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

| [  ] | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES |
|-----------|---------------------------------------------------------------------|

|   | EXCHANGE ACT OF 1934 |
|--------|----------------------|

| Florida                                                                   | 65-0921319                           |
|---------------------------------------------------------------------------|--------------------------------------|
| (State or other jurisdiction of  incorporation or organization) | (I.R.S. Employer Identification No.) |

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| Large accelerated filer | o |   | Accelerated filer         | o      |
|-------------------------|---|--------|---------------------------|--------|
| Non-accelerated filer   | o |   | Smaller reporting company | þ |

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|                 |                                                                                                               | Page   |
|----------------------|--------------------------------------------------------------------------------------------------------------------|--------|
| PART I               |                                                                                                               |   |
|                 |                                                                                                               |   |
| ITEM 1.              | BUSINESS                                                                                                           | 1      |
|                 |                                                                                                               |   |
| ITEM 1A.             | RISK FACTORS                                                                                                       | 3      |
|                 |                                                                                                               |   |
| ITEM 1B.             | UNRESOLVED STAFF COMMENTS                                                                                          | 3      |
|                 |                                                                                                               |   |
| ITEM 2.              | PROPERTIES                                                                                                         | 3      |
|                 |                                                                                                               |   |
| ITEM 3.              | LEGAL PROCEEDINGS                                                                                                  | 4      |
|                 |                                                                                                               |   |
| ITEM 4.              | (REMOVED AND RESERVED)                                                                                             | 4      |
|                 |                                                                                                               |   |
| PART II              |                                                                                                               |   |
|                 |                                                                                                               |   |
| ITEM 5.              | MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES | 4      |
|                 |                                                                                                               |   |
| ITEM 6.              | SELECTED FINANCIAL DATA                                                                                            | 5      |
|                 |                                                                                                               |   |
| ITEM 7.              | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS                        | 5      |
|                 |                                                                                                               |   |
| ITEM 7A.             | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK                                                         | 8      |
|                 |                                                                                                               |   |
| ITEM 8.              | FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA                                                                        | 9      |
|                 |                                                                                                               |   |
| ITEM 9.              | CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE                               | 9      |
|                 |                                                                                                               |   |
| ITEM 9A.             | CONTROLS AND PROCEDURES                                                                                            | 9      |
|                 |                                                                                                               |   |
| ITEM 9B.             | OTHER INFORMATION                                                                                                  | 10     |
|                 |                                                                                                               |   |
| PART III             |                                                                                                               |   |
|                 |                                                                                                               |   |
| ITEM 10.             | DIRECTORS, EXECUTIVE OFFICERS, AND CORPORATE GOVERNANCE                                                            | 11     |
|                 |                                                                                                               |   |
| ITEM 11.             | EXECUTIVE COMPENSATION                                                                                             | 12     |
|                 |                                                                                                               |   |
| ITEM 12.             | SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS                     | 14     |
|                 |                                                                                                               |   |
| ITEM 13.             | CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE                                          | 14     |
|                 |                                                                                                               |   |
| ITEM 14.             | PRINCIPAL ACCOUNTING FEES AND SERVICES                                                                             | 15     |
|                 |                                                                                                               |   |
| PART IV              |                                                                                                               |   |
|                 |                                                                                                               |   |
| ITEM 15.   | EXHIBITS, FINANCIAL STATEMENT SCHEDULES                                                                            | 16     |
|                 |                                                                                                               |   |
| SIGNATURES           | 17                                                                                                                 |

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| ITEM 1.  | BUSINESS. |
|---------------|-----------|

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|   | · | Our coffee is specialty coffee.  Specialty coffee is defined as a coffee that has no defects and has a distinctive flavor in the cup.  Like wine and honey, specialty coffee has a unique flavor thanks to the micro-climates that produce it.  Our coffee is full bodied with a sweet caramel taste. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Our coffee is Strictly Hard Bean.  Strictly Hard Bean is part of a classification system for coffees, with the characteristic of being cultivated above 3,900 feet above sea level.  In Costa Rica, coffee trees that grow at this altitude produce higher quality beans that have a high density that holds in the nutrients and flavor the beans during roasting. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Our packaging is unique in that our bag incorporates a one-way degassing valve to protect the freshness of the coffee. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------|

|   | · | Our coffee is processed under the highest quality standards, using the latest and most environmentally friendly machinery available.  We maintain the strictest environmental standards concerning water quality, recycling and reforestation. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | We have exclusive worldwide rights to distribute all coffee products of Don Marcos Coffee Company, S.A. |
|--------|--------|---------------------------------------------------------------------------------------------------------|

|   | · | We have the right to appoint subdistributors, but have not done so yet. |
|--------|--------|-------------------------------------------------------------------------|

|   | · | We must place a minimum order of $200 with payment terms of net 30 days. |
|--------|--------|--------------------------------------------------------------------------|

|   | · | We have a 30 day right of inspection of the coffee. |
|--------|--------|-----------------------------------------------------|

|   | · | The agreement has an initial term of five years with automatic five year renewals unless either party terminates in writing at least 90 days prior to the end of any term. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | We pay the current market price for coffee when we place an order for coffee from Don Marcos Coffee Company, S.A. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------|

| ITEM 1A.  | RISK FACTORS |
|----------------|--------------|

| ITEM 1B.  | UNRESOLVED STAFF COMMENTS |
|----------------|---------------------------|

| ITEM 2.  | PROPERTIES |
|---------------|------------|

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| ITEM 3.  | LEGAL PROCEEDINGS |
|---------------|-------------------|

| ITEM 4.  | (REMOVED AND RESERVED) |
|---------------|------------------------|

| ITEM 5. | MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS, AND ISSUER PURCHASES OF EQUITY SECURITIES |
|---------|---------------------------------------------------------------------------------------------------------------------|

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| ITEM 6. | SELECTED FINANCIAL DATA |
|---------|-------------------------|

| ITEM 7. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION |
|---------|--------------------------------------------------------------------------------------------|

----

----

|                 |   | Year Ended     |     |   | Year Ended     |   |     |       |   |
|----------------------|--------|----------------|----------|--------|----------------|--------|----------|------------|--------|
|                 |   | December 31,   |     |   | December 31,   |   |     | Increase/  |   |
|                 |   | 2010 (Audited) |     |   | 2009 (Audited) |   |     | (Decrease) |   |
|                 |   |           |     |   |           |   |     |       |   |
| Revenue              |   | $              | 344      |   |           | $      | 1,152    |       |   | $ | (808 | ) |
| Operating expenses   |   |           | 34,984   |   |           |   | 32,646   |       |   | $ | (2,338 | ) |
| Net (loss)           |   |           | ( 34,640 | )      |           |   | ( 31,494 | )          |   | $ | (3,146 | ) |
| Net (loss) per share |   | $              | ( 0.00   | )      |           | $      | ( 0.00   | )          |   | $ | (0.00 | ) |

----

|                |   | December 31, |    |   | December 31, |   |
|---------------------|--------|--------------|---------|--------|--------------|--------|
|                |   | 2010         |    |   | 2009         |   |
|                |   |         |    |   |         |   |
| Current assets      |   | $            | 10,505  |   |         | $      | 9,403 |   |
| Current liabilities |   |         | 57,311  |   |         |   | 21,569 |   |
| Deficit             |   | $            | (46,806 | )      |         | $      | (12,166 | ) |

| ITEM 7A | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
|---------|------------------------------------------------------------|

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| ITEM 8.   | FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA |
|---------------------|---------------------------------------------|

| ITEM 9. | CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE |
|---------|--------------------------------------------------------------------------------------|

| ITEM 9A.  | CONTROLS AND PROCEDURES |
|----------------|-------------------------|

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| ITEM 9B. | OTHER INFORMATION |
|----------|-------------------|

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| ITEM 10. | DIRECTORS, EXECUTIVE OFFICERS, AND CORPORATE GOVERNANCE |
|----------|---------------------------------------------------------|

| Name                | Age | Position                           |
|---------------------|-----|------------------------------------|
| Earl T. Shannon     | 43  | Director, President                |
| Steven W. Hudson    | 41  | Director, Executive Vice President |
| Scott W. Bodenweber | 39  | Director, Chief Financial Officer  |
| Peter Wright        | 59  | Director, Secretary                |
| Mark E. Tupper      | 64  | Director                           |

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| ITEM 11.  | EXECUTIVE COMPENSATION |
|----------------|------------------------|

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|                | Option Awards                                                      |
|---------------------|--------------------------------------------------------------------|
| Name                | Number of securities underlying unexercised options (#)exercisable | Number of securities underlying unexercised options (#) unexercisable | Equity incentive plan awards: Number of securities underlying unexercised unearned options(#) | Option exercise price ($) | Option expiration date |
| Earl T. Shannon     | 1,000,000                                                          | -0- | -0- | $0.005 | 02/01/17 |
| Steven W. Hudson    | 1,000,000                                                          | -0- | -0- | $0.005 | 02/01/17 |
| Scott W. Bodenweber | 1,000,000                                                          | -0- | -0- | $0.005 | 02/01/17 |
| Peter Wright        | 1,000,000                                                          | -0- | -0- | $0.005 | 02/01/17 |
| Mark E. Tupper      | 1,000,000                                                          | -0- | -0- | $0.005 | 02/01/17 |
| TOTAL               | 5,000,000                                                          | -0- | -0- |   |   |

----

| ITEM 12.  | SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS |
|----------------|------------------------------------------------------------------------------------------------|

| Name and Address of Beneficial Owners1                         | Amount and Nature of Beneficial Ownership | Percent Ownership2 |
|----------------------------------------------------------------|-------------------------------------------|--------------------|
| Earl T. Shannon, Director, President                           | 13,225,0003                               | 26.8%              |
| Steven W. Hudson, Director, Executive Vice President           | 10,737,5004                               | 21.8%              |
| Scott W. Bodenweber, Director, Chief Financial Officer         | 10,937,5005                               | 21.8%              |
| Peter Wright, Director, Secretary                              | 1,200,0006                                | 2.4%               |
| Mark E. Tupper, Director                                       | 2,000,0007                                | 4.1%               |
| All executive officers and directors as a group (five persons) | 38,100,000                                | 77.3%              |

| ITEM 13. | CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE |
|----------|---------------------------------------------------------------------------|

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| 1 | C/o our address, 1850 Southeast 17th Street, Suite 300, Ft. Lauderdale, FL 33316. |
|---|-----------------------------------------------------------------------------------|

| 2 | Except as otherwise indicated, we believe that the beneficial owners of common stock listed above, based on information furnished by such owners, have sole investment and voting power with respect to such shares, subject to community property laws where applicable.  Beneficial ownership is determined in accordance with the rules of the SEC and generally includes voting or investment power with respect to securities.  Shares of common stock subject to options or warrants currently exercisable, or exercisable within 60 days, are deemed outstanding for purposes of computing the percentage of the person holding such options or warrants, but are not deemed outstanding for purposes of computing the percentage of any other person. |
|---|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3 | Includes 1,000,000 options to purchase shares of common stock at $0.005 per share until February 1, 2017. |
|---|-----------------------------------------------------------------------------------------------------------|

| 4 | Includes 1,000,000 options to purchase shares of common stock at $0.005 per share until February 1, 2017 and 400,000 shares of common stock owned by family members. |
|---|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5 | Includes 1,000,000 options to purchase shares of common stock at $0.005 per share until February 1, 2017 and 600,000 shares owned by family members. |
|---|------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6 | Consists of 1,000,000 options to purchase shares of common stock at $0.005 per share until February 1, 2017 and 200,000 shares owned by family members. |
|---|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| 7 | Includes 1,000,000 options to purchase shares of common stock at $0.005 per share until February 1, 2017. |
|---|-----------------------------------------------------------------------------------------------------------|

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| ITEM 14. | PRINCIPAL ACCOUNTING FEES AND SERVICES |
|----------|----------------------------------------|

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| ITEM 15. | EXHIBITS, FINANCIAL STATEMENT SCHEDULES |
|----------|-----------------------------------------|

| 3.1 | Articles of Incorporation of Don Marcos Trading Co., filed May 11, 19991 |
|-----|--------------------------------------------------------------------------|

| 3.2 | Amendment to Articles of Incorporation of Don Marcos Trading Co., filed February 6, 20031 |
|-----|-------------------------------------------------------------------------------------------|

| 3.3 | Amendment to Articles of Incorporation of Don Marcos Trading Co., filed February 14, 20071 |
|-----|--------------------------------------------------------------------------------------------|

| 3.4 | Amendment to Articles of Incorporation of Don Marcos Trading Co., filed May 4, 20071 |
|-----|--------------------------------------------------------------------------------------|

| 3.5  | Amended and Restated Bylaws of Don Marcos Trading Co., dated February 2, 20071 |
|-----------|--------------------------------------------------------------------------------|

| 10.1 | 2007 Incentive and Nonstatutory Stock Option Plan, dated February 1, 20071 |
|------|----------------------------------------------------------------------------|

| 10.2 | Distributorship Agreement dated January 23, 20031 |
|------|---------------------------------------------------|

| 10.3 | Stock Purchase Agreement with Earl T. Shannon, dated April 1, 20082 |
|------|---------------------------------------------------------------------|

| 10.4 | Stock Purchase Agreement with Steven W. Hudson, dated April 1, 20082 |
|------|----------------------------------------------------------------------|

| 10.5 | Stock Purchase Agreement with Scott W. Bodenweber, dated April 1, 20082 |
|------|-------------------------------------------------------------------------|

| 10.6 | Stock Purchase Agreement with Earl T. Shannon, dated August 4, 20083 |
|------|----------------------------------------------------------------------|

| 10.7 | Stock Purchase Agreement with Steven W. Hudson, dated August 4, 20083 |
|------|-----------------------------------------------------------------------|

| 10.8 | Stock Purchase Agreement with Scott W. Bodenweber, dated August 4, 20083 |
|------|--------------------------------------------------------------------------|

| 10.9 | Stock Purchase Agreement with Earl T. Shannon, dated April 13, 20094 |
|------|----------------------------------------------------------------------|

| 10.10 | Stock Purchase Agreement with Steven W. Hudson, dated April 13, 20094 |
|-------|-----------------------------------------------------------------------|

| 10.11 | Stock Purchase Agreement with Scott W. Bodenweber, dated April 13, 20094 |
|-------|--------------------------------------------------------------------------|

| 10.12 | Stock Purchase Agreement with Mark E. Tupper, dated July 14, 20095 |
|-------|--------------------------------------------------------------------|

| 10.13 | Promissory Note with Scott W. Bodenweber, dated April 9, 20105 |
|-------|----------------------------------------------------------------|

| 10.14 | Second Promissory Note with Scott W. Bodenweber, dated November 5, 20106 |
|-------|--------------------------------------------------------------------------|

| 14 | Code of Ethics7 |
|----|-----------------|

| 31.1 | Certification of Chief Executive Officer Pursuant to the Securities Exchange Act of 1934, Rules 13a-14 and 15d-14, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 31.2 | Certification of Chief Financial Officer Pursuant to the Securities Exchange Act of 1934, Rules 13a-14 and 15d-14, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 |
|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 32 | Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes Oxley Act of 2002 |
|----|------------------------------------------------------------------------------------------------------------------------|

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2  Incorporated by reference from our Current Report on Form 8-K, filed on April 30, 2008.

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|                        | DON MARCOS TRADING CO. |                                       |
|-----------------------------|------------------------|--------------------------------------------|
|                        |                   |                                       |   |
| DATED: March 31, 2011  | By:                    | /s/ Earl T. Shannon                   |   |
|                        |                   | Earl T. Shannon                            |   |
|                        |                   | Director, President                        |   |
|                        |                   | (Principal Executive Officer and Director) |   |

| DATED: March 31, 2011  | By:    | /s/ Scott W. Bodenweber                                              |   |
|-----------------------------|--------|---------------------------------------------------------------------------|--------|
|                        |   | Scott W. Bodenweber                                                       |   |
|                        |   | Director, Chief Financial Officer                                         |   |
|                        |   | (Principal Financial Officer, Principal Accounting Officer, and Director) |   |

| DATED: March 31, 2011  | By:    | /s/ Steven W. Hudson          |   |
|-----------------------------|--------|------------------------------------|--------|
|                        |   | Steven W. Hudson                   |   |
|                        |   | Director, Executive Vice President |   |
|                        |   | (Director)                         |   |

----

----

|                                                                                                                                                                   |   | 2010   |     |   | 2009   |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------|--------|--------|--------|
|                                                                                                                                                                   |   |   |     |   |   |   |
| ASSETS                                                                                                                                                                 |   |
|                                                                                                                                                                   |   |   |     |   |   |   |
| CURRENT ASSETS                                                                                                                                                         |   |   |     |   |   |   |
| Cash                                                                                                                                                                   |   | $      | 1,685    |   |   | $      | 469 |   |
| Accounts receivable                                                                                                                                                    |   |   | -        |   |   |   | 96 |   |
| Inventory                                                                                                                                                              |   |   | 8,820    |   |   |   | 8,838 |   |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
|           TOTAL CURRENT ASSETS                                                                                            |   | $      | 10,505   |   |   | $      | 9,403 |   |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
| LIABILITIES AND STOCKHOLDERS’ DEFICIT                                                                                                                            |   |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
| CURRENT LIABILITIES                                                                                                                                                    |   |   |     |   |   |   |   |   |
|     Accounts payable and accrued expenses                                                                                                               |   | $      | 7,311    |   |   | $      | 21,569 |   |
|     Notes payable, stockholder                                                                                                                          |   |   | 50,000   |   |   |   | - |   |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
|                     TOTAL CURRENT LIABILITIES                           |   |   | 57,311   |   |   |   | 21,569 |   |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
| STOCKHOLDERS’ DEFICIT                                                                                                                                            |   |   |     |   |   |   |   |   |
|     Preferred stock, no stated value                                                                                                                    |   |   |     |   |   |   |   |   |
|         Authorized - 10,000,000 shares                                                                                              |   |   |     |   |   |   |   |   |
|         Issued and outstanding -0- shares                                                                                           |   |   | -        |   |   |   | - |   |
|     Common stock, no par value                                                                                                                          |   |   |     |   |   |   |   |   |
|         Authorized - 100,000,000 shares                                                                                             |   |   |     |   |   |   |   |   |
|         Issued and outstanding - 48,300,000 shares at                                                                               |   |   |     |   |   |   |   |   |
|             December 31, 2010 and 2009                                                                          |   |   | 243,454  |   |   |   | 243,454 |   |
|     Deficit accumulated during the                                                                                                                      |   |   |     |   |   |   |   |   |
|         development stage                                                                                                           |   |   | (290,260 | )      |   |   | ( 255,620 | ) |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
|                     TOTAL STOCKHOLDERS’ DEFICIT                   |   |   | (46,806  | )      |   |   | (12,166 | ) |
|                                                                                                                                                                   |   |   |     |   |   |   |   |   |
|                     TOTAL LIABILITIES AND                               |   |   |     |   |   |   |   |   |
|                         STOCKHOLDERS’ DEFICIT |   | $      | 10,505   |   |   | $      | 9,403 |   |

----

|                                                                    |   | 2010   |       |   | 2009   |   |       | May 11, 1999 (Inception) To December 31, 2010 |   |
|-------------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|------------|-----------------------------------------------|--------|
|                                                                    |   |   |       |   |   |   |       |                                          |   |
| REVENUES                                                                |   | $      | 344        |   |   | $      | 1,152      |                                          |   | $ | 1,976 |   |
|                                                                    |   |   |       |   |   |   |       |                                          |   |   |   |   |
| OPERATING EXPENSES                                                      |   |   | 34,984     |   |   |   | 32,646     |                                          |   |   | 292,236 |   |
|                                                                    |   |   |       |   |   |   |       |                                          |   |   |   |   |
| NET (LOSS)                                                              |   | $      | (34,640    | )      |   | $      | (31,494    | )                                             |   | $ | (290,260 | ) |
|                                                                    |   |   |       |   |   |   |       |                                          |   |   |   |   |
| NET (LOSS) PER SHARE                                                    |   |   |       |   |   |   |       |                                          |   |   |   |   |
|                                                                    |   |   |       |   |   |   |       |                                          |   |   |   |   |
|          Basic and diluted |   | $      | (.00       | )      |   | $      | (.00       | )                                             |   |   |   |   |
|                                                                    |   |   |       |   |   |   |       |                                          |   |   |   |   |
| WEIGHTED AVERAGE NUMBER                                                 |   |   |       |   |   |   |       |                                          |   |   |   |   |
|     OF SHARES OUTSTANDING                           |   |   |       |   |   |   |       |                                          |   |   |   |   |
|                                                                    |   |   |       |   |   |   |       |                                          |   |   |   |   |
| Basic and diluted                                                       |   |   | 48,300,000 |   |   |   | 46,984,900 |                                          |   |   |   |   |

----

|                          |   |         |       |   |        |   |    | Deficit     |   |   |     |   |
|-------------------------------|--------|--------------|------------|--------|-------------|--------|---------|-------------|--------|--------|----------|--------|
|                          |   |         |       |   |        |   |    | Accumulated |   |   |     |   |
|                          |   |         |       |   |        |   |    | During The  |   |   |     |   |
|                          |   | Common Stock |       |   | Development |   |    |        |   |
|                          |   | Shares       |       |   | Amount      |   |    | Stage       |   |   | Total    |   |
|                          |   |         |       |   |        |   |    |        |   |   |     |   |
| BALANCE, DECEMBER 31, 2008    |   |         | 44,300,000 |   |        | $      | 223,454 |        |   | $      | (224,126 | )      |   | $ | (672 | ) |
|                          |   |         |       |   |        |   |    |        |   |   |     |   |   |   |   |   |
| Common stock issued for cash  |   |         | 4,000,000  |   |        |   | 20,000  |        |   |   | -        |   |   |   | 20,000 |   |
|                          |   |         |       |   |        |   |    |        |   |   |     |   |   |   |   |   |
| Net (loss) for the year ended |   |         |       |   |        |   |    |        |   |   |     |   |   |   |   |   |
|   December 31, 2009 |   |         | -          |   |        |   | -       |        |   |   | (31,494  | )      |   |   | (31,494 | ) |
|                          |   |         |       |   |        |   |    |        |   |   |     |   |   |   |   |   |
| BALANCE, DECEMBER 31, 2009    |   |         | 48,300,000 |   |        |   | 243,454 |        |   |   | (255,620 | )      |   |   | (12,166 | ) |
|                          |   |         |       |   |        |   |    |        |   |   |     |   |   |   |   |   |
| Net (loss) for the year ended |   |         |       |   |        |   |    |        |   |   |     |   |   |   |   |   |
|   December 31, 2010 |   |         | -          |   |        |   | -       |        |   |   | (34,640  | )      |   |   | (34,640 | ) |
|                          |   |         |       |   |        |   |    |        |   |   |     |   |   |   |   |   |
| BALANCE, DECEMBER 31, 2010    |   |         | 48,300,000 |   |        | $      | 243,454 |        |   | $      | (290,260 | )      |   | $ | (46,806 | ) |

----

|                                         |   |   |    |   |   |   |    | May 11, 1999      |   |
|----------------------------------------------|--------|--------|---------|--------|--------|--------|---------|-------------------|--------|
|                                         |   |   |    |   |   |   |    | (Inception) To    |   |
|                                         |   | 2010   |    |   | 2009   |   |    | December 31, 2010 |   |
|                                         |   |   |    |   |   |   |    |              |   |
| CASH FLOWS FROM                              |   |   |    |   |   |   |    |              |   |
|    OPERATING ACTIVITIES:           |   |   |    |   |   |   |    |              |   |
| Net (loss)                                   |   | $      | (34,640 | )      |   | $      | (31,494 | )                 |   | $ | (290,260 | ) |
| Adjustments to reconcile net                 |   |   |    |   |   |   |    |              |   |   |   |   |
| (loss) to net cash (used)                    |   |   |    |   |   |   |    |              |   |   |   |   |
| by operating activities:                     |   |   |    |   |   |   |    |              |   |   |   |   |
| Common stock issuedfor services              |   |   | -       |   |   |   | -       |              |   |   | 3,635 |   |
| Stock based compensation                     |   |   | -       |   |   |   | -       |              |   |   | 45,474 |   |
| Changes in operating assets and liabilities: |   |   |    |   |   |   |    |              |   |   |   |   |
| Accounts receivable                          |   |   | 96      |   |   |   | (96     | )                 |   |   | - |   |
| Inventory                                    |   |   | 18      |   |   |   | 53      |              |   |   | (8,820 | ) |
| Accounts payable and accrued expenses        |   |   | (14,258 | )      |   |   | 9,393   |              |   |   | 7,311 |   |
|                                         |   |   |    |   |   |   |    |              |   |   |   |   |
| NET CASH (USED) IN                           |   |   |    |   |   |   |    |              |   |   |   |   |
|    OPERATING ACTIVITIES            |   |   | (48,784 | )      |   |   | (22,144 | )                 |   |   | (242,660 | ) |
|                                         |   |   |    |   |   |   |    |              |   |   |   |   |
| CASH FLOWS FROM                              |   |   |    |   |   |   |    |              |   |   |   |   |
|    INVESTING ACTIVITIES            |   |   | -       |   |   |   | -       |              |   |   | - |   |
|                                         |   |   |    |   |   |   |    |              |   |   |   |   |
| CASH FLOWS FROM                              |   |   |    |   |   |   |    |              |   |   |   |   |
|    FINANCING ACTIVITIES            |   |   |    |   |   |   |    |              |   |   |   |   |
| Proceeds from notes payable, stockholder     |   |   | 50,000  |   |   |   | -       |              |   |   | 50,000 |   |
| Issuance of common stock for cash            |   |   | -       |   |   |   | 20,000  |              |   |   | 192,000 |   |
| Cash contributed by stockholder              |   |   | -       |   |   |   | -       |              |   |   | 2,345 |   |
|                                         |   |   |    |   |   |   |    |              |   |   |   |   |
| NET CASH PROVIDED BY                         |   |   |    |   |   |   |    |              |   |   |   |   |
|    FINANCING ACTIVITIES       |   |   | 50,000  |   |   |   | 20,000  |              |   |   | 244,345 |   |
|                                         |   |   |    |   |   |   |    |              |   |   |   |   |
| NET INCREASE (DECREASE) IN CASH              |   |   |    |   |   |   |    |              |   |   |   |   |
|    AND CASH EQUIVALENTS            |   |   | 1,216   |   |   |   | (2,144  | )                 |   |   | 1,685 |   |
|                                         |   |   |    |   |   |   |    |              |   |   |   |   |
| CASH AND CASH EQUIVALENTS,                   |   |   |    |   |   |   |    |              |   |   |   |   |
| BEGINNING OF YEAR                            |   |   | 469     |   |   |   | 2,613   |              |   |   | - |   |
|                                         |   |   |    |   |   |   |    |              |   |   |   |   |
| CASH AND CASH EQUIVALENTS,                   |   |   |    |   |   |   |    |              |   |   |   |   |
| END OF YEAR                                  |   | $      | 1,685   |   |   | $      | 469     |              |   | $ | 1,685 |   |

----

|                                                                |   |   |   |   |   |   |   | May 11, 1999      |   |
|---------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|-------------------|--------|
|                                                                |   |   |   |   |   |   |   | (Inception) To    |   |
|                                                                |   | 2010   |   |   | 2009   |   |   | December 31, 2010 |   |
|                                                                |   |   |   |   |   |   |   |              |   |
| SUPPLEMENTAL DISCLOSURE                                             |   |   |   |   |   |   |   |              |   |
|    OF CASH FLOW INFORMATION                          |   |   |   |   |   |   |   |              |   |
|                                                                |   |   |   |   |   |   |   |              |   |
|    CASH PAID DURING THE YEAR FOR:                    |   |   |   |   |   |   |   |              |   |
|                                                                |   |   |   |   |   |   |   |              |   |
|         Interest                 |   | $      | -      |   |   | $      | -      |              |   | $ | - |   |
|                                                                |   |   |   |   |   |   |   |              |   |   |   |   |
|         Taxes                    |   | $      | -      |   |   | $      | -      |              |   | $ | - |   |
|                                                                |   |   |   |   |   |   |   |              |   |   |   |   |
| NON-CASH INVESTING ACTIVITIES                                       |   |   |   |   |   |   |   |              |   |   |   |   |
|                                                                |   |   |   |   |   |   |   |              |   |   |   |   |
|         Stock-based compensation |   | $      | -      |   |   | $      | -      |              |   | $ | 45,474 |   |

----

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

----

| NOTE 1  | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) |
|--------------|--------------------------------------------------------|

|   | Stock Based Compensation |
|--------|--------------------------|

|   | Effective November 1, 2005, the Company adopted ASC 718, “Compensation-Stock Compensation.” Under this method, compensation cost is recognized on or after the effective date for the portion of outstanding awards, for which the requisite service has not yet been rendered, based on the grant date fair value of those awards. For stock-based awards issued on or after November 1, 2005, the Company recognizes the compensation cost on a straight-line basis over the requisite service period for the entire award. Measurement and attribution of compensation cost for awards that are unvested as of the effective date of ASC 718 are based on the same estimate of the grant-date or modification-date fair value and the same attribution method used previously under ASC 718. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| NOTE 1  | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) |
|--------------|--------------------------------------------------------|

|   | Development Stage Enterprise |
|--------|------------------------------|

|   | The Company is a development stage enterprise, as defined in ASC 915, “Development Stage Entities.” The Company’s planned principal operations have not commenced, and accordingly, only nominal revenue has been derived during this period. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Recently Issued Accounting Pronouncements |
|--------|-------------------------------------------|

|   | In September 2006, the Company adopted ASC 250, “Changes and Error Corrections.” ASC 250 was issued to provide consistency to how companies quantify financial statement misstatements. ASC 250 establishes an approach that requires companies to quantify misstatements in financial statements based on effects of the misstatement on both the  balance sheet and statement of operations and the related financial statement disclosures. Additionally, companies must evaluate the cumulative effect of errors existing in prior years that previously had been considered immaterial. We adopted ASC 250 in connection with the preparation of our annual financial statements for the years ended October 31, 2010 and 2009 and found no adjustments necessary. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | In September 2006, the Company adopted ASC 820, “Fair Value Measurements and Disclosures.” ASC 820 defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles and expands disclosures about fair value measurements. ASC 820 does not require any new fair value measurements, rather, its application will be made pursuant to other accounting pronouncements that require or permit fair value measurements. ASC 820 is effective for financial statements issued for fiscal years beginning after November 15, 2007, and interim periods within those years. The provisions of ASC 820 are to be applied prospectively upon adoption, except for limited specified exceptions. We are evaluating the requirements of ASC 820 and do not expect the adoption to have a material impact on our balance sheet or statement of operations. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | In June 2006, the Company adopted ASC 740, “Accounting for Uncertainty in Income Taxes.” ASC 740 clarifies the accounting for uncertainty in income taxes recognized in a company’s financial statements. It prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC 740 also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. ASC 740 is effective for fiscal years beginning after December 15, 2006 and was adopted by us on November 1, 2007. We do not expect the adoption of ASC 740 to have a material impact on our balance sheet or statement of operations. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| NOTE 2 | GOING CONCERN |
|--------|---------------|

|   | The accompanying financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the recoverability of assets and the satisfaction of liabilities in the normal course of business. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | The Company’s development activities since inception have been financially sustained through stockholder contributions to the Company and issuance of common stock. The Company may raise additional funding to continue its operations through contributions from the current shareholders and stock issuance to other investors. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | The ability of the Company to continue as a going concern is dependent upon its ability to raise additional capital from the sale of common stock and, ultimately, the achievement of significant operating revenues. The accompanying financial statements do not include any adjustments that might be required should the Company be unable to recover the value of its assets or satisfy its liabilities. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Management plans to eliminate the going concern situation which includes, but it not limited to obtaining investors to fund the working capital needs of the Company. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| NOTE 3 | INVENTORY |
|--------|-----------|

|   | Inventory consists of the following for the years ended December 31, 2010 and 2009: |
|--------|-------------------------------------------------------------------------------------|

|                        |   | 2010   |   |   | 2009   |   |
|-----------------------------|--------|--------|--------|--------|--------|--------|
|                        |   |   |   |   |   |   |
| Materials    |   | $      | 8,820  |   |   | $      | 8,838 |   |

| NOTE 4  | NOTES PAYABLE, OFFICER AND STOCKHOLDERS |
|--------------|-----------------------------------------|

| NOTE 5 | PREFERRED STOCK |
|--------|-----------------|

| NOTE 6 | COMMON STOCK |
|--------|--------------|

|   | On April 1, 2008, the Company sold 2,400,000 shares of its common stock, no par value, with an aggregate value of $12,000, to three officers of the company. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | On August 4, 2008, the Company sold 4,800,000 shares of its common stock, no par value, for cash in the amount of $24,000 to three officers of the company. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| NOTE 6 | COMMON STOCK (CONTINUED) |
|--------|--------------------------|

|   | On April 13, 2009, the Company entered into Stock Purchase Agreements with certain of the Company’s officers for the sale to those officers of the Company’s common stock for cash as follows: |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Name of Officer     |   | Number ofCommon StockShares Purchased |      |   | PurchasePrice Paid |   |
|---------------------|--------|---------------------------------------|-----------|--------|--------------------|--------|
| Earl Shannon        |   |                                  | 1,000,000 |   |               | $      | 5,000 |   |
| Steven W. Hudson    |   |                                  | 1,000,000 |   |               | $      | 5,000 |   |
| Scott W. Bodenweber |   |                                  | 1,000,000 |   |               | $      | 5,000 |   |

| NOTE 7 | STOCK OPTIONS |
|--------|---------------|

|   | The directors of the Company approved the Don Marcos Trading Co., Inc. 2007 Incentive and Nonstatutory Stock Option Plan which permits the officers to grant, for a ten year period, both stock purchase rights and stock options. The Company has reserved 5,000,000 shares of its common stock for issuance to the directors, employees and consultants under the Plan. The Plan is administered by the officers of the Company. The administrators have the authority and discretion, subject to the provisions of the Plan, to select persons to whom stock purchase rights or options will be granted, to designate the number of shares to be covered by each option or stock purchase right, to specify the type of consideration to be paid, and to establish all other terms and conditions of each option or stock purchase right. Options granted under the Plan will not have a term that exceeds ten years from date of grant. The stock subject to the Plan and issuable upon exercise of options granted under the Plan are shares of the Company’s common stock, no par value, which may be restricted, or grants of options to purchase shares of common stock. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| NOTE 7 | STOCK OPTIONS (CONTINUED) |
|--------|---------------------------|

|   | During the years ended December 31, 2010 and 2009, there were no options issued. |
|--------|----------------------------------------------------------------------------------|

|                                     |   | SharesUnderOption |      |   | Weighted Average ExercisePrice |   |
|------------------------------------------|--------|-------------------|-----------|--------|--------------------------------|--------|
| Options outstanding at January 1, 2009   |   |              | -         |   |                           | $      | - |   |
| Issuances                                |   |              | 5,000,000 |   |                           |   | 0.005 |   |
| Cancelled, expired or new issuances      |   |              | -         |   |                           |   | - |   |
| Options outstanding at December 31, 2009 |   |              | 5,000,000 |   |                           | $      | 0.005 |   |

| Price                                       |   | $      | 0.005            |   |
|---------------------------------------------|--------|--------|------------------|--------|
| Weighted average exercise price             |   | $      | 0.005            |   |
|                                        |   |   |             |   |
| Weighted average remaining contractual life |   |   | 7 years, 1 month |   |

|                                     |   | SharesUnderOption |      |   | Weighted Average ExercisePrice |   |
|------------------------------------------|--------|-------------------|-----------|--------|--------------------------------|--------|
| Options outstanding at January 1, 2010   |   |              | 5,000,000 |   |                           | $      | 0.005 |   |
| Cancelled, expired or new issuances      |   |              | -         |   |                           |   | - |   |
| Options outstanding at December 31, 2010 |   |              | 5,000,000 |   |                           | $      | 0.005 |   |

| Price                                       |   | $      | 0.005            |   |
|---------------------------------------------|--------|--------|------------------|--------|
| Weighted average exercise price             |   | $      | 0.005            |   |
|                                        |   |   |             |   |
| Weighted average remaining contractual life |   |   | 6 years, 1 month |   |

----

| NOTE 8 | INCOME TAXES |
|--------|--------------|

|   | Provision (Benefit) |
|--------|---------------------|

|   | There was no income tax provision (benefit) for the years ended December 31, 2010 and 2009. |
|--------|---------------------------------------------------------------------------------------------|

|   | Deferred Tax Components |
|--------|-------------------------|

|   | Significant components of the Company’s deferred tax assets are as follows: |
|--------|-----------------------------------------------------------------------------------|

|                                      |   | 2010   |          |   | 2009   |   |
|-------------------------------------------|--------|--------|---------------|--------|--------|--------|
| Net operating loss carryforwards          |   | $      | 59,000        |   |   | $      | 48,000 |   |
| Less valuation allowance                  |   |   |  (59,000 | )      |   |   |  ( 48,000 | ) |
|    Net deferred tax assets |   | $      | -             |   |   | $      | - |   |

|   | Summary of valuation allowance: |
|--------|---------------------------------|

|                       |   | 2010   |         |   | 2009   |   |
|----------------------------|--------|--------|--------------|--------|--------|--------|
| Balance, beginning of year |   | $      | 48,000       |   |   | $      | 39,000 |   |
| Increase for the year      |   |   |  11,000 |   |   |   |  9,000 |   |
| Balance, end of year       |   | $      | 59,000       |   |   | $      | 48,000 |   |

|   | In assessing the realizability of deferred assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| NOTE 8 | INCOME TAXES (CONTINUED) |
|--------|--------------------------|

|   | Net Operating Loss Carryforwards |
|--------|----------------------------------|

| Year of Loss      |   | 2010   |         |   | 2009   |   | Expiration Date |
|-------------------|--------|--------|--------------|--------|--------|--------|-----------------|
| December 31, 2007 |   | $      | 87,000       |   |   | $      | 87,000          |   | December 31, 2027 |
| December 31, 2008 |   |   | 43,000       |   |   |   | 43,000          |   |   December 31, 2028 |
| December 31, 2009 |   |   | 31,000       |   |   |   | 31,000          |   | December 31, 2029 |
| December 31, 2010 |   |   |  35,000 |   |   |   | -               |   | December 31, 2030 |
|              |   |   |         |   |   |   |            |   |   |
|              |   | $      | 196,000      |   |   | $      | 161,000         |   |   |

| NOTE 9 | SUBSEQUENT EVENTS |
|--------|-------------------|

|   | The Company’s management has reviewed all material events through the date of this report in accordance with ASC 855-10, and believes there are no further material subsequent events to report. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|