UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ________________  FORM 10-Q _______________  X.QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2014  .TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT OF 1934 For the transition period from ______ to _______  Commission File Number 000-53299  POWRTEC INTERNATIONAL CORP. (Exact name of registrant as specified in its charter)  Delaware20-5478196(State of incorporation)(I.R.S. Employer Identification No.)  1669 Hollenbeck Avenue, Suite 142 Sunnyvale, CA 94087 (Address of principal executive offices)  (408) 374-1900 (Registrants telephone number)   Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. X.Yes       .No  Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    .Yes   X.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 . Smaller Reporting Company X.  Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).   . Yes   X.  No  As of May 1, 2014, there were 102,780,377shares of the registrants $0.001 par value common stock issued and outstanding.                 POWRTEC INTERNATIONAL CORP.  TABLE OF CONTENTS    PagePART I.             FINANCIAL INFORMATIONITEM 1.CONSOLIDATED FINANCIAL STATEMENTS3ITEM 2.MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS12ITEM 3.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK14ITEM 4.CONTROLS AND PROCEDURES14PART II.            OTHER INFORMATIONITEM 1.LEGAL PROCEEDINGS15ITEM 1A.RISK FACTORS15ITEM 2.UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS15ITEM 3.DEFAULTS UPON SENIOR SECURITIES15ITEM 4.MINE SAFETY DISCLOSURES15ITEM 5.OTHER INFORMATION15ITEM 6.EXHIBITS15  Special Note Regarding Forward-Looking Statements  Information included in this Form 10-Q contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (Securities Act), and Section 21E of the Securities Exchange Act of 1934, as amended (Exchange Act). This information may involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of POWRtec International Corp. (the Company), to be materially different from future results, performance or achievements expressed or implied by any forward-looking statements. Forward-looking statements, which involve assumptions and describe future plans, strategies and expectations of the Company, are generally identifiable by use of the words may, will, should, expect, anticipate, estimate, believe, intend, or project or the negative of these words or other variations on these words or comparable terminology. These forward-looking statements are based on assumptions that may be incorrect, and there can be no assurance that these projections included in these forward-looking statements will come to pass. Actual results of the Company could differ materially from those expressed or implied by the forward-looking statements as a result of various factors. Except as required by applicable laws, the Company has no obligation to update publicly any forward-looking statements for any reason, even if new information becomes available or other events occur in the future.  *Please note that throughout this Quarterly Report, and unless otherwise noted, the words "we," "our," "us," the "Company," or "POWT" refers to POWRtec International Corp.    2     PART I - FINANCIAL INFORMATION  ITEM 1. CONSOLIDATED FINANCIAL STATEMENTS   POWRtec International Corp. March 31, 2014    Index   Consolidated Balance Sheets 4  Consolidated Statements of Operations 5  Consolidated Statements of Cash Flows 6  Notes to the Consolidated Financial Statements 7                     3      POWRTEC INTERNATIONAL CORP.CONSOLIDATED BALANCE SHEETS(unaudited)March 31, 2014December 31, 2013AssetsCurrent assets:Cash$4,512$5Accounts receivable, net of allowances--Total current assets and total assets$4,512$5Liabilities and stockholders' deficiencyCurrent liabilities:Bank overdraft$-$99Accounts payable593,271593,271Payable to related parties1,542,5971,447,209Accrued liabilities1,111,4031,116,488Deferred revenue147,987147,987Accrued interest94,08486,074Notes payableTerm notes25,00025,000Convertible notes, net of discounts182,580182,580Total current liabilities and total liabilities3,696,9223,598,708Stockholders' deficiency:Preferred stock, $0.001 par value; 5,000,000 shares authorized; 0 shares issued and outstanding--Common stock, $0.001 par value; 300,000,000 shares authorized; 102,780,377 shares issued and outstanding at March 31, 2014 and December 31, 2013.102,780102,780Additional paid-in capital5,141,4085,138,778Accumulated deficit(8,936,598)(8,840,261)Total stockholders' deficiency(3,692,410)(3,598,703)Total liabilities and stockholders' deficiency$4,512$5See notes to consolidated financial statements.  4       POWRTEC INTERNATIONAL CORP.CONSOLIDATED STATEMENTS OF OPERATIONSFor the three months ended(Unaudited)March 31, 2014March 31, 2013Revenue$-$-Cost of goods sold--Gross profit--Operating expensesSelling and marketing2,5756,063General and administrative85,75298,621Total operating expenses88,327104,684Operating loss(88,327)(104,684)Interest expense and amortization of note discount8,01011,372Net loss$(96,337)$(116,056)Basic and diluted loss per share of common stock$(0.00)$(0.00)Weighted average number of common shares outstandingused in basic and diluted loss per share102,780,377102,780,377See notes to consolidated financial statements.  5      POWRTEC INTERNATIONAL CORP.CONSOLIDATED STATEMENTS OF CASH FLOWS(Unaudited)For the three months endedMarch 31, 2014March 31, 2013Operating activitiesNet loss$(96,337)$(116,056)Adjustments to reconcile net loss to net cash provided (used in) operating activitiesAmortization of discount on convertible notes-4,670Stock based compensation expense2,6302,630Interest accrued on notes8,0106,700Changes in operating assets and liabilitiesPayable to related parties95,388-Accrued liabilities(5,085)35,179Deferred revenue-(14)Net cash provided by (used in) operating activities4,606(66,891)Financing activitiesRepayment of overdraft(99)-Net cash provided by (used in) financing activities(99)-Net increase (decrease) in cash and equivalents4,507(66,891)Cash at beginning of period5107,822Cash at end of period$4,512$40,931Supplemental disclosures of cash flow information:Cash paid for taxes$800$800See notes to consolidated financial statements.  6     POWRTEC INTERNATIONAL CORP. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS March 31, 2014 (Unaudited)  1. OVERVIEW  Basis of Presentation  These consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial statements and with the instructions to Form 10-Q and Article 10 of Regulation S-X of the United States Securities and Exchange Commission (SEC). Accordingly, they do not contain all information and footnotes required by accounting principles generally accepted in the United States of America for annual financial statements. The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary. All intercompany balances and transactions have been eliminated in consolidation. In the opinion of the Companys management, the accompanying unaudited consolidated financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company as of March 31, 2014 and the results of operations and cash flows for the periods presented. The results of operations for the three months ended March 31, 2014 are not necessarily indicative of the operating results for the full fiscal year or any future period. These consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes thereto included in the Companys Annual Report on Form 10-K for the year ended December 31, 2013. The Companys accounting policies are described in the Notes to Consolidated Financial Statements in its Annual Report on Form 10-K for the year ended December 31, 2013, filed on March 31, 2014, and updated, as necessary, in this Quarterly Report on Form 10-Q.  Corporate History  We were incorporated on April 19, 2006 under the name School4Chauffeurs, Inc. ("SFCF") in the State of Delaware. We had been in the process of establishing ourselves as a specialty educational vocational skill service for the limousine and driver industry.  We had intended to provide driver training to all entry-level employees as well as to employees of small to medium sized limousine companies.  On April 16, 2010, the Company filed an Information Statement Pursuant to Section 14(F) of the Securities Exchange Act of 1934 and Rule 14f-1 thereunder announcing that Grant Jasmin (Mr. Jasmin) acquired the majority of the issued and outstanding common stock of the Company from Jeffrey E. Jones (Mr. Jones) per the terms of a common stock purchase agreement between Mr. Jasmin and Mr. Jones. Pursuant to the terms of the Purchase Agreement, Mr. Jasmin acquired control of 1,700,000 shares of SFCFs issued and outstanding common stock representing approximately 70% of the total shares issued and outstanding.  On May 14, 2010, SFCF, POWRtec Corporation, a Delaware corporation (POWRtec) and the shareholders of POWRtec (the POWRtec Shareholders) closed a transaction pursuant to that certain Share Exchange Agreement (the Share Exchange Agreement), whereby SFCF acquired approximately 100% of the outstanding shares of common stock of POWRtec (the POWRtec Stock) from the POWRtec Shareholders.  In exchange for the POWRtec Stock, SFCF issued 1,750,001 shares of its common stock. As a result of closing the transaction the POWRtec Shareholders held approximately 70% of our issued and outstanding common stock.  On May 20, 2010, we filed an Amended and Restated Certificate of Incorporation with the Delaware Secretary of State. As a result of the Amended and Restated Certificate of Incorporation, SFCF: (i) changed its name to POWRtec International Corp.; and, (ii) increased the aggregate number of authorized shares to 305,000,000 shares, consisting of  300,000,000 shares of Common Stock, par value $0.001 per share and 5,000,000 shares of preferred stock, par value $0.001 per share.  In addition to the name change, the Company's Board of Directors approved a forward split of the issued and outstanding common shares, whereby every one old share of common stock was exchanged for 40 new shares of the Company's common stock. As a result, the issued and outstanding shares of common stock increased from 2,500,001 prior to the forward split to 100,000,040 following the forward split.  The Company now designs, develops and sells intelligent electricity meters to utility companies to enable real time management of electricity consumption as a way of balancing energy supply and demand.  These financial statements report on the consolidated results of POWRtec International Corp. from April 19, 2006 and POWRtec Corporation from the date of the merger in May 14, 2010. Our fiscal year end is December 31.  7     Going concern  The Company requires additional funds to continue operations. As reflected in the accompanying financial statements, the Company has a net loss since inception of approximately $8.9 million, has experienced a number of quarters with no revenue, and has a cash balance of only $4,512. As of March 31, 2014, total liabilities exceeded total assets by over $3.6 million. These factors, among others, raise substantial doubt about the Companys ability to continue as a going concern. The ability to continue as a going concern is dependent on the Companys ability to raise additional capital and implement a business plan. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.  Because the Company has net losses since inception and does not expect to be profitable until 2014 or later, it will most likely be required to raise required additional funds through convertible debt, debt or equity financings or by selling its assets.  Management believes that actions presently being taken to obtain additional funding and implement its strategic plans provide the opportunity for the Company to continue as a going concern. However, this additional financing may not be available on a timely basis or on terms acceptable to it, or at all. The Companys ability to obtain such financing may be impaired by the current economic conditions and the lack of liquidity in the credit markets. If the Company is unable to secure additional funding, it may have to discontinue operations; delay additional development or commercialization of its meters; license to third parties the rights to commercialize products or technologies that it would otherwise seek to commercialize; reduce marketing, customer support, or other resources devoted to its system: or any combination of these activities. Any of these results would materially harm the Companys business, financial condition, and results of operations, and there can be no assurance that any of these results will result in cash flows that will be sufficient to fund its current or future operating needs. The Company may also need to seek protection under the U.S. Bankruptcy Code or otherwise liquidate its assets, which may result in the failure of the Companys stockholders to receive value for their ownership of its stock.  2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES  Uses of estimates in the preparation of financial statements  The preparation of financial statements in conformity with accounting principles generally accepted in the United States ("GAAP") requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes.  Recent accounting pronouncements  From time to time new accounting pronouncements are issued by the Financial Accounting Standards Board or other standard setting bodies that may have an impact on the Companys accounting and reporting.  The Company believes that such recently issued accounting pronouncements and other authoritative guidance for which the effective date is in the future will not have an impact on its accounting or reporting or that such impact will not be material to its financial position, results of operations and cash flows when implemented.  3. DEFERRED REVENUE  The Company sells its meters under the terms of a supply contract with its single customer that provides for certain advance payments. Any such payments received by the Company in advance of shipments are treated as deferred revenue which is then recognized as revenue when subsequently shipped and invoiced. Deferred revenue at March 31, 2014 and December 31, 2013 was $147,987 and, $147,987, respectively  4. WARRANTY RESERVE  Based on experience, the Company has determined that replacement of certain components in its meters may be necessary from time to time, and estimates and accrues for the potential cost of this component replacement.   As of March 31, 2014 and December 31, 2013, warranty reserves were $25,393 and $25,393, respectively and were included as accrued liabilities in the accompanying balance sheets.  8     5. NOTES PAYABLE  A) CONVERTIBLE NOTES  At various times, starting July 1, 2010, the Company has raised funds through the issuance of unsecured convertible promissory notes for terms ranging from six months to two years at interest rates ranging from 6% to 60% per annum. As of November 2, 2013 the notes have all matured and the Company has attempted to repay the noteholders, however such attempts have been unsuccessful as the Company has been unable to locate the noteholders at the addresses provided, nor find them in an internet search. The Company has continued to accrue interest while it seeks an appropriate resolution.  SummaryMarch 31, 2014Principal amount of convertible notes issued$290,080Amounts repaid(89,500)Amounts converted(18,000)Balance of principal amount182,580Note discount(52,461)less Accumulated amortization of discount52,461Convertible notes, net of discount$182,580  As at March 31, 2014 and December 31, 2013, the Company had accrued $94,084 and $86,074, respectively of interest on the notes, which will be paid, or converted into common stock when the noteholders can be contacted.  Based on the share price of $.002 at March 31, 2014, the Company would require 94,047,692 shares of common stock to convert the notes and accrued interest then outstanding.  The Company recognizes the underlying value of embedded derivatives in accordance with ASC 815-15-25-1. The value of the option for noteholders to convert their notes into shares of common stock is calculated and credited as a derivative liability for the duration of the notes, while an offsetting amount is classified as a discount to the principal value of the notes. Since no new convertible notes were issued during the three months ended March 31, 2014 and year ended December 31, 2013, no derivative value was added to the discount reserve or derivative liability in these years, respectively. The value of the debt discount is amortized as interest expense on a straight line basis over the life of the notes. As at December 31, 2013, the convertible notes had reached maturity, the discount and derivative liability were fully amortized.  B) TERM NOTES  The Company also has an unsecured term note for $25,000, due April 12, 2012. The interest rate on this note is 8% per annum and interest expense of $493 was accrued for the three months ended March 31, 2014 and March 31, 2013, respectively. The note has reached its maturity date, and the Company and noteholder have informally agreed to let the note roll over on a month to month basis with no change in terms.  6. INCOME TAXES  The Company recognizes deferred income tax liabilities and assets for the expected future tax consequences of events that have been recognized in the financial statements or tax returns. Under this method, deferred tax liabilities and assets are determined based on the differences between the financial statement carrying amounts and the tax basis of assets and liabilities using enacted tax rates in effect in the years in which the differences are expected to reverse. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial statement and income tax purposes under enacted tax laws and rates.  Components of the Companys deferred tax liabilities and assets are as follows:  March 31, 2014Deferred tax assets:Net operating loss carry forwards$(8,936,598)add back timing differencesAccrued compensation and other accruals2,654,000Accrued interest94,084Deferred revenue147,987(6,040,527)Statutory tax rate (combined federal and state)37.60%Deferred tax asset2,271,238Valuation allowance(2,271,238)Deferred tax asset$-  9     In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment.  Based on the assessment, the Company has established a full valuation allowance against all of the deferred tax assets for every period because it is more likely than not that all of the deferred tax assets will not be realized.The Company is currently open to audit for all years because of its large net operating loss carry-forwards, however the Company is only open to additional tax assessments under the Internal Revenue Code statute of limitations for the years ended December 31, 2009 to present. If there is a change in ownership, the ability to fully utilize the tax losses may be limited.  The Company does not currently have any ongoing tax examinations.  7. STOCKHOLDERS DEFICIENCY  Common stock and warrants  The Company has reserved shares of common and preferred stock for issuance at March 31, 2014 and December 31, 2013, as follows:  Authorized sharesMarch 31, 2014December 31, 2013Common shares, par value $0.001300,000,000300,000,000Preferred shares, par value $0.0015,000,0005,000,000  Stock Option Plan  In 2004, the POWRtec Board of Directors adopted the 2004 Incentive Stock Plan (the "Prior Plan"), under which shares of common stock are reserved for issuance to employees, management and consultants of the Company.  On December 15, 2010, the Company established an additional share incentive plan, the 2010 Share Incentive Plan (the New Plan), which superseded the Prior Plan, and all grants under the Prior Plan were cancelled. The New Plan permits the granting of stock options (including incentive stock options within the meaning of Code Section 422 and non-qualified stock options), stock appreciation rights, restricted or unrestricted stock awards, phantom stock, performance awards, and other stock-based awards. The New Plan has authorized 15,000,000 shares of Common Stock issuable pursuant to all awards granted under the Plan, and 6,000,000 options were reissued under the New Plan to reflect the post-merger split of shares of forty for one.  During the three months ended March 31, 2014 there were no grants, exercises or cancellations under the Plan and at March 31, 2014, 3,691,781 shares of Common Stock remain available for future grants.  The Company accounts for share-based compensation plans in accordance to the provisions of ASC 718, "Stock Compensation" (formerly referred to as SFAS No. 123(R)). We estimate the fair value of each option award on the date of grant using the Black-Scholes option-pricing model, and appropriate assumptions for volatility, the expected term of options and the risk-free rate for the expected term of the option.  During the three months ended March 31, 2014, and 2013, the Company recorded $2,630 and $2,630 of stock-based compensation expense, respectively, related to stock options granted to employees, directors and consultants.  Warrants  The Company has issued to former directors and consultants of the Company a total of 3,436,230 warrants to purchase shares of common stock at prices ranging from $.004 to $0.11. The Company accounts for the compensation value embedded in the warrants in accordance to the provisions of ASC 718, "Stock Compensation" (formerly referred to as SFAS No. 123(R)). We estimate the fair value of each warrant award on the date of grant using the Black-Scholes option-pricing model, and appropriate assumptions for volatility, the expected term of options and the risk-free rate for the expected term of the option, and amortize the compensation expense on a straight-line basis over the shorter of the directors service periods or life of the warrant.  During the three months ended March 31, 2014 and 2013, the Company did not record any equity-based compensation expense related to warrants granted to directors and consultants.  Convertible Notes  The Company did not issue and notes, or convert any convertible notes into shares of common stock during the three months ended March 31, 2014 or 2013, respectively.  10     8. RELATED PARTY TRANSACTIONS  The following amounts are included as payable to related parties at March 31, 2014 and December 31, 2013, respectively.  March 31, 2014December 31, 2013Due to CEO for accrued payroll$1,412,777$1,350,376Due to CEO for advances provided to Company28,80011,000Due to CFO for accrued consulting fees101,02085,833Total due to related parties$1,542,597$1,447,209  9. COMMITMENTS AND CONTINGENCIES  The Company has no lease commitments. We are currently using free generic executive office space on a month-to-month basis. The space is being provided to us by an unrelated business associate of one of our officers and directors. It is our belief that the space is adequate for our immediate needs. Additional space may be required if we expand our operations. We do not foresee any significant difficulties in obtaining any required additional facilities. We do not own any real estate.  10. SUBSEQUENT EVENTS  The Company has evaluated events occurring after the date of these financial statements through May 9, 2014, the date that these financial statements were issued. There were no material subsequent events as of that date which would require disclosure in or adjustments to these financial statements.     11     ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS  FORWARD-LOOKING STATEMENTS  This Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A) contains forward-looking statements that involve known and unknown risks, significant uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed, or implied, by those forward-looking statements.  You can identify forward-looking statements by the use of the words may, will, should, could, expects, plans, anticipates, believes, estimates, predicts, intends, potential, proposed, or continue or the negative of those terms.  These statements are only predictions. In evaluating these statements, you should consider various factors which may cause our actual results to differ materially from any forward-looking statements.  Although we believe that the exceptions reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements.  Therefore, actual results may differ materially and adversely from those expressed in any forward-looking statements.  We undertake no obligation to revise or update publicly any forward-looking statements for any reason.  RESULTS OF OPERATIONS  Working Capital  Working capitalMarch 31, 2014December 31, 2013Current assets$4,512$5Current liabilities3,696,9223,598,708Working capital (deficit)$(3,692,410)$(3,598,703)  Cash Flows  Three months endedThree months endedMarch 31, 2014March 31, 2013Net cash provided by (used in) operating activities$4,606$(66,891)Net increase (decrease) in cash$4,606$(66,891)  Three months ended March 31, 2014 and 2013  Operating Revenues  The market for the Companys products is focused on international utility companies that are typified by lengthy evaluation periods and slow sales cycles. Following a slow-down in the construction and utility markets, we had received no orders since 2009. Starting from June 2012, we have resumed shipments to our former customer but on an irregular basis. No shipments took place in either of the three month periods ended March 31, 2014, or 2013, respectively. There are no assurances when additional shipments will be made, if at all.  Operating Expenses and Net Loss  For the three months ended  March 31, 2014March 31, 2013Change  $Change %Selling and marketing$2,575$6,063$(3,488)-57.5%General and administrative85,75298,621(12,869)-13.0%Total operating expenses$88,327$104,684$(16,357)-70.6%   12     Selling and marketing  Selling and marketing activities have decreased in the current quarter consistent with the need to service our single customers requirements.  Research and development  The Company has suspended its engineering and development activities to minimize cash flow until it secures new sales orders.  General and administrative  General and administrative expenses decreased approximately $13,000 for the three month period ended March 31, 2014 compared to the corresponding prior year period, but remain low to minimize cash flow until we secure new sales orders. General and administrative expenses relate principally to payroll accrual and the costs of compliance with our SEC reporting responsibilities.  Interest expenses  Interest expense includes interest and amortization of discount on convertible notes issued by the Company since 2010 to generate cash and pay for operating expenses. Interest expense, including amortization of debt discount, decreased from $11,372 for the three months ended March 31, 2013 to $8,010 for the three months ended March 31, 2014.   Liquidity and Capital Resources  During the three months ended March 31, 2014, approximately $4,600 of net cash was used by operating activities of which approximately $96,000 was due to losses from operations, offset by changes in working capital.  Going Concern  The Company requires additional funds to continue operations. As reflected in the accompanying financial statements, the Company has a net loss since inception of approximately $8.9 million, has experienced a number of quarters with no revenue, and has a cash balance of only $4,512. As of March 31, 2014, total liabilities exceeded total assets by over $3.6 million. These factors, among others, raise substantial doubt about the Companys ability to continue as a going concern. The ability to continue as a going concern is dependent on the Companys ability to raise additional capital and implement a business plan. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.  Because the Company has net losses since inception and does not expect to be profitable until later in 2014, it will most likely be required to raise these additional funds through convertible debt, debt or equity financings or by selling its assets.  Management believes that actions presently being taken to obtain additional funding and implement its strategic plans provide the opportunity for the Company to continue as a going concern. However, this additional financing may not be available on a timely basis or on terms acceptable to it, or at all. The Companys ability to obtain such financing may be impaired by the current economic conditions and the lack of liquidity in the credit markets. If the Company is unable to secure additional funding, it may have to discontinue operations; delay additional development or commercialization of its meters; license to third parties the rights to commercialize products or technologies that it would otherwise seek to commercialize; reduce marketing, customer support, or other resources devoted to its system: or any combination of these activities. Any of these results would materially harm the Companys business, financial condition, and results of operations, and there can be no assurance that any of these results will result in cash flows that will be sufficient to fund its current or future operating needs. The Company may also need to seek protection under the U.S. Bankruptcy Code or otherwise liquidate its assets, which may result in the failure of the Companys stockholders to receive value for their ownership of its stock.  Off-Balance Sheet Arrangements  We have no significant 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 are material to stockholders.  13     Future Financings  We will continue to rely on equity sales of our common shares in order to continue to fund our business operations. Issuances of additional shares will result in dilution to existing stockholders. There is no assurance that we will achieve any additional sales of the equity securities or arrange for debt or other financing to fund our operations and other activities.  Critical Accounting Policies  Our financial statements and accompanying notes have been prepared in accordance with United States generally accepted accounting principles applied on a consistent basis. The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods.  We regularly evaluate the accounting policies and estimates that we use to prepare our financial statements. A complete summary of these policies is included in the notes to our financial statements. In general, management's estimates are based on historical experience, on information from third party professionals, and on various other assumptions that are believed to be reasonable under the facts and circumstances. Actual results could differ from those estimates made by management.  Recently Issued Accounting Pronouncements  The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.  ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK  We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.  ITEM 4. CONTROLS AND PROCEDURES  Evaluation of Disclosure Controls and Procedures  Disclosure controls and procedures are controls and procedures that are designed to ensure that information required to be disclosed in our reports filed under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC's rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by our company in the reports that it files or submits under the Exchange Act is accumulated and communicated to our management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure. Our management carried out an evaluation under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures pursuant to Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934 ("Exchange Act").  Based on this evaluation, our principal executive and principal financial and accounting officer concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934) were effective as of March 31, 2014.  Changes in Internal Control over Financial Reporting  There have been no changes in our internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Exchange Act Rules 13a-15 or 15d-15 that occurred during our last fiscal quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.  The Company is not required by current SEC rules to include, and does not include, an auditors attestation report. The Companys registered public accounting firm has not attested to Managements reports on the Companys internal control over financial reporting.  14     PART II - OTHER INFORMATION  ITEM 1. LEGAL PROCEEDINGS  On November 5, 2010, 747 Camden, LLC ("Plaintiff") filed an unlawful detainer complaint in the Superior Court of California - County of Santa Clara against the Company, seeking to recover possession of our corporate office as well as past due rent in the amount of $126,189.11, reasonable attorney fees, forfeiture of the lease agreement, prejudgment interest and damages of $420.06 for each day that the Company remained in possession from November 1, 2010 through entry of judgment. Judgment has been entered in favor of Plaintiff for $139,000, of which $38,000 has been accrued by the Company in accounts payable and accrued liabilities.  Other than the foregoing, we know of no material, existing or pending legal proceedings against our company, nor are we involved as a plaintiff in any material proceeding or pending litigation. There are no proceedings in which our director, officer or any affiliates, or any registered or beneficial shareholder, is an adverse party or has a material interest adverse to our interest.  ITEM 1A. RISK FACTORS  We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.  ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS  1.  Quarterly Issuances:  None.  2.  Subsequent Issuances:  None.  ITEM 3. DEFAULTS UPON SENIOR SECURITIES  None.  ITEM 4. MINE SAFETY DISCLOSURES  Not Applicable.  ITEM 5. OTHER INFORMATION  None.  ITEM 6. EXHIBITS  ExhibitNumberDescription of ExhibitFiling3.01Certificate of IncorporationFiled with the SEC on March 19, 2007 as part of our Registration Statement on Form SB-2.3.01(a)Amended and Restated Certificate of IncorporationFiled with the SEC on May 28, 2010 as part of our Current Report on Form 8-K.3.02BylawsFiled with the SEC on March 19, 2007 as part of our Registration Statement on Form SB-2.4.012010 Share Incentive PlanFiled with the SEC on August 23, 2010 as part of our Registration Statement on Form S-8.4.02Sample Qualified Stock Option Grant AgreementFiled with the SEC on August 23, 2010 as part of our Registration on Form S-8.4.03Sample Non-Qualified Stock Option Grant AgreementFiled with the SEC on August 23, 2010 as part of our Registration Statement on Form S-8.4.04Sample Performance-Based Award AgreementFiled with the SEC on August 23, 2010 as part of our Registration Statement on Form S-8.  15     10.01Share Exchange Agreement between School4Chauffeurs, Inc., POWRtec Corporation and POWRtec Corporation ShareholdersFiled with the SEC on May 17, 2010 as part of our Current Report on Form 8-K.10.02Convertible Promissory Note between the Company and Koryak Investments S.A. dated July 1, 2010Filed with the SEC on August 16, 2010 as part of our Quarterly Report on Form 10-Q.10.03Promissory Note between the Company and The Management AB dated July 9, 2010Filed with the SEC on August 16, 2010 as part of our Quarterly Report on Form 10-Q.10.04Nordic Advisory Board Agreement between the Company and Anders Sagadin dated December 1, 2010Filed with the SEC on May 13, 2011 as part of our Quarterly Report on form 10-Q.10.05Nordic Advisory Board Agreement between the Company and Anders Rudlang dated December 1, 2010Filed with the SEC on May 13, 2011 as part of our Quarterly Report on form 10-Q10.06First Extension to the Management AB Note dated January 9, 2011Filed with the SEC on May 13, 2011 as part of our Quarterly Report on form 10-Q10.07Convertible Promissory Note between the Company and Asher Enterprises, Inc. dated March 15, 2011Filed with the SEC on March 24, 2011 as part of our Current Report on Form 8-K.10.08Securities Purchase Agreement between the Company and Asher Enterprises, Inc. dated March 15, 2011Filed with the SEC on March 24, 2011 as part of our Current Report on Form 8-K.10.09Subscription Agreement between the Company and Laurag Associates S.A. dated April 7, 2011.Filed with the SEC on April 15, 2011 as part of our Annual Report on Form 10-K.10.10Second Extension to the Management AB Note dated April 9, 2011Filed with the SEC on May 13, 2011 as part of our Quarterly Report on Form 10-Q.10.11Unsecured Promissory Note between the Company and Koryak Investments executed April 12, 2011Filed with the SEC on May 13, 2011 as part of our Quarterly Report on Form 10-Q.10.12Securities Purchase Agreement between the Company and Asher dated May 19, 2011Filed with the SEC on May 24, 2011 as part of our Current Report on Form 8-K.10.13Convertible Promissory Note dated May 19, 2011Filed with the SEC on May 24, 2011 as part of our Current Report on Form 8-K.10.14Securities Purchase Agreement between the Company and Asher dated July 26, 2011Filed with the SEC on July 28, 2011 as part of our Current Report on Form 8-K.10.15Convertible Promissory Note dated July 26, 2011Filed with the SEC on July 28, 2011 as part of our Current Report on Form 8-K.10.16Consulting Agreement between the Company and Simon Westbrook entered into on August 3, 2011.Filed with the SEC on March 30, 2012 as part of our Annual Report on Form 10-K.16.01Letter from Former Accountant Kyle L. Tingle, CPA, LLC, dated August 4, 2010Filed with the SEC on August 11, 2010 as part of our Current Report on Form 8-K.21.01List of SubsidiariesFiled with the SEC on May 17, 2010 as part of our Current Report on Form 8-K.31.01Certification of Principal Executive Officer Pursuant to Rule 13a-14Filed herewith.31.02Certification of Principal Financial Officer Pursuant to Rule 13a-14Filed herewith.32.01CEO Certification Pursuant to Section 906 of the Sarbanes-Oxley ActFiled herewith.32.02CFO Certification Pursuant to Section 906 of the Sarbanes-Oxley ActFiled herewith.101.INS*XBRL Instance DocumentFiled herewith.101.SCH*XBRL Taxonomy Extension Schema DocumentFiled herewith.101.CAL*XBRL Taxonomy Extension Calculation Linkbase DocumentFiled herewith.101.LAB*XBRL Taxonomy Extension Labels Linkbase DocumentFiled herewith.101.PRE*XBRL Taxonomy Extension Presentation Linkbase DocumentFiled herewith.101.DEF*XBRL Taxonomy Extension Definition Linkbase DocumentFiled herewith.  *Pursuant to Regulation S-T, this interactive data file is deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, and otherwise is not subject to liability under these sections.  16      SIGNATURES   Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.   POWRTEC INTERNATIONAL CORP.   Dated:  May 15,  2014 /s/ Grant Jasmin By: Grant Jasmin Its: President, Chief Executive Officer, and Secretary      Dated:  May 15, 2014 /s/ Simon Westbrook By:  Simon Westbrook Its:  Chief Financial Officer,  Principal Accounting Officer, and Treasurer    Pursuant to the requirement of 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:    Dated:  May 15, 2014 /s/ Grant Jasmin By:  Grant Jasmin Its:  Director  17