UNITED
STATES


SECURITIES
AND EXCHANGE COMMISSION


Washington,
DC 20549





FORM
10-Q





QUARTERLY
REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES


EXCHANGE
ACT OF 1934





For the
Quarter ended September 30, 2010





Commission
File Number: 333-153888





ASIA DOCUMENT TRANSITION,
INC.





(Exact
name of registrant as specified in its charter)


Nevada
                    
                    20-4889194(State
      of organization)
                    
                    (I.R.S.
      Employer Identification
No.)





15D, Eton
Building


288 Des
Voeux Road


Central,
Hong Kong





(Address
of principal executive offices)





011/852-2545-9133





Registrant’s
telephone number, including area code









Former
address if changed since last report





Check
whether the issuer (1) filed all reports required to be filed by Section 13 or
15(d) of the Exchange Act during the past 12 months and (2) has been subject to
such filing requirements for the past 90 days. Yes x No
 ̈





Indicate
by check mark whether the registrant has submitted electronically and posted on
its corporate Website, if any, every Interactive Data File required to be
submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding
12 months (or for such shorter period that the registrant was required to submit
and post such files); Yes  ̈ No
 ̈.





Indicate
by check mark whether the registrant is a large accelerated filer, an
accelerated filer, a non-accelerated filer or a smaller reporting company. See
the definitions of “large accelerated filer,” “accelerated filer” and “smaller
reporting company” in Rule 12b-2 of the Exchange Act.





Large Accelerated
                        Filer  ̈
                      Accelerated Filer  ̈
                      Non-Accelerated Filer
                         ̈ (Do not check if a
                        smaller reporting
                        company)
                      Smaller Reporting Company
                        þ





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





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





Common
Stock $.001 par value





There
were 25,000,000 shares of common stock outstanding as of October 30,
2010.








TABLE
OF CONTENTS








PART
      I - FINANCIAL INFORMATIONITEM
      1.
                INTERIM
      FINANCIAL STATEMENTS
                3ITEM
      2.
                MANAGEMENT'S
      DISCUSSION OF OPERATIONS AND FINANCIAL CONDITION
                13ITEM
      3
                QUANTITATIVE
      AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
                16ITEM 4A(T).
                CONTROLS
      AND PROCEDURES
                16PART
      II - OTHER INFORMATIONITEM
      1.
                LEGAL
      PROCEEDINGS
                18ITEM
      1A
                RISK
      FACTORS
                18ITEM
      2.
                UNREGISTERED
      SALES OF EQUITY SECURITIES
                18ITEM
      3.
                DEFAULTS
      UPON SENIOR SECURITIES
                18ITEM
      4.
                (REMOVED
      AND RESERVED)
                18ITEM
      5.
                OTHER
      INFORMATION
                18ITEM
      6.
                EXHIBITS
                18SIGNATURES
                
                19




2


PART
I         FINANCIAL
INFORMATION





Item
1—Financial Statements





ASIA
DOCUMENT TRANSITION, INC.


CONDENSED
CONSOLIDATED BALANCE SHEETS


(A
Development Stage Company)





As of
                              September 30,
                              2009
                            
                            
                            As of
                              June 30, 2010(Unaudited)
                            
                            
                            (audited)ASSETSCURRENT
      ASSETSCash
      and cash equivalents
                            
                            $
                            1,781
                            
                            
                            $
                            4,036Prepaid
      expenses
                            
                            
                            -
                            
                            
                            
                            -Total
      Current Assets
                            
                            
                            1,781
                            
                            
                            
                            4,036PROPERTY
      AND EQUIPMENT, net
                            
                            
                            2,292
                            
                            
                            
                            2,624OTHER
      ASSETSDeposits
                            
                            
                            6,396
                            
                            
                            
                            6,396TOTAL
      ASSETS
                            
                            
                            10,469
                            
                            
                            
                            13,056LIABILITIES AND STOCKHOLDERS'
      DEFICIENCYCURRENT
      LIABILITIESAccounts
      payable and accrued expenses
                            
                            $
                            -
                            
                            
                            $
                            -Other
      payable
                            
                            
                            -
                            
                            
                            
                            256Related
      party notes payables
                            
                            
                            153,337
                            
                            
                            
                            146,756Total
      Current Liabilities
                            
                            
                            153,337
                            
                            
                            
                            147,012NON-CURRENT
      LIABILITIES
                            
                            
                            -
                            
                            
                            
                            -TOTAL
      LIABILITIES
                            
                            
                            153,337
                            
                            
                            
                            147,012STOCKHOLDERS'
      DEFIENCYCommon
      stock, $0.001 par value, 100,000,000 shares authorized, 25,000,000 shares
      issued and outstanding
                            
                            
                            25,000
                            
                            
                            
                            25,000Deficit
      accumulated during the development stage
                            
                            
                            (167,868
                            )
                            
                            
                            (158,957
                            )Total
      Stockholders' Deficiency
                            
                            
                            (142,868
                            )
                            
                            
                            (133,957
                            )TOTAL
      LIABILITIES AND STOCKHOLDERS' DEFICIENCY
                            
                            $
                            10,469
                            
                            
                            $
                            13,056





The
accompanying notes are an integral part of the financial
statements.


3





ASIA
DOCUMENT TRANSITION, INC.


UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS


(A
Development Stage Company)





For the 3-
                        month
                        period
                        ended
                        September
                        30,2010
                      
                      
                      For the 3-month
                        period ended
                        September
                        30,2009
                      
                      
                      From
                        Inception April
                        13, 2006 to
                        September 30,
                        2010
                        (Cumulative)SALES
                      
                      $
                      2.372
                      
                      
                      $
                      2,372
                      
                      
                      $
                      61,709COST
      OF SALES
                      
                      
                      -
                      
                      
                      
                      -
                      
                      
                      
                      500Gross
      Profit:
                      
                      $
                      2,372
                      
                      
                      $
                      2,372
                      
                      
                      $
                      61,209EXPENSESDepreciation
      expenses
                      
                      $
                      332
                      
                      
                      $
                      332
                      
                      
                      $
                      11,327Selling,
      general and administrative expenses
                      
                      
                      10,951
                      
                      
                      
                      7,488
                      
                      
                      
                      185,110Total
      Expenses
                      
                      
                      11,284
                      
                      
                      
                      7,820
                      
                      
                      
                      196,438LOSS
      FROM OPERATIONS
                      
                      
                      (8,912
                      )
                      
                      
                      (5,449
                      )
                      
                      
                      (135,229
                      )OTHER
      INCOME (EXPENSES)Interest
      expense
                      
                      
                      -
                      
                      
                      
                      -
                      
                      
                      
                      1Loss
      on disposal of property and equipment
                      
                      
                      -
                      
                      
                      
                      -
                      
                      
                      
                      (7,640
                      )Write-off
      of goodwill
                      
                      
                      -
                      
                      
                      
                      -
                      
                      
                      
                      (25,000
                      )Provision
      for income taxes
                      
                      
                      -
                      
                      
                      
                      -
                      
                      
                      
                      -Net
      Loss
                      
                      
                      (8,912
                      )
                      
                      
                      (5,449
                      )
                      
                      
                      (167,868
                      )PER
      SHARE DATA:Basic
      loss per common share
                      
                      $
                      (0.00
                      )
                      
                      $
                      (0.00
                      )Weighted
      Average Common Shares Outstanding
                      
                      
                      25,000,000
                      
                      
                      
                      25,000,000





The
accompanying notes are an integral part of the financial
statements.


4




ASIA
DOCUMENT TRANSITION, INC.


UNAUDITED
CONDENSED CONSOLIDATED STATEMENTS OF CASHFLOWS


(A
Development Stage Company)





For the 3-
                            month period
                            ended
                            September
                            30,2010
                          
                          
                          For the 3-
                            month period
                            ended
                            September
                            30,2009
                          
                          
                          April 13, 2006
                            (inception) to
                            September 30,
                            2010CASH
      FLOW FROM OPERATING ACTIVITIESNet
      Loss
                          
                          $
                          (8,912
                          )
                          
                          $
                          (5,449
                          )
                          
                          $
                          (167,869
                          )Adjustments
      to reconcile net loss to net cash (used in) provided by operating
      activitiesDecrease
      (increase) in accounts receivable
                          
                          
                          —
                          
                          
                          
                          -
                          
                          
                          
                          -Loss
      on disposal of property and equipment
                          
                          
                          
                          
                          
                          
                          
                          
                          
                          
                          7,460Depreciation
      Expense
                          
                          
                          333
                          
                          
                          
                          333
                          
                          
                          
                          11,329Write-off
      of goodwill
                          
                          
                          -
                          
                          
                          
                          -
                          
                          
                          
                          25,000Increase
      in Pre-payment and deposit
                          
                          
                          -
                          
                          
                          
                          -
                          
                          
                          
                          (12,845
                          )Increase
      in other payables
                          
                          
                          (256
                          )
                          
                          
                          -
                          
                          
                          
                          -Net
      Cash provided by (used in) Operating Activities
                          
                          $
                          (8,836
                          )
                          
                          $
                          (5,116
                          )
                          
                          $
                          (136,745
                          )CASH
      FLOWS FROM INVESTING ACTIVITIESPurchase
      of property and equipment
                          
                          
                          -
                          
                          
                          
                          -
                          
                          
                          
                          (48,144
                          )Disposal
      of property and equipment
                          
                          
                          -
                          
                          
                          
                          -
                          
                          
                          
                          33,333Net
      Cash provided by (used in) Investing activities
                          
                          $
                          -
                          
                          
                          $
                          -
                          
                          
                          $
                          (14,811
                          )CASH
      FLOWS FROM FINANCING ACTIVITIESLoans
      from (repayment to) related parties
                          
                          
                          6,581
                          
                          
                          $
                          5,353
                          
                          
                          
                          153,337Net
      Cash provided by (used in) Financing Activities
                          
                          $
                          6,581
                          
                          
                          $
                          5,353
                          
                          
                          $
                          153,337NET
      INCREASE (DECREASE) IN CASH
                          
                          
                          (2,255
                          )
                          
                          
                          237
                          
                          
                          
                          1,781Cash
      beginning of period
                          
                          
                          4,036
                          
                          
                          
                          1,673
                          
                          
                          
                          -Cash
      end of period
                          
                          $
                          1,781
                          
                          
                          $
                          1,910
                          
                          
                          $
                          1,781





The
accompanying notes are an integral part of the financial
statements.




5




ASIA
DOCUMENT TRANSITION, INC.


(A
DEVELOPMENT STAGE COMPANY)


NOTES
TO FINANCIAL STATEMENTS





NOTE
1. ORGANIZATION AND DESCRIPTION OF BUSINESS




Asia
Document Transition, Inc. (the “Company”) was incorporated in the State of
Nevada on April 13, 2006. The Company is in the business of (a) providing
services consisting of converting documents from word processing format to HTML
in order that they may be filed with the U.S. Securities and Exchange Commission
("SEC") electronically through EDGAR, the SEC's Electronic Data Gathering,
Analysis, and Retrieval system and (b) providing of mailing address, phone and
fax service, internet access temporary meeting space (“Virtual Office Services”)
to small and single operator businesses within Hong Kong . The Company has been
in the development stage since formation on April 13, 2006 and has only
generated minimal revenue to date.




On April 26, 2006,the Companyacquired all of the issued and
outstanding shares of Vast Opportunity Limited, (VOL) a Hong Kong
incorporated limited company, through the issuance of
24,500,000commonshares to the shareholders of VOL.
VOLhas been since its
inception, a corporation with minimal operations.As of the date of the acquisition, V OL
had assets of$374 and
total liabilities of$1,302.The acquisition resulted in theshareholders of VOL
becoming the controlling shareholders of the Company, accordingly the
transaction was recorded as a recapitalization of VOL.





NOTE
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES





A.
Basis of
Accounting





The
Company’s financial statements are prepared using the accrual method of
accounting. The Company has elected a June 30 fiscal year-end. The consolidated
financial statements include the accounts of the Company and its wholly owned
subsidiary VOL. All material intercompany balances have been
eliminated.




B. Revenue
Recognition




Revenues
from document formatting and virtual office services are recognized at the time
the services have been provided to the customer.




C.
Basic Earnings (Loss)
Per Share





Basic net
loss per share amounts is computed by dividing the net loss by the weighted
average number of common shares outstanding. Diluted earnings per share are the
same as basic earnings per share due to the lack of dilutive items in the
Company.


6


ASIA
DOCUMENT TRANSITION, INC.


(A
DEVELOPMENT STAGE COMPANY)


NOTES
TO FINANCIAL STATEMENTS





NOTE
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)





D.
Cash and Cash
Equivalents





For
purpose of reporting the statement of flows, cash and cash equivalents include
highly liquid investments with investments with maturities of three months or
less at the time of purchase.





E.
Property and
Equipment





The value
of fixed assets is at historical cost as required by generally accepted
accounting principles. Depreciation is calculated on a straight-line over the 5
year expected useful life of the asset as follows:


Fixed
assets at September 30, 2010 are comprised as follows:





Office
      and computer equipment
                  
                  $
                  44,140Furniture
      and Fixtures
                  
                  
                  1,397Leasehold
      improvement
                  
                  
                  2,716Accumulated
      Depreciation
                  
                  
                  (45,961
                  )Net
      Property and Equipment
                  
                  $
                  2,292





Depreciation
of $332 had been accounted for during the quarter ended September 30,
2010.


F.
Foreign currency
translation




Assets
and liabilities of the Company whose functional currency is the Hong Kong dollar
are translated into U.S. dollars at exchange rates prevailing at the balance
sheet date. Revenues and expenses are translated at average exchange rates for
the year. The net exchange differences resulting from these translations will be
reported in other income. Gains and losses resulting from foreign currency
transactions will be included the consolidated statements of operations. There
are no exchange differences or gains and losses resulting from foreign currency
translations to report for the period commencing with inception and ending
September 30, 2010.





G.
Related Party Notes
Payable





Notes
Payable consists of $153,337 in loans made by an officer and shareholder of the
Company to the Company and its wholly owned subsidiary, VOL. These loans bear no
interest, are unsecured and due and payable upon demand.


7


ASIA
DOCUMENT TRANSITION, INC.


(A
DEVELOPMENT STAGE COMPANY)


NOTES
TO FINANCIAL STATEMENTS





NOTE
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)





H.
Use of
Estimates





The
preparation of the financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statement and the
reported amounts of revenue and expenses during the reporting
period. Actual results could differ from those estimates.





I.
Development
Stage





The
Company continues to devote substantially all of its efforts in the development
of its plan to(a) provide services consisting of converting documents from word
processing format to HTML in order that they may be filed with the SEC
electronically through EDGAR, the SEC's Electronic Data Gathering, Analysis, and
Retrieval system and (b) providing of mailing address, phone and fax service,
internet access temporary meeting space (“Virtual Office Services”) to small and
single operator businesses within Hong Kong .





J.
Income
Taxes





The
Company accounts for income taxes in accordance with authoritative guidance on
deferred income taxes which requires the use of an asset and liability approach
in accounting for income taxes. Deferred tax assets and liabilities are recorded
based on the differences between the financial statement and tax bases of assets
and liabilities and the tax rates in effect when these differences are expected
to reverse. SFAS No. 109 requires the reduction of deferred tax assets by a
valuation allowance if, based on the weight of available evidence, it is more
likely than not that some or all of the deferred tax assets will not be
realized.





The
provision for income taxes differs from the amounts which would be provided by
applying the statutory federal income tax rate to net loss before provision for
income taxes for the following reasons:




September 30,2010Income
      tax expense at statutory rate
                  
                  $
                  (10,700
                  )Valuation
      allowance
                  
                  
                  (10,700
                  )Income
      tax expense per books
                  
                  $
                  -0
                  -


8


ASIA
DOCUMENT TRANSITION, INC.


(A
DEVELOPMENT STAGE COMPANY)


NOTES
TO FINANCIAL STATEMENTS





J.
Income Taxes
(Continued)





Net
deferred tax assets consist of the following components as of:





September 30,2010NOL
      Carryover
                  
                  $
                  53,000Valuation
      allowance
                  
                  
                  (53,000
                  )Net
      deferred tax asset
                  
                  $
                  -0
                  -





The
Company has a net operating loss carryover of $135,229 as of September 30, 2010
which expires in 2028. Due to the change in ownership provisions of the Tax
Reform Act of 1986, net operating loss carry forwards for federal income tax
reporting purposes are subject to annual limitations. Should a change in
ownership occur net operating loss carry forwards may be limited as to use in
future years.





K.
Equity-based
compensation.





The
Company adopted SFAS No. 123-R effective January 1, 2006 using the modified
prospective method. Under this transition method, stock compensation expense
includes compensation expense for all stock-based compensation awards granted on
or after January 1,2006, based on the grant-date fair value estimated in
accordance with the provisions of SFAS No. 123-R.





L.
Restatement of Financial
Statements (in Part)





The
Company discovered an erroneous entry being made in year 2006, which required a
reclassification of this entry. The effects of the restatement on the
Company’s consolidated balance sheet as of June 30, 2007 and 2008, as well as
the effects of these changes on the Company’s consolidated statements of income
and consolidated statements of cash flows for fiscal years 2008 and
2007. The cumulative effect of the restatement relating to fiscal years
2008 and 2007 is the increase of additional paid-in capital from negative
$21,000 to zero; write-off of goodwill in the amount of $25,000; and a decrease
in selling, general and administrative expenses of $3,125. As a result,
deficit accumulated fiscal years ended June 30, 2007 and 2008 increased by
$21,875.





NOTE
3. COMMON STOCK TRANSACTIONS




The
Company did not issue any shares of common stock during the reporting quarter
ended September 30, 2010.





NOTE
4. WARRANTS AND OPTIONS




There are
no warrants or options outstanding to acquire any additional shares of common
stock.


9





ASIA
DOCUMENT TRANSITION, INC.


(A
DEVELOPMENT STAGE COMPANY)


NOTES
TO FINANCIAL STATEMENTS




NOTE
5. TRANSACTIONS WITH RELATED PARTY




On April
26, 2006, Bernard Chan, the Company’s sole Officer and Director, received
18,850,000 common shares of the Company in connection with the Company’s
acquisition of Vast Opportunity, Ltd.





As of
September 30, 2010, the Company is indebted to Bernard Chan in the amount of
$153,337 for loans made by Bernard Chan to the Company and the Company’s wholly
owned subsidiary, VOL. These loans are unsecured and bear no interest and are
due and payable by the Company upon demand.





NOTE 6. RECENT ACCOUNTING
PRONOUNCEMENTS





In June
2009, the FASB issued guidance now codified in FASB Accounting Standards
Codification ("ASC") Topic 105, Generally Accepted Accounting Principles, as the
single source of authoritative nongovernmental GAAP. FASB ASC Topic 105 does not
change current GAAP, but is intended to simplify user access to all
authoritative GAAP by providing all authoritative literature related to a
particular topic in one place. All existing accounting standard documents have
been superseded and all other accounting literature not included in the FASB
Codification is now considered non-authoritative. These provisions of FASB ASC
Topic 105 are effective for interim and annual periods ending after September
15, 2009 and, accordingly, are effective for the Company for the current fiscal
reporting period. The adoption of this guidance did not have an impact on the
Company’s financial condition or results of operations, but impacted its
financial reporting process by eliminating all references to pre-codification
standards. On the effective date of this guidance, the Codification superseded
all then-existing non-SEC accounting and reporting standards, and all other
non-grandfathered, non-SEC accounting literature not included in the
Codification became non-authoritative.





In August
2009, the FASB issued an updated Accounting Standards Update ("ASU") regarding
fair value measurements and disclosures. The guidance provides clarification
that in circumstances in which a quoted price in an active market for the
identical liability is not available, an entity is required to measure fair
value using certain prescribed valuation techniques. The amendments in the
pronouncements were effective for the Company’s first quarter of fiscal 2010.
The adoption of this guidance did not have a material impact on the Company’s
financial position or results of operations.





In
January 2010, the FASB authoritative guidance regarding “Improving Disclosures
about Fair Value Measurements”. The guidance provides amendments to literature
on fair value measurements and disclosures currently within the ASC by
clarifying certain existing disclosures and requiring new disclosures for the
various classes of fair value measurements. It is effective for interim and
annual periods beginning after December 15, 2009, except for the disclosures
about purchases, sales, issuances, and settlements in the roll forward of
activity in Level 3 fair value measurements, which are effective for fiscal
years beginning after December 15, 2010, and for interim periods within those
fiscal years. The adoption of this guidance is not expected to have a material
impact on the Company’s financial position or results of
operations.


10


ASIA
DOCUMENT TRANSITION, INC.


(A
DEVELOPMENT STAGE COMPANY)


NOTES
TO FINANCIAL STATEMENTS





NOTE 6. RECENT ACCOUNTING
PRONOUNCEMENTS (CON’T)





In
February 2010, the FASB amended certain authoritative guidance on Amendments to
Certain Recognition and Disclosure Requirements for Subsequent Events. The
guidance addresses both the interaction of the requirements of Subsequent
Events, with the SEC’s reporting requirements and the intended breadth of the
reissuance disclosures provision related to subsequent events, potentially
changing reporting by both private and public entities depending on the facts
and circumstances surrounding the nature of the change. All of the amendments
are effective upon issuance of the final update, except for the use of the
issued date for conduit debt obligors which is effective for interim and annual
periods ending after June 15, 2010. The adoption of this guidance did not have a
material impact on the Company’s financial position or results of
operations.





In April
2010, the FASB issued authoritative guidance on Stock Compensation and its
Effect of Denominating the Exercise Price of a Share-Based Payment Award in the
Currency of the Market in Which the Underlying Equity Security Trades. The
guidance provides amendments to clarify that an employee share-based payment
award with an exercise price denominated in the currency of a market in which a
substantial portion of the entity’s equity securities trades should not be
considered to contain a condition that is not a market, performance, or service
condition. Therefore, an entity would not classify such an award as a liability
if it otherwise qualifies as the adoption of this guidance is not expected to
have a material impact on the Company’s financial position or results of
operations.





NOTE
7. GOING CONCERN





The
accompanying financial statements have been prepared in conformity with
generally accepted accounting principle, which contemplate continuation of the
Company as a going concern. However, The Company has a negative net working
capital of US$151,556 as of September 30, 2010 and a net loss of $8,912 and
$5,449 for the quarters ended September 30, 2010 and
2009 respectively. The Company currently has limited liquidity, and
has not completed its efforts to establish a stabilized source of revenues
sufficient to cover operating costs over an extended period of
time.





Management
anticipates that the Company will be dependent, for the near future, on
additional investment capital to fund operating expenses. The Company intends to
position itself so that it may be able to raise additional funds through the
capital markets. In light of management’s efforts, there are no assurances that
the Company will be successful in this or any of its endeavors or become
financially viable and continue as a going concern.


11





ASIA
DOCUMENT TRANSITION, INC.


(A
DEVELOPMENT STAGE COMPANY)


NOTES
TO FINANCIAL STATEMENTS





NOTE
8. COMMITMENTS





The
Company leases its facilities under an operating lease commencing April 16, 2010
and expiring April 15, 2012.





Pursuant
to the lease, the Company is obligated to pay monthly rent of approximately
$1,823 as well as a management fee of $253.





The
following is a summary of future minimum lease payments under operating leases
as of September 30, 2010. Rental expense was $23,850 for the period ended
September 30, 2010.





Twelve
months ending June 30,





2011
                    
                    $
                    24,91224,912




12


ITEM
2. MANAGEMENT’S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION





PRELIMINARY
NOTE REGARDING FORWARD-LOOKING STATEMENTS





This
discussion contains forward-looking statements. The reader should understand
that several factors govern whether any forward-looking statement contained
herein will be or can be achieved. Any one of those factors could cause actual
results to differ materially from those projected herein. These forward-looking
statements include plans and objectives of management for future operations,
including plans and objectives relating to the products and the future
economic performance of the company. Assumptions relating to the foregoing
involve judgments with respect to, among other things, future economic,
competitive and market conditions, future business decisions, and the time and
money required to successfully complete development projects, all of which are
difficult or impossible to predict accurately and many of which are beyond the
control of the company. Although the company believes that the assumptions
underlying the forward-looking statements contained herein are reasonable, any
of those assumptions could prove inaccurate and, therefore, there can be no
assurance that the results contemplated in any of the forward-looking statements
contained herein will be realized. Based on actual experience and business
development, the company may alter its marketing, capital expenditure plans or
other budgets, which may in turn affect the company's results of operations. In
light of the significant uncertainties inherent in the forward-looking
statements included therein, the inclusion of any such statement should not be
regarded as a representation by the company or any other person that the
objectives or plans of the company will be achieved.





RESULTS OF
OPERATIONS





The
following table shows the financial data of the consolidated statements of
operations of the Company and its subsidiaries for the 3-month ended September
30, 2010 and September 30, 2009. The data should be read in conjunction
with the audited consolidated financial statements of the Company and related
notes thereto.





3-month Ended
                        
                        
                        3-month EndedSeptember 30,
                        
                        
                        September 30,(In
      US$ thousands except per share data)
                        
                        2010
                        
                        
                        2009Net
      Sales
                        
                        $
                        2,372
                        
                        
                        $
                        2,372Operating
      expensesDepreciation
      expenses
                        
                        
                        (332
                        )
                        
                        
                        (332
                        )Selling,
      general and administrative expenses
                        
                        
                        (10,951
                        )
                        
                        
                        (7,488
                        )Total
      Operating expenses
                        
                        
                        (11,284
                        )
                        
                        
                        (5,449
                        )Loss
      from operations
                        
                        
                        (8,912
                        )
                        
                        
                        (5,449
                        )Non-operating
      income (expense)Interest
      income
                        
                        
                        —
                        
                        
                        
                        —Loss
      on disposal of property and equipment
                        
                        
                        —
                        
                        
                        
                        —Profit/(loss)
      before income tax and minority interests
                        
                        
                        (8,912
                        )
                        
                        
                        (5,449
                        )Provision
      for income taxes
                        
                        
                        —
                        
                        
                        
                        —Minority
      interests
                        
                        
                        —
                        
                        
                        
                        —Net
      income/(loss)
                        
                        
                        (8,912
                        )
                        
                        
                        (5,449
                        )Earnings
      (loss) per shareBasic
                        
                        
                        (0.00
                        )
                        
                        
                        (0.00
                        )




13


3-MONTH
ENDED SEPTEMBER 30, 2010 COMPARED TO 3-MONTH ENDED SEPTEMBER 30,
2009.





OPERATING
REVENUE





Since
commencing operations in April 2006, we have been engaged to providing
Edgarizing and Virtual Office businesses. However, due mainly to the inefficient
minimal scale of operating the Edgarizing business, we temporarily ceased its
operation and continue only the operation of Virtual Office.





For the
3-month period ended September 30, 2010, Asia Document Transition, Inc.
generated revenue in the amount of $2,372, which is the same for the
corresponding period in year 2009. During the quarter ended September 30, 2010,
we provided our virtual office services for an average of 3
clients.





DEPRECIATION
EXPENSE





Depreciation
expenses for the 3-month period ended September 30, 2010 amounted to $332, which
is the same for the corresponding period in year 2009.





SELLING,
GENERAL AND ADMINISTRATIVE EXPENSES





For the
3-month period ended September 30, 2010, selling, general and administrative
expenses were $10,951, as compared to $7,488 for the same corresponding period
in year 2009, an increase of $3,463 or 46.2%. This increase was primarily
the audit fee being paid in this reporting period for the preceding yearend
audit work.





INTEREST
INCOME





Interest
income was none for the reporting 3-month period ended September 30, 2010,
compared to none for the same corresponding period in year 2009.





NET
LOSS





Net loss
was approximately $8,912 for the reporting 3-month period ended September 30,
2010, as compared to $5,449 for the same corresponding period in year 2009, an
increase of $3,463 or 63.6%.The increase was primary
the result of a combination of the increase of selling, general and
administration expenses.


14


LIQUIDITY
AND CAPITAL RESOURCES





As of
September 30, 2010, cash and cash equivalents totaled $1,781. This cash
position was the result of a result of net cash provided by financing activities
in the amount of $6,581 and the cash balance from preceding period in the amount
of $4,036, offsetting by net cash used in operating activities in the amount of
$8,836. The cash increase in financing activities was the result of
additional loans from a related party. The net cash used by operating
activities was mainly the result of increase overheads expenses to maintain
Company office and spaces to provide services for clients.





We
believe that the level of financial resources is a significant factor for our
future development, and accordingly we may choose at any time to raise capital
through private debt or equity financing to strengthen its financial position,
facilitate growth and provide us with additional flexibility to take advantage
of business opportunities. However, we do not have immediate plans to have
a public offering of our common stock.





CRITICAL
ACCOUNTING POLICIES





In
presenting our financial statements in conformity with generally accepted
accounting principles, we are required to make estimates and assumptions that
affect the amounts reported therein. Several of the estimates and assumptions we
are required to make relate to matters that are inherently uncertain as they
pertain to future events. However, events that are outside of our control cannot
be predicted and, as such, they cannot be contemplated in evaluating such
estimates and assumptions. If there is a significant unfavorable change to
current conditions, it could result in a material adverse impact to our
consolidated results of operations, financial position and liquidity. We believe
that the estimates and assumptions we used when preparing our financial
statements were the most appropriate at that time. Presented below are those
accounting policies that we believe require subjective and complex judgments
that could potentially affect reported results. However, the majority of our
businesses operate in environments where we pay a fee for a service performed,
and therefore the results of the majority of our recurring operations are
recorded in our financial statements using accounting policies that are not
particularly subjective, nor complex.





Valuation
of long-lived assets





We review
our long-lived assets for impairment, including property, plant and equipment,
and identifiable intangibles with definite lives, whenever events or changes in
circumstances indicate that the carrying amount of the assets may not be fully
recoverable. To determine recoverability of our long-lived assets, we evaluate
the probability that future undiscounted net cash flows will be greater than the
carrying amount of our assets. Impairment is measured based on the difference
between the carrying amount of our assets and their estimated fair
value.


15


Allowance
for Doubtful Accounts





We
perform ongoing credit evaluations of our customers and adjust credit limits
based upon customer payment history and current creditworthiness. We
continuously monitor collections and payments from our customers and maintain a
provision for estimated credit losses based upon our historical experience and
any specific customer collection issues that have been identified. While such
credit losses have historically been within our expectations and the provisions
established, we cannot guarantee that we will continue to experience credit loss
rates similar to those we have experienced in the past. Measurement of such
losses requires consideration of historical loss experience, including the need
to adjust for current conditions, and judgments about the probable effects of
relevant observable data, including present economic conditions such as
delinquency rates and financial health of specific customers.





Goodwill
on consolidation





Our
long-lived assets include goodwill. SFAS No. 142 "Goodwill and Other
Intangible Assets" requires that goodwill be tested for impairment at the
reporting unit level (operating segment or one level below an operating segment)
on an annual basis and between annual tests in certain circumstances.
Application of the goodwill impairment test requires judgment, including the
identification of reporting units, assigning assets and liabilities to
reporting units, assigning goodwill to reporting units, and determining the fair
value of each reporting unit. Significant judgments required to estimate the
fair value of reporting units include estimating future cash flows, determining
appropriate discount rates and other assumptions. Changes in these estimates and
assumptions could materially affect the determination of fair value for each
reporting unit.





Going
Concern





The
accompanying financial statements have been prepared in conformity with
generally accepted accounting principles, which contemplate continuation of the
Company as a going concern. To date, the Company generated only nominal revenue,
is considered a development stage company, has experienced recurring net
operating losses, had a net loss of $(8,912) for the three months ended
September 30, 2010, and a working capital deficiency of $151,556 at September
30, 2010. These factors raise substantial doubt about the Company’s ability to
continue as a going concern. These financial statements do not include any
adjustments relating to the recoverability and classification of recorded asset
amounts, or amounts and classification of liabilities that might result from
this uncertainty. We will need to raise funds or implement our business plan to
continue operations.





Off-Balance Sheet
Arrangements





We do not
have any off-balance sheet arrangements that have or are reasonably likely to
have a current or future effect on our financial condition, changes in financial
condition, revenues or expenses, results of operations, liquidity, capital
expenditures or capital resources that is material to investors.





ITEM
3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK





As a
“smaller reporting company” as defined by Item 10 of Regulation S-K, the Company
is not required to provide information required by this Item.





ITEM
4. INTERNAL CONTROL OVER FINANCIAL REPORTING





Evaluation
of Disclosure Controls and Procedures


16





Under the
supervision and with the participation of our management, including our
principal executive officer and principal financial officer, we conducted an
evaluation of our disclosure controls and procedures, as such term is defined
under Rule 13a-15(e) and Rule 15d-15(e) promulgated under the Securities
Exchange Act of 1934, as amended (Exchange Act), as of September 30, 2010. Based
on this evaluation, our principal executive officer and principal financial
officer have concluded that our disclosure controls and procedures are effective
to ensure that information required to be disclosed by us in the reports we file
or submit under the Exchange Act is recorded, processed, summarized, and
reported within the time periods specified in the Securities and Exchange
Commission's rules and forms and that our disclosure and controls are designed
to ensure that information required to be disclosed by us in the reports that we
file or submit under the Exchange Act is accumulated and communicated to our
management, including our principal executive officer and principal financial
officer, or persons performing similar functions, as appropriate to allow timely
decisions regarding required disclosure.





Changes
in Internal Control Over Financial Reporting





There
were no changes (including corrective actions with regard to significant
deficiencies or material weaknesses) in our internal controls over financial
reporting that occurred during the first quarter of fiscal 2011 that has
materially affected, or is reasonably likely to materially affect, our internal
control over financial reporting.


17


PART II - OTHER
INFORMATION





ITEM
1.                     
LEGAL
PROCEEDINGS





There are
no legal proceedings which are pending or have been threatened against us or any
of our officers, directors or control persons of which management is
aware.





ITEM
1A.                   RISK
FACTORS.





As a
“smaller reporting company” as defined by Item 10 of Regulation S-K, the Company
is not required to provide information required by this Item





ITEM
2.                     
UNREGISTERED SALES OF EQUITY
SECURITIES





Except as
may have previously been disclosed on a current report on Form 8-K or the
Company’s Registration Statement on Form S-1, we have not sold any of our
securities in a private placement transaction or otherwise during the past three
years.





ITEM
3.                     
DEFAULTS UPON SENIOR
SECURITIES





Not
applicable.





ITEM
4.(REMOVED AND
RESERVED)





None.





ITEM
5.                      OTHER INFORMATION





None





ITEM
6.                     
EXHIBITS





Exhibit
                No.
              
              Description31.1
              
              Certification
      of Principal Executive Officer filed pursuant to Section 302 of the
      Sarbanes-Oxley Act of 2002.31.2
              
              Certification
      of Principal Financial Officer filed pursuant to Section 302 of the
      Sarbanes-Oxley Act of 2002.32.1
              
              Certification
      of Principal Executive Officer and Principal Financial Officer furnished
      pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of
      the Sarbanes-Oxley Act of
2002.




18





SIGNATURES





In
accordance with the Securities Exchange Act of 1934, this report has been signed
below by the following persons on behalf of the Registrant and in the capacities
and on the dates indicated.





ASIA
      DOCUMENT TRANSITION, INC.Date:
      November 12, 2010
                By:
                /s/
      Bernard ChanBernard
      ChanDirector,
      CEO, President and
Treasurer





EXHIBIT
INDEX





Exhibit
                No.
              
              Description31.1
              
              Certification
      of Principal Executive Officer filed pursuant to Section 302 of the
      Sarbanes-Oxley Act of 2002.31.2
              
              Certification
      of Principal Financial Officer filed pursuant to Section 302 of the
      Sarbanes-Oxley Act of 2002.32.1
              
              Certification
      of Principal Executive Officer and Principal Financial Officer furnished
      pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of
      the Sarbanes-Oxley Act of
2002.


19