**UNITED
      STATES**


**SECURITIES
      AND EXCHANGE COMMISSION**


**Washington,
      DC 20549**





**FORM
      10-QSB**





[X]QUARTERLY
      REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For
      the
      quarterly period ended:  June 30, 2007




**OR**





[   ] TRANSITION
      REPORT UNDER SECTION 13 OR 15(D) OF THE EXCHANGE ACT OF 1934For
      the
      transition period from__________
      to __________.




Commission
      File No. **000-51727**





**SYDYS
                CORPORATION**(Exact
                Name of Small Business Issuer as Specified in Its
                Charter)





**Nevada**
            **98-0418961**(State
                or Other Jurisdiction of
              Incorporation
                or Organization)
            (IRS
                Employer
              Identification
                No.)


**7
        Orchard Lane**
 **Lebanon,
        NJ  08833** (Address
          of Principal Executive Offices)


**(908)
                236-9885**(Issuer's
                Telephone Number, including Area
                Code)





Check
      whether the issuer (1) filed all reports required to be filed by Section 13
      or
      15(d) of the Exchange Act during the past 12 months (or for such shorter period
      that the registrant was required to file such reports), and (2) has been subject
      to such filing requirements for the past 90 days.Yes  [ X
      ]   No  [    ]








Indicate
      by check mark whether the registrant is a shell company (as defined in rule
      12b-2 of the Exchange Act).Yes  [
      X  ]   No  [    ]





**APPLICABLE
      ONLY TO ISSUERS INVOLVED IN**


**BANKRUPTCY
      PROCEEDINGS DURING THE**


**PRECEDING
      FIVE YEARS**





Check
      whether the registrant filed all documents and reports required to be filed
      by
      Section 12, 13 or 15(d) of the Exchange Act after the distribution of securities
      under a plan confirmed by a
      court.Yes  [   ]  No  [   ]








**APPLICABLE
      ONLY TO CORPORATE ISSUERS**





State
      the
      number of shares outstanding of each of the issuer's classes of common equity,
      as of the latest practicable date: There were 21,727,498 issued and outstanding
      shares of the issuer’s common stock, $.001 par value per share, on August 14,
      2007.





Transitional
      Small Business Disclosure Format (check one):
      Yes  [    ]   No  [ X
      ]










**TABLE
      OF CONTENTS**






**PART
                I**
              ****FINANCIAL
                INFORMATION******Page**Item
                1.
            Financial
                Statements
            3Condensed
                Balance Sheets – (Unaudited)
            3Condensed
                Statements of Operations – (Unaudited)
            4Condensed
                Statements of Cash Flows – (Unaudited)
            5Notes
                to Condensed Financial Statements
            6Item
                2.
            Plan
                of Operation
            8Item
                3.
            Controls
                and Procedures
            13**PART
                II**
              ****OTHER
                INFORMATION****Item
                5.
            Other
              Information
            13Item
                6.
            Exhibits
            13Signatures
            
            14






2


**PART
        I**
 **FINANCIAL
        INFORMATION**




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


**SYDYS
        CORPORATION**
 **(A
        Development Stage Company)**
 **CONDENSED
        BALANCE SHEETS**
   **ASSETS****June
                    30**
                
                
                **September
                    30****2007**
                
                
                **2006***(unaudited)*
                
                
                *(audited)*Current
                    AssetsCash
                    and cash equivalents
                
                $
                357,715
                
                
                $
                606,532Notes
                    and interest receivable
                
                
                554
                
                
                
                155,055Other
                    receivable
                
                
                11,144
                
                
                
                -Prepaid
                    expenses
                
                
                1,327
                
                
                
                -Total
                    Current Assets
                
                $
                370,740
                
                
                $
                761,587**LIABILITIES
                    AND STOCKHOLDERS’ EQUITY**Current
                    LiabilitiesAccounts
                    payable and accrued expenses
                
                $
                112,312
                
                
                $
                94,458Total
                    Current Liabilities
                
                
                112,312
                
                
                
                94,458Commitments
                    and ContingenciesStockholders’
                    EquityCommon
                    stock; $.001 par value; 33,333,333 shares authorized;21,727,498
                    and 21,995,556 issued and outstanding atJune
                    30, 2007 and September 30, 2006, respectively.
                
                
                21,727
                
                
                
                21,996Additional
                    paid-in capital
                
                
                656,798
                
                
                
                878,524Deficit
                    accumulated in the development stage
                
                
                (420,097
                )
                
                
                (233,391
                )Total
                    Stockholders’ Equity
                
                
                258,428
                
                
                
                667,129$
                370,740
                
                
                $
                761,587






**See
        notes to these condensed financial statements.**




3




**SYDYS
        CORPORATION**
 **(A
        Development Stage Company)**
 **CONDENSED
        STATEMENTS OF OPERATIONS**
 **(Unaudited)**






**Three
                  Months Ended**
              
              
              **Nine
                  Months Ended**
              
              
              **February
                  9, 2004****June
                  30,**
              
              
              **June
                  30,**
              
              
              **(Inception)
                    to****2007**
              
              
              **2006**
              
              
              **2007**
              
              
              **2006**
              
              
              **June
                    30, 2007**Revenues
              
              $
              -
              
              
              $
              -
              
              
              $
              -
              
              
              $
              210
              
              
              $
              210Costs
                  of Goods Sold
              
              
              -
              
              
              
              -
              
              
              
              -
              
              
              
              150
              
              
              
              150Gross
                  Profit
              
              
              -
              
              
              
              -
              
              
              
              -
              
              
              
              60
              
              
              
              60Operating
                  ExpensesAccounting
                  and legal fees
              
              
              92,988
              
              
              
              20,659
              
              
              
              154,893
              
              
              
              37,728
              
              
              
              365,600Consulting
                  fees - related party
              
              
              -
              
              
              
              -
              
              
              
              -
              
              
              
              -
              
              
              
              8,349General
                  and administrative
              
              
              14,836
              
              
              
              8,027
              
              
              
              37,005
              
              
              
              11,534
              
              
              
              56,455Total
                  Operating Expenses
              
              
              107,824
              
              
              
              28,686
              
              
              
              191,898
              
              
              
              49,262
              
              
              
              430,404Loss
                  From Operations
              
              
              (107,824
              )
              
              
              (28,686
              )
              
              
              (191,898
              )
              
              
              (49,202
              )
              
              
              (430,344
              )Interest
                  income
              
              
              -
              
              
              
              (675
              )
              
              
              (5,192
              )
              
              
              (675
              )
              
              
              (10,247
              )Net
                  Loss to Common Stockholders
              
              $
              (107,824
              )
              
              $
              (28,011
              )
              
              $
              (186,706
              )
              
              $
              (48,527
              )
              
              $
              (420,097
              )Basic
                  and Diluted Loss per Common Share
              
              $
              (0.00
              )
              
              $
              (0.00
              )
              
              $
              (0.01
              )
              
              $
              (0.00
              )
              
              $
              (0.03
              )Basic
                  and Diluted Weighted AverageCommon
                  Shares Outstanding
              
              
              21,727,498
              
              
              
              21,104,811
              
              
              
              21,807,701
              
              
              
              21,037,774
              
              
              
              15,948,878






See
      notes to these condensed financial
      statements.




4




**SYDYS
        CORPORATION**
 **(A
        Development Stage Company)**
 **CONDENSED
        STATEMENTS OF CASH FLOWS**
 **(Unaudited)**
   **Nine
                    Months Ended**
                
                
                **February
                        9, 2004****June
                    30,**
                
                
                **(Inception)
                    to****2007**
                
                
                **2006**
                
                
                **June
                    30, 2007**Net
                    Cash Used in Operating Activities
                
                $
                (165,677
                )
                
                $
                (38,695
                )
                
                $
                (317,585
                )Cash
                    Flows from Investing ActivitiesRepayment
                    of Note Receivable
                
                
                805,000
                
                
                
                -
                
                
                
                930,000Funds
                    lent under Note Receivable
                
                
                (655,000
                )
                
                
                (275,000
                )
                
                
                (930,000
                )Net
                    Cash Provided by (Used in) Investing Activities
                
                
                150,000
                
                
                
                (275,000
                )
                
                
                -Cash
                    Flows from Financing ActivitiesNote
                    payable
                
                
                -
                
                
                
                1,000
                
                
                
                1,000Note
                    payable - related party
                
                
                -
                
                
                
                -
                
                
                
                1,547Repayment
                    of note payable
                
                
                -
                
                
                
                -
                
                
                
                (1,000
                )Repayment
                    of note payable - related party
                
                
                -
                
                
                
                (254
                )
                
                
                (1,547
                )Issuance
                    of common stock, net of offering costs
                
                
                -
                
                
                
                697,000
                
                
                
                908,440Repurchase
                    of common stock, net of refunded brokerage fee
                
                
                (233,140
                )
                
                
                -
                
                
                
                (233,140
                )Net
                    Cash Provided by (Used in) Financing Activities
                
                
                (233,140
                )
                
                
                697,746
                
                
                
                675,300Net
                    Increase(Decrease) in Cash and Cash Equivalents
                
                
                (248,817
                )
                
                
                384,051
                
                
                
                357,715Cash
                    and Cash Equivalents, Beginning of Period
                
                
                606,532
                
                
                
                31,912
                
                
                
                -Cash
                    and Cash Equivalents, End of Period
                
                $
                357,715
                
                
                $
                415,963
                
                
                $
                357,715Supplemental
                    Cash Flow DisclosureCash
                    paid for interest
                
                $
                -
                
                
                $
                -
                
                
                $
                -Cash
                    paid for income taxes
                
                $
                -
                
                
                $
                -
                
                
                $
                -


See
      notes to these condensed financial
      statements.





5




**SYDYS
        CORPORATION**
 **(A
        Development Stage Company)**
 **Notes
        to Condensed Financial Statements**








**NOTE
        1 - BASIS OF PRESENTATION**




The
          unaudited condensed financial statements included herein have been prepared
          by
          Sydys Corporation (the "Company", or “Sydys), without audit, pursuant to the
          rules and regulations of the Securities and Exchange Commission. The financial
          statements reflect all adjustments that are, in the opinion of management,
          necessary to fairly present such information. All such adjustments are
          of a
          normal recurring nature except for the reverse stock split as described
          in Note
          5. Although the Company believes that the disclosures are adequate to make
          the
          information presented not misleading, certain information and footnote
          disclosures, including a description of significant accounting policies
          normally
          included in financial statements prepared in accordance with accounting
          principles generally accepted in the United States of America (“US GAAP”), have
          been condensed or omitted pursuant to such rules and regulations.
 
 These
          financial statements should be read in conjunction with the financial statements
          and the notes thereto included in the Company's Annual Report for the fiscal
          year ended September 30, 2006 in Form 10-KSB filed with the Securities
          and
          Exchange Commission. The results of operations for interim periods are
          not
          necessarily indicative of the results for any subsequent quarter or the
          entire
          fiscal year ending September 30, 2007.
 
 For
          comparability purposes, certain figures for the prior periods have been
          reclassified where appropriate to conform to the financial statement
          presentation used in current reporting period. These reclassifications
          had no
          effect on reported net loss.
  
 **NOTE
          2 - DESCRIPTION OF BUSINESS**
 
 The
          Company is a Nevada corporation incorporated on February 9, 2004 and based
          in
          Lebanon, New Jersey.
 
 The
          Company was formed for the purpose of engaging in on-line advertising business.
          The Company has been unable to execute its business plan, and has exited
          the
          online advertising business. The Company is now considered a shell corporation
          under applicable rules of the Securities Exchange Commission promulgated
          under
          the Securities Exchange Act of 1934, as amended.
 
 On
          May
          10, 2006, the Company's former management team and board of directors resigned
          and sold all of their shares of common stock to Kenneth Koock, the sole
          executive officer and a director of the Company, which resulted in a change
          of
          control. The board now consists of Kenneth J. Koock, Scotty D. Cook, Darren
          Breitkreuz, and Alan Stier.
  
 **NOTE
          3 - GOING CONCERN**
 
 The
          Company is in the development stage, has incurred losses since its inception
          and
          has no operations. There are no assurances the Company will obtain funding
          necessary to implement its business plan or acquire a business venture
          or
          operating company. These factors raise substantial doubt about the ability
          of
          the Company to continue as a going concern.
 
 The
          Company believes that its existing cash resources will be sufficient to
          fund its
          operations through June 30, 2008.
  6
  **SYDYS
            CORPORATION**
 **(A
            Development Stage Company)**
 **Notes
            to Condensed Financial Statements**
 The
          Company’s ability to continue as a going concern is dependent upon raising
          capital through debt and/or equity financing on terms desirable to the
          Company.
          If the Company is unable to obtain additional funds when they are required
          or if
          the funds cannot be obtained on terms favorable to the Company, the Company
          may,
          in the extreme situation, cease operations. The financial statements do
          not
          include any adjustments that might result from the outcome of this
          uncertainty.
   **NOTE
          4 - NOTES RECEIVABLE**
 
 In
          June
          2006, the Company loaned $150,000 to Hadassa Holdings Limited (“Hadassa”) and
          received a 10% promissory note that was due on December 20, 2006. On December
          20, 2006, Hadassa made a partial payment on the loan in the amount of $75,000.
          As of December 31, 2006, the note had an outstanding balance of $75,000
          with
          unpaid interest of $7,747. On February 5, 2007, Hadassa paid off the remaining
          note balance of $75,000 together with $8,485 of accrued interest.
  
 **NOTE
          5 - CAPITAL STOCK**
 
 Authorized
          Stock
 
 The
          Company was originally authorized to issue 100,000,000 common shares with
          a par
          value of $0.001 per share. Each common share entitles the holder to one
          vote, in
          person or proxy, on any matter on which action of the stockholders of the
          corporation is sought. On April 16, 2007, the Company effected a one-for-three
          reverse split of its common stock. As a result of the reverse split, there
          are
          33,333,333 shares of common stock authorized for issuance.  The
          financial statements of the Company have reflected the reverse split as
          if it
          occurred at the date of inception.
  Share
          Cancellations
 
 On
          June
          9, 2006 the Board of Directors of the Company by unanimous written consent
          approved a private placement offering (the "Offering") of up to 1,666,667
          shares
          of the Company's common stock, subject to adjustment, to be sold at a purchase
          price of $0.90 per share. During June and July 2006, pursuant to the terms
          of
          the Offering, the Company issued 995,556 shares of common stock resulting
          in
          gross proceeds of $896,000. The Company paid $71,680 in brokerage fees
          related
          to the Offering.
 
 In
          November 2006, one of the participants in the July 2006 Offering
          surrendered 113,333 shares of common stock to the Company for
          cancellation, which the Company agreed to repurchase for $102,000, the
          amount originally paid for the stock. As a result of the foregoing, $8,160
          of broker fees were refunded to the Company.
 
 In
          January 2007, two of the participants of the July 2006 Offering surrendered
          154,777 shares of common stock to the Company for cancellation, which the
          company agreed to repurchase for $139,300, the amount originally paid for
          the
          stock. As a result of the foregoing, $11,144 of brokerage fees will be
          refunded
          to the Company.
  
 **NOTE
          6 - SUBSEQUENT EVENT**
 
 On
          July
          9, 2007 and July 17, 2007, the Company loaned $50,000 each to Corporation
          of
          Automotive Remarketing, Inc., an unrelated company, for a total of $100,000
          and
          received two 8.25% unsecured promissory notes payable upon demand.
 
 On
          August
          1, 2007, in connection with the appointment of Darren Breitkreuz as the
          director
          of the Company, the Company agreed to grant an option to Mr. Breitkreuz
          to
          purchase 250,000 shares of its common stock at an exercise price of $1.00
          per
          share.  The option vests immediately and expires after three
          years.
  On
          August
          2, 2007, the Company appointed Alan Stier to serve as a director of the
          Company.
  7


**CAUTIONARY
      STATEMENT REGARDING FORWARD-LOOKING STATEMENTS**





The
      information contained in this report on Form 10-QSB and in other public
      statements by the Company and Company officers or directors includes or may
      contain certain “forward-looking statements” within the meaning of Section 27A
      of the Securities Act of 1933, as amended, and Section 21E of the Securities
      Exchange Act of 1934, as amended.  All statements other than
      statements of historical facts included or incorporated by reference in this
      report, including, without limitation, statements regarding our future financial
      position, business strategy, budgets, projected revenues, projected costs and
      plans and objective of management for future operations, are forward-looking
      statements.  Forward-looking statements generally can be identified by
      the use of forward-looking terminology such as “may,” “will,” “expect,”
“intend,” “project,” “estimate,” “anticipate,” or “believe” or the negative
      thereof or any variation thereon or similar terminology.





Such
      forward-looking statements are made based on management's beliefs, as well
      as
      assumptions made by, and information currently available to, management pursuant
      to the “safe-harbor” provisions of the Private Securities Litigation Reform Act
      of 1995.  Although we believe that the expectations reflected in such
      forward-looking statements are reasonable, we can give no assurance that such
      expectations will prove to have been correct.  Such statements are not
      guarantees of future performance or events and are subject to known and unknown
      risks and uncertainties that could cause the Company's actual results, events
      or
      financial positions to differ materially from those included within the
      forward-looking statements.  Important factors that could cause actual
      results to differ materially from our expectations include, but are not limited
      to, the availability of capital resources, our ability to identify a suitable
      operating company to acquire and complete an acquisition of such a company,
      changes in the securities or capital markets, and other factors disclosed under
      the caption “**Risk Factors**” in Part I Item 2 of this report and
      our other filings with the United States Securities and Exchange
      Commission.  Readers are cautioned not to place undue reliance on
      these forward-looking statements, which speak only as of the date
      made.  All subsequent written and oral forward-looking statements
      attributable to us, or persons acting on our behalf, are expressly qualified
      in
      their entirety by these cautionary statements.  Except as required by
      law, we undertake no obligation to disclose any revision to these
      forward-looking statements to reflect events or circumstances after the date
      made, changes in internal estimates or expectations, or the occurrence of
      unanticipated events.





**Item
                2.**
            **Plan
                of Operation.**





Unless
      otherwise indicated or the context otherwise requires, all references to the
      “Company,” “we,” “us” or “our” and similar terms refer to Sydys
      Corporation.




**Overview**





We
      were formed in February, 2004 for the
      purpose of engaging in on-line advertising business.  Having been
      unable to execute our business plan, we have exited this business
      and  are, therefore, considered a shell company under applicable rules
      of the Securities Exchange Commission (the “SEC”) promulgated under the
      Securities and Exchange Act of 1934, as amended (the “Exchange
      Act”).  In that regard, we are actively seeking to complete a business
      combination with an operating company.




8




We
      have
      limited cash resources, have incurred losses since inception, and have been
      unable to execute our business plan.  We will need to raise funds
      during the next twelve months to execute our business plan to acquire an
      operating company. ****In order to continue operations, we
      must continue to raise the capital necessary to fund our activities and our
      long-term viability and growth will ultimately depend upon acquiring a
      successful operating company, as to which there can be no
      assurance.




Our
      current business plan consists solely of identifying and acquiring a suitable
      operating company to acquire and compliance with our reporting obligations
      under
      federal securities laws. Althoughwe have evaluated potential
      acquisition targets, engaged in general
      discussions regarding the acquisition of an operating company, we have not
      entered into any agreement to acquire an operating company.  There can
      be no assurance that we will be able to identify an acceptable operating
      company, complete an acquisition, or that any business we acquire will generate
      profits or increase the value of the Company.




In
      April
      2007, our board of directors authorized at 1:3 reverse split of our common
      stock.  Under the laws of the state of Nevada, when a reverse split is
      not authorized by a majority of the stockholders, a company is required to
      reduce the number of authorized shares in proportion to the reverse
      split.  As a result, the authorized number of shares of our common
      stock has been reduced to 33,333,333.  All common stock share amounts
      and common stock per share amounts have been restated to reflect the 1:3 reverse
      split as if it had occurred at our inception.




Recently,
      we commenced discussions with
      Corporation of Automotive Remarketing, Inc., a Delawarecorporationbased in Philadelphia,
      Pennsylvania
      (“CAR”), regarding a potential business combination.CAR is an
      early stage company that provides an on-line remarketing platform and related
      services to automotive fleets, including rental car companies, commercial
      enterprises and government authorities.





In
      contemplation of the proposed business combination, we loaned to CAR an
      aggregate of $100,000 pursuant to a series of promissory notes that bear
      interest at an annual rate of 8.25% and are due on demand.  A complete
      description of these promissory notes is set forth below under **“Item 5 –
Other Information.”**





While
      we
      continue to discuss with CAR the prospects of a business combination, there
      can
      be no assurance that a definitive agreement will be entered into or that the
      proposed business combination will be completed.





**Liquidity
      and Capital Resources**




Since
      inception, we have funded our operations through public and private offerings
      of
      our common stock.  Between June 13, 2006 and July 28, 2006, we
      generated gross proceeds of $896,000 through the issuance of 995,556 shares
      of
      our common stock at a purchase price of $0.90 per share.  In December
      2006, we repurchased 113,333 of these shares for $102,000, or $0.90 per
      share.  In January 2007, we repurchased 154,777 of these shares for
      $139,300, or $0.90 per share. The foregoing issuances have been adjusted for
      the
      1-for-3 reverse stock split that occurred on April 16, 2007.




9





We
      do not
      currently maintain a line of credit or term loan with any commercial bank or other
      financial institution.  To date, our capital needs have been
      principally met through the receipt of proceeds from sales of our
      equity.  Unless we acquire an operating company, we do not expect to
      incur any material capital expenditures during the next twelve months nor do
      we
      expect to hire additional employees.





As
      of
      June 30, 2007, we had cash resources of approximately
      $358,000.****Our activities consist solely of identifying a
      suitable operating company to acquire and complying with our obligations under
      federal securities laws.  We believe that our current cash resources
      and expected proceeds from our current financing activities will be sufficient
      to fund operations for the next twelve months.  In the event that we
      identify a suitable operating company to acquire, we expect that we will need
      to
      raise additional capital to complete such a transaction and to satisfy the
      working capital or operational requirements of any company we
      acquire.  We expect that any additional capital required will be
      obtained through sales of our debt or equity
      securities.****The sale of additional equity securities will
      result in additional dilution to our stockholders.  In the event we
      have to issue additional debt, we would incur increased interest expenses and
      could be subject to covenants that may have the effect of restricting our
      operations.  We have no commitment for any of the additional financing
      necessary to execute our business plan and we can provide no assurance that
      such
      financing will be available in an amount or on terms acceptable to us, if at
      all.  If we are unable to obtain additional funds when they are needed
      or if such funds cannot be obtained on terms favorable to us, we may not be
      able
      to complete the acquisition of an operating company, may not have enough funds
      to execute the business plan of any company that we do acquire, and in the
      extreme case, may be required to terminate operations and liquidate the
      Company.





**Off-Balance
      Sheet Arrangements**





As
      of
      June 30, 2007, we did not have any relationships with unconsolidated entities
      or
      financial partners, such as entities often referred to as structured finance
      or
      special purpose entities, which had been established for the purpose of
      facilitating off-balance sheet arrangements or other contractually narrow or
      limited purposes.  As such, we are not materially exposed to any
      financing, liquidity, market or credit risk that could arise if we had engaged
      in such relationships.






**RISK
      FACTORS**




*An
      investment in our common stock involves a high degree of risk.  You
      should carefully consider the following risk factors in addition to other
      information in this report on Form 10-QSB and our other filings with the
      Securities and Exchange Commission before purchasing our common
      stock.  The risks and uncertainties described below are those that we
      currently deem to be material and that we believe are specific to our
      company.  In addition to these risks, our business may be subject to
      risks currently unknown to us.  If any of these or other risks
      actually occur, our business may be adversely affected, the trading price of
      our
      common stock may decline and you may lose all or part of your
      investment.*




***Risks
      Associated With Our Business***





**Based
      on our recurring losses during our development stage and inability to implement
      our business plan, our auditors have included an explanatory paragraph in their
      opinion as to the substantial doubt about our ability to continue as a going
      concern**.




10




We
      are a
      development stage company and since inception, have suffered losses from
      development stage activities to date, and are in need of additional
      capital.  As a result of these factors, our independent auditors have
      included an explanatory paragraph in their opinion on the annual financial
      statements for the fiscal year ended September 30, 2006 as to the substantial
      doubt about our ability to continue as a going concern.  As such, we
      may be required to cease operations and you could lose your entire
      investment.  Our financial statements have been prepared in accordance
      with accounting principles generally accepted in the United States, which
      contemplate that we will continue to operate as a going concern.  Our
      financial statements do not contain any adjustments that might result if we
      are
      unable to continue as a going concern.




**We
      have no operations, will not generate any revenue unless we complete a business
      combination with an operating company, and need additional capital to fund
      our
      activities.**





We
      have
      experienced net losses in each fiscal quarter since our inception, and we expect
      to continue to incur losses for the foreseeable future.  Unless we
      complete a business combination with an operating company, we will not generate
      any revenues in the future and we will continue to incur expenses related to
      identifying and acquiring an operating company and compliance with our reporting
      obligations under applicable federal securities laws.  We will need to
      raise additional funds, and such funds may not be available on commercially
      acceptable terms, if at all.  If we cannot raise funds on acceptable
      terms, we may not be able to continue to execute our plan to acquire an
      operating company and in the extreme case, may liquidate the
      Company.





**We
      may not be able to acquire an
      operating company and if we complete such an acquisition, we expect that we
      will
      need to raise additional capital.**





Our
      sole business objective is to
      acquire an operating company.  As of the date of this report, we have
      identified and evaluated potential acquisition targets, engaged in discussions
      regarding the acquisition of an operating company, but have not entered into
      any
      agreement to acquire an operating company. There can be no assurance that we
      will be able to identify a suitable operating company to acquire or complete
      such an acquisition.  In the event that we complete such an
      acquisition, we expect that we will need to raise substantial additional
      capital.  We intend to rely on external sources of financing to meet
      any capital requirements and to obtain such funding through the debt and equity
      markets.  We cannot assure you that we will be able to obtain
      additional funding when it is required or that it will be available to us on
      commercially acceptable terms, if at all.  If we fail to obtain such
      necessary funding, any such acquisition may not be
      successful.





***Risks
      Related to Our Stock***





**There
      is no market for our common
      stock.**




There
      is
      no active trading market for our common stock.  Our common stock is
      not eligible for trading on any national or regional securities exchange or
      the
      Nasdaq Stock Market.  Our common stock is eligible for trading on the
      OTC Bulletin Board.  This market tends to be substantially less liquid
      than national and regional securities exchanges or the Nasdaq Stock
      Market.  To date, there has been very limited trading of our common
      stock.  We cannot provide you with any assurance that an active
      trading market for our common stock will develop, or if such
      a
      market develops, that it will be sustained.




11





**Applicable
      SEC Rules governing the trading of “penny stocks” limits the trading and
      liquidity of our common stock which may affect the trading price of our common
      stock.**




Our
      common stock currently trades on the OTC Bulletin Board.  Since our
      common stock continues to trade below $5.00 per share, our common stock is
      considered a “penny stock” and is subject to SEC rules and regulations that
      impose limitations upon the manner in which our shares can be publicly traded.
      These regulations require the delivery, prior to any transaction involving
      a
      penny stock, of a disclosure document explaining the penny stock market and
      the
      associated risks.  Under these regulations, brokers who recommend
      penny stocks to persons other than established customers or certain accredited
      investors must make a special written suitability determination for the
      purchaser and receive the purchaser's written agreement to a transaction prior
      to sale.  These regulations may have the effect of limiting the
      trading activity of our common stock and reducing the liquidity of an investment
      in our common stock.




**We
      intend to raise additional capital in the future, and such additional capital
      may be dilutive to stockholders or impose operational
      restrictions.**





We
      intend
      to raise additional capital in the future to help fund our operations through
      sales of shares of our common stock or securities convertible into shares of
      our
      common stock, as well as issuances of debt.  Additional convertible
      debt or equity financing may be dilutive to our stockholders and debt financing,
      if available, and may involve restrictive covenants that may limit our operating
      flexibility.  If additional capital is raised through the issuance of
      shares of our common stock or securities convertible into shares of our common
      stock, the percentage ownership of our stockholders will be
      reduced.  These stockholders may experience additional dilution in net
      book value per share and any additional equity securities may have rights,
      preferences and privileges senior to those of the holders of our common
      stock.





**The
      trading price of our common stock is likely to be highly
      volatile.**





The
      trading price of our shares may from time to time fluctuate
      widely.  The trading price may be affected by a number of factors
      including events described in the risk factors set forth in this report as
      well
      as our operating results, financial condition, announcements regarding our
      business, general economic conditions and other events or factors.  In
      addition, the stock market has experienced significant price and volume
      fluctuations that have particularly affected the price of many small
      capitalization companies and that often have been unrelated or disproportionate
      to the operating performance of these companies.  Market fluctuations
      such as these may seriously harm the market price of our common
      stock.  Further, securities class action suits have been filed against
      companies following periods of market volatility in the price of their
      securities.  If such an action is instituted against us, we may incur
      substantial costs and a diversion of management attention and resources, which
      would seriously harm our business, financial condition and results of
      operations.





**We
      do not intend to pay dividends in the foreseeable future.**





We
      have
      never declared or paid a dividend on our common stock.  Accordingly,
      we do not anticipate paying any dividends in the foreseeable future and
      investors seeking dividend income
      should not purchase our common stock.




12





**Item
                3.**
            **Controls
                and Procedures.**





An
      evaluation of the effectiveness of our “disclosure controls and procedures” (as
      such term is defined in Rules 13a-15(e) or 15d-15(e) of the Exchange Act) was
      carried out by us under the supervision and with the participation of our Chief
      Executive Officer (“CEO”) and Chief Financial Officer (“CFO”).  Based
      upon that evaluation, our CEO and CFO concluded that, as of the end of the
      period covered by this report, our disclosure controls and procedures were
      effective to ensure (i) that information we are required to disclose in reports
      that we file or submit under the Exchange Act is recorded, processed, summarized
      and reported within the time periods specified in the SEC rules and forms and
      (ii) that such information is accumulated and communicated to our management,
      including our CEO and CFO, in order to allow timely decisions regarding required
      disclosure.




There
      were no changes in internal controls over financial reporting that occurred
      during the fiscal quarter ended June 30, 2007 that have materially affected,
      or
      are reasonably likely to materially affect, our internal control over financial
      reporting.






**PART
      II**


**OTHER
      INFORMATION**





**Item
                5.**
            **Other
                Information**





The
      information set forth below is included herewith for the purpose of providing
      the disclosure required under “Item 1.01- Entry into a Material Definitive
      Agreement” of Form 8-K.





Between
      July 9 and July 17, 2007, we loaned an aggregate of $100,000 to Corporation
      of
      Automotive Remarketing, Inc. a Delaware corporation (“CAR”) pursuant to a series
      of unsecured promissory notes (the “CAR Notes”) in contemplation of a proposed
      business combination between the Company and CAR.  The CAR Notes each
      bear interest at an annual rate of 8.25%.  The unpaid principal
      balance of the CAR Notes, together with all accrued and unpaid interest thereon,
      is due on demand.  The Company has funded its obligations under the
      CAR Notes from general working capital.





The
      description of the CAR Notes set forth above is qualified in its entirety by
      reference to copies of such notes filed as exhibits to this report and
      incorporated herein by this reference.





**Item
                6.**
            **Exhibits.**





The
      following exhibits are included herein:




**Exhibit
                No.**
            
            **Exhibit**10.1
            
            Unsecured
                Promissory Note, dated July 9, 2007, issued by Corporation of Automotive
                Remarketing, Inc. payable to the Company10.2
            
            Unsecured
                Promissory Note, dated July 17, 2007, issued by Corporation of Automotive
                Remarketing, Inc. payable to the Company31.1
            
            Certification
                of Chief Executive Officer and Chief Financial Officer of the Company
                required by Rule 13a-14(a) under the Securities Exchange Act of 1934,
                as
                amended32.1
            
            Certification
                of Chief Executive Officer and Chief Financial Officer of the Company
                required by Rule 13a-14(b) under the Securities Exchange Act of 1934,
                as
                amended




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**SIGNATURES**





Pursuant
      to the requirements of Section 13 or 15(d) of the Securities Exchange Act of
      1934, the registrant has duly caused this Report to be signed on its behalf
      by
      the undersigned, thereunto duly authorized.




**Sydys
              Corporation**Date:
                August 14,
                2007
            By:
            /s/ Kenneth
              J.
              KoockName:
              Kenneth J. KoockTitle:
              Chief Executive Officer
              and Chief Financial Officer







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**EXHIBIT
      INDEX**


**Exhibit
                  No.**
              
              **Exhibit**10.1
              
              Unsecured
                  Promissory Note, dated July 9, 2007, issued by Corporation of Automotive
                  Remarketing, Inc. payable to the Company10.2
              
              Unsecured
                  Promissory Note, dated July 17, 2007, issued by Corporation of
                  Automotive
                  Remarketing, Inc. payable to the Company31.1
              
              Certification
                  of Chief Executive Officer and Chief Financial Officer of the Company
                  required by Rule 13a-14(a) under the Securities Exchange Act of
                  1934, as
                  amended32.1
              
              Certification
                  of Chief Executive Officer and Chief Financial Officer of the Company
                  required by Rule 13a-14(b) under the Securities Exchange Act of
                  1934, as
                  amended
   15