---



|******UNITED STATES**                 
|--------------------------------------
|**SECURITIES AND EXCHANGE COMMISSION**
|**Washington, D.C.
20549**            

**FORM
10-KSB**

**(Mark One)**

[X] ANNUAL REPORT UNDER SECTION 13 OR 15D OF THE SECURITIES EXCHANGE ACT OF
1934.

| | For the fiscal year ended **December 31, 2003**.
| | ------------------------------------------------

[ ] TRANSITIONAL REPORT UNDER SECTION 13 OR 15D OF THE SECURITIES EXCHANGE
ACT OF 1934.

|                                            | For the transitional period from ___________to___________.
|------------------------------------------- | ----------------------------------------------------------
|                                           
|Commission file number:
      **333-87200**

|**THE INTERNATIONAL WHITE TEA
      COMPANY**                   
|----------------------------------------------------------------
|*(Name of
      small business issuer in its charter)*          
|**Nevada**                                                      
|*(State or jurisdiction
      of incorporation or organization)*
|**4894 Lone Mountain Road**
      Las Vegas, Nevada             
|*(Address of principal
      executive offices)***              
|Issuer's Telephone Number **(707)
      395-2617**              
|                                                                

Securities Registered Under Section 12(b) of the Exchange Act:

|*Title of each class* | *Name of each exchange on which registered*
|--------------------- | -------------------------------------------
|**N/A**               | **N/A**                                    
|                      |                                            

Securities Registered Under Section 12(g) of the Exchange Act:

|**Common stock, $0.0005 per share par value, no
      dividends, no preference, nonconvertible**
|------------------------------------------------------------------------------------------------
|*(Title of class)*                                                                              

Check whether the issuer (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act 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 [ ]

Check if there is no disclosure of delinquent filers in response to Item 405
of Regulation S-B is not contained in this form, and no disclosure will be
contained, to the best of the registrant's knowledge, in definitive proxy or
information statements incorporated by reference in Part III of this Form 10-KSB
or any amendment to this Form 10-KSB. [**X**]State Issuer's
revenues for its most recent fiscal year. **$-0-**State the
aggregate market value of the voting and non-voting common equity held by
non-affiliates computed by reference to the price at which common equity was
sold, or the average bid and asked price of such common equity, as of a
specified date within the past 60 days. (See definition of affiliate in Rule
12b-2 of the Exchange Act.) **There is no market value; the stock is not
trading on any exchange.**

Note: If determining whether a person is an affiliate will involve
unreasonable effort and expense, the issuer may calculate the aggregate market
value of the common equity held by non-affiliates on the basis of reasonable
assumptions, if the assumptions are stated.

**(ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS DURING THE
LAST FIVE YEARS)**

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

(**APPLICABLE ONLY TO CORPORATE REGISTRANTS)**

State the number of shares outstanding of each of the issuer's classes of
common equity, as of the latest practicable date. **As of December 31,
2003, the registrant has outstanding 1,036,900 shares of common
stock**

**DOCUMENTS INCORPORATED BY REFERENCE**

If the following documents are incorporated by reference, briefly describe
them and identify the part of the Form 10-KSB (e.g. Part 1, Part II, etc.) into
which the document is incorporated: (1) any annual report to security holders;
(2) any proxy or information statement; and (3) any prospectus filed pursuant to
424(b) or (c) of the Securities Act of 1933 ("Securities Act"). The listed
documents should be clearly described for identification purposes (e.g. annual
report to security holders for the fiscal year ended December 24, 1990).

Traditional Small Business Disclosure Format (Check one): Yes [ ] ; No
[**X**]

---





**PART I**

**Item 1.  Description
of Business.**

We were incorporated as M.C.F.T.Y. National on May 22, 2000, under the laws
of the State of Nevada. We amended our Articles of Incorporation on July 30,
2003 changing our name to The International White Tea Company. Since inception,
we have engaged in providing upscale business center services and we tried to
expand into the manufacture and distribution of white tea products as our
primary business plan developed. We were not able to raise sufficient capital to
manufacture and distribute the white tea product so the board of directors began
to refocus the company on the original business plan for business center
operations.

Currently, we offer professional business services in the business center
sector. This includes but is not limited to:

a) Packing and shipping small packages via UPS, FedEx, D.H.L. and Airborne

|(b) Complete United States Postal Service ("USPS") services including
      postage, stamps, and shipping
|---------------------------------------------------------------------------------------------------------
|(c) Private mailbox rentals                                                                              
|(d) Copy                                                                                                 
|(e) Binding and laminating                                                                               
|(f) Domestic and international fax service                                                               
|(g) Retail sales of office supplies                                                                      
|(h) Cellular telephone sales and rentals                                                                 
|(i) Two-way radio                                                                                        
|(j) In-store computer rental                                                                             
|(k) Computer generated file printing                                                                     
|(l) Printing business cards, letterhead and envelopes                                                    
|(m) Custom banners                                                                                       
|(n) Personal assistants for dictation                                                                    
|(o) Interpreters                                                                                         
|(p) Convention exhibitor hostesses                                                                       
|(q) Free package pick-up from hotels along Las Vegas Boulevard (the
      "Strip")                       
|(r) Drive-up window service                                                                              
|(s) Money orders and MoneyGrams                                                                          
|(t) Currency exchange                                                                                    

The primary delivery of products and services will be through a retail
storefront location convenient to the Las Vegas Convention Center and the Las
Vegas Strip resorts. The newly developed service of free package pick-up will be
performed by employees called the "Post Express Fly Girls." This service was
developed to gain a competitive edge in the business services market. To the
best of our knowledge, none of our competitors have tried to implement a free
package pick-up service in any of the hotels in Las Vegas. We believe another
unique service to be offered is our drive-up window feature for package
drop-off. Our research in the Las Vegas market has not found this feature being
offered previously.

***Our Business*****

**(1) Principal Products or
Services and Their Markets**

The primary products and services in our storefront operation will be parcel
packaging, postage, and shipping through the United States Postal Service
("USPS"), UPS, FedEx, D.H.L., Airborne and commercial carriers where necessary,
copying, binding, laminating, document preparation, file printing, computer
rental with Internet access, Travelers Express money orders and MoneyGrams, and
mailbox rentals (where customers rent mailboxes in our store and authorize us to
receive their mail and other shipments at the store address). We will be a
commercial mail receiving agency, and we anticipate that we will have many small
businesses as mailbox holders that post their business licenses in the store. We
will occupy a physical commercial property and will not be permitted any use
other than commercial/retail.

Being a retail store, we will depend heavily on both drive-in and foot
traffic. The use of flyers hand-delivered and placed on autos, ads in union
newsletters, advertisements in conventioneers newsletters as well as a direct
marketing campaign to convention exhibitors as well as conventioneers will be
the primary methods of advertising.

To determine the feasibility of operating full service business centers in
various Las Vegas locations, we conducted a beta test. By November 2001, we were
operating five (5) Las Vegas locations: a satellite kiosk or cart in each of the
four (4) major Las Vegas area shopping malls plus the original retail store
located in a neighborhood shopping center. The first week in December 2001, the
two mall carts were closed due to poor results. The remaining three locations
continued operations until December 31, 2001 when the two mall kiosks were
closed, leaving the retail store as the only operating location.

During the fiscal year ended December 31, 2001 we derived revenues from
operations in the main retail store as well as the four (4) satellite locations.
We believe the tragedy of September 11, 2001 caused an economic slowdown that
resulted in less disposable income to the general population. Thus, consumers
were spending less and shipping less during the holidays, thereby adversely
impacting our operations. In addition, the overall unemployment rate had and may
continue to have a significant and adverse impact on our revenues and income.

**(2) Distribution Methods
of the Services**

The primary delivery of products and services is through a regional location
in Las Vegas, Nevada located near the famous "strip". Convenient to the
convention market, the professional business administrative and development
services will be marketed through specific business advertising and strong
business to business sales. We anticipate that we will not provide services to
out-of-state clients until, and unless, we are able to expand our
operations.

**(3) Status of Any Publicly
Announced New Product or Service.**

We have developed a unique service that would make us stand above our
competition. We have tested a unique service of free package pick-up for all
hotel guests and conventioneers. This service will be provided by the "Post
Express Fly Girls".

**(4) Our
Competition**

In order to compete effectively in the professional business center industry,
a company must provide a wide range of quality services and products at a
reasonable cost. The business center services market, as a whole, is
characterized by intense competition with a large number of companies offering
or seeking to develop services and products that will compete with those that we
offer. It is our belief, based upon our experience, that our testing of our
methods of operation will provide us with a competitive edge.

Our ability to provide personalized assistance, as well as objective
assistance takes our services beyond competitors and their offerings. Not only
do we provide guidance, we can provide any needed services. It is our opinion
that we fill a unique niche by providing our services to conventioneers as well
as hotel guests and the general public at large. Our competition includes both
localized business centers and national concerns such as the UPS Stores and
Kinko's. The small, localized business consulting services primarily operate
within their own geographic confines and do not directly compete with us in the
geographic area within which we currently operate. We believe we compete
favorably with the national firms that provide services similar to ours because
those firms still focus on providing packing and shipping services and not the
ancillary business services we offer.

Many of our competitors have greater financial resources than we have,
enabling them to finance acquisition and development opportunities or develop
and support their own operations. In addition, many of these companies can offer
bundled, value-added, or additional services not provided by us. Many may also
have greater name recognition. Our competitors may have the luxury of
sacrificing profitability in order to capture a greater portion of the market
for business consulting activities. They may also be in a position to pay higher
prices than we would for the same expansion and development opportunities.
Consequently, we may encounter significant competition in our efforts to achieve
our internal and external growth objectives.

Our competitors have methods of operation that have been proven over time to
be successful. Their ability to operate at a profit with experienced management
places us at a disadvantage.

**(5) Sources and
Availability of Raw Materials**

We provide services and, as a result, we have no issues with raw materials
and the dependence on any specific suppliers. Our only potential dependence
would be on personnel. The availability of personnel with the education and
experience we need does not seem to be critical at this time. As a result of the
downturn in the economy and recent layoffs from professional firms, the quality
of the pool from which we draw our workforce is quite good. The relationships we
developed in Las Vegas have resulted in a steady number of qualified applicants
being referred to us. This has made any active recruiting of personnel
unnecessary.

Therefore, we do not see a critical dependence on any supplier(s) that could
adversely effect our operations.

**(6) Dependence on Limited
Customers**

We will not rely on any major customer for our revenue. While our target
markets, small businesses, the convention business, hotels guests and the
general public are limited in the sense that they are not unlimited, we do not
have to rely on just a few major customers for business.

**(7) Patents, Trademarks,
Licenses, Franchises, Concessions, Royalty Agreements or Labor
Contracts**

At the present time we do not own trademarks on the names "Post Express" and
"Post Express Fly Girls". The rights to these names will be licensed to us for
our sole and exclusive use. In the future, our success may depend in part upon
our ability to preserve our trade secrets, obtain and maintain patent protection
for our technologies, products and processes, and operate without infringing
upon the proprietary rights of other parties. However, we may rely on certain
proprietary technologies, trade secrets, and know-how that are not patentable.
Although we may take action to protect our unpatented trade secrets and our
proprietary information, in part, by the use of confidentiality agreements with
our employees, consultants and certain of our contractors, we cannot guaranty
that:

(a) these agreements will not be breached;

(b) we would have adequate remedies for any breach; or

(c) our proprietary trade secrets and know-how will not otherwise become
known or be independently developed or discovered by competitors.

We cannot guaranty that our actions will be sufficient to prevent imitation
or duplication of either our products and services by others or prevent others
from claiming violations of their trade secrets and proprietary rights.

**(8) Need for Government
Approval of Principal Products or Services**

None of the services we offer require government approval.

**(9) Government
Regulation**

As a business services supplier, we are subject to a limited variety of
local, state, and federal regulations. While we believe that our operations are
in compliance with all applicable regulations, there can be no assurances that
from time to time unintentional violations of such regulations will not occur.
We are subject to federal, state and local laws and regulations applied to
businesses, such as payroll taxes on the state and federal levels. In general,
our administrative and consulting activities are subject to local business
licensing requirements.

Internet access and online services are not subject to direct regulation in
the United States. Changes in the laws and regulations relating to the
telecommunications and media industry, however, could impact our business. For
example, the Federal Communications Commission could begin to regulate the
Internet and online services industry, which could result in increased costs for
us. The laws and regulations applicable to the Internet and to our services are
evolving and unclear and could damage our business. There are currently few laws
or regulations directly applicable to access to, or commerce on, the Internet.
Due to the increasing popularity and use of the Internet, it is possible that
laws and regulations may be adopted, covering issues such as user privacy,
defamation, pricing, taxation, content regulation, quality of products and
services, and intellectual property ownership and infringement. Such legislation
could expose us to substantial liability as well as dampen the growth in use of
the Internet, decrease the acceptance of the Internet as a communications and
commercial medium, or require us to incur significant expenses in complying with
any new regulations.

**(10) Research and
Development During Last Two Fiscal Years**

During the last two fiscal years no money was spent on research and
development. We have, however, spent minimal monies on website development. Our
research has been primarily in the are of business market segments that we may
target with our services.

**(11) Cost and Effects of
Compliance with Environmental Laws**

As a business services supplier, we are not subject to any federal, state or
local environmental laws.

**(12) Our
Employees**

As of December 31, 2003, we had one full time unpaid employee, Ms. Lori
Kwoka.. As our President, Ms. Kwoka currently provides her time as our only
employee, paid on an irregular basis. Ms. Kwoka currently assists the Board of
Directors in providing the strategic direction and the necessary labor to
support the operation.

We currently have no key employees, other than Ms. Kwoka our
President/Director and George Freedman our Secretary/Director. There are also no
key consulting contracts with any individuals or companies at this time.

Where possible, we plan to utilize employee leasing companies in the future
to avoid the heavy burden for full-time staff manpower. This will allow us to
shift the burden of payroll taxes and workers compensation insurance to the
employee leasing company. A local employee leasing firm has indicated that as a
result of the fallout from the Enron debacle, there is a high quality market of
individuals with accounting and business services background from which we will
be able draw sufficient talent to provide our services. We have had many
potential candidates applying for employment as a direct result of referrals
from accounting firms.

By utilizing an employee leasing company we can target specific types of
employees with which we intend to augment our staff. We do not believe that
there is a critical need for a specific type of candidate we would use in our
business. By contracting for services as we need them for a particular job, we
can reduce labor costs.

**Item 2.  Description
of property.**

Our present office is located in Las Vegas, Nevada, on a major artery. We are
housed in a retail shopping center anchored by a Von's grocery store. Ms. Kwoka
works from her home office**.**

**Legal Proceedings.**

There are no current or pending legal proceedings against the company.

**Item
4.  Submission of Matters to a Vote of Security Holders.**

There were no matters that were submitted to security holders during the
fourth quarter of 2003.

**PART II**

**Item
5.  Market for Common Equity and Related Stockholder Matters.**

**(a)  *Items 201 and 701 of Regulation S-B***

Our common stock is not quoted or traded on any quotation medium at this
time. We have applied to the NASD to have our common stock included for
quotation on the NASD OTC Bulletin Board. As of the date of this report this
process has not been completed. There can be no assurance that an active trading
market for our stock will develop. If our stock is included for quotation on the
NASD OTC Bulletin Board, price quotations will reflect inter-dealer prices,
without retail mark-up, mark-down or commission, and may not represent actual
transactions.

Should a market develop for our shares, the trading price of the common stock
is likely to be highly volatile and could be subject to wide fluctuations in
response to factors such as actual or anticipated variations in quarterly
operating results, announcements of technological innovations, new sales
formats, or new services by us or our competitors, changes in financial
estimates by securities analysts, conditions or trends in Internet or
traditional retail markets, changes in the market valuations of other equipment
and furniture leasing service providers or accounting related business services,
announcements by us or our competitors of significant acquisitions, strategic
partnerships, joint ventures, capital commitments, additions or departures of
key personnel, sales of common stock and other events or factors, many of which
are beyond our control. In addition, the stock market in general, and the market
for business services in particular, has experienced extreme price and volume
fluctuations that have often been unrelated or disproportionate to the operating
performance of such companies. These broad market and industry factors may
materially adversely affect the market price of the common stock, regardless of
our operating performance.

Consequently, future announcements concerning us or our competitors,
litigation, or public concerns as to the commercial value of one or more of our
products or services may cause the market price of our common stock to fluctuate
substantially for reasons which may be unrelated to operating results. These
fluctuations, as well as general economic, political and market conditions, may
have a material adverse effect on the market price of our common stock.

At the present time we have no outstanding options or warrants to purchase
securities convertible into common stock.

Cash dividends have not been paid during the last three (3) years. In the
near future, we intend to retain any earnings to finance the development and
expansion of our business. We do not anticipate paying any cash dividends on our
common stock in the foreseeable future. The declaration and payment of cash
dividends by us are subject to the discretion of our board of directors. Any
future determination to pay cash dividends will depend on our results of
operations, financial condition, capital requirements, contractual restrictions
and other factors deemed relevant at the time by the board of directors. We are
not currently subject to any contractual arrangements which restricts our
ability to pay cash dividends.

We have thirty-five (35) stockholders of record of our common stock as of
December 31, 2003.

**(b)  *Item 701(f) of Regulation S-B***

As our common stock is not quoted or traded on any quotation medium at this
time, no stock has been sold. Thus, there are no proceeds on which to
report.

**Item
6.  Management's Discussion and Analysis or Plan of
Operations.**

The following plan of operation, management's discussion and analysis of
financial condition, and results of operations should be read in conjunction
with our financial statements and notes thereto contained elsewhere in this
prospectus.

***Plan of Operation*****

**(1)  General**

We currently have no revenues and income pursuant to our operations, which
are located in the Las Vegas area of Nevada. We do not anticipate revenues from
our operations to increase significantly until the fiscal year ending December
31, 2004. If for any reason (or for no reason) our operations do not continue to
grow, or business is less than anticipated, such result would have a material
adverse effect on us.

In order to facilitate the expansion of the company we began the development
of a white tea beverage and brought in new officers and directors to proceed
with this product while we continued to seek capital for our business centers.
As of December 31, 2003, the new officers and directors have not been able to
raise the necessary capital nor fully develop the operations necessary to
manufacture and distribute a white tea product. Accordingly, the company has
begun discussions to discontinue the white tea product and focus solely on our
business plan for business centers. The current officers and directors have
begun discussions with the former President, Diane Harrison to take control of
the company.

It is the strategic experience of Ms. Harrison that we believe will allow us
to fully develop our business. By using an individual with prior administrative
support services experience we hope to develop a stronger client base. We are
expanding our search for a new CEO to related industries such as service
companies in retail packing and shipping and multiple outlet retail sales such
as national clothing outlets.

Presently, the cash necessary to support our business plan implementation is
being supplied by the sale of stock in a private placement. However, this is
only enough to sustain the business in its current manner and is not sufficient
for the full implementation of the business plan, specifically, expanding the
business center services. We believe that further cash will be needed to expand
operations. We could need to raise as much as $400,000.00 to support expansion
operations over the next twelve months.

Any unforeseen events such as happened on September 11, 2001 could also
adversely affect our business. The cost of equipment, technology, and labor
could increase and directly affect our ability to be profitable. Las Vegas is an
area highly dependent on tourism, an industry experiencing a down turn after
September 11, 2001.

**(2)  Our
Business**

Presently our President, Lori Kwoka, provides the necessary services to our
clients. She has been actively developing her skills to provide leadership for
employees that will be hired when we have the necessary capital. The services we
provide, professional business services, have been provided on a limited basis
due to the development of the business plan as well as the lack of capital.

We believe it is critical to have a presence in the major Las Vegas market so
that we can work effectively with local hotels and conventioneers and hotel
guests. We anticipate that physical staffing in this location will not occur
until third-quarter 2004 at which time we would staff any satellite location
with individuals experienced in our industry.

We closed our offering that was registered with the Securities Exchange
Commission and effective in April 2003. As a result of closing the offering, we
did not have sufficient capital for operations or expansion during the next
twelve months. We need to raise additional funds, either through subsequent
offerings of our shares or through other financing arrangements, finance such as
borrowings.

We do believe that our website will be fully operational within thirty days
after securing funds from either our offering or financing activities. Assuming
our proposed website becomes operational, we expect to next focus on expanding
the scope of our Internet presence. We hope to achieve such expansion by
registering with major search engines with the goal of placing our website at
the top of search results. This typically requires pre-funding with certain
search engines. We do not currently have adequate financial resources to conduct
such registration.

**(i) How long can we satisfy our cash requirements and will we need to raise
additional funds in the next 12 months?**

Our Plan of Operation for the next twelve months is to modify our business
plan so we can raise additional capital, establish our new storefront, hire
additional staff, and expand our services to hotel guests and conventioneers. We
will use the funds raised from sources other than our primary offering and
revenues generated to fund equipment purchases and office improvement and for
marketing activities and working capital.

We cannot guaranty that additional funding will be available on favorable
terms, if at all. If adequate funds are not available, then we may not be able
to expand our operations. If adequate funds are not available, we believe that
our officers and directors will contribute funds to pay for some of our
expenses. However, we have not made any arrangements or agreements with our
officers and directors regarding such advancement of funds. We do not know
whether we will issue stock for the loans or whether we will merely prepare and
sign promissory notes. If we are forced to seek funds from our officers or
directors, we will negotiate the specific terms and conditions of such loan when
made, if ever. None of our officers or directors is obligated to pay for our
expenses. Moreover, none of our officers or directors have specifically agreed
to pay our expenses should we need such assistance.

The implementation of our full business plan is estimated to take
approximately 12-18 months. Once we are able to secure funding, implementation
will begin immediately. We anticipate 30 days to be in a stage of operational
activity to gain additional clients. The major parts of the business plan that
will be immediately implemented will be the sales and marketing as well as
office equipment and human resource procurement.

**(ii) Summary of product research and development**

We are not currently nor do we anticipate in the future to be conducting any
research and development activities, other than the development of our proposed
website and looking into a possible new industry to target for offering our
services. However, we do plan to market ourselves aggressively.

**(a) Marketing Plan**

Our current marketing plan involves positioning ourselves as a business
services company targeting both the convention industry and hotel guests and
conventioneers in particular. We intend to retain the services of a public
relations company for the development of our brochures, advertising sheets, and
public relations.

The extensive advertising needed to produce a major increase in potential
business will not be done during the next twelve months. This will allow us to
determine human resource needs and ensure we do not overstaff too early thereby
avoiding high labor and benefits costs.

We will utilize a direct marketing person to contact companies to solicit
business.

Our target markets and marketing strategy will be fully developed. We will
primarily market our services to conventioneers and hotel guests. Our marketing
initiatives will include:

(a) utilizing direct response print advertisements placed primarily in small
business, entrepreneurial, and special interest magazines;

(b) links to industry focused websites;

(c) advertising by television, radio, banners, affiliated marketing and
direct mail

(d) presence at industry trade shows; and

(e) promoting our services and attracting businesses through our proposed
website.

**(b) Sales Strategies**

- Power Point Presentation. We plan to create a flexible Power Point
presentation that our marketing department will use to deliver a professional
sales presentation specifically tailored to the needs of our target markets. The
presentation will have a core section that is generic to all customer segments
as well as specific customer segment modules allowing modification of the
presentation for the appropriate audience. Additionally, this Power Point
presentation will be the basis for brochures and print advertising layout to
ensure we have a consistent look through out all our marketing
communications.

- Capability Brochures. We expect to create a capability brochure featuring
our family of services and products. This will be a high quality brochure with
extensive detail.

- Public Relations and Advertising. We plan to implement a campaign to obtain
media coverage by publishing persuasive news articles and feature stories that
increase the awareness of the business services and further the acceptance of
our products, services and technologies as the solution to targeted customer
segments.

**(c) Other Markets**

During our three years of developing our business plan and our small
operations we have uncovered another potential target market in addition to the
convention industry: the estate shipping industry.

**(iii) Any expected purchase or sale of plant and significant
equipment?**

We do not anticipate purchases of plant or significant equipment other than
general office supplies and general office equipment, should we raise sufficient
funds to purchase such office equipment. In the event that we expand our
customer base, then we may need to hire additional employees or independent
contractors. Specifically, if we are able to raise sufficient capital to expand
our services and service area and our revenue levels justify such action, we
plan on hiring five additional employees over the next 12 months. Accordingly,
we are hoping to move to a new, larger location in 2004/2005, however, no
locations have been identified at this time, and such move depends upon our
securing sufficient capital.

**(iv) Employees**

As of December 31, 2003 we had one full time employee, Lori Kwoka. As our
President, Ms. Kwoka currently provides her time as our only employee, paid on
an irregular basis. We anticipate that we will not hire any additional employees
in the next six months unless we generate significant revenues. From time to
time, we anticipate using the services of an outside firm for additional website
design and development.

With our growth strategy our objective is to expand our operations by adding
staff while increasing our market presence in Las Vegas, Nevada. We anticipate
achieving growth by leasing additional staff through an employee leasing
company, installing computers, and launching a professionally designed website
to attract new clients.

***Results of Operations*****

**(1)  General**

During the year ended December 31, 2003, our assets consisted of our cash,
inventory and prepaid expenses. We had no revenues other than those from the
sale of stock. The following table shows our revenues, expenditures and net
income for the years from 2001-2003.

**Table 1.0  Revenues, Expenses, and Net
Income**

|**YEAR** | **REVENUE** | **EXPENSES** | **NET INCOME**
|-------- | ----------- | ------------ | --------------
|2001     | $ 72,809.95 | $ 150,030.37 | ($77,220.42)  
|2002     | $-0-        | $6,737.23    | ($3,396.93)   
|2003     | $-0-        | $118.634.69  | ($118,634.69) 

**(2)  Results of
Operations For the Period Ended December 31, 2003.**

During the year ended December 31, 2003, we had no revenues from operations.
Our only income was from the sale of stock in a private placement. A total of
$186,000 was raised from the sale of stock.

We utilized ($105,764.95) of cash flow for operating activities. We had a
($118,634.69) net loss.

We did not have any cash flows from investing activities for the year ended
December 31, 2003, but did have utilization of cash flow of $163,478.77 from
financing activities resulting from the sale of stock. As a result of Ms. Diane
Harrison resigning and the election of new officers and directors, the company
was indebted to Ms. Harrison for $50,000 due and payable when the company
becomes eligible for trading on an exchange. Additionally, there is a
contingency payment due Ms. Harrison of $200,000 in the event she is not able to
realize the sale of her stock for this amount when the common stock of the
company is eligible for trading.

The result of the above activity was a net cash increase of $57,713.82 for
the year ended December 31, 2003, which when added to $37.83 of cash and cash
equivalents at the beginning of the period, resulted in $57,751.65 of cash and
cash equivalents at the end of the period.

We do not foresee any circumstances or events that will have an adverse
impact on our operations. We do anticipate an increase in our business based on
our current business plan and the activities of our officers and directors.
Thus, while we can satisfy our current cash requirements, we do not expect to
satisfy our cash requirements for opening our business centers in the year 2004.
We will need additional cash to implement the expansion strategy contained in
our business plan, which includes expanding the business center and to continue
operations.

**(3)  Results of
Operations For the Period Ended December 31, 2002**

During the year ended December 31, 2002, we had no revenues from operations.
During the year ending December 31, 2002, we had a net loss of $3,396.93. Our
revenues and expenses were associated with the retail storefront operation that
was discontinued in 2002 and our financial statements reflect these discontinued
operations. We had minimal interest income or expense for the year ending
December 31, 2002.

Our financial statements reflect current accounts payable of $23,111.15. This
is a direct result of our beta test; specifically, the poor performance at the
two mall locations and the inability of those locations to produce enough
revenue to cover the cost of renting mall space and kiosks. Store operations and
the sale of the company automobile permitted us to reduce this debt to the
current $23,111.15 as of December 31, 2002. The $2,000 loss on the sale of
assets was due to depreciation as our accountants have reported it on our tax
asset detail.****

To keep the company solvent and to support the minimal continued operations,
Ms. Harrison sold the Note Due at a reduced price.

As a result of discontinuing operations and the sale of the Note due the
company there was an increase of $27.82 in our cash at December 31, 2002.

**(4)  Results of
Operations Ended December 31, 2001**

During the six months ending December 31, 2001, we had revenues of
approximately $72,809.95 from the storefront location and another $12,787.06
from our beta test site locations. During the six months ending December 31,
2001, the company's costs associated with generating revenues was approximately
$88,578.27 and approximately $74,339.17 for the beta test site locations. This
resulted in a gross loss of approximately $77,320.43 for the six months ending
December 31, 2001.

***Liquidity & Capital Resources*****

During the year ended December 31, 2003, we had no revenues from operations.
Our only income was from the sale of stock in a private placement. A total of
$186,000 was raised from the sale of stock.

We utilized ($105,764.95) of cash flow for operating activities. We had a
($118,634.69) net loss.

We did not have any cash flows from investing activities for the year ended
December 31, 2003, but did have utilization of cash flow of $163,478.77 from
financing activities resulting from the sale of stock.

During the year ended December 31, 2002, we had no revenues from operations.
During the year ending December 31, 2002, we had a net loss of ($3,396.93). Our
revenues and expenses were associated with the retail storefront operation that
was discontinued in 2002 and our financial statements reflect these discontinued
operations. We had minimal interest income or expense for the year ending
December 31, 2002. As a result of the sale of assets and the Note Receivable our
net loss was only ($3,396.93).

We believe that our net cash increase for the years 2001, 2002 and 2003 will
not be sufficient to sustain current and expanded operations and additional
funds will be needed to support our business. Consequently, we will seek
additional funding through public or private financing or other arrangements.
Such additional funding may be financed by bank borrowings, public offerings, or
private placements of equity or debt securities, loans with shareholders, or a
combination of the foregoing.

It is our belief that our cash flow is only sufficient to sustain our current
level of minimal operations. While operations could be sustained for a long time
(over twelve months), there would be minimal to be distributed for the efforts
of the officers and directors. To begin expansion, funds will need to be brought
into the company to permit us to move forward with our expansion. Without these
funds, management believes it cannot sustain expanding operations.

**Item 7.  Financial
Statements.**

|******FINANCIAL
  STATEMENTS**
|------------------------------
|**CONTENTS**                  

|**Report of Godels, Solomon, Barber & Company, L.L.C.,
      Independent Auditors, as of December 31, 2003** | **F-2** 
|------------------------------------------------------------------------------------------------------------ | --------
|**Balance Sheet, December 31, 2003**                                                                         | **F-3** 
|**Income Statement, for the Year Ended December 31,
      2003**                                             | **F-4** 
|**Statement of Cash Flows, for the Year Ended December 31,
      2003**                                      | **F-5** 
|**Statement of Changes in Stockholders' Equity, for the Year
      Ended December 31, 2003**                 | **F-6** 
|**Notes to the Financial Statements, December 31, 2003**                                                     | **F-7** 
|**Report of Godels, Solomon, Barber & Company, L.L.C.,
      Independent Auditors, as of December 31, 2002** | **F-9** 
|**Balance Sheet, December 31, 2002**                                                                         | **F-10**
|**Income Statement, for the Year Ended December 31,
      2002**                                             | **F-11**
|**Statement of Cash Flows, for the Year Ended December 31,
      2002**                                      | **F-12**
|**Statement of Changes in Stockholders' Equity, for the Year
      Ended December 31, 2002**                 | **F-13**
|**Notes to the Financial Statements, December 31, 2002**                                                     | **F-14**
|**Report of Godels, Solomon, Barber & Company, L.L.C.,
      Independent Auditors, as of December 31, 2001** | **F-17**
|**Balance Sheet, December 31, 2001**                                                                         | **F-18**
|**Income Statement, for the Year Ended December 31,
    2001**                                               | **F-19**
|**Statement of Cash Flows, for the Year Ended December 31,
      2001**                                      | **F-20**
|**Statement of Changes in Stockholders' Equity, for the Year
      Ended December 31, 2001**                 | **F-21**
|**Notes to the Financial Statements, December 31, 2001**                                                     | **F-22**

**F-1**



---



**Independent Auditor's
Report**

|******To the Board of Directors and Stockholders of**
|-----------------------------------------------------
|**The International White Tea
Company**              

We have audited the accompanying balance sheet of The International White Tea
Company as of December 31, 2003, and the related statements of operations,
changes in stockholders' equity, and cash flows for the year then ended. These
financial statements are the responsibility of Company's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.

We conducted our audit in accordance with auditing standards generally
accepted in the United States of America. Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of The International White Tea
Company at December 31, 2003, and the results of its operations and its cash
flows for the year then ended in accordance with accounting principles generally
accepted in the United States of America.

|/s/ GODELS, SOLOMON, BARBER & COMPANY, L.L.C.
|---------------------------------------------
|**GODELS, SOLOMON, BARBER & COMPANY, L.L.C.**
|**770 First Avenue North**                   
|**St. Petersburg, Florida**                  

|**Telephone: (727) 896-2111**
|-----------------------------
|**Fax: (727) 896-2208**      

May 5, 2004

**F-2**

---



|**The International White Tea
Company**
|---------------------------------------
|**Balance
      Sheet******            
|**December 31, 2003**                  

|                                                                                   |                                |                                                     |              |      | ************************
|---------------------------------------------------------------------------------- | ------------------------------ | --------------------------------------------------- | ------------ | ---- | ------------------------
|**ASSETS**                                                                        
|****                                                                               | **Current Assets:**            |                                                    
|****                                                                               | ****                           | **Washington Mutual**                               | 57,751.65   
|****                                                                               | ****                           | **Total Checking/Savings**                          | 57,751.65   
|****                                                                               | ****                           | **Inventory**                                       | 47,478.78   
|****                                                                               | ****                           | **Prepaid Expenses**                                | 4,954.42    
|****                                                                               | ****                           | **Shareholder Loans Receivable - Note C**           | 50,000.00   
|****                                                                               | **Total Current Assets**       | **160,184.85**                                     
|****                                                                               | **Fixed Assets:**              |                                                    
|****                                                                               | ****                           | **Equipment**                                       | 5,541.00    
|****                                                                               | ****                           | **Less - Accumulated Depreciation**                 | (3,370.39)  
|****                                                                               | **Total Fixed Assets**         | **2,170.61**                                       
|****                                                                               | **Other Assets:**              |                                                    
|****                                                                               | ****                           | **Costs - Organizational**                          | 185.00      
|****                                                                               | ****                           | **Less - Accumulated Amortization**                 | (111.00)    
|****                                                                               | **Total Other Assets**         | **74.00**                                          
|**TOTAL ASSETS**                                                                   | **162,429.46**                
|**LIABILITIES & STOCKHOLDERS' EQUITY**                                             |                               
|****                                                                               | **Current Liabilities:**       |                                                    
|****                                                                               | ****                           | **Accounts Payable**                                | 17,755.10   
|****                                                                               | ****                           | **Accrued Expenses**                                | 38,500.00   
|****                                                                               | ****                           | **Due to Shareholder**                              | 33,390.20   
|****                                                                               | ****                           | **Note Payable-Diane Harrison - Note D**            | 50,000.00   
|****                                                                               | **Total Current Liabilities**  | **139,645.30**                                     
|****                                                                               | **Total Liabilities**          | **139,645.30**                                     
|****                                                                               | **Stockholders' Equity:**      |                                                    
|****                                                                               | ****                           | **Common Stock, $.0005 par value,
    50,000,000**  |             
|****                                                                               | ****                           | **shares authorized, 12,984,500 shares
    issued** |             
|****                                                                               | ****                           | **and outstanding**                                 | 6,492.24    
|****                                                                               | ****                           | **Paid-in-Capital**                                 | 215,643.97  
|****                                                                               | ****                           | **Retained Earnings**                               | (199,352.05)
|****                                                                               | **Total Stockholders' Equity** | **22,784.16**                                      
|**TOTAL LIABILITIES & STOCKHOLDERS' EQUITY**                                       | **162,429.46**                
|****                                                                               | ****                           | ****                                                | ****         | **** |                         
|**The accompanying notes are an integral part of the
      financial statements.**

**F-3**

---



|**The International White Tea
Company**   
|------------------------------------------
|**Statement of Cash
      Flows******     
|**For the Year Ended December 31,
  2003**

|                                                                                   |                               |           |      |      |               
|---------------------------------------------------------------------------------- | ----------------------------- | --------- | ---- | ---- | --------------
|**************************Revenues:**                                              |                              
|****                                                                               | **Sales**                     | 0.00     
|****                                                                               | ****                          | ****      | **** | **** | **0.00**      
|**Cost of Goods Sold:**                                                            |                              
|****                                                                               | **Cost of Goods Sold**        | 0.00     
|****                                                                               | ****                          | ****      | **** | **** | **0.00**      
|**Gross Profit**                                                                   | **0.00**                     
|**Operating Expenses:**                                                            |                              
|****                                                                               | **Advertising**               | 1,916.67 
|****                                                                               | **Amortization**              | 37.00    
|****                                                                               | **Automobile Expenses**       | 635.80   
|****                                                                               | **Bank Service Charges**      | 340.67   
|****                                                                               | **Consulting**                | 20,238.01
|****                                                                               | **Continuing Education**      | 2,134.38 
|****                                                                               | **Depreciation Expense**      | 998.04   
|****                                                                               | **Dues and Subscriptions**    | 380.00   
|****                                                                               | **Insurance**                 | 7,617.46 
|****                                                                               | **Licenses and Permits**      | 3,875.00 
|****                                                                               | **Marketing**                 | 7,000.00 
|****                                                                               | **Miscellaneous**             | 2,324.86 
|****                                                                               | **Office Expense**            | 355.00   
|****                                                                               | **Postage/Delivery/Supplies** | 745.93   
|****                                                                               | **Printing and Reproduction** | 2,057.23 
|****                                                                               | **Professional Fees**         | 50,428.00
|****                                                                               | **Public Relations**          | 10,002.50
|****                                                                               | **Taxes-Other**               | 510.00   
|****                                                                               | **Telephone**                 | 1,065.14 
|****                                                                               | **Travel and Entertainment**  | 5,973.00 
|****                                                                               | ****                          | ****      | **** | **** | **118,634.69**
|**Income (Loss) Before Income Taxes**                                              | **(118,634.69)**             
|**Income Taxes**                                                                   | **0.00**                     
|**Net Income (Loss)**                                                              | **(118,634.69)**             
|**Contingencies - (Note E)**                                                       |                              
|****                                                                               | ****                          | ****      | **** | **** |               
|**Earnings per common share:**                                                     |                              
|**Net Income (Loss)**                                                              | **(0.02)**                   
|**The accompanying notes are an integral part of the
      financial statements.**

**F-4**

---



|**The International White Tea
Company**   
|------------------------------------------
|**Statement of Cash
      Flows******     
|**For the Year Ended December 31,
  2003**

|                                                                                   |                                                                                   |                                   |             | 
|---------------------------------------------------------------------------------- | --------------------------------------------------------------------------------- | --------------------------------- | ----------- | 
|******************OPERATING
      ACTIVITIES:**                                    |                                                                                  
|****                                                                               | **Net Income (Loss)**                                                             | (118,634.69)                     
|****                                                                               | **Adjustments to reconcile Net Income to net cash
      provided by operations:** |                                  
|****                                                                               | ****                                                                              | **Depreciation & Amortization**   | 1,035.04   
|****                                                                               | ****                                                                              | **Noncash Operating Expenses**    | 3,058.38   
|****                                                                               | ****                                                                              | **Inventory**                     | (47,478.78)
|****                                                                               | ****                                                                              | **Accounts Payable**              | 17,755.10  
|****                                                                               | ****                                                                              | **Accrued Expenses**              | 38,500.00  
|****                                                                               | **Net cash used by Operating Activities**                                         | **(105,764.95)**                 
|**INVESTING ACTIVITIES:**                                                          |                                                                                  
|****                                                                               | **Net cash provided by Investing Activities**                                     | **0.00**                         
|**FINANCING ACTIVITIES:**                                                          |                                                                                  
|****                                                                               | ****                                                                              | **Loan Advances - M. J. Daniels** | (950.00)   
|****                                                                               | ****                                                                              | **Shareholder Loan Repayments**   | (8,306.98) 
|****                                                                               | ****                                                                              | **Common Stock Issued**           | 177,192.00 
|****                                                                               | ****                                                                              | **Purchase of Treasury Stock**    | (4,456.25) 
|****                                                                               | **Net cash used by Financing Activities**                                         | **163,478.77**                   
|****                                                                               | ****                                                                              | ****                              | ****        | 
|**Net cash increase for year**                                                     | **57,713.82**                                                                    
|**Cash at beginning of year**                                                      | 37.83                                                                            
|**Cash at end of year**                                                            | **57,751.65**                                                                    
|****                                                                               | ****                                                                              | ****                              | ****        | 
|**Supplemental Disclosures:**                                                      |                                                                                  
|**Noncash Transactions:**                                                          |                                                                                  
|****                                                                               | **Increase in Prepaid Expenses**                                                  | 4,954.42                         
|****                                                                               | **Common Stock issued for noncash
      considerations**                          | 8,012.80                         
|****                                                                               | **Shareholder Receivable arising from
      sale of Treasury Stock**              | 50,000.00                        
|****                                                                               | **Conversion of Debt to Equity**                                                  | 23,138.91                        
|****                                                                               | **Note Payable arising from purchase of
      Treasury Stock**                    | 50,000.00                        
|****                                                                               | ****                                                                              | ****                              | ****        | 
|**The accompanying notes are an integral part of the
      financial statements.**

**F-5**

---



|**The International White Tea
Company**                   
|----------------------------------------------------------
|**Statement of
      Changes in Stockholders' Equity******
|**For the Year Ended December 31,
  2003**                

|                                                                                   |                  |              |                |                    |                   |                 |                                  
|---------------------------------------------------------------------------------- | ---------------- | ------------ | -------------- | ------------------ | ----------------- | --------------- | ---------------------------------
|                                                                                   |                  |              |                |                    |                   |                 | **************************Total**
|                                                                                   | **Common Stock** | **Paid in**  | **Retained**   | **Treasury
Stock** | **Stockholders'**
|                                                                                   | **Shares**       | **Amount**   | **Capital**    | **Earnings**       | **Shares**        | **Amount**      | **Equity**                       
|                                                                                   |                  |              |                |                    |                   |                 |                                  
|**Balances at**                                                                    |                  |              |                |                    |                   |                 |                                  
|**January 1, 2003**                                                                | **3,127,129**    | **1,563.56** | **16,685.19**  | **(80,717.36)**    | **0**             | **0.00**        | **(62,468.61)**                  
|                                                                                   |                  |              |                |                    |                   |                 |                                  
|**Issuance of**                                                                    | ****             | ****         | ****           | ****               | ****              | ****            | ****                             
|**common stock**                                                                   | **9,857,371**    | **4,928.68** | ****           | ****               | ****              | ****            | **4,928.68**                     
|                                                                                   |                  |              |                |                    |                   |                 |                                  
|**Paid in capital**                                                                | ****             | ****         | **198,958.78** | ****               | ****              | ****            | **198,958.78**                   
|                                                                                   |                  |              |                |                    |                   |                 |                                  
|**Net income (loss)**                                                              | **0**            | **0.00**     | **0.00**       | **(118,634.69)**   | ****              | ****            | **(118,634.69)**                 
|                                                                                   |                  |              |                |                    |                   |                 |                                  
|**Treasury Stock**                                                                 |                  |              |                |                    |                   |                 |                                  
|**Cost of 2,328,929 shares of**                                                    |                  |              |                |                    |                   |                 |                                  
|**common stock**                                                                   | **(2,328,929)**  |              |                |                    | **2,328,929**     | **(54,456.25)** | **(54,456.25)**                  
|                                                                                   |                  |              |                |                    |                   |                 |                                  
|**2,328,929 shares reissued**                                                      | **2,328,929**    |              |                |                    | **(2,328,929)**   | **54,456.25**   | **54,456.25**                    
|                                                                                   |                  |              |                |                    |                   |                 |                                  
|**Balances at**                                                                    | ****             | ****         | ****           | ****               | ****              | ****            | ****                             
|**September 30, 2003**                                                             | **12,984,500**   | **6,492.24** | **215,643.97** | **(199,352.05)**   | **0**             | **0.00**        | **22,784.16**                    
|                                                                                   |                  |              |                |                    |                   |                 |                                  
|**The accompanying notes are an integral part of the
      financial statements.** |                  |             

**F-6**

---



|**The International White Tea
Company**
|---------------------------------------
|**Notes to Financial
      Statements**
|**December 31, 2003**                  

**NOTE A - ORGANIZATION AND NATURE OF BUSINESS**

The company was incorporated May 22, 2000 in the State of Nevada. The Company
offered products and services that are merchandised from full-service retail
business centers offering private mailbox rentals. On July 30, 2003 the Company
changed its name from M.C.F.T.Y. National to The International White Tea
Company. The Company will now be a retail business.

**NOTE B - SIGNIFICANT ACCOUNTING POLICIES**

**Cash and Cash Equivalents**

For purposes of the statement of cash flows, the Company considers all
short-term securities with a maturity of three months or less to be cash
equivalents.

**Fixed Assets**

Property and equipment are stated at cost. Depreciation is computed using
straight-line and accelerated methods over the estimated useful lives of the
assets. Expenditures for major renewals and betterments that extend the useful
lives of property and equipment are capitalized. Expenditures for maintenance
and repairs are charged to expense as incurred.

**Intangible Assets**

Intangibles purchased were being amortized over fifteen (15) years on a
straight-line basis; organizational costs are being amortized over five (5)
years on a straight-line basis.

**Income Taxes**

The Company has loss carryforwards of $198,959.00, which can be carried
forward twenty (20) years to offset future taxable income.

**Use of Estimates**

The preparation of financial statements in conformity with generally accepted
accounting principles requires the corporation to make estimates and assumptions
that affect certain reported amounts and disclosures. Accordingly, actual
results could differ from those estimates.

**Inventories**

Inventories are stated at the lower of cost or market on a specifically
identified basis.

**Revenue Recognition**

The Company recognizes its revenue when it completes the delivery of its
goods and services to its customers. SAB 101 had no substantive effect on the
Company's financial statements, as it did not impact the Company's method of
recognizing revenue.

**NOTE C -SHAREHOLDER LOANS RECEIVABLE**

These amounts represent funds due from one of the Company's shareholders for
the acquisition of Company Stock.

**NOTE D - NOTE PAYABLE - DIANE HARRISON**

The Company has a note payable to Diane Harrison dated August 1, 2003. The
note is payable in two equal installments of $25,000.00 that were to be due on
August 31, 2003 and September 30, 2003. In the event the Company had not
received its letter of tradeability from the NASD on or before August 31, 2003,
the first payment shall be delayed until such tradeability has been granted. As
of September 30, 2003 the letter of

**F-7**

---



|**The International White Tea
Company**                        
|---------------------------------------------------------------
|**Notes to Financial
      Statements**
    ***(Continued)*****
|**December 31, 2003**                                          

tradeability has not been received. The note shall carry no interest if paid
by the due date. If it is paid after the due date, interest will be payable at
an 8.0% per annum rate. In the event the Company defaults, the officers and
directors agree to return Diane Harrison and her nominees as the new directors
and officers of the Company.

Principal maturities of the note payable during the next five years are as
follows:

| | **Year Ending December 31,** |            | 
| | ---------------------------- | ---------- | 
| | 2004                         | $50,000.00 | 

**NOTE E - CONTINGENCIES**

The Company is contingently liable to Diane Harrison if she is unable to
convert 498,000 shares of her stock into $200,000.00 by July 30, 2004. She shall
have the right to sell her shares of stock at or above a $0.25 per share minimum
price during the course of the one year ended July 30, 2004. In the event the
average share price over the one year period is $0.25 per share or greater, the
Company shall have no further obligation to her. In the event the average share
price over the one year period is less than $0.25 per share, she shall be due
the difference between $0.25 per share and the actual average per share price.
The difference shall be calculated as a percentage difference. This percentage
shall be the percentage of the $200,000.00 due less sums received from prior
sales. The Company may pay the amount due in additional shares or cash at the
Company's discretion.

**NOTE F - EARNINGS PER COMMON SHARE**

Earnings (loss) per common share of ($0.02) were calculated based on a net
income numerator of $(118,634.69) divided by a denominator of 6,498,624
weighted-average shares of outstanding common stock. The denominator was
calculated based on the following issuances of common shares during 2003:

| | January 1, 2003    | 3,127,129 common shares outstanding  | 
| | ------------------ | ------------------------------------ | 
| | May 16, 2003       | 3,156,929 common shares outstanding  | 
| | August 18, 2003    | 10,857,800 common shares outstanding | 
| | September 30, 2003 | 12,262,500 common shares outstanding | 
| | October 15, 2003   | 12,282,500 common shares outstanding | 
| | October 30, 2003   | 12,984,500 common shares outstanding | 

**F-8**

---



**Independent Auditor's
Report**

|**To the Board of Directors and Stockholders of**
|-------------------------------------------------
|**M.C.F.T.Y. National d/b/a The Post
  Express** 

We have audited the accompanying balance sheet of M.C.F.T.Y. National d/b/a
The Post Express as of December 31, 2002, and the related statements of
operations, changes in stockholders' equity, and cash flows for the year then
ended. These financial statements are the responsibility of Company's
management. Our responsibility is to express an opinion on these financial
statements based on our audit.

We conducted our audit in accordance with auditing standards generally
accepted in the United States of America. Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of M.C.F.T.Y. National d/b/a The
Post Express at December 31, 2002, and the results of its operations and its
cash flows for the year then ended in accordance with accounting principles
generally accepted in the United States of America.

|/s/ GODELS, SOLOMON, BARBER & COMPANY, L.L.C.
|---------------------------------------------
|**GODELS, SOLOMON, BARBER & COMPANY, L.L.C.**
|**770 First Avenue North**                   
|**St. Petersburg, Florida**                  
|**Telephone: (727) 896-2111**                
|**Fax: (727) 896-2208**                      

April 19, 2003

**F-9**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**
|----------------------------------------------------
|**Balance
      Sheet**                             
|**December 31, 2002**                               

|**ASSETS**                                                                           |                                    
|------------------------------------------------------------------------------------ | -----------------------------------
|**Current Assets:**                                                                  |                                    
|****                                                                                 | **Bank of America**                
|****                                                                                 | ****                               
|****                                                                                 | ****                               
|**Fixed Assets - NOTE B:**                                                           |                                    
|****                                                                                 | **Equipment**                      
|****                                                                                 | **Less - Accumulated Depreciation**
|****                                                                                 | ****                               
|**Other Assets - NOTE B:**                                                           |                                    
|****                                                                                 | **Costs - Organizational**         
|****                                                                                 | **Less - Accumulated Amortization**
|****                                                                                 | ****                               
|**TOTAL ASSETS**                                                                     | **3,317.48**                       
|**LIABILITIES & STOCKHOLDERS' EQUITY**                                               |                                    
|**Current Liabilities:**                                                             |                                    
|****                                                                                 | **Accounts Payable**               
|****                                                                                 | ****                               
|**Long Term Liabilities:**                                                           |                                    
|****                                                                                 | **Due to M. J. Daniels**           
|****                                                                                 | **Due to Shareholder**             
|****                                                                                 | ****                               
|**Total Liabilities**                                                                | 65,786.09                          
|**Stockholders' Equity:**                                                            |                                    
|****                                                                                 | **Common Stock, $.0005 par value,**
|****                                                                                 | ****                               
|****                                                                                 | ****                               
|****                                                                                 | **Paid-in-Capital**                
|****                                                                                 | **Retained Earnings**              
|**Total Equity**                                                                     | (62,468.61)                        
|****                                                                                 |                                    
|**TOTAL LIABILITIES & STOCKHOLDERS'
    EQUITY**                                     | **3,317.48**                       
|****                                                                                 | ****                               
|**The accompanying notes are an integral part of these
      financial statements.**

**F-10**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**
|----------------------------------------------------
|**Statement of
      Operations**                   
|**For the Year Ended December 31,
  2002**          

|**Revenues:**                                                                        |                                                              
|------------------------------------------------------------------------------------ | -------------------------------------------------------------
|****                                                                                 | **Sales**                                                    
|****                                                                                 | ****                                                         
|**Cost of Goods Sold:**                                                              |                                                              
|****                                                                                 | **Cost of Goods Sold**                                       
|****                                                                                 | ****                                                         
|**Gross Profit**                                                                     | 0.00                                                         
|****                                                                                 | ****                                                         
|**Operating Expense:**                                                               |                                                              
|****                                                                                 | **Amortization**                                             
|****                                                                                 | **Automobile Expense**                                       
|****                                                                                 | **Bank Service Charges**                                     
|****                                                                                 | **Depreciation Expense**                                     
|****                                                                                 | **Dues and Subscriptions**                                   
|****                                                                                 | **Insurance**                                                
|****                                                                                 | **Office Expense**                                           
|****                                                                                 | **Postage/Delivery**                                         
|****                                                                                 | **Professional Fees**                                        
|****                                                                                 | **Travel and Entertainment**                                 
|****                                                                                 | ****                                                         
|**Income (Loss) from Continuing Operations**                                         | (6,737.23)                                                   
|**Other Income:**                                                                    |                                                              
|****                                                                                 | **Gain (Loss) on Disposal of Assets-NOTE E**                 
|****                                                                                 | **Interest Income**                                          
|****                                                                                 | ****                                                         
|**Income (Loss) from Continuing Operations Before
      Taxes**                      | **(20,523.35)**                                              
|**Income Taxes**                                                                     | 0.00                                                         
|****                                                                                 | ****                                                         
|**Income (Loss) from Continuing Operations**                                         | **(20,523.35)**                                              
|****                                                                                 | ****                                                         
|**Discontinued Operations:**                                                         |                                                              
|****                                                                                 | **Operating Results of Discontinued Operations-NOTE
      E**
|****                                                                                 | **Gain on Disposal of Discontinued Operations -NOTE
      E**
|****                                                                                 | ****                                                         
|****                                                                                 | ****                                                         
|**Net Income**                                                                       | **(3,396.93)**                                               
|****                                                                                 | ****                                                         
|**Earnings per common share:**                                                       |                                                              
|**Net income (loss)**                                                                | **(0.00)**                                                   
|****                                                                                 | ****                                                         
|**The accompanying notes are an integral part of these
      financial statements.**

**F-11**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**
|----------------------------------------------------
|**Statement of Cash
      Flows**                   
|**For the Year Ended December 31,
  2002**          

|**OPERATING ACTIVITIES:**                                                            | ****                                          | ****                                       | ****                        | ****                    |            
|------------------------------------------------------------------------------------ | --------------------------------------------- | ------------------------------------------ | --------------------------- | ----------------------- | -----------
|****                                                                                 | **Net Income (Loss)**                         | ****                                       | ****                        | ****                    | ****       
|****                                                                                 | **Adjustments for Discontinued Operations**   | ****                                       | ****                        | (17,126.42)            
|****                                                                                 | **Adjustments to reconcile Net Income**       | ****                                       | ****                        |                        
|****                                                                                 | ****                                          | **to net cash provided by operations:**    | ****                        | ****                    |            
|****                                                                                 | ****                                          | **Depreciation & Amortization**            | ****                        | ****                    | 6,619.48   
|****                                                                                 | ****                                          | **(Gain) Loss on Disposal of Assets**      | ****                        | ****                    | (16,739.09)
|****                                                                                 | ****                                          | ****                                       | **(Increase) decrease in:** | ****                    | ****       
|****                                                                                 | ****                                          | ****                                       | ****                        | **Inventory**           | ****       
|****                                                                                 | ****                                          | ****                                       | ****                        | **Prepaid Insurance**   | ****       
|****                                                                                 | ****                                          | ****                                       | ****                        | **Receivables**         | ****       
|****                                                                                 | ****                                          | ****                                       | **Increase (decrease) in:** | ****                    | ****       
|****                                                                                 | ****                                          | ****                                       | ****                        | **Accounts Payable**    | ****       
|****                                                                                 | ****                                          | ****                                       | ****                        | **Customer Deposits**   | ****       
|****                                                                                 | ****                                          | ****                                       | ****                        | **Payroll Liabilities** | ****       
|****                                                                                 | ****                                          | ****                                       | ****                        | **Sales Tax Payable**   | (170.93)   
|****                                                                                 | **Net cash used by Operating Activities**     | (76,627.38)                               
|**INVESTING ACTIVITIES:**                                                            |                                              
|****                                                                                 | ****                                          | **Proceeds from Disposal of Fixed Assets** | 92,192.52                  
|****                                                                                 | **Net cash provided by Investing
Activities** | 92,192.52                                 
|**FINANCING ACTIVITIES:**                                                            |                                              
|****                                                                                 | ****                                          | **Loan Repayments - M. J. Daniels**        | (24,055.33)                
|****                                                                                 | ****                                          | **Shareholder Loan Repayments**            | (18,587.63)                
|****                                                                                 | **Net cash used by Financing Activities**     | (42,642.96)                               
|****                                                                                 | ****                                          | ****                                       | ****                        | ****                    |            
|****                                                                                 | **Net cash from Discontinued Operations**     | 17,126.42                                 
|**Net cash increase for year**                                                       | (9,951.40)                                   
|**Cash at beginning of year**                                                        | 9,989.23                                     
|**Cash at end of year**                                                              | **37.83**                                    
|****                                                                                 | ****                                          | ****                                       | ****                        | ****                    |            
|**The accompanying notes are an integral part of
      these financial statements.**

**F-12**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**  
|------------------------------------------------------
|**Statement of
      Changes in Stockholders' Equity**
|**For the Year Ended December 31,
  2002**            

|                                                                                     |               |                  |               |                 |                   | ******************Total**
|------------------------------------------------------------------------------------ | ------------- | ---------------- | ------------- | --------------- | ----------------- | -------------------------
|                                                                                     |               | **Common Stock** | **Paid in**   | **Retained**    | **Stockholders'**
|                                                                                     |               | **Shares**       | **Amount**    | **Capital**     | **Earnings**      | **Equity**               
|                                                                                     |               |                  |               |                 |                   |                          
|**Balances at January 1, 2002**                                                      | **3,127,129** | **1,563.56**     | **16,685.19** | **(77,320.43)** | **(59,071.68)**  
|****                                                                                 | ****          | ****             | ****          | ****            | ****              | ****                     
|**Issuance of common stock**                                                         | **0**         | **0.00**         | ****          | ****            | **0.00**         
|****                                                                                 | ****          | ****             | ****          | ****            | ****              | ****                     
|**Paid in capital**                                                                  | ****          | ****             | **0.00**      | ****            | **0.00**         
|****                                                                                 | ****          | ****             | ****          | ****            | ****              | ****                     
|**Net income (loss)**                                                                | **0**         | **0.00**         | **0.00**      | **(3,396.93)**  | **(3,396.93)**   
|****                                                                                 | ****          | ****             | ****          | ****            | ****              | ****                     
|**Balances at December 31,**                                                         | **3,127,129** | **1,563.56**     | **16,685.19** | **(80,717.36)** | **(62,468.61)**  
|                                                                                     |               |                  |               |                 |                   |                          
|**The accompanying notes are an integral
      part of these financial statements.**

**F-13**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**
|----------------------------------------------------
|**Notes to Financial
      Statements**             
|**December 31, 2002**                               

**NOTE A - ORGANIZATION AND NATURE OF BUSINESS**

The company was incorporated May 22, 2000 in the State of Nevada. The Company
is a cutting edge leader in the Las Vegas, Nevada area in products and services
that are merchandised from full-service retail business centers offering private
mailbox rentals.

**NOTE B - SIGNIFICANT ACCOUNTING POLICIES**

**Cash and Cash Equivalents**

For purposes of the statement of cash flows, the Company considers all
short-term securities with a maturity of three months or less to be cash
equivalents.

**Inventory**

Inventories were priced at the lower of cost (first-in, first-out) or
market.

**Fixed Assets**

Property and equipment are stated at cost. Depreciation is computed using
straight-line and accelerated methods over the estimated useful lives of the
assets. Expenditures for major renewals and betterments that extend the useful
lives of property and equipment are capitalized. Expenditures for maintenance
and repairs are charged to expense as incurred.

**Intangible Assets**

Intangibles purchased were being amortized over fifteen (15) years on a
straight-line basis; organizational costs are being amortized over five (5)
years on a straight-line basis.

**Income Taxes**

The Company has loss carryforwards of $80,717.36, which can be carried
forward twenty (20) years to offset future taxable income.

**Use of Estimates**

The preparation of financial statements in conformity with generally accepted
accounting principles requires the corporation to make estimates and assumptions
that affect certain reported amounts and disclosures. Accordingly, actual
results could differ from those estimates.

**Revenue Recognition**

The Company recognizes its revenue when it completes the delivery of its
goods and services to its customers. SAB 101 had no substantive effect on the
Company's financial statements, as it did not impact the Company's method of
recognizing revenue.

**NOTE C - RENT**

The Company leased its principal business location at 4894 North Lone
Mountain Road, Las Vegas, Nevada on a month-to-month basis. This lease was
assumed as part of the sale of The Post Express assets. (See Note E)

**NOTE D - EARNINGS PER COMMON SHARE**

Earnings (loss) per common share of $0.00 were calculated based on a net
income numerator of $(3,396.93) divided by a denominator of 3,127,129
weighted-average shares of outstanding common stock. The denominator was
calculated based on the following issuances of common shares during 2002:

|January 1, 2002 | 3,127,129 common shares
outstanding
|--------------- | -----------------------------------

**F-14**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express** 
|-----------------------------------------------------
|**Notes to Financial
      Statements (*Continued*)**
|**December 31, 2002**                                

**NOTE E - DISCONTINUED OPERATIONS**

On July 1, 2002, the Company sold substantially all of the assets of the Post
Express (Inventory, Fixed assets, Customer lists, less customer deposits that
were assumed) for $68,692.52. The resulting gain of $28,454.40 is being reported
separately as a gain on the disposal of discontinued operations. The Company
received a down payment of $37,500.00 and a note receivable in the amount of
$31,192.52. The note was to be paid in equal monthly installments of $703.20,
principal and interest, over a fifty-seven month period beginning August 1, 2002
and continuing until April 1, 2007, bearing interest at a rate of 6.0%. The note
was assigned on September 1, 2002 to Donald and Catherine Hejmanowski, JTWROS
(Assignee). For the sum of $16,000.00. M.C.F.T.Y. National assigned the Bill of
Sale and Asset Purchase agreement between D.A.C.K. International and M.C.F.T.Y.
National dated July 1, 2002 in the amount of $31,192.52 at 6% compounded
interest and the personal guarantee of Joseph DeSoto. As of September 31, 2002
the value of the Agreement was $30,095.31, payable in 54 equal installments of
$703.20 beginning on October 1, 2002 and a final payment of $703.25 due on April
1, 2007. The result of this assignment was a loss
on disposition of $14,095.31.

The operating results of discontinued operations is summarized as
follows:

|Sales                                            |                          | $40,822.82
|------------------------------------------------ | ------------------------ | ----------
|Cost of Goods Sold                               | 20,786.55               
|Gross Profit                                     | 20,036.27               
|Operating Expenses:                              |                         
|                                                 | Amortization             | 363.02    
|                                                 | Automobile Expenses      | 2,132.80  
|                                                 | Bank Charges             | 1,601.40  
|                                                 | Depreciation             | 4,735.47  
|                                                 | Dues & Subscriptions     | 761.70    
|                                                 | Insurance                | 3,200.31  
|                                                 | Licenses and Permits     | 378.00    
|                                                 | Meetings and Conferences | 250.00    
|                                                 | Office Expense           | 6,971.51  
|                                                 | Professional Fees        | 450.00    
|                                                 | Rent                     | 8,500.00  
|                                                 | Repairs                  | 435.05    
|                                                 | Security                 | 90.60     
|                                                 | Taxes & Licenses         | 724.14    
|                                                 | Telephone                | 2,227.84  
|                                                 | Travel and Entertainment | 529.44    
|                                                 | Utilities                | 402.15    
|                                                 |                          | 33,753.43 
|Net Ordinary Income (Loss)                       | (13,717.16)             
|Other Income:                                    |                         
|                                                 | Gain on Sale of Assets   | 2,380.00  
|                                                 | Interest Income          | 9.18      
|                                                 |                          | 2,389.18  
|                                                 |                          |           
|**Operating Results of Discontinued
Operations** | **($11,327.98)**        

**F-15**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express** 
|-----------------------------------------------------
|**Notes to Financial
      Statements (*Continued*)**
|**December 31, 2002**                                

**NOTE E - DISCONTINUED OPERATIONS - (Continued)**

The gain on the disposal of discontinued operations is summarized as
follows:

|                                        |                              
|--------------------------------------- | -----------------------------
|Selling Price                           | $68,692.52                   
|Basis:                                  |                              
|                                        | Inventory                    
|                                        | Fixed Assets (Net Book Value)
|                                        | Customer Lists               
|                                        | Customer Deposits            
|                                        |                              
|**Gain on Sale of Post Express Assets** | **$28,454.40**               
|                                        |                              

**F-16**

---



**Independent Auditor's
Report**

|******To the Board of Directors and Stockholders of**
|-----------------------------------------------------
|**M.C.F.T.Y. National d/b/a The Post
  Express**     

We have audited the accompanying balance sheet of M.C.F.T.Y. National d/b/a
The Post Express as of December 31, 2001, and the related statements of income,
changes in stockholders' equity, and cash flows for the year then ended. These
financial statements are the responsibility of Company's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.

We conducted our audit in accordance with auditing standards generally
accepted in the United States of America. Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audit provides a
reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of M.C.F.T.Y. National d/b/a The
Post Express at December 31, 2001, and the results of its operations and its
cash flows for the year then ended in accordance with accounting principles
generally accepted in the United States of America.

|/s/ GODELS, SOLOMON, BARBER & COMPANY, L.L.C.
|---------------------------------------------
|**GODELS, SOLOMON, BARBER & COMPANY, L.L.C.**
|**770 First Avenue North**                   
|**St. Petersburg, Florida**                  
|**Telephone: (727) 896-2111**                
|**Fax: (727) 896-2208**                      
|                                             
|April 19, 2003                               

**F-17**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**
|----------------------------------------------------
|**Balance
      Sheet**                             
|**December 31,
2001**                               

|**ASSETS**                                                                           |                                                   
|------------------------------------------------------------------------------------ | --------------------------------------------------
|**Current Assets:**                                                                  |                                                   
|                                                                                     | ******Bank of America**                           
|                                                                                     | ******First National Bank**                       
|                                                                                     | ******Total Cash & Cash
      Equivalents-NOTE B**
|                                                                                     | ******Inventory - NOTE B**                        
|                                                                                     | ******Prepaid Insurance**                         
|                                                                                     |                                                   
|                                                                                     |                                                   
|**Fixed Assets - NOTE B:**                                                           |                                                   
|                                                                                     | ******Automobile**                                
|                                                                                     | ******Equipment**                                 
|                                                                                     | ******Leasehold Improvements**                    
|                                                                                     | ******Less - Accumulated
      Depreciation**     
|                                                                                     |                                                   
|                                                                                     |                                                   
|**Other Assets - NOTE B:**                                                           |                                                   
|                                                                                     | ******Costs - Organizational**                    
|                                                                                     | ******Customer List**                             
|                                                                                     | ******Fictitious Name/Trade
    Style**           
|                                                                                     | ******Less - Accumulated
      Amortization**     
|                                                                                     |                                                   
|                                                                                     |                                                   
|**TOTAL ASSETS**                                                                     | **68,737.22**                                     
|                                                                                     |                                                   
|**LIABILITIES & STOCKHOLDERS'
      EQUITY**                                         |                                                   
|**Current Liabilities:**                                                             |                                                   
|                                                                                     | ******Accounts Payable**                          
|                                                                                     | ******Customer deposits**                         
|                                                                                     | ******Payroll Liabilities**                       
|                                                                                     | ******Sales Tax Payable**                         
|                                                                                     |                                                   
|                                                                                     |                                                   
|**Long Term Liabilities:**                                                           |                                                   
|                                                                                     | ******Due to M. J. Daniels**                      
|                                                                                     | ******Due to Shareholder**                        
|                                                                                     |                                                   
|                                                                                     |                                                   
|**Total Liabilities**                                                                | 127,808.90                                        
|                                                                                     |                                                   
|**Stockholders' Equity:**                                                            |                                                   
|                                                                                     | ******Common Stock, $.0005 par value,**           
|                                                                                     |                                                   
|                                                                                     |                                                   
|                                                                                     | ******Paid-in-Capital**                           
|                                                                                     | ******Retained Earnings**                         
|**Total Equity**                                                                     | (59,071.68)                                       
|                                                                                     |                                                   
|**TOTAL LIABILITIES & STOCKHOLDERS'
EQUITY**                                         | **68,737.22**                                     
|                                                                                     |                                                   
|**The accompanying notes are an integral part
      of these financial statements.**

**F-18**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**
|----------------------------------------------------
|**Statement of
      Operations**                   
|**For the Year Ended December 31,
  2001**          

|**Revenues:**                                                                       |                                                        
|----------------------------------------------------------------------------------- | -------------------------------------------------------
|****                                                                                | **Sales**                                              
|****                                                                                | ****                                                   
|**Cost of Goods Sold:**                                                             |                                                        
|****                                                                                | **Phone Cards**                                        
|****                                                                                | **Postage/Delivery/Supplies**                          
|****                                                                                | ****                                                   
|**Gross Profit**                                                                    | 29,137.50                                              
|**Operating Expense:**                                                              |                                                        
|****                                                                                | **Advertising**                                        
|****                                                                                | **Amortization**                                       
|****                                                                                | **Automobile Expense**                                 
|****                                                                                | **Bank Service Charges**                               
|****                                                                                | **Depreciation Expense**                               
|****                                                                                | **Dues and Subscriptions**                             
|****                                                                                | **Insurance**                                          
|****                                                                                | **Licenses and Permits**                               
|****                                                                                | **Office Expense**                                     
|****                                                                                | **Printing and Reproduction**                          
|****                                                                                | **Professional Fees**                                  
|****                                                                                | **Rent - NOTE C**                                      
|****                                                                                | **Building Repairs**                                   
|****                                                                                | **Computer Repairs**                                   
|****                                                                                | **Equipment Repairs**                                  
|****                                                                                | **Security**                                           
|****                                                                                | **Taxes-Other**                                        
|****                                                                                | **Telephone**                                          
|****                                                                                | **Gas and Electric**                                   
|****                                                                                | **Water & Sewer**                                      
|****                                                                                | ****                                                   
|**Income (Loss) from Continuing Operations**                                        | (15,768.32)                                            
|**Other Income:**                                                                   |                                                        
|****                                                                                | **Interest Income**                                    
|****                                                                                | ****                                                   
|**Income (Loss) from Continuing Operations Before
      Taxes**                     | **(15,749.27)**                                        
|**Income Taxes**                                                                    | **0.00**                                               
|****                                                                                | ****                                                   
|**Income (Loss) from Continuing Operations**                                        | **(15,749.27)**                                        
|****                                                                                | ****                                                   
|**Discontinued Operations**                                                         |                                                        
|****                                                                                | **Operating Results of Discontinued Operations-Note E**
|****                                                                                | ****                                                   
|**Net Income (Loss)**                                                               | **(77,320.43)**                                        
|****                                                                                | ****                                                   
|**Earnings per common share:**                                                      |                                                        
|**Net income (loss)**                                                               | **(0.03)**                                             
|****                                                                                | ****                                                   
|**The accompanying notes are an integral part of these
      financial statements**

**F-19**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**
|----------------------------------------------------
|**Statement of Cash
      Flows**                   
|**For the Year Ended December 31,
  2001**          

|**OPERATING ACTIVITIES:**                                                            |                                              
|------------------------------------------------------------------------------------ | ---------------------------------------------
|****                                                                                 | **Net Income**                               
|****                                                                                 | **Adjustments for Discontinued Operations**  
|****                                                                                 | **Adjustments to reconcile Net Income**      
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | **Net cash provided by Operating Activities**
|****                                                                                 |                                              
|**INVESTING ACTIVITIES:**                                                            |                                              
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | **Net cash provided by Investing Activities**
|****                                                                                 |                                              
|**FINANCING ACTIVITIES:**                                                            |                                              
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | **Net cash provided by Financing Activities**
|****                                                                                 | ****                                         
|****                                                                                 | **Net cash from Discontinued Operations**    
|****                                                                                 |                                              
|**Net cash increase for year**                                                       | 9,989.23                                     
|****                                                                                 |                                              
|**Cash at beginning of year**                                                        | 0.00                                         
|****                                                                                 |                                              
|**Cash at end of year**                                                              | 9,989.23                                     
|****                                                                                 | ****                                         
|**SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING
      ACTIVITIES:**                  
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                 | ****                                         
|****                                                                                
|**The accompanying notes are an integral part of these
      financial statements.**

**F-20**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**  
|------------------------------------------------------
|**Statement of
      Changes in Stockholders' Equity**
|**For the Year Ended December 31,
  2001**            

|                                                                                     |                                                     | **********Common
    Stock** | **Paid in**   | **Retained**    | **Total Stockholders'**
|------------------------------------------------------------------------------------ | --------------------------------------------------- | ---------------------------- | ------------- | --------------- | -----------------------
|****                                                                                 | ****                                                | **Shares**                   | **Amount**    | **Capital**     | **Earnings**           
|****                                                                                 | ****                                                | ****                         | ****          | ****            | ****                   
|**Balances at**                                                                      | ****                                                | ****                         | ****          | ****            | ****                   
|****                                                                                 | **January 1, 2001**                                 | **2,100,375**                | **1,050.19**  | **0.00**        | **0.00**               
|****                                                                                 | ****                                                |                              |               |                 |                        
|**********************Issuance
      of**                                            |                                                     |                              |               |                 |                        
|                                                                                     | **************************common
      stock**      | **1,026,754**                | **513.37**    | ****            | ****                   
|****                                                                                 | ****                                                |                              |               |                 |                        
|**********************Paid
      in capital**                                        | ****                                                | ****                         | **16,685.19** | ****            | **16,685.19**          
|****                                                                                 | ****                                                |                              |               |                 |                        
|**********************Net
      income (loss)**                                      | **0**                                               | **0.00**                     | **0.00**      | **(77,320.43)** | **(77,320.43)**        
|****                                                                                 | ****                                                |                              |               |                 |                        
|**********************Balances
      at**                                            |                                                     |                              |               |                 |                        
|                                                                                     | **************************December
      31, 2001** | **3,127,129**                | **1,563.56**  | **16,685.19**   | **(77,320.43)**        
|****                                                                                
|****                                                                                
|**The accompanying notes are an integral part of these
      financial statements.**

**F-21**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express**
|----------------------------------------------------
|**Notes to Financial
      Statements**             
|**December 31, 2001**                               

**NOTE A - ORGANIZATION AND NATURE OF BUSINESS**

The company was incorporated May 22, 2000 in the State of Nevada. The Company
is a cutting edge leader in the Las Vegas, Nevada area in products and services
that are merchandised from full-service retail business centers offering private
mailbox rentals.

**NOTE B - SIGNIFICANT ACCOUNTING POLICIES**

**Cash and Cash Equivalents**

For purposes of the statement of cash flows, the Company considers all
short-term securities with a maturity of three months or less to be cash
equivalents.

**Inventory**

Inventories are priced at the lower of cost (first-in, first-out) or
market.

**Fixed Assets**

Property and equipment are stated at cost. Depreciation is computed using
straight-line and accelerated methods over the estimated useful lives of the
assets. Expenditures for major renewals and betterments that extend the useful
lives of property and equipment are capitalized. Expenditures for maintenance
and repairs are charged to expense as incurred.

**Intangible Assets**

Intangibles purchased are being amortized over fifteen (15) years on a
straight-line basis; organizational costs are being amortized over five (5)
years on a straight-line basis.

**Income Taxes**

The Company has loss carryforwards of $77,320.43 which can be carried forward
twenty (20) years to offset future taxable income.

**Use of Estimates**

The preparation of financial statements in conformity with generally accepted
accounting principles requires the corporation to make estimates and assumptions
that affect certain reported amounts and disclosures. Accordingly, actual
results could differ from those estimates.

**Revenue Recognition**

The Company recognizes its revenue when it completes the delivery of its
goods and services to its customers. SAB 101 had no substantive effect on the
Company's financial statements as it did not impact the Company's method of
recognizing revenue.

**NOTE C - RENT**

The Company leases its principal business location at 4894 North Lone
Mountain Road, Las Vegas, Nevada on a month-to-month basis.

**NOTE D - EARNINGS PER COMMON SHARE**

Earnings (loss) per common share of ($0.03) were calculated based on a net
loss numerator of ($77,320.43) divided by a denominator of 2,272,054
weighted-average shares of outstanding common stock. The denominator was
calculated based on the following issuances of common shares during 2001:

|January 1, 2001  | 2,100,375 common shares outstanding
|---------------- | -----------------------------------
|October 17, 2001 | 397,125 common shares issued       
|October 27, 2001 | 370,370 common shares issued       
|December 1, 2001 | 259,259 common shares issued       

**F-22**

---



|**M.C.F.T.Y. National d/b/a The Post
      Express** 
|-----------------------------------------------------
|**Notes to Financial
      Statements (*Continued*)**
|**December 31,
2001**                                

**NOTE E - DISCONTINUED OPERATIONS**

The Company operated beta test sites at various locations in the State of
Nevada during the year ended December 31, 2001 providing the same products and
services offered at the Company's primary location. As of December 31, 2001 all
the beta test sites had been discontinued.

The operating results of discontinued operations is summarized as
follows:

| | Beta Test Site Revenues    |                         | $12,768.01  
| | -------------------------- | ----------------------- | ------------
| |                            |                         |             
| | Cost of Goods Sold         |                         | 5,362.56    
| |                            |                         |             
| | Gross Profit               |                         | 7,405.45    
| |                            |                         |             
| | Operating Expenses:        |                         |             
| |                            | Leased Employee Expense |             
| |                            | Marketing/Advertising   |             
| |                            | Rent                    |             
| |                            | Salaries                |             
| |                            | Taxes - Payroll         |             
| |                            | Temporary/Casual Labor  |             
| |                            | Uniforms                |             
| |                            |                         |             
| |                            |                         |             
| | Net Ordinary Income (Loss) |                         | ($61,571.16)
| |                            |                         |             

**F-23**

---



In December 2001, we engaged Godels, Solomon, Barber, C.P.A., ("Godels") as
our independent auditors. They are our first auditors and we have had no
disagreements with Godels on any matters of accounting principles or practices,
financial statement disclosure, or auditing scope or procedure, in connection
with its reports.

**Item 8A. Controls and Procedures.**

Our Chief Executive Officer and Chief Financial Officer have evaluated The
International White Tea Company's disclosure controls and procedures as of
December 31, 2003, and they concluded that these controls and procedures are
effective.

As required by Rule 13a-15 under the Exchange Act, within the 90 days prior
to the filing date of this report, we carried out an evaluation of the
effectiveness of the design and operation of our company's disclosure controls
and procedures. This evaluation was carried out under the supervision and with
the participation of our company's management, including our company's President
and Chief Executive Officer. Based upon that evaluation, our company's President
and Chief Executive Officer concluded that our company's disclosure controls and
procedures are effective. There have been no significant changes in internal
controls or in other factors, including any corrective actions with regard to
significant deficiencies and material weaknesses that could significantly affect
these controls subsequent to the date we carried out our evaluation

Disclosure controls and procedures are controls and procedures that are
designed to ensure that information required to be disclosed in our company's
reports filed or submitted under the Exchange Act is recorded, processed,
summarized and reported, within the time periods specified in the Securities and
Exchange Commission's rules and forms. Disclosure controls and procedures
include, without limitation, controls and procedures designed to ensure that
information required to be disclosed in our company's reports filed or submitted
under the Exchange Act is accumulated and communicated to management, including
our company's President and Chief Executive Officer as appropriate, to allow
timely decisions regarding required disclosure.

**PART III**

**Item
9.  Directors, Executive Officers, Promoters, and Control Persons;
Compliance with Section 16(a) of the Exchange Act.**

***Directors and Executive Officers*****

The names and ages of our directors and executive officers as of December 31,
2003, are set forth below. Our By-Laws provide for not less than one and not
more than fifteen directors. All directors are elected annually by the
stockholders to serve until the next annual meeting of the stockholders and
until their successors are duly elected and qualified.

**Table 2.0**



|**Name**        | **Age** | **Position**      
|--------------- | ------- | ------------------
|Lori Kwoka      | 39      | President/Director
|Gerald Brown    | 50      | Treasurer/Director
|George Freedman | 81      | Secretary/Director

The backgrounds of our executive officers and directors are provided below:

- *Lori Kwoka* is the current President and a Director. Ms. Kwoka
received her B.S. degree from Rutgers University. She is a member of the
American Production and Inventory Control Society, American Management
Association, and the National Association of Female Executives. Ms. Kwoka began
her career as a conservationist with the USDA. She progressed to project manager
with Seacrest Inc. and then made the move to Long Life Teas in 1990. During her
more than thirteen years at Long Life, Ms. Kwoka created and implemented an MRP
program to support manufacturing resulting in a forty percent (40%) increase in
inventory turns from 4 to 5.6. She has directed profit and loss responsibilities
while controlling an annual budget of over $1.7M. Her specific accomplishments
include developing and launching ready to drink beverage lines generating a
fifteen percent (15%) increase in sales, the restructuring of the division
increasing gross margins four percent (4%), and building and implementing a
strategic plan to increase division value and position the division for sale.
Ms. Kwoka has demonstrated the ability to successfully lead the rapid growth of
a business from concept to implementation. She has specific knowledge and is
familiar with cGMP's in food and beverage manufacturing, organic processing
requirements and certification, and kosher certification.. Ms. Kwoka has
demonstrated a hands on leadership style and has a comprehensive network of
contacts in the natural foods/organic industry that can be leveraged to generate
business and recruit staff.

- *Gerald Brown* is the current Chief Communications Officer,
Treasurer and a Director. Mr. Brown holds a B.A. degree from Amherst College in
Massachusetts. He began his career in 1997 performing on Broadway with Rex
Harrison. He has extensive experience in production, hosting, and writing
nationally syndicated programs as well as being a broadcast meteorologist. Mr.
Brown has highly developed communication skills necessary to provide the public
relations support of the company. His hosting of several nationally syndicated
programs has allowed Mr. Brown to maintain critical contacts in the broadcast
industry that will prove valuable to the company. Over his twenty (20) year
career, Mr. Brown has developed analytical skills that will assist him in his
position as treasurer.

- *George Freedman* is the current Secretary. He received his B.S.
degree from the Massachusetts College of Pharmacy. Mr. Freedman retired from the
military with the rank of Major. He served as the Chief Pharmacist at the
Veterans Hospital in Bedford, Massachusetts. For almost forty years he served in
a consultant capacity to various major chemical companies on product
development. He is a member of the American Society of Consultant Pharmacists
and in 1975 he received the George F. Archumbault award for outstanding service
in the installation of unit dose systems in hospitals and nursing homes. Mr.
Freedman has conducted 49 seminars in 29 states on Unit Dose Dispensing and
Hospital Pharmacy Space Planning, sponsored by the Hill - Burton Program (1969 -
1971). He was also the featured speaker at National Meetings of the American
Pharmaceutical Association, American Society of Hospital Pharmacists, American
Society of Consultant Pharmacists, NABP, American Hospital Association, and over
50 state and local Pharmacy organizations, speaking primarily on Unit Dose
dispensing and distribution in hospitals and long term care facilities.

***Compliance with Section 16(a) of the Securities Exchange Act of
1934.*****

Section 16(a) of the Securities Exchange Act of 1934 (the "34 Act") requires
every person who is an officer, director, or a person owning more than ten
percent of our Common Stock, to file, at the time of the registration of such
Common Stock on a national securities exchange, or by the effective date of a
registration statement filed pursuant to section 12(g) of the 34 Act, or within
ten days after he becomes an officer director or person owning more than ten
percent of our Common Stock, initial reports of ownership and changes in
ownership with the Securities and Exchange Commission. Additionally, Item 405 of
Regulation S-B under the 34 Act requires us to identify in its Form 10-KSB and
proxy statement those individuals for whom one of the above referenced reports
was not filed on a timely basis during the most recent fiscal year or prior
fiscal years. Given these requirements, we have the following report to make
under this section: No filings were required in the last fiscal year.

**Item 10.  Executive
Compensation**

The following table sets forth information concerning the annual and
long-term compensation of our Chief Executive Officer, and the most highly
compensated employees and/or executive officers who served at the end of the
fiscal years December 31, 2001 and 2002, and whose salary and bonus exceeded
$100,000 for the fiscal years ended December 31, 2001 and 2002, for services
rendered in all capacities to us. The listed individuals shall be hereinafter
referred to as the "Named Executive Officers."

**Table 3.0 Executive Compensation**

|                                      |          |                               |               |                                           | **Long-Term Compensation**              |                                                    
|------------------------------------- | -------- | ----------------------------- | ------------- | ----------------------------------------- | --------------------------------------- | ---------------------------------------------------
|                                      |          | **Annual
      Compensation** | **Awards**    | **Payouts**                               |                                        
|**(a)**                               | **(b)**  | **(c)**                       | **(d)**       | **(e)**                                   | **(f)**                                 | **(g)**                                            
|**Name and principal
      position** | **Year** | **Salary ($)**                | **Bonus ($)** | **Other Annual Compen- sation
      ($)** | **Restricted Stock Award(s)
      ($)** | **Securities Under- lying Options/
      SARs (#)**
|Lori Kwoka (1), President             | 2003     | -0-                           | -0-           | -0-                                       | -0-                                     | -0-                                                
|2002                                  | -0-      | -0-                           | -0-           | -0-                                       | -0-                                     | -0-                                                
|2001                                  | -0-      | -0-                           | -0-           | -0-                                       | -0-                                     | -0-                                                
|Gerald G. Brown (2), Treasurer        | 2003     | -0-                           | -0-           | -0-                                       | -0-                                     | -0-                                                
|2002                                  | -0-      | -0-                           | -0-           | -0-                                       | -0-                                     | -0-                                                
|2001                                  | -0-      | -0-                           | -0-           | -0-                                       | -0-                                     | -0-                                                
|George Freedman (3), Secretary        | 2003     | -0-                           | -0-           | -0-                                       | -0-                                     | -0-                                                
|2002                                  | -0-      | -0-                           | -0-           | -0-                                       | -0-                                     | -0-                                                
|2001                                  | -0-      | -0-                           | -0-           | -0-                                       | -0-                                     | -0-                                                

|(1)
      There is no employment contract with Ms. Kwoka at this time. Nor are there
      any agreements for compensation in the future. A salary and stock options
      and/or warrants program may be developed in the future.   
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(2) There is no employment contract with
      Mr. Brown at this time. Nor are there any agreements for compensation in
      the future. A salary and stock options and/or warrants program may be
      developed in the future.   
|(3) There is no employment contract with
      Mr. Freedman at this time. Nor are there any agreements for compensation
      in the future. A salary and stock options and/or warrants program may be
      developed in the future.



***Additional Compensation of Directors*****

All of our directors are unpaid. Compensation for the future will be
determined when and if additional funding is obtained.

***Board of Directors and Committees*****

Currently, our Board of Directors consists of Ms. Kwoka, Mr. Brown, and Mr.
Freedman. We are not actively seeking additional board members. At present, the
Board of Directors has not established any committees.

***Employment Agreements*****

Currently, we have no employment agreements with any of our Directors or
Officers.

**Item
11.  Security Ownership of Certain Beneficial Owners and
Management.**

The following table sets forth information concerning the beneficial
ownership of shares of our common stock with respect to stockholders who were
known by us to be beneficial owners of more than 5% of our common stock as of
December 31, 2003, and our officers and directors, individually and as a group.
Unless otherwise indicated, the beneficial owner has sole voting and investment
power with respect to such shares of common stock.

Beneficial ownership is determined in accordance with the rules of the
Securities and Exchange Commission ("SEC") and generally includes voting or
investment power with respect to securities. In accordance with the SEC rules,
shares of our common stock which may be acquired upon exercise of stock options
or warrants which are currently exercisable or which become exercisable within
60 days of the date of the table are deemed beneficially owned by the optionees,
if applicable.

**Table 4.0 Beneficial Ownership**

|**Title of Class** | **Name and Address of Beneficial
      Owner**        | **Amount and Nature of Beneficial Ownership**
      **(1)** | **Percent of Class**
|------------------ | ----------------------------------------------------- | ----------------------------------------------------------- | --------------------
|
|Common Stock       | George Freedman                                       | 4,369,400                                                   | 33.65%              
|                   | 5836 South Pecos Rd.                                  |                                                             |                     
|                   | Las Vegas, NV 89120                                   |                                                             |                     
|Common Stock       | Gerald Brown                                          | 500,000                                                     | 0.0385%             
|                   | 5836 South Pecos Rd.                                  |                                                             |                     
|                   | Las Vegas, NV 89120                                   |                                                             |                     
|Common Stock       | Lori Kwoka                                            | 200,000                                                     | 0.0154%             
|                   | 5836 South Pecos Rd.                                  |                                                             |                     
|                   | Las Vegas, NV 89120                                   |                                                             |                     
|Common Stock       | George Scalf                                          | 4,414,900                                                   | 34%                 
|                   | 236 Colborue St.                                      |                                                             |                     
|                   | Port Stanley, Ont. Can N5L 1C1                        |                                                             |                     
|Common Stock       | George Lois                                           | 1,000,000                                                   | 0.07%               
|                   | 37 West 12st Street #3AB                              |                                                             |                     
|                   | NY, NY 10011                                          |                                                             |                     
|Common Stock       | All Executive Officers and Directors as a
      Group | 5,069,400                                                   | 39.04%              

(1) Currently, no beneficial owner has the right to acquire additional shares as
specified in Rule 13d-3(d)(1) under the Exchange
Act.

****

**Item 12.  Certain Relationships and Related
Transactions.**

To the best of our knowledge there are no transactions involving any
director, executive officer, any nominee for election as a director or officer
or any security holder who is a beneficial owner or any member of the immediate
family of the same other than the following:

**Item 13. 
Exhibits and Reports on Form 8-K.**

a.  *Exhibits*

|**Exhibit No.** | **Description**                                                                                                                                                                  
|--------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|3.1             | Articles of Incorporation of M.C.F.T.Y. National (Incorporated by reference to Exhibit
      3.1 to the Company's Registration Statement on Form SB-2 (File No.
      333-87200))
|3.2             | By-Laws of M.C.F.T.Y. National (Incorporated by reference to Exhibit
      3.2 to the Company's Registration Statement on Form SB-2 (File No.
      333-87200))                  
|3.3             | Amended and Restated Articles of Incorporation of M.C.F.T.Y. National
      changing corporate name to The International White Tea Company                                       
|31.1            | Certification of CEO pursuant to Section 302 of the
      Sarbanes-Oxley Act                                                                                                     
|31.2            | Certification of CFO pursuant to Section 302 of the Sarbanes-Oxley Act                                                                                                           
|32.1            | Certification of CEO pursuant to Section 906 of the
      Sarbanes-Oxley Act                                                                                                     
|32.2            | Certification of CFO pursuant to Section 906 of the Sarbanes-Oxley Act                                                                                                           

b.  *Reports on Form 8-K.*

On September 10, 2003 the Company filed a Form 8-K under items 1 and 5 with
the Security and Exchange Commission describing changes in control of the
Company and the change in direction of the Company to pursue manufacturing and
marketing a white tea beverage product.

**Item
14.** **Principal Accountant Fees and
Services.**

*a. Audit Fees.*

During the fiscal years ended December 31, 2002 and 2003, The International
White Tea Company's principal auditor billed fees of approximately $2,700.00 and
$2,700.00, respectively, for professional services rendered in connection with
the audit of The International White Tea Company's annual and quarterly
financial statements for the respective fiscal periods. The International White
Tea Company's principal accountant did not bill any other audit-related fees
during the respective time periods.

*b. Tax Fees.*

During the fiscal years ended December 31, 2002 and 2003, The International
White Tea Company's principal auditor did not charge any fees related to tax
services.

*c. All Other Fees.*

During the fiscal years ended December 31, 2002 and 2003, The International
White Tea Company's principal auditor did not bill any other fees for
professional services.

**SIGNATURES**

In accordance with Section 13 or 15D of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

The International White Tea Company

(Registrant)

By: /s/ Donald Hejmanowski

Donald Hejmanowski, President, Chairman of the Board of Directors, Chief
Executive Officer

Date: May 11, 2004



In accordance with the Exchange Act, this report has been signed below by the
following persons on behalf of the registrant and in the capacities and on the
dates indicated.

|/s/ Donald Hejmanowski                                                                           | May 11, 2004
|------------------------------------------------------------------------------------------------ | ------------
|Donald Hejmanowski, President, Chairman of the Board of Directors,
      Chief Executive Officer | (Date)      
|                                                                                                 |             
|/s/ Diane J. Harrison                                                                            | May 11, 2004
|Diane J. Harrison, Secretary, Director                                                           | (Date)      
|                                                                                                 |             
|/s/ Diane J. Harrison                                                                            | May 11, 2004
|Diane J. Harrison, Treasurer, Chief Financial Officer, Principal
      Accounting Officer        | (Date)