UNITED STATES


SECURITIES AND EXCHANGE COMMISSION


Washington, D.C.  20549


______________________





FORM 10-Q





[ X ] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934





For the quarterly period ended June 30, 2010





OR





[   ]   Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934





For the transition period from ________ to ___________





Commission file number: 333-14477





FUELSTREAM, INC.


(Name of Small Business Issuer in Its Charter)








Delaware

87-0561426(State or Other Jurisdiction

of Incorporation or Organization)

(IRS Employer

Identification No.)10757 South, River Front Parkway, Suite 125South Jordan, Utah

84095(Address of Principal Executive Offices)

(Zip Code)











(801) 816-2510(Issuer’s Telephone Number)(Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report)








Table of Contents


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 past 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.  Yes [X] No [   ]





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





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 [   ]





APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY


PROCEEDINGS DURING THE PRECEDING FIVE YEARS





Check whether the registrant has filed all documents and reports required to be filed by Sections 12, 13, or 15(d) of the Exchange Act of 1934 after the distribution of securities under a plan confirmed by a court. Yes [   ]   No [   ]





APPLICABLE ONLY TO CORPORATE ISSUERS





State the number of shares outstanding of each of the issuer’s classes of common equity, as of the latest practicable date.  As of August 20, 2010, the Company had outstanding 51,216,749 shares of common stock, par value $0.002 per share.


















































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PART I





FINANCIAL INFORMATION





The Condensed Consolidated Financial Statements of the Company are prepared as of June 30, 2010.





ITEM 1.
FINANCIAL STATEMENTS REQUIRED BY FORM 10-Q











CONTENTSConsolidated Balance Sheets
4Consolidated Statements of Operations
5Consolidated Statements of Cash Flows
6Notes to the Consolidated Financial Statements
7














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FUELSTREAM, INC. AND SUBSIDIARIES(formerly SportsNuts, Inc.)Consolidated Balance SheetsASSETSJune 30,


December 31,2010


2009(Unaudited)CURRENT ASSETSCash and cash equivalents

$
145


$
519Total Current Assets


145



519PROPERTY AND EQUIPMENT, NET


-



-TOTAL ASSETS

$
145


$
519LIABILITIES AND STOCKHOLDERS' DEFICITCURRENT LIABILITIESAccounts payable

$
42,034


$
11,415Due to related parties


168,454



167,664Accrued expenses


2,397,460



2,313,546Notes payable - related parties


683,766



676,666Total Current Liabilities


3,291,714



3,169,291TOTAL LIABILITIES


3,291,714



3,169,291STOCKHOLDERS' DEFICITPreferred stock, $0.002 par value; 20,000,000 sharesauthorized, 200 and -0- shares issued and outstanding


-



-Common stock, $0.002 par value; 200,000,000 sharesauthorized, 51,216,749 and 1,216,749 shares issuedand outstanding, retroactively restated


102,434



2,434Additional paid-in capital


26,004,252



20,954,252Accumulated deficit


(29,398,255
)


(24,125,458
)Total Stockholders' Deficit


(3,291,569
)


(3,168,772
)TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT

$
145


$
519


The accompanying notes are an integral part of these consolidated financial statements.


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FUELSTREAM, INC. AND SUBSIDIARIES(formerly SportsNuts, Inc.)Consolidated Statements of Operations(Unaudited)For the Three Months Ended


For the Six Months EndedJune 30,


June 30,2010


2009


2010


2009NET SALES

$
-


$
25


$
-


$
25COST OF SALES


-



-



-



-GROSS MARGIN


-



25



-



25SELLING, GENERAL ANDADMINISTRATIVE EXPENSESSalaries and consulting


5,175,645



32,295



5,175,645



64,590Professional fees


5,278



2,150



8,953



8,607Selling, general and administrative


29,472



436



29,889



851Total Selling, General andAdministrative Expenses


5,210,395



34,881



5,214,487



74,048LOSS FROM OPERATIONS


(5,210,395
)


(34,856
)


(5,214,487
)


(74,023
)OTHER INCOME (EXPENSES)Interest expense


(29,292
)


(29,504
)


(58,310
)


(58,673
)Other income


-



-



-



330Total Other Income (Expenses)


(29,292
)


(29,504
)


(58,310
)


(58,343
)LOSS BEFORE INCOME TAXES


(5,239,687
)


(64,360
)


(5,272,797
)


(132,366
)INCOME TAX EXPENSE


-



-



-



-NET LOSS

$
(5,239,687
)

$
(64,360
)

$
(5,272,797
)

$
(132,366
)BASIC AND DILUTED:Net loss per common share

$
(0.25
)

$
(0.05
)

$
(0.47
)

$
(0.11
)Weighted average shares outstanding


20,996,969



1,216,749



11,161,500



1,216,749
 The accompanying notes are an integral part of these consolidated financial statements.


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FUELSTREAM, INC. AND SUBSIDIARIES(formerly SportsNuts, Inc.)Consolidated Statements of Cash Flows(Unaudited)For the Six Months EndedJune 30,2010


2009CASH FLOWS FROM OPERATING ACTIVITIES:Net loss

$
(5,272,797
)

$
(132,366
)Adjustments to reconcile net loss to netcash used by operating activities:Common stock issued for services


5,000,000



-Preferred stock issued for services


150,000Changes in operating assets and liabilities:Accounts receivable


-



(330
)Advances due from related party


-



5,812Accounts payable and accrued expenses


114,533



130,151Due to related parties


790



-Net Cash Provided (Used) by Operating Activities


(7,474
)


3,267CASH FLOWS FROM INVESTING ACTIVITIES:


-



-CASH FLOWS FROM FINANCING ACTIVITIES:Proceeds from line of credit


-



23,014Payments on line of credit


-



(26,312
)Proceeds from notes payable - related parties


7,100



1,500Net Cash Provided (Used) by Financing Activities

$
7,100


$
(1,798
)NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

$
(374
)

$
1,469CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD


519



1,034CASH AND CASH EQUIVALENTS, END OF PERIOD

$
145


$
2,503SUPPLEMENTAL CASH FLOW INFORMATIONCash Payments For:Interest

$
42


$
1,173Income taxes

$
-


$
-Non-cash activity:Common stock issued for services

$
5,000,000


$
-Preferred stock issued for services

$
150,000


$
-


The accompanying notes are an integral part of these consolidated financial statements.


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FUELSTREAM INC. AND SUBSIDIARIES


(formerly SportsNuts, Inc.)


Notes to the Consolidated Financial Statements


June 30, 2010





NOTE 1 -
BASIS OF FINANCIAL STATEMENT PRESENTATION





The accompanying unaudited consolidated financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission.  Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles have been condensed or omitted in accordance with such rules and regulations.  The information furnished in the interim consolidated financial statements includes normal recurring adjustments and reflects all adjustments, which, in the opinion of management, are necessary for a fair presentation of such financial statements.  Although management believes the disclosures and information presented are adequate to make the information not misleading, it is suggested that these interim consolidated financial statements be read in conjunction with the Company’s audited financial statements and notes thereto included in its Form 10-K filed on March 31, 2010.  Operating results for the six months ended June 30, 2010 are not necessarily indicative of the results to be expected for the year ending December 31, 2010.





NOTE 2 -
GOING CONCERN CONSIDERATIONS





The accompanying consolidated financial statements have been prepared using generally accepted accounting principles applicable to a going concern which contemplates the realization of assets and liquidation of liabilities in the normal course of business.  As reported in its Annual Report on Form 10-K for the year ended December 31, 2009, the Company has an accumulated deficit of $24,125,458 from inception of the Company through December 31, 2009.  The accumulated deficit as of June 30, 2010 was $29,398,255 and the total stockholders’ deficit at June 30, 2010 was $3,291,569 and had working capital deficit, continued losses, and negative cash flows from operations.  These factors combined, raise substantial doubt about the Company’s ability to continue as a going concern.  Management’s plans to address and alleviate these concerns are as follows:





The Company’s management continues to develop a strategy of exploring all options available to it so that it can develop successful operations and have sufficient funds, therefore, as to be able to operate over the next twelve months.  The Company is attempting to improve these conditions by way of financial assistance through issuances of additional equity and by generating revenues through sales of products and services.  No assurance can be given that funds will be available, or, if available, that it will be on terms deemed satisfactory to management.





The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually attain profitable operations.  The accompanying condensed consolidated financial statements do not include any adjustments relating to the recoverability and classification of asset carrying amounts or the amount and classification of liabilities that might result from the outcome of these uncertainties.





NOTE 3 -
LEASE PURCHASE AGREEMENT





On May 10, 2010, the Company entered into a lease purchase agreement to lease and subsequently acquire a fuel barge and tug boat (“Vessels”) to deliver fuel and other petrochemicals throughout the Gulf coast and the Caribbean.  The agreement requires a lease payment of 10% of the net revenues associated with the operation of the Vessels for a period of


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FUELSTREAM INC. AND SUBSIDIARIES


(formerly SportsNuts, Inc.)


Notes to the Consolidated Financial Statements


June 30, 2010





NOTE 3 -
LEASE PURCHASE AGREEMENT (Continued)





eighteen months after operations begin.  While the Company has the right to operate the Vessels, it has an unconditional obligation to pay certain cash installment payments to the seller of the Vessels, equal to $1,200,000 in the aggregate, during the twelve month period following the closing of the lease purchase agreement.  The Company is currently in default of the first installment payment of $300,000 which was due on or before the sixtieth day from the closing of the agreement.  No operations have commenced and therefore no lease payments have been made.





NOTE 4 -
MATERIAL AGREEMENTS





On April 28, 2010, the Company affected a 100:1 reverse stock split.  Fractional shares were rounded up to the nearest one share of common stock of the Company.  The financial statements have been retroactively restated to reflect the reverse split.


Effective May 10, 2010, the Company entered into an employment agreement with an individual with knowledge and experience in the field of fuel transportation and logistics.  Under this agreement, the Company will pay an annual salary of $180,000.  The agreement will expire one year from the date of the agreement.  As of June 30, 2010 the Company had accrued $25,645 of accrued salaries related to this agreement.





During the quarter ended June 30, 2010, the Board approved the issuance of 50,000,000 shares of common stock to a newly appointed officer of the Company.  The Company recognized salary and consulting expense of $5,000,000 based on the market price of the stock on the date of issuance.





During the quarter ended June 30, 2010, the Company issued 200 shares of preferred stock to the sole director of the Company for services rendered to the Company.  The preferred shares are entitled to one million votes per share but do not have any rights of conversion into shares of common stock.  Pursuant to Delaware General Corporate Law, the holder of the preferred stock cannot take any action to benefit him personally as a shareholder without the vote of a majority of the common shareholders.  Pursuant to this issuance the Company recognized salary and consulting expense of $150,000.





NOTE 5 -
SUBSEQUENT EVENTS





The Company has evaluated subsequent events from the balance sheet date through the date the financial statements were issued and has determined that there are no events that would have a material impact on the financial statements.


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





The following discussion of the financial condition and results of operations of Fuelstream, Inc. (hereafter, “Fuelstream” or the “Company”) should be read in conjunction with the Unaudited Financial Statements and related Notes thereto included herein.  This discussion may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including, without limitation, statements regarding the Company’s expectations, beliefs, intentions, or future strategies that are signified by the words "expects," "anticipates," "intends," "believes," or similar language.  Actual results could differ materially from those projected in the forward looking statements.  Prospective investors should carefully consider the information set forth above under the caption "Risk Factors" in addition other to the information set forth herein.  The Company cautions investors that its business and financial performance is subject to substantial risks and uncertainties.





Overview





Fuelstream is a fuel transportation and logistics company which seeks to diversify its operations internationally as well as into hydrocarbon exploration and production.  The Company was a sports management and marketing company until it changed its name to Fuelstream and, on May 10, 2010, entered into a lease purchase agreement (“Lease Purchase Agreement”) to lease and subsequently acquire a fuel barge and tug  boat (collectively, the “Vessels”) as well as additional ships.  The Company operates the Vessels out the port of San Leon, Texas, and seeks to deliver fuel and other petrochemicals throughout the Gulf coast and the Caribbean.  While the Company has the right to operate the Vessels, it has an unconditional obligation to pay certain cash installment payments to the seller of the Vessels, equal to $1,200,000 in the aggregate, during the twelve month period following the closing of the Lease Purchase Agreement.





The Company’s principal sources of revenues are expected to result from the gross selling price of fuel delivery contracts.  Expenses which comprise the costs of goods sold are expected to include the acquisition price of fuel transported, as well as operational and staffing costs of the vessels used for delivery.  General and administrative expenses have been comprised of administrative wages and benefits; occupancy and office expenses; outside legal, accounting and other professional fees; travel and other miscellaneous office and administrative expenses.  Selling and marketing expenses include selling/marketing wages and benefits; advertising and promotional expenses; travel and other miscellaneous related expenses.





To date, the Company has not yet generated any revenues related to its new business but has incurred docking fees for the two vessels described above.





Prior to becoming a fuel transportation and logistics company, the Company’s principal sources of revenues were (i) online services targeted to sports organizations and members, and (ii) offline promotional, management, and sponsorship services provided in connection with community-based sports events.





The ability to generate revenues during the year 2010 and beyond depends substantially upon the Company’s resources available in order to acquire fuel for the Vessels, operate the Vessels, and make the installment payments for the Vessels as provided in the Lease Purchase Agreement.  Such efforts require significant systems development, marketing and personnel costs, which, in turn, require substantial funding.  If the Company is unable to obtain such funding, its ability to generate revenues will be significantly impaired and it may be in breach of, or default upon, its obligations under the Lease Purchase Agreement.





Because the company has incurred losses, income tax expenses are immaterial.  No tax benefits have been booked related to operating loss carryforwards, given the uncertainty of the Company being able to utilize such loss carryforwards in future years.  The Company anticipates incurring additional losses during the coming year.





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Results of Operations





Following is management’s discussion of the relevant items affecting results of operations for the periods ended June 30, 2010 and 2009.





Revenues.  The Company generated net revenues of $-0- and $25 during the three and six months ended June 30, 2010 and 2009.  In the future, the Company’s sole source of revenue is expected to be related to fuel delivery and transportation contracts.





Cost of Sales.Cost of sales for the three and six months ended June 30, 2010 and 2009 were $-0-.  No cost of sales correlates to the minimal to no revenues during the first six months of 2010 and 2009.  Future costs of sales are expected to consist of the acquisition price of fuel and other petrochemicals transported, as well as operational and staffing costs for the transportation Vessels. Prior to becoming a fuel transportation and logistics company, historical costs of sales consisted of online registration services, sales commissions paid in connection with sports events and other event administration costs.





Salaries and Consulting Expenses.  Salaries and consulting expenses were $5,175,645 for the three months ended June 30, 2010, compared to $32,295 during the second quarter of 2009.  For the six months ended June 30, 2010, salaries and consulting expenses were $5,175,645 compared to $64,590 for the six months ended June 30, 2009.  During the six months ended June 30, 2010, the Company issued 50,000,000 shares of common stock to the Company’s new Chief Executive Officer as compensation.  The market value of the stock on the date of issuance was $5,000,000.  The Company also issued 200 shares of preferred stock to an officer of the Company for services rendered in the amount of $150,000.  These amounts have been recorded as salaries expense during the period ended June 30, 2010.  The expense amount for the six months ended June 30, 2009 consists of the accruals of salaries and related payroll taxes.  No cash salaries or consulting expenses were actually paid during the first six months of 2010 and 2009.





Professional Fees.  Professional fees for the three months ended June 30, 2010 were $5,278, compared to $2,150 during the second quarter of 2009.  For the six months ended June 30, 2010, professional fees were $8,953 compared to $8,607 for the six months ended June 30, 2009.  Professional fees consist mainly of the fees for the audit of the Company’s financial statements of the prior year as well as the review of the quarterly filings with the SEC.  The Company anticipates that professional fees will increase as the Company ramps up its new operations.





Selling, General and Administrative Expenses.Selling, general and administrative expenses for the three months ended June 30, 2010 were $29,472, compared to $436 during the second quarter of 2009.  For the six months ended June 30, 2010, selling, general and administrative expenses were $29,889 compared to $851 for the six months ended June 30, 2009.  During the quarter ended June 30, 2010, the Company incurred docking fees of $28,940 related to the vessels purchased as described in the Lease Purchase Agreement in the Overview section above.  The Company anticipates that selling, general and administrative expenses will increase as operations increase.





Other Income (Expense).  The Company had net other expenses of $29,292 for the three months ended June 30, 2010 compared to $29,504 during the second quarter of 2009.  For the six months ended June 30, 2010, the Company had net other expenses of $58,310 compared to net other expenses of $58,343 during the first six months of 2009.  Other expenses incurred were comprised primarily of interest expenses related to balances on Company credit cards and interest on notes payable.





Liquidity and Capital Resources





As of June 30, 2010, the Company’s primary source of liquidity consisted of $145 in cash and cash equivalents.  The Company holds most of its cash reserves in local sweep accounts with local financial institutions.  Since inception, the Company has financed its operations through a combination of short and long-term loans, and through the private placement of its common stock.


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The Company has sustained significant net losses which have resulted in a total stockholders’ deficit at June 30, 2010 of $3,291,569 and is currently experiencing a substantial shortfall in operating capital which raises doubt about the Company’s ability to continue as a going concern.  The Company anticipates a net loss for the year ended December 31, 2010 and with the expected cash requirements for the coming months, without additional cash inflows from an increase in revenues combined with continued cost-cutting or a receipt of cash from capital investment, there is substantial doubt as to the Company’s ability to continue operations.





There is presently no agreement in place with any source of financing for the Company and there can be no assurance that the Company will be able to raise any additional funds, or that such funds will be available on acceptable terms.  Funds raised through future equity financing will likely be substantially dilutive to current shareholders.  Lack of additional funds will materially affect the Company and its business, and may cause the Company to cease operations.  Consequently, shareholders could incur a loss of their entire investment in the Company.





ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK





As a smaller reporting company we are not required to provide this information.





ITEM 4.  CONTROLS AND PROCEDURES




Management’s Report on Disclosure Controls and Procedures




We maintain disclosure controls and procedures that are designed to ensure that information required to be disclosed in our reports filed under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms, and that such information is accumulated and communicated to our management, to allow for timely decisions regarding required disclosure.




As of June 30, 2010, the end of our second quarter covered by this report, we carried out an evaluation, under the supervision of our Chief Executive Officer and Controller, of the effectiveness of the design and operation of our disclosure controls and procedures. Based on the foregoing, we concluded that our disclosure controls and procedures were effective as of the end of the period covered by this annual report.  Our board of directors has only one member.  We do not have a formal audit committee.




Management’s Report on Internal Control over Financial Reporting




Our management is responsible for establishing and maintaining adequate internal control over financial reporting (as defined in Rule 13a-15(f) under the Securities Exchange Act, as amended). In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of control procedures. The objectives of internal control include providing management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, and that transactions are executed in accordance with management’s authorization and recorded properly to permit the preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States. Our management assessed the effectiveness of our internal control over financial reporting as of June 30, 2010. In making this assessment, our management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”) in Internal Control-Integrated Framework. Our management has concluded that, as of June 30, 2010, our internal control over financial reporting is effective in providing reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with US generally accepted accounting principles.




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This quarterly report does not include an attestation report of the Company’s registered public accounting firm regarding internal control over financial reporting. Management’s report was not subject to attestation by the Company’s registered public accounting firm pursuant to temporary rules of the Securities and Exchange Commission that permit the Company to provide only management’s report in this quarterly report.




Inherent limitations on effectiveness of controls




Internal control over financial reporting has inherent limitations which include but is not limited to the use of independent professionals for advice and guidance, interpretation of existing and/or changing rules and principles, segregation of management duties, scale of organization, and personnel factors. Internal control over financial reporting is a process which involves human diligence and compliance and is subject to lapses in judgment and breakdowns resulting from human failures. Internal control over financial reporting also can be circumvented by collusion or improper management override. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements on a timely basis, however these inherent limitations are known features of the financial reporting process and it is possible to design into the process safeguards to reduce, though not eliminate, this risk. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation. Projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.




Changes in Internal Control over Financial Reporting




There have been no significant changes in our internal controls over financial reporting that occurred during the quarter ended June 30, 2010 that have materially or are reasonably likely to materially affect, our internal controls over financial reporting.







PART II





OTHER INFORMATION





ITEM 1.
LEGAL PROCEEDINGS





None.





ITEM 1A.           RISK FACTORS





As a smaller reporting company, we are not required to provide the information required by this item.





ITEM 2.
UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS





On May 25, 2010 Fuelstream, Inc. (the “Company”) issued 50,000,000 shares of its common stock to Opiuchus Holdings, Inc., a New York corporation owned and controlled by Mark Klok, the Company’s Chief Executive Officer and an accredited investor.  No solicitation was made and no underwriting discounts were given or paid in connection with this transaction.  The Company believes that the issuance of shares to Opiuchus Holdings, Inc. was exempt from registration with the Securities and Exchange Commission pursuant to Section 4(2) of the Securities Act of 1933.


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ITEM 3.              DEFAULTS UPON SENIOR SECURITIES




Effective February 1, 2000, the Company sold and issued a promissory note secured by certain tangible and intangible assets of the Company (“Note”) in exchange for $450,000 in cash proceeds.  As of May 1, 2000, the Company is in default with respect to the Note.  The Note and its accompanying Security Agreement have been filed as an exhibit to the Company’s 1999 annual report on form 10-KSB filed with the Securities and Exchange Commission on March 30, 2000.





ITEM 4.
SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS





On April 9, 2010, the Company changed its name to Fuelstream, Inc. and filed a Restated Certificate of Incorporation with the state of Delaware.  The majority of the shareholders consented to the name change on April 6, 2010 and notice to the non-consenting shareholders was sent in accordance with Delaware law.





Furthermore, the majority of the Company shareholders decided to effect a reverse split of the Company’s common shares.  Effective at the close of business on April 28, 2010, for every one hundred (100) shares of common stock of the Company held, each shareholder received one (1) share of the Company’s common stock.  Fractional shares were rounded up to the nearest one (1) share of common stock of the Company.





ITEM 5.
OTHER INFORMATION





Not applicable.





ITEM 6.
EXHIBITS





The following documents are filed as exhibits to this Form 10-Q:





INDEX TO EXHIBITS





Number

Exhibits3.1

Amended and Restated Certificate of Incorporation of Fuelstream, Inc.(1)3.2

Amended and Restated Bylaws of SportsNuts, Inc., a Delaware corporation.(2)31

Certification by Chief Executive Officer, Mark D. Klok, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.32

Certification by Chief Executive Officer, Mark D. Klok, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.








(1) Filed as an Exhibit to the Company’s Form 8-K, filed with the Commission on April 8, 2010.





(2) Filed as an Exhibit to the Company’s quarterly report on Form 10-QSB, filed with the Commission on August 14, 2001.








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SIGNATURES





Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.





FUELSTREAM, INC.Date: August 23, 2010________________

BY: /S/ Mark Klok____________________Mark KlokChief Executive Officer








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