| |                                           |  | 1999 |  | 1998 |  | 1997 |  | 1996  |  | 1995 
| | ----------------------------------------- |  | ---- |  | ---- |  | ---- |  | ----- |  | -----
| | Net Sales                                 |  | 0    |  | $3.0 |  | 0    |  | 0     |  | 0    
| | Income (loss) From Continuing Operations: |  | 0    |  | 2.9  |  | 0    |  | (8.1) |  | (8.1)
| | Loss per Common Share:                    |  | 0    |  | 0    |  | 0    |  | 0     |  | 0    
| | Total Assets:                             |  | 1.1  |  | 2.2  |  | 1.3  |  | 7.3   |  | 0    
| | Long Term Obligations:                    |  | 0    |  | 0    |  | 0    |  | 0     |  | 0    
| | Redeemable Preferred Stock:               |  | 0    |  | 0    |  | 0    |  | 0     |  | 0    
| | Cash Dividends per Share:                 |  | 0    |  | 0    |  | 0    |  | 0     |  | 0    

|                                                                                | 6/30/99       | 6/30/98      
|------------------------------------------------------------------------------- | ------------- | -------------
|Assets:                                                                         |               |              
|  Cash                                                                  | $1,105        | $2,205       
|                                                                                | ------------- | -------------
|Total Assets                                                                    | $1,105        | $2,205       
|                                                                                | =======       | =======      
|                                                                                |               |              
|Liabilities:                                                                    |               |              
|  Income Taxes                                                          | $6,800        | $6,800       
|                                                                                | ------------- | -------------
|Total Liabilities                                                               | 6,800         | 6,800        
|                                                                                | ------------- | -------------
|                                                                                |               |              
|Stockholders' Deficit:                                                          |               |              
|Common Stock, par value $ .01 per share authorized
2,000,000 shares, issued and |               |              
|outstanding 2,000,000 shares                                                    | 5,000         | 5,000        
|Contributed Capital                                                             | 363,023       | 363,023      
|Retained Deficit                                                                | (373,318)     | (372,218)    
|                                                                                | (5,295)       | (4,195)      
|                                                                                | ------------- | -------------
|                                                                                |               |              
|Less: Treasury stock, at cost                                                   | 400           | 400          
|Total Stockholders Deficit                                                      | (5,695)       | (4,595)      
|                                                                                | ------------- | -------------
|Total liabilities & stockholders deficit                                        | $1,105        | $2,205       
|                                                                                | =======       | =======      

|                                | 4/1/99-6/30/99   | 7/1/98-6/30/98   | 7/1/97-6/30/98  
|------------------------------- | ---------------- | ---------------- | ----------------
|                                | ---------------- | ---------------- | ----------------
|Sales (net)                     | $0               | $500             | $3,000          
|                                |                  |                  |                 
|Cost of Sales                   |                  |                  |                 
|Beginning Inventory             | 0                | 0                | 0               
|Purchases                       | 0                | 0                | 0               
|Wages                           | 0                | 0                | 0               
|Payroll Taxes                   | 0                | 0                | 0               
|Rent                            | 0                | 0                | 0               
|Utilities                       | 0                | 0                | 0               
|Other Direct Costs              | 0                | 0                | 0               
|Ending Inventory                | 0                | 0                | 0               
|                                |                  |                  |                 
|Total Cost of Sales             | 0                | 0                | 0               
|                                | -------------    | -------------    | -------------   
|Gross Profit                    | 0                | 500              | 3,000           
|                                | -------------    | -------------    | -------------   
|                                |                  |                  |                 
|General and Administrative      |                  |                  |                 
|Telephone                       | 0                | 921              | 0               
|Insurance                       | 0                | 0                | 0               
|Office                          | 90               | 679              | 352             
|Employee Benefits               | 0                | 0                | 0               
|Professional Fees               | 0                | 0                | 0               
|Consultants                     | 0                | 0                | 0               
|Registration expense            | 0                | 0                | 0               
|                                | -------------    | -------------    | -------------   
|Total General                   | 90               | 1,600            | 352             
|                                | -------------    | -------------    | -------------   
|                                |                  |                  |                 
|Other Expenses (Income)         |                  |                  |                 
|Discontinued Operations (Note 1 | 0                | 0                | 0               
|Interest Expense                | 0                | 0                | 0               
|                                | -------------    | -------------    | -------------   
|Total Other Expenses            | 0                | 0                | 0               
|                                | -------------    | -------------    | -------------   
|Net Income (Loss)               | (90)             | (1,100)          | 2,648           
|Retained Deficit Beginning      | (373,228)        | (372,218)        | (374,866)       
|                                | =======          | =======          | =======         
|Retained Deficit, Ending        | ($373,318)       | ($373,318)       | ($373,218)      
|                                | =======          | =======          | =======         
|Dividends per Share             | $0               | $0               | $0              
|                                | =======          | =======          | =======         
|Loss per Share                  | $0.00            | $0.00            | $0.00           
|                                | =======          | =======          | =======         

|                                                                                                             | 4/1/99-6/30/99   | 7/1/98-6/30/99   | 7/1/97-6/30/98  
|------------------------------------------------------------------------------------------------------------ | ---------------- | ---------------- | ----------------
|                                                                                                             | ---------------- | ---------------- | ----------------
|Cash Flows From Operating

  Activities:

    Net Income (Loss)                      | ($90)            | ($1,100)         | ($2,648)        
|Adjustments to reconcile

net income to cash

provided by (used in)

operating activities:                   |                  |                  |                 
|Changes in operating assets

and liabilities:                                                                |                  |                  |                 
|Accounts Receivable                                                                                          | 0                | 0                | 0               
|Inventory                                                                                                    | 0                | 0                | 0               
|Deferred Expenses                                                                                            | 0                | 0                | 0               
|Accounts Payable - Tax Liability                                                                             | 0                | 0                | (22,291)        
|Notes Payable                                                                                                | 0                | 0                | 0               
|                                                                                                             | -------------    | -------------    | -------------   
|Net cash provided by

(used in) operating activities

  Contributed Capital-payment of tax liability | 0                | 0                | 20,500          
|Cash flows from liquidation

of assets                                                                       | 0                | 0                | 0               
|Net increase

  (decrease) in cash                                                                   | (90)             | (1,100)          | 857             
|Cash, Beginning                                                                                              | 1,195            | 2,205            | 1,348           
|Cash, Ending                                                                                                 | $1,105           | $1,105           | $2,205          
|                                                                                                             | =======          | =======          | =======         

|Name                   | Age | Position                                                  
|---------------------- | --- | ----------------------------------------------------------
|Arthur D. Viola (1)(2) | 53  | President, CEO, CFO, Secretary/Treasurer And Sole Director
|Nicholas D. Viola      | 52  | Assistant Secretary                                       

|Dated: August 17, 1999 | By:------------------------------------           
|---------------------- | --------------------------------------------------
|                       | ARTHUR D. VIOLA                                   
|                       | President, CEO; CFO, Chairman, Secretary/Treasurer
|                       | And Sole Director.                                

|Dated: August 17, 1999 | By:------------------------------------
|---------------------- | ---------------------------------------
|                       | NICHOLAS D. VIOLA                      
|                       | Assistant Secretary