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

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

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

----

**INDEX**

|                                                     |                                                                                              | Page                    Number |
|----------------------------------------------------------|---------------------------------------------------------------------------------------------------|------------------------------------------|
| PART                  I - FINANCIAL INFORMATION     |                                                                                              |
|                                                     |                                                                                              |                                     |
| Item                  1.                                 | Financial                  Statements (Unaudited)                                                 | F-1                                      |
|                                                     |                                                                                              |                                     |
|                                                     | Condensed                  Balance Sheet – September 30, 2007 and 2006                      | F-1                                      |
|                                                     |                                                                                              |                                     |
|                                                     | Condensed                  Statement of Operations –                                        |                                     |
|                                                     | For                  the three and nine months ended September 30, 2007 and                  2006 | F-2                                      |
|                                                     |                                                                                              |                                     |
|                                                     | Condensed                  Statements of Stockholders’ Equity -                             |                                     |
|                                                     | For                  the nine months ended September 30, 2007 and 2006                            | F-3                                      |
|                                                     |                                                                                              |                                     |
|                                                     | Condensed                  Statements of Cash Flows –                                       |                                     |
|                                                     | For                  the nine months ended September 30, 2007 and 2006                            | F-5                                      |
|                                                     |                                                                                              |                                     |
|                                                     | Condensed                  Notes to Financial Statements                                          | F-7                                      |
|                                                     |                                                                                              |                                     |
| Item                  2.                                 | Management’s                  Discussion and Analysis                                       | 1                                        |
|                                                     |                                                                                              |                                     |
| Item                  3.                                 | Plan                  of Operation                                                                | 5                                        |
|                                                     |                                                                                              |                                     |
| Item                  4.                                 | Controls                  and Procedures                                                          | 7                                        |
|                                                     |                                                                                              |                                     |
| PART                  II - OTHER INFORMATION   |
|                                                     |                                                                                              |                                     |
| Item                  1.                                 | Legal                  Proceedings                                                                | 8                                        |
| Item                  2.                                 | Unregistered                  Sales of Equity Securities and Use of Proceeds                      | 8                                        |
| Item                  3.                                 | Defaults                  Upon Senior Securities                                                  | 8                                        |
| Item                  4.                                 | Submission                  of Matters to a Vote of Security Holders                              | 8                                        |
| Item                  5.                                 | Other                  Information                                                                | 8                                        |
| Item                  6.                                 | Exhibits                                                                                          | 8                                        |
|                                                     |                                                                                              |                                     |
| SIGNATURES                                          | 9                                                                                                 |

----

**PART      I - FINANCIAL INFORMATION**

**ITEM      1. FINANCIAL STATEMENTS**

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        BALANCE SHEET**

**SEPTEMBER        30, 2007**

**(UNAUDITED)**

**ASSETS**

| **CURRENT                    ASSETS**                             |   |   |     |
|-------------------------------------------------------------------|--------|--------|----------|
| Cash                                                              |   | $      | 15,405   |   |
|                                                              |   |   |     |   |
|                                                              |   |   |     |   |
|                                                              |   |   |     |   |
| **LIABILITIES                    AND STOCKHOLDERS’ EQUITY** |
|                                                              |   |   |     |   |
|                                                              |   |   |     |   |
| **CURRENT                    LIABILITIES**                        |   |   |     |   |
| Accounts                    payable and accrued expenses          |   | $      | 16,533   |   |
|                                                              |   |   |     |   |
| **STOCKHOLDERS’                    EQUITY**                 |   |   |     |   |
| Preferred                    stock, no stated value               |   |   |     |   |
| Authorized                    10,000,000 shares                   |   |   |     |   |
| Issued                    and outstanding -0- shares              |   |   | -        |   |
| Common                    stock, no par value                     |   |   |     |   |
| Authorized                    100,000,000 shares                  |   |   |     |   |
| Issued                    and outstanding - 32,900,000 shares     |   |   | 166,454  |   |
| Deficit                    accumulated during the                 |   |   |     |   |
| development                    stage                              |   |   | (167,582 | ) |
|                                                              |   |   |     |   |
| **TOTAL                    STOCKHOLDERS’ (DEFICIT)**        |   |   | (1,128   | ) |
|                                                              |   |   |     |   |
| **TOTAL                    LIABILITIES AND**                      |   |   |     |   |
| **STOCKHOLDERS’                    (DEFICIT)**              |   | $      | 15,405   |   |

----

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        STATEMENTS OF OPERATIONS**

**FOR        THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2007 AND        2006**

**AND        FOR THE PERIOD FROM MAY 11, 1999 TO SEPTEMBER 30, 2007**

**(UNAUDITED)**

|                                            |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   | **May                    11, 1999**       |            |
|-------------------------------------------------|--------|-------------------------------------------|------------|--------|------------------------------------------|--------|------------|-----------------|--------|--------|------------------|--------|--------|-------------------------------------------|-----------------|
|                                            |   | **Three                    Months Ended** |       |   | **Nine                    Months Ended** |   |       | **(Inception)** |   |
|                                            |   | **September                    30,**      |       |   | **September                    30,**     |   |       | **To**          |   |
|                                            |   | **2007**                                  |       |   | **2006**                                 |   |       | **2007**        |   |   | **2006**         |   |   | **September                    30, 2007** |            |
|                                            |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |
|                                            |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |
| **REVENUES**                                    |   | $                                         | -          |   |                                     | $      | -          |            |   | $      | -                |   |   | $                                         | -               |   |   | $ | - |   |
|                                            |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |   |   |   |   |   |
| **OPERATING                    EXPENSES**       |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |   |   |   |   |   |
| Stock                    based compensation     |   |                                      | -          |   |                                     |   | -          |            |   |   | 45,474           |   |   |                                      | -               |   |   |   | 45,474 |   |
| Professional                    fees            |   |                                      | 25,017     |   |                                     |   | -          |            |   |   | 72,614           |   |   |                                      | 549             |   |   |   | 121,163 |   |
| Other                                           |   |                                      | 201        |   |                                     |   | 180        |            |   |   | 645              |   |   |                                      | 405             |   |   |   | 945 |   |
|                                            |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |   |   |   |   |   |
| **TOTAL                    OPERATING EXPENSES** |   |                                      | 25,218     |   |                                     |   | 180        |            |   |   | 118,733          |   |   |                                      | 954             |   |   |   | 167,582 |   |
|                                            |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |   |   |   |   |   |
| **NET                    (LOSS)**               |   | $                                         | (25,218    | )      |                                     | $      | (180       | )               |   | $      | (118,733         | )      |   | $                                         | (954            | ) |   | $ | (167,582 | ) |
|                                            |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |   |   |   |   |   |
| **NET                    (LOSS) PER SHARE**     |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |   |   |   |   |   |
| Basic                    and diluted            |   | $                                         | (.00       | )      |                                     | $      | (.00       | )               |   | $      | (.00             | )      |   | $                                         | (.00            | ) |   |   |   |   |
|                                            |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |   |   |   |   |   |
| **WEIGHTED                    AVERAGE NUMBER**  |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |   |   |   |   |   |
| **OF                    SHARES OUTSTANDING**    |   |                                      |       |   |                                     |   |       |            |   |   |             |   |   |                                      |            |   |   |   |   |   |
| Basic                    and diluted            |   |                                      | 32,900,000 |   |                                     |   | 16,500,000 |            |   |   | 28,514,652  |   |   |                                      | 7,013,864  |   |   |   |   |   |

----

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        STATEMENT OF STOCKHOLDERS’ EQUITY (DEFICIT)**

**FOR        THE PERIOD FROM MAY 11, 1999**

**(INCEPTION)        TO SEPTEMBER 30, 2007**

**UNAUDITED**

|                                                           |   |                              |   |   |                            |   |   | **Deficit**                            |   |   |      |   |
|----------------------------------------------------------------|--------|-----------------------------------|--------|--------|---------------------------------|--------|--------|----------------------------------------|--------|--------|-----------|--------|
|                                                           |   |                              |   |   |                            |   |   | **Accumulated**                        |   |   |      |   |
|                                                           |   | **Common                  Stock** |   |   | **During                  The** |   |   |                                   |   |
|                                                           |   | **Shares**                        |   |   | **Amount**                      |   |   | **Development                  Stage** |   |   | **Total** |   |
| **MAY                  11, 1999 (DATE OF INCEPTION)**          |   |                              |   |   |                            |   |   |                                   |   |   |      |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |
| Issuance                  of common stock for cash             |   |                              | 5,000  |   |                            | $      | 5,000  |                                   |   | $      | -         |   |   | $ | 5,000 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Net                  loss from inception to December 31, 1999  |   |                              | -      |   |                            |   | -      |                                   |   |   | (4,487    | )      |   |   | (4,487 | ) |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| **BALANCE,                  DECEMBER 31, 1999**                |   |                              | 5,000  |   |                            |   | 5,000  |                                   |   |   | (4,487    | )      |   |   | 513 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Cash                  contribution by stockholder              |   |                              | -      |   |                            |   | 10,000 |                                   |   |   | -         |   |   |   | 10,000 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Net                  loss for the year ended December 31, 2000 |   |                              | -      |   |                            |   | -      |                                   |   |   | (7,781    | )      |   |   | (7,781 | ) |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| **BALANCE,                  DECEMBER 31, 2000**                |   |                              | 5,000  |   |                            |   | 15,000 |                                   |   |   | (12,268   | )      |   |   | 2,732 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Net                  loss for the year ended December 31, 2001 |   |                              | -      |   |                            |   | -      |                                   |   |   | (1,565    | )      |   |   | (1,565 | ) |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| **BALANCE,                  DECEMBER 31, 2001**                |   |                              | 5,000  |   |                            |   | 15,000 |                                   |   |   | (13,833   | )      |   |   | 1,167 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Cash                  contribution by stockholder              |   |                              | -      |   |                            |   | 2,000  |                                   |   |   | -         |   |   |   | 2,000 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Net                  loss for the year ended December 31, 2002 |   |                              | -      |   |                            |   | -      |                                   |   |   | (2,901    | )      |   |   | (2,901 | ) |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| **BALANCE,                  DECEMBER 31, 2002**                |   |                              | 5,000  |   |                            |   | 17,000 |                                   |   |   | (16,734   | )      |   |   | 266 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Cash                  contribution by stockholder              |   |                              | -      |   |                            |   | 12,000 |                                   |   |   | -         |   |   |   | 12,000 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Net                  loss for the year ended December 31, 2003 |   |                              | -      |   |                            |   | -      |                                   |   |   | (12,580   | )      |   |   | (12,580 | ) |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| **BALANCE,                  DECEMBER 31, 2003**                |   |                              | 5,000  |   |                            |   | 29,000 |                                   |   |   | (29,314   | )      |   |   | (314 | ) |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Cash                  contribution by stockholder              |   |                              | -      |   |                            |   | 4,000  |                                   |   |   | -         |   |   |   | 4,000 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Net                  loss for the year ended December 31, 2004 |   |                              | -      |   |                            |   | -      |                                   |   |   | (3,845    | )      |   |   | (3,845 | ) |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| **BALANCE,                  DECEMBER 31, 2004**                |   |                              | 5,000  |   |                            |   | 33,000 |                                   |   |   | (33,159   | )      |   |   | (159 | ) |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Cash                  contribution by stockholder              |   |                              | -      |   |                            |   | 1,345  |                                   |   |   | -         |   |   |   | 1,345 |   |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| Net                  loss for the year ended December 31, 2005 |   |                              | -      |   |                            |   | -      |                                   |   |   | (1,026    | )      |   |   | (1,026 | ) |
|                                                           |   |                              |   |   |                            |   |   |                                   |   |   |      |   |   |   |   |   |
| **BALANCE,                  DECEMBER 31, 2005**                |   |                              | 5,000  |   |                            |   | 34,345 |                                   |   |   | (34,185   | )      |   |   | 160 |   |

----

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        STATEMENT OF STOCKHOLDERS’ EQUITY (DEFICIT) (CONTINUED)**

**FOR        THE PERIOD FROM MAY 11, 1999**

**(INCEPTION)        TO SEPTEMBER 30, 2007**

**(UNAUDITED)**

|                                                                     |   |                              |       |   |                            |   |    | **Deficit**                            |   |   |      |   |
|--------------------------------------------------------------------------|--------|-----------------------------------|------------|--------|---------------------------------|--------|---------|----------------------------------------|--------|--------|-----------|--------|
|                                                                     |   |                              |       |   |                            |   |    | **Accumulated**                        |   |   |      |   |
|                                                                     |   | **Common                  Stock** |       |   | **During                  The** |   |    |                                   |   |
|                                                                     |   | **Shares**                        |       |   | **Amount**                      |   |    | **Development                  Stage** |   |   | **Total** |   |
| Issuance                  of common stock for services                   |   |                              | 16,495,000 |   |                            | $      | 3,635   |                                   |   | $      | -         |   |   | $ | 3,635 |   |
|                                                                     |   |                              |       |   |                            |   |    |                                   |   |   |      |   |   |   |   |   |
| Cash                  contribution by stockholder                        |   |                              | -          |   |                            |   | 1,000   |                                   |   |   | -         |   |   |   | 1,000 |   |
|                                                                     |   |                              |       |   |                            |   |    |                                   |   |   |      |   |   |   |   |   |
| Net                  loss for the year ended December 31, 2006           |   |                              | -          |   |                            |   | -       |                                   |   |   | (14,664   | )      |   |   | (14,665 | ) |
|                                                                     |   |                              |       |   |                            |   |    |                                   |   |   |      |   |   |   |   |   |
| **BALANCE,                  DECEMBER 31, 2006**                          |   |                              | 16,500,000 |   |                            |   | 38,980  |                                   |   |   | (48,849   | )      |   |   | (9,869 | ) |
|                                                                     |   |                              |       |   |                            |   |    |                                   |   |   |      |   |   |   |   |   |
| Common                  stock issued for cash                            |   |                              | 16,400,000 |   |                            |   | 82,000  |                                   |   |   | -         |   |   |   | 82,000 |   |
|                                                                     |   |                              |       |   |                            |   |    |                                   |   |   |      |   |   |   |   |   |
| Stock                  based compensation                                |   |                              | -          |   |                            |   | 45,474  |                                   |   |   | -         |   |   |   | 45,474 |   |
|                                                                     |   |                              |       |   |                            |   |    |                                   |   |   |      |   |   |   |   |   |
| Net                  (loss) for the nine months ended September 30, 2007 |   |                              | -          |   |                            |   | -       |                                   |   |   | (118,733  | )      |   |   | (118,733 | ) |
|                                                                     |   |                              |       |   |                            |   |    |                                   |   |   |      |   |   |   |   |   |
| **BALANCE,                  SEPTEMBER 30, 2007**                         |   |                              | 32,900,000 |   |                            | $      | 166,454 |                                   |   | $      | (167,582  | )      |   | $ | (1,128 | ) |

----

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        STATEMENTS OF CASH FLOWS**

**FOR        THE NINE MONTHS ENDED SEPTEMBER 30, 2007 AND 2006**

**AND        FOR THE PERIOD FROM MAY 11, 1999 (INCEPTION) TO SEPTEMBER 30,        2007**

**UNAUDITED**

|                                                            |   |     |     |   |     |   |   | **May                    11, 1999**       |   |
|-----------------------------------------------------------------|--------|----------|----------|--------|----------|--------|--------|-------------------------------------------|--------|
|                                                            |   |     |     |   |     |   |   | **(Inception)**                           |   |
|                                                            |   |     |     |   |     |   |   | **To**                                    |   |
|                                                            |   | **2007** |     |   | **2006** |   |   | **September                    30, 2007** |   |
|                                                            |   |     |     |   |     |   |   |                                      |   |
| **CASH                    FLOWS FROM**                          |   |     |     |   |     |   |   |                                      |   |
| **OPERATING                    ACTIVITIES:**                    |   |     |     |   |     |   |   |                                      |   |
| Net                    (loss)                                   |   | $        | (118,733 | )      |     | $      | (954   | )                                         |   | $ | (167,582 | ) |
| Adjustments                    to reconcile net                 |   |     |     |   |     |   |   |                                      |   |   |   |   |
| (loss)                    to net cash used                      |   |     |     |   |     |   |   |                                      |   |   |   |   |
| by                    operating activities :                    |   |     |     |   |     |   |   |                                      |   |   |   |   |
| Common                    stock issued** **for services    |   |     | -        |   |     |   | -      |                                      |   |   | 3,635 |   |
| Stock                    based compensation                     |   |     | 45,474   |   |     |   | -      |                                      |   |   | 45,474 |   |
| Changes                    in operating assets and liabilities: |   |     |     |   |     |   |   |                                      |   |   |   |   |
| Accounts                    payable and accrued expenses        |   |     | 6,533    |   |     |   | -      |                                      |   |   | 16,533 |   |
|                                                            |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **NET                    CASH (USED) IN**                       |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **OPERATING                    ACTIVITIES**                     |   |     | (66,726  | )      |     |   | (954   | )                                         |   |   | (101,940 | ) |
|                                                            |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **CASH                    FLOWS FROM**                          |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **INVESTING                    ACTIVITIES**                     |   |     | -        |   |     |   | -      |                                      |   |   | - |   |
|                                                            |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **CASH                    FLOWS FROM**                          |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **FINANCING                    ACTIVITIES**                     |   |     |     |   |     |   |   |                                      |   |   |   |   |
| Issuance                    of common stock for cash            |   |     | 82,000   |   |     |   | -      |                                      |   |   | 115,000 |   |
| Cash                    contributed by stockholder              |   |     | -        |   |     |   | 1,000  |                                      |   |   | 2,345 |   |
|                                                            |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **NET                    CASH PROVIDED BY**                     |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **FINANCING                    ACTIVITIES**                     |   |     | 82,000   |   |     |   | 1,000  |                                      |   |   | 117,345 |   |
|                                                            |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **NET                    INCREASE IN CASH**                     |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **AND                    CASH EQUIVALENTS**                     |   |     | 15,274   |   |     |   | 46     |                                      |   |   | 15,405 |   |
|                                                            |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **CASH                    AND CASH EQUIVALENTS,**               |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **BEGINNING                    OF PERIOD**                      |   |     | 131      |   |     |   | 160    |                                      |   |   | - |   |
|                                                            |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **CASH                    AND CASH EQUIVALENTS,**               |   |     |     |   |     |   |   |                                      |   |   |   |   |
| **END                    OF PERIOD**                            |   | $        | 15,405   |   |     | $      | 206    |                                      |   | $ | 15,405 |   |

----

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        STATEMENTS OF CASH FLOWS (CONTINUED)**

**FOR        THE NINE MONTHS ENDED SEPTEMBER 30, 2007 AND 2006**

**AND        FOR THE PERIOD FROM MAY 11, 1999 (INCEPTION) TO SEPTEMBER 30,        2007**

**(UNAUDITED)**

|                                                  |   |     |   |   |     |   |   | **May                    11, 1999**       |   |
|-------------------------------------------------------|--------|----------|--------|--------|----------|--------|--------|-------------------------------------------|--------|
|                                                  |   |     |   |   |     |   |   | **(Inception)**                           |   |
|                                                  |   |     |   |   |     |   |   | **To**                                    |   |
|                                                  |   | **2007** |   |   | **2006** |   |   | **September                    30, 2007** |   |
|                                                  |   |     |   |   |     |   |   |                                      |   |
| **SUPPLEMENTAL                    DISCLOSURE**        |   |     |   |   |     |   |   |                                      |   |
| **OF                    CASH FLOW INFORMATION**       |   |     |   |   |     |   |   |                                      |   |
|                                                  |   |     |   |   |     |   |   |                                      |   |
| **CASH                    PAID DURING THE YEAR FOR:** |   |     |   |   |     |   |   |                                      |   |
|                                                  |   |     |   |   |     |   |   |                                      |   |
| Interest                                              |   | $        | -      |   |     | $      | -      |                                      |   | $ | - |   |
|                                                  |   |     |   |   |     |   |   |                                      |   |   |   |   |
| Taxes                                                 |   | $        | -      |   |     | $      | -      |                                      |   | $ | - |   |

----

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        NOTES TO FINANCIAL STATEMENTS**

**SEPTEMBER        30, 2007 AND 2006**

**(UNAUDITED)**

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

**Nature        of        Operations**

**Use        of Estimates**

**Cash        and Cash Equivalents**

**Fair        Value of Financial Instruments**

**Net        (Loss) Per Share**

----

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        NOTES TO FINANCIAL STATEMENTS**

**SEPTEMBER        30, 2007 AND 2006**

**(UNAUDITED)**

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

**Development        Stage Enterprise**

**Recently        Issued Accounting Pronouncements**

----

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        NOTES TO FINANCIAL STATEMENTS**

**SEPTEMBER        30, 2007 AND 2006**

**(UNAUDITED)**

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

**Recently        Issued Accounting Pronouncements (Continued)**

|  | a. | A                  brief description of the provisions of SFAS                  158 |
|--|----|-------------------------------------------------------------------------------------|

|  | b. | The                  date that adoption is required |
|--|----|-----------------------------------------------------|

|  | c. | The                  date the employer plans to adopt the recognition provisions of                  this                  statement, if earlier. |
|--|----|---------------------------------------------------------------------------------------------------------------------------------------------------|

----

**DON        MARCOS TRADING CO.**

**(A        DEVELOPMENT STAGE COMPANY)**

**CONDENSED        NOTES TO FINANCIAL STATEMENTS**

**SEPTEMBER        30, 2007 AND 2006**

**(UNAUDITED)**

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

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

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

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

| **NOTE                  3** | **PREFERRED                  STOCK** |
|-----------------------------|--------------------------------------|

|   | The                  Company has not assigned any preference rights to the preferred                  stock. |
|--------|--------------------------------------------------------------------------------------------------------------|

| **NOTE                  4** | **COMMON                  STOCK** |
|-----------------------------|-----------------------------------|

|   | The                  Company effected a 1:5 forward split of the stock in February 2007.                  All                  per share amounts and number of shares outstanding have been retroactively                  restated for this adjustment. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | On                  March 14, 2007, the Company offered a private placement of 1,640,000                  shares of common stock, no par value, with an aggregate value of                  $82,000. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | The                  Company effected a 1:10 forward split of the stock on March 30,                  2007. All                  per share amounts and number of shares outstanding have been retroactively                  restated for this adjustment. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| **ITEM                2.** | **MANAGEMENT'S                DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF                OPERATIONS** |
|----------------------------|-------------------------------------------------------------------------------------------------------------------------|

**Critical      Accounting Policies**

***Use      of Estimates***

***Net      Loss Per Share***

***Stock      Issued for Non-Cash Transactions***

----

***Going      Concern***

***Stock      Based Compensation***

**SELECTED      FINANCIAL INFORMATION AND RESULTS OF OPERATIONS**

***Results      of Operations***

----

|                                  |   | **Nine                  Months**        |     |   | **Nine                  Months**        |   |   | **Three                  Months**       |   |   | **Three                  Months**       |   |
|---------------------------------------|--------|-----------------------------------------|----------|--------|-----------------------------------------|--------|--------|-----------------------------------------|--------|--------|-----------------------------------------|--------|
|                                  |   | **Ended**                               |     |   | **Ended**                               |   |   | **Ended**                               |   |   | **Ended**                               |   |
|                                  |   | **September                  30, 2007** |     |   | **September                  30, 2006** |   |   | **September                  30, 2007** |   |   | **September                  30, 2006** |   |
|                                  |   | **(Unaudited)**                         |     |   | **(Unaudited)**                         |   |   | **(Unaudited)**                         |   |   | **(Unaudited)**                         |   |
| Revenue                               |   | $                                       | -        |   |                                    | $      | -      |                                    |   | $      | -                                       |   |   | $ | - |   |
| Operating                  expenses   |   |                                    | 118,733  |   |                                    |   | 954    |                                    |   |   | 25,218                                  |   |   |   | 180 |   |
| Net                  (loss)           |   | $                                       | (118,733 | )      |                                    | $      | (954   | )                                       |   | $      | (25,218                                 | )      |   | $ | (180 | ) |
| Net                  (loss) per share |   | $                                       | (.00     | )      |                                    | $      | (.00   | )                                       |   | $      | (.00                                    | )      |   | $ | (.00 | ) |

***Results      for the nine months ended September 30, 2007 compared to the nine months ended      September 30, 2006.***

***Revenues***

***Operating      Expenses***

***Net      Loss***

***Results      for the three months ended September 30, 2007 compared to the three months      ended      September 30, 2006***

***Revenues***

----

***Operating      Expenses***

***Liquidity      and Capital Resources***

|                                 |   | **September                  30,** |   |   | **September                  30,** |   |
|--------------------------------------|--------|------------------------------------|--------|--------|------------------------------------|--------|
|                                 |   | **2007**                           |   |   | **2006**                           |   |
| Current                  assets      |   | $                                  | 15,405 |   |                               | $      | 311 |   |
| Current                  liabilities |   |                               | 16,533 |   |                               |   | - |   |
|                                 |   |                               |   |   |                               |   |   |   |
| Working                  Capital     |   | $                                  | (1,128 | )      |                               | $      | 311 |   |

***Changes      in cash flows is summarized as follows:***

----

| **ITEM                3.** | **PLAN                OF OPERATION** |
|----------------------------|--------------------------------------|

 plan of operation provides information which our      management believes is relevant to an assessment and understanding of our      business, operations, and financial condition.  You should read the      following discussion together with our financial statements and related notes      appearing elsewhere in this Report.  This 
plan of      operation contains forward-looking statements that involve risks, uncertainties,      and assumptions.  Our actual results may differ materially from those      anticipated in these forward-looking statements as a result of certain factors,      including, but not limited to, our ability to market and distribute our      product.

**Overview**

**Current      Activities and Plans**

|   | 1. | Fragrance                - the smell of                beans after grinding; |
|--------|----|------------------------------------------------------------------------------|

|   | 2. | Aroma                - the smell of ground-up beans after being steeped in                water; |
|--------|----|--------------------------------------------------------------------------------------------------|

|   | 3. | Taste                - the flavor of the coffee; |
|--------|----|--------------------------------------------------|

|   | 4. | Nose                - the vapors released by the coffee in the                mouth; |
|--------|----|--------------------------------------------------------------------------------------|

|   | 5. | Aftertaste                - the vapors and flavors that remain after swallowing;                and |
|--------|----|-----------------------------------------------------------------------------------------------------|

|   | 6. | Body                - the feel of the coffee in the                mouth. |
|--------|----|---------------------------------------------------------------------------|

----

|   | · | Certified                Specialty Coffee Association of American (SCAA) Cupper,                2003 |
|--------|--------|------------------------------------------------------------------------------------------------------|

|   | · | 1st place                - National Cupping Competition 2003 |
|--------|--------|-------------------------------------------------------------------|

|   | · | International                Judge representing Costa Rica during Sintercafe                2004 |
|--------|--------|--------------------------------------------------------------------------------------------------|

|   | · | 1st                Place - Cupping Competition Sintercafe                2005 |
|--------|--------|-------------------------------------------------------------------------------|

|   | · | Certified                Star Cupper |
|--------|--------|--------------------------------------|

|   | · | Invited                as an International Judge in Guatemala                2005 |
|--------|--------|-----------------------------------------------------------------------------------|

|   | · | Certified                SCAA Cupper, 2003 |
|--------|--------|--------------------------------------------|

|   | · | 2nd                Place - World Cupping Competition in Rimini, Italy                2004 |
|--------|--------|-------------------------------------------------------------------------------------------|

|   | · | 3rd                Place - Cupping competition Sintercafe                2005 |
|--------|--------|-------------------------------------------------------------------------------|

|   | · | 1st                Place - National Cupping competition 2002 and                2003 |
|--------|--------|--------------------------------------------------------------------------------------|

|   | · | International                Judge representing Costa Rica during Sintercafe 2002 and                2003 |
|--------|--------|-----------------------------------------------------------------------------------------------------------|

|   | · | Invited                as an International Judge in Panama 2003 and                2007 |
|--------|--------|----------------------------------------------------------------------------------------------|

----

significant changes in our number of      employees.

**Off-Balance      Sheet Arrangements**

| **ITEM                4.** | **CONTROLS                AND PROCEDURES** |
|----------------------------|--------------------------------------------|

----

**PART      II - OTHER INFORMATION**

| **ITEM                1.** | **LEGAL                PROCEEDINGS** |
|----------------------------|--------------------------------------|

| **ITEM                2.** | **UNREGISTERED                SALES OF EQUITY SECURITIES AND USE OF                PROCEEDS** |
|----------------------------|-----------------------------------------------------------------------------------------------|

| **ITEM                3.** | **DEFAULTS                UPON SENIOR SECURITIES** |
|----------------------------|----------------------------------------------------|

| **ITEM                4.** | **SUBMISSION                OF MATTERS TO A VOTE OF SECURITY                HOLDERS** |
|----------------------------|---------------------------------------------------------------------------------------|

| **ITEM                5.** | **OTHER                INFORMATION** |
|----------------------------|--------------------------------------|

| **ITEM                6.** | **EXHIBITS** |
|----------------------------|--------------|

|   | No. | Title |
|--------|-----|-------|
|   |   |   |
|--------|--------|--------|
|   | 31.1 | Certification                of President Pursuant to the Securities Exchange Act of 1934, Rules                13a-14                and 15d-14, as adopted pursuant to Section 302 of the Sarbanes-Oxley                Act                of 2002 |
|--------|------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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

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

----

**SIGNATURES**

|                                                         | DON              MARCOS TRADING CO. |                                                                      |
|--------------------------------------------------------------|-------------------------------------|---------------------------------------------------------------------------|
|                                                         |                                |                                                                      |   |
| DATED:                November                19, 2007  | By:                                 | /s/ Earl              T. Shannon                                     |   |
|                                                         |                                | Earl              T. Shannon                                              |   |
|                                                         |                                | ITS:                President(Principal                Executive Officer) |   |
|                                                         |                                |                                                                      |   |
|   |   |                                                                                                                     |   |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------|--------|
|        | By:    | /s/ Scott              W. Bodenweber                                                                                |   |
|   |   | ITS:                Chief Financial Officer(Principal                Financial Officer and Principal Accounting Officer) |   |