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| Delaware                                                                                        |   | 54-1812385                                |
|-------------------------------------------------------------------------------------------------|--------|-------------------------------------------|
| (State      or other jurisdiction of incorporation ororganization)                              |   | (I.R.S.      Employer Identification No.) |
|                                                                                            |   |                                      |
| 625 N. Washington Street, Suite      301,Alexandria, Virginia  22314                            |
| (Address      of principal executive offices, including zip code)                               |
|                                                                                            |
| Registrant’s      phone number, including area code    (703)      797-8111 |

| Class                             |   | Outstanding      at October 8, 2008 |
|-----------------------------------|--------|-------------------------------------|
| Common      Stock, $.01 par value |   | 6,669,210                           |

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|               |                                                                                                                                                                                                      |  Page      No. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------|
| PART I             | FINANCIAL      INFORMATION                                                                                                                                                                                |                |
| ITEM 1.            | FINANCIAL      STATEMENTS:                                                                                                                                                                                |                |
|               | Balance      Sheets — March 31, 2008 (Unaudited) and June 30, 2007                                                                                                                                  | 3                   |
|               | Statements      of  Operations (Unaudited) — Three and nine months ended March      31, 2008 and the period from entering development stage (October 1, 2006)      through March 31, 2008 |  4             |
|               | Statements      of Cash Flows (Unaudited) — Nine months ended March 31, 2008 and 2007 and      the period from entering development stage (October 1, 2006) through March      31, 2008             |  5             |
|               | Supplemental      Disclosure of Cash Flow Information – Nine months ended March 31, 2008 and      2007 and the period from entering development stage (October 1, 2006)      through March 31, 2008 |   6       |
|               | Notes      to Financial Statements                                                                                                                                                                        | 7-10                |
|  ITEM      2. | MANAGEMENT'S      DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF      OPERATIONS                                                                                                           |  11-15         |
| ITEM 3.            | QUANTITATIVE      AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK                                                                                                                                           | 16                  |
| ITEM 4.            | CONTROLS      AND PROCEDURES                                                                                                                                                                              | 16                  |
| PART II            | OTHER      INFORMATION                                                                                                                                                                                    | 16                  |
|               |                                                                                                                                                                                                      |                |

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ITEM I — FINANCIALSTATEMENTS

(A Development StageCompany)

|                                           |   | March      31, |    |   | June      30, |   |
|------------------------------------------------|--------|----------------|---------|--------|---------------|--------|
|                                           |   | 2008           |    |   | 2007          |   |
| ASSETS                                         |   | (Unaudited)    |    |   |          |   |
| CURRENT      ASSETS                            |   |           |    |   |          |   |
| Cash                                           |   | $              | 154     |   |          | $      | 7,862 |   |
| Prepaid      expenses and other current assets |   |           | — |   |          |   | 700 |   |
| TOTAL      CURRENT ASSETS                      |   |           | 154     |   |          |   | 8,562 |   |
| TOTAL      ASSETS                              |   | $              | 154     |   |          | $      | 8,562 |   |

| LIABILITIES AND STOCKHOLDERS’      DEFICIT                                                                                                                     |   |   |      |   |   |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-----------|--------|--------|--------|
| CURRENT      LIABILITIES:                                                                                                                                            |   |   |      |   |   |   |
| Accounts      payable and accrued expenses                                                                                                                           |   | $      | 13,193    |   |   | $      | 6,585 |   |
| Accounts      payable, related parties                                                                                                                               |   |   | 13,500    |   |   |   | 8,023 |   |
|                                                                                                                                                                 |   |   |      |   |   |   |   |   |
| TOTAL      CURRENT LIABILITIES                                                                                                                                       |   |   | 26,693    |   |   |   | 14,608 |   |
|                                                                                                                                                                 |   |   |      |   |   |   |   |   |
| LONG      TERM LIABILITIES:                                                                                                                                          |   |   |      |   |   |   |   |   |
| Notes      payable, related party                                                                                                                                    |   |   | 42,491    |   |   |   | 20,197 |   |
|                                                                                                                                                                 |   |   |      |   |   |   |   |   |
| TOTAL      LIABILITIES                                                                                                                                               |   |   | 69,184    |   |   |   | 34,805 |   |
| COMMITMENTS AND CONTINGENCIES                                                                                                                                        |   |   |      |   |   |   |   |   |
|                                                                                                                                                                 |   |   |      |   |   |   |   |   |
| STOCKHOLDERS’      DEFICIT:                                                                                                                                    |   |   |      |   |   |   |   |   |
| Preferred      stock, $.01 par value, 1,000,000 shares authorized, no shares issued and      outstanding at March 31, 2008 and June 30, 2007,    respectively        |   |   | —   |   |   |   | — |   |
| Common      stock, $.01 par value, 20,000,000 shares authorized, 6,669,210 shares      issued and outstanding at March 31, 2008 and June 30, 2007,      respectively |   |   | 66,692    |   |   |   | 66,692 |   |
| Additional      paid in capital                                                                                                                                      |   |   | 317,045   |   |   |   | 317,045 |   |
| Accumulated      deficit                                                                                                                                             |   |   | (452,767) |   |   |   | (409,980) |   |
| TOTAL      STOCKHOLDERS’ DEFICIT                                                                                                                               |   |   | (69,030)  |   |   |   | (26,243) |   |
|                                                                                                                                                                 |   |   |      |   |   |   |   |   |
| TOTAL      LIABILITIES AND STOCKHOLDERS’ DEFICIT                                                                                                               |   | $      | 154       |   |   | $      | 8,562 |   |

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(A Development StageCompany)

|                                                                     |                      | Three      Months EndedMarch      31,                                                                                                                                 |                      | Nine      Months EndedMarch      31,                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | Period      from entering Development Stage (October 1, 2006) throughMarch      31,  |
|--------------------------------------------------------------------------|---------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------|
|                                                                     |                      | 2008                                                                                                                                                                  |                      | 2007                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 2008                                                                                      |   | 2007 |   | 2008 |
| REVENUES                                                                 |                      | $                                                                                                                                                                     |                      | $                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | $                                                                                         |   | $ |   | $  |
| COST      OF SALES                                                       |                      | —                                                                                                                                                               |                      | —                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | —                                                                                   |   | — |   | — |
| GROSS      PROFIT                                                        |                      | —                                                                                                                                                               |                      | —                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | —                                                                                   |   | — |   | — |
| OPERATING      EXPENSES                                                  |                      |                                                                                                                                                                  |                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                                                                      |   |   |   |   |
| Selling,      general and administrative expenses                        |                      |                   9,570                                                     |                      |              13,893                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 42,787                                                                                    |   | 82,812 |   | 81,739  |
| Total      operating expenses                                            |                      | 9,570                                                                                                                                                                 |                      | 13,893                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | 42,787                                                                                    |   | 82,812 |   | 81,739  |
| LOSS      FROM OPERATIONS                                                |                      | (9,570)                                                                                                                                                               |                      | (13,893)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | (42,787)                                                                                  |   | (82,812) |   | (81,739) |
| OTHER      INCOME (EXPENSE)                                              |                      |                                                                                                                                                                  |                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                                                                      |   |   |   |   |
|   Interest      income                                         |                      | —                                                                                                                                                               |                      | —                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | —                                                                                   |   | 43,409 |   | — |
|   Stock      issued for loans                                  |                      | —                                                                                                                                                               |                      | —                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | —                                                                                   |   | — |   | (20,000) |
|   Gain      on sale of short term investment                   |                      | —                                                                                                                                                               |                      | —                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | —                                                                                   |   | 26,905 |   | 12,734 |
|   Equity      in earnings of Comtex                            |                      | —                                                                                                                                                               |                      | —                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | —                                                                                   |   | 9,127 |   | — |
|   Loss      on derivative asset                                |                      | —                                                                                                                                                               |                      | —                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | —                                                                                   |   | (377,059) |   | — |
|         Total      other expense |                      | —                                                                                                                                                               |                      | —                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | —                                                                                   |   | (297,618) |   | (7,266)  |
|                                                                     |                      |                                                                                                                                                                  |                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                                                                      |   |   |   |   |
| NET      LOSS APPLICABLE TO COMMON STOCKHOLDERS                          |     $ |                   (9,570)                                                   |   $             |                (13,893)                                                                                                                                                                                                                                                                                                                                                                                                                             |   | $                                                                                         | (42,787) |   | $ | (380,430) |   | $            (89,005) |
|                                                                     |                      |                                                                                                                                                                  |                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                                                                      |   |   |   |   |
| NET      LOSS PER SHARE OF COMMON STOCK -- Basic and diluted             |     $ |                    (0.00)                                              |     $ |                                                                                     (0.00) |   | $                                                                                         | (0.01) |   | $ | (0.10) |   |   |
|                                                                     |                      |                                                                                                                                                                  |                      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                                                                      |   |   |   |   |   |   |
| WEIGHTED      AVERAGE SHARES OUTSTANDING --Basic and diluted             |                      |                           6,669,210 |                      | 4,669,210                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 6,669,210                                                                                 |   | 3,822,380 |   |   |

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AMASYSCORPORATION

(A Development StageCompany)

|                                                                                            |   | Nine      Months EndedMarch      31, |     | Period      from entering Development Stage (October 1, 2006) throughMarch      31, |
|-------------------------------------------------------------------------------------------------|--------|--------------------------------------|----------|-------------------------------------------------------------------------------------|
|                                                                                            |   | 2008                                 |     |                                                                                | 2007 |   |        2008 |
| CASH      FLOWS FROM OPERATING ACTIVITIES:                                                      |   |                                 |     |                                                                                |   |   |   |
| Net      loss                                                                                   |   | $                                    | (42,787) |                                                                                |   | $ | (380,430) |   | $                                      (89,005) |
| Adjustments      to reconcile net loss to net cash used in operating      activities:           |   |                                 |     |                                                                                |   |   |   |   |   |
| Stock      issued for loans                                                                     |   |                                 | —  |                                                                                |   |   | — |   | 20,000 |
| Amortization      on note receivable discount                                                   |   |                                 | —  |                                                                                |   |   | (21,949) |   | —  |
| Loss      on derivative asset                                                                   |   |                                 | —  |                                                                                |   |   | 377,059 |   | — |
| Gain      on sale of short term investment                                                      |   |                                 | —  |                                                                                |   |   | (26,905) |   | (12,734) |
| Equity      in earnings in Comtex                                                               |   |                                 | —  |                                                                                |   |   | (9,127) |   | — |
| Changes      in operating assets and liabilities                                                |   |                                 |     |                                                                                |   |   |   |   |   |
|      Prepaid      expenses and other current assets                    |   |                                 | 700      |                                                                                |   |   | (4,000) |   | — |
|      Accounts      payable and accrued expenses                        |   |                                 | 6,608    |                                                                                |   |   | (14,347) |   | (13,692) |
|      Accounts      payable, related party                              |   |                                 | 5,477    |                                                                                |   |   | 5,023 |   | 5,972 |
| Net      cash used in operating activities                                                      |   |                                 | (30,002) |                                                                                |   |   | (74,676) |   | (89,459) |
| CASH      FLOWS FROM INVESTING ACTIVITIES:                                                      |   |                                 |     |                                                                                |   |   |   |   |   |
| Net      proceeds from sale of short term investment                                            |   |                                 | —  |                                                                                |   |   | 63,532 |   | 40,570  |
| Net      cash provided by investing activities                                                  |   |                                 | —  |                                                                                |   |   | 63,532 |   | 40,570 |
| CASH      FLOWS FROM FINANCING ACTIVITIES:                                                      |   |                                 |     |                                                                                |   |   |   |   |   |
|        Proceeds      from sale of common stock               |   |                                 | —  |                                                                                |   |   | 3,500 |   | 3,500 |
|        Proceeds      from notes payable, related party       |   |                                 | 20,000   |                                                                                |   |   | — |   | 40,000 |
|        Accrued      interest on notes payable, related party |   |                                 | 2,294    |                                                                                |   |   | — |   | 2,294 |
| Net      cash provided by financing activities                                                  |   |                                 | 22,294   |                                                                                |   |   | 3,500 |   |  45,794 |
| NET      DECREASE IN CASH AND CASH EQUIVALENTS                                                  |   |                                 | (7,708)  |                                                                                |   |   | (7,644) |   |  (3,095) |
| CASH      AND CASH EQUIVALENTS, Beginning of period                                             |   |                                 | 7,862    |                                                                                |   |   | 11,620 |   | 3,249 |
| CASH      AND CASH EQUIVALENTS, End of period                                                   |   | $                                    | 154      |                                                                                |   | $ | 3,976 |   | $                                              154 |

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|                                                   | Nine      Months EndedMarch      31, |   | Period      from entering Development Stage (October 1, 2006) throughMarch      31, |
|--------------------------------------------------------|--------------------------------------|--------|-------------------------------------------------------------------------------------|
|                                                   | 2008                                 |   | 2007                                                                                |   |        2008 |
| SUPPLEMENTAL      DISCLOSURE OF CASH FLOW INFORMATION: |                                 |   |                                                                                |   |   |
| Cash      received/(paid) during the period for:       |                                 |   |                                                                                |   |   |
| Interest                                               |                                 | $      | —                                                                             |   |   | $ | — |   | $                   — |
| Income      taxes                                      |                                 | $      | —                                                                             |   |   | $ | — |   | $                   — |
| SUPPLEMENTAL      DISCLOSURE OF NON CASH TRANSACTIONS  |                                 |   |                                                                                |   |   |   |   |   |   |
|                                                   |                                 |   |                                                                                |   |   |   |   |   |   |

| Note      receivable, net of discount of $148,478 |   | $      | 703,412   |   |
|---------------------------------------------------|--------|--------|-----------|--------|
| Issuance      of 2,111,860 shares of common stock |   |   | 21,119    |   |
| Derivative      asset                             |   |   | 42,848    |   |
| Retirement      of preferred stock                |   |   | (1,960)   |   |
| Retained      earnings                            |   |   | (282,979) |   |
| Paid      in capital                              |   |   | (482,440) |   |
|                                              |   | $      | —   |   |

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(A Development StageCompany)

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NOTE 2 – INVESTMENT IN COMMON STOCK – RELATEDPARTY

On September 25, 2006, AMASYS executed agreementsto redeem from the holders of its Preferred Stock, pro rata to their respectiveownership interests, 55,209 shares of AMASYS Series A Preferred Stock (the“Series A”) in consideration for: (a) AMASYS’ entire interest in the outstandingpromissory note in favor of AMASYS made by Comtex News Network, Inc. (“Comtex”)in the principal amount of $857,000; and (b) 2,153,437 shares of Comtex commonstock.  Pursuant to the agreement, the holders of the Series Aconverted the balance of the Series A shares, together with any and all rightsto accrued but unpaid dividends thereon, into 2,111,860 shares of AMASYS CommonStock.  Therefore, effective September 25, 2006, AMASYS no longerowned the promissory note made by Comtex and AMASYS no longer held any shares ofComtex common stock and therefore no longer had any ownership interest inComtex.

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|                                                                             |   | Three      Months EndedMarch      31, |    |   | Nine      Months EndedMarch      31, |   |
|----------------------------------------------------------------------------------|--------|---------------------------------------|---------|--------|--------------------------------------|--------|
|                                                                             |   | 2008                                  |    |   | 2007                                 |   |   | 2008 |   |   | 2007 |   |
| Net      loss                                                                    |   | $                                     | (9,570) |   |                                 | $      | (13,893) |   |   | $ | (42,787) |   |   | $ | (380,430) |   |
| Other      comprehensive income:                                                 |   |                                  |    |   |                                 |   |   |   |   |   |   |   |   |   |   |   |
| Unrealized      loss on short-term investment                                    |   |                                  | — |   |                                 |   | — |   |   |   | — |   |   |   |  (10,868) |   |
| Less:  reclassification      adjustment for gains included in net loss |   |                                  | — |   |                                 |   | — |   |   |   | — |   |   |   |  (26,905) |   |
| Net      unrealized loss on short-term investment                                |   |                                  | — |   |                                 |   | — |   |   |   | — |   |   |   |  (37,773) |   |
| Other      comprehensive loss                                                    |   |                                  | — |   |                                 |   | — |   |   |   | — |   |   |   |  (37,773) |   |
| Comprehensive      loss                                                          |   | $                                     | — |   |                                 | $      | — |   |   | $ | — |   |   | $ | (418,203) |   |

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ITEM 2.  MANAGEMENT’S DISCUSSION AND ANALYSISOF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

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| · | announcements      concerning our strategy; |
|--------|---------------------------------------------|

| · | litigation;      and |
|--------|----------------------|

| · | general      market conditions. |
|--------|---------------------------------|

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ITEM 3 – QUANTITATIVE ANDQUALITATIVE DISCLOSURES ABOUT MARKET RISK

| ITEM      6. |   | Exhibits |
|--------------|--------|----------|
|         |   | 31       | Certification      of President pursuant to Exchange Act Rule 13a-14 and 15d-14 as adopted      pursuant to section 302 of the Sarbanes-Oxley Act of  2002. |
|         |   |     |   |
|         |   | 32       | Certification      of the Company’s Chief Executive Officer, pursuant to 18 U.S.C. Section      1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of      2002. |
|         |   |     |   |

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|                        | AMASYS      CORPORATION                                |   |
|-----------------------------|--------------------------------------------------------|--------|
|                        |                                                   |   |
|                        |                                                   |   |
| Date:      October 20, 2008 | /s/       C.W. Gilluly                            |   |
|                        | Name:      C.W. Gilluly, Ed.D.                         |   |
|                        | Title: President      and Chief Executive Officer |   |

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| Exhibit |   | Description                                                                                                                                                                           |
|---------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|    |   |                                                                                                                                                                                  |
| 31      |   | Certification      of President pursuant to Exchange Act Rule 13a-14 and 15d-14 as adopted      pursuant to section 302 of the Sarbanes-Oxley Act of  2002.                           |
|    |   |                                                                                                                                                                                  |
| 32      |   | Certification      of the Company’s Chief Executive Officer, pursuant to 18 U.S.C. Section      1350 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of      2002. |

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