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| Delaware                                       | 62-1133652                         |
|------------------------------------------------|------------------------------------|
| (State                or other jurisdiction of | (I.R.S.                Employer    |
| incorporation                or organization)  | Identification                No.) |

| P.O.                Box 1355                            |                      |
|---------------------------------------------------------|---------------------------|
| Englewood                Cliffs, New Jersey             | 11580                     |
| (Address                of principal executive offices) | (Zip                code) |

| YesoNox |
|---------|

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| Part                I:  |    | FINANCIAL                INFORMATION                                                                                |  2 |
|-------------------------|---------|---------------------------------------------------------------------------------------------------------------------|---------|
|                    |    |                                                                                                                |    |
| Item                1:  |    | Financial                Statements                                                                                 |  2 |
|                    |    |                                                                                                                |    |
| Item                2:  |    | Management's                Discussion and Analysis of Financial Condition and Results of                Operations |  6 |
|                    |    |                                                                                                                |    |
| Part                II: |    | OTHER                INFORMATION                                                                                    |  7 |
|                    |    |                                                                                                                |    |
| SIGNATURES              |  8 |

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**Part      I Financial Information**

**Item      1.**
**      Financial Statements.**

| **Universal                Services Group, Inc. and Subsidiaries** |
|--------------------------------------------------------------------|
| **Consolidated                Balance Sheets**                     |
| **(UNAUDITED)**                                                    |

|                                                                 |   | February                1, |       | November                1, |   |
|----------------------------------------------------------------------|--------|----------------------------|------------|----------------------------|--------|
|                                                                      |   | 1999                       |       | 1998                       |   |
|                                                                 |   | (Unaudited)                |       | (Unaudited)                |   |
| **Assets:**                                                          |   |                       |       |                       |   |
| Current                Assets:                                       |   |                       |       |                       |   |
| Cash                and Cash Equivalents                             |   | $                          | 0          |                       | $      | 0 |   |
| Accounts                Receivable, Net                              |   |                       | 0          |                       |   | 0 |   |
| Accounts                Receivable-Sale of Assets                    |   |                       | 0          |                       |   | 0 |   |
| Other                Current Assets                                  |   |                       | 0          |                       |   | 0 |   |
|                                                                 |   |                       |       |                       |   |   |   |
| Total                Current Assets                                  |   | $                          | 0          |                       | $      | 0 |   |
|                                                                 |   |                       |       |                       |   |   |   |
| Property                & Equipment, Net                         |   |                       | 0          |                       |   | 0 |   |
|                                                                 |   |                       |       |                       |   |   |   |
| Other                Assets                                          |   |                       | 0          |                       |   | 0 |   |
|                                                                 |   |                       |       |                       |   |   |   |
| Total                Assets                                          |   | $                          | 0          |                       | $      | 0 |   |
|                                                                 |   |                       |       |                       |   |   |   |
| **Liabilities:**                                                     |   |                       |       |                       |   |   |   |
|                                                                 |   |                       |       |                       |   |   |   |
| Current                Liabilities                                   |   |                       |       |                       |   |   |   |
| Notes                Payable-Bank                                    |   | $                          | 0          |                       | $      | 0 |   |
| Current                Maturities of Long Term Debt                  |   |                       | 97,752     |                       |   | 97,752 |   |
| Accounts                Payable-Trade                                |   |                       | 82,161     |                       |   | 82,161 |   |
| Accrued                Payroll                                       |   |                       | 0          |                       |   | 0 |   |
| Payroll                Taxes Payable                                 |   |                       | 248,578    |                       |   | 248,578 |   |
| Accrued                Expenses                                      |   |                       | 452,523    |                       |   | 452,523 |   |
|                                                                 |   |                       |       |                       |   |   |   |
| Total                Current Liabilities                             |   | $                          | 881,014    |                       | $      | 881,014 |   |
|                                                                 |   |                       |       |                       |   |   |   |
| Non                Current Liabilities:                              |   |                       |       |                       |   |   |   |
| Notes                Payable-Related Parties                         |   |                       | 805,090    |                       |   | 805,090 |   |
|                                                                 |   |                       |       |                       |   |   |   |
| Total                Liabilities                                     |   | $                          | 1,686,104  |                       | $      | 1,686,104 |   |
|                                                                 |   |                       |       |                       |   |   |   |
| **Stockholders                Equity**                               |   |                       |       |                       |   |   |   |
| Common                Stock-$.06 Par Value                           |   |                            |            |                       |        |  |   |
| 50,000,000                Shares Authorized, 5,353,857 Shares        |   |                       |       |                       |   |   |   |
| Issued                and Outstanding                                |   | $                          | 321,232    |                       | $      | 321,232 |   |
| Additional                Paid in Capital                            |   |                       | 322,097    |                       |   | 322,097 |   |
| Retained                Earnings (Deficit)                           |   |                       | (2,329,433 | )                          |   | (2,329,433 | ) |
|                                                                 |   |                       |       |                       |   |   |   |
| Total                Stockholders Equity (Deficit)                   |   | $                          | (1,686,104 | )                          | $      | (1,686,104 | ) |
|                                                                 |   |                       |       |                       |   |   |   |
| Total                Liabilities & Stockholders Equity (Deficit) |   | $                          | 0          |                       | $      | 0 |   |

| See                Notes to Consolidated Financial Statements |   |   |
|---------------------------------------------------------------|--------|--------|

----

|                                                                                   |
|----------------------------------------------------------------------------------------|
| **Universal                Services Group, Inc. and Subsidiaries**                     |
| **Consolidated                Statements of Operations**                               |
| **For                the Three Months ended February 1, 1999 and                1998** |
| **(UNAUDITED)**                                                                        |
|                                                                                   |   |   |   |   |   |   |   |
|                                                                                        |   | For                the Three Months |
|                                                                                        |   | Ended |
|                                                                                        |   |   | February                1, |   |   | February                1, |   |
|                                                                                   |   |   | 1999 |   |   | 1998 |   |
|                                                                                        |   |   | (Unaudited) |   |   | (Unaudited) |  |
|                                                                                   |   |   |   |   |   |   |   |
| Revenues                                                                               |   | $ | 0 |   | $ | 0 |   |
|                                                                                   |   |   |   |   |   |   |   |
| Direct                Costs                                                            |   |   | 0 |   |   | 0 |   |
|                                                                                   |   |   |   |   |   |   |   |
| Gross                Operating Profit                                                  |   | $ | 0 |   | $ | 0 |   |
|                                                                                   |   |   |   |   |   |   |   |
| **Expenses:**                                                                          |   |   |   |   |   |   |   |
| Selling,                General and Administrative Expenses                            |   |   | 0 |   |   | 0 |   |
| Penalties                & Interest                                                |   |   | 0 |   |   | 0 |   |
| Interest                Expense, Net                                                   |   |   | 0 |   |   | 0 |   |
| Total                Expenses                                                          |   | $ | 0 |   | $ | 0 |   |
|                                                                                   |   |   |   |   |   |   |   |
| Net                Income (Loss) before Extraordinary Item                             |   | $ | 0 |   | $ | 0 |   |
|                                                                                   |   |   |   |   |   |   |   |
| Extraordinary                Item:                                                     |   |   |   |   |   |   |   |
| Write                downs/off on Closing of Business                                  |   |   | 0 |   |   | 0 |   |
|                                                                                   |   |   |   |   |   |   |   |
| Net                Income (Loss) before Taxes                                          |   | $ | 0 |   | $ | 0 |   |
|                                                                                   |   |   |   |   |   |   |   |
| Less:                Provision for Income Taxes                                        |   |   | 0 |   |   | 0 |   |
|                                                                                   |   |   |   |   |   |   |   |
| Net                Income (Loss)                                                       |   | $ | 0 |   | $ | 0 |   |
|                                                                                   |   |   |   |   |   |   |   |
| Net                Income (Loss) per Share                                             |   |   |   |   |   |   |   |
| Income                (Loss) before Extraordinary Item                                 |   |   | 0.00 |   |   | 0.00 |   |
| Extraordinary                Item                                                      |   |   | 0.00 |   |   | 0.00 |   |
|                                                                                   |   |   |   |   |   |   |   |
| Net                Income (Loss) per Share                                             |   | $ | 0.00 |   | $ | 0.00 |   |

| See                Notes to Consolidated Financial                Statements |
|------------------------------------------------------------------------------|

----

| **Universal                Services Group, Inc. and Subsidiaries**                     |
|----------------------------------------------------------------------------------------|
| **Consolidated                Statements of Cash Flows**                               |
| **For                the Three Months ended February 1, 1999 and                1998** |
| **(UNAUDITED)**                                                                        |

|                                                                  |   | For                the Three Months |
|------------------------------------------------------------------|--------|-------------------------------------|
|                                                                  |   | Ended                               |
|                                                                  |   |                                | February                1, |   |   | February                1, |   |
|                                                             |   |                                | 1999 |   |   | 1998 |   |
|                                                                  |   |                                | (Unaudited) |   |   | (Unaudited) |  |
| Cash                Flow from Operating Activities               |   |                                |   |   |   |   |   |
| Income                (Loss) from Operations                     |   | $                                   | 0 |   | $ | 0 |   |
|                                                             |   |                                |   |   |   |   |   |
| Adjustments                to Reconcile Net Income to            |   |                                |   |   |   |   |   |
| Net                income (Loss) to Net Cash Provided            |   |                                |   |   |   |   |   |
| (Used)                by Continuing Operations:                  |   |                                |   |   |   |   |   |
| Depreciation                and Amortization                     |   |                                | 0 |   |   | 0 |   |
| Gain                on sale of Fixed Assets                      |   |                                | 0 |   |   | 0 |   |
|                                                             |   |                                |   |   |   |   |   |
| (Increase)                Decrease in Assets                     |   |                                |   |   |   |   |   |
| Accounts                Receivable                               |   |                                | 0 |   |   | 0 |   |
| Other                Current Assets                              |   |                                | 0 |   |   | 0 |   |
| Other                Assets                                      |   |                                | 0 |   |   | 0 |   |
| Increase                (Decrease) in Liabilities                |   |                                |   |   |   |   |   |
| Accounts                Payable                                  |   |                                | 0 |   |   | 0 |   |
| Accrued                Expenses                                  |   |                                | 0 |   |   | 0 |   |
| Payroll                Taxes Payable                             |   |                                | 0 |   |   | 0 |   |
| Total                Adjustments                                 |   | $                                   | 0 |   | $ | 0 |   |
| Net                Cash Provided (Used) by Operating Activities  |   | $                                   | 0 |   | $ | 0 |   |
|                                                             |   |                                |   |   |   |   |   |
| Investing                Activities                              |   |                                |   |   |   |   |   |
| Sale                of Assets                                    |   | $                                   | 0 |   | $ | 0 |   |
| Return                of Security Deposits                       |   |                                | 0 |   |   | 0 |   |
| Purchase                of Assets                                |   |                                | 0 |   |   | 0 |   |
| Net                Cash Provided (Used) by Investing Activities  |   | $                                   | 0 |   | $ | 0 |   |
|                                                             |   |                                |   |   |   |   |   |
| Financing                Activities                              |   |                                |   |   |   |   |   |
| Additional                Borrowings-Banks                       |   | $                                   | 0 |   | $ | 0 |   |
| Payments                to Banks                                 |   |                                | 0 |   |   | 0 |   |
| Payments                on Long Term Obligations                 |   |                                | 0 |   |   | 0 |   |
| Additional                Borrowings-Related Parties             |   |                                | 0 |   |   | 0 |   |
| Net                Cash Provided (Used) by Financing Activities  |   | $                                   | 0 |   | $ | 0 |   |
|                                                             |   |                                |   |   |   |   |   |
| Net                Increase (Decrease) in Cash & Equivalents |   | $                                   | 0 |   | $ | 0 |   |
|                                                             |   |                                |   |   |   |   |   |
| Cash                & Cash Equivalents-Beginning of Year     |   |                                | 0 |   |   | 0 |   |
| Cash                & Cash Equivalents-End of Year           |   | $                                   | 0 |   | $ | 0 |   |
|                                                             |   |                                |   |   |   |   |   |
| Supplemental                Disclosures of Cash Flow Information |   |                                |   |   |   |   |   |
| Cash                Paid during Year for: Interest               |   | $                                   | 0 |   | $ | 0 |   |
| Taxes                                                            |   |                                | 0 |   |   | 0 |   |

| See                Notes to Consolidated Financial Statements |   |
|---------------------------------------------------------------|--------|

----

**Universal      Services Group, Inc. and Subsidiaries**

**Notes      to Consolidated Financial Statements**

**February      1, 1999**

**1.      SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:**

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| **Item              2.** | **Management's                Discussion and Analysis of Financial Condition                and ****Results                of Operations.** |
|--------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

**Introduction**

**Results      of Operations**

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**Liquidity      and Capital Resources**

**Part      II OTHER INFORMATION**

| **Item              1.** | **Legal                Proceedings.** |
|--------------------------|---------------------------------------|

| **Item              2.** | **Changes                in Securities.** |
|--------------------------|-------------------------------------------|

| **Item              3.** | **Defaults                Upon Senior Securities.** |
|--------------------------|-----------------------------------------------------|

| **Item              4.** | **Other                Information.** |
|--------------------------|---------------------------------------|

| **Item              5.** | **Exhibits.** |
|--------------------------|---------------|

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**SIGNATURES**

|         |                                                |                           |
|--------------|-----------------------------------------------------|--------------------------------|
|         | UNIVERSAL                SERVICES GROUP, INC.       |
|    |                                           |                      |
|              | By:                                       | /s/              Colin Halpern |
|         | Colin Halpern, Chairman and Chief Executive Officer |
|         |                                                |
|         | Date:                August 15, 2007                |

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