferred  stock, $.001 par value, 10,000,000 shares authorized,  none issued and outstanding                           |   |   | - |   |   |   | - |   |
| Common stock, $0.001 par value, 100,000,000 shares authorized,  1,463,003 and 713,003 shares issued and outstanding, respectively |   |   | 1,463 |   |   |   | 713 |   |
| Additional paid in capital                                                                                                                  |   |   | 2,649,681 |   |   |   | 2,410,431 |   |
| Accumulated deficit during development stage                                                                                                |   |   | (2,665,444 | ) |   |   | (3,142,546 | ) |
| Total Stockholders’ Deficiency                                                                                                        |   |   | (14,300 | ) |   |   | (731,402 | ) |
|                                                                                                                                        |   |   |   |   |   |   |   |   |
| TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIENCY                                                                                        |   | $ | - |   |   | $ | 352 |   |

----

|                                                                                |   | For The Three Months Ended March 31, |    |   | For The Period FromJanuary 8, 2003 |   |
|-------------------------------------------------------------------------------------|--------|--------------------------------------|---------|--------|-----------------------------------------|--------|
|                                                                                |   | 2010                                 |    |   | 2009                                    |   |   | (Inception) to March 31, 2010 |   |
| OPERATING EXPENSE                                                                   |   |                                 |    |   |                                    |   |   |   |   |
| Consulting fees                                                                     |   | $                                    | -       |   |                                    | $      | - |   |   | $ | 364,403 |   |
| Management fees - related party                                                     |   |                                 | -       |   |                                    |   | - |   |   |   | 84,000 |   |
| Professional fees                                                                   |   |                                 | 21,175  |   |                                    |   | 6,645 |   |   |   | 391,419 |   |
| Research and development                                                            |   |                                 | -       |   |                                    |   | - |   |   |   | 168,618 |   |
| Impairment of technology                                                            |   |                                 | -       |   |                                    |   | - |   |   |   | 500,000 |   |
| Salaries                                                                            |   |                                 | 12,500  |   |                                    |   | 37,500 |   |   |   | 767,667 |   |
| General and administrative                                                          |   |                                 | 1,341   |   |                                    |   | 496 |   |   |   | 417,620 |   |
|   Total Operating Expense                                                 |   |                                 | 35,016  |   |                                    |   | 44,641 |   |   |   | 2,693,727 |   |
|                                                                                |   |                                 |    |   |                                    |   |   |   |   |   |   |   |
| LOSS FROM OPERATIONS                                                                |   |                                 | (35,016 | )      |                                    |   | (44,641 | ) |   |   | (2,693,727 | ) |
|                                                                                |   |                                 |    |   |                                    |   |   |   |   |   |   |   |
| OTHER EXPENSE:                                                                      |   |                                 |    |   |                                    |   |   |   |   |   |   |   |
| Interest Expense                                                                    |   |                                 | -       |   |                                    |   | (3,779 | ) |   |   | (84,026 | ) |
| Loss on conversion of notes payable                                                 |   |                                 | -       |   |                                    |   | - |   |   |   | (97,277 | ) |
| Financing fees                                                                      |   |                                 | -       |   |                                    |   |   |   |   |   | (302,532 | ) |
| Gain on settlement of debt                                                          |   |                                 | 3,313   |   |                                    |   | - |   |   |   | 3,313 |   |
| Gain on sale of subsidiary                                                          |   |                                 | 508,805 |   |                                    |   | - |   |   |   | 508,805 |   |
|   Total Other Income / (Expense)                                          |   |                                 | 512,118 |   |                                    |   | (3,779 | ) |   |   | 28,283 |   |
|                                                                                |   |                                 |    |   |                                    |   |   |   |   |   |   |   |
| INCOME / (LOSS) BEFORE PROVISION FOR INCOME TAXES                                   |   |                                 | 477,102 |   |                                    |   | (48,420 | ) |   |   | (2,665,444 | ) |
|                                                                                |   |                                 |    |   |                                    |   |   |   |   |   |   |   |
| Provision for Income Taxes                                                          |   |                                 | -       |   |                                    |   | - |   |   |   | - |   |
|                                                                                |   |                                 |    |   |                                    |   |   |   |   |   |   |   |
| NET INCOME / (LOSS)                                                                 |   | $                                    | 477,102 |   |                                    | $      | (48,420 | ) |   | $ | (2,665,444 | ) |
|                                                                                |   |                                 |    |   |                                    |   |   |   |   |   |   |   |
| Net profit / (loss) per share - basic and diluted                                   |   | $                                    | 0.59    |   |                                    | $      | (0.06 | ) |   |   |   |   |
|                                                                                |   |                                 |    |   |                                    |   |   |   |   |   |   |   |
| Weighted average number of shares outstanding during the period - basic and diluted |   |                                 | 805,850 |   |                                    |   | 747,970 |   |   |   |   |   |

----

|                                                   |   | Preferred Stock |   |   | Common Stock |   |   | Additional Paid-In |   |   | Deferred   |   |   | Accumulated Deficit During Development |   |   |         |   |
|--------------------------------------------------------|--------|-----------------|--------|--------|--------------|--------|--------|--------------------|--------|--------|------------|--------|--------|----------------------------------------|--------|--------|--------------|--------|
|                                                   |   | Shares          |   |   | Amount       |   |   | Shares             |   |   | Amount     |   |   | Capital                                |   |   | Compensation |   |   | Stage |   |   | Total |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |
| BALANCE, JANUARY 8, 2003 (Inception)                   |   |            | -      |   |         | $      | -      |               |   |   |       |   | $      |                                   |   | $      |         |   | $ | - |   |   | $ | - |   |   | $ | - |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance of founders stock                             |   |            | -      |   |         |   | -      |               |   |   | 221,654    |   |   |                                   | 221    |   |         |   | 1,779 |   |   |   | - |   |   |   | - |   |   |   | 2,000 |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net loss, 2003                                         |   |            | -      |   |         |   | -      |               |   |   | -          |   |   |                                   | -      |   |         |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| BALANCE, DECEMBER 31, 2004                             |   |            | -      |   |         |   | -      |               |   |   | 221,654    |   |   |                                   | 221    |   |         |   | 1,779 |   |   |   | - |   |   |   | - |   |   |   | 2,000 |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Beneficial conversion on convertible debt              |   |            | -      |   |         |   | -      |               |   |   | -          |   |   |                                   | -      |   |         |   | 85,000 |   |   |   | - |   |   |   | - |   |   |   | 85,000 |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net loss, 2004                                         |   |            | -      |   |         |   | -      |               |   |   | -          |   |   |                                   | -      |   |         |   | - |   |   |   | - |   |   |   | (102,668 | ) |   |   | (102,668 | ) |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| BALANCE, December 31, 2004                             |   |            | -      |   |         |   | -      |               |   |   | 221,654    |   |   |                                   | 221    |   |         |   | 86,779 |   |   |   | - |   |   |   | (102,668 | ) |   |   | (15,668 | ) |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sale of common stock for cash                          |   |            | -      |   |         |   | -      |               |   |   | 43,812     |   |   |                                   | 44     |   |         |   | 622,956 |   |   |   | - |   |   |   | - |   |   |   | 623,000 |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Stock issued to acquire technology                     |   |            | -      |   |         |   | -      |               |   |   | 35,162     |   |   |                                   | 35     |   |         |   | 499,965 |   |   |   | - |   |   |   | - |   |   |   | 500,000 |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Common stock issued for reverse merger                 |   |            | -      |   |         |   | -      |               |   |   | 39,733     |   |   |                                   | 40     |   |         |   | (40 | ) |   |   | - |   |   |   | - |   |   |   | - |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Common stock issued for reverse merger                 |   |            | -      |   |         |   | -      |               |   |   | 2,327,806  |   |   |                                   | 2,328  |   |         |   | (2,328 | ) |   |   | - |   |   |   | - |   |   |   | - |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Repurchase and cancellation of common stock            |   |            | -      |   |         |   | -      |               |   |   | (2,213,432 | )      |   |                                   | (2,213 | )      |         |   | (47,787 | ) |   |   | - |   |   |   | - |   |   |   | (50,000 | ) |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Common stock issued for financing fees on note payable |   |            | -      |   |         |   | -      |               |   |   | 703        |   |   |                                   | 1      |   |         |   | 9,999 |   |   |   | - |   |   |   | - |   |   |   | 10,000 |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| In-kind contribution of management services            |   |            | -      |   |         |   | -      |               |   |   | -          |   |   |                                   | -      |   |         |   | 880 |   |   |   | - |   |   |   | - |   |   |   | 880 |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Common stock  issued for legal services      |   |            | -      |   |         |   | -      |               |   |   | 2,110      |   |   |                                   | 2      |   |         |   | 29,998 |   |   |   | - |   |   |   | - |   |   |   | 30,000 |   |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net loss, 2005                                         |   |            | -      |   |         |   | -      |               |   |   | -          |   |   |                                   | -      |   |         |   | - |   |   |   | - |   |   |   | (1,250,794 | ) |   |   | (1,250,794 | ) |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| BALANCE, December 31, 2005                             |   |            | -      |   |         |   | -      |               |   |   | 457,547    |   |   |                                   | 457    |   |         |   | 1,200,423 |   |   |   | - |   |   |   | (1,353,462 | ) |   |   | (152,582 | ) |
|                                                   |   |            |   |   |         |   |   |               |   |   |       |   |   |                                   |   |   |         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

| Sale of common stock                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   | 563       |   |   |   | 1      |   |   |   | 9,999     |   |   |   | -        |   |   |   | 0          |   |   |   | 10,000   |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|-----------|--------|--------|--------|--------|--------|--------|--------|-----------|--------|--------|--------|----------|--------|--------|--------|------------|--------|--------|--------|----------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Common stock issued for services                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   | -      |   |   |   | -      |   |   |   | 7,032     |   |   |   | 7      |   |   |   | 167,993   |   |   |   | (153,000 | )      |   |   | -          |   |   |   | 15,000   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Common stock issued for financing fees on note payable                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   |   | -      |   |   |   | -      |   |   |   | 2,532     |   |   |   | 3      |   |   |   | 78,497    |   |   |   | -        |   |   |   | -          |   |   |   | 78,500   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Conversion on notes payable and accrued interest                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   | -      |   |   |   | -      |   |   |   | 12,026    |   |   |   | 12     |   |   |   | 78,502    |   |   |   | -        |   |   |   | -          |   |   |   | 78,514   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Retirement of common stock                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   | -      |   |   |   | -      |   |   |   | (703      | )      |   |   | (1     | )      |   |   | 1         |   |   |   | -        |   |   |   | -          |   |   |   | -        |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Amortization of deferred compensation                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   |   | -      |   |   |   | -      |   |   |   | -         |   |   |   | -      |   |   |   | -         |   |   |   | 89,704   |   |   |   | -          |   |   |   | 89,704   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Net Loss, 2006                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   | -      |   |   |   | -      |   |   |   | -         |   |   |   | -      |   |   |   | -         |   |   |   | -        |   |   |   | (741,177   | )      |   |   | (741,177 | )      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Balance December 31, 2006                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |   | -      |   |   |   | -      |   |   |   | 478,996   |   |   |   | 479    |   |   |   | 1,535,415 |   |   |   | (63,296  | )      |   |   | (2,094,639 | )      |   |   | (622,041 | )      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Common stock issued for services                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   | -      |   |   |   | -      |   |   |   | 14,065    |   |   |   | 14     |   |   |   | 149,986   |   |   |   | -        |   |   |   | -          |   |   |   | 150,000  |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Conversion on notes payable and accrued interest                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   | -      |   |   |   | -      |   |   |   | 169,360   |   |   |   | 169    |   |   |   | 482,435   |   |   |   | -        |   |   |   | -          |   |   |   | 482,604  |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Conversion of accrued payroll                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |   | -      |   |   |   | -      |   |   |   | 84,338    |   |   |   | 84     |   |   |   | 238,561   |   |   |   | -        |   |   |   | -          |   |   |   | 238,646  |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Common stock issued for financing fees                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   |   | -      |   |   |   | -      |   |   |   | 1,406     |   |   |   | 1      |   |   |   | 3,999     |   |   |   | -        |   |   |   | -          |   |   |   | 4,000    |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Amortization of deferred compensation                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   |   | -      |   |   |   | -      |   |   |   | -         |   |   |   | -      |   |   |   | -         |   |   |   | 63,296   |   |   |   | -          |   |   |   | 63,296   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Net Loss, 2007                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   | -      |   |   |   | -      |   |   |   | -         |   |   |   | -      |   |   |   | -         |   |   |   | -        |   |   |   | (632,644   | )      |   |   | (632,644 | )      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Balance December 31, 2007                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |   | -      |   |   |   | -      |   |   |   | 748,165   |   |   |   | 748    |   |   |   | 2,410,396 |   |   |   | -        |   |   |   | (2,727,283 | )      |   |   | (316,139 | )      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Net Loss, for the year ended December 31, 2008                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   | -      |   |   |   | -      |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   | -        |   |   |   | (228,048   | )      |   |   | (228,048 | )      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Balance, December 31, 2008                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   | -      |   |   |   | -      |   |   |   | 748,165   |   |   |   | 748    |   |   |   | 2,410,396 |   |   |   | -        |   |   | $      | (2,955,331 | )      |   | $      | (544,187 | )      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Cancellation of common stock                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   | -      |   |   |   | -      |   |   |   | (35,162   | )      |   |   | (35    | )      |   |   | 35        |   |   |   | -        |   |   |   | -          |   |   |   | -        |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Net Loss, for the year ended December 31, 2009                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   | -      |   |   |   | -      |   |   |   | -         |   |   |   | -      |   |   |   | -         |   |   |   | -        |   |   |   | (187,215   | )      |   |   | (187,215 | )      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Balance, December 31, 2009                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   | -      |   |   |   | -      |   |   |   | 713,003   |   |   |   | 713    |   |   |   | 2,410,431 |   |   |   | -        |   |   | $      | (3,142,546 | )      |   | $      | (731,402 | )      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Sale of common stock                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   | -      |   |   |   | -      |   |   |   | 750,000   |   |   |   | 750    |   |   |   | 239,250   |   |   |   | -        |   |   |   | -          |   |   |   | 240,000  |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
| Net income, for three months ended March 31, 2010                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |   | -      |   |   |   | -      |   |   |   | -         |   |   |   | -      |   |   |   | -         |   |   |   | -        |   |   |   | 477,102    |   |   |   | 477,102  |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |      |   |   |   |   |   |   |   |      |   |   |   |     |   |   |   |       |   |   |   |     |   |
|                                                                                       |   |   | -      |   |   | $      | -      |   |   |   | 1,463,003 |   |   | $      | 1,463  |   |   | $      | 2,649,681 |   |   | $      | -        |   |   | $      | (2,665,444 | )      |   | $      | (14,300  | )      |

----

|                                                                                   |   |                                       |     |   | For The Period From  |   |
|----------------------------------------------------------------------------------------|--------|--------------------------------------------|----------|--------|---------------------------|--------|
|                                                                                   |   | For the Three Months Ended March 31,  |     |   | January 8, 2003      |   |
|                                                                                   |   |                                       |     |   | (Inception) to       |   |
|                                                                                   |   | 2010                                       |     |   | 2009                      |   |   | March 31, 2010 |   |
|                                                                                   |   |                                       |     |   |                      |   |   |   |   |
|                                                                                   |   |                                       |     |   |                      |   |   |   |   |
| CASH FLOWS FROM OPERATING ACTIVITIES:                                                  |   |                                       |     |   |                      |   |   |   |   |
| Net Income / (loss)                                                                    |   | $                                          | 477,102  |   |                      | $      | (48,420 | ) |   | $ | (2,665,444 | ) |
| Adjustments to reconcile net income / (loss) to net cash used in operating activities: |   |                                       |     |   |                      |   |   |   |   |   |   |   |
| Common stock issued for services                                                       |   |                                       | -        |   |                      |   | - |   |   |   | 555,898 |   |
| Common stock issued for financing fees                                                 |   |                                       | -        |   |                      |   | - |   |   |   | 7,500 |   |
| Beneficial conversion expenses                                                         |   |                                       | -        |   |                      |   | - |   |   |   | 35,763 |   |
|   Loss on conversion of notes payable - related party                        |   |                                       | -        |   |                      |   | - |   |   |   | 96,322 |   |
| Depreciation expense                                                                   |   |                                       |     |   |                      |   | 157 |   |   |   | 15,351 |   |
| Impairment of technology                                                               |   |                                       | -        |   |                      |   | - |   |   |   | 500,000 |   |
| In-kind contribution of services                                                       |   |                                       | -        |   |                      |   | - |   |   |   | 880 |   |
| Gain on sale of subsidiary                                                             |   |                                       | (508,805 | )      |                      |   |   |   |   |   | (508,804 | ) |
| Changes in operating assets and liabilities:                                           |   |                                       |     |   |                      |   |   |   |   |   |   |   |
|                                                                                   |   |                                       |     |   |                      |   |   |   |   |   |   |   |
| (Increase) / Decrease in Accrued payroll                                               |   |                                       | 12,500   |   |                      |   | 37,500 |   |   |   | 647,378 |   |
| Accrued interest                                                                       |   |                                       | -        |   |                      |   | 3,351 |   |   |   | 83,645 |   |
| Accounts payable                                                                       |   |                                       | (39,839  | )      |                      |   | 5,039 |   |   |   | 99,352 |   |
| Net Cash Used In Operating Activities                                                  |   |                                       | (59,042  | )      |                      |   | (2,373 | ) |   |   | (1,132,159 | ) |
|                                                                                   |   |                                       |     |   |                      |   |   |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES:                                                  |   |                                       |     |   |                      |   |   |   |   |   |   |   |
|    Cash held by subsidiary upon sale                                    |   |                                       | (181,310 | )      |                      |   | - |   |   |   | (181,310 | ) |
| Purchase of property and equipment                                                     |   |                                       | -        |   |                      |   | - |   |   |   | (15,351 | ) |
| Net Cash Used In Investing Activities                                                  |   |                                       | (181,310 | )      |                      |   | - |   |   |   | (196,661 | ) |
|                                                                                   |   |                                       |     |   |                      |   |   |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES:                                                  |   |                                       |     |   |                      |   |   |   |   |   |   |   |
| Repayments of notes payable                                                            |   |                                       | -        |   |                      |   | - |   |   |   | (40,000 | ) |
| Proceeds from notes payable related party                                              |   |                                       | -        |   |                      |   | 2,350 |   |   |   | 453,820 |   |
| Proceeds from notes payable                                                            |   |                                       | -        |   |                      |   | - |   |   |   | 90,000 |   |
| Repurchase and retirement or treasury stock                                            |   |                                       | -        |   |                      |   | - |   |   |   | (50,000 | ) |
| Proceeds from issuance of common stock                                                 |   |                                       | 240,000  |   |                      |   | - |   |   |   | 875,000 |   |
| Net Cash Provided By Financing Activities                                              |   |                                       | 240,000  |   |                      |   | 2,350 |   |   |   | 1,328,820 |   |
|                                                                                   |   |                                       |     |   |                      |   |   |   |   |   |   |   |
| NET DECREASE IN CASH                                                                   |   |                                       | (352     | )      |                      |   | (23 | ) |   |   | - |   |
|                                                                                   |   |                                       |     |   |                      |   |   |   |   |   |   |   |
| CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD                                       |   |                                       | 352      |   |                      |   | 53 |   |   |   | - |   |
|                                                                                   |   |                                       |     |   |                      |   |   |   |   |   |   |   |
| CASH AND CASH EQUIVALENTS AT END OF PERIOD                                             |   | $                                          | -        |   |                      | $      | 30 |   |   | $ | - |   |
|                                                                                   |   |                                       |     |   |                      |   |   |   |   |   |   |   |
| Supplemental disclosure of non cash investing & financing activities:              |   |                                       |     |   |                      |   |   |   |   |
| Cash paid for income taxes                                                             |   | $                                          | -        |   |                      | $      | - |   |   | $ | - |   |
| Cash paid for interest expense                                                         |   | $                                          | -        |   |                      | $      | - |   |   | $ | 500 |   |
| Conversion of convrtible debt and accrued interest to common stock                     |   | $                                          | -        |   |                      | $      | - |   |   | $ | 428,933 |   |
| Conversion of accrued salary to common stock                                           |   | $                                          | -        |   |                      | $      | - |   |   | $ | 200,748 |   |

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| Cash in Escrow                              |   | $      | 181,310  |   |
|---------------------------------------------|--------|--------|----------|--------|
| Notes Payable                               |   |   | (50,000  | )      |
| Notes Payable-Related Party                 |   |   | (73,370  | )      |
| Accrued Interest                            |   |   | (35,062  | )      |
| Accounts Payable and Accrued Expenses (Sub) |   |   | (85,053  | )      |
| Accrued Salary                              |   |   | (446,630 | )      |
|                                        |   |   |     |   |
| TOTAL                                       |   | $      | (508,805 | )      |

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|                     | REBORNNE (USA), INC. |                                            |
|--------------------------|----------------------|-------------------------------------------------|
|                     |                 |                                            |   |
| Date:  May 17, 2010 | By:                  | /s/ Dairy Global                                |   |
|                     |                 | Dairy Global                                    |   |
|                     |                 | President,                                      |   |
|                     |                 | Chief Executive Officer,Chief Financial Officer |   |